Agenda Highlights 9/17/24
At the Fort Smith Board of Directors meeting scheduled for 9-17-24, the Board will open a public hearing on whether to annex 86 properties totaling 637 acres located at Hwy 271 and Hwy 253. The island of property is surrounded by city limits on three sides and the Oklahoma state border on the fourth side. Benefits to property owners of being annexed include access to all City services, lower insurance rates (because Fort Smith has the best possible ISO rating , a 1, and the fire service currently serving that area only has a 4 rating), and City maintenance of streets. Negative impacts on property owners if annexed include an 8 mill increase in property tax, a higher sales tax rate of 9.5%, having to follow all City codes including property codes and the animal ordinance and the prohibition of discharge of firearms. Amendment to the code would be made to allow for fireworks to be sold from permanent structures on major streets and arteries during specific periods (to accommodate Hale Fireworks that operates at 8520 Hwy 271). Fireworks sales from tents would still not be allowed. Amendment to the code would also be made to allow for Pajaro Gun Club that operates at 802 Old Highway 271 to continue their operations.
The Board will vote on whether or not to remove the 5% local preference from bidding on consent decree projects. The proposed change would be in hopes of receiving more bids and potentially reduced costs. The local preference would not be removed from any other bidding.
The Board will vote on whether or not to authorize the City Administrator Geffken to propose a plan to the EPA and DoJ for modification of the consent decree with a 2036 deadline (10 years more than the current deadline) and negotiate with the EPA and DoJ with a financial plan committing to hitting revenue targets to cover the cost for the consent decree. The plan includes annual water rate increases of 3.5% from 2025-2030 (in accordance with the rate covenants approved by voters when voting for the sales tax for consent decree sewer work), 18% increases in 2031 and 2032, a 16% increase in 2033, a 15% increase in 2034, a 12% increase in 2035, and no increase in 2036. The rate increases would only occur at the specified rates if sufficient revenue is not raised from other sources including bonds, borrowing, and grants, and taxes. The plan states that the City would take steps before it expires to extend the sales tax for consent decree sewer projects at a full 1% rate for the remainder of the consent decree. The issue was discussed at the 8-27-24 meeting, tabled at the 9-3-24 meeting, and discussed again at the 9-10-24 meeting.
The Board will vote on whether or not to approve the Street Department’s Comprehensive Safety Action Plan. The plan, funded by a federal grant, and approved to be conducted at the 9-5-23 meeting identified and prioritized projects to improve traffic safety and reduce the number of traffic accidents and fatalities. The plan allows the City to be eligible for future federal grants to implement the plan’s identified projects.
Nearly every week there is a crash with serious injury or fatality that occurs in Fort Smith. The fatalities per population rate in Fort Smith is better than the statewide average and better than Little Rock and Springdale but worse than Fayetteville or Edmond, OK. 67% of crashes occur on the main arteries. 55% happen in intersections. Crashes involving pedestrians, bicyclists, construction workers, and other people who are outside of motor vehicles only make up 5% of the serious injury and fatality crashes, but 31% of crashes involving people outside of vehicles result in serious injuries or death. Crashes involving people outside of motor vehicles occur more frequently at night than other crashes.
The top ten priority areas for improvement projects identified by the plan are
Garrison from 2nd to 14th
Rogers from 46th to 79th
Grand from 21st to 37th
Kelley Highway and 50th intersection
Towson from Phoenix to Raleigh
Jenny Lind from Jackson to Louisville
Rogers and Albert Pike intersection
Park from North Greenwood to North 35th
Kelley Highway and 32nd intersection
North B from North 6th to North 15th
The issue was discussed at the 8-13-24 meeting and discussed and tabled at the 8-20-meeting.
The Board will vote on contracting with Entegrity for solar projects that would generate 17 million KWH of energy annually and offer a net savings of $100,000 annually and a total net savings of $3.5 million over the life span of the equipment. The projects include 2 off-site solar farms that would generate a combined 8.63 MW of energy (that would have no upfront cost to the City as they would be owned and maintained by Entegrity and would benefit from 50% tax credits), a solar canopy that would cover two rows of parking at the Farmers Market and generate 300 KW of energy (that would cost $1,452,057 upfront and benefit from 30% tax credits resulting in an eventual total cost to the City of $1,452,057 and outright ownership by the City), and an off-site solar array for Nelson Hall Homes low-income housing that is to be fully funded by the federal Climate Pollution Reduction Grant. Under State law, the current net metering benefits that allow for a 1:1 rate structure and keep large scale solar economically appealing expire 9-30-24. In order to lock in the rate structure, an agreement must be in place before 9-30-24. Entegrity was the only company that applied to partner with the City on solar projects.
If the contract with Entegrity is approved, the Board will also vote on whether to allocate funds from the general fund for the cost of the farmers market solar canopy.
This issue was discussed at the 9-10-24 meeting.
The Board will vote on whether to contract with Forsgren for 1.4 miles of street overlays and the associated sewer work. The total cost of the contract would be $2,691,340.94, with $530,000 of that total being for the sewer utility work.