HISID renews contract with developer

Wednesday, November 17, 2004

The Holiday Island Suburban Improvement District (HISID) Board of Commissioners voted Friday in a special meeting to continue its agreement with the Holiday Island Development Corporation (HIDC), with a few changes.

The agreement continues for a three-year term. As in the past, assessments are waived on "inventory lots," defined as unimproved, unleased developer-owned lots. The district transfers all quit-claim and foreclosure lots free of charge to the developer. The developer pays property taxes on the lots.

Two provisions have been added to this agreement.

The first is that the developer now has the right to transfer some or all inventory lots to a "national marketing company" to market and sell them. The marketing company will also have assessments waived.

The second provision gives the developer the right, in the event he transfers the lots to a marketing company, to "request the paving of all or a portion of the remaining gravel roads situated within the District."

The developer agrees to pay 50 percent of the district's cost to pave the roads, up to $200,000.

There are currently seven and one-half miles of gravel roads left unpaved in Holiday Island.

The board approved the agreement.

The board also considered bids to begin Rec Center master plan projects with the demolition of the restroom and making entry renovations to comply with the Americans with Disabilities Act.

The architect's estimate was $47,250.

Four Arkansas contractors came back with bids: Kinco Constructors of Springdale for $41,664; Henley Construction of Harrison for $36,500; ARKA-TEX Remodeling of Little Rock for $26,350; and Dixon Contracting of Fort Smith for $17,400.

District Manager Kevin Crosson said that because there was such a wide range in price of bids, he asked for references from the two lowest bidders, thoroughly checked them out and everything was satisfactory.

Chairman Boyce Williams asked if it was unusual that there were no local contractors who bid on the project.

Crosson said the job had been advertised locally as well as regionally.

"I think our local contractors are up to their eyeballs in work," he said.

He also said he checked on the vast difference between quotes on concrete ($3,000 as opposed to $17,000).

"Dixon said he cut his profit margin way short to establish business in this part of the country," he said. "He wants to establish his name here."

Commissioners approved the low bid, awarding it to Dixon Contracting.

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