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Whitefish adopts code changes after Montana narrows impact-fee scope
Summary
Council approved first reading of ordinance 25-12 and resolution 25-33 to align Whitefish code and fees with state changes in Senate Bill 133; parks, paved trails and City Hall impact fees removed and will be funded by property tax going forward.
The Whitefish City Council unanimously approved an ordinance (25‑12, first reading) and a companion resolution (25‑33) that amend city code and impact‑fee rates to comply with changes in state law enacted in Montana Senate Bill 133.
Dina (planning staff) summarized the changes in state law: SB 133 narrowed the statutory definition of “public facilities” to include only water, wastewater, transportation, stormwater, law enforcement, emergency medical rescue, emergency management and fire protection facilities, and it eliminated a previously allowed process for the governing body to expand that definition by two‑thirds vote. The bill also removed a local administrative fee of 5% on impact fees.
“As a result,” Dina said, “we have made the changes in the code, which eliminates our parks impact fee, our paved trails impact fee, and our City Hall impact fee. All three projects that had been identified will be funded with property tax revenue and potential increase in the future.” Staff recommended adoption of the ordinance and the resolution that establishes updated fees; councilors approved both measures unanimously.
Staff noted the fiscal effect: removing those impact fees will reduce revenues that previously funded park improvements, trails and City Hall expansion and related administrative costs. The fiscal year 2026 budget had already accounted for the legislated changes, and staff said no immediate budget shortfall is expected; approximately $122,000 of the city’s affordable housing fund remained available for other programs after current commitments, per a separate staff report on housing programs.
Councilors asked no substantive questions on the staff presentation and moved to approve the ordinance on first reading and the resolution adopting the revised fees.
The adopted changes preserve impact fees for water, wastewater, police and fire but remove the administrative fee and the three facility categories no longer authorized under SB 133.
