Target Logistics expands to Canada

WILLISTON, N.D. – The workforce housing provider with more than 4,000 beds in North Dakota is planning to expand to Canada.

Target Logistics, which has lodges throughout the Bakken housing oilfield workers, will have two projects open in Canada before the end of the year, said Troy Schrenk, senior vice president for Target Logistics.

Target Logistics merged with Algeco Scotsman in February, a partnership that has allowed the companies to enter new markets, Schrenk said.

Target Logistics plans to provide housing to the energy and resource sectors throughout Canada, which include oil, gas, mining and forestry, he said. Schrenk said he could not comment on the specific locations of the first two projects.

Several of the company’s U.S.-based customers asked Target Logistics to consider expanding to Canada.

“It’s a natural fit for the Target Logistics offering, especially given Canada’s land mass and remoteness,” Schrenk said.

Canada has a higher standard than the U.S. for workforce housing and the public acceptance of temporary housing is stronger in Canada, Schrenk said.

“They look at it as a preferred solution,” Schrenk said.

Target Logistics has lodges in Williston, Dickinson, Tioga, Stanley and Watford City.

Williams County cracks down on crew camps where homicides occurred

The Wanzek crew camp, located along U.S. Highway 2 near Tioga, pictured Aug. 6, 2012, was the site of a fatal shooting. Amy Dalrymple/Forum News Service

WILLISTON, N.D. – Oilfield crew camps where two homicides and a stabbing have occurred need to beef up security or be forced to shut down, according to Williams County officials.

The Williams County Planning and Zoning Commission is now requiring the Capital Lodge and Wanzek camps, both near Tioga, to provide proof of their security procedures, undergo inspections and re-apply for permits to operate in six months.

The Wanzek camp was the site of a fatal shooting on Aug. 4. Capital Lodge had a fatal stabbing on March 17 and a stabbing that left one man injured on Sunday.

“It puts so much fear in the people that live here,” said Tate Cymbaluk, chairman of the planning and zoning commission that met for four hours late into Thursday evening.

Williams County Commission Chairman Dan Kalil said he thinks the Wanzek camp should be closed because firearms are prohibited from crew camps while knives are more difficult to keep out.

“I firmly believe that when a murder happens in a camp it should be shut down,” said Kalil, who made an unsuccessful motion for the Wanzek camp to be reviewed again in three months.

The full county commission will vote on the two camps, as well as several new requirements for temporary housing, on June 11.

Alan Spencer, owner and operator of the camp that is leased to Wanzek Construction of Fargo, said he’s had the sheriff and a private investigator review the camp’s security policies since the shooting.

The camp has a licensed security guard and emergency medical technicians on staff who responded within minutes of the incident, which involved employees of a subcontractor who had been at the camp for four days and didn’t get along, Spencer said.

“It was an awful, awful, awful event that I wish we could have prevented,” Spencer said.

No Wanzek employees were involved with the incident, a company official said at the time.

Mike Boudreaux, CEO of Capital Lodge, said the camp has a secured entrance, two security vehicles roving at all times and hundreds of cameras. The camp recently added a security guard to walk around the premises and officials continue to review their policies.

“We are very concerned,” Boudreaux said.

Both camps said they have policies against weapons and alcohol and require background checks for residents.

Commissioners could give the camps 30-day notices to vacate if they don’t meet the conditions of their permits, Cymbaluk said.

“There needs to be some accountability and responsibility,” he said.

In the August shooting, Victor Scott Lamont of Texas is charged with murder for the death of Gerald Schild, a race car driver from Texas. Lamont also is charged with attempted murder for allegedly shooting Arkansas man Travis Lomax.

The March stabbing involved longtime friends from Michigan who had been drinking in Tioga before returning their cabin at Capital Lodge. Ryan Neil Anderson is charged with murder in connection with the death of Christopher King. Both cases are scheduled for trials early next year.

Details of Sunday’s stabbing remain unclear. A man who has not been identified by authorities was found walking in the camp with a stab wound, but it’s not certain where the stabbing occurred, said the Williams County Sheriff’s Office.

Planning commissioners also took steps Thursday to begin phasing out temporary housing.

If approved by the full commission, people would no longer be able to live in campers scattered throughout the county but would be restricted to designated RV parks after Oct. 31.

Commissioners said they will not approve any new crew camps and existing camps will not be able to expand. Camps need to re-apply for permits at least every two years, some more often, as commissioners evaluate the need for temporary housing.

“There’s always going to be a place for man camps,” Cymbaluk said. “At what level, I don’t have that answer.”

Camps also would be required to meet certain inspection criteria, pay a $400-per-bed fee and provide a bond to protect the county if the area needs to be cleaned up.

The availability of housing in Williams County continues to be a moving target, said Cymbaluk, a Realtor. The city of Williston has approved permits for more than 800 new apartment units this year and is reviewing applications for another 200 units that are proposed, according to the Williston Building Department.

Williams County resident Penny Soiseth, who lives a half-mile from a man camp, said commissioners’ actions reflect what residents have been wanting, particularly the restrictions for RVs.

“It’s time to bring families in,” Soiseth said.

Bank of N.D. bringing together smaller lenders for Bakken projects

MINOT, N.D. – Investors and developers interested in helping solve North Dakota’s housing shortage often run into a common problem: how to finance multi-million dollar projects.

Community banks in the state don’t have the ability to finance deals of that magnitude, national lenders don’t have a presence in western North Dakota and out-of-state banks are wary, said Jeff Zarling, organizer of the Bakken Investor Conference being held this week in Minot.

A new program through the Bank of North Dakota is combining resources of community banks to finance projects that none of the individual banks could do alone.

“We’re hoping that is one solution for opening up more commercial lending in western North Dakota,” said Zarling, president of DAWA Solutions Group, a business development firm based in Williston.

The program was one of the topics highlighted Thursday in the Bakken Investor Conference, which attracted more than 200 attendees from around the country and a few foreign countries.

Tom Redmann, commercial loan officer for the Bank of North Dakota, said the state-owned bank has now done two multi-bank loans, known as subparticipation loans. One loan was a small, pilot project and a larger loan involved several banks.

First International Bank, founded in Watford City, was the lead lender to finance the Renaissance Heights apartment development in Williston that’s being developed by Investors Real Estate Trust of Minot.

First International Bank then partnered with the Bank of North Dakota, which backed a significant chunk of the loan but also involved 12 smaller lenders, Redmann said. The total project cost is $63 million and the loan was for $42 million, he said.

One of the participants was Garrison State Bank, a small-town bank that never would have been able to get involved in a Bakken project without partnering with the Bank of North Dakota, said Garrison Senior Vice President Norman Thoreson.

Some banks from eastern North Dakota participated in the program, but Redmann pointed out that none of the banks from the eastern part of the state were represented at the conference.

“The eastern part of the state is fairly convinced that the western part of the state is just going to fall off the side of the planet,” Redmann said. “They’re not too sure that this oil play is for real.”

He added that eastern North Dakota banks are interested in the Bakken, but they need to get more comfortable with it.

National banks such as U.S. Bank and Wells Fargo are primarily staying on the sidelines when it comes to the Bakken, Redmann said.

The Bank of North Dakota has financed a lot of projects in oil country in the past two years, but is starting to worry about being too heavily concentrated in that area and may not be able to jump in as heavily, Redmann said.

Another presenter, Jon Nelson of Hegg Development Group, spoke about how to position major projects to get the attention of Wall Street. Hegg Development, based in Sioux Falls, S.D., expects to break ground on $100 million of development in the Bakken this year, with help from Wall Street financing, Nelson said.

“Wall Street is paying attention to the Bakken,” Nelson said.

The conference continues through today.

USDA home loan limit increased for ND

WILLISTON, N.D. – The USDA home loan limit for North Dakota will increase from $179,000 to $240,000, the USDA Rural Development office announced Wednesday.

Jasper Schneider, state director for USDA Rural Development, said the increase in loan limit reflects the realities of North Dakota’s booming economy and the high valuations of homes.

“It’s a different game here than it is elsewhere,” said Schneider, who announced the increase in limit during an event at the Williston Chamber of Commerce.

The new rate, which will be effective May 1, will allow the federal agency to continue being part of the solution for solving housing shortages in North Dakota, Schneider said.

“The market has just continued to take off, not just in Williston and Williams County, but all over North Dakota,” he said.

The last time the loan limit changed was in 2010. In fiscal year 2012, the USDA housing program provided more than $61 million in financing for more than 500 North Dakota homes.

For more information on USDA’s housing programs, call (701) 530-2037 or visit www.rurdev.usda.gov/nd.

Faces of the Boom: For Minnesota-based contractor, N.D. feels ‘almost like family’

Tony Godlewski, vice president of Shingobee Builders of Minnesota, pictured Wednesday, April 17, 2013, stands in front of an iconic building in Crosby, N.D., the company restored. Photo Special to Forum News Service

WILLISTON, N.D. – As a general contractor, Tony Godlewski likes to hear the sound of hammers seven days a week.

But when building activity slowed in his home base of Minnesota, competition for projects became cutthroat and profit margins declined.

“We were all trying to hang on and scrapping for work,” Godlewski said.

Godlewski, senior project manager for Shingobee Builders, decided about three years ago to take a trip to check out North Dakota’s Oil Patch.

The company embraced the idea of bidding some work in northwest North Dakota, and the contractor has been active in the Bakken ever since.

Godlewski has an apartment in Williston and travels from his home of St Michael, Minn., every two weeks to oversee construction projects.

“After three years, I still get excited about coming out here,” Godlewski said.

Shingobee Builders, based in the Twin Cities and St. Cloud, Minn., is a medium-sized general contractor that operates in a five-state region. The firm has 18 superintendents in charge of building projects and last year seven of them were based in North Dakota, Godlewski said.

The company’s first project in the Bakken was the addition and expansion of St. Luke’s Hospital in Crosby, which the builders finished 10 months early, Godlewski said.

The firm also recently completed the Roosevelt Inn & Suites in Watford City, the McDonald’s restaurant and Mountrail-Williams Electric Cooperative warehouse in Williston, and the addition and remodeling project for the Western Cooperative Credit Union headquarters in Dickinson.

One of Godlewski’s favorite projects was saving a former bank building that is iconic in downtown Crosby and renovating it into to a four-unit apartment building with a Verizon Wireless retail outlet on the lower level.

Among the firm’s next projects is the public works facility for the city of Dickinson.

Godlewski recently became vice president of the company, but made sure he can continue working in North Dakota. Part of what keeps him coming back to the state is working with the local officials.

“It’s almost like family,” Godlewski said.

Heitkamp says reservation housing problems ‘extreme’

U.S. Sen. Heidi Heitkamp, D-N.D., signs autographs Wednesday, April 3, 2013, for Head Start students in New Town, N.D., during a tour of the area. Amy Dalrymple/Forum News Service

NEW TOWN, N.D. – American Indians are often a forgotten population in Washington, U.S. Sen. Heidi Heitkamp said Wednesday.

Heitkamp, D.-N.D., told members of the Mandan, Hidatsa and Arikara Nation she is working to elevate issues from reservations, with a particular focus on addressing the housing crisis.

Although many North Dakota communities say their No. 1 issue is housing, the housing shortage is more pronounced on American Indian reservations, she said.

“You are probably extreme in your housing difficulties,” Heitkamp said during a meeting with tribal elders.

On the Fort Berthold Indian Reservation, which Heitkamp toured Wednesday, it’s common for three or four generations to live in the same house, Heitkamp said. Often those residents are making good salaries, but they’re forced to live in cramped conditions because there is no other option, she said.

Representatives of Fort Berthold Housing Authority told Heitkamp their stock of housing is from the late 1960s and early 1970s with infrastructure that is failing.

“People cannot live like this,” Heitkamp said.

Heitkamp said her visit to Williston earlier this week attracted several housing developers, but they weren’t interested in talking to her about developing housing on the reservation. She said she wants to work to identify impediments to private investment on the reservations.

Reba White Shirt-Bruce, who attended a meeting with Heitkamp, suggested that North Dakota recruit out-of-work architects and housing developers from other parts of the country to build housing on the reservation.

One challenge to solving the housing crisis is that many federal programs are based on rental prices and wages rates that are too low for western North Dakota, Heitkamp said.

Heitkamp said she is positioned to bring the unique housing issues to Washington through her appointments on the Indian Affairs Committee and the Banking, Housing and Urban Development Committee in the Senate.

Heitkamp is scheduled to be in Valley City today and Fargo on Friday.

Faces of the Boom: Couple working to build housing so other families can reunite

Jake and Katie Walters and their children, Drew and Julia, pictured Thursday in Watford City, N.D., recently moved to North Dakota from southern California. Amy Dalrymple/Forum News Service

WATFORD CITY, N.D. – Jake Walters spent about half of 2012 commuting from southern California to Watford City, sleeping on the floor of an RV and video chatting with his young family back home.

Being separated from his family for weeks at a time was tough, so he jumped at the chance to move his family to North Dakota and work in Watford City full time.

His wife, Katie, visited Watford City in October and by Thanksgiving they were moving into a single-wide trailer with kids Julia, 7, and Drew, 4.

“This is such a great community and is really focused on families,” Katie said.
Jake and Katie, who work in residential construction, were laid off from their jobs in 2009.

They lived in La Quinta, Calif., in Riverside County, one of the hardest-hit foreclosure spots in the country.

They now work as independent contractors for Bakken Housing Partners to manage two major developments in Watford City – Fox Hills Village and Wolf Run Village.

The timing of the job opportunity worked out perfectly for the family. They were in over their heads with their mortgage in California and considering moving in with family in Florida.

The difference between their former home and the booming economy of Watford City is dramatic, Katie said.

“Visiting this place, it’s a completely different universe from the rest of the country,” Katie said.

But the housing shortage in North Dakota requires many families to be separated. While flying back and forth to California, Jake met a lot of other dads who were away from their families, including one who spent his first Christmas at home in five years.

That gives the couple personal motivation to work hard at getting the housing projects completed.

They’re particularly excited about the Wolf Run Village project, which will provide affordable housing for teachers, law enforcement, city employees and other public service employees. The project includes Wolf Pup Day Care, which will add an additional 150 child care spots for Watford City, addressing a day care shortage that the family knows about firsthand.

Drew is only able to attend preschool for a half day, twice a week, and has to be in a class with kids who are a year younger. The family is eager for him to get into child care and have more opportunities for socialization.

For daughter Julia, she has about 17 kids in her class in Watford City, compared to about 30 in California.

“She’s getting a much better education here,” Katie said.

The family lives in a trailer their employer provides, which is also their office. The kids now share a bedroom and once a month they have two colleagues who stay with them.

But they’re happy to make the best of it, and they’re enjoying experiencing a new climate.

“I like it because we get to go sledding and make snowmen,” Julia said.

In just a few months, the family knows more people in Watford City than they did in La Quinta after living there for eight years.

“Everybody in this town is super friendly, willing to help,” Katie said.

Residents pack up from camp forced to close by annexation

Bryan McCoy moves out of an RV park in Williston, N.D., on Monday after he was told it is closing. Amy Dalrymple/Forum News Service

WILLISTON, N.D. – Residents of about 30 RVs are abruptly moving out this week after the owner told them he’s closing the camp because it was recently annexed into city limits.

Owner Kenny Willard said he told residents they need to start moving out of the camp that’s adjacent to his home in northwest Williston. His property is now within the city limits of the oil boom town, where living in an RV is illegal and subject to a $500 per day fine.

Williston Mayor Ward Koeser said city leaders have not taken any action to force the campers to move or to begin enforcing other ordinances in the recently annexed area.

“We’re going to give people time to respond if they need to make changes,” Koeser said. “Until we get a chance to review a number of issues, we probably won’t be doing anything.”

But Willard said he feared he would be subject to fines if he didn’t remove the campers from his property.

“I’m not going to put myself into that predicament,” Willard said. “I can’t put myself into the jeopardy of losing everything that I worked for all my life because I tried to help someone.”

Willard said he gave residents varying levels of notice to move out, ranging from 24 hours to 30 days, depending on when they had paid rent.

Many residents said Willard didn’t warn them about how the annexation would affect the camp, but Willard said, “Everyone has been talking about it for six months.”

Resident Bryan McCoy who moved from Grand Forks to Williston for “money, just like everybody else,” said he was aware of the annexation, but Willard told him the camp would stay open until spring or summer. McCoy said Willard also indicated he was going to open another camp and that McCoy was going to be one of the first ones to live there because he always paid rent.

McCoy had several days before he had to move out, but he has already quit his job working for an oilfield service company, given away his camper. He left Williston on a train Monday.

“It’s a joke,” McCoy said.

Residents paid $700 a month plus utilities to rent a space that did not include water or sewer hookups. The park had two portable toilets and residents could shower, wash dishes and do laundry in Willard’s home during designated hours. A series of extension cords powered the park and McCoy said the power often went out.

A series of extension cords powers about 30 campers in an RV park in Williston, N.D., that is closing. Amy Dalrymple/Forum News Service

City officials became concerned about sanitation and safety within RV camps that popped up throughout Williston as it grew rapidly with people looking for oil-boom related jobs. Those concerns prompted the city to make it illegal to live in campers within city limits. The ordinance took effect Sept. 1.

Single mother Jess Dougherty said she received one day’s notice to move out with her son, Tyler, a high school sophomore.

“We didn’t get any warning,” Dougherty said.

Dougherty, of Idaho, works as a janitor and for a cleaning service but can’t make ends meet in Williston, even with two jobs.

“We’d be living like kings anywhere else,” she said.

Dougherty said she wasn’t sure where she and her son would move.

“We’re going to try and fight it but it’s tempting to go back home or anywhere else,” Dougherty said.

Resident Ryan Greenwood, who was helping his neighbors move out, said he has until today to leave the camp. The Montana man said he had to abruptly move once before when he was living in a camper in the county.

“It’s a fact of life in Williston,” Greenwood said.

Ryan Greenwood, left, and Tyler Dougherty work on moving a camper out of an RV park in Williston, N.D., on Monday. Amy Dalrymple/Forum News Service


UND researchers document life in man camps

William Caraher, associate professor of history at the University of North Dakota, documents what’s left of a camp site that housed temporary workers in Tioga, N.D. Amy Dalrymple/Forum News Service

TIOGA, N.D. – An RV camp here that was recently full of workers and their families is now abandoned with wooden pallets, a dozen coolers, a set of dumbbells and other debris left behind.

Researchers studying North Dakota’s man camps retraced their steps Saturday to find that their favorite camp from their visit six months ago is now deserted.

Some of the camping spots appeared to have been abandoned fairly recently – and quickly – with a six-pack of beer, food in some of the coolers and a rug still hanging on a clothesline.

The team of University of North Dakota professors, an archaeologist and a photographer are touring the Oil Patch this weekend to continue their work on the North Dakota Man Camp Project, which involves studying the social and material conditions of workforce housing.

They visited Tioga, Wheelock and Williston on Saturday and will tour the Watford City area today.

William Caraher, associate professor of history, said initially the team planned to visit western North Dakota once for the research, but they discovered the study was too big for one trip and that conditions are evolving.

Bret Weber, assistant professor of social work, said the lack of housing is a nexus for all other social issues.

“In one way it all either directly or indirectly comes back to housing,” Weber said.

The group is studying three types of camps: the large, organized crew camps, less formal RV parks and trailer courts that have water and sewer hookups and the most rustic camps, which lack water and electricity.

Archaeologist Richard Rothaus said the abandoned camp in Tioga affirmed his expectation that the most primitive camps will be the ones to leave behind the most artifacts for future generations to find.

“The more organized the camp, the less there will be left,” said Rothaus, owner of consultant firm Trefoil Cultural and Environmental.

Weber said that camp, which lacked utility hookups, housed workers who were working on construction projects in town and the men, women and children had been eager to share their stories.

“The people were fantastically welcoming,” Weber said.

Weber, who is interviewing residents, said he’s found that many who live in the most organized crew camps often want to move to RV parks so they can have their own space, a grill, invite visitors and enjoy a greater sense of community.

Bret Weber, right, assistant professor of social work at the University of North Dakota, interviews oil truck driver Clint Brees in Tioga, N.D. Amy Dalrymple/Forum News Service

Caraher and Rothaus take photos and thoroughly document each park they visit for aspects such as their heating source, foam insulation and shipping pallets used for walkways or decks.

“They’re really inventive,” Caraher said of how some residents winterize their RVs.

One of the group’s goals is to document the living conditions of the oil boom so people in the future will know what it was like.

Renowned photographer Kyle Cassidy traveled from Philadelphia to accompany them this weekend. He is taking portraits of people in the Oil Patch to make the research project more visually dynamic.

Cassidy’s documentary photography book “Armed America: Portraits of Gun Owners in Their Homes” received recognition including being named to Amazon’s list of “Best 10 Art Books of 2007.”

Cassidy said this trip to North Dakota was a “fact-finding” mission for him and he expects to be back to photograph more.

“I’m very motivated by meeting people that I would never have met in my ordinary life and hearing their stories,” Cassidy said.

Population study says Williston could have 44,000 by 2017

WILLISTON, N.D. – Williston’s booming population could be as high as nearly 44,000 people in 2017, according to a North Dakota State University study.

The population of Williams County could be as high as 70,000 in five years, according to analysis by the Department of Agribusiness and Applied Economics presented to city leaders this week. The projections are triple the population figures from the 2010 census.

The figures include permanent residents and temporary workers related to the region’s oil boom.

Current estimates show that Williston has about 33,000 people, including both permanent residents and workers who have homes elsewhere, according to the NDSU study.

Williams County, including the city of Williston, is home to as many as 51,000 people, including those in crew camps and RVs.

“There’s a lot of people in Williston and Williams County right now, perhaps more than people thought,” said NDSU assistant research professor Nancy Hodur, who was asked by the city to develop projections.

Williston Mayor Ward Koeser said city leaders need population estimates, including the number of temporary residents, to plan how large to build a sewage treatment plant, how many police and city staff to add and other city services.

City leaders also wanted some population estimates they can present to legislators for requests for funding, Koeser said.

“Realistically, no one knows for sure,” Koeser said of population projections. “But we still think it’s very important to try to plan.”

The 2010 U.S. census put Williston’s population at 14,716.

Census figures have underestimated Williston’s population because demographics are changing quickly and the census does not count workers who live in temporary housing, Hodur said. But the number of temporary workers is important for leaders to know because they also use city services, she said.

“Things are changing so fast. They need to have some sort of idea of a headcount so they can plan for infrastructure, public services and managing the buildout,” said Hodur, who did the analysis with fellow NDSU researcher Dean Bangsund.

In April, the Census Bureau called Williston the fastest-growing micro area in the country. Census estimates show Williams County grew 8.8 percent between April 1, 2010 and July 1, 2011, not including temporary workers.

The NDSU study estimates population using two models, the first based on employment demands for the oil industry, and the second using information from the city and county about how much housing has been added, including crew camps and RV parks.

Population projections from the two models were similar, Hodur said.

The NDSU study did not do projections past five years.

“Any further than that, you’re guessing about what’s going to happen,” she said.

NDSU researchers also are working with western North Dakota school districts, including Williston, to provide estimates of future school enrollment.

The analysis shows that of Williston’s current population of about 33,000, about 18,000 of those are permanent residents.

Koeser said he was surprised to see the permanent population number that low, but he didn’t dispute the figure.

“The big factor is how many of these temporary residents can we transition to permanent?” Koeser said.

Williston’s population projections could change if the community doesn’t build enough housing, Hodur said.

“You’ve got a mobile workforce,” she said. “If housing isn’t there, they’ll go elsewhere.”

The housing projects that are being developed in the Williston area are in line with population projections, Hodur said.

“In the near term, it doesn’t appear that the city is in danger of way overbuilding,” she said.
Williston added 1,300 housing units in 2011 and has more than 1,400 housing units that were built or are under construction this year, said Shawn Wenko, deputy director for Williston Economic Development.

The city estimates it will add 2,000 housing units in 2013, Wenko said.
Koeser said he believes the city will catch up on housing in a couple of years, particularly with apartments.

“I don’t know if the price will be down yet, but I think you’ll at least be able to rent an apartment,” Koeser said.

Population estimates

Williston 2010 Census: 14,716
Williams County 2010 Census (including Williston): 22,398

2012 Williston service* population: 25,349 to 33,547
2012 Williams County service population: 49,320 to 51,061

2017 Williston service population projection: 39,678 to 43,993
2017 Williams County service population projection: 66,690 to 70,110

Source: NDSU Department of Agribusiness and Applied Economics
* Service population includes temporary workers. Census figures do not count temporary workers.