City will ask voters for sales tax extension

Board approves placing the question on a ballot during a May 22 special election.

During its Feb. 20 meeting, the city's board of directors approved asking voters to extend a five-eighths percent sales tax during a special election on May 22.

The sales and use tax would fund the financing of bonds for improvements at the city's water treatment plant. Many components at the water plant are 40 to 60 years old and the $31 million in upgrades also include constructing a new six-mile long water line from the Illinois River.

Frank Johnson noted that bonds will be purchased for the much-needed upgrades regardless of whether voters approve the extension. By extending the sales tax, the city has pointed out how a lot of it would be paid by people who shop in the city, instead of being funded solely by residents. The only other option, Johnson said, is "if it's not passed, rates would go up 50 percent."

Mayor John Mark Turner reiterated how its not a new sales tax, but simply an extension to the current sales tax that has been in place since 2006.

"It was a 20-year tax, but was paid off in 12 years based on the growth of the city," Turner said.

All of the agenda items were approved unanimously. Director Steve Beers was absent, so only six directors were present.

The board approved a five-year extension to an agreement with Cox Communications to share a total of 2,428 poles though out the city. The cost of $12.10 per pole will fetch the city nearly $30,000 per year for the first two years of the agreement that was first reached in 2002.

It also approved a purchase by the Public Works Department's Street Division for a new backhoe. The item was budgeted for $150,000, but the total cost from Scott Equipment came in at $122,215.

A $227,665 contract with the RJN Group was approved for Phase 2 of a sewer collection study. Siloam Springs Public Works director Steve Gorszczyk said Phase 1 consisted of evaluation of 18 pump stations, surveying 300 manholes and building a hydraulic model. Phase 2 will place a flow monitoring system to determine if the city's sewer system can handle its current growth and any future development while identifying areas that may need repairs.

"With the study we wanted to determine if we have the capacity for future growth," Gorszcyk said. "We want to know which ones are the worst ... the 12 flow monitors will be put into strategic areas where multiple lines are flowing together and will tell us what lines need the most improvement."

The board approved the rezoning of two properties. One was for the relocation of the rodeo grounds, which will be addressed at a later date, and the other was at 2300 East Tahlequah Street, which is where Ability Tree Inc., plans to build a new facility.

There also was the first reading of an amendment to municipal code that will both increase and simplify electric inspection fees. City electric director Phil Stokes said "there were all kinds of variables that was complicated" for both contractors and for city staff. The new fees are "real comparable" to other cities in the I-49 corridor and will generate an additional $4,000 for the city, Stokes said.

Billy Deatherage with Ambassador Transportation Services asked the board of directors to establish rates for taxi services in Siloam Springs. The city hasn't had a privately owned taxi service since 2013. Because there was no license with the city, Deatherage said he could bring people to Siloam Springs, but was not allowed to pick them up here.

"As far as I know, there is not another taxi service here, so I'm just trying to help the city," Deatherage said.

Deatherage anticipated that most of his pick ups will be at Cherokee Casino, the hospital and "some of the bars." He also said 90 percent of his business is taking people to and from Northwest Arkansas Regional Airport. The board approved the resolution with Mayor Turner adding, "Welcome to Siloam."

General News on 02/24/2018