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10/17/05 City Council MinutesA REGULAR MEETING of THE KALISPELL CITY COUNCIL WAS HELD AT 7:00 .M., MONDAY, OC O ER 17,2005, IN THE COUNCIL CHAMBERS AT CITY HALL IN KALISPELL, MON ANA, MAYOR PAMELA B. KENNEDY PRESIDED, COUNCIL MEMBERS M ATKINSON, KARI GABRIE , BOB RAFFERMAN, BOB HERRON RANDY KENYON, TIM KLUESNER DUANE LARSON, AND HANK O SON WERE PRESENT. Also present: City Manager James Patrick, City Attorney Charles Harall, City Clerk Theresa White, Finance Director Amy Robertson, Public Works Director Jim Hans , Police Chief Frank Gamer, Fire Chief Randy : rodehl, Kalispell Planning Department Senior Planner Nar a Wilson, and Recording Secretary .di Funky Mayor Kennedy called the meeting to order and led the Pledge of Allegiance. A. AGENDA APPROVAL Kenyon moved approval of the Agenda. The motion was seconded. There was no discussion. The motion carried unanimously upon vote. B. CONSENT AGENDA APPROVAL 1. Council Minutes — Regglar Meetiniz October -3 200 1 Pledged Securities as o r Se teb r 302oo� . M12roviniz Revised Interlocal Agreement — MM A The Montana Municipal Insurance Authority has determined that revisions to the original terloal Agreement are necessary and Council was asked to approve those revisions. . Grant Acceptance — N rt ri z Center The Nurturing Center was recently awarded a grant for $289,798 from the Department o Justice. This money is a pass through grant with the City as the sponsor. 5. ordinance 1554 — Zonis Text Amendment AmericanCa o- 2nd Readiqg Big Sky Properties, on behalf of American Capitol, requested an amendment to the Kalispell Zoning Ordinance to ally light assembly in the - , Community Business, zoning; districts. ordinance 1554 passed on first reading October 3. . Proclamation — Red Ribbon Week — October 23 tiro h October 2 '. Plaque.Presentation to Duane Larson - President of the Montana Leagge of 0ties and Towns Atkinson moved approval of the Consent Agenda* The motion was seconded. Kalispell City Council Minutes October 1. , 2005 'age I There was no discussion.. The motion -carded unanimously upon roll call vote. C, STUDENT ISSUES None. D, PUBLIC COMMENT Clarice Gates, 426 7th Avenue west, read a written statement in opposition to Resolutions 5070 and 5071, the proposed TIF districts for the old School Station property. (Statement is attached and by this reference is made a part of the official record) Kurt Hafferman , 1325 2ud Street west, spoke against Resolu tj on 5072, a proposal to provide Kelsey Subdivision. with City serer service* He stated the aquifer is very important, but the County needs to fix the problem, not the Catty. He stressed Ashley Creek won't stay in good condition if the City continues to take in effluent from outside the City. Hafferman also criticized the proposals to create TIF districts for old School Station, stating the Council needs to work within its growth policy. Norbert Donahue, 144 Crestli e Drive, also spoke against Resolution 5072, and stated if serer is extended to Kelsey Subdivision then anyone in between can hook on without annexing or waiving their right to protest. He said that this is not in the best interest of the City. Andy Miller, 175 East Many Lakes Drive, owner/developer of ol.d School Station, spoke in favor of ResoJutions So o and 50and stated the projects 1471ll bring ob opportunities to the valley. He read letters from Elizabeth Marchi, :resident of Montana west Economic Development, and Doug A erill, Flathead Lae Lodge, in support of the TIF Districts. (Letters are attached and by this reference are made a part of the official record E. REPORTS RECOMMEN ATIONS AND SUBSEQUENT COUNCIL ACTION ,1 /L ORDINANCE 1555 —ZONING TEXT AMENDMENT —SIGN REGUIAT oNS — 2ND READING This ordinance amends the current sign regulations. ordinance 1555 passed on first reading, with amendments, October 3. Larson moved second, reading of Ordinance 1555, an ordinance amending the Kalispell Zoning Ordinance o dlu ce No. 1460), by amending Section 27.24, Sign Regulations, declaring u effective date, and authorizing the city attorney to codify the same. The motion io was seconded. Patrick gave a staff report and explained the changes that were made at the first reading. Hafferman stated that he will be voting against this ordinance, but he will offer an amendment regarding large projects. Kalispell City Council Minutes ae Hafferman roved to add Section 2 .24.o o , `Businesses having approved entrances from more than two collector streets and/or an arterial highway may submit a signage plan to the City Council for their approval that exceeds the sign area allowable 'in this Ordinance. A portion of the proposed signage may be off -premise provided the business property does not abut a third or fourth collector street or arterial highway and such off -premise sie does not direct traffic through a residential zone." The motion was seconded,. Hafferman stated that there are projects that could meet these criteria right now, like the mall and Hutton Ranch Plaza. Atkinson said he feels this offers an unfair playing field for some businesses and asked the Council o vote against it. The amendment carried upon roll call vote with Gabriel, Hafferman, Herron, Kluesner, Larson and Mayor Kennedy voting in favor, and Atkinson, Kenyon and Olson voting inst. The main motion as amended carried upon roll call vote with Atkinson, Gabriel, Herron, Kenyon, Il es. er, Larson, Olson and Mayor Kennedy voting in favor, and Hafferman voting against. E 2. RESOLUTION 506 — RESOLUTION of INTENT TO AMEND GROWTH POLICY HIGHWAY 93 SOUTH This resolution of intent proposes to amend the Kalispell Growth. Policy 2020 by including approximately 2,560 acres in the Potential Utility Service Area for Kalispell and assigning an appropriate land -use. Gabriel moved Resolution 5068, a resolution of intention to adopt, revise, or reject recommended me dme .t to the Kalispell Growth Policy 2020. The motion was seconded. Wilson gave a staff report. Hafferman read a statement opposing; this resolution and asked that his comments be attached to the minutes for the record. (Statement is attached and by this reference is made a part of the official record) The motion carried upon roll call vote with Atkinson, Gabriel, Kenyon, Herron, Kluesner, Larson, Olson and Mayor Kennedy voting in favor, and Hafferman voting against. 3. RESOLUTION 50— RESOLUTION OF INTENT AND CALL FOR PUBLIC HEARING — BUDGET AMENDMENT FOR OLD SCHOOL STATION SPECIAL IMPROVEMENT DISTRICT 344 Resolution 501s a resolution of intent to amend the budget to include SID 344..A public bearing is scheduled for November 7. Kalispell City Council Minutes October 17, 2005 'age Kenyon moved Resolution 5069, a resolution calling for a public hearing to amend the annual appropriations of the City of Kalispell, Montana, as set forth in the 2005-200budget adopted y the City Council. The motion was seconded. Patrick gave a staff report. Hafferman stated he is in favor of public hearings. Atkinson commented if the SID passes the old School Station property owners will be paying for the. improvements, not the taxpayers. The motion carried unanimously upon roil call vote, E . RESOLUTION Soo — RESOLUTION of INTENT AND CALL FOR PUBLIC HEARING — OLD SCHOOL STATION INDUSTRIAL TA. INCREMENT DISTRICT This resolution sets a public hearing for November 7 on the City's intent to create are industrial tax increment t district on the old School Station. site. Kenyon moved Resolution 5070, a resolution of intent to establish an Industrial Tax Increment District at old School Station and call for public hearing under Montana Code Annotated Title 7, Chapter 15, Part 42. The motion was seconded. Patrick gave a staff report. Haf er an pointed out that according to Section 3, Preliminary Approval, a vote for Resolutions oo and 5071 is a vote for the 'CIF districts being created. He said he is concerned that the City taxpayers, the schools, and all County residents will be paying for a private development if the TIP Districts are established. Hafferman asked the City Manager if this area is considered blight, and who will pay the costs associated with fire services since there won't be any money coming in from the TIP districts. Patrick responded that the finding of blight is not necessary for an industrial or technology TIF district and some taxes will be corning into the City because there will be businesses on the site that do not qualify for either d . tri t. He stated the property has already been annexed, so regardless o whether there are TIF districts fire services will have to be provided. Patrick reminded Council that when he was hired one of the things Council asked him to do was to fiDd ways to brim; good paying jobs to the City, and that's what he is trying to do. a . erman reiterated that the Council reeds to see all of the information and figures prior to making a decision. Olson commented we are creating jobs and doing it the only way the City can, and it's not against the law. He said we need to make an effort to draw good businesses to town and that's exactly what the City Manager is tryincr to do. Kalispell City Council Minutes October 1, 2005 Page Mayor Kennedy added a technology F will not have an impact on the schools because it will not be adding any children. She said the school district is In Favor of the TIFs because they can see the long term benefits of better paying jobs and the future taxes the project will be generating. Atkinson agreed, stating a. TIF district is'`deferred. wealth". He said we need to befar-reaching and far-thinkingand we have to have faith that the raw land will become something valuable. KI uesner noted that jobs are very important and the developers should e commended, but .fie has concerns art the process. said t Council has not been educated as to fat this roet s abort, and he is not ready to approve a resolution that states the Council is giving the TIF preliminary approval. Kenyon asked Har all what the legal Implications would be if Section 3 is removed from the resolution. arball said the language in the resolution is set out by statute. He saidwhether the specific language s included r not, when the Council passes a resolution o Intent it s giving preliminary approval and calling for a public bearing. Larson stated the key words in the resolution are �4 subj e t to final approval fo Rowing the Hearing". He said he will vote in favor of the resolution because the Council needs to hear from the public. The motion carried upon roll call vote with Atkinson, Gabriel, Herron, Kenyon, Larson., Olson and Mayor Kennedy voting in favor, and Haffermn and Klnesner voting against. E # RESOLUTION IoN . — RESOLUTION of INTENT AND CALL FOR PUBLIC HEARING — OLD SCHOOL STATION TECHNOLOGY TAX INCREMENT DISTRICT This resolution sets a public hearing for November 7 on the C ty's intent to create a technology tax increment district on the old School Station site. Kenyon moved. Resolution 5071, a resolution of intent to establish a Technology Tax Increment District at old School Station and call for public hearing under Montana code Annotated Title Chapter I, Part 42. The notion was seconded. There was no discussion. The motion carried upon roll call vote with Atkinson, Gabriel, Herron, Kenyon, Larson, Olson and Mayor Kennedy voting in favor, and Hafferman and Klnesner voting against. E . RESOLUTION 50EVERGREEN WATER. AND SEWED. CONNECTION KESEY SUBDIVISION Council will consider providing sewer utilities to Kelsey Subdivision, which is outside the City limits. Kalispell City Council Minutes October 17, 2005 Page Larson moved Resolution 5072, a resolution regarding the development of Kelsey Subdivision and provision of municipal sewer services thereto. The motion was seconded. Patrick gave a staff report. Larson stated that this has been a long and rocky road, and several plans have been discussed in the past to extend sewer services to this subdivision. He said at this point all sides agree and the City is protected because part of the subdivision 1s within the Evergreen RSID. His opinion is that the benefits to the aquifer fifer will be greatly enhanced and he supports the agreement "w o eheartedly". Hafferman read a section of the i.nterlo al agreement that deals with waivers of protest of annexation, stating the agreement gives the City everything it needs to provide service and the City doesn't need to go through this'-rigrnarole". He said this is not about protecting the aquifer, it's about annexation, period. He said pumping the wastewater such a long distance is a disservice to the environment and the pumping stations require money to maintain and replace. He said the Council should insist on an extension of services plan before they vote. Larson stated he sees nothing about annexation in the resolution. Olson agreed, stating in his mind it is about the aquifer. Atkinson said he cannot support the resolution because Cottonwood Estates, and others, will want the same treatment. He stated that Evergreen is asking to utilize Kalispell's capacity to serve someone outside of Kalispell, because they can't legally. Atkinson started that he does not feel a responsibility to give away the capacity that Kalispell taxpayers are paying for in order to service these people, adding that when the area beomes dense enough and Kalispell sever is requested, then we should provide it. He said providing sewer without annexation did not work in the 9 s and this is exactly what we are doing with Kelsey Subdivision. He pleaded with the Council. not to vote or this resolution. Larson disagreed, stating we are not giving anything away; the developer is paying for ghat he is getting. Klesner stated in the business world this males a lot of sense. He said this is a great deal for the City because it can take care of the effluent without running Fire and police out there. He said he thinks this is a win -win situation. Gabriel stated she is still struggling with the issue because the capacity is not going to be counted against Evergreen. She said because of than she can't support it at this time. Larson responded that the interlocal agreement states that any capacity outside the RSID is charged against the City. Hafferma . moved that Number 4 in the last Whereas be removed. (Number 4 states, "that the City of Kalispell and Flathead County enter intro an agreement stipulating that in the event that the City of Kalispell ever serves the Kelsey Subdivision with a separate sewer conveyance Kalispell City Council Minutes Page system, thereby severing from the Evergreen Sewer conveyance systems., the ownership of the sewer lines within the subdivision shall be conveyed to the City"). There was no second. There was further discussion. The motion carried upon roll call vote with Herron, Klesne, Larson, Olson, and Mayor Kennedy voting in favor, and Atkinson, Gabriel, Hfferman, and Kenyon voting against. F. M YORICOUNCIL C ' Y MANAGER'S REPORTS No Action Patrick a ke Chief Brodehl for helping; FEMA with the Hurricane Katrina relief efforts i Beaumont, `Peas. G, ADJOURN The meeting was adjourned at :00 p.m. x _ x Pamela B. Ke e i Mayor ATTEST: Y Theresa Whe City Clerk November 7, 2005 Kalispell City Council Minutcs October 17, 2005 .gage October 17, 2005 Mayor and City Council Clafice Gates 4 2 . Ave W Kalispell, MT 59901 (406) 752- l Resolution No 5071 and Resolution No. 5070 ask you to form TIF Districts in Old School Station to .day for infrastructure in that subdivision. You have already created SID there. Since there Will not be development there at the time of the TIF ceiling is set; the only money received for schools, city and other taxing acces is the tax that Will cone from the bare land. All the tax money received on buildings if and when the lots are developed will be put in the TIF Funds. How do you plan to pay for the police and other services going to that subdivision? n Oct. 14, 2005 an article in Interlake stated that the Shen* ff Dept. t. is having problems with high gas hills. How do you plan to pay the gas bills for the police as the gas r*ce increases and you keep increasing the cit 's boundaries and give tax breaks to developers? The "'near Rosancrs Store Building " tax money goes into the TIF fad none of the taxes except on the land goes to upkeep of the city or to schools and other taxing agencies. Who ordered the Bond person from Denver to attend the workshop on Oct I o, 2005 to discuss Old school ,fist. School Station? the mayor, Patrick, the City Manager or the city council asked for him Whc that the council wanted to talk about whether they wanted a TIF District; the mayor pushed it aside. Refer to Chapter 2 Adrnir .stration Article 1. Elected officials. As co ncilpersons you .have the right to discuss such natters with out being pushed in one direction or another. Have you had a workshop to discuss the Amending the Growth. Policy Amendment` How does it affect the city as a whole. When did we become a public utility? How would the expansion o the utilities be ,laid? How would you pay for the new fire hall and other services? Policies: Create incentives for usmcss -high pang Jobs ! ! ! ! age. Will there be many high pang jobs in the Old School Station`? Warehouses do not need many employees and have you asked about the pay scale? And more T F Districts takes the money needed to rim the city, schools and other taxing agencies. Please table Resolution No. 5068 to recommend Amendment ent to Kalispell Growth Policy 2020 until research can be done to find ways other fl= TIC' Districts to help business and the Impact Fees have been set. When expanding K-ales- ell" s-se-w. --sy tem- -wit . another "Pod" Will it be " and. at .erect" in or must it follow the requirements of the new environmental requirements.? jobs Now,, Inc. An Economic Development Organization 129 Main Street ■ Kalispell, MT 59901 a Ph, 406.257,7711 z 1. 87 . 440 ■ Fax 406.257.7772 ■ ww. o - o r.or October 14, 2005 The Honorable Pam Kennedy Honorable Members of the Kalispell City Council City Hall Kalispell, MT 59901 Dear Mayor Kennedy and Members of the Council: 'lease enter into the record of tonight's meeting my strong support for the creation of an Industrial TIF District and Technology TIF District for the Old School Station Industrial 'ark. The Flathead valley has long needed a first class location for new and expanding business development of the kind that will be attracted to this development. The park planned for Old School station will attract high value tax base and create duality, livable wage jobs in our area economy. The TIF, in ray opinion, has its highest and best use in this kind of development. It is never easy being on the leading edge of new development oft is kind. The valley does not have a history of planned, thoughtful, business park development with full services and infrastructure. The upfront costs are very significant. The risk is greatest when you are first in a market* Montana has very few tools to put to the task of high value business attraction and development. The ability of cities to create TIF Districts is one of the fear available mechanisms to support the infrastructure required for an industrial park. One def-nition of economic development is "Effective public/private partnerships for sustained private investment." creating Industrial and Technology TIF Districts for the Old school station Industrial Park is a very positive move for economic development} Where are many pieces for effective economicdevelopment: sites and facilities are very, very important. encourage you to support the creation of TIF Districts for old School Station. Sincerely, Elizabeth C. Marci President Montana West Economic Development (fka as Jobs NovInc.) AvMM"'Iri Kalispell City Council 248, 3'. Ave. East Kalispell, Mt. 59901 October 13, Zoo Dear Council, This letter is in reference to the TIF Old School Station project. As you know with the rapid groom taping place in Montana and the valley there needs to e a vision for expanding job opportunities in the professional high tech fields. The Flathead valley recently lost a thriving and upcoming tech business, Cable Tech to the City of Great Falls. This company has employed many of our young people in their early tech comers and has been an inspiration to them towards tethered education i engineering and MBA pursuits. �f • y The men acre Old School Station -is ideally located for housing and business access to the community. It is this type of complex that will sustain the 'lathead's young people and provide the opportunities to live in their hone tor. The astonishingly high drop out rate of students from area high schools is evidence we need action from community leadership to set example in god policy that provides hope for youthful carriers. Andy Miller the developer, has a tether vision for are Animation Center and taping the resource of renowned producer ,Terry Mollen, which could dramatically capture and inspire the minds of our young people and direct there towards furthering their drearns and job potential. As owner and operator of one of the oldest business in the valley and whose grandparents used the ,historic Demarsville Unding near this project, I find Old School Station's proposal consistent and appealing to the long range growth of the valley. Zu erely, g Averill Flattmd Lake Ledge * Box 248 * Bigfor , Mona 59911 * 40337- 3 1 i FAX ( 837-6977 email: the dlakelod e e del. e # website: www.flatheadlakelodge.com Bob H fferm 's statement as read during the October 17, 2005 Council Meeting, Amend Growth Policy I arn not opposed to plug as far south as Old School Station.. Someday our contiguous city its MAY grow to that area.. I, like many presidents of this city, wonder what is going on i city govemment as well as the suspicion of WHY. WHe I was aware that a possibility the Growth Policy would be amended to Mcle more area southerly, I had naively assumed that the process of amendment would follow not only the regulation IN the Growth Policy, but there would be public participation. It is hard for me to believe that none of the County residents M the expanded area had enough interest to comment o the proposal, either for or against. I smell another 'Mcia ce like we had n 2002 with the vexation of property along the hazardous S..ysie Drive that was totally out of character with the ad ommg county neighbors. Public involvement would have certainly had an influence on me on that issue. I was elected to SERVE the public, not the bureaucracy. The Daily Inter Lake, where I must frequently tum to find out what is going g on in City govemme t, had NOT A PEEP about the proposal being on the Ong Board agenda either In the article on Monday, October 10, just before the meeting, or about the results a of a supposed hearing M the Thursday, October 13 ar ie a or elsewhere in the news that I found. The only thug reported was about amending the Lighting Ordinance, I believe this council should SCBEDULE A WELL PUBLICIZED PUBLIC HEARING before this Council BEFORE we vote on this amendment. I want to avoid another lawsuit like the Sunnysde Drive suit. Item 10 of Exhibit A states (read). The meeting should be held and the Council informed BEFORE we vote. I also have concerns that other elements necessary for orderly growth were not addressed in Exhibit A, Item I (read). This assumes the City of Kalispell has a water right to serge this expanded area. ff DOES No T . Kalispell' s present water right extends only to the bound.ary of the EXISTING Growth. Policy. Avista could make a call on their water fights or the possibility exists of the SKC co, tro li g aH groundwater M the Flathead Basin. It is important that water rights go through the correct channels. The CouncH should know what process must be met before any of the expanded area can receive city water. I have had calls, one yesterday from a Iorner mayor, from people who have concerns about Sher expansion of our wastewater plat due to the low flows M Ashley Creek. This needs to documented by IEQ before this Council can make any sort of informed vote. I am also concerned what implications are oled in Item I I (read). Shouldn't the entire CouncH and PUBLIC be informed of what discussions have taken place with Lakeside Sewer? I am also wonder about the concerns of the Somers VFD as the city starts to erode their tax base. We already know what the rest of the �s around Kalispell �- Evergreen, Smith valley, West valley and South Kalispell , tank about our relationship with them. The south boundary o this proposed growth area is about as close to Somers as it is our own ire department. Of course South Kalispell VFD is much closer than both. There may be other concerns of the public for which I am not aware. A responsible go ermme t males informed decisions. I'm certainly not sufficiently informed. I have to vote No. I hope this Council, if they have concerns, VA11 ask that their and my co ce xs be addressed and a public bearing be held before the Council before any vote is made to extend the Growth Policy boundary. We should NOT he STAWEDED into this important decision. I hereby request that these comments be appended to the minutes of the meet* . I want to protect myself in the event a lawsuit is ff*fitiated by aggrieved residents.)