Bill > SB420

This bill expands the definition and eligibility of water authorities and modifies the Construction Assistance Revolving Loan Fund in Arkansas. The bill broadens the definition of a "qualified corporation" to include not just nonprofit corporations, but also governmental entities, municipal authorities, investor-owned utilities, improvement districts, and rural development authorities that provide water services. It simplifies the process for these entities to convert to water authorities by removing some previous restrictions, such as the requirement that a nonprofit corporation must have been initially formed under specific statutes and must lack direct access to tax-exempt capital markets. The bill allows more flexibility in the conversion process, including the option for a qualified corporation to maintain its corporate existence after becoming a water authority. Additionally, the bill updates the Construction Assistance Revolving Loan Fund to allow deposits of loans and bonds from both public and private owners of environmental projects, expanding the fund's scope to finance various environmental infrastructure projects like water systems, wastewater systems, and waste management facilities. These changes aim to provide more opportunities for water and environmental infrastructure development across different types of entities in Arkansas.

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https://arkleg.state.ar.us/Bills/Detail?id=sb420&ddBienniumSession=2025%2F2025R