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West Fargo approves $275,000 forgivable incentive for Long Creek Steel expansion
Summary
The West Fargo City Commission approved a two-part forgivable loan totaling $275,000 to help Long Creek Steel build a manufacturing facility in the Sandhills 6 addition; the company expects to create about 25–30 jobs and build a 90,000-square-foot plant.
The West Fargo City Commission approved a business incentive on March 3 to support Long Creek Steel LLC’s plan to build a manufacturing facility in the Sandhills 6 addition.
The commission voted to provide a two-part forgivable loan totaling $275,000, to be distributed as a $100,000 payment at construction and occupancy milestones and a $175,000 payment after the company completes its first full 12 months of operations. The motion passed unanimously.
Why it matters: City staff and the developer said the incentive will reduce upfront costs and help the family-owned company, headquartered in South Dakota, establish a 90,000-square-foot metal panel manufacturing plant in West Fargo. Staff estimates the project would create about 25 to 30 jobs that generally meet or exceed local average manufacturing wages.
Casey Sanders Bergland, West Fargo’s director of economic development, told commissioners the $275,000 package is intended to be used as the community buy-down portion of an interest rate buy-down application through the Bank of North Dakota. Sanders Bergland said Long Creek Steel has filed for a North Dakota business license and primary sector certification, both pending, and that the company expects equipment to arrive later in 2025 with an operational target in 2025.
The incentive is structured as a forgivable loan tied to milestones: the first $100,000 becomes forgivable when the company has hired three to four key staff and receives a certificate of occupancy; the remaining $175,000 becomes forgivable after the first full 12 months of business operations.
Pat Stroh, identified as a representative of Long Creek Steel, attended the meeting but did not offer substantive remarks on the record beyond being available for questions. Commissioners asked for a rough schedule for streets and utilities; staff said street construction in the Sandhills 6 addition is expected to occur in summer, with utilities largely installed.
Next steps: City attorneys will draft a formal business incentive agreement outlining the milestones and conditions for forgiveness. Sanders Bergland said the company will apply for the Bank of North Dakota interest rate buy-down using the city funds as the required community portion.
Votes at the meeting: The motion to approve the incentive was moved and seconded; the vote was recorded as unanimous "aye."
