Loading...
06/15/98 City Council Minutes1265 1265 A REGULAR MEETING OF THE KALISPELL CITY COUNCIL WAS HELD AT 7:00 P.M. MONDAY, JUNE 15, 1998, IN THE COUNCIL CHAMBERS AT CITY HALL IN KALISPELL, MONTANA. MAYOR WILLIAM E. BOHARSKI PRESIDED. COUNCIL MEMBERS JIM ATKINSON, NORBERT DONAHUE, JOHN GRAVES, DALE HAARR, DUANE LARSON, RON VAN NATTA, DOUG SCARFF AND CITY ATTORNEY/ACTING CITY MANAGER GLEN NEIER WERE PRESENT. COUNCIL MEMBER GARY NYSTUL WAS ABSENT. Mayor Boharski called the meeting to order and led the Pledge of Allegiance. AGENDA APPROVAL Haarr moved approval of the Agenda with Agenda Items #2 and #3 combined. The motion was seconded by Atkinson. There was no discussion. The motion carried unanimously upon vote. CONSENT AGENDA APPROVAL E. Council Minutes -Special Meeting May 26, 1998 Council Minutes -Regular Meeting June 1, 1998 Council Minutes -Special Meeting June 8, 1998 B. Approval of Claims per Payables Register-$781,573.95 Atkinson moved approval of the Consent Agenda as presented. The motion was seconded by Larson. There was discussion. Boharski questioned a claim for $5,861.01 to Insty-Prints. PECDD Director Larry Gallagher said the payment was for printing of the Kalispell Historical walking Tour Brochures. The motion carried unanimously upon vote. HEAR THE PUBLIC Gordon Pirrie, Kalispell Business Owner, informed the Council he attended a workshop sponsored by the National Main Street Preservation Society and asked the Council to look at the information provided from that meeting. Carl Feig, Forest Hills village, told the Council more study is needed on the ValleyDome before any approval is given. Bill Breen, 335 Mountain Meadow Road, recommended the Council's agenda on July 6 include a public hearing on the ValleyDome. B.J. Carlson, 375 Grandview Drive, representing Citizens for a Better Flathead, said information on the valleyDome is insufficient to make an informed decision and also asked for a formal public hearing. Don Bauder, 538 5th Avenue East, stated he is concerned about the economic feasibility of the Dome project and said he remains skeptical it will ever be built. Lex Blood, 844 3rd Avenue East, commented the Council has one of the major land use decisions to make that this community has considered in several decades and asked the Council to weigh all the information about the ValleyDome very carefully before making a decision. Mayre Flowers, Tally Lake Road, Whitefish, said funding for Highway 93 and US 2 will soon be available and asked the Council for innovative ideas for the expansion of that intersection. Russell Crowder, representing Montanans for Property Rights, commented he feels FRDO is trying to dictate to the ValleyDome developers and he hopes FRDO doesn't kill the project. 1266 1266 Max Battle, Attorney for the ValleyDome developers, said he is available for questions from the Council. Mayor Boharski asked where people can get information on the project, Battle answered Chris Jackola from Jackola Engineering is always available. Atkinson commented when the project was first presented, the Council was told the ValleyDome would be built first, he said now the developers are saying there are no guarantees the Dome will be built at all. Battle said the developers are spending a tremendous amount of time and effort on the project, however the commercial development is a "necessary precedent" to building the Dome. Chris Jackola, 317 1st: Avenue East, Jackola Engineering, told the Council the objective of the ValleyDome group is to meet the 2000 Hockey Season, and to do that, work needs to begin this fall. Ross Varner, Salt Lake City, Acquisition Disposition Director of Collier Hines & Associates, the managing entity of Gateway west Mall, encouraged the Council to become involved in redeveloping the Mall. Varner presented, to the Council, a design concept developed in 1997 which he feels compliments the City, the City's Infrastructure and the City's culture and environment. Paul Mendenhall, Vice President and Chief Investment Officer for JP Realty Inc., Salt Lake City, told the Council he's excited about being in Kalispell and working with Collier Hines and Associates to rejuvenate Gateway west Mall. He said JP Realty has looked at the Kalispell market on the behalf of a number of major department stores that have wanted to locate in Kalispell for at least five years. Mendenhall says after studying the area, the determination was made that the redevelopment of the Mall site is the best alternative for the community because a lot of the necessary infrastructure is already there. He added there are still obstacles to overcome but he hopes the development can be under construction by next spring with an opening sometime in the summer of 2000. Mendenhall: said discussion has also been taking place about relocating the Flathead Fairgrounds. He said joint development of all the properties in that area would greatly enhance the economic base of the community. Thor Jackola, Jackola Engineering, stated his company, along with Richard Dasen, is involved in Southfield Park and they feel some of the conditions contained in Resolution 4411 are too restrictive. He said he just wanted the Council to know how they feel and if there are any questions when the Council reaches that Agenda item he would be happy to answer them. Dick Brinck, HUD representative, presented the City of Kalispell with a National Award in Recognition of the City's use of the Community Development Block Grant program on the Samaritan House. Susan Moyer of PECDD accepted the award. Atkinson said he wanted the public to know that the award is "bittersweet," because the Mayor and the majority of the Council want to eliminate the Planning, Economic and Community Development Department in the budgeting process. PUBLIC HEARING At the Council meeting on June 1, 1998 the Council passed Resolution No. 4406, setting a Public Hearing for June 15, 1998 amending the fiscal 1998 budget by increasing appropriations for the purpose of making severance benefit expenditures to Clarence Krepps, Addison Clark and Don Hossack. Boharski opened the public hearing. 1267 1267 Boharski closed the public hearing. RESOLUTION 4407 - BUDGET AMENDMENT - SEVERANCE BENEFITS Neier explained the amendment would authorize the removal of $60,000 from the City's cash reserves to fund the expenditure made necessary by the termination of Clarence Krepps and the retirements of Addison Clark and Donald Hossack. Donahue moved Resolution 4407, a resolution calling for the amendment of the annual appropriations of the City of Kalispell, Montana, as set forth in the 1997-98 Budget adopted by the City Council for the purpose of appropriating funds for severance benefits. The motion was seconded by Haarr. There was discussion. Atkinson questioned whether the $60,000 is enough. He said he understood the severance benefits totaled around $100,000. Neier said the balance was paid from money the City was holding in retirement and unfunded liability in the general fund. The motion carried upon roll call vote with Atkinson, Donahue, Graves, Haarr, Larson, Scarff, Van Natta and Boharski voting in favor. RESOLUTION 4408 - CLOSURE OF SID FUNDS Neier explained that certain sidewalk and curb accounts of the City have expired as matter of law. In order to close out the accounts and properly account for the funds, it is necessary to pass a resolution authorizing the transfer of said funds to the SID Revolving Fund. Larson moved Resolution 4408, a resolution authorizing the Finance Director to close out the inactive sidewalk and curb funds to the SID Revolving Fund. The motion was seconded by Scarff. There was discussion. Donahue asked why, in 1987, the sidewalk and curb fund was in the hole, and in 1988, the fund contained an excess. Finance Director Amy Robertson explained in 1987 the bond included property owned by the Bank of Columbia Falls and when it went bankrupt, the City had to borrow from the Revolving Fund to make the debt service payment. She said she is not sure why there was a surplus in 1988, however, sometimes the City gets pre -payments, the bonds can be called sooner and then the interest payments are not going out. The motion carried upon roll call vote with Atkinson, Donahue, Graves, Haarr, Larson, Scarff, Van Natta and Boharski voting in f avor. . RESOLUTION 440 - TRANSFER EXCESS Fln=q FROM SID REVOLVING FUND TO GENERAL FUND Neier explained the City, by law, is required to have a SID Revolving Fund to assure payment of bonds and warrants issued for SID's and curbs and sidewalks. He said law established the fund at 5% of the outstanding bonds and warrants. Neier added the fund currently has excess funds in the amount of $17,148.00 which may be transferred to the General Fund and Resolution 4409 allows that transfer. Graves moved Resolution 4409, a resolution authorizing the Finance Director to transfer the funds in excess of 5% of the outstanding 1268 1268 BID debt from the SID Revolving Fund to the General Fund. The motion was seconded by Donahue. There was discussion. Boharski questioned Robertson about the excess. Robertson answered the surplus is mainly due to delinquent taxes on funds that have been closed. She said if the taxes are then paid, the fund shows a surplus. The motion carried upon roll call vote with Atkinson, Donahue, Graves, Haarr, Larson, Scarff, van Natta and Boharski voting in f avor. . RESOLUTION 4410 - MASTER PLAN AMENDMENT The Kalispell City -County Planning Board, on June 9, 1998, passed a resolution approving a Master Plan Amendment by changing the land use designation of approximately 60 acres north of Kalispell. Neier explained that Pack and Company and ValleyDome, L.L.c. have requested the land use change at the southeast corner of the intersection of US Highway 93 and west Reserve Drive from industrial to commercial. He stated Resolution 4410, as required by Montana law, is a resolution of intention to adopt, revise or reject the Planning Board's recommendation. Scarff moved Resolution 4410, a resolution to adopt, revise or reject an amendment to the Kalispell City -County Master Plan. The motion was seconded by Haarr. There was discussion. Donahue moved an amendment by changing the resolution to read, "a resolution of intention to adopt, revise or reject an amendment to the Kalispell City -County Master Plan." The motion was seconded by Haarr. Upon vote the amendment carried unanimously. Boharski asked Narda Wilson of FRDO if a report from the Planning Board is available for review. Wilson answered she has not prepared a report per se, but she has provided Neier with a packet which includes a transmittal letter, a copy of the resolution adopted by the Planning Board, along with back up documents, and a copy of the Staff report. Boharski asked if it would be possible to prepare a report including everything the Planning Board adopted. Wilson said it would be ready on Tuesday. Larson suggested a formal public hearing be held with the hearing noted in the resolution. Scarff agreed to include the public hearing notice in the original motion. The motion carried upon roll call vote with Donahue, Graves, Haarr, Scarff, and Boharski voting in favor, and Atkinson, Larson and van Natta voting against. Donahue asked Atkinson, Larson and Van Natta what they are trying to say by voting no. He said, don't they want the public to attend the meeting and have a chance to speak. Larson answered he feels "this thing has been railroaded all the way through." He added he's not opposed to the ValleyDome, but he's opposed to the process and he doesn't think the public has had adequate time. 1269 1 1 1 1269 RESOLUTION 4411 - PRELIMINARY pT.AT APPROVAL - SOUTHFIELD PARK (HAVEN FIELD) Neier explained Resolution 4411 concerns an application of Richard A. Dasen to subdivide what has been known as Haven Field. Neier said Dasen intends to subdivide the property into five parcels, which may be sold and developed by parties not included in the Development Agreement. Neier said this resolution would authorize approval of the subdivision subject to the conditions included. Scarff moved Resolution 4411, a resolution approving the Preliminary Plat of Southfield Park (Haven Field) commercial subdivision, Flathead County, Montana. The motion was seconded by Graves. There was discussion and Narda Wilson answered questions. Haarr asked what the repercussions would be if changes were made to conditions one (1), two (2), six (6) and seven (7) as Thor Jackola had requested. Wilson answered the conditions contained in the resolution are fairly standard and should be included. She said the covenants can be changed, but Staff felt they should be included to insure the project would be developed in an integrated manner. Jackola said Dasen would like to keep the conditions as flexible as possible. He said the buildings will be high quality with nothing the City would be ashamed of. Neier said the intentions of the parties are "well taken," however Staff hasn't seen any of the development documents. He added in his opinion, it wouldn't be appropriate to change the conditions without Staff being able to study the development design. Donahue noted the Development Agreement with Dasen included a provision requiring Dasen to pay $124,000.00 to the City annually, the amount estimated that the property would generate in taxes. He inquired as to how that payment is to be made if Dasen subdivides the property. Neier answered the $124,000.00 is a personal obligation of Dasen's, and if the construction doesn't generate that amount in taxes, then Dasen is liable for the difference. Atkinson expressed concern that at the time of the Development Agreement, the intention was for the property to be developed by one party. Neier said the agreement specifically provided that Dasen could break the property into parcels. Boharski asked Wilson if the Council can approve the final plat for the entire property when Dasen may not know what will be built on all five lots. He said he thinks that is Dasen's concern with the covenants described in condition number seven. Wilson answered the covenants only address architectural design, not the building's purpose. Haarr stated he feels an amendment should be made to strike condition number seven from the resolution. He said he sees it as a limitation on the potential look and design of the whole development. Wilson said the idea behind the covenants is architectural consistency so the area is developed as a single project. The motion carried upon roll call vote with Donahue, Graves, Haarr, Larson, Scarff, Van Natta and Boharski voting in favor, and Atkinson voting against. ORDINANCE 1288 - BUFF IO STAGE ZONIN - 2ND R A INS Neier explained the City Council, at its June 15` meeting, passed. 1270 1270 the first reading generally north of RA-1, Residential Office. of Ordinance 1288, zoning a parcel of property Edgerton School and west of Whitefish Stage as Apartment and R-5, Residential/Professional Larson moved the second reading of Ordinance 1288, an ordinance to amend Section 27.02.010, Official zoning Map, City of Kalispell zoning Ordinance, (Ordinance No. 1175), by zoning certain real property described in Exhibit A (previously zoned County RA-1, Low Density Residential Apartment), City RA-1, Low Density Residential Apartment, and R'-5, Residential/Professional Office, in accordance with the City -County Master Plan, and to provide an effective date. The motion was seconded by Haarr. There was no discussion. The motion carried upon roll call vote with Atkinson, Donahue, Graves, Haarr, Larson, Scarff, van Natta and Boharski voting in f avor. . FINAL PLAT - AMENDED PLAT OF LOT 69 - BUFFALO STAGE II Neier explained the townhouse subdivision, adjacent to Grandview Drive, was previously granted preliminary plat approval in the County and later annexed to the City. He said all conditions of the preliminary plat have been met. van Natta moved Final Plat approval of Lot 68, Buffalo Stage Phase II. The motion was seconded by Scarff. There was no discussion. The motion carried unanimously upon vote. APPROVAL OF WRITE-OFFS - WATER, SEWER AND AMBULANCE BAD DEBTS Neier explained water and sewer bad debts are generally occasioned as a result of individuals declaring bankruptcy, renters leaving the property without paying, etc. He said ambulance accounts may be uncollectible for a variety of reasons including death, Medicare or Medicaid payments or just the inability to pay. Neier recommended approval of the bad debt list. Haarr moved approval of the list of write-offs for 1998 as presented in the amount of $90,212.25. The motion was seconded by van Natta. There was discussion. Scarff inquired as to the length of time the ambulance write offs cover. Robertson explained the write-offs include the uncollectible bills from 1995 and what is uncollectible in the current year from Medicare and Medicaid. She said every year the City writes off between seventy and eighty thousand dollars, which is about twenty percent of what is billed. She added on the other hand, the water and sewer write-offs is less than one -tenth of one percent of that billed. Donahue questioned why the City is writing off over a thousand dollars in litigation when the money may be coming in later following the settlement of lawsuits. Fire Chief Ted Waggener said the litigation included in the write- offs has been going on too long and the chances of the Department receiving any money is slim. Robertson said the Credit Bureau is still trying to collect the debts, but it's time to take them off the City's books. Boharski asked why the Medicare and Medicaid write-offs, in the amount of almost twenty seven thousand dollars, are so high. He asked Waggener if our bills are that "far out -of -whack" with Medicare and Medicaid billing amounts. 1 1271 1271 Waggener answered Medicare averages all the ambulance rates in the State, then pays only eighty percent of an allowed amount, which is never what the City's rate is. He said Medicaid is even worse. Boharski asked if part of the problem is a non -timely submittal of claims. Waggener said many times a bill has to be submitted twice because Medicare claims it never received it. The motion carried unanimously upon vote. AWARD RID - SIDEWALK & CURBING CONSTRUrTTON FOR YEAR FNnTNG T iNE 30 lq9q - Two bids were received and opened on June loth for the Sidewalk & Curbing Construction for the year ending June 30, 1999. The bids were from Pack & Company and Sandon Construction. Neier informed the Council that Pack & Company was the low bidder, with an average reduction in cost of twelve percent over last year's costs. Van Natta moved the bid be accepted from Pack & Company for the Sidewalk and Curbing Construction for the year ending June 30, 1999. The motion was seconded by Atkinson. There was discussion. Donahue asked if the Public Works Department has a quality control in place to make sure the sidewalks are up to specifications. Public Works Director Jim Hansz said the City periodically inspects all jobs bid. The motion carried unanimously upon vote. AWARD BID - DOWNTOWN TAX INCREMENT SIDEWALK REPLACEMENT PROTECT - PHARR IT Four bids were received for this project and were also opened on June loth. A Supplemental Bid was included in the bid packet to enable the City to install additional sidewalks up to the budgeted amount of $28,436.00, should the successful bid be less than that amount. Neier explained there are specific sidewalk replacement projects. within the downtown redevelopment area in the City of Kalispell. He said those projects were estimated to cost $26,500.00, with Pack & Company bidding $15,544.00. Neier said because of the Supplemental Bid included in the bid packet, the Council can award the contract to Pack & Company, including the Supplemental Bid, not to exceed the sum of $28,436.00. Hansz said because of the low bid, the City will be able to do about $13,000.00 of additional work. Van Natta moved to award the base and supplemental bids to Pack & Company. The motion was seconded by Larson. There was discussion. Haarr suggested, because of the low price, maybe additional money could be found to do more sidewalks. Hansz said he would look into the possibility of adding to the supplemental work. The motion carried unanimously upon vote. APPOINTMENT - ROARD OF APPIRAU The City, pursuant to the Uniform Building Code, is required to have a Board of Appeals to evaluate alternative means of construction proposed by builders. 1272 1272 Neier said the Board is used sporadically, but when they are called upon to act, it is generally an important and technical question that must be answered. He said the City is fortunate to have five people apply for a position on the Board. Boharski recommended William Heinecke, Scott Williams, Dewey Swank, Mike Holder and Thor Jackola be appointed to the Board of Appeals. Donahue moved to accept the Mayor's recommendations. The motion was seconded by Haarr. The motion carried unanimously upon vote. PRELIMINARY BUDGET APPROVAL Neier informed the Council that the preliminary budget for fiscal year 1998-99 must be adopted prior to July 10`h. He said the adoption will not hinder the Council's ability to critique the budget document and make changes. Neier said by adopting the preliminary budget, the Staff can then properly notice the process. Atkinson moved approval of the preliminary budget. The motion was seconded by Larson. There was no discussion. The motion carried unanimously upon vote. INTERIM CITY MANAGER Neier suggested the City begin advertising for a permanent City Manager. He said in the meantime, he would like some direction from the Council on how to proceed for an Interim Manager. Atkinson moved the Council direct the City Attorney to advertise for a permanent City Manager as soon as possible. The motion was seconded by Van Natta. There was no discussion. The motion carried unanimously upon vote. Boharski informed the Council that Al Thelen, former Interim Manager for Kalispell, has offered to come to Kalispell and conduct a workshop for the Council on how to hire a City Manager. He said he feels the City could bring in Thelen for about $1,000.00. Haarr said he doesn't think this is a good time because the Council is extremely busy right now with budgets. He added he'd like to see Thelen come back, but he doesn't think the timing is right. Donahue says there are five Council members that have been through a Manager search and he doesn't feel Thelen is needed. Larson agreed, stating maybe Thelen could help the City negotiate a contract with the Manager once one is chosen, but he doesn't feel it's necessary to include Thelen in the selection process. Van Natta commented that Neier should be compensated for acting as Interim Manager. Donahue countered when Neier feels overburdened he will let them know. FIRST NIGHT FLATHEAD Mayor Boharski said he researched First Night on the Internet and discovered it involves the National Endowment for the Arts. He added First Night Flathead needs an endorsement from the Council in order to work with the National organization and he asked for approval from the Council to send a letter supporting the event. van Natta moved to send the letter endorsing First Night Flathead. The motion was seconded by Atkinson. 1273 1273 The motion carried unanimously upon vote. COUNCIL COMMENTSi/INFORMATION/QUESTIONS Haarr informed the Council a CAB committee hearing was held last Wednesday and a draft form of a new Interlocal Agreement has been forwarded to the County Commissioners. He said he hopes the final agreement will come before the Council in early July. Boharski said the Chamber of Commerce has agreed to coordinate a Downtown workshop and is gathering proposals. He added there is still money in the Tax Increment Fund for consulting fees and he hopes the Council, at a meeting in the near future, will agree to help the Chamber fund the project. Neier told Council members the Department Heads met today and are looking at alternative financing for several items listed in the budgets and he hopes to have a memo summarizing the meeting by the end of the week. Council members agreed to meet for Budget Work Sessions on Monday, June 22 and Wednesday, June 24. Donahue commented the Council agreed at the last meeting to donate $500.00 to help assist with the hiring of a Facilitator to develop a Consensus Document from three documents on the Master Plan. He said the donation was contingent on the County Commissioners donating the same amount of money to the Planning Board and he asked whether they had done that. Wilson answered the Commissioners did agree to donate also and Richard Hunt was chosen as the Facilitator. Donahue also commented he feels ordinance 1166 should be amended relative to the Mayor's power of appointment to Boards and Commissions and remove the Manager from having that authority. Donahue said in addition, the ordinance should be amended to allow substitutes be appointed for Board meetings if a member can't attend. it was agreed the matter would be brought before the Council on July 6. Atkinson moved to adjourn. The motion was seconded by Scarff. The motion carried unanimously upon vote. The meeting was adjourned at 10:20 p.m. wml.baharsM . Wm. E. Boharski, Mayor ATTEST: Theresa White Clerk of Council approved July 6, 1998