Upcoming Community Meetings

You're invited to attend any of the three upcoming community meetings to learn more about the proposed Fort Smith Sales & Use Tax Ballot. 

Meeting Dates & Locations:

1. Thursday, April 17 at 6:00 PM
   Fort Smith Public Library – Main Branch – Community Room
   3201 Rogers Avenue

2. Monday, April 28 at 6:00 PM
   Arkansas Colleges of Health Education – Lecture Hall 1
   7000 Chad Colley Blvd

3. Monday, May 5 at 6:00 PM
   Fort Smith Senior Activity Center
   2700 Cavanaugh Road

All three community meetings are open to the public. Fort Smith residents are encouraged to attend to learn more about the proposed Sales & Use Tax Ballot.

• ⅛-cent: Continues funding for the Fort Smith Police Department. color 

• ⅝-cent: Continues funding for Consent Decree work, which includes federally required sewer system improvements. color

• Term: This tax would be extended for the term required to pay off the bonds issued in item #3 (below), which is projected to be 34 years. 

2. Reauthorizing & Reallocating the 1% Sales & Use Tax

• Currently, the 1% Sales & Use Tax funds streets, bridges, and drainage.

• Under the proposal, 3/8-cent would be reallocated to Consent Decree work and authorized to pay bonds, while the rest would remain for street and drainage projects.

• Proposed Changes:

  • ⅜-cent: Reallocated to Consent Decree work. color

  • ⅝-cent: Continues funding for streets, bridges, and drainage. color

3. Bond Issuance

• The City would issue bonds to fund up to $360 million in capital improvement projects.

• Debt would be payable over 30 years. This time could be reduced if sales tax revenue grows.

No Sales Tax Increase - The proposal does not raise the current 9.5% sales tax rate.

• State of Arkansas Sales Tax: 6.5% color

• City of Fort Smith Tax: 2% color

• Sebastian County Tax: 1% color

No New Tax - This measure reallocates existing funds to support necessary improvements.

• 1% is dedicated to streets, bridges, and drainage (1-cent) color

• .125% dedicated for police department purposes (1/8-cent) color

• .625% dedicated to consent decree/sewer purposes (5/8-cent) color

• .25% dedicated to fire department purposes and parks capital improvement projects (1/4-cent) color

• .125% continues to be dedicated for police department purposes (1/8 cent) - this is a reauthorization 

• .625% continues funding for consent decree/sewer purposes (5/8 cent) - this is a reauthorization

• The 1% that currently is dedicated to streets, bridges, and drainage (1 cent) is to be reallocated as follows:

  • 3/8-cent (.375%) reallocated to consent decree/sewer purposes color

  • 5/8-cent (.625%) continues funding for streets, bridges, and drainage color 

If the sales and use tax measure passes, consent decree work will receive 1 cent (1%) of the current 2% City Tax Allocation.

• 1 cent (1%) dedicated to Consent Decree/Sewer Purposes  color

• 5/8-cent (.625%) continues funding for Streets, Bridges, and Drainage color

• 1/8-cent (.125%) continues to be dedicated for Police Department purposes color

• 1/4-cent (.25%) continues to be dedicated for Fire Department & Parks Capital Improvement Projects color

• If approved, the City would issue bonds to fund up to $360 million in infrastructure improvements.

• The debt would be repaid over a 30-year period.

• If sales tax revenue grows, the repayment period could be shortened.

Fort Smith is under a Consent Decree issued by the U.S. Department of Justice (DOJ) and Environmental Protection Agency (EPA). The City must complete sewer system upgrades to comply with federal environmental regulations. A financial plan approved by the DOJ and EPA includes:

• Sewer rate increases (approved earlier this year).

• Bond issuance supported by Sales & Use Tax reallocation.

The Fort Smith Board of Directors approved placing this measure on the May 13 election ballot on February 21, 2025.

If voters do not approve this measure, the City will be compelled to evaluate all sources of funding for sewer improvements, including significant sewer rate increases.

• Ensures continued funding for public safety, street repairs, and federal compliance projects.

• Provides a structured financial plan to address the Consent Decree requirements.

• Maintains essential infrastructure investments without increasing taxes