H2. Reso 5823A or B - Forestry AssessmentCity of Kalispell
201 1" Ave E. P.O. Box 1997
Kalispell, Montana 59903-1997
MON'�';-iNA (406) 758-7757 Fax (406) 758-7758
TO: Doug Russell, City Manager`'
FROM: Chad Fincher, Director, Kalispell Parks & Recreation
SUBJECT: Urban Forestry Assessment
MEETING DATE: July 17, 2017
BACKGROUND: Council has been discussing the forestry fund for the past several years
during budget development and adoption. Discussions have led to increasing the contracting
amount for tree removals and pruning, and a review of service levels as it relates to resources.
Over the past few months, council workshops have consisted of Council reviewing the current
forestry budget program and levels of service. Currently the forestry assessment is .00171 per
square foot with residential, vacant and park land capped at $150 and commercial capped at
$300. Council has been presented funding options (assessment increases, cap removals, raising
caps, increasing contracted services, etc.) to address hazard trees, deferred maintenance, and
increasing the level of service.
Council has weighed numerous budgetary scenarios, levels of service and programming options
while considering proposed assessment increases. At the July 10 workshop, Council was
presented two assessment considerations and determined they would take both to a regular
council meeting for discussion and vote.
The forestry fund has two scenarios attached based on previous meeting discussions and review.
Both scenarios are in accordance with increasing the assessments and caps in equal proportion
related to the level of service to address the backlog of urban forestry work and incorporate a
routine maintenance schedule for the following years.
Proposed Assessment Option #1 would raise the tax assessment to .004275 with residential,
parkland and vacant caps at $375 and commercial caps at $750. This option provides increased
level of service until the end of FY 23.
Proposed Assessment Option #2 would raise the tax assessment to .0047025 with residential,
parkland and vacant caps at $413 and commercial caps at $825. This option provides increased
level of service until the end of FY 28.
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 5823A the resolution of intent to increase the Urban Forestry
Assessment associated with Option #l,
2) Elect to approve Resolution 5823B the resolution of intent to increase the Urban Forestry
Assessment associated with Option #2,
3) Elect to not approve a resolution of intent, or
4) Propose modifications as Council may desire
RECOMMENDATION: It is recommended that Council select Option #1 or #2 and approve
the associated Resolution calling for a public hearing on August 7, 2017 for the proposed
increase to the Urban Forestry assessments.
ATTACHMENTS: Resolution 5823A and Resolution 5823B
ALTERNATIVES: As suggested and approved by City Council
ATTACHMENTS: PowerPoint Presentation
RESOLUTION NO.5823A
A RESOLUTION OF INTENT TO INCREASE THE URBAN FORESTRY 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 an Urban Forestry District, for which real property within the
city is assessed costs for the maintenance and operation; and
WHEREAS, all city residents derive significant benefit from the urban forest 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 urban forest; 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 urban
forestry system and the adequacy and equity of the assessment schedule; 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 Urban Forestry Assessments to include all properties
that are within the limits of the city upon an annual schedule by raising the tax
assessment to .004275 with residential, parkland and vacant caps at $375 and
commercial caps at $750, providing increased level of service until the end of FY 23;
and
WHEREAS, prior to increasing any assessment of the urban forestry maintenance 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 Urban Forestry
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.5823B
A RESOLUTION OF INTENT TO INCREASE THE URBAN FORESTRY 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 an Urban Forestry District, for which real property within the
city is assessed costs for the maintenance and operation; and
WHEREAS, all city residents derive significant benefit from the urban forest 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 urban forest; 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 urban
forestry system and the adequacy and equity of the assessment schedule; 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 Urban Forestry Assessments to include all properties
that are within the limits of the city upon an annual schedule by raising the tax
assessment to .0047025 with residential, parkland and vacant caps at $413 and
commercial caps at $825, providing increased level of service until the end of FY 28;
and
WHEREAS, prior to increasing any assessment of the urban forestry maintenance 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 Urban Forestry
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
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Forestry History and Increases
Based on 3.4% Increase in Salaries and 2% Increase in OFtM
Increase Annual Assessment with Existing Caps
Assessment at .004275
Parks & Recreation
FY 16/27
FY 16/17
FY 27/18
FY 19/19
FY 19120
FY 2O/21
FY 22/22
FY 22123
FY 23I24
FY 24/25
FY 25/26
FY 26/27
FY 27%28
eudg�t
Estimated! teal
Proposed
Cash
$149,086
$149.0951
$113,396
$288,600
$254,539
5203,635
$135,363
$49,183
-$55,463
-$167,951
-$268,514
-$388,696
-$529,115
Additional Revenue
MMMMW-
S2OgOD0
$200,O00
Assessments
$210,000
521O,O00
5532,408
5532,408
5532,408
$532,408
5532,408
5532,408
5532,408
5532,408
S5320408
$532,408
$532,498
Misc Rev
$58,500
519,31D
$24,200
$4,500
$4,500
$4,500
54,500
$4,500
54,500
$4,50O
S4,500
$4,500
54,500
Inception Lease
$40,ODO
TOTAL AVAIL $417,586 $378,396 $910,004 $1,D25,5D8 $791,447 $74D,543 $672,271 $586,D91 $481,44-5 $368,957 $268,394 5148,212 $7,793
Budget
Salaries $167,929 $167,929
2 FTE's
O&M $113,669 $113,669
Contracted services hazards
Cyclic contracted pruning small trees
Cyclic contracted pruning large trees
chipper $0
TOTAL EXPEND $281,598 $265,OOD
Ending Cash $135,988 $113,396
$175,989
$181,959
$188,D52
$194,445
$201,057
$2D7,893
$214,961
$222,27D
$229,827
$237,641
$245,721
$71,181
$134,619
$139,196
$143,929
$148,822
$153,882
$159,114
$164,524
$170,118
$175,9D2
$181,8a3
$119,335
$121,722
$125,373
$129,135
5133,009
$136,999
$141,109
$145,342
$149,702
$154,193
$158,819
S2OD,DOO
5200,ODD
$28,025
$28,586
$29,157
$29,740
530,335
530,942
$93,535
$95,405.7❑
$97,313.81
$99,260.09
$101,245.29
$103,270.20
5105,335.60 $107,442.31
51D9,591.16
$111,782.98
$55,oc0
$11,20D
$11,20❑
$11,200
$11,20D
511,200
$621,4c4
$770,969
$587,912
$605,180
$623,099
$641,554
$649,396
$637,471
$657,089
$677,327
$698,2D5
5288,6UU
5254,539
5203,635
$135,363
$49,183
-555,463
-5167,951
-5268,514
-$388,696
-$529,115
56910,412
Average Sq.
Ft.
Parcels
Current
Assessment
.00171
Current Cap
# Capped
Proposed
Assessment
.O04275
Proposed
Cap
Mapped
Residential
9,926
7724
S15.26
$15D_OD
16
$38.15
$375.00
16
Vacant land
22,945
932
$39.23
$150.00
94
598.08
5375.00
94
Park land
61,472
15
$105.11
$150.00
6
$252.79
$375.00
6
Commercial
1 31,191
1 1038
1 $53.33
I 5300.00
1 49
$-137.611
$750.00
49
$265,000 is the finance department estimated actual of expenditures for FY 16/17 Contracted Cyclic Pruning to expedite backlog FY19 through FY 28
Additional Funds (General Fund Reserves, Emergen FY 18 Arborist included FY 19 Arborist and Groundsmen included
Fund goes into the red at the end of FY 23 Contracted Hazard Removals Starts FY 19 and continues through FY 19
Forestry History and Increases
Based on 3.4% Increase in Salaries and 2% Increase in 0&tM
Increase Annual Assessment with Existing Caps
Assessment at .0047025
OR
IP Parks & Recreation
Option 42
FY 16117
FY 16/17
FY 17%18
FY 18119
FY 1912O
FY 70121
FY 21122
FY 22%23
FY 23I24
FY 24/25
FY 25126
FY 26127
FY 27128
au deet
esti mated A[W al
Proposed
Gash
$149,086
$1490D86
$113,396
$341,910
$361,159
$363,565
$348,603
$315,733
$264,397
$205,219
5157,966
$91,094
$3,985
Additional Revenue
$2D0,000
$20D,DDD
Assessments
$210,00D
5210,000
5595,718
5585,718
5585,718
$585,718
$585,718
$585,718
$595,718
$585,718
1 $585,718
5585,718
$585,718
Misc Rev
$58,50D
$19,310
$24,200
$4,500
$4,500
$4,500
$4,500
54,500
$4,500
54,500
$4,500
$4,500
$4,500
Inception Lease
$40,000
TOTALAVAIL
$417,586
5378,396r
5963,314
51,132,128
$951,377
$953,733
$938,821
$9D5,951
5854,615
$795,437
$749,194
$681,312
$594,203
Budget
Salaries
$167,929
5167,929
5175,888
5181,868
$188,052
$194,445
5201,057
$207,993
$214,961
$222,270
$229,827
5237,641
5245,721
2 FTE's
$71,181
$134,619
$139,196
$143,929
$148,822
5153,882
5159,114
$164,524
5170,118
5175,9D2
$181,883
❑&M
$113,669
$113,669
$119,335
$121,722
$125,373
$129,135
$133,DD9
$136,999
$141,109
$145,342
$149,102
5154,193
$158,819
Contracted services hazards
52DD,DDD
52013,0DD
Cyclic contracted pruning small trees
$29,025
$28,586
$29,157
$29,740
$30,335
S3D,942
Cyclic contracted pruning large trees
$93,535
$95,405.7D
$97,313.81
$99,26D.09
$1010245.29
$1D3,270.20
$105,335.60
$107,442.31
$109,591.16
$1110782.98
chipper
SD
$55,00D
511,200
$11,20D
511,20D
$11,2D0
$11,200
TOTAL EXPEND
$281,598
$2650000
$621,404
$770,969
$597,912
$605,180
$6230D88
$641,554
$649,396
$637,471
$657,089
$677,327
$698,205
Ending Cash
$135,988
5113,39E
5341,910
5361,159
$363,565
$3413,603
5315,733
$264,397
$205,219
5157,966
$91,094
53,995
-$1D4,002
Average Sq.
Ft.
Parcel&
Current
Assessment
.fl4171
Current Cap
fF Capped
Proposed
Assessment
.00471325
Proposed
Cap
FTCappeol
Residential
8,926
7724
$15.26
5150.10D
16
$41.97
$413.00
16
Vacant land
22,945
932
539.23
5150.00
94
$107.89
$413.00
94
Parkland
61,472
15
$105.11
5150.00
6
$289.07
$413.O0
6
Commercial
31,191
1 1038
1 $53.33
1 $300.OU
1 49
$146.67
1 5825.00
1 49
$265,000 is the finance department estimated actual of expenditures for FY 16/17
Additional Funds [General Fund Reserves, Emergency Fu�
Fund goes into the red at the end of FY 29
Contracted Cyclic Pruning to expedite backlog FY19 through FY 28
FY 18 Arborist included FY 19 Arhorist and Groundsmen included
Contracted Hazard Removals Starts FY 18 and continues through FY 19