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Consent   1.B.
Regular City Council Meeting
Meeting Date:
08/24/2020
TITLE
Agreement with Yellowstone County for Transfer of RSIDs to City
PRESENTED BY:
Jennifer Duray
Department:
Public Works
Division:
Administration

RECOMMENDATION

Staff recommends accepting the Yellowstone County rural special improvement districts, renaming RSID 554L to Street Improvement Lighting Maintenance District 327, and dissolving RSIDs 122M, 161M, 276M, 301M, 335M upon transfer to the City.

BACKGROUND (Consistency with Adopted Plans and Policies, if applicable)

Yellowstone County has several Rural Special Improvement Districts (RSIDs) for maintenance of water, storm, and lights which are now fully located within the boundaries of the City of Billings.  Yellowstone County would like to transfer the operation, management, and control of those districts to the City of Billings pursuant to Section 7-12-2126, MCA.  Section 7-12-2126, MCA, requires that the County and City enter into an agreement for the transfer of the operation, management, and control of the districts. 

The RSIDs that Yellowstone County would like to transfer to the City of Billings are as follows:
RSID # RSID Description
122M Water Maintenance
161M Water Maintenance
276M Water Maintenance
301M Storm Maintenance
335M Water Maintenance
554L Street Light Maintenance

The street light fixtures and facilities in RSID 554L are owned and maintained by Northwestern Energy.  If the operation of this district is transferred to the City, the RSID will be renamed to Street Improvement Light Maintenance District (SILMD) 327 and the properties in the district will be assessed for SILMDs each year.  The RSIDs for water and storm maintenance will dissolve as properties in these RSIDs already pay for water and storm maintenance and the vast majority of the original infrastructure has been replaced by the city as properties annexed.  

ALTERNATIVES

City Council may:
  • Approve the transfer of the Yellowstone County RSIDs to the City, the renaming of RSID 554L to SILMD 327, and dissolving RSIDs 122M, 161M, 276M, 301M, 335M or;
  • Disapprove the transfer of the Yellowstone County RSIDs to the City.  If the RSIDs are not transferred, the county will continue to maintain districts within the city limits.  Because most of the infrastructure has been replaced by the city after properties annexed, the districts would be very small and ineffectual.

FISCAL EFFECTS

The balance of funds for each district will be transferred to the City as of the date of the transfer of the operation, management, and control of these districts.  The amount that will be transferred to the City is approximately $285,000 for water maintenance, $8,500 for storm maintenance, and $530 for light maintenance.  SILMD 327 will be adjusted annually when all other SILMDs are reviewed.

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