Farewell, Tontitown

First Security Bank of Searcy wants its 38-acre foreclosure on U.S. 412 removed from Tontitown and annexed into Springdale. And it wants it bad. So bad, in fact, the bank recently filed a lawsuit in Washington County Circuit Court asking a judge to grant its wish.

First Security, the state’s fourth-largest bank at $4.6 billion in total assets, told the court it’s having a tough time selling the acreage, which includes over 84,000 SF of commercial space along one of the busiest corridors in Northwest Arkansas. A big reason the property, on the market since June 2011, has become such an albatross, according to the suit, is due to an inept Tontitown municipal government.

In the suit, First Security says its assessments of Tontitown are based on “observation and investigation, and by speaking to potential buyers and others in the real estate business… .”

The truth is, everyone knows about Tontitown’s reputation for poisonous politics, and as of late, the people in power there have reinforced that notoriety. But from the outside looking in, it seems as if times have finally changed. The antics in Tontitown aren’t cute anymore. In a region that likes to tout itself as an up-and-coming metro, Tontitown is an embarrassment that can’t be ignored.

Here’s what First Security said in its Dec. 29 lawsuit: “Tontitown City Council meetings often erupt into verbal altercations, profanity, and sometimes even threats of physical violence among participants and is otherwise dysfunctional. While diverse views and spirited discussions are the hallmarks of a progressive democracy, the type of environment which permeates the Tontitown municipal government combined with the instability and unpredictability of the Tontitown municipal government, deter serious buyers with projects from considering developments or projects in Tontitown.”

First Security is being represented by Conway attorney Gary Jiles.

City Disservices

The lawsuit, among other things, also mentions the fiasco-in-progress that is the city’s decision to nix the volunteer firefighters and create a fire department of its own.

The problem is, Tontitown can’t afford it. Aldermen are combing through the budget right now looking for cuts in order to shore up an expected $200,000 shortfall.

All this is taking place as the Arkansas State Police investigates city officials over allegations of wrongdoing — both misdemeanor and felony. To top it all off, the mayor, himself one of the aggrieved volunteer firemen, recently ousted the police chief without cause.

The foundation of First Security’s lawsuit is that Tontitown is either unable or unwilling to furnish adequate city services — public safety and infrastructure — to the 38-acre parcel. And under Arkansas Code 14-40-2002, if Tontitown doesn’t come up with the goods, then First Security can lawfully detach from Tontitown and annex to contiguous Springdale, which has already expressed a strong interest in the property.

According to the suit, Tontitown had 180 days from the bank’s request to begin taking steps to ensure that the bank’s property had what it needed to be viable, and didn’t do it. Thus, the time has come for Tontitown and First Security to part ways, or so the suit says.

The case is assigned to Circuit Judge Beth Storey Bryan. Whispers is sure that when the hearing takes place, Tontitown officials — pious, repentant and well-behaved — will appear in court and ask the judge not to rip their town apart.

But if Judge Bryan rules in First Security’s favor, Tontitown leaders will only have themselves to blame.