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Council hears spike in Westside Ditch assessment tied to lawsuit; approves $8,500 grant‑writing task order for city hall preservation
Summary
Officials told the council litigation involving the Westside Ditch Company has driven shares from about $5 to $130 each, producing an interim bill that could push the city’s six‑month exposure to roughly $9,200; the council also approved an $8,500 task order to pursue a preservation grant for city hall that would require a 20% local match if awarded.
City staff informed the Deer Lodge City Council that the city’s 40 shares in the Westside Ditch Company are facing sharply higher assessments this fiscal period because of litigation and associated attorney fees. Staff said the per‑share assessment jumped from about $5 to roughly $130 on the most recent invoice; the city’s share of assessments and legal costs could be around $9,200 so far in this half fiscal year and may require a budget amendment.
Staff explained the increase is linked to an ongoing lawsuit brought by conservation interests against the Westside Ditch Company (including references to Fish and Wildlife and federal agencies in the packet). Council members asked whether losing access to that ditch could affect municipal backup water sources and discussed options such as drilling a new well, which would carry significant cost.
Separately, the council approved an $8,500 task order with Staley Engineering to prepare grant writing for a historic preservation grant for the second phase of city hall renovation. Staff said the grant would be for $350,000 but cautioned the city must provide a 20% match of total project cost if awarded; for a $500,000 project that could mean roughly $100,000 in local match. The task order passed on a roll call vote.
Why it matters: The Westside Ditch assessment spike could necessitate a budget amendment and affects city water‑resource contingencies. The grant task order moves the city toward seeking outside funding for a major preservation project but creates an obligation to anticipate a significant local match if the grant application succeeds.
