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HomeMy WebLinkAbout05-16-23 City Commission Meeting Agenda & Packet MaterialsA.Call to Order - 6:00 PM - Commission Room, City Hall, 121 North Rouse B.Pledge of Allegiance and a Moment of Silence C.Changes to the Agenda D.FYI E.Commission Disclosures F.Consent F.1 Accounts Payable Claims Review and Approval (Waters) F.2 Authorize the Mayor to Sign the Findings of Fact and Order for the Canyon Gate Major Subdivision Preliminary Plat Application 22264 (Quasi-Judicial)(Montana) F.3 Authorize the Mayor to Sign a Memorandum of Understanding (MOU) between City of THE CITY COMMISSION OF BOZEMAN, MONTANA REGULAR MEETING AGENDA Tuesday, May 16, 2023 This meeting will be held both in-person and also using Webex, an online videoconferencing system. You can join this meeting: Via Webex: Click the Register link, enter the required information, and click submit. Click Join Now to enter the meeting. Via Phone: This is for listening only if you cannot watch the stream, channel 190, or attend in-person United States Toll +1-650-479-3208 Access code: 2562 300 4921 If you are interested in commenting in writing on items on the agenda please send an email to agenda@bozeman.net prior to 12:00pm on the day of the meeting. Public comments will be accepted in-person during the appropriate agenda items. You may also comment by visiting the Commission's comment page. You can also comment by joining the Webex meeting. If you do join the Webex meeting, we ask you please be patient in helping us work through this hybrid meeting. As always, the meeting will be streamed through the Commission's video page and available in the City on cable channel 190. 1 Bozeman and Bozeman School District 7 for Development of the Bozeman Community Center(Winn) F.4 Authorize the City Manager to Sign a Professional Service Agreement with Sprout Inc. to provide Tree Removal and Replanting Services to the Downtown Bozeman Partnership(Staley) F.5 Authorize the City Manager to Sign an Amendment 1 to the Payment Agreement with Bozeman Fiber, Inc. (dba Yellowstone Fiber) for City Costs for Engineering and Inspection Services related to the Fiber-to-Premises Broadband Project(Gamradt) F.6 Authorize the City Manager to Sign an Amendment 1 to the Professional Services Agreement for Construction Oversight and Project Management of the Yellowstone Fiber Project(Gamradt) F.7 Authorize the City Manager to Sign an Amendment 1 to Sanderson Stewart Contract for Westlake Park(Jadin) F.8 Authorize City Manager to Sign an Amendment 2 to Professional Services Agreement for Parks, Recreation and Active Transportation Plan(Jadin) F.9 Authorize the City Manager to Sign the Fifth Amendment to Professional Services Agreement with Central House Strategies for Lobbying Services(Veselik) G.Public Comment This is the time to comment on any matter falling within the scope of the Bozeman City Commission. There will also be time in conjunction with each agenda item for public comment relating to that item but you may only speak once. Please note, the City Commission cannot take action on any item which does not appear on the agenda. All persons addressing the City Commission shall speak in a civil and courteous manner and members of the audience shall be respectful of others. Please state your name and address in an audible tone of voice for the record and limit your comments to three minutes. Written comments can be located in the Public Comment Repository. H.Action Items H.1 Resolution 5482 Creation of Special Improvement Lighting District 779 Norton East Ranch Phase 6(Hodnett) H.2 Pole Yard Urban Renewal District Fiscal Year 2024 Workplan and Budget and Fiscal Year 2023 Annual Report(Fontenot) H.3 North Park Urban Renewal District Fiscal Year 2024 Work Plan and Budget and Fiscal Year 2023 Annual Report(Fontenot) H.4 South Bozeman Technology District Fiscal Year 2024 Work Plan and Budget and Fiscal Year 2023 Annual Report(Fontenot) H.5 Midtown Urban Renewal District Fiscal Year 2024 Work Plan and Budget and Fiscal Year 2023 Annual Report(Fontenot) 2 H.6 Northeast Urban Renewal District Fiscal Year 2024 Work Plan and Budget and Fiscal Year 2023 Annual Report(Fontenot) H.7 Downtown Business Improvement District Fiscal Year 2024 Budget and Work Plan (Cope) H.8 Downtown Urban Renewal District Fiscal Year 2024 Budget and Work Plan (Staley) I.FYI / Discussion J.Adjournment City Commission meetings are open to all members of the public. If you have a disability that requires assistance, please contact our ADA Coordinator, Mike Gray, at 582-3232 (TDD 582-2301). Commission meetings are televised live on cable channel 190 and streamed live at www.bozeman.net. In order for the City Commission to receive all relevant public comment in time for this City Commission meeting, please submit via www.bozeman.net or by emailing agenda@bozeman.net no later than 12:00 PM on the day of the meeting. Public comment may be made in person at the meeting as well. 3 Memorandum REPORT TO:City Commission FROM:Nadine Waters, Accounts Payable Clerk Nicole Armstrong, Accounts Payable Clerk Levi Stewart, Assistant City Controller Aaron Funk, City Controller Melissa Hodnett, Finance Director SUBJECT:Accounts Payable Claims Review and Approval MEETING DATE:May 16, 2023 AGENDA ITEM TYPE:Finance RECOMMENDATION:The City Commission is recommended to make a motion and approve payment of claims as presented. STRATEGIC PLAN:7.5. Funding and Delivery of City Services: Use equitable and sustainable sources of funding for appropriate City services, and deliver them in a lean and efficient manner. BACKGROUND:Montana Code Annotated, Section 7-6-4301 requires claims to be presented to the City Commission within one year of the date the claims accrued. Claims presented to the City Commission under this item have been reviewed and validated by the Finance Department. The Department has ensured that all goods and services have been received along with necessary authorizations and supporting documentation. UNRESOLVED ISSUES:None ALTERNATIVES:The City Commission could decide not to approve these claims or a portion of the claims presented. This alternative is not recommended as it may result in unbudgeted late fees assessed against the City. FISCAL EFFECTS:The total amount of the claims to be paid is presented at the bottom of the Expenditure Approval List posted on the City’s website at https://www.bozeman.net/departments/finance/purchasing. Report compiled on: May 11, 2023 4 Memorandum REPORT TO:City Commission FROM:Susana Montana, Senior Planner Brian Krueger, Manager of the Development Review Division Erin George, Deputy Director of Community Development Anna Bentley, Director of Community Development SUBJECT:Authorize the Mayor to Sign the Findings of Fact and Order for the Canyon Gate Major Subdivision Preliminary Plat Application 22264 (Quasi-Judicial) MEETING DATE:May 16, 2023 AGENDA ITEM TYPE:Community Development - Quasi-Judicial RECOMMENDATION:Approve and Authorize the Mayor to Sign the Findings of Fact and Order for the Canyon Gate Major Subdivision Preliminary Plat, Application 22264. STRATEGIC PLAN:4.2 High Quality Urban Approach: Continue to support high-quality planning, ranging from building design to neighborhood layouts, while pursuing urban approaches to issues such as multimodal transportation, infill, density, connected trails and parks, and walkable neighborhoods. BACKGROUND: Canyon Gate is a major subdivision preliminary plat dividing a 24.14-acre Tract into 15 lots consisting of 3 mixed commercial and apartment residential lots zoned B-2M; 2 two-household residential lots zoned R-3; 2 apartment residential lots zoned R-5; and 4 four-household residential lots zoned R-3; 3 City park lots; and 1 private open space lot; along with dedicated street rights-of-way. The property is addressed as 980 Story Mill Road, located at the northeast corner of Story Mill Road and Bridger Road, within portions of the SW 1/4 of S32, T1 S, R5 E, P.M.M., City of Bozeman, Gallatin County, MT The Findings of Fact and Order are based on the January 31, 2023, revised application; the April 3, 2023, Planning Board recommendation; public comment received as of April 18, 2023; the staff presentation to the City Commission at the April 18, 2023, public hearing on this application; the Applicant’s presentation to the Commission at the April 18, 2023, public hearing; and Commissioners’ discussions on the Motion. After deliberations, 5 the Commission voted unanimously, 5 to 0, to approve the Canyon Gate Major Subdivision Preliminary Plat. Application materials can be found at: Canyon Gate application materials UNRESOLVED ISSUES: The Planning Board unanimously passed a Motion urging the Applicant to meet with neighbors, including neighbors of the abutting Legends at Bridger Creek Subdivision Phase II subdivision, to seek an easement over Legends Homeowners Association (HOA) open space lands to connect Canyon Gate Boulevard within the subject subdivision to Northview Street lying within the Legends II Subdivision (see Figures 6 and 7). This Northview Street connection from the eastern terminus of Canyon Gate Blvd. would provide more direct/efficient access to Bridger Drive, a principal arterial roadway. It would also facilitate travel between the two adjacent subdivision neighborhoods. The City understands that a connection from the Canyon Gate subdivision to Northview Street would optimize connectivity and would, overall, reduce travel time, reduce potential traffic conflicts on other neighborhood streets with pedestrians of all ages and abilities, and would reduce traffic congestion on those other streets. The City cannot require the Legends II HOA to grant the necessary easement to the Applicant. However, if the easement is granted, the Applicant would be obligated to extend Canyon Gate Blvd. to Northview Street to City standards. The Applicant has stated that he is willing to pay for the easement and for the road extension. The only unresolved issue is whether the HOA will grant the easement. ALTERNATIVES:None suggested. FISCAL EFFECTS: Fiscal impacts are undetermined at this time but will include increased property tax revenues from new development, along with increased costs to provide municipal services to the property. Attachments: 22264 Canyon Gate PP FOF CC rpt.pdf Report compiled on: May 2, 2023 6 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project No. 22264 Page 1 of 35 City Commission Findings of Fact and Order for the Canyon Gate Major Subdivision Preliminary Plat; Application No. 22264. Summary of the April 18, 2023, City Commission Action on the Canyon Gate Major Subdivision Preliminary Plat; Application 22264. The City Commission public hearing on the Canyon Gate Major Subdivision Preliminary Plat was held April 18, 2023 in the City Commission Chamber, 121 N. Rouse Avenue, at 6 P.M. After reviewing the application materials, staff report, and public comment; after listening to the staff presentation and responses to Commissioners’ questions; after hearing the presentation from the Applicant and responses to Commissioners’ questions; after listening to public comment, the City Commissioners moved to approve the application. After deliberations, the Commission approved the motion unanimously 5-0. Project Legal Description: Tract 7B of COS No. 2408, excepting out MDT ROW deed parcels Doc. No. 2532621 and No. 2532622, and the westerly 33.34’ of Lot 45, and all of Lots 46 and 47 of Mt. Baldy Subdivision (Plat F-10), excepting out MDT ROW deed parcels Doc No. 2532623 and No. 2532624 located in the SW ¼ of Section 32, Township 1 South, Range 5 East, P.M.M., City of Bozeman, Gallatin County, Montana. Project Location: The property is addressed as 980 Story Mill Road, Bozeman, MT, and is located at the northeast corner of Story Mill Road and Bridger Road. Development Review Committee (DRC) Finding: The DRC determined that the January 31, 2023, revised Canyon Gate Preliminary Plat Major Subdivision application conforms to standards and is sufficient for approval with conditions and code provisions. Due to a re-starting of the public notice period, the application was deemed adequate for further review on February 13, 2023. Community Development Board (acting as the Planning Board) Finding: The City’s Community Development Board (CDB), acting as the Planning Board, met on April 3, 2023, in a public meeting to discuss the merits of the proposed Canyon Gate Preliminary Plat pursuant to Section 38.240.140.A.2 of the Bozeman Municipal Code (BMC). The primary responsibility of the Planning Board in reviewing subdivision applications is to determine compliance of the application with the City’s Comprehensive Plan Growth Policies. To that end, the Board voted unanimously, 7 to 0, in favor of the following Motion: “Having reviewed and considered the application materials, public comment, and all the information presented, I hereby adopt the findings presented in the staff report for application 22264 and move to recommend approval of the Canyon Gate Major Subdivision Preliminary Plat with conditions and subject to all applicable code provisions with the caveat that the Applicant must hold a meeting with the neighbors prior to presenting the subdivision to the City Commission for action.” Report Date: April 28, 2023 Staff Contact: Susana Montana, Senior Planner Mikaela Schultz, Project Engineer Agenda Item Type: Action (Quasi-judicial) 7 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 2 of 35 EXECUTIVE SUMMARY Project Summary These findings are based on the January 31, 2023, revised application; the April 3, 2023, Planning Board recommendation; public comment received as of April 18, 2023; the staff presentation to the City Commission at the April 18, 2023, public hearing on this application; the Applicant’s presentation to the Commission at the April 18, 2023, public hearing; and Commissioners’ discussions on the Motion. The application materials are available in the Community Development viewer at Canyon Gate PP application. Written public comment letters can be accessed through the following link: Canyon Gate public comment. A video of the April 3, 2023 Planning Board public meeting can be accessed through the following link: Canyon Gate PP April 3, 2023 Planning Board mtg. A video of the City Commission public hearing of April 18, 2023, can be accessed through the following link: Canyon Gate PP April 18, 2023 City Commission mtg. On February 13, 2023, the Development Review Committee (DRC) found the Preliminary Plat application sufficient for continued review and recommended the conditions and code provisions identified in this report. The final decision for this first major subdivision preliminary plat must be made within 60 working days of its being deemed adequate for further review, or by May 1, 2023. The Community Development Board acting as the Planning Board reviewed this application on Monday, April 3, 2023, and made a recommendation to the City Commission. The City Commission reviewed their recommendation and made a final determination for conditional approval on Tuesday, April 18, 2023. Forty written public comments have been received by April 28, 2023. Unresolved Issue There is one unresolved issue related to this preliminary plat application: Internal connection to Northview Street to the east. The Planning Board unanimously passed a Motion urging the Applicant to meet with neighbors, including neighbors of the abutting Legends at Bridger Creek Subdivision Phase II subdivision, to seek an easement over Legends Homeowners Association (HOA) open space lands to connect Canyon Gate Boulevard within the subject subdivision to Northview Street lying within the Legends II Subdivision (see Figures 6 and 7). This Northview Street connection from the eastern terminus of Canyon Gate Blvd. would provide more direct/efficient access to Bridger Drive, a principal arterial roadway. It would also facilitate travel between the two adjacent subdivision neighborhoods. 8 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 3 of 35 The City understands that a connection from the Canyon Gate subdivision to Northview Street would optimize connectivity and would, overall, reduce travel time, reduce potential traffic conflicts on other neighborhood streets with pedestrians of all ages and abilities, and would reduce traffic congestion on those other streets. The City cannot require the Legends II HOA to grant the necessary easement to the Applicant. However, if the easement is granted, the Applicant would be obligated to extend Canyon Gate Blvd. to Northview Street to City standards. The Applicant has stated that he is willing to pay for the easement and for the road extension. The only unresolved issue is whether the HOA will grant the easement. Table of Contents EXECUTIVE SUMMARY ............................................................................................................................... 2 Project Summary .............................................................................................................................. 2 Unresolved Issue .............................................................................................................................. 2 Table of Contents .......................................................................................................................................... 3 SECTION 1 - MAP SERIES ........................................................................................................................... 4 SECTION 2 – REQUESTED VARIANCES .................................................................................................. 13 SECTION 3 – PRELIMINARY PLAT CONDITIONS OF APPROVAL .......................................................... 13 SECTION 4 -- CODE PROVISIONS…………………………………………………………..............................14 SECTION 5 - RECOMMENDATIONS AND FUTURE ACTIONS ................................................................. 16 SECTION 6 - STAFF ANALYSIS AND FINDINGS ...................................................................................... 17 Applicable Subdivision Review Criteria, BMC Section 38.240.150.B. ............................................. 17 SECTION 7 – FINDINGS OF FACT AND ORDER AND APPEAL PROVISIONS……………………………..28 APPENDIX A—ZONING AND GROWTH POLICY FINDINGS………………………………………………….30 APPENDIX B – NOTICING AND PUBLIC COMMENT…………………………………………………………..34 APPENDIX C – OWNERS INFORMATION AND REVIEWING STAFF………………………………………..35 FISCAL EFFECTS……………………………………………………………………………………………………35 9 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 4 of 35 SECTION 1 - MAP SERIES Figure 1. Location Map (Site in red) Figure 2. Zoning Map (Site in red) 10 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project No. 22264 Page 5 of 35 Figure 3: Existing Site Conditions Map 11 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 6 of 35 Figure 4: Open space (yellow) and Parks (green) in vicinity; Site is in red. 12 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 7 of 35 Figure 5 Community Plan 2020 Future Land Use Designation: 13 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 8 of 35 Figure 6: Preliminary Plat Summary Sheet Figure 7: Potential Canyon Gate Blvd. connection eastward to Northview Street 14 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 9 of 35 Figure 8: Preliminary Plat 15 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 10 of 35 Figure 9: Concept Development Plan [not part of this application] 16 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 11 of 35 Figure 10: Concept Green Plan [not part of this application] 17 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 12 of 35 Figure 11: Parks Plan [not part of this application] Figure 12: Flood paths pre- and post-development 18 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project No. 22264 Page 13 of 35 SECTION 2 – REQUESTED VARIANCES No variances were requested. SECTION 3 – PRELIMINARY PLAT CONDITIONS OF APPROVAL Please note that these conditions are in addition to any required code provisions identified in this report. These conditions are specific to this project. 1. BMC 38.600.170. Flood Risks. The following recommended conditions of approval address flood hazard mitigation, flood risk notification, and indemnity for the Canyon Gate subdivision project. A. Prior to issuance of public infrastructure plan approval by the City, the following must occur: i. The flood hazard evaluation (FHE) report shall be sealed and certified by a professional engineer. The certification shall include a statement that the proposed 100-yr flood hazard mitigation plan is adequate to keep the proposed development reasonably safe from flooding and does not increase the identified existing risk of 100-yr flooding to other properties. ii. The design engineer shall certify that all proposed flood hazard mitigation improvements contained in the stormwater design report and stormwater infrastructure plans and specs are adequately sized to convey the relevant 100-year flood flows identified in the certified flood hazard evaluation report. iii. Offsite drainage easements shall be secured from all property owners along the 100-yr flood conveyance path identified in the certified FHE report between the offsite point of discharge of the proposed 100-yr flood routing pipeline and the offsite point of flood flow return to Bridger Creek. Alternatively, in lieu of drainage easements, the Applicant may provide a legal analysis, acceptable to the City Attorney, verifying that those drainage easements are not required under applicable state law and local ordinance. B. Prior to final plat approval, a notification provision shall be provided on the final plat ‘Conditions of Approval’ sheet notifying future property owners, in language approved by the City Attorney, that the subdivision is subject to 100-year flood hazards identified in the FHE that are not reflected in the official FEMA Flood Insurance Study (FIS) and Flood Insurance Rate Maps (FIRMs) effective April 21, 2021. The notification provision shall also state that the future revision of the official FEMA FIS and FIRMs may place/map portions of the development into the regulatory floodplain, potentially subjecting property owners of those areas to local floodplain regulations and federal flood insurance mandates. C. Prior to final plat approval, the Applicant shall sign a hold harmless and indemnity agreement, to be prepared by the City Attorney and filed with the Gallatin County Clerk & Recorder, acknowledging the risk of proceeding with development review applications prior to updated FEMA maps and agreeing to forever hold the City harmless and defend it against claims. 19 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 14 of 35 2. 38.400.080 and 110. Sidewalk Widths. The final determination of sidewalk width on the west side of Story Mill Road will be made by the City prior to Infrastructure Plan approval and in cooperation with the Transportation Master Plan relevant to the Canyon Gate area. 3. 38.410.070. Sanitary Sewer Systems. a. Prior to engineering infrastructure approval of the Canyon Gate Subdivision, the Applicant must agree in writing to pay for the cost associated with an independent third-party analysis of the downstream sewer system serving the development. The analysis must quantify the downstream system's existing and future build-out capacity in relation to the proposed Canyon Gate development. The engineer retained to produce the independent third-party analysis must be acceptable to the City. b. If the City-required downstream sewer analysis, as identified in 3.a above, demonstrates that the subject development does not have adequate downstream sewer capacity in accordance with BMC 38.410.070.A, then identified downstream sewer improvements must be installed by the Applicant and formally accepted by the City in accordance with BMC 38.270.030. c. Prior to engineering infrastructure approval of the Canyon Gate Subdivision, if the Applicant proceeds with their proposal to divert upstream sewage from the East Gallatin River Drainage Basin (Headlands Subdivision Drainage Basin Section) as presented in their sewer report, then the Applicant must agree in writing to pay for the cost associated with an amendment to the City's on- going Wastewater Facility Planning effort. The amendment must incorporate the proposed upstream wastewater diversion, update the City's hydraulic model, and incorporate any findings in the analysis identified in 3.a above into the City's facility plan. SECTION 4 – CODE PROVISIONS 1. BMC 38.100.080 – Compliance with regulations required. The Applicant is advised that unmet code provisions, or code provisions that are not specifically listed as conditions of approval, do not, in any way, create a waiver and/or Administrative Rules of Montana or other relaxation of the lawful requirements of the Bozeman Municipal Code or State Statute. 2. 38.220.060.12. Private Utility Services. Prior to Final Plat approval, the Applicant must provide documentation of responses from private utility companies that they reviewed the subdivision plat and that the plat can be provided with service, and the locations of private utilities have been coordinated with the locations of the proposed public utilities. 3. 38.240.150. C. Standard Subdivision Conditions of Approval. Prior to Final Plat approval the Applicant shall add the following condition of approval to the Final Plat Sheet 3 Conditions of Approval section: 20 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 15 of 35 a. No crawl spaces or basements may be constructed. Sump pumps are not allowed to be connected to the sanitary sewer. Sump pumps are also not allowed to be connected to the drainage system unless capacity is designed into the drainage system to accept the pumped water. Water from sump pumps may not be discharged onto streets, such as into the curb and gutters where they may create a safety hazard for pedestrians and vehicles; b. All downstream water user facilities will not be impacted by this subdivision; c. All lot frontages are subject to a 10-foot wide front setback utility easement; d. If a utility easement is greater than the building setback required under Chapter 38 of the Bozeman Municipal Code (BMC) said easement shall apply; e. The property owners association bears all responsibility of maintenance for the storm water facilities, storm water open space lots, pedestrian open space lots, and street frontage landscaping for the perimeter streets. Maintenance responsibility must include, all vegetative ground cover, boulevard trees, and irrigation systems in the public-right-of-way boulevard strips along all external perimeter development streets. The property owners association must be responsible for levying annual assessments to provide for the maintenance, repair, and upkeep of all perimeter street frontage landscaping, storm water facilities, and all open space landscaping; and f. Lot access must be constructed to the standards set forth by the City of Bozeman Design Standards and Specifications, and per the City of Bozeman Modifications to the State Public Works Standard Specifications per BMC requirements. 4. 38.400100. Street Vision Triangle and Street Trees. Prior to infrastructure approval, the Applicant must revise their proposed landscaping plan along both Story Mill Road and Bridger Canyon Blvd. to reduce the impact of street trees on vehicular sight visibility triangle distances. The Applicant must provide an updated landscaping plan to the City’s Transportation Division for review and approval prior to final plat submittal. 5. 38.420. Parks Resources. a. Add a note to the final plat which states: “Per 38.350.060 Bozeman Unified Development Code, fences located along or in the rear or side setback of properties adjoining any City linear park must have a maximum height of four feet.” b. The developer must install signage at the perimeter of any private parking lot that is adjacent to a City park stating that snow storage is not allowed within the public park. The Applicant must add a note to the final plat indicating that snow removal from park sidewalks that serve as primary egress from private lots is the responsibility of the Property Owners Association. The Applicant must provide an exhibit of snow removal responsibility within the Park Master Plan. c. A preconstruction meeting with the Parks Division is required prior to any site work. Applicants must provide the most recent park plans and request a meeting at least 30 days prior to the commencement of parkland construction. 21 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 16 of 35 d. Prior to the City’s final acceptance of public park improvements or public street improvements, the Applicant shall ensure that the City obtains ownership, free from any defects in title as determined by the City, of any irrigation water rights appurtenant to those City parks or City streets. e. If an exempt well is proposed to provide irrigation water supply for the development, a written determination from DNRC shall be provided prior to final site plan approval indicating that the proposed exempt water use is allowable under applicable State law governing the use of exempt wells. f. An irrigation system that is privately owned and maintained shall be entirely separate and discrete from an irrigation system that is City owned and maintained. g. The Applicant must include this note on the final plat: “Private utilities are not allowed within parkland unless otherwise approved by the Director of Parks and Recreation.” SECTION 5 - RECOMMENDATIONS AND FUTURE ACTIONS Analysis and resulting recommendations are based on the entirety of the application materials, municipal codes, standards, plans, public comment, and all other materials available during the review period. Collectively, this information is the record of the review. The analysis in this report is a summary of the completed review. Development Review Committee (DRC) Finding: The January 31, 2023, revised Canyon Gate Major Subdivision Preliminary Plat application conforms to standards and is sufficient for approval with conditions and code provisions. Due to a re-starting of the public notice period, the application was deemed adequate for further review on February 13, 2023. Community Development Board (as the Planning Board) Finding: The City’s Community Development Board (CDB), acting as the Planning Board, met on April 3, 2023, in a public meeting to discuss the merits of the proposed Canyon Gate Preliminary Plat pursuant to Section 38.240.140.A.2 of the Bozeman Municipal Code (BMC). The primary responsibility of the Planning Board in reviewing subdivision applications is to determine compliance of the application with the City’s Comprehensive Plan Growth Policies. To that end, the Board voted unanimously, 7 to 0, in favor of the following Motion: “Having reviewed and considered the application materials, public comment, and all the information presented, I hereby adopt the findings presented in the staff report for application 22264 and move to recommend approval of the Canyon Gate Major Subdivision Preliminary Plat with conditions and subject to all applicable code provisions with the caveat that the Applicant must hold a meeting with the neighbors prior to presenting the subdivision to the City Commission for action.” 22 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 17 of 35 City Commission Determination. The City Commission’s public hearing on the Canyon Gate Major Subdivision Preliminary Plat was held on April 18, 2023, in the City Commission Chamber, 121 N. Rouse Avenue, at 6 P.M. The Commission met to consider the Preliminary Plat application for the subdivision of a 24.14-acre property zoned B-2M, R-3, R-5, and REMU. This Preliminary Plat would create a 5-Block, 15-lot subdivision consisting of 11 buildable lots, 1 open space lot, and 3 City park lots as well as public roads. Off- site improvements include underground flood management pipes leading to Bridger Creek to serve the development and could include an extension of Canyon Gate Boulevard road eastward to connect to Northview Street (see the Unresolved Issue section above). Six members of the public spoke at the hearing. Forty written comments had been received prior to the Commission meeting and the Commissioners considered those comments. After reviewing the application materials, staff report, and public comment; after listening to the staff presentation and responses to comments; after hearing the presentation from the Applicant and responses to comments; after listening to public comment, the City Commissioners began their deliberations on the application by making a Motion. Commissioner Madgic made the Motion noted below, which was seconded by Commissioner Coburn. In their discussion, the Commissioners agreed that the application met the criteria established by the Bozeman Municipal Code and State Statutes and positively addressed Community Plan Growth Policies. Therefore, the application was approved with the conditions and code provisions outlined in these findings. The Motion was as follows: “Having reviewed and considered the application materials, public comment, Planning Board recommendation, and all the information presented, I hereby adopt the findings presented in the staff report for Application 22264 and move to approve the Canyon Gate Major Subdivision Preliminary Plat with conditions and subject to all applicable code provisions.” This Motion passed unanimously, 5 to 0. SECTION 6 - STAFF ANALYSIS AND FINDINGS Applicable Subdivision Review Criteria, BMC Section 38.240.150.B. In considering applications for subdivision approval under this title, the Community Development Board, other relevant advisory boards, and the City Commission shall consider the following criteria: 1. Compliance with the survey requirements of Part 4 of the Montana Subdivision and Platting Act. The preliminary plat has been prepared in accordance with the surveying and monumentation requirements of the Montana Subdivision and Platting Act by a Professional Engineer registered in the State of Montana. As outlined in Code Provision Number 1, the Final Plat must comply with State statute, Administrative Rules of Montana, and the Bozeman Municipal Code (BMC). A conditions of approval sheet must be included with the Final Plat and updated with any additional required notations as required by Preliminary Plat conditions or code provisions. 23 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 18 of 35 2. Compliance with the local subdivision regulations provided for in Part 5 of the Montana Subdivision and Platting Act and review processes per BMC 38.240.150. a. The Final Plat must comply with the standards identified and referenced in the Bozeman Municipal Code (BMC). b. The Final Plat must comply with the standards of the BMC regarding streets, access and other Article 4 standards. c. The Applicant is advised in Code Provision No. 1 that unmet code provisions, or code provisions that are not specifically listed as a condition of approval, do not, in any way, create a waiver or other relaxation of the lawful requirements of the Bozeman Municipal Code (BMC) or State law. Sections 3 and 4 of this report identify conditions and code provision corrections necessary to meet all municipal regulatory standards. Therefore, it is expected that upon satisfaction of all conditions and code corrections, the subdivision will comply with local subdivision regulations. City Commission Findings: Part 5 of the Montana Subdivision and Platting Act authorizes municipalities to adopt local regulations governing subdivisions. The City of Bozeman has adopted local regulations in accordance with state law. As described more fully below, the Commission found that the Canyon Gate preliminary plat application complies with local regulations found in Bozeman’s Unified Development Code, Chapter 38 BMC. The application, when satisfying the Code Provisions noted above, will comply with BMC code requirements without requesting any variances from code standards. The Commission specifically noted that public health, safety, and welfare were adequately protected through the application’s proposal to pipe floodwater through the site and discharge it into its historic channel back to Bridger Creek, which may better protect other nearby properties from flooding. Additionally, the Commission noted that planned improvements to the intersection of Story Mill and Bridger Canyon would mitigate concerns regarding current traffic in the area and traffic generated by this development. The criterion is met. 3. Compliance with the local subdivision review procedures provided for in Part 6 of the Montana Subdivision and Platting Act. The Applicant requested subdivision review under the terms of 76-3-616 and BMC 38.240.100. The application was initially received on August 24, 2022, and was deemed inadequate for further review. Revised application materials were received on December 21, 2022, and January 31, 2023. The Development Review Committee (DRC) deemed the application adequate for review on February 13, 2023. A public meeting was held by the Community Development Board, acting as the Planning Board, on April 3, 2023, and a public hearing with the City Commission was held on April 18, 2023. The public meeting before the Community Development Board and the public hearing before the City Commission were properly noticed as required by the BMC. Based on the recommendation of the Development Review Committee (DRC) and other applicable review agencies, as well as any public testimony received on the matter by the date of the Planning Board meeting, the Planning Board is required to, and did forward a recommendation via a staff report to the City Commission for their consideration to make the final decision on the preliminary plat application. 24 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 19 of 35 The final decision for this first major subdivision preliminary plat must be made within 60 working days of its being deemed adequate for further review, or by May 1, 2023, and the City Commission made its decision on April 18, 2023. Pursuant to BMC 38.240.100, the City Commission was to approve, conditionally approve or deny a major subdivision preliminary plat application within 60 days from the date the application was deemed “adequate for further review” by the City, unless there is a written extension from the developer, not to exceed one year. Public notice for this application was given as described in Appendix B beginning on February 28, 2023. A second public notice period began on March 17, 2023, and ended on April 18, 2023. Public comment was requested at the April 18, 2023, Commission hearing and six persons provided comment on the proposed subdivision. As of the April 28, 2023, date of this staff report, no new public comment has been received. On March 28, 2023, a staff report for the Canyon Gate Major Subdivision Preliminary Plat (PP) was forwarded to the Community Development Board with a recommendation for conditional approval. On April 3, 2023, the Board, acting as the Planning Board, recommended approval of the PP with conditions and code provisions. They also recommended that the Applicant meets with neighbors to discuss unresolved issues prior to the April 18, 2023, City Commission meeting. City Commission Findings: The Commission concurred with the staff’s evaluation that the criteria for approval are met with conditions and code provisions. Compliance with Chapter 38, BMC, and other relevant regulations. Community Development staff and the City’s Development Review Committee (DRC) reviewed the preliminary plat application against all applicable regulations of the BMC as well as provisions of the Canyon Gate Annexation Agreement Covenants, Conditions and Restrictions (CC&Rs) document. Based on the review by the DRC and the Department of Community Development, all applicable regulations are met if all conditions of approval and BMC code provisions are satisfied. The Conditions of Approval and Code Provisions approved by the City Commission are included in Sections 3 and 4 above. All municipal water and sewer facilities will conform to the regulations outlined by the Montana Department of Environmental Quality and the requirements of the City of Bozeman Design Standards and Specifications Policy and Public Works Standard Specifications. No variances were requested by the Applicant. 1. Documentation of Compliance with BMC 38.220.060 to identify impacts to surrounding assets. A subdivision pre-application plan review was completed by the Development Review Committee (DRC) on July 7, 2022. No variances were requested. Concurrent construction of public infrastructure with 25 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 20 of 35 development of individual lots was requested by the Applicant. Such improvements must meet the standards of an approved Infrastructure Plan. This Preliminary Plat must address the review criteria of State Planning Law Section 76-3-608 (3)(a) and the application must clearly identify potential impacts of the subdivision on agriculture, agricultural water user facilities, local services, the natural environment, wildlife, wildlife habitat and public health and safety. Those parameters are addressed in the following Section 38.220.060.A, subsections 1 through 19. Staff offers the following summary comments on the supplemental information documents required by BMC 38.220.060. 38.220.060. A.1 – Surface water There are no streams, irrigation ditches, or wetlands on the property. There are no alterations to water bodies proposed or required for the project. Due to concerns about the accuracy and age of the existing floodplain mapping of nearby Bridger Creek, the City of Bozeman Floodplain Administrator recommended that a Flood Hazard Evaluation be conducted as noted in Condition of Approval No. 1. The evaluation found that a 100- year flood of Bridger Creek inundates portions of the adjacent Legends Subdivision and of the proposed Canyon Gate Subdivision, even though it is not identified by existing FEMA floodplain mapping. The historical flood path is shown on plan Sheet C0.3 and Figure 12 above. 38.220.060. A.2 - Floodplain The mapped special flood hazard areas for Bridger Creek above Story Mill Road have not been updated by FEMA since its original detailed flood insurance study was completed in 1982. Substantial natural change, much of which is related to beaver activity, has occurred to the creek channel since that time. Significant manmade alterations near the mapped special flood hazard areas for Bridger Creek have also taken place over the ensuing 40+ years; notably, residential subdivision development. Despite these natural and manmade changes, FEMA’s currently effective FIRMs still only reflect the Bridger Creek flood hazards that were identified and mapped in the early 1980s. Canyon Gate Flood Hazard Evaluation The Canyon Gate project was required to prepare a flood hazard evaluation (FHE) to determine the nature of the existing flood hazard at the subject property. This is because the effective flood study and FIRMs for Bridger Creek are outdated and can no longer be confidently relied upon for flood risk identification and mitigation purposes. The FHE utilizes accurate and contemporary topographic LiDAR data along with advanced 2-D hydraulic modeling techniques to simulate the existing 100-year flood hazard for Bridger Creek with a much higher level of confidence. The FHE can be utilized to identify the existing flood risk at the subject property and flood mitigation infrastructure solutions intended to keep the development reasonably safe from flooding and ensure that flood risk to other properties is not increased as a result of the development. These policy concepts of risk identification, mitigation, and prevention of adverse effects to others are bedrock principles enshrined in the federal NFIP, state floodway and floodplain management act, and local floodplain regulations. 26 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 21 of 35 Upcoming FEMA Restudy and Remapping of Bridger Creek Special Flood Hazard Area In personal communications held December 1, 2022, with the Water Operations Bureau Chief at MT DNRC (responsible for overseeing the state’s floodplain mapping program, which occurs cooperatively with FEMA), the City learned that flood hazards associated with Bridger Creek are scheduled to be restudied and remapped by FEMA beginning 2025. Upon completion of the restudy effort, new FIRMs will be produced and become effective for regulatory purposes. In the intervening period, the FHE will be utilized for flood risk identification, mitigation, and to ensure no adverse effects to others as related to the subject development. The City advises the Applicant that the FHE has not been completed to FEMA standards, so the Canyon Gate developer takes on risk that the upcoming FEMA study could conclude that flood risk persists despite mitigation measures installed to mitigate the flood risks identified in the FHE. Those flood risks, once officially effective for regulatory purposes, may impact the future development potential of the subject property, increase regulatory compliance costs, and/or mandate future property owners of the development to purchase flood insurance. Please see Condition of Approval No. 1. 38.220.060. A.3 – Groundwater. Groundwater monitoring was conducted as part of the geotechnical investigation. The results of the groundwater monitoring are provided in the Geotechnical Report. Groundwater monitoring was conducted at 8 monitoring wells from March 2022 to May 2022. The seasonal high groundwater was found to range in depth from 6.44’ to greater than 13 feet. Groundwater is flowing to the west and is assumed to discharge to the East Gallatin River about ½ mile to the west. The range of groundwater depth encountered was largely due to the rolling topography of the site with some wells located at lower or higher relative locations. After site grading, high groundwater will more consistently be about 10’ below the surface. The significant depth of groundwater will protect it from degradation. Additionally, stormwater will be treated and infiltrated back into the ground to maintain the existing groundwater hydrology. Lastly, City sewers will collect wastewater from the property. Code Provision No. 3.a. prohibits crawl spaces or basements within any buildings within this subdivision without the review and approval of a professional engineer licensed to practice in Montana and requires such notice to be placed in the Conditions of Approval Sheet of the final plat. 38.220.060. A.4 - Geology, Soils, and Slopes. A geotechnical investigation was conducted on the property. The Geotechnical Report did not find any geologic hazards on the property. The report found that “site conditions pose little risk to construction associated with the planned development.” Soils are suitable for conventional foundation and site development construction. Soil properties, borehole logs, and groundwater monitoring results are provided in the report. Site grading is expected to be typical of urban development and large cuts and fills are not proposed. In general, the rolling topography will be smoothed out to better accommodate roadway and building site grades, and the site will be slightly elevated to mitigate concerns from flooding in the adjacent Legends subdivision. 38.220.060. A.5 – Vegetation. The site is currently occupied by pasture grass and some groves of mature native trees. The existing tree locations are shown on plan sheet C0.3 and Figure 3 above. The property has been historically farmed, but is presently fallow and is surrounded by developed property. No critical plant 27 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 22 of 35 communities requiring protective measures exist on the property. A Weed Management Plan has been submitted to the Gallatin County Weed Board and a copy of the plan has been submitted with this application. 38.220.060. A.6 – Wildlife. The Canyon Gate Site is surrounded by urban development. There is a wetlands wildlife corridor north of the Site at Bridger Creek. Chapter 5 of the 2020 Community Plan states that “lands within the designated urban area are typically utilized for development purposes and will have a minor impact on wildlife habitat. […] The habitat needs of larger and/or predatory wildlife species such as deer, moose, bears, coyotes, or similar species will not be met within urban density development and will likely conflict with people. Therefore, these types of animals are found to be undesirable within the City boundaries.” The parkland and open space in the proposed Canyon Gate development may inevitably be used by wildlife of all types. The east-west “green corridor” within the Site will likely connect the community to the surrounding parks and may continue to serve as a path for animal migration. No endangered species or species of concern use the area affected by the proposed subdivision, and there are no significant wildlife areas on the site to identify. The Site is not adjacent to public lands or known hunting or fishing areas; however, the subdivision will improve public access by connecting truncated streets, trails, and sidewalks to nearby public parks and recreational areas (see Figure 4). The proposed 3.06-acre public parks (2.33-acres) and open space (0.73-acre) areas within the development are designed with an extensive trail system to safely connect to public lands throughout the surrounding Story Mill District. 38.220.060. A.7 – Agriculture. The property has been historically farmed, but is presently fallow and is surrounded by developed property. The Site is currently occupied by pasture grass and mature trees and is not actively used for agriculture. 38.220.060. A.8 - Agricultural Water User Facilities. There are no agricultural water user facilities on the property. 38.220.060. A.9 - Water and Sewer. Engineering Reports for Water and Sewer are provided in the Documents application. Sanitary Sewer Systems may need upgrading to service the subdivision as is noted in Condition of Approval 3 a, b, and c: a. Prior to engineering infrastructure approval of the Canyon Gate Subdivision, the Applicant must agree in writing to pay for the cost associated with an independent third-party analysis of the downstream sewer system serving the development. The analysis must quantify the downstream system's existing and future build-out capacity in relation to the proposed Canyon Gate development. The engineer retained to produce the independent third-party analysis must be acceptable to the City. b. If the City-required downstream sewer analysis, as identified in Condition of Approval 3.a above, demonstrates that the subject development does not have adequate downstream sewer capacity in accordance with BMC 38.410.070 A, then identified downstream sewer improvements must be installed by the Applicant and formally accepted by the City in accordance with BMC 38.270.030. 28 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 23 of 35 c. Prior to engineering infrastructure approval of the Canyon Gate Subdivision, if the Applicant proceeds with their proposal to divert upstream sewage from the East Gallatin River Drainage Basin (Headlands Subdivision Drainage Basin Section) as presented in their sewer report, then the Applicant must agree in writing to pay for the cost associated with an amendment to the City's on- going Wastewater Facility Planning effort. The amendment must incorporate the proposed upstream wastewater diversion, update the City's hydraulic model, and incorporate any findings in the analysis identified above into the City's facility plan. New water and sewer mains will be extended in the proposed streets to serve the lots within the Canyon Gate subdivision. The proposed parks and open space will be irrigated with exempt well(s) and irrigation requirements are within the regulatory limits of an exempt water right. A confirmation letter from the DNRC is included in the Documents. Water rights for the subdivision lots will be provided by cash-in-lieu of water rights (CILWR) payments. Due to the large lots proposed, all future lot development will undergo a Site Plan review. The CILWR will be determined and paid upon the plan review and development of each lot. Concurrent construction of subdivision infrastructure and site development is proposed for the residentially zoned lots, to enable site plan and building permit reviews to proceed for the initial projects while subdivision infrastructure is being completed, inspected and accepted by the City. 38.220.060. A.10 - Stormwater Management. Stormwater runoff will be mitigated for subdivision streets, parks, and open spaces. On-site stormwater mitigation will be provided for the development of each lot at the time of lot development. Flood conveyance piping is also described in the Storm Drainage Engineer’s Report. 38.220.060. A.11 - Streets, Roads, and Alleys. Canyon Gate is accessed from Story Mill Road and extensions of Spirit Crossing Lane and Maiden Spirit Street from the Legends Subdivision. A driveway access to the southernmost Block 5, Lot 1 from Bridger Drive (Highway 86) was requested by the Applicant and may be granted by the Montana Department of Transportation (MDOT). A new north-south Lucy Lane is provided on the east side of the subdivision. The City is currently improving the intersection of Bridger Drive and Story Mill Road and is installing a traffic signal there. The Canyon Gate subdivision improvements consist of dedicating rights-of-way (ROW) and widening Story Mill Road to a City Collector standard from Bridger Road to Boylan Road. Interior streets will be constructed to a 35-foot-wide local street standard within a 60-foot-wide ROW. Proposed street sections are provided on plan sheet C4.1. Bicycle lanes are provided on Story Mill Road. Ten-foot-wide shared-use pathways will be provided on the east side of Story Mill Road north of Bridger Road. Per Condition No. 2, the Applicant may provide an adequate shared use path on the west side of Story Mill Road north of Bridger Road in accordance with the City’s Transportation Plan, to the extent of the Site’s frontage and provided landowners thereon and the County grant permissions. These pathways in conjunction with the internal park pathways will provide enhanced multi-modal connectivity between existing and proposed community parks and neighborhoods. All local streets proposed in the Canyon Gate subdivision include City Standard sidewalks on both sides of the street. Lot 1 of Block 5, at the intersection of Story Mill Road and Bridger Road, is proposed to be directly accessed from both Bridger Road and Story Mill Road if permission is granted for a driveway access point from Bridger Road. This lot is 29 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 24 of 35 proposed as a large, mixed-use lot. Additionally, shared access for Lots 1 and 2 of Block 1 is proposed from Story Mill Road. The suitability of these accesses is addressed in the Traffic Impact Study. Only minor modifications to existing streets are required. As mentioned previously, Story Mill Road will be improved to City Collector Standards. An existing approach continuing Weeping Rock Lane south of Boylan Road will be removed since this street is not required to be extended. If granted permission by MDOT and the City, an existing approach on Bridger Road will be relocated to the west to serve Lot 1 of Block 5. Occasional street closures will be required during utility and street construction. All streets will be paved and gravel alleys are not proposed. Proposed streets will be City owned and maintained. Stormwater collection and mitigation will be provided for new subdivision streets and Story Mill Road. Stormwater will be treated and infiltrated in a sub-surface system located on the common Open Space Lot A in Block 1. The property owner's association will maintain the stormwater mitigation system serving the City streets located on the common Open Space Lot A in Block 1. The Traffic Impact Study (TIS) describes the traffic generation, capacity analysis and level of service, and any traffic calming required as mitigation for potential adverse traffic impacts to neighborhoods. The TIS shows that all intersections and approaches will operate at a level of service “C” or better. Concurrent construction of subdivision infrastructure and site development is proposed for the residentially- zoned lots to enable site plan and building permit reviews to proceed for the initial projects while subdivision infrastructure is being completed. The Concurrent Construction Plan must address compliance with BMC Section 38.270 and requires approval of an Infrastructure Plan. 38.220.060. A.12 – Non-Municipal Utilities. The subdivision plat has been provided to NorthWestern Energy, Yellowstone Fiber, Spectrum, and Century Link for review. To date, no response has been provided. Code Provision No. 2 requires proof from the private utilities that they can and will serve the subdivision. Canyon Gate is surrounded by existing development with multiple points of service from existing utilities. Non-municipal utilities will be located in 10-foot-wide wide utility easements running along all subdivision streets and lot frontages. To accommodate the widening of Story Mill Road, the existing overhead power line running along this street is proposed to be relocated underground in the new utility easement provided on the preliminary plat. The proposed utility easements outside of the City rights-of-way will reduce conflicts between municipal and non-municipal utilities. 38.220.060. A.13 - Land Use. Canyon Gate Subdivision consists of 24.14 acres to be subdivided into 11 buildable lots, 3 parks, an open space lot, and street rights-of-way. The property has been annexed into the City of Bozeman and has four zoning designations: B-2M, REMU, R-5, and R-3. Three lots are proposed within the western B-2M zoning for mixed-use (residential above commercial space). Six lots adjacent to existing residential development are proposed within the R-3 zoning for medium-density residential. Two lots in the center of the property within the R-5 zoning are proposed for higher-density residential development. A REMU lot, designated as Public Park A, is situated between the B-2M zoned mixed-use and neighboring residential areas. An Open Space A lot is located north of the mixed-use B-2M 30 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 25 of 35 lots providing a buffer between residential lots to the north. The Open Space A lot will have underground stormwater drainage facilities and an at-grade dog park and community garden area. Two lots, Public Park B and C, provide amenities for project residents and neighbors alike. The park lots provide the subdivision and community with valuable trail connections, public gathering, and recreational spaces. The Annexation Agreement CC&R document by the Applicant further delineates land uses within the subdivision and development therein by establishing height and bulk limitations and the provision of income- restricted housing as follows: [Canyon Gate Declaration of Covenants, Conditions and Restrictions, recorded in Document No. 2774188 by the Gallatin County Clerk and Recorder on April 28, 2022.] It is noted that Provision 2 of the CC&R document was amended by the City Commission on April 18, 2023 to read: “Provision of Income Restricted Housing. In order to advance the goals of the Bozeman Community Plan 2020, Declarant agrees to provide in perpetuity within the R-5 zoning area within the Canyon Gate Annexation Property, a minimum of 60 housing units that are priced for lease or purchase no greater than 120% of Area Median Income at an interest rate of 3.5% per the matrix set forth in Exhibit B. As determined by the City, a one person household includes studios, two person household includes one bedroom units, a three person household includes two bedroom units, and four person household includes three bedroom units. The lease or sale (or combination 31 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 26 of 35 thereof) and management of the income restricted housing units shall be administered by a community land trust or other entity acceptable to the City. Declarant shall begin construction of the income restricted housing prior to any vertical construction within the B2M zoning district and shall complete all 60 units within 24 months after commencing construction.” The revision to Provision 2 clarifies that the 60 below-market rate dwelling units shall remain at the same affordability rate in perpetuity and the units may be sold or rented at that rate in perpetuity. These provisions will be reflected in any development within this subdivision. 38.220.060. A.14 - Parks and Recreation Facilities. According to the Applicant: “The Canyon Gate Park Master Plan was developed to create a pedestrian circulation pattern that invites residents and neighbors to move into and throughout the development. This is accomplished through a linear park system that runs east-west through the center of the Site to connect parkland in adjacent neighborhoods to the “M” Trail, Story Mill Spur Trail, and Story Mill Community Park. The street layout was designed to minimize street crossings along the linear park and most of the neighborhood will have one or fewer crossings required to reach the major park amenities. The park system will have a playground, picnic shelter, seating, art, and a 10’ concrete path. The linear park system is supplemented by a planned north-south pedestrian corridor through the B-2M zoned parcels that connect the linear park trail to an open space parcel with a dog park and community garden that will have a public access easement. The project proposes 15.68 acres of residential area with 3.08 acres of public parks and open space. The project will provide a minimum of $256,367 in Improvement-In-Lieu. The subdivision dedicates parks or improvements-in-lieu up to 12 dwelling units/acre for all lots.” Code Provision No 5 identifies requirements for the development and maintenance of park assets and facilities within this subdivision. 38.220.060. A.15 - Neighborhood Center Plan. The focal point of the subdivision is the linear park running east-west and south through the center of the development (see Figures 9 through 11). This park is adjacent to neighborhood commercial development and contains several park amenities. The park amenities include an extensive network of trails, a playground, and a picnic pavilion. This “green corridor” connects the residences in the Canyon Gate development to the adjacent neighborhoods. The parks’ district-wide connectivity lends itself to forming a neighborhood center. It is likely that neighborhood-serving commercial establishments within the B-2M zoned properties, such as a coffee shop or convenience store, will also serve as a neighborhood gathering space. 38.220.060. A.16 - Lighting Plan. All subdivision street lighting is proposed within the street right-of-way in accordance with the City’s lighting design standards. Street lighting will be provided for Story Mill Road and internal streets. Lighting is also proposed where pedestrian pathways cross streets in accordance with City 32 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 27 of 35 standards. Any lighting associated with future lot development will be reviewed for conformance with City standards at the time of site plan application for individual lots. 38.220.060. A.17 – Miscellaneous a. Public Lands. The Site is not adjacent to public lands, hunting, or fishing areas; however, the subdivision will increase public access to the Site and the surrounding public lands by connecting truncated streets, trails, and sidewalks. The project will also include 3.06 acres of public parks and open space. b. Hazards. Future development would mitigate potential hazards associated with floodwater flows as described in Condition of Approval No. 1. The Traffic Impact Study identifies potential hazards associated with delays in emergency service providers reaching the Site when there is a train on the train tracks at the Rouse, Griffin or L Street crossings. If and when this conflict exists, the Bozeman Fire Department Dispatch software will automatically route the service call to the Central Valley Fire Station at Spring Hill Road to respond to the call. c. Wildlands-Urban Interface. The Site is within the Wildlands-Urban Interface (WUI) and lists the Site and nearby areas as having low-priority hazards. 38.220.060. A.19 - Affordable Housing. The Applicant states: “The owner recognizes the housing crisis in our valley and the lack of obtainable, workforce housing. In response, the owner has voluntarily offered to provide a minimum of 60 housing units within the R-5 zoning that are priced no greater than 120% of Area Median Income (AMI) at an interest rate of 3.5%. The management of the income-restricted housing units shall be administered by a community land trust or other entity acceptable to the City. Construction of the income-restricted housing will begin before the vertical construction within the B-2M zoning district and will complete all 60 units within 24 months after commencing construction. In addition to the effort above, the owner is proposing to develop a range of housing types that will provide variety in housing prices within the Bozeman housing market to better serve the needs of residents.” As noted in the revised CC&R document, the affordability AMI level will remain on those units in perpetuity whether they are sold or rented. City Commission Findings: The City Commission agreed with staff analysis, as well as the proposed conditions of approval and noted code provisions, in finding that the criteria is met. The Commission made the following specific findings related to this criterion:  The applicant’s flood hazard mitigation strategy is appropriate to preserve public health, welfare, and safety by conveying flood waters through a pipe under the development. The proposal may also benefit neighboring properties by directing flood waters more directly back to Bridger Creek.  The application includes the provision of below-market-rate, missing middle, workforce housing, which is key to advancing Bozeman’s growth goals as articulated in the Bozeman Community Plan 2020.  The proposed land use complies with zoning and with the future growth map adopted by the City, particularly the density and diversity of housing types, as well as its location on the site (locating less dense housing near neighboring low-density developments and locating the higher density buildings 33 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 28 of 35 interior to the Site), promoting connectivity within the site and surrounding neighborhoods. The opportunity for a commercial node in the B-2M portion of the site and its proximity to arterial and collector streets also supports themes and goals of the growth policy. All of the proposed subdivision meets the criteria for development in each of the zoning districts on the site.  Acceptance of cash in lieu of parkland is appropriate and consistent with requirements in the code because of the development’s close proximity to two of Bozeman’s biggest and best parks. Funds received can be used to improve recreational assets already in existence.  Although more traffic will accompany higher-density development in this neighborhood, planned street improvements to the intersection of Story Mill and Bridger Canyon will enhance the efficient movement of traffic. On-site businesses in the B-2M zoning district may reduce traffic by offering nearby residents a place to satisfy basic needs through alternative transportation means.  Although some mature trees on site will be removed in the development process, the benefits of the development are an acceptable offset for the loss of the trees. The proposal to remove trees and the proposed landscape plan are consistent with all code requirements. SECTION 7 –FINDINGS OF FACT AND ORDER AND APPEAL PROVISIONS A. PURSUANT to Chapter 38, Article 3, BMC, and other applicable sections of Chapter 38, BMC, public notice was given, opportunity to submit comment was provided to affected parties, and a review of the preliminary plat described in these findings of fact was conducted. B. The purposes of the preliminary plat review were to consider all relevant evidence relating to public health, safety, welfare, and the other purposes of Chapter 38, BMC; to evaluate the proposal against the criteria and standards of Chapter 38 BMC; and to determine whether the preliminary plat should be approved, conditionally approved, or denied. C. The matter of this preliminary plat application was considered by the City Commission at a public hearing on April 18, 2023, at which time the Department of Community Development Staff reviewed the project, submitted and summarized recommended conditions of approval, and summarized the public comment submitted to the City prior to the public hearing. D. The Applicant acknowledged understanding and agreement with the recommended conditions of approval and code provisions. E. The City Commission requested public comment at the public hearing on April 18, 2023, and eight persons offered comment. F. It appeared to the City Commission that all parties and the public wishing to examine the proposed preliminary plat and offer comment were given the opportunity to do so. After receiving the recommendation of the relevant advisory bodies established by Article 38.210, BMC, and considering all matters of record presented with the application and during the public comment period defined by Chapter 38, BMC, the City Commission has found that the proposed preliminary plat complies with the requirements of the Bozeman Municipal Code with conditions of approval as recommended by staff. Therefore, being fully advised of all 34 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 29 of 35 matters having come before them regarding this application, the City Commission makes the following decision. G. For the reasons set forth above, the preliminary plat meets the criteria of Chapter 38, BMC, and is therefore approved, subject to the conditions listed in Section 3 of this report and the correction of any elements not in conformance with the standards of the Chapter including those identified in Section 4 of this report. The evidence contained in the submittal materials, advisory body review, public testimony, and this report, justify the conditions imposed on this development to ensure that the subdivision final plat and subsequent construction comply with all applicable regulations, preserve public health, welfare and safety, and all applicable criteria of Chapter 38, BMC. H. This City Commission decision may be appealed by bringing an action in the Eighteenth District Court of Gallatin County, within 30 days after the adoption of this document by the City Commission, by following the procedures of Section 76-3-625, MCA. Per BMC 38.240.160.A.2, the preliminary approval of this subdivision shall be effective for two (2) years from the date of the signed Findings of Fact and Order approval. At the end of this period the City may, at the request of the subdivider, grant an extension to its approval for a period of mutually agreed upon time. DATED this ________ day of _____________________, 2023 BOZEMAN CITY COMMISSION _________________________________ CYNTHIA L. ANDRUS Mayor ATTEST: 35 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 30 of 35 _______________________________ Mike Maas City Clerk APPROVED AS TO FORM: _________________________________ GREG SULLIVAN City Attorney APPENDIX A – PROJECT SITE ZONING AND GROWTH POLICY FINDINGS Zoning Designation and Land Uses: The subject property was given three zoning designations: B-2M, Community Business District—Mixed; R- 3, Residential Medium Density District; and R-5, Residential Mixed Use High-Density District. The intent of the B-2M district is to function as a vibrant mixed-use district that accommodates substantial growth and enhances the character of the City. The intent of the R-3 district is to provide for the development of one- to five-household residential structures near service facilities within the City. The intent of the R-5 district is to provide for high-density residential development through a variety of housing types within the City with associated service functions. The 24.14-acre Site, having the three zoning designations, combined, would meet the intent of each of the three zoning districts by providing neighborhood-serving commercial activities, a variety of housing types with a variety of densities within the 11 buildable lots. Furthermore, the annexation agreement (Project No. 21337) stipulates where the various types and densities of housing are to be situated within the subdivision. Adopted Growth Policy Designation: The Site lies within two Future Land Use Map (FLUM) designation areas. The westernmost B-2M zoned lands lie within a Community Commercial Mixed Use designation and the remaining lands lie within a 36 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 31 of 35 Residential Mixed Use designation. Table 4 of the Bozeman Community Plan 2020, excerpted above, shows the correlation between the Site’s future land use map designations and implementing zoning districts. The Site’s zoning designations are implementing zones for the two respective FLUM designations. This proposed subdivision is well-suited to implement the two FLUM designations by providing lots that will support a variety of housing types including duplex, fourplex, housing over commercial space, and apartment multi-household units in an existing developed residential area that is predominantly detached single- household units. The townhouse and multi-household lots will support construction of “missing middle” housing which is contemplated throughout the Bozeman Community Plan 2020 and is defined by the Plan as: “Missing middle housing is housing constructed in buildings which are of a size and design compatible in scale and form with detached individual homes. Example housing types include duplex, triplex, live-work, cottage housing, group living, row houses, townhouses, horizontally layered apartments, flats, and other similar configurations.” The BMC now has the following definition for Missing Middle housing: “Missing middle housing. A residential building containing two, three, or four dwellings in any configuration, as well as townhomes and cottage housing.” The growth policy encourages development to be walkable, which is defined in the Plan as: Walkable. A walkable area has: • A center, whether it’s a main street or a public space. • People: Enough people for businesses to flourish and for public transit to run frequently. • Parks and public space: Functional and pleasant public places to gather and play. • Pedestrian design: Buildings are close to the street, parking lots are relegated to the back. • Schools and workplaces: Close enough that walking to and from home to these destinations is realistic. • Complete streets: Streets designed for bicyclists, pedestrians, and transit. 37 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 32 of 35 Figure 13: Concept Plan [not part of this application] In the proposed conceptual development plan shown above, the New Canyon Gate Blvd, the extension of Maiden Spirit St. through the Site and the Public Parks A, B and C “green corridor” through the Site provide the “Center” of the subdivision. Currently, there is not enough population density to support Streamline transit to the neighborhood. The closest bus stop is the Blue Line at Walmart or the Brown Line at Rouse and Tamarack streets. There are trails and sidewalks situated throughout the Site to make for safe and effective pedestrian and bike travel within the Site. The Site is walkable but travel outside the Site will require vehicular or bicycle travel. The Site has a Walk Score of 30 (car dependent), a Transit score of 0 (no transit services), and a Bike Score of 43 (somewhat bikeable). The average walk score for the city as a whole is 48 out of 100. These values are provided by Walk Score, a private organization which presents information on real estate and transportation through walkscore.com. The algorithm which produces these numbers is proprietary. A score is not an indication of safety or continuity of services or routes. Scores are influenced by proximity of housing, transit, and services and expected ability, as determined by the algorithm, to meet basic needs without using a car. This Site is an undeveloped former farmland, surrounded by existing residential uses. Complimentary uses such as schools, parks, grocery stores, and employment opportunities are distant and require vehicle travel. There are no adopted development standards relating to the Walk Score. 38 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 33 of 35 The proposed development is roughly 1/4 mile to Story Mill Park and about ½ mile to Glen Lake Rotary Park, which provide a variety of recreational opportunities. The closest grocery store is the Town and Country at Highland and Main streets which is approximately 2.3 miles from the Site. The two closest schools are the Hawthorne Elementary about 2 miles from the Site and Whittier Elementary approximately 2.3 miles from the Site. The proposed subdivision meets the following Bozeman Community Plan 2020 goals: N-1.1 Promote housing diversity, including missing middle housing. N-1.10 Increase connectivity between parks and neighborhoods through continued trail and sidewalk development. Prioritize closing gaps within the network. N-3.8 Promote the development of “Missing Middle” housing (townhouses, multi-household). In addition to those Community Plan policies that apply to this subdivision, the Applicant offers the following evaluation of the 2020 Bozeman Community Plan goals and policies, including: Goal N-1: Support well-planned, walkable neighborhoods. The development will connect streets and sidewalks that were truncated in anticipation of development. “The subdivision and parkland are designed to connect the Canyon Gate development to neighborhoods, schools, services, jobs, parks, and trails that will promote a walkable and bikeable community.” Goal N-2: Pursue simultaneous emergence of commercial nodes and residential development through diverse mechanisms in appropriate locations. “This residential development will have commercial nodes along the prominent intersection of Story Mill Road and Bridger Drive. In conjunction with the array of residential housing options, the commercial will create a focal point in the Story Mill District and serve the neighboring communities.” Goal N-3: Promote a diverse supply of quality housing units. “Canyon Gate will have a minimum of 60 workforce/”Missing Middle” housing in addition to a variety of housing types including, duplexes, fourplexes, and apartment buildings. The assortment creates a smooth transition between low and high-density mixed- use and is designed to improve the current housing crisis by providing variety and density in appropriate locations.” Goal N-4: Continue to encourage Bozeman’s sense of place. “This project proposes a commercial node within the Story Mill District to serve the surrounding community. The development will complement the nearby historic structures and contribute to the identity of the district by encouraging a commercial core along Story Mill Road leading to the historic mill.” Goal DCD-1: Support urban development within the City. “The site is surrounded by development and is located on a prominent corner within the Story Mill District. The property is currently underutilized and 39 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 34 of 35 undeveloped. The proposed residential and mixed-use development is near a large network of trails and parks to support this infill project.” Goal DCD-2: Encourage growth throughout the City, while enhancing the pattern of community development, oriented on centers of employment and activity. Support an increase in development intensity within developed areas. “This infill project encourages a commercial hub, a variety of housing types, and a range of densities. This will form a center of employment and activity while encouraging continuity in adjacent areas of the district.” Please note that the recent Housing Departures Ordinance 2111 defined “Infill” as: “The development or redevelopment of vacant, abandoned, or underutilized properties within or wholly surrounded by the City, and where water, sewer, streets, and fire protection have already been developed and are provided. Infill is development proposed or located within land that has been subdivided for at least 35 years.” Since this Site is a recently annexed and zoned fallow farmland unsubdivided Tract of land, it does not qualify as an “infill” site and, therefore, this staff analysis does not describe it as such. Goal DCD-3: Ensure multimodal connectivity within the City. “The increased development in this area is currently spurring the expansion of public transportation services. The development will extend truncated streets and sidewalks to create a continuous network of biking and walking trails and form a community that fosters walkability. This multimodal community will be strengthened by the proposed commercial node and increased residential density.” APPENDIX B. NOTICING AND PUBLIC COMMENT On February 28, 2023, and again on March 17, 2023, public notice was provided at least 15 and not more than 45 days prior to the April 3rd and Community Development Board public meeting and the April 18th City Commission public hearing. Pursuant to BMC 38.220.420, notice was provided by posting the Site, mailing by certified mail to the Applicant and adjacent property owners and by first class mail to all other owners within 200 feet. The notice contained all elements required by Article 38.220 of the BMC. Due to an error in the location map included with the notice sheet, a second public notice period and mailing was initiated on March 17, 2023, with a corrected map. The second public notice period was from March 17, 2023, to the April 18, 2023, City Commission meeting. As of the April 18th City Commission meeting, 40 comment letters were received by the City Clerk and are posted at this link: Canyon Gate Public Comment letters 40 City Commission Findings of Fact and Order for Canyon Gate Major Subdivision Preliminary Plat; Project 22264 Page 35 of 35 Eight persons commented at the City Commission meeting which can be viewed at the following link: Canyon Gate PP April 18, 2023 City Commission meeting April 3, 2023 CDB Meeting: Canyon Gate April 3, 2023 Planning Board meeting APPENDIX C: OWNER INFORMATION AND REVIEWING STAFF Owner: Canyon Gate Investors, LLC, 111 W. Lamme Street, Suite 101, Bozeman, MT 59715 Representative: Brooke Perrelli, SMA, 428 E. Mendenhall Street, Bozeman, MT 59715 Report By: Susana Montana, Senior Planner FISCAL EFFECTS Fiscal impacts are undetermined at this time but will include increased property tax revenues from new development, along with increased costs to provide municipal services to the property. 41 Memorandum REPORT TO:City Commission FROM:Chuck Winn, Assistant City Manager SUBJECT:Authorize the Mayor to Sign a Memorandum of Understanding (MOU) between City of Bozeman and Bozeman School District 7 for Development of the Bozeman Community Center MEETING DATE:May 16, 2023 AGENDA ITEM TYPE:Agreement - Agency/Non-profit RECOMMENDATION:Authorize Mayor to sign MOU with Bozeman School District #7 STRATEGIC PLAN:3.4 Active Recreation: Facilitate and promote recreational opportunities and active health programs and facilities. BACKGROUND:The City has been discussing possible locations for the planned Bozeman Community Center with Bozeman School District #7 (District). The project is planned to include a westside library branch and a recreation and aquatics center. The District owns property adjacent to Meadowlark Elementary School which may be an ideal location for the Community Center and work well for both the City and District. If the City receives voter approval to sell bonds for construction of the Community Center in November 2023, the City and District can enter into negotiations to purchase the property in an agreement that benefits both parties. The District's Board of Trustees and the City Commission will need to approve any future purchase in accordance with their respective policies and governing statutes. This MOU will allow the City to continue to develop plans for the project by identifying a building site. UNRESOLVED ISSUES:The City and District will negotiate a sale price should the bond pass in November 2023. ALTERNATIVES:As identified by the Commission FISCAL EFFECTS:Funding for the property purchase will be included in the construction project budget funded by a voter approved bond. Attachments: Memorandum_of_Understanding_BSC7_Community Center FINAL Edits.docx Report compiled on: April 10, 2023 42 43 Memorandum of Understanding City of Bozeman and Bozeman School District #7 - Bozeman Development of the Bozeman Community Center The City of Bozeman (City), a self-governing municipality operating pursuant to its Charter and the laws of the State of Montana, and Bozeman School District #7 (BSD7) enter into this Memorandum of Understanding on this ___day of _____________, 2023 related to the development of a new City west-side library and recreation and aquatics center (Bozeman Community Center) on approximately 9 acres currently owned by BSD7 at the corner of Durston and Cottonwood roads. The purpose of this memorandum is to establish the parties’ current collective understanding of the basis for a future formal agreement between the City and BSD7 for the City to purchase the land from BSD7 for the City’s construction and occupation of the future Bozeman Community Center. The City’s current Capital Improvement Plan includes the construction of a new library branch, recreation and aquatics center in Bozeman’s west side in 2024. The City and BSD7 have discussed mutually beneficial aspects of constructing this project near Meadowlark Elementary and Gallatin High School. Currently, BSD7 does not have plans for the property and proceeds from the sale would benefit other District priorities. As such, the parties recognize the development of a new Bozeman Community Center on that property may be in their collective interest. The parties also understand City voters must approve the sale of general obligation bonds at the November 7, 2023 election for the City to proceed with purchase, development, and construction of the project. In addition, the parties understand that if the voters approve the sale of bonds to finance construction, the parties must then enter into a purchase and sale agreement at a price to be negotiated. The City will consult with BSD7 on the design of the site and building and needed infrastructure improvements. The parties further understand that the contemplated purchase transaction represents a disposal of BSD7 property. As such, it is subject to specific legal requirements that must be followed to ensure BSD7 and its constituents are fairly compensated for the asset. The parties understand it is in their best interest to continue to explore these and all other aspects of the development of a new City library, recreation and aquatics center on this property. Mayor, City of Bozeman Chair, Bozeman School District #7 44 Memorandum REPORT TO:City Commission FROM:Ellie Staley, Executive Director Downtown Bozeman Partnership SUBJECT:Authorize the City Manager to Sign a Professional Service Agreement with Sprout Inc. to provide Tree Removal and Replanting Services to the Downtown Bozeman Partnership MEETING DATE:May 16, 2023 AGENDA ITEM TYPE:Agreement - Vendor/Contract RECOMMENDATION:Authorize the City Manager to Sign a Professional Service Agreement with Sprout Inc. to provide Tree Removal and Replanting Services to the Downtown Bozeman Partnership. STRATEGIC PLAN:4.3 Strategic Infrastructure Choices: Prioritize long-term investment and maintenance for existing and new infrastructure. BACKGROUND: The Downtown Bozeman Partnership is seeking professional services to remove and replace three tree stumps in the downtown core district. Between 2019 and 2022, thirteen dead trees along Main Street were cut with intention to remove and replace stumps within the following year. Covid and staffing issues extended the original completion and have required for added support to the City Forestry Department from the Downtown Bozeman Partnership in order to complete the needed work within a reasonable timeline. Five of the above mentioned trees were removed and replanted by the Downtown Bozeman Partnership in summer of 2022, with eight tree stumps remaining. The Downtown Bozeman Partnership has agreed to oversee the removal and replacement for three of the remaining trees, recognizing they may require additional work due to their size or underground compromises, while the City Forestry Department has agreed to dig and replace the remaining five trees internally. The remaining eight stumps do present a safety hazard to pedestrians and must be completed as soon as possible. The entire tree replacement project is slated to be fully complete by fall 2023. The project is in accordance with the 2019 Downtown Bozeman Improvement Plan. 45 UNRESOLVED ISSUES:None. ALTERNATIVES:None. FISCAL EFFECTS:Estimated Total Project Cost is $5400 Attachments: PSA_Tree Project_Sprout-23.pdf Report compiled on: May 8, 2023 46 Professional Services Agreement for Downtown Bozeman Tree Replacement Project 2023. Page 1 of 13 PROFESSIONAL SERVICES AGREEMENT THIS AGREEMENT is made and entered into this 27th_ day of _September_, 2022_ (“Effective Date”), by and between the CITY OF BOZEMAN, MONTANA, a self-governing municipal corporation organized and existing under its Charter and the laws of the State of Montana, 121 North Rouse Street, Bozeman, Montana, with a mailing address of PO Box 1230, Bozeman, MT 59771, hereinafter referred to as “City,” and, Sprout Inc Land & Hardscaping., hereinafter referred to as “Contractor.” The City and Contractor may be referred to individually as “Party” and collectively as “Parties.” In consideration of the mutual covenants and agreements herein contained, the receipt and sufficiency whereof being hereby acknowledged, the parties hereto agree as follows: 1. Purpose: City agrees to enter this Agreement with Contractor to perform for City services described in the Scope of Services attached hereto as Exhibit A and by this reference made a part hereof. 2. Term/Effective Date: This Agreement is effective upon the Effective Date and will expire on the _28th_ day of _September_, 2022, unless earlier terminated in accordance with this Agreement. 3. Scope of Services: Contractor will perform the work and provide the services in accordance with the requirements of the Scope of Services. For conflicts between this Agreement and the Scope of Services, unless specifically provided otherwise, the Agreement governs. 4. Payment: City agrees to pay Contractor $37, 500.00. Any alteration or deviation from the described services that involves additional costs above the Agreement amount will be performed by Contractor after written request by the City, and will become an additional charge over and above the amount listed in the Scope of Services. The City must agree in writing upon any additional charges. 5. Contractor’s Representations: To induce City to enter into this Agreement, Contractor makes the following representations: 47 Professional Services Agreement for Downtown Bozeman Tree Replacement Project 2023. Page 2 of 13 a. Contractor has familiarized itself with the nature and extent of this Agreement, the Scope of Services, and with all local conditions and federal, state and local laws, ordinances, rules, and regulations that in any manner may affect cost, progress or performance of the Scope of Services. b. Contractor represents and warrants to City that it has the experience and ability to perform the services required by this Agreement; that it will perform the services in a professional, competent and timely manner and with diligence and skill; that it has the power to enter into and perform this Agreement and grant the rights granted in it; and that its performance of this Agreement shall not infringe upon or violate the rights of any third party, whether rights of copyright, trademark, privacy, publicity, libel, slander or any other rights of any nature whatsoever, or violate any federal, state and municipal laws. The City will not determine or exercise control as to general procedures or formats necessary to have these services meet this warranty. 6. Independent Contractor Status/Labor Relations: The parties agree that Contractor is an independent contractor for purposes of this Agreement and is not to be considered an employee of the City for any purpose. Contractor is not subject to the terms and provisions of the City’s personnel policies handbook and may not be considered a City employee for workers’ compensation or any other purpose. Contractor is not authorized to represent the City or otherwise bind the City in any dealings between Contractor and any third parties. Contractor shall comply with the applicable requirements of the Workers’ Compensation Act, Title 39, Chapter 71, Montana Code Annotated (MCA), and the Occupational Disease Act of Montana, Title 39, Chapter 71, MCA. Contractor shall maintain workers’ compensation coverage for all members and employees of Contractor’s business, except for those members who are exempted by law. Contractor shall furnish the City with copies showing one of the following: (1) a binder for workers’ compensation coverage by an insurer licensed and authorized to provide workers’ compensation insurance in the State of Montana; or (2) proof of exemption from workers’ compensation granted by law for independent contractors. In the event that, during the term of this Agreement, any labor problems or disputes of any type arise or materialize which in turn cause any services to cease for any period of time, Contractor specifically agrees to take immediate steps, at its own expense and without expectation of reimbursement from City, to alleviate or resolve all such labor problems or disputes. The specific steps Contractor shall take shall be left to the discretion of Contractor; provided, however, that Contractor shall bear all costs of any related legal action. Contractor shall provide immediate relief to the City so as to permit the services to continue at no additional cost to City. 48 Professional Services Agreement for Downtown Bozeman Tree Replacement Project 2023. Page 3 of 13 Contractor shall indemnify, defend, and hold the City harmless from any and all claims, demands, costs, expenses, damages, and liabilities arising out of, resulting from, or occurring in connection with any labor problems or disputes or any delays or stoppages of work associated with such problems or disputes. 7. Indemnity/Waiver of Claims/Insurance: For other than professional services rendered, to the fullest extent permitted by law, Contractor agrees to release, defend, indemnify, and hold harmless the City, its agents, representatives, employees, and officers (collectively referred to for purposes of this Section as the City) from and against any and all claims, demands, actions, fees and costs (including attorney’s fees and the costs and fees of expert witness and consultants), losses, expenses, liabilities (including liability where activity is inherently or intrinsically dangerous) or damages of whatever kind or nature connected therewith and without limit and without regard to the cause or causes thereof or the negligence of any party or parties that may be asserted against, recovered from or suffered by the City occasioned by, growing or arising out of or resulting from or in any way related to: (i) the negligent, reckless, or intentional misconduct of the Contractor; or (ii) any negligent, reckless, or intentional misconduct of any of the Contractor’s agents. For the professional services rendered, to the fullest extent permitted by law, Contractor agrees to indemnify and hold the City harmless against claims, demands, suits, damages, losses, and expenses, including reasonable defense attorney fees, to the extent caused by the negligence or intentional misconduct of the Contractor or Contractor’s agents or employees. Such obligations shall not be construed to negate, abridge, or reduce other rights or obligations of indemnity that would otherwise exist. The indemnification obligations of this Section must not be construed to negate, abridge, or reduce any common-law or statutory rights of the City as indemnitee(s) which would otherwise exist as to such indemnitee(s). Contractor’s indemnity under this Section shall be without regard to and without any right to contribution from any insurance maintained by City. Should the City be required to bring an action against the Contractor to assert its right to defense or indemnification under this Agreement or under the Contractor’s applicable insurance policies required below, the City shall be entitled to recover reasonable costs and attorney fees incurred in asserting its right to indemnification or defense but only if a court of competent jurisdiction determines the Contractor was obligated to defend the claim(s) or was obligated to indemnify the City for a claim(s) or any portion(s) thereof. In the event of an action filed against the City resulting from the City’s performance under 49 Professional Services Agreement for Downtown Bozeman Tree Replacement Project 2023. Page 4 of 13 this Agreement, the City may elect to represent itself and incur all costs and expenses of suit. Contractor also waives any and all claims and recourse against the City, including the right of contribution for loss or damage to person or property arising from, growing out of, or in any way connected with or incident to the performance of this Agreement except “responsibility for [City’s] own fraud, for willful injury to the person or property of another, or for violation of law, whether willful or negligent” as per 28-2-702, MCA. These obligations shall survive termination of this Agreement and the services performed hereunder. In addition to and independent from the above, Contractor shall at Contractor’s expense secure insurance coverage through an insurance company or companies duly licensed and authorized to conduct insurance business in Montana which insures the liabilities and obligations specifically assumed by the Contractor in this Section. The insurance coverage shall not contain any exclusion for liabilities specifically assumed by the Contractor in this Section. The insurance shall cover and apply to all claims, demands, suits, damages, losses, and expenses that may be asserted or claimed against, recovered from, or suffered by the City without limit and without regard to the cause therefore and which is acceptable to the City. Contractor shall furnish to the City an accompanying certificate of insurance and accompanying endorsements in amounts not less than as follows: • Workers’ Compensation – statutory; • Employers’ Liability - $1,000,000 per occurrence; $2,000,000 annual aggregate; • Commercial General Liability - $1,000,000 per occurrence; $2,000,000 annual aggregate; • Automobile Liability - $1,000,000 property damage/bodily injury per accident; and • Professional Liability - $1,000,000 per claim; $2,000,000 annual aggregate. The above amounts shall be exclusive of defense costs. The City shall be endorsed as an additional or named insured on a primary non-contributory basis on the Commercial General, Employer’s Liability, and Automobile Liability policies. The insurance and required endorsements must be in a form suitable to City and shall include no less than a thirty (30) day notice of cancellation or non-renewal. Contractor shall notify City within two (2) business days of Contractor’s receipt of notice that any required insurance coverage will be terminated or Contractor’s decision to terminate any required insurance coverage for any reason. 50 Professional Services Agreement for Downtown Bozeman Tree Replacement Project 2023. Page 5 of 13 The City must approve all insurance coverage and endorsements prior to the Contractor commencing work. 8. Termination for Contractor’s Fault: a. If Contractor refuses or fails to timely do the work, or any part thereof, or fails to perform any of its obligations under this Agreement, or otherwise breaches any terms or conditions of this Agreement, the City may, by written notice, terminate this Agreement and the Contractor’s right to proceed with all or any part of the work (“Termination Notice Due to Contractor’s Fault”). The City may then take over the work and complete it, either with its own resources or by re-letting the contract to any other third party. b. In the event of a termination pursuant to this Section 8, Contractor shall be entitled to payment only for those services Contractor actually rendered. c. Any termination provided for by this Section 8 shall be in addition to any other remedies to which the City may be entitled under the law or at equity. d. In the event of termination under this Section 8, Contractor shall, under no circumstances, be entitled to claim or recover consequential, special, punitive, lost business opportunity, lost productivity, field office overhead, general conditions costs, or lost profits damages of any nature arising, or claimed to have arisen, as a result of the termination. 9. Termination for City’s Convenience: a. Should conditions arise which, in the sole opinion and discretion of the City, make it advisable to the City to cease performance under this Agreement, the City may terminate this Agreement by written notice to Contractor (“Notice of Termination for City’s Convenience”). The termination shall be effective in the manner specified in the Notice of Termination for City’s Convenience and shall be without prejudice to any claims that the City may otherwise have against Contractor. b. Upon receipt of the Notice of Termination for City’s Convenience, unless otherwise directed in the Notice, the Contractor shall immediately cease performance under this Agreement and make every reasonable effort to refrain from continuing work, incurring additional expenses or costs under this Agreement and shall immediately cancel all existing orders or contracts upon terms satisfactory to the City. Contractor shall do only such work as may be necessary to preserve, protect, and maintain work already completed or immediately 51 Professional Services Agreement for Downtown Bozeman Tree Replacement Project 2023. Page 6 of 13 in progress. c. In the event of a termination pursuant to this Section 9, Contractor is entitled to payment only for those services Contractor actually rendered on or before the receipt of the Notice of Termination for City’s Convenience. d. The compensation described in Section 9(c) is the sole compensation due to Contractor for its performance of this Agreement. Contractor shall, under no circumstances, be entitled to claim or recover consequential, special, punitive, lost business opportunity, lost productivity, field office overhead, general conditions costs, or lost profits damages of any nature arising, or claimed to have arisen, as a result of the termination. 10. Limitation on Contractor’s Damages; Time for Asserting Claim: a. In the event of a claim for damages by Contractor under this Agreement, Contractor’s damages shall be limited to contract damages and Contractor hereby expressly waives any right to claim or recover consequential, special, punitive, lost business opportunity, lost productivity, field office overhead, general conditions costs, or lost profits damages of any nature or kind. b. In the event Contractor wants to assert a claim for damages of any kind or nature, Contractor shall provide City with written notice of its claim, the facts and circumstances surrounding and giving rise to the claim, and the total amount of damages sought by the claim, within thirty (30) days of the facts and circumstances giving rise to the claim. In the event Contractor fails to provide such notice, Contractor shall waive all rights to assert such claim. 11. Representatives and Notices: a. City’s Representative: The City’s Representative for the purpose of this Agreement shall be Ellie Staley, Executive Director of the Downtown Bozeman Partnership or such other individual as City shall designate in writing. Whenever approval or authorization from or communication or submission to City is required by this Agreement, such communication or submission shall be directed to the City’s Representative and approvals or authorizations shall be issued only by such Representative; provided, however, that in exigent circumstances when City’s Representative is not available, Contractor may direct its communication or submission to other designated City personnel or agents as designated by the City in writing and may receive approvals or authorization from such 52 Professional Services Agreement for Downtown Bozeman Tree Replacement Project 2023. Page 7 of 13 persons. b. Contractor’s Representative: The Contractor’s Representative for the purpose of this Agreement shall be Ryan Hamilton or such other individual as Contractor shall designate in writing. Whenever direction to or communication with Contractor is required by this Agreement, such direction or communication shall be directed to Contractor’s Representative; provided, however, that in exigent circumstances when Contractor’s Representative is not available, City may direct its direction or communication to other designated Contractor personnel or agents. c. Notices: All notices required by this Agreement shall be in writing and shall be provided to the Representatives named in this Section. Notices shall be deemed given when delivered, if delivered by courier to Party’s address shown above during normal business hours of the recipient; or when sent, if sent by email or fax (with a successful transmission report) to the email address or fax number provided by the Party’s Representative; or on the fifth business day following mailing, if mailed by ordinary mail to the address shown above, postage prepaid. 12. Permits: Contractor shall provide all notices, comply with all applicable laws, ordinances, rules, and regulations, obtain all necessary permits, licenses, including a City of Bozeman business license, and inspections from applicable governmental authorities, and pay all fees and charges in connection therewith. 13 Laws and Regulations: Contractor shall comply fully with all applicable state and federal laws, regulations, and municipal ordinances including, but not limited to, all workers’ compensation laws, all environmental laws including, but not limited to, the generation and disposal of hazardous waste, the Occupational Safety and Health Act (OSHA), the safety rules, codes, and provisions of the Montana Safety Act in Title 50, Chapter 71, MCA, all applicable City, County, and State building and electrical codes, the Americans with Disabilities Act, and all non-discrimination, affirmative action, and utilization of minority and small business statutes and regulations. 14. Nondiscrimination and Equal Pay: The Contractor agrees that all hiring by Contractor of persons performing this Agreement shall be on the basis of merit and qualifications. The Contractor will have a policy to provide equal employment opportunity in accordance with all applicable state and federal anti-discrimination laws, regulations, and contracts. The Contractor will not refuse employment to a person, bar a person from employment, or discriminate against a person in compensation or in a term, condition, or privilege of employment because of race, color, religion, creed, political ideas, sex, age, marital status, national origin, actual or perceived sexual orientation, 53 Professional Services Agreement for Downtown Bozeman Tree Replacement Project 2023. Page 8 of 13 gender identity, physical or mental disability, except when the reasonable demands of the position require an age, physical or mental disability, marital status or sex distinction. The Contractor shall be subject to and comply with Title VI of the Civil Rights Act of 1964; Section 140, Title 2, United States Code, and all regulations promulgated thereunder. Contractor represents it is, and for the term of this Agreement will be, in compliance with the requirements of the Equal Pay Act of 1963 and Section 39-3-104, MCA (the Montana Equal Pay Act). Contractor must report to the City any violations of the Montana Equal Pay Act that Contractor has been found guilty of within 60 days of such finding for violations occurring during the term of this Agreement. Contractor shall require these nondiscrimination terms of its subcontractors providing services under this Agreement. 15. Intoxicants; DOT Drug and Alcohol Regulations/Safety and Training: Contractor shall not permit or suffer the introduction or use of any intoxicants, including alcohol or illegal drugs, by any employee or agent engaged in services to the City under this Agreement while on City property or in the performance of any activities under this Agreement. Contractor acknowledges it is aware of and shall comply with its responsibilities and obligations under the U.S. Department of Transportation (DOT) regulations governing anti-drug and alcohol misuse prevention plans and related testing. City shall have the right to request proof of such compliance and Contractor shall be obligated to furnish such proof. The Contractor shall be responsible for instructing and training the Contractor's employees and agents in proper and specified work methods and procedures. The Contractor shall provide continuous inspection and supervision of the work performed. The Contractor is responsible for instructing its employees and agents in safe work practices. 16. Modification and Assignability: This Agreement may not be enlarged, modified or altered except by written agreement signed by both parties hereto. The Contractor may not subcontract or assign Contractor’s rights, including the right to compensation or duties arising hereunder, without the prior written consent of the City. Any subcontractor or assignee will be bound by all of the terms and conditions of this Agreement. 17. Reports/Accountability/Public Information: Contractor agrees to develop and/or provide documentation as requested by the City demonstrating Contractor’s compliance with the requirements of this Agreement. Contractor shall allow the City, its auditors, and other persons authorized by the City to inspect and copy its books and records for the purpose of verifying that the 54 Professional Services Agreement for Downtown Bozeman Tree Replacement Project 2023. Page 9 of 13 reimbursement of monies distributed to Contractor pursuant to this Agreement was used in compliance with this Agreement and all applicable provisions of federal, state, and local law. The Contractor shall not issue any statements, releases or information for public dissemination without prior approval of the City. 18. Non-Waiver: A waiver by either party of any default or breach by the other party of any terms or conditions of this Agreement does not limit the other party’s right to enforce such term or conditions or to pursue any available legal or equitable rights in the event of any subsequent default or breach. 19. Attorney’s Fees and Costs: In the event it becomes necessary for either Party to retain an attorney to enforce any of the terms or conditions of this Agreement or to give any notice required herein, then the prevailing Party or the Party giving notice shall be entitled to reasonable attorney's fees and costs, including fees, salary, and costs of in-house counsel including the City Attorney’s Office staff. 20. Taxes: Contractor is obligated to pay all taxes of any kind or nature and make all appropriate employee withholdings. 21. Dispute Resolution: a. Any claim, controversy, or dispute between the parties, their agents, employees, or representatives shall be resolved first by negotiation between senior-level personnel from each party duly authorized to execute settlement agreements. Upon mutual agreement of the parties, the parties may invite an independent, disinterested mediator to assist in the negotiated settlement discussions. b. If the parties are unable to resolve the dispute within thirty (30) days from the date the dispute was first raised, then such dispute may only be resolved in a court of competent jurisdiction in compliance with the Applicable Law provisions of this Agreement. 22. Survival: Contractor’s indemnification shall survive the termination or expiration of this Agreement for the maximum period allowed under applicable law. 23. Headings: The headings used in this Agreement are for convenience only and are not be construed as a part of the Agreement or as a limitation on the scope of the particular paragraphs to which they refer. 55 Professional Services Agreement for Downtown Bozeman Tree Replacement Project 2023. Page 10 of 13 24. Severability: If any portion of this Agreement is held to be void or unenforceable, the balance thereof shall continue in effect. 25. Applicable Law: The parties agree that this Agreement is governed in all respects by the laws of the State of Montana. 26. Binding Effect: This Agreement is binding upon and inures to the benefit of the heirs, legal representatives, successors, and assigns of the parties. 27. No Third-Party Beneficiary: This Agreement is for the exclusive benefit of the parties, does not constitute a third-party beneficiary agreement, and may not be relied upon or enforced by a third party. 28. Counterparts: This Agreement may be executed in counterparts, which together constitute one instrument. 29. Integration: This Agreement and all Exhibits attached hereto constitute the entire agreement of the parties. Covenants or representations not contained herein or made a part thereof by reference, are not binding upon the parties. There are no understandings between the parties other than as set forth in this Agreement. All communications, either verbal or written, made prior to the date of this Agreement are hereby abrogated and withdrawn unless specifically made a part of this Agreement by reference. 30. Consent to Electronic Signatures: The Parties have consented to execute this Agreement electronically in conformance with the Montana Uniform Electronic Transactions Act, Title 30, Chapter 18, Part 1, MCA. **** END OF AGREEMENT EXCEPT FOR SIGNATURES **** IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and year first above written or as recorded in an electronic signature. CITY OF BOZEMAN, MONTANA ____________________________________ CONTRACTOR (Sprout Inc.) 56 Professional Services Agreement for Downtown Bozeman Tree Replacement Project 2023. Page 11 of 13 By________________________________ By__________________________________ Jeff Mihelich, City Manager Print Name: ___________________________ Print Title: ____________________________ APPROVED AS TO FORM: By_______________________________ Greg Sullivan, Bozeman City Attorney EXHIBIT A PROJECT OVERVIEW: The Downtown Bozeman Partnership is seeking professional services to remove and replace three tree stumps in the downtown core district. Between 2019 and 2022, thirteen dead trees along Main Street were cut with intention to remove and replace stumps within the following year. Covid and staffing issues extended the original completion and have required for added support to the City Forestry Department from the Downtown Bozeman Partnership in order to complete the needed work within a reasonable timeline. Five of the above mentioned trees were removed and replanted by the Downtown Bozeman Partnership in summer of 2022, with eight tree stumps remaining. The Downtown Bozeman Partnership has agreed to oversee the removal and replacement for three of the remaining trees, recognizing they may require additional work due to their size or underground compromises, while the City Forestry Department has agreed to dig and replace the remaining five trees internally. The remaining eight stumps do present a safety hazard to pedestrians and must be completed as soon as possible. The entire tree replacement project is slated to be fully complete by fall 2023. The project is in accordance with the 2019 Downtown Bozeman Improvement Plan. SCOPE OF SERVICES: 1. Contractor agrees to stump removal, planting and installing three trees, at the following locations: A. 132 East Main Street, in front of Bozeman Running Co. (1 large tree) B. 424 East Main, Jacob’s Crossing Building (2 trees) 2. Contractor shall select tree species and cultivars from only the following: o Alder (Alnus spp.) – single-trunk, tree form only 57 Professional Services Agreement for Downtown Bozeman Tree Replacement Project 2023. Page 12 of 13 o Amur cherry (Prunus maackii) o Elms (Ulmus spp.) – ‘Brandon’ and ‘Accolade’ cultivars prohibited o Hackberry (Celtis occidentalis) o Hawthorn (Crataegus spp.) – thornless cultivars only o Japanese tree lilac (Syringa reticulata) o Kentucky coffeetree (Gymnocladus dioicus) – male cultivars only o Kentucky yellowwood (Cladrastis kentuckea) o Lindens (Tilia spp.) – ‘Harvest Gold’ cultivar only o Red Maple (Acer rubrum) – ‘Northwood’ cultivar only o Norway Maple (Acer platanoides) 3. Trees planted not to exceed more than three (3) individuals from any one species or cultivar. 4. Only balled-and-burlapped trees or container-grown trees will be accepted; not to exceed 2.0” caliper. 5. Trees planted to include 3-4” layer of wood chip mulch. 6. Trees planted within tree pits shall include installation of ADA-compliant, cast-iron grates and trunk guards. Additional grates and guards will be supplied by the Forestry Division. 7. All tree pits shall be excavated to a minimum depth of 24 inches and backfilled with 50% native backfill soil and 50% compost/topsoil mix. 8. Contractor shall be responsible for removal of any remaining stumps, to a minimum depth of twenty-four (24) inches. 9. Contractor shall adhere to ANSI Z133 for Arboricultural Operations – Safety Operations. 10. Contractor is required to implement a traffic control plan during construction. 11. Contractor shall remove and replace the existing electrical outlets, conduit and wiring as required. 12. Contractor should document any presence of irrigation. 13. Contractor shall adhere to MUTCD standards for work within public rights of way. 14. Contractor shall clean the work site and remove any debris after completing work, including the removal of branches, twigs and chips (Sec.16.05.360). 15. The proposed work areas of this contract are within the East Main Street right-of-way, which is a state highway, owned and maintained by the department of transportation. The contractor shall be responsible for contacting the Montana Department of Transportation prior to beginning work and obtaining any permits and authorizations required by this department to complete the proposed work. SITE PREP NEEDED: • Excavate existing soil to a depth of 2’; decompact and backfill with mix of existing soil + amended topsoil 58 Professional Services Agreement for Downtown Bozeman Tree Replacement Project 2023. Page 13 of 13 • All tree pits shall be excavated to a minimum depth of 24 inches and backfilled with 50% native backfill soil and 50% compost/topsoil mix. • Contractor shall be responsible for removal of any remaining stumps, to a minimum depth of twenty-four (24) inches. MISC: • Spacing/locations may be impacted by underground utility locates • Additional coordination may be required with City of Bozeman Engineering, City Community Development, NorthWestern Energy and adjacent property owners for two of the trees with current conduit located at the base. o Alex Norquest, City Forester – 406-582-3225, anordquest@bozeman.net o Kellen Gamradt, City Engineer – 406-582-2283, kgamradt@bozeman.net o Building Department Inspections – 406-582-2375 • Conflicting utility concerns may be reduced by planting smaller-growing tree species DATES: All work must be completed between May 15, 2023 and September 1, 2023. Once work begins, completion must be within 60 days. TOTAL ESTIMATED PROJECT COST - $5400, additional labor cost based on coordination time for electrical needs 59 Memorandum REPORT TO:City Commission FROM:Kellen Gamradt, Engineer II Shawn Kohtz, City Engineer Nick Ross, Transportation & Engineering Director SUBJECT:Authorize the City Manager to Sign an Amendment 1 to the Payment Agreement with Bozeman Fiber, Inc. (dba Yellowstone Fiber) for City Costs for Engineering and Inspection Services related to the Fiber-to-Premises Broadband Project MEETING DATE:May 16, 2023 AGENDA ITEM TYPE:Agreement - Vendor/Contract RECOMMENDATION:Authorize City Manager to Sign Amendment No. 1 STRATEGIC PLAN:2.2 Infrastructure Investments: Strategically invest in infrastructure as a mechanism to encourage economic development. BACKGROUND:As part of the City’s agreement to issue Yellowstone Fiber a Utility Occupancy Permit and Street Cut Permit, the City requested, and Yellowstone Fiber agreed, to have the City retain an engineering firm to do the majority of the monitoring of Yellowstone Fiber’s project. Morrison- Maierle, Inc was selected as the most qualified firm to complete these services. On May 3, 2022, the Commission approved consent item H.7 authorizing the city manager to sign a Payment Agreement stating that Yellowstone Fiber would compensate the City for Costs for Engineering and Inspection Services related to this Project. The attached amendment updates the payment agreement to account for anticipated workload for the 2023 construction season and current billing rates. UNRESOLVED ISSUES:None ALTERNATIVES:As suggested by the commission FISCAL EFFECTS:Approving this amendment to the payment agreement will ensure the costs of the Morrison & Maierle contract for the Yellowstone Fiber project will be covered by Yellowstone Fiber. Other effects include City engineering, utilities, parks, and City Attorney’s Office time monitoring the project Attachments: Amendment No 1.docx 60 Report compiled on: April 28, 2023 61 First Amendment to Professional Services Agreement for 2022 CIPP Projects Page 1 of 2 FIRST AMENDMENT TO PAYMENT AGREEMENT FOR ENGINEERING SERVICES THIS FIRST AMENDMENT TO THE PAYMENT AGREEMENT FOR ENGINEERING SERVICES FOR Construction of a Three-Year Fiber Network Project dated April 11, 2022 (the “Agreement”) is made and entered into this _____ day of ____________, 2023, by and between the CITY OF BOZEMAN, MONTANA,a self-governing municipal corporation organized and existing under its Charter and the laws of the State of Montana, 121 North Rouse Street, Bozeman, Montana, with a mailing address of PO Box 1230, Bozeman, MT 59771, hereinafter referred to as “City,” and Bozeman Fiber, Inc. dba Yellowstone Fiber, with a mailing address of 77A Nugget Lane, Belgrade, Montana 59714 hereinafter referred to as “YF.” In consideration of the mutual covenants and agreements herein contained, the receipt and sufficiency whereof being hereby acknowledged, the parties hereto agree to amend the Agreement as follows: 1. First Amendment to the Professional Services Agreement.Amendment No.1 to the Professional Services Agreement (the “Fiber PSA”)(attached) is hereby incorporated into the Payment Agreement for Engineering Services. 2. Agreement still valid. All remaining terms and provisions of the original Agreement remain valid. **** END OF AGREEMENT EXCEPT FOR SIGNATURES **** 62 First Amendment to Professional Services Agreement for 2022 CIPP Projects Page 2 of 2 IN WITNESS WHEREOF,the parties hereto have executed this instrument the day and year first above written. CITY OF BOZEMAN, MONTANA BOZEMAN FIBER, Inc. By________________________________By_____________________________ Jeff Mihelich, City Manager Greg Metzger, Chief Executive Officer APPROVED AS TO FORM By_______________________________ Greg Sullivan, Bozeman City Attorney 63 Memorandum REPORT TO:City Commission FROM:Kellen Gamradt, Engineer II Shawn Kohtz, City Engineer Nick Ross, Transportation & Engineering Director SUBJECT:Authorize the City Manager to Sign an Amendment 1 to the Professional Services Agreement for Construction Oversight and Project Management of the Yellowstone Fiber Project MEETING DATE:May 16, 2023 AGENDA ITEM TYPE:Agreement - Vendor/Contract RECOMMENDATION:Approve and authorize the City Manager to sign amendment No. 1 to the professional services agreement for Construction Oversight and Project Management of the Yellowstone Fiber Project STRATEGIC PLAN:2.2 Infrastructure Investments: Strategically invest in infrastructure as a mechanism to encourage economic development. BACKGROUND:Yellowstone Fiber has received funding to construct a fiber optic network within the City of Bozeman to serve all residential, institutional and commercial properties. The majority of this work will require directional boring to install these lines underground. The City is not presently staffed sufficiently to oversee this work as it will require full time supervision from the permitting process through the construction and restoration phases. Morrison-Maierle was chosen as the most qualified firm to complete these services based on the written proposals. The attached amendment updates the City’s agreement with Morrison-Maierle for current wage rates and anticipated workload for the 2023 construction season. You can view the original professional services agreement from our Laserfiche repository. UNRESOLVED ISSUES:None ALTERNATIVES:As suggested by the commission FISCAL EFFECTS:The proposed professional services will be paid for by Yellowstone Fiber. Morrison-Maierle will invoice the City and the City will invoice Yellowstone Fiber and process the invoices Attachments: Amendment 1_PSA Engineering_Fiber Buildout April 28 2023.pdf 64 Report compiled on: April 28, 2023 65 First Amendment to Professional Services Agreement for 2022 CIPP Projects Page 1 of 2 FIRST AMENDMENT TO PROFESSIONAL SERVICES AGREEMENT THIS FIRST AMENDMENT TO THE PROFESSIONAL SERVICES AGREEMENT FOR Fiber Buildout Engineering Services dated April 05, 2022 (the “Agreement”) is made and entered into this _____ day of ____________, 2023, by and between the CITY OF BOZEMAN, MONTANA, a self-governing municipal corporation organized and existing under its Charter and the laws of the State of Montana, 121 North Rouse Street, Bozeman, Montana, with a mailing address of PO Box 1230, Bozeman, MT 59771, hereinafter referred to as “City,” and Morrison- Maierle, Inc. hereinafter referred to as “Contractor.” In consideration of the mutual covenants and agreements herein contained, the receipt and sufficiency whereof being hereby acknowledged, the parties hereto agree to amend the Agreement as follows: 1. Addition to Scope of Services. Scope of Services (Exhibit 2A) for calendar year 2023, plus January through March of 2024, has been added to the scope of services provisions. 2. Addition to Payment. Labor and Expense Schedule (Exhibit 2A.1) and Unit Rate Schedule (Exhibit 2A.2) for calendar year 2023, plus January through March of 2024, has been added to the payment provisions. 3. Agreement still valid. All remaining terms and provisions of the original Agreement remain valid. **** END OF AGREEMENT EXCEPT FOR SIGNATURES **** 66 First Amendment to Professional Services Agreement for 2022 CIPP Projects Page 2 of 2 IN WITNESS WHEREOF, the parties hereto have executed this instrument the day and year first above written. CITY OF BOZEMAN, MONTANA MORRISON-MAIERLE, INC. By________________________________ By_____________________________ Jeff Mihelich, City Manager Print Name: Travis Eickman Title: Bozeman Operations Manager APPROVED AS TO FORM By_______________________________ Greg Sullivan, Bozeman City Attorney 67 1 Exhibit 2A - Scope of Services for Fiber Buildout Engineering Services April 2023 This scope of services covers the following items, as noted below, for Engineering Services related to the buildout of fiber infrastructure within the City of Bozeman. Yellowstone Fiber will be completing the design and construction of the fiber network through contracts with subconsultants and several contractors. This scope of services will cover inspection/oversight of the installation as described below. Morrison-Maierle, Inc. will be completing inspection/oversight of the project occurring within City of Bozeman rights, on property owned by the City, and within utility easements where publicly owned water, sewer, and storm mains are being crossed/impacted. Impacts to City owned non-utility infrastructure will be monitored as well. This work will be on behalf of the City of Bozeman for the purpose of administration, permitting, construction oversight, traffic control review, and restoration compliance. Effort for these services is based on the Standard Billing Rate Schedule (Exhibit 2A.2) attached to and made part of this Exhibit 2A. The various tasks and staff classifications assigned to the tasks are shown on Attachment 2A.1 attached to and made part of this Exhibit 2A. The work is to be completed on a time and material basis and the actual cost will be based on the project needs. The estimated cost for the 2023 calendar year, plus January through March of 2024, is $1,250,000. The fee will be tracked monthly and if the required effort is appearing to exceed the estimated cost, we will advise you as to the revised expected cost for the contract period. The Standard Billing Rate Schedules will be updated each contract period to reflect billing rate and reimbursable expense changes due to market conditions. Amendments to the contact will be prepared and submitted to the City of Bozeman for review and acceptance to update the rate schedule and adjust the total fee. The estimated effort is based on information from Yellowstone Fiber on the size of the project (entire City), duration of the project (3-years), estimated number of boring crews (up to 20), number of contractors (2), anticipated permit application material, and our understanding of expectations of the City. Actual effort will be dictated based on the needs of the project as it progresses. Morrison-Maierle will track effort for the 2023 calendar year, plus January through March 2024. When effort reaches $700,000, Morrison Maierle will notify the City of Bozeman and Yellowstone Fiber to schedule a review meeting to discuss the project, effort to date, and anticipated effort through the end of the contract period. Morrison-Maierle has agreed to set a not to exceed / stop work dollar amount of $900,000. Once this First Amendment dollar amount has been reached, prior written authorization from the City of Bozeman is required for work to continue. 68 2 Task 100. Administration Administration will include pre project meetings and coordination with the City of Bozeman and Yellowstone Fiber. We will make decisions on specific computer and data collection needs for the project. Software such as ArcGIS, Smartsheet, Syncro, etc. will be used to process contractor permits, collect field data, monitor progress, and communicate information to stakeholders. Tablets will be utilized by field staff for this purpose. Project meetings were eliminated at the request of Yellowstone Fiber during the summer of 2022. Smartsheets, a web-based platform, is planned to provide a platform for project reporting. Permitting is anticipated to be reviewed and processed through Smartsheet and will house a running database of permits for the entire project. The City will obtain Smartsheet licenses and provide 3 user licenses to Morrison- Maierle to utilize during the project. ArcGIS will be utilized in the field to collect live project data on all potholing activities and disturbed City of Bozeman infrastructure. Each City utility pothole and disturbed piece of City infrastructure will be mapped with attributes such as location, date, contractor, permit number, depth, material, restoration, address, weather, etc. Management of the project will occur daily throughout the project, including addressing the public’s requests for information. We have a dedicated staff with our local office that City staff can forward these requests to. Senior level staff will ensure that high quality work is provided throughout the project. The City of Bozeman may provide supplementary inspection services during the summer construction season to assist Morrison-Maierle during peak inspection periods. The City inspector will be managed by City Engineering staff and Morrison-Maierle will assist in coordinating the work to ensure data is collected and documented in a manner consistent with the methods used on the project. The purpose of this service is to assist Morrison-Maierle with the variable staffing demands associated with this project and to ensure adequate inspection and protection of City infrastructure. City inspection is dependent on the availability of City staff and no guarantees will be made that this service will be provided. 200. Permitting Review Task 200 covers the permitting of Yellowstone Fiber and their selected contractors for work occurring on the project on City owned property or easements contain City sewer, water, or storm mains. Due to the projects size and 69 3 duration, we will prepare a “project-wide” occupancy permit application that covers the entire project on an annual basis. We will also prepare “work area” permits that contractors will submit throughout the project. These “work area” permits will be reviewed and processed and housed through Smartsheet. Each “work area” permit will include a traffic control plan that will be reviewed for compliance with MUTCD and City requirements. All permits will be based on current City permits, modified specifically for this project. An overall street cut permit, with a City approved fee structure and project specific bonding requirements, will also be prepared for each contractor. Each month we will prepare an accounting of all the street cuts/potholing that will submitted to the City for invoicing to each contractor. The overall street cut permits for each contractor will be revisited and updated each year to account for any necessary modifications. All permits will be based on current City permits, modified specifically for this project. 300. Construction Oversight, Traffic Control Supervision This field task will provide oversight of the entire project over the estimated three-year duration. Active construction is anticipated to commence in early April of 2022 and be complete at the end of November 2024. As noted previously, work beyond calendar year 2022 will be identified in an amendment to this agreement. Based on this information we estimate that multiple full time resident project representatives (RPR’s) will be necessary to provide sufficient oversight of the contractors/sub-contractors working throughout the City. The number of staff assigned will be dependent on the activity of the various contractors and will vary over the course of the project. These individuals will monitor schedules of the crews, record project data, witness utility crossing clearances at potholes, record disturbed City infrastructure, ensure restoration compliance, and provide project updates/communications to contractors, project management, Yellowstone Fiber, City staff, and stakeholder In addition to the oversight on the fiber installation, the field staff will also be monitoring each contractor’s traffic control for compliance with the approved “work area” traffic control plan. Field staff will make suggestions on necessary modifications to the plan based on field conditions and/or input from City staff. Surveying services, for use when property or easement discrepancies exist, have been included in a limited capacity. Our licensed surveyor can research courthouse records and locate property boundaries as needed. 70 4 A budget is provided for occasional compaction testing and concrete testing as the work progresses to confirm that city specifications are being met at the locations tested. The budgeted effort is not intended to check the overall project compliance with the specifications but only to occasionally spot check conditions. During field inspection, field staff will utilize tools to complete their work. These tools include vehicles, tablets, software, nuclear density meters, concrete testing equipment, and survey equipment, these will be billed per unit used on the project. 400. Warranty Restoration Compliance In 2024 it is anticipated that an amendment to the agreement will be entered into to ensure contractor compliance with city specifications for the 1-year warranty period following the completion of the 3rd year of work. We will coordinate a “walk-through” of the work completed during the 3rd year, create a punch list of required items to be addressed by the contractor, and coordinate the correction, removal, and/or replacement of defective work. The walk throughs and warranty work for the first two years will occur during the construction oversight task (#300 above). 500. January through March 2023 Actual Effort Included within this scope of work is effort incurred during the months of January through March of 2023. This effort is based on actual billing for the months of January, February, and March of 2023. Total billing was $31,413.88. Future contracts, at the request of Yellowstone Fiber, will run from April to April. 71 Exhibit 2A.1 - Labor and Expense Schedule City of Bozeman, MT - Fiber Buildout Engineering Services Prepared For: Lance Lehigh, PE, CFM, City of Bozeman Interim City Engineer Staff Labor Task or Division Assigned Rate 100 - Administration Supervising Engineer $238.00 Project Manager $183.00 Construction Manager $143.00 Project Manager $183.00 Construction Manager $143.00 Project Manager $183.00 Construction Manager $143.00 104. Project Management Project Manager $183.00 105. Fielding Calls Administrative Coordinator $87.00 106. Quality Assurance/Quality Control Supervising Engineer $238.00 200 - Permitting Review Project Manager $183.00 Construction Manager $143.00 Project Manager $183.00 Construction Manager $143.00 Project Manager $183.00 Construction Manager $143.00 Project Engineer $183.00 Construction Manager $143.00 205. Quality Assurance/Quality Control Supervising Engineer $238.00 300 - Construction Oversight, Traffic Control Supervision Construction Manager $143.00 Resident Project Representative (average rate)$130.00 Construction Manager $143.00 Resident Project Representative (average rate)$130.00 303. Land Surveyor Property Verifications / Couthouse Research Land Surveyor $153.00 400 - Warranty Restoration Compliance Project Manager $183.00 Construction Manager $143.00 Resident Project Representative (average rate)$130.00 500 - January throgh March 2023 Actual Effort 501. January through March 2023 Invoices for work incurred."Invoiced" $31,413.88 Direct Expenses Charge Rate Vehicle (mi)$0.86 RPR Inspection Tablets, $50/month each $50.00 Nuclear Density Meter (day)$35.00 Concrete Strength Testing 4" cylinders (test per set - Lab Only)$160.00 Survey Equipment (hour)$30.00 401. One year warranty walk-through (verify restoration from 3rd year of work) 302. Winter Project Oversight - Dec though Mar 101. Initial Project Setup Meetings/Coordination/Software/Permits (N/A to Contract Amendment) 103. Project Reports - City Communication 201. Prepare/Update/Review Project Wide Street Cut Permit 102. Project Meetings 202. Review Work Area Occupancy Permits 203. Review Traffic Control Plans 204. Street Cut Inventory 301. Summer Project Oversight - Apr though Nov 1 72 Standard Billing Rate Schedule Effective ThruJune 30, 2023 Standard Rate Overtime Rate Engineer Supervising Engineer V 265.00 265.00 Supervising Engineer IV 259.00 259.00 Supervising Engineer III 238.00 238.00Supervising Engineer II 227.00 227.00Supervising Engineer I 216.00 216.00Senior Engineer II 200.00 200.00Senior Engineer I 183.00 183.00Design Engineer II 172.00 172.00Design Engineer I 159.00 159.00 Engineer Intern II 138.00 138.00 Engineer Intern I 121.00 121.00 Planner Supervising Senior Planner 218.00 218.00Senior Planner 181.00 181.00Planner III 147.00 147.00 Planner II 134.00 134.00 Planner I 117.00 117.00 Scientist Supervising Environmental Scientist 227.00 227.00Environmental Scientist III 181.00 181.00Environmental Scientist II 138.00 138.00 Environmental Scientist I 117.00 117.00 Environmental Technician 103.00 103.00 Supervising Geologist 245.00 245.00Senior Geologist 216.00 216.00Geologist III 186.00 186.00Geologist II 159.00 159.00Geologist I 136.00 136.00 Designer and Technician Senior Communications Designer 221.00 221.00Communications Designer 121.00 121.00CAD Designer III 151.00 151.00CAD Designer II 139.00 139.00CAD Designer I 129.00 193.00CAD Tech III 126.00 190.00CAD Tech II 108.00 162.00 CAD Tech I 95.00 143.00 Senior Engineering Technician 178.00 178.00Engineering Technician 121.00 121.00 Resident Project Representative Senior Resident Project Representative 170.00 170.00Resident Project Representative III 161.00 161.00 Resident Project Representative II 143.00 143.00 Resident Project Representative I 122.00 183.00 Administrative Administrative Manager 122.00 122.00Administrative Coordinator III 113.00 113.00Administrative Coordinator II 107.00 160.00Administrative Coordinator I 87.00 131.00 Project Coordinator III 110.00 110.00 Project Coordinator II 99.00 149.00Project Coordinator I 89.00 133.00Technical Intern 83.00 125.00Senior Communication Specialist 124.00 124.00Graphic Designer 103.00 103.00Health & Safety Administrator 136.00 136.00 Survey Senior Survey Manager 219.00 219.00Survey Manager 171.00 171.00Land Surveyor IV 164.00 164.00Land Surveyor III 153.00 153.00Land Surveyor II 140.00 140.00Land Surveyor I 130.00 130.00Remote Sensing Specialist II 145.00 145.00 Remote Sensing Specialist I 135.00 135.00 Survey Technician IV 125.00 125.00Survey Technician III 111.00 167.00Survey Technician II 95.00 143.00Survey Technician I 78.00 117.00 Expert Witness Recommended rate for expert witness services (depositions and/or time in court) is charged at an hourly rate of 150-200% of the standard billing rate. 12/21/2022 Exhibit 2A.2 73 Memorandum REPORT TO:City Commission FROM:Addi Jadin, Park Planning and Development Manager Mitch Overton, Director of Parks and Recreation SUBJECT:Authorize the City Manager to Sign an Amendment 1 to Sanderson Stewart Contract for Westlake Park MEETING DATE:May 16, 2023 AGENDA ITEM TYPE:Agreement - Vendor/Contract RECOMMENDATION:Authorize City Manager to Sign the First Amendment to Sanderson Stewart Contract for Westlake Park STRATEGIC PLAN:3.4 Active Recreation: Facilitate and promote recreational opportunities and active health programs and facilities. BACKGROUND:This amendment will allow Sanderson Stewart to move forward from the design phase to the construction oversight phase of the Westlake Park Improvements project (site plan application 21335). UNRESOLVED ISSUES:NA ALTERNATIVES:Per Commission FISCAL EFFECTS:Funding for the contract is included in the project budget which includes Cash-in-lieu of Parkland and Midtown funding. Attachments: PSA Amendment Sanderson Stewart Westlake.docx Services_Agreement_Amendment_No._1_050423.pdf Report compiled on: May 5, 2023 74 First Amendment to Professional Services Agreement for Parks, Recreation and Active Transportation Plan FY 2023 – FY 2024 Page 1 of 2 FIRST AMENDMENT TO PROFESSIONAL SERVICES AGREEMENT THIS FIRST AMENDMENT TO THE PROFESSIONAL SERVICES AGREEMENT FOR Parks, Recreation and Active Transportation Plan dated July 13, 2021 (the “Agreement”) is made and entered into this _____ day of ____________, 2023, by and between the CITY OF BOZEMAN, MONTANA,a self-governing municipal corporation organized and existing under its Charter and the laws of the State of Montana, 121 North Rouse Street, Bozeman, Montana, with a mailing address of PO Box 1230, Bozeman, MT 59771, hereinafter referred to as “City,” and SANDERSON STEWART, 106 East Babcock, Suite L1, Bozeman, MT 59715, hereinafter referred to as “Contractor.” In consideration of the mutual covenants and agreements herein contained, the receipt and sufficiency whereof being hereby acknowledged, the parties hereto agree to amend the Agreement as follows: 1.Extension of Term. Section 2 of the Agreement is extended until November 30, 2023. 2.Change to Scope of Services. Section 3 of the Agreement is changed to include the elements described in Exhibit A: Services Agreement – Amendment No. 1. 3.Payment. Section 4 of the Agreement is changed to reflect the additional Scope of Services. The project cost is not to exceed $50,000. 4.Agreement still valid. All remaining terms and provisions of the Agreement remain valid. Consent to Electronic Signatures: The Parties have consented to execute this Agreement electronically in conformance with the Montana Uniform Electronic Transactions Act, Title 30, Chapter 18, Part 1, MCA. **** END OF AGREEMENT EXCEPT FOR SIGNATURES **** 75 First Amendment to Professional Services Agreement for Parks, Recreation and Active Transportation Plan FY 2023 – FY 2024 Page 2 of 2 IN WITNESS WHEREOF,the parties hereto have executed this instrument the day and year first above written. CITY OF BOZEMAN, MONTANA SANDERSON STEWART, CONTRACTOR By________________________________By_____________________________ Jeff Mihelich, City Manager Danielle Scharf, Principal APPROVED AS TO FORM By_______________________________ Greg Sullivan, Bozeman City Attorney 76 __________ PM Initials SERVICES AGREEMENT - AMENDMENT NO. 1 1. Project/Services Agreement Information Project Name: Westlake Park BMX Track – Landscape & Design Sanderson Stewart Project Number: 18098.18 Client Name: City of Bozeman Parks & Recreation Effective Date of Original Subconsultant Services Agreement: 12/22/2020 2. Description of Services Agreement Modifications Final bidding documents for the West Lake Park, Irrigation Design, and Construction Administration services for the proposed renovations to West Lake Park Project, located at 5th Ave, Bozeman, Montana. Scope includes the following items: • Civil Storm Pipe Re-route Design o Relocation of existing pipe below the proposed pump track starting hill o Rim/Inverts and pipe size of relocation, addition to permit/bid documents o Storm Drainage Plans • Bidding Documents – Sanderson Stewart will provide construction bid documents and the following bidding services as outlined below: o Bid Advertisement o Form of Bid/bid bond/special provisions/instructions to bidders o Pre-Bid Mtg/Agenda • Construction Administration Services – Sanderson Stewart will provide limited inspection services for West Lake Park, associated with the grading, drainage, and renovations to the pump track, plaza space, and landscape areas. Field Reports will be provided in electronic format from Sanderson Stewarts construction report software, Raken. Scope or work is as follows: o Pay applications review o Field reports – for site visits required o Submittal Review o RFI o Site Inspection for Storm Pipe Re-route o Planting site inspection o Irrigation Testing inspection o Substantial Completion Walk of Site 77 o Substantial Completion Punchlist o Final Completion Walk 3. Fee Modifications Original services agreement fee: $ 23,000.00 Total fees for prior Amendments: $ 0.00 Total services agreement fee with prior Amendments: $ 23,000.00 Proposed fee for this Amendment: $ 27,000.00 Total services agreement fee with all Amendments: $ 50,000.00 Client and Sanderson Stewart hereby agree to modify the above-referenced Services Agreement as set forth in this Amendment. All provisions of the Services Agreement not specifically modified by this, or any prior Amendments shall remain in effect. The effective date of this Amendment shall be the signature date of the Client as shown below. CLIENT SANDERSON STEWART Signature: Signature: Printed: Printed: Title: Title: Date: Date: 78 Memorandum REPORT TO:City Commission FROM:Addi Jadin, Park Planning and Development Manager Mitch Overton, Director of Parks and Recreation SUBJECT:Authorize City Manager to Sign an Amendment 2 to Professional Services Agreement for Parks, Recreation and Active Transportation Plan MEETING DATE:May 16, 2023 AGENDA ITEM TYPE:Agreement - Vendor/Contract RECOMMENDATION:Authorize City Manager to Sign an Amendment 2 to Professional Services Agreement for Parks, Recreation and Active Transportation Plan STRATEGIC PLAN:3.4 Active Recreation: Facilitate and promote recreational opportunities and active health programs and facilities. BACKGROUND:On July 13, 2021 the City of Bozeman entered into a Professional Services Agreement (PSA) with Agency Landscape and Planning LLC for the Parks, Recreation and Active Transportation Plan (PRAT Plan). The first amendment to the contract allowed for wayfinding plan components to be added to the scope of work. The second amendment will allow a revised scope of work to address comments from the Urban Parks and Forestry Board, City Commission and the public that are outside of the initial scope of work but important to the completion of the project. The second amendment allows for the revision and additional travel and meeting attendance. UNRESOLVED ISSUES:NA ALTERNATIVES:Per Commission FISCAL EFFECTS:Additional services as requested by City Commission shall not exceed $22,800. Attachments: PSA Amendment 2 Agency LP.docx ExhibitA_Additional Services.pdf Report compiled on: May 5, 2023 79 Second Amendment to Professional Services Agreement for Parks, Recreation and Active Transportation Plan FY 2023 – FY 2024 Page 1 of 2 SECOND AMENDMENT TO PROFESSIONAL SERVICES AGREEMENT THIS SECOND AMENDMENT TO THE PROFESSIONAL SERVICES AGREEMENT FOR Parks, Recreation and Active Transportation Plan dated July 13, 2021 (the “Agreement”) is made and entered into this _____ day of ____________, 2023, by and between the CITY OF BOZEMAN, MONTANA,a self-governing municipal corporation organized and existing under its Charter and the laws of the State of Montana, 121 North Rouse Street, Bozeman, Montana, with a mailing address of PO Box 1230, Bozeman, MT 59771, hereinafter referred to as “City,” and AGENCY LANDSCAPE AND PLANNING LLC, hereinafter referred to as “Contractor.” In consideration of the mutual covenants and agreements herein contained, the receipt and sufficiency whereof being hereby acknowledged, the parties hereto agree to amend the Agreement as follows: 1.Extension of Term. Section 2 of the Agreement is extended for an additional five (5) month period. The Agreement shall terminate on September 30, 2023. 2.Change to Scope of Services. Section 3 of the Agreement is changed to include the elements described in Exhibit A: Scope of Work for Revisions. 3.Payment. Section 4 of the Agreement is changed to reflect the additional Scope of Services. The project cost is not to exceed $213,800. 4.Agreement still valid. All remaining terms and provisions of the Agreement remain valid. Consent to Electronic Signatures: The Parties have consented to execute this Agreement electronically in conformance with the Montana Uniform Electronic Transactions Act, Title 30, Chapter 18, Part 1, MCA. **** END OF AGREEMENT EXCEPT FOR SIGNATURES **** 80 Second Amendment to Professional Services Agreement for Parks, Recreation and Active Transportation Plan FY 2023 – FY 2024 Page 2 of 2 IN WITNESS WHEREOF,the parties hereto have executed this instrument the day and year first above written. CITY OF BOZEMAN, MONTANA AGENCY LANDSCAPE AND PLANNING LLC By________________________________By_____________________________ Jeff Mihelich, City Manager Brie Hensold, Principal Planner APPROVED AS TO FORM By_______________________________ Greg Sullivan, Bozeman City Attorney 81 Bozeman Parks, Recreation and Active Transportation Plan Agency #AG2110 Addi Jadin City of Bozeman Parks and Recreation Department P.O. Box 1230 Bozeman, MT 59771 April 28, 2023 Subject: Request for fees for additional services Dear Addi, This letter outlines a request for fees for additional services and is proposed to serve as Amendment #2 to the City of Bozeman Professional Services Contract between the City of Bozeman (“Client”) and Agency Landscape + Planning, LLC (“Agency”) made as of July 13, 2021 (“Agreement”) for the Bozeman Parks, Recreation and Active Transportation Plan (“Project”). Contract Extension Agency is requesting that the City extend the plan contract timeline to August 31, 2023 and provide additional fees to cover scope and process changes and extension of the schedule and inclusion of additional meetings and additional feedback related to the plan document for the approval of the Project. We note the following points related to this: Approval Schedule Extension and Additional Project Meetings The approval schedule has extended, as discussed previously, for several reasons. The engagement of additional stakeholders including the Transportation Board, GVLT, and additional meetings for Urban Parks and Forestry Board review go beyond the typical approvals process for this plan. Though the feedback from those meetings, and the requests by the City Commission go above and beyond the initial expectations outlined in the original contract, the Client and Agency are prepared to respond to feedback through an additional round of report edits and inclusions as follows: Expand the Plan Lens -Though the original scope of work did not include sensitive lands recommendations, the PRAT plan will include recommendations in support of the Sensitive Lands Plan and in support of a balanced urban parks system. -Address active transportation needs from GVLT, Transportation Board, and City Commission together with Client. -The PRAT plan commits to actions that are derived directly from the community. Agency and the Client will review GVLT, Transportation Board, and City Commission requests against the desires of the community when editing recommendations. Guide Plan Implementation - The request for a prioritized list of projects to support future capital improvement plans for both trails, parks and amenities is outside of the scope of work, but will be important for the City to plan for the future open space system. -The plan should be centered on equity. Edits to the report will clarify the role of equity in all decision making and project implementation. Reconfigure the Plan Document -Include an executive summary or graphic table of contents for navigation purposes Exhibit A - Second Amendment to PSA 82 Agency Landscape + Planning | 2 -Simplify report language and make the principles and strategies more direct -Simplify report layout and reduce use of color in text narrative, especially colors that are “noncompliant”. Additional Services Request The table below illustrates the tasks, meetings and milestones needed in order to complete the project based on the description of additional project requests above. Task Total Fee Additional meetings to present final PRAT document, including additional meetings with UPFB, City Commission, GVLT, and Transportation Board. This could include UDC discussions as needed. Agency will attend two of these meetings in person. $2,400 Third round of report revisions based on Transportation Board, GVLT comments identified as out of scope. $5,850 Third round of report edits for requests out of scope, but requested by City Commission, including layout revisions and project prioritization. $10,950 Total Labor $19,200 Reimbursable Expenses for Two Trips $3.600 Agency looks forward to completing the project in the summer of 2023 and asks for the Client’s consideration of the above in our request for an additional fee not to exceed $19,200 (nineteen thousand two hundred dollars) and reimbursable expenses not to exceed $3,600 (three thousand six hundred dollars) to be billed in accordance with the terms of the Agreement. This is not intended to fully represent the hours dedicated to the project but is meant to incorporate additional conversations, reviews, and presentations above those originally included in the original scope of work. This Amendment is entered into as of the day and year first written above. Agency Landscape + Planning, LLC City of Bozeman ______________________________________ ____________________________________ Brie Hensold, Principal Signature ____________________________________ Printed Name and Title 83 Memorandum REPORT TO:City Commission FROM:Jesse DiTommaso, Economic Development Specialist Mike Veselik, Economic Development Program Manager Brit Fontenot, Economic Development Director SUBJECT:Authorize the City Manager to Sign the Fifth Amendment to Professional Services Agreement with Central House Strategies for Lobbying Services MEETING DATE:May 16, 2023 AGENDA ITEM TYPE:Agreement - Vendor/Contract RECOMMENDATION:I move to approve the amendment to Professional Services Agreement with Central House Strategies for Lobbying Services STRATEGIC PLAN:1.3 Public Agencies Collaboration: Foster successful collaboration with other public agencies and build on these successes. BACKGROUND:An amendment to extend the contract with Central House Strategies through the interim session of the Montana State Legislature. The amendment also establishes a new scope of work and rate schedule for the interim session. The amendment will allow staff and the contractor to advance City priorities and prepare the City for a successful legislative session beginning in January 2025. UNRESOLVED ISSUES:No Unresolved ALTERNATIVES:Alternatives as proposed by the Commission FISCAL EFFECTS:$3,000 per month, $36,000 total for FY24 Attachments: Fifth PSA Amendment for lobbying services with Central House Strategies.docx Report compiled on: May 4, 2023 84 Third Amendment to Professional Services Agreement for Lobbying Services FY 2021 – FY 2022 Page 1 of 3 FIFTH AMENDMENT TO PROFESSIONAL SERVICES AGREEMENT DATED OCTOBER 20, 2020 ASSIGNED TO CENTRAL HOUSE STRATEGIES THIS FIFTH AMENDMENT TO THE PROFESSIONAL SERVICES AGREEMENT FOR lobbying services dated October 20, 2020 (the “Agreement”) is made and entered into this 16th day of May, 2023, by and between the CITY OF BOZEMAN, MONTANA,a self governing municipal corporation organized and existing under its Charter and the laws of the State of Montana, 121 North Rouse Street, Bozeman, Montana, with a mailing address of PO Box 1230, Bozeman, MT 59771, hereinafter referred to as “City,” and Central House Strategies, PO Box 878, Helena, MT 59624, hereinafter referred to as “Contractor.” In consideration of the mutual covenants and agreements herein contained, the receipt and sufficiency whereof being hereby acknowledged, the parties hereto agree to amend the Agreement as follows: 1.Updated Scope of Work. The Attached Scope of Work and Fee schedule will govern the relationship between the City and the Contractor for the duration of the interim legislative session from May 16, 2023 to October 31, 2024. 2.Extension. The Professional Services Agreement is extended until October 31, 2023. 3.Agreement still valid. All remaining terms and provisions of the Agreement remain valid. **** END OF AGREEMENT EXCEPT FOR SIGNATURES **** 85 Third Amendment to Professional Services Agreement for Lobbying Services FY 2021 – FY 2022 Page 2 of 3 IN WITNESS WHEREOF,the parties hereto have executed this instrument the day and year first above written. CITY OF BOZEMAN, MONTANA CENTRAL HOUSE STRATEGIES By________________________________By_____________________________ Jeff Mihelich, City Manager SK Rossi, Managing Partner APPROVED AS TO FORM By_______________________________ Greg Sullivan, Bozeman City Attorney 86 Third Amendment to Professional Services Agreement for Lobbying Services FY 2021 – FY 2022 Page 3 of 3 APPENDIX A PROPOSED SCOPE(S) OF WORK (SOW): CITY OF BOZEMAN JUNE 1, 2023 – OCTOBER 31, 2024 OPTION 3: INTERIM LEGISLATIVE ADVOCACY, COALITION BUILDING, AND STAKEHOLDER OUTREACH ●Monitor local government interim committee; ●Send a summary of local government interim committee activities to Bozeman staff; ●Advocacy work with interim committee members, other legislators, and local government advocacy partners on interim committee issues; ●Engage Bozeman staff in the building and facilitation of a statewide coalition to reform taxes; ●Engage with and educate current legislators and candidates to increase their understanding of local government issues and the importance of local government to the health and well-being of Montana residents. ●Weekly meeting with Bozeman staff. Fee: 3,000/month, June 2023 – October 2024 87 Memorandum REPORT TO:City Commission FROM:Bernie Massey, Assistant Treasurer Laurae Clark , Treasurer Melissa Hodnett, Finance Director SUBJECT:Resolution 5482 Creation of Special Improvement Lighting District 779 Norton East Ranch Phase 6 MEETING DATE:May 16, 2023 AGENDA ITEM TYPE:Resolution RECOMMENDATION:Adopt Commission Resolution No. 5482 Creation of Special Improvement Lighting District 779 Norton East Ranch Phase 6. STRATEGIC PLAN:7.5. Funding and Delivery of City Services: Use equitable and sustainable sources of funding for appropriate City services, and deliver them in a lean and efficient manner. BACKGROUND:The Commission did on April 11, 2023 adopt Commission Resolution No. 5481 / Intent to Create Special Improvement Lighting District 779, Norton East Ranch Phase 6 as per MCA 7-12-4301. The property owner has been noticed of the public hearing on this date. Creating a lighting district is a requirement of final plat approval. UNRESOLVED ISSUES:None ALTERNATIVES:As suggested by the City Commission FISCAL EFFECTS:As a result of creating this lighting district, the City will pay the associated power bills and schedule system maintenance. We will recover these costs by billing property owners each year on their City Assessment bill. It is estimated to cost $12.48 per acre within the district or $264.00 annually for the entire district, or on an average size lot of 230,432 square feet the annual estimated cost would be $66.14 which is payable semiannually. Attachments: Resolution 5482-Creation of SILD 779 .doc Report compiled on: March 28, 2023 88 Page 1 of 4 RESOLUTION 5482 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF BOZEMAN, MONTANA, RELATING TO LIGHTING DISTRICT NO. 779 NORTON EAST RANCH PHASE 6 CREATING THE DISTRICT FOR THE PURPOSE OF MAINTAINING LIGHTING IMPROVEMENTS AND ASSESSING THE COSTS OF MAINTENANCE AND ENERGY THEREFOR TO BENEFITTED PROPERTY BY THE LEVY OF SPECIAL ASSESSMENT. BE IT RESOLVED by the City Commission (the “Commission”) of the City of Bozeman, Montana (the “City”), as follows: Section 1 Passage of Resolution of Intention. This Commission, on April 11, 2023, adopted Resolution No. 5481 (the “Resolution of Intention”), pursuant to which this Commission declared its intention to create a special lighting district, designated as Special Lighting District No. 779 (NORTON EAST RANCH PHASE 6 of the City (the “District”), under Montana Code Annotated, Title 7, Chapter 12, Part 43, as amended (the “Act”), for the purpose of financing costs of certain local improvements described generally therein (the “Improvements”) and paying costs incidental thereto, including costs associated with the creation and administration of the District. Section 2 Notice and Public Hearing. Notice of passage of the Resolution of Intention was duly published, posted and mailed in all respects in accordance with law, and on May 16, 2023, this Commission 89 Resolution 5482, Creation of SILD 779 Page 2 of 4 conducted a public hearing on the creation of the District and the making of the Improvements. The meeting of this Commission at which this resolution was adopted is the first regular meeting of the Commission following the expiration of the period ended 15 days after the first date of publication of the notice of passage of the Resolution of Intention (the “Protest Period”). Section 3 Protests. Within the Protest Period, no protests were filed with the City Clerk. Section 4 Creation of the District; Insufficiency of Protests. The District is hereby created on the terms and conditions set forth in and otherwise in accordance with, the Resolution of Intention. The findings and determinations made in the Resolution of Intention are hereby ratified and confirmed. Section 5 Preparation and Levying of Assessments. It shall be the duty of the City Clerk to prepare all necessary schedules and resolutions for the levying of assessments in the District necessary to finance the Improvements and present such resolution to this Commission for adoption in conformance with Section 7-12-4328, M.C.A., on or before the first Monday in October. The City Clerk is authorized to provide notice of the resolution of assessment and schedule a public hearing therefore in conformance with Sections 7-12-4329 and 7-12-4330, M.C.A., and upon final passage of such resolution deliver it to the City Treasurer. Section 6 Lighting District Fund Established. There is hereby created a fund to be known as the Special Lighting District No. 779 Fund (the “Fund”). All money derived from the collection of the assessments as provided in Section 5 herein and the Act shall be deposited in the Fund and used to 90 Resolution 5482, Creation of SILD 779 Page 3 of 4 pay costs of the Improvements. PASSED, ADOPTED, AND APPROVED by the City Commission of the City of Bozeman, Montana, at a regular session thereof held on the 16 th day of May, 2023. ___________________________________ CYNTHIA ANDRUS Mayor ATTEST: ________________________________________ MIKE MAAS City Clerk APPROVED AS TO FORM: ___________________________________ GREG SULLIVAN City Attorney 91 Resolution 5482, Creation of SILD 779 Page 4 of 4 CERTIFICATE AS TO RESOLUTION AND ADOPTING VOTE I, the undersigned, being the duly qualified and acting recording officer of the City of Bozeman, Montana (the “City”), hereby certify that the attached resolution is a true copy of Resolution No. 5482 entitled: A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF BOZEMAN, MONTANA, RELATING TO LIGHTING DISTRICT 779(NORTON EAST RANCH PHASE 6); CREATING THE DISTRICT FOR THE PURPOSE OF MAINTAINING LIGHTING IMPROVEMENTS AND ASSESSING THE COSTS FOR MAINTENANCE AND ENERGY THEREFOR TO BENEFITTED PROPERTY BYTHE LEVY OF SPECIAL ASSESSMENT,(the “Resolution”), on file in the original records of the City in my legal custody; that the Resolution was duly adopted by the City Commission of the City at a meeting on May 16, 2023 and that the meeting was duly held by the City Commission and was attended throughout by a quorum, pursuant to call and notice of such meeting given as required by law; and that the Resolution has not as of the date hereof been amended or repealed. I further certify that, upon vote being taken on the Resolution at said meeting, the following Commissioners voted in favor thereof:______________________________________ _______________________________ ; voted against the same: _________________________; abstained from voting thereon: ________________ ; or were absent:__________________. WITNESS my hand officially this 16th day of May, 2023. ___________________________________ MIKE MAAS City Clerk 92 Memorandum REPORT TO:City Commission FROM:Brit Fontenot SUBJECT:Pole Yard Urban Renewal District Fiscal Year 2024 Workplan and Budget and Fiscal Year 2023 Annual Report MEETING DATE:May 16, 2023 AGENDA ITEM TYPE:Finance RECOMMENDATION:I move to approve the preliminary Pole Yard Urban Renewal District Fiscal Year 2024 Work Plan and Budget. STRATEGIC PLAN:2.2 Infrastructure Investments: Strategically invest in infrastructure as a mechanism to encourage economic development. BACKGROUND: The Pole Yard Urban Renewal District was created in 2020. Despite the relative new-ness of the district, the URD has an estimated balance of $600,000 This is only the second proposed Work Plan and Budget for the District. UNRESOLVED ISSUES:None at this time. ALTERNATIVES:As proposed by the City Commission. FISCAL EFFECTS:Staff is requesting budget authority to spend up to $600,000 of existing cash-on- hand to move projects and development agreements forward in the District. Additional district funds could be devoted to the design or construction of public infrastructure that serves the District. Specifically, $500,000 of these funds could be allocated to the construction of quiet zone improvements at the Rouse Ave. crossing in the event the project moves forward within the fiscal year. Attachments: FY24 PYURD Budget Memo 5.16.23.docx Pole Yard URD FY 24 Work Plan and Budget.pdf Report compiled on: May 2, 2023 93 Memorandum REPORT TO:City Commission FROM:David Fine, Economic Development Program Manager Brit Fontenot, Economic Development Director SUBJECT:Pole Yard Urban Renewal District Fiscal Year 2024 Work Plan and Budget and Fiscal Year 2023 Annual Report MEETING DATE:June 16, 2023 AGENDA ITEM TYPE:Finance RECOMMENDATION:I move to approve the Pole Yard Urban Renewal District Fiscal Year 2023 Work Plan and Budget. STRATEGIC PLAN:2.2 Infrastructure Investments: Strategically invest in infrastructure as a mechanism to encourage economic development. BACKGROUND:The Pole Yard Urban Renewal District was created in 2020 and has limited fiscal resources as a result its recent creation. This is the first proposed Work Plan and Budget for the District. Staff is requesting budget authority to spend up to $100,000 of existing cash-on- hand to move projects and development agreements forward in the District. Additional funds could be devoted to the design or construction of public infrastructure that serves the District. Specifically, $500,000 of these funds could be allocated to the construction of quiet zone improvements at the Rouse Ave. crossing in the event the project moves forward within the Fiscal Year. UNRESOLVED ISSUES:None at this time. ALTERNATIVES:As suggested by the City Commission. FISCAL EFFECTS:Staff is requesting an appropriation of $600,000 from the Pole Yard Urban Renewal District tax increment fund. Attachments: Pole Yard URD FY 24 Work Plan and Budget Report compiled on: May 2, 2022 1 94 POLE YARD URBAN RENEWAL DISTRICT FY2023 ANNUAL REPORT and FY2024 WORK PLAN AND BUDGET The Purpose and Intent of the Pole Yard Urban Renewal District and Plan The creation of the URD in the Pole Yard enables the City of Bozeman to eliminate conditions that contribute to blight substantially impairing sound growth of the City through investments in public infrastructure and efficient delivery of public services. Goals of the Pole Yard Urban Renewal District Plan GOAL 1. Promote Innovative Economic Development Rationale: Commerce strengthens the community, opens reinvestment opportunities, enables livable wage jobs, and supports the sound growth of the community, helping to eliminate conditions that contribute to blight. GOAL 2. Enable Enhanced Connectivity and Mobility Rationale: Connecting neighborhoods through investments in multi-model transportation corridors strengthens the fiber of the community. GOAL 3. Invest in Efficient Delivery of Public Infrastructure Rationale: Infrastructure is the backbone of the community. Private development typically requires a corresponding public investment in infrastructure. Capital improvements will help achieve economic vitality and support the delivery of public services. GOAL 4. Foster Urban Neighborhood Coherency Rationale: Higher concentration of development achieves greater efficiency in the delivery of public services. Urban growth, oriented to centers of employment and activity, can reduce or eliminate commute times, lower transportation costs and create vitality and a sense of community. Integrated elements of growth, ensuring a cohesive neighborhood that in turn contributes to the well-being of the entire community, will reduce geographic, as well as economic and social isolation. GOAL 5. Protect Public Health Rationale: An area that includes a superfund site presents the need for increased diligence to comply with the obligation to not exacerbate the human health contact risk or environmental contamination. GOAL 6. Encourage the Retention of Existing Businesses Rationale: Urban infill development can affect the community through such things as additional traffic and noise, particularly when the existing public systems do not meet current standards. 95 GOAL 7. Respect Critical Environments Rationale: Riparian and wetland areas provide benefits to the community through such things as filtering urban runoff, providing habitat for wildlife and flood protection. Pole Yard Urban Renewal District (PYURD) FY2023 Annual Report (July 1, 2022 to June 30, 2023) Highlights of investments over $15,000 are documented below. No funds were expended in the PYURD in FY 2023. Pole Yard Urban Renewal District (PYURD) FY2024 Work Plan (July 1, 2023 to June 30, 2024) The Pole Yard Urban Renewal District was created in 2020 and has limited fiscal resources as a result its recent creation. Professional Services / Outside Counsel / Public Infrastructure $600,000 Staff is requesting budget authority to spend up to $600,000 of existing cash-on-hand to move projects and development agreements forward in the District. These funds could also be devoted to the design or construction of public infrastructure that serves the District. Specifically, $500,000 of these funds could be allocated to the construction of quiet zone improvements at the Rouse Ave. crossing in the event the project moves forward within the Fiscal Year. 96 Memorandum REPORT TO:City Commission FROM:Brit Fontenot SUBJECT: North Park Urban Renewal District Fiscal Year 2024 Work Plan and Budget and Fiscal Year 2023 Annual Report MEETING DATE:May 16, 2023 AGENDA ITEM TYPE:Finance RECOMMENDATION:I move to approve the preliminary North Park Urban Renewal District Fiscal Year 2024 Work Plan and Budget. STRATEGIC PLAN:2.2 Infrastructure Investments: Strategically invest in infrastructure as a mechanism to encourage economic development. BACKGROUND:The North Park Urban Renewal District was created in 2017. Due to the slow pace of development, and until recently, the North Park Urban Renewal District (the District) has not had the tax increment funds to propose a meaningful Work Plan and Budget. UNRESOLVED ISSUES:None at this time. ALTERNATIVES:As proposed by the City Commission. FISCAL EFFECTS:Staff is requesting budget authority to spend up to $160,200 of existing cash-on-hand to move projects and development agreements forward in the District and respond to opportunities as they arise. These funds could also be devoted to the design or construction of public infrastructure that serves the District. Attachments: FY24 NPURD Biudget and WP Memo 5-16-23.docx NP URD Work Plan and Budget FY 24 DRAFT.pdf Report compiled on: May 2, 2023 97 Memorandum REPORT TO:City Commission FROM:David Fine, Economic Development Program Manager Brit Fontenot, Economic Development Director SUBJECT:North Park Renewal District Fiscal Year 2024 Work Plan and Budget and Fiscal Year 2023 Annual Report MEETING DATE:June 16, 2022 AGENDA ITEM TYPE:Finance RECOMMENDATION:I move to approve the North Park Renewal District Fiscal Year 2024 Work Plan and Budget STRATEGIC PLAN:2.2 Infrastructure Investments: Strategically invest in infrastructure as a mechanism to encourage economic development. BACKGROUND:The North Park Urban Renewal District was created in 2017. Due to the slow pace of development, and until recently, the North Park Urban Renewal District (the District) has not had the tax increment funds to propose a Work Plan and Budget. Staff is requesting budget authority to spend up to $160,200 of existing cash-on-hand to move projects and development agreements forward in the District and respond to opportunities. These funds could also be devoted to the design or construction of public infrastructure that serves the District. UNRESOLVED ISSUES:None at this time. ALTERNATIVES:As suggested by the City Commission. FISCAL EFFECTS:Staff is requesting appropriations of $160,200 from the North Park Urban Renewal District tax increment fund. ATTACHMENTS: NP URD Work Plan and Budget FY 24 FINAL Report compiled on: May 2, 2023 1 98 NORTH PARK URBAN RENEWAL DISTRICT FY2023 ANNUAL REPORT and FY2024 WORK PLAN AND BUDGET Goals of the North Park Urban Renewal District Plan GOAL 1: Promote Economic Development, with a Focus on Value-Adding Commerce Rationale: Value-adding commerce strengthens the community, opens reinvestment opportunities, supports livable wage jobs, and provides for economic needs of the citizens, helping to eliminate conditions that contribute to blight. GOAL 2: Invest in Efficient Delivery of Public Infrastructure Rationale: Infrastructure is the backbone of the community. Private development typically requires a corresponding public investment in infrastructure. Capital improvements in the district will help achieve economic vitality and address conditions that contribute to blight. GOAL 3: Support Planned Urban Density and Design Rationale: Higher density achieves greater efficiency in the delivery of public services. Live-work opportunities can reduce or eliminate commute times, lower transportation costs and create vitality and a sense of community. Design elements such as open space and pedestrian facilities promote recruitment of value-adding businesses interested in quality of life for their employees. North Park Urban Renewal District (NPURD) FY2023 Annual Report (July 1, 2022 to June 30, 2023) Highlights of investments over $15,000 are documented below. No funds were expended in the NPURD in FY 2023. 99 North Park Urban Renewal District (NPURD) FY2024 Work Plan (July 1, 2023 to June 30, 2024) Professional Services / Outside Counsel / Public Infrastructure $160,200 Staff is requesting budget authority to spend up to $160,200 of existing cash-on-hand to move projects and development agreements forward in the District and respond to opportunities as they arise.. These funds could also be devoted to the design or construction of public infrastructure that serves the District. 100 Memorandum REPORT TO:City Commission FROM:Brit Fontenot SUBJECT: South Bozeman Technology District Fiscal Year 2024 Work Plan and Budget and Fiscal Year 2023 Annual Report MEETING DATE:May 16, 2023 AGENDA ITEM TYPE:Finance RECOMMENDATION:I move to approve the preliminary South Bozeman Technology District Fiscal Year 2024 Work Plan and Budget. STRATEGIC PLAN:2.2 Infrastructure Investments: Strategically invest in infrastructure as a mechanism to encourage economic development. BACKGROUND: The South Bozeman Technology District was created in 2012. Due to the slow pace of development on the MSU Innovation Campus, there has never been enough tax increment value to spend money prior to this fiscal year. UNRESOLVED ISSUES:None at this time. ALTERNATIVES:As proposed by the City Commisison. FISCAL EFFECTS:Staff is requesting budget authority to spend up to $38,000 of existing cash- on-hand to move projects and development agreements forward in the District. These funds could also be devoted to the design or construction of public infrastructure that serves the District. There is currently a development agreement in place with Charter Realty for the construction of public infrastructure related to the construction of two buildings within the District on the MSU Innovation Campus. The development agreement is not a guarantee of reimbursement or bonding for reimbursement. Once the buildings are complete, a tax generation analysis will determine if the debt coverage ratio exists to bond for reimbursement to the developer for the improvements. Attachments: 101 FY24 SBURD Memo 5.16.23.docx SBTD Work Plan and Budget FY 2024 Draft.pdf Report compiled on: May 2, 2023 102 Memorandum REPORT TO:City Commission FROM:David Fine, Economic Development Program Manager Brit Fontenot, Economic Development Director SUBJECT:South Bozeman Technology District Fiscal Year 2024 Work Plan and Budget and Fiscal Year 2023 Annual Report MEETING DATE:June 16, 2023 AGENDA ITEM TYPE:Finance RECOMMENDATION:I move to approve the South Bozeman Technology District Fiscal Year 2024 Work Plan and Budget. STRATEGIC PLAN:2.2 Infrastructure Investments: Strategically invest in infrastructure as a mechanism to encourage economic development. BACKGROUND:The South Bozeman Technology District was created in 2012. Due to the slow pace of development on the MSU Innovation Campus, there has never been enough tax increment value to spend money prior to this fiscal year. Staff is requesting budget authority to spend up to $38,000 of existing cash-on-hand to move projects and development agreements forward in the District. These funds could also be devoted to the design or construction of public infrastructure that serves the District. UNRESOLVED ISSUES:None at this time. ALTERNATIVES:As directed by the City Commission. FISCAL EFFECTS:Staff is requesting budget authority to spend up to $38,000 of existing cash- on-hand to move projects and development agreements forward in the District. These funds could also be devoted to the design or construction of public infrastructure that serves the District. There is currently a development agreement in place with Charter Realty for the construction of public infrastructure related to the construction of two buildings within the District on the MSU Innovation Campus.The development agreement is not a guarantee of reimbursement or bonding for reimbursement.Once the buildings are complete, a tax generation analysis will determine if the debt coverage ratio exists to bond for reimbursement to the developer for the improvements. ATTACHMENTS: SBTD Work Plan and Budget FY 2024 FINAL 103 Report compiled on: May 2, 2023 1 104 SOUTH BOZEMAN TECHNOLOGY DISTRICT FY2023 ANNUAL REPORT and FY2024 WORK PLAN AND BUDGET New Mission and Vision for the Montana State University Innovation Campus The Mission of the Montana State University Innovation Campus is: • To promote economic development and support partnerships between regional, national, and international high tech-based businesses and the research community of Montana State, the region, and the State of Montana. • To create a world-class research park to promote academic and industry collaboration to advance research and scientific discoveries with Montana State University Faculty and Students that will maximize the academic talent and regional resources of Montana State University, the region, and the State of Montana. • To promote learning and collaboration in support of scientific research, new discoveries, and inventions to further the commercialization of Montana State University’s intellectual assets and technology transfer. • To provide state-of-the-art facilities, programs, services, and amenities to support the growth and success of technology-based businesses. • To provide ‘the place'' to link academic, private, and governmental researchers and scientists to advance new discoveries in support of the Citizens within the State of Montana, the nation, and the world. The Vision of the Montana State University Innovation Campus is: To be recognized as the 'the place' that provides a unique community to connect people and support public private partnerships to stimulate new ideas, push forward the advancement of research and science, and produce new discoveries and technologies that will transform the world. 105 South Bozeman Technology District (SBTD) FY2023 Annual Report (July 1, 2022 to June 30, 2023) Highlights of investments over $15,000 are documented below. $280 were expended in the SBTD in FY 2023 in contracted services. South Bozeman Technology District (SBTD) FY2024 Work Plan (July 1, 2023 to June 30, 2024) Professional Services / Outside Counsel / Public Infrastructure $38,000 Staff is requesting budget authority to spend up to $38,000 of existing cash-on-hand to move projects and development agreements forward in the District. These funds could also be devoted to the design or construction of public infrastructure that serves the District. Future Increment Allocation Please note that there is currently a development agreement in place with Charter Realty for the construction of public infrastructure related to the construction of two buildings within the District on the MSU Innovation Campus. The development agreement is not a guarantee of reimbursement or bonding for reimbursement. Once the buildings are complete, a tax generation analysis will determine if the debt coverage ratio exists to bond for reimbursement to the developer for the improvements. 106 Memorandum REPORT TO:City Commission FROM:David Fine, Economic Development Manager Jesse DiTommaso, Economic Development Specialist Brit Fontenot, Economic Development Director SUBJECT:Midtown Urban Renewal District Fiscal Year 2024 Work Plan and Budget and Fiscal Year 2023 Annual Report MEETING DATE:May 16, 2023 AGENDA ITEM TYPE:Finance RECOMMENDATION:I move to approve the preliminary Midtown Urban Renewal District Fiscal Year 2024 Work Plan and Budget. STRATEGIC PLAN:2.2 Infrastructure Investments: Strategically invest in infrastructure as a mechanism to encourage economic development. BACKGROUND:The Midtown Urban Renewal Board unanimously voted to recommend the attached Work Plan and Budget for Fiscal Year 2024. The Board is recommending four infrastructure investments: Improvements to the Westlake Park that are continuing from FY22, codification of design standards for the N. 7th Ave. streetscape, the construction of a multi-use path along N. 5th Ave. between Oak St. and Tamarack St., and creating standards related to the creation of food truck developments. The Board is also recommending the appropriation of $2 million to be spent on workforce housing projects through future development agreements. Funding for standard programs and administration remains similar to last fiscal year. Please see the Midtown Urban Renewal District Fiscal Year 2024 Work Plan and Budget and Fiscal Year 2023 Annual Report. UNRESOLVED ISSUES:None at this time. ALTERNATIVES:As suggested by the City Commission. FISCAL EFFECTS:The proposed Work Plan and Budget for Fiscal Year 2024 appropriates $3,522,000 from the Midtown Urban Renewal District tax increment fund. Attachments: Midtown Budget FY 2024 FINAL 20230505.pdf Fiscal Year 2024 Midtown Work Plan and Budget and Annual Report DRAFT.docx 107 Report compiled on: May 5, 2023 108 Bozeman Midtown Urban Renewal Board FY 2024 Work Plan and Budget 5/25/2023 Revenue and Reserves Estimated FY23 Ending Balance $2,979,300 Estimated FY24 Revenue $1,999,200 Total Cash and Reserves $4,978,500 Infrastructure Investments Westlake BMX Park Improvements $300,000 Codify Design Standards for N. 7th Avenue Streetscape $50,000 5th Ave Trail $325,000 Food Truck Development Code and Standards $50,000 Bond Repayment Series 2020 $410,000 Professional Services and Outside Legal Counsel Outside Legal Counsel for Bonding and Redevelopment Agreements $60,000 Contracted Professional Services $60,000 Redevelopment Incentive Programs Technical Assistance Grants 1:1 match [2 grants]$15,000 Direct Incentives - Midtown TIF Assistance Program $100,000 City Fiber Conduit Connection Incentive Program $20,000 Outreach and Marketing Outreach Engagement and Mailing $10,000 Midtown Marketing and Recruitment $10,000 District Operations Payroll $70,000 Training $12,000 General Administrative Costs $30,000 Approved Grants and Direct Incentives Workforce Housing Project $2,000,000 TOTAL EXPENDITURES $3,522,000 Future Project Reserve $1,456,500 109 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Midtown Urban Renewal Board Annual Work Plan and Budget FY2024 Page 1 of 8 MIDTOWN URBAN RENEWAL DISTRICT FY2023 ANNUAL REPORT and FY2024 WORK PLAN AND BUDGET The City Commission passed Ordinance No. 1685, “Adopting an Urban Renewal Plan for the North Seventh Avenue Corridor and Adjacent Properties”, on November 27, 2006. On December 16, 2015, the City Commission passed Ordinance No. 1925, which adopted a new urban renewal plan, expanded the boundaries of the original district, and renamed the North Seventh Urban Renewal District the Bozeman Midtown Urban Renewal District. The 2015 Midtown Urban Renewal Plan provides for the remediation of blighted conditions within the urban renewal area by advancing five broad goals through a series of implementing activities and strategies. The five goals include the following items: 1. Promote Economic Development Rationale: Economic vitality strengthens the community, provides for physical needs of the citizens, opens reinvestment opportunities, and helps to eliminate the conditions that contribute to blight. 2. Improve Multimodal Transportation Rationale: Increasing travel options supports public health, reduces resource demand, increases efficiency and reduces costs, improving the quality of life and making the community a better place to live and work, helping to eliminate conditions that contribute to blight. 3. Improve, Maintain and Support Innovation Infrastructure Rationale: Infrastructure is the backbone of the community. Private development typically requires a corresponding public investment in infrastructure. Therefore, capital improvements in the district will help achieve economic vitality and address conditions that contribute to blight. 4. Promote Unified, Human Scale Urban Design Rationale: Protecting and building upon existing physical assets increases vitality, desirability and leverages economic development, strengthening community values and mutual support helping to eliminate the conditions that contribute to blight. 5. Support Compatible Urban Density Mixed Land Uses Rationale: A sense of place is strengthened by a strong core identity. Increasing live-work opportunities and community interaction, ensures that the North 7th Avenue area remains a great place to live, work, operate a business, and play, and helps to eliminate conditions that contribute to blight. 110 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Midtown Urban Renewal Board Annual Work Plan and Budget FY2024 Page 2 of 8 The City Commission approved the Midtown Action Plan in 2017, which charted a new direction in pairing infrastructure spending and blight remediation with proposed private investment. The intent of the Action Plan is to, “attract targeted private investment by leveraging the market potential of the Midtown District and removing barriers to redevelopment through strategic infrastructure investments and incentives.” The Annual Report and the recommended Work Plan and Budget reflect this specific strategy and approach to using private investment to propel blight remediation and urban renewal. The Midtown Action Plan proposes targeting future development that includes the following elements: Infill.The intent of urban renewal is to remove blight to improve an area for the entire community benefit. Remodeling of existing structures or infill of underutilized lots is the priority of this Plan. As discussed, infill development is more challenging than vacant greenfield development and warrants focused investment of staff time and resources. Increased building density.Increased building density increases the number of people in the District, which helps create the desired active pedestrian environment. More density of buildings grouped together in districts is especially desired to encourage pedestrians to explore adjacent buildings. Buildings that are separated by large parking area or vacant lots will impede pedestrian movement. Encourages multimodal transportation.New projects should provide amenities such as adequate bike parking or bus schedule real time monitors in lobbies. At the same time, the Urban Renewal District should invest in infrastructure projects such as bike lanes and signals or covered bus stops to make alternative transportation options visible, safe, and desirable. Retail that serves surrounding residents.To achieve a more vibrant pedestrian-oriented environment the District must consist of uses that are a frequent destination by residents. Retail amenities that are experience based such as restaurants or ice creams shops are desired because they generate activity and are more resilient to emerging ecommerce trends. Such amenities will also attract more housing investment. Housing.Bozeman is in significant need of all types of housing, therefore it is called out as a specific use that is desired. The Midtown District zoning is intended to accommodate more dense housing projects with potential access to retail amenities nearby. The City Commission funded a package of several major infrastructure improvements in the District through the approval of $6,500,000 in bonds with a 25 year term on July 6, 2020. The infrastructure improvements include the streetscape infrastructure on N. 7th Ave. that enhances the walkability, aesthetics, and investment potential of the District as a whole, along with improvements to Aspen St. and N. 5th Ave. that will accelerate ongoing private investment in this emerging node of commercial activity. The District is also focused on investing in public infrastructure that removes barriers to specific private investments. These incentives primarily pay for the costs of public infrastructure associated with the private projects, as well as demolition costs and the cost of 111 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Midtown Urban Renewal Board Annual Work Plan and Budget FY2024 Page 3 of 8 various system development charges, such as impact fees. These early investments in projects will create new incremental taxable value that will allow for greater blight remediation throughout the District in the coming years. Over time, these increases in taxable value will benefit the broader community by increasing the overall tax base through productive infill development. The remediation of blighted conditions in the District and its ongoing redevelopment will take many years. Bozeman has 22 more years to focus on redevelopment of the Midtown area. As instructed by Commission adopted policy documents, the District will continue to focus on remediating blight, by attracting targeted private investment and growing the tax base. 112 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Midtown Urban Renewal Board Annual Work Plan and Budget FY2024 Page 4 of 8 Midtown Urban Renewal District (MURD) FY2022 Annual Report (July 1, 2021 to June 30, 2022) Highlights of investments over $15,000 are documented below. Series 2020 Bond Payment $410,000 The City Commission approved the first series of bonds for the district for $6,500,000. The proceeds of the bonds were to pay for the N. 7th Ave. Streetscape Project and the Aspen and 5th Improvements Project. The term of the bonds is 25 years. Festival Street Lighting extensions $ 100,000 This project adapts the recently installed light poles and string lights on W. Aspen St. to make them compliant with the National Electrical Code and “Night Skies” ordinance. Expenditures Compiled May 2, 2023 113 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Midtown Urban Renewal Board Annual Work Plan and Budget FY2024 Page 5 of 8 Midtown Urban Renewal District (MURD) FY2024 Work Plan (July 1, 2023, to June 30, 2024) Midtown Infrastructure Improvements Westlake Park Improvements $300,000 The District paid to add back-in angle parking to serve as parking for Westlake Park as part of last year’s improvements to N. 5 th Ave. The project significantly impacted the mountain bike facilities manage by Southwest Montana Mountain Bike Association (SWMMBA). A recently update park master plan calls for relocating the mountain bike facilities and building an entrance plaza near the intersection of N. 5th Ave. and the recently complete Aspen Festival Street. The improvements would also include a new, quiet electric start gate for the BMX course, which will allow for much quieter operations and an improved racing experience. The District spent $39,359 on BMX track related elements of this project in FY 2022. The Parks Department is managing the project and is hopeful to complete the project in summer 2023. Codify Design Standards for N. 7th Ave. Streetscape $50,000 Recent improvements to the N. 7th Ave. streetscape are not currently required for redevelopment projects on the corridor. In order to protect the public investments already made and to ensure design continuity for the corridor, codifying the streetscape design is necessary for the future development of the corridor. This project is continuing FY 2023. N. 5th Ave. Multi-Use Path $325,000 Staff obtained an easement to install a 10ft paved multi-use path along the N. 5th Ave. right-of-way to connect the path on Oak St. to Westlake Park and to provide bike and pedestrian connectivity where N. 5th Ave. does not currently exist. Food Truck Development Code and Standards $50,000 The Board asked for Economic Development staff to work with Community Development on standards to formalize food truck installations to add interest and activity to the district. Bond Repayment Series 2020 $ 410,000 The City Commission approved the Series 2020 bonds for a 25 year term that ends 2045. $410,000 is the annual payment on the $6,500,000 in debt issued to finance the cost of the N. 7th Ave. Streetscape Project, and the Aspen and N. 5th Ave. Improvements Project. 114 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Midtown Urban Renewal Board Annual Work Plan and Budget FY2024 Page 6 of 8 Professional Services and Outside Legal Counsel Contracted Professional Services $ 60,000 To assist with district management and implementation of the work plan and budget, as well as responding to new opportunities, Staff will contract for services on an as-needed basis. Outside Legal Counsel $ 60,000 The Midtown Urban Renewal District continues to see strong interest in redevelopment. This interest will necessitate work on development agreements under the Midtown TIF Assistance Program, and depending on the scope of the projects, the need to issue additional bonds. Redevelopment Incentive Programs The Midtown Urban Renewal District’s redevelopment incentive programs are based on criteria included in the 2015 Midtown Urban Renewal District Plan and the 2017 Midtown Action Plan. Technical Assistance Grants (TAG)$ 15,000 This program is to provide technical assistance funding to encourage developers to build on parcels along the N. 7th Avenue corridor, or rehabilitate existing structures. It recognizes the complexities of redeveloping parcels which have existing substandard buildings and infrastructure; it was created to offset the costs of those complexities with grants for those proposing work which eliminates blight and advances the implementation of the District Plan. The program was approved by Resolution 4777 and is administered by the MURB. The maximum grant amount for the program is $7,500 and requires a 1:1 match. Midtown Tax Increment Finance Assistance Program – Direct Incentives $ 100,000 The City Commission approved an incentive program, the Midtown TIF Assistance Program pursuant to Resolution 4770 in 2017. Resolution 5087 reauthorized and updated the Program in 2019. Awards will be based on the quality of projects and their support of the Midtown Urban Renewal Plan. Projects of a larger magnitude may require the issuance of tax increment revenue bonds. Projects $50,000 and under may be awarded by the Board and sent to the City Commission as Consent Items. Projects over $50,000 require the approval of the City Commission. Fiber Conduit Connection Incentive Program $ 20,000 The District has made significant investments in facilitating competitive telecommunications options through the provision of public conduit. This program, modeled on a program created by the Downtown URD provides matching grants of up to $2,500 to connect buildings to the City conduit system. The program facilitates connections to infrastructure and the utilization of the existing conduit investment. 115 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Midtown Urban Renewal Board Annual Work Plan and Budget FY2024 Page 7 of 8 Outreach and Marketing Outreach and Mailing $ 10,000 The Midtown Board will be dissolving this year. Changing the board structure requires a district wide mailing notice. Midtown Marketing and Recruitment $ 10,000 This item includes maintenance of the District website, midtownbozeman.org, as well as programs like the banner program to drive traffic to the website. The District uses the website to communicate effectively with property owners, developers, and the public and “to disseminate blight clearance and urban renewal information.” In addition, the board and staff continue to actively recruit development projects in the district that are in support of the urban renewal plan. District Operations Payroll $ 70,000 The City’s Economic Development Department manages the Bozeman Urban Renewal District in response to City Commission and the Midtown Urban Renewal Board work plans and policy guidance. 1.5 FTE are dedicated to staffing the Bozeman Urban Renewal Program as a whole, of which the Midtown URD contributes a proportionate share of funding. Training $ 12,000 Strong professional development drives the success of the urban renewal program. Staff plans to participate in the National Development Council’s Economic Development Finance Professional (EDFP) Certification Program and the International Economic Development Council’s (IEDC) certified economic developer course series over a number of years General Administrative Costs $ 20,000 This line item provides funding for the general and ordinary cost of running a successful program and allows the program to respond to opportunities and challenges during the year. 116 Bozeman Midtown Urban Renewal District An Urban Renewal District with a Tax Increment Financing (TIF) Program Midtown Urban Renewal Board Annual Work Plan and Budget FY2024 Page 8 of 8 Midtown Tax Increment Finance Assistance Program Approved Grants and Direct Incentives Workforce Housing Project $2,000,000 This line item provides funding should an opportunity for affordable housing within the District arise in FY24. 117 Memorandum REPORT TO:City Commission FROM:David Fine, Economic Development Manager Jesse DiTommaso, Economic Development Specialist Brit Fontenot, Economic Development Director SUBJECT:Northeast Urban Renewal District Fiscal Year 2024 Work Plan and Budget and Fiscal Year 2023 Annual Report MEETING DATE:May 16, 2023 AGENDA ITEM TYPE:Finance RECOMMENDATION:I move to approve the preliminary Northeast Urban Renewal District Work Plan and Budget for Fiscal Year 2024. STRATEGIC PLAN:2.2 Infrastructure Investments: Strategically invest in infrastructure as a mechanism to encourage economic development. BACKGROUND:The proposed Fiscal Year 2024 Work Plan and Budget was formulated based on input from the Northeast Urban Renewal Board. The Board did not vote on the final budget due to issues with scheduling a quorum of voting members. Notable projects include the construction of a pedestrian bridge connecting E. Aspen St. to the trail, design of a pocket park in the N. Church right-of-way, and construction of a railroad quiet zone improvements on N. Wallace Ave. The budget also includes funding for design and due diligence related to a potential partnership for structured parking at the corner of Tamarack and Wallace as part of the Wallace Works project. Administrative costs remain similar to previous fiscal year with small increases to account for rising costs. Please see the attached Northeast Urban Renewal District Fiscal Year 2024 Work Plan and Budget and Fiscal Year 2023 Annual Report UNRESOLVED ISSUES:None at this time. ALTERNATIVES:As suggested by the City Commission. FISCAL EFFECTS:The proposed FY 2024 Work Plan and Budget includes $1,287,700 in requested appropriations from the Northeast Urban Renewal District tax increment fund. Attachments: 23-24NURB Work Plan 050223.pdf 118 FY24 NURB Work Plan 050223.doc Report compiled on: May 5, 2023 119 FY24 Budget Future Projects Revenues: Estimated Beginning Balance $1,006,000.00 FY21 Tax Increment $280,000.00 Delinquent Increment State Shared/Entitlement Interest $1,000.00 Total Estimated Revenues $1,287,000.00 Expenditures: Infrastructure Pedestrian Bridge/East Aspen Street Construction $405,037.00 Pocket park - North Church right-of-way design $25,000.00 Trails within district $200,000.00 Fencing along Depot Trail - west side $20,000.00 Quiet Zone Construction $436,820.00 Connector trail - Depot trail to Audubon site $25,000.00 Public Art $30,000.00 Identification of undeveloped public properties $20,000.00 Reimburse Wildlands public infrastructure $580,000.00 Reimburse Cloverleaf public infrastructure $2,000,000.00 Parking Structure $50,000.00 Front Street - Ida to East Aspen Street $118,000.00 Front Street - Tamarack to Ida Construction $190,000.00 North Ida Avenue - Peach to Cottonwood Engineering $50,000.00 North Ida Avenue - Peach to Cottonwood Construction $280,000.00 Front Street - Ida to East Aspen Street Construction $100,000.00 Subtotal - Infrastructure $986,857.00 $3,543,000.00 Maintenance Trails/Boulevards/Alleyway Maintenance $12,000.00 Subtotal - Maintenance $12,000.00 Neighborhood Support Innovation grant $5,000.00 Subtotal - Neighborhood Event Support $5,000.00 Contracted Services Staff Support $3,000.00 Administrative Services $30,500.00 Professional Services $10,000.00 Bond Repayment $93,000.00 Northeast Urban Renewal District 2023-2024 Budget 120 Subtotal Administration $136,500.00 Reserves Designated Reserve - Bond $120,900.00 Designated Reserve - Projects $26,443.00 Subtotal Reserves $147,343.00 Total Expenditures $1,287,700.00 121 Northeast Urban Renewal Board Annual Work Plan and Budget FY2024 - 042023 1 NORTHEAST URBAN RENEWAL BOARD FY2023 ANNUAL REPORT and FY2024 WORK PLAN AND BUDGET On November 28, 2005, the Bozeman City Commission finally adopted Ordinance No. 1655 which formally enacted the Northeast Urban Renewal Plan and became effective December 28, 2005. The stated mission of the plan and general goals are as follows: DISTRICT PLAN MISSION/VISION “This Plan is the City’s response to remedy the conditions of blight found in the August 2005 [Blight] Report. The Plan also addresses other issues important to the District. The Plan’s purpose is to ensure the vitality of the Northeast Urban Renewal District (NURD) the vitality of the NURD for generations to come, and to make the NURD an area in which its citizens can take exceptional pride. The Plan envisions a mixed use neighborhood that is user friendly, safe, secure and healthy. While this Plan envisions a District with diversity of housing, businesses and amenities, it intends to maintain the unique ambiance and historic character of the District”. Nine principles were developed for the plan. Each of the principles has one or more goals associated with the plan, some of which specifically relate to this work plan while others represent general objectives and directives. The Northeast Urban Renewal Board (NURB) goals are as follows: GENERAL GOALS: Outdated or insufficient infrastructure should be repaired, replaced, or otherwise improved. Provide public utilities to the area efficiently in ways that are not visually or physically obtrusive. Encourage a land use pattern that facilitates all modes of transportation – vehicular, bicycle, pedestrian, mass transit, and commercial – for safe, efficient and convenient access for residential, commercial, and industrial uses. Harmonize commercial and industrial development with residential quality of life. New structures should be designed and built keeping in mind the public values of durability, flexibility, and simplicity. Thoughtful consideration of design, materials, and massing in the construction of new private buildings will add strength and character to the built environment. To the degree that the private sector can be influenced by a public partner in development, the community ought to strongly encourage excellence in urban design as a basis of partnership. Promote sustainable building practices and design within the district. Procure new land for park and open space. Improve landscaping in existing public spaces. Neither the City of Bozeman nor any of its subdivisions shall use eminent domain to take private property for private use in the implementation of an urban renewal project or similar redevelopment plan. Encourage the City to help ensure the success of the Northeast Urban Renewal Plan by giving a high priority to the Northeast District in its capital improvements plan. Work with neighborhoods and businesses to ensure actions taken in the district are compatible with adjacent developed areas. Work with the City to ensure actions taken outside of the District are compatible with projects inside of the District. 122 Northeast Urban Renewal Board Annual Work Plan and Budget FY2024 - 042023 2 In 2010, the Northeast Urban Renewal Board began implementing plans and projects reflecting their three funding priorities: 1) Parks, Trails and Greenspace; 2) Infrastructure and 3) Neighborhood Development Plan. Northeast Urban Renewal District (NURB) FY2023 Annual Report (July 1, 2022 to June 30, 2023) Pedestrian Bridge/East Aspen Street ($6,267)$ 170,000 This project will provide for pedestrian connectivity through a trail extension and a non-vehicular crossing of Bozeman Creek. The project also includes sidewalk along one side of East Aspen Street between the creek and North Rouse Avenue. This will result in the improvements along yet another street within the district and will tie into the new improvements to North Rouse Avenue. Design of the pedestrian bridge and engineering of the abutments upon which to construct the bridge have been completed and construction bids for the project have been received, with construction to be completed in FY24. As a result, a majority of the monies budgeted in this line item are carried forward to next year’s work plan. Pocket Park – North Church Avenue right-of-way design $ 25,000 Several years ago, a trail was constructed along the North Church Avenue right-of-way between East Cottonwood Street and East Tamarack Street. Under this project, that trail is to be extended north from East Tamarack Street, with a pocket park constructed along the stream. The first step in the process is to design the trail improvements and the pocket park enhancements. No work has been done on this project, so these monies are being carried forward to next year’s work plan. Quiet Zone Construction ($33,102)$ 225,000 The quiet zone study has identified the improvements required for quiet railroad crossings. It is anticipated that the improvements for the North Wallace Avenue/L Street crossing will include an arm for the pedestrian crossing as well as raised medians on both sides of the railroad tracks to preclude vehicles from driving around down arms. Improvements to Griffin Drive, including upgrades at the railroad crossing, are now completed. Since improvements will be required for all three crossings before a quiet zone can be implemented, it is important to undertake crossing improvements as monies are available. Engineering of improvements for the North Wallace Avenue crossing are nearing completion and a cost estimate prepared. Construction of those improvements will be completed in the next fiscal year so the quiet zone designation can be implemented when the North Rouse Avenue railroad cross improvements have been completed. Public Art $ 10,000 The Northeast Urban Renewal Board recognizes the artsy character of the area and, over the years, has identified the importance of acknowledging and promoting that character. The Board also has discussed various options to identify the entrances to the district, particularly at the bridges crossing Bozeman Creek on East Tamarack Street and East Peach Street. Since those bridges were installed as part of the Montana Department of Transportation’s improvement 123 Northeast Urban Renewal Board Annual Work Plan and Budget FY2024 - 042023 3 project on North Rouse Avenue and are utilitarian in nature, monies have been budgeted for public art at those entrances. One possible option is chain link art in place of the chain link fences at the bridge abutments. No work has been done on this project this fiscal year, and these monies are being carried forward to next fiscal year. Parking Structure $ 50,000 The Board recognizes the need for additional parking within the district and continues to monitor the progress of any potential proposal to construct a parking structure. These monies cover the costs of retaining consultants to do due diligence to determine that this proposal is in the District’s best interests. No work has been done on this project this fiscal year, and these monies are being carried forward to next fiscal year. Trails/Boulevards/Alleyway Maintenance $ 12,000 The Northeast Urban Renewal District completed improvements to the depot trail, depot park, Aspen Street trail and North Church Avenue trail several years ago and continues to pay annual costs for maintenance of those amenities, including clean-up of litter along those trails and the newly constructed East Front Street trail extension. Also, weed abatement and enhancements in the alleyway public rights-of-way have been identified as important to the appearance and livability of the area. The maintenance of trails and boulevards has continued this year, as it has in the past. The trees planted in conjunction with the street improvements are now in their third season, so it is anticipated that the watering bags will no longer be needed to ensure the viability of those trees. Staff is to develop a plan for alleyway maintenance and enhancement of those public rights-of- way. Administrative Services ($19,929)$ 32,800 Costs covered under this item include staff support ($3,000), administrative services ($19,800) and professional services ($10,000). Bond Costs ($46,000) $ 213,900 Costs covered under this item include bond repayment ($93,000) and the designated bond reserve ($120,900). Designated Reserve - Projects $ 292,300 At this time, it does not appear there will be adequate monies to fund construction of any additional large scale projects. If the opportunity arises, one of the projects listed below may be moved forward and funded through this designated reserve, particularly if such a move results in significant cost savings. Northeast Urban Renewal District (NURB) 124 Northeast Urban Renewal Board Annual Work Plan and Budget FY2024 - 042023 4 FY2024 Work Plan (July 1, 2023 to June 30, 2024) Pedestrian Bridge/East Aspen Street $ 405,037 This project will provide for pedestrian connectivity through a trail extension and a non-vehicular crossing of Bozeman Creek. The project also includes sidewalk along one side of East Aspen Street between the creek and North Rouse Avenue. This will result in the improvements along yet another street within the district and will tie into the new improvements to North Rouse Avenue. Construction of the bridge and the sidewalk are to be completed during this fiscal year, thus completing a project that has been on the Board’s work plan since the second year of the program. Pocket Park – North Church Avenue right-of-way design $ 25,000 Several years ago, a trail was constructed along the North Church Avenue right-of-way between East Cottonwood Street and East Tamarack Street. Under this project, that trail is to be extended north from East Tamarack Street, with a pocket park constructed along the stream. The first step in the process is to design the trail improvements and the pocket park enhancements. Fencing along west side of Depot Trail $ 20,000 Due to continued encroachments into the Depot Trail and its right-of-way, the Board has determined that fencing along the west right-of-way line is needed. The amount budget is to cover the costs of determining the right-of-way line along that portion of the Depot Trail that lies between East Tamarack Street and North Wallace Avenue. The fence is to be complementary to the trail and the neighborhood. Quiet Zone Construction $ 436,820 The quiet zone study has identified the improvements required for quiet railroad crossings. It is anticipated that the improvements for the North Wallace Avenue/L Street crossing will include an arm for the pedestrian crossing as well as raised medians on both sides of the railroad tracks to preclude vehicles from driving around down arms. Improvements to Griffin Drive, including upgrades at the railroad crossing, are underway and should be completed in Fiscal Year 2022. Since improvements will be required for all three crossings before a quiet zone can be implemented, it is important to undertake crossing improvements as monies are available. Public Art $ 30,000 The Northeast Urban Renewal Board recognizes the artsy character of the area and, over the years, has identified the importance of acknowledging and promoting that character. The Board also has discussed various options to identify the entrances to the district, particularly at the bridges crossing Bozeman Creek on East Tamarack Street and East Peach Street. Since those bridges were installed as part of the Montana Department of Transportation’s improvement project on North Rouse Avenue and are utilitarian in nature, monies have been budgeted for public art at those entrances. One possible option is chain link art in place of the chain link fences at the bridge abutments. Other options for encouraging additional public art could include murals on garage doors and other hidden treasures in the district, particularly those that can be witnessed from the alleys. 125 Northeast Urban Renewal Board Annual Work Plan and Budget FY2024 - 042023 5 Identification of undeveloped public properties $ 20,000 In light of the lack of open space and parks in the district, the Board has determined identifying public properties and rights-of-way that are undeveloped or under-utilized could be opportunities for use as pocket parks or linear spaces that enhance the neighborhood. The monies in this item would cover the costs of retaining a consulting firm to complete the inventory of those public properties. Parking Structure $ 50,000 The Board recognizes the need for additional parking within the district and continues to monitor the progress of any potential proposal to construct a parking structure. These monies cover the costs of retaining consultants to do due diligence to determine that this proposal is in the District’s best interests. Trails/Boulevards/Alleyway Maintenance $ 12,000 The Northeast Urban Renewal District completed improvements to the depot trail, depot park, Aspen Street trail and North Church Avenue trail several years ago and continues to pay annual costs for maintenance of those amenities, including clean-up of litter along those trails and the newly constructed East Front Street trail extension. The budget also includes weekly watering of seven newly planted boulevard trees along East Tamarack Street to ensure their survival. This is the second year of a two-year commitment to provide that weekly watering. Also, weed abatement and enhancements in the alleyway public rights-of-way have been identified as important to the appearance and livability of the area. Innovation Grant $ 5,000 Monies are set aside to promote additional innovative events and opportunities in the district. Contracted Services $ 43,500 Costs covered under this item include contract staff support ($3,000), administrative services ($30,500) and professional services ($10,000). Bond Costs $ 213,900 Costs covered under this item include bond repayment ($93,000) and the designated bond reserve ($120,900). Designated Reserve - Projects $ 26,443 At this time, it does not appear there will be adequate monies to fund construction of any additional large scale projects. If the opportunity arises, one of the projects listed below may be moved forward and funded through this designated reserve, particularly if such a move results in significant cost savings. Northeast Urban Renewal District (NURB) Future Projects Trails within the district $ 200,000 The Board has determined its top priority projects for the upcoming years revolve around trails within the district that enhance its livability and provide non-vehicular connectivity. It was noted these are projects not likely to be part of any development 126 Northeast Urban Renewal Board Annual Work Plan and Budget FY2024 - 042023 6 project but are desired improvements. At this time, there are no identified trail segments, but expenditure of these monies should be considered as opportunities arise. Also, a portion of these monies could be used to develop pocket parks, possibly in conjunction with the trail segments. Connector trail – Depot trail to Audubon site $ 25,000 The Audubon Society has acquired 32 acres of wetlands and sensitive lands lying east of this district and is purchasing an additional 8 acres. The subject site lies outside the boundaries of the district; however, a portion of the trail extension lies within the district; and these monies are for that portion of the trail only. This trail extension would provide a safe access for pedestrians moving through the district to the enhanced wetlands area. Reimburse Wildlands public infrastructure $ 580,000 The Wildlands project includes expansion of the existing building at the northeast corner of the intersection of East Peach Street and North Wallace Avenue and demolition of improvements on the adjacent lot to provide adequate space for the expansion and relocation of the parking lot. The applicant has requested reimbursement for the public infrastructure improvements required in conjunction with the project. The City Commission concurred in the Board’s recommendation to approve that request once the applicant has completed the projects and paid at least two years of property taxes that equal the amount of the reimbursement. Reimburse Cloverleaf public infrastructure $2,210,480 The Cloverleaf project includes demolition of improvements of the existing buildings on the current Bronken Distributing site, which is bounded by East Peach Street, North Plum Avenue, East Cottonwood Street and North Ida Avenue, and construction of a mixed use residential development project. In conjunction with that project, the developer will make the needed water main improvements, wastewater collection improvements, street improvements, installation of sidewalks and installation of state of the art fiber to the site. The applicant has requested reimbursement for the public infrastructure improvements required in conjunction with the project plus the costs of the impact fees associated with it. The City Commission concurred in the Board’s recommendation to approve that request once the applicant has completed the project, with that reimbursement to be paid over several years at a percentage of the taxes paid for this property, as those monies become available. Front Street – Ida to Aspen $ 118,000 Front Street – Tamarack to Ida Construction $ 190,000 North Ida Avenue – Peach to Cottonwood $ 330,000 These three street projects were initially added to the work plan and budget and were designed to complement the street improvements to be constructed in conjunction with the Cottonwood and Ida project (later renamed the TinWorks Project). That project has been abandoned, and no new plans for those properties are anticipated in the near future. The monies listed above are not adequate to complete any of the projects listed, but could be used to enhance street improvements made in conjunction with public improvements in conjunction with a private development. As an alternative, the monies could be appropriated for a payback agreement that may include any or all of these street improvements made in conjunction with a future private development. 127 Memorandum REPORT TO:City Commission FROM:Emily Cope, Economic Development Director- Downtown Bozeman Partnership SUBJECT:Downtown Business Improvement District Fiscal Year 2024 Budget and Work Plan MEETING DATE:May 16, 2023 AGENDA ITEM TYPE:Finance RECOMMENDATION:I move to approve the preliminary Downtown Business Improvement District Fiscal Year 2024 Work Plan and Budget. STRATEGIC PLAN:4.4 Vibrant Downtown, Districts & Centers: Promote a healthy, vibrant Downtown, Midtown, and other commercial districts and neighborhood centers – including higher densities and intensification of use in these key areas. BACKGROUND:The Downtown Bozeman Partnership administers the Downtown Business Improvement District (BID) on behalf of the City of Bozeman. The Downtown BID Board, as appointed by the City Commission, directs the programs, projects and initiatives of the Downtown BID. MCA 7-12-1131 guides the programs, projects and initiatives of the Downtown BID. The Downtown BID Board took formal action to approve the FY2024 work plan and budget at their monthly public board meeting on April 19, 2023. UNRESOLVED ISSUES:None at this time. ALTERNATIVES:As recommended by the City Commission. FISCAL EFFECTS:The Downtown BID is funded by the special assessments collected from property owners within the district. The BID assessment for FY2024 will be $230,000 as approved by the board at the April 19, 2023 board meeting. Attachments: FY2024 BID Work Plan and Budget.pdf Report compiled on: April 20, 2023 128 Downtown Business Improvement District FY2024 BID Work Plan and Budget BID Mission Statement The BID is an organization of downtown property owners who through thoughtful, pro-active collaboration and partnership with local government, business owners, residents and citizens strive to create a shared vision and voice for the community of downtown Bozeman. The BID will commit resources, identify, plan and act on short- term and long-term initiatives otherwise unavailable to individual owners. The BID has a goal of ensuring the long-term preservation and vitality of the city’s underlying economic, cultural, social and environmental assets and the BID will work together to keep our downtown a safe, beautiful and vibrant place. BID Assessment Programs The following programs are funded by the special assessments collected from property owners within the Downtown Business Improvement District. The BID assessment for FY2024 will be $230,000. The BID will also receive approximately $50,350 in additional revenue from sponsorships and maintenance contracts. Downtown Bozeman Partnership ($67,500) The BID is a member of the Downtown Bozeman Partnership. The BID contributes to the administration of the Downtown Partnership office located at 222 East Main Street. Downtown Bozeman Association ($27,000) The BID contributes to the DBA to support its events, staff and marketing efforts to promote downtown. The DBA hosts events downtown that include Art Walks, Music on Main, Crazy Days, Cruisin’ on Main Car Show, Cat Walk, Restaurant Week and more. Summer Flowers ($30,000) The BID purchases, installs and maintains 300+ hanging baskets of Super-Petunias. In summer of 2023, 120 Earth Planter self- watering baskets are replacing the wrought-iron baskets on the side streets of downtown. The Earth Planter baskets provide improved plant growth by regulating water delivery based on soil conditions while reducing labor costs, fuel and water usage. The baskets only need to be watered two to three times per week rather than seven days a week. The BID has expressed interest in continuing this sustainability effort and plans to purchase additional baskets for Main Street in the coming years. These flower baskets are hung throughout downtown from June through September. 129 Holiday Lighting ($15,525) The BID installs the following holiday lighting downtown: 1) lighted garland on each historic lamp post along Main Street; 2) lights on the large conifer trees in Soroptomist Park; 3) garland wreaths at the Rouse, Church, Wallace, and Grand intersections; and 4) the infamous holiday “spider” decorations above four downtown intersections. The green decoration was replaced in 2022 and the red decoration will be replaced in 2023. The BID board will replace the remaining two decorations in the next two to four years, earmarking reserve funds for this project. Maintenance Program ($97,575) The BID hires two full-time maintenance employees in addition to two part-time maintenance employees for the summer months. Primary tasks performed by the BID maintenance staff includes garbage collection, flower watering, tree watering, Soroptomist Park upkeep, installation of the streetlamp banners, maintenance of pedestrian benches, graffiti removal, and limited snow removal. The BID maintenance staff removed over 4,000 bags of garbage and recycling during the past year from over 100 receptacles. Outreach Bozeman ($10,000) This funding would support the full slate of programming available to assist individuals and families experiencing homelessness. This would include outreach, programming to assist with the return to self-sufficiency, overnight programming and staffing. Over the last year we have seen a significant decrease in the number of people experiencing homelessness in the downtown corridor. This is a direct result of HRDC conducting outreach to people living in urban encampments and the availability of day enriching daytime/evening programming. 130 Graffiti Removal Program ($7,500) The BID comprehensive graffiti removal program is in its third year of operation. Since 2009, this program has removed 4,000 graffiti tags. The BID maintenance staff removes tags from public property and works with property owners to clean private buildings of graffiti. The BID will continue to actively remove new tags as quickly as possible considering immediate removal has proven to be the most effective deterrent. Downtown Banners ($3,000) The BID purchases, installs and maintains the downtown light pole banners. Seasonally the BID installs banners for MSU, Bozeman Farmers Market, Bridger Bowl, Big Sky Resort, Sweet Pea, SLAM, BYEP, Bozeman Health, Bridgercare, Greater Yellowstone Coalition and more. Tree Replacement ($2,000) The BID replaces trees that have died in the downtown district. In coordination with the City Forestry Division, dead trees are removed and then replaced by a local nursery. Smaller newly planted trees are susceptible due to physical damage and insufficient water. Downtown Marketing ($2,500) The BID contributes to the general marketing of downtown Bozeman. These funds are made available to the Downtown Partnership which places advertisements in ten to twelve local, regional and state-wide publications. Vehicle Maintenance ($9,750) The BID owns and maintains a maintenance truck and two mules/ATVs. Maintenance Supplies ($6,675) The BID purchases a wide variety of maintenance supplies for various programs, including trash bags. 131 FY2024 Estimated Starting Cash Balance- Reserves 140,000$ Expenses- Capital Projects/Reserves Red Holiday Spider Replacement 15,000$ Earth Planter Self-Watering Baskets (Main St)45,000$ Operating Reserves 80,000$ FY24 Income BID Assessment 230,000$ Contract Income 24,000$ Interest Income 100$ Mobile Vending Fees 1,750$ Flower Sponsorships 9,000$ Christmas Light Sponsorships 3,500$ Streetlamp Banners 12,000$ Total Income 280,350$ Expenses Management Fee 67,500$ Total Expenses 67,500$ Payroll Expenses Maintenance Staff 65,000$ Taxes 4,825$ Work Comp 3,300$ Maintenance Staff--Garage 22,500$ Taxes 950$ Work Comp 950$ Total Payroll Expenses 97,525$ Programs Downtown Bozeman Association (DBA) Support 27,000$ Holiday Lights -Reserve Fund 10,000$ Holiday Lights 2,000$ Holiday Lights Spider Repair 2,000$ Holiday Decor Storage 1,525$ Outreach Bozeman 10,000$ New Banners 3,000$ Flower Expenses 30,000$ Flower Water 300$ Tree Purchases 2,000$ Marketing 2,500$ Maintenance Supplies 4,000$ Garbage Bags 2,675$ Graffiti Supplies 1,000$ Graffiti Contracted Removal 6,500$ Mule Service & Fuel 1,750$ Truck Service & Fuel 2,500$ Vehicle Insurance 5,500$ Program Contingency 1,000$ Total Program Expenses 115,250$ Total BID Expenses 280,275$ NET ASSESSMENT INCOME 75$ Downtown BID FY24 Work Plan & Budget 132 Memorandum REPORT TO:City Commission FROM:Ellie Staley, Executive Director- Downtown Bozeman Partnership SUBJECT:Downtown Urban Renewal District Fiscal Year 2024 Budget and Work Plan MEETING DATE:May 16, 2023 AGENDA ITEM TYPE:Finance RECOMMENDATION:I move to approve the preliminary Downtown Urban Renewal District Fiscal Year 2024 Work Plan and Budget. STRATEGIC PLAN:4.4 Vibrant Downtown, Districts & Centers: Promote a healthy, vibrant Downtown, Midtown, and other commercial districts and neighborhood centers – including higher densities and intensification of use in these key areas. BACKGROUND: The Downtown Bozeman Partnership administers the Downtown Urban Renewal District on behalf of the City of Bozeman. The Downtown Urban Renewal District Board, as appointed by the Mayor and City Commission, directs the programs, projects and initiatives of the Downtown URD. The 1995 Downtown Urban Renewal Plan and 2019 Downtown Bozeman Improvement Plan, as adopted by the City Commission, guides the programs, projects and initiatives of the Downtown URD. The Downtown URD Board took formal action to approve the FY2024 work plan and budget at their monthly public board meeting on April 18, 2023. UNRESOLVED ISSUES:None at this time. ALTERNATIVES:As recommended by the City Commission. FISCAL EFFECTS: The Downtown URD anticipates a FY23 year-end balance of $7.2 million and FY24 revenues are projected to be $1.6 million which totals just under $9 million of funding available for FY24. The proposed FY24 expenditures and allocated funds total $8.6 million with an estimated FY24 year-end balance of $225,000. The following work plan and budget outline these projects and projected expenses. 133 Attachments: FY2024 URD Work Plan-Budget_CC.pdf Report compiled on: May 5, 2023 134 Downtown Urban Renewal District FY2024 Work Plan and Budget Downtown URD Mission Statement The Downtown Bozeman Urban Renewal District board (URD) will foster an economically thriving district that: 1) attracts investment; 2) stabilizes and strengthens the tax base; and 3) supports the vitality and diversity of the Gallatin Valley as its social and cultural center. In 1995, the City Commission adopted the Urban Renewal Plan for downtown Bozeman which was subsequently amended in 2015. The intent and purpose of the Urban Renewal Plan emphasizes: 1. Bozeman’s historical character as a “working” downtown shall be maintained. 2. Traffic movement and access shall be designed with the emphasis on the downtown as a designation rather than improving the flow of through traffic. 3. The facilitation of private/public partnerships is encouraged in the implementation of the Plan. 4. Objectives shall be accomplished by incentives whenever possible. 5. Private property rights will be respected. 6. Administrative practices shall be conducted in a constructive manner which fosters cooperation. 7. This Plan is further detailed, refined, prioritized and implemented by the “Downtown Improvement Plan” which outlines specific programs and projects consistent with the Urban Renewal Plan. The Urban Renewal Plan established nine “Guiding Principles” to provide direction for improving Bozeman’s historic downtown. The Urban Renewal Study Committee considered the first three principles more important than the next three with the last three the least important. However, the Committee deemed all nine principles to be vital to achieving the vision for downtown. Key implementation actions were identified for each principle (may apply to multiple principles but are only listed once below). 1. Strengthen downtown’s economic vitality 2. Improve the safety, security and health of the district 3. The image of downtown shall be continuously improved 4. Downtown’s accessibility shall be improved 5. “Community Partnership” is fundamental to downtown’s success 6. Downtown’s diversity shall be facilitated 7. The cost of projects and programs shall be weighed against their benefits 8. Downtown shall become more user friendly 9. Cultural activities shall be nurtured and expanded downtown Downtown URD FY24 Programs, Projects and Initiatives The Downtown URD anticipates a FY23 year-end balance of $7.2 million and FY24 revenues are projected to be $1.6 million which totals just under $9 million of funding available for FY24. The proposed FY24 expenditures and allocated funds total $8.6 million with an estimated FY24 year-end balance of $225,000. The following work plan and budget outline these projects and projected expenses. Ongoing DBP/City of Bozeman Operational Support: 135 Downtown Bozeman Partnership Management Fee (FY23 - $203,500, FY24 - $220,000) An estimated 8% increase in FY24. The DBP has seen significant rises in health care premiums, lease rates, energy bills and overall operational costs and this is a needed increase to cover overall rise in operational costs to the organization and for employee retention. City of Bozeman Economic Development Staff Support (FY23 - $56,100, FY24 - $58,100) This expense helps fund a portion of payroll expenses for City of Bozeman staffing support. This has looked different over the past two years as digital platforms have been enhanced and the need for support have shifted. We confirmed that due to the rise in wages and benefits that this expense was much higher in FY23 than originally anticipated. A small increase is projected for FY24 with similar city staff support. Current Encumbered Projects and Programs: Street Furniture/Streetscape-new purchases (FY23 - $25,000 (FY24 - $50,000) In FY23 we shifted to tree and tree grate updates based on need. We hired Greenspace to pull, grind and replant 5 of 11 trees that died during the drought in 2021/22. We also purchased several new benches and tree guards/grates for redeveloped sites. In FY24 we will continue to support the City of Bozeman for tree replacement projects that require added engineering or contract work. We will need also to purchase several new tree guards and grates for the remaining 8 trees (2 more removed in FY22). Soroptimist Park/North Black Pocket Park (FY23/Improvements $25,000, FY24/Maintenance – $25,000) In FY23 this was intended for future Soroptimist Park planning but was used to complete the North Black Pocket Park by board decision. Moving forward, I’d propose we combine the ongoing improvement needs for Soroptimist Park and our now-needed ongoing improvements at the North Black Pocket Park and seasonal planters. No future large enhancements are planned for Soroptimist Park, after a minor revamp in 2022 but could be a priority in the future. Alley Improvement Project & Planning (FY23 - $250,000, FY24 – $300,000) We are underway with the North Black to Tracy Alley Improvement Project and have completed initial design plans, hired a design team and project manager. We are finalizing a CCOA with the city and making plans for an alley-wide trash program and several call for art announcements. Majority of work is planned for spring 2023, based on project bid interest. The increase in FY24 is to cover the increased construction costs due to inflation and to allow for additional funding for the next alley design plans. Intersection Cable Anchor Repairs (FY23/24 - $25,000) This is a just-in-case fund, and no large repairs are projected for FY24. These are ongoing and necessary upgrades, specifically as buildings get redeveloped on those specific corners. Pedlet/Parklet Project (FY23/Planning - $50,000, FY24/Planning & Infrastructure - $40,000) The idea of a “parklet” or extension of private use into public sidewalk space has been in discussion for many years and elevated during covid. We have recently completed a plan that led us into a “Pedlet” idea rather than a “Parklet” with Downtown Partnership ownership. Most recently the city staff showed concern with implementing this project due to the loss of parking and the next steps for support will be to take the plan to the transportation board. Workforce Housing Project – Fire Station One (FY23/24 - Encumbered $1,600,000) 136 This is an encumbered expense approved for a project with 50 units of work force housing to be sold at 120% AMI. The $1.6 million approved for this project will be reimbursed at the certificate of occupancy and when all of the project conditions have been met. This will likely be reimbursed after FY24 but will be encumbered until paid or approved project changes. On-going Programs & Projects in FY24: URD Grant Programs – The URD grants have been updated to reflect current code updates and can now be completed online. Continued revisions and updated have bene made to make grants relevant. A more aggressive approach to advertise the grants have been done with great results. A complete revision of the residential and tag assistance grants are scheduled to start in early spring 2023 and be completed by fall 2023. Please review and discuss ideas: • Streetscape Assistance (FY23 - $50,000, FY24 - $50,000) ▪ Make benefits clearer and adjust to current needs including running conduit, improving water and sewer lines ▪ Add and an Infrastructure Improvement Grants, possibly based on tax projections over lifetime of DURD, research loan program with City Economic Department • Fiber Infrastructure Grant (FY23 - $10,000, FY24 - $10,000) ▪ No big changes needed, continue to be used and generally see up to 5 applicants/yr. • Life-safety Grant (FY23 - $10,000, FY24 - $10,000) ▪ Great investment but only for larger re-development projects, assume 1 per/yr. at $10K/ea. • Technical Assistance Grant (FY23 - $50,000, FY24 - $50,000) ▪ Add Art/Social Infrastructure Grant ▪ Add CPTED (Crime Prevention through Environmental Design) Grants – lighting, cameras, landscape improvements • Residential Incentive Program (FY2023 - $200,000, FY24 - $200,000) ▪ TWO potential projects seeking support in FY24, 5th and Mendenhall 6-story residential project, The Scully building converting commercial into residential. Both in planning stages and hope to complete work in FY24. Wayfinding and Parking Signage Project – Planning/Infrastructure (FY23 - $40,000, FY24 - $40,000) This ranked as a top project on the URD board prioritization exercise to expand and clarify what amenities and parking are available. This was not completed in FY23 due to the unclear future of paid parking in downtown. The cost will be an estimated $20,000 for fabrication and installation of signage, $15,000 for design and planning for the project. Great Falls received a state grant for a downtown wayfinding plan. I hope to look into this for late FY24. Downtown Infrastructure & Public Realm Plan (FY23 - $50,000, FY24 $50,000) To develop plan to enhance Downtown’s identity and ensure public realm developments create a consistent and sustainable environment, establish framework for near term infrastructure investments that incrementally build to long term vision, provide path for private investment, while leveraging limited resources. We were unable to begin this project in FY23 but intend to start Phase 1 of this plan in FY24. The scope is currently being reviewed. 137 Side-Streetscape Side-Street Preliminary Engineering (FY23 - $50,000, FY24 - $100,000, combined projects) - To update and continue planning to extend the streetscape to side streets, Babcock, and Mendenhall. This could also assist in the development of the design guidelines and standards project for future downtown development assistance that will include streetscape updates. o Design Streetscape Guidelines/Standards o North Willson Streetscape Project o South Wallace Asbestos Mitigation/Streetscape Transportation (FY23/Planning - $50,000, FY24/Improvements - $50,000) We have recently completed phase 2 of a downtown transportation plan with Sanderson Stewart that includes short-term infrastructure improvements with a focus on pedestrian safety and downtown access along Mendenhall and Babcock. We are currently developing a scope with short and long-term attainable solutions with them and City Public Works and Engineering. We hope to utilize this plan for some of the suggested safety improvements in FY24. Alternative Transportation Projects (FY23/24 - $50,000) This has been established as an ongoing DURD priority. No projects were completed in FY23 but there are discussions with the City Public Works department to provide DURD support for the current Black Avenue Bike Route project. These funds could support the portion of the project within DURD boundaries. Employee Paid Parking Permit System (FY23 - $20,000), Revise for FY24 to a Shared-Use/Parking Outreach program (FY24 - $20,000) Employee support, outreach and education around parking and parking management continues to be a priority as our parking needs change. These allocated funds could be used to help advertise any changes to the employee parking system, potentially off-set costs to employees for permitting or for other general implementation costs with a focus on assisting the businesses with any changes or concerns. Bozeman Creek (FY23/Improvements - $20,000, FY24/Planning - $20,000) Educational and artistic project completed in FY23. Continue engineering work in FY24 to look at flood plan mitigation within downtown. A group has been meeting to discuss next steps and current documents have been provided to city leadership. Structured Parking Site Plan, Bids - Planning (FY23 - $1,250,000 FY24 - $1,750,000, 000) Encumbered funds to support future parking supply infrastructure, increase budgeted amount in FY24 due to inflation. Parking Supply – Allocated funds for future project (FY23 - $0, FY24 $3,000,000) Although “parking supply and infrastructure” has been a DURD priority for many years, established in both downtown plans and outlined in Resolution 1409. Although funds for the construction and development for this project have not been formally allocated based on bonding capacity. Discuss how to allocate these funds or establish documentation for future allocation of funds once a bond capacity study has been completed. 138 Downtown URD FY24 Budget: Category FY24 DRAFT Budget Income Starting Cash Balance $7,256,100 Income from TIF COB Interlocal Share $1,558,200 Entitlement Share State of Montana $57,100 Interest Income $2,100 Other Income Total Income $8,873,500 Expenses Operations DBP Management Fee $220,000 City Economic Development Staff Support $58,100 Total Operations $278,100 Infrastructure Improvements Street Furniture/Streetscape Improvements & Furniture $50,000 Park Improvements (Soroptimist/NBPP) $25,000 Alley Improvements $250,000 Intersection Cable Anchor Repairs $25,000 Parklet Infrastructure $20,000 Sidestreet Infrastructure Improvements $300,000 Streetscape Assistance Grant Program $50,000 Life-Safety Grant Program $30,000 Fiber-Broadband Infrastructure Grants $10,000 Wayfinding & Parking Signage $15,000 Bozeman Creek Improvements $0 Alternative Transportation Projects $50,000 Streetlamp Power Reconfiguration Project (SILD) $100,000 Workforce Housing Project - Fire Station One $1,600,000 Total Improvements $2,525,000 Planning Alley Planning $50,000 Parklet Planning/Program $20,000 Technical Assistance Grant Program $50,000 Residential Incentive Grant Program $200,000 Utility Infrastructure Improvements $50,000 Wayfinding Plan Development $25,000 Downtown Infrastructure & Public Realm Plan $50,000 Side-Streetscape Preliminary Engineering $100,000 Downtown Streetscape Design Standards $0 139 North Willson Streetscape Project $0 Transportation Planning/Improvements $50,000 Parking Management Planning & Infrastructure Support $20,000 Bozeman Creek Planning $20,000 Soroptimist Park Planning $0 Code Amendments $0 DBIP General Implementation $50,000 Structured Parking Informal, Site Plan, Bids $1,750,000 Professional Services Term Contract (parking site analysis) $75,000 Parking Supply - Designated Funds $3,000,000 Total Planning $5,510,000 Parking Structure Garage Bond Payment $335,000 Total Parking Garage Payments $335,000 Total Expenses $8,648,100 Balance $225,400 The FY2023 Downtown Urban Renewal District Work Plan and Budget was unanimously approved by the URD Board on April 18, 2023. Prepared and submitted by: Ellie Staley, Executive Director Downtown Bozeman Partnership 222 East Main Street #302 Bozeman MT 59715 ellie@downtownbozeman.org 406-586-4008 140