Davis says plan for road bond projects coming soon

A preliminary plan for using $20 million in bond proceeds for local road projects could be available as early as May, County Judge Rick Davis said this week.

Davis said in a news release that B&F Engineering Inc. and its sub-consultant, Michael Baker International Inc., have been selected to manage local road projects financed by the $54,695,000 bond issue voters approved in a special election last June. The ballot language voters approved directs $30 million in proceeds to a partnership with the Arkansas State Highway and Transportation Department on the 5.16-mile extension of the King Expressway from the Highway 70 east interchange to the junction of state highways 5 and 7.

The Garland County Quorum Court adopted a resolution earlier this week that allows Davis to enter into a contractual agreement with the state that will commit the county to funding half the project costs not to exceed $30 million. The resolution said construction costs for the two-lane extension, which will ultimately be a four-lane road, are estimated at $60 million.

The 2016-2020 statewide transportation improvement plan includes $5 million in federal funds and $5 million in local funds to begin development of the project, which Davis said will include design work, a final environmental study and right of way acquisition. Davis' release said the construction phase could begin as early as late 2019.

The county will receive all of the bond proceeds, but the interlocal agreements it entered into with Hot Springs, Mountain Pine, Fountain Lake and Lonsdale will allocate $20 million for local road projects on a population basis. The county will get $12.3 million, Hot Springs $7.3 million, Mountain Pine $160,000, Fountain Lake $104,000 and Lonsdale $20,000.

"The county, with the overall responsibility of the bond money and road projects will be paying all the bills, but welcomes the experiences and expertise that B&F and Michael Baker bring to the table to ensure that each 'T' is crossed and every 'I' is dotted correctly and that taxpayers are getting the best bang for the buck," Davis said in the release.

Davis said meetings to determine how funding will be allocated for the projects are being scheduled with the incorporated areas.

"Organizational meetings are being scheduled to review the expectations and requirements of the interlocal governmental cooperative agreement between the county, city of Hot Springs, city of Mountain Pine, city of Fountain Lake and town of Lonsdale," he said in the release. "The focus of these meetings will be to go over the required processes and to develop schedules and plans of action for the city of Hot Springs and each town's roadway improvement projects."

B&F's management of the local road projects will include design and inspection of roads and bridges, right of way surveys, coordination of utility relocation and coordinating with the highway department, National Park Service and Hot Springs, the release said.

The cost of improvements to the King Expressway-Airport Road intersection and the installation of traffic signals at Weston Road's intersections with Albert Pike and Airport roads will determine how many projects the county and Hot Springs can fund with their respective shares of the bond proceeds, Davis said.

The interlocal agreement the two governments entered into calls for them to use their shares to pay half the estimated $7.7 million for intersection improvements at the King Expressway and Airport Road and half the estimated $500,000 for the installation of the two traffic signals.

"Plans and strategies are currently being discussed to keep the public updated as to the progress of the road improvement projects," Davis said in the release.

The county plans on using part of its proceed share to replace bridges in the unincorporated area. Davis said B&F is analyzing bridges and ranking them according to their condition, putting the ones in the worst condition highest on the list.

The nontax exempt bonds financing the road projects were sold in October with investors getting a 2.39-percent average rate of return. Little Rock investment bank Stephens Inc. received $382,865 for underwriting the sale, leaving $54,312,135 in bond proceeds for road improvements. Collection of the five-eighths cent sales tax securing the bonds will begin July 1.

Taxpayers are projected to pay $59,810,112 in principal and interest during the life of the issue, which has a stated maturity of Nov. 1, 2024, but a projected May 2023 payoff.

Local on 02/19/2017

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