Fargo City Commission Regular Meeting - May 13, 2024

The Fargo City Commission met on Monday, May 13, 2024, at 5:00 PM in Commission Chambers. The meeting was called to order by Mayor Mahoney, with all commissioners present (Kolpack, Piepkorn, Preston, Strand, Mahoney). The meeting lasted until 6:16 PM. Key actions included approvals of consent and regular agenda items, public hearings on federal transit grants and MATBUS route changes, and a declaration of insufficient protest for an improvement district. Two residents spoke during public comments, calling for a ceasefire resolution in Gaza.

Consent Calendar

• Approved 36 items en bloc, including grant agreements, ordinance readings, bid awards, budget adjustments, and service agreements, after moving Item 24 (FAHR staff meeting items) to the regular agenda.
• Notable approvals: Purchase agreement with the Union of Sisters of the Presentation for property at 3000 11th Street South; bid awards totaling over $15 million for various improvement districts; and budget adjustments of $200,000 for landfill containers, $60,000 for fiber at Fire Station 8, and $159,300 for a portable basketball floor at the FARGODOME.

Public Comments & Testimony

• KJ Atkinson (in person) and Prairie Johnson (via conference call) addressed the commission, urging the city to pass a ceasefire resolution for Gaza. Atkinson described the suffering of mothers and children in Gaza, referencing over 17,000 orphaned children and the use of C-sections without anesthesia. Johnson cited a Euromed report estimating 43,640 deaths, including nearly 16,000 children, and criticized the city for not taking action similar to its support for Ukraine. Both speakers requested the commission to speak out against the violence.

Discussion Items

• First Amendment to Developer Agreement with Grove Enclave, LLC (Item 37): Staff presented a one-year extension (through end of 2025) for the developer to complete pad sites and meet TIF obligations. The developer had already built 30,000 sq ft of commercial space and a car wash, but two pad sites (including a Burger King parcel) were not yet started. Commissioner Preston clarified that the city would not issue the TIF note until project completion, and property taxes collected in the interim would be returned to the county. The extension was approved unanimously.
• Appointment to Economic Development Incentives Committee (Item 41): Matthew Schlenvogt was appointed to the committee without opposition.
• Property Tax Exemptions for Building Improvements (Item 42): Four applications for 5-year exemptions were approved unanimously: Dream Homes LLC (312 10th Ave N), David and Pamela Olson (1233 9th St N), Rommesmo Family LLP (4438 Carrie Rose Ln S), and Matthew and Katie Chaussee (2314 18th Ave S).
• Protest Insufficiency for Improvement District BN-23-G (Item 40): City Engineer Tom Knakmuhs presented the project for new roads (23rd Ave N and 53rd St N) in the Veterans Industrial Park. One protest from Mid-America Steel (45.1% of assessed land area) fell short of the 50% threshold required to bar the improvements. Attorney Mark Hansen, representing Mid-America Steel, argued that the developer’s agreement should shield his client from the estimated $630,000 assessment, calling the improvement district “void.” City Attorney Nancy Morris countered that the process was standard and that Mid-America could challenge the benefit at a future special assessment hearing. The commission voted unanimously to declare the protest insufficient, with Commissioner Preston noting the road would eventually serve Mid-America’s lot. The project will proceed to bid opening on May 22, 2024.
• Public Hearing – Section 5307 Federal Transit Grant (Item 38): Julie Bummelman reported that the city’s 2024 allocation of $2.965 million for transit capital and operations was a 26% decrease from the prior year due to population-based formula changes. The commission approved the Program of Projects for submission and execution.
• Public Hearing – Permanent MATBUS Route and Service Changes (Item 39): Transit Planner Cole Swingen presented changes to address post-COVID ridership decline (from 1.8 million rides in 2019 to 1.2 million in 2023) and driver shortages. Proposed changes: reduce weekday service hours (6:15 AM–10:15 PM, originally 6:15 AM–11:15 PM), extend Saturday hours to 10:15 PM based on public feedback, reduce Route 13 to 60-minute service on Saturdays, reduce Route 15 to 30-minute service in mornings, eliminate Route 32W (NDSU route not renewed), adjust Route 33 to 10-minute all-day service, and eliminate Route 36 (replaced by additional vehicle on Route 13). Estimated annual savings: $306,000 ($97,000 from hours, $209,000 from route changes). Commissioner Kolpack noted the savings will help increase driver wages for recruitment and retention. The changes were approved unanimously.
• FAHR Staff Meeting Items (Item 24, moved from Consent): Susan Jacobson presented a summary of the Finance, Administration, and HR (FAHR) committee’s bi-weekly meetings, including a sales tax update. The February sales tax collection appeared low due to a timing “flop” (deadline extended to April 1), but March collections are expected to be $6.98 million, averaging out. Other items: budget adjustments for landfill containers, fiber installation, basketball floor, and promotion of three firefighters to captains. Commissioner Kolpack praised the increased transparency of the FAHR process compared to the prior finance committee. The items were approved unanimously.

Key Outcomes

• All votes were unanimous (5-0) on all agenda items requiring a vote.
• Grove Enclave received a one-year extension on its developer agreement, with TIF note issuance delayed until project completion.
• Improvement District BN-23-G will proceed; Mid-America Steel may contest assessments at the special assessment hearing in fall 2025 or request a deferral.
• Transit grant was approved for submission; the city will seek additional capital grants to offset the 26% federal funding reduction.
• MATBUS route changes will take effect after approval; the commission noted the need to address safety concerns for drivers and riders.
• Future meetings: The next regular meeting is scheduled for May 28, 2024, at 5:00 PM. The commission will also discuss formalizing the FAHR committee at the second quarter finance committee meeting on May 28, 2024.