Whitefish City Council on Monday is set to approve a $2.39 million construction contract for the reconstruction of a section of Karrow Avenue.

Work is planned from West Second Street to West Seventh Street. Resort tax funds will be used for the project that is planned to cost a total of $3 million, including for utility relocation and engineering fees. 

City Council meets at 7:10 p.m. at City Hall, 418 E. Second St.

Council will consider approving the construction contract with Watson Excavating, which was the low bidder on the project.  

Public Works Director Craig Workman said the project is based on heavy vehicular traffic volume, unsuitable roadway conditions and the need for bicycle and pedestrian accommodations.

“This collector street serves a vital role in the city’s transportation network,” he wrote in a memo to Council. 

In addition to reconstructing the road, the project includes a pathway, decorative street lighting and drainage improvements. 

During the meeting, Council following a public hearing is set to vote on a nine-lot subdivision at 270 Lake Park Lane. The subdivision is proposed for a 2.325-acre parcel and would be accessed off a private road connecting Salmon Run and Lake Park Lane.

Nine duplex structures are planned for the subdivision on the property, which is undeveloped. 

Also, Council will consider approving a development agreement with House Whitefish for the Alpenglow II project, which is set to provide 18 rental units of affordable housing. Located at 530 Edgewood Place, the housing would serve household incomes ranging from 60% to 120% of the area median income. 

The development agreement would provide $1 million in funding from the city to Housing Whitefish for the project. The agreement also sets terms for the project such that Housing Whitefish will retain it for a minimum of 30 years, requires an annual report provided to the city on the project, and sets out that the city will not provide funding until Housing Whitefish receives approval for a loan from the Montana Coal Trust Multifamily Home Program. 

During a work session scheduled for 6 p.m., Council will discuss the Depot Park Townhomes project being developed by the Whitefish Housing Authority on the corner of Railway Street and Columbia Avenue. 

The housing authority is seeking to make changes to the plans around the 22 two-bedroom townhouse development that is 100% deed-restricted for affordable housing. 

As the project has progressed, the housing authority has been faced with cost increases and is asking to modify its agreement with the city related to the property, which the city donated. The city is also providing $2 million for the project. 

The housing authority is looking to increase the range of household income that buyers can have to qualify for housing. It is also looking to sell the land to the Northwest Montana Community Land Trust to be permanently held in trust, which helps subsidize costs. 

Features Editor Heidi Desch may be reached at 758-4421 or [email protected].