Glacier Rail Park Sidewalks Staff Report 031524STAFF REPORT KRD 24-01
REQUEST FOR GLACIER RAIL PARK TEDD FUNDING
March 14, 2024
A report to the Kalispell Urban Renewal Agency and the Kalispell City Council regarding a request
for funding from the Glacier Rail Park TEDD for the purpose of constructing sidewalks, boulevard,
and street trees within the Glacier Rail Park Plan boundary to bring the existing roadway
infrastructure into compliance with city requirements for a public roadway. A public meeting has
been scheduled before the Kalispell Urban Renewal Agency (URA) for March 20, 2024, beginning
at 4:00 PM in the Kalispell City Hall, First Floor Conference Room. The URA will forward a
recommendation to the Kalispell City Council for final action.
TEDD Overview: The City of Kalispell in conjunction with Flathead County Economic
Development Authority (FCEDA) sought to foster the development of secondary, value adding
industries within the Glacier Rail Park Development Plan area as part of the city's overall mission
to meet its needs of promoting economic development, improving area employment opportunities
and expanding the community's tax base. This effort is made possible through the Glacier Rail
Park Targeted Economic Development District (TEDD) on 49-acres of land within the larger 104-
acre Glacier Rail Park Development Plan boundary.
On April 4, 2016, the council approved Resolution No. 5757. Resolution 5757 was a resolution of
necessity finding that the Glacier Rail Park Development Plan area is deficient in necessary
infrastructure improvements, that the City lacks sufficient capital to rectify the infrastructure
deficiency of the subject property, thus impeding its ability to achieve economic growth though
the development of value -adding industries, and that infrastructure improvements of the subject
area is necessary for the welfare of the residents. Subsequently, the council, after a duly noticed
public hearing on April 18, 2016, established the 49-acre TEDD within the larger 104-acre Glacier
Rail Park Development Plan by passing Ordinance 1770. Ordinance 1770 adopted the Glacier Rail
Park Plan as a comprehensive development plan and established the Glacier Rail Park TEDD in
the City of Kalispell for the purpose of developing necessary infrastructure within the plan
boundary to encourage the location and development of value -adding industries; established the
costs which may be paid by the district created by the ordinance, established the boundaries of the
TEDD; and established January 1, 2016 as the base taxable year for the TEDD.
The City of Kalispell utilizes Tax Increment Financing as part of the overall strategy to provide
infrastructure in support of value -adding industry pursuant to the 2013 Targeted Economic
Development District Act, embodied in 7-15-4279, Montana Code Annotated (MCA). The TEDD
provides the City of Kalispell with the ability to employ tax increment financing as provided in 7-
15-4282, MCA for appropriate public infrastructure projects in support of "value -adding industry
or secondary value-added products or commodities." In this case the request from FCEDA is for
public infrastructure improvements in regards to road improvements to Rail Park Drive, which
were identified within the Glacier Rail Park TEDD Plan.
The Kalispell City Council has held work sessions regarding the potential use of TEDD funds to
provide for the improvements needed to bring Rail Park Drive up to city standards and indicated
the ability to assist FCEDA in construction of the needed improvements with TEDD funds so that
the roadway could be transferred to the City.
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Applicant: Flathead County Economic Development Authority (FCEDA)
44 2nd Avenue West
Kalispell, MT 59901
Proposed Project: Flathead County Economic Development Authority has requested
$135,000.00 in funding from the Glacier Rail Park TEDD for the purpose of adding necessary
public infrastructure improvements such that Rail Park Drive would be brought up to city
standards. Part 15 of the plan (Infrastructure Analysis) indicated "Roads" as a deficiency of which
sidewalk construction is included. FCEDA has completed the necessary engineering for the
proposed project and received a BID to complete the work which has a total project cost of
$673,917.45. The requested amount of $135,000.00 is roughly 20% of the total project cost. Rail
Park Drive, which provides access to the Glacier Rail Park is currently a private road owned by
FCEDA. It was constructed as a private road at that time because of the nature of the development
(Industrial) and the thought that semi -trucks would be staging on the roadway during harvest
season as they unload at the CHS facility. Since its completion Rail Park Drive has never been
gated and has been open to the public, providing users an additional route to the greater
transportation system. Since the roadway is functioning similarly to a public roadway, FCEDA
has expressed interest in turning ownership of Rail Park Drive over to the City. At this time the
City is unable to take ownership of Rail Park Drive as it was not constructed to City standards,
which would have included a landscape boulevard, street trees, and sidewalks.
Location: The Glacier Rail Park is generally bound by Whitefish Stage Road to the West,
Stillwater River to the north, BNSF tracks to the east and Oregon Street to the south.
Legend •
® Glacier Rail Park Planned Boundary
Glaoirr Rni! Park Plan/TEDD Bonndfny
® TEDD Amendment Area
TEDD
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Existing Land Use: The general land use character of this area can be described as industrial. The
active land uses in the area are CHS, a landscape stone supply company, a post and pole wood
products manufacturing operation, and a commercial truck repair business. There are residential
properties adjacent to the site on its southern boundary, but there is a significant topographic
difference between the residential properties and the industrial area, with the residential properties
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sitting 20 to 30 feet above the industrial zone. There is also an RV park located just south of East
Oregon Street.
Zoning: The zoning for the property is I-2 PUD. The I-2/PUD Zone on the Rail Park provides
standards that are more appropriate for the industrial rail park. In addition to the standard I-2
Zoning requirements, outlined below, the PUD overlay addresses the following: 1) Timing of
building permit issuance; 2) Ability to gate the private road; 3) List of permitted uses on the
property; 4) Allowable fence height; 5) Wayfinding signage; 6) Paving standards; 7) Landscaping
standards; and 8) Standard for private roads serving a subdivision.
Growth Policy: The Glacier Rail Park Plan Boundary is designated by the Kalispell Growth Policy
Future Land Use Map as "Industrial" (including the County properties) which anticipates the I-2
zoning district. The I-2 zoning district is consistent with the industrial designation in the growth
policy.
CONCLUSION: The public project for sidewalks, boulevards, and street trees does comply with
the expressed intent of the Glacier Rail Park Development Plan. Specifically, under Part 15 of the
plan (Infrastructure Analysis) indicated "Roads" as a deficiency of which sidewalk construction is
included.
RECOMMENDATION: Staff recommends that the City of Kalispell Urban Renewal Agency adopt
staff report KRD-24-01 as findings of fact and recommended to the Kalispell City Council that
$135,000.00 in public infrastructure Glacier Rail Park TEDD funding be allocated for sidewalk,
boulevard, and street tree improvements to Rail Park Drive.
ATTACHMENTS: Glacier Rail Park Development Plan
LHC BID
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