Daily Legislative Update
Monday, April 6, 2009
85th Day of the 87th General
Assembly
* * * CALL TO ACTION * * *
INCOME TAX NET LOSS CARRY FORWARD
HB 1911 by Rep. Keith Ingram and Senator Larry Teague is on Monday afternoon’s Senate Revenue and Taxation Committee agenda. Our best chance to get this bill passed is for you to convince your state senator to vote for it.
HB 1911 would
extend the income tax net operating loss (NOL) carry forward period from five
years to 15 years. It would apply only to losses incurred on or after
The
Some additional talking points:
·
When
·
More than 20 years ago,
·
The unreasonably short NOL carryover period puts businesses
in
· We are facing a major economic downturn of a magnitude most of us have not seen in our lifetimes and it is impossible to determine how long this recession will last.
· Arkansas companies that are able to survive should not be taxed on “phantom” profits that only exist because Arkansas prevents them from offsetting losses incurred in earlier years.
·
This is a job and economic development issue in
Please contact your state senator and especially senators on the Senate Revenue and Taxation Committee and urge them to vote FOR HB 1911.
Members of the Senate Revenue and Tax Committee are: Paul Miller—Chair, Bobby Glover—Vice chair, Denny Altes, John Paul Capps, Steve Faris, Terry Smith, Larry Teague and Sharon Trusty.
HEALTH CARE MANDATE
SB 913 by Sen. Mary Anne Salmon would require health benefit plans to provide coverage for the diagnosis and treatment of autism spectrum disorders and prohibit insurers from terminating or refusing coverage solely because a person is diagnosed with an autism disorder. It failed Friday morning on a voice vote in the House Insurance and Commerce Committee. However, it only needs two more votes to pass and in the waning days of the session anything is possible.
SB 913 will raise health insurance rates for the companies that are not self-insured approximately 2.1 percent. Generally, the smaller businesses and non-profit organizations will be the ones most impacted by this legislation.
PLEASE CONTACT MEMBERS OF THE HOUSE INSURANCE AND COMMERCE COMMITTEE AND URGE THEM TO VOTE NO ON SB 913.
Members of the
House Insurance and Commerce Committee are: Eddie Hawkins—Chair, Fred
Allen—Vice chair, Bill Abernathy,
TODAY AT THE CAPITOL
House convenes at
Senate convenes at
Committee Meetings:
Joint:
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Room 130 |
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Room 151 |
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Room 171 |
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Upon Adjournment |
Room 171 |
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House:
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Room 130 |
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Room 151 |
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15 Minutes Upon Adjournment of House |
Room 138 |
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Upon Adjournment of House |
130 |
AGING, CHILDREN AND YOUTH, LEGISLATIVE & MILITARY AFFAIRS- HOUSE |
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Upon Adjournment |
428 |
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Senate:
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Room 207 |
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ROOM 309 |
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15 Minutes Upon Adjournment of Senate |
Room 309 |
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15 Minutes Upon Adjournment of Senate |
Room 207 |
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Upon Adjournment of Senate |
Room 272 |
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Upon Adjournment of Senate |
Room OSC |
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ISSUES
CONSTITUTIONAL AMENDMENTS
A joint meeting of the House and Senate State Agencies
Committees will convene at
SJR 3 declares the constitutional right to hunt, fish, trap, and harvest game subject only to reasonable regulation of the Arkansas Game and Fish Commission. It has been approved by the Senate and is on today’s House calendar.
HJR 1007 would remove the
investment and employment limits ($500 million in capital and 500 new
employees), as well as the upper limit on the amount of bonds issued, for
funding economic development projects. It will change Amendment 82, the
Super-Project Amendment, to make it more broadly applicable to projects in
more areas and allow
Of the seven joint resolutions left for consideration, three are getting the most attention--HJR 1003, SJR 6 and HJR 1004. The State Chamber/AIA supports all three.
HJR 1003 by Rep. Bruce Maloch would remove the interest rate limits on bonds issued by governmental units and loans made to governmental units. This is also a pro-economic development proposal that would help local government projects and student loans.
SJR 6 by Sen. Broadway was originally filed to make savings from performance-based efficiency projects revenue under the revenue bond statutes. This resolution has been amended to include HJR 1003 and could be further amended to be identical to HJR 1003.
HJR 1004 by Rep. Eddie Cheatham would make the same changes in interest rate limits as HJR 1003. In addition, it would adjust interest rate limits to assist businesses that make consumer loans.
The other resolutions that could be considered include:
- SJR 1 by Sen. Glover would increase the terms of county officials from two to four years.
- SJR 5 by Sen. Baker would increase the length of terms for certain county officials.
- SJR 10 by Sen. Malone would repeal the requirement for a budget session of the General Assembly in even numbered years.
- SJR 11 by Sen. Smith relates to the State Game & Fish Commission
IMPROVEMENT DISTRICTS
HB 1060 by Rep. Tracy Pennartz would create an income tax credit for 20 percent of up to the first $2 million of rehabilitation expenses for central business improvement districts, limiting the total state expenditure in a fiscal year to $20 million. It passed the House last week and is on today’s Senate Revenue and Taxation Committee agenda.
RENEWABLE ENERGY/CLIMATE CHANGE LEGISLATION
HB 2273 by Rep. Webb would have established a revolving loan fund to be administered by the Public Service Commission to provide loans to homeowners for the acquisition of energy conservation measures to improve the use of energy. It is on today’s House calendar to be withdrawn from further consideration.
HB 2051 by Rep. Maxwell is the Home Weatherization Revolving Loan fund Act of 2009.
The bill would
direct the Arkansas Public Service Commission to establish a home
weatherization revolving loan fund for
SB 906 by Senator Mary Ann
Salmon would amend the
SB 959 by Sen. John Paul Capps would abolish dormant boards and commissions and clarify the law concerning ongoing boards and commissions. It received a Do Pass as amended recommendation from the House State Agencies and Governmental Affairs Committee on Friday and is on today’s House calendar to formally adopt the amendment.
TAX WITHHOLDING
HB 1929 by Rep. Bill Sample would make an employer who pays an employee in cash and fails to withhold taxes subject to a penalty of three times the amount of withholding. It passed the House by a vote of 73 to 13 on Friday and is on today’s Senate Revenue and Taxation Committee agenda.
UNION DUES CHECKOFF
SB 945 by Sen. Joyce Elliott would allow county employees to have union dues withheld from their paychecks. It previously failed in the Senate by a vote of 10 to 15. However, the vote was expunged, which means the bill could be brought up again for consideration.
LAST WEEK AT THE CAPITOL
ISSUES
CLARIFY DIES AND MOLDS EXEMPTION
SB 770 by Sen. Larry Teague and Rep. Keith Ingram passed the House Friday by a vote of 93 to 2 and will now go to the Governor’s desk for his signature. SB 770 expands the exemption for "dies and molds" used directly in manufacturing to specifically include other forms, tools and devices that determine the physical characteristics of finished products at any stage of a manufacturing process.
REBATE EXTENSION
HB 1949 by Rep. Davy Carter failed to pass the House on Friday. The vote was 43 to 37 with 20 members not voting. The bill would have extended the time to seek a rebate of local sales taxes from six months to one year.
CAPITOL GAINS REDUCTION
HB 1947 by Rep. Ed Garner was approved by the House on Friday and could be considered by the Senate Revenue and Taxation Committee this afternoon. This bill would create a state income tax exemption for the net capital gain from the sale of property that was acquired by a seller after July 1, 2009 and owned for more than one year prior to the sale. The state Department of Finance and Administration says the bill would cost the state $42.8 million in fiscal year 2011 and $65.9 million in 2012.
SB 940 by Sen. Joyce Elliott that would have required group health plans and group health insurers to cover certain medically necessary reconstructive surgeries was referred to interim study on Friday.
POPULAR VOTE FOR U.S. PRESIDENT
HB 1339 by Rep. Eddie
Cooper and Sen. Terry Smith would assign
THIS WEEK AT THE CAPITOL
Committee Meetings for
Joint:
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Room 272 |
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Room 171 |
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House:
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Room 130 |
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Room 428 |
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Room 138 |
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Room 151 |
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Room 149 |
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15 Minutes Upon Adjournment of House |
Room 138 |
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Upon Adjournment of House |
Room 130 |
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Senate:
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Room 171 |
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OSC |
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ROOM 309 |
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ISSUES
LAST WEEK OF THE SESSION?
The legislature continues to work toward an expected adjournment by Thursday.
RENEWABLE ENERGY TARIFF
HB 1851 by Rep. Kathy Webb was considered last Wednesday in the House Insurance and Commerce Committee. It failed to receive the Committee’s approval, but remains on the agenda. The State Chamber/AIA opposes this bill.
AEDC’S LEGISLATIVE PACKAGE
In partnership with the Arkansas Economic Developers, the State Chamber/AIA favors the AEDC package of bills.
HB 1910 by Rep. Keith Ingram and Sen. David Johnson would change the equity investment incentive tax credit from 33.3 percent to 50 percent of the amount invested; allowing for a tax credit of 100 percent of start-up costs of forming a regional or community-based alliance fund; changing eligibility for investments. It received a Do Pass as amended from the House Revenue and Taxation Committee last Thursday, the amendment was formally adopted on Friday and it is on today’s House calendar for final consideration.
SB 1005 by Sen. Tracy Steele would establish a Minority Business Advisory Council to aid minority businesses in applying for and obtaining contracts with state agencies. It would require each state agency to employ a minority business officer to work with the commission. It passed the House by a vote of 76 to 4 on Friday and will now go to the Governor for his signature.
HB 2260 by Rep. Kathy Webb would require the Arkansas Energy Office to collect data on aviation fuels; authorizes the Energy Office to require cities and counties issuing building permits to adopt the current Arkansas Energy Code for New Building Construction. It passed the Senate by a vote of 33 to 1 on Friday and will now go to the Governor’s desk for his signature.
REMAINING RENEWABLE ENERGY/CLIMATE CHANGE LEGISLATION
SB 584 by Sen. Shane Broadway authorizes the Development Finance Authority to issue the Energy Cost Savings Projects General Obligation Bonds, not to exceed $300,000,000, to finance energy cost savings contracts by state agencies for improvements to state buildings. It is on the Senate Insurance and Commerce Committee agenda.
HB 1663 by Rep. Kathy Webb would provide for the building and renovation of buildings owned by the state or institutions of higher education through sustainable, energy efficient methods. It is on the Joint Energy Committee agenda.
HB 2078 by Rep. Webb would provide for the development of a program to assist residents with energy audits, weatherization and the installation of energy efficiency measures and to promote a workforce for that purpose. It is on today’s House calendar to be withdrawn from further consideration.
HB 1796 by Rep. Fred Allen would create the Alternative Energy Commission to study bioenergy, ethanol, solar and wind power, and other energy sources identified by the commission. It awaits consideration by the Senate.
HB 1838 by Rep. Roy Ragland is a shell bill that would provide incentives for the development of renewable energy sources. It is on the Joint Energy Committee agenda. No position was determined on this bill.
HB 1748 by Rep. Steve Breedlove would allow a deduction from gross income for the purchase and use of a solar energy system. It passed the House by a vote of 92 to 1 on Friday and is on today’s Senate Revenue and Taxation Committee agenda.
HB 1861 by Rep. Jane English would increase from 50 percent to 75 percent the income tax credit under the Emerging Technology Development Act of 1999, renames the Act, and adds alternative fuel sources, wind power, and electric vehicle equipment as qualifying technologies. It is on the House Revenue and Taxation Committee agenda.
HB 2109 by Rep. Bill Sample would provide incentive to promote the generation of electricity from biomass, including without limitation agricultural waste, wood waste, poultry waste and other animal waste. It is on the House Revenue and Taxation Committee agenda.
SB 440 by Sen. Broadway would extend the Legislative Task Force on sustainable Building Design and Practices. It received a Do Pass recommendation from the House State Agencies and Governmental Affairs Committee on Friday and is on today’s House calendar. No position was determined on this bill.
HB 2235 by Rep. David Dunn would promote conservation of energy and natural resources in certain buildings leased by the state or state-supported institutions of higher education. It is on the House Education Committee agenda.
SB 921 by Sen. Shane Broadway would create the sustainable building design program for state agencies. It received a Do Pass recommendation from the House State Agencies and Governmental Affairs Committee on Friday and is on today’s House calendar.
SB 946 by Sen. Johnny Key would provide 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
SB 973 by Sen. Sue Madison is a shell bill that would amend the tax provisions in Title 26 of the Arkansas Code to provide for the tax treatment of wind power. It is also on the Senate Revenue and Taxation Committee agenda.
SB 927 by Sen. Robert Thompson is a shell bill 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. It is on the Senate Agriculture and Economic Development Committee agenda. This bill is expected to be amended to include a mandate. The State Chamber/AIA opposes mandates.
SB 928 by Sen. Robert Thompson is a shell bill to increase state economic incentives for alternative fuel development. It is also on the Senate Agriculture and Economic Development Committee agenda. A position will have to be determined after the bill is amended.
EQUAL RIGHTS AMENDMENT
HJR 1014 by Rep. Lindsley Smith and SJR 12 by Sen. Sue Madison would ratify the proposed amendment to the United States Constitution guaranteeing equality of rights to women and authorize Congress to enforce by legislation those provisions. We are concerned about potential applications in the workplace. SJR 12 remains on the Senate State Agencies and Governmental Affairs Committee agenda. HJR 1014 also remains on the agenda in the House State Agencies and Governmental Affairs Committee.
STATE CHAMBER/AIA BILL TRACKING
This session the House filed 1275 bills and the Senate filed 1010 bills.
The State Chamber/AIA is tracking 537 bills and resolutions.
Please visit our tracking site here for the complete, searchable list of bills being tracked. The full text and an up to date status 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
