A hearing has been scheduled for Tuesday in the first of several lawsuits filed against the Ozark Mountain Solid Waste District regarding an $18 fee being collected on property taxes as a result of the NABORS landfill bond default.
The district defaulted on the bonds sold to finance the purchase of the NABORS landfill in 2012. After the default on the debt, the trustee for the bondholders sued the district in Pulaski County Circuit Court.
A ruling by a Pulaski Circuit Court judge in 2017 called for a receiver to be named to collect money to repay bond holders, leading to the annual $18 fee on property taxes. While many have questioned the judge’s ruling, no appeal of the decision was filed by the parties involved, meaning the solid waste district board comprised of each county judge, and the mayors of all Class I cities in the six counties.
The next legal development came in May when almost identical suits were filed not in Pulaski county but in each of the six counties in the solid waste district–Baxter, Boone, Carroll, Marion, Newton and Searcy.
Those suits, filed by two Fayetteville lawyers, name the solid waste district and each respective countys tax collector as defendants. The filings say the bonds sold were tax exempt and claim the $18 fee is actually a tax.
While a hearing is set for Tuesday in the Carroll County, some, including Baxter County’s Attorney David Ethredge, contend the $18 fee will have to be addressed where it originated, with a Pulaski County judge’s ruling.
Listen:
Ethredge says the length of time passed since the Pulaski County ruling also appears to be an issue.
Listen:
Ethredge says he doesn’t want to render an opinion on what actions a citizen at large may choose to take in an attempt to address this matter. He says in his role, he’s addressing what the county can do.
Listen:
Ethredge says he believes the Arkansas Rules of Civil Procedure will be used to determine the path of the most recent litigation with the suits filed across the solid waste district.
Listen:
Tuesday’s hearing will be held in the Carroll County Courthouse in Berryville.
WebReadyTM Powered by WireReady® NSI