Northwest Arkansas Democrat-Gazette
Panel discusses tax renewal for parks, fire departments
FORT SMITH — The Future Fort Smith Committee on Monday discussed whether to support the renewal of a 0.25% sales tax for the city Parks and Fire departments.
The committee is comprised of Planning Commission, Parks Commission, city staff and other community members to provide feedback to the board of directors on items related to the Future Fort Smith Comprehensive Plan, which outlines goals and policies to proactively manage future change.
Ward One Director Jarred Rego presented the tax renewal to the committee. He said the city collects and controls roughly 2% of sales taxes, with 1% going to roads, 0.75% to bond payments for sewer projects and 0.25% split between Park and Fire department improvement projects.
The 0.25% was approved by voters in 2012, with an October 2022 sunset date.
The park’s website lists the Greg Smith River Trail, the Riverfront Drive Skate and Bike Park, the Tilles Park and Woodlawn Park splash pads and the U.S. Marshals Museum property purchase as some of several projects paid for through the sales tax.
Rego said the tax can help the Fire Department purchase and equip another station. He said such improvements help the department maintain its Insurance Services Office class one certification, which affects insurance rates for city homes and businesses.
“We feel really good about what we’ve achieved in the last 10 years, what we’re going to be able to tell people about that and what’s on the line moving forward,” he said.
Renewal of the tax also could enable the Parks Department to maintain and care for the assets it has accumulated over the past decade, he said.
John Cooley, committee chairman, spoke in favor of supporting the renewal. He noted while Fort Smith has a high sales tax rate, the city needs a way to pay for improvements.
Fort Smith has a 6.5% sales tax to the state and 1.25% to Sebastian County, in addition to the 2% to the city.
“When you look at what this plan is and what the citizens have said they want, this is the minimum price.”
The city board of directors will make a motion regarding the sales tax by the end of the month, Rego told the committee. He said it will be put on the ballot for public election early next year, if approved.
Rego also noted the sewer bond payments are nearly finished, and there’s a proposal to dedicate the 0.75% tax revenue toward the Police Department.
“The 1% remains the same, there’s no increase in that way, there’s just the opportunity with the 0.75% to adjust and bring the Police Department on board,” he explained. “And they have a variety of similar needs to what the Fire Department has from an equipment standpoint. Looking at a joint training site for public safety and things like that.”
Rego said if the sales tax proposal for the Police Department is approved, it would be in the same election as the 0.25%, but a separate ballot question.