All Roll Calls
Yes: 283 • No: 26
ArkansasHB16562025 Regular SessionHouse
TO AMEND THE LAW REGARDING OIL AND GAS PRODUCTION AND CONSERVATION.
Sponsored By: Breanne Davis (Republican), Rick Beck (Republican)
Enacted
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Bill Overview
Analyzed Economic Effects
3 provisions identified: 2 benefits, 0 costs, 1 mixed.
Minimum gas royalties for mineral owners
For covered Arkansas gas production, royalty owners must receive at least one-eighth (12.5%) of net proceeds. The law recognizes mineral ownership, including royalty proceeds, as a property right. Mineral owners can make contracts about their interests and negotiate higher royalties, subject to the minimum. These rules exclude producing units or wells producing only liquid hydrocarbons, liquids associated with gas production, or gas associated with liquids.
Full payments and refunds for royalty owners
For covered Arkansas gas interests with signed leases, working-interest owners must ensure full royalties are paid, regardless of who pays. Neither the new rules nor the production-allocation law releases these owners from their lease obligations. An operator or nonoperating working-interest owner that is a lease party must refund deductions the lease does not specifically allow. Repayment is due within 30 days after the deduction, including deductions involving royalty gas. These rules exclude producing units or wells producing only liquid hydrocarbons, liquids associated with gas production, or gas associated with liquids.
New royalty calculations for mineral owners
For covered Arkansas gas production, net proceeds start with gross gas-sale proceeds, including royalty gas, minus applicable taxes and assessments. For interests pooled by commission order without a signed lease, deductions also include true third-party costs or commission form-lease costs. For signed leases, other charges or deductions must be specifically allowed by the lease. This definition also applies to production and cost allocation after a commission integration order. These rules exclude producing units or wells producing only liquid hydrocarbons, liquids associated with gas production, or gas associated with liquids.
Sponsors & Cosponsors
Sponsors
Breanne Davis
Republican • Senate
Rick Beck
Republican • House
Cosponsors
There are no cosponsors for this bill.
Roll Call Votes
House vote • 4/15/2025
House Vote - Tuesday, April 15, 2025 2:52:26 PM
Yes: 89 • No: 3 • Other: 3
House vote • 4/15/2025
House Vote - Tuesday, April 15, 2025 2:53:19 PM
Yes: 86 • No: 6 • Other: 3
Senate vote • 4/9/2025
Senate Vote - Wednesday, April 9, 2025 10:41:21 PM
Yes: 27 • No: 6 • Other: 2
House vote • 3/13/2025
House Vote - Thursday, March 13, 2025 3:23:09 PM
Yes: 81 • No: 11 • Other: 2
Actions Timeline
Notification that HB1656 is now Act 1024
4/22/2025HouseCorrectly enrolled and ordered transmitted to the Governor's Office.
4/16/2025HouseTO BE ENROLLED
4/15/2025HouseSenate amendment # 2 read and concurred in.
4/15/2025HouseSenate amendment # 1 read and concurred in.
4/15/2025HouseReturned by the Committee with the recommendation that it do pass, concur in Senate Amendment No. 1 & 2
4/14/2025HouseRe-referred to the Committee on AGRICULTURE, FORESTRY & ECONOMIC DEVELOPMENT- HOUSE
4/10/2025HouseReturned from Senate as passed, as amended # 1 & 2
4/10/2025HouseReturned to the House as passed as amended # 1 & 2 .
4/9/2025SenateRead the third time and passed.
4/9/2025SenateRules suspended.
4/9/2025SenateReturned by the Committee, with the recommendation that it Do Pass
4/8/2025SenateRe-referred to AGRICULTURE, FORESTRY & ECONOMIC DEVELOPMENT - SENATE
4/1/2025SenateREPORTED CORRECTLY ENGROSSED
4/1/2025SenateAmendment # 2 read the first time, rules suspended, read the second time and adopted, ordered engrossed.
4/1/2025SenateWithdrawn from Committee and placed on 2nd reading for purpose of amendment # 2
4/1/2025SenateRe-referred to AGRICULTURE, FORESTRY & ECONOMIC DEVELOPMENT - SENATE
3/19/2025SenateREPORTED CORRECTLY ENGROSSED
3/19/2025SenateAmendment # 1 read the first time, rules suspended, read the second time and adopted, ordered engrossed.
3/19/2025SenateWithdrawn from Committee and placed on 2nd reading for purpose of amendment # 1
3/19/2025SenateRead first time, rules suspended, read second time, referred to AGRICULTURE, FORESTRY & ECONOMIC DEVELOPMENT - SENATE
3/13/2025SenateReceived from the House.
3/13/2025SenateRead the third time and passed and ordered transmitted to the Senate.
3/13/2025HouseReturned by the Committee Do Pass
3/12/2025HouseRead the first time, rules suspended, read the second time and referred to the Committee on AGRICULTURE, FORESTRY & ECONOMIC DEVELOPMENT- HOUSE
3/4/2025House
Bill Text
HB1656 - Introduced
3/4/2025
Act Version
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