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HomeMy WebLinkAbout09-11-25 - Downtown Business Improvement District - Agendas & Packet Materials (2)A. Call meeting to order - 12:00 p.m. B. Disclosures C. Changes to the Agenda D. Public Comments on Non-agenda Items Falling within the Purview and Jurisdiction of the Board THE BOZEMAN DOWNTOWN BUSINESS IMPROVEMENT DISTRICT BOARD OF BOZEMAN, MONTANA BID AGENDA Wednesday, September 17, 2025 General information about the Downtown Business Improvement District Board is available in our Laserfiche repository. If you are interested in commenting in writing on items on the agenda please send an email to comments@bozeman.net or visit the Public Comment Page prior to 12:00pm on the day of the meeting. At the direction of the City Commission, anonymous public comments are not distributed to the Board or staff. Public comments will also be accepted in-person and through Video Conference during the appropriate agenda items. As always, the meeting will be streamed through the Commission's video page and available in the City on cable channel 190. For more information please contact Emily Cope, emily@downtownbozeman.org This meeting will be held both in-person and also using an online video conferencing system. You can join this meeting: Via Video Conference: 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 +1 253 205 0468 Access code: 955 3864 1712 This is the time to comment on any non-agenda matter falling within the scope of the Business Improvement District Board. There will also be time in conjunction with each agenda item for public comment relating to that item but you may only speak once per topic. Please note, the Board cannot take action on any item which does not appear on the agenda. All persons addressing the Board shall speak in a civil and courteous manner and members of the audience shall be respectful of others. Please state your name, and state whether you are a resident of the city or a property owner within the city in an audible tone of voice for the record and limit your comments to three minutes. 1 E. Special Presentation E.1 Water Adequacy for Residential Development (WARD) Ballot Education Presentation (Kohtz, Fine) F. FYI/Discussion F.1 Economic Development Director's Report(Cope) F.2 Monthly Finance Report (Cope) G. Adjournment For more information please contact Emily Cope, Bozeman Downtown Partnership, emily@downtownbozeman.org This board generally meets the 3rd Wednesday of the month from 12:00 to 1:30 City Board meetings are open to all members of the public. If you have a disability that requires assistance, please contact our ADA Coordinator, David Arnado, at 406.582.3232. 2 Memorandum REPORT TO:Bozeman Downtown Business Improvement District Board FROM:Takami Clark, Communications & Engagement Manager SUBJECT:Water Adequacy for Residential Development (WARD) Ballot Education Presentation MEETING DATE:September 17, 2025 AGENDA ITEM TYPE:Citizen Advisory Board/Commission RECOMMENDATION:Listen to presentation, ask questions STRATEGIC PLAN:1.1 Outreach: Continue to strengthen and innovate in how we deliver information to the community and our partners. BACKGROUND:The City of Bozeman is educating the public on a November 2025 ballot issue called the Water Adequacy for Residential Development (WARD) initiative. This initiative was created by a special-interest group and is not a policy of the City of Bozeman. It could have a significant effect on the City’s ability to provide water for future residents and businesses and may lead to a lower overall production of all types of housing. The City's effort to educate voters on this initiative is not intended to advocate for or against the initiative; rather, the educational effort is to bring to light how the initiative will affect city operations, including how the City works to accommodate the development of new housing in our community and the City’s effort to provide our community with the water it relies on. UNRESOLVED ISSUES:None ALTERNATIVES:N/A FISCAL EFFECTS:N/A Attachments: LivableBozeman Updated.pdf Report compiled on: September 4, 2025 3 4 The WARD Initiative A citizen special interest group initiative that received enough signatures to appear on the 2025 November ballot. It seeks to change the city code to require developers who seek to use cash-in-lieu of water rights for development to provide affordable housing. 5 Today, in Bozeman 6 ●As of 2024, we have 1241 affordable units built, under construction or in the pipeline ●$22.84M has been spent in subsidies on those projects ●Vacancy rates have been quoted at 12%; rent increases have slowed Growth has slowed to 1.4% after an average of 3.7% from 2013-2023 7 Building on existing programs rooted in local engagement, sustainable planning, and housing data/analysis. Our goal is to ensure that our solutions balance affordabilitywith sustainable growth tactics that support the integrity of our existing neighborhoods. A livable Bozeman for all. Developing flexible, place-based policies that make the most of available tools. 8 Background: Current Water Adequacy Policy ●Current Policy went into effect in 1984 ●Requires that projected water demand of new development be offset by one or more of these options: ○Reduce demand with water conservation systems and techniques ○Pay cash-in-lieu of water rights and City acquires the water rights ○Bring useable water rights to the City ●99% of development utilizes cash-in-lieu and is highly efficient due to being able to connect to existing city infrastructure 9 What WARD Means for Future Housing Development Allows developers to pay cash-in-lieu of water rights to the city only if the development provides 33% or more affordable housing units. If the development does not include 33% affordable units, the developer is responsible for securing water rights. 10 Alternatives if proposed ballot initiative is approved by voters 1.Access to cash-in-lieu of water rights tool becomes restricted requiring 33% of housing product be provided as affordable housing 2.Developers work to secure their own water rights,which can take anywhere from 5 to 8 years. 3.Developers can implement only on-site water efficiency or conservation measures to limit impact, with the remaining water demand coming from #1 or 2.Off-site water conservation measures option would be removed under WARD. 11 Water Facts 12 Current Water Supply Snapshot Hyalite Creek Watershed 40%Bozeman CreekWatershed 40% Lyman Spring 20% 13 Facts about Water Adequacy in Bozeman, Montana ●Bozeman is not at risk of running out of water.When a developer proposes new housing,the city must ensure there is adequate water. ●In a normal water year, Bozeman only uses 43% of its current water supply, in a significant drought year, it increases to 60%. ●Bozeman proactively manages water usage through our conservation program. ●Bozeman continues to develop and implement new water conservation measures and water supplies according to our long-term water supply plan (Integrated Water Resources Plan) 14 Development within Bozeman is Most Water Sustainable Gallons per Capita Day Water Use Bozeman = 114 GPCD Others in Montana = 163 GPCD (average) Comparable Cities = Boulder, CO: 133 GPCD Denver, CO: 140 GPCD Bend, OR: 157 GPCD Gallons per Household Day Water Use Bozeman: 188 GPHD National average: 254 GPHD Arid Western states: 314 GPHD City has the experts to efficiently develop water supply, water rights, and conservation to stay in front of development demands 15 Housing Facts 16 Facts About Affordable Housing in Bozeman ●Area Median Income (AMI) Definitions ●Past afforable housing projects required subsidies. The lower the AMI thresholds, the more subsidies are necessary ●Affordable housing is expensive to build due to rising costs of land, labor, materials, and lending ●A study we have done through the Affordable Housing Ordinance showed that developers could only designate 5% of their units as affordable –anything beyond that does not pencil out. ●The city is working with public, private, and nonprofit partners to make affordable housing a reality ●Policies are based on local data and community input, with the goal of balancing affordability, smart growth, and neighborhood character 17 WARD Impact on Housing The Initiative's requirement that 33% of housing units in new developments must be affordable housing to have access to the city’s cash-in-lieu of water rights could limit housing supply because: ○Housing developers rely on a mix of market-rate units and affordable housing units to cover the cost of building. Requiring a high number of affordable housing units will make it difficult for projects to secure financing or cover construction costs. ○If developers are not coming to Bozeman to build additional housing, the demand for housing will increase, causing prices to increase. ○Developers may look to other areas to build instead, such as the County, which may increase commuting and negatively impact the environment 18 What We Can Do Together 19 All Hands A collective solution to a sustainable future. A true partnership to address the various pressure points of housing in the city means bringing everyone to the table. Join us as we work on the Community Housing Action Plan and Integrated Water Resources Plan to plan for our future water supply and affordable housing. 20 The November 4 election Considerations 21 Remember to Vote by November 4 ●Ballots will be mailed by Oct. 17 ●Ballots should be returned by mail or dropped off at an official drop- off location ●Residents can check their registration status by visiting voterportal.mt.gov 22 Remember to Get the Facts on the WARD Initiative ●It is unlikely that this initiative will result in more affordable housing due to the high costs and 33% requirement. ●At this time, Bozeman is not at risk for running out of water, we proactively plan our water supply and emphasize water conservation to ensure current and future resident have access to water. ●There is no “silver bullet”to make housing more affordable.Another regulatory barrier creates barriers to comprehensive solutions. 23 Questions? For more information, go to engage.bozeman.net/ward 24 Memorandum REPORT TO:Bozeman Downtown Business Improvement District Board FROM:Emily Cope, Downtown Bozeman Partnership SUBJECT:Economic Development Director's Report MEETING DATE:September 17, 2025 AGENDA ITEM TYPE:Plan/Report/Study RECOMMENDATION:Discuss. 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:Emily will provide an update on downtown projects and maintenance programs. UNRESOLVED ISSUES:None. ALTERNATIVES:None. FISCAL EFFECTS:None. Attachments: BID EDD Report 9-25.pdf Report compiled on: September 8, 2025 25 Economic Development Director’s Report Business Improvement District Board September 2025 Downtown BID Updates • Flower baskets are scheduled to come down on September 22 & 23. Patty will continue working through mid-October to help water newly planted trees. • Ellie to run board meetings and will be the DBP’s contact for BID concerns until after the holiday season. Below are the maintenance statistics comparing the year-to-date figures from this year (FY26) to the corresponding stats from last year (FY25). FY2025 Y-T-D FY2026 Y-T-D Total Avg/mnth Total Avg/mnth Difference Trash Emptied 1049 525 1223 612 +174 Recycling Emptied 243 122 301 151 +58 Graffiti Removed 60 30 17 9 -43 Downtown URD Project Updates • A Resolution to amend the member and composition of the Downtown URD to be in Accordance with Montana SB3 was approved by City Commission on September 9 . The DURD will now need to appoint a county and school representative and amend bylaws to be in accordance with this resolution. More to come… • The Downtown Design & Streetscape Standard has been finalized and able to view on our website under “Downtown Plans”. https://s3.us-west-2.amazonaws.com/dba-2021/COB- Downtown-Standards-A-FINAL.pdf • Downtown Trees – Twelve new trees were planted or replaced this summer between the DBP and City Forestry. Great effort on all ends to keep up with maintenance on the grates, guards and limb obstructions. Thanks to city forestry for continuously working with us on this ongoing issue. • I-Ho Peace Park – Public bid is closed and bids have been received and opened. Working group to move forward with contractor selection and contractual steps in coming weeks. Construction to start late fall or early spring. • Downtown Parking Group Update o A Parking Vision document with focus on short- and long-term solutions is currently moving forward with a projected winter 2025/26 release to boards and commission. A contract to work on the core elements of this plan with a reputable marketing firm is slated to begin in the coming weeks. o An RFP for a Private-Public Partnership for Downtown Parking Infrastructure is in progress utilizing the $5 million in DURD funding for parking infrastructure has been approved for FY26. A local legal team has compiled a preliminary draft that has been shared with two URD board members for review before bringing back to the DURD board for final review and approval before public announcement though the city RFP process. 26 Upcoming Public Meetings Calendar: https://www.bozeman.net/departments/city- commission/advisory-boards/calendar Six month Planning Calendar: https://www.bozeman.net/home/showpublisheddocument/15354 • City Commission Meeting: October 7th at 6pm- Bozeman Creek Resiliency Plan, Public Engagement Plan Upcoming Events: • September 26: MSU Homecoming Pep Rally, 6-7pm • October: PNKBZN • October 31: Downtown Trick-or-Treating, 4-6pm • November 20: Ladies’ Night, 5-8pm • November 29: Small Business Saturday • December 6: 45th Annual Christmas Stroll, 4:30-7:30pm • December 12: Winter Art Walk, 6-8pm 27 Memorandum REPORT TO:Bozeman Downtown Business Improvement District Board FROM:Emily Cope, Downtown Bozeman Partnership SUBJECT:Monthly Finance Report MEETING DATE:September 17, 2025 AGENDA ITEM TYPE:Finance RECOMMENDATION:Discuss. STRATEGIC PLAN:4.4 Vibrant Downtown, Districts & Centers: Promote a healthy, vibrant Downtown, Midtown, and other commercial districts and neighborhood centers – including higher densities and intensification of use in these key areas. BACKGROUND:Staff will present monthly finance report. UNRESOLVED ISSUES:None. ALTERNATIVES:None. FISCAL EFFECTS:None. Attachments: BID Finance Report 9-25.pdf Report compiled on: September 10, 2025 28 Downtown BID September 2025 Finance Report APPROVED Y-T-D FY2026 FY2026 Income BID Assessment 280,000.00$ 280,000.00$ 100% Contract Income 26,000.00$ 13,000.00$ 100% Interest Income 100.00$ 2.03$ 21% Mobile Vending Fees 1,500.00$ 2,750.00$ 0% Flower Sponsorships 9,500.00$ 1,900.00$ 67% Christmas Light Sponsorships 3,000.00$ 56% Streetlamp Banners 14,000.00$ 5,475.00$ 137% Old Truck Sale -$ 2,900.00$ Total Income 334,100.00$ 306,027.03$ 99% Expenses Management Fee 82,500.00$ 41,250.00$ 100% Total Expenses 82,500.00$ 41,250.00$ 100% Payroll Expenses Maintenance Staff 80,000.00$ 17,562.00$ 55% Taxes 5,500.00$ 1,440.09$ 84% Work Comp 3,500.00$ 29% Maintenance Staff--Garage 25,000.00$ 75% Taxes 950.00$ 0% Work Comp 950.00$ 0% Total Payroll Expenses 115,900.00$ 19,002.09$ 59% Programs Downtown Safety Program 15,000.00$ 0% wntown Bozeman Association (DBA) Sup 28,000.00$ 28,000.00$ 100% Holiday Lights 2,500.00$ 64% Holiday Light Spider Repair 2,000.00$ 42% Holiday Lights Storage 1,675.00$ 94% Holiday Lights- Reserve Fund 15,000.00$ 78% New Banners 3,000.00$ 78% Flower Expenses 34,500.00$ 33,724.00$ 99% Flower Water 400.00$ 51.57$ 99% Marketing 3,000.00$ 3,000.00$ 100% Maintenance Supplies 4,750.00$ 739.01$ 70% Garbage Bags 3,250.00$ 806.52$ 63% Graffiti Supplies 900.00$ 20% Graffiti Contracted Removal 7,000.00$ 486.00$ 35% Mule Service & Fuel 1,950.00$ 386.09$ 39% Truck Service & Fuel 2,700.00$ 856.18$ 69% Truck-Mule Insurance 7,500.00$ 122% Program Contingency 2,000.00$ 33.05$ 6% Total Program Expenses 135,125.00$ 68,082.42$ 80% Total BID Expenses 333,525.00$ 128,334.51$ 77% NET ASSESSMENT INCOME 575$ 177,693$ Checking Account Balance 346,666.46$ Certificate of Deposit Balance 33,735.76$ Total Cash On Hand Total 380,402.22$ 29