The proposed bill aims to promote economic development by encouraging the allocation of funding to new businesses and those established within the last five years. It amends Arkansas Code Title 15, Chapter 4, Subchapter 2, by adding a new section, 15-4-221, which mandates that the Arkansas Economic Development Commission ensure that at least five percent of the budgeted funding for economic development programs, including community development block grants, is directed towards supporting new businesses and organizations that assist businesses in operation for less than five years.

Additionally, the bill specifies that the funding should support individuals starting new businesses in Arkansas and organizations that provide services to recently established businesses. The act is set to take effect on January 1, 2027, as indicated in the temporary language included in the bill.