The bill seeks to enhance the independence and operational efficiency of the Arkansas Development Finance Authority (ADFA) by transferring it out of the Department of Commerce and allowing it to function as an independent instrumentality of the state. This change aims to address the ongoing housing crisis in Arkansas, which is viewed as a hindrance to economic growth. The ADFA will be exempt from certain state regulations and will not rely on tax revenues, enabling it to conduct financial operations with reduced governmental oversight. The bill also grants the authority the power to appoint its own officers, set their compensation, and manage its funds without being classified as public funds under Arkansas Procurement Law.

Additionally, the bill amends the definition of "agency" under the Administrative Procedure Act to exclude the ADFA, ensuring it operates with distinct administrative procedures. It clarifies that the Attorney General will represent all state officials and agencies, except for the ADFA. The bill also repeals a section regarding the ADFA's transfer to the Department of Commerce and modifies provisions related to the Arkansas low-income housing tax credit, making it non-refundable and allowing it to be carried forward for five years. An emergency clause is included, indicating that the act will take effect on July 1, 2025, to facilitate the ADFA's operations and support essential governmental programs.

Statutes affected:
Old version HB1797 Original - 3-14-2025 04:04 PM: 15-5-102, 15-5-104, 15-5-202(e), 15-5-207(b), 15-5-212(a), 15-5-303, 15-4-604, 15-4-605, 15-4-608, 15-4-701, 15-22-301, 15-5-409(c), 15-5-409(e), 19-4-801(2), 19-4-803(a), 19-9-606, 19-11-203(13), 19-11-203(23), 21-4-203(12), 21-5-204(a), 21-5-410(a), 22-6-601(a), 22-8-206, 25-15-202(2), 25-16-702(a), 25-16-702, 25-43-302(a), 26-51-1702(c)
Old version HB1797 V2 - 4-7-2025 06:58 PM: 15-5-102, 15-5-104, 15-5-202(e), 15-5-207(b), 15-5-209(a), 15-5-209(c), 15-5-212(a), 15-5-303, 15-4-604, 15-4-605, 15-4-608, 15-4-701, 15-22-301, 15-5-409(c), 04-07-2025, 15-5-409(e), 19-4-801(2), 19-9-606, 19-11-203(13), 19-11-203(23), 21-4-203(12), 21-5-204(a), 21-5-410(a), 22-6-601(a), 22-8-206, 25-15-202(2), 25-16-702(a), 25-16-702, 25-43-302(a), 26-51-1702(c)
Old version HB1797 V3 - 4-9-2025 03:20 PM: 15-5-102, 15-5-104, 15-5-202(e), 15-5-207(b), 15-5-209(a), 15-5-209(c), 15-5-212(a), 15-5-303, 04-09-2025, 15-4-604, 15-4-605, 15-4-608, 15-4-701, 15-22-301, 15-5-409(c), 15-5-409(e), 19-4-801(2), 19-9-606, 19-11-203(13), 19-11-203(23), 21-4-203(12), 21-5-204(a), 21-5-410(a), 22-6-601(a), 22-8-206, 25-15-202(2), 25-16-702(a), 25-16-702, 25-43-302(a), 26-51-1702(c)
HB 1797: 15-5-102, 15-5-104, 15-5-202(e), 15-5-207(b), 15-5-212(a), 15-5-303, 15-4-604, 15-4-605, 15-4-608, 15-4-701, 15-22-301, 15-5-409(c), 15-5-409(e), 19-4-801(2), 19-4-803(a), 19-9-606, 19-11-203(13), 19-11-203(23), 21-4-203(12), 21-5-204(a), 21-5-410(a), 22-6-601(a), 22-8-206, 25-15-202(2), 25-16-702(a), 25-16-702, 25-43-302(a), 26-51-1702(c)
Act 944: 15-5-102, 15-5-104, 15-5-202(e), 15-5-207(b), 15-5-209(a), 15-5-209(c), 15-5-212(a), 15-5-303, 04-09-2025, 15-4-604, 15-4-605, 15-4-608, 15-4-701, 15-22-301, 15-5-409(c), 15-5-409(e), 19-4-801(2), 19-9-606, 19-11-203(13), 19-11-203(23), 21-4-203(12), 21-5-204(a), 21-5-410(a), 22-6-601(a), 22-8-206, 25-15-202(2), 25-16-702(a), 25-16-702, 25-43-302(a), 26-51-1702(c)