The 2003 Arkansas General Assembly defied the odds and passed a 3 percent state income tax surcharge to help plug a $110 million dollar budget shortfall for Medicaid, a critical state program that provides health care for children and other vulnerable populations. Under the law establishing the surcharge, however, it could disappear if certain revenue […]

The last two years have been historic ones for the Arkansas tax and budget system. The Arkansas General Assembly enacted nearly $500 million in tax increases to plug a Medicaid budget shortfall for vulnerable populations and to reform K-12 education in response to an Arkansas Supreme Court mandate in the Lake View school-funding case. Among […]

During the recent special legislative session on education reform, the Arkansas General Assembly passed one of the largest tax increases in the state’s history. It raised over $380 million in new tax revenue, mostly through a 7/8ths cent increase in the state sales tax, expanding the sales tax base to some personal services, and a […]

When the General Assembly meets in its special session on education reform, one of the funding options it will seriously consider is a one-cent increase in the state sales tax. While this would raise significant revenue for education ($360-$370 million), it would also have major implications for the tax burden of low and middle-income families […]

One of the major issues the Arkansas General Assembly will have to consider during its December special session is how to pay for education reform. According to a study adopted by the Joint Legislative Committee on Education, the cost of education reform will be $847 million annually. This estimate does not include the cost of […]

When the Arkansas General Assembly convenes in December to reform the state’s education system, they will have tough choices to make about how to pay for these reforms (estimated at $847 million). One of the options the legislature will likely consider is raising the corporate income tax. What would be the impact on state economic […]

According to a recent study by the Joint Committee on Educational Adequacy, it will cost $847 million to reform the Arkansas education system and provide an adequate education for the state’s children (not counting the cost of new school facilities). While it’s anybody guess as to how much new tax revenue the legislature will be […]

In December, the Arkansas General Assembly will convene in a special session to develop plan for reforming education (and finding the funds to implement the plan) in response to a 2002 Arkansas Supreme Court mandate in the Lake View case. Funding education reform will be an expensive undertaking. According to a recent study by the […]

Arkansas Advocates for Children and Families (AACF) believes that any plan for raising new revenue to pay for education reform should be based on core beliefs and guiding principles. This plan should be realistic, allow the state to provide a better education for our children, and protect and promote the economic well-being of the state’s […]

As Governor Huckabee and the Arkansas General Assembly grapple with how to reform the public education system, they will eventually have to make major decisions about how to pay for these reforms. Paying for education reform will require large tax increases that could have major implications for the economic well-being of the state’s working families […]