City Council Minutes

Mayor Johnson called the meeting to order with the Pledge of Allegiance at 7:30 p.m. in the Northville City Hall Council Chambers, 215 West Main Street, Northville, Michigan.

Present: Mayor Christopher Johnson, Councilmembers Kevin Hartshorne, Jerome Mittman and Thomas Swigart

Absent: Mayor Pro Tem Carolann Ayers (excused)

A. Citizen Comments None

New Business 9B – Proposed By-Laws Changes / Parks and Recreation Commission was removed from the agenda.

Motion Hartshorne, seconded by Swigart to approve the agenda and consent agenda as amended. Consent agenda as follows:

Approve City Council Minutes:

Regular Meeting of September 2, 2003

Approve Bills List:

Checks #33788 to #33861,
Checks #33862 to #33975

Receive Board and Commission Minutes:

Downtown Development Authority: 8/12/03, Special Meeting of 8/28/03

Parks and Recreation: 8/13/03

Senior Advisory Council: 8/21/03

Receive Departmental Reports:

Fire Department: 7/03, 8/03

Parks and Recreation: 8/03

Holiday Lighted Parade / November 21, 2003

Use of the "Welcome to Northville" Signs

Disposal of Used Equipment

Traffic Control Order 03-06 / School Crossing Guard Locations

Bottle Drive / Cooke School / Northville Public Schools Special Education

Bottle Drive / Northville High School Music Boosters

Novi-Northville CROP Walk (Walk for World Hunger)

For several years, the Downtown Development Authority (DDA) has discussed parking expansion in downtown Northville. This year, the DDA directed Staff to proceed with a parking expansion plan that would impact Parking Lot #2 and Parking Lot #3 (Marquis Lot). The proposed funding source for this project is a limited tax obligation bond, which would be repaid with tax-increment funds from the DDA. Revenues from parking credits, related to new development, would provide supplemental funding for the project, if needed. At its July 8, 2003 meeting, the DDA adopted a resolution requesting that the City proceed with issuing tax increment/limited tax obligation bonds.

At its July 21, 2003 meeting, the City Council adopted a Notice of Intent Resolution, giving notice to the citizens that the City intended to proceed with issuing tax increment limited tax obligation bonds in the amount of $6,500,000, for the purpose of defraying the cost of a public parking improvement program in the downtown. The Notice of Intent was published on July 24, 2003, giving rise to a 45-day right of referendum as provided for in the Home Rule City Act.

On August 29, 2003 referendum petitions were filed with the City Clerk. While a sufficient number of valid signatures were submitted, the City’s bond counsel assessment found that the petitions failed to conform to several statutory requirements, making them legally insufficient to refer the referendum question to the voters.

The Assistant City Manager/Finance Director reviewed the five possible courses of action available to the City Council.

The difference between limited and unlimited tax bonds was discussed. It was noted that limited tax bond ballot language would identify DDA revenues as the source of funds for bond repayment. Unlimited tax bond ballot language identifies an amount of additional millage that could be levied for bond repayment and the ballot language cannot identify the DDA revenue as the source of repayment. It was further noted that the interest impact is minimal between the two types of bonds due to the City’s increased bond rating.

Council Comments / Discussion: Brief discussion ensued relative to the fact that the petitions did not meet the statutory requirements. Despite the petition’s noncompliance with the technical aspects of the law, it was felt that action accepting the petitions was appropriate as a sufficient number of voters indicated their interest in placing the proposal on the ballot. It was reiterated that the limited tax bond ballot language would identify DDA revenues as the source of funds for bond repayment.

Evonne Simoff, 925 Whitegate Drive, questioned whether the City Council’s action to accept the petitions tonight was the same as if the petitions had been found legally sufficient in format. (Yes)

Tom Barry, 239 High Street, stated that he was pleased that the City Council was responding to the community by accepting the petitions.

Bob Sochacki, 223 Linden, thanked the Council for accepting the petitions.

Carl Giroux, 127 S. Rogers, thanked the City Council for accepting the petitions and questioned whether the City had considered holding a public hearing in an attempt to further educate the voters prior to Election Day.

A comment from the City Council noted that the challenge will be to ensure that the public and community are educated prior to Election Day. It was further noted that input from the public can help change views, and delaying the project in order to better educate the community could result in a plan that pleases everyone.

Michael McClish, 647 Thayer, stated that he realized that many people were uninformed on the specifics of the parking improvement proposal and was looking for a better way to disseminate information to the community.

Councilmember Hartshorne noted that he had drafted the petitions based on the format he used in other petition drives. He was unaware that the past format was incorrect and did not conform to certain statutory requirements. A final comment noted that attempts to gather new signatures on revised petitions by the September 8^th deadline were unsuccessful.

Motion Mittman, seconded by Hartshorne to accept the petitions related to exercising the right of referendum on the City of Northville Limited Tax General Obligation Bonds. Motion carried unanimously.

Motion Swigart, seconded by Hartshorne to adopt the Resolution Calling Election on November 4, 2003, for the purpose of submitting to vote of the qualified electors of the City, the proposition of borrowing and issuing limited tax general obligation bonds for the purpose of paying the costs of acquiring and constructing parking improvements in the City. Motion carried unanimously.

Dave Bashur, 337 Sherrie Lane, asked the City to consider sending out future meeting notices on this issue via email.

An email sign up sheet was circulated and the Mayor suggested that interested persons also access the City’s website to subscribe to other City news.

John Kaloustian, 870 W. Main Street, expressed his concern for potential increased traffic congestion near the proposed parking deck site and asked the City Council to consider other potential sites.

The City Council noted that various sites had been evaluated for a significant length of time and it was determined that the site of the proposed parking deck and the reconfiguration of Lot #3 were appropriate. Final comments noted the interesting fact that people are willing to park a substantial distance from the entrance to a shopping mall; however, they are not willing to park on Cady Street and walk up to Main Street. People want convenient, friendly, and safe parking, which is usually defined as parking that is available at the Main Street level.

It was suggested that information pertaining to the parking expansion project, plans, and proposals be available for review at a future public meeting.

The City created a Historic District (HD) under state law in 1974 for the purpose of maintaining and protecting the residential and commercial historic structures built during the City’s formative years. For more than 30 years, the Historic District Commission (HDC) has successfully preserved the historic integrity of the City within the Historic District.

Recently, it was found that the City’s Historic Preservation Ordinance (Historic District Ordinance) was outdated and inconsistent with state statutes governing local HD ordinances. In 2002, the City retained the services of Lis Knibbe Architects to assist the Northville Historic District Commission in amending the City’s HD ordinance to be in conformance with state law. In addition, the HDC reviewed the HD boundaries and is recommending a revised boundary description to precisely define the HD boundaries.

Council Comments / Discussion: The section of the proposed ordinance titled "Procedures of the Commission" identifies the officers of the HDC and suggests that the HDC chairperson be elected from the membership. Historically, the Mayor or City Council liaison has been the chairperson of the HDC and it was suggested that this section be modified to state that the Mayor or City Council liaison shall serve as the chairperson and that the Commission shall elect a vice-chairperson who shall serve for the term of one year and shall be eligible for re-election.

It was noted that the revised HD boundary description was drafted in order to better define with greater precision the lots that belong within the HD. In essence, the lots and property within the HD have not changed, only the definition describing the lots.

Motion Mittman, seconded by Swigart to:

1. Accept the revised boundary description for inclusion in the proposed ordinance amendment.
2. Modify the proposed ordinance amendment to identify the Mayor or City Council liaison as the chairperson of the HDC, waive reading and introduce an ordinance amending Chapter 42 Historic Preservation (Historic District Ordinance) of the Northville Code of Ordinances, with second reading and possible adoption scheduled for October 6, 2003. Motion carried unanimously.

Northville Township is considering the development of construction documents for Phase I of the Northville Community Park expansion project. It is anticipated that a construction bid award could occur in February 2004, with construction beginning in March 2004, and an estimated completion by October 2004.

The expansion project includes four new soccer fields, one lacrosse field, one baseball diamond, two practice fields, six sand volleyball courts, three basketball courts, a playground, restroom, picnic area, and walking paths. As the project will be under construction through the current fiscal year, there is no expected impact on the FY2004 Parks and Recreation operating budget. However, in FY2005, park operating costs are expected to increase 85% from the current budget. The City of Northville share of the additional expenses is estimated to be an increase of $59,877, which is due to additional full and part-time staff, contractual services, maintenance equipment, and operation materials.

Council Comments / Discussion: Discussion ensued relative to the increasing costs of recreation and the burden shifted to the taxpayer. Concern was expressed on the fact that a major portion of recreation funds is geared toward organized sport activities and fields, creating more of what is already available. It was noted that the recent recreation survey indicates that most people support the addition of non-programmed recreation and that organized sports are not at the top of the list of wants and needs for the recreation community. While recognizing the needs of organized sports, it was questioned if it was appropriate to designate all or a majority of funds to further enhance a section of recreation that does not appear to meet the needs of the recreation community as a whole.

Further discussion focused on the need to identify revenue sources and receive this information prior to the budget adoption, determine if charges imposed for field use are appropriate, and the importance of allocating funds to address the wishes of the entire recreation community.

Thelma Kubitskey, Northville Township Assistant Manager/Finance Director, explained that the Township wanted the City to be aware of the increased costs involved with the expansion project. She further noted that the current Park Operating Millage falls short of funding the project and that the Township plans to make up the shortfall through their fund balance. A final comment noted that the Township has reviewed the proposed operating cost increases and has directed the Recreation Director to identify specific park uses and propose an alternative structure of payment and use.

Final comments from the City Council noted that the City’s flexibility is small and that consideration of a dedicated millage for Parks and Recreation may be warranted.

The City Council was reluctant to support the Northville Community Park expansion project until revenue sources have been identified. The Recreation Director was directed to be creative when identifying current revenue sources, reviewing current user fees, and considering an alternative structure of payment and use.

B. Proposed By-Laws Change / Parks and Recreation Commission (removed from the agenda)

Mittman noted that he would be out of town and unable to attend the October 6, 2003 City Council meeting.

B. Staff Communications None

There being no further business to come before Council, the meeting was adjourned.

Respectfully submitted,

Dianne Massa
City Clerk