Johnston delivers state of the city address, argues for 2 percent sales and use tax

— Kevin Johnston, Gentry's mayor, delivered his state of the city address to the council on March 6 and argued in favor of increasing the city sales tax to 2 cents per dollar.

In comments before delivering his address to the council, Johnston shared information with the council on revenue coming into the city from sales and use taxes. He said the city's recovery from the economic recession would likely have occurred much more quickly if the city received 2 cents on every dollar like neighboring cities rather than 1 1/8 cent per dollar. He estimated increasing the tax to 2 cents would generate close to an additional half million dollars per year and help the city complete many of the projects which have been on hold because of a shortage of money. He said having a lower tax places Gentry at a disadvantage in competing with neighboring cities which charge the higher tax.

The current sales tax rate in Gentry is 8.625 percent. Of that, the city receives 1.125 percent, the county 1 percent and the state 6.5 percent. The current total sales tax in a number of surrounding cities is 9 percent.

In comparison, according to the Arkansas Department of Finance and Administration, Gravette, Siloam Springs, Rogers, Lowell, Bentonville, Springdale, Centerton, Fayetteville, Farmington, Lincoln, Johnson and Tontitown all receive 2 percent in sales and use taxes. Decatur, Sulphur Springs, Cave Springs, Avoca, Pea Ridge, Springtown, Elm Springs, Bella Vista and Little Flock receive 1 percent. Prairie Grove receives 2.25 percent, and Bethel Heights 2.5 percent.

Mayor Johnston's unedited state of the city Address follows:

It is an honor to have the opportunity to deliver to you, the 2017 State of the City Address.

Like most years, 2016 brought its own variety of challenges. From the loss of a grocery store to filling potholes. All, of which, we have survived, many, of which, we have conquered. I believe most of us want to do more than just survive. We want to conquer the needs and desires of our great community.

One year ago, tomorrow, we received the news that Harps Foods would be filling the void as our hometown grocery store and becoming the newest member to our community. This new community partner has invested physically and monetarily in Gentry. From sponsoring the purchase of books at the public library to donating funds for school playground improvements and participating in events, such as, Trick or Treat on Main and the annual Christmas Parade. Continuing to build partnerships, such as this, is imperative to our continued success.

Six years ago, I delivered my first Address. Within that address, I mentioned the uncertainty of time it would take to return to prerecession economic levels. Through the hard work, dedication, faith and commitment of so many within our community, we have done it. Not only have we survived, we have conquered.

While the region we live in is one of the most desirable in the country, it comes with additional challenges. As the cities within Benton and Washington County continue to work together to attract new residents and businesses, we also compete for them, creating the term, coopetition. Quality of life is the most appealing and effective tool that we all utilize. From available jobs to recreational amenities to safe neighborhoods, we all must find ways to provide them. But, imagine if we were on the same financial playing field as the majority of the cities that we compete with. Most of which have at least a two cent sales tax. Gentry, on the other hand, has a one and one eighth cent sales tax. One eighth of a cent dedicated to the operating and maintenance of the library, one half of a cent is dedicated to streets and the final one half cent, is dedicated to everything else, police, fire, ems, administration and parks and recreation. If our sales and use tax percentage was equivalent to our regional competition, we would nearly be able to provide an additional one half million dollars annually, towards trails, sports fields with lighting, additional street paving and improved facilities to conduct programs and events, all while continuing to provide services such as police, fire and ems.

I can load you up with the facts about our personnel being busier conducting service calls, adding to our infrastructure, tending to the needs of our citizens and helping each day to improve the quality of life within our community. But, all of that would merely prove that we are surviving.

Let us all continue to work together to identify our needs and the means to conquer. The future success of our efforts is dependent upon it.

I look forward to working with each of you throughout 2017 and I pray God will continue to bless our resilient city, our wonderful state, our great nation and its precious people.

General News on 03/15/2017