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PROCEEDINGS OF THE CITY COUNCIL
OF THE CITY OF GRAND FORKS, NORTH DAKOTA
Monday, March 23, 1998

The city council of the city of Grand Forks, North Dakota met in special session in the council chambers in the City Hall on Monday, March 23, 1998 at 12:00 noon with Mayor Owens presiding, pursuant to call by Mayor Owens, which was served on all members of the council on March 20, 1998: Document No. 7465 - Notice.

Present at roll call were Council Members Beach, Polovitz, Lucke, Hamerlik, Bouley, Glassheim, Carpenter, Klave, Babinchak, Bakken, Hafner, Hagness - 12; absent: Council Members Sande, Beyer - 2.

DEFEAT MOTION TO ALLOCATE CDBG FUNDING FOR
SUPPORT FOR NORTHEAST HUMAN SERVICES RELOCATION

The Flood Response Committee reported having considered the matter of Northeast Human Services relocation, and recommended to allocate $700,000 from the cost matrix of CDBG funds toward the cost of Northeast Human Services Building.

It was moved by Council Member Glassheim and seconded by Council Member Bakken that this recommendation be and is hereby approved.

Dr. Ken Svedjan, District 17 representative, made some observations regarding this issue, that he understood that the intent of the committee is to grant $700,000 toward the cost of the relocation of Northeast Human Services, and that this be looked at through the "eyes of the legislature"; that this would be a negative impact if this grant were made and need to carry forward into the next phase; that Governor Schafer said the State would pay 50% of share of the cost of the dike, but to approve $700,000 for co-locating a state agency council would be sending a message that we're using monies in an unprioritized way. He stated that there are more pressing needs in Grand Forks, and another issue is if the City is asking delegation to allow excess sales tax targeted back into Grand Forks to offset local share expenses would also have a negative impact and need to prioritize for best benefits to help community as a whole. He stated he served on the appropriations committee which is examining how we can better get "our arms around" the whole issue of human services. He stated they have undertaken a study to see how to get better and smarter at delivery to become more efficient; that at this time the grant doesn't make sense and have to prioritize for the best benefits to city of Grand Forks.

Council Member Beach stated that during informal discussion it was felt that this was a small for toward the State. Dr. Svedjan stated that unless it can be demonstrated it is essential to move, the message we’re sending is that we are spending federal dollars where we don’t have to; and that $700,000 could also help the State if it was used to offset the dike alignment. It was noted that after the flood the County planned to build a building to replace lost office space and Governor Schaefer’s Office contacted them and suggested considering co-locating human services with this facility and a plan was developed. It was also stated that relocation would help with transportation problems.

The matter of the $700,000 in funding was discussed; and Mr. Malm, Grand Forks County Commissioner, stated that without the funding and if Northeast Services doesn’t come in, it will break the project; that the two floors used by Northeast would be paid for through revenue bonds and rents used to repay bonds. It was also noted that general obligation bonds couldn’t be issued.

John O’Leary, Urban Development, spoke in support of the project as a way to help rejuvenate downtown tax base, and that this is a flood issue.

Council Members Hafner and Hagness called for the question, which was defeated and discussion continued.

The following individuals spoke relative to this matter:
Scott Hennen, 3720 Cherry Street, suggested that the matter should be postponed.
Bob Peterson, HEMMP Centre, spoke against the project.
Connie Tripplett, County Commissioner, asked that the city council vote on the matter so that it is resolved, that project should stand on its own merit and not be based on politics and that the Governor’s Office saw this as a way to use the rent from Northeast to put back in area that could be used for economic development. She stated they actually need $1.8 million, but could live with $700,000.

Council Members Babinchak and Hagness called for the question, and upon roll call vote the following voted “aye”: Council Members Beach, Polovitz, Glassheim, Bakken, Hagness - 5; voting “nay”: Council Members Lucke, Hamerlik, Bouley, Carpenter, Klave, Babinchak, Hafner - 7. Mayor Owens declared the motion defeated.

APPROVE HIRING OF SHANNON & WILSON TO DO
INDEPENDENT STUDY OF FLOOD PROTECTION

The Flood Response Committee reported having considered the matter of hiring of independent firm, Shannon & Wilson, geotechnical engineer to do an independent study of flood protection, and recommended approval of hiring the firm of Shannon & Wilson for an independent study to include the entire city and to come back before committee with figures on cost.

It was moved by Council Member Polovitz and seconded by Council Member Carpenter that this recommendation be and is hereby approved.

Council Member Hagness moved to approve up to $40,000 for the study, and that Council Member Bouley be appointed to the team to work with this independent study; Council Member Hafner seconded the motion.

Council Member Carpenter questioned if this amendment would include the entire city; Mr. Vein stated that it wouldn’t be possible in the time frame to do the whole city, and will look at primary areas, and that there will be additional costs beyond what is shown here, and recommended holding Shannon & Wilson to that amount and any changes be brought back with modifications. It was also noted that other costs associated with City staff would be handled administratively; Council Member Hagness amended his motion not to exceed $34,740 and handle City expenses administratively.. Mr. Vein stated that areas that would be done include Riverside, South 3rd Street from Gertrude, Reeves and Northridge Hills.

Upon call for the question on the amendment to the motion, and upon voice vote, the motion carried.

Upon call for the question on the motion as amended, and upon roll call vote, the following voted “aye”: Council Members Beach, Polovitz, Lucke, Hamerlik, Bouley, Glassheim, Carpenter, Klave, Babinchak, Bakken, Hafner, Hagness - 12; voting “nay”: none. Mayor Owens declared the motion carried.

ADJOURN

It was moved by Council Member Hagness and seconded by Council Member Hamerlik that we do now adjourn. Carried 12 votes affirmative.

Respectfully submitted,



John M. Schmisek
City Auditor

Approved:
____________________________________________
Patricia A. Owens, Mayor