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5. Resolution 5286 - Resolution of Intent & Call for PH - Parks Maintenance DistrictCity of Kalispell Post Office fox 1997 -Kalispell, Montana 59903-1997 -Telephone (406) 75$-7756 Fax - (406) 758-7754 REPORT To: Mayor Kennedy and Kalispell City Council FROM: Michael Baker, Director of Parks & Recreation Jaynes H. Patrick, City Manager SUBJECT: Resolution of Intent and Call for Public 1-Tearing -- Parks Maintenance District MEETING DATE: Monday July 7, 2008 Regular Council Meeting BACKGROUND: The Kalispell Parks and Recreation Department is the primary provider of parkland and recreation facilities for City residents. It manages 406.15 acres of parkland. Combined, this acreage supports an inventory of 31 park sites. The Kalispell system is made up of a hierarchy of various park types, each offering certain types of recreation and/or open space opportunities. Each park type serves a primary function, but collectively they meet the needs of the entire community. This concept has allowed Kalispell to develop an efficient, cost effective, comprehensive park. system. The current method of financing parks through the general fund, however, places the system in competition with other essential City general fund services. This is not the ideal method of guaranteeing longevity and viability to the parks program. Currently over $600,000 in deferred maintenance issues have been identified. The likelihood of resolving such a deficit in the foreseeable future is not likely with such reliance on the sole source revenue of the general fund. This presents a problem of a continual deterioration of one of the City' s major assets and benefits to its citizens. The City of Kalispell recently adopted a Parks Master Plan that identified the weaknesses, strengths, and needs of the City parks system. In the process of developing the plan an independent survey was taken of City taxpayers and concluded that City residents found the current level of parks maintenance "adequate to excellent", with "cleanliness and maintenance" listed as the top response to specific improvements needed. The survey also revealed that a large majority of the residents surveyed would support a tax measure to maintain and improve existing parks, with 85.4% of respondents supporting a financial tax measure between $15 and $50 annually per household. Earlier this year the City Council was introduced to the Parks Maintenance District concept that is enabled by state law. Under this financing structure the parks system will be financed through assessments of properties in the City in much the same fashion as the Urban Forestry District and the Lighting District. This system of assessment will ensure the financial stability of the parks system and guarantee that City residents will enjoy and benefit from a well maintained park system well into the future. The proposed district would be comprised of all land located within the City limits of Kalispell. The total assessment is estimated to raise $521,700 to fund parr maintenance activities described previously. RECOMMENDATION: City staff recommends that the City Council establish a Parks Maintenance District for Kalispell. The process is initiated by a resolution of intent to create a Parks Maintenance District and calling for a public hearing. Individual notices are mailed to every resident (elector) in the City advising them of this intent and further advising them of their right and method to protest the creation of the district. If more than fifty percent of the electors exercise their right to protest, the creation of the district will fail. FISCAL EFFECTS: The majority of parcels in Kalispell are residential lots averaging approximately 7,000 square feet. The proposed assessment rate is .0055 of the parcel size in square feet. A 7,000 sq. ft. lot would therefore be assessed $38.50/year and a 4,000 sq. ft. lot would be assessed $22.00/year. A maximum cap would be put in place for residential properties at $150 (27,000 sq ft) and for commercial properties at $500 (90,909 sq ft). The total revenue from these assessments is estimated to produce $521,700 annually. Respectfully submitted, Michael Oaker mes H. Patrick Director of Parks City Manager Report Compiled ,Tune 30, 2008 RESOLUTION NO.52SG A RESOL[JTION OF INTENTION TO CREATE A CITY-WIDE PARKS MAINTENANCE DISTRICT NO, 1 IN THE CITY OF KALISPELL, MONTANA, TO DIRECT THE MAILING OF NOTICES AND TO CALL FOR A PUBLIC HEARING. WHEREAS, pursuant to §7-12-4001 MCA, the City of Kalispell is authorized to establish a Parks Maintenance District for the purposes of, but not limited to, mowing, irrigation, turf repair and maintenance, recreation facility and equipment maintenance, tree trimming, tree replacement, tree removal, garbage removal, general cleaning, and leaf debris removal; and WHEREAS, pursuant to §7-12-4001, MCA, the City Council must pass a resolution of intention before creating any Parks Maintenance District and such resolution of intent must state the maximum number of mills or the maximum fee that will be assessed for the district; and WHEREAS, a Parks Maintenance District authorized by §7-12-4001 MCA must be formed and operated in the same manner as a special improvement district; and WHEREAS, a city-wide Parks Maintenance District is desirable to provide the necessary funding to support the services of the City Parks Department which protects, maintains, preserves and cares for all of the city owned rights -of -way, public parks and open space land so as to enhance Kalispell's beauty and environment for the greater benefit of the community; and WHEREAS, it appears to be in the best interest of the City of Kalispell and the inhabitants thereof that the City Council establish a city-wide special maintenance district to be known as Parks Maintenance District No. 1. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF KALISPELL, AS FOLLOWS: SECTION 1. That the City Council intends to create Parks Maintenance District No. 1 which will include all property located within the exterior boundaries of the limits of the City of Kalispell, as currently incorporated, as well as all properties later annexed thereto. SECTION 2. The general purposes of the district are, but are not limited to, plowing, irrigation, turf repair and maintenance, recreation facilities and equipment maintenance, tree trimming, tree replacement, tree removal, garbage removal, general cleaning, and leaf debris removal for the city owned rights -of -way, public parks and open space land. SECTION 3. Pursuant to §7-12-4162(l), MCA the annual assessment rate for each lot or parcel in the City of Kalispell shall be .0055 multiplied by the square footage of the assessed parcel. A 7,000 sq. ft. lot would therefore be assessed $38.501year and a 4,000 sq. ft. lot would be assessed $22.001year. A maximum assessment cap shall be placed on residential properties at $150.001year for 27,000 sq ft, and on commercial properties $500.001 for 90,909 sq ft. SECTION 4, The City Clerk shall cause notice of this resolution of intent to be published in accordance with Section 7-1-2121, MCA and to further mail such notice to each person, firm, or corporation or the agent of the person, firm, or corporation having real property within the proposed district listed in the owners name upon the last -completed assessment roll for state, county, and school district taxes, at the owner's last -known address, upon the same day that the notice is first published or posted. This notice shall state the general character of the purpose of the Parks Maintenance District, state the estimated cost of the district services, describe generally the method by which the costs of the district services will be assessed, and designate the time when and the place where the City Council will hear and pass upon all written protests that may be made against the formation of the Parks Maintenance District. SECTION 5. That the City Council of the City of Kalispell shall hold a public hearing to tape evidence in its consideration whether to pass a final resolution creating a Parks Maintenance District as set forth herein at a meeting to be held on August 4, 2008 at 7:00 P.M., in the Council Chambers, City Hall, Kalispell, Montana. written protests shall be accepted until 5:00 p.m. Monday, August 4, 2008. On August 18, 2008 at 7:00 P.M., in the Council Chambers, City Hall, Kalispell, Montana the City Council shall consider and pass upon all such written protests and determine whether to create the Parks Maintenance District No. 1. SECTION G. The City Clerk is authorized and directed to give notice of the public hearing in accordance with Section 7-1-2121, MCA. PASSED AND APPROVED BY THE CITY COUNCIL AND SIGNED BY THE MAYOR OF THE CITY OF K.Aâ–ºLISPELL, THIS 7TH DAY of JULY, 2008. Pamela B. Kennedy Mayor ATTEST: Theresa White City Clerk NOTICE OF PASSAGE BY THE KALISPELL CITY COUNCIL OF ITS RESOLUTION OF INTENTION TO ESTABLISH A CITY-WIDE PARKS MAINTENANCE DISTRICT AND NOTICE OF PUBLIC HEARING Pursuant to §7-12-4001 MCA, the City of Kalispell is authorized to establish a Parks Maintenance District for the purposes of, but not limited to, mowing, irrigation, turf repair and maintenance, recreation facility and equipment maintenance, tree trimming, tree replacement, tree removal, garbage removal, general cleaning, and leaf debris removal. on July 7, 2008, at its regularly scheduled meeting, the Kalispell City Council passed a "Resolution of Intention to Create a City-wide Parks Maintenance District No. 1 in the City of Kalispell, Montana, to Direct the Mailing of Notices and to Call for a Public Hearing." The Council determined that a city- wide Parks Maintenance District is desirable to provide the necessary funding to support the services of the City Parks Department which protects, maintains, preserves, and cares for all of the city owned rights -of -way, public parks, and open space land so as to enhance Kalispell's beauty and environment for the greater benefit of the community. Pursuant to §7-12-4162(l), MCA, the annual assessment rate for each lot or parcel in the City of Kalispell shall be .0055 multiplied by the square footage of the assessed parcel. The majority of parcels in Kalispell are residential lots averaging approximately 7,000 square feet. A 7,000 sq. ft. lot would therefore be assessed $38.50/year and a 4,000 sq. ft. lot would be assessed $22.00/year. A maximum assessment cap shall be placed on residential properties at $150.001year for 27,000 sq. ft and on commercial properties at $500.00/year for 90,909 sq ft. It is estimated that this assessment for the 2008 -- 2009 fiscal year shall generate $521,700.00. Pursuant to §7-12-4110 .MCA any owner of property liable to be assessed for the work may make written protest against the proposed work or against the extent or creation of the district to be assessed, or both. A protest must be in writing, identify the property in the district owned by the protestor, and be signed by all the owners of the property. written protests must be emailed to the City Clerk at twhite2a-;ka1.is ell.com or by regular mail to the office of City Clerk, P.O. Box 1997, Kalispell, MT 59903. All written notices must be received no later than 5:00 p.m. Friday, August 4, 2008. On August 4, 2008 at 7:00 P.M., in the Council Chambers, City Hall, 201 First Avenue East, Kalispell, Montana, the City Council of the City of Kalispell shall hold a public hearing to take evidence in its consideration whether to pass a final resolution creating a Parks Maintenance District. On August 18, 2008 at 7:00 P.M., in the Council Chambers, City Hall, 201 First Avenue East, Kalispell, Montana the City Council shall consider and pass upon all such written protests and determine whether to create the Parks Maintenance District No. 1. Theresa white City Clerk