Wednesday, December 18, 2013

Industrial Commission of ND Meeting on Places of Extraordinary Signficance

AGENDA
Industrial Commission of North Dakota
 including a Joint Meeting with the 
Housing Finance Agency Advisory Board 
Thursday, December 19, 2013
9:00 a.m. – Harvest Room & Governor's Conference Room
I.   North Dakota Department of Mineral Resources Business – Lynn Helms
A.  Consideration of Order 23935  issued in Case 15773 in response to a petition for 
reconsideration of Order 18028  (Attachment 1)
B.  Consideration of orders for the following cases which were heard on October 24 and
November 20, 2013 : (Attachment 1a)
Case 20800, Order 23106 – request for two 1440 acre spacing units
Case 21158, Order 23462 - request for use of double wall open tank receptacles for storage of
produced water – exception to NDAC §43-02-03-19.3
Case 21219, Order 23523 – creation of two 1280 acre spacing units
C.  Consideration of Case 20853, Order 23159 heard on October 1, 2013 - Amendments to
Administrative Rules (Attachment 2)
D.  Consideration of proposed rules relating to general drilling permit consideration; designation 
of places of extraordinary significance; and additional requirements for permitting in places of 
extraordinary significance.  – Attorney General Stenehjem (Attachment 3)
E.  Other North Dakota Department of Mineral Resources business

(approximately 10:05 a.m.)
II.  North Dakota Pipeline Authority Business – Justin Kringstad
A.   Presentation of 2013 Annual Report and Financial Report (Attachments 4 & 5) B.   Other North
Dakota Pipeline Authority business

*******Meeting will break to relocate to the Governor’s Conference Room*******

(approximately 10:10 a.m.)
III.  Lignite Research, Development & Marketing Program Business – Jason Bohrer, Mike Jones
(by phone)
A.  Presentation of comments being presented on December 19, 2013 to the Minnesota Public Utilities
Commission in the Matter of the Investigation into Environmental and Socioeconomic Costs Under
Minn. Stat. §216B.2422, subd.3.– Attorney General Stenehjem (Attachment 6)
B.  Presentation of Lignite Research Fund Financial Report– Karlene Fine (Attachment 7)

Industrial Commission Meeting
Page 2
December 19, 2013

C.  Consideration of the Lignite Research Council’s recommendations regarding the following Grant
Round 76 applications:
1.   “Investigating the Use of Fly Ash and Nanomaterials for Sustainable Concrete Infrastructure”;
Submitted by University of North Dakota Department of Civil Engineering; Request for $14,559 (Small
Research); Total Project Costs $60,642; Project Duration 14 months (Attachment 8)
2.   “Continuation of Underground Coal Gasification Study in Western North Dakota”; Submitted by
University of North Dakota Institute for Energy Studies; Request for $299,958 (Demonstration);
Total Project Costs $719,958; Project Duration 18 months (Attachment 9)
3.   “Alstom’s Chemical Looping Combustion Technology with CO2 Capture for
North Dakota Lignite Utilization”; Submitted by Alstom Power Inc.; Request for
$500,000 (Demonstration); Total Project Costs $10,489,821; Project Duration 36 months (Attachment
10)

*****Consideration of a motion to close the Industrial Commission meeting pursuant to North Dakota
Century Code 54-17.5-06 to consider the following agenda item regarding a project that has
previously been determined to be confidential******

D.  Update by American Lignite Energy, LLC regarding their project “Lignite Vision 21
Project Coal-to-Liquids Plant McLean County, North Dakota” – Carroll Dewing, David
Straley


**********Meeting returns to open session*******

E.  Consideration of a request from American Lignite Energy, LLC for an amendment to Contract
FY06-LVII-148 amending the “Decision Date” from December 31, 2013 to December 31, 2014 (Attachment
11)
F.  Other Lignite Research, Development & Marketing Program business

IV.  North Dakota Transmission Authority – Mike Jones
A. Presentation of 2013 Transmission Authority Annual Report and Financial Report
(Attachments 15 & 16)
B. Other Transmission Authority business

(approximately 10:45 a.m.)
V.  North Dakota State Mill Business – Vance Taylor (by phone)
A.  Consideration of request to increase FY 2014 Capital Project – K-Mill Capacity Increase – Phase
3 by $800,000 bringing total project costs to $3,900,000. (Attachment 17)
B.  Other North Dakota State Mill business

(approximately 10:55 a.m.)
VI. Bank of North Dakota Business – Eric Hardmeyer
A.   Presentation of the following audits – Eide Bailly

Industrial Commission Meeting
Page 3
December 19, 2013

1.   PACE Audit – June 30, 2013 (Attachment 18)
2.   Ag PACE Audit – June 30, 2013 (Attachment 19)
3.   Rebuilders Loan Program Audit – June 30, 2013 (Attachment 20)
B.  Consideration of amendments to School Eligibility for DEAL Loan Policy
(Attachment 21)
C.  Consideration of amendments to Funds Management Policy (Attachment 22)
D.  Presentation of nonconfidential Bank of North Dakota Advisory Board October 17, 2013 meeting
minutes (Attachment 23)
E.  Other Bank of North Dakota business

******Meeting closed pursuant to N.D.C.C. 6-09-35 to discuss items listed below on the agenda under
Bank of North Dakota Confidential Business********

VII.  Bank of North Dakota Confidential Business – Eric Hardmeyer
A.  Consideration of Bank of North Dakota loan application (Attachment 24) B.  Problem Loan Update
C.  Presentation of confidential Bank of North Dakota Advisory Board October 17, 2013 meeting
minutes (Attachment 25)
D.  Other Bank of North Dakota confidential (as defined under N.D.C.C. 6-09-35) business

***************Meeting returns to open session******************

(approximately 11:40 a.m.)
VIII. Western Area Water Supply Authority business – Jaret Wirtz (by phone) & Karlene Fine A.
Presentation of Western Area Water Supply Authority monthly report (Attachment 26) B.  Other WAWSA
business

(approximately 11:50 a.m.)
IX.   Joint meeting with the North Dakota Housing Finance Agency Advisory Board on North
Dakota Housing Finance Agency Business – Jolene Kline
A.  Presentation of the Housing Finance Agency Advisory Board Vice-Chairman’s Annual
Report – Ron Jordan (Attachment 27)
B.  Presentation of the Housing Finance Agency’s Fiscal Year 2013 Audit – Brady Martz
(Attachment 28 )
C.  Presentation of the Housing Incentive Fund Fiscal Year 2013 Audit – Brady Martz
(Attachment 29)
D.  Consideration of the Housing Finance Agency Advisory Board’s recommendation for the Agency to
enter into a contract with Fannie Mae to offer the HFA Preferred Risk Sharing Program (Attachment
30)
E.  Consideration of the Housing Finance Agency Advisory Board’s recommendation to rescind the
Reserve Funds Order Policy (Attachment 31)
F.  Consideration of the Housing Finance Agency Advisory Board’s recommendation to approve the
Agency’s SWAP Management and Executive Policy (Attachment 32)
Industrial Commission Meeting
Page 4
December 19, 2013
G.  Consideration of the Home Mortgage Finance Program 2014 General Authorization
Resolution (Attachment 33)
H.  Consideration of the North Dakota Industrial Commission’s Executive Director recommendation
regarding the appointment of the North Dakota Housing Finance Agency Executive Director (Attachment
34)
I.   Other North Dakota Housing Finance Agency business

(approximately 12:20 p.m.)
X.  North Dakota Outdoor Heritage Fund business – Karlene Fine
A.  Update on Outdoor Heritage Fund Grant Round applications. (Attachment 35) B.  Other Outdoor
Heritage Fund business

(approximately 12:25 p.m.)
XI. Administrative Business – Karlene Fine
A.  Consideration of transfers from Industrial Commission agencies/programs for the
2013-2015 biennium for the Administrative Office operations (Attachment 36)
B.  Other Industrial Commission Administrative business

XII. Other Industrial Commission Business/Adjournment

Bold items require Industrial Commission action
Any person who requires an auxiliary aid or service must contact or notify the Industrial
Commission
Office at 328-3722 at least three (3) working days prior to the scheduled meeting.

http://www.nd.gov/ndic/ic-press/magenda.pdf