November 2003 Status Report

             1. Project 2000 Tax Case

            As you know, the Tribunal ruled against us in this case.  As I advised you, Steve Martineau and I were discussing the possibility of filing an appeal of the decision.  There are two ways to appeal, either ask for a rehearing by the Tax Tribunal or appeal directly to the Court of Appeals.  You have 14 days to ask for a Tribunal rehearing and 21 days to appeal to the Court of Appeals from the date of the entry of the judgment.  This means we had to ask for a rehearing to the Tribunal by November 14th or to the Court of Appeals by November 21st.

            We came to the conclusion that we should file a request for a rehearing by the Tribunal.  The major reason for filing for a rehearing was to give us more time to decide if we should proceed to the Court of Appeals.  We do not feel we have enough information at this point to file an appeal directly to the Court of Appeals.

            It will probably take some time for the Tribunal to make a decision on our request for a rehearing.  We assume that the Tribunal will deny our request and, if so, we then have 21 days to file with the Court of Appeals.  Therefore we may have two or three months before we need to decide to appeal further.  As I indicated in my earlier memo, Bob Kerzka stated that because of his limited experience before the Court of Appeals, he would not represent us if we decide to proceed further.  This will now give us time to seek an attorney with the appropriate experience.  Once this person reviews the case he can better advise us as to whether or not to proceed.

            I have also talked to the legal staff at the MML, who will ask the Legal Defense Fund Board if they will participate in this case with us.  I have also requested a meeting with the director of their legislative staff to see what if any legislative action we should take.  I do not believe they can help us legislatively at this point; however, this decision could have serious ramifications state-wide on cities' efforts to acquire and develop land.  I will keep you informed.

             2. Master Plan Update

            As I mentioned at the Commission meeting, we have rescheduled the next strategic plan focus group meeting for December 9th at the High School.  We hope to have a good turnout, and will probably ask you to make reminder calls as we get closer to the date of the meeting.

             3. Water Referendum

            We have heard nothing further from the group as to whether or not they will circulate a new petition.  If and when I hear anything further on this matter, I will let you know.

             4.     Fire Funding

            There were a couple of amendments to bills in the House that would increase liquor fees to cover fire funding.  Quite frankly I have heard nothing further about their fate.  I previously mentioned that the Mayor of Ypsilanti was attempting to set up a meeting of some cities who receive fire funding.  I sent her a letter indicating our desire to participate in such a meeting.  I have not gotten a response as yet.

             5. Industrial Park-South

            As you know, we have sold all but ten acres in the Park.  A few weeks ago George Dunn approached me about the idea of providing some curb cuts along Isabella Road in order to allow property owners to sell some of the land between the backs of their buildings and Isabella Road.  Most of the existing buildings are relatively small in relation to the total land area.  Allowing curb cuts may open up a market for additional small industrial companies, thereby creating more jobs and improving our tax base.  We have had discussions with the property owners who have expressed interest.  We are now getting costs for extension of necessary utilities.  I am sure further discussions will be held on this matter.

             6.    CMU Reception

            A reception of community and students leaders was held at CMU on November 13th.  There was a good turnout at the reception and it gave us a good opportunity to meet with student leaders.

             7. Public Safety Building Mediation

            As you may recall, we have a dispute with the architect on the project.  Under the terms of our contract with the firm we have to mediate any disputes.  A mediation session has been scheduled between the parties for December 19th.

             8. Employee Holiday Luncheon

            The annual holiday luncheon has been scheduled for December 19th at the Public Safety Building starting at 11:30 a.m.  You are cordially invited to attend.

             9. Commission-Staff Holiday Reception

            This annual event has been scheduled for December 15th at the Country Club beginning at 8:00 p.m.

           10. Traffic Control Orders

            We have four new Temporary Traffic Control Orders as follows:

#9-03: Install “No Parking Here To Corner” signs at the intersection of Elm near Neier, and Elm and Cooley Streets.

#10-03: Install “No Parking Here To Corner” signs at the southeast and southwest corners of Fancher and Gaylord Streets.

#11-03: Install “No Parking Here To Corner” signs at the southeast and southwest corners of Sweeney and Preston Streets.

#12-03: Install “No Parking” signs on the west side of Bradley Street between Woodland and Betsy Lane.

            As you know, we will monitor these signs over the next three months to determine their effectiveness.

           11.    Park Projects

            The new Island Park parking lot is finished except for the installation of the asphalt wearing course and planting trees in the islands.  It really makes a nice addition to the park and will provide much more parking for events and ball games.  The new shuffleboard courts will be finished in the spring.

            The new ball field is nearing completion in the lower level of Pickens Field.

           12. River Of Time

            The landscaping for the property was completed this past week except for seeding.  The walk may still be poured this year if weather permits.  If not, it will be poured in the spring.

           13. Family Center Task Force

            The consultant has begun their work.  Public meetings are scheduled for December 10th and 11th, as well as January 7th and 8th.  At these meetings the consultants will seek input from stakeholders, such as sports clubs, schools and seniors, as well as the general public, on the need for such a project.  The consultant will also use these meetings to fine tune the citizen survey that will be used to gauge the need and support for such a facility.  The consultant is looking to have their recommendations completed by the end of April 2004.

           14. Environmental Impact Of Fireworks

            Please find attached a memo from Captain Theisen regarding requested information on the environmental impact of the use of fireworks.  The memo is self-explanatory.

           15. Information Regarding Impacts Of Granting Tax Abatements

            During discussion of an industrial tax abatement for Bill’s Custom Fab, questions were raised regarding the benefits gained for the abatement versus cost to provide services to the companies involved.  Please find attached a couple of documents.  The first is a spreadsheet explaining taxes received for currently abated properties.  Of the ten currently in place, three are for real property and seven are for personal property.  Of these three real property abatements, two are for 12 years and one is for 7 years.  Of the seven personal property exemptions, one is for 12 years, one for seven years, and five are for six years.

            A little background on each of these companies might be helpful to understand why we have granted the abatements.

Great Lakes Coating:  The owner of the company was with another company and started a new company.  George Dunn then worked with the company to get him to locate his new business and facility in Industrial Park-South.  He has a 10,000 square foot building with 40 employees.

 

Carpenter Enterprises is now Eagle-Picher.  The owner drove by Industrial Park-South on his way north and saw the shell building.  He contacted MMDC, who worked with him to get the company to locate in the Park.  Their building is approximately 60,000 square feet and they employ 100 people.

 

CME was a new company that located in University Park in 1987-88.  Their current facility is 200,000 square feet with 350 associates.

 

Eagle-Picher is a subsequent owner of Carpenter Enterprises.  In fact, they have asked for a new abatement for additional equipment for their facility.

 

Konwinski Cabinets was located in the Township and chose to locate their new facility in Industrial Park-South.  Their building is 10,000 square feet with 22 employees.

 

ITW Foils was a new company that located in Industrial Park-North.  Their building is 19,000 square feet with 21 employees.

            In each of these cases tax abatements were used as an inducement to have them locate in the park.  You could say that without the abatements they may not have located in Mt. Pleasant.  We also use abatements to help these companies expand here.  Ninety percent of all new jobs are created by existing companies.

            George will address these issues in more detail during his presentation.

            We have also included for your information the number of Public Safety calls for the properties in question.  My understanding is that most of these calls are for false alarms.  This, of course, does not include normal police patrol activities or routine road maintenance or snowplowing.  However, since the roads serving these companies are fairly new, maintenance is at a minimum.  We also mow the grass four or five times a year.

            I hope this answers your questions, but if you should require anything further, please do not hesitate to contact me.

           16. Taxicab Licenses

            Comments were raised by a citizen at the October 27th meeting concerning how other cities deal with cab companies.  Rob Flynn did some research and provides the following facts for your information.  If you should require anything further, please do not hesitate to contact me.

 

 

City

Commission Approval For Operation

Commission Sets No. Of Companies

 

Commission Sets Fees

Commission Sets Ceiling On Fees

Midland

Yes

No

No

No

Lansing

Yes

No

No

Yes

Flint

Yes

No

No

Yes

Saginaw

Yes

Yes, 1 company per 1,500 population

Yes, every 4 years

Yes

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