Fargo City Commission - August 18, 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 4:30 o'clock p.m., Monday, August 18, 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 Commissioners will retire into Executive Session for the purpose of attorney consultation regarding pending opioid litigation with Purdue Pharma, L.P. and the Sackler Family, and with Alvogen, Amneal, Apotex, Hikma, Indivior, Mylan, Sun and Zydus to receive its attorneys’ advice and guidance on the legal risks, strengths and weaknesses of an action of a public entity, which, to discuss these matters in open meeting will have a negative fiscal effect on the bargaining and/or litigation position of the City. Thus, an Executive Session for these matters is authorized pursuant to North Dakota Century Code 44-04-19.1 subsections 2, 5 and 9.
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 subsections 2, 5 and 9 to discuss said matter.

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

At 4:35 p.m. the Board moved to the Red River Room to discuss said matter in Executive Session.
Members present were: Kolpack, Piepkorn, Strand, Turnberg, Mahoney.

The Executive Session closed at 4:45 p.m. and the meeting reconvened in public session at 5:00 o’clock p.m.
All Commissioners present.
Mayor Mahoney presiding.

Commissioner Strand moved to approve the City of Fargo opt-in to the Settlement Agreement regarding opioid litigation with Purdue Pharma L.P. and the Sackler Family and to authorize the City Attorney’s Office and the Mayor to complete any necessary forms and paperwork to complete the settlement process.

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.

Commissioner Strand moved to approve the City of Fargo opt-in to the Settlement Agreement with Alvogen, Amneal, Apotex, Hikma, Indivior, Mylan, Sun and Zydus and authorize the City Attorney’s Office and the Mayor to complete any necessary forms and paperwork to complete the settlement process.

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

A video was shown featuring ASHER training (Active Shooter/Hostile Event Response) for first responders held earlier this summer in Fargo. Participants included the Fargo Police Department, Fargo, West Fargo and Moorhead Fire Departments, Cass County Sheriff’s Office, Red River Regional Dispatch Center, Sanford Ambulance, Simulation in Motion North Dakota, as well as Fargo and West Fargo Emergency Management. The training exercises are designed to be a realistic scenario to practice security, sheltering and evacuation plans.

Order of Agenda Approved:
Commissioner Kolpack moved the Order of the Agenda be approved, moving Item Nos. “25” and “31” from the Consent Agenda to the Regular Agenda.
Second by Turnberg. All the Commissioners voted aye and the motion was declared carried.

Minutes Approved:
Commissioner Piepkorn moved that the Minutes of the Regular Meeting of the Board held on August 4, 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. Purchase Agreement and Permanent Easement Agreement (Methane Gas Pipeline) with ARD Properties, LLC.
2. Agreement with the City of West Fargo for Galvanizers Addition.
3. Settlement Agreement and Release, and Assignment of Site Improvement and Work Product with 501 Main Ave DevCorp, LLC.
4. Receive and file an Ordinance Amending Sections 25-1506, 25-1507 and 25-1508 of Article 25-15 of Chapter 25 of the Fargo Municipal Code Relating to Licensing and Regulating Businesses and Trades.
5. 1st reading of an Ordinance Amending Sections 12-0306, 12-0308, 12-0310, 12-0311 and 12-0314 of Article 12-03 of Chapter 12 of the Fargo Municipal Code Relating to Domestic Fowl, Wild Birds and Pets.
6. 2nd reading, waive reading and final adoption of an Ordinance Amending Article 11-04 of Chapter 11 of the Fargo Municipal Code Relating to Automobiles and Personal Property.
7. 2nd reading, waive reading and final adoption of an Ordinance Amending Section 21.1-0102 of Article 21.1-01 of Chapter 21.1 of the Fargo Municipal Code Relating to the International Residential Code.
8. 2nd reading, waive reading and final adoption of an Ordinance Amending Section 8-0906 of Article 8-09 of Chapter 8 of the Fargo Municipal Code Relating to the Traffic Code.
9. 2nd reading, waive reading and final adoption of an Ordinance Amending Section 8-1003 of Article 8-10 of Chapter 8 of the Fargo Municipal Code Relating to the Traffic Code and an Ordinance Amending Section 1-0305 (c)(5) of Article 1-03 of Chapter 1 of the Fargo Municipal Code Relating to Classification of Ordinance Violations.
10. 2nd reading, waive reading and final adoption of an Ordinance Amending Section 10-0304 of Article 10-03 of Chapter 10 of the Fargo Municipal Code relating to Public Safety, Morals and Welfare and an Ordinance Amending Section 1-0305 (c)(7) of Article 1-03 of Chapter 1 of the Fargo Municipal Code Relating to Classification of Ordinance Violations.
11. 2nd reading, waive reading and final adoption of an Ordinance Amending Section 1-0305, of Article 1-03, of Chapter 1, of the Fargo Municipal Code Relating to Classification of Ordinance Violations.
12. 2nd reading, waive reading and final adoption of an Ordinance Rezoning Certain Parcels of Land Lying in Sullivan Second Addition to the City of Fargo.
13. 2nd reading, waive reading and final adoption of an Ordinance Rezoning a Certain Parcel of Land Lying in RLN Business Park Second Addition to the City of Fargo, Cass County, North Dakota.
14. Applications for Games of Chance:
a. Benefit for Karen Smith for a raffle on 8/24/25; Public Spirited Resolution.
b. El Zagal Shrine Temple for a calendar raffle 7/1/26-12/31/26.
c. Fargo North High School for a raffle on 11/1/25-2/28/26.
d. Fargo North High School for a raffle on 8/19/25-1/31/26.
e. Fargo North High School for a raffle on 8/19/25-5/31/26.
f. Fargo North Hight School for a raffle on 8/19/25-3/31/26.
g. Fargo North High School for a raffle on 3/1/26-6/30/26.
h. Fargo North High School for a raffle on 4/11/26.
i. Nativity Church of Fargo for a raffle and raffle board on 11/9/25.
j. Red River Children’s Advocacy Center for a raffle on 10/21/25.

15. 2026 to 2027 State of North Dakota Flex Funds Project Applications.
16. Change Order No. 1 in the amount of $96,000.00 for Project No. PR-25-A1.
17. Change Order No. 1 in the amount of $25,800.00 for Project No. TR-25-E1.
18. Negative Final Balancing Change Order No. 1 in the amount of -$31,194.24 for Project No. DR-21-A1.
19. Task Order No. 1 with Stantec in the amount of $136,091.00 for Project No. MS-25-F0.
20. Bridge Cost Share Agreement with the City of Moorhead and Amendment No. 1 in the amount of $420,000.00 ($210,000.00 City of Fargo’s share) for Project No. QN-23-B1.
21. Reimbursement to Cass County Electric Cooperative in the amount of $25,852.14 for Improvement District No. BN-23-F1.
22. Private Utility Relocation Reimbursement to Cass County Electric Cooperative in the amount of $16,664.67 for Improvement District No. BN-24-B1.
23. Change Order No. 1 in the amount of $21,197.94 and 8-day time extension to the substantial completion date to 8/8/25 for Improvement District No. BR-25-F1.
24. Design decision for the future project on 4th Street from Main Avenue to 1st Street North (Improvement District No. BR-26-F1).
25. Bid award in the amount of $182,000.00 and Agreement with KLJ Engineering, LLC for HVAC Design and Construction Planning Services at the Police Department Headquarters (RFP25199) (moved to the Regular Agenda).
26. Items from the FAHR Meeting:
a. Receive and file Sales Tax update.
b. Receive and file General Fund - Budget to Actual through 6/30/25.
c. Receive and file General Fund - Budget to Actual through 7/31/25.
d. Authorize the Finance Director to work with the City Attorney to update Municipal Code language for the Capital Asset Policy.

27. Extension of FMLA leave for Firefighter Peter Amstrup.
28. Notice of Grant Award from ND Department of Health and Human Services for PHEP City Readiness Initiative (CFDA# 93.069).
29. Strategic Planning Consultant and Dashboard Interface Agreement with AchieveIt Online, LLC (RFP25146).
30. Set Tuesday, September 2, 2025 as the date and time for a Public Hearing on a dangerous building located at 1202-1204 1st Avenue South and 103, 105, 105 1/2 12th Street South.
31. Memorandum of Understanding with Scheels All Sports, Inc. and the Fargo Police Department for the establishment and use of a remote work station within the Fargo Scheels facility (moved to the Regular Agenda).
32. Allow the Police Department to use seized asset forfeiture funds in the amount of $17,716.22 for Detective Justin Valenti to attend a 10-week National Forensic Academy Training.
33. Change Order No. 1 in the amount of $0.00 for the GTC Deck Overlay Project.
34. Contractor Work Order Request - State Contract #283 with GMV Syncromatics Corp.
35. Bills in the amount of $13,967,513.37.

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.

Presentation of the 2025 Accreditation Renewal to the Fargo Fire Department:
Commission on Fire Accreditation International Commissioner Steven Dirksen presented a plaque to the City of Fargo Fire Department in recognition of attaining its fourth accreditation renewal. The Department was first accredited in 2010, he said, and has retained its accredited status ever since.

Amendments to the Home Rule Charter and Fargo Municipal Code to Comply with Changes in State Law Approved:
Assistant City Attorney Ian McLean said during the 2025 Legislative session, the North Dakota Legislative Assembly passed House Bill 1307, which removed powers from Home Rule cities to govern their own election procedures. The Assembly also passed House Bill 1297, he said, which prohibits cities from utilizing approval or ranked voting to elect local officials. He stated Home Rule cities, such as Fargo, must have election procedures and Ordinances which mirror State law. The City Commission is unable to amend its Home Rule Charter, he said, which would need to be accomplished through a City-wide vote. However, during the 2025 Legislative session, he said, the Assembly passed Senate Bill 2324, which provides that “when a portion of a Home Rule Charter is pre-empted, superseded or invalidated by a Legislative act or a court order, the City may amend portions of the Home Rule Charter by a Resolution adopted by the governing body of the City.” He said there are three Resolutions the City Commission can now approve due to the new laws, which will clean up the Home Rule Charter to bring it into conformance with State law.
Commissioner Kolpack moved that Resolutions titled “Resolution (Amendment of Article 3(F) of Home Rule Charter),” and referred to as Attachment “A,” “Resolution (Amendment of Article 2(A)(12) and (13) of Home Rule Charter),” and referred to as Attachment “B,” and “Resolution (Removal of Article 11 of Home Rule Charter),” and referred to as Attachment “C,” be adopted and attached hereto.

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

Commissioner Kolpack moved the Ordinances Amending Section 2-0202 of Article 2-02 of Chapter 2 of the Fargo Municipal Code Relating to the Date of Biennial City Elections and Amending Section 2-0205 of Article 2-02 of Chapter 2 of the Fargo Municipal Code Relating to Voting Methodology to Be Used in City Elections be received and filed and placed on first reading at the next Regular Meeting of the Board.

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

Second Amendment to Developer Agreement with Grove Enclave, LLC Approved:
Director of Strategic Planning and Research Jim Gilmour said about a year ago, the City approved a First Amendment to give Grove Enclave an additional year to complete a project at the former Kmart site on South University Drive, which included constructing two smaller buildings at the front of the site. He said since that time, the developer has completed one of the buildings and is working on the second. The Economic Development Incentives Committee recommends the agreement be amended to require only one of the two buildings, he said. While the developer did not meet the original two-building requirement, he said, they have far exceeded the overall scope of the project. The agreement initially required the developer to build 20,000 square feet, he said; however, they have actually constructed 30,000 square feet. The new development includes nearly 40 units of affordable housing, a car wash and Beyond Shelter's new office building, he stated. The developer, who has been transparent about the difficulties of securing tenants in the current economy, he said, is in negotiations with a business for the final building. Approving this amendment benefits the developer and the City, he stated, as it allows the developer to complete the project and gives them more time to find a long-term tenant for the final building and it allows the City to officially close out the project and begin the 15-year Tax Increment Financing (TIF) term, rather than extending it for another year.
In response to a question from Commissioner Strand asking if there are any downsides to the amendment, Mr. Gilmour said there were no significant cons, as the developer has already over-delivered on the project's overall square footage. He said requiring the developer to build a second building just for the sake of compliance is not a huge benefit for the community, especially if it is difficult to find a suitable long-term tenant. The developer, who has been honest about the challenges they have faced, he said, has already signed tenants for about one-third of the new commercial space, including Randy's, which is moving to the new development. He clarified that the City did not own the Kmart site and it was not a competitive bidding process. Instead, the current owner partnered with Grove Enclave, he stated and this development was a good compromise between a basic project and one that would have required greater incentives from the City.
Commissioner Piepkorn moved the Second Amendment to the Developer Agreement with Grove Enclave, LLC be approved.

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

Policy That Requires Business Operations to Begin or Construction to Start Within Three Years of Property Tax Exemption Being Granted Approved:
Director of Strategic Planning and Research Jim Gilmour said a new recommended policy would require businesses and developers to begin construction within three years of being granted a property tax exemption. Currently, he said, the City does not have a formal deadline and while most businesses begin projects right away, there have been some situations where there are delays. For example, he said, a business that received an exemption last year is now delayed due to the weaker economy and is unsure if they need to reapply and a low-income housing project by Beyond Shelter failed to secure State tax credits and will need to reapply. He said this policy would give a firm three-year deadline for projects to begin and after three years, if no progress has been made, the exemption would expire and the applicant would have to reapply. This provides a clear timeframe for the applicant and the City, he said and helps the Assessor's Office, which often questions if an old project is still active or has been abandoned. A three-year window is a reasonable period for developers to secure financing and begin construction, he stated, even for complex projects such as low-income housing.
Commissioner Strand said he is concerned about lost opportunities for the City if a project is delayed for three years and ultimately falls through, which could prevent other developers from moving forward on the same property.
Mr. Gilmour said it is uncommon for a property to be held for a long time, as the owner can always offer it to someone else. He said complex projects, such as low-income housing, often face multiple setbacks and delays while applying for competitive State funding. Private market-rate developers are typically more sensitive to economic factors such as interest rates and construction costs, he stated, which can also cause a project to be delayed by a year or two.
Commissioner Strand suggested the City should consider implementing claw-back provisions for tax-exempt projects, which would allow the City to reclaim lost opportunities if a project does not materialize, especially with City-owned property.
Commissioner Piepkorn moved a policy that requires business operations to begin or construction to start within three years of a property tax exemption being granted be approved.

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

Core Neighborhood Housing Payment in Lieu of Taxes (PILOT) Guidelines Approved:
Director of Strategic Planning and Research Jim Gilmour said the Economic Development Incentives Committee is recommending an amendment to the City's Core Neighborhood Housing Incentive Policy. He said the current policy is a 10-year property tax exemption with a two-tiered structure: Years 1-5, 100% tax exemption and Years 6-10, 50% tax exemption. He said the issues with the current policy are the Assessor's Office finds it difficult and time-consuming to manually track the changing exemption percentages. The requirement to document "extraordinary costs" for small, 6-18 unit apartment projects is administratively cumbersome for the Planning Department, he said and the proposed policy change is a simplified 7-year, 100% property tax exemption. The financial value of the new policy is comparable to the old one, he said; however, with a slight decrease in the short-term value. He said the change would significantly simplify tracking and reduce the administrative burden by removing the need to document specific costs. The focus would instead be on whether a project meets the "but for" test, meaning it would not be financially viable without the incentive, he said.
Commissioner Strand said he is concerned about the City's overall use of tax incentives and asked why the incentive is not applied to new development City-wide. He said he is hesitant about approving any new incentives or policy changes until a comprehensive discussion on the City's tax incentive programs can be held, especially with a new Commissioner. He said he is concerned about the delay in revenue for the City, which must cover the costs of growth without immediate tax revenue from incentivized projects. Sometimes there is a 5- to 25-year lag of revenues, he said and he wants to make sure the City’s incentives align with new State legislation on tax caps.
Mr. Gilmour said the incentives are targeted at core neighborhoods to encourage infill development where it would otherwise not occur and fulfilling the "but for" test. New development at the City's edge are already market-driven, he stated and do not require incentives.
Mayor Mahoney said the City is not giving up revenue, it is gaining future revenue that would not exist without the incentives. He said the City has a track record of successful projects that are now contributing to the tax base and this is part of a long-term cycle of development.
Mr. Gilmour said there is a report on the success of existing incentives, showing a rise in property values and taxable income. He said expiring Tax Increment Financing (TIF) districts have provided additional tax revenue this year and he could review with the Commissioners the full range of incentive policies at a future Finance Committee or other group meeting.
Commissioner Piepkorn moved the Core Neighborhood Housing Payment in Lieu of Taxes (PILOT) Guidelines be approved.

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

Reappointments to the Planning Commission:
The Board received a communication from Mayor Mahoney recommending that Amy Hass, Thomas Schmidt and Scott Stofferahn be reappointed to the Planning Commission.
Commissioner Turnberg moved Amy Hass and Thomas Schmidt be reappointed to the Planning Commission for three-year terms ending June 30, 2028 and Scott Stofferahn be reappointed for a one-year term ending June 30, 2026.

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

Bid award in the amount of $182,000.00 and Agreement with KLJ Engineering, LLC for HVAC Design and Construction Planning Services at the Police Department Headquarters Approved (RFP25199) (Moved from the Consent Agenda):
Facilities Director Bekki Majerus said the building now used as Police headquarters was built in 1984 and was originally known as the Border States Electric building. The City began leasing the building in February 2017 and renovated the interior for the Police Department, she said. In early 2023, a professional assessment revealed the building's major HVAC equipment was 40 years old and in poor condition, she said, and the electric heating system was also identified as a significant source of high utility costs. After the lease expired on December 31, 2023, she said, the City extended it on a month-to-month basis to finalize the purchase of the building. The purchase was approved on June 24, 2024, she stated and the sale was completed on November 20, 2024. The City purchased the building for a few key reasons, she said, including it being a long-term asset. While a new Police headquarters is being considered, a new building would not be ready for at least four to five years, she said and by purchasing the current building, the City is investing in an asset it owns. With its proximity to the Public Works and Central Garage facilities, she said, the building is in a strategic location, which makes it a prime location for other City departments if at some point the Police Department moves. She said the 2025 budget includes funding to replace the outdated HVAC system, which will be designed to be more energy-efficient by switching from electric to hot water heating, creating a significant utility savings. A similar project at the Public Works administration building resulted in a 37% annual utility savings, she said. Applying a conservative 30% savings to the Police headquarters would save more than $26,000.00 in just the first half of the year, she stated.
Commissioner Turnberg said she asked that this item be placed on the Regular Agenda to clarify to the public that the City owns the building, addressing a resident’s question asking why public funds were being invested in a leased property.
Commissioner Turnberg moved the bid award in the amount of $182,000.00 and Agreement with KLJ Engineering, LLC for HVAC design and construction planning services at the Police Department Headquarters (RFP25199) be approved.

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

Memorandum of Understanding with Scheels All Sports, Inc. and the Fargo Police Department for the Establishment and Use of a Remote Work Station Within the Fargo Scheels Facility Approved (Moved from the Consent Agenda):
Police Chief David Zibolski said the City Commission approved a Facilities Management Plan on January 24, 2024, with the top priority identified as the need for a functional Southside Police Substation. That facility would be more than a remote workstation, he said; it would serve as a fully-functional backup in case the main Police headquarters were compromised. The City's search for a location became more urgent after Police lost access to the West Acres Fire Station, he said, which had served as the closest remote work location. The search for a secure location proved difficult, he said, with discussions with area hospitals failing to result in a permanent agreement. In December 2024, Scheels approached the City and offered a refurbished space in its 45th Street South store for the Police Department to use, he said. Scheels has done this for other Police Departments in other cities across the country, he said and the proposed agreement would be a no-cost arrangement for the City, with specific parameters for use. The City Attorney has reviewed the agreement and found no issues with it, he said.
Commissioner Turnberg said she was concerned the City was giving preferential treatment to one business and asked why the opportunity was not publicly advertised to other businesses.
Chief Zibolski said other offers were assessed; however, they did not meet the necessary criteria for a secure location with separate access, which the Scheels site provides. He said the Scheels offer is also a no-cost arrangement and others would have involved rental fees.
In response to a question from Commissioner Strand asking about the role of the Downtown substation, Chief Zibolski said it is a remote workstation for filing reports; however, it is not a full-service substation. The proposed Southside substation would provide a much-needed strategic backup location, he said and a secure place for officers to work on the South and West sides of the City, reducing the need for them to travel back to the main headquarters for breaks and paperwork.
Commissioner Kolpack moved that the Memorandum of Understanding with Scheels All Sports, Inc. and the Fargo Police Department for the establishment and use of a remote work station within the Fargo Scheels facility be approved.

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:
Brad Shaffer, Brandon Baity, Candi Smith and Christopher Coen spoke.

The meeting adjourned at 5:58 o’clock p.m.