Jonesboro city council approves $17.5 million revenue bond proposal for infrastructure improvements

The Jonesboro City Council has approved millions of dollars in capital improvement projects throughout the city. The Council recently approved a $17.5 million revenue bond issue that is part of the Jonesboro Destination 100k initiative.

“This revenue bond gives us the ability to save lives without increasing taxes,” said Mayor Harold Copenhaver. “I’ve said it before and I’ll say it again, we have a moral responsibility to invest in the safety of our community and the families who have chosen Jonesboro as their home.”

About $5.5 million will be distributed for a new E-911 Center. A council task force was appointed by Copenhaver, comprised of the chairs of city council committees, to review and vet the location of the center. The group has narrowed down the list to two possible locations, either to build adjacent to the Jonesboro Police Department on Caraway Road or construct a building on city property on the 400 block of West Washington.

Alderman Chris Moore said he hoped their research and recommendations would be completed within a few weeks.

Other projects in the Capital Investment Plan include expansion of Caraway Road from I-555 to Latourette, as well as adding one and half miles of new side paths to the road to help protect pedestrians from the more than 15,000 vehicles that travel the area daily. Nearly $5.5 million dollars is allocated to this improvement project.

The bond package will also provide $5 million for pedestrian side path projects in high demand areas including Johnson Avenue and Prospect Road, which currently lack pedestrian infrastructure despite heavy activity.

“Some of these projects have been discussed for more than a decade, and I’m glad to see them finally funded. Jonesboro has a lot of needs, and a lot of wants, and we can now turn to the next page of planning and public input sessions as a part of the Destination 100k initiative,” Copenhaver added.

The plan has been in the works since September of 2023. The council passed an authorizing resolution, a key step in the bond process, in September, but requested to delay presentation to the full council due to the upcoming election.

During the last 18 months, city administration and staff held multiple public input sessions at various times and locations to allow the public to provide input and feedback, and the administration continued conversations with the city council to make adjustments and add details to the proposal.

While revenue bonds are a typical funding source for major improvement projects in many cities, Jonesboro has not utilized this method in more than three decades. The bond is funded by pledging non-tax dollar franchise fees already paid to the city, primarily by utility companies who utilize city rights-of-way.

“While common elsewhere, we knew a successful revenue bond effort would require a lot of education and effort. I am thankful for the public who provided their feedback and open ears to learn. I also want to thank the City Council members who chose to participate by providing ideas and opinions to help improve the initiative. Their support and belief in moving Jonesboro forward is key as we build a city to handle the challenges of today and tomorrow,” Copenhaver said.

Due to the specifications of a revenue bond offering, it is typical for cities to pass a bond ordinance at one council meeting with an emergency clause. Crews and Associates Financial Advisor Paul Phillips indicated in comments at last night’s meeting that Jonesboro-backed municipal bonds are highly desirable and have received a Double A rating. Stephens, Inc. offered the bonds for sale yesterday at a rate of 4.96%.

“Investors want to invest in Jonesboro,” said Phillips.