CBID Commissioners eager to support development incentive bill

Discussion of proposed legislation to incentivize development in downtown Fort Smith garnered much discussion at Thursday’s (Jan. 15) meeting of the Central Business Improvement District Commission.

Rep. Tracy Pennartz, D-Fort Smith, has filed proposed legislation — HB 1060 — that would establish an investment tax credit for renovation and development in Fort Smith’s Central Business Improvement District. The investment tax credit would be equal to 20% of up to the first $2 million of qualified rehabilitation or development expenditures incurred for a qualified project. (Link here for more details on the proposed bill.)

“This is the biggest economic development tool” that has ever been made available to the district, said Commissioner Phil White.

White said if the bill becomes law, the district should use the tax credit “to sell people on investing down here.”

Sam M. Sicard, a vice president at First National Bank of Fort Smith and a proposed candidate for placement on the commission, said he knows of two developers who would benefit from passage of HB 1060.

“I would suggest we do get involved lobbying and gathering support” on behalf of the bill, Sicard said. He also said the CBID should seek support from other Arkansas communities that could potentially benefit from the tax credit.

Sicard said later the two developments are primarily residential with some mixed-use for commercial development.

Jayne Hughes, downtown development director for the City of Fort Smith, said City Administrator Dennis Kelly is in Little Rock to lobby members of the 87th General Assembly to support HB 1060 and other legislation.

Pennartz’s bill has been moved to the House Revenue & Taxation Committee. State Rep. Frank Glidewell, R-Barling, is the committee’s vice chair. Also, Reps. Rick Green, R-Van Buren, and Beverly Pyle, R-Cedarville, serve on the Revenue & Taxation Committee.

DESIGN GUIDELINES
The commissioners also briefly discussed their ideas in establishing new design guidelines for the expanded business improvement district. The commissioners noted that the district has four basic attributes: historic properties, “non-contributing” historic properties, new construction areas and the riverfront. Non-contributing relates to buildings that might be old, but are not considered important historic structures.

“All those categories need to flow in harmony” in terms of design rules related to function and appearance, White said.

Commission Vice-Chairman Richard Griffin said the challenge will be to create guidelines that work for the different areas of the district while balancing the wishes of developers and existing property owners.

Further discussion of design guidelines is scheduled for the commission’s Feb. 19 meeting.

BASS REEVES
The commission has been asked to write a letter of support for the effort to construct a Bass Reeves statute in Pendergraft Park in downtown Fort Smith. Peggy Weidman, representing the effort to fund and build the statute, told commissioners the group has raised about $50,000 toward its goal of $300,000.

Reeves is considered the first African-American to be commissioned a deputy marshal west of the Mississippi River. Reeves was commissioned during the time U.S. Federal Judge Isaac Parker beefed up the Marshal’s service in an effort to restore order to the Indian Territory. Reeves retired from federal service in 1907.

Commissioners approved sending a letter of support.