MDN File Photo Redevelopment of the Big M Building in downtown building, shown in July 2025, has stalled and has left the community with questions about its future.

The City of Minot will hire a law firm to help navigate any legal actions concerning a Tax Increment Financing (TIF) agreement with a subsidiary of bankrupt EPIC Companies.

The Minot City Council voted Tuesday, Feb. 17, to engage Dorsey & Whitney, an international law firm with an office in Minneapolis, to review all development project documents associated with the Big M Building development and determine the city’s legal position. The firm will aid the city in developing legal strategies and represent the city if any legal action is necessary.

The city’s TIF agreement is with Big M Minot, LLC. The city issued TIF bonds in exchange for redevelopment of the former Midwest Federal Building, known as the Big M Building because of the large “M” on the roof of the eight-story high rise.

The redevelopment plan was to turn the property into commercial and residential space. The City of Minot and Minot School District approved 20-year TIF to help with asbestos removal. The TIF provides that 90% of the additional taxes generated by improvements to the building will go to pay off city bonds of about $2.55 million that were used to abate asbestos.

Bonds would be repaid as long as property taxes are paid on the building. Taxes are delinquent for 2024, according to the city.

The Ward County Commission had approved an eight-year incentive for EPIC Companies that carries a tax break estimated at roughly $250,000. The county also would be affected if property taxes remain unpaid.

According to the city, after EPIC Companies experienced financial difficulties in 2024, the project stalled and the building has continued to deteriorate. City staff has been in contact with legal counsel representing the current ownership of Big M Minot regarding building abatement issues and the existing TIF agreement.

“We had some discussions with an attorney representing the owner of the project – or the investors of the project. They have alluded that they have some folks that may be interested in purchasing the property, but we have to work through the encumbrances that are currently with the property,” David Lakefield, city finance director, told the council. Encumbrances include a mortgage, construction fees and back taxes, along with the city’s TIF and minimum assessment agreement.

Information provided to the council by City Attorney Stefanie Stalheim and Lakefield noted there are complexities created by personal guarantees in the agreement, numerous liens against the property and varying levels of cooperation among EPIC Companies’ creditors.

Stalheim advised hiring an outside attorney because the research will be time-intensive, and her staff already has a number of issues it is working on.

The cost of the legal services is uncertain, Stalheim reported to the council in a memo. The city council budgeted $20,000 for the appointment of special counsel in 2026 and would need to find other sources of revenue if the cost exceeds that amount.

Dorsey & Whitney currently represents the city on bond sales and pension issues, according to the city. It previously served as counsel on performance bond matters related to the parking structures in 2015 and subsequent lawsuit against Cypress Development.

Council member Mike Blessum said removal of the barriers that have long stood around the Big M Building is a step in the right direction.

“We just hope it gets back in use,” he said of the building.

The city council also agreed on Tuesday to auction a liquor license it revoked after another EPIC Companies’ project stalled.

The city council held a hearing Jan. 20 on a complaint that alleged M&S Concessions failed to actively use its retail liquor, beer and wine license at The Tracks within a year of issuance, as is required by ordinance.

M&S purchased the license for The Tracks in 2024 for $100,005 and paid license fees through 2024 after getting extensions from the city to hold the license while development of The Tracks continued, according to information provided to the council at the hearing. The project never resulted in the premises M&S had intended to use. No additional extension had been requested, and the council chose to revoke the license.

The council voted to auction the license through sealed bids, with no bid minimum set. The license will be advertised for 60 days.