The City of Billings currently has two Street Maintenance Districts (SMDs).  SMD One is generally the downtown area and SMD Two is the remainder of Billings.  The current boundaries of SMDs were established in 1983.  The proposed boundary for SMD One remains unchanged, but amends the services provided to only include excess services, being additional sweeping and snow removal provided to the downtown area.  The proposed boundary for SMD two expands to include the entire City of Billings including the downtown area and provides for a basic level of street maintenance.  Basic level of street maintenance is defined as:

• Graveling, oiling, chip sealing, seal coating, overlaying, general cleaning, leaf and debris removal, the operation, maintenance, and repair of traffic signal systems, the repair of traffic signs, the placement and maintenance of pavement markings, curb and gutter repair, sidewalk repair, and general street repair.
• Sweeping of arterial streets typically no more than five time per year, collector streets no more than three times per year and local streets no more than twice per year, with exception of entry point streets to the City which may be swept more frequently.
• Snow plowing on collector and arterial streets.
• Snow removal on arterial streets as determined by the Public Works Director.
• Any street maintenance, including but not limited to, storms and other events creating a need for heightened street maintenance services as determined by the City Administrator.

If the proposed resolution is approved, parcels within the boundaries of SMD One will be assessed a SMD One fee for excess service as well as a SMD Two fee for basic service because these parcels are included in both districts.  Parcels in SMD Two, but not in SMD One, will only be assessed a street maintenance district fee for a basic level of services.  The resolution amending the boundaries and defining the services performed in each street maintenance district is attached.

City Council may:

• Approve the resolution amending the boundaries, or;
• Disapprove the resolution.

There is no anticipated financial impact to the City for amending the boundaries of street maintenance districts.  Property owners in the current SMD One, would receive a decrease of approximately 16% in SMD fees and SMD fees for property owners in SMD 2 would increase by1% based on current FY 15 rates and no inflationary adjustments.  For a 10,000 square foot lot, this equates to a $112.24 per year decrease for SMD One property owners and a $1.03 per year increase for SMD Two property owners. 

Staff recommend that a public hearing be held and that Council approve the resolution amending the boundaries of street maintenance districts.