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Senate committee passes amended bills to curb crypto-mining: 0% foreign-ownership, standing for nearby property owners, penalties and rulemaking under Oil and G

CITY, COUNTY & LOCAL AFFAIRS COMMITTEE - SENATE · April 18, 2024
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Summary

The Senate City, County & Local Affairs Committee on Friday amended and passed bills to regulate digital asset mining, including a 0% foreign-ownership prohibition, a 2,000-foot property-owner standing rule, civil penalties, and rulemaking authority vested in the Oil and Gas Commission; sponsors said measures aim to protect rural communities, energy reliability and water resources.

A Senate committee on Friday passed amended measures aimed at regulating digital asset (crypto) mining across Arkansas, imposing a 0% foreign-ownership prohibition, giving nearby property owners the right to sue for noise noncompliance and directing administrative rulemaking through the Oil and Gas Commission.

Senators voted to adopt the sponsors' amendments and then passed Senate Bill 78 as amended. Senator Bryant, who explained much of the amendment language, said the bills merge overlapping provisions to avoid conflict and to return local control where appropriate. "We are at 0% foreign ownership with heavy penalties," Bryant said, describing penalties of "$1,000,000 or 25% of fair market value" and an allocation of proceeds split "50% to the attorney general and 50% to the oil and gas commission".

The measures create standing for any property owner within 2,000 feet of a…

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