Little Rock, Arkansas – In statehouses across the country, the debate over economic growth often circles back to a familiar obstacle — time. Not the time it takes to design a project, or even to fund it, but the long months, sometimes years, spent navigating permit applications, reviews, and regulatory approvals. In Little Rock this week, Governor Sarah Huckabee Sanders took a direct step aimed at changing that timeline.
Standing before agency leaders and business representatives, Sanders signed a sweeping Executive Order designed to speed up permitting processes for economic development projects across Arkansas. The measure is part of her broader Arkansas Forward initiative, which focuses on improving efficiency within state government while reducing costs and bureaucratic delays.
The governor framed the action as necessary for competitiveness in a global economy where businesses can choose to invest almost anywhere. “Arkansas is one of the best states in the nation to start, build, and grow a business – but we have to do better to compete across the country and globe,” said Governor Sanders. “This Executive Order puts people before paperwork, adding transparency and speed to our permitting process to ensure major economic development projects aren’t held up by unnecessary red tape. Whether it’s for a barber getting a license, a city building new water lines, or an international corporation setting up a new supply chain, we want Arkansas to be the best place in America to do business.”
At its core, the order requires each Cabinet-level agency, along with boards and commissions responsible for issuing licenses, permits, and certifications, to conduct a full review of their regulatory processes within 120 days. This sweeping mandate affects agencies across multiple sectors, including agriculture, environmental oversight, labor regulation, public health, and licensing operations.
Among those directly named in the order are the Arkansas Department of Agriculture, the Department of Energy and Environment, the Department of Labor and Licensing, and the Department of Health. Together, these agencies handle thousands of permits and approvals annually, ranging from environmental reviews for industrial projects to occupational licenses for small businesses.
Within six months, each agency must submit a written improvement plan to the governor. These plans will focus on performance metrics and practical reforms designed to shorten processing times and improve transparency. The Executive Order also outlines specific goals for modernization. Agencies are encouraged to create clear public timelines for major permits, establish “one-stop” online application portals, expand simultaneous review processes between agencies, and provide real-time status updates for applicants.
State officials say the effort is not simply about speed but also clarity. Many businesses, they note, struggle not because approvals are denied but because they face uncertainty about when decisions will be made.
Read also: Roadways reopen after emergency crews clear serious evening crash in Greene County
Arkansas Secretary of Commerce Hugh McDonald emphasized that predictability is a key factor in attracting investment. “Reducing risk and removing uncertainty is an essential part of winning in business, and one of the key ways that we can derisk projects is through speedy and efficient permitting in the State of Arkansas,” said Arkansas Secretary of Commerce Hugh McDonald. “Governor Sanders’ executive order will eliminate unnecessary bureaucracy and outdated processes. Arkansas is recognized as a great place for business because of our low costs, our workforce, and supportive business environment. We are competing in a global marketplace, and we must always look for policies and practices that improve our position compared to our competitors.”
Agriculture leaders also voiced strong support, noting that farmers and agricultural businesses often face unpredictable challenges beyond their control. Arkansas Secretary of Agriculture Wes Ward highlighted the importance of reducing administrative uncertainty. “Agriculture is our state’s largest industry, and each year we confront many challenges, like weather, markets, and input costs, that are outside of our control,” said Arkansas Secretary of Agriculture Wes Ward. “Licensing, permitting, and registration from the Department of Agriculture should never be one of those unpredictable challenges. The Department of Agriculture and our ten different boards and commissions are proud to work with Governor Sanders to streamline processes, reduce uncertainty, and help our state’s agriculture industry be successful.”
Environmental regulators stressed that faster approvals will not come at the expense of safeguards. Arkansas Secretary of Energy and Environment Shane Khoury pointed to the balance between development and environmental stewardship. “I applaud Governor Sanders’ challenge to seek innovative approaches to streamlining permitting processes in Arkansas,” said Arkansas Secretary of Energy and Environment Shane Khoury. “Under this executive order, E&E will continue to remove bureaucratic hurdles that may impede progress without compromising necessary environmental protections of the Natural State. Our goals of issuing valid, timely, and defensible permits while promoting economic development are not competing interests, but shared values. I believe Governor Sanders’ action will serve as a catalyst for meaningful permitting improvements across Arkansas.”
Public health officials echoed that message, emphasizing that efficiency and safety standards can coexist. “The Arkansas Department of Health is committed to protecting public health while ensuring our review processes are efficient, transparent, and responsive. We look forward to implementing processes that better serve applicants and stakeholders while maintaining strong health and safety standards,” said Secretary of the Arkansas Department of Health Renee Mallory.
Similarly, labor and licensing authorities noted the importance of digital modernization. “The Department of Labor and Licensing applauds the Governor’s business-friendly approach and will continue to improve its user-friendly licensing procedures by expanding its online, interactive licensing platform as funding permits,” said Arkansas Secretary of Labor and Licensing Daryl Basset. “The Department works closely with Arkansas businesses to provide the licensing resources and assistance needed to foster the state’s economic growth and prosperity.”
The Executive Order builds on earlier progress under the Arkansas Forward initiative, launched in 2024. That program aims to streamline state operations across several major areas, including technology, procurement, fleet management, staffing, and real estate. A progress report released in late 2024 estimated at least $300 million in potential cost savings and avoided expenses.
Beyond government agencies, infrastructure and environmental organizations also welcomed the reforms. Jerry Martin, Government Affairs Chair of the Arkansas Water Environment Association, highlighted the impact on critical utility projects. “We support efforts to strengthen the efficiency and coordination of review processes for water and wastewater infrastructure projects,” said Arkansas Water Environment Association Government Affairs Chair Jerry Martin. “Streamlined reviews, paired with strong technical, environmental, and public safety standards, help communities prioritize public health and long-term resilience while addressing aging systems, meeting regulatory requirements, and responding more quickly to growth and economic development needs.”
Industry groups likewise expressed optimism about the changes. Lance McAvoy, President of the Arkansas Water & Wastewater Managers Association, stressed the connection between faster approvals and public safety. “Governor Sanders’ forward thinking vision will not only help drive the State of Arkansas forward for economic development, it will expedite health and safety for everyone in Arkansas,” said Arkansas Water & Wastewater Managers Association President Lance McAvoy. “Although standards are necessary to ensure everyone is provided the same level of safe drinking water and environmental protection, far too often unnecessary red tape delays the ability to construct and provide the very protection our citizens, customers, and the state need. This Executive Order shows the level of diligence and commitment by Governor Sanders to ensure the State of Arkansas and its citizens come first.”
Manufacturing and environmental advocacy groups also praised the initiative for balancing economic growth with sustainability. Ava Roberts, Executive Director of the Arkansas Environmental Federation, underscored that the reforms could strengthen long-term investment. “We thank Governor Sanders for her leadership in modernizing the state’s permitting processes. As an association representing manufacturers and regulated industries across Arkansas, including many companies that have operated here for generations, we are proud to do business in a state that values both environmental stewardship and economic strength,” said Arkansas Environmental Federation Executive Director Ava Roberts. “This Executive Order reinforces that commitment and strengthens Arkansas’s reputation as a place where responsible industry can thrive. Predictable timelines and stronger coordination will help existing businesses grow, modernize, and continue investing in Arkansas communities while maintaining effective environmental protections.”
Arkansas already ranks highly in national business metrics, including affordability, workforce development, and ease of starting a business. State leaders hope that improving the permitting process will further strengthen those rankings while attracting new investments and supporting existing industries.
For Sanders, the Executive Order reflects a broader philosophy of governance centered on efficiency and accountability. By targeting delays that affect everyone from small entrepreneurs to major infrastructure developers, her administration aims to create a system where regulatory oversight remains strong but no longer slows economic opportunity unnecessarily.
As agencies begin their mandated reviews, the next six months will determine how quickly the proposed changes translate into real-world improvements. For businesses waiting on approvals, communities planning infrastructure upgrades, and workers hoping for new job opportunities, the pace of permitting reform could shape Arkansas’s economic landscape for years to come.
