Nearly $8 million still needs to be raised to finalize a land deal that would permanently protect the Haskill Basin watershed.

Options for securing the money were discussed at a June 17 open house hosted by the city of Whitefish and other partners in the proposed deal.

Whitefish Mayor John Muhlfeld said the city is still uncertain how it will make up the $8 million balance but said it is working to create a plan to generate both public and private money.

The proposed project would permanently protect more than 3,000 acres of working forestland in Haskill Basin — the source for most of Whitefish’s water supply — through a deal between The Trust for Public Land and F.H. Stoltze Land & Lumber Co.

The Trust for Public Land has secured an option through the end of 2015 to purchase the development rights from Stoltze.

The land purchase is expected to cost $20.6 million. However, Stoltze has agreed to contribute $4 million to the project. The U.S. Forest Service is expected to provide a grant of $7 million, while the U.S. Fish and Wildlife Service is expected to provide $2 million in grants.

“With projects being funded from top to bottom, this is pretty much an assured amount of money,” trust spokesman Alex Diekmann said.

This will leave between $7 million and 8 million remaining for the community to generate.

Muhlfeld said the public aspect of raising money would most likely be generated through bonds, fees and taxes.

According to the mayor, the city could consider a general obligation bond. This could include a water revenue bond, which would use the income generated from water taxes and fees to pay back the bonds.

“In either one of those, there will be vast public input and approval required,” Muhlfeld said.

The city also could consider raising its 2 percent resort tax that is collected on lodging, retail, bars and restaurants. The tax could be raised and reappropriated through a vote.

“We are very preliminarily into that evaluation,” Muhlfeld said. “But when it does become available, we will share it with the public, probably later this summer.”

Whitefish Legacy Partners is another major player in the easement. Part of the deal will include permanent paths for hiking, biking and Nordic skiing as a continuation of the Whitefish Trail, that Legacy Partners would maintain. The group hopes to privately raise around $3 million to contribute to the $8 million goal.

Since the 3,000 acres contributes 75 percent of the city’s water supply, the trust and the city want the land to stay clear of development that could damage the watershed.

While Stoltze has always offered its land for recreatiion, without the land deal, there is no guarantee the company won’t sell the land. In the past, the firm has sold 1,200 acres to developments such as Iron Horse and Lookout Ridge.

With the proposed easement, the land would remain free from development permanently and stay open for recreation such as hunting, fishing, biking and hiking.

“We’re going to hear everyone’s voice and address everyone’s concerns the best we can,” Diekmann said, “but the property will still be owned by Stoltze. It’s going to be a balancing act.”

Stoltze also voiced its concerns at the open house. Paul McKenzie, Stoltze lands and resource manager, said the firm needs to evaluate the risk associated with allowing permanent public access, including fire hazards and any mistreatment of the property that could happen.

Local residents also expressed concerns.

“We’re worried about what will happen when that area becomes more popular,” said Richard Gehri, who lives off Haskill Creek Road. The road runs next to Haskill Basin and Gehri and his neighbors are worried about increased traffic.

“Who’s going to maintain those dirt roads when they’re getting so much use?” Gehri asked after the open house. Right now, Gehri and the five other homes along Haskill Creek Road maintain the area, including plowing snow and fixing potholes. The residents plan to bring up these concerns again once the deal becomes solidified.

The purchase is scheduled for completion by the end of 2015.

Loper writes for the Whitefish Pilot.