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Montrose, CO — City Councilors met for their regular meeting on Tuesday, October 20, to review a pair of local resolutions and a funding request for The Shepherd’s Hand.
Mayor Michael Badagliacco, J. David Reed, Ed Ulibarri, and Adam Woodden met in the City Council Chambers at the Elks Civic Building, along with city staff.
The following is a summary of the primary topics discussed during the meeting.
Watch the meeting here:
STATEMENTS OF APPRECIATION FROM COLORADO MESA UNIVERSITY STUDENTS
City Councilors and staff heard from three students who attend Colorado Mesa University Montrose and their plans for attending the school and the areas of study they are interested in. They expressed their appreciation for the Montrose Success Fund, a student program supported by the City of Montrose, and its financial impact on their efforts to obtain additional education.
PUBLIC COMMENT
To view the public comment period: watch the video here.
**APPROVAL OF MINUTES **
City Councilors voted to approve the minutes of the October 2, 2026, special City Council meeting, the October 5, 2026, City Council meeting, and the October 6, 2026, regular City Council meeting.
The city’s archive of past meeting minutes is available on the Public Meetings Portal (CityofMontrose.org/Portal) and at CityofMontrose.org/ArchiveCenter.
RESOLUTION 2026-16
City Councilors voted to approve Resolution 2026-16, making a commitment to increase affordable housing units consistent with Colorado Proposition 123 and to qualify for participation in its housing initiatives.
Community Development Director Jace Hochwalt said Colorado Proposition 123 was approved by Colorado voters to establish a dedicated state funding source to increase the supply of affordable housing and support housing initiatives. The program creates funding opportunities for local governments, nonprofit organizations, land trusts, tribal governments, and private developers through various programs administered by the Colorado Department of Local Affairs, Division of Housing (DOH), and the Colorado Office of Economic Development and International Trade (OEDIT).
To access these funding opportunities, local governments must formally opt in and commit to meeting the state's affordable housing production requirements over each applicable three-year cycle. This commitment establishes a baseline for qualifying affordable housing units and helps ensure that participating communities are actively contributing to the expansion of the state's affordable housing supply. Participation also allows eligible organizations and developers operating within the jurisdiction to pursue available Proposition 123 funding for qualifying projects.
During the 2023–2026 cycle, the City of Montrose committed to approving at least 162 qualifying affordable housing units over the three-year period. The city exceeded this requirement by 59 units, with a total of 221 qualifying units approved. The city also implemented an expedited review process in 2024 to facilitate the timely review and advancement of affordable housing projects.
EXPENSE AUTHORIZATION FOR THE SHEPHERD'S HAND SHELTER OPERATIONAL COSTS
City Councilors voted to approved $28,597.00 for The Shepherd’s Hand to support seasonal start-up costs and November operating expenses for the overnight shelter serving individuals experiencing homelessness.
Community Development Director Jace Hochwalt said The Shepherd’s Hand is a Montrose-based 501(c)(3) nonprofit organization dedicated to serving individuals experiencing homelessness and economic hardship. The organization provides essential services, including meals, showers, laundry facilities, clothing, hygiene supplies, and assistance connecting individuals with housing, employment, and other community resources. These services address immediate needs while helping individuals work toward greater stability and self-sufficiency.
The Shepherd’s Hand and Montrose Lighthouse, Inc. have consolidated their operations to improve coordination of services for individuals experiencing homelessness in the Montrose community. As part of this effort, The Shepherd’s Hand now operates the seasonal overnight shelter at the Brown Center, a city-owned facility located at 3325 North Townsend Avenue. The Brown Center has historically served as a seasonal emergency shelter during the colder months, operating from November through April and accommodating up to 30 individuals.
The shelter provides overnight accommodations and complements The Shepherd’s Hand’s daytime services by connecting individuals with basic necessities and supportive resources.
The Shepherd’s Hand requested $28,597 in city funding to assist with seasonal start-up expenses and November operating costs for the Brown Center shelter. During recent discussions, the organization’s board indicated that the shelter’s opening may need to be delayed until December unless additional funding was secured. The estimated cost to operate the shelter is approximately $89,597 per season, and The Shepherd’s Hand does not currently have sufficient reserves to cover these expenses. The approved funding will help address funding gaps and support the planned seasonal opening and continued operation of the shelter.
RESOLUTION 2026-17
City Councilors voted to approve Resolution 2026-17, rescinding the city manager's declaration of a local emergency within the City of Montrose.
Interim City Manager Ann Morgenthaler said on June 29, 2026, in response to the Gold Mountain Fire near Ouray, Colorado, the incredibly dry conditions in Montrose County and other nearby counties, the overall threat of fire danger in the region, the possibility that the City of Montrose may be an evacuation location for those fleeing regional wildfires, and the desire to quickly stop the sale of fireworks in the City of Montrose, the City Manager signed a Declaration of the City Manager Declaring a Local Emergency. Per the Colorado Revised Statutes, a city manager may issue an emergency declaration in certain circumstances, and for up to seven days.
On July 6, 2026, the City Council approved an Emergency Ordinance Extending the City Manager’s Declaration of an Emergency. This was done to ensure that the City of Montrose was prepared in case the existing wildfires or evacuees from the wildfires directly impacted the city. If Ouray and Ridgway were to evacuate, the city expected to see an influx of approximately 5,000 people. By declaring an emergency ahead of time, the city was able to avoid the potential need to call a special city council meeting during a disaster or emergency and instead focus on immediate response needs should an emergency arise.
**Fiscal Impact **
The city’s expenditures related to supporting both Ouray County and Montrose County during the city’s emergency declaration totaled $26,863.49. The city is seeking reimbursement from the State of Colorado in the amount of $10,025.35 for the use of Emergency Manager Paul Eller as the Emergency Operations Center Manager for Ouray County and for the Montrose Police Department to provide traffic control and security for the forward operations base in Ouray County. The city is not seeking reimbursement of the remaining expenditures due to existing mutual aid agreements and the decision to donate expenditures that were related to the city providing a helicopter landing location, grey water disposal, and some treated water.
STAFF REPORTS SALES, USE, & EXCISE TAX REPORT
Sales Tax Manager LeeAnne Whittaker delivered the sales, use, and excise tax report for August 2026.
Read all finance reports in their entirety here: www.cityofmontrose.org/259/Finance
Special Use Superintendent Jon Sullivan said the City of Montrose is hosting an outdoor film festival at the Montrose Rotary Amphitheater on Saturday, October 24, at 5 p.m. The film festival will feature films about climbing and alpine lifestyle.
EXECUTIVE SESSION: City Councilors voted to enter into an executive session for a conference with the city attorney for the purpose of receiving legal advice pursuant to C.R.S. Section 24-6-402(4)(b). The following additional details are added for identification purposes: quarterly litigation update.
The council emerged from executive session to adjourn the meeting.
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All City Council meetings are recorded and made available online via the city’s website and cable channels 191 for Charter subscribers and 970 for Elevate subscribers. Replays of council meetings are also broadcast at 6 p.m. on the same channels on days that the council is not in session.
In addition, each regular meeting is archived on the City of Montrose’s YouTube channel.
Residents can watch all regular City Council meetings and work sessions on demand through the city’s Public Meetings Portal.