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Benton City council renames city hall construction fund amid debate over fund use and dormant accounts
Summary
Council voted to change the 'city hall construction fund' name to a broader 'facilities construction fund' after members debated the fund’s original $250,000 annual design intent, lack of current balance, and how sale proceeds of the old city hall were handled; council also discussed repealing a separate development site fund.
Benton City Council on Feb. 3 voted to rename the existing "city hall construction fund" to a broader "city facilities construction fund," after an extended discussion about the fund's original purpose and its current status.
Several council members said the fund was originally intended to receive recurring transfers of $250,000 per year earmarked for a new city hall; they said no transfers have occurred in recent years and that the designated account currently holds no balance. One council member said proceeds from the sale of the old city hall are in the city’s general fund and are being used to address immediate repair needs, rather than sitting in the construction fund.
Speakers urged caution about repurposing an account that had been created to isolate money for a specific project. "It was created as an isolation fund that was originally designed that city council is gonna move $250,000 a year into that fund and lock it out for the construction of the new city hall," one council member said. Another asked directly, "How much money is sitting in this fund as of right now?" and was told the balance is zero.
Council members discussed alternatives including creating a new facilities fund while leaving the original fund intact, or bringing back a more detailed suggestion from staff for future action. The council ultimately approved the title change in the ordinance vote; no transfers or reassignments of money were recorded during the meeting.
Separately, council discussed an ordinance to repeal a municipal code section that had established a dedicated "development site" fund used historically to receive economic‑investment loans and related sources. Members noted that the development site fund currently has no balance but cautioned about eliminating the code while future development needs remain possible.
Council directed staff to return with further options and did not authorize new budget allocations at the meeting.
