Arkansas Voters to Decide on Issue 3 Economic Development Amendment in November

Arkansas voters will decide this November on Issue 3 – a proposed constitutional amendment aimed at expanding economic development tools for communities across the state.

The measure would allow lawmakers to create economic development programs, including local “economic development districts,” where cities and counties could offer incentives to attract businesses, housing and other projects.

Gabe Holmstrom works on behalf of Arkansas for Strong Communities, the ballot title measure campaign led by the Arkansas State Chamber of Commerce which hopes to see Issue 3 pass this fall. Holmstrom says Arkansas is currently at a disadvantage compared to neighboring states without more options for public-private partnerships.

Holmstrom says at the end of the day the proposal is designed to give local communities more control.

Holmstrom says those districts could look different depending on the needs of each community.

He says the amendment would not raise taxes, but instead use new revenue generated by development projects.

Supporters argue the measure could help address issues like lack of grocery access, housing shortages and vacant properties, especially in rural areas.

They also point to examples where Arkansas communities have lost out on projects to neighboring states.

If approved, the amendment would not fund specific projects right away, but would give state and local leaders the ability to create programs in the future. Holmstrom said the amendment is ultimately about giving Arkansas communities the ability to compete.

Again, Issue 3 will appear on the statewide ballot this November.