Year in Review: The top 10 Northwest Arkansas stories of 2024

A $700 million investment in health care, a 2,700-acre land sale, and a new CEO, basketball coach and mayor comprise some of the top Northwest Arkansas business stories of 2024.

Talk Business & Politics and the Northwest Arkansas Business Journal compiled a list of the news stories that have impacted the Northwest Arkansas business community – and are likely to continue to have a significant impact. New to the list this year are the honorable mentions that didn’t make the top 10 but were still notable.

No. 1: $700 million health care investment
In September, Alice L. Walton Foundation, Mercy and Heartland Whole Health Institute reached a 30-year agreement and will invest $700 million to expand access to health care, reduce costs and improve health outcomes in the central United States. The collaboration also includes Cleveland Clinic, which will contribute its cardiovascular knowledge to the effort.

The initial investment will include a new cardiovascular facility, outpatient center, and additional physicians for Northwest Arkansas. Mercy will invest $350 million to build a new cardiac care center of excellence on its Rogers campus and provide resources for additional physician recruitment. The new center will be co-branded by Mercy and Cleveland Clinic.

The Alice L. Walton Foundation will provide $350 million in part to develop an outpatient center of excellence for specialty care, including new cardiac services and virtual care in Bentonville, and to attract, train, and retain physicians for the region.

According to a spokeswoman for the Alice L. Walton Foundation and a spokesman for Mercy, plans for the new centers in Rogers and Bentonville are in the early stages. Details on the centers will be released when they become available. After the initial investments, the organizations will look at additional opportunities to expand care in the region.

“We believe that everyone deserves quality whole health care closer to home,” philanthropist Alice Walton, founder of Heartland Whole Health Institute and Alice L. Walton School of Medicine, said in September. “This powerful collaboration with Mercy and Cleveland Clinic will change the health care landscape in the heartland, bringing together organizations that are dedicated to increasing quality, reducing costs and making accessible, value-based care a reality.”

No. 2: Walton Group buys 2,700 acres
In May, Bentonville developer Blue Crane announced the purchase of about 2,700 acres of undeveloped land from Cooper Communities Inc. of Rogers. The land is located in and around Bella Vista in Benton County, most of it on the city’s west side. Financial terms were not disclosed.

Blue Crane is the real estate acquisition and development arm of Runway Group, a diversified holding company that invests in real estate, outdoor initiatives, hospitality and businesses. It’s also based in Bentonville and led by Steuart Walton and Tom Walton. They are the grandsons of Walmart founder Sam Walton and the sons of Arvest Bank Group Inc. chairman and CEO Jim Walton.

Tom Walton, CEO of Runway Group, acknowledged the land sale’s impact and committed to involving the community in future developments. Following the announcement, Blue Crane hosted a public meeting about the deal and development plans.

“We believe deeply in Bella Vista’s tradition of connecting people to nature through cycling, golf and outdoor recreation, and we are confident our investments will reflect that,” Tom Walton said in May.

Blue Crane has established website bluecrane.us/bellavista to provide information and answer questions regarding the acquisition. Development plans for the land have yet to be released.

No. 3: $310 million in highway projects underway
In April, Arkansas Department of Transportation (ArDOT) officials and area leaders gathered to break ground on nearly $310 million of highway projects in Northwest Arkansas. The projects included phase two of the Springdale Northern Bypass and a connector road from the bypass to Northwest Arkansas National Airport (XNA).

Phase two of the bypass is expected to be completed in summer 2026, while the connector road is planned to be completed in summer 2027. Columbia, Mo.-based Emery Sapp & Sons Inc. is the contractor for the $180.78 million bypass project. The 7-mile project will extend Highway 612 west from Highway 112 to U.S. Highway 412 in western Tontitown. The interstate-style, four-lane highway will include 16 bridges and three interchanges, including one for the XNA connector.

Columbus, Kan.-based Crossland Construction Co. is the contractor for the $127.67 million connector road project. The nearly 4-mile project will connect Highway 612 to Highway 264 at XNA’s south entrance. The interstate-style, four-lane highway will include an interchange at Highway 264 and 11 bridges.

“Both of these projects represent a total cost of $410 million,” ArDOT Director Lorie Tudor said in April. “Of that is right-of-way, design and construction. Construction is $310 million, so that just gives you an idea of how much it costs to get a project ready to break ground on.”

No. 4: Hunt Family gives $100 million for UA scholarship
In mid-November and with the help of a $100 million gift from the J.B. Hunt Foundation, the University of Arkansas announced the creation of its Land of Opportunity Scholarship for Pell grant-eligible and other low-income Arkansas students.

Siblings Jane and Bryan Hunt, both University of Arkansas graduates and the children of trucking magnates J.B. Hunt and Johnelle Hunt, announced the awarding of the gift on behalf of the family with Johnelle Hunt in the audience. The late J.B. Hunt quit school in the seventh grade to support his family.

Chancellor Charles Robinson announced the gift and the scholarship on Nov. 12, along with an overall goal of $200 million during the public phase of the three-year Land of Opportunity Scholarship Campaign. Counting other donations, the fund now has $122.03 million pledged.

The scholarship will serve only Arkansas residents and will not provide students with a set amount. Instead, it will assess each student’s individual financial needs along with what other scholarships they have already been awarded, Robinson said. Students eligible for federal Pell grants and those with incomes just above that income level will qualify.

No. 5: Low medical reimbursement rates
Arkansas has some of the lowest Medicaid and Medicare reimbursement rates in the country, and the issue has been identified as an impediment to growing the state’s health care sector. The state’s reimbursement rate from insurers is 31% less than the national average, according to a new report from the Northwest Arkansas Council.

Better reimbursement rates will help with physician recruitment and retention and encourage more younger people to enter health care professions – key focus areas for regional leaders aiming to position Northwest Arkansas as a medical destination for health care.

A Northwest Arkansas hospital would receive $5,725 less per patient for the same medical procedure done in Oklahoma City. At $8,842.50, the Arkansas average patient reimbursement rate is $8,504 less than in Texas, $3,146 less than in Louisiana, $3,675 less than in Mississippi, $2,925 less than in Missouri, and $4,839 less than in Tennessee.

Without changes to increase reimbursement rates for Medicaid, Medicare and private health insurance, business and community leaders fear it will be nearly impossible for the region to complete its health care transformation goals. Those goals include expanding health care access, adding more doctors and specialty clinics, and advancing more grant funding into medical research.

No. 6: Shelley Simpson named CEO of J.B. Hunt
President Shelley Simpson added CEO to her title at Lowell-based J.B. Hunt Transport Services Inc. on July 1, succeeding former CEO John Roberts.

Roberts, who had served as CEO since Jan. 1, 2011, transitioned to executive chairman of the company’s board of directors when chairman Kirk Thompson retired at the end of the April annual shareholders’ meeting. Shareholders appointed Simpson to the board in April.

Simpson was promoted to president of J.B. Hunt in 2022. She joined the company in 1994 and has been an executive for over 16 years, becoming chief commercial officer and president of highway services in 2017 and executive vice president of people and human resources in 2020. She was named president of the company’s brokerage segment in 2007. She added the roles of chief marketing officer in 2011 and president of the truckload segment in 2014.

On July 1, Simpson’s base salary rose to $900,000, while Robert’s fell to $826,400, according to a filing with the U.S. Securities and Exchange Commission. Simpson also received 9,634 company shares and shares valued at $5 million. Simpson and Roberts also remain eligible to receive annual bonuses.

No. 7: Rob Walton steps down from Walmart board
Rob Walton, the oldest son of Walmart founders Helen and Sam Walton, has been a fixture on Walmart’s board of directors for more than four decades, but he stepped down this year, leaving no first-generation Walton heirs on the retail giant’s board.

Walton, 80, joined Bentonville-based Walmart Stores in 1969 and worked as the company’s corporate secretary and general counsel after working as a private attorney. Walton also served as board vice chairman and chairman during his tenure. He was involved in the process of taking Walmart public in 1970.

He began his career working with his dad in the 5&10 store in downtown Bentonville and carrying boxes at his dad’s Ben Franklin franchise stores long before he attended college at the University of Arkansas and law school at Columbia. Rob Walton encouraged Sam to expand the company internationally. With the opening of Sam’s Club in Mexico City, Walmart took the first step toward becoming a global retailer.

Walton is an owner of the Denver Broncos, which he and a group of partners purchased for $4.65 billion in June 2022.

No. 8: Fayetteville mayoral race outcome: Rawn defeats Jordan
With 51% of the vote, Molly Rawn defeated Fayetteville Mayor Lioneld Jordan in a Dec. 3 runoff, according to official results. Rawn will start her term in January. The results show Rawn received 5,421 votes (51.17%), while Jordan received 5,174 votes (48.83%).

Rawn said she wasn’t surprised by the results after being down by 10 points in the general election. She said it was “affirming.”

“Voters are ready for change,” she said. “They are ready for a new vision.”

Her top goals for her first term include continuing to discuss housing and how to make it more accessible and improving partnerships, such as those with the University of Arkansas and nonprofits.

Jordan faced Rawn in the runoff after not receiving enough votes to win in the Nov. 5 general election. The race initially included four candidates. Of the total Nov. 5 vote, Jordan received 46.93% (16,649 votes), Rawn received 36.91% (13,095 votes), Tom Terminella received 12.39% (4,394 votes) and Adam Fire Cat received 3.78% (1,340 votes), official results show.

Rawn, a native Arkansan, has lived in Fayetteville since 2005. Since August 2016, she has served as CEO of Experience Fayetteville, the destination marketing organization for Fayetteville.

Jordan has been the mayor of Fayetteville since 2009 and is serving his fourth term. Mayoral terms are for four years.

No. 9: May 26 tornadoes destroy Benton County businesses, homes
In the early morning of May 26, storms and tornadoes devastated Northwest Arkansas, severely impacting hundreds of families, homes and businesses. The Walnut Street (U.S. Highway 71 Business) corridor in Rogers was particularly hard hit.

According to the National Weather Service, Arkansas had 17 tornadoes on May 26, the most in a day since April 25, 2011, when there were 18 tornadoes. There were 10 fatalities, the most since April 27, 2014, when there were 16 deaths. The EF3-rated tornado west of Decatur had a path width of 3,200 yards, a state record since 1950.

Area government, business, and philanthropic organizations launched the Benton County Relief Fund to provide short-term financial assistance to Benton County households impacted by the tornadoes. The fund connected with over 1,500 people, financially helped over 900 families and 30 nonprofit organizations and distributed more than $2 million to those affected by the tornadoes. The fund received contributions from multiple organizations, including Rogers-based Excellerate Foundation, Walton Family Foundation, and Arkansas Blue Cross and Blue Shield.

In July, the head of the U.S. Small Business Administration met with about 10 business owners affected by the storms. Administrator Isabel Casillas Guzman was joined by U.S. Rep. Steve Womack, R-Rogers. During her Northwest Arkansas visit, Guzman, Womack and area leaders learned how the storms impacted business owners.

No. 10: John Calipari hired to coach Razorback basketball
Hall of Fame coach John Calipari, who led six teams to the Final Four, was named in April as the 14th Arkansas Razorback head men’s basketball coach, succeeding Eric Musselman, who took a job at USC.

Calipari signed a five-year contract to lead the Razorbacks with a salary beginning at $7 million per season. The contract runs through April 30, 2029, with a maximum of two automatic rollover years for NCAA Tournament appearances that would extend the contract to 2031. The deal included a $1 million signing bonus and featured retention bonuses of $500,000 each year of the contract along with pay increases that would be awarded for making the NCAA Tournament, reaching the second round, Sweet 16, Final Four and winning a national championship.

Calipari is the winningest active coach in men’s college basketball. He coached 15 seasons at Kentucky (2009-24), nine seasons at Memphis (2000-09), and eight seasons at UMass (1988-96). Calipari also coached in the NBA for the New Jersey Nets for three seasons (1996-99).

HONORABLE MENTIONS
• Xtremis to open high-tech lab in Washington County
In April, technology startup Xtremis, in collaboration with the University of Arkansas, announced plans to open a first-of-its-kind innovation campus for the rapid advancement of electromagnetic spectrum technologies.

The Devil’s Den Proving Ground in southern Washington County will transform the site of a former nuclear test reactor into an open-air laboratory to develop technologies to improve the performance and resilience of wireless devices and communications. Project supporters include the U.S. Army Pathfinder program, Civil Military Innovation Institute and the Startup Recruiting Fund at Little Rock-based Winrock International.

In November, Xtremis received U.S. Army contracts valued at more than $80 million to implement Xtremis’ artificial intelligence algorithms to improve troops’ situational awareness and management of the electromagnetic spectrum.

Xtremis was spun out of Vanderbilt University in 2021 to commercialize technology from the university via a Defense Advanced Research Projects Agency (DARPA) challenge program related to spectrum technologies.

• New hotels to open in Northwest Arkansas
Multiple hotels in Northwest Arkansas are in various construction and development stages or have been completed this year.

A more than $72 million Autograph Collection Hotel by Marriott is under construction. The 125-room Hotel Vin Pinnacle Hills along Northgate Road will be built across from the $110 million mixed-used project The Plaza at Pinnacle Hills.

A dual-branded Hilton hotel with up to 230 rooms will be built at the northwest corner of Dickson Street and West Avenue in Fayetteville. The two brands are Motto and Tempo. Over the summer, Greenville, S.C.-based Windsor Aughtry Group opened a six-story, 175-room Motto by Hilton at 229 S. Main St. in Bentonville across from Ledger.

• 20 years of Arvest’s Skyline Report helps bankers, developers
The Arvest Bank Skyline Report celebrated its 20th year of providing in-depth and quality data on the state of commercial, multifamily and residential real estate in Northwest Arkansas.

The Center for Business and Economic Research at the Sam M. Walton School of Business has released 152 Skyline Reports with more than 12,000 pages of insightful data since 2004. The Arvest Skyline Report is a biannual analysis of the latest commercial, single-family residential and multifamily residential property markets in Benton and Washington counties. The report is sponsored by Arvest Bank and conducted by CBER.

In 2004, Arvest Bank contracted with CBER to collect information about the local real estate markets. CBER researchers aggregated and analyzed data from local governments, property managers, visual inspections and the business media to provide a complete picture of the status of property markets in the two counties.

• XNA enplanement growth continues to break records
Northwest Arkansas National Airport (XNA) in Highfill exceeded 1 million enplanements for the first time in one year and 100,000 enplanements in a single month. Through November, enplanements increased by 14.6% to 1.04 million from 912,379 in the same period in 2023. Enplanements for 2023 were 991,489, the highest annual amount before 2024. December 2024 enplanements will be posted in January.

In June, enplanements hit 108,777, the first month to exceed 100,000. Following are the other three months in 2024 that enplanements were greater than 100,000: July, 108,822; September, 101,840; and October, 110,456.

Also, September marked the first month XNA exceeded enplanements at Clinton National Airport in Little Rock, according to XNA officials. Enplanements at XNA, the state’s second-largest commercial airport, jumped by 20.06% to 101,840 in September from 84,824 in the same month in 2023. Enplanements at Clinton National, the state’s largest commercial airport, rose by 1.19% to 97,820 from 96,673.

• Rogers-based KURM Radio signs off after 45 years
KURM Radio (790-AM, 100.3 FM) in Rogers ceased operations on July 1, marking the end of nearly 45 years of broadcasting. The decision came in the wake of health issues faced by the station’s owner, Kermit Womack.

Established on Nov. 9, 1979, KURM has been a regional staple known for covering local events across a three-state area. Womack, 89, expressed his regret over the closure, noting the challenges of maintaining the station’s unique radio style amid personal health struggles. He was a broadcaster with more than 70 years of experience and was known by station listeners as “The Colonel.” Womack’s career began after graduating from Arkansas Tech University in 1956. It included stints at stations in Russellville, Lexington, Mo., and Moberly, Mo., before founding KURM in Rogers.

U.S. Rep. Steve Womack, R-Rogers, who is Kermit’s son, played a role in launching KURM and managed the station for 11 years before leaving the business to join the Army ROTC program at the University of Arkansas and later becoming Rogers mayor.