It was a challenging year, to say the least.
What was supposed to be a year of recovery -- and it was, for the most part -- presented a new set of challenges and heartbreak in 2022. But those should not deter us from celebrating our accomplishments, or from rolling up our sleeves in 2023 to take care of unfinished business.
The year got off to a rocky start as the omicron wave built to a crescendo, forcing businesses to reimplement the reviled mask mandates and send workers back home again. That didn't help an already strained workforce; and the problem of finding people to fill positions that have been open for months persists today. "Help wanted" signs are still evident on many businesses around town, this despite the fact that the local economy added 800 jobs in September, according to the U.S. Bureau of Labor Statistics' preliminary jobs report. It was the 18th straight month of year-over-year job gains reported for the Hot Springs Metropolitan Statistical Area.
There were other challenges, economically. Exponential rises in fuel costs have still not subsided, and supply chain issues have increased building costs across the country.
Locally, municipal water customers will see their wallets strained in 2023 as the city tacks on an additional $4 a month to cover the cost overruns on the Lake Ouachita water supply project. It should not be lost on our public servants who receive thousands of dollars of end-of-the-year bonuses that nearly $50 additional dollars a year out of the pockets of people on fixed incomes is an unwelcome burden in today's economy.
Those are the clouds in front of the silver lining of 2022. Let's look for a moment at the "positives," a term our public officials are so fond of using.
First and foremost is the opening of Majestic Park. Visit Hot Springs, which was vilified by many for proposing the baseball complex in the first place as a way to "lock in" the 3-cent advertising and promotion tax via bond debt, should be congratulated on completing and managing the project.
According to Visit Hot Springs, Majestic Park's 15 tournaments generated $1,488,970 in spending by visitors who participated in and attended those tournaments.
The tournaments accounted for 10,438 visitor-days during the year, and saw 2,022 total games (both baseball and softball) played during the first year of operation.
Most importantly, the Majestic Park Scholarship Fund provided 87 full scholarships for youngsters of all ages to participate. Scholarships covered their league and uniform fees along with any equipment they needed to play.
That wasn't the only win for Visit Hot Springs this year; according to a report it released in October, revenue from tourism in Garland County increased 2.4% from pre-pandemic levels in 2021.
In November, the city of Hot Springs reported $12,172,716 in sales tax collections through the first eight months of the year, which is 8%, or $901,998, ahead of last year's pace and 5.48%, or $632,799, ahead of the revenue forecast. Let's hope those trends hold, especially if inflation subsides along with the cost of goods and services.
As we celebrate the arrival of 2023, here are some key pieces of "unfinished business" that we will be watching in the new year.
• The King Expressway extension. Motorists had expected to be driving on the 5.8-mile extension of the King Expressway by now, cutting their travel time between Hot Springs and Hot Springs Village by half, but the $82 million project partially funded by a countywide sales tax is behind schedule. The middle of the new year is ArDOT's latest estimate for completion.
In addition to convenience, the project has economic significance, as it will provide a more direct link between businesses and services in Hot Springs with the Village.
• The Lake Ouachita water supply project. Underwriters sold $50 million of new and refinanced debt earlier this month to cover the aforementioned cost overruns on the project.
In July, the city realized the bond proceeds wouldn't cover the cost of the project, as the low bid for the water treatment plant the city is building off of Amity Road was $14 million more than what was estimated. Base rates for residential customers inside the city will increase $2 a month in January and another $2 in November as a result.
It is vital those costs be contained in 2023 to avoid additional rate increases.
• Majestic Hotel site. In November, the Hot Springs Board of Directors delegated the marketing of the Majestic Hotel site to the city's economic development contractor, making the Hot Springs Metro Partnership the clearinghouse for all purchase offers and redevelopment proposals.
The board made the redevelopment of the Majestic one of its top priorities in 2021 and 2022. After the city's attempt to solicit proposals in 2020 returned few responses, and the contract to build an outdoor entertainment venue on the site was terminated in July, City Manager Bill Burrough told directors in August the city would be focused on other priorities in the new year.
Let's hope the Metro Partnership is successful in securing a viable proposal for the vacant lot in the new year.
As we said at the outset, it's time for all of us roll up our sleeves and take care of unfinished business in 2023.