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Bill

HB 1971

Suffrage; restore to Debra Denise Thomas of Hinds County.

2025 Regular Session

Allows cities/counties to obtain a list of local vendors with state tax permits, including names and four-digit NAICS codes, under confidentiality and fee rules.

Died In Committee
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Bill Summary · HB 1971

Summary — HB 1971 (2025)

Note up front: the legislative text and file for HB 1971 appear to contain mixed/merged material from multiple jurisdictions and bills (see “Notes/Anomalies” below). This summary focuses on the substantive Arkansas statutory amendment included in the bill text (amendment to Ark. Code § 26‑18‑303(h)), and also records the bill’s procedural status as provided.

Purpose

To modify the law governing disclosure of Department of Finance and Administration (DFA) tax records so that a city or county may obtain a list of local vendors holding state sales/compensating tax permits, including each vendor’s name and four‑digit NAICS code, subject to timing, registration, fee, and confidentiality conditions.

Key provisions

  • Amends Arkansas Code § 26‑18‑303(h) (allowable disclosures of tax records).
  • Authorization: Upon written electronic request by a city or county official, DFA shall provide a report listing vendors within the requesting jurisdiction who hold permits under the Arkansas Gross Receipts Act (§ 26‑52‑101 et seq.) or the Compensating Tax Act (§ 26‑53‑101 et seq.).
  • Timing and compilation:
    • Requests must be submitted electronically by an official prior to August 1 of the calendar year for which the list is requested.
    • Lists will be compiled from valid sales tax permit holders as of September 1 and made available after October 1 of the year requested.
  • Report contents: Vendor name and the four‑digit North American Industry Classification System (NAICS) code assigned to each vendor, delivered electronically.
  • Fees: DFA may charge a reasonable fee based on the number of permit holders; fees deposited into the State Central Services Fund to reimburse DFA costs.
  • Access control: Requesting city/county must register for an account with the Arkansas Taxpayer Access Point (ATP) or successor portal to receive the report.
  • Confidentiality limits:
    • Information received by a city or county remains confidential and is not subject to disclosure except as provided by law.
    • The DFA “shall not discuss any details of a report” with the requesting government or third parties (language as written in the bill).
  • Effective date: Section 1 effective on and after January 1, 2026.

Who would be affected

  • City and county governments — gain access to vendor lists with NAICS codes for planning, economic development, tax administration, etc.
  • Department of Finance & Administration — required to compile, deliver, and potentially charge for the reports; must manage ATP account registration and confidentiality obligations.
  • Vendors/permit holders — their names and four‑digit NAICS codes would be disclosed to local governments (subject to the bill’s confidentiality restrictions).
  • Third parties — explicitly restricted from receiving discussion of report details; broader public disclosure remains limited by statute.

Procedural status and timeline

  • Introduced: January 22, 2025.
  • Sponsors listed: Senator Gilmore; Representative Beaty Jr.; Rep. Tony M. McCombie (filed in another context).
  • Reported favorably out of committee (record shows committee report filed 2025‑03‑31).
  • Final status recorded: Died in House committee at sine die adjournment (May 5, 2025).

Potential impacts and considerations

  • Practical utility: Provides local governments standardized vendor/industry data (NAICS) to support local economic analysis and targeted compliance/enforcement.
  • Privacy/confidentiality: Although the bill preserves confidentiality language, disclosure of vendor identities and NAICS codes to local governments could raise vendor privacy or competitive concerns; the bill restricts further discussion by DFA and public disclosure but does not fully define permitted subsequent uses by the local government.
  • Administrative burden/revenue: DFA may incur workload to compile and deliver reports; the fee mechanism is intended to reimburse costs.

Notes / Anomalies

  • The provided file contains inconsistent and apparently merged content:
    • The document header lists the title “Suffrage; restore to Debra Denise Thomas of Hinds County,” which is unrelated to the Arkansas tax disclosure amendment.
    • The file also contains text from an Illinois HB1971 (a $2 appropriation to an Illinois department), indicating cross‑jurisdictional or clerical merging.
    • Readers should treat the Arkansas statutory amendment portion (amendment to § 26‑18‑303(h)) as the substantive subject summarized here and verify the authoritative bill text in the official Arkansas legislative record.

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

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