Harball to Conners/Latecomer FeeCharles A. Harball Office of City Attorney
City Attorney 201 First Avenue East
P.O. Box 1997
Kalispell, MT 59903-1997
May 20, 2008
Linda Hewitt Conners
Attorney at Law
P.O. Box 7310
Kalispell, MT 59904
Re: Latecomer's Fee Due — Response to Request for TIF Benefits
Dear Linda:
Tel 406.758.7977
Fax 406.758.7979
charball@kalispell.com
When I met with you and your clients a couple of weeks ago to discuss the Old
School Station Latecomer's Fee that was coming due, you indicated that you
believed that your clients were either, not aware when they purchased the property
that this would be a cost, or that some other agreement had been arranged with
Andy Miller, the developer. I asked at that time that you provide me with a written
statement representing your client's denial of responsibility for this fee that I could
pass on to Mr. Miller. The fee came due on Monday, May 12th and I have not yet
received this communications from you.
As you are aware, the City is the administrator and collection agent of this
developer's agreement. If there is a disagreement between your client and the
developer regarding whether or not the fee is due, I need to be able to communicate
with both parties to determine the best method of resolving the dispute. If there is
an essential disagreement that can not be immediately resolved, I will need to
interplead the matter into the District Court. If this is the course to be taken, I
would suggest that the parties then agree to mediate the matter as soon as possible.
In any event, I do need you to provide me a written statement of your clients' stance
within the week.
We did receive your written request, dated May 1, 2008, for reimbursement of
expenses from TIF generated by the OSS District. As you are aware tax increment
comes into the TIF in a somewhat delayed fashion because of the state's tax
structure. There is generally about a two year delay before the full benefits of the
investment in the district is realized. Therefore, there is not much, if any, in the
fund at this time. If you give Amy a call sometime in June (she is out of the office at
this time) she will be able to give you the balances.
Linda Hewitt Conners
Attorney at Law
May 20, 2008
Page - 2
The City is currently in the process, with the assistance of bond counsel, of
developing a TIF benefit/reimbursement program. The input of your clients, as
investors, is invited and appreciated and your letter will be placed in that file.
cc: City Manager
Andy Miller
Sincerely,
Charles A. Harball
City Attorney
Office of City Attorney
®l® City of Kalispell —17