Use of grant funds questioned

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Alderman Bob Thomas said at Monday’s city council meeting he had concerns with what had happened to grant funds originally targeted for a trail from Harmon Park along Dairy Hollow Road to Clear Spring School. The grant was an 80-20 grant from the Federal-aid Transportation Alternative Funds Program with the Arkansas State Highway & Transportation Department providing the 20 percent match.

Thomas passed around copies of Resolution 656 which council approved March 9, 2015, stating the funds were “to develop and improve Dairy Hollow Trail.” He stated the Parks Commission had voted to redirect the funds toward a fitness trail around the Community Center property.

Thomas did not mention reasons for the change, but noted the approved resolution stated the city “will participate in accordance with its designated responsibility, including maintenance of this project.” Thomas’s question was, since the project had been redirected, whether the city was obligated to maintain the fitness trail.

He also pointed out the resolution said the “Mayor is hereby authorized and directed to execute all appropriate agreements and contracts necessary to expedite the construction of the above stated project.” Regardless of the resolution council approved, the project had changed and the funds redirected.

When asked his opinion, City Attorney Tim Weaver said it would depend on what the grant said.

Mayor Butch Berry said it would be appropriate to defer further discussion until the chair of the Parks Commission could be present. Alderman David Mitchell agreed Parks should be part of the conversation, but agreed with Thomas’s concern, and also said he hoped Weaver would offer an opinion.

Alderman Kristi Kendrick added that the grant funds had been redirected toward a fitness trail for property the Community Center Foundation leases from the Eureka Springs School District. She wanted know if the city would have to repay to grant funds if, after the trail were completed, the Foundation defaulted on its lease.

“I’ll get Parks in here,” Berry replied.

Aldermen voted to table the discussion.