Governor Hutchinson appears in Rogers campaigning for Issue 1

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ROGERS, Ark. (KNWA/KFTA) — This year you can vote to make a temporary half-cent sales tax permanent.

The money helps fund road improvements across the state. This tax is set to expire in June 2023.

Sales tax currently sits at six-and-a-half percent, with the half-cent tax built-in.

If passed, the tax would generate nearly 240 million dollars in revenue per year.

According to estimates by the Department of Finance and Administration, state highways would get 70-percent and city and county transportation would get 15 percent each.

We spoke to people from both sides of the issue, including Governor Asa Hutchinson.

“What’s important here is this is not a new tax, this is not raising a sales tax, we don’t want to do that, we fought hard against that, this is a continuation of an existing half-cent sales tax,” Governor Hutchinson says.

“Sales taxes are regressive, they impact the poor and middle class the most, it takes the largest parts of their incomes and we don’t think that’s something we want to make permanent, we don’t want to be known for that,” Ryan Norris says.

People against the issue say the tax should be re-considered every few years.

Those for it say making it permanent will help create jobs in construction and the tourism industry.

Copyright 2020 Nexstar Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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