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HomeMy WebLinkAboutCity Council Packet 05.13.2025 AGENDA CITY OF LAUREL CITY COUNCIL MEETING TUESDAY, MAY 13, 2025 6:30 PM COUNCIL CHAMBERS WELCOME . . . By your presence in the City Council Chambers, you are participating in the process of representative government. To encourage that participation, the City Council has specified times for citizen comments on its agenda -- once following the Consent Agenda, at which time citizens may address the Council concerning any brief community announcement not to exceed one minute in duration for any speaker; and again following Items Removed from the Consent Agenda, at which time citizens may address the Council on any matter of City business that is not on tonight’s agenda. Each speaker will be limited to three minutes, unless the time limit is extended by the Mayor with the consent of the Council. Citizens may also comment on any item removed from the consent agenda prior to council action, with each speaker limited to three minutes, unless the time limit is extended by the Mayor with the consent of the Council. If a citizen would like to comment on an age nda item, we ask that you wait until the agenda item is presented to the Council by the Mayor and the public is asked to comment by the Mayor. Any person who has any question concerning any agenda item may call the City Clerk -Treasurer's office to make an inquiry concerning the nature of the item described on the agenda. Your City government welcomes your interest and hopes you will attend the Laurel City Council meetings often. Pledge of Allegiance Roll Call of the Council Approval of Minutes 1. Approval of Minutes of April 22, 2025. Correspondence 2. Police Monthly Report - April 2025. 3. Burwell Thank You Card 4. Fire Monthly Report - April 2025 5. Floodplain Permit Correspondence 6. Beartooth RC&D Correspondence May 2025 Council Disclosure of Ex Parte Communications Public Hearing Consent Items NOTICE TO THE PUBLIC The Consent Calendar adopting the printed Recommended Council Action will be enacted with one vote. The Mayor will first ask the Council members if any Council member wishes to remove any item from the Consent Calendar for discussion and consideration. The matters removed from the Consent Calendar will be considered individually at the end of this Agenda under "Items Removed from the Consent Calendar." (See Section 12.) The entire Consent Calendar, with the exception of items removed to be discussed under "Items Removed from the Consent Calendar," is then voted upon by roll call under one motion. 7. Claims entered through May 9, 2025. 8. Approval of Payroll Register for PPE 4/27/2025 totaling $262,821.61. Ceremonial Calendar 9. Poppy Day Proclamation Reports of Boards and Commissions 10. Budget/Finance Committee Minutes of April 22, 2025. 11. Public Works Committee Minutes of April 21, 2025. 1 12. Laurel Airport Authority Minutes of December 3, 2024. 13. Emergency Services Committee Minutes of March 24, 2025. Audience Participation (Three-Minute Limit) Citizens may address the Council regarding any item of City business that is not on tonight’s agenda. Comments regarding tonight’s agenda items will be accepted under Scheduled Matters. The duration for an individual speaking under Audience Participation is limited to three minutes. While all comments are welcome, the Council will not take action on any item not on the agenda. Scheduled Matters 14. Resolution No. R25-29: A Resolution Of The City Council To Accept Studies Of The City’s Existing Water And Wastewater Rate Structures And Recommendations For Any Necessary Modifications To The Existing Rate Structures Prepared By Raftelis Financial Consultants, Inc., And Amending Previous Resolution No. R25-25. 15. Resolution R25-30: A Resolution Of Intent To Increase The City Of Laurel’s Water And Wastewater Rates And Charges To Become Effective On July 10, 2025, And Setting A Date And Time For A Public Rate Hearing. Items Removed From the Consent Agenda Community Announcements (One-Minute Limit) This portion of the meeting is to provide an opportunity for citizens to address the Council regarding community announcements. The duration for an individual speaking under Community Announcements is limited to one minute. While all comments are welcome, the Council will not take action on any item not on the agenda. Council Discussion Council members may give the City Council a brief report regarding committees or groups in which they are involved. Mayor Updates Unscheduled Matters Adjournment The City makes reasonable accommodations for any known disability that may interfere with a person’s ability to participate in this meeting. Persons needing accommodation m ust notify the City Clerk’s Office to make needed arrangements. To make your request known, please call 406-628-7431, Ext. 2, or write to City Clerk, PO Box 10, Laurel, MT 59044, or present your request at City Hall, 115 West First Street, Laurel, Montan a. 2 File Attachments for Item: 1. Approval of Minutes of April 22, 2025. 3 4 5 6 File Attachments for Item: 2. Police Monthly Report - April 2025. 7 Page 1 of 5 Total Calls Printed on May 1, 2025 [CFS Date/Time] is between '2025-02-26 00:00' and '2025-03-24 11:54' and [Primary Incident Code->Code : Description] All Code : Description Totals 10-15 : With Prisoner 0 0 : Abandoned Vehicle 17 17 : Agency Assist 47 47 : Alarm - Burglary 8 8 : Alarm - Fire 3 3 AMB : Ambulance 69 69 : Animal Complaint 8 8 : Area Check 1 1 : Assault 2 2 : Bad Checks 0 0 : Barking Dog 4 4 : Bomb Threat 0 0 : Burglary 2 2 : Child Abuse/Neglect 4 4 : Civil Complaint 9 9 : Code Enforcment Violation 6 6 : Community Integrated Health 3 3 8 Page 2 of 5 Code : Description Totals : Counterfeiting 1 1 : Criminal Mischief 4 4 : Criminal Trespass 6 6 : Cruelty to Animals 1 1 : Curfew Violation 4 4 : Discharge Firearm 1 1 : Disorderly Conduct 10 10 : Dog at Large 22 22 : Dog Bite 0 0 DUI : DUI Driver 3 3 : Duplicate Call 1 1 : Escape 0 0 : Family Disturbance 12 12 : Fight 2 2 FIRE : Fire or Smoke 7 7 : Fireworks 0 0 : Forgery 0 0 : Found Property 7 7 : Fraud 5 5 : Harassment 6 6 : Hit & Run 2 2 9 Page 3 of 5 Code : Description Totals : ICAC 0 0 : Identity Theft 1 1 : Indecent Exposure 0 0 : Insecure Premises 1 1 : Intoxicated Pedestrian 0 0 : Kidnapping 0 0 : Littering 2 2 : Loitering 2 2 : Lost or Stray Animal 7 7 : Lost Property 3 3 : Mental Health 2 2 : Missing Person 4 4 : Noise Complaint 1 1 : Open Container 0 0 : Order of Protection Violation 0 0 : Parking Complaint 13 13 : Possession of Alcohol 0 0 : Possession of Drugs 1 1 : Possession of Tobacco 1 1 : Privacy in Communications 1 1 : Prowler 0 0 10 Page 4 of 5 Code : Description Totals : Public Assist 32 32 : Public Safety Complaint 8 8 : Public Works Call 15 15 : Report Not Needed 4 4 : Robbery 0 0 : Runaway Juvenile 1 1 : Sexual Assault 2 2 : Suicide 0 0 : Suicide - Attempt 0 0 : Suicide - Threat 3 3 : Suspicious Activity 43 43 : Suspicious Person 5 5 : Theft 25 25 : Threats 2 2 : Tow Call 10 10 : Traffic Accident 14 14 : Traffic Hazard 9 9 : Traffic Incident 13 13 : TRO Violation 0 0 : Truancy 1 1 T/S : Traffic Stop 155 155 11 Page 5 of 5 Code : Description Totals : Unattended Death 1 1 : Unknown - Converted 0 0 : Unlawful Transactions w/Minors 0 0 : Unlawful Use of Motor Vehicle 0 0 : Vicious Dog 4 4 : Warrant 9 9 : Welfare Check 14 14 Totals 686 686 12 File Attachments for Item: 3. Burwell Thank You Card 13 14 File Attachments for Item: 4. Fire Monthly Report - April 2025 15 16 File Attachments for Item: 5. Floodplain Permit Correspondence 17 18 File Attachments for Item: 6. Beartooth RC&D Correspondence May 2025 19 EMPLOYEE HANDBOOK RECEIPT BEARTOOTH RESOURCE CONSERVATION AND DEVELOPMENT AREA, INC. I hereby acknowledge that I have had the opportunity to review the Employee Handbook containing the rules, regulations, and other policies and/or programs of my employment with Beartooth Resource Conservation and Development Area, Inc. This Employee Handbook supersedes any and all previous documents that may have been presented to me regarding rules and regulations at Beartooth Resource Conservation and Development Area, Inc. I understand that the statements contained in the Employee Handbook are not intended to be a contract for a specific term of employment. However, as a condition of employment, I understand and agree to conform to and comply with the rules and regulations as amended. I further understand that this Employee Handbook contains confidential business information and is not to be shared with anyone except employees of Beartooth Resource Conservation and Development Area, Inc. I also understand that I can report any act of sexual harassment to any company representative without fear of retaliation or job loss. Date Name (print) Signature 20 21 EMPLOYEE HANDBOOK FOR EMPLOYEES OF BEARTOOTH RESOURCE CONSERVATION & DEVELOPMENT AREA, INC. 22 INTRODUCTION WELCOME! The purpose of this Employee Handbook is to provide you with a complete summary of the rules, regulations and available benefits pertaining to your work assignments and work activity as an employee of Beartooth Resource Conservation and Development Area, Inc. (hereinafter known as BRCD) Please read the contents carefully. This Employee Handbook supersedes any and all previous documents pertaining to rules and regulations at BRCD. During the course of your employment, you will want to refer back to it when you have a question. This Employee Handbook is further intended to help you feel comfortable in your job and assist you in finding satisfaction in your job performance. Should you have any problem or concern relating to any action or situation affecting your work assignments or work conditions, please feel free to communicate your concerns. The Problem Resolution Procedure presented in this Employee Handbook is for the express purpose of helping you find a satisfactory resolution to any and all problems. We hope you find your work satisfying and rewarding. We look forward to a successful business relationship. EMPLOYEE HANDBOOK This handbook contains the rules and regulations for your employment relationship with BRCD. It is not intended to be a contract for employment between employee and BRCD. However, as a condition of employment, each employee agrees to comply with the rules and regulations herein or as may be amended. It is our intention to provide each employee with the proper understanding of his/her job and to help each employee satisfactorily perform in his/her job. 23 CONTENTS NON-DISCRIMINATION IN EMPLOYMENT .............................................................................................................................. 1 PROVISIONAL EMPLOYMENT ................................................................................................................................................... 1 PRODUCTIVITY/JOB SECURITY ................................................................................................................................................ 1 OUTSIDE EMPLOYMENT ............................................................................................................................................................. 1 FULL-TIME EMPLOYEE ............................................................................................................................................................... 1 PART-TIME EMPLOYEE ............................................................................................................................................................... 1 TEMPORARY EMPLOYEE ............................................................................................................................................................ 1 EXEMPT EMPLOYEE .................................................................................................................................................................... 2 EMPLOYEE WORK RULES .......................................................................................................................................................... 2 LAYOFF/REDUCTION IN STAFF ................................................................................................................................................. 2 REHIRE ............................................................................................................................................................................................ 2 RESIGNATION ............................................................................................................................................................................... 2 SCHEDULE OF WORK .................................................................................................................................................................. 2 FLEXIBLE HOURS ......................................................................................................................................................................... 3 MEAL PERIODS ............................................................................................................................................................................. 3 BREAKS .......................................................................................................................................................................................... 3 TARDINESS .................................................................................................................................................................................... 3 ATTENDANCE/ABSENTEEISM ................................................................................................................................................... 3 INFORMATION MEETINGS ......................................................................................................................................................... 3 PERSONAL INFORMATION ......................................................................................................................................................... 4 WAGE AND SALARY .................................................................................................................................................................... 4 PAY PERIOD/PAY DAY ................................................................................................................................................................ 4 TIME REPORTING ......................................................................................................................................................................... 4 OVERTIME ...................................................................................................................................................................................... 4 DEDUCTIONS ................................................................................................................................................................................. 4 PERFORMANCE EVALUATION .................................................................................................................................................. 5 BENEFITS........................................................................................................................................................................................ 5 EDUCATION ................................................................................................................................................................................... 5 RETIREMENT PLAN ...................................................................................................................................................................... 5 INSURANCE ................................................................................................................................................................................... 5 HOLIDAYS ...................................................................................................................................................................................... 5 VACATION ..................................................................................................................................................................................... 6 LEAVES OF ABSENCE .................................................................................................................................................................. 6 SICK LEAVE ................................................................................................................................................................................... 7 PARENTAL LEAVE ....................................................................................................................................................................... 7 MILITARY/LOCAL EMERGENCY VOLUNTEER LEAVE ........................................................................................................ 8 HOUSEKEEPING ............................................................................................................................................................................ 8 FIREARMS ...................................................................................................................................................................................... 8 ACCIDENT OR INJURY REPORTING ......................................................................................................................................... 8 ARRESTS or CITATIONS (REPORTING OF) ............................................................................................................................... 8 VISITORS ........................................................................................................................................................................................ 8 EQUIPMENT ................................................................................................................................................................................... 9 EQUIPMENT FAILURE/DAMAGE ............................................................................................................................................... 9 TELEPHONE/EQUIPMENT USAGE ............................................................................................................................................. 9 ALCOHOL/DRUGS ....................................................................................................................................................................... 10 RELATIVES (EMPLOYMENT OF) ............................................................................................................................................. 10 COMPUTER, INTERNET, E-MAIL, and SOCIAL MEDIA USAGE.......................................................................................... 10 TRAVEL ........................................................................................................................................................................................ 11 PURCHASES ................................................................................................................................................................................. 12 VEHICLE USE ............................................................................................................................................................................... 13 SOLICITATION............................................................................................................................................................................. 14 CUSTOMER CONFIDENTIALITY .............................................................................................................................................. 14 CUSTOMER RELATIONS ............................................................................................................................................................ 14 ORGANIZATIONAL CONFIDENTIALITY ................................................................................................................................ 14 REPRESENTATION OF SERVICES ............................................................................................................................................ 15 CONFLICT OF INTEREST ........................................................................................................................................................... 15 CODE OF CONDUCT ................................................................................................................................................................... 15 DISCIPLINE/TERMINATION ...................................................................................................................................................... 16 HARASSMENT/SEXUAL HARASSMENT ................................................................................................................................. 16 HARASSMENT HOTLINE ........................................................................................................................................................... 16 WHISTLEBLOWER POLICY ....................................................................................................................................................... 18 24 Page 1 Revised November 2023 NON-DISCRIMINATION IN EMPLOYMENT BRCD complies with federal and state laws regarding non-discrimination in employment. Applicants for employment are considered for employment and employees shall hold their employment without discrimination because of their race, color, religion, national origin, age, sex, disability/handicap, or marital status as required by law, except when reasonable business demands so require and such distinction is required by law. In no event shall the hiring of any employee be considered as creating a contractual agreement or specified time period of employment. PROVISIONAL EMPLOYMENT For each new employee and each employee who is promoted and/or moved to a new position, the first ninety- (90) days are a probationary period. This period is established as a time of adjustment for you to learn the job requirements and work rules. During this time you may be terminated with or without cause provided it does not violate Equal Employment Opportunity rules or a protected class. BRCD reserves the right to extend the provisional period up to an additional nine (9) months. PRODUCTIVITY/JOB SECURITY Job availability is dependent upon the ability of BRCD to meet the needs of our customers, and upon the continuation of funding sources including sponsoring entities and grant sources. All employees have the responsibility for quality and productivity. As long as business is healthy and the competitive position of BRCD remains strong, job security should be enhanced. People are employed because they have skills that are needed to produce and distribute products and services that our customers demand. Unless these skills are properly used quality, productivity and job security diminish. OUTSIDE EMPLOYMENT Due to the nature of the business and the professional liability that may accrue, you must give your primary attention to the work of BRCD. Employees are permitted to work for outside employers or engage in their own commercial endeavors provided that it is disclosed, does not interfere with job performance, is not direct competition or would pose a conflict of interest with BRCD, or would reflect poorly on BRCD. FULL-TIME EMPLOYEE A full time employee is one who works an annual average of forty (40) hours per week. A full- time employee is eligible for benefits. PART-TIME EMPLOYEE A part-time employee is one who works an annual average of less than forty (40) hours per week. A part-time employee may be eligible for a prorated benefits package provided the carrier has the ability to do so. TEMPORARY EMPLOYEE A temporary employee is one who is employed, full-time or part-time, for a specific job assignment with limited duration or during certain periods of time depending upon the demand of work as determined by BRCD. A temporary employee is not eligible for benefits. Formatted: Highlight 25 Page 2 Revised November 2023 EXEMPT EMPLOYEE An exempt employee is an executive, administrative or professional employee who is exempt from minimum wage or overtime requirements. Unless otherwise stated aAll other employees are non- exempt. EMPLOYEE WORK RULES It is the policy of the BRCD that the following work rules will apply to all employees. Working hours are agreed to by the Executive Committee Board Chairman and will become part of the employee’s file. However, hours and days of work could vary according to the needs of the office. Employees are required to provide advance notice of the need to adjust their work schedule. The Executive Director General Manager shall act, on behalf of the Board Chairman, as the employees’ immediate supervisor and may exercise authority upon consulting the Board Chair, and effectively recommend hiring, suspension, promotion and raises. The BRCD program Directors will carry out management of their respective programs. The General Manager may seek information or recommendations from the program Directors on staffing decisions. LAYOFF/REDUCTION IN STAFF If a reduction in staff becomes necessary, the BRCD Board will give full consideration to skills, aptitudes and past work performance in determining work force adjustments. Seniority may be used as a determining factor in determining work adjustments REHIRE Employees who are separated from employment either voluntarily or involuntarily and then rehired within thirty (30) days of the lay-off date and who have previously completed the provisional employment period will be immediately reinstated for allowable benefits and benefit accrual. All other rehired employees will be classified as a new hire unless otherwise stated by Executive Committee. RESIGNATION A resignation is the voluntary decision of an employee to terminate his/her employment with BRCD. A notice of resignation two (2) weeks prior to the termination date is requested to be submitted to your supervisor. When resignation occurs, payment of final wages will be made at the time of the next regularly scheduled pay period or within 10 days of the resignation date, whichever is earlier. Upon resignation, prior to the disbursement of the final paycheck, employees are required to return any BRCD property they may have in their possession including but not limited to; Keys, access codes, hard-copy and digital files, computers, credit cards and any other office/field equipment. SCHEDULE OF WORK The normal scheduled work time is from 8:00 a.m. to 5:00 p.m officre hours are 8:30-4:30. The workweek is Sunday through Saturday. Work periods may vary from assignment to assignment and may require overtime. Each employee will be expected to work from Monday through Friday primarily unless stated otherwisedesignate a set workweek upon hire, which will be periodically reviewed and updated. Changes to the established workweek will be made by a memoin writing prior to the proposed change as defined in the employee work rules. Formatted: Highlight 26 Page 3 Revised November 2023 Each non-exempt employee is required to know his/her work schedule and be in attendance as assigned. Exempt employees are expected to meet the requirements of their job, which may necessitate varied hours of work in line with approved schedule of work. FLEXIBLE HOURS The General Manager is authorized to approve requests for ad hoc or temporary alternative work schedules (two weeks or less) to accommodate special circumstances related to business or personal requirements. Employees who need a longer term alternative arrangement of their work schedules and who are eligible by nature of their job may formally request a change in their working hours, days or weeks, which will determined when hired or be submitted to the Board Chairman for review. MEAL PERIODS An unpaid meal period is provided for employees who work eight (8) hour periods and will be at or near the middle of the work period. Meal periods must are optional and will be a minimum thirty (30) minutes in duration. Meal periods which require attention to work assignments will be counted as working time. BREAKS Fifteen (15) minute break periods are granted because we believe they result in good employee morale and increased productivity. Break periods are counted as working time and are therefore optional. They may be taken once in the morning and once in the afternoon. TARDINESS Reporting to work on time is required. "On-time" is defined as being properly dressed and prepared to begin work at the start of the scheduled work period. There will be no compensation for tardiness for non-exempt employees. ATTENDANCE/ABSENTEEISM Regular attendance is required. When it is necessary to be absent, you must notify your supervisor as far in advance as possible, prior to a scheduled work period. Irregular attendance, unexcused absences or unreported absences cause disruption to BRCD and are unacceptable. An unexcused absence is one in which an employee requests but is not granted time away from his/her assigned work schedule. An unreported absence is one in which an employee does not contact BRCD the day he/she is out. Irregular attendance is defined as unpaid absences but does not include a formal leave of absence. Two (2) unexcused absences or an unreported absence for a period of two (2) consecutive days may be considered as a voluntary resignation or may be a cause for disciplinary action. Irregular attendance exceeding twelve (12) days in a six- (6) month period is cause for disciplinary action. INFORMATION MEETINGS On certain occasions you may be required to attend meetings to receive training or information regarding workplace policies, board meetings, safety items, product and business information. Your supervisor 27 Page 4 Revised November 2023 will notify you of these scheduled meetings and you may be required, as part of your workday, to attend. You will be compensated at the appropriate rate of pay for any hours spent in these meetings. PERSONAL INFORMATION For accurate administration of your wages and benefits, and for compliance with Federal and State regulations, it is necessary that current and accurate personnel records be maintained. This information is also necessary in the event you must be reached for an emergency or available work. If there are changes, or if you are aware of any errors in your personnel records, please notify your supervisor immediately. Falsification of any personnel information is cause for termination. All personal information will be kept in confidence. WAGE AND SALARY You will receive a rate of pay commensurate with your job position. Consideration for pay adjustments will be at the sole discretion of the Board. Changes to compensation, including salary increases or bonuses, will be contingent on funding availability and satisfactory employee performance appraisals. At the discretion of BRCD, salary and/or classification surveys may be conducted to evaluate equity in compensation. PAY PERIOD/PAY DAY The pay period is monthly, from the 16th day of one month to the 15th day of the next month. The payday is the twentieth day of each month. Payroll advances are not available. TIME REPORTING All employees are required to complete daily time cards/sheets, as provided by BRCD. The purpose of the time card/sheet is to keep track of your time for management to compute eligibility and amount of pay and/or evaluation of job specifications and requirements. Actual hours worked must be recorded and cannot be based on estimates. Time cards/sheets must be filled out accurately and completely, signed and turned in for approval. It is your responsibility to have your time cards/sheets turned in to management no later than the fifteenth day of each month. Time cards/sheets received after that time may result in your pay being delayed to the next scheduled payday. Filling in or modifying another employee's time card/sheet is not permitted and is a cause for termination. OVERTIME For purposes of overtime pay, employees are classified as exempt or non-exempt. Exempt employees are not eligible for overtime pay. Non-exempt employees receive overtime pay for all hours worked over forty- (40) hours in a workweek. The overtime rate is one and one-half (1 1/2) times the base rate of pay. All non-exempt overtime must be approved in advance by management. Excessive logging of overtime, particularly unapproved overtime, will be cause for disciplinary action or even termination. DEDUCTIONS Each paycheck will have certain amounts deducted from the gross pay, which includes the following deductions required by law: a. State and Federal Withholding Tax 28 Page 5 Revised November 2023 b. Social Security Contributions (FICA) c. Workers' Compensation Tax (where applicable) d. Court Mandated Withholdings PERFORMANCE EVALUATION An evaluation of your work performance will be made on an annual basis or with frequent informal check ins and is for the express purpose of determining your standard of performance in relation to the job position requirements and work place rules and regulations. Performance evaluations canwill be a factor in the consideration of compensation depending on available funding. BENEFITS Various employee benefits may be available to you such as vacation, holidays, insurance programs, and Retirement Plan. Eligibility is dependent upon length of service, job classification, rate of pay, hours worked and standards set forth by the providers. Eligibility for benefits begins with your first day of employment. EDUCATION Each employee is encouraged to continue his/her professional education. Each employee is individually responsible for his/her own occupational qualifications. BRCD will seek opportunities to help the employees by sending them to appropriate training courses or seminars and approving the trainings depending of funding availability. RETIREMENT PLAN BRCD will match an employee’s contribution of up to 3% into a 401K plan. This retirement benefit will be maintained for employees that have been hired as permanent employees, both part time and full time INSURANCE Unemployment and Workers Compensation Insurance is provided, as required by law, and covers all employees. HOLIDAYS Full-time employees will receive the following paid holidays: One-half day before New Year’s, New Year’s Day, Thanksgiving Day, the day following Thanksgiving Day, one half day on Christmas Eve Day, and Christmas Day and all other recognized state or federal Holidays. Additional paid days off may be granted at the discretion of BRCD. Holiday pay will be provided to all employees on a prorated basis according to the employment status of the individual employee. (ie; a 60% employee would be paid 60% of an 8-hour day or 4.8 hours) On any occasion where a paid Holiday falls on Saturday, the holiday leave will be granted for the preceding work day. On any occasion where a paid Holiday falls on Sunday, the holiday leave will be granted for the next work day. 29 Page 6 Revised November 2023 VACATION It is the policy of BRCD that each full-time employee shall earn annual vacation credits from the first day of employment. Annual leave cannot be earned while on leave-without-pay status, or on overtime hours. Vacation leave credits are earned at a monthly rate calculated according to the following schedules applying to the total years of employment with BRCD. For calculating vacation-leave credits for a full time employee, 2080 hours (52 weeks x 40 hours) shall equal one year. Permanent part-time employees are entitled to prorated annual vacation benefits. Prorated vacation time will be based on the amount of hours worked. An employee whose employment is terminated with the BRCD for any reason shall be entitled to cash compensation for unused vacation based on their salary at the time of termination. Annual vacation leave may be accumulated to a total not to exceed two times the maximum number of days earned annually. Annual leave time in excess of the maximum is not forfeited if it is taken within 90 calendar days from the last day of the calendar year in which the excess was accrued. The dates when an employee’s annual vacation leave can be taken shall be determined by agreement between each employee and their immediate supervisor. BRCD reserves the right to alter vacation schedules due to BRCD work demands. LEAVES OF ABSENCE After completion of one year of employment an unpaid leave of absence, not to exceed ten (10) working days may be granted for reasons of bona fide illness or for other reasons mutually agreed upon with BRCD. Leaves must be requested in writing and shall state the reason for the leave and the dates desired. Benefit contributions and benefit accruals will be suspended during leaves. Upon expiration of the leave, or upon notification to BRCD of your intent to return, you will be returned to the next available job opening in your classification. If you do not report upon the expiration of the leave, or any extension authorized by BRCD, you shall be considered as having voluntarily given your resignation. • See military/local emergency volunteer leave of absence policy • State law shall govern a maternity leave of absence • Family leave is governed by Federal law and may require 30-day advance notice 30 Page 7 Revised November 2023 SICK LEAVE It is the policy of BRCD that all permanent full-time employees earn sick leave at the rate of one day per calendar month of employment without restrictions to the number of days that may be accumulated. Permanent part-time employees are entitled to prorated accumulation of sick leave. Sick leave credits are earned from the first day of employment, but employees are not entitled to take paid sick leave until they have been continuously employed for ninety days. Sick leave cannot be earned while on leave-without-pay status. Employees may take sick leave, aside from personal illness, for the following reasons: the illness of an employee’s immediate family member; a death of an employee’s immediate family; attendance at a funeral of a fellow employee or a personal friend; and for dentist and doctor appointments. An employee on sick leave shall inform the Supervisor as soon as is reasonably possible. Sick leave is a valuable privilege intended to prevent loss of income. If abuse of sick leave is suspected, the supervisor may request a valid doctor’s verification of illness or injury. An employee who has been unable to work due to illness or accident may be required, before being permitted to return to work, to provide medical evidence that he/she is again able to perform all significant duties of the position in a competent manner, without hazard to himself/herself or others. Sick leave charges and credits shall be charged to the nearest one half hour. Sick leave charges in excess of earned sick leave credit may be charged to earned and available annual leave. Employees covered by the Worker’s Compensation Act are entitled to benefits administered by the Industrial Accident Board when they suffer injury or illness as a result of their employment. An employee may elect to use his accrued sick leave credits to supplement his Worker’s Compensation payments. Any holiday which falls during a period that an employee is on sick leave, will not be charged against sick leave credits. Employees who terminate employment with BRCD for any reason are entitled to a lump sum payment equal to one-fourth of the time attributed to the accumulated sick leave, based on the current salary of the employee at termination. PARENTAL LEAVE BRCD is committed to complying with the following in regards to our parental leave policy: Title VII of the 1964 Civil Rights Act as amended by the Pregnancy discrimination Act of 1978; Family and Medical Leave Act; Americans with Disabilities Act; and applicable state and local family leave laws. 31 Page 8 Revised November 2023 Employees are entitled to up to eight weeks of unpaid parental leave. Paid annual and sick leave may be substituted for unpaid parental leave in accordance with other provisions in this manual. This leave may be taken either by the father or mother. When the employee returns to work, she/he is entitled to return to the same or equivalent job with no loss of service or other rights or privileges. Should the employee not return to work when released by the physician, she/he will be considered to have voluntarily terminated employment with BRCD. MILITARY/LOCAL EMERGENCY VOLUNTEER LEAVE It shall be the policy of BRCD that all employees who are members of the Montana National Guard or who are members of the organized or unorganized reserve of the military forces of the United States and who have been employed by BRCD for a period of six months, shall be given leave with pay for a period of time not to exceed fifteen working days in a calendar year for attending regular encampments, training cruises, training programs, active duty. In regards to local emergency organizations, the employee is granted the same leave with pay benefit for reasonable periods of time to serve their community in emergency situations with approval of the executive committee. Such leave will not be charged against vacation or sick leave. JURY DUTY Employees are encouraged to accept civic responsibility. A leave of absence will be granted when you are called to jury duty or subpoenaed as a witness. Jury Duty leave applies to full-time and part-time employees. Compensation will be provided by the courts. Employees are allowed to use Paid Time Off if they would like to get paid time for jury duty. HOUSEKEEPING You are responsible for good housekeeping practices and for keeping your assigned work area clean. Good housekeeping is essential to a safe, clean and pleasant work atmosphere and includes proper disposal of trash or waste materials. FIREARMS Possession of firearms, handguns or any related items or materials while performing job duties or while on BRCD premises or vehicles is prohibited. Violation of this policy may lead to suspension or termination. ACCIDENT OR INJURY REPORTING If you are injured on the job, or involved in an accident involving BRCD equipment, you must report the accident immediately (on the same work shift). ARRESTS or CITATIONS (REPORTING OF) All arrests or summons for legal violations while on BRCD business and/or while operating BRCD equipment must be reported immediately to your supervisor. Failure to report will result in disciplinary action being taken. Personnel infractions regarding fiscal or fiduciary offenses will be taken seriously by the Executive Committee. VISITORS Visitation is to take place in the break room, reception area or individual office of person receiving the visitor. Excessive interruptions by visitors are grounds for disciplinary action 32 Page 9 Revised November 2023 including termination. Visitors are not allowed on external job sites due to liability and safety considerations. Employees are asked to consult with the job site supervisor in the event an emergency necessitates a visit. EQUIPMENT Capital Equipment as defined by the OMB is “tangible nonexpendable personal property having a useful life of more than one year and an acquisition cost of $5,000 or more per unit.” All capital assets are recorded at historical cost as of the date acquired. The acquisition cost includes installation charges and freight. All costs associated with making the asset serviceable are capitalized. Invoices substantiating the acquisition cost of each unit of property shall be retained for a minimum of three years. Equipment with an economic useful life of 12 months or less are expensed for financial statement purposes, regardless of the acquisition or production cost. Equipment acquired with external support becomes the property of the organization unless restricted by the funding organization. The organization will obtain prior approval from the awarding agency prior to purchasing capital equipment. In order to ensure the proper receipt and tracking of equipment, the organization tags all equipment at the time of acquisition and performs a physical inventory of equipment purchased with grant funds at least every two years. The organization verifies the existence and condition of the equipment and the accuracy of records related to equipment. The organization establishes maintenance procedures and records of the operational condition of equipment. The Executive Director is notified of condition, location, loss or damage to equipment who then notifies appropriate Federal agency. Records are submitted to the Executive Director for review and approval. The organization maintains records tracking equipment including description, serial number, source of funding (including the Federal Award Identification Number, or FAIN), percentage of federal participation in the cost of the equipment, title holder, acquisition date and cost, location, use and condition status, and disposition data. This information is maintained by the Executive Director. EQUIPMENT FAILURE/DAMAGE/DISPOSAL Damage or needed repair of BRCD equipment must be reported immediately to the supervisor. Violation of this requirement is cause for disciplinary action. Request disposition if an item purchased with grant funds is determined to be obsolete, and the item’s value exceeds $5,000. If it meets these criterionscriteria, disposition rules are followed. This may include requesting disposition instructions from the awarding agency. Disposition practice requires compensating the federal awarding agency for its proportion of the original cost applied to the fair market value. The Executive Director and Board Chair should be notified prior to the disposal of an asset purchased with federal funds. Supplies less than $5,000 are retained by granteethe grantee. TELEPHONE/EQUIPMENT USAGE Telephones and other BRCD equipment are furnished for the operation of the business. Telephone use for personal calls shall be kept to a minimum. No personal long distance calls are to be made and charged to BRCD. No personal use of other BRCD equipment is permitted without prior Formatted: Highlight 33 Page 10 Revised November 2023 approval by management. ALCOHOL/DRUGS Personal use, sale, purchase, transfer, or possession of alcohol, vaping, ormarijuana or any misused legal or illegal drug while performing job duties, while on BRCD grounds or in a BRCD vehicle is prohibited. The presence, in any detectable amount, of alcohol or any illegal drug while performing job duties or while on BRCD premises or in a BRCD vehicle is prohibited. Violation of this regulation is cause for discipline including termination. RELATIVES (EMPLOYMENT OF) Relatives of employees will not be employed into or assigned to jobs in which they have a direct or indirect working relationship with each other. COMPUTER, INTERNET, E-MAIL, and SOCIAL MEDIA USAGE Computers, computer files, internet access, the E-mail system, BRCD Social Media accounts and software furnished for employee use are the property of BRCD and intended for business use only. Employees are not to use a password, access a file or retrieve any stored communication without approval of the OfficeGeneral Manager. To insureensure compliance with this policy, computer and E-mail usage may be monitored. All emails and communications using BRCD corporate resources are the property of BRCD. BRCD strives to maintain a workplace free of harassment and therefore prohibits the use of computers and E-mail in ways that are disruptive, offensive to others or harmful to morale. The display or transmission of sexually explicit images, messages and cartoons is not permitted. Other such misuse includes but is not limited to, ethnic slurs, racial comments, off-color jokes or anything that may be construed as harassment or disrespect for others. BRCD Internet, E-mail and Social Media accounts may not be used for solicitation of commercial ventures, religious or political causes or other non-business matters. BRCD purchases and licenses the use of various computer software for business purposes and does not own the copyright to the software or its related documentation. Employees may only use the software on approved area networks or on multiple machines according to the license agreement. Illegal duplication of software and related documentation is prohibited. Employees areEmployees are required to notify their immediate supervisor upon learning of violations of this policy. 34 Page 11 Revised November 2023 TRAVEL Mileage and meal reimbursement will be made to employees using their own vehicle for business purposes in accordance set forth in the Personnel Policy. These rates will correspond to the allowable rates set by the Federal Government (gsa.gov). See BRCD Travel Policies and Procedures in the BRCD Employee Handbook for more information. 1. At the end of each month, the employee will submit an expense report (Exhibit B) indicating class and expense line item to bill to. The employee must sign the form. 2. Receipts must be attached to the expense report 3. The Financial Officer will verify the expense report and prepare a document for the Executive Director to sign, before travel reimbursements are issued. 4. Improper or incomplete expense reports will be returned to the employee for correction or completion. 5. Payment of the expense report will be in accordance with the procedures in the Cash Disbursements Procedures section of this manual. It is the policy of BRCD that employees representing BRCD on official business shall receive reimbursement for approved actual travel expenses, meals, mileage and incidental expenses not to exceed current Federal Per Diem reimbursement rates. BRCD corporate credit card may be used for approved expenses as an alternative to reimbursement. All charges must be supported by receipts. Mileage will be reimbursed based on the current Federal rate. Purchases of alcohol will not be reimbursed or purchased using the BRCD corporate credit card. If you are travelling representing BRCD business, BRCD will pay for your meal(s). If you possess a BRCD corporate credit card, you may use it to purchase your meal, or you may use your own funds and request reimbursement during the payroll cycle. Meals purchased for others require approval by the General Manager. Actual registration fees for approved conferences, workshops, and meetings shall first be approved and then either paid in advance or reimbursed to the person incurring them, provided a claim or reimbursement is supported by a receipt showing payment of the registration fee. • The Executive Director shall approve all travel expenses. • The Executive Director and the Executive Committee must review and approve advances in payment if requested. Expense advances may be approved by BRCD to offset any undue financial hardships on employees traveling on behalf of BRCD. • The Finance Director reviews all travel claims to ensure that the costs claimed and billed are associated with specific projects and programs. • Travel expenses are submitted by program directors, then reviewed by (1) Financial Director; (2) Executive Director; and (3) Executive Committee. The willful misrepresentation or altering of claims is unlawful and grounds for dismissal, and may result in the filing of criminal charges. 35 Page 12 Revised November 2023 PURCHASES To Prompt a Purchase: 1. When the normal cash disbursement procedure of invoice is not appropriate, a bill pay request is written and forwarded with any invoice or other documentation to the Executive Director for approval or denial. 2. In the absence of backup materials, receipts for the purchase must be provided to the Financial Officer for attachment to the bill pay request within two days from the check date. 3. Purchases with a value of $5,000 or more will require a minimum of two (2) formal written quotations from vendors. Orders will be placed based on the lowest or most appropriate and acceptable price quotation. Before a purchase is made, the appropriate committee must approve the purchase. Credit Card Purchases: Staff members must be authorized by BRCD to carry a BRCD credit card in his or her name. In every case of credit card usage, the individual charging a BRCD account will be held personally responsible if the charge is deemed personal or unauthorized. Each staff member with a BRCD credit card is required to complete a monthly credit expense tracking form (Exhibit C) indicating the class and expenses account for each charge. Receipts for expenditures must be attached to the form and submitted to the Executive Director for review. Authorized uses of the credit card include: ● Airline tickets (at coach class or lower rates) for properly authorized business trips. ● Lodging charges that do not exceed the authorized reimbursement rate for persons traveling on official BRCD business. ● Car rental charges (for mid-size or smaller vehicles) for properly authorized business trips ● Properly authorized expenditures such as computer software and office supplies. ● Receipts should be compiled and submitted citing the reason for the expense and which BRCD account is to be charged. The Financial Officer will reconcile all credit card charges to the monthly statement. ● Unauthorized use of the company credit card includes: o Personal or non-business expenditures of any kind o Expenditures which have not been properly authorized o Gifts or other expenditures which are prohibited by: ■ BRCD budget and/or policies ■ Federal, state, or local laws or regulations ■ Grant conditions or policies of the entities from which BRCD receives funds Proper Documentation for all Purchases, including BRCD Credit Card Purchases: Every instance of credit card or other purchase use must be documented with travel authorizations, receipts, invoices paid for, nature of business, etc. before the expense will be considered authorized and will be approved for reimbursement. See details below. Lodging - Employees must provide an itemized receipt from the hotel detailing every charge and the name of the person(s) for whom lodging was provided. Other Expenditures (i.e. supplies fuel, training materials, etc.)- Employees must provide a receipt from the vendor detailing every individual good or service purchased (including class of service for commercial transportation) accompanied by an explanation of the specific business purpose which was furthered by each expenditure. 36 Page 13 Revised November 2023 Capital Expenditures: For all major expenditures such as computers, furniture, audit services, printing services, etc. the appropriate committee must be notified before a purchasing decision is made if the amount will exceed $5000. There will be an analysis performed before any purchase/contract is in negotiation and or purchased. This will provide information of the most practical and economical choice. Consultants: Contracts with consultants will include rate and schedule of pay, deliverables, time frame, and other information such as a work plan, etc. Justification for payment should be submitted to file. For example, if BRCD hired a writer to create a publication, a copy of the final version should be included in the file. Contracts for Goods and Services: Contracts for purchasing products or services, similar to a purchase order, should be created and maintained for the file whenever appropriate. All contracts should be approved by the Executive Board. BRCD follows procurement procedures as specified in 2 CFR 200.317-200.326 Procurement Standards. Before a purchase is made, the staff member must use the purchasing checklist provided for the following: a) Procurements by states; b) General procurement standards; c) Competition; d) Methods of procurement to be followed (Thresholds determined by FAR at 48 CFR part 2, subpart 2.1) ; e) contracting with small and minority business, women’s business enterprises, and labor surplus or firms; f) domestic preferences for procurement; g) procurement of recovered materials; h) contract cost and prices; i) Federal awarding agency or pass-through entity review; j) bonding requirements; k) contract provisions. The Financial Officer will check the suspension and debarment list prior to the award of a contract. VEHICLE USE You may be required to operate a motor vehicle (either personally owned or BRCD provided) while performing your job duties. Your responsibility will include strict compliance with BRCD policy and all traffic regulations of the city, county and state. Anyone operating a vehicle on behalf of BRCD must possess a valid operator’s license and have proper insurance coverage. Any changes or restrictions regarding your license or insurance must be reported to BRCD. A review of your motor vehicle driving record may be performed annually. Non-BRCD personnel are to be allowed as passengers in the BRCD corporate vehicle for business purposes only. The vehicle must be driven by a current BRCD staff member. Accidents and/or traffic violations while on BRCD business must be reported immediately to management. Failure to report accidents and/or traffic violations is cause for disciplinary action and/or termination. Fines and/or penalties resulting from accidents or traffic violations are solely your responsibility and shall not be paid for by BRCD. Approved use of personal vehicle for official BRCD activity will be reimbursed of a rate not to exceed the current Federal reimbursement rate 37 Page 14 Revised November 2023 SOLICITATION BRCD prohibits solicitation, gambling, conducting a lottery, distribution, or similar activity on its premises. Employees and non-employees (except representatives of suppliers properly identified for normal business), are prohibited from soliciting funds or signatures, conducting membership drives, distributing literature or gifts, offering to sell merchandise or services. Employees’ wishing to conduct fund drives for charitable organizations or employee gifts must request permission from their supervisor. CUSTOMER CONFIDENTIALITY You are not to discuss or otherwise divulge any information concerning the business affairs of any customer of BRCD. Any action or expression by an employee considered objectionable by customers, prospective customers or your supervisor may be cause for disciplinary action including termination. CUSTOMER RELATIONS To preserve and foster the public's trust and confidence in BRCD, it is imperative that all employees act with complete honesty and fairness. You are expected to be knowledgeable about your job and applicable laws and regulations pertaining to your job. Whenever you have a question relating to applicable laws or regulations, you should seek out appropriate advice before acting. In dealing with the public, you are expected to exercise good judgment and common sense. Commitments to others should be made only if such commitments can realistically be met. In this regard, the products and services of BRCD should be presented accurately and fairly. If you should become aware of actual or potential problems in any area of the business of BRCD, you are expected to inform your supervisor immediately. If you are aware of improvements to policies, procedures, products and/or possible business opportunity that will contribute to customer satisfaction and enhance BRCD, you are urged to bring those improvements to the attention of your supervisor. ORGANIZATIONAL CONFIDENTIALITY You may have access to records and/or other information about BRCD and/or other workers. This includes proprietary information, operation procedures, trade secrets and intellectual property. You are not to discuss this information with anyone else without proper authority. Anything BRCD does to design, produce and market their products that competitors cannot or do not do is treated as proprietary information, often called trade secrets. Any information that would damage the business of BRCD if it became public knowledge or was disclosed to a competitor is considered a trade secret. This includes, but is not limited to, information on production, service, sales or financial matters. You are not to discuss proprietary information with any person from outside BRCD or with other employees in any public place where it is possible to be overheard. Should you leave BRCD for any reason, the obligation not to disclose proprietary information continues. 38 Page 15 Revised November 2023 REPRESENTATION OF SERVICES Employees will, during their assigned duties, perform services in the name of BRCD. Upon termination of employment (either voluntarily or involuntarily) employee shall not falsely represent said services to a new employer and/or customer. All work/services provided by BRCD is in the name of BRCD. Any individual who seeks personal ownership/authorship in said services will be in violation of BRCD's proprietary information. These violations will be taken seriously. CONFLICT OF INTEREST The Board of Directors has adopted a conflict of interest policy, which is periodically reviewed and updated. Annually, each BRCD Board member and officer will certify they have received and understand the policy. BRCD Staff will also be provided with the policy upon their hiring and periodically thereafter. CODE OF CONDUCT You should always be mindful of the position of BRCD in the community. Good reputation and success requires continuing adherence to high standards. LANGUAGE All employees are required to refrain from using slang, profanity, and/or offensive remarks concerning any Federal and/or State protected class (i.e. age, sex, race, religion, marital status, disability and national origin.) ATTIRE Each employee reflects the image of BRCD and is required to wear suitable professional attire. See management for details. HYGIENE All employees must maintain personal grooming habits that reflect a presentable image for yourself, and BRCD. BEHAVIOR All employees are required to refrain from fighting or physical assault (whether serious or playful) on or with a customer or co-worker. TOBACCO PRODUCTS Use of tobacco products on BRCD premises or while in contact with customers (including e-cigarettes or ‘vaping’) is not permitted. INSUBORDINATION Refusal to follow directions of the supervisor, assaulting a supervisor, or using profane language to a supervisor is prohibited. Questioning, criticizing or denouncing management and its methods of operation publicly or to anyone other than the department head, supervisor or administrative personnel is considered detrimental to operations and the ability of management to carry out its responsibilities. Such behavior should be considered grounds for discipline or termination.on Formatted: Highlight 39 Page 16 Revised November 2023 DISCIPLINE/TERMINATION BRCD believes you should be given the opportunity to satisfactorily perform in your job. In the event of failure to perform you may be disciplined and/or terminated. When termination/separation occurs, payment of final wages will be made at the time of the next regularly scheduled pay period or within 10 days of the resignation date, whichever is earlier. After you have completed the provisional employment period you may be disciplined and/or terminated for job-related reasons including a failure to satisfactorily perform job duties, disruption of business operations, failure to comply with employment rules and regulations, conflicts of interest, or other actions deemed serious and/or other legitimate business reasons, including business changes in the operation of BRCD. When termination occurs, payment of final wages will be made at the time of the next regularly scheduled pay period or within 10 days of the resignation date, whichever is earlier. HARASSMENT/SEXUAL HARASSMENT All forms of harassment including any degrading work assignment(s), word(s) or action(s) toward an individual or any Federal and/or State protected class (i.e. age, sex, race, religion, marital status, disability and national origin) are prohibited. It is specifically emphasized that sexual harassment in any form is expressly prohibited. Conduct of any kind that is perceived to be sexual harassment by a supervisor or employee will not be tolerated. Sexual harassment conduct includes but is not limited to: explicitly or implicitly subjecting an employee to sexual advances as a condition of the employee's employment, evaluation, salary, advancement, assigned duties, shifts or any other condition of employment; sexual flirtations, touching, advances or proposition; the development of a perceived flirtatious personal relationship between two employees where one employee is in a position to assign or review the work of the other; verbal abuse of a sexual nature; graphic or suggestive comments about an individual's dress or body; sexually degrading words to describe an individual; the display in the work place of sexually suggestive objects or pictures, including nude photographs; and/or any unwelcome conduct which unreasonably interferes with the employees job performance or creates a hostile or offensive work environment. Any employee who engages in conduct of harassment will be subject to discipline and/or termination. HARASSMENT HOTLINE Beartooth and BRCD have a zero tolerance policy regarding any discriminatory, harassing or retaliatory conduct in the workplace. Pursuant to that policy, we have subscribed to a telephone reporting/complaint service called the Harassment Hotline so that our employees can readily report such acts, including theft and safety mattersmatters, without fear of retaliation, job loss or embarrassment. The Hotline is an unbiased, third partythird-party reporting system and satisfies the United States Supreme 40 Page 17 Revised November 2023 Court’s position that companies must “…clearly show they provide a simple complaint process that is calculated to encourage victims of harassment to come forward.” We do not anticipate that our employees will need to use the Harassment Hotline, as we expect and assume that all of our employees will conduct themselves free of harassment. Still, if it is needed, the service is available and allows ANY employee to report any allegation of sexual harassment, discrimination, retaliation, theft, or any safety concern that occurs in the workplace, or any harassment by a third party. Sexual harassment, discrimination, retaliation and other dysfunctional behavior cannot and will not be tolerated under any circumstances. The only way we can stop such behavior in the workplace is bring it out in the open by communication and total employee/employer commitment. Reporting and Act of Harrassment: You are requested and strongly urged to report immediately to your supervisor any act of harassment. All complaints of harassment will be treated seriously and employee confidentiality will be respected. For the convenience of our employees, the Hotline can be accessed 24-hours per day, 7-days per week. The toll freetoll-free number is 1-800 –97-STOP IT which is 1-800-977-8674. Our company has a unique identification number, which is 990039. Remember that any employee may call the toll- free telephone number at any time and report harassment, discrimination, retaliation, theft or any safety concern without fear of retaliation. Remember that the company management cannot correct any situation that is of concern to you unless it knows about it. In this regard, your cooperation is needed and appreciated. Problem Resolution: It is the intent of BRCD and BRCD to assure you that it is interested in your ideas, suggestions as well as your questions, concerns, problems or grievances. You should feel free to communicate your ideas, suggestions, concerns, problems or grievances to management. An appropriate problem or grievance is defined as "An employee's expressed feeling of dissatisfaction concerning an application or interpretation of work related matters". If you have a grievance, you must follow the procedure contained in this Employee handbook. This procedure is your exclusive remedy for any dispute resolution. You will not be penalized for proper use of the procedure. However, it is not proper to use the procedure by presenting a grievance in bad faith or for the purpose of delay or harassment, or by presenting a problem or grievance that a reasonable person would judge to have no merit. Problem Resolution Procedure: If you feel you have a problem or appropriate grievance, you must proceed as follows: STEP ONE: Immediately bring the problem or grievance to the attention of the BRCD General Manager, andManager and attempt to resolve it informally. 41 Page 18 Revised November 2023 STEP TWO: If you are unable to resolve your problem or grievance informally, present it in writing to the Executive Committee of the Board of Directors within ten (10) days of the occurrence of the matter. The Executive Committee will have ten (10) days in which to respond to you in writing. (If you are not able to communicate to the Chairman, you may present your problem or grievance in writing to another Executive Committee member). STEP THREE: If your problem or grievance is not resolved to your satisfaction, present it in writing to the Board of Directors within ten (10) days of the Executive Committee written response. Your grievance will be reviewed and a final decision will be made within ten (10) days. WHISTLEBLOWER POLICY The Beartooth RC&D requires directors, officers and employees to observe high standards of business and personal ethics in the conduct of their duties and responsibilities. As employees and representatives of the Beartooth RC&D, we must practice honesty and integrity in fulfilling our responsibilities and comply with all applicable laws and regulations. Reporting Responsibility: It is the responsibility of all directors, officers and employees to report ethics violations or suspected violations in accordance with this Whistleblower Policy. No Retaliation: No director, officer or employee who in good faith reports an ethics violation shall suffer harassment, retaliation or adverse employment consequence. An employee who retaliates against someone who has reported a violation in good faith is subject to discipline up to and including termination of employment. This Whistleblower Policy is intended to encourage and enable employees and others to raise serious concerns with the Beartooth RC&D prior to seeking resolution outside the Beartooth RC&D. Reporting Violations: Beartooth RC&D has an open door policy and suggests that employees share their questions, concerns, suggestions or complaints with someone who can address them properly. In most cases, an employee’s supervisor is in the best position to address an area of concern. However, if you are not comfortable speaking with your supervisor or you are not satisfied with your supervisor’s response, you are encouraged to speak with the Beartooth RC&D Board Chairman or a member of the Executive Committee whom you are comfortable in approaching. Supervisors and managers are required to report suspected ethics violations to the Beartooth RC&D’s Board Chairman, who has specific and exclusive responsibility to investigate all reported violations. For suspected fraud, or when you are not satisfied or uncomfortable with following the Beartooth RC&D’s open door policy, individuals should contact the Beartooth RC&D’s Board Chairman directly. Compliance Officer: The Beartooth RC&D’s Compliance Officer is the Board Chairman and is responsible for investigating and resolving all reported complaints and allegations concerning violations and, at his/her discretion, shall advise the Executive Committee. The Board Chairman 42 Page 19 Revised November 2023 has direct access to the Executive Committee of the Board of Directors and is required to report to the Executive Committee at least annually on compliance activity. The Beartooth RC&D’s Board Chairman is the chair of the Executive Committee. Accounting and Auditing Matters: The Executive Committee of the Board of Directors shall address all reported concerns or complaints regarding corporate accounting practices, internal controls or auditing. The Beartooth RC&D Board Chairman shall immediately notify the Executive Committee of any such complaint and work with the committee until the matter is resolved. Acting in Good Faith: Anyone filing a complaint concerning a violation or suspected violation must be acting in good faith and have reasonable grounds for believing the information disclosed indicates a violation. Any allegations that prove not to be substantiated and which prove to have been made maliciously or knowingly to be false will be viewed as a serious disciplinary offense. Confidentiality: Violations or suspected violations may be submitted on a confidential basis by the complainant or may be submitted anonymously. Reports of violations or suspected violations will be kept confidential to the extent possible, consistent with the need to conduct an adequate investigation. Handling of Reported Violations: The Beartooth RC&D Board Chairman will notify the sender and acknowledge receipt of the reported violation or suspected violations within five business days. All reports will be promptly investigated and appropriate corrective action will be taken if warranted by the investigation. 43 Administrative Fee Policy for Fiscal Sponsorship Services Beartooth Resource Conservation and Development Area, Inc. Purpose This policy outlines the administrative fee structure for fiscal sponsorship services provided by Beartooth Resource Conservation and Development Area, Inc. ("Beartooth RC&D"). It ensures transparency, consistency, and the sustainability of our support to sponsored projects. 1. Overview of Services Provided As a fiscal sponsor, Beartooth RC&D provides administrative and compliance services, including: • Financial management and reporting oversight • Processing and receipting of donations, grants, and other income • Disbursement of funds to the sponsored group • Compliance with federal and state regulations • Inclusion in organizational annual audit • General liability coverage and risk management • Grant reporting and funder communication support • Guidance on nonprofit operations and capacity building 2. Administrative Fee Structure Beartooth RC&D charges a percentage-based administrative fee on all incoming funds associated with the sponsored project, based on the type of funding source: *Note: Additional fees may apply for complex grants requiring significant compliance, legal review, or insurance coverage. 3. Timing of Fee Deduction Administrative fees are deducted at the time Beartooth RC&D receives the funds. Disbursements to the sponsored group will reflect net amounts after applicable fees. 44 4. Rationale for Fee These fees support Beartooth RC&D’s operational infrastructure required to manage fiscal sponsorships responsibly, including: • Staff time for accounting, compliance, and administration • Bookkeeping and audit inclusion • Insurance, legal, and risk management • Technology and systems support • General organizational overhead 5. Adjustments and Exceptions Requests for fee adjustments must be submitted in writing and are subject to approval by the Executive Director and, if necessary, the Beartooth RC&D Board of Directors. Exceptions are rare and must be reviewed annually. 6. Policy Review This policy is reviewed annually and may be updated to reflect changes in organizational needs, industry best practices, and the complexity of sponsored projects. 45 Beartooth RC&D Area, Inc. Board of Directors Meeting Agenda Meeting 1 P.M. Thursday, March 20, 2025 Sibanye Stillwater Conference Room 517 West 1st Ave., Big Timber, MT 1:00 pm 2:30 PM Meeting Called to Order Pledge of Allegiance, Introduction of Members and Guests Review Board Minutes Congressional Updates Tory Kolkhorst (Sen. Daines) Zoey Stroop/Quinton Winsted (Congressman Downing) Wesley DeGiulio (Sen. Sheehy) Will Boone (Troy Downing) Treasurer/Financial Reports 1. Treasurer Update 2. RC&D Financials 3. RLF Financials Personnel Handbook Review Approval of Fiscal Sponsorship fee Staff Reports – Program/Project updates 1. Food/Ag Program – Joel Bertolino 2. Revolving Loan Fund – Nan Knight 3. Economic Development/ CRDC – Gaurav Thakur 4. Operations Support- Myrna Lastusky Regional Roundup – News and updates from regional members on projects and activities in key CEDS categories…. (see topics on next page) Next Beartooth RC&D Area, Inc. Board of Directors Meeting July 17, 2025- Beartooth RC&D Carbon County Joliet, MT Adjourn Chair, All Chair, All Hauge/Knight Bertolino Bertolino/Knight Bertolino Knight Thakur Lastusky Roe et al Information Action Information Action Information Action Information Information Information Information Information Information 46 Page 2 Regional Roundup CEDS SWOT Our goals for the Roundup are to find out what’s happening in the area, keep the conversations focused, inform the others attending the meeting, and to tie it all back to and reinforce the importance of the CEDS. Please help us identify the projects in their area that fit into our CEDS categories: Be thinking about strengths and weaknesses of your community or our region. Thank you! • Infrastructure  Housing  Transportation  Broadband • Economy  Upturns or downturns in industry sectors  New business openings (or closures) • Communication  Marketing and outreach • Services  Health care • Natural Resources  Agriculture  Energy • Human Capital  Workforce  Education NOTES: ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ 47 Page 3 ___________________________________________________________________________ ________________________________________________________________________ 1:00 pm 2:30 PM Meeting Called to Order Pledge of Allegiance, Introduction of Members and Guests Review Board Minutes Congressional Updates Tory Kolkhorst (Sen. Daines) Zoey Stroop (Congressman Downing) Wesley DeGiulio (Sen. Sheehy) Treasurer/Financial Reports 4. Treasurer Update 5. RC&D Financials 6. RLF Financials Personnel Handbook Review Staff Reports – Program/Project updates 5. Food/Ag Program – Joel Bertolino 6. Revolving Loan Fund – Nan Knight 7. Economic Development/ CRDC – Gaurav Thakur 8. Operations Support- Myrna Lastusky Regional Roundup – News and updates from regional members on projects and activities in key CEDS categories…. (see topics on next page) Next Beartooth RC&D Area, Inc. Board of Directors Meeting May 15, 2025- Sweet Grass County Big Timber, MT Adjourn Chair, All Chair, All Hauge/Knight Bertolino Bertolino Knight Thakur Lastusky Roe et al Information Action Information Action Information Information Information Information Information Information Information 48 Page 4 Beartooth RC&D Board of Directors Meeting March 20, 2025 Big Horn County Courthouse Present: Joel Bertolino, Executive / Food & Ag Director Nan Knight, Finance Director/Brownfields Coordinator Gaurav Thakur, Economic Development Director Ryan Van Ballegooyen, Dept. of Labor & Industry/Job Service Commissioner Melanie Roe, Sweet Grass County Lawrence Killsback, Big Horn County Economic & Housing Director Commissioner John Ostlund, Yellowstone County Mike Boyett, Billings City Council Member Tina Toyne, City of Hardin Economic Development Director Holly Higgins, First Interstate Bank of Hardin Kevin Mitchem, Sibanye-Stillwater Mine Martin DeWitt, Small Business Administration Lorene Hintz, Big Sky EDA/SBDC Kayla Vokral, Small Business Development Center Via Zoom: Commissioner Scott Miller, Carbon County Danny Choriki, Billings Area Family Violence Task Force/Ubet Post Guest: Steve Simonson, former Beartooth RC&D EDD Meeting Called to Order: Ryan Van Ballegooyen called the meeting to order. Pledge of Allegiance, Introduction of Members and Guests • Lawrence Killsback welcomed everyone to Big Horn County and introduced himself. Review January Board Minutes (Action): Holly motioned to approve. Kayla seconded. Motion carried. Congressional Updates: No representatives present. Treasurer/Financial Reports: • P. 13 – RLF as of Feb. 28th, we have 20 loans, $1.7 million loaned out. o New loan closed in March to assist a business that resides in Stillwater but has a location in downtown Billings. o Lot of activity. We have $1.8 million to be loaned out. • P. 14 – Beartooth Books & where our funds sit so far this year o The only thing affected so far by federal funding pauses is our DEQ Environmental Justice grant, which is paused. • Holly asked about the MOUs, and Nan said most have paid for the year; BSED is an anomaly because their MOU with Beartooth renews in July. • Holly Higgins motioned to approve the Beartooth Books & RLF as presented. Kayla Vokral seconded. Motion carried. Personnel Handbook Review – Joel Bertolino • Joel explained that we have done some changes in the last couple years but wants to make sure there 49 Page 5 isn’t some old language that needs cleaning up or outdated policies. Ryan & Joel are working on it together. • Joel sent it to everyone for board members to review and provide feedback/revisions. • Ryan: checking to ensure that one statement doesn’t contradict another; reviewing remote work policies; developing an AI policy/guidelines (ensuring what we use is safe and secure, etc); o Kayla: we remind clients not to put sensitive information into Open AI/ChatGPT. Staff Reports – Program/Project Updates Food/Ag Program – Joel Bertolino • Joel went to Helena for Ag Rotunda Day at Capitol. Able to visit with many folks, including the new Director of Ag. • Finishing up GTA – final review of apps took place and 1 of the 5 he assisted was funded ($18,000+): Samurai Sue’s out of Red Lodge can get new equipment for food processing. • Cut Craft: Derek Eaton – not funded for GTA/Biz Builder but continue to work with him. o Danny asked if he would be able to distribute other products. Joel said this is still the initial steps, but they discussed that it would be useful to use for commodities other than beef.  Danny said Yellowstone Pasta would likely be interested. • Rodi Farm: working with on VAPG; she will send Joel her draft for review. • Greycliff Mill: Hoped they would get funding out of GTA, but they are still working with MT State Food Lab with Business Enhancement Program (BEP) we helped them with. • Farm Box: Also weren’t funded through GTA, but it was recommended they utilize BEP for some training needs. • Yellowstone Valley Farms: His video that was filmed as a success story for Specialty Crop Block Grant is set to release on Facebook soon (put out by Dept. of Ag). • Becky’s Berries: Visited with MMEC today and will work with them on some design work for their Absarokee plant. • S-Ranch Meats: Ongoing. Received VAPG last year and check in with them occasionally. • Rebel Head Kombucha: Meeting with them next week to visit her manufacturing facility in Billings; Gaurav will come, also, to discuss how Beartooth can assist her. • Mountain View Hutterite Colony: we did some work when there was an automation loan, but they weren’t ready. They may be looking at a new facility, so staying engaged with them. May also need financing. They sell their eggs through Walmart & other local outlets. • Turk Stovall: Assisted him with some solar/renewable energy on feedlot plans. • Speedy & Flo’s: Stay connected via Tina; will visit this spring when greenhouse opens. • Montana Outlaw BBQ: owner Ty Hamilton has met with Joel & Nan for assistance including some financing for equipment and kitchen. Joel will keep working with them and help them apply for GTA’s next round in the fall. • Metra Park: working with Tim Goodrich & put him in touch with folks at MT Dept of Ag. He wants to host the next Food & Beverage Show, and Joel is 100% in favor of that. Joel was in touch with Marti who oversees it and thinks they will be coming to Metra Park in 2026. We will also work with them on a plot of land where they’d like to feature some MT commodities/crops to showcase at the Fair. Joel is putting them in touch with some good contacts, retired farmers, etc. • Top Notch Meats in Billings: Met once and will stay in touch. They are looking at a new location and want to expand what they are doing. • Yellowstone Food Hub: Received some funding from Dept of Ag, and MMEC is doing some work with them. • Caramel Cookie Waffles Corp: We wrote a BEP grant for training, and they were able to hire MMEC to do 2 days of training with them. • Grindy’s Cheeseballs: Wrote a BEP grant to work with MMEC on some design work. 50 Page 6 • Mike Boyett commented that there aren’t dollar amounts on these grants, and some of the people he deals with want to know that. o Joel said we can try to include that in the future, but a lot of the assistance we provide is connecting them to contacts at Dept. of Ag or finding an accountant, etc. It’s hard to put a number on much of the TA. BEPs are all $2,000. Revolving Loan Fund / Brownfields – Nan Knight • Nan gave kudos to Lorene and Kayla for all their help. She has sent several clients their way for assistance with business planning, projections, etc. • Nan had a meeting with Wes Stops, the Crow Environmental Director, to discuss priorities for his Brownfields projects. Both Wes and Crow Legislature want Garryowen and the Carpet Mill to be priorities for Beartooth’s Brownfields funding. • We just did sampling on Pryor High School and have sent it to the lab. Economic Development / CRDC – Gaurav Thakur Big Horn County – Housing Needs Assessment Study • Final Report presented to the County Commissioners on March 6th • Commissioners are very happy with final report from Ayres. Anyone interested in the report can request that from Lawrence. City of Hardin – Economic Development Strategy • Partnered with Tina Toyne and Consultant (Ayres Associates) on the In-Depth Interviews with Community Members and Business owners for stakeholder meeting sessions. This helped them better understand some of the challenges they are facing. City of Big Timber - MAP EJ Grants • Thriving Communities Grantmaking – Big Timber Civic Centre Upgrades - Declined for the first cycle & received recommendation. But it is mostly due to Big Timber not fitting the “distressed community” criteria. • Gaurav sent a request for assistance to better explain the reasons they should be considered distressed. City of Laurel • Gaurav was officially appointed to Laurel Urban Renewal Agency (LURA) Board in Advisory capacity • Also attending their Small Business Alliance group – business owners who come together to discuss challenges and opportunities Reporting (State and Federal) • EDA - Partnership Planning Program FY2025 Funding Application - $70,000/year for the next 3 years. Only gave us 10 days to submit that application, and it was very involved. • CRDC - 2025 Annual Work Plan was submitted at end of February Coal Board Application • Lodge Grass – Backhoe and Excavator o Application returned due to missing signature (needed from elected member) o Staff Comments - According to State Accounting, funding the City of Hardin to then give funds to Lodge Grass would be a violation of the no-pay order. o The application will be presented to the Coal Board for the upcoming draw but will use the County as the sponsoring applicant Montana – ORE – Opportunities in Rural Economies Loan Program • One Health - New Office Space. Beartooth will be assisting in applying for this when the application is available. Waiting for more information as the State releases it. Proposal for Creating a Regional Online Business Directory and Resource Library • Application to USDA’s RBDG Program to be submitted in the next round • Goals: Increase Business Visibility, Continuous Engagement and Communication and Resource 51 Page 7 Accessibility Operations Support – Myrna Lastusky USDA Rural Community Development Initiative (RCDI) with Red Lodge Area Community Foundation (RLACF/Angela Getchell, Workforce Housing Manager) • Coordinating a Visioning Activity with the Red Lodge Urban Renewal Agency and Kansas State University-Technical Assistance Brownfields team. • Beartooth, Angela, & developer Tom Fischer met with community leaders to discuss possibilities for the old hospital. The visioning activity will also move this forward. • Continue to work with several Carbon schools on a “First Right of Refusal” teacher housing model. Units will remain affordable through a partnership with Trust Montana. o Bridger School District is interested in putting a couple homes on a school lot. o Roberts School Board approved moving forward on a contract; Roberts Community Foundation has pledged their support to pay the monthly fee. o Plan to speak with Fromberg next – thanks to Commissioner Miller for his support and connecting us to Fromberg leadership! USDA RCDI (Rural Community Development Initiative) with City of Hardin (Tina Toyne, EDD) • Tina has taken advantage of several training opportunities this quarter, including a few courses with IEDC (International Economic Development Council). • Tina & the City are working on multiple grant projects (housing study, infill & redevelopment, Hotel Becker, EcDev Strategy, etc). Tina can give you the latest news. • This grant will wrap up on March 31st, but work will continue with the great partnerships we have formed in Hardin and Big Horn County. This has been a positive 3-year effort for Hardin and Big Horn County (resulting in not one but TWO excellent EcDev Directors in Tina Toyne and Lawrence Killsback), but it has also been a blessing for Beartooth in our work in Big Horn. Additionally, all the other State and Federal agencies are more tuned in to the needs and possibilities throughout the County. RCAC (Rural Community Assistance Corporation) Grant in Columbus • Monthly small group meetings will continue as we work to make goals a reality for 2+ years. A few projects in the early planning stages include a couple of murals, an interactive map for County tourism, possible rec center, housing efforts, and forming a Downtown Business Association. We are also providing support and TA to the Stillwater County Chamber as they are navigating recent budget cuts. • Attending Governor’s Conference on Tourism April 27-29 as part of this grant. Miscellaneous • Beartooth is also assisting Carbon County & Belfry Senior Center to find/build/renovate/fund a new Center. • Appreciation to our awesome staff for their extra efforts while I have been in AZ. Returning to the beautiful Big Sky on April 4th! Regional Roundup – led by Commissioner Roe Holly Higgins, First Interstate Bank of Hardin • Electrical: 2 people are starting up electrical businesses and contracting, which is a huge need in the County. • Education: FIB does a Teach to Save course every year. FIB-Hardin branch (Violet Hinkel) did 15 classes covering grades 3-5th and 290 kids. Cover how to “grow” money, basic money sense, etc. • Still have our Dollar Stores! 52 Page 8 Mike Boyett, Billings City Councilmember • Mike volunteered to be on our board because of the 11 members, no one else wanted to and none of them knows anything about Beartooth. • He recommended that Beartooth show up to Council meetings occasionally so they at least see us and know what we do. Politics 101. • They also wonder why they pay for both BSED and BRCD – so we need to educate them. • Everything is numbers for most of them, so show how much money comes into Billings due to Beartooth’s efforts. • Mike will report back to the Council on Monday and say Beartooth is doing good work, but he wants someone from Beartooth to come to the meeting. o Joel said that sounds great. We will provide some numbers and figure out what works best for the Council – work session, regular meetings? • Mike also talked about the new City Hall they are in. They bought it for 50 years down the line, 100 years . . . they had people in closets, a basement boiler room, etc. Now they have space – and windows! o If anyone wants to open a coffee shop, they have a ground floor space that would be perfect. o Also, if anyone knows kids who want to be police officers, let them know. They want to get more kids interested. Commissioner John Ostlund, Yellowstone County • Lot of projects going. Construction of 72-hour hold detention facility, a great addition. Criminals will get locked up for 48-72 hours, have arraignment hearing, go before a judge before you get out, and either have a bond, ankle bracelet, or be remanded to the jail. • New County Administrative building is being built (Miller Building). It should be complete by November. o Moving Elections to the Fairgrounds where they will have a stand-alone office and a drive- through drop off for ballots. • With different departments moving out of the courthouse, the courthouse will eventually be remodeled. District Court judges will be there. • Building a new rodeo grounds and outdoor arena, construction in progress. o August Fair will include an upscale rodeo there. Nile gave up October rodeo and will participate in August. Big deal for the Ag community. Ryan Van Ballegooyen, Dept. of Labor & Industry/Job Service • Yesterday had Montana’s biggest Job Fair. Had about 1500 attendees, 110+ employers. o Sibanye-Stillwater miners were invited to come early, and 40 did so. 70 veterans also came in early. • 2.8% unemployment in Feb. – unexpectedly low. • Forest Service workers are anxiously waiting for Apr. 18th to hear if they will have jobs. o DLI does Rapid Response to help them get training, find jobs, etc. whenever large-scale layoffs happen. • Efforts to put former inmates back to work. Legislature is passing bills to establish Montana Office of Re-entry. Kayla Vokral, SBDC • SBDC Day was yesterday – to celebrate SBDC and our businesses. Had QuickBooks Training and showed Edge of the Plains documentary. • Had a few business closures in Billings – Favorite Finds, Wild Ginger, and Bin 119. All had their reasons & not necessarily that people aren’t spending money. • Had some business openings, too! Frey is expanding her west end location to a downtown one, also. Prairie Animal Hospital built an emergency vet clinic on the west end of town ($3.2 million impact for that). Children’s Art Classes (west end business) offers many classes and will also include summer art 53 Page 9 camp. Field House on Minnesota has been vacant for some time, but the new owner is opening a pirate- themed bar called Captain Scurvy’s. There will also be a medieval-themed restaurant in the same location. • Partnering with Joel on a Homegrown to Market Workshop. • Partnering with MSU-B on some workshop series with in-depth knowledge of business ownership. If participants take all 3 series, they will receive some college credit. Par • Partnering with Dept. of Labor on mine layoffs. Doing Start Smart workshops and workforce development. • April 2nd is the Hive Competition at MSU-B. High school students pitch their business ideas to a large crowd & compete for cash prizes from Valley Federal Credit Union. • Partnering with Beartooth on many projects – lots of loans and grants. Thank you to Beartooth team for all their help! Kevin Mitchem, Sibanye-Stillwater Mine • Hoping to see platinum/palladium prices go up soon; it’s not dropping anymore. • Some legislation with Russian imports may provide relief, but it’s tied to the Russian-Ukraine war. • The layoffs have been tough – watching good friends lose jobs and the uncertainty of everyone’s jobs, but everyone has been very helpful. o Commissioner Ostlund said Yellowstone County picked up several employees, and they’ve been great employees. Mike Boyett said the City picked up a couple engineers who have also been excellent. o Ryan said Dept of Labor has worked with 380; about 160 filed for unemployment. Anxious to see what happens when their unemployment ends. o Kevin said some have been called back already. • Steve Simonson asked if Sibanye products can be differentiated from the Russian products? Kevin wasn’t sure, but he thinks the answer is no. He explained an issue of separating out recycled materials from the other ones. Tina Toyne, City of Hardin Economic Development • Hardin was awarded the Pilot Tourism Grant – “Big Horn Breakthrough Project” – to encourage tourism in Hardin and the County. • County Housing Needs Assessment is complete; will receive final copy from Ayres soon. • Cushing Terrell is working on the Infill & Redevelopment study, and they also look forward to seeing the final Housing Needs Study. • Selected IMEG for a Master Services Agreement. They are currently working on branding. • High Plains Architects began Monday on their PAR for the Hotel Becker. Lorene Hintz, Big Sky Economic Development • Community Development is working on Space2Place Grants. Received 26 applications and can only fund 6-7. • Workforce Development: County Summer Jobs Program. Businesses can apply to have interns, and high school students can apply & interview for paid internships. o Also have a Campus Billings program for HS into college – if you have an internship, you can network and learn different skills. • Steve Arveschoug is retiring. April 11th is a party at the Northern to say goodbye. Paul Green, former MT Dept of Commerce Director, will be the new BSED Executive Director. Paul starts April 1st and Steve’s last day is April 16th, so they will have a 2-week transition. Lawrence Killsback, Big Horn County Economic Development 54 Page 10 • Big Horn County would like the women’s prison & has the infrastructure for it. • Decline of coal & challenging tax base became more apparent while applying for a Coal Board grant for the library’s boiler system & fire alarm system, which they were awarded. • BHC is currently updating Growth Policy. Will be updating Capital Improvement Plan. • New Planning Board has been appointed & Lawrence is coordinating different groups. • Housing Needs Assessment: Recommendation is to look at a County-City Housing Authority. Possible opportunities to partner with tribal development and trying not to duplicate efforts. • Workforce: Plenty Doors CDC has a great program & County is working with them. Biggest need will be housing; working with stakeholders including school districts. Working on recruitment and retention of teachers; send programs/info to Lawrence. • Some nonprofits are shutting doors due to funding pauses. Tribes have made a strong stance: they do not fall under DEI; they have a sovereign government-to-government relationship, and many congressmen are in support of that. Martin DeWitt, SBA • National Small Business Week is May 4-10. Announcements coming soon. • Superior Meats (Superior, MT) is being considered on a national level for the National Small Business Award. • America First Manufacturing in America Tour: Montana selected as a stop, and that will be next Wednesday. SBA HQ is putting this together and will have roundtables in Bozeman. SBA will be coordinating this Manufacturing in America program. • Submitted SBA Reorganization Plan on March 13th. Unsure about job security due to duplication in responsibilities & possible cuts. • Tom White (lender specialist) moved to a position at a bank and Rena Carlson (lead lender specialist for MT) retired, so no lender relationship specialists in MT. Kelly Dixon is also retiring. Martin, Deputy District Director, & a District Director are the only managers left. • Outreach: Martin has worked from home since COVID. To go to onsite visits, he must put in travel requests to be approved, so that is currently a hassle. Travel allocations are cut. So federal employees are having trouble with outreach now – just a heads up. o Use phone and email to communicate. Danny Choriki, BAFVTF, Ubet Post • Great to see a Billings City Councilmember at the table again. Thank you, Mike! • The former mayor of Billings, Willard Fraser, used to call himself the Mayor of Billings and a 300-mile Radius. He understood this is a metropolitan market area and we need to think about the regional economy, not just Billings. • Northern Lights Family Justice Center opened in January. Family Violence Task Force Conference topic is “Should I Stay or Should I Go?” Focuses on moments when families are caught, what are their needs, and how can we help? This includes needs for people who are being stalked, which is a huge issue right now. • National League of Cities: people have told Danny that big corporations have been buying up houses over the past 15-20 years and are starting to sell off the housing. Is anyone seeing that start to happen in our region? o Ryan said to pay attention to Bozeman, who has had a high amount of corporate housing transactions. o Steve said Warren Buffet is looking at selling Berkshire Hathaway out of his portfolio, which may be a warning that the housing market will soon take a downturn. We haven’t had as many corporate buyers in MT as other states, but there is some of that happening. o Danny said the National League of Cities folks also said the rental market they were expecting to make money off of didn’t really happen. 55 Page 11 Commissioner Melanie Roe, Sweet Grass County • We are busy, lots going on. Possible west end development. • 2-3 drafts through the process of Pilot Tourism Grant paperwork. • Commissioners testified on a couple bills in state legislature – they were looking at pulling the bed tax and rental money out and using it for property tax relief, which we were against. The bill is still in play, but it has been pared down (SB 90). o Commissioner Ostlund said he thinks it will merge with SB 117. Yellowstone County commissioners also testified against SB 90, but with the amendments, it is better. They called it property tax relief, but it’s really property tax shift. o HB 308 is before Senate tomorrow morning – sunset of metal mines percentage, and the bill will extend it another 8 years. They will testify on that, too. • Looking for a new road supervisor – send people their way! May 15, 2025 – Next Beartooth RC&D Board of Directors Meeting in Sweet Grass County Meeting was adjourned at 2:33 pm. Revolving Loan Fund Books- March 2025 INCOME 2022 Budget Actual 2023 Income 2023 Budget Actual 2024 Income 2024 Budget Actual 2025 Income 2025 Budget Actual AG-FOOD AND AG CENTER 45,000 70,057 AG-FOOD AND AG CE 45,000 48,706 AG-FOOD AND AG CENTER 60,000 61,636 AG-FOOD AND AG CENTER 60,000 AG-MCDC 500 0 Specialty Crop Block 35,000 31,286 Specialty Crop Block 58,166 56,006 Specialty Crop Block 58,166 BOARD - EDA SPONSOR DUES 56,979 56,844 BOARD - EDA SPONSO 56,979 55,711 FARM TO SCHOOL 1,200 3,750 FARM TO SCHOOL 1,200 BOARD-INTEREST INCOME 400 845 BOARD-INTEREST INC 400 736 REAP 5,000 25,180 REAP 5,000 BOARD-FOUNDATION MONEY 3,300 3,830 BOARD-FOUNDATION 3,300 3,641 BOARD - EDA SPONSOR DUE 56,979 56,023 BOARD - EDA SPONSOR DUES 56,979 RLF-STAFF REIMBURSE 18,000 0 RLF-STAFF REIMBURS 15,000 5,066 BOARD-INTEREST INCOME 750 450 BOARD-INTEREST INCOME 450 RLF-ORIG FEES 7,500 6,152 RLF-ORIG FEES 5,000 2,764 BOARD-FOUNDATION MONEY 3,300 3,676 BOARD-FOUNDATION MONEY 3,300 CRDC 71,000 71,844 CRDC 71,000 71,844 RLF-STAFF REIMBURSE 15,000 DEQ-EJ 36,500 CGWG/ fuels EDA - GRANT 70,000 70,000 RLF-ORIG FEES 5,000 5,787 RLF-ORIG FEES 5,000 MISC GRANT ADMIN $ 12,750 BSTF ADMIN $ 4,000 RLF- RMAP 12,500 15,572 RLF- RMAP 12,500 EDA - GRANT 70,000 70,000 RCDI ( Big Horn) 2,500 2,444 BROWNFIELD 19,250 11,932 BROWNFIELD 19,250 SW-GRANT RCDI (Red Lodge) 4,000 1,592 CRDC 50,000 79,663 CRDC 82,269 BSTF Pass- Through 115,634 EDA - GRANT 70,000 70,000 EDA - GRANT 70,000 EDA-CARES ACT 100,000 other Admin 2,500 BSTF ADMIN $ 1,950 1,950 RCAC 25,000 Pass- Through 73,102 RCAC 25,000 7,465 RCDI( Big Horn) 2,800 Total Income 285,429 452,674 312,179 411,921 RCDI ( Big Horn) 2,800 2,483 RCDI ( Red Lodge) 2,800 RCDI (Red Lodge) 2,800 1,749 Pass- Through 86,881 Pass- Through Restricted SSBCI & Loan Interest 60,420 Restricted SSBCI & Loan Interest 389,695 550,623 441,214 0 EXPENSES Expenses for 2023 Expenses for 2024 Expenses for 2025 TOTAL STAFF EXPENSE 231,429 233,496 TOTAL STAFF EXPEN 244,441 241,301 TOTAL STAFF EXPENSE 245,441 263,548 TOTAL STAFF EXPENSE 275,000 COMMUNICATIONS 4,500 7,167 COMMUNICATIONS 7,000 7,300 COMMUNICATIONS 9,000 12,228 COMMUNICATIONS 12,000 EQUIPMENT & VEHICLE 4,500 9,581 EQUIPMENT & VEHICL 6,000 5,370 EQUIPMENT & VEHICLE 7,000 7,403 EQUIPMENT & VEHICLE 9,000 CONTRACTUAL 21,100 195,509 CONTRACTUAL 25,000 126,784 CONTRACTUAL 30,000 118,057 CONTRACTUAL 15,000 SUPPLIES 5,000 10,559 SUPPLIES 7,000 14,853 SUPPLIES 8,000 19,484 SUPPLIES 10,000 TRAVEL 7,800 3,756 TRAVEL 5,500 9,838 TRAVEL 15,500 7,512 TRAVEL 20,000 OTHER 10,000 12,515 OTHER 11,500 9,265 OTHER 13,500 12,207 INSURANCES 8,000 RENT/UTILITIES 12,500 Restricted SSBCI & Loan Interest 60,420 FY 24 Audit 28,000 Total Expense for the year Restricted SSBCI & Loan Interest 284,329 472,583 EXPENSE TOTAL 306,441 414,711 EXPENSE TOTAL 328,441 500,859 EXPENSE TOTAL 389,500 0 Net Income 1,100 -19,910 5,738 -2,789 61,254 49,764 51,714 0 56 Page 12 Revolving Loan Fund Books ending - February 28, 2025 Loan Client Review County # of loans $ Loan Balances Big Horn 2 $ 189,199.70 Stillwater 1 $ 287,000.00 Yellowstone 13 $ 905,503.13 Carbon 3 $ 332,090.10 Sweet Grass 1 $ 60,046.19 Total: 20 $ 1,773,839.12 • Closed one new loan in March. • Interest in RLF has been strong, with noticeable activity among Small Business and startups. Bank Balances as of February 28,2025 Total available for lending Bank of Joliet- RMAP $ 158,598.87 $ 158,598.87 $250,000 (still waiting to be drawn down) Bank of Joliet – RMAP LOAN LOSS $ 8,015.08 $ 0.00 Bank of Joliet EDA $ 21,343.64 $ 21,343.64 Bank of Joliet-CDBG $ 186,924.59 $ 186,924.59 Bank of Joliet- IRP $ 730,976.78 $ 324,976.78 Bank of Joliet-Fromberg $ 52,639.45 $ 52,639.45 Available: $ 744,483.33 (RMAP waiting to be drawn down) $ 250,000.00 (IRP and BSED waiting to be drawn down) $ 873,500.00 $ 1,867,983.33 Restricted Accounts Principal amounts paid back FIB – SSBCI 2.0 $ 148,621.00 $ 13,686.97 BOJ- SSBCI 2.0 $ 79,651.50 $ 11,981.21 Drawn drown New funded: Loans amount: $750,000 Grant amount: $500,000 New IRP- $215,000.00 BSED- $ 71,500.00 New IRP- $ 67,500.00 BSED- $ 22,500.00 57 Page 13 March 2025 Beartooth Books 2025 Income Budget Actual AG-FOOD AND AG CENTER 60,000 Specialty Crop Block 58,166 FARM TO SCHOOL 1,200 REAP 5,000 BOARD - EDA SPONSOR DUES 56,979 43,136 BOARD-INTEREST INCOME 450 BOARD-FOUNDATION MONEY 3,300 DEQ-EJ 36,500 RLF-ORIG FEES 5,000 RLF- RMAP 12,500 BROWNFIELD 19,250 5,258 CRDC 82,269 20,567 EDA - GRANT 70,000 17,500 RCAC 25,000 5,115 RCDI( Big Horn)2,800 3,002 RCDI ( Red Lodge) 2,800 1,475 Pass- Through 41,577 Restricted SSBCI & Loan Interest 22,443 441,214 160,073 Expenses for 2025 TOTAL STAFF EXPENSE 275,000 48,243 COMMUNICATIONS 12,000 849 EQUIPMENT & VEHICLE 9,000 1,540 CONTRACTUAL 15,000 15,061 SUPPLIES 10,000 3,058 TRAVEL 20,000 862 INSURANCES 8,000 649 RENT/UTILITIES 12,500 500 FY 24 Audit 28,000 Restricted SSBCI & Loan Interest EXPENSE TOTAL 389,500 70,761 51,714 89,312 Statement Ending: 02/28/2025 Checking Account:$164,176.89 unrestricted cash Restricted cash in checking for CGWG & JOJ $12,065.65 $152,111.24 Savings Account:$65,812.19 Building Account:$4,488.53 2025 58 Page 14 May 2025 Beartooth Books 2025 Income 2025 % of budgeted Budget Actual AG-FOOD AND AG CENTER 60,000 15,000 25.00% Specialty Crop Block 58,166 4,146 7.13% FARM TO SCHOOL 1,200 0.00% REAP 5,000 0.00% BOARD - EDA SPONSOR DUES 56,979 43,136 75.71% BOARD-INTEREST INCOME 450 239 53.04% BOARD-FOUNDATION MONEY 3,300 3,610 109.40% DEQ-EJ 36,500 4,280 11.73% RLF-ORIG FEES 5,000 3,260 65.20% RLF- RMAP 12,500 11,526 92.21% BROWNFIELD 19,250 7,917 41.13% CRDC 82,269 20,567 25.00% EDA - GRANT 70,000 17,500 25.00% RCAC 25,000 5,115 20.46% RCDI( Hardin) 4,800 3,002 62.54% RCDI ( Red Lodge) 4,800 1,475 30.74% Pass- Through 96,945 Restricted SSBCI & Loan Interest 40,511 445,214 278,228 Expenses for 2025 TOTAL STAFF EXPENSE 275,000 96,255 35.00% COMMUNICATIONS 12,000 3,842 32.01% EQUIPMENT & VEHICLE 9,000 1,545 0.56% CONTRACTUAL 15,000 96,210 641.40% SUPPLIES 10,000 5,286 52.86% TRAVEL 20,000 3,302 16.51% INSURANCES 8,000 7,356 91.95% RENT/UTILITIES 12,500 1,000 8.00% FY 24 Audit 28,000 0.00% Restricted SSBCI & Loan Interest EXPENSE TOTAL 389,500 214,796 55,714 63,433 Statement Ending: 04/30/2025 Checking Account: $169,431.46 unrestricted cash Restricted cash in checking for CGWG & JOJ $10,777.73 $158,653.73 Savings Account: $71,979.52 Building Account: $4,488.53 *Defunded or funding exhausted 59 Page 15 Revolving Loan Fund Books ending - April 30, 2025 Loan Client Review $ Loan Balances Big Horn 2 187,668.35$ Carbon 3 481,728.61$ Stillwater 2 375,401.10$ Sweet Grass 1 59,223.50$ 14 949,613.53$ 22 2,053,635.09$ * Closed one new loan in Yellowstone County and one in Carbon County * Interest in the RLF program remains strong, with noticeable activity in real estate acquisitions and debt consolidation. * The 2024 audit has officially begun. Bank Balances as of April 30,2025 Total available for lending Bank of Joliet- RMAP 166,306.21$ 166,306.21$ $250,000 (still waiting to be drawn down) Bank of Joliet – RMAP LOAN LO 8,020.02$ -$ Bank of Joliet EDA 22,087.48$ 22,087.48$ Bank of Joliet-CDBG 145,792.65$ 145,792.65$ Bank of Joliet- IRP 679,686.61$ 679,686.61$ Bank of Joliet-Fromberg 52,696.04$ 52,696.04$ Available:1,066,568.99$ (RMAP waiting to be drawn down) 250,000.00$ (IRP and BSED waiting to be drawn down)721,250.00$ 2,037,818.99$ Restricted Accounts Principal amounts paid back FIB – SSBCI 2.0 $148,621.00 7,935.87$ BOJ- SSBCI 2.0 $79,651.50 13,466.95$ Drawn drown New funded: Loans amount:$750,000 New IRP- 215,000.00$ 71,500.00$ New IRP- 67,500.00$ 22,500.00$ New IRP- 112,500.00$ 39,250.00$ 60 Page 16 Beartooth Brownfield- activity continues to progress, with ongoing site assessments and increased interest in redevelopment opportunities across the region. Grant Award $ 460,000.00 Completed work/assessments: QAPP $ 6,577.00 Quality Assurance Project Plan Rocky Fork $ 4,552.04 Phase I Roberts Property $ 3,885.41 Phase I Old Memorial Hospital $ 38,177.55 Phase II with ABCA Outreach Flyers 852.50 Remedial Investigation work plan (Phase II ESA SAP) Fun Community Brownfield Activity Update: tour of the North Community Entrance URD, meetings with city departments, community visioning 61 Page 17 Beartooth RC&D Staff Project Update May 2025 FOOD AND AG DEVELOPMENT CENTER PROJECTS FOOD AND AG DEVELOPMENT CENTER PROJECTS Beartooth FADC Beartooth FADC assisted clients with RFSI BEP grants. Beartooth FADC has continued to work with partners to do outreach to businesses in our region. Beartooth FADC has worked with Montana Department of AG on a funding renewal for the FADC network. Attended the Montana Economic Developers Association Conference in Livingston in April. We are also currently re-applying for FADC funding, including a small increase in funding for the upcoming two year contract of $6,000.00 per year. Growth Through Ag Projects and USDA Projects Derek Eaton Location- Billings, MT Contact- Derek Eaton Derek was raised on a family cattle ranch and has been working on utilizing AI technology to allow those interested in purchasing livestock from producers to be processed an app for smart phones that would allow producers to list livestock for sale live and allow the customer to choose a transportation option to a local processor and have the finished product shipped to them. Beartooth FADC assisted Derek in developing a GTA application for the development of this opportunity. Beartooth FADC also assisted Cut Craft with developing a Biz Builder application for training and funds through a new grant opportunity from the Department of Rodi Farms Location- Laurel, MT Contact-Carah Ronan Beartooth FADC assisted Rodi Farms in re applying for the USDA Value Added Producer Grant for approximately $135,000.00 in operating funds to expand their cut flower and local food aggregation business. 62 Page 18 Smurai Sue’s Location- Red Lodge, MT Contact-Asano Otsu Asano started her small bakery and ready-to-eat meals in 2018 initially selling them in the Moon Lake Market attached to her processing location. The business now markets her bread and pizza crusts as well as ready to eat pizzas at the local grocery store and online orders. She and her husband are now building a larger new location to expand her business and Beartooth FADC has worked with her to develop a GTA Business and Marketing Grant and an RFSI grant for expanding her online presence and sales and purchasing equipment. She received $8,000 in Business and Marketing Grant funds from the Department of Agriculture; she also received $18,000.00 for the full GTA grant for equipment to finish her new processing location. Beartooth FADC and MMEC conducted a site visit with the owners at their new location to talk about where they could locate some pieces of equipment for efficient access while processing. Greycliff Mill Location- Big Timber, MT Contact- Micah Bowden The Greycliff Mill near Greycliff, MT is developing their own meat processing location for their Cattle and Buffalo on their small ag operation. Beartooth FADC assisted Micah Bowden in developing a GTA application for a smoker to be used in their small processing operation, Beartooth is working with the business to complete their Business Enhancement Program grant for training with the MSU food lab on recipe development. Farm Box Location- Joliet, MT Contact- Justin Dye Farm Box markets local foods with a list of locations they set up and sell directly to consumers and they market local foods through their active Facebook Page. Beartooth FADC has assisted them in developing a GTA application for funding to expand their business by promoting local foods, we may also be assisting the business in developing a BEP grant for food based training. Yellowstone Valley Farm Contact-Reuben Stahl Location-Laurel Reuben Stahl has a family greenhouse business growing basil and selling to FSA and Sysco, he would like to add another greenhouse to keep up with increased demand this last year. Beartooth RC&D assisted Reuben with developing a video of his business for marketing and researching potential funding 63 Page 19 opportunities for his greenhouse expansion. Beartooth FADC and MMEC visited with Reuben in March to discuss his interest in starting to market pesto using his fresh grown herbs and options for processing. Becky’s Berries Location- Absarokee, MT Contact- Becky Stahl Beartooth FADC has been assisting Becky Stahl with her new line of mustards, she has developed a new label and is now marketing them. Working with MMEC we have helped Becky take a tour of Kings Cupboard in Red Lodge to see his equipment, some of which she may be investing in at some point in the future. She and her son-in-law Shane worked with Beartooth FADC on developing a GTA grant. They are still deciding on whether they will be looking at building a new location. S Ranch Meats Location- Custer, MT Contact- Hannah Knutson S ranch meats is a family owned and operated beef business. The ranch operates a 6000 head ranch and developed a USDA meat processing plant in Hardin, MT. They have developed their own line of packaged meats sold at local restaurants and through Facebook and word of mouth marketing. Beartooth FADC has been working with USDA VAPG specialists to assist the business in applying for $250,000.00 in operating funds to expand their direct-to-consumer branded beef business. They have received the VAPG funding for the 2024 year. Beartooth FADC staff continues to maintain communication with the business and send them potential training opportunities and funding opportunities. Rebel Head Kombucha Location-Billings, MT Contact- Cassandra Harr Cassandra has been making small batches of Kombucha in her location in Billings, MT but has needed certified alcohol testing from a qualified lab, she now has that to complete the necessary state licensing then she will begin growing her business, Beartooth FADC visited with Rebelhead Kombucha in February to discuss her interest in HAACP training and MMEC Lean manufacturing training and both opportunities were sent to her in follow up communications. 64 Page 20 On Going Projects Black Beard Broncos Location- Worden Contact- Mike Queyrel Mike owns Black Beard Broncos fabrication shop in Worden and Beartooth FADC assisted him in applying for REAP funds for his existing shop to add solar panels to reduce his energy bills. USDA approved the project minus the battery storage. Mountain View Hutterite Colony Location- Acton, MT Contact- Ike Kleinsasser The mountain view colony has one of the largest egg production operations in the state they supply eggs to the Billings area Walmart’s, Albertsons and other retail stores. Beartooth FADC assisted them ten years ago with a Growth Through Ag Grant for a delivery truck and now they are needing a new egg processing and packaging equipment that would allow them to expand their output by more than double. They are working with MMEC on designing a new facility in the coming years. Stovall Ranch and Yellowstone Feeders Location- Yellowstone County Contact- Turk Stovall The Stovall family are generational beef producers in Yellowstone County they have grown their operation to include two sizeable Feedlots and sell Certified Angus Beef as well as having their own branded beef products sold direct to consumer. Beartooth FADC talked with the business about the potential use of the REAP program for their expansion plans as well as USDA VAPG for their direct beef sales business. They are also looking at the USDA Supply Chain Guaranteed Loans. Beartooth visited with stakeholders on this project and discussed changes to the REAP program, and other potential funding sources including the 5625Beartooth RLF. 65 Page 21 Speedy and Flo’s Sweet Corn Location- Hardin, MT Contact-Flo Ramirez Beartooth FADC worked with Flo Ramirez and his wife; they started growing fresh produce and sweet corn for local sales over ten years ago on a one-and-a-half-acre garden plot. Their business has grown, and they now raise 25 acres of sweet corn and have a 4-acre garden, they sell all their fresh produce at locations in Hardin, several in Billings, Joliet, Miles City and Absarokee, Miles City as well as in northern Wyoming. Beartooth FADC assisted Flo in developing his application for the Business and Marketing Grant for new bags for the corn that have their logo and Facebook information on them. After purchasing the new bags Beartooth FADC assisted Flo in applying for a GTA program for the development of their greenhouse and retail location, they were successful and will receive $50,000.00 for this project. The new greenhouse is completed and will be utilized next year to grow more produce and increase the profitability of their family business. Beartooth has continued to assist the business with GTA reporting and research on new funding opportunities. Beartooth Initial Contact/ Outreach Vantage Point Farm- Laurel Yellowstone Farms- Laurel Samarai Sues Everyday Foods- Red Lodge Aaron Toews VAPG application – Hardin Brandon Lang- Billings Grindys Cheeseballs- Billings 66 Page 22 Beartooth Economic Development Director Report Big Horn County – Housing Needs Assessment Study • Final Report presented to the County Commissioners on March 6th City of Hardin – Economic Development Strategy • Partnered with Tina Toyne and Consultant (Ayres Associates) on the In-Depth Interviews with Community Members and Business owners for stakeholder meeting sessions. City of Big Timber - MAP EJ Grants • Thriving Communities Grantmaking – Big Timber Civic Centre Upgrades - Declined City of Laurel • Officially appointed to Laurel Urban Renewal Agency (LURA) Board in Advisory capacity Reporting (State and Federal) • EDA - Partnership Planning Program FY2025 Funding Application • CRDC - 2025 Annual Work Plan Coal Board Application • Lodge Grass – Backhoe and Excavator o Application returned due to missing signature o Staff Comments - According to State Accounting, funding the City of Hardin to then give funds to Lodge Grass would be a violation of the no-pay order. o The application will be presented to the Coal Board for the upcoming draw Montana – ORE – Opportunities in Rural Economies Loan Program • One Health - New Office Space Proposal for Creating a Regional Online Business Directory and Resource Library • Application to USDA’s RBDG Program to be submitted in the next draw • Goals: Increase Business Visibility, Continuous Engagement and Communication and Resource Accessibility 67 Page 23 Project Manager/Executive Assistant Report – May 15, 2025 USDA Rural Community Development Initiative (RCDI) with Red Lodge Area Community Foundation (RLACF/Angela Getchell, Workforce Housing Manager) • Visioning Activity with the Red Lodge Urban Renewal Agency and Kansas State University- Technical Assistance Brownfields team is scheduled for May 28 & 29. o Community survey is live o Community Meeting on May 28th from 6-8 pm • Signed MOU with Trust Montana, Roberts School District, and RLACF for First Right of Refusal (FROR) housing model. o $300/month maintains FROR. Fair Market Rent is $923/month. o Working with Architect, Construction Supervisor, Roberts Water & Sewer Board, etc. and going before County Planning Board soon to begin construction on first triplex. • $131,000 Grant ends on Sept. 30th, but we plan to request an extension from USDA USDA RCDI (Rural Community Development Initiative) with City of Hardin (Tina Toyne, EDD) • Grant ended on March 31st. Final Qtr Report & Summary Reports submitted in April. • 3 ½ years working with Big Horn County & City of Hardin • $120,000 grant provided training, support, and 50% reimbursement for EDD position • End result = 2 Economic Development Directors are now doing great work in Hardin and BHC! RCAC (Rural Community Assistance Corporation) Grant in Columbus • Monthly small group meetings continue as we work to make goals a reality for 2+ years. • Stillwater County Chamber of Commerce support o RCAC/Beartooth conducted a 3-hour Chamber board training on May 12th. • Governor’s Conference on Tourism April 27-29 o MT Heritage Center – opening in November o New Montana branding coming o Need a grant writer? Try www.dottedifundraising.com o Help setting up a nonprofit? www.mtnonprofit.org 68 Page 24 Frequently Used Acronyms BIA – Bureau of Indian Affairs BLM – Bureau of Land Management BRCD – Beartooth RC&D BSEDA – Big Sky Economic Development Association BSTF – Big Sky Trust Fund CDBG – Community Development Block Grant CRDC – Certified Regional Development Corporation CEDS – Comprehensive Economic Development Strategy CTEP – Community Transportation Endowment Program EDA – Economic Development Administration EDD – Economic Development District FADC- Food and Ag Development Center GIS – Geographic Information Systems GPS – Global Positioning System GTA- Growth Through Ag Grant and Loan HOME – Montana Home Investment Partnerships Program HUD – US Department of Housing and Urban Development IRP – Intermediary Relending Program LESA – Land Evaluation Site Assessment MBOI – Montana Board of Investments MDOA- Montana Department of Agriculture MDOC – Montana Department of Commerce MDOL – Montana Dept. of Labor MDOT – Montana Dept. of Transportation MDFWP – Montana Dept. of Fish, Wildlife and Parks MEDA – Montana Economic Developers Association MMEC- Montana Manufacturing Extension Center NADO – National Association of Development Organizations NHS – Neighborhood Housing Services NRCS – Natural Resource Conservation Service RBDG – Rural Business Development Grant RC&D – Resource Conservation & Development RCDI – Rural Community Development Initiative RD – Rural Development (a division of USDA) RCPP- Regional Conservation Partnership Program REAP- Rural Energy for America Program RLF – Revolving Loan Fund RMAP- Rural Micro entrepreneur Assistance Program SBA – Small Business Administration SBDC – Small business Development Center SSBCI- State Small Business Credit Initiative TIFD – Tax Increment Finance District TSEP - Treasure State Endowment Program USDA – United States Department of Agriculture USFS – United States Forest Service LSL- Lead Service Lines 69 File Attachments for Item: 9. Poppy Day Proclamation 70 Poppy Proclamation WHEREAS, America is the land of freedom, preserved and protected willingly and freely by citizen soldiers; WHEREAS, Millions who have answered the call to arms have died on the field of battle; WHEREAS, A nation at peace must be reminded of the price of war and the debt owed to those who have died in war; WHEREAS, The red poppy has been designated as a symbol of sacrifice of lives in all wars; and WHEREAS, The American Legion Auxiliary has pledged to remind America annually of this debt through the distribution of the memorial flower; THEREFORE, I, Dave Waggoner of the City of Laurel, County of Yellowstone, Montana, do hereby proclaim this 23rd day of May 2025, as POPPY DAY and ask that all citizens pay tribute to those who have made the ultimate sacrifice in the name of freedom by wearing the Memorial Poppy on this day. IN WITNESS WHEREOF, I have hereunto set my hand and caused to be affixed the official seal of City of Laurel, Montana this 13th day of May 2025. CITY OF LAUREL _______________________ Dave Waggoner, Mayor Attest: __________________________ Kelly Strecker, Clerk/Treasurer 71 File Attachments for Item: 10. Budget/Finance Committee Minutes of April 22, 2025. 72 73 74 File Attachments for Item: 11. Public Works Committee Minutes of April 21, 2025. 75 76 77 78 79 80 81 File Attachments for Item: 12. Laurel Airport Authority Minutes of December 3, 2024. 82 83 84 File Attachments for Item: 13. Emergency Services Committee Minutes of March 24, 2025. 85 86 87 88 89 90 91 92 93 File Attachments for Item: 14. Resolution No. R25-29: A Resolution Of The City Council To Accept Studies Of The City ’s Existing Water And Wastewater Rate Structures And Recommendations For Any Necessary Modifications To The Existing Rate Structures Prepared By Raftelis Financial Consultants, Inc., And Amending Previous Resolution No. R25-25. 94 R25-29 Approve Water and Wastewater Rate Studies (Amending R25-25) RESOLUTION NO. R25-29 A RESOLUTION OF THE CITY COUNCIL TO ACCEPT STUDIES OF THE CITY’S EXISTING WATER AND WASTEWATER RATE STRUCTURES AND RECOMMENDATIONS FOR ANY NECESSARY MODIFICATIONS TO THE EXISTING RATE STRUCTURES PREPARED BY RAFTELIS FINANCIAL CONSULTANTS, INC. AND AMENDING PREVIOUS RESOLUTION NO. R25-25. WHEREAS, on March 26, 2024, the City of Laurel executed a Professional Services Agreement between the City of Laurel and Raftelis Financial Consultants, Inc. (hereinafter “Raftelis”) for a Water Study and a Wastewater Study, via Resolutions No. R24-16 and R24-17; WHEREAS, Raftelis conducted the Water Study and the Wastewater Study and submitted them to the City of Laurel with recommended rate structure changes; WHEREAS, pursuant to R25-25, on April 8, 2025, the City Council of the City of Laurel accepted the recommended rate structure changes submitted by Raftelis; WHEREAS, City Staff thereafter discovered an error in the tables utilized in the Water and Wastewater Rate Studies prepared by Raftelis and approved by City Council on April 8, 2025; WHEREAS, the Water and Wastewater Rate Studies and tables originally approved have now been corrected; and WHEREAS, City Staff has reviewed the corrected Water and Wastewater Rate Studies and tables and recommends City Council acceptance of the same. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Laurel, Montana, that the corrected Water and Wastewater Rate Studies prepared by Raftelis, copies of which are attached, are hereby accepted. Introduced at a regular meeting of the City Council on the 13th day of May, 2025, by Council Member Mackay. PASSED and APPROVED by the City Council of the City of Laurel on the 13th day of May, 2025. APPROVED by the Mayor on the 13th day of May, 2025. CITY OF LAUREL ___________________________ Dave Waggoner, Mayor 95 R25-29 Approve Water and Wastewater Rate Studies (Amending R25-25) ATTEST: _______________________________ Kelly Strecker, Clerk-Treasurer APPROVED AS TO FORM: ______________________________ Michele L. Braukmann, Civil City Attorney 96 Water Rate Study Report Final Report - Revised / May 8, 2025 City of 97 This page was intentionally left blank. 98 383 North Corona Street, Suite 244 Denver, CO 80218 www.raftelis.com May 8, 2025 Ms. Kelly Strecker City Clerk/Treasurer City of Laurel 115 West 1st Street Laurel, MT 59044 Subject: Water Rate Study Report Dear Kelly: Raftelis is pleased to provide this water rate study report prepared for the City of Laurel (City). The primary purpose of this study was to ensure the financial sustainability of the water utility and ensure that rates and fees recovered costs proportionately across all customer classes. This study includes the following:  10-year financial plan cash analysis to determine the level of rate revenues to meet annual expenditures, target reserves and debt service coverage.  Cost-of-service analysis to allocate costs proportionately to customer classes for the water utility.  Design rates based on the preferred alternative for water. It has been a pleasure working with you, and we thank you and the City staff for the support provided during this study. Sincerely, Todd Cristiano Vice President 99 CITY OF LAUREL, MT WATER RATE STUDY REPORT Table of Contents 1. EXECUTIVE SUMMARY ........................................................................................................5 Introduction ........................................................................................................................................................... 5 Assumptions ......................................................................................................................................................... 5 Findings and Conclusions .................................................................................................................................. 6 Cash Flow Analysis .......................................................................................................................................... 6 Cost of Service ................................................................................................................................................. 6 Rate Design ..................................................................................................................................................... 7 Reliance on City-Provided Data ....................................................................................................................... 9 2. FINANCIAL PLAN ................................................................................................................ 10 Cash Flow Analysis ............................................................................................................................................ 10 3. COST OF SERVICE AND RATE DESIGN ........................................................................... 13 Cost-of-Service Analysis ................................................................................................................................... 13 Rate Design ......................................................................................................................................................... 14 List of Tables Table 1: Additional Assumptions .................................................................................................................................. 6 Table 2: Comparison of Existing and Proposed FY25 – FY29 Cost of Service Rates ................................................. 8 Table 3: Comparison of Existing and Proposed FY25- FY29 Cost of Service Rates ................................................. 16 List of Figures Figure 1: Water Revenue and Expenditures ............................................................................................................... 11 Figure 2: Proposed Annual Water Rate Increases ..................................................................................................... 11 Figure 3: Debt Service Coverage................................................................................................................................ 11 Figure 4: The Standard Cost Allocation Process ........................................................................................................ 11 Figure 5: Allocation of Water Utility Costs Under Current Rates Compared to the Allocated Cost of Service........... 11 List of Appendices Appendix A: Water Utility Financial Plan, Cost of Service, and Rate Design Analysis 100 WATER RATE STUDY 5 1. Executive Summary Introduction The City of Laurel (City) provides water service to approximately 2,900 customers. The City is financially self- sufficient with funding from capital and operating requirements derived primarily from rate revenues and other operating income. The City authorized this study to ensure that an adequate level of income from rates is maintained to finance daily operations, fund capital projects, maintain reserves and meet debt service coverage requirements along with rates that are fair and aligned with the City’s goals and community values. Raftelis worked closely with the engineering firm, Morrison-Maierle in reviewing capital projects, timing, and costs. Raftelis met weekly over this period to discuss project status and present interim results. These meetings included staff as well as the City’s executive management team. The results presented in this report are a culmination of these efforts between the City and Raftelis. The primary objectives of this study included:  A 5-year financial plan identifying the annual revenue adjustments needed to fund operation and maintenance expenses, debt service, and capital projects while satisfying reserve requirements and debt service coverage;  A detailed water cost-of-service analysis to determine the cost to provide service to customer classes. The principal concept of this analysis is to assign costs in a proportionate manner to each customer class based on their demand and customer characteristics;  A rate structure that meets the pricing objectives of the City and equitably recovers the cost to provide service to the City’s customer classes; residential, commercial, irrigation, and industrial customers. This report includes water and wastewater financial plan results for the 5-year study period 2025 through 2029, water cost-of-service analysis, and rate design. Raftelis used industry standard methodologies supported by the American Water Works Association (AWWA) Principles of Water Rates, Fees, and Charges M1 manual. Appendix A contains the tables that detail the financial plan, cost of service, and rate design analysis for the water utility. Assumptions This study is based on numerous assumptions. Changes in these assumptions could materially affect the study findings. Raftelis incorporated the following key assumptions into the study:  The test year, or the year new rates will be in effect, is the second half of FY25 (January through June).  The study period is for FY25 – FY29.1  Growth in the number of accounts is projected at 0.1% per year.  Usage per account is based on historical data. Residential water usage per account is approximately 5,200 gallons per month  Costs will change as follows:  Capital costs are projected to experience an annual increase of 4.5% due to inflation.  The expected inflation rates for operation and maintenance (O&M) expenses are: 1 The cash flow tables include FY24 as the base year, or the year in which the model was developed, and is based on a combination of budgetary information and estimated values. The study forecast is for FY25 through FY29. 101 6 CITY OF LAUREL  Personnel services (FY25 – FY26; FY27 – FY29): 4.5%; 4.0%  Professional and Contractual Services, Repairs and Maintenance, Operating Supplies and Equipment, Professional Development (FY25 – FY26; FY27 – FY29): 4.0%, 3.5%  Water supply (FY25 – FY29): 5.0%  General (FY24 – DY29): 3.0%  Coverage requirement is 1.20 x debt service based on the revenue bond issuance requirements  Proposed state loan terms: 2.5% interest rate, 20-year term Table 1: Additional Assumptions Description Units FY25 Beginning Balance $4,566,901 Proposed Grants FY26 FY27 $207,500 1,867,5000 Water SRF Loans FY27 FY28 $18,556,701 3,608,247 Target Operating Reserves (FY25 values shown) 90 Days of O&M (FY25 values shown) Meter Deposits Total $739,110 250,709 $989,819 Target Capital Reserves (FY25 values shown) Capital Replacement Reserve (~1-Year Depreciation @ Replacement Cost New) Cash - Meter replacement Cash - Restricted - Water Line Cash - Refinanced Bonds Cash - Bond Reserve SFR SED Cash - Bond Reserve DNRC IV Cash - Bond Reserve DNRC IV Total $1,500,000 137 276,439 736,505 169,546 95,903 133,828 $2,912,357 Findings and Conclusions CASH FLOW ANALYSIS Revenue from rates should be sufficient to cover operating expenses, the capital improvement program, payments on existing and proposed debt service, and as well as meeting debt service coverage requirements and reserve targets. Raftelis proposes equal annual revenue adjustments of 16% in FY25 through FY27, followed by a 4% adjustment in FY28 and FY29. These increases represent the increase in total rate revenue that is required to meet annual expenditures. COST OF SERVICE The cost-of-service analysis determines the cost of providing water service to each customer class and provides guidance for design of the proposed rates. Cost of service is based on the principles of proportionality. Annual costs are assigned to each customer class considering the amount of water used, the rate of water use, and the number of customers and number of meters. Raftelis completed a comprehensive cost-of-service analysis for FY25 using standard methods supported by the American Water Works Association (AWWA) in its M1 manual, Principles of Water Rates, Fees, and Charges. Appendix A includes tables showing the development of water cost of service for 2024. Cost-of-service rates were developed for the residential, commercial, and industrial classes. The irrigation class is included with the commercial class. 102 WATER RATE STUDY 7 RATE DESIGN In the development of water rate schedules, a basic consideration is to establish equitable charges to customers commensurate with the cost of providing service. Raftelis developed rates for each customer class based on the cost of service analysis. Table 2 compares the existing and proposed rates for the 5-year study period FY25 – FY29. Existing structure • Monthly minimum charge that varies by meter size • 1,000 gallons volume allowance • Capital charge that varies by meter size (per EDU) • Uniform volume rate same for all customer classes • The City may elect not to adopted the proposed cost-of-service rates. In that circumstance, the annual rate increase would apply uniformly to the base charge, volume allowance charge, the capital surcharge, and volume rate. Proposed Cost of Service Rates • Monthly base charge that varies by meter size • No volume allowance • Capital charge that varies by meter size • Residential volume rate: 4-tiered rate structure • Commercial and industrial volume rate: uniform rate • Future year rate increases identified in the financial plan will apply uniformly to the base charge, capital surcharge, and volume rates. 103 8 CITY OF LAUREL Table 2: Comparison of Existing and Proposed FY25 – FY29 Cost of Service Rates 104 WATER RATE STUDY 9 RELIANCE ON CITY-PROVIDED DATA During this project, the City (and/or its representatives) provided Raftelis with a variety of technical information, including cost and revenue data. Raftelis did not independently assess or test the accuracy of such data – historic or projected. Raftelis has relied on this data in the formulation of our findings and subsequent recommendations, as well as in the preparation of this report. Raftelis also relied on cost allocation data provided by the City needed to complete the cost-of-service analysis. There are often differences between actual and projected data. Some of the assumptions used for projections in this report will not be realized, and unanticipated events and circumstances may occur. Therefore, there are likely to be differences between the data or results projected in this report and actual results achieved, and those differences may be material. As a result, Raftelis takes no responsibility for the accuracy of data or projections provided by or prepared on behalf of the City, nor do we have any responsibility for updating this report for events occurring after the date of this report. The results presented herein are drafted and under consideration by the City. Drawing conclusions from information in this report is premature and may lead to erroneous assessments as the document may be subject to revisions and refinement. 105 10 CITY OF LAUREL 2. Financial Plan Cash Flow Analysis The water utility financial plan is separated into two subfunds- the operating subfund and the capital subfund. The capital subfund tracks activities associated with capital projects and funding sources for the capital projects. The operating subfund tracks activities associated with the daily operations of the utility. The combined FY25 beginning fund balance is $4.6 million. Water revenues consist primarily of rate revenues and nominal miscellaneous revenues. Rate revenues at current rates average $3.3 million annually. Other rate revenue sources include water sales to CHS refinery. This includes potable water, raw water, and settled water. Rates for CHS are contractual. CHS rate revenue averages approximately $199,000 annually. Other non-rate revenue includes water line insurance, which averages $33,000 annually, and the 5/8” bypass revenue, which averages $28,600 annually. Other non-rate revenue includes sales of water supplies, fire line revenue, and other miscellaneous sources averaging in total approximately $10,000 annually. The City anticipates receiving a grant of $2,075,000 and a loan of $18.6 million to fund the new water tank and booster station in FY26 and FY27. A proposed loan of $3.6 million is also projected in FY28 to fund water treatment filter replacement. O&M expenses include costs to treat and deliver water to customers. O&M is projected to increase from $3.0 million to $3.5 million by FY29. Other expenditures include payments on existing and proposed debt service. Existing debt service averages $429,000 annually. Proposed debt service is projected at $1.2 million beginning in FY27. Transfers to the capital fund are $1.2 million to assist in funding the annual capital program. Capital projects total $31.2 million for the study period. Highlights of the capital program include:  A state revolving fund (SRF) loan of $18.6 million is anticipated in FY27 to fund the majority of the new water tank and booster station project. This is in conjunction with anticipated grants totaling $2.075 million. The total cost of the new water tank and booster station is $20.6 million, including an inflation allowance.  Another SRF loan of $3,608,247 is planned for FY28 to significantly fund the new filters project with an estimated cost of $5.7 million, which includes an inflation allowance. The City has a total reserve target of $3.9 million for FY25 and a debt service coverage requirement2 of 1.20x as part of the loan covenants. Reserves The City currently has a number of reserve requirements as identified in Table 1. Raftelis recommends the City include an annual operating reserve of 90 days of O&M and a capital reserve equal to 1-years depreciation expense. The O&M reserve acts as a buffer for unbudgeted emergency expenses, fluctuations in customer payments or reductions in water sales due to drought or wet weather. In addition, lenders and bond agencies view operating reserves as a sign of financial health, which can lead to more favorable credit ratings. 2 Debt service coverage = [Revenues less expenses (excluding depreciation)] / annual debt service 106 WATER RATE STUDY 11 A capital reserve equal to 1-year depreciation expense recognizes the loss in asset value due to wear and tear and obsolescence. A capital reserve can help smooth out the unevenness of annual capital expenditures. As a result, customers can benefit from more steady and predictable rate increases. Indicated Financial Plan Increases Rate revenues should be sufficient to meet annual requirements, which includes O&M, debt, transfers to the capital fund, target reserves and debt service coverage. Revenues at current rates are insufficient to meet these requirements. The City needs annual adjustments of 16% in FY25 (January through June), FY26, and FY27 followed by 4% in FY28 and FY29. The initial 16% rate increase is required to meet the target debt service coverage. Future increases are required to the debt service coverage and the reserve targets. It is recommended the financial plan be reviewed annually to ensure that rate revenue is sufficient to meet projected revenue requirements. Figure 1 illustrates revenue and expenditures for the operating fund, as well as ending fund balances and target reserves. Figure 2 shows the projected FY25 increase of 16% effective from January of FY25 through FY27, followed by a 4% increase in FY28 and FY29. The FY25 increase is assumed to effective for January water use. Rate increases for future years are assumed to be effective July 1 of each year. Figure 3 illustrates the target and calculated debt service coverage between FY25-FY29. Figure 1: Water Revenue and Expenditures Figure 2: Proposed Annual Water Rate Increases 107 12 CITY OF LAUREL Figure 3: Debt Service Coverage 108 WATER RATE STUDY 13 3. Cost of Service and Rate Design Cost-of-Service Analysis Raftelis completed this comprehensive cost-of-service analysis by standard methods supported by the American Water Works Association (AWWA) in its M1 manual, Principles of Water Rates, Fees, and Charges. This analysis determines the cost of providing water service to each customer class and guides the design of the proposed rates. The general steps of the cost-of-service analysis are: 1. Revenue requirement. Determine the level of revenue required from rates. The revenue requirement includes expenditures in the operating fund: O&M, debt service, capital projects, reserves, and changes in fund balance. The proposed 16% revenue adjustment in FY25 is in effect for 6 months and generates $265,033 of additional revenue for a total of $3,577,948. This equates to an annualized increase of 8.0%. However, to ensure that rates recover the 6 months of revenue at a 16% revenue adjustment, the revenue requirement must be stated in annualized terms 3. 2. Cost functionalization. Assigns the costs detailed in the revenue requirements (i.e., O&M, capital, revenue offsets) to functional areas in the system. Functional areas include water treatment, transmission and distribution, storage, source of supply, meters, and services, and billing and administrative costs. Costs are functionalized based on the facility that has the most influence on that expense. For example, chemical costs are most influenced by treatment processes so those costs would be allocated to the water treatment category. 3. Allocation of Functionalized Costs to System Demand Parameters. Functional costs can be allocated to demand parameters and customer characteristics. Demand parameters include average day demands and peak demands. Customer characteristics include the number of accounts by meter size and bills. Each facility is designed to meet specific design requirements in the system. For example, water treatment facilities are designed and operated to meet maximum day demands. As a result, a portion of water treatment costs would be allocated to the average day demand category and a portion to the peak demand category. These assignments are completed for all the revenue requirement line items. 4. Units of service. The units of service capture the demand and customer characteristics for each customer class. These characteristics include average day demand, peak demand, number of accounts by meter size, and the number of bills. 5. Distribution of costs to customer classes. Because customer classes are defined by their demand parameters (average day and peak demands) and the account makeup (meters by meter sizes), the allocated costs can be proportionately distributed to each class based on their specific demand and customer characteristics. 3 The annualized revenue requirement is $3,842,982. This value is used to calculate rates. Six months of rate revenue calculated on the annualized amount plus six months of revenue under existing rates will generate $3,577,948. 109 14 CITY OF LAUREL For example, if the residential customer class represents 50% of total peak day demands, they would be allocated 50% of the allocated peak day demand costs. Figure 4 illustrates the cost allocation process for a typical water utility. Figure 5 shows the change in the distribution of costs between the customer classes under existing rates and the cost-of-service analysis. Figure 4: The Standard Cost Allocation Process Figure 5: Allocation of Water Utility Costs Under Current Rates Compared to the Allocated Cost of Service Rate Design Rate Design In the development of water rate schedules, a basic consideration is to establish equitable charges to customers commensurate with the cost of providing service. Raftelis developed rates for each customer class based on the cost of service analysis. Table 2 compares the existing and proposed rates for the 5-year study period FY25 – FY29. Existing structure • Monthly minimum charge that varies by meter size • 1,000 gallons volume allowance 110 WATER RATE STUDY 15 • Capital charge that varies by meter size (per EDU) • Uniform volume rate same for all customer classes • The City may elect not to adopted the proposed cost-of-service rates. In that circumstance, the annual rate increase would apply uniformly to the base charge, volume allowance charge, the capital surcharge, and volume rate. Proposed Cost of Service Rates • Monthly base charge that varies by meter size • No volume allowance • Capital charge that varies by meter size • Residential volume rate: 4-tiered rate structure • Commercial and industrial volume rate: uniform rate • Future year rate increases identified in the financial plan will apply uniformly to the base charge, capital surcharge, and volume rates. 111 16 CITY OF LAUREL Table 3: Comparison of Existing and Proposed FY25- FY29 Cost of Service Rates 112 APPENDIX A Water Utility Financial Plan, Cost of Service, and Rate Design Analysis 113 114 115 116 117 118 119 120 121 122 123 124 125 126 127 128 129 130 131 132 133 134 City of Laurel Table A-18 Water Utility Proposed Cost of Service Rates (FY25 - FY29) Service Charge, $ per bill Meter Size Base Charge Volume Allowance Capital Surcharge Monthly Base Rate Meter Size Base Charge Volume Allowance Capital Surcharge Monthly Base Rate Meter Size Base Charge Volume Allowance Capital Surcharge Monthly Base Rate Inches Inches Inches 3/4" $21.75 $2.86 $8.00 $32.61 3/4" $24.61 $0.00 $8.00 $32.61 3/4" $28.55 $0.00 $9.28 $37.83 1" 38.93 2.86 14.32 56.11 1" 41.79 0.00 14.32 56.11 1" 48.48 0.00 16.61 65.09 1.25" 60.47 2.86 22.24 85.57 1.25" 63.33 0.00 22.24 85.57 1.25" 73.46 0.00 25.80 99.26 1.5" 87.00 2.86 32.00 121.86 1.5" 89.86 0.00 32.00 121.86 1.5" 104.24 0.00 37.12 141.36 2" 155.30 2.86 57.12 215.28 2" 158.16 0.00 57.12 215.28 2" 183.47 0.00 66.26 249.72 3" 348.00 2.86 128.00 478.86 3" 350.86 0.00 128.00 478.86 3" 407.00 0.00 148.48 555.48 4" 621.40 2.86 228.56 852.82 4" 624.26 0.00 228.56 852.82 4" 724.14 0.00 265.13 989.27 6" 1,398.31 2.86 514.32 1,915.49 6" 1,401.17 0.00 514.32 1,915.49 6" 1,625.36 0.00 596.61 2,221.97 10" 3,866.72 2.86 1,422.24 5,291.82 10" 3,869.58 0.00 1,422.24 5,291.82 10" 4,488.71 0.00 1649.80 6,138.52 Meter Size Base Charge Volume Allowance Capital Surcharge Monthly Base Rate Meter Size Base Charge Volume Allowance Capital Surcharge Monthly Base Rate Meter Size Base Charge Volume Allowance Capital Surcharge Monthly Base Rate Inches Inches Inches 3/4" $33.12 $0.00 $10.76 $43.88 3/4" $34.44 $0.00 $11.20 $45.64 3/4" $35.82 $0.00 $11.64 $47.46 1" 56.23 0.00 19.27 75.50 1" 58.48 0.00 20.04 78.52 1" 60.82 0.00 20.84 81.66 1.25" 85.22 0.00 29.93 115.14 1.25" 88.63 0.00 31.12 119.75 1.25" 92.17 0.00 32.37 124.54 1.5" 120.92 0.00 43.06 163.97 1.5" 125.75 0.00 44.78 170.53 1.5" 130.78 0.00 46.57 177.36 2" 212.82 0.00 76.86 289.68 2" 221.33 0.00 79.94 301.27 2" 230.19 0.00 83.13 313.32 3" 472.12 0.00 172.24 644.35 3" 491.00 0.00 179.13 670.13 3" 510.64 0.00 186.29 696.93 4" 840.00 0.00 307.55 1,147.55 4" 873.60 0.00 319.85 1,193.46 4" 908.55 0.00 332.65 1,241.20 6" 1,885.41 0.00 692.07 2,577.48 6" 1,960.83 0.00 719.75 2,680.58 6" 2,039.26 0.00 748.54 2,787.81 10" 5,206.91 0.00 1,913.77 7,120.68 10" 5,415.18 0.00 1,990.32 7,405.51 10" 5,631.79 0.00 2,069.94 7,701.73 Volume Charge, $ per 1,000 gallons Threshold Existing FY25 FY26 FY27 FY28 FY29 (Jan-Jun) Residential First 1,000 $0.00 $2.17 $2.52 $2.92 $3.04 $3.16 Next 4,000 2.86 2.17 2.52 2.92 3.04 3.16 Next 5,000 2.86 2.71 3.14 3.65 3.79 3.94 Next 10,000 2.86 3.26 3.78 4.39 4.56 4.74 Over 20,000 2.86 4.34 5.03 5.84 6.07 6.32 Commercial First 1,000 $0.00 $3.27 $3.79 $4.40 $4.58 $4.76 Over 1,000 2.86 3.27 3.79 4.40 4.58 4.76 Industrial First 1,000 $0.00 $4.02 $4.66 $5.41 $5.63 $5.85 Over 1,000 2.86 4.02 4.66 5.41 5.63 5.85 [1] Includes 1,000 gallons volume allowance [2] No volume allowance in proposed base charges [3] Includes capital surcharge which varies by meter size Existing FY25 (January-June) FY26 FY27 FY28 FY29 135 File Attachments for Item: 15. Resolution R25-30: A Resolution Of Intent To Increase The City Of Laurel’s Water And Wastewater Rates And Charges To Become Effective On July 10, 2025, And Setting A Date And Time For A Public Rate Hearing. 136 R25-30 Approve Water and Wastewater Rate Changes and Set Public Hearing RESOLUTION NO. R25-30 A RESOLUTION OF INTENT TO INCREASE THE CITY OF LAUREL’S WATER AND WASTEWATER RATES AND CHARGES TO BECOME EFFECTIVE ON JULY 10, 2025 AND SETTING A DATE AND TIME FOR A PUBLIC RATE HEARING. WHEREAS, the current water and wastewater rates and charges in effect at the present time are not adequate to provide revenues with which to defray the increased costs of operation, maintenance, and capital of the City’s water and wastewater distribution facilities and systems; WHEREAS, the provision of the water and wastewater systems and facilities is essential to the preservation of the public’s health and welfare; WHEREAS, the new rates, must before taking effect, be approved by the City Council after advertising and conducting a public rate hearing pursuant to the City’s Charter at Article I, Section 1.03(2) and MCA Section 69-7-111; WHEREAS, current budgetary requirements with respect to the operation of said facilities in addition to on-going and future projects require the proposed rates to become effective on or about July 10, 2025, to enable the City to proceed as expeditiously as possible to accomplish the objectives herein above recited; and WHEREAS, pursuant to its Charter and Montana law, the City Council has determined that a public rate hearing must be advertised and held to gather documents, testimony, and other evidence regarding the proposed increases in water and wastewater rates and charges. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LAUREL, MONTANA: 1. That the City Council considers it both advisable and necessary to increase the municipal water and wastewater rates and charges for all users and proposes to increase the rates and charges as specifically contained on the rate and charge schedule marked “Exhibit A” that is attached hereto and hereby incorporated into this Resolution by reference. 2. That a public rate hearing shall be held on June 24, 2025, at 6:30 p.m. in the City Council Chambers, at City Hall, Laurel, Montana, for the purpose of gathering and receiving testimony, input, and comments from all interested or affected users, citizens, persons, associations, corporations and/or companies. 3. Notice of the public rate hearing shall be published once a week for three consecutive weeks in the Yellowstone County News, a newspaper that conforms to the requirements of MCA § 7-1-4127, and the first such publication shall not 137 R25-30 Approve Water and Wastewater Rate Changes and Set Public Hearing be more than twenty-eight (28) days prior to the hearing and the last publication shall be not less than three (3) days prior to the hearing, in a form substantially similar to the Notice of Public Hearing marked and attached hereto as “Exhibit A”. 4. Additionally, the notice of the public rate hearing shall be mailed at least seven (7) days and not more than thirty (30) days prior to the hearing to all persons who are served by the City’s utilities. The notice shall contain an estimate of the amount the customer’s average monthly bill will increase. Introduced at a regular meeting of the City Council on the 13th day of May 2025 by Council Member ______. PASSED and APPROVED by the City Council of the City of Laurel on the 13th day of May 2025. APPROVED by the Mayor on the 13th day of May 2025. CITY OF LAUREL ___________________________ Dave Waggoner, Mayor ATTEST: _______________________________ Kelly Strecker, Clerk-Treasurer APPROVED AS TO FORM: ______________________________ Michele L. Braukmann, Civil City Attorney 138 City of Laurel’s Proposed Water and Wastewater Utility Service Rates and Charges and Notice of Public Rate Hearing OFFICIAL NOTICE IS HEREBY GIVEN that the Laurel City Council will hold a public hearing on June 24, 2025, at 6:30 p.m. in the Council Chambers at City Hall regarding proposed municipal water and wastewater rate increases. The Clerk/Treasurer will receive protests or objections, if any, in writing before the Council meeting up to and including the City Council meeting of June 24, 2025. The City of Laurel is proposing an increase in water and wastewater rates to ensure the long -term reliability, safety, and sustainability of its utility services. Prior to last year’s increase in the consumption of water and sewer volumetric usage rates, the City had not had rate increases since 2015. The cost of maintaining and operating the City’s water and wastewater systems has significantly increased. Rising energy prices, labor costs, and the need for upgraded equipment have strained the current revenue levels. Additionally, much of Laurel’s water and wastewater infrastructure is aging and in need of critical repairs and replacements. This includes water lines, sewer mains, and the City’s only water reservoir which was installed in 1968. To continue delivering potable water to our citizens, a new water reservoir is urgently needed. It is essential for the City of Laurel to deliver clean water and manage wastewater effectively. Without increased funding, the City is restricted to taking care of infrastructure needs or plan for future growth. The City is proposing to modify the existing water rates as follows: Based upon the average monthly usage by user from 2022 to 2024, the rate structure is estimated to increase the monthly water charge by the following amounts, based upon water meter size. Water Rate Structure Water Meter Size Existing Rate Existing Capital Surcharge FY 26-27 Proposed Base Rate FY 26-27 Proposed Capital Surcharge FY 27-28 Proposed Base Rate FY 27-28 Proposed Capital Surcharge FY 28-29 Proposed Base Rate FY 28-29 Proposed Capital Surcharge FY 29-30 Proposed Base Rate FY 29-30 Proposed Capital Surcharge 16% 16% 16% 16% 4% 4% 4% 4% 3/4" $24.61 $8.00 $28.55 $9.28 $33.12 $10.76 $34.44 $11.19 $35.82 $11.64 1" $41.79 $14.32 $48.48 $16.61 $56.24 $19.27 $58.49 $20.04 $60.83 $20.84 1.25" $63.33 $22.24 $73.46 $25.80 $85.21 $29.93 $88.62 $31.13 $92.16 $32.38 1.5" $89.86 $32.00 $104.24 $37.12 $120.92 $43.06 $125.76 $44.78 $130.79 $46.57 2" $158.16 $57.12 $183.47 $66.26 $212.83 $76.86 $221.34 $79.93 $230.19 $83.13 3" $350.86 $128.00 $407.00 $148.48 $472.12 $172.24 $491.00 $179.13 $510.64 $186.30 4" $624.26 $228.56 $724.14 $265.13 $840.00 $307.55 $873.60 $319.85 $908.54 $332.64 6" $1,401.17 $514.32 $1,625.36 $596.61 $1,885.42 $692.07 $,1960.84 $719.75 $2,039.27 $748.54 10" $3,869.58 $1,422.24 $4,488.71 $1,649.80 $5,206.90 $1,913.77 $5,415.18 $1,190.32 $5,631.79 $2,069.93 Volume Rate, $ per 1,000 gallons Threshold Existing Rate FY 26-27 FY 27-28 FY 28-29 FY 29-30 Residential 16% 16% 4% 4% 0-1,000 gal $2.17 $2.52 $2.92 $3.04 $3.16 1.001-5,000 gal $2.17 $2.52 $2.92 $3.04 $3.16 5,001-10,000 gal $2.71 $3.14 $3.64 $3.79 $3.94 10,001-20,000 gal $3.26 $3.78 $4.38 $4.56 $4.74 Over 20,000 gal $4.34 $5.03 $5.83 $6.06 $6.30 Commercial First 1,000 gal $3.27 $3.79 $4.40 $4.58 $4.76 Over 1,000 gal $3.27 $3.79 $4.40 $4.58 $4.76 Industrial First 1,000 gal $4.02 $4.66 $5.41 $5.63 $5.86 Over 1,000 gal $4.02 $4.66 $5.41 $5.63 $5.86 The City is proposing to modify the existing wastewater rates as follows: 139 Based upon the average monthly usage by user from 2022 to 2024, the rate structure is estimated to increase the monthly water charge by the following amounts, based upon water meter size. Wastewater Rate Structure Water Meter Size Existing Rate Existing Capital Surcharge FY 26-27 Proposed Base Rate FY 26-27 Proposed Capital Surcharge FY 27-28 Proposed Base Rate FY 27-28 Proposed Capital Surcharge FY 28-29 Proposed Base Rate FY 28-29 Proposed Capital Surcharge FY 29-30 Proposed Base Rate FY 29-30 Proposed Capital Surcharge 9% 9% 9% 9% 9% 9% 5% 5% 3/4" $19.24 $10.00 $20.97 $10.90 $22.86 $11.88 $24.92 $12.95 $26.17 $13.60 1" $34.44 $17.90 $37.54 $19.51 $40.92 $21.27 $44.60 $23.18 $46.83 $24.34 1.25" $53.49 $27.80 $58.30 $30.30 $63.55 $33.03 $69.27 $36.00 $72.73 $37.80 1.5" $76.96 $40.00 $83.89 $43.60 $91.44 $47.52 $99.67 $51.80 $104.65 $54.39 2" $137.37 $71.40 $149.79 $77.83 $163.21 $84.83 $177.90 $92.46 $186.80 $97.08 3" $307.84 $160.00 $335.55 $174.40 $365.75 $190.10 $398.67 $207.21 $418.60 $217.57 4" $549.69 $285.70 $599.16 $311.41 $653.08 $339.44 $711.86 $369.99 $747.45 $388.49 6" $1236.94 $642.90 $1348.26 $700.76 $1469.60 $763.83 $1601.86 $832.57 $1681.95 $874.20 Volume Rate, $ per 1,000 gallons Billable Water Volume Existing Rate FY 26-27 FY 27-28 FY 28-29 FY 29-30 9% 9% 9% 5% (1) $8.45 $9.21 $10.04 $10.94 $11.49 (1) Based on water use average from October through April. The increase for the water and wastewater base rates, volume rates, and the capital improvement surcharge will be raised annually on July 10th of each year through FY 2029-2030. 140