HomeMy WebLinkAboutDraft Request for Proposals for Construction of Hotel with Meeting Facilities in Downtown Bozeman, Carnegie Parcel1
Commission Memorandum
REPORT TO: Honorable Mayor and City Commission
FROM: Brit Fontenot, Director of Economic Development
And Community Relations
SUBJECT: Commission Review and Comment on the Draft Request for Proposals (RFP) for the Construction of a Full Service Hotel with Meeting Facilities in Downtown Bozeman, Montana on the Carnegie Parcel Located at 106
East Mendenhall Street.
MEETING DATE: September 26, 2011
AGENDA ITEM TYPE: Action Item
RECOMMENDATION: After having reviewed the RFP and taking public comment, consider offering comments and suggestions to staff relating to the content and proposed selection schedule outlined in the draft RFP and direct staff to finalize and publish the
document.
BACKGROUND:
The draft RFP for the construction of a full Service hotel with meeting facilities in downtown Bozeman, Montana on the Carnegie parcel located at 106 East Mendenhall Street is attached
hereto as Attachment 1.
The Carnegie parcel is located on the corner of North Black and East Mendenhall at 106 East
Mendenhall. (Attachment 2) The lot contains 71 parking spaces. The property was purchased by the City of Bozeman in 1976. (Attachments 3 & 4) Additionally, the Carnegie parcel is located directly east, across North Black Avenue, from Bozeman’s five-story (including the basement
level), 435 space parking structure, Bridger Park Downtown.
On May 9, 2011, the City conducted a public forum and information and listening session in the
City Commission meeting room with businesses and property owners surrounding the Carnegie parcel. Approximately 25 – 30 business and property owners, staff and elected officials participated in the discussion. (Attachments 5 and 6)
The majority of property and business owners present at the meeting expressed concern that
disposing of the subject property may negatively impact their business due to the proposed
displacement of public parking at the Carnegie parcel. There was some support for the sale of the
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Carnegie parcel for a higher and better use than that of a surface parking lot and still other
attendees expressed a great deal of interest but had no recommendation at that time.
On May 11, 2011, the Bozeman Parking Commission met in the City Commission meeting room
at its regularly scheduled monthly meeting wherein the Parking Commission found by a vote of 5 – 1 (with one recusal) that there is a higher and better economic use and a greater benefit to the downtown area for the Carnegie parcel than surface parking due to the amount of available
parking in the vicinity of this lot, particularly at the Bridger Park Downtown, which currently has
the capacity to replace removal of the Carnegie lot spaces. Accordingly, the Parking Commission
found that the Carnegie parcel is not needed to provide public parking. (Attachment 7)
On June 13, 2011, the City Commission conducted a public hearing to determine whether real
property owned by the City of Bozeman located at 106 East Mendenhall Street, known as the
Carnegie parcel, is necessary for the conduct of City business or the preservation of its property
and provided direction to staff. (Attachment 8)
The Commission took the following action:
Vote on the Motion that having conducted a Public hearing considered written and spoken public testimony the recommendation of the Parking Commission and based on the findings contained
in the staff memorandum findings provided by the Parking Commission and findings articulated
by the Commission during discussion I hereby move:
1. That the real property known as the Carnegie parking lot (lots 17A, 18, 19, 20, 21, and 22 of Block E of the Original Town-site of Bozeman, Montana) located at 106 East
Mendenhall is no longer necessary for the conduct of City of Bozeman business or the
preservation of City of Bozeman property and that sale and development of the real
property by a private entity, in compliance with adopted City plans, is in the public
interest;
2. That any motion made by the Commission on May 2, 2011 regarding this property or the
proposed sale of is superseded in its entirety by this motion; and
3. That the staff is hereby directed to proceed with a request for proposals process that could authorize the sale of the Carnegie parking lot to the entity whose proposal satisfies all
legal requirements for the sale of City real property and whose development proposal the
Commission determines best fulfills the objectives of the City’s 2020 Community Plan,
its Economic Development Plan, and the Downtown Improvement Plan.
Those voting Aye being Crs. Becker, Mehl, Andrus, Taylor, and Mayor Krauss.
Those voting No being none.
The motion passed 5-0.
With Commission direction, utilizing both internal and external resources, Parking, Legal,
Planning and Economic Development staff prepared the draft RFP for review. Other internal
reviews include those by Finance and Administration. Additionally, external, private sector, review of the RFP was solicited and comments received and incorporated into the draft.
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Once approved by the Commission and finalized, staff intends to:
1. Submit the RFP notice to the local newspaper of record for publication, as required by
State statute; 2. E-mail the RFP to private individuals who have requested said service;
3. Publish the RFP, related plans, associated documents, and frequently asked questions
(FAQ) on www.bozeman.net . (Attachment 9) 4. Publish an abbreviated RFP notice in one newspaper with nationwide circulation; and
5. Publish an abbreviated RFP notice in one newspaper with regional circulation.
At the time of the submittal of this memo, no additional public comment has been received.
UNRESOLVED ISSUES: None at this time.
ALTERNATIVES: As recommended by the Commission.
UNRESOLVED ISSUES: None at this time.
ALTERNATIVES: As recommended by the Commission.
FISCAL EFFECTS: At this time, fiscal effects are undetermined.
Attachments:
1. Draft RFP for the Construction of a Full Service Hotel with Meeting Facilities in Downtown Bozeman, Montana on the Carnegie Parcel located at 106 East Mendenhall
Street;
2. Aerial photograph of the Carnegie parcel;
3. Deeds (3) to the property located at 106 E. Mendenhall (Carnegie parcel);
4. Plat map of the property located at 106 E. Mendenhall (Carnegie parcel); 5. Sign in sheet for the May 9, 2011, Carnegie parcel public forum;
6. Public comment received as of September 15, 2011;
7. Minutes from the May 11, 2011, Parking Commission meeting and Parking Commission
Guidelines;
8. Minutes from the June 13, 2011, City Commission meeting; and 9. Screen shot of the City of Bozeman’s webpage for all documents and FAQ’s related to
the RFP for the construction of a full service hotel with meeting facilities in downtown
Bozeman, Montana on the Carnegie parcel located at 106 East Mendenhall Street.
Report compiled on: September 15, 2011
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City of Bozeman, Montana
Request for Proposals (RFP) for the Construction of a
Full Service Hotel with Meeting Facilities In
Downtown Bozeman
Section 1
INTRODUCTION
―In some ways it is surprising that a community of Bozeman‘s stature does not already have a
small 50-80 room, ‗four star‘ hotel. The university, the hospital and other corporate entities
report that such a hotel is needed for many types of visitors.‖1
Thank you for your interest in the development of a full-service hotel with meeting facilities in
the heart of downtown Bozeman, Montana, and the northern Rocky Mountains, gateway to
Yellowstone National Park. This RFP is a request for detailed plans for the financing,
construction and operations of a downtown hotel from professionals in the development
community. The level of design, furnishing and operation of the project must be commensurate
with a high quality, unique lifestyle hotel with individualized, non-franchised architecture.
Respondent must show multiple successes in developing and operating high quality hotels in
similar environments.
Section 2
DEVELOPMENT OPPORTUNITY
The property development opportunity is to design, build and operate a full service hotel with
meeting facilities to attract more downtown patrons and high quality events and help the City of
Bozeman (the City) maintain strong tourism, entertainment and cultural and professional events
industries. The project must be consistent with all City plans that relate to its historic downtown
core and dynamic Central Business District including but not limited to the stated goals of the
Bozeman City Commission, the Downtown Bozeman Improvement Plan, Bozeman Community
Plan and the Economic Development Plan.
Section 3
WHY BOZEMAN?
Located in the heart of the Rocky Mountains, Bozeman is truly a remarkable community. The
City of 38,000 people serves a region of 90,000+ with backgrounds and cultures as diverse as the
Montana landscape. From cattle ranchers to high tech engineers, the area is home to a breed of
1 Downtown Bozeman Improvement Plan, page 37.
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people who have come to appreciate an unmatched quality of life. While retaining a small town
feel, Bozeman prides itself on offering community activities and programs typically available
only in larger, metropolitan areas. Combine the wide array of cultural resources with an
abundance of outdoor recreational opportunities and it's easy to understand why Bozeman
consistently ranks as one of the nation's most livable cities.
The Gallatin Valley is one of the fastest-growing areas in the Northern Rocky Mountains.
Bozeman is the regional trade, education and medical center and consistently hosts top-tier
medical, retail, cultural and educational amenities that service southwest Montana, northwest
Wyoming and eastern Idaho. Through innovation, collaboration and a focused effort, Bozeman is
well positioned as a competitive and attractive place to conduct business, live, visit and recreate.
Bozeman is also home to Montana State University, a thriving research university. A new
classification system by the Carnegie Foundation for the Advancement of Teaching recognizes
MSU as one of 96 research universities with ―very high research activity.‖ Other such
institutions are Yale University, Harvard University, Johns Hopkins University, the University of
Washington and Oregon State University. MSU, through competitively awarded grants and
contracts, had $109,481,694 in research expenditures between 2009 and 2010. MSU's most
valuable contribution to the state's economy is an educated workforce that attracts, promotes, and
retains higher paying jobs in Montana.
Considered the ―Gateway to Yellowstone National Park‖ Bozeman boasts visitor numbers of
over approximately one million visitors per year. Three world class ski resorts, Bridger Bowl,
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Big Sky and Moonlight Basin are only minutes away. Many visitors arrive in Bozeman via
Interstate 90, which bisects the beautiful Gallatin Valley from east to west. Many others transit
via the recently expanded Gallatin Field Airport, one of the busiest airports in the State of
Montana. Gallatin Field Airport recorded its busiest year ever with 365,210 passengers boarding
airline flights in 2010. This represents a 6.6% increase over 2009 and nearly 14,000 passengers
more than the previous record set in 2008. Presently, Gallatin Field Airport and local private
business interests are exploring the feasibility of providing a customs agent for international
passenger arrivals and departures. A newly constructed concourse addition will expand service to
five airlines and averages 20 flights per day including many non-stop connections to major hubs
including Atlanta (seasonal), Chicago, Denver, Los Angeles (seasonal), Las Vegas, Minneapolis,
Phoenix, Salt Lake City, San Francisco (seasonal) and Seattle. Additionally, two private jet
centers provide an array of services to private jet passengers.
Over the years, Bozeman has been fortunate to be included on several ―Best Of‖ lists from a
variety of sources. For example, in 2010 an economic research firm ranked Bozeman as the
seventh strongest micropolitan economy in 2010 out of 576 small cities studied throughout the
United States. Additional recognitions include:2
a. ―Where to Live and Play Now‖: This article by National Geo- Adventure recommended
Bozeman as a good place to raise children for the reasons of safety, exposure to culture,
and outdoor amenities. October, 2009;
b. ―The Union of Town and Gown‖: Entrepreneur Magazine highlighted colleges that are
working with their cities to foster a local entrepreneurial spirit that will develop the
economy and encourage business-savvy students to stick around post-graduation.
Bozeman ranked #6 on this list. October, 2009;
c. ―Happiest States of 2009: The List‖: LiveScience ranked Montana #3 behind Hawaii and
Utah where the index included questions about six areas of well-being, including overall
evaluation of resident‘s lives, emotional health, physical health, healthy behaviors and
job satisfaction. February, 2010;
d. ―Best Towns 2010 – Best for Skiing (West)‖: Outside magazine featured the top 25
towns in America for cycling, paddling, running, surfing, skiing, and — because you
might want everything — all of the above. Bozeman received these accolades for having
two ski areas and 350 inches of annual snowfall. August, 2010;
e. ―10 Best Affordable Mountain Towns for Retirement‖: According to U.S. News & World
Report, Bozeman fits the bill of offering access to plenty of skiing, trails, and wildlife,
while still providing affordable housing and a reasonable cost of living in addition to
other retiree-friendly characteristics, such as access to healthcare and a low crime rate.
July, 2010;
2 This list was excerpted from Robyn Erlenbush‘s article ―Twelve Reasons to Live in Big Sky Country‖ appearing in
the Bozeman Daily Chronicle’s Businesss2Business publication on January 11, 2011.
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f. ―Bozeman named #1 town to live (if you‘re a skier)‖: According to Powder magazine,
―Bozeman is the perfect mix of ski town and skitropolis; it‘s more affordable than
Jackson Hole, less crowded than Salt Lake City and more of a real town than Whistler.‖
November, 2010; and
g. ―Top Retirement Town‖: Bozeman was profiled in Where to Retire magazine‘s
November/December issue for possessing many qualities important to today‘s retirees.
October, 2010.
The region also hosts numerous ―blue ribbon‖ trout fishing streams including the nearby
Yellowstone, Boulder, Madison, and Gallatin rivers. Bozeman is also distinguished by its
thriving and vibrant downtown food, culture, arts, and entertainment scenes.
Bozeman is the regional hub for retail and commerce, education, healthcare, tourism,
manufacturing and innovation. Bozeman is home to notable, one-of-a-kind, worldwide
organizations such as Right Now Technologies, Zoot Enterprises, Schedulicity.com, Simms
Fishing Products, Mystery Ranch Backpacks, West Paw Design, LigoCyte Pharmaceuticals,
Bacterin International, Scientific Materials, BioScience Laboratories, Foundant Technologies,
Bridger Photonics, ILX Lightwave, and Lattice Materials, to name only a few.
Bozeman is a dynamic, growing, and thriving community boasting an excellent university
surrounded by beautiful mountains, clear streams, and fertile land. The Bozeman community
strongly supports our excellent school systems which are important to our well-educated
community and workforce. Additionally, Bozeman is the regional trade and medical center of
southwest Montana and hosts top-tier medical, retail, and cultural amenities that service
southwest Montana, northwest Wyoming, and eastern Idaho. Add the scenic beauty of our
mountains, 82 miles of designated ―Blue Ribbon‖ trout streams, and proximity to Yellowstone
National Park (80 miles), Big Sky (48 miles), Moonlight Basin (50 miles), and Bridger Bowl (13
miles) ski areas and one can see why Bozeman is a great place to visit, call home or start or
relocate a business.
Section 4
PROJECT GOALS AND OBJECTIVES
a. Develop a regionally and nationally recognized, high quality downtown hotel with
meeting facilities;
b. Enhance the dynamic environment of downtown Bozeman with a boutique hotel that
complements the area‘s existing retail, dining, entertainment, accommodation, and
meeting venues;
c. Serve as an added catalyst for continued economic growth and provide a direct economic
benefit to Bozeman;
d. Maximize the site‘s potential in a creative and complementary manner;
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e. Reflect and respect the architectural and spatial context of the site;
f. Create long-term and sustainable jobs; and
g. Further the goals and objectives of the Bozeman City Commission, Downtown Bozeman
Improvement Plan, Bozeman Community Plan, and the City‘s Economic Development
Plan.
Section 5
THE PROPERTY
The development opportunity is located on a 26,600 square foot parcel known as the ―Carnegie
parcel‖ located on the corner of North Black Avenue and East Mendenhall Street at 106 East
Mendenhall Street. The Carnegie parcel presently serves as a surface parcel and contains 71
parking spaces. The property was purchased by the City in 1976. Additionally, the Carnegie
parcel is located directly east, across North Black Avenue, from Bozeman‘s five-story (including
the basement level), 435 space parking, restaurant, and retail structure, Bridger Park Downtown.
Located in Bozeman‘s Central Business District and immediately north of Main Street, the site is
within less than five minutes walking distance of entertainment and cultural attractions, multiple
historic districts, business services, public library, public parks, public parking structure,
restaurants, shopping, and public transit. The site is owned by the City and currently managed by
the Bozeman Parking Commission as a public surface parcel.
The parcel is adjacent to Bozeman‘s Main Street Historic District, recognized on the National
Register of Historic Places as a historic commercial center with a period of historic significance
between 1872 and 1945. Bozeman‘s Main Street district remains the heart of the community, and
attracts innumerable area residents and many thousands of out–of-town visitors per year.
Although both existing historic hotels located within the district have been converted to private
non-hotel uses, visitors often express an interest in staying in or directly adjacent to the Main
Street district given its proximity to numerous locally-owned restaurants, galleries, boutiques as
well as music, cultural, and community events.
Section 6
SELECTION
Through this RFP process, the highest qualified proposals will be forwarded to the Bozeman
City Commission for final selection. Formal negotiations for a sale and development agreement
are expected at the end of this process.
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Section 7
DEVELOPMENT SITE INFORMATION
The proposed 26,600 square foot hotel site is located on real property owned by the City known
as the Carnegie parcel (lots 17-A, 18, 19, 20, 21, and 22 of Block E of the Original Townsite of
Bozeman, Montana) located at 106 East Mendenhall (see the orange square on the maps below).
Details related to the size, zoning, and development capacity of the site area are summarized in
the City‘s Unified Development Code or UDC.
Map A
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Map B
Section 8
DEVELOPMENT PARAMETERS
HEIGHT LIMIT
The maximum height allowed for the development site is 70 feet as defined in the UDC.
Compatibility with adjacent development may require less than the maximum for some portions
of the building based on building design. The maximum height of the proposed hotel shall be
measured from the sidewalk.
Details related to the size, zoning, and development capacity of the site area are summarized in
the City‘s UDC.
LOT COVERAGE
The entire area of the lot may be covered exclusive of the minimum yard setbacks.
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PARKING AND EASEMENT REQUIREMENTS
Provide the minimum number of spaces required by the UDC (See UDC, Section 18.46.040).
The City will entertain cash in lieu of parking spaces or an arrangement with the Bridger Park
Downtown. Additionally, the City will consider shared parking proposals utilizing adjacent
parking resources.
DESIGN FLEXIBILITY
There are opportunities for flexibility in compliance with numeric standards in exchange for
superior design. (See UDC, Section 18.28.070)
Section 9
DUE DILIGENCE INFORMATION
Property Appraisal
The City has obtained a real estate appraisal on the Carnegie parcel. The appraisal is available at
http://www.bozeman.net/Departments-(1)/Administration/Commission/BID---RFP---RFQ.
Property Title
The City has contracted for a Preliminary Commitment for Title Report to be prepared for the
Carnegie parcel. The Preliminary Commitment for Title Report is available at
http://www.bozeman.net/Departments-(1)/Administration/Commission/BID---RFP---RFQ.
Zoning
The site is zoned B-3, Central Business District, see http://www.bozeman.net/Departments-
(1)/Administration/Commission/BID---RFP---RFQ for a current zone map.
Environmental Clearance
The City has contracted for a Phase I Environmental Assessment to be prepared for the Carnegie
parcel. The Phase I Environmental Assessment is available at
http://www.bozeman.net/Departments-(1)/Administration/Commission/BID---RFP---RFQ.
Section 10
DESIGN CONCEPTS AND GUIDELINES
Design guidelines for the Downtown area, of which the hotel site is a part, are provided in the
Downtown Bozeman Improvement Plan and the Design Guidelines for the Neighborhood
Conservation Overlay. The guiding design principles for this area are summarized as follows:
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a. Reinforce the Downtown Bozeman Improvement Plan, Bozeman Community Plan, the
City‘s Economic Development Plan, and the City Commission‘s 2011 - 2012 Work Plan;
b. Respect history and community landmarks;
c. Promote high standards of street design with active streetscapes and visually permeable
street level facades;
d. Create a vibrant edge to the street with strong building character and proximity to the
sidewalk;
e. Maintain and extend historic streetscape elements as specified in the ―Downtown
Business Improvement District Streetscape Plan‖;
f. Maintain the distinction between the street level and the upper floor in the building
design;
g. Provide a gracious setting, Create dignified public spaces; embellish outdoor spaces;
h. Achieve building design coherence;
i. Maintain and extend the traditional building form and mass as seen in the surrounding
commercial district, the building may express traditional form and massing with current
architectural vocabulary;
j. Use building materials as seen traditionally in the surrounding commercial district;
k. Communicate building function; and
l. Build to the highest standards.
Section 11
SUBMITTAL REQUIREMENTS/CONSIDERATIONS
Except for the project pro-forma and information regarding the ability to financially
guarantee the project, after the closing date for submissions all submittal documents are
considered public records.
Each submittal must contain all of the following:
a. Discuss how the proposal is consistent with, and furthers City Commission Policy
Initiative 1c) ―[f]acilitate the development of a downtown hotel as identified in the
downtown development plan‖, of the Commission‘s 2011 - 2012 Work Plan
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[HYPERLINK] the Downtown Bozeman Improvement Plan, Bozeman Community
Plan, and the City‘s Economic Development Plan;
b. Include a detailed description of the proposed project (building sq. footage, number of
floors, proposed uses, not less than 20% interior and 50% exterior schematics, including
the proposed number of rooms, a discussion of retail, restaurant, meeting and/or other
proposed use of space (if applicable);
c. Provide a parking plan that includes the appropriate number of parking spaces required to
serve the proposed hotel. Include a detailed description of how parking issues will be
addressed;
d. Discuss the inclusion of meeting facilities in the proposal;
e. Enumerate and describe public (local, state and federal) incentives or funding sought.
Proposals involving any contribution from the City's General Fund will not be
considered;
f. Clearly delineate the desired role of the City, if any, in terms of the financing,
construction, and operations of a downtown hotel;
g. Include estimated project costs, timeline for completion, and a summary of proposed
equity/financing structure;
h. State whether the intent is to purchase the property from the City and proposed purchase
price or propose an alternative legal relationship;
i. Provide an economic plan/pro-forma. In a separate document or documents, substantiate
the financial capacity to fund the project costs, including: 1) lot purchase, if that is
proposed; and 2) estimated construction costs, including both detailed hard costs and soft
costs, and financing costs, if any. In addition, provide a detailed pro-forma operating
budget and substantiate the ability to fund costs in excess of income if startup losses are
concluded in the budget. ―Substantiation‖ will be considered an accountant prepared
verification of equity capital sufficient to construct and operate the project, a letter of
commitment from a bank or other reputable commercial lender in an amount sufficient to
construct and operate the project, or verification of a combination of equity capital and a
lender letter of commitment. Except for the project pro-forma and information
regarding the ability to financially guarantee the project, after the closing date for
submissions all submittal documents are considered public records;
j. If an alternative legal relationship is proposed, provide proposed transaction terms and
conditions and a term sheet that includes the proposed lease amount and proposed lease
term;
k. Acknowledge the rights of the City, per Section 18;
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l. Include a narrative and photographic history of successfully completed projects of similar
scope;
m. Provide public and/or private sector project references;
n. Acknowledge that the City reserves the right to require the reversion of the property back
to the City if the project is not commenced or completed within a pre-determined time
frame;
o. Acknowledge that the City will maintain ownership and operational rights of the
Carnegie parcel until a proposal is approved, contracts are executed, and a building
permit issued for the project;
p. Identify long-term, sustainable jobs created;
q. Describe the project‘s contribution to the area economy through the utilization of locally
sourced materials, professionals, and labor;
r. Provide a full description of the submitting development entity, including full legal name,
type, ownership, and primary contact regarding submittal;
s. Identify the management company that will manage the overall, long-term hotel
operations and describe the proposed legal relationship between the City and the
submitting entity;
t. Provide identification and qualifications of the proposed team members (i.e. the
developer, hotel operator, etc). Include a single contact person for all correspondence and
notifications;
u. Provide a description of the project‘s potential to serve as an economic stimulus to the
area and projected economic impact, including impact on the local lodging, local Tourism
Business Improvement District or facility use tax ($1/night stay), and local property tax
base;
v. Identify additional project benefits to the City, such as jobs created, services provided,
and needs met;
w. Provide a traffic and access plan describing the maintenance of access to the Bridger Park
Downtown and all other adjacent businesses throughout the site preparation and
construction phases; and
x. Acknowledge the City‘s anti-discrimination policy for contracts, purchases, and other
agreements.
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Prior to executing a contract for the sale of the subject property, or permitting of the
project, the City may require the successful submitting entity to furnish an approved
Construction Performance Bond and a Construction (Labor and Materials) Payment
Bond, each in the amount of one hundred percent (100%) of the contract amount.
Insurance, as required by the City, shall be provided by the successful submitting entity
and a certificate(s) of that insurance shall be provided under terms approved by the City
Attorney.
Teams are encouraged to provide any information that will assist the City in the evaluation of
their submission. However, bulky promotional materials not directly related to the project are
discouraged.
Submissions must be in the actual possession of the Office of the Bozeman City Clerk, (121
North Rouse Ave, P.O. Box 1230, Bozeman, MT 59771 on or prior to Tuesday, January 3,
2012 at 5:00pm, Mountain Standard Time.
Late submissions will not be considered. Submissions must be provided in a sealed package with
the statement ―Downtown Bozeman Hotel Proposal‖ and the prime contact name and address
clearly labeled on the front. Please submit ten (10) complete paper copies and five (5)
complete digital copies on CD-ROM or flash drive of the proposal. PDF digital file formats
preferred.
Section 12
EVALUATION PROCESS
THE CITY RESERVES THE RIGHT TO REJECT ANY OR ALL SUBMITTALS AT
ITS SOLE AND ABSOLUTE DISCRETION.
The City will designate a Preliminary Review Panel (Panel) to evaluate all proposals received in
response to this RFP. The Panel will assess the proposals based on the evaluation criteria
described in Section 13, below. Panel members will score each proposal in their own preferred
order. The scores assigned by each Panel member will be based on the individual member‘s
reasonable judgment as to the degree to which the proposal complies with the criteria and intent
of the RFP process.
Members of the Panel and other City staff may contact references and industry sources,
investigate previous projects and current commitments, and interview some or all of the
development team.
The proposals passing preliminary review will be forwarded to the Bozeman City Commission
for final selection based on the evaluation criteria described below. Respondents selected for
Commission review may be requested to present their full proposal before the City Commission
at a public meeting.
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Architectural design of final selected proposal will be reviewed through the City‘s Planning
Department, with particular attention paid to the municipal code requirements for Certificates of
Appropriateness. Bozeman‘s Design Guidelines for Historic Preservation and the Neighborhood
Conservation Overlay District should be consulted during the design process and will be used by
City Planning Staff to evaluate the project. The City does not require any particular architectural
style in building design. Planning staff is available to further discuss design guidelines,
objectives, and intent as needed.
Section 13
EVALUATION CRITERIA
The following criteria will be utilized in determining those submittals deemed most
advantageous to the City and most responsive to stated goals of this project. The City reserves
the right during the evaluation process to determine the weight to be applied to each.
a. Development Entity/Capacity
i. Demonstrated experience in successful financing, development, operation, and
economic performance of comparable projects;
ii. Ability to complete the project in a timely fashion; and
iii. Preference will be given to those developers/operators that have experience in
public/private projects utilizing private sector financing.
b. Submittal Requirements
i. Extent to which the submittal satisfies the Submittal Requirements/Considerations
described in Section 11 and the Project Goals and Objectives described in Section
4; and
ii. Ability to effectively design, construct, and operate the project within the
Development Parameters described in Section 8.
c. Transaction Terms
i. Proposed development schedule and phasing required to complete the project; and
ii. Quality and feasibility of proposed business offer.
Section 14
PROPOSED SELECTION SCHEDULE
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The City intends to proceed in accordance with the schedule shown below. The City reserves the
right to issue written notice of any changes in the schedule should the City determine, in its sole
and absolute discretion, that such changes are necessary or desirable. The City agrees to
provide adequate notice to respondents should the schedule be amended. Such notice will
be provided through the City’s website at www.bozeman.net.
Section 15
SCHEDULE
RFP Release: October 3, 2011
Due date for written questions: December 1, 2011
RFP Response Deadline: January 3, 2012 (no later than 5:00pm Mountain Time)
Section 16
INQUIRIES
All questions regarding the RFP shall be in writing and directed to:
Brit Fontenot
Director of Economic Development
and Community Relations
City of Bozeman, Montana
406-582-2258
bfontenot@bozeman.net
Written questions and responses will be published on the City‘s webpage at
http://www.bozeman.net/Departments-(1)/Administration/Commission/BID---RFP---RFQ
Section 17
RESPONDENT RESPONSIBILITIES
All facts and opinions stated herein and in any additional information, whether written or oral,
provided by the City of Bozeman and/or its representatives, are based on available information
and are believed to be accurate. However, no representation or warranty is made with respect
thereto. The information in this document is intended to help prospective respondents create
viable responses. However, it is the sole and absolute responsibility of those responding to this
request to complete their own due diligence with regard to the information contained herein,
including, without limitation, any development restrictions, whether contractual, governmental,
physical, or otherwise, which may restrict or affect development of the site. Development is
subject to all applicable development standards and restrictions.
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Section 18
RESERVATION OF RIGHTS BY CITY OF BOZEMAN
The issuance of this RFP and the acceptance of a submittal does not constitute an agreement by
the City that any contract will actually be entered into by the City. Any costs incurred by
respondents in preparation of a response to this RFP or future RFP are completely the
responsibility of the respondents. Any or all disputes arising under this RFP and any contract
negotiated as a result of this RFP shall be governed by the laws of the State of Montana. The
City reserves the right to issue written notice of any changes in the submittal process
should the City determine, in its sole and absolute discretion, that such changes are
necessary or desirable.
In addition and notwithstanding any other provision of the RFP, the City reserves the right to:
a. Waive any immaterial defect or informality in a submittal;
b. Extend or otherwise revise the submittal date;
c. Reject any or all submissions or portions thereof;
d. Reissue a new or revised RFP; and
e. Request additional information or one or more teams to submit a more detailed submittal.
Section 19
NO PARTNERSHIP/BUSINESS ORGANIZATION
Nothing in this RFP or in any subsequent development agreement, lease, or any other contract
entered into as a result of this RFP shall constitute, create, give rise to or otherwise be recognized
as a partnership or formal business organization of any kind between or among the City or the
team unless agreed to by the City.
Section 20
EMPLOYMENT RESTRICTION AND INDEMNITY
No person who is an officer, employee, contractor or consultant of a team shall be an officer or
employee of the City. No rights of the City‘s, retirement or personnel rules accrue to the
submitting team, its officers, employees, contractors, or consultants. The successful team shall
have the total responsibility of all salaries, wages, bonuses, retirement, withholdings, worker‘s
compensation and occupational disease compensation, insurance, unemployment compensation
other benefits and taxes and premiums appurtenant thereto concerning its officers, employees,
contractors, and consultants. Each submitting team shall save and hold the City harmless with
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respect to any and all claims for payment, compensation, salary, wages, bonuses, retirement,
withholdings, worker‘s compensation and occupational disease compensation, insurance,
unemployment compensation other benefits and taxes and premiums in any way related to each
submitting team‘s officers, employees, contractors and consultants.
Section 21
PROPERTY RIGHTS/DISCLOSURE OF INFORMATION
All materials submitted in response to this RFP and submittals subsequent thereto, shall become
the property of the City upon delivery.
By tendering a response to this RFP, every submitting team waives any right of access to other
submittals during the review period.
Any entity tendering a submittal in response to this RFP further acknowledges and understands
that the City is a public entity required to abide by public record laws and shall not be liable for
disclosures required by law.
Section 22
SUBMITTAL REJECTION/RIGHT TO DISQUALIFY
Submittal of terms, condition and/or agreements may result in rejection if such terms, conditions,
or agreements are deemed unacceptable by the City in its sole discretion. The City reserves the
right to disqualify any team who fails to provide information or data specifically requested herein
or who provides materially inaccurate or misleading information or data or who attempts to
influence the selection process outside the procedures established herein. The City reserves the
right to disqualify any team on the basis of any real or apparent conflict of interest. This
disqualification is at the sole discretion of the City.
Section 23
CITY OF BOZEMAN’S ANTI-DISCRIMINATION POLICY
Each entity submitting under this notice shall include a provision wherein the submitting entity,
or entities, affirms in writing it will not discriminate on the basis of race, color, religion, creed,
sex, age, marital status, national origin, or because of actual or perceived sexual orientation,
gender identity or disability and which also recognizes the eventual contract will contain a
provision prohibiting discrimination as described above and that this prohibition on
discrimination shall apply to the hiring and treatment of the submitting entity‘s employees and to
all subcontracts.
Failure to comply with the above shall be cause for the City to deem the submittal non-
responsive.
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####
END OF RFP
75
N BLACK AVE E MENDENHALL ST N BOZEMAN AVE 6 inch
10 inch10 inch6 inch 6 inch
6 inch10 inch6 inch
8 inch8 inch6 inch
8 inch6 inch 8 inch 8 inch 6 inch 6 inch
8 inch8 inch8 inch100 0 10050 Feet¯1 inch = 50 feet
Legend
Parcels
Water Mains
Sewer MainsRevised: 4/12/11
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79
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Bozeman Parking Commission Meeting
May 11, 2011 7:00 a.m.
City Hall Commission Room
Parking Commissioners in Attendance:
Pam Bryan
Chris Naumann
Chris Pope
Tammy Hauer
Ben Bennett
Ben Lloyd
Lisa Dazl-Scott
City Staff in Attendance:
Cyndy Andrus, City Commissioner
Laurae Clark, Treasurer
Paul Burns, Parking Manager
Ashlie Portnell, Parking Clerk
Guests in Attendance:
None
Action Items:
The June meeting was officially rescheduled for June 1, 2011
Ben L motioned that there is a higher use for the Carnegie lot, Chris P
seconded the motion. A vote was taken and the motioned passed with a 5
to 1 vote.
I. Call to order
Pam called the meeting to order at 7:30am.
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II. Approval of April 13, 2011 minutes
Pam asked for a motion to approve the April 13, 2011 minutes. Chris N motioned to approve the
minutes, and Chris P seconded. The motioned was carried unanimously.
III. Public Comment, for any member of the public wishing to comment on
parking issues. State name and address. Please limit comments to 3 minutes.
None.
IV. Action Item, Discussion and recommendation to the City Commission
regarding future use of the Carnegie Lot.
Paul presented a staff report regarding the request to sell the Black/Carnegie lot.
He stated that the BPC cannot sell any city owned property, only the City Commission would be
able to do so. The BPC can only give advice to the City Commission.
Paul referred to the parking study update for a lot of his information. He stated that the study
currently shows a surplus of parking around the block in which the Carnegie lot and the parking
garage is located.
Currently the Carnegie lot has 71 spaces. Main, Black, Mendenhall and Bozeman make up the
Carnegie block. Within that area there is a total of 183 spaces. These spaces are found in public
parking, private parking, alley and both on and off street parking.
The parking garage has a total of 435 spaces, combining those spaces with the streets that make
up the garage block, and there are a total of 479 spaces.
Surplus spaces found at the Carnegie block are 85 spaces. The garage block has 321 surplus
spaces. Most of the 321 comes from the garage itself. There are quite a few permit holders, but
the garage still has plenty of spaces available everyday for people to park.
The parking study concludes that "...the demand calculations indicated the existence of a parking
surplus which provides headroom for future downtown growth."
Therefore, Paul recommends that due to the findings of the parking study, that the city consider
selling this lot if the economic value of doing so is a significant benefit for the downtown
community.
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After Paul's presentation, Pam asked if any of the Commissioners had any questions or
comments.
Ben L asked if other studies are being considered for the future.
Studies will be considered in the future, but nothing is lined up at this time.
Chris P asked if the data from the study was what Paul has observed in his tenure.
Paul responded that there is always somewhere to park downtown due to the parking garage; it
has created many surplus spaces around the area.
Chris N asked what is considered standard industry capacity?
Paul stated that 85% is considered the standard. Chris N went on to ask if peak times have been
considered. There are many different kinds of businesses downtown. Restaurants and retail
shops will have different peak times than that of the banks. Those kinds of things need to be
considered, that could affect the availability of parking spaces downtown.
Pam asked about the night time usage at the parking garage.
Paul stated that the garage is well lit, and that police officers do patrol the area.
Lisa asked if the permit holders at the Carnegie lot would be moved into the garage?
Paul said that those permits holders could purchase a permit for the garage but they would not be
forced to do so. There are less than ten permit holders in that lot, so it will not affect too many
customers.
Cyndy asked how often the parking garage is patrolled by police officers at night?
Paul stated he cannot vouch for how frequently they patrol the garage, simply that they do it as
part of their night time patrol. The new police sub-station downtown has been a great addition
and there are officers that are assigned to that station on a regular basis which has increased the
visibility and availability of an officer for routine patrols. Having the new patrol station
downtown has seemed to help lessen the amount of vandalism at the garage.
Tammy asked if the new hotel was to be built, would they have onsite parking available for their
facility? And would that have to be part of the BPC's recommendation for the City
Commission?
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Pam stated that the BPC cannot recommend anything until the project is underway.
Pam opened the floor for public comment.
Ashley Ogle from Kenyon Noble stated that there is no point in allowing the City to sell
something you need, just to turn around and buy back that property to create what you just sold.
She asked how we determine surplus? Kenyon noble is not operating a business downtown as
this time, some of the condos in the garage are not even full and there are vacant businesses
downtown. When they are full eventually we would need to account for the parking spaces they
need. She asked where the money from the sale of this lot go?
Chris N stated we might buy a new parking lot.
She asked where are we going to come up with new parking? The BPC might not even be able
to find land to purchase for a new lot. She asked if the BPC has thought all this through? When
is the data going to be taken?
Chris P stated that purchasing another lot is just an assumption. We are using the 2010 data.
She asked if the study took into consideration the businesses not operating?
Steve Roderick from the Ridge Downtown stated that you just invested money for additional
parking for the downtown area. He doesn't like the idea of taking away parking just when we
invested money into providing parking in this area. He wants to know who is deciding that if
that lot does go away that we will have a better economic stimulace. He took some of his own
data. One day he observed that at 12:30 pm the lot was entirely full. Other times just a few
spots were being used. He spoke to people who use that lot. 76 % of people who go to the
Ridge use that lot to park. He asked that the decision that is made consider all the businesses that
use that lot.
David Loseff from the Baxter Hotel stated that it was not good to make a business decision
based on a snap shot. You need to look at the trend lines. He looked back at previous studies and
the 2010 study. Despite the addition of the garage over the last 20 years there was a loss of 19
spaces, and provided documentation for those findings. He believed the numbers are skewed.
He says peak demands are higher in June, July and August. He stated he was speaking for other
owners in his building as well, and stated that business decisions are sometimes irrevocable.
You must consider the outcome if you are wrong. That is what he is asking the BPC, to carefully
consider this decision in case they are wrong to take away this lot.
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Larry Bowman from Owenhouse Hardware spoke about previously sitting on the Bozeman
Parking Commission. He talked about the struggles they had to create spaces and discussed the
cash n lieu process. He stated there needs to be development in the downtown to stimulate the
economy and attract customers to the downtown area to keep up with the rest of Bozeman.
The lot in question is ideal for development, and would be a great opportunity for downtown.
This would create more jobs and customers for other businesses in the downtown core. He is in
favor of developing this lot.
Dave Berghold of 11 E Main, The Last Wind-Up spoke in agreement with Larry. He believes
development downtown is very important. To have a hotel downtown is a natural attraction to
other businesses, retail, restaurants etc. To not have that resource available to visitors would
force them to go elsewhere on the outskirts of town and they may not visit the downtown area.
To centralize groups and gathering seems like it would be real bonus for businesses that are
downtown. Bozeman does face parking issues, as Chris mentioned. He believes any
development should offer parking on their lot. Main street is growing east and west, but little in
the north and south areas. This proposed development would assist with growth in the north
downtown area. Having the garage next door to the hotel is a perfect match.
Ileana Indreland of Delaney and Co. spoke in representation of her tenants as well as her own
business. She stated that we need to keep this parking lot. Women are vulnerable, especially at
night and the lot is more convenient and feels less threatening than the garage. She likes the way
it is now and does not want to see that change for the convenience of customers and employees
both. She stated it would be responsible to do studies based on real numbers, actual data. Until
we have real data it is premature to replace this lot. Her tenants use this lot. She does support
the garage, but this is an important lot as well. Her building lost a lot of money during the
development of the garage. She feels the developer should reach out to properties from private
parties rather than take away the public parking. And, feels we should get better data before
making this decision.
Mike Delany from Delany and Co stated he did some research of the past parking
commissioners and discussed how and why the commission had been established. The original
goal was basically to provide lots for people to park. We now have that. The last time this
commission decided to sell a property, it had bad circumstances. The houses that were
purchased were rented for a time and then when the commission was ready to demolish the
homes to create a lot on the south side, the City Commission refused to allow it. Those homes
were then sold them to private citizens who wished to continue to use them as a residence.
Approximately $400,000 was made on these home and no parking spots were created. Big Sky
Western Bank since developed a nearby business that could have used that parking lot. He stated
other areas have also been developed that have taken away approximately 50 additional spaces.
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He also mentioned the First Security Bank renovation and how that lot could have also benefited
them had it been created.
He feels that if it is the BPC's intention to take this parking lot away, they should have an
auction, just don't sell it to the first person who asks. Other people should have a chance to
purchase the lot and propose a development. And, mentioned the buy local goal by the City
Commissioners.
Pam asked for further public comment, and there was none. She asked if there were written
comments. Paul stated that Michael Ochsner from Plonk wrote in favor of the development.
Steve Rodderick asked if Brit had passed on a copy of the letter from the law firm across from
the Carnegie lot? It was noted that they had not, as they had been addressed to the City
Commission.
Ben L made a motion that the Bozeman Parking Commission accepts the recommendation by
staff to recommend to the Bozeman City Commission that there is a higher and better economic
use than surface parking for the Carnegie Lot. This is due to the amount of available parking in
the vicinity of this lot, particularly at the Garage, which has the capacity to currently replace
these spaces. This lot is not needed to provide public parking.
Chris P seconded the motion.
Lisa stated that her concern is that even though this could create new jobs etc. that things seem to
be moving so quickly. She thought there should be more public meetings before a
recommendation be made.
She was reminded that the City Commission laid out this process on the May 2nd commission
meeting. Other public meetings have also already occurred. It was also stated that on June 13
there is another public meeting and then there would be two other public meetings after that.
Chris P thanked everyone who spoke. He finds this opportunity very interesting and wants to
move forward. But, he is carrying around trepidation. He agreed with Mike's point that you
can't go back on things. He reminded everyone that a private developer has come forward with
an offer to purchase a property that is not for sale. Without this offer, the BPC would not be
considering selling the property. There was no solicitation for this offer. He feels the PBC is
compelled to look at the offer. The reason is in the interest for a healthy environment downtown.
This is an opportunity. We have to study things even without 100% data sets. He also thinks we
should entertain any offer. The city should be paid back fair market value or more!
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The future use needs to be extremely good for the economic future of the City. It also needs to
be from a qualified party. No, the Carnegie lot is not for sale, but future use could benefit the
public in such a way that it should be considered.
He is hearing the conversationd of nearby businesses that this is not a good idea, but we need to
communicate to the City Commission that any sale revenue that is made would go to additional
parking in the future. He is also an advicate that a new building plan for parking the way zoning
requires and show plans for underground parking. That is an expensive thing to do, but
necessary. He suggested someone should ask the developer why this property? There are other
opportunities for this development downtown. He asked if we had sell for 95% of appraised
value? Whomever the developer is, they will be held to a HIGH STANDARD. It needs to be
the best option built as possible. He does agree with possibly an auction or some type of fair
public process. He again reminded everyone that this would not be considered unless a
development is put to GREAT use. He thinks we should see if there is a developer out there that
can bring good use to that lot and stimulate the Bozeman economy. He does want to recontribute
to parking and supplying spaces again.
Chris N stated that out of deep respect he holds in his position for the Downtown Bozeman
Partnership he will recues himself from the vote. Because of the things he has heard today. he
cares even more strongly for the people and businesses in the area. His reservations are if this
property is determined by the City Commission that it has a better use, that they and the
comminity keep in mind the objectives of the Downtown Improvement Plan and only do smart
projects. There is other land available out there that a developer could purchase. How would we
best have the oppotrunity to see a higher and best use? There is only one option and to not jump
on the first thing. We need to get to a point and have time to think hard and get the most
assurance that it will be done to the benefit of the downtown community. He feels a RFP would
be the best way to do that.
Cyndy Andrus commented on the process. She wants everyone to know the die has NOT been
cast yet. This process will be fair and transparent. Great care will be taken into consideration
with the public. She cares about the public a great deal.
Pam stated there is a motion on the table. There are replacement spaces available for this lot.
There is a higher use for this lot. By our approving or not approving this will determine how this
process will move forward. All we can comment on today is the future of this lot and not the
development requirements. We need to separate the two.
Chris P asked if was appropriate for the BPC to take into the consideration and comment to the
City Commission at a future date if it were to becomse a hotel. He wants to hear a discussion
about understanding the maintenance of the parking downtown.
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He wants a commitment to continue to solve parking issues. He wants any funds that are
received from the sale to go into the parking capital fund. It cannot be used for striping lots or
maintenance, but for creating future parking spaces.
Lisa stated that her difficulty in making a decision is not knowing if there will be a public bid
and hearing what other members if the public think. She wants to know if a hotel is built will it
just provide private parking for hotel and restaurant patrons. Can the general public use those
spaces?
Pam clarified the motion is about whether there is a greater benefit to the downtown area for this
lot than surface parking.
The vote was taken, Tammy Hauer, Ben Bennett, Ben Lloyd, Pam Bryan and Chris Pope all
voted in favor. Lisa Danzl-Scott voted against. Chris Nauman was recused from the vote. The
motion was approved by a 5-1vote.
Pam announced a 5 minute break.
V. Action Item, Consider a new date for June BPC meeting.
Pam called the meeting back to order at 8:51am. The June meeting was officially rescheduled
for June 1, 2011.
VI. Manager’s report
The elevator fee was higher than expected. But it is now working.
Paul reported more graffiti at the garage.
The garage will be swept May 12th.
Paul is going to purchase a walk behind sweeper. He priced them out at approximately
$3,600.00.
Chris N suggested Paul talk to the folks in Billings because they have one too. Maybe he could
find one that would be a little cheaper or what they like or don't like about the one they have.
There were 600 courtesy tickets issued in the month of April.
The City Commission approved the contract with Big Look for advertising at the parking garage.
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VII. Finance report
Paul presented the finance report to the BPC. He briefly noted that the budget is currently in the
black. The numbers are looking good.
VIII. New business
None.
IX. Adjournment
Pam adjourned the meeting at 9:00am.
Respectfully Submitted
Ashlie Portnell, Parking Clerk
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Bozeman
Parking
Commission
Policy Guidelines
Mission Statement
The Bozeman Parking Commission is responsible for managing and regulating
public parking in its districts, and will provide a customer-oriented and user-friendly
parking system for businesses, residents, employees and visitors.
Goals
Improve and maintain public parking assets
Provide for the safe movement of vehicle and pedestrian traffic
Make the parking system fiscally sound and self-sufficient
Manage spaces to best serve the needs of customers
Provide consistent treatment regarding parking enforcement action
Educate parking users to minimize parking conflicts
Make parking areas attractive and easy to use
Plan for and respond to changing needs in the districts
Consider alternative modes of transportation that reduce parking demand
Work cooperatively with local partners
Seek to acquire additional public parking as needed
Policy Guidelines
Community Transparency
The Bozeman Parking Commission will conduct the business of managing parking in a
publically transparent way.
Monthly BPC meetings are open to the public and properly noticed pursuant to Montana
Code Annotated.
All BPC meeting minutes are publically archived at:
http://weblink.bozeman.net/WebLink8/0/fol/37627/Row1.aspx
Fiscal Responsibility
The Bozeman Parking Commission will operate in a fiscally responsible manner while effectively
managing resources and implementing parking regulations.
The BPC will consciously control operating costs without sacrificing other guidelines and
policies.
The BPC will consciously manage revenues without sacrificing other guidelines and
policies.
83106
It is the intent of the BPC to invest any Parking Enterprise Fund profits into three fiscal
reserves: Parking Capital Reserve, Parking Operating Reserve, and Bridger Park
Downtown Long-term Maintenance Reserve.
Resource Management
The Bozeman Parking Commission will professionally manage the public parking resources
entrusted to it by the City of Bozeman.
The BPC will develop and manage a customer oriented and user friendly parking system.
The BPC will manage public on-street, surface lot, and structure parking resources for
the benefit of residents, visitors, employees, and businesses.
The BPC will conduct and revise a Downtown Parking Study on a regular basis in order
to utilize current empirical data in its decision making process.
Effective Enforcement
The Bozeman Parking Commission will strive to ensure there is sufficient short-term parking
available by employing effective enforcement in the three districts it oversees.
The existence of Bridger Park Downtown for long-term parking needs makes compliance
with parking regulations easier.
The BPC will deter illegal parking with a timely, consistent, and fair enforcement
presence.
The BPC will continually work to develop customer friendly enforcement practices and
policies.
Economic Development
The Bozeman Parking Commission supports projects that bring vitality and energy to its parking
districts.
The BPC recognizes that economic development and parking are inextricably linked,
especially in the downtown district.
The BPC will consider supporting projects that constitute a significant economic benefit
for the downtown area while being consistent with the guidelines of the Bozeman
Community Plan; the Downtown Improvement Plan; and the mission, goals, and policy
guidelines established herein.
Regulatory Oversight
The Bozeman Parking Commission will dutifully exercise regulatory oversight of parking
inventories, parking regulations, commercial parking requirements, and special parking districts.
The BPC will develop regulations for the public surface parking lots and Bridger Park
Downtown in keeping with national and state industry standards.
The BPC will advise the City Commission on parking regulations as they relate to on-
street parking rules and violations; parking requirements for changes-in-use,
development, and redevelopment; and the Montana State University and Bozeman High
School residential parking districts.
The BPC will continue to manage the Cash-in-Lieu-of-Parking policy for the downtown
district to reflect current parking demand and market rates.
Adopted February 9, 2011
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r
rf
MINUTES OF THE MEETING OF THE CITY COMMISSION
June 13 2411
The Commission of the City of Bozeman met in the Commission Room City Hall at 121 North
Rouse on Monday June 13 2011 Present were Mayor Jeff Krauss Commissioner Cyndy
Andrus Commissioner Sean Becker Commissioner Chris Mehl Commissioner Carson Taylor
City Manager Chris Kukulski Assistant City Manager Chuck Winn City Attorney Greg Sullivan
and City Clerk Stacy Ulmen
Please refer to the audio recording of this meeting for additional detail
00837 A Call to Order 6 pm Commission Room City Hall 121 North Rouse
Mayor Krauss called the meeting to order at 603 pm
00839 B Pledge of Allegiance and a Moment of Silence
009 28 Welcome
Mayor Krauss welcomed everybody to the meeting
009 31 C Changes to the Agenda
Mayor Krauss asked City Manager Chris Kukulski if there were any changes to the agenda Mr
Kukulski stated no
0 0939 D Public Service Announcement Update on Potential City Flooding
Shrauger
Fire Chief Jason Shrauger gave a PSA on the potential City flooding
01433 E Consent
1 Authorize Payment of Accounts Payable Claims LaMeres
2 Authorize City Manager to sign South Meadow Minor Subdivision Water and Sewer
Easement and Release and Reconveyance of Easements Murray
3 Authorize City Manager to sign 2011 Street Improvements Contract Award to Knife
River Inc Kerr
Page 1 of 11
108
Minutes qythe Bozeman City Commission June z3 2011
4 Approve Resolution No 4317 authorizing City Manager to sign Change Order No 1 for
the College and 11th Roundabout Heeston
6 Approve Resolution No 4319 Commitment of Special Revenue Fund Balances in
Accordance with the Governmental Accounting Standards Board GASB Statement 54
LaMees
6 Approve Fukui Prefectural Dinosaur Museum Day of Celebration Mayoral Proclamation
Kissel
7 Approve Reclaiming jurisdiction for the final approval o the Santa Fe Reds Projecting
Sign Certificate of Appropriateness application per 1864010 of the Bozeman Municipal
Code and further set a tentative public hearing date of July 18 2011 for formal
consideration of the application BdstoH
O Approve Reclaiming jurisdiction for the South Towne Square Outdoor Seating and on
Premise Consumption of Alcohol Conditional Use Permit application located at 2000
South 3rd Avenue and further set a tentative public hearing date of July 112O1lfor
formal consideration nf the application Krueger
Al40 Public Comment
Mayor Krauss opened public comment onthe Consent Agenda
No person spoke
Mayor Krauss closed public comment on the Consent Agenda
0 1516 Motion and Vote to approve Consent Items 15 and 78
It was moved by Cr Andrus seconded by Cr Taylor to approve Consent Items 15 and
Those votinp Aye being Crs Andrus Taylor Becker Mehl and Mayor Krauss
Those voting No being none
The motion passed 50
053 5 Mayor Krauss
Mayor Krauss disclosed that he had o conflict uf interest with Consent Item No 6 Approve
FuAkn Dinosaur Museum Day wfCelebration Mayoral Proclamation He then
handed the gavel to Deputy Mayor Becker
01538 and Vote hm approve Consent Item E6
It was moved by Cr Taylor seconded by Cr Mehl to approve Consent Item 6
Those votiny Aye being Crs Taylor Mehl Andrus and Depuly Major Becker
Those recused Mayor Krauss
Page 2 of 11
109
Minutes of the Bozeman City Commission June 13 2011
Those voting No being none
The motion passed 40
01641 F Public Comment
Mayor Kra took back the gavel and opened general public comment
01705 Russ Godium Public Comnient
Mr Godium stated that he is with a Wind Power Company from Billings He spoke regarding
LED Lighting He spoke regarding LED Events coming up and LED lighting savings According
to him Montana is being overcharged by the Public Service Commission Only cities and
counties can go before the Public Service Commission He is urging Cities to go to Public
Service Commission
02048 Public Comment closed
Mayor Krauss closed public comment
02052 G Action Items
02052 1 Public Hearing to determine whether real property owned by the City of
Bozeman located at 106 East Mendenhall Street known as the Carnegie parking lot is
necessary for the conduct of City business or the preservation of its property and direction
to staff Fontenot
02118 Brit Fontentot Economic Development Director
Mr Fontenot gave the staff presentation regarding the Public Hearing to detennine whether real
property owned by the City of Bozeman located at 106 East Mendenhall Street known as the
Carnegie parking lot is necessary for the conduct of City business or the preservation of its
property and direction to staff
030 51 Public Comment
Mayor Krauss opened public comment
No person commented
Mayor Krauss closed public comment
03117 Naumann Public Comment
Mr Naumann stated that he is the Executive Director for the Downtown Bozeman Partnership
He spoke regarding the downtown improvement plan
03445 Ashley Oak Public Comment
Ms Ogle stated that she is with Kenyon Noble and that she is opposed to the sale of the Parking
Lot We are for a hotel downtown The parking lot should not be sold in order to get a hotel
downtown She spoke regarding the downtown study and competitive building
Page 3 of 11
110
Minutes of the Bozeman City Commission June 13 2011
03732 Pam Bryan Public Comment
Ms Bryan stated that she is the Chair Woman of the Bozeman Parking Commission She stated
that they believe that there is a better use for this lot Location of this lot is across from the
Parking Garage Location played a part in their deliberations She spoke regarding the Study
04119 RaFma Stewert Public Comment
Ms Stewert stated that she is with the Ridge Athletic Club and urged that the Commission slow
down the process She spoke regarding members that have discontinued memberships due to
parking in their downtown location
04453 LarrL7 Bowman Public Comment
Mr Bowman is the owner of Owenhouse Hardware He stated that he is in favor of developing
the lot He is a prior Parking Commission Member Downtown needs development We want our
downtown to be the center of Bozeman We need downtown to be competitive
04743 Bill Br an Public Comment
Mr Bryan of 1220 South Tracy stated that he is in support of the motion as long as there is
competitive bidding involved He disclosed that he is related to the Parking Commission Chair
person He would love to see a boutique hotel in Bozeman
05159 flena Inderland Public Comment
Ms Inderland stated that she owns the building at 101 East Main and is representing the tenants
People do not like parking in a parking garage There are several businesses that need this lot
05445 Mike Hqpe Public Comment
Mr Hope stated that he is with the F H Building on Main Street His building will probably
encompass at least 140 employees He spoke regarding a possible second Parking Garage
Financing is tough in hotel industry right now Spoke regarding obtaining a Letter of Intent
05902 Chris Pope Public Comment
Mr Pope of 1508 South Willson Avenue stated that there are complex issues around parking
The Parking Commission is committed to build the data base Need to focus on properties going
forward The value of this is the future development We need excellence and quality Look very
hard at this offer
10337 Mike Delana fuhlic Comment
Mr Delaney spoke about importance of having a downtown hotel With decisions there are
positive and negative with this He owns a number of properties downtown He spoke regarding
above ground property He does not support selling the lot
10812 Jill Bowers Public Comment
Ms Bowers stated that she lives downtown and parks in the parking garage She spoke regarding
the benefit of having the parking garage She spoke regarding encouraging living downtown
Current facility is being under used
10959 Public Comment Closed
Mayor Krauss closed public comment
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Minutes ofthe Bozeman City Commission June 13 2011
1 1011 Commission Questions for Staff
The Commission and Staff spoke regarding the downtown study being a snapshot of time the
surplus numbers in the study activity in the current parking garage customer base in the garage
complaints location of a new parking garage and other possible locations to acquire for a new
parking garage
13312 Motion that having conducted a public hearing considered written and spoken
public testimony the recommendation of the Parking Commission and based on the
findings contained in the staff memorandum findings provided by the Parking
Commission and findings articulated by the Commission during discussion I hereby move
1 That the real property known as the Carnegie parking lot lots 17A 18 19 20 21
and 22 of Block E of the Original Townsite of Bozeman Montana located at 106 East
Mendenhall is no longer necessary for the conduct of city of Bozeman business or the
preservation of city of Bozeman property and that sale and development of the real
property by a private entity in compliance with adopted city plans is in the public interest
2 That any motion made by the Commission on May 2 2011 regarding this property
or the proposed sale of is superseded in its entirety by this motion and
3 That the staff is hereby directed to proceed with a request for proposals process that
could authorize the sale of the Carnegie parking lot to the entity whose proposal satisfies all
legal requirements for the sale of city real property and whose development proposal the
Commission determines best fulfills the objectives of the citys 2010 Community Plan its
Economic Development Plan and the Downtown Improvement Plan
It was moved by Cr Becker seconded by Cr Mehl that having conducted a public hearing
considered written and spoken public testimony the recommendation of the Parkin
Commission and based on the findings contained in the staff memorandum findings
provided by the Parking Commission and findings articulated by the Commission durin2
discussion I hereby move
1 That the real property known as the Carnegie parking lot lots 17A 18 19 20 21
and 22 of Block E of the Original Townsite of Bozeman Montana located at 106 East
Mendenhall is no longer necessary for the conduct of city of Bozeman business or the
preservation of city of Bozeman property and that sale and development of the real
property by a private entitV in compliance with adopted city plans is in the public interest
2 That any motion madeby the Commission on May 2 2011 regarding this property
or the proposed sale of is sugerseded in its entirety by this motion and
3 That the staff is hereby directed to proceed with a reguest for proposals process that
could authorize the sale of the Carnegie parking lot to the entily whose proposal satisfies all
legal requirements for the sale of city real ro per and whose developmeatproposal th
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Minutes ofthe Bozeman City Commission dune 13 2011
Commission determines hest fulfills the objectives of the citys 2010 Communitv Plan its
Economic Development Plan and the Downtown Improvement Plan
13451 Commission Discussion on the Motion
Discussion took place regarding investing in downtown attracting uses downtown
acknowledgement of the comments received encouraging request for proposals fz 2 hour
parking encouragement the downtown plans lack of current hotel needs downtown this being a
community issue keeping downtown a focal point the need to get people used to the idea of
using the parking garage the need for keeping the parking lot recognizing where we currently
are other opportunities the construction of the parking garage and taking pride in downtown
20850 Vote on the Motion that having conducted a Public hearing considered written and
spoken public testimony the recommendation of the Parking Commission and based on the
findings contained in the staff memorandum findings provided by the Parking
Commission and findings articulated by the Commission during discussion I hereby move
1 That the real property known as the Carnegie parkinlz lot lots 17A 18 19 20 21
and 22 of Block E of the Original Townsite of Bozeman Montana located at 106 East
Mendenhall is no longer necessary for the conduct of citV Bozeman business or the
preservation of city of Bozeman property and that sale and development of the real
property b a private entity in compliance with adopted ci lans is in the public interest
2 That any motion made b the Commission on May 2 2011 regarding this proper
or the proposed sale of is superseded in its entirety by this motion and
3 That the staff is hereby directed to proceed with a reguest for proposals process that
could authorize the sale of the Carnegie parking lot to the entity whose proposal satisfies all
legal requirements for the sale of city real property and whose development proposal the
Commission determines best fulfills the objectives of the citys 2010 Community Plan its
Economic Development Plan and the Downtown Improvement Plan
Those voting Aye being Crs Becker Mehl Andrus Taylor and Mayor Krauss
Those voting No being none
The motion passed 50
20948 Break
Mayor Krauss declared a break
22127 Called back to order
Mayor Krauss called the meeting back to order
22149 Mr Fontenot
Mr Fontenot continued the staff presentation
22624 Commission Questions for Staff
Discussion took place regarding the Request for Proposals and the timeline and scope ofthe
project and the committee makeup
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Minutes of the Bozeman City Commission June 13 2012
23336 Public Comment
Mayor Krauss opened public comment
No person commented
Mayor Krauss closed public comment
2 3410 Motion to direct staff to draft a Request for Proposal for review by the City
Commission no later than Monday September 12 2011
It was moved by Cr Mehl seconded by Cr Andrus to direct staff to draft a Request fo
Proposal for review by the City Commission no later than MondaL Seplember 12 2011
23432 Discussion on the Motion
Cr Mehl stated that he would like to see the motion amended to include that the RFP is for a
hotel as a central component Cr Andrus agreed with the addition
24507 Motion restated and voted upon with friendly amendment to direct staff to draft a
Request for Proposal for a hotel as a central component for review by the City Commission
no later than Monday September 12 2011
It was moved by Cr Mehl seconded by Cr Andrus to direct staff to draft a Reguest fo
Proposal for a hotel as a central component for review by the City Commission no later
than Monday September 12 2011
Those voting Ale being Crs Mehl Andrus Taylor KraussBeckerandMayorKrauss
Those voting No being none
The motion passe 50
24544 Motion to direct staff to obtain a certified real estate appraisal for the Carnegie
parking lot to be paid out of the city of Bozemans parking enterprise fund
It was moved by Cr Mehl seconded by Cr Andrus to direct staff to obtain a certified real
estate appraisal for the Carnegieparking lot to be paid out of the city of Bozemans
parking enterprise fund
24609 Commission Discussion on the Motion
The Commission discussed the timing of the appraisal in conjunction with the RFP
25204 Motion restated to direct staff to obtain a certified real estate appraisal for the
Carnegie parking lot to be paid out of the city of Bozemans parking enterprise fund
performed and delivered on or before late September
It was moved by Cr Mehl seconded by Cr Andrus to direct staff to obtain a certified real
estate appral for the Carnegie parking lot to be paid out of the city of Bozemans
parking enterprise fund performed and delh an or be ore late Se teniher
2 Commission Discussion on the Motion
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Minutes ofthe Bozeman City Commission June 13 2011
25322 Vote on the Motion to direct staff to obtain a certified real estate appraisal for the
Carnegie parking lot to be paid out of the city of Bozemans parking enterprise fund
performed and delivered on or before late September
Those voting Ave being Crs Mehl Andrus Taylor and Becker
Those voting No being Mayor Krauss
The motion passed 41
25341 Motion that should the Commission approve a submitted sale and development
proposal and eventually agree to sell the Carnegie parking lot all proceeds from the sale of
the property be deposited with the city of Bozemans parking enterprise fund for the
purposes of enhancing parking opportunities in downtown Bozeman
It was moved by Cr Mehl seconded by Cr Andrus that should the Commission approve a
submitted sale and development proposal and eventually agreetosell the Carnegie parking
lot all proceeds from the sale of the property be deposited with the city of Bozemans
parking enterprise fund for the purposes of administering taken out enhancing parking
opportunities in downtown Bozeman
2 5410 Discussion on the Motion
25432 Vote on the Motion that should the Commission approve a submitted sale and
development proposal and eventually agree to sell the Carnegie parking lot all proceeds
from the sale of the property be deposited with the city of Bozemans parking enterprise
fund for the purposes of enhancing parking opportunities in downtown Bozeman
Those votinp Aye being Crs Mehl Andrus Taylor Becker and Mayor Krauss
Those voting No being none
The motion passed 50
25459 Commission Discussion
Commission discussion took place regarding the role of the committee The Commission agreed
that the City Manager will appoint the committee The Commission also spoke regarding
drafting the RFP
31217 2 Resolution No 4318 Adopting the City Managers Recommended Budget
for Fiscal Year 2012 as the preliminary budget for Fiscal Year 2012 and adopting the
changes in financial policies contained therein Rosenberry
31224 Anna RosenbeiTy Finance Director
Ms Rosenberry gave the staff presentation regarding Resolution No 4318 Adopting the City
Managers Recommended Budget for Fiscal Year 2012 as the preliminary budget for Fiscal Year
2012 and adopting the changes in financial policies contained therein
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Minutes of the Bozeman City Commission June 13 2011
31822 Commission Questions for Staff
The Commission spoke regarding committed funds assigned and unassigned funds Discussion
took place regarding construction timelines Discussion took place regarding the levies and
special assessments and special districts
345 22 Public Comment
Mayor Krauss opened public comment
34545 Thia Ovnic Public Comment
Ms Ovnic of 310 South 8th stated that she is representing her neighbors and that there are
concerns regarding assessments and South Sth Mayor Krauss and Staff answered the questions
that were presented by Ms Ovnic
35032 Public Comment closed
Mayor Krauss closed public comment
40013 Rules suspended
Mayor Krauss suspended the rules 10 minutes
41315 Motion to approve Resolution No 4318 Adopting the City Managers
Recommended Budget for Fiscal Year 2012 as the preliminary budget for Fiscal Year 2012
and adopting the changes in financial policies contained therein
It was moved by Cr Andrus seconded by Cr Taylor to approve Resolution No 4318
Adopting the City Managers Recommended Budget for Fiscal Year 2012 as the
preliminary budget for Fiscal Year 2012 and adoptinlz the changes in financial olicies
contained therein
41405 Commission Discussion on the Motion
The Commission discussed FTEs and the costs related to Bogert Pool They also discussed the
police and fire levy and the funding of the Police Department and emphasized that this is a
preliminary budget
42026 Vote on the Motion to approve Resolution No 4318 Adopting the City Managers
Recommended Budget for Fiscal Year 2412 as the preliminary budget for Fiscal Year 2412
and adopting the changes in financial policies contained therein
Those voting Ale being Crs Andrus Taylor and Mehl
Those voting No being Cr Becker and Mayor Krauss
The motion passed 32
42044 3 Appointment to the Cemetery Advisory Board Kissel
42112 Motion to appoint Karlina Popwell to the Cemetery Advisory Board
It was moved by Cr Taylor seconded by Cr to appoint Karlina Popwell to the Cemetery
Advisory Board
42136 Discussion on the Motion
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Minutes of the Bozeman City Commission June 13 2011
42225 Vote on the Motion to appoint Karlina Popwell to the Cemetery Advisory Board
Those voting Ave being Crs Taylor Becker Mehl Andrus and Mayor Krauss
Those voting No being none
The motion passed 50
422394 Appointment to the Impact Fee Advisory Board Kissel
42305 Motion and Vote to appoint Rob Evans to the Impact Fee Advisory Committee
It was moved by Cr Mehl seconded by Cr Andrus to appoint Rob Evans to the Impac
Fee Advisory Committee
Those voting Aye being Crs Mehl Andrus Taylor Becker and MayorKrauss
Those voting No being none
The motion passed 50
42316 5 Appointment to the Senior Citizens Advisory Board Kissel
42320 Motion and Vote to appoint Susan Smith to the Senior Citizens Advisory Board
It was moved by Cr Becker seconded by Cr Mehl to appoint Susan Smith to the Senior
Citizens Advisory Board
Those voting Aye being Crs Becker Mehl Taylor Andrus and Mayor Krauss
Those voting No being none
The motion passed 50
42338 6 Appointment to the Zoning Commission Kissel
42341 Motion and Vote to appoint Erik Garberg to the Zoning Commission
It was moved by Cr Mehl seconded by Cr Andrus to appoint Erik Garberg to the Zoning
CommiWan
Those voting Aye being Crs Alehl Andrus Taylor Becker and Mayor Krauss
Those voting No being none
The motion passed 50
42404 H FYIDiseussion
42408 1 Procurement Policy and Insurance Requirements
Cr Mehl would like a copy of this
42602 2 Meeting next week begins at 530 p1n with an Executive Session
Clerk is to get food
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Minutes of the Bozeman City Commission June 13 2011
42648 3 Reclaiming Review Authority
Cr Taylor stated that this should be discussed He wants to review this procedure For Mayor
Krauss it is about do we need a Board of Adjustment This should be included in a PolicySession
43041 4 Cleveland Street
Mr Kukulski wondered if 6th and Cleveland should be opened up as an access due to
construction We could test how it would operate The Commission would need to take a look at
testing it out It was in a prior motion to close it so it would take Commission discussion to re
open it
43356 1 Adjournment
Mayor Krauss adjourned the meeting at 1034 pm
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