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Water rate vote was pro-business

by Kyle Waterman
| September 27, 2020 12:00 AM

I would like to publicly respond to my progressive critics who oppose my election bid in Senate District 2 because of my pro-business votes while on the Kalispell City Council.

The vote being particularly criticized was the decision to raise water rates. This was a decision made after a six-month review of water and sewer infrastructure. Incredibly, it had been seven years since water rates were last raised. The rate increase is anticipated to fund improvements to our facilities over the next decade. Additionally, we voted to lower impact fees for new development by 50%. Rates would still have gone up significantly, even if impact fees had stayed the same.

Those that vilify me and developers (who, incidentally, also want to build more affordable housing) should consider the following and try to understand why I am confident it was the correct choice.

We were experiencing a surge of growth in the Flathead, even before this summer, and required new housing units at every price level. Investment to expand and improve our Kalispell water system is overdue. The rate increase gives us the capacity to grow while protecting the waters of Flathead Lake. Keeping the lake clean is important to me. Deferring water system infrastructure projects would put clean water at risk. 

I believe that we need to encourage in-town development and I am concerned about subdivision developments like the one on Columbia Falls Stage Road. We need development to grow within city limits and on city systems, if we want to protect Montana’s open spaces and waterways. Downtown development is also a smart way to maximize the use of our tax dollars by concentrating residential housing near fire, police and ambulance services. My vote to lower impact fees is a market solution to encourage this type of growth and discourage suburban sprawl.

My vote was a pro-business vote and I am proud of that. I have taken time to listen to developers, entrepreneurs and business owners. High impact fees are a barrier that I heard identified in these conversations. I have studied methods to incentivize infill and growth in the Core Area of Kalispell. I will continue to take time to listen to business owners.

Just to be clear, the water fees for these new buildings, for homes and for businesses also went up because of my vote. However, lowering impact fees gives them a break on the upfront cost of investing in new housing. This is a market solution for how to build more affordable housing in the center of Kalispell. Developers pass building costs to renters and home buyers. Working to lower these costs helps buyers and renters catch a break.

Finally, the reason that I am running for State Senate is that I have grown tired of legislators who don’t come to City Council meetings or work to understand how these local decisions affect residents. The real problem that leads to these fee increases is that the Legislature passes down unfunded mandates to the lower municipalities. The fact that the state doesn’t assist enough local infrastructure investments is the reason we had to raise water rates as much as we did. When our state legislators pass the buck on funding these types of local projects, then they force the cities and counties to pull the only funding levers they can - raising rates, fees and property taxes.

I disagree with my divisive critics. A decisive leader has to make at times unpopular decisions and do the work needed to benefit all of us. This vote and my local experience show I am prepared to be a better state senator for District 2 and for the Flathead.

—Kyle Waterman, of Kalispell, is a Democrat running for Senate District 2.