Loading...
08/19/96 City Council Minutes09211 921 A REGULAR MEETING OF THE KALISPELL CITY COUNCIL WAS HELD AT 7:00 P.M. MONDAY, AUGUST 19, 1996, IN THE COUNCIL CHAMBERS AT CITY HALL IN KALISPELL, MONTANA. MAYOR DOUG RAUTHE PRESIDED. COUNCIL MEMBERS JIM ATKINSON, CLIFF COLLINS, NORBERT DONAHUE, LAUREN GRANMO, DALE HAARR, PAM KENNEDY, DUANE LARSON, GARY NYSTUL, CITY ATTORNEY GLEN NEIER AND INTERIM CITY MANAGER AL THELEN WERE PRESENT. Mayor Rauthe called the meeting to order and led the Pledge of Allegiance. New City Manager Rauthe introduced Clarence Krepps, the new city manager. AGENDA APPROVAL Haarr moved to approve the agenda. The motion was seconded. Kennedy moved to add under Business from the Manager, the Green Acres failing septic systems that was addressed at the last meeting. The motion was seconded. Upon vote the amendment carried. The amended motion carried upon vote. ARRxove Minutes -July 15, 1996 Collins moved to approve the minutes. The motion was seconded. The motion carried with a vote. Minutes -Special Meeting -July 22, 1996 Collins moved to approve the minutes. The motion was seconded. The motion carried with a vote. Minutes -August 5. 1996 Collins moved to approve the minutes. The motion was seconded. The motion carried with a vote. Approve Claims per Pavables Register Nystul moved to approve the claims in the amount of $239,871.53. The motion was seconded. Upon vote the motion carried. ADDRESSING THE COUNCIL Failing Septic Systems Candy Naylor, 1579 Haven Drive, asked Council to reconsider the $4,800 loan for the property owners involved in the failing septic systems. lst and Main Buildina Hollister Larson, 852 5th Avenue West North, 1st and Main Building owner, was concerned about the possible closing of the street in front of his building. Central School Delores Swanberg, 154 Caroline Point Road, Lakeside, Northwest Montana Historical Society spoke in favor of renovating Central School to a museum. Green Acres Barbara Macal, 1540 Eagle Drive, Lot 113, read a letter concerning the failing septic systems and annexation in Green Acres. Mike DeBaldo, 1516 Eagle Drive, did not want any of the failing septic owners to lose anything because of his own view points. He also requested the septics be readdressed and invited the Council and City Manager to the neighborhood meetings. I 092J12 922 Market Place III Dave Thornquist, 132 Troutbeck, Lakeside, spoke in favor of the development project in Market Place III. Urban Renewal Projects Gordon Pirrie, Norm's News, spoke in favor of downtown urban renewal projects. Virginia Sloan, 445 6th Avenue East, encouraged the consideration of TIF urban renewal projects. Con Lundgren, 137 Fairway Boulevard, spoke against any TIF projects. Maps Winifred Storli, 3420 Airport Road, suggested the distribution of maps clarifying the City boundaries. Petition Rauthe read a letter from Ed Trippet, Fred Hammel, Howard Hammer, Earl Bennett, Danneen and Barry Schulze applauding the Council decision to repeal Ordinance 1243 related to bonding and TIF financing. Mike Lund, 1029 2nd Street West, suggested Council consider the urban renewal projects. PUBLIC HEARINGS Sewer nd Water -Rules Making Authority for Both Utilities The City Attorney reviewed the Attorney General's opinion dated December 29, 1995 regarding the authority of the City to annex properties that use City utilities. He concluded that the City's position regarding annexation would be enhanced by the adoption of a rule for the Water and Sanitary Sewer Department that recognizes the City's current policy as it relates to requiring Consents to Annex as a condition of using the City's water and/or sewer utility. He recommended a public hearing on the rules before final action is taken. Dpo Nancy Kostman, west side resident, spoke in opposition and also submitted a petition from residents on Apple Way Drive. Alice Wilson, 1020 8th Avenue West Carolyn Hart, 912 8th Avenue West Barbara Macal, 1540 Eagle Drive, Lot 113 Rauthe closed the public hearing. Sewer Rate Increase The City has delayed a sanitary sewer rate increase for the last 2 years pending resolvement of the dispute the City had with the Evergreen Sewer District regarding rates to be charged to the district under the interlocal agreement between the two entities. During this period of time, the City has used reserve funds to finance a portion of the sewer operations. The proposal before Council would initiate a customer sewer charge per meter of $2.65 per billing period and increase the costs from $2.54 per thousand gallons to $2.98 per thousand gallons. The number of dwelling units will cease from becoming a factor in the rate. The reason for the increase is related to the anticipated costs of sewer operations of the next two years. Out of city charges will continue at 125% of in city rates. These rates will become effective on usage after September 1, 1996. Sewer rates were last increased in 1991. 1 1 1 0 91? 923 Opponents Gib Bissell, 76 Stafford Street, representing Aero Inn, Days Inn, Four Seasons Motor Inn, Red Lion Lodge, Kalispell Grande Hotel, Outlaw Inn, Diamonds Lil's Inn, Blue and White Motel and Super 8. Rauthe closed the public hearing. Water Rate Adjustments The adjustments in rates are related to the study initiated in 1994. This study told that the City could issue water bonds for the improvement program without a water rate increase; however the study did identify a number of inequities in the current water rates. The number of dwelling units will no longer be a factor in the rate structure. The previous 4 block rate schedule will be replaced by a two block system. Sprinkling rates will be increased from $.62 per thousand gallons to $.75 per thousand gallons and fire hydrant rentals are built into the water rates rather than be funded from property taxes. The water rates were last increased in 1993. These rates will provide sufficient revenue to meet operating, capital and debt sources for water users. & RESOLUTIONS Ordinance 1246-Creating Municipal Court-2nd Reading This Ordinance establishes a Municipal Court system to replace the current City Court, effective January 6, 1997. The Council approved this change as part of the FY 1997 budget. The Ordinance requires that the Judge be a licensed attorney in Montana for two years and the court will be a Court of Record, which means that appeals to District Court will be on the record established in the lower court. The court will also have concurrent jurisdiction with the District Court on matters pertaining to landlord/tenant law. Council approved first reading at the last meeting. Kennedy moved Ordinance 1246, an ordinance repealing R.O. 1947, SS 7 and 8, and establishing a municipal court for the City of Kalispell and a municipal clerk position; declaring an effective date and authorizing the city attorney to codify this ordinance. The motion was seconded. The motion carried with Atkinson, Collins, Donahue, Granmo, Haarr, Kennedy, Larson, Nystul and Rauthe voting in favor with a roll call vote. Resolution 4285-Sewer Rule Making Authority This resolution will implement the "Rules" relating to the City's sewer utility. Kennedy moved Resolution 4285, a resolution to adopt an amendment to Rule V of the Kalispell Sewer Department Regulations. The motion was seconded. There was discussion. With a roll call vote the motion carried with Atkinson, Collins, Donahue, Granmo, Haarr, Kennedy, Larson, Nystul and Rauthe voting in favor with a roll call vote. 0924 924 This resolution will implement the "Rules" relating to the City's water utility. Kennedy moved Resolution 4286, a resolution to adopt an amendment to Rule V of the Kalispell Water Department Regulations. The motion was seconded. The motion carried upon roll call vote with Atkinson, Collins, Donahue, Granmo, Haarr, Kennedy, Larson, Nystul and Rauthe voting in favor with a roll call vote. Resolution 4287-Sewer Rate Inc ease This resolution includes the 17% sewer rate increase. Nystul moved Resolution 4287, a resolution to adopt the fees, schedules, rates, charges and classification imposed on the customers of the City of Kalispell Sewer Utility. The motion was seconded. With a roll call vote the motion carried with Atkinson, Collins, Donahue, Granmo, Haarr, Kennedy, Larson, Nystul and Rauthe voting in favor with a roll call vote. Resolution 4288-Water Rate Adjustments This resolution includes the water rate adjustments. Atkinson moved resolution to adopt the fees, schedules, rates, charges and classification imposed on the customers of the City of Kalispell Water Utility. The motion was seconded. There was discussion. The motion carried upon roll call vote with Atkinson, Collins, Donahue, Granmo, Haarr, Kennedy, Larson, Nystul and Rauthe voting in favor with a roll call vote. Regglution4289-Resolution of Intent to Annex a Portion of the Evergreen Commercial Strip This resolution will authorize the mailing of notices to the 34 property owners in the area proposed to be annexed. The notices will be sent on September 20th, providing an opportunity to protest up and through the 12th of October. The Planning Board will consider the request on October 8th, and the Council will hold a hearing on October 21st. The City has "Consent to Annex" documents, and Request to Withdraw from the Fire District that are recorded from nineteen of the 34 property owners. The City can provide services to the area without adding additional employees. It is estimated that the City's costs of providing services will be $50,000, and the annual revenues to the City will be $155,000. These properties are currently receiving their police services from the Sheriff's department that is subsidized by the property owners in the City. Once annexed, they will join the other property owners in the City in providing this subsidy to those properties located in the unincorporated areas of the County. Thelen recommended that Council pass the Resolution of Intent to Annex this property. Kennedy moved Resolution 4289, a resolution of intention to annex territory to the City of Kalispell, comprising that territory described in Exhibit A attached hereto and thereby made a part hereof, to be designated as the Evergreen Annexation No. 275, to fix a date of a hearing thereon, and to provide for publication of notice of said hearing. The motion was seconded. Nystul spoke against the resolution. Kennedy spoke in favor of the motion. Haarr and Granmo spoke against of the motion. 925 Donahue moved to table the resolution and discuss further at a later date. The motion was seconded. The motion was tabled with Granmo, Haarr, Donahue, Larson, Nystul and Collins voting in favor and Kennedy, Atkinson and Rauthe voting against. Resolution 4290-Resolution of Intention to Approve Certain Urban Renewal Projects Funded by Annual Tax Increment Revenues Resolution 4290 will modify the downtown Urban Renewal Plan to include the six (6) projects that were included in Ordinance No. 1243, which was the subject of Council repeal action on Thursday. The only significant change relates to the funding of the projects which will be through annual appropriations and temporary borrowing as needed rather than by the use of bonds. The City is scheduled to receive approximately $2,000,000+ each of the next 5 years (including FY 1997) that can be used to fund these projects. 1. Kalispell Center Mall $ 2,625,000 2. K.D.C. Site 2,000,000 3. Central School Project 2,500,000 4. Affordable Housing 300,000 5. Downtown Parking 800,000 6. Redevelopment Incentive Project 275,000 Subtotal $ 8,500,000 Less Land Sales 1,600,000 Total $ 6,900,000* The Resolution calls for a Public Hearing on October 21, 1996 on the projects. After the Public Hearing, an Ordinance can be passed that will then permit the City to enter into development agreements on each project. *This does not include temporary interest costs. Nystul moved Resolution 4290, a resolution calling a public hearing on a proposed modification of the Kalispell, Montana Urban Renewal Plan to approve certain projects as urban renewal projects. The motion was seconded. There was discussion. The motion carried upon roll call vote with Atkinson, Collins, Donahue, Granmo, Haarr, Kennedy, Larson, Nystul and Rauthe voting in favor with a roll call vote. n This Resolution establishes a new policy for sidewalk replacement and reiterates the current policy regarding the installation of sidewalk in areas that do not currently have sidewalk, which is that the property owner is responsible to pay for these sidewalks. Under this policy, the City will assume the responsibility to replace existing sidewalks. It specifically requires the City to replace the damaged walks in the downtown urban renewal area in FY 1997. The Public Works Department will develop the plan and specifications for this program this Winter. The policy requires the City to establish a sidewalk replacement program for areas outside the downtown Urban Renewal area in FY 1998 and commits $25,000 a year to the annual program for five years. In five years the current sidewalks that are defective will be replaced and the City will spend $15,000 a year to replace sidewalks. Thelen recommended that Council approve this resolution. Larson moved Resolution 4291, a resolution to initiate an annual Sidewalk Replacement Program for the City of Kalispell and to reword Section II, "that each year thereafter a budgeted amount will be used for sidewalk replacement". The motion was seconded. Donahue and Larson spoke in favor of the motion. 19 926 With a roll call vote the motion carried with Atkinson, Collins, Donahue, Granmo, Haarr, Kennedy, Larson, Nystul and Rauthe voting in favor. BUSINESS FROM MAYOR & COUNCIL Rauthe thanked Al Thelen for serving as interim city manager. He was applauded. Green Acres Failing Septic Systems Kennedy reviewed the situation and read the letter from the Flathead City -County Public Health Department as follows: Dear Mayor Rauthe and Members of City Council, The Flathead City -County Board of Health at its regular monthly meeting on August 15, 1996 voted unanimously to request that the Kalispell City Council reconsider the decision to deny extension of municipal sewer to the citizens in the Green Acres Subdivision who have failed home sewage disposal systems. Although the Board understands the complexities involved in allowing the extension of municipal utilities to a non -annexed portion of the County, they feel that the potential Public Health hazard caused by the failed systems far outweighs the inconvenience caused by such an extension. A review of the properties involved indicates that there exists little if any possibility of providing a replacement system which will fulfill the need for proper treatment of sewage other than connection to the municipal utility. Due to conditions throughout the entire subdivision, the Board is aware that connection of all units of the subdivisions is advisable and the Department will provide support in the eventual connection of the subdivision to municipal utilities in future. Should you require any further information or support regarding this matter please feel free to contact the Public Health Officer, or the Director of Environmental Health services at your convenience. Sincerely, V.A. Yaholkovsky, M.D. Chairman Kennedy moved to approve the Staffs plan to provide a sanitary sewer service to the 8 properties and that in addition to all of the other recommendations and requirements to be sure that the owners will sign the City standard waiver and not protest annexation into the City. The motion was seconded. There was discussion. Donahue moved to amend the motion to add the city manager be directed to proceed forthwith with the annexation procedure to take the Green Acres region including the 8 lots into the City. The motion was seconded. There was discussion. Nystul, Larson, Kennedy, Atkinson spoke against the amendment. With a vote the amendment failed with Atkinson and Donahue voting in favor. The original motion carried with Atkinson and Donahue voting against. KGA Lease Haarr encouraged the continuation of the deliberations with the Kalispell Golf Association Lease. () 912 927 Russell School Bus Stop Kennedy asked Public Works Director Babb to report on the bus stop at Russell School. Babb so reported. BUSINESS FROM MANAGER Letter of offer by David Thornquist for Market Place III David Thornquist, acting as an agent of Woods and Water Realty and representing the owner, Duane Bill Martin, and a major retailer, has proposed to construct a 24,500 square foot retail building located at the corner of Center Street and Third Avenue East and east of the Glacier Bank Drive-Thru facility. He has requested that the City acquire the improvements on the property at the current assessed valuation as determined by the County Assessor, which is $210,000. He also requests that the City demolish and clear the site at an estimated cost of $60,000. It is anticipated that the new building will cost $1,200,000, with tenant improvements costing $380,000. The City's investment will be returned in 31 years in taxes. Kennedy moved to approve the proposal as indicated by Woods and Water Realty and enter into a developers agreement. The motion was seconded. There was discussion. Kennedy called for the question. With a vote the motion carried with Donahue voting against. Option on City Owned Property Involved in KDC Site and the Corner Property Adjacent to the Liberty Theater and Statement of Intent to Assemble the Balance of Private Property in Block 36 Abrahms Venture has submitted a request to option the purchase of the KDC site and the corner property adjacent to the Liberty Theater. Mr. Gallagher outlined the major points of the proposed option in his memo of August 16, 1996. There was discussion. Kennedy moved to have the City of Kalispell enter into an option to purchase with Abrahms Venture on the redevelopment site on First. The motion was seconded. The motion carried with a vote with Collins, Donahue and Granmo voting against. Authority to Bid Police Vehicle Chief Clark requested authority to bid a police patrol cruiser. Atkinson moved to grant authority to bid a police patrol cruiser. The motion was seconded. Upon vote the motion carried. STAFF REPORTS Next Work Session August 26, 1996 7:00 p.m. Bus Tour Next Regular Meeting September 9, 1996 7:00 p.m. City Picnic August 21, 1996 5:30 p.m. Woodland Park 090H Nystul and Collins thanked Thelen for his work here and welcomed Clarence Krepps. Collins will be out of town the next work session. ADJOURN The meeting was adjourned at 10:32 p.m. DouglaM D. - , Mayor ATTEST: Cm c Debbie Giffo , C Clerk of Counci 1 1