Agenda Highlights 2/18/25

At the Fort Smith Board of Directors meeting scheduled for 2-18-25, the Board will vote on a 3.5% increase in sewer rates starting June 1, 2025 and then increasing by 3.5% every January 1 through 2030. If approved, the base charge for sewer service would increase from $4.50 to $4.66 and the volume charge for one CCF would increase from $8.45 to $8.75 on June 1, 2025. The public hearing on this increase was held at the 2-4-25 meeting but the vote on the issue was tabled.

The Board will vote on a zoning change for 4401 Savannah that would allow for an existing metal shop building to be remodeled into a 437 unit climatized mini-storage facility. This issue was discussed at the 2-4-25 meeting but was tabled until the military could approve it in regards to security with the property being located outside of the Military Compatibility Overlay Area where it would require extra security precautions but still very near the airport. The 85th Fighter Group has now approved of the proposed development.

The Board will vote on one option or another for what set of sales tax proposals to put before voters on the May 2025 ballot. Both sets of options if passed by the voters would involve issuing sales tax bonds to fund $360 million in consent decree sewer work, involve renewal of the streets/bridges/drainage sales tax through 2059, would extend the existing 3/4 cent sales tax for consent decree sewer work and police through 2059, and would result in a total of 1% in sales taxes going towards consent decree sewer work and debt service on the consent decree bonds.

Option A would

• result in the total tax rate remaining at the current 9.5% rate

• authorize issuance of $360 million in bonds for consent decree projects (a total bond issue of $385 million)

• reauthorize the existing 3/4 cent sales tax through 12-31-2059 (instead of it ending 12-31-2030) with 5/8 of a cent to be used for consent decree sewer projects and debt service on the consent decree bonds and 1/8 of a cent going to the Police Department

• renew the existing 1% sales tax for streets/bridges/drainage through 12-31-59 but reallocate it with 5/8 of a cent going to streets/bridges/drainage and 3/8 of a cent going to consent decree projects and debt service on the consent decree bonds

Option B would

• result in total tax rate of 9.875 % (a 0.375% increase over the current 9.5% rate)

• authorize issuance of $360 million in bonds for consent decree projects (a total bond issue of $385 million)

• reauthorize the existing 3/4 cent sales tax through 12-31-2059 (instead of it ending 12-31-2030) with 5/8 of a cent to be used for consent decree sewer projects and debt service on the consent decree bonds and 1/8 of a cent going to the Police Department

• renew the existing 1% sales tax for streets/bridges/drainage through 12-31-59 as it is currently with the entire 1% going to streets/bridges/drainage

• authorize a new additional 3/8 cent tax through 9-30-59 for consent decree projects and debt service on the consent decree bonds

The Board will vote on issuing a resolution requesting ARDOT allow parking on the 300 block of Garrison to return to angled parking instead of parallel parking. In 2023, businesses on the block requested to change from angled to parallel parking while the resurfacing project on the Garrison Bridge was happening. The businesses were informed at the time that if they changed to parallel parking that it would have to remain parallel even after the resurfacing project was completed. They chose to still switch and ARDOT authorized the change to parallel. They have since requested to revert back to angled and ARDOT staff have denied permission to switch back. If passed, the resolution will also be sent to the Arkansas Highway Commission.

The Board will vote on an appropriation of $235,931 to pay the severance pay to former City Administrator Geffken.

The Board will vote on whether to approve for Zona Zero Event Center at 3321 South 66 to apply for a private club alcohol license.

The Board will vote on whether to contract with Hawkins Weir Engineering for $558,300 for design services for consent decree sewer work.

The Board will vote on whether to contract with Halff Associates for $365,485 for design services on consent decree sewer work.

The Board will vote on whether to contract with Burns & McDonnell for a contract not to exceed $1,126,233 for a sewer hydraulic model, asset management, and flow monitoring. The work is being proposed to help with a new technique for prioritizing sewer projects with a focus on elimination of sanitary sewer overflows and bundling the same remediation techniques to promote more bidding from more contractors to save money. The process is used by other cities under consent decrees.

The Board will vote on whether to approve an agreed order to resolve the case of Cavin v. City of Fort Smith. The order agrees that the City will not appropriate funds to any private entity or person in violation of the Arkansas Constitution. It specifically singles out any future sponsorship or funding (without proper service contracts in place) for Mercy Hospital Ball, Fort Smith Roundtable Juneteenth Celebration, Steel Horse Rally, golf tournaments, Twisted Effects Braid Studio, and Begin a New Generation. These entities and events previously received funding from the Mayor’s office. The spending for Twisted Effects Braid Studio and Begin a New Generation were in relation to the Braids and Fades back to school event featuring free haircuts and hair braiding and backpacks with school supplies for children. The agreed order if approved would result in both sides in the case paying their own legal fees but no further financial consequences to the City.

The Board will vote on renewing the City’s property and vehicle insurance coverage with Arkansas Municipal League. The premiums would be $1,660,466.61 for property and $791,077.49 for vehicles for a total of $2,451,544.10. This issue was discussed at the 2-11-25 study session meeting.

The Board will vote on Solid Waste Department purchases of a replacement Skyjack Telehandler 8K forklift for $129, 954.60 from Hugg & Hall, a replacement Komptech Multistar XL3 star screener for compost for $736,250 from Powerscreen Texas Inc., a replacement Caterpillar Model 420 backhoe for $130,437 from JA Riggs, a replacement Ford F-550 service truck with air compressor, welder, crane, and tommy lift for $210,803 from Olathe Ford Sales, a replacement International MV607 cart delivery vehicle for $118,851.26 from International Motors, and an additional Caterpillar Model 730 haul truck (instead of continuing to rent one) for $558,400 from JA Riggs.

The Board will vote on renewal of Ozark Dumpster Service’s non-residential solid waste collection permit. The permit would be for 2 years with a 5% franchise fee.