City studies utility work at airport
The Kalispell City Council will consider a $145,000 proposal next week to run utilities down the west side of the city airport.
There's one new hangar under construction at the airport and a Missoula firm is interested in leasing space to build four more. Together, those projects represent a private investment of almost $1 million and they would generate about $37,000 in new property tax and lease revenue for the city.
Consequently, Community Development Director Susan Moyer says it's time for Kalispell to install the sewer, water, electricity, gas and other utilities needed to serve these facilities.
"The city is the property owner. We're the one leasing the land, which means we're the developer - and we won't be able to lease anything at the airport if we can't provide utilities," Moyer said during a council workshop on Monday.
Moyer is recommending that the city use tax increment revenue from the airport urban renewal district to pay for the work. The revenue comes from new developments within the district and must be reinvested in the district.
Running utilities to the new hangar locations and improving the access road is estimated to cost $145,140.
Moyer said there's enough money in the tax increment account to cover this expenditure. A separate pool of money from the sale of some airport property is still available to pay for all or some of the city's share of a proposed airport expansion.
The council is expected to take action on the proposal during its next regular meeting on Monday.