Montrose, CO — City Councilors met for a work session on Monday morning, August 17, to meet new city employees and review a number of proposals for ongoing city projects.
Mayor Michael Badagliacco, Dave Frank, 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.
INTRODUCTION OF NEW CITY EMPLOYEES
City Council members met with a handful of new employees filling vacant positions throughout the city.
Thomas Meyers - Deputy Building Official
Jessica Healy - Public Works Customer Service Technician
Sierra Lucero - Associate Planner
Cole Bishop - Utilities Crew Member
COMPREHENSIVE PLAN TECHNICAL UPDATE OVERVIEW
City Councilors were presented with a proposal about a technical update to the Envision 2040 Comprehensive Plan, including the proposed process, project timeline, and state-required plan elements.
Community Development Director Jace Hochwalt said the purpose of a comprehensive plan is to establish a community vision, set goals, and guide growth and development decisions. For over 65 years, the City of Montrose has charted its future by preparing and implementing comprehensive plans, with periodic updates to adapt to changing conditions. In 2019, the city initiated Envision 2040, the process of rewriting the 2008 Comprehensive Plan.
Adopted in 2021, the Envision 2040 Montrose Comprehensive Plan serves as the city’s official guide for local decision-making on long-range planning, land use, and development policy.
The Envision 2040 Montrose Comprehensive Plan is intended to be a "living document," with a five-year and a ten-year update policy. One of the goals of the plan (GOAL LU-2 Objective 2.1) states that, “The Comprehensive Plan should be referenced by staff on a regular basis when making decisions; updated every five years by staff, Planning Commission, and City Council to keep up with changing conditions throughout the community; and completely rewritten every ten years with input from staff, Planning Commission, City Council and the general public.”
In 2024, the state legislature adopted SB24-174, with resulting amendments to C.R.S § 31-23-206. The new legislation and revised state statute require municipal comprehensive plans to include a water supply element and a strategic growth element no later than December 31, 2026, and that a housing action plan be incorporated no later than January 1, 2028.
With funding assistance from the Colorado Department of Local Affairs (DOLA), the Envision 2040 Montrose Comprehensive Plan Update Project (the Plan Update) includes:
● The preparation of a Strategic Growth Element and a Water Supply Element
● The preparation of a Housing Action Plan
● Other technical updates as needed, e.g., updating data using the latest Census information
● Alignment of the city’s Land Use Regulations with the new Plan Update elements
The Plan Update will honor the extensive public engagement that established the original plan’s community vision, guiding principles, goals, and objectives. Public engagement activities will be focused on the review of the new plan material required by state statute and any additional technical updates. At least two public open house events, online and social media outreach, and Planning Commission and City Council work sessions and hearings are planned. A project website using Social PinPoint will provide project information, host draft documents, and encourage feedback via a contact form. A link to the project website is available via the city’s Community Development Department webpage.
In summary, the Plan Update project will bring the city’s comprehensive plan into legislative compliance in 2026, and ensure that the Envision 2040 Montrose Comprehensive Plan remains relevant and responsive to evolving community needs.
The total project cost is $120,000, with $78,750 funded through dedicated grant funding and the remaining $41,250 provided as the city's required match. The city's match will be funded through the General Fund and was approved in the 2026 budget.
**VEHICLE PURCHASE RECOMMENDATION **
City Councilors were presented with a proposal to purchase an F-150 from Sill-TerHar Motors out of Broomfield, Colorado, for a total price of $63,500 for use by Montrose Police Department detectives.
Before budgeting for an additional vehicle, an evaluation of the usage of all Police Department vehicles was performed, which revealed that the police academy van was underutilized and there was a shortage in other operations such as detectives. The 2026 budget approved the sale of the academy van and directed the proceeds toward the purchase of an F-150. This purchase helps to improve efficiency of the fleet by removing an underutilized vehicle and adding one that will be better utilized. This purchase was not included in the larger vehicle purchase completed early in 2026 due to the need to liquidate the van first.
The quote from Sill-TerHar Motors uses the Colorado state bid pricing, guaranteeing the City of Montrose the best price. This purchase is included in the 2026 budget and the funds will come from the collected amount for replacement from the Fleet Fund and the sale of the academy van, for a combined amount of $62,000, placing the purchase at $1,500.00 over the allocated amount. Purchases of patrol cars earlier in 2026 recognized savings of $10,000, which will help to cover the overage of $1,500.
THE HUB AT MONTROSE CROSSING ECONOMIC IMPACT REPORT AND POTENTIAL DEVELOPMENT SUPPORT
City Councilors were presented with an economic study and discussed possible development support associated with the 160-unit Hub at Montrose Crossing market-rate housing project located at the intersection of Cobble Drive and 6450 Road.
Estimated Economic Impacts With The Hub at Montrose Crossing:
Construction of the residential project is estimated to create or support about 313 annual-equivalent jobs during the construction period in the Montrose, CO Micropolitan Statistical Area (MSA), including direct (on-site), indirect (business-to-business), and induced (worker spending) impacts, with total labor income of about $20.97 million. Construction of the project is estimated to result in total economic output of about $74.73 million in the Montrose, CO MSA, and to contribute a total of about $37.92 million to local GDP. This would amount to about 1.40% of the total annual GDP in the Montrose, CO MSA in 2024, according to U.S. Bureau of Economic Analysis (BEA) statistics.
Ongoing annual household spending (personal consumption spending) by residents of the project, at stabilized occupancy, is estimated to create or support a total of about 51 jobs per year in the Montrose, CO MSA, with total labor income of about $2.59 million per year. Household spending by residents of the project is estimated to create or support about $9.08 million per year in economic output in the Montrose, CO MSA, and to contribute about $5.51 million to local annual GDP. To the extent that the households in the project amount to net new population in the Montrose market, these household spending impacts would generally represent net new jobs and economic activity expected to be created.
This analysis of potential economic impacts does not estimate any potential effects on the Montrose economy associated with the business establishments (and public-sector organizations) employing residents of the project. Housing supply and availability are important contributors to facilitating economic growth, and to sustaining and growing a local workforce.
Councilors then debated a possible development agreement between the city and developer Matt Miles that includes offering $400,000 in fee waivers and $1.4 million in utility fee and public infrastructure reimbursements for the project. City staff will draft a developer’s agreement that includes potential funding options to be considered by the City Council at a future meeting.
2026 MONTROSE PERMANENT FUND CONTRIBUTION TO COLORADO MESA UNIVERSITY FOUNDATION WITH SCHOLARSHIP CONTRIBUTIONS
City Councilors were presented with a proposal to approve the city's 2026 annual budgeted contribution to Colorado Mesa University in the amount of $325,000 ($250,000 toward the Colorado Mesa University Foundation Permanent Endowment Fund and $75,000 toward the CMU-City of Montrose Scholarship Fund).
On March 7, 2023, the City of Montrose and Colorado Mesa University entered into a Memorandum of Understanding (MOU) creating the Montrose Permanent Fund (the FUND), to provide a permanent source of dedicated funding to enhance and expand academic offerings, recruit qualified faculty members, grow the physical campus, and to generally support Montrose students in the pursuit of higher education at the CMU-Montrose Campus.
The proposal will be considered for approval at a future City Council meeting.
**NORTH PARK AVENUE DIVISION OF PROPERTY OFFICIAL ACT OF THE CITY **
City Councilors were presented with a proposal to approve a “clean-up” plat to dedicate right-of-way and easements within a city-owned parcels on North Park Avenue near the San Juan Avenue intersection. The proposed adjustments align with road widening and sidewalk connections being planned under the North Park Avenue Reconstruction project.
City Engineer Scott Murphy said a general rebuild of North Park Avenue aligns with the city's capital plan and the corridor’s poor condition. The rebuild will generally include concrete replacements (curb, gutter, sidewalk, curb ramps, valley pans, and bulbouts), a rebuild of the pavement and correction of the road profile within select areas (as needed to address grading/dropoff issues where culverts had historically been placed over valley pans and paved), roadway expansion/widening at its northern end, sidewalk extensions, a mill and overlay of the remaining pavement areas, and select utility replacements. An overview of the anticipated scope of work is included on a concept drawing available online at: https://tinyurl.com/NorthParkAveOverview. Please note that this overview drawing is conceptual in nature and subject to change as the project design progresses.
**INTERGOVERNMENTAL AGREEMENT FOR NOVEMBER 3, 2026 COORDINATED ELECTION **
City Councilors were presented with a standard intergovernmental agreement between the City of Montrose and the Montrose County Clerk and Recorder’s office to conduct the November 3 election.
The City of Montrose will be placing questions on the ballot concerning proposed amendments to the City of Montrose charter.
**GENERAL CITY COUNCIL DISCUSSION **
City Councilors praised city staff and MADA for hosting the annual Monte De Rosas fiesta this past weekend at La Raza Park.
Councilmembers Frank and Reed expressed their displeasure with recently published attacks on the integrity of city staff.
City Engineer Scott Murphy reported that final paving on the roundabout at E Oak Grove Road and Rio Grande Avenue is occurring this week and the intersection is scheduled to reopen on August 28.
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