10/20/80 City Council Minutes12
THE REGULAR MEETING OF THE KALISPELL CITY COUNCIL WAS HELD AT 7:30 P.M. MONDAY,
OCTOBER 20, 1980, IN THE COUNCIL CHAMBERS AT CITY HALL. MAYOR HAPP PRESIDED. ALL
COUNCILMEN WERE PRESENT.
APPROVE MINUTES
Councilman Grainger stated there should be a correction in the Minutes of October 6th.
The bids for the garbage truck should read "referred to the Street & Alley Committee,
rather than "referred to the Safety Committee". Councilman Grainger moved that the
Minutes of October 6th be approved as corrected. Seconded by Councilman O'Boyle.
Motion carried.
CITY OFFICIALS REPORTS
Fire Department for third quarter of 1980.
City Treasurer for August, 1980.
Police Chief, City Judge and Building Officials for September, 1980.
Councilman Daley moved that City Official reports be accepted. Seconded by Councilman
Saverud: Motiori>>=awed.
ADDRESSING THE COUNCIL
PROPOSED SIGN ORDINANCE
Gordon Pirrie addressed the Council on behalf of the Sign Committee from the Chamber
of Commerce. Mr. Pirrie asked that the Sign Ordinance remain the same with the ex-
ception of the additions and corrections made by City Attorney Donahue and be referred
to the Zoning Commission for review.
Councilman Smith moved that the proposed sign ordinance, with corrections by City
Attorney Donahue, be referred to the Zoning Commission for review and a copy also be
sent to the Planning Staff of the CCPB to be put on agenda at a later date, with a
recommendation to come back to the City Council. Seconded by Councilman Zauner.
Motion carried.
REQUEST TO ABANDON A PORTION OF ALLEY
Mr. Bob Erickson, representing Nat Boyd, who is ill, addressed the Council with a
request to abandon a portion of an alley located one-half block off North Main at
First Avenue W.N. and West Washington behind the Forest Service Building. The pur-
pose is to build an addition to the Forest Service Building. Mr. Boyd has obtained
an area corner -wise from the building, which will add 46 parking spaces for the build- '
ing.
Councilman O'Boyle asked about leaving room for the garbage truck to turn, and this
was agreeable. Mayor Happ referred the request to the Street $ Alley Committee,
which will meet at 3:30 P.M. on Thursday, October 23rd.
ALTERNATIVES ENERGY RESOURCES ORGANIZATION (AFRO)
Amy Lester, representing AFRO, addressed the Council concerning the purpose of the
organization. She explained that AERO is a private, non-profit organization, working
in 11 counties of Montana. Their purpose is to find what is spent on utilities, places
where utilities can be cut, look at renewable sources, such as solar use, and try to
better local economy through these savings. They work with local organizations, schools,
and youth groups. They try to coordinate public transportation with cities and counties.
Miss Lester asked support from the City Council in two manners. She asked for a member
of the Council to be associated with the Advisory Board, which is made up of representa-
tives from the County, utilities, business people and residential persons. Secondly,
she asked for monetary support, or surplus office furniture. Flathead County has given
her a room at Courthouse East, but she has no furnishings. She needs some cash for
telephone, etc.
Mayor Happ responded to the request by telling Miss Lester that the City is presently
working on an energy saving program and she should contact Director of Public Works
Hafferman to share information, funding, grants, etc. We are in the middle of our
budget year and, of course, have not budgeted cash for her request.
PUBLIC HEARING - S.I.D. #329 and #330.
Mayor Hhpp opened with the statement that this public hearing is strictly to hear the
first reading of two ordinances to adopt a formula for two parking S.I.D.'s, and does
not concern setting a boundary for the district. The boundary will be set at the
regular Council meeting of November 3rd.
Larry Lee, Chairman of the Parking Commission, explained the formula for the S.I.D.
assessments. The proposed formula is as follows:
Proposed:
20% Land
20% Distance
50% Required Parking
10% Assessed Valuation
Mr. Lee explained that at at all the public hearings, the general consensus of opinion
was that those that need parking should pay, thus 50% of the assessment was based on
required parking.
Ed Trippet, businessman, stated that he had purchased his own parking lot of 70 spaces
and he objected to paying for others to have parking. He asked if the City property
was exempt from the assessment. Mr. Trippet was told that if the City donates the North
50' of Block 64 (City Hall), they will be exempt. If they do not donate, they will be
charged. Discussion followed with Mr. Trippet, concerning his purchase of land from Mr.
Ed Hines that was originally one of the proposed parking sites.
Joan Young, representing Young's Body Shop, asked how the determination was made for
requirement of parking. She was told that it came from the City Zoning Ordinance.
Fred Fry, representing Kalispell Bar, stated that he was complimented by the number of
parking spaces required, but did not think it to be a true picture. He stated that his
business is best at night, but there is plenty of parking then. He felt there should
be a distinction between day and night requirement for parking
Larry Blanton, Pastime Bar, stated that he does not have a parking problem. He added
that it is ridiculous to state that his requirement for parking is 57 and J. C. Penney
Store requires 30. He stated that his bar and others are lucky to break even in the
daytime. Bars are being assessed double. He stated that he lived in an older apart-
ment above his business, arranges for his own parking and drives an old car. He stated
he felt unable to pay the assessment assigned to his property.
Mr. Fry stated that to sum things up, most of the businessmen in his block were in dis-
agreement with the parking requirement, but he still supports the efforts of the Parking
Commission.
Doug Rauthe, businessman in the 400 block of First Avenue East, stated that when he
signed the petition to form the S.I.D., he was informed that part of the money would
be spent to purchase a parking lot across the street from his business. Now it has been
purchased by someone else. He stated that he was withdrawing his name from the petition
and protesting the S.I.D. because he did not feel like paying for a parking lot or lots
several blocks from his business. He stated that he felt the east side of his block
would withdraw 100%.
Jack Hensley, Valley Bank, stated that he would like the ordinance changed to read
"any lot or parcel or portion thereof", rather than "any lot or parcel". Some buildings
run north and south and this would cover them.
The owner of The Hideout protested his parking requirement. Again, this is a night
business with plenty of street parking available.
Jerry O'Neil, businessman, asked the Parking Commission to find some way to base demand
on "night or day business" and "distance from lot".
Ruth Gardner, Kalispell Hotel, stated that she would like to have been consulted about
needing 60 parking spaces. She stated that she is always full (most of her rooms are
apartments), her tenants find their own parking space and she has not heard of any
problems.
Donna Moore, Devonshire Motel, provides her own parking and objected to paying for park-
ing lots for other businesses. No one would park two blocks away from a motel.
Colin Wills, new member of the Parking Commission, stated that he would like to see the
S.I.D. supported, but did not like expense placed on any business which would be a burden.
Gordon Pirrie, Western Outdoors, would like to see the S.I.D. go whether the formula is
equitable or not. He would hope people would not be so negative.
Mayor Happ commended the Parking Commission for their long, hard hours of work. She said
she remembers Doug Rauthe and Larry Lee marching into her office with their problems.
They have had many meetings since that day.
Larry Lee said they had gone slow on this project because an S.I.D. is cut and dried
once it is formed. If property changes hands or a business changes, the S.I.D.charges
remain the same.
126 Ed Trippet asked, "How do we get out of it?" City Attorney Donahue replied that if
50% of the area is: protested it falls,
Ed Gallagher, Director of Kalispell Redevelopment, supported the Parking Commission in
their endeavor. He stated that at many of the meetings, there was a very good attendance.
Cletus Dailey, professional planner, helped with the formula. Other cities with similar
projects were used for comparison. J. Austin Miller, C.P.A., looked at and assisted with
the formula. There was no secret on the boundary. It was discussed at every meeting.
Councilman Saverud stated that our concern is coming up with an equitable formula. He felt
there is not as much inequity in distance as parking demands.
ORDINANCE #965
Councilman Saverud moved the first reading of Ordinance #965, an ordinance to adopt a
formula to be used in determining the assessment of lots within Special Improvement
District #329. Seconded by Councilman Smith.
Councilman Ruiz stated that he wanted it to be understood that he will never donate
the area north and adjacent to City Hall to the Parking Commission. The title should
always be in the City of Kalispell; otherwise, we can never expand. Mr. Lee replied that
if the City does not donate the land, they will be included in the S.I.D. assessment. The
parking garage could be built with office space available.
Councilman Ruiz stated that he supported the KDC and had no real conflict with this area,
Ward 1, however, leis not convinced we have a parking problem.
Question called. Roll call vote. Councilman Ruiz voted nay. All other councilmen voted
aye. First reading of Ordinance #965 passed.
ORDINANCE #966
Councilman Saverud moved first reading of Ordinance #966, an ordinance to adopt a formula
to be used in determining the assessment of lots within Special Improvement District #330.
Seconded by Councilman Zauner. Roll call vote. Councilmen Ruiz and Grainger voted nay.
All other councilmenvoted aye. First reading of Ordinance #966 passed. Second reading
of both ordinances will be November''3, 1980.
COMMITTEE REPORTS
FINANCE
Councilman Ruiz had no report.
ANNEXATION
Councilman Smith had no report.
EMPLOYMENT
Councilman Zauner had no report.
PARKS
1
Councilman Daley stated that he has received the summer activities from Park Superintendent
Drent as follows:' In 1979 Woodland Park had 8,945 persons involved in activities, com-
pared to 13,065 for 1980. In 1979 a total of 11,558 persons made use of the swimming
pool, with 395 taking lessons while 1980 shows 12,240 swimmers and 915 taking advantage
of the lesson program.
Councilman Daley reported that the grant application to the Bureau of Recreation for
funds to help with purchase and improvement of the Conrad Park Land has been signed by
Mayor Happ and forwarded to Helena. Councilman Daley commended those who helped with
the preparation of the grant application. ,
STREET $ ALLEY
Councilman O'Boyle moved that the Council accept the recommendation of Public Works
Director Hafferman to award the alternate bid in the amount of $':g2;451 for a,garbag_e
truck to Manions. Seconded by Councilman Daley. Motion carried.
The Street $ Alley, Safety, and Finance Committees will hold a joint meeting starting
at 3:30 P.M. Thursday, Octover 23rd. One item for discussion is a request for a stop
sign at Sherry Lane $ Hilltop Drive. Councilman O'Boyle asked the Council to look at
the area before the committee meeting.
CITY DEVELOPMENT
OPEN BIDS - HUD Audit -Proposals
1
1
Gary W. Nystu[
CERTIFIED PUBLIC ACCOUNTANT
P. O. BOX 366
KALISPELL, MONTANA 59901
406-257J997
October 20, 1980
City of Kalispell
City Development Committee
City Clerk
Kalispell, MT 59901
C( tlemen:
This audit engagement proposal is submitted in response to your advertised
call for audit proposals.
I will conduct an audit of the City of Kalispell Community Development
Block Grant funded by the U.S. Department of Housing and Urban Development for
the program period from November 15, 1978 to November 30, 1980. The audit will
be conducted in accordance with HUD Handbook IG 6505.2 entitled "Audit Guide
and Standards for Community Development Block Grant Recipients, May 1976". The
audit will be performed in accordance with the auditing standards adopted by
the American Institute of Certified Public Accountants and those of the Comp-
troller General of the United States through the General Accounting Office.
The following additional information is provided. I am a certified public
accountant licensed under the laws of the State of e;ontana. I have not had
any relationship deemed as creating a conflict of interest with the grantee
during the period covered by the audit.
The workpapers will be retained for a period of three years after issuance
of the audit report for any review by HUD or the General Accounting Office.
The audit report will be completed by March 1, 1981.
This engagement is subject to the inherent risk that material errors, ir-
regularities, or illegal acts, including fraud or defalcations, if they exist,
will not be detected. However, I will immediately contact the appropriate HUD
Area Director and simultaneously the congnizant Regional Inspector General for
Audit, if any are discovered.
For the above wo.rk, my fee will be $1,800.00.
I am pleased to have this opportunity to submit this proposal.
If this proposal meets with your approval, you may sign one copy and return
it to me.
Yours truly,
Accepted by
Date
128
SUBMISSION OF BID
Larry L. Rasmussen CPA and Ronald B. Mahugh CPA hereby submit
a bid to do an audit of the books and records of the Community Devel-
opment Department of the City of Kalispell for the two year period
starting November 1, 1978 through October 31, 1980 in accordance
with HUD audit guidelines as specified in HUD Publication
I G 6505.2 including changes #1 dated 5/12/77 and #2 dated 7/77.
The amount to be charged for this audit will be twenty five dollars
per hour for professional services and twelve dollars per hour for
clerical assistance. The total amount to be paid for this audit will
not exceed $4500.
Additional work beyond the scope of the audit, if any, will be
for the hourly rates above, with approval in writing, before work is
commenced..
Larry. Rasmussen CPA Ronald B. Mahrgh CPA
1
1
HENRY O: JOROAHL
EVERIT A. SLITER
LARY P. JOHNSON
LARRY R. SIMPSON
CALVIN R. NEWELL
DAN L. ULVILA
WILLIAM A. BRAUNBERGER
JORDAHL & SLITER
'�xl+�rrl.�illc .��nr�aG aLt
SUNSET PLAZA
P. O. BOX 817
KALISPELL, MONTANA 39901
237-4354
October 16, 1980
Mr. Ed Gallagher
City of Kalispell Community Development
Whipps Building, Suite 9
12 Third Street East
Kalispell, Montana 59901
Dear Sir:
MEMBERS AMERICAN
INSTITUTE OF
CERTIFIED PUBLIC ACCOUNTANTS
In accordance with your request for a proposal to perform an audit of the
City of Kalispell Community Development Department, we submit the following
.aformation:
We are "Independent Public Accountants" as defined in Chapter 2, Section 6
of the Department of Housing and Urban Development "Audit Guide and Standards
for Community Development Block Grant Recipients", and certified public account-
ants by a regulatory authority of the State of Montana.
1. We will comply with the guidelines and standards in the Department
of Housing and Urban Development "Audit Guide and Standards for
Community Development Block Grant Recipients", dated May 1976. The
audit work will be performed in accordance with the auditing standards
adopted by the American Institute of Certified Public Accountants
and those additional standards set forth by the Comptroller General
of the United States, through the General Accounting Office (GAO),
in the publication entitled "Standards for Audit of Governmental
Organizations, Programs, Activities and Functions".
2. Classification of Accountants:
a. Manager; $33.00 per hour.
b. Partner; $45.00 per hour.
3. We estimate that 8-1/2 man -days will be required to perform the
audit.
4. We estimate the out-of-pocket costs to be nil.
5. The estimated maximum fee based on conditions present at the time
of the job survey, and out-of-pocket costs to be charged for the
audit will not exceed $1,950.00. This assumes that the audit field
work can begin within 30 days after November 15, 1980.
111130
JppORDAHL &SLITER
. �.-l�aK`r� Jl �i�ic .SKcenunlaeef.4
Mr. Ed Gallagher
Page 2
6. The two year period ends approximately November 15, 1980. We
estimate that the audit will begin on or about December 1, 1980
assuming all supporting schedules and books have been prepared
and closed. Our report will be delivered within 90 days from the
beginning of our audit work. If during the course of our examination
it becomes apparent that we will not meet the deadline, you will
be promptly notified.
7. We agree that all the working papers prepared in connection with
this audit shall be retained for a period of three years after
issuance of the audit report and that these working papers will be
made available for review, if requested, by duly authorized repre-
resentatives of HUD and/or GAO.
8. If we discover evidence of possible fraud, defalcations or other
similar :i.rregularities, we shall promptly notify the appropriate HUD
area director and simultaneously the cognizant RIGA.
9. We agree that all written communications by us to you regarding
material weaknesses in internal accounting control will be included
in the report furnished to HUD under "Comments on Compliance and
Internal Control".
10. By acceptance of this proposal, you are authorizing us to comply
with Sections 7, 8 and 9 of this letter.
Respectfully submitted,
If the terms of this engagement, as set forth in this letter are acceptable
to you, you may so indicate by signing in the appropriate place designated
below.
Accepted:
Name and Title
Date
Councilman Saverud moved the bids be referred to the City Development Committee with
power to act. Seconded by Councilman O'Boyle. Motion carried.
SEWER $ WATER
Councilman Granmo had no report.
SAFETY
Councilman Grainger had no report.
MISCELLANEOUS
There will be a planning meeting on South Main Street reconstruction at the Highway Office
at 9:00 A.M. on October 23rd.
There will be prereconstruction meeting on the sewer cleaning project at 8:30 A.M. on
October 21st, Tuesday, in the Cbnference Room.
There will be a candidate's meeting at 7:00 P.M. Tuesday, October 21st with City offi-
cials to discuss proposed legislation from the League of Cities $ Towns.
Councilman Smith reported the Flathead Regional Development.Office will have a meeting
on October 28th to review subdivision regulations with the City County Planning Board
here in the Council Chambers. Councilman Smith urged the Council members, City Attorney
Donahue and Director of Public Works Hafferman to attend so that she does not have to hold
an Annexation meeting and repeat the entire procedure. Meeting will be at 7:30 P.M.
Councilman Grainger moved to adjourn. Seconded by Councilman Granmo. Motion carried.
Minutes approved as presented November,3, 1980
Norma E. Happ, NWy6r
arjorie Giermann, City Clerk