Ordinance 1168 - Urban Renewal Project - Kalispell Market Place153
ORDINANCE NO. 1168
AN ORDINANCE RELATING TO THE KALISPELL DOWNTOWN REDEVELOPMENT
PLAN; APPROVING A CERTAIN PROJECT AS URBAN RENEWAL PROJECT AND
AUTHORIZING THE NEGOTIATION OF A DEVELOPMENT AGREEMENT WITH
WAREHOUSE INDUSTRIES, INC. D/B/A TIDYMAN'S WITH REGARD TO SAID
URBAN RENEWAL PROJECT.
WHEREAS, the City Council of the City of Kalispell on the
10th day of September, 1979, pursuant to Title 7, Chapter 15,
Part 42 and 43, Montana Code Annotated, enacted Ordinance No.
933, entitled ORDINANCE APPROVING THE KALISPELL DOWNTOWN
REDEVELOPMENT PLAN FOR THE CITY OF KALISPELL, MONTANA AS AN URBAN
REDEVELOPMENT PLAN AND THE FEASIBILITY OF RELOCATION; AUTHORIZING
THE MAYOR TO IMPLEMENT THE PLAN WITH POWERS CONTAINED IN THE
URBAN RENEWAL LAW, and
WHEREAS, said Ordinance contained a provision for tax
increment financing for Projects with an area designated as the
Kalispell Downtown Redevelopment Area, and
WHEREAS, a certain urban renewal "Project" has been
submitted to the City for review and said Project has been
reviewed by the Kalispell City -County Planning Board for
compliance with the Kalispell City -County Master Plan, and
WHEREAS, the Kalispell City -County Planning Board after
reviewing the proposed Project has advised the City Council, in
writing, that the Project, as a part of the Kalispell Downtown
Redevelopment Plan, conforms with the Kalispell City -County
Master Plan and recommended that the proposed Project be approved
as an Urban Renewal Project, and
WHEREAS, on the 5th day of August, 1991 the City Council of
the City of Kalispell passed Resolution No. 4002, entitled A
RESOLUTION OF INTENTION TO MODIFY THE DOWNTOWN REDEVELOPMENT
PLAN TO APPROVE A CERTAIN URBAN RENEWAL PROJECT, and
WHEREAS, on the 3rd day of September, 1991, pursuant to
Resolution No. 4002, the City Council of the City of Kalispell,
after due and proper notice under Section 7-5-4215, MCA, held a
Public Hearing on said Project and received expressions from the
public, supporting and opposing said Project, and
WHEREAS, the City Council finds with respect to the proposed
Urban Renewal Project as follows:
a. a workable and feasible plan exists for
making available adequate housing for persons
who may be displaced by the Project because
no residences will be directly impacted by
the Project;
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b. the Plan, as modified to include the Project,
conforms to the comprehensive plan or parts
thereof of the City, because the Kalispell
City -County Master Plan identifies land
within the Project area as being General
Commercial and the Project area has, in
accordance with said Master Plan, been zoned
as General Business, B-4;
C. the Plan, as modified to include the Project,
will afford a maximum opportunity, consistent
f with the needs of the City as a whole, for
the rehabilitation or redevelopment of the
area by private enterprise because most of
the territory encompassed by the Project
consists of vacant or under utilized land
which under Section 7-15-4206 MCA may be
considered to be blight and the Project
anticipates a high level of private funding
with limited City involvement in the
financing;
d. a sound and adequate financial program exists
for the financing of the Project because on
site development costs shall be borne by the
Warehouse Industries, Inc. and off -site
improvements and infrastructure improvements
of benefit to the City and the Redevelopment
Area will be financed by either cash flow
from the tax increment fund or the proceeds
of a tax increment bond together with funds
provided by Warehouse Industries, Inc.;
e. the Project constitutes an urban renewal
project within the meaning of the Act and the
Plan because the Project includes
undertakings or activities by the City in the
urban renewal area for the purpose of
redevelopment and elimination of blight.
WHEREAS, after consideration of the evidence submitted at
said public hearing, the City Council of the City of Kalispell
considers it in the best interest of the City to designate and
approve a certain Urban Renewal Project, hereinafter described,
in the Kalispell Downtown Redevelopment Area.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE
CITY OF KALISPELL, AS FOLLOWS:
SECTION I. That the City Council of the City of
Kalispell hereby modifies the Kalispell Downtown
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Redevelopment Plan for the City of Kalispell and
designates the following as an Urban Renewal Project
pursuant to Title 7, Chapter 15, Parts 42 & 43 Montana
Code Annotated and the Kalispell Downtown Redevelopment
Ordinance:
a. The City Manager is authorized and directed
to negotiate a Development
Agreement with
Warehouse Industries, Inc.,
a Washington
Corporation d/b/a Tidyman's (hereinafter
Tidyman's) for the purpose
of developing
certain tracts of land,
within the
Redevelopment Area, bounded by
the Burlington
Northern Railroad Tracts on the South,
Montana Street on the North,
Main Street on
the West and 3rd Avenue E.N. on the East
(hereinafter Project Area).
b. Tidyman's, the owner of certain real property
within the Project Area, by the terms of the
Agreement shall agree to develop a 57,000
square foot grocery store, together with all
related improvements, including, but not
limited to, parking, landscaping, utilities,
and access, with an assessed valuation of not
less than $5,000,000.00.
C. The Development Agreement shall anticipate
the abandonment of the Southerly portion of
the dedicated Second Avenue East North
right-of-way between Montana Street and the
Tidyman's property, and the closure and
abandonment of the Southerly portion of
dedicated public alley in Block 24,
Kalispell, Montana. Upon application from
Tidyman's the City shall take the appropriate
action to notice said abandonments and
vacate said Avenue and alley in accordance
with the statutory procedure, so long as
adjacent landowners on the alley have
adequate egress and ingress maintained for
existing facilities.
d. The Agreement shall specify certain on -site
development, infrastructure improvements and
off -site improvements of benefit to the City
and the Redevelopment Area, including: 1)
sanitary sewer, water service, storm sewer,
parking lot paving; 2) First Avenue East
North extension from Center Street to Montana
Street, including street construction, curb,
gutter, sidewalk, landscaping, etc.; 4)
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demolition of Kalispell News property,
including sewer cap, abandonment, etc.; 5)
surveying, landscaping, etc.; and 6)
acquiring property vacated and dedicating
right-of-way for new public street
construction. It is anticipated that site
development and infrastructure improvements
will cost approximately $1,000,000.00.
e. For payment of a portion of the costs of
improvements, the City shall be authorized to
expend for Public Infrastructure
t Improvements, through the Agreement, the sum
of $500,000.00, either from the tax increment
fund cash flow, on hand, or from the proceeds
of tax increment bonds, to be sold by the
City. The City shall be authorized to off-
set a portion of the above costs through a
grant from the Economic Development
Administration (EDA) for $300,000.00.
f. If the EDA Grant is not received by the City,
Tidyman's will be responsible to pay an
equivalent amount toward the payment of the
estimated costs of the Improvements.
SECTION II. The Urban Renewal Project herein designated and
approved may be modified by the City Council of the City of
Kalispell if the Council determines by Resolution that an
adjustment to the Project is required in the best interest to the
City of Kalispell.
SECTION III.
All actions of the
City Council
heretofore taken
with respect
to the Project herein
designated,
to the extent not
inconsistent
herewith, are ratified
and confirmed.
SECTION IV.
This Ordinance shall
take effect
from and after 30
by the
days of its
passage by the City
Council and
approval
Mayor.
PASSED AND APPROVED�Y THE CITY COUNCIL AND MAYOR OF THE
CITY OF KALISPELL THIS ,= DAY OF SEPTEMBER, 1991.
gt4i a A20�
DOUGLU D. RAUTHE, MAYOR
ATTEST:
AINAN DIRECTOR
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