NLR tax called ‘burden’ for poor, elderly

LITTLE ROCK — North Little Rock’s proposed city sales tax increase would create “a heavy burden” on the city’s poor and elderly residents, said an Arkansas Tea Party announcement Monday, the first organized opposition to the tax.

The city sales tax increase will be voted on Nov. 8. The tax proposal has two parts: A 0.5 percent permanent sales tax to be divided evenly between capital improvements and general operations; and a 0.5 percent tax to expire March 31, 2017, for capital improvements.

The Tea Party group also opposed the Little Rock sales tax increase that voters approved Sept. 13.

“One of the primary reasons we opposed the Little Rock sales tax and this one as well is because the government needs to start looking within and we need to cut government spending,” said Todd Sharp, a spokesman for the group that is based in North Little Rock.

The Arkansas Tea Party is one of 30 different Tea Party organizations in the state, Sharp said. The North Little Rock group has about 3,000-5,000 members within Pulaski County, he said.

“North Little Rock’s proposed sales tax increase would be a heavy burden on the poor and elderly,” said a news release from the organization on Monday. “This is a regressive tax in which low-income residents and those on fixed incomes would be impacted the most.”

The news release continued that North Little Rock government officials need “to do some belt tightening, find other revenue sources and cut wasteful spending.”

Tea Party members will campaign door-to-door against the tax increase, the news release added.

Mayor Patrick Hays, who has proposed the city sales tax package, said Monday that he would “be interested to hear what information the opposition is going to share.”

“We welcome an informed public to help make sure all sides of the issue are put before the voters,” Hays said. “All we want to do is to try to make sure that the information is accurate and that the voters will have an opportunity to make an informed choice.”

If approved by voters, the taxes would add to North Little Rock’s current 1 percent city sales tax that’s charged on top of a 6 percent state sales tax and a 1 percent Pulaski County sales tax. The city also charges an extra 3 percent on restaurant meals and any other prepared food that’s sold in the city.

Also Monday, Hays dismissed concerns about pro-tax campaign phone calls reaching homes in neighboring Sherwood, whose residents cannot vote in the election. Calls also went to some Sherwood residents during polling done by the North Little Rock Chamber of Commerce while officials were deciding if a tax vote could be successful.

“Whenever you try to contact thousands of people I’m sure there will be some errors of communication,” Hays said. “I can’t explain the cause for the error, but obviously there is one. I’d rather overshoot by a few than undershoot by many.”