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City Project Delays Expected

2010 PROPOSED BUDGET WOULD SLOW THE START OF SEVERAL PROJECTS

Posted: November 24, 2009 at 4:29 a.m.

— City officials expect to approve a 2010 budget at today’s City Council meeting that does not dig deeply into surpluses, but delays the start of several projects.

Money coming to the city’s capital improvement program would only pay for projects that the council already voted to fund, according to Alderman Rick Evans, chairman of the improvement committee.

“We have done about everything we wanted to do,” Evans said.

The proposed budget, reviewed and forwarded by the council, would adjust the percentage of city sales taxes split between the general fund and the improvement program. Proceeds from the 1 percent tax were split since it was approved by voters in the early 1990s with one-fourth of a percent going to the general fund and three-quarters to the improvement fund.

The proposal in the budget submitted by Mayor Doug Sprouse calls for a 50-50 split in the tax receipts. The change, according to a study by Wyman Morgan, city director of administration and fi nancial services, would leave an unreserved improvement fund balance of $586,822 at the end of 2010 and $286,822 at the end of 2011.

The projections include reserving $5 million per year to pay for an interchange on Interstate 540 at Don Tyson Parkway, Evans said.

“Our first priority right now is the interchange,” Evans said. “The money will be there for it.”

The improvement program committee started backing off on funding additional programs as the sales tax receipts for the city started falling more than two years ago, according to Ben Peters, city engineer.

The committee scaled back the renovation of Luther George Grove Street Park, dividing it into phases. The f irst phase, which included a skate park, a new bathroom and renovation of the playground, is complete. Additional work has not been scheduled.

Three projects under contract were delayed by the committee, Peters said. One was the extension of Emma Avenue from Gutensohn Road to 40th Street.

The remaining two projects, both along 56th Street, could still see completion.

“We are looking for stimulus money to help with the interchange,” Evan said. “If we do, we can use that money to fix 56th Street. That would do everything at once.”

The projects would improve 56th from U.S. 412 past where it would connect with the Don Tyson Parkway extension from of the interchange, Evans said.

Improvement programs under way or with committed funds include the improvement of Hylton Road and the expansion of Arkansas 265 south of 412. Improvements on Johnson Road are scheduled to begin soon with money from the city’s street bond program.

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