Resolution 5706 - Support of Establishing a Countywide 911 Special DistrictA RESOLUTION OF THE CITY COUNCIL OF THE CITY OF KALISPELL, MONTAN
IN SUPPORT OF ESTABLISHING A COUNTYWIDE 911 SPECIAL DISTRICT WITHI
FLATHEAD COUNTY THROUGH RESOLUTION OF THE FLATHEAD COUNT
COMMISSIONERS IN ACCORDANCE WITH MONTANA STATE LAW AT MCA § 7-1
1003 PROVIDING TO THE COUNTY THE AUTHORIZATION TO CREATE SPECIA[
111STRICTS.
WHEREAS, in 2009 an Interlocal Agreement was entered into by Flathead County and the
incorporated municipalities of Kalispell, Whitefish and Columbia Falls for the
establishment, operation and funding of a new consolidated countywide 911 system;
and
WHEREAS, the Flathead County Consolidated 91.1 System established by this Interlocal
Agreement began operation in April, 2009; and
WHEREAS, a Future Funding Committee was established as an integral element of this Interlocal
Agreement to research and recommend future funding options for a more equitable
funding system upon completion of the building constituction; and
WHEREAS, because of the economic downturn experienced in Flathead County in the time period
of 2008 through 2011, the 911 Administrative Board and the Future Funding
Committee determined that the likelihood for countywide voter approval of an
additional property tax levy to fund the consolidated 911 system was not favorable,
therefore a ballot measure was not pursued; and
WHEREAS, the Future Funding Committee issued its report and recommendations on May 4,
2011 with recommendations for a countywide property tax mill levy, instituted at the
appropriate time for an election, as the most equitable method of funding the 911
system for both operations and maintenance and capital equipment replacement; and
WHEREAS,, in 2014, Flathead County evaluated and proposed a funding method for the
consolidated 911 system which would retain the existing countywide property tax
levy of approximately 6 mills that funds a portion of the Flathead County Sheriff
budget and to supplement that property tax levy with a proposed new, countywide
Special District fee of $25.00 per year per developed residential unit and $50.00 per
year per commercial unit up to a maximum of 30 commercial units, as a fee similar in
assessment to the current countywide landfill fee; and
WHEREAS, the Flathead County Board of Commissioners, in accordance with Montana state law
at MCA 7-17-1003, granting the county authorization to create special districts,
placed the question of the new special district for the consolidated 911 system on the
November, 2014 election ballot; and
WHEREAS, the ballot measure for the establishment of this special district failed to pass by 10
votes; and
WHEREAS, the Future Funding Committee maintains the opinion and recommendation that the
special district methodology proposed by Flathead County in the 2014 ballot measure
is a fundamentally more equitable system of funding the operations, maintenance,
and capital replacement of the consolidated 911 system than the existing system as
similar properties throughout the county would, under the proposed system, pay an
equivalent amount in property taxes and fees for the same emergency services; and
WHEREAS, this proposed funding system further provides the additional reserve capital for future
facilities and equipment replacement that is not being provided under the current
system of funding; and
WHEREAS, it is the finding of the City Council that it would be in the best interests of its
residents and taxpayers as well as all. residents of Flathead County that a special
district for the consolidated 911 system be formed by a resolution of the Flathead
County Commission, subject to the protest provisions, and possible referral to future
election as set forth in MCA 7-11-1003.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
KALISPELL, MONTANA, AS FOLLOWS:
SECTION 1: The City of Kalispell hereby supports the proposed 911 Special District
funding proposal attached as Exhibit "A" to this Resolution and encourages
the Flathead County Board of Commissioners to adopt at their earliest
opportunity, a resolution establishing the special district in accordance with
MCA 7-11-1003; and
SECTION 2: This Resolution shall take effect immediately upon its adoption by the City
Council, and signing by the Mayor thereof.
PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF KALISPELL,
MONTANA, ON THIS 16TH DAY OF MARCH, 2015.
Mark Johnsoill
Mayor
Aimed Brunckhorst, CMC
City Clerk
EXHIBIT A
In 2009 Flathead County, Kalispell, Whitefish and Columbia Falls entered into an interlocal agreement
that consolidated dispatch and communication services from four separate operations to one central
operation in Kalispell. This consolidation was a significant achievement after many years of discussion
and research into the concept. Change is not easy and there were some definite bumps in the road that
have been overcome. Our citizens are well served by this consolidation with a well -trained dedicated
staff and state of the art dispatch and radio communications systems.
A key provision of Section I of the interlocal agreement stated that, "the board shpll appoint a
committee within three months of the execution of this agreement to study funding issues and to
search for funding mechanisms that are more appropriate and acceptable to the parties to this
agreement". There was a definite understanding between the county and the three participating cities
that a "future funding committee" would be established to make every effort to find a fair and equitable
funding mechanism to replace the population based funding formula approved as part of the interlocal
This committee was formed and a number of funding alternatives have been researched and presented
to the Flathead Emergency Communications Center Board and the Board of County Commissioners for
their consideration. Due to the effects of the recession, the idea of pursuing a ballot issue for a voted
mill levy or another form of funding was not considered viable so the status quo has been in effect for
several years now.
The funding options explored to date include (1) a voted mill levy, (2) vehicle license fee surcharge
allowed by state law, (3) collection of additional revenue from rural fire districts, federal/state/loca�
The key funding issue isfairness. Under the current formula, all taxpayers pay onamill levy basis for the
6696share that comes from the sheriff's levy. Soboth rural and city taxpayers pay the same mill rate for
that part ofthe revenue contribution. Then the three cities each levy taxes totheir citizens tofund their
allocation, so city taxpayers pay both the county and city levies for the same services. 5othere isobig
disparity involved as you look at contribution dollars for this service between rural and city taxpayers
where everyone has the same right and ability to dial 911 — see attached chart with residential property
examples ofthe same value house ineach jurisdiction.
The funding committee concluded that the best funding option to take to our citizens for their
consideration is the creation of a special emergency communications district. This option would
continue the collection of the county mill levy where all taxpayers pay on an equitable property value
basis. The balance of the funding needed to operate the FECC would be generated from newly formei,
district landfill operations. Using this combined funding formula, all taxpayers would pay the same mill
rate to the county to provide for capital improvement funding and the portion of the emergency
communications operations that involves costly radio communications, GIS, and IT services. The flat
rate special district fees would provide funding for the dispatch center staff, facility maintenance,
equipment and operations. This combined funding approach provides a fair balance with a combination
mill levy and flat rate that apply equitably to city and rural taxpayers and different classifications of
for the next five years is $3.9 million. We receive approximately $625,000 from the state from a one
dollar ($1.00) monthly phone user tax paid to the telephone companies to assist in the operation of
county and city dispatch centers. So the net amount we need to fund at the county and city level is
about $3.3 million. Our proposed funding plan will cover all the operational costs and a critically need
$500,000 annual contribution for the capital improvement program over the next twenty years. We
propose to continue the property tax levy at about the six mill level from the county sheriff's office
budget that totals approximately $1.5 million. The proposed special district funding would require an
additional estimated $1.9 million to fully fund this operation that has been in place for the past five
years. The new funding required that has not been achieved under the current funding system is the
$500,000 needed for the capital improvement program. I
We are proposing to continue the sheriff's levy that is currently a little less than six (6) mills and our
proposed flat rate for the special district would be a $25 flat rate fee for residential properties annually
and $50 per commercial unit not to exceed 30 units for commercial properties.
We strongly feel this combined funding formula creates fairness and provides the revenue needed to be
able to provide needed facilities, equipment, personnel and state of the art communications systems to
meet the emergency needs for all the citizens of Flathead County.
It iscritical that anew funding solution beput into place inthe near future since vvehave been unable 10
generate any new funds for capital improvement needs under the current funding formula due to levy
limits set bvstate law for the county and the three cities. VVehope our citizens will support formation
ofaspecial communications district with some additional funding toallow ustoprovide the best level uf
service we can for the critical emergency communications system our citizens deserve and expect.
County and city officials feel the best approach to take in regard to securing a fair and equitable fundin
solution is to properly inform the public of the funding needs to provide the best emergency
communications we can. It is the desire of the Flathead County Board of Commissioners to place the
question of the potential formation of a special emergency communications district on the ballot to
provide the level of service needed to protect our citizens. The question is proposed to be placed on t
November 2014 general election ballot. I
The 911 Funding Sub -committee reviewed this report and conclusion and voted unanimously by email
proxy of those responding (5-01, in May, 2014 to recommend that the FECC Board and the Flathead
Board of County Commissioners pursue the creation of this special district and countywide funding
sources.
Chuck Stearns
9IIFunding Sub -committee Chair
Mike Pence
Funding Plan Report Author
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