TO AMEND THE ARKANSAS WOOD ENERGY PRODUCTS AND FOREST MAINTENANCE INCOME TAX CREDIT.

Fiscal Impact Statement Bill: SB530 Bill Subtitle: TO AMEND THE ARKANSAS WOOD ENERGY PRODUCTS AND FOREST MAINTENANCE INCOME TAX CREDIT. --------------------------------------------------------------------------------------------------------------------------------------- Sponsors: Sen. Davis and Rep. Beck Basic Change: SB530 amends the Arkansas Wood Energy Products and Forest Maintenance Income Tax Credit to encourage the use of wood byproducts, including bark, for the production of energy. Act 594 of 2021 created an income tax credit for wood energy product and forest maintenance projects. The credit is currently equal to 30% of the purchase price of qualifying equipment with a required minimum investment of $50,000,000 for the project. Up to $5,000,000 of the credits may be redeemed each year. The credits will carry forward in perpetuity until used and the credits may be sold by the taxpayer. SB530 expands the credit as follows: • Expands the definition of a qualified wood energy products and forest maintenance project ("project") to include a facility that supports the Arkansas timber industry by using wood byproducts, including bark, to produce energy; • Expands the machinery q