H1. Res. of Intent 6074, Solid Waste RatesCITY OF
KALISPELL
To: Doug Russell, City Manager
From: Susie Turner, Public Works Director
Re: Resolution 6074 - Resolution of Intent and Call for Public Hearing on
Adjustment Increases to the Solid Waste Assessment
Meeting Date: June 6, 2022
BACKGROUND: The Solid Waste Fund supports services for the collection and transport of
solid waste to the landfill for residential and commercial customers within the City limits. As
part of the preliminary budget process, it was identified that the Solid Waste Assessment Fund
required a review for potential assessment adjustments. The Fund's projected revenue using the
current assessment criteria did not provide the finances to maintain the same level of service for
the upcoming fiscal years. Additionally, the current finances do not support adding solid waste
service accounts within the City that are adjacent to the established routine service areas.
On May 16, 2022, staff presented, and City Council participated in work session discussions to
review the status of the Fund's services, service capabilities, equipment replacement schedules,
and financials. A copy of the presentation summary can be found on the City's website at Solid
Waste I Kalispell, MT, the work session discussion included:
1. Solid Waste Staffing 8. Budget Status — Budget with No Level
2. Equipment — Sidearms and Rear Loaders of Service Increase
3. Residential and Commercial Accounts, 9. Proposed Strategy for Short -Term and
Service Areas, and Schedules Long -Term Solid Waste Service
4. Additional Service Performed 10. Budget Status Option 1 — Rate Increase
5. Current Service Capacity — Residential 15%, +5% for 3 years
6. Potential Service Capacity — Residential 11. Budget Status Option 2 — Rate Increase
7. Budget Status — Proposed Budget 30%
(revenues vs expenditures explanations) 12. Next Steps — Council Direction
The goal of the work session presentation was to summarize current service activities and levels
(staffing, equipment, costs), review new service areas (staffing, equipment, costs), and evaluate
the budget necessary to sustain service for both short term and long-term timeframes. Staff
provided two assessment increase options.
As a result of the work session meeting, Council directed staff to proceed with advertising a
short-term four-year step assessment increase (Option 1) that supports:
1. Continued level of service for current customers and account for expenditure increases
due to inflationary costs
2. Adding resources (1 Full Time Employee) to provide service in new areas within city
limits
3. Maintaining reserve levels that are financially reasonable and responsible
4. Maintaining equipment replacement reschedules for the short term
5. Performing a comprehensive Business Plan Update in FY 23 to review solid waste
service and policies:
• Review and develop key policies
• Alley clean up service (alley vs non
alley customers)
• Funding for service to all areas
within city limits
• Commercial services
• Facilities
• Routing efficiencies
• Equipment replacement costs and
schedule
• Rate study to support services,
revenues required to sustain
service, costs, and rate development
for near- and long-term time
periods
• Develop equitable rates for service
varieties (Residential and
Commercial)
Exhibit 1 provides a four-year assessment increase which will provide the estimated funds to
support the level service as noted above for the short-term time period.
Pursuant to the statutory requirements, the Council must make all evidence to be relied upon in
its determination available to the public and set the matter for a public hearing. The hearing,
pursuant to MCA 69-7-111 must be set no earlier than 28 days after the first publication.
Therefore, the date of the hearing set by this resolution of intent is July 5, 2022.
This resolution is limited to advising the public of Council's intent to act upon the proposed solid
waste assessment increase, making the material available to the public and seeking public
comment at the hearing. Action by the Council shall take place thereafter at a separate Council
Meeting.
RECOMMENDATION: It is recommended that Council adopt Resolution 6074, a resolution
calling for a public hearing on July 5, 2022, on a proposal to adopt an increase to the fees,
schedules, rates, charges and classifications imposed upon the customers of the City of Kalispell
Solid Waste Utility.
ALTERNATIVES: Council can elect to amend or reject the resolution.
ATTACHMENTS: Resolution 6074, Assessment Adjustment and Notice
2
RESOLUTION NO.6074
A RESOLUTION SETTING A DATE FOR PUBLIC HEARING ON A PROPOSAL TO
ADOPT AN INCREASE TO THE FEES, SCHEDULES, RATES, CHARGES AND
CLASSIFICATIONS IMPOSED UPON THE CUSTOMERS OF THE CITY OF KALISPELL
SOLID WASTE UTILITY.
WHEREAS, a study of the City of Kalispell Solid Waste Division has determined that the current
structure will not provide the finances to maintain the same level of service for the
upcoming fiscal years and do not support adding solid waste service accounts within
the City that are adjacent to the established routine service areas; and
WHEREAS, Public Works staff has determined that a short-term four-year step assessment
increase that supports a continued level of service for current customers and account
for expenditure increases due to inflationary costs; adds resources (1 FTE) to provide
service in new areas within city limits; maintains reserve levels that are financially
reasonable and responsible; and maintains equipment replacement schedules for the
short term would be appropriate; and
WHEREAS, prior to initiating any increase in the fees, schedules, rates, charges, and
classifications, the City is required, pursuant to Section 69-7-111, Montana Code
Annotated, 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. The City Council shall set a Public Hearing on the 5th day of July, 2012, at
7:00 o'clock p.m. in the Council Chambers, City Hall, Kalispell, Montana, to
accept comments on a proposed increase to the solid waste fees, schedules,
rates, charges and classifications as set forth on the attached Exhibit A.
SECTION 2. The City Clerk and City Attorney are hereby authorized and directed to
make, publish and distribute notices of said Public Hearing in conformity
with Section 69-7-111, MCA.
PASSED AND APPROVED BY THE CITY COUNCIL AND SIGNED BY THE MAYOR OF
THE CITY OF KALISPELL, THIS 6TH DAY OF JUNE, 2022.
Mark Johnson,
Mayor
ATTEST:
Aimee Brunckhorst, CMC
City Clerk
Exhibit A
Annual Solid Waste Assessment Charge
FY 23
FY 24
FY 25
FY 26
Size (Gallon)
Current
15%
5%
5%
5%
90/100 Residential
$111
$128
$134
$141
$148
300 Commercial
$338
$389
$408
$428
$449
400 Commercial
$411
$473
$497
$522
$548
Notes: rates are for one pick-up per week
NOTICE OF PUBLIC HEARING
NOTICE IS HEREBY GIVEN, that on the 5th day of July 2022 at 7:00 o'clock p.m., in
the Council Chambers, Kalispell City Hall, 201 First Avenue East, Kalispell, Montana, the City
Council of the City of Kalispell shall hold a Public Hearing on proposed amendments to the
Regulations of the City Solid Waste Utility.
A copy of the proposed amendments can be viewed at the Public Works Office or the
City Clerk's office in City Hall at 201 First Avenue East, or on the city's website at
www.kalispell.com/679/Council-Public-Hearings.
Written comments may be submitted to the City Clerk at the above noticed meeting, or
prior to the meeting either by mail at P.O. Box 1997, Kalispell, MT 59903, by email to
publiccomment(cr�,kalispell.com or in person at City Hall, 201 First Avenue East.
For further information contact the Public Works Department at (406) 758-7720.
Aimee Brunckhorst, CMC
City Clerk
Publish: June 12, 2022
June 26, 2022
July 3, 2022