Concerning A Report By The Director Of The Arkansas Economic Development Commission Concerning Contracts Awarded To Businesses In Operation Less Than Five Years.
Impact
The legislation is poised to impact state laws related to economic development, specifically in how smaller, newer businesses access state contracts. By requiring annual reporting, the bill seeks to provide insights into the contract distribution landscape, revealing whether emerging businesses are receiving fair opportunities. Moreover, it emphasizes the importance of supporting underrepresented demographic groups and regions, thus potentially fostering more inclusive economic growth across the state.
Summary
House Bill 1374 establishes reporting requirements for the Arkansas Economic Development Commission to assess the contracts awarded to businesses that have been operating for less than five years. The bill mandates the Director of the Commission to compile an annual report detailing the number and total dollar amount of these contracts, including analysis by demographic segments and geographic regions. This initiative aims to enhance transparency in state contracting practices and ensure equitable access to opportunities for newer businesses within Arkansas.
Contention
While the bill is broadly welcomed for its intention to boost the visibility of contracts awarded to new businesses, some stakeholders express concern over its enforcement and effectiveness. Critics argue that the mere act of reporting may not translate into actual improvements in contract awards if underlying biases in the procurement process remain unaddressed. Additionally, there may be apprehension regarding the administrative burden placed on the Economic Development Commission in generating these reports annually, especially considering the recommended improvements stemming from the analysis.
Concerning A Report By The Director Of The Arkansas Economic Development Commission Concerning Contracts Awarded To Businesses In Operation Less Than Five Years.
To Require A Report Concerning Economic Development Funding Supporting Organizations Or Programs For New Businesses Or Businesses Established Within The Previous Five Years.
To Require A Report Concerning Funds Supporting Programs For Individuals Starting New Businesses Or Businesses Established Within The Previous Five Years.
To Create The Protect Arkansas Act; To Amend Arkansas Law Concerning Sentencing And Parole; To Amend Arkansas Law Concerning Certain Criminal Offenses; And To Create The Legislative Recidivism Reduction Task Force.