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I2. ROI 5963, Water-Wastewater Impact Fee Public HearingCITY 0, r0%0*%"N66 KALISPELL MEMORANDUM To: Doug Russell, City Manager Cc: Charles Harball, City Attorney From: Susie Turner, Public Works Director Subject: Resolution No. 5963- Resolution of Intent to Adjust Water and Wastewater Impact Fees and Setting a Public Hearing Meeting Date: February 3, 2020 The Resolution of Intent to adjust the water and wastewater impact fees has been placed on the City Council Agenda for the February 3, 2020 regular meeting. This matter came before the City Council over three work sessions following a recommendation by the Kalispell Impact Fee Committee to approve, as findings of fact, the HDR Engineering Water and Wastewater Impact Fee Report. Pursuant to the statutory requirements of MCA 7-6-1601 through 7-6-1604, the Council must make all evidence to be relied upon in its determination available to the public and set the matter for public hearing. That hearing, pursuant to MCA 69-7-111 must be set no earlier than 28 days after the first legal publication in the newspaper. Therefore, the date of the hearing set by this resolution of intent is March 2, 2020. This resolution is limited to advising the public of the Council's intent to act upon the HDR Engineering Final Report and fees, making the material available to the public, and seeking public comment at the hearing. Action by the Council shall take place at a meeting thereafter. RECOMMENDATION: It is recommended that Council approve resolution 5963, a resolution of intent to adjust impact fees for City of Kalispell Water and Wastewater utility services pursuant to MCA 7-6-1601, through 7-6-1604, setting a public hearing for March 2, 2020, and directing the clerk to provide notice thereof. ALTERNATIVES: Council can elect to amend or reject the resolution. ATTACHMENTS: Resolution No. 5963 - Resolution of Intent Water and Wastewater Impact Fee Legal Notice 201 1' Avenue E IPhone (406)758-7720 PO Box 1997 Public Works Department Fax (406)758-7831 Kalispell, MT 59903 1 www.kalispell.com RESOLUTION NO. 5963 A RESOLUTION OF INTENT TO ADJUST IMPACT FEES FOR CITY OF KALISPELL WATER AND WASTEWATER UTILITY SERVICES PURSUANT TO MCA 7-6-1601 THROUGH 7-6-1604, SETTING A PUBLIC HEARING AND DIRECTING THE CITY CLERK TO PROVIDE NOTICE THEREFORE. WHEREAS, the City of Kalispell currently imposes water and wastewater impact fees on development creating an additional demand on its water and wastewater utilities pursuant to its authority granted under MCA 7-6-1601 through 7-6-1604; and WHEREAS, pursuant to Section 7-6-1602(2)(k)(4), MCA that impact fees be reviewed every five years, and for this purpose retained the consulting services of HDR Engineering to study such evidence, draft a report and assist the Kalispell Public Works Department, the Kalispell Impact Fee Committee and the Kalispell City Council in the task of assessing such facts as are needed to make a determination on the setting of water and wastewater impact fees; and WHEREAS, the Kalispell Impact Fee Committee met in noticed public meetings with the City's consultant, HDR Engineering, reviewed its report and recommendations on the water and wastewater systems, examined the methodology utilized and issued its recommendations to the Kalispell City Council for the adoption of the HDR study dated October 2019 as findings of fact for any adjustments made to the water and wastewater impact fee schedule based upon adjustments to the water and wastewater utility capital improvement plan and updated cost analysis; and WHEREAS, it is the intent of the City Council to consider the recommendations of the Kalispell Impact Fee Committee and its consultant, HDR Engineering, and to possibly adjust the impact fees charged to new development creating an additional demand on the Kalispell water and wastewater utilities; and WHEREAS, prior to establishing the impact fees on the water and wastewater systems, the City is required, pursuant to MCA 69-7-111, to hold a public hearing on the matter after giving due and proper notice of said hearing. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF KALISPELL, AS FOLLOWS: SECTION 1. That there is hereby set a public hearing on the 2nd day of March, 2020, at 7:00 o'clock p.m. in the Council Chambers, City Hall, Kalispell, Montana, to discuss a proposal to adjust impact fees for the Kalispell water and wastewater system. SECTION 2. The City Clerk is hereby authorized and directed to make, publish and distribute notices of said Public Hearing in conformity with MCA 7-1- 4127. The City Clerk shall further make the report containing the recommended impact fee schedule, data sources and methodology supporting adoption and calculation of the impact fees to the public upon request. PASSED AND APPROVED BY THE CITY COUNCIL AND SIGNED BY THE MAYOR OF THE CITY OF KALISPELL, THIS 3RD DAY OF FEBRUARY, 2020. Mark Johnson Mayor ATTEST: Aimee Brunckhorst, CMC City Clerk CITY OF KALISPELL NOTICE OF PROPOSED IMPACT FEE ADJUSTMENT A proposal to adjust impact fees for the water and wastewater utility of the City of Kalispell has been presented to Council. It is the intent of the City Council to consider the recommendations of the Kalispell Impact Fee Committee and its consultant, HDR Engineering, and to possibly adjust the impact fees imposed upon development creating an additional demand on the water and wastewater systems as follows: Table 1: Present and Proposed Water Impact Fees Present Proposed FY 2021 FY 2022 FY 2023 FY 2024 FY 2025 Meter Ratio Residential 1.00 $2,567 $1,900 $1,957 $2,016 $2,076 $2,138 All Meter Size 3/4" 1.00 $2,567 $1,900 $1,957 $2,016 $2,076 $2,138 1" 1.67 6,418 3,173 3,268 3,366 3,467 3,571 11/2" 3.33 12,835 6,327 6,517 6,712 6,914 7,121 2" 5.33 20,536 10,127 10,431 10,744 11,066 11,398 3" 10.66 41,072 1 20,254 20,862 21,487 22,132 22,796 [1] The fees presented include the 5% administration charge allowed by Montana code. [2] The AWWA meter ratio for 3/4-inch meter. [3] Residential - Single Family & Townhouse (1 ERU per unit), Duplex (2 living units combined) 0.80 ERU/unit (up to 1-inch meter). [4] Residential - Tiny home, or detached living unit less than 400 sq. ft. are 0.80 ERU/unit. (up to 1-inch meter) [5] Meters 4-inch and larger are calculated individually. Table 2: Present and Proposed Sewer Impact Fees Present Proposed ERUs FY 2021 FY 2022 FY 2023 FY 2024 FY 2025 Treatment 1.00 $2,008 $1,004 $1,034 $1,065 $1,097 $1,130 Collection 1.00 $3,749 $1,875 $1,931 $1,989 $2,049 $2,110 Total 1.00 $5,757 $2,879 $2,965 $3,054 $3,146 $3,240 A Public Hearing on the proposed impact fee adjustments will be held Monday, March 2, 2020, in the Council Chambers of City Hall, 201 1st Avenue East, Kalispell, Montana, at 7:00 P.M. Any person wishing to address the proposed water and wastewater impact fees may appear at this hearing and make oral statements or present the same in writing. Written comments may also be submitted for Council consideration by delivering the same to the City Clerk or by email to citycouncil&kalispell.com prior to the hearing. If there are questions that might be answered by telephone you may call Public Works at (406) 758-7720. The fee schedule, data sources and methodology supporting the adoption and calculation of the impact fees are available on-line at www.kalispell.com within the October 2019 Water and Wastewater Impact Fee Final Report located under Public Works, Impact Fees, or in the office of the City Clerk during regular business hours. Dated this 3rd day of February, 2020. Aimee Brunckhorst, CMC City Clerk Publish Dates: February 9, 2020 February 16, 2020 March 1, 2020