The August 12th annexation election has been canceled, and the size of the area proposed to be annexed is smaller. Much of the information on this page is still relevant though.

Benton says that the city will build a sewer system in the Salem Community annexation area if the proposal passes on August 12, 2008. Arkansas State Law says the city must offer services in the annexed area including sewer within 3 years. Finding credible facts and answers to our many questions has proven to be a frustrating and difficult task.

• How much will it cost each homeowner to connect to the sewer system?
  Benton Utilities manager Terry McKinney has said that "Residential customers will pay a $1,000 connection fee."

  We believe this does not include the cost of actually running the sewer pipe from the home to the sewer, and does not include the cost of removing the existing septic tank which the law says must be done. We have heard estimates of $8,000 to $12,000 total cost if you live on a street that has a sewer main.

• How much will it cost a homeowner to connect to the sewer system if they do not live on a main road, and a line has to be run a few blocks to the sewer main?
  At the July 7th Public Hearing in Benton, the answer was "I don't know. You and your neighbors would share whatever the cost would be."

• If my neighbors and I pay to have a sewer extension installed, and later more houses are built along that extension, will the new connects share in the initial cost of running the extension, and will those who originally paid for the extension be partially reimbursed?

• Do I have to tie into the city sewer system if it runs by my house?
  At the July 7th Public Hearing in Benton, the answer was "no."

  We have heard that residents in previous annexations were forced to tie into the city sewer system because their septic tank and plumbing did not meet city code.

• What if our sewer extension runs uphill to the sewer main? Will we have to pay installation and maintenance costs for a pump?

• How much will it cost the City of Benton to add sewer service to the annexed area?
  At the July 7th Public Hearing in Benton, the answer was "we don't know."

• How will the city pay for the new sewer system in the annexed area?
  The official answer was "increased revenue from property taxes in the annexed area will help pay for it."

• The tax collector estimates the increased income from the annexed area to be about $150,000 per year. That does not seem to be enough to pay for a new sewer system.
  Mr. Ellis replied that "those figures don't seem right."

  We have heard that one way the city could pay for the new sewer system is to create an improvement zone, issue bonds to raise money to build a sewer system, and tax residents in the improvement zone to pay back the bonds. Everyone in the zone will have to pay the tax regardless of whether they hook on to the sewer system or not. Or perhaps the money to pay back the loan would be in the form of increased rates and/or taxes on all city residents.

  No matter how the city pays for the new sewer system, current city residents who live in areas where there is poor sewer service are not likely to see any improvement in their neighborhood sewer system while the sewer department is busy in the newly annexed area.

• Utilities commissioner, Leroy Allen says the City of Benton needs more customers to help pay off their $26 million loan to upgrade the existing city sewer system. How much more will the city have to borrow to build out new sewer systems in the annexed area, and how much increase will current Benton citizens see on their bills in order to pay off more loans?

• Won't the cost per customer be higher in less populated areas, and will that increased average cost be shared by all Benton citizens?

• The City of Benton has several areas where their map shows sewer pipes are considered poor. Why doesn't the city fix their existing sewer problems before taking on new responsibilities?

Comments: It does not seem wise to take on a project when you do not know how much it will cost and how it will be paid for. It seems like we are not getting complete answers to our questions. It seems like all of us including citizens of Benton, Arkansas need more answers before annexing the large area to the north of Benton.

An article by LEWIS DELAVAN in the March 26 Saline County Voice reported on Benton annexing land west of the city. Some of the information applies to the annexation north of the city as well.

"…Don White and Harlie Ables … said they just want the new development annexed into Benton so the city will enjoy revenue from the growth… Otherwise, Benton stands to lose "hundreds of thousands of dollars in revenue," they said. The Ratepayers group also contends that Benton taxpayers are "subsidizing" the wastewater line leading to the two developments. Benton Utilities manager Terry McKinney said… Residential customers will pay a $1,000 connection fee, and commercial projects will pay a higher fee to connect, based upon the size of the connection required. …On the negative side to annexation, White said, would be the city's increased obligation for police and fire protection. But those needs may be met through interagency agreements, similar to what was done for Hurricane Lake Estates, he said… Alderman Joe Lee Richards said he's undecided on annexation, as he's certain it won't bring in as much revenue as it costs. The city should eventually recoup its wastewater line's expenses, Richards said, but he fears it could take up to three decades. In the meantime, the city would immediately be obligated to provide police and fire protection. With the just-approved rise in the Benton School District millage, along with potential increases in several other taxes, as well as the uncertainty of the economy and rising prices, Richards said he remains unsure how he will vote on annexation. Utilities commissioner Leroy Allen told the council before the pre-annexation vote that growth offers a substantial return on Benton's utility investment… The city borrowed $26 million to rehabilitate the wastewater utility… Allen said that, with the potential development, more customers would be helping to repay the $26 million debt. The wastewater utility will receive more than $1 million in tie-on fees, he said, and the utility contributions and fees from all possible developments in the planned service area west of the river will exceed $4 million. Without adding more customers, each customer would pay about $4,000 to repay the loan. "If we increase our customer base, more people will be paying less," Allen said."