A bill merging the state's Fair Housing Commission into the Arkansas Development Finance Authority passed the House on Thursday.
House Bill 2053 by Rep. Kim Hammer, R-Benton, passed 66-23. It heads to the Senate for further consideration.
The commission's mission is to enforce state and federal fair-housing and lending laws and to educate the public on fair-housing laws, rules and regulations, according to its website. The Arkansas Development Finance Authority is the state's largest source of low-cost financing for low-to moderate-income housing developments and other projects.
Hammer said he filed the bill because of repeat findings of fiscal mismanagement at the commission.
"They've had extensive audit findings that would show they're going in the wrong direction as far as handling the funds," he said. The reports show that "their ability to manage their funds responsibly -- as compared to what [the Arkansas Development Finance Authority] is able to do -- that there is a great lacking between the two. This is not a personal vendetta in any shape, form or fashion."
But Rep. Fred Allen, D-Little Rock, opposed the bill. He said he had never spoken against a bill on the House floor. Allen is serving his fourth term.
"I agree that there were some audit findings, but if you take a look at every state agency around here, there'd be some major audit finding," he said. "Not one time, not one time, not one time has someone come to the well and decided that they were going to close an agency or transfer an agency simply because there were some audit findings."
He asked lawmakers not to vote so the bill could be referred back to committee.
Hammer had told the House State Agencies and Governmental Affairs Committee on Wednesday that legislative auditors have issued three audit reports that found problems with insufficient segregation of funds at the commission.
He distributed to committee members a copy of a news story about a legislative audit that found a $1,500 payment that the commission made to the state Democratic Black Caucus. The payment appeared to be a prohibited political contribution.
The commission said placing an ad in the program for the 2013 King-Kennedy Dinner was a way to reach more than 4,000 people who attend the dinner and an even larger number of black Arkansans, but it wouldn't place ads at any future events.
A Section on 03/10/2017