Roundtable raises issues with business development ‘road blocks’

A gathering of small business owners turned into a recitation of frustrations about working with the city of Fort Smith to expand operations, especially if it involves a building renovation. A city official said they seek to be “open minded, and respectful” while keeping a focus on safety.

Fort Smith Director Christina Catsavis on Thursday (March 5) held what she called a small business roundtable discussion. Catsavis, a Fort Smith mayoral candidate, said the roundtable is the first of many she will conduct prior on various topics to the Nov. 3 election.

The roundtable, held at the Fort Smith Public Library, was attended by nine small business owners. Catsavis said her plan, if elected, will be to hire a small business liaison instead of an office assistant. She said small businesses are “a bellwether of the local economy,” and their insight needs more attention.

“Small business needs a seat at the table,” she said. “We need to know your value.”

While the business owners broadly expressed optimism about the Fort Smith economy, the almost 2-hour discussion focused on difficulties working with the city to move into, expand, or renovate a building.

Lux Haus owner Sarah Ligon, who moved out of a downtown Fort Smith location to a store at Chaffee Crossing, said working with the city can sometimes be “a nightmare,” and requirements to renovate a downtown Fort Smith building can be “a barrier to entry.” She said the process can “take the sparkle out of your dream.”

Desirae Mastropaola, a co-owner of Harvest Moon Bakery, said her business is considering renovating a building at 505 Rogers Ave. in downtown Fort Smith. She said early discussions with city officials could jeopardize the plan or result in the store opening being delayed several years.

“They tell you to bring us your plans, first. Then, thousands of dollars later, you’re told, ‘That doesn’t work,’” she said. “As the business owner, you have road block after road block. … This building was our vision. We love the historic building, we love the downtown, and we love what it’s trying to be down there.”

Harvest Moon co-owner Aaron Mastropaola said problems they face include being told that a fire suppression system needing a few fixes instead needs to be replaced, which would cost the business $100,000 or more. He said the city needs to seek flexibility between system recommendations and system requirements.

“I understand a balance with safety, but we’re looking for inventive solutions to get us there instead of roadblocks,” he said. “Safety is important, and we’re not trying to skirt the rules, but also, momentum is important. We as small businesses are doers, and we want to get things done and not run into this.”

Deputy Fort Smith Administrator Maggie Rice said such complaints “hurt her heart” because they have in recent years worked to be more flexible and focused on improving the process while ensuring properties are safe. Rice provided the following statement to Talk Business & Politics.

“The city wants to ensure any building being used can do so safely and in compliance with adopted building codes, city ordinances, and life safety requirements. To assist in this process, city staff encourage and regularly meet onsite to conduct walkthroughs of the structure. During this walkthrough, staff provide general guidance regarding code considerations and areas that may need attention. This collaborative, free review is intended to help identify issues early and provide direction moving forward. City staff are committed to being accessible, open-minded, and respectful when meeting with business owners, developers and citizens. While we want to be as accommodating as we can, we must also ensure that all applicable codes, ordinances, and life safety standards are met for the protection of occupants and the community.”

Amanda Hager, executive director of Main Street Fort Smith, said recently that business development momentum is growing in the downtown area, with $15 million in private downtown investment in 2025 and 19 new businesses opened.

“I think that (investment and new businesses) shows the community that downtown is a vital piece of the city … and that downtown is a vital part of attracting investors and others that see the benefits,” she said.