HI council passes 1st reading of business licenses ordinance

The Holiday Island City Council has taken the first step in establishing license fees and penalty requirements for businesses in the city.

At its regular monthly meeting held Tuesday, Dec. 19, the council voted 4-1 to approve the first reading of Ordinance No. 2023-020, getting one step closer to completing a process that has taken many weeks of workshops and debates to put together.

“… Business licensing ensures that businesses operate legally and safely, provides for the protection of the public’s health, safety and welfare, and provides accountability for business operations in the city,” Holiday Island Mayor Dan Kees read as part of the ordinance. “…A business license registry allows for better communication between the city and businesses, should the city need to communicate on a pending issue. … A business license registry assists the city in evaluating the economic health of the city and in determining the needs of and opportunities for the city. And … business licensing in Holiday Island will increase the public trust and confidence in the city’s businesses.”

According to the rules and regulations for businesses attached to the ordinance, “A business license shall be required for any person, firm, individual or corporation that engages in, carries on or follows any trade, business, profession, vocation, or calling in the City of Holiday Island, including any business, occupation, institution, corporation, entity, sole proprietorship, or other non-governmental entity which operates within the Holiday Island city limits unless exempt by state law.”

Religious entities and non-profits are exempt from the license requirements, the ordinance reads.

Other highlights of the ordinance include the stipulation that anyone who rents out one or more “long-term dwelling” units must obtain a business license while anyone who operates a short-term rental must obtain a business license “after receiving a Conditional Use Permit issued by the City of Holiday Island.”

Business licenses must be applied for, with annual fees between $25 and $150 depending on the type of business. Hotels, motels and timeshare nightly rentals will have an annual fee of $5 per rental unit, according to the ordinance. Manufacturing facilities will have a fee of five cents per interior square foot, the fee for storage unit facilities will be $5 per rental unit and storage yard facilities will pay $50 per 0.25 acre.

Apartment complexes will pay an annual license fee of $10 per dwelling unit, any animal boarding/day care will be charged $2 per animal capacity annually and long-term business leasing properties will have a fee of $25 per business.

The ordinance includes the city’s code enforcement officer stepping in and assisting with violations and the city also relying on state laws and due process hearings for offenders.

Discussion about fees continued at the Dec. 19 meeting and council member Pat Elwood — the lone dissenting vote on the first reading — maintained concerns about confusion for individuals who work from home for companies outside city limits.

“I don’t think there’s anybody in Holiday Island who is working for another company or working at home as an employee of another company who would feel, who reading this would feel they had to apply for a business license,” Kees said in response to Elwood’s concerns, before eventually telling council members “I’m not going to allow this to turn into another workshop. I’m just not going to allow it.”

OTHER BUSINESS

In other council action, a unanimous vote approved a resolution for “publishing, posting and notification requirements for the city of Holiday Island.”

The approved resolution states that Arkansas law requires publishing public notices in an official newspaper of record, but since Holiday Island doesn’t have a newspaper within its “corporate limits of the city,” an affidavit of “no newspaper” will be filed and instead, public notices will be posted on five “bulletin boards” around the city.

Typically, public records for cities and school districts in Carroll County have been published in the Carroll County News, the official “newspaper of record” for the county.

The five public places the certified documents will now be posted will include bulletin boards at the following locations:

• Entrance of city offices, 5 Forest Park Drive, Suite G.

• The north wall of Sun Fest Market Cafe, 1 Forest Park Drive.

• The outside entrance to the ballroom at Holiday Island Country Club, 1 Country Club Drive.

• Outside the district office at 110 Woodsdale Drive.

• Inside the district office board room at 110 Woodsdale Drive.

“Documents will be posted with 10 days of adoption and shall not be removed fewer than 30 days after approval and effective date,” the resolution reads. “Links to certified copies of the documents shall be made on the City website: cityofholidayisland. com.”

The council also approved a resolution outlining the city’s operating budget for 2024.

The budget includes an estimated revenue general fund of $331,550 and general fund appropriations at $394,435. Street fund revenue is estimated at $301,292 with appropriations at $300,000. In total, revenue is budgeted at $632,842 with a total of $694,435 in appropriations.

In addition, “extraordinary expenses of providing a Code Enforcement vehicle, radio upgrade for the fire department and CSA software upgrade to be covered using surplus carryover cash in the General Fund,” the resolution reads.

Another resolution passed by the council was to establish a temporary building permit fee refund policy.

COUNCIL MEMBER STEPS DOWN

During his comments, Kees announced that council member Jerry Pittman has submitted a letter of resignation, effective Jan. 1.

“I have some serious physical and medical issues that prevent me from adequately fulfilling those duties,” Pittman wrote in the letter read by Kees.

Pittman defeated Barbara Talbot 776-558 in the November 2020 election for the Ward 2, Position 1 seat. Kees said he would research the steps in selecting a replacement council member to complete Pittman’s term.

In an email sent Wednesday, Dec. 27, Kees said that state law requires the city council to elect a replacment for Pittman at its next regular meeting, scheduled for Jan. 16.

“Consequently, they will be wanting to hear from anyone currently living in Ward #2 who is interested in serving on the council. Any interested party can also contact me and I would make the recommendation to the council,” Kees said in the email. “All council positions, including Jerry’s position, will be up for re-election in the November, 2024 election.”