Board OKs four contracts

Siloam Springs board of directors voted to approve four different resolutions concerning contracts with Main Street Siloam Springs, Retail Attractions, the Siloam Springs Chamber of Commerce and the Siloam Springs Museum Society during Tuesday night’s city board meeting.

Each contract details services provided for the city in exchange for an annual payment for those services. City Administrator Phillip Patterson brought the contracts before the board at the request of Director Marla Sappington.

Sappington made the request during the city board meeting on Nov. 17 because upon reviewing the contracts for the chamber, Main Street and the museum during the budget approval process, she found that they lacked transparency and consistency, she said.

Director Brad Burns made a motion to approve the contract with the museum, which was seconded by Director Mindy Hunt. Sappington made an amendment to the motion adding that each of the nonprofits fill out a universal template with hours worked and tasks performed. Director Lesa Rissler seconded the amendment.

The board voted 6-1 to approve the amendment with Director Bob Coleman voting against it. Coleman did not give a reason for his vote.

Board members then voted unanimously to approve the museum’s contract. Sappington made motions for the contracts regarding the chamber and Main Street, requiring them to also fill out the template.

Lastly, the directors voted to approve the contract with Retail Attractions without including any template for them to use when reporting to the city.

As city staff was getting the contracts together to present to the board, Patterson found out about a change in state law that made bringing the contracts for Main Street, the chamber and Retail Attractions before the city board a necessity, he said.

“The state law that I found, specifically as it relates to economic development contracts, requires that it cannot be automatically renewed unless approved by the board,” Patterson said.

Contracts with the chamber, Main Street and Retail Attractions will likely have to be renewed annually, he said. Since the contract with the museum is not an economic development type of contract it may not require annual approval, Patterson said.

Patterson also updated the contracts as he prepared to bring them before the board because he noticed they were written at different times and there was a clear difference in the formats of these contracts, he said. Some were updated and some have more appropriate provisions in them, Patterson said.

The contracts the board had in front of them the night of the meeting were updated so that all of them had the same provisions as it relates to terms, the Freedom of Information Act (FOIA) and renewals or an opportunity to end the contract, Patterson said.

He asked for all three non-profits and Retail Attractions to provide a budget for the monies received by the city based on Sappington’s request, as well as providing how that money is going to be spent.

Representatives from all four entities were present at the board meeting. Retail Attractions CEO Rickey Hayes represented the retail consulting firm; Chamber President and CEO Arthur Hulbert represented the chamber; Main Street’s Executive Director Stacy Morris represented Main Street Siloam Springs and the museum’s Interim Director Mary Nolan represented the Siloam Springs Museum.

Patterson gave a summary of the city’s relationship with Retail Attractions and spoke about the services they provide for the city. Retail Attractions represents Siloam Springs at different national conferences of the International Council of Shopping Centers as well as representing the city with retailers and developers, Patterson said.

Rissler asked what businesses Retail Attractions has brought into the city this year.

Patterson directly credited Hayes for bringing in Cotton Patch Cafe. He also said while Cotton Patch closed, the closure had to do with the coronavirus and some internal management issues.

The city administrator also indirectly credited Retail Attractions for helping to bring in Harbor Freight Tools. Hayes has been talking about the city to the discount tool retailer for about two to three years which made them focus on the Siloam Springs market, Patterson said.

Hunt said she noticed in the budget the chamber submitted to the board that out of 958 hours the chamber worked for the city, it spent only 480 hours on business and community development.

Hulbert answered Hunt’s query by highlighting the work the chamber has done throughout the year from opening a maker space; to helping businesses with Paycheck Protection Program (PPP) grants and loans; and helping set up on-site testing for the coronavirus at Gates Rubber Company.

Hulbert said the chamber did a budget as the city requested, but the request did not say to put all of the budget money into the form of hours.

The budget submitted by the chamber to the city does include hours worked on economic development and Arkansas Economic Development Commission (AEDC) related work, but not for travel expenses; marketing and advertising for economic development; or administrative expenses.

Sappington said her problem is not what each organization does, it is that there is not any consistency from one non-profit to the next.

“I know you all do your job and you do it very well, but when you report you need to have standards and it is our responsibility to see that you (understand) those standards,” Sappington said.

Sappington said she wanted a breakdown of each individual task the non-profits did for the city and how many hours they spent doing those tasks. In simpler terms, Sappington said she wants to know what the city is getting for the money they pay to the non-profits.

The city board also voted on and approved the following items:

Consent agenda

• Regular meeting minutes for the Nov. 17 city board meeting.

• Consent in lieu of meeting of the sole shareholder of the Illinois Water Development Company.

• Dedication of utility easements and right-ofways for the 900 block of East Harvard Street; 2500 block of Orchard Hill Road and the 1500 block of South Mount Olive Street/ Timothy Street.

• Accepting a grant from the Selective Traffic Enforcement Program (STEP) for a RADAR-message board trailer for $17,000.

• Resolution 56-20 regarding the final plat development permit for 3901 E. Kenwood St.

• Resolution 57-20 concerning the preliminary plat development permit for the 2800 block of North Teresa Drive.

• A contract for a drainage pipe from Scurlock Industries for $101,992.

Ordinances

• Placing Ordinance 2030 regarding the rezoning of 125 A and B E. Kenwood St. from R-2 (Residential Medium) to C-2 (Roadway Commercial) on its third reading.

• Placing Ordinance 2031 concerning rezoning the Villa View subdivision from A-1 (Agriculture) to R-1 (Residential Large) on its third reading.

• Placing Ordinance 2032 regarding fence and driveway permits on its third reading.

• Placing Ordinance 2033 concerning rezoning the 900 block of East Harvard St. from R-2 (Residential Medium) and R-3 (Residential Multi-Family) to I-1 (Industrial) on its first reading.

• Placing Ordinance 2034 regarding annexation/ zoning permits on its first reading.

Staff reports

• Police and fire department staff levels.

• October financials.

• Administrator’s report.

• The planning commission meeting scheduled for Dec. 8 has been canceled per Senior Planner Ben Rhoads.