Kalispell City Council leans toward loan to replace lead service lines

Jan. 17—Kalispell City Council on Monday weighed funding options for replacing lead pipes in the municipality’s drinking water supply.

A majority of councilors on Jan. 13 expressed interest in tapping into a federal loan program to fund the replacement of all lead and galvanized service lines in the city. Accessing the loan will be up for a vote at Council’s meeting next week along with a proposed amendment to the city’s fire code that would address unsecure, unsafe properties.

In October, the Environmental Protection Agency issued a rule requiring drinking water systems nationwide to identify and replace all lead pipes within 10 years of 2027.

The federal rule does not stipulate who must pay for the lead service line replacement, leaving it up to Council to decide whether to tap into a federal loan program or pass the cost on to affected homeowners, whether through a deferred payment plan with the city or by paying the total cost upfront.

While some councilors expressed reluctance in using city dollars to fund the replacements, the majority seemed to lean toward the federal loan.

If Council votes in favor next week, the city will look to tap into $2 million from the State Revolving Fund loan program, which comes from the Bipartisan Infrastructure Law signed by President Joe Biden. While the city would be required to pay 40% of the debt incurred, likely from dollars in its Water Fund, the remaining 60% would be forgiven.

The loan would also cover replacement costs of any external structures that may need to be removed to access the line.

Councilor Ryan Hunter reiterated his support for borrowing money for the effort. The loan would benefit the community without becoming a financial burden, he said.

“It’s a good deal,” Hunter said. “We also have to consider the health of our residents and kids who are in these households who may be getting exposed to this. Let’s just get it taken care of.”

Councilor Sam Nunnally said he worried about setting a precedent that the city is responsible for addressing all future contaminants. Councilor Sid Daoud expressed concern over using city money to help a select few homeowners.

Councilor Chad Graham was initially against accessing the loan but by the end of the meaning was leaning toward tapping into the federal dollars.

Service lines are underground pipes that connect the city’s main water supply to a house’s internal plumbing. Galvanized service lines, if downstream from lead pipes, can absorb the toxin and contaminate the drinking water. A service line does not include internal plumbing in a house.

Per city code, the entire service line falls under the responsibility of the homeowner. Historically, however, the city replaces a homeowner’s leaking service line from the water main to the curb, although it is not required to do so.

Mayor Mark Johnson said that while philosophically the responsibility should fall on the homeowner to replace the line, using the loan would be consistent with what the city has done in the past.

Lead is a neurotoxin, and there is no safe level of lead exposure, particularly for children, according to the EPA. Lead can harm mental and physical development in children while adults exposed to lead have an increased risk of heart disease.

The make-up of each line can be found on the city’s Public Works page. Most of the identified lead pipes are in and around the city’s downtown area, primarily east of Main Street.

The new rules also set an actionable level for lead contamination of 10ug/L. If the action limit is exceeded, the city will have to undergo corrosion control treatment or replace all lead lines within five years. For the city to exceed the action level, Turner said six houses would have to exceed the federal limit.

While there is a chance the city could go over limit, Turner was optimistic. “We have really good water,” she said.

Turner said that the drinking water is high in calcium and shows little corrosion.

Letters have been sent out to all households regarding the effort. Homeowners who received a letter indicating their service line is “unknown” should contact Public Works at 406-758-7720.

Out of the 10,000 lines inventoried, 43 were identified as lead, 57 are galvanized, and 483 service lines are still listed as unknown, according to data provided by Turner. The inventory is continually updated as the city identifies more lines.

COUNCIL WAS also presented a proposed amendment to the municipality’s fire code that would target structures deemed unsafe due to fire hazards, squatting, inadequate maintenance and being unsecure against unauthorized entry.

If the property owner fails to comply after 10 days of receiving the notice of violation, a fire code official can abate the unsafe property “either by repair, rehabilitation, demolition, or other approved corrective action.”

The amendment could be wielded to address the former Outlaw Inn. The 9-acre property, a former extended stay hotel in South Kalispell, was bought by Oregan-based real estate enterprise, Fortify Holdings, in 2022 with a goal to convert it into 250 multi-family studio units.

After being left largely unsecured, fencing has recently popped up around the structure and the ground level windows have been boarded up. The entrance to the former extended-stay hotel remains unfenced.

City Manager Doug Russell warned that enforcing the code will take resources that the city currently lacks. Kalispell is without a code enforcement department, unlike the other Montana cities.

Under current city ordinance, a fire code violation is criminal, which Russell said is difficult to pursue against a corporation. By altering the code violation, City Attorney Johnna Preble said that the city can abate the violation rather than only dolling out a fine.

Russell suggested holding a conversation on implementing a code enforcement program until budget talks start.

“We don’t have the resources to make this a full-fledged program,” Russell said.

Cassidy Kipp, who lives near the property, said that a masked person was recently clearing garbage on the property.

“These are just the realities that we’re living with in my neighborhood,” Kipp said, adding that she felt her concerns about safety had been treated dismissively.

Reporter Jack Underhill can be reached at 758-4407 and junderhill@dailyinterlake.com.

Image Credits and Reference: https://www.yahoo.com/news/kalispell-city-council-leans-toward-140200138.html