Trail Creek Properties, LLC owns the land abutting both sides of the alley within Block 28, Billings Old Town and has petitioned the city to discontinue the alley so they can fence it off.  This alley is bounded by 4th Avenue North, 3rd Avenue North, North 11th Street, and North 12th Street.  The business within this block is American Welding and Gas, and they would like to fence off the alley to allow storage of materials within a secure area.  The only utility within the alley is a sanitary sewer line.  Public Works is recommending that the city continue to own the right of way in case the sanitary sewer needs to be rehabilitated in the future.  Discontinuing the alley instead of vacating it is a compromise between the property owner and the city.  Discontinuing allows the property owner to fence off the right of way, and allows the city to maintain ownership of the alley right of way.  There are no other public utilities in the alley and solid waste pickup is in the parking lot off of North 11th Street.  If approved, the property owner will have to submitt for an encroachment permit with the City and meet all of the insurance and liability requirements of the encroachment permit. 

The Council may:

• Approve acknowledgment of petition to discontinue the above-mentioned right-of-way and set a public hearing for June 14, 2010; or
• Do not approve acknowledgment of petition.

Staff recommends that Council acknowledge the receipt of petition to discontinue the alley within Block 28, Billings Old Town, and set a public hearing for June 14, 2010.