Jonesboro Council Approves First Reading For Sales Tax Proposal
Jonesboro residents are one step closer to heading to the polls this fall to decide the fate of a proposed one-cent sales tax for streets and economic development.
The Jonesboro City Council approved by voice vote the first reading of two ordinances dealing with the sales tax.
If approved by voters, seven-eighths of the penny tax would go toward streets, roads and bridges with the remaining one-eighth going toward economic development.
The ordinances would also set a Nov. 10 special election for the sales tax.
The city currently has an 8.5% sales tax (state, county and city), Mayor Harold Perrin told council members.
Perrin said the one-cent sales tax, which is expected to bring in $160 million over the course of the tax, would expire in 2026.
On the street portion, Perrin said the money would be used to help with street work, along with curbs, gutters and buying land to complete projects.
As for the projects, Perrin said Memphis-based Fisher Arnold Engineering has found at least 20 projects that need work around Jonesboro.
The original cost of the projects was around $246 million, but has been scaled back to $187 million.
Among the projects include a $12 to $15 million railroad overpass at the intersection of Highland Drive and Nettleton Avenue; a $30 to $40 million flyover to be built at U.S. 49 and Ark. 351; $20.7 million to build railroad overpasses at Dan Avenue and Gee Street ($7.2 million for Gee Street and $13.5 million for Dan Avenue.)
Perrin said each of the projects would help with traffic flow around the city. The issue has been a matter of consternation for area motorists for the past several years, with Caraway Road and Red Wolf Boulevard sometimes bottlenecking early in the morning and late in the afternoon.
Perrin said the U.S. 49/Ark. 351 flyover would alleviate the traffic for the 36,000 vehicles that travel in the area every day.
Also, a plan to link Commerce Drive and U.S. 63, from Clinton School Road south through town, would help the nearly 41,000 vehicles that travel the road every day.
Perrin said the Commerce Drive area was designed to handle 30,000 vehicles a day.
As for the economic development plan, Perrin said the tax would help to create the Jonesboro Economic Development Corporation.
The group, which would be run by a 7-member board of directors, would be a public corporation with information subject to the state’s Freedom of Information Act.
Perrin said the corporation would be working to create jobs, acquire land and build infrastructure needed to bring jobs to the area.
As for the jobs, Perrin said the state law that covers the creation of an economic development corporation allows for the “prevailing rate” to be paid to employees of any company that would locate in Jonesboro.
The city’s finance committee approved the resolution Aug. 11.