Bill > HB1797

This bill amends multiple sections of Arkansas law to restructure and grant greater independence to the Arkansas Development Finance Authority (ADFA). The bill transfers the ADFA out of the Department of Commerce, making it an independent instrumentality of the state with reduced governmental regulation. Key provisions include exempting the ADFA from certain state regulations like the Administrative Procedure Act and Arkansas Procurement Law, allowing the authority to appoint its own employees and set their compensation, and declaring that its cash funds are not considered public funds. The bill also clarifies the ADFA's role in addressing housing challenges and economic development, and ensures that existing ADFA employees will maintain their current employment status and grade during the transfer. The legislative findings suggest that increased independence will improve the authority's efficiency and performance without relying on tax revenues. An emergency clause is included to make the bill effective on July 1, 2025, emphasizing the importance of these changes for the authority's operations and the state's economic development efforts.

Government Affairs

https://arkleg.state.ar.us/Bills/Detail?id=hb1797&ddBienniumSession=2025%2F2025R