7. Ordinance 1579 - Additional Street Assessment Rate Category - 1st ReadingCity of Kalispell
Charles A. Harball office of City Attorney
City Attoy 312 First Avenue East
0. Box 1997
Kalispell, MT 5990 -19 7
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MEMORANDUM
TO: Mayor Pamela B. Kennedy
and Kalispell City Council
FROM: Charles Haall, City Attorney
James H. Patrick, City Manager
Tel 406.758.7708
Fax 406.758.7771
charball@kalispell.com
SUBJECT: Ordinance No. 1579 and 1580 -- Amendments to Street
Assessments and Storm Water Assessments
MEETING DATE: Monday, July 3, 2006 — Regular Meeting
BACKGROUND: The City of Kalispell assesses properties within the City for the
purposes of paying for the costs of maintaim'ng streets and the storm water systems..
The ordinance categorizes properties according to the intensity of use it places upon
the streets and storm water systems. The categories are currently vacant land,
residential and commercial. Ordinances 1579 and 1580 propose to add exempt
properties subject to assessments as a separate category. Currently these
properties are assessed as residential even though they are typically more
developed and used more intensely than residential properties but less intensely
than commercial properties. Staff is proposing that this category would be more
equitably assessed at a rate level between the residential and commercial rates.
Staff is also recommending a fairly simple modification to the current
language regarding the commercial categories to clarify the intent of the Council
that all commercial properties will be assessed for street and storm water systems.
maintenance.
RECOMMENDATION., That the City Council consider and pass ordinances 1579
and 1580 on first reading.
Ordinances 1579 and 1580 Memorandum. to Council
June 2, 2006
Page - 2
FISCAL EFFECTS: These amendments o the ordinances are not intended to
increase the revenue from assessments, but rather, to more equitably spread the
costs between the properties according to the intensity of service usage required by
those properties.
Respectfully submitted,
Charles Har al , City Attorney
James H. Patrick, City Manager
Office of City Attomey
City of Kalil.
ORDINANCE NO. 1579
AN ORDINANCE AMENDING ORDINANCE 175 BY CREATING AN ADDITIONAL
CATEGORY FOR TAX EXEMPT PROPERTIES THAT ARE SUBJECT TO STREET
ASSESSMENTS, MODIFYING LANGUAGE CLARIFY THE COMMERCIAL
CATEG RIES� AND DECLARING AN EFFECTIVE DATE.
WHEREAS, currently tax exempt properties that are subject to street assessments are assessed
by the City of Kalispell at the rate of residential properties every though these
properties are more completely developed and are more intensely utilized by the
public, thereby creating more impacts upon streets than the typical residence; and
WHEREAS, tax exempt properties subject to street assessments are not typically developed. t
the same level of intense use as commercial properties and therefore d.o not rise t
the same level of impact upon streets as commercial property; and
WHEREAS, it is therefore equitable to assess the tax exempt properties at a rate higher than
the residential rates, but less than the commercial rates; and
WHEREAS,, it is the intention of the City Council that all commercial properties be included in
either Category 3 or Category 4 and thereby be assessed for street maintenance
costs and that the current language of the ordinance should be amended to clarify
this intention.
NOW THEREFOREE IT ORDAINED BY THE CITY COUNCIL OF THE CITY O
KALISPELL, M N ANA, AS FOLLOWS
SECTION I. Ordinance 1475 is hereby amended at Section V. to read as follows:
That the cost of and expenses of maintaining the streets, avenues, alleys and
public roads shall be assessed against each lot or parcel within the Special
Maintenance District No. 1 as follows
Category I Vacant Land up to Two Acres — shall be assessed at the same rate as
all vacant land up to two acres*
Category I Vacant Land over Two Acres — shall be assessed a total amount of n
more than the assessment for two acres of vacant lard.
Category .2 Residential Lana U to acre - shall be assessed at the same rate as
all residential land pup to V2aere.
Category 2 Residential Land over Y acre.* shall be assessed a total amount of
no more than the assessment for V2acre of residential lard.
Category 3 Commercial U 90% Covered: - shall be assessed at the rate set
annually by City Council.
Category 4 Commercial ,more Than 0% Covered.- - shall be assessed at the rate
set annually by City Council.
Catetyory 5 Tax -Exec t fro i .• -- shall he assessed at the rate set ann all b
city -council.
Public and private parklands, as defined by Kalispell City Code 2 -3- 1 ,
and cemeteries shall exempt from the assessment.
SECTION 2. This ordinance shall take effect 30 days after final passage by the City
Council.
PASSED AND APPROVED BY THE CITY COUNCIL AND SIGNED BY THE MAYOR
THIS 1 7TH DAY OF J LY, 2006.
ATTEST -
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Theresa White
City Clerk
Pamela B. Kennedy
Mayor