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Upstream landowners ponder discrepancies between North Dakota, Minnesota F-M Diversion payouts

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Upstream landowners ponder discrepancies between North Dakota, Minnesota F-M Diversion payouts


CHRISTINE, N.D. — Josh Granholt has spent much of his life on quiet farmland tucked into the bends of the Red River.

His family has farmed land near Christine for more than 100 years. Those fields give way to forested groves along the river, where he and his parents live today.

Despite their proximity to the river, the main houses on the Granholt family’s farmsteads have never flooded, even in years where cities to the north were inundated with water.

“The old timers put a house where it made sense and didn’t flood, not where it looked cool, because they didn’t want to deal with it,” Granholt said.

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The construction of the

Fargo-Moorhead Area Diversion

upstream will change how Granholt’s land floods. He hopes to get compensated fairly for newly flooded land — and equally to landowners on the Minnesota side of the river.

Josh Granholt, a farmer near Christine, N.D., said most of the buildings on his family’s land, as seen on Monday, March 3, 2025, have never flooded, but now with the F-M Diversion nearing completion, there is potential for flooding for landowners upstream of the diversion.

Chris Flynn / The Forum

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The diversion is a $3.2 billion flood control project designed to protect the Fargo-Moorhead metro from extreme floods. When operational, the project will hold water south of the metro behind a 22-mile earthen embankment. Three gated structures will control the release of floodwater into the Red River, the Wild Rice River and a 30-mile diversion channel that arcs west around the cities.

In order to hold water south of the embankment, the Metro Flood Diversion Authority, a governmental entity that oversees parts of the project, needs to secure property rights to store water on the land south of the dam. It has been doing so in the form of flowage easements. Property owners are paid for giving the Diversion Authority the right to flood their land.

The Granholt family properties are among those the Diversion Authority is in the process of securing property rights for through the eminent domain process, which allows a government to take land for public use.

Proposed flowage easements on Granholt family land pay for flooding in places that have never flooded before. But on the Minnesota side of the Red River, flowage easements cover far more land and stretch farther south along the river.

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Josh Granholt, a farmer near Christine, North Dakota, shows where his family land is on a map of Richland County at his office on Monday, March 3, 2025.

Josh Granholt, a farmer near Christine, N.D., shows where his family land is on a map of Richland County at his office on Monday, March 3, 2025.

Chris Flynn / The Forum

Different states, different rules

In Minnesota, maps for the project show the Diversion Authority is acquiring flowage easements well into Wilkin County, about 30 miles south of Moorhead.

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In North Dakota, a majority of flowage easements are in Cass County. Flowage easements in Richland County are along the Red River or waterways that flow into the Red River. The southernmost flowage easements in North Dakota are southeast of Christine, across the river from Wolverton, Minn. Wolverton is about 22 miles south of Moorhead.

Differences in flowage easements between North Dakota and Minnesota come down to the fact that the project involves two different states with different permitting requirements, Diversion Authority Executive Director Jason Benson said.

The Minnesota Department of Natural Resources permit requires property mitigation for up to a tenth of a foot of impact of the principal maximum flood, Benson said, which is “kind of the biblical flood, something that’s hard to comprehend.”

On the North Dakota side, the state requires mitigation for up to a half foot to the 100-year or 500-year flood levels, whichever is a higher impact, he said. A 100-year flood has a 1% chance of happening in any given year, while a 500-year flood has a 0.2% chance of happening in any given year.

“We’re applying Minnesota permit and regulations and rules for Minnesota residents and land mitigation on the Minnesota side. We’re applying North Dakota rules, regulations and law for land that we’re mitigating on the North Dakota side,” Benson said.

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Permitting differences are the

basis of landowner countersuits in the eminent domain process.

Landowners represented by attorney Cash Aaland began filing counterclaims in eminent domain proceedings in February, alleging that North Dakota landowners are not being paid for all the water that could be displaced onto their property, or for the resulting damages, when the diversion’s southern dam holds back a maximum amount of water.

While the permit requirements are different in the two states, Granholt thinks Minnesota and North Dakota landowners should receive the same treatment.

“If Minnesota gets paid for everything, for an inch and above, not only do I think we should be compensated, but we should know where that is,” Granholt said.

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Further, Granholt worries that if 6 inches of water did fill the flowage easement area, more shallow areas of water would stretch farther onto his property.

“Does that mean there’s going to be 5 inches someplace we’re not getting compensated for?” Granholt said. “Because whether it’s 1 inch or 1 foot in your basement, it’s still water in there, isn’t it?”

Josh Granholt, a farmer near Christine, North Dakota, lives near the Red River, as seen on Monday, March 3, 2025, which is upstream of the FM Diversion and could potentially flood his land.

Josh Granholt, a farmer near Christine, N.D., lives near the Red River, as seen on Monday, March 3, 2025, which is upstream of the F-M Diversion and could potentially flood his land.

Chris Flynn / The Forum

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Ken Knudsen lives a couple miles north of Granholt, northeast of Christine. His land is similar to Granholt’s — a grove of trees in one of the Red River’s loops, with a house built high enough to avoid flooding.

With the proposed flowage easements on his land, Knudsen expected to negotiate an amount for the water that could be stored on his land and a payout for the tear-down of a garage turned “man cave.” Finding out that Aaland thinks that water could go higher was not good news.

“I don’t want to move, and I don’t want to sell and I don’t want to fight floods that I’ve been told shouldn’t happen to our place,” Knudsen said.

The land Knudsen lives on was one of the original farmsteads in the area, he said, meaning that the brothers who moved there got to pick the best plot of land.

“I’d like to see that our farm doesn’t flood and we can just stay there, and it’s a beautiful place to live and pass it onto our kids and whatever,” Knudsen said. “If we’re going to end up having to fight floods every time they use the dam, then we’d have to think differently.”

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The Diversion Authority does have a mechanism for landowners to bring forward claims if diversion operations flood more land than flowage easements cover. In such cases, landowners will be able to bring claims to a dispute resolution board created by the Diversion Authority. That board will determine if damage was caused by the project.

Granholt said he’s aware of that process.

“It’s usually easier to get it the first time than to come back and ask for more,” Granholt said.

Josh Granholt, a farmer near Christine, North Dakota, lives upstream of the FM Diversion near the Red River, which could potentially flood his land, as seen on Monday, March 3, 2025.

Josh Granholt, a farmer near Christine, N.D., lives upstream of the F-M Diversion near the Red River.

Chris Flynn / The Forum

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North Dakota

Voting opens for North Dakota ‘I Voted’ sticker contest

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Voting opens for North Dakota ‘I Voted’ sticker contest


North Dakotans can help choose the state’s next “I Voted” sticker from a group of five finalists. The public can vote for their favorite at sos.nd.gov/stickervote through Jan. 23. From kindergarteners to grandparents, 478 entries from 72 communities were submitted, the Secretary of State’s Office said. The finalists feature a bald eagle, a prairie dog, […]



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How two property tax credits could reduce — or eliminate — 2026 tax bills

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How two property tax credits could reduce — or eliminate — 2026 tax bills


DICKINSON — Property tax bills are arriving, and as inflation, taxes and property values continue to rise, many North Dakota homeowners are feeling the strain of higher household expenses.

Two state programs — the primary residence credit and the homestead property tax credit — aim to ease that burden by reducing, and in some cases eliminating, property taxes for eligible homeowners.

The primary residence credit provides a flat credit of up to $1,600 for qualifying homeowners, regardless of age or income. The homestead credit, meanwhile, reduces the taxable value of a home for seniors and individuals with disabilities, significantly lowering or eliminating their tax bill.

Eligible households may apply for both credits, further reducing the amount owed.

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Primary residence credit: Who qualifies and how much is available

The primary residence credit was originally capped at $500 in 2023. In 2025, lawmakers increased the credit to $1,600 after Gov. Kelly Armstrong signed House Bill 1176 into law on May 3, 2025.

To qualify, a homeowner must own and occupy a home in North Dakota as their primary residence. Eligible properties include houses,

mobile homes

, townhomes, duplexes and condominiums. Homes held in trust also qualify. There are no age or income limits, and only one credit is allowed per household.

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The credit may be applied up to the amount of property tax owed.

“We’re asking the public to take just a few minutes — please come to us, tell us who you are,” State Tax Commissioner Brian Kroshus said during a press briefing at the Capitol on Dec. 19. “That is the difference between applying the credit across the board and diluting it for everyone or having a larger credit amount of $1,600.”

Armstrong also highlighted the impact of the expanded credit in an

opinion column

.

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“Since we more than tripled the credit to $1,600, the number of households paying no property taxes in 2025 has increased to 50,000,” he wrote.

Homestead property tax credit: Using health expenses to qualify

Unlike the primary residence credit, the homestead credit reduces the taxable value of a qualifying home.

To be eligible, applicants must be 65 or older or have a permanent or total disability, own and occupy the home as their primary residence, and have a household income of $70,000 or less. There is no age requirement for individuals with disabilities. Only one spouse may apply if a married couple lives together.

Households earning $40,000 or less may qualify for a 100% reduction in taxable value, up to $9,000. Those earning between $40,001 and $70,000 may qualify for a 50% reduction, up to $4,500.

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Out-of-pocket medical expenses can be deducted when calculating household income. Eligible expenses include unreimbursed medical costs paid during the prior year for the homeowner, spouse or dependents. Subtracting those expenses may move applicants into a lower income tier or help them qualify.

Stark County Auditor and Treasurer

Karen Richard

said the credit has eliminated tax bills for many approved applicants.

“Out of the 725 approved homestead credit applications, there were 355 applicants who had a zero-dollar tax bill just from receiving the homestead credit,” Richard said.

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She added that participation remains low.

“There are most likely many more seniors who qualify but do not realize the homestead credit exists,” Richard said. “Any way possible to get the word out could really help individuals living on fixed incomes.”

Applying for both credits

Some households qualify for both programs. The homestead credit is applied first, followed by the primary residence credit.

“By applying for and receiving both credits, an additional 149 applicants received a zero-dollar tax bill,” Richard said. “Out of 725 approved homestead applicants, 504 owed nothing for 2025 property taxes.”

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It’s also important to note that either credit applies to special assessments, which may still result in a balance owed.

Applications for both credits must be submitted to a local assessor or county director of tax equalization between Jan. 1 and April 1 of the year the credit is requested. For 2026 taxes, the deadline is April 1, 2026.

Sarah Ruffin, who processes homestead and veterans credit applications for Stark County, encouraged seniors to seek assistance if needed.

“If you are over 65, own your home and earn under $70,000 per year, come talk to me about the homestead credit,” Ruffin said.

Homestead credit applications are available at

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tax.nd.gov/homestead

.Primary residence credit applications must be completed online at

tax.nd.gov/prc

.

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“The pen is mightier than the sword.”
As a professional writer with more than 10 years of experience, Kelly lives by these words. With a bachelor’s degree in communication, majoring in broadcasting and journalism, and a fiery passion for writing that began in childhood, she uses the power of words to make an impact in the community — informing, educating, and entertaining a wide range of audiences.
As a journalist, what Kelly loves most about her job is the ability to bring unique stories to the public and give people a voice that can be heard around the world. Whether through print or digital platforms, her goal is to share stories people enjoy reading while spreading valuable information that supports the welfare of southwest North Dakota and its people.





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North Dakota U.S Rep. Julie Fedorchak announces reelection campaign

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North Dakota U.S Rep. Julie Fedorchak announces reelection campaign


North Dakota U.S. Rep. Julie Fedorchak, R-N.D., announced her reelection campaign Monday in a video posted to social media. In the video, Fedorchak is described as someone who supports the “America first” agenda and will keep North Dakota as her “top priority.” “As a fourth-generation North Dakotan, I want the very best state and nation […]



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