Daily Legislative Update

Tuesday, March 10, 2009
58thDay of the 87th General Assembly

SPECIAL EDITION

*   *   *   AGREEMENT ON SALES TAX REDUCTION FOR MANUFACTURING  *   *   *

The State Chamber Chairman of the Board, the AIA Chairman of the Board, a Vice Chair of the AIA, the State Chamber/AIA President & CEO and the State Chamber/AIA  Executive Vice President met with Governor Beebe and members of his staff this morning to finalize an agreement on a further sales tax reduction for manufacturers. The agreement calls for a reduction in the sales and use tax rate on electricity and natural gas used by manufacturers in NAICS codes 31, 32 and 33 of 3/4ths of one cent (3.875 percent to 3.125 percent) effective July 1, 2009. There is also a provision to protect the state if claims from the reduced rate exceed $27 million in one year. However, this amount is currently over five times the actual amount of claims being filed and should not become an issue.

We are very grateful to Governor Beebe for helping provide this needed assistance to Arkansas manufacturers. Beebe’s top tax relief priority remains a further reduction in the sales tax on food and he is understandably concerned about the potential impact the current national recession might have on the state budget. At the same time, the Governor recognized that in these difficult times manufacturers need help to protect jobs. This reduction will also make the state more competitive when competing with our surrounding states for new jobs and/or to retain existing jobs.

We also thank Representatives John Lowrey, Bruce Maloch and David Dunn and Senator Barbara Horn for their work on our behalf behind the scenes to make this reduction happen.

HB 1624 by Rep. Dunn and SB 875 by Sen. Horn are being amended this afternoon to reflect the agreement.

STATE CHAMBER/AIA BILL TRACKING 

This session the House filed 1275 bills and the Senate filed 1010 bills.

The State Chamber/AIA is tracking 522 bills and resolutions. 

New bills added to the State Chamber/AIA tracking today:

  HB 1965   Carter Exempts distillate special fuel used in farm truck tractors for agricultural business from the excise tax on the fuel; requires licensing of the operator as a consumer of distillate special fuel for that purpose.
  HB 1966   Cheatham Provides a credit or rebate of local sales and use tax in excess of $2,500 paid on the purchase of a trailer. (Incomplete bill)
  HB 2002   Maxwell Amends the Alternative Fuels Development Act, adding synthetic transportation fuel, compressed natural gas, and algae biomass, increasing the maximum incentives from 20 to 35 cents per gallon and increasing maximum per-producer grant limits.
  HB 2021   Overbey
Wyatt		 Specifies that the authorization for municipalities and counties to issue bonds for capital improvements and efficiency-based projects extends to projects near the municipality or county.
  HB 2027   Hall Health Care (Patient Protection Act; Primary Care Provider).
  HB 2029   Brown
Luker		 Land/Housing (Agricultural Land; Non-farming Use Registration) - Agriculture - Natural Resources.
  HB 2035   Saunders Ethics Law (Election Commissioners; Campaign Participation) - Elections.
  HB 2036   Wells Health Care (Health Care Cost; Stabilization Act Created) - Insurance.
  HB 2038   Wells Health Care (Physician Credentials; Information Release) - Business/Professional Licensing.
  HB 2042   Bradford Taxation (Sales Tax Exemption; Seabrook Christian Center ).
  HB 2050   Maxwell Taxation (IRS Tax Debt; Setoff Procedures).
  HB 2051   Maxwell Ecology/Pollution Control (Weatherization; Revolving Loan Fund) - Energy.
  HB 2053   Dismang Land (Eminent Domain; Compensation) - Natural Resources.
  HB 2056   Reep Ecology/Waste Management (Landfills; Post Closure Trust Fund).
  HB 2059   Lowery Taxation (Sales Tax Exemption; Camp Fire USA ).
  HB 2060   Lowery Taxation (Sales Tax Exemption; SHARE Foundation).
  HB 2062   Lewellen Taxation (Income Tax Exemption; Senior Citizens) - Aging/Senior Citizens.
  HB 2065   Abernathy Schools (School Funding; Tax Reporting) - Taxation.
  HB 2071   Hyde Land (Mineral Rights; Conveyance) - Natural Resources.
  HB 2075   Hawkins Insurance (Regulation; Incomplete Bill).
  HB 2076   Webb Nonprofits (Nonprofit Incentive Act; Threshold Lowered) - Taxation.
  HB 2077   Webb Taxation (Income Tax Credit; Energy Efficiency) - Energy - Contractors.
  HB 2078   Webb Energy (Weatherization; Energy Office Program) - Land/Housing.
  HB 2079   Webb Utilities (Electricity Generation; Waivers) - Energy.
  HB 2081   Dunn Economic Development (Consolidated Initiative Act; Various Changes).
  HB 2083   Perry Taxation (Sales Tax Exemption; Ducks Unlimited).
  HB 2088   Shelby Insurance (Physician Profiling; Accuracy/Liability).
  HB 2090   Baird Business (Public Corporations; Regulation).
  HB 2091   Dunn Contractors/Construction (Public Facilities; Incomplete Bill).
  HB 2093   Greenberg Taxation (Income Tax; Incomplete Bill).
  HB 2094   Greenberg Economic Development (Quick Action Closing; Business Goals).
  HB 2102   Webb Business (Limited Liability Company; Low-Profit Status) - Nonprofits.
  HB 2104   Maxwell Taxation (Sales Tax Exemption; Manufacturing Utilities) - Business - Energy.
  HB 2106   Sample Consumer Protection (Motor Vehicles; Dealer Requirements) - Transportation.
  HB 2108   Woods Taxation (Origin Sourcing; Incomplete Bill) - Business.
  HB 2109   Sample Energy (Biomass; Incomplete Bill) - Agriculture.
  HB 2110   Creekmore Consumer Protection/Privacy (Social Security Numbers; Disclosure Regulations).
  HB 2119   Woods
Capps		 Telecommunications/Technology (Broadband; Accessibility).
  HB 2120   Burris, M. Taxation (Sales Tax Exemption; Manufacturing Utilities).
  HB 2122   Harrelson Agriculture (Sales Tax Exemption; Farmer's Markets) - Taxation.
  HB 2124   Roebuck Ecology/Pollution Control (Litter; Clean Communities Act).
  HB 2127   Garner Ecology/Pollution Control (Electric Signs; Regulation) - Business.
  HB 2139   Webb Business (Limited Liability Company; Low-Profit) - Nonprofits.
  HB 2142   Harrelson Taxation (Sales Tax Exemption; Self Storage).
  HB 2153   Ingram Gaming/Racing (Greyhound Racing; Incomplete Bill).
  HB 2156   George Counties (Property Tax; Poultry Inventory) - Agriculture - Taxation.
  HB 2165   Cowling Agriculture (Sales Tax Exemption; Agricultural Equipment) - Taxation.
  HB 2166   Cowling Agriculture (Sales Tax Exemption; Agri. Parts/Labor) - Taxation.
  HB 2175   King Contractors (Contractor Law; Threshold Amount).
  HB 2178   Harrelson Contractors (Contractor Law; Threshold Amount).
  HB 2183   Martin Taxation (Sales Tax Exemption; Disabled Veterans) - Military/Veterans Affairs.
  HB 2184   Martin Firearms (Open Carry; Legalized).
  HB 2186   Sample Controlled Substances (Pharmacies; Audit Bill of Rights).
  HB 2191   Patterson Taxation (Geo-tourism Credit; Distance from Byway) - Parks/Tourism.
  HB 2194   Pyle Highways (Speed Limit; Truck/Trailer) - Transportation.
  HB 2195   Pennartz Health Care (Mental Health Parity; Act Amended).
  HB 2197   Everett Fire/Emergency Services (911 Calls; Surcharge Authorized).
  HB 2198   Hawkins Insurance (Replacement Costs; Incomplete Bill).
  HB 2202   Rogers, T.
Altes		 Taxation (Sales Tax Exemption; Clothing Holiday ).
  HB 2204   Pyle Amusements (Hypogycgoudoleboism System; Cryogencis Authorized) - Legislative Affairs.

 

 

 HB 2205   Harrelson Gaming/Racing (Amusement Machines; Taxation) - Taxation.

 

 HB 2206   Everett Constitutional Amendments (Revenue Bonds; Interest Rate Limit) - Financial Institutions/Bonds.

 

 HB 2208   Barnett Transportation (Fleets; Registration).

 

 HB 2209   Barnett Taxation (Sales Tax Exemption; Earth Mission, Inc.).

 

 HB 2210   Barnett Taxation (Property Tax Exemption; Masonic Lodge).

 

 HB 2214   Baird Economic Development (Economic Development Projects; Incomplete Bill).

 

 HB 2228   Cash Consumer Protection (Debt Collections; Fair Practices).

 

 HB 2230   Webb Business (Windmill Manufacturer; Incentive Agreements) - Economic Development - Taxation.

 

 HB 2231   Flowers Financial Institutions/Bonds (License/Permit Bonds; Regulations) - (Notary Public Bonds; Regulations) - Business.

 

 HB 2232   Burris, M. Schools (Workforce Education; Adult Programs) - Economic Development.

 

 HB 2236   Carnine Schools (Consolidation; 901 sq. mi. Districts Prohibited)

 

 HB 2237   Carnine Schools (Consolidation; 1,000 sq. mi. Districts Prohibited)

 

 HB 2238   Carnine Schools (Consolidation; 1,054 sq. mi. Districts Prohibited).

 

 HB 2242   Wills
Smith, T.		 Gaming (State Lottery; Administration, Scholarships) - Higher Education.

 

 HB 2243   Wills Higher Education (Scholarships; Academic Challenge Program Revised).

 

 HB 2244   Maloch Insurance (Health Care Plans; Orthotic, Prosthetic Services Covered) - Health Care.

 

 HB 2247   Maloch Oil and Gas (Mineral Lessees; Prudent Operator Standard) - Land.

 

 HB 2248   Carter Taxation (Capital Gains Tax; Small Business Startup Sales Exempt) - Economic Development.

 

 HB 2250   Burris, M. Taxation (Excise Tax; Reduced Rate for Electric Power Generators) - Utilities.

 

 HB 2251   Lowery Municipalities (Eminent Domain; Industrial Manufacturing Plants) - Land, Property - Business/Corporations/Manufacturers.

 

 HB 2255   Patterson Taxation (Income Tax; Manufacturers' Tax Credit) - Economic Development.

 

 HB 2256   Maxwell
Jeffress, J.		 Taxation (Severance Tax; Biomass Production Exempt) - Alternative Fuels - Agriculture.

 

 HB 2260   Webb State Agencies (Energy Office; Aviation Fuel Data) - ( Municipal Building Permits; Adoption of Energy Code).

 

 HB 2262   Cole Telecommunications and Technology (Internet Access; Broadening of Access) - Economic Development.

 

 HB 2263   Lovell Schools (Consolidation; Calculation of Average Daily Membership).

 

 HB 2265   Harrelson State Agencies (Public Service Commission; Certain Appeals to the Court.

 

 HB 2267   Davenport Telecommunications (Cable Television Contractor; Service Cancellation Rights) - Consumer Protection.

 

 HB 2268   Carroll Water (Drilling Operations; Periodic Testing of Water) - Ecology - Oil and Gas.

 

 HB 2270   King Improvement Districts (Suburban Improvement Districts; Collection of Taxes).

 

 HB 2272   Maloch Civil Law (Civil Justice Reform Act; Various Revisions).

 

 HB 2273   Webb Energy (Home Efficiency; Revolving Loan Fund Established) - Real Estate - Public Service Commission.

 

 HB 2275   Saunders Taxation (Sales Tax, Local; Distribution for Criminal Justice Purposes) - Law Enforcement - Counties - Municipalities.

 

 SB 867   Faris
McLean		 Authorizes the use of campaign funds to purchase meals, travel and lodging for political purposes; requires lobbyists activity reports be filed in electronic form after Jan. 1, 2010.

 

 SB 870   Teague Allows solid waste management facilities to collect methane gas created by year waste for conversion to energy.

 

 SB 872   Teague Authorizes the carryover by firefighters of certified training hours earned in excess of annual requirements; exempts members of fire departments not engaged in firefighting from requirements but eligible for workers' compensation.

 

 SB 875   Horn Reduces the rate of the excise tax on utilities used by manufacturers from 3.875 percent to 3.375 percent effective July 1, 2009.

 

 SB 876   Wyatt Increases the emergency telephone (911) service fee on commercial mobile radio service connections, voice over internet protocol, and nontraditional telephone service from 50 cents per month to 65 cents per month.

 

 SB 879   Jeffress, G. Gives severed mineral rights owners an easement for surface access and use; gives surface owners 60-day period to object to a written development plan from a mineral developer; makes developer liable for surface damage after the notice.

 

 SB 883   Baker, G.
McLean		 Prohibits certain public officials from registering as lobbyists for one year after completion of term in elective office or termination from state employment; includes constitutional officers, legislators, agency heads and various assistants.

 

 SB 884   Bledsoe Creates the Regulatory Review Committee appointed by the Director of the Economic Development Commission to assist in the review of proposed rules; requires the director to respond to agencies within ten business days.

 

 SB 906   Salmon Amending ACA Title 8, concerning the rights and responsibilities of the Arkansas Pollution Control and Ecology Commission. (incomplete bill)

 

 SB 909   Salmon Exempts sales of tangible property sold by a school from the sales and use tax if the proceeds are dedicated to an endowment for the school, or used to defray operations or activity costs of the school.

 

 SB 913   Salmon Requires health benefit plans to provide coverage for the diagnosis and treatment of autism spectrum disorders; prohibits insurers from terminating or refusing coverage solely because a person is diagnosed with an autism disorder.

 

 SB 914   Salmon Clarifying the rights of a property owner and a mineral interest owner in the State of Arkansas . (incomplete bill)

 

 SB 920   Broadway Creates the Technology Acceleration Fund for use by the Economic Development Commission, Science and Technology Authority, and Development Finance Authority for investment incentives to improve technology development.

 

 SB 921   Broadway
Webb		 Establishing the Sustainable Building Design Program to provide loans to state agencies for the renovation of state-owned property for $250,000 or more, and establishing loan repayment and approval guidelines.

 

 SB 927   Thompson To promote the development of the alternative fuels industry in the state by establishing minimums for the percentage of alternative fuels to be sold in the state (Incomplete bill).

 

 SB 928   Thompson To increase state economic incentives for alternative fuel development (Incomplete bill).

 

 SB 940   Elliott To require health insurance coverage for craniofacial reconstruction. (Incomplete bill)

 

 SB 945   Elliott Requires counties to withhold membership dues of unions or professional associations from employee pay upon request of the employee.

 

 SB 946   Key Provides an income tax credit for costs of energy efficiency home improvements, not to exceed $500 per taxpayer; provides claim procedure; to remain in effect from Jan. 1, 2009 through Dec. 31, 2011.

 

 SB 947   Elliott Creates the Colorectal Cancer Prevention, Early Detection, and Treatment Program; requires collaboration of UAMS and the Department of Health to provide state-wide screenings with priority given to low-income individuals.

 

 SB 949   Wyatt To amend the Consumer-Patient Radiation Health and Safety Act. (Incomplete bill)

 

 SB 954   Bookout To amend state law regarding development and redevelopment projects within county and municipality development districts. (Incomplete bill)

 

 SB 960   Bookout Amending certain provisions of the Arkansas Tourism Development Act, ACA 15-11-501 et. (Incomplete bill)

 

 SB 971   Teague Requires the Department of Education to publish the annual consolidation list of schools with fewer than 350 students by January 1 of each year. (Incomplete bill)

 

 SB 972   Johnson, D. Makes various technical correction and revisions regarding the naming and service of registered agents representing foreign entities.

 

 SB 973   Madison Amending the tax provisions in Title 26 to provide for the tax treatment of wind power. (Incomplete bill)

 

 SB 975   Key Exempts the purchase of thermal imaging equipment by county governments for use by law enforcement aircraft from sales and use tax.

 

 SB 978   Bryles Amending Arkansas law concerning ethics requirements for elected and appointed officials, public employees and lobbyists. (Incomplete bill)

 

 SB 986   Key Increases the retirement benefits exemption from state income tax from $6,000 to $10,000; requires the Chief Fiscal Officer to incorporate a yearly cost-of-living adjustment into increasing exemptions; effective January 1, 2009.

 

 SB 990   Jeffress, J. To apply the reduced excise tax rate to high efficiency electric power generators. (Incomplete bill).

 

 SB 994   Thompson To clarify the law regarding pharmacy benefit managers and pharmacists' services. (Incomplete bill)

 

 SB 997   Key To amend the Civil Justice Reform Act of 2003. (Incomplete bill)

 

 SB 1003   Teague Exempts intangibles of providers of commercial mobile services from the ad valorem tax; requires claimants to submit costs of broadband deployment.

 

 SB 1005   Steele To amend laws regarding minority business economic development. (Incomplete bill)

 

 SB 1007   Crumbly To address rural enterprise community grants and financial assistance. (Incomplete bill)

 

 SB 1008   Bryles To provide additional school district options under the Public Education Reorganization Act. (Incomplete bill)

 

 SB 1010   Salmon To amend Title 8 to eliminate duplication of environmental laws and regulations. (Incomplete bill)

 

 SCR 12   Bryles
Wagner		 Encourages efforts to address global climate change, including reduction of greenhouse gas emissions, in a manner that promotes jobs and provides sustainable energy supply.

Please visit our tracking site here for the complete, searchable list of bills being tracked. The full text of each bill is also available at the site.

CONTACT INFORMATION

State Senators: 501-682-2902
State Representatives: 501-682-6211
State Chamber/AIA Staff
Randy Zook, President/CEO: rzook@arkansasstatechamber.com
Kenny Hall, Executive Vice President: khall@arkansasstatechamber.com  
Angela DeLille, Director of Governmental Affairs:adelille@arkansasstatec hamber.com
State Chamber/AIA phone: (501) 372-2222
State Chamber/AIA web site: www.arkansasstatechamber.com