Eureka Springs City Council met on Monday evening, April 13. Mayor Butch Berry opened the meeting with the State of the City Address. Berry thanked council, department heads, and the public for all the city’s accomplishments this past year.
A financial overview for the city highlighted upward movement based on increased sales tax, the city’s largest source of revenue. Since 2022, sales tax revenue has increased by 6.42 percent, with 2025 showing a collections increase of near $100,000 for a total of $3,422,777.
Berry emphasized his appreciation for Finance Director Michael Akins and all the department heads for managing city funds and operations within budget. In recent years, Berry said he had requested departments “tighten their belts,” and that call was heeded. Records showed that fire, police, water & sewer, and transit resulted in the largest savings by remaining under budget.
Berry praised the police department for its “remarkable” response time, an average of 63 seconds. He reported that ESPD has expanded investigation for internet crime against children, established a K-9 unit to be used for drug detection and missing persons, and enhanced investigative and technical capabilities through the addition of “drone operations and updated SWAT technologies.”
They have also strengthened security operations for large parades and events, which often draw crowds of thousands. “It’s unfortunate in this time of our life and in our society that we’ve had to do that,” Berry acknowledged.
In the last year, the Fire Department acquired new cots and patient lifts, reducing back injuries and improving patient stability. They also purchased a thermal drone to allow for quick, accurate fire assessments. Fire Chief Gary Inman has procured more than $40,000 in grants and donations.
In Public Works, Berry highlighted the completion of several major upgrades at the wastewater treatment plant, the finalization of funding for repairs at Black Bass Dam, and the promotion of Sean Melon to Deputy Director. ESPW received an award for wastewater management from the Northwest District Arkansas Waterworks and Water Environment Association and a Water Manager of the Year Award for Terry Long.
The Transit Department provided over 128,000 rides last year, covering nearly 177,000 miles. They procured more than $629,000 in federal funding from the Federal Transit Association. Berry noted the continued growth of the Share-A-Ride program, with more than 5,000 rides given. The department also purchased its first electric tram.
The City Advertising and Promotion Commission was acknowledged for creating and supervising nearly 100 events over the past year through advertising, general assistance, and public relations.
Records from the Passport Parking system show growth of over 300,000 more users in 2025 than the previous year. Visitors have been recorded from 49 states – all but Hawaii.
In Parks, Berry recognized major goals achieved including the renovation of Basin Spring Park, the Leatherwood ballfields, and the hiring of a licensed aquatic herbicide company to treat portions of Lake Leatherwood. He also encouraged the public to check out five new kiosks with maps, installed around the city parks – funded by Main Street Eureka.
Berry commended Planning Director Cassie Dishman for her work this year and accomplishments in Planning and HDC commissions. The Planning Commission introduced two ordinances: one to strengthen fencing guidelines, and another to reduce regulations for metal buildings. The commission has also recommended setting a 3,200 square foot minimum lot size on single family homes in R1 zones to better match existing patterns and reduce the number of zoning variances requested by new residential construction.
The HDC handled over 257 design reviews and approved 166 administratively. They updated informational brochures and secured a $4,000 grant for staff and commissioner training. In building code and enforcement, 244 permits were issued in 2025, a 33 percent increase from the previous year. This included seven major commercial projects, 23 residential builds/remodels, and five new initiatives such as city-wide sidewalk assessment and inventory of properties in need of extensive repairs.
Berry reported that Eureka Springs Hospital has made major shifts since its rough start last year. That progress includes attaining total state compliance for rural emergency hospital designation, hiring a new CEO and CFO, updated IT and HVAC systems, a new semi lab, infusion suites, and launching a rebranding campaign.
In public comments, a representative from Main Street Eureka spoke on behalf of the organization saying they are neither for nor against the proposed Permanent Entertainment District, but advocate for the due process of putting the issue to public vote. Channing Dale Turnage, the primary tour guide for Haunted Eureka Springs, said she had surveyed tourists about the PED and found that two were undecided, four were all for it, and 52 had said “absolutely not.” She urged council to put it to vote. Lex Lancaster wrote in with questions about the proposed PED and recommended a monthly ED instead, suggesting a more limited structure could motivate people and businesses to actively participate.
Samantha and Richard Webb submitted letters calling for acknowledgment of former hospital employees who have suffered, and accountability for those responsible.
Lyla Allison returned with a revised proposal to purchase city lots 12-16, city block 46 of Riley and Armstrong. Allison explained her request was roughly one-tenth of an acre and brought historic photos of her property, demonstrating where her sheds have stood for several decades. Allison pointed to the city not having used the property historically and not having current plans to do so. Alderman David Avanzino told Allison he was “ashamed” the negotiation had been so difficult, acknowledged the work she placed into reaching an agreement, and motioned to approve the offer. Alderman Terry McClung seconded and the offer was accepted.
Allison inquired as to how to move ahead with vacating the two “streets” that run through her house and property. She was told to prepare a legal description of what she needs vacated, and protocol would proceed from there.
In new business, three separate yet related ordinances passed first reading. Ordinances No. 2384, 2385, and 2386 will allow council to proceed with filing for a sales tax vote to be placed on the November ballot. The ordinances were written in accordance with an advising bond counselor so that proposed sales tax money could be used to deal with specific financial burdens of the city’s water system repairs.
Council also approved a motion giving permission to shred city records. Avanzino had questions as to what exactly was being shredded, requesting a list of the items. It was explained that these records had already been fully digitized, and the purpose was simply to free up physical space. Akins said a shredding company would be contracted to come to each location and shred documents onsite, under supervision.
In closing, alderman Steve Holifield added discussion of proposed PED to next meeting’s agenda. Avanzino expanded on the same in his closing comments, saying he firmly believed it should be put to a vote. “This issue came before voters not long ago and it was close. That kind of division doesn’t get resolved in a council meeting. It gets resolved at the ballot box.”
Other Business:
- Anna Smedley was approved for Pos. 2 on the Planning Commission.
- Vacancies exist on CAPC and Hospital Commissions.
- Aldermen Rachael Moyer and Susane Gruning were absent with notice.
- Avanzino responded to comments made surrounding the Eureka Springs Music Awards about paying musicians, stating he is a strong advocate for paying artists and musicians fairly.
- Public Works Director Simon Wiley announced that Diamond C Construction will replace approximately 120 ft. of 6-inch water main at 101 E. Van Buren, beginning on Tuesday April 21. The work will take place at night and may involve a lane closure (with signal lights) for a few days.
- Public Works is performing a “Forever Chemical” test at the wastewater treatment plant. This includes testing for PFAS and heavy metals. PFAS are a large group of synthetic chemicals with strong carbon-fluorine bonds, making them highly resistant to degradation in the environment. They include thousands of compounds that are historically used in nonstick cookware, stain resistant fabrics, waterproof clothing, food packaging, and cosmetics. For more information, visit epa.gov/pfas/pfas-explained