Loading...
HomeMy WebLinkAbout09-08-25 - Community Development Board - Agendas & Packet MaterialsA. Call to Order - 6:00 pm B. Disclosures C. Changes to the Agenda D. Public Service Announcements E. Approval of Minutes E.1 Approval of Minutes(Sagstetter) F. Consent Items F.1 Parklands Amended Subdivision Preliminary Plat application to subdivide one parcel zoned R-4 into a major subdivision for residential use. The proposed subdivision includes 8 THE COMMUNITY DEVELOPMENT BOARD OF BOZEMAN, MONTANA CDB AGENDA Monday, September 8, 2025 General information about the Community Development 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 by visiting 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 Chris Saunders, csaunders@bozeman.net 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 +1 346 248 7799 Access code: 954 6079 2484 1 buildable lots on a total of 1.201 acres. The project is proposed to be completed in one phase. Generally located west of Village Downtown Boulevard, east of Audubon Way, and south of Audubon Way.  Application 25273 (Quasi-Judicial)(Minnich) G. Special Presentations H. Action Items H.1 Presentation of Population Projections and Housing Needs as part of the Bozeman Community Plan technical update for compliance with the Montana Land Use Planning Act.(Saunders) H.2 A text amendment to Replace Division 38.610 (Wetland Regulations) Section 38.410.100 (Watercourse Setback) and Section 38.220.130 (Submittal Materials for Regulated Activities in Wetlands), and amend Section 38.700.190 U Definitions, and Section 38.700.220 W Definitions within Chapter 38 of the Bozeman Municipal Code, Application 23309(Ross/Saunders) I. Public Comments on Non-agenda Items Falling within the Purview and Jurisdiction of the Board J. FYI/Discussions J.1 Upcoming Items for the Sept 15th, 2025, Community Development Board Meeting(Saunders) J.2 Bozeman Community Plan Annual Implementation Report (Saunders) K. Adjournment Receive information and ask questions regarding these issues. No final decision or recommendation is required with this item. Having reviewed and considered the staff report, draft ordinance, public comment, and all information presented, I hereby adopt the findings presented in the staff report for application 23309 and move to recommend approval of the proposed wetland and watercourse amendments. This is the time to comment on any non-agenda matter falling within the scope of the Community Development 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 Community Development Board cannot take action on any item which does not appear on the agenda. All persons addressing the Community Development 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. General public comments to the Board can be found in their Laserfiche repository folder. Information only, no action required. This board generally meets the first and third Monday of the month from 6:00 pm to 8:00 pm. 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:Community Development Board FROM:Sam Sagstetter SUBJECT:Approval of Minutes MEETING DATE:September 8, 2025 AGENDA ITEM TYPE:Community Development - Legislative RECOMMENDATION:Approve. STRATEGIC PLAN:1.1 Outreach: Continue to strengthen and innovate in how we deliver information to the community and our partners. BACKGROUND:None. UNRESOLVED ISSUES:None. ALTERNATIVES:Approve with corrections. FISCAL EFFECTS:None. Attachments: 081125 CDB Minutes.pdf Report compiled on: August 13, 2025 3 Bozeman Community Development Meeting Minutes, 8/11/2025 Page 1 of 3 THE COMMUNITY DEVELOPMENT MEETING OF BOZEMAN, MONTANA MINUTES AUGUST 11, 2025 General information about the Community Development Board is available in our Laserfiche repository. Present: Jennifer Madgic, Ben Lloyd, Hap Happel, Nicole Olmstead, Jason Delmue Absent: Chris Egnatz, Mark Egge Excused: None A) 00:07:48 Call to Order - 6:00 pm B) 00:08:25 Disclosures C) 00:08:32 Changes to the Agenda D) 00:08:43 Approval of Minutes D.1 Approval of Minutes 072125 CDB Minutes.pdf 00:09:10 Motion to approve Ben Lloyd: Motion Jennifer Madgic: 2nd 00:09:28 Vote on the Motion to approve The Motion carried 5 - 0. Approve: Jennifer Madgic Ben Lloyd Hap Happel Nicole Olmstead Jason Delmue 4 Bozeman Community Development Meeting Minutes, 8/11/2025 Page 2 of 3 Disapprove: None E) 00:09:31 Action Items Tom Rogers Presents to Board E.1 00:54:42 Annexation and Zone Map Amendment Requesting Annexation and the Establishment of an Initial Zoning Designation of R-1 on 0.903 Acres, the 1727 Kenyon Drive Annexation, Application 25051 25051 1727 Kenyon Drive ANNEX - ZMA CDB SR.pdf 00:54:47 Motion to approve Having reviewed and considered the staff report, application materials, public comment, and all information presented, I hereby adopt the findings presented in the staff report for application 25051 and move to recommend approval of the 1727 Kenyon Drive Zone Map Amendment, with contingencies required to complete the application processing. Jason Delmue: Motion Jennifer Madgic: 2nd 01:03:52 Vote on the Motion to approve Having reviewed and considered the staff report, application materials, public comment, and all information presented, I hereby adopt the findings presented in the staff report for application 25051 and move to recommend approval of the 1727 Kenyon Drive Zone Map Amendment, with contingencies required to complete the application processing. The Motion carried 4 - 1. Approve: Jennifer Madgic Ben Lloyd Hap Happel Jason Delmue Disapprove: Nicole Olmstead 00:22:24 Board asks questions on Action Item presentation 00:35:42 Applicant Rob Evans speaks to the Board 00:41:05 Brad Benny Provides public comment 00:44:45 Hal Stanley provides public comment 00:48:34 Ed Wheeler provides public comment 00:51:30 Additional questions to Tom Rogers 5 Bozeman Community Development Meeting Minutes, 8/11/2025 Page 3 of 3 E.2 01:04:05 Continued Discussion of Unified Development Code Update Focusing on Environmental Consideration in Development Review CDB August 11 2025 Natural Environment - 8-7-2025.pdf 01:04:13 Tom Rogers presents to the Board 02:42:48 Marcia Kaveny provides public comment 02:47:09 Kathryn Barry provides public comment 02:50:34 Daniel Carty provides public comment 02:53:47 Board discusses presentation and consideration of public comment F) 03:28:17 Public Comments on Non-agenda Items Falling within the Purview and Jurisdiction of the Board G) FYI/Discussions G.1 03:28:47 Upcoming Items for the Aug 18, 2025, Community Development Board Meeting H) 03:31:27 Adjournment This board generally meets the first and third Monday of the month from 6:00 pm to 8:00 pm. 6 Memorandum REPORT TO:Community Development Board FROM:Bailey Minnich, Development Review Planner Brian Krueger, Development Review Manager Erin George, Community Development Director SUBJECT:Parklands Amended Subdivision Preliminary Plat application to subdivide one parcel zoned R-4 into a major subdivision for residential use. The proposed subdivision includes 8 buildable lots on a total of 1.201 acres. The project is proposed to be completed in one phase. Generally located west of Village Downtown Boulevard, east of Audubon Way, and south of Audubon Way. Application 25273 (Quasi-Judicial) MEETING DATE:September 8, 2025 AGENDA ITEM TYPE:Community Development - Quasi-Judicial RECOMMENDATION: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 25273 and move for the Community Development Board in its capacity as the Planning Board to recommend approval of the subdivision with conditions and subject to all applicable code provisions. 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: The Department of Community Development received a Preliminary Plat Application on May 23, 2025, requesting to subdivide 1.201 acres to create 8 buildable lots. The subject property is zoned R-4 (Residential High Density District). On July 16, 2025, the Development Review Committee (DRC) found the application sufficient for continued review and recommends the conditions and code provisions identified in this report. The subdivider requested waivers with this application as it is a further subdivision of property 7 previously reviewed as a major subdivision. The requested waivers were approved by the Development Review Committee (DRC) on June 11, 2025 and included BMC 38.220.060.A.1 Surface Water, BMC 38.220.060.A.2 Floodplain, BMC 38.220.060.A.3 Groundwater, BMC 38.220.060.A.4 Geology, BMC 38.220.060.A.5 Vegetation, BMC 38.220.060.A.6 Wildlife, BMC 38.220.060.A.7 Agriculture, BMC 38.220.060.A.8 Agricultural water user facilities, BMC 38.220.060.A.9 Water and Sewer, BMC 38.220.060.A.10 Stormwater, BMC 38.220.060.A.11 Streets, BMC 38.220.060.A.12 Utilities, BMC 38.220.060.A.13 Land use, BMC 38.220.060.A.14 Parks and recreation facilities, BMC 38.220.060.A.15 Neighborhood Center, BMC 38.220.060.A.16 Lighting Plan, BMC 38.220.060.A.17 Miscellaneous, and BMC 38.220.060.A.18 Affordable Housing. Please see the staff report for analysis of the review criteria. This subdivision meets the criteria for review under 76-3-616 Montana Code Annotated (MCA) - Exemption for Certain Subdivisions. This statute exempts this subdivision from the public hearing requirement. Per BMC 38.240.100 the final decision for this preliminary plat must be made within 60 working days from sufficiency, or by October 8, 2025. The City Commission meeting regarding this subdivision is scheduled for September 9, 2025. Materials in the submittal relevant to the Planning Board’s duties include: [External Link] Application Documents [External Link] Application Drawings [External Link] The application documents folder will contain the infrastructure reports including water, sewer, stormwater, and traffic impacts, as well as documentation to demonstrate compliance with Chapter 38 including compliance with adopted standards required in BMC 38.220.060. The application drawings folder will contain the full plat set sheet, and the application documents folder will contain the project narrative, supplemental application materials, water and sewer design report, and stormwater design report. UNRESOLVED ISSUES:None ALTERNATIVES:As recommended by the board FISCAL EFFECTS:Fiscal impacts are undetermined at this time, but will include increased property tax revenues from new development, along with increased costs to deliver municipal services to the property. Impact fees will be collected at the time of building permit issuance for individual buildings along with City sewer and water connection fees. Attachments: 8 25273 Parklands Amended PP_CDB Staff Report_Final.pdf Report compiled on: August 12, 2025 9 25273 Staff Report for Parklands Amended Subdivision Page 1 of 20 25273 Parklands Amended Subdivision Preliminary Plat Public Meeting/Hearing Dates: Planning Board meeting will be held Monday, August 18, 2025, at 6:00 pm. City Commission meeting will be held Tuesday, September 9, 2025, at 6:00 pm. Project Description: A preliminary plat requesting to subdivide one parcel zoned R-4 into a major subdivision for residential uses. The proposed subdivision includes 8 buildable lots on a total of 1.201 acres. The project is proposed to be completed in one phase. Village Downtown Boulevard and Audubon Way are currently constructed, and no new street connections are required or proposed with the subdivision. Residential lots 2 through 8 are proposed to contain two dwelling units to comply with the minimum required density of the R-4 zoning, while Lot 1 will have the option of either a single- household dwelling or a two-household dwelling unit. Project Location: Lot 1 of Block 1 of Parklands at Village Downtown Subdivision, per Plat J- 700A in Section 8, Township 2 South, Range 6 East, Principal Meridian, City of Bozeman, Gallatin County, Montana. Addresses TBD, west of Village Downtown Boulevard, east of Audubon Way, and south of Audubon Way. Staff Finding: The application conforms to standards and is sufficient for approval with conditions and code provisions. Recommended Planning Board 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 25273 and move for the Community Development Board in its capacity as the Planning Board to recommend approval of the subdivision with conditions and subject to all applicable code provisions. Recommended City Commission 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 25273 and move to approve the subdivision with conditions and subject to all applicable code provisions. Report Date: August 12, 2025 Staff Contact: Bailey Minnich, Development Review Planner Simon Lindley, Project Engineer Agenda Item Type: Consent (Quasi-judicial) 10 25273 Staff Report for Parklands Amended Subdivision Page 2 of 20 EXECUTIVE SUMMARY This report is based on the application materials submitted and public comment received to date. The application materials are available in the City’s Laserfiche archive and may be accessed through the Community Development viewer. Unresolved Issues. There are no unresolved issues with this application. Project Summary The Department of Community Development received a Preliminary Plat Application on May 23, 2025, requesting to subdivide 1.201 acres to create 8 buildable lots. The subject property is zoned R-4 (Residential High Density District). Proposed land uses for the subdivision are primarily residential in the form of single-household dwellings and two-household dwellings on individual lots. Residential lots 2 through 8 are proposed to contain two dwelling units to comply with the minimum required density of the R-4 zoning, while lot 1 will have the option of either a single-household dwelling or two dwelling units. Development of lots within the subdivision will be subject to Bozeman Municipal Code (BMC) provisions at the time of development for R-4 Zoning. The site is surrounded by existing local streets with Village Downtown Boulevard located to the west, and Audubon Way to the south and east. No additional street extensions are proposed or required with the subdivision application. Additionally, all water, sewer and stormwater infrastructure was already installed with the original subdivision. The subdivision is proposed to be completed in one phase and developed with uses permitted under sketch plan review. Therefore, the application does not qualify for concurrent construction. All subdivision improvements must be installed prior to the issuance of a building permit for any lot within a subdivision. On July 16, 2025, the Development Review Committee (DRC) found the application sufficient for continued review and recommends the conditions and code provisions identified in this report. The subdivider requested waivers with this application. The requested waivers were approved by the Development Review Committee (DRC) on June 11, 2025 and included BMC 38.220.060.A.1 Surface Water, BMC 38.220.060.A.2 Floodplain, BMC 38.220.060.A.3 Groundwater, BMC 38.220.060.A.4 Geology, BMC 38.220.060.A.5 Vegetation, BMC 38.220.060.A.6 Wildlife, BMC 38.220.060.A.7 Agriculture, BMC 38.220.060.A.8 Agricultural water user facilities, BMC 38.220.060.A.9 Water and Sewer, BMC 38.220.060.A.10 Stormwater, BMC 38.220.060.A.11 Streets, BMC 38.220.060.A.12 Utilities, BMC 38.220.060.A.13 Land use, BMC 38.220.060.A.14 Parks and recreation facilities, BMC 38.220.060.A.15 Neighborhood Center, BMC 38.220.060.A.16 Lighting Plan, BMC 11 25273 Staff Report for Parklands Amended Subdivision Page 3 of 20 38.220.060.A.17 Miscellaneous, and BMC 38.220.060.A.18 Affordable Housing. The City has received no written public comment on the application as of the writing of this report. The final decision for this preliminary plat must be made by October 8, 2025, or 60 working days from the sufficiency date per BMC 38.240.100 and MCA 76-3-616 for exempt subdivisions. Alternatives 1. Approve the application with the recommended conditions; 2. Approve the application with modifications to the recommended conditions; 3. Deny the application based on the Commission’s findings of non-compliance with the applicable criteria contained within the staff report; or 4. Continue the public meeting on the application, with specific direction to staff or the subdivider to supply additional information or to address specific items. 12 25273 Staff Report for Parklands Amended Subdivision Page 4 of 20 TABLE OF CONTENTS EXECUTIVE SUMMARY ............................................................................................................ 2 Unresolved Issues. .............................................................................................................. 2 Project Summary ................................................................................................................. 2 Alternatives ......................................................................................................................... 3 SECTION 1 – MAP SERIES .......................................................................................................... 5 SECTION 2 – REQUESTED VARIANCES ................................................................................. 8 SECTION 3 – RECOMMENDED CONDITIONS OF APPROVAL ............................................ 8 SECTION 4 – CODE REQUIREMENTS ...................................................................................... 9 SECTION 5 – RECOMMENDATION AND FUTURE ACTIONS ............................................ 10 SECTION 6 – STAFF ANALYSIS and findings ......................................................................... 10 Applicable Subdivision Review Criteria, Section 38.240.150.B, BMC. .......................... 10 Documentation of compliance with adopted standards 38.220.060 ................................. 14 APPENDIX A – PROJECT SITE ZONING AND GROWTH POLICY..................................... 17 APPENDIX B – DETAILED PROJECT DESCRIPTION .......................................................... 19 APPENDIX C – NOTICING AND PUBLIC COMMENT ......................................................... 19 APPENDIX D – OWNER INFORMATION AND REVIEWING STAFF ................................. 19 FISCAL EFFECTS ....................................................................................................................... 20 ATTACHMENTS ......................................................................................................................... 20 13 25273 Staff Report for Parklands Amended Subdivision Page 5 of 20 SECTION 1 – MAP SERIES Exhibit 1 – Zoning 14 25273 Staff Report for Parklands Amended Subdivision Page 6 of 20 Exhibit 2 – Future Land Use Map 15 25273 Staff Report for Parklands Amended Subdivision Page 7 of 20 Exhibit 3 – Preliminary Plat 16 25273 Staff Report for Parklands Amended Subdivision Page 8 of 20 SECTION 2 – REQUESTED VARIANCES No variances are requested with this application. SECTION 3 – RECOMMENDED 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. Recommended Conditions of Approval: 1. The plat shall conform to all requirements of the Bozeman Municipal Code and the Uniform Standards for Monumentations, Certificates of Survey, and Final Subdivision Plats (24.183.1101 ARM, 24.183.1104 ARM, 24.183.1107 ARM) and must be accompanied by all required documents, including certification from the City Engineer that as-built drawings for public improvements were received, a platting certificate, and all required and corrected certificates. The Final Plat application must include one (1) signed reproducible copy on a 3 mil or heavier stable base polyester film (or equivalent). The Gallatin County Clerk & Recorders office has elected to continue the existing medium requirements of 1 mylar with a 1 binding margin on one side for both plats and COSs. The Clerk and Recorder will file the new Conditions of Approval sheet as the last same sized mylar sheet in the plat set. 2. The applicant must add the following notes to the conditions of approval sheet of the plat related to the presence of high groundwater on the property: a. Ownership of all common open space lots, areas and trails, and responsibility of maintenance thereof and for city assessments levied on the common open space lands are that of the property owners association. Maintenance responsibility includes, in addition to the common open space and trails, all vegetative ground cover, boulevard trees and irrigation systems in the public right-of-way boulevard strips along all external perimeter development streets and as adjacent to public parks, greenway corridors or other common open space areas. b. The property owners' association must be responsible for the maintenance of stormwater infrastructure located within the common open spaces. All areas within the subdivision that are designated herein as common open space including trails are for the use and enjoyment by residents of the development and the general public. c. The property owners association shall be responsible for levying annual assessments to provide for the maintenance, repair, and upkeep of all common open space lots, areas and trails. d. The City of Bozeman shall be responsible for the maintenance of boulevard trees along Village Downtown Boulevard. e. No crawl spaces will be permitted with future development of the site, unless a professional engineer registered in the State of Montana certifies that the lowest 17 25273 Staff Report for Parklands Amended Subdivision Page 9 of 20 point of any proposed structure is located above the seasonal high groundwater level and provide supporting groundwater data prior to the release of building permit. In addition, sump pumps are not allowed to be connected to the sanitary sewer system. f. 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. SECTION 4 – CODE REQUIREMENTS 1. Sec. 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, does not, in any way, create a waiver or other relaxation of the lawful requirements of the Bozeman Municipal Code or state law. 2. Sec. 38.220.070.A.3 – Noxious Weeds. Prior to final plat approval, a memorandum of understanding must be entered into by the weed control district and the developer. The memorandum of understanding must be signed by the district and the developer prior to final plat approval, and a copy of the signed document must be submitted to the community development department with the application for final plat approval. 3. Sec. 38.220.300, 310, and 320. Property Owners’ Association. Final Property Owners’ Association (POA) documents, including covenants, must be provided with the final plat prior to being finalized and recorded. The POA documents must include the requirements of BMC 38.220.300, 310, and 320, where applicable. Additionally, based on the provided documents, revise and add the following. a. The property owners' association must be responsible for the maintenance of stormwater infrastructure located within the common open spaces. All areas within the subdivision that are designated herein as common open space including trails are for the use and enjoyment by residents of the development and the general public. b. The property owners’ association shall be responsible for levying annual assessments to provide for the maintenance, repair, and upkeep of all common open space lots, areas, and trails. 4. Sec. 38.240.410 through 38.240.540 – Plat Certificates. The language contained in the certificates on the final plat must follow the language in the corresponding certificates in this code section. 5. Sec. 38.270.090 – Development or Maintenance of Common Areas and Facilities by Developer and Property Owners’ Association. The subdivision’s stormwater maintenance plan must clearly state the following condition. "The property owners association (Insert Final Property Owners Association Name as recorded in the CC&Rs) shall be responsible for the maintenance of all stormwater management facilities located outside of the public right-of-way." The approved stormwater plan must be incorporated into the property owners’ association documents and a copy of the documents 18 25273 Staff Report for Parklands Amended Subdivision Page 10 of 20 demonstrating the inclusion of the stormwater maintenance plan must be provided prior to final plat approval. 6. Sec. 38.410.060. - Easements. All Easements indicated below must be provided on city standard easements templates. Drafts must be prepared for review and approval by the city. Signed hard copies of the easements must be submitted to the City prior final plat approval. The applicant may contact the review engineer to receive standard templates. a. The final plat must provide all necessary utility easements, and they must be described, dimensioned and shown on each subdivision block of the final plat in their true and correct location. b. The applicant must submit for review and approval all easements which designate space for public or private utilities that are not in the designated pubic right of way. All such easements applicable to the spatial orientation of utilities on the plat, which are not in public right of way, must be reviewed, approved, executed by applicable owners and the City Commission, and filed with the County Clerk and Recorder's office prior to final plat approval. 7. Sec. 38.410.130.D.3 - Water Adequacy. The city will determine the estimated increase in annual municipal water demand attributable to the development. The applicant must offset the estimated increase in annual municipal water demand attributable to the development through one or more of the following means: 3. Payment to the city of cash- in-lieu of water rights for that portion of the estimated annual municipal water demand attributable to the development that is not offset under subsections D.1 and D.2. The applicant has indicated they intend to pay cash-in-lieu of water to satisfy the code. The CILWR fee determination will occur with the final plat applicant and must be paid prior to approval of the final plat. SECTION 5 – RECOMMENDATION AND FUTURE ACTIONS The Development Review Committee (DRC) determined the application was sufficient for continued review and recommended approval with conditions on July 16, 2025. Planning Board meeting will be held Monday, August 18, 2025 at 6:00 pm. City Commission meeting will be held Tuesday, September 9, 2025 at 6:00 pm SECTION 6 – STAFF ANALYSIS AND FINDINGS 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. Applicable Subdivision Review Criteria, Section 38.240.150.B, BMC. In considering applications for subdivision approval under this title, the advisory boards and City Commission shall consider the following: 19 25273 Staff Report for Parklands Amended Subdivision Page 11 of 20 1) Compliance with the survey requirements of Part 4 of the Montana Subdivision and Platting Act The preliminary plat was 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 noted in the code requirements, the final plat must comply with State statute, Administrative Rules of Montana, and the Bozeman Municipal Code. 2) Compliance with the local subdivision regulations provided for in Part 5 of the Montana Subdivision and Platting Act The final plat must comply with the standards identified and referenced in the Bozeman Municipal Code. The subdivider is advised that unmet code provisions, or code provisions 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 or State law. Sections 3 and 4 of this report identify conditions and code provisions necessary to meet all municipal standards. The listed code requirements address necessary documentation and compliance with standards. Therefore, upon satisfaction of all conditions and code corrections, the subdivision will comply with the subdivision regulations. 3) Compliance with the local subdivision review procedures provided for in Part 6 of the Montana Subdivision and Platting Act The Bozeman Planning Board public meeting and City Commission public meetings were properly noticed in accordance with the Bozeman Municipal Code. 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, the City Commission will make the final decision on the subdivider’s request. Review of this subdivision was conducted under the terms of 76-3-616 MCA as authorized in 38.240.100. The Department of Community Development received a preliminary plat application on May 23, 2025. The DRC reviewed the preliminary plat application and determined the application was adequate for continued review July 16, 2025 and recommended conditions of approval and code corrections for the staff report. The applicant posted public notice on the subject property on July 24, 2025. The applicant sent public notice to all landowners of record within 200-feet of the subject property via first class mail, on July 24, 2025. No public comments have been received on this application as of the writing of this report. On August 12, 2025, a major subdivision staff report was completed and forwarded with a recommendation of conditional approval for consideration to the Planning Board. 20 25273 Staff Report for Parklands Amended Subdivision Page 12 of 20 4) Compliance with Chapter 38, BMC and other relevant regulations Community Development staff and the DRC reviewed the preliminary plat against all applicable regulations and the application complies with the BMC and all other relevant regulations with conditions and code corrections. This report includes Conditions of Approval and required code provisions as recommended by the DRC for consideration by the City Commission to complete the application processing for final plat approval. All municipal water and sewer facilities will conform to the regulations outlined by the Montana Department of Environmental Quality and the requirements of the Design Standards and Specifications Policy (DSSP) and the City of Bozeman Modifications to Montana Public Works Standard Specifications. Water/sewer – The subdivision will not significantly burden city's water and sewer infrastructure with the recommended conditions of approval and code provisions. Water and sewer will be provided by connections to the City’s water system and existing sanitary sewer collection system. The water and sewer mains and services to each of the proposed 8 lots were constructed during the original subdivision in 2020 and exist within the Audubon Way and Front Street rights-of-way. Appendix A contains the water and sewer design report for the original Parklands Subdivision, stamped by a professional engineer licensed in the State of Montana. The report was reviewed by the Engineering Division for compliance with state and local Public Works Standard Specifications, the City’s design standards, the City of Bozeman Water Facility Plan, and the City of Bozeman Fire Service Line Standard and found to meet with code provisions the City’s review requirements during the previous subdivision approval. No additional improvements are required with the current subdivision application. Code provision 7 requires the applicant offset estimated water demand prior to final plat approval per subsection D of BMC 38.410.130. Per this section, the application may either transfer water rights into city ownership that are appurtenant to the land being developed or as acceptable to the city, provide payment of cash-in-lieu of water rights at a rate established by the most recent City Commission resolution, or a combination of both. The applicant is proposing to provide cash-in-lieu of water rights to comply with the requirements of BMC 38.410.130.D. Code provision 7 requires the developer to pay the required cash-in-lieu of water rights fee with the final plat application. Easements - The final plat must provide and depict all necessary utilities and required utility easements. Code provision 6 requires that all easements, existing and proposed, must be accurately depicted and addressed on the final plat and in the final plat application. Public utilities will be located within dedicated street rights-of-way. The applicant must submit for review and approval all easements, which designate space for public or private utilities that are not in the designated public right of way. All easements must be provided using the City’s standard language. Ten-foot utility easements are depicted on the preliminary plat along Audubon Way and are proposed to be granted with the final plat in accordance with standards. Copies of additional existing easements are required to be provided with the final plat application. Parks – Supplemental information regarding Parks and Recreation facilities was waived during the pre-application process. The proposed amended plat does not increase the overall net 21 25273 Staff Report for Parklands Amended Subdivision Page 13 of 20 residential density of the underlying subdivision. Previous parkland dedication provides sufficient parkland for the newly proposed lots. No additional parkland dedication is required per BMC 38.420.020.2.B.5. A pedestrian trail was constructed during the initial subdivision along the southeastern boundary of the subdivision along the old railway berm. The Parklands Subdivision constructed a 10-feet wide asphalt trail that connects the Village Downtown Boulevard along the Front Street right of way, through the 60-feet wide Linear Park to a 6-feet wide gravel trail that runs within the easement adjacent to the Parklands Subdivision. This creates a trail network that completely surrounds the entire subdivision. Stormwater – Stormwater within the subdivision will be conveyed by surface gutter flow to curb inlets and then underground through storm drain piping to an existing stormwater detention pond located in the existing Common Open Space A. All stormwater infrastructure was installed during the original Parklands Subdivision in 2020 and the design accounted for the future development of these 8 lots. Appendix B contains the stormwater design report for the original Parklands Subdivision. Code provision 5 details the required development or maintenance of common areas and facilities to be maintained by the property owners’ association and requires the property owners’ association to maintain all stormwater facilities outside of the public right- of-way, with the incorporation of a maintenance plan into the association documents prior to final plat approval. This will ensure the proper maintenance of necessary stormwater infrastructure as the subdivision is developed and occupied. Agricultural water user facility – The proposed subdivision is a redevelopment of an existing subdivision lot from The Parklands Subdivision. No agricultural water user facilities are located within the subdivision boundaries. Supplemental information regarding agricultural users was waived during the pre-application process. Police/Fire – The City of Bozeman’s Police and Fire emergency response area includes this subject property. The subdivision does not impact the City’s ability to provide emergency services to the subject property. The necessary addresses will be provided to enable 911 response to individual parcels prior to recording of the final plat. Fire protection standards require installation of fire hydrants at designated spacing to ensure adequate protection. 5) The provision of easements to and within the subdivision for the location and installation of any necessary utilities The final plat will provide and depict all necessary utilities and required utility easements. Code requirement 6 requires that all easements, existing and proposed, must be accurately depicted and addressed on the final plat and in the final plat application. Public utilities are generally located within dedicated street and alley rights-of-way. 22 25273 Staff Report for Parklands Amended Subdivision Page 14 of 20 6) The provision of legal and physical access to each parcel within the subdivision and the notation of that access on the applicable plat and any instrument transferring the parcel The final plat will provide legal and physical access to each parcel within the subdivision. All of the proposed lots will have frontage on public streets and an improved alley as allowed in BMC 38.400.090. Documentation of compliance with adopted standards 38.220.060 The Development Review Committee (DRC) completed a subdivision pre-application plan review on June 11, 2025 and no variances were requested. Waivers to the following code sections were granted during pre-application review and included BMC 38.220.060.A.1 Surface Water, BMC 38.220.060.A.2 Floodplain, BMC 38.220.060.A.3 Groundwater, BMC 38.220.060.A.4 Geology, BMC 38.220.060.A.5 Vegetation, BMC 38.220.060.A.6 Wildlife, BMC 38.220.060.A.7 Agriculture, BMC 38.220.060.A.8 Agricultural water user facilities, BMC 38.220.060.A.9 Water and Sewer, BMC 38.220.060.A.10 Stormwater, BMC 38.220.060.A.11 Streets, BMC 38.220.060.A.12 Utilities, BMC 38.220.060.A.13 Land use, BMC 38.220.060.A.14 Parks and recreation facilities, BMC 38.220.060.A.15 Neighborhood Center, BMC 38.220.060.A.16 Lighting Plan, BMC 38.220.060.A.17 Miscellaneous, and BMC 38.220.060.A.18 Affordable Housing Staff offers the following summary comments on the documents required with Article 38.220.060, BMC. 38.220.060.A.1 – Surface water The subject property does not contain any surface water. Supplemental information regarding surface water was waived during the pre-application process. 38.220.060.A.2 - Floodplains The subject property is not located within the 100-year floodplain. The property is depicted on the Flood Insurance Rate Map (FIRM) panel 30031C0817E with an effective date of April 21, 2021. All issues related to the floodplain were addressed with the pervious subdivision. Supplemental information regarding floodplains was waived during the pre-application process. 38.220.060.A.3 - Groundwater All issues related to groundwater monitoring were addressed during the previous subdivision approval. Supplemental information relating to groundwater was waived during the pre- application process. As a condition of approval for this current subdivision the Engineering Department will require the developer must add a note on the final plat stating no crawl spaces will be permitted with future development of the site unless a professional engineer registered in the State of Montana certifies that the lower point of any proposed structure is located above the seasonal high groundwater level and provides supporting groundwater data prior to the release of a building permit. Additionally, sump pumps are not allowed to be connected to the sanitary 23 25273 Staff Report for Parklands Amended Subdivision Page 15 of 20 sewer system or the drainage system and may not be discharged onto streets where they may create a safety hazard for pedestrians and vehicles. 38.220.060.A.4 - Geology, Soils and Slopes This subdivision will not significantly impact the geology, soils, or slopes. No significant geological features or slopes exist on the site. Supplemental information relating to geology, soils, or slopes was waived during the pre-application process. 38.220.060.A.5 - Vegetation This subdivision will not significantly impact vegetation. No critical plant communities identified on site. The current application is for the creation of 8 lots within an existing lot previously platted through the subdivision process. Supplemental information related to vegetation on the subject property was waived during the pre-application process. 38.220.060.A.6 - Wildlife This subdivision will not significantly impact wildlife. There are no known critical habitats on the property, or observed or mapped threatened or endangered species. The property is bound by existing city streets and future residential developments to the north, south, east, and west. The current application is for the creation of 8 lots within an existing lot previously platted through the subdivision process. Supplemental information related to wildlife on the subject property was waived during the pre-application process. 38.220.060.A.7 - Agriculture This subdivision will not impact agriculture. The current application is for the creation of 8 lots within an existing lot previously platted through the subdivision process. Supplemental information related to agriculture was waived during the pre-application process 38.220.060.A.8 - Agricultural Water User Facilities See discussion above under primary review criteria. 38.220.060.A.9 - Water and Sewer The subdivision will not significantly impact city water and sewer infrastructure. Water and sewer improvements will be designed to meet City of Bozeman Standards and State Department of Environmental Quality Standards and Regulations. Also see discussion above under primary review criteria. 38.220.060.A.10 - Stormwater Management The subdivision will not significantly impact stormwater infrastructure. See discussion above under primary review criteria. 24 25273 Staff Report for Parklands Amended Subdivision Page 16 of 20 38.220.060.A.11 - Streets, Roads and Alleys The subdivision will not significantly impact the City’s street infrastructure. All public rights-of- way to serve the subdivision were dedicated with the underlying Parklands Subdivision final plat in 2020. Village Downtown Boulevard is considered a local street and includes an 80-foot-wide right-of-way. Audubon Way is considered an alley and includes a 30-foot wide right-of-way which serves the proposed 8 new lots and the existing 9 lots from Block 2 of The Parklands Subdivision. Audubon Way is privately maintained by the Property Owners Association. No new access is proposed to the current subdivision, and no modifications to existing streets are proposed. The applicant requested a waiver to the Traffic Impact Study (TIS) requirement. The Engineering Department evaluated and approved the waiver request. A previous TIS was prepared for the Village Downtown in 2003. The current subdivision calculations provided by the applicant indicate the proposed project will generate 238 weekday trips which are well below the Institute of Transportation Engineers (ITE) guidance. 38.220.060.A.12 – Non-Municipal Utilities The applicant received confirmation of service connections from non-municipal utilities during the previous Parklands Subdivision in 2021. Northwestern Energy confirmed the existing utilities in the area can supply the proposed 8-lot subdivision. 38.220.060.A.13 - Land Use Proposed land uses for the subdivision are primarily residential in the form of single-household dwellings and two-household dwellings on individual lots. Residential lots 2 through 8 are proposed to contain two dwelling units to comply with the minimum required density of the R-4 zoning, while lot 1 will have the option of either a single-household dwelling or two dwelling units. Development of lots within the subdivision will be subject to Bozeman Municipal Code (BMC) provisions at the time of development for R-4 Zoning. Supplemental information regarding Land Use was waived during the pre-application process. 38.220.060.A.14 - Parks and Recreation Facilities The Parks Department reviewed the subdivision proposal. The proposed amended plat does not increase the overall net residential density of the underlying subdivision. Previous parkland dedication provides sufficient parkland for the newly proposed lots. No additional parkland dedication is required per BMC 38.420.020.2.B.5. Supplemental information regarding Parks and Recreation facilities was waived during the pre-application process. See the previous discussion under Parks in the primary review criteria. 25 25273 Staff Report for Parklands Amended Subdivision Page 17 of 20 38.220.060.A.15 - Neighborhood Center Plan To provide a neighborhood focal point, all residential subdivisions that are ten net acres in size or greater must have a neighborhood center. The proposed subdivision is 1.201 net acres and, therefore, is exempt from the requirement of a neighborhood center. 38.220.060.A.16 - Lighting Plan No additional subdivision or street lighting is required or proposed with this application. Supplemental information for a required lighting plan was waived during the pre-application process. 38.220.060.A.17 - Miscellaneous The proposed subdivision is not located within 200 feet of any public land access or within a delineated Wildland Urban Interface area. No health or safety hazards on-site or off-site will be created with this development. 38.220.060.A.19 - Affordable Housing This application does not rely on incentives authorized in 38.380. Therefore, no analysis is required. APPENDIX A – PROJECT SITE ZONING AND GROWTH POLICY Zoning Designation and Land Uses: The subject property is zoned R-4, Residential High Density District. The intent of the R-4 residential high density district is to provide for high-density residential development through a variety of housing types within the city with associated service functions. This purpose is accomplished by: 1. Providing for minimum lot sizes in developed areas consistent with the established development patterns while providing greater flexibility for clustering lots and mixing housing types in newly developed areas. 2. Providing for a variety of compatible housing types, including single and multi- household dwellings to serve the varying needs of the community's residents. 3. Allowing office use as a secondary use, measured by percentage of total building area. Use of this zone is appropriate for areas adjacent to mixed-use districts, commercial districts, and/or served by transit to accommodate a higher density of residents in close proximity to jobs and services. The proposed subdivision is appropriate for this zone because the development will provide primarily residential single and multi-household dwellings on individual lots within an established developed area. The site is surrounded by existing City streets and municipal services, including water and sewer, sidewalks, and pedestrian trails. 26 25273 Staff Report for Parklands Amended Subdivision Page 18 of 20 Adopted Growth Policy Designation: Table 4 of the Bozeman Community Plan 2020 shows the correlation between future land use map designations and implementing zoning districts. (See below for the Table) The subject property is designated as Urban Neighborhood. This category primarily includes urban density homes in a variety of types, shapes, sizes, and intensities. Large areas of any single type of housing are discouraged. In limited instances, an area may develop at a lower gross density due to site constraints and/or natural features such as floodplains or steep slopes. 27 25273 Staff Report for Parklands Amended Subdivision Page 19 of 20 Complementary uses such as parks, home-based occupations, fire stations, churches, schools, and some neighborhood-serving commerce provide activity centers for community gathering and services. The Urban Neighborhood designation indicates that development is expected to occur within municipal boundaries. This may require annexation prior to development. Applying a zoning district to specific parcels sets the required and allowed density. Higher density residential areas are encouraged to be, but are not required or restricted to, proximity to commercial mixed-use areas to facilitate the provision of services and employment opportunities without requiring the use of a car. This proposed subdivision is well suited to implement the Urban Neighborhood designation by providing residential development in the form of multiple dwelling units on the majority of the lots and either a single detached household or multiple dwelling units on Lot 1. Density and individual uses will be evaluated at the time of development against the R-4 zoning requirements. The proposed subdivision meets the following Bozeman Community Plan 2020 goals: N-1 Support well-planned, walkable neighborhoods. N-1.5 Encourage neighborhood focal point development with functions, activities, and facilities that can be sustained over time. Maintain standards for placement of community focal points and services with new development. N-1.9 Ensure multimodal connections between adjacent developments. N-1.10 Increase connectivity between parks and neighborhoods through continued trail and sidewalk development. Prioritize closing gaps within the network. APPENDIX B – DETAILED PROJECT DESCRIPTION Project Background and Description A preliminary plat application by the applicant, Caddis Engineering and Land Surveying, 226 Timberline Drive, Bozeman, MT 59718, representing owners Delaney Indreland Living Trust and The Village Investment Group Inc., 101 E Main Street, Suite D, Bozeman, MT 59715. APPENDIX C – NOTICING AND PUBLIC COMMENT Notice was provided at least 15 and not more than 45 days prior to the City Commission public meeting per BMC 38.220.420. The City scheduled a public notice for this application on July 16 16, 2025. The applicant posted a public notice on the subject property on July 24, 2025. The City sent a public notice to physically adjacent landowners of record within 200 feet of the subject property via first-class mail on July 24, 2025. No comments have been received on the proposed subdivision at the time of this report. APPENDIX D – OWNER INFORMATION AND REVIEWING STAFF Owner: Delaney Indreland Living Trust, c/o Michael Delaney and The Village Investment Group Inc., 101 E Main Street, Suite D, Bozeman, MT 59715 28 25273 Staff Report for Parklands Amended Subdivision Page 20 of 20 Applicant: Caddis Engineering and Land Surveying, 226 Timberline Drive, Bozeman, MT 59718 Representative: Caddis Engineering and Land Surveying, 226 Timberline Drive, Bozeman, MT 59718 Report By: Bailey Minnich, Development Review 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 deliver municipal services to the property. Impact fees will be collected at the time of building permit issuance for individual buildings along with City sewer and water connection fees. ATTACHMENTS The full application and file of record can be viewed digitally at the Community Development Department at 20 E. Olive Street, Bozeman, MT 59715, as well as digitally at https://www.bozeman.net/departments/community-development/planning/project-information- portal, select the “Project Documents Folder” link and navigate to application 25273. Project documents are available at this direct link to the public Laserfiche archive for application 25273. The following documents and drawings are available in the online public archive: • Parklands Amended Subdivision Preliminary Plat • Plat Narrative • Additional Preliminary Plat Supplements 29 Memorandum REPORT TO:Community Development Board FROM:Chris Saunders, Community Development Manager Erin George, Community Development Director SUBJECT:Presentation of Population Projections and Housing Needs as part of the Bozeman Community Plan technical update for compliance with the Montana Land Use Planning Act. MEETING DATE:September 8, 2025 AGENDA ITEM TYPE:Plan/Report/Study RECOMMENDATION:Receive information and ask questions regarding these issues. No final decision or recommendation is required with this item. STRATEGIC PLAN:4.1 Informed Conversation on Growth: Continue developing an in-depth understanding of how Bozeman is growing and changing and proactively address change in a balanced and coordinated manner. BACKGROUND:In 2023, the Montana Legislature adopted the Montana Land Use Planning Act (MLUPA). The Act replaces the enabling legislation that allows Bozeman to adopt zoning and subdivision regulations and conduct long range land use planning. The new legislation requires the City to complete the update to its land use plan and implementing documents by May 17, 2026. The land use plan must be completed first. The City has created a website for the project which is available through the Engage Bozeman [External Link] platform . Elements of MLUPA require the City to look at population trends and what housing may be needed to address future housing needs. The City contracted with Economic Planning Systems (EPS) to prepare an analysis of several alternative population, employment, and housing need forecasts. EPS has worked with City departments for a number of years and provided information in support of the Bozeman Community Plan 2020 growth policy. The future is inherently uncertain. Therefore, there are multiple projections looking at different possible outcomes. There is no guarantee than any of the projected outcomes will occur due to many factors outside of the City's control. The projections look out to 2045. The analysis looks not only at the city limits of Bozeman but also the greater Gallatin County area. There is an increasing interrelationship between the municipalities and other developed areas outside of the City. 30 Staff will present information from the projections, mapping analysis of various issues, and identify other needed information and how it will be made available to the public. This information was presented at public information sessions on August 25th and August 27th and to the City Commission on August 26th. UNRESOLVED ISSUES:None identified at this time. ALTERNATIVES:As identified. FISCAL EFFECTS:Funds for the projection and mapping work has been budgeted. Attachments: Bozeman MT Pop and Housing Forecast_8-14-25.pdf Report compiled on: August 28, 2025 31 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST DRAFT REPORT Prepared for: Prepared by: City of Bozeman Economic & Planning Systems, Inc. August 14, 2025 EPS #253073 32 Table of Contents 1. Introduction and Summary of Findings 1 Summary of Findings .............................................................................................................................................................. 1 Forecast Methodology ........................................................................................................................................................... 4 2. Demographic Trends 14 Population ................................................................................................................................................................................ 14 Households .............................................................................................................................................................................. 16 Housing Units ......................................................................................................................................................................... 18 Household Size Factors ...................................................................................................................................................... 27 3. Employment Trends 30 Employment ............................................................................................................................................................................ 30 Industry Trends ..................................................................................................................................................................... 32 Industry Trends by Location ............................................................................................................................................. 39 4. Market Trends 40 Multi-Household Market Trends .................................................................................................................................... 40 Office Trends .......................................................................................................................................................................... 43 5. Baseline 20-Year Forecast 45 Employment Forecast ......................................................................................................................................................... 45 Population Forecast ............................................................................................................................................................. 46 Housing Demand Forecast ................................................................................................................................................ 49 6. Amenity Driven 20-Year Forecast 51 Employment Forecast ......................................................................................................................................................... 51 Population Forecast ............................................................................................................................................................. 52 Housing Demand Forecast ................................................................................................................................................ 54 7. Constrained City 20-Year Forecast 57 Employment Forecast ......................................................................................................................................................... 57 Population Forecast ............................................................................................................................................................. 58 Housing Demand Forecast ................................................................................................................................................ 61 33 List of Tables Table 1. Gallatin County Forecasts, Summary Table ...................................................................................................... 2 Table 2. City of Bozeman Forecasts, Summary Table ..................................................................................................... 3 Table 3. Total Employees Living and Working in Gallatin County, 2025-2045 .................................................... 8 Table 4. Tri-County Population Trends, 2010-2023 ................................................................................................... 14 Table 5. Gallatin County Subareas Population Trends, 2010-2023 ...................................................................... 15 Table 6. Comparison Cities in Population, 2010-2023 ............................................................................................... 15 Table 7. Tri-County Household Trends, 2010-2023 ................................................................................................... 16 Table 8. Gallatin County Subareas Household Trends, 2010-2023 ...................................................................... 17 Table 9. Comparison Cities in Households, 2010-2023 ............................................................................................. 17 Table 10. Tri-County Housing Unit Trends, 2010-2023 ............................................................................................... 18 Table 11. Gallatin County Subareas Housing Unit Trends, 2010-2023 .................................................................. 19 Table 12. Comparison Cities in Housing Units, 2010-2023 ........................................................................................ 19 Table 13. Tri-County Total Vacant Units, 2010-2023 ................................................................................................... 20 Table 14. Gallatin County Subareas Vacant Unit Trends, 2010-2023 .................................................................... 22 Table 15. Tri-County Population to Housing Unit Ratio, 2010-2023 ...................................................................... 29 Table 16. Gallatin County Subareas Population to Housing Unit Ratio, 2010-2023 ......................................... 29 Table 17. Tri-County Total Covered Employment Trends, 2010-2024 .................................................................. 30 Table 18. Gallatin County Subareas Total Covered Employment Trends, 2010-2024 ..................................... 31 Table 19. Comparison Cites in Total Employment, 2010-2024 ................................................................................. 31 Table 20. Gallatin County Employment by NAICS, 2010-2024 ................................................................................. 32 Table 21. Gallatin County Wages by NAICS, 2010-2024 ............................................................................................. 34 Table 22. Bozeman Employment by NAICS, 2010-2024 .............................................................................................. 35 Table 23. Bozeman Wages by NAICS, 2010-2024 .......................................................................................................... 37 Table 24. Percent of Gallatin County Employees by NAICS in Bozeman, 2010-2024 ...................................... 39 Table 25. Multi-Household Inventory (Units), 2010-2025 Q2 ................................................................................... 40 Table 26. Office Inventory (Sq. Ft.), 2010-2025 Q2 ....................................................................................................... 43 Table 27. Baseline Employment Forecast 2025-2045 .................................................................................................. 45 Table 28. Baseline Population Forecast 2025-2045 ..................................................................................................... 46 Table 29. Baseline Service Population Forecast 2025-2045 ...................................................................................... 47 Table 30. Baseline Population Forecast, Subareas 2025-2045 ................................................................................. 48 34 Table 31. Baseline Housing Demand Forecast, Gallatin County ............................................................................... 49 Table 32. Baseline Housing Demand Forecast, The Triangle Area 2025-2045 .................................................. 50 Table 33. Amenity-Driven Employment Forecast, 2025-2045 .................................................................................. 51 Table 34. Amenity-Driven Population Forecast, 2025-2045 ..................................................................................... 52 Table 35. Amenity-Driven Service Population Forecast 2025-2045 ....................................................................... 52 Table 36. Amenity-Driven Population Forecast, Subareas, 2025-2045 ................................................................ 53 Table 37. Amenity-Driven Housing Unit Demand Forecast, 2025-2045 ............................................................... 54 Table 38. Amenity-Driven Housing Unit Demand Forecast, The Triangle Area, 2025-2045 ......................... 56 Table 39. Constrained City Employment Forecast 2025-2045 ................................................................................. 57 Table 40. Constrained City Population Forecast 2025-2045 .................................................................................... 58 Table 41. Constrained City Service Population Forecast 2025-2045 ..................................................................... 58 Table 42. Forecasted Change in Population Growth Capture, 2025-2045 ........................................................... 59 Table 43. Constrained City Population Forecast, Subareas 2025-2045 ................................................................ 60 Table 44. Share of County Population by Subarea, 2025-2045 ................................................................................ 60 Table 45. Constrained City Housing Unit Demand Forecast 2025-2045 .............................................................. 61 Table 46. Constrained City Housing Unit Demand Forecast, The Triangle Area 2025-2045 ........................ 62 Table 47. City of Belgrade Forecasts, Summary Table ..................................................................................................... 2 Table 48. Four Corners CDP Forecasts, Summary Table ................................................................................................ 3 35 List of Figures Figure 1. Regional Map ................................................................................................................................................................ 4 Figure 2. Gallatin County Subareas Map .............................................................................................................................. 5 Figure 3. Gallatin County Employment Forecast Summary, 2010-2045 .................................................................. 7 Figure 4. Gallatin County Population Forecast Summary, 2010-2045 ..................................................................... 9 Figure 5. Gallatin County Total Housing Units Forecast Summary, 2010-2045 ................................................ 10 Figure 6. Bozeman Total Jobs Forecast Summary, 2010-2045 ................................................................................. 11 Figure 7. Bozeman Total Population Forecast Summary, 2010-2045 .................................................................... 12 Figure 8. Bozeman Total Housing Units Forecast Summary, 2010-2045 ............................................................. 13 Figure 9. Tri-County Vacant Unit Types, 2010 to 2023 ............................................................................................... 21 Figure 10. Gallatin County Subareas Vacant by Type, 2010 to 2023 ........................................................................ 23 Figure 11. Tri-County Vacancy Rates, 2010-2023 ........................................................................................................... 24 Figure 12. Gallatin County Subareas Vacancy Rates, 2010-2023 .............................................................................. 25 Figure 13. Comparison Cities Vacancy Rates, 2010-2023 ............................................................................................ 26 Figure 14. Tri-County Household Size Trends, 2000-2023 .......................................................................................... 27 Figure 15. Gallatin County Subareas Household Size Trends, 2000-2023 ............................................................. 28 Figure 16. Gallatin County Change in Employment by NAICS, 2010-2024 ............................................................ 33 Figure 17. Bozeman Change in Employment by NAICS, 2010-2024 ......................................................................... 36 Figure 18. Top 5 Employment Industries in Gallatin County, 2024 ........................................................................... 38 Figure 19. Bozeman Multi-Household Average Rent per Unit, 2010-2025 Q2 .................................................... 41 Figure 20. Gallatin County Multi-Household Vacancy Rate and Deliveries (Units), 2010-2025 Q2............ 42 Figure 21. Office Gross Rent per Sq. Ft., 2010-2025 Q2 ................................................................................................ 43 Figure 22. Office Vacancy Rates, 2010-2025 Q2 ............................................................................................................. 44 Figure 23. Office Remote Worker Trends 2010-2023 ................................................................................................... 44 36 Economic & Planning Systems, Inc. 1 Introduction and Summary of Findings 1. Introduction and Summary of Findings The City of Bozeman hired Economic & Planning Systems (EPS) to prepare a population and housing forecast for the City of Bozeman and surrounding Gallatin County. The 20-year forecast scenarios use population, housing, and employment data to generate a projection. Three scenarios were developed to show a range of future possibilities in Bozeman and Gallatin County over the next twenty years. These scenarios include a Baseline scenario based on historic growth trends, an Amenity-Driven scenario based on potential demographic changes in Gallatin County, and a Constrained City scenario that assumes that changes in land use policy or infrastructure limits reduce the amount of growth the City can accommodate. The purpose of these scenarios is to show how population and housing demand are affected by complex market conditions. Summary of Findings Based on the three forecast scenarios conducted, there is a range of results. These findings are summarized below. 1. If current growth trends continue, Gallatin County will gain 64,000 residents, and Bozeman will gain 28,800 residents from 2025 to 2045. In the Baseline scenario, Gallatin County is forecast to have 194,000 residents by 2045. Bozeman is forecast to have 87,400 residents, representing nearly half of Gallatin County’s total population. The forecasts are based on the relationships between job growth, labor force demand, and the resulting housing demand. This analysis shows the relationship between job growth and the housing supply needed to support the labor force needed to maintain economic growth. 2. If Gallatin County were to develop with more second homes and have more part- time residents over the next twenty years, it will gain 27,400 housing units with 4,900 units being second homes. In the Amenity Driven scenario, Gallatin County is forecast to have a total of 87,000 housing units by 2045. 11,400 units, or approximately 13.1 percent, are forecast to be either vacant homes or second homes. This results in a forecast population of 181,500 residents in 2045, with 81,800 residents in Bozeman. High housing costs may slow population growth in the City but may not slow housing demand due to the external factors of additional part-time residents and remote workers. 37 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 2 Introduction and Summary of Findings 3. If Bozeman were to become constrained in its development potential due to cost and land availability, it would only gain 19,600 residents from 2025 to 2045. In the Constrained City scenario, Bozeman’s forecast 2045 population is 78,300 residents, with growth slowing to approximately 500 new residents per year by the forecast sunset year. The reduction of growth in the City implies that other areas would need to “make up” for some of this to keep up with labor force demand. Many areas of Gallatin County, including in some municipalities, lack adequate infrastructure to accommodate significant growth. 4. By 2045, Gallatin County is forecast to have 135,000 jobs, 181,500 to 194,000 residents, and demand for 83,200 to 88,900 housing units between all three scenarios. As shown in the summary table below (Table 1), Gallatin County is forecast to add 44,500 jobs, 51,500 to 64,000 residents, and have demand for an additional 23,600 to 29,300 housing units between 2025 and 2045. Table 1. Gallatin County Forecasts, Summary Table Gallatin County 2025 2030 2035 2040 2045 Total Ann. # Ann. % Jobs Baseline 90,500 101,300 114,100 125,300 135,000 44,500 2,225 2.0% Amenity Driven 90,500 101,300 114,100 125,300 135,000 44,500 2,225 2.0% City Constrained 90,500 101,300 114,100 125,300 135,000 44,500 2,225 2.0% Population Baseline 130,000 145,500 163,800 180,000 194,000 64,000 3,200 2.0% Amenity Driven 130,000 143,200 158,700 171,300 181,500 51,500 2,575 1.7% City Constrained 130,000 143,200 158,700 171,300 181,500 51,500 2,575 1.7% Total Housing Unit Demand Baseline 59,600 66,700 75,200 82,500 88,900 29,300 1,465 2.0% Amenity Driven 59,600 66,400 74,400 81,200 87,000 27,400 1,370 1.9% City Constrained 59,600 65,700 72,700 78,600 83,200 23,600 1,180 1.7% Occupied Housing Units Baseline 54,200 60,600 68,300 75,000 80,800 26,600 1,330 2.0% Amenity Driven 54,200 59,700 66,100 71,400 75,600 21,400 1,070 1.7% City Constrained 54,200 59,700 66,100 71,400 75,600 21,400 1,070 1.7% Vacant and Second Homes Baseline 5,400 6,100 6,900 7,500 8,100 2,700 135 2.0% Amenity Driven 5,400 6,700 8,300 9,800 11,400 6,000 300 3.8% City Constrained 5,400 6,000 6,600 7,200 7,600 2,200 110 1.7% Source: Economic & Planning Systems 2025-2045 ChangeForecast 38 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 3 Introduction and Summary of Findings 5. By 2045, Bozeman is forecast to have 79,300 jobs, 78,300 to 87,400 residents, and demand for 38,300 to 42,700 housing units between all three scenarios. As shown in the summary table below (Table 2), Bozeman is forecast to add 26,100 jobs, 19,600 to 28,800 residents, and have demand for an additional 9,700 to 14,100 housing units between 2025 and 2045. Table 2. City of Bozeman Forecasts, Summary Table Bozeman 2025 2030 2035 2040 2045 Total Ann. # Ann. % Jobs Baseline 53,200 59,500 67,000 73,600 79,300 26,100 1,305 2.0% Amenity Driven 53,200 59,500 67,000 73,600 79,300 26,100 1,305 2.0% City Constrained 53,200 59,500 67,000 73,600 79,300 26,100 1,305 2.0% Population Baseline 58,600 65,500 73,800 81,100 87,400 28,800 1,440 2.0% Amenity Driven 58,600 64,500 71,500 77,200 81,800 23,200 1,160 1.7% City Constrained 58,700 64,800 71,000 75,400 78,300 19,600 980 1.5% Total Housing Unit Demand Baseline 28,600 32,000 36,000 39,600 42,700 14,100 705 2.0% Amenity Driven 28,600 32,000 35,700 39,200 42,000 13,400 670 1.9% City Constrained 28,600 31,700 34,600 36,700 38,300 9,700 485 1.5% Occupied Housing Units Baseline 26,800 29,900 33,700 37,000 39,900 13,100 655 2.0% Amenity Driven 26,800 29,500 32,600 35,300 37,400 10,600 530 1.7% City Constrained 26,800 29,600 32,400 34,400 35,800 9,000 450 1.5% Vacant and Second Homes Baseline 1,800 2,100 2,300 2,600 2,800 1,000 50 2.2% Amenity Driven 1,800 2,500 3,100 3,900 4,600 2,800 140 4.8% City Constrained 1,800 2,100 2,200 2,300 2,500 700 35 1.7% Source: Economic & Planning Systems Forecast 2025-2045 Change 39 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 4 Introduction and Summary of Findings Forecast Methodology To frame the forecasts, demographic and market trends were collected for the “Tri- County” region, defined as Gallatin County, Broadwater County, and Park County (Figure 1). Broadwater County and Park County are more sparsely populated than Gallatin County but have had increased housing pressure in recent years due to growth in Gallatin County. This issue is emphasized even more when the number of second homes within Broadwater County and Park County is considered because it limits the available housing supply to everyday residents. Data from the Tri-County region is used throughout this analysis to inform the forecast model scenarios. Figure 1. Regional Map 40 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 5 Introduction and Summary of Findings Of particular relevance to the forecast scenarios are the recent demographic and market trends within Gallatin County. To show the recent changes in different geographies within Gallatin County, EPS selected six different geographies— Bozeman, Belgrade, Three Forks, Manhattan, Four Corners CDP (Census- Designated Place), and Big Sky CDP (Figure 2). The analysis of these individual subareas is then used to inform the forecast scenario inputs. Figure 2. Gallatin County Subareas Map 41 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 6 Introduction and Summary of Findings Once the recent demographic and market data was analyzed, three different forecast scenarios were developed—a baseline scenario, an amenity-driven scenario, and a constrained city scenario. Each scenario is described in detail below. Baseline Scenario The Baseline Scenario forecasts the number of employees living and working in Gallatin County. The forecast relies on U.S. Bureau of Labor Statistics (BLS) Quarterly Census of Employment and Wages (QCEW) covered employment data (wage and salary jobs), which is escalated using a year-over-year growth rate that starts at 3.0 percent and tapers to 1.5 percent by the end of the forecast period. Each year covered employment is adjusted up to account for for sole proprietors using a constant factor to derive a total jobs figure. Using the total jobs subtotal, multiple job holders and in-commuters are subtracted using constant factors for each. The number of employees living and working in Gallatin County is used to estimate population through a constant employment to population ratio. From there, County wide housing unit demand is forecasted by applying a constant population per housing unit factor. At each stage of the forecast, totals for population and housing unit demand are ascribed to each subarea using the 2024 share of the County total. Amenity-Driven Scenario The rationale for this scenario is that rising housing costs, and the growing appeal of this region to part-time residents, second homeowners, and remote workers contributes to rising housing costs and reductions in homes available for full-time residents. As a result, commuting from lower cost areas needs to increase to meet the labor force demand. The Amenity-Driven scenario follows the same methodology as the baseline with adjustments made to the in-commuters and part-time residences factor. Here, these factors are escalated over the course of the forecast period for both Gallatin County and the Triangle Subareas, where applicable. For Gallatin County, the in- commuters factor increases from 6.0 percent to 12.0 percent and the part-time residence factor increased from 5.0 percent to 10.0 percent. For the subareas, the part-time residence factor is increased by four times the base year rate by the end of the forecast period. Belgrade has its rate imputed. Constrained City Scenario The methodology for the Constrained City scenario differs from the previous two. This scenario assumes that Bozeman is no longer capturing as much growth for the region due to several factors such as cost and land capacity. If Bozeman has less growth, the regional demand for housing must go elsewhere. 42 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 7 Introduction and Summary of Findings Here, the County employment and County population forecasts are unchanged from the Amenity-Driven scenario. However, the allocation of population to each subarea is done using the share of County growth for the period 2000 to 2024 rather than a base year static percentage. Over the forecast period, Bozeman’s growth capture of County population is reduced from 49.7 percent to 25.0 percent. As a result, the surrounding communities increase in population and housing unit demand. Forecast Summary Gallatin County The results of the forecast scenarios varied depending on the scenario and type of forecast. For Gallatin County jobs, all three scenarios have the same forecast, with total jobs increasing from 87,815 jobs in 2024 to 135,000 jobs in 2045 (Figure 3). Figure 3. Gallatin County Employment Forecast Summary, 2010-2045 From this total jobs forecast, the total employees living and working in Gallatin County is then generated. It results in different totals for two of the three scenarios, as shown in Table 3. This is due to a slow increase in the in-commuter rate for both the Amenity-Driven and Constrained City scenarios, resulting in a lower total amount of employees living and working in Gallatin County. In the 43 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 8 Introduction and Summary of Findings Baseline scenario, 38,400 employees are added from 2025 to 2045. In the Amenity-Driven and Constrained City scenarios, 30,900 employees are added from 2025 to 2045. Table 3. Total Employees Living and Working in Gallatin County, 2025-2045 Based on the total employees living and working in Gallatin County, a population forecast is derived from a population to employee factor. In the Baseline scenario, this results in the total population increasing by 67,016 residents, from 126,984 in 2024 to 194,000 in 2045 (Figure 4). For the Amenity-Driven and Constrained City scenarios, total population increases by 54,516 residents from 2024 to 2045. Gallatin County 2025 2030 2035 2040 2045 Total Ann. # Ann. % Employees Living & Working in G.C. Baseline 78,000 87,300 98,300 108,000 116,400 38,400 1,920 2.0% Amenity Driven 78,000 85,900 95,200 102,800 108,900 30,900 1,545 1.7% City Constrained 78,000 85,900 95,200 102,800 108,900 30,900 1,545 1.7% Source: Economic & Planning Systems Z:\Shared\Projects\DEN\253073-Bozeman MT Population and Housing Forecast\Models\[253073- Employment and Housing Demand 8-13-25.xlsx]T - Live Work Emp Forecast 2025-2045 Change 44 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 9 Introduction and Summary of Findings Figure 4. Gallatin County Population Forecast Summary, 2010-2045 45 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 10 Introduction and Summary of Findings From the forecast population, the total housing units needed to support that population is calculated using average household size, market vacancy rate, and a part-time residence adjustment. The Baseline scenario uses historic factors, the Amenity Driven scenario uses a slightly higher market vacancy rate and a gradually increasing part-time residence factor, and the Constrained City scenario uses a slighlty higher market vacancy rate but keeps the part-time residence factor the same as in the Baseline Scenario. This results in three different ranges of forecasted housing demand from 2024 to 2045, with 31,500 units needed in the Baseline scenario, 29,600 units needed in the Amenity Driven scenario, and 25,800 units needed in the Constrained City scenario (Figure 5). Figure 5. Gallatin County Total Housing Units Forecast Summary, 2010-2045 City of Bozeman The results for the City of Bozeman follow the same methodology previously described, with Bozeman receiving total jobs in all three scenarios based on its current share of total jobs. From 2024 to 2045, Bozeman is forecast to add 27,720 jobs, increasing from 51,580 jobs in 2024 to 79,300 jobs in 2045 (Figure 6). 46 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 11 Introduction and Summary of Findings Figure 6. Bozeman Total Jobs Forecast Summary, 2010-2045 The total amount of employees living and working in Gallatin County is apportioned to Bozeman based on each scenario. In the Amenity-Driven and Constrained City scenarios, this results in a lower forecasted population growth from 2025 to 2045 compared to the Baseline scenario. In the Amenity Driven scenario, this is due to the increased number of second homes, whereas in the Constrained City scenario it is due to Bozeman taking on a smaller share of the population growth within Gallatin County (Figure 7). The result of each scenario is as follows: • Baseline Scenario – the population is forecast to increase by 29,506 residents from 2024 to 2045, increasing from 57,894 residents to 87,400 residents. • Amenity Driven Scenario – the population is forecast to increase by 23,906 residents from 2024 to 2045, increasing from 57,894 residents to 81,800 residents. 47 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 12 Introduction and Summary of Findings • Constrained City Scenario – the population is forecast to increase by 20,406 residents from 2024 to 2045, increasing from 57,894 residents to 78,300 residents. Figure 7. Bozeman Total Population Forecast Summary, 2010-2045 The Constrained City scenario has the lowest total population growth forecast and the lowest housing unit demand forecast within the City of Bozeman. For the Constrained City scenario, this total demand is 10,700 housing units (Figure 8). The Amenity Driven scenario is forecast to have demand for 14,400 housing units from 2024 to 2045. In the Baseline scenario, this total demand is 15,100 housing units. 48 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 13 Introduction and Summary of Findings Figure 8. Bozeman Total Housing Units Forecast Summary, 2010-2045 49 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 14 Demographic Trends 2. Demographic Trends This chapter provides an analysis of the recent population, household, and housing unit trends in Gallatin County, Park County, and Broadwater County. This analysis also includes an in-depth analysis of Gallatin County and its subareas (i.e., Bozeman, Belgrade, Four Corners, etc.). Population Both the Tri-County region (Gallatin, Broadwater, and Park counties) and portions of Gallatin County have seen rapid growth over the last ten to fifteen years. To better understand where growth has occurred, population growth is analyzed below for both the region and for subareas within Gallatin County. Regional Trends The Tri-County region had a total population of 146,988 in 2023. Gallatin County was by far the largest with 122,194 residents in 2023 (Table 4). Between 2010 and 2023 the region added 36,277 residents per year and grew at an average annual rate of 2.3 percent. Most of the growth was concentrated in Gallatin County, which captured 90.2 percent of regional population growth from 2010 to 2023. Table 4. Tri-County Population Trends, 2010-2023 Gallatin County Subareas Within Gallatin County, a total of 32,681 residents were added from 2010 to 2023 (Table 5). Over half of this growth (54.3 percent) was in the City of Bozeman, which gained 17,762 residents. This results in an average annual growth rate of 3.0 percent. Two subareas, Belgrade and Four Corners, had a higher average annual growth rate than Bozeman during this period. Their average annual growth rates were 3.4 percent and 4.5 percent, respectively. Growth Population 2010 2020 2023 Change Ann. # Ann. %Capture Tri-County Gallatin County 89,513 118,960 122,194 32,681 2,514 2.4% 90.2% Park County 15,636 17,191 17,484 1,848 80 0.5% 5.1% Broadwater County 5,612 6,774 7,310 1,698 74 2.2% 4.7% Total 110,761 142,925 146,988 36,227 1,575 2.3% 100.0% Source: US Census ACS 5 - Year Estimates and Decennial Census 2010-2023 50 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 15 Demographic Trends Table 5. Gallatin County Subareas Population Trends, 2010-2023 Comparison Cities When compared to some other cities in the Western United States, Bozeman’s average annual population growth rate is second to that of Meridian (a suburb of Boise, Idaho). Bozeman’s average annual growth rate from 2010 to 2023 was 3.0 percent (Table 6). During the same period, Meridian’s was 4.0 percent. Out of the peer communities in Montana, Bozeman gained the most residents during this period (17,762 residents), closely followed by Billings (14,151 residents). Table 6. Comparison Cities in Population, 2010-2023 Growth Population 2010 2020 2023 Change Ann. # Ann. %Capture Gallatin County Belgrade 7,389 10,460 11,425 4,036 310 3.4% 12.3% Bozeman 37,280 53,293 55,042 17,762 1,366 3.0% 54.3% Four Corners CDP 3,146 5,901 5,562 2,416 186 4.5% 7.4% Manhattan 1,520 2,086 2,149 629 48 2.7% 1.9% Three Forks 1,869 1,989 2,034 165 13 0.7% 0.5% Unincorporated 38,309 45,231 45,982 7,673 590 1.4% 23.5% Total 89,513 118,960 122,194 32,681 2,514 2.4% 100.0% Source: US Census ACS 5 - Year Estimates and Decennial Census 2010-2023 Description 2010 2015 2020 2023 Total Ann. # Ann. % Total Population Bozeman, MT 37,280 40,319 53,293 55,042 17,762 1,366 3.0% Missoula, MT 66,788 69,190 73,489 75,600 8,812 678 1.0% Kalispell, MT 19,927 21,142 24,558 26,830 6,903 531 2.3% Billings, MT 104,170 108,134 117,116 118,321 14,151 1,089 1.0% Boise, ID 205,671 214,196 235,684 235,701 30,030 2,310 1.1% Meridian, ID 75,092 84,018 117,635 124,865 49,773 3,829 4.0% Fort Collins, CO 143,986 153,292 169,810 169,705 25,719 1,978 1.3% Boulder, CO 97,385 103,919 108,250 106,274 8,889 684 0.7% Bend, OR 76,639 81,780 99,178 101,472 24,833 1,910 2.2% Source: U.S. Census Decennial Census; U.S. Census ACS 5-year estimates; Economic & Planning Systems 2010-2023 51 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 16 Demographic Trends Households Household trends both within the region and within Gallatin County are similar to the population trends from 2010 to 2023. While minimal, some of the differences are related to differing household sizes between geographies. Regional Trends The Tri-County Region gained a total of 14,969 households from 2010 to 2023 (Table 7). One notable difference from the population trends is that Park County captured 6.3 percent of the total household growth from 2010 to 2023, compared to 5.1 percent of the total population growth during the same period (Table 4). This suggests Park County’s new households are smaller in household size. Table 7. Tri-County Household Trends, 2010-2023 Gallatin County Subareas Gallatin County gained a total of 13,481 households from 2010 to 2023 (Table 8). 54.6 percent of the households gained during this period were in Bozeman (7,356 households). Compared to population trends, Four Corners CDP had a larger share of population growth (7.4 percent) compared to household growth (6.0 percent) from 2010 to 2023, suggesting that the new households were larger in household size. Growth Households 2010 2020 2023 Change Ann. # Ann. %Capture Tri-County Gallatin County 36,550 47,117 50,031 13,481 1,037 2.4% 90.1% Park County 7,310 7,997 8,257 947 73 0.9% 6.3% Broadwater County 2,347 2,795 2,888 541 42 1.6% 3.6% Total 46,207 57,909 61,176 14,969 1,151 2.2% 100.0% Source: US Census ACS 5 - Year Estimates and Decennial Census 2010-2023 52 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 17 Demographic Trends Table 8. Gallatin County Subareas Household Trends, 2010-2023 Comparison Cities Compared to some peer cities in the Western United States, Bozeman had the second highest average annual household growth rate from 2010 to 2023, which was 3.0 percent (Table 9). The peer city with the highest average annual growth rate during this period was Meridian, with a rate of 4.6 percent. Some peer communities that were close in average annual growth rate include Bend (2.4 percent rate) and Kalispell (2.0 percent rate). Table 9. Comparison Cities in Households, 2010-2023 Growth Households 2010 2020 2023 Change Ann. # Ann. %Capture Gallatin County Belgrade 2,965 4,102 4,727 1,762 136 3.7% 13.1% Bozeman 15,775 21,735 23,131 7,356 566 3.0% 54.6% Four Corners CDP 1,228 2,196 2,038 810 62 4.0% 6.0% Manhattan 622 803 894 272 21 2.8% 2.0% Three Forks 758 822 879 121 9 1.1% 0.9% Unincorporated 15,202 17,459 18,362 3,160 243 1.5% 23.4% Total 36,550 47,117 50,031 13,481 1,037 2.4% 100.0% Source: US Census ACS 5 - Year Estimates and Decennial Census 2010-2023 Description 2010 2015 2020 2023 Total Ann. # Ann. % Total Households Bozeman, MT 15,775 16,573 21,735 23,131 7,356 566 3.0% Missoula, MT 29,081 29,860 32,816 33,958 4,877 375 1.2% Kalispell, MT 8,638 8,608 10,297 11,108 2,470 190 2.0% Billings, MT 43,945 44,092 49,441 50,340 6,395 492 1.1% Boise, ID 85,704 86,916 97,456 99,616 13,912 1,070 1.2% Meridian, ID 25,302 29,499 41,230 45,486 20,184 1,553 4.6% Fort Collins, CO 57,829 58,918 67,731 70,782 12,953 996 1.6% Boulder, CO 41,302 42,165 43,565 43,825 2,523 194 0.5% Bend, OR 31,790 33,396 40,969 43,278 11,488 884 2.4% Source: U.S. Census Decennial Census; U.S. Census ACS 5-year estimates; Economic & Planning Systems 2010-2023 53 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 18 Demographic Trends Housing Units While housing unit trends mostly mirror that of household and population, it is important to understand a community’s current housing stock. To accommodate the robust growth that the region has seen, housing units have also spiked in recent years. Regional Trends Within the Tri-County Region, Gallatin County has accounted for 91.7 percent of the total housing unit growth from 2010 to 2023 (Table 10)—a total of 15,141 housing units. Broadwater County increased its housing unit supply by nearly one- third, increasing its total units from 2,175 in 2010 to 3,164 in 2023. Meanwhile, Park County had minimal growth, only gaining a total of 382 housing units from 2010 to 2023. Table 10. Tri-County Housing Unit Trends, 2010-2023 Gallatin County Subareas Consistent with population and household trends, Bozeman captured 53.4 percent of the total housing unit growth from 2010 to 2023 (Table 11). This is followed by Unincorporated Gallatin County, which gained a total of 3,894 housing units, accounting for 25.7 percent of the total growth. The area with the highest average annual growth rate during this period was Four Corners CDP, which had an average annual growth rate of 4.7 percent. Growth Housing Units 2010 2020 2023 Change Ann. # Ann. %Capture Tri-County Gallatin County 40,448 51,011 55,589 15,141 1,165 2.5% 91.7% Park County 9,215 9,657 9,597 382 29 0.3% 2.3% Broadwater County 2,175 2,740 3,164 989 76 2.9% 6.0% Total 51,838 63,408 68,350 16,512 1,270 2.1% 100.0% Source: US Census ACS 5 - Year Estimates and Decennial Census 2010-2023 54 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 19 Demographic Trends Table 11. Gallatin County Subareas Housing Unit Trends, 2010-2023 Comparison Cities From 2010 to 2023, Bozeman gained 7,382 housing units, which is higher than all peer Montana communities (Table 12). This results in an average annual growth rate of 2.7 percent, which is second to Meridian (4.4 percent) for being the highest rate during this period. The City with the smallest average annual growth rate in housing units from 2010 to 2023 was Boulder, which had a rate of 0.5 percent and only gained a total of 3,196 housing units. Table 12. Comparison Cities in Housing Units, 2010-2023 Growth Housing Units 2010 2020 2023 Change Ann. # Ann. %Capture Gallatin County Belgrade 3,154 3,640 4,858 1,704 131 3.4% 11.3% Bozeman 16,761 22,057 24,846 8,085 622 3.1% 53.4% Four Corners CDP 1,211 1,957 2,197 986 76 4.7% 6.5% Manhattan 574 806 909 335 26 3.6% 2.2% Three Forks 758 898 895 137 11 1.3% 0.9% Unincorporated 17,990 21,653 21,884 3,894 300 1.5% 25.7% Total 40,448 51,011 55,589 15,141 1,165 2.5% 100.0% Source: US Census ACS 5 - Year Estimates and Decennial Census 2010-2023 Description 2010 2015 2020 2023 Total Ann. # Ann. % Total Housing Units Bozeman, MT 17,464 18,293 23,535 24,846 7,382 568 2.7% Missoula, MT 30,682 31,668 34,747 36,310 5,628 433 1.3% Kalispell, MT 9,379 9,406 10,894 11,650 2,271 175 1.7% Billings, MT 46,317 47,044 52,643 53,537 7,220 555 1.1% Boise, ID 92,700 92,167 102,295 104,833 12,133 933 1.0% Meridian, ID 26,674 30,222 43,627 46,672 19,998 1,538 4.4% Fort Collins, CO 60,503 61,139 71,625 73,332 12,829 987 1.5% Boulder, CO 43,479 44,578 46,289 46,675 3,196 246 0.5% Bend, OR 36,110 36,579 44,449 46,712 10,602 816 2.0% Source: U.S. Census Decennial Census; U.S. Census ACS 5-year estimates; Economic & Planning Systems Z \Sh d\P j t \DEN\253073 B MT P l ti d H i F t\D t \[253073 C C it 7 28 25 l ]T HU 2010-2023 55 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 20 Demographic Trends Vacant and Part-Time Resident Housing Units Regional Trends Total vacant units in the Tri-County Region have stayed around the same amount since 2010, suggesting that new inventory, when built, is filled. One noteworthy trend is that Gallatin County had an increase of 863 vacant units from 2010 to 2023, with the majority (722 units) being attributed to part-time residents (Table 13). Meanwhile, Park County saw a reduction of 892 vacant units during the same period, suggesting there may be increasing outward pressure from Gallatin County primary residents on Park County. Table 13. Tri-County Total Vacant Units, 2010-2023 While the total number of vacant units in Gallatin County has increased, their total share of housing units has decreased by 1.6 percentage points, from 11.6 percent in 2010 to 10.0 percent in 2023 (Figure 9). Part-time vacant units accounted for 5.2 percentage points of this rate in 2023, compared to 5.4 percentage points in 2010. Park County and Broadwater County have seen more significant decreases in their total vacancy rate from 2010 to 2023, decreasing from 24.2 percent to 14.0 percent and 13.7 percent to 8.7 percent, respectively. Part-time vacancies make up a larger share of vacancies in both Park and Broadwater Counties, suggesting a larger presence of second homes. Growth Vacant Units 2010 2020 2023 Change Ann. # Ann. %Capture Tri-County Gallatin County 4,695 5,724 5,558 863 66 1.3% 77.5% Park County 2,232 1,696 1,340 -892 -69 -3.8% 18.7% Broadwater County 297 304 276 -21 -2 -0.6%3.8% Total 7,224 7,724 7,174 -50 -4 -0.1% 100.0% Source: US Census ACS 5 - Year Estimates and Decennial Census 2010-2023 56 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 21 Demographic Trends Figure 9. Tri-County Vacant Unit Types, 2010 to 2023 Gallatin County Subareas Within Gallatin County, the majority of vacant units gained (609 total units) from 2010 to 2023 have been in unincorporated Gallatin County (Table 14). This aacounts for 70.6 percent of the total vacant units gained during this period. This is followed by Bozeman, which gained 377 vacant units from 2010 to 2023. With the exception of Four Corners, the surrounding geograhies saw a decrease in vacant units, suggesting a tightening of the housing market surrounding Bozeman. 57 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 22 Demographic Trends Table 14. Gallatin County Subareas Vacant Unit Trends, 2010-2023 Within Gallatin County, both Bozeman and Four Corners have seen part-time vacancies account for a larger portion of vacant units from 2010 to 2023. In 2010 8.0 percent of housing units were vacant. Of total housing units, 0.8 percent were part-time vacant (Figure 10). In 2023, part-time vacancies increased to 1.9 percent of total housing stock. In Four Corners, this change is more pronounced. Part-time vacancies increased by 3.0 percentage points from 0.9 percent in 2010 to 3.9 percent in 2023. Meanwhile, both Belgrade and all other areas within Gallatin County have seen their share of part-time vacancies decrease. In 2023, Belgrade had a part-time vacancy rate of 0 percent. The part-time vacancy rate in all other communities within Gallatin County decreased by 3.2 percentage points, from 13.4 percent in 2010 to 10.2 percent in 2023. Growth Vacant Units 2010 2020 2023 Change Ann. # Ann. %Capture Gallatin County Belgrade 226 89 131 -95 -7 -4.1% -11.0% Big Sky CDP 1,661 2,450 2,025 364 28 1.5% 42.2% Bozeman 1,338 1,600 1,715 377 29 1.9% 43.7% Four Corners CDP 105 117 159 54 4 3.2% 6.3% Manhattan 55 25 15 -40 -3 -9.5% -4.6% Three Forks 58 64 16 -42 -3 -9.4% -4.9% Unincorporated 1,252 1,379 1,497 245 19 1.4%28.4% Total 4,695 5,724 5,558 863 66 1.3% 100.0% Source: US Census ACS 5 - Year Estimates and Decennial Census 2010-2023 58 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 23 Demographic Trends Figure 10. Gallatin County Subareas Vacant by Type, 2010 to 2023 Vacancy Rate Trends Regional Trends The overall vacancy rates in the Tri-County region have declined substantially from 2010 to 2023, suggesting a tightening of the housing market. Park County had the largest decrease, dropping from a vacancy rate of 24.2 percent in 2010 to 14.0 percent in 2023 (Figure 11). Broadwater County’s vacancy rate dropped from 13.7 percent to 8.7 percent over the same period. In Gallatin County, the vacancy rate dropped by 1.6 percentage points from 11.6 percent in 2010 to 10.0 percent in 2023. 59 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 24 Demographic Trends Figure 11. Tri-County Vacancy Rates, 2010-2023 Gallatin County Subareas Within Gallatin County, Bozeman, Belgrade, and Four Corners CDP have all seen a decrease in their vacancy rates from 2010 to 2023. Bozeman’s overall vacancy rate decreased by 1.1 percentage points from 2010 to 2023, decreasing from 8.0 percent in 2010 to 6.9 percent in 2023 (Figure 12). Currently, Belgrade has an extremely low vacancy rate of 2.7 percent—it has remained at or below 5 percent since 2019. Four Corners CDP has seen its rate drop by 1.5 percentage points, decreasing from 8.7 percent in 2010 to 7.2 percent in 2023. The remainder of Gallatin County has not seen much change in vacancy. 60 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 25 Demographic Trends Figure 12. Gallatin County Subareas Vacancy Rates, 2010-2023 Comparison Cities When looking at peer cities across the Western United States, 2023 vacancy rates range from 2.5 percent (Meridian) to 7.4 percent (Bend) (Figure 13). Bozeman falls on the higher end of this range, with a vacancy rate of 6.9 percent in 2023. While on the higher end currently, Bozeman’s vacancy rate has dropped 2.8 percentage points since 2010, when it had a vacancy rate of 9.7 percent. In addition, the average vacancy rate for all peer cities in 2023 was 5.4 percent, down from 7.0 percent in 2010. 61 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 26 Demographic Trends Figure 13. Comparison Cities Vacancy Rates, 2010-2023 62 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 27 Demographic Trends Household Size Factors Regional Trends Within the Tri-County area, household sizes have remained relatively similar from 2000 to 2023. Park County had the largest drop in household size from 2000 to 2023, decreasing from 2.27 persons per household to 2.08 persons per household (Figure 14). Gallatin County’s household size also decreased from 2000 to 2023, going from 2.46 persons per household to 2.35 persons per household. Meanwhile, Broadwater County saw a slight increase in household size from 2000 to 2023, going from 2.48 persons per household to 2.51 persons per household. Figure 14. Tri-County Household Size Trends, 2000-2023 Gallatin County Subareas Within Gallatin County, the average household size has decreased from 2.47 persons per household in 2000 to 2.40 persons per household in 2023 (Figure 15). During this period, Belgrade had the largest decrease, decreasing from 2.67 persons per household to 2.41 persons per household. The only community to see an increase in household size during this period was Four Corners CDP, which increased its average household size from 2.29 persons per household in 2000 to 2.73 persons per household in 2023. 63 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 28 Demographic Trends Figure 15. Gallatin County Subareas Household Size Trends, 2000-2023 64 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 29 Demographic Trends Population to Housing Unit Ratio Population to Housing Ratio is a factor that is used in the forecasts to help determine housing unit demand. It is calculated by dividing the total population by total housing units. Regional Trends Within the Tri-County region, the average population to housing unit ratio in 2023 was 2.15 persons per housing unit (Table 15). The lowest was Park County, with 1.82 persons per housing unit, followed by Gallatin County (2.20 persons per housing unit) and Broadwater County (2.31 persons per housing unit). Table 15. Tri-County Population to Housing Unit Ratio, 2010-2023 Gallatin County Subareas Within Gallatin County, Manhattan and Three Forks have both seen large decreases in their population to housing unit ratio from 2010 to 2023. Manhattan’s ratio decreased from 2.65 persons per housing unit to 2.36 persons per housing unit and Three Forks’ ratio decreased from 2.47 persons per housing unit to 2.27 persons per housing unit (Table 16). Table 16. Gallatin County Subareas Population to Housing Unit Ratio, 2010-2023 Pop. to Housing Units 2010 2020 2023 Tri-County Gallatin County 2.21 2.33 2.20 Park County 1.70 1.78 1.82 Broadwater County 2.58 2.47 2.31 Total 2.14 2.25 2.15 Source: US Census ACS 5 - Year Estimates and Decennial Census Pop. to Housing Units 2010 2020 2023 Gallatin County Belgrade 2.34 2.87 2.35 Bozeman 2.22 2.42 2.22 Four Corners CDP 2.60 3.02 2.53 Manhattan 2.65 2.59 2.36 Three Forks 2.47 2.21 2.27 Unincorporated 2.13 2.09 2.10 Total 2.21 2.33 2.20 Source: US Census ACS 5 - Year Estimates and Decennial Census 65 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 30 Employment Trends 3. Employment Trends This chapter provides an analysis of the employment trends in Gallatin County, Park County, and Broadwater County. In addition to the Tri-County region this chapter covers trends of Gallatin County and its subareas. Employment The Tri-County region and the Gallatin County Subareas have experienced rapid employment growth since 2010. Much of the growth has been concentrated in Gallatin County and Bozeman. Regional Trends The Tri-County region had 81,877 covered employees in 2024 (a “covered employee” is an employee whose job is subject to state and federal unemployment insurance laws and thus “covered” by the QCEW survey). In 2024, Gallatin County accounted for 89.0 percent of the region’s jobs. Since 2010, the region added 32,900 jobs growing at an annual rate of 3.7 percent. 93.3 percent of total employment growth came from Gallatin County during this period (Table 17). Employment growth outpaced population growth over the past fifteen years. The compound annual growth rate for employment, 3.7 percent, was 1.5 percentage points higher than population and household growth. The effect of this is a tighter labor market with low unemployment and high wage growth. Table 17. Tri-County Total Covered Employment Trends, 2010-2024 Gallatin County Subareas Gallatin County added 30,696 employees between 2010 and 2024 (Table 18). Bozeman accounted for 53.6 percent of the growth, adding 16,446 jobs. Four Corners CDP and Manhattan grew the fastest, with compound annual growth rates of 5.9 percent and 6.2 percent, respectively. Growth Covered Employment 2010 2020 2024 Change Ann. # Ann. %Capture Tri-County Gallatin County 42,483 59,024 73,179 30,696 2,193 4.0% 93.3% Park County 5,172 5,798 7,208 2,036 145 2.4% 6.2% Broadwater County 1,322 1,336 1,490 168 12 0.9% 0.5% Total 48,977 66,158 81,877 32,900 2,350 3.7% 100.0% Source: Jobs EQ, BLS QCEW 2010-2024 66 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 31 Employment Trends Table 18. Gallatin County Subareas Total Covered Employment Trends, 2010-2024 Comparison Cities When compared to other cities in the Western United States, Bozeman had strong employment growth from 2010 to 2023. Bozeman added a total of 16,446 employees, which equates to an average annual growth rate of 3.5 percent (Table 19). This employment data includes those that are self-employed (i.e., covered employees and self-employed workers). This rate is second to that of Meridian, which had an average annual growth rate of 5.2 percent. Other communities that had similar growth in employment include Bend, with an average annual growth rate of 3.0 percent, and Fort Collins, with an average annual growth rate of 2.0 percent. Table 19. Comparison Cites in Total Employment, 2010-2024 Growth Covered Employment 2010 2020 2024 Change Ann. # Ann. %Capture Gallatin County Belgrade 2,712 3,477 4,455 1,743 125 3.6% 5.7% Bozeman 26,538 35,746 42,983 16,446 1,175 3.5% 53.6% Four Corners CDP 2,023 3,704 4,449 2,426 173 5.8% 7.9% Manhattan 339 622 790 451 32 6.2% 1.5% Three Forks 402 471 620 218 16 3.1% 0.7% Unincorporated 10,470 15,004 19,882 9,412 672 4.7% 30.7% Total 42,483 59,024 73,179 30,696 2,193 4.0% 100.0% Source: Jobs EQ, BLS QCEW 2010-2024 Description 2010 2015 2020 2024 Total Ann. # Ann. % Total Employees Bozeman, MT 28,839 34,105 38,162 45,538 16,699 1,193 3.3% Missoula, MT 48,592 51,843 52,663 57,900 9,308 665 1.3% Kalispell, MT 20,315 19,702 20,961 23,594 3,279 234 1.1% Billings, MT 67,724 69,472 68,719 75,518 7,794 557 0.8% Boise, ID 152,414 160,187 176,425 195,194 42,780 3,056 1.8% Meridian, ID 31,291 40,379 52,998 63,732 32,441 2,317 5.2% Fort Collins, CO 78,189 88,937 94,107 102,996 24,807 1,772 2.0% Boulder, CO 88,070 94,053 98,055 101,355 13,285 949 1.0% Bend, OR 43,490 52,627 58,344 65,607 22,117 1,580 3.0% Source: JobsEQ; Economic & Planning Systems 2010-2024 67 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 32 Employment Trends Industry Trends In 2024, the Accommodation and Food Services and Retail Trade industries were the two largest employers in the County (Table 22). The Construction and Administrative Servicies industries accounted for 15 percent of County jobs. Table 20. Gallatin County Employment by NAICS, 2010-2024 Employment 2010 2020 2024 Change Ann. # Ann. % Gallatin County Unclassified 1 14 169 167 12 40.7% Admin. and Waste Services 1,209 2,268 2,916 1,707 122 6.5% Construction 3,402 6,485 8,080 4,678 334 6.4% Management 141 233 324 183 13 6.1% Accomm./Food Services 5,322 6,912 11,474 6,152 439 5.6% Ag./Forestry/Fishing 483 699 929 446 32 4.8% Other (ex. Public Admin.)1,471 2,322 2,821 1,350 96 4.8% Health Care 4,098 6,076 7,681 3,583 256 4.6% Arts/Rec.1,250 1,468 2,321 1,071 76 4.5% Prof./Tech Services 3,098 4,831 5,516 2,419 173 4.2% Real Estate 856 1,196 1,508 652 47 4.1% Wholesale Trade 1,348 1,822 2,334 986 70 4.0% Manufacturing 2,243 3,599 3,579 1,336 95 3.4% Finance 1,312 1,639 1,943 631 45 2.8% Retail Trade 6,547 8,189 9,402 2,854 204 2.6% Utilities 117 149 161 43 3 2.3% Transport./Warehousing 1,146 1,532 1,561 415 30 2.2% Information 559 698 703 144 10 1.7% Education 5,942 6,836 7,417 1,475 105 1.6% Public Admin.1,736 1,867 2,127 392 28 1.5% Mining 202 188 213 11 1 0.4% Total 42,483 59,024 73,179 30,696 2,193 4.0% Source: Jobs EQ; Economic & Planning Systems 2010-2024 68 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 33 Employment Trends Between 2010 and 2024, Gallatin County added 30,696 jobs corresponding to an annual growth rate of 4.0 percent. The Construction and Administration Support Services industries grew the fastest, at an annual rate of 6.5 percent and 6.4 percent respectively (excluding unclassified). Over the same period, the Accomodation and Food Services and Construction industries added the most jobs, growing by 6,152 and 4,678 jobs, respectively (Figure 16). Together, these two industries accounted for 35.3 percent of job growth. Industries that had the least growth from 2010 to 2024 include Mining (11 new employees), Utilites (43 new employees), and Information (144 new employees). Figure 16. Gallatin County Change in Employment by NAICS, 2010-2024 69 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 34 Employment Trends The average annual wage in Gallatin County was $63,922 in 2024, up from $33,762 in 2010 (Table 21). Between 2010 and 2024, average wages grew at an average annual rate of 4.7 percent. The highest earning industries were Professional Services, Finance, Information, and Utilities. The Accommodation and Food Services and Information industries grew the fastest (excluding Unclassified), with average annual wages increasing by an average annual rate of 7.3 percent and 6.8 percent, respectively. Table 21. Gallatin County Wages by NAICS, 2010-2024 Wages 2010 2020 2024 Change Ann. # Ann. % Gallatin County Unclassified $20,213 $58,230 $85,354 $65,141 $4,653 10.8% Accomm./Food Services $15,184 $24,985 $40,800 $25,616 $1,830 7.3% Information $39,954 $79,388 $100,649 $60,694 $4,335 6.8% Admin. and Waste Services $25,954 $38,015 $57,786 $31,832 $2,274 5.9% Real Estate $31,094 $55,601 $67,768 $36,674 $2,620 5.7% Prof./Tech Services $54,283 $83,691 $113,449 $59,166 $4,226 5.4% Wholesale Trade $42,934 $67,790 $88,323 $45,389 $3,242 5.3% Retail Trade $22,748 $37,609 $46,781 $24,033 $1,717 5.3% Construction $37,175 $58,096 $76,017 $38,842 $2,774 5.2% Other (ex. Public Admin.)$25,453 $38,270 $51,208 $25,756 $1,840 5.1% Finance $56,295 $90,255 $108,156 $51,861 $3,704 4.8% Ag./Forestry/Fishing $24,638 $39,335 $46,806 $22,168 $1,583 4.7% Transport./Warehousing $31,884 $45,692 $57,948 $26,064 $1,862 4.4% Manufacturing $37,321 $52,421 $67,137 $29,817 $2,130 4.3% Public Admin.$45,388 $61,186 $80,273 $34,886 $2,492 4.2% Health Care $38,274 $55,587 $63,242 $24,968 $1,783 3.7% Management $50,089 $74,969 $81,559 $31,470 $2,248 3.5% Mining $60,046 $85,960 $96,727 $36,681 $2,620 3.5% Education $35,514 $48,507 $56,344 $20,831 $1,488 3.4% Arts/Rec.$23,727 $30,778 $34,723 $10,997 $785 2.8% Utilities $70,117 $91,516 $97,677 $27,560 $1,969 2.4% Total $33,762 $50,849 $63,922 $30,160 $2,154 4.7% Source: Jobs EQ; Economic & Planning Systems 2010-2024 70 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 35 Employment Trends In 2024, Tourism related industries comprise the top industries in Bozeman (Table 22). The Accommodation and Food Services industry had 7,191 employees in 2024, followed by Health Care (6,388 employees), and Retail Trade (6,148 employees). Education is a significant employer in Bozeman with a total of 5,570 employees in 2024, a large share of which is due to Montana State University. In total, Bozeman had 42,893 employees in 2024. Table 22. Bozeman Employment by NAICS, 2010-2024 Employment 2010 2020 2024 Change Ann. # Ann. % Bozeman Unclassified 1 6 77 76 5 39.2% Accomm./Food Services 3,035 4,321 7,191 4,156 297 6.4% Management 132 222 294 162 12 5.9% Construction 1,272 2,235 2,817 1,545 110 5.8% Admin. and Waste Services 570 1,009 1,190 620 44 5.4% Prof./Tech Services 1,803 2,968 3,397 1,594 114 4.6% Other (ex. Public Admin.)967 1,458 1,793 826 59 4.5% Health Care 3,489 5,176 6,388 2,900 207 4.4% Arts/Rec.502 841 877 376 27 4.1% Mining 16 6 27 12 1 4.1% Wholesale Trade 618 795 944 326 23 3.1% Manufacturing 961 1,543 1,434 473 34 2.9% Ag./Forestry/Fishing 67 47 100 33 2 2.9% Finance 969 1,182 1,416 446 32 2.7% Real Estate 435 552 595 160 11 2.3% Utilities 77 98 101 24 2 2.0% Retail Trade 4,826 5,585 6,148 1,322 94 1.7% Education 4,486 5,121 5,570 1,084 77 1.6% Public Admin.1,389 1,403 1,638 249 18 1.2% Transport./Warehousing 514 631 570 56 4 0.7% Information 411 545 417 6 0 0.1% Total 26,538 35,746 42,983 16,446 1,175 3.5% Source: Jobs EQ; Economic & Planning Systems 2010-2024 71 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 36 Employment Trends Between 2010 and 2024 Bozeman added 16,446 jobs, growing at an average annual rate of 3.5 percent. One of the fastest growing industries in Bozeman was Professional and Technical Services, which added 1,594 jobs and grew at an average annual rate of 4.6 percent. By annual percentage growth, it was the fifth fastest growing industry (excluding unclassified). Bozeman’s expanding professional services sector reflects the transition from a retail and accommodations-based economy to a service-oriented one. Over the same period, the Accommodation and Food Services and Health Care industries added the most jobs, growing by 4,156 and 2,900 jobs, respectively (Figure 17). Together, these two industries accounted for 42.9 percent of job growth. Figure 17. Bozeman Change in Employment by NAICS, 2010-2024 72 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 37 Employment Trends The average annual wage in Bozeman was $64,102 in 2024, up from $34,200 in 2010, representing a 4.6 percent average annual increase (Table 23). The Professional Services, Finance, Utilities, and Information industries paid the highest wages in 2024, with each averaging over $100,000. The Accommodation and Food Services and Information sectors experienced the highest average annual wage growth, increasing by 7.3 percent and 6.8 percent, respectively. Table 23. Bozeman Wages by NAICS, 2010-2024 Wages 2010 2020 2024 Change Ann. # Ann. % Bozeman Unclassified $20,237 $58,255 $85,354 $65,117 $4,651 10.8% Accomm./Food Services $15,104 $24,880 $40,695 $25,591 $1,828 7.3% Information $40,082 $79,668 $100,825 $60,743 $4,339 6.8% Real Estate $31,264 $55,845 $69,650 $38,386 $2,742 5.9% Admin. and Waste Services $25,992 $37,900 $57,683 $31,691 $2,264 5.9% Prof./Tech Services $54,369 $83,848 $113,790 $59,421 $4,244 5.4% Retail Trade $22,730 $37,617 $46,769 $24,038 $1,717 5.3% Wholesale Trade $42,963 $67,781 $88,210 $45,247 $3,232 5.3% Construction $37,287 $58,022 $75,937 $38,650 $2,761 5.2% Other (ex. Public Admin.)$25,448 $38,453 $51,439 $25,991 $1,857 5.2% Finance $56,269 $90,247 $108,180 $51,911 $3,708 4.8% Ag./Forestry/Fishing $24,249 $37,159 $45,837 $21,588 $1,542 4.7% Transport./Warehousing $30,194 $42,937 $54,453 $24,259 $1,733 4.3% Manufacturing $37,305 $52,463 $66,981 $29,677 $2,120 4.3% Public Admin.$44,321 $60,099 $78,665 $34,344 $2,453 4.2% Health Care $38,389 $55,723 $63,357 $24,969 $1,783 3.6% Mining $60,212 $85,233 $98,378 $38,166 $2,726 3.6% Management $50,089 $74,969 $81,555 $31,466 $2,248 3.5% Education $36,330 $49,872 $57,383 $21,052 $1,504 3.3% Arts/Rec.$23,942 $30,559 $34,768 $10,825 $773 2.7% Utilities $76,453 $99,466 $103,853 $27,400 $1,957 2.2% Total $34,200 $51,113 $64,102 $29,902 $2,136 4.6% Source: Jobs EQ; Economic & Planning Systems 2010-2024 73 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 38 Employment Trends The top five industries by employment in Gallatin County and Bozeman’s total share of such industries is shown in Figure 18. The Accommodations and Food services and Retail Trade industries are relatively evenly split between the City and County. The Construction industry is concentrated in the County; of the 8,080 employees in Construction, 65.1 percent (5,264) are in the County. Jobs in the Health Care and Education industries are clustered in the City. For those industries, 83.2 percent and 75.1 percent of County-wide jobs are located in Bozeman. Figure 18. Top 5 Employment Industries in Gallatin County, 2024 Impact of AI The impact of artificial intelligence on Bozeman’s economy is hard to quantify, however, some industries may be more exposed to the effects of AI than others. The Information industry, which includes subsectors such as Software Publishers and Data Processing Services, may be at risk due to advances in AI. In addition, the Professional Services industry, one of Bozeman’s fastest growing sectors, may also be disproportionately exposed. The Professional Services industry includes subsectors such as Legal Services, Accounting Services, and Computer Services. 74 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 39 Employment Trends Industry Trends by Location In 2010, 62.5 percent of Gallatin County employees worked within Bozeman city limits (Table 24). In 2024, 58.7 percent worked within city limits, a 3.7 percentage point decrease. The annual job growth rate for Gallatin County has outpaced growth in Bozeman by 0.5 percentage points since 2010, thus a decreasing share of county jobs are within the city. Of the 21 2-digit NAICS industries, 18 lost a portion of total employment share to the County. The Information and Real Estate industries have seen the largest share of employment lost to the County, with a decrease of14.1 percentage points and 11.4 percentage points in the City, respectively. Only the Accommodation and Food Services, Mining, and Professional Services industries became more concentrated in Bozeman from 2010 to 2024. Table 24. Percent of Gallatin County Employees by NAICS in Bozeman, 2010-2024 Employment 2010 2020 2024 Change % of Employees in Bozeman Accomm./Food Services 57.0% 62.5% 62.7% 5.6% Mining 7.8% 3.4% 12.8% 5.1% Prof./Tech Services 58.2% 61.4% 61.6% 3.4% Education 75.5% 74.9% 75.1% -0.4% Finance 73.9% 72.1% 72.8% -1.0% Health Care 85.1% 85.2% 83.2% -2.0% Other (ex. Public Admin.)65.7% 62.8% 63.5% -2.2% Arts/Rec.40.1% 57.3% 37.8% -2.3% Utilities 65.3% 65.6% 62.8% -2.5% Construction 37.4% 34.5% 34.9% -2.5% Management 93.5% 95.3% 90.9% -2.6% Manufacturing 42.8% 42.9% 40.1% -2.8% Public Admin.80.0% 75.2% 77.0% -3.0% Ag./Forestry/Fishing 13.9% 6.7% 10.7% -3.2% Wholesale Trade 45.8% 43.7% 40.4% -5.4% Admin. and Waste Services 47.2% 44.5% 40.8% -6.4% Unclassified 53.3% 46.2% 45.8% -7.5% Transport./Warehousing 44.8% 41.2% 36.5% -8.3% Retail Trade 73.7% 68.2% 65.4% -8.3% Real Estate 50.8% 46.2% 39.5% -11.4% Information 73.5% 78.0% 59.4% -14.1% Total 62.5% 60.6% 58.7%-3.7% Source: Jobs EQ; Economic & Planning Systems 2010-2024Bozeman 75 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 40 Market Trends 4. Market Trends This chapter describes the recent market trends for Multi-Household and office product types in Gallatin County. This includes an analysis of inventory, rental rates, and vacancy. Multi-Household Market Trends Gallatin County had 11,805 and Bozeman had 9,796 Multi-Household housing units as of Q2 2025 (Table 25). Since 2010, the County added 6,627 Multi- Household units corresponding to a 5.6 percent annual average growth rate. Meanwhile, the City added 5,900 Multi-Household units, which equates to a 6.3 percent annual average growth rate. As of Q2 2025, 83.0 percent of units are in Bozeman, 7.8 percentage points higher than 2010. Table 25. Multi-Household Inventory (Units), 2010-2025 Q2 2010 2015 2020 2025 Description 2010 2015 2020 2025 Q2 Change Ann. # Ann. % Inventory (Units) Bozeman 3,896 4,386 5,833 9,796 5,900 393 6.3% Gallatin County 5,178 5,681 7,168 11,805 6,627 442 5.6% Bozeman % of G.C.75.2% 77.2% 81.4% 83.0% Source: CoStar; Economic & Planning Systems 2010-2025 Q2 76 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 41 Market Trends In Bozeman, the average Multi-Household effective rent is $2,150 per month as of Q2 2025. Effective rent is representative of the average rent paid over the term by a tenant adjusted downward for concessions paid for by the landlord (e.g., free month rent, moving expenses, etc.). Average effective rent per unit peaked in 2022 and has since declined (Figure 19). In recent years, the gap between average effective rent per unit and average asking rent per unit has widened. In Q2 2025, the gap between average effective rent per unit and average asking rent per unit was $44. In 2022, when rental rates peaked, the gap was $17. Overall, decreasing rental rates could be tied to several market factors including deliveries, growth trends, and regional market conditions. Figure 19. Bozeman Multi-Household Average Rent per Unit, 2010-2025 Q2 77 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 42 Market Trends Bozeman added 1,324 Multi-Household units in 2024, the last full year with data (Figure 20). That marked a third straight year of increasing unit deliveries, beginning in 2022. Vacancy rates trend positively with unit deliveries as units are often vacant for some time after delivery. As a result, the Multi-Household vacancy rate has increased year-over-year with delivered units. Based on CoStar data, the vacancy rate was 20.0 percent as of Q2 2025. Figure 20. Gallatin County Multi-Household Vacancy Rate and Deliveries (Units), 2010-2025 Q2 78 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 43 Market Trends Office Trends Bozeman had 3.9 million square feet of office space compared to 4.3 million square feet in Gallatin County as of Q2 2025 (Table 26). Since 2010, Bozeman has added 1.2 million compared to 1.3 million square feet in the County. Bozeman and Gallatin County have increased their inventory at an annual average rate of 2.4 percent during this period. Table 26. Office Inventory (Sq. Ft.), 2010-2025 Q2 In 2025 Q2, gross rent was $35.18 per square foot in the City and $34.43 per square foot in Gallatin County (Figure 21). Rental rates have been growing consistently since 2010, increasing by approximately $23 per square foot, or approximately a 191.7 percent increase between 2010 and 2024. Figure 21. Office Gross Rent per Sq. Ft., 2010-2025 Q2 In Q2 2025, Bozeman’s office vacancy rate was 4.8 percent and the County’s was 6.6 percent (Figure 22). Both current vacancy rates are the highest in the last fifteen years. In addition, the gap between the current vacancy rate in Bozeman and Gallatin County is the highest in the last fifteen years. This gap is 1.8 percentage points. 2010 2010 2020 2025 Description 2010 2015 2020 2025 Q2 Total Ann. # Ann. % Inventory (Sq. Ft.) Bozeman 2,694,597 2,810,740 3,643,722 3,865,720 1,171,123 78,075 2.4% Gallatin County 2,985,746 3,181,264 4,047,793 4,269,791 1,284,045 85,603 2.4% Bozeman % of Gallatin County 90.2% 88.4% 90.0% 90.5% Source: CoStar; Economic & Planning Systems Z \Sh d\P j t \DEN\233073 B MT 2025Q2 M k t U d t \D t \[233073 C i l R l E t t 6 23 2025 l ]T Offi S 2010-2025 Q2 79 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 44 Market Trends Figure 22. Office Vacancy Rates, 2010-2025 Q2 Remote Workers Remote work peaked in 2020 and 2021 due to the COVID-19 pandemic altering work patterns (Figure 23). Since then, the share of workers working remotely has decreased, however it remains above pre-pandemic levels. As of 2023, 14.9 percent of Gallatin County workers work remotely. Four Corners CDP has the highest rate of remote work with 17.3 percent of remote workers. This is followed by Bozeman at 15.0 percent, and Manhattan at 14.5 percent. Communities such as Belgrade and Three Forks have marginally lower rates (9.4 percent and 9.1 percent, respectively). Figure 23. Office Remote Worker Trends 2010-2023 80 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 45 Baseline 20-Year Forecast 5. Baseline 20-Year Forecast This chapter outlines a baseline 20-year forecast for employment, population, and housing demand within Gallatin County. The projection uses employment growth as a basis to determine population growth and housing demand. Employment Forecast The baseline employment forecast is constructed by projecting covered jobs (wage and salary jobs “covered” by unemployment insurance) with a year-over-year growth rate of 3.0 percent that tapers down to 1.5 percent over a twenty-year period (Table 27). QCEW covered jobs excludes sole proprietors and includes multiple job holders. To account for this, a constant 20.0 percent proprietor factor, based on Bureau of Economic Analysis (BEA) data, is added to the number of covered employees resulting in total jobs. Multiple job holders and in-commuters are estimated with constant 8.3 percent and 6.0 percent factors derived from Census data. The multiple job holder and in-commuter counts are subtracted from total jobs to get the number of employees living and working in Gallatin County. As shown, the model projects the number of employees living and working in Gallatin County to increase by 38,400 workers between 2025 and 2045, or an average of 1,920 per year. This total employment increase represents 49.2 percent of the total estimated employees in 2025. Table 27. Baseline Employment Forecast 2025-2045 2024 Base Year Gallatin County Factor Estimate 2025 2030 2035 2040 2045 Total Ann. # Ann. % Growth Rate 3.0% 2.5% 2.0% 1.5% 1.5% Total Covered Jobs 73,200 75,400 84,400 95,100 104,400 112,500 37,100 1,855 2.0% Plus Proprietors 20.0%14,600 15,100 16,900 19,000 20,900 22,500 7,400 370 2.0% Total Jobs 87,800 90,500 101,300 114,100 125,300 135,000 44,500 2,225 2.0% Less Multiple Job Holders 8.3%-7,300 -7,500 -8,400 -9,500 -10,400 -11,200 -3,700 -185 2.0% Total Employees 80,500 83,000 92,900 104,600 114,900 123,800 40,800 2,040 2.0% Less In-Commuters 6.0%-5,300 -5,000 -5,600 -6,300 -6,900 -7,400 -2,400 -120 2.0% Employees Living/Working in G.C.75,200 78,000 87,300 98,300 108,000 116,400 38,400 1,920 2.0% Source: Economic & Planning Systems 2025-2045 ChangeForecast 81 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 46 Baseline 20-Year Forecast Population Forecast The population forecast connects employment growth to population growth using an employment to population ratio constructed by EPS (Table 28). Typically, the employment to population ratio is expressed as the ratio of total employment to the population over the age of sixteen. The employment to population ratio uses the total population as the denominator, thus the factor ratio is lower than the Census or BLS estimate but allows employment to be converted into total population as the labor force participation rate only includes people in the labor force 16 and older. Over the twenty-year forecast period, Gallatin County is expected to add 64,000 residents, or 3,200 residents per year. This total population increase represents 49.2 percent of the total estimated population in 2025. Table 28. Baseline Population Forecast 2025-2045 Base Year Gallatin County Factor 2024 2025 2030 2035 2040 2045 Total Ann. # Ann. % Total Employees 75,200 78,000 87,300 98,300 108,000 116,400 38,400 1,920 2.0% Employment to Population Ratio 0.60 0.60 0.60 0.60 0.60 0.60 0.60 Total Population 125,300 130,000 145,500 163,800 180,000 194,000 64,000 3,200 2.0% Source: Economic & Planning Systems 2025-2045 ChangeForecast 82 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 47 Baseline 20-Year Forecast Service Population Service population represents the total residential population plus the total daily in-commuters into Gallatin County. In Gallatin County, 6.0 percent of the total employees in-commute from outside of Gallatin County (Table 29). In 2024, this represents 2,300 people, resulting in an estimated service population of 132,300 people. By 2045, Gallatin County is forecast to have a service population of 197,500 people, with a total of 3,500 in-commuters. This information can be useful to emergency response services and other services that serve residents and non- residents. Table 29. Baseline Service Population Forecast 2025-2045 Base Year Gallatin County 2024 2025 2030 2035 2040 2045 Total Ann. # Ann. % Total Population 125,300 130,000 145,500 163,800 180,000 194,000 64,000 3,200 2.0% Total Employees 75,200 78,000 87,300 98,300 108,000 116,400 38,400 1,920 2.0% In-Commuters 6.0% 6.0% 6.0% 6.0% 6.0% 6.0% In-Commuters Weight 50.0% 50.0% 50.0% 50.0% 50.0% 50.0% In-Commuters Impact 2,300 2,300 2,600 2,900 3,200 3,500 1,200 60 2.1% Total Service Population 127,600 132,300 148,100 166,700 183,200 197,500 65,200 3,260 2.0% Source: Economic & Planning Systems 2025-2045 ChangeForecast 83 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 48 Baseline 20-Year Forecast Population by Subareas The 2024 share of Gallatin County population by area was used to allocate population to the relevant subareas. This was held constant throughout the baseline model. Over the forecast period, Bozeman, which accounted for 45.0 percent of County population in 2024, is forecasted to grow to 87,400 residents by 2045 (Table 30). A total of 28,800 residents are forecast to move into the city during this period. This is followed by Unincorporated Gallatin County, which is forecast to gain 22,800 residents, and Belgrade, which is forecast to gain 5,900 residents during the forecast period. Table 30. Baseline Population Forecast, Subareas 2025-2045 Base Year Areas 2024 2025 2030 2035 2040 2045 Total Ann. # Ann. % % of County Belgrade 9.3% 9.3% 9.3% 9.3% 9.3% 9.3% Big Sky CDP 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% Bozeman 45.0% 45.0% 45.0% 45.0% 45.0% 45.0% Four Corners CDP 4.6% 4.6% 4.6% 4.6% 4.6% 4.6% Manhattan 1.8% 1.8% 1.8% 1.8% 1.8% 1.8% Three Forks 1.7% 1.7% 1.7% 1.7% 1.7% 1.7% Uninc./Remainder 35.7%35.7%35.7%35.7%35.7%35.7% Total (Gallatin County)100.0% 100.0% 100.0% 100.0% 100.0% 100.0% Population Belgrade 11,700 12,200 13,600 15,300 16,800 18,100 5,900 295 2.0% Big Sky CDP 2,400 2,500 2,800 3,200 3,500 3,800 1,300 65 2.1% Bozeman 56,400 58,600 65,500 73,800 81,100 87,400 28,800 1,440 2.0% Four Corners CDP 5,700 5,900 6,600 7,500 8,200 8,800 2,900 145 2.0% Manhattan 2,200 2,300 2,600 2,900 3,200 3,400 1,100 55 2.0% Three Forks 2,100 2,200 2,400 2,700 3,000 3,200 1,000 50 1.9% Uninc./Remainder 44,700 46,400 51,900 58,400 64,200 69,200 22,800 1,140 2.0% Total (Gallatin County)125,300 130,000 145,500 163,800 180,000 194,000 64,000 3,200 2.0% Source: Economic & Planning Systems 2025-2045 ChangeForecast 84 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 49 Baseline 20-Year Forecast Housing Demand Forecast The housing demand forecast connects population growth to housing demand. Using a constant household size factor of 2.40 people per household the number of occupied housing units is estimated (Table 31). Further adjustments are made for market vacancies and second homes using constant factors for each. When added to occupied housing units, the resulting sum is an estimate for total housing unit demand. Gallatin County Housing unit demand in the baseline model is projected to increase consistently with employment and population growth. In Gallatin County, there is expected to be demand for 29,300 housing units from 2025 to 2045. Of the total units for 2045, 4.4 percent, or 3,900 units, are vacant, and 4.8 percent, or 4,200 units, are part-time residences. The remainder (80,800 units) are forecast to be occupied permanently. Table 31. Baseline Housing Demand Forecast, Gallatin County Triangle Area The housing unit demand forecast for the Triangle area follows the same methodology as Gallatin County. The model factors are adjusted to reflect the unique demographic and market conditions in each of the Triangle subareas (Table 32). By the forecast sunset year, Bozeman is expected to have additional demand for 13,100 occupied housing units, which represents 79.4 percent of the occupied housing demand over the twenty-year forecast period. From 2025 to 2045, Belgrade is forecast to have demand for an additional 2,400 housing units, bringing its demand from 5,100 in 2025 to 7,500 units in 2045. Meanwhile, Four Corners CDP has the lowest housing demand with a total of 1,000 new housing units in demand over the twenty-year period. Base Year Gallatin County 2024 2025 2030 2035 2040 2045 Total Ann. # Ann. % Average HH Size 2.40 2.40 2.40 2.40 2.40 2.40 Market Vacancy 4.8%4.8% 4.8% 4.8% 4.8% 4.8% Part-Time Residence Adjustment 5.2%5.2% 5.2% 5.2% 5.2% 5.2% Gallatin County Population 125,300 130,000 145,500 163,800 180,000 194,000 64,000 3,200 2.0% Average HH Size 2.40 2.40 2.40 2.40 2.40 2.40 Occupied Housing Units 52,200 54,200 60,600 68,300 75,000 80,800 26,600 1,330 2.0% Market Vacancy 2,500 2,600 2,900 3,300 3,600 3,900 1,300 65 2.0% Part-Time Residence Adjustment 2,700 2,800 3,200 3,600 3,900 4,200 1,400 70 2.0% Total Housing Unit Demand 57,400 59,600 66,700 75,200 82,500 88,900 29,300 1,465 2.0% Source: Economic & Planning Systems Z \Sh d\P j t \DEN\253073 B MT P l ti d H i F t\M d l \[253073 E l t d H i D d 8 13 25 l ]T G ll ti HU F t 2025-2045 ChangeForecast 85 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 50 Baseline 20-Year Forecast Table 32. Baseline Housing Demand Forecast, The Triangle Area 2025-2045 Base Year Areas 2024 2025 2030 2035 2040 2045 Total Ann. # Ann. % Average Household Size Belgrade 2.41 2.41 2.41 2.41 2.41 2.41 Bozeman 2.19 2.19 2.19 2.19 2.19 2.19 Four Corners CDP 2.73 2.73 2.73 2.73 2.73 2.73 Market Vacancy Belgrade 2.70% 2.70% 2.70% 2.70% 2.70% 2.70% Bozeman 5.02% 5.02% 5.02% 5.02% 5.02% 5.02% Four Corners CDP 3.32% 3.32% 3.32% 3.32% 3.32% 3.32% Second Homes Belgrade 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Bozeman 1.88% 1.88% 1.88% 1.88% 1.88% 1.88% Four Corners CDP 3.91% 3.91% 3.91% 3.91% 3.91% 3.91% Population Belgrade 11,700 12,200 13,600 15,300 16,800 18,100 5,900 295 2.0% Bozeman 56,400 58,600 65,500 73,800 81,100 87,400 28,800 1,440 2.0% Four Corners CDP 5,700 5,900 6,600 7,500 8,200 8,800 2,900 145 2.0% Triangle Area 73,800 76,700 85,700 96,600 106,100 114,300 37,600 1,880 2.0% Occupied Housing Units Belgrade 4,900 5,100 5,600 6,300 7,000 7,500 2,400 120 1.9% Bozeman 25,800 26,800 29,900 33,700 37,000 39,900 13,100 655 2.0% Four Corners CDP 2,100 2,200 2,400 2,700 3,000 3,200 1,000 50 1.9% Triangle Area 32,800 34,100 37,900 42,700 47,000 50,600 16,500 825 2.0% Vacancy Adjustment Belgrade 100 100 200 200 200 200 100 5 3.5% Bozeman 1,300 1,300 1,500 1,700 1,900 2,000 700 35 2.2% Four Corners CDP 100 100 100 100 100 100 0 0 0.0% Triangle Area 1,500 1,500 1,800 2,000 2,200 2,300 800 40 2.2% Second Home Adjustment Belgrade 0 0 0 0 0 0 0 0 --- Bozeman 500 500 600 600 700 800 300 15 2.4% Four Corners CDP 100 100 100 100 100 100 0 0 0.0% Triangle Area 600 600 700 700 800 900 300 15 2.0% Total Housing Unit Demand Belgrade 5,000 5,200 5,800 6,500 7,200 7,700 2,500 125 2.0% Bozeman 27,600 28,600 32,000 36,000 39,600 42,700 14,100 705 2.0% Four Corners CDP 2,300 2,400 2,600 2,900 3,200 3,400 1,000 50 1.8% Triangle Area 34,900 36,200 40,400 45,400 50,000 53,800 17,600 880 2.0% Source: Economic & Planning Systems 2025-2045 ChangeForecast 86 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 51 Amenity Driven 20-Year Forecast 6. Amenity Driven 20-Year Forecast This chapter outlines the Amenity-Driven forecast for housing demand. In this scenario, the share of part-time residences, or second homes, is increased from five percent to ten percent over the 20-year period. In addition, the in-commuter factor is increased from six percent to twelve percent over the twenty-year period. Employment Forecast The employment forecast for the Amenity-Driven model is constructed in a comparable manner to the Baseline forecast (Table 33). Covered employment is factored into total jobs using the same constant sole proprietor factor. The multiple job holders’ factor is equivalent to the Baseline forecast and is also held constant throughout the forecast period. The commuting factor is adjusted to reflect a scenario where in-commuting increases from six percent to twelve percent over the twenty-year period. As shown below, the model projects the number of employees living and working in Gallatin County to increase by 30,900 workers between 2025 and 2045, or an average of 1,545 per year. This is an increase of 39.6 percent of total employees living and working in Gallatin County. Table 33. Amenity-Driven Employment Forecast, 2025-2045 2024 Base Year Gallatin County Factor Estimate 2025 2030 2035 2040 2045 Total Ann. # Ann. % Growth Rate 3.0% 2.5% 2.0% 1.5% 1.5% In-Commuters 6.0% 7.5% 9.0% 10.5% 12.0% Total Covered Jobs 73,200 75,400 84,400 95,100 104,400 112,500 37,100 1,855 2.0% Plus Proprietors 20.0%14,600 15,100 16,900 19,000 20,900 22,500 7,400 370 2.0% Total Jobs 87,800 90,500 101,300 114,100 125,300 135,000 44,500 2,225 2.0% Less Multiple Job Holders 8.3%-7,300 -7,500 -8,400 -9,500 -10,400 -11,200 -3,700 -185 2.0% Total Employees 80,500 83,000 92,900 104,600 114,900 123,800 40,800 2,040 2.0% Less In-Commuters -5,300 -5,000 -7,000 -9,400 -12,100 -14,900 -9,900 -495 5.6% Tot. Employees Living/Working in GC 75,200 78,000 85,900 95,200 102,800 108,900 30,900 1,545 1.7% Source: Economic & Planning Systems Forecast 2025-2045 Change 87 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 52 Amenity Driven 20-Year Forecast Population Forecast The population forecast connects employment growth to population growth using an employment to population ratio constructed by EPS (Table 34). Over the twenty-year forecast period, Gallatin County is expected to add 51,500 residents, or 2,575 residents per year. This total population growth represents 39.6 percent of the 2025 estimated population. Compared to the Baseline Scenario, Gallatin County is forecast to grow by 12,500 fewer residents due to less people living and working in Gallatin County, based on increased in-commuting employees over the twenty-year period. Table 34. Amenity-Driven Population Forecast, 2025-2045 Service Population Service population represents the total residential population plus the total daily in-commuters into Gallatin County. Currently, 6.0 percent of the total employees in-commute from outside of Gallatin County (Table 35). This represents 2,300 people, resulting in an estimated service population of 132,300 people. By 2045, the in-commuter rate doubled to 12.0 percent resulting in a forecast service population of 188,000 people, with a total of 6,500 in-commuters. The total number of in-commuters is nearly doubled compared to the Baseline forecast due to an increase in the in-commuting factor. In the Baseline scenario, a total of 3,500 in-commuters are forecasted by 2045. In this scenario, 6,500 in-commuters are forecasted by 2045. Table 35. Amenity-Driven Service Population Forecast 2025-2045 Base Year Gallatin County Factor 2024 2025 2030 2035 2040 2045 Total Ann. # Ann. % Total Employees 75,200 78,000 85,900 95,200 102,800 108,900 30,900 1,545 1.7% Employment to Population Ratio 0.60 0.60 0.60 0.60 0.60 0.60 0.60 Total Population 125,300 130,000 143,200 158,700 171,300 181,500 51,500 2,575 1.7% Source: Economic & Planning Systems 2025-2045 ChangeForecast Base Year Gallatin County 2024 2025 2030 2035 2040 2045 Total Ann. # Ann. % Total Population 125,300 130,000 143,200 158,700 171,300 181,500 51,500 2,575 1.7% Total Employees 75,200 78,000 85,900 95,200 102,800 108,900 30,900 1,545 1.7% In-Commuters 6.0% 6.0% 7.5% 9.0% 10.5% 12.0% In-Commuters Weight 50.0% 50.0% 50.0% 50.0% 50.0% 50.0% In-Commuters Impact 2,300 2,300 3,200 4,300 5,400 6,500 4,200 210 5.3% Total Service Population 127,600 132,300 146,400 163,000 176,700 188,000 55,700 2,785 1.8% Source: Economic & Planning Systems 2025-2045 ChangeForecast 88 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 53 Amenity Driven 20-Year Forecast Population by Subareas The 2024 share of Gallatin County population by area was used to allocate population to the relevant subareas. This was held constant throughout the Amenity-Driven model. Over the forecast period, Bozeman, which accounted for 45.0 percent of County population in 2024, is forecasted to grow to 81,800 residents by 2045 (Table 36). A total of 23,200 residents are forecast to move into the city during this period. This is followed by Unincorporated Gallatin County, which is forecast to gain 18,400 residents, and Belgrade, which is forecast to gain 4,800 residents during the forecast period. Compared to the Baseline scenario, Gallatin County is forecast to add 12,500 fewer residents. Bozeman, which added 28,800 residents in the baseline model, projects to add 23,200 residents, a difference of 5,600 residents. The increase in the County commuting factor from 6.0 percent to 12.0 percent drives population growth out of Gallatin County and its subareas. Table 36. Amenity-Driven Population Forecast, Subareas, 2025-2045 Base Year Areas 2024 2025 2030 2035 2040 2045 Total Ann. # Ann. % Belgrade 9.3% 9.3% 9.3% 9.3% 9.3% 9.3% Big Sky CDP 2.0% 2.0% 2.0% 2.0% 2.0% 2.0% Bozeman 45.0% 45.0% 45.0% 45.0% 45.0% 45.0% Four Corners CDP 4.6% 4.6% 4.6% 4.6% 4.6% 4.6% Manhattan 1.8% 1.8% 1.8% 1.8% 1.8% 1.8% Three Forks 1.7% 1.7% 1.7% 1.7% 1.7% 1.7% Uninc./Remainder 35.7% 35.7% 35.7% 35.7% 35.7% 35.7% Total (Gallatin County)100.0% 100.0% 100.0% 100.0% 100.0% 100.0% Belgrade 11,700 12,200 13,400 14,800 16,000 17,000 4,800 240 1.7% Big Sky CDP 2,400 2,500 2,800 3,100 3,300 3,500 1,000 50 1.7% Bozeman 56,400 58,600 64,500 71,500 77,200 81,800 23,200 1,160 1.7% Four Corners CDP 5,700 5,900 6,500 7,200 7,800 8,300 2,400 120 1.7% Manhattan 2,200 2,300 2,500 2,800 3,000 3,200 900 45 1.7% Three Forks 2,100 2,200 2,400 2,600 2,900 3,000 800 40 1.6% Uninc./Remainder 44,700 46,400 51,100 56,600 61,100 64,800 18,400 920 1.7% Total (Gallatin County)125,300 130,000 143,200 158,700 171,300 181,500 51,500 2,575 1.7% Source: Economic & Planning Systems 2025-2045 ChangeForecast 89 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 54 Amenity Driven 20-Year Forecast Housing Demand Forecast The housing demand forecast connects population growth to housing unit demand. Using a constant household size factor of 2.40 people per household the number of occupied housing units is estimated (Table 37). Further adjustments are made for market vacancies using a constant factor. The part-time residence adjustment is adjusted to reflect a scenario where the part-time residence rate increases from five percent to ten percent over the forecast period. When added to occupied housing units, the resulting sum is an estimate for total housing unit demand. Gallatin County In Gallatin County, there is expected to be demand for 27,400 housing units from 2025 to 2045, bringing the total demand to 87,000 units (Table 37). Of this, 4.4 percent, or 3,800 units, are vacant, and 8.7 percent, or 7,600 units, are part-time residences. The remainder, 75,600 units, are forecast to be occupied permanently. Compared to the Baseline model, the higher part-time residence rate results in demand for 3,400 additional part-time residences. Additionally, the increase in in- commuting employees results in demand for 5,200 fewer occupied housing units and 2,400 fewer total housing units. Table 37. Amenity-Driven Housing Unit Demand Forecast, 2025-2045 Triangle Area The housing unit demand forecast for the Triangle area follows the same methodology as Gallatin County. The model factors are adjusted to reflect the unique demographic and market conditions in each of the Triangle subareas (Table 38). For the Amenity-Driven forecast, the part-time residence factor is gradually increased over the twenty-year period based on geography. This is done to represent an increase in second homes within this scenario. For Belgrade, the part- time residence factor is estimated as the census estimate for part-time residences was zero percent in 2023. Base Year Gallatin County 2024 2025 2030 2035 2040 2045 Total Ann. # Ann. % Average HH Size 2.40 2.40 2.40 2.40 2.40 2.40 Market Vacancy 5.0% 5.0% 5.0% 5.0% 5.0% 5.0% Part-Time Residence Adjustment 5.0% 5.0% 6.3% 7.5% 8.8% 10.0% Gallatin County Population 125,300 130,000 143,200 158,700 171,300 181,500 51,500 2,575 1.7% Average HH Size 2.40 2.40 2.40 2.40 2.40 2.40 Occupied Housing Units 52,200 54,200 59,700 66,100 71,400 75,600 21,400 1,070 1.7% Market Vacancy 2,600 2,700 3,000 3,300 3,600 3,800 1,100 55 1.7% Part-Time Residence Adjustment 2,600 2,700 3,700 5,000 6,200 7,600 4,900 245 5.3% Total Housing Unit Demand 57,400 59,600 66,400 74,400 81,200 87,000 27,400 1,370 1.9% Source: Economic & Planning Systems 2025-2045 ChangeForecast 90 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 55 Amenity Driven 20-Year Forecast By the forecast sunset year, Bozeman is expected to have additional demand for 10,600 occupied housing units, which represents 79.1 percent of the change in total housing demand over the twenty-year forecast period. From 2025 to 2045, Belgrade is forecast to have demand for an additional 2,000 occupied housing units, bringing its demand from 5,100 units in 2025 to 7,100 units in 2045. Meanwhile, Four Corners CDP has the lowest occupied housing unit demand with a total of 800 new occupied housing units in demand over the twenty-year period. Each subarea that comprises the Triangle Area is expected to lose housing unit demand and gain part-time residence demand compared to the baseline forecast. Occupied housing unit demand falls by 3,100 units and part-time residence demand increases by 2,800 units. Total housing unit demand is relatively unchanged, falling by 400 units as losses in occupied housing unit demand are made up for by a rise in demand for second homes. 91 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 56 Amenity Driven 20-Year Forecast Table 38. Amenity-Driven Housing Unit Demand Forecast, The Triangle Area, 2025-2045 Base Year Areas 2024 2025 2030 2035 2040 2045 Total Ann. # Ann. % Average Household Size Belgrade 2.41 2.41 2.41 2.41 2.41 2.41 Bozeman 2.19 2.19 2.19 2.19 2.19 2.19 Four Corners CDP 2.73 2.73 2.73 2.73 2.73 2.73 Market Vacancy Belgrade 2.70% 2.70% 2.70% 2.70% 2.70% 2.70% Bozeman 5.02% 5.02% 5.02% 5.02% 5.02% 5.02% Four Corners CDP 3.32% 3.32% 3.32% 3.32% 3.32% 3.32% Second Homes Belgrade 0.00% 0.00% 1.79% 3.57% 5.36% 7.14% Bozeman 1.88% 1.88% 3.23% 4.57% 5.92% 7.27% Four Corners CDP 3.91% 3.91% 6.71% 9.51% 12.30% 15.10% Population Belgrade 11,700 12,200 13,400 14,800 16,000 17,000 4,800 240 1.7% Bozeman 56,400 58,600 64,500 71,500 77,200 81,800 23,200 1,160 1.7% Four Corners CDP 5,700 5,900 6,500 7,200 7,800 8,300 2,400 120 1.7% Triangle Area 73,800 76,700 84,400 93,500 101,000 107,100 30,400 1,520 1.7% Occupied Housing Units Belgrade 4,900 5,100 5,600 6,100 6,600 7,100 2,000 100 1.7% Bozeman 25,800 26,800 29,500 32,600 35,300 37,400 10,600 530 1.7% Four Corners CDP 2,100 2,200 2,400 2,600 2,900 3,000 800 40 1.6% Triangle Area 32,800 34,100 37,500 41,300 44,800 47,500 13,400 670 1.7% Vacancy Adjustment Belgrade 100 100 200 200 200 200 100 5 3.5% Bozeman 1,300 1,300 1,500 1,600 1,800 1,900 600 30 1.9% Four Corners CDP 100 100 100 100 100 100 0 0 0.0% Triangle Area 1,500 1,500 1,800 1,900 2,100 2,200 700 35 1.9% Part-Time Residence Adjustment Belgrade 0 0 100 200 400 500 500 25 --- Bozeman 500 500 1,000 1,500 2,100 2,700 2,200 110 8.8% Four Corners CDP 100 100 200 200 400 500 400 20 8.4% Triangle Area 600 600 1,300 1,900 2,900 3,700 3,100 155 9.5% Total Housing Unit Demand Belgrade 5,000 5,200 5,900 6,500 7,200 7,800 2,600 130 2.0% Bozeman 27,600 28,600 32,000 35,700 39,200 42,000 13,400 670 1.9% Four Corners CDP 2,300 2,400 2,700 2,900 3,400 3,600 1,200 60 2.0% Triangle Area 34,900 36,200 40,600 45,100 49,800 53,400 17,200 860 2.0% Source: Economic & Planning Systems 2025-2045 Change 92 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 57 Constrained City 20-Year Forecast 7. Constrained City 20-Year Forecast This chapter outlines the Constrained City forecast. In this scenario, Bozeman captures a decreasing share of Gallatin County population. Starting at 50 percent growth capture and tapering down to 26 percent by 2045. In addition, the Gallatin County in-commuter factor is increased from six percent to twelve percent over the twenty-year period. As a result, Bozeman’s share of County population decreases while the other Gallatin County subareas see accelerated population growth. Employment Forecast The employment forecast for the Constrained City model is constructed the same as the Amenity-Driven forecast (Table 39). Covered employment is factored into total jobs using the same sole proprietor factor. The multiple job holders’ factor is equivalent to the baseline forecast and is held constant throughout the forecast period. The commuting factor is adjusted to reflect a scenario where in-commuting increases from six percent to twelve percent over the twenty-year period. As shown below, the model projects the number of employees living and working in Gallatin County to increase by 30,900 workers between 2025 and 2045, or an average of 1,545 per year. From 2025 to 2045, this is an increase of 39.6 percent of total employees living and working in Gallatin County. Table 39. Constrained City Employment Forecast 2025-2045 2024 Base Year Gallatin County Factor Estimate 2025 2030 2035 2040 2045 Total Ann. # Ann. % Growth Rate 3.0%3.0% 2.5% 2.0% 1.5% 1.5% In-Commuters 6.0% 7.5% 9.0% 10.5% 12.0% Total Covered Jobs 73,200 75,400 84,400 95,100 104,400 112,500 37,100 1,855 2.0% Plus Proprietors 20.0%14,600 15,100 16,900 19,000 20,900 22,500 7,400 370 2.0% Total Jobs 87,800 90,500 101,300 114,100 125,300 135,000 44,500 2,225 2.0% Less Multiple Job Holders 8.3%-7,300 -7,500 -8,400 -9,500 -10,400 -11,200 -3,700 -185 2.0% Total Employees 80,500 83,000 92,900 104,600 114,900 123,800 40,800 2,040 2.0% Less In-Commuters 6.0%-5,300 -5,000 -7,000 -9,400 -12,100 -14,900 -9,900 -495 5.6% Tot. Employees Living/Working in GC 75,200 78,000 85,900 95,200 102,800 108,900 30,900 1,545 1.7% Source: Economic & Planning Systems Forecast 2025-2045 Change 93 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 58 Constrained City 20-Year Forecast Population Forecast The population forecast connects employment growth to population growth using an employment to population ratio constructed by EPS (Table 40).Over the twenty-year forecast period, Gallatin County is expected to add 51,500 residents, or 2,575 residents per year. This growth rate represents 39.6 percent of the 2025 estimated population. The methodology for the constrained city population forecast is unchanged from the Amenity-Driven forecast. Compared to the Baseline Forecast, the increase in the commuting factor results in 12,500 fewer jobs added over the forecast period. Table 40. Constrained City Population Forecast 2025-2045 Service Population Service population represents the total residential population plus the total daily in-commuters into Gallatin County. In Gallatin County, 6.0 percent of the total employees in-commute from outside of Gallatin County (Table 41). In 2024, this represents 2,300 people, resulting in an estimated service population of 127,600 people. By 2045, the in-commuter adjustment is doubled to 12.0 percent resulting in a forecast service population of 188,000 people, with a total of 6,500 in- commuters. Compared to the Baseline scenario, the increased in-commuting factor results in a service population decrease of 9,500 over the forecast period. Table 41. Constrained City Service Population Forecast 2025-2045 Base Year Gallatin County Factor 2024 2025 2030 2035 2040 2045 Total Ann. # Ann. % Total Employees 75,200 78,000 85,900 95,200 102,800 108,900 30,900 1,545 1.7% Employment to Population Ratio 0.60 0.60 0.60 0.60 0.60 0.60 0.60 Total Population 125,300 130,000 143,200 158,700 171,300 181,500 51,500 2,575 1.7% Source: Economic & Planning Systems 2025-2045 ChangeForecast Base Year Gallatin County 2024 2025 2030 2035 2040 2045 Total Ann. # Ann. % Total Population 125,300 130,000 143,200 158,700 171,300 181,500 51,500 2,575 1.7% Total Employees 75,200 78,000 85,900 95,200 102,800 108,900 30,900 1,545 1.7% In-Commuters 6.0% 6.0% 7.5% 9.0% 10.5% 12.0% In-Commuters Weight 50.0% 50.0% 50.0% 50.0% 50.0% 50.0% In-Commuters Impact 2,300 2,300 3,200 4,300 5,400 6,500 4,200 210 5.3% Total Service Population 127,600 132,300 146,400 163,000 176,700 188,000 55,700 2,785 1.8% Source: Economic & Planning Systems 2025-2045 ChangeForecast 94 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 59 Constrained City 20-Year Forecast Population Growth by Subareas The Constrained City scenario forecasts population growth by subarea using a different methodology than the Baseline and Amenity-Driven scenarios. The first two forecast scenarios use the static 2024 ratio of subarea population to county population to allocate growth to each subarea. In the constrained city, population growth is allocated to each subarea using the share of Gallatin County population growth between 2000 and 2024 (Table 42). The yearly County population growth is assigned to each subarea by multiplying the growth capture estimate by the year over year change in forecasted population growth. Over the twenty-year forecast period Bozeman’s share of County growth is reduced from 49.7 percent to 26.2 percent. Simultaneously, the other subareas have increased growth capture such that each year’s forecasted growth capture continues to sum to 100.0 percent. Table 42. Forecasted Change in Population Growth Capture, 2025-2045 2000-2024 Growth Gallatin County Subareas Capture Estimate 2025 2030 2035 2040 2045 Total Ann. # Ann. % Belgrade 9.3% 10.4% 11.6% 12.8% 14.0% 15.2% Big Sky CDP 2.0% 2.2% 3.1% 4.0% 4.9% 5.9% Bozeman 45.0% 49.7% 43.8% 38.0% 32.1% 26.2% Four Corners CDP 4.6% 7.0% 7.9% 8.8% 9.7% 10.6% Manhattan 1.8% 1.4% 2.3% 3.2% 4.0% 4.9% Three Forks 1.7% 0.6% 1.4% 2.3% 3.2% 4.1% Uninc./Remainder 35.7% 28.8% 29.9% 31.0% 32.0% 33.1% Total (Gallatin County)100.0% 100.0% 100.0% 100.0% 100.0% 100.0% Belgrade 0.24%488 347 345 251 334 -154 -8 -1.9% Big Sky CDP 0.19%101 93 109 89 129 28 1 1.2% Bozeman -1.18%2,338 1,315 1,025 577 576 -1,762 -88 -6.8% Four Corners CDP 0.18%330 238 238 175 234 -96 -5 -1.7% Manhattan 0.18%65 68 85 73 108 43 2 2.6% Three Forks 0.18%26 43 63 58 91 65 3 6.5% Uninc./Remainder 0.22%1,352 896 836 577 729 -623 -31 -3.0% G.C. YoY Population Change 4,700 3,000 2,700 1,800 2,200 -2,500 -125 -3.7% Source: Economic & Planning Systems Share of Forecast Change 2025-2045 95 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 60 Constrained City 20-Year Forecast The growth is then added to the base year population estimate and each subsequent year in the forecast (Table 43) . Over the forecast period, Bozeman is forecasted to grow to 78,300 residents by 2045. A total of 19,600 residents are forecast to move into the city during this period. This is followed by Unincorporated Gallatin County, which is forecast to gain 15,800 residents, and Belgrade, which is forecast to gain 6,700 residents during the forecast period. Compared to the Baseline scenario, Bozeman is forecast to gain 9,200 less residents, while the other subareas are forecast to gain 2,700 less residents, largely due to the increased in-commuting factor. Despite gaining fewer residents over the forecast period, the annual average growth rate for the subareas are all above that of Bozeman, ranging from 3.0 percent to 1.5 percent average annual growth. Table 43. Constrained City Population Forecast, Subareas 2025-2045 As a result of Bozeman’s declining share of County-wide population growth capture, by 2045 the City is expected to make up 43.1 percent of Gallatin County, 2.1 percentage points less than at the start of the forecast period (Table 44). The other subareas are forecast to proportionally increase their share of County population. Table 44. Share of County Population by Subarea, 2025-2045 2000-2024 Growth Gallatin County Subareas Capture Estimate 2025 2030 2035 2040 2045 Total Ann. # Ann. % Belgrade 11,700 12,200 13,700 15,600 17,400 18,900 6,700 335 2.2% Big Sky CDP 2,400 2,500 3,000 3,500 4,000 4,500 2,000 100 3.0% Bozeman 56,400 58,700 64,800 71,000 75,400 78,300 19,600 980 1.5% Four Corners CDP 5,700 6,000 7,000 8,400 9,600 10,600 4,600 230 2.9% Manhattan 2,200 2,300 2,500 3,000 3,500 4,000 1,700 85 2.8% Three Forks 2,100 2,100 2,100 2,600 3,100 3,600 1,500 75 2.7% Uninc./Remainder 44,700 46,100 49,900 54,600 58,600 61,900 15,800 790 1.5% Total (Gallatin County)125,200 129,900 143,000 158,700 171,600 181,800 51,900 2,595 1.7% Source: Economic & Planning Systems Forecast 2025-2045 2024 Base Year Growth Gallatin County Subareas Capture Estimate 2025 2030 2035 2040 2045 Belgrade 9.3% 9.4% 9.6% 9.8% 10.1% 10.4% Big Sky CDP 1.9% 1.9% 2.1% 2.2% 2.3% 2.5% Bozeman 45.0% 45.2% 45.3% 44.7% 43.9% 43.1% Four Corners CDP 4.6% 4.6% 4.9% 5.3% 5.6% 5.8% Manhattan 1.8% 1.8% 1.7% 1.9% 2.0% 2.2% Three Forks 1.7% 1.6% 1.5% 1.6% 1.8% 2.0% Uninc./Remainder 35.7% 35.5% 34.9% 34.4% 34.1% 34.0% Total (Gallatin County)100.0% 100.0% 100.0% 100.0% 100.0% 100.0% Source: Economic & Planning Systems Share of Forecast Pop 96 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 61 Constrained City 20-Year Forecast Housing Demand Forecast The housing demand forecast connects population growth to housing demand. Using a constant household size factor of 2.40 people per household, the number of occupied housing units is estimated (Table 45). No adjustments are made to the market vacancy and part-time residence rates, which are held constant throughout the forecast period. Gallatin County In Gallatin County, there is expected to be demand for an additional 22,800 housing units from 2025 to 2045, bringing the total demand to 83,200 (Table 45). Of this, 4.7 percent, or 3,800 units, are vacant, and 4.7 percent, or 3,800 units, are part-time residences. The remainder, 75,600 units, are forecast to be occupied permanently. Compared to the Baseline model, the increase in the in-commuter rate results in demand for 5,700 fewer total housing units and 5,200 fewer occupied housing units. Further adjustments are made for market vacancies and part-time residences using a constant factor. Table 45. Constrained City Housing Unit Demand Forecast 2025-2045 Triangle Area The housing unit demand forecast for the Triangle area follows the same methodology as Gallatin County. The model factors are adjusted to reflect the unique demographic and market conditions in each of the Triangle subareas (Table 46). By the forecast sunset year, Bozeman is expected to have additional demand for 9,000 occupied housing units, which represents 67.1 percent of the total occupied housing demand in the Triangle Area—a rate that is much lower than the first two scenarios. From 2025 to 2045, Belgrade is forecast to have demand for an additional 2,700 occupied housing units. Meanwhile, Four Corners CDP has the lowest occupied housing demand with a total of 1,700 occupied housing units in demand over the twenty-year period. Compared to the Baseline scenario, total housing unit demand Base Year Gallatin County 2024 2025 2030 2035 2040 2045 Total Ann. # Ann. % Average HH Size 2.40 2.40 2.40 2.40 2.40 2.40 Market Vacancy 5.0% 5.0% 5.0% 5.0% 5.0% 5.0% Part-Time Residence Adjustment 5.0% 5.0% 5.0% 5.0% 5.0% 5.0% Gallatin County Population 125,300 130,000 143,200 158,700 171,300 181,500 51,500 2,575 1.7% Occupied Housing Units 52,200 54,200 59,700 66,100 71,400 75,600 21,400 1,070 1.7% Market Vacancy 2,600 2,700 3,000 3,300 3,600 3,800 1,100 55 1.7% Part-Time Residence Adjustment 2,600 2,700 3,000 3,300 3,600 3,800 1,100 55 1.7% Total Housing Unit Demand 57,400 59,600 65,700 72,700 78,600 83,200 23,600 1,180 1.7% Source: Economic & Planning Systems 2025-2045 ChangeForecast 97 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 62 Constrained City 20-Year Forecast is forecast to decrease by 3,300 total units and 3,100 occupied units as growth in Belgrade and Four Corners CDP accelerates. The forecast for additional housing needs in Bozeman under the Constrained City scenario shows 4,100 fewer occupied units and 4,400 fewer units than in the Baseline scenario. Table 46. Constrained City Housing Unit Demand Forecast, The Triangle Area 2025-2045 Base Year Areas 2024 2025 2030 2035 2040 2045 Total Ann. # Ann. % Average Household Size Belgrade 2.41 2.41 2.41 2.41 2.41 2.41 Bozeman 2.19 2.19 2.19 2.19 2.19 2.19 Four Corners CDP 2.73 2.73 2.73 2.73 2.73 2.73 Market Vacancy Belgrade 2.70% 2.70% 2.70% 2.70% 2.70% 2.70% Bozeman 5.02% 5.02% 5.02% 5.02% 5.02% 5.02% Four Corners CDP 3.32% 3.32% 3.32% 3.32% 3.32% 3.32% Second Homes Belgrade 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Bozeman 1.88% 1.88% 1.88% 1.88% 1.88% 1.88% Four Corners CDP 3.91% 3.91% 3.91% 3.91% 3.91% 3.91% Population Belgrade 11,700 12,200 13,700 15,600 17,400 18,900 6,700 335 2.2% Bozeman 56,400 58,700 64,800 71,000 75,400 78,300 19,600 980 1.5% Four Corners CDP 5,700 6,000 7,000 8,400 9,600 10,600 4,600 230 2.9% Triangle Area 73,800 76,900 85,500 95,000 102,400 107,800 30,900 1,545 1.7% Occupied Housing Units Belgrade 4,900 5,100 5,700 6,500 7,200 7,800 2,700 135 2.1% Bozeman 25,800 26,800 29,600 32,400 34,400 35,800 9,000 450 1.5% Four Corners CDP 2,100 2,200 2,600 3,100 3,500 3,900 1,700 85 2.9% Triangle Area 32,800 34,100 37,900 42,000 45,100 47,500 13,400 670 1.7% Vacancy Adjustment Belgrade 100 100 200 200 200 200 100 5 3.5% Bozeman 1,300 1,300 1,500 1,600 1,700 1,800 500 25 1.6% Four Corners CDP 100 100 100 100 100 100 0 0 0.0% Triangle Area 1,500 1,500 1,800 1,900 2,000 2,100 600 30 1.7% Part-Time Residence Adjustment Belgrade 0 0 0 0 0 0 0 0 --- Bozeman 500 500 600 600 600 700 200 10 1.7% Four Corners CDP 100 100 100 100 100 200 100 5 3.5% Triangle Area 600 600 700 700 700 900 300 15 2.0% Total Housing Unit Demand Belgrade 5,000 5,200 5,900 6,700 7,400 8,000 2,800 140 2.2% Bozeman 27,600 28,600 31,700 34,600 36,700 38,300 9,700 485 1.5% Four Corners CDP 2,300 2,400 2,800 3,300 3,700 4,200 1,800 90 2.8% Triangle Area 34,900 36,200 40,400 44,600 47,800 50,500 14,300 715 1.7% Source: Economic & Planning Systems 2025-2045 ChangeForecast 98 Economic & Planning Systems, Inc. 1 Constrained City 20-Year Forecast Appendix 99 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 2 Constrained City 20-Year Forecast Table 47. City of Belgrade Forecasts, Summary Table Belgrade 2025 2030 2035 2040 2045 Total Ann. # Ann. % Jobs Baseline 5,500 6,200 6,900 7,600 8,200 2,700 135 2.0% Amenity Driven 5,500 6,200 6,900 7,600 8,200 2,700 135 2.0% City Constrained 5,500 6,200 6,900 7,600 8,200 2,700 135 2.0% Population Baseline 12,200 13,600 15,300 16,800 18,100 5,900 295 2.0% Amenity Driven 12,200 13,400 14,800 16,000 17,000 4,800 240 1.7% City Constrained 12,200 13,700 15,600 17,400 18,900 6,700 335 2.2% Total Housing Unit Demand Baseline 5,200 5,800 6,500 7,200 7,700 2,500 125 2.0% Amenity Driven 5,200 5,900 6,500 7,200 7,800 2,600 130 2.0% City Constrained 5,200 5,900 6,700 7,400 8,000 2,800 140 2.2% Occupied Housing Units Baseline 5,100 5,600 6,300 7,000 7,500 2,400 120 1.9% Amenity Driven 5,100 5,600 6,100 6,600 7,100 2,000 100 1.7% City Constrained 5,100 5,700 6,500 7,200 7,800 2,700 135 2.1% Vacant and Second Homes Baseline 100 200 200 200 200 100 5 3.5% Amenity Driven 100 300 400 600 700 600 30 10.2% City Constrained 100 200 200 200 200 100 5 3.5% Source: Economic & Planning Systems Forecast 2025-2045 Change 100 2025-2045 BOZEMAN POPULATION AND HOUSING FORECAST Economic & Planning Systems, Inc. 3 Constrained City 20-Year Forecast Table 48. Four Corners CDP Forecasts, Summary Table Four Corners 2025 2030 2035 2040 2045 Total Ann. # Ann. % Jobs Baseline 5,500 6,200 6,900 7,600 8,200 2,700 135 2.0% Amenity Driven 5,500 6,200 6,900 7,600 8,200 2,700 135 2.0% City Constrained 5,500 6,200 6,900 7,600 8,200 2,700 135 2.0% Population Baseline 5,900 6,600 7,500 8,200 8,800 2,900 145 2.0% Amenity Driven 5,900 6,500 7,200 7,800 8,300 2,400 120 1.7% City Constrained 6,000 7,000 8,400 9,600 10,600 4,600 230 2.9% Total Housing Unit Demand Baseline 2,400 2,600 2,900 3,200 3,400 1,000 50 1.8% Amenity Driven 2,400 2,700 2,900 3,400 3,600 1,200 60 2.0% City Constrained 2,400 2,800 3,300 3,700 4,200 1,800 90 2.8% Occupied Housing Units Baseline 2,200 2,400 2,700 3,000 3,200 1,000 50 1.9% Amenity Driven 2,200 2,400 2,600 2,900 3,000 800 40 1.6% City Constrained 2,200 2,600 3,100 3,500 3,900 1,700 85 2.9% Vacant and Second Homes Baseline 200 200 200 200 200 0 0 0.0% Amenity Driven 200 300 300 500 600 400 20 5.6% City Constrained 200 200 200 200 300 100 5 2.0% Source: Economic & Planning Systems 2025-2045 ChangeForecast 101 Memorandum REPORT TO:Community Development Board FROM:Nick Ross, Director of Transportation and Engineering Chris Saunders, Community Development Manager Erin George, Community Development Director Greg Sullivan, City Attorney SUBJECT:A text amendment to Replace Division 38.610 (Wetland Regulations) Section 38.410.100 (Watercourse Setback) and Section 38.220.130 (Submittal Materials for Regulated Activities in Wetlands), and amend Section 38.700.190 U Definitions, and Section 38.700.220 W Definitions within Chapter 38 of the Bozeman Municipal Code, Application 23309 MEETING DATE:September 8, 2025 AGENDA ITEM TYPE:Community Development - Legislative RECOMMENDATION:Having reviewed and considered the staff report, draft ordinance, public comment, and all information presented, I hereby adopt the findings presented in the staff report for application 23309 and move to recommend approval of the proposed wetland and watercourse amendments. STRATEGIC PLAN:6.6 Habitat: Work with partner organizations to identify at-risk, environmentally sensitive parcels contribute to water quality, wildlife corridors, and wildlife habitat. BACKGROUND:Identification of wetlands and mitigation of impacts to wetlands that occur during land development is subject to both federal and location regulation. Federal Regulation pursuant to the Clean Water Act is enforced by the United States Army Corps of Engineers (USACE) and the Environmental Protection Agency. Local regulation occurs per the City’s Unified Development Code (UDC), Division 38.610 titled Wetland Regulations. Other sections also interact with 38.610. The City Commission directed an update to the local regulations be prepared. An explanation of the reasoning and history of the project is presented in the attached staff report. The City wetlands code and USACE regulations have a general strategy that is summarized by the following priorities: 1) avoid wetlands impacts, 2) where wetlands impacts cannot be avoided, minimize wetlands impacts, and 3) when wetlands impacts are incurred, mitigate the impacts. The City first adopted local regulations to protect wetlands in 2003 by Ordinance 1604. Local regulations have been in effect continuously since their initial 102 adoption. The local regulations are supplementary to federal regulations in that historically, the City’s regulations have also regulated wetlands covered by the Clean Water Act. But there are key differences between the historical federal regulatory scheme and the City’s regulations. Bozeman’s regulations for wetlands are also coordinated with our requirements for protecting watercourses. If a wetland is located within the required setback for a watercourse, then the setback is expanded to include the wetland area. It should also be noted that the City’s regulations exclude artificially created wetlands related to irrigation and stormwater facilities. These facilities require periodic maintenance, which is likely to conflict with wetland protection requirements. This project replaces Division 38.610.020 (Wetland Regulations) and Section 38.410.100 (Watercourse setback) within Chapter 38 of the Bozeman Municipal Code and amends Section 38.220.130 (Submittal materials for regulated activities in wetlands and watercourses). The standards and procedures restrict certain construction and land alterations, require issuance of permits for construction and land alterations, and set necessary administrative procedures integrated with the City’s zoning development review procedures. These regulations apply to any regulated activity that may impact wetlands and/or watercourses as defined in 38.700, known prior to or discovered through the development review process, and verified through a site-specific wetlands or watercourse boundary determination. UNRESOLVED ISSUES:None ALTERNATIVES:1. Recommend adoption of proposed text 2. Recommend denial of the proposed text based on findings of non- compliance with the applicable criteria contained within the staff report; 3. Recommend modifications to the text within the ordinance. FISCAL EFFECTS:No unusual fiscal effects have been identified. No presently budgeted funds will be changed by this Amendment. Attachments: Sept 8 2025 CDB Wetlands Watercourse Replacement Staff Report.pdf Ordinance 2025-xxx Aug 28, 2025.pdf Report compiled on: August 28, 2025 103 Page 1 of 13 23309 Staff Report for the Replacement of the Wetland and Watercourse Regulations Public Hearing Dates: Community Development – Sept 8, 2025, continued from August 18, 2025 City Commission – September 9, 2025 Project Description: Replace Division 38.610 (Wetland Regulations) and Section 38.220.130 (Submittal Materials for Regulated Activities in Wetlands), and amend Section 38.700.190 U Definitions, and Section 38.700.220 W Definitions within Chapter 38 of the Bozeman Municipal Code. Project Location: Revision to the text is applicable City-wide. Recommendation: Meets applicable criteria. Recommended Community Development Board Motion: Having reviewed and considered the staff report, draft ordinance, public comment, and all information presented, I hereby adopt the findings presented in the staff report for application 23309 and move to recommend adoption. Recommended City Commission Motion: Having reviewed and considered the staff report, draft ordinance, public comment, recommendation from the Community Development Board, and all information presented, I hereby adopt the findings presented in the staff report for application 23309 and move to provisionally adopt the ordinance. Report: August 27, 2025 Staff Contact: Chris Saunders, Community Development Manager Nick Ross, Director of Transportation and Engineering Agenda Item Type: Action - Legislative EXECUTIVE SUMMARY This report is based on the application materials submitted and public comment received to date. Unresolved Issues None Project Summary The City of Bozeman first adopted local regulations to protect wetlands in 2003 by Ordinance 1604 [External Link, PDF]. Local regulations have been in effect continuously since initial adoption. Mitigation of impacts to wetlands that occurs during land development is subject to both federal and local regulation. Federal regulation pursuant to the Clean Water Act is enforced by the United States Army Corps of Engineers (USACE). Local regulation occurs per the City’s Unified Development Code (UCD) Division 38.610, titled Wetlands Regulations. Prior to the United States Supreme Court’s recent decision in Sackett v. 104 Staff Report for the Replacement of Wetland Regulations, Application 23309Page 3 of 14 Environmental Protection Agency, 142 S. Ct. 1322 (2023), the USACE (and the EPA) regulated wetlands using a broad definition that included many wetlands within the City. The recent Sackett decision significantly narrows federal regulations of wetlands. Historically, for most wetlands impacted by land development, the City had concurrent jurisdiction with the federal agencies and deferred to the federal agencies for decisions on mitigation. After Sackett, federal jurisdiction is more limited resulting in the City’s jurisdiction being the sole authority to regulate a greater proportion of wetlands within the City. Since the recent Sackett decision, the City continues to regulate impacts to wetlands, which federal agencies can no longer regulate. In response to the recent Sackett decision and the future of federal regulation of wetlands, the City believes it must consider any new federal rule and guidance to understand how the City could move forward regulating based solely on the UDC requirements. This includes regulation of wetlands that were but are no longer regulated federally and how the City will integrate its mitigation requirements (including a bank) into the ongoing federal wetland bank program. The City’s watercourse protection standards coordinate with wetland protection standards. The draft improves coordination between the two different sections and materials submitted with applications. This project replaces Division 38.610 (Wetland Regulations) and Section 38.410.100 (Watercourse setback) within Chapter 38 of the Bozeman Municipal Code and amends Section 38.220.130 [External Link] (Submittal materials for regulated activities in wetlands and watercourses) to reflect these changes. Definitions related to wetlands are also being amended or created in Division 38.700. Strategic Plan 1.2 Public Agencies Collaboration Foster successful collaboration with other public agencies and build on these successes. e) Enhance our relationship with State and Federal Agencies. 3.1 Public Safety Support high quality public safety programs, emergency preparedness, facilities, and leadership. 6.5 Parks, Trails & Open Space Support the maintenance and expansion of an interconnected system of parks, trails and open spaces. 6.6 Habitat Work with partner organizations to identify at-risk, environmentally sensitive parcels contribute to water quality, wildlife corridors, and wildlife habitat. 7.3 Best Practices, Creativity, & Foresight c) Improve Departmental Collaboration – Identify opportunities to improve collaboration between City departments and create subgroups on communications, community interactions, long-range planning, and other matters of common concern. 105 Staff Report for the Replacement of Wetland Regulations, Application 23309Page 4 of 14 Community Development Board The Community Development Board, in its role as the Zoning Commission, previously reviewed the draft ordinance on November 6, 2023. The Board recommended approval of the ordinance to the City Commission. The City Commission at their December 5, 2023 meeting reviewed the ordinance and considered public comment. The Commission voted to send the ordinance back to staff for additional process, including content edits, expanded scope, and additional public outreach. This additional process is now complete, and the Community Development Board, in its role as the Zoning Commission, was scheduled to hold a public hearing on August 18, 2025, to review the revised ordinance. Due to a lack of quorum the meeting was continued to September 8th. The advisory board is charged with making recommendations regarding regulations that will affect zoning. Wetland and watercourse protection are zoning requirements. As of the writing of this report no public comments have been received on the revised draft. All project related public comments [External Link] are archived and available for public review. Due to the timing of the continued Community Development Board meeting, the staff will report the outcome of the meeting to the City Commission at the Sept 9th public hearing. Sustainability Board The Sustainability Board considered the recommended proposed language on August 13th. The Board recommended approval. The recording [external link] of the meeting is available on the City’s website. City Commission The City Commission at their December 5, 2023, meeting reviewed the ordinance and considered public comment. The Commission voted to send the ordinance back to staff for additional process, including content edits, expanded scope, and additional public outreach. This additional process is now complete, and the Commission is scheduled to hold a public hearing on the draft ordinance on September 9, 2025, at their regularly scheduled meeting. City Commission Alternatives 1. Adoption of the recommended ordinance; 2. Denial of the ordinance based on findings of non-compliance with the applicable criteria contained within the staff report; or 3. Open and continue the public hearing on the application, with specific direction to staff to supply additional information or to address specific items. 106 Staff Report for the Replacement of Wetland Regulations, Application 23309Page 5 of 14 Contents EXECUTIVE SUMMARY ................................................................................................................... 1 Unresolved Issues ........................................................................................................................... 1 Project Summary ............................................................................................................................. 1 Strategic Plan .................................................................................................................................. 3 Community Development Board .................................................................................................... 4 City Commission ............................................................................................................................ 4 City Commission Alternatives ........................................................................................................ 4 SECTION 1 – RECOMMENDATION AND FUTURE ACTIONS .................................................... 6 SECTION 2 – TEXT AMENDMENT STAFF ANALYSIS AND FINDINGS ..................................... 6 Section 76-2-304, MCA (Zoning) Criteria .................................................................................... 6 A. Be in accordance with a growth policy. .................................................................................... 6 B. Secure safety from fire and other dangers. ................................................................................ 7 C. Promote public health, public safety, and general welfare. ....................................................... 8 D. Facilitate the provision of transportation, water, sewerage, schools, parks, and other public requirements.................................................................................................................................... 8 E. Reasonable provision of adequate light and air. ........................................................................ 8 F. The effect on motorized and non-motorized transportation systems. ....................................... 9 G. Promotion of compatible urban growth. .................................................................................... 9 H. Character of the district. ............................................................................................................ 9 I. Peculiar suitability for particular uses. ........................................................................................ 9 J. Conserving the value of buildings. ........................................................................................... 10 K. Encourage the most appropriate use of land throughout the jurisdictional area. ..................... 10 PROTEST NOTICE FOR ZONING AMENDMENTS ...................................................................... 10 APPENDIX A – DETAILED PROJECT DESCRIPTION AND BACKGROUND .......................... 11 APPENDIX B – NOTICING AND PUBLIC COMMENT ................................................................ 14 APPENDIX C – APPLICANT INFORMATION AND REVIEWING STAFF .................................... 14 FISCAL EFFECTS .............................................................................................................................. 15 ATTACHMENTS ............................................................................................................................... 15 107 Staff Report for the Replacement of Wetland Regulations, Application 23309Page 6 of 14 SECTION 1 – RECOMMENDATION AND FUTURE ACTIONS Having considered the criteria established for a text amendment, staff recommends approval as proposed. The Community Development Board is scheduled to hold a public hearing on this amendment on August 18, 2025, at 6:00 p.m. A recommendation will be forwarded to the Commission on the text amendment. The City Commission will hold a public hearing on the text amendment on September 9, 2025, at 6:00 p.m. SECTION 2 – TEXT AMENDMENT STAFF ANALYSIS AND FINDINGS In considering applications for approval under this title, the advisory boards and City Commission must consider the following criteria. As an amendment is a legislative action, the Commission has broad latitude to determine a policy direction. The burden of proof that the application should be approved lies with the applicant. In considering the following criteria, the analysis must show that the amendment accomplishes zoning criteria A-D. Zoning criteria E-K must be considered and may be found to be affirmative, neutral, or negative. A favorable decision on the proposed application must find that the application meets all of the criteria A-D and that the positive outcomes of the amendment outweigh negative outcomes for criteria E-K. In addition, the application must be evaluated against subdivision criteria 1-17. A favorable decision on the proposed application must find that the positive outcomes of the amendment outweigh the negative outcomes for criteria 1-17C. Section 76-2-304, MCA (Zoning) Criteria A. Be in accordance with a growth policy. Criterion Met. The Bozeman Community Plan (BCP) 2020, Chapter 5, p. 73, in the section titled Review Criteria for Zoning Amendments and Their Application, discusses how the various criteria in 76-2-304 MCA are applied locally. Application of the criteria varies depending on whether an amendment is for the zoning map or for the text of Chapter 38, BMC. “In a text amendment, policy statements weigh heavily as the standards being created or revised implement the growth policy’s aspirations and intent. The City must balance many issues in approving urban development.” The proposed amendment does not change the zoning map. Therefore, it is not necessary to analyze compliance with the future land use map. The basic planning precepts on page 20 of the Bozeman Community Plan 2020 include, “The health and well-being of the public is an essential focus and influences and is influenced in turn by urban design and land development.” Also, “The City intends to create a healthy, safe, 108 Staff Report for the Replacement of Wetland Regulations, Application 23309Page 7 of 14 resilient, and sustainable community by incorporating a holistic approach to the design, construction, and operation of buildings, neighborhoods, and the City as a whole.” The proposed amendments provide for public health, safety, and welfare of the community by providing clear standards and administrative processes for development around regulated wetland areas and by providing consistent language, clear definitions, and references throughout the Bozeman Municipal Code. Under Theme 4, A City Influenced by Our Natural Environment, Parks, and Open Lands, there are several relevant goals and objectives that will be met through the collaborative approach to developing these amendments to the Wetland Regulations. Goal EPO-202 - Work with the U.S. Army Corps of Engineers to keep wetlands, mitigation within the Gallatin Valley rather than locating to other watersheds. Staff has repeatedly consulted with the Corp of Engineers in preparing the updated regulations. Coordination is enhanced by using the same standards for delineation and documentation of wetlands and wetland functions. EPO-2.3 - Identify, prioritize, and preserve key wildlife habitat and corridors. The application materials submittal requirements ensure that resources are identified following best professional practice. The standards for watercourse and wetland protection act to protect habitat consistent with the other purposes and priorities of the Unified Development Code. EPO 4.2 - Update floodplain and other regulations that protect the environment. The proposed amendments to the wetland and watercourse r egulations meet this objective by ensuring identification of resources and establishing standards to avoid and minimize impacts of development. RC-2.1 Prohibit development in environmentally-sensitive or hazard-prone areas. The proposed regulations emphasize avoidance of wetlands as a first priority and require physical separation from wetlands and watercourses. This separation limits impact on the resource. No conflicts with the growth policy have been identified. The criterion is met. B. Secure safety from fire and other dangers. Criterion Met. The proposed regulations are specifically intended, designed, and include provisions to ensure they can be carried out to manage development within regulated identified wetland areas. Wetlands can present significant constraints to development which typically form in areas characterized by poor drainage conditions that are ill-suited for most types of development. Development in these areas often involves extra expense resulting from considerations for site drainage, flood protection and facility maintenance. The intent of these regulations is to protect public and private facilities and structures from damage, and to minimize public and private development and maintenance costs. This is accomplished by prioritizing avoidance of wetlands. Compliance with the proposed and other existing standards such as building permits, access, and stormwater control standards mutually support this criterion. The wetland regulations partner with other watercourse protection, 38.410.100 [External link] and floodplain standards, 38.600 [External link] in the Unified Development 109 Staff Report for the Replacement of Wetland Regulations, Application 23309Page 8 of 14 Code to limit construction in these areas. C. Promote public health, public safety, and general welfare. Criterion Met. The proposed regulations provide standards and procedures that regulate development in wetland and watercourse areas to protect public health and safety, safeguard water quality, and provide for wildlife habitat. Additionally, the preservation of wetlands and watercourses offers opportunities for open space, education and research, and historical, cultural and archaeological resources. The intent of these regulations is to encourage the avoidance of regulated activities within the regulated areas and to require best management practices in regulated areas. As noted in Criterion B, further development and redevelopment must be in accordance with the new natural resource standards as well as modern building, access, stormwater, pedestrian circulation, ingress and egress to the site, and full connection to the greater transportation network for users, ensuring the promotion of public health, safety and general welfare. Minimizing impacts to wetlands and watercourses supports and maintains their functions to lessen flooding, improve groundwater infiltration, lessen surface water pollutants, and thereby improve public health and safety. D. Facilitate the provision of transportation, water, sewerage, schools, parks, and other public requirements. Criterion Met. The regulations provide submittal requirements and standards that apply to any regulated activity that may impact wetlands as defined in 38.700 known prior to or discovered through the development review process and verified through a site-specific wetlands and watercourse boundary determination. If wetlands or watercourses are found on the subject site, the proposal is subject to these regulations. As mentioned in Criterion C, wetlands typically form in areas characterized by poor drainage conditions which are ill- suited for most types of development. Wetlands are characterized by hydric soils that are unstable for most types of development. The proposed regulations reduce the likelihood of damage to public facilities, such as streets, and private facilities. This process of identifying, verifying, and mitigating wetland sites ensures appropriate setbacks from identified wetlands and watercourses and the protection of existing infrastructure, including water, sewer, transportation, and roadways, to ensure they are minimally affected by these regulated areas. Where it is necessary for infrastructure to cross watercourses or wetlands, the standards provide direction on how to lessen impacts. Prioritization for methods of mitigation of impacts helps ensure that allowance of needed infrastructure has the least amount of resource impact. E. Reasonable provision of adequate light and air. Criterion Met. The regulations make provision for adequate light and air by limiting certain types of development in and around wetland areas and watercourses. These limitations provide the opportunity for open space and natural areas that can be utilized for a number of ecological functions. Additional standards for light and air such as required open spaces, parkland and setbacks are also included in Chapter 38. 110 Staff Report for the Replacement of Wetland Regulations, Application 23309Page 9 of 14 F. The effect on motorized and non-motorized transportation systems. Criterion Met. The effect on long range transportation systems (motorized and non-motorized) should be minimal. Existing roads that will need to be extended to accommodate proposed developments will follow the same guidelines as other development. In some instances where a linear path for roadways or pathways is not possible due to existing wetlands and watercourses or, where construction is unavoidable, such as utility or street crossings, the proposed regulations provide processes and standards to minimize impacts and lessen the likelihood of damage or injury. The process of determining the wetland boundary is similar to requirements for watercourse setbacks, where the developer must mitigate the impacts of the development on or near a watercourse which are often alongside existing wetland areas. Additionally, the process can help guide the design phase of a project early on when determining the location of roads, pedestrian paths and open space based on results of the wetland or watercourse boundary determination. G. Promotion of compatible urban growth. Criterion Met. The proposed amendments provide for land uses and permitting processes that ensure development in regulated wetland areas is compatible with natural conditions as those conditions fluctuate from time to time. The regulations also provide standards for development that will prevent construction in areas not suitable for development, thereby creating a safer, more suitable environment, and creating building and site standards that are compatible with the natural environment. The regulations will create consistency of standards and processes that would be applicable to any parcel with wetlands or watercourses throughout the City. H. Character of the district. Criterion Met. The draft regulations do not modify the standards that are unique to individual zoning districts. The wetland and watercourse regulations are equally applicable in all zoning districts. The regulations are specifically designed to address characteristics of land within and surrounding wetland areas within the City. Parcels with wetland areas and watercourses are unique. Providing specific regulations to protect them and mitigate during construction maintains the character of the site and ensures their preservation. Wetlands and watercourses provide important values, both aesthetic and functional, that enhance the quality of life of community residents. Protecting wetland areas ensures their preservation for future generations I. Peculiar suitability for particular uses. Criterion Met. The regulations specifically address and limit the development of new buildings in identified wetland areas and watercourses through a site-specific wetland and watercourse boundary determination when applicable. Preservation of wetlands and watercourses is significant when considering they provide several important ecological functions, including aquifer recharge, water storage, regional stream hydrology (discharge and recharge), flood control and storage, sediment control, nutrient removal from urban or non-point source runoff, and erosion control. Preservation of existing wetland functions is less costly, faster, and more efficient than replicating those functions elsewhere. Therefore, the preference of the city is to first avoid wetland impacts with the prioritized mitigation preferences 111 Staff Report for the Replacement of Wetland Regulations, Application 23309Page 10 of 14 following. J. Conserving the value of buildings. Criterion Met. Wetlands and watercourses are a unique and distinct ecosystem that perform many important ecological functions. Wetlands and watercourses are aquatic environments that are covered by freshwater, saltwater, or a mix. They can provide flood control, clean water, storm protection, sediment control, and vital habitat. The regulations may apply independently or may apply to development that may impact wetlands and watercourses. It is the intent and purpose of these regulations to protect, preserve, and enhance wetlands and watercourses to provide a number of vital functions (see Criterion C & H). Further, the regulations act to proactively conserve the value of buildings by preventing building construction in and too close to wetland areas and watercourses where soils are typically unstable and not appropriate for construction (see Criterion D). K. Encourage the most appropriate use of land throughout the jurisdictional area. Criterion Met. The regulations provide standards and steps in determining the status of a wetland and/or watercourse, the setback requirement, and any mitigating factors with proposed development. This will allow for uses that are appropriate and functional within existing wetland areas and watercourses. The proposed amendments seek to regulate development around wetland areas and watercourses that will limit impacts to these resources aiding in public health, safety, and general welfare. PROTEST NOTICE FOR ZONING AMENDMENTS IN THE CASE OF WRITTEN PROTEST AGAINST SUCH CHANGES SIGNED BY THE OWNERS OF 25% OR MORE OF THE AREA OF THE LOTS WITHIN THE AMENDMENT AREA OR THOSE LOTS OR UNITS WITHIN 150 FEET FROM A LOT INCLUDED IN A PROPOSED CHANGE, THE AMENDMENT SHALL NOT BECOME EFFECTIVE EXCEPT BY THE FAVORABLE VOTE OF TWO-THIRDS OF THE PRESENT AND VOTING MEMBERS OF THE CITY COMMISSION. The City will accept written protests from property owners against the proposal referred to in this notice until the close of the public hearing before the City Commission. Pursuant to 76-2-305, MCA, a protest may only be submitted by the owner(s) of real property within the area affected by the proposal or by owner(s) of real property that lie within 150 feet of an area affected by the proposal. The protest must be in writing and must be signed by all owners of the real property. In addition, a sufficient protest must: (i) contain a description of the action protested sufficient to identify the action against which the protest is lodged (including the application number, 23309); and (ii) contain a statement of the protestor's qualifications (including listing all owners of the property and the physical address), to protest the action against which the protest is lodged, including ownership of property affected by the action. Signers are encouraged to print their names after their signatures. A person may in writing withdraw a previously filed protest at any time prior to final action by the City Commission. Protests must be delivered to the Bozeman City Clerk, 121 North Rouse Ave., PO Box 1230, Bozeman, MT 59771-1230. Written comments may be directed to: City of Bozeman Department of Community Development, ATTN: City Clerk, PO Box 1230, Bozeman, MT 59771-1230, or emailed to comments@bozeman.net. Data on this application are available at 112 Staff Report for the Replacement of Wetland Regulations, Application 23309Page 11 of 14 https://www.bozeman.net/government/planning/using-the-planning-map. Select ‘Project Documents’ and navigate to application 23309. The full application may be reviewed in the City of Bozeman Department of Community Development, Alfred M. Stiff Professional Building, 20 East Olive Street, 582-2260. Please reference Application 23309 in any correspondence. For those who require accommodations for disabilities, please contact the ADA Coordinator David Arnado, at 582-3232 (voice). APPENDIX A – DETAILED PROJECT DESCRIPTION AND BACKGROUND Mitigation of impacts to wetlands that occurs during land development is subject to both federal and location regulation. Federal Regulation pursuant to the Clean Water Act is enforced by the United States Army Corps of Engineers (USACE) and the Environmental Protection Agency. Local regulation occurs per the City’s Unified Development Code (UDC), Division 38.610 titled Wetland Regulations. Prior to the United States Supreme Court’s recent decision in Sackett v. Environmental Protection Agency, 142 S.Ct. 1322 (2023), the federal agencies regulated wetlands using a broad definition that included many wetlands within the City. Federal agencies regulated wetlands that were not only immediately adjacent to traditionally navigable waters, but also wetlands that had a continuous surface connection to such water or had a significant nexus to interstate or traditional navigable waters. This “significant nexus” required federal agencies to analyze a number of factors. A significant nexus exists, under federal guidance, when “wetlands, either alone or in combination with similarly situated lands in the region, significantly affect the chemical, physical, and biological integrity of those waters.” The result is that the federal agencies regulated millions of acres of wetlands nationwide that were not immediately adjacent to or indistinguishable from traditionally navigable waters. That all changed with the Sackett decision. The majority of the Court determined “that the Clean Water Act (CWA) extends to those wetlands with a continuous surface connection to bodies that are ‘waters of the United States’ in their own right so that they are ‘indistinguishable’ from those waters.” The result is that many wetlands that were formerly regulated by the federal agencies are no longer under federal jurisdiction. The Supreme Court remanded this decision back to the 9th Circuit of Appeals. Additional litigation will most likely be necessary to finally resolve the specific issue in the case. In the meantime, EPA and USACE implemented an interim rule to address the Supreme Court decision. The City’s regulation of wetlands addresses wetlands historically regulated by the federal agencies resulting in concurrent (but not identical) regulations. The Sackett decision significantly narrows federal regulation of wetlands resulting in the City’s regulatory program now being the sole regulatory authority for a greater number of wetlands within the City. In response to the recent Sackett decision and the future of federal regulation of wetlands, the City believes it must consider any new federal rule and guidance to understand how the City could move forward regulating based solely on the UDC requirements. This includes regulation of wetlands that were but are no longer regulated federally and how the City will integrate its mitigation requirements (including a bank) into the ongoing federal wetland bank 113 Staff Report for the Replacement of Wetland Regulations, Application 23309Page 12 of 14 program. The City Commission conducted a work session on July 25, 2023, (Meeting Video-Action Item K.1.) [External Video Link], regarding the proposed Wetland Protection Mitigation procedures. The purpose of the work session was to provide the Commission with information related to: i. The current approach of the City to its wetlands regulatory program under the UDC; ii. Provide information on the Sackett decision and the issues resulting from the decision; iii. Provide information on future approaches to local regulation of wetlands. Specific topics discussed in detail at the work session are available in the July 25, 2023 City Commission Memorandum [External Link, PDF]. City Commission provided specific guidance on mitigation measures for wetland areas which were discussed at two follow-up meetings open to the general public on October 5th, 2023. On October 5th, 2023, City staff presented updates to the proposed Wetland Regulations including policy guidance from the City Commission, followed by Q & A sessions that were open to the general public at two different meetings. There was a virtual meeting at noon on Zoom followed by an in-person meeting at the Bozeman Public Library at 6:00 p.m. The noon session included an overview of current wetland regulations and the role of the Army Corps of Engineers. City goals were discussed in regard to wetland mitigation measures within the existing watershed including discussions on local wetland bank options. Policy guidance from the July 23rd City Commission meeting was discussed followed by a Q and A session with people who attended the online meeting. Several people asked about the inline edits and recommendations from the Gallatin Watershed Council to the proposed Wetland Regulations in the UDC. There were requests for clarification and the City’s response to these edits and recommendations. People felt they should be carefully considered since the recommendations and suggestion came from experts in the field. The comments were primarily focused on clarifying and defining terms in the existing codes with a goal to minimize and avoid impacts to wetlands before the city resorts to mitigation and that local mitigation was a priority over mitigating outside the City’s watershed. One person asked about the process for smaller, individual wetland areas or ponds not connected to a stream and options for cash in lieu. A follow up question asked about the option of submitting a wetland application prior to a site plan application, Additional questions included progress with wetland revisions to date. Meeting Video to the online Zoom meeting [External Link, meeting video]. On the same day at 6:00 p.m. staff presented this information at another meeting in the Bozeman Public Library. Discussions revolved around the proposed amendments to the wetland regulations, application processing for proposals with wetland areas, progress on local options for wetland mitigation, and policy guidance from the City Commission. People had questions about how the City will regulate wetlands normally covered by the ACOE and the method of determining the amount of credits for wetland mitigation. Additional discussion focused on wetland delineation and who decides who has jurisdiction and the overall permitting process. There were concerns about the size of the wetland bank and the process of mitigating using wetland bank credits. There were additional concerns about delineating wetland setbacks and holding people accountable to their limits. People were wanting to fully understanding who has jurisdiction, and understand steps outlined in the regulations to 114 Staff Report for the Replacement of Wetland Regulations, Application 23309Page 13 of 14 determine the best course of action based on the proposal. Additional information can be found on the Minutes to the 6:00 p.m., meeting [External Link, PDF]. The City wetlands code and USACE regulations have a general strategy that is summarized by the following priorities: 1) avoid wetlands impacts, 2) where wetlands impacts cannot be avoided, minimize wetlands impacts, and 3) when wetlands impacts are incurred, mitigate the impacts. Where the impacts of land development to wetlands are unavoidable, mitigation of such impacts regulated by federal agencies may occur in locations distant from the City, including the Upper Missouri Wetland Bank located in Twin Bridges, Montana. Currently, a local wetlands bank is under development by the Sacajawea Audubon Society (SAS) in the vicinity of Haggerty Lane and East Main Street intersection. If this bank qualifies as a wetland bank for purposes of federal regulation, landowners seeking to mitigate wetland impacts that fall within the jurisdiction of federal agencies may be able to access the SAS bank, once established. The SAS bank may also be available to the City to provide mitigation for wetlands now regulated only by the City. The City Commission at their December 5, 2023, meeting reviewed the ordinance and considered public comment. The Commission voted to send the ordinance back to staff for additional process, including content edits, expanded scope, and additional public outreach. As part of additional public outreach, the City held an open house to gather public input on March 27th, 2025, at the Bozeman Public Safety Center. The draft ordinance now under consideration was released to the public on the Engage Bozeman Wetlands Update project page on July 31, 2025. Copies were also made available at the Reference Desk in the Bozeman Public Library and the Department of Community Development. The City provided public notice on the draft and the upcoming public hearings before the Community Development Board acting as the Zoning Commission and the City Commission on the City’s website and with the publication of a legal advertisement in the Bozeman Daily Chronicle published on four Saturdays: July 26, August 9, August 16, and August 30, 2025. Public comment will close during the City Commission public hearing on September 9, 2025. The City first adopted local regulations to protect wetlands in 2003 by Ordinance 1604. Local regulations have been in effect continuously since their initial adoption. The local regulations are supplementary to federal regulations in that historically, the City’s regulations have also regulated wetlands covered by the Clean Water Act. But there are key differences between the historical federal regulatory scheme and the City’s regulations. A key difference is that the City’s regulations apply to wetlands as small as 400 sq. ft. and to isolated wetlands not connected to waters of the United States. This is more restrictive than federal regulations; in practice, however, the City has typically defaulted to USACE regulation as a measure of compliance with the more restrictive local wetland code. Bozeman’s regulations for wetlands are also coordinated with our requirements for protecting watercourses. If a wetland is located within the required setback for a watercourse, then the setback is expanded to include the wetland area. It should also be noted, the City’s regulations exclude artificially created wetlands related to irrigation and stormwater facilities. These facilities require periodic maintenance, which is likely to conflict with wetland protection requirements. 115 Staff Report for the Replacement of Wetland Regulations, Application 23309Page 14 of 14 This project replaces Division 38.610.020 (Wetland Regulations) and Section 38.410.100 (Watercourse setback) within Chapter 38 of the Bozeman Municipal Code and amends the submittal requirements in Section 38.220.130 [External Link, PDF] (Submittal materials for regulated activities in wetlands and watercourses) to reflect the change in federal regulation of wetlands resulting from the recent Sackett decision and per the expanded scope request of the City Commission. The project establishes a new section for Wetland and Watercourse Regulations within the Unified Development Code, in compliance with the requirements of the Clean Water Act and the Unified Development Code. The standards and procedures restrict certain construction and land alterations, require issuance of permits for construction and land alterations, and set necessary administrative procedures integrated with the City’s zoning development review procedures. These regulations apply to any regulated activity that may impact wetlands and/or watercourses as defined in 38.700, known prior to or discovered through the development review process, and verified through a site-specific wetlands or watercourse boundary determination. These wetland regulations pertain to wetlands with a direct hydrologic connection to “waters of the U.S.” (those wetlands that connect to a federally regulated stream or river directly or via a series or watercourse, wetlands, or ditches), and also to isolated wetlands with no direct connection to a water of the U.S. and exhibit positive wetland indicators for all three wetland parameters defined in the most current version of the U.S. Army Corps of Engineers Wetland Delineation Manual of the U.S., applicable to the U.S. Army Corps of Engineers Omaha District. This amendment is to the City’s zoning regulations regarding wetlands and watercourses. This zoning regulation also addresses related purposes of environmental protection, public safety, and other subdivision criteria. Subdivision review must demonstrate zoning compliance. APPENDIX B – NOTICING AND PUBLIC COMMENT Notice for text amendments must meet the standards of 38.220.410 & 420. Notice was published in the Bozeman Daily Chronicle as required and contained all required elements. Notice was provided at least 15 business days before the Zoning Commission and Planning Board public hearing, and not more than 45 days prior to the City Commission public hearing. Copies of the draft text were made available at the Bozeman Public Library, the Community Development Department, and through the City’s Engage Bozeman website. The City exceeded the required notice provision. Hearing dates are on the first page of this report. As of the writing of this report no public comments have been received on the revised draft. All project related public comments [External Link] are archived and available for public review. APPENDIX C – APPLICANT INFORMATION AND REVIEWING STAFF Owner/Applicant: City of Bozeman, PO Box 1230, Bozeman, MT 59771 116 Staff Report for the Replacement of Wetland Regulations, Application 23309Page 15 of 14 Representative: Department of Community Development, City of Bozeman, PO Box 1230, Bozeman, MT 59771 Report By: Chris Saunders, Community Development Manager, Community Development Department FISCAL EFFECTS No unusual fiscal effects have been identified. No presently budgeted funds will be changed by this Annexation or Zone Map Amendment. ATTACHMENTS Digital access to the full application (23309) and file of record is available at the Community Development Department at 20 E. Olive Street, Bozeman, MT 59715. The Draft Wetland and Watercourse Regulations can be found on engage.bozeman.net/wetlands 117 Version February 2023  Ord 2156  Page 1 of 24  ORDINANCE 2025-xxx AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF BOZEMAN, MONTANA TO REPEAL AND REPLACE SECTION 38.220.130 (SUBMITTAL MATERIALS FOR REGULATED ACTIVITIES IN WETLANDS), SECTION 38.410.100 (WATERCOURSES), AND DIVISION 38.610 (WETLANDS) IN THEIR ENTIRETY AND WOULD AT THE SAME TIME REPLACE IT WITH A NEW SET OF STANDARDS AND SUBMITTAL REQUIREMENTS, SECTIONS 38.700.190 (U DEFINITIONS) AND 38.700.120 (W DEFINITIONS) OF THE BOZEMAN MUNICIPAL CODE WILL BE AMENDED, APPLICATION 23309. WHEREAS, the City of Bozeman (the “City”) has adopted land development and use standards to protect public health, safety and welfare and otherwise execute the applicable purposes of state law; and WHEREAS, pursuant to the Bozeman City Charter, the City of Bozeman has adopted and is hereby relying upon its self-government powers recognizing pursuant to Montana law such self- government powers must be liberally construed in favor of such power; and WHEREAS, after proper notice, the City Commission held a public meeting on July 25, 2023 to receive information on wetlands and changing federal regulations and to give direction on preparation of proposed amendments to the City’s wetland regulations; and WHEREAS, after proper notice, the Community Development Board in their capacity as Bozeman Zoning Commission held a public hearing on November 6, 2023, to receive and review all written and oral testimony on the proposed amendments; and WHEREAS, the Community Development Board in their capacity as Bozeman Zoning Commission recommended to the Bozeman City Commission that Ordinance 2156, be approved as proposed; and 118 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 2 of 24  WHEREAS, after proper notice, the City Commission held its public hearing on December 4, 2023, to receive and review all written and oral testimony on proposed Ordinance 2156; and WHEREAS, after consideration the City Commission requested further revisions to the draft text; and WHEREAS, after revisions were made public notice was published and the draft amendments made available for public review in multiple locations including electronic methods; and WHEREAS, after proper public notice the Community Development Board in their capacity as the Zoning Commission, held a public hearing on September 8, 2025, to receive public comment and consider the criteria for zoning amendments; and after completing their review recommended [complete with recommendation once finished]; and WHEREAS, the City Commission conducted a public hearing on September 9th to receive public comment; and WHEREAS, the City Commission has reviewed and considered the applicable amendment criteria established in Montana Code Annotated § 76-2-304, and found that the proposed amendments comply with the criteria; and NOW THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF BOZEMAN, MONTANA: Section 1 Legislative Findings The City Commission hereby makes the following findings in support of adoption of this Ordinance: 1. The City has adopted land development and use standards to protect public health, safety and welfare and otherwise execute the purposes of Montana Code Annotated §§ 76-1-102, 76-2- 304, 76-3-102, and 76-3-501. 2. The City adopted regulations and standards to protect and mitigate impacts to wetlands and watercourses in 2003. The City’s regulations have concurrent jurisdiction with other regulatory agencies. 119 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 3 of 24  3. The City adopted a growth policy, the Bozeman Community Plan 2020 (BCP 2020), by Resolution 5133 to establish policies for development of the community. 4. The BCP 2020, Theme 4 and Theme 7 encourage protection of the natural environment. 5. The US Supreme Court issued a decision in Sackett v. Environmental Protection Agency, 142 S. Ct. 1322 (2023), which significantly altered the scope of authority of the United States Army Corps of Engineers (and the United States Environmental Protection Agency) in regulating wetlands. 6. The reduction in scope of authority of the United States Army Corps of Engineers places the City’s regulations as the primary regulatory protection for many wetlands in Bozeman’s regulatory jurisdiction. 7. A staff report analyzing the required criteria for an amendment to the City’s regulations for zoning review, including the amendment’s accordance with the BCP 2020, and has found that the required criteria of Montana Code Annotated § 76-1-304 are satisfied. 8. The necessary public hearings were advertised as required in state law and municipal code and all persons have had opportunity to review the applicable materials and provide comment. 9. The Community Development Board acting in its capacity as the municipal Zoning Commission considered the application materials, staff analysis and report, all submitted public comment, and all other relevant information and recommended approval. 10. The City Commission considered the application materials, staff analysis and report, recommendation of the Community Development Board acting in their capacity as the municipal Zoning Commission and Planning Board, all submitted public comment, and all other relevant information. 11. The City Commission determines that, as set forth in the staff report and incorporating the staff findings as part of the decision, the required criteria for approval of this Ordinance are satisfied. 12. The City Commission determines that this Ordinance provides a proper balance of interests, rights, and responsibilities of all parties affected by this Ordinance and is necessary to protect public health, safety, and the general welfare. Section 2 That Section 38.220.130 Submittal materials for regulated activities in wetlands, Bozeman Municipal Code shall be repealed in its entirety and replaced as follows: 120 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 4 of 24  Sec. 38.220.130. Submittal materials for review of activities in or adjacent to wetlands and watercourses. A. An applicant for a permit under this chapter on a site where wetlands and/or watercourses may be present or adjacent to the subject property must submit a wetlands and watercourses delineation report including the following information: 1. If wetlands or watercourses are not present on or adjacent to the subject property, a letter signed by a qualified wetlands professional must be submitted to the city certifying there are no wetlands or watercourses within the subject property or adjacent to the property and describing the methods used to determine that wetlands or watercourses do not exist on or adjacent to the property. 2. If a wetland or watercourse is present or adjacent to the property, a wetland and watercourse delineation report must be submitted to the city. When required to determine the wetland or watercourse location and function, the delineation report must consider land outside the boundary of the property proposed for development. a. The wetland and watercourse delineation report must include the following which must have been developed within five (5) years of the date of the submission of the report: (1) Wetland and watercourse descriptions; (2) An Approved Jurisdictional Determination provided by the USACE; (3) A functional assessment of the wetland, made in compliance with an assessment tool currently accepted by USACE and/or the State of Montana.; (4) All data collected must support accurate confirmation of the three positive wetland indicators as included in the definition of wetland at 38.700.210; (5) Wetland and watercourse acreages as determined by a licensed surveyor (the review authority may approve the use of other survey grade GPS methods); (6) Maps that depict property boundaries, watercourse centerlines, ordinary high-water marks delineated in accordance with the procedures specified in the current version of the Ordinary High Water Mark Field Delineation Manual for Rivers and Streams sanctioned by the USACE Omaha District, watercourse setbacks, delineated wetland boundaries and buffers, and wetland acreages; (7) Wetland data on forms established by the USACE; (8) A determination of watercourse status issued by the Gallatin County Conservation District; and (9) A narrative description of how the applicant will first avoid and if avoidance is not possible, minimize and mitigate impacts to wetlands and watercourses. 121 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 5 of 24  3. If development activities are proposed in or adjacent to watercourses or wetlands the following additional information is required in the wetlands and watercourse delineation report: a. A site plan consisting of an accurate scaled drawing which shows: the boundaries of the subject property; delineated wetland and watercourse boundaries; wetland buffer boundaries; watercourse setbacks; and all existing and proposed structures, roads, trails, and easements. The site plan must provide a table of existing wetland jurisdictional status, acreage and respective functional classes for each wetland, previously required wetland buffers and acreage for each wetland, and linear feet of all watercourses. In addition, all direct impacts to wetlands, watercourses, setbacks, and buffers must be depicted and summarized in a table on the site plan. The summary table must include: the wetland/watercourse identification number; labeling of the corresponding wetland buffer or watercourse setback with its width and acreage; the acreage of the subject property and of each wetland, watercourse, and wetland buffer or watercourse setback; notation of the wetland jurisdictional status; proposed impacts within all wetland buffers and watercourses setbacks; and, proposed mitigation methods and acreages.   b. All indirect impacts must be summarized in a narrative section of the application. c. Application materials for all applicable permits identified in 38.220.020. d. A wetland review checklist with each element confirmed as complete. 4. Mitigation Report. If in review of the required submittal materials the review authority determines adverse impacts to wetlands or watercourses will occur, the following information must be submitted to the city in the form of a mitigation report: a. The mitigation report must: (1) Identify proposed mitigation consistent with the priorities listed in 38.610.100 and the rationale for the applicant’s preferred mitigation. (2) Include the following: the name and contact information of the applicant; the name, qualifications, and contact information for the primary author of the mitigation report; a description of the mitigation proposal; a summary of the direct and indirect impacts; identification of all local, state, and federal wetland or watercourse-related permits required for the proposed mitigation; and a vicinity map for the project. (3) An assessment of existing conditions in the area of the proposed mitigation including vegetation community structure and composition, existing hydroperiod, existing soil conditions, and existing wetland functions. (4) An assessment of the potential changes in wetland hydroperiod for the proposed project. 122 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 6 of 24  (5) A description of the proposed mitigation actions for wetlands, watercourses, setbacks, and buffer areas and how the design has been modified to first avoid, and if avoidance is not possible then minimize or reduce impacts to the wetland hydroperiod. Provide specifications for all proposed compensatory mitigation for unavoidable impacts to wetlands and their buffers and to watercourses and their setbacks. Include a map and table with all proposed mitigation areas and their required buffers. (6) Field data that documents the existing conditions of the proposed mitigation sites. (7) An analysis of the anticipated post development hydrologic and soil conditions on the project site hydrologic and soil conditions of the mitigation wetlands based on the proposed mitigation (e.g., data that demonstrate hydrologic conditions (e.g. piezometer data, staff/crest gage data, hydrologic modeling, visual observations; data that demonstrate soil conditions (e.g., data from hand-dug or mechanical soil pits or boring results). The applicant may not rely on NRCS soil survey data for establishing existing conditions. (8) A planting plan and schedule by proposed community type and hydrologic regime, size and type of plant material to be installed, spacing of plants, typical clustering patterns, total number of each species by community type, timing of installation, nutrient requirements, watering schedule, weed control, and, where appropriate, measures to protect plants from damage. (9) A mitigation monitoring plan must include a period of not less than five years and establish the entity responsible for long-term operations, maintenance, and monitoring and the methods the applicant will use to ensure the mitigation meets the objectives established by the plan. (10) Wetland mitigation performance criteria for mitigation wetlands and buffers (measurable standards reflective of expected development goals established for each year after the mitigation site is established, e.g., "At the end of five years there will be an 80 percent survival of the planted shrubs and trees"). (11) Contingency plans which clearly define courses of action or corrective measures if performance criteria are not met including strategies for adaptive management and change in mitigation option and the entity responsible for implementing any required contingency plans. b. The mitigation report must include scaled plan sheet(s) for the mitigation plan. The scaled plan sheet(s) must contain, at a minimum: (1) The surveyed edges of existing wetlands and buffers; the proposed location and acreage of wetlands and buffer impacts; and the location of proposed wetland and buffer mitigation areas. 123 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 7 of 24  (2) Surveyed topography at half-foot contour intervals in the area of the proposed mitigation if any grading activity is proposed in the proposed mitigation area. (3) Provide an existing and proposed mitigation design cross section for the wetland and/or buffer proposed mitigation areas. c. A description of ongoing management practices that will protect and maintain the any nonimpacted wetland areas and the proposed mitigation wetland, watercourse, and buffer areas. B. If agricultural water user facilities are present then the development application must include application materials required pursuant to 38.220.060, 38.360.280, and 38.410.060. C. An as-built plan of the affected area within six months of completion. Section 3 That Section 38.410.100, Watercourse Setback, Bozeman Municipal Code shall be repealed in its entirety and replaced as follows: Sec. 38.410.100. Watercourse setback. A. The purpose of this section is to protect watercourses and the land adjacent to ensure bank stabilization; sediment, nutrient and pollution removal; provision of habitat and shade; and flood control. B. Where a parcel proposed for development contains a watercourse, the development is prohibited from placing structures (such as buildings, parking lots, or other impervious surfaces), an addition to an existing structure, any fill material (other than that required for exempt uses), other similar improvements within required watercourse setbacks. C. The development may integrate the watercourse and watercourse setbacks with required parklands and open space subject to division 38.420. D. The requirements of this section may not be less restrictive than the requirements of the city floodplain regulations or any other applicable regulation of this chapter. 1. The watercourse setbacks must be measured from the ordinary high-water mark as defined in 38.700.090 and as depicted on Figure 38.410.100-1. When no ordinary high- water mark is discernible, the watercourse setback must be measured from the top of the watercourse bank. 2. The following apply to all developments. a. Setbacks. The following setback requirements must be met: (1) East Gallatin River. A minimum 100-foot setback must be provided along both sides of the East Gallatin River. 124 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 8 of 24  (2) Sourdough/Bozeman Creek and Bridger Creek. A minimum 75-foot setback must be provided along both sides of Sourdough/Bozeman and Bridger Creeks. (3) Other watercourses. A minimum 50-foot setback must be provided along both sides of all other watercourses. (4) All watercourse setbacks must be extended as necessary to address the following additional requirements; (a) The setback must extend to the delineated boundary of the regulated flood hazard area pursuant to 38.600.130.B where the regulated flood hazard boundary is larger than the setbacks established in this subsection D.2.a (see Figure 38.410.100-2); (b) The setback must incorporate a minimum 50-foot wetland setback from the delineated boundary of any wetlands adjacent to the watercourse. A larger setback may be established per 38.610. A wetland is adjacent to a watercourse when some or all of the wetland lies within the required watercourse setback. Figure 38.410.100-3. b. The relocation of a watercourse, if approved by the review authority, is not subject to the restrictions of subsection D.2.a. c. Allowed encroachments. The watercourse setback is divided into two zones. Zone 1 consists of the 60 percent of the setback closest to the watercourse, and Zone 2 consists of the 40 percent of the setback furthest from the watercourse. The following describes exceptions for development in Zone 1 and Zone 2: (1) On-site stormwater treatment facilities may be located in Zone 2. (2) Trails and trail-related improvements may be placed within the watercourse setback subject to the following: (a) Trails, and trail-related improvements such as benches and trail signage, may be placed in Zone 2; (b) Limited, non-looping developed spur trails to the edge of the watercourse may cross all zones. Benches and limited informational/interpretive signage may be placed in Zone 1 at the terminus of spur trails; (c) Due to topography, avoidance of wetlands, or geographical constraints, portions of non-spur trails may be placed in Zone 1. Trail construction within Zone 1, inclusive of watercourse crossings and spur trails may not exceed the length of 300 percent of the width of the applicable watercourse setback per 500 lineal feet of watercourse; (d) All trails must be constructed to minimize bank instability, sedimentation, nutrient and pollution runoff. Trails must be aligned to minimize damage to plant and wildlife habitat; and 125 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 9 of 24  (e) Trails crossing the watercourse and trail-related bridge structures may be located within all zones provided that the appropriate local, state and federal permits are obtained. (3) Streets, active transportation pathways, utility lines, or similar public construction may be permitted within all zones for the purpose of crossing a watercourse, compliance with an adopted city plan, or protecting public health and safety. The following practices must be observed: (a) Crossings must be minimized to the greatest extent feasible while still complying with other applicable standards of this code; (b) Crossings with direct angles (90 degrees) must be used to the greatest extent feasible instead of oblique crossing angles; (c) Construction must be capable of withstanding 100-year flood events; and (d) A bank stabilization plan for all watercourse crossings must be prepared and approved by the review authority prior to site preparation and installation of the improvement. (4) Outlets from stormwater treatment facilities may pass through all zones, provided that all required permits are obtained. Stormwater facilities must be designed to prevent the discharge of untreated stormwater directly into a watercourse. (5) Ongoing control of noxious weeds by the property owner is required and activities required within limits outlined in any approved noxious weed control plan may occur in all zones. d. Setback planting. To ensure watercourse setback function, a setback planting plan must be prepared by a qualified landscape professional and must be reviewed and approved by the review authority prior to the commencement of development or site preparation. The plan must include a schedule, and plantings must be depicted on the plan as follows: (1) Zone 1: Zone 1 must be (re)vegetated with new or existing native materials suited for a riparian area based on the following. One hundred percent of the disturbed areas of Zone 1 must be planted with a ground cover of native riparian trees, sedges, forbs, and grasses suited for the area. In addition, a minimum of one shrub for every ten linear feet and one tree for every 30 linear feet of the watercourse must be planted along each side of the watercourse. Grouping or clumping of trees and shrubs as appropriate in a riparian area is encouraged. Species that are appropriate to the soil hydrologic conditions are required. Tree and shrub species selected must be suitable for the climate and for planting in a riparian area with an emphasis 126 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 10 of 24  on native species. Incorporation of existing healthy vegetation of types required in this section within the setback planting plan is encouraged. (2) Zone 2: Disturbed areas of Zone 2 must be revegetated with new or existing native grasses suited for the area. plantings in this area must be maintained in a natural state consistent with the approved setback planting plan and managed for good plant health. (3) The property owner is responsible for maintenance of the watercourse setback landscaping. If it can be demonstrated that irrigation is present for the trees and shrubs, and fencing is provided for the trees and shrubs, the number of required trees may be reduced to one tree for every 60 linear feet and one shrub for every 20 linear feet of the watercourse along each side of the watercourse. (4) Planting materials are exempt from the size requirements of 38.550.050.F. (5) To prevent soil erosion and the invasion of noxious weeds, the watercourse setbacks must be covered with existing vegetation or must be seeded with native grasses as soon as seasonally feasible. (6) Use of native grasses, forbs, sedges, trees, and other herbaceous plants in areas of disturbance (e.g., bridges, culverts, utilities installation, trails) within the watercourse setback is required. e. If irrigation is to be installed in the setback, an irrigation plan must be provided pursuant to 38.220.100 and the irrigation system, but not the plantings, must comply with requirements outlined in the most recent version of the City of Bozeman Landscape and Irrigation Performance and Design Standards Manual. f. Except as otherwise allowed in subsections D.2.c and D.2.d of this section, disturbance of soils and existing vegetation is prohibited in the setback. g. Nothing in this section prohibits an owner of affected property from: (3) Combining two or more lots to assemble a larger and more usable lot; (4) Petitioning the state department of fish, wildlife and parks and the county conservation district to reclassify the watercourse as exclusively an irrigation water user facility; or (5) After receipt of required permits, and prior approval by the review authority, relocating the watercourse and associated setbacks and requirements. E. An applicant may request relief from the provisions of this division by: 1. Applying for a variance to dimensional standards of the watercourse setbacks as allowed by and subject to the requirements of division 38.250; 2. When applicable, seeking a deviation to dimensional standards of the watercourse setback as allowed by and subject to the requirements of division 38.430; 127 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 11 of 24  3. A departure from the watercourse setback may be approved by the review authority when the review authority has made the following findings: a.  The applicant has demonstrated by sufficient evidence the site cannot be developed in compliance with the setback standards; b. The property received preliminary plat approval or other final approval to develop prior to July 10, 2002; c.  Application of the applicable watercourse setback and other applicable setbacks causes an existing parcel to have its buildable area reduced to 25% or less of the total lot area. Notwithstanding the above, the review authority may grant a departure greater than 25% from the applicable watercourse setback if the review authority determines other criteria of this subsection E.3 are met and the encroachment on the watercourse setback will not adversely affect sediment, nutrient and pollution removal or the provision of habitat and shade or flood control and will not have an adverse effect upon the stabilization of the watercourse bank; and d. The departure may not reduce a setback to less than: (1) 100-foot setback adjacent to or within the regulated flood hazard area of the East Gallatin River. (2) 35-foot setback adjacent to or within any regulated flood hazard area of any other watercourse. (3) A portion of the required setback, immediately adjacent to the ordinary high-water mark, must be left in a natural vegetative state or be subject to a setback planting plan as follows: (a) East Gallatin River—60 feet. (b) Other watercourses—21 feet. 4. Miscellaneous. a. The watercourse setback must be depicted on all preliminary plats and plans. A note identifying presence of watercourse and setbacks must be provided on final plats and plans and include notice that setback standards are subject to change prior to future development within the subdivision. b. This section does not apply to uses, activities, and structures which existed on or before July 10, 2002, including agricultural uses, agricultural water user facilities, lands controlled in the conservation reserve program. Any agricultural uses, activities, or structures established after July 10, 2002 must comply with these regulations. 128 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 12 of 24  FIGURE 38.410.100 - 1. WATERCOURSE MINIMUM NUMERIC SETBACKS FIGURE 38.410.100 - 2. WATERCOURSE SETBACKS WITH A REGULATORY FLOOD HAZARD AREA 129 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 13 of 24  FIGURE 38.410.100 - 3. WATERCOURSE SETBACKS WITH ADJACENT WETLANDS Section 4 That Division 38.610, Wetland Regulations, Bozeman Municipal Code shall be repealed in its entirety and replaced as follows: DIVISION 38.610, WETLAND REGULATIONS Sec. 38.610.010. Title and applicability/Jurisdiction. A. This division may be cited as the “wetlands regulations”. B. These wetland regulations apply to land which exhibit positive wetland indicators for all three wetland parameters defined in 38.700.210. C. These wetland regulations apply to applications for development that may impact wetlands, and these regulations also apply to actions that modify or impact a wetland on land not associated with the development proposal. D. The city has concurrent jurisdiction over federally jurisdictional wetlands, defined as wetlands that are regulated by a federal agency. E. The regulations in this division do not require mitigation of wetlands created by agricultural water user facilities or wetlands created by stormwater facilities. F. The obligation to comply with issued approvals and maintain approved mitigation runs with the land. G. This division 38.610 does not repeal, abrogate, supersede, or impair any existing restriction imposed by federal or state law. This division may impose more stringent requirements than federal or state law. If this division imposes greater or more stringent requirements than a privately imposed deed restriction or agreement, the provisions of this division control. 130 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 14 of 24  Sec. 38.610.020. Intent and purpose. A. Wetlands perform important public health, safety, and welfare functions. The intent and purpose of this division 38.610 is to protect, preserve and enhance wetlands to provide: 1. Aquifer recharge; 2. Water storage; 3. Regional stream hydrology (discharge and recharge); 4. Flood control and storage; 5. Sediment control (filter for sediments and nutrients); 6. Nutrient removal from urban and non-point source runoff; 7. Habitat for fish, wildlife and plants (including those that are endangered or threatened); and 8. Erosion control. B. Wetlands provide important values that enhance the quality of life of community residents and benefit the public welfare of the community. It is the intent of this division 38.610 to protect, preserve and enhance wetlands to provide: 1. Recreation; 2. Open space; 3. Aesthetic considerations; 4. Education and research; 5. Historical, cultural and archaeological resources; and 6. Reduce public costs related to wastewater discharge permit compliance and water quality enhancements and protections. C. Wetlands can present significant constraints to development. It is the intent of these regulations to protect public and private facilities and structures from damage, minimize risk to public and private development, and reduce maintenance costs. D. This division requires an applicant to first avoid impacts to wetlands and if avoidance is not feasible to minimize impacts and mitigate impacts. Minimization of regulated activities within regulated areas may be achieved by integration of regulated areas with required parklands and open space. This division recognizes that impacts to regulated areas may occur to advance other adopted policies and goals of the city. E. Nothing in this division 38.610 may be construed to prevent irrigators from diverting water pursuant to water rights or owners of such rights from exercising those rights including maintenance of agricultural water conveyance facilities. F. Nothing in this division 38.610 may be construed to prevent compliance with applicable state or federal statutes and regulations. 131 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 15 of 24  G. The purpose of this division is to balance the benefits of land development, such as housing and job creation, with the benefits wetlands provide to the community. Sec. 38.610.030. Application of wetland regulations. A. These regulations apply to any regulated activity as described in 38.610.050 which may impact wetlands and which impacts are known prior to, or discovered through the development review process, and which are verified through a site-specific wetland boundary delineation. When any regulated activity is proposed, a wetlands boundary delineation must be conducted. If the wetlands delineation indicates wetlands are not present on or adjacent to the property, the review authority may determine these regulations do not apply. If wetlands exist on the property, the proposed development is subject to these wetland regulations and the provisions of this division 38.610 will be applied in addition to any other applicable regulations of this code. If site conditions exist that indicate wetlands could potentially be present on the property, the review authority may require the following be provided with the submittal of an application for development: 1. A wetlands boundary delineation pursuant to 38.220.130 and 38.610.040 must be prepared by a qualified wetland professional in accordance with the most current version of the USACE Wetland Delineation Manual of the U.S. applicable to the USACE Omaha District and Regional Supplement to the Corps of Engineers Wetland Delineation Manual: Western Mountains. 2. A qualified wetland professional is an individual with a minimum of a bachelor's degree in a water resource related field, five years' experience in a wetland related field, and/or a professional wetland scientist certification. 3. If wetlands do not exist on the subject property, a letter from a qualified wetland professional must be submitted certifying the same. B. Wetlands which are not within the jurisdiction of a federal agency, and which are less than 400 square feet are exempt from this division 38.610 unless the wetland provides habitat for the following species as confirmed by a state or federal agency: 1. Habitat for plant, animal or other wildlife species listed as threatened or endangered under federal law; 2. Habitat for plant, animal or other wildlife species listed as a species of concern, species of potential concern, or species on review as determined by the state; or 3. A portion of a mosaic of wetland areas interspersed with upland areas and other habitat types with interconnected ecological functions. C. Any development for which the watercourse setback requirements of 38.410.100 are provided and do not result in any wetland impact is considered to have addressed the 132 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 16 of 24  requirements of this division 38.610. Notwithstanding the above, the permitting regulations of this division for activities identified in 38.610.050 apply. D. Applicants must avoid impacts to regulated wetlands. If the applicant demonstrates impacts to wetlands cannot be avoided, the review authority may approve development that impacts wetlands if such impacts are minimized, and appropriate mitigation is provided. Sec. 38.610.040. Wetlands boundary and jurisdictional determinations. A. The USACE is the only entity that may issue an Approved Jurisdictional Determination. B. The review authority may rely on the wetland delineation and the Approved Jurisdictional Determination submitted with the application. 1. If the Approved Jurisdictional Determination indicates federal jurisdiction over the wetlands exists, and impacts to the wetlands are proposed, the applicant must submit a copy of the applicant’s Clean Water Act Section 404 permit application to the city concurrent with the application for development under this chapter. 2. If the Approved Jurisdictional Determination indicates federal jurisdiction over the wetlands does not exist, and impacts to the wetlands are proposed, the applicant must comply with the regulations of this chapter and obtain approval from the review authority for any impacts and the required mitigation. The city will determine the extent of and means of mitigation subject to 38.610.100. 3. Regardless of jurisdictional status, the city will review the submitted material under local jurisdiction for any regulated activities in a wetland. All development is subject to the review process of division 38.230. 4. If federal jurisdiction is later determined to exist, the applicant must comply with any requirements of USACE. 5. Approval by the city to impact wetlands in no way implies a determination by the city of USACE jurisdiction or federal regulations. 6. A wetland delineation and boundary determination are valid for five years from the original report date. Sec. 38.610.050. Regulated activities. A. The activities listed in this section are prohibited within a wetland, regardless of federal or city jurisdictional status unless the proposed activity is approved by the entity having jurisdiction. B. Any activity which reduces the size of a wetland or reduces the degree to which a wetland performs any function identified in the wetland delineation report is subject to the requirements of this division 38.610. Such activities include but are not limited to: 133 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 17 of 24  1. Placement of any material, including any soil, sand, gravel, mineral, aggregate, organic material, or water; 2. Construction, installation, or placement of any obstruction, or the erection of a building, trail, boardwalk, or other structure; 3. Removal, excavation, or dredging of solid material of any kind, including any soil, sand, gravel, mineral, aggregate, or organic material; 4. Removal of any existing vegetation or any activity which will cause any loss of vegetation; 5. Alteration of the surface water level or ground water table by any means, including draining, ditching, trenching, impounding, or pumping; and 6. Disturbance of existing surface drainage characteristics, sedimentation patterns, flow patterns, or flood retention characteristics by any means, including grading and alteration of existing topography. Sec 38.610.060. Activities allowed without a permit. A. Except for wetlands under federal jurisdiction, the activities listed in this section are permissible without prior approval by the review authority, if such activity does not reduce the size of a wetland or does not significantly reduce the degree to which a wetland performs any function. Notwithstanding the above, such activity must comply with any other applicable local, state, or federal law. Activities permissible without a city development approval may include: 1. Maintenance of an existing and lawful public or private road, structure or facility, including but not limited to drainage or stormwater facilities, water conveyance structures, dams, fences, trails, or any facility used to provide transportation, electric, gas, water, telephone, telecommunications or other services provided that these activities do not materially change or enlarge any road, structure or facility; 2. Maintenance of an existing farm or stock pond, an agricultural water user facility, agricultural fence, or drainage system; 3. Weed control consistent with a Noxious Weed Management and Revegetation Plan approved by the county weed control district or other maintenance activities to remove or control state identified noxious weeds; 4. Continuation of existing agricultural practices such as the cultivation and harvesting of hay or pasturing of livestock, or a change of agricultural practices which has no greater impact on wetland function; 5. Conservation or preservation of soil, water, vegetation, fish, and other wildlife; 6. Outdoor recreational activities, such as fishing, bird watching, hiking, floating, and swimming which do not harm or disturb the wetland; 134 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 18 of 24  7. The harvesting of wild crops; 8. Education and scientific research; 9. Minor improvements and landscape maintenance outside a wetland but within a previously approved watercourse setback or wetland buffer, including but not limited to the pruning of trees, mowing of grass, and removal of dead vegetation and debris; and 10. Activities in a wetland previously approved pursuant a wetland permit or city development approval, including but not limited to removal of debris and maintenance of vegetation and wildlife habitat. B. If federal jurisdiction exists, the applicant must comply with all requirements of the USACE or any other state or federal agency having jurisdiction. Sec. 38.610.070. Application requirements and procedures for activities in wetland areas. A. All proposals for regulated activities in wetlands areas must be reviewed by the review authority. The applicant must prepare a functional assessment for all wetlands using an assessment tool currently accepted by the Omaha District of the USACE or the State of Montana. If wetland impacts are proposed in association with a development permit, application must follow the review process for the development permit. B. If a regulated activity is proposed for a regulated wetland area, but the regulated activity is not proposed in conjunction with a land development proposal, the applicant must submit a sketch plan application for decision by the review authority. C. The applicant is prohibited from taking or engaging in a regulated activity that impacts a wetland until authorized to do so by the review authority. D. The applicable information required in division 38.220 must be submitted for all regulated activities proposed for regulated wetland areas. Sec. 38.610.080. Review standards/Minimum Wetland Buffer. A. The review authority may approve an application under this division 38.610 after having considered the applicant’s documentation of: 1. The functions and values described in 38.610.030 and as determined by a USACE accepted method of functional assessment of the wetland that may be affected by the proposed regulated activity; 2. The extent and permanence of adverse effects of the regulated activity on the wetland and any associated watercourse; 3. Any proposed mitigation; and 4. The applicant’s demonstration: a. that any unavoidable adverse impacts on the wetland have been minimized; and 135 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 19 of 24  b. the activity will result in minimal impairment to any wetland function, including the following: 1. Plant, animal or other wildlife species listed as threatened or endangered under federal law; or 2. Plant, animal or other wildlife species listed as a species of concern, species of potential concern, or species by the state. B. Minimum Wetland Buffer. All development must provide a minimum wetland buffer of ten feet from the edge of the delineated wetland wherein any disturbance to the wetland buffer including construction activities is prohibited. The review authority may require a larger wetland buffer based on the wetland delineation report. Sec. 38.610.090. Wetland approval conditions. The review authority may require mitigation as provided for in 38.610.100 and impose conditions of approval for proposed regulated activities that are necessary to mitigate impacts to wetlands, or which are necessary to mitigate infringement upon wetlands and wetland buffers, or negative indirect or direct effects on the functionality of wetlands and wetland buffers. Conditions of approval may include but are not limited to, the following: A. Notwithstanding the minimum wetland buffer, requiring a wetland buffer of a size appropriate for the proposed activity and the regulated wetland as determined by the review authority; B. Requiring structures be appropriately supported and elevated or otherwise protected against hazards; C. Modifying proposals for waste disposal, stormwater, or water supply facilities; D. Requiring protective covenants between the landowner and the city regarding the future development, use, and subdivision of lands, including but not limited to the preservation of undeveloped areas as open space and restrictions on vegetation removal; E. Requiring a protective covenant between the landowner and the city stating the measures that will be taken to protect all water resources, mitigation, and buffer areas; F. Requiring erosion control and stormwater best management practices (BMPs); G. Clustering structures or development; H. Restricting fill, deposit of soil, and other activities which may be detrimental to a wetland; I. Modifying the project design to ensure a reliable source and flow of water to the regulated wetland; J. Requiring or restricting maintenance of a regulated wetland area for the purpose of maintaining wetland functions; K. Requiring a mitigation monitoring report to be submitted to the review authority (the period and frequency of the reporting will be determined on a case-by-case basis); and 136 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 20 of 24  L. Requiring that all reasonable effort be made to limit indirect impacts to vegetation and hydrological connectivity in the site design. Sec. 38.610.100. Wetland mitigation. A. Adverse wetland impacts must be mitigated regardless of wetland jurisdictional status in the following order of priority except as may be required or authorized by the USACE for wetlands within USACE jurisdiction: 1. Impacts must be mitigated on-site where feasible to do so. Using an approved wetland functional assessment methodology, the replacement function and value of the on-site mitigation wetland must meet or exceed the functions and values of the impacted wetland. If conditions are not suitable for establishing on-site mitigation, the review authority may authorize an alternative mitigation as described in subsections A.2-6. On-site mitigation must be conducted in accordance with methods and standards established by the USACE. Factors the review authority may consider in determining feasibility of on-site mitigation include but are not limited to: available area; the availability and reliability of water to serve the mitigation site; soil and vegetation types; wetland size and functional class; existing and future land use; compliance with adopted land use plans; and the city’s current and future planned transportation network. 2. If mitigation is not suitable on-site, impacts must be mitigated through the purchase of wetland mitigation credits from a wetland bank authorized by the USACE and which is located within the East Gallatin River watershed. 3. If an authorized wetland bank is not available in the East Gallatin watershed, impacts must be mitigated through the purchase of wetland mitigation credits from a wetland bank authorized by USACE and which is located within the Gallatin River watershed; 4. If a wetland bank is not available within the Gallatin River watershed, the developer must provide a proportional payment to an in-lieu fee wetland mitigation provider authorized by the USACE to develop wetland mitigation projects within the Gallatin River watershed; and 5. If a wetland in-lieu fee provider authorized by the USACE is not available within the Gallatin River watersheds, the developer must obtain wetland mitigation credits from the geographically nearest wetland bank authorized by the USACE. B. The city commission may, pursuant to Resolution, establish standards that: 1. Require a decrease in the compensatory value of mitigation bank credits as distance to the bank increases from the location of wetland adversely impacted; and 2. Ensure the amount of mitigation credits or acreage of wetland mitigation required are reasonably related to the area and functional class of the impacted wetland. 137 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 21 of 24  Sec. 38.610.110. Administrative procedures authorized. A. The city manager or designee may adopt and amend administrative procedures to implement this division. The administrative procedures include, but are not limited to, the following items: 1. Guidelines necessary to conduct an analysis of alternatives to the proposed action related to the prioritization of mitigation as provided for in 38.610.100; 2. Coordination with stormwater management practices; 3. Coordination with USACE to avoid duplication of wetland mitigation bank credits; 4. Procedures for provision of payment to USACE authorized in-lieu-fee provider for wetland impacts or mitigation; 5. Requirements for wetlands delineation and wetland Jurisdictional Determination reports; 6. Procedures for certification of wetland delineation and opinion of wetlands jurisdictional status reports; 7. Guidelines related to the content of a required monitoring report; 8. Procedures to implement 38.610.100 including procedures related to timing of mitigation prior to construction of construction of improvements; 9. Requirements for wetland mitigation plans including ensuring long-term protections for off-site mitigation such as an easement or protective covenant that cannot be removed without consent of the city; 10. Fees for wetland review and mitigation prioritization; and 11. Guidelines for local in-lieu-fee program Section 5 That Section 38.700.190. - U definitions, Bozeman Municipal Code shall be amended as follows to add: USACE. When referred to in this chapter, USACE means the United States Army Corps of Engineers. Section 6 That Section 38.700.210. - W definitions, Bozeman Municipal Code shall be amended as follows: Watercourse Setback. A fixed distance applied from the ordinary high-water mark. Wetland. A. Those areas that are inundated or saturated by surface water or groundwater at a frequency and duration sufficient to support, and that under normal circumstances do support, a 138 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 22 of 24  prevalence of vegetation typically adapted for life in saturated soil conditions, and meet the established criteria briefly described below: 1. Vegetation. A prevalence of hydrophytic vegetation. Hydrophytic species, due to morphological, physiological, and/or reproductive adaptation, have the ability to grow, effectively compete, reproduce, and/or persist in anaerobic soil conditions.; 2. Soils. A hydric soil is a soil that formed under conditions of saturation, flooding, or ponding long enough during the growing season to develop anaerobic conditions in the upper part.; and 3. Hydrology. The area is inundated either permanently or periodically, or the soil is saturated to the surface at some time during the growing season of the prevalent vegetation at a duration sufficient to induce anaerobic and reducing conditions. Wetland Buffer. Except for the minimum buffer established by this chapter, a variable distance applied from the edge of a delineated wetland and determined by the review authority based on an analysis of the resource and expected adjacent activities as necessary to protect the wetland from adverse impacts to its function and value. Section 7 Repealer. All provisions of the ordinances of the City of Bozeman in conflict with the provisions of this ordinance are, and the same are hereby, repealed and all other provisions of the ordinances of the City of Bozeman not in conflict with the provisions of this ordinance shall remain in full force and effect. Section 8 Savings Provision. This ordinance does not affect the rights and duties that matured, penalties that were incurred or proceedings that were begun before the effective date of this ordinance. All other provisions of the Bozeman Municipal Code not amended by this Ordinance shall remain in full force and effect. Section 9 Severability. That should any sentence, paragraph, subdivision, clause, phrase or section of this ordinance be adjudged or held to be unconstitutional, illegal, or invalid, the same shall not affect the validity of this ordinance as a whole, or any part or provision thereof, other than the part so 139 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 23 of 24  decided to be invalid, illegal or unconstitutional, and shall not affect the validity of the Bozeman Municipal Code as a whole. Section 10 Codification. This Ordinance shall be codified as indicated in Section 2 – 6. Section 11 Effective Date. This ordinance shall be in full force and effect thirty (30) days after final adoption. PROVISIONALLY ADOPTED by the City Commission of the City of Bozeman, Montana, on first reading at a regular session held on the _____ day of ________________, 2025. ____________________________________ TERENCE CUNNINGHAM Mayor ATTEST: ____________________________________ MIKE MAAS City Clerk 140 Ordinance No. 2025‐xxx, Replacement of Division 38.610 Wetlands and Section 38.410.100    Ord 2156  Page 24 of 24  FINALLY PASSED, ADOPTED AND APPROVED by the City Commission of the City of Bozeman, Montana on second reading at a regular session thereof held on the ___ of ____________________, 2025. The effective date of this ordinance is ______________, 2025. _________________________________ TERENCE CUNNINGHAM Mayor ATTEST: _______________________________ MIKE MAAS City Clerk APPROVED AS TO FORM: _________________________________ GREG SULLIVAN City Attorney 141 Memorandum REPORT TO:Community Development Board FROM:Chris Saunders, Community Development Manager Erin George, Community Development Director SUBJECT:Upcoming Items for the Sept 15th, 2025, Community Development Board Meeting MEETING DATE:September 8, 2025 AGENDA ITEM TYPE:Citizen Advisory Board/Commission RECOMMENDATION:Information only, no action required. 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:The following items are presently scheduled for review at the Sept 15, 2025, Community Development Board meeting: 1. Report on public engagement and progress outline for Montana Land Use Planning Act implementation of the Bozeman Community Plan technical compliance update, application 23333 [external link]. Considered in the role of the Planning Commission. 2. Hidden Creek Preliminary Plat, application 24533 [external link], considered in role as the Planning Board. 3. SRX II Preliminary Plat, application 24112 [external link], considered in role as the Planning Board. 4. Unified Development Code update continued discussion, application 21381 [external link] considered in role as the Planning Commission. UNRESOLVED ISSUES:None. ALTERNATIVES:None. FISCAL EFFECTS:No budgeted funds are expended with this item. 142 Report compiled on: September 3, 2025 143 Memorandum REPORT TO:Community Development Board FROM:Chris Saunders, Community Development Manager Erin George, Community Development Director SUBJECT:Bozeman Community Plan Annual Implementation Report MEETING DATE:September 8, 2025 AGENDA ITEM TYPE:Plan/Report/Study RECOMMENDATION:Receive information 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:The Bozeman Community Plan sets out the community's vision for future development. Chapter 2 identifies themes, goals, and objectives to improve and maintain the community. Chapter 4, Implementation, identifies a short list of actions to be taken to begin implementation of objectives, establishes a series of metrics to be tracked, and requires an annual report on actions taken to implement the plan. Attached is this year's annual report. It identifies, by objective, actions taken and the status of actions that are currently underway. Report covers the period from July 1, 2024 to June 30, 2025. The City has also created a dashboard [External link] to track status of the metrics established in Chapter 4. UNRESOLVED ISSUES:None. ALTERNATIVES:None. FISCAL EFFECTS:None. Attachments: 2025 Annual Report.pdf Report compiled on: September 3, 2025 144   Page 1 of 26      BOZEMAN COMMUNITY PLAN 2020 ANNUAL IMPLEMENTATION REPORT  July 1, 2024 – June 30, 2025  The Bozeman City Commission adopted the Bozeman Community Plan 2020 on November 17, 2020. The  plan includes many policies to guide public and private actions. Chapter 4 addresses implementation of  the Bozeman Community Plan 2020. To observe and monitor plan effectiveness, the plan calls for an  annual report on actions taken to implement the plan. This report fills that requirement and covers  actions taken between July 1, 2024 – June 30, 2025.  The plan horizon is 20 years. The plan will be reviewed five years after adoption and updated as needed.  Implementation of the plan occurs through a wide variety of City and partner organization actions. Plan  implementation may be a one‐time action or on‐going work. This report covers two elements of the  plan.  1)  Short‐term action list ‐ A group of actions drawn from the objectives of the plan (pasted below for  reference). Each item advances a range of objects and represent items the Planning Board (now the  Community Development Board) considered important priorities. Responses to the action items are  presented in the detailed descriptions of implementation actions for each objective, starting on  page 2.   2)  Goals & Objectives ‐ An item‐by‐item response for each objective. If no specific action is listed then  no individual action has been taken on that item so far, or actions taken were not provided to  Community Development.   Italics with purple font color in the Implementation Actions column indicate work that occurred  during the reporting period of July 1, 2024 – June 30, 2025  3) Plan metrics ‐ Targets for each indicator are measured over time ranges of one to three years. The  City has established an online dashboard to track and report on progress for these indicators.    SECTION 1. SHORT‐TERM ACTION LIST  The Bozeman Community Plan 2020 identifies many actions and objectives to address the listed goals.  Many actions are ongoing. Some are specific shorter‐term actions to implement this Plan. The following  list is not listed in any order of priority and is drawn from those shorter‐term actions listed in Chapter 2.  For details on implementation of each short‐term action see the referenced objectives in Section 2 of  this report.  145   Page 2 of 26    1. Review potential upzoning to implement objectives N‐1.1, N‐1.2, and N‐1.4.  2. Evaluate zoning map changes needed to implement objectives N‐1.3, N‐2.1, N‐2.2, and N‐3.9  consistent with factors identified in Chapter 5, Zoning Amendment Review.   3. Evaluate design standards as identified in objectives N‐1.7 and N‐2.4. Buildings are to be capable of  serving an initial residential purpose and be readily converted to commercial uses when adequate  market support for commercial services exists.  4. Evaluate revisions to maximum building height limits in multi‐household, commercial, industrial, and  mixed‐use zoning districts to account for revised building methods, building code changes, and the  effect of incremental changes on meeting goals of this plan as noted in objective DCD‐2.4.  5. Update land development standards to implement the Integrated Water Resources Plan as  identified in objective EPO‐3.5.  6. Identify missing links in the multimodal system, prioritize those most beneficial to complete, and  pursue funding for completion of those links as noted in objectives M‐1.4, M‐1.9, and M‐1.11.  7. Evaluate parking requirements and methods of providing parking as part of the overall  transportation system for and between districts as noted in objective M‐1.12.  8. Revise current intersection level of service design standards to multimodal level of service or traffic  stress for people walking, biking, and using transit as identified in objective M‐1.3.  9. Prepare for establishment of a Metropolitan Planning Organization, anticipated to be required after  the completion of the 2020 US Census and noted in objective RC‐1.6.  10. Establish standard practices for sharing development application information and exchanging  comments between the City and County as identified in objective RC‐3.5.  11. Revise the zoning map to harmonize with the future land use map as noted in objectives N‐1.3, N‐ 2.1, N‐2.2, EE‐1.6, and RC‐4.4.  12. Update the UDC to reflect density increases or minimums within key districts as noted in objectives  DCD‐1.4, EPO‐1.6, and RC‐4.4.  13. Retain firm that specializes in form‐based development codes to evaluate the City's UDC, especially  with regard to completing the transition to a form‐based code and simplification so that it can be  understood by the general public and consistently applied by planning staff.   14. Work with partner organizations to implement EPO‐1.5 to identify and reduce impacts on  environmentally sensitive areas.      146   Page 3 of 26    SECTION 2. PLAN THEMES, GOALS, AND OBJECTIVES  THEME 1: A RESILIENT CITY | GOALS, OBJECTIVES, AND ACTIONS  Our City desires to be forward thinking, collaborative, and deliberate in planning and execution of plans  and policies to enable our community to successfully ride the waves of change.  Goal R‐1: Continue to strengthen and develop resilience  as a community.   Implementation Actions  R‐1.1. Be reflective: use past experience to inform future  decisions.    Experience in existing code and plan  usage does and will inform amendments  to improve processes and standards.  R‐1.2. Be resourceful: recognize alternative ways to use  resources.     R‐1.3. Be inclusive: prioritize broad consultation to  create a sense of shared ownership in decision making.    The Engage Bozeman community input  tool was created and is in use for the  ongoing UDC update, wetland regulation  update, and many other projects. The  UDC update expanded public outreach to  Spanish language materials and input  brochure techniques not previously used.  https://engage.bozeman.net/udc  R‐1.4. Be integrated: bring together a range of distinct  systems and institutions.   UDC update is underway and cross  issue/department coordination is part of  that, e.g., climate action plan and water  conservation plan implementation  coordination.  R‐1.5. Be robust: well‐conceived, constructed, and  managed systems.    The PRAT plan was adopted fall 2023 and  updated park and related system  priorities. The City adopted the 2023  Water Conservation and Efficiency Plan.  The wastewater collection plan update  was approved by Resolution 5664 on Dec  17, 2024. The Storm Water Facilities Plan  was approved by Resolution on May 6,  2025.  R‐1.6. Be redundant: spare capacity purposefully created  to accommodate disruption.    Annual CIP and utility maintenance  provides robust infrastructure that can  service a wide range of development  alternatives and short‐term disruption  responses.  147   Page 4 of 26    R‐1.7. Be flexible: willingness and ability to adopt  alternative strategies in response to changing  circumstances.    Analysis of water conservation options –  City Commission work session completed  Feb. 15, 2022. Code amendments were  developed for public review and  approved by the Commission in April  2024.  Goal R‐2: Pursue community decisions in a manner that  supports resilience.   Implementation Actions  R‐2.1. Co‐Benefits: Provide solutions that address  problems across multiple sectors, creating maximum  benefit.    UDC update is underway and cross issue  coordination is part of that, e.g. climate  action plan and water conservation plan  implementation coordination as well as  growth policy.  R‐2.2. High Risk and Vulnerability: Ensure that strategies  directly address the reduction of risk to human well‐ being, physical infrastructure, and natural systems.    Adopted Ordinance 2057 in March 2021  to update floodplain regulations to best  practices.  R‐2.3. Economic Benefit‐Cost: Make good financial  investments that have the potential for economic  benefit to the investor and the broader community both  through direct and indirect returns.    Annual capital improvement program  coordinates funding sources and  construction to create best value  outcomes in conjunction with community  priorities and plans such as supporting  compact development and  redevelopment.   R‐2.4. Social Equity: Provide solutions that are inclusive  with consideration to populations that are often most  fragile and vulnerable to sudden impacts.    PRAT plat update and UDC update  project used new outreach tools to reach  to multiple languages and user groups  less frequently engaged in planning  processes locally. Adopted new  incentives based affordable housing  program to conform to state law  changes. Adopted planned development  zone supporting affordable housing and  sustainable project design.  R‐2.5. Technical Soundness: Identify solutions that  reflect best practices that have been tested and proven  to work in similar local or regional contexts.   UDC update is underway and  incorporates local and regional lessons  and best practices. 2024 Water  conservation amendments are based on  best practice learning from around the  west.  148   Page 5 of 26    R‐2.6. Innovation: Advance new approaches and  techniques that will encourage continual improvement  and advancement of best practices.   UDC update is underway and cross issue  coordination is part of that work.  R‐2.7. Adaptive Capacity: Include flexible and adaptable  measures that consider future unknowns of changing  climate, economic, and social conditions.    Annual CIP and utility maintenance  provides robust infrastructure that can  service a wide range of development  alternatives. UDC update is underway  and includes additional latitude and  authority for on‐site and shared power  generation. City is researching updates to  wetland regulations to account for  changed federal regulations and local  needs.  R‐2.8. Harmonize with Existing Activity: Expand,  enhance, or leverage work being done to build on  existing efforts.    Water Conservation and Efficiency Plan  adopted in 2023. Water conservation  code amendments in review spring 2024  build on over a decade of water  conservation planning work. Engineering  design standards were updated in 2024  and are being integrated with the UDC  update.  R‐2.9. Long‐Term and Lasting Impact: Create long‐term  gains to the community with solutions that are replicable  and sustainable, creating benefit for present and future  generations.    Analysis of water conservation options –  City Commission work session completed  Feb. 15, 2022. Code amendments were  developed for public review and  approved by the Commission in April  2024. The update to the Integrated  Water Resources Plan began in 2025,  data on this project is available at  engage.bozeman.net.  THEME 2: A CITY OF UNIQUE NEIGHBORHOODS | GOALS, OBJECTIVES, AND ACTIONS  Our City desires to be diverse, healthy, and inclusive, defined by our vibrant neighborhoods, quality  housing, walkability, excellent schools, numerous parks and trails, and thriving areas of commerce.  Goal N‐1: Support well‐planned, walkable  neighborhoods.   Implementation Actions  N‐1.1. Promote housing diversity, including missing  middle housing.     Incentives for affordable housing  including missing middle housing  adopted in Oct. 2022 with Ordinances  2105 and 2011. Ongoing UDC update is  evaluating district and standard changes  149   Page 6 of 26    for consideration in 2025. City updated  incentives for affordable housing in  38.340 in February 20205.   N‐1.2. Increase required minimum densities in  residential districts.   UDC update is underway and  reevaluation of minimum densities is part  of that work.  N‐1.3. Revise the zoning map to lessen areas exclusively  zoned for single‐type housing.   UDC update includes consolidation of  districts that will implement this task.  N‐1.4. Promote development of accessory dwelling units  (ADUs)     Ord. 2011 created 38.320.070 which  includes additional flexibility for creating  ADUs. Ord. 2091 authorized ground level  ADUs and removed ADU parking  requirements.    N‐1.5. Encourage neighborhood focal point development  with functions, activities, and facilities that can be  sustained over time. Maintain standards for placement  of community focal points and services within new  development.    Many neighborhood focal points are  parks. The PRAT plan which considers  best features and functions for parks was  updated and adopted in Fall 2023.  N‐1.6. Encourage urban agriculture as part of focal point  development, in close proximity to schools, and near  dense or multi‐unit housing.   UDC update draft includes urban  agriculture uses and standards for  evaluation.  N‐1.7. Review and where appropriate, revise block and  lot design standards, including orientation for solar  power generation throughout city neighborhoods.    Lot and block standards were reviewed in  2022 as part of evaluating potential edits  to the UDC.  N‐1.8. Install, replace, and maintain missing or damaged  sidewalks, trails, and shared use paths.    City has pursued grants for funding and  completed missing path sections along N.  19th Avenue.  A gap analysis for the  ped/bike network began in May 2024.  City is pursuing federal funding for  installation of facilities.  N‐1.9. Ensure multimodal connections between adjacent  developments   a) 38.520.040 and other code sections  require connections. This code is applied  with all appropriate development.   b) Engineering staff and the TDM  Coordinator routinely review  development applications for best  practices as well as standards and code  adopted by the City.   c) The city integrates these facilities with  all road rebuild or expansion projects.   150   Page 7 of 26    N‐1.10. Increase connectivity between parks and  neighborhoods through continued trail and sidewalk  development. Prioritize closing gaps within the network.    This issue is included in the scope of the  Parks, Recreation, and Active  Transportation Plan [PRAT] (adopted in  Sept 2023) with a focus on establishing  an understanding of priority routes to  parks and open space amenities and  facilities in addition to identifying missing  connections and creating a  comprehensive wayfinding plan.    N‐1.11. Enable a gradual and predictable increase in  density in developed areas over time.    Ord. 2011 adopted in Oct 2022 provides  additional flexibility for small infill  development that creates additional  homes. After due public process 21 Zone  Map Amendments were approved  increasing allowed intensity of  development on previously zoned  property. One was completed during the  reporting period. Revisions to the UDC  are opening opportunities by increasing  allowed scope of allowed development in  districts and combining residential  districts.  N‐1.12. Encourage major employers to provide  employee housing within walking/biking distance of  place of employment.    The Transportation Demand  Management (TDM) plan has a provision  to focus on programmatic and  educational outreach and engagement to  reach out to workplaces to encourage  them to support staff using active modes  and alternative work environments (e.g.,  work from home), in turn making  employment and housing more flexible.  Goal N‐2: Pursue simultaneous emergence of  commercial nodes and residential development  through diverse mechanisms in appropriate locations.    Implementation Actions  N‐2.1. Ensure the zoning map identifies locations for  neighborhood and community commercial nodes early  in the development process.    Correspondence between the future land  use map and the zoning map provide this  surety.  N‐2.2. Revise the zoning map to support higher intensity  residential districts near schools, services, and  transportation.   Two applications for zone map  amendments increasing allowed intensity  at 1920 W Babcock and 1519 Alder Court  151   Page 8 of 26    was approved during this reporting  period.  N‐2.3. Investigate and encourage development of  commerce concurrent with, or soon after, residential  development. Actions, staff, and budgetary resources  relating to neighborhood commercial development  should be given a high priority.   The UDC update is considering expanding  options for where in residential districts  services and retail may be constructed.  N‐2.4. Evaluate design standards. Encourage  development in appropriate districts of buildings that  are capable of serving an initial residential purpose and  be readily converted to commercial uses when adequate  market support for commercial services exists.   UDC update includes review of design  standards.   N‐2.6. Ensure that new development includes  opportunities for urban agriculture, including rooftop  and home gardens, community gardens, or urban farms.   Included with ongoing UDC update and  replacement   Goal N‐3: Promote a diverse supply of quality housing  units.   Implementation Actions  N‐3.1. Establish standards for provisions of diversity of  housing types in a given area.     N‐3.2. Review zoning districts to assess the range of  housing types in each district.   Included for public review and comment  with UDC update and replacement.   N‐3.3. Encourage distribution of affordable housing units  throughout the City with priority given to locations near  commercial, recreational, and transit assets.     Zoning map decisions have expanded  locations where LIHTC can practically be  constructed to all community quadrants.  Adopted affordable housing incentives in  38.380.030 are available anywhere in the  community. Several Low‐Income Housing  Tax Credit projects have been completed  or are under construction and more are in  the design, review, and permitting phase.  Sites are in all quadrants of the  community.  N‐3.4. Require development of affordable housing  through coordination of funding for affordable housing  and infrastructure.    City coordinated $5M grant funding  support to construct a sewer lift station  in exchange for a land dedication for  affordable housing. Extension of N 15th  Avenue with city funding to required lot  frontage for a LIHTC 155 home project,  and to meet transportation connectivity  152   Page 9 of 26    requirements for a senior living and a 2nd  LIHTC project totaling 232 homes.  N‐3.5. Strongly discourage private covenants that restrict  housing diversity or are contrary to City land  development policies or climate action plan goals.    City Commission identified creation of  sample covenants as a priority for the  2022‐2023 work period. A work session  was held on November 15, 2022. Final  draft model covenants were presented to  commission on November 21, 2023.  N‐3.6. Include adequate residentially designated areas  for anticipated future housing in the future land use  map.    The future land use map provides the  necessary area shown as needed in  Appendix D of the growth policy.  N‐3.7. Support compact neighborhoods, small lot sizes,  and small floor plans, especially through mechanisms  such as density bonuses.   Included for public review and comment  with UDC update and replacement.  N‐3.8. Promote the development of "Missing Middle"  housing (side by side or stacked duplex, triplex, live‐ work, cottage housing, group living,  rowhouses/townhouses, etc.) as one of the most critical  components of affordable housing.    Additional flexibility in location and  design are Included for public review and  comment with UDC update and  replacement. Updates to 38.340 revised  incentives for “missing middle” types of  housing.   N‐3.9. Ensure an adequate supply of appropriately  designated land to accommodate Low Income Housing  Tax Credit development in qualifying census tracts.    Zoning is in place. Qualifying census tract  designation is outside of the City’s  control. Revisions happened with release  with the 2020 Census information.  Goal N‐4: Continue to encourage Bozeman’s sense of  place.   Implementation Actions  N‐4.1. Continue to recognize and honor the unique  history, neighborhoods, neighborhood character, and  buildings that contribute to Bozeman’s sense of place  through programs and policy led by both City and  community efforts.    Updates to the historic preservation  program are underway. A consultant has  been selected to assist and the first phase  of the project concluded in spring of  2025. Phase 2 is now underway which  examines code revisions and updates to  the existing design guidelines.  N‐4.2. Incorporate features, in both public and private  projects, to provide organization, structure, and  landmarks as Bozeman grows.     N‐4.3. Revise Design Guidelines within the Conservation  Overlay District to distinguish Downtown from the  residential neighborhoods, to encourage neighborhoods   Phase 2 of the Landmark project is now  underway which examines code revisions  and updates to the existing design  guidelines.  153   Page 10 of 26    and neighborhoods near transition areas, both north and  south of Downtown.   N‐4.4. Ensure an adequate supply of off‐leash facilities to  meet the demand of Bozeman dog owners.    This issue is included in the scope of the  Parks, Recreation, and Active  Transportation Plan [PRAT] (adopted in  Sept 2023).  THEME 3: A CITY BOLSTERED BY DOWNTOWN AND COMPLEMENTARY DISTRICTS | GOALS,  OBJECTIVES, AND ACTIONS  Our City is bolstered by our Downtown, Midtown, University and other commercial districts and  neighborhood centers that are characterized by higher densities and intensities of use.  Goal DCD‐1: Support urban development within the  City.   Implementation Actions  DCD‐1.1. Evaluate alternatives for more intensive  development in proximity to high visibility corners,  services, and parks.   Evaluation of building height transitions  and impact mitigation is part of overall  UDC update.  DCD‐1.2. Remove regulatory barriers to infill.    Ord. 2011 adopted in Oct 2022 provides  additional flexibility for small infill  development that creates additional  homes. Definition of infill was adopted as  part of Ord. 2011. After due public  process 18 Zone Map Amendments were  approved increasing allowed intensity of  development on previously zoned  property. The City updated its annexation  policy to simplify process in spring 2025,  Resolution 2025‐07. 15 of 27 annexations  since plan adoption have wholly or  partially closed existing “holes” in the  City.   DCD‐1.3. Work with state regulatory agencies and the  legislature to remove disincentives in state law and  regulations to municipal development.    Staff engages with state rule making and  agencies to identify disincentives and  advocate for changes to support  equitable application of the laws. This is  an ongoing activity.  DCD‐1.4. Update the Unified Development Code (UDC)  to reflect density increases or minimums within key  districts.    Minimum density requirement changes  were directed by City Commission during  work session. Included for public review  and comment with UDC update and  replacement.  154   Page 11 of 26    DCD‐1.5. Identify underutilized sites, vacant, and  undeveloped sites for possible development or  redevelopment, including evaluating possible  development incentives.    The City’s annual land use inventory is  available online and can be cross  connected to zoning to identify possible  sites. The update to the Bozeman  Community Plan now underway is  identifying locations where  redevelopment may be appropriate.   DCD‐1.6. Investigate expansion of existing or creation of  new urban renewal areas to encourage redevelopment  of key properties.    The Pole Yard District was created in  December 2020.  DCD‐1.7. Coordinate infrastructure construction,  maintenance, and upgrades to support infill  development, reduce costs, and minimize disruption to  the public.    This is part of daily work activities across  multiple departments. Annual Capital  Improvement Program (CIP)  development formalizes these  evaluations.  DCD‐1.8. Collaborate with the Montana State University  School of Architecture and the Sustainable Foods and  Bioenergy Systems department to develop educational  materials and opportunities for local architects,  community planners, and citizens on how to do quality  urban design for infill and greenfield sites.      DCD‐1.9. Promote mixed‐use developments with access  to parks, open space, and transit options.    Update of standards for planned unit  development (Ord 2104) includes  method to remove property from  existing PUD and use current zoning  which is more favorable so such projects.  City has approved upzonings and initial  zonings for REMU and other districts that  support mixed use development.  The  PRAT Plan (adopted fall 2023) address  access to parks, open space, and the  provision for transit options. In addition,  the plan will explore the “level of  comfort” associated with accessing these  spaces throughout the community.  DCD‐1.10. Support University efforts to attract  development near campus.    Reviewed and approved MSUIC PDZ  spring 2024.   DCD‐1.11. Pursue annexations consistent with the future  land use map and adopted facility plans for development  at urban intensity.    Privately initiated annexations consistent  with this goal are encouraged.  City is not initiating annexations  currently. The City has approved all  155   Page 12 of 26    requested annexations during the  reporting period. 27 annexations  encompassing approximately 680 acres  have been finalized since adoption of the  Bozeman Community Plan.   DCD‐1.12. Prioritize the acquisition and/or preservation  of open space that supports community values,  addresses gaps in functionality and needs, and does not  impede development of the community.    Resolution 5353 authorized purchase of  12 acres to expand Burke Park. City  completed purchase of the southern end  of Burke Park in early spring 2022. The  PRAT plan was completed in fall 2023  and includes park design and recreation  guidelines and policies to align with  relevant Climate Plan priorities.   DCD‐1.13. Pursue acquisition and development of  diverse water sources and resources.    This is on‐going work for the Engineering  division. Planning and testing for a well  field on the southwest side of town is an  active 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.    Implementation Actions  DCD‐2.1. Coordinate infrastructure development, land  use development, and other City actions and priorities  through community planning.    This is part of daily work activities across  multiple departments. CIP development  formalizes these evaluations.  DCD‐2.2. Support higher density development along  main corridors and at high visibility street corners to  accommodate population growth and support  businesses.     Projects advancing this objective and  consistent with adopted standards have  been approved as their review was  completed.   DCD‐2.3. Review and update minimum development  intensity requirements in residential and non‐residential  zoning districts.    City Commission directed increase at  work session on districts during UDC  update. Work is ongoing.  DCD‐2.4. Evaluate revisions to maximum building height  limits in all zoning districts to account for contemporary  building methods and building code changes.    Ordinance 2070 amending residential  building heights took effect in July 2021.  UDC update considers changes to how  heights are measured and proposes  increased heights in some commercial  districts, review continues.  DCD‐2.5. Identify and zone appropriate locations for  neighborhood‐scale commercial development.    Locations are identified in the future land  use map in the growth policy. Zoning  156   Page 13 of 26    occurs with new annexations or  requested by landowner.   DCD‐2.6. Evaluate and pursue joint mitigation of  development impacts across multiple developments.    Urban Renewal Districts established to  provide infrastructure create a tool to  share impact mitigation. MSUIC PDZ  approved to coordinate mitigation from  multiple building projects within the  boundary of the MSUIC PDZ.  DCD‐2.7. Encourage the location of higher density  housing and public transit routes in proximity to one  another.    The city coordinates with Streamline  during service plan updates. No new  routes were created during the reporting  period.   DCD‐2.8. Revise the zoning ordinance, reducing the  number of zoning districts to be more consistent with  the designated land use classifications, to simplify the  development process, and support affordability  objectives of the plan.    Adopted new planned development zone  and affordable housing incentives. UDC  update is further evaluating district  consolidation.  DCD‐2.9. Evaluate increasing the number of stories  allowed in centers of employment and activity while also  directing height transitions down to adjacent  neighborhoods.    Change to height allowances in  commercial zones and transition  standards is ongoing as part of the UDC  update.  Goal DCD‐3: Ensure multimodal connectivity within the  City.   Implementation Actions  DCD‐3.1. Expand multimodal accessibility between  districts and throughout the City as a means of  promoting personal and environmental health, as well as  reducing automobile dependency.    The Park Recreation and Active  Transportation plan adopted in fall 2023  evaluates locations and design standards  for multimodal travel ways.  DCD‐3.2. Identify missing links in the multimodal system,  prioritize those most beneficial to complete, and pursue  funding for completion of those links.    Opportunities will be investigated, where  applicable, during plan review and in the  CIP development process, on an ongoing  basis.   The Park Recreation and Active  Transportation plan adopted in fall 2023  partially address these missing links. The  City obtained federal funding for closing  gaps in the N 19th Ave pathway and along  Valley Center. The Engineering division is  undertaking a ped/bike gap analysis  project in spring 2024 which completed  during this reporting period.   157   Page 14 of 26    DCD‐3.3. Identify major existing and future destinations  for biking and walking to aid in prioritization of route  planning and completion.    The Park Recreation and Active  Transportation plan adopted in fall 2023  identifies priority routes and  destinations.  DCD‐3.4. Support implementation of the Bozeman  Transportation Master Plan strategies.    Chapter 5 of the Transportation Master  Plan supports walk, bike, car share,  linked trips, and mixed‐use policies to  reduce travel demand. The PRAT plan,  and UDC standards allow for or actively  support these policies. The UDC update  now in public review updates intersection  level of service standards and traffic  study requirements. The zoning districts  support mixed‐uses.   DCD‐3.5. Encourage increased development intensity in  commercial centers and near major employers.    Tax increment districts support  redevelopment within their boundaries.    The UDC update now in public review  revises commercial building heights and  parking that support this objective.   DCD‐3.6. Evaluate parking requirements and methods of  providing parking as part of the overall transportation  system for and between districts.    City Commission directed consolidation  of non‐residential parking requirements  at Feb 2023 UDC work session. The City  Commission considered active parking  management in the Downtown area. The  UDC update now in public review revised  parking requirements. The state adopted  legislation that limits city ability to  require parking, the UDC draft has been  updated in response.   Goal DCD‐4: Implement a regulatory environment that  supports the Community Plan goals.   Implementation Actions  DCD‐4.1. Ensure that the Planning Department is  supported with the resources required to effectively  implement this plan, to dedicate staff to long range and  regional planning efforts, and to process development  applications expeditiously.      DCD‐4.2. Continuously invite and give due consideration  to the input of design and development professionals in  the improvement of the city's project evaluation  processes and development code.   The City meets with design professionals  in a regular monthly meeting and has  also sought their input during the UDC  update.  158   Page 15 of 26    DCD‐4.3. Complete the transition to a form‐based code  and simplification so that it can be understood by the  general public and consistently applied by planning staff.      Code Studio is contracted to support the  UDC update and has completed several  public outreach efforts to gather  information and draft a more user  friendly code. The UDC update now in  public review simplifies language used,  rearranges document flow for clarity,  adds graphics, and makes the standards  easier to understand. Additional form  based elements are included.  DCD‐4.4. Differentiate between development and  redevelopment. Allow relaxations of code provisions for  developed parcels to allow redevelopment to the full  potential of their zoning district.      Ordinance 2011 adopted a definition of  infill. The UDC update includes several  revisions to simplify redevelopment.  THEME 4: A CITY INFLUENCED BY OUR NATURAL ENVIRONMENT, PARKS, AND OPEN LANDS | GOALS,  OBJECTIVES, AND ACTIONS  Our City is home to an outdoor‐conscious population that honors and protects our natural environment  and our well‐managed open space and parks system.  Goal EPO‐1: Prioritize strategic acquisition of parks to  provide a variety of recreational opportunities  throughout the City.    Implementation Actions  EPO‐1.1. Coordinate the location of existing and future  parks to create opportunities for linear parks to connect  larger parks. Prioritize quality locations and features in  parks over quantity of parks.    Final locations for trails are set during  development review with easements as  needed. The PRAT Plan adopted in fall  2023 provides guidance for priority  routes and development standards.  EPO‐1.2. Collaborate with partner agencies and  organizations to establish sustainable funding sources  for ongoing acquisition, construction, and operations of  City parks, trails, gardens, and open space.     EPO‐1.3. Incorporate unique and inclusive recreational  and artistic elements into parks.    This is an operational issue addressed  with plans for individual parks.  EPO‐1.4. Research and implement multi‐use features  within parks to promote increased use and visitation.  Wherever possible, parks are connected to multi‐modal  transportation options and accessible for people with  disabilities.    This is an operational issue addressed  with plans for individual parks.  159   Page 16 of 26    EPO‐1.5. Work with partner organizations to identify and  reduce impacts on at‐risk, environmentally sensitive  areas that contribute to water quality, wildlife corridors,  or wildlife habitat, specifically wildlife habitat as we  continue outward growth.   a) Sensitive lands protection plan was  completed and accepted by the City  Commission in December 2023.  b) Community Development funded  creation of an updated streams and  ditches GIS layer that will help with early  identification of protected waters. Data  has been collected and is being mapped  in collaboration with MSU and other City  departments. .  EPO‐1.6. Upon completion of an update to the City’s  park master plan, review standards of the UDC for  adequacy and update, as needed, to coordinate with  development review standards and practices.    The PRAT Plan was adopted in fall 2023.  Standards update will follow completion  of the plan.  Goal EPO‐2: Work to ensure that development is  responsive to natural features.   Implementation Actions  EPO‐2.1. Where appropriate, activate connections to  waterways by creating locations, adjacent trails, and  amenities encouraging people to access them.    This is an operational issue addressed  with plans for individual parks.  EPO‐2.2. Work with the U.S. Army Corps of Engineers to  keep wetlands mitigation within the Gallatin Valley  rather than locating to other watersheds.   The Engineering division has been tasked  with investigating this option. Recent US  supreme court decision has changed  scope of Corps authority over wetlands.  Draft amendments to municipal code  were prepared and Commission will hear  them on Sept 9, 2025.   EPO‐2.3. Identify, prioritize, and preserve key wildlife  habitat and corridors.    Sensitive lands protection plan was  completed and accepted by the City  Commission in December 2023.  Goal EPO‐3: Address climate change in the City’s plans  and operations.   Implementation Actions  EPO‐3.1. Support development of maintenance  standards including sidewalk clearing, sidewalk surfaces,  bike lanes, and procedures for consistent  implementation.   The Transportation and Engineering  division piloted an alternating side snow  plowing approach to improve snow  management which will also affect  corner crossings.   EPO‐3.2. Ensure complete streets and identify long‐term  resources for the maintenance of year‐round bike and   Appropriate complete street elements  were included as part of the UDC update  (ongoing) and in the update to the  160   Page 17 of 26    multi‐use paths to improve utilization and reduce annual  per capita vehicle miles traveled.  Engineering Design Standards completed  in winter of 2024.  EPO‐3.3. Support water conservation, use of native  plants in landscaping, and development of water reuse  systems.    Code amendments were developed by  the Water Conservation division and  adopted by the City Commission in May  2024 which advance this objective.  EPO‐3.4. Review and update landscape and open space  standards for public and private open spaces to reduce  water use. Likewise, review and update standards for  reuse systems.    Code amendments were developed by  the Water Conservation division and  adopted by the City Commission in May  2024.  EPO‐3.5. Update land development standards to  implement the Integrated Water Resources Plan.    Code amendments were developed by  the Water Conservation division and  adopted by the City Commission in May   2024.  EPO‐3.6. Review and revise stormwater standards to  address changing storm profiles.   Stormwater standards are being  addressed in the Engineering Design  Standards update now underway.  Stormwater post‐construction facilities  maintenance is being addressed in the  Stormwater Facilities Plan adopted in  May 2025.  EPO‐3.7. Review and update development regulations to  implement facility and service plans when those plans  are updated.    This is an ongoing effort as each plan is  updated. An update to the sewer facility  plan is presently underway. The PRAT  plan was adopted last fall. Amendments  as needed will follow completion.  EPO‐3.8. In coordination with the Sustainability Division,  provide public education on energy conservation and  diversified power generation alternatives.   UDC update includes amendments to  facilitate shared solar and other  alternatives. Education on these  alternatives has occurred during the UDC  update.   EPO‐3.9. Integrate climate change considerations into  development standards.   Stormwater standards are being  addressed in the Engineering Design  Standards update now underway.  Stormwater post‐construction facilities  maintenance is being addressed in the  Stormwater Facilities Plan  adopted in  May 2025.  161   Page 18 of 26    EPO‐3.10. Inclusion of community gardens, edible  landscaping, and urban micro‐farms as part of open  spaces outside of watercourses and wetlands in  subdivisions is encouraged where appropriate.    The PRAT plan adopted last fall discusses  community gardens within public parks  as a priority. The UDC update includes  provisions for urban agriculture.  EPO‐3.11. Support resource conservation through  recycling, composting, and other appropriate means.   The Solid Waste Division operates a  recycling service, has completed a pilot  composting project, and now includes the  service through its solid waste division.  Goal EPO‐4: Promote uses of the natural environment  that maintain and improve habitat, water quantity,  and water quality, while giving due consideration to  the impact of City regulations on economic viability.    Implementation Actions  EPO‐4.1. Eliminate reliance on private maintenance of  public infrastructure, including public parks, trail  systems, and stormwater facilities. Identify a sustainable  and reliable public funding source for this infrastructure.     Electors approved formation of a park  and trail maintenance district in May of  2020. Implementation is ongoing.  EPO‐4.2. Update floodplain and other regulations that  protect the environment.   The Engineering Division has been tasked  with reviewing wetland regulations.  Recent US Supreme Court decisions have  changed the legal standards for  wetlands. Revised standards will go to  public hearing at the Commission on Sept  9, 2025.   EPO‐4.3. Pursue an inter‐jurisdictional effort to establish  baseline information on air quality trends and enhance  monitoring facilities.     EPO‐4.4. Collaborate with other Montana cities working  with regulatory agencies to establish fair and  technologically feasible water treatment standards.   Department of Utilities staff are engaged  with the Montana League of Cities and  DEQ on review of draft water treatment  standards. Staff supported passage of  revised nutrient standards in the 2025  legislature.   EPO‐4.5. Complete the update for an integrated Hazard  Management and Mitigation Plan.    The updated plan was approved by  Resolution 5256 in 2021.  EPO‐4.6. Develop a plan to mitigate conflicts between  humans and wildlife through the use of proactive, non‐ lethal measures.    The Solid Waste Division completed a  bear resistant contain pilot test and is  now expanding availability of bear  162   Page 19 of 26    resistant totes. A grant was obtained to  reduce costs to the City.   THEME 5: A CITY THAT PRIORITIZES ACCESSIBILITY AND MOBILITY | GOALS, OBJECTIVES, AND ACTIONS  Our City fosters the close proximity of housing, services, and jobs, and desires to provide safe, efficient  mobility for pedestrians, cyclists, transit users, and drivers.  Goal M‐1: Ensure multimodal accessibility.     Implementation Actions  M‐1.1. Prioritize mixed‐use land use patterns. Encourage  and enable the development of housing, jobs, and  services in close proximity to one another.    All zoning districts enable diverse uses.  Most districts specifically authorize  mixed residential and service/  commercial uses. The UDC update  includes revisions to parking  requirements that will make it easier to  construct mixed uses.  M‐1.2. Make transportation investment decisions that  recognize active transportation modes and transit as a  priority.    Capital Improvement programming,  prepared annually, includes funding to  close system gaps. The City included  active transportation as part of the PRAT  update (Goal 3). The City engages with  the Urban Transportation District  through the MPO planning process and  provides financial support for transit.  M‐1.3. Develop service standard levels for multimodal  travel.   The PRAT plan partially addresses this, as  will revision of engineering standards  completed in winter 2024 and alignment  with other plans and policies.    M‐1.4. Develop safe, connected, and complementary  transportation networks for pedestrians, bicyclists, and  users of other personal mobility devices (e‐bikes, electric  scooters, powered wheelchairs, etc.).    Like other objectives, this will be covered  by the PRAT plan, the CIP, the revisions  of the UDC, and the revision of  engineering standards to be employed  with all private and public projects that  include transportation components or  the opportunity for “affordances” of  concurrent planning and  implementation.  M‐1.5. Identify locations for key mobility hubs (e.g.  rideshare drop off/ pick up areas, bike/scooter share,  transit service, bike, and pedestrian connections).    Partially accomplished through the  routing map in the PRAT.   163   Page 20 of 26    M‐1.6. Integrate consideration of rideshare and other  mobility choices into community planning regulations.    The Transportation and Engineering  Department coordinated with private  companies to develop and implement a  plan to manage e‐scooters.  M‐1.7. Develop a trunk network of high‐frequency,  priority transit service connecting major commercial  nodes and coinciding with increased density.     Voters approved creation of an Urban  Transportation District in May 2023. The  UTD is now responsible for creation and  administration of the transit system. The  UTD participates in the Metropolitan  Planning Organization.  M‐1.8. Establish standards and procedures for  placement of bus shelters in City rights of way.    The City has established a memorandum  of understanding for placement of transit  shelters.  M‐1.9. Prioritize and construct key bicycle infrastructure,  to include wayfinding signage, connections, and  enhancements with emphasis on completing network  connectivity.    Partially accomplished through the  routing map and design standards in the  PRAT. Construction is planned and  funded through the CIP and budget  systems.   M‐1.10. In conjunction with the transportation plan,  work to develop a core network of “AAA” (appropriate  for all ages and abilities) bike routes covering at least 75  percent of households and 75 percent of jobs within ½  mile of the network.    The PRAT plan supports the development  of “AAA” bike routes, including bike  boulevards, buffered bike lanes and off‐ street facilities where appropriate or  feasible. The city can investigate grant  opportunities to offset the cost to fund  retrofitting existing facilities. The PRAT  plan will prioritize key off‐street routes  and have the provision for how to  provide wayfinding.     M‐1.11. Prioritize and construct key sidewalk  connections and enhancements.   The Engineering division is undertaking a  ped/bike gap analysis project in spring  2024 that was recently completed.  M‐1.12. Eliminate parking minimum requirements in  commercial districts and affordable housing areas and  reduce parking minimums elsewhere, acknowledging  that demand for parking will still result in new supply  being built.   Parking requirements are being  evaluated as part of the UDC update. City  Commission gave direction at a work  session on specific implementation.  M‐1.13. Work with community partners to expand the  Main Street to the Mountains network and integrate the  larger community recreational travel network.    The PRAT plan addresses this with Goal 3  in addition to ongoing partnerships with  GVLT and other community organizations  that focus on this network. In addition,  164   Page 21 of 26    the plan will explore additional sections  of the network, branding and naming.  M‐1.14. Identify possible routes for future bicycle and  pedestrian beltway/greenway.    The PRAT plan addresses this with Goal 3.  Goal M‐2: Ensure multimodal safety.    Implementation Actions  M‐2.1. Work with the Public Works Department, Police  Department, and other partners to provide education on  safe travel behaviors and rules.    Bozeman's Streets Are For Everyone  (SAFE) Plan has been developed,  adopted, and implementation has begun.  M‐2.2. Review and, as appropriate, update the City’s  complete streets policy.    Review was completed. Appropriate  elements were included as part of the  UDC update (ongoing) and in the recently  completed update to the Engineering  Design Standards.   M‐2.3. Work with School District #7 and other  community partners in planning and operating safe  routes to local schools.    The City has coordinated with BSD7 and  the Western Transportation Institute to  identify infrastructure improvements as  well as organize a Walking School Bus  program and host several bicycle safety  events.  M‐2.4. Encourage the design of school sites to support  walking and biking.     M‐2.5. Develop safe crossings along priority and high  utilization pedestrian and biking corridors.    Bozeman's Streets Are For Everyone  (SAFE) Plan has been developed,  adopted, and implementation has begun.    THEME 6: A CITY POWERED BY ITS CREATIVE, INNOVATIVE, AND ENTREPRENEURIAL ECONOMY|  GOALS, OBJECTIVES, AND ACTIONS  Our City benefits from and desires to further an expanding economy that is powered by the talents of its  residents, a dedicated and engaged business community, and strong regional partnerships.  Goal EE‐1: Promote the continued development of  Bozeman as an innovative and thriving economic  center.    Implementation Actions  EE‐1.1. Support the goals and objectives outlined in the  Bozeman Economic Development Strategy.     EE‐1.2. Invest in those infrastructure projects that will  strengthen business and higher education communities  as coordinated through the annual capital improvement  plan.    City supported the MSU Innovation  Campus with $3.6M in public  infrastructure support.   165   Page 22 of 26    EE‐1.3. Continue to facilitate live/work opportunities as a  way to support small, local businesses in all zoning  districts.    This calls for continuation of existing  policy and code. No reductions in  emphasis in this area are expected.    EE‐1.4. Support employee retention and attraction  efforts by encouraging continued development of  affordable housing in close proximity to large employers.    The City uses a variety of incentives,  financial and others, to encourage  construction of affordable housing.  EE‐1.5. Support expansion of current and emerging  infrastructure technologies including fiber optic service  and other communication infrastructure.  City Engineering has coordinated right of  way encroachments for fiber optic  installation.  EE‐1.6. Update the zoning map to correct deficiencies  identified in the annual land use inventory report.    Annual land use report has not identified  deficiencies at this point.  Goal EE‐2: Survey and revise land use planning and  regulations to promote and support economic  diversification efforts.    Implementation Actions  EE‐2.1. Ensure the future land use map contains  adequate areas of land for anticipated diverse users.    The future land use map in the growth  policy contains enough area to  accommodate all uses identified in the  plan development process.  EE‐2.2. Review and revise, or possibly replace, the  Business Park Mixed Use zoning district to include urban  standards and consider possible alterations to the  allowed uses.   This is being reviewed as part of the  overall UDC update.  EE‐2.3. Adopt zoning regulations that establish and  define the range of urban agricultural practices,  including vertical farms and other forms of urban  farming, as a permitted or conditional use in appropriate  locations. Urban agriculture can be compatible with a  variety of land use designations shown on the Future  Land Use Map.     This is being reviewed as part of the  overall UDC update.  THEME 7: A CITY ENGAGED IN REGIONAL COORDINATION | GOALS, OBJECTIVES, AND ACTIONS  Our City, in partnership with Gallatin County, Montana State University, and other regional authorities,  desires to address the needs of a rapidly growing and changing regional population through strategic  infrastructure choices and coordinated decision‐making.  Goal RC‐1: Improve communication and coordination  with Gallatin County, the City of Belgrade, public  schools, and other regional public entities regarding  community planning and associated matters.    Implementation Actions  166   Page 23 of 26    RC‐1.1. Consider regional impacts when making policy  decisions affecting areas outside the City.   a) A joint project between the City,  County, and other partners to evaluate  environmentally sensitive lands in the  valley was completed in Dec 2023.  b) A study of water and sewer system  regionalization was completed in 2024.  c) The City is working with partners  investigating housing issues and possible  solutions throughout the county.  RC‐1.2. Coordinate planning activities to promote  consistency throughout the region for parks,  transportation, bus service, and other community  infrastructure.   a) The City and other jurisdictions formed  a Metropolitan Planning Organization to  coordinate transportation planning. The  first long‐range transportation plan  began development in spring 2025.  RC‐1.3. Research, understand, and collaboratively  construct infrastructure and transportation  improvements that benefit the region.   a) A study of water and sewer system  regionalization was completed in 2024.  b) The City and other jurisdictions formed  a Metropolitan Planning Organization to  coordinate transportation planning.  RC‐1.4. Participate in regularly scheduled coordination  meetings with Gallatin County and the City of Belgrade  planning departments and planning boards to  coordinate planning issues.    The Planning Coordinating Committee  meets six times per year and hosts  roundtables for shared board  engagement.  RC‐1.5. Implement the Triangle Community Plan in  coordination between Bozeman, Belgrade, and Gallatin  County.    The city coordinates policy on an ongoing  basis with the Triangle plan such as  supporting compact development on  centralized utilities, protection of  watercourses, coordination of  transportation.    RC‐1.6. Prepare for establishment of a Metropolitan  Planning Organization, anticipated to be required by  federal law after the completion of the 2020 US Census.    The City and other jurisdictions formed a  Metropolitan Planning Organization to  coordinate transportation planning.  Goal RC‐2: Continue and build on successful  collaboration with Gallatin County, neighboring  municipalities, and other agencies to identify and  mitigate potential hazards and develop coordinated  response plans.    Implementation Actions  167   Page 24 of 26    RC‐2.1. Prohibit development in environmentally‐ sensitive or hazard‐prone areas.   a) Updated floodplain regulations were  adopted in March 2021.   b) A joint project between the City,  County, and other partners to evaluate  environmentally sensitive lands in the  valley was completed in Dec 2023.  c) City is researching updates to wetland  regulations to account for changed  federal regulations and local needs.  RC‐2.2. Identify effective, affordable, and regionally‐ appropriate hazard mitigation techniques through the  Gallatin County Hazard Mitigation and Community  Wildfire Protection Plan and other tools. As a group,  annually review the Gallatin County Hazard Mitigation  Plan, and determine the need for updates and  enhancements.     Updated floodplain regulations were  adopted in March 2021.     RC‐2.3. Along with non‐profit and agency partners,  identify, map, and utilize geographic information  systems (GIS) data to locate and monitor developments  on environmentally sensitive and hazard‐prone areas.    A watercourse map update project is  underway.  RC‐2.4. Review and revise land use regulations and  standards that affect the wildland urban interface to  provide adequate public safety measures, mitigate  impacts on public health, and encourage fiscal  responsibility.    The City has adopted the Wildland Urban  Interface building code appendix.  RC‐2.5. Through coordination with non‐profit and agency  partners, identify and prioritize lands for acquisition or  placement of conservation easements with the goal of  lessening or eliminating development in environmentally  sensitive areas and/or preserving areas consistent with  the other priorities of this Growth Policy.      A joint project between the City, County,  and other partners to evaluate  environmentally sensitive lands in the  valley was completed in Dec 2023.  Goal RC‐3: Collaborate with Gallatin County regarding  annexation and development patterns adjacent to the  City to provide certainty for landowners and taxpayers.    Implementation Actions  RC‐3.1. Work with Gallatin County to create compact,  contiguous development and infill to achieve an efficient  use of land and infrastructure, reducing sprawl and  preserving open space, agricultural lands, wildlife  habitat, and water resources.    a) Gallatin County and City of Bozeman  exchange information on development  proposals which affect each other.  b) The city continues to support and  approve   168   Page 25 of 26    annexations that are filling in the holes in  the city.  RC‐3.2. Work with Gallatin County to keep rural areas  rural and maintain a clear edge to urban development  that evolves as the City expands outwards.     Staff coordinate information and  comment on proposed projects and  implications for utility extensions and city  growth.   RC‐3.3. Prioritize annexations that enable the  incremental expansion of the City and its utilities.   Resolution 2025‐07 was adopted spring  202025 and establishes annexation  policies that advance this objective.  RC‐3.4. Encourage annexation of land adjacent to the  City prior to development and encourage annexation of  wholly surrounded areas.    Resolution 2025‐07 was adopted spring  202025 and establishes annexation  policies that advance this objective.  RC‐3.5. Establish standard practices for sharing  development application information and exchanging  comments between the City and County.   Resolution 2025‐07 was adopted spring  202025 and establishes annexation  policies that advance this objective.  RC‐3.6. Develop shared information on development  processes.     Gallatin County and City of Bozeman  exchange information on development  proposals which affect each other. The  City and County both worked on the  sensitive lands plan completed in Dec  2023.   RC‐3.7. Provide education and information on the value  and benefits of annexation, including existing un‐ annexed pockets surrounding the City, to individual  landowners and the community at large. Establish  interlocal agreements, when appropriate, to formalize  working relationships and procedures.    Ongoing process of information sharing.   RC‐3.8. Coordinate with Gallatin County for siting,  development, and redevelopment of regional parks,  emergency services, fairgrounds, transportation  facilities, interchanges, or other significant regional  services.    a) A study of water and sewer system  regionalization was completed in 2024.  b) The City and other jurisdictions formed  a Metropolitan Planning Organization to  coordinate transportation planning.  Goal RC‐4. Ensure that all City actions support  continued development of the City, consistent with its  adopted Plans and standards.    Implementation Actions  RC‐4.1. Enhance collaboration between City agencies to  ensure quality design and innovation across public and  private areas.    The City has implemented ProjectDox  software to support more collaborative  application review across departments.  The same software is used for Building,  Planning, Engineering, and Fire review  169   Page 26 of 26    processes. Departments are collaborating  on code revisions that address multiple  priorities.  RC‐4.2. Further develop reasonable and relevant metrics  for community development within the City’s Planning  Area to determine whether the intent of this Plan is  being accomplished.    The GIS Division has completed and  released for use a growth policy metrics  tracking website.  RC‐4.3. Prioritize human well‐being and health in the  creation and implementation of land development  standards.    This is part of all code development and  review processes.  RC‐4.4. Update the Unified Development Code (UDC) to:       Implement a twice‐yearly code revision cycle.  Identify and make revisions to optimize the UDC  current conditions.    This practice was started. The twice‐ yearly cycle is paused during the overall  UDC update. Public suggestions during  the process have been considered and  where appropriate integrated.    Incorporate development minimums in  designated growth areas.    These have been established in  residential zoning districts and are being  reevaluated with the update of the  Unified Development Code.   Revise the zoning map to harmonize with the  future land use map.   A draft zoning map was prepared as part  of the UDC update.              170