A provision buried in Arkansas's tourism appropriations bill creates a direct funding opportunity for restaurants in small communities—but most owners don't know it exists.
Most Arkansas restaurant owners have never heard of Section 23 of SB15. That's a problem, because it may put money directly within reach.
The bill—officially titled "An Act For The Department Of Parks, Heritage, And Tourism - State Parks And Tourism Divisions Appropriation For The 2026-2027 Fiscal Year"—contains a provision that sets aside $150,000 in dedicated funding for small festivals in Arkansas communities with populations under 10,500. The funding comes from the state's 2% tourism tax and is available from July 1, 2026 through June 30, 2027.
Here's why this matters to your restaurant: if you operate in a qualifying small town, or if you're involved in organizing or sponsoring a local festival, this is a direct potential revenue source that doesn't require competing for general grants or tourism dollars.
The provision applies to small businesses in Arkansas communities under 10,500 people that organize or participate in local festivals. That includes restaurants that sponsor events, donate food, or actively participate in community festival planning. The funding pool is specifically designated for these small-business-driven community events.
If your town falls below that population threshold and hosts a festival—whether it's a seasonal celebration, farmers market event, heritage festival, or community gathering—your restaurant may be eligible to access or benefit from this pool.
This isn't a loan. It's a dedicated advertising and event-support fund carved out of the state tourism budget specifically for small-town festivals. For restaurants, that can translate into:
Direct support for festival sponsorship or participation costs; advertising dollars tied to festival promotion; or funding that helps draw visitors to your community during festival periods—which typically means increased foot traffic and sales for local dining establishments.
The key difference from other tourism grants: this money is already allocated and reserved. You're not competing against statewide initiatives or large urban events. It's designated specifically for communities your size.
The funding window runs from July 1, 2026 through June 30, 2027. That's the fiscal year when these dollars are available. If your community is planning festivals during that period, or if you're involved in festival planning, now is the time to understand the mechanics of accessing this fund.
You'll want to contact your local chamber of commerce, tourism board, or city economic development office to learn how your community intends to distribute or allocate these funds. Different towns may have different application processes or timelines.
Start by confirming your town's population (it must be under 10,500) and identifying any planned festivals during the July 2026–June 2027 window. Then reach out to your local tourism or economic development contact to ask how small businesses can participate in or benefit from the $150,000 allocation.
The provision is found in Section 23, Page 14 of SB15. A free, detailed business-specific summary of this provision and how to access it is available through most Arkansas restaurant associations and local chambers.