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City of Forman, North Dakota

Regular City Council Meeting

May 7, 2012

The Forman City Council met at 5:00 PM.  Present were Mayor Mark Bopp, council members, Dave Jacobson, Jason Rockswold, Sue Kleingarn and Mary Bishoff.  Also attending were Mary Ann Gadberry, Trish Pearson, and Al and Debbie Carton.

A motion was made to approve the minutes from the April 2, 2012 Tax Equalization meeting and the City Council meeting (Dave Jacobson, Jason Rockswold, passed).

A motion was made to approve the preliminary April financial statements (Mary Bishoff, Sue Kleingarn, passed).

A motion was made to approve the bills (Dave Jacobson, Sue Kleingarn, passed).

The water heater we recently installed at the library blew up.  The element rusted out and blew a hole through the side.  We will need to replace it.  Mark will check with Martinsen’s to see if they stock the 5-gallon heaters.

We had received a check from Full Circle Ag with a letter stating that matching funds would be coming from Land O’ Lakes for a wooden playground train.  They had indicated that they were working with the Park Board.  However, several Park Board members were present and new nothing about the project.  After a few phone calls it was determined that the project is actually with the Sargent Central Playground Committee.  They said they would pick up the paperwork and contact Full Circle to get things straightened out.

Park Board members Brenda Peterson, Donavan Hajek, and Mark Hansen were present to discuss the sales tax revenue received from the city.  We clarified that they will continue to receive the sales tax revenue through the end of 2013.  They updated the council on some of the projects they are working on and future plans.  They also asked that we verify the age requirement for summer employees who may run the riding lawnmower.  Trish will check on this.

Joe Aberle completed his inspections of the abandoned and dilapidated homes in the city.  We will set up a meeting with Lyle to send out the required certified letters notifying the homeowners of the work that needs to be completed.

Most of the dead trees in the city have been removed.  There are still a couple that have power line issues and we will reassess the situation once the trees have finished leafing out this spring.

The Drain #4 sewer project is substantially complete.  Crews were in town, repacked the gravel road on the north end of town and brought in additional gravel.  The seeding is done.  There are two patches of paving that need to be done but that won’t happen until late fall or maybe next spring.  We still have not received any reimbursement funds from the state.  Moore Engineering will try to move that process along.

Moore Engineering has continued to pursue the hazard mitigation grant Lake Agassiz wrote for us even though the grant has been twice denied.  Mark will check into it.

While researching information for some issues with the Drain #4 project we came across a contract with Rick Hoistad for farming approximately 15 acres of city property that had expired some time ago.  A motion was made to send a new 3-year contract to Rick Hoistad for land rent at $90 per acre.  (Sue Kleingarn, Mary Bishoff, passed).

Jason gave an update on the RayMac improvements.  We are still waiting for some details on the bids we got.  The city will need to replace the roof and will be getting estimates for that work.  We may be able to work something out with FCDC on the addition they want for the building.  We will need to revisit the rent if we fund the building improvements.

Motion to approve the raffle permit for Coyote Youth Soccer (Dave Jacobson, Jason Rockswold, passed)

Motion to approve the building permit for Rick Hoistad’s machine shed (Jason Rockswold, Sue Kleingarn, passed).

Daryl Peterson is having a problem with the driveway paving that was done when the city repaved the road.  It was not done properly and it has broken apart.  He is working with the contractor but may need the city to step in.

FCDC is looking at bidding on the Anna Martin property and has asked if the city would assist them with debris removal if they acquired it.  The council said that would not be a problem.

Trish thanked the Mayor and Council for allowing her the flexibility in her schedule through Marvin’s illness and death.

The next meeting will be on June 4, 2012 at 5:00 PM.

Meeting adjourned at 7:00 PM.

Measure No. 2 Q & A

Understand Measure 2 Before You Vote On June 12, 2012

What is Measure No. 2?

It’s a proposal to amend the North Dakota Constitution to prohibit political subdivisions (cities, counties, school districts, townships, park districts, water districts, irrigation districts, fire protection districts, soil conservation districts, etc.) from levying a tax on the assessed value of property. The proposal will be on the primary election ballot on June 12.

If local services are now funded by property tax, how would those local services be funded in the future?

The measure provides that “taxes upon real property which were used before 2012 to fund the operations” of political subdivisions must be replaced by state resources.

 The measure says taxes on real property used before 2012 to fund operations must be replaced by state resources; does that mean the state-replaced revenue would be frozen at 2011 levels?

The measure requires funding to be determined “according to a formula devised by the legislative assembly.”

 Would all local operations be required to be funded?

The measure’s language requires funding of “legally imposed obligations” of political subdivisions.

 How are “legally imposed obligations” defined?

The proposed measure does not define this term, nor does state law define this term for political subdivisions.

 Would police and fire protection be considered “legally imposed obligations”?

There is no legal requirement in state law to provide police and fire protection.

 Would local control of local budgets be affected?

Funding for the political subdivisions would be determined “according to a formula devised by the legislative assembly.”

 Would the measure affect special assessments?

Special assessments are based on the benefit to property, not based on the value of property. However, the method of collecting (currently through property tax statements issued by the county) and the method of enforcing (currently through a sale conducted by the county for delinquent taxes) could be affected.

 Would the measure affect the limit of public debt?

Currently in state law, the debt limit is five percent of “assessed value of the taxable property.” The measure would change the debt limit to five percent of “the market value of the property.” The public debt limit would increase significantly and market value would have to be determined on all property, including churches, personal property and other property not currently taxed.

 When would the proposed measure become effective?

The effective date is January 1, 2012.

 If the effective date is January 1, 2012, how would political subdivisions fund local services before the 2013 Legislative Assembly meets?

Either the legislature will have to meet in special session, or the method of funding would be unknown after June 12. The measure specifies funding “according to a formula devised by the legislative assembly”.

  North Dakota League of Cities n 410 E Front Ave n Bismarck ND 58504 n 701-223-3518 n www.ndlc.org