To Repeal The Law Requiring The Department Of Finance And Administration To Submit A Report Concerning The Activities Of The Multistate Tax Commission And Arkansas's Participation In The Activities Of The Commission.
Summary
SB381 repeals Arkansas Code § 26-5-109, which currently requires the Department of Finance and Administration (DFA) to prepare an annual report on the activities of the Multistate Tax Commission and Arkansas’s participation in those activities. Under current law, that report must include the commission’s recommendations and any DFA activity on Arkansas’s behalf, and it must be filed each year with the President Pro Tempore of the Senate and the Speaker of the House by September 30.
By eliminating this reporting requirement, the bill removes a recurring administrative obligation from DFA and ends a formal legislative reporting channel on Arkansas’s involvement with the Multistate Tax Commission. The bill does not change tax rates, tax collection authority, or Arkansas’s membership in the commission; it only repeals the statute requiring the annual report.
Impact
The bill amends state law by repealing Arkansas Code § 26-5-109 in its entirety, thereby deleting the statutory mandate for DFA to produce and deliver an annual Multistate Tax Commission report to legislative leaders. The practical effect is a reduction in administrative reporting and a corresponding loss of a regular public/legislative update on commission activities and Arkansas participation, while leaving the underlying tax administration framework intact.
Sentiment
The available voting history suggests the bill was generally well received and not especially controversial. It passed the Senate unanimously on third reading (33-0) and later passed the House by a substantial margin (83-9), indicating broad support for removing the reporting requirement. No committee transcripts are available, so there is no recorded debate in the provided materials to suggest significant opposition or concern.
Contention
The main point of potential contention is the tradeoff between administrative efficiency and legislative oversight. Supporters likely viewed the annual report as duplicative or unnecessary paperwork for DFA, while opponents may have preferred to retain a formal mechanism for monitoring Arkansas’s participation in the Multistate Tax Commission and any related recommendations or interstate tax policy activity. The recorded floor votes show only limited opposition in the House and none in the Senate.