City identifies deficit funds
Jan 06, 2025
1/06/2025“Great Falls This Week” is reported and written by Matt Hudson. Send your news and tips to [email protected] funds for city services need a little helpCity commissioners and staff met for an annual retreat on Friday in Great Falls. Among the topics discussed were the 2026 budget and to what extent certain city funds should be supported by the general fund.In meetings over the past couple of months, city officials have discussed these funds, sometimes referred to as “troubled funds” or “funds needing attention.” They operate amenities for the community, like pools and golf courses, but don’t fully cover their expenses and require subsidies from the city’s general fund.The core question for city commissioners is a philosophical one, according to a presentation from Finance Director Melissa Kinzler in November. Looking ahead to the next budget cycle, it will be up to commissioners to set priorities for a limited pool of tax proceeds. “What do we want to fund? How do we want to fund it? What services should be changed or not changed?” she said. “Or maybe we’re OK with the services, but we need to support it more with the general fund.”In theory, the funds needing attention should generate their own revenues. The pools charge entrance fees and the golf courses charge green fees. Assessments in the boulevard district pay for tree maintenance. But in some cases, user fees have increased but haven’t kept up with expenses and ended up needing help.The gaps have been filled by the general fund, which gets most of its money from property taxes. The general fund’s main purpose is to operate the city administration and public safety departments. Officials have said the city’s public safety departments have significant funding needs and that the general fund must retain as much money as it can for that purpose. The most recent example was a decision to pull 3.5 mills from the Great Falls Public Library and return them to the general fund.City staff outlined nine department funds needing attention that have received general fund support. Five of those are budgeted to get some support in the current fiscal year for a total of nearly $1.2 million. Those funds are for planning and community development, natural resources, swimming pools, Aim High Big Sky and the Civic Center. The situation of each fund differs, but they range from Aim High Big Sky needing 12% ($300,407) of its revenue from the general fund to natural resources needing 31% ($256,277) of its total revenue subsidized.The natural resources fund has two divisions, both of which maintain trees in the city. One division is the boulevard district, in which property owners pay assessments for tree management. Those assessments have increased each of the past three years. The other division is natural resources, which gets its revenue from $256,277 in annual general fund support and allows city crews to manage trees in parks. That subsidy has remained the same since 2011.Revenue from boulevard district assessments has grown by $79,643 since 2023, but the money needed to run the natural resources department has risen by nearly $200,000, mostly in labor costs, over the same period.The Scheels Aim High Big Sky Aquatic and Recreation Center is unique in that it’s a new fund for the city. It received $180,000 in startup money from the swimming pools fund last year. In the current budget, a mix of money from the general fund, recreation fund and swimming pools fund totals $300,407 in outside support, which the city called a general fund subsidy. City staff have said it will take time for the facility to grow its revenues to meet expenses. The 2025 budget calls for the new center to generate more than $2 million in revenue.The swimming pools fund is what runs Electric City Water Park, Jaycee Pool and the Water Tower Pool.Other funds on the city’s watchlist aren’t budgeted for a direct subsidy in 2025 but have deficits that require attention. The golf course fund was the subject of discussion at a Dec. 6 commission meeting. Park and Recreation Director Steve Herrig told commissioners that 47,483 rounds were played in 2024 at the two city courses: Anaconda Hills and Eagle Falls. The fund had a deficit of nearly $1.4 million in 2020 but has significantly reduced that over the years under a management agreement with CourseCo. A new agreement is under negotiation.“We’re looking to establish a long-term agreement with CourseCo because of the outstanding things and incredible work that they have done,” Herrig told commissioners. “And then it would also identify eliminating the rest of the golf debt.”The golf course fund received a $678,251 general fund subsidy in 2024, which will be repaid as part of the fund’s debt reduction, according to city documents. The sale of leased city land to Pasta Montana could help reduce that debt, as well.Another fund that won’t get a direct general fund subsidy in 2025 but was flagged for attention was the multi-sports complex, a city-owned group of eight softball fields on the south side of Great Falls. The fund operates at a deficit but has been propped up by an infusion of COVID relief funds in 2022 and 2023. That assistance, which came from the city’s general fund, totaled $99,500 and is a nearly diminished reserve. Commissioners and city staff discussed possibilities that ranged from seeking partnerships with schools and organizations that use the facilities to selling the property.City commissioners will seek to strike a balance between safeguarding general fund money and providing the services that rely on the additional help to operate.3 Questions ForGreat Falls Mayor Cory Reeves wrapped up his first year in office and recently announced on Facebook that he’ll be seeking a second term in the 2025 municipal election.“While the criticism and debates come with the territory, they haven’t deterred me. In fact, they’ve motivated me to work even harder for the city we all love,” Reeves wrote in a Facebook post announcing his reelection bid.Reeves has taken to Facebook often to share regular updates from his office and to address controversial topics, including his decision not to issue a Pride Month proclamation, approving funding cuts to the library and even the removal of screen doors from public housing.(See our coverage of the proclamation decision, library funding and screen door removals.)Montana Free Press reached out to Reeves last week with questions about his first year as mayor, his use of Facebook as an outreach tool and his plans for the city commission’s annual retreat, which took place on Friday.So much happened in city government in 2024. In your view, what one event, action or issue defines your first year as mayor? Why?Reeves: 2024 has been an incredibly dynamic year for Great Falls, marked by progress, challenges and growth. If I were to pinpoint one defining event or issue of my first year as mayor, it would be our efforts to improve community engagement and transparency in local government. We made it a priority to actively listen to residents, ensuring their voices were at the heart of decision-making. From tackling infrastructure projects to addressing public safety concerns, we worked hard to build trust by fostering open communication between City Hall and the people of Great Falls. To me, 2024 was defined not just by the challenges we faced but by the way we came together to address them, strengthening the bond between local government and the residents we serve.You’re on Facebook engaging with users more directly than other officials might feel comfortable doing. How do those social media discussions inform the work you do for the city?Reeves: Engaging directly with our community on Facebook has been one of the most rewarding aspects of my role as mayor. Social media gives me a direct line to hear the concerns, ideas and feedback from residents in real time. It’s a platform where people feel comfortable expressing themselves, and that openness helps me stay grounded in what matters most to our community. These discussions often highlight issues that might not come up in formal meetings or reports, providing valuable insight into the everyday experiences of Great Falls residents. Whether it’s a concern about a pothole, a question about city services or feedback on a policy, these interactions inform the decisions I make and help prioritize city efforts. Social media also allows me to explain the “why” behind city actions, building transparency and trust. While it’s not always easy to navigate criticism or conflicting opinions, I see it as an opportunity to connect, learn and show that leadership means listening — even when the conversations are challenging.What is on your mind heading into the city commission retreat?Reeves: Heading into the city commission retreat, my focus is on building a clear, actionable roadmap for 2025 that addresses both immediate needs and long-term goals for Great Falls. I’m thinking about how we can continue improving core services, strengthen our local economy and ensure that our infrastructure keeps pace with the growth and aspirations of our community. Equally important is fostering collaboration within the commission. The retreat is an opportunity to align our priorities, discuss new ideas and tackle challenges with a unified vision. I’m particularly interested in exploring ways to enhance public safety, invest in community development and create more opportunities for resident engagement in shaping our city’s future.5 Things to Know in Great FallsThe city of Great Falls will conduct door-to-door inspections of water service lines to identify lead pipes in the city. A new federal rule requires the replacement of lead lines in about a decade, and the city is undergoing an inventory to identify the scope of the project. Some 6,000 property owners should have received notice if they have pipes of unknown material, and no action is required if property owners didn’t receive notice or already responded to a notice. More information, including a list of addresses with unknown water lines, is available here.The application period for Smith River float permits is ongoing through Feb. 15. The prized 59-mile section of river south of Great Falls runs between Camp Baker and Eden Bridge. A lottery drawing for permits is Feb. 19. Applications can be submitted at the Montana Fish, Wildlife and Parks website.Recycling of live Christmas trees is available at two dropoff locations through Thursday, Jan. 9. Those locations are Meadowlark Park off Fox Farm Road and Americans Little League parking lot off 38th Street. The city asks that tree donors remove lights, decorations, tree stands and other add-ons before dumping them.Corps of Discovery historian Barb Kibuck will give a presentation on Sacagawea on Thursday, Jan. 9, at the Lewis and Clark Interpretive Center. Kubick will cover various stories about Sacagawea’s life, her symbolism in culture and her portrayal as part of the Lewis and Clark expedition. The presentation is at 7 p.m.In its first meeting of 2025, the Great Falls City Commission will consider three members to serve on the Park and Recreation Advisory Board. Arthur Taft and Jim Sargent are eligible for additional terms and the current board recommended DeeAnna Brady-Leader to fill the remaining term of Kortny Maurer, who resigned. The commission will also consider two people for the Mansfield Center for the Performing Arts Advisory Board. Current members Carl Donovan and Randall Knowles are eligible for reappointment.Photo Op Credit: Courtesy of the Cascade County Historical SocietyRay Porter’s general store in Neihart suffered through fire and ice on Dec. 31, 1923. This photo shows the building after the morning fire when reported temperatures of -30 Fahrenheit froze the facade. There were no casualties, though residents of the building fled in their sleeping attire in the middle of the night.According to a report in the Great Falls Tribune, Porter had a premonition of impending disaster and took out a life insurance policy the day before the fire.“Evidently I had a hunch all right, but I should have taken out fire instead of life insurance,” he told the newspaper.Calling all photographers: Submit a photo for Great Falls This Week to [email protected] NoteGreat Falls This Week will not be published on Monday, Jan. 13, as reporter Matt Hudson will be attending the Ravitch Fiscal Reporting Program at CUNY. We will return to our regular publication schedule on Jan. 20.The post City identifies deficit funds appeared first on Montana Free Press.