County agrees to settlement with Ranch & Home Supply; payment to come from Montana Connections fund, not property taxes
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Summary
The council concurred with a settlement with Ranch & Home Supply LLC over infrastructure issues at Montana Connections; the county will pay approximately $25,000 with MMIA contributing roughly $26,000, using Montana Connections district funds rather than general property tax revenues.
Butte-Silver Bow commissioners on Jan. 8 concurred and placed on file a settlement agreement with Ranch & Home Supply LLC addressing construction-period problems tied to the Montana Connections infrastructure project; the motion passed 12-0.
Kristen Rosa, Montana Connections manager, and Chief Executive J.P. Gallagher told the council the county and Montana Municipal Interlocal Authority (MMIA) negotiated to split an agreed settlement roughly between MMIA (about $26,000) and the county (about $25,000). Rosa said the settlement will be paid from the Montana Connections fund — generated by the development district and remaining tax-increment revenues — and not from general property-tax revenues.
Rosa summarized the history: Silver Lake water used for fire suppression failed a flush test after construction; crews flushed lines and upgraded screens and ultimately installed imported strainers in the Ramsey pump house; once the strainers were installed the system passed required fire tests. During the remediation period, the county issued a temporary certificate of occupancy for the building with a fire watch requirement. Negotiations with Ranch & Home resulted in the settlement to avoid costlier litigation, Gallagher said.
The council recorded a unanimous vote to concur and place the communication on file.