To Encourage State Agencies To Award A Portion Of State Contracts To Arkansas Businesses That Have Been In Operation For Less Than Five Years.
Impact
If passed, HB1376 would amend existing procurement laws in Arkansas to ensure that newer businesses have access to government contracts, which are often vital for the growth and sustainability of small enterprises. This measure aims to level the playing field for newer companies that may find it challenging to compete against established firms that have more resources and experience. By emphasizing the awarding of contracts to these younger companies, the bill could significantly contribute to the diversification and strengthening of the Arkansas economy.
Summary
House Bill 1376 is designed to encourage state agencies in Arkansas to award a specified portion of state contracts to businesses that have operated for less than five years. The goal is to stimulate local economic growth by providing opportunities to new businesses, thereby fostering innovation and competition within the state’s economy. This bill mandates that state agencies aim to allocate at least five percent of their contracts to eligible businesses, specifically those with their principal place of business within Arkansas.
Contention
There may be contention surrounding HB1376 regarding its potential impact on contract quality and state agency operations. Critics might argue that focusing on newer businesses could lead to unpredictability in contract deliverables or reduced competition in certain cases if established businesses are sidelined. Additionally, some stakeholders may raise concerns about the enforcement mechanisms for ensuring agencies comply with the new guidelines and the measures that will be taken to evaluate the performance of the awarded contracts.
Concerning A Report By The Director Of The Arkansas Economic Development Commission Concerning Contracts Awarded To Businesses In Operation Less Than Five Years.
To Amend The Arkansas Prepaid Funeral Benefits Law; To Regulate Prepaid Benefits Contracts; And To Enhance The Administration Of The Arkansas Prepaid Funeral Benefits Law.
To Amend Portions Of The Workers' Compensation Law That Resulted From Initiated Measure 1948, No. 4.; And To Allow Attorney's Fees To Be Awarded On Medical Benefits Or Services Awarded Under The Workers' Compensation Law.
To Amend The Arkansas Poultry Feeding Operations Registration Act; And To Transfer Duties From The Arkansas Natural Resources Commission To The Department Of Agriculture.