Finance Committee Meeting Minutes – March 24, 2021

Metro Flood Diversion Authority Finance Committee Meeting

Minutes from March 24, 2021

Metro Flood Diversion Authority Finance Committee Special Meeting Minutes

A virtual meeting of the Metro Flood Diversion Authority Finance Committee was held on March 24, 2021. The following members were present: Bernie Dardis, Mayor, City of West Fargo; Dr. Tim Mahoney, Mayor, City of Fargo; Chad Peterson, Cass County Commissioner; Chuck Hendrickson, Moorhead City Council; Kent Costin; City of Fargo Finance Director; Mike Montplaisir, Cass County Auditor; Mike Redlinger, City of Fargo Assistant Administrator and Rick Steen, Cass County Commissioner.

Members absent: Dan Jacobson, Chairman, Cass County Joint Water Resource District; Lori Johnson, Clay County Auditor/Treasurer; Tony Gehrig, Fargo City Commissioner and Karla McCall, City of Moorhead Finance Director.

1.CALL TO ORDER
Mayor Dardis called the meeting to order at 4:03 PM. Roll call was taken, and a quorum was present.

2. APPROVE MINUTES FROM FEBRUARY 24, 2021 MEETING

                  MOTION PASSED

Dr. Mahoney moved to approve the minutes from February 24, 2021 amended as follows, and Mr. Steen seconded the motion. On a roll call vote, the motion carried.

Dr. Mahoney noted his concern regarding utilizing a firm from Edina, Minnesota, and the fact that they don’t understand North Dakota legislative issues. He stated that when/if the legislative bodies find out that we are utilizing a consultant from Iceland, it will not be well received. The local people will remember that this situation was not handled well.

Mr. Paulsen indicated to Dr. Mahoney that yes, he understands the local perspective and there is no plan to put this in front of the legislatures. Mayor Dardis also reminded members that Governor Walz specifically referenced local as being within 400 miles.  Dr. Mahoney noted that this was a requirement inserted into the P3 documents but not a Diversion Board of Authority Policy.

 3. APPROVE ORDER OF AGENDA

                  MOTION PASSED

Mr. Steen moved and Mr. Hendrickson seconded to approve the order of the agenda as presented. On a roll call vote, the motion carried.

 4. APPROVAL OF BILLS

Mr. Costin reported that $1,492,343.53 are the bills through March 17, 2021. The majority of them are payable to stakeholders.

                 MOTION PASSED

Mr. Steen moved to approve the bills as presented by Mr. Costin and Mr. Hendrickson seconded the motion. On a roll call vote, the motion carried.

5. FINANCIAL REPORT
Mr. Costin reported that $8,513,628 has been expended to date for a cumulative total of $650,644,061. We currently have a net position of $101,531,251.

              MOTION PASSED

On a roll call vote, the motion carried.

6. EXECUTIVE DIRECTOR FINANCIAL REPORT

Mr. Paulsen stated that $650 million has been spent to date as anticipated, with the majority of the expenditures going to land acquisitions and engineering and design.

Mr. Paulsen reported on the program dashboard that was created by the Jacobs and the city. Mr. Barthel explained the content and purpose and stated that it will be transparent.  It is a tool that tracks spending/financial tracking and can be used by members at any time. The dashboard will be updated at the end of every month.

Mr. Steen thanked those involved and indicated that the dashboard accomplished the objective.

7. CONTRACTING ACTIONS

Mr. Paulsen reported on the following executive director approved contracting actions.

  • Task Order 1, Amendment 2 – Consulting Services – Remove $25,000 from sub-task 02 MOU Support and add to sub-task 01 P3 Procurement Support AE2S $0
  • Task Order 23, Amendment 5 – WP53 SDB/SDC – Extends POP to December 31, 2021 and incorporates 2021 rates Houston Moore Group $0
  • Task Order 28, Amendment 3 – Boundary Surveying Services – Extends POP to December 31, 2021 and incorporates 2021 rates Houston Moore Group $0
  • Task Order 29, Amendment 4 – Third Party Work Compliance Observation – Extends POP to December 31, 2021 and incorporates 2021 rates Houston Moore Group $0 Task Order 30, Amendment 7 – Property Structure Mitigation – Design, Bidding, and Services During Construction – Additional Demo Packages for WP-50E reduces budget for WP-50C and additional budget for WP50D and incorporates 2021 rates Houston Moore Group $44,454
  • Task Order 31, Amendment 1 – Permit Compliance – Extends POP to December 31, 2021 and incorporates 2021 rates Houston Moore Group $0
  • Task Order 1, Amendment 1 – Consulting Services – Basic Consulting Services and Travel Expenses Program Advisor Services, LLC $175,000
  • Task Order 2, Amendment 3 – Transfer Budget from On-Call Services task to Phase I Cultural Investigations AECOM $0

There were no contracting actions to report for MCCJPA.

Mr. Paulsen reported the following approved contracting actions for CCJWRD.

  • Task Order 1, Amendment 4 – Appraisal Services – Add Budget for Appraisal Report needed for item 10 Patchin $3,500
  • Task Order 2, Amendment 5 – Appraisal Services – Add Budget for item 16 due to a revised scope of appraisal work – Removes appraisal report and associated budget needed for item 18-19 due to RRCS ROW adjustments – Extends POP to 2/28/2022 Patchin $0
  • Task Order 3, Amendment 2 – Appraisal Services – Adds budget for Land Appraisal requested by legal team, Extend POP to 3/31/2022 Patchin $3,500
  • Task Order 4, Amendment 2 – Appraisal Services – Adds budget for appraisal addendum for 9 property owners to accommodate Drain 27 project request ROW – Adds budget to split OIN 213 & 214 appraisal because they are separate entities – Extends POP to 9/30/2022 Patchin $8,750
  • Task Order 3, Amendment 2 – Appraisal Services – Add budget for appraisal addendum for one property owner to accommodate the Drain 27 project requested ROW Integra Realty Resources $3,000
  • Task Order 4, Amendment 1 – Appraisal Services – Add budget for appraisal report needed for item 7 Crown Appraisals Inc $4,750

Mr. Steen inquired if we are on track in Minnesota because there are very few transactions. Mr. Paulsen stated that we are on schedule and have primarily been using consultant services. Mr. Dodds also indicated that there are four properties in Minnesota that are being impacted by the Red River Structure project and are currently in negotiations.

8. OTHER BUSINESS

DA Board Approval MOU and Agreement Actions

Mr. Shockley walked through the MOUs with Xcel Energy and Wiser Township.

                   MOTION PASSED

Dr. Mahoney made a motion to approve the two MOUs as presented by Mr. Shockley and Mr. Steen seconded the motion. On a roll call vote, the motion carried.

 Policy on Disposition and Management of Comprehensive Project Lands

Mr. Nicholson indicated that the Lands committee approved the revised draft of the policy and recommended it go to the MFDA Board of Authority for approval.

Dr. Mahoney asked why Finance has to approve if it has already been approved by Lands. Mr. Shockley indicated that it is a fiscal policy regarding the disposal of land and lands are large assets.

                 MOTION PASSED

Mr. Steen moved to approve the policy as revised and updated and Mr. Peterson seconded the motion. On a roll call vote, the motion carried.

Property Acquisition Report

Mr. Dodds reported that 550 properties have been acquired as of March 16, 2021 and we are initiating the LRED process on a handful of properties.

There are flowage easement appraisals underway on 470 parcels and 169 properties are currently in negotiations for environmental monitoring easements.

Updated MFDA Org Chart

Mr. Paulsen indicated that the org chart was updated to reflect current email addresses.

9.NEXT MEETING
The next meeting will be April 21, 2021.

10. ADJOURNMENT

                 MOTION PASSED

Mr. Peterson moved and Mr. Steen seconded to adjourn the meeting

Meeting adjourned at 4:50 PM.