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E1. 06-22-26 Work Session MinutesCITY COUNCIL KCITY OF DRAFT WORK SESSION MINUTES ALISPELL June 22, 2026, at 7:00 p.m. City Hall Council Chambers, 201 First Avenue East Video of this meeting with time stamped minutes can be found at: https://www.kalisl2ell.com/MeetingVideos. A. CALL TO ORDER Mayor Hunter called the meeting to order at 7 p.m. B. ROLL CALL Council Member - Kari Gabriel: Present Council Member - Sam Nunnally: Present Council Member - Jed Fisher: Present Council Member - Sid Daoud: Present Mayoryan Hunter: Present Council Member - Wes Walker: Present Council Member - Lisa Blank: Present Council Member - Kyle Waterman: Present Council Member - Dustin Leftridge: Present Staff present included City Manager Jarod Nygren, City Clerk Aimee Brunckhorst, Public Works Director Susie Turner, Deputy Public Works Director Keith Haskins, Water Resource Manager Joe Schrader, Director of Development Services P.J. Sorensen, and Planner II Donnie McBath. C. PUBLIC COMMENT Mayor Hunter opened general public comment. 00:01:48 Sean Patrick O'Neill, Public Comment O'Neill with the Flathead Warming Center and Chair of Collaborative Housing Solutions of Northwest Montana explained the purpose and provided an update on the Collaborative Housing Solutions group, a local continuum of care, that is a requirement of HUD grants. He talked about the plans they have developed over the years that are based on the annual needs and gaps analysis. He noted that the current strategic plan focuses on shelter, housing, coordinated entry, community education, and crisis response. He explained the data collected in the Annual Point in Time Survey completed in January. O'Neill shared recent data from the annual January count, noting 167 individuals were identified as experiencing homelessness, an increase from 154 in 2025 but a decrease from 319 in 2022 and spoke further to the survey and how the data is collected. He spoke regarding what the Flathead Warming Center has accomplished over the past shelter season. He explained the Warming Center's LINKS program and their Roadmap Program. He explained that 335 people received shelter this season, explained the season was 203 nights, and provided other statistics related to the Warming Center. He then provided statistics about how many they served are chronically homeless, 160 individuals were turned away due to capacity limits and 11 were referred elsewhere for severe needs. He talked further Page 1 of 12 Kalispell City Council Minutes, June 22, 2026 about the completion of 988 Roadmaps, 61 positive outcomes for the season (48 individuals transitioned into housing and 13 entered inpatient recovery). 00:11:59 Russell Sias, Public Comment Sias of Columbia Falls referred to written testimony he is submitting regarding abortion pills and his views opposing their use. He referred to a statistic he read that 5,068 babies have been saved through the Safe Haven Baby Box Program. 00:14:06 Mayre Flowers, Public Comment Flowers with Citizens for a Better Flathead distributed brochures for the Waste Not Project highlighting local pharmaceutical safe drop-off locations to protect water quality. She explained a recent initiative launched at Flathead Valley Community College asking the community to help identify a new regional site for a comprehensive wastewater treatment system located away from sensitive water bodies. Flowers noted ongoing litigation regarding the Lakeside Sewer and Water Facility, with final oral arguments set for July 21, 2026, and requested that city staff participate in upcoming meetings to coordinate on regional facility sizing and technical requirements. She requested a status update on the city's wastewater treatment plant compliance and its previous Use Attainability Analysis application for Ashley Creek, expressing opposition to any lowering of water quality standards. She urged the council to monitor the Lakeside facility due to possible downstream nutrient impacts on Ashley Creek. She recommended that the city look into regional biosolid management alternatives rather than long-term landfill disposal and encouraged the evaluation of sewage -to -energy solutions for future facility designs. Seeing no further public comments, Mayor Hunter closed public comment. Public comment received in writing to the Mayor and Council can be seen at www.kalispell.com/publiccomment. D. DISCUSSION &a 1. Water Facili . Plan 2. Wastewater Svstem Facilitv Plan 3. Advanced Wastewater Treatment Plant Facility Plan 00:21:58 Deputy Public Works Director Keith Haskins began the staff presentation explaining presentation delivery and introduced the three consultants from AE2S that helped prepare the facility plans, Zach Magdol, Zach Freling, and Scott Buecker. Bold titles correspond to presentation slide titles. � a 00:23:11 Why update the Facility Plans now? Haskins explained the three factors considered regarding the timing to refresh the three plans together now, and why facility plans are created and updated and what they are used for. 00:24:20 How this Session is Organized Haskins explained how the session tonight is organized with the planning framework first, Water System next, Sewer collection third and Wastewater treatment last. Page 2 of 12 Kalispell City Council Minutes, June 22, 2026 00:25:15 Planning Framework and Growth Haskins explained the shared foundation for all three plans regarding the study area, planning horizons and population projections. 00:25:25 One study area for all three plans Haskins explained the color -coded map boundary in relation to near -term, mid-term, and long- term planning areas. 00:26:17 Three planning horizons Haskins explained the three planning horizons considered. 00:26:56 Growth policy & density assumptions Haskins explained how they plan for future demand based on the growth policy and projected residential densities and how those are determined. 00:28:11 Land use, density & demand assumptions Haskins explained how existing and future land use, assumed densities, and duty factors translate growth into water and sewer demand. 00:28:55 Population & growth projections Haskins explained dwelling unit and population growth, the common demand driver behind facility plans. 00:30:08 How accurate are these cost estimates? Haskins explained how they develop cost estimates and the accuracy range. 00:31:12 Mayor Hunter spoke regarding minimum lot sizes of 4,500 and asked about the plans showing a larger lot size assumption. He then referred to page 411 of the water plan and water use per dwelling unit. Staff determined the water usage information referenced was misprinted and will be rectified. 00:32:43 Council Member Waterman talked about the history of capacity and the build -out of the west side interceptor. 00:33:09 Haskins spoke to why the west side interceptor was built and the reasoning behind the timing and talked about the importance of being proactive versus reactive. 00:34:20 Council Member Blank asked for an explanation regarding the agreement with Evergreen and how that changes over time. 00:34:35 Director of Public Works Susie Turner explained the treatment plant agreement with Evergreen, why that agreement was put into place, for what area, and the ceiling limit. 00:36:30 City Manager Nygren talked further about the nature of the Evergreen agreement and current realities. 00:37:11 Council Member Waterman asked about our assumptions related to Evergreen. Page 3 of 12 Kalispell City Council Minutes, June 22, 2026 00:37:37 Water System Facility Plan Haskins continued the presentation. 00:38:09 Understanding the existing system Haskins described the existing water delivery system which includes 13 operational groundwater wells, 2 booster stations, 8 MG of storage, 2 pressure zones, 172 miles of water main and 1,800+ fire hydrants. He explained a color -coded water infrastructure map. 00:38:57 Who are our customers and how much water do they use? Haskins explained with charts, the types of customers and how they demand and use water. 00:39:44 Haskins showed a graph showing the average water production, max water production demand and planning peaking factors. He further explained the sources of non -revenue water use and how that has been reduced. 00:41:22 Council Member Leftridge asked about ideal target numbers for non -revenue water and cost -benefit analyses related to improving leak detections. 00:41:33 Haskins answered the questions and also explained how the City detects water leaks and the inherent challenges. 00:42:56 Director Turner explained pro -active leak detection that is completed when possible and other ways non -revenue water is used. Mayor Hunter prompted an explanation about how new meters, and the new meter pit locations, are helping with leak detection. 00:44:44 Council Member Fisher asked about the cellular meter replacement program and where the City is with that process. 00:44:53 Public Works Director explained about 6,000 meters have been replaced with about another 4,000 still to be replaced and the process used. 00:45:39 How much water will we need? Haskins continued the presentation explaining how future demand is estimated by applying Water Duty Factors to the growth projections for each planning horizon. 00:46:43 What's driving water system sizing? Haskins explained why and how the peak -hour peaking factor is the key sizing driver. 00:47:28 System evaluation — model development Haskins explained the calibrated "all -pipes" hydraulic model that was used to evaluate the system under existing and future demands. 00:48:10 What the model found Haskins explained pressure, storage, pumping, water main, fire flow and risk data determined with the model. 00:49:43 Risk assessment of the water mains Page 4 of 12 Kalispell City Council Minutes, June 22, 2026 Haskins explained how each main segment was scored on likelihood of failure and consequence of failure. 00:50:27 Capital Improvements Plan Haskins presented a 15-year project list, explained how they were determined, and estimated costs. 00:51:20 Council Member Daoud asked about fire flow goals and asked if that takes into consideration time of day and multiple fires at the same time. 00:51:52 Haskins explained fire flow is considered at max day, peak hour flows. 00:52:32 Council Member Waterman asked about the backbone transmission main on the capital improvement plan. 00:52:47 Haskins explained the need for the backbone transmission main listed. 00:53:52 Turner talked about where bigger transmission mains are needed and why. 00:54:49 Haskins explained why upsizing with developments is important to minimize cost and efficiency. 00:55:31 Council Member Fisher confirmed that inflationary factors have been included and then asked about grant funding. 00:56:21 Director Turner explained loan forgiveness utilization through the SRF Program and the one-time grants and loans from ARPA funding. 00:57:33 Mayor Hunter asked about west -side of Main Street issues. 00:57:52 Haskins explained the Main Street main capacity is sufficient, but the issue is related to many buildings lacking a fire connection to the main and the difficulties to get that across the highway. He explained why that issue is not within the scope of the plan. 00:58:39 Mayor Hunter asked about asbestos cement piping and whether there is a safety risk. 00:59:12 Haskins explained safety risk with asbestos piping only comes when the pipe is cut which requires professional handling. 00:59:51 Mayor Hunter asked about water conservation and commercial summer irrigation and the appropriateness of pursuing landscaping that would limit water consumption over time. 01:00:49 Turner explained asbestos is sampled for and has never been a trigger. 01:01:18 Manager Nygren explained that landscape standards could be discussed by Council but would not be within the scope of this plan. Page 5 of 12 Kalispell City Council Minutes, June 22, 2026 01:02:03 Haskins explained that since sprinkler rates were removed water consumption has decreased. The Parks and Recreation Department have also worked extensively on water conservation. 01:03:25 Mayor Hunter clarified that he is not proposing changes to existing private residences and their landscaping and was referring to future new commercial landscaping standards. 01:03:46 SANITARY SEWER COLLECTION Haskins began the presentation related to sanitary sewer collection. 01:04:11 Understanding the existing system Haskins provided an overview of this system which gathers wastewater and conveys it, by gravity and through lift stations and force mains to the Advanced Wastewater Treatment Plant. 01:04:45 Wastewater flows & projections Haskins explained how flows were characterized and projected and flow totals determined. 01:05:37 What's driving wastewater system sizing? Haskins explained how and why collection mains and lift stations are sized on wet -weather peak flow. 01:06:28 System evaluation — model development Haskins explained the model that was used, why it was chosen, and how it was utilized. 01:07:18 System evaluation & risk Haskins explained key evaluation findings related to the lift stations, gravity mains, wet weather and 1/I study, and watch area. 01:08:15 Sewer Collection Capital Improvements Plan Haskins explained the 15-year project list for the wastewater collection system and several of the most important and largest projects. 01:09:10 Council Member Leftridge asked about funding timing for the I and I study. 01:09:27 Haskins answered the question about stormwater infiltration explaining how capacity is currently handled, that higher risks exist, and that a study would not eliminate the need for capital projects already on the schedule but could be used to help reprioritize future projects that reduce I and I in the system. He explained a large proactive slip lining project that was completed and the ongoing inspections and repairs that are done routinely. 01:11:10 Director Turner explained how I and I is handled as part of their routine maintenance processes, stormwater inspections during events, and other ways they are handling I and I. 01:11:59 Haskins spoke regarding the slip lining projects listed on the capital improvement plan. 01:12:43 Zach Magdol, Project Manager with AE2S explained an I and I study would provide a more detailed answer to what is needed for some of the identified projects. Page 6 of 12 Kalispell City Council Minutes, June 22, 2026 01:12:50 Mayor Hunter asked whether an I and I study would look at street re -design options to reduce the inflow infiltration? 01:13:27 Haskins explained that current standards do a good job of addressing I and I listing some of the materials required, and that the issue is related to old infrastructure and individual service lines off the main. 01:14:45 Mayor Hunter asked about re -design of streets such as bioswales and whether that would be significant. 01:15:07 Haskins explained the issues with bioswales in the downtown area, how adding storm sewers would be helpful, and what a study would help determine. 01:16:09 ADVANCED WASTEWATER TREATMENT Director of Public Works Susie Turner continued the presentation explaining what they keep in mind throughout the planning process. 01:17:04 Four Driving Challenges Turner explained in detail the four driving challenges of substantial area growth, operational pressures, aging infrastructure and regulatory uncertainty and decisions that will need to be made regarding the replacement and/or rehabilitation of aging infrastructure. 01:19:25 Flows, loads & future projections Turner explained plant flows and loading that were characterized from operating data and projected growth rates. She spoke regarding wastewater parameters, plant upgrades, and how permitting has changed. 01:22:44 Understanding the existing plant Turner provided a schematic of how the plant works and explained the treatment process stages in detail, the capacity of the plant, the performance of the plant and some of the issues identified. 01:26:18 Risk assessment Turner explained how risk assessment was evaluated in detail and how that helps to develop and prioritize capital projects. 01:28:30 Council Member Leftridge asked about major project failure risk prior to completion. 01:28:34 Turner talked about specific projects that were identified as priorities and the funds and tools they can utilize to manage failures as they happen. 01:29:52 Energy conservation strategy — Energy & efficiency screening Turner explained possible projects in this area looking at factors such as technical viability, financial return, risk/limitation and recommendations. She explained many projects that have already been completed and other projects that have limited financial returns. She provided information about applying for grants as they are available. 01:32:21 Mayor Hunter asked about clarifiers and the ability to use solar panels over the top. 01:33:03 Turner talked about the area that would be needed for solar utilization. Page 7 of 12 Kalispell City Council Minutes, June 22, 2026 01:33:29 Zach Frieling explained that the clarifier covers need to be removed periodically, and more area would be needed. 01:33:54 Mayor Hunter asked about the possibility of future studies that consider broader factors when reviewing solar projects as a way to reduce consumption across city properties. 01:35:24 Director Turner explained the difficulties in prioritizing energy efficiency over other high priority capital projects. She further spoke to the related questions posed. 01:37:09 Mayor Hunter asked about the costs for variable mixing. 01:37:26 Zach Frieling answered questions about the financial analysis and the areas in which those costs were identified. 01:38:24 Director Turner explained rehab and replacement of gears and motors is within fiscal year 2027 instead of full replacement. 01:39:00 Council Member Daoud asked about the fermenter that needed liner replacement and confirmed that the fermenter project is completed and in operation and expectations staff have for the new coating. 01:39:40 Director Turner talked further about fermenter rehabilitation and coating and project difficulties that were completed. 01:42:16 Frieling responded to an earlier question providing the cost of replacing the mixers versus rehabilitation. 01:42:47 What regulations can we plan around? Turner explained in detail Montana's evolving nutrient regulations and the pending Ashley Creek TMDL's which create significant uncertainty. She talked about plans that the Department of Environmental Quality are working on with completion expected the fall of this year. Future discharge permit requirements are still being determined. 01:44:34 Council Member Waterman confirmed that this uncertainty has been a long-term issue. 01:45:44 Turner talked further about the regulatory uncertainty that Kalispell has been facing for ten years, and upcoming timing expected. Turner explained in detail why and how they evaluated three permitting scenarios — maintaining the existing permit, highest attainable condition (HAC), and ecoregional standards (Ashley Creek). The facility plan also identifies base projects that are required under any of them. Note Please refer to the slides provided as the video froze for a few minutes while the audio continued. 0 a 01:49:30 Treatment evaluation & process model (Page 36 of the slides) Turner explained in detail a calibrated BioWin process model which compares how the plant performs today versus a future 5-Stage Bardenpho + MBR configuration, so upgrades can be Page 8 of 12 Kalispell City Council Minutes, June 22, 2026 timed with need. She then explained four big findings that are within the capital plan and when requirement is anticipated. 01:52:19 Capital Improvements Plan Turner explained this section of the plan that summarizes the capital improvement program developed and how the projects are prioritized. She further talked about the short term near term, and long term improvements needed and why they were prioritized accordingly. 01:54:14 Turner explained the bio-solids handling project shown on the plan for 2028 and what would trigger the need. She talked about details within the dewatering project, and its importance, the phase currently being undertaken, and back-up alternatives if needed. 01:57:01 Turner explained details within the near -term improvement (2021-2040) projects that are largely driven by nutrient removal capacity and future regulatory requirements. This plan identifies a phased road map and identifies projected needed today, projects triggered by growth, and projects that may be required depending on future regulatory decisions. 01:58:57 Mayor Hunter asked whether the city should expect strict regulatory requirements long- term. 01:59:37 Turner referred to future conversations regarding our effluent treatment goals. She explained the difficulties in prioritizing prior to knowing regulatory standards and a long-term project needed no matter what. 02:01:49 Capital Improvements Plan and costs Turner explained the cost differences between the scenarios over the next twenty years. She explained that the short-term projects address regulatory drivers, aging assets, and capacity. She talked further about future capital improvement plan prioritizing discussions. She explained that the majority of the near -term projects are needed regardless of future regulations. Future permitting decisions will have a significant impact on timing, type, and overall cost of treatment upgrades required at the facility. Further discussions will occur with Council this fall. 02:05:08 Council Member Walker asked what would be included in Scenario A if we went with Scenario B. 02:05:28 Turner explained option B would include all the base scenario capital plans but nothing in A. 02:06:08 Mayor Hunter provided discussion about the scenarios. 02:07:22 Council Member Walker provided discussion about the scenarios. Turner explained more conversations will occur once the regulations are in place. 02:07:48 Council Member Waterman confirmed that the city is not involved in the regional septage facility or planning and asked about the reasoning behind the drying project. 02:08:11 Turner explained prior plans and past history related to composting and biosolids and current realities related to dewatering bio-solids. Page 9 of 12 Kalispell City Council Minutes, June 22, 2026 02:10:49 Council Member Waterman referred to public comment received about the County septage permit, and whether the planned location would affect Ashley Creek upstream. 02:11:09 Turner explained the County permit is for groundwater injection. 02:11:16 Mayor Hunter referred to the public comment about the reclassification of Ashley Creek and the current status. 02:11:49 Turner provided detail about how and why DEQ is currently analyzing site specific data to update the lower section of Ashley Creek's TMDL's. 02:13:44 Mayor Hunter asked about previous water quality analysis questions and asked about effects of the lawsuit against EPA. 02:14:53 Turner answered questions and considerations explained that we are expecting regulatory answers this fall. 02:16:15 Council Member Waterman confirmed some of the limits with Ashley Creek is based on the size of the creek and why it was chosen many years ago. 02:18:37 Council Member Fisher asked about the accuracy of the public comment received and confirmed that the treatment plant is in compliance with our permit and has been. Turner explained the variance process and factors considered. Council Member Fisher provided discussion about the scenarios presented. 02:20:47 Mayor Hunter talked about growth projections in comparison to recent numbers. 02:21:52 Turner talked further about the scenarios and how future loads and flows will need to be accommodated. 02:22:17 Council Member Leftridge asked whether the rate that Evergreen pays is equitable. 02:22:39 Turner explained that the rates are determined utilizing cost -based analysis, and as equitable as possible. 02:24:32 Council Member Nunnally thanked staff and the consultants for all the work they do on these plans. He then talked the agreement with Evergreen being based on an environmental issue and whether that is still a factor. 02:25:24 Director Turner explained that Evergreen is in the process of doing an alternative study and reviewing their system and about service area expansion. 02:26:13 Council Member Nunnally spoke to the history of the agreement with Evergreen. 02:26:36 Bringing the three plans together Haskins provided an overview of the three plans and estimated costs. 02:27:35 Where we go from here Page 10 of 12 Kalispell City Council Minutes, June 22, 2026 Haskins explained five next steps in relation to adoption and utilization of these plans. 02:28:26 Council Member Leftridge provided discussion related to how we can let the public know what feedback we need. He spoke to sharing what the utility rate analysis and funding mechanisms would be. 02:29:52 Haskins explained feedback is needed from the public on the process, the risk analysis done, and how the projects have been determined with future discussions on rates and fees. 02:31:15 Director Turner spoke regarding future discussion about what capital projects go into the rate analysis and impact fee review that is coming before Council with a lot of opportunities for the public to contribute and provide feedback. 02:32:56 Manager Nygren explained further that the rate study will occur over multiple work sessions with related discussions. 02:33:43 Council Member Leftridge and Waterman thanked staff for their work and proactive planning that have allowed the City to be `shovel -ready' when grant opportunities have arisen. 02:34:27 Mayor Hunter announced that the public hearing will be on July 6, 2026, on these plans with an opportunity for public comments. City Manager Nygren confirmed the importance of `shovel -ready' projects to prepare for opportunities like congressional spending. E. CITY MANAGER, COUNCIL, AND MAYOR REPORTS • A fifth Monday work session has been added related to traffic enforcement. 02:35:38 Council Member Nunnally reported that community leader Gordon Pirrie died and mentioned he and his family have done so much for the community over the years. 02:36:03 Council Member Gabriel thanked staff for their work compiling all the facility plan information and clear presentation. She then talked about the leadership of Mr. Pirrie and that he has been a friend and mentor to her. 02:37:03 Mayor Hunter echoed appreciation for the staff and consultants for the plan and presentation. F. ADJOURNMENT Mayor Hunter adjourned the meeting at 9:37 pm. Aimee Brunckhorst, City Clerk Minutes approved on Page 11 of 12 Kalispell City Council Minutes, June 22, 2026 UPCOMING SCHEDULE EXTRA Work Session — June 29, 2026, at 7:00 p.m. — Council Chambers City Offices Closed — July 3, 2026 — Independence Day Holiday Next Regular Meeting — July 6, 2026, at 7:00 p.m. — Council Chambers Next Work Session — July 13, 2026, at 7:00 p.m. — Council Chambers PARTICIPATION The City does not discriminate on the basis of disability in its programs, services, activities, and employment practices. Auxiliary aids are available. For questions about disability accommodation please contact the City Clerk at 406-758-7756. Page 12 of 12