Arkansas Economic Development Commission director Grant Tennille says he’s supportive of efforts to raise the state minimum wage to $8.50 per hour, calling it a “jobs creator.”

Tennille, who was a panelist on this week’s “Talk Business & Politics” roundtable, also discussed changes coming to the state’s workforce development efforts and said he’s worried about a low balance in the Governor’s Quick Action Closing Fund.

Tennille said he has signed a petition to include on the November ballot a measure to raise the state’s minimum wage from $6.25 per hour to $8.50 over a three-year period.

“I think there is a lot of benefit behind raising the minimum wage,” said Tennille. “You will hear from some companies who say it’s a job killer. But what creates jobs is customers. People talk a lot about job creators – the ultimate job creator is a customer with money to spend.”

Tennille also said he is worried about a low balance in the Governor’s Quick Action Closing Fund, which with current commitments has a $6.8 million balance. State lawmakers opted not to replenish the fund with more money in the fiscal session.

“I’m worried about it,” he said. “One option that we have – and we’re going to begin to exercise is – there is an amount of money from the Quick Action Closing Fund that has been promised to projects over the course of – some of them a few years old now – and for whatever reason, the companies haven’t moved forward on the projects. We’ve kept the commitment.”

Tennille said those companies are going to have to pony up a plan or risk losing the money the state has promised.

“What we are going to do is begin to communicate to those companies that we need to see a plan for how you’re going to spend this money beginning in this next fiscal year and if you’re not ready, we may de-obligate that money to you,” he said.

Tennille also touched on three accomplishments in the last session that he said would move economic development efforts forward for the state. They included broadband expansion money for schools, charter school facilities funding, and a restructuring of workforce development efforts.

Link here for a video interview with Tennille.

With the funding secured for the next fiscal year, GOP gubernatorial candidate Asa Hutchinson says he will support the private option because it is the “law of the land,” but he promised reforms to the controversial program, which he labeled a “pilot project.”

In a lengthy interview with “Talk Business & Politics” host Roby Brock for this Sunday’s TV program on KATV Ch. 7, Hutchinson said if he’s elected Governor, he will closely evaluate the private option to see if it is “the right path of the future.”

“Now the dust is settled. We know that they have funded the private option. We know that there are no short-term budgetary impacts on it,” Hutchinson said. “So in 2015, just like [Rep.] Kim Hammer said – who changed his vote from a no to a yes – he said now we’re going to see if it works. I view this as a pilot project. In fact, it will be a smaller pilot project with the limitations on the marketing aspect of it.”

Hutchinson said it was crucial to monitor the long-term costs of the program and whether or not it accomplishes the policy goals outlined. He also said that voters could expect “continued efforts” aimed at reforming the program from his administration.

“The private option was a start. The whole design is reform. You can expect more reform of the private option and health care policy in Arkansas to make it unique to this state and make it work for this state. And, a key criteria for me is I want incentives for people to work, and not incentives for people not to work,” he said.

Health savings accounts (HSAs) are one reform Hutchinson has keyed in on. He personally has an HSA and while he said he’s hopeful they will work, he also expressed skepticism.

“It’s not that complicated, but it takes some guidance to get it done. But also it takes cash. You’re looking at the private option for those who are on marginal incomes. They’re not high-income individuals and so their cash flow is strained. You have to have a cash flow capability to really put a health savings account into place,” Hutchinson said.

When asked if he was supportive of the private option as the policy of the state of Arkansas, Hutchinson replied, “Oh, sure. It’s the law.”

“And our legislature by two-thirds, or three-fourths vote approved it and so the debate is ended for now. But the debate will continue. So I support the pilot project that you see in place now and we want to see how it works,” Hutchinson restated. “I will evaluate it just like all the other legislators will in terms of what’s the long-term cost impact and what’s the benefit we’re getting from the state, and does it promote work and encouragement to work in our society.”

PRIMARY CHALLENGE, TAXES
In the interview, Hutchinson also discussed expectations for his primary challenge from Curtis Coleman, clarified his comments regarding the AEA teachers’ union, and explained why his tax reform plan will make Arkansas more competitive with surrounding states.

Hutchinson said he would be satisfied with a “50% plus one” victory over primary challenger Curtis Coleman.

“In terms of expectations, I just want to win,” Hutchinson said.

He said he is different from Coleman in that he has been elected to office and has a voting record for conservative principles, such as a tax cuts, a balanced budget, and Constitutional conservatism.

Hutchinson said his tax cut plan will help middle income Arkansans. He has proposed a first-year plan as Governor to reduce the income tax rate from 7% to 6% for Arkansans earning between $34,000 to $75,000 a year, and from 6% to 5% for those earning between $20,400 to $33,999 annually. Hutchinson estimates his first-year plan could cost around $100 million, which he says can be found in growth revenue or a budget surplus.

Does Hutchinson see a total elimination of the income tax?

“No, it would be very doubtful, if not impossible, without raising other taxes. I don’t want to raise the sales tax. I don’t want to raise property taxes, which is not an income stream for the state any way,” he said. “This is just reduction and reform you can do based upon the normal growth, and hopefully, faster-paced growth that we can have by giving tax cuts to the middle class.”

“If we can get it down to 5%, all of a sudden we’re competitive with Texas and Tennessee,” Hutchinson added, noting that each state has to be evaluated with its total tax burden on citizens.

AEA ENDORSEMENT
A week ago, Hutchinson and the probable Democratic nominee, Mike Ross, exchanged campaign salvos over Ross’ endorsement by the Arkansas Education Association (AEA).

A Hutchinson spokesman described the AEA as a “left-leaning” organization and said its endorsement for Ross was a case of the AEA and its national affiliate, the National Education Association (NEA), putting “their liberal ideals ahead of our kids.” Hutchinson says he stands by that characterization.

“Of course we’re not disavowing the statement. Whenever you look at the NEA, the national teachers’ organization, the national teachers’ union, they have supported Obamacare. They’ve been advocates of the Democrat majority in Congress, including Mike Ross. They’ve been team players. Of course, we’re not surprised that the union would endorse Mike Ross,” he said.

“Now, Mike Ross tries to equate the union with all the teachers in Arkansas and of course that’s wrong. We have tremendous support among the teachers. My sister was a public school teacher. My kids graduated from the public schools. I’m an advocate for teachers – they’re going to be the solution to education problems in Arkansas,” he added.

Hutchinson also said he wasn’t seeking the AEA endorsement, but merely accepting an invitation to talk to the teachers’ group. He said he would accept invitations from other groups he’s not aligned with to discuss policy issues related to the Governor’s race.

“If they invite me to meet with them, then I’m happy to do so,” he said. “I believe in meeting with political adversaries because you learn from them. They’re part of the political operations in Arkansas, so absolutely I’ll meet with them. I just didn’t expect their (AEA) endorsement.”

Arkansas’ jobless rate dipped to 7.3% in January thanks to a more than 2.6% drop in the number of unemployed. However, January marked 60 consecutive months – five years – that the state’s jobless rate has been at or above 7%.

The jobless rate of 7.3% was down from 7.4% in December and down from 7.5% in January 2013, according to the report issued Monday (March 17) by the U.S. Bureau of Labor Statistics.

Arkansas’ labor force was an estimated 1.328 million in January, up slightly compared to December, but down compared to 1.329 million in January 2013. The year-over-year comparison shows an estimated 1,391 fewer Arkansans in the labor force.

The number of employed in Arkansas during January was 1.231 million, above December employment of 1.228 million, and up compared to the 1.229 million in January 2013.

The number of unemployed was an estimated 96,833 during January, down from the 98,484 in December, and down 2.62% compared to the 99,443 in January 2013.

Arkansas’ annual average jobless rate fell from 7.9% during 2011 to a revised 7.5% during 2012. The initial annual average jobless rate for Arkansas during 2013 is 7.5%.

The federal BLS issued this statement with its January labor report: “Effective with this release, nonfarm payroll estimates for states and metropolitan areas have been revised as a result of annual benchmark processing to reflect 2013 employment counts primarily from the BLS Quarterly Census of Employment and Wages (QCEW), as well as updated seasonal adjustment factors. Not seasonally adjusted data back to April 2012 were revised. Seasonally adjusted data from January 1990 were subject to revision.”

ARKANSAS SECTOR NUMBERS
In the Trade, Transportation and Utilities sector — Arkansas’ largest job sector — employment during January was an estimated 243,400, down from 244,200 in December and ahead of the 240,800 during January 2013. Employment in the sector hit a high of 251,800 in March 2007.

Manufacturing jobs in Arkansas during January totaled 153,500, up compared to 151,800 in December and below the 154,000 in January 2013. Employment in the manufacturing sector fell in 2013 to levels not seen since early 1968. Peak employment in the sector was 247,300 in February 1995.

Government job employment during January was 215,200, down from 215,800 in December and below the 216,100 during January 2012.

The state’s Education and Health Services sector during January had 172,900 jobs, down from the 173,500 during December and up from 171,100 during January 2013. Employment in the sector is up more than 22.6% compared to January 2004.

Arkansas’ tourism sector (leisure & hospitality) employed 109,100 during January, up from a revised 106,900 during December, and above the 104,400 during January 2013. The January employment tally sets a new record for the sector. The number is subject to revision in future reports.

NATIONAL DATA
The BLS report also noted that all states had unemployment rate decreases from a year earlier. The national jobless rate during January was at 6.6%, and was down from the 7.9% in January 2013.

Rhode Island had the highest unemployment rate among the states in January at 9.2%. The next highest rate was Nevada at 8.7% and Illinois at 8.7%. North Dakota again had the lowest jobless rate at 2.6%.

The January jobless rate in Oklahoma was 5.2%, down compared to 5.4% to December and down from 5.4% in January 2013.

Missouri’s jobless rate during January was 6%, unchanged compared to December and down compared to 6.7% in January 2013.

Top executives at Lowell-based J.B. Hunt Transport Services enjoyed big compensation boosts in 2013, with CEO John Roberts III posting an almost 20% gain in base pay, stock awards and other benefits.

The company will hold it’s annual shareholder meeting on April 24 at its corporate offices, according to the company’s annual proxy filing last week with the Securities and Exchange Commission.

In accordance with the Dodd-Frank rule “Say on Exec Pay” there is a proposal asking for shareholder approval of Hunt’s compensation packages for its named employee officers.

EXECUTIVE PAY
Roberts earned total compensation of $4.058 million in 2013, an increase of 19.7% from the prior year. His base salary totaled $642,592, with added  bonus pay of $146,050.

The bulk of Roberts’ salary package is deferred compensation and paid in company stock and options which totaled $3.244 million in 2013. The bonus and deferred stock awards are performance based relative to corporate profitability. Roberts also received about $25,000 in other payment such as paid personal benefits, country club dues, financial and tax planning allowances and 401(k) contributions. 

David Mee, chief financial officer, earned total compensation of $2.662 million, compared to $1.242 million in the prior year. Mee’s base salary rose to $401,077 in 2013, an increase of 8.5%. His bonus pay of $90,850 was lower in 2013, but deferred compensation rose to $2.152 million, more than triple the $691,575 reported in 2012. He also received other compensation totaling about $18,000.

Kirk Thompson, chairman of the board, earned $2.160 million in 2013. His pay includes a base salary of $492,308, deferred share compensation of $1.658 million and other benefits worth about $9,400. 

Terrence Matthews, president of the intermodal segment, earned $3.553 million in 2013. Base salary totaled $408,436, with bonuses of $92,000. Deferred compensation stock awards totaled $3.229 million. Other compensation totaled about $26,000. Matthews’ total compensation package increased 195% from the prior year.

Craig Harper, executive vice president, earned $1.726 million in 2013, up 39% from his 2012 salary package. Base salary totaled $375,000, with added bonuses of $86,250. Deferred stock awards totaled $1.255 million and other benefits valued at $9,773.

Hunt notes in its proxy filing that its executive compensation program is incentivized for positive achievement. In the highly competitive logistics industry, Hunt notes that it seeks to recruit and retain top talent and believes its compensation program does that.

In 2013, executives with Hunt helped the logistics giant reach record earnings of $342.3 million on revenue of $5.584 billion. Hunt’s top and bottom lines rose more than 10% from the prior year. 

The company recommends to shareholders to approve its compensation structure, noting that the vote is not binding. The company said its board compensation committee will consider stockholders’ concerns and take them into account when designing future executive compensation programs.

BOARD SELECTION
Shareholders will also elect a slate of 11 directors to a one-year term. Each of the following director candidates has previously served on the board for a minimum of four years, according to the proxy filing:
• Douglas G. Duncan
• Francesca M. Edwardson, 
• Wayne Garrison, 
• Sharilyn S. Gasaway, 
• Gary C. George, 
• Bryan Hunt, 
• Coleman H. Peterson, 
• John N. Roberts III, 
• James L. Robo, 
• Kirk Thompson, and 
• John A. White 

Each board member not employed by the company received $140,000 in base compensation in 2013, payable in cash or stock. Additional pay was provided to the directors for their committee service, overseeing audits, compensation and corporate governance. Director compensation totaled $1.603 million in 2013, according to the proxy filing.

PRINCIPAL STOCKHOLDERS 
The company’s largest shareholder is co-founder Johnelle Hunt. She holds 19.354 million shares with an approximate street value of $1.383 billion. Hunt’s shares comprise 16.5% of the company’s outstanding common stock.

Shares of J.B. Hunt (NASDAQ: JBHT) opened Monday (March 17) at $71.96. During the past 52 weeks the share price has ranged from a $79.89 high to a $67.97 low.

Following are the three largest institutional investors holding shares of J.B. Hunt.
• FMR, 10.339 million shares, 8.8%
• BlackRock, 7.893 millions shares, 6.7%
• T.Rowe Price, 6.310 million shares, 5.3%

Realtors in Benton and Washington counties report mixed results during a February plagued with nasty winter weather. The Benton County market is off to another strong start in 2014, while Washington County unit sales and total volume slid again in February against the year-ago period.

Total sales in February for the combined two counties exceeded $78.58 million, compared to $73.17 million a year ago. Benton County sales climbed 22% from a year ago, while Washington County sales fell 11.7%.

Nicky Dou, broker with Keller Williams in Bentonville, said the snow and cold weather did not have a negative impact on her business last month. 

“We wrote 18 contracts in February. I had one weekend that although I didn’t even leave my house due to the snow and ice and I still sold three homes. People that relocate to our area don’t stop looking because of the weather and luckily I have a lot of listings that these buyers have been looking at online for several weeks prior to their house hunting trip,” Dou said.

Harold Crye, president of Crye-Leike Real Estate, said his firm’s sales in the Northwest Arkansas market totaled $26 million in February, up 12% from a year ago. His agents sold 177 units last month, a 7% increase from the year ago period. He said February business rebounded after a sluggish start in January.

Crye-Leike’s total business sales rose 10% in February to $332 million, despite inclement weather. This is a solid metric for the southeastern region of the U.S. given the firm’s marketshare and reach.

Coldwell Banker, the largest firm in two counties, reports an 8% dip in February sales in the two-county area, after a 15% increase in January. 

“Our new written business is moving up nicely year to date, but is still down when compared to 2013.  The weather has had a dramatic effect on the business all across the country, and (Northwest) Arkansas is no exception. There seems to be some pent-up demand in the marketplace, as many buyers have put off their home buying search due to weather conditions. I do not believe closed business in March and April of this year will be as good as in 2013, but by mid-summer, I project that we will be caught up to 2013,” said George Faucette, CEO of the local Coldwell Banker franchise.

SELLER’S MARKET
Jason Smith, a broker with Crye-Leike in Fayetteville, said a flood of activity has hit in the past two weeks as the weather cleared.

“I have picked up five new listings in the past two weeks. I think people stuck at home cleaned up their houses, shopped online and decided it was time to list,” Smith said.

He said an average time on market below 180 days and low inventory levels point to a sellers market.

“The average days on market is 160, and homes in good condition are selling above 96% of asking. Prices are moving up. Good condition homes can be priced 5% higher today and still get ample showings because of the limited inventory,” Smith said.

Dou agreed saying there is less inventory and the list-sell price ratio is much higher than she’s seen in many years which is great for sellers.

“I think 2014 is going to be the best year for sales we have seen in a very long time,” Dou said.

MountData.com reports that of all the 846 homes sold this year, the average time on market — from listing to pending — was 66 days. Paul Bynum, analyst with MountData.com, reports the median sales price across the region rose 2% to $139,000, for an average of $83 per square foot.

HOME SALES DATA
Benton County (January-February)
2014: 545 units, $92.331 million
2013: 489 units, $82.489 million
up 11.5% and 11.9%

Washington County (January-February)
2014: 299 units, $53.527 million
2013: 351 units, $56.156 million
down 14.8% and 4.68%

Attorneys for the family of a Faulkner County woman who died in April 2008 due to what the family alleged was neglect and negligence have added even more fuel to the fire in the case of Circuit Judge Mike Maggio – fuel that could mean trouble for Fort Smith businessman Michael Morton.

Maggio dropped out of a race for the Arkansas Court of Appeals following revelations by left-leaning blog Blue Hog Report about Maggio's anonymous postings to a LSU sports site. The postings included what many considered racist and homophobic remarks, as well as confidential information about court cases, including a Faulkner County adoption by actress Charlize Theron.

Following the admission by Maggio that he made the postings online came another report from Blue Hog Report's Matt Campbell, an attorney with Pinnacle Law Firm in Little Rock, that Maggio had dropped the dollar value of a penalty stemming from a neglect and negligence lawsuit filed against Michael Morton, whose Fort Smith-based Central Arkansas Nursing Center owns Greenbrier Care Center. The jury ruled in favor of the family of Martha Bull and awarded the woman's estate $5.2 million on June 6, 2013.

"On July 8, 2013, Judge Maggio granted Greenbrier Care Center’s motion for a remittitur hearing, because he found that the $5.2M award against the nursing home “shock[ed] the conscience of the court," Campbell wrote, reporting that the judge ultimately lowered the award to $1 million.

He noted that on the same day Maggio granted the remittitur hearing, seven political action committees (PACs) were formed and all received donations of $3,000 from Morton or companies owned by Morton. All the PACs went on to make donations to Maggio's Court of Appeals campaign.

It was the latest revelations by Campbell that compelled Bull's family to instruct their attorneys to file a complaint with the Arkansas Judicial Discipline and Disability Commission on Thursday.

"Based on reports that came out in the Blue Hog Report and also came out in the Log Cabin Democrat and later the Arkansas Democrat-Gazette, my clients were extremely concerned about donations to seven PACs with Mike Maggio being the primary beneficiary of those PACs," said attorney Tom Buchanan, who along with attorney Brannon Sloan of Dodds, Kidd and Ryan Law Firm in Little Rock, is representing the family.

Buchanan, in a Monday interview with The City Wire, explained that the complaint was filed because the law stating that candidates for judicial positions are not allowed to fundrais more than 180 days before a judicial election.

"The judicial is May 20," he explained. "If you subtract 180 days, that's November or December. The obvious questions my clients have is why did Mike Morton, who my clients had a verdict (against), write these checks on the same day that the judge reduced the verdict?"

Asked whether the family of Bullock would pursue criminal charges against either Maggio or Morton regarding the allegations reported by the Blue Hog Report, Buchanan said it is a possibility.

"I'm not going to comment on what my clients have told me, but I've been authorized by the family to investigate this and try to find out answers for them," he said. "Everything's on the table at this point in terms of options and we don't even know what all of our options are. We're still in the process of figure that out and making the determination."

An attempt to contact Morton at his Fort Smith office was unsuccessful, with a female employee stating he was out of town and likely would not return any media inquiries about the case.

Executive Director David Sachar of the JDDC confirmed an investigation into the issue was opened, though he said in a statement that he could not discuss details.

"The Judicial Discipline & Disability Commission is aware of the general allegations concerning campaign contributions to Circuit Judge Mike Maggio’s race for the Court of Appeals. Under Rule 7C(3) I can confirm that there is an on-going investigation into this matter by this agency. Judge Maggio will have full due process rights during our investigation. Procedural rules of the Judicial Discipline & Disability Commission will determine the timing of the events in the case, including when more information is released. This office does not anticipate issuing further public statement until the case concludes. Possible conclusions include dismissal, agreed resolution or public charges."

Should public charges be filed, Sachar said "it would proceed to trial" and would be similar to a civil matter, versus a criminal matter.

The University of Arkansas System announced Monday (March 17) that its Board of Trustees would meet Thursday (March 20) and Friday (March 21) at the University of Arkansas at Fort Smith, with votes to continue the system's ban of firearms and approval of new degree programs on the agenda.

The continued ban handguns on campus comes after the Arkansas General Assembly approved Act 226 in 2013, which "provides that a person licensed to carry a concealed handgun may do so at a public university, college or community college is such person is a staff member of the public institution," according to a memo written by UA System President Donald Bobbitt to the Board. He said the only way around the law was if the Board approved a resolution that expressly forbade such action.

While the UA System previously voted to ban handguns on campus in Spring 2013, Bobbitt said such prohibitions must be approved by the Board every year, which is why the issue is coming back for another vote less than a year after the first vote.

"Subsequent to the passage of Act 226, the Chancellors and a number of faculty and staff at the University of Arkansas System institutions, including campus public safety officers, expressed the opinion that the Board should adopt a policy expressly disallowing the carrying of a concealed handgun by staff members in the buildings or on the grounds of the University and to post the required notices," Bobbitt wrote.

A number of new degree offerings will also be voted on during the two days of meetings.

Among the new offerings are 12 online degree and certificate programs at the University of Arkansas Community College Morrilton, five new certificate programs at Cossatot Community College of the University of Arkansas, and 11 online degree and certificate programs at CCCUA.

The main UA campus in Fayetteville had several new programs on the agenda. Among them, a new online graduate certificate in writing and public rhetorics as well as a minor in non-profit studies for business majors at the Walton College of Business. According to Bobbitt, the new Walton College minor creates a workforce specifically educated for work in the non-profit industry.

"Conservative estimates place non-profits as employing above 10 percent of the current workforce," he wrote. "Although many students will go to work in the for-profit realm, they will still be on boards and participate in other civic organizations."

Another request being made by the administration of the UA campus in Fayetteville is for an online offering of the bachelor of science in business administration, with a general business major, which Bobbitt said would allow "the Walton College to capture new markets (e.g., students abroad, degree completion, and adult learners)."

While students completing the on-campus version of the program would be allowed to complete their studies, Bobbitt did note that only online students majoring in general business would be admitted, starting in the Fall semester.

The final proposal for a new degree program will be the new retail major within the bachelor of science in international business, which Bobbitt said has been offered outside of the BSIB degree since 2011.

"Adding the retail concentration would provide students the opportunity to choose a concentration from any of the major areas of study," he wrote, noting that other majors within the degree program include accounting, business economics, finance, general business, information systems, marketing, management and supply chain management.

The Board meeting to be held later in the week is the first to be held at UAFS since 2010, according to UAFS Director of Public Relations Sondra LaMar.

Dr. Paul Beran, chancellor of UAFS, said he was eager to host the multi-day meeting, which will start at 10 a.m. Thursday in the Reynolds Room of the Smith-Pendergraft Campus Center.

“UAFS is pleased to host the UA Board on campus to show how we have embraced our role as an emerging, high performing comprehensive regional university dedicated to serving our mission of ‘educating students for an ever-changing global world while advancing economic development and quality of place.’"

A unanimous vote by the Fort Smith Planning Commission to approve the planned zoning district (PZD) at the site of the Fianna Hills Country Club does not guarantee a similar vote at the April 1 meeting of the Fort Smith Board of Directors – the last hurdle to jump in order to get the planned redevelopment of the country club off the ground.

The 9-0 planning commission vote was unusual on projects such as the Fianna Hills PZD, which saw a room divided almost evenly among those in favor and those opposed to the project.

Commissioner Vicki Newton said her vote in favor of the PZD all came down to extending the life of the country club, which will see a planned $20 million upgrade by Fort Smith-based FSM Redevelopment Partners should the PZD receive final Board approval.

"I think we’ve all heard the rumors that have circulated for months now regarding Fianna," she wrote in an e-mail. "I do know that the club has basically outlived it’s economic life as such. Something has to be done as I know the owners are pumping their own money into it. Now, that aside, strictly from a planning commission standpoint, it meets all the requirements for a PZD, which allows the developers to expedite their plan and yet be very specific. I was curious to hear what the neighbors had to say as I know there was some opposition. And all of that was more or less self serving, i.e. ‘my house, my view’ not what would be detrimental to the whole neighborhood. After hearing and reading the plan that was developed, I firmly believe this is a viable option and needs to be explored. I think there are many other obstacles ahead for this development team, but to not look to the future for Fort Smith and the needs of the city would be a failure on our part."

Brandon Cox, another commissioner who voted in favor of the PZD, said he voted for the development because he did not want to "be the commissioner to stop a multi-million dollar project that improves the same intended use," adding that restrictions were included in the PZD to create the best possible outcome for developers and the neighborhood.

"The additional restriction provided from the planning commission study session imposed maximum traffic counts for future uses that can’t exceed 5% over the approved PZD traffic counts," Cox wrote. "As well, limiting the parking available to the number of spaces presented in the PZD will in turn limit the density of any future use. My final decision to support the PZD was based on three primary factors:
· The contingent assurances described above and provided within the PZD should protect the residents;
· A high quality and innovative development with a large investment in FS that appeared to meet the UDO requirements;
· The neighborhood was clearly split on the development of the project with just as many supporting as opposing."

All Fort Smith City Directors were asked via e-mail whether they would vote for or against the project and why, whether they had concerns about the project, and whether there were any circumstances which could cause them to change their mind. Following are their responses:

CITY DIRECTOR KEITH LAU, WARD 1
"I haven't received the board package on this item and would like to reserve official comment until I have had time to review. My first blush position is I support the development. It is a planned $8.0 mil dollar development, creates jobs, increases property values, recommended by the city planning staff, was unanimously approved  9-0 by the planning commission and its business friendly. ... There would have to be a huge compelling reason not to vote in favor of the PZD. I will have my official position Sunday (March 30) after review of the package."

CITY DIRECTOR ANDRÉ GOOD, WARD 2
"I will tell you that we, board members have been getting email responses and request about the FHCC project and the (PZD). I personally like the idea, but need to educate myself on some of the particulars like 'factor C' that the emails reference and familiarize myself with the zone change will allow."

CITY DIRECTOR MIKE LORENZ, WARD 3
"I have not made a decision on this vote at this time. I have heard many citizen concerns about this project and likely will hear more in the coming days. Making the best decision for all citizens will take research and listening to citizen comments in the coming days. My only concern is to protect the property values and citizens best interest in the Fianna area and all of Fort Smith. I am supportive of a revitalized Fianna Hills Country Club but have concerns with the other uses allowed in the PZD as presented."

CITY DIRECTOR GEORGE CATSAVIS, WARD 4
"I am leaning toward approval of the (PZD) and to this project. (M)y understanding (is) it will create more jobs and also a better tax base for the city with the planned improvements. I really have no concerns about the project as proposed."

CITY DIRECTOR PAM WEBER, POSITION 5 AT-LARGE
"I have received numerous phone calls and emails on the subject of the rezoning of Fianna Hills County Club. I have not made a decision on how I will vote at this point - I am still researching the question. I have several questions that I will be seeking answers to on Monday (March 17). Please understand that this zoning request will have long term impacts on the Fianna Hills neighborhood and that I take any vote I make on this issue with lots of thought considering the current impact and the impact of the rezoning in twenty years."

VICE MAYOR KEVIN SETTLE, POSITION 6 AT-LARGE
"I have heard from many citizens about the proposed PZD at the Fianna Hills Country Club. What most citizens want is that longevity of the FHCC to stay open, which I agree with. For the most part, I am would agree that the FHCC upgrades and members suites would be great addition to the FSM area.

"The concerns that have been brought to my attention by many citizens in the Fianna Hills area are the other potential developments that are being asked in the PZD. These other potential developments are something that I am going to research and get a better understanding on how they could affect the existing homeowner property values.

"We will not receive our final BOD packet for this subject until March 28 for our April 1st meeting, which this subject will be on the agenda."

CITY DIRECTOR PHILIP MERRY, POSITION 7 AT-LARGE
"Please know that I am continuing to gather input from multiple venues and certainly from those in the FHCC area.
 
"I have gotten viewpoints from multiple sides on this PZD. Support for the decision has been received. Support to oppose has been received. And this a.m. (March 14), I received citizen input to approve the improvements to the country club setting and 'member suites' portion of the PZD but to vote 'no' on the other items that would fit in such a zone change (office setting, medical facilities, etc).
 
"I am deliberating and listening and taking notes, rest assured. I support the club and member suites concept and as for other zoning potential uses with this change, I am continuing to listen and learn on the subject."

The entertainment category at Walmart U.S., which consists largely of consumer electronics, has been challenged in recent years by a decline in innovative products and shrinking margins resulting from downward pressure on pricing. The company hopes to boost its entertainment business by offering a new video game service.

Duncan Mac Naughton, chief merchandising and marketing officer for Walmart U.S., told the media Monday (March 17) that pre-owned video gaming is a $2 billion market that Walmart will now enter. The retail giant is launching a video game trade-in service in 3,100 Walmart Stores and Sam’s Clubs starting March 26. Mac Naughton said there are 880 million video games sitting in homes today collecting dust. This buy-back program is fashioned after similar deals offered for iphones, smartphones and tablets which began in September 2013.

Consumers can bring in their used video games for various platforms – Sony Playstation, X-Box, Nintendo Wii, etc. – and trade them for gift cards. Walmart will pay market value for the games based on its partnership with C.E. Exchange. The average payout is expected to be around $35, but the game popularity, age and condition are considered. 

“We expect our payouts to be competitive,” Mac Naughton said during the call. “When we disrupt markets and compete, our customer wins. They’ll save money on video games and have the flexibility to spend it however they want.”

The trade-in games will be sent to C.E. Exchange, refurbished and sold back to Walmart for resale in their stores and online. Mac Naughton said the certified pre-owned games should start showing up in stores by this summer.

“While new releases will remain the focus of our gaming business, we’re glad to give our customers the option to buy pre-owned games,” he said. 

Walmart said their customers have asked for this service for several years, and while the company piloted a similar program back in 2009, they hadn’t found the right partner. C.E. Exchange also refurbishes iPhones, tablets and other items for Walmart.

Jason Long, CEO of St. Louis-based Shift Marketing Group, applauded the move by Walmart.

“This program sounds similar to that of Game-Stop. As a parent of a kid who plays video games, we love Game-stop because you never have to worry about getting a dud as you can return it. Also, if the game is too violent, etc., it's easy to return. These games are often $50 or more, so (they are) not cheap,” Long said.

ATTRACTING MILLENIALS
Walmart said it would not align trade-ins to a set loyalty program, but it expects the payout will be competitive and the resale prices to be low. This service is aimed at attracting new gamers to the market who might have been prohibited because of high entry-level prices.

Long said the service could attract more Millennial consumers to Walmart and Sam’s Club because the demographic is known for being gamers. He said video games are expensive and a trade-in service lowers the risk of purchasing a “lemon.” Lastly he said it should help to drive footsteps into the store to return video games that will also lead to incremental sales as consumers use their credit for merchandise.

“As long as the price paid is competitive to Game-Stop, I think this will be a winner for Walmart,” Long said.

Mac Naughton said new game releases drive heavy traffic into the store, and the buyback program will allow more gamers to trade-up over time and increase the overall size of the $2 billion market.

“Wal-Mart has led the way in forging entertainment exclusives, bringing streaming services and other intangibles into its portfolio and it makes sense to continue exploring these (service) options,” said Carol Spieckerman, CEO of NewMarketBuilders in Bentonville.

ELECTRONICS CONUNDRUM
The consumer electronics category has been a stinker for most retailers in recent years. There have been spurts of growth in mobile phones and services, as well as as tablets early on, but the category overall is in decline.

NPD Group reports that gaming sales were down 17% over the recent holiday period, typically a busy time for the category. In the recent quarter that includes holiday sales, Walmart U.S. reported negative comparable sales (mid single digit) in its entertainment category, which includes toys. Wal-mart noted in the recent earnings call that it was pleased with its marketshare performance, but it continued to face challenges related to ongoing entertainment industry contraction.

One of the main items in decline – big screen televisions – also gobbles up the most store space. This continues to present questions about how long mega TVs will be sold in physical stores and what Wal-Mart might do with all that space should they move TV sales online, like their chief competitor Amazon.

“In consumer electronics, determining which space-hog SKUs such as televisions to keep in-store and which can be moved online is an ongoing conundrum, particularly given the low margins,” Spieckerman said.  “Even though consumers increasingly think nothing of buying large items, I don’t see Wal-Mart clearing out the back of the store just yet.”

But what if they did?

POSSIBLE APPLIANCE PUSH?
Retailers Best Buy and h.h. gregg have already pondered whether to dedicate more consumer electronic space to large home appliances. Spieckerman said h.h. gregg has made a concerted effort to reduce its reliance on consumer electronics in favor of home goods. 

Wal-Mart already has the supplier relationships with top appliance brands through Sam’s Club. Given its buying power, Spieckerman said Wal-Mart could negotiate competitive prices against Home Depot, Lowe’s Home Improvement and Sears — the major players in kitchen appliance sales.

There are also add-on service fees for home delivery and set-up which could pad overall margins in this category. As more Millennials seek to set up new households, it would also be an opportunity to cater to those needs.

“For Wal-Mart, it would represent a new business that shoppers aren’t used to seeing in its stores. At this point, Wal-Mart would have a difficult time completely removing these units from stores, particularly given its new focus on tethering small formats to more well-stocked supercenters,” Spieckerman said.

She adds that the television walls create a visual “pull” to the back of the store without compromising the sight lines where large appliances would shut them down.

“I can definitely see how Wal-Mart could compete aggressively in large appliances as part of its overall technology portfolio, particularly given smart home technologies and ‘internet of things’ concepts that are set to gain traction,” said Spieckerman. “Given its rapid acceleration and expansion of product delivery options, site-to-store connectivity and its growing marketplace of online-unique items, Wal-Mart should be looking at ways to showcase expanded product offerings in its stores without dedicating space to inventory or even representative samples. Rather than making trade-offs between categories, this is the real opportunity, particularly as Wal-Mart accelerates its small format rollout. Out of sight, out of mind.”

The new Walmart to Go convenience store opened recently in Bentonville is not the retailer’s first experiment with the small-store format. Wal-Mart historians and former corporate officers told The City Wire that the first convenience store for the company was located in Springdale in the 1990s.

Also, the first Walmart Express was built in Flippin, Ark., and catered to campers, fishermen and outdoor enthusiasts visiting Bull Shoals Lake. The original express store featured a few freezers, convenience store fare and a drive-through McDonald’s.

Andy Wilson, a former executive officer for Wal-Mart Stores, said testing new ideas is part of the corporate culture. 

“Sam’s model was ‘Try it, fix it, then do it.’ he fostered a learning environment and back then we tried lots of ideas. Of course we were able to keep it quieter than they can today,” Wilson said. “The Wal-Mart culture has a low resistance to change and to stay relevant they are constantly testing and tweaking ideas to align with what customers want.”

One of the reason’s Wal-Mart abandoned the early test in convenience formats was because the one store in Springdale was located at the entrance to a former Sam’s Club on Thompson Avenue, according to Wal-Mart historians. The largest customer of Sam’s Club during the 1980s and 1990s were small convenience store operators and it was deemed a conflict of interest for the large retailer to compete with its largest customer base. The convenience store was sold in the late 1990s.

In 2003, Wal-Mart sold its McLane Company division to Berkshire Hathway for $1.45 billion. McLane is a distributor of cigarettes, tobacco and candy to convenience stores and other retail outlets.

Wilson said today selling convenience is a big deal to all businesses – retail and otherwise.

“You look at what Kum & Go and Casey’s General Stores have done to reinvent the C-store experience and it’s logical that Wal-Mart would try and tweak it’s own version,” Wilson said.

STORE PLANNING
Walmart to Go is roughly 5,000 square feet and contains around 3,500 SKUs (items), with 14 employees, according to Betsy Harden, Wal-Mart corporate spokeswoman.

Harden said Walmart to Go is not open around the clock, store hours range from 5 a.m. to 10 p.m. daily. Competitor Casey’s General Store located three blocks way is open 24 hours a day. She said there are no other Walmart to Go stores in the pipeline or planned. A former insider has told The City Wire that a second Walmart to Go store is being prepped in Orlando, Fla.

Wilson said the merchandising team likely spent a year planning for this one unique format. He said they studied marketing data to determine what products needed to go in store, designed the layout, evaluated competition and worked to reinvent what’s already there.

He said figuring out operational structure and replenishment and then tying those systems into the supply chain and ramping up efficiencies with the use of technology all goes into the store planning phase.

“It’s like building a puzzle, one piece at a time,” Wilson said. “A lot of planning went into this format and when the ribbon is cut on Wednesday (March 19), you can bet the learn and fix it modes will be activated.”

LEARNING LAB
One of the benefits of having a new format just a stone’s throw away from the corporate offices is the constant study possible within the various retail divisions. Wilson said executives will no doubt frequent the format, study the shopper behavior and learn as much as they can about consumer habits and preferences.

It can be a price-study lab, given that the products are branded, not private label and smaller portion sizes than what may be available in a supercenter or smaller grocery format. The retailer could also test higher prices – a trade-off for the convenience factor – in this small format.

Millennials are a demographic Wal-Mart wants to attract as they are often willing to pay more for convenience. The Walmart to Go offers quick meal solutions, prepared food and fresh fruit, all within a few steps of their car. With major pressure on drug store chains to discontinue tobacco sales, convenience stores could see a bump in volume, although this is declining category overall.

“It’s clear that Wal-Mart is keenly aware of what it’s losing in sales to more convenient formats. Let’s face it, it takes time to go to supercenter, it’s a commitment,” Wilson said. “Wal-Mart is exploring several ways to capture more of the fill-in dollar spend and the convenience format is just one of them.” 

He said Wal-Mart may find some new lessons in this c-store experiment that they may apply to other formats around the globe. Such lessons could drive more sales and reduce overall costs.

Downtown leaders Tuesday (March 18) moved to request more city funding in order to cover an overage in the cost of a planned splash pad at Compass Park after changes in the project bumped the cost to $350,000, about $50,000 over budget.

Originally, the Central Business Improvement District and the Fort Smith Parks and Recreation Department had agreed to jointly fund equal halves of the planned splash pad at a cost of $150,000 each. But after modifications, engineer Bobby Aldridge of Frontier Engineering said the price spiked.

The changes included adding so-called "fountains in a can," which would remove in-ground water jets in favor of 10 "can fountains," which shoot water and beam light from the ground during the evening hours. The change in design moved the cost for in-ground features of the splash pad from $62,000 to $117,900, almost double the cost.

Also adding to the cost, Aldridge said, was the addition of an above-ground filtration system that would be housed near the splash pad and would include infrastructure for possible future restroom facilities.

In order to fund the overage without having to cut features, the CBID voted to request the city take money originally allocated for relocation of the railroad maintenance facility behind Miss Laura's and instead use it to cover the overage on the splash pad and to pay for installation of screening and fencing to shield the maintenance yard from view of park goers.

According to Deputy City Administrator Jeff Dingman, use of the money was possible since talks between the city and Union Pacific Railroad have stalled regarding the maintenance yard relocation.

"We met with Union Pacific in October and they defined infrastructure costs," he said, explaining that Union Pacific's request for infrastructure such as new safety crossings would cost more than the city was able to afford on the project. Dingman added that "our idea was to exchange land," and that a little more than $200,000 was set aside to help with the maintenance yard relocation.

Dingman said the reason the money may be released by the city for use on the other two projects was largely because the city did not know when talks with Union Pacific would resume regarding the rail yard.

"We've not given up long term," he said. "But with an undefined timeline ... if we could define (dates on when we could move the rail yard), we'd still be working for it."

In addition to asking for money to fund the overage on the splash pad and pay for the screening, the CBID also approved a bid from local landscape architect Timothy Shale for $3,500 to design the screening that would divide the park and the railroad maintenance yard. The donation from Shale included a donation of $1,000 in landscaping.

In other business, CBID members heard from Michael LeJong of MAHG Architecture regarding the lighting of the Garrison Avenue Bridge.

The original proposal would have the CBID joining with the Arkansas Highway and Transportation Department and Oklahoma Gas and Electric (OG&E) to add aesthetically pleasing lighting to the bridge, versus the standard lighting that is on the bridge today.

LeJong presented several different options to the CBID to consider, ranging from multi-colored lighting under the bridge to installing period light poles on the bridge, similar to what is already installed down Garrison Avenue from the bridge to Rogers Avenue.

The CBID instructed LeJong to design proposals that would focus on lighting of the top of the bridge, removing any consideration for lighting the underside of the bridge. He has been asked to return to a future meeting with cost estimates for both full design and installation.

One month does not make a trend, but January hospitality tax collections in Fort Smith and Van Buren took a turn higher in January after both cities reported less than impressive collections in 2013.

January hospitality tax collections in Van Buren were $33,253, up 3.6% compared to January 2013.

Collections in Van Buren during 2013 totaled $423,221.83, remarkably close to the $423,222.91 during 2012. December collections were $32,071, down 1.2% from the $32,451 in December 2012. The city collects a 1% tax on lodging and a 1% prepared food tax.

The increase in Van Buren comes with mixed emotions for Maryl Koeth, executive director of the Van Buren Advertising & Promotion Commission.

“Following the pattern for the last year, lodging numbers are up significantly from January 2013 with restaurant collections lagging by 1.79% over the same period last year,” Koeth explained.

During 2012, Van Buren hospitality tax collections totaled $425,554, up 5.2% compared to the 2011 collections. Hospitality tax collections in Van Buren during 2011 totaled $429,561, up 2.34% compared to 2010. The 2011 collections ended a two-year skid in Van Buren.

FORT SMITH
January hospitality tax collections in Fort Smith totaled $56,025, up 13% compared to January 2013. The city collects a 3% tax on lodging.

Claude Legris, executive director of the Fort Smith Convention & Visitors Bureau, said much of the growth was attributed to a Baldor corporate meeting and a multi-state volleyball tournament sponsored by Fort Smith Juniors. Legris said January business was up 43% at the Courtyard by Marriott and the Holiday Inn City Center saw a 38% jump in January sales.

Collections in Fort Smith during 2013 totaled $731,057, down 2% compared to the same period in 2012. The gap in collections improved through the year with first quarter collections were down more than 6% compared to the 2012 quarter. For the fourth quarter, collections were up 0.62% compared to the 2012 quarter.

During 2012, Fort Smith hospitality tax collections totaled $746,182, up 5.37% compared to the 2011 period. The 2011 collections were up 4.3% compared to 2010.

ARKANSAS COLLECTIONS
Revenue from Arkansas’ 2% tourism tax set a record in 2013 by reaching $12.716 million, and the state’s tourism chief is predicting that 2014 could be even better for Arkansas’ tourism and travel sector.

The 2013 collections were up 2.5% compared to the $12.405 million in 2012, and well ahead of the $11.378 million slump in 2009 when national economic conditions proved tough on Arkansas’ tourism industry.

Richard Davies, executive director of the Arkansas Parks & Tourism Department, said the recent spell of cold weather around the country may result in people wanting to get outdoors when temperatures rise. Combine that with what Davies said is an improving consumer confidence, and the state could see more travelers in 2014.

Arkansas’ tourism sector (leisure & hospitality) employed 109,100 during January, up from a revised 106,900 during December, and above the 104,400 during January 2013. The January employment tally sets a new record for the sector. The number is subject to revision in future reports.

There’s hardly a single minute of downtime in a busy Walmart distribution center (DC), so the the three minutes it takes to recharge a forklift battery is not wasted because the retail giant works with Waterloo, Ontario-based Axonify to reinforce safety education through a gaming application.

Ken Woodlin, vice president of compliance, safety and asset protection for Walmart Logistics, said the retailer has used gamification to train its 75,000 workers on safety procedures over the past year. The results have been good enough for Wal-Mart to expand the program to its transportation department and broaden the scope from workplace safety to now include people-based safety.

Woodlin said it began slow, but now that the entire logistics team is acclimated the retailer is adding the next layer of training which entails safety around the clock.

“If you think about it, we want our associates to practice good safety procedures at all times, even at home because if you have an accident at home, you are still likely to need time off for recovery. We are also going to use the application to assist our truck drivers with their training for driver championships, which require a lot of tests,” he said.

PILOT TEST
Bentonville-based Wal-Mart Stores first began testing the use of game application to reinforce safety training in 2012. Carol Leaman, CEO of Axonify, a educational technology company, said her firm’s educational software platform works well in retail, particularly distribution warehouses that employ large numbers of dispersed workers.

“We built a software application that helped Pep Boys address safety issues with their workforce in 2012 and was introduced to Dave Gorman, a retired Wal-Mart loss prevention exec who thought Wal-Mart might have an interest,” Leaman said in a phone interview.

In mid 2012, Axonify began a six-month pilot with 5,000 Walmart logistics workers in eight distribution centers.

Wal-Mart declined to provide numbers relating to reduced incidents over the past year that the software has been used. But during the 6-month pilot the retailer had a 54% decrease in incidents among the eight DCs using the system, according to Leaman and Woodlin.

GAMING APPROACH
“Because of turnover and widely dispersed workforce it’s difficult for DC managers to know exactly what safety procedures employees are applying on the job. Our software gaming application takes just three minutes and provides a burst of information with two multiple choice questions intertwined with a game of their choosing,” Leaman said.

For those who don’t want the game there is a question only option. The game options include:
• Curvy Loop, which involves connecting two points with longest possible line;
• Quiz Show, which uses image hints to help solve a word puzzle; and
• Simon Says, just like memory sequence game of the same name.

Leamon said research shows repetitious learnings in short intervals tend to be retained much longer than 30-minute webinars or other formats that can provide information overload. By adding the gaming option with the brief tests, the user has the ability to do something fun, which also aids in memory retention. She said the competitiveness that is also part of gaming can help companies keep safety conversations going longer, which serves to reinforce the culture.

Woodlin said the effort to incorporate gaming in the safety training was an innovative approach as the retailer has a diverse workforce among four distinct groups — Traditionalists, Boomers, Gen Xers and Millennials.

Shanda Nickson, the human resource officer at the DC No. 6094 in Bentonville, said the gaming aspect has resonated with many of the users. 

“They accumulate points from the games they chose when they take three minutes each day to Axonify. It’s been fun to see the competitiveness come out when they discuss point totals and rankings. The games have also sparked more conversation around safety protocol,” Nickson said.

Nickson said the software application is accessible on multiple computers throughout the DC. There is one next to the battery charging station, that is commonly used by forklift drivers.

“It takes three minutes to charge the battery, and while that’s happening, they step over to the computer, log on to the Walmart wire and start the program. In other areas of the facility like loading, they log on after their break. They can test just one time per day. As an administrator I can pull data anytime to see what questions are missed most often, so they we can try and reinforce those areas when needed,” Nickson said.

The questions come from a data base and focus on core safety procedures. The software is intuitive and will repeat questions periodically if the user gets the wrong answer. The software also tracks the progress of each user.

AXONIFY
Leaman said since Pep Boys and Wal-Mart have each found value in their software other retailers have signed on.

“About half of our business is retail. We just signed a deal with Bloomingdales and two large grocery retailers who want to use the product for workplace safety training.” Leaman said.

The other applications for Axonify is industrial manufacturing and pharmaceutical sales training.

“Workplace accidents are a drain for retailers and manufacturers. Depending on the severity they can cause lost work hours, workers compensation claims and OSHA fines. Our system works to modify behavior and reinforce learning. Every minute in retail is critical given the thin margins of operation. Retailers are looking to cut costs anywhere they can,” Leaman said.

She founded Axonify in 2011, her fourth technology venture. The third venture she sold to Google in 2010.

Leaman’s grown Axonify from two to 35 employees in the past 2.5 years, adding 10 software developers and five project managers. She expects business to double this year as the company adds more customers.

The Sebastian County Quorum Court voted Tuesday (March 18) to accept a proposal by County Judge David Hudson to change certain operations and fee structures at Ben Geren Regional Park's golf course, while the Fort Smith Board of Directors approved a more than $2 million reservoir project at Chaffee Crossing and set legislative priorities for 2015.

The proposal presented by Hudson, following consultation with the Parks Advisory Board and the Golf Stakeholder Committee, will introduce new pricing options for users of the golf facility. The first change would introduce the Silo 9 Hole Course.

"The Silo 9 Hole Course is proposed for implementation in 2014 as a '9 holes in 90 minutes' course to be priced at $20, including the golf cart and greens fee," Hudson wrote in a memo to the Court. "In order to facilitate fast play, golfers will be required to use a golf cart to play that course."

The 9 hole green fee and golf cart rates are now $23 on weekdays and $24 on the weekend, he said.

The second rate change would introduce an annual unlimited golf plan, which would be priced at $1,200 for a calendar year, with seniors 62 and older receiving a 10% discount on the fee. Golf cart rental would not be included in the fee.

Before the Court considered the proposal, Fort Smith Regional Chamber of Commerce President and CEO Tim Allen addressed Court members, reminding them that recreation facilities are part of what he said draws businesses and families to the area.

"Sometimes you can't put a dollar figure on certain things in the community and maybe this might be one of them," he said.

"During the process of visiting with consultants and companies that are looking to locate here, or expand here, make huge capital investments and hire our citizens, sometimes in that process the amenities and all the qualities of life and quality of place come into play. They may not be on the front end, but they are somewhere in the middle. ... When they start deciding to locate to a community or expand and move some of their offices, they're also moving families. So the quality of life and the quality of place are a very important piece of the puzzle."

Allen's statement did not convince Justice of the Peace Shawn Looper, who argued that at some point the Court may need to look at whether it is necessary to continue funding the losses at the golf course, which are expected to be over $100,000 in FY2014.

"When I talk to people about quality of life, they talk about police, fire and ambulance. They have never spoke to me about the golf course. Police, fire and ambulance. Every time you lose $184,000 a year, it comes from police, fire and ambulance. It's money that you can't spend on that. So I would think when businesses talk about quality of life, they talk about police, fire and ambulance. I mean, he talks about families coming here. Would that not be something families would be interested in?"

Looper later said funding losses at the golf course when the money could be spent paying a better wage to jailers or providing the funding to other departments in need would be more beneficial than funding losses at the golf course out of the general fund.

Asked for a response to Looper's comments, Sheriff Bill Hollenbeck said he felt the Quorum Court was striking the right balance in funding all county obligations, including the golf course and his department.

"I think he brings up valid points, but I think you can have both if you balance it right. Just by bringing up that discussion, it makes sure that we all balance it right," he said.

The proposal was passed by a voice vote, without an audible "no" vote. The Court will take up a separate appropriations ordinance on funding the lease of golf carts at a later meeting. Hudson's proposal included a proposal to lease 70 carts for four years at an approximate cost of $37,000 per year, versus $58,000 to purchase 25 carts outright.

The Fort Smith Board of Directors approved a resolution that would fund the construction of the Chaffee Crossing Reservoir, the fourth and final project "for the purpose of providing water system improvements needed to support growth in the Chaffee Crossing and southeast Fort Smith area," wrote Utilities Director Steve Parke.

The Board also approved the following list of legislative priorities for 2015:
• Give cities the option of adopting a local preference of up to 5% for bidders with a place of business in the city;
• Apply the local preference to bids for commodities, materials, equipment, and services as determined by the city; and
• Establish a maximum preference of $100,000. This amount could be lower if a city chooses.

The recommendation is the result of the latest Board of Directors brainstorming session and was originally proposed by City Director Pam Weber.

The city's legislative priorities will now move to the Arkansas Municipal League with a request that it be included in the league's legislative priorities, according to City Administrator Ray Gosack.

When Ralph Overstreet bought a watch repair shop on Bentonville’s town square in 1948, the city had less than 3,000 residents, no one had ever heard of Sam Walton, and outsiders weren’t particularly welcome.

“Actually, when I moved here, they seemed to resent any new person that came in. … It was a small town,” he said. “Apparently, they didn’t much want to grow.”

Overstreet, 97, who still works six days a week repairing watches at Overstreet’s Jewelry, has watched a lot change since then. What was once a sleepy rural town is now a community of about 40,000, with lots more on the way, for lots of reasons.

Bentonville’s story starts, of course, with Walmart. In 1950, Walton opened his Walton’s 5 & 10 on the Bentonville town square, not far from Overstreet’s shop, and became a fixture in the community, eventually serving as Chamber of Commerce president. After opening his first Walmart in Rogers in 1962, he opened the company’s first distribution center and home office in Bentonville in 1971.

Today, Walmart employs more than 2.2 million people globally, including 1.3 million Americans and tens of thousands in Northwest Arkansas. In addition, approximately 1,250-1,400 of the company’s vendors have offices there, according to Tom Ginn, Chamber of Commerce vice president of economic development.

“Most of the larger ones are here, obviously, the ones that do the most business … If you have somebody that has a lot of SKUs on the shelf, then more than likely they’re in the area,” he said.

Walmart’s impact can be felt in many other ways, starting with the Crystal Bridges Museum of American Art. Funded by the Walton Family Foundation under the leadership of Sam Walton’s daughter, Alice, the 200,000-square-foot museum exhibits about 500 pieces of art at any one time, all free to the public. It has welcomed more than 1.2 million visitors since it opened on Nov. 11, 2011. About 120,000 visitors saw a traveling exhibit of Norman Rockwell paintings in 2013.

Diane Carroll, interim director of communications, said about 60 percent of the visitors have been from Arkansas and another 20 percent from touch states, which means the other 240,000 have come to Bentonville from farther away. The museum counted 220,000 visitors who walked its beautiful outside trail last year.

The museum, which employs 150-200 full-time and part-time employees, hasn’t tried to estimate its economic impact, but its cultural impact is immeasurable. A wide range of art-making classes and programs are offered to the community. A program sponsored by the Walker Family Foundation pays all expenses for Arkansas schoolchildren to visit the museum. As of late January, 39,000 students have come. Meanwhile, artwork by Bentonville schoolchildren is displayed around the museum’s education area. Fellow museum professionals, art teachers and students converge at the museum to study, learn and collaborate.

The museum is in the third year of a four-year art-sharing partnership with the Louvre and two other museums. One of Crystal Bridges’ portraits of George Washington is currently in France. The museum’s culinary department brought New York’s James Beard Foundation to Bentonville to sample the Southern cuisine. In return, its chefs were invited to New York to display their craft. “It really elevated our regional cuisine to a national spotlight,” Carroll said.

DOWNTOWN REBIRTH
Crystal Bridges has been a catalyst for a rebirth of the downtown area.

The 21C Museum Hotel, part of a small chain of upscale hotels that display contemporary art, recently opened a 104-room facility just off the town square. Last year, the website TripAdvisor declared it the country’s number one “Hot New Hotel.” Anticipating a runoff effect from Crystal Bridges, the city has designated a downtown arts district where it expects galleries to open.

The museum was announced in 2005. Realizing how close it would be to downtown, Mayor Bob McCaslin and the city undertook a campaign to renovate the town square. In 2007, Bentonville voters easily passed five initiatives to raise the city sales tax by one cent to pay for a $110 million bond issue, part of which paid for the renovation. With its new look and the Crystal Bridges attraction nearby, the downtown area has gone from two or three restaurants to about 14 eateries counting food trucks, according to Kalene Griffin with the Bentonville Convention and Visitors Bureau.

More retail shops have opened, and the Walmart Museum, located in the old Walton’s 5 & 10 building, has undergone a major renovation.The new Midtown Shopping Center, built by Walmart, will feature retail spots including a Walmart Neighborhood Market grocery store as well as offices and a parking deck.

The city offers many other cultural amenities, with more on the way. Proceeds from the bond issue and other contributions are funding a $16 million, 80,000-square-foot recreation center. Just off the town square is a splash pad that converts into an outdoor ice rink during the winter months. There’s also a Museum of Native American History, and a new interactive children’s museum, the Amazeum, is opening in two years.

The fortunes of the city and the fortunes of the region are interconnected. Northwest Arkansas consists of a string of suburb-sized cities without an urban hub that work well in concert.

Mike Malone, president and CEO of the Northwest Arkansas Council, an economic and community development agency that supports the region, said the council developed a five-year plan in 2010 that included 56 projects. Of those, 53 have been completed, or work is underway. Among its goals was the widening of Interstate 540 from four lanes to six, which is happening because of the half-cent sales tax passed by Arkansas voters in 2012. Work is being completed on the Northwest Arkansas Razorback Greenway, a 36-mile walking and biking trail meandering through six downtown areas. Wayfinding signs pointing to attractions will have a consistent look city to city.

Moreover, Northwest Arkansas cities accept that an employer that locates in one community benefits all of them, so economic developers usually compete as a region, Malone said. The region will get on more potential employers’ radar screens when the population tips past 500,000, which is only 17,000 residents away. The area’s visitors bureaus share that spirit of cooperation. While there is friendly competition, Griffin said cities don’t suffer from “Friday night syndrome” – historical rivalries that get in the way of progress. After all, it’s hard to tell where one city ends and the next begins.

“If somebody calls me about a meeting that we can’t service, that’s too large for us, my goal is to pass it on to Rogers and Springdale and Fayetteville,” she said. “If it’s going to come, I want it to come into Northwest Arkansas because the city of Bentonville will benefit from it.”

GROWTH MODE
Bentonville’s population has doubled since 2000, which means that the Bentonville School District educates a student population that grows by 500 students a year. Voters last year approved a 2.9-mill increase to build a second high school. A larger request was rejected in 2012, but the school district scaled back plans to a smaller facility and arranged that both schools will share one football field – an appropriate Walmart-like efficiency. In fact, Walmart helped the district pass the millage.

Superintendent Mike Poore and school board member Becky Koontz visited then-Walmart president and CEO Mike Duke at the start of the effort asking for support. That led to a luncheon meeting with about 30 executives who, Poore said, “picked us apart for over an hour.” Poore later spoke to a larger Walmart audience, and the company sponsored a community survey that helped supporters tighten their message.

Poore, who came to Bentonville from Colorado, said leading the Bentonville School District involves a unique set of challenges and rewards. The district must assimilate many transient students, some from other countries. It educates executives from Walmart and its vendors, so expectations are high.

So, however, is the support the district receives. The Indian conglomerate Tata is helping the district with technology. Each month, the community hosts a First Friday event that brings booths, activities and musical acts to the town square. One month, the school partnered with Nickelodeon. Not long afterwards, Poore received a call from Disney asking why it hadn’t been involved.

“There’s things like that that happen on a pretty cool and regular basis here (with) people reaching out to us to say, ‘We’d like to partner with you and we want to support you,’ and I’ve never been a part of a community that gives more,” Poore said.

BLUEPRINT FOR OPPORTUNITY
Graduating Bentonville High students can drive half an hour south to the University of Arkansas, or they can stay in town and attend Northwest Arkansas Community College. Dr. Evelyn Jorgenson, the chancellor, said the school serves as a feeder for the university as well as a “safety net” for UA students who don’t thrive in the large freshman classes there. NWACC has created a track for students to transfer smoothly to the UA’s Sam M. Walton College of Business, and the two colleges have matriculation agreements in a number of other areas.

Credit enrollment is down about 6 percent to 7,546 students – a drop Jorgenson said was caused by an improving economy that attracts people to the workforce instead of college. However, non-credit enrollment has reached 6,000. Students in this program train for specific skills needed by employers. A retail analyst program, unlike any in the country, requires 45 weeks of classes to learn to run a proprietary software system used by Walmart and its vendors. Students who complete the program don’t get college credit, but they do get job offers.

Mayor McCaslin arrived in Bentonville in 1996 during a 30-year career moving from city to city with Kraft Foods and was elected mayor in 2006. He said getting elected without deep roots in the community wasn’t a problem. He guesses there were more residents from without than from within by about 2000, when the city was half the size it is today.

“Most people that come in, they’re looking for friends, they want to establish relationships, and it’s been our experience that the friendliest communities often are the transient communities. … It just seems like a lot of people are hungry for friends,” he said. “I will tell you it’s been my experience that I’ve never seen a region that assimilates outsiders any better than Northwest Arkansas.”

The city is finishing a strategic economic development plan known as the Bentonville Blueprint. The objectives are to increase the livability of the area and target businesses and industries that complement existing entities as well as fill in holes.

Among the city’s challenges is land. Scattered subdivisions have been built to accommodate new residents, reducing the space for commercial properties. Meanwhile, the city is a bit landlocked, with Rogers to the south and east and Bella Vista to the north and west. There are corridors to the northeast, but also some hilly terrain. Moving forward, the city will have to fill in the empty areas, which it can do with planning. In fact, the Chamber of Commerce’s Ginn said it could more than double in size and still have the same population density.

Traffic will be a problem then, just as it is now. In fact, the entire Northwest Arkansas region suffers from a lack of roadways. Mayor McCaslin acknowledges that’s an issue. However, there are worse problems to have.

“Where you have traffic,” he said, “there’s something going on to cause that traffic to be there.”

GOP gubernatorial candidate Asa Hutchinson proposed creating regional “Workforce Education Councils” to better assess worker needs for employers and to streamline funding for workforce education in Arkansas.

The plan calls for eight workforce groups would require high schools, two-year colleges, and local employers to assess jobs needs across their regions and to coordinate a plan of action for educating potential workers for those available jobs.

“My number one priority is economic growth and job creation in Arkansas,” Hutchinson said. “If we are serious about growing Arkansas’s economy, then we have to be serious about training our workforce. We have an opportunity to create a competitive edge in recruiting industry to Arkansas. We are competing for jobs in the global marketplace and the jobs will flow to those states with the skilled workers and with an educational system that matches the training to the technology of the workplace.”

Hutchinson said the plan goes beyond the proposed workforce education changes announced in late February by Gov. Mike Beebe and Sen. Jane English, R-North Little Rock, who changed her vote on the private option in support of a workforce overhaul.

Hutchinson said his plan would offer an accountability for nearly $34 million being spent on workforce training. He said his councils would have six months after formation to present a plan for their efforts.

“The goal of this plan is to take advantage of the renewed focus in the United States on the return of manufacturing from overseas,” he said. “Arkansas is in a perfect position to compete in the world marketplace for the thousands of manufacturing and technical jobs that will be created in the next decade.

Mike Ross, the Democratic frontrunner for Governor, issued a statement through his spokesman, Brad Howard.

“It’s ironic that after a career in Washington voting and lobbying against Arkansas’s working families, Congressman Hutchinson has finally tried to own up to the problems he helped create,” Howard said. “After all, Congressman Hutchinson voted for trade policies that shipped our jobs overseas and lobbied for big corporations that outsourced good-paying jobs to countries like India and the Philippines. Perhaps if Congressman Hutchinson had spent more time here in Arkansas rather than living, working and lobbying in the Washington, D.C., area, he would have recognized the harmful effects of his record much sooner.”

The race for the U.S. Senate is not the only big senate race happening in the Natural State and political observers are starting to take notice. The District 9 Senate Republican primary, which will pit incumbent Sen. Bruce Holland of Greenwood against Rep. Terry Rice of Waldron, will take place May 20 and already tens of thousands of dollars are pouring into the race.

Holland in his most recent campaign contribution and expenditure report reported raising $71,370 in his race, while loaning himself $10,048, since the campaign started. Of the more than $81,000 he has raised, he has already expended $37,769.

Rice, on the other hand, reported total loans of $50,000 and contributions of $13,774 to his campaign. His total expenditures have totaled $42,500.

Combined, the campaigns have brought in just more than $145,000 in contributions and loans while having spent more than $80,000. While the numbers may seem large, Director of Client Services Chip Paris of Williams/Crawford & Associates — a consultant who has worked on Republican campaigns — said they should come as no surprise.

"Really, there's nothing that stands out to me as an outlier or anything that would be off the mark," he said. "You've got some (evidence that) clearly they are setting themselves up for their campaign. They are paying their consultants. And in the case of Rice, he's already (paid) some dollars for billboard advertising."

Paris said such expenditures would be necessary in a large district which spans multiple counties, such as District 9 which spans Crawford, Franklin, Scott and Sebastian Counties. Getting the word out in those counties of who a candidate is requires money, he said.

"When you consider this geographic race, that makes sense. Inherently, outdoor boards are an expensive proposition. When you go out over four counties, that can eat up your budget quickly."

The amount of money raised, loaned and spent so far this year is less than the total of $250,000 raised between the three candidates in the 2012 race, which saw Holland defeat Rep. Rick Green, R-Van Buren, in the primary and Green-endorsed Rep. Tracy Pennartz, D-Fort Smith, in the general election.

But President Jason Willett of FLW Consulting, a former chairman of the Democratic Party of Arkansas, said with another seven weeks left in the run up to the May 20 primary, it is likely much more money will pour into the race. He compared it to the recent special election to fill a vacancy in Senate District 21 in the Jonesboro area.

"In that race between the Democrats and Republicans in the special election ... they spent almost $600,000 here in Craighead County in the 2014 (special) election,” Willett said.

The winner of the Democratic primary, businessman Steve Rockwell, himself spent just shy of $250,000 to win the primary and lose the general election, according to filings with the Arkansas Secretary of State's office.

That kind of money, Willett said, could become the norm in races across the state, including the primary between Holland and Rice. He said in addition to the money raised and spent by the candidates themselves, outside groups are likely to start involving themselves in more and more races, including Americans for Prosperity, which spent untold sums in the 2012 election against incumbents last go around.

"It just shows that the free spending and high priced agenda politics has moved into Arkansas," Willett said.

The topic he said is likely to be the focus of any outside groups who decide to involve themselves in the District 9 race, as well as other Republican primaries across the state, is the Private Option, which uses money meant for funding Medicaid and instead purchases private insurance for qualified individuals. It was billed as Arkansas' alternative to fully implementing Obamacare in the state.

According to Willett, Holland's vote for the Private Option could become red meat to Rice, his supporters, and outside groups looking to syphon votes from Holland by pushing his vote to the forefront while at the same time highlighting Rice's no vote in the 2014 fiscal session of the General Assembly. Referring again to the District 21 race, he said opposition to the Private Option swayed voters.

"What gives Terry Rice the edge is voting against the Private Option, while Holland did not. I think you'll see that that plays a key role," he said. "Holland was the crucial vote for Obamacare (the Private Option), that's what the commercials (will say). I think with Rice, you saw politics play a role in his vote against the Private Option."

He pointed out that the District 9 race will essentially be a re-match of two consulting groups that were heavily involved in the District 21 race, Impact Management Group, which worked for anti-Private Option Republican John Cooper — who won the primary and went on to easily win the general election — and Diamond State Consulting, which represented Republican Chad Niell, who Willett referred to as "the more common sense Republican" who came in third place.

Impact is now representing Rice while Diamond State represented Holland in 2012, though campaign contribution and expenditure reports filed for 2014 do not make clear which consulting firm is representing Holland this year.

Paris said regardless of what other campaigns have looked like, including Holland's 2012 campaign or the recently concluded special election in District 21, those races themselves cannot be used as the only predictors for what the District 9 race will look like.

"Like we talked about earlier, each and every campaign I've ever worked on is completely unique," he said. "Anybody who tells you that there's a cookie cutter approach to it is misleading you. It's dependent on the personality you're dealing with, the race for the office, the geographic area and within each of those there are multiple things you can talk about. But what worked for one state representative may not work for another state representative. You have to take that into consideration when plotting your strategy."

And according to Paris, while there are only seven weeks left, a lot about this election will be unknown until it comes to the final few days and weeks. He said both sides will likely roll out TV ads, as well as direct mail pieces, which will require a lot of money to pour in.

"What you'll see getting close to that May 20 election, both sides will ratchet that up a bit (with ads, mailers and other strategies). There's also a strategy that when one candidate sees another candidate doing something, the other will want to do the same thing."

Home sales in Crawford County more than doubled in volume in February compared to the same month last year, while Sebastian County totals fell nearly a quarter percent.

According to real estate agent Vickie Davis with Sagely & Edwards Realtors in Fort Smith, the reason for Crawford County's strong numbers have to do with the renewal of the Farm Bill, which continued the Rural Development Loan program.

"When they apply for a loan, they don't have to have the down payment," she said in explaining the loan program. "The down payment can be worked in. They're able to just get a better deal as far as financing."

She said that is why Crawford County's sales volume of $4.458 million  on 36 homes last month was 126.01% larger than in February of last year, which only saw sales of $1.972 million on 23 homes.

In Sebastian County, sales last month total $9.981 million on 77 homes, while February 2013 saw $12.676 million on 91 homes, a 21.26% drop.

Numbers for the first two months of the year show Crawford County continuing its strong showing, while sales in Sebastian County are flat.

For January and February, home sales in Sebastian County were $19.159 million from 151 home sold, only increasing 0.72% from the same period last year, where 143 homes were sold on volume of $19.022 million.

North of the river, Crawford County clocked a 78.25% increase in sales volume during the first part of this year — $8.348 million on 74 homes sold in 2014 versus $4.683 million on 50 homes sold during the same period in 2013.

Davis said home sales in Sebastian County should increase in the next few months, while Crawford County's numbers may slow down slightly.

"I think they'll fade just a tiny bit (in Crawford County)," she said. "I don't think it will be a bottom out situation, but they'll come down just a little bit because everybody was trying to beat that (deadline) to receive the (Rural Development Loan) financing."

She said individuals in the real estate and the finance business should expect sales to increase as temperatures warm.

"Spring and Summer are really good times, as far as home sales. It’s because the weather is good and people are trying to get settled in before the school year starts. People don't like to move their kids in the middle of the school year."

While economic recovery and job growth have been happening in Fort Smith, Davis said foreclosure activity has and will continue to be a drag on the housing market.

"A lot of people are upside down right now and letting the homes go back to the bank," she explained, adding that while some people expect to get steals when purchasing foreclosed homes, it is not often the case.

"A lot of times you don't get the good price you'll think you'll get. Yes, they're reduced, but a lot of times when you get foreclosed homes you're just purchasing it (as is). If you're buying from someone, the person will fix the repairs. When you get a foreclosed home, you have to repair yourself. …If you look around, it's not as good a deal as you think. Usually, you're going to have to go in and do a lot of extra work."

As more development continues to pop across the region, bringing jobs with it, she said it is likely that many of the homes sold in the region would be newer homes while older homes are likely to sit on the market long.

"You have people moving in for these jobs and you have people wanting to move into the new subdivisions for the matter of resale. If you have a development they're still building in, they'll have good resale. …New homes are still going pretty good. I'm having a harder time selling the older ones. The new ones seem to sell easier."

Home Sales Data
(January - February)
• Crawford County
Unit Sales
2014: 74
2013: 50

Total Sales Volume
2014: $8.348 million
2013: $4.683 million

Median Sales Price
2014: $101,000
2013: $89,000

• Sebastian County
Unit Sales
2014: 151
2013: 143

Total Sales Volume
2014: $19.159 million
2013: $19.022 million

Median Sales Price
2014: $104,500
2013: $111,250

There are $415 billion reasons Wal-Mart is testing its first convenience store just three blocks from its home office and Walmart Store 100. The big box titan is determined to win more than the 10% marketshare it has for the quick-trip spending consumers do mid-week or when they are crunched for time.

Walmart to Go celebrated its grand opening on Wednesday (March 19) and though it’s been more than a year in the making, the real works starts now, according to Kelly Williams, manager of the hybrid convenience store.

Williams has spent the past decade as an assistant manager for a nearby Walmart Supercenter. Williams said he’s comfortable seeing lots of management in the store. He’s accustomed to it having worked so long in store 100, which is directly across the street from the home office.

TETHERED TO THE SUPERCENTER
Scott Swenson, store manager of Store No. 100, said this 5,000 square-foot convenience format is like his son. The junior is tethered to the senior store in that all products going into the convenience format are replenished from Swenson’s supercenter down the street.

“We have about 10 drivers who actually bring the products from the supercenter in a temperature controlled van restocking the convenience store every night. They are my overnight crew. Before the convenience store closes at 10 p.m. they send over a pick list, my group pulls the items and then restocks the convenience store around 4 a.m. before it opens at 5. During the day, we can also get product down here as needed,” Swenson said.

The cash registers in the convenience store are tied into the replenish system at the supercenter and Swenson said so far restocking the convenience store hasn’t been challenging.  

“For now we are closely monitoring the product mix to make sure we have the items our customers are looking for ... the market fresh and bakery items have been big movers along with the coffee and the F’real blending bar. The Bentonville Butcher & Deli has also been a big draw to the store,” Swenson said.

The Bentonville Butcher & Deli staff said they serve breakfast items until 10:30 a.m. each day and they then switch to lunch and dinner and feature a daily special entree. The deli closes at 8 p.m. daily, which is an hour later than its flagship deli/market down the street. These employees do not work for Wal-Mart.

PRICE CONSISTENCY
“The one differentiator we have against other convenience competitors is low pricing, said Deisha Barnett, Wal-Mart corporate spokeswoman.”The product mix may change from time to time, but the prices will be consistently low.”

The City Wire conducted a basket price comparison on Tuesday (March 18) of 15 items sold at the Walmart to Go, the nearby supercenter and a Neighborhood Market located 1.8 miles away.

Walmart to Go carries roughly 3,500 SKUs, or individual items, and many of those are consumer packaged goods. The City Wire shopping list included:
• Sara Lee white bread
• Tide Pods
• Angel Soft toilet paper
• Huggies diapers
• Jiff peanut butter
• Smuckers jelly
• Starkist tuna
• Miracle Whip mayo
• Classic Lays potato chips 
• Blue Bell ice cream
• 2% Milk - gallon 
• Cheerios
• Raisin Bran 
• Beneful dog food
• Glade aerosal spray
• Nestle bottled water (28 count)
• Duct tape

It took 10 minutes to find and fictionally purchase these items at Walmart to Go. There are no grocery carts, but there are handheld shopping baskets, but store attendants said they are available to help customers get items to their car.

At the Neighborhood Market less than 2 miles away, the same shopping list took 22 minutes to locate and fictionally purchase. That included securing a parking spot and using self check-out with no waiting.

The same experience took 35 minutes to accomplish at the supercenter just three blocks north of the convenience store. Just like at Neighborhood Market there was no waiting for self-check out, but the difference in time spent was the longer distance to the back of the supercenter for the milk and then having to go to the other side of the big box for the duct tape. Parking at the supecenter was also twice as far away as the two smaller venues. During this shopping trip the distance walked was slightly more than a half-mile.

The items were consistently priced at all three formats — 14 items were priced exactly the same, the bottled water at the supercenter did not have a price listed on the shelf, but it was $3.48 at the other two stores. Total spend, excluding the water was $47.60 at all three formats. 

The retailer looks to be selling convenience in this new hybrid format. The real savings came in time, something there never seems to be enough of for most consumers today.

If time-strapped consumers shop more often at the convenience store for their grocery items, keeping the small store replenished could prove challenging. Barnett said there are plenty of eyes watching that issue.

He may have left the Fort Smith Board of Directors in 2012, but former City Director Don Hutchings is hoping the the goodbye will not be permanent.

Hutchings, the senior pastor at Evangel Temple Assembly of God in Fort Smith, confirmed Wednesday (March 19) that he would seek a second full term in what he hopes will be a return to the Board later this year.

Initially declining to run for re-election in 2012 due to a building project then in planning at the church, it will likely come as little surprise to many observers of city politics that the minister is looking for to return to the Board, as he has attended Board meetings as an audience member for the last several months. He said a return was possible due to his church's building project getting funded and off the ground.

"We're building an $8 million facility across the street (from the current sanctuary). I needed time to meet with builders, architects and the church. It's (now) running better than I ever imagined and I feel like it's alright to come back on the Board — if the voters will have me."

Should he be successful in his bid to replace retiring City Director Philip Merry, Hutchings said he wants to make it a priority to get citizens involved in their city government.

"Coming to the meetings, it's interesting to see who doesn't come. Like last night (March 18), most of the room was empty. Sitting in the audience, you get a new perspective. So we've got to get more of our people plugged into our process."

Reflecting on his service on the Board from 2009 to 2012, Hutchings said there were many successes, including the hiring of City Administrator Ray Gosack and the lowering of monthly sanitation rates, along with "about 100 other great things that happened."

The Board of Directors, he added, has continued to work hard for the people of Fort Smith.

"I don't have any criticisms of the Board. I have a new respect for the Board as I sit back as a spectator. I realize how important they are and how hard they work. And actually, it's given me a greater appreciation of what the administrator, the mayor and the Board do for our city."

Should Hutchings win a seat on the Board, he said his primary focus would be on attracting more high tech jobs to the Fort Smith region, as well as working with small businesses, adding that his previous term on the Board was spent "trying to help them with the process of establishing businesses here in the community."

But if there is one thing he hopes to correct, it is perceived problems with how the city's planning department works with developers and homeowners.

"I served for five years on the planning commission and I didn't realize how much time that the planning department takes with potential new businesses," he said. "But there's evidently a problem with some communication not being as efficient as possible. There are some hoops to jump through, but every city has that. It is a challenge that will always be there, but we can make it better. Training, education, awareness that this is how it works. …My goal is to not assume that people know, even if they're asking questions, but to walk them through."

As for how Hutchings — who has already given up serving on the Board previously due to obligations to his church — plans to balance his service to the city and his obligation to his growing congregation should his election prove successful, he said it would be a challenge, but it would be no different than the last time he was on the Board.

"God has blessed me with a tremendous staff of ministers. We have seven full-time pastors and something I really wanted to stress is the church life and the city director life would never interfere with each other. I never talk about (political) issues from the pulpit. I never use our facility or our people (for political purposes)."

He added that dividing his obligations between the two would simply come down to time management.

"I never knew until pastoring how much joy, but also how much time management, there is. But it's not a big problem."

The filing period for city director and mayor will open May 14, according to City Clerk Sherri Gard, though she said packets are already available for pickup at her office, located at 623 Garrison Avenue. So far, she said Hutchings and two other unknown individuals have collected packets for the Position 7 At-Large director position.