05-10, 11-21 City Council Budget Work Session MinutesCITY OF
KALISPELL
CITY COUNCIL
BUDGET WORK
SESSIONS MINUTES
May 10, 2021, at 6:00 p.m. and
Tuesday, May 11, 2021, at 6:00 p.m.
This meeting occurred with Council and staff present in Council Chambers with social
distancing in place, as well as via video conferencing. The public was able to participate via
videoconferencing by joining the video conference for May 10, 2021 at:
https://us02web.zoom.us/webinar/register/WN uNdtlRcgTEK8w-iTAW OHw.
and May 11, 2021, video conference at:
https://us02web.zoom.us/webinar/register/" 5BLG62jWSK6dCXZUQ19QoR.
Public comment was available via email to publiccomment kalisnell.com.
A. CALL TO ORDER
Mayor Johnson called the meeting to order at 6:01 p.m. on May 10, 2021.
Mayor - Mark Johnson: Present
Council Member - Kan* Gabriel: Absent
Council Member - Sandy Carlson: Present
Council Member - Sam Nunnallv: Present
Council Chair - Chad Graham: Present at 6.10 p.m.
Council Member - Kyle Waterman: Present
Council Member - Sid Daoud: Present
Council Member - Tim Kluesner: Absent
Council Member - Ryan Hunter: Present
Staff present included City Manager Doug Russell, City Clerk & Communications Manager
Aimee Brunckhorst, Development Services Director Jarod Nygren, Public Works Director Susie
Turner, Finance Director Rick Wills, Information Technology Director Erika Billiet, Public
Works Administrative Assistant Jana Purdy, and City Accountant Aimee Cooke.
B. DISCUSSION ITEMS
1. Fiscal Year 2021 — 2022 Budget Review (Budget linked to the left.
The following schedule serves as a general guideline only. Department / funds will be
discussed as time allows and may move from one night to the next.
City Manager Doug Russell provided an overview of the budget.
a. General Fund Administrative Departments
City Manager Russell provided an overview of the general fund administrative departments.
Councilor Waterman spoke regarding changes currently being made to Eagle Transit which recently
transitioned to Mountain Climbers.
00:17:46
Kalispell City Council Minutes, May 10, and May 11, 2021
City Manager Russell began explaining any major changes in the budget since last year and asking
for questions regarding specific departments within administration.
Mayor/Council Budget
00:20:13 Councilor Daoud asked questions regarding inflation and cost of living adjustments across
the budget.
City Manager Russell explained the way in which salary market adjustments are done for employee
wages.
Councilor Nunnally asked questions regarding the employee health benefit
00:26:52 City Clerk Budget
00:27:16 Finance Budget
00:27:41 City Attorney Budget
00:28:24 Councilor Daoud asked questions regarding the employees within the City Attorney
budget.
00:32:38 Mayor Johnson asked questions regarding the workload of the attorneys and where
collection of court fines is reflected. He spoke regarding a difference in fines collected from year to
year.
00:34:36 Councilor Daoud asked questions regarding possible efficiencies within the Municipal
Court Budget.
00:40:59 b. Development Services Department Budget
00:42:30 Community Development
00:43:23 Building Department Budget - page 90
City Manager Russell spoke regarding the statutory revenue.
00:46:20 Contract Services
Development Services Director Jarod Nygren spoke regarding plans to increase customer service for
the building permit process by utilizing Contract Services within the Building Department.
00:49:09 Special Revenue Funds
Community Development — page 46 and 47 Community Development Revolving Loan Funds
00:52:12 Rural Development Fund Projects
00:58:30 West Side Tax Increment Finance District
00:59:42 Transfers in - related to the Core Area Project.
Councilor Graham asked questions regarding transfers from the Debt Service.
Page 2 of 11
Kalispell City Council Minutes, May 10, and May 11, 2021
Mayor Johnson asked for the creation of a visual chart regarding funding for the Core Area.
c. Public Works
Page 9 within the general fund (page 59)
01.09:41 Public Works Special Revenue Funds — Light Maintenance
Public Works Director Susie Turner spoke regarding new light installs She spoke regarding the
complexity of these projects including getting easements.
Ms. Turner spoke regarding item 341 not increasing based on conversations with Flathead
Electric.
Mayor Johnson asked about past reviews of the Light Maintenance District.
Gas Tax
01:14:41 Director Turner spoke regarding details within the gas tax budget.
BaRSAA
Reconstruction of Center Street from 7`h Avenue to Meridian
Special Streets Maintenance Fund
01.16:41 Director Turner spoke regarding the equipment replacement schedule. A 1985 front end
loader is up for replacement through a loan process. They also have a steel dump truck box
replacement.
Traffic, Signs, and Signals
MACCI Matching what we did last year as we have not heard yet if we will receive that
funding.
Councilor Daoud asked about the MACCI fund and how we hear from the State regarding those
funds.
Airport MDOT Grant
Debt Service - American Rescue Plan
City Manager Russell spoke regarding anticipated dollars within this item.
01:27:12 Projects within our Facility Plans. American Rescue Plan dollars must be used within
fiscal year 2024.
Councilor Nunnally asked questions related to the Fermenter.
Councilor Daoud asked about restrictions related to allocating these funds.
Page 3 of 11
Kalispell City Council Minutes, May 10, and May 11, 2021
01:30:52 Bio-solids Plant
Councilor Waterman spoke regarding_ growth and the use of funds for Parks and Recreation
01:32:11 Councilor Waterman asked about funding for nonprofits.
01:32:39 Councilor Hunter continued questions about Rescue Plan funds.
Mayor Johnson asked about the eligibility of broadband conduit for Plan funds.
01:34:42 Director Turner spoke regarding the anticipated 5-year CIP, and how she prioritized
those projects on a spreadsheet provided to Council.
Councilor Daoud asked questions regarding possible relief to rate pavers
Enterprise Funds - Water
Director Turner provided an overview of this fund. Operating reserves - financial policies, 90-
day target.
Line item 226 - changing out/phasing in flooring analyzers.
01:42:16
$20,000 in line item 425 for pumps and wells related to known maintenance issues.
Councilor Nunnally asked about Line item 356. Modeling updates. Water rights for Silverbrook
well - increasing water rights from 250 to 380.
01:46:04 Projects -
Rehabbing Noffspringer Springs. Metering replacement project. SCADA update is complete
with money allocated this fiscal year to changeout programming for Grand View wellhouse.
Elevated tower in the north section - moving forward with surveying and land acquisition, with
construction anticipated early summer.
Lower Zone Reservoir Roof Replacement - design this fiscal year with construction next fiscal
year.
Impact Fees
Sewer
Scheduled Equipment Replacement
Wastewater Treatment Plant
Anticipate an increase in cost to our polymer that is added to the sludge.
Equipment Replacement Projects -
02:02:07 Councilor Daoud asked questions regarding the construction of the fermenter.
Page 4 of 11
Kalispell City Council Minutes, May 10, and May 11, 2021
Mayor Johnson asked about the sizeable capital budget
Councilor Hunter spoke regarding restrictions related to funding.
Storm Sewer Fund
Regional Facility under construction.
Director Turner relayed that the stormwater regulatory compliance program permit expenses
have gone down.
02:07:44 Large capital project is a carryover project related to the Center Street reconstruction
with a stormwater project.
02:08:21 New project: Water quality treatment project — to treat the stormwater drainage area to
the west area of town and discharges behind the shop complex.
The Multi -purpose Regional Stormwater Facility is under construction.
Solid Waste
Director Turner explained why item 362 has been increased. Pro -active rehab. Annual
inspections.
02:12:30
Wash bay materials were transitioned over to the Central Garage.
02:13:11 Manager Russell spoke regarding an upcoming Council discussion related to requests
we have received regarding increasing Solid Waste routes.
Central Garage
The central garage is expanding some of the specialty tools.
Councilor Graham spoke regarding the benefits of the abilities of the central garage
02:19:13 Manager Russell asked if May 24, 2021, at 6 p.m. will work for Council to have a
contract signing event for the Kalispell Parkline Trail.
02:20:54 Manager Russell spoke regarding preparing for the budget discussion tomorrow —
Parks and Recreation — one of the questions is whether Council would be okay with moving
forward to clear some of the Lawrence Park trail by the Conservation Corp.
C. PUBLIC COMMENT
Persons wishing to address the council were asked to provide public comment via email
to publiccommentkalisi2ell.com or verbally during the online meeting.
Mayor Johnson opened public comment, seeing none, he closed public comment
Page 5 of 11
Kalispell City Council Minutes, May 10, and May 11, 2021
D. CITY MANAGER, COUNCIL, AND MAYOR REPORTS — None.
E. ADJOURNMENT
Mayor Johnson adjourned the first budget meeting at 8:22 p.m. on May 10, 2021.
Tuesday, May 11- 6:00 p.m.
F. CALL TO ORDER TUESDAY, MAY 11, 2021
Mayor Johnson called the second budget meeting to order at 6 p.m. on May 11, 2021.
G. DISCUSSION ITEMS
2. Fiscal Year 2021 — 2022 Budget Review (Budget linked to the left.
The following schedule serves as a general guideline only. Department 1 funds will be
discussed as time allows and may move from one night to the next.
d. Police Department
Page 11 of the budget
Manager Russell spoke regarding highlights including two grant funded positions and leveraging
grant opportunities.
He spoke further about further grant opportunities that may become available later in the year.
02:25:35 Storage Building getting ready to put out to bid.
02:26:16 Acquiring enough body worn cameras so that every officer can be accountable for their
own.
02:27:41 Department issued side firearm justification.
02:28:50 Chief Overman spoke further about the importance and reasoning behind department
issued firearms for officers.
02:29:45 Chief Overman spoke further about the importance and reasoning behind purchasing
additional body cameras.
02:30:50 Councilor Daoud asked questions regarding video storage.
Information Technology Director Erika Billiet answered questions regarding video storage and
other storage details.
02:33:24 Councilor Waterman asked about the mental health crisis intervention positions.
02:33:53 Chief Overman spoke regarding an upcoming County grant application to sustain these
positions.
02:34:46 Chief Overman spoke regarding the benefits of the Co -Responder Program and the
immense help that program has been to the officers and the public.
02:36:09 Fire Chief Dave Dedman also spoke to the immense benefits of the Co -Responder
Program for the Fire Department.
Page 6of11
Kalispell City Council Minutes, May 10, and May 11, 2021
02:37:37 Page 14, (67 in PDF)
Councilor Daoud asked for an explanation on these items.
e. Fire 1 Emergency Medical Services
General Fund — page 15
02:41:52 Capital Equipment — SCBA — Self-contained Breathing Apparatus
02:42:37 Fire Chief Dedman spoke regarding the replacement of the SCBA's and the importance
and need for those replacements. These are twenty years old, and they are no longer able to find
parts for these. He also spoke regarding the need for replacement of the fit test equipment and the
equipment for charging the tanks.
02:44:21 Councilor Hunter asked questions regarding staffing of Fire Station 62.
02:48:12 Councilor Daoud asked what a private Ambulance Service would look like if it came
into being.
02:49:42 EMS
02:50:34 Special Revenue — Public Safety
02:51:38 Effects of the 911 Levy
Fire Chief Dave Dedman explained inflationary increases for medical supplies, and an increase
in dues and trainings related to a new requirement for certifications to operate in Flathead
County.
02:53:22 Fire Grants Fund (page 4)
Fire Chief Dave Dedman explained a Countywide Fire grant for new radios being hosted by
Columbia Falls.
02:54:53 Hazmat
The hazmat grant is unfunded. This line is related to roll-over money from past years. The six
teams in the state applied for a DES grant and were successful allowing them to keep that
response open.
Councilor Daoud asked details regarding hazmat responses.
02:59:13 City Manager Russell acknowledged the many years of dedicated service that Fire
Chief Dave Dedman has provided to the community. Chief Dedman will be retiring in June.
f. Parks and Recreation
City Facilities — General Fund, page 10
Parks and Recreation Director Chad Fincher reported regarding upcoming asphalt resurfacing in
front of Fire Station 61 and behind the Police Station along the alleyway.
Page 7 of 11
Kalispell City Council Minutes, May 10, and May 11, 2021
03:02:02 Councilor Daoud asked about employee additions
03:02:31 Special Revenue —Parks
Parks -in -Lieu (page 32)
Director Fincher reported on recent improvements that have been made within Lions Park
and spoke about the intent to replace the playground and possible funding sources.
03:04:41 (page 33) Revenue Sources
Business analysis of the programs happens every few years or so.
03:05:20 Parks (page 35)
Director Fincher reported on ongoing talks with the Montana Department of Transportation
regarding issues, obstacles, and problem -solving related to the need for a trail on Highway 93
going from J2 Office Supplies up to the Grace Baptist Church. He explained a study that MDT
would like to see regarding two possible routes.
03:09:43 Director Fincher spoke regarding line 357 — Lawrence Park Nature Trail
Department of Natural Resources Fire crews have offered to put in part of the desired nature
trail for free for their training purposes. Community members and groups have also talked about
helping with trail amenities.
Councilor Hunter spoke regarding his support and appreciation that staff has reached out to
community groups. He then spoke regarding the importance of the Hwy 93 trail that has been an
obstacle.
03:12:42 Councilor Carlson asked about the scale of this summer's recreational programming.
Director Fincher reported on the increase in participants in programs.
03:15:13 Councilor Waterman provided support for the trail in Lawrence Park and asked about
further training opportunities for DNRC.
Director Fincher spoke regarding the many ways they attempt to leverage partnerships and cost
savings throughout the year.
03:17:22 Councilor Waterman asked about bear activity.
03:18:11 Councilor Waterman asked about the funding or replacement of benches
03:20:28 Manager Russell spoke in appreciation for the efforts related to recreational
programming and the response throughout the COVID pandemic.
03:21:35 Athletic Complex — KidsSports Facility
Director Fincher provided an update on the new north fields saying they are waiting for the
Kidsports Group to complete the secondary well which they have committed to doing this year.
By next spring they hope to have kids playing on those new fields.
Page 8 of 11
Kalispell City Council Minutes, May 10, and May 11, 2021
03:23:30 Councilor Nunnally asked about parking at KidsSports.
Staff spoke regarding management of parking issues.
03:28:19 Director Fincher reported on the storage of the historic Spring Prairie Tree.
03:29:22 Sports Programming
03:29:38 Director Fincher explained they are trying to market themselves more.
03:30:19 Youth Camps (page 39)
03:31:06 Water Park
03:31:24 Director Fincher talked about improvements needed at the Woodland Water Park which
are generally related to outdated equipment such as the boiler and fire suppression system.
Director Fincher explained why a climbing wall amenity has been placed in the budget to
increase participation.
Council discussed these improvements and asked questions regarding repairs.
03:39:01 Councilor Carlson spoke in support of the new proposed climbing wall amenity.
03:39:32 Core Area Trail
Initial estimates include one full-time employee and equipment that will be needed.
03:41:19 Mayor Johnson spoke regarding the cost of employee health insurance.
Council discussed health insurance costs, variables, and the good management provided by the
Montana Municipal Interlocal Authority, the insurance pool the city is a part of.
03:47:23 Councilor Daoud asked about the Tool Cat in the core area trail budget.
Staff and Council discussed the need for the equipment specifically for the trail.
Councilor Waterman asked that this section be called the Parkline Trail.
03:53:42 Urban Forestry
Council and staff discussed the cost savings actualized after the recent bad wind storm due to
the pro -active pruning that has been done in the past few years.
Council and staff continued discussing urban forestry.
03:55:35 Developers Trees
City staff and Council discussed this program that allows trees to be planted after a development
is finished so the trees are not damaged prior to completion.
Page 9of11
Kalispell City Council Minutes, May 10, and May 11, 2021
g. Information Technology
Central Fund — Internal Service (page 4)
Some of the growth in expenses is due to the merger of different operations such as GIS
(Geographic Information Systems) into the IT Department. An increase in customer service
related software throughout the municipality has also led to increases in IT expenses. Project
centric components such as the phone system has been carried forward.
Staff and Council discussed proposed IT upgrades to the technology within the Council
Chambers.
04:04:20 Information Technology Director Erika Billiet reviewed large purchase items within
the budget including a change within the electronic records management system. She explained
the need for this change.
04:05:52 Information Technology Director Erika Billiet additional server components in the 940
network equipment related to network security. She also spoke regarding replication target
replacement, and other server purchase and replacement details.
04:07:35 Information Technology Director Erika Billiet spoke regarding proposed upgrades in
the AV equipment to Council Chambers which would include replacing the video cameras with
high -definition models, replacing monitors with larger and better resolution screens. A switcher
would support using maximum resolution. The cameras would integrate into other technology.
She spoke further regarding the details of the system.
04:09:48 Council asked questions and provided discussion regarding AV in the chambers.
Councilor Daoud asked questions regarding Laserfiche.
Councilor Hunter spoke regarding his support for the plan for ongoing integration of in person
with online public participation within council meetings.
Councilor Daoud asked further IT details.
04:14.07 Councilor Nunnally asked questions regarding the Phone Centrix item and then asked
about intrusion detection.
Councilor Daoud asked about long-term video storage plans.
04:19:49 Councilor Graham asked about the fiber project and the cost increase.
Director Billiet spoke regarding the fiber project that would connect all the buildings on a private
fiber.
04:22:35 Director Billiet spoke regarding re -allocation of employees to her department and the
related costs that are now within the IT budget, as well as other upfront costs that are seen in the
IT budget.
Council and staff further discussed the importance of items within the IT budget.
Page 10of11
Kalispell City Council Minutes, May 10, and May 11, 2021
H. PUBLIC COMMENT
Persons wishing to address the council were asked to provide public comment via email
to 12ubliccommentOkalis ell.com or verbally during the online meeting.
I. CITY MANAGER, COUNCIL, AND MAYOR REPORTS
04:30:23 Mayor Johnson reported that Councilor Kluesner apologizes for his absence at the work
sessions due to a medical issue.
Mayor Johnson spoke regarding his appreciation for the way city staff handles purchasing and
the way leadership supports that philosophy.
04:32:28 Mayor Johnson spoke regarding the large component of capital expenditures within the
budget, and the wise capital management that has brought us to this budget. He spoke further
regarding the budget process.
J. ADJOURNMENT
Mayor Johnson adjourned the meeting at 8:13 p.m.
,,I;ii!)I,
�'•.•� ZP?� Aim e Brunckhorst, CMC
•, '
• ON City Clerk
UPCOMING SCHEDULE / FOR YOUR INFORMATION
Next Regular Meeting — May 17, 2021, at 7:00 p.m. — Council Chambers
Next Work Session — May 24, 2021, at 7:00 p.m. — Council Chambers
Watch City Council sessions live on Charter Cable Channel 190 or online at the Meeting Videos
tab at www.kalispell.com.
Page 11 of 11