Daily Legislative Update: Tuesday, April 15, 2025

Photo by Will Newton/Arkansas House of Representatives
Tuesday, April 15, 2025 – Day 93
LEGISLATIVE SCHEDULE
The Senate will convene at 1:00 p.m., and the House will convene 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.
All indications suggest the session will conclude by Wednesday.
**CALL-TO-ACTION**
SUPPORT SJR 15
*Please contact your state representatives and urge them to support SJR 15.
SJR 15 is a constitutional amendment that gives local communities, not the state, a powerful tool to attract new jobs, investment, and redevelopment. No state funds are involved.
Arkansas is the only state in our region that does not allow these types of Economic Development Districts. That puts our communities—urban and rural—at a disadvantage when competing for retail, tourism, entertainment, and mixed-use projects. SJR 15 gives local leaders the ability to redevelop areas, revitalize main streets, and help small businesses grow.
The amendment does not create a statewide program and it does not come with any state mandates. It simply enables local governments to use a tool already proven successful in neighboring states. This is a rare opportunity to empower local leadership without relying on state dollars.
Please contact your state representatives TODAY and ask them to support SJR 15. Let’s give Arkansas communities the freedom they need to grow and compete.
What SJR 15 does:
- Allows the General Assembly to authorize the creation of Economic Development Districts at the city, county, or regional level.
- Enables these districts to issue bonds, invest in infrastructure, and craft incentives to attract businesses.
- Encourages collaboration and competition between communities, both within Arkansas and with neighboring states.
Why this matters:
- Arkansas needs more locally driven solutions for economic development.
- Under the current structure, counties and localities in Arkansas lack certain authority to reduce taxes or tailor incentives to attract and retain businesses.
- The Arkansas Economic Development Commission plays a key role in growing jobs in Arkansas. However, because it is a state entity with limited resources, it cannot always meet the unique needs of every Arkansas community.
This legislation would allow localities to:
- Pursue customized economic development strategies.
- Compete for jobs and investment on a more level playing field.
- Promote innovation and flexibility at the community level.
For more information about SJR 15:
This is a game-changing opportunity to give local leaders the authority they need to build stronger communities and a stronger Arkansas.
Contact your legislators and ask them to SUPPORT SJR 15.
LEGISLATIVE MESSAGE CENTER
Senate: 501-682-2902
House: 501-682-6211
Support Pro-Growth Economic Development Legislation
The following four bills are from the Arkansas Economic Development Commission’s (AEDC) legislative package. Each one plays a key role in supporting economic growth, business investment, and job creation in Arkansas.
SB 568 – Amends the law concerning taxes applicable to lithium extraction and development; provides a sales and use tax exemption for lithium resource development; and amends the severance tax on lithium. This bill establishes a comprehensive lithium incentive program that encourages in-state extraction, process, refining, manufacturing, and recycling. This bill passed 94-1 in the House. We supported this bill, which is part of the Arkansas Economic Development Commission’s legislative package.
HB 1935 – Amends the Consolidated Incentive Act of 2003 and creates a modernization and automation tax credit to encourage investment by existing businesses within the state. This bill establishes an incentive program that encourages Arkansas businesses to generate large capital investments within the state, particularly those directed at modernizing and automating existing operations. This bill passed the Senate 30-1. We supported this bill, which is part of the Arkansas Economic Development Commission’s legislative package.
HB 1797 – Seeks to amend the law concerning the Arkansas Development Finance Authority (ADFA) and a portion of the Arkansas Code resulting from Initiated Act 1 of 2000. This bill finalizes the privatization of ADFA, allowing it to operate independently of the Department of Commerce. This bill received a “Do pass as amended” recommendation by the House State Agencies Committee and awaits consideration on the House floor. We support this bill, which is part of the Arkansas Economic Development Commission’s legislative package.
HB 1922 – Seeks to amend the Consolidated Incentive Act of 2003; creates an income tax credit for relocating corporate headquarters to Arkansas; and encourages corporate relocations to the state. This bill makes Arkansas a more attractive destination for national and regional headquarters, boosting our local economies and job growth. This bill passed 22-13 in the Senate. We supported this bill, which is part of the Arkansas Economic Development Commission’s legislative package.
AT THE CAPITOL: A SYNOPSIS OF WHAT YOU NEED TO KNOW
Yesterday at the Capitol
HB 1706 – Prohibits ranked choice voting. It passed the Senate 28-4. We supported 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. This bill passed Senate 33-1. We supported this bill.
SB 537 – 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 the House 96-0. We joined ARSHRM in support of 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. It passed the House 94-1. We supported this bill that will provide much needed additional funds to the DWS Training Trust Fund at no cost to employers.
SB 610 – Amends the Generating Arkansas Jobs Act of 2025. It passed the House 92-0.
HB 1800 – Seeks to amend disclosure laws requiring reporting of foreign spending in political activities. This bill received a “Do Pass as amended” recommendation from the House State Agencies Committee. This bill has been effectively amended.
SB 596 – Seeks to amend the law regarding energy; establish a state energy policy; and regulate retirement of dispatchable electric generation facilities. This bill passed the Senate 34-0.
Pending Bills
HB 1295 – Seeks to create the Healthcare Cost-Sharing Collections Transparency Act. Awaits consideration on House floor. We oppose this bill.
HB 1656 – Seeks to make changes to existing royalty contracts. This bill received a “Do Pass as amended” recommendation in the House Agriculture and Economic Development Committee and awaits consideration on the House floor. We oppose this bill.
HB 1970 – Amends the law on prepayment of sales tax by increasing the threshold for retailers required to prepay. This bill awaits consideration in the House Revenue and Taxation Committee. This bill would benefit small retailers.
SB 462 – Provides for re-entering convicted persons to obtain a certificate of employability which will then provide some protection to employers for alleged “negligent hiring.” This bill awaits consideration in the Senate Judiciary Committee. We join the Arkansas Society of Human Resource Managers (ARSHRM) in support of this bill.