3. Annexation PolicyPANNING FOR THE F[I'I'tJRE MONTANA
MEMORANDUM
Report To: Kalispell City Council
From: Tom Jentz, Director
Jane Howington, City Manager
Subject: Draft Annexation Policy
Meeting Date: July 19, 2010
Planning Department
201 V Avenue East
Kalispell, MT 59901
Phone: (406) 758-7940
Fax: (406) 758-7739
www.kalispell.com/planning
The Kalispell City Council sent a request to the Kalispell Planning Board in January to prepare a
draft annexation policy. The purpose of the policy would be to give the planning board, the
council and the development community direction when outlying property owners are requesting
municipal services and annexation. The planning board held 4 work sessions on this topic. In their
deliberations they were guided by the initial statements council gave them in January and
summarized below:
l . Require lands to be immediately adjacent to existing city limits before they are annexed.
2. Set a boundary around the city based on distance (1/2mile or 1 mile) from the existing city
limits.
3. Set an annexation boundary around the city that is limited by natural topography.
4. Set a boundary around the city based on a certain amount of anticipated development (5
years or 10 years worth).
5. Require new annexations be infill thus setting a boundary around the city using the
exterior limits of the islands (Old School Station, Silverbrook and Three Mile Drive).
6. For development proposals lying further out, consider annexation districts or waivers of
right to protest annexation instead of outright annexation.
Attached is a draft of the proposed Annexation Policy for Kalispell. This policy is being
forwarded to the Kalispell City Council for preliminary review. while there has been significant
media coverage, public involvement has been limited to date. Ultimately, the annexation policy
should be adopted as an amendment to the Kahsp ell Growth Policy. The adoption process would
then involve a public hearing at the planning board level and public hearing and action at council.
RECOMMENDATION: Council should review the attached draft. If the direction taken by the planning
board is agreeable, direct the planning board to begin adoption of the policy as an amendment to the
Kalispell Growth Policy.
FISCAL EFIF CTS. Significant positive impacts once implemented as it will provide a valuable tool in
assessing the appropriateness and tinning of annexing property into the City of Kalispell.
Report compiled: April 28, ZD 10
c: 'Theresa White, Kalispell City Clerk
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POLICYKALISPELL ANNEXATION
r"REPARED
BY THE
KALISPELL
PLANNING
.. i.�. x ;�
�: TI`:
The Kalispell Annexation. Policy is uniquely crafted to address and balance the competing
demands of developments proposed in those areas adjacent to the city with the tinning and
provision of municipal services that accompany any development that occurs in the greater
Kalispell. Growth Policy area. The Annexation policy consists of a map and text. The map
graphically portrays those areas adjacent to the city where requests for annexation would be
routinely embraced and conversely those areas further out where requests for annexation or
municipal service may be provided using alternative measures. The associated policy text
provides further guidance in interpreting the reap and providing suggested procedures to follow.
The focus of the annexat io n policy is threefold:
1. To provide for the most efficient pattern of growth in and adjacent to the city.
2. To provide for the most efficient extension of municipal services to lands proposed for
annexation either now or in the future.
3. To provide for the viable future growth of the city of Kalispell unhindered by the
encroachment of substandard rural development.
The Annexation Policy Map (attachment 1) provides a graphic policy st at ernent showing a
boundary around the city where direct annexation upon request by a property owner would be
supported. Those areas beyond the annexation boundary would require additional scrutiny and
possibly be subject to various alternative methods both in terms of the method of annexation as
well as the tmlmg and provision of municipal services.
The annexation boundary map was intended to be a general policy statement not a fixed
regulatory document. The boundary was intended to address the impacts of logical development
patterns and growth within the city that would occur over the next 5 — 10 years. It was noted that
the city has experienced an historical boom during the first decade of the 21 " century in which
both our population and boundaries grew 50%. At the same time the end of this decade brought
upon us one of the greatest recessionary periods experienced by our residents that literally
brought development in the city to a standstill. while neither should be used to predict the future
of our community, the ranufications of both must be factored into our planning considerations.
In developing the annexation boundary reap, a series of factors were melded together to create a
unified policy. The boundary was intended to reflect growth that would occur in the next 10
years. Many factors were considered in developing this map. First, obvious topographic
boundaries were used: Flathead and Stillwater Rivers and Ashley Creek and Lone Pine Sate Park.
Where geographic boundaries were not evident, a boundary that generally extended 1/ mile
beyond the current city limits was incorporated to allow for efficient annexation adjacent to the
city without a hard and fast policy that new growth had to touch the city. In addition, the
availability of city services including the 5-minute fire response service area and presence of
municipal water and sewer Tines were factored into the process.
The annexation policy map needs to be reviewed at least every 5 years to keep it relevant as the
city grows.
The policy statements below must be used to interpret the annexation policy reap. This policy is
intended to apply to all annexations of land as well as requests for municipal services for lands
outside the city. This would include both obvious annexations as shown within the annexation
policy boundary reap, lands outside the annexation boundary area and wholly surrounded lands
inside the city limits proposed for annexation. This framework describes various options for
annexation (direct annexation, the use of waiver of protest to annexation and the creation of
annexation districts) and when it is appropriate to consider each.
Annexation Options
1. Properties inside the Kalispell Annexation Boundary Area when an owner petitions for
ann.exat io n:
a. The property owner submits a written petition for annexation to the Planning
Department.
b. City would follow the "Direct Annexation" process.
2. Properties outside of the Kalispell Annexation Boundary Area when an owner petitions for
annexation:
a. The property owner submits a written petition for annexation to the Planning
Department. r
b . The Planning B o and would review the merits of the annexation and make one of the
following recommendations based on promoting a logical and efficient development
pattern for the city:
1) Direct Annexation:
i. Available if the property meets two or more of the following criteria:
1. .Adjacent to but outside the city's annexation. boundary.
2. The property lies in the immediate path of additional annexations
which will form a logical extension of the city.
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3 . The property lies within the existing service area of the Fire
Department.
4. The annexation achieves one or more key goals of the growth
policy or provides a necessary connnunity connection, facility or
infrastructure component.
2) Petition to Waive Right to Protest Annexation
i. .available if the property meets a majority of the fo llo wing criteria:
1. The property is outside of the city's annexation boundary.
2. The property lies in the immediate path of additional annexations.
3. The property is in an area that will be adjacent to existing city
infrastructure (sewer, water, fire service area) in the next 10 ---- 20
years.
4. The property is serviceable by existing or proposed extensions to
municipal water or sewer services or fire protection.
S. Services within the property can be provided in the near term. by
other than municipal means (private road user's agreements, private
homeowner's association maintenance of parrs and open space,
contracting with rural fire districts, etc.)
6. Development of the property achieves one or more ley goals of the
growth policy or provides a necessary community connection,
facility, infrastructure component or community benefit.
3) The Creation of an Annexation District.
i. Available if the property meets the following criteria:
1. The property meets a significant number of criteria as listed in
number 2) Petition to waive Right to Protest annexation above
and;
2. The property would be adjacent to or inside the city's annexation
boundary area in the next S - 10 years.
Annexation Processes
1. Direct annexation Process (Property owner petitions):
a. The property owner submits a petition for annexation to the Planning Department.
b. The Planning Board determines that direct annexation is appropriate.
c. The Planning Board holds a hearing for the purpose of recommending the most
appropriate zoning.
d. Planning Board recommendations on annexation and zoning are forwarded to the City
Council.
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e. The City Council would act on the annexation request and if appropriate approve the
appropriate zoning.
f. Staff would not prepare a cost of services plan
2. Petition of '"waiver of Right to Protest annexation: (Property owner Petitions)
a. The property owner submits a petition for annexation to the Punning Department.
b. The Planning Board makes a recommendation on the most appropriate process to
follow -- in this case waiver of protest to annexation - to the City Council.
c. The City Council acts on the Planning Board recommendation. If the Council concurs
that a waiver of annexation is most appropriate the following procedures occur:
1) The property owner enters into an inter -local agreement with the city and the
county stating that the city will provide specified services (typically water
and/or sewer) extended at the property owner's expense and that in exchange:
i. The property owner will agree to submit a waiver of protest of
annexation to the city.
ii. The property owner ensures that the development will be built to
Kalispell Urban Standards and allow city inspection of the
improvements as they are installed to ensure that all future public
infrastructure is built to proper standards.
111. Finally the property owner agrees to require that all structures will be
built accordance to the building codes adopted by the city of Kalispell
at the time of construction and that they will provide for proper
inspections.
2) Kalispell Site Review Committee will review the development proposal to
ensure that the development is built to Kalispell Urban Standards.
3) Kalispell Site Review Committee passes these recommendations on to the
Flathead County Planning Board to incorporate into their staff review.
4) If infrastructure is not built to Kalispell Urban S t and and s, the requested
municipal public services will be withheld.
5) Under this policy, the city will annex this property at its own discretion,
without protest from the property owners, after giving due notice to the
property owners of the intent to annex.
d. The city staff would then ono nito r the development over time and make a
recommendation to the City Council when actual annexation would appear to be
appropriate. As a justification for annexation a "Cost of Services Plan" would be
required to be prepared by staff unless the site has since been included in a new
annexation boundary.
3. The Creation of an Annexation District: (Properties Owner's Petition)
a. The property owner submits a petition for annexation to the Planning Department.
b. The Planning Board makes a recommendation on the most appropriate process to
follow — in this case creation of an annexation district - to the City Council.
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c. The City Council acts on the Planning Board recommendation. If the council concurs
that the creation of an annexation district is most appropriate the following procedures
occur:
1) The property owner enters into an inter -local agreement with the city and the
county stating:
a. The city will be creating an annexation district.
b. The city and its boards and staff will be responsible for review and
approval of any development proposal on the site.
c. The city will utilize its zoning ordinance, subdivision regulations and be
guided by its growth policy in the review of any project or development
plan.
d. Any development will be built to Kalispell Urban Standards.
e. All public infrastructure will be inspected by the city.
f. The agreement will list a timetable and responsibility for the provision
of each of the basic urban services.
i. Urban services include sewer, water, storinwater, street
construction and maintenance, street tree maintenance, police
and fire services, building inspection, parks development and
maintenance and garbage collection.
ii. where services are initially to be provided by an entity other
than the city such as a private contractor, home owners
association, local government district or the county, provisions
shall be made by the property owner to compensate those
entities.
iu.. where any services are provided directly by the city,
assessments or payments in lieu of taxes shall be assessed and
collected by the city to adequately compensate for the services
rendered.
g. At the tinge of building permit, all city impact fees shall be collected and
placed in an escrow account until the property is actually annexed.
h. The agreement shall have a 10 year maximum life. At the end of the
specified agreement the city shall either provide for an extension (if
provided for in law) or annex the property.
i. Staff shall prepare an initial "Cost of Services Plan7 at the time the
request for annexation is submitted and at the time actual annexation is
proposed.
4. Annexation of wholly Surrounded .Areas
Part 7-2-45 MCA provides a process for the city to annex wholly surrounded land. The
law provides that the city shall pass a resolution of intent, give notice to the affected
property owners and precede with annexation without a petition or request from the
affected surrounded property owners. The basis of this law is that properties, because of
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their location within the boundaries of a city are in erect already receiving some municipal
services without paying their fair share in support. The residents drive city streets, have
access to city parks, have city police patrolling in and around their neighborhoods, have
access to fire protection in case of a major incident, etc. In addition such annexations
simplify the provision of emergency services creating a clear line of agency primary
responsibility when an emergency does arise.
a. The City Council directs the Planning Board to proceed with the annexation of
properties wholly surrounded per 7-2-(4501-4511 ) MCA.
b . The planning staff notifies the affected property owners within the wholly surrounded
area to be annexed.
c. Staff would prepare an extension of services plan showing how all municipal services
can be provided to the properties, either immediately in the case of fire, police, road
maintenance, park maintenance or where major utilities or facilities are missing such as
water mains, fire hydrants or sewer mains, financing options that would be available
to the property owners.
d. Informational materials are made available to the property owners explaining the
process, the type of zoning proposed and the impacts this annexation would have on
their property.
e. The Planning Board holds a public hearing for the purpose of recommending the most
appropriate zoning.
f Planning Board recommendation is forwarded to the City Council.
g. The City Council would act on the Planning Board recommendation for annexation
and approve the appropriate zoning classification or classifications.
City of Kalispell Fire Station Approx. 5 Minute Response Area & Annexation Policy Working Map
. .... ..... . . ------
WPORT,i�NT NOTE RESPONSE
AREA JS APPROXIMATED!
Response area 3s created by pefforminga flcod
trace of roads based on the speed limit of each
road segment, and distance trom I" F!fe Slabom 1t rl The Flood Tracu,'.,, 0 01--'S NOT ai lcny for slower speeds
tums. eta
Intmal m4*ids vvelro eWtnated and the outer � .'
bwndary of the resul"'119 pafyyon was S4100111ed Alrom Rd
to duct an appfoximate 5 minute respmse 4
xea, Kea roads are, present to tram, ft does not
i mean that Ule artla cannot bps rear: ied within the
response limp,
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Legend
City of Kalispell R �y CV1 Of
Evergreen Sewer RSID
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Alternate U.S. Highway 93 Route
Annexation Policy Boundary Option
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