Jonesboro leaders outline $16 million revenue bond to fund E‑911 center, road and trail projects

Mayor and city staff on May 20 presented a plan to issue up to $16,000,000 in revenue bonds to fund a new E‑911 public safety center, road widening on Carraway Road, an expanded trail network and other quality‑of‑life projects in Jonesboro. City officials said bond repayment would be backed by franchise‑fee revenue from utility providers and that the bonds would not be a general tax on residents.

The presentation, delivered at the City Council meeting in Jonesboro, outlined a project list the council has discussed for more than a year and a half and a timeline the city hopes will result in a July 22 closing. Paul Phillips, the city’s financial advisor, said the plan includes seeking a credit enhancement and aiming for a double‑A rating. "I feel real confident that we'll get a double‑A credit rating by virtue of a credit enhancement from a surety guarantee," Phillips said.

City officials said the bond proceeds would be restricted to construction and must be spent within a three‑year window. The packet presented to council shows a projected construction fund of $16,000,000 with $1,500,000 set aside for unexpected costs. The E‑911 center is listed at an estimated $5,500,000; a park expansion in eastern Jonesboro is listed at $2,000,000; other line items include trails, pedestrian and street improvements and continued technology upgrades made with ARPA funds.

Why it matters: the package is intended to address public safety infrastructure and multi‑modal transportation improvements officials describe as long‑deferred needs. City leaders said the approach uses a specific revenue stream—franchise fee receipts—so taxpayers would not see a new property or sales tax for these projects.

Key details and timeline - Funding source: repayment tied specifically to franchise fee revenue collected from utility providers; city officials emphasized this is not a general tax. (City official presentation.) - Total bond authorization presented: $16,000,000, with $1,500,000 contingency for unexpected costs. (City packet.) - E‑911 public safety center estimated cost: $5,500,000. (City packet.) - Park expansion in eastern Jonesboro: $2,000,000 (plans noting 18–23 acres, acreage described as approximate in the packet). - Spending window: construction proceeds must be expended within three years, and expenditures must follow the city’s procurement rules. (City presentation.) - Timeline presented by the city’s financial advisor, Paul Phillips: insurance/credit enhancement commitment sought by June 3; offering document issued about June 9; council to consider a bond ordinance with final terms on June 17 (city staff said they would seek three readings plus an emergency clause that evening to lock in rates); anticipated closing July 22.

Task force for site selection Mayor told the council he has asked for a task force to prioritize locations for the new E‑911/real‑time crime center and to gather community input. The mayor said the task force will consist of the council committee chairs plus Mayor Pro Tem Moore and that Councilman Emmonson, chair of the public safety committee, has agreed to chair the group. The task force will interview architects, engineers and public‑safety staff as part of its work.

What the council did not do tonight City council received the presentation and heard questions but took no vote on authorizing bonds at the May 20 meeting. Staff said a formal bond ordinance with final terms will return to the council for consideration on June 17.

Funding and procurement constraints noted by staff City staff emphasized the bond proceeds would be limited to the projects listed, would not authorize property purchases, and would be subject to the city's purchasing and procurement guidelines. The packet also lists prior allocations from the general fund and ARPA for related projects and technology upgrades that would be carried forward into construction.

Next steps City staff will continue work with bond counsel, the underwriter and rating agencies; council will see a bond ordinance with final terms on June 17 and was told the ordinance will likely include three readings and an emergency clause on that date so the city can finalize interest rates and terms promptly after the sale.