MUNICIPAL AIRPORT AUTHORITY
The Regular Meeting of the Municipal Airport Authority of the City of Fargo, North Dakota, was held Tuesday, July 28, 2020, at 8:00 a.m. in the Airport Boardroom.
The members present or absent were as follows:
Present: Haugen, Engen, Cosgriff, Lind, Linn
Absent: None
Others: Bossart, Strand
Chairman Linn presiding.
pproved the Minutes of the Regular Meeting of the Municipal Airport Authority Held July 14, 2020:
The minutes of the Regular Meeting of the Municipal Airport Authority held July 14, 2020, were approved without objection.
Approved the Airport Vouchers Totaling $23,744.27:
Mr. Engen moved to approve the airport vouchers totaling $23,744.27.
Second by Gen. Haugen.
On the call of the roll, members Haugen, Engen, Cosgriff, Lind, Linn voted aye. No member being absent and none voting nay the motion was declared carried.
Approved the Individual Voucher to Northern Plains Mechanical:
Mr. Engen moved to approve the individual voucher in the amount of $82,467.00 to Northern Plains Mechanical for Partial Payment Request #1 for mechanical construction in connection with the SRE Building.
Second by Mr. Lind.
On the call of the roll, members Haugen, Engen, Cosgriff, Lind, Linn voted aye. No member being absent and none voting nay the motion was declared carried.
Approved the Individual Voucher to Rickard Electric:
Mr. Engen moved to approve the individual voucher in the amount of $25,705.00 to Rickard Electric for Partial Payment Request #2 for electrical construction in connection with the SRE Building.
Second by Mr. Lind.
On the call of the roll, members Haugen, Engen, Cosgriff, Lind, Linn voted aye. No member being absent and none voting nay the motion was declared carried.
Received Update from City of Fargo Engineering Department Regarding the Proposed Northside Flood Risk Management Levee, FM-16-A1 and Receive Appraisal Reports, Memorandum of Offer to Landowner, Temporary and Permanent Easements:
Mr. Roger Kluck, City of Fargo Engineering, was recognized and presented the final layout of the plan for the Northside Flood Risk Management Levee, FM-16-A1, to be constructed north of County 20. He stated their goal is to advertise the project and receive bids in early September. He stated the work that would be done yet in 2020 would primarily be on County Drain 10. He stated they will be installing a major structure and pump for the drain. He stated depending on the fall season they plan to haul in some dirt and start the levy work. He stated the only change since his last presentation to the MAA is in the northwest corner of the project. He stated due to railroad and ND DOT requirements they will not be crossing Co. Rd. 81 but will go south along the west side of the old Harwood lagoons and tie into 81 at the height they need.
Mr. Kluck stated they have provided Mr. Dobberstein with the appraisal information on the parcels involved.
Mr. Dobberstein stated they have been working with the airport’s tenant farmers making sure they are aware of the project and any impact to their operations. He stated none of the crop in that area was planted this year so the tenant was going to work on some ditching and approaches to those fields for their implements. He stated they will work with engineering to make certain that the levy does not impact their ability to drain the land.
Mr. Dobberstein stated he provided the board members with just the first few pages of the appraisals, which are about 180 pages each. He stated Attorney Bossart has reviewed the Temporary Construction Easements and Permanent Easements for each of the three parcels of airport land involved in this project. He stated we also have a Memorandum of Offer to Landowner (MAA) from the City of Fargo, Engineering Department for an amount of $166,981.00 as full compensation for the fee and/or temporary taking of the parcels and all damages incidental thereto. He added that the MAA will still own the land.
Chairman Linn stated this is a perfect example of how the Municipal Airport Authority collaborates with the City of Fargo.
Mr. Kluck stated Mr. Dobberstein has been very helpful in assisting them for the past two years with working with the FAA on meeting all of their requirements.
Mr. Dobberstein stated we are going through the same process with the North University Drive project for which the city is currently in the planning process.
Mr. Lind moved to approve the three Temporary Construction Easements and three Permanent Easements to the City of Fargo for the North Side Flood Risk Management Levee, FM-16-A1.
Second by Mr. Engen.
All members present voted aye and the motion was declared carried.
Mr. Engen moved to approve the Memorandum of Offer to Landowner for an amount of $166,981.00 to be paid to the Municipal Airport Authority by the City of Fargo.
Second by Gen. Haugen.
On the call of the roll, members Haugen, Engen, Cosgriff, Lind, Linn voted aye. No member being absent and none voting nay the motion was declared carried.
Received 2021-2023 Disadvantaged Business Enterprise (DBE) Goal Approved by the FAA:
Mr. Dobberstein stated the FAA requires us to establish goals for Disadvantaged Business Enterprise (DBE) participation. He stated the ND Aeronautics Commission partners with us to prepare this goal update. He stated our overall goal for the period October 1, 2020 to September 30, 2023 is 4.02%. He stated this goal is based off the ND Department of Transportation’s determined availability of DBEs from information supplied by all bidders. He stated with any of our FAA assisted projects all of the bidders are required to conduct a good faith effort to enter into subcontracts with DBEs. He stated the contractors have to document in their bids the efforts they took to involve DBEs. He stated we go through the same process for our concessionaires. He stated in order for a business to qualify as a DBE they must go through the ND DOT process to be certified as a DBE. He stated there are a lot of businesses who would qualify but many of them choose not to go through the process due to the amount of personal information that must be divulged.
Gen. Haugen moved to approve the 2021-2023 DBE Goal.
Second by Mr. Engen.
On the call of the roll, members Haugen, Engen, Cosgriff, Lind, Linn voted aye. No member being absent and none voting nay the motion was declared carried.
Received Construction Services Agreement from Mead & Hunt for Car Rental Ready Lot Reconstruction Project:
The proposed Construction Services Agreement for the Rental Car Ready Lot Reconstruction Project was received and filed without objection.
Mr. Jon Scraper, Mead & Hunt, was recognized (via zoom) and stated this is the contract to provide construction services for the Car Rental Ready Lot Reconstruction Project. The services provided are construction staking, quality assurance testing, construction observation, coordination, etc. He stated the cost of the contract is based on an hourly rate not to exceed $78,151.00.
Gen. Haugen moved to approve the Construction Services Agreement with Mead & Hunt for the Car Rental Ready Lot Reconstruction Project at a cost not to exceed $78,151.00.
Second by Mr. Lind.
On the call of the roll, members Haugen, Engen, Cosgriff, Lind, Linn voted aye. No member being absent and none voting nay the motion was declared carried.
NDPERS Update:
Attorney Stacey Bossart was recognized (via zoom) and stated she and Attorney Erik Johnson had a follow-up call with ND Assistant Attorney General Dean DePountis regarding the issue of giving the airport firefighters the ability to participate in the NDPERS Public Safety Retirement Plan. She stated in this conversation, Mr. DePountis indicated that the AG's office is not going to get into the business of an agreement between the city and the airport (MOU). She stated he did have the opinion that since the MAA is a separate political subdivision it should be able to have a NDPERS account separate from the COF. She stated they left the conversation with the conclusion that we need to get all four parties (Attorney Bossart, Shawn Dobberstein, someone from COF HR and Attorney Johnson) on a phone call with MaryJo from NDPERS to discuss the matter.
Mr. Johnson was recognized (via zoom) and stated Stacey explained it correctly. He stated the concern remains whether or not NDPERS will allow the airport firefighters access to the NDPERS Public Safety Retirement Plan without triggering the need to offer it to COF police and fire, who have their own pension systems.
Attorney Bossart stated from her perspective of that phone conversation the answer is "yes" the airport firefighters can enroll in the NDPERS Public Safety Plan without triggering the COF public safety employees because the Municipal Airport Authority is an independent political subdivision.
Chairman Linn asked the attorneys if they have ever gotten anything in writing to that effect from the AG’s office.
Attorney Bossart stated she requested that but she does not think any such letter will come. She stated at this point she feels both entities agree that for purposes of separate accounts it is allowed by state statute but the question is what does that mean.
Chairman Linn stated if the AG's office will not provide anything in writing she would like any future meetings to be recorded. She stated we have to make certain we are following the law and if they are not willing to put that in writing then we need keep some sort of record of it.
Attorney Johnson stated recording such telephone conversations on a staff level may be uncomfortable and may not be necessary.
Chairman Linn stated then maybe the conversations should be via zoom or another program because those can be recorded. She stated her point is that some of the issues that have come up in the past are due to the fact that things have not been in writing. She stated if you don't put things in writing there is a lot of opportunity for misinterpretation. She stated that is one of the reasons she has been very aggressive to make sure we get things in writing from the AG's office. She stated if they don't have to that is fine but we have to look out for the Airport Authority to make certain we are following the law.
Gen. Haugen stated this is extremely frustrating. He stated the people who are being hurt are the airport firefighters.
Chairman Linn stated if these meetings have not been recorded then maybe that needs to be considered. She stated if we have gotten different answers or someone changed their answer we need a trail of information.
Attorney Johnson stated those are excellent comments and he and Attorney Bossart will endeavor to record the meetings but he would also like to reserve the right to not have to record them if that seems to be awkwardly uncomfortable. He stated they will also keep a paper trail of the conversations. He stated it is a little hard to understand what the misunderstanding has been but frankly it has to do with sort of our rather unique relationship between the COF and the MAA with this airport employee deal and what it means and this idea of the airport firefighters sort of being city employees in some respect but clearly the airport is a separate political subdivision and this does not fit into their paradigm very well. He stated he thinks that's where the awkwardness has come about. He stated he thinks we can sort our way through this and figure out whatever the answer ends up being. He stated it very well may be that Stacey is right and it can be done but it also may be that they cannot accommodate this and then we will figure out the best answer some other way.
Chairman Linn stated in business if someone is not going to follow up then you have to follow up yourself. She stated maybe if they are not going to follow up then we have to be proactive with those follow ups. She asked the other board members if they had comments or was she being too critical.
Mr. Lind stated the chairman is spot on.
Gen. Haugen stated there are other fire departments throughout the state and their employees have no problem. He stated it is only in Fargo and it is because of the City's desire to remain in control of the HR piece of our MAA employees. He stated it is again unique just to Fargo because of our relationship with the COF. He stated it appears to him that it is a fear that the airport fire department moving would then impact the COF's fire department.
Attorney Johnson stated that is correct in a sense but he doesn't think it is a control issue. He stated it really is NDPERS, as the COF is perfectly willing to allow the airport firefighters to shift over to the NDPERS Public Safety Plan but the question is whether NDPERS will allow that. He stated he and Stacey thought they got that favorable answer from Assistant AG DePountis back in May and then when we initiated the process with MaryJo from NDPERS she sort of regurgitated what had been said in October that started a conversation again saying you are going to trigger all of the COF public safety employees. He stated we are left with the task that Stacey is talking about which is to head down the path with MaryJo and see where it leads us. He stated he thinks that will help isolate the issue in their minds. He stated it is simply a question of whether or not NDPERS will allow that to happen. He stated he thinks the COF is perfectly willing to allow the airport firefighters to shift over to the NDPERS Public Safety Plan. He stated it is his understanding that neither the COF police nor fire departments are interested in moving to NDPERS.
Chairman Linn stated this has been going on since last October so if they are not going to put it in writing then we need to follow up with something in writing. She stated this item has been on the agenda for nine months and it has been a waste of our time and they might appreciate someone putting it in writing and taking the onus off them.
Mr. Engen stated the COF says they are okay with this and NDPERS has already granted the MAA a separate account, so by doing that they have already approved this. What are we waiting for? He stated NDPERS has already granted us an account. He asked Attorney Johnson what we are waiting for.
Chairman Linn stated we need to make certain they don't change their mind again. She stated we have to show that NDPERS has granted the account and we are going to pursue that. She stated unless it is in writing we are going to keep going back and forth.
Mr. Engen stated NDPERS has already granted us an account. He asked if they have rescinded it.
Mr. Dobberstein stated no, it has not been rescinded.
Mr. Engen stated we have an account with NDPERS for this purpose. He stated the COF says it's okay. He stated this is a payroll or administrative process that is going around in circles and the only ones being harmed are the MAA firefighters. He stated if we already have an account with NDPERS and the COF is okay with that, why are we not moving forward. What is the disconnect?
Attorney Bossart stated that is why she wants to have a group call (zoom meeting) with MaryJo with NDPERS, where all parties are represented and to do that before our next MAA/COF joint meeting.
Mr. Engen stated, again, NDPERS has established an account for the benefit of the MAA employees. They have not rescinded it. That account is there to be used for the benefit of those employees. He stated it was the responsibility of NDPERS to approve or deny it. He stated they have already approved it. He stated he is confused as to why we are in this stalemate.
Attorney Bossart stated she does not disagree that they have approved it. She stated the environment in which that happened was prior to the MOU. She stated she wants to go right to MaryJo and have her tell everyone in one meeting.
Mr. Engen asked if the MOU specifically excludes this.
Attorney Bossart stated it does not. She stated that is sort of the uniqueness of this. She stated Section 13 states that the two entities agree to discuss the issue of pension.
Chairman Linn asked if it has been discussed.
Attorney Johnson stated he thinks we are working through it.
Attorney Bossart stated she and Attorney Johnson can write separate summaries of their understanding of the meetings to date, or both entities can jointly write a summary of the process so far and then set up a group meeting with all parties and MaryJo from NDPERS.
Chairman Linn stated we should have the meeting with NDPERS, put the results of the meeting in writing and then take the next step after that.
Mr. Engen stated he is still a bit confused. He stated NDPERS approved an account for the Municipal Airport Authority for the purpose of receiving funds for those members, whether it is any member or the MAA firefighters. He stated they have already done that process. He stated there is a bucket there waiting to receive those funds. He stated if they had not wanted that then the account should not be there, but it is still there. Why aren’t we using it?
Attorney Johnson stated he did not have anything to do with the setting up of the account, but his understanding is that when the COF HR department tried to implement that back in October, the pushback came from NDPERS saying that implementing this would mean that it would have to be offered to all COF public safety employees. He stated when it came to actually implementing the pension transition that’s where the rug burn came.
Chairman Linn stated most of us have been in the business world and for a small issue like this to take nine months is unacceptable. She stated if it were her business and this issue, which could have been solved right away, was not solved after nine months she would fire that employee.
She stated the COF is paying their attorney to be involved in this and those tax payer dollars could be spent on other things, as well as the funds the airport is spending. She stated it is very frustrating.
Chairman Linn recapped that the two attorneys will summarize their notes from previous meetings and phone conversations in writing and then set up a meeting with NDPERS.
Receive Sponsorship Request from the Fargo Air Museum:
The communication from July 20, 2020 from the Fargo Air Museum was received and filed without objection.
Mr. Dobberstein stated we received this request from the new Executive Director of the Fargo Air Museum, Ryan Thayer. He stated this sponsorship request for $2,500 is in line with what we have done in the past. He stated this is their main fund raising event to continue the mission of the Fargo Air Museum to promote aviation.
Gen. Haugen moved to approve the sponsorship request from the Fargo Air Museum in the amount of $2,500.00.
Second by Lind.
On the call of the roll, members Haugen, Engen, Cosgriff, Lind, Linn voted aye. No member being absent and none voting nay the motion was declared carried.
Airport Construction and Security Update:
Mr. Terry Stroh, TL Stroh Architects, was recognized (via zoom) stated progress on the SRE Building Project is moving along. He stated they are working on the walls of the sand storage areas. He stated the fuel tank will arrive early next week. He stated they are slightly ahead of schedule so things are going good.
Mr. Jeff Klein, Mead & Hunt, was recognized and stated Northern Improvement is starting to move some dirt for the Cargo Apron Expansion Project. He stated they are also starting on the water main and sanitary sewers on the north side of the site. He stated this did affect FedEx’s water service and they were very cooperative during that process, which helped a lot. He stated they are working with the FAA on an airspace issue for the crane to be used during construction on the glycol capture system.
Mr. Jon Scraper, Mead & Hunt, was recognized and stated they should start paving in the car rental lot in the next 10-14 days. He stated there were some delays due to rain but the project is going well.
Mr. Dobberstein stated there was some concrete that failed by the gate to the airfield west of the terminal building. He stated Northern Improvement will replace that section while they are working on the car rental lot reconstruction project. He stated we also had a contract with Dakota Underground for some pavement replacement in the south general aviation last year but because of the wet fall we had they were not able to complete that work. He stated they will be doing that work soon.
Mr. Dobberstein stated we are having an active shooter exercise in conjunction with the Fargo Police Department on Wednesday. He stated the exercise should take about 30 minutes.
Other Business:
Gen. Haugen stated he attended the City Commission meeting last evening and there was discussion on mask recommendations for city owned buildings. He stated in response to a question he had from a citizen, he confirmed with the city attorney that those recommendations were for properties directly under COF control and not airport owned property or those properties the airport leases to the Fargo Park District.
Chairman Linn stated she wanted to take the opportunity to thank all of the board members for their service. She stated these are volunteer positions and most citizens probably don’t know how important the decisions this board makes are and she really respects the opinions of these board members. She added that while she may have been a little hard on the two attorneys earlier in the meeting she does appreciate the work they have done on that matter.
The meeting of the Municipal Airport Authority was adjourned until the next Regular Meeting to be held Tuesday, August 25, 2020.