00:00:09,700	I know that’s okay. You don’t have to. Good evening and welcome. Today is August 4th, 2026. We are in the Ed Bosh Froehlich meeting room at Mandan City Hall. It is 5:30. Mr. Neubauer, could you please call the roll? Commissioner Braun? Yes. Belohlavek. Yes. Sjoberg. Heinsohn here. Mayor Froelich.

00:00:33,500	Here. At this time, we will have Logan Weigel approach the podium. He is the assistant. It. And he will lead us in the Pledge of Allegiance. I pledge allegiance to the flag of the United States of America, and to the Republic for which it stands. One nation under God, indivisible for liberty and justice for all.

00:01:07,330	Thank you. Logan. At this time, we will start out with announcements and construction project updates. Jarek mayor and commissioners, good evening. We have some familiar faces for project updates tonight. I’ll start off with Memorial Highway. The east half of Memorial Highway is very close to being complete. Um, there are for final walkthroughs.

00:01:31,370	We completed the surface improvement walkthrough last week with the dot and the contractor and the underground improvement walkthrough is scheduled for tomorrow. Um, final punch list items are going to be developed, and then the contractor will continue working on completing those over the next few weeks or months.

00:01:52,230	Um, just kind of a note surface level improvement, uh, last week included a haul road inspection where we compared, um, uh, haul road conditions after the project, uh, to how they were before the project. Um, on the screen here, we have just a segment that was mutually identified by the contractor, the Dot, and us as a segment that needs repairs as a result of the project.

00:02:14,630	There are a few more other kind of high profile areas along 19th and along 40th that were also set for repairs. Um, so we should be made whole at the end of this project. Can you explain how that works? That.

00:02:34,370	Who pays for it? The the contractor will be doing this as a part of of the overall project. So it is included in the cost of the project. This is this is common whenever a road, an ancillary road gets beat up due to the construction project. Yes. It gets repaired. Yep. Restored. Restored as much as you can. Or restored to a reasonable level.

00:02:56,770	Um, so that, uh, you know, you’re made whole again after the project? Yep. Um, for the west half, uh, Northern Improvement is getting started and getting going. I guess they’ve been getting started for a while. Uh, the two eastbound concrete lanes are completed from Main Street to the floodwall.

00:03:16,030	And then paving preparation is, uh, following storm sewer installation on the rest of the segment. That is, uh, kind of torn up right now. On third Street, there’s traffic control up, but third is going to remain open. Um, during the construction project, there’s a crane set up. Uh, kind of.

00:03:37,400	Stage two, construct a cofferdam, um, associated with the outlet structure for 72 inch RCP storm sewer. And then there’s also some sanitary force main crossings that will be completed ahead of the storm sewer installation. So we have a lot of a lot of work going on crossing third Street.

00:03:59,830	But, um, people should expect to be mostly unaffected or similar to to how it is, uh, set up right now. How would you characterize their progress? Derrick? I feel like Northern Improvement has been on top of it, and they’ve been, uh, very they’ve been very flexible with their schedule and they’ve been very, um, every time that they’ve said that they’re going to do something, they do it in

00:04:20,100	the time that they say they’re going to do it. So would you say they’re ahead of schedule? I would I would say that they’re ahead of schedule, but I would have to confirm that with people. Uh, keeping track of that more closely. Okay. Thank you. Derrick. Yes.

00:04:39,430	Will this portion of Memorial Highway be one lane traffic all winter, like last year at the east end, or will they be opening it up both directions? Um, could you maybe clarify that one one lane of traffic. So last winter, the east end of Memorial Highway was, uh, not two lanes, both directions. It was one lane, both directions for most of the winter. Okay.

00:05:01,230	Uh, they had half the highway closed. Right? Okay. Yes. Um, for the most part, the the contractor, their, uh, phasing plan would include one lane in each direction with the center turn lane. That is what they’re required to provide during the the length of construction.

00:05:26,800	And do we have a date of, uh, when the construction season ends? Um, mayor, commissioners, I would have to look at what that date is. I’m certain that we have we have multiple interim completion dates associated with the West Half project. I would have to get the specifics for that.

00:05:43,130	But as far as when we can expect the contractor to fully pull out, I think that would be completely dependent on whether they’d work as long as they could into November. Likely. But we can probably have from this point, expect, uh, 75 more days. Yes, I would. Say that’s. Are they working Saturday and Sundays? Uh, mayor, I would have to check in on that.

00:06:05,300	I believe Saturdays, Sundays are available, uh, at if the contractor requests it. So it’s not automatic, but they may be working some Sundays too. Okay. Um, for our first street reconstruction, uh, phase this week, there’s a sidewalk and parking lane construction going on in phase one, shown in red here. Phase two, we have curb and gutter and sidewalks being installed. Installed.

00:06:26,770	Uh, and then phase three, we have concrete removals and storm sewer installation. Phase three is off the map shown in orange right here. Upcoming. Uh, we are expecting, uh, phase three to be prepped for curb and gutter and roadway paving.

00:06:47,430	So, um, the contractor has been closing up phases one and two has, uh, started preparing for opening up phase three, and then, um, sequencing. Note the contractor is preferring to move on to phase five next, and then phase four lastly. So that would be.

00:07:15,770	How would you assess this progress? Um, mayor, uh, in talking with our consultant engineer, Clay, they believe that the contractor is on is is making progress and is on schedule. Um, some of the slow kind of, uh, perceived slow, uh, work on phases one or phase one specifically is related to a lot of underground utility conflicts, as well as complications. Um, at the sixth Avenue Northwest tie in.

00:07:42,970	Uh, but as they move to the east, those should become less prevalent. Um, water and Sewer District 65. This is up by Lewis and Clark Elementary. This project is substantially complete. We had a walk through with the contractor and our consultants this afternoon. Um, punch list items are being developed and will be completed by the contractor over the next few months.

00:08:09,200	Uh, Street Improvement District 241. This is up by Red Trail Elementary. They are currently active with asphalt paving operations. Impala Corvette and 47th were completed today. The base lift. I wrote life right there. Base lift is complete on 37th Avenue and 30th Avenue.

00:08:28,130	Lewis Road, Clark Place and 40th are being prepped for paving and should be. And the paving should be completed very soon. Um, also associated with this project, there will be a minor concrete repair on old Red trail, and we are expecting traffic control to get put up tomorrow, Wednesday, August 5th, and we are estimating that traffic

00:08:47,030	control to be pulled on August 10th. Um, so just something to be aware of. I believe our communications department has got this out on social media, but just so everybody’s aware, spread the word. If you can.

00:09:04,230	And then as always, we have, um, a lot of other projects going on in town and we try to keep our project websites up to date. Um, are there any questions that you have for me specifically? Is the Do Water tower complete? New water tower is complete. They are working through closing out specific portions of that contract.

00:09:23,300	Um, and then there is some additional site grading that is needing to be done. So we will have probably a couple a, a group of changes coming before the commission. Um, sometime soon to kind of, uh, uh, put away that that project. And 14th Avenue Collins, the break.

00:09:45,800	Where are we sitting with that? The break was repaired and the area was in the 14th was opened back up recently. Um, we still do have it operating under two lane traffic. We do want to get, uh, our traffic cameras back out there to get representative traffic information related to the current configuration.

00:10:09,230	Um, but, uh, no major decisions or no no changes, really, since the last time we talked about the traffic. Uh, traffic setup. Okay. Any other questions for Jarek. The mayor? And just a quick question. Question on the east side, I should say. Um, just thought about this is really ahead of schedule on the East side.

00:10:30,030	Or were they anticipated to be done at this point? It feels early in the summer still. Mayor, Commissioner Heinsohn they were expected to be done at this point. So. Okay. Um, I would say that they they feel like they’re ahead of schedule because they did so much work in 2026.

00:10:48,700	Much more work in 2026 than they were expected to do. They thought they would get more done in 2025, and then they made up a lot of ground this year. They said, thank you. Thank you. Jared. Grill with cop Chief Ziegler. Good evening, Mr. Mayor and commissioners.

00:11:11,700	Um, coming up next week, uh, on the 13th of August is our ninth annual grill with a cop down at Eagle Park up on the north end of Mandan. Uh, I want to thank two big sponsors, which the American Legion, which on tonight is a budget amendment, uh, for $1,000 for this event.

00:11:30,900	So that’ll be more than enough money to cover all the ancillary stuff from chips and things like that for the citizens and Pepsi. They donate the drinks every single year. So I want to thank those two for stepping up. Um, also, everything there is free Jerry snow cones coming back.

00:11:49,700	Uh, for snow cones, for people waiting for brats and hot dogs and hamburgers. Uh, Bismarck PD is jumping in Morton County Highway patrol. Metro ambulance. Um, we’ll have a K-9 demo. Drones will be flying around. Uh, squad cars, motorcycles side by side.

00:12:07,530	And our new electric bikes will be out there. Um, we also are going to add, along with the face painting this year, a kid ID kit. So where you can bring your child and they can do their fingerprints and they can attach their picture, and then they seal it up and you keep that.

00:12:26,570	So, uh, the, uh, National Center of Missing Children has donated those to us. So those kits will be available there. So come down from 530 to 730. Enjoy. Uh, some free hot dogs, hamburgers or brats? I get there before Neubauer does because he takes 2 or 3 of them in one turn. So. But, uh. Yeah, come on down and say hi.

00:12:45,600	Okay. So August 13th, 530 to 730 at Eagles Park on North Collins. Correct? Okay. Very good. Thank you, Mr. Neubauer. Any public comments? No, sir. Okay. We will move on to approval of the agenda of all commissioners. You’ve had a chance to look at it, entertain a motion to approve. I’ll move to approve tonight’s agenda as presented.

00:13:16,070	Second. A motion by Commissioner Heinsohn on a second by Commissioner Braun. Any further discussion? Hearing none. Roll call, please. Commissioners Belohlavek. Yes. Heinsohn. Yes. Braun. Yes, Mayor Froelich. Yes. Agenda is approved. We’ll move on to the minutes. Consider approval of the July 21st, 2026 Board of City Commission meeting minutes.

00:13:37,400	I’ll move to approve the July 21st, 2026 Board of Commission meeting. Minutes. Second. We have a motion by Commissioner Belohlavek. Second, by Commissioner Braun. Any further discussion? Hearing none. Roll call. Commissioners. Heinsohn. Yes. Braun. Yes. Belohlavek. Yes. Mayor Froelich. Yes. We will now move on to public hearings. We’ll start off with Jordan. Good evening. Mayor. Commissioners. Uh.

00:14:03,030	Just a quick announcement for public hearings. I know the planning department head had noticed, uh, the public hearing for the land use code for this evening.

00:14:21,230	And that public hearing is getting moved to the August 18th um, city commission meeting, and that has been noticed, but we’ll have no public hearing and no, um, no action or anything taken on that tonight. Um, but yeah, that was all moved. And this is this is the land use code update that was approved by P and Z for the July 27th meeting. This does not include the data center piece.

00:14:40,970	So this is just the piece that P and Z approved at their last meeting. That will be, um, heard at the next city commission. So just wanted to give you that announcement. Thank you. Okay. Thank you Jordan. We’ll move on to item number one. Consider the insufficiency of protests for Street Improvement District 244. That’s eighth and 27th. Phase two Jarek.

00:15:01,300	Mayor and commissioners, I do have a map pulled up here. Um, from June 27th to July 27th, we had a protest period for our eighth and 27th, uh, reconstruction project. This is a reconstruction project that has about $4 million of federal funds associated with it.

00:15:20,970	Um, for the construction of eighth and 27th. Um, also included in this district will be, um, improvements along the streets and avenues in the highlighted area. Um, we received a 1.1% protest rate, only receiving one letter from a property owner that owned multiple properties. Um, it’s our recommendation to, um, determine this protest rate to be insufficient.

00:15:51,670	Um, as and I can try and answer any questions ahead of the public hearing, if you have any. For me. Any questions for Jarek? You said you’re going to be doing some maintenance on the side roads that aren’t shown on that map.

00:16:07,230	What are you planning on doing with those? Um, mayor, Commissioner Belohlavek, the the scope that we have right now is, for chip seal patching and then addressing some drainage problems. As we see it, the roads in the area are in pretty good condition and it would just be minimal maintenance. Uh, hoping to keep them in good condition.

00:16:26,700	And when you sent out the, uh, letters notifying the homeowners, was that cost calculated into this project? Mayor? Commissioner. Yes, it was. Any other questions for Jarek? Hearing none. Okay. Thank you. At this time, we will open the public hearing. Any comments on this project? First call. Second. Third and final call. Hearing none. The public hearing is closed. Commissioners, move on to resolution and ordinances.

00:17:06,230	And we will consider the introduction and first consideration. Call for public. Right. Wrong. One. Consider a resolution in determining the insufficiency of protest for street Improvement District 244. That’s eighth and 27th. Derek, did you want to? Um, nothing too much more to add here.

00:17:33,530	Um, we do have a in a an estimated schedule included in the packet for everybody’s information. Um, we would expect, uh, if it was found to be insufficient, we would expect to amend our agreement with more engineering at a future meeting to a complete design.

00:17:55,830	And then we are expecting the bidding process to, uh, to happen in November of this year for construction next year. Okay. Commissioners, what are your wishes? I’ll move to approve the resolutions determining insufficiency of protests. I will second that. Motion by Commissioner Heinsohn. Second by Commissioner Belohlavek. Any further discussion? Hearing none. Roll call. Mr. Neubauer. Commissioners. Heinsohn. Yes. Braun. Yes. Belohlavek. Yes. Mayor. Mayor Froelich. Yes. Let’s see. where I at here.

00:18:28,570	We’ll move on to the consent agenda. Are there any items you would like removed? Commissioners? If not, I’ll entertain a motion to approve the consent agenda. I’ll make a motion to approve the consent agenda. Second motion by Commissioner Belohlavek. Second by Commissioner Heinsohn. Any further discussion? Hearing none. Roll call. Commissioners. Braun. Yes. Belohlavek. Yes. Hi, John. Yes.

00:19:00,070	Mayor. Mayor Froelich. Yes. There is no old business. We’ll move on to new business. Consider a request for a special use permit for multi-use shops. For lot 35, block one, Marina Bay edition Jordan. Good evening. Mayor.

00:19:19,900	Commissioners, before you use a special use permit for, as you said, the multi use shops down on the screen. I have pulled up the location of this which I think most people would consider the parking lot or next to the Broken Oar, but the area in section we’re talking about is to the north of that.

00:19:39,170	And this uh, highlighted area right here where a lot of the boat trailers are sitting. Um, this this is for personal use. Shops. Um, or as a lot of people call them, shop condos. This this property is zoned CC light commercial, light industrial and is also within the Gateway Overlay District.

00:20:02,370	Um, the applicant came to our architectural review board, I think, this last week, and we discussed that meeting. All of those, um, gateway overlay district pieces that are required for the property. It’s, um, going to be used for storage of these things for indoor. There will be 34 condominium lots for personal use.

00:20:29,200	Um, with the applicant stating that these are not for commercial use. So no businesses or anything like that would be able to be run out of these specific buildings. They would also not require off street parking spaces because we don’t have businesses running this.

00:20:56,230	The the buffer would be on the east side and the kind of the west side meeting that with their, um, proposed landscape plan that they had, which was once again discussed on the meeting of the 28th of July. We could could you bring up the map again? Yeah. And point all that out? Yep.

00:21:17,030	So on the east side of this property, which runs along the, um, right of way for the dot, it would be along this this line right here. Um, and the edge of the property is about right where? Somewhere in here. Something like that. And also on this side we have a buffer as well for anything between a commercial and then obviously on the west side we have residential lots.

00:21:42,100	And um, next to the road on the north side, I think I can pull up as well. The what they look like. Um, so. Which lot are the condos going in. Would be all of right here. This whole section, there’s four different buildings. I’ll pull them up here in a second.

00:22:10,630	Um, they they also have been made aware and was discussed at the P and Z meeting. The drainage issues from property affecting neighbors. Um, the letters were in your packet for those concerns. Access to the site would continue from 29th Street Southeast and continue through rerouting a portion of that to, um, access the Broken Oar Bar, and then just on the east side.

00:22:38,470	Parks has requested some stuff on, uh, landscaping. We’ve there’s an issue with, um, just in the dot right of way with a fence. So we’re hoping to get that fixed and, um, have their future use for, I think, trail use. It was noticed in the paper, and we received everything else that we needed.

00:23:06,030	The one thing we’re waiting on is, um, final elevations for the buildings. They’re really close to the floodplain. And all of those things, um, working obviously with developers, they’re their their team. And, um, engineering staff with the stormwater permit. So those few things are to come before the building permit would be applied for.

00:23:31,630	Let me grab. There’s a lot of presentations tonight. Hold on. I gotta find it. This is the overlay of an exhibit of what the roads would look like and where the shops would be located. And then there’s also. Let me see what we have here.

00:24:20,230	So this section that’s, um, graphed out here in red would be the property that is being used for this special use. There’s been a lot of time put into this one. I know P and Z has worked on it as well. Once again, these are special use personal use only shops.

00:24:44,800	Is there anything else you would like to see or any questions for me? Don’t. Do you don’t have any other renderings? There are 3D renderings of just what it would look like. There’s a few of them here. This side right here is obviously the. Interstate side, house side. Just a walk in level view.

00:25:25,070	A lot of it to be from your outside storage to inside storage, which we’re seeing a lot of these days. These shops will have full water hookups inside of them. I mean, they’ll be set up that people can put restrooms.. Mayor Froelich. Yeah. Commissioner Belohlavek. Yes, that’s correct. They will all have water.

00:25:44,030	And so how you say that they’re for personal use, not for, um, commercial use. Is there a way that they’re going to prevent that from turning into commercial use? People running little businesses out of them? I mean, I know we can’t patrol all of that, but, um, it seems like they’re set up more for commercial use than residential. Mayor Froelich. Comm.

00:26:07,700	Belohlavek I we’ve limited the shop condos for personal use to what I would consider a half bath or your toilet and then lavatory or sink. Um, and that’s what we see a lot of the times. But you are correct. I mean, we have we have water use that can be used.

00:26:26,770	Um, and it’s something that I think a lot of other communities are also looking into and how, how we can make sure that that line isn’t breached. Any other questions? Jordan.

00:26:50,230	Mayor and Jordan, um, I guess with the is there an association when it comes to snow removal and how far do we plow into there today on 29th? And will we will we be plowing all the way to the Broken Oar then when this is completed. I Mayor Froelich Commissioner Heinsohn, I believe this is a private road that we do not service.

00:27:11,100	Um, there is a snow plan and um, plans to take all of the drainage and different snowpack and impacts that would be from this site off of this site. So not impacting other, um, other places. I know, I know, there’s water and that can be sitting in different areas. And from what the engineering team has said has been a lot of times from where it was previously put.

00:27:35,200	Um, I know the engineer on this project has, um, just told us that that will be gone, negated and taken away. Thank you. Okay. Any other questions? Okay. Thank you. Jordan. At this time, we will open the public hearing for comments regarding this project. Are there any comments? Thank you.

00:28:07,830	Mayor Swenson Hagen engineering representing the applicant on this one. Nothing significant to add to what Jordan had said, but I’m certainly can answer any questions if you have them. Any questions for Landon? No. When do you anticipate building mayor? The plan is to start bringing and fill and doing some grading this fall.

00:28:27,300	Uh, around the southern area of this so as to not to disturb any of the the traffic on its way to the Broken Oar at this point. And then going forward, we’ll have to phase, uh, sort of the access to that area. It’s going to get a little, little hairy for a while.

00:28:39,930	There’s going to be moving roads back and forth so we can keep their business open during construction. Um, it’s going to be a multi-phase, multi-year project, though. Okay. Thank you. Any other questions? Okay. Second call for comments. Third and final comment. Call for comments. The public hearing is closed. Commissioners, what is your wishes? I move to approve the special use permit for lot 35, block one, Marina Bay addition.

00:29:11,670	Motion by Commissioner Belohlavek, second by Commissioner Braun. Further discussion. Hearing none. Roll call please. Commissioner Belohlavek. Yes, Heinsohn Yes. Braun. Yes. Mayor Froelich. Yes. Motion passes. Item number two under new business. Brady Martz to present the results of the 2025 audit. Mindy. Good evening. Commissioners.

00:29:51,330	I’m Andy Piazza with Brady Marts, and I’ll be going over the results of the fiscal year 2025 audit with you tonight. Uh, first off, we’ll look at the reports and opinions that we issue as part of the audit. Go over some financial statement highlights and then end with some items that we are required to communicate. So first looking at the overall objective of the audit.

00:30:12,700	Uh, so first off, when we perform the audit we do have to review that we are independent of the city when conducting the audit. There are audit guidelines that we do have to follow when performing the audit.

00:30:29,100	I’d also remind you that the audit is designed to obtain reasonable, but not absolute assurance that the financials are materially or correct in accordance with GAAP. And then also, um, regarding the audit, we do look for fraud. However, where the audit, the financial statement audit is not designed to detect every instance of fraud.

00:30:46,870	We do work within a materiality, um, and so small items that are not material to the overall financial budget, we don’t necessarily look at as far as the audit opinion regarding the financial statements. We expressed an unmodified opinion, which is the highest level of assurance that we can provide over the financials, uh, meaning that the financials were materially correct in accordance with GAAP.

00:31:06,530	Additionally, we also issue a report on internal controls for conducting the audit underneath government auditing standards. And that’s required by North Dakota Century Code. Um, we issued an unmodified opinion on this report. Uh, so again a clean opinion. However, we did have two findings.

00:31:28,030	Those two findings relate to, uh, segregation of duties at the airport, on the airport, as a component unit of the city. And so it gets included with the city’s audit. Um, and so there’s a segregation of duty at the airport. And so that has to be reported on the city. The next finding that we had was that we, the auditors, prepared the financial statements.

00:31:45,100	This is technically a management function and should be done by management. Um, and so our professional standards require that we report this as a finding. I would note that both of these findings are repeat findings from last year as well. The next report that we issue is for the single audit.

00:32:04,100	This is the testing of the federal compliance for the city. The three programs that we tested this year were the Highway Planning and Construction Grant, the capitalization grant for drinking water, and then the flood Mitigation Assistance Program. Um, based on our testing of all three of these programs, we expressed an unmodified opinion, which, again, is a clean opinion.

00:32:24,970	However, we did have two findings associated with the flood Mitigation Assistance Program. The first one relates to internal controls over the cost for the program. Um, as part of our testing of this grant, we did look at actual costs that were charged to the grant.

00:32:42,700	And we also are required to look at the internal controls surrounding the grant. Um, the items that we tested, there were no issues that they were not compliant with the grant. However, there was a lack of internal controls and oversight by the city.

00:33:00,770	Uh, anytime you are receiving federal funds, the federal government does require that you have strong internal controls, reviews, approvals of that federal dollars to ensure that that money money is being spent appropriately. So again, no question costs. It’s just an internal controls. And I believe management remedied and corrected the the problem. Once we had brought to their attention. The next item is for procurement suspension and disbarment.

00:33:25,100	Um, as part of our testing, we had to look to see if the city, um, tested the vendors that were paid with federal funds to see if they were on the suspended and debarred list. Um, there was no documentation of that.

00:33:42,500	So anytime you’re receiving federal dollars, uh, you’re required to test to see if the vendor is on that suspended and debarred list by the federal government. If they are, you can’t pay them. If they aren’t on there, then you can pay them. Um, again, we tested it. They weren’t on the list. However, there was no documentation that that was done by the city.

00:33:59,170	And again, that was, um, corrective action was taken on that. As soon as that was brought to the city’s attention. Next, we’ll look at some overall financial highlights. Just high level overview for the year. Um, total assets increased 70.3 million. Net position or the residual equity for the city also increased 59.4 million.

00:34:23,500	Looking at the general fund, the general fund fund balance was 500. That increased 571,000. I’d also note that the water and utility operations remain profitable. Those are services that are supported by user fees. So you always want to make sure you have enough money coming in to support those costs. And then lastly debt increase by 10.5 million. Oops. Okay.

00:34:56,600	Looking at the overall government wide financial position. So there’s lots of financial statements included in the audit report. The government wide statements provide a full picture of the financial statements of the city that combines everything the city has into one. Um, just some significant changes. I would point out.

00:35:18,500	So as I mentioned previously, assets increased quite a bit. A good chunk of this is for the capital, an increase in capital assets related to the Memorial Highway project. That alone, um, was about 54 million of an increase in capital assets under liabilities. The increase there. Um, special assessments. Debt increased 5.4 million.

00:35:41,970	And then loans payable increased 99.2 million. Again, those relate to the capital projects. Um, and the water projects going on in the city. So as those projects are being done, that being done and complete, the debts incurred, also a large increase in capital grants and contributions, a good chunk of that, again, is from the Memorial Highway project.

00:36:03,100	It’s a cost share project with Ddot. But because the city’s ultimately going to own that asset, they need to recognize all those costs. Um, and then the in-kind donations from Ddot for completion of that project. Next, looking at just overall total revenues and how they’re distributed for the city.

00:36:24,700	Total revenues for 2025 were 107 million. Um, the largest the the the four largest revenue streams. Obviously, the capital grants this year that kind of swayed it significantly compared to prior years. That was 60.6 million, representing 57% in the gray. Um, shaded color on the chart charges for services 17 point million.

00:36:46,870	That would be water and utilities. That was represented about 16%. Property taxes are in yellow, and that was 8.5 million or 8%. And then sales tax was right next in the maroon color at 8.1 million. And again 8%. Overall total expenses were 33.8 million. Um, the largest expenses relate to public works at 31% or 10.

00:37:17,500	5 million. Public safety in orange at 10.2 million, or 30%. And then general government operations at 17%, or 5.7 million. In the dark, shaded blue. Next, looking at the trend in general fund and the fund balance or the residual equity in that fund for 2025, ending fund balance was at 10.7 million.

00:37:45,370	This represents approximately seven months of operating expenses. Um, the city does have a policy for our target fund balance to be not less than 25% of next year’s general fund expenditures. Currently, as of 123125. This would be at 65%.

00:38:04,700	So you can see just the historic average of where the fund balance has been. Again, it’s a metric that you want to keep a careful eye on. Um, you obviously want to have reserves. You don’t want to have too many. You don’t want to have too little. Um, so just a metric to look at. Next, looking at the budget versus the actual for the general fund.

00:38:23,370	So the actual is in green. The blue is in budget overall. Um, a good budget was built with revenues coming in higher than what was expected by 1.5 million and expenditures coming under budget by about 1.2 million for 2025. And the last financial item to go over is just the future debt payments.

00:38:44,230	So on the left hand side, you’ll see all the total balances of outstanding debt. On the right hand side, you’ll see the next five years of payments to be paid on that debt. Overall, it ranges from about 9.5 million to 10.2 million over the next five years. That would include principal and interest.

00:39:04,300	And currently, with the debt that the city does have, that goes out until 2053, when all of that would be paid off. All right. The last thing to go over is just some items that we are required to communicate by our professional standards.

00:39:22,000	Um, regarding the audit, there are estimates to the financial statements. Those are listed on the screen. We do look at these. However, they weren’t deemed to be sensitive. Estimates that involve a lot of management estimates included in those. During our audit, we did not become aware of any kind of unusual transactions, nor did we have difficulties or disagreements with management.

00:39:40,070	There was one uncorrected misstatement that we noted that was not posted to the financials, and that related to an item with the airport as part of the audit.

00:39:57,100	We do ask management for representations that they’ve given us full access to information and that everything’s properly recorded, which they signed and sent back to us. And then I’d also note that we did also issue a separate management letter for just some housekeeping items and recommendations that we had. Um, overall, the items were not material that they would rise to the level of being a finding.

00:40:13,900	However, when we do an audit, if we find areas for improvement, we always want to communicate those with governance as well as management. So, um, attached on or up on the screen is my contact information.

00:40:30,400	If you or any constituents have any questions, feel free to reach out to me, um, and ask me any questions you may have. And with that, I just want to thank Jim, Greg, Justin and the finance team. They do a great job with the audit and getting everything ready, and we certainly appreciate their help. Thank you Mindy. Any questions for Mindy? Okay. Thank you. Thank you. Commissioners. I move to approve the results of the 2025 audit.

00:41:01,770	Second motion by Commissioner Heinsohn. Second by Commissioner Braun. Any further discussion? Hearing none. Roll call. Mr. Neubauer. Commissioner Heinsohn. Yes. Braun. Yes. Belohlavek. Yes. Mayor. Mayor Froelich. Yes. We’ll move on to item number three. Consider the Morton Mandan Public Library, 2027 budget. Barb. Good evening, mayor and fellow commissioners.

00:41:28,970	Um, tonight, I just would like to share with you a little bit of what we have accomplished together and then how the 2027 proposed budget will build on that success. We’re going to take a little look at honoring the past.

00:41:48,730	So coming up in November of this year is our 20th, I guess you would say anniversary of when the vote to consolidate the public, the city library and the county library was passed. And then in May of 2020 or 2027, it will be 20 years when we basically officially open up the doors as Morton Mandan Public Library.

00:42:14,400	So before we discuss 2027 budgets, I want to show you kind of what we have been up to this year. One thing that I think is really important, that every statistic that you see tonight kind of represents the people’s lives who have been impacted by the library.

00:42:36,170	Um, one of the things that I think is really, really cool is that in 2025 out of 80 applicants to the Bush Prize, we were one of five finalists. Uh, we did not end up being the top two, but we still feel really, really good about coming out fifth or within that fifth, um, group of people out of 85 or 80.

00:42:56,500	Um, the next thing is that the North Dakota State Library has criteria of standards that public libraries have to meet. The highest level is the future focused library. Um, we learned last year that 2024, we met that criteria, and we learned in July that we met it again for 2025. We are the smallest library to have achieved that.

00:43:20,770	The other ones are Bismarck, Grand Forks and Fargo Public Library. I did call and ask how we made it, why we made it, and basically it comes down to our people, the attendance that’s coming in the door. The programs that we’re offering and all of the just different visions that we have for our space.

00:43:44,070	As you can see on this slide, that our collections, um, continue to evolve, whether it is board games, we have stuffies and stories. So it’s little stuffed animals going with stories. Those are hot off the off the press. Um, it’s also digital access that we have. We can, um, all patrons can access all of the newspapers digitally.

00:44:06,000	So, um, if you don’t want to subscribe to a newspaper, you can check online and we can help you out with that. Um, we also have a Comics Plus, which is digital graphic novels and comic books that all ages, all ages can access.

00:44:33,700	The next one comes to how we have been growing, and you will notice that we have increased, um, our card holders. When we started back up again four years ago in August, we were at about 14,000 cardholders. We are now up to 20,000 cardholders throughout the whole county. Um, we’ve had we increased by about 38%.

00:44:57,300	And I think that just shows the impact that we are having, not only in Mandan, but also throughout the whole county. We are also impacting those from neighboring counties coming in as well. Um, our program attendance and this is includes anything that whether it’s in the library, outside of the library, through the county, with the bookmobile, anything that we do, um, gets counted into this and you can see that

00:45:18,730	we have grown extension extensively throughout the last three years. One of the things that we really focus on, whether it is programs or if we want to bring something new into the library, we want to make sure that everybody is it’s designed to create opportunities for people of

00:45:39,500	every age who comes in. Is it going to be something that makes them feel that they belong? Can they learn? Can they create? Can they discover? We make sure that all of those elements are fit in.

00:46:00,230	Last but not least, we have Morty, and Morty goes out to all of seven, I guess different locations throughout the county, and several of them within town. Um, so all of the major towns, but also they go to Saint Anthony. They go to Elmont. They also go to Sweet Briar.

00:46:16,770	Um, included in some of the deliveries that they do is and it’s not on the list, but they do doorstep delivery as well. And there are quite a few people have to sign up in order to join in. You can be involved with it for six weeks, or you can be involved for a year or two.

00:46:30,370	It just depends upon what the needs are. Another really neat feature of the bookmobile is all three of them know I should say two of them are able to do notary for anybody out in the county. Um, they also all can do printing on the library, on the bookmobile, and all three of them are certified passport agents.

00:46:50,300	I think it’s kind of cool knowing that they travel roughly 820 miles throughout the whole month, and they basically had one a visit for every mile that they made. So there was 800 and visitors last. Um, on a monthly basis. I think that’s a neat statistic.

00:47:16,030	Um, next we look at whether it is passport or technology help or finding the right resources for people. Every interaction that we have with anybody coming through our door is intentional. And we try to meet the needs of them as best as that. We can. Next on our list is what’s happening next.

00:47:42,330	Um, we have the branch, which is going to coincide with the play lab. It is in the former, um, Mandan Public Schools locker room, which is down by Head start, I believe. And so that will be opening up this fall. It’s a small space, but we already have great big plans for it. And we have people who attend the play lab, um, through the, the public schools.

00:48:05,170	Um, they’re very excited and can’t wait for it to open up. So we think it’s going to be a huge hit. Next, also coming up in the former rice Bowl area is our, um, tourism makerspace hub.

00:48:27,030	Um, this is going to this is through a grant through the North Dakota Commerce Department that we have to do matching and in-kind funds as well. We are really excited about one of the biggest things in there is that we’re going to be having a kitchen that we can do nutrition classes. We can also offer, um, opportunities for those who might be home caterers to come in and use that space.

00:48:46,800	Um, if they have a bigger project going on. But we can also do cooking classes as well. Something we are also working on is trying to figure out a way to keep people coming. Um, keeping working workers, I should say, into the library.

00:49:10,470	And we would like to develop an apprentice program that would kind of have them doing some mentoring, career exploration. They could learn anything from. Yes, library, being a librarian, but also there’s marketing, there’s branding, there’s communications, there’s it opportunities. And so we think this could be a really powerful tool that we could develop. For 2025. This is kind of the summary of how we ended.

00:49:38,500	Um, and I think by carefully planning with my coordinators, with my board, um, that we are really working to maintain all of the excellent services that we are that we are providing for people and giving us an opportunity to prepare for that future. So let’s go on to 2027.

00:50:05,770	When we were designing this budget for 2027. Again, we were really looking at the people that, um, making sure that our people are getting supported, but also the programs and the services that we offer, as well as trying to think of the future.

00:50:27,100	And so when you look at our revenue, we are proposing a budget of a million, roughly. I’m going to say roughly a 13 or 1,000,300. I know I’m estimating a little bit higher, but roughly that’s where we’re going. And about 86% of that investment of the revenue is coming from both the city and the county in multiple ways.

00:50:51,570	Um, we at the library are working hard every day to figure out other ways that we can bring in the, the income, um, whether that is through services that we provide or grants and donations. Um, most often the grants and donations that we receive cannot go towards, um, any, um, employee benefits or wages or anything along that line.

00:51:15,100	When we look at the expenditures that we have set for 2027. Um, there were some big changes. So about 88% of them are going towards people and services. So we have an increase in our salaries and benefits. We do not have an increase in our staff. We currently have 16 employees.

00:51:38,630	11 of them are full time and five of them are part time. That means 19 hours and under. Um, but we also had kind of an increase in our technology. Our website needs to go to Ada compliant. And so that is kind of brought our budget up in the professional area, a higher than what normally it has been.

00:51:58,370	We think in the end, it’s going to be well worth the investment. Again, we really strive to look at in every action that we do.

00:52:18,630	How are we serving the people and our as well as staff? What are our services doing and how can we make sure that we are ready for tomorrow, whether that’s looking at our spaces or building capacity within our our staff or even just within what we’re offering for people? And so I would like to thank you for everything that you have done to help invest in our library and helping us to move the path path forward.

00:52:45,370	I do have some additional announcements that I would like to make. So the first one is on Thursday of this week, um, between 430 and 630, we have our summer reading curtain call, and at 530 we have a special announcement that kind of involves the makerspace. So if you want to attend, you are more than welcome.

00:53:07,970	The next one is that we have changed our passport services on Saturdays. So we are now offering passport services by appointments twice a month. They will be offered the second and fourth Saturdays of each month. Uh, the bookmobile begins its journey is out into the school once again on September 1st. And there they will be in flasher.

00:53:30,800	Um, just an idea of what? For passport services. We started off, um, four years ago with four of us on staff who are our agents, certified agents. We have now increased to eight. Um, we started off two. In 2023.

00:53:57,570	We combined, um, processing and photos about 1985 is what we had done for the year. In 2025. We have bumped up to 2520 passports and photos that we processed. Um, because our our for 2026, our times um, increased our days increase. We expect that to be even higher than normal.

00:54:23,870	Do you have any questions for me? Well, you just answered the one question I was going to ask on the passports, but could you talk about the Ada compliant website a little more? Yes. So that is through the city. We currently already do a page, I guess through the city website. Um, but the library is, um, we have to have other special things with it.

00:54:46,030	So we’re looking at about 8500. I believe our portion of the City Library website that we’re going to be combining with. Does that make sense? Yes. And this is by law. Yes. And just describe it a little more.

00:55:07,430	I do not fully understand all elements, I have to admit, but it is making sure that the font that you’re reading on there is very clear. It’s looking at color combinations. Those are the basic kinds of things. Um, on our website, it will also feature being able to change documents, PDFs into, um, other languages so more people can access.

00:55:27,870	It will also allow people to read it or it can be read for them if they are not able to read it. So there’s just a whole lot of I think it’s also within the setup. Um, I’m still learning myself. Okay.

00:55:43,670	And how did your Tuscany night go? It went very, very well. We had a full, um. In fact, we had 61. We planned for 60. We had 61. And so it was a roaring success. Just another question. The event space in the library. I assume that’s where you had the Tuscany night? Yep.

00:56:02,400	How often does that get used? Um, it kind of depends upon, um, first of all, what we do is make sure that all of our programs that need to be offered, they have reserved all of that, and it goes by month to month. We I know, like we have a wedding reception coming up in September.

00:56:21,330	We’ve had several baby showers that have happened on a Saturday or a Sunday afternoon. Um, some of them rent the whole entire space. Some are partial with it. So. Okay. It is not nearly as much as what we had anticipated or would like. Part of that is on us.

00:56:38,730	We have not done a really good job. I think of of, um, marketing all of those spaces. We’re still trying to figure that avenue out, so. Well, maybe. after 4:00 right now for it. Yes. Give us. Who do you call? What’s the rate? The whole deal. It will. We basically go by hours.

00:56:57,370	So we do blocks about four hour block. And we go with an eight hour block. Um, we came up with that system. Um, after looking at several libraries, but we also knew our rooms were going to be used in a different way than what typical libraries might do.

00:57:18,000	People have access outside of regular library hours, so they get key cards, all of that. So that kind of made our situation a little bit different. We also looked at the Heritage Center and how they devised their, um, room rental fees. And so kind of took a mix of the both.

00:57:35,970	So again, we do blocks, um, if it is just an individual person coming in, it can be depending upon the amount of space that you have, it can be $200 for those four hours. Um, you get access to the patio. Like I said, the key cards, everything that’s in there. Usually we have people setting everything up.

00:57:55,030	Um, if it is eight hours for the whole community room, it would be $400. Okay. Any other questions for Barb? Barb, one quick question. I’ll throw you a curveball here. So you’re cardholders went up to like $20,000. It was or 20,000, uh, cards. Excuse me. Um, which is fantastic.

00:58:21,370	Do you have any idea the percentage of those cardholders that are city or county where those increases come from? I do not. Okay. I do not have any idea. Sounds good. And to be honest, we try really hard. We have worked.

00:58:39,900	Really? Um, diligently over the last four years to make sure people know that if they see Maudie out, it’s not just a county vehicle, it’s also city and reverse. So we’ve had all of our staff to going out and doing different things without the within the county. That kind of became prevalent when they realized that.

00:58:58,570	Or, I mean, people were still looking at, oh, the bookmobile is just for the county and the library space. The building is just for the city. And so we really try to, um, immerse them together or mesh them together as much as we can. Excellent. Thank you. Yep. Any other questions for Barb? Okay. Thank you. Commissioners. I’d love to approve the Martin Mandan Public Library 2027 budget, as recommended by the Library Board of Trustees.

00:59:29,470	I’ll second. Motion by Commissioner Heinsohn. Second by Commissioner Belohlavek. Any further discussion? Hearing none. Roll call, please. Commissioner Heinsohn. Yes. Ron. Belohlavek. Yes. Mayor. Mayor Froelich. Yes. And I’d like to add, Barb, you do a wonderful job over there, and I think it’s the nicest library in the state. Not just me. It’s the team.

00:59:56,670	Congratulations to your team. Okay, we’ll move on to item number four. Consider the Mandan Airport Authority 2027 budget. Lindsay. Hi. Good evening. Mayor, commissioners. Um, Lindsay Gerhardt from the Mandan airport. Uh, just here to present the status update for our 2027 budget.

01:00:25,030	Um, as of right now, we have 106 based aircraft out at the Mandan airport. Um, that was a milestone that we reached this year. We kind of, um, we’re just under 100 for the longest time, sitting at 99. And, uh, this year we finally reached 106. Um, we have five airport owned hangars that are at capacity. We have 12 on the waiting list.

01:00:43,770	Um, we only expect that number to start going up over the years. As a report came out today from North Dakota Aeronautics stating that the increase in that could be up to 30% over the next ten years. So, um, 12 on the waiting list now, more to be expected in the future.

01:00:58,170	Um, we have one airport owned community hangar, uh, 16 privately owned hangars on the airport that generate land lease for us, uh, full time aviation, aviation maintenance facility. Southwest egg is our egg sprayer on the field. Two aviation medical examiners now, um, two flight instructor businesses, uh, one flying club.

01:01:22,870	Uh, our EAA chapter with approximately 40 members, the North Dakota Civil Air Patrol headquarters is on site with their fleet of three aircraft and one base aircraft. That’s from with a federal agency and two certified flight simulators and one aerial surveyor business on site. Uh average of 60 operations, uh, on the field a day. That’s takeoffs, landings, approaches.

01:01:51,500	Um, approximately 500 additional operations in the month of July because of Oshkosh traffic coming through. Uh, stopping to rest, get fuel, come to town and eat.

01:02:11,230	And the local events that we held out at the airport, um, one of which was the planes and pancakes, about, uh, over 2700 people attended this year. It was by far our our busiest year in just a really successful, uh, great community event, um, our skydiving event that we held in July. Um, 180 people signed up for it. We only offered 90 openings. So, uh, it over sold out. They had a waiting list of 90 people.

01:02:35,300	We ended up having 100 people skydive over the 4th of July weekend. So on the left, you can see just their crew packing parachutes. On the right was just a crowd of some spectators watching, uh, watching their friends and family and this was this was our first jumper of the event.

01:02:56,100	Um, during the whole event, I’m glad to report we had no injuries whatsoever. Uh, one one gal lost her hearing aid, and, uh, another gal got a little sick, but besides that, no. No fatalities. Or injuries.

01:03:19,800	So the services that we offer at the airport, uh, get a full service. That’s me driving a truck to feel any turbine and or turbine and, uh, jet engine aircraft that might come in or the ones that we do have based on the field. And, uh, we have the 100 loaded, self-serve, uh, tank, uh, hangar and tie downs is another thing.

01:03:38,830	We offer airplane oil and pilot pilot supplies, uh, snacks, drinks and ice cream are provided by Sharon Lawler, and any money made from that goes to the grandchildren of Jim Lawler. Uh, full, uh kitchen, a picnic area, two pilots lounges, uh flight planning room, a snooze room, showers if they end up spending the night, and two courtesy cars to get to town.

01:04:01,930	A lot of pilots come to town for their doctor’s appointments. Um, to use our hotels to spend the night and to usually get food. We normally send them to the old ten. Uh, other revenue generating things out at the airport. We, like I said, sell fuel.

01:04:25,300	Uh, 12,000 gallons average of jet a a year and average of 30,000. In, uh, avgas or 100 low lead, Gross margin is around $54,500, and. That’s based off of 2025. Um, hanger and other for revenue. We have the five T hangers in unit 40 that we rent out there, all fully rented out, um, office rentals for some businesses out at the airport.

01:04:52,500	And um, other is airplane oil and, um, runway safe, uh, granule dicer that we ask most people to use on their aprons there. That doesn’t cause any corrosion to the aircraft. So that total is about 237,000.

01:05:17,170	Um, the next form of revenue is land leases from the 16 private hangars that we have that generates about 25,000 a year. Uh, for this year, our projects have kind of been stalled a bit. But the this project will start here. Um, the pre-construction meeting for the apron access road and parking lot, uh, male and overlay.

01:05:43,900	The pre-construction meeting is this Friday, so I should have a better idea of what, um, the schedule is for the contractor who’s the awards been, uh, given to strata for that project. So I should have a better idea of what their, um, their schedule looks like and when we’re going to start. But it sounds like maybe late August. Here is when we’ll start with the mill and overlay.

01:06:03,570	Um, this is the pavement and index. Uh, just a snapshot off of the North Dakota Aeronautics website, but they go around and do a pavement index of all the airports in North Dakota. And so this is ours for this year. Um, as you can see, a lot of it is the 70 to 56, um, range.

01:06:26,470	And, uh, the index that they go by and there’s two taxiways that are actually in the orange. And so the index that they go by is here, just um, pavements with a PCI in the range of 41 to 70 will typically require more extensive rehabilitation, such as an overlay.

01:06:43,600	So we’re right on schedule with, um, you know, just keeping our pavements that we have if we dipped into the red, that would require like more of a full depth repair. So if, um, now is the time to be doing that mill and overlay on a lot of those areas.

01:07:02,830	Um, any information, um, on the pavement index for the Mandan airport is on the website at the bottom at North Dakota Aeronautics. And they do a really good job of of coming out and doing a pavement index for us and helping us keep up on how, when they were built and how long they’ve been there.

01:07:24,400	Um, so last year I presented to you the airport sign that we wanted to construct and to demolish the old airport sign and just put up something a little bit more, um, nicer and modern. And I feel like an airport of our size deserves a, um, memorial sign out there to just showcase who we are and how great we are.

01:07:44,070	And, um, the sign is still under construction. They actually were out today working on the masonry for it, so I’m seeing some movement on it. Um, the sign won’t be lit until after the Milan overlay project, because I did work some electrical being run to that side of the road.

01:08:01,230	Um, with Stratus mill and overlay project, because we don’t have electrical on the side of the road that the the sign is being constructed, so it’ll be constructed, but dark until probably October. Um, the T hangars, two through five maintenance project is another one I brought to you last year.

01:08:23,630	We budgeted $50,000 to put towards t hangars two through five. The reason I didn’t include t hangar one in this is because t hangar one was built in 2019. It’s in great shape. Uh, the pavements around it and the T hangar all 2019.

01:08:43,700	Um, I’m not seeing any, uh, major safety issues with the doors or anything like that, so I didn’t include it in this project, but, um, this project would examine, uh, all the motors, the pulleys, the hinges, the cables on these really large doors that are tenants are using, um, Midland doors came from Fargo last week. Friday. I’ve been waiting for them for almost a year, so it was great to finally see them come from Fargo and do the inspection.

01:09:04,500	Uh, they went through all 40 of the T hangars, um, units two through five. And like I said, we had, um, designated $50,000 for this project. I already got estimate back from them.

01:09:26,370	It’s 15,000 for everything that needs to be fixed to bring these doors back up to safety for the 40 and more tenants that use them. So that was really great news that, um, they’re not in as the mechanics of them are as bad shape as I had thought. So um, that should be happening by the end of the summer. Here. Um, moving on to next year.

01:09:46,270	So this is the big project that we’ve been waiting for. Um, the fuel system upgrade. This is an AI rendering of, um, the fuel system that we would like to concentrate on.

01:10:07,500	Um, it’s a 12,000 gallon jet fuel, 12,000 gallon of gas tank system where those two tanks are in this image is actually the old airport terminal. So, um, there’s some things that are going to need to be moved around, but, um, cabinets out in the middle of the apron, possibly, and, um, tanks in that area.

01:10:28,930	Uh, like I said, a 12,000 gallon, 100 low lead, 12,000 gallon jet, a, um, we already have a 100 low lead that’s on the left. It’s as you can see, it’s very small, very old. Um, the the system that runs it is a door system, and it only has a magnet strip reader.

01:10:46,030	It doesn’t have chip or tap, and, um, so the upgrade to a new system would have all those things. Uh, this would be, this would give us aircraft fueling on the air side and fuel delivery on the parking lot side. So semi-trucks would never have to come on to the active.

01:11:06,230	And like I said, it would give us a new updated system and card reader and the the project would include disposal of the old terminal. Um, funding for this is fully dependent on North Dakota aeronautics participation, but they have expressed interest in providing 5050 split with us. And we designated 350,000 in the budget out of our savings for this project. Um, determinations by aeronautics would be made in early 2027.

01:11:32,600	So this is what we’ve been saving for, um, this this project is really important to all the tenants out at the airport, myself and the board. It’s it’s where we’re coming to. It’s something that we need. And, uh, there’s quite a few benefits for it. Again, that’s our old system. And, I mean, it is what it is, is very small.

01:11:52,230	And, uh, the Jedi is delivered by me. We don’t have a self-serve for Jedi, so, um, the benefits of it would eliminate the need for that Jedi truck, uh, which costs approximately 4000 a year for me to do the calibrations on it that are required of any commercial, uh, fuel sales.

01:12:12,970	And the filter changes have to be done once a year. And, um, filters for that truck are really expensive. Um, saving time on transport, transporting the avgas from the fuel farm to the self-serve, which is done by me. That would save a lot of time for me as well.

01:12:31,030	And it would eliminate call outs for me. I’m called out at least once a week to fuel a jet aircraft that is coming after hours in the evening or on the weekends, and so having that self-serve out there for those aircraft would eliminate the times that I’m being called out when I’m at home. Uh, the new software run.

01:12:52,530	Oh, and provide customers with that more modern, uh, tap and chip. Um, there’s a lot of times I’m called out to the airport because the magnet strip reader on somebody’s card is scratched or dirty, and it’s just not taking their card.

01:13:09,070	And so I will have to run out to the airport and open up that pump manually and run their card at my desk. So it would eliminate a lot of, a lot of that stuff. Um, new software runs more accurate inventories and more comprehensive reports for me. And it’s a self monitoring system.

01:13:30,370	So it means better, uh, spill prevention, uh, better compliance with the ever changing credit card processing standards. And, um, having that jet a and self-serve that jet a self-serve would attract more turbine engine to the airport. Because I currently don’t advertise jet fuel. Like I said, I can’t be out there 24 over seven.

01:13:50,570	The people that know that we have jet fuel are people on the field that have those kind of aircraft and people that just kind of know through the grapevine that Lindsey has jet A, they usually, um, will let me know that they’re coming. And, you know, if they’re going to be there at 7:00, I can be there for that.

01:14:10,430	But, um, the ability to limit eliminate that in the long run would be great for me. Um, and the capacity and other benefit, the capacity to buy more fuel at low cost times to avoid those split load fees.

01:14:28,030	Every time I get a fuel load from the refinery here in town, I can only take 2500 gallons of jet fuel at a time, because that’s the capacity that I have right now. So every time they send me a half full truck, I’m paying for that half full truck. Um, just for some insight on other airports that are smaller than ours. Uh, this is Washburn’s avgas system. Uh, this is their brand new system.

01:14:46,700	Ours, we would hope, would look a lot like this. Um, Mobridge, South Dakota. This is just their jet fuel system. Um, Lemmon, South Dakota, this is their avgas and jet fuel system. And finally, Valley City, um, this is a really good comparison to what we would like our system to look like.

01:15:07,570	12,000 gallon avgas, 12,000 gallon jet a, and then, um, a separated, um, fuel island, probably in the middle of our ramp just because of fire codes and different things like that. Now, um, the hoses can’t be able to reach adjacent buildings. Um, the next project for next year is the new T hangar taxi line design only.

01:15:33,700	Um, as you can see, anything pink in this picture is not actually there. It’s kind of, um, space for development is in pink. Anything white and hashed out is actually, um, buildings that are there already.

01:15:54,770	So, um, we would, we would like to build another t hangar rate in line with t hangar one in the red circled area. The um, t hangar itself. We would have to pay for. So we need to save some money for that or, um, a bond for that. But, um, the FAA and aeronautics will participate in the pavement and the design for that. They won’t help participate.

01:16:16,600	Uh, North Dakota Aeronautics will help participate, but the FAA will not help with the revenue generating T hangar. So, um, what we want to do is start designing the pavement around that t hangar, which they will help with so that we can, um, continue to grow and accommodate the people that are on the waitlist and the

01:16:37,770	anticipation of there being more of that hangar as a need over the next ten years. So and, um, as of next year or two, now that we’re going to have all this beautiful pavement, um, or the overlay, we’re going to want to maintain it.

01:16:57,500	So as every year we’re going to do the crack ceiling and poly patch, and that’s always 90% funded by North Dakota Aeronautics. So, um, any questions on 2027 for me. And my contact information is up there as well. Any questions for Lindsay? I just want to understanding of your hangars a little bit.

01:17:21,230	Um, you talk about five airport owned t hangars and there’s a wait list for that. Are these hangars that you rent to people who have airplanes versus them owning the hangars? Well, we have both out there, but the airport owned t hangars. Yes. So, um, it’s it’s a long building. The hangars are in the shape of a T back to back in the shapes of T’s.

01:17:37,200	We have 410 unit T hangars, and then the new one, built in 2019, is a 12 unit T hangar. So 52 units, um, and they’re all rented to capacity. We have requirements to rent those. They have to be used for aeronautical purposes. So you have to have an airplane.

01:17:57,300	You can’t just use it for storage or whatever it has. It has to be for aeronautical purposes. You have 12 people on the waitlist for that. 12 people on the waitlist for that. And we’re proposing another ten unit t hangar. And then, um, we do have, um, those privately owned hangars out there in addition.

01:18:15,100	But they pay a land lease, they own their own building, they pay for the footprint. Um, they lease the footprint of that owned building to the airport. Thank you. Any other questions for Lindsay? Mayor? A couple questions.

01:18:41,100	Uh, first, uh, the Oshkosh, what’s the Oshkosh traffic thing that happens? Uh, Oshkosh is a fly in in Oshkosh, Wisconsin, that it’s, I don’t know, probably the largest fly in in the world. And, um, people travel there from all over the country, and they use Mandan as a stop. That Mandan has become a stop, a favorite stop for hundreds of people traveling to and from Oshkosh every year. So that’s cool. It’s a huge fly.

01:19:00,300	Um, second thing. So this fuel system is a $700,000 system, and that’s with a 5050 split. That’s the total is 700. One second. Please. 1.2 million. Okay. Yeah. You’re close. Close? Yeah. So aeronautics does a split. That’s what you’d expect. A 5050 split on that with the aeronautics.

01:19:42,430	Correct? And we’ve been we’ve been beavering away money and savings to, um, help with this project for a long time. This project has been a matter of discussion for 3 or 4 years now. The need for it and the increasing need for it. Thank you. Lindsay. What’s the mechanism to raise the money for the hangars, for the new construction? The mechanism to raise the money.

01:20:06,970	How? Yeah. How are you going about that? Well, um, we would probably have to it. I hate to say it, but the the hangar rent that it will produce will probably have to raise that hangar rent a little to make it cash flow itself.

01:20:26,530	But we, um, if you’re asking, like, where we would get the money, the last t hangar that we built in 2019, the airport took out a bond for it. And actually, we’re on year seven of that bond now, so that that t hangar will be paid off in three more years.

01:20:43,230	And that’s the final t hangar that we owe on. And that’s how we financed all five of them were airport revenue bonds. Okay. Any other questions for Lindsay? Okay. Thank you. Lindsay. Thank you. You do a great job out there. Minimal staff. You do a great job. Thank you. Commissioners.

01:21:17,500	As I said, I moved to approve the Mandan Airport Authority 2027 budget as recommended by the Airport. Authority. Second motion by Commissioner Braun. Second by Commissioner Heinsohn. Any further discussion? Hearing none. Roll call. Mr.. Neubauer. Commissioners. Braun. Yes. Belohlavek. Yes. Heinsohn. Yes. Chair Frohlich. Yes. We will move on to resolution and ordinances. Consider the first consideration. A call for a public budget. Hearing of Ordinance Number 1488.

01:21:50,570	Making the annual appropriation expenditures of the city of Mandan, North Dakota, for the fiscal year commencing January 1st, 2027 and ending December 31st, 2027, and making the annual tax levy for the year 2026. Justin. Thank you. Mayor, commissioners, I think we have the slide ready. There we go.

01:22:18,700	So starting out, just wanted to go through the budget planning process on a high level. The city is required to prepare the annual budget in accordance with North Dakota Century Code. The city’s annual budget process is coordinated by the Finance Department under the direction of the Budget and Finance Committee, and the city follows a need based budget process.

01:22:39,730	Going through the timeline of the budget planning process from January to April, the department managers were to review and discuss the city’s long term plans. This year, going to ten years 2027, 2036 for personnel, machinery and equipment, public facilities and infrastructure. Moving to May.

01:23:07,130	Department manager submitting submitted their operating budget worksheets to the Finance Department in June, the Finance Department reviewed and updated the revenue, expense and Fund balance projections for the 2026 budget. That gives us our baseline to be able to say where we’re going to start 2027 and then in July, the Budget and Finance Committee reviewed and discussed recommendations for the preliminary 2027 budget. Okay. Moving into expenses.

01:23:33,670	First thing to note here, this is for all funds, not just the general fund. So the total expenses for 2027 all funds is 43.3 million. You can see the numbers there. So I won’t I won’t read through all of them but just touch on some highlights. Uh, debt service.

01:23:51,230	Um, those are the principal and interest payments on our loans and bonds that we have. That’s what that’s what accounts for the 10.5 million. And then the 1.9 million in capital outlay. That is the machinery and equipment purchases. Roughly a $2 million increase from 2026 budget.

01:24:17,570	Um, again, this is all funds. And that equates to a 5% increase from 2026 to 2027. Salaries and benefits being a $647,000 increase. Operations and maintenance is $654,000. Increase. Debt service $864,000. Increase in capital outlay $122,000. Decrease. And we’ll get into each one of those categories. Salaries and benefits $647,000 increase.

01:24:53,700	Um, first thing to note is there are no new planned positions for 20 2720 seventh payroll period in 2026. That is not in 2027, if you remember. And for the 2026 budget, it just happened to be the this calendar year, there was an extra pay period that isn’t normal. Normally there’s there’s 26 pay periods on a bi weekly pay schedule.

01:25:15,830	2027 will be back to the normal 26 pay periods. Salary plan adjustment, which the City Commission approved on June 16th. Um incorporates a $547,000 increase. The Safer grant, which is related to the fire department in the 2026 budget, we had budgeted three positions.

01:25:41,770	When the Safer grant was awarded, it was 4 or 6 positions, so the local share match of 201,000 is being funded from the half cent city sales tax. Health insurance $194,000 increase that is in the budget. We have a 5% increase factored for health insurance. We’ve recently received what the renewal amount will be. The health Insurance Committee will be meeting on that.

01:26:05,530	Uh, those results and coming up with recommendations for the commission in the near future. And then just the finally benefits, which like retirement, those types of items, $112,000 increase and then a few miscellaneous items for $10,000. Operations and maintenance.

01:26:38,370	Looking at professional fees and services, $161,000 increases primarily three items um, the Metropolitan Planning organization, which is budgeted through our share of this, budgeted through the Planning department’s a $24,000 increase. The police Department did a thorough review of the fees they’ve historically been paying for the law enforcement center, and found that it’s been under budgeted in the last couple of years.

01:26:59,770	So the budget was increased 47,000 to bring that in line with what the expenses actually have been and are expected to be solid waste utility fund, um, garbage and recycling fees will be a $57,000 increase. Moving to supplies. The $72,000 increase, um, nearly half of that is is fuel related. Um, so that that’s the majority of that repairs and maintenance, $258,000 increase.

01:27:29,670	Again, there’s three items that make up a majority of that, 46,000 being IT maintenance contracts, $81,000 being a reclassification within how we budget a few items for the police department that previously were under capital outlay. We’ve determined that they’re more appropriate to be budgeted under repair and maintenance.

01:27:50,070	So not a true increase, just changing where it got budgeted. And then utility maintenance department has added $120,000 for lift station repairs subsidies. These are revenue pass through payments. Essentially what that means is items like state aid, where 30% of what we receive goes to the park district.

01:28:15,570	So we receive the funds, issue them to the park district. The 911 fees we receive them from Morton County and in turn submit them to Burleigh County for central communications. And then a 2% occupancy tax. 90% of that goes to the biz and CVB. And then there are a number of other miscellaneous items that total $80,000 increase.

01:28:44,900	That service, and as we spoke earlier, these are the principal interest and service charge issuance fees for our loans and bonds. That’s, uh, $10.5 million. Capital outlay. General fund equates to 1.3 million of the 1.9 million solid waste utility fund, just over 300,000 street light utility fund, 240,000, and then all other funds 56,000.

01:29:21,870	And breaking that down to essentially what it is, um, about 362,000. That is it. Department equipment. Um, just to, you know, keep everything current, uh, replacement schedule that’s been established and then the remainder being replacement equipment per the fleet replacement schedules, not for new equipment, not for additional equipment, just replacing of equipment. We already have. Revenues.

01:29:53,300	Again, this is all funds, not just general fund charges for services of 16.9 million. These are largely utility funds. Items like the charges for Missouri West Water, um landfill and utility billing, city sales and use taxes of 8.9 million. That’s our 1%. Three quarter percent half cent sales tax. Intergovernmental 5.8 million. These are items like state and federal grants.

01:30:23,630	Um, local government items like the E911 fees we receive from Morgan County and then property taxes, 7.5 million. Want to point out here that, uh, 7.5 million is only 15% of the total revenues of the city, um, 85% of the revenues coming from these other sources. Special assessments 7.2 million.

01:30:50,230	These are the city’s infrastructure projects and the revenues used to pay off the principal and interest on the loans and pots. And then miscellaneous other items of 3.3 million to get to the total of 49.6 million. And moving into the general fund.

01:31:10,630	Since this is the largest fund of the of the city, total expenditure is 21.8 million, or a $1.7 million increase from 26. A couple highlights of the funding of those expenditures. Property taxes of 7.2 million, which for the general fund is 33% of the total funding going down to city sales and use taxes of 4.2 million. That’s a transfer of 3.

01:31:37,330	5 million from the 1% city sales tax. And then of the half cent city sales tax, there’s a $629,000 transfer for new police and fire personnel, and then an $86,000 transfer for a police department vehicle upgrade. Utility fund transfer of 1.8 million. That’s a transfer from the water and sewer utility fund investment earnings.

01:32:04,270	It’s still a good rate environment, so we anticipate 1.6 million in investment earnings and then license and permits and charges for service, 1.3 million other revenues 1.5. And to get to the balance budget of 21.8 million, that’s a use of 263,000 of our unreserved funds, basically, basically cash on hand.

01:32:34,900	And this slide just highlights that of the total property tax bill for 2026 budget, which is the most current information we have for all the taxing districts. The city of Mandan equates to 24% of the total property taxes. Okay.

01:32:59,570	When getting into the city property tax levy, a $300,000 increase from 2026 budget, that equates to $306,000 increase in the general fund, $62,000 decrease in other funds. The $32,000 increase within the library, and a $24,000 increase for the airport. And wanted to kind of go through, you know, the 3% property tax cap, how that’s calculated.

01:33:27,270	Um, I know it’s pretty common knowledge now, 3% property tax cap, but it gets a little more complex than that. So I just wanted to walk it through for the city of Mandan the previous year, Levy of $8,958,905. You subtract off of that the previous year. Levy is exempt from the 3% cap.

01:33:49,430	For us, that would be city share special assessments 79,935. That gives us the previous year levy subject to that 3% cap. And then we add into that the allowance for new growth. And that gives us the adjusted year levy of $8,983,373.

01:34:17,630	So you take that adjusted year levy times your 3% cap allowance, plus the current year levy exempt from the 3% cap. And that gives the total current year levy of 9,258,961. And that is the $300,000 increase.

01:34:46,570	And moving on to a breakdown of what that equates to for a residential property valued at 300,000, plus a 5% average valuation increase, and based on the city’s projected mill rate, it’s a $12.83 annual increase, or 1.5%. Now moving on to the city utility bill. These numbers are based on a residential property using 800 cubic feet, or eight units of water.

01:35:14,270	You’ll see for water base and water usage charge, there is no increase, and these are per month numbers in the center column. Wastewater base charge $4.60. Wastewater usage charge $4.16. Stormwater base charge $0.20. And then the five and 47 cent increase for garbage and recycling is based on the contracts we have for those services. For the annual increase. Kind of touching on the reason for the increases.

01:35:44,530	Um, basically it’s the wastewater treatment facility expansion project. This information is preliminary at this time, as we’re just initiating the design process. But current estimated cost of $114 million, it’ll be funded through a state revolving fund loan of 30 years. So a residential account.

01:36:11,700	We started a five year rate impact tiered up impact starting in 26. Going through 2030. So the total wastewater base charge increase will be $30.20 in the wastewater usage charge per 100 cubic feet is $3.39. And this graphic just shows, you know, per year how that breaks out from 25 through 2030, how those increases occurred.

01:36:48,230	There’s a QR code at the end of the presentation. So from there, I just wanted to touch on the budget calendar starting out August 4th, which is what we’re doing here today. The introduction and first consideration and call for a public budget hearing of ordinance adopting the preliminary preliminary budget.

01:37:08,370	And then on or before August 10th, 2026, the city is to provide notice of public hearing date to the Morton County Auditor. So just to note there that, uh, like last year, those notices will only include the hearing dates for all taxing entities different from maybe what it was prior to last

01:37:28,670	year. September 15th, the city to conduct a public budget hearing that’ll be here at City Hall at 6 p.m. and then August 6th will be the second and final consideration of ordinance adopting the final budget, an annual tax levy and the final calendar item on or before October 12th, 2026.

01:37:53,330	The city has to submit certified copy of Levy as adopted and certified copy of final budget to the Warren County Auditor. And as promised, this is your QR code. We’ll also you can access it through City of Mandan. Com presentation will be listed there as well. Okay. Very good.

01:38:15,600	Any questions for Justin? Justin I had a question about the salary increases. Um, so you’re capping? Uh, no new full time positions. That salary increase. That’s from a Condrey study. That was from the Condrey study. Um, with the recommendations and approval from the City Commission on June 16th. Okay. And I apologize. I wasn’t here for that.

01:38:39,630	Um, uh, what percentage of an increase is that? Um. Or is it across the boards, or is it based on a scale? Yeah. Um, there was a scale with a minimum 3.5%, because that is the employee cost index. Um, you know, previous 12 months was a 3.5%.

01:38:59,100	So the, the commission felt that we didn’t want to give less than 3.5%. But based on a few different criterias, it could have been more. Okay, so you’re increasing it based on a Condrey study, but there will also be an opportunity for a performance evaluation or a cost of living increase as well. Added to that or not.

01:39:16,930	Uh, this is all inclusive and it takes effect January 1st. Okay. Thank you. Any other questions for Justin? None. Okay. Justin. Thank you. You to you and Greg, you did a very good job. And on behalf of the city Commission, and the city of Mandan, we offer our condolences to you on the passing of your father.

01:39:42,000	Thank you. Commissioners. I’ll take this one. It’s a long one. Um, I move to approve the introduction and first consideration and call for a public budget.

01:40:11,970	Hearing of ordinance number 1488, making the annual appropriations for expenditures or expenses of the city of Mandan, North Dakota, for the fiscal year commencing January 1st, 2027, and ending December 31st of 27. Making the annual tax levy for the year 26. Second motion by Commissioner Belohlavek. Very well done. Second by Commissioner Heinsohn any further discussion? Hearing none. Roll call please. Commissioner Belohlavek. Yes. Hi, Sean. Yes. Braun. Yes. Mayor. Mayor Froelich. Yes, mayor.

01:40:42,830	Can I add one quick thing? You may. Thank you. I would just say that, you know, we two years ago, we extended the dates a little bit from the for the hearings side of things because of some feedback we received.

01:41:04,300	Um, so I just encourage people watching if they have comments on this budget proposal, um, to reach out and, and we’ve extended a little bit more time for that than previously had been done a couple of years before that. So welcome the feedback. Do you want to add to use the QR code. Since you use the QR code? Yeah, okay. Very good.

01:41:29,370	There is no other business future meeting dates for the board of City Commission are as follows. August 18th, 2026 at 5:30 p.m.. Tuesday, September 1st, 2026 at 5:30 p.m.. Tuesday, September 15th. Getting close to the last day of Summer 2026 at 5:30 p.m.. And with that, as always, be kind to yourself. Be kind to your neighbor and it’s onward and upward. Mandan meeting is