Consultants presented results of a downtown parking study to the City of Fargo Commission and recommended issuing a request for proposals (RFP) to modernize management of ramps, lots and on‑street parking and to consolidate oversight within city government. Nicole Crutchfield, City of Fargo planning director, opened the meeting and introduced the work the consultants have done.

The study team from KLJ and Kimley‑Horn reported a May 22 snapshot of downtown supply and demand that shows roughly 4,900 public parking spaces in the Central Business District and an average daytime utilization near 40 percent during the 9 a.m.–4 p.m. window, with peak hourly demand at noon. “When we think about parking management, we think about the positive outcomes that impact, aligned city goals around providing reliable parking availability, supporting economic development, improving safety, and mitigating congestion,” said Casey McNames, KLJ.

The consultants said industry targets are typically about 60 percent utilization for on‑street spaces (to preserve turnover) and about 90 percent for structured parking. They told commissioners that Fargo’s recent investments in ramps have left the downtown with a surplus in many hours and locations, and that surplus can be used to shift longer‑term parking off the curb and support downtown redevelopment.

To operationalize that shift, the consultants recommended three linked changes: 1) issue an RFP for a modernized third‑party parking operator, 2) consolidate parking oversight in the city (identify a single department lead and hire a dedicated parking manager as the program grows), and 3) pursue financial and code adjustments to support enforcement and operations. Key code and policy recommendations discussed included eliminating the long‑standing practice of issuing a free warning for a first parking offense (instead charging the posted fine), extending the appeal period from five days to ten days, authorizing a third‑party operator to adjudicate appeals, and adopting a standard that a vehicle with three or more delinquent tickets may be eligible for towing/impoundment.

On finance, the consultants presented two views: a day‑to‑day operating view that showed positive net operating income available for reinvestment, and a comprehensive view that includes debt service and capital needs. When debt and capital are included — and when tax increment financing (TIF) is assumed to offset mortgage payments on garages — the multi‑year projection shows several years of negative net income before improving long term. The consultants said the city could consider migrating the parking program over time from a special revenue structure toward an enterprise fund as revenues grow and debt pressures ease.

The proposed RFP details shared with the commission: a five‑year base term with the option to extend up to ten years; a scope covering ramps, lots and downtown on‑street management; a requirement that proposers submit a standardized, line‑item operating budget; a small flat monthly management fee (vendor profit) separate from pass‑through operating expenses; and open‑ended procurement language to allow proposers to propose modern payment and enforcement technologies. The consultants proposed publishing the RFP in mid‑October, receiving proposals before Thanksgiving, and seeking a contract recommendation to the commission in late December or January so onboarding could begin in January 2026.

Technology options discussed included mobile payments, app‑based or text/QR payments, single‑kiosk or asset‑light approaches and permit systems. The consultants noted a practical constraint raised in the discussion: a commissioner said “In North Dakota, it's illegal to have a parking meter,” and the team recommended the city attorney and legal counsel review state law and advise whether on‑street paid options or updated definitions of “meter” (to include electronic devices) are permissible.

Several commissioners emphasized keeping downtown welcoming and affordable for visitors and businesses while improving turnover and predictability. “We need to always find that balance between welcoming downtown, making it easy to use parking downtown, access downtown, making it affordable,” said Commissioner Strand (on the phone). Commissioners asked that the eventual RFP and contract include robust outreach and easy‑to‑use payment options so visitors are not surprised by enforcement.

Staff and consultants said many city departments touch parking today (planning, public works, police, auditors, finance) and that consolidating responsibilities and clarifying which accounts fund which services would simplify oversight. The consultants noted some current outsourcing already exists (Interstate Parking and public‑private agreements at the Rocco, Mercantile and NP ramps) and recommended auditing existing agreements to identify contract restrictions before issuing the RFP.

No formal motion or vote was taken at the meeting; the presentation concluded with staff saying it will finalize the RFP and return to the commission for approval of procurement documents and any code changes. City staff committed to post the presentation online and circulate materials to commissioners.

Ending: The city commission will decide whether to publish the RFP and whether to pursue the recommended code and fund changes after the city attorney and finance director provide follow‑up briefings. Consultants said they will finalize RFP materials for City of Fargo review and return with procurement steps and contract language for the commission’s consideration.