05/19/03 City Council MinutesA REGULAR MEETING OF THE KALISPELL CITY COUNCIL WAS HELD AT 7:00 P.M.
MONDAY, MAY 19, 2003, IN THE COUNCIL CHAMBERS AT CITY HALL IN
KALISPELL, MONTANA. MAYOR PAMELA B. KENNEDY PRESIDED. COUNCIL
MEMBERS JIM ATKINSON, DON COUNSELL, BOB HAFFERMAN, DUANE LARSON,
FRED LEISTIKO, HANK OLSON AND JAYSON PETERS WERE PRESENT. COUNCIL
MEMBER RANDY KENYON WAS ABSENT.
Also present: City Manager Chris A. Kukulski, City Attorney Charles Harball, City Clerk Theresa
White, Finance Director Amy Robertson, Public Works Director Jim Hansz, Police Chief Frank
Garner, Parks and Recreation Director Mike Baker, Fire Chief Randy Brodehl, Community
Development Director Lynn Moon and Tri-City Senior Planner Narda Wilson.
Mayor Kennedy called the meeting to order and led the Pledge of Allegiance.
AGENDA APPROVAL
Atkinson moved approval of the Agenda. The motion was seconded.
There was no discussion.
The motion carried unanimously upon vote.
CONSENT AGENDA APPROVAL
l . Council Minutes - Regular Meeting May 5, 2003
2. Award Bid — Sidewalk and Curbing Construction
Sandon Construction was the only bidder for the annual sidewalk and curbing construction in
Kalispell. Staff recommended the bid be awarded to Sandon for expenditures of up to
$95,000.00 matched by an equal amount from residents and/or businesses.
Award Bid — 2003 Chip Seal Project
Three bids were received for the 2003 chip seal project from Conmat of Idaho, JTL, Kalispell
and Helena Sand & Gravel aka Nupac, Kalispell. Staff recommended the bid be awarded to
JTL Group for expenditures of up to $74,430.00 in gas tax monies.
4. Award Bid — 2003 Epoxy Striping Project
Two bids were received from United Rentals of Billings and Arrow Striping of Billings for
the 2003 epoxy paint striping project. Staff recommended the bid be awarded to United
Rentals for expenditures of up to $54,522.00 in gas tax monies.
5. Contract Amendment — Aquatic Facility Construction
When the contract for the aquatic park was awarded, a concession stand and additional
bathrooms were eliminated, but unexpected savings in other areas of the project mean these
buildings could now be erected. Staff recommended the Council to amend the original
contract with Swank Enterprises by $98,500 to complete the originally proposed concession
stand and bathrooms.
6. Proclamation — Emergency Medical Services Week
Leistiko moved approval of the Consent Agenda. The motion was seconded.
There was no discussion.
Kalispell City Council Minutes
May 19, 2003
Page 1
The motion carried unanimously upon vote.
STUDENT ISSUES
None.
HEAR THE PUBLIC
Donna Thornton, 1026 1 /2 4th Street West, representing the Kalispell Business Association said she
has the results of the latest survey which asked, "There are currently two major mall projects in the
planning process. These mails can be partially tax supported with government tax funds and/or
special government funded tax incentives, or they can be the total financial responsibility of the
developer. Which do you support?" Thornton said the survey showed 8% of the respondents
supported partially tax supported mall projects with 92% supporting the 100% developer funded
proj ects.
Tom Sands, Sands Surveying, said he is available to answer any questions that may arise on
Ordinances 1452 and 1457 and Resolutions 4787 and 4788.
Scott Richardson, Airport Advisory Board Chairman, read a letter in response to a lot of
misinformation about the City Airport recently. (Letter is attached and by this reference is made a
part of the official record)
ORDINANCE 1451— INITIAL ZONING — BLUE HERON ESTATES — 2ND READING
Charles and Michelle Lapp have requested a zoning designation of R-2, Residential, on
approximately 24 acres located on the northwest corner of Three Mile Drive and Stillwater Road.
Ordinance 1451 passed on first reading May 5th.
Larson moved second reading of Ordinance 1451, an ordinance to amend Section 27.02.0101,
Official Zoning Map, City of Kalispell Interim Zoning Ordinance, (Ordinance No.1439), by
zoning certain real property described as Blue Heron Addition No. 324 and further described
on Exhibit "A" located in Section 2, Township 28 North, Range 22 West, P.M.M., Flathead
County, Montana (previously zoned County R-2, Residential) to City R-2 (Single Family
Residential), in accordance with the Kalispell Growth Policy 2020, and to provide an effective
date. The motion was seconded.
There was no discussion.
The motion carried unanimously upon roll call vote.
ORDINANCE 1452 — INITIAL ZONING — WEST VIEW ESTATES — 2ND READING
Owl Corporation has requested a zoning designation of R-3 and RA-1 on approximately 58 acres
located on the northeast corner of Stillwater Road and West Reserve Drive. Ordinance 1452 passed
on first reading May 5th.
Leistiko moved second reading of Ordinance 1452, an ordinance to amend Section 27.02.0101,
Official Zoning Map, City of Kalispell Interim Zoning Ordinance, (Ordinance No. 1439), by
zoning certain real property described as West View Addition No. 325 and further described
on Exhibit "A" located in Section 25, Township 29 North, Range 22 West, P.M.M., Flathead
County, Montana (previously zoned County AG-80, Agricultural) to City R-3 (Residential) and
City RA-1 (Low Density Residential Apartment), in accordance with the Kalispell Growth
Policy 2020, and to provide an effective date. The motion was seconded.
There was no discussion.
Kalispell City Council Minutes
May 19, 2003
Page 2
The motion carried unanimously upon roll call vote.
ORDINANCE 1453 — ZONING TEXT AMENDMENT — 2ND READING
Grant Spoklie has requested amendments to the Kalispell Interim Zoning Ordinance to reduce the
parking requirements for beauty and barber shops. Ordinance 1453 passed on first reading May 5th.
Peters moved second reading of Ordinance 1453, an ordinance amending Section 27.26.050(4)
of the Kalispell Interim Zoning Ordinance, (Ordinance No.1439), by amending the parking
requirements for beauty and barber shops, and declaring an effective date. The motion was
seconded.
There was no discussion.
The motion carried unanimously upon roll call vote.
ORDINANCE 1454 — PROHIBIT PARKING ON MAIN STREET/SUNSET BOULEVARD —
2ND READING
In 1999, the Council declared its intent to prohibit parking on Main Street/Sunset Boulevard between
Idaho Street and Arizona Street when left turn lanes were created. Now that construction is complete,
the Council needs to follow through on its pledge. Ordinance 1454 passed on first reading May 5th.
Counsell moved second reading of Ordinance 1454, an ordinance prohibiting parking on Main
Street/Sunset Boulevard between Idaho Street and Arizona Street and declaring an effective
date. The motion was seconded.
There was no discussion.
The motion carried unanimously upon roll call vote.
ORDINANCE 1455 — VENDING ORDINANCE — 2ND READING
This ordinance updates the "Traveling Merchant or Peddler" ordinance and allows vending only at
special events and in City Parks. Ordinance 1455 passed on first reading May 5th.
Atkinson moved second reading of Ordinance 1455, an ordinance repealing the existing
language of Kalispell City Ordinance 15-12 entitled `Traveling Merchant or Peddler" and
replacing it with language to regulate vending on public ways and declaring an effective date.
The motion was seconded.
Harball asked for two minor changes to the ordinance. He said in Section 5, the health inspection
certificate is actually issued by the State and he asked that the word "State" be inserted prior to
"certificate of health". He also asked that in Section 9, "TEN ($10.00) DOLLARS per day" be
changed to "TEN ($10.00) DOLLARS per event".
Atkinson agreed to accept the changes as a friendly amendment. The second concurred.
The main motion as amended carried unanimously upon roll call vote.
ORDINANCE 1456 — SALARY ORDINANCE — 2ND READING
Amendments to the salary ordinance include adjustments coinciding with the new AFSCME labor
contract, an adjustment of non -union salary ranges, and a new job title. Ordinance 1456 passed on
first reading May 5th.
Kalispell City Council Minutes
May 19, 2003
Page 3
Leistiko moved second reading of Ordinance 1456, an ordinance amending Ordinance No.
1412, fixing the limits of the salary and compensation of the city officials, supervisors, and
employees pursuant to Title 7, Chapter 4, Part 42, M.C.A., commencing on the dates indicated
herein, and repealing all other ordinances in conflict therewith. The motion was seconded.
There was no discussion.
The motion carried upon roll call vote with Atkinson, Counsell, Larson, Leistiko, Olson and
Mayor Kennedy voting in favor, and Peters and Hafferman voting against.
RESOLUTION 4787 — ANNEXATION REQUEST — ASHLEY MEADOWS
Tim Knoll has applied for annexation of approximately 4 acres of property located at the northeast
corner of Bluestone and Denver Avenue.
Larson moved Resolution 4787, a resolution to provide for the alteration of the boundaries of
the City of Kalispell by including therein as an annexation certain real property, as more
particularly described on Exhibit "A", located in Section 19, Township 28 North, Range 21
West, P.M.M., Flathead County, Montana, to be known as Ashley Meadows Addition No. 326;
to zone said property in accordance with the Kalispell Interim Zoning Ordinance and to
declare an effective date. The motion was seconded.
Wilson gave a combined report on the Ashley Meadows annexation, zoning and preliminary plat
requests. She explained as it currently exists, the property where the applicant's house is located is
not included in the annexation request and one of the recommended conditions of approval is that
this property be annexed into the City prior to, or concurrent with, the filing of any final plat
associated with the subdivision. Wilson further explained that the Planning Board also recommended
two variances in conjunction with this subdivision: one would allow a variance to the required 125
foot roadway offset for the extension of Bismark Street because the applicant's house lies in the path
of the extension and would result in a loss of the house if it were to be relocated. The other variance
was based on the topography of the property and the shape of the parcel and would allow a variance
to the three to one length to width lot ratio.
Leistiko asked if Knoll owns all of 7ABA.
Wilson answered he doesn't own the property north of Ashley Creek.
Olson, referring to the Planning Board minutes which noted that a park will not be developed, said
he wants to make sure subdivisions have parks so children aren't crossing busy roads to reach a
recreational area.
Wilson remarked that instead of the cash in lieu of parkland, a homeowner's association could
develop the 0.3 acre into a park, but small parks do not generally provide adequate recreational
space.
Baker agreed with Olson stating subdivisions which do not have parks are missing out, however, this
parcel is too small and the City could better use the money to add something to Begg Park, such as a
basketball court.
Olson said he's still concerned about children having play areas close to home and asked Baker to
attend a work session concerning subdivision parks.
Kalispell City Council Minutes
May 19, 2003
Page 4
Larson said if the Council is going to approve a variance for the extension of Bismark Street, why is
Condition #13 still being included? (Condition #13 reads: "That consideration be given to the
relocation of the existing house to allow for the alignment and extension of Bismark Street which
would necessarily result in the reconfiguration of the subdivision but no an additional formal
preliminary plat review.")
Wilson said the condition wasn't removed because staff would still like the owner to consider
relocation.
Hafferman said he thought the fifty foot lot width was supplied at the building line, not the right-of-
way, when you have pie shaped lots. He said it's difficult to meet fifty feet from the property line.
Wilson answered that is correct, unless you have "irregularly shaped lots", then the building width is
taken at the fifteen foot building setback line. She said they will work with the developer to help
them create the fifty foot lots.
Peters said the recommendation is for a zoning designation of R-4, Two Family Residential, and
asked if it wouldn't make more sense, considering the lot sizes, to make it R-3, Urban Single Family
Residential.
Wilson said the lot size requirement in R-3 is 7,000 square feet and the lot size requirement in R-4 is
6,000 square feet and with an R-3 zoning designation the developers couldn't get thirteen lots.
The motion carried unanimously upon roll call vote.
ORDINANCE 1457 — INITIAL ZONING — ASHLEY MEADOWS —1ST READING
Tim Knoll requested an initial zoning designation of R-4, Two -Family Residential, upon annexation
of the above -mentioned property.
Leistiko moved first reading of Ordinance 1457, an ordinance to amend Section 27.02.010,
Official Zoning Map, City of Kalispell Interim Zoning Ordinance, (Ordinance No.1439), by
zoning certain real property described as Ashley Meadows Addition No. 326 and further
described on Exhibit "A" located in Section 19, Township 28 North, Range 21 West, P.M.M.,
Flathead County, Montana (previously zoned County R-1, Residential) to City R-4 (Two
Family Residential), in accordance with the Kalispell Growth Policy 2020, and to provide an
effective date. The motion was seconded.
Peters commented he has a problem issuing R-4 zoning, multi -family, if it's going to end up being
single-family on those lots.
Wilson said it's not multi -family, it will be developed with either duplexes or single-family homes,
and there are only a few lots that would accommodate duplexes.
Peters said he's heard from several people who don't want to see any more duplexes in this area. He
said it wasn't in connection with this particular property, but he does feel it needs to be addressed.
Wilson said in her experience, a lot of those complaints come from people living in exactly the same
kind of housing and neighborhoods that's being proposed. She said from a sense of consistency and
fair play, there's value to having predictability, and predictability means doing what's consistent
with the character of the neighborhood.
The motion carried unanimously upon roll call vote.
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May 19, 2003
Page 5
RESOLUTION 4788 — PRELIMINARY PLAT — ASHLEY MEADOWS
Tim Knoll also requested preliminary plat approval of Ashley Meadows, a 13-lot subdivision.
Larson moved Resolution 4788, a resolution conditionally approving the preliminary plat of
Ashley Meadows Subdivision, more particularly described on Exhibit "A", in Section 19,
Township 28 North, Range 21 West, P.M.M., Flathead County, Montana. The motion was
seconded.
There was no discussion.
The motion carried unanimously upon roll call vote.
RESOLUTION 4789 — ANNEXATION REQUEST — GETZ
Dorthey Getz has applied for annexation of approximately three acres of land located on the south
side of Appleway Drive, west of Meridian road.
Leistiko moved Resolution 4789, a resolution to provide for the alteration of the boundaries of
the City of Kalispell by including therein as an annexation certain real property, as more
particularly described on Exhibit "A", located in Section 13, Township 28 North, Range 22
West, P.M.M., Flathead County, Montana, to be known as Getz Addition No. 327; to zone said
property in accordance with the Kalispell Interim Zoning Ordinance, and to declare an
effective date. The motion was seconded.
Wilson gave a combined staff report on the Getz annexation and zoning request, stating this site has
been "ambitiously" cleaned up and the property is in the process of being sold to Joe Clark, who has
intentions to develop the property with multi -family dwellings, provided the annexation and B-2
zoning are successful.
Hafferman commented this property is in his neighborhood and he feels it's a very good use of the
land.
The motion carried unanimously upon roll call vote.
ORDINANCE 1458 — INITIAL ZONING — GETZ —1ST READING
Dorthey Getz requested an initial zoning designation of B-2, General Business, upon annexation of
the above -mentioned property.
Atkinson moved first reading of Ordinance 1458, an ordinance to amend Section 27.02.010,
Official Zoning Map, City of Kalispell Interim Zoning Ordinance, (Ordinance No.1439), by
zoning certain real property described as Getz Addition No. 327 and further described on
Exhibit "A" located in Section 13, Township 28 North, Range 22 West, P.M.M., Flathead
County, Montana (previously zoned County R-1, Residential) to City B-2 (General Business),
in accordance with the Kalispell Growth Policy 202, and to provide an effective date. The
motion was seconded.
There was no discussion.
The motion carried unanimously upon roll call vote.
RESOLUTION 4790 — ANNEXATION REQUEST — SCHOOL DISTRICT 5
School District 5 has requested annexation of approximately 8 acres including Edgerton School.
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May 19, 2003
Page 6
Peters moved Resolution 4790, a resolution to provide for the alteration of the boundaries of
the City of Kalispell by including therein as an annexation certain real property, as more
particularly described on Exhibit "A", located in Section 32, Township 29 North, Range 21
West, P.M.M., Flathead County, Montana, to be known as Edgerton Addition No. 328; to zone
said property in accordance with the Kalispell Interim Zoning Ordinance and to declare an
effective date. The motion was seconded.
There was no discussion.
The motion carried unanimously upon roll call vote.
ORDINANCE 1459 — INITIAL ZONING — SCHOOL DISTRICT 5 —1ST READING
School District 5 has requested an initial zoning designation of P-1, Public, upon annexation of the
above mentioned property.
Leistiko moved first reading of Ordinance 1459, an ordinance to amend Section 27.02.010,
Official Zoning Map, City of Kalispell Interim Zoning Ordinance, (Ordinance No.1439), by
zoning certain real property described as Edgerton Addition No. 328 and further described on
Exhibit "A" located in Section 32, Township 29 North, Range 21 West, P.M.M., Flathead
County, Montana (previously zoned County R-1, Residential) to City P-1 (Public), in
accordance with the Kalispell Growth Policy 202, and to provide an effective date. The motion
was seconded.
Wilson pointed out there's an error in the Ordinance; it should read "previously zoned County RA-1,
Low Density Residential Apartment".
So noted.
There was no discussion.
The motion carried unanimously upon roll call vote.
RESOLUTION 4791— PRELIMINARY PLAT — AMENDED LOT 3 — DALEY FIELD
Murcon Development is requesting preliminary plat approval of the Amended Lot 3 of Daley Field
Subdivision, a four -lot commercial subdivision on approximately 7 acres located on the west side of
Highway 93 across from Kelly Road.
Larson moved Resolution 4791, a resolution conditionally approving the preliminary plat of
amended plat of Lot 3, Daley Field Subdivision, more particularly described as the amended
plat of Lot 3 of Daley Field Subdivision, located in Section 20, Township 28 North, Range 21
West, P.M.M., Flathead County, Montana. The motion was seconded.
Hafferman said he would hate to see a proliferation of stop lights along this section of road. He said
he would like to see the following happen: 1) close the existing Rosauer's intersection and move the
stop light to Kelly Road; 2) construct a frontage road from Rosauer's parking lot to Kelly Road; and
3) provide right-of-way from Big R to Kelly Road. He said he would like to see a cooperative effort
between the Montana Department of Transportation, the City and the developer in a monetary effort
to work out a solution to this problem. Hafferman suggested: 1) grant a variance from the existing
regulations for the width of right-of-way required for a frontage road along the entire front of this
subdivision, say forty feet; 2) use tax increment money to construct the frontage road; 3) the
developer, City and Montana Department of Transportation cooperate in the costs of moving and
installing the stop light, on whatever ongoing negotiations have occurred to date, with the
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May 19, 2003
Page 7
developer's donation of frontage road right-of-way thrown into that mix. In addition, whenever the
lot north of Rosauer's develops, require that developer to work with Rosauer's to reconfigure
Rosauer's' parking lot and use the east end as a frontage road. Hafferman said with everyone's
cooperation, we could end up with only one stop light at Kelly Road.
Hansz said Hafferman has raised a lot of interesting points to discuss, but the majority of the
discussion should have taken place many years ago when the initial development of Rosauer's
started. He said MDT will not be a party to any frontage roads and the City will have to build a
frontage road on private property only. Hansz said as far as the traffic lights, the selection of the
realigned Third Street intersection was made after careful discussions with MDT and the City and
because the Rosauer's development took place when it did, basically cinched that that was the best
location for the light. He said MDT has no interest in placing a light at Kelly Road unless signal
warrants indicate it's necessary, and then it's still not required.
Leistiko said at one time there was a proposal before the Council to bring a frontage road from Big
R, to Penco, and across to Kelly Road. He asked if that fell through.
Kukulski responded that the City spent six months to a year, and met approximately five times with
property owners, to work out details on how to build a frontage road, but unfortunately, it never
came together.
Olson said it was mentioned at the Planning Board meeting that MDT will not put a light at Kelly
Road because it doesn't feel it's warranted, however, a signal may be warranted after development of
property. He asked if a determination is made that a traffic light is needed, who will have to pay for
it.
Hansz answered if development occurs that creates the warrant conditions for a light, then the
development will be looked at to pay for it. He said if there is a gradual increase in traffic, then the
City will sit down with MDT to determine if there are State funds available.
Olson further commented that the minutes state money from the sale of the Daley Field has been
earmarked for airport improvements and utility installation along Highway 93. He asked if the City
still has this money.
Kukulski said the money from the sale is still in the bank.
Olson stated he's almost tempted to table the resolution until the traffic light issue is settled. He said
the traffic is already ridiculous and now another bunch of businesses will be pouring more vehicles
out onto the road.
Wilson informed the Council that John Schwartz has been working independently with the property
owners of Penco and Big R to develop a through access road that would utilize cross easements
through the parking lots. She said Rosauer's manager even attended the Planning Board meeting and
stated he would support shared access between the parking lots to the controlled intersection.
The motion carried upon roll call vote with Atkinson, Counsell, Hafferman, Larson, Leistiko,
Peters and Mayor Kennedy voting in favor, and Olson voting against.
FINAL PLAT — MOUNTAIN VIEW PLAZA
This is a request for final plat approval of Mountain View Plaza subdivision which creates eight
commercial lots on approximately 37 acres. All of the necessary conditions of the preliminary plat
and the planned unit development agreement have been met or adequately addressed.
Kalispell City Council Minutes
May 19, 2003
Page 8
Leistiko moved final plat approval for Mountain View Plaza. The motion was seconded.
Wilson explained the preliminary plat showed eleven lots for Mountain View Plaza when the
Council approved it on October 21, 2002. She said the final plat only shows eight lots because the
lots between Home Depot and Target were consolidated into one lot. The remaining seven lots were
those along Highway 93. Wilson said all of the infrastructure has been completed and accepted by
the Public Works Department and the $50,000 payment for the fire station site has been received.
The motion carried upon vote with Atkinson, Counsell, Hafferman, Larson, Leistiko, Olson
and Peters voting in favor, and Mayor Kennedy abstaining.
ORDINANCE 1460 — KALISPELL ZONING ORDINANCE —1ST READING
Ordinance 1460 adopts the Kalispell Interim Zoning Ordinance as the permanent zoning ordinance
of the City of Kalispell.
Peters moved first reading of Ordinance 1460, an ordinance adopting the Kalispell Interim
Zoning Regulations as the permanent zoning regulations and declaring an effective date. The
motion was seconded.
Larson asked if the changes the Council has discussed at work sessions are included in the ordinance.
Wilson answered all of the amendments that have been formally approved are included.
The motion carried unanimously upon roll call vote.
RESOLUTION 4792 — RESOLUTION OF INTENT — BUSINESS IMPROVEMENT
DISTRICT
The City of Kalispell has been presented with petitions signed by owners of downtown businesses
requesting a Business Improvement District be created. This resolution is the first step in that
process and calls for a public hearing scheduled for June 16th.
Leistiko moved Resolution 4792, a resolution of intention to create a business improvement
district for the City of Kalispell, Montana, to fix a date of a public hearing, and to provide for
publications of notice of said hearing. The motion was seconded.
Hafferman said the Daily Inter Lake reported the district would be self -financed. He said if that's
true, then he assumes the proposal made last fall to use $25,000 in revolving fund monies no longer
applies.
Kukulski said that issue is not specific to the resolution this evening, however, he would anticipate a
budget request for the $25,000.
The motion carried upon roll call vote with Atkinson, Counsell, Larson, Leistiko, Olson, Peters
and Mayor Kennedy voting in favor, and Hafferman voting against.
RESOLUTION 4793 — CALL FOR PUBLIC HEARING — WATER RATE INCREASE
Resolution 4793 sets a public hearing date for June 16th to hear comments concerning a water rate
increase of ten percent each year over the next five years.
Leistiko moved Resolution 4793, a resolution setting a date for public hearing on a proposal to
adopt increases in the fees, schedules, rates, charges and classifications imposed on the
customers of the City of Kalispell Water Utility. The motion was seconded.
Kalispell City Council Minutes
May 19, 2003
Page 9
Kukulski gave a staff report.
Hafferman read a written statement concerning the water rate increase. (Statement and memo on
Highway 93 utilities are attached and by this reference are made a part of the official record)
Larson stated Hafferman makes some valid points; however, the Council is simply scheduling the
public hearing this evening and the ratepayers need a chance to be heard.
The motion carried upon roll call vote with Atkinson, Counsell, Larson, Leistiko, Olson, Peters
and Mayor Kennedy voting in favor, and Hafferman voting against.
RESOLUTION 4794 — CALL FOR PUBLIC HEARING — SEWER RATE INCREASE
Resolution 4794 sets a public hearing date for June 16th to hear comments concerning a sewer rate
increase of three, four and five percent over the next five years
Atkinson moved Resolution 4794, a resolution setting a date for public hearing on a proposal
to adopt increases in the fees, schedules, rates, charges and classifications imposed on the
customers of the City of Kalispell Sewer Utility. The motion was seconded.
Hafferman read a written statement concerning the sewer rate increase. (Statement is attached and by
this reference is made a part of the official record)
The motion carried upon roll call vote with Atkinson, Counsel], Larson, Leistiko, Olson, Peters
and Mayor Kennedy voting in favor, and Hafferman voting against.
MEMORANDUM OF UNDERSTANDING — EVERGREEN DISPOSAL, INC.
This memorandum of understanding spells out solid waste services between Evergreen Disposal and
the City of Kalispell.
Leistiko moved the Council authorize the Mayor to execute the Memorandum of
Understanding between the City of Kalispell and Evergreen Disposal, Inc. The motion was
seconded.
Mayor Kennedy thanked the City Manager and City Attorney for their hard work on this agreement
and for bringing forward a document that appears to be in the best interest of both parties.
Kukulski explained the legalities of the issue and stated the agreement clarifies the relationship
between the City and Evergreen Disposal.
There was no discussion.
The motion carried unanimously upon vote.
BOARD APPOINTMENTS — PARKING COMMISSION
Eight letters of interest were received for five seats on the Parking Commission. Those asking for
appointment are Janet Clark, Bill Goodman, John Hinchey, Rebecca Jones, Richard Nelson, Mark
Pirrie, Joel Schoknecht and Ron Trippet.
Mayor Kennedy said she has decided to recommend the appointments of the members currently
serving on the Parking Commission. She said it's a diverse group that works together quite well.
Kalispell City Council Minutes
May 19, 2003
Page 10
Mayor Kennedy recommended Richard Nelson be appointed for a one year term, Bill Goodman for a
two year term, John Hinchey for a three year term, and Janet Clark and Mark Pirrie for four year
terms.
Leistiko moved the Council accept the Mayor's recommendation. The motion was seconded.
Hafferman said this board has been very controversial and just reappointing the same people after
adopting an ordinance making everything legal, doesn't seem to be the proper method to use. He
said the board needs new blood and the Council should appoint at least two or three new members.
The motion carried upon vote with Hafferman and Peters voting against.
MAYORICOUNCILICITY MANAGER'S REPORTS
Mayor Kennedy said Olson has requested a work session on subdivisions and parks and asked that
when it's scheduled, the City also notify the Student Advisory Council.
Olson also requested a work session on density issues.
At the request of Leistiko and in response to the bid award for sidewalk and curbing construction,
Kukulski explained the 50-50 sidewalk program.
Peters commented he doesn't agree with the way board appointments are made. He said he doesn't
have any problem with the Parking Commission members; however, he doesn't feel comfortable
discussing specific people and the tone of different commissions at a Council meeting and asked that
the issue be discussed in the future.
Kukulski said despite recent rumors, virtually no parking spots were lost to Streetscape.
Kukulski informed the Council that when this many agenda items are necessary, second readings of
ordinances can be placed on the consent agenda and he would like the Council to consider that in the
future.
Kukulski announced he will be attending an economic development summit in Billings next week
along with a few representatives from the Chamber of Commerce.
ADJOURN
The meeting was adjourned at 8:57 p.m.
Theresa White
City Clerk
Approved June 2, 2003
Kalispell City Council Minutes
May 19, 2003
Page 11
Happenings at the Kalispell City Airport
by Scott Richardson, Airport Advisory Board President
Recently, there has been some
activity at the usually un-
eventful Kalispell City Air-
port. I wanted to take some
time to provide some clarifi-
cation and answer some ques-
tions that may exist about
what, when and how much as
they relate to the Kalispell
City Airport. First, let me
disseminate some history...
In 1928, the Kalispell City
Airport became the first air-
port to serve the Kalispell
area. It originally consisted
of a grass landing strip. In
1966, private funds provided
paving for the present con-
figuration. Private hangers
built on airport -leased land
add to the final arrangement
that continues to serve the
greater Kalispell area today.
Several years ago, the City
recognized that the airport
needed improvements to bring
it up to standards. Since that
time, pilots, the airport advi-
sory board and several gen-
erations of Kalispell City
Council have committed to
planning and implementing
the improvements to bring the
airport to a B-II status recog-
nized by the Federal Aviation
Administration (FAA). Ac-
cording to the Kalispell City
Airport Final Environmental
Assessment (EA) completed
in December 2002, B-II status
is recognized when safety stan-
dards are met allowing the ac-
commodation of all "single -
engine and small twin -engine
airplanes used for personal and
business purposes." It may also
serve some "small business and
air taxi type twin -engine air-
planes and a hand -full of the
smallest jets."
B-II status provides funding to
airports from the FAA on a
90% (FAA)(10% (Kalispell
City Airport) basis. This fund-
ing becomes available for the
improvement to the airport
once the FAA has issued a
FONSI—Finding Of No Sig-
nificant Impact. The FAA
completed the Kalispell FONSI
late last year clearing the way
for Kalispell receiving B-11
status. Funding is available to
B-11 approved airports on an
ongoing basis after the im-
provements are complete.
(This sort of funding that Gla-
cier Park International Airport
has been receiving for years
allowing them to keep pace
with changes in the aviation
industry.) A requirement of the
B-11 status is the procurement
of land to ensure the airport has
the ability to expand at a future
date if necessary. The present
plan is to modestly increase the
current 3,600 feet of runway to
31700 feet, widen the runway
from 50 feet to 75 feet, move
the runway south by 600 feet,
realign it by 5.6 degrees clock-
wise, fence the entire airport for
security purposes, upgrade the
lighting system, and increase
storage and parking facilities.
These changes will increase
safety, and expand airport
availability without expanding
the type of aircraft landing at
the airport.
The EA discussed several other
alternatives, as well as in a Site
Selection Study in July 2001,
which included two alternatives
at the present site; one site one
mile south of the existing air-
port; and, two other sites 5 miles east of
the present location. In addition, consid-
eration of a "No action" alternative and
an elimination of the present
Kalispell City Airport pro-
vided less feasible alterna-
tives. After consideration of
aviation, economic and user '�
inputs, supports the recon-
figuration of the airport as /
detailed above.
The reconfiguration cost
estimate is about $6.9 million. Of that
amount, the City of Kalispell commit-
ment is approximately $690,000. Since
its inception, the users of the airport
have funded the airport. Leased income
derived from hangars, aviation gas tax,
user fees and commercial fees generate
the airport funds. Proceeds of this reve-
nue has allowed for insurance, mainte-
nance and upkeep of the lighting and
radio system at the airport. Revenue is
enough to accommodate the expenses.
Several years ago, the city sold airport
property on its southern borders which
created roughly $1 million from the sale.
That money is earmarked for the airport
and future airport projects.
The reconfiguration to the Kalispell City
Airport is an investment into quality
growth of our community. Flight train-
ing, fire fighting and public service ac-
tivities, convenience to resi-
dents and out of town visitors,
relief and diversion of Glacier
Park International Airport traf-
fic during times of restricted
visibility and high traffic are all
solid reasons why we need to tlo-o
invest in, not forget about, one
of the busiest general aviation
airports in the Stat of Mon-
tana —The Kalispell City Air-
port.
Last July the majority of this council voted to raise water rates $0.22/M of which $0.12 was to
finance a 25% reserve for our credit card debts and $0. 10 was to finance a new credit card debt to
run a water line to Four Corners. The bonds were not purchased so the money raised since last
August from that rate increase should already be available.
If the new meters being installed do in fact increase revenue the water fund should be in very
good shape today. However, there are projects needed in the future to take care of deficiencies in
our existing system and a rate increase MAY be necessary after in-depth facts and figures are
proven and debated in a workshop.
Each council member received a memo from me explaining my position and arguments against
using ratepayers money for running utilities to Four Comers following Hwy 93. The water portion
of that project is estimated to cost $1.2 million of a $1.9 million proposed 03/04 capital
improvement water budget. Rather than reiterating those details, I wish to have that memo with
attachments and a copy of this statement appended to the minutes of this meeting so it becomes
permanently accessible to interested persons.
In addition to statements made in the memo, I must state that this council or the city's staff does
not have the expertise or knowledge to know where development will go. Developers spend tens
or hundreds of thousands of dollars on feasibility studies to determine the profitability and the
proper location of a project based on time and site specific factors. Utilities to Four Corners by
ratepayers is pure speculation. Ratepayers are not speculators. I urge this council to hold off on
any rate increase at this time.
Last July this council voted to raise sewer rates $0. 10/M. The proposed 03/04 budget contains
$1.4n-0ion of a $1 .6 million total capitol improvements to the sewerage system for running the
sewer to Four Comers.
My arguments against raising sewer rates at this time is the same as for water rates.
In addition, there is no need to rush the raising of rates, that can be done at any time. We raised
rates last July without solid direction, and here we are again.
To: Council members andager
From: Bob Hafferman 1man
6-
Subject: Utility rate increases
Date: May 14, 2003
I want to be sure all council members are aware of why I am concerned about constructing utility
lines to Four Comers and why I believe it is not advisable to schedule a public hearing for rate
increases at this time. Also attached, for those who may not have seen it, is a letter I wrote to Editor
which generally explains my position.
First, the Facilities Plan is an important planning document. It is a master plan that, if used properly,
helps guide planners, developers and administrators to meet the needs of growth as growth occurs.
It also calls attention to deficiency in the existing systems; also,using the best available data, tries to
predict needs in the future (in this case to 2020) and envisions a graphic plan to meet those needs.
Bear in mind that the graphic plan (picture) does not necessarily show details of how to get from
point A to point B as that can only be determined by a site and time specific analysis.
Second, the Rate Study is a guide document to determine if current rates are adequate to fund
elimination of deficiencies and operate, repair and replace our existing system. The rate study being
completed also includes financing of a predetermined growth. It is for this reason that this council
should insist, before any determinations are made on a rate increase, that the study include what
percentage of the proposed rate is O&M costs and what percentage is new, predetermined growth.
Included in the rate study was funding for predetermined utility lines to Four Corners. This study
assumed that our existing rate payers would finance the extension of these utilities. Under our existing
rules and regulation and under allowable financing by private utilities this is not allowable. (Enterprise
ul
accounts are intended to mirror private enterprises as they are not considered a necessity exclusive
to the city operation). I call to your attention Item 13, Implementation Strategy of the recently
adopted Growth Policy, sections 7a that requires developers to install infrastructure needed to serve
their development. Ratepayers are not developers.
In studying the Public Works Department outline ofprojects presented at the February 20 Workshop,
there appears other predetermined growth projects in the next 5 years that should be developer, not
ratepayer, financed. The question must also be asked - can some of the necessary ratepayer projects
be developed over a longer period of time? Without details, what is anticipated in the next 5 years?
Attached is a clipped article from the Daily Inter Lake oy Jim Robischon that succinctly states how
utilities operate. I did not personally know Mr. Robischon prior to his letter. He, now retired, was
the legal consul for the Montana Public Service Commission for many years and was associated with
utility companies throughout Montana. His knowledge should be valuable to this council.
In-depth planning is the responsibility of the staff. It is the responsibility of this council to balance
thefine-linebetween recommendations of the staff and concern about our citizens cost -of -living
More to the story of
city water rate hikes
j3, b3 Letters to the editor
Your article in Thursday's Valley sec-
tion did a good job in trying to explain
the City Council's dilemma with regard
to,raising rates for water, sewer and
storm drainage. But the city residents
need to know the full story. Your article
noted the $1.8 million to extend water
and sewer lines along U.S. 93 to Four
Corners.
Fast, that project is contrary to exist-
ing regulations that have existed for
over-20 years -which requires develop-
ers to install all infrastructure needed
to serve their development: Even the
recently adopted Growth Policy reiter-
ates this requirement. User rates are to
pay to maintain, repair and replace
infrastructure, not.to build to serve
new development.
Second, there is no urgent need to
install the water and sewer in the high-
way right-of-way. In fact, it would be
better not to have these utilities in the
right-of-way sing future needs for
repair and service connections would
be safer if,they�were not within a heavi-
ly traveled area. The utilities to Four
Corners can be installed by developers
as the city grows by placing them in an
easement along the rear of the proper-
ties on the west side of U.S. 93 and along
Willow Glen. There are also other ways
to reach Four Corners without follow-
ing U.S. 9$.
. Third, the article intimated that the
existing utility customers will be reim-
bursed for their "investment" and that
connection fees for new customers
along the new lines will be higher. The
city can only charge connection fees
approved by the council and that fee is
based on all new customers paying the
approved rate for their.type.of service.
There is also.. a "Developers Extension
Agreement,'�tinstituted in 1982, Which..
allows dey_ lopers to recapture part of
their ,investment by allowing:"latecom-
ers':' to hook onto a new line if they
reimburse the developer for their fair
share. This also prevents freeloaders
from waiting for someone else to install
a line. But the developer never; to my
knowledge, fully recovers ;the total cost
of installing the lines.
This $1.8 million should not be spent
using ratepayer's money as an "invest-
ment"; that's speculation. Homeowners,
renters and business people need to pay
attention. It's your money. -Robert
Hafferman, Kalispell
Water rate
P
ra alrls
-unreaspnable
By jIM ROBJS66O
The. Daily. Inter Lake recently pub-
lished a story,, by William Spence, in
which Kalispell City. Manager Kukuls-
ki and ,Public: Works Director Hansz
defended the proposed 39. percent
increas0nlalispell's sewer, water
and,stopin-water rates. According to
this story, the Kalispell City Council
"..seemed to feel the recommended
rate increases are appropriate and
reasonable.. "
Guest While that may be
the prro on
Opinion
increase that is relat-
ed to the `hew fiiran-
cial "ofthe� ater:.depwtnent,
its";r witH'th�at po'rt3on oftlie '
prcTrate '
for the extension of the water and `
waste/storm water facilities beyond
the Kalispell city.limits along the U.S.
93 South corridor.
Such a rate increase us neither
"appropriate". nor "reasonable.,,
In order to qualify as an "appropri-
ate" rate increase, the increased rate
revenue must by applied to the acqui-
sition of utility facilities that are nec-
essary, used or. useful in the current
operation;of the utility.serv'ce. The
extension of facilities -outside the cur
rent Kalispell,water system is none of
those. The current customers of the
Kalispell water department will get
along, just fine, without the addition
of the extension
In order to qualify as a."reasonable
rate increase; the increased rate rev-
enue must be justified by fhe direct
cost of service to the customers who
will bear the burden of the rate
increase. The expenditure of $1.8 mil-
hon for -the extension -of facilities out-
side the current Kalispell water Sys-
tem is completely unrelated to the
actual cost of serving the existing
Kalispell water department cus-
tomers.
In charging the current customers
an additional $1.8 mullion for the
extension of facilities, the city of
Kalispell will be unreasonably over-
, charging its water customers; based
on the actual cost of serving those cus-
tomers.
-As originally discussers, the pro-
posed extension of facilities was to be
funded by the sale. of city -owned prop-
erty at the south end of town. Appar-
ently these funds have been or will be
diverted to another municipal pur-
pose or are no longer available. In any
event it isn't up to the hard-pressed
city water utility customers to pick up
the tab for the failure of that "funding
mechanism."
Contrary to what, apparently, the
majority of the Kalispell City Council
believes, the $1.8 million water -rate
increase to fund the extension of facil-
ities outside the Kalispell water
department service area, along the
U.S. ' 93 South corridor, is neither
"appropriate" nor "reasonable."
Unless it is shown that such an exten-
sion of facilities is required to secure
the safety and reliability of the exist-
ing city water system, the current city
water rate payers should not be
required to pay for it. ':) ..
>Kalispell water customers should
contact their City Council representa-
tives and the mayor and voice their
objections to the proposed increase. It
is imperative that you make such a
contact soon. The city management
would like to have the rate increase
approved by July 1. .
Just in time for the sprinkling sea-
son.
Robischon is a resident of Kalispell.
;a
Y '