| 3 | 2 | | *JLL114* 02/02/2025 4:44:12 PM JLL114 |
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| 4 | 3 | | State of Arkansas 1 |
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| 5 | 4 | | 95th General Assembly A Bill 2 |
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| 6 | 5 | | Regular Session, 2025 HOUSE BILL 1378 3 |
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| 7 | 6 | | 4 |
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| 8 | 7 | | By: Representative Beaty Jr. 5 |
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| 9 | 8 | | By: Senator Hill 6 |
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| 10 | 9 | | 7 |
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| 11 | 10 | | For An Act To Be Entitled 8 |
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| 12 | 11 | | AN ACT TO AMEND THE LAW CONCERNING THE STATE BOARD OF 9 |
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| 13 | 12 | | FINANCE; TO AMEND THE COMPOSITION OF THE STATE BOARD 10 |
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| 14 | 13 | | OF FINANCE; TO AMEND THE REQUIREMENTS FOR A QUORUM 11 |
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| 15 | 14 | | FOR MEETINGS OF THE STATE BOARD OF FINANCE; TO REPEAL 12 |
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| 16 | 15 | | THE REQUIREMENTS FOR THE EMPLOYMENT OF A CHIEF 13 |
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| 17 | 16 | | COMPLIANCE OFFICER BY THE STATE BOARD OF FINANCE; AND 14 |
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| 18 | 17 | | FOR OTHER PURPOSES. 15 |
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| 19 | 18 | | 16 |
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| 20 | 19 | | 17 |
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| 21 | 20 | | Subtitle 18 |
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| 22 | 21 | | TO AMEND THE COMPOSITION AND MEETING 19 |
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| 23 | 22 | | REQUIREMENTS OF THE STATE BOARD OF 20 |
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| 24 | 23 | | FINANCE; AND TO REPEAL THE REQUIREMENTS 21 |
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| 25 | 24 | | FOR THE EMPLOYMENT OF A CHIEF COMPLIANCE 22 |
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| 26 | 25 | | OFFICER BY THE STATE BOARD OF FINANCE. 23 |
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| 27 | 26 | | 24 |
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| 28 | 27 | | BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: 25 |
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| 29 | 28 | | 26 |
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| 30 | 29 | | SECTION 1. Arkansas Code § 19 -3-701(b), concerning the State Board of 27 |
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| 31 | 30 | | Finance, is amended to read as follows: 28 |
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| 32 | 31 | | (b) The board shall be composed of the following members: 29 |
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| 33 | 32 | | (1) The Governor or his or her designee; 30 |
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| 34 | 33 | | (2) The Treasurer of State; 31 |
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| 35 | 34 | | (3) The Auditor of State; 32 |
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| 36 | 35 | | (4) The Bank Commissioner; 33 |
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| 37 | 36 | | (5) The Secretary of the Department of Finance and 34 |
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| 38 | 37 | | Administration; 35 |
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| 39 | 38 | | (6) The Securities Commissioner Secretary of the Department of 36 HB1378 |
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| 40 | 39 | | |
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| 41 | 40 | | 2 02/02/2025 4:44:12 PM JLL114 |
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| 42 | 41 | | Transformation and Shared Services ; 1 |
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| 43 | 42 | | (7) One (1) person with knowledge and experience in commercial 2 |
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| 44 | 43 | | banking; 3 |
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| 45 | 44 | | (8) One (1) person who: 4 |
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| 46 | 45 | | (A) Holds or has held a Series 7 licensure as a general 5 |
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| 47 | 46 | | securities representative; and 6 |
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| 48 | 47 | | (B) Has at least five (5) years of experience as a general 7 |
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| 49 | 48 | | securities representative; 8 |
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| 50 | 49 | | (9) One (1) certified public accountant who: 9 |
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| 51 | 50 | | (A) Is licensed in Arkansas; and 10 |
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| 52 | 51 | | (B) Has at least five (5) years of experience as a 11 |
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| 53 | 52 | | certified public accountant; 12 |
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| 54 | 53 | | (10) One (1) member of the general public; and 13 |
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| 55 | 54 | | (11)(A) The Insurance Commissioner. 14 |
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| 56 | 55 | | (B) The Insurance Commissioner shall be a voting member 15 |
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| 57 | 56 | | only for the purpose of voting on health benefit plans. 16 |
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| 58 | 57 | | 17 |
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| 59 | 58 | | SECTION 2. Arkansas Code § 19 -3-703(b)(1), concerning meetings of the 18 |
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| 60 | 59 | | State Board of Finance, is amended to read as follows: 19 |
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| 61 | 60 | | (b)(1) Seven (7) Six (6) members shall constitute a quorum for the 20 |
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| 62 | 61 | | transaction of business. 21 |
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| 63 | 62 | | 22 |
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| 64 | 63 | | SECTION 3. Arkansas Code § 19 -3-704(b), concerning the powers and 23 |
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| 65 | 64 | | duties of the State Board of Finance, is amended to read as follows: 24 |
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| 66 | 65 | | (b)(1) The board shall select the chief compliance officer within the 25 |
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| 67 | 66 | | Treasurer of State's office based upon nominations received from the 26 |
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| 68 | 67 | | Treasurer of State. 27 |
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| 69 | 68 | | (2) The chief compliance officer shall: 28 |
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| 70 | 69 | | (A) Be employed by the board; 29 |
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| 71 | 70 | | (B) Work with and at the direction of the Treasurer of 30 |
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| 72 | 71 | | State consistent with the policies and directives of the board; and 31 |
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| 73 | 72 | | (C) Serve at the pleasure of the board. 32 |
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| 74 | 73 | | 33 |
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| 75 | 74 | | 34 |
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