Kalispell council approves election format, special improvement districts and personnel pay changes

Kalispell City Council members on June 16 voted on a package of procedural and fiscal items, including calling the Nov. 4, 2025, municipal election, creating three special improvement districts (SIDs) for water and sewer improvements, authorizing limited spending under a continuing resolution for the FY 2026 preliminary budget and updating nonunion employee pay rules.

The council first approved a resolution calling the Nov. 4, 2025, general municipal election (Resolution 62-57). Council subsequently approved an amendment to run the municipal election as an all-mail ballot, with councilors and the mayor voting on the amendment by roll call. The amended resolution passed on final tally.

The council adopted three resolutions creating special improvement districts tied to previously announced grant and loan funding for water and sewer projects in the MorningStar and Green Acres communities (Resolutions 62-58, 62-59 and 62-60). Staff told the council the city has obtained roughly $3 million in grant funding related to the projects and that state revolving loan funds remain available; staff also said up to 75% of a loan for these affordable communities could be forgivable, reducing the assessments ultimately charged to property owners.

Council approved a continuing resolution to authorize limited expenditures from the FY26 preliminary budget and set a public hearing on the full budget for July 7, 2025. The staff report noted final valuations from the state typically arrive in early August, creating the need for a temporary operating authorization.

On personnel pay, the council adopted Resolution 62-61, updating the city’s 20-step pay matrix for nonunion staff and approving annual step increases for eligible employees. Councilmembers removed council pay from the resolution through an amendment; the amended resolution adopting the pay matrix and step increases passed.

Other procedural actions taken during the meeting included adopting the consent agenda (minutes from May 12 and May 19) and amending the published agenda to add an executive session under state law to discuss matters of individual privacy.

Votes at a glance - Resolution 62-57 (Call for general municipal election, Nov. 4, 2025) — Motion to call the election introduced by Councilor Nettling; amendment to make the election all-mail moved by Councilor Graham, seconded by Councilor Carlson; amended motion passed by roll call (final roll call recorded as all voting Aye). Outcome: approved. - Resolution 62-58 (Create SID 346, MorningStar Sewer; authorize grants) — Moved by Councilor Hunter; seconded by Councilor Carlson. Roll call: all Aye. Outcome: approved. - Resolution 62-59 (Create SID 347, MorningStar Water; authorize grants) — Moved and seconded; roll call: all Aye. Outcome: approved. - Resolution 62-60 (Create SID 348, Green Acres Sewer; authorize grants) — Moved by Councilor Carlson; seconded; roll call: all Aye. Outcome: approved. - Continuing resolution for FY26 preliminary budget and public hearing (set hearing July 7, 2025) — Moved by Councilor Hunter; seconded; roll call: all Aye. Outcome: approved. - Resolution 62-61 (Nonunion employee salary adjustment, 20-step pay matrix and step increases) — Moved by Councilor Graham; seconded; amendment to remove city council members from the pay changes was moved and passed on roll call (amendment vote recorded: Graham Aye; Dowd Aye; Dahlmann No; Hunter Aye; Nunnally Aye; Carlson No; Mayor Johnson Aye). The amended resolution passed on final roll call. Outcome: approved as amended. - Consent agenda (minutes May 12 and 19) — Motion to adopt moved by Councilor Hunter, seconded by Councilor Carlson; vote: all Aye. Outcome: adopted. - Agenda amendment to add executive session under Montana law on individual privacy — Motion offered and seconded; vote: motion carries. Outcome: adopted.

Notes and implementation steps - Staff said exact SID assessments will be set in a later bond resolution after bids, loan documents and any loan forgiveness are finalized; at that time the council will see the precise dollar amounts and repayment terms. - For the election format change, the county election manager explained the technical limits in the statewide election system that make an all-mail election a single-ballot process and warned that running both a polling-place election and mail ballots together can produce situations where an elector might receive two different ballots in one envelope, which under current procedures can cause a rejection.

Sources: meeting staff reports and council recorded roll-call votes during the June 16, 2025 Kalispell City Council meeting.