Fargo City Commission - September 5, 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 5:00 o'clock p.m., Tuesday, September 5, 2023.
The Commissioners present or absent were as shown following:
Present: Kolpack, Piepkorn, Preston, Strand, Mahoney.
Absent: None.
Mayor Mahoney presiding.

A video was shown featuring the care team from Sanford Hospital that aided in the recovery journeys of Andrew Dotas and Tyler Hawes, the Police Officers injured in the July 14th critical incident.

Order of Agenda Approved:
Commissioner Strand 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 August 21, 2023 be approved as read.

Second by Preston. All the Commissioners voted aye and the motion was declared carried.

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

1. Letter of Support for the Beyond Boundaries project to the ND Opportunity Fund.
2. Receive and file an Ordinance Amending Section 8-1321 of Article 8-13 of Chapter 8 of the Fargo Municipal Code Relating to Use of Safety Belts Required in Certain Motor Vehicles.
3. 2nd reading and final adoption of an Ordinance Rezoning a Certain Parcel of Land Lying in Wentz Addition to the City of Fargo, Cass County, North Dakota; 1st reading, 8/21/23.
4. 2nd reading and final adoption of an Ordinance Rezoning Certain Parcels of Land Lying in University South Fourth Addition to the City of Fargo, Cass County, North Dakota; 1st reading, 8/21/23.
5. Gaming Site Authorization for the Fargo Post 2 Baseball Club at El Zagal.
6. Applications for Games of Chance:
a. North Dakota Dental Foundation for a raffle on 9/14/23.
b. Dakota Medical Foundation – Henrik’s Heroes for a raffle on 9/7/23.
c. Abou Zahr Benefit for a raffle on 9/11/23; Public Spirited Resolution.
d. Hope, Inc. for a raffle on 11/21/23.
e. North Dakota CPA Society Foundation for a raffle on 9/19/23.
f. United Way of Cass-Clay for a raffle and raffle board on 10/19/23 and 10/27/23.
g. United Way of Cass-Clay for a raffle board on 9/15/23.
h. Fargo Area Conservatives PAC for a raffle on 12/8/23.
i. North Dakota Long Term Care Association for a raffle on 9/27/23.

7. Direct the City Attorney to amend the Fargo Municipal Code to allow the Fargo Police Department or its designee to boot or tow for unpaid parking citations.
8. Appoint Commissioner Strand as the Liaison Commissioner to the Civil Service Commission.
9. Indemnity Agreement with the Metro Flood Diversion Authority for the Southwest Metro Regional Pond (Project No. FP-19-A).
10. Resolution ratifying the Mayoral Signature on the permanent bike trail easement and a temporary construction easement from TLofts U32 Properties, LLC (Project No. SN-23-A) (Attachment “A”).
11. Change Order No. 1 in the amount of $13,739.68 and time extension to the substantial and final completion dates to 6/15/24 and 7/15/24 for Improvement District No. BN-22-G1.
12. Negative Final Balancing Change Order No. 4 in the amount of -$97,573.92 for Improvement District No. BR-22-B1.
13. Change Order No. 1 in the amount of $29,108.91 for Improvement District No. UR-23-A1.
14. Memorandum of Offer to Landowner for an Easement (Temporary Construction Easement) with Blue Moon Holdings, LLC (Improvement District No. BR-23-G2).
15. Easement (Temporary Construction Easement) with Dakota Flats, LLC (Improvement District No. BR-24-A1).
16. Change Order No. 5 in the amount of $22,420.00 for the GTC Underground Parking Garage (AFB20017).
17. Amendment to the Professional Services Agreement with JLG Architects in the amount of $6,500.00 for the Fargo Police Department Master Facility Planning (RFP23078).
18. Amendment to the Professional Services Agreement with JLG Architects in the amount of $35,500.00 for the Fargo Public Libraries Sunshades Replacement Project (RFQ23059).
19. Agreement with R.L. Engebretson Architects Fargo LLC for the Newman Outdoor Field exiting improvements (SSP19112).
20. Budget adjustment in the amount of $186,544.00 from Fund 101 to Fund 411 related to the 2023 Spring Flood emergency.
21. Agreement with AE2S Communications for the Tobacco Media Campaign (RFP23120).
22. Purchase of Service Agreement with the ND Department of Health and Human Services for Emergency Response Services (CFDA #93.069).
23. Purchase of Service Agreement with The Medicine Shoppe.
24. Purchase of Service Agreement with Southeast Human Service Center (RFP23120).
25. Notice of Subaward from the ND Department of Environmental Quality for Abandoned Auto Program.
26, Piggyback purchase through the Minnesota State Contract with EnviroTech Services for the purchase of an ice slicer at a cost of $209.43 per ton (PBC23152).
27. Bid award to Bailey Nurseries, Inc. in the amount of $65,106.23 plus shipping for the 2024 spring tree order (RFP23151).
28. Amendment to Contract No. 38220653 with the ND Department of Transportation.
29. Bills in the amount of $20,464,500.49.

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

Resident Comments:
Tracey Wilkie spoke about the over-representation of Native Americans in the unhoused population, jails, prisons and social services and she talked about the boarding schools of the past and the cultural genocide of Indigenous people.

Presentation on the NDSCS Career Workforce Academy Project:
Dr. Ron Flanigan, NDSCS President and Kim Nelson, NDSCS Foundation Executive Director updated the Commissioners on the project, including the original intent, which remains the same, the timeline, renderings of the Career Innovation Center (CIC) and funding.
In response to a question from Commissioner Piepkorn asking about the status of the pledge the City made in 2020, City Administrator Michael Redlinger said the pledge amount was $1.5 million or $300,000.00 per year for 5 years to the Career Workforce Academy project, contingent upon the Federal Grant being awarded. The amount paid to date is $900,000.00, with $600,000.00 remaining, he said. He said Cass County and the City of West Fargo also pledged support. Cass County has pledged $5,000,000.00 and the City of West Fargo pledged $600,000.00, he said, and the Fueling Our Future initiative pledged $1,000,000.00 in support.
In response to a question from Commissioner Piepkorn asking how the higher construction costs are being addressed, Ms. Nelson said a portion of the original design has changed and right now the 3rd floor will be a shell until the remaining dollars are secured. Fundraising will be ongoing, she said.
In response to a question from Commissioner Preston asking about student load, Mr. Flanigan said the size and scope has changed and the number of students has yet to be determined.
In response to a question from Commissioner Kolpack asking about the component to work with employers to determine their needs for the workforce, Mr. Flanigan said curriculum is shared for feedback and faculty is encouraged to reach out to local industry to stay current.

Hearing on a Dangerous Building Located at 1449 4th Avenue South: 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 1449 4th Avenue South.
Inspections Director Shawn Ouradnik said the owner has failed to repair or remove the fire damaged structure at 1449 4th Avenue South 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 or before November 4, 2023.
Kathy Polansky said she is concerned that the condition of this property may affect the value of her home and of her neighbor’s properties.
Todd Kensinger lives next to the house and said the location is a known drug house and has been deemed unsafe and there is little attempt to fix the property. He said people have been seen going in and out of the house and fire damaged garage.
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.

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.

Appeal of the Planning Commission’s Decision to Approve a Conditional Use Permit (CUP) that Would Allow Group Living in the SR-4 Single-Dwelling Residential Zoning District on Lot 7, Block 1, Golden Valley Second Addition Upheld (2545 69th Avenue South):
A Hearing had been set for this day and hour on appeal of a Planning Commission decision on a Conditional Use Permit (CUP) that would allow allow group living in the SR-4, Single Dwelling Residential Zoning District on Lot 7, Block 1, Golden Valley Second Addition.
Current Planning Coordinator Donald Kress said at the August 1, 2023 Planning Commission meeting, that Commission by a vote of 5-2 with two Commissioners absent and two Commissioners seats vacant, moved to accept the findings and recommendations of staff and approve the Conditional Use Permit to allow group living as presented. He said the applicant is a registered nurse and intends to use the residence being constructed as an adult foster home which is a setting where a survivor of brain injury, dementia and stroke could receive home and community based service, providing services for up to four adults, up to 24 hours per day. He said a CUP for group living is required to allow more than three unrelated people to reside in a single-dwelling residence in order to be consistent with the Land Development Code.
The applicant, Giselle Ishimwe, said she has been working with the State of North Dakota since the beginning of the year and the certifications and background checks have been done; however, now much of it is on hold. She said there are similar foster homes in other North Dakota cities. The developer gave approval prior to construction, she said, and she has been clear of her intentions from the beginning. Her RN background gives her the necessary experience, she said, and her sister also has experience in home health care so residents will be in good hands. It is meant to be a home, not a group home or a nursing home, she said, it is supposed to feel like home for the residents. She said it will provide a much needed service for people of different ages and abilities. Fire extinguishers, a ramp and stair lift will be added, she said.
Speaking in opposition and asking that the CUP be denied were Cory Jacobson, Treasurer of the Golden Valley Homeowners Association; Mike Strobel and Edie Holcomb. They said the CUP does not align with the HOA covenants and the Board’s job is to uphold them. They said neighbors were told it was to be a single family residence, a business like this in a neighborhood will lower property values and concerns about parking and safety were shared.
In response to a question from Commissioner Preston asking if this is before the Board because Single-Family Residential zoning does not allow group living, Mr. Kress said group living is defined as three or more unrelated people living together which would be a Conditional Use in all the Single-Dwelling zones.
Commissioner Preston she had been in the business of providing services in people’s homes and she does not feel parking would be a large issue. She said this is a step to integrate diversity in age, abilities and income in all neighborhoods. The City is not in a position to implement or enforce HOA regulations, she said, this is to focus on the permit granted by the authority of the Commission.
Commissioner Kolpack said she feels people with different abilities have a right to live within neighborhoods in a home. She said she struggles with this in the long term; however, there does not seem to be enough information about the impacts.
Commissioner Strand said if folks with these needs cannot be placed in a neighborhood, where can they live? While he understands neighbors being surprised, he said, he does not know any better options.
Commissioner Piepkorn said he has a son with challenges who someday may be living in a home like this. He does not see accessibility in the house such as a ramp or an elevator, he said, and while he supports the access to neighborhoods, the process needs to be done correctly and this seems like it was done at the end.
Mayor Mahoney said supportive housing is a need in the community.
In response to a question from Mayor Mahoney asking how a change would be considered by the HOA, Mr. Jacobson said a change in covenants would be up to the neighborhood, a meeting would be called and 60% votes would be needed.
Commissioner Preston moved to accept the findings and recommendations of the Planning Commission and staff, and approve the CUP to allow group living on Lot 7, Block 1, Golden Valley Second Addition as presented with the following conditions:
1. If the property is transferred, the new owner must apply for a new CUP in order to continue the group living use.
2. The CUP will not become effective until the City has granted a certificate of occupancy appropriate for group living use and until the North Dakota State requirements for agency adult foster homes have been met.

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

Project Update for Main Avenue from University Drive to 25th Street (Project No. BR-23-A1):
Transportation Division Engineer Jeremy Gorden introduced Matt Kinsella, Project Manager from Apex Engineering Group and Jacob Nordick from SRF Consulting. They presented an update on timeline, locations, project purpose and need, traffic analysis, alternatives in design, corridor alternatives, sidewalks and boulevards and estimated costs and funding. Detailed findings to date for design alternatives, highlighting the pros and cons of each were shared, and they explained the visualizations, including improvements that could be made, right-of-way needs, impacts and what the alternatives entailed.
Corridor Alternatives:
Alternative A: No Build
Alternative C1: 4-lane
Alternative C1+Option 4: 4-lane with south alignment shift
Alternative C2: 4-lane with modified design criterial
Alternative D: 3-lane
Options:
Option 1: Widened sidewalk from 23rd to 25th Street, south side
Option 2: 17th Street Raised Median
Option 3: North Curb Reconstruction at University Drive
Access management was discussed due to 80 driveways being involved, they said, and a 39% reduction in driveways is proposed. Updated cost estimates, inflated to 2026 dollars, range from $23 to $45.4 million. Land acquisition and relocation costs add up significantly, they said, and funding will consist of Federal, State and City cost shares which will include assessments, City sales tax dollars and utility funds. They pointed out that the Environmental Justice Study that was included in their research determined populations in the corridor and the surrounding area includes minority and low income populations and the removal of the International Market Plaza building would affect 18 minority owned businesses. The Alternative Evaluation Matrix broke down and scored six categories and Alternative C2 and Alternative D scored highest with Alternative C2 seeming to be preferred by staff. There will likely be two construction seasons, 2026 and 2027. Going forward staff will present it at a PWPEC meeting and on Monday October 2, 2023 a recommendation will be presented for the City’s preferred design alternative and a decision on the project is expected at the NDDOT Management presentation meeting on October 6, 2023. Once those steps are completed they can move into design and acquisition.
Mr. Gorden said this is an important project and he would like the Commissioners to digest all they have heard and bring any questions to him.
Commissioner Strand said he would not care to speed the traffic up to the point where it races through town, safety is important and crossing three lanes is different than crossing five lanes for pedestrians across Main. He asked if there were a creative way to narrow the lanes yet allow traffic to keep flowing as was done with the roundabout or the underpass.
Mr. Kinsella said many ideas were explored and Alternative D with three lanes is a viable alternative. Existing buildings go right up to the corridor, he said, and with only 60 feet they tried to create the alternatives.
Mayor Mahoney said initially the removal of many buildings was considered; however, good alternatives are presented.
In response to a question from Commissioner Strand asking how many pedestrian crossing accidents have been reported, Mr. Kinsella said during the five-year period they studied, there were five between 2016 and 2021.

Susan Thompson Appointed Director of Finance:
City Administrator Michael Redlinger said the City advertised, recruited and screened candidates for the position of Director of Finance. He said 14 applications were received and interviews were held on August 1, 2023 with three candidates. On August 7, 2023 two candidates were invited to participate in a second interview, he said. Following the interview process and screening of candidates, he said, he recommends the appointment of Susan Thompson to the Director of Finance position.
Commissioner Preston moved the appointment of Susan Thompson as the Director of Finance 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.

At 6:50 p.m. the Board took a five-minute recess.
After recess. All Commissioners present. Mayor Mahoney presiding.

Third Amendment to Developer Agreement with Great Plains NP Holding, LLC for the NP Parking Garage Approved:
Director of Strategic Planning and Research Jim Gilmour said the proposed amendment between the City and Great Plains NP Holding, LLC does not alter the substance of the project, only certain deadlines will be extended. He said the approximately six-month extension and related dates will allow the developer additional time to receive funding for their equity commitments. He shared diagrams and said the project area is 366,000 square feet (sf), 155,000 sf residential (168 units), 3,000 sf parking, 36,000 sf theatre and 3,000 sf retail. The project cost is $61 million with $20 million for the parking ramp with 14 months to construct the parking ramp and 16 months for construction of the mixed-use.
Judy Lewis, Fargo Moorhead Community Theatre (FMCT) said they support the extension of the start date. She said FMCT is about a half million dollars into it right now and pinch each dollar. She said communities across the country have begun to understand that to keep a city safe it must be accessible to children, which is what FMCT will be doing in the Downtown. She said each Saturday, year round, 200 children will come through the door. It will be a beautiful state-of-the art theatre, she stated.
Commissioner Piepkorn moved the Third Amendment to the Developer Agreement with Great Plains NP Holding, LLC 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.

Extension to No Later than December 30, 2023 for Repairs to a Dangerous Building Located at 437 23rd Street South Approved:
Inspections Director Shawn Ouradnik said the property owner at 437 23rd Street South has requested an extension for repair of the building at that address. The initial communication said October 30th, he said; however, it should be December 30th, the applicant is requesting a 90-day extension. He said the building was declared Dangerous and ordered repaired or removed by the Board in early August of 2022 and following that order, the property was sold to Guy Thomas, Jr. who has done substantial work on the building and has produced acceptable results. He said Mr. Thomas is requesting the extension due to issues obtaining supplies and procuring needed professional contractors to complete the work.
Commissioner Strand moved the City Attorney’s Office be directed to amend the Findings of Fact, Conclusions and Order to allow the completion of the project no later than December 30, 2023. At that time, if the work is not completed, it shall result in an administrative fine of $50.00/day beyond the agreed end date, as referenced in the first Amendment to the Findings of Fact, Conclusions and Order. All previous Findings of Fact, Conclusions and Order and the previous Amendment, will remain in full force and effect.

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

Agreement on Use of Opioid Settlement Funds Approved:
Assistant City Attorney Ian McLean said Fargo is involved in lawsuits relating to the opioid crisis and has settled some and expects to obtain judgement in the remaining cases. The City has received $203,226.87 to date and will continue to receive settlement moneys for the next 10+ years. State law provides that settlement funds must be deposited with the State or provided to the public health unit providing services to the political subdivision, he said, which is Fargo Cass Public Health in Fargo. He presented an Agreement on the Use of Opioid Settlement Funds between the City of Fargo, City of West Fargo, County of Cass and Fargo Cass Public Health (FCPH). He said the Agreement provides that Fargo, West Fargo and Cass County will provide all the moneys they have received and will receive from opioid litigation to FCPH and that they work together on the use of the moneys for local programs and abating the opioid crisis.
In response to a question from Commissioner Strand asking whether Narcan is still provided free, Director of FCPH Desi Fleming said that has not changed. She said the program has expanded to include providing naloxone to inmates released from jail and providing a display about it for jail visitors.
Commissioner Preston moved the Agreement on the Use of Opioid Settlement Funds between Fargo, West Fargo, Cass County and Fargo Cass Public Health 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.

Ground Lease Agreement with the Red River Regional Dispatch Center for Property Adjacent to 4630 15th Avenue North Approved:
Fire Chief Steve Dirksen said staff was authorized at the June 12, 2023 City Commission meeting to work on a lease agreement with the Red River Regional Dispatch Center (RRRDC) to facilitate construction of a new dispatch center on City of Fargo property. He said the location of the RRRDC is on City owned land adjacent to the Public Safety Building at 4630 15th Avenue North.
Assistant City Attorney Erik Johnson said the parcel is about two acres and architects are developing a precise description of the property. He said the need for a long term lease and a number of contingencies add to the length of the document. It is a 50-year ground lease by the Dispatch Center, which will construct the facility and own the building while the City will own the property. He said he shared a document with the Board that was not included with the packet and simply changes some language to provide a three-appraisal process if, near the end of the lease, a question of purchasing the land be considered.
Commissioner Kolpack moved the Ground Lease Agreement with the Red River Regional Dispatch Center to allow construction of a new Dispatch Center on City owned property adjacent to 4630 15th Avenue North be approved.

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.

Fargo Dome Authority’s Concept for a FARGODOME Remodel and Conference Center Addition Approved: Initial Steps Toward Funding and Construction of the Project by Authorizing Staff to Move Forward with Establishing a City-wide Special Election on December 5, 2023 to Amend the Home Rule Charter to Allow for a 20-year, 3% City-wide Additional Lodging Tax and a 20-year, 1/4 Percent City-wide General Sales Tax Approved:
The Board received a communication from Fargo Dome Authority President Michael Ellingson requesting approval of plans regarding a FARGDODOME remodel and expansion as described at the presentation held on Tuesday, August 22, 2023. He said the Fargo Dome Authority approved the suggested funding for the project to be a combination of existing FARGODOME Permanent Fund funds up to $30 million and proceeds from a 20-year bond issue, additional 3% City-wide lodging tax and 1/4% City-wide general sales tax.
Fargo Dome Authority Board Member Dan Armbrust shared a presentation outlining the concept on the remodel and the $50 million conference center addition. He said key components are to fill the void in local conference center space, infuse existing FARGDODOME funds, sales tax and lodging tax to allow visitor contribution, and a proposed phased construction allows the venue to remain open during construction. No parking or seating will be lost or gained, he said.
In response to a question from Commissioner Piepkorn asking about addressing accessibility issues and that the City would be forced to address those issues out of the City budget if not included in the remodel, FARGDODOME General Manager Ron Sobolik said a priority is to improve and expand accessibility, particularly seating. He said the plan greatly expands the number of restrooms.
In response to a question from Commissioner Preston asking if adding a charge to tickets to make users pay for the upgrades was considered, Mr. Sobolik said there is already a facility fee. Many options were explored, he said; however, it would not generate a lot.
Commissioner Strand said he would encourage having a convention center that is memorable, attractive and iconic. He would like to see the architecture stepped up to make people remember they have been to the Fargo Convention Center.
Mr. Sobolik said there could be enhancements to the plan. He said with approval now, he said, the design and development phase can begin.
Commissioner Piepkorn moved the Fargo Dome Authority’s concept for a FARGODOME Remodel and Conference Center Addition be approved authorizing appropriate staff to move forward with establishing a City-wide Special Election on December 5, 2023 to amend the Home Rule Charter to allow for a 20-year,
additional 3% City-wide lodging tax and a 20-year, City-wide 1/4 percent general sales tax 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.

Resolution Adopted Amending the City’s Home Rule Charter Authorizing the Lodging Tax and Sales and Use Tax:
Assistant City Attorney Erik Johnson said an amendment to the Home Rule Charter is required when a sales tax is approved by a City-wide vote. He said a Resolution is published in the form of a notice of the election so voters are aware of the details. He said if approved in December, work would be done with the State Tax Commissioners office to begin the tax on April 1, 2024 and extend 20 years. An Ordinance for the sales tax is necessary for the State, he said, and the lodging tax falls under the Home Rule Charter of the City and a single amendment can address the two parts. The Ordinances are to be received and filed, he said, and the routine of First and Second Readings will be followed; however, final passage will not take place until the election has occurred and the outcome is known.
Commissioner Piepkorn offered the following Resolution and moved its adoption
BE IT RESOLVED BY THE BOARD OF CITY COMMISSIONERS OF THE CITY OF FARGO:
WHEREAS, The City of Fargo, Cass County, North Dakota, is a municipal corporation, organized and existing under the laws of the State of North Dakota, which has adopted a Home Rule Charter, pursuant to the authority of N.D.C.C. Chapter 40-05.1; and,
WHEREAS, Pursuant to Article 34 of the City Ordinances, implementing Article 3(P)(5) of the Fargo Home Rule Charter, the City has created the Fargo Dome Authority (the “Fargodome Authority”), the members of which are appointed by the City Commission as prescribed in said Article, to construct, maintain and operate the multi-purpose dome facility known as the FARGDODOME (the “Fargodome”); and
WHEREAS, Pursuant to the authority of N.D.C.C. §40-05.1-07 and Article 5 of the Fargo Home Rule Charter, the Board of City Commissioners wish to propose an amendment to the Home Rule Charter of the City which would authorize the implementation of a sales, gross receipts and use tax for a period of twenty (20) years and which would also authorize the implementation of a lodging tax on hotel and motel room rentals for a period of twenty (20) years, both of which taxes (the “Taxes”) would generate proceeds to be utilized to pay or finance costs associated with the remodeling of the FARGDODOME with the addition of a conference center to the FARGDODOME, and with ongoing capital projects, maintenance, and operation of the Fargodome and functionally-related facilities including the conference center (the “Projects”); and
NOW, THEREFORE, BE IT RESOLVED, by the Board of City Commissioners of the City of Fargo, North Dakota, as follows:
SECTION ONE. That Article 3 of the Home Rule Charter of the City of Fargo, pertaining to the list of home rule powers of the city, be amended to add paragraph V, to read as follows:
V. To establish a city lodging tax of three percent (3%) in addition to the existing three percent (3%) city lodging tax, subject to the following limitations:
1. Said lodging tax is hereby imposed upon gross receipts as defined herein, which tax shall be computed on a monthly basis by each and every hotel, motel or other accommodations located within the corporate limits of the City of Fargo. Said tax must be in addition to the state sales tax on rental accommodations provided in Chapter 57 39.2 N.D.C.C.
2. The lodging tax hereby imposed shall be computed by every retailer and paid to the City of Fargo. Such computation shall be on a monthly basis and payment for each month shall be made to the City on or before the 10th day of the following month. The payment shall be accompanied by a report indicating the amount of gross receipts for the reporting period and shall be certified by a certified public accountant or by the retailer, or managing officer thereof. The City may retain up to 3% of the total amount collected for administrative costs.
3. A lodging tax which is imposed pursuant to the authority granted herein shall extend for a period not exceeding twenty (20) years, said period to be established by the implementing ordinance.
4. The lodging taxes collected pursuant hereto, less costs of administration as provided herein, which is imposed pursuant to the authority granted herein shall be utilized for costs associated with the remodeling of the FARGDODOME, with the addition of a conference center to the FARGDODOME, and with ongoing capital projects, maintenance, and operation of the FARGDODOME and functionally-related facilities including the conference center (the “Projects”), said proceeds to be placed initially in a FARGDODOME improvement capital construction fund of the City of Fargo which, together with interest and other authorized investment earnings, shall be utilized by the City of Fargo for such purposes. Proceeds from such tax may be used to make direct payment of the costs for such construction, maintenance, and operation or may be pledged, applied or directed to amortize bonds or other obligations which may be sold to finance such costs. Interest earnings, earnings from authorized investments, or both such interest and investment earnings, on such proceeds may also be utilized for such purposes. Any funds remaining after completion of the Projects and payment of related obligations will be placed in a special escrow fund which, together with interest earnings and investment earnings, shall be utilized by the Fargodome Authority, with the concurrence of the governing body of the city, to provide for future capital improvements, maintenance, and operation of the FARGDODOME and functionally-related facilities including the conference center. Proceeds from such tax may be combined with proceeds from the sales, gross receipts and use tax being implemented for the same purpose. All such proceeds of a lodging tax which is imposed pursuant to the authority granted herein shall be utilized for the purposes authorized herein as the governing body of the city may select. The Fargodome Authority is hereby authorized and encouraged to provide recommendations to the governing body of the city.
5. The three percent (3%) lodging tax authorized hereby shall be imposed and collected in addition to an existing three percent (3%) City of Fargo lodging tax set forth in Article 3-13 of the Fargo Municipal Code, said existing tax having been (a) initially imposed by city ordinance as a two percent lodging tax (City of Fargo Ord. No. 2014 (June 1981)) under city home rule authority at a time when North Dakota non-home-rule cities were empowered by state statute to enact lodging taxes using state statutory authority (N.D.S.L. Ch. 429 (1981),
Sec. 1 – 4) and, therefore by exclusion, the City of Fargo and other home rule charter cities could utilize home rule city powers to enact lodging taxes, and (b) subsequently expanded to the existing three percent lodging tax (City of Fargo Ord No. 2595 (1991)) also by said home rule authority.
SECTION TWO. That Article 3 of the Home Rule Charter of the City of Fargo, pertaining to the list of home rule powers of the city, be amended to add paragraph W, to read as follows:
W. To impose a retail sales, gross receipts and use tax to be implemented by ordinance and subject to the following limitations:
1. Sales, gross receipts and uses taxed shall be limited to those which are taxed by the State of North Dakota pursuant to Chapters 57 39.2, 57-39.5, 57-39.6 and 57 40.2 of the North Dakota Century Code. 2. The amount of the tax shall not exceed one quarter of one percent of the gross receipts and purchases which are taxed by the State of North Dakota pursuant to Chapters 57 39.2 and 57 40.2, of the North Dakota Century Code. Any patron or user paying said tax in excess of six and 25/100ths dollars on any single transaction of one or more items may obtain a credit or refund of the excess tax at the time of purchase from the vendor or request a refund of the excess tax payment by filing a request for refund, as provided by the North Dakota Century Code, upon forms provided by the North Dakota State Tax Commissioner. The tax imposed shall be computed and collected in the same manner provided by law for the collection of the state sales, gross receipts and use tax as provided in Chapters 57 39.2, 57-39.5, 57-39.6 and 57 40.2 of the North Dakota Century Code. All references to the North Dakota Century Code include amendments adopted by the North Dakota Legislative Assembly.
3. A sales, gross receipts and/or use tax which is imposed pursuant to the authority granted herein shall extend for a period not exceeding twenty (20) years, said period to be established by the implementing ordinance.
4. Proceeds of a sales, gross receipts and use tax which is imposed pursuant to the authority granted herein shall be utilized for costs associated with the remodeling of the FARGDODOME, with the addition of a conference center to the FARGDODOME, and with ongoing capital projects, maintenance, and operation of the FARGDODOME and functionally-related facilities including the conference center (the “Projects”), said proceeds to be placed initially in a FARGDODOME improvement capital construction fund of the City of Fargo which, together with interest and other authorized investment earnings, shall be utilized by the City of Fargo for such purposes. Proceeds from such tax may be used to make direct payment of the costs for such construction, maintenance, and operation or may be pledged, applied or directed to amortize bonds or other obligations which may be sold to finance such costs. Interest earnings, earnings from authorized investments, or both such interest and investment earnings, on such proceeds may also be utilized for such purposes. Any funds remaining after completion of the Projects and payment of related obligations will be placed in a special escrow fund which, together with interest earnings and investment earnings, shall be utilized by the Fargodome Authority, with the concurrence of the governing body of the city, to provide for future capital improvements, maintenance, and operation of the FARGDODOME and functionally-related facilities including the conference center. Proceeds from such tax may be combined with proceeds from the lodging tax being imposed for the same purpose. All such proceeds of a sales, gross receipts and use tax which is imposed pursuant to the authority granted herein shall be utilized for the purposes authorized herein as the governing body of the city may select. The Fargodome Authority is hereby authorized and encouraged to provide recommendations to the governing body of the City.
BE IT FURTHER RESOLVED, That the above-recited proposal for a sales and use tax and for a lodging tax on hotel and motel rooms be presented to the electorate of the City of Fargo as a single amendment to the City’s Home Rule Charter and, therefore, that such amendment shall not be deemed approved unless said proposed amendment has been approved by sixty (60) percent of the qualified electors voting on the question, as provided by initiated Amendment Number Two to the Fargo Home Rule Charter;
BE IT FURTHER RESOLVED, By the Board of City Commissioners of the City of Fargo, North Dakota, that this Resolution be published in the official newspaper for the City of Fargo (1) within thirty (30) days of the approval hereof or (2) prior to sixty (60) days prior to the next City election, whichever is earlier.

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

Ordinance Enacting Article 3-24 of Chapter 3 of the Fargo Municipal Code Relating to a Lodging Tax for the FARGODOME Including Conference Center to be Placed on First Reading at the Next Regular Meeting of the Board:
Commissioner Kolpack moved the Ordinance Enacting Article 3-24 of Chapter 3 of the Fargo Municipal Code relating to a lodging tax for FARGDODOME including Conference Center be received and filed and placed on first reading at the next Regular Meeting of the Board.

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

Ordinance Enacting Article 3-25 of Chapter 3 of the Fargo Municipal Code Relating to a Sales Tax for FARGDODOME Including Conference Center to be Placed on First Reading at the Next Regular Meeting of the Board:
Commissioner Kolpack moved the Ordinance Enacting Article 3-25 of Chapter 3 of the Fargo Municipal Code relating to a sales tax for FARGDODOME including Conference Center to be received and filed and placed on first reading at the next Regular Meeting of the Board.

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

Resolution Regarding Special Election Matters – Lodging/Sales and Use Taxes Adopted:
City Auditor Steve Sprague said that in order to conduct a Special Election, the Auditor’s Office is seeking approval of the date and time along with polling locations. Additionally, he said, approval of the use of paper poll books, paper ballots and hand counting ballots is requested due to the unavailability of the election equipment at Cass County. Sufficient fund appropriation to cover the necessary expenses of the election is also requested, he said. There would not be early voting, he said; however, absentee ballots would be available.
Commissioner Preston said she has concerns about turnout since this is a December election. She said she will vote to approve the item being placed on the ballot; however, that is not an endorsement.
Commissioner Piepkorn offered the following Resolution and moved its adoption
BE IT RESOLVED BY THE BOARD OF CITY COMMISSIONERS OF THE CITY OF FARGO:
WHEREAS, The City of Fargo, Cass County, North Dakota, is a municipal corporation, organized and existing under the laws of the State of North Dakota, which has adopted a Home Rule Charter, pursuant to the authority of N.D.C.C. Chapter 40-05.1; and,
WHEREAS, The Board of City Commissioners have proposed or will propose an amendment to the Home Rule Charter of the city which would authorize the implementation of a sales, gross receipts and use tax for a period of twenty (20) years and which would also authorize the implementation of a lodging tax on hotel and motel room rentals for a period of twenty (20) years, both of which taxes (the “Taxes”) would generate proceeds to be utilized to pay or finance costs associated with the remodeling of the FARGDODOME with the addition of a conference center to the FARGDODOME, and with ongoing capital projects, maintenance, and operation of the FARGDODOME and functionally-related facilities including the conference center (the “Projects”), said proposal approved by a separate resolution; and
WHEREAS, Said proposed amendment is required to be presented to the city electorate for approval and the Board of City Commissioners wishes to establish a date for a special election to be held for such purpose, to approve the polling locations, to approve the form of ballot question to be presented to the city electorate and to authorize other matters related to the administration of said special election.
NOW, THEREFORE, BE IT RESOLVED, by the Board of City Commissioners of the City of Fargo, North Dakota, as follows:
That the proposal for an amendment to the Home Rule Charter of the city which would authorize the implementation of the Taxes, described above, be placed on a ballot at a special election to be held on December 5, 2023;
That the following form of ballot question for the proposed amendment to the Home Rule Charter of the city to be placed before the city electorate is hereby approved:
Shall the City of Fargo’s Home Rule Charter be amended to establish a one-quarter of one percent (1/4%) sales tax to extend for twenty (20) years and to establish a three percent (3%) lodging tax on hotel and motel room rentals to extend for twenty (20) years with the funds collected from such taxes utilized for costs associated with the remodeling of the FARGDODOME, with the addition of a conference center to the FARGDODOME and with ongoing capital projects, maintenance, and operation of the FARGODOME and functionally-related facilities including the conference center, all as provided in the Notice of Proposed Fargo Home Rule Charter Amendment as published in THE FORUM on the ___ day of _____, 2023?
SHALL SUCH AMENDMENT BE APPROVED?
( ) YES
( ) NO
That the City Auditor is authorized and directed to take such action as may be necessary and appropriate for the administration of the special election;
That the following are hereby designated as the three polling places for the special election: (1) the FARGDODOME, (2) the Fargo Civic Memorial Auditorium, and (3) the Ramada Inn (formerly the Doublewood Inn) located at 3333 13th Avenue South, all of which are located in the City of Fargo;
That the polling places shall open on the date of the special election at 7:00 A.M. and remain open until 7:00 P.M., provided that all electors standing in line to vote at the time the polls are set to close must be allowed to vote but electors arriving after closing time may not be allowed to vote, as is provided by N.D.C.C. §16.1-01-03;
That the use of paper poll books and hand-counting of paper ballots for the special election is hereby approved;
That a fund transfer from the FARGDODOME to the General Fund for expenses necessary for the election to be conducted is hereby approved.

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

Commissioner Strand moved that the Board adjourn to 5:00 o’clock p.m., Monday, September 18, 2023.

Second by Kolpack. All the Commissioners voted aye and the motion was declared carried.
The time at adjournment was 7:50 o’clock p.m
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