Board of City Commissioners - October 31, 2022

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, October 31, 2022.
The Commissioners present or absent were as shown following:
Present: Kolpack, Piepkorn, Preston, Strand, Mahoney.
Absent: None.
Mayor Mahoney presiding.

Mayor Mahoney read a message with the following information: Fargo Cass Public Health offers COVID-19 boosters and flu shots at a variety of locations; ND Job Service staff will offer walk-in services at the Carlson Library on November 1st; the final One Book, One Community event offers a nature printing class on November 12th; the new Downtown PD Substation opened today on the 1st floor of the Mercantile Building and will increase the Police Department’s presence in the Downtown. Bismarck Water Plant Superintendent Jim Kershaw appeared virtually commending Fargo and Utility Director Troy Hall for receiving the recent award for the best tasting tap water in North Dakota. The City of Fargo and Fredrick Edwards Jr. received the Urban Vibrant Community Award for the Juneteenth event at the 2022 Governor’s Main Street Summit held last week in Bismarck and Commissioner Kolpack and Mayor Mahoney presented the Award to Mr. Edwards. A video looking at recruit training highlights of the Joint Fire Academy hosted by the Fargo and West Fargo Fire Departments was presented.

Order of Agenda Approved:
Commissioner Kolpack moved the Order of the Agenda be approved.
Second by Piepkorn. All the Commissioners voted aye and the motion was declared carried.

Minutes Approved:
Commissioner Strand moved that the Minutes of the Regular Meeting of the Board held on October 17, 2022 be approved as read.
Second by Kolpack. All the Commissioners voted aye and the motion was declared carried.

Consent Agenda Approved:
Commissioner Preston moved the Consent agenda be approved as follows:

1. 2nd reading and final adoption of an Ordinance Amending Section 21-0102 of Chapter 21 of the Fargo Municipal Code Relating to the International Building Code (Child Care Facility Bathtub/Shower Requirements); 1st reading, 10/17/22.

2. Findings of Fact, Conclusions and Order for property located at 714 12th Street North.

3. Request for Qualifications for Professional Consultant Services for Government Relations and Legislative Advocacy (RFP18327).

4. Extension of the Class “FA-Golf” Alcoholic Beverage License for Livin’ the Dream LLC d/b/a Legends Sports Bar and Grill at Rose Creek until April 2023.

5. Direct the City Attorney to prepare amendments to Fargo Municipal Code Article 25-15 - Alcoholic Beverages, as it relates to server training.

6. Applications for Games of Chance:
a. Shiloh Masonic Lodge No. 1 for a raffle on 5/6/23.
b. The Village Family Service Center for a raffle on 11/11/22.
c. Knights of Columbus for a raffle on 2/12/23.
d. Alpha Tau Omega for a raffle on 11/9/22.
e. Sts. Anne and Joachim Catholic Church for bingo on 11/13/22.
f. Fargo Angels Hockey Club for a raffle and raffle board on 12/3/22.

7. Change Order No. 1 in the amount of $25,185.90 for the multimedia studio space (PBC22-PS20135).

8. Permanent Easement (Utility-Access) with Minnkota Power Cooperative, Inc. (Project No. FP-19-A1).

9. Change Order No. 6 in the amount of $5,918.97 and time extension to 11/30/22 for Project No. FM-19-A3.

10. Change Order No. 1 for a 14-day time extension to 10/29/22 for Project No. HD-22-A1.

11. Change Order No. 1 for a 14-day time extension to 10/31/22 for Project
No. SR-22-C1.

12. Change Order No. 3 in the amount of $15,400.00 for Project No. UR-22-B1.

13. Right of Way Use Agreement with Great Plains Block 3 Holdings, LLC.

14. Agreement with R.L. Engebretson Architects Fargo LLC for improvements at Newman Outdoor Field (RFQ18084).

15. Bid award to Eide Bailly for Independent Audit Services (RFP22145).

16. Sole Source Procurement with Great Plains Fire Equipment for the purchase of Genesis 15C Eforce Combi tool (SSP22164).

17. Notice of Grant Award from the ND Department of Emergency
Services – Division of Homeland Security for the FY 2022-2023 Hazardous Materials Emergency Preparedness Training Grant (CFDA #20.703).

18. Notice of Grant Award from the ND Department of Emergency
Services – Division of Homeland Security for FY 2022 State Homeland Security Grant Program (CFDA #97.067).

19. Agreement for Services with Amanda Booher.

20. Grant Agreement with the ND Department of Health and Human Services, Office of Refugee Support Services for care coordination for tuberculosis treatment, education and outreach.

21. Change Order No. 1 in the amount of $19,580.00 for Project No. SW 22-05.

22. Bid award to CC Steel, LLC in the amount of $4,560,000.00 for Project No. WA2152.

23. Change Order No. 2 in the amount of -$702.84 for Project No. WA2012.

24. Ground Lease with Cass Rural Water Users District.

25. Bills in the amount of $13,085,555.52.

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

Change Order No. 1 for a Time Extension for Improvement District No. BN-22-F1 Approved:
Commissioner Preston moved Change Order No. 1 for a time extension to October 20, 2022 for Milestone No. 1 due to concrete shortages be approved.
Second by Kolpack. On call of the roll Commissioners Preston, Kolpack, Piepkorn, Strand and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

Negative Final Balancing Change Order No. 1 for Improvement District No. BR-21-E1 Approved:
Commissioner Preston moved Negative Final Balancing Change Order No. 1 in the amount of -$21,056.38 for Improvement District No. BR-21-E1 be approved.
Second by Kolpack. On call of the roll Commissioners Preston, Kolpack, Piekpkorn, Strand and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

Change Order No. 3 for Improvement District No. PN-22-A1 Approved:
Commissioner Preston moved Change Order No. 3 for an increase of $11,039.07 for Improvement District No. PN-22-A1 be approved.
Second by Kolpack. On call of the roll Commissioners Preston, Kolpack, Piepkorn, Strand and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

Change Order No. 2 for Improvement District No. PR-22-G1 Approved:
Commissioner Preston moved Change Order No. 2 for an increase of $8,536.50 for Improvement District No. PR-22-G1 be approved.
Second by Kolpack. On call of the roll Commissioners Preston, Kolpack, Piepkorn, Strand and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

No Protests Received for Paving and Utility Rehab/Reconstruction Improvement District No. BR-23-B1:
The Statutory Resolution of Necessity for the construction of Paving and Utility Rehab/Reconstruction Improvement District No. BR-23-B1 in the City of Fargo, North Dakota, was duly published in the official newspaper for the City of Fargo, North Dakota on September 28 and October 5, 2022 and no protests have been filed in the office of the City Auditor within the legal protest period.
Commissioner Preston moved that the Board declare that no protests have been filed to the construction of Paving and Utility Rehab/Reconstruction Improvement District No. BR-23-B1.

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

Bids Received for Paving and Utility Rehab/Reconstruction Improvement District No. BR-23-B1:
The bids for Paving and Utility Rehab/Reconstruction Improvement District No. BR-23-B1 in the City of Fargo, North Dakota were opened at 11:45 o'clock a.m., October 26, 2022 and the bids were found to be as follows:

Master Construction Company, Inc. Fargo, ND
Bid: $2,641,759.60

Key Contracting Inc. West Fargo, ND
Bid: $2,849,074.60

Dakota Underground Company, Inc. Fargo, ND
Bid: $3,594,632.03

Contract for Paving and Utility Rehab/Reconstruction Improvement District No. BR-23-B1 Awarded to Master Construction Company, Inc. in the Amount of $2,641,759.60:
Commissioner Preston offered the following Resolution and moved its adoption:
WHEREAS, The City Engineer has prepared and filed a detailed statement of the estimated costs of Paving and Utility Rehab/Reconstruction Improvement District No. BR-23-B1; and
WHEREAS, The Board of City Commissioners of the City of Fargo has considered the bids received October 26, 2022 for Paving and Utility Rehab/Reconstruction Improvement District No. BR-23-B1 in the City of Fargo, North Dakota; and
WHEREAS, The City Engineer's tabulation of the bids received for Paving and Utility Rehab/Reconstruction Improvement District No. BR-23-B1 shows the bid of Master Construction Company, Inc. of Fargo, North Dakota, in the sum of $2,641,759.60 to be the lowest and best bid received.
NOW, THEREFORE, BE IT RESOLVED, That the Board of City Commissioners finds and declares the bid received from Master Construction Company, Inc. in the sum of $2,641,759.60 is the lowest and best bid received.
BE IT FURTHER RESOLVED, That the contract for Paving and Utility Rehab/Reconstruction Improvement District No. BR-23-B1 in the City of Fargo, North Dakota, be and the same is hereby awarded to Master Construction Company, Inc. for the sum of $2,641,759.60, subject to the supervision, inspection and approval of the City Engineer, and in accordance with the Plans and Specifications filed in the office of the City Auditor.

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

Paving and Utility Rehab/Reconstruction Improvement District No. BR-23-C (Various Locations in North Fargo):
Commissioner Preston moved the following action be taken in connection with Paving and Utility Rehab/Reconstruction Improvement District No. BR-23-C:

Adopt Resolution Creating Improvement District No. BR-23-C:
WHEREAS, The Board of City Commissioners of the City of Fargo, North Dakota, deems it expedient that Improvement District No. BR-23-C in the City of Fargo, North Dakota, be created

On 6th Avenue North from 10th Street North to Robert's Street North.
On 7th Street North from the BNSF Rail Road Tracks to 7th Avenue North.
On 8th Street North from 6th Avenue North to 7th Avenue North.

COMPRISING:
Lots A through K, inclusive, Block C.
Block D.
All in Chapin, Johnson, Barrett's Addition.

Lots 1 through 12, inclusive, Block 12.
Lots 1, 2, the south 39 feet and the north 11 feet of the east 90 feet of 3, and 4, inclusive, Block 13.
Lots 1 through 5, inclusive, Block 14.
Lots 1 through 6, inclusive, Block 15.
The south 2/3 less the west 7-1/2 feet of Lot 1, the south 93-1/3 feet of Lot 2, the south 1/2 of the west 1/2 and the east 1/2 of Lot 3, the south 1/2 of Lot 4, 5 and 6, inclusive, Block 17.
Lots 1 through 9, inclusive, Block 18.
All in Robert's Second Addition.

Lots A and D through F, inclusive.
All in Duncan's Subdivision.

All of the unplatted, vacated and railroad land that is bounded on the north by 7th Avenue North, bounded on the west by 10th Street North, bounded on the south by the BNSF Rail Road Tracks and bounded by the east by Robert's Street North.

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

NOW, THEREFORE, BE IT RESOLVED, That Paving and Utility Rehab/Reconstruction Improvement District No. BR-23-C 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-23-C:
Direct City Engineer to report as to the general nature, purpose and feasibility relative to the construction of Improvement District No. BR-23-C 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 $3,273,148.25.)

Order Plans and Specifications for Improvement District No. BR-23-C:
Direct City Engineer to prepare Plans and Specifications for the construction of Improvement District No. BR-23-C in the City of Fargo, North Dakota.

Adopt Resolution Approving Plans and Specifications and Engineer's Report for Improvement District No. BR-23-C:
WHEREAS, The Board of City Commissioners of the City of Fargo, North Dakota, has created Improvement District No. BR-23-C 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-23-C in the City of Fargo, North Dakota, be and the same are hereby approved and ordered filed in the Office of the City Auditor.

Direct City Auditor's Office to Call for Bids for Improvement District No. BR-23-C:
Direct City Auditor's Office to publish a Notice, as required by law, calling for bids for the construction of Improvement District No. BR-23-C in the City of Fargo, North Dakota.
Second by Kolpack. On call of the roll Commissioners Preston, Kolpack, Piepkorn, Strand and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

Resident Comments:
David Marmer spoke to advocate for the street performance scene; Patrick Kelley spoke about Noise Ordinance inequities and civil liberties; and Christopher Coen spoke about the video analysis of the July 8th officer involved shooting.

Parcels of Land in Chas A. Roberts Addition Rezoned (700 and 701 7th Street South; 555 and 653 8th Avenue South; 800 6th Street South):
At a Hearing held on October 4, 2022 the Fargo Planning Commission recommended approval of a change in zoning from SR-2, Single-Dwelling Residential, LC, Limited Commercial with a C-O, Conditional Overlay and P/I Public and Institutional to P/I, Public and Institutional and to repeal the existing C-O, Conditional Overlay.
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 area affected by the zoning change affects several properties, including Fargo Public Schools and the Fargo Park District and the goal is to zone all five properties to the appropriate zone, P/I, Public and Institutional. By unifying the rezoning, he said, the provisions of the existing C-O, Conditional Overlay, are no longer necessary.

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 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.

First Reading of an Ordinance Rezoning Certain Parcels of Land Lying in Chas A. Roberts Addition to the City of Fargo, Cass County, North Dakota:
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 Chas A. Roberts Addition to the City of Fargo, Cass County, North Dakota be placed on first reading.

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

Public Hearing on Proposed Amendment to the 2022 HUD Action Plan:
A Hearing had been set for this day and hour to consider an Amendment to the 2022 HUD Action Plan.
Community Development Coordinator Tia Braseth said the Action Plan is in the comment period and no public comments have been received to date. She said the proposed amendment to the 2022 HUD Action Plan is for an additional $500,000.00 in CDBG funds to be reallocated from the previously canceled activity, the 2021 Action Plan multi-family rental housing project at the former K-Mart site, for a total budget of $823,125.75. She said this activity addresses the 5-year Plan goal of Affordable Housing for low-to-moderate income family households. The funds will allow for acquisition of property for a project identified in the Madison/Unicorn Park Neighborhood, 3129 7th Avenue North and 802 32nd Street North. There are currently no development plans for the property, she said, other than future
income-limited housing, which will involve neighborhood input and an RFP of its development. An RFP can be expected in the next year or two, she said, and at the time the City will seek an experienced affordable housing developer. Housing will be limited to households earning 80% or less of the area median income, she said.

Christopher Coen said it would be good to know how many units there would be and whether other properties were considered. He said he has lived in a low-income complex and learned it is not a good idea to concentrate low-income people all in the same place, it is best to intersperse them throughout the City. He said he is appreciative of this project because more low-income housing projects are needed.

Ms. Braseth said prior to drafting the RFP, the number of units will be sought, as well as what the neighborhood is looking for. As far as looking at other sites, this funding was proposed for the K-Mart site and since that fell through, this site is the backup option, she said. A piece of land this size is not easy to find in Fargo, she stated.

Planning Director Nicole Crutchfield said they see this is a great opportunity; however, it will take a year or two to get all the pieces put together. There is a timeline in which to use the funds, she said, and having done work on the property previously this is a good option.

Wess Philome said while it may be beyond the scope of this project, access to programs and opportunities for the people who live in such housing is important. He said people do not just need housing, they need opportunities to grow and be contributing members of the community.
Mayor Mahoney closed the public hearing.
In response to a question from Commissioner Preston on the budget, Ms. Crutchfield said the $823,125.75 is for the purchase of the property.

Hearing on a Dangerous Building Located at 509 21st Street North: City Attorney's Office Directed to Prepare the Appropriate Findings of Fact and Order:
A Hearing had been set for October 17, 2022 on a dangerous building located at 509 21st Street North.
At the October 17, 2022 Regular Meeting, the Hearing was continued to this date and hour.

Inspections Director Shawn Ouradnik said the 870 square foot single-story wood framed structure with a two-stall detached garage was built in 1940 and Carrington Mortgage Services, LLC lists the owner as Sylvia Borud. He said taxes are current; however, Ms. Borud has passed away. He shared a list of the damages and said the property meets 5 of the 10 criteria for a dangerous building and the City Assessor determined the cost to cure does not exceed 50%. There is evidence of people entering the house, water damage, electrical issues and broken windows, he said. The mortgage holder is not going to put any money into the property, he said, and seeing it as a future problem the Inspections Department would like to take care of it.

In response to a question from Commissioner Strand asking about recurring instances of deteriorated homes and squatters and how is security assured, Mr. Ouradnik said buildings are secured through contractors up to six feet high and Inspectors watch them closely, resecuring things, if necessary. If people are found in a dangerous building there is typically a trespassing charge and PD is asked to remove them if needed, he said. He said there is one building now that has been secured; yet people are coming and going; however, it is unique due to a combative owner and it is being handled differently to avoid as much violence as possible.

Commissioner Piepkorn moved the City Attorney’s Office be directed to prepare and serve the owner with the appropriate Findings of Fact and Order and the Inspections Department be authorized to solicit proposals for the removal of this structure at 509 21st Street North if it is not removed within the time allowed by the Board’s Order.

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

Hearing on a Dangerous Building Located at 812 7th Street North: City Attorney's Office Directed to Prepare the Appropriate Findings of Fact and Order:
A Hearing had been set for this day and hour on a dangerous building located at 812 7th Street North.
Inspections Director Shawn Ouradnik said there have been multiple attempts to contact the homeowner about existing violations without return contact. He said taxes have not been paid since 2018, no water use since October 2020, squatter activity, exterior items of the home are missing, exterior doors unsecured, interior water damage, urine smells, weather damage and signs of rotting, missing siding is allowing harborage and infestation, decay in window casings, front porch is rotting, roofline is leaning and sides are pulling away from the structure, damaged garage door allowing harborage and infestation and the lot is overgrown. He said the owner, Brigitte Von Budde, is in a nursing home and that hindered the process of contacting the owner directly. The City Assessor has determined the cost to cure exceeds 50 percent of the building’s value, he said, and the removal deadline would be December 30, 2022.

Commissioner Piepkorn moved the City Attorney’s Office be directed to prepare and serve the owner with the appropriate Findings of Fact and Order and the Inspections Department be authorized to solicit proposals for the removal of this structure at 812 7th Street North if it is not removed within the time allowed by the Board’s Order.

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

Development Agreement with Great Plains NP Holdings, LLC to Build and Operate a Parking Garage at 602-636 Northern Pacific Avenue Continued to November 14, 2022:
A Hearing had been set for this day and hour to consider a Development Agreement with Great Plains NP Holdings, LLC to Build and Operate a Parking Garage at 602-636 Northern Pacific.

Director of Strategic Planning and Research Jim Gilmour said in February 2022 the City Commission authorized work on a Redevelopment Plan for the parking lots on NP Avenue between Broadway and 8th Street. A Development Agreement has been prepared, he said, and if approved, work on the Renewal Plan and financing plan will proceed. The ND Century Code authorizes Public Private Partnerships with private operators, he said, stating, in part, "a public authority may solicit or accept proposals from private operators for the constructing, improving, rehabilitating, operating, managing and owning of a fee-based facility that will be situated in an area subject to the public authority’s jurisdiction.” There will be four components to this development, he stated, including Fargo Moorhead Community Theater’s 420 seat theater, classrooms and offices; a City of Fargo parking garage with 450 to 490 parking spaces; about 145 market rate apartments and redevelopment of the Herbst Building on Broadway. He said terms of the agreement include: Fargo will provide up to $450,000.00 for design and other soft costs; pay the actual cost of the parking garage not to exceed $20 million; Fargo and the developer will combine two sites and alley access into a single site with no payment to either party; Fargo and the developer will review and approve a design by May 1, 2023; Fargo may opt out of the Agreement if the cost of the parking garage exceeds $20 million; the City is unable to sell $16 million in bonds at 7% interest or less or if Fargo Moorhead Community Theatre (FMCT) decides not to be a part of the project; Fargo will reconstruct NP Avenue and 8th Street prior to the end of 2025; FMCT will purchase space in the development of 25,000 to 30,000 square feet for a theater, classrooms and office space; Global Development will have access to 50 undesignated parking spaces in the parking garage at no cost and 15 surface parking spaces south of the garage; Global Development incentives will be limited to a 5-year Renaissance Zone program, contingent on qualifying for that program; parking will be free and open to the public after 5:00 p.m. weekdays and on weekends; apartment/commercial developer incentives will be limited to the 5-year Renaissance Zone program and up to 5 years of a TIF note, contingent on qualifying for those programs; each apartment will have the option to rent one parking space in the parking garage at the market rate determined by the City of Fargo and the development will conform to all City regulations, including zoning, engineering and building codes. He said the financing plan includes $4 million of parking funds, a $16 million bond to be paid with parking income from new parking garage, parking income from existing parking facilities (Civic Ramp, GTC Garage, 4th Street Lot and 3rd Street Lot), parking income from an addition to Civic Ramp funded by the Riverfront TIF; parking fines of $200,000.00 a year; shift of Planning Department staff costs from Parking Fund to General Fund; a new Tax Increment Financing District to include development in the project area and sites in the project vicinity that could benefit from the parking in the future; General Fund shortfall, primarily in 2024 and 2025. The next steps if the Agreement is approved is to submit a subdivision application to plat the City parking lot and the adjacent parcel owned by Global Development, hire a parking garage consultant as the City representative to review plans for the parking garage and shared spaces, Renewal Plan and TIF District approval, Renaissance Zone application from Global Development, Renaissance Zone and TIF application from Kilbourne Group, Baker Tilly to prepare for bond sale and the addition to the Civic Parking Ramp with Riverfront TIF funds. He shared project renderings and said Global Development is looking at some options for the Herbst Building, such as an activity center or hotel. He outlined the terms of the agreement, the financing plan, proposed new TIF district and next steps.

Commissioner Piepkorn said this is an excellent collaboration and having FMCT Downtown would be a great thing. He said he feels the Commissioners all support the project; however, a concern is to get a finer point on the financing. He said there are potential sources; however, he feels there is a need to have those completed before nailing down the project. There is not enough clarity with the financial obligation, he stated.

Mr. Gilmour said there are multiple ways to pay it off; however, if it waits too long he fears FMCT may move on to some other location.

Commissioner Preston said she has the same concerns and she wonders what the hit on the general fund budget would be and how that would be accommodated in the budget. She said is seems the parking fund would be drained and parking revenue would go into making debt payments for this rather than going back into the parking fund. She said she would like more clarity, and it seems projections are on some projects that may or may not happen.

Mr. Gilmour said Baker Tilly’s estimate is that it is $3.5 million, if there is no increase in property, in addition to the $281,000.00 per year. Perhaps in 10 years it will be found the $281,000.00 per year is no longer needed, he said, it will depend on parking revenue and how fast the other property values increase.

Randy Thorson, Global Development, said they have been working on that location for a long time. Many development ideas were looked at, he said, and they keep coming back to a hotel with a main floor special event center; however, they also need the parking. When FMCT came into it, he said, it really helped to move ahead with a boutique hotel and while there are other ideas, they are waiting to hear what the City will do with parking.

Mayor Mahoney said perhaps Mr. Gilmour could provide more options on the financing of the project. He said free parking is always talked about; however, does it have to be free all the time, it could be charged for overnight or events.

Commissioner Preston said more refined financing could follow; however, if not, the City is locked into this Development Agreement.

In response to Commissioner Strand asking about the City backing out due to financing or design, Assistant City Attorney Erik Johnson said the agreement has a window of opportunity for the City to respond; however, it would not be appropriate to use approval of the plans to turn down the project for some other reason. He said if the thought is for another threshold, financially or otherwise, it should be clear in the agreement. State law has provisions where public governing entities are soliciting contracts, he said, and there are public building requirements for bidding. The public private partnership statute allows a government entity to enter into negotiations and a development agreement such as being discussed, he stated.

Commissioner Piepkorn moved the Development Agreement with Great Plains NP Holdings, LLC to Build and Operate a Parking Garage at 602-636 Northern Pacific Avenue be continued to 5:15 p.m. on Monday, November 14, 2022.

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

City’s Priority Projects to Apply for Federal Highway Administration Funds Approved:
The Board received a communication from the Public Works Projects Evaluation Committee stating the FM Metropolitan Council of Governments (Metro COG) is soliciting project applications for the Transportation Alternatives Program (TAP) from the Federal Highway Administration for projects in 2024 and 2025. They said Metro COG has an estimated $825,000.00 in Federal funds in 2024 and an estimated $844,000.00 in 2025. All projects need at least a 20 percent local match, they said. The current programmed TAP projects in Fargo for 2023 are as follows, he said :

Bison Village Area:
10th Street alignment from 32nd to 37th Avenue North, $329,000.00 ($266,000.00 Federal/$85,000.00 Park District/balance City).

Red River Trail South:
Hackberry Drive area, Harwood Drive to 35th Avenue South, $200,000.00 ($144,756.00 Federal/$55,244.00 local).

Transportation Division Engineer Jeremy Gorden said the projects Metro COG, Engineering, Planning and Park District staff will apply for in 2024/2025 are as follows:

2024:
Priority No. 1 – Oakcreek/Timberline Drain 27 Crossing. This project will connect the Milwaukee Trail/25th Street system to the Timberline/Drain 53 Path System. Cost is $875,045.00 ($700,036.00 Federal/$175,009.00 Local).

Priority No. 2 – Red Trail South from Hackberry area south to 40th Avenue South. This project is phase 1 of a three-phase plan to connect 32nd Avenue to 40th Avenue South with an alignment along the river. Cost is $739,941.00 ($591,952.00 Federal/$147,988.00 Local).

2025:
Priority No. 3 – Red River Trail - VA area – VA south property line to Park Lane North (Woodcrest Addition). Cost $840,508.00 ($672,406.00 Federal/$168,102.00 Local).

Priority No. 4 – Drain 27 from 52nd Avenue South to Veterans Boulevard, then west to 63rd Street (in Deer Creek subdivision). Cost is $1,023,166.00 ($818,533.00 Federal/$204,633.00 Local).

Future TAP Project List:
Red River Trail North – 15th Avenue North to south VA property line.
Along east side of Drain 53 – 64th Avenue South to 73rd Avenue South.
Red River Trail South – Remaining portion between 32nd Avenue South to Hackberry Drive.

Future Potential Carbon Reduction Grant Projects:
47th Avenue South Bridge over I-29 to connect Milwaukee Trail/Drain 53 paths to Microsoft paths.
28th Avenue South Bridge over I-29 to connect Bluemont Lakes area to Anderson Park area.

Commissioner Kolpack moved the City of Fargo priorities for projects to apply for Federal Highway Administration funds be approved as presented and to submit to FM Metro COG for funding consideration in the Transportation Alternatives Program in the years 2024 and 2025.

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

Agreement for Sale of Property at 234 Main Avenue Approved:
Director of Strategic Planning and Research Jim Gilmour said the City Commission voted to select EPIC Companies to purchase and redevelop a site on the southwest corner of Main Avenue and 2nd Street South. City staff was directed to plat the property to be sold, he said, and draft an Agreement consistent with the offer from the Developer. The plat process was completed this summer, he stated, and a Purchase Agreement is now ready for the Commission’s approval. He said the terms of the Purchase Agreement include the purchase price of $1,188,000.00 and the Diversion Agreement requires this be transferred to the Diversion Authority, less administrative costs. The Developer will construct a 7-story building with parking and commercial facilities on the below grade level and on levels 1 through 3. He said residential units for rent will be on levels 4 and 5 and residential units for sale will be on levels 6 and 7. The development will include an outdoor plaza area that will be open to the public with some exceptions, he stated. The sale will be completed prior to November 30, 2022, he said, with construction to start prior to December 31, 2023 and completed prior to December 31, 2025. He said the Developer is seeking approval of Renaissance Zone benefits, which likely will be on the next agenda.

Commissioner Preston moved the sale of City-owned property at 234 Main Avenue, in the amount of $1,188,000.00 with Epic Unite Real Estate Holdings, LLC be approved.

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

Applications for Property Tax Exemptions for Improvements Made to Buildings Approved:
a. Steven and Debbie Dahl-Amundson, 1637 10th Street North (5 year).
b. Melissa and Jeffrey Bozovsky, 317 25th Avenue North (5 year).
c. Linda and William Dibrito, 1143 Oak Street North (5 year).
d. Scott Johnson and Suzanne Theil-Johnson, 3502 Longfellow Road North (5 year).
e. Barbara Lindberg, 1359 2nd Street North (5 year).
f. Magnifica Properties, LLC, 21 32nd Avenue South (5 year).
g. Nathan and Kimberly Rorvig, 1906 9th Street North (5 year).
h. Joseph and Ranelle Turman, 205 Prairiewood Drive South (5 year).
i. Gregory and Rebecca Walen, 108 North Woodcrest Drive North (5 year).
j. Jeffrey and Mary Jean Dehne, 3425 1st Street North (5 year).
k. Joan Fiechtner, 2418 27th Avenue South (5 year).
l. Al Dybing and Julie Anderson, 1246 5th Street North (5 year).
m. Robin Brophy and Jackie Kiels-Brophy, 2844 Westgate Drive South (5 year).
Commissioner Piepkorn moved the applications be approved.

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

Liaison Commissioner Assignment Updates:
Commissioners gave reports on the Boards and Committees on which they serve.

Commissioner Kolpack moved that the Board adjourn to 5:00 o’clock p.m., Monday, November 14, 2022.

Second by Piepkorn. All the Commissioners voted aye and the motion was declared carried.
The time at adjournment was 6:38 o’clock p.m.