The sales tax in Arkansas City is set to increase to 9.25 percent on Oct. 1.
The increase is the result of a one-cent sales tax to cover South Central Kansas Medical Center’s bond debt that was approved in May.
Arkansas City voters voted 4-to-1 to approve the tax, although only 45 percent of eligible voters in the city limits cast mail-in ballots.
The tax will increase from 9.25 to 10.25 percent in the Summit Plaza Community Improvement District, also known as the Westlake shopping center. The increased tax is charged at Dollar Tree, Westlake Ace Hardware and the new car wash.
The funds raised by the new tax can be used only to pay for the debt service previously incurred to construct and equip SCKMC.
The tax is predicted to generate about $1.65 million annually.