Fort Smith Board discusses $169.54 million bond package
by December 13, 2011 9:17 pm 89 views
The Fort Smith Board of Directors is moving forward with a March 2012 election to extend an existing 1% sales tax that would pay for more than $107 million in basic infrastructure and quality-of-place projects.
During a Tuesday (Dec. 13) study session, Board members agreed to consider at a regular meeting a March 2012 vote on the following items.
• Fire service improvements: $8.551 million
• Wet weather sanitary sewer improvements: $66.73 million
• Water transmission system improvements: $26.4 million
• Recreation improvements: $4 million for aquatics center at Ben Geren Regional Park; $1.25 million for softball fields at Ben Geren; and $250,000 for a sports complex at Chaffee Crossing.
• Refinancing of existing bonds: $52 million
The total package, including bond issuance costs, would be $169.54 million.
A 1% sales tax now in place funds water and sewer system improvements and would end in early 2014 when existing bonds are paid.
The Fort Smith Board and the Sebastian County Quorum Court recently agreed to a joint plan to provide the quality-of-place amenities. The county is committing $4 million to the aquatics park.
Fort Smith Board members may submit a ballot that stipulate 0.75% for the water improvement projects and 0.25% for the recreation and fire system improvements. However, voters will have the chance to choose which items they support.
“Each unrelated project must be presented separately on the election ballot,” noted Fort Smith City Administrator Ray Gosack in a Board memo. “For example, the fire service improvements and the wet weather sanitary sewer improvements couldn’t be presented as a combined item on the ballot because there’s no relationship between the two projects. The recreation improvements may be combined into one ballot question. Or, the board may present each recreation project as a separate ballot item.”
If voters choose to go against the bond refinance, all of improvement projects would be scrapped. Should voters approve the bond refinance, then the 1% tax used for bond repayment would continue through 2022 and would give the city power to fund all projects.
To schedule a March election, the board has to approve an ordinance setting the election no later than Jan. 13.
The board may approve an ordinance that, if voters approve, would fund the ballfields only after the aquatics center is funded.