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Daily Legislative Update: Thursday, April 3, 2025

Photo courtesy of the Arkansas Senate

Thursday, April 3, 2025 – Day 81

LEGISLATIVE SCHEDULE
The Senate will convene at 1 p.m. and the House at 1:30 p.m.

Committees are now following irregular meeting schedules. For the latest updates, visit www.arkleg.state.ar.us, where you can find committee schedules, agendas, and live streams.

 

AT THE CAPITOL: A SYNOPSIS OF WHAT YOU NEED TO KNOW

Bills on Floor Calendars Today

HB 1150 – Restricts healthcare payors and pharmacy benefits managers from obtaining specific pharmacy permits, which could limit market competition. This bill received a “Do Pass” recommendation from the House Insurance and Commerce Committee yesterday, and it is on this afternoon’s House calendar. We oppose this bill.

SB 560 – Seeks to decrease the unemployment insurance base contribution rate, increase the administrative assessment rate to increase funding for the state’s skilled workforce and amend the Department of Workforce Services (DWS) Training Trust Fund. This bill received a “Do Pass” recommendation yesterday from the Senate Public Health, Welfare and Labor Committee and is on today’s Senate calendar. We support this bill, which will provide much needed additional funds to the DWS Training Trust Fund at no cost to employers.

SB 361 – Creates the Industrial Development Authorities Expansion Act. This bill received a “Do Pass” recommendation yesterday from the Senate Agriculture, Forestry and Economic Development Committee, and it is on this afternoon’s House calendar. We support this bill, which is part of the Arkansas Economic Development Commission’s legislative package.

HB 1571 – Amends the Arkansas Adult Diploma Program Act. Received a “Do Pass” yesterday from the Senate Education Committee, and it is on this afternoon’s Senate calendar. We support this bill.

SB 322 – Allows third parties to review plans and perform site inspections. This bill received a “Do Pass” recommendation yesterday from the House City, County and Local Committee, and it is on this afternoon’s House calendar. We support this bill.

SB 462 – (Sen. Jamie Scott) Provides for re-entering convicted persons to obtain a certificate of employability, which will then provide some protection to employers for alleged “negligent hiring.” Senate calendar. We join the Arkansas Society of Human Resource Managers (ARSHRM) in support of this bill.

 

Bills on Committee Agendas Today

HB 1750 – Repeals the franchise tax. We support this bill, which is part of our tax package.

SB 390 – Creates an apprenticeship program. House Education Committee. We support this bill.

SB 456 and HB 1754 – Seek to limit/eliminate local zoning authorities. We oppose these bills.

  • SB 456 – pending on the Senate floor
  • HB 1754 – House Judiciary Committee

HB 1922 – (Rep. John Maddox and Sen. Jonathan Dismang) Seeks to amend the Consolidated Incentive Act of 2003; to create an income tax credit for relocating corporate headquarters to this state; and to encourage corporations to relocate to Arkansas. House Revenue and Taxation Committee. We support this bill, which is part of the Arkansas Economic Development Commission’s legislative package.

HB 1444 – Seeks to amend the sales and use tax exemption for data centers. House Revenue and Taxation Committee. We support this bill.

HB 1807 – Amends the sales tax exemption for aircraft held for resale and used for rental or charter and clarifies eligibility for the exemption. House Revenue and Taxation Committee. We support this bill.

HB 1656 – Seeks to make changes to existing royalty contracts. Senate Agriculture and Economic Development Committee. We oppose this bill.

HB 1797 – Seeks to amend the law concerning the Arkansas Development Finance Authority. Senate State Agencies Committee. We support this bill, which was brought by the Arkansas Economic Development Commission.

HB 1706 – Prohibits ranked choice voting. Senate State Agencies Committee. We support this bill.

SB 537 – (Sen. Ben Gilmore and Rep. Matt Brown) Establishes the Earning Safe Reentry Through Work Act, allowing individuals on probation, parole, or post-release supervision to earn time credits through employment. This bill passed 33-0 in the Senate yesterday and has been assigned to the House Judiciary Committee. We join ARSHRM in support of this bill.

 

Yesterday at the Capitol

 

SB 258 – Known as the Arkansas Digital Responsibility, Safety, and Trust Act, this bill seeks to address technology privacy and artificial intelligence (AI). This bill received a “Do Pass” recommendation from the Senate Transportation, Technology, and Legislative Affairs Committee. We oppose this bill.

 

 

Constitutional Amendment Proposals

The Senate State Agencies Committee has 13 joint resolutions to consider, including SJR 15, which would create economic development districts. We support this resolution.

The House State Agencies Committee has five joint resolutions to consider:

  1. HJR 1018 – ( David Ray and Sen. John Payton) The Citizens Only Voting Amendment. This joint resolution received a “Do Pass” recommendation yesterday from the House State Agencies Committee.
  2. HJR 1014 – ( Jonathan Dismang and Rep. Howard Beaty) A constitutional amendment concerning economic development in the state of Arkansas and authorizing the General Assembly to provide for the creation of economic development districts to promote economic development We support this bill, which was brought by the Arkansas Economic Development Commission.
  3. HJR 1017 – ( David Ray and Sen. John Payton) A constitutional amendment providing that a proposed statewide initiated act or constitutional amendment shall become law when approved by a majority of the votes cast in the election and a majority of the counties of the state.
  4. HJR 1016 – ( David Ray) A constitutional amendment to repeal the provision of Arkansas Constitution, Article 5, § 1, allowing the sponsor of an initiative or referendum petition to correct or amend a petition.
  5. HJR 1009 – ( Karilyn Brown and Sen. Ben Gilmore) An amendment to the Arkansas Constitution to be known as the Arkansas Victims’ Bill of Rights; and to provide rights for victims of misdemeanor and felony offenses, including victims in the adult and juvenile justice systems.

 

Pending Bills We Support

Our tax package includes these four bills because the Tax Foundation has identified these measures as critical to improving Arkansas’ tax competitiveness ranking.

  • HB 1500 – Repeals the throwback rule
  • HB 1501 – Aligns Arkansas’ income tax law with federal standards for expensing depreciable business assets
  • HB 1538 – Extends the net operating loss carryforward period

Other tax-related bills we support that are pending in the House Revenue and Taxation Committee:

  • HB 1435 – Provides income tax credits for childcare
  • SB 465 – Provides for a sales and use tax refund for speculative development projects and requires concurrent financial incentive agreements under the Consolidated Incentive Act of 2003.
  • HB 1469 – Establishes the Broadband Expansion and Efficiency Act. House Revenue and Taxation Committee.

To view the status of each of the bills we support, click HERE.

 

 

Pending bills we oppose:

HB 1442 – Seeks to place additional restrictions on pharmacy contracting, potentially increasing costs for businesses and consumers. Senate Public Health, Welfare and Labor Committee. We oppose this bill.

SB 5 – Establishes a criminal offense for prescription drug harm or homicide Senate Judiciary Committee. We oppose this bill.

SB 6 – Introduces a criminal offense for vaccine harm. Senate Judiciary Committee. We oppose this bill.

SB 7 – Seeks to grant legislators the ability to request sales and use tax reports. This bill failed in the Senate Revenue and Taxation Committee before spring break but is back on the committee agenda. We have concerns about confidentiality and business privacy. We oppose this bill.

To view the status of each of the bills we oppose, click HERE.

 

Bills of Interest

HB 1800 – Rep. Mindy McAlindon and Sen. Matt McKee
Amends campaign finance disclosure laws, requiring agents of a foreign principal to disclose their activities. This bill received a “Do Pass” recommendation yesterday from the House State Agencies Committee and is on this afternoon’s House calendar. We have reservations about this bill as written.

HB 1852 – Rep. Jeremiah Moore and Sen. Matt Stone
Establishes a right to repair for certain agricultural equipment. This bill was amended for a second time and received a “Do Pass” recommendation from the House Agriculture, Forestry and Economic Development Committee.

HB 1900 Rep. Rick Beck and Sen. Breanne Davis
Seeks to amend the law regarding information provided to royalty owners related to deductions; and to amend the law concerning sanctions for noncompliance related to information provided to royalty owners. Awaits consideration in the House Agriculture, Forestry and Economic Development Committee.

HB 1971Rep. Howard Beaty and Sen. Ben Gilmore
Seeks to amend the requirements concerning the information that shall be provided to a city or county by the Department of Finance and Administration.

SB 527 Sen. Missy Irvin and Rep. Lee Johnson
Seeks to amend the Arkansas Health and Opportunity for Me Act of 2021 and increase the medical-loss ratio of the ARHOME program. Awaits consideration in the Senate Insurance and Commerce Committee.

SB 567 – Sen. Steve Crowell and Rep. Rebecca Burks
Seeks to amend and modernize the law concerning the apportionment of income derived from multistate operations and to change the method for sourcing of receipts for services and intangibles. Received a “Do Pass” recommendation from the Senate Revenue and Taxation Committee yesterday.

SB 568 Sen. Steve Crowell and Rep. Lane Jean
Seeks to amend the law concerning the taxes applicable to lithium extraction and development; to provide a sales and use tax exemption for lithium resource development; and to amend the law concerning the severance tax on lithium.

SB 596 Sen. Matt McKee and Rep. Mindy McAlindon
Seeks to amend the law regarding energy; to establish a state energy policy; to regulate retirement of dispatchable electric generation facilities.

SB 546Sen. Kim Hammer and Rep. Mark Perry
Seeks to amend the law concerning the trust fund contribution fee for water permits related to nonmunicipal domestic sewage treatment works.

SB 556 Sen. Mark Johnson
Seeks to prohibit surface discharge of wastewater into a watershed.

SB 557Sen. Mark Johnson
Seeks to amend law concerning water permits and discharge of wastewater, to authorize denials of applicants that have a history of noncompliance and to prohibit certain discharge of wastewater.

 

NEWLY TRACKED BILLS
We added eight bills to our tracking list based on those filed yesterday.

HB 1970Rep. Howard Beaty and Sen. Ben Gilmore
Amends the law on prepayment of sales tax by increasing the threshold for retailers required to prepay. House Revenue and Taxation Committee.

HB 1971Rep. Howard Beaty and Sen. Ben Gilmore
Modifies requirements for information provided by the Department of Finance and Administration to cities and counties. House Revenue and Taxation Committee.

HB 1980Rep. Jimmy Gazaway and Sen. Blake Johnson
Creates the Technology and Energy for Sustainable Logistics Act (TESLA) and classifies electric vehicle charging stations as “critical infrastructure.” House Judiciary Committee.

SB 606Sen. Breanne Davis and Rep Jeremy Wooldridge
Revises the Used Tire Recycling and Accountability Act by establishing the Tire Management and Recycling Act, repealing the Used Tire Recycling Fund, and creating the Waste Tire Abatement Fund.

SB 607Sen. Steve Crowell and Rep. Steven Walker
Establishes requirements for public school districts implementing and maintaining a four-day school week.

SB 610Sen. Jonathan Dismang and Rep. Les Eaves
Amends the Generating Arkansas Jobs Act of 2025. Senate Insurance and Commerce.

SB 613Sen. Clint Penzo and Rep. Matt Duffield
Creates an election procedure to determine fluoridation policies for public water systems. Senate State Agencies Committee.

SB 615Sen. Clint Penzo and Rep. Aaron Pilkington
Amends energy regulations to address nonexport facilities and prohibit discrimination against them. Senate Insurance and Commerce.