Capital Construction Grants
Background
The Fargo-Moorhead Convention & Visitors Bureau Board of Directors manages a Capital Grant Program, funded by one-third (1 penny on the dollar) of the lodging tax levied in Fargo and West Fargo. The entire three percent lodging tax from Moorhead goes to our operating budget, but Moorhead entities can apply for grants.
The Board will consider grant requests for projects involving capital construction costs that will have a demonstrable and positive effect on the community’s economy. The projects must be in an area directly related to tourism.
Who can apply?
In general, the guiding philosophy of this grant program is to assist projects that:
- Seek to create new economic benefits in the community through hotel room nights and other economic benefits of inbound travel.
- Seek to address needs that are currently being unmet.
- Seek to create facilities that do not currently exist in Fargo-Moorhead-West Fargo.
Grant Criteria
All requests must meet the following criteria:
- Groups applying must be legally incorporated non-profit organizations. No individuals may be awarded grants.
- All requests must be for capital construction related to tourism. Capital construction costs are defined as the purchase, equipping, maintenance, construction, repair, or acquisition of buildings or property consistent with visitor attraction. Debt refinancing, previously incurred expenses, and general operating expenses are not eligible for grant requests.
- Funds requested may not constitute more than 25% of a project’s total cost.
- Projects will be considered based on their potential to affect the local tourism industry. That is their potential to attract and/or retain visitors and events to Fargo-Moorhead-West Fargo. Groups requesting funds will be asked to demonstrate the potential effect on tourism.
- The FM CVB reserves the right to approve or reject requests and to ask for further clarification of the project by the requesting group.
- The FM CVB Board of Directors will make all decisions regarding funds. Applicants are not guaranteed funding. The board may decide to award only a partial amount of the requested funds.
- The Board of Directors of the FM CVB may stipulate funds awarded to be used for a portion of the project they deem is vital to the facility’s ability to increase tourism. Reallocation of funding for purposes other than those stipulated by the Board of Directors will require prior written approval of the President/CEO. Failure to do so may result in the forfeiture of remaining payments and/or reimbursement of previous payments back to the FM CVB.
- Grant requests must be made in writing and sent to the FM CVB's offices.
- The FM CVB President/CEO will decide, as he deems appropriate, the meeting at which the Board will hear individual requests and may, at his discretion, ask for the requesting group’s representatives to appear to elaborate on their request and answer any questions that the Board may have.
Upon Approval of Grant
Recipients of awards consent to the following:
- Recognition commensurate with the award amount (naming rights, sponsorship benefits, or signage) is required. The Fargo-Moorhead-West Fargo community must be aware of the FM CVB’s contribution to bettering its tourism-generating facilities.
- Language on signage during construction acknowledging FM CVB’s contribution. Sample language: “This project was made possible in part by a grant from Visit Fargo-Moorhead”
- The FM CVB Board of Directors may choose to make payments over a several-year schedule at their sole discretion.
- Facility will be made available for the number of events by the table at the end of this section with the following conditions:
- If the FM CVB requests dates for an event more than 12 months in advance, the facility will be made available for use & no rent will be charged, and equipment owned by the facility may be used at no cost.
- Ancillary costs such as labor, rented equipment, and hospitality may be charged for the event. The FM CVB reserves the right to request copies of invoices for these costs.
- Standard cost shares normally charged to events (merchandise, concessions, and credit card feeds) may remain in effect.
- No later than January 30 of each calendar year after the project's completion for a term of three (3) years, the grant recipient is required to provide FM CVB staff with a detailed report of all events that took place within the facility and/or estimated attendance. If the event results in no overnight hotel stay or very few trackable stays, the recipient must document its efforts to promote overnight hotel stays.
| Amount of Awarded Grant | Number of Events |
| $100,000 or less | Up to two (2) events within ten (10) years of the facility’s opening date or completion date of renovation |
| Greater than $100,000 up to $500,000 | Up to eight (8) events within fifteen (15) years of the facility’s opening date or completion date of renovation |
| Greater than $500,000 | Up to ten (10) events within fifteen (15) years of the facility’s opening date or completion date of renovation |
Failure of the award recipient to comply with the items specified in item 1 of this section may result in the forfeiture of remaining payments and/or reimbursement of previous payments back to the FM CVB.