TO AMEND THE LAW CONCERNING THE USE OF SETTLEMENT FUNDS BY THE ATTORNEY GENERAL.

Arkansas sets rules for settlement money

The Arkansas Attorney General must maintain accounts for settlements and judgments in lawsuits involving the state. The accounts also receive civil penalties collected by the Attorney General when another law does not specify their use. Money must be distributed in this priority order: restitution to Arkansas consumers or state agencies, or court-ordered or settlement-directed uses; cash payments to state agencies connected to the lawsuit; attorney fees or civil penalties under § 4-88-113(a)(1), (c), or (e); required payments under § 4-88-105 when money enters the Consumer Education and Enforcement Account; and Attorney General staff costs, operating costs, or grants. Consumers must receive restitution as soon as practicable, following the court order. The office must report quarterly to the Legislative Council or Joint Budget Committee. Reports are due by the 15th day of the month after each quarter ends. Each report must list case names, amounts received, spending plans, and balances of all cash funds held without an appropriation. Plans must itemize spending, including activities subject to exclusions under § 4-88-111 and § 25-1-403(1)(B), and specific consumer education and enforcement activities. For money assigned to a specific entity, reports must say whether the court order or settlement directed that payment. If so, reports must summarize input on drafting the order or agreement; otherwise, they must explain why that entity was chosen. The law sets no fixed household payment amount.