fbpx

Proposed Settlement Puts County on Hook for $1M, Road Costs

By Beacon Staff

Flathead County recently agreed to a tentative settlement with the developers of the North Shore Ranch Subdivision, a decision that could put the county on the hook for $1 million and the cost of constructing the development’s road system.

The recently released settlement document states that the county will pay the developers, Kleinhans Farm Estates LLC, $500,000 within 30 days of the settlement’s approval, and $250,000 by Feb. 1 of 2011 and 2012.

Of the $1 million, $600,000 would pay for a nonexclusive easement of 150 acres, which would be opened up for public use on the land bordering the Flathead Waterfowl Production Area. The uses include foot traffic and bird watching but do not allow hunting.

If the developers decide to sell the easement property, the county will be reimbursed $600,000. The rest of the settlement money – $400,000 – is compensation for the developers to spend as they see fit.

Along with $1 million, Flathead County would also pay for and construct all of the subdivision’s roads and two turn lanes from Highway 82 for access.

Flathead County Attorney Ed Corrigan said the decision to pay for the roads resulted from the mediation process. Alan McCormick of the Montana Association of Counties represented Flathead County in this case, Corrigan said, so the County Attorney’s Office could not speak to the reasons behind the decision.

Neither the developers nor their attorneys immediately returned calls for comment.

Flathead County Commissioner Joe Brenneman said he was not personally satisfied with the terms of the proposed settlement.

“It’s the best of the poor choices we had available,” he said in an interview last week.

The money to pay for the settlement would come out of a building fund that the county has been setting aside for repairs or a new administrative building, Brenneman said. The county’s insurance only covered the cost of the defense and not the outcome, he added.

The settlement is contingent on approval from the Flathead County commissioners after a public hearing, which is currently scheduled for March 1. Corrigan said the hearing would be a time for the public to hear from McCormick on the settlement arrangements and to voice their opinion on the matter.

The subdivision, which would have created 290 residential lots on 367 acres, has been a matter of contention in the valley during its time in the public eye. The land is located south of Montana Highway 82 near Somers.

The plans originally received a recommendation for denial from the county planning board in 2006, but the board voted to recommend approval for a revised, slimmed-down plan in April 2008 despite concerns over the proposed developments density and proximity to the waterfowl production area.

Public opposition to the project remained strong, however, often eliciting hours-long hearings. Three weeks after the planning board recommended approval, the county commissioners voted 2-1 to reject the preliminary plat, with then-Commissioner Gary Hall and Commissioner Joe Brenneman opposing the plan.

Their concerns included flooding, seismic activity and the proximity to the wildlife sanctuary. A month later, in May 2008, the developers – Sean Averill and Keith Simon – sued Flathead County, citing the staff report from the Flathead County Planning and Zoning Office, which court records say showed “no deficiencies or subdivision impacts that were incapable of mitigation” and that the plat complied with state and local laws and regulations.

The tentative settlement also includes a revised plat, which lowers the subdivision’s density. It would also take care of much of the flooding concerns, Brenneman said.

A judge must agree to the terms of the settlement for it to become final, Brenneman said, so the terms are not a “foregone conclusion.”