issue 3Economic development districts
Read the full text of the measure: official text
In plain words
Issue 3 gives the legislature power to create a new kind of local district to attract projects like housing, stores and infrastructure. Details would come later in new laws. Property in a district would leave the regular tax rolls but could be taxed by the district. (uaex.uada.edu )
Before and after
| Who can create districts | No such districts in the constitution | Legislature can authorize them in cities, counties or cooperative areas |
|---|---|---|
| Property tax on district land | Normal school, county and city taxes | Exempt from those taxes; district may levy its own charges |
| District debt | Counts under city and county debt limits | Does not count under those limits |
Numbers from the official ballot title (ballot title ); also see (arkleg.state.ar.us )
Example
Illustration only: if a store site worth $1 million sits inside a district, it would no longer pay the usual school and county property taxes on that value; the district could charge its own tax or fee on it to repay district bonds. Actual amounts would depend on future laws. (uaex.uada.edu )
Biggest change
- Lets the legislature create programs, loans and grants of public money for economic development, jobs, transportation and commerce. source: arkleg.state.ar.us
- Lets the legislature allow economic development districts that can issue bonds; those bonds do not count toward certain debt limits. source: arkleg.state.ar.us
- Property in a district is generally exempt from property taxes except charges the district levies. source: arkleg.state.ar.us
- Bonds backed by local property taxes still need local voter approval. source: senate.arkansas.gov
- Overrides conflicting constitutional provisions, laws and court rulings; takes effect Jan. 1, 2027. source: arkleg.state.ar.us
Who it affects most: Cities, counties, school districts, businesses and developers.
Cost to the state: No dollar estimate. UA Extension says property in districts would leave school, county and city tax rolls, and that costs and bonds depend on future laws. SB 647 of 2025, an example implementing bill, died without action.
Our plain-words summary. Every line points to its source.
What your vote means
A YES (FOR) vote lets the legislature pass laws creating economic development districts and funding programs, starting Jan. 1, 2027; no district is created by the vote itself.
A NO (AGAINST) vote keeps current constitutional limits; cities and counties keep only the development tools they have now (such as tax increment financing and existing bonds).
Our one-line summary. Arkansas does not publish an official "what your vote means" statement; the ballot title above is the official description.
Why people want it, and why others object
Why this is on the ballot
The Legislature put this on the ballot. It changes the state constitution, so only another statewide vote can change it back. It passes with A majority of the votes cast on the issue..
- Arkansas General Assembly (SJR 15, 2025 regular session). Sponsors: Sen. Jonathan Dismang and Rep. Howard Beaty. source: arkleg.state.ar.us
- Passed by the legislature in April 2025 as SJR 15. It builds on a 2016 amendment that allowed public money for private economic development. source: kuaf.com
- A Talk Business & Politics/Hendrix College poll in August 2026 found 37% for, 25% against, 38% undecided. source: kuaf.com
- Sponsor Sen. Jonathan Dismang and local officials presented the measure to a legislative committee in August 2026; local officials said border communities lose projects to nearby states. source: senate.arkansas.gov
Why supporters want it
No public statement found.
Why opponents object
No public statement found.
Who backs each side
- For: Sen. Jonathan Dismang and Rep. Howard Beaty (Legislative sponsors) source: uaex.uada.edu
- Against: No public statement found.
In each side's own words where we could find them, quoted or summarized with a link to the source. We don't endorse either side.
What you will see on your ballot
Official ballot wording, word for word (tap to open)
The official ballot title, word for word from the Arkansas General Assembly .
AN AMENDMENT TO THE ARKANSAS CONSTITUTION CONCERNING ECONOMIC DEVELOPMENT IN THE STATE OF ARKANSAS; AND AUTHORIZING THE GENERAL ASSEMBLY TO PROVIDE FOR THE CREATION OF ECONOMIC DEVELOPMENT DISTRICTS WITHIN CITIES, COUNTIES, OR COOPERATIVE AREAS TO PROMOTE ECONOMIC DEVELOPMENT WITHIN THE ECONOMIC DEVELOPMENT DISTRICT.
FOR
AGAINST
Copied word for word from the Secretary of State's notice "Constitutional Amendment (or Other Measure) Referred to the People by the General Assembly" for Issue No. 3, page 1 (ar_Issue_No_3_SJR_15_of_2026.pdf). The notice prints the Ballot Title; it says voters vote for or against, so FOR and AGAINST are shown as the choices.
Latest news
Recent reporting from a range of outlets, newest first. We link to it; we don't endorse it.
No articles collected yet for this measure.
Full text of the measure
Read it in the official text , or on the Legislature's page for Issue 3 (SJR 15 of 2025) , which also shows the votes in each chamber.
Read more
- Arkansas Secretary of State: Initiatives and referenda (official notices for Issues 1 to 4, PDF)
- Official text (SJR 15, Arkansas Legislature)
- Arkansas Senate: Lawmakers Discuss Issue 3
- UA Extension 2026 Ballot Issues Voter Guide
We link to analysis from several sources; we don't endorse it.