Jonesboro Voters Approve Sales Tax Request

A plan to amend a 2000 sales tax ordinance, allowing the city of Jonesboro to take another look at its budget, was approved by voters Tuesday.

According to unofficial numbers, the proposal passed by a 612-348 margin, or 63.75-36.25%, Craighead County Clerk Kade Holliday said.

The plan involved a one-cent sales tax, which was passed by voters in 2000. Half of the proceeds from the one-cent sales tax went toward capital improvements with the other half being used for city maintenance and operations.

The city also collected a half-cent sales tax, which was passed by voters in 2010. That tax went toward police and fire protection in Jonesboro.

Under the plan, the 2010 tax, which was set to expire Jan. 1, will be removed while the 2000 tax will be kept in place.

The 2000 tax collects around $15 million a year, while the 2010 tax collected about $7.5 million a year, Jonesboro Mayor Harold Perrin said.

Perrin said Tuesday night that he was happy with the decision made by voters.

“I am real pleased with the result. I wish we had had a larger turnout, though,” Perrin said.

Special elections are notorious for having low turnouts. Holliday said Monday that 425 voters had cast ballots early.

Perrin said earlier this month that the 2000 tax would provide enough revenue to fund city services and projects. On Tuesday, he reiterated that.

“We start our budget preparations next week,” Perrin said, noting he plans to start meeting with department heads as early as Monday. “With that being said, we still plan to be ultraconservative in our budget.”

Perrin also noted that while the 2010 tax will officially go off the books in January, the city will still collect the sales tax early next year.

“You have to remember that it is always 60 days behind on the collections. So, January and February, we will be collecting November and December (revenue),” Perrin said.