Bozeman City Commission Work Session on Enterprise and Special Assessments Budget – June 2, 2026

The Bozeman City Commission met on June 2, 2026, for a work session focused on the city manager's recommended budget for enterprise funds and special assessment districts for the 2027 biennium. The meeting also included a consent agenda, public comment on non-agenda items, a mayoral proclamation, and special presentations on the School Resource Officer (SRO) program and the Bozeman Public Library Summer Learning Program.

Consent Calendar

• Consent 1 (Items 1–22): Approved unanimously (5–0). No public comment.
• Consent 2 (Item 2): Approved 4–1 (Commissioner Sweeney dissenting). No public comment.

Public Comments & Testimony

• Roger Blank (Bozeman resident): Criticized the commission for rejecting an interim preservation code, stating that over 70 demolition permits for historic structures are pending. He urged the commission to prioritize historic preservation and take leadership from Commissioner Sweeney.
• Jason Beatty (Queer Bozeman & Bozeman Pride Planning Committee): Thanked the commission for support and invited participation in Bozeman Pride, noting 33 events over two weeks, Pride in the Park on June 6 with over 70 businesses and 32 sponsors.
• Cindy Smith (Bozeman resident): Raised concerns about HRDC's use of public funds, alleging retaliation against a whistleblower, mishandling of disability accommodations, and legal tactics to avoid accountability. She requested the commission formally acknowledge her complaints, identify city responsibility, and provide a written response.
• Bob Muldowney (Bozeman resident): Argued for terminating the downtown Tax Increment Finance (TIF) district, stating it diverted $2.97 million in property taxes in FY2025. He claimed developers no longer need incentives (e.g., $372,000 hotel incentive) and that funds could boost police staffing (currently 76 officers vs. FBI average of 1.65 per thousand). He proposed satisfying the 2020 downtown URD bond with $2.1 million from existing fund balance, which would free up $2.4–4.9 million for public safety.

Proclamation

• Pride Month Proclamation: Mayor Joey Morrison proclaimed June as Pride Month in Bozeman, recognizing the Stonewall Uprising and commitment to dignity and non-discrimination. The proclamation was presented to Queer Bozeman representatives.

Special Presentations

• School Resource Officer (SRO) Program: Sergeant Scott McCormick presented an overview of the program, which includes four SROs and one sergeant covering eight schools. The program follows the NASRO triad model (educator, counselor, law enforcement). Highlights: K9 Copper helped clear a bomb threat at Bozeman High and located a firearm used in a homicide; a diversion program handles 100–150 juveniles per year, keeping them out of formal probation; SROs generate over 2,000 calls and 500 cases per school year. The school district funds half of the SRO salaries. Commissioner Bodie praised the program.
• Bozeman Public Library Summer Learning Program: Director Susan Gregory presented a new intergenerational “Library Scout” badge program. Noted that 33% of incoming kindergarteners did not meet early literacy goals in 2025, with 49% of those being multilingual learners or from low-income households. The library offers free summer lunch daily (funded by the Library Friends & Foundation), Symphony Storytime (often 150 attendees), and other literacy activities. Mascot “Big Scout” was introduced.

Discussion Items

• Budget Work Session – Enterprise Funds & Special Assessments: Finance Director Melissa Hodnet and City Manager Chuck Winn presented the recommended budget for the 2027 biennium. Total appropriations are $609.2 million ($80.1 million in reserves). Enterprise funds include water, wastewater, stormwater, solid waste, and parking. Special assessment districts cover street maintenance, arterial/collector streets, forestry tree maintenance, and parks/trails. Proposed rate/assessment increases:
  • Water: 9% per year (approx. $4.80/month typical homeowner)
  • Wastewater: 3% per year (approx. $1.60–1.75/month)
  • Stormwater: 15% first year, 6% second ($0.75–$0.33/month)
  • Solid waste: 4% per year (less than $0.83/month)
  • Street maintenance: 8% first year, 6% second ($2.00–$1.67/month)
  • Forestry tree maintenance: 15% first year, 8% second ($0.42–$0.25/month)
  • Parks & trails: 15% per year (exact dollar not stated for typical homeowner)
  • Arterial/collector: 3% per year
  • Parking fund: healthy, no rate increases proposed
• Key drivers: large capital projects (Lyman tank $17M, municipal groundwater project $10M), deferred maintenance catch-up, new shops complex design ($8M), inflationary pressures, and additional staff positions (communication specialist, facilities worker, utility billing specialist, two street operators in FY28).
• Discussion points: Commissioner Magic asked about shifting more burden to higher water use tiers; staff noted a cost-of-service study is underway. Commissioner Sweeney inquired about fluoride in drinking water; staff confirmed Bozeman is the only Montana city adding fluoride, costing ~$20,000–30,000 per biennium and requiring capital for tank rehab. City Manager Winn committed to a community conversation on fluoride. Commissioner Bodie asked about ADA accessibility funding; staff said opportunities exist across multiple funds and will explore during transportation discussions. Deputy Mayor Fisher expressed support for stewardship and transparency, noting the city’s 41-year financial reporting award. Commissioner Magic noted the catch-up was anticipated after pandemic-era freezes.

Key Outcomes

• No formal votes were taken on budget items.
• The commission directed staff to:
  • Explore the feasibility of tiered water rates to potentially reduce burden on low-use customers.
  • Initiate a community conversation about discontinuing fluoride addition to water supply.
  • Identify and present opportunities for ADA accessibility improvements across funds.
• The next budget work session is scheduled for June 23, 2026, covering the general fund and other special revenue funds. Final adoption is targeted for July 9, 2026.
• The commission acknowledged the staff’s work and the importance of maintaining service levels and infrastructure investment despite growth pressures.