Landowner backs out of Two Rivers growth plan

The largest landowner-driven growth policy amendment in Flathead County's history isn't quite so big today, after Semitool founder Ray Thompson pulled out of the project.

Thompson informed the Two Rivers Land Association by letter on Wednesday that he was withdrawing from the venture, which has been in the works for about 18 months.

"This does not represent any specific point of contention with the Association or with the current plan that's under review," he said in the letter. "The reason for the withdrawal is simply a matter of preference based on the decision to proceed on an independent basis."

As initially presented, the Two Rivers amendment would have changed the land-use designation on 1,836 acres north of Kalispell and Evergreen from largely agricultural to a mix of commercial, residential, industrial and open space.

Thompson, who was out of town and unavailable for comment on Thursday, owns about 20 percent of that land, around 376 acres in all, located near the intersection of Whitefish Stage Road and West Reserve Drive.

The pull-out comes three weeks before the Flathead County Planning Board's second public hearing on the Two Rivers proposal.

Robin Street, another major Two Rivers landowner, said the remaining 13 applicants will continue forward with the project.

"We regret that Semitool pulled out, but we support [Thompson's] right to do that," he said. "The rest of us will stay together and try to provide a plan that meets with the county's approval."

Street, whose grandparents homesteaded the area in 1883, farms most of the property included in the amendment. He's 71 and ready to retire; the other applicants are also trying to manage their assets.

"All of this land is going to be sold," Street said. "Some of it's in a trust. Another farm has been on the market for several years. We didn't want to see it chopped into 5-acre tracts - that's the worst thing that could happen. We want to make sure that the groundwater is protected, and the only way to do that is with sewer, which necessitates higher density development. We also want to preserve the corridor along the Whitefish River."

There were strong financial incentives as well - something Street didn't try to hide.

"We know this will increase the value of our land," he said. "This is estate planning. We're managing our assets for retirement."

The Two Rivers amendment designated Thompson's property as industrial around the existing manufacturing plant. There was a small block of commercial along West Reserve, near the southern entrance to the proposed Glacier Mall site, plus a large block of commercial on both sides of the Whitefish Stage/West Reserve intersection.

Finally, there was a large block of high-density residential on the east side of Whitefish Stage, along both sides of the Bonneville Power line easement.

Other than reducing the amount of commercial and high-density residential land-uses included in the overall amendment, the most obvious impact of Thompson's withdrawal is related to transportation infrastructure.

In recent workshops, the planning board has expressed concerns about how well Whitefish Stage and Rose Crossing could handle the increased traffic flows, once the Two Rivers area is developed.

This has been a major issue with some of the neighbors as well, and it came up in a recent conversation between the Montana Department of Transportation and the county commissioners.

The applicants tried to address the issue by offering to dedicate 20-foot easements along major road arteries. This would have required Thompson to dedicate easements for almost a mile along West Reserve, and for at least a quarter-mile along both sides of Whitefish Stage.

Public sewer service has also been an issue with the amendment, but it's unclear whether Thompson's decision will affect developments there.

The Kalispell City Council recently agreed to look for partners to extend its sewer lines up Whitefish Stage to Rose Crossing. Mayor Pam Kennedy and Councilman Bob Herron both said they remained committed to that project.

"Semitool was never going to hook up to these [new] sewer lines anyway," Herron said. "My intention all along has been to get the lines up to Rose Crossing. because that's where the growth is going to take place. This [Thompson's decision] doesn't change anything. I don't think it affects the Two Rivers group either."

That wasn't a universally held viewpoint, though. During her regular monthly meeting with the commissioners on Thursday, interim Planning Director Johna Morrison said the pull-out definitely hurt the project.

"This may have been a knife to the plan," she said.