Survey puts city on track for grant funding

Residents in a specific area of Eureka Springs have been responsive to a recent survey, putting the city on track to qualify for grant funding that could eventually benefit those households.

Eureka Springs City Council member Rachael Moyer, who has spearheaded the city’s efforts to conduct a Low- and Moderate-Income survey, gave an update on the city’s progress at the council’s regular meeting Monday, Aug. 24.

“I’m speaking in advance of having the final results, but I feel extremely confident that we’re going to qualify [for grants],” Moyer told the council.

An LMI survey is a localized data-collection tool used to determine whether at least 51 percent of residents in a specific project service area qualify as low- or moderate-income. The survey can establish a community’s eligibility for federal funding programs such as the Community Development Block Grant.

“This is the first step toward qualification for various forms of funding, one of which is the CDBG grant, which is set aside to … it can cover grants for housing and improvements to infrastructure that will serve low- to moderate-income households,” Moyer said.

The survey asks for the number of people in a household and whether the total family income falls above or below specific regional income limits established by the U.S. Department of Housing and Urban Development.

The portion of Eureka Springs included in the survey is “basically Highway 62 East to the Ozark Village, and then Highway 23 South,” Mayor Butch Berry said.

Any grant money obtained as a result of the survey can only be used for projects serving the area included in the survey.

“We couldn’t apply any projects that go around the community center or downtown, the sewer treatment plant,” Berry said.

Gathering the information has included door-to-door visits by volunteers, Moyer said, including visits to residents living in former hotels converted to long-term housing.

“We have, in order to qualify, you have to have a low-to-moderate income percentage in your community of 51 percent,” Moyer said. “We worked with the city to define a service area and then survey that group. We started out with about 200 households and then we worked with the chamber’s Economic Development Committee to further define all of the residents that had [housing] converted from hotels. What we ended up finding is, it equaled about 150 residents. So we’ve added 150 or so residents in this service area with the conversion of those hotels. That’s information that we didn’t know before.

“We’ve ended up with almost 400 total households to be surveyed, and because so many of those could be categorized as a one-address multi-unit complex, it made it very difficult to survey by normal processes, where we would just mail something to them and hope that they would bring it back.”

Instead, volunteers surveyed many of those residents face-to-face, Moyer said.

“We started that on the 27th of July and we just completed the third wave with … almost 59 percent return rate on surveys, which doesn’t maybe sound like a real success, but that is a huge success,” she said.

Results so far indicate the area is likely to qualify for LMI-related projects, Moyer said.

“We learned a lot in doing this process,” she said. “A lot of our folks in our community are struggling. Really, really struggling.”

Moyer also addressed the city’s unhoused population and information that has emerged during the LMI process.

“Even though that’s not the focus of the LMI survey, I think that kind of opens up another important topic for city council,” she said. “… We know kind of minimally what our unhoused population looks like, but what we do know is that our population rate here in our community compared to our resident populations, like the percentage of unhoused compared to regular housed residents, is uncharacteristically high in our community already. You might look at the bottom number; the number might seem small, but we’re a community of 2,200 households.

“So, we are the highest in Northwest Arkansas, if you think about that, and it appears to be growing at an alarming rate. So, they’re struggling right now to figure out how to capture and record the rate, but what I would say is we know certain things about the unhoused population in Northwest Arkansas. Many of them are female, many of them are children, and 54 percent of them identify as trans. So these are things that are in our community. We don’t see it, but it’s important, and we have a responsibility to them.”

Moyer was asked whether residents of Dr. Paul’s Drug and Alcohol Treatment facility were included in the survey.

“… It does include Dr. Paul’s as well,” she said. “The short answer is that if they’re in a treatment plan that is 28 days or more, they’re considered residents. And then I think that brings up points for more discussion, right? Because individuals who then finish the treatment, what happens after that? What we know is that many of them have stayed and made this their permanent home. … A lot of the folks that are living in those converted hotel rooms are individuals who came here originally to get treatment, and have made this their home.”

Council members also sought clarification about how potential grant money could be used.

“As long as [the potential project] is only for that area, services that area,” Berry said.

Grant applications are due in mid-September, Moyer said.

“So, we’ve got to get our shovels ready in the next couple of weeks,” council member Terry McClung said.

Berry praised the progress of the survey and credited Moyer for her leadership. He said the city had previously attempted a citywide survey without success.

“It has really taken so many people to make this happen,” Moyer said. “I’m just the one talking about it, but so many people have put in a lot of time and effort into getting this done.”

NEW DISTRICT SIGNS IN PLACE

It might have taken longer than Berry wanted, but new signs are now in place downtown for the city’s trial permanent entertainment district.

The signs are intended to make clear that businesses remain open beyond the district’s boundaries.

“I have to agree about the signage. It sucks,” Berry said at Monday’s council meeting, a day before the new signs were installed. “I’ve been working on it. We’ve worked on it the last two weeks, but every time we thought we’d come up with a sign, somebody came up with another interpretation of how the sign could be read.

“So, we finally got something I think everybody agreed to. I was hoping the signs would be up by this last weekend, but I’m told now they probably should be in, hopefully the next couple of days. So, we’ll get some new small signs and get rid of those crazy big signs that we’ve got right now blocking sidewalks and everything.”

The large A-frame signs previously placed on sidewalks stated that pedestrians had reached the end of the entertainment district. City officials said the signs caused some patrons to turn around, apparently unaware that additional businesses were located beyond the district boundaries. Business owners outside the district told council members the confusion was hurting their businesses.

“It was not a good deal, and nobody’s happy about that,” Berry said of the old signage. “I don’t think there’s a thing that’s good about it.”

The new signs state “no open alcohol containers beyond this point,” while also telling visitors there is “More great shopping ahead.”

MEYER ADDRESSES PLEA

City council member Harry Meyer briefly addressed his recent court appearance during council member comments at the end of Monday’s meeting.

“Well, folks, I’ve got one of my difficulties behind me,” Meyer said. “I pled to a misdemeanor, and that’s taken care of.”

Meyer, 77, pleaded guilty Aug. 10 to misdemeanor criminal mischief. Carroll County Circuit Judge Scott Jackson sentenced him to 365 days in the county jail, with the entire sentence suspended on the condition that Meyer commit no new jailable offenses. Meyer also was ordered to pay $1,610.29 in court costs, fines, fees and restitution at a rate of $100 per month.

Meyer originally was charged with felony criminal mischief, but prosecutors amended the charge to a misdemeanor in exchange for his guilty plea. The charge stemmed from a May 5, 2025, incident at Lake Leatherwood City Park.

According to an affidavit written by Special Agent Jana Cordes of the Arkansas State Police, Nicholes Anthony Castro of Bella Vista was assisting with an event at Lake Leatherwood under a vendor agreement with the Eureka Springs Parks and Recreation Department when Meyer confronted him about loud music being played through speakers connected to Castro’s van.

Castro told investigators that Meyer climbed onto the van, unplugged the speakers and damaged the vehicle’s rear doors, which became misaligned and difficult to close. Castro later obtained a repair estimate of $1,170.29.

Witnesses told investigators Meyer yelled about the music and mentioned his position as a city council member during the confrontation, according to the affidavit. One witness recorded video of the incident.

Meyer admitted unplugging the speakers but denied causing damage to the van or equipment. He told investigators he believed the music violated the city’s noise ordinance and that he drove to the park to address the issue.

Authorities said the estimated damage exceeded $1,000, qualifying the offense as felony criminal mischief under Arkansas law.

Meyer had pleaded not guilty to the felony charge, but during the Aug. 10 hearing he answered yes when Jackson asked whether he was pleading guilty to the misdemeanor charge because he was guilty.

In a separate case, Meyer still faces a felony aggravated assault charge stemming from a July 13, 2025, incident. Meyer is accused of striking a neighbor, Virginia Seymour, with his vehicle in their neighborhood on Cross Street.

That case was continued during the Aug. 10 court appearance. Special prosecutor Robbie Jones told Jackson that as long as Meyer complies with an order prohibiting him from contacting Seymour, the state will also amend that charge to a misdemeanor. Jackson ordered Meyer to return to court Feb. 8, 2027.

Meyer acknowledged backing the truck while Seymour was behind it but told investigators she fell as she stepped backward, according to an affidavit in that case. He denied intending to harm her.

Meyer, who was first elected to the city council in 2018, is seeking a fifth term in the Ward 3, Position 2 seat. His opponent in the Nov. 3 general election is Shira Fouste, chair of the Eureka Springs City Advertising and Promotion Commission.

SIDEWALK REVISIONS BACK TO PLANNING

An attempt to revise the city’s sidewalk ordinance is headed back to the Eureka Springs Planning Commission after council members raised questions about proposed changes.

Ferguson Stewart, chair of the planning commission and Board of Zoning Adjustment, presented an amended sidewalk ordinance after months of workshops aimed at strengthening its language.

Council members, however, said portions of the proposed ordinance remained unclear and asked that it be returned to the commission for additional revisions.

Specifically, council members questioned provisions on required sidewalk installation for new construction and how those requirements differ from those for new subdivisions.

“I think you need to get more specific,” McClung said during a discussion about situations where sidewalks would not be feasible on both sides of a road.

“… And this guy may have his sidewalk 4 feet out, and the other one may have 3 feet out. They’re not going to join.”

The council ultimately sent the proposed ordinance back to the planning commission for further clarification and consideration.

RUMORS DISMISSED

Meyer also added an agenda item regarding what he described as rumors involving the Carroll County Quorum Court.

“We hear rumors that the quorum court not only wants to put a one-cent sales tax on the agenda, on the ballot for rural fire departments, but they also want to remove, eliminate the courthouse over here,” Meyer said.

Berry said the information was not accurate.

“Well, I’m not sure where you’re hearing the rumors,” Berry said. “When I talked to the circuit clerk, she said that there’s never been any discussions, not on the agenda, and it’s nothing that she’s aware of or has anything to do with.”

“Well, had to find out,” Meyer replied.

“Now, the county judge may have a different idea, I don’t know,” Berry said. “Each county judge wants to do different things.”

Meyer asked Heather Owens, the attorney representing the city, whether the county had the authority to eliminate the courthouse.

“The county cannot do that,” Owens said.

“That’s what I thought,” Meyer replied. “That was the opinion I got from a lawyer, was they can’t. We could sue them. Tell them to get this courthouse up to ADA.”

“They can’t do it,” Owens reiterated.

“That’s good to know,” Meyer said.

District 2 Justice of the Peace Jack Deaton had told the quorum court in July that he planned to present a proposal to place a 1-cent county sales tax on the November general election ballot, but the court voted to table the matter at its Aug. 18 meeting after Deaton told his fellow JPs that he’d been informed that approximately half the revenue generated by the countywide tax would be distributed to municipalities rather than remaining with county government.

SALES TAX UP

Eureka Springs sales-tax collections are running $93,000 ahead of the same period in 2025, city finance director Michael Akins told council members during a budget workshop before Monday’s meeting.

As of July, the city had received approximately $315,233 in sales-tax revenue, Akins said.

“Of that, $193,974 went into our general fund, $46,000 went into the street fund, $49,000 went into parks and $25,000 went towards our bond payment,” Akins said.

July sales-tax receipts were $33,000 higher than the same month in 2025, while August receipts were $21,000 higher than a year earlier.

“So, right now we’re sitting $93,000 over where we were at this time last year,” Akins said.

The August receipts came from sales tax collected in May and remitted to the state in June.

For the first time in some time, lodging sales-tax revenue also surpassed retail collections, Akins said.

“We’ve been running where retailing has been higher than lodging, but as of this month, retail was at $122,000 and lodging was at $130,000,” Akins said. “That was an interesting part of this.”

Akins also told council members the city has collected 43 percent of its projected revenue while expenditures are at 48 percent of the amount budgeted.