PUBLIC HEARINGS

Ordinance 2891 would rezone Lots 1 & 2 of the Replat of the West 100 feet and a portion of the vacated avenues and alleys in Blocks 416, 418, and 453, GF Townsite Addition, located at the southeast corner of the intersection of 2nd Avenue South and 2nd Street South, from Heavy Commercial Business (B-4) to High Density Business (B-3).

The owners of the subject lots submitted a petition to rezone the property. A majority of the existing building on the premises is occupied by the Antique Mall (Bull Market Antiques) and a restaurant (The Breaks Ale House and Grill) which includes alcohol sales and consumption. The rezoning is precipitated by the applicant's desire to add professional office space, which is not permitted in the B-4 District, and gaming to the restaurant which is only allowed in the B-3 District.

On November 9, 2004, the City-County Planning Board conducted a public hearing and at the conclusion of the hearing, the Planning Board unanimously passed a motion recommending the City Commission adopt Ordinance 2891.

Mayor Gray declared the public hearing open and stated that staff received a letter from the applicant requesting to postpone the public hearing because their representative, Jeffrey Mora, was unable to attend the meeting.

Commissioner Rosenbaum moved, seconded by Commissioners Beecher and Hinz, that the City Commission continue the public hearing on Ordinance 2891 until January 4, 2005.

Motion carried 5-0.
 

The declared purpose of state regulation and control of the manufacture, sale, importation and distribution of alcoholic beverages within Montana was to protect the "welfare, health, peace, morals and safety of the people of the state." The quota on the number of liquor licenses allowed within a city and within five miles of the city limits for all-beverage licenses, beer licenses and restaurant beer and wine licenses was set by state statute. For Great Falls, including the five mile area beyond city limits, the number of premises with all-beverage licenses exceeds the state quota by twenty-two; the number of premises with beer licenses exceeds the state quota by one; the number of premises with restaurant beer and wine licenses are within quota by a margin of ten.

Therefore, in the interest of protecting the welfare, health, peace, morals and safety of the residents of the City of Great Falls, it was deemed necessary and urgent to impose a moratorium within the City of Great Falls prohibiting the sale of alcoholic beverages for consumption on additional premises with all-beverage and/or beer licenses until the permissible quota of all-beverage and/or beer licenses under state statutes for the City of Great Falls exceeds the existing number of such premises licensed and selling such alcoholic beverages. The moratorium shall not apply to existing premises within the City limits with all-beverage and beer licenses or such licenses relocation; and, also excepting existing or future premises with restaurant beer and wine licenses.

Moratorium ordinances are effective on passage and for six months after passage. They may be extended for one year following a public hearing. No more than two such extensions may be adopted. According to MCA 76-2-306, it was assumed that a change in the zoning ordinance to accommodate the provisions of the moratorium would result in the interim or if the need or urgency ceases, would be abandoned.

Mayor Gray declared the public hearing open. Those speaking in support of Ordinance 2892 were as follows:

Bob Alfred, 2601 26th Street South, stated that it was the purpose of the City, County and State Government by law was to protect the welfare, health, peace, morals and safety of the citizens. He added that currently the City was forty over the quota for liquor licenses than what the State allowed. The moratorium was temporary, and the six months would give the City some time to properly work on the zoning code. He added that gambling was not a healthy activity for our citizens and often became a hazard to the health and welfare of families. Gambling addictions create crime, separations in families and other problems. Mr. Alfred stated that a friend of his had to leave the State to get away from the gambling addiction. It destroyed his family. He added that gambling addiction was one cause of suicide. He stated that the City needed to examine Bozeman's zoning code and take it into consideration what. He urged the City Commission to pass the moratorium and then properly address the issues in the new zoning codes.

Keener Boyce, 634 Doris Drive, retired physician, stated that he concurred with Mr. Alfred. He added that there was a high cost to society caused by gambling and that most of his time in practice was spent dealing with social problems brought on by gambling, alcohol, tobacco and drugs. Since his retirement he volunteers at East Middle School as a mentor for kids. Mr. Boyce added that the moratorium was a "no brainer," and asked the Commission pass the Ordinance so it would allow some time to study more on the issues.

Jim Petersen, 1009 26th Avenue SW, Pastor of 1st Congregational Church and resident for twenty-one years, stated that he would like to see the moratorium passed and to take time out for six months and look further into issues. He said that the Commission would have new zoning codes which could help resolve this problem. He added that he was concerned for the establishments that face a potential loss.

Tim Spencer, 3332 Eagle Court, stated that as long as Great Falls can present an appeal to people, it would be a place to come and that the City would grow. He added that he was in favor of the moratorium.

Mark Mathison, 1006 8th Avenue North, stated that he came to Great Falls four years ago and the first thing he saw was the casinos. He stated that he liked the City, but when his out-of-state friends come into town, they are turned off by all the signs and gambling establishments and does not want Great Falls to be known as a "Little Vegas."

Aart Dolman, 3016 Central Avenue, stated he was in favor of the moratorium. He added that gambling was a disaster to families. He concurred with Reverend Petersen that the Commission needed to look very closely at the zoning laws.

Gloria Smith, 8 Cheyenne Drive, stated that she has lived in Great Falls for thirty-four years and that 10th Avenue South was a "Mini Vegas" with bar establishments selling to minors. She asked why the bars haven't had their license taken away for selling to minors. One bar in Great Falls had the military made off limits from it. She added this made our City look very poor. She added that drinking and gambling are a society risk and that she supported the moratorium. The City needed treatment centers rather than more casinos.

Mayor Gray reminded the audience that gambling was legal and the Commission was not able to stop gambling and to keep the comments to the proposed moratorium.

Emma Martin, 1101 Durango Drive, 3rd grade Meadowlark student, stated that there was a casino next to Dairy Queen on Fox Farm Road and that the casino makes her nervous now when she goes to Dairy Queen. She added that parents who gamble set a bad example for their children. Ms. Martin asked the Commission to start caring for families and not casinos.

Paul Comer, read a letter his son wrote to the editor of the Tribune, which stated that the casinos are turning the City into an ugly eye sore. Young people were leaving the State and not returning. People need to decide if they want the added eye sores to continue to grow.

Lois Lee, 24 17th Avenue South, stated that she lived in Great Falls for thirty-five years and then moved away. She moved back to take care of her mother and began gambling. She became an addict to gambling and alcohol and gambled away almost $40,000. She has not gambled for two years now. She added that people who live on Social Security spend their money on gambling and that she did not know how they could survive. Gambling, she said, destroys families and she supported the moratorium.

Mary Huntington, 3126 4th Avenue North, stated that she works in the addiction treatment field as a therapist. She also adopted three children who were placed for adoption because the parents were addicted to gambling and alcohol. She was in the process of becoming a therapeutic foster parent for children who come from alcohol and gambling homes.

Brad Forsyth, (no address provided) stated that he was born and raised in Great Falls and had been gone from Great Falls for ten years. Great Falls was an eye sore with the number of casinos on 10th Avenue South. He added that he would like to move back to Great Falls. He currently lives in New Mexico and is a mechanical engineer.

Ben Forsyth, 900 9th Street South, stated that someone stated last meeting that gambling created jobs. He added that this was not true and that there was not an increase in employment with gambling. Gambling takes money out the economy. The study being done on gambling just looked at the gambling prospect not other areas it affected.

Judy Boyce, 634 Doris Drive, asked the City Commission to vote for the moratorium because there were enough casinos.

Gary Bromo, 902 23rd Street South, stated that Great Falls looked like a little Vegas and that the City should consider changing the name to North Las Vegas. He added that he played five dollars in the casino machines and won $150. He liked that and played more. In time he figured out how much money he was spending and quit gambling, drinking and smoking. Mr. Bromo added that the casinos give a player free food and drinks to keep them in their establishments playing machines. He would like to see more parks and soccer fields come into Great Falls rather than more casinos and asked the Commission to vote for the moratorium.

Dawn Goulet, mentor and guardian ad litem, stated that families go in debt because of gambling and that the City needed positive things in town for the youth. She added that a family member mortgaged their home and almost lost everything to gambling.

Ken Hall, 729 49th Street South, stated that he was asking the Commission for a motion to pass the moratorium and this would allow temporary time to study Bozeman and give Great Falls an opportunity to change.

Kendra Owen, 1004 El Paso Drive, stated that Larry Swanson had some key information from the economic prosperity. The City could not wait for the State to solve the City's problems and that the City needed to build their image. Cities of quality would add value. She added that she was concerned what gambling does to families. Ms. Owen shared a story from Gordon Johnson of the Great Falls Symphony. He stated that when he brings visiting musicians into Great Falls he avoids driving them on 10th Avenue South. "Gamble-Right-Here" has a big impact on people. All a person sees on 10th Avenue South are casinos and pawn shops. She asked Commission to pass the moratorium.

Skyler Holland, 729 49th Avenue South, stated that she counted about twenty-five casinos in a small area on 10th Avenue South. She added how concerned she was with the amount of money people put into the machines.

Lacy Alfred, 2601 26th Street South, attending Washington State University, stated she loved Great Falls and it was where her roots were and that she does not like what it has turned into.

Those speaking against Ordinance 2822 were as follows:

Micheale Wigen, owner of Spot Bar that had been the family business, stated that she was concerned that there was discrimination issues that would affect their business and not all licenses would be treated fairly. If this Ordinance was to pass it would strip the value of their business that she and her husband have worked for the past twenty years to build, and that their needs needed to be taken into consideration. She added that their license was their retirement and future, and that it was unfair to strip one's assets. She added that the moratorium would do nothing for the City. It would still be over its quota and in twenty years Great Falls would still look the same. Mrs. Wigen stated that the City needed to do legal research with the State of Montana and possibly check into the zoning codes.

LaMonte Evans, Bar S Supper Club, stated that adopting the moratorium would not change the number of bars and casinos that already exist.

Viki Gallager, 333 17 Vaughn Road, owner of Frontier Inn, stated that if the moratorium passed, it would hurt a few of the business more than others and would not change the number of casinos.

Dan Griffin, owner of Griffin's Village Inn in Ulm, stated that the Commission's decision was critical to some of the businesses. The "401" license holders were the ones who were going to be hurt. The Las Vegas look was still going to be in Great Falls if this passed. He added that once a County license was transferred over to a City license it could not go back into a County license. He asked what would happen to a license that automatically transferred over to a City license and it can not be transferred back over? He added that he would do whatever it took to get his license back, if taken away.

Barry Grasseschi, 108 Skyline Drive NE, stated that he had been in business for sixty-six years with Borrie's. Their business has good stewards and sponsors several softball teams and other sports in town. He added that he hoped for his family's sake this moratorium does not affect his family and future.

John Hayes, speaking for the local Tavern Association, stated that there were about 25,000 employees employed by the gambling associations with wages of about $20 million and about $3 million goes back into Great Falls. The owners of the casinos are neighbors and residents. He added that the bar owners have concerns about licenses and gambling and that it was not just a Great Falls problem, it was a problem across the State of Montana. He added that the moratorium would affect about fifteen licenses in the five-mile doughnut area. He told the Commissioners that he appreciated the City's work on the moratorium, but did not think it was fair. The moratorium would hurt some of the owners financially. Mr. Hayes stated that he would like to go back to the drawing board and figure out a solution to the problem.

Those speaking neither for or against Ordinance 2892 were as follows:

George Gallagher, 4701 Willowdale Lane, stated that most of the comments made were against gambling. He added that that was not what the Ordinance was about. He reminded the City Commission that drinking and gambling were legal and that the Commission needed to focus on City business rather than their personal feelings towards gambling.

Gary Shelden, 818 5th Avenue North, stated that he did not understand how property was going to be taken away from owners.

Tim Spencer, (no address given) asked about the value of licenses and were there taxes being paid on them. He added that the point of the moratorium was to take time to study the zoning.

Michael M. Witsoe, 510 11th Street South, stated that we were here because of gambling and the moratorium was here for the casinos not for the restaurants. He asked the Commission to consider this item after Christmas and allow more time to look into it.

There being no one further to speak of Ordinance 2892, Mayor Gray closed the public hearing.

Commissioner Beecher moved, seconded by Commissioner Rosenbaum, that the City Commission move to take Ordinance 2892 under advisement and bring it back to the Commission February 1, 2005.

Commissioner Jovick-Kuntz explained that when the City annexes land into its corporate limits the establishments within a 5 mile radius of the City limits, which is referred to as the doughnut area, could become a City license. City Attorney Dave Gliko stated that if the moratorium goes into effect, the establishments in the doughnut area would not be able to sell their license and the value of their license would be less. He added that this was speculative and no one knew that for a fact. He also stated that cities can zone where they can have establishments and the State would have to abide by that.

City Manager John Lawton stated that changes to casinos with respect to the City zoning can be incorporated into the zoning code. He added that there was time to look into these issues and work on alternatives.

Commissioner Beecher stated that there were less than sixty days before the zoning codes would be brought to the Commission. Basically, the discussion was on gambling and the appeal of 10th Avenue South casinos. He added that there could be some control of casinos through zoning codes.

Mayor Gray stated that the Commission had two excellent public hearings on the moratorium. He added that this does impact a few businesses. There was a deep concern from people becoming addicted to gambling. He suggested that a tax rate of fifteen percent could be used for treatment to help gamblers. He added that gambling drives our young people away and the appearance of the City keeps professional business away.

Commissioner Jovick-Kuntz stated that she did not want to put someone out of business.

Commissioner Hinz stated that she did not think the moratorium was very fair.

Commissioner Rosenbaum stated that the blame lies with the Department of Revenue for the issuing of more licenses and that the Commission and staff needed to concentrate on what they could do.

Mayor Gray concurred with Commissioner Beecher to postpone until February 1, 2005. He added that he did not see this as a taking issue and that it may impact people in the doughnut area. Postponing the moratorium would allow more opportunity for staff to look further into other options.

Don Meachum, (unknown address) stated that the liquor licenses in the City would remain in the City and that the Commission could not change that. He added that the Commission needed to put a stop to new licenses which he suggested could be done through the zoning code.

Motion carried 3-0-2 (Commissioners Hinz and Jovick-Kuntz abstaining).
 

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 2003-2004 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, 2004, and the results of its operations and the cash flows of its proprietary fund types for the year that ended in conformity with generally accepted accounting principles.

The City's Audit Committee received a copy of the FY 2003-2004 CAFR, the Independent Auditor's report, responses to the GFOA's (Government Finance Officers Association) comments on the FY 2002-2003 CAFR and a brief summary of the FY 2003-2004 audit on December 15, 2004, and recommended the City Commission accept the CAFR and annual Independent Auditor's report.

Commissioner Beecher moved, seconded by Commissioner Jovick-Kuntz, that the City Commission accept the FY 2003-2004 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.

Motion carried 5-0.
 

Flying J Travel Plaza requested a variance to OCCGF 15.45.211. This section sets the area limitation for pole signs at an aggregate maximum of 500 square feet and a maximum height of 35 feet. A previously approved variance allowed installation of three pole signs with aggregate pole sign face totaling 693.5 square feet, and allowed one of the pole signs to stand 70 feet high. The Travel Plaza wanted to install an additional 9 pole signs with an aggregate sign face of 220 square feet. If approved, the variance would allow an aggregate pole sign face total of 913.5 square feet.

Since this site exceeds 30,000 square feet, the "interim" sign code did not apply. OCCGF 15.45.120 of the sign code allowed official government directional signs in the public right-of-way without a sign permit. Staff allowed private on-premise directional signs not exceeding 4 square feet and 4 feet in height when needed for safety. A review of the historical variance file found no similar variances in the immediate area.

On December 9, 2004, the Board of Adjustment heard the variance and voted 3-2 in favor of denying the variance.

Commissioner Rosenbaum moved, seconded by Commissioner Beecher, that the City Commission move to approve the variance for the Flying J signage with the omissions of eliminating the three Flying J logo signs, the logo sign from scale sign and not have the scale sign illuminated.

Mayor Gray stated that this was a overturning of recommendation coming to the Commission from the Board of Adjustment and that the City Commission seldom did this.

Motion carried 5-0.
 

Planning Director Ben Rangel reported that Resolution 9446 sets a public hearing for January 18, 2005, to consider annexation of the 20-foot strip of land abutting the east boundary of Lot 1, Block 1, Countryside Village Addition. Ordinance 2898 assigns a zoning classification of "MH" Mobile Home Residence District to subject 20-foot strip of land upon annexation to the City.

The Planning Board conducted a public hearing on the applications on November 9, 2004 and at the conclusion of the public hearing passed a motion recommending the City Commission annex the 20-foot strip of land abutting the east boundary of Lot 1, Block 1, Countryside Village Addition, and apply a zoning classification of "MH" Mobile Home Residence District, to same, subject to the following conditions being fulfilled by the applicant: payment of all applicable fees, entering into an agreement with the City, agreeing to the typical terms and conditions associated with annexation.

Commissioner Beecher moved, seconded by Commissioner Jovick-Kuntz, that the City Commission adopt Resolution 9446.

Motion carried 5-0.

Commissioner Beecher moved, seconded by Commissioners Hinz and Jovick-Kuntz, that the City Commission accept Ordinance 2898 on first reading and set a public hearing for January 18, 2005, to consider adoption of Ordinance 2898.

Motion carried 5-0.
 

Fiscal Services Director Coleen Balzarini reported that Ordinance 2893 pertains to small purchases not exceeding the amount established by MCA 7-5-4302. The change in the Ordinance was administrative "clean-up" and would bring the code more in line with the City Charter. This change eliminated the set dollar amount requiring bids in the City Ordinance, and allowed procedures to be developed and set by the City Manager or his/her designee. Section B in Ordinance 2893 was amended from first reading with minor sentence structure changes.

Commissioner Hinz moved, seconded by Commissioner Beecher, that the City Commission adopt Ordinance 2893 as amended on final reading.

Motion carried 5-0.
 

CONSENT AGENDA

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

Motion carried 5-0.
 

Ben Ives and JoAnn Hogan were appointed the Regional Airport Authority on January 15, 2002, for three-year terms expiring December 31, 2004. Mr. Ives and Ms. Hogan were both eligible for and interested in reappointment.

Commissioner Jovick-Kuntz moved, seconded by Commissioners Beecher and Hinz, that the City Commission reappoint Ben Ives and JoAnn Hogan to the Regional Airport Authority for three-year terms through December 31, 2007.

Motion carried 5-0.
 

Katrina Stark was appointed to the Historic Preservation Board (HPAC) on May 7, 2002, to fill the remainder of a three-year term; and she was reappointed on April 15, 2003, for a three-year term through April 30, 2006. Ms Stark accepted a position as the Community Development Block Grant Administrator and submitted her resignation from the HPAC to avoid conflict of interest.

Commissioner Hinz moved, seconded by Commissioners Jovick-Kuntz and Rosenbaum, that the City Commission appoint Dr. Douglas McKinney for the remainder of a three-year term, expiring April 30, 2006.

Motion carried 5-0.
 

Ms. Sargent was appointed to fill the remainder of a three-year term on the Civic Center Advisory Board on March 20, 2001. She was reappointed on December 4, 2001, for a three-year term which expires December 31, 2004. She was eligible for and interested in reappointment.

Mr. Kuiper was appointed August 15, 2000, to fill the remainder of a three-year term. He was reappointed on December 4, 2001, for a three-year term which expires December 31, 2004. Mr. Kuiper was not interested in reappointment; therefore, it was necessary to appoint a new member.

Commissioner Beecher moved, seconded by Commissioner Rosenbaum, that the City Commission reappoint Judith Sargent, and appoint Edward Gomoll for three-year terms through December 31, 2007.

Motion carried 5-0.
 

NEIGHBORHOOD COUNCILS

18. Bob Stubbs, Neighborhood Council 4, 5501 7th Avenue South, stated that there was a new casino in town located at 46th Street and 10th Avenue South across from the VFW and that the Neighborhood Council did not receive information pertaining to this. Also, the Council had concerns about the location of the casino. It was a block and a half from a church and residents. He added that the council was not happy with casino moving into the location.

Mr. Stubbs asked when someone would be hired for the Neighborhood Council Coordinator.

Community Development Director Mike Rattray stated they were aware of the casino and that it did meet standards of the distance away from a church and residents. Mr. Rattray added that staff had hired someone for the coordinator position for the Neighborhood Council and this person would start in about three weeks.

City Manager John Lawton stated to the Commission that staff could give a written report on this issue to the Commissioners.
 

ADJOURNMENT