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HomeMy WebLinkAbout1984-12-10 462 MINUTES OF THE MEETING OF THE CITY COMMISSION BOZEMAN, MONTANA December 10, 1984 ************************ The Commission of the City of Bozeman met in regular session in the Commission Room, Municipal Building, December 10, 1984, at 4:00 p.m. Present were Mayor Weaver, Commissioner Mathre, Commissioner Vant Hull, Commissioner Anderson, Commissioner Jordan, City Manager I Wysocki, Assistant City Manager Barrick, City Attorney Crumbaker-Smith and Clerk of the Commission Sullivan. The meeting was opened with the Pledge of Allegiance and a moment of silence. The minutes of the regular meeting of December 3, 1984, were approved as amended. None of the Commissioners requested that any of the Consent Items be removed for discussion. Open bids - SID No. 646, sanitary sewer and water mains in the North 7th Annexation This was the time and place set for the opening of the construction bids on Special Improvement District No. 646, for construction of the sanitary sewer and water mains in the North Seventh Annexation. The affidavit of publication for the "Call for Bids" was presented. It was moved by Commissioner Mathre, seconded by Commissioner Vant Hull, that the construction bids for Special Improvement District No. 646 be opened and read. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Mathre, Com- missioner Vant Hull, Commissioner Anderson, Commissioner Jordan and Mayor Weaver; those voting No, none. The following bids were then opened and read aloud. Total Bid Engineer1s Estimate $121,500.00 I Clause Excavating Huntley, Montana License No. 5625A $126,527.00 Johnston Excavati ng, I nc. Bozeman, Montana License No. 2792A $104,228.25 It was moved by Commissioner Vant Hull, seconded by Commissioner Anderson, that the bids be referred to staff for review and a recommendation to be submitted in one week. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Vant Hull, Commissioner Anderson, Commissioner Jordan, Commissioner Mathre and Mayor Weaver; those voting No, none. Water System Improvements, Pro"ect Group II-B (2 m water storage tank and This was the time and place set to award the bid on the Water System Improvements, Project Group II-B, for construction of the two million gallon water storage tank and a trunk main. City Manager Wysocki presented to the Commission a letter from Thomas, Dean and Hoskins, Inc., recommending that the bid be awarded to Na-Con Services, Inc., Plainfield, Illinois, in the corrected bid amount of $441,065.35, contingent upon receipt of certifications that the surety company is authorized to transact business in Montana and certification that the I firm meets the qualifications for experience as required in the bid documents. The City Manager also presented to the Commission a telegram received from Rockford Corporation, Anchorage, Alaska, protesting the award of the contract to any contractor not holding a current Montana Contractor's License issued in their name on or before December 3, 1984, along with a note from Director of Public Service Holmes indicating that Na-Con Services, Inc., does hold a current Montana Contractor's License issued prior to December 3, 1984. It was moved by Commissioner Anderson, seconded by Commissioner Jordan, that the bid for Group II-B of the Water System Improvements be awarded to Na-Con Services, Inc., Plainfield, 12-10-84 463 Illinois, in the corrected bid amount of $441,065.35, contingent upon receipt of certifications that the surety company is authorized to transact business in Montana and certification that the firm meets the qualifications for experience as required in the bid documents. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Anderson, Commissioner Jordan, Commissioner Mathre, Commissioner Vant Hull and Mayor Weaver; those voting No, none. I Decision - Zone Map Change - RR to R-3 and RR and MB to B-2- T - Norm Wallin and Stephanie Volz - Parcels A and B, respectively, lying in the SEt of Section 11, T2S, R5E, MPM (between West Main and West Babcock Streets, immediately east of Ponderosa Mobile Home Subdivision) This was the time and place set for the decision on the Zone Map Change requested by Norm Wallin and Stephanie Volz to change the present zoning of RR to R-3 and RR and MB to 8-2- T, for Parcels A and B, respectively, lying in the southeast quarter of Section 11, Town- ship 2 South, Range 5 East, Montana Principal Meridian. This site is more commonly known as being located between West Main and West Babcock Streets, immediately east of the Ponderosa Mobile Home Subdivision. City Manager Wysocki concurred in the Zoning Commission's recommendation that the requested Zone Map Change be approved. It was moved by Commissioner Jordan, seconded by Commissioner Mathre, that the Commission approve the Zone Map Change from RR, Rural Residential, to R-3, Residential-- Medium-density, and RR, Rural Residential, and MB, Motor Business, to B-2- T, Community Highway Business with a Transitional Overlay, requested by Norm Wallin and Stephanie Volz for Parcels A and B, respectively, lying in the southeast quarter of Section 11, Township 2 South, Range 5 East, Montana Principal Meridian. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Jordan, Commissioner Mathre, Commissioner Vant Hull, Commissioner Anderson and Mayor Weaver; those voting No, none. I Decision - Commission Resolution No. 2530 - proposed issuance of $950,000.00 IDR bond issue for Marvin R. and Judy G. Cowdrey for construction of a 32-unit apartment complex This was the time and place set for the decision on the proposed issuance of a $950,000.00 I DR bond issue for Marvin R. and Judy G. Cowdrey for the construction of a 32-unit apartment complex, as provided in Commission Resolution No. 2530, entitled: COMMISSION RESOLUTION NO. 2530 RESOLUTION PROVIDING FOR THE GIVING OF NOTICE OF A PUBLIC HEARING ON THE PROPOSED ISSUANCE BY THE CITY OF BOZEMAN, MONTANA, OF HOUSING DEVELOPMENT REVENUE BONDS IN THE MAXIMUM AGGREGATE PRINCIPAL AMOUNT OF $950,000 FOR MARVIN R. AND JUDY G. COWDREY FOR THE CONSTRUCTION OF A 32-UNIT APARTMENT COMPLEX AND RELATED EXPENDITURES THERETO. City Manager Wysocki presented to the Commission a letter from the Housing Authority of Billings, stating support for Mr. Cowdrey's construction and ability to work with people. He also presented to the Commission a letter from Terry L. Anderson, Political Economy Research Center, indicating concern about approval of the requested bond issue. Commissioner Vant Hull asked if the SID payments for the subject property are current. City Manager Wysocki stated the Cowdreys appear on the list of delinquent special assessments; but they have appeared on this date and paid those assessments which were due and payable as of November 30, 1984. Commissioner Vant Hull then submitted to the Commission a list of items she feels should be addressed in an agreement if the Industrial Development Revenue bond issue is approved. I That list included the following items: 1. That the rents be pegged to very-low-income rather than low-income; 2. That the units for low-income float rather than be designated units; 3. That the increased amount a person would pay if his/her salary goes up slightly should be spelled out; 4. That the insulation standards (R-38 in the roof, R-19 in the walls) and its proper installation be closely monitored by the Building Inspection Division; 12-10-84 4G1t 5. That a maintenance person, including snow removal work, be spelled out. Commissioner Vant Hull stated she has been an ex officio member of the Housing Committee for the past three years, during which time the Committee has talked with several developers about providing additional low-income housing in Bozeman; but none were interested in this kind of project. She indicated this project seems to be viable and would provide nine units of low-income housing. The Commissioner stated the amount of housing available for low-income people has diminished during the present Commission's tenure in office; and this would add I some units back to the housing market. Commissioner Anderson stated she has also been an ex officio member of the Housing Committee for the past three years. She stated the need for low-income housing has been emphasized during consideration of this request; and she feels the creation of permanent jobs through this project has not been considered. She stated another item to consider in making a decision on this request is whether it is in the public interests of the community over a long period of time. The Commissioner then stated she feels the creation of new permanent jobs must be considered above all other criteria in making a decision on this request for the issuance of I DR bonds. Commissioner Mathre addressed several questions which she feels are important in this decision-making process. She noted one of the items to be considered is the stimulation of economic activity through the project. The Commissioner stated the construction of housing is not business related; and jobs would be created during the construction only. She then stated the general health, safety and welfare of the community must be addressed. She noted this project would add nine new low-income units to the housing market in Bozeman; and there are no apparent alternative methods of financing such a project. The Commissioner noted some low-income units will be rehabilitated through the CDBG monies, but no new units are being considered under that project. Commissioner Mathre also noted the housing stock for low-income persons has been reduced, partially through the demolition of Legion Housing and renovation of the Range Hotel (Baltimore Hotel), which was converted to office space. Also, the mobile homes in Covered Wagon Mobile Home Court and Bridger View Mobile Home Court must now be owner-occupied I under newly adopted rules. Commissioner Mathre then stated concern has been expressed that the units constructed under this project may create a negative impact on other builders. The Commissioner stated she has reviewed the number of apartment units constructed during the period October 1982 through October 1984, and found 188 new units were built. The Commissioner stated she feels that indicates the housing market is not saturated, particularly in the affordable housing range. The Commissioner then stated another item to consider is whether the project is financially sound. She noted Mr. Giblin, the financial consultant, has assured the City that the bonds would not be sold if the project were determined not viable. Commissioner Mathre noted another itelll to consider is whether the project is in the public interest. She noted the federal guidelines require that 20 percent of the housing project be designated for very-low-income or low-income families. She noted that the appl icants have agreed to designate 30 percent of the project for very-low-income families, which exceeds the federal requirements. The Commissioner also noted the letter from the Housing Authority of Billings indicates that Mr. Cowdrey's project exceeds any other project completed in Billings under this type of program, both in construction and in personal contacts. Commissioner Mathre then noted other items to be considered are the applicants' ability to carry out the project, and the applicantsl ability to fulfill requirements established by the Internal Revenue Service and the Industrial Development Revenue bond regulations. She noted the letter from Billings indicates that Mr. Cowdrey's projects meet or exceed the building code I requirements. She also noted if the requirements set forth for the IORls are not met, the. bonds lose their tax exempt status and become immediately due and payable. Commissioner Mathre then stated that during the goal-setting process recently completed by the Commission, the need for more low-income housing was raised during the public meetings . as well as by the Commissioners and has been listed as one of the Commission's goals. The Commissioner stated she feels this project would help to meet that goal and, therefore, she supports the requested I DR bond issue. 12-10-84 . 465 Commissioner Jordan stated he feels there is a need for more low-income housing in Bozeman; however, he is not certain it is in the City's best interests to get involved in pro- viding additional housing. He indicated he feels this type of housing will be constructed whether the lOR bond issue is approved or not. He also stated the project will not add new jobs to the community. The Commissioner stated he cannot support approval of a $950,000.00 I DR bond issue to gain nine low-income units. He also questioned whether the proposed $270.00 I per month rent is low enough to help those who really need the housing. The Commissioner then stated he does not feel approval of the request would be for the right reasons; and he does not feel the project would address the problems or be aimed at the people who really need the low-income housing. Mayor Weaver stated he does not support approval of the requested Industrial Devel- opment Revenue bond issue. He noted the increased housing stock would be a community benefit, but he feels this would create government interference in the market place. The Mayor stated he finds that this particular project lacks sufficient public good to offset governmental interference in the market place. It was moved by Commissioner Mathre, seconded by Commissioner Vant Hull, that the Commission approve the issuance of a $950,000.00 Industrial Development Revenue bond issue requested by Marvin R. and Judy G. Cowdrey for financing the construction of a 32-unit apartment complex, subject to signing of an agreement between the applicants and the City addressing the five points listed above by Commissioner Vant Hull. The motion failed by the following Aye and No vote: those voting Aye being Commissioner Mathre and Commissioner Vant Hull; those voting No being Commissioner Anderson, Commissioner Jordan and Mayor Weaver. and authorizing issuance of $950,000.00 lOR bond or construction 0 a 2-unlt apartment comp ex City Manager Wysocki presented Commission Resolution No. 2539, approving and authorizing the issuance of a $950,000.00 IDR bond issue for Marvin R. and Judy G. Cowdrey for construction I of a 32-unit apartment complex, entitled: COMMISSION RESOLUTION NO. 2539 RESOLUTION RELATING TO A PROJECT AND REVENUE BONDS UNDER TITLE 90, CHAPTER 5, PART 1, MONTANA CODE ANNOTATED; APPROVING AND AUTHORIZING HOUSING DEVELOPMENT REVENUE BONDS OR NOTES IN THE MAXIMUM AMOUNT OF $950,000.00 FOR MARVIN R. AND JUDY G. COWDREY FOR THE CONSTRUCTION OF A 32-UNIT APARTMENT COMPLEX. City Manager Wysocki requested that the Commission act upon this Resolution, following the decision on the previous item. It was moved by Commissioner Vant Hull, seconded by Commissioner Mathre, that the Commission adopt Commission Resolution No. 2539, approving and authorizing the issuance of a $950,000.00 Industrial Development Revenue bond issue requested by Marvin R. and Judy G. Cowdrey to finance the construction of a 32-unit apartment complex. The motion failed by the following Aye and No vote: those voting Aye being Commissioner Vant Hull and Commissioner Mathre; those voting No being Commissioner Anderson, Commissioner Jordan and Mayor Weaver. Decision - Conditional Use Permit - Ken White - allow mobile home sales on Tract C-l, COS 4A, located in the NE1; of Section 17, T2S, R5E, MPM (immediately east of existing Gateway Homes site) This was the time and place set for the decision on the Conditional Use Permit requested by Ken White to allow mobile home sales on Tract C-l of Certificate of Survey No. 4A, located in the northeast quarter of Section 17, Township 2 South, Range 5 East, Montana Principal I Meridian. This site is more commonly located immediately east of the existing Gateway Homes site. City Manager Wysocki stated the Commission had conducted the public hearing on this item at last week's meeting. He then recommended that the Commission approve the requested Conditional Use Permit, subject to the conditions recommended by the Zoning Commission and the condition suggested by Planning Director Lere at last week's meeting. It was moved by Commissioner Anderson, seconded by Commissioner Jordan, that the Commission approve the Conditional Wse Permit requested by Ken White to allow mobile home 12-10-84 - 46E sales on Tract C-l, Certificate of Survey No. 4A, located in the northeast quarter of Section 17, Township 2 South, Range 5 East, Montana Principal Meridian, subject to the following conditions as recommended by the Zoning Commission and revised by the Planning Director: 1. That the final site plan indicate a designated snow removal storage area. 2. That the project be reviewed and approved by the Department of Health prior to occupancy of the building. 3. That the Building Official review the existing sign to determine whether it I is in compliance with the Sign Code. 4. That the developer shall enter into an Improvements Agreement with the City of Bozeman. If occupancy of the structure is to occur prior to installation of the improvements, it must be secured by a method of security equal to one and one-half (1i) times the amount of the cost of the scheduled improvements and their installation. Detailed cost esti- mates, construction plans and methods of security shall be made part of that agreement. 5. That three (3) copies of the final site plan containing all the conditions, corrections and modifications approved by the City Commission be sub- mitted for review, and approved by the Planning Director within six (6) months of the date of the City Commission approval and prior to the issuance of a building permit for the project. One (1) signed copy shall be retained at the Building Department, one (1) signed copy shall be retained by the Planning Director and one (1) signed copy shall be retained by the applicant. 6 All on-site improvements (i.e., paving, landscaping, etc.) shall be completed within eighteen (18) months of approval of the Conditional Use Permit. 7. The Conditional Use Permit shall be valid for a period of only eighteen (18) months following approval of the Use. Prior to the permanent renewal of the permit at the end of that period, the appl icant must satisfy all the conditions in the granting of the permit. An on-site inspection will be made and a report made to the City Commission for the action. If all required conditions have been satisfied, the permit will be permanently renewed. The motion carried by the following Aye and No vote: those voting Aye being Commissioner I Anderson, Commissioner Jordan, Commissioner Mathre, Commissioner Vant Hull and Mayor Weaver; those voting No, none. west side of outh 19th Steven R. Aaker This was the time and place set for the decision on Commission Resolution No. 2533, intent to annex a 34.7519-acre tract located along the west side of South 19th Avenue just south of the Montana State University Disease Control Center, requested by Ralph K. and Steven R. Aaker, as follows: COMMISSION RESOLUTION NO. 2533 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF BOZEMAN, MONTANA, DECLARING IT TO BE THE INTENTION OF THE CITY OF BOZEMAN, THE INHABITANTS THEREOF AND THE INHABITANTS OF A TRACT OF LAND CONTIGUOUS TO SAID CITY OF BOZEMAN AND HEREIN MORE PARTICULARLY DESCRIBED, TO EXTEND THE BOUNDARIES OF SAID CITY OF BOZEMAN SO AS TO INCLUDE SAID CONTIGUOUS TRACT WITHIN THE CORPORATE LIMITS THEREOF. City Manager Wysocki stated the Commission conducted the public hearing on this Resolu- tion at last week's meeting. He then recommended that the Commission approve the requested annexation, contingent upon negotiation of an agreement concerning the provision of particular City services, as listed in Commission Resolution No. 2533. I Commissioner Vant Hull expressed concern that the fiscal impact of the proposed annexa- tion has not been addressed, but that a talk with the Reverend Chris Blackmore persuaded her that the church would not object to reasonable city service charges. Commissioner Anderson asked if the agreement between the property owners and the City will address the water rights. The City Attorney indicated that will be addressed. Commissioner Jordan expressed concern that the initial annexation request was for a 10.0-acre tract; and the Commission is now acting on annexation of a 34.7519-acre tract. 12-10-84 467 Planning Director Lere stated the additional 24.7519 acres include the buffer strip re- quired by the University as well as the right-of-way for Remington Way. He noted the Master Plan designates the subject buffer strip as multi-use. He stated the zoning on the 24.719 acres will remain AS, Agricultural Suburban, until a Zone Map Change request is submitted and approved. He noted that during the zoning change, the land use may be stipulated; but that should not be addressed at this time. I It was moved by Commissioner Jordan, seconded by Commissioner Mathre, that the Commission approve the annexation of approximately 35 acres located along the west side of South 19th Avenue just south of the Montana State University Disease Control Center requested by Ralph K. and Steven R. Aaker, contingent upon negotiation of an agreement between the property owners and the City concerning the provision of particular City services as listed in Commission Resolution No. 2533; and instruct the City Attorney to prepare a Resolution of annexation after the agreement has been signed by both parties. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Jordan, Commissioner Mathre, Commissioner Vant Hull, Commissioner Anderson and Mayor Weaver; those voting No, none. Discussion - development of policy for scheduling of roadway improvements City Manager Wysocki presented to the Commission a memorandum from City Attorney Crumbaker-Smith concerning whether the City can require developers to pay for or improve off-site roads during plat review. The City Manager stated the Commission had discussed this item at its meeting of October 15, 1984 and had referred the matter to staff. City Attorney Crumbaker-Smith stated that if the Commission is interested in requiring off-site road improvements, an ordinance should be adopted as a part of the subdivision regula- tions. Commissioner Anderson asked how many local governments in Montana have adopted similar ordinances. The City Attorney indicated she does not know of any similar ordinances in Montana. I She stated that she has reviewed the State Statutes and court decisions; and the court deci- sions are from the more populous states. She noted this was addressed under the discussion of impact fees, which addressed several items including roadway improvements. City Manager Wysocki suggested that the staff draft an amendment to the subdivision regulations for Commission review. He noted the ordinance must be written in a manner which can be easily monitored and enforced and which conforms to the State Statute and court deci- sions. Commissioner Vant Hull stated with all of the proposed developments being considered along West Babcock Street, she feels this issue should be addressed as soon as possible. Commissioner Jordan stated he feels the issue must be addressed. He noted the Commis- sion is presently addressing subdivision requests with reservation because no written policy has been established. Mayor Weaver stated if the Commission intends to impose off-site improvements, it should adopt a policy and convey its intentions to the developers and landowners. 'It was moved by Commissioner Vant Hull, seconded by Commissioner Anderson, that the Commission authorize and direct the staff to prepare an amendment to the subdivision regula- tions requiring developers to pay a portion of the off-site roadway improvements, to be sub- mitted to the Commission for consideration within ninety days. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Vant Hull, Commissioner Anderson, Commissioner Jordan, Commissioner Mathre and Mayor Weaver; those voting No, none. I Review of letter to various organizations re proposed bikeways City Manager Wysocki presented to the Commission the revised letter to various organiza- tions soliciting input on the proposed bikeways. It was moved by Commissioner Anderson, seconded by Commissioner Jordan, that the Commission adopt the revised letter to various organizations soliciting input on the proposed bikeways and authorize and direct the Mayor to sign the letter. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Anderson, Commissioner 12-10-84 468 Jordan, Commissioner Mathre, Commissioner Vant Hull and Mayor Weaver; those voting No, none. at the Recreation City Manager Wysocki presented to the Commission a letter from the American Legion Baseball Board of Directors requesting permission to place advertising signs on the inside of I the fence at the Recreation Complex on Haggerty Lane. He also presented to the Commission a memo from the Chairman of the Recreation Advisory Board indicating that the Board recommends denial of the request. The City Manager stated that in a conversation with the Carl Spring, Chairman of the Recreation Advisory Board, Mr. Spring indicated that the Commission had denied a simi lar request from the Bozeman Softball Association in 1981. City Manager Wysocki noted the Recreation Complex is in a basically secluded area; and the signs would be visible to those within the complex. The City Manager noted two groups use the complex; and if the use of benefits derived from the advertising signs is of concern, that item could be addressed as a part of the approval process. Mr. Tom Jelberg, member of the American Legion Baseball Board of Directors, stated there are three softball fields and one baseball field at the Recreation Complex at this time. He stated the proposed advertising signs would raise revenues for the American Legion baseball program. Also, there is currently an 8-foot chain link fence around the field; and the players can be injured if they run into the posts when trying to catch a fly ball. He stated they feel the proposed 3-foot by 6-foot advertising signs would provide more safety for the ball players. Mr. Jelberg stated the American Legion anticipates about $10,000.00 in revenue annually, which is about one-fourth of the budget for the baseball program. Commissioner Anderson asked what type of advertising would be allowed and who would maintain the signs. Mr. Jelberg stated those who have the advertising on the sign would be responsible for maintenance of the sign. He then indicated the American Legion has not addressed the matter I of who would be allowed to advertise in the Recreation Complex. Commissioner Jordan noted that the Recreation Complex is designated as a City park and expressed concern that to allow the advertising signs would be to set a precedent for allowing fund-raising activities in the various parks. City Manager Wysocki stated the Commission can be specific in its approval to hang advertising signs on the inside of the Recreation Complex if it so desires. The City Manager then indicated he would like an opportunity to meet with the Recreation Advisory Board con- cerning this request and suggested that the Commission defer action on the request for a period of thirty days, if the Commission is interested in pursuing the matter. He stated if the Commission has no desire to allow the placing of advertising signs on the inside of the Recrea- tion Complex, action can be taken at this time. Mayor Weaver requested that this item be placed on the agenda in thirty days for further consideration and pOSSible action. Break - 5:10 to 5:20 p.m. Mayor Weaver declared a break at 5:10 p.m., to reconvene at 5:20 p.m., in accordance with Commission policy established at their regular meeting of March 14, 1983. Authorize execution of necessary documents for financing of the IBM System/38 computer City Manager Wysocki stated the staff has not yet received written proposals from those financial institutions which have submitted verbal quotations and requested that action on this I item be deferred for a period of one week to allow the staff time to gather and review the proposals. It was moved by Commissioner Mathre, seconded by Commissioner Vant Hull, that action on this item be tabled for a period of one week to allow the staff time to gather and review the written proposals for the financing of the IBM System/38 computer. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Mathre, Commissioner Vant Hull, Commissioner Anderson, Commissioner Jordan and Mayor Weaver; those voting No, none. 12-10-84 469 Commission Resolution No. 2536 - accelerating delinquent SID's and certifying all delinquent S lO's to the County City Manager Wysocki presented Commission Resolution No. 2536, entitled: COMMISSION RESOLUTION NO. 2536 A RESOLUTION OF THE COMMISSION OF THE CITY OF BOZEMAN, MONT ANA, DECLARING SPECIAL ASSESSMENT INSTALLMENTS DUE AND PAYABLE I NOVEMBER 30,1984, AND UNPAID AS OF THAT DATE, DELINQUENT, AND DECLARING ALL PAYMENTS OF SUBSEQUENT SPECIAL ASSESSMENT IN- STALLMENTS FOR THE ABOVE-NAMED DELINQUENT ASSESSMENTS, UNPAID AS OF NOVEMBER 30, 1984, ALSO DELINQUENT, PURSUANT TO SECTIONS 7-12-4182 AND 7-12-4183, MONTANA CODE ANNOTATED, AND AS PROVIDED BY CHAPTER 2.32 OF THE BOZEMAN MUNICIPAL CODE. City Manager Wysocki recommended that the Commission adopt the Resolution, which certifies the delinquent assessments to the County for collection. Commissioner Anderson stated she feels the Commission should write to the Legislators in Helena requesting that the penalty and interest on delinquent assessments be increased to encourage payment of the special assessments. Commissioner Vant Hull stated support for Commissioner Anderson's suggestion. Mayor Weaver requested that Commissioner Anderson and Commissioner Vant Hull draft a letter to the Legislators and submit it to the Commission for possible action following review by the City Manager and City Attorney. It was moved by Commissioner Vant Hull, seconded by Commissioner Anderson, that the Commission adopt Commission Resolution No. 2536, accelerating delinquent Special Improvement District assessments and certifying all delinquent Special Improvement District assessments to Gallatin County. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Vant Hull, Commissioner Anderson, Commissioner Jordan, Commissioner Mathre and Mayor Weaver; those voting No, none. Commission Resolution No. 2537 - recertifying relevied SID's to the County as delinquent as of I November 30, 1982 and November 30, 1983 City Manager Wysocki presented Commission Resolution No. 2537, entitled: COMMISSION RESOLUTION NO. 2537 A RESOLUTION OF THE COMMISSION OF THE CITY OF BOZEMAN AU- THORIZING THE DIRECTOR OF FINANCE TO RECERTIFY TO THE GALLATIN COUNTY TREASURER THOSE SPECIAL ASSESSMENTS RELEVIED AND RE- ASSESSED BY PRIOR COMMISSION ACTION AND SUBSEQUENTLY CERTIFIED TO THE GALLATIN COUNTY TREASURER AS DELINQUENT IN 1982 OR 1983. City Manager Wysocki recommended that the Commission adopt this Resolution, which affects the amounts of delinquent assessments previously certified to the County due to adoption of new Resolutions relevying and reassessing specific SI D's. It was moved by Commissioner Anderson, seconded by Commissioner Jordan, that the Commission adopt Commission Resolution No. 2537, recertifying relevied Special Improvement District assessments to the County as del inquent as of November 30, 1982 and November 30, 1983. The motion carried by the following Aye and No vote: those voting Aye being Commis- sioner Anderson, Commissioner Jordan, Commissioner Mathre, Commissioner Vant Hull and Mayor Weaver; those voting No, none. Abatement of taxes assessed for Fiscal Year 1985 City Manager Wysocki presented to the Commission a summary of the requests for abatement of special assessments for Fiscal Year 1984-85. The City Manager stated Director of Finance I McKinney has reviewed the requests for abatement and found them to be correct. He then recommended that the Commission approve the following requests for abatement: Tax No. Name Address Amount Type Reason 162 Charles R. Osborne 626 E. Peach $ 51. 30 Garbage House vacant since December 16, 1982 342 Sadie I. We lton 420 N. 3rd 28.50 Garbage House vacant 10/1/84 to 5/1/85 650 Rose Eagle Menzel 1106 S. 3rd 42.60 Garbage House vacant 7/1/84 through 11/8/84 and 4/18/85 throuqh 6/30/85 12-10-84 470 764 JOhn M. Frankovich 811 S. 7th 51.30 Garbage House vacant 7/1/84 through 12/31/84 966 Katherine Jordan 305 S. 14th 62.70 Garbage No garbage collection at this house-- confirmed with Joe Thill, Sanitation Department 1055 Pat S. Powers 505 S. Tracy 74.10 Garbage House vacant for over a year--no garbage col1ection--confirmed with Joe Thill, Sanitation Department 1266 Michael F. & Jean 2402 Westridge 25.30 Garbage Should not have been billed for Fiscal I Koelzer Year 1983-84--this amount paid in November 1983 1334 B. P. Hennessy 615 S. 12th 29.07 Garbage Room count changed from 7 rooms, 2 units, to 6 rooms, 1 unit 1595 Loren G. Winks 116 E. Dickerson 36.30 Garbage House vacant 10/17/84 through 5/20/85 1736 William P. & Marie 614 N. Tracy 11.40 Garbage Room count changed from 7 rooms, Murphy 1 unit, to 5 rooms, 1 unit 2586 First Church of Christ 502 S. 8th 62.70 Garbage No garbage collection at this church Scientists c/o Frank K. Calvin 2701 Lydia M. Jacobs 309 Perkins Place 18.81 Garbage No garbage collection at this house for several years 3345 Robert G. & Sherry J. 620 W. Lamme 74.10 Garbage House torn down June 1984--no garbage Essig collection TOTAL $568.18 It was moved by Commissioner Jordan, seconded by Commissioner Mathre, that the applications for abatement of special assessments listed above be approved, and the Director of Finance be authorized to enter the abatements on the tax record. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Jordan, Commissioner Mathre, I Commissioner Vant Hull, Commissioner Anderson and Mayor Weaver; those voting No, none. Ordinance No. 1171 - revising sidewalk snow removal policy City Manager Wysocki presented Ordinance No. 1171, as prepared by the City Attorney, entitled: ORDINANCE NO. 1171 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF BOZEMAN, MONTANA, PROVIDING FOR REMOVAL OF SNOW AND ICE FROM SIDEWALKS; PROHIBITING DEPOSITING OF SNOW AND ICE IN CERTAIN PLACES; AND IMPOSING PENAL TIES. City Manager Wysocki recommended that the Commission provisionally adopt Ordinance No. 1171, revising the current sidewalk snow removal policy. Commissioner Vant Hull suggested that the Commission conduct a public hearing on this Ordinance prior to final adoption, although it is not required. She noted this ordinance is important to the residents of the community, and she feels the people should know the provi- sions contained in the ordinance and be allowed an opportunity for input prior to the final adoption. The Commissioner also suggested that copies of the Ordinance be made available at City Hall and at the Library for those who wish to review it prior to the public hearing. Commissioner Jordan asked if the staff has contacted Butte to find out how the program using youth through the Job Service has worked. City Manager Wysocki stated he has not had an opportunity to contact Butte as of this I date. Ms. Susan Newell, 213 West Cottonwood Street, stated that, in general, the most con- siderate and conscientious people for removing the snow from their sidewalks are the senior citizens; and the young renters seem to be the worst at snow removal. She also stated some businesses with corner lots tend to clean the sidewalk in front of the business but ignore the sidewalk running along the side of the property. Ms. Newell expressed concern that it is becoming more and more difficult for children to walk, since they must walk through the snow on the sidewalk or walk in the street. 12-10-84 471 Commissioner Mathre asked if this revised ordinance is very much different from the original ordinance. City Attorney Crumbaker-Smith stated there are some changes in definitions, the strict liability for cleaning of the sidewalks has been changed and the penalties have been revised to remove the jail sentence. It was moved by Commissioner Anderson, seconded by Commissioner Jordan, that the Commission provisionally adopt Ordinance No. 1171, revising the sidewalk snow removal policy, and set the public hearing date for January 7, 1985. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Anderson, Commissioner Jordan, Commissioner Mathre, Commissioner Vant Hull and Mayor Weaver; those voting No, none. Ordinance No. 1170 - revising the Sign Ordinance (re banners) City Manager Wysocki presented to the Commission, Ordinance No. 1170, as prepared by the City Attorney, entitled: ORDINANCE NO. 1170 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF BOZEMAN, MONTANA, AMENDING SECTION 15.32.020 OF THE BOZEMAN MUNICIPAL CODE AS AMENDED BY ORDINANCE NO. 1161, PROVISIONALLY PASSED MAY 14, 1984, FINALLY PASSED AND ADOPTED MAY 29, 1984, REVISING THE ADDITIONS AND DELETIONS OF THE UNIFORM SIGN CODE IN THE CITY OF BOZEMAN, MONTANA. City Manager Wysocki stated the Commission had requested that the portion of the Sign Code concerning the hanging of banners across Main Street be revised. He then noted the Commission provisionally adopted this Ordinance on November 26, and recommended that the Commission finally adopt the Ordinance at this time. It was moved by Commissioner Jordan, seconded by Commissioner Mathre, that the Commission finally adopt Ordinance No. 1170, revising the Sign Ordinance concerning the hang- ing of banners across Main Street. The motion carried by the following Aye and No vote: I those voting Aye being Commis'sioner Jordan, Commissioner Mathre, Commissioner Vant Hull, Commissioner Anderson and Mayor Weaver; those voting No, none. Commission Resolution No. 2538 - adopting the ICMA Retirement Trust City Manager Wysocki presented Commission Resolution No. 2538, as reviewed by the City Attorney, entitled: COMMISSION RESOLUTION NO. 2538 A RESOLUTION OF THE COMMISSION OF THE CITY OF BOZEMAN, MONTANA, ADOPTING THE ICMA RETIREMENT TRUST. City Manager Wysocki stated the payment of monies into the ICMA Retirement Trust is a part of his contract. He indicated the ICMA has requested that the Commission adopt this Resolution due to Federal retirement trust laws. The City Manager then recommended that the Commission adopt this Resolution. It was moved by Commissioner Mathre, seconded by Commissioner Vant Hull, that the Commission adopt Commission Resolution No. 2538, adopting the I CMA Retirement Trust. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Mathre, Commissioner Vant Hull, Commissioner Anderson, Commissioner Jordan and Mayor Weaver; those voting No, none. Appointment of Commissioner to the steering committee, as requested by Historical Preservation Officer Martha Catlin I City Manager Wysocki stated Historical Preservation Officer Martha Catlin had requested at last week's meeting that the Commission appoint a Commissioner to the steering committee. Mayor Weaver noted that at last week's meeting Commissioner Vant Hull had indicated an interest in serving on the steering committee. He then recommended that, if no other Commis- sioner indicated a greater interest, Commissioner Vant Hull be appointed to the steering committee. It was moved by Commissioner Anderson, seconded by Commissioner Jordan, that Commis- sioner Vant Hull be appointed to the steering committee for historical preservation, as requested 12-10-84 412 by Historical Preservation Officer Martha Catlin. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Anderson, Commissioner Jordan, Commissioner Mathre, Commissioner Vant Hull and Mayor Weaver; those voting No, none. Discussion - action to be taken on current UDAG application for the Felska/Solvie Convention Center / Hotel City Manager Wysocki presented to the Commission a draft letter from Ron Preston, Department of Commerce in Helena, as dictated to his secretary just prior to the Commission meeting. He noted the actual letter will be sent immediately. The City Manager stated the letter indicates that the City may support as many UDAG applications at one time as possible, and that multiple applications enhance the City's potential receipt of UDAG monies. Commissioner Anderson asked what changes have been made in the design of the structure since the project was initially submitted to the Commission in May. Mr. Audie Solvie, appl icant, stated the proposed fourth floor shell for rooms has been removed; and 131 rooms will be constructed during the initial construction of the facility. He noted all reports from consultants, including the Sheraton, have indicated that it is not econo- mically feasible to construct a shell without completing the rooms immediately. He then stated the convention facilities have not been changed. The banquet facilities are still approximately 9,500 square feet and will seat 500 persons comfortably. Mr. Solvie then stated the Resolution adopted by the Commission approving the requested Industrial Development Revenue bond issue specifies that the structure Is 128,000 square feet and request that It be changed to 95,000 square feet due to the removal of the fourth floor shell. Commissioner Mathre noted the memo dated October 18, 1984, from Ted Zelio, HUD in Denver, requests additional cost information about the 40 rooms to be roughed in. She noted that information is no longer needed. Commissioner Anderson asked Mr. Solvie if he has received firm commitments from buyers to purchase $5 million in lOR bonds and a firm commitment from a financial institution that it will issue a Letter of Credit for the developer's cash equity for the project development, as I requested in Mr. Zelio's memo. Mr. Solvie stated any financial institution which makes a firm commitment to purchase the bonds must have three times the resources to service those bonds; and he is currently working with financial institutions which meet that qualification to obtain the required commitment. He also indicated he is working on a Letter of Credit for the cash equity in the project. Mr. Solvle stated the developers still have people on the payroll working on this project; and they are pursuing financing for the project. He noted that getting the financial backing for this type of project outside a metropolitan area is very difficult and noted that it is difficult to get federal monies for a project in Montana. Mr. Solvie then stated he feels they are close to getting the needed commitments for financing to continue with this project and requested that the Commission extend the deadline for receipt of the commitments until December 31, 1984, which will coincide more closely with the HUD deadline for submitting additional information for the UDAG application. Commissioner Anderson expressed interest in knowing if other businesses might be interested in applying for UDAG monies. The Commissioner then asked Mr. Solvie if the project is definitely tied to Sheraton at this time. Mr. Solvie stated the status is the same as it has been in the past. He indicated the convention center/hotel plans are based on the construction booklet provided by Sheraton; and he will be granted a franchise as soon as he submits a formal application, along with the $20,000.00 application fee. He stated he will submit the formal application as soon as the arrangements for funding if the project are completed. I City Manager Wysocki stated the Resolution authorizing issuance of I DR bonds for this project is contingent upon the applicants' providing $1 million in equity initially, but is not contingent upon the approval of the UDAG application. Mr. Solvie then indicated the appl icants will continue to pursue the funding and con- struction of the convention center/hotel even if they don't meet the January deadline for sub- mittal of financial information for the UDAG application. He indicated the UDAG funding would make the project more viable, but the project won't be scrapped if that funding is not received. . 12-10-84 473 Mr. Solvie stated one of the reasons the applicants have pursued the UDAC funding is because it would provide a benefit to them during the first few years of the project and would then benefit the City because the monies would be repaid to the City and could then be utilized for another project within the City limits. Mayor Weaver expressed concern that this project does not seem to be moving forward, but seems to be on a holding status. He also expressed concern that other businesses may be I interested in pursuing a UDAC application but feel they are unable to until this application is either accepted as complete by HUD or is withdrawn by the Commission. Mr. Solvie noted that the guidelines for UDAC funding stipulate that more than one application may be submitted by a governmental unit in any funding period. He noted each application is considered on its own merits and has no effect on any other application. Commissioner Vant Hull stated she feels the Commission should indicate its interest in considering any UDAC application which would add to economic development in Bozeman. Mayor Weaver stated he feels the process should be abandoned at this time and started over. He indicated that he understands the difficulty in obtaining financing and recognizes that the requirements for UDAC applications take an extended period of time to fulfill. Mr. Solvie cited examples of large construction projects in Whitefish in which the projects were partially or totally completed prior to financing of the project. He indicated he does not support that approach, but prefers to have the funding arrangements completed prior to the beginning of construction. He then cited the Sheraton Hotel in Missoula, which was built approximately ten years after initial discussions were conducted. The Mayor noted that the Commission took political heat because its approval of this project was based on the feeling that there is public good in the project because of the increase in the tax base, promotion of tourism, and the project would not directly compete with existing hotels and motels but would attract a different type of market. He noted the City Manager has spent well over 100 hours working with the developers and HUD to get the UDAC application completed. I Mr. Solvie stated the applicants have approximately three weeks to get a letter of intent from a financial institution to satisfy UDAC requirements. He once again requested that the Commission defer action until January 1, 1985. Commissioner Vant Hull noted Mr. Preston's letter indicates that the more projects a City can support, the greater its chances of getting UDAC monies. She stated she feels the Commission should consider extension of the deadline as requested by the applicant. Commissioner Anderson noted that she and Commissioner Jordan had previously expressed the same concerns voiced by Mayor Weaver. She indicated she would like to see the project move forward as quickly as possible, noting that she feels some action should be taken prior to December 31. Mr. Solvie stated he can understand the Commission's concern. He stated that the applicants have not slowed their working on this project; and he is still traveling extensively for the project. Mr. Solvie then stated that he will not discuss the matter of the UDAC appli- cation after January 1 if all of the requested information is not submitted; but the applicants will consider that the UDAC funding is not to be a part of the financing package and alternative sources will then be pursued. Mayor Weaver then asked about the standing of the IDR bonds if the UDAC application is not accepted as complete by January 1, 1985. Mr. Solvie stated the Resolution adopted by the Commission authorizing the issuance of I DR bonds stipulated that the applicant had one year in which to sell those bonds. He indi- cated he sees no reason why the Commission should not honor that one-year period, since it is I was not contingent upon receipt of UDAC monies. Commissioner Jordan stated the initial discussion indicated that the UDAC monies were to be used to help cover debt service during the first three years, rather than for initial con- struction. He also expressed concern that the project has changed through the reduction of square footage and rooms. Mr. Solvie stated the feaSibility study indicated that the project and the community would support 120 rooms; and the applicants had initially taken an optimistic approach to the project. He noted the number of rooms has since been reduced to 131, which is slightly higher 12-10-84 ---------- 47' Lt than the number recommended in the study. He once again indicated the convention facilities will be 9,500 square feet in size; and probably the only larger facility in the state is the Outlaw Inn in Kalispell. He noted that the convention facilities in the Outlaw Inn were approximate 9,500 square feet before the expansion, which doubled its capacity. Commissioner Jordan noted the applicants have indicated the feasibility study is in the final stages. He asked what additional information will be available after this phase is completed. Mr. Solvie stated Phases I and II have been completed, which are the gathering of I information and analysis of that information. He indicated Phase III is simply a compilation of that information in bound book form. City Manager Wysocki stated the Resolution adopted by the Commission which authorized the issuance of /DR bonds set a ceiling of $6.75 million on those bonds. He noted if the developers are required to provide $1 million in equity initially, that would fund a $7.75 million project. He then asked how much the developers anticipate this project will cost. Mr. Solvie stated the total project will probably be $5.5 million to $6 million; and they probably won't ask for more than $5 million in lOR bonds. City Manager Wysocki stated he sees no reason to revise the one-year period listed in the Resolution authorizing the issuance of I DR bonds. He then noted that if the UDAC appli- cation is not completed for this round, the next round is not until April; and that would preclude construction during the upcoming summer. It was moved by Commissioner Vant Hull, seconded by Commissioner Mathre, that the Commission extend the deadline for submittal of additional financial information required for the UDAC application for the Felska/Solvie Convention Center/Hotel to January 1, 1985; after which time said application will be withdrawn if the information is not submitted. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Vant Hull, Commissioner Mathre, Commissioner Anderson and Mayor Weaver; those voting No being Commissioner Jordan. City Manager Wysocki asked if the Commission would consider this item at its regular meeting of December 31,1984, noting that meeting will be held at 10:00 a.m. The Commission indicated it would be willing to consider this item at that time. I Discussion - FYI items City Manager Wysocki presented to the Commission the following "For Your Information" item: (1) Weekly construction report submitted by Thomas, Dean and Hoskins, Inc., for the Water System Improvements project. Consent Items Wysocki It was moved by Commissioner Anderson, seconded by Commissioner Jordan, that the Commission approve the items as listed above, and authorize and direct the appropriate persons to complete the necessary actions. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Anderson, Commissioner Jordan, Commissioner Mathre, Commissioner Vant Hull and Mayor Weaver; those voting No, none. Adjournment ~ 6:25 p.m. There being no further business to come before the Commission at this time, it was I moved by Commissioner Jordan, seconded by Commissioner Mathre, that the meeting be adjourned. The motion carried by the following Aye and No vote: those voting Aye being Commissioner Jordan, Commissioner Mathre, Commissioner Vant Hull, Commissioner Anderson and Mayor Weaver; those voting No, none. KENNETH L. WEAVER, Mayor ATTEST: Clerk of the Commission 12-10-84