Fargo City Commission - September 29, 2025
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 4:00 o'clock p.m., Monday, September 29, 2025.
The Commissioners present or absent were as shown following:
Present:  Kolpack, Piepkorn, Strand, Turnberg, Mahoney.
Absent:  None.
Mayor Mahoney presiding.
Mayor Mahoney announced that the Board of City Commissioners will retire into Executive Session in the Red River Room for the purposes of discussing negotiating strategy and/or providing negotiating instructions to its attorney or other negotiator regarding contractual negotiations and/or reasonably predictable litigation regarding annexation with the City of Harwood and/or Applied Digital Corporation; and to receive its attorney’s advice and guidance on the legal risks, strengths and weaknesses of an action of a public entity and regarding reasonable predictable and/or threatened litigation relating to annexation with the City of Harwood and Applied Digital Corporation. Discussing these items in an open meeting would have a negative fiscal effect on the bargaining and/or litigation position of the City. Thus, an Executive Session for this matter is authorized pursuant to North Dakota Century Code § 44-04-19.1 subsections 2, 5 and 9 and North Dakota Century Code § 44-04-19.2 subsection 1.
Commissioner Kolpack moved the Commissioners meet in Executive Session in the Red River Room as authorized by North Dakota Century Code § 44-04-19.1 and 44-04-19.2, subsections 1, 2, 5 and 9 to discuss said matter.
Second by Piepkorn.  All the Commissioners present voted aye and the motion was declared carried.
At 4:01 o’clock p.m. the Board moved to the Red River Room to discuss the matter in Executive Session.
Members present were:  Kolpack, Piepkorn, Strand, Turnberg and Mahoney.
The Executive Session closed at 4:54 p.m. and the meeting reconvened in public session at 5:00 o’clock p.m.
All Commissioners present.
Mayor Mahoney presiding.
Members of Boy Scout Troop 214 led the Pledge of Allegiance and a video was shown highlighting the Police Department’s Wellness Program.
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 September 15, 2025 be approved as read.
Second by Turnberg. 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.	Letter of Support for Halberstadt’s to the ND Opportunity Fund Consortium.
2.	Third Amendment to Purchase Agreement and Earnest Money Contract with Galvanizers, Inc.
3.	Receive and file an Ordinance Amending Sections 8-0801, 8-0802, 8-0803, 8-0804, 8-0805, 8-0806, 8-0807, and 8-0808, of Article 8-08, of Chapter 8, of the Fargo Municipal Code 	Relating to Crashes and an Ordinance Repealing Section 8-0809, of Article 8-08, of Chapter 8, of the Fargo Municipal Code, Relating to False Reports and an Ordinance Amending 	Section 1-0305, of Article 1-03, of Chapter 1, Relating to Classification of Ordinance Violations.
4.	Receive and file an Ordinance Amending Section 8-1009 of Article 8-10 of Chapter 8 of the Fargo Municipal Code Relating to the Traffic Code.
5.	Receive and file an Ordinance Amending Section 25-1507 (A) of Article 25-15 of Chapter 25 of the Fargo Municipal Code Relating to Alcoholic Beverages.
6.	Findings of Fact, Conclusions and Order of the Board of City Commissioners of the City of Fargo and Notice of Entry of Order for property located at     1202-1204 1st Avenue South 	and 103, 105 and 105 1/2 12th Street South.
7.	Receive and file Summons and Complaint relating to James and Victoria Ingstad v. City of Fargo.
8.	Renewal of the 1st Quarter Alcoholic Beverage and Live Entertainment Licenses until 9/30/26, contingent upon all essential requirements for renewal are met by 9/30/25.
9.	Site Authorizations for Games of Chance:
a.	Homeward Animal Shelter at Hilton Garden Inn for one event on 10/17/25.
b.	North Dakota Horse Park Foundation at Sports Bar.
10.	Applications for Games of Chance:
a.	4 Luv of Dog Rescue for raffle on 11/8/25.
b.	Eagles Elementary PTA for bingo on 10/24/25.
c.	Fargo Area Conservatives for a raffle on 2/20/26; Public Spirited Resolution.
d.	St. John Paul II Catholic Schools for a raffle and raffle board on 1/30/26.
11.	Change Order No. 1 in the amount of $3,725.00 for Project No. UR-25-D1.
12.	Final Balancing Change Order No. 1 in the amount of $18.00 for Project No. ER-25-C1.
13.	Permanent Easement (Bike Trail) and Memorandum of Understanding Regarding Construction and Maintenance with the Park District of the City of Fargo (Project No. SN-25-B0).
14.	ND Department of Transportation Cost Participation, Construction and Maintenance Agreement LPA Federal Aid Project and addition of Project No. TR-26-A1 to the 2025 CIP.
15.	Bid advertisement for Project No. TR-26-A.
16.	Change Order No. 1 which modifies the earthwork payment method to Dakota Underground for Improvement District No. BN-25-C1.
17.	Change Order No. 1 for a time extension to the street lighting completion date bringing it to 10/24/25 for Improvement District No. BR-25-G1.
18.	Change Order No. 1 in the amount of $218,921.50 for Improvement District No. PR-25-H1.
19.	Access Easement (Street, Water and Sewer) with Southeast Cass Water Resource District (Improvement District No. BN-25-E1).
20.	Create Improvement District No. BN-25-F and adopt Resolution of Necessity (New Paving and Utility Construction).
21.	Items from the FAHR Meeting:
a.	Receive and file General Fund - YTD August 2025 Budget to Actual.
b.	Budget adjustment request for an Amendment to Purchase of Service Agreement with ND Department of Health and Human Services Behavioral Health Division, (Contract #810-14156).
c.	Budget adjustment request for an Amendment to Purchase of Service Agreement with ND Department of Health and Human Services Behavioral Health Division 	(Contract #810-13737).
d.	Budget adjustment request in the amount of $48,360.00 and bid award to Dirt Dynamics for the Fire Line Valve Replacement at the FARGODOME (RFQ25276).
e.	Purchase of a Mobile Command Center Vehicle for the Red River Valley Unmanned Aircraft Systems Unit.
f.	Allocation of $20,000.00 from the Riverfront TIF for vegetation management along 	the Downtown river corridor between 1st and 4th Avenues North.
22.	Change Order No. 3 in the amount of $2,882.56 for Fire Station No. 5 Renovation Project.
23.	Notice of Grant Award Amendment from ND Department of Health and Human Services for Women, Infants and Children (CFDA #10.557).
24.	Addendum to Cass Human Service Zone Agreement.
25.	Bid awards to F5 Project, Canopy Medical Clinic, New Life Center, The Medicine Shoppe, Southpointe Pharmacy, New Roots Midwest, Kondial Kel International, Family Healthcare, Soul 	Solutions, Dacotah Foundation and Southeast Human Service Center for Tobacco Prevention and Cessation activities (RFP25225).
26.	2026 Benefit Renewals effective 1/1/26.
27.	Bid award to Western Excavation in the amount of $30,000.00 for the demolition of property located at 1102 1st Avenue South (RFP25246).
28.	Renewal of Service Agreement (Minimum Security) with Centre, Inc. (PBC26002).
29.	Resolution approving Plat of Family Healthcare Center Addition      (Attachment “A”).
30.	US Department of Housing and Urban Development Office of Community Planning and Development Federal Award Agreements for CDBG and HOME Investment Partnerships Program funds.
31.	ND Department of Transportation Highway Safety Contract in the amount of $53,000.00 (CFDA #s20.600, 20.608 and 20.616).
32.	Bid award to J-Tech Mechanical in the amount of $118,760.00 for replacement of the rooftop AC unit, air handler, evaporator coils and replumbing of existing broiler heating coils 	at Central Garage (RFP25259).
33.	ND Department of Transportation State Aid for Public Transit Agreement for Paratransit.
34.	Bills in the amount of $18,528,514.22.
Second by Kolpack.  On call of the roll Commissioners Strand, Kolpack, Piepkorn, Turnberg and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.
Special Assessment List for Various Improvement Districts Approved:
A Hearing had been set for this day and hour on the special assessment list for the construction of the following Improvement Districts in the City of Fargo, North Dakota, all having been approved by the Special Assessment Commission, setting the interest rate at .75% per annum over the net rate of bonds financing said projects:
a.	Alley Paving Improvement District No. AN-22-B.
b.	Alley Paving Improvement District No. AN-24-A.
c.	Alley Paving Improvement District No. AN-24-B.
d.	New Paving and Utility Construction Improvement District No. BN-23-A.
e.	New Paving and Utility Construction Improvement District No. BN-23-E.
f.	New Paving and Utility Construction Improvement District No. BN-23-G.
g.	New Paving and Utility Construction Improvement District No. BN-23-J.
h.	New Paving and Utility Construction Improvement District No. BN-24-A.
i.	New Paving and Utility Construction Improvement District No. BN-24-C.
j.	Paving and Utility Rehab/Reconstruction Improvement District No. BR-24-A.
k.	Paving and Utility Rehab/Reconstruction Improvement District No. BR-24-B.
l.	Paving and Utility Rehab/Reconstruction Improvement District No. BR-24-C.
m.	Paving and Utility Rehab/Reconstruction Improvement District No. BR-24-E.
n.	Paving and Utility Rehab/Reconstruction Improvement District No. BR-24-F.
o.	Paving and Utility Rehab/Reconstruction Improvement District No. BR-24-G.
p.	Storm Sewer Lift Station Rehab/Reconstruction and Incidentals Improvement District No. NR-23-C.
q.	Asphalt Wear Course Improvement District No. PN-24-A.
r.	Concrete Paving Rehab/Lane Widening Improvement District No. PR-24-A.
s.	Seal Coat Improvement District No. PR-24-E.
t.	Asphalt Mill and Overlay Improvement District No. PR-24-F.
u.	Asphalt Mill and Overlay Improvement District No. PR-24-G.
v.	Asphalt Paving Rehab/Reconstruction Improvement District No. PR-24-H.
w.	Traffic Signal Improvements Improvement District No. TN-23-A.
x.	Sanitary Sewer Lining Improvement District No. UR-24-F.
Special Assessment Coordinator Doug Durgin said these 24 Improvement Districts total just over $43 million in special assessment amounts affecting 5,097 parcels.
Commissioner Piepkorn moved that the special assessment list be approved.
Second by Turnberg.  On call of the roll Commissioners Piepkorn, Turnberg, Kolpack, Strand and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.
Special Assessment for the 2025 New and Reconstruction of City Ordered Sidewalks Approved (Project No. SR-24-A):
A Hearing had been set for this day and hour on the special assessment for the 2025 New and Reconstruction of City Ordered Sidewalks in the City of Fargo, North Dakota, on which special assessment list a Hearing had been held by the Special Assessment Commission after which it had been confirmed and filed with the Board of City Commissioners.
No appeals have been filed in writing against any item appearing on such special assessment list and no person is present at this Hearing to appeal or offer any objection thereto.
Special Assessment Coordinator Doug Durgin said the sidewalk projects affect 227 parcels and the amount assessed is $749,695.00.
Commissioner Piepkorn moved the Special Assessment for the 2025 New and Reconstruction of City Ordered Sidewalks (Project No. SR-24-A) be and same is hereby approved and confirmed and ordered filed in the office of the City Auditor, that the City Auditors Office be instructed to proceed to collect the assessments in the manner provided by law and that the interest rate be set at a rate not exceeding      .75% per annum over the net rate on bonds financing said projects.
Second by Turnberg.  On call of the roll Commissioners Piepkorn, Turnberg, Kolpack, Strand and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.
Special Assessment for the 2025 New and Reconstruction of City Ordered Sidewalks Approved (Project No. SR-24-B):
A Hearing had been set for this day and hour on the special assessment for the 2025 New and Reconstruction of City Ordered Sidewalks in the City of Fargo, North Dakota, on which special assessment list a Hearing had been held by the Special Assessment Commission after which it had been confirmed and filed with the Board of City Commissioners.
No appeals have been filed in writing against any item appearing on such special assessment lists and no person is present at this Hearing to appeal or offer any objection thereto.
Commissioner Piepkorn moved the Special Assessment for the 2025 New and Reconstruction of City Ordered Sidewalks (Project No. SR-24-B) be and same is hereby approved and confirmed and ordered filed in the office of the City Auditor, that the City Auditors Office be instructed to proceed to collect the assessments in the manner provided by law and that the interest rate be set at a rate not exceeding      .75% per annum over the net rate on bonds financing said projects.
Second by Turnberg.  On call of the roll Commissioners Piepkorn, Turnberg, Kolpack, Strand and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.
Special Assessment of the Business Improvement District (BID) Approved:
A Hearing had been set for this day and hour on the special assessment of the Business Improvement District (BID).
No appeals have been filed in writing against any item appearing on such special assessments list and no person is present at this Hearing to appeal or offer any objection thereto.
City Auditor Steve Sprague said this is the annual assessment for BID, which helps the City maintain the Downtown area.  He said the City collects the assessment, which amounts to about $830,000.00 this year, and then turns it over to the Downtown Community Partnership which oversees BID operations.  He said the primary goals of BID are to promote and beautify the Downtown area, which includes emptying garbage cans, cleaning sidewalks, changing flags and other tasks.
Commissioner Kolpack moved that the special assessment of the Business Improvement District (BID) be and the same is hereby approved and confirmed and ordered filed in the office of the City Auditor and that the City Auditor's Office be instructed to proceed to collect the assessments in the manner provided by law.
Second by Strand.  On call of the roll Commissioners Kolpack, Strand, Piepkorn, Turnberg and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.
Application Filed by Bison Run Rentals LLC for Payment in Lieu of Tax Exemption (PILOT) Approved:
A Hearing had been set for this day and hour on an application filed by Bison Run Rentals LLC for payment in lieu of property tax exemption for a residential townhome rental project at 1102 & 1110 17th Street North.
No written protests have been filed for the attention of the Board.
The Board determined that no person is present at this Hearing to protest or offer objection thereto.
Strategic Planning and Research Director Jim Gilmour said in keeping with the policy change the City Commission made earlier this year, the limit for infill projects in core neighborhoods on multi-family projects is 7 years at 100%.  In the past, the City did PILOTs over a 10-year period with 100% for the first 5 years and then 50% for the remaining 5 years, he said.  The new policy is 7 years at 100%, he stated, which is easier for Assessor’s to track.  He said this project is on the corner of 17th Street and 11th Avenue North, where there are currently two rundown buildings on the lot.  The developer plans to tear down those buildings and build 6 townhomes that will be rentals, he said, and the zoning is University Mixed-Use, which allows this type of development.  The City’s financial adviser states the developer’s return even with the incentive is less than 9% and many investors would not take on a project with that rate of return, he said.   The project is contingent on the developer being able to get a building permit and there are some minor things with the trust plans and some of the utility hookups, he said; however, those are the things that developers usually work through at the end.
Betsy and Nick Yanez-Rich are the developers of this project and they manage the property directly across the alley from this location and have looked at this property for quite some time.  They said they are excited about the prospect of being able to improve the land that is in their backyard and they want to create a safe, more modern and convenient housing option for students, getting away from things such as baseboard heat and window AC units.
In response to a question from Mayor Mahoney asking if there will be garages with the townhomes, Mr. Yanez-Rich said there are no garages, just open parking in the front of the units as well as designated parking in the alley.
In response to a question from Commissioner Strand asking about the change in policy for these incentives, consolidating it to 7 years versus 10 years, Mr. Gilmour said the policy change was made by the City Commission about four months ago.  He said he is not sure about the County’s plans for these types of projects and he plans to attend an upcoming County Commission meeting to get that clarified.  He said he thinks the County’s goal is to limit these types of projects for 5 years at a 50% rate and they seem to be more focused on job creation and low-income projects.
Commissioner Piepkorn moved that the application filed by Bison Run Rentals LLC for a 7-year 100% payment in lieu of tax exemption pursuant to Chapter 40-57.1, NDCC be approved, as presented.
Second by Turnberg.  On call of the roll Commissioners Piepkorn, Turnberg, Kolpack, Strand and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.
Annexation of 49.41 Acres More of Less Located in a Portion of the West Half of the Northwest Quarter of Section 14, Township 140 North, Range 49 West of the Fifth Principal Meridian in Cass County, North Dakota Approved:        No Protests Received:
A Notice was published in the official newspaper for the City of Fargo, as required by law, on September 17, 2025, stating that a petition had been filed with the City of Fargo for annexation of 49.41 acres more of less located in ¬a portion of the West half of the Northwest Quarter of Section 14, Township 140 North, Range 49 West of the Fifth Principal Meridian in 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 this petition for annexation was brought forward by the property owner, County 20 Storage and Transfer, Inc.  The property is undeveloped, there are no existing residences or businesses in the annexation area, he said, and the property is part of a larger proposed subdivision.
Commissioner Piepkorn moved the annexation of 49.41 acres more of less located in ¬a portion of the West half of the Northwest Quarter of Section 14, Township 140 North, Range 49 West of the Fifth Principal Meridian in Cass County, North Dakota be approved.
Second by Kolpack.  On call of the roll Commissioners Piepkorn, Kolpack, Strand, Turnberg and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.
First Reading of an Ordinance Annexing a Certain Parcel of Land Lying in a Portion of the West Half of the Northwest Quarter of Section 14, Township 140 North, Range 49 West of the Fifth Principal Meridian in Cass County, North Dakota:
Commissioner Piepkorn moved the requirement relating to receipt of the Ordinance by the Commission one week prior to first reading be waived and moved the Ordinance Annexing a Certain Parcel of Land Lying in a Portion of the West Half of the Northwest Quarter of Section 14, Township 140 North, Range 49 West of the Fifth Principal Meridian in Cass County, North Dakota be placed on first reading.
Second by Kolpack.  On call of the roll Commissioners Piepkorn, Kolpack, Strand, Turnberg and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.
Parcels of Land in 46th Avenue Industrial Park Second Addition Rezoned (3252 and 3336 52nd Avenue North):
At a Hearing held on June 3, 2025 the Fargo Planning Commission recommended approval of a change in zoning from AG, Agricultural to AG, Agricultural and 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.
Current Planning Coordinator Donald Kress said two lots will remain AG until development is proposed on those lots.  He said Lot 1, Block 1 has development proposed and the applicant has submitted a building permit for review.  The applicant will grant the City a street and utility easement for potential future widening of 46th Avenue North, he said.
Commissioner Piepkorn 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 Piepkorn, Kolpack, Strand, Turnberg and Mahoney voted aye.
No Commissioner being absent and none voting nay, the Resolution was adopted.
First Reading of an Ordinance Rezoning Certain Parcels of Land Lying in 46th Avenue Industrial Park Second Addition to the City of Fargo, Cass County, North Dakota:
Commissioner Piepkorn 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 46th Avenue Industrial Park Second Addition to the City of Fargo, Cass County, North Dakota be placed on first reading.
Second by Kolpack.  On call of the roll Commissioners Piepkorn, Kolpack, Strand, Turnberg and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.
Resolution Adopted Approving 46th Avenue Industrial Park Second Addition:
Commissioner Piepkorn offered the following Resolution and moved its adoption:
WHEREAS, A Plat has been filed in the office of the City Auditor entitled “46th Avenue Industrial Park Second Addition” containing 5 Lots, 3 Blocks and 109.39 acres of land more or less, located at 3252 and 3336 52nd Avenue North; and
WHEREAS, A Hearing was held June 3, 2025 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 September 17 and 24, 2025 that a Hearing would be held in the Commission Chambers, City Hall, Fargo, North Dakota at 5:05 p.m., September 29, 2025 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 “46th Avenue Industrial Park Second Addition” be and the same is hereby in all things affirmed and approved on the basis that it complies with the Standards of Article 20-06, and all other applicable requirements of the Land Development Code, and that the Mayor of the City of Fargo and the appropriate City Officials are hereby directed to endorse their approval on the Plat and then direct Petitioner to file same for record in the Office of the Recorder of Cass County, North Dakota.
Second by Kolpack.  On the vote being taken on the question of the adoption of the Resolution Commissioners Piepkorn, Kolpack, Strand, Turnberg and Mahoney voted aye.
No Commissioner being absent and none voting nay, the Resolution was adopted.
Discussion Regarding the 64th Avenue Interchange:
City Engineer Tom Knakmuhs said this presentation will provide an update on the proposed interchange, with no decision being requested tonight.  He said a final decision will be sought in the coming months after staff compiles all public comments and any additional information requested by the City Commission.  Discussion about the 64th Avenue interchange has a long history, he stated.  In 2008 the City Commission received a Corridor Study that analyzed the need for both an overpass and a future interchange at 64th Avenue, he said, and the Commission voted to receive the report and authorized staff to implement its recommendations.  At that time, he said, the next interchange to the south was 100th Avenue and the current 52nd Avenue interchange was under construction.  As early as 2006-2007, he said, the City initiated a study and acquired right-of-way in the northeast quadrant of 64th/I-29 to preserve the ability to build a future interchange, especially as the Maple Valley Addition was being platted.  The Study Review Committee recommended that any initial overpass should be designed to accommodate future on/off ramps when they became necessary, he said.  The 2008 study laid out the following road map:
•	Overpass: Mid-range plan (2013-2017).
•	Interchange: Long-range plan (2018-2027).
He said the project then progressed over the next 10 years and included:
•	2015-2016:  The City Commission approved seeking Federal funds for the overpass and funding was awarded in 2016; a consulting engineer was hired for design and environmental documentation.
•	October 2019:  MetroCOG voted to include the 64th Avenue Interchange ramps in the long-range transportation plan.
•	December 2019:  The City Commission approved applying for Federal funds for the full interchange.
•	2020:  Federal funding for the interchange ramps was awarded, the North Dakota Department of Transportation scheduled the project for 2025 and included it in its Statewide plan.
He said the overpass design in 2020 took the planned 2025 ramps into account and the City also acquired right-of-way for the remaining three quadrants of the interchange in 2020.  In 2022, the 64th Avenue overpass was completed and opened to traffic, he said.  The City at that time, he said, also hired a consultant for the environmental documentation and design of the full interchange and in 2023, the NDDOT moved the 64th Avenue Interchange construction programming date from 2025 to 2028 due to Statewide funding issues.  Staff is currently working on the environmental documentation and design, and a Public Input meeting was held on August 28th, he stated.  When the decision comes back to the Commission, he said, staff will present the required environmental document, which will include alternatives, including a    no-build option, as well as recommendations.  If a build option is approved, he said, design work will continue through 2026 with the goal of starting construction in 2028.
Brent Mitchell, Rob Kost and Walter Samuel spoke in opposition to the proposed interchange.
In response to a question from Commissioner Piepkorn asking how the City reserves corridors for potential future interchanges at locations such as 76th and 100th Avenues, even though they are not currently planned for construction, Mr. Knakmuhs said as part of the current 64th Avenue interchange project, the City Commission also authorized a study of the 76th Avenue interchange.  This is done for the same reason 64th Avenue was studied back in 2006, he said, and the City needs to determine the necessary land preservation before development occurs and this current study specifically looked at what is needed at 76th Avenue due to impending plats such as Selkirk Fourth.  This ensures the City can preserve the required right-of-way if a developer intends to develop adjacent land, he stated.  The City ensures that when developers plat land along a future corridor, such as 76th Avenue, the City requires they reserve appropriate right-of-way widths for the eventual road and interchange, he said.
In response to a question from Commissioner Piepkorn asking if the City works with Horace as well as technical groups to ensure Fargo’s plans are compatible with their long-term vision, especially with the high school now in Horace, Mr. Knakmuhs said a critical part of the coordination is through MetroCOG, which leads corridor studies such as the one conducted on 76th Avenue.  This provides essential information such as recommended right-of-way widths and corridor layouts to ensure all area planning is coordinated and compatible, he said.
Update on Potential Relocation Sites for the Resource and Recovery Center:
Assistant City Administrator Brenda Derrig said she has some updates on the potential relocation sites for the Resource and Recovery Center, formerly the Downtown Engagement Center, following the recent public meeting and survey.  She said the public meeting saw a strong turnout and included a panel of providers who discussed the essential services offered at the Center, followed by a Q&A session and one-on-one discussion.  Concerns raised at the meeting, she said, included safety for residents and businesses near the two North Fargo sites, lack of clarity regarding the immediate need to move the Center and why the Downtown location is no longer suitable, concerns about decreased property values, increased foot traffic and transportation challenges for clients, and a desire for more information on the costs associated with each potential location.  A public survey was conducted for nine days, she said, and there were 521 respondents with 500 completing the site ranking.   She said 272 respondents provided additional comments, which included concerns about the sites' proximity to Downtown amenities, about 50 comments requesting the center remain where it is and 10 comments suggesting its closure.  The respondents were also asked to rank preference for the three locations, with 2001 1st Avenue North first, 720 14th Street North second and 610 North University third.  She said staff from Fargo Cass Public Health, Harm Reduction, Facilities and Planning conducted a review of the three properties, evaluating them on community feedback and technical feasibility:
• 	610 North University Drive:  Pros included ideally located for clients, ideal program layout, fastest move-in timeline, lease-to-buy option, no abutting neighbors; cons were a strong opposition from neighbors and area businesses.
•	720 14th Street North:  Pros were good location for clients, good program layout, lease-to-buy option, owner willing to partner on upgrades, no abutting neighbors, second floor available for future lease; cons were ongoing neighbor concerns.
•	2001 1st Avenue North:  Pros were fair location, good program layout; cons were furthest site from Downtown amenities, potentially not available for purchase.
She said the team is focused on securing the necessary resources and information to present a fully vetted plan.  The team is working with the FM Area Foundation to establish an agreement for community donations, continuing to work with an architectural team to outline renovation plans, securing professional and technical resources to conduct a deeper dive into the technical and financial details of each site and continuing public engagement.  She said they will present final plan options to the Commission for consideration and final approval.
Sarah Liljestrand, Camille Brandt and Olivia Fischer spoke.
Commissioner Piepkorn said he encourages staff to schedule an appearance before the Roosevelt Neighborhood Association regarding the proposed North Fargo sites and he noted that one of the potential sites is located across the street from one of the four final locations being considered for the new Convention Center.
In response to a question from Commissioner Strand asking about potential partners and services at a new site, Ms. Derrig said the Resource and Recovery Center currently works with about 20 partners, though space constraints prevent them from being    on-site every day.  She said Homeless Health has committed to moving with the Center, regardless of the site chosen, and Southeast Human Resources is working to increase its presence to assist staff.
In response to a question from Commissioner Strand asking about the status of external partners such as Bloomberg and James Mathy, Ms. Derrig said they are actively helping staff vet and navigate potential sites, analyzing program needs to ensure any determined site is valid and feasible.  She said with the broader issue of housing, the City's focus remains on the metro-wide collaboration with United Way and the FM Coalition to End Homelessness.
In response to a question from Commissioner Piepkorn asking about total cost of acquiring and fitting up the new building, Ms. Derrig said the current operational cost for the Engagement Center is $500,000.00 to $600,000.00, reduced from $800,000.00 when weekend services were offered.  She said for the first time, Fargo will receive regional assistance to offset operating costs, including $200,000.00 from North Dakota and $100,000.00 from Cass County, which reduces the General Fund contribution for operations in 2026 to $300,000.00.  To cover the one-time costs of purchasing, renovating and fitting up a new building, she said, the City is aggressively seeking private donations and exploring potential lease revenue from nonprofit partners who may occupy space in the new facility.  The County is also seeking ways to help; however, the goal is to keep the project less costly to the taxpayer by leveraging regional and private funding.
In response to a question from Commissioner Strand asking about plans for winter warming services, Fargo Cass Public Health Director Jenn Faul said there is an  urgency to quickly identify a new, larger location and secure financing before winter.  She said the location used last year for winter warming, within the FCPH building, is available as a backup.  If the City moves into a new location quickly, she said, that new space could be used for winter warming, though staff would need to assess the site for safety, construction needs and required infrastructure such as HVAC and heating.
Commissioner Strand said prominent Downtown business leaders are eager to financially support and invest in a vision that addresses the need for services while protecting Downtown investments, and he warned against delaying the project and potentially losing this crucial financial support.
Commissioner Turnberg said Fargo residents are unfairly paying the bill for a regional service noting West Fargo and Moorhead do not contribute to these costs.  She said the harm reduction approach of providing free needles and Narcan enables drug use, and the City should hand those duties over to nonprofits and focus on mental illness, recovery and treatment.  She said Downtown businesses are dying and the people harassing businesses and visitors, and doing drugs in front of businesses are not people who are sober or in a good mental state.  She said she is also concerned about people freezing to death; however, where is the concern for people dying of overdoses.
The Mayor said Fargo is the economic engine of the region and the center for healthcare. People are drawn to the City for these services, he said.
Commissioner Strand said the Commissioners are from other towns and represent the region and he does not want to put a wall around Fargo.
Commissioner Turnberg said Commissioners are elected to represent the citizens of Fargo, not the region.
Commissioner Kolpack said there is an urgency to finding a solution for moving the Resource and Recovery Center.  She said this new approach involves taking a different tack with community partners, alongside a robust process already underway to secure private funding.  She said there is a commitment from both sides and these are complex issues; however, she is committed to being fully informed and thoughtful in finding solutions to these tough challenges facing the community.
Recommendation to Delay the Full-Time Mayor Position Indefinitely Failed for the Lack of a Majority:
Commissioner Strand said he recommends delaying action on a motion presented regarding the possibility of a full-time Mayor, which was amended to include a study to research the addition of two City Commissioners.  He said this action was delayed for 30 days and he would like to delay it indefinitely.  The budget currently includes a $25,000.00 allocation to fund the Mayor position for a half-year term, he said and the full annual cost thereafter would be closer to $50,000.00.  He said the cost in the budget is merely a projection for half a year and the Commission has never formally acted on or approved the transition to a full-time Mayor.  He said until the Commission makes an official decision, the funding should not be assumed or included in the budget.
Commissioner Kolpack said Fargo is ready for a full-time Mayor, noting it is already a full-time job for North Dakota's largest city.  She said the required funds have been earmarked in the budget and the financial impact is not significant overall.  The full-time nature of the role, especially regarding legislative and ambassador duties, is necessary, she said.
Commissioner Strand moved the full-time Mayor position be delayed indefinitely.
Second by Kolpack.  On call of the roll Commissioner Strand voted aye.
Commissioners Kolpack, Piepkorn, Turnberg and Strand voted nay.
The motion was declared lost for lack of a majority.
Transit Route Changes and Budget Approved Effective January 1, 2026:
Transit Director Julie Bommelman said at the September 2, 2025 City Commission meeting, a Public Hearing was held to discuss proposed changes to Transit routes and Sunday Paratransit hours.  These changes, if approved, would go into effect on January 1, 2026, she said, and the original proposed changes included:
•	Routes 13 and 14:  Reduce the frequency.
•	Route 15:  Increased from a 60-minute to a 90-minute route.
•	Route 16:  Eliminated.
•	Route 18:  Reduce from a 90-minute to a 60-minute route and eliminate the south portion of the route (it would end at 32nd Avenue South); this change is tied to Route 20.
•	Route 20:  Reduce from a 60-minute to a 30-minute route and only travel as far east as 42nd Street South; this change is tied to Route 18.
•	West Acres Transit Hub:  No longer utilized as a transfer point for Transit routes; transfers would instead be made at the Walmart bus shelter.
•	Industrial Park On-Demand Service:  Eliminated.
•	Paratransit Service:  Sunday service eliminated.
Realignment Changes:
•	Route 14:  Reduced frequency was not approved; however, realignment was approved to adjust this route to return to Ground Transportation Center via 4th Street instead of the current alignment returning on 10th Street to assist serving the area no longer served by Route 16 inbound (no cost impact).
•	Route 15:  Increase from a 60-minute to a 90-minute route to improve on-time performance and adjust alignment slightly to serve 13th Avenue Cashwise with elimination of Route 16 (no cost impact).
Other Assumptions:
•	One support staff position will be suspended for 2026 (FTE is still retained).
•	Potential hold of vacant positions as the full impact of in-house driver transition is evaluated (FTE is still retained).
•	Diesel fuel adjusted for service levels.
•	2% reduction in ridership across all Fargo, Moorhead, Dilworth and West Fargo routes due to route/service reductions and cash fare rate increase.
•	Marketing budget reduced to $50,000.00.
•	Drivers in-house for approved services.
•	Payroll in and accounted for, health insurance increase included in calculations.
Local, State and Federal 2026 contribution projections:
•	Fargo - $7,985,736.00.00 (Local, State, Federal).
•	Moorhead/Dilworth - $4,177,586.00 (Local, State, Federal).
•	West Fargo - $749,622.00 (Local, State, Federal).
•	North Dakota State University - $934,313.00 (Local, Federal).
In response to a question from Commissioner Turnberg asking for confirmation on the status of specific routes, Ms. Bommelman said the revised plan will keep Routes 15 and 18 as well as Sunday Paratransit service.
Commissioner Strand said Metro Area Transit operates under a Joint Powers Agreement with Fargo, Moorhead, West Fargo and NDSU.  All costs are balanced through a complex Cost Allocation Plan, he said and initial proposals to cut Fargo routes were withdrawn due to the fact that they would have negatively impacted the other partners, forcing them to pay significantly more.
Commissioner Kolpack said many hours were spent reviewing the plan and numerous services were reinstated, including the West Acres hub.  She said significant work was done during the Legislative session to secure funding, including new funds for Paratransit, which offsets potential local cuts.  She said maintaining Paratransit services was considered essential and the appropriate signal to send to the community.  A key local takeaway was the agreement to review the cost allocation formula used to distribute expenses among the four partner cities, she stated and public comment played a critical role in informing the final decisions, leading directly to the reinstatement of many services that were initially on the chopping block.
Commissioner Kolpack moved the Transit route changes and budget be approved as presented, effective January 1, 2026.
Second by Strand.  On call of the roll Commissioners Kolpack, Strand, Piepkorn, Turnberg and Mahoney voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.
2026 Preliminary Budget Approved:
City Administrator Michael Redlinger said the final 2026 balanced General Fund budget is $140,687,211.00, an increase of approximately 1.8% over the 2025 budget, excluding the Public Safety Sales Tax impact.  He said the final budget proposal reflects the outcomes of a diligent process and incorporates new legislative requirements and financial updates since the Preliminary Budget was approved on August 4th.
Finance Director Susan Thompson said the budget team followed five main priorities for the 2026 process:
•	Implement the new state property tax cap and relief policies.
•	Incorporate the voter-approved Public Safety Sales Tax for personnel and equipment.
•	Retain City staff by providing a 3% Cost of Living Adjustment (COLA).
•	Assess and optimize rate structures for services.
•	Carefully balance revenues relative to expenditures, showing restraint and minimizing general fund growth.
She said the process required significant expenditure reductions and compromises across several departments to align with the new property tax cap legislation.  Since the preliminary budget, she said, the team identified new revenues and expenses, resulting in a net addition of $400,000.00 to the General Fund.  Those adjustments included an additional $830,000.00 required for the City’s local Transit share, totaling $4.33 million, she said, following a Transit Committee decision that reduced proposed route changes.  However, she said, this is still a reduction of more than $1 million from the 2025 Transit expense.  She said the health insurance premium increase was finalized at 12%, up from the 10% preliminary estimate; however, potential savings are anticipated due to new, lower-cost coverage options, she stated and a $25,000.00 contribution to the Community Land Trust was added back in to support affordable housing.  To offset the net expense increases, she said, the budget team proposed the following:
•	Increased franchise fee revenue: Anticipated additional revenue due to rate increases by local utility providers, including a 14% rate increase by Cass County Electric Cooperative.
•	Fuel expense reduction: Public Works contracts for diesel and gasoline resulted in lower projected costs for first and second quarters of 2026.
•	Personnel reductions:  Two currently vacant FTEs were frozen in the Communications Department and operating reductions were incorporated in that department pending the hiring of a new department head; a total of 9.8 FTEs were reduced across the General Fund.
•	Revisited salary savings:  The estimated offset for salary savings was adjusted based on trends and new health plan options.
She said the final budget adheres to the State's property tax cap, which for Fargo is $50.3 million based on the adjusted year levy incorporating new growth.  The total gross property tax assessment is $50,696,330.00 and includes the cap-related levy for the General Fund and Airport, plus $350,000.00 for the special assessment exemption, she said.  The proposal generates a mill levy of 57.36, an increase of 0.36 mills over the prior year, she stated and this fractional mill increase translates to an added $5.73 to the annual property tax bill for a median-priced home of $353,500.00.  The budget team is also only moving forward with rate adjustments for Solid Waste services, she said.  The budget allows for a 3% Cost of Living Adjustment (COLA) for staff, she said, which is a critical investment in Team Fargo, acknowledging the talents and gifts employees provide to the citizens and businesses of Fargo, and helping ensure they see a future with the City.  She said the 2026 budget was fundamentally about restraint and minimizing General Fund growth and this was achieved by being diligent in scrutinizing expenditure budgets across all departments and enterprise funds, ensuring spending aligns with available revenues.  This effort allowed the City to meet expectations of the State by complying with the new property tax relief and reform legislation, she said and real reductions in General Fund spending were achieved.
Mayor Mahoney said the final balanced budget amount represents an increase in the General Fund of less than 2%, which is outstanding.  He said for the average home in the City, the impact is less than $6.00 on the annual property tax bill.  He said department heads did a tremendous job of controlling expenses.
Commissioner Kolpack thanked every department head and acknowledged the tremendous amount of work that went into this budget.  Everyone made compromises, including the last-minute changes to Transit that were so vital, she said and it is remarkable what was achieved.  This low growth is impressive considering the mandatory increases faced, she stated, including the step increases for employees, which automatically add $2.5 million each year and the 12% increase in health insurance that costs the City more than $500,000.00.  She said the City is also committed to accommodating the 3% COLA, which for her was a non-negotiable deal breaker.  Given these internal cost pressures and the external legislative 3% property tax cap, she said, the City had to make significant restrictions and every department scoured its numbers and open positions were eliminated during the preliminary budget phase.  She said she has asked Administration to start thinking about long-term strategic planning on a rolling basis. This new approach needs to incorporate a 5-year Capital Plan and a Personnel Plan to anticipate future needs, she said, especially while the tax cap is in place.  She said the City must also actively communicate with the Legislature about necessary changes to make the 3% cap sustainable long-term.
Commissioner Strand said he is not running for Mayor; however, he thinks all the details need to be vetted, including whether or not there should be a full-time Mayor.
Commissioner Strand moved that commencing June 1, 2026, the Mayor position be funded as full-time going forward.
Second by Kolpack.  On call of the roll Commissioners Strand, Kolpack and Mahoney voted aye.
Commissioners Piepkorn and Turnberg voted nay.
The motion was declared carried.
Commissioner Kolpack moved the 2026 Preliminary Budget be approved as the Final Budget for 2026.
Second by Strand.  On call of the roll Commissioners Kolpack, Strand and Mahoney voted aye.
Commissioners Piepkorn and Turnberg voted nay.
The motion was declared carried.
Liaison Commissioner Assignment Updates:
The Commissioners gave reports on the Boards and Committees on which they serve.
Resident Comments:
Olivia Fischer spoke.
The meeting adjourned at 7:06 o’clock p.m.

