Fort Smith · issues
Civic issues
Topics getting the most attention in Fort Smith public meetings, ranked by how frequently they come up.
Parrot Island Waterpark financial review and future management
The city was asked to cover $144,000 of the park's year-end operating shortfall amid an ongoing fraud investigation and unpaid invoices. The board tabled the appropriation to December, and several directors questioned whether the city should stay in the water park business at all.
Ten-year capital plans for streets, water and wastewater
The board adopted seven department capital plans covering water, streets and sidewalks, parks, solid waste, transit, police and fire for 2027 and beyond. One director opposed the parks plan, and residents urged restraint given water and sewer obligations.
Parrot Island Waterpark financial reporting oversight
The board was scheduled to hire Forvis Mazars to audit the city-owned waterpark's finances.
Transparency dashboard for CIP projects
A resident proposed a plain-language, ward-by-ward online dashboard showing where CIP money goes — saying the city already owns the mapping software and it would rebuild public trust before any future tax ask.
Prepaid Wireless 911 Fee Shortfall
Directors Kemp and Settle asked for an update on the project to consolidate the city's 911 dispatch into a single NG911 answering point. The update was placed on this study session agenda at the March 3 regular meeting.
Auto and property insurance renewal
The board renewed its self-funded employee health coverage and a $84,544.72 cyber liability policy, the latter notable while the city recovers from a recent cyberattack.
2027 Proposed Operating Budget
A balanced budget was distributed covering all four operating funds, with emphasis on employee pay and keeping current service levels; real scrutiny comes November 13.
Potential revenue enhancement options
Staff floated doubling the alcohol tax from 5% to 10% to fund the full firefighter raise, but not a single director supported it — restaurants and bars would have borne the cost.
2026 Property Tax Millage
The board renewed the annual property tax rates — the same rates as always: 5 mills general, 1 mill each for the library, police and fire pensions. These are at the state maximum, so no change to your property tax bill.
2025 Compensation and Classification Study
Dan Williams told the board the city's turnover rate is 21% against an 18% goal, arguing that every departure wastes tax dollars and slows services. He called for career paths, better tools, and a culture where employees feel safe speaking up.
Non-Uniformed Employee Salary Study
The city's consultant found non-uniformed employees lag the market by about 2% on median — better than 2023 but still behind most peer cities — and recommended 2-4% pay range adjustments for the 2027 budget.
CBID Commissioner Vacancy
After Lee Ann Vick resigned, the commission wants the city to shrink the board back to seven members, which drops the quorum from five to four and avoids tie votes. The ordinance could be on the city Board's April 7 agenda.
2025 Department Reports and Top Ten Goals
The police chief's yearly report gives residents a snapshot of department activity, staffing, and crime trends for 2025.
Purchasing card and travel policy gaps
City policies on purchasing cards and travel contradict each other across the ordinance, employee handbook, and standalone policies — and the audit recommends a single consistent policy, training, and a rethink of whether P-cards are even the right tool.
Franchise fee collection audit
Internal audit is chasing down cable, telecom and utility franchisees to verify the city is getting every franchise fee dollar it's owed — a first for Fort Smith. They've contacted six of seven sampled entities and suspect annexed areas may be slipping through.
2027 Departmental Service Objectives
Resident Casey Millspaugh found mislabeled years throughout the department KPI report — 2026 data shown as 2023, 2024, or 2025 — and asked who validates the data before it reaches the board. The board asked staff to fix the errors before budget review.
Oversight of City-Funded Outside Entities
The committee wants financial reports from groups the city helps fund — Parrot Island, the Convention Center, and FSAH — routed to Internal Audit so someone with financial expertise reviews them consistently and nothing falls through the cracks.
2027 Strategic Priorities
City leaders brainstormed what Fort Smith should focus on in 2027 — homelessness, water project funding, airport expansion, healthcare, and competing with Northwest Arkansas for jobs. No final list was chosen; staff will bring back a refined set of measurable goals.
Annual Reports and Top 10 Goals Timeline
City leaders brainstormed what Fort Smith should focus on in 2027 — homelessness, water project funding, airport expansion, healthcare, and competing with Northwest Arkansas for jobs. No final list was chosen; staff will bring back a refined set of measurable goals.
Solid Waste Services building addition
A $934,518 contract with Goodwin & Goodwin, Inc. would build an addition to the Solid Waste Services Administration Building.
2025 City Financial Audit Results
The board was asked to accept the outside auditor's reports on the city's 2025 financial statements and federal grant and state compliance.
Delinquent property cleanup liens 2026
The city has about $140,000 in delinquent cleanup liens on 159 properties this year, down from roughly $188,000 last year. Numbers are preliminary after a software glitch delayed the report, and the repeat-offender count isn't available yet. These liens head to appeal hearings in September before being certified to the county tax collector.
Solid waste fund swings to operating loss
Solid waste went from a $3.4 million operating gain to a $3.3 million operating loss in one year. Recent rate increases are hoped to help, and the committee flagged it as a fund to watch.
Parking garage losing money
The downtown parking garage burned $123,000 in cash last year and has borrowed about $350,000 from other city funds. With meter revenue gone and the elevator broken, committee members discussed possibly selling the garage during budget season.
Key-person risk in city finance department
Auditors and committee members warned that CFO Andrew Richards is essentially irreplaceable right now — no one else could currently produce the ACFR. They suggested cross-training and succession planning, especially with the change-of-government discussion underway.
City financial condition improving over the decade
Fort Smith's total net position hit $1.1 billion, up $38 million in one year, and capital assets grew by about $40 million. The unrestricted deficit shrank, though pension liabilities of roughly $65 million keep it negative — something common to many cities.
Injury leave policy for employees injured in the line of duty
The city proposed giving employees hospitalized after a workplace injury up to 18 months of paid leave, with medical bills covered for life. Staff say it would make Fort Smith a regional leader in employee benefits.
Sales tax revenue and dedicated fund spending oversight
The committee oversees how your sales tax dollars are spent across police, fire, parks, streets, and the sewer consent decree. Year-end 2025 figures show about $20.4 million collected in the quarter and roughly $98.6 million in combined fund balances.
Insurance Proceeds Appropriation
Insurance payouts would be spread across several city departments through a 2026 budget amendment.
Contingency reserve ceiling in fiscal performance policies
Staff proposed capping the city's contingency reserve at 80 percent of expenditures, with excess reserves above that level for two straight years potentially redirected to capital projects, maintenance, equipment, or debt paydown. Directors discussed but didn't advance it to a vote.
First quarter 2026 budget performance
The city's chief financial officer showed how spending and revenues tracked from January through March 2026. It was informational — no action needed.