1. Council Minutes - Regular Meeting June 6, 2005A REGULAR MEETING OF THE KALISPELL CITY COUNCIL WAS HELD AT 7:00
P.M., MONDAY, JUNE 6, 2005, IN THE COUNCIL CHAMBERS AT CITY HALL IN
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MEMBERS JIM ATKINSON, KARI GABRIEL, BOB HAFFERMAN, BOB HERRON,
RANDY KENYON, DUANE LARSON, HANK OLSON, AND JAYSON PETERS WERE
PRESENT.
Also present: City Manager James Patrick, City Attorney Charles Harball, City Clerk Theresa White,
Building Official Craig Kerzman, Finance Director Amy Robertson, Parks and Recreation Director
Mike Baker, Police Chief Frank Garner, and Tri-City Senior Planner Narda Wilson.
Mayor Kennedy called the meeting to order and led the Pledge of Allegiance.
A. AGENDA APPROVAL
Atkinson unloved 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 — Regular Meeting May 16, 2005
2. Council Minutes — Special Fvleetin iay 23, 2005
3. Postpone Action on Bid — City AiEport North End Surfacing Improvements
Two bids were received for the north end surfacing improvements for the Kalispell City
Airport. Staff is recommending the Council postpone action until the June 20th meeting.
4. Agreement Between City of Kalispell and the United States Geological Survey
Council is being asked to grant permission to the United States Geological Survey to install a
stream flow measurement station on Buffalo Hill Golf Course Property.
5. Ordinance 1.537 —.Adopting tin 1997 Uniform Building Code Fee Schedule — 2nd Reading
This ordinance adopts the 1997 Uniform Building Code fee schedule which will provide
adequate revenue to meet the demands placed on the City by construction growth. Ordinance
1537 passed on first reading May 16,
6. Ordinance 1539 Zone Change...— Three Mile Professional LLC — 2nd Readin
Ordinance 1539 changes the zoning from R-5, Residential/Professional Office, to B-1,
Neighborhood Buffer, on approximately three and a half acres located at the northwest corner
of Three Mile Drive and Meridian Road. Ordinance 1539 passed on first reading May 16.
7. Proclamation — National Cancer Survivor Day — June 5, 2005
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June 6, 2005
Page 1
S. Proclamation - United States Arm Week -- June 1.2 through June 18 2005
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Hafferman stated he will be voting "no" on the Consent Agenda because of item #5, the building
code fee schedule. He said an additional building inspector is needed, however, "there is no written
documentation that the fees received because of the increased building activity has not been adequate
to cover the hiring of adequate personnel".
The motion carried upon roll call vote with. Atkinson, Gabriel, Herron, Kenyon, Larson,
Olson, Peters, and Mayor Kennedy voting in favor, and Hafferman voting against.
C. STUDENT ISSUES
Colin Bradley and Kelly Blick, members of the Kalispell Youth Advisory Council, informed the
Council that a recent survey taken at the high school and junior high school showed that 94% of the
students are in favor of a teen center and asked the Council to consider using the armory for that
purpose. He said 2720 surveys were distributed and 1500 were returned.
Linda Ravisher, Kalispell Youth Advisory Council Adult Advisor, also encouraged the Council to
favorably consider a teen center, stating young people need a safe place to "hang out".
Chelsey Bradley, 111.5 Ashley Drive, said when the skating rink and bowling alley shut down a lot of
kids had nothing better to do than start drinking.
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Mayor Kennedy thanked Bradley and Biick for all of the work they did with the survey, adding the
students obviously feel strongly about this issue.
D. PUBLIC COMMENT
Bob White, 273 Arbor Drive West, President of the Kalispell Youth Foundation, said the activity by
the kids heard today gives hire hope that a teed center is not only a great opportunity, but has a
tremendous chance for success.
Richard Nelson, 94 Northern Lights Boulevard, expressed concern with the Meridian Road project
and whether it will really solve the traffic problems. He also said he's concerned with Phase 11 of the
airport project and the two antique radio towers, stating someone should be able to design a short
radio transmission tower "that could be put on the roof of that building out there".
Chuck Cummings, 1002 4th Avenue East, commented several people are confused with the pending
zone change on the Courthouse East property and he would like to know whether there is anything in
the current zoning ordinances that is actually required, or are they all basically subject to the opinions
of the Council.
Lila Kruckenberg, 1204 Sunnyside Drive, showed the Council pictures of Sunnyside Subdivision
stating there have been erosion problems and because there isn't an area to play, her vacant property
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June 6, 2005
Page 2
has become a de facto park. She said this subdivision has cost her family "megabucks" and asked
the Council to look more closely at proposed subdivisions.
E. REPORTS RECOMMENDATIONS AND SUBSE DENT COUNCIL ACTION
E/1. RESOLUTION 5014 — BUILDING DEPARTMENT FEE SCHEDULE
This resolution sets the fee schedule for the Building Department.
Kenyon moved Resolution 5014, a resolution to set the City of Kalispell fees associated with
building permits, zoning administration, fire prevention and site review to be effective on July
V, 2005. The motion was seconded.
Patrick gave a staff report.
Hafferman commented there is not adequate documentation for him to support this proposal.
Peters said he sees a need for building and fire prevention services, but he doesn't see a reason for
the zoning.
The motion carried upon roll call vote with Atkinson, Gabriel, Herron, Kenyon, Larson,
Olson, Peters, and Mayor Kennedy voting in favor, and Hafferman voting against.
E/2. RESOLUTION 5015 — PLANNING OFFICE FEE SCHEDULE
This resolution sets me fee schedule for the newly created l�.allspell Planning Office, effective July i,
2005.
Larson moved Resolution 5015, a resolution to set the City of Kalispell Planning Office fee
schedules to become effective July 1, 2005. The motion was seconded.
Patrick gave a staff report and answered questions.
Atkinson stated one of the reasons for this resolution is that the staff is trying to find ways to make
new growth pay for itself.
Peters noted he spoke with two developers last week and they both felt it's the City's job to do the
final inspection and the only way to do that is to raise fees to hire additional staff.
Hafferman said there's not adequate documentation to support this fee schedule and he has no
information on whether the increased subdivision activity generates enough fees to support the hiring
of temporary personnel, adding temporary is the key word because this boom may slow down.
The motion carried upon roll call vote with Atkinson, Gabriel, Herron, Kenyon, Larson,
Olson, Peters, and Mayor Kennedy voting in favor, and Hafferman voting against.
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E/3. RESOLUTION 5016 — RESOLUTION OF INTENT AND CALL FOR PUBLIC
HEARING — 2004/2005 BUDGET AMENDMENTS
This resolution sets a public hearing for June 20th for anyone who would like to comment on the
City's proposed amendments to the 2004-2005 budget.
Kenyon moved Resolution 5016, a resolution calling for a public hearing to amend the annual
appropriations of the City of Kalispell, Montana, as set forth in the 2004-2005 budget adopted
by the City Council. The motion was seconded.
Patrick gave a staff report.
There was no discussion.
The motion carried unanimously upon roll call vote.
E/4. ORDINANCE 1538 — ZONE CHANGE AND PLANNED UNIT DEVELOPMENT —
COURTHOUSE EAST —1ST READING (TABLED MAY 16)
DEV Properties has requested a change in zoning from R-3, Urban Single Family Residential, to R-
5, Residential/Professional Office, with a Planned Unit Development overlay on approximately two
acres located at 72.3 Fifth Avenue East. The proposal includes 28 apartments, approximately 20,000
square feet of office space, approximately 1,600 square feet of retail space, and a 2,000 square foot
community room. (Ordinance 1.538 was tabled at the May 16 meeting)
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amend Section 27.02.01.0, Official Zoning Map, City of Kalispell Zoning Ordinance (Ordinance
No.1460), by zoning certain real property more particularly described as Lots 1-12, Block 203
Kalispell Addition, located in Section 17, Township 28 North, Range 21 West, P.M.M.,
Flathead County, Montana (previously zoned City R-3, Single Family Residential) to City R-S
(Residential/Professional Office), with a planned unit development overlay in accordance with
the Kalispell Growth Policy 2020, and to provide an effective date). The motion was seconded.
Wilson gave a staff report explaining a couple of issues were raised during a neighborhood meeting
and subsequent Council work session. She suggested the Council address the concerns by adding a
couple of conditions to the ordinance as follows: 1) Phase 1 of the project shall include the
completion of the exterior of the building, landscaping, sidewalks and boulevard treatment, and 2)
The project shall be substantially completed by July 1, 2008 or the developers demonstrate a
continuous good faith effort has been made to bring the project to completion by that date or the
zoning shall revert back to the previous R-3, Urban. Single Family Residential.
Mayor Kennedy asked Harball to respond to Cumming's comments.
Harball stated in any issue people will disagree and it's the responsibility of the Council to look at
the facts before them and make a determination as to the appropriate action. He said as long as the
Council makes decisions based on facts, their decisions will be upheld.
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June 6, 2005
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Hafferman commented this is an issue of property rights for the neighbors and the developers and by
changing the zoning "we are exacerbating the situation". He said the Council should be debating the
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concerns are related to the intensity of this project, which appears to overwhelm the entire site and
the surrounding area with the parking and possible traffic. He added if the project comes to fruition,
a full time manager should be a condition of approval. Hafferman said in his opinion the proposal
needs a lot more thought before he can vote for it.
Peters stated he feels Condition #15 is not required of other developers and should be removed from
the ordinance, which would then require the removal of Condition #1.6.
Peters moved Condition #1.5 (The phasing and timing of the development shall occur as
proposed. Bonding or insurance for the full cost of the proposed infrastructure and
improvements to ensure the improvements will be completed as proposed shall be provided by
the developer) and Condition #16 (If the project is not substantially completed, or is
abandoned, by December 2007 the city has the option to use the collateral to remove the
building and clear the site) be removed from the ordinance. The motion was seconded.
Harball commented he is always concerned when changing policy, but if the Council feels it's
necessary in order to alleviate neighborhood concerns then it should consider bonding for the full
cost.
Atkinson spoke in favor of Conditions #15 and #16, stating this is a PUD and the Council is able to
set conditions particular to this project.
Larson commented he seconded the motion because he aarees #15 needs to be eliminated, but he's
not in favor of removing #16 because the City needs some sort of completion date. Unfortunately,
however, if #15 is removed, there won't be any collateral to use.
Wilson suggested a modification to #15, rather than throwing the entire condition out. She said the
Council may just want to state that "bonding or insurance for the cost of required infrastructure to
ensure improvements shall be completed will be required by the developer",
Mayor Kennedy said the motion before the Council needs to be decided prior to any additional
changes.
Kenyon Agreed with Atkinson, noting a PUD allows for specialized regulations and the City owes it
to the neighbors to make sure the development is completed successfully.
The motion failed upon a roll call vote with Larson, Peters, and Mayor Kennedy voting in
favor, and Atkinson, Gabriel, Hafferman, Herron, Kenyon, and Olson voting against.
Peters stated it doesn't make sense to have Condition #16 because even if the City has collateral
there's been no determination that it would be the right thing to do to demolish the building.
Peters moved to remove Condition #16 from the ordinance. The motion was seconded.
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1-larball noted the City doesn't have the authority to force the demolition of the building unless
there's a finding that it's a hazard. He agreed with Peters that it doesn't make a lot of sense to bond
for the building's demolition.
The motion carried upon roll call vote with Atkinson, Gabriel, Hafferman, Herron, Larson,
Peters, and Mayor Kennedy voting in favor, and Kenyon and Olson voting against.
Larson asked if it would be better to bond each phase individually.
Wilson said the project would be bonded with one agreement, breaking down the cost of each phase,
and then as the phases become complete the developer would receive a partial release of the bond or
collateral.
Olson said instead of incrementally releasing the bond, he would prefer to leave the bonding in place
until the entire project is complete.
Olson moved an addition to Condition #15 stating that none of the bonding be refunded until
construction is complete. The motion was seconded.
Harball said partial refunding of a bond is normally the policy because developers operate from
borrowed capital and in order for them to be successful they can't have everything tied up in one
project, adding it's a serious concern.
The motion failed upon roll call vote with Kenyon and Olson voting in favor, and Atkinson,
Gabriel, Hafferman, Herron, Larson, Peters, and Mayor Kennedy voting against.
Larson moved Condition #16 be added stating, " The project shall be substantially completed
by July 1, 2008, or the developers must show that a continuous good faith effort has been made
to bring the project to completion by that date, or the zoning shall revert back to the previous
R-3, Urban Single Family Residential". The motion was seconded.
Larson commented he feels there has to be a completion date and the stipulation the zoning will
revert to R-3.
Peters said he's not going to support the motion because he's afraid the project will be completed
halfway and then the zoning will revert to R-3.
The motion carried upon roll call vote with Atkinson Gabriel, Hafferman, Kenyon, Larson,
Olson, and Mayor Kennedy voting in favor, and Herron and Peters voting against.
Herron moved a condition be added requiring that Phase 1 of the project will include the
completion of the exterior of the building, landscaping, sidewalks and boulevard treatment.
The motion was seconded.
The motion carried unanimously upon roll call vote.
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June 6, 2005
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The main motion as amended three times carried upon roll call vote with Atkinson, Gabriel,
Herron, Kenyon, Larson, Olson, Peters, and Mayor Kennedy voting in favor, and Hafferman
voting against.
E/5. RESOLUTION 5017 — DAVID AND BEVERLY MOSSY
This is a request for annexation of approximately one half of an acre located at 1404 6th Street East.
Peters moved Resolution 5017, a resolution to provide for the alteration of the boundaries of
the City of Kalispell by including therein as an annexation certain real property, more
particularly described as a portion of Assessor's Tract 5Q located in Section 1.7, Township 28
North, Range 21 West, P.M.M., Flathead County, Montana, to be known as Mosby Addition
No 363; to zone said property in accordance with the Kalispell Zoning Ordinance, and to
declare an effective date. The motion was seconded.
Wilson gave a staff report on the annexation and zoning.
There was no discussion.
The motion carried unanimously upon roll call vote.
E/6. ORDINANCE 1540 —INITIAL ZONING — DAVID AND BEVERLY MOSSY — I ST
READING
The Mosby's are requesting a zoning designation of R-3, Urban Single Family Residential, upon
annexation of the above mentioned property.
Atkinson moved first reading of Ordinance 1540, an ordinance to amend Section 27.02.010,
Official Zoning Map, City of Kalispell Zoning Ordinance, (Ordinance No. 1460), by zoning
certain real property described as a portion of Assessor's Tract 5Q located in Section 17,
Township 28 North, Range 21 West, P.M.M., Flathead County, Montana (previously zoned
County R-4, Two Family Residential) to City R-3 (Urban Single Family Residential), in
accordance with the Kalispell Growth Policy 2020, and to provide an effective date. The
motion was seconded.
There was no discussion.
The motion carried unanimously upon roll call vote.
E/7. RESOLUTION 5018 — ANNEXATION — OLD SCHOOL STATION INDUSTRIAL
PARK
Montana Venture Partners, LLC is requesting annexation of approximately 55 acres Iocated 1.9 miles
south of the City limits. The developers would pay to extend sewer and water lines in exchange for
T1F assistance for park infrastructure.
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Atkinson moved Resolution 5018, a resolution to provide for the alteration of the boundaries of
the City of Kalispell by including therein, as an annexation, the real property described as
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Range 21 West, P.M.M., Flathead County, Montana, to be known as Old School Station
Addition No. 364; and to declare an effective date. The motion was seconded.
Patrick explained the City has the opportunity to partner with Montana Venture Partners, LLC to
form an industrial park. He said Montana Venture wishes to annex to the City and extend water and
sewer to this area in return for TIP assistance. Patrick said the tax revenue from the park will assist
in developing a sustainable tax base in the future as well as producing at least 1,000 good quality
jobs.
Hafferman stated "we have a one paragraph proposal to annex a 55 acre parcel at the end of a two
mile tentacle from our nearest City limits''. He said no cost analysis has been provided; the proposed
area is beyond even a future fire station in the airport area; and there is no extension of services plan.
Hafferman said if this was a good proposal for the citizens, a feasibility analysis should have been
"eagerly provided". He said he would be in favor of allowing the developer to extend the water and
sewer in exchange for building to City standards and waiving the right to protest annexation.
Patrick commented the fire chief has indicated the department can effectively respond to this area
and an industrial park doesn't require the same amount of services as a residential area. He said the
Council has looped at ways to diversify the tax base and this is a prime opportunity to do that by
bringing in industrial and commercial properties. In addition, Patrick stated there are property
owners along US 93 who are also interested in annexing.
Olson noted the County has alreadv annroved this nroiect with sentic systems. He nor ed the
property is a "long way out". but added the City will be creating a lot of good paying jobs and he will
support it because of that.
Peters said because the County has already approved the project the jobs will still be there
independent of what the Council does and the tax revenue will be delayed for the life of the TIF
district. He said he's also in favor of allowing them to get City services, but he's not in favor of
annexation. Peters stated he doesn't understand what the advantage is to the taxpayer and is
confused why this proposal is even before the Council.
Patrick responded the City has been looking at developing an industrial park and when this project
was proposed it only madesense to try to develop a partnership.
Hafferman stated this is a "lousy deal" for the City of Kalispell because for 1.5 years not one tax
dollar will go into the general fund and the taxpayers' rates will have to go up to pay for the services
for police, fire and infrastructure maintenance.
Herron said he thinks this is a great project, but he doesn't have any numbers to base a decision on.
He said this is a 3.1 million dollar windfall for the developers and other developers are asking why
they have to pay for their own infrastructure. Herron said there are just too many unanswered
questions.
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June 6, 2005
Page 8
Patrick said a meeting with the developer is schedule for Wednesday morning to develop the
business plans. He stated the City has not been approached by any other developers interested in an
industrial park, reiterating this is an opportunity to diversify the economy and tax base by providing
some incentives to companies corning to town.
Herron commented he still doesn't feel the Council has enough information and even though he
doesn't have any problem with the annexation, he may have a problem with the TIF.
Larson said the Council is simply voting on the annexation and there will be a lot more information
coming forward prior to a vote on the TIF. He said he supports it because he feels this will be a
duality project with quality developers that will be a benefit to the City, however, he is concerned
about public safety response time.
Hafferman pointed out an extension of services plan is required by State law prior to any decision
being made.
Peters noted even though the Council has been told they are only voting on annexation, he feels it's a
lead to a TIF district otherwise annexation wouldn't be considered. He said the extension of sewer
and water can occur without annexation, but a TIF district can't. Peters said at this time he just can't
see how this makes sense.
Atkinson said he's looking at the annexation as more than j ust an annexation. He said it's a potential
for great economic development and will allow the City to have a say in the development of the
southern corridor. He added he's only willing to take this leap because of the partners the City will
be involved with.
Mayor Kennedy said she supports the annexation and she also supports the TIF district. She said the
developers are at the table because they were asked to come to the table. Mayor Kennedy said the
Council has charged the City Manager with increasing the number of jobs and the economic
development in the community and she feels this will do just that.
Gabriel said she will support the resolution for the same reasons, adding she has to trust the police
and fire chiefs when they say the area can be adequately covered.
Herron said he is going to support the resolution because he doesn't want to see another onsite
treatment facility or septic system in this valley, but he's not necessarily going to support a TIF
district.
The motion carried upon roll call vote with Atkinson, Gabriel, Herron, Larson, Olson, and
Mayor Kennedy voting in favor, and Hafferman, Kenyon, and Peters voting against.
EIS. CONDITIONAL USE PERMIT -- COTTONWOOD PARK SUBDIVISION
Andy Silvers is requesting a conditional use permit to allow the conversion of four single family lots
to four two unit townhouses on approximately 10 acres in Cottonwood Park Subdivision.
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Page 9
Larson moved Council approve the conditional use permit for Cottonwood Park Subdivision
with the attached conditions. The motion was seconded.
Wilson gave a staff report on the conditional use permit and Silvers' request for a preliminary plat
amendment and answered questions.
Peters commented he'd like to see a community standard that sets out how townhouses are integrated
into subdivisions.
Olson agreed that if townhouses are becoming a norm, then standards should be set.
Atkinson said he'd like to see a community standard requiring alleys.
The motion carried unanimously upon vote.
E/9. RESOLUTION 5019 — PRELIMINARY PLAT AMENDMENT — COTTONWOOD
PARK SUBDIVISION
Andy Silvers is requesting an amended preliminary plat approval of Cottonwood Park Subdivision to
convert four single family lots to eight townhouse sublots.
Peters moved Resolution 5019, a resolution approving certain revisions to the preliminary plat
of Cottonwood Park Subdivision, more particularly described as Assessor's Tract 4C in
Section 2, Township 28 North, Range 22 West, P.M.M, Flathead County, Montana.
There was no discussion.
The motion carried unanimously upon roll call vote.
E/10. FINAL PLAT — THE GREENERY
This is a request from Nolan Holdings, LLC for final plat approval of the Greenery, a six lot
townhouse subdivision and one lot commercial subdivision located on the north side of Four Mile
Drive and Highway 93 North.
Larson moved Council accept the Subdivision Improvement Agreement and approve the final
plat for The Greenery. The motion was seconded.
Wilson gave a staff report.
Mayor Kennedy and Gabriel complimented Norman Beach on the quality of the development.
The motion carried unanimously upon vote.
E/11. FINAL PLAT — AMENDED PLAT OF GATEWAY WEST SUBDIVISION UNIT #2
This is a request from ACG Kalispell Investors LLC for final plat approval of Gateway West
Subdivision Unit ##2, a one lot commercial subdivision located in the Gateway West parking lot.
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June 5. 2005
Page 10
Larson moved Council approve the final plat for the Amended Plat of Gateway West
Subdivision #2. The motion was seconded.
Wilson gave a staff report and answered questions.
The motion carried unanimously upon vote.
E/12. RESOLUTION 5020 — AMTRAK SUPPORT
This is a resolution in support of reauthorizing funding for Amtrak.
Larson moved Resolution 5020, a resolution urging the United States Congress and the
President of the United States to reauthorize funding for Amtrak. The motion was seconded.
Patrick gave a staff report.
Mayor Kennedy commented Amtrak is a vital part of the community and the State.
The motion carried unanimously upon roll call vote.
F. MAYOR/COUNCIL/CITY MANAGER'S REPORTS (No Action)
Mayor Kennedy asked that discussion of a teen center be placed on a work session and that the
Youth Advisory Council be notified as to the date.
Olson complimented Bob Herron on his generosity with the Bob Herron Insurance scholarship
awards.
Patrick congratulated all of the graduates and asked everyone to drive carefully and watch for
children.
G. ADJOURN
The meeting was adjourned at 9:37 p.m.
ATTEST:
Theresa White
City Clerk
Pamela B. Kennedy
Mayor
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