Bozeman City Commission Regular Meeting – August 18, 2026

The Bozeman City Commission held a regular meeting on August 18, 2026, beginning at 6:00 PM and adjourning at approximately 10:20 PM. The agenda included a large consent calendar, action items on property tax mill levies, utility rates, special district assessments, and a resolution to add transportation safety to the city's strategic plan. The commission heard extensive public comment, including concerns about tax burdens and the equity of special district assessments.

Consent Calendar

• The commission unanimously approved all 18 consent items (H1–H18), including:
  • Accounts payable claims
  • Grant agreement with Greater Gallatin United Way for the Kinside Child Care Platform (43 licensed providers and 185 parents already using the platform)
  • Subrecipient agreement with Montana League of Cities and Towns for HUD Pro Housing 2 funds to comply with MLUPA ($313,000 reimbursement)
  • Final plat for Jarrett Phase 1 Major Subdivision
  • Professional services agreements for the Water Reclamation Facility solar project, City Hall parking lot replacement, library children’s room renovation, historic preservation services, Streamline bus service, and others
  • Creation of Special Improvement Lighting District 799 and police officer appointments

Public Comments & Testimony

• Kimberly Hall (Greater Gallatin United Way) expressed gratitude for the child care platform investment.
• Mark Campanelli (Bogert Park neighbor) urged the city to report solar production data and maintain solar assets; later commented on traffic safety and tax assessment equity.
• Gary Gillacson (404 South Church) encouraged the city to pursue the federal building for office space, citing recent renovations.
• Judge Karolina Tierney thanked the commission for funding a citation import system for the municipal court.
• Vicky Danhoff (resident since 1972) strongly opposed the 20% tree assessment increase, stating that fixed-income residents cannot absorb such hikes.
• Paul Johnson (Westridge resident) criticized the tree assessment because his property has no trees and questioned city responsiveness to maintenance issues.
• Jeff Paul (323 South Wallace) challenged the square-footage-based assessment methodology, arguing it unfairly burdens multi-unit properties.
• Danielle Smith (property owner) urged the commission to slow tax and fee increases, noting the cumulative effect on household budgets.
• Emily Tolego (resident) provided technical suggestions on correcting assessment schedules and recommended authorizing staff to adjust the Schedule A after adoption.
• Ben Bisher (Gallatin Watershed Council) announced an upcoming riparian walk on August 27.
• Daniel Cardi (resident) supported transportation safety priorities and suggested clarifying micromobility language.

Discussion Items

• J2 – MSU Water/Wastewater Impact Fee Agreement (unanimous): Staff presented an update to the declining balance program, which allows MSU to offset impact fees through water conservation. Since 2018, MSU has built 10 buildings under the program, reducing net water demand. One amendment clarified reconciliation provisions. Commission praised MSU's conservation efforts.
• J3 – Property Tax Mill Levies FY27 (unanimous): Finance Director Melissa Hodnett presented the budget outlook. The city saw a 6.9% increase in taxable value but lower-than-expected newly taxable value ($3.3 million vs. projected $6.4 million). The recommended maximum levy (4.5 mills) would result in a $126 annual decrease for a typical primary residence, with an overall monthly increase of $14.89 (5.5%) when combined with fee increases. The levy supports $1 million/year for community housing, $400,000 for Streamline, and $350,000 for HRDC/Family Promise/Haven. Commissioners debated the use of general fund for community partners, but the motion passed unanimously.
• J4 – Planning Fee Schedule FY27 (unanimous): A 15% increase on planning fees, the third consecutive annual 15% increase. The fee study is underway; staff noted that current fees cover only a portion of costs, with a $2 million annual general fund subsidy. Some commissioners expressed concern about impacts on small projects but supported the increase.
• J5 – Transportation and Engineering Fee Schedule FY27 (unanimous): A 15% increase on permits, with floodplain permit fees rising significantly to reflect actual review costs. Street closure fees vary by event size; block parties usually exempt. Commissioners highlighted the need to balance cost recovery with community events.
• J6 – Water, Wastewater, Stormwater, Solid Waste Rates FY27–28 (unanimous): Rates increased due to the SHOPs complex ($84 million project) and catching up from years of flat rates. The overall homeowner impact was reduced from earlier projections: $14.89/month in FY27 and $19.89/month in FY28. Tiered billing for water conserves use. Commissioners acknowledged the burden but noted long-term necessity.
• J7–J10 – Special District Assessments (arterial/collector +3%, tree maintenance +20%, street maintenance +15%, parks and trails +23%): Each passed 3–1 (Commissioner Sweeney dissenting). The dissenting vote cited inequitable square-footage caps (15,000 sq ft residential cap) that disproportionately benefit large apartment complexes, arguing that the methodology must be updated. The majority voted to maintain service levels, with staff committing to a methodology review work session in January 2027. Key amounts: tree increase is $6.48/year for average homeowner; parks increase is $50.92/year.
• J11 – Transportation Safety Strategic Plan Amendment (unanimous): Commissioner Magic proposed adding “safe” to the plan’s language and separating transportation from housing. The new section 4.6 includes enhanced non-motorized transportation, safe streets for everyone (physical, policy, policing, promotion), and updating the transportation master plan with four human-life-first priorities. An amendment to add support for an “efficient and effective public bus system” failed 2–2 (needed 3 votes) and was withdrawn.

Key Outcomes

• Consent Agenda (H1–H18): Approved unanimously.
• J2 (MSU Agreement): Approved unanimously.
• J3 (Property Tax Mill Levies): Approved unanimously; levies set at maximum authorized (4.5 mills).
• J4 (Planning Fees): Approved unanimously; 15% increase.
• J5 (Transportation/Engineering Fees): Approved unanimously; 15% increase.
• J6 (Utility Rates): Approved unanimously; water/wastewater/stormwater/solid waste rates set for FY27–28.
• J7 (Arterial & Collector Assessments): Approved 3–1 (Sweeney no).
• J8 (Tree Maintenance Assessments): Approved 3–1 (Sweeney no).
• J9 (Street Maintenance Assessments): Approved 3–1 (Sweeney no).
• J10 (Parks & Trails Assessments): Approved 3–1 (Sweeney no).
• J11 (Transportation Safety Resolution): Approved unanimously; authorizes staff to update the strategic plan.
• The commission authorized the city manager to adjust Schedule A for special district assessments as needed before final submission to the county.