Committee approves several Revenue & Tax measures including 529-account pathway, acreage change for disabled veterans

The Senate Revenue & Tax Committee advanced a set of tax- and revenue-related bills during the same meeting and recorded them as passed in committee.

Grow Foundation 529-account pathway (presented as Senate Bill 422): Clark Tucker, state senator, invited Dan Andrews, CEO of Tempest Realty Partners, to describe legislation to allow a nonprofit to initiate 529 college-savings accounts through the state treasurer's office for students in participating elementary schools. Andrews said the program would let schools securely transmit the confidential information the treasurer needs to establish accounts so nonprofits could seed accounts on behalf of every student while preserving parental privacy and providing an opt-out for families. "The treasurer's office has that confidential information for every 529 account that they have," Andrews said. Committee members were told there is no fiscal impact and that the treasurer's office supports the bill. The committee voted to pass the bill.

Homestead acreage for disabled veterans (presented as House Bill 11-29): Senator Jim Petty said the bill restores a larger acreage allowance for the homestead exemption available to totally disabled veterans. "This bill simply adds back the what was there originally, the 60 acres and your primary residence," Petty said. DFA staff explained that discrepancies among county collectors prompted earlier changes and that the prior uniformity effort affected some 100% disabled veterans. The committee passed the bill on a voice vote.

Substantial-improvement threshold for assessments (presented as House Bill 13-86): Representative Frank Kavanaugh described language that sets a 25% increase in assessed value as the threshold for a "substantial improvement." He said the bill also directs that like-for-like rebuilds after a natural disaster not be treated as substantial improvements, and it limits use of out-of-state comparables for residential assessments unless commercial comps are unavailable. The committee voted to pass the bill.

Data-center incentives and information access (House Bill 14-44, as amended): DFA staff and Senator Jonathan Dismang described an amendment that clarifies how the Department of Finance and Administration may use documentation submitted by qualified data centers. Paul Gehring of DFA said the amendment ensures DFA may use submitted project documentation both to verify eligibility and for lawful audit purposes. Committee members were told the bill keeps in place AEDC's positive cost-benefit analysis and was presented as revenue neutral; the amendment was adopted and the bill passed as amended.

Department of Military added to claimant agents for setoffs (House Bill 14-97): Senator Steve Kroll introduced Captain Laney Richmond of the Arkansas Army National Guard to explain the bill, which adds the Department of Military to the list of claimant agents authorized to use the state's setoff process against tax refunds to collect unpaid military justice fines (including certain court-martial fines). Richmond said the fines are typically related to military discipline — for example, positive drug tests or absence without leave — and that amounts are often tied to a service member's pay. Committee members asked operational questions about how setoffs are submitted and how often requests are refiled; committee members were told agencies resubmit annually. The committee approved the bill.

Votes at a glance (committee action recorded in transcript): SB 422 — Do pass (as presented); HB 11-29 — Do pass; HB 13-86 — Do pass; HB 14-44 — Do pass as amended; HB 14-97 — Do pass. The transcript records voice votes; roll-call tallies are not recorded in the excerpt.