Nov. 25—The Kalispell City Council will begin setting the municipality’s legislative priorities Monday ahead of the upcoming session in Helena.
The Council will meet on Monday, November 25 at 7:00 PM at City Hall, 201 First Ave. E.
In recent years, the Council has developed priorities that can be pushed for in the Legislature ahead of the session. With the 2025 term beginning in January, the Council is expected to review and revise a draft of priorities based on the previous session in 2023.
Those priorities included a sales tax on local options, expanded tax increment financing, affordable housing funding and legislation to promote infrastructure development.
The Council has backed a voter-approved sales tax that aims to shift some of the costs of maintaining infrastructure and services to tourists, city documents show.
Whitefish has collected a 3% tourist tax from accommodations, shops, bars and restaurants since 1996. Columbia Falls has implemented a 3% tourist tax in 2021. However, Kalispell still does not qualify for the tourism tax due to its population size.
Legislation to promote the development of affordable housing was also considered a priority for Council in 2023. The average price for a single-family home this year was about $575,000, according to the Northwest Montana Association of Realtors. In 2020 this was $358,000.
Statewide, nearly 69% of Montana residents, who earn zero to 30% of the median income, spend more than 50% of their income on housing costs and utilities, according to the Montana League of Towns and Cities. Those whose income is between 31% and 50% of the average median income spend more than 30% of their income on housing-related costs. According to the Montana Department of Commerce, the median household income in Montana in 2022 was $67,915.
The city also supported legislation for public land management and land use regulations related to development. Assistance in financing infrastructure development was also supported by the Council.
The Council expressed support for legislation that would provide municipalities with expanded opportunities to use tax increment financing districts as an economic development strategy. Tax increment financing funds are primarily intended to stimulate the redevelopment of neglected parts of a community.
In October, City Hall approved worker housing to become eligible for tax increment financing funds. Workforce housing was defined as households earning between 60% and 140% of the area median income. Kalispell’s median income in 2024 was $88,400, according to data from the government-sponsored corporation Fannie Mae.
The Council expressed support for legislation that would soften the financial blow of meeting regulatory standards in water production, wastewater treatment, solid waste and stormwater management.
Legislation allowing for the creation of additional special districts was also highlighted by the Council. The city “believes that current requirements place unnecessary financial and procedural burdens on the creation of special districts.”
Special districts are created by municipal governments to provide specific services within a geographic area.
Reporter Jack Underhill can be reached at 758-4407 and junderhill@dailyinterlake.com.
