Council amends water-storage resolution to broaden design options and authorize short-term interfund loan for land purchase

The Belgrade City Council approved resolution 2025-5 to amend the scope of the city’s water-storage project and to authorize short-term interfund loaning to enable purchase of property needed for the project prior to final bond issuance.

City Manager John Cardwell (identified in the meeting) summarized prior work: an earlier resolution called for a 3,000,000-gallon elevated water storage tower likely to be sited at Mayfair Park. Cardwell said the city has identified alternative property near transmission lines that would avoid siting the tower in Mayfair Park and that after the RFQ process the city contracted with HDR for design and construction. He said the amendment would allow flexibility among elevated, ground-level or mixed solutions based on final engineering and acknowledged that a 200-foot, 3,000,000-gallon elevated tower could take two to three years to construct.

"Building a 200 foot tall, 3,000,000 gallon elevated storage tower would have put us in the unique category of cities across the country," Cardwell said, noting the city wants to preserve options that could reduce construction time. He explained the finance code language would permit short-term loans between funds so the water fund can close on property scheduled for closing April 15 and then be reimbursed once bond revenue is issued.

Council members asked whether bonds would require voter approval; Cardwell said the project will be funded with revenue bonds repaid through water and wastewater rates rather than a taxpayer vote. A councilor thanked staff for finding alternative options and Cardwell reiterated that the water fund will be repaid if other departments later use the land.

A motion to approve resolution 2025-5 passed unanimously.