Construction on the Fargo-Moorhead Area Diversion project is progressing as officials navigate the complex process of acquiring property rights through eminent domain lawsuits. These legal actions are essential for securing the necessary flowage easements that will allow the Diversion Authority to temporarily flood approximately 29,000 acres of land south of Fargo-Moorhead during extreme flood events.
Three eminent domain trials have been conducted to determine the fair compensation for landowners relinquishing their property rights. So far, the outcomes of these trials have aligned more closely with appraisals made by the Cass County Joint Water Resource District than with those provided by landowners. The most recent trial occurred last week, underscoring the ongoing negotiations aimed at reaching settlement agreements with landowner groups and minimizing the need for further jury trials.
Justin Fisher, director of lands and compliance for the Metro Flood Diversion Authority, expressed optimism regarding the settlement discussions. Currently, negotiations are active with eight groups of landowners who co-own parcels in the upstream mitigation area. Fisher believes that the results from the trials may motivate more landowners to consider settling outside of court, stating, “We’re optimistic… that this continues to serve as a conduit to get landowners to want to continue… settling out of the courts.”
The Fargo-Moorhead Area Diversion, a $3.2 billion taxpayer-funded initiative, aims to safeguard the metro area from severe flooding. The project features a 22-mile earthen embankment designed to hold water from the Red River, while rerouting excess water into a 30-mile diversion channel that encircles the metropolitan area. The project is on schedule for completion in spring 2027.
As of now, the Cass County Joint Water Resource District has successfully acquired property rights for about 63% of the parcels required for the project. So far, settlements have been reached with 189 groups of landowners, while 71 groups remain in litigation. The land owned by these litigating groups comprises approximately 6,400 acres essential for the project’s execution.
The trials have revealed significant discrepancies between the appraisals of the Water Resource District and those presented by landowners. In the first trial, the district appraised the property at around $74,000, while the landowner’s appraisal was approximately $144,000. The jury ultimately awarded $99,500. In the second trial, the district’s appraisal was near $652,000, compared to the landowner’s appraisal of $1.5 million, with the jury settling on $700,000 as a fair payment. Lastly, in the third trial, the district’s appraisal was $293,500, which the jury upheld.
According to Fisher, the results of these trials validate the reasonableness of the Diversion Authority’s appraisals. On the other hand, attorney Cash Aaland, representing several upstream landowners, asserts that his clients will pursue trials when they feel the Water Resource District’s offers do not reflect fair compensation. He stated, “Every landowner has a right to have a jury decide what is fair compensation.”
Looking ahead, Fisher noted that more trials are scheduled before the year’s end. He remarked, “It’ll be interesting to see if we’ll go to trial or if there is some opportunity to continue to settle out of court, as well as continued negotiations with those other landowners.” With ongoing efforts to secure property rights, the Fargo-Moorhead Area Diversion project remains on track to provide essential flood protection for the region.
