Kalispell Council considers transportation planning grant apps

Kalispell City Council on Tuesday is set to vote on applying for two planning grants that would fund a corridor study for Main Street and U.S. 93.

The city, in cooperation with Flathead County and the Montana Department of Transportation, is considering submitting grant applications to the U.S. Department of Transportation Safe Streets for All and Reconnecting Communities planning grants.

The safe streets program funds regional, local and Tribal initiatives through grants to prevent roadway deaths and serious injury. Funds are awarded on a competitive basis to support planning, infrastructure, behavioral and operational initiatives.

Funds for the reconnecting grant are awarded for projects that reconnect communities by removing, retrofitting, or mitigating highways or other transportation facilities that create barriers to community connectivity.

Council meets on Tuesday because of the Labor Day holiday. The meeting starts at 7 p.m. in the City Hall, 201 First Avenue East.

Jarod Nygren, development services director, said the city has provided policy recommendations in several of its planning documents for the Main Street and U.S. 93 corridor. Specifically, the MOVE 2040 Transportation Plan recommends detailed corridor-level analysis to fully understand the viability of improvements to Main Street while meeting current traffic demands.

“The city understands that restoring the character of Main Street is essential to revitalization of downtown,” Nygren said in a memo to Council. “If awarded, either of the two grant applications would provide the necessary corridor planning analysis needed to set forth Main Street improvements acceptable to all stakeholders.”

The grant application will be for $650,000 with 20% match required at $130,000. The match would come from the city at $80,000 and the MDT at $50,000.

The city has budgeted $70,000 for a Main Street study within the Downtown Tax Increment Financing funds and $10,000 would be administrative or in-kind assistance for the development of the plan.

UP FOR consideration, is whether to set a public hearing on a proposal that would allow for workforce housing projects to apply for city tax increment financing funds. Council recently held a work session on the matter but was split on whether to move forward with updating two of its urban renewal plans to allow for TIF funds to be made available for such projects targeted at households earning too much to qualify for traditional low-income housing subsidies.

On Tuesday Council will vote on a resolution that sets a public hearing on the matter for Sept. 19.

City staff suggested that the program focus on workforce housing for households in the 80% to 120% of area median income or AMI range. In Flathead County, the estimated area median income for a four-person household is $80,300. To be considered at 80% AMI, the same size household would need to earn $63,500. To be at 120% AMI, the household would be earning $95,300.

Council could change the income parameters or decide that it doesn’t want to include the specific use of TIF dollars for workforce housing in the city’s Downtown Urban Renewal Plan and the West Side/Core Area Urban Renewal Plan. State law allows for the use of TIF funds for workforce housing.

ALSO ON the agenda, Council will consider two final plat agreements. One is on behalf of Housing Solutions for a 1 acre, one-lot commercial subdivision at 1203 U.S. 2. The other is on behalf of GMK Associates for a one-lot subdivision on 41.68 acres located east of West Springcreeek Road between Two Mile Drive and Three Mile Drive.

It is set to vote on a resolution that declares the city’s intent to reimburse expenditures related to the construction of a well and tank in the upper zone and water tank roof replacement in the lower zone from proceeds of tax-exempt bonds to be issued by the city. The city is arranging with the State Revolving Loan Fund to finance both projects and it is customary for Council to pass a resolution stating its intent to use proceeds from the bond to reimburse the city for preliminary funds expended on the project prior to securing the financing.

Finally, Council will consider adopting priorities to provide guidance for potential legislation in the upcoming state Legislature. Priorities include local option sales tax, tax increment financing, special district legislation, environmental quality, public infrastructure assistance, public resource management, service delivery and affordable housing.

Features Editor Heidi Desch may be reached at 758-4421 or hdesch@dailyinterlake.com.