AN ACT FOR THE OFFICE OF THE TREASURER OF STATE - REFUND OF LOCAL TAXES APPROPRIATION FOR THE 2026-2027 FISCAL YEAR.
HB1033 is an appropriation bill for the Arkansas Office of the Treasurer of State for fiscal year 2026-2027. It authorizes funding from the Local Sales and Use Tax Trust Fund to reimburse local governments for their shares of local sales and use taxes collected under Arkansas law. The bill sets aside $1.13 billion for city-share refunds and $990 million for county-share refunds.
The measure is primarily a budget and cash-flow authorization rather than a policy change. It allows the Treasurer of State to distribute local sales and use tax refunds for cities and counties for the fiscal year ending June 30, 2027, and includes standard provisions requiring compliance with state fiscal control, procurement, accounting, and budget laws. It also contains a legislative intent section tying expenditures to the appropriations process and an emergency clause making the act effective July 1, 2026.
HB1033 affects state fiscal administration by providing the legal authority and spending limits for the Treasurer of State to refund local sales and use taxes to cities and counties. It does not amend the underlying tax statutes, but it implements the funding mechanism used to return local tax revenues under Arkansas Code 26-75-307 and 26-74-307. The bill directly affects the Office of the Treasurer of State, local governments receiving city and county shares, and the Local Sales and Use Tax Trust Fund.
The available record suggests the bill was routine and noncontroversial. It moved through the budget process as a Joint Budget Committee measure, and there are no recorded committee transcripts, floor debates, or votes indicating opposition or significant concern. Its final status as Act 98 also suggests broad procedural support typical of annual appropriation legislation.
No specific points of contention are documented in the provided materials. Because the bill is an appropriation for local tax refunds, any potential debate would likely center on the size of the city and county refund amounts, the adequacy of trust fund revenues, or general budget priorities, but none of those issues appear in the available discussion or voting history. The absence of recorded opposition indicates that the measure was likely treated as a standard fiscal authorization.