Missoula council adopts three special lighting districts to reimburse developers for streetlights

The Missoula City Council on June 9 approved resolutions creating three Special Lighting Improvement Districts — SLD No. 53 (Heron's Landing, Phase W1), SLD No. 54 (Magnet Flats) and SLD No. 55 (Hellgate Village) — to reimburse developers for the capital cost of streetlights installed adjacent to collector streets. The motion passed by roll call after a public hearing and no public comments on the item.

City Engineer Troy Munro, who presented the proposal, said the districts pay developers for the design and installation costs and that homeowner assessments are placed on the tax rolls. "The SLDs will pay the developers annually over a 15 year payment period," Munro said, and added that homeowner costs are calculated on the area of a parcel or lot on a square-foot basis and placed on the property tax bill.

The council heard that roughly a dozen streetlights already have been installed in the Mullen-area subdivisions cited in the presentation. Munro said the city has been converting leased lights to LED and that owning lights, rather than leasing them, can reduce long-term costs and improve response time for repairs. He also described a bonding fee that was allocated across the three districts and noted developers would likely see reimbursement about a year and a half after district creation.

Councilor Basica asked whether the properties in the districts are occupied; Munro answered that most parcels are largely built out and that Herring's Landing (as described in the presentation) was about 50% complete. Councilor Campbell voiced support, calling lighting "a great public safety benefit" and saying the assessment is "very specific, very targeted" compared with other levies.

Formal action: Councilor Becerra moved the resolution to create SLD Nos. 53–55 as described in the meeting materials. The council opened a public hearing, heard no public comment, and then voted by roll call. The clerk recorded yes votes from Anderson, Sarah, Campbell, Carlino, Jordan, Nelson (indicated by sign), Cheryl, and Basica; Councilor Savage was absent. The mayor announced the motion carried.

No additional directives or follow-up tasks were recorded during the meeting beyond the standard next steps Munro described: creation of the districts, placement of assessments on tax rolls, and developer reimbursement timing. The council did not amend the proposed districts at this meeting.

Background: Munro noted that Missoula requires streetlights with new development on arterial streets and evaluates collector streets under the Missoula City Public Works Standard and Specifications Manual. The SLDs were described as the mechanism to cover capital costs for required lights adjacent to collector streets while Road District No. 1 will cover operations and maintenance going forward.

What to expect: Property owners inside the new districts will see the yearly assessment on future tax rolls; developers will receive reimbursement as the SLD collection begins. Details, including district boundaries and the assessment spreadsheet, were included in the agenda attachments.