Arkansas authorizes tobacco settlement money for university biosciences programs

The law authorizes spending for two University of Arkansas biosciences programs. The money covers staff pay and related costs, daily operations, and major purchases for the university’s Arkansas Biosciences Institute and the Division of Agriculture’s institute. Both amounts come from the Arkansas Biosciences Institute Program Account of the Tobacco Settlement Program Fund. Actual spending cannot exceed the authorized amounts or the money available by law. Spending must follow applicable state purchasing, budgeting, and payroll rules. The law directs spending to follow its stated purposes, as shown in the tobacco settlement act and related budget and legislative records. The law took effect July 1, 2026. These spending amounts cover the fiscal year ending June 30, 2027.

The university may move authorized spending amounts between budget categories with prior approval. Transfers are allowed between categories within each separate spending authorization, using only this law’s transfer rules. Approval is required from the Division of Higher Education, the state’s chief fiscal officer, and either the Legislative Council or Joint Budget Committee. If a court rules the legislative approval requirement unconstitutional, the entire section allowing transfers becomes void. These transfer rules apply from July 1, 2026, through June 30, 2027.

The state does not promise to keep funding jobs when tobacco settlement money is insufficient. The limits cover jobs paid with tobacco settlement proceeds. Employee handbooks and professional services contracts must include the information when applicable. When tobacco settlement funds expire, replacement state money requires funding approved by the General Assembly and authorization from the governor. The Tobacco Settlement Commission must make these limits available to current employees and new hires in covered jobs. These job-funding limits and notice requirements apply from July 1, 2026, through June 30, 2027.