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Pike County voters abolish tax for hospital

11:20 AM, Feb 16, 2012   |    comments
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MURFREESBORO, Ark. (AP) - Voters in Pike County have agreed to abolish a 3/8 cent sales tax that was created to support a now-closed hospital.

The tax was enacted in 2007 to support Pike County Memorial Hospital in Murfreesboro and generates an estimated $300,000 per year. The hospital closed in November 2009 - but the tax continued to be collected to repay the hospital's debts.

County Judge Donald Baker told the Texarkana Gazette (http://bit.ly/xJGDHK ) that the debts - except for salaries owed two doctors - have been repaid. Baker said the doctors' salaries will be repaid by the time the tax ends in July.

The measure to end the tax passed on a 474-20 vote on Tuesday.

(Copyright 2012 The Associated Press. All rights reserved.)