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The Mountain Home City Council will take up a proposed zoning ordinance Thursday evening that would replace the city’s existing zoning code and restructure its commercial C-2 zoning district into several new categories based on a business’s hours of operation, traffic impact and noise.
The proposed ordinance, which runs 56 pages and was prepared jointly by the Mountain Home Planning Commission, the Planning and Engineering Department and the City Council, would replace the regulations adopted under Ordinance No. 2022-13 with a new code that would take effect May 3 if adopted.
Planning and Engineering Director Arnold Knox and Building Inspector Clay Strain are expected to present the proposed changes at Thursday’s meeting.
The ordinance will receive its first reading March 5 at 5 p.m. in the Council Chambers at City Hall, 720 Hickory Street. A second reading is scheduled for March 19, with a possible third reading and adoption on April 2.
What the C-2 split means
At the heart of the proposed changes is a restructuring of the city’s Commercial C-2 zoning district.
Under the current code, C-2 is a broad, catch-all designation that covers a wide range of commercial uses — everything from gas stations and drive-in restaurants to motels, supermarkets and 24-hour operations. The designation was originally intended for businesses that cater to highway traffic.
The problem is that C-2 treats all of those businesses the same regardless of how much traffic, noise or light pollution they generate. A quiet doctor’s office and a 24-hour gas station can currently sit in the same zoning classification.
The proposed ordinance would address that by freezing the C-2 designation in place. The city would stop issuing new C-2 zonings entirely. Instead, when a C-2 property changes its use — for example, a restaurant being converted into a different type of business — the property would be rezoned into one of several more specific commercial categories based on the nature of the new use.
Those new categories are:
C-2B — Moderate Retail Service: This is a new classification that does not exist in the current code. It would cover businesses like restaurants and supermarkets that generate a moderate amount of traffic. Hours of operation would be limited to 6 a.m. to midnight. Service stations, convenience stores, car lots, mini storages, motels and hotels would be prohibited from this classification.
C-2C — Heavy 24-Hour Retail Service: This is also a new classification. It would cover businesses that cater to highway traffic and generate heavy amounts of traffic and light pollution. These businesses would be allowed to operate 24 hours a day. Liquor stores, convenience stores, car lots, mini storages, motels and hotels are prohibited.
The existing C-2A — Commercial Neighborhood District would remain largely unchanged. It covers businesses like funeral homes, restaurants and other retail outlets that operate between 6 a.m. and 10 p.m. Liquor stores, service stations, convenience stores, car lots, mini storages, motels and hotels are prohibited in C-2A.
Businesses with a current C-2 designation would not be required to rezone. They would continue operating under C-2 rules — including 24-hour operation — until a change in use triggered the rezoning process.
Why it matters for residents
The practical effect of the C-2 split is that residents living near commercially zoned property would have a clearer picture of what could — and could not — be built next door.
Under the current code, a C-2 property adjacent to a neighborhood could theoretically be developed into any number of commercial uses, from a quiet office to a round-the-clock service station, all under the same zoning umbrella. The new subcategories would give the city more control over where high-traffic, high-noise businesses are located and would set enforceable limits on hours of operation.
The hours-of-operation breakdown under the proposed code works on a tiered system. C-2A businesses must close by 10 p.m. and cannot open before 6 a.m. C-2B businesses must close by midnight and cannot open before 6 a.m. C-2C businesses may operate around the clock.
Each of the new subcategories also carries its own list of prohibited uses, giving the city additional tools to direct certain types of development to appropriate locations.
Other changes in the proposed ordinance
While the C-2 restructuring is the headline change, the proposed ordinance includes several other updates.
C-1 — Central Business District: The downtown zoning designation would be expanded to formally include the Baker District. The proposed ordinance also explicitly states that C-1 businesses may operate 24 hours a day. The current code does not specify hours of operation for C-1.
C-3 and C-4: These quiet commercial classifications would remain largely the same. C-3 businesses operate from 6 a.m. to 6 p.m. and generate little traffic or noise. C-4 businesses may operate 24 hours a day but are similarly low-impact. C-4 specifically notes that drive-up ATMs require C-4 zoning due to the potential for 24-hour traffic.
Permitted Use Table: The proposed ordinance includes a comprehensive table — listed as Appendix A — that maps specific business types to every zoning classification. The table covers dozens of uses, from agriculture and animal boarding to warehousing and wholesale distribution. Some uses are permitted outright, marked with an “X,” while others require a special use variance, marked with an “S.”
Among the more notable entries: crypto mining would require a special use variance and would only be considered in C-2C and I-1 (industrial) zones. Medical marijuana dispensaries or cultivation facilities would only be permitted in I-1 zones. Sexually oriented businesses would require a special use variance in C-2C or I-1 zones. Short-term rentals would require a special use variance across multiple residential zones as well as in C-1 and C-2A.
Residential zones: The residential classifications — R-1 through R-5 — remain substantively the same, as do the mobile home, manufactured home and agricultural zones.
Communication towers: The ordinance carries forward existing rules governing commercial communication towers and adds a provision stating that construction of a tower on a C-2 property would not trigger the mandatory rezoning to a new commercial subcategory.
What’s on the rest of Thursday’s agenda
Beyond the zoning ordinance, Council will consider two other items of new business.
A resolution to reappoint Noah Strout to the city’s Advertising and Promotion Commission for a four-year term that would run through December 2029.
A resolution to waive competitive bidding requirements and approve the sale of a 2011 Vactor truck to Arlynd Mallett Excavation of Mountain Home for $55,000. Under the city’s municipal code, competitive bidding is normally required for the sale of city property valued above $10,000. The resolution states that accepting the local buyer’s offer is in the city’s best interest and would minimize administrative costs and delays.
Council will also receive a quarterly presentation from the North Central Arkansas Economic Alliance.
Previous business
At its Feb. 19 meeting, the Council unanimously approved $20 million in water-sewer revenue bonds to finance improvements to the city’s water distribution system, specifically the lines running from the Southwest tank to the Midway tank. The bonds are expected to go on sale in mid-March. Public Works Director Steve Hill estimated the project would take nine months to a year to design, with construction beginning in 2027.
The Council also approved a contract with Garver Engineering for preliminary design work on the Lake Norfork water intake project and heard a quarterly update from the Baxter Day Service Center, which reported a 7 percent drop in recycling volume and a 19 percent drop in recycling revenue in 2025 compared to 2024.
Thursday’s meeting begins at 5 p.m. in the Council Chambers of the Municipal Building, 720 Hickory Street, Mountain Home.
