Montana Code Annotated 7-12-4332 requires that the City Council annually adopt a resolution to assess the costs for each Special Improvement Lighting Maintenance District (SILMD) on or before the first Monday in October.  The amount assessed is based on anticipated utility rates, estimated maintenance costs and administrative fees, as well as the reserve requirements needed for each district.  The attached resolution specifies the proposed SILMD assessments for fiscal year 2017.

The Council must hold a public hearing and then may

• approve the resolution; or
• not approve the resolution.  If Council does not approve the resolution, an amended resolution will need to be adopted at the next City Council meeting for continued operation of the light districts and to be in compliance with state law.

SILMD assessments for FY 2017 will generate approximately $2,438,370 in revenues which is the amount calculated to recover the estimated costs of electricity, maintenance, and administration fees and to maintain an adequate cash balance in each light district fund.

Staff recommends that the City Council conduct a public hearing and approve the proposed resolution adopting the annual Special Improvement Lighting Maintenance District assessments for Fiscal Year 2017.