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Tab 05 City Council Meeting Minutes February 20, 2001A REGULAR MEETING OF THE KALISPELL CITY COUNCIL WAS HELD AT 7:00 P.M. TUESDAY, FEBRUARY 20, 2001, IN THE COUNCIL CHAMBERS AT CITY HALL IN KALISPELLI MONTANA. MAYOR WILLIAM E. BOHARSKI PRESIDED. COUNCIL MEMBERS JIM ATKINSON, DALE HAARRI RANDY KENYON, DUANE LARSONf FRED LEISTIKO, DOUG SCARFF, RON VAN NATTA AND CITY MANAGER CHRIS KUKULSKI AND CITY ATTORNEY GLEN NEIER WERE PRESENT. COUNCIL MEMBER DON COUNSELL WAS ABSENT* Mayor Boharski called the meeting to order and led the Pledge of Allegiance. Boharski thanked everyone for their cards, letters and prayers while he was in the hospital and also thanked Larson for taking over. AGENDA APPROVAL Haarr moved approval of the Agenda. The motion was seconded by Scarff. There was no discussion. The motion carried unanimously upon vote. CONSENT AGENDA APPROVAL 1. Council Minutes - Regular Meeting February 5, 2001 2. Approval of Claims per Payables Register - $625,308.22 Scarff moved approval of the Consent Agenda. The motion was seconded by Van Natta. There was no discussion. The motion carried unanimously upon vote. HEAR THE PUBLIC Pamela Kennedy, 1036 6th Avenue West, member of the Family Violence Prevention Council, asked Neier when he, s considering a replacement for Assistant City Attorney Richard Hickel, he hire an attorney w ith knowledge of domestic violence. She also 'invited everyone to i attend a domestic violence seminar at North Valley Hospital March 1st. Kalispell City Council Minutes February 20, 2001 David Brown, 1925 Belmar, said his chief ambition 'in life is to educate the community to a higher level of nutritional discernment and plans to disseminate information in the future on how manufactured food has injured our health, mentally and physically. PUBLIC HEARING - SPECIAL IMPROVEMENT DISTRICT #343 This is the time Council has scheduled to rece i've comments on a proposed Special Improvement District for major improvements to Sunnyview Lane and the extension of Heritage Way. Kukulski explained the City has been asked by those involved in the SID to become a financial partner in the reconstruction project on the portion that doesn't involve Kalispell Regional Hospital. He expressed a willingness to work with them, but hasn't given any guarantees. Kukulski' suggested the Council accept comments at this time and then continue the public hearing to March Sth in order to give all parties more time to discuss the issue. Boharski opened the public hearing and asked for comments from proponents and opponents. Bonnie Tally, Windward Place Director, stated she was only told a week ago that a $26,000 assessment would be placed on Windward Place if the SID is approved. She said the assisted living facility has been in existence since 1993 and would not benefit 'in any way from the road improvements. Talley said the SID amounts to nothing more than taxation without representation. Van Kirke Nelson, M.D., Med i4cal Arts Building, 210 Sunnyview Lane, said Medical Arts will not benefit from the SID either. He said initially, the hospital was going to make the improvements at its cost, but somewhere along the line more improvements were added and the City developed the 'Idea of an SID. He said Medical Arts is willing to help, but it shouldn't have to provide the entire bulk of the funds. Boharski adjourned the public hearing until March 5, 2001. MOUNTAIN VIEW PLAZA DEVELOPMENT PROPOSAL Crosswell Development LLC and Pack and Company are proposing a commercial development at the southeast corner of Highway 93 and West Reserve Drive. A former development agreement signed for the property included a site for a coliseum, or what has been referred to as the "'ValleyDome." Kalispell City Council Minutes February 20, 2001 Page 2 of 6 Kukulski explained Crosswell Development and Pack and Company are now proposing a new Planned Unit Development which eliminates the coliseum and establishes a 59-acre retail development. He said the benefit to the City would be approximately $100,000 in taxes annually. He stated thirty-one conditions for the pro3ect have been agreed upon by the City and the developers. Kukulski said Council members are being asked to approve the conditions and direct the staff to write a development agreement. Public Comment Cheryl Watkins, Bookworks, Whitefish, asked how many small businesses will be put out of business for the City to get $100, 000 in taxes. She said the City needs to do some research to see how these stores will af f ect the small bus inesses prior to approving the agreement. Watkins crit icized the Counc I'l on its public participation procedure, adding that a lot of the business owners wouldn't come to the meeting because they feel this is already a "done deal". Bill Schottelkorb, Western Ace Building Center Manager, commented that it f s well documented that Home Depot "'destroys" a lot of long term businesses with long term employees . He said Home Depot , af ter the initial "hoopla" ends up with a lot of part-time employees with no benefits. Schottlekorb commented he doesn't feel the valley has the economy or population to support five or six more box stores. Doug Shanks, Western Building Center employee, said Home Depot needs thirty to forty million dollars 'in retail sales to be successful in an area. He said Home Depot will not expand the economy, it will simply transfer the money from one business to another. Mayre Flowers, Citizens for a Better Flathead, recommended the Counci 1 look at 'Its public participation procedure and allow public comment at the work sessions, prior to the Council meetings. She agreed that an economic impact study should have been done and would like the Council to set aside funds for documenting how this development 'impacts the community. Boharski commented the decisions made prior to this meeting have been of a technical nature and it's not fair to state that this is "done deal." He said the policy decisions are yet to be made. Kalispell City Council Minutes February 20, 2001 Page 3 of 6 Leistiko moved Council approve the thirty one conditions for the Mountain View Plaza project and direct staff to prepare the Planned Unit Development agreement, The motion was seconded by Atkinson. There was discussion. Leistiko said long hours have been put into this project, and the attached conditions, and he believes the Council 'is doing the r ight thing. He said there will be competition for some businesses but the City needs to move forward and execute the final agreement. Atkinson commented the Council doesn't have the ability to tell a developer there are enough businesses here already. He said they will be built in the County or the City, and it's the Council's responsibility to see that the community benefits by them being in the City. Atk inson said City residents haven' t seen any benef i ts from Shopko, WalMart, Costco etc. Kenyon said he has to agree that there has been an "appearance" of a lack of public participation and that an economic impact study should have been done. He said looking forward, however, a master plan is being developed and he feels it's very important that it reflect the needs of the community. Van Natta said this hasn't been any easy decision but he feels the project will provide more good than bad. He said the PUD will allow It for a nicely landscaped development rather than ]ust box stores with a f ew trees. Van Natta added that as far as the impact to local businesses, an 'impact would occur whether the development occurs in the City or the County. Haarr stated he sympathizes with the small businesses, being a former small business owner himself, but this is a free enterprise system. He commented the biggest losers will be the local organizations that collect money for different projects that the small businesses always find the money to support. Haarr said he understands all of the concerns, but he will support the motion only because if doesn't go here, it will end up outside the City. Larson commented he would have no trouble turning the project down if there was a guarantee the stores wouldn't be built just north of the cemetery or 'in Evergreen. Boharski said the Council doesn't have the authority to turn down a proposal based on competition with other businesses. The motion carried unanimously upon roll call vote. Kalispell City Council Minutes February 20, 2001 Page 4 of 6 RESOLUTION-4600 - RESOLUTION ACCEPTING ADDITIONAL GRANT MONIES FOR THE PURPOSE OF TRAINING STREAM.EMPLOYEES The Community Development Block Grant Economic Development staff has awarded an additional $50,000 to the City to be used for employee training at Stream International. Kukulski explained a total of $450,000 in CDBG Economic Development funds will now be available to assist Stream in their employee training efforts. He said the City and County are now within $50, 000 of providing the originally negotiated $4, 000, 000 incentive package. Larson moved Resolution 4600, a resolution authorizing acceptance of additional Montana Department of Commerce Community Development Block Grant funds to provide employee training for Stream International Services. The motion was seconded by Atkinson. There was no discussion. The motion carried unanimously upon roll call vote. RESOLUTION 4601 - RESOLUTION AUTHORIZING A DEPARTMENT OF COMMERCE GRANT APPLICATION This resolution authorizes the City to apply for a Federal Economic Development Administration Grant in an amount up to $760, 000 to help with extending water and sewer services to School Section 36 and the Reserve Drive area. Van Natta moved Resolution 4601, a resolution authorizing a pre - application to the Montana Department of Commerce for financial assistance from the Economic Development Administration. The motion was seconded by Atkinson. There was discussion. The motion carried unanimously upon roll call vote. MAYOR/COUNCILZCITY MANAGERFS REPORT Kukulsk i said a work session on the Facilities Plan, scheduled for tomorrow evening at 7:00 p.m., is moved to 6:00 p.m. due to a MEPA meeting on the School Section 36 property starting at 7:00 p.m. at Fish, Wildlife and Parks. Kukulski invited the Council and the public to an open house for the Fire Chief candidates on Sunday, February 2Sth, at the Buffalo Hills Golf Course starting at 3:00 p.m. Kalispell City Council Minutes February 20, 2001 Page 5 of 6 Kukulski informed everyone that AT&T Cablevision is now televising the Planning Board meetings the first Tuesday of every month. ADJOURN The meeting was adjourned at 8:45 p.m. ATTEST: )/ , - 1"It // -Al Theresa White City Clerk Approved March 5, 2001 2" nj- if P* STA"M OF NriON.I.-INANA Ccmtj of Y C I' (a �p sl this tcr,' to VII, C V n �3 :Jq Z�f t�.i 1 4 �-�I fily 41 �2 C �Cour,iy, Moot- a,j 0, VA - by Clerk Wm. E. Boharski Mayor Kalispell City Council Minutes February 20, 2001 Page 6 of 6