Mayor & City Council

WHITEFISH CITY COUNCIL July 1, 2024 SPECIAL SESSION AT 5:45 PM 1) Call to Order Mayor Muhlfeld called the meeting to order. Councilors present were Feury, Davis, Sweeney, Norton, Qunell and Caltabiano. Staff present was City Manager Smith, City Clerk Howke, Finance Director Gospodarek and Recreation Director Butts. 2) Interview City Council interviewed Gary Rodgers for the vacant position on the Resort Tax Monitoring Committee. 3) Public Comment None 4) Appointment Councilor Caltabiano made a motion, seconded by Councilor Sweeney to appoint Gary Rodger to the Resort Tax Monitoring Committee, for a 3-year term, as the Large Lodging representative. 5) Adjourn Mayor Muhlfeld adjourned the meeting at 5:58 pm. /s/John Muhlfeld Mayor Muhlfeld Attest: /s/Michelle Howke Michelle Howke, Whitefish City Clerk  WHITEFISH CITY COUNCIL July 1, 2024 7:10 P.M. 1) CALL TO ORDER Mayor Muhlfeld called the meeting to order. Councilors present were Feury, Caltabiano, Davis, Sweeney, and Norton. Councilor Qunell was absent. City Staff present were, City Clerk Howke, City Manager Smith (Virtual), City Attorney Jacobs, Finance Director Gospodarek, Planning and Building Director Taylor, Public Works Director Workman, Parks and Recreation Director Butts, Deputy Police Chief Conway, and Planner Lorang. Approximately 38 people were in the audience, and zero attended virtually. 2) PLEDGE OF ALLEGIANCE Mayor Muhlfeld asked Mike Fitzgerald to lead the audience in the Pledge of Allegiance. 3) COMMUNICATIONS FROM THE PUBLIC– (This time is set aside for the public to comment on items that are either on the agenda, but not a public hearing or on items not on the agenda. City officials do not respond during these comments but may respond or follow-up later on the agenda or at another time. The mayor has the option of limiting such communications to three minutes depending on the number of citizens who want to comment and the length of the meeting agenda) Nathan Dugan, 937 Kalispell Avenue, President of Shelter WF, announced Shelter WF received an AARP Community Challenge Grant. It aims to make tangible improvements in communities that jump start long-term change. Their grant was awarded to host a design competition to give professionals an opportunity to create unique and innovative designs to solve the affordable housing crisis that exists not only here in Whitefish but throughout the state of Montana. Our objective is to focus on designs that are considered to be missing middle housing. To learn more about the competition, professions should visit www.shelterwf.org for more information. Bruce Boody, Landscape Architect, spoke towards agenda item 8b pertaining to the Whitefish Yards offsite trail and pedestrian bridge. When the developer first submitted the plans, they realized there is a lot to manage. They needed the logistical and financial partnership with the City. He is hoping that is still moving forward. They are trying to do everything to make sure from the developer’s perspective that they are doing the right things and that we can all get together to make this work. DC Haas, 103 Mallard Drive, Kalispell, representing the Whitefish Fire Service Area, thinks we are at a place where we can sign an amendment for the purchase of a new fire engine for $700,000. He thanked the City Manager’s efforts on pushing that forward. He also mentioned that next Thursday, there is a hearing with the County Commissioners to approve a rate increase for the Fire Service Area. They don’t have total support of the County Commissioners to increase the annual rate to $180 per house. He encourages the community to support their ask to the Commissioners by submitting a letter to the County Commissioners. Julie Tickle, 140 Burly Bear Trail, representing Dream Adaptive Recreation, mirrors Bruce Boody’s comments regarding agenda item 8b. At Dream Adaptive, they fully support this project. Mike Fitzgerald, 412 Lupfer Avenue, supports the Whitefish Yards offsite trail and pedestrian bridge. It is going to be an incredible loop for the locals. Dakota Whitman, 102 Dakota Avenue commented on the County Commissioners denying the funding for Mountain Climber. In Whitefish, public transportation is a big need and a big goal for the City. He thinks this is an opportunity for Whitefish to lead the way and be an example and provide funding to show the rest of the county that public transportation here is possible. Rachel Schmidt, 675 Woodside Lane, mirroring the comments provided for Whitefish Yards offsite trail and pedestrian bridge. Joe Courtney, 535 Colorado Avenue, stated two days ago two twin planes were flying over about 400 feet above the town. A minimum of 500 feet should be the distance, preferably 1,000 feet above. He has not read or seen anything where the City has done anything to restrict the height of which planes are flying over town. 4) COMMUNICATIONS FROM VOLUNTEER BOARDS Councilor Caltabiano reported at the Montana West Economic Development talked about the questions that were raised about economic incentives to businesses coming to town. The chair will provide some information in the upcoming days. 5) CONSENT AGENDA (The consent agenda is a means of expediting routine matters that require the Council’s action. Debate does not typically occur on consent agenda items. Any member of the Council may remove any item for debate. Such items will typically be debated and acted upon prior to proceeding to the rest of the agenda.) a) Minutes from June 17, 2024, Special Session (p.33) b) Minutes from June 17, 2024, Regular Meeting (p.34) c) Ordinance No. 24-07; An Ordinance amending Zoning Regulations Title 11, Chapter 3, Section 29, Subsection C, Stream, Lake and Wetland Buffers and Setbacks of the Whitefish City Code (WZTA 24-01) (Second Reading) (p.42) d) Resolution No. 24-24; A Resolution declaring certain property to be unneeded and obsolete, and authorizing the disposal of such property (p.45) Councilor Sweeney made a motion, seconded by Councilor Caltabiano to approve the Consent Agenda as presented. The motion carried. 6) PUBLIC HEARINGS (Items will be considered for action after public hearings) (Resolution No. 07-33 establishes a 30-minute time limit for applicant’s land use presentations. a) Consideration of a request from Bill McKinney on behalf of the State of Montana Department of Transportation for a Conditional Use Permit to expand the Whitefish airport with an airplane hangar. Located at 1716 E. 2nd Street (WCUP 24-05) (p.48) Planner Loring presented his staff report that is provided in the packet on the website. The airport runway is located in the county. The location of the proposed hangar is on the four-acre parcel that is located within the city limits. Currently the property has two storage sheds and a roofed airport sign. Notice was mailed to adjacent owners; a notice was in the paper and advisory agencies were noticed. Staff received ten letters of public comment: two letters of support, eight letters against the proposed hangar. Staff recommends approval. The Community Development Board (CDB) recommends denial subject to the seven Findings of Fact as recommended at the June 20th meeting. Mayor Muhlfeld opened the Public Hearing. Christin Bleyhl, 617 Colorado Avenue the applicant representative. This is an acceptable use for an acceptable site. Some of the opposition come from the view shed. In reviewing the site, the information that has been brought here in opposition is misleading. The view shed is obstructed in a narrow angle of view. The comments about fear of additional noise, smoke fumes; this is already a functioning airport. Adding a hangar that has space for four planes, and a rental space for bicycles to take into town, does not increase air traffic more than what is already happening at the airport. The permitted use for Sky Diving adds considerable noise and activity at the airport. This airport is a public airport and will be used by the general public. Joe Courtney, 535 Colorado Avenue, is opposed to the application due to the flying height, more commercial use adds to noise, and the location of the hangar could be in a dangerous location next to the runway. John Wilson, 1725 E. 2nd Street, opposes the application due to concerns of increased use of the airport. Kate McMahon, 151 Wedgewood Lane, opposes the application due to the visual impact of the vista and view shed of the area; the impact to the community character, and will impact the neighborhood with the use of the hangar. The two twin planes flying around and doing maneuvers wasn’t safe and was very loud. Greg Valazza, 150 Dodger Lane, opposes the application due to the impact to the vista and view shed from the dog park. Bob Horne, 151 Wedgewood Lane, submitted a letter that is included in the packet. He is opposed to this application. His concern is what is next? Is it fueling dispensing, or pilot activated runway? This application does not comply with the Growth Policy. Henry Elson, 325 Haugen Heights Rd, opposes the application. It seems the wrong facility in the wrong location. It detracts from all the amenities. Mick Holmes, 170 John’s Way, opposes the application. The noise has increased steadily for the last five years. The hangar itself will not increase noise, but it will bring more planes. More planes, more noise, more congestion, more safety issues. Sue Robeson, 412 Hazel Place, supports the opposition. Marjori Wilson, 1725 E. 2nd Street, opposes the application but would like to commend the City for what they have done to Armory Park. This hangar is going to be a permanent eye sore. Heather Nelson, 130 Birch Drive, opposes the application and agree with the opposing comments. She doesn’t feel the hangar benefits the community. Linda Hersom, 135 Birch Drive, oppose the application. The hangar is going to generate traffic of the type of plane that is larger, maybe noisier. Patty Holmes, 170 John’s Way, opposes the application. The air traffic has increased substantially. Will the hangar lead to increased air traffic? Shira Marin, 12 Green Place, stated we are all people together here. The community has been going through its ups and downs as it seeks to change in ways that are generative. She wanted to stress the challenges that will arise from causing a great deal of stress when it doesn’t need to be. Nathan Dugan, 937 Kalispell Avenue, stated this is a non-issue. The types of planes utilizing this strip will be small single engine planes. The thought is scary, but probably does not have a lot of impact on the back end.  Dakota Whitman, 102 Dakota Avenue, stated Whitefish has a lot of ambitious goals that we want to achieve. If we see a 2300 square foot hangar on an existing airport as irreparable harm and deny it on this worst-case scenario that doesn’t exist, he doesn’t see how we are going to reach the rest of our ambitious goals that will benefit everyone in the community. Mike Casey, 195 Blanchard Lake Road, supports the application. The hangar will support the aviation community. He has seen the airport when it was overgrown, to where it is today. The local aviation community has taken ownership of that airport. This hangar is going to be a benefit to that facility. It will not be a place to store planes, it is also going to be a place to store equipment to maintain the airport. Joe Courtney, 535 Colorado Avenue, stated there are airports east side of Montana that advertise Whitefish airport. He doesn’t look at Whitefish airport as a commercial business. It will be open 24-hours so there will be noise 24-hours. Some of these planes will need to be fueled, there is no mention of fueling pad. Any fueling of planes should be regulated. Kate McMahon, 151 Wedgewood Lane, stated this is the first she has heard that there is going to be equipment stored. She questions what that equipment is and how that is going to increase the use of the hangar. She read to the Council the section of the zoning code pertaining to conditional use. Sheldon Douglas, 1750 E. 2nd Street, opposes the application due to the noise impact. There being no further public comment, Mayor Muhlfeld closed the Public Hearing and turned the matters over to the Council for consideration. Mayor Muhlfeld called for a recess at 8:28 pm and reconvened at 8:35 p. Councilor Norton made a motion to deny WCUP 24-05 based on the Findings of Fact developed by the Community Development Board. The motion failed for a lack of second. Councilor Caltabiano addressed some the comments. The Whitefish airport is listed in the FAA directory and provided the remarks listed in the directory pertaining to the Whitefish airport. The FAA forbids flying within populated areas below 1,000 feet above the highest point within a 2,000 feet radius of that point, unless maneuvering for takeoff and landing. He attended two of the Community Development Board and spoke in support of a unanimous vote of the Community Development Board, so on this issue he will have to abstain. Councilor Norton stated Conditional Use Permits are given through the Council’s grace but also through their wisdom. The City has invested enormous amounts of time, money, public participation to develop the Armory complex. It is a very valuable entity and a gathering place. We are hearing complaints that people are having trouble working, sleeping, etc. because of the existing noise. She has a problem with a special interest group impacting the character of this neighborhood because we have invested so heavily in it being open to everyone. Taking a way what should be a right to all of us which is to live in peace. She does not support it for that reason. Councilor Qunell made a motion seconded by Councilor Sweeney to approve WCUP 24-05. Councilor Qunell made a motion, seconded by Councilor Sweeney to add Condition #7 a bathroom should be included. The motion carried 3-2, Councilors Norton and Davis voting in opposition, and Councilor Caltabiano abstaining.  Councilor Qunell is moving to approve. He has listened to the public’s comments. Everything we have taken for granted is going away, and this feels like another one. Council can apply the right conditions to mitigate the use. The view shed will not be the same, the hangar itself is not going to create noise. It is going to be a valuable amenity to the aviation community. Councilor Sweeney made a motion, seconded by Councilor Qunell to add Condition #8 to limit one building to the city zoned parcel. The motion carried 4-1, Councilor Norton voting in opposition, Councilor Caltabiano abstaining. Councilor Sweeney made a motion, seconded by Councilor Qunell to add Condition #9 the hangar shall not be used as a fixed-base operation to include significant airplane maintenance or fixed fueling facility. The motion carried 4-1, Councilor Norton voting in opposition, Councilor Caltabiano abstaining. Councilor Feury stated BNSF is 200 yards away from the dog park with 30 – 40 trains a day running, with the same concerns with noise, potential spills, etc. He can’t support that finding. It is not valid. If you stand where the hangar is at right now and if you look at the elevation of the railroad tracks, when the trains roll through hauling cars that are double decker, and sit there for hours, block a lot of view shed. One building is not going to make that much difference. He agrees, the view coming down 2nd street will be blocked. He cannot support that finding. Grass strip aviation in Montana has a long history. The aviation community is important. He can’t support that building a hangar will increase the traffic of planes. He has a hard time supporting a denial that was recommended by the Community Development Board. The original motion to approve WCUP 24-05 carried on a 4-1 vote, Councilor Norton voting in opposition, and Councilor Caltabiano abstaining. b) Ordinance No. 24-08; An Ordinance amending Zoning Regulations Title 11, Chapter 8, Section 1, Appendices, Appendix F, Whitefish Sign Districts, and Appendix G, Sign Standard Tables, of the Whitefish City Code (First Reading) (WZTA 24-02) (p.119) Director Taylor presented his staff report that is provided in the packet on the website. Mayor Muhlfeld opened the Public Hearing. There being no public comment, Mayor Muhlfeld closed the Public Hearing and turned matters over to the Council for their consideration. Councilor Sweeney made a motion, seconded by Councilor Qunell to approve Ordinance No. 24-08; An Ordinance amending Zoning Regulations Title 11, Chapter 8, Section 1, Appendices, Appendix F, Whitefish Sign Districts, and Appendix G, Sign Standard Tables, of the Whitefish City Code (First Reading). The motion carried. 7) COMMUNCATION FROM PLANNING AND BUILDING DIRECTOR a) Consideration of a request from Sommerboat, LLC, for a Whitefish Lake and Lakeshore permit to the riparian setbacks and a constructed area variance located at 727 LM Beach Lane (WLV-24-W01) (p.154) Planner Nelson Loring presented his staff report that is provided in the packet on the website. The applicants are requesting a minor variance to the riparian setback and constructed area in order to install a 380 square foot “I” dock that would be 8 feet wide, 40 feet long with a 20 foot by 3-foot gang way to the dock. The riparian setback would 9 feet 11 inches from both riparian boundaries. The original dock was an “I” dock, then expanded to a four-shaped dock. Both were not permitted. Staff recommended approval at the Lakeshore Protection Committee meeting. The Lakeshore Protection Committee voted 2-2, so they are proceeding with no recommendation based on the conditions of approval.  Staff received notice last week there was a dock installed on the property. Staff went out with the Lakeshore Protection Committee and the Whitefish Lake Institute as an advertised Special meeting. He took video and there was an “I” dock installed. Earlier this evening, staff was informed that “I” dock has been removed. Discuss followed between Council and staff. The previous owner had an “I” dock that was not permitted; last year it was expanded to a four-shaped dock, without a permit; the dock was removed after Planner Loring notified the owners. Between the last Lakeshore Protection Meeting, the owners installed an “I” dock, and have removed the dock as of this meeting. The first violation he sent a letter to provide opportunity to come into compliance. There has not been any legal repercussion at this time. They are allowed a total constructed surface area of 252 square feet of their lakeshore frontage. They have existing stairs within the Lakeshore Protection Zone totaling 63.4 feet. That would leave a balance of 188.50 square feet allowed constructed area, yet they are requesting a dock at 380 square feet. Which would exceed what is allowed by 191.4 square feet. It is typically required that the dock be centered if they can’t meet the riparian setbacks. That really is not an issue in this case. The issue is regarding the current violations at the property and the fact that they are requesting a dock size that is significantly larger than what would be allowed under standard Lakeshore Regulation. This has never been allowed. Councilor Feury addressed James Laidlaw, representative of the Lion Mountain Board of Directors. Is there adequate turning movement for a boat when the Lion Mountain docks are fully deployed? Mr. Laidlaw stated that the area next to this location is the swim area for Lion Mountain Homeowners. The swim buoys come 11 feet from the proposed dock. The new dock was encroaching on the property line and caused some concern to the residents. There was an “I” dock that was granted from the County when the house was built. Councilor Qunell made a motion, seconded by Councilor Sweeney to deny variance WLV 24- 01. Councilor Qunell stated as it is presented it fails to meet the criteria that no reasonable alternatives exist. Councilor Davis does not have an issue with the dock being in the middle of the lot. He does not understand the size and it is not consistent with what is allowed. He will not support the motion. Councilor Norton agrees with Councilor Davis. Councilor Qunell made an amendment to his original motion to approve the riparian setback but not the size of the dock. Councilor Sweeney agreed to the amendment. Councilor Feury made a friendly amendment to be required to have an after the fact permit application. Mayor Muhlfeld confirmed the motion to approve the riparian setback, deny the dock variance, and the applicant is required to come back for an after the fact permit. The motion carried. 8) COMMUNICATION FROM PUBLIC WORKS a) Consideration to authorize staff to bid the Viaduct Improvement Project (p.170) Director Craig Workman presented his staff report that is provided in the packet on the website. Councilor Norton made a motion, seconded by Councilor Feury to authorize bidding for elements 1 through 3. Councilor Caltabiano has concerns and City Manager Smith confirmed this project would not affect property taxes but would spend down cash reserves. Councilor Davis will support the motion but would like to stay on top of the landscaping for the future. The motion carried 5-1 Councilor Caltabiano voting in opposition. b) Consideration to provide direct to staff regarding the Whitefish Yards offsite trail and pedestrian bridge (p.205) Director Craig Workman presented his staff report that is provided in the packet on the website.  Councilor Norton asked, and Manager Smith stated currently in the FY25 preliminary budget, we are spending down reserves quit heavily in most our funds. In fact, our property tax supported funds are going down over a million dollars related to capital. The general fund will be sitting with about 28% cash reserves. Council could spend down $250,000 for this project which would bring us down to 25% cash reserves in the general fund. She would recommend not going much further. The resort tax fund does have $150,000 budgeted for FY25 for trail construction but that is for Riverbend. We would utilize that additional $150,000 if the full amount of the $382,000 was funded by the City. This is competing with other trail projects. There is $100,000 budgeted in the parks fund for the Riverbend Trail to continue with engineering. Any construction funds that we would have to start the project could be utilized for this. The other option is to levy 5 mills and increase property taxes across the board. For a home at $800,000 value, it would be about $60 a year. Director Workman stated we still need approval from DNRC and BNSF to install the bridge and to make the eastern trail connection. The eastern trail connection would require an amendment from BNSF, and the bridge would require an amendment from BNSF that DNRC approves. We would wait to build the trail sections until we have the bridge approved. We do have an existing amendment from BNSF to construct the northern trail section which would go under the existing trestle and connect to Sky Park Bridge. Which is more cost effective of the two. There was never a condition that required the bridge or required the offsite connections. However, the approved engineering plans showed all of those components. The plan set approved does show those components, but the understanding of the developer was that the city would contribute to those portions of the plan that were not specifically conditioned to be built, with the exception of the bridge. The developer is responsible for building the trail on their property. The property to the existing Sky Park Bridge goes onto BNSF land, would not be a requirement for final plat. The city could build that section, estimated at $120,000. After some discussion between Council and staff Councilor Qunell made a motion, seconded by Councilor Norton to authorize staff to bid the portion of trail that connects the developer’s trial to the Sky Park Bridge, spending down reserves. The motion carried. 9) COMMUNICATIONS FROM CITY MANAGER a) Written report enclosed with the packet. Questions from Mayor and Council? (p.227) None b) Other items arising between June 26th and July 1st Manager Smith reported the Whitefish Fire Service Area (WFSA) request the City Council provide a letter to the County Commissioners, supporting their rate increase as it pertains to the interlocal agreement between the City and WFSA. Council agreed for Manager Smith to draft a letter. Manager Smith also shared that Officer Ferkin and Officer Cook graduated from the Montana Law Enforcement Academy Basic No. 184 on June 23, 2024. They both did an excellent job representing themselves, the police department, and the City of Whitefish. Candidate filing for the Local Government Review Commission is open and will close August 12th. Those interested in serving on the Commission can contact City Clerk Howke if they have any questions. Manager Smith requested direction from the Council on whether the Council was interested in creating a Transportation Advisory Committee or Technical Advisory Committee. Mayor Muhlfeld asked Manager Smith to bring back to the Council what the options would look like. c) Consideration of a request from Northwest Montana Community Land Trust to contribute $60,000 from the City’s Affordable Housing Fund to facilitate the purchase of 303 and 717 Trailview Way  and authorize the City Manager to execute the Agreement between the City and Northwest Montana Community Land Trust (p228.) Manager Smith’s staff report is provided in the packet on the website. Executive Director for Northwest Montana Land Trust (NWMLT), Kim Morisaki addressed the Council. She reported NWMLT has been able to add six homes in the Trailview development into the Community Land Trust (CLT) inventory. There are two more opportunities to add homes and sell them to CLT owners. The owner of 717 Trailview Way would like to sell her home to NWMLT. Kim is asking the Council to release the Deed Restriction. Kim also is asking the Council to allocate $30,000 for each of the two homes that will be available in the CLT program. Councilor Caltabiano made a motion, seconded by Councilor Davis to approve the request from NWMLT as provided in the staff report. The motion carried. d) Resolution No. 24-25; A Resolution approving an amendment to the Interlocal Agreement for fire protection services with the Whitefish Fire Service Area (p.262) City Manager Smith presented her staff report that is provided in the packet on the website. Councilor Caltabiano made a motion, seconded by Councilor Qunell to adopt Resolution No. 24-25; A Resolution approving an amendment to the Interlocal Agreement for fire protection services with the Whitefish Fire Service Area. The motion carried. 10) COMMUNICATIONS FROM MAYOR AND CITY COUNCILORS a) Letter from Megan Gunning regarding multiple traffic issues including traffic signals and traffic signs (p.270) None b) Letter from Elizabeth Wood, Mountain Climber and Letter from County Commissioners denying request for additional funding for commuter services (p.271) None Council Comment Councilor Davis spoke towards his frustration of the County Commissioners not supporting the additional transportation funds for the Mountain Climber. He hopes we keep trying. Councilor Norton asked if staff could appoint a “point person” to interagency permitting. She also stated there are six dwellings that are blighted and abandoned, she would like to have a work session to discuss the process of how to condemn those properties. She mentioned crime seems to be up with stealing. Chief Kelch stated he has not seen an uptick in reports in that fashion. If that is happening, make sure to report to the Police Department. She also addressed the Supreme Court decision on Chevron could have an impact on how the City governs. She asked how we anticipate and prepare for these things if we don’t have a lobbyist working with us. Manager Smith stated the City Charter is specific as to when the City should get involved in federal matters and federal legislation. Councilor Feury stated former Councilor Barberis concern of perchlorate fireworks at City Beach. Whitefish Lake Institute and the Chamber of Commerce has been working on that. Perchlorates are expensive and not readily available. 11) ADJOURNMENT (Resolution 08-10 establishes 11:00 p.m. as end of meeting unless extended to 11:30 by majority) Mayor Muhlfeld adjourned the meeting at 10:10 p.m. /s/John Muhlfeld Mayor Muhlfeld Attest: /s/Michelle Howke Michelle Howke, Whitefish City Clerk