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Committee deadlocks on bill removing mandatory A&P tax for entertainment districts
Summary
House Bill 10 24, which would let cities create entertainment districts without imposing a mandatory A&P (advertising and promotion) tax, failed in committee on a 4–4 roll call after opposition from public-safety and public-health witnesses who warned it would expand public drinking in dry counties.
Senator McKee introduced House Bill 10 24 to eliminate the statutory requirement that municipalities impose an A&P (advertising and promotion) tax in order to establish an entertainment district, framing the change as "returning control at the local level" and removing a state-imposed requirement for a citywide tax.
John Wilkerson, general counsel for the Arkansas Municipal League, provided background on the 2019 entertainment-district law and a 2021 amendment permitting districts in dry counties, and told the committee…
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