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Finance officer reports $560,000 county remittance; council hears state law enabling voter-approved project sales tax

Hot Springs City Council · June 1, 2026
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Summary

Finance Officer Misty reported a remittance of about $560,000 from the county, advised Evans Plunge Mineral Springs has a negative cash balance of $61,805, and summarized HB 1245, a new law enabling municipalities to put a temporary voter-approved sales tax of up to one cent toward public improvement projects.

Finance Officer Misty presented the monthly financial report through May 26: the city received a remittance of roughly $560,000 from the county (first half of 25/26 property tax payments plus delinquent collections and related fees), which substantially improved the general fund’s year‑to‑date position. Misty reported 2026 municipal sales tax collections across several funds are up roughly 11.5% (about $90,000) versus the same time last year.

Misty also reported the Evans Plunge Mineral Springs operating fund carries a negative cash balance of $61,805 and said a stronger-than-average tourism season will be needed to erase the deficit by year end. She reminded the council that the 2025 audit report will be presented on June 15 and previewed contingency transfers and supplemental appropriation procedures expected on that agenda.

Council members discussed HB 1245, which Misty summarized as authorizing a community area projects (CAPS) program that allows municipalities to ask voters to approve a temporary sales tax of up to one cent for voter‑specified public improvement projects; discussion noted a voter approval threshold (described during the meeting as 60%). The council asked residents and potential appointees to consider service on the local five‑member CAP board required under the law.

Misty urged councilors to review the forthcoming audited financials and prepare questions for the June 15 presentation.