HomeMy WebLinkAboutBudget Work Session - Mandeville Farm Property, and other Fiscal year 2011 Budget items.pdfCommission Memorandum
REPORT TO: Honorable Mayor and City Commission
FROM: Anna Rosenberry, Finance Director
Greg Sullivan, City Attorney
Chris Kukulski, City Manager
SUBJECT: Provide direction to staff regarding possible budget implications for
the Mandeville Farm judgment.
MEETING DATE: August 9, 2010
AGENDA ITEM TYPE: Budget Work Session
RECOMMENDATION: Consider the information provided herein and provide direction
to staff.
BACKGROUND:
The purposes of this agenda item are to: (i) provide the Commission with background
information related to our purchase and development of the Mandeville Farm property; (ii)
background information related to the payment of the judgment in Delaney v. City of
Bozeman (hereinafter referred to as the "judgment"); (iii) discuss alternatives to meet the
city's obligations, if any, regarding the judgment; and (iv) to provide preliminary staff
recommendations regarding the alternatives.
I. Purchase and Development of the Farm. In 2003, with the existing landfill cells filling
up, the City was looking for a location on which to construct a solid waste transfer station.
Numerous pieces of land were analyzed, earnest money paid on a number of sites, and two
sites ultimately purchased: Mandeville Farm and Love Lane. The Love Lane property was
subsequently sold in 2005.
Mandeville Farm, consisting of roughly 86 acres located on the Northeast end of the City,
was purchased for a price of $3.0 Million. It was thought that the property would provide
space for the transfer station, other city facilities, and create additional opportunities for
industrial type developments within the city limits. The farm was purchased with the cash-
reserves of the Solid Waste Fund; money that had been accumulated primarily from the
disposal operations of the City Landfill. During 2005, the transfer station project was
heavily scrutinized, with the Commission ultimately not moving forward with the project.
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Since that time, the City has discontinued disposal activities and joined the County Solid
Waste Management District for disposal of solid waste.
In order to develop the property for industrial and manufacturing uses, the City zoned the
property as M-2 (manufacturing and industrial district) on December 20, 2004, and on
November 13, 2006 the Commission established an Industrial Tax Increment Financing
(TIF) District that includes all the Mandeville Farm property as well as additional
properties south of the farm.
The Commission applied for and received preliminary plat approval for the Farm on April
6, 2009. The preliminary plat consists of 22 lots on the 86 acres. A map of existing lot
lines (four lots) and the preliminary plat lot lines is attached as Exhibit A, along with a
brief detail of the property from a January 8, 2009 Memo on City Lands. Attached as
Exhibit B are the Finding of Facts and Order for the Preliminary Plat, dated April 6, 2009.
The preliminary plat entitlement on this property expires in April, 2011. The city can either
complete all required conditions, including the infrastructure improvements, or the city can
apply for an additional one-year extension without any bonding requirements. Beyond this
first one-year extension the city will be required to provide a bond equal to 150% of the
value of the required improvements. The current estimate on the cost of the required
infrastructure improvements is $5.6 Million, see attached Exhibit C.
Recently, the Commission asked its Economic Development Council (EDC) to make
recommendations regarding the Mandeville Farm property. The Council was provided
background information and discussed the Mandeville Farm property at two of its
meetings, March 18 and April 22, 2010.
o At the March 18 meeting Associate Planner Doug Riley provided background
information and answered questions regarding the preliminary platting of the
Mandeville Farm property and associated timelines and expirations. The Council was
advised that the preliminary plat expires in April of 2011 and is eligible for a one year
extension. The Council discussed recommending to the Commission that the City file
for said extension.
o At the April 22 meeting staff, including Public Services Director Debbie Arkell, City
Engineer Rick Hixson and Associate Planner Doug Riley went into further detail with
the EDC about the Mandeville property and discussed the preliminary plat and
engineering estimates on the property.
Informally the EDC discussed recommending to the City Commission that the City make
application to extend by one year the preliminary plat prior to its April, 2011 expiration.
Initially the EDC prioritized Mandeville Farm in an effort to become familiar with the
status of the property, understand the existing entitlements and investment in engineering
on the property as well as discuss the potential for the Mandeville property. Now that the
EDC is aware of the status and understands that a preliminary plat extension is available
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the Council has reprioritized its work efforts to include analyzing the Goals and Strategies
of the newly adopted Economic Development Plan.
II. The Mandeville Farm Judgment.
After purchase of the property the city was sued by a local real estate developer over the
city's purchase. Obviously, the city did not prevail in this litigation as, in December, 2009,
the Montana Supreme Court finally decided against the city in Delaney v. City of Bozeman.
As such, the city is obligated to pay the $3 Million judgment.
The Montana Municipal Inter-local Authority (MMIA), the city's risk management carrier,
agreed to make temporary payment on the judgment subject to a reservation of rights. At
that time, the MMIA and the city agreed to settle the coverage dispute regarding the MMIA
and city's proportionate share of the judgment through either future negotiations or a
judicial determination. This past spring, the city filed a declaratory judgment action naming
the MMIA and its reinsurers as parties. This action seeks a judicial determination as to the
legal obligations of the parties regarding the judgment. Currently, this action is in the early
stages of discovery. It must be noted the city's position regarding the declaratory judgment
action is that the city clearly has no financial obligation for the judgment. The judgment is,
however, absent an agreement with the MMIA or a judicial determination, currently a legal
obligation of the city and as such we feel it prudent to discuss future budgeting for this item
during this current fiscal year.
Budgeting for the judgment, or a portion thereof, was not included in this year's budget
primarily due to the timing of the declaratory judgment action. The earliest the city could
expect a judicial determination regarding the action would be next spring. This time frame
could be longer if, as is likely, an appeal is filed with the Montana Supreme Court.
Pursuant to the agreement with the MMIA for payment of the judgment, interest will begin
accruing at the time of a judicial determination. In addition, under the agreement with the
MMIA, the city has two years from that date to re-pay the MMIA for any portion of the
judgment the city is legally obligated to pay.
Considering the above, we believe the actual payment of the city's share of the
judgment is an issue for future budgets. Preparing for this eventual payment is
something that should be considered now.
III. Alternative Funding Sources.
This section provides information regarding possible alternatives if the city were to be
obligated to pay the judgment. Please consider these alternatives regardless of whether the
city would be required to pay a nominal amount or whether, in a worst case scenario, the
city would be obligated for the entire $3 Million. The judgment could be paid from a
number of sources. The Commission could consider using funds from several or all of these
sources. These include:
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a. Sale of Mandeville Farm: While purchased with Solid Waste Funds, there are no
legal requirements that, if the land were sold, the proceeds be returned to the Solid
Waste Fund. Proceeds of sale of the land could be used to pay the judgment.
b. General Fund: The judgment can be seen as a general liability of the City of
Bozeman. The City's General Fund could be the source of payment of the judgment
amount.
Depending on the amount due, this could put a significant strain on the General Fund
reserve. Since the reserve limit was increased this spring, we have been working to
meet the new level of 16.67%, or $3.7 Million. The City Manager's Recommended
Budget for FY11 is estimated to add $505,000 to the General Fund reserve, leaving it
at $3.6 Million on June 30, 2011.
c. Judgment Levy: The Commission could consider imposition of a property tax levy
to cover all or any portion of the judgment the city may be legally obligated to pay.
Pursuant to Montana law, a judgment levy may be assessed by the Commission. See
Sects. 2-9-316(3) and 7-6-4431, MCA. Such a levy may be imposed without voter
approval as the mill levy cap in Sect. 15-10-420, MCA, does not apply to judgment
levies. We recommend the Commission consider this as the last resort.
d. Solid Waste Enterprise Fund: Because the Farm was purchased to expand/continue
City Solid Waste services, one could theoretically turn to the Solid Waste Fund to
repay the judgment. However, there isn't enough in existing cash reserves to pay
much of the judgment without having serious impacts on our Solid Waste Collection
and Recycling customers. The Fund holds money that is legally reserved for
monitoring of the Landfill for 30 years. It also holds modest operating (45 day) and
capital (1 year) reserves for the ongoing Solid Waste Collection/Recycling
operations.
If the judgment were to be paid by the Solid Waste Fund, we would need to recover
the reserves lost. This would be done entirely at the expense of City solid waste
customers, resulting in a rate increase to our customers, and a significant
disadvantage as we compete for business with the private sector. Depending on the
size of the judgment due, it could be crippling to our operation. Additionally, we do
not recommend this approach as the judgment was against the "City of Bozeman" and
not against the Fund.
The Commission should recognize the current City Manager's Recommended Budget for
FY11 includes $50,000 for defense-related contracted services. This amount has been
added to the Legal Department's budget and is intended to cover services for the
declaratory judgment action and other unexpected circumstances where contracted legal
services may be necessary. The majority of this money, however, is slated to cover costs of
outside counsel related to the declaratory judgment action. We have expended $6,737.00 to
date on defense costs related to the MMIA declaratory judgment.
IV. Staff preliminary recommendation.
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The purpose of this section is to provide the Commission with our preliminary
recommendation regarding budgeting for whatever portion of the judgment the city may be
legally obligated to pay. Because of the high level of uncertainty regarding this obligation,
our primary recommendation is for the Commission to keep this obligation in mind as you
establish your budget this year and to recognize that for future years, especially FY12 and
FY 13, the city may have a significant financial obligation.
We do, however, have several specific recommendations that should we move forward
with now may help set us up to make final decisions on sources to pay whatever portion of
the judgment the city may be obligated to pay. We recommend:
· Applying for an extension of the preliminary plat through April, 2012.
· A purchaser should be sought to develop the industrial park consistent with the
preliminary plat and M2 zoning. The sale will help pay the city's share of the
judgment and has the potential to allow an industrial park to develop at a faster pace
(the city does not have the resources to install the needed infrastructure). In
considering this recommendation an analysis of how much land the city should retain
needs to be completed. The farm's location is perceived to be a good location for a
future shops complex and fire station.
· The Commission consider that the City's General Fund will likely be a source of
funds even if the land is offered for sale: if the portion of judgment amount the city is
obligated for exceeds the sales price of the land, or the land is offered for sale but
cannot be sold within the timeframe necessary. Given this, care should be taken
during the budget processes to try to reserve adequate amounts in fiscal years 2011,
2012, and 2013.
· The Commission not consider the Solid Waste Fund as a viable option because there
are not sufficient funds available, without jeopardizing the future of Solid Waste
Collection & Recycling operations.
· The Commission consider the option of a judgment levy as a clear last resort.
UNRESOLVED ISSUES: Described above.
ALTERNATIVES: Described above, and as suggested by the Commission.
FISCAL EFFECTS: Depending on the results of the Declaratory Judgment Action and
our direction taken, there are numerous fiscal effects. The least effect to City taxpayers
and other City funds is seen as offering the Farm property for sale prior to final plat, so that
the proceeds of the sale would be available to pay an eventual judgment amount.
Attachments :
Exhibit A - Map & Details, 1/8/2009 City Lands Memo
Exhibit B - Preliminary Plat Map & Findings of Fact and Order
Exhibit C - Updated Estimate of Final Plat Costs
Report compiled on: July 29, 2010
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Exhibit A
Excerpt, Jan 8, 2009 Commission Memo - City Lands76
Exhibit A
Excerpt, Jan 8, 2009 Commission Memo - City Lands77
157Exhibit B78
Mandeville Major Subdivision Findings of Fact and Order P08008
BEFORE THE BOZEMAN CITY COMMISSION
GALLATIN COUNTY MONTANA
IN THE MATTER OF THE APPLICATION OF THE FINDINGS
CITY OF BOZEMAN REPRESENTED BY GREAT OF FACT
WEST ENGINEERING FOR PRELIMINARY AND ORDER
APPROVAL OF THE MANDEVILLE MAJOR
SUBDIVISION
This matter came before the Bozeman City Commission on December 1 2008 for review
and decision pursuant to the Montana Subdivision and Platting Act Section 763101 through
763625Montana Codes Annotated the City of Bozeman Growth Policy and City of Bozeman
Unified Development Ordinance The applicant presented to the Commission a proposed
Preliminary Subdivision Plat consisting of 22 M2 Manufacturing and Industrial District lots
and the remaining area as open spaces streets and alleys on 8535 acres as submitted in its
original form on July 15 2008 P08008 Variances were requested from Section 1844060D
of the Bozeman Municipal Code which specifies level of service standards for street
intersections to allow the development of the subject subdivision without level of service
mitigation measures at the intersection of Oak and North Seventh Avenue and to Section
1842040to exceed the block length and width standards of the Bozeman Municipal Code
The Commission held a public hearing on the preliminary plat and considered all relevant
evidence relating to the public health safety and welfare including the recommendation of the
Bozeman Planning Board to determine whether the plat should be approved conditionally
approved or disapproved
Exhibit B
79
Mandeville Major Subdivision Findings of Fact and Order P08008
It appeared to the Commission that all parties wishing to appear and comment were given
the opportunity to do so and therefore being fully advised of all matters having come before it
regarding this application the Commission makes the following Findings ofFact as required
FINDINGS OF FACT
I
On July 15 2008 the City of Bozeman represented by Great West Engineering
submitted an application for approval to create a Major Subdivision on 8535 acres The subject
property is legally described as Lots lA 2A 3A and 4A ofCOS2153 NW a and NE a of
Sec 36 T1S RSE City ofBozeman Gallatin County Montana The property is annexed with
a zoning designation ofM2Manufacturing and Industrial District
II
The comments of the Development Review Committee along with those ofthe Planning
Community Development Staff were incorporated into a staff report with suggested
conditions of approval which was provided to the City of Bozeman Planning Board
III
Public notice was provided via publication of a legal notice in the newspaper on October
26 2008 posting the subject property on October 23 2008 and certified mailing of notices to
adjacent property owners and first class mailing of notices to other property owners within 200
feet ofthe subject property on October 22 2008
The City of Bozeman Planning Board held a public hearing on November 18 2008 The
Planning Board found that the application was properly submitted and reviewed under the
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Exhibit B
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Mandeville Major Subdivision Findings of Fact and Order P08008
procedures of the City of Bozeman Unified Development Ordinance Staff reviewed the staff
report and the evidence which justified the imposition ofconditions
The Planning Board then opened the public hearing for public comment No members of
the public spoke regarding the proposed subdivision The Chair of the Citys Wetlands Review
Board spoke regarding the submittal of additional materials for the Wetlands Review Boards
review the correction of the wetland setbacks and the wetlands near the proposed road
crossings
The members of the Planning Board discussed the open space sidewalk and trail
connections stormwater management wetlands future design considerations for development
municipal facilities within the subdivision the positive economic aspects of the project and the
two requested variances
The Planning Board reviewed the application against the requirements of the Montana
Subdivision and Platting Act and found that with conditions the Major Subdivision Preliminary
Plat Application would comply with those requirements and
The Planning Board indicated their support for the two requested variances and passed a
motion on a 50 vote to forward a recommendation of approval to the City Commission for
Subdivision Preliminary Plat Application P08008 with the proposed staff conditions along
with three additional considerations the applicant consider the incorporation of storm water
sustainability into the proposal the applicant consider improvements at the offsite intersections
to address pedestrian deficiencies and the applicant present the final planplat to the Wetlands
Review Board prior to final approval
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Exhibit B
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Mandeville Major Subdivision Findings of Fact and Order P08008
IV
The application was considered by the Bozeman City Commission at its regular meeting
on December 1 2008 at which time the recommendation of the Planning Board and information
compiled by City staff was reviewed
V
A Primary Review Criteria
1 Effects on Agriculture
The property has been previously annexed and while it has remained under
cultivation has been zoned and master planned for industrial development as
proposed in this application
2 Effects on Agricultural Water User Facilities
No effects on agricultural water user facilities have been identified for this
project
3 Effects on Local Services
WaterSewer Water and sewer main extensions and upgrades will be required to
serve this development Therefore the standard code requirements apply
including the requirements for plans and specifications detailed design reports
and engineering services for construction inspection postconstruction
certification and preparation of mylar record drawings applies No building
permits will be issued prior to substantial completion and City acceptance of
required water and sewer infrastructure improvements
4
Exhibit B
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Mandeville Major Subdivision Findings of Fact and Order P08008
The Engineering Department made several recommended conditions and cited
code provisions regarding final water and sewer design
Sewer flow monitoring will have to be performed as part of the design report to
determine if offsite improvements are needed to provide adequate capacity If it
is determined that offsiteimprovements are needed they shall be constructed and
accepted prior to issuance of building permits for the development
Pursuant to section 18420703of the UDO sewer and water mains shall be
stubbed out to the boundary of the subdivision to provide future service to
adjoining undeveloped land
PoliceFire This property is not located within the fire service area ofFire Station
1 or 2 as indicated in Figure 111of the Bozeman 2020 Plan It is indicated as
being within a 6 minute current deployment travel time of Fire Station 1 on
Figure 16 of the 2006 Fire Protection Master Plan According to Figure 61 it is
located within the 4 minute response time of the future Fire Station 7 However
there was significant discussion regarding the reservation of a lot in this project
for a future fire station during the PreApplication Review The Fire Department
included a recommendation that Lot 11 or another suitable lot to the City of
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Exhibit B
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Mandeville Major Subdivision Findings of Fact and Order P08008
Bozeman Fire Department shall be reserved for the site of a future fire station
Condition 5
Streets Several existing street and intersection improvements will be required to
accommodate this development This includes improvements including
installation of a signal at the intersection of the new Wheat Drive and Highway
10 and intersection improvements at W Griffin and N 7th Avenue as analyzed in
the Traffic Impact Study TIS completed for this project The Engineering
Department recommended a condition Condition 23 that all improvements
necessary to provide adequate level of service at the intersections analyzed in the
TIS must be installed or financially guaranteed prior to the filing of the plat for
each phase unless a variance is granted by the City Commission No building
permits will be issued for a phase until all improvements required for the phase
are installed and accepted Approval of the TIS and improvements must be
obtained from the Montana Department ofTransportation
The standard code requirements apply including the requirements for plans and
specifications detailed design reports and engineering services for construction
inspection postconstruction certification and preparation of mylar record
drawings No building permits will be issued prior to substantial completion and
City acceptance of required street infrastructure improvements with the
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Exhibit B
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Mandeville Major Subdivision Findings of Fact and Order P08008
exception of sidewalks
The DRC and Engineering Department recommended many conditions to ensure
that the street improvements installed with this development will adequately
address the traffic and transportation impacts being created by this development
These include conditions 20 21 22 23 24 and 28
Stormwater The standard requirement for a detailed review of the final grading
and drainage plan and approval by the City Engineer will be required as part of
the infrastructure plan and specification review process Provisions for routing of
major storm events 100 year either through pipe surface flow or a combination
thereof shall be provided for any major drainage courses that are being cut off
Utilities There are existing power cable and phone utilities in the vicinity The
preliminary plat shows 20footutility easements being provided along the fronts
ofthe lots
4 Effects on the Natural Environment
As required an approved noxious weed management and revegetationplan was
provided with the preliminary plat application A Memorandum ofUnderstanding
must be entered into with the County Weed Board prior to submittal of the final
plat
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Exhibit B
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Mandeville Major Subdivision Findings of Fact and Order P08008
The location of the wetlands and limited existing natural vegetation is primarily
located along Mandeville Creek in the protected open space areas Any roadtrail
crossings ofthe wetland areas will occur only with the approval of310 andor 404
Permits from the Gallatin County Conservation District and the Army Corp of
Engineers Groundwater quality will be protected by the installation ofmunicipal
sewer systems
The applicants provided a letter from the State Historic Preservation Office
regarding cultural resources on the subject property The letter from SHPO
indicates that there is a low likelihood that cultural properties will be impacted
Should historical cultural andor archeological materials be inadvertently
discovered during construction of this project the State Historical Preservation
Office SHPO and the Bozeman Historic Preservation Office shall be contacted
immediately and construction activities shall cease
5 Effects on Wildlife and Wildlife Habitat
Very little year round wildlife habitat exists on the property The provision of the
protected open space along Mandeville Creek and the plantings within this area
will create some habitat for small animals and birds The Montana Department of
Fish Wildlife and Parks were been contacted regarding this proposal but no
comments have been received Staff recommended a condition that should any
species of concern as defined by the Montana Natural Heritage Program be
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Exhibit B
86
Mandeville Major Subdivision Findings of Fact and Order P08008
discovered onsiteduring construction the Montana Department ofFish Wildlife
and Parks and the Montana Natural Heritage Program shall be contacted
immediately and construction activities shall cease Condition 19
6 Effects on Public Health and Safety
The intent of the regulations in the Unified Development Ordinance is to protect
the public health safety and general welfare The subdivision has been reviewed
by the Bozeman Development Review Committee DRC which has determined
that it is in general compliance with the title Any other conditions deemed
necessary to ensure compliance have been noted
B Compliance with the survey requirements provided for in Part 4 of the Montana
Subdivision and Platting Act
The property in question has been surveyed and platted in conformance with the Montana
Subdivision and Platting Act and filed as a preliminary plat in accordance with state
statute and the Bozeman Municipal Code
C Compliance with the Bozeman Unified Development Ordinance
The following requirements are standards of the Unified Development Ordinance and
shall be addressed with the final plat submittal
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Exhibit B
87
Mandeville Major Subdivision Findings of Fact and Order P08008
a 1804050Water rights or cashinlieu thereof as calculated by the City Engineers
Office is due with the final plat of the subdivision
b 1842060B1aPrivate Utilities The final plat and association documents shall
contain a note stating that if a utility easement is greater than the building setback
required by the Title 18 ofthe BMCsaid easement shall apply
c 1844O10HSecond or Emergency Access To facilitate traffic movement the
provision of emergency services and the placement of utility easements all developments
shall be provided with a second means of access If in the judgment of the Development
Review Committee DRC a second dedicated rightofway cannot be provided for
reasons of topography or other physical conditions the developer shall provide an
emergency access built to the standards detailed in these regulations
d 1844120 Public Transportation Any interior and exterior development streets that
are designated as transit routes shall be designed to accommodate transit vehicles and
facilities
e 1842100B6Setback Planting A setback planting plan shall be prepared for all
watercourse setbacks for review and approval prior to commencement of development or
site preparation A qualified landscape professional shall either document that the current
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Exhibit B
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Mandeville Major Subdivision Findings of Fact and Order P08008
watercourse setback planting plan meets the requirements of Section 1842100 of the
BMC or a watercourse setback planting plan shall be prepared by a qualified landscape
professional and shall be reviewed and approved by the Planning Department prior to the
commencement ofdevelopment or site preparation The plan shall include a schedule for
planting and landscaping as outlined for Zone 1 and Zone 2 outlined in Section 1842100
ofthe BMC
f 1850080DStorm Water DetentionRetention Ponds Maximum grading of said
facilities and design shall be such that the facility serves as a landscape feature and
further complies with 1848050EMaximum Allowable Slope or Grade ofthe UDO
g Covenants restrictions and articles of incorporation for the creation of a property
owners association shall be submitted with the final plat application for review and
approval by the Planning Office and shall contain but not be limited to provisions for
assessment maintenance repair and upkeep of common open space areas public
parklandopen space corridors stormwater facilities public trails snow removal and
other areas common to the association pursuant to Chapter 1872 of the Bozeman
Municipal Code
1 These documents shall include a common area and facility maintenance plan and
guarantee for the permanent care and maintenance of open spaces recreational areas
Exhibit B
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Mandeville Major Subdivision Findings of Fact and Order P08008
stormwater facilities and parking lots in accordance with Chapter 1872 or the
Bozeman Municipal Code
2 These documents shall be submitted to the city attorney and shall not be accepted by
the city until approved as to legal form and effect A draft ofthese documents must be
submitted for review and approval by the Planning Department at least 45 working
days prior to filing and recordation with the Gallatin County Clerk and Recorder
3 These documents shall be executed and submitted with the final plat to be filed with
the Gallatin County Clerk and Recorder at the time of final plat recordation
h The Final Plat shall conform to all requirements ofthe Bozeman Municipal Code and the
Uniform Standards for Final Subdivision Plats and shall be accompanied by all required
documents including certification from the City Engineer that asbuilt drawings for
public improvements were received a platting certificate and all required and corrected
certificates The Final Plat application shall include four 4 signed reproducible copies
on a 3 mil or heavier stable base polyester film or equivalent two 2 digital copies on a
doublesided high density 312floppy disk and five 5 paper prints
i Pursuant to Section 1806040D6of the BMC conditional approval ofthe Preliminary
Plat shall be in force for not more than one calendar year for minor subdivisions two
years for singlephased major subdivisions and three years for multiphased major
subdivisions Prior to that expiration date the developer may submit a letter of request
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Exhibit B
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Mandeville Major Subdivision Findings of Fact and Order P08008
for the extension of the period to the Planning Director for the City Commissions
consideration The City Commission may at the written request ofthe developer extend
its approval for no more than one calendar year except that the City Commission may
extend its approval for a period of more than one year if that approval period is included
as a specific condition of a written subdivision improvements agreement between the
City Commission and the developer provided for in 1874060 BMC
j Per Section 1842050 utilities shall be placed underground wherever technically and
economically feasible If overhead utility lines are used they shall be placed along the
rear property line
k Per Section 1842120 if mail will not be to each individual lot within the development
the developer shall provide anoffstreet area for mail delivery within the development in
cooperation with the United States Postal Service It shall not be the responsibility of the
City to maintain or plow any mail delivery area constructed within a City rightofway
1 Section 1848070requires the subdivider to install irrigation sod and street trees on all
external streets and adjacent to public parks or other open spaces A landscape plan shall
be submitted identifying the location and tree species to be installed by the developer
prior to installation ofthe trees or by final plat whichever comes first
m All improvements are subject to Chapter 1874 Improvements and Guarantees If it is
the developers intent to file the plat prior to the completion of all required
improvements an Improvements Agreement shall be entered into with the City of
Bozeman guaranteeing the completion of all improvements in accordance with the
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Exhibit B
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Mandeville Major Subdivision Findings of Fact and Order P08008
preliminary plat submittal information and conditions of approval If the final plat is filed
prior to the installation of all improvements the developer shall supply the City of
Bozeman with an acceptable method of security equal to 150 percent of the cost of the
remaining improvements
n The final plat must be in compliance with all requirements of Section 1878070 Final
Plat including but not limited to the following items
1 Section 1878070Cstates that a Memorandum of Understanding shall be
entered into by the Weed Control District and the subdivider for the
control of county declared noxious weeds and a copy provided to the
Planning Department prior to final plat approval
2 The final plat submittal shall include all required documents including
certification from the City Engineer that asbuilt drawings for public
improvements were received a platting certificate and all required and
corrected certificates The final plat application shall include four 4
signed reproducible copies on a stable base polyester film or equivalent
two 2 digital copies on adoublesided high density 3 2inch floppy disk
or compact disk and five 5 paper prints
3 Irrigation System AsBuilts The developer shall provided irrigation
system asBuilts for all irrigation installed in public rightsofway The as
Builts shall include the exact locations and type oflines including accurate
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Exhibit B
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Mandeville Major Subdivision Findings of Fact and Order P08008
depth water source heads electric valves quick couplers drains and
control box
o Stormwater Master Plan
A Stormwater Master Plan for the subdivision for a system designed to remove solids
silt oils grease and other pollutants from the runoff from the private and public streets
and all lots must be provided to and approved by the City Engineer
The master plan must depict the maximum sized detentionretention basin location show
location of and provide easements for adequate drainage ways within the subdivision to
transport runoff to the stormwater receiving channel The plan shall include sufficient
site grading and elevation information particularly for the basin sites drainage ways and
finished lot grades typical stormwater detentionretention basin and discharge structure
details basin sizing calculations and a stormwater maintenance plan
Any stormwater ponds located within a park or open space shall be designed and
constructed to be conducive to the normal use and maintenance ofthe park or open space
Stormwater ponds for runoff generated by the subdivision eg general lot runoff public
or private streets common open space parks etc shall not be located in easements
within privately owned lots
While the runoff from the individual lots will be dependent on the intensity of use on
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Exhibit B
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Mandeville Major Subdivision Findings of Fact and Order P08008
each lot the maximum sizing of the storm retention facilities for each lot will be
established based on maximum site development Final facility sizing may be reviewed
and reduced during design review ofthe FSP for each lot
p Plans and specifications and a detailed design report for water and sewer main
extensions streets and storm drainage facilities prepared by a Professional Engineer PE
registered in the state of Montana shall be provided to and approved by the City
Engineer Water and sewer plans shall also be approved by the Montana Department of
Environmental Quality The Applicant shall also provide Professional Engineering
services for Construction Inspection Postconstruction Certification and preparation of
mylar Record Drawings
Construction shall not be initiated on the public infrastructure improvements until the
plans and specifications have been approved and apreconstruction conference has been
conducted All plans and specifications shall comply with the current version including
all addenda ofthe City of Bozeman Design Standards and Specifications Policy and the
City of Bozeman Modifications to Montana Public Works Standard Specifications Fifth
Edition that have been adopted at the time ofapproval ofthe plans and specifications
No building permits shall be issued prior to substantial completion and City acceptance
of the required infrastructure improvements
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Exhibit B
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Mandeville Major Subdivision Findings of Fact and Order P08008
q All infrastructure improvements including 1 water and sewer main extensions and 2
public streets curbgutter sidewalks fronting parks open space rear yard frontages or
other nonlot frontages and related storm drainage infrastructure improvements shall be
financially guaranteed or constructed prior to Final Plat approval
City standard sidewalks shall be constructed on all public street frontages of a property
prior to occupancy of any structure on the property Upon the third anniversary of the
plat recordation of any phase of the subdivision any lot owner who has not constructed
said sidewalk shall without further notice construct within 30 days said sidewalk for
their lots regardless ofwhether other improvements have been made upon the lot This
condition shall be included on the final plat for the subdivision
r All proposed private utilities to serve the subdivision shall be shown on the public
infrastructure plans and specifications
s The location ofand distinction between existing and proposed sewer and water mains and
all easements shall be clearly and accurately depicted on the plans as well as all nearby
fire hydrants and proposed fire hydrants
t Any easements needed for the water and sewer main extensions shall be a minimum of
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30 feet in widthwith the utility located in the center of the easement In no case shall the
utility be less than 10 feet from the edge of the easement All necessary easements shall
be provided prior to final plat approval and shall be shown on the plat
u Street names must be approved by the Gallatin County GIS office and City Engineering
office prior to final plat approval
v The developer shall make arrangements with the City Engineers office to provide
addresses for all individual lots in the subdivision prior to filing of the final plat
w The location of mailboxes shall be coordinated with the City Engineering Department
prior to their installation
x The Montana Department of Fish Wildlife and Parks SCS Montana Department of
Environmental Quality and Army Corps of Engineers shall be contacted regarding the
proposed project and any required permits ie310 404 Turbidity exemption etc shall
be obtained prior to plan and specification approval
y If construction activities related to the project result in the disturbance of more than I
acre ofnatural ground an erosionsediment control plan may be required The Montana
Department of Environmental Quality may need to be contacted by the Applicant to
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Mandeville Major Subdivision Findings of Fact and Order P08008
determine if a Stormwater Discharge Permit is necessary If a permit is required by the
State the Developer shall demonstrate to the City full permit compliance
z The applicant shall submit a construction route map dictating how materials and heavy
equipment will travel to and from the site in accordance with Section 1874020A1of
the Unified Development Ordinance This shall be submitted as part of the final site plan
for site developments or with the infrastructure plans for subdivisions It shall be the
responsibility ofthe applicant to ensure that the construction traffic follows the approved
routes
aa All construction activities shall comply with Section 1874020A2of the Unified
Development Ordinance This shall include routine cleaningsweeping of material that is
dragged to adjacent streets The City may require a guarantee as allowed for under this
section at any time during the construction to ensure any damages or cleaning that are
required are complete The developer shall be responsible to reimburse the City for all
costs associated with the work if it becomes necessary for the City to correct any
problems that are identified
D Compliance with the required subdivision review process
The public hearings before the Planning Board and City Commission were properly
noticed as required by the Bozeman Unified Development Ordinance The notice was
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Mandeville Major Subdivision Findings of Fact and Order P08008
mailed to all adjoining property owners by certified mail and noticed in the Bozeman
Daily Chronicle Based on the recommendation of the DRC and other applicable review
agencies as well as any public testimony received on the matter the Bozeman Planning
Board forwarded a recommendation in a Resolution to the Bozeman City Commission
who made the final decision on the request
E Provision of easements for the location and installation of any planned utilities
All utilities and necessary utility easements will be provided and depicted accordingly on
the final plat for the subdivision
F Provision of legal and physical access to each parcel
The proposed lots will gain access from frontage on proposed internal local streets
Wheat and Redwing Drive
1RTFR
After considering all matters of record presented at the public hearing on December 1
2008 as noted in the minutes from said meeting the Bozeman City Commission found on a 41
vote that the proposed subdivision including the granting of the two requested variances would
comply with the City of Bozeman Growth Policy the requirements of the City of Bozeman
Unified Development Ordinance and the Montana Subdivision and Platting Act if certain
conditions were imposed The evidence as stated or referenced in the Findings of Fact justifies
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Exhibit B
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Mandeville Major Subdivision Findings of Fact and Order P08008
the imposition of the conditions ordered herein to ensure that the final plat complies with all
applicable regulations and all required criteria
THEREFORE IT IS HEREBY ORDERED that the Preliminary Subdivision Plat ofThe
Mandeville Major Subdivision for the property owners City of Bozeman be approved subject
to the following conditions
Planning Office
1 The Final Plat shall conform to all requirements of the Bozeman Municipal Code and the
Uniform Standards for Final Subdivision Plats 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 The applicant shall submit with the application for Final Plat review and approval a written
narrative stating how each of the conditions of preliminary plat approval and noted code
provisions have been satisfactorily addressed and shall include a digital copy pdf of the
entire Final Plat submittal This narrative shall be in sufficient detail to direct the reviewer to
the appropriate plat plan sheet note covenant etc in the submittal
3 The open space area along Mandeville Creek shall be titled Open Space Public Access on
the final plat and a Class IIB nonmotorized gravel fines trail shall be provided in this open
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Mandeville Major Subdivision Findings of Fact and Order P08008
space area Notes shall be included on the final plat describing ownership and maintenance
responsibilities for all open space areas
4 Proposed Lot 5 and 6 shall be reconfigured or combined to make Lot 6 conforming to the lot
width standards of Section 1820040 and 18801720and drive separation requirements of
Section 1844090C2cofthe BMC
5 Lot 11 or another lot suitable to the City of Bozeman Fire Department shall be reserved for
the site of a future fire station
6 The watercourse setback along Mandeville Creek shall be clearly designated on the final plat
and shall be extended to the edge of the delineated 100 year floodplain andor designated
wetland boundaries in accordance with Section 1842100B3dofthe BMC
7 The landscaping plan and property owners association documents for this project shall
specifically address the requirement for coordinated landscaping along the open space and
Lot 1 which back up to the 50 I90 entryway setback This landscaping shall be installed as
part ofinitial subdivision development
8 The covenants and property owner association documents shall include a section for
architectural and landscaping guidelines that will assist in the orderly development of the
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Mandeville Major Subdivision Findings of Fact and Order P08008
subdivision as a unified plan A good example to consider is the guidelines for the industrial
subdivision on Manley Road ie Gallatin Park Subdivision These guidelines shall be
submitted and reviewed as part ofthe Final Plat submittal
9 The surveyed location and any respective easementsor lease information for the existing
communication tower located on proposed Lot 12 shall be provided on or with the final plat
application as appropriate
10 Provisions shall be made fora 25 trail easement along the northern portion of Lot 12 or
easement provisions be retained along abandoned Redwing Drive north of Lot 12 to allow
for additional future pathwaytrail connections to the south and north
11 The northern portion of Lot 1 located on the northeast side ofthe rail spur easement shall
be clearly identified as being part of Lot 1 and shall be designated on the plat and property
owner association documents as to any building access or use restrictions due to being
dissected by the rail spur easement
12 A soils report along with building plans shall be submitted to the Building Division
recommending types of foundations Buildings proposed for construction with crawl spaces
or basements shall include Engineer Certification regarding depth of ground water and soil
conditions and proposed mitigation methods to be submitted with each building permit The
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Mandeville Major Subdivision Findings of Fact and Order P08008
Final Plat shall include a notation that due to high ground water conditions full or partial
basements are not recommended
13 The Montana Department of Fish Wildlife and Parks SCS Montana Department of
Environmental Quality and Army Corps of Engineers shall be contacted regarding the
proposed wetland trail crossings and any required permits ie 310 andor 404 permits shall
be obtained for these crossings prior to final plat approval of the respective phases containing
these improvements
14 A coordinated fencing plan shall be developed for all open space areas This requirement
with appropriate exhibits of fence types shall be addressed and illustrated in the property
owner association documents and submitted as part of the Final Plat submittal
15 Association documents shall address the requirements for street trees a City of Bozeman
planting permit for street trees and obtaining utility locates before any excavation begins in
the City of Bozeman rightofway The covenants shall include a planting note stating that
the planting hole shall be at least twice the diameter of the root ball that the root flare of the
newly planted tree is visible and above ground and there should be a mulch ring 3 4 in
diameter around each newly planted boulevard tree
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Exhibit B
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Mandeville Major Subdivision Findings of Fact and Order P08008
16 Street lighting including pathway intersection lighting shall be installed by the subdivider
Light locations and specifications shall be provided to the City Engineer for review and
approval with the public improvements plans and specifications All street light poles shall be
installed a minimum of 10 from any water or sewer main or appurtenance
17 Subdivision lighting SILD information shall be submitted to the Clerk of Commission after
Preliminary Plat approval in hard copy and digital form The final plat will not be deemed
complete until the resolution to create the SILD has been approved by the City Commission
18 Should historical cultural andor archeological materials be inadvertently discovered during
construction of this project the State Historical Preservation Office SHPO and the
Bozeman Historic Preservation Office shall be contacted immediately and construction
activities shall cease
19 Should any species of concern as defined by the Montana Natural Heritage Program be
discovered onsite during construction the Montana Department of Fish Wildlife and Parks
and the Montana Natural Heritage Program shall be contacted immediately and construction
activities shall cease
Enin
20 Wheat Drive and Redwing Drive within the property boundary shall be improved as part of
this development to a 35 foot wide local standard as shown in the Greater Bozeman Area
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Mandeville Major Subdivision Findings of Fact and Order P08008
Transportation Plan 2001 Update Wheat Drive from State Highway 10 to and along the
northern property boundary and from the southern property boundary to Mandeville Road
would be required to be improved to a 35 foot wide local standard as shown in the Greater
Bozeman Area Transportation Plan 2001 Update prior to issuance of any building permits
for the development City standard curb and gutter and sidewalk shall be provided in the
standard location along both sides of the streets Except no sidewalks are required along the
portion of Wheat Drive from the southern property boundary to Mandeville Road Detailed
review of the street and intersection design and approval by the City Engineer will be
required as part of the infrastructure plan and specification review process
21 A schematic signage plan for the subdivision noting any proposed traffic calming measures
shall be provided with the design report for review and approval by the City Engineer
22 The existing Redwing Drive shall be completely removed from the intersection of State
Highway 10 and Reeves Road to N 7th Avenue
23 All improvements necessary to provide adequate level of service at the intersections ie
State Highway 10Reeves RoadRedwing Drive N 7th AvenueGriffin DriveMandeville
Road and N 7th AvenueOak Street analyzed in the Traffic Impact Study TIS must be
installed or financially guaranteed prior to filing of the plat unless a variance is granted by
the City Commission No building permits will be issued until all required improvements are
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Exhibit B
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Mandeville Major Subdivision Findings of Fact and Order P08008
installed and accepted Approval must also be obtained from the Montana Department of
Transportation for the TIS and for all improvements along State Highway 10N 7t Avenue
Griffin Drive and Oak Street
24 Access Permits for the intersections and Occupancy Permits for water and sewer mains and
services within the States rightofway must be obtained from the Montana Department of
Transportation
25 Sewer flow monitoring shall be performed as part ofthe design report to determine if offsite
improvements are needed to provide adequate capacity If it is determined that offsite
improvements are needed they shall be constructed and accepted prior to issuance of
building permits for the development The master planned line sizes shown in the
Wastewater Facility Plan shall be installed for all trunk mains within the subdivision and the
downstream offsite sewer improvements that are required to provide the necessary capacity
26 Pursuant to section 18420703of the UDO sewer and water mains shall be stubbed out to
the boundary of the subdivision to provide future service to adjoining undeveloped land
27 Provide water and sewer services to each lot No sewer service is shown for Lot 12 and none
of the water services are shown
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Mandeville Major Subdivision Findings of Fact and Order P08008
28 A 30 foot wide alley shall be provided over any sanitary sewer main within the subdivision
that is not located under improved streets
29 Provide 10 ft minimum clearance from the fire hydrants to street lights junction boxes and
signs
30 The proposed subdivision lies within the Solvent Site Water Main Payback District Unless
it has already been addressed this payback is to be fulfilled prior to issuance of building
permits The adopted commission resolution requires the prorated cost of the water main to
be paid prior to connecting to city services The calculated rate for this payback is as
follows
Rate 0082square foot Consumer Price Index Adjustment CPIA
FYI The following are comments to the design reports and other documents in the preliminary
plat submission
a Sections 18 and 19 A 124 permit will be required instead of a 303 permit since the City
is the developer
b Section 30 Water Main Extension Design Report The water model should be redone
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Mandeville Major Subdivision Findings of Fact and Order P08008
The 1500 gpm fire flow is too low for an industrial development Use 8 inch diameter
pipe instead of 10 inch diameter unless the design indicates a larger diameter is
necessary Provide a new PRV instead of a parallel water main The references to the
COB Design Standards are outdated
c Section 31 Sanitary Sewer Main Extension Design Report Include in the calculations
the sanitary sewer flow from the undeveloped property to the south DNRC Determine
if the combined flow necessitates upsizing the downstream sanitary sewer main Figure 3
shows an existing 12 sewer main but the City records show it as 10
d Section 32 Grading and Stormwater Analysis Report
1 Refine the calculations for the post development rate The runoff coefficient C06is
too low for industrial development
2 Use COB Design Standards for the gutter spread depth and calculations Use a 25
year storm instead of 10year storm in the gutter spread calculations
3 The orifice sizing allows less flow out than the pond is sized for Either adjust the
orifice size or the pond size
4 Provide the storm sewer calculations
5 Page 3 1 Existing Basin Characteristics first paragraph Edit this paragraph to
correspond with the requirements of section 1858090B2 ofthe UDO
6 Pages 15 and 17 1 Storm Water Maintenance Plan The retention and detention
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Mandeville Major Subdivision Findings of Fact and Order P08008
ponds and any storm sewer on private property shall be maintained by the HOA not the
City of Bozeman Maintenance by the City of Bozeman is limited to the storm sewer and
inlets within the rightofway
7 Include the culvert sizes and calculations for the creek crossings of Wheat Drive and
Redwing Drive at Spring Creek
Further considerations of the Planning Board
31 The applicant shall consider the incorporation of stormwater sustainability into the project
consider improvements at the offsite intersections to address pedestrian deficiencies and
present the final planplat to the Wetlands Review Board prior to final approval
This City Commission order may be appealed by bringing an action in the Eighteenth
District Court of Gallatin County within 30 days after the adoption ofthese Findings by the City
Commission by following the procedures of Section 763625 MCA The preliminary
approval of this subdivision shall be effective for two years from the date of adoption of these
Findings by the City Commission At the end of this period the City Commission may at the
written request of the subdivider extend its approval as provided for in the Bozeman Unified
Development Ordinance
DATED this 6h day ofApril 2009
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Exhibit B
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Mandeville Major Subdivision Findings of Fact and Order P08008
BOZEMAN CITY COMMISSION
KAAREN JACO SON Mayor
ATTEST APPROVED AS TO FORM
vo
ST CY MEN MC T COOPE
City Cler Assistant City Attorney
31
Exhibit B
109
DESIGN EXHIBIT C
ITEM NO. UNIT QUANTITY ITEM UNIT PRICE TOTAL PRICE
1LS 1 Mobilization/Demob/Bonding 400,000.00$ 400,000.00$
2LS 1 Lower YPL Transmission Pipeline 250,000.00$ 250,000.00$
3 CY 75000 Stripping and Stockpiling of Topsoil 2.00$ 150,000.00$
4 CY 125000 Site Grading (Cut and Fill)3.50$ 437,500.00$
5 LF 7100 10" Ductile Iron Water Main 85.00$ 603,500.00$
6EA 16 6" Fire Hydrant w/Auxiliary Gate Valve 4,000.00$ 64,000.00$
7EA 23 10" Gate Valves w/ Valve Box 2,200.00$ 50,600.00$
8EA 1 10" 45-Deg Bend 325.00$ 325.00$
9EA 12 10" 11.25-Deg Bend 325.00$ 3,900.00$
10 EA 1 10"x10" Tee 900.00$ 900.00$
11 EA 3 10"x12"x12" Saddle Tapping Tee 5,500.00$ 16,500.00$
12 EA 1
Relocate or Install New 12" Pressure Reducing Valve
and Vault 55,000.00$ 55,000.00$
13 LS 1
Bore and Jack 20" Casing for 10" Water Main (Includes
water main restraits) - Railroad 85,000.00$ 85,000.00$
14 LS 1
Bore and Jack 16" Casing for 10" Water Main (Includes
water main restraits) - Highway 10 65,000.00$ 65,000.00$
15 EA 3 Connections to Existing Water Mains 750.00$ 2,250.00$
16 EA 22 New 1 1/2" Water Service - Saddle and Connection 2,250.00$ 49,500.00$
17 EA 2 Temporary water service 1,000.00$ 2,000.00$
18 EA 22 6" Sprinkler Service w/ Tee, Valve, and Capped 2,250.00$ 49,500.00$
19 LF 5035 10" PVC SDR 35 Sewer Main 35.00$ 176,225.00$
20 EA 17 48" Dia. Sanitary Manhole 2,500.00$ 42,500.00$
21 EA 3 60" "Dog-House" Manhole 3,500.00$ 10,500.00$
22 EA 22 4" Sanitary Sewer Services 850.00$ 18,700.00$
23 LS 2
Bore and Jack 20" Casing for 10" Sanitary Main
(Includes water main restraits) - Railroad 75,000.00$ 150,000.00$
24 LS 2
Bore and Jack 16" Casing for 10" Sanitary Main
(Includes water main restraits) - Highway 10 65,000.00$ 130,000.00$
25 LF 6200 12" RCP Storm Main 65.00$ 403,000.00$
26 EA 35 48" Storm Manholes 3,250.00$ 113,750.00$
27 EA 35 Manhole Grates/Curb Inlets/Lids 550.00$ 19,250.00$
28 EA 4 Storm Pond Outlet Structure 3,500.00$ 14,000.00$
29 CY 12450 Site Road Subbase 18.00$ 224,100.00$
30 CY 6250 Site Road Base Course 27.00$ 168,750.00$
31 LF 15500 Curb and Gutter 10.00$ 155,000.00$
32 SY 24506 Site 4" Asphalt Pavement 18.00$ 441,108.00$
33 SY 24506 Site Chip Seal 4.00$ 98,024.00$
34 LS 1 Site Signs and Striping 25,000.00$ 25,000.00$
35 LF 1370 Class IIB Trail 10.00$ 13,700.00$
36 EA 2 Spring Creek Crossing (assumed large box culvert)45,000.00$ 90,000.00$
37 AC 65 Revegetate Disturbed Areas 1,500.00$ 97,500.00$
38 CY 4275 DNRC Road Subbase 16.00$ 68,400.00$
39 CY 2150 DNRC Road Base Course 25.00$ 53,750.00$
40 LF 5400 DNRC Curb and Gutter 20.00$ 108,000.00$
41 SY 8700 DNRC 4" Asphalt Pavement 18.00$ 156,600.00$
42 SY 8700 DNRC Chip Seal 4.00$ 34,800.00$
43 LS 1 DNRC Signs and Striping 5,000.00$ 5,000.00$
CONSTRUCTION SUBTOTAL 5,103,132.00$
44 LS 1 Engineering Design (5% of Construction)255,156.60$ 255,156.60$
45 LS 1 Construction Survey Staking (1.5% of Construction)76,546.98$ 76,546.98$
46 LS 1 Construction Management (3% of Construction)153,093.96$ 153,093.96$
484,797.54$
5,587,929.54$
DESIGN, SURVEY AND MANAGEMENT SUBTOTAL
PRELIMINARY ENGINEER'S ESTIMATE
MANDEVILLE SUBDIVISION
SITE IMPROVEMENTS
PROJECT TOTAL
110