Kalispell Council balks at higher health tax levy

The Kalispell City-County Health Department's budget is not getting the unquestioning support of the Kalispell City Council this year.

Because the city did not receive the county's request for 5.59 mills in property taxes until the 11th hour, and because that number came with no explanation of why it is more than last year's request, council members voted 5-3 Monday night to contribute only as many mills as last year - which they were told was 5.34 mills.

In a second vote, the council vote was split by the same margin on whether to contribute that amount at all.

But on Tuesday, new information surfaced that forces a special meeting of the council next Monday night.

First, the 5.34-mill levy is from two years ago, Finance Director Amy Robertson said Tuesday. Last year's levy was 5.61 mills, which raised $204,804 as Kalispell's share of the overall city-county health budget.

The 5.59 mill tax on Kalispell residents this year would raise $212,300 for the health department, which provides services to Kalispell through the county health department.

Also, Robertson said on Tuesday, the county urges the city to adopt the same number of mills it levies - 5.59 mills this year - because the city-county health department is an equal partnership. Tax money raised from the combined mill levies this year would total just under $994,200. In addition to that money, the county receives grants and other revenue to meet the rest of its budget needs.

County Health Department Director Joe Russell will be on hand at Monday's special meeting to explain the department's budget and answer questions.

But at Monday's council meeting - before Tuesday's changes - council member Tim Kluesner wanted to know why there was an increase in the levy.

"Because the county adopted what they can levy," Kalispell Finance Director Amy Robertson answered, "and we just propose what they ask."

Ongoing changes from the state Department of Revenue meant that the county's property valuations were revised two or three times this year, Robertson explained, and it didn't calculate mill values until the end of last week.

In turn, it was 10 a.m. Monday before the county forwarded the number to the city.

Although she had repeatedly asked for a budget book from the county during recent months, Robertson said, she received no book and no accompanying rationale for increasing the budget.

That's not good enough, Kluesner objected.

"In the past, Joe has come to explain" health department funding requests, council member Jim Atkinson said. "I tend to agree with councilman Kluesner. It would be helpful for us to have known ahead of time. But Amy didn't know," and the council has had no discussion on the request.

Robertson said the request came directly from the county's finance office, not Russell's department. Council members asked whether they could postpone the vote until Russell or a representative could appear at the council meeting with an explanation.

Tuesday was the deadline for Kalispell to submit its adopted levy back to the county and the county extended its own deadline until today. But the county will have to work with tentative answers until after next Monday's special meeting.

Council member Bob Hafferman objected to the county health department essentially giving themselves a raise when family and business budgets are tight.

"It's small, but it is a raise, and now is not the right time for this," Hafferman said.

Council member Duane Larson is the city's representative on the county health board, but illness has prevented him from attending meetings lately. Acting Fire Chief Dan Diehl, who sat in on the last meeting upon Mayor Pam Kennedy's request, reported there was no discussion on the budget at that session.

Kluesner asked if the city could adopt last year's levy instead of the new request, thereby forcing a special meeting where the county would need to give an explanation for what, at the time, council members thought was an increase. City Attorney Charles Harball said it was up to the council's discretion.

"They're putting our back up against the wall and that's not fair and that's not appropriate I don't think what they did is right," Kluesner said, adding that he was tempted to vote against the levy entirely.

Council member Hank OIson proposed reducing the levy from 5.59 mills to 5.34 mills, "rather than kill it," and council member Wayne Saverud seconded the amendment.

"The work of the health department is tremendous, and I don't want to put it in jeopardy just because of an oversight," Saverud said.

"I agree with you on the value of the department," Kennedy said. "A compromise motion would seem to be reasonable."

The vote on the amendment to lower the levy came in with Atkinson, Hafferman and Randy Kenyon voting against it and the remainder of the council favoring it.

The final resolution to approve the 5.34 mill levy drew "no" votes from Hafferman, Kenyon and Kluesner, but passed with the other five affirmative votes.

Reporter Nancy Kimball can be reached at 758-4483 or by e-mail at nkimball@dailyinterlake.com