Fort Smith Board approves climate grant funds; sets hearing date for sewer rate increases

The Fort Smith Board of Directors in a narrow vote again approved Tuesday (Jan. 7) participation in a $14.5 million federal Climate Pollution Reduction Grant (CPRG) program to provide funds for greenway improvements, electric vehicle charging stations, and solar panel installation.

On Dec. 17, the board approved moving forward in the process to accept a $14.5 million grant that is part of the federal Climate Pollution Reduction Grant (CPRG) program. The program, administered by the U.S. Environmental Protection Agency (EPA), provides nearly $5 billion in grants to states, local governments, tribes, and territories to develop and implement plans to reduce greenhouse gas emissions and other harmful air pollution.

In July 2024, the EPA announced a total award of $99,999,999 to the Tri-Region Arkansas Coalition (Central Arkansas, Fort Smith, Northwest Arkansas), of which $14.5 million was allocated specifically to the City of Fort Smith. The other partners are the Northwest Arkansas Planning Commission, and Metroplan in central Arkansas.

Part of the plan includes work on nearly three miles of alleywork networks on the north side of the city that will become paved greenways connecting the northside of town to grocery stores, Northside High School, places around Grand Avenue and more. Three alleyways – North E Street to North O Street, North 16th Street to Belle Avenue, and North C Street to Tilles Avenue – are included in the plan with a total estimated cost of $5.1 million. The alleyways will be a shared use facility but more like a trail or greenway. The solar panels will provide low-cost electricity for low-income households in certain parts of the city.

“Of the total award, the City will directly receive $11.25 million to implement three key initiatives: Urban Greenway Rehabilitation, Public EV Charging Infrastructure, and Solar Energy Installations. Additionally, the funding will support a dedicated staff position for the next five years to ensure effective project oversight and execution,” noted a memo from city staff on Tuesday’s board vote.

City Director Kevin Settle was critical of how Fort Smith chose to use the funds, saying other cities are using the grant for land preservation and conservation, replacing street lights with LED lights and other measures he said would have better served Fort Smith. Director Christina Catsavis said if the board rejects the grant, then “our money is going to other cities” for projects that will allow them to better compete against the city for economic development. City Director Lee Kemp said it would show “goodwill” to accept the grant which would open the door to new grants for other ideas.

Directors George Catsavis, Neal Martin and Settle voted against further participation in the CPRG program. Directors Christina Catsavis, André Good, Kemp and Jarred Rego voted to continue with the program.

OTHER BOARD ACTION
• The board approved the $4 million acquisition of the building at 623 Garrison Ave., which now house city offices. The funds will come from the city’s unobligated year-end balance, which City Finance Director Andy Richards said is around $25 million. He said a fund balance at the end of 2025 will be around $18 million. Richards said the city will save around $350,000 a year in rent, but will have maintenance costs.

• The board approved a resolution to waive downtown parking meter fees to Aug. 1. The fees were waived between May 8, 2024 and Jan. 3, 2025, and the resolution approved Tuesday extends the non-collection of fees.

• The board set a Feb. 4 public hearing to outline proposed 3.5% annual increases in the city’s sewer rates. The increase is tied to the city’s work to comply with a federal consent decree requiring sewer system improvements.

“The first increase associated with the proposed sewer rate ordinance will be on June 1, 2025, and the last one will be on January 1, 2030. This holds to what was approved by the voters in 2022,” noted a city memo about the proposed rate increase.