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HB 1066

AN ACT FOR THE DEPARTMENT OF ENERGY AND ENVIRONMENT - DIVISION OF ENVIRONMENTAL QUALITY APPROPRIATION FOR THE 2026-2027 FISCAL YEAR.

2026 Fiscal Session

HB 1066 sets a 2026-27 appropriation for environmental programs and tightens UTRAA fees: limits/ties fees to one per tire, caps reimbursements at $2.31, and requires county tire co

Correctly enrolled and ordered transmitted to the Governor's Office.
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Bill Summary · HB 1066

Summary of HB 1066 (Fiscal Session 2026, Arkansas)

Overview

  • Bill: HB 1066
  • Session: 2026F (Arkansas)
  • Jurisdiction: Arkansas
  • Department/Agency Focus: Department of Energy and Environment – Division of Environmental Quality
  • Purpose: Annual appropriation for the 2026-2027 fiscal year, with specific amendments to the Used Tire Recycling and Accountability Act (UTRAA) provisions via an amendment adopted during the bill’s progression.

Main Purpose and Intent

  • Appropriates funding to the Department of Energy and Environment, specifically the Division of Environmental Quality, for the 2026-2027 fiscal year.
  • The accompanying amendment (Amendment No. 1) introduces targeted changes to the Used Tire Recycling and Accountability Act (UTRAA) that affect fees, reimbursement rates, and tire collection requirements.

Key Provisions (as amended)

Section 41: Code Amendment – Fees for Tire Services

  • Amends Arkansas Code § 8-9-404(a)(3)(B) regarding fees charged by tire retailers for tire removal and rim replacement services.
  • New rule:
    • Except for rim removal fees, tire retailers may not charge any other fee to a person purchasing tire removal from a rim and replacement with a used tire.
  • Implication: Clarifies that only the rim removal fee is permissible; other potential ancillary fees by retailers for this service are prohibited.

Section 42: Code Amendment – Commercial Generator Fees

  • Repeals Arkansas Code § 8-9-404(d)(3)(B), which previously addressed fees charged by commercial generators.
  • The amendment removes the allowance for additional fees beyond the commercial generator fee.
  • Implication: Tightens fee structure for commercial generators by removing an existing allowance for other charges.

Section 43: Code Amendment – Fee Imposition for Tire Rim Removal vs. Commercial Generator Fees

  • Repeals § 8-9-404(e) (fee-related provisions).
  • New intent:
    • Only one fee may be charged for tire removal from a rim related to the sale of a replacement tire: either the rim removal fee OR the commercial generator fee (not both).
    • If a person has already paid one of the fees, the other party (retailer or generator) may not charge the additional fee for that tire.
  • Implication: Eliminates dual-fee stacking for rim removal transactions and clarifies fee charging to prevent double-feeing for the same service.

Section 44: Code Amendment – Reimbursement Rate for Used Tire Programs

  • Amends § 8-9-405(a)(1) to set reimbursement for used tire programs at a rate not to exceed $2.31 per used tire processed, applicable to transportation, recycling, and disposal costs, effective July 1, 2026.
  • Implication: Establishes a defined reimbursement cap to support the financial viability of used tire programs starting mid-2026.

Section 45: Code Amendment – Tire Collection Centers (Reimbursement Eligibility)

  • Amends § 8-9-405(b)(9) and (10) to clarify and require tire collection centers for reimbursement eligibility:
    • (9) Establish collection centers that adequately serve the program area within each county, with centers accepting tires from retailers at no charge if the retailer:
    • Collects the rim removal fee under § 8-9-404(a) and
    • Complies with the electronic uniform used tire manifest system under § 8-9-407.
    • Centers may be located at solid waste facilities, tire processing facilities, or tire retailers.
    • (10) Requires at least one tire collection center in each county served by the program.
  • Implication: Enhances infrastructure for tire collection and ensures alignment with fee collection and tracking requirements via the manifest system.

Who is Affected

  • Tire retailers and commercial tire generators: subject to clarified/limited fee structures and prohibition on duplicative fees.
  • Used tire programs: receive defined reimbursement rates and a framework for establishing collection centers.
  • Tire retailers, waste management facilities, and solid waste facilities: potential hosts for tire collection centers.
  • General public/unit end users: affected indirectly through fee structures and reimbursement mechanisms.

Procedural and Timeline Aspects

  • Effective date for the new reimbursement rate: July 1, 2026.
  • The amendment was adopted and the bill was reported correctly engrossed in late April 2026, with multiple readings and committee actions preceding the final adoption.
  • The amendment preserves overall appropriation purposes while layering in specific UTRA-related code changes.

Notes

  • The bill's core funding authorization remains an appropriation for the 2026-2027 fiscal year, with the amendment providing substantive changes to the Used Tire Recycling and Accountability Act provisions to streamline fees, fees’ prevent duplication, and bolster program funding and infrastructure.

Compiled from official sources — confirm details with the bill’s official record.

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