Finance Committee Meeting – December 18, 2024

See full minutes.

A regular meeting of the Metro Flood Diversion Authority Finance Committee was held on December 18, 2024. Members present: Bernie Dardis, Mayor, City of West Fargo; Dr. Tim Mahoney, Mayor, City of Fargo; Shelly Carlson, Mayor, City of Moorhead; Dave Piepkorn, Fargo City Commissioner; Susan Thompson, Finance Director, City of Fargo; Lori Johnson, Clay County Auditor/Treasurer; Mike Redlinger, Administrator, City of Fargo; Mike Rietz, Assistant City Manager, City of Moorhead and Brandy Madrigga, Cass County Finance Director.

Member(s) absent: Rick Steen, Cass County Joint Water Resource District; Jim Kapitan, Cass County Commissioner and Tony Grindberg, Cass County Commissioner.

1. CALL TO ORDER
Mayor Dardis called the meeting to order at 4:00 PM. Roll call was taken, and a quorum was present.

2. APPROVE THE MINUTES FROM THE NOVEMBER 2024 MEETING
MOTION PASSED
Mayor Carlson moved to approve the minutes from the November 2024 meeting and Mr. Piepkorn seconded the motion. On a voice vote, the motion carried.

3. APPROVE THE ORDER OF THE AGENDA
MOTION PASSED
Mayor Carlson moved to approve the order of the agenda, amending it to remove item 7. a., Montana Dakota Utilities Extension Agreement, and Ms. Thompson seconded the motion. On a voice vote, the motion carried.

4. APPROVAL OF BILLS
Ms. Thompson reported that the bills payable through December 12, 2024, total $7,060,087, and are payable to the usual vendors, with Clay County being the largest at $4,735,292 and CCJWRD being the second largest at $1,097,283.
MOTION PASSED
Mr. Redlinger moved to approve the bills as presented and Mr. Piepkorn seconded the motion. On a voice vote, the motion carried.

5. FINANCIAL REPORT
Ms. Thompson reported the total assets as of November 30, 2024, are $283,395,680; liabilities total $299,876, and the grand total net position is $283,095,804. Ms. Thompson also noted that the November sales tax receipts are not reflected in this report.
MOTION PASSED
Mr. Piepkorn moved to approve the financial report as presented and Mr. Redlinger seconded the motion. On a voice vote, the motion carried.

6. CASH BUDGET REPORT
Mr. Barthel reported that the November sales tax receipts have not been received and noted that expenses continue to track very well. A Legacy Fund request has been submitted for $13,000,000 and the payment is in transit. FY2024 costs have not changed, and several payments have been moved to 2025. It is anticipated that the
lands budget will continue to be under the program budget and the administration budget continues to track well and remains significantly under budget.

7. MOUs AND AGREEMENTS
There were no MOUs or Agreements pending approval.

8. DA BOARD APPROVAL CONTRACTING ACTIONS
Mr. Barthel provided an overview and summary of the following contracting actions:
a. WP 38C TO 34 for OINs 856 & 1972 – Schmidt & Sons Construction, Inc., – $678,940
Task Order 34, Amendment 0 – WP38C – OIN 856 & 1972 – Property Structure Mitigation – Perform structural demolition and/or removal services of residential, commercial and agricultural structures, including but not limited to houses, out buildings such as barns, silos, garages and workshops and other components as identified in the site plans.

b. Neon Loon MSA, Amendment 1 – Neon Loon Communications, LLC – $0
Master Services Agreement, Amendment 1 – Communication Consulting Services – This amendment extends the Master Services Agreement 3 years to December 31, 2027.

c. Flint Communications Service Agreement – Amendment 3 – $5,000
Services Agreement, Amendment 3 – Consulting Services – Extending the period of performance to December 31, 2025, and add budget for Muck Rack reporting services.

d. GA Group Service Agreement Amendment 4 – GA Group, Inc., – $24,000
Services Agreement, Amendment 4 – Consulting Services – Adds budget for January 1, 2025, to June 30, 2025. Also extends the period of performance to June 30, 2025.

e. TF Powers WP 38C New Master Agreement for Construction Services – TF Powers Construction – $0
New Master Agreement for Construction Services (MACS) – WP38C Property Mitigation On-Call Services – The agreement will mitigate property structure in the Upstream Mitigation Area as part of the overall delivery. The MACS contract will speed up the property handover process to the Contractor, reduces
project completion time, and eliminates the need for external bidding for future work packages. The MACS will remain in effect for approximately 2 years and 6 months from the effective date through June 30, 2027.

f. Park Construction WP 38C Master Agreement for Construction Services – Park Construction – $0
New Master Agreement for Construction Services (MACS) – WP38C Property Mitigation On-Call Services – The agreement will mitigate property structure in the Upstream Mitigation Area as part of the overall delivery. The MACS contract will speed up the property handover process to the Contractor, reduces
project completion time, and eliminates the need for external bidding for future work packages. The MACS will remain in effect for approximately 2 years and 6 months from the effective date through June 30, 2027.

g. PWS, Inc., WP 38C Master Agreement for Construction Services – PWS, Inc. – $0
New Master Agreement for Construction Services (MACS) – WP38C Property Mitigation On-Call Services The agreement will mitigate property structure in the Upstream Mitigation Area as part of the overall delivery. The MACS contract will speed up the property handover process to the Contractor, reduces project completion time, and eliminates the need for external bidding for future work packages. The MACS will remain in effect for approximately 2 years and 6 months from the effective date through June 30, 2027.

h. Linn Company WP 38C Master Agreement for Construction Services – LinnCo., Inc. – $0
New Master Agreement for Construction Services (MACS) – WP38C Property Mitigation On-Call Services – The agreement will mitigate property structure in the Upstream Mitigation Area as part of the overall delivery. The MACS contract will speed up the property handover process to the Contractor, reduces
project completion time, and eliminates the need for external bidding for future work packages. The MACS will remain in effect for approximately 2 years and 6 months from the effective date through June 30, 2027.

MOTION PASSED
Mr. Piepkorn moved to approve all the contracting actions as presented and Mayor Carlson seconded the motion. On a roll call vote, the motion carried.

9. OTHER BUSINESS
a. Third Draft of the 2025 Cash Budget
Mr. Barthel reported that dialogue continues, and research is still ongoing to finalize the Legacy Fund dollars in the next version. It is anticipated that the final will be presented at the January 2025 meeting. Mr. Barthel also noted that an additional $2,000,000 will be added to the milestone payments as carryover from 2024. There will also be an additional $5,000,000 added to lands but this is still within the program budget. The total 2025 cash budget is $421,172,019.

b. 2025 MFDA Contract Rates
Mr. Barthel presented the list of contract rates addressing the lengthy report and numerous categories. It was noted that there hasn’t been much consistency in rate increases over the last five years. Mr. Barthel asked the committee members to review the report and reach out to him with any questions.

10. NEXT MEETING
The next meeting will be January 22, 2025.

11. ADJOURNMENT
The meeting adjourned at 4:34 PM.