Tax-referendum petition ‘close to 2,000’ signatures
by March 15, 2011 12:33 pm 54 views
With about 10 days to collect signatures forcing an election on enactment of a 1% prepared food tax in Fort Smith, Eddie York says a group of restaurant owners may have about 2,000 signatures collected.
York, owner of Art’s BBQ in Fort Smith, helped pull together the restaurant group that began the petition effort on Feb. 25.
The restaurateurs have until March 25 to submit 2,822 valid signatures. The group met Monday (Mar. 14) to update each other on progress. At that meeting, at least three restaurant owners reported they had at least 250 signatures, York said. He said there were several restaurants that reported having 50 to 100 signatures.
“I don’t have a feel on the count, but I’m guessing we are probably close to 2,000,” York said Tuesday.
The tax was enacted by the Fort Smith Board of Directors to resolve a more than 10-year search to plug an annual deficit predicted to occur when state turnback money dried up. The state turnback program ended for Fort Smith in June 2010 from which the city received about $1.8 million a year. In 2010, the city received only $888,723. A fund balance will allow the city to cover the convention center shortfall for most of 2011.
Barring a successful citizen-initiated referendum, the tax will go into effect June 1.
On Feb. 15, the Fort Smith board also voted 7-0 to enter into a lease agreement with the Fort Smith Advertising & Promotion Commission to manage the convention center. State law allows only an A&P to collect and manage proceeds of hospitality taxes.
York has said the group wants to collect at least 5,000 signatures to ensure the required 2,822 valid signatures are submitted.
“With 30 days to do this, I’ve said it all along, it’s a very difficult time frame. … But I think we are going to do it, and I think a good percentage of those signatures are going to qualify,” York told The City Wire on Tuesday.
York said the group will meet again Friday to assess the signature count and possibly develop a strategy to collect signatures during the remaining days.