Jonesboro One-cent Sales Tax Vote Edges Closer

The second reading for a proposed one-cent sales tax in Jonesboro sailed through the city council Tuesday night, while the council approved the first reading of a proposed $20 million apartment complex that would be built near Arkansas State University.

The sales tax proposal, which passed a first reading on Aug. 18, would use the proceeds from the sales tax to pay for streets and economic development.

Under the proposal, seven-eighths of the tax would go toward roads, construction and overpasses with the remaining one-eighth going toward economic development. Jonesboro currently has a 8.5% combined state, county and city sales tax. The proposal would set a Nov. 10 special election date for voters to decide the issue.

When discussing the issue, Jonesboro Mayor Harold Perrin said the city’s growth in recent years has been taxing the maintenance of roads.

“We are outgrowing our infrastructure,” Perrin said to answer a question from Keith Watkins of Paragould. Watkins asked Perrin about the transfer of a capital improvement sales tax to the city’s general fund in 2014. Perrin said the transfer was made in order to do street work. Watkins countered that the one-cent sales tax should be moved back to cover the costs.

Perrin told Watkins that the funding would only cover day-to-day operations and not major projects. City officials have found nearly 20 projects, totaling about $250 million, around town.

The amount was later reduced to about $187 million, including a $30 to $40 million flyover at U.S. 49 and Ark. 351, and nearly $50 million to build railroad overpasses at Highland Drive and Nettleton Avenue; and Dan Avenue and Gee Street.

As for the economic development portion of the issue, Perrin said the Jonesboro Economic Development Corporation would be created. A seven-member board of directors would be appointed by the mayor and confirmed or denied by the council, under the proposal. Perrin said the corporation would work on a variety of issues including land acquisition and economic development.

The proposal is expected to be read for a third time on Sept. 8 at 5:30 p.m. at the Municipal Center. Perrin said a special meeting would be held only to discuss the proposal.

APARTMENT COMPLEX PROPOSAL
A plan to build a 240-unit apartment complex near ASU received a full vetting Tuesday night as council members approved its first reading.

Officials with Wilmington, N.C.-based Zimmer Development Company, along with their attorney, Don Parker of Jonesboro, spoke to council members about the proposal.

If approved, the complex would be built on 15.7 acres in the 2500 block of Johnson Avenue. Parker said the complex would be run by Dallas-based Asset Campus Housing and would cater to meet unmet needs in the area. However, instead of renting by apartment, officials said the apartments in the complex would be leased by the bed, Parker said.

The Jonesboro Metropolitan Area Planning Commission approved the proposal at its Aug. 11 meeting, sending it to the council for their review.

Several people who live in the area attended the meeting raising concerns. One of them, Paul Carter, asked council members to research both Zimmer and Asset Campus Housing before approving the plan, citing problems with other apartment complexes in north Jonesboro.

The second reading is expected at the council’s Sept. 15 meeting.