§ 11-10-1001. Title

This subchapter shall be known and cited as the “Unemployment Trust Fund Financing Act of 2011”.

§ 11-10-1002. Legislative findings and intent

The General Assembly finds that: (1) With a recession or economic slowdown now underway, the state’s unemployment trust fund faces higher claims levels and longer benefit durations that accompany any economic downturn; (2) The Arkansas Unemployment Trust Fund: (A) Provides partial wage replacement to workers who find themselves out of work; (B) Provides economic stability […]

§ 11-10-1003. Definitions

As used in this subchapter: (1) “Authority” means the Arkansas Development Finance Authority; (2) “Bonds” means the “Arkansas Unemployment Trust Fund Bonds”, as authorized in this subchapter; (3) “Debt service” means all amounts required for the payment of principal, interest, and premium, if any, due with respect to the bonds in any fiscal year along […]

§ 11-10-1004. Authorization — Purposes

(a) The Arkansas Development Finance Authority is authorized, subject to the approval of the voters in a statewide election, to issue bonds to be known as the Arkansas Unemployment Trust Fund Bonds in an aggregate principal amount not to exceed five hundred million dollars ($500,000,000). (b) The purpose of the bond issuance shall be to: […]

§ 11-10-1005. Governor’s proclamation

(a) The Arkansas Development Finance Authority shall prepare and distribute to the Governor a report that shall contain a plan for repaying the federal Unemployment Trust Fund debt and the estimated time and cost to repay the debt. (b) Upon receipt of the report described in subsection (a) of this section, the Governor shall, if […]

§ 11-10-1006. Election

(a) (1) Arkansas Unemployment Trust Fund Bonds shall not be issued under this subchapter unless the issuance of bonds has been approved by a majority of the qualified electors of the state voting on the question at a statewide election called by proclamation of the Governor as provided under § 11-10-1005. (2) (A) An election […]

§ 11-10-1007. Procedure for issuing Arkansas Unemployment Trust Fund Bonds

(a) Prior to the issuance of Arkansas Unemployment Trust Fund Bonds, the Arkansas Development Finance Authority shall adopt a resolution authorizing the issuance of the bonds. (b) Each resolution adopted under this section shall contain the terms, covenants, and conditions as are deemed desirable and consistent with this subchapter, including without limitation those pertaining to: […]

§ 11-10-1008. Terms of bonds

The Arkansas Unemployment Trust Fund Bonds are subject to the following terms and conditions: (1) (A) The bonds may be issued in more than one (1) series in an amount sufficient to accomplish the purposes of this subchapter. (B) The respective series of bonds shall be designated by the year in which the bonds are […]

§ 11-10-1009. Sale of bonds

(a) The Arkansas Unemployment Trust Fund Bonds may be sold in any manner, either at private or public sale, and upon terms as the Arkansas Development Finance Authority shall determine to be reasonable and expedient for effecting the purposes of this subchapter. (b) (1) If the bonds are to be sold at public sale, the […]

§ 11-10-1010. Employment of professionals

Under § 15-5-212, the Arkansas Development Finance Authority may employ and retain any professionals that the Arkansas Development Finance Authority deems necessary to accomplish the issuance and sale of the Arkansas Unemployment Trust Fund Bonds, including without limitation legal counsel, financial advisors, underwriters, trustees, paying agents, and remarketing agents.

§ 11-10-1011. Sources of repayment

(a) The Arkansas Unemployment Trust Fund Bonds shall be payable from the designated revenues. (b) (1) The unemployment obligation assessment shall be collected until the end of the quarter immediately following the repayment of all bonds authorized under this subchapter. (2) The unemployment obligation assessment shall not be collected until the qualified voters of the […]

§ 11-10-1012. Investment of proceeds

(a) Proceeds from the sale of the bonds shall be deposited into trust funds or accounts established under the resolution or trust indenture authorizing or securing the bonds to accomplish the purposes of this subchapter in amounts or portions as set forth in the resolution or trust indenture securing the bonds. (b) (1) The holder […]

§ 11-10-1013. Refunding bonds

(a) The Arkansas Development Finance Authority may issue the Arkansas Unemployment Trust Fund Bonds for the purpose of refunding bonds previously issued under this subchapter if the total amount of bonds outstanding after the refunding is completed does not exceed the total amount authorized by this subchapter. (b) (1) To the extent that refunding bonds […]

§ 11-10-1014. Liability

Officers, officials, employees, and members of the Board of Directors of the Arkansas Development Finance Authority are not liable personally for any reason arising from the issuance of bonds under this subchapter unless he or she acts with corrupt intent.

§ 11-10-1015. Tax exemption

(a) All Arkansas Unemployment Trust Fund Bonds issued under this subchapter and interest on the bonds shall be exempt from all taxes of the State of Arkansas, including income, inheritance, and property taxes. (b) The bonds shall be eligible to secure deposits of all public funds and shall be legal for investment of municipal, county, […]

§ 11-10-1016. Bonds — Rights and liabilities — Enforcement

(a) (1) This subchapter shall constitute a contract between the State of Arkansas and the registered owners of all State of Arkansas Unemployment Trust Fund Bonds issued under this subchapter that shall never be impaired. (2) A violation of terms of this subchapter, whether under purported legislative authority or otherwise, shall be enjoined by the […]

§ 11-10-1017. Unemployment obligation assessment

(a) (1) (A) Except employers that have made an election to reimburse the Unemployment Compensation Fund under § 11-10-713(c), each employer shall pay a separate and additional assessment, to be known as the “unemployment obligation assessment”, on wages paid by that employer with respect to employment in addition to the contributions, stabilization and extended benefits […]

§ 11-10-1018. Division of Workforce Services — Bond Financing Trust Fund

(a) (1) There is established on the books of the Division of Workforce Services a special restricted fund to be known as the “Bond Financing Trust Fund”, to be maintained and administered by the division under this subchapter for the purposes stated in this subchapter. (2) The following shall be deposited into the Bond Financing […]