Bill > SB182

This bill addresses what happens when a local government (county or municipality) fails to pass a new annual appropriation ordinance by January 1. Under the proposed legislation, if a new budget is not adopted, the previous year's annual appropriation ordinance will automatically be readopted, allowing the local government to continue operations. The bill specifies that expenditures will be limited to necessary operational expenses, including maintaining government services, protecting public health and safety, paying employee salaries at their previous year's levels, fulfilling existing contracts, and making debt payments. Specifically, the bill prohibits paying per diem compensation for justices of the peace and the county judge's salary until a new appropriation ordinance is adopted. For municipalities, the bill clarifies that expenditures under the previous year's budget cannot include new capital purchases. The emergency clause emphasizes that this legislation is crucial to ensure local governments can continue providing essential services and paying employees when budget negotiations are delayed, thus protecting public peace, health, and safety. The bill would take effect immediately upon gubernatorial approval or similar legislative procedures.

Government Affairs

https://arkleg.state.ar.us/Bills/Detail?id=sb182&ddBienniumSession=2025%2F2025R