Kalispell City Council to vote on using tax increment funds for downtown facade improvements

Some downtown Kalispell properties may be in line for a needed makeover.  

The Kalispell Business Improvement District is looking to secure funding that would assist downtown properties in making facade improvements and Kalispell City Council is expected to vote Monday on whether to allocate tax increment financing funds to the grant program. 

Tax increment financing is primarily designed to spur redevelopment in neglected parts of a community. 

Council will meet Dec. 2 at 7 p.m. in City Hall, 201 First Ave. E. 

“The downtown area of Kalispell is a vital component of the local economy, housing a mix of retail, office and residential spaces,” wrote Kalispell Business Improvement District Board Chair Kisa Davison in the funding application. “However, a significant number of buildings in this area require facade renovations to improve their appearance and functionality.”  

The money would come from the Downtown and West Side/Core Area tax increment financing districts, which aim to address blight and promote economic development in those areas. The city’s urban renewal agency concluded that the project proposal was appropriate and recommended Council adopt the resolution.  

The districts would allocate $20,000 per year for five years to the effort. The business improvement district plans to assist four property owners each year, amounting to 20 property owners.  

FOLLOWING FIERY remarks last week from Mayor Mark Johnson on what he sees as overreach by the state government, Council is expected to determine the municipality’s legislative priorities. The document will go to Helena before the 2025 Legislative session. 

Council chose to prioritize legislation promoting a voter approved resort tax, public infrastructure assistance, expanded tax increment financing, affordable housing, mental health programs, special districts, environmental quality and public resource management. 

Council is also expected to vote on designating Development Services Director Jarod Nygren as the environmental certifying officer for the city.  

The position entails completing environmental studies and providing environmental assurances to state and federal officers on behalf of the city, according to a report from Nygren.  

The role is needed for the city to continue applying for state and federal grants after Thomas Jentz retired from the position.  

“Given some outstanding state grant applications, it is prudent to update the resolution so I can continue to sign off on the environmental documents as necessary,” Nygren wrote in the report. 

ALSO ON the docket, Council is expected to hire the Colorado-based planning firm Logan Simpson to help communicate decisions to the public surrounding the adoption of a new land use plan in accordance with state law. 

Senate Bill 382, Also known as the Montana Land Use Planning Act, was signed into law by Gov. Greg Gianforte in May 2023. It requires Kalispell, among other cities in Montana, to rewrite its land use plan relying heavily on public input.  

Planning officials say the city’s existing land use plan will likely not have to be altered and could be readopted in accordance with the law.  

The legislation was designed to streamline development within the city by limiting public input on site-specific projects and shifting authority to the Kalispell Planning Department to authorize developments instead of Council.  

The city was awarded $30,000 to hire a firm that would facilitate public involvement in the construction of a new land use plan. The money comes from a Montana Department of Commerce Montana Community Reinvestment Plan Act Planning Grant. 

While not a public relations firm, Logan Simpson specializes in outreach regarding planning. The project will be conducted from the company’s office in Fort Collins, Colorado. 

With the city appointee to the Flathead City-County Board of Health position expiring at the end of the year, Council must appoint a new elected official for the role. Former Ward 3 Councilor Rod Kuntz is the current appointee. 

The board guides the operation of the City-County Health Department.  

Reporter Jack Underhill can be reached at 758-4407 and junderhill@dailyinterlake.com.