OPENPUBLICA · PUBLIC MEETING RECORD
Record of Proceedings

Fayetteville City Council Meeting - July 7, 2026: Sales Tax Report, Dilapidated Structures, Rezonings, Bond Issuance, and NDA Ordinance

City CouncilTuesday, July 7, 2026
BodyFayetteville, Arkansas
SessionCity Council
DateTuesday, July 7, 2026
StatusFILED
Video Record
0:00 / 6:10:35

Transcript — Verbatim
0:00

Hello and good evening.

0:02

And I would like to call the Tuesday, July 7th meeting of the Fayetteville City Council to order.

0:07

Clerk Paxton, will you please call the roll?

0:09

Minister Jones.

0:12

Present.

0:13

Mr.

0:13

Stafford.

0:14

Here.

0:16

Dr.

0:16

Jones.

0:17

Here.

0:18

Ms.

0:18

Moore?

0:19

Here.

0:20

Mr.

0:20

Wheedaker.

0:21

Here.

0:22

Mr.

0:22

Berna.

0:23

Here.

0:24

Ms.

0:24

Bunch.

0:28

Ms.

0:29

Turk.

0:30

Here.

0:30

Mayor Ron.

0:32

Here.

0:32

Please join me as we recite the Pledge of Allegiance.

0:56

Okay.

0:56

First up on our agenda, we have CFO Steven Dotson with our sales tax and monthly financial report.

1:04

Steven.

1:09

Thank you, Mayor.

1:11

This sales, this is the April sales tax report.

1:14

In April, we saw taxable sales in the city totaling approximately 285.9 million, which was a reduction of three tenths of a percent from April of 2025.

1:26

Retail trade was up three percent year over year, uh, representing an increase of 4.3 million.

1:32

And within retail trade, we saw increases in building materials, which were up 14%.

1:37

Electronics and appliance stores were up 29%, and supporting goods stores were up 15%.

1:49

Those gains, however, were offset by decreases.

1:52

Um and some of those notable decreases were 2.9 million reduction in construction and a 3.9 million uh reduction in wholesale trade.

2:02

Um compared to 2025, the tax collection was pretty flat.

2:06

Uh the City Penny, uh the city one penny sales tax was down three tenths of a percent or around $8,400.

2:14

The county portion of the city was up nearly half a percent, around uh $10,000, resulting in a total combined sales tax collection increase of uh really it was pretty flat, around only around $2,000 for the month.

2:28

Um now in comparing the tax revenues to what was actually budgeted, uh the city one penny sales tax was down approximately 3.2 percent compared to budget, around $92,000.

2:39

The county portion was down around 2.46%, around $55,000 compared to budget for the month.

2:46

Uh for a combined total for the month of March down around 2.8% compared to budget or around $147,000.

2:54

And cumulatively, that's gonna put the city on a year to date basis down approximately one percent or $232,000 uh compared to budget through the month of April.

3:05

Can I answer any questions for you on the sales tax report?

3:10

Minister Jones.

3:11

Thank you.

3:13

Steve, can you tell me what's all included in the street fund that was down to $37,000?

3:19

I'm sorry, the street fund.

3:21

Oh, we we haven't we haven't gotten to the the street fund.

3:24

Okay, I was looking at that.

3:25

Sorry.

3:25

Gotcha, no problem.

3:29

Uh okay, if it's all right with you, I'll move on to the monthly financial report.

3:33

Steve, I might have I apologize.

3:34

I'm late to the button.

3:36

Oh, apologize, Mayor.

3:39

Um I just didn't know if I heard you correctly following.

Discussion Breakdown — Share of Meeting
Public Engagement██████████████████████22%
Engineering And Infrastructure████████████████16%
Procedural█████████████13%
Transportation Safety██████████10%
Budget Equity Analysis███████7%
Water And Wastewater Management█████5%
Economic Development█████5%
Tree Preservation████4%
Affordable Housing███3%
Summary of Proceedings

Fayetteville City Council Meeting – July 7, 2026

The Fayetteville City Council met on Tuesday, July 7, 2026, with Councilmember Bunch absent. The meeting covered the April sales tax and May financial reports, four dilapidated structure cases, several rezoning requests, a major bond issuance ordinance, and a proposed ordinance restricting non-disclosure agreements. Votes were taken on most items, with the NDA ordinance tabled to the next meeting.

Consent Calendar

  • Consent Agenda – Approved unanimously (7-0).

Public Comments & Testimony

  • B1 (320 West Isla Street) – Neighbors Rolf Wilkin, Alan Wooten, Frank Head, and Al Baker testified in support of the raise and removal, citing a decade of neglect, safety hazards, and lack of progress. The property owners, Cynthia and Stephen Parette, requested more time to complete renovations, citing contractor fraud and financing issues.
  • B2 (3582 North Highway 112) – No public comment.
  • C1 (848 North Jackson Drive) – No public comment; staff reported satisfactory progress and recommended tabling indefinitely.
  • D2 (RZN 2026-15, 36.2 acres near Dean Solomon) – A dozen residents spoke in opposition, raising concerns about traffic congestion on Dean Solomon Road, drainage and flooding, tree canopy loss, wetland impacts, and pedestrian safety. One resident (Clark Eccles) spoke in favor, citing alignment with city plans and housing needs.
  • D3 (1905 East Mission Boulevard) – No public comment.
  • D4 (3105 North Old Wire Road) – Jordan Smith, a neighbor, stated the proposed after-school program would use buses and not create peak-hour traffic.
  • D5 (Bond Ordinance) – No public comment.
  • D6 (NDA Ordinance) – Jackson Copeland (Ward 1) spoke in favor of stronger transparency, arguing that NDAs undermine public trust.

Discussion Items

  • Sales Tax & Financial Report – CFO Steven Dotson presented the April sales tax report: taxable sales of $285.9 million, down 0.3% from April 2025. Retail trade rose 3%, with building materials (+14%), electronics (+29%), and sporting goods (+15%) driving gains. Construction and wholesale trade declined. Combined city and county sales tax collections were flat ($2,000 increase). Compared to budget, the city penny was down 3.2% ($92,000) and the county portion down 2.46% ($55,000), a combined 2.8% shortfall ($147,000). Year-to-date, sales tax revenues are 1% below budget ($232,000). The May monthly financial report showed the general fund 1.2% over budget ($365,000), building permit fees 36% over budget ($645,000), and water/sewer 4.6% over budget ($993,000). The airport fund is down 6.5% ($144,000) due to fuel cost adjustments. Councilmembers asked about street fund, building permit projections, and event impacts on sales tax.
  • B1 – 320 West Isla Street – Code Compliance Supervisor Billy Bryant detailed a history of code violations since 2022, a building permit issued in November 2025 but expired in May 2026 with no inspections. The structure is severely dilapidated. The property owners, Stephen and Cynthia Parette, stated they were scammed by a contractor and had secured new financing, requesting a 240-day timeline. Councilmembers expressed skepticism about the feasibility of repairs and the lack of a concrete contractor contract. The council voted 7-0 to approve the raise and removal.
  • B2 – 3582 North Highway 112 – Bryant described a 6,894-square-foot burned-out commercial building with multiple outbuildings, vehicles, and debris. A demolition permit was issued to Red Line Construction on July 7, with a start date of July 29. The property may be under sale. Staff recommended approval to ensure demolition regardless of the permit. Council voted 7-0 to approve the raise and removal.
  • C1 – 848 North Jackson Drive – Staff reported that the owner had completed repairs, including uncovering windows, residing the north side, and restoring water and electricity. Staff recommended tabling indefinitely, citing high confidence in completion. Council voted 7-0 to table.
  • D1 – Vacation 26-5 (4307 West Cactus Place) – Staff recommended approval of a 239-square-foot utility easement vacation. No public comment. Council suspended rules and approved on final reading 7-0.
  • D2 – RZN 2026-15 (36.2 acres, Dean Solomon / Van Asch) – Jonathan Kurth presented the staff recommendation to rezone from RSF-4 and CPZD to RSF-8 (26 acres) and RMF-12 (9.6 acres). The applicant, Will Kelstrom, offered a bill of assurance prohibiting multi-family use unit 26 on the RMF-12 portion. Significant public opposition focused on traffic, drainage, tree canopy, wetlands, and adequacy of Dean Solomon Road. Councilmembers discussed splitting the request into two parcels. No vote was taken; the item was held on first reading.
  • D3 – RZN 2026-16 (1905 East Mission Boulevard) – Staff recommended rezoning from C1 and RSF-4 to CS (Community Services). The property is fully developed with a commercial building. No public comment. Council suspended rules and approved on final reading 7-0.
  • D4 – RZN 2026-17 (3105 North Old Wire Road) – Staff recommended rezoning from RSF-4 to P1 for an after-school program. Applicant Ben Sherman described a bus-transported program for 100-300 students. Planning Commission forwarded 7-1. After initial failure to suspend rules (5-2), the council later voted 7-0 to approve the rezoning.
  • D5 – Bond Ordinance (Sales and Use Tax Capital Improvement and Refunding Bonds, Series 2026) – Jennifer Walker presented the first issue of up to $191,220,000 in bonds, covering refunding of prior bonds, water/wastewater ($89 million), parks ($11.5 million), animal services ($17.5 million), trails ($1.2 million), transportation ($13.77 million), sustainability ($600,000), aquatics ($1 million), and fire facilities ($12.2 million). She outlined a public communication plan with project webpages and dashboards. Council suspended rules and approved on final reading 7-0, including the emergency clause.
  • D6 – NDA Ordinance – Councilmember Sarah Moore introduced an ordinance prohibiting the city from entering into non-disclosure agreements that restrict public records disclosure. Councilmember Bob Stafford offered an amendment to codify the mayor’s existing policy (requiring mayor and city attorney approval). After debate and procedural motions, the council voted 7-0 to table the ordinance to the next meeting.

Key Outcomes

  • B1 – Raise and Removal (320 West Isla Street) – Approved 7-0.
  • B2 – Raise and Removal (3582 North Highway 112) – Approved 7-0.
  • C1 – Table Indefinitely (848 North Jackson Drive) – Approved 7-0.
  • D1 – Vacation 26-5 – Approved 7-0 on final reading.
  • D2 – RZN 2026-15 – Held on first reading; no vote taken.
  • D3 – RZN 2026-16 – Approved 7-0 on final reading.
  • D4 – RZN 2026-17 – Approved 7-0 on final reading.
  • D5 – Bond Ordinance – Approved 7-0 with emergency clause.
  • D6 – NDA Ordinance – Tabled 7-0 to next meeting.

Meeting Transcript

Hello and good evening. And I would like to call the Tuesday, July 7th meeting of the Fayetteville City Council to order. Clerk Paxton, will you please call the roll? Minister Jones. Present. Mr. Stafford. Here. Dr. Jones. Here. Ms. Moore? Here. Mr. Wheedaker. Here. Mr. Berna. Here. Ms. Bunch. Ms. Turk. Here. Mayor Ron. Here. Please join me as we recite the Pledge of Allegiance. Okay. First up on our agenda, we have CFO Steven Dotson with our sales tax and monthly financial report. Steven. Thank you, Mayor. This sales, this is the April sales tax report. In April, we saw taxable sales in the city totaling approximately 285.9 million, which was a reduction of three tenths of a percent from April of 2025. Retail trade was up three percent year over year, uh, representing an increase of 4.3 million. And within retail trade, we saw increases in building materials, which were up 14%. Electronics and appliance stores were up 29%, and supporting goods stores were up 15%. Those gains, however, were offset by decreases. Um and some of those notable decreases were 2.9 million reduction in construction and a 3.9 million uh reduction in wholesale trade. Um compared to 2025, the tax collection was pretty flat. Uh the City Penny, uh the city one penny sales tax was down three tenths of a percent or around $8,400. The county portion of the city was up nearly half a percent, around uh $10,000, resulting in a total combined sales tax collection increase of uh really it was pretty flat, around only around $2,000 for the month. Um now in comparing the tax revenues to what was actually budgeted, uh the city one penny sales tax was down approximately 3.2 percent compared to budget, around $92,000. The county portion was down around 2.46%, around $55,000 compared to budget for the month. Uh for a combined total for the month of March down around 2.8% compared to budget or around $147,000. And cumulatively, that's gonna put the city on a year to date basis down approximately one percent or $232,000 uh compared to budget through the month of April. Can I answer any questions for you on the sales tax report? Minister Jones. Thank you. Steve, can you tell me what's all included in the street fund that was down to $37,000?

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