Hospitality tax collections in Fort Smith and Van Buren declined during the first half of 2026, reflecting softer weekday travel and cautious consumer spending. Weekend performance remains encouraging in Fort Smith, while tourism officials in both cities are preparing for a year shaped by affordability concerns, economic uncertainty and changing travel habits.
Key takeaways
- Fort Smith collected $607,623 in lodging tax revenue from January through June, down 4.3% from the same period in 2025.
- Four Fort Smith hotels have not yet submitted reports, meaning the city’s total will increase.
- Van Buren collected $441,779 in hospitality taxes, a 3.5% decline year over year.
- Officials point to weaker weekday travel, inflation and higher trip costs as contributing factors.
The results are softer than local tourism leaders hoped, but continued weekend demand and forward-looking event planning offer reasons for optimism.
Fort Smith sees weekday demand weaken
Fort Smith collected $607,623 in hospitality tax revenue through June, compared with $635,070 during the first six months of 2025. The city applies a 3% lodging tax, and the current figure does not include four hotels that have yet to report their collections.
Ashleigh Bachert, executive director of the Fort Smith Convention and Visitors Bureau, said hotel benchmarking data shows weekends outperforming last year in both occupancy and average daily rate. Weekday demand, which is more closely tied to corporate and government travel, has been softer.
That shift highlights the value of Fort Smith’s efforts to attract leisure travelers and weekend events. Bachert said the bureau will continue promoting the city while working to support local hotels. Its longer-term focus has already moved toward booking events for 2027 and beyond, giving properties a stronger base of future business.
Van Buren collections remain close to 2025 levels
Van Buren recorded $441,779 in hospitality tax collections through June, down from $457,833 a year earlier. The city levies a 3% hotel tax and a 1% prepared food tax.
Hotel tax revenue fell 3.1%, from $107,377 to $104,006. Prepared food tax collections declined 3.8%, from $350,457 to $337,274.
Maryl Purvis, director of the Van Buren Advertising and Promotion Commission, said the first-half results were largely expected and that she anticipates little change during the rest of the year. She also noted that consumers appear more cautious about discretionary spending, a trend that could continue through December.
Travel costs shape the outlook
The local declines come as travelers face higher prices for fuel, lodging and other trip expenses. National travel forecasts suggest consumers are favoring shorter and less expensive trips, while survey data indicates that affordability is prompting some households to stay home.
For Fort Smith and Van Buren, that environment makes targeted event recruitment and destination marketing especially important. Stronger weekend activity shows that visitors are still willing to travel when the experience feels worthwhile, giving both communities an opportunity to build demand through festivals, meetings and leisure events.
The first-half totals also leave room for improvement as delayed Fort Smith reports arrive and tourism officials work to secure future bookings. While 2026 may remain a cautious year, sustained local promotion could help the region capture more of the travelers who are still making plans.
Sources
- Fort Smith, Van Buren hospitality tax revenue down in the first half of 2026, Talk Business & Politics.
