The Magnolia City Council discussed the business license issue Monday afternoon, and agreed to postpone any action and call another meeting next week.
Alderman Jamie Waller reported the Business License Committee had met twice “and had a lot of discussion. What we came up with as a committee was to recommend a $100 across the board fee with a variance for companies that had only one employee and they would only be charged $50.”
City Attorney Mike Boyd said based upon what he had been advised, in the ordinance there were two different ways they would charge business licenses, with one based on inventory. “Based upon what I was advised about your committee’s decision,” he said, “there’s no need for the inventory ordinance any longer so I drafted what you have now, a new amended Ordinance 10-27 that repeals that section that’s related to the business inventory.”
“Because this is such a major change in the ordinance that was first read, you’ve eliminated all categories, so we’ll need to do another reading of both of these ordinances,” Boyd said.
“We have been over this and over this and after the last meeting, I’ve just had some reservations and I’m just wondering if we might could re-visit it one more time,” said Alderman Sam Whitelaw.
Boyd said if it is amended further “if it’s a minor change it’s not going to require you to start the process all over. If it’s a major change my recommendation is to start the process all over.”
“I definitely would like to meet again. I’ve had some reservations over the weekend,” said Alderman Kelli Souter. “I just don’t want to make a rash decision.” Alderman Steve Crowell indicated he would like to meet again as well.
Rachel Waller, city clerk, read the first reading of amended Ordinance 10-27, revising the schedule of license taxes based on business inventory. She then read the first reading of amended Ordinance 10-28, revising the schedule of license taxes based on classification of businesses.
The council heard the second reading of an ordinance (by title only) to rezone 1820 E. North from C-3 to C-2.
Patsy Bentley, a resident of Marcella St., addressed the council and asked them to consider how such a rezoning would affect property values in that area several years down the road, depending on what type of business was located there.
The council heard the first reading of an ordinance establishing rules and regulations addressing mobile food vendors operating within the city limits.
Dr. Trey Berry, Southern Arkansas University president, spoke to the council and explained that approximately 650 Indian students would be attending classes at the Business Park, commuting from various areas. “These students of Hindu persuasion, they have a lot of specific needs as far as foods are concerned,” he explained. “They are in definite need of establishments to eat. We do not have the facilities to feed these students. We tried that last year and could not get it just right.”
After discussion by the council members, it was decided this issue could not be settled in Monday night’s meeting, and another meeting would be required.
“Your work is not done. This just starts it for you,” Boyd said. “Clearly not all of it is here (in the ordinance wording). There’s still work to be done.”
A special council meeting is expected to be called next week.
The council heard a request by the Magnolia Economic Development Corporation for 80 percent of the city sales tax designated to economic development. Mayor Parnell Vann explained that Phase II of the E. North project had been paid off early, which was to be paid off in February 2017. “MEDC is requesting 80 percent of that tax revenue generated from this date through Dec. 31 of the current year. As you know each January we negotiate with them on what they do for us, and we do contract with MEDC to do our economic development,” he said. “So they’re currently asking from this point to Dec. 31 for 80 percent of the tax revenue generated that we pay monthly, to go to them.”
MEDC currently receives 40 percent.
Council members unanimously approved this request.
Vann updated the council on a proposed waterpark facility. This proposed project “is going to take all of us,” Vann said, adding “it’s going to be a big impact on our city.”
A town hall meeting is set for Tuesday, Sept. 13, at 5:30 p.m. Financial representatives, the architect, and engineers for this project will be on hand to speak.
In other business, the council:
•Approved Farmers Bank & Trust’s bid of 2.149 percent interest on financing street paving work. Vann said work is expected to begin next Wednesday.
•Approved a resolution amending the police budget by $53,537 for the purchase of additional equipment for the police department.
•Approved a resolution supporting the passage of a proposed amendment to encourage job creation, job expansion, and economic development.
•Approved a resolution condemning a structure at 719 W. Monroe.
•Agreed to re-appoint Mike Waters to another five-year term on the Magnolia Housing Authority Board.
•The next City Council meeting will be Monday, Sept. 26, at 5 p.m. in the council chambers.