Arkansas Bans Corporate Contributions and Lobbyist Gifts

Arkansas voters approved Issue 3, a constitutional amendment to ban corporate and union contributions to Arkansas candidates, on Tuesday, November 4. The amendment is effective immediately.

Companies that have been making corporate contributions in Arkansas may wish to consider using their Federal PACs to remain politically active in the state. Federal PACs contributing more than $500 per year to Arkansas candidates, parties and PACs must file an annual registration statement and quarterly reports with the state. Arkansas also requires PACs to designate an in-state registered agent.

The new constitutional amendment also bans gifts from lobbyists to legislative and executive officials, and extends term limits for state lawmakers. While there are limited exceptions to the gift ban, the basic rule is a zero dollar or “no cup of coffee” prohibition.

If you have questions about political or lobbying activity in Arkansas, contact me or your political compliance manager.

David Mason
Sr. VP, Compliance Services

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