Arkansas Rental Fee and Deposit Preemption

Act 459 of 2025 amended Arkansas Code 14-54-1409 and 14-16-601 to clarify that local governmental units have no authority to regulate or control the amount charged for a rental application fee or rental deposit on private residential or commercial property. This preemption sits alongside the existing prohibition on local rent control. While municipalities may still operate basic rental registration or inspection programs targeted at health and safety, they cannot use those programs to cap fees, mandate refundability, or limit deposit amounts beyond the statewide two-month cap in the Residential Landlord-Tenant Act. The preemption applies uniformly to every Arkansas municipality and county.

Local ordinances attempting to cap application fees, mandate fee refundability, or limit deposit amounts are invalid. Affected landlords may challenge enforcement under state preemption.