Article published Mar 1, 2008

Group: Planning Board should dismiss Highwood rezoning vote because of conflict of interest, absent member

By KARL PUCKETT

Tribune Staff Writer

Two alleged voting "irregularities" — including a conflict of interest — should disqualify an advisory vote recommending a heavy industrial zoning for the proposed site of a coal-fired power plant, a group opposed to the project said this week.

County officials disagree.

At issue is a 5-4 vote three months ago by the Cascade County Planning Board recommending that county commissioners rezone 680 acres of farmland off of Salem Road.

The Urquhart family, at the request of Southern Montana Electric Generation & Transmission, the plant's developer, is asking for the change to make way for a 250-megawatt coal-fired power plant.

After the Planning Board's vote, which is advisory, commissioners voted 2-1 on Jan. 31 to approve a resolution of intent to rezone the land.

A final vote is scheduled for March 11.

A protest period on the rezoning decision concludes Monday and Citizens for Clean Energy, a group opposing the plant, requested this week that commissioners hold off on taking final action.

"We urge the commission (to) direct the Planning Board to conduct a new and ethical vote on the Urquhart rezoning to restore the integrity of Cascade County government," wrote Richard Liebert, chairman of CCE.

Planning Board member Bill Weber, who also is president of First Interstate Bank, should have refrained from voting because he has a conflict of interest, Liebert alleged.

Before he voted, Weber said SME has a depository relationship with the bank.

He did not publicly say the bank loaned the city of Great Falls $1.5 million in 2005 for use in planning the proposed Highwood Generating Station, Liebert said. The bank also buys electricity from Electric City Power, he added.

The city of Great Falls is teaming with five rural cooperatives to build the Highwood plant. Electric City Power is the city's utility arm.

In a statement sent to the Tribune on Friday, Weber wrote that he made every effort before the meeting to inform the county of First Interstate's banking relationships with the city of Great Falls and SME.

"With this disclosure, and in light of the likely detriment to the bank due to the loss of existing banking relationships should the zone change be approved by county commissioners, both the county and its legal counsel agreed there was no conflict of interest," Weber wrote.

Commissioner Joe Briggs said, in retrospect, he would have preferred that Weber recused himself from voting. However, Briggs said it's not a good idea to send the rezoning request back to the Planning Board since its recommendations are advisory only.

"It's very useful to us, but it carries no weight of law," Briggs said.

CCE also contends that Jim Dawson, another Planning Board member, should have been allowed to vote via teleconference.

Dawson was home, recovering from hip surgery at the time.

Some government agencies allow members to participate via the telephone.

Brian Hopkins, the county's chief civil attorney, said the county's long-standing policy is that board members be present at hearings to vote.

County Commission Chairman Lance Olson, who along with Briggs voted to approve the intent to rezone, said he probably wouldn't have voted any differently if the Planning Board had recommended against approving the measure.

"I did receive all the information they received (in) making their decision," he said.