Nevada County Picayune and Gurdon Times Newspaper Archive

Election for highways set Dec. 13

On Dec. 13, Arkansans will be asked to go to the polls to vote on a highway bond issue.

According to State Sen. Percy Malone, if passed the Arkansas Highway Commission would be allowed to levy bonds up to $575 million in an ongoing basis.

The ballot states the money would be used to pay for constructing and renovating improvements to the states interstate highway system and related facilities in Arkansas.

The bonds would be general obligation bonds, payable from designated revenues and secured by the full faith and credit of the State of Arkansas, including its general revenues. The ballot further reads the bonds will be repaid from revenues from the federal highway assistance funding to the state as federal highway interstate maintenance funds; and from an excise tax levied on distillate special fuels, primarily diesel, available after distribution required by the Arkansas Highway Financing Act of 1999.

However, the ballot measure also reads, To the extent that designated revenues are insufficient to make timely payment of debt service on the bonds, the payment shall be made from the general revenues of the State of Arkansas.

Malone said the choice voters will be making is whether to be able to build now and pay later, or pay as we go, which is what the state currently does. But, if the issue is approved, it will allow the Arkansas Highway Commission to issue bonds up to the $575 million without a vote of the people or going through the state Legislature.

He said the voters approved a $575 million bond issue for the current interstate repairs, and these bonds have not been paid off yet. We have to decide which way to go.

Malone said the referendum isnt about how good a job the commissioners do.

The Arkansas Constitution requires a vote of the people if the credit and faith of the State will be used to pay debts. This, though, would be circumvented if the highway issue is approved.

Malone said there is a lot of repair needed on the states interstate system, and other roads. But this measure only addresses the interstates, not the secondary roads or state highways, which also need repair.

The ballot, as it is written, is a bit confusing. At one point, it reads the money can be used to pay the cost of construction and renovations to the interstates, but further down reads the funds are limited to restoration and improvements to all of the interstate highway systems in the state, including roadways, bridges or rights-of-way under the jurisdiction of the AHC, which includes the acquisition, construction, reconstruction and renovation of the interstate highway systems.

It should be noted the states general revenue is used to fund such things as the states prisons, the education system, Medicare and other programs. If the highway bill is passed and enough money isnt generated to make the bond payments, these programs would bear the brunt of a budget shortfall.

There will be three polling places in Nevada County for this election. Emmet City Hall, Nevada High School and the Nevada County Courthouse.