§ 14-125-709 - Levy of tax for preliminary expenses. - Arkansas Statutes

14-125-709. Levy of tax for preliminary expenses.

(a) If the board does not deem it to the advantage of the project area to proceed immediately with the construction of the improvements upon the filing and confirmation of the assessment of benefits, it may cause to be levied and collected a tax based upon the assessment of benefits and collectible from the benefited land in the project area in the proportion to the amount of the assessment of benefits thereon for the purpose of paying preliminary expenses for development of the improvement plan for the project area.

(b) The board shall report to the court the rate of taxation necessary to be levied to pay the preliminary expenses, and thereupon it shall be the duty of the court to make levy of taxes upon the benefited land in the project area sufficient to pay the preliminary expenses, with ten percent (10%) added for unforeseen contingencies. This tax shall be extended upon the tax books of the county and collected along with other taxes in the same manner as taxes levied for construction purposes, as provided in this chapter.

(c) If any project area is abandoned before the making of the assessment of benefits, the tax for preliminary expenses shall be levied at the rate fixed by the board upon the real property therein upon the basis of the assessment for county and state purposes.