02-27-17 City Council Work Session MinutesKALISPELL CITY COUNCIL WORK SESSION MINUTES
FEBRUARY 27, 2017
View the minutes attached to the audio of the meeting at:
hqp:Hkalispell.com/mayor—and—ciiy—council/Streaming-AV.php
A WORK SESSION OF THE KALISPELL CITY COUNCIL WAS HELD ON MONDAY,
FEBRUARY 27, 2017, IN THE COUNCIL CHAMBERS AT CITY HALL IN KALISPELL,
MONTANA. MAYOR MARK JOHNSON PRESIDED. COUNCIL MEMBERS JIM ATKINSON,
SANDY CARLSON, KARI GABRIEL, CHAD GRAHAM, PHIL GUIFFRIDA, TIM KLUESNER,
AND ROD KUNTZ WERE PRESENT. COUNCILOR WAYNE SAVERUD WAS ABSENT.
Also present: City Manager Doug Russell, City Attorney Charles Harball, Finance Director Rick Wills,
and Parks Director Chad Fincher.
Mayor Johnson called the work session to order.
DISCUSSION ITEMS
1. Consideration of a Dog Park located in Beg2 Park
Russell gave a short staff report on the issue and turned the discussion over to Fincher.
Fincher discussed the community meeting and supplied answers to questions previously asked by council.
There was discussion and staff answered additional questions.
Guiffrida remarked that he had major concerns about using Tax Increment Financing (TIF) funding for
this project. He suggested it be funded in the next budget cycle instead and that staff investigate other
funding mechanisms.
Public Comment
Jeff Zauner, 37 Glacier Commons, spoke in opposition to the dog park, stating he is a committee member
of the Urban Renewal Agency and they could not come to a recommendation because of the location and
funding issues. He said the location must be labeled "blighted" to qualify for TIF funds and noted this
project does not meet the requirements for tax increment financing.
Allison Paulson, 1827 Bluestone Drive, thanked the parks director for holding the previous open house
and presented a letter for the record.
There was further discussion.
Council consensus was to have staff look at alternative financing options instead of using TIF funds and
report the findings.
2. Kalispell Downtown Business Improvement District
Russell presented background on the issue and the discussions held thus far.
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February 27, 2017
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Staff and representatives from the BID answered questions.
There was discussion.
Council listed their various concerns and discussion was held regarding the fact that Kalispell Center Mall
is not included in the district.
Public Comment
Ron Trippet remarked he is a former Main Street business owner and that he is not in favor of the BID.
Joe Unterreiner, Chamber of Commerce, spoke in favor of the BID, saying it has been beneficial for
downtown and provides good promotion for upcoming projects.
Jennifer Young, President and Chair of Downtown Business Association, read a letter in favor of the BID,
remarking that positive momentum would stop if the BID is not approved.
Dick Morenweiser, 322 2nd Avenue West, spoke in opposition to the BID and thanked council for
looking into the questions that have arisen.
Vonnie Day, 121 Main Street, listed the benefits they have seen from the BID over the past few years,
including the flowers, festivals and shows, etc. She noted that maintenance in the downtown area is not
covered by the city and the BID takes care of it.
John Fetveit, Chairman of Kalispell Downtown Association, noted the benefit of the BID is long term
property value increases for property owners; everyone is interconnected so when one property does well
they all do. He said the BID has given him a higher market value assessment and it helps all commercial
properties downtown.
Marshall Noice, 127 Main Street, noted that good things are happening downtown, and there is lots of
vitality. He said the BID is an important tool and the board has done what they needed to do to establish
the BID.
Shauna Steele, DeSoto Grille, noted they are in the proposed BID expanded boundaries and it would be a
bonus for them.
Karlene Osorio-Kohr, property owner on Main St, said she can't support a program that hurts veterans
and the VFW will have to cut programs if the BID is established. She remarked that there should not be a
rush to set up the BID and the city should take the time to get it right.
Jayson Peters, Sykes, 202 2nd Avenue West, noted the BID is a good tool, but it just works for Main
Street; 2nd Avenue is not considered downtown. He commented that Sykes was opted in at a
disproportionate rate and the cost is not proportionate to the benefits received.
Jay Billmeyer, US Post Office, commented that no one from the BID has tried to contact him and he does
not see any benefit to the expansion.
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Karen Sanderson, Brix Bottle Shop, 115 Main Street, remarked the BID gave her the confidence to move
her shop to Main Street and she is eager to become a Board Member.
Pam Carbonari, Kalispell Downtown Association and Business Improvement District, noted the Board
wants total transparency and wants to work with the city regarding everything they do. She read a letter
from the BID Board.
Tim Price, Flathead Health & Fitness, BID Board Member, noted it comes down to whether the council
wants the BID or not and addressed some of the issues that have been brought forth.
There was further discussion.
Mayor Johnson remarked that council has to make sure this is done right and the process is correct
according to state law. He suggested holding a public hearing on this budget alone instead of combining it
with all of the other budgets, and moving from a fixed assessment to a yearly variable assessment in the
BID budget.
Harball noted the assessment method stays the same, but the formula can change, and changing that
process would be up to council.
Guiffrida remarked there is a good faith aspect here and he is concerned about moving from fixed to
variable assessments.
Gabriel suggested renewing the BID now and studying changes to it at a later date. She said it would be
foolish to let it lapse right now.
Council consensus was that staff research the questions asked and hold another work session.
CITY MANAGER/COUNCIL/MAYOR REPORTS
Russell noted that March 13 is the next work session and he will try to schedule the BID on that date.
Atkinson informed council that Councilor Saverud is recovering in Seattle after successful heart surgery.
Mayor Johnson gave a 911 Committee update.
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The work session was adjourned at 10:51 pm.
Prepared by:
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February 27, 2017
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