G. Public Hearing - CDBG Fund Reallocation for Parkline ConstructionCITY OF
KALISPELL
Report To: Doug Russell, City Manager
Development Services Department
201 1' Avenue East
Kalispell, MT 59901
Phone: (406) 758-7940
Fax: (406) 758-7739
www.kalispell.com/planning
From: Katharine King, Community Development Manager
Subject: Public Hearing regarding CDBG Fund Re -allocation
Meeting Date: June 7, 2021
BACKGROUND: On September 14, 2020, Council held a work session regarding the potential re-
allocation of fully revolved CDBG monies in the amount of $525,000.00. Historically, these funds
have been used to make small loans to Kalispell Businesses. At the work session staff presented
multiple options including the potential of using the funds for the Kalispell Parkline construction.
BIDS for the construction of the Kalispell Parkline were recently received and there is a need for the
full amount of revolved CDBG funds to support construction of the Kalispell Parkline in
accordance with community priorities. Re -allocating the funds will create a lasting benefit to the
community as the project is located within an urban renewal area with the purpose of eliminating
blighted conditions and spurring redevelopment. The only limitations to the re -allocation of the
funds are that the monies be used in a way that they meet one of the three national objectives listed
below:
• Benefit to low and moderate income (LMI) persons;
• Aid in prevention or elimination of slums or blight; and
• Meet a need having a particular urgency.
The CDBG Program requires two public hearings for projects. The City holds an annual public
needs assessment hearing, in November. At the November 2020 hearing the completion of the trail
as part of the urban renewal plan was documented as a community priority. A second hearing is
required that is project specific. In this case, the reallocation of the revolved CDBG funds for the
completion of the Kalispell Parkline would be a project necessitating a project specific public
hearing.
The Kalispell City Council, at their meeting on May 17, 2021, approved Resolution 6028, which set a
public hearing date of June 7, 2021. At the public hearing, Council will take public comment on the
proposed CDBG reallocation. At the following meeting on June 21, 2021, the Council can formally
reallocate the fully revolved CDBG funds in the amount of $525,000.00 to support construction of
the Kalispell Parkline.
RECOMMENDATION: It is recommended that the Council hold a public hearing and take public
comment on the proposed CDBG reallocation.
ALTERNATIVES: As suggested by the City Council.
FISCAL EFFECTS: Reallocation would help fund the construction of the Kalispell Parkline.
ATTACHMENTS: Resolution 6028 with Notice
RESOLUTION NO. 6028
A RESOLUTION OF INTENT CALLING FOR A PUBLIC HEARING REGARDING THE
PROPOSED REALLOCATION OF COMMUNITY DEVELOPMENT BLOCK GRANT
FUNDS HELD AND MANAGED BY THE CITY OF KALISPELL.
WHEREAS, the City of Kalispell currently holds and manages Community Development Block
Grant [CDBG] funds in the amount of $525,000 previously received from the
Montana Department of Commerce which the City has utilized in a revolving loan
fund to provide gap financing in the form of small loans to Kalispell businesses; and
WHEREAS, the subject CDBG funds have been fully revolved and applications for these funds
are now scarce due to the widely available low rate of interest offered by commercial
banks; and
WHEREAS, the City of Kalispell has the option, and may, by resolution, reallocate the subject
CDBG funds to any other purpose that meets the objectives of the CDBG funding;
and
WHEREAS, there is currently a need for additional funding for the Kalispell Parkline construction
project which is an urban redevelopment project designed to prevent and eliminate
blight and falls within one of the objectives of CDBG funding.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
KALISPELL AS FOLLOWS:
SECTION 1. On the 7th day of June 2021 at 7:00 o'clock P.M., in the Council Chambers,
City Hall, 201 1 st Avenue East, Kalispell, Montana, the City Council of the
City of Kalispell shall hold a Public Hearing on the proposed reallocation of
Community Development Block Grant [CDBG] funds in the amount of
$525,000 to the purposes of providing additional funding for the Kalispell
Parkline construction project.
PASSED AND APPROVED BY THE CITY COUNCIL AND SIGNED BY THE MAYOR OF
THE CITY OF KALISPELL, THIS 17TH DAY OF MAY, 2021.
Mark John n
Mayor
ATTEST:
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Aim e Brunckhorst, CMC
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City Clerk vSE)
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CITY OF KALISPELL, MONTANA
NOTICE OF PUBLIC HEARING
NOTICE IS HEREBY GIVEN that the City Council (the "Council") of the City of Kalispell,
Montana (the "City") will hold a public hearing to receive public testimony and evidence on June
7, 2021, at 7:00 p.m., regarding reallocation of Community Development Block Grant funds that
the city is currently managing. The City of Kalispell has the option to reallocate the subject CDBG
funds to the Parkline Trail construction. The public can participate either in person at City Hall or
via video conference with the link on the June 7, 2021 Council Agenda at
https: www.kalispell.com/agendacenter. Public comment for this hearing can also be provided via
email to ubliccomment alkalis ell.com.
Further information may be obtained from the City Clerk at Kalispell City Hall, 201 1 st
Avenue East, Kalispell, Montana, telephone number (406) 758-7756, cit clerk kalis ell.com,
mailing address PO Box 1997, Kalispell, Montana, 59903.
Any interested persons may appear either in person or via teleconference and be heard at
this scheduled public hearing or may file written comments with the City Clerk prior to such
hearing.
Dated this 17th day of May, 2021.
BY ORDER OF THE CITY COUNCIL
By
tAimBrunckhorst, CMC
City
Publication Dates: ,%11111/I11.�''�
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May 23 2021�O .
May 30, 2021:
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