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91St General Assembly 2017 Legislative 91ST GENERAL ASSEMBLY 2017 LEGISLATIVE andRESULTS the Business Matters Leadership Award Winners Speaker of the House, Jeremy Gillam Governor Asa Hutchinson signs SB 362 by Sen. Lance Eads and Rep. Andy Davis, which will save Arkansas employers up to $60 million annually when fully implemented. Governor Asa Hutchinson ready to sign into law HB 1405, by Rep. Robin Lundstrum Senate President Pro Tempore, and Sen. Jim Hendren, which will save employers $50 million annually. Jonathan Dismang 1200 W. Capitol Ave., P.O. Box 3645 Little Rock, AR 72203-3645 501-372-2222 www.arkansasstatechamber.com • Adopt a Property Taxpayer Fairness bill 9 Act 659 (HB 1772 by Rep. Joe Jett, R-Success and Sen. The 2017 Legislative Session was Jake Files, R-Fort Smith) provides training, hearing guidelines overall a great success for Arkansas and additional resources to County Equalization Boards, and a procedural warning to corporate taxpayers appealing businesses. Our governmental Equalization Board decisions to the next level; lowers affairs team, along with State the taxpayer “burden of proof” in court appeals; clarifies Chamber/AIA members, worked and improves taxpayer refund rights for various types of reporting and assessment mistakes; and addresses various with legislators to help pass 17 of procedural handicaps for taxpayers appealing assessments by our 23 priority bills! Prior to the the Tax Division of the Public Service Commission. Session we outlined those issues in our Legislative Agenda. Here you will find results. 9 indicates bill passed o indicates the bill was not run or did not pass Governor Asa Hutchinson signs HB 1772 • Increase the time for Net Operating Loss Carry Forward CIVIL JUSTICE REFORM o HB 1788, by Rep. Jim Dotson, R-Bentonville, was never run • Seek referral of a ballot measure to the 2018 General because of its large negative revenue impact on the state Election to adopt damage caps budget. • Adjust throwback laws 9 SJR 8, by Sen. Missy Irvin, R-Mountain View, Rep. Bob Ballinger, R-Hindsville and 66 others, will be on the 2018 o HB 1790, by Rep. Jim Dotson, R-Bentonville, was never run General Election ballot. This will provide Arkansas electors because of its large negative revenue impact on the state the opportunity to vote on a Constitutional Amendment that budget. will set caps on attorneys’ fees, punitive and non-economic damages. UNEMPLOYMENT INSURANCE 9 Act 986 (HB 1742 by Rep. Laurie Rushing, R-Hot Springs, • Adopt measures that achieve and maintain a solvent presented by Rep. Michelle Gray, R-Melbourne and Sen. Bart trust fund, at the lowest tax rates possible while Hester, R-Cave Springs) amends the Arkansas Deceptive providing competitive benefits Trade Practices Act to ensure fairness for all litigants in consumer protection actions by protecting employers from 9 Act 734 (HB 1405 by Rep. Robin Lundstrum, R-Springdale frivolous lawsuits by individuals who have suffered no real and Sen. Jim Hendren, R-Gravette) will reduce Arkansas harm. employers’ unemployment insurance taxes by $50 million annually and encourage those drawing unemployment TAXES benefits to look for work faster. • Seek a complete reduction in the sales tax on repair and replacement of machinery and equipment used WORKERS’ COMPENSATION directly in manufacturing and eliminate requirement • Adopt a method to mitigate employers’ increased cost that manufacturers have a direct pay permit to take exposure from the closing of the Death and Permanent advantage of this tax reduction Disability Trust Fund o HB 1586, by Rep. John Payton, R-Wilburn and Sen. Jason 9 Act 465 (SB 362 by Sen. Lance Eads, R-Springdale and Rep. Rapert, R-Conway, sought to establish a 450-week cap on Andy Davis, R- Little Rock and 21 others) will reduce sales Death and Permanent Total Disability Claims. It cleared the taxes paid by manufacturers on their repair and replacement House Committee, House floor and Senate Committee but parts by 1% per year until the tax is gone on June 30, 2022. did not have votes needed on the Senate floor. Thereafter, all such purchases will be sales tax exempt. Also, o SB 682, by Sen. David Sanders, R-Little Rock, sought to the InvestArk incentive program is phased out. establish a 450-week cap on Death and Permanent Total Disability Claims with an exception for catastrophic injuries. It was defeated on the Senate floor. • Reduce opioid abuse, provide better and more • Support legislation that ensures the development and consistent care for injured workers through the maintenance of a globally competitive workforce adoption of evidence-based treatment guidelines 9 Act 951 (SB 441 by Sen. Jane English, R-North Little Rock) o A provision to adopt ODG evidence-based treatment creates the Legislative Task Force on Workforce Education guidelines and its drug formulary was removed from our bill Excellence. to facilitate support. ECONOMIC DEVELOPMENT LABOR & EMPLOYMENT • Equalize the statute of limitations for supervisors, • Adopt laws to implement Amendment 97 passed by businesses and others voters in the 2016 General Election 9 Act 191 (HB 1126 by Rep. Charlie Collins, R-Fayetteville) 9 (HB 1732 by Rep. Matthew Shepherd, R-El Act 533 amends the definition of employer to clarify that a natural Dorado and Sen. Lance Eads, R-Springdale) amends the person acting as a supervisor is not an employer and creates Local Government Bond Act of 1985 to reflect language in a one-year limitation period for discrimination, retaliation Amendment 97 that authorizes local governments to fund and interference claims. The bill also amends the hate economic development projects. crime section to eliminate claims arising out of employment 9 (SB 581 by Sen. Jim Hendren, R-Gravette and Act 685 relationship. Rep. Justin Boyd, R-Fort Smith) will remove the 5% cap 9 Act 783 (HB 1737 by Rep. Charlie Collins, R-Fayetteville) on Amendment 82 bonds and provide a framework for will prohibit duplication or increasing of damages awarded in municipalities/counties to appropriate money for economic discrimination and retaliation cases under the Arkansas Civil development projects and services, while also maintaining Rights Act of 1993, over damages allowed by any other state safeguards for judicious use of municipal/county resources. or federal law as the federal law existed on January 1, 2017. It 9 (SB 538 by Sen. Bruce Maloch, R-Magnolia and Act 686 also limits liability for violations committed by employers. Rep. Mike Holcomb, R-Pine Bluff) provides some technical implementation of Amendment 97 needed by local economic • Improve the state’s payable on discharge laws developers. o No bill filed • Improve the state’s laws on “donning & doffing” EDUCATION & WORKFORCE 9 Act 914 (HB 1846 by Rep. Charlie Collins, R-Fayetteville QUALITY and Sen. Bart Hester, R-Cave Springs) establishes that employers are not liable for failing to pay a minimum wage • Move school board elections to the General Election date or overtime compensation to employees, related to certain activities that are not principal to the employee’s job. • Maintain workplace safety and clarify medical marijuana usage 9 Act 593 (HB 1460 by Rep. Carlton Wing, R-North Little Rock and Sen. Missy Irvin, R-Mountain View) will provide protection for the workplace regarding Medical Marijuana usage by creating new definitions or modifying existing definitions for employers regarding the use of marijuana. Governor Asa Hutchinson signs HB 1621 • Other workplace issues 9 Act 606 (HB 1665 by Rep. DeAnn Vaught, R-Horatio and 9 Act 910 (HB 1621 by Rep. Mark Lowery, R-Maumelle and Sen. Gary Stubblefield, R-Branch) creates a cause of action Sen. Jane English, R-North Little Rock) will move school against people who have entered a nonpublic area of another board elections to either the General Election or Primary person’s property and engaged in an act that exceeds the Election date. trespasser’s authority. • Ensure that all public school K-3 students, unless 9 Act 966 (SB 695 by Sen. Linda Collins-Smith, R-Pocahontas) diagnosed as incapable by intellectual disability, will clarifies franchise law definitions to help ensure that state read at grade level by the conclusion of third grade enforcement agencies and courts do not adopt the expansive and Grades 4-12 students not reading at grade level new federal joint-employer standard. should receive the dedicated and prioritized resources o SB 550 by Sen. Trent Garner, R-El Dorado and Rep. to ensure grade-level reading by the conclusion of Bob Ballinger, R-Hindsville, would have created a Class elementary, middle/jr. high, high school A misdemeanor for unlawful picketing, defined as 9 Act 416 (SB 328 by Sen. Alan Clark, R-Lonsdale and Rep. demonstrations that hinder or prevent the pursuit of lawful Charlotte Douglas, R-Alma) will require the State Board of work or employment, obstruct entrance to a place of Education to test applicants for first-time teacher licensure employment or interfere with the use of roads. It passed but for elementary education (K-6) and special education (K- was vetoed by the Governor. 12) in subject matter content and knowledge of beginning reading instruction. We believe that the State Chamber/AIA is the best grassroots organization to drive meaningful, bold change in our government to ensure that Arkansas has the most positive business climate possible. Having our membership come together with financial support for our political action committees allows us to show that there is power in numbers; the more we raise, the greater impact we can have on important elections. The success business had in the 2017 Legislative Session demonstrates that our PAC contributions do indeed make a difference. WHAT IS THE ASCC PAC? Arkansas State Chamber of Commerce Political Action Committee (ASCC PAC) serves as a vehicle that allows the State WILL ALL OF THE MONEY Chamber/AIA to help communicate the business community’s RAISED STAY IN ARKANSAS? goal of economic prosperity in Arkansas to those running for, and Yes.
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