The proposed bill aims to promote economic growth by encouraging state agencies in Arkansas to allocate a portion of state contracts to local businesses that have been in operation for less than five years. Specifically, it mandates that the Office of State Procurement encourage each state agency to award at least five percent (5%) of their contracts to eligible businesses, defined as those that have been operating for less than five years and have their principal place of business in Arkansas.

To implement this initiative, the bill introduces a new section to the Arkansas Code, specifically 19-11-108, which outlines the definition of a "state agency" and establishes the criteria for the businesses eligible for these contracts. This legislative effort seeks to support emerging businesses within the state, fostering a more dynamic and competitive economic environment.