Commission approves settlement

The Flathead County Commissioners voted Monday to accept a settlement agreement to end a lawsuit between the county and developers of the North Shore Ranch near Somers, but with one amendment that may allow the land to be protected.

Counsel introduced an amendment based on public concerns heard last week that will allow the county and local conservation groups an additional 30 days to continue negotiating the purchase of the entire 360-acre property to protect it.

If a sale isn't achieved by that time, the original settlement will be filed with the court.

The commissioners voted 2-1 to approve the settlement with the amendment. Commissioner Joe Brenneman dissented.

Once a consent agreement is filed, a judge will still have to agree to it before it becomes final.

Without a sale agreement, the settlement will result in the county approving a revised preliminary plat for the subdivision and paying out $1 million along with constructing some of the internal road network for the subdivision and two turning lanes.

The agreement came after a mediation session early in February between the county and Kleinhans Farms Estates LLC, which filed a lawsuit against the county after its preliminary plat application was denied 2-1 by the commissioners in 2008.

Among its allegations, the lawsuit contends that the decision was not based on the law and contradicted the facts provided to the commission in the county's staff report produced by the Flathead County Planning and Zoning Office.

Advising the commissioners, attorney Alan McCormick said there is "no guarantee" sale discussions will be successful, but that current talks have seemed favorable and the amendment, agreed to by both parties, presents a "good faith" effort to reaching an agreement.

"Things are looking very positive," McCormick said.

The Flathead Land Trust is the lead group working with the county on purchasing the property with grant monies the non-profit has available. A number of other not-yet-disclosed groups are also supporting the efforts.

Brad Seaman, outreach and development director for Flathead Land Trust, said the groups will be working hard to try to get the land protected and preserved.

"We're very hopeful," Seaman said of reaching a purchase agreement.

Commissioner Dale Lauman said he supported the extra time to negotiate through the amendment and said, if it is successful, it will be to the "greater satisfaction" of county residents.

However, Commissioner Joe Brenneman expressed concerns at the repercussions on the land in approving the settlement, if a purchase agreement is not reached.

"The one thing we can't destroy is the soul of the Flathead Valley," Brenneman said, which he said includes the ability to hunt, fish and have clean water. "At some point, governing bodies can say, 'Here's as far as we can go.'"

Brenneman expressed concerns that adverse effects of the development could possibly put that 'soul" at risk.

"I have to say despite the fact that it probably does make strictly monetary sense to agree to settle, I just can't do it," Brenneman said.

Commissioner Jim Dupont said that while protecting the Valley is important, the land is private and individual property rights also come into play.

Dupont said the whole situation puts the commissioners in a "pretty good pickle," with significant risk.

If the county was not to settle and was to lose the case, it could have to pay out between $4 and $15 million and accept the original subdivision, he said.

"I have to go with my gut feeling that this is the right thing to do," Dupont said of approving the settlement.

Dupont also requested that all information pertinent to the commissioners' decision, accept for that deemed attorney-client privilege, be released to the public. This came after concerns about transparency in last week's public hearing. That motion unanimously passed.

The adopted amendment also changes the timing of payments for the initial lump sum of $500,000 to developers, making $175,000 due this week, followed by an additional $100,000 three days after the filing of the consent decree and the remaining $225,000 due within three days of court approval.

If a purchase agreement is made, the $175,000 paid this week will be put toward the purchase price of the property.

A copy of the settlement agreement is available on the Flathead County Commissioners' Web site at http://flathead.mt.gov/commissioner.