Arkansas directs state revenues into funds and development projects

The Treasurer of State would distribute available general revenues among listed state funds and fund accounts each month. The allocations cover the funds and accounts listed in Allocation A and Allocation B, including public schools, human services, state government, local aid, public safety, and higher education. Allocation A would be made first, up to a total of $6,644,423,348 or the amount available. Allocation B would follow, up to a total of $60,747,209 or the amount available. Monthly payments would follow each fund's share of the listed total allocations. The schedule would begin with the fiscal year starting July 1, 2026, using remaining general revenues available for distribution on the last business day of July 2026 and each calendar month afterward.

State fiscal officers would transfer money from the General Revenue Allotment Reserve Fund into five restricted reserve set-asides. The transfers would provide $100 million for Medicaid sustainability, $70 million for children’s educational accounts, $43.7 million for general discretionary uses, and $5 million for motor vehicle purposes. The transfers would occur after other 2026 fiscal-session transfers from the General Revenue Allotment Reserve Fund are completed, or as soon as practical afterward. The transferred money would be added to existing balances and other money made available by the General Assembly. Any money left uncommitted in these set-asides would return to the General Revenue Allotment Reserve Fund. The transfers would begin when the act takes effect or as soon as practical afterward; remaining uncommitted funds would return on July 1, 2027.

The Chief Fiscal Officer of the State may transfer up to $150 million for an advanced manufacturing facility and up to $150 million for related public roads. The facility must be a non-data-center advanced manufacturing site in West Memphis, Arkansas; the road money would support highways and other public roads needed for that facility. Before the facility transfer, the Commerce Secretary must certify that the Arkansas Economic Development Commission has a final incentive agreement with the manufacturer, a positive cost-benefit calculation, and consequences if the manufacturer fails to meet its obligations. Before the road transfer, the Transportation director must estimate the needed funding after considering other available money, including federal funds. The transfers may occur from time to time as the Chief Fiscal Officer determines that money is available. Sections 8 and 9 would take effect when the act is approved, rather than on July 1, 2026.