City of Alexander reduces property tax, again

For the second year in a row the City of Alexander council accepted Mayor Paul Mitchell’s proposal to reduce the city’s real and personal property tax. The property tax for 2018, to be collected in 2019, will be 1.5-percent, or 0.0015-mills.

For as long as anyone can remember the city’s property tax has been five-percent (0.005-mills), which is the state’s starting maximum, unless it’s raised by a vote of city residents. In 2017 council members agreed to lower it to three-percent (0.003-mills) in anticipation of the passage of a one-cent sales tax in a November 2017 special election. The three-percent was levied for the 2017 tax year collected in 2018.

The sales tax passed and the first payment for it from the state treasurer arrived this month. Collection of the new sales tax began April 1. Alexander’s total city sales and use tax is three-cents.

Based on what he was told by the Saline County Collector Mitchell said this will give Alexander the lowest property tax in Saline County. Bryant was the lowest at its current 1.9-percent.

Mitchell reminded council members that lowering the property tax was one way the city can “give back” to city residents for passing the sales tax. Also, having a low property tax can be used as an enticement to attract business development. He added that he expects next year to, “halve the property tax again.”

Present at the July meeting and voting “For” the lower property tax were Dan Church, Joy Gray, Joe Pollard, Harold Timmerman, and Juanita Wilson. Absent were Elizabeth Bland, Melissa Ratliff and Jeff Watson.

In other action during the July 16 meeting;

Council members approved spending an estimated $20,000 for two new pavilions to be placed near the playground in the city park. Mayor Paul Mitchell told council members there’s no place for parents to sit while watching their children play. Mitchell said they currently sit on a small wall surrounding the playground and he knows, “It’s not comfortable.” The pavilions will be similar to the two already in the park.

Several local residents are working towards forming an American Legion Post in Alexander. Mitchell asked the council if they may use the community center without a fee until such time they are able to firmly establish the post. Council members agreed.

Mitchell asked council members to consider allowing Alexander to become a class-1 city. Alexander requested to be returned to class-2 status in 2012 after automatically becoming class-1.

After the 2010 census count was completed for the City of Alexander, the tally showed a new population number of 2,901. Before the annexation of Woodland Hills in 2006 Alexander's population was only 610.

Under state law it takes a population of 2,500 for a Class-2 city to move up to Class-1. And, according to the Arkansas Attorney General's office the move is automatic after the census figures are released.

Mitchell opined that some of the reasoning for the request to return to class-2 was the changes class-1 status requires. On the cost side class-1 cities must provide benefits such as health insurance and retirement.

“We have that covered now,” he said.

Other changes are how the city will function as a governmental body. The recorder position will be replaced by a city clerk, which will be an elected position. The city attorney, which is now a contract for services position, will also have to be elected. Currently petitions for elected positions only require 10 signatures. As a class-1 city 30 signatures will be needed.

Mitchell said he wasn’t asking for a decision now. He does want council members to think about it.

Near the end of the meeting, with no objections from council members, Mitchell appointed city resident Tonya Prowse to the Alexander Planning Commission. This brings the membership up to four, leaving one more vacancy. Prowse has attended several city council meetings recently before deciding to accept the position.

The next regular meeting of the Alexander City Council is Monday, August 20. Meetings start at 6 PM and are held in the courtroom at the City of Alexander City Hall. The public is invited to attend.