Kalvig to Harball/Latecomer Agreement & Gardner PUDJOHN B . DUDis
BRUCE A. FREDRICKSON*
KEN A. KALVIG
MARSHALL MURRAY
(Retired)
Charlie Harball
Doug Russell
City of Kalispell
201 1 St Avenue East
Kalispell, MT 59901
Our Client:
Re:
ICALVIG & LEDuc P.(.1 RECENED
ATrORNEYs AT : 15
♦.
w 3 MAY - 6 AM
KALISPELL CITY CLERK
Southfield Tower
1830 3rd Avenue East, Suite 301
Kalispell, MT 59901
May 2, 2013
P.O. Box 1678
KALISPELL, MT 59903
PHONE: 406-257-6001
FAX: 406-257-6082
ALL ATTORNEYS LICENSED IN MT
ALSO LICENSED IN NORTH DAKOTA
Via Email (charball(Da.kal ispell. cony) & Ln7ang.gei-r,&,kaffisRe11. com)
X T T ,1' U/7il
Montana Venture Partners, LLC
Latecomer Agreement
Dear Charlie and Doug:
In light of comments made by Mayor Fisher and other council members at the April 15,
2013 City Council meeting, Montana Venture Partners, LLC ("MVP") has asked me to inform
you that its position remains that the property included in the Gardner/VW 2-Lot PUD is covered
by the latecomer agreement between MVP and the City of Kalispell. Therefore, when those lots
connect to the city's infrastructure, MVP expects to receive latecomer fees from the City. This
position holds true for the remainder of the Gardner property annexed in 2008 and which was
zoned with a PUD Placeholder. If said latecomer fees are not received by MVP, the City will be
in breach of its agreement with MVP.
My client is deeply concerned that the Gardners and other property owners will continue to
refuse to pay latecomer fees based on their own infrastructure development, just as has been
argued with the GardnerNW 2-lot PUD. This is a situation neither MVP nor the City ever
imagined happening. The City's record is very clear that the properties south of Lower Valley
Road and Cemetery Road along Highway 93 would unquestionably be responsible for paying
latecomer fees. MVP is very concerned and disappointed with the City's (1) unwillingness to tell
the owners of property, clearly intended to be required to pay latecomer fees, that it must do so
(namely Gardners and VW Properties), and (2) willingness to work with these same property
owners on infrastructure plans that may be setting the stage for future disputes over who does or
does not have to pay latecomer fees.
Charlie Harball and Doug Russell
May 2, 2013
Page 2 of 2
MVP wants clear confirmation from the City that (1) it will honor its latecomer agreement
with MVP, and (2) that when other properties south of- Cemetery Road and Lower Valley Road
receive City sewer and water that latecomer fees will be paid. To date, MVP has received no
clarity from the City. In February, Charlie Harball told MVP that the lot where the VW dealership
was proposed may not have to pay latecomer fees, but that the rest of the Gardner property
unquestionably would have to. Now, Mayor Fisher has opined that the both lots in the 2-Lot PUD
shouldn't have to pay latecomer fees. Where does this end? My client does not want to have to
face a dispute every time a new property is going to be getting water and sewer service from the
City.
My client has spent real and substantial amounts of money t0 oversize infrastructure at the
City's demand and it is counting on and needs reimbursement of that cost through the latecomer
fees. If they do, not come from the clearly understood sources, then MVP will need to demand that
the City reimburse it in full for the millions of dollars spent. Obviously, both parties would like to
avoid having to go down that road.
My client and I would like to meet with both of you and Mayor Fisher at your earliest
opportunity to begin addressing my client's concerns. Please let us know when we can meet.
Sincerely,
Ken A. Kalvig
ken@kalviglaw.com
cc: Mayor Tammi Fisher