Walsh County fair committee outlines $2–3 million building plan, seeks commission’s blessing for fundraising

Brad (speaking for the fair committee) told the Walsh County Board of Commissioners that a year-old engineering review showed substantial needed repairs to the county fair building and that the committee is pursuing a replacement building east of the arena. He said preliminary cost estimates put a new building at roughly $2 million to $3 million and that the committee secured a $100,000 state “fair rejuvenation” grant that must be spent by July 1, 2027 and requires a local match. The committee has prepared pledge sheets and plans public fundraising but emphasized they were not asking the county to contribute new operating funds at this time.

The committee raised legal and tax questions about future organization: some county fairs operate as 501(c)(3) nonprofits and still receive county support, but donors’ tax treatment and the county’s ability to provide funds differ depending on whether the fair board remains a county entity. Commissioners asked staff to research North Dakota Century Code provisions and find examples of counties that support fairs while the fair organization operates as a nonprofit. One commissioner said a Century Code review suggested county support for fairs “for public welfare” is feasible, and staff agreed to consult the auditors’ group for precedents.

Commissioners and the committee also discussed a two-phase development plan that would build a large year-round facility first and later remove the hockey arena to create parking and an annex; uses for the facility beyond the three-day fair include car shows, horse shows, auctions and weddings to help cash-flow operations. Presenters stressed it is important to plan for year-round revenue and long-term maintenance.

Committee members said there has been misinformation circulating locally — including a newspaper article that inaccurately stated the county had condemned the existing building — and asked the commission to note the county did not condemn the structure. The committee also sought clarity about whether large donations could receive tax benefits if the fair remained a county entity rather than a separate 501(c)(3).

Next steps: county staff will research Century Code and county examples of nonprofit fair organizations, the committee will continue fundraising and site planning, and the commission indicated willingness to discuss land-transfer options and a possible tax-release arrangement if the committee pursues a privately funded rebuild.