The budget workshop preceded Monday’s Eureka Springs City Council meeting, and Finance Director Michael Akins presented data from March, catching up after May’s workshop was postponed because of Memorial Day.
Akins reported that sales tax revenue was up $4000 in March from the previous year. Aldermen also received a packet for April that reflected revenue was down some, but Akins said May brought it back up again in comparison to 2024.
Akins reported an overall revenue loss of $210,000 for the year as things stand, but a positive outlook remains as the season is just revving up and payments are expected in June, such as from the Western County Ambulance Authority. Property tax payments have also lagged, he said, but payments made during April will also make a difference.
Alderman David Avanzino asked Akins if it were possible to pinpoint revenue from a specific weekend or smaller timeframe. Akins said only monthly reports were available, given that businesses report their taxes monthly, and that is where city budgeting programs draw their data. However, if there were a first-time event taking place, data could be compared to the same month of the previous year, which could be useful in identifying more specific revenue shifts.
It was reported that there was a $152,000 loss in Public Works due to expected costs of the sewage treatment plant rehabilitation project. Akins pointed out that without it, the water department would actually have brought in $55,565, signifying that billing and rate adjustments are working to generate steadier income and sustainability.
City accounts change banks
Questions arose concerning the purpose of moving city accounts from CS Bank to Equity Bank. Alderman Terry McClung was concerned there had been no formal bidding process to give equal opportunity among local banks. It was explained that due bidding typically only occurs when a CD account has matured. Akins said that although it’s been rumored that the city switched banks underhandedly, this was absolutely not the case.
Akins said that discussion of moving some city accounts from CS Bank to Equity began back in April and were public. Mainly, he said, Equity offered a treasury platform that makes it easier for the city to move and manage money safely and efficiently. He described it as an economically sound decision, owning that the decision was his and had been finalized after reviewing options and receiving approval from Mayor Butch Berry.
A few other items of discussion
In Public Comments, former Eureka Springs Hospital employee Richard Webb criticized the ineligibility and cowardly nature of the anonymous letter (under the pseudonym “butterfly”) that was read aloud at the last council meeting.
Local homeowner Stacey Humphreys talked about an alleged run-in she had with alderman Harry Meyer, wherein he yelled at her, accused her of posting no-parking/tow-away signs illegally, and incited an investigation on her.
Simon Wiley reported a setter broke at 12 N. Main Street and the crew will have to excavate a piece of the highway to make the repair. A setter is a pipe fitting device that facilitates installation and removal of meters. Wiley that the block between Mud Street Cafe and the Grand Central Hotel will likely be without water for some period early in the week. Also, Public Works is now looking for a deputy position (management-approx. $60,000/yr.) and a technical position (approx. $16-20/hr.).
Mayor Butch Berry proclaimed June as Pride Month in the City of Eureka Springs, saying “We encourage all residents to embrace diversity, celebrate inclusivity, and stand in solidarity with our LGBTQ+ neighbors, and their ongoing pursuit of equality and acceptance. We affirm our commitment to creating a community where every resident can live freely, authentically, and with dignity and where all voices are heard and valued.”