Laurel City Council Workshop: Intervention Update, Jail Expansion, Budget Review – August 18, 2026

The City of Laurel held a workshop meeting on Tuesday, August 18, 2026, at 6:30 PM in Council Chambers. Council members heard legal advice on whether to intervene in Laurel Care's lawsuit, received public comment on the MLUPA process, hosted Yellowstone County officials advocating for a jail expansion bond, and reviewed the FY 2026-27 budget and a series of ordinances and resolutions. No formal votes were taken during the workshop.

Intervention Request Update

• Land use attorneys Susan Swimley and Tara DePoyter appeared by Zoom to update the Council on the intervention request by Liz Forster, attorney for Laurel Care, concerning the city's possible intervention in the lawsuit against the State of Montana.
• They said only one of the three counts, the claim that the state's environmental assessment (EA) did not meet the MEPA standard, was potentially relevant to the city; the other counts were about public participation and the city would not have standing on them.
• The city did not comment directly on the draft EA, and the administrative record before the court is now closed; the attorneys said it would be very difficult or extremely unlikely that the city could add new information if it intervened.
• The court did not issue a temporary restraining order, but held a preliminary injunction hearing on August 10, 2026, and is weighing whether to stop or delay construction while the case proceeds.
• If the city sought permissive intervention, the state would likely oppose it, adding expense; there would also be possible exposure to damages or attorney fees if the court required a bond.
• The state's statement that it could pursue condemnation if annexation does not proceed was described by the attorneys as premature and not part of the current case.
• Council members asked about the annexation moratorium, emergency services, and the city's ability to bring its own future claim; the attorneys said the city's engineering study on water supply and pressure is the most important step it can take now.
• Public comment: Elizabeth Gill of Laurel said the city has more at stake than Laurel Care, expressed frustration that the city and school board have leaned on a volunteer special interest group, and suggested cutting the CAO salary. Laura Kirschman said the mayor and council members did speak at hearings, though not specifically about the EA, and argued the city is the expert that should be at the table.

MLUPA Update

• No formal staff update was presented; public comment focused on the Montana Land Use Planning Act (MLUPA) process.
• Laura Kirschman said the Interstate Engineering survey had received only about 200 responses, requested paper copies and a deadline extension, and asked about live-streaming city-county planning board meetings. She also questioned the cost of the Interstate Engineering contract and criticized the CAO's performance.
• Shauna Hopper said the meeting audio feed was terrible and that members of the public could not hear what was happening.
• Jen Lorenz said Megan at the farmers market is willing to help gather renter input and paper survey responses.

Yellowstone County Jail Expansion Project

• A delegation from Yellowstone County and Safe and Secure Yellowstone County presented the proposed jail expansion, including Commissioner Mike Waters, County Attorney Scott Twido, former Billings Mayor Bill Cole, and former Billings Council Member Jennifer Owen.
• Commissioner Waters said the Yellowstone County detention facility has a rated capacity of 434 beds and currently holds 669 inmates. The proposal is a $175 million, 20-year bond supported by a $20 million operating levy, adding 332 beds (320 cell beds and 12 medical/mental health beds) plus shelled space for up to 512 beds.
• County Attorney Twido said a jail is the central hub of local public safety and that law enforcement needs the power of arrest; he invited council members to tour the facility.
• Bill Cole said there are more than 14,000 outstanding warrants issued in the last five years, theft incarceration is down 80% since 2010, and the cost to a median $400,000 home would be roughly $250 per year. He said both the bond and levy must pass together, alternatives were studied and rejected, and failure could lead to an ACLU lawsuit and loss of local control.
• Jennifer Owen described two years of study, including a unified arraignment court, a warrant court, a short-term holding facility, and investments in prevention and diversion. She said the short-term holding facility has allowed officers to make about 10 to 30 more arrests per night, but those gains were not enough to solve overcrowding.
• In response to questions, presenters said the jail population includes roughly 50 to 100 state prisoners waiting transfer, about 35 federal prisoners, and six to twelve prisoners from other counties. Violent offenders make up about 40% of the population, and roughly 70 to 79% are held on felony charges. They also noted that as few as 10 to 12 uniformed officers may be on duty at night, producing a ratio of about one officer to 60 inmates at high population levels.
• Public comment: Shelley White opposed the proposal, saying Laurel taxpayers are already taxed heavily and she would not vote for more county money. Elizabeth Gill asked for breakdowns of violent and nonviolent offenders. Laura Kirschman said the expansion is needed but questioned contracts with outside counties. Jen Lorenz asked whether it was just a band-aid and whether outside users could pay facility fees; presenters responded that emptying all state, federal, and other county prisoners would still leave the jail overcrowded.

Executive Review and Budget Items

• Annexation moratorium ordinance: The Council discussed a longer-term moratorium on annexation applications through about September 2027, not an emergency moratorium. The mayor said the city will not process annexation applications while the water capacity and infrastructure study is underway. Public comment from Jen Lorenz supported the moratorium.
• Budget amendments for FY 2025-26: The city needs to close out the prior year budget, including federal equitable sharing funds, a Fire Department DNRC grant and donations, and an airport authority pass-through.
• Final FY 2026-27 budget: Staff said total mills decrease but the city has about $54,000 more than last year. The compensation proposal would give 23 non-bargaining unit employees a $3,000 lump sum instead of a percentage raise; 17 would receive more than a 4% raise, six would receive less, the first-year cost is about $5,370 more, and the city would save about $111,000 over three years. Firefighters would receive an increased hourly response rate and pay for training time.
• Public comment on the budget: Elizabeth Gill suggested increasing council member pay so members can take time for constituent work, and asked whether the city had reviewed all expenditures such as take-home city vehicles. Police Chief Jared Anglin said the only take-home vehicle in the police department is the canine officer's vehicle; his command car stays at the station.
• The tax levy and special district resolutions, including lighting districts, street sweeping, street maintenance, sidewalk districts, garbage districts, and delinquent water and sewer charges, were reviewed without significant discussion. Councilmember Edgeman asked whether the lighting district lights are solar and was told they are not. Note: agenda item 7 lists the tax levy as for the fiscal year beginning July 1, 2025, while the surrounding items are for FY 2026-2027; this discrepancy was not discussed.
• School Resource Officer agreement: Police Chief Anglin said the contract with Laurel Public Schools funds two SRO positions and is renewed annually with updated wages. Public comment praised Officer Ryan at the elementary school.
• Other resolutions: The Council reviewed agreements for public transportation with Allies in Aging, creation of two temporary driver positions not to exceed 12 months for FY 2026-27, and managed network services with Systems Technology Consultants.

Key Outcomes

• No formal votes were taken; the workshop was for discussion and review.
• The Council did not decide whether to join the Laurel Care lawsuit. Legal advice directed the city toward completing the water and infrastructure engineering study and waiting for the state's next action.
• The FY 2026-27 final budget and related levies/resolutions are expected to come back for council action; staff invited council members to submit questions before the next meeting.
• Jail expansion supporters asked council members to sign individual letters of support and offered jail tours; they did not request an official city endorsement or use of public resources.
• Upcoming meetings and announcements: an emergency services meeting is scheduled for August 24 at 6 p.m., a city-county planning board meeting is scheduled for August 19 at 6 p.m., and announcements were made about Rock the Block, an Americans for Prosperity community meeting at the Carlton, jail tours, and a request to place the Laurel STEAM Park memorandum of understanding on the next agenda.