HomeMy WebLinkAbout1989-04-03
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MINUTES OF THE MEETING OF THE CITY COMMISSION
BOZEMAN , MONTANA
Apri I 3, 1989
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The Commission of the City of Bozeman met in regular session in the Commission
Room, Municipal Building, April 3, 1989, at 2: 00 p. m. Present were Mayor Stiff, Commis-
sioner Hawks, Commissioner Vant Hull, Commissioner Martel, Commissioner Goehrung, City
Manager Wysocki, City Attorney Becker and Clerk of the Commission Sullivan.
The meeting was opened with the Pledge of Allegiance and a moment of silence.
None of the Commissioners requested that any of the Consent Items be removed for
discussion.
Minutes
Action on the minutes of the regular meeting of March 27, 1989 was deferred for a
period of one week.
Open bids - excavation of the landfill expansion (CI P)
This was the time and place set for the opening of bids for excavation of the
Bozeman sanitary landfill expansion. The City Manager reminded the Commission that this
item has been budgeted in the current capital improvement program.
The affidavit of publication of the "Call for Bids" was presented.
It was moved by Commissioner Hawks, seconded by Commissioner Vant Hull, that
the bids be opened and read aloud. The motion carried by the following Aye and No vote:
those voting Aye being Commissioner Hawks, Commissioner Vant Hull, Commissioner Martel,
Commissioner Goehrung and Mayor Stiff; those voting No, none.
The following bids were then opened and read:
Base Bid
Donnes Construction
Billings, Montana
License No. 5996A
$174,941.25
Figgins Sand and Gravel, Inc.
Bozeman, Montana
License No. 4075A
$260,076.75
Huppert Brothers Construction
Billings, Montana
License No. 6237A
$216,910.00
L & M Construction
Bozeman, Montana
License No. 6423A
$126,289.50
Mainline Construction, Inc.
Billings, Montana
License No. 6695A
$198,698.00
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Montgomery Construction
Hilger, Montana
License No. 6290A
$149,155.25
Pace Construction, I nc .
Bozeman, Montana
License No. 7163A
$110,821.50
Pioneer Ready Mix
Bozeman, Montana
License No. 6503A
$153,168.75
Sime Construction, Inc.
Bozeman, Montana
License No. 5354A
$173,941.25
It was moved by Commissioner Vant Hull, seconded by Commissioner Martel, that
the bids be referred to staff for review and a recommendation to be submitted at next
week's meeting. The motion carried by the following Aye and No vote: those voting Aye
being Commissioner Vant Hull, Commissioner Martel, Commissioner Goehrung, Commissioner
Hawks and Mayor Stiff; those voting No, none.
Request for permission to address Commission re letter concerning proposed rabies clinic -
Sid Gustafson, DVM
City Manager Wysocki stated that Sid Gustafson, DVM, has requested permission to
address the Commission in response to the letter written to the Southwest Veterinarians
Association concerning the possibility of conducting a rabies clinic this spring.
Dr. Sid Gustafson stated that the Southwest Veterinarians Association has been un-
able to meet since receipt of the letter from the City; however, several of the local veter-
inarians are concerned about the proposal to conduct a rabies clinic. He then indicated
that the comments made in this presentation are his own, not the position of the Asso-
ciation.
Dr. Gustafson stated there has been no rabies problem in four-footed animals in Gal-
latin County for several years. He then reviewed the position of the American Veterinar-
ian Medical Association (A VMA), which discourages vaccination clinics because they are not
in the best interests of the animals. He noted they characteristically don't provide an op-
portunity for veterinarians to (1) conduct a physical examination on the animal, (2) obtain
a history of immunizations or past Illnesses, or (3) advise the owner of upcoming medical
or immunization needs.
Commissioner Hawks stated the City Commission has been advised by the County
Health Officer that there is a rabies problem in the county; and that is the basis upon
which the Commission decided to pursue the possibility of conducting a clinic.
Dr. Gustafson reiterated that he is not aware of any rabies case in four-footed
animals in several years. He noted there have been some isolated Instances of rabid bats;
however, he noted bats are naturally transient. He then stated that he feels this indi-
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cates the local veterinarians have been effective In addressing the rabies issue, and Im-
munizing a sufficient percentage of animals to avoid any problems with the disease in this
community. He suggested the Commission should thank the veterinarians for their efforts
and allow them to continue their programs, rather than proposing to conduct a rabies c1in-
ic.
Dr. Gustafson then raised the issue of liability which the City may assume through
conducting of a rabies clinic. He stated that in a clinic setting, the possibility of dog
fights arises, as well as the possibility of someone being bitten. He also noted that other
diseases, such as feline leukemia, can be transmitted through this type of setting. He
then stated that the City has proposed to document the vaccinations; however, he question-
ed who would be available after hours and on weekends to give that information to a vet-
erinarian who needs it immediately. He then stated he does not feel it is In the best
Interests of the City, the animals or the taxpayers of the community to conduct a rabies
clinic and urged the Commission to allow the system to operate as It has in the past.
Dr. Sid Gustafson then stated that if rabies becomes a problem, the veterinarians
will be the first to be aware of the situation; and they will address the issue through a
renewed emphasis on rabies Immunization.
Commissioner Goehrung noted that having no rabies cases in the past does not pre-
clude cases in the future; and he feels a public education program is needed. He then
compared the proposed rabies immunization clinic with the children's Immunization program
operated through the County Health Department. The Commissioner then suggested the
possibility of offering a discount on rabies vaccinations through the Humane Society, simi-
lar to the spayi ng or neuterl ng prog ram.
Dr. Gustafson stated it costs a minimum of $10 to adequately vaccinate a dog and
conduct a full exam; and that Is the fee charged by most local veterinarians.
The Commission thanked Dr. Gustafson for his presentation.
-term solid waste mana ement plan as submitted
City Manager Wysocki noted that a copy of the proposal for a long-term solid waste
plan, dated March 24, 1989, as submitted by the Community Recycling Coalition, was in-
cluded in the Commissioners' packets. He then recommended that the Commission acknowl-
edge receipt of the proposal and refer it to staff for review and a response.
Ms. Ursula Neese, member of the Community Recycling Coalition, submitted addi-
tional information to the Commission concerning the proposal. She indicated that she and
other members of the coalition will be available to discuss this proposal after the staff has
had an opportunity to review it.
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It was moved by Commissioner Martel, seconded by Commissioner Goehrung, that
the Commission acknowledge receipt of the proposal for a long-term solid waste management
plan, as submitted by the Community Recycl ing Coalition, and refer It to staff for review.
The motion carried by the following Aye _ and No vote: those voting Aye being Commis-
sioner Martel, Commissioner Goehrung, Commissioner Hawks, Commissioner Vant Hull and
Mayor Stiff; those voting No, none.
Roller for vacation of East Cottonwood Street
venue
City Manager Wysocki presented to the Commission the staff report concerning the
requested vacation of East Cottonwood Street from the west right-of-way line of North
Church Avenue to the east right-of-way line of North Rouse Avenue.
Commissioner Vant Hull noted that Director of Public Service Forbes has indicated
in his memo that either Cottonwood Street or Peach Street will be used in a peripheral
route around the downtown area. She stated the memo further indicates that Peach Street
would be more appropriate; however, additional right-of-way will be needed east of North
Rouse Avenue. She then stated that since the City cannot obtain monies for the street
vacation, since that would be construed as sale of public property, she feels it would be
inappropriate to vacate the subject right-of-way at this time and then face the need to
purchase additional right-of-way for another street in the future.
Director of Public Service Phill Forbes showed the Commission a copy of the City
map, with East Front Street and East Peach Street highlighted. He noted that East Cot-
tonwood Street is the next street north of East Peach Street. He then stated he does not
anticipate Cottonwood Street becoming a collector, particularly because of the residential
character of the area west of North Rouse Avenue. He also noted that a bridge would be
needed to construct East Cottonwood Street from North Church Avenue to North Rouse Ave-
nue; and the costs would be extremely high. He stated the subject right-of-way is In the
wrong spot to be beneficial to the City In developing its peripheral route. The Director
then stated he feels the requested street right-of-way vacation complies with the City's
recently-adopted policy.
Commissioner Vant Hull stated her original intent was to receive fair market value
for vacated rights-of-way; however, that was not included In the policy because It was de-
termined that the State statutes would not allow such a provision. She then indicated op-
position to the proposed vacation, noting that property could be valuable to the City in
the future.
Commissioner Martel stated support for the proposed street right-of-way vacation,
noting that Peach Street has already been designated as a collector or an arterial and has
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been improved. He then noted that the proposal conforms with the City's policy and in-
dicated he feels the City should move forward with processing of the application as submit-
ted.
Director of Public Service Forbes noted that aerial photos taken in 1980 show a cow-
path across the extension of East Peach Street. He stated that the City could probably
acquire any additional right-of-way necessary to extend the street to the east if that is
determined desirable.
Commissioner Vant Hull stated she does not wish to vacate the subject right-of-way
at this time. She then suggested that this application could be denied at this time; and
the City could then approach the next legislative session with a bill to allow the local gov-
ernlng body to Impose a fee equal to the fair market value or replacement value for vacated
rights-of-way. She Indicated that another application for vacation could possibly be con-
sidered subsequent to adoption of that proposed legislation.
City Manager Wysocki reminded the Commission of development along Cottonwood
Street west of North Rouse Avenue. He noted the residential character of the area, as
well as the ending of Cottonwood Street at North Third Ay~nue.
Commissioner Hawks stated during the goal setting process he will encourage exten-
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sion of Oak Street from North 7th Avenue to Front Street, and extension of Front Street
to Highland Boulevard.
He noted this will help in d.velopment of a loop system around
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the community as well as open some M-1 zoned property for use.
The City Manager reminded the Commission that these issues can be addressed dur-
ing the public hearing process. He then presented Commission Resolution No. 2744, as
approved by the City Attorney, entitled:
COMMISSION RESOLUTION NO. 2744
A RESOLUTION OF THE CITY COMMISSION OF Tl-fE CITY OF BOZEMAN,
MONTANA, DECLARING IT TO BE THE INTENTION OF SAID COMMISSION
TO VACATE AND ABANDON THAT PORTION OF THE 60-FOOT RIGHT-OF-
WAY FOR EAST COTTONWOOD STREET LYING BETWEEN BLOCK 118 AND
BLOCK 119 OF THE NORTHERN PAC.FIC ADDITION TO THE CITY OF
BOZEMAN, MONTANA, MORE COMMONLY LOCATED BETWEEN THE EAST
RIGHT-OF-WAY LINE OF NORTH ROUSE AVENUE AND THE WEST
RIGHT-OF-WAY LINE OF NORTH CHURCH AVENUE.
The City Manager recommended that the Commission adopt this resolution and set
the public hearing for May 1, 1989.
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It was moved by Commissioner Goehrung, seconded by Commissioner Hawks, that
the Commission acknowledge receipt of the staff report; and adopt Commission Resolution
No. 2744, stating the City's Intention to vacate the subject street right-of-way, and set
the public hearing for May 1, 1989. The motion carried by the following Aye and No vote:
those voting Aye being Commissioner Goehrung, Commissioner Hawks, Commissioner Martel
and Mayor Stiff; those voting No being Commissioner Vant Hull.
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ulations for cit arks and
enalties for
City Manager Wysocki presented Ordinance No. 1278, as prepared by the City At-
torney, entitled:
ORDI NANCE NO. 1278
AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF BOZEMAN,
MONTANA, REPEALING SECTION 12.28.010 AND 12.28.020 OF THE BOZEMAN
MUNICIPAL CODE AND ESTABLISHING REGULATIONS FOR CITY PARKS
AND PRESCRIBING PENALTIES FOR VIOLATIONS OF ITS PROVISIONS.
The City Manager briefly reviewed the revisions which the Commission made prior to
provisional adoption of the ordinance at their regular meeting of March 20, 1989. He then
recommended that It be finally adopted at this time.
Commissioner Vant Hull suggested that Section 3, No. 14, be revised to combine
both sentences into one complete sentence by changing it to read II... such purpose, or to
fail to ...11 The Commission concurred.
Mayor Stiff asked about Section 3, No.6, which prohibits climbing of trees, noting
that young boys are prone to climbing trees.
City Manager Wysocki stated the purpose of this prohibition is to avoid damage to
young trees planted in the parks, citing the trees In Centennial Park as an example.
Commissioner Hawks noted the liability which the City may incur from Injury to
young children climbing trees in the parks if this prohibition were not included in the or-
dinance.
Commissioner Vant Hull then proposed that the language in Section 3, No. 10, be
revised to be less ambiguous. Following discussion, a majority of the Commission con-
curred that the comma after IIlead" should be removed; however, they also asked that the
City Attorney review the sentence to determine whether there is a better revision possible.
It was moved by Commissioner Hawks, seconded by Commissioner Vant Hull, that
the Commission finally adopt Ordinance No. 1278, as revised, establishing regulations for
city parks and prescribing penalties for violations thereof. The motion carried by the fol-
lowing Aye and No vote: those voting Aye being Commissioner Hawks, Commissioner Vant
Hull, Commissioner Martel, Commissioner Goehrung and Mayor Stiff; those voting No, none.
Discussion - FYI Items
City Manager Wysocki presented to the Commission the following "For Your Informa-
tionll items.
(1) The City Manager indicated that he and Administrative Services Director
Gamradt will attend a meeting of the Greater Open Spaces City Managers' Association
(GOSCMA) in Helena on Thursday and Friday. He noted that topics on the program In-
c1ude team building as well as goal setting and implementation strategies.
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(2) The City Manager reminded the Commission of the goal setting session which
has been scheduled for 1 :00 p.m. on Wednesday, April 5, in the Commission Room.
(3) A summary of the goals submitted by the Commissioners.
(4) Agenda for the Board of Adjustment meeting being held this afternoon.
(5) A summary letter of the meeting of bar owners held regarding the Christmas
Stroll, listing efforts to be made by the bar owners as well as the Christmas Stroll Com-
mittee.
The City Manager noted that Mr. Jerry Wade, local office of the Department of
Highways, has indicated he does not plan to approve closure of the street for the Christ-
mas Stroll this year. He indicated it may be necessary to begin the request for closure of
the street early enough to follow it through the complete process.
(6) A copy of the minutes from the Performing Arts Center Steering Committee
meeting held on Thursday, March 16, 1989.
(7) A copy of the letter from the Department of Commerce concerning closing of
the CDBG project for Schnee's Boot Works.
(8) Agenda for the Chamber of Commerce Governmental Affairs Committee meeting
to be held on Thursday, April 6.
Mayor Stiff noted he had received a letter from the Committee inquiring about
whether the incumbent City Commissioners plan to file for election. He asked whether the
committee anticipates an answer; Commissioner Martel Indicated they do not.
(9) A letter from the Chamber of Commerce inviting members of the Governmental
Affairs Committee to attend a President's Forum on Tuesday, May 2.
(10) A letter from Mr. Charles McGuireconcernin~an alley problem adjacent to
his house at 412 South 11th Avenue.
(1 n A letter from Ms. Els HiHengenbe'rg-Cu$ic to the Commission listing sug-
gestions on various issues.
(12) The City Manager stated he has ~ritten".a letter concerning the posting of
handbills on poles and posts located In the publiC rights-of-way; and those letters have
been mai led to 30 to 40 persons and organizations. He indicated that one lady called him
today rather upset because the letter contained a postscript, noting that his original letter
did not contain a postscript. He then stated the staff will follow up on this letter to see
if it accomplished the desired results.
(13) Commissioner Hawks stated he has reviewed the 45-minute tape on economic
development in Montana, which was made a couple of years ago. He suggested that any
other interested Commissioners may wish to view the tape prior to their goal setting pro-
cess.
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Commissioner Martel and Commissioner Goehrung indicated interest In taking the
tape and viewing it In their homes prior to the goal setting sessions. Commissioner Vant
Hull and Mayor Stiff indicated they had already viewed the tape.
(14) Commissioner Goehrung submitted to the Commission a letter from Bob Wa-
ters, 509 West Harrison, dated March 17, concerning a parking ticket he had received.
In response to a question from Commissioner Vant Hull, the City Manager indicated
that the staff will respond to the letter.
(15) Mayor Stiff noted that he watched proceedings of the City with interest while
he was out of town. He then reminded the Commission that one of the goals set last year
was to resolve the problems created by the delinquent Valley Unit assessments; and that
issue was recently addressed through the public auction of twelve lots. He then thanked
the staff, particularly City Manager Wysocki and Administrative Services Director Gamradt,
for their efforts, Including selection of good outside professional assistance, to help make
this a successful sale. The Mayor stated this successful sale has established the founda-
tion to address the issue even further in the near future.
Consent Items
City Manager Wysocki presented to the Commission the following Consent Items.
A
It was moved by Commissioner Vant Hull, seconded by Commissioner Martel, that
the Commission approve the Consent Items as listed above, and authorize and direct the
appropriate persons to complete the necessary actions. The motion carried by the follow-
ing Aye and No vote: those voting Aye being Commissioner Vant Hull, Commissioner
Martel, Commissioner Goehrung, Commissioner Hawks and Mayor Stiff; those voting No,
none.
Recess - 3:06 p.m.
Mayor Stiff recessed the meeting at 3:06 p.m., to reconvene at 7:00 p.m. for the
purpose of conducting the scheduled public hearings.
Reconvene - 7:00 p.m.
Mayor Stiff reconvened the meeting at 7:00 p.m. for the purpose of conducting the
scheduled public hearings.
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Public hearln - Conditional Use Permit... Donald K. Weaver
4 ,224-square': oot single-story office building on Parcell,
This was the time and place set for the public hearing on the Conditional Use Per-
mit requested by Donald K. Weaver to allow construction of a 4,224-square-foot single-
story office building on Parcel 1, Certificate of Survey No. 406A. The subject parcel is
more commonly located at 2000 Fairway Drive.
Mayor Stiff opened the public hearing.
Planner Brey presented the staff report. He noted that the subject site currently
contains two office buildings; and this would be the third and final building within the de-
velopment. He noted the building Is to be located between the existing buildings and
Kagy Boulevard.
Planner Ron Brey briefly reviewed the history of the site. He noted construction
of the first bui Idlng was approved in 1977; and construction of the second building was
approved in 1979. He stated the first two buildings were not constructed through the
Planned Unit Development; therefore, the requirements for such development were con-
sidered while reviewing this application.
The Planner reviewed the six criteria for review of conditional use permit applica-
tlons, Indicating the application Is basically in compliance with those criteria. He then in-
dicated that after conducting its public hearing on this application, the Zoning Commission
recommended approval, subject to the seven conditions recommended by the Planning staff.
Mr. Robert Lee, representing Mr. Don Weaver, stated the Planned Unit Development
regulations were not yet adopted when the buildings were constructed in 1977 and 1979.
He then indicated that under the proposed development of this site, 54 percent of the par-
cel wi II be in open space. He stated that at the present time, the parking lots for the two
buildings are paved; and a gravel driveway area has been provided through the area
which is to become parking for the subject building. He noted that the area will also be
paved to meet the zoning requirements.
Mr. Lee stated that the area along the southeast corner of the building will be
screened with a cedar board fence and vegetation; and the dumpster will be located in that
area. He stated that pods of landscaping are to be installed along the Kagy Boulevard
right-of-way, which will partially'screen the building from the street. Also, the building
and landscaping will shield the parking areas for the three buildings from the street.
In response to a question from Mayor Stiff, Mr. Lee stated the applicant is In
agreement with all of the conditions recommended by the Planning staff and Zoning Com-
mission.
I n response to a question from Commissioner Martel, Mr. Lee stated that Sourdough
Trail is located along the west side of Fairway Drive, therefore, it does not traverse this
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parcel.
No one was present to speak In opposition to the requested Conditional Use Permit.
Mayor Stiff closed the public hearing.
It was moved by Commissioner Martel, seconded by Commissioner Goehrung, that
the customary one-week waiting period be waived. The motion carried by the following
Aye and No vote: those voting Aye being Commissioner Martel, Commissioner Goehrung,
Commissioner Hawks, Commissioner Vant Hull and Mayor Stiff; those voting No, none.
It was moved by Commissioner Goehrung, seconded by Commissioner Hawks, that
the Conditional Use Permit requested by Donald K. Weaver to allow construction of a
4,224-square-foot single-story office building on Parcel 1, Certificate of Survey No. 406A
be approved, subject to the following conditions as recommended by the Zoning Commis-
sion:
1. A final site plan be submitted which includes the items described in
the staff report and complies with Section 18.52. 130 of the Zoning
Code;
2. Landscaping and parking improvements for the first and second of-
fices be completed as per the approved landscaping plan for those fa-
cilities;
3. The portion of the parking lot yet to be constructed shall comply with
6-percent interior landscaping requirements;
4. Three copies of the final site plan containing all the conditions, cor-
rections and modifications approved by the City Commission shall be
submitted for review and approval by the Planning Director within six
months of the date of City Commission approval. A final site plan
must be approved prior to the Issuance of a building permit or busi-
ness license for the project or commencement of the use. One signed
copy shall be retained by the Planning Director, one signed copy
shall be retained by the Building Department and one signed copy
shall be retained by the applicant;
5. If Improvements are not Installed prior to final site plan approval, the
applicant shall enter into an improvements agreement with the City.
Detailed cost estimates, construction plans and methods of security
shall be made a part of that agreement;
6. If occupancy of the structure or commencement of the use is to occur
prior to installation of the improvements, the agreement must be
secured by a method of security equal to one and one-half times the
amount of the cost of scheduled improvements;
7. All on-site improvements shall be completed within 18 months of final
site plan approval of the Conditional Use Permit. The Conditional Use
Permit shall be valid for a period of 18 months following approval of
the final site plan. Prior to the permanent renewal of the permit at
the end of that period, the applicant must satisfy all the conditions In
the granting of the permit. An on-site inspection will be made and a
report made to the City Commission for their action. If all required
conditions have been satisfied, the permit will be permanently re-
newed.
The motion carried by the following Aye and No vote: those voting Aye being Commissioner
Goehrung, Commissioner Hawks, Commissioner Vant Hull, Commissioner Martel and Mayor
Stiff; those voting No, none.
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This was the time and place set for the public hearing on the Conditional Use Per-
mit requested by Hubert M. Reid to allow Tract A, Certificate of Survey No. 1329, to be
leased to "SCIMAT", a high-tech crystal manufacturer. The subject parcel is more com-
monly located at 310 Ice Pond Road.
Mayor Stiff opened the public hearing.
Planner Dave Skelton presented the staff report. He stated this application is not
the standard conditional use permit appl ication, but is one that requests that the non-
conforming use in one building be changed to another non-conforming use, under Section
18.64.050(C) of the Bozeman Municipal Code. He noted that under that section, "... the
city commission, after recommendation from the city zoning commission, shall determine that
the proposed use is equally appropriate or more appropriate to the district than the exist-
I ng nonconformi ng use. II
Planner Skelton stated that the applicant proposes to lease one of the existing five
buildings on the subject site to SCIMAT. That firm plans to develop its business in two
phases, with one-half of the building being utilized in the first phase and one to three
employees hired. In the second phase, the entire building would be utilized; and up to
fifteen employees would be involved. The Planner stated that one corner of the subject
property is located in the 100-year floodplain; and the remainder of the site is in the
500-year floodplain and the floodway. He noted that four of the existing warehouses were
constructed subsequent to approval of a planned unit development of the site; and the
fifth structure was constructed In 1981 fOllowing issuance of a building permit, although it
was not contemplated In the original PUD.
Planner Skelton cautioned the Commission that review of this application is to be
limited to the subject building only, not the remaining four buildings or the total site. He
noted, therefore, that the staff report includes only comments pertaining to the one bui Id-
ing and access to the site.
Planner Dave Skelton stated that the staff reviewed the applic.ation, reviewing the
ten criteria set forth pertaining to the change from one nonconforming use to another non-
conforming use and subsequently recommended denial. He stated that after conducting its
public hearing on the application, the Zoning Commission recommended approval, subject to
thirteen conditions. He noted that during the publl~ hearing, considerable discussion sur-
rounded issues of whether or not this application would encourage survival of the non-
conformjng use of the property and traffic impacts.
Planner Skelton stated that the issue of extending South Rouse Avenue to the sub-
ject property and closing Ice Pond Road was discussed, noting the traffic would then
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access the property through South Rouse Avenue, East Garfield Street and South Willson
Avenue, which is an entirely residential area.
City Manager Wysocki entered the following letters into the record: a letter from
Hugh Reid, dated March 31; and letters of opposition from Mike Meagher, Principal of Long-
fellow School, dated April 3; Candy Tschache/ Cheryl Kemp, Co-Presidents of Longfel low
Parent Advisory Council; Mary Gray, 1817 South Willson Avenue, dated April 3; a petition
signed by 21 residents of the South Black/South Bozeman Avenue area; a note of verbal
opposition from Donna Murdock, 1119 South Willson Avenue; a letter from Jody May, 1219
South Tracy Avenue; and a letter from Debbie Berglund, 803 South Church Avenue.
Mr. Roger Craft, Rajah and Associates, stated he is representing Mr. Hugh Reid in
this application. He noted that subsequent to the Zoning Commission recommending ap-
proval of the application, subject to thirteen conditions, Mr. Reid submitted the letter dat-
ed March 31, requesting that the Commission consider rerouting of traffic within the entire
development separate from this conditional use permit application. He noted that within
180 days, the applicant will submit a master plan for the entire parcel, including ingress/-
egress options, for consideration. He requested that the Commission address the Issue of
whether this proposed nonconforming use is less intensive than the existing nonconforming
use in that one building only.
Mr. Craft noted the Issue of traffic and traffic patterns is not limited just to this
one small area, but is one that must be addressed in the entire community. He stated that
proposals such as this one bring the issue to the fore. He then requested that the Com-
mission accept the proposal to address the issues separately, which would result in delet-
ing Condition Nos. 3, 4, 5, 8 and 9, replacing them with a condition which would require
Mr. Reid to take the action proposed in his letter to submit a master plan for the entire
parcel within 180 days. He stated that the applicant does agree with Condition Nos. 1, 2,
6, 7, 10, 11, 12 and 13.
Mr. Roger Craft stated the subject parcel has had a long history of manufacturing
and light Industrial uses, predating Mr. Reid's acquisition of the first parcel in 1968. He
stated that Mr. Reid operated a manufacturing, storage and processing plant for fireworks
on the site, phasing that operation out in 1987. He stated that in 1973, the City annexed
69 acres In that area, Including the subject site. In 1978, the existing planned unit
development was established; and In 1985, Mr. Reid acquired the remainder of the 6.9
acres which he now owns.
Mr. Craft stated that this proposed change in use is an effort to reduce the diesel
tractor-trailer traffic, replacing it with less Intensive automobile traffic. He Indicated this
Is the beginning of a ~ransition from warehouse activity to light industrial and manufactur-
Ing use.
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they will dispose of it In a manner acceptable to the City Engineer.
Mr. Hutcheson summarized his presentation by stating he feels the proposed use is
of lesser impact on the subject building than the current use, and requested that the con-
ditional use permit be granted.
Mr. Mike Reichman, 2904 Langohr, indicated he is President of the Gallatin Develop-
ment Corporation. He then read a statement of support for the requested conditional use
permit. He stated the proposed use will create new jobs; and it conforms with GDC's
stated desire for economic development which preserves the natural environment and scenic
beauty of the area. He noted this type of high-tech firm can enhance the community
through its clean, safe and quiet technology. He further noted that the applicant, as well
as many of the local neighbors, feels that the proposed use would be less offensive than
the current warehouse use of that structure. He then encouraged Commission approval of
this application.
Mr. Frank Schledorn, 1208 North 8th Avenue, indicated he owns property at 207
and 211 East Cleveland Street. He stated his rental property Is located along the southern
boundary of the subject property. He then indicated strong support for the requested
conditional use permit. He noted that he has heard Mr. Hutcheson's presentation three
times; and he feels the proposed use is the type of business which Bozeman should at-
tract. He also noted the subject site would be ideal for the business in terms of the ex-
isting utilities available. He then noted that no exterior changes are necessary to accom-
modate the proposed business. Mr. Schledorn stated that the traffic created by the
proposed crystal manufacturing business would be less than the existing storage business.
He then encouraged the Commission to approve the request, cautioning them not to impose
so many conditions on the property that it will make the proposed use inside one building
unfeasible.
Ms. Daria Joyner, Executive Director of the Chamber of Commerce, submitted a
statement of support to the Commission. She noted the proposed crystal manufacturing
business would be an asset to the community and would provide a beneficial use of Mr.
Reid's extensive Investment In that property. She stated the neighbors seem to support
Mr. Hutcheson's proposed use, with their concerns being directed to the traffic Impacts
thereof. She then encouraged the Commission to approve this application, noting the
proposed use would be more favorable than the existing warehouse use.
Mr. George Roemhild, 417 Ice Pond Road, stated he has lived at that address since
1960. He stated that residents of that area have historically opposed expansion of the
warehouse facilities and industrial use of that site, since it is surrounded by residential
development. He noted that many requests for use of that property have been denied;
however, approval was finally given to allow expansion of the commercial planned unit de-
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.
velopment.
He then Indicated that Mr. Reid was to construct and maintain a fence and
plant shielding vegetation as a part of that approval; the fence was installed but has not
been maintained and no vegetation was planted.
Mr. Roemhild stated that a recent appraisal of his property revealed that if the
home were not located next to these industrial buildings, it would be valued $20,000 high-
er. He then indicated the neighborhood has had problems with Mr. Reid, questioning how
the City could ensure that any conditions imposed on approval of the application would be
met.
Mrs. Stephanie Becker, 902 South Willson Avenue, indicated she represents the
South Willson Improvement Association. She stated that the residents of South Willson Ave-
nue have historically opposed the increase of through traffic on that street, noting that
this proposed development would do so if the conditions recommended by the Zoning Com-
mission are approved. She then submitted to the Commission a petition opposing lithe
proposed Introduction of 18-wheel double-axle semi-truck traffic via South Rouse, Garfield
Street, South Willson Avenue, and Main Streetll, which contained 223 signatures. Ms.
Becker encouraged the Commission to address the traffic Impacts on the streets listed in
the petition prior to approval of any additional development in that area. She then read
portions of an editorial in the May 11, 1984 issue of the Bozeman Daily Chronicle entitled
IIProtect Heart of the Cityll, noting that article pertained to traffic in general.
Mr. Monte Cooper, 803 South Church Avenue, noted the Planning staff spent a sub-
stantial amount of time developing conditions for possible approval of this application;
however, Mr. Craft has requested that a number of them be replaced with a single condl-
tion requiring that a master plan for the entire parcel, including traffic impacts, be
submitted to the City within 180 days. He then suggested it would be more appropriate to
require such documentation prior to May 1. Mr. Cooper then encouraged the Commission
to deny this application.
Mr. Jerry Peach, 425 Ice Pond Road, stated he does not feel that Mr. Reid has ad-
dressed the residents' concerns in his various proposals for use of the subject site. He
expressed concern that the residents must always be prepared to address those issues in a
public hearing format, noting that most of them have a negative impact on the neighbor-
hood and their street.
Mr. Peach then expressed concern about considering a proposal for one building
only before the master plan for the entire site is considered. He noted that approval of
this application could cause, Mr. Reid to tl,have a foot in the doorll for this type of use in
the rest of his commercial buildings.
Mr. Jerry Peach then noted that after last week's Zoning Commission meeting, it
appeared that Ice Pond Road would be closed to through traffic, with access being gained
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from South Rouse Avenue. He noted that Mr. Reid's letter of March 31 changes that re-
quest, suggesting that the traffic issue be separated from this specific application. He
then stated that he feels this creates a different circumstance, and requested that action
on this application be delayed until such time as he has obtained legal counsel to represent
him.
Mr. Peach then questioned why SCIMAT wishes to locate in the warehouses on Ice
Pond Road rather than In the Tech Park, which was designed for this type of business.
He noted that the Tech Park has the same city services and Is more prepared to accommo-
date the impacts. He then expressed concern that the Gallatin Development Corporation
has submitted testimony in support of this application.
Mr. Peach stated one of the major issues to consider is that of trust. He stated
that Mr. Reid has not been a good neighbor, having failed to meet the conditions of ap-
proval as imposed by the City on previous applications for this site. He stated that de-
velopment of a master plan for the entire parcel prior to approval of any specific applica-
tions would cause less' problems for the neighborhood. He then encouraged the Commission
to deny this application.
Mr. Sherm Janke, 405 North 17th Avenue, indicated he owns two pieces of property
at the corner of Sourdough Road and Kagy Boulevard. He stated he has no objection to
SCIMA T as a company, noting this type of industry may be needed in Bozeman. He did,
however, state that he feels there are more appropriate areas in the community for such a
business, such as the Griffin Drive area and the Tech Park. He expressed concerns
about long-range planning and addressing the truck traffic impacts, noting those are the
real issues to be considered. He also noted that this proposed use will allow the continua-
tion of a non-conforming use on the subject site.
Mr. Janke then stated strong opposition to Mr. Craft's proposal to split the Issues,
addressing this application separate from the master plan of the property and access to the
site. He then noted, as a member of the Sierra Club, that the riparian habitat in the area
must be carefully considered when reviewing various alternatives for traffic patterns In the
area. He then encouraged the Commission to deny this application.
Mrs. Ann DiBerardinis, 408 South Willson Avenue, stated she and her husband own
property at 303, 307 and 309 East Cleveland Street, which is adjacent to the subject prop-
erty. She stated support for the comments of opposition which have been made, noting
that she signed the petition which Ms. Becker submitted earlier.
Ms. Debbie Berglund, 803 South Church Avenue, noted that she had submitted a
letter of opposition. She stated support for SCIMAT locating in Bozeman; however, she
does not feel that the subject site is the appropriate place. She noted that the Tech Park
has 10,000 square feet of space available immediately, with the same uti Iities as are
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available at the subject location. She briefly reviewed development around the subject
site, noting it is entirely residential. She noted at the present time, there are five ware-
houses on Mr. Reid's property; and they create truck traffic on a daily basis. She noted
that the traffic on South Church Avenue is heavy; and most of it travels faster than the
speed limit.
Ms. Berglund stated her property backs up against Mr. Reid's property; and she
has noted that In the past Mr. Reid has not met the conditions for approval which have
been Imposed by the City. She then briefly reviewed the character of the various re-
quests which Mr. Reid has submitted, including industrial and multiple use issues. She
then stated the building under consideration is vacant; therefore, this proposed use would
increase traffic rather than decreasing it, as indicated' by the applicant's representative.
Mr. Charles Paden, 507 Ice Pond Road, requested denial for two reasons: (1) the
applicant has changed the conditional use permit application substantially since the Zoning
Commission meeting, and (2) the application represents a modification to an existing
planned unit development. He stated that the proposal to allow the applicant to submit a
master plan for the entire parcel would severely limit the input from neighbors, because
they would be unable to protest any Master Plan Amendment or Zone Map Change, which
he feels are more appropriate processes.
Mr. Paden stated that he spoke in favor of this application before the Zoning Com-
mission because of Condition Nos. 4 and 9, which would result in closure of Ice Pond Road
to through traffic. He noted that the applicant has now requested that those conditions
be replaced with one to allow time for development of a master plan for the entire site;
and he is vehemently opposed to that proposed change.
Mr. Paden noted that this application, as submitted, would allow a less nonconform-
Ing use in one of the buildings, which should decrease the impacts on the neighborhood.
He then suggested that Ice Pond Road be closed, possibly exiting from the subject site on
South Rouse Avenue, then make arrangements with Mr. Martel to cross his property to
South Church Avenue. He noted this would eliminate the traffic on Ice Pond Road as well
as through the residential neighborhoods along East Garfield Street and South Willson Ave-
nue.
Mr. Paden expressed concern that a master plan for the subject site would include
residential development as well as the existing warehouse uses. He noted that would be
very simi lar to, if not the same as, the multiple use designation for which Mr. Reid ap-
plied, but which was withdrawn prior to its hearing before the City Commission. He noted
that under master planning for the site, the residents of the area would not be given the
opportunity for speaking through the public hearing process; and he feels that would se-
verely limit their rights.
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Mr. Charles Paden stated concern about the poor communications which Mr. Reid
has had with residents of the area In the past, as well as his failure to follow through on
conditions for approval. He noted that, as a result, the residents have become less trust-
ing of the applicant.
Mr. Paden distributed to the Commission a list of ten proposed conditions for ap-
proval of this application, noting they would make it more compatible with the surrounding
neighborhood. He briefly reviewed some of those conditions. He then Indicated that the
intersection of Ice Pond Road and South Church Avenue is a blind intersection, which is
rather dangerous because of the speed with which traffic moves along Church. He also
noted that Ice Pond Road is unpaved; and a special improvement district to pave the street
Is prohibitive.
Mr. Paden then reluctantly requested that the Commission deny this application,
noting that he feels SCIMAT is a good company which he would like to see relocate to
Bozeman.
B rea k - 8: 50 to 8: 57 p. m .
Mayor Stiff declared a break from 8:50 p.m. to 8:57 p.m., in accordance with Com-
mission policy established at their regular meeting of March 14, 1983.
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then encouraged denial.
Mr. Bob Sullivan, 405 Ice Pond Road, stated they purchased their home for use as
a day care facility in a safe neighborhood. He stated he is opposed to SC IMA T locating on
the site at this particular time.
Ms. Joan Montagne, 1105 South Tracy Avenue, stated opposition to the application,
noting sympathy for Mr. Hutcheson because he is caught In the middle. She stated that
Bozeman cannot continue to piecemeal requests without knowing the Intent of the develop-
er, suggesting that the master plan be In place prior to any additional development or
changes.
,
Mr. Lee Stroncek, 818 South Black Avenue, stated he feels the creation of a few
jobs is being used to secure approval of this application. He then encouraged development
of a master plan for the entire site before a specific application is considered.
Ms. Betsy Helgerson, 516 South Willson Avenue, stated she carried petitions along
South Rouse Avenue, and found many concerns about traffic impacts there as well as along
South Willson Avenue. She noted that the area around the subject site has been developed
as high-density residential; and she does not feel that traffic from that site should be
routed through a residential neighborhood. She then expressed concern about the busi-
ness community supporting this application, especially when one considers the traffic prob-
lems which could be created. She stated that a total plan of the site is necessary; and
landscaping would enhance its appearance.
Ms. Helgerson then stated concurrence with the confusion expressed by the resi-
dents of Ice Pond Road about how a request can change so dramatically between the Zon-
Ing Commission meeting and the City Commission meeting and still be considered the same
appl ication .
Mrs. Mary Roemhlld, 417 Ice Pond Road, noted no concerns have yet been voiced
about traffic from the site traveling by Bogert Park, with so many young people gathering
at that location for swimming and tennis. She then indicated that she supports Mr.
Hutcheson and his business; however, she does not want additional traffic on Ice Pond
Road.
Mr. Morris Jaffe, 1311 South Black Avenue, stated support for the comments which
have already been submitted. He then emphasized concern about the concept that approval
of this application would result in "a foot in the door" for additional industrial development
on that site. He indicated that denial of an initial application is easier than denial of a
subsequent application, after the first activity has been approved.
Mr. Roger Craft rebutted some of the comments submitted by various opponents.
He agreed that traffic planning is needed, not only In the subject area, but in the entire
community. He noted that Mr. Reid cannot address this issue by himself; rather it Is one
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which must be addressed by the City as well as the community. He then responded that iI
master plan for the entire site will take some time to develop, although It could probably
be done in less than 180 days.
Mr. Craft then addressed the issues of non-conforming uses and the "foot in the
door" concept. He noted that under the City's zone code; one non-conforming use may be
ch~nged to another non-conforming use of lesser intensity . He noted that he feels this
proposal is a step in the right direction, noting it could cause other similar, less intense,
businesses to locate there. He Indicated this would be more In character with the area;
and once the less intense non-conforming use has been established, no more intense non-
conforming use may replace it. He stated it Is Mr. Reid's intent to downgrade .the use of
th~ warehouses; and this would be a step in the right direction.
Mr. Craft stated several people have questioned the possibility of locating in the
Tech Park. He reminded the Commission of the growth of ILX Lightwave, noting it started
in a house on Babcock Street, then moved to a commercial building on East Frontage Road,
then finally grew large enough for it to be economically feasible for them to locate in the
Tech Park. He indicated that Scientific Materials, Inc., would like to take much the same
approach, noting that the high rental fee for a 10 ,oOO-square-foot space at the Tech Park
could cause the business not to succeed.
Mr. Craft stated that concern has been expressed about the appearance of the site.
He Indicated that the County is currently conducting an experiment on knapweed on the
parcel, in an attempt to determine an effective method of eliminating the weed.
.
Mr. Roger Craft stated that the application before the Commission is the same appli-
cation that was submitted to the Zoning Commission for their consideration. He stated that
he has requested iI modification to the conditions which were recommended by the Zoning
Commission.
Mr. Craft stated that Mr. Reid sought a multiple use designation for the site so
that he could construct residential units on the undeveloped portion, rather than expand-
Ing the warehouse uses. He noted that application was withdrawn, before the hearing was
to be held before the City Commission, after the City-County Planning Board recommended
denial because there are no code provisions for such a designation.
I n response to an observation by Commissioner Varit Hull, Mr. Craft stated that Mr.
Reid has never been officially notified by the City that he has failed to meet any of the
requirements or conditions for approval.
Commissioner Vant Hull submitted a proposed revision to Condition No. 9 and asked
Mr. Craft to respond.
Mr. Craft reminded the Commission that the existing use of the site has been
.
grandfathered in, rather than residential use. He stated that this application does meet
04-03-89
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the requirements of the code, noting that it modifies the existing non-conforming use to a
less non-conforming one. He then stated that he agrees with the remainder of the condI-
tion as proposed.
Commissioner Martel responded to Commissioner Vant Hull's condition by noting that
the surrounding zoning is R-3 and R-4, medium-density to high-density residential, even
though much of it has been developed as single-family residential.
Commissioner Vant Hull stated her condition recognizes existing development, which
the zoning designation does not.
I n response to a question from Mayor Stiff. Mr. Craft stated traffic now uses Ice
Pond Road to gain access to the site. He noted this proposed use should decrease the in-
tensity of the traffic, noting it is Mr. Reid's intent to change the remainder of the uses
on the site, which will result in a downgrading of all traffic from trucks to automobiles.
He then suggested that the Ice Pond Road access be retained until after master planning
of the entire parcel has been completed, at which time the South Rouse Avenue access, or
some acceptable alternative access, could possibly be developed.
Mayor Stiff asked If the applicant does not agree with the conditions as recommended
by the Zoning Commission; Mr. Craft Indicated he does not.
Commissioner Hawks asked if the limited access to the site might limit the amount of
development on the site; Mr. Craft responded in the affirmative, noting the existing access
does limit the amount of development.
I n response to a question from Commissioner Vant Hull, Mr. Craft stated that the
projected decrease in traffic is based on the traffic for the proposed use versus the uses
which could go Into that building without any review. .. He then stated that the building Is
not completely empty, although it is not occupied to its fullest use at the present time.
Commissioner Vant Hull asked if Mr. Reid has long-term or short-term contracts for
the existing uses.
Mr. Craft responded that is not the questlon...at this time. He noted that issue will
be more appropriately addressed during planning of the entire parcel. He then stated that
the entire community must work together to address the issue, noting that Mr. Reid's
rights, as well as the rights of surrounding property owners, must be considered in
arriving at a plan.
Mr. Jerry Peach questioned the need for 180 days to prepare a master plan for this
small parcel, when the ad hoc committee has been given 120 days to complete a plan for
development within the entire community and surrounding area. He once again encouraged
that a plan for the entire parcel be submitted befor~ any specific application is considered.
Mr. Chuck Paden once again questioned whether the applicant has submitted the
same application to the City Commission or a different one from what was submitted to the
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Zoning Commission.
Planner Dave Skelton stated that the application submittal is the same in the City
Commission packets as It was In the Zoning COlTll11i$sion packets. He noted there is no in-
dlcation in that application that Ice Pond Road will be closed and that South Rouse Avenue
will be extended to the site. He stated that during discussions, the applicant Indicated he
would be willing to construct South Rouse Avenue; and that is why It was included in the
staff report.
Ms. Stephanie Becker, 902 South Willson Avenue, stated that tonight's meeting does
not represent one neighborhood fighting another about the traffic impacts from the
proposed development, but is a reflection of the need for an entire traffic system in the
community.
Ms. Betsy Helgerson, 516 South Willson Avenue, suggested that if this subject site
is be become light Industrial rather than warehousing, the Commission should possibly im-
pose a three- or five-year limit on the phasing out of the warehouse uses, thus making
the commitment to light industrial.
Mr. Craft stated support for Ms. Helgerson's suggestion, on behalf of the appli-
cant.
Commissioner Martel noted that the Commission has heard concerns expressed about
traffic Impacts when considering other developments also. He then Indicated that Mr. Reid
is entitled to utilize his property for warehouses; and the Commission has no control over
such use. He then suggested that the first step in addressing the issue is to review the
city-wide traffic patterns, recognizing the problems which exist.
Following a brief discussion, a majority of the Commission concurred they would
prefer to leave this public hearing open until next week, rather than closing it at this
time.
Mayor Stiff continued the public hearing to 2:00 p.m. on Monday, April 10,1989.
B rea k - 9: 54 to 9: 58 p. m .
Mayor Stiff declared a break from 9:54 p.m., to 9~58 p.m., in accordance with
Commission poliCY established at their regular meeting of March 14, 1983.
Public hearing - Commission Resolution No. 2738 - proposed 7 percent Increase in water
rates
This was the time and place set for the public hearing on Commission Resolution
No. 2738, entitled:
COMMISSION RESOLUTION NO. 2738
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF BOZEMAN,
MONTANA, ORDERING A PUBLIC HEARING TO BE HELD ON A PROPOSED
04-03-89
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SEVEN PERCENT (7%) INCREASE IN THE WATER RATE CHARGED TO CUS-
TOMERS OF THE MUNICIPAL WATER SYSTEM. i'
0;':
Mayor Stiff opened the public hearing.
City Manager Wysocki submitted to the Commission letters of opposition submitted by
Mr. Gilbert Vicain, Whitehall" Montana; and Mr. and-.A1rs. David Fraker, Big Arm, Mon-
tana.
The City Manager stated that the proposed rate increase would be effective on the
May 1, 1989 bi IIlng. He then submitted to the Commission a two-page spread sheet show-
ing the anticipated major capital expenditures in the Water Fund for the current fiscal year
as well as the following five fiscal years, and the projected rate changes needed to fund
those expenditures or the debt service thereon. He then briefly reviewed the projects to
be funded during this fiscal year, noting that loanmonles for the first phase of Lyman
Creek improvements have already been approved through the Legislature; and it is antic-
ipated they will approve monies for the second phase during this session. He stated that
the annual debt service costs are estimated at $66,800 for the first phase and $40,200 for
the second phase, depend I ng on the interest rate. He stated that the proposed 7 -percent
increase is estimated to generate $115,000 annually, which is just slightly more than the
estimated $107,000 debt retirement cost. The City Manager then reminded the Commission
that the Water Fund is a very volatile fund, dependent upon the weather and resident us-
ages.
City Manager Wysocki stated that the interest rate for the DNRC loan for the first
phase of Lyman Creek improvements has already been established. He indicated the inter-
est rate for the first five years is 4.23 percent, which Is3 percent below the interest rate
on the bonds; and the remaining fifteen years is at the bond interest rate of 7.23 percent.
The Interest rate for the second phase has not yet been determined; however, It will be at
2 percent below the actual interest rate on the bonds for the first five years, then at the
actual interest rate for the remaining fifteen years.
City Manager Wysocki reviewed the improvements to be accomplished at the Lyman
Creek water source under this project. He noted that the supply is to be completely en-
closed, from its source to the City's delivery system ,thus eliminating any potential giardia
problems. He stated the engineering for the project has been completed and paid for; and
the bid has been let for Phase I. He noted that the second phase will be bid as soon as
possible.
The City Manager reminded the, CommisJion! that they 'recently authorized the staff
to proceed with the refinancing of the water bonds, which will generate sufficient monies
to cover the actual costs of expanding the water filtration plant and approximately $400,000
in line replacement and repairs without increasipg the annual amount for debt service.
04-03-89
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I n response to a question from Commissioner Hawks, the City Manager stated that
the Water Fund is treated separately from the City's General Fund. He stated that the
fund's debt limit is determined by its ability to repay the monies, since the bonds issued
are revenue bonds.
No one was present to speak in support of or in opposition to the proposed 7 per-
cent increase in water rates.
Mayor Sti ff closed the publ ic heari ng.
It was moved by Commissioner Vant Hull, seconded by Commissioner Martel, that
the Commission approve the proposed 7 percent increase in water rates, and authorize and
direct the staff to prepare the Commission Resolution establishing the new rates. The
motion carried by the following Aye and No vote: those voting Aye being Commissioner
Vant Hull, Commissioner Martel, Commissioner Goehrung, Commissioner Hawks and Mayor
Stiff; those voting No, none.
Public hearing - Commission Resolution No. 2739 - proposed 12 percent increase in sewer
rates
This was the time and place set for the public hearing on Commission Resolution
No. 2739, entitled:
COMMISSION RESOLUTION NO. 2739
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF BOZEMAN,
MONTANA, ORDERING A PUBLIC HEARING TO BE HELD ON A PROPOSED
TWELVE PERCENT (12%) INCREASE IN THE SEWER RATE CHARGED TO
CUSTOMERS OF THE MUNICIPAL SEWER SYSTEM.
Mayor Stiff opened the public hearing.
City Manager Wysocki submitted to the Commission letters of opposition submitted by
Mr. Gilbert Vicain, Whitehall, Montana; and Mr. and Mrs. David Fraker, Big Arm, Mon-
tana.
The City Manager stated the proposed rate Increase would be effective on the May
1, 1989 billing, If approved. He then submitted to the Commission a two-page spread
sheet showing the anticipated major capital projects and equipment purchases in the Sewer
Fund for the current fiscal year as well as the following five fiscal years, along with a re-
cap of proposed rate changes needed to fund those capital expenditures. He noted that
INTERCAP funding Is proposed for acquisition of many of the capital items because it pro-
vides a funding mechanism with a three- to five-year payback at a favorable Interest rate.
The City Manager reminded the Commission that the proposed 12-percent Increase
will result in a 72-cent-per-month increase in the average residential bill.
Mayor Stiff noted the financial statement for the: Sewer Fund reveals a net loss of
nearly $600,000 in last year's operations.
City Manager Wysocki concurred. He noted that the deficit in the Sewer Fund has
04-03-89
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increased over the past couple years; and action must be taken to reverse that trend. He
stated that this proposed 12-percent increase should bring the fund to a break-even posi-
tion; and an increase next fiscal year should place the fund in a positive cash flow.
Commissioner Martel noted that a 12-percent increase in rates next year on top of a
12-percent increase this year will result in compounding of the increase, and asked if that
has been taken into consideration In the spread sheets.
City Manager Wysocki responded that it has been, noting that the percentages of
the proposed Increases decrease over the next few years after that.
No one was present to speak in support of or In opposition to the proposed 12 per-
cent increase in sewer rates.
Mayor Stiff closed the pUblic hearing.
It was moved by Commissioner Martel, seconded by Commissioner Goehrung, that
the Commission approve the proposed 12 percent increase In sewer rates, and authorize
and direct the staff to prepare the Commission Resolution establishing the new rates. The
motion carried by the following Aye and No vote: those voting Aye being Commissioner
Martel, Commissioner Goehrung, Commissioner Hawks, Commissioner Vant Hull and Mayor
Stiff; those voting No, none.
Adjournment - 10:25 p.m.
There being no further business to come before the Commission at this time, It was
moved by Commissioner Goehrung, seconded by Commissioner Hawks, that the meeting be
adjourned. The motion carried by the following Aye and No vote: those voting Aye being
Commissioner Goehrung, Commissioner Hawks, Commissioner Vant Hull, Commissioner Martel
and Mayor Stiff; those voting No, none.
04-03-89