Board of City Commissioners - December 27, 2021 Minutes

The Regular Meeting of the Board of City Commissioners of the City of Fargo, North Dakota, was held in the City Commission Chambers at City Hall at 5:00 o'clock p.m., Monday, December 27, 2021.
The Commissioners present or absent were as shown following:
Present: Gehrig, Piepkorn, Preston, Strand, Mahoney.
Absent: None.
Mayor Mahoney presiding.

The Mayor read a message with the following information: January is Cervical Cancer Awareness Month; the Library offers its online Winter Read-a-Thon Program from January 3rd through March 6th and is accepting donations for the Mitten Tree; the Mayor read an email from a resident complimenting the City’s snow removal; and a video was shown highlighting the Fargo and West Fargo Fire Department Academy. The Mayor read a Proclamation declaring it Erik Johnson Day in recognition of Mr. Johnson’s last City Commission meeting as City Attorney.

Order of Agenda Approved:
Commissioner Piepkorn moved the Order of the Agenda be approved, withdrawing Item No. “5” from the Consent Agenda.
Second by Preston. All the Commissioners voted aye and the motion was declared carried.

Minutes Approved:
Commissioner Gehrig moved that the Minutes of the Regular Meeting of the Board held on December 13, 2021 be approved as read.
Second by Preston. All the Commissioners voted aye and the motion was declared carried.

Consent Agenda Approved:
Commissioner Strand moved the Consent Agenda be approved as follows:

1. Gaming Site Authorization for Red River Human Services Foundation at Sickies.
2. Applications for Games of Chance:
a. Knights of Columbus 11930 for a raffle on 5/19/22.
b. United Chinese Americans Fargo Moorhead for a raffle on 1/28/22.
3. Termination of Agreements and Termination of Easement and Agreement to Maintain Sanitary Sewer with Great Plains 1001 Holdings LLC.
4. Receive and file Financial Status Report Year to Date ending through 11/30/2021 for major operating funds (unaudited).
5. Close out of Civic Center Plaza Phase I Project (withdrawn).
6. State Water Commission request for cost reimbursement for the FM Metropolitan Area Flood Risk Management Project costs totaling $5,380,812.43.
7. Receive and file General Fund-Budget to Actual through November 2021 (unaudited).
8. City of Fargo Resolution Authorizing Officers to Make Deposits and Withdrawals (Attachment “A”).
9. Joint Powers Agreement for Cass County election administration services.
10. Sole Source Procurement with Sun Electric for electrical work associated with illuminating The Spirit of the Sandbagger sculpture (SSP22008).
11. Bid award to JustFOIA for Freedom of Information Act/Open Records Software Project (RFP21196).
12. Notice of Grant Award with the ND Department of Health for mental health/substance abuse transformation (CFDA #93.391).
13. Sole Source Procurement with CentralSquare Remote Service Processing (SSP22010).
14. Sole Source Procurement with Business Software, Inc. for IBM i-Series operations (SSP22009).
15. Agreement with Walker Consultants in the amount of $25,000.00 to prepare a Downtown Parking Study.
16. Joint Powers Agreement for School Resource Officers for Fargo Public School District.
17. Purchase of one Spartan Fire Pumper Truck through Sourcewell for $442,393.00 (PBC022818-22).
18. Bid award to Sanitation Products in the amount of $493,286.00 for two automated side load refuse trucks (RFP21203).
19. Change Orders for Project No. SW20-01:
a. No. 3 for an increase in the amount of $59,280.00 (civil contract).
b. No. G-003 for a decrease in the amount -$5,519.90 (general contract).
c. No. M-004 for a decrease in the amount of -$5,500.00 (mechanical contract).
d. No. E-002 for an increase in the amount of $1,723.45 (electrical contract).
20. Task Order Amendment No. 2 with Stantec Consulting Services, Inc. in the amount of $4,800.00 for Project No. SW20-01.
21. Task Order with Stantec in the amount of $174,370.00 for Cell 20 Design and Construction Observation (Project No. SW22-01).
22. Task Order with Stantec in the amount of $16,900.00 for Tier 2 Landfill Gas Sampling.
23. Amendment No. 5 with KLJ, Inc. in the amount of $4,015.08 for GTC Remodel project.
24. MATBUS 2021-2025 Transit Development Plan.
25. Mass Transit Agreement with the City of West Fargo for 2021.
26. Sole Source Procurement with Polydyne, Inc. for calendar year 2022 to purchase chemicals for operation of the Residuals Plant on the Water Treatment Plant campus (SSP22004).
27. Sole Source Procurement with Hawkins Water Treatment Group for calendar year 2022 for chemicals and materials for the Water Treatment Plant (SSP22003).
28. Sole Source Procurement with Avista Technologies, Inc. for calendar year 2022 to purchase chemicals for operating the Reverse Osmosis system of the Membrane Water Treatment Plant (SSP22005).
29. Request to advertise a Request for Proposal (RFP) for Reverse Osmosis Element Replacement (Project No. WA2104).
30. Bills in the amount of $15,887,806.47.

Second by Preston. On call of the roll Commissioners Strand, Preston, Gehrig, Piepkorn and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

Incentive for Improvement District No. BR-22-A1 Approved:
The Board received a communication from the Public Works Projects Evaluation Committee stating the project is expected to impact traffic and staff believes it is possible to complete the project up to 50 days earlier than the construction schedule of 204 days and incentives should apply. They said incentives would be assessed at $10,000.00 for every day the contractor can reach substantial completion before the 204th day of construction with a maximum incentive of $500,000.00 (50 days).
Commissioner Strand moved an incentive of $10,000.00 per day for a maximum of 50 days for Improvement District No. BR-22-A1 be approved.

Second by Preston. On call of the roll Commissioners Strand, Preston, Gehrig, Piepkorn and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

Paving and Utility Rehab/Reconstruction Improvement District No. BR-22-A (on 32nd Avenue South from 32nd Street to 22nd Street South):
Commissioner Strand moved the following action be taken in connection with Paving and Utility Rehab/Reconstruction Improvement District No. BR-22-A:

Adopt Resolution Creating Improvement District No. BR-22-A:
WHEREAS, The Board of City Commissioners of the City of Fargo, North Dakota, deems it expedient that Improvement District No. BR-22-A in the City of Fargo, North Dakota, be created

On 32nd Avenue South from 32nd Street South to 22nd Street South.

COMPRISING:
Starting on the North at the North-South 1/4 Section Line between Sections 14 and 23, Township 139 N, Range 49 W heading east. Bounded on the North by Interstate 29 and ending at Gold Drive South.

Starting at Interstate 29 heading south. Bounded on the East by Gold Drive South to 18th Street South, and then along 18th Street South from Gold Drive South to 22nd Street South, and then along 22nd Street South from 18th Street South and ending at the East-West Section 1/4 Line of Section 25, Township 139 N, Range 49 W.

Starting at 22nd Street South heading west. Bounded on the South by the East-West 1/4 Section line of Sections 25 and 26, Township 139 N, Range 49 W, ending at Interstate 29, and the following parcels which are included:

The west portion of Lot 1, inclusive, Block 2.
All in Stonebridge Farms Fourth Addition.

Lots 1 through 4, inclusive Block 5.
All in Replat of Lots 6-17, Block 1; Lots 13 & 14, Block 3; Lots 1-6 Block 4 of Southwood Park.

And
Excluding the following parcels:

The east portion of Lot 1 through 2, inclusive, Block 2.
All in Stonebridge Farms Fourth Addition.
Lot 14, inclusive, Block 3.
All in Replat of Lots 6-17, Block 1; Lots 13 & 14, Block 3; Lots 1-6 Block 4 of Southwood Park.

Lots 2, 3, 6, 7, 10 and 11, inclusive, Block 3.
All in Southwood Park, a portion of Section 26 T - 139 - N R - 49 - W.
Starting at Interstate 29 heading north. Bounded on the West by Interstate 29, ending at the NW corner of Lot 42, inclusive, Block 1, and the following parcel which is included:

The east portion of lot 5, inclusive Block 1.
All in Southwood Park, a portion of Section 26 T - 139 - N R - 49 - W.
And

Excluding the following parcel:

The west portion of lot 5, inclusive Block 1.
All in Southwood Park, a portion of Section 26 T-139 - N R - 49 - W.

Starting at the NW corner of Lot 42, inclusive, Block 1, and heading east, and ending at 32nd Street South. Bounded by the following parcels which are included:

Lot 42, inclusive Block 1.
Lots 6 through 12, inclusive Block 4.
All in Woodbury Park Addition, a replat of Lexus First Addition, Lots 1 through 3, Block 1.

Lot 11, inclusive, Block 2.
All in Parkview South Sixth Addition.

Lot 7, inclusive, Block 3.
Lots 6, and 8-13, inclusive, Block 1.
A portion of Block 1 south of the intersection of 33rd Street S.W. and 26th Avenue S.W.
All in Parkview South Fifth Addition.

Lot 24, inclusive, Block 2.
All in Parkway South Second Addition.

Lot 17, inclusive, Block 1.
All in Parkway South Eighth Addition, a replat of Lot 32, Block 2 Parkview South Second Addition.

Lot 1, inclusive Block 1.
All in Westlake Seventh Addition.
Starting at 32nd Street South heading north. Bounded on the West by 32nd Street South and the following parcel which is included.
Lot 1, inclusive, Block 8.
All in Bluemont Lakes Third Addition, part of the NE 1/4 of Section 23, including auditor’s lots 1, 2 and 3 thereof, Township 139 North, Range 49 West.

All of the foregoing is located in the City of Fargo, Cass County, North Dakota.

BE IT FURTHER RESOLVED, That the City Auditor's Office is hereby instructed to publish this Resolution, as required by law.
NOW, THEREFORE, BE IT RESOLVED, That Paving and Utility Rehab/Reconstruction Improvement District No. BR-22-A in the City of Fargo, North Dakota, be and the same is hereby created.

Request Report and Estimate of Cost From the City Engineer for Improvement District No. BR-22-A:
Direct City Engineer to report as to the general nature, purpose and feasibility relative to the construction of Improvement District No. BR-22-A in the City of Fargo, North Dakota; as well as an estimate of the approximate cost of said construction. (The Engineer's estimate of cost is $16,024,679.39.)

Order Plans and Specifications for Improvement District No. BR-22-A:
Direct City Engineer to prepare Plans and Specifications for the construction of Improvement District No. BR-22-A in the City of Fargo, North Dakota.

Adopt Resolution Approving Plans and Specifications and Engineer's Report for Improvement District No. BR-22-A:
WHEREAS, The Board of City Commissioners of the City of Fargo, North Dakota, has created Improvement District No. BR-22-A in the City of Fargo, North Dakota, as required by law; and
WHEREAS, Plans and Specifications and the Engineer's Report prepared by the City Engineer, have been considered.
NOW, THEREFORE, BE IT RESOLVED, That the Plans and Specifications and Engineer's Report for the construction of Improvement District No. BR-22-A in the City of Fargo, North Dakota, be and the same are hereby approved and ordered filed in the Office of the City Auditor.

Adopt Resolution Declaring Paving and Utility Rehab/Reconstruction Necessary:
BE IT RESOLVED BY THE BOARD OF CITY COMMISSIONERS OF THE CITY OF FARGO:
That it be and is hereby declared necessary to construct Paving and Utility Rehab/Reconstruction Improvement District No. BR-22-A in the City of Fargo, North Dakota, according to the Engineer’s Report for this district and the Plans and Specifications approved by the Board of City Commissioners of the City of Fargo, North Dakota, filed in the Office of the City Auditor, and open for public inspection. A map of the district is attached hereto and incorporated as if fully set forth herein.
That a portion of said Paving and Utility Rehab/Reconstruction improvement is to be paid from State and Local Funds, and approximately 50% is to be assessed against the benefited property in amounts proportionate to and not exceeding the benefits to be derived by them respectively from said improvement.
Protests against the proposed Paving and Utility Rehab/Reconstruction must be in writing and must be filed with the City Auditor's Office within 30 days after the first publication of this Resolution.
BE IT FURTHER RESOLVED, That the City Auditor's Office is hereby instructed to publish this Resolution, as required by law.

Direct City Auditor's Office to Call for Bids for Improvement District No. BR-22-A:
Direct City Auditor's Office to publish a Notice, as required by law, calling for bids for the construction of Improvement District No. BR-22-A in the City of Fargo, North Dakota.

Second by Preston. On call of the roll Commissioners Strand, Preston, Gehrig, Piepkorn and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

Contract for New Paving and Utility Construction Improvement District No. BN-22-A1 Approved:
Commissioner Strand moved the Contract between the City of Fargo and Dakota Underground Company, Inc. for New Paving and Utility Construction Improvement District No. BN-22-A1 in the City of Fargo, North Dakota, be approved.

Second by Preston. On call of the roll Commissioners Strand, Preston, Gehrig, Piepkorn and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

Contract Bond for New Paving and Utility Construction Improvement District No. BN-22-A1 Approved:
Commissioner Strand moved the following described Contract Bond be approved as to sufficiency:
United Fire and Casualty Company in the amount of $11,675,967.59 for New Paving and Utility Construction Improvement District No. BN-22-A1 in the City of Fargo, North Dakota.

Second by Preston. On call of the roll Commissioners Strand, Preston, Gehrig, Piepkorn and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

Contract for Paving and Utility Rehab/Reconstruction Improvement District No. BR-22-B1 Approved:
Commissioner Strand moved the Contract between the City of Fargo and Key Contracting, Inc. for Paving and Utility Rehab/Reconstruction Improvement District No. BR-22-B1 in the City of Fargo, North Dakota, be approved.

Second by Preston. On call of the roll Commissioners Strand, Preston, Gehrig, Piepkorn and Mahoney voted aye No Commissioner being absent and none voting nay, the motion was declared carried.

Contract Bond for Paving and Utility Rehab/Reconstruction Improvement District No. BR-22-B1 Approved:
Commissioner Strand moved the following described Contract Bond be approved as to sufficiency:
Old Republic Surety Company, in the amount of $2,333,313.10, for Paving and Utility Rehab/Reconstruction Improvement District No. BR-22-B1 in the City of Fargo, North Dakota.

Second by Preston. On call of the roll Commissioners Strand, Preston, Gehrig, Piepkorn and Mahoney voted aye No Commissioner being absent and none voting nay, the motion was declared carried.

Resident Comments:
Wess Philome spoke about the importance of the Resident Comment period.

Parcels of Land in Interstate Park Second Addition Rezoned (3502 and 3518 Interstate Boulevard South):
At a Hearing held on September 9, 2021 the Fargo Planning Commission recommended approval of a change in zoning from LC, Limited Commercial and GC, General Commercial to LC, Limited Commercial and GC, General Commercial.
The City Auditor's Office published a Notice of Hearing stating this is the time and date set for said Hearing at which time all interested persons could appear and would be heard.

Current Planning Coordinator Donald Kress said the property was formerly a Super 8 motel and is now called the Bison Inn and Suites and ownership has changed. He said the replat, which has been completed, redivided the property so the hotel building is on one lot, the residential building is on another lot, and each lot now has the appropriate zoning.

In response to a question from Mayor Mahoney asking what the plans are for the hotel, Mike Skatvold, representing JKJ Enterprises, LLP, said the property will remain a hotel, there is a change in name and ownership.

Commissioner Preston offered the following Resolution and moved its adoption:
WHEREAS, All legal requirements in connection with the above-described request for rezoning have been complied with; and
WHEREAS, There have been no written or verbal protests to the request for rezoning and no one is present to protest thereto.
NOW, THEREFORE, BE IT RESOLVED, That the findings of staff be accepted and the rezoning be approved on the basis that the proposal satisfactorily complies with the Comprehensive Plan, Standards of Section 20-0906.F (1-4) and all other applicable requirements of the LDC.

Second by Gehrig. On the vote being taken on the question of the adoption of the Resolution Commissioners Preston, Gehrig, Strand, Piepkorn and Mahoney voted aye.
No Commissioner being absent and none voting nay, the Resolution was adopted.

First Reading of an Ordinance Rezoning Certain Parcels of Land Lying in Interstate Park Second Addition:
Commissioner Preston moved the requirement relating to receipt of the Ordinance by the Commission one week prior to first reading be waived and that the Ordinance Rezoning Certain Parcels of Land Lying in Interstate Park Second Addition to the City of Fargo, Cass County, North Dakota be placed on first reading.

Second by Gehrig. On call of the roll Commissioners Preston, Gehrig, Strand, Piepkorn and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

Resolution Adopted Approving Crossroads Corporate Center Addition (4001 and 4155 23rd Avenue South):
Commissioner Preston offered the following Resolution and moved its adoption:
BE IT RESOLVED BY THE BOARD OF CITY COMMISSIONERS OF THE CITY OF FARGO:
WHEREAS, A Plat has been filed in the office of the City Auditor entitled “Crossroads Corporate Center Addition” containing 12 Lots, 3 Blocks and 56.16 acres of land more or less, located at 4001 and 4155 23rd Avenue South; and

WHEREAS, A Hearing was held November 2, 2021 by the Fargo Planning Commission, and notice of such Hearing had been published, as required by law, and said Plat had been approved by the Fargo Planning Commission and by the City Engineer; and
WHEREAS, The City Auditor's Office published a Notice of Hearing on said Plat in the official newspaper for the City of Fargo on December 15 and 22, 2021 that a Hearing would be held in the Commission Chambers, City Hall, Fargo, North Dakota at 5:15 p.m., December 27, 2021 at which time said Plat would be considered and all interested persons would be heard.
NOW, THEREFORE, BE IT RESOLVED, That the findings and recommendations of staff and the Planning Commission be accepted and the Plat entitled “Crossroads Corporate Center Addition” be and the same is hereby in all things affirmed and approved on the basis that it complies with the Standards of Article 20-06, and all other applicable requirements of the Land Development Code, and that the Mayor of the City of Fargo and the appropriate City Officials are hereby directed to endorse their approval on the Plat and then direct Petitioner to file same for record in the Office of the Recorder of Cass County, North Dakota.

Parcels of Land in University South Addition Rezoned (2301 and 2253 University Drive South):
At a Hearing held on October 5, 2021 the Fargo Planning Commission recommended approval of a change in zoning from LC, Limited Commercial to MR-3, Multi-Dwelling Residential with a C-O, Conditional Overlay on Lot 1, Block 1 of the proposed University South Second Addition and from LC, Limited Commercial to GC, General Commercial with a C-O, Conditional Overlay on Lot 2, Block 1 of the proposed University South Second Addition and Lots 1 and 2, Block 1, University South Addition.
The City Auditor's Office published a Notice of Hearing stating this is the time and date set for said Hearing at which time all interested persons could appear and would be heard.

Planning Coordinator Donald Kress said University South Addition was originally divided into three lots and approved by the City Commission on September 20, 2021 and subsequently recorded. He said in the process of developing University South Second Addition, the applicant determined that the overall development of this site would be better serviced if Lots 1 and 2, Block 1 of the University South Addition were included in the zone change from LC to GC proposed for the University South Second Addition so all the commercial lots on the site shared the same zoning. Thus, he said, Lots 1 and 2, Block 1, University South Second Addition were included in the zone change for a more unified project. Staff has received and responded to a number of comments on the project, he said.
Austin Morris, Enclave Development, told of driving by the old Kmart building at the beginning of the project with his six-year-old
daughter and when he asked what should be done with the property, she said, “we should do something that helps people, a homeless shelter or provide housing for people who otherwise would not be able to afford it.” They worked to create a collaboration of private development with commercial uses, and connected with Dan Madler of Beyond Shelter, Inc. to provide housing for 55 plus seniors at affordable rates, he said. The total project value of the commercial project after completion is $10 million, he said, and the current assessed value is $3 million.

Commissioner Preston offered the following Resolution and moved its adoption:
WHEREAS, All legal requirements in connection with the above-described request for rezoning have been complied with; and
WHEREAS, There have been no written or verbal protests to the request for rezoning and no one is present to protest thereto.
NOW, THEREFORE, BE IT RESOLVED, That the findings of staff and the Planning Commission be accepted and the rezoning be approved with the Conditional Overlay requirements listed in the Ordinance on the basis that it satisfactorily complies with the Comprehensive Plan, Standards of Section 20-0906.F (1-4) and all other applicable requirements of the LDC.

Second by Piepkorn. On the vote being taken on the question of the adoption of the Resolution Commissioners Preston, Piepkorn, Strand, Gehrig and Mahoney voted aye.
No Commissioner being absent and none voting nay, the Resolution was adopted.

First Reading of an Ordinance Rezoning Certain Parcels of Land Lying in University South Addition:
Commissioner Preston moved the requirement relating to receipt of the Ordinance by the Commission one week prior to first reading be waived and that the Ordinance Rezoning Certain Parcels of Land Lying in University South Addition to the City of Fargo, Cass County, North Dakota be placed on first reading.
Second by Piepkorn. On call of the roll Commissioners Preston, Piepkorn, Strand, Gehrig and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

First Reading of an Ordinance Rezoning Certain Parcels of Land Lying in University South Second Addition:
Commissioner Preston moved the requirement relating to receipt of the Ordinance by the Commission one week prior to first reading be waived and that the Ordinance Rezoning Certain Parcels of Land Lying in University South Second Addition to the City of Fargo, Cass County, North Dakota be placed on first reading.

Second by Piepkorn. On call of the roll Commissioners Preston, Piepkorn, Strand, Gehrig and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

Resolution Adopted Approving University South Second Addition:
Commissioner Preston offered the following Resolution and moved its adoption:
BE IT RESOLVED BY THE BOARD OF CITY COMMISSIONERS OF THE CITY OF FARGO:
WHEREAS, A Plat has been filed in the office of the City Auditor entitled “University South Second Addition” containing 2 Lots, 1 Block and 9.72 acres of land more or less, located at 2301 and 2253 University Drive South; and
WHEREAS, A Hearing was held October 5, 2021 by the Fargo Planning Commission, and notice of such Hearing had been published, as required by law, and said Plat had been approved by the Fargo Planning Commission and by the City Engineer; and
WHEREAS, The City Auditor's Office published a Notice of Hearing on said Plat in the official newspaper for the City of Fargo on December 15 and 22, 2021 that a Hearing would be held in the Commission Chambers, City Hall, Fargo, North Dakota at 5:15 p.m., December 27, 2021 at which time said Plat would be considered and all interested persons would be heard.
NOW, THEREFORE, BE IT RESOLVED, That the findings and recommendations of staff and the Planning Commission be accepted and the Plat entitled “University South Second Addition” be and the same is hereby in all things affirmed and approved on the basis that it complies with the Standards of Article 20-06, and all other applicable requirements of the Land Development Code, and that the Mayor of the City of Fargo and the appropriate City Officials are hereby directed to endorse their approval on the Plat and then direct Petitioner to file same for record in the Office of the Recorder of Cass County, North Dakota.

Renewal Plan and Developer Agreement for Tax Increment Financing District No. 2021-03 Approved:
A Hearing had been set for this day and hour to review a Renewal Plan for Tax Increment Financing (TIF) District No. 2021-03, which consists of redevelopment of the old Kmart site on University Drive South. The project is to demolish a vacant commercial building and construct new development with affordable housing and commercial space, a restaurant and a coffee shop with construction to begin in 2022 and be completed by the end of 2024.
No written protests have been filed for the attention of the Board.
The Board determined that no person is present at this Hearing to protest or offer objection thereto.

Director of Strategic Planning and Research Jim Gilmour said this is a Renewal Plan for the previous item that action was taken for the zoning. He said about a year ago it came before the Board and received the go ahead to start. He said later this year, an incentive was provided to Beyond Shelter to build about 88 housing units for lower income seniors on this site. He said now that zoning is completed and with an award from the Housing Finance Agency at $9.2 million in tax credits and HOME block grant funds on the second site is $9.5 million, $18 million hangs in the balance for affordable housing. He said the overall project is only feasible if TIF funds are used. He said $1.4 million is needed to demolish the old Kmart building so the affordable housing agency can afford to purchase the property at an affordable price. The incentive for the developer would be $1.4 million in TIF funds, which would not be provided up front, he said, it would be provided in the future as the developer pays property taxes. The project was reviewed by the City’s financial adviser, he said, who concluded the project would not be feasible without the TIF assistance. He said the estimated annual TIF income is approximately $104,000.00 per year and the maximum length of the TIF district would be 15 years following the completion of the project.

Commissioner Piepkorn moved for approval of the following:
WHEREAS, Certain areas within the City are in need of redevelopment in order to prevent further deterioration, to encourage investment and to preserve property values; and
WHEREAS, The Board of City Commissioners desires to avail itself of the power and authority granted by Chapter 40-58 NDCC.
NOW, THEREFORE, BE IT RESOLVED, By the Board of City Commissioners as follows:
1. That one or more slum or blighted areas, or areas consisting of industrial or commercial property, or a combination of those areas of properties, exist in the City of Fargo.
2. That the development, rehabilitation, conservation or redevelopment, or a combination thereof, of the area contained within the Renewal Plan for Tax Increment Financing District No. 2021-03, is necessary in the interest of public health, safety, morals or welfare of the residents of the City of Fargo and will afford maximum opportunity, consistent with the sound needs of the City as a whole, for the rehabilitation or redevelopment of the development area by private enterprise.
3. That there are blighted areas within the area contained within the Renewal Plan with deteriorated conditions that discourage redevelopment. The Renewal Area, as defined in the Renewal Plan, is blighted due to the presence of these conditions have substantially impaired the growth of the City, and have slowed the provision of appropriate redevelopment in this area. As a result, the Board of City Commissioners finds that a blighted condition exists in the said area.
4. That the area designated as the Renewal Plan for Tax Increment Financing District No. 2021-03 is appropriate for a development project.
5. That such development, rehabilitation, conservation or redevelopment of the area contained in the Renewal Plan for Tax Increment Financing District No. 2021-03 requires the powers and authority granted in Chapter 40-58 NDCC.
6. That the Renewal Plan for Tax Increment Financing District No. 2021-03 is hereby officially adopted by the Board.
7. That a Developer Agreement be prepared in regard to the Tax Increment Financing.
8. That the appropriate staff be directed to request the County Auditor and Treasurer to compute, certify and remit tax increments resulting from the development or renewal of the area in accordance with the plan and any modifications thereof, and that the County Auditor and Treasurer shall do so in accordance with this section.

Second by Strand. On call of the roll Commissioners Piepkorn, Strand, Preston and Mahoney voted aye.
Commissioner Gehrig voted nay.
The Resolution was declared adopted.

COVID-19 Update: Discussion Regarding Mobile Vaccine Clinics at Schools:
Director of Fargo Cass Public Health (FCPH) Desi Fleming (via conference call) said COVID-19 cases are at 599 active cases in Cass County now and 1,858 in the State. She said 30-39 year olds remain the main age group, and there have been 283 deaths in Cass County. There are 104 hospitalized in the State and the State remains categorized as high transmission by the CDC, she said. Breakthrough cases are about 4.4 percent, a slight increase, she said. She outlined the new guidelines issued by the CDC for isolation and quarantine.

FCPH Health Officer Dr. Tracie Newman (via conference call) gave an update on the new Omicron variant, which is surging in many countries and is in all 50 states. There are many questions, she said, and it is rapidly spreading and causing almost 3/4 of cases in the US. December 19th the first case of Omicron was confirmed in North Dakota, she said, and preliminary data indicates it is more transmissible with less severe disease. She said preliminary data does show vaccine effectiveness which is promising and boosters are efficacious. She shared vaccine and booster rates and said a distinct pattern is expected between boosted, fully vaccinated and unvaccinated people. Pfizer Paxlovid preliminary data show effectiveness against Omicron and if taken within 5 days of symptoms can reduce hospitalization by 88%; she said; however, oral antiviral therapy supplies could be quite limited.

Commissioner Gehrig said he has heard concerns about mobile vaccine clinics going to public schools and funded by the City through a grant from the State. He said he was not aware and he questions why medical procedures are being done at schools and many children have two parents who do not live together. He said his son falls in that category and he has as much authority over his son’s well being as his mother and they jointly make decisions. He said he was told that this program allows that only one parent needs to sign in order for a child to be vaccinated at school, whereas, in a doctor’s office, both parents would have to agree. He said parents are being cut out of medical decisions for their children.

Commissioner Gehrig moved that funding for this program be cut until there is better oversight and ensures that parents are involved in the decision making of medications their children are receiving.
The motion died for the lack of a second.

Ms. Fleming said FCPH has been doing vaccines in schools for as long as she has been on the staff, approaching 30 years. She said this project is an immunization grant for children who may not be able to get into clinics for vaccines. State law requires vaccinations, she said, and this helps accessibility. This item was on the August 23, 2021 City Commission agenda and approved, she said, and included documentation of all the activities. In October, she said, Fargo Public Schools administered 173 vaccinations, 170 of them to meet State requirements and 3 for COVID-19. These are voluntary clinics advertised to the parents and the consent form requires a signature, she said.

Commissioner Gehrig said he is not speaking against the program. He said he was not aware that consent did not require both parents to sign for a procedure given to their child at a school. He said as a parent who does not live with his child’s mother, he needs to know what goes on at school and needs to be a part of a decision making process.

Assistant City Attorney Nancy Morris said that State law states a hierarchy of who is able to provide vaccination authorization and it is the parents or appointed guardian. She said the schools and medical providers routinely rely on the one authorization unless they have notice that the authorization is not valid, at which point they would not provide a vaccination. She said it is the same in schools as taking a child to a medical provider.

He said more than the minimum needs to be done, many children have parents who do not live together and too many times the father is being cut out.

Application for Abatement or Refund of Taxes #4517 for My Place Hotel Denied:
Deputy City Assessor James Haley said the application was submitted by Fremstad Law representing My Place Hotel under the ownership of Fargo My Place, LLC located at 2555 55th Street South, who is requesting a value reduction for 2019 from $2,896,000.00 down to $1,710,000.00 or a reduction of 41 percent. He said the appellant presented a property specific income approach as support for a reduction; however, no market evidence was provided. The recommended action from the Assessor’s Office, he said, is to deny the request for abatement for tax year 2019.

Christopher Stafford, Fremstad Law Firm (via conference call), said there is a disagreement on value. A prospective purchaser would not look at what My Place spent to build 5 years before the assessment date or what other people paid at other hotels, he said, they would look at what kind of money they could make with the subject property. He said they provided income and expense data and income approach analysis based on a three-year average of what that property actually made. He said the Assessor’s Department makes an assumption on adjusted business value in the comparable sales of 15 percent and in this case their numbers are closer to 30 percent.

Commissioner Gehrig moved based upon Mr. Splonskowski’s recommendation that application #4517 filed by Fremstad Law representing My Place Hotel for abatement or refund of real estate taxes for the 2019 tax year on property at 2555 55th Street South be denied.

Second by Piepkorn. On call of the roll Commissioners Gehrig, Piepkorn, Preston, Strand and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

2021 Downtown Fargo Business Improvement District Overview:
Downtown Community Partnership (DCP) Executive Director Cindy Graffeo said the DCP administers the Business Improvement District (BID) on behalf of the business owners and City of Fargo. She said Fargo’s BID has been in place since 2012 and in 2017 the level of service was drastically elevated and brought in block by block. She said they work to improve and enhance the overall attractiveness and appeal of the Downtown by making sure it is clean, safe, maintained and properly promoted. The City Commission contracts the BID and they work with a Business Advisory Committee to hire a BID operations manager and that individual has a staff of five direct reports. Their Advisory Committee consists of representatives from each of the zones for equal representation and staff works in a tiered zone system. She explained the assessment methodology and outlined the financials for 2021 and budget for 2022. Business owners did not see a significant increase in their assessment for BID expenses, she said. Some statistics she shared were: 637 pieces of graffiti removed compared to 252 in 2020; 1,242 pieces of infrastructure disinfected; 44 faces of sidewalk power-washed; and 7,601 pounds of recycling and 73,005 pounds of trash collected, which is up significantly from 2020. She said there is a significant increase in foot traffic and utilization of the Downtown.

In response to a question from Commissioner Preston asking whether services have expanded as new properties come onboard, Ms. Graffeo said with an increase in valuation and projects coming on the tax rolls this past year, operations staff will be increased from five to six FTE’s during the summer months. Also included in the budget is replacement of the wayfinding signs, and other equipment such as an additional power washer.

In response to a question from Commissioner Preston asking why not all sidewalks get cleared of snow, Ms. Graffeo said BID does snow removal on the ADA bump outs, ramps and areas around the railroad tracks; however, just as in residential areas, the owner of the property is responsible for clearing their sidewalk in front of their business.

In response to a question from Commissioner Preston asking when the pavers on the streets will be redone, Victor Heitkamp, BID Operations Manager, said while he cannot answer about plans or processes for the pavers, if the bump outs are loose, they do have replacement bricks to do repairs to keep the walk off areas safe.

City Engineer Brenda Derrig said an Improvement District could be created; however, the decorative pavers in the Downtown streets are above and beyond what is typically done for residents throughout the City. Her suggestion would be if a specific area is identified, that area could be looked at and an assessment district could be created. She said some pedestrian crossings with pavers are starting to need replacement.

City Attorney and Appropriate Staff Directed to Revise Article 15-02 of Chapter 15 of the Fargo Municipal Code Relating to the Human Relations Commission:
Director of Diversity, Equity and Inclusion Terry Hogan said being specific about the City’s intent to protect rights, enumerating these rights and putting “rights in the name cannot hurt.” He said language and definitions are important and the current documents and the Human Relations Commission name have too much of a common or broad feeling. He said having “rights” in the name follows naming patterns of national and state organizations and makes it clearer and accessible with an easier transition so people know where to go. The Human Relations Commission name does not give the impression of being a place where someone can take a complaint and the recommendation to change the name to the Human Rights Commission was approved by the Human Relations Commission at its October 21, 2021 meeting.

Commissioner Strand said this has been a long time coming, he has not found another example of such a Commission being a Human Relations Commission and not a Human Rights Commission. The reality is that the charges of this Commission are more in the lane of human rights issues, he said, and there is no downside in refocusing it to what is the expectation of the community. He said they may not have a lot of authority; however, at least there will be a place to go with concerns when they surface. He said he welcomes the change. He said the City now has the Diversity, Equity and Inclusion Director, plus the Human Relations Commission has been expanded to be more diverse.

Commissioner Strand moved the City Attorney and Appropriate Staff be directed to revise Article 15-02 of Chapter 15 of the Fargo Municipal Code Relating to the Human Relations Commission.

Second by Preston. On call of the roll Commissioners Strand, Preston, Gehrig, Piepkorn and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

Amended Memorandum of Understanding (MOU) between the City and Fargo Municipal Airport Authority Approved:
City Attorney Erik Johnson presented an amendment to the January 2020 MOU between the Fargo Municipal Airport Authority (Airport) and the City. He said the amendment memorializes the results of the process that has been undertaken by the Airport and the City throughout the past ten months or so. Since the Airport Authority was established in 1969, he said, the Airport employees have been on City payroll, among other things. He said over the years the level of City benefits and services has grown and this amendment recognizes a significant change. Effective January 1, 2022, the Airport will no longer be reliant upon the services that have been provided by the City, at one level or another since 1969, he said; however, there will still be a substantial relationship between the City and the Airport. The Airport has been and will remain, a separate political subdivision with all the powers given to “Airport Authorities” by State law, he said, and the City Commission will still appoint the members, will still determine whether to levy property taxes at the request of the Airport and will still approve any bonds sought to be issued by the Airport. The Amended MOU is designed to establish groundwork for the relationship going forward, he said, and among other things, provides a framework for interaction between the Airport and the City Commission on various governance issues, including budgeting, mill levy requests and the like, and transparency of governance to the public.

Commissioner Strand said this is a paradigm shift. He said for decades the relationship has been close and the City’s expectations and influence over the Airport were tightly managed. The last two years have not been easy for either side, he said, and relinquishing the control is difficult although the best decision going forward. He said many months into negotiations the Mayor was influential in letting them go on their own. It is not a separation, he said, it is a clarification of independent roles. He thanked the leadership of the Airport Authority and their people for delivering Fargo an outstanding airport. He said if needed, the relationship could be revisited; however, both parties feel it will work.

Mayor Mahoney thanked Commissioner Strand for his hard work along with Erik Johnson.
Commissioner Strand moved the Amended Memorandum of Understanding between the City and the Municipal Airport Authority of the City of Fargo be approved, as presented.

Second by Preston. On call of the roll Commissioners Strand, Preston, Gehrig, and Mahoney voted aye.
Commissioner Piepkorn voted nay.
The motion was declared carried.

Discussion on Placement of Term Limits Ordinance Before City Voters: Ordinance Enacting Section 1-0210 of Article 1-02 of Chapter 1 of the Fargo Municipal Code Relating to Ordinances - Procedure to be Placed on First Reading at the Next Regular Meeting of the Board:
City Attorney Erik Johnson presented a draft Ordinance to the Commission intended to establish a procedure by which the City Commission could place a proposed Ordinance on a City election ballot to be enacted or rejected by a Citywide vote. He explained that, by Home Rule powers, the City Commission has the power to place Ordinances before the City voters for approval or rejection; however, Home Rule powers must be implemented by enactment of a procedural ordinance. He reviewed the recent action of the City Commission and said that in July 2021, the City Attorney was directed to prepare a Resolution for City Commission approval that would place an advisory question on the ballot for input from the City’s voters as to whether the voters want to retain term limits. Then, he said, at the City Commission’s November 15, 2021 meeting, the Commission approved a motion that sought from the voters an up or down vote on the City’s term limits Ordinance, rather than an advisory vote. Mr. Johnson explained that in order to accomplish the “up or down vote”, a two-step process is required:
1. The City Commission must establish a procedure by which a proposed Ordinance is submitted to voters (i.e. must have an Ordinance) and,
2. The City Commission then must approve a resolution directing the question to be placed before the City voters and the Resolution must contain the proposed Ordinance being voted upon by the electorate - in this case, presumably, it would be an Ordinance repealing F.M.C. Section 2-0106 - the City’s term limits Ordinance.

Mr. Johnson said he had placed on the agenda a draft procedural Ordinance (proposed Section 1-0210) for receipt and filing. He explained that once the procedural Ordinance is enacted, the City Commission would be asked to approve a Resolution. The concern he expressed; however, is that since the proposed Resolution—containing a proposed Ordinance for City-wide vote—would seek to repeal the existing City term limits law and, as such, the City voters would be asked to vote in a counterintuitive manner. If voters want to repeal the City’s term limits law, they would vote “yes” and if they want to keep term limits, they vote “no”. He stated that he is calling attention to this to make the City Commission aware of the possibility of confusion of the voters.

In response to a question from Commissioner Preston asking if it could be made less counterintuitive, Mr. Johnson said the framework for presenting proposed laws for city-wide vote comes from Fargo’s Home Rule Charter and State law and; therefore, voters need to vote “yes” or “no” on whether or not a proposed Ordinance should be enacted. This limits the opportunity for a more explanatory ballot question that might be more intuitive in nature, he said, and for it to be done in a more intuitive way, an advisory vote would allow asking the question more as a poll. He said a repeal of an existing Ordinance, no matter how it is done, becomes counterintuitive.
Commissioner Gehrig moved the Ordinance Enacting Section 1-0210 of Article
1-02, of Chapter 1 of the Fargo Municipal Code Relating to Ordinances Procedure be received and filed and placed on first reading at the next Regular Meeting of the Board.

Second by Preston. On call of the roll Commissioners Gehrig, Strand and Mahoney voted aye.
Commissioners Preston and Piepkorn voted nay.
The motion was declared carried.

Appreciation Bonuses for City Staff Approved:
Commissioner Strand said he proposed a bonus in recognition of the extraordinary hours of hard work, expertise and commitment to service by the City of Fargo staff. He said everyone has been through a very challenging time with the pandemic and discussions on where the City is with morale, job openings and turnover led to considering what types of things good employers may do. He said this evolved to discuss dedicating a portion of Coronavirus Aid Relief and Economic Security (CARES) funding to acknowledge the City workforce with a small token of appreciation. He said the City has some very skilled, dedicated workers who care about what they do. He said he proposes that each full-time employee of the City of Fargo, including contract and temporary full-time, receive a $1,000.00 bonus, each full-time regular employee (30-39 hours) received $750.00 and each part-time (20-29 hours) regular employee receive $500.00. The bonus would be paid entirely through CARES funding, he said, with the sum totaling $943,250.00. He said all active employees who are in a bonus eligible status on December 31 will receive the appreciation bonus on their regular December 31st payroll check and applicable tax withholdings will occur.

Mayor Mahoney said the City runs 24/7, 365 days a year. He said it is amazing what every department head and every employee has done and continue to do for the community. He said this is a thank you to staff; it is a trying time now with COVID-19.

In response to a question from Commissioner Gehrig asking where the funding comes from, Finance Director Kent Costin said that during the 2020 fiscal year, CARES funding was provided from the State in the amount of $15.9 million, which has been carried in a fund balance with about $5 million remaining from what was expended over the last two years. That money has an eligibility component pointing towards public safety costs, specifically the Police Department, he said, which was already in the budget and became unrestricted funds, which can be spent at the discretion of the Board. This action would use some of those funds to provide the proposed bonus, he said.

Commissioner Gehrig said this is one way to show appreciation; however, it is no small amount of money; nearly a million dollars outside the budget cycle. He would support something like a day off, which is more like $100,000.00, he said; however, he does not feel this is a prudent use of funds.

Commissioner Preston said it makes sense to use CARES funding, the staff is working hard to maintain current workloads as well as taking on additional accountabilities because of COVID-19. It is a one-time bonus and a perfect use of those funds, she said.

Mr. Costin said there have been two major shifts of federal money, the CARES Act and the American Rescue Plan (ARP). The ARP funds were specifically listed in the Mayor’s budget presentation, he said. This is not ARP funds, which have items of eligibility, he said, this is funding from CARES funds, about two cycles ago.

In response to a question from Commissioner Preston asking about the amounts and categories being proposed, Human Resources Director Jill Minette said the approach taken was to use the same categories that are in the official pay plan.

Commissioner Strand moved that an appreciation bonus from the CARES funds be implemented into the next payroll for City of Fargo staff, as presented.

Second by Piepkorn. On call of the roll Commissioners Strand, Piepkorn, Preston and Mahoney voted aye.
Commissioner Gehrig voted nay.
The motion was declared carried.

Applications for Property Tax Exemptions for Improvements Made to Buildings Approved:
Applications for Property Tax Exemptions for Improvements Made to Buildings:
a. Jonathan and Belinda Forknell, 3125 41st Avenue South (3 year).
b. Paul and Sarah Nelson, 2806 3rd Street North (5 year).
c. Kaaren Duren, 1019 10th Street North (5 year).
d. Jeffrey and Marion Kuehn, 1526 28½ Avenue South (5 year).
e. Daniel and Lisa Sandaker, 225 22nd Avenue North (5 year)
f. Diamondrock Development LLC, 520 11th Street South (5 year).
g. Daniel and Tracy Gratton, 102 31st Avenue North (5 year).
h. Stacia and Dean Ambuehl, 1617 3rd Street North (5 year).
i. Benjamin and Maren Jystad-Spar, 910 18th Avenue South (5 year).
j. Mary Vetter, 236 10th Avenue South, Unit 8 (5 year).
k. Tayler Klizke, 1521 7th Avenue South (5 year).
l. Eric and Jennifer Momsen, 1220 4th Street North (5 year).
Commissioner Piepkorn moved the applications be approved.

Second by Preston. On call of the roll Commissioners Piepkorn, Preston, Gehrig, Strand and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

Discussion on the Resident Comment Period:
Commissioner Strand said the Board is learning and evolving and his sense is that the Board values the input from the community; however, the question is how to do it best. There are moments, he said, such as in the discussions on the massage industry, when massage therapists who work in Fargo yet do not live in Fargo were precluded from commenting. He said there are other instances where people sign-up and do not show up, and then others could not comment due to the sign-up sheet being filled. He said an approach he heard of was to modify allotted time relative to the number signed up to speak, such as allowing each 2 minutes if 15 are signed up in the 30 minute slot or if there are 30 people, each gets a minute. Another suggestion would be to move resident comments to the end of the meeting, he said.

Commissioner Piepkorn said it is a business meeting and he feels the public comments could be limited to subjects being voted on. He said comments outside the agenda take away from what the Board is trying to accomplish.

Mayor Mahoney said he would ask the Commissioners to provide information about the topics they bring to the agenda to allow the public to better understand what will be discussed.

Commissioner Strand said he could, as liaison with the Communications Department, work through the topic with that team and come back with considerations reflecting the thoughts of the Commissioners.

In response to a question from Commissioner Piepkorn asking when comments are allowed and is it only during the Hearings, City Attorney Erik Johnson said Public Hearings have notices published in the newspaper to allow comments. By practice, he said, over the years, comments were allowed and the Chair would manage the volume and length of time if multiple people wanted to speak. In the last several years, there has been a movement away from that, he said; however, the rules could be amended to make it clearer that conversation could be taken from the floor on topics, as well as keeping the resident comment period.

Commissioner Preston said she remembers all too well from her previous time on the Board, that when comments are opened up, the discretion at the dais can result in decisions about which items are addressed and which are not. She said there would be the need for comments to be open on all items, not only the ones the Board would like to hear feedback on. As far as adjusting time for testimony, she said, residents come prepared to speak to a certain length of time and if changed in advance it could cause difficulty for the speaker.

The meeting was adjourned to 5:00 o’clock p.m., Monday, January 10, 2022.
The time at adjournment was 6:56 o’clock p.m.