Hot Springs voters last week approved the issuance of $4.1 million of industrial development bonds to finance a new water ride and other improvements at Magic Springs & Crystal Falls.
The bond referendum was approved by 77% of the 1,493 voters who turned out for the election.
Although Arkansas law allows companies statewide to use IDBs - known as Act 9 financing - bonds issued for tourism development are subject to referendum. General manufacturers can win the use of such debt through a public hearing process.
The Magic Springs bonds are expected to go to market later this month, with a closing on or about April 26. The bonds will be issued by the Arkansas Development Finance Authority. The new water ride - the Plummet Summit - is expected to be delivered to the park in the next two weeks.
Last week's special election marked the third such referendum on behalf of Magic Springs since 1999. The other two bond measures were also approved by large margins.
According to local officials, Magic Springs generated approximately $1.1 million of tax revenue for the city each year, and employs 600 people each season.
