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02/11/74 SP City Council MinutesSPECIAL MEETING Il`1 16761`0* 06 40,11 4 kalaped C "IN THE HEART OF THE NATION'S PLAYGROUN- KALISPELL, MONTANA 59901 TO THE HONORABLE BOARD OF COUNCILMEN CITY OF KALISPELL, MONTANA Gentlemen: Miere will be a Special Meeting of the City Council, Monday, February 11, 1974, at 12 o'clock noon, at the Elks Club for the following purpose: Consideration of the Conrad Mansion Memorial Agreement t',e undersigned, being all of the members of the City Council, do hereby wajv,� ..-.:ico of the date and purpose of the Special Meeting of the City Council to '--� ;.,Id A y 1'7'�� 12 o'clock noon, at the Elks Club, and conser..: co transY' �=-noq-�th!';b. and other business that may properly come before the C ci 0 Albert A. Mron John C. Schwartz ---------- Everit A. Sliter Harold L. Sampson Forrest W. Daley Paul E. Knapp,;' Norbert F. Donahue Norma E. .}Tapp 1. rranx a. inomas Mayor Bjorneby called the meeting to order at 1:05 P.M. following a slide presentation and narrative by Mr. Sam Bibler, showing Kalispell at the time the Conrad Mansion was built; showing members of the Conrad family; pictures of the mansion exterior and interior; surroundings at various periods of history and relating the significance to the area of the family and the mansion. Following Mayor Bjornebys opening remarks, Mr. Chris Vick asked that he be per- mitted to read the following prepared statement: "It would seem proper at this time for me to set the stage for our meeting today, by capsulizing the history of our talks with the City and the progress of those negotiations. From the day my grandmother undertook to give the mansion to the City, up to the present, she has done so in a spirit of generosity and philanthropy. If anyone here suspects that she will receive any gain in terms of tax advantage or otherwise, by giving the house, they are sadly mistaken. In any positive action taken by the City concerning the mansion, my grandmother's only gain will be in knowing that an important historic house will be preserved. We have proposed to give the City of Kalispell a property, conservatively worth $100,000.00 in exchange for which we have made several provisions and restrictions in it's use. These restrictions and provisions we have made abundantly clear to the City, since we first proposed the gift and if you will review the minutes of the first board meeting of the mansion, dated October 18 1973, you will note the broad concepts of the latest agreement, if anything, indicate much compromise on the behalf of the family in terms of modifying significantly our approach concern- ing the apartment, the strength of Kalispell's membership on the board, and indeed the family's strength on the board. We made these concessions for two reasons: 1. Because we felt a need to cooperate with and consult the city council so as to make a document that was both true to the principals inherent In the gift, and; 2. Because we wished the City to have a realistic relationship to the board. ' We have met numerous times with members of the council, both in committee and singly, as well as the city attorney,in the pursuit of a mutually palatable agree- ment. It is our firm and resolute opinion that we have in this latest agreement proposal done just that. We have always been amiable to speculate on wordings and are not opposed to changes now, as long as the concepts involved are not altered. However, we have gone as far as we intend to go and will not conceed any more than we have. This is especially true concerning two areas, those being the apartment, and our retention of ownership in all furnishings and personal property on the grounds. We feel that in the first case, considering the age and health of those who will be granted its use and the utility of the apartment to the museum after the lapse of our interest, it is small recompense, indeed, for my grandmother in consideration of the gift. Touching on our retention of the furnishings within the house - we have always made it abundantly clear to the city council that we would retain those rights for the present. However, we did see that we were harnessing the City in an agreement that they potentially could not perform, so we included a clause, under section four, that would release the City from those obligations, should we not make that furniture, that is necessary to the restoration of the building, available. This Is our position and has been from the start, as I am sure your own council minutes will reveal. We will not be bullied into any other arrangement. In short, we have offered the City our best efforts in arranging to give what we Intended to give for the purposes the gift was given. We have done no less and at this time we will do no more. I suggest, that at this time, the City examine whether they wish the gift to be given to the people of Kalispell or not, on the strengths of our proposal and act accordingly. Moreover, for the sake of expedit- ing a resolution of the question at hand, we would request that the City help us make any last minube changes, so that the issue can be resolved by the first council meeting in March, at the latest. On a personal note, our family arrived in Kalispell yesterday afternoon to find that there had been printed in the Interlake an article presumably released by the president of the council, that did all but imply that we were engaged in dishonest activity concerning the disposal of the Pierce Arrow. We have never discussed to my knowledge, the disposition of the Pierce with the city council. However, it was Initially our wish that the Pierce be part of the donation. Certain legal quest -ions, combined with our deciding that the car was out of the time period desirable -for the museum (it not having been built until 5 years after the mansion was closed for all Intents and purposes) prompted our decision. It is apparent to all of us that the City has been dealing with us as if we were trying to unload a white elephant on them Instead of being considerate of our privacy. The implications of the statement in the Interlake was not nearly so angering as the disclosure to the press, of a near quote from an earlier proposal than this last one, which is in violation of the families request that such initial proposals would remain private. We have been dealt with sharply and would request an explanation why the council deems it necessary to attack us in the press as if we were charlatans." Mr. Vick informed Mayor Bjorneby and council members that questions concerning the agreement should be directed to Mr. O'Brien, attorney representing the family. Councilman Miron asked if he understood correctly that the furniture will remain under control of the family, but that the family plans to leave furniture in the mansion. Mr. O'Brien reported that it was Mrs. Campbells intention to loan the furnishings to the City on a permanent basis for display in the mansion, with the exception of Items with which, she has a very personal attachment. That she had indicated to Mr. O'Brien that her will would provide that the furnishings would be loaned.to the City on a permanent basis should anything happen to her. Councilman Daley reported that the thing that seemed to bother those that he talked to the most, was that the City has not received the deed to the mansion property. Mr. O'Brien reported that perhaps he was mainly responsible for the delay, because Mr. Hash, who had,been representing the family, became ill and that he.had had to work the.mansion and family representation in with work to which he was previously. committed. The deed will accompany the agreement as soon as the final agreement is accepted by the City. The deed will be exchanged for the agreement. Councilman Knapp stated that he did not believe the City should sign the agreement until a title search has been made and a statement by the attorney.that there is clear title to the property, Mr. O'Brien reported that a title search will be ordered immediately. Councilman Knapp brought up the question of inheritance tax and the possibility of the City being liable if these were left unpaid. Mr. O'Brien said that he could give a personal letter of assurance, stating that there are sufficient assets in the estate to cover all costs of administration that could be possibly liened, including both federal tax, state tax, inheritance tax, and various other costs of administ- ration . Councilman Thomas said the big question is the use of taxpayer money and where to get the money to restore the mansion. The taxpayer has the right to know how their money is being spent. The museum board has not met with the city council to inform the council of the boards recommendation of financing and restoration of the museum. The use of taxpayer funds made it necessary to keep the public informed as to the expenditures of the City regarding the mansion, and that despite the 'family' desire to avoid publicity on these matters, the use of public funds made it necessary to keep the public informed. Councilman Thomas further related that some people (taxpayers) inquire as to why the City can spend money on the mansion when there is not sufficient money to repair the streets -. can spend money on the mansion and not have money available to help the Teen Center - and other similar questions. Councilman Thomas reported that he was In favor of the museum, but that the financing of the project was still of major concern. Councilman Schwartz raised questions regarding: permanent loan - what does this mean? Insurance on furnishings - some question as to whether the City could insure the furnishings? what is the museum boards' definition of &'qualified curator? I Mr. O'Brien said that he was not familiar with the operation of museums, but that permanent loan is a -'jargon' commonly used in connection with loans- to museums. He said that regarding insurance, he felt that the furnishings could.be insured by the City without any legal problems and that he would check into this. If a legal problem does exist in this regard, something will be worked out. Mr. Champeau, historian and member of the board, reported that it is common for museums to take things g permanent loan and to have them insured. As to a qualified curator,.the board would have to determine the qualifications within the money which is available to.operate. Mr. Bibler, board member, reported possibilities of money for the museum project through federal and state sources, National Historic Sites, Bi-Centennial Project - do not intend financing by private contribution, however there will be a program for raising funds through the chamber of commerce for the museum project. Councilman Slater reported that it would be nice if we had a year to think about the agreement and financing, but it is necessary to make a decision now. Some money can be raised by private contribution, but not a sufficient amount and the City can consider using revenue sharing funds - a permissive levy - we do not know exactly . but need-to.comoit ourselves as to whether to see the project through or not to accept the agreement. Councilman Knapp said that he felt that a private corporation should take over the museum project - that it should not be on Kalispell or the taxpayers. Councilman Slater said that we should concern ourselves with the agreement at this time. Mayor Bjorneby said he would like to see the agreement adopted as presented. Councilman Miron saidthecouncil has no control over the furnishings, including the 1926 Pierce Arrow (being advertised for sale). Why could not other thingsgo the same way? Mr. O'Brien said that they did not feel the Pierce Arrow would constitute part of the furnishings and that they had already sold two or three other vehicles that were on the mansion grounds. Mr. Murphy, attorney and board member, reported that he is not particularly_- - concerned about the furniture, as long as there is now no reversion clause to the family. The agreement provides that the restoration will be within five years, does not stipulate -as to how it Is to be financed and leavesthis open. Whatwe need to determine now, is the agreement fair to the City? I feel in my own mind that in 5 years there will be some way.to do this and it may be necessary to have some faith that the project can be financed and carried through. If ItIsfelt - the agreement is not fair to the City, we need to make the necessary changes and - then start to go. We either have to decide to start to go or we have to decide to quit. MayorBjornebystated that the Pierce Arrow does not fit the period of the mansion and the turn of the century. Mr. ChrisVicksaid that not all of the furnishings could be used as there is not sufficient room for all of them. Councilman Happ said she felt there should be a ceiling on the amount to be spent on the apartment for the family. Councilman Schwartz said he would like to have the museum question put on ballot. Mayor Bjorneby asked for any comments from visitors present. Mrs. Larson said that she was grateful to Mrs. Campbell for giving this opportunity to the City and urged Mayor Bjorneby and council members to proceed with the museum project. _John Zauner- said he -liked the idea of the museum and -of the museum board, but that the City should not lose sight of who, why, and how this is going to be paid for and that the council has an obligation to the taxpayer. The Big Question? What is it going to cost the City? Councilman Schwartz asked if there were any projection as to the income from the property. S Mr. Bibler said that it is anticipated that the maintenance cost would be _supported by tourist fees, and referred to the Bradford Museum, located in Wyoming, as an example. It has 13,000 visitors per year and is a continuing tourist attraction, Mr. Bibler.said it is felt that there will also be limited federal money available. Councilman Thomas said the council has to decide now - is this a worthwhile project and do we feel we can meet the obligation within 5 years. Mayor Bjorneby asked for a show of hands of the councilmen who -accept the agreement In principle. Mayor Bjorneby reported 6 councilmen showed they accepted the agree. ment in principle. Mr. O'Brien reported that drawings were being prepared regarding the apartment and that cost would be determined by that. Mayor Bjorneby adjourned the meeting. Minutes approved as written, March 4, 1974. THE REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF KALISPELL, MONTANA, WAS HELD IN THE COUNCIL CHAMBERS OF CITY HALL AT 7:30 P.M., FEBRUARY 18, 1974. MAYOR BJORNEBY PRESIDED. ALL COUNCILMEN PRESENT. APPROVE MINUTES Councilman Miron moved approval of the minutes of the regular meeting of February 4, 1974 as written. Seconded by Councilman Thomas. Carried. CITY OFFICIAL REPORTS City Clerk and City Treasurer for December 1973 City Engineer, City Sanitarian, Police Chief, Police Judge for January 1974. Councilman Thomas moved acceptance of the city officials reports as presented. Seconded by Councilman Daley. Carried. ADDRESSING THE COUNCIL Mr. Sandy Schindler, representing petitioners who petitioned for the abatement of the operation of the Teen Center, reported that they were unhappy with the council action on the Teen Center. (to allow the center to continue to operate for a further period of time) Councilman Miron said that at the informal meeting the council had with the parent board and junior board and other interested parties, he had said he would make a motion to grant permission for the continued operation of the Teen Center for the rest of the school year.