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Council seeks to renew half cent sales tax issue

BY WENDY LEDBETTER
Published Wednesday, April 28, 2004 in the Gurdon Times

Gurdon's City Council has given the go-ahead to pursue renewal of a half-cent sales tax with the revenues to go toward repaving streets in the city.

The tax is already being collected in the city but is slated to end soon. The revenues from that tax are currently being divided between the city's animal control and police.

The action came during the council's regular monthly meeting, held Monday, April 19.

Gurdon Mayor Clayton Franklin said he has been talking to the Little Rock financial company of Stephens Inc. to determine whether it would be feasible to use a proceeds from a bond issue to do the project.

"One of the things that Gurdon desperately needs is streets," Franklin said. "If the people of Gurdon would approve it, we could put that half-cent back on."

The project calls for a complete asphalt overlay of the streets, not a pea gravel surface or a patch job. By issuing bonds for the project, the city could do the entire project immediately, repaying the bonds with an interest rate of 3.6 percent interest. Franklin said he believed a total bond issue of $640,000 could repave about 16 miles of streets in the city and the cost could be paid off in about 12 years.

"And the streets would last longer than that," he said.

State crews are currently working on Highway 67 and Franklin said Highway 53 is also slated for this year. Franklin said the repaving streets in Gurdon at the same time would make a "real drastic improvement in a short period of time."

As the discussion turned to which streets would be in-line to be resurfaced, Franklin said he would hold out for the streets coming into town, including Kansas Road, Go-Devil Road and Smithton Road. Other priorities, he said, should be streets with businesses and heavy traffic. Franklin's own list of priorities accounts for only about half the estimated 16 miles of repaving. Other suggestions included the street at the Gurdon baseball field. He said a steering committee could be established of people from around the city to help prioritize the rest of the streets to be paved.

Franklin said his only requirement to consider the project is that the tax be passed with a sunset clause so that it ends when the bonds are paid off, and that "every penny" of the revenues go to the street project.

The question, Franklin said, is whether the people of Gurdon will pass the tax, "based on the fact that we're already paying it and that the people are always complaining about the condition of the streets." Putting the question to the voters, Franklin said, would be an opportunity to "put up or shut up."

Franklin said his immediate question was whether the tax would pass.

"So I'd throw that out to the council to see what they think."

Council members present said they felt the tax would be approved.

Gurdon Street Superintendent Jimmy Caldwell said if the voters don't approve the streets, their condition will continue to worsen.

"I think we need it, but I don't think it'll pass," said Gurdon Animal Control Office Carroll Martin.

After others said they believed the people will pass the tax, Franklin said he would give Stephens "the green light" to prepare the initial documentation needed to bring the issue to a vote. The next step, Franklin said, is to start getting the facts of the tax request to the public.

Franklin said he would recommend a special election and, if the tax were passed, work could begin this fall, as early as September. Meanwhile, the city would continue to work on the streets as its limited funds and equipment allow.

In other business, the council heard a report on the income for the city's cemetery. The cemetery, Franklin said, is self-supporting, though only a fraction of the people with family buried there actually pay annual dues. The problem, Franklin said, is it's easy to lose track of the family.

Revenues projected for the cemetery this year were $5,000 and Franklin said about $4,000 has currently been collected.

The council also:

* Discussed insurance for city employees. Franklin said a company with less expensive premiums is considering the city and said he expects that decision to be rendered soon.

* Approved Annie B. Hubbard and Doug Quillin as members of the Gurdon Housing Authority. Both have already served on the board and were reappointed, Quillin for a 5-year term and Hubbard for a 4-year term.

* Heard a report from Franklin about the status of the Gurdon Water Department. The department is operating without a full-time manager but Franklin said the day-to-day operation is going smoothly. Gurdon City Councilman Danny Paull is helping out with that department.


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