Clarksville Council Approves Electric Rates For Data Center; Aldermen Authorize Grant Application For Rodeo Arena

By Editor | March 10, 2026 |

by Janice Penix

The Clarksville City Council approved a specialized electric rate structure at its monthly meeting Monday, March 9, ensuring large customers such as the data center being developed in the city will bear the costs and risks associated with oversized demands.

Jason Carter, attorney for Clarksville Connected Utilities (CCU), told the Council the rate structure was developed through considerable deliberation and has been designed to benefit both the utility and the city.

“This is a momentous ordinance that has a lot of gravity to it,” Carter said. “It has been the product of extensive negotiations to shape transactions with the data center, from an electric service standpoint, in a way that serves this community well and will serve you for a long time.”

Carter said the core negotiating points for the city had been unchanged during the entire process. Those key aspects, which he said are reflected in the rate structure, ensure the city and CCU will not subsidize any large-scale customer’s costs and will not assume any risk. The risk, Carter emphasized, should be borne by the entity consuming the electricity.

“We have always tried to look at this and say, ‘What is the benefit for the community?’” Carter said. “There should be an ultimate benefit for the community.”

Under the specialized electric rate structure, or the “oversized demand customer rate,” most electricity costs – including power, transmission and generation – will be billed directly to the (oversized demand) customer, and will not be passed on to CCU or other utility users.

The rate consists of five component charges: market, transmission and generation, all of which are “pass-through” charges; and service availability and administrative, which will generate revenue for CCU and the city.

The CCU Commission gave its approval for the oversized demand rate during a special called meeting on Friday, March 6.

(Editor’s note: For a detailed description of the rate structure, see the CCU Commission story here or on Page 1 of the March 11 edition.)

Rodeo Arena Grant

Aldermen authorized the mayor to apply for a grant through the Arkansas Community Assistance Grant Program (CAGP) to construct an outdoor rodeo arena at the site of the city baseball field adjacent to the Johnson County Fairgrounds.

The $550,000 grant will require matching funds from the city, which can include in-kind contributions, according to Parks Director Stanley Edgmon.

Edgmon said the baseball field will not be needed after the new baseball complex on Clark Road is completed. He proposed repurposing the facility as a rodeo arena, making use of facilities that are already on-site such as lights, concession and restroom facilities but that will likely go unused after the new baseball complex is opened.

If grant funding is received, the 140-foot by 250-foot arena will feature a professional-grade dirt/sand surface, full perimeter fencing with roping chutes, covered bleachers for 750 spectators and upgraded lighting, concessions, restrooms and parking.

According to the grant proposal, the arena will serve as a dedicated venue for youth and high school rodeos, team roping, barrel racing, community clinics and expanded events connected with the Johnson County Fair.

The estimated project cost is $850,000, with $550,000 in grant funds sought and $300,000 in local matching funds. Edgmon and Mayor David Rieder emphasized the matching funds will consist of $200,000 in in-kind labor, engineering, equipment and land value, as well as $50,000 from the city’s capital improvement budget and $50,000 in private, community donations or sponsorships.

“We have four big (baseball) fields, including that field, and we don’t need that many big fields,” Edgmon said. “So the question is, what are we going to do with that space? We can leave a space there to maintain that is not going to be used, or you can turn it into something that will benefit the city.”

Alderman Eddie King said he was concerned about the adverse affect an arena would have on nearby homes, adding when the fairgrounds included a rodeo arena at the site, many residents complained.

“There is always going to be push back,” Edgmon said. “Think about what it could bring to our town.”

Edgmon also said the facility could be used for other activities such as auctions, and would also generate revenue for the city through rentals.

A resolution authorizing the grant application was approved on a 4-1 vote, with King voting no and Aldermen Patrick Baker, Ed Bradley, Rob Risinger and Robert Thompson voting yes. Alderman Christel Thompson was absent.

Other Matters

–The Council approved a list of items, including out-of-commission equipment, to be deleted from the city’s assets for 2025.

–Aldermen approved the adoption of policies regulating the use of technology resources and artificial intelligence (AI), and cybersecurity. Wynette Holland, human resources director, said the AI policy is required by a new law passed in 2025, and the cybersecurity policy was recommended by the Arkansas Municipal League. Holland said training will be provided to employees on both policy topics.

–An ordinance was approved waiving bidding requirements for the purchase of a Ventrac Tractor mower through a Sourcewell bid at a cost of $43,792.51. Edgmon said the mower will be used for the new baseball complex.

–Council members adopted an ordinance adjusting the 2025 budget for actual revenue and expenditures for the year and adjusting the 2026 budget for projects carried over from 2025, including grant-funded projects at the airport and insurance proceeds which will be utilized for the repairs to the aquatic center roof.

–Aldermen approved a request from Edgmon to create an account for the Grill Wars event, to allow designated funds to remain separate from the city general fund.

–A request from City Clerk Lisa Venson to change the city’s credit cards to a local bank was approved unanimously.

–A proposal from Animal Control Officer Wade Bell to allocate $46,999 for the construction of a dog park at the animal control facility on Blackburn Street was withdrawn to allow Bell additional time to develop the proposal.

–The Council appropriated $50,000 in economic development funds for the Clarksville-Johnson County Chamber of Commerce’s business revitalization grant program for 2026.

–Rieder submitted the state of the city report, which included the financial report outlining administrative activities for 2025. Council members approved it as presented.

–Aldermen approved the appointment of Blake Neumeier and Jason Shook to the CCU Commission to replace Roger Brooks and Jennifer Risinger who recently resigned.

Read this story and others in the March 11 issue of The Graphic, available online and at businesses throughout Franklin and Johnson counties. Subscribe or donate here to support more hometown journalism.