By JOEL PHELPS | arkadelphian.com

A longtime Arkadelphia businessman says he’s considering uprooting his pharmacy operation if he can’t get any tax incentives.

Percy Malone, who owns his namesake, downtown Arkadelphia-based W.P. Malone Inc., addressed members of the Economic Development Corp. of Clark County during the 15-member panel’s bi-monthly meeting Tuesday at the Fairfield Inn & Suites. The EDCCC is the governing body that oversees the spending of a voter-approved 1/2-cent sales tax collected to incentivize prospective companies to locate in Clark County, as well as to retain existing employers. Tuesday’s meeting attracted about a dozen citizen spectators.

Malone, a former Arkansas state legislator, told the EDCCC he’s been in business in Arkadelphia since 1967 and employs more than 100 people. He also is involved in real estate. He went to the meeting equipped with a list of 27 questions he intended to ask the panel. His comments were limited to 5 minutes; combined with the back-and-forth between Malone and a handful of panel members, however, the discussion lasted more than 30 minutes.

Malone’s company is in the process of renovating the former US Bank building at 526 Main St., located just across the street from the Malone Inc. headquarters. Malone bought the bank building in 2022 in a $350,000 deal, according to public records held at the Clark County Circuit Clerk’s Office.

Malone, 81, said he is giving “strong consideration” to move the pharmacy operation to his 20,000-square-foot building in Little Rock. “I can hire more people easier for less money in Benton or Little Rock than I can in Arkadelphia,” said Malone, adding that he’s had difficulty in recruiting pharmacists to work and live in Arkadelphia.

Malone took issue with the fact his pharmacy business has, in recent years, invested some $1.4 million in robotics and other equipment to keep local jobs, but to date hasn’t received any incentives from the 1/2-cent sales tax.

“If things don’t get better I have no economic reason to keep my business in Clark County — none,” Malone said, noting that his influence as a politician has built local roads, bridges and fire departments. “I have helped this community as much as I can help it,” he said. “If I don’t make money around here, I can’t give it away.”

EDCCC chairman Kevin Jester pointed out that Malone had only recently applied for incentives, on March 7, and explained that the EDCCC’s guidelines do not allow funding for retrospective projects.

Malone argued that he’s had difficulties in receiving concrete answers regarding whether his company qualifies for tax incentives.

Eric Hughes, vice chairman of the EDCCC, countered that he was among others who have offered on “numerous” occasions to help provide incentives for Malone’s company. “But we have a process that you have to go through,” he said, referring to the application that companies like Hostess Brands, SGL Carbon and others fill out while applying for incentives. Applicants are required to identify a project, which the Arkadelphia Regional Economic Development Alliance refers to the EDCCC for funding approval.

“We’d love to do a project” with Malone Inc., Hughes said, “but we can’t do it if you never give us a project, and we can’t do it after the fact.”

Discussion turned a little sour when Hughes pointed out that Malone’s company had been assisted by way of constructing a hangar for Malone’s private jet at Arkadelphia’s Dexter Florence Memorial Field.

“What a disingenuous thing for you to say,” Malone replied. “I had a jet in Hot Springs, and while I was in the legislature, this community never asked me for one bit of help. I could have brought enough money in that we could have an airport out at DeGray. You just said, ‘We helped Percy.’ You didn’t help Percy; I helped the community.” Malone went on to explain that the hangars, funded by a grant, are owned by the City of Arkadelphia and rented; Malone is among the renters.

The conversation returned briefly to the EDCCC explaining the application process and the guidelines required to qualify for incentives. Malone, however, remained unconvinced that such rules should apply.

“I didn’t get to where I did … by following rules the AEDC [Arkansas Economic Development Commission] has,” he said. “I worked around the political system, and we did get Pine Street widened. … Maybe you don’t have the perfect rule. Maybe you don’t have the formula that will help everybody. So maybe you ought to say, ‘Well, Malone, we’ll look and see if we can modify our rules [so] that you can comply with [them].’”

Shelley Short, CEO of the Arkadelphia Alliance, reasserted that the EDCCC board would follow the guidelines set by the Clark County Quorum Court and consistent with the state constitution.

Later in the meeting, Hughes said jobs officials would “bend over backwards” to ensure that one of Malone’s future projects fit the guidelines so his company would be eligible to receive tax incentives.

CLICK HERE to hear the full discussion. Malone’s comments begin at 32:50. Another option is to download the file below: