Bozeman Urban Renewal District (URD) Board Meeting Summary - February 17, 2026

This meeting of the Bozeman URD Board covered a range of topics including the introduction of a new commission liaison, a discussion of downtown building heights in the B3 zone, annual ethics training for board members, a financial report, and a draft budget review for FY27. The board also set a new meeting date for March 10, 2026.

Consent Calendar

• No consent calendar items were presented during this meeting.

Public Comments & Testimony

• Jason (city resident/property owner): Provided historical context regarding the 90-foot height limit in the B3 zone, noting that it was not a new change brought by the UDC update but rather an implementation of a height (approximately seven stories) that had been called for in previous downtown plans. He stated that the 90-foot limit was a clearer alternative to the more ambiguous "seven stories" and that it reflects the city's role as a regional economic hub.

Discussion Items

• Introduction of New Commission Liaison: Douglas Fisher introduced himself as the new commission liaison, replacing Terry Cunningham. He noted his previous role as liaison for the downtown Business Improvement District (BID) board.
• City Commission Priorities Update (March 3, 2026): Douglas Fisher outlined the city commission's draft priorities for the next two years, including: making Bozeman a safe and welcoming place for all; engaging meaningfully with the community; strengthening the effectiveness of advisory boards (reviewing the consolidation from 42 boards to five "superboards" in 2021); bridging the affordability gap (housing, jobs, child care); and protecting Bozeman's heritage neighborhoods and environment (including the Neighborhood Conservation Overlay District, water resources plan, and urban transportation district).
• B3 Height Discussion: Fisher reported ongoing community pressure regarding the B3 zone height limit (currently 90 feet), with some calling for a rollback to 70 feet or a moratorium. The majority commission sentiment leans toward letting the new UDC (Unified Development Code) play out without immediate tinkering, but to compile issues over the next 4-6 months for a later review. Board members discussed the lack of a clear metric for "appropriate" height, with one member suggesting the board should evaluate whether the height supports community priorities rather than seeking a quantitative benchmark. Another member emphasized the need for a longer runway (more than six months) to see tangible change and noted that the board had previously written a letter in support of 90 feet, citing implications for tax increment financing and long-term downtown infrastructure needs (e.g., underground utilities, sewer lines). The board also expressed concern that past commissions have ignored advisory board recommendations (citing the firehouse sale) and urged that the board's voice be properly weighted.
• Ethics Training: The board participated in annual ethics training, reviewing scenarios on conflict of interest, nepotism, and public comment. Key points included: board members must disclose potential conflicts on the record at meetings; they should not use their position for private benefit or to advocate personal opinions as if speaking for the board; they have free speech rights but must clarify they are acting as private citizens; and that the city attorney (Greg Solvan) is the primary contact for ethics questions.
• Financial Report: The board reviewed the current financial report for FY26-to-date. Key expenditures included: $11,550 for tree replacement, $703 for sunshine lighting (replacing light bulbs on Main Street and Mendenhall), and $23,162 for consultant fees on the parking vision project. A finalized cash balance for the start of the fiscal year was reported.
• Draft Budget Review for FY27: The board discussed the draft budget, which includes an estimated 8% increase in operations costs. Key items included: $5 million allocated for parking and data collection; $335,000 annual bond payment; $1.6 million encumbered for Fire Station 1 (until October 2027); a $50,000 project for Babcock, Bozeman, and Black intersection; $100,000 for downtown planning funds; and $1 million for utility infrastructure improvements (with only a $300,000 current pipeline for a TIFF infrastructure grant request for sewer repairs on Mendenhall). The board discussed the possibility of exceeding the $1 million budget for infrastructure improvements given increased community interest and noted that the URD has budgetary authority to approve amounts above budgeted levels without additional commission approval (unlike the Tax Increment Board). The board agreed to refine the budget with cleaner categorization of line items and to approve the final budget in April.
• Downtown Economic Development Report: Updates included: a new downtown website and logo refresh; participation in the MSU strategic planning committee (first public listening session on February 18, 2026); progress on the E.H.O. Peace Park (grand opening planned for August 14, 2026); initiation of a Special Improvement Lighting District; and a hold on the RFP for parking-related work. A list of new downtown developments and business openings was shared.
• March Meeting Date Adjustment: The board changed the next meeting date to March 10, 2026 (instead of March 25) due to scheduling conflicts related to spring break and a board member's commitment to a national panel.

Key Outcomes

• The board will continue to compile feedback on the B3 height limit over the next 4-6 months, with no immediate action to change the 90-foot limit.
• The board completed its annual ethics training.
• The board will refine and finalize the FY27 budget in March and April, with a focus on clearer categorization of expenses.
• The next regular meeting is scheduled for March 10, 2026.
• The board acknowledged receipt of the downtown economic development report and will follow up on the TIFF infrastructure grant and parking vision plan as items arise.