Fort Smith Firefighters Sought Pay Increases

The city is weighing a tax hike to help fund potential salary adjustments for fire department personnel.

Updated on Oct. 13, 2026 in Financial Planning

Bold flat-color editorial illustration of a brass helmet on a stone ledge, representing municipal budget and policy decisions.
The Fort Smith Board of Directors is considering raising the Supplemental Alcohol Tax to fund a 13.7% pay increase for local firefighters. AI Illustration. Upload story photo >

Live Poll

Should city governments raise local taxes to fund higher pay for public employees?

The Fort Smith Firefighter's IAFF Local 33 union has requested a 13.7% salary increase to remain competitive with other regional departments. The Fort Smith Board of Directors is now considering a proposal that includes a potential increase to the local Supplemental Alcohol Tax to fund these pay changes.

Why it matters

The proposed adjustments aim to address years of pay stagnation, with the city balancing budget cuts and tax hikes to bridge the funding gap. Local taxpayers may soon see changes in how the city manages its workforce compensation and general fund revenue.

The city identified $375,000 in additional funding required to meet the union's 13.7% request, while a proposed increase in the Supplemental Alcohol Tax from 5% to 10% is expected to generate $500,000 in revenue.

The players

Fort Smith Board of Directors

The city governing body responsible for setting municipal budgets and establishing local tax ordinances.

IAFF Local 33

The labor union representing local fire personnel and negotiating for competitive wages.

Christina Catsavis

A city director who requested a draft ordinance regarding the potential salary proposal.

George Catsavis

A city director who joined the call for an official salary proposal draft.

The details

City staff identified budget reductions capable of supporting a 10.7% salary increase for firefighters, falling short of the 13.7% target. To bridge the remaining $375,000 gap, officials are considering doubling the local Supplemental Alcohol Tax, which applies to restaurants and bars. If the full 13.7% raise is eventually approved, it would rank the Fort Smith department seventh among ten compared Arkansas departments.

Timeline

  1. September 22, 2026: Firefighters presented their pay data to the Board.

  2. October 5, 2026: The Board discussed the salary proposal.

  3. October 8, 2026: City Administrator issued a memorandum regarding funding.

  4. April 2027: Planned effective date for potential salary increases.

Money Landscape

This move follows a recurring trend of using local tax adjustments to manage municipal budget gaps in the region. The proposed hike updates a fiscal precedent set by the Supplemental Alcohol Tax, which was previously the subject of an appeal in 2020.

Residents and business owners in the hospitality sector should monitor potential changes to the Supplemental Alcohol Tax, which would apply to restaurants and bars. If the tax is passed, customers may see higher prices on alcohol tabs in the city.

The takeaway

The city is actively exploring how to balance competitive workforce compensation with consumer-facing tax increases. Taxpayers interested in the impact on their local spending should monitor upcoming Board of Directors meeting agendas for updates on the alcohol tax ordinance.

What happens next

The Board of Directors is expected to further review the draft ordinance as the proposed implementation date approaches in April 2027.

Further reading

For more on local budget adjustments, visit Financial Planning.

More information

View the draft ordinance for fire salary increase to track the proposal status.

Source note: This article includes information reported by Home Page.

Live Poll

Should city governments raise local taxes to fund higher pay for public employees?