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Board of City Commissioners - August 3, 2026 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 4:00 o'clock p.m., Monday, August 3, 2026.
The Commissioners present or absent were as shown following:
Present: Strand, Turnberg, Boschee.
Absent: Gullickson, Peterson.
Mayor Boschee presiding.

Mayor Boschee announced that the Board of City Commissioners will retire into Executive Session in the Red River Room for the purpose of attorney’s advice and guidance on the legal risks, strengths and weaknesses of an action of the City in reasonably predictable litigation with Phoenix Fabricators and Erectors, LLC, and to discuss negotiating strategy or provide negotiating instructions to its attorney or other negotiator regarding the potential litigation, which to discuss these matters in an open meeting will have a negative fiscal effect on the bargaining position of the City; and (2) to discuss negotiating strategy or provide negotiating instructions to its attorney or other negotiator regarding the potential purchase of property involving Elizabeth Anda, which to discuss these matters in an open meeting will have a negative fiscal effect on the bargaining 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 Turnberg 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 matters.
Second by Strand. All the Commissioners present voted aye and the motion was declared carried.

At 4:06 o’clock p.m. the Board moved to the Red River Room to discuss the matters in Executive Session.
Members present were: Strand, Turnberg, Boschee.
Members absent: Gullickson, Peterson.
(Commissioner Peterson joined the session at 4:20 o’clock p.m.)

The Executive Session closed at 4:52 o’clock p.m. and the meeting reconvened in public session at 5:00 o’clock p.m.
All Commissioners present.
Mayor Boschee presiding.

Vision Zero presented challenge coins to the Fargo Police Department’s Traffic Safety Team.

Order of Agenda Approved:
Commissioner Turnberg moved the Order of the Agenda be approved.
Second by Gullickson. All the Commissioners voted aye and the motion was declared carried.

Minutes Approved:
Commissioner Turnberg moved that the Minutes of the Regular Meeting of the Board held on July 20, 2026 be approved as read.
Second by Gullickson. All the Commissioners voted aye and the motion was declared carried.

Consent Agenda Approved:
Commissioner Peterson moved the Consent Agenda be approved, excluding Item Nos. “21b” and “21g,” which he would like continued to the 8/17/26 Regular Agenda for further discussion.

1. Receive and file amended Home Rule Charter of the City of Fargo.
2. 1st reading of an Ordinance Repealing Article 15-02 of Chapter 15 of the Fargo Municipal Code relating to the Human Rights Commission.
3. 2nd reading, waive reading and final adoption of an Ordinance Amending Section 3-2011 of Article 3-20 of Chapter 3 of the Fargo Municipal Code Relating to a Sales and Use Tax for Infrastructure Capital Improvements; 1st reading, 7/20/26.
4. 2nd reading, waive reading and final adoption of an Ordinance Rezoning Certain Parcels of Land Lying in Selkirk Place Sixth Addition to the City of Fargo, Cass County, North Dakota; 1st reading, 7/20/26.
5. Applications for Games of Chance.
6. Site Authorizations for Games of Chance.
7. Reimbursement to Cass County Electric Cooperative in the amount of $16,376.31 for Improvement District No. BN-25-C1.
8. Memorandum of Offer to Landowner and Agreement for Permanent Easement (Sanitary Sewer) with David Phillips Jr. and Nadine Phillips (Improvement District No. BR-23-A).
9. Final Balancing Change Order No. 2 in the amount of $23,932.77 for Improvement District No. NR-24-C1.
10. Final Balancing Change Order No. 4 in the amount of $38,103.97 for Improvement District No. BN-25-E1.
11. Change Order No. 1 in the amount of $152,201.30 for Improvement District No. PN-26-A1.
12. Create Improvement District No. BR-23-A and adopt Resolution of Necessity (Paving and Utility Rehab/Reconstruction).
13. Create Improvement District No. BR-26-G and adopt Resolution of Necessity (Paving and Utility Rehab/Reconstruction).
14. Bid award to Master Holdings LLC in the amount of $841,390.45 for Improvement District No. BR-26-D2.
15. Bid advertisement for Improvement District No. AN-26-D (Alley Paving).
16. Contract Amendment No. 1 in the amount of $2,200.00 for Project No. MS-25-A0.
17. Change Order No. 1 in the amount of $155,573.00 and 31-day time extension to Substantial and Final Completion dates for Project No. SR-26-A1.
18. Change Order No. 2 in the amount of $59,565.00 for Project No. UR-26-A1.
19. Agreement for Professional Services with Moore Engineering, Inc. in the amount of $508,600.00 for Project No. NR-26-D0.
20. Thirteenth Amended Lease Agreement between North Dakota State University and Fargo Dome Authority.
21. Items from FAHR meeting:
a. Receive and File Sales Tax Update - Accrual Basis.
b. Approve the use of existing 2026 Fire Department capital funds, account 475-4050-510.10, originally budgeted for the Mobile Ventilation Prop and Mobile Auto Extrication Prop, for the purchase of temporary live-burn training shipping containers and associated setup, and a utility terrain vehicle (UTV). All expenditures shall remain within the existing approved 2026 budget (continued to the 8/17/26 Regular Meeting).
c. Approve the recommendation of this notice of grant award from ND Department of Health and Human Services. Funds are included with the 2027 preliminary budget.
d. Approve the recommendation of this notice of grant award from ND Department of Health and Human Services and related budget adjustment.
e. Approve the recommendation for a budget adjustment as presented.
f. Approve the donation of $12,000.00 from Curt Heiser along with the budget adjustment as presented.
g. Approve the donation of $20,000.00 from the Wrigley Family along with the budget adjustment as presented (continued to the 8/17/26 Regular Meeting).
h. Approve leadership training in the additional amount of $7,200.00 and related budget adjustment.
i. Approve contract from the State of North Dakota in the amount of $16,000.00 to reimburse the remaining $16,000.00 of bus terminal repairs.
j. Approve the award in the amount of $9,600.00 for State Homeland Security Program, contract number 102 and related budget adjustment.
22. Notice of Grant Award from ND Department of Health and Human Services for PHEP - EPR Statewide Response Team (CFDA# 93.069).
23. Notice of Grant Award from ND Department of Health and Human Services for PHEP - EPR All Hazards Allocation (CFDA# 93.069).
24. Resolution approving Plat of Champions Gate at Prairie Farms Fourth Addition (Attachment “A”).
25. Resolution approving Plat of Amber Valley Tenth Addition (Attachment “B”).
26. Resolution approving Plat of Berg Addition (Attachment “C”).
27. Bid award to Kris Engineering, Inc. in the amount of $153,611.25 for the purchase of carbide cutting edges (RFP26231).
28. Change Order No. 4 in the amount of -$48,456.15 for the GTC Deck Overlay Project.
29. Change Order No. 1 with Johnson and Schock Excavating, LLC in the amount of $80,000.00 and a 14-day time extension for Project No. WA2507.
30. Task Order No. 26-04 with Houston Engineering, Inc. in the amount of $394,574.00 for Project No. WA2403.
31. Bills in the amount of $16,745,724.
Second by Gullickson. On call of the roll Commissioners Peterson, Gullickson, Strand, Turnberg and Boschee voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

Application Filed by Valley Process Technologies, LLC for a Five-Year Property Tax Exemption Approved (342 42nd Street South):
A Hearing had been set for this day and hour on the application filed by Valley Process Technologies, LLC for a property and/or income tax exemption for a project at 342 42nd Street South.
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.

City Assessor Michael Splonskowski said a request was submitted for a five-year business incentive exemption specifically targeting the improvement value of the property and the Economic Development Incentives Committee reviewed the application and recommended its approval, confirming it fully complies with existing municipal policy.

Ryan Aasheim from the Greater Fargo Moorhead Economic Development Corporation said Valley Process Technologies is a primary sector business seeking support for local growth and expansion. The company specializes in value-added processing touching agriculture, biological technology and renewable energy through the bio-fermentation of yeast, enzymes and biologics, he said and it qualifies for primary sector status while helping diversify the local economy. He said the project involves reoccupying a property that has sat vacant for several years and making an estimated $15 million investment covering building fit-ups, specialized equipment, working capital and new job creation. He said beyond local hiring, the company also plans to relocate senior and technical talent to the area to support the operation.

Mike Thummel, Chief Executive Officer of Valley Process Technologies, said the business is a value-added chemical provider specializing in beet sugar processing and bioethanol production. He said the company is looking to expand beyond its current Wahpeton, North Dakota facility. The company intends to undertake a total project investment of approximately $15 million, which includes $2 to $3 million for construction and upfitting specialized bioreactors and lab equipment, alongside $2.5 million in capital equipment, with the remaining funds allocated toward talent relocation, working capital and inventory procurement, he said. The selected building is a former pharmaceutical packaging and production facility, he stated, which reduces overall development costs due to the fact that it already features existing lab space, on-site refrigeration and backup generation. He said operationally, the facility will integrate directly into the local supply chain by purchasing co-products from nearby beet sugar facilities to produce specialized formulations those same facilities can use. Over a five-year period, he said, the expansion is projected to create 70 to 80 jobs, with a significant portion consisting of accessible positions that do not require a four-year degree, such as lab technicians, production operators, logistics staff and customer service representatives.

Commissioner Turnberg questioned whether the project would proceed without the tax incentive, to which Mr. Thummel explained the incentive is a vital part of the overall funding stack alongside other State programs to bring jobs to Fargo.

Commissioner Peterson asked about the regional impact on the company's Wahpeton facility and the valuation history of the Fargo property. Mr. Thummel said the Wahpeton plant will remain open and potentially add logistics staff due to its rail access, while Mr. Aasheim noted the Fargo building's assessed value dropped nearly $300,000.00 between 2023 and 2025 (from $4,126,900.00 to $3,841,000.00) and that Valley Process Technologies is uniquely positioned to reuse the specialized pharmaceutical infrastructure other buyers would otherwise pay to demolish.

Commissioner Strand supported the five-year incentive for its 22 high-quality jobs and is requesting strict, mandatory annual reporting and accountability if target commitments are missed.

Commissioner Peterson said an ongoing data-gathering effort with regional partners is actively analyzing past incentive outcomes and praises the project's reuse of the building.

Commissioner Turnberg said she would be voting against the tax break, saying residents are tired of subsidizing corporate tax relief while residential costs increase.

Commissioner Gullickson supported approval, saying the applicants have fully met all established policy criteria and the Commission has no basis to deny it unless it chooses to reform the policy itself.

Commissioner Strand moved that the application filed by Valley Process Technologies, LLC for a 5-year property tax exemption be approved.
Second by Gullickson. On call of the roll Commissioners Strand, Gullickson, Peterson and Boschee voted aye.
Commissioner Turnberg voted nay.
The motion was declared carried.

Liquor Compliance Violation at Front Street Taproom Approved:
Assistant City Attorney William Wischer said due to recent changes in State law, liquor compliance matters now come directly before the City Commission rather than going through the Liquor Control Board. He said Front Street Taproom is a City licensed business and was properly served notice of the violation and Hearing via registered mail after an affidavit was submitted to the City Attorney as required by law.

Fargo Police Department Officer Shelby Layman gave a detailed report with the specific violation and then a review of prior offenses, mitigating factors and recommended penalties was presented by the Auditor's Department.

Commissioner Peterson moved to find that a liquor compliance violation occurred at Front Street Taproom and to impose a penalty of $250.00.
Second by Turnberg. On call of the roll Commissioners Peterson, Turnberg, Gullickson, Strand and Boschee voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

Liquor Compliance Violation at Pounds Approved:

Assistant City Attorney William Wischer said due to recent changes in State law, liquor compliance matters now come directly before the City Commission rather than going through the Liquor Control Board. He said Pounds is a City licensed business and was properly served notice of the violation and Hearing via registered mail after an affidavit was submitted to the City Attorney as required by law.

Commissioner Gullickson moved to find that a liquor compliance violation occurred at Pounds and to impose a penalty of $250.00.
Second by Peterson. On call of the roll Commissioners Gullickson, Peterson, Turnberg, Strand and Boschee voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

Liquor Compliance Violation at NoBull Smokehouse Approved:
Assistant City Attorney William Wischer said due to recent changes in State law, liquor compliance matters now come directly before the City Commission rather than going through the Liquor Control Board. He said NoBull Smokehouse is a City licensed business and was properly served notice of the violation and Hearing via registered mail after an affidavit was submitted to the City Attorney as required by law.

Commissioner Turnberg moved to find that a liquor compliance violation occurred at NoBull Smokehouse and to impose a penalty of $250.00.
Second by Peterson. On call of the roll Commissioners Turnberg, Peterson, Gullickson, Strand and Boschee voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

Liquor Compliance Violation at Wurst Bier Hall Approved:
Assistant City Attorney William Wischer said that due to recent changes in State law, liquor compliance matters now come directly before the City Commission rather than going through the Liquor Control Board. He said Wurst Bier Hall is a City licensed business and was properly served notice of the violation and Hearing via registered mail after an affidavit was submitted to the City Attorney as required by law.

Commissioner Turnberg moved to find that a liquor compliance violation occurred at Wurst Bier Hall and to impose a penalty of $500.00.
Second by Gullickson. On call of the roll Commissioners Turnberg, Gullickson, Peterson, Strand and Boschee voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

Resolution Adopted Authorizing the Issuance of a Special Election Regarding the Petition to Change the City’s Form of Government:
City Attorney Ian McLean provided background on a petition submitted to change the City's form of government from a Commission system to a ward-based council model and explained that after the City Auditor verified the petition contained sufficient signatures from qualified electors, State law mandated holding a Special Election within a strict statutory window following certification. He said recent State legislative changes removed local Home Rule powers regarding municipal elections, requiring the City to follow State statutory deadlines rather than consolidating the measure with the standard fall General Election. Structurally, he contrasted the current five-member Commission system where all members including the Mayor are elected at large with equal voting power with the proposed council structure, which would feature six ward-based council members and an at-large Mayor who votes only to break ties but possesses veto power overridable by a two-thirds council vote. He said regarding election administration the logistical steps required for the City to conduct the Special Election independently in which the County and State authorities cannot assist with administration or provide electronic voting equipment so close to the General Election, the City is preparing to use paper ballots, recruit local poll workers and finalize accessible polling locations. He said State law requires absentee ballots to be available well in advance of Election Day, necessitating quick ballot printing once the wording is finalized. He presented the recommended ballot question, explaining he specifically added the term “ward-based” so voters clearly understand they are choosing between the existing Commission setup and a district-defined council model.

Commissioner Turnberg asked Mr. McLean for an estimate of the overall expense of conducting the Special Election, specifically inquiring about research, printing ballots, hiring poll workers and securing venues. He said hard costs would likely range between $30,000.00 and $50,000.00, referencing a 2023 Special Election at the FARGODOME that cost approximately $50,000.00.

Commissioner Peterson asked for clarification on whether that figure factored in City staff labor, which Mr. McLean confirmed covered only external, hard costs rather than internal staff time.
Fargo resident Brad Shaffer spoke.

Mr. McLean said moving regular municipal elections from June to November would require a change to State law and noted North Dakota Century Code 40-21-02 currently mandates biennial City elections take place on the second Tuesday in June of even-numbered years, making statutory revision necessary to shift the election schedule.

Commissioner Turnberg said voters would be deciding whether to transition to wards without seeing the actual district maps beforehand. Mr. McLean confirmed that if the measure passes, the City Commission would appoint an independent body to draft a compact, contiguous and population-balanced six-ward map, which would then return to the Commission for final approval.

Commissioner Peterson said he had concerns over the redistricting process, comparing it to legislative and county-level map-drawing and warning that the political realities of gerrymandering would inevitably influence how the boundaries are defined.

Commissioner Strand moved the Resolution entitled “Special Election Matter-Change the City’s Form of Government” and referred to as Attachment “D,” be adopted and attached hereto.
Second by Peterson. On the vote being taken on the adoption of the Resolution, Commissioners Strand, Peterson, Gullickson, Turnberg and Boschee voted aye.
No Commissioner being absent and none voting nay, the Resolution was adopted.

2027 Preliminary Budget Approved: Public Hearing set Monday, September 14, 2026 at 5:05 p.m.:
City Administrator Michael Redlinger said tonight’s objective is twofold: to formally adopt the preliminary 2027 budget and to establish a Public Hearing and he emphasized that staff will continue refining details and addressing Commission questions prior to final budget adoption.

Finance Director Susan Thompson said the key financial details of the proposed balanced 2027 General Fund budget will include outlined projected revenues of $147.5 million, expenses of $145.8 million and a newly introduced $1.7 million intentional underspend aimed at maintaining fund balance ratios. She covered property tax calculations (including an increase of 1.52 mills yielding an estimated $25 annual impact on a median priced home), personnel costs (including a 3% COLA and health insurance projections), capital requests, social services funding, Public Safety Sales Tax allocations, the MATBUS cost-allocation model and proposed utility rate adjustments.

Mayor Boschee acknowledged that while the Commission has reviewed the material thoroughly during recent budget workshops, it will continue to receive significant input from the public.

Commissioner Strand said key areas require further refinement before final approval, specifically questioning whether adding only four new police officers would suffice when the Chief of Police requested eight or nine officers plus a community service officer. He expressed a desire to fund additional officers and called for a deeper dive into proposed utility rate increases, noting that approving the preliminary budget merely establishes a ceiling on the mill levy while allowing time to fine tune specific allocations.

Ms. Thompson said more officers would require the Commission to provide direction on where corresponding budget cuts should be made to keep the overall budget balanced.

Commissioner Turnberg said her eventual support for the final budget hinges on making public safety the top priority. She said after reviewing each department's budget line by line, she identified several areas for potential cuts and expressed concern that external organizations were already sending thank you notes for 2027 grants prior to final Commission approval.

Commissioner Peterson said he agreed with Commissioner Turnberg, framing the vote to pass the preliminary budget as a technical execution necessary to advance the process while emphasizing he is not satisfied with the budget in its current state and he encouraged his colleagues to go through their budget materials line by line to identify potential cuts, advocating for an approach to slow walk into necessary financial adjustments rather than subjecting residents to immediate, sharp utility rate hikes.

Mayor Boschee said the newly seated Commission was inheriting a budget framework that staff had been developing since early spring and he emphasized the budget now belongs to the Commission and pointed out upcoming Finance Committee meetings will provide structured opportunities to refine details.

Commissioner Turnberg suggested scheduling an additional dedicated work session beyond the existing Finance Committee calendar, to thoroughly debate cuts and offer feedback.

Mayor Boschee agreed with the need for extra time, sharing his primary concern remains the burden of steep utility rate increases on residents, he said it is important to find a long-term strategy to phase in costs gradually while continuing to prioritize crucial regional infrastructure projects in water, wastewater, solid waste and the Red River Valley Water Supply Project.

Commissioner Turnberg moved the 2027 Preliminary Budget be approved and the Public Hearing scheduled for Monday, September 14, 2026 at 5:05 p.m.
Second by Peterson. On call of the roll Commissioners Turnberg, Peterson, Gullickson, Strand and Boschee voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

Ground Transportation Center Relocation Status Update: City Staff Authorized to Proceed with Actions Necessary to Relocate GTC and Municipal Court Operations:
City Administrator Michael Redlinger said work is being done to temporarily relocate Transit to the old Police building at 222 4th Street North. Transit has previously operated out of the old Public Health building when work was being done on the Transit facility, he stated, so this can be accomplished quickly and would allow time for the Transit Coordinating Committee to review how it operates today and what a modernized system would look like. There have been a few options reviewed for Municipal Court, he said; however, nothing is available. He said the team is also considering the old Commission Chambers and its attached offices and is actively resolving a few remaining obstacles.

Commissioner Peterson also suggested a few other available locations for consideration.

Commissioner Peterson moved to authorize City staff to proceed with actions necessary to relocate the Ground Transportation Center and Municipal Court operations.
Second by Gullickson. On call of the roll Commissioners Peterson, Gullickson, Strand, Turnberg and Boschee voted aye.
No Commissioner being absent and none voting nay, the motion was declared carried.

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

Public Comments:
Sheri McMahon spoke.

The meeting adjourned at 6:44 o’clock p.m.