Texarkana Gazette

A&P Commission to hold a special meeting Thursday

- By Karl Richter and Lynn LaRowe

The Texarkana, Ark., Advertisin­g and Promotion Commission will hold a special meeting Thursday.

The commission has yet to decide whether to appeal a bankruptcy judge’s decision to transfer to a new owner all tax benefit agreements previously made with the Arkansas Convention Center.

At issue was the annual payment of $150,000 in financial incentives negotiated between the center’s original owner, Dr. Hiren Patel, and the commission. The 15-year agreement, which began in 2011, included a rebate of any city hotel and restaurant taxes the convention center would owe over the term of the deal.

When James Naples of Texarkana purchased the center in April, Judge Brenda Rhodes denied a transfer of the benefit. However, she did rule that the A&P Commission would continue to uphold another agreement of $84,000 in annual incentive payments to the center. That agreement runs from 2014 to 2020.

Rhodes reversed her earlier ruling Sept. 19 at the end of the hearing in bankruptcy court in Plano, Texas.

The commission also has faced controvers­y in recent weeks as two local women have complained to state and city officials about its practices.

Amanda Bowers and Tammy Thompson, organizers of a local event called Gathering

of Authors, have raised questions about the commission’s policies, including the number of votes required to approve funding.

The commission distribute­s revenues from the city’s hotel and restaurant taxes to various events and organizati­ons it judges to be supportive of the Arkansassi­de tourism and hospitalit­y industries.

Thompson and Bowers sent one written complaint about the A&P Commission to the Arkansas Attorney General’s Office Sept. 12 and filed another with the Attorney General’s Office, Arkansassi­de City Manager Kenny Haskin and the “Report a Concern” page of the city’s website on Sept. 29.

At issue is a section of the commission’s bylaws that states “all members” must vote to approve funding outside the normal annual disburseme­nt in October. The rule has been interprete­d to mean all members present if there is a quorum, but at a Sept. 11 meeting, commission attorney Josh Potter said in his opinion it means all seven members.

At that meeting, based on the new rule interpreta­tion, the commission refused to vote on awarding funding to Gathering of Authors because all seven members were not present and therefore a unanimous vote was impossible.

The bulk of Thompson’s and Bowers’ second complaint points out examples dating to July 2016 in which the commission awarded funds without a unanimous vote of the full commission.

The commission’s last meeting, on Sept. 28, was held behind closed doors in executive session. Afterward, Chairman Buddy Allen said the purpose of the executive session was to discuss the Sept. 12 complaint, which he called “alleged” because no commission­er had seen it.

State open meeting law specifies that meetings of public bodies may go into executive session “only for the purpose of considerin­g employment, appointmen­t, promotion, demotion, disciplini­ng, or resignatio­n of any public officer or employee.”

Asked if he was confident the Sept. 28 executive session met that qualificat­ion, Allen said yes, based on his interpreta­tion of the criteria as “things that have to do with the name and character of the commission, a commission­er or employment.”

Thursday’s meeting is scheduled for 5 p.m. in the board room of Texarkana, Ark., City Hall, 216 Walnut St. An agenda has not yet been posted.

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