AR SB541

Amends the Local Government Bond Act of 1985 to allow municipalities and counties to pledge their share of the temporary 0.5% sales and use tax under Amendment 91 to retire bonds issued for surface transportation projects.

Defines "surface transportation project" to include acquisition, construction, reconstruction, widening, extension, or maintenance of streets, alleys, roadways, bridges, viaducts, tunnels, overpasses, underpasses, interchanges, access roads, sidewalks, lighting, pedestrian walkways, and traffic control devices.

Requires voter approval by majority vote before a municipality or county can issue bonds secured by Amendment 91 tax revenues, with ballot language describing the extent of the tax pledge.

Bonds issued under this authority must mature no later than July 1, 2023, and the State Treasurer shall separately identify and distribute Amendment 91 funds to designated bank depositories for bond repayment.

Declares an emergency clause, making the act effective immediately upon Governor approval or veto override due to urgent municipal and county need for surface transportation project funding.