Fargo City Commission - July 10, 2023 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 o'clock p.m., July 10, 2023.
The Commissioners present or absent were as shown following:
Present: Kolpack, Piepkorn, Preston, Strand, Mahoney.
Absent: None.
Mayor Mahoney presiding.

The Mayor read a message with the following information: Summer activities at the Library include Beginner Yoga Sessions, the Downtown Fargo History Hunt and the Annual Summer Reading Challenge; a moment of silence was held in honor of Fargo Marathon Director Mark Knutson, who died in a bicycle crash in Detroit Lakes; and a video of the June 20th groundbreaking ceremony for the new Fire Station No. 8 was viewed.

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 Kolpack moved that the Minutes of the Regular Meeting of the Board held on June 26, 2023 and the Special Meeting of the Board held on June 28, 2023 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. 2nd reading and final adoption of an Ordinance Amending Section 19-0203 and Enacting Sections 19-0206.1 and 19-0208 of Article 19-02, Amending Section 19-0302 and Enacting Sections 19-0305, 19-0306 and 19-0307 of Article 19-03 of Chapter 19 of the Fargo Municipal Code Relating to the Department of Forestry - Trees, Parks and Boulevards; 1st reading, 6/26/23.
2. 1st reading of the following Ordinances Enacting Article 25-38 of Chapter 25 of the Fargo Municipal Code Relating to Commercial Pedal Car Vehicles; Amending Section 8-0311 of Article 8-03 of Chapter 8 of the Fargo Municipal Code Relating to Regulations Governing Operators.
3. Applications for Games of Chance:
a. EagleRidge Legacy Fund, Inc. for a raffle on 7/27/23; Public Spirited Resolution.
b. Fargo Gateway Lions for a raffle and sports pool on 7/11/23.
c. ND Chapter of Backcountry Hunters & Anglers for a raffle on 9/21/23; Public Spirited Resolution.
d. Matthew’s Voice Project for a raffle from 7/14/23 to 7/30/23; Public Spirited Resolution.
e. North Dakota Beekeepers Association for a raffle on 7/14/23.
f. Warm Blanket Hugs for a raffle on 8/11/23.
g. Knights of Columbus 4th Degree Assembly 788 for a calendar raffle 1/1/24-1/31/24.
h. Fargo 12U White Baseball Team for a raffle on 7/25/23.

4. Site Authorizations for Games of Chance:
a. Plains Art Museum at Blue Wolf Casino (West Acres Bowl/Cactus Jacks) (amended).
b. West Fargo Events Inc. at Holiday Inn (Spirits Lounge).

5. Amendment to the Limited Franchise Agreement with Cass County Electric Cooperative, Inc.
6. Extension of a Class “A-3” Alcoholic Beverage License for 518 Properties LLC d/b/a Summit Nightclub until 2/28/24.
7. Addition of Project No. HD-23-B1 to the 2023 Capital Improvement Plan.
8. Final Balancing Change Order No. 1 in the amount of $3,740.54 for Project No. UR-22-C1.
9. Negative Final Balancing Change Order No. 2 in the amount of -$2,550.00 for Project No. TP-21-B1.
10. Waiver of annual fees for Right of Way Occupancy for Red River Valley Electric Cooperative Power Association (Project No. FM-21-A1).
11. Cost share with Lumen Communications for modifications to an existing concrete utility vault (Improvement District No. BR-23-F1).
12. Service Agreement with Minnkota Power Cooperative, Inc. for utility relocation and forthcoming Easement Agreement (Improvement District No. BN-23-A2).
13. Encroachment Agreement with TYKE Properties, LLC located at 2600 3rd Avenue North.
14. Modification of full incentive language for Phase 2 construction to extend to 48 calendar days (Improvement District No. BR-22-A2).
15. Bid award in the amount of $874,351.50 to Fargo Electric Construction, Inc. for Project No. TR-23-A1.
16. Bid award in the amount of $22,220.00 to American Engineering Testing for a special inspection contract for the construction of Fire Station No. 8.
17. Opioid Abatement Fund budget adjustment.
18. Subrecipient Agreement Amendment between Fargo Cass Public Health (Grantor) and Family Healthcare (Subrecipient).
19. School Nursing Budget Proposal Amendment from 7/1/23 to 6/30/24 between Fargo Public School District and Fargo Cass Public Health.
20. Notice of Grant Award from ND Department of Health and Human Services for Tobacco Prevention and Control.
21. Notice of Grant Award from ND Department of Health and Human Services for Women’s Way (CFDA #s 93.898 and 93.391).
22. Notice of Grant Award Amendment from the ND Department of Health and Human Services for PHEP City Readiness Initiative (CFDA #93.069).
23. Agreement for Services with Families United for Self-Empowerment.
24. Bid award to Amy’s Windows in the amount of $122,550.00 for replacement of the shades at the Main Library (RFP23090).
25. Letter of Support for Four Sisters, LLC project to the ND Opportunity Fund.
26. Sole Source Procurement with FASTER Asset Solutions in the amount of $87,808.00 for software upgrades and General Agreement (SSP23114).
27. Contract and bond for Project No. WA2055.
28. Contract and bond for Project No. WA2255.
29. Contract and bond for Project No. WA2254.
30. Contract and bond for Improvement District No. UN-23-A1.
31. Contract and bond for Improvement District No. PN-23-E1.
32. Contract and bond for Improvement District No. PR-23-G1.
33. Contract and bond for Improvement District No. UR-23-A1.
34. Bills in the amount of $12,605,958.96.

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

Resident Comments:
Edward Krystosek said the lawsuit that came from the June 28, 2023 Special Meeting of the Board of City Commissioners reacting to HB 1340 will not solve a problem. As a Federal Firearm License holder he has two addresses, he said, one is a premise location, which according to the City has to be in a commercially zoned location, and the second is a mailing address. He said the only thing he has to do at the premise location is have the customer fill out the form, do an FBI background check and collect the fee. He said the lawsuit is not a good use of taxpayer dollars.

Change Order for Additional Services for Implementation and Project Management of a New Enterprise Resource Planning (ERP) Accounting System Approved:
The Board received a communication from CIO Ron Gronneberg, HR Director Jill Minette and Interim Finance Director Susan Thompson stating the City issued an RFP in 2021 to hire a consultant to facilitate an ERP RFP process to replace the present accounting system and in 2022 BerryDunn was awarded the consulting contract. A review committee selected three vendors for demonstrations, they said, and selected Tyler Technologies for the ERP replacement and UKG to migrate the current Time and Attendance application to Dimensions. Implementation of the two systems is projected to take 24 to 36 months, they stated, and timing of the costs will depend on the implementation process.

Mr. Gronneberg gave an explanation of the historical background and outlined some of the issues and challenges with the older software systems.

Ms. Thompson said this change will touch every department and comes at a cost of $4 million. There is a one-time set up conversion cost and they propose to fund $1.25 million through ARP funds and $2.75 million debt funded, she said, and the annual fees of approximately $500,000.00 will be funded through the budgeting process. She said the hope is to go live on or before January 1, 2026.

Commissioner Kolpack moved the change order for additional services for implementation and project management of a New Enterprise Resource Planning accounting system be approved, appropriate staff be directed to move forward with finalizing contracts with Tyler Technologies and UKG and to authorize the funding expenditures.
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.

Hearing on a Dangerous Building Located at 421 15th Avenue North: City Attorney's Office Directed to Prepare the Appropriate Findings of Fact and Order:
A Hearing had been set for June 26, 2023 on a dangerous building located at 421 15th Avenue North
At the June 26, 2023 Regular Meeting, the Hearing was continued to this day and hour.

The Board received a communication from Inspections Director Shawn Ouradnik submitting a Notice of Dangerous Building Order. He said the property owner has failed to comply with the order to either obtain a permit to repair or remove the heavily damaged structure at 421 15th Avenue North within the time allowed for that removal. He said his recommendation is to designate this a dangerous building, direct the City Attorney to prepare findings of fact in this matter and order its removal on September 8, 2023 and to direct appropriate staff to secure the removal of the building should the owner fail to do so.

Dawn Novotny Hanley, 421 15th Avenue North, said her garage had a fire in 2019 and her fiancé took on the reconstruction and she said she would like more time as she does not have the financial or social resources.

Mr. Ouradnik said they are three quarters of the way to having it demolished now and the request is to have the garage demo complete by September 8th. The intention is to have a date in place in case something would change, he stated, there are concerns that it could collapse and damage the house. An ongoing junk accumulation issue not related to the building is being handled separately, he said.

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 if it is not removed within the time allowed by the Board’s Order of September 8, 2023.

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

Hearing on a Zoning Change and Plat for Southwest Fargo Mission Second Addition Continued to July 24, 2023 (4451, 4455, 4475 40th Avenue South):
A Hearing had been set for this day and hour on a zoning change and plat for Southwest Fargo Mission Second Addition; however, staff is requesting the Hearing be continued to July 24, 2023.

Commissioner Preston moved the Hearing be continued to 5:15 o’clock p.m. on Monday, July 24, 2023.

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.

Annexation of 80.40 acres, more or less located in a Part of the Southwest Quarter of Section 28; of the Southeast Quarter of Section 29; and the Northeast Quarter of Section 32, Township 140 North, Range 49 West of the Fifth Principal Meridian, Cass County, North Dakota (1744, 2220 and 2101 57th Street North; 5617 and 5385 19th Avenue North): No Protests Received:
A Notice was published in the official newspaper for the City of Fargo, as required by law, on June 7 and 14, 2023, stating that a petition had been filed with the City of Fargo for annexation of 80.40 acres, more or less, located in a part of the Southwest Quarter of Section 28; of the Southeast Quarter of Section 29; and the Northeast Quarter of Section 32, Township 140 North, Range 49 West of the Fifth Principal Meridian, Cass County, North Dakota.
No protests have been filed with the City Auditor’s Office after publication of the Notice.
The Board determined that no person is present to protest or offer objection to the annexation petition.

Current Planning Coordinator Donald Kress said the Board adopted a Resolution of Annexation at the May 30, 2023 meeting and at their July 6, 2023, the Planning Commission found that the proposed annexation is consistent with the 2007 Growth Plan for this area and the Hearing today is to determine the sufficiency of protest.

Commissioner Preston moved there is insufficient protest to the proposed annexation and, therefore, said land shall become a part of the City in accordance with
NDCC §40-51.2-07 and direct staff to file and record with the Cass County Recorder a copy of the Resolution of Annexation and an accurate map of the annexed area.

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.

Parcels of Land in Veterans Industrial Park Addition Rezoned (5385 19th Avenue North):
At a Hearing held on May 2, 2023 the Fargo Planning Commission recommended approval of a change in zoning from AG, Agricultural to LI, Limited Industrial.
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.

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

First Reading of an Ordinance Rezoning a Certain Parcel of Land Lying in Veterans Industrial Park 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 a Certain Parcel of Land Lying in Veterans Industrial Park 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, Strand, Piepkorn and Mahoney voted aye.
No Commissioner being absent and none voting nay, the Resolution was adopted.

Resolution Adopted Approving Veterans Industrial Park 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 “Veterans Industrial Park Addition” containing 9 Lots, 3 Blocks, and 55.43 acres of land more or less, located at 5385 19th Avenue North; and
WHEREAS, A Hearing was held May 2, 2023 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 June 28 and July 5, 2023 that a Hearing would be held in the Commission Chambers, City Hall, Fargo, North Dakota at 5:15 p.m., July 10, 2023 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 “Veterans Industrial Park 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.

Growth Plan Amendment for Interstate Business District Addition Referred Back to the Planning Commission (4753 45th Street North and 4269 40th Avenue North):
A Hearing had been set for this day and hour to consider approval of an amendment to the Growth Plan from Residential Area, Lower to Medium Density, Commercial and Proposed Park to Industrial and Commercial and a change in zoning from AG, Agricultural and LI, Limited Industrial with a C-O, Conditional Overlay to LI, Limited Industrial with a C-O, Conditional Overlay, GC, General Commercial with a C-O, Conditional Overlay, and P/I, Public and Institutional Addition.
The Fargo Planning Commission recommended denial of the amendment to the Growth Plan Amendment from Residential Area, Lower to Medium Density Commercial and Proposed Park to Industrial and Commercial. If the Growth Plan Amendment is not approved, the proposed zoning change and plat cannot go forward, they said.

Current Planning Coordinator Donald Kress shared the recommendation of the Planning Commission, which is denial and the recommendation of staff, which is to approve the project, partly due to conditions and contingencies since the last Planning Commission meeting.

Trent Duda, ARD Properties, LLC was present with Lee Grossman of SW&L Attorneys, and asked that the staff’s recommended motion be approved.

Mr. Grossman said a denial would affect not only ARD Properties, but potential other businesses that would want to build in the development. Planning staff has found that all criteria for the zoning change and development are met, he said, and concerns about concrete crushing have been removed.

Paula Peterson, Kyla DuBord, Mariia Goriacheva and Joshua Morrel shared their concerns about the project. Objections included it being the wrong type zoning for a neighborhood community, demand for housing, future growth plan changes, no buffer, traffic concerns, landowner intentions unknown, no assurance conditional overlays will not be changed, truck traffic, does not benefit existing community, impacts home and land value, noise, environmental impacts, limited industrial use does not fit future plans, potential health risks, accumulated environmental contamination, current growth plan is most compatible, industrial next to residential, safety and traffic concerns and precedence set for next ETJ.

In response to a question from Commissioner Preston asking what is planned around this area, Mr. Kress said there have not been proposals to develop in the area and this would change the land use in the area. He said the process is underway to update the Growth Plan, he said.

Commissioner Piepkorn said the housing study that was just released shows the need for a lot of housing and housing of all kinds, so it would be a mistake to remove potential housing sites for commercial use. It would be good to have the west side of the Interstate residential and there are many ways this could benefit north Fargo.

In response to a question from Commissioner Preston asking if there has been analysis or projections regarding how much industrial land is needed and if there will be industrial around this area, Assistant Planning Director Mark Williams said the 2007 Growth Plan looked at consumption based on history and the current Growth Plan will look into that. He said it may be February or March before that plan is finalized.

Commissioner Preston said she questions whether the amendment is appropriate without looking at the bigger picture. She said an option would be to return it to the Planning Commission to examine what the future looks like there.

Mayor Mahoney said the initial concern by residents was having concrete crushing next to neighborhoods. With all the emphasis on housing, he said, and this being the type area where people may want to live, it could be returned to be looked at with an emphasis of a new growth plan.

Mr. Williams said since the proposal was changed after the Planning Commission denial and prior to the City Commission presentation, it would be appropriate to return it to the Planning Commission to look at the new proposed change from the property owner.

Mayor Mahoney said the Planning Commission can look at the concerns heard tonight and come up with some recommendations. It would be good to take the concerns of the public into consideration, he said, along with matching up with the Growth Plan that is being looked into.

Commissioner Preston moved the Growth Plan Amendment for Interstate Business District Addition be referred back to the Planning Commission for reconsideration.

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.

Tom Knakmuhs Appointed City Engineer:
Assistant City Administrator Brenda Derrig said a national search was conducted for prospective candidates for the position of City Engineer. The Selection Committee interviewed three applicants on June 26th and 27th and scores of each Committee member were compiled to determine the top candidate. The Selection Committee recommends the appointment of Assistant City Engineer Tom Knakmuhs to the position of City Engineer, she stated.

Commissioner Piepkorn moved the appointment of Tom Knakmuhs as City Engineer be approved.

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.

Update on Federal Aid Road and Bridge Projects:
Division Engineer Jeremy Gorden reviewed the status of Federal Aid Road and Bridge projects, including projects removed, projects bid and upcoming bids. He outlined transportation goals and objectives, and shared information on the 64th Avenue interchange, North Broadway Bridge, 52nd Avenue west to 63rd Street, 32nd Avenue South, the carbon reduction street project, shared use path projects and bridge maintenance projects. The Main Avenue project has been pushed back to 2026, he said, and there are 16 Federal Aid Projects from 2023-2027 totaling $113 million in project costs.

Applications for Property Tax Exemptions for Improvements Made to Buildings Approved:
a. Alecia Arneson and Matthew Meyer, 1514 3rd Avenue North (5 years).
b. Brian and Taylor Tranda, 2411 18th Street South (5 years).
c. Emma Saice, 911 7th Avenue North (5 years).
d. Zachary Echola and Heidi Selzer-Echola, 1111 6th Street South (5 years).
Commissioner Piepkorn moved the applications be approved.

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.

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, July 24, 2023.
Second by Preston. All the Commissioners voted aye and the motion was declared carried.

The time at adjournment was 6:48 o’clock p.m.