Bill > SB454

This bill amends Arkansas law regarding the handling of unclaimed property funds by creating a new Unclaimed Property Interest Trust Fund and modifying how funds are managed and transferred. The bill establishes that interest earned from investing unclaimed property funds will now be deposited into a separate trust fund, which will first be used to reimburse the State Central Services Fund for administrative expenses related to managing unclaimed property. If there are insufficient funds in the Unclaimed Property Interest Trust Fund, the remaining amount can be withdrawn from the Unclaimed Property Proceeds Trust Fund. The bill also requires the Auditor of State to transfer at least $18 million annually to the state's general revenues from funds that have been held for three years. Additionally, the bill creates detailed provisions for how the new trust fund will operate, including maintaining year-to-year fund balances and providing record-keeping transparency. An emergency clause is included, which explains that the bill aims to reduce an ongoing liability by separating the principal unclaimed property funds from the interest earned on those funds, with the act set to become effective on July 1, 2025.

Government Affairs

https://arkleg.state.ar.us/Bills/Detail?id=sb454&ddBienniumSession=2025%2F2025R