1. Resolution 5571 - Willows SID #345r
Charles A. Harball Office Of City Attorney
City Attorney 201 First Avenue East
P.O. Box 1997
Kalispell, MT 59903-1997
TO: Doug Russell, City Manager
FROM: Charles Harball, City Attorney
Tel 406.758.7709
Fax 406.758.7771
charball@kalispell.com
SUBJECT: Resolution No. 5571— A Resolution Creating a Special
Improvement District for the Purposes of Providing Storm
Water Improvements to the Willows Subdivision.
STING ATE: July 16, 2012 — Regular Council Meeting
BACKGROUND: On June 18, 2012, the City Council passed Resolution No. 5565 which
was a resolution of intent to create a special improvement district for the purposes of
providing storm water improvements to the Willows Subdivision and calling for a public
hearing. The duly noticed public hearing on the matter will be held during this regular
council meeting for the purpose of hearing from the public. As of the date of this
memorandum the City has received one written protest from a property owner within the
proposed district, representing 1.15% percent of the property owners.
This subdivision was approved and built in the late 90's. The storm water system
design did not meet city standards at the time so the developer agreed that the
homeowners association would retain ownership and responsibility for that system.
Now, after experiencing ten years of inadequate storm water drainage the owners seek to
improve the system through a project financed through the SRF funding of the DNRC
and paid for and secured through a special improvement district. The city would take
ownership of the system once it has been improved to city standards.
It is anticipated, based upon preliminary engineering estimates, that the monthly
assessment to each parcel shall be approximately $30.00.
RECOMMENDATION: City Council give consideration to and pass Resolution No.
5571.
FISCAL IMPACTS: The fiscal impacts are as stated in the resolution.
Respectfully submitted,
Charles Harball, Cit Attorney
Approved:
"OugCity anager
BE IT RESOLVED by the City Council (the "Council") of the City of Kalispell (the
"City"), Montana, as follows:
Section 1. Passage of Resolution of Intention. This Council, on June 18, 2012, adopted
Resolution No. 5565 (the "Resolution of Intention"), pursuant to which this Council declared its
intention to create a special improvement district, designated as Special Improvement District
No. 345 of the City (the "District"), under Montana Code Annotated, Title 7, Chapter 12, Parts
41 and 42, as amended, for the purpose of financing the costs of certain local improvements
described generally therein and consisting primarily of a storm water detention facility and outlet
(the "Improvements") and paying costs incidental thereto, including costs associated with the
sale and the security of special improvement district bonds drawn on the District (the "Bonds"),
the creation and administration of the District, and the funding of a deposit to the City's Special
Improvement District Revolving Fund (the "Revolving Fund") and to a District reserve account.
Section 2. Notice and Public Hearing. Notice of passage of the Resolution of Intention
was duly published and mailed in all respects in accordance with law, and on July 16, 2012, this
Council conducted a public hearing to hear and pass upon protests against the proposed
Improvements and the creation of the District. The public hearing was the first meeting of the
Council following the expiration of the period ended 17 days after the first date of publication of
the notice of passage of the Resolution of Intention (the "Protest Period").
Section 3. Protests. Within the Protest Period, one (1) protest was filed with the City
Clerk by the owners of property in the District subject to assessment, representing 1.15% of the
total estimated costs of the Improvements and costs incidental thereto to be assessed against the
properties in the District, in accordance with the method or methods of assessment in the
Resolution of Intention.
Section 4. Creation of the District; Insufficiency of Protests. The Council determines
that the protests made by owners in the District to be assessed for the cost of the proposed
Improvements and incidental costs to be financed with the Bonds is not more than 50% of all of
such costs in the District and that the District is hereby created on the terms and conditions set
forth in, and otherwise in accordance with, the Resolution of Intention. The protests against the
creation of the District or the making of the Improvements filed during the Protest Period are
hereby found to be insufficient. The findings and determinations made in the Resolution of
Intention, including, without limitation, those relating to benefits conferred, funding the
Revolving Fund and District reserve account and securing the Bonds thereby, and using the
proceeds of the Bonds to pay or reimburse the City for all or a portion of the costs of the
Improvements and costs incidental thereto are hereby ratified and confirmed.
PASSED AND APPROVED BY THE CITY COUNCIL AND SIGNED BY THE MAYOR
OF THE CITY OF KALISPELL, THIS 16TH DAY OF JULY, 2012.
ATTEST:
Theresa White
City Clerk
Tammi Fisher
Mayor
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Exhibit C - The Willows Pr000sed Budeet
Estimate of Contructior and Engineering (with contigency) $342,300.00
Estimate of Bond Counsel and Financial Advisor $11,000.00
City Administration Fee $0.00
Subtotal Construction and Administrative Costs $353,300.00
Revolving Fund Deposit (5%) $19,628.00
Reserve Fund Deposit (S%) $19,628.00
Subtotal Bond Costs $39,256.00
Tota I SIC) Bond Cost
Number of Properties
87
ITotal Estimated Cost Per Assessment Unit (Equal Basis) $4,512.1�j