House, Senate pass $87M bond issue bills

Rep. Matthew J. Shepherd, R-El Dorado, presents House Bill 1003 Wednesday.
Rep. Matthew J. Shepherd, R-El Dorado, presents House Bill 1003 Wednesday.

Bills that would authorize more than $87 million in state bonds to support a Lockheed Martin effort to win a major Department of Defense contract at an East Camden facility sailed through the Arkansas House of Representatives and Senate on Wednesday.

The two chambers convened at 10 a.m. on the second day of a special session focused mainly on the bond-issue. The House voted 96-0 to approve its authorizing legislation, House Bill 1003, while the state Senate voted 31-3 on its version, Senate Bill 6.

Each chamber will have to pass the one originating from the opposing chamber before the bills are signed into law by Gov. Asa Hutchinson.

Hutchinson on Tuesday said the so-called Lockheed Martin super-project a "golden opportunity," noting that it would retain several hundred jobs, create several hundred more and spur significant economic development in the state.

Hutchinson and other state leaders said the bond issue will put Lockheed Martin in good position to win the contact to construct Joint Light Tactical Vehicles, the military vehicles that will replace the Hummer.

The bill's sponsor, Rep. Matthew J. Shepherd, R-El Dorado, urged passage, telling the members the bonds will help bring economic development to an area that has struggled since Camden's paper mill closed about 20 years ago. Shepherd called it a "partnership with Lockheed Martin" and not "corporate welfare," stressing that if the contract is awarded it will retain 500 jobs and create 500 new ones.

"So that's 1,000 jobs," he said. "We're talking about 1,000 jobs here with this piece of legislation. That's obviously, in this climate, very significant."

Rep. John Baine, D-El Dorado, said he knew of people already preparing resumes in the Camden area in anticipation of the new jobs coming.

"That's the level of excitement in south Arkansas about this project," he said.

The Senate sponsor, Sen. Bobby Pierce, D-Sheridan, said the bill would bring "well-needed" jobs to south Arkansas when he presented the bill to the Senate on Wednesday morning. He also noted that the bill has "enough fall-backs and safety nets" since the bonds would not be issued if the contract is not issued.

Most of the state bond money would go toward infrastructure and building costs at the site in East Camden with some covering bond costs and a training program.

Arkansas is said to be one of the three finalists for the contract. The bonds would not be issued if Lockheed Martin is not awarded the contract.

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