H1. Reso 5822A or B - Stormwater AssessmentCity of Kalispell
Post Office Box 1997 - Kalispell, MT 59903
Telephone: (406) 758-7701
Fax: (406) 758-7758
To: Doug Russell, City Manager Lk
From: Susie Turner, Public Works Director
Re: Resolution of Intent and Call for Public Hearing on Amendments to the
Storm Sewer Maintenance Assessment
Meeting Date: July 17, 2017
BACKGROUND: As part of the preliminary budget process it was identified the Storm Sewer
Assessment Fund required a review for potential assessment adjustments. The Fund's projected
revenue using the current assessment criteria did not provide the finances to operate/maintain the
utility at the same level of service and ensure the city will meet current and new stormwater
regulatory requirements of the State.
The Storm Sewer Assessment Fund supports all of the city's responsibilities to ensure regulatory
compliance of the General Permit for Stormwater Associated with Municipal Separate Storm
Sewer Systems (MS4). The MS4 General Permit provides authorization for Kalispell to discharge
stormwater to waters of the state. There are six named or perennial surface waters that receive
stormwater discharges from the City of Kalispell's MS4, four of which are classified as impaired
surface waters of the state and each has an approved pollutant Total Maximum Daily Loads
(TMDLs) with waste load allocations (WLA).
The MS4 General Permit requires the City to develop, document, and maintain a Stormwater
Management Program (SWMP) which includes best management practices, control techniques,
education, designs, good standard engineering practices, and such other provisions necessary to
reduce the discharge of pollutants from the permitted Small MS4 to the Maximum Extent
Practical (MEP).
Kalispell's current 2017-2021 SWMP describes objectives to manage a stormwater program
inclusive of the six minimum measures, associated best management practices (BMPs),
timelines, extensive training programs, monitoring, and a TMDL Action Plan. A copy of the
SWMP can be found on the city's website at
http://www.kalispell.com/stormwater management/documents/16-10212017SWMP.pdf.
City Council has participated in five work session presentations and discussions reviewing
alternative level of services and the correlated assessment increase for the Storm Sewer Fund. As
a result of the meetings, Council directed staff to proceed with providing assessment criteria for
two separate level of service options.
Option One's assessment increase supports a level of service that provides material, personnel,
and equipment resources to:
1. Maintain and operate the utility
2. Meet current/new permit requirements
3. Complete capital projects to:
a. Improve and maintain the stormwater system
b. Improve water quality discharges to quantify pollutant reduction to ensure permit
compliance
Exhibit 1 provides the five year assessment increase which should maintain Option One's level
service through fiscal year 2027/2028. Additionally provided in Exhibit 1, based upon the
projections, are examples property owners would pay annually for each assessment category.
Option Two's assessment increase supports a level of service that mirrors Option One's but also
includes additional growth related capital projects. Thus, with additional capital projects Option
2 has a higher assessment increase than Option 1. Exhibit 2 provides the five year assessment
increase which should maintain Option Two's level of service through fiscal year 2027/2028.
Additionally provided in Exhibit 2, based upon the projections, are examples property owners
would pay annually for each assessment category.
Prior to initiating any increase in the assessment, the city is required to hold a public hearing on
the matter after giving due and proper notice of said hearing, and to maintain a list with the City
Clerk setting forth the proposed assessments per parcel.
ALTERNATIVES: Council has the following four alternatives from which to choose:
1) Elect to approve Resolution 5822A the resolution of intent to increase the Storm Sewer
Assessment increase associated with level of service Option One,
2) Elect to approve Resolution 5822B the resolution of intent to increase the Storm Sewer
Assessment increase associated with level of service Option Two,
3) Elect to not approve a resolution of intent, or
4) Propose modifications as Council may desire.
RECOMMENDATION: It is recommended that Council select level of service Option One or
Two and approve the associated Resolution calling for a public hearing on August 7, 2017 for
the proposed increase to the Storm Sewer Fund assessments.
ATTACHMENTS: Resolution 5822A and Resolution 5822B
2
Exhibit 1: Option 1
Rate $/SgFt
FY18
FY19
FY20
FY21
FY22
Category
Current rate
20%
10%
10%
10%
5%
1. Vacant
0.002880
0.003456
0.003802
0.004182
0.004600
0.004830
1 a. Vacant w/ cap @ 2 Acres
250.90
301.09
331.20
364.31
400.75
420.78
2. Residential
0,005569
0.006683
0.007351
0.008086
0.008895
0.009340
2a. Residentialw/cap @ 0.5 Acres
121.29
145.55
160.11
176.12
193.73
203,42
3. Commercial90%
0.009990
1 0.011988
0.013187
0.014505
0.015956
0.016754
4. Commercial 100%
0.012488
1 0.014986
0.016484
1 0.018133
0.019946
0.020943
5. Parkland
0.000000
1 0.000000
0.000000
1 0.000000
0.000000
0.000000
Description
Sq Fr
Current
Cost/Year
FY 18
Cost/Year
FY 19
Cost/Year
FY 20
Cost/Year
FY 21
Cost/Year
FY 22
Cost/Year
% Increase
20%
10%
10%
10%
5%
Vacant
10,000
$28.80
$34.56
$38.02
$41.82
$46.00
$48.30
Vacant with 2 Acre Cap
87,120
$250.90
$301.09
$331.20
$364.31
$400.75
$420.78
Stratford Village SFR*
4,000
$22.28
$26.73
$29.40
$32.34
$35.58
$37.36
Leisure Heights SFR
8,000
$44.55
$53.46
$58.81
$64.69
$71.16
$74.72
Glacier Commons SFR
10,000
$55.69
$66.83
$73.51
$80.86
$88.95
$93.40
SFR Half Acre Cap
21,781
$121.29
$145.55
$160.11
$176.12
$193.73
$203.42
Commercial (90%)
20,000
$199.80
$239.76
$263.74
$290.11
$319.12
$335.08
Commercial (90%)
50,000
$499.50
$749.28
$659.34
$725.27
$797.80
$837.69
Commercial (90%)
435,600
$4,351.64
$5,221.97
$5,744.17
$6,318.59
$6,950.45
$7,297.97
Commercial(90%)
718,522
$7,178.03
$8,613.64
$9,475.01
$10,422.51
$11,464.76
$12,038.00
Commercial(100%)
20,000
$249.76
$299.71
$329.68
$362.65
$398.92
$418.86
Commercial(100%)
50,000
$624.40
$749.28
$824.21
$906.63
$997.29
$1,047.16
Comrnercial(100%)
435,600
$5,439.77
$6,527.73
$7,180.50
$7,898.55
$8,688.41
$9,122.83
Conunercial(100%)
977,923
$12,212.30
$14,654.76
1 $16,120.24
$17,732.26
$19,505.49_L
$20,480.76
*SFR=Single Family Residential
Assessment Adjustment Comparison
FY 22 Cost vs Current Cost
Description
Sq FT
Difference/Year
Difference/Month
Vacant
10,000
$19.50
$1.62
Vacant with 2 Acre Cap
87,120
$169.88
$14.16
Stratford Village SFR
4,000
$15.08
$1.26
Leisure Heights SFR
8,000
$30.16
$2.51
Glacier Commons SFR
10,000
$37.71
$3.14
SFR Half Acre Cap
21,781
$82.12
$6.84
Commercial (90%)
20,000
$135.28
$11.27
Commercial (90%)
50,000
$338.19
$28.18
Commercial (90%)
435,600
$2,946.32
$245.53
Commercial (90%)
718,522
$4,859.96
$405.00
Commercial (100%)
20,000
$169.10
$14.09
Commercial (100%)
50,000
$422.76
$35.23
Commercial (100%)
435,600
$3,683.05
$306.92
Commercial (100%)
977,923
$8,268.46
$689.04
Exhibit 2: Option 2
Rate $/SgFt
FY18
FY19
FY20
FY21
FY22
Category
Current rate
50%
9%
8%
8%
5%
1. Vacant
0.002880
0.004320
0.004709
0.005086
0.005492
0.005767
la. Vacant w/ cap @ 2 Acres
250.90
376.36
410.23
443.05
478.49
502.42
2. Residential
0.005569
0.008354
0.009105
0.009834
0.010620
0.011151
2a. Residential w/cap @ 0.5 Acres
121.29
181.94
198.31
214.18
231.31
242.88
3. Corrmrercial90%
1 0.009990
0.014985
1 0.016334
1 0.017640
1 0.019052
0.020004
4. Corrunercial 100%
1 0.012488
0.018732
1 0.020418
1 0.022051
1 0.023815
0.025006
5. Parkland
1 0.000000
1 0.000000
1 0.000000
1 0.000000
1 0.000000
1 0.000000
Description
Sq FT
Current
Rate/Year
FY 18
Cost/Year
FY 19
Cost/Year
FY 20
Cost/Year
FY 21
Cost/Year
FY 22
Cost/Year
% Increase
50%
9%
8%
8%
5%
Vacant
10,000
$28.80
$43.20
$47.09
$50.86
$54.92
$57.67
Vacant with 2 Acre Cap
87,120
$250.90
$376.36
$410.23
$443.05
$478.49
$502.42
Stratford Village SFR
4,000
$22.28
$33.41
$36.42
$39.33
$42.48
$44.61
Leisure Heights SFR
8,000
$44.55
$66.83
$72.84
$78.67
$84.96
$89.21
Glacier ConunonsSFR
10,000
$55.69
$83.54
$91.05
$98.34
$106.20
$111.51
SFR Half Acre Cap
21,781
$121.29
$181.94
$198.31
$214.18
$231.31
$242.88
Commercial (90%)
20,000
$199.80
$299.70
$326.67
$352.81
$381.03
$400.08
Commercial(90%)
50,000
$499.50
$749.25
$816.68
$882.02
$952.58
$1,000.21
Commercial(90%)
435,600
$4,351.64
$6,527.47
$7,114.94
$7,684.13
$8,298.86
$8,713.81
Commercial(90%)
718,522
$7,178.03
$10,767.05
$11,736.09
$12,674.97
$13,688.97
$14,373.42
Commercial (100%)
20,000
$249.76
$374.64
$408.36
$441.03
$476.31
$500.12
Commercial (100%)
50,000
$624.40
$936.60
$1,020.89
$1,102.57
$1,190.77
$1,250.31
Cominercial(100%)
435,600
$5,439.77
$8,159.66
$8,894.03
$9,605.55
$10,373.99
$10,892.69
1
Commercial(100%)
977,923
$12,212.30
$18,318.45
$19,967.11
$21,564.48
$23,289.64
$24,454.12
*SFR=Single Family Residential
Assessment Adjustment Comparison
FY 22 Cost vs Current Cost
Description
Sq FT
Difference/Year
Difference/Month
Vacant
10,000
$28.87
$2.41
Vacant with 2 Acre Cap
87,120
$251.51
$20.96
Stratford Village SFR
4,000
$22.33
$1.86
Leisure Heights SFR
8,000
$44.66
$3.72
Glacier Commons SFR
10,000
$55.82
$4.65
SFR Half Acre Cap
21,781
$121.59
$10.13
Commercial (90%)
20,000
$200.28
$16.69
Commercial (90%)
50,000
$500.71
$41.73
Commercial (90%)
435,600
$4,362.16
$363.51
Commercial (90%)
718,522
$7,195.39
$599.62
Commercial (100%)
20,000
$250.36
$20.86
Commercial (100%)
50,000
$625.91
$52.16
Commercial (100%)
435,600
$5,452.92
$454.41
Commercial (100%)
977,923
$12,241.82
$1,020.15
RESOLUTION NO.5822A
A RESOLUTION OF INTENT TO INCREASE THE STORM SEWER MAINTENANCE
ASSESSMENT OF THE CITY OF KALISPELL BY RAISING THE ASSESSMENT ON
CERTAIN PROPERTIES, SETTING A DATE FOR A PUBLIC HEARING ON THE
PROPOSED AMENDMENT AND DIRECTING THE CITY CLERK TO GIVE PUBLIC
NOTICE OF SAID HEARING.
WHEREAS, the City of Kalispell, pursuant to the authority provided to it under MCA 7-13-4301
et seq., has established a storm sewer system, for which real property within the city
is assessed costs for the maintenance and operation; and
WHEREAS, all city residents derive significant benefit from storm sewer maintenance and the
City Council therefore considers it prudent, within the existing statutory system, that
all property owners should pay some assessment for the benefits of the storm sewer
system; and
WHEREAS, it is prudent and necessary for the City Council, from time to time, to evaluate the
existing assessment structure, to review the maintenance requirements of the storm
water system and the adequacy and equity of the assessment schedule; and
WHEREAS, in addition to the increasing costs of materials due to inflation, the storm water
regulatory requirements of the State of Montana have increased dramatically in recent
years which have increased the costs to the City of maintaining compliant storm
water infrastructure; and
WHEREAS, by fixing the assessments, as set forth below, the district will be able to maintain the
current level of services that the city residents and their visitors are now enjoying;
and
WHEREAS, the City Council finds therefore that it is in the best interests of the city and its
residents to consider fixing the Storm Sewer Assessments to include all properties
that are within the limits of the city upon an annual schedule as follows:
Rate $/SgFt
FY18
FY19
FY20
FY21
FY22
Category
Cwrent rate
20%
10%
10%
10%
5%
1. Vacant
0.002880
0.003456
0.003802
0.004182
0.004600
0.004830
I a. Vacant w/ cap @ 2 Acres
250.90
301.09
331.20
364.31
400.75
420.78
2. Residential
0.005569
0.006683
0.007351
0.008086
0.008895
0.009340
2a. Residential w/cap @ 0.5 Acres
121.29
145.55
160.11
176.12
193.73
203.42
3. Commercial 90%
0.009990
0.011988
0.013187
0.014505
0.015956
0.016754
4. Commercial 10011b
0.012488
0.014986
0.016484
0.018133
0.019946
0.020943
5. Parkland
0.000000
0.000000
0.000000
0.000000
0,000000
0.000000
WHEREAS, prior to increasing any assessment of the storm sewer system, the city must, pursuant
to MCA 7-13-4178, hold a public hearing on the matter after giving due and proper
notice of said hearing, and to maintain a list with the City Clerk setting forth the
proposed assessments per parcel.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
KALISPELL, AS FOLLOWS:
SECTION 1. The City Council shall set a Public Hearing on the 7th day of August, 2017,
at 7:00 o'clock p.m. in the Council Chambers, City Hall, Kalispell, Montana,
to accept comments on a proposed increase to the Storm Sewer Maintenance
assessment as set forth in the recitals above.
SECTION 2. The City Clerk and City Attorney are hereby authorized and directed to make,
publish and distribute notices of said Public Hearing in conformity with
MCA 7-12-4127 and to maintain within the City Clerk's office a list in which
shall be described the lot or parcel of land assessed, with the name of the
owner thereof listed, if known, and the amount levied thereon set opposite.
PASSED AND APPROVED BY THE CITY COUNCIL AND SIGNED BY THE MAYOR OF THE
CITY OF KALISPELL THIS 17TH DAY OF JULY, 2017.
Mark Johnson
Mayor
ATTEST:
Aimee Brunckhorst, CMC
City Clerk
RESOLUTION NO.5822B
A RESOLUTION OF INTENT TO INCREASE THE STORM SEWER MAINTENANCE
ASSESSMENT OF THE CITY OF KALISPELL BY RAISING THE ASSESSMENT ON
CERTAIN PROPERTIES, SETTING A DATE FOR A PUBLIC HEARING ON THE
PROPOSED AMENDMENT AND DIRECTING THE CITY CLERK TO GIVE PUBLIC
NOTICE OF SAID HEARING.
WHEREAS, the City of Kalispell, pursuant to the authority provided to it under MCA 7-13-4301
et seq., has established a storm sewer system, for which real property within the city
is assessed costs for the maintenance and operation; and
WHEREAS, all city residents derive significant benefit from storm sewer maintenance and the
City Council therefore considers it prudent, within the existing statutory system, that
all property owners should pay some assessment for the benefits of the storm sewer
system; and
WHEREAS, it is prudent and necessary for the City Council, from time to time, to evaluate the
existing assessment structure, to review the maintenance requirements of the storm
water system and the adequacy and equity of the assessment schedule; and
WHEREAS, in addition to the increasing costs of materials due to inflation, the storm water
regulatory requirements of the State of Montana have increased dramatically in recent
years which have increased the costs to the City of maintaining compliant storm
water infrastructure; and
WHEREAS, by fixing the assessments, as set forth below, the district will be able to maintain the
current level of services that the city residents and their visitors are now enjoying;
and
WHEREAS, the City Council finds therefore that it is in the best interests of the city and its
residents to consider fixing the Storm Sewer Assessments to include all properties
that are within the limits of the city upon an annual schedule as follows:
Rate $/SgFt
FY18
FY19
FY20
FY21
FY22
Category
Current rate
50%
9%
8%
8%
5%
1. Vacant
0.002880
0.004320
0.004709
0.005096
0.005492
0.005767
Ia. Vacant w/ cap @ 2 Acres
250.90
376.36
410.23
443.05
478.49
502.42
2. Residential
0.005569
0.008354
0.009105
0.009834
0.010620
0.011151
2a. Residential w/cap @ 0.5 Acres
121.29
181.94
198.31
214.18
231.31
242.88
3. Commercial 90%
0.009990
0.014985
0.016334
0.017640
0.019052
0.020004
4. Commercial 100%
0.012488
0.018732
0.020418
1 0.022051
0.023815
1 0.025006
5. Parkland
0.000000
0.000000
0.000000
1 0.000000
0.000000
1 0.000000
WHEREAS, prior to increasing any assessment of the storm sewer system, the city must, pursuant
to MCA 7-13-4178, hold a public hearing on the matter after giving due and proper
notice of said hearing, and to maintain a list with the City Clerk setting forth the
proposed assessments per parcel.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
KALISPELL, AS FOLLOWS:
SECTION 1. The City Council shall set a Public Hearing on the 7th day of August, 2017,
at 7:00 o'clock p.m. in the Council Chambers, City Hall, Kalispell, Montana,
to accept comments on a proposed increase to the Storm Sewer Maintenance
assessment as set forth in the recitals above.
SECTION 2. The City Clerk and City Attorney are hereby authorized and directed to make,
publish and distribute notices of said Public Hearing in conformity with
MCA 7-12-4127 and to maintain within the City Clerk's office a list in which
shall be described the lot or parcel of land assessed, with the name of the
owner thereof listed, if known, and the amount levied thereon set opposite.
PASSED AND APPROVED BY THE CITY COUNCIL AND SIGNED BY THE MAYOR OF THE
CITY OF KALISPELL THIS 17TH DAY OF JULY, 2017.
Mark Johnson
Mayor
ATTEST:
Aimee Brunckhorst, CMC
City Clerk