Fort Smith Will Weigh Alcohol Tax Hike

City officials are set to discuss a proposed alcohol tax increase to fund pay raises for local firefighters.

Updated on Oct. 10, 2026 in City Hall

Bold flat-color editorial illustration of a brass firefighter helmet, symbolizing civic funding for emergency services. — Fort Smith city officials will discuss a proposal to increase the local alcohol tax on October 13 to fund firefighter pay raises. AI Illustration. Upload story photo >

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Should your local government increase alcohol taxes to fund raises for city employees?

Fort Smith city officials will discuss a proposal to raise the local supplemental alcohol tax to 10% during a meeting on October 13, 2026. The revenue generated from this tax hike is intended to fund pay raises for the city fire department.

Why it matters

The proposal aims to address firefighter attrition after three personnel resigned last year. By increasing tax revenue, the city hopes to maintain competitive salaries and retain staff within the fire department.

A 5% tax increase would generate an estimated $500,000 annually, falling short of the $755,000 required for a 6.5% firefighter pay raise. Officials are also considering a 10.7% salary increase that would set a starting annual salary of $50,022.

The players

Darrell Clark

He is the Fire Chief of the Fort Smith fire department and has requested a 13.7% pay raise for his personnel.

The details

The proposed tax would apply to alcoholic beverages sold at restaurants, bars, and private clubs. Fire Chief Darrell Clark has requested a 13.7% pay raise for firefighters, a measure estimated to cost approximately $1.65 million, while staff identified a 10.7% raise as an alternative option.

Spring 2020: A previously adopted alcohol tax increase was repealed.
September 22, 2026: The board held a study session regarding firefighter salaries.
October 13, 2026: The board will discuss the proposed alcohol tax increase.
FY2027: Planned implementation of firefighter salary increases.

Political Context

Opponents or dissenting board members may point to the failed 2020 tax measure as evidence of public or political resistance to increased alcohol levies. Critics could also argue that alternative funding sources should be exhausted before reaching the state-mandated 10% tax ceiling.

If the 10% tax is approved, diners and patrons at local bars or private clubs in Fort Smith will see the supplemental tax on their bills double from the current 5% rate. This change is intended to bolster the city's ability to retain fire personnel and maintain safety services.

The takeaway

The city must balance the financial burden on local businesses against the need for competitive emergency services. Residents should follow the upcoming October board discussion to understand how the final tax decision may affect their local spending at hospitality venues.