Fort Smith directors review five departmental capital improvement plans as sales‑tax cut reshapes projects

The Fort Smith City Board of Directors reviewed five departmental capital improvement plans during a study session on Oct. 28, with staff laying out revised multi‑year schedules and funding impacts from recent sales‑tax adjustments.

Ben Martz, interim director of engineering, told the board the streets, bridges and drainage CIP was similar to the plan presented previously but revised to reflect reduced sales‑tax receipts. "This is all the sales and use tax, which is the five‑eighth," Martz said when asked about the funding source; he and directors said the change reduces annual receipts from roughly $30 million to about $18 million going forward. Martz said the packet shows a roughly $51 million carryover in 2025 that, combined with reduced annual receipts, helps bridge project costs in the near term.

Directors pressed staff on how that carryover will be spent and on prioritization. Director Neil Martin said residents expect the city to spend dedicated sales‑tax funds and raised concerns about seeing large early‑year expenditures. Martz said some projects were moved…