Highlights of the Fort Smith Board of Directors Meeting 4/23/24

The Fort Smith Board of Directors study session meeting held 4-23-24 and led by Vice-mayor Rego in the absence of Mayor McGill began with discussion of potential downtown projects designed by MAHG Architects to make downtown more beautiful and pedestrian friendly. Potential projects include…

  • A pedestrian promenade from Garrison to the riverfront via North A created by narrowing vehicle traffic to one lane from the riverfront to North 2nd at a cost of $525,813.35

  • A lighted riverfront gateway at the entry to the pedestrian promenade at a cost of $162,390.08

  • Upgrades including directional signage on the sidewalk between 3rd and the base of the Garrison bridge at a cost of $20,645.28.

  • Color change LED lighting under the bridge

  • A pedestrian scramble at the intersection of Garrison and 3rd where there would be a period where all the traffic lights would go red in all directions at a cost of $7,708.31

  • Garrison City Park in the space next to Prima Italia at a cost of $77,084.58

  • Court Street linear pathway including a pedestrian crosswalk, brick planters, and trash cans at a cost of $372,928.91

  • An Art Walk including a rotating showcase of 3D artwork, string lights between the buildings, and neon entry signage between Garrison and 7th and the Bakery District at a cost of $61,362.36 not including the cost of the art

  • Sidewalk widening between the parking garage and the Convention Center and a bigger transit bus shelter there with bike racks and a hub for bike and scooter sharing at a cost of $236,631.06

  • Cisterna Pedestrian Promenade and Lawn on the block between 10th and 11th between Cisterna Park and Brunwick Place created by removing the street and replacing it with concrete pavers matching the ones at Brunwick and lining the promenade with trees and adding amenities to the lawn including concrete chess tables and benches at a cost of $899,263.59

  • Updates to Cisterna Park including visually narrowing 10th Street by Cisterna to slow traffic, adding a double row of trees, redesigning the brick at the park to match the Darby Sculpture, and upgrades to the fountain including lighting at a cost of $623,252.34

  • Narrowing North A from North 2nd to North 11th to one lane for vehicles with the other lane becoming a dedicated bike lane at a cost of $52,588.88

  • Additional signage

Bill Hannah with the Central Business Improvement District spoke about the potential projects. He said the emphasis for the plans is “connecting assets” across downtown. He said that the CBID levied an assessment a year and half ago that has generated revenue but since the “Clean and Green” initiative hasn’t been able to be completed because they haven’t been able to find anyone to accept the contract to do the work there are funds available to spend. Up to $100,000 will likely be available in this calendar year. When CBID prioritized the projects, they decided that they would like to fund the Garrison and 3rd crossing and the Art Walk projects at a total of about $80,000-$85,000 for both.

Gaylen Hunter with MAHG said that the plans were crafted with a focus on projects that could be completed “in a reasonable amount of time with a reasonable amount of dollars.” Director Morton asked if they had had any thoughts conceptually about what might happen if Garrison were to become a City street and trucks were moved off of it. Hunter said that while they did not craft plans around that, they have looked at some other cities similar to Fort Smith with models that could be accomplished here. Director Settle asked if the proposed plans would be impacted if the truck route were relocated . Hunter said that he did not think they would be impacted and “I think they would work with it.” Administrator Geffken mentioned that the turning radius with narrowing A Street has been checked and would not be a problem for trucks. Of the A Street narrowing, Director Settle said the City “should have done that years ago.”

Director Settle asked about the cost of the lights under the bridge. Hunter said that they are working with a lighting consultant and should have a price on that in a couple of weeks. Director Settle mentioned that Little Rock has lights like that already and might be able to offer a price estimate. Hunter said that the company they are in contact with is the same company Little Rock used.

Director Settle mentioned that 3% of the county wide sales tax money is allocated to downtown projects and asked if that $900,000 could be used for the proposed projects. Geffken said that currently that money is used by the Parks Department for upkeep, but that it could be reallocated.

Director Morton said of the plans that it “all looks really attractive.”

Director Christina Catsavis said that she is “very excited about this” and called the plans “small and attainable.”

Director Rego expressed support for the plans.

hud logo

The Board discussed the recommendations of the Community Development Advisory Committee for projects to receive funds from the federal Community Development Block Grant and HOME Investment Partnerships Program grant programs.

Recommendations for the Community Development category of CDBG funds include $148,270 to the Community Rescue Mission for the Miller Cottages transitional housing project made up of 3 duplexes with 2 and 3 bedrooms that will lease for $350-$500 per month utilities included to help residents build their credit and $28,918 to Fort Smith Childrens Emergency Shelter for a restroom.

Recommendations for the Public Service category of CDBG funds include

  • $17,435 to CSCDC for their dental clinic

  • $17,291 to Next Step for case management

  • $15,435 to Hope Campus for case management

  • $12,238 to Girls Inc. for mentorship and transportation

  • $12,863 to Antioch for Youth and Family for food purchase

  • $12,363 to Boys and Girls Club for summer program assistance

  • $12,005 to Community Rescue Mission for case management

  • $11,863 to Hamilton Center for case management

  • $10,007 to Sebastian Retired Citizens Association for food for the elderly and Meals on Wheels

  • $269,062 to Fort Smith Housing Rehab Assistance

  • $60,000 to Fort Smith Housing Rehab Administration

  • $162,000 to Fort Smith Administration

Recommendations for the HOME grant funding include $345,000 to CSCDC for down payment assistance (due to the current high costs of construction CSCDC is requesting funds for their down payment assistance program this year instead of for construction as in previous years), $69,000 to CSCDC for housing acquisition and rehab, and $46,000 for Fort Smith Administration.

Director Morton expressed support for the current recommendations but requested in the future to see the addresses of where CSCDC has done home construction and repairs in the past.

Director Martin inquired about using some of the funds for blight reduction. Director of Community Development Gabucci said that they are tasked with using the funds for health and safety issues so they focus on things like plumbing, electrical, roofing, and HVAC (rather than visual appearance property issues). Director Martin asked if all the funds for home repairs are typically used. Gabucci said that they are and that “We have a small waiting list.” Director Martin said that he would like to find a way to use the funds for blight.

Director Settle asked about the funding for the rest of the Miller Cottages project. Gabucci said that the project is expected to cost $4 million in total and that they are only allowed to release a certain amount through that category, so while the CDBG funds will only cover a small portion of the money needed Community Rescue Mission is looking for other funding sources. Director Rego said that as a member of the Community Rescue Mission Board, he knows that the CDBG funds are not the only source of funding.

Director Settle expressed dissatisfaction with 3 groups that deal with homelessness receiving funds for case management. While he was willing to support this year’s allocation recommendations, he advocated for next year having an emphasis on “more funding for kids and elderly, less for case management.”

Director Christina Catsavis asked how large the budget and staff for the Community Development Department are. Gabucci answered that there are 4 staff and a $1.2 million to $1.3 million annual budget. The department is 100 percent funded by federal HUD funds and that HUD allows 20 percent of CDBG funds to go to administration. Director Christina Catsavis said that the department is “doing a great job for their manpower and budget.”

Director Morton asked about oversight for the funds. Gabucci answered that they monitor the agencies every year and also that no agency gets a lump sum check. They all send in weekly or monthly invoices for approval. Director Morton asked for clarification that the funds are all federal funds, no City funds. Gabucci confirmed that they are.

Director Good mentioned that the federal funds are for health and safety purposes and all the recipients of the housing repair money must meet particular criteria. He said that there is a “small pot of money” and “a whole lot of needs out there.” While expressing a desire to fight blight, he questioned the availability of funds for blight. He mentioned the number of old homes in the city and said “I really wish we could do more.” He inquired about how much money the City has for addressing visual appearance property issues. Geffken said that they don’t have money for that yet. They are currently planning to use blight funding to purchase properties when they come up for sale at the Court House auctions and rehabbing those for infill instead of them being vacant. The first auction for that is coming up in July.

Director Good said in response to Director Settle’s suggestion about more of the funding being better spent on kids’ programs that there is a method for scoring the requests and that a big part of the criteria is how the organization gets other funding. If an organization gets lots of grants and fundraising elsewhere, they will probably rank lower. Gabucci agreed and mentioned other criteria such as how long an organization has been receiving federal funds, how they have been managing those, and how many people their program serves. Director Settle pointed out that the scoring criteria was established by the City and that the Board could change the scoring criteria. He said that the Board have “spent a lot of time focusing on homelessness” and haven’t seen the change they are hoping for on the issue. He suggested a scoring “revamp” that would “re-prioritize” for next year. Director Martin expressed agreement with that. Director Christina Catsavis asked Gabucci her opinion on a re-prioritization. Gabucci said that blight issues are an element that could be adressed, but that blight project funding has to have an immediate beneficiary. Of the prioritization in general, she said that allocations have to tie in with the department’s 5 year plan that is required by HUD. The current 5 year plan is about to expire so it would be a good time to re-prioritize while they compile a new plan. Director Good called a scoring change “not a bad idea at all” but said that there is “no way” the Board can research all of the applicants like the CDAC does.

Director Martin suggested that a study session meeting be held regarding blight. Director Christina Catsavis expressed a desire to not put the “burden” on blight on the CDAC. She inquired where other funds might come from. Geffken said that the Cleanup and Demolition fund from the Solid Waste Department and the General Fund are options. Director Martin mentioned items in the new needs budget including funding for Neighborhood Services and Animal Control having a blight reduction component.

Director Martin mentioned the need to “hold some landlords to higher standards than they are today.” Director Morton agreed about the landlords. He also suggested that there needs to be a time limit on how long buildings can remain boarded up.

Director Martin asked for an update on the status of the Next Step transitional housing facility. Geffken said that the funding is in place. Gabucci added that Next Step is waiting on some State paperwork but that they have already submitted invoices for architecture fees. Director Morton mentioned that there might be a hold up in relation to a power line on the property. Geffken said that OG&E has agreed to move the line at no cost to Next Step.

Approval for the recommendations for the federal funds was added to a future agenda.

parking meter

The Board discussed the results of the period of offering free parking at the downtown meters from November 24, 2023- March 31, 2024 and the potential for removing the meters permanently.

The Police monitored the meters from March 1 to March 29 and observed 792 vehicles. 701 of those were there for less than an hour (the average of those staying 22.27 minutes). 91 vehicles were there for more than an hour (the average of those staying 2 hours). No complaints were received regarding parking. The Police conclude that the parking meters could be removed with little to no impact on businesses.

Deputy Police Chief Parkinson said that the “department has no preference” in the issue. He suggested that if the meters are removed that a time limit, perhaps 3 hours, could be put on parking downtown. He recommended that if the metering is to be discontinued, rather than pulling up the meters immediately that they be covered (with bags like during the holiday free parking period) for 6 months to allow for the Board changing their mind, phasing the meters out, and crafting ordinances.

Director Christina Catsavis said that 3 hours would not be long enough and mentioned that there are some businesses that patrons frequently are at for more than 3 hours per visit like hair salons. She suggested that feedback about a time limit be solicited from downtown business owners.

Director Morton said that the stats “back up not having these meters monitored by police.” He expressed support for putting the covers on rather than removing them immediately.

Director George Catsavis said “I want the people to feel like they’re welcome down there.” and expressed that meters and parking tickets don’t generate that welcoming feeling. He expressed support for covering up the meters and eventually removing them.

Director Good agreed with the idea of covering them especially to allow for a change of mind. He expressed a desire to have a general discussion soon about downtown parking including where City employees should park and about the parking garage. Director Christina Catsavis added that at a recent CBID meeting it was mentioned that getting rid of the parking garage would hurt businesses.

While Director Settle said of discontinuing metering “I’m OK with that if that’s what the Board wants to do.” , he pointed out that Fayetteville has free parking during the day and charges on nights and weekends on Dickson Street and Little Rock’s Riverfront area charges for parking 24-7. He expressed his hope that getting rid of metered parking spurs on development downtown.

Director George Catsavis asked CBID members Phil White and Bill Hannah their thoughts on the issue. White said “I’m mixed. I think they should go, I think they should stay.” He mentioned knowing that some cars park in a space all day long and that he would hate to see that get out of hand. He said that he would like for property owners and merchants to have a say in the policy. He expressed support for covering the meters for 6 months. Hannah said of the meters “They could be removed and they wouldn’t be noticed.” He expressed optimism that commerce in the neighborhood should pick up and suggested if needed that the parking issue could be addressed better with better technology. He said that the CBID hasn’t discussed the meters yet to make a recommendation, but he personally expressed agreement with the covering for 6 months.

Director Christina Catsavis asked 64.6’s Talicia Richardson her thoughts on the issue. Richardson suggested that zone parking might be implemented in certain areas with high volume during the high volume times and said that an “assessment where that makes sense” needs to take place. She offered that 64.6 could conduct a survey to help collect that data. Director George Catsavis mentioned that the majority of parkers downtown are shoppers and that the employees have designated parking spots. Richardson agreed, but said that sometimes employees opt to park closer than their designated spot and while many business owners and managers discourage their employees from taking up prime customer spots others are “not going to police that.” Richardson also mentioned that on Friday a concert at The Majestic brought in over 800 people and every parking spot downtown was packed, even spots that the public are not allowed to park in.

With 6 months set to end right before the annual holiday free parking period typically begins, the consensus of the Board was to cover the meters with bags and discontinue metering until January. In the meantime, more data and feedback will be collected and considered.

internal audit department logo

The Board discussed the vacant Director of Internal Audit position. At the invitation of Director Morton, Audit Committee Chair Moschner spoke about the importance of the internal audit department. He encouraged the Board to not let recent situations with the auditor (involving the Fort Smith Animal Haven Audit) “jade your judgement” about the need for an internal audit department.

Director Morton expressed support for an internal audit department mentioning instances where audits saved the City “enormous amounts of money” and in the case of the River Valley Sports Complex “astounding things were found.” He said that in many financial matters “our only eyes” are internal audit. He recommended recruiting someone to fill the vacant position.

Director Martin also suggested a nationwide search for candidates to fill the position. He also directed Administration to reach out to the current audit department staff to express support for them.

Director Christina Catsavis called the Internal Department the “Waste, Fraud, and Abuse Department” and called it “necessary”. She said that she “kind of assumed all of us felt the Internal Audit Department was necessary and should be staffed quite quickly.”

Director Settle said that Fort Smith is the only city in Arkansas that has an internal audit department, every other city outsources their audits to private companies. He supported outsourcing saying that it keeps audits from becoming a “political football.”

Director Rego agreed with Directors Morton, Martin, and Christina Catsavis.

Director Good called his dealings with audit department staff “insightful”. He expressed doubt that if audits were outsourced to a private company that that company would be able to spend the personal one on one time with Board members that the internal audit department devotes to them. He said that the Audit Committee also doesn’t have to spend that time. He said that the City needs to “stay the course that we are.”

Director Morton said that having your own internal audit department is more effective and less costly than outsourcing “as long as it is properly staffed, properly supervised.”

Director George Catsavis expressed support for having an internal auditor. He asked Moschner how the Board should react when audits have findings and if the Board should question the findings. Moschner answered that “auditors have to be supervised” and that the Internal Auditor reports directly to the Board. He said that the Audit Committee has no influence on the outcome of the audits. He said of the Fort Smith Animal Haven Audit “We tried.”,“Mistakes were being made.” , and the auditor “didn’t listen to the Audit Committee.” He said that the Audit committee “would be glad to” supervise the Audit Department if the Board would give them the power to do so. He said that “Many of us think we’re wasting our time.”

Director Rego said “There are lessons we have learned.” and it would be “wise to be considerate of everything we have learned or experienced.”

The consensus of the Board was to conduct a nationwide search to recruit candidates for the vacant position.

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Highlights of the Fort Smith Board of Directors Meeting 5/14/24

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Highlights of the Fort Smith Board of Directors Meeting 4/16/24