JOURNAL OF COMMISSION
PROCEEDINGS
March 2, 2010
CALL TO ORDER: 7:00 PM
PLEDGE OF ALLEGIANCE –American Legion Post 3.
ROLL CALL: City Commissioners present: Michael J. Winters, Robert Jones, Bill Bronson, Mary Jolley and Fred Burow. Also present were the City Manager, City Attorney, Directors of Fiscal Services, Park and Recreation, Planning and Community Development and Public Works, the Executive Director of the Housing Authority, Assistant Fire Chief, Police Chief and the City Clerk.
NEIGHBORHOOD COUNCILS
BOARDS & COMMISSIONS
PETITIONS AND COMMUNICATIONS
Mayor Winters opened the meeting to Petitions and Communications.
3D. Richard Liebert, 289 Boston Coulee Road, commended the Commissioners for the work they have done the past eight weeks; as well as the City Manager for hiring Messrs. Haynes and Santoro. Merging the Community Development and Planning Departments was a good move for efficiency. He also appreciates the efforts to restore the Cable 7 Board. As Chairman for Citizens for Clean Energy (CCE), Mr. Liebert reported that two weeks ago CCE helped judge the Science Fair, gave out awards, and will be doing the same at the College of Technology. CCE is also working with City and Malmstrom staff to host the Earth Day activities. Mr. Liebert provided the Mayor with the “Staff Officers Guide” to get things done effectively, and to share same with the City Manager.
Mayor Winters introduced the new City Attorney, James “Jim” Santoro. Mr. Santoro provided career background information and expressed that this was a great opportunity for him and he is looking forward to the challenges.
3E. Andrea Deligdish, 3016 Central Avenue, read in the Tribune that the City has 5% interest, $1.1 million dollars, in the gas plant. Ms. Deligdish commented that 5% was written off, which would also be $1.1 million dollars. The Burns & McDonnell consultants noted that the City had an 8% interest in the gas plant and considered it to be a good return on the City’s investment. Ms. Deligdish requested clarification regarding the City investment, in dollars and percentages, if the gas plant materializes. She also suggested that the City hire a neutral attorney and accountant to provide exit scenarios and financial risks. Since the first public meeting about the coal plant, the public is still asking questions. She hopes the Commission will provide an explanation to the citizens.
City Manager Doyon commented that he believes City staff and the Commission have similar questions and staff is working to provide information and answers to the Commission.
3F. Julie Knight, 1110 2nd Avenue North, commented that she is a medical marijuana caregiver with 80 patients. She explained the different methods used to relieve pain and believes marijuana to be a safer alternative than drugs. Neither she nor her patients feel comfortable delivering or getting their medication in their homes. They would rather meet in an office setting, like the old Columbus Hospital, to obtain their medication discreetly. Of four Neighborhood Councils she discussed this with, one objected. Ms. Knight feels there are three separate zoning issues: dispensing, growing and home businesses. She suggested that home businesses be limited to five to 10 patients per household. With regard to dispensing, she suggested the businesses be allowed in non-residential zoning districts: C-4, C-2, M-2, L-1 and L-2. With regard to the growing operations, she requested that the safety certificates not be made public for safety reasons. Ms. Knight urged the Commission not to punish legitimate businesses for others’ misdeeds.
Commissioner Jolley inquired and Planning and Community Development Director Mike Hayes responded that this issue will come before the Planning Board on April 13, 2010.
3G. Cynthia Schultz, 179 Russell Ranch Lane, discussed concerns she brought to the City in 1998 regarding the Airport violating open meeting laws and conflicts of interest, and the City’s subsequent investigation and assistance in developing roles, responsibilities and policies. She believes those roles in the last year and a-half have all been abolished. She commented that her passion is to continue to serve the public and benefit Great Falls with growth and prosperity for her children and attract the jobs and benefits that the Airport can attract. With regard to issues and recent “drama” at the Airport, Ms. Schultz invited everyone to visit her office and view records. She reported that people are using her to hide behind privacy issues. She encouraged the Commission to look at documents and investigate similar issues as in 1998. Ms. Schultz discussed Commissions on Ethics that other communities have. She reported that the conflicts of interest that the Airport is dealing with, at times, are six figure contracts with seven figure impacts. She believes the Airport needs to step up and raise the bar for Great Falls and visit these issues responsibly and openly.
Mayor Winters noted that he took it upon himself to visit with two people on the Airport Authority Board, and that the Commission couldn’t address Airport personnel issues. He reported that he invited the Airport Board members to the March 16th City Commission meeting to report on the Board’s views of the Airport, give insight and credit to Ms. Schultz and Airport administration, and discuss visions for future growth. He apologized to Ms. Schultz for not contacting her ahead of time.
3H. Ron Gessaman, 1006 36th Avenue NE, complained that he could hardly recognize that an agenda report was revised when we viewed the on-line agenda. Mr. Gessaman discussed newspaper articles regarding public power being successful in Nebraska and not successful in California. He discussed the evening news citing President Obama proposing a program to help with winterizing and energy efficiency in homes. Mr. Gessaman reported that the Property Assessment Clean Energy (PACE) program is already being used in a number of cities in the Unites States which, essentially, sets up SID programs that citizens can borrow from for energy efficiency projects. Mr. Gessaman suggested that the Commission make it a policy directing senior officials after traveling for City business to provide a report at the next Commission meeting.
City Manager Doyon responded that he will draft a report to the Commission regarding his recent trip and will hit the high points tonight under the manager’s reports section of the agenda.
Fiscal Services Director Coleen Balzarini responded that she traveled to Billings on February 19th as the City’s representative to the Southern Montana Board to attend the regular monthly meeting. The expenses related to traveling are reimbursed by Southern Montana.
Mayor Winters responded that he will be traveling tomorrow to Bozeman to attend the Mayors Academy and will report when he returns.
3I. Ed Buttrey, 27 Granite Hill Lane, reported that, as a past Airport Commissioner and now as a member of the public, he wanted to make a few comments regarding the Airport Director. Mr. Buttrey reported that he came back to Great Falls with his business largely because of the Airport and Fed-Ex and what they have been able to accomplish at this Airport. He reported that the Airport Authority Board voted last year not to re-up the Airport Director’s contract and to go out and look for a new director. He voted against that and tried to get reasoning why they were doing that. The Board states that it has its reasons but doesn’t wish to declare them publicly. He believes Ms. Schultz to be a high performing employee at the Airport. He expressed frustration and confusion that the City and County are saying it is a personnel matter and will not get involved.
Since Mayor Winters is new to the Commission and Commissioner Bronson has more Airport background and knowledge about autonomy, he asked Commissioner Bronson to address Mr. Buttrey’s concerns.
Commissioner Bronson responded that he is confused by the remarks made here tonight. He does not believe anyone on this Commission is questioning the work Ms. Schultz has done as the Airport Director. What concerns him is that various forums are being used to promote the benefits of having Ms. Schultz as a Director, but they are being directed to the City and County Commissions. His response is that those two Commissions appoint Airport Authority Commissioners. They are then empowered by State law to make decisions as Airport Commissioners to hire or fire a director. That is not a decision that is left in the hands of the County or City Commissions. He believes those comments need to be directed to the Airport Authority Commissioners.
With respect to Ms. Schultz’ comments tonight, if she is waiving any right of confidentiality that she has with respect to personnel matters that may involve her under the advice of counsel, perhaps there will be a more open discussion with the Airport Authority Board.
Mr. Buttrey responded that he has been to Airport Board meetings, as with many other leaders, tenants and government folks, and the Airport Board does not comment and just moves on to the next order of business. He fears reprisal because of the Director bringing up conflicts and other issues. In that case, if a Commissioner that the City has appointed is doing something, perhaps, unethical or unlawful, then he believes the City does have to get involved.
Commissioner Bronson responded that, at any time, if he, Ms. Schultz or anyone else feels that the City’s appointees have engaged in conduct which is illegal or unethical, then bring that information to the attention of the City Commission. He cautioned him to be very careful what he says because what he may think is unethical, may not be. Depending upon how he brings that forward, he may be subjecting himself to personal liability. If those allegations are not well founded, the people that make those allegations could be subjecting themselves to personal liability for libel or slander.
Mr. Buttrey agreed and continued that he wished the Airport Authority Board would state publicly why they are doing what they are doing so there was no perception of impropriety.
Commissioner Bronson concluded that there is always the concern on the part of a sitting Board member that if they start commenting on personnel matters in public without the consent of the affected party, that could subject them to liability as well. One of the privacy rights cautiously protected is the right of an employee and their privacy.
3J. Cynthia Schultz, 179 Russell Ranch Lane, again addressed the Commission commenting that there has been a letter in the City Attorney’s Office since October 5th with no reply. She reported that she raised issues of non-compliance with Montana Code Annotated, Title 2, and a multi-million dollar lawsuit, as well as many others. She has since been retaliated against and demanded a written response to said letter within 10 days.
Commissioner Bronson responded that no member of this Commission is aware of the letter she is talking about.
Mayor Winters noted that Mr. Santoro has only been the City Attorney a few days. He asked Mr. Santoro to look into that letter and report to the City Commission.
Commissioner Bronson informed Ms. Schultz that the Commission was attempting to help her, but can’t help her when she comes and makes the kind of accusations that she just made when Mr. Santoro has only been here about a week and a half, and this Commission is not aware of the letter she is talking about.
Ms. Schultz concluded that raising the personnel issue was offensive to her.
PUBLIC HEARINGS
Park and Recreation Director Marty Basta reported that the Great Falls Saddle Club, Electric City Archers and Missouri River Shooters have requested the City continue their leases with Wadsworth Park. Prior to the completion of the Wadsworth Park Master Plan in 1998, leases for use of Wadsworth Park were five year leases. In hopes of implementing the Master Plan, the leases were extended year-to-year with a maximum of five years. In 2006, the City Commission approved two year leases with said organizations with an automatic two year renewal. With no immediate funding identified for implementing the Wadsworth Park Master Plan, staff is recommending five year leases to the non-profit organizations with a five year renewal option. Both the City and the lessees have the option of terminating the leases with sixty (60) days written notice.
Mayor Winters declared the public hearing open.
Ron Gessaman, 1006 36th Avenue NE, noted Resolution 8973 and that the Wadsworth Master Plan recommends that all existing leases continue on a year to year basis until the City is ready to begin actual physical implementation of the Master Plan. He asked if the Master Plan recommendations were repudiated by going to five year leases.
Commissioner Jolley commented that she was comfortable going to five year leases because there is no money in the foreseeable future to implement that Master Plan.
Mr. Basta responded that the leases were for five year periods prior to the Master Plan being developed. The Master Plan is outdated at this point and there is no funding available for the Master Plan.
Mr. Gessaman pointed out that the language was in quotes indicating it was in the Master Plan.
Mayor Winters closed the public hearing.
Commissioner Jones moved, seconded by Commissioner Bronson, that the City Commission approve the leases for Wadsworth Park with the Great Falls Saddle Club, Electric City Archers and Missouri River Shooters.
Mayor Winters asked if there was any discussion amongst the Commissioners.
Commissioner Jolley jokingly commented that she repudiated the Master Plan.
Motion carried 5-0.
OLD BUSINESS
Assistant Fire Chief Steve Hester requested the Commission remove the Inter-Local Agreement from the table and approve the Inter-Local Agreement allowing the Fire Department to continue to provide fire and EMS service to some county residents in 16 fire districts. He noted corrections were made to the Agreement.
Commissioner Jolley moved, seconded by Commissioners Jones, Bronson and Burow, that the City Commission remove the Inter-Local Agreement from the table and approve the Inter-Local Agreement between Cascade County and the City of Great Falls for Emergency Fire and Medical Services effective October 1, 2009, to September 30, 2012, and authorize the City Manager to execute the same.
Mayor Winters asked if there was any discussion amongst the Commissioners. No one responded.
Mayor Winters asked if there were any inquiries from the public.
Ron Gessaman, 1006 36th Avenue NE, complemented staff.
Motion carried 5-0.
NEW BUSINESS
ORDINANCES/RESOLUTIONS
Fiscal Services Director Coleen Balzarini reported that the City Commission directed staff to prepare necessary documents to remove the Electric City Power Board Directors previously appointed by the Commission, and replace the Directors with members of the City Commission. Electric City Power was created as a non-profit corporation on behalf of the City of Great Falls. There is a five member Board of Directors for Electric City Power.
City Attorney James Santoro discussed the creating documents of Electric City Power - Ordinance 2925 and Resolutions 9529 and 9530. Given the request for removal of Board members, Mr. Santoro provided a legal analysis to carry out that request, including consideration of State law, OCCGF, bylaws and articles of incorporation.
Commissioner Jolley moved, seconded by Commissioner Burow, that the City Commission adopt Resolution 9876 authorizing removal and replacement of Electric City Power Directors in accordance with Montana Code Annotated, Official Code of the City of Great Falls, and the Articles and Bylaws of Electric City Power, Inc.
Mayor Winters asked if there was any discussion amongst the Commissioners.
Commissioner Jolley commented this is a good idea.
Commissioner Burow commented that the City Commission should take it over and decide whether to stay the course or not.
Commissioner Bronson opposed the motion. He understands the motivations behind it, but is concerned they are putting the cart before the horse. If this Commission is to do right by this process, it should address the policy issues first, rather than the issue of replacing five individuals, all of whom he believes to be very qualified, to advise the Commission. He is concerned that the motion is brought to some extent in an atmosphere of what he regards is a great misunderstanding and misapprehension of what the appointees to that Board have been doing over the past few years. Commissioner Bronson provided historical background on how Electric City Power was set up and explained that the Board members were carrying out the policy directives of this Commission the last three to four years. Changes made by the legislature in 2007 circumscribed the ability of the Commission to build on the efforts that had been contemplated by those who had supported Electric City Power and the involvement of the City in that process. He also noted that in the Fall of 2008 the Commission provided general directions and guidelines to Mr. Doyon, and somewhat indirectly to the Electric City Power Board, as to what directions it wanted to proceed over the next few years with the operation of the City in the utility business. One of the directives was to work on appropriate modifications in the Ordinance which set up Electric City Power. In response, Mr. Doyon believed it would be appropriate to bring in an outside consultant to completely review the operations of Electric City Power, the City’s involvement in the utility business, and the relationship with Southern Montana. As a result, this Commission was taking responsibility to try to come up with some general direction so that the Electric City Power Board members would know what to do on a day to day basis carrying out their responsibilities as an advisory board. He discussed the time involved in the selection process, conducting the study and presenting the findings to the Commission. The ECP Board was awaiting the results of the study. That report was available prior to January. It was decided that the new Commission should consider and act upon the report. He would like to continue to have the advice of the current Board members. Commissioner Bronson suggested tabling this Resolution until after the City Commission makes policy decisions.
City Manager Doyon clarified that he did respond to that memorandum in detail, specifically outlining the difficulty of the City’s ability to meet the right to know requirements.
City Attorney Santoro reminded the Commission that this decision requires a 4/5 vote of the Commission to approve such action.
Mayor Winters added that it wasn’t the intention of the Commission to demean any member of the Electric City Power Board. The concern was that there has been no transparency, no information given and no answers.
Mayor Winters asked if there were any inquiries from the public.
Richard Liebert, 289 Boston Coulee Road, commented that the bottom line is business cannot continue as usual with Southern. The Burns & McDonnell report failed to address the City’s relationship with Southern, nor did it articulate an exit strategy which was one requirement of the request for proposals. He encouraged the Commissioners and Board members to look in the “black box.” He also hopes the Board presses for more information from the Burns & McDonnell consultants, and that the Commissioners review the loan documents.
Aart Dolman, 3016 Central Avenue, congratulated the Mayor for bringing this issue to the table and starting on the difficult road of reestablishing community integrity. He doesn’t agree that the Board did not get direction from the City. He has never seen an ECP Board Chairman provide a report to the Commission or ask for direction.
George Paul, 504 4th Avenue South, commented that there is a high level of discontent in the community. He believes the Commission has an opportunity before them to do something right for the community. Mr. Paul suggested the Commission let the Board do its work. He voted to elect each Commissioner to the City Commission, not to be members of the ECP Board. Mr. Paul suggested the Commission sit down with the Board members and discuss what it expects from the Board and give it six months.
Richard Calsetta, 56 32nd Avenue NE, reported that Great Falls has been struggling with power issues for a very long time. The voluntary Board members are power professionals. The Commissioners and staff are not. Mr. Calsetta commented that citizens of Great Falls are blessed to have the low power rates it has. Mr. Calsetta suggested the Commission find a way to work with the current power professionals, stop arguing about power and move on.
Lee Ebeling, 4700 Huckleberry, current Chairman of Electric City Power Board, responded, with regard to the issue of transparency, the Board has never knowingly withheld any information to his knowledge of any issues regarding anything that has come before them. He recognizes that Southern Montana Electric Cooperative has a confidentiality agreement. That issue continues to be problematic, as stated by the City Manager, ECP Board, City Commissioners and the general public. Disbanding the Electric City Power Board is not going to solve that issue. Mr. Ebeling reported that the Board has been in limbo for over a year awaiting the consultants’ report and the new Commission being seated. At last night’s Board meeting, the members did make a recommendation based on the Burns and McDonnell report that was passed on to the Commissioners. The only function of the Board is to provide advice to the Commission. The Board would like to continue to work with the Commission, develop protocols, and are open to new ideas and formats. He concluded it has been a pleasure meeting jointly with the Commission.
Oly Stimac, 57 Country Lane, current Vice-Chairman of the Electric City Power Board. Mr. Stimac concurred with Mr. Ebeling and added that he was insulted that a citizen would elude that the Board’s decision last night to recommend that the City follow the recommendations of the Burns & McDonnell report was staged in some manner. He hopes to continue serving as a Board member for Electric City Power.
Kathleen Gessaman, 1006 36th Avenue NE, believes the Board has failed to look after the welfare of the City. The ECP Board has a critical job to do and she hopes the Commissioners will take over. Ms. Gessaman was disappointed there was no discussion at last night’s Board meeting regarding increasing the contract rates, or about the $85 million dollar loan and risk to the City. Ms. Gessaman commented that the City is at a crossroad and she would trust the present Commission to make those decisions.
Travis Kavulla, 8073 US Hwy 89, encouraged the Commission to approve the Resolution. He believes it is a good step to streamlining City Commission control over this. Mr. Kavulla doesn’t believe the ECP Board has been an active advisory body, spoke enough or asked enough questions at recent meetings. He believes an advisory board would have blown the whistle on fixed rate contracts long ago. He also discussed comments he disagreed with that were made by Board members at last night’s ECP Board meeting.
Ms. Balzarini clarified that the component of the contracts that are fixed rates for customers were approved by the City Commission, not the Electric City Power Board. New contracts were written in 2007.
Mr. Kavulla continued that he clearly knows this is an advisory board with no statutory authority. He was saying the Board should have blown the whistle, and it did not. Mr. Kavulla concluded that members of the ECP Board are not professionals in the electric power industry.
Mr. Ebeling respectfully responded that he worked for Black and Veatch as an engineering consultant and has designed 800 megawatt coal fired power plants.
Neil Taylor, 3417 4th Avenue South, reported that he has attended almost all ECP Board meetings and has yet to see a member of the ECP Board come before the Commission and provide a report.
Charles Bocock, 51 Prospect Drive, commented that the Electric City Power Board is a business. He noted that Electric City Power has 19 customers. Eight customers use 70% of the power. Mr. Bocock is positive that the Commissioners can learn about eight customers and negotiate contracts. If the ECP Board members cannot read the documents in the “black box,” then he believes the Commissioners should take over.
Ron Gessaman, 1006 36th Avenue NE, pointed out that the Electric City Power Board is an advisory board. The City Commission sets the basic policy, which boils down to setting the rates and appointing and removing the board members.
Motion carried 4-1 (Commissioner Bronson dissenting).
Mayor Winters told Messrs. Ebeling and Stimac that they have acted nobly and thanked them for their service.
CONSENT AGENDA
Commissioner Burow moved, seconded by Commissioner Bronson, that the City Commission approve the Consent Agenda as presented.
Mayor Winters asked if there were any inquiries from the public.
Ron Gessaman, 1006 36th Avenue NE, noted that the minutes posted online incorrectly identified a speaker. With regard to Item 9, he commented that he didn’t see why the City suddenly needed contracts for high speed DSL and fiber link internet service. He noted “poor staff work” regarding Item 11, and pointed out that the engineer’s estimate was over by a considerable amount in Item 12.
In response to Item 9, City Clerk Lisa Kunz noted that the contracts were renewal contracts - one for service to City facilities, and the other for the fiber link back to Qwest.
Commissioner Burow noted that the correction was already made regarding the minutes.
Motion carried 5-0.
CITY MANAGER
City Manager Gregory T. Doyon reported that he attended the Association of Defense Communities conference last week. The trip was paid for by the Central Montana Defense Alliance which the Commission appointed him to serve on. The focus was on economic conveyances and enhanced use leasing and legislative updates, and things that are going on in Washington that affect air force missions or military missions in general. He explained that enhanced use leasing is the ability to utilize a portion of a military installation for private or public services. Congress has given some flexibility how the Department of Defense or other agencies convey properties for economic purposes. In general, there is a lot of competition going on in military communities in order to retain or expand the missions it has. He will follow up with a written, more detailed report.
Mr. Doyon thanked the Commissioners and Chief Grove and his officers for participating in the Leadership Great Falls day.
There has been some movement on the levee accreditation process. A meeting took place today with the entities involved, and members of the Congressional delegation were in attendance. There is an effort to attempt to facilitate a state-wide conference in Great Falls to address issues with the Congressional delegation present.
He also reported that he will be going to Washington next week. Chief Grove will be Acting City Manager during that time.
CITY COMMISSION
Mayor Winters reiterated that the Resolution passed this evening was for the sole purpose of replacing the current ECP Board members only. The current Secretary/Executive Director will remain in place.
ADJOURNMENT
There being no further business to come before the Commission, Commissioner Jolley moved, seconded by Commissioners Bronson and Burow, that the regular meeting of March 2, 2010, be adjourned at 9:42 p.m.
Motion carried 5-0.
Mayor Winters
City Clerk
Minutes Approved: March 16, 2010