City engineers say Fort Smith water system often operates in ‘crisis mode’

Editor’s note: This is the first story in a series addressing identified Fort Smith water system replacement and repair needs with cost estimates that approach $600 million.

Attention in recent months has been on Parrot Island Waterpark water slides, but the system that supplies water to the park and tens of thousands in the region often operates in crisis mode and needs significant and expensive repairs, city engineers say.

The Fort Smith Board of Directors during a Feb. 10 study session heard numerous warnings – which they’ve heard several times in recent years – about the water system from Todd Mittge, director of engineering with the city of Fort Smith, Lance McAvoy, the city’s director of utilities, Matt Meeker, director of public works for the city, and Jimmie Johnson, deputy director of engineering.

While there are many, complex and expensive system needs, priority needs include upgrades at the Lake Fort Smith water treatment plant in Mountainburg, Lee Creek water treatment plant upgrades, completion of a new water transmission line from Lake Fort Smith to the eastern side of Fort Smith, aging distribution lines in the city, and modern water meters for all customer categories.

Johnson told the board it’s not a matter of if lines fail, it’s a matter of when. He told the board that in the past five years the water system has had five major crises.

“I would like to be able to operate in a non-crisis mode,” Johnson told the board. “There are some items we can kick down the road. … I know this is a big ask, but we do operate in crisis mode very often, and if we have a drought this summer, more than likely we will have to go beyond water conservation, we will have to go to water rationing to cut the water use.”

BIG MONEY
It is a big ask.

Water-treatment plans, and completion of a 48-inch water transmission line are estimated to cost between $328 million and $585 million, according to an August 2025 report to the board. That cost estimate does not include replacing aging water lines and modernization of water meters.

It’s a big ask but it’s not a new ask. City officials, often using information from third-party engineering studies, have for years been warned about system needs, weaknesses and associated costs. Van Buren-based Hawkins-Weir Engineers provided the city a 92-page report in December 2022 that outlines work needed to ensure the city’s water system can meet future obligations.

REVENUE OPTIONS
It’s also a big ask following voter approval of a sales tax plan to address requirements of a federal consent decree. After decades of failing to maintain the sewer system, the U.S. Environmental Protection Agency and the U.S. Department of Justice filed a consent decree in 2014 with the city of Fort Smith that required sewer system improvements.

The city spent more than $200 million on consent decree work between 2014 and 2024. To fund more required work, Fort Smith voters on May 13, 2025, approved by a wide margin a sales tax reallocation plan to provide $360 million over 30 years. The plan involved reallocation of a 0.75% sales tax first approved by voters in 2022 to pay for consent decree work, renewal of the 1% street tax but reallocating 0.625% for streets, bridges and drainage work, with the remainder of the tax to fund consent decree work and bonds.

The tax package recently approved by voters narrows options in the city’s ability to find revenue for bond-financed water system work. Revenue options include seeking another sales tax, raising water rates, and implementing impact fees.

METER IMPACT
One result of operating with an aging system is that the city can’t account for 36% of water in the system, with failing meters, leaks, and hydrant flushing part of the reason for water loss, according to McAvoy. He said the water loss is a symptom of bigger problems.

“To Jimmie’s point, we are one catastrophe away from being the next West Helena or Jackson, Mississippi,” McAvoy said during the Feb. 10 study session. “The fact that since 2018 we have dodged bullets is a credit to the staff of Fort Smith, and it’s a combined staff, from Jimmy and the engineers that I’ve worked with there, the plant operators, and others. I don’t mean to sound doom-and-gloom, but I want to be factual with all of you. When you lose a 36-inch line, and the very same day that you lose a 36-inch line, the only plant that you have left that can produce at full bore goes down because of a storm, and you can’t get it back up and running really quick … you’re looking at a system-wide boil-order notice.”

McAvoy said water treatment plant work and transmission lines are critical, but a systemwide replacement of water meters “could have a big impact” in terms of helping the city avoid shortages during periods of high demand. A June 2025 Hawkins-Weir Engineers report forecasts potential water capacity issues.

“Projecting daily demands out five (5) years using the 1.5% annual growth factor, the number of days when water demand exceeds 45 MGD could increase to 64 days by 2030 without further treatment and transmission improvements,” the report noted.

At least 40,000 new meters are needed, according to McAvoy and Meeker. Meeker, who told the board that old meters are a “weak point in our system,” said the city’s public works employees can replace about 10,000 meters a year, but it would cost at least $2.6 million annually. And while he said the city can save money by replacing meters in-house, he said the city would not see an immediate recovery of costs through more revenue.

The board in August 2025 rejected a plan put forth by city staff to begin the process of replacing water meters in the city. The estimated cost for that project ranged between $20 million and $48 million.

‘REALISTIC’ PLAN NEEDED
A capital improvement plan (CIP) previously provided the board is a non-starter, according to several city directors, especially with Director Jarred Rego.

The initial CIP proposed $53.771 million in 2026. Of that, $25.519 million was for water line transmission construction and maintenance, and $18.701 million in utility relocation projects for state highway work. The CIP projections show $380.864 million in unfunded needs to 2035, with deficit budgets beginning at the end of 2026. Again, the city may have limited options to find revenue for the work.

Rego said the board needs to see “realistic” options rather than an unfunded plan that doesn’t identify priority needs.

“There needs to be things that chunk this down into more manageable and understandable components,” Rego said during the study session. “You can’t say we’re setting aside $2.4 million to spend this year and next year we should set aside $53.7 million to spend. What does that delta represent? Is there $51 million more of urgency next year versus this year, and if so, that needs to be explained a little better. We just need to begin the process of breaking this down into manageable approaches. Because even if you emptied out all, broke all the rules, and emptied out all of our fund balances across the four buckets to the tune of $65-plus million, that wouldn’t even get you to the end of the decade on this unfunded plan that is in front of us.”

Rego expressed doubts that reducing water losses through new meters will not be enough to address system weaknesses that could prove catastrophic. He encouraged the city engineers to “find ways to eat the elephant” with a more priority-based approach.

Director Christina Catsavis agreed with Rego that a more realistic plan is needed, but said water meters that reduce water loss could buy the city a little more time with respect to the capacity issue.

There was no date set at the Feb. 10 study session for board review or action of proposals from city staff to address water system issues.