Procurement Rules, Commodity Management, 19 CAR § 1-601 et seq.

The proposed amendments to the Rules serve to align state procedures with the legislative changes enacted by Act 778 of 2025. 19 CAR § 1-601: Updated to include definitions necessary to the administration of commodity management. 19 CAR § 1-603: Revised to implement the new revenue distribution model for the sale of surplus electronics. Statutory alignment and revenue distribution: In accordance with Act 778 of 2025, which dissolved the state’s electronic recycling fund and repealed Arkansas Code Annotated § 19-5-1217, revenues from the sale of electronics are now distributed in the following tiers: • Internal sales: 60% of proceeds are retained by the agency and 40% is allocated to Marketing and Redistribution (M&R). • External sales: 50% of proceeds are retained by the agency, and 50% is allocated to M&R. Additional amendments were made to streamline existing procedures and to provide greater clarity to the rules.

The public comment period expired on April 28, 2026. A public hearing was held on April 15, 2026. The agency indicated that no public comments were received. Camille Fleming, an attorney with the Bureau of Legislative Research, asked the following questions: 1. QUESTION. 19 CAR § 1-605. This amendment changes the holding period of commodities that another agency may be interested in using before being made available to the general public from twenty-five days to five days. Why did the agency change this holding period from twenty- five days to five? RESPONSE: The reduction from twenty-five (25) days to five (5) days was made to maximize recovery value and to ensure timely sales of property. This change will also minimize storage and overhead costs associated with keeping unsold property. 2. QUESTION. 19 CAR § 1-605(d)(2). Before this amendment, this subdivision stated that in no event should more than ninety days lapse between the authorization of cannibalization of property and the processing of the carcass by the Marketing and Redistribution Section. This amendment removes that language. Is there no longer a time limit that the section must abide by for cannibalization, and if so

• Rule packet: E.14.b SAS OSP Procurement Rules Commodity Management and Act 778
• ALC summary agenda Jun 18, 2026
• ALC agenda Jun 18, 2026
• ALC meeting video Jun 18, 2026
• Arkansas Register, July 2026