PUBLIC HEARINGS

Acting Planning Director Ben Rangel reported that Resolution No. 9357 annexes 4.5 acres of land along the south side of 10th Avenue South near 30th Street. The unincorporated enclave is entirely surrounded by the incorporated area of the City.

A portion of the block of land bordered by 10th Avenue South and 11th Avenue South between 29th and 32nd Street South had never been annexed to the City.

The unincorporated area consisted of several parcels owned by different parties and was legally described as Lots 7-9, Block 2, Talcott Addition, and Mark No. 18, Section 17, Township 20 North, Range 4 East, Cascade County, Montana.

According to Section 7-2-4501, MCA, a City may include as part of the city any platted or unplatted tract or parcel of land that was wholly surrounded by the city upon passing a resolution of intent, giving notice, and passing a resolution of annexation.

Public infrastructure based upon the difference in assessed mills for 2003, Mark No. 18 would pay an additional $1,675.00 if the property were within the City. This amounts to a tax increase of 15 percent. The annual street maintenance assessment for Mark No. 18 (161, 172 sq. ft.) would be $1,083.24. This assessment was applied to all incorporated properties and was included as part of the annual tax assessments. The City fire hydrant maintenance assessment and storm drainage assessment are collected through monthly utility billing. These two assessments are not initiated until the property develops with City utility connections.

The Planning Board recommended the City Commission assign a zoning classification of "GC" General Commercial, "D" Area District, to the northerly 200 feet of Mark No. 18, Section 17, T20N, R4E, and "LB" Local Business, "D" Area District, to the southerly 218 feet of Mark No. 18 and all of Lots 7-9, Block 2, Talcott, Addition, upon annexation to the City.

Mayor Gray declared the public hearing open on Resolution 9357 and Ordinance 2866. Jean Stone, 3225 19th Avenue South, representing Neighborhood Council # 5, spoke in favor of the Commission adopting Resolution 9357 and Ordinance 2866.

There being no one further to speak in support or opposition, Mayor Gray declared the public hearing closed.

Commissioner Rosenbaum moved, seconded by Commissioner Beecher, that City Commission adopt Resolution 9357.

Motion carried 5-0.

Commissioner Beecher moved, seconded by Commissioner Rosenbaum, that City Commission adopt Ordinance 2866.

Motion carried 5-0.
 

Public Works Director Jim Rearden reported that Ordinance 2867 makes minor updates to OCCGF Title 10 pertaining to One-Way Streets and Alleys. It was requested by the Great Falls Business Improvement District that the code be updated to accommodate current needs. With the parking changes downtown and in order to allow more efficient delivery of products and goods to the downtown businesses, staff recommended that the one-way designation for First Alley North and First Alley South be rescinded.

Ordinance 2646 had designated First Alleys North and South from Park Drive to 7th Street as one-way alleys, First Alley North being Eastbound and First Alley South being Westbound. Ordinance 2867 would return these alleys to two-way traffic.

Mayor Gray declared the public hearing open. No one spoke in support or opposition. There being no one to address the Commission, Mayor Gray declared the public hearing closed.

Commissioner Jovick-Kuntz moved, seconded by Commissioner Beecher, that the City Commission adopt Ordinance 2867.

Motion carried 5-0.
 

Staff requests the City Commission continue the public hearing to February 3, 2004. The legal ad for the public hearing did not get published and in order to ensure adequate notice was provided, staff requests this continuance to the February 3, 2004, City Commission Meeting.

Commissioner Hinz moved, seconded by Commissioner Jovick-Kuntz, that the City Commission continue the public hearing to February 3, 2004, on the Right-of-Way Agreements and Deeds of City-owned land to the Montana Department of Transportation (MDT) for use for public right-of-way.

Motion carried 5-0.
 

NEW BUSINESS

Fiscal Services Director Coleen Balzarini introduced Jeanine Johnsrud of Junkermier, Clark, Campanella, Stevens, P.C., Certified Public Accountants, who presented the City's FY 2002-2003 Annual Audit. Based on the Independent Auditor's report, the general purpose financial statements present fairly, in all material respects, the financial position of the City of Great Falls, Montana, as of June 30, 2003, and the results of its operations and the cash flows of its proprietary fund types for the year then ended in conformity with generally accepted accounting principles.

Along with the FY 2002-2003 Audit Report, the City's auditors (Junkermier, Clark, Campanella, Stevens, P.C., Certified Public Accountants) issued a separate Audit Management Letter. The letter commented on internal control recommendations related to the operations of the City that could adversely affect the City's ability to record, process, summarize, and report financial data. The document describes the auditor's FY 2002-2003 recommendations, status of prior year recommendations, and the City's response/disposition to each of the recommendations.

Commissioner Hinz asked where the 3.8 million dollar net income goes.

Fiscal Services Director Coleen Balzarini stated that this was in relation to the Bond covenants requirements that the City has in the enterprise funds.

Commissioner Jovick-Kuntz moved, seconded by Commissioner Hinz, that the City Commission accept the FY 2002-2003 Comprehensive Annual Financial Report and Independent Auditor's report as presented as well as approve the responses to the Audit Management Letter recommendations as presented, and authorize staff to submit the responses to the State of Montana, Department of Administration and other government agencies as necessary.

Mayor Gray asked the Commission if they had any further discussion. Commission Bill Beecher stated that it was reassuring from the position of a Commissioner to know that the figures that the Commission looked at on sometimes a daily basis are in fact valid figures. The City of Great Falls had received for several years an award for excellence in how the City reports the City's financial matters and that was all based on prior review of the financial documents that are prepared. This was a good point of reassurance to the Commission. Mayor Gray commented that one of the most important jobs the Commission has is to review the annual report. Mayor Gray also stated the City was well managed and well run. The annual process also points out some imperfections. It was very clear that the City was not in compliance with the City bond covenants for the Golf course. This was why the City did the audits, to find out where the City may have weakness. Mayor Gray also stated that the City was in good financial health and the City staff had served the Commission well in keeping the City in good financial health.

Motion carried 5-0.
 

City Manager John Lawton and Budget Officer Melissa Kinzler reported on the Street lights that are owned by Northwest Energy. The purpose of this report was to provide an analysis of the City of Great Falls' street lighting system and to determine whether or not the City's residents are receiving value from the system commensurate with the amount of money they pay for it. The City of Great Falls serves as a billing and collection agent for the energy utility (formerly Montana Power, now NorthWestern Energy) which actually provides the system of poles and lights and the electricity to power them. The City bills citizens, or customers, through its assessment system.

Because of the events taking place since deregulation in 1997, the City of Great Falls was reevaluating all of its past practices with respect to electrical energy. Part of that reevaluation process was to critically examine the street lighting system to determine if the value received by Great Falls' citizens was fair and equitable in relation to the amount of money they pay for it.

Melissa Kinsler reported on the Street Lighting Districts, How Lighting District was created, How charges are set, Operation Charges, and Maintenance Charges.

Commissioner Jovick-Kuntz asked if the City pays ownership charges of the $587,532 and then the City pays the operation of $54,000 per year and maintenance of $55,000 per year? Budget Director Melissa Kinzler stated that they are all added together and that they are not separate amounts.

City Manager John Lawton stated that the most important part was that the City has an ownership charge that amounts to about $600,000 per year. Ownership charge was based on factors that have nothing to do with the City of Great Falls. The ownership charges have to do with factors that were related to the system as a whole state wide.

The report made the following recommendations:

1. Notify NWE that the City intends not to renew any of its contracts. Or, at least, one single, all encompassing contract per consolidated districts.
2. Propose to NWE that the City take over the ownership, operations, maintenance, and energy supply of the entire system
3. Work with neighborhood councils and other citizen groups to benefit the community rather than just the utility.
4. Determine if there are other strategies available.
5. Determine the legal and practical effect of the Public Service Commission approved rates.

Mayor Gray asked the Commission if they had any discussion on the report.

Commissioner Hinz asked if the City cancelled the contracts would the City go dark. City Manager John Lawton stated that the City can cancel the contracts and can simply replace them with new contracts that are more up to date. The City should provide immediate notice of cancellations of the contracts which may simply result in re-negotiations of the contracts as a minimum. The City should propose that the City take over the system and discuss the larger issues as well. Commissioner Hinz stated that $600,000 that was going out of this community could be well spent by the City doing some other things. Commissioner Hinz was appalled that the City pays that annually.

Mayor Gray stated that we as consumers are paying for this system over and over again. Multiple times for each pole that is out there.

Commissioner Rosenbaum asked if the City had a count of how many street pole bulbs are out. Budget Director Melissa Kinzler stated that the City found two percent of the poles were out at the time they were counted. The City had received notice from NorthWestern Energy that they had been fixed.
 

Acting Planning Director Ben Rangel reported that if approved on final reading, Ordinance No. 2868 will rezone Lots 6 and 7, Block 244, Original Townsite, addressed as 626 4th Avenue North and located within the Great Falls Central Place Revitalization Plan Area, from its present R-E Residential-Existing to R-O Residential-Office zoning classification.

Due to a deadlock vote of the City/County Planning Board the application is forwarded to the City Commission with no recommendation from the Planning Board.

Commissioner Beecher moved, seconded by Commissioner Rosenbaum, that the City Commission accept Ordinance 2868 on first reading and set 7:00 p.m., Tuesday, January 20, 2004, as the Public Hearing and final reading date.

Motion carried 5-0.
 

City Clerk Peggy Bourne stated that the MCA 2-6-405 requires local governments to give a 180 day notice before they may destroy any public record that was 10 years or older. The notice was only required to be given to entities that have made it known they are interested in receiving the notice by subscribing to the Secretary of State List-serve. Resolution 9356 establishes the priority to be used when determining the dispersal of public records that are 10 years or older.

The law further prioritizes the entities in order of consideration as: the Montana Historical Society/State Archives; Montana public and private universities and colleges; local historical museums; local historical societies; Montana genealogical groups; and the general public. If records were not claimed after 180 days, they could be destroyed.

Commissioner Jovick-Kuntz moved, seconded by Commissioner Hinz, that the City Commission adopt Resolution 9354.

Motion carried 5-0.
 

Fiscal Director Coleen Balzarini stated that staff recommended moving forward with the issuance of Storm Drainage System debt in the amount of $4,400,000. Debt proceeds are intended to finance construction of the City's storm drain improvements along 14th/15th street, which are being done in accordance with the Memorandum of Understanding between the City and the Montana Department of Transportation dated June of 2001. Staff recommended entering into a Commitment Agreement for the issuance of Revenue Bonds through the Waste Water Pollution Control State Revolving Fund Program. The interest rate charged for this financing will be 3.75% per annum, plus a one time origination fee of 1%.

Commissioner Beecher moved, seconded by Commissioner Rosenbaum, that the City Commission adopt Resolution 9355.

Motion carried 5-0.
 

CONSENT AGENDA

Mayor Gray asked if there was any discussion concerning any items on the agenda report. Sue Strickland, 609 2nd Ave SW, Representing Neighborhood Council #2, asked if item number 22 regarding the Minor Plat and accompanying Findings of Fact of Tract 106, Community Hall Addition, which subdivides an existing 2.35-acre parcel located immediately east of Interstate 15 between 5th Avenue Southwest and the Sun River Levee into two lots was voted through then would the parcel be subdivide. Acting Planning Director Ben Rangel stated the proposed action was stated to take the 2.35 acre parcel and subdivided into two separate lots. Sue Strickland stated that Neighborhood Council 2 had sent a letter into the Planning Board expressing their concern about the fact that the subdivision would result in the building on the property having a septic system as there was no sewer connection onto the property. Acting Planning Director Ben Rangel stated that the City County Planning Board did receive and consider the Neighborhood Councils letter regarding the issue. The applicant would still need to secure a permit from the Cascade County Health Department and also the State Departmental of Environmental Quality in order to put in a separate septic system.

Commissioner Hinz moved, seconded by Commissioner Rosenbaum, that the City Commission accept the Consent Agenda as printed.

Motion carried 5-0.
 

Community Development Director Mike Rattray reported that Rodney Beall, owner of the property located at 2111 6th Avenue South, and legally described as L 12, B 11, Huy Addition, had requested a variance to Section 17.45.020. The variance would reduce the required rear setback from 25' to 21'. The applicant wants to build an addition to the rear of the house.

The variance had been unanimously recommended by the Board of Adustments.

Commissioner Beecher moved, seconded by Commissioner Rosenbaum, that the City Commission approve the variance as recommended by the Board of Adjustment.

Motion carried 5-0.
 

Community Development Director Mike Rattray reported that Sunrise Presbyterian Church, owner of the property located at 3809 6th Avenue South, and legally described as L 1 thru 16, B 12, Lloyd Land Addition, had requested a variance to Section 17.57.010. The variance reduces the required front yard setback from 30' to 26'-9". The church wants to add an 11' x 12' front entrance vestibule that would include a handicap lift.

Commissioner Rosenbaum moved, seconded by Commissioner Jovick-Kuntz, that the City Commission approve the variance as recommended by the Board.

Motion carried 5-0.
 

Community Development Director Mike Rattray reported that the Design Review Board (DRB) reviewed the Hastings' project on July 18, 2003, and was recommending signage that exceeds the current code.

Bruce, with Hastings Cooperate Office stated that on behalf of Hastings, "Thank you to the people of Great Falls for their support of Hastings over the years. With the new building the design was done tastefully and it would be a great asset to the community."

Commissioner Beecher moved, seconded by Commissioner Jovick-Kuntz, that the City Commission approve the DRB's recommendation to allow additional wall signage on the storefront of the new Hasting store.

Motion carried 5-0.
 

Acting Planning Director Ben Rangel stated that the preliminary plat of Whispering Ridge Addition, Phases 4-6, consists of 43 proposed single-family residential lots located on the upper portions of the coulee immediately east of Mountain View Terrace Addition.

LAMMS Corporation has submitted applications regarding the following:

1. Preliminary Plat of Whispering Ridge Addition, Phases 4-6, located in the E ½ of Section 17, Township 20 North, Range 4 East, Cascade County, Montana.
2. Rezoning each Phase of the Preliminary Plat as it is annexed to the City from the current County 'R-1" Suburban Residential District to the City "A" Residence Use, "B" Area District.

The Planning Board on a 5 to 1 vote recommended the governing bodies approve the preliminary plat for Whispering Ridge Addition, Phases 4-6, and the accompanying Findings of Fact subject to meeting the conditions in the staff report.

Commissioner Beecher moved, seconded by Commissioner Rosenbaum, to approve the preliminary plat of Whispering Ridge Addition, Phases 4-6, and the accompanying Findings of Fact subject to fulfillment of conditions stipulated by the Planning.

Mayor Gray asked if there was anyone wishing to speak in favor of this Plat.

Brian Martin, Native of Great Falls, spoke in favor of Whispering Ridge Addition, phases 4-6.

Mayor Gray asked if there was anyone that wished to speak against the Plat.

Robert Haffner, 1916 Mountain view Drive, stated that he really was not against the Plat, but wanted height restriction. Mr. Haffner was concerned of the view that they would loose. He requested that houses along Mountain View Drive and the adjoining properties of the proposed annexed new addition be zoned as a height district. He also suggested modifying the existing resolution. Mr. Haffner wondered why the new property was going to be zoned A-residential and B-district instead of A-district.

Mayor Gray asked Community Development Director Mike Rattray to explain why a "B" is opposed and "A". Mike Rattray stated the "B" setback requirements requested during annexation and subdivision planning because of building on a slope/steep grade. Side setbacks "B" area provide for a 20 foot front setback and 5 feet on each side. The "A" area setback provides for a 30 foot setback and 6 feet on each side. Normally the lot coverage ratio was not an issue.

Dwight Smith, 2040 32nd Street South, Mountain View Addition, stated that there were eleven homeowners present and that eight of the eleven had signed an agreement not to protest. That was why the Commission was not hearing more from the audience.

William Conklin, 2032 32nd Street South, stated that he was concerned for his neighbors and that he was distressed for the view his neighbors and himself would loose. The City Commission could address this in their own respect wether or not postponing approval of this item to see if this issue could be negotiated or resolved in some way to satisfy everyone's interests.

Larry Geske, # 4 Meadowlark Ridge, Developer of Whispering Ridge, stated that the no protest agreement was attached to his offer to sell to the 20-some property owners half of a 100-foot strip of electric company right-of-way that separates his new housing development from the back yards of the Mountain View Drive dwellers. The 50-foot strip would provide a buffer for Mountain View. In addition Mr. Geske was asking the Mountain View Drive residents to write covenants for the strip, restricting how it can be used. Then he would use those same covenants for the other side of the 50-foot strip with the new buyers. He stated that he was giving the Mountain View Drive residents first right to purchase the Whispering Ridge lot across their back fence. Purchasing these lots would protect their view.

Commissioner Jovick-Kuntz asked if the agreements were a legal agreement; would it be filed somewhere; and where it would be filed. Larry Geske stated that it was a legal agreement, and it would be filed. He also stated that the land would be platted and what they have brought to the covenant would be in place in public record.

Mayor Gray stated that basically the residents have agreed to wave the right to protest of bringing it into the City. Mayor Gray asked if it was the role of government to protect something that maybe the residents could have protected themselves. It was the role of the government to protect value of substantial investments that people have made in their own properties. Mayor Gray asked Larry Geske if he had any discussion with the residents of a solution by putting some sort or height restriction on the structure of a particular lot as it might apply to the lot above it. Was it possible to have a height limit lot by lot? Mr. Geske stated that they had not discussed height limitation lot by lot with the residents.

Commissioner John Rosenbaum, being a long time developer, stated that when people buy/develop a lot they have an expectation that when they are looking over a vacant lot that view shed belongs to them. Height was not always an issue.

Commissioners asked City staff for more information about how other cities address similar issues and how home height restrictions would be incorporated into the rezoning of Great Falls.

Commissioner Jovick-Kuntz recommended postponing until January 20, 2004 to give staff additional time to check with land use codes and what other cities are doing. Assistant City Manager Cheryl Patton stated height restrictions would be part of the city's new zoning, currently in the hands of a consultant, but that was months away from adoption. When the new codes are adopted any restrictions would apply at the time the building permit was applied for. Commissioner Bill Beecher stated that the Commission should not get into dictating the heights of properties for specific areas.

Mayor Gray requested to defer for a month with an interim report on what the consultant might suggest to the Commission. Assistant City Manager Cheryl Patton stated that the City could ask the consultant for guidance. Acting Planning Director Ben Rangel stated that there was a time consideration in terms of period of time that local governments needed to act on this particular preliminary plat. Bill Walters Planning staff, stated that the subdivision statues dictate that the governing bodies must act on a preliminary plat within sixty working days of its submittal. According to calculations that would be February 20, 2004. If it was to go beyond February 20, 2004, the Commission could ask for an extension.

Mayor Gray asked Commissioner Bill Beecher if he would accept an amended motion to table the action until February 3, 2004. Commissioner Bill Beecher agreed as long as the Commission does not put the developer in a box on this.

Commissioner Hinz moved, seconded by Commissioner Jovick-Kuntz, to amend the original motion to table this discussion until February 3, 2004.

Motion carried 5-0.
 

As of October 30, 2003, Dick Stevens resigned from the Design Review Board. Therefore, according to the bylaws of the Design Review Board, Mr. Didriksen needed to be moved from the alternate position into a full time position and a new member must be appointed.

Commissioner Beecher moved, seconded by Commissioner Jovick-Kuntz, that the City Commission designate Derek Didriksen as a regular member for the remainder of his term through March 31, 2005; and appoint Bill Stuff to fill the remainder of a three-year term and serve a three-year term through March 31, 2007, as an alternate architect member.

Motion carried 5-0.
 

Bruce Davidson resigned from the Housing Authority Board; therefore, it is necessary to appoint one new member to the board.

Commissioner Hinz moved, seconded by Commissioner Beecher, that the City Commission appoint Dawn Bentley as a member of the Great Falls Housing Authority to fill the remainder of a term through May 31, 2005.

Motion carried 5-0.
 

Term for John Kelly expired on December 31, 2003. Mr. Kelly was not interested in reappointment. Section 76-1-201, MCA, required that appointments be designated as "citizen" or "official" members; therefore this new member would be appointed with an "official" designation.

Commissioner Beecher moved, seconded by Commissioner Hinz, that the City Commission postpone appointment for City-County Planning Board until January 20, 2004 Commission meeting.

Motion carried 5-0.
 

ADJOURNMENT