The bill amends the detachment process for regional airport authorities from municipalities in Arkansas by removing the previous requirement for compliance with detachment procedures outlined in Arkansas Code 14-362-301 et seq. It introduces a new provision that allows an authority to detach from a municipality if the municipality merges, is annexed, or consolidates with another municipality, contingent upon a majority vote from the authority's board of directors. Additionally, the bill repeals Subchapter 3 of Arkansas Code Title 14, which previously governed annexation and detachment processes, thereby simplifying the framework and granting regional airport authorities greater discretion in their relationships with municipalities.

Moreover, the bill eliminates restrictions on municipalities regarding tax increases, debt maturity extensions, and revenue reallocations during the detachment process, allowing for more flexibility in managing financial obligations. It also introduces a retroactive effect, applying to actions taken from January 1, 2024, and invalidating any detachment petitions filed by regional airport authorities after this date. Overall, the bill aims to streamline the detachment process and provide clearer guidelines for both municipalities and regional airport authorities in their financial dealings.

Statutes affected:
SB 96: 14-362-132(c)