MINUTES

 

Spring Lake Village

August 1, 2005

7:30 P.M.

Barber School Meeting Room

102 West Exchange

Spring Lake, Michigan

 

I.  Call to Order

 

     President Pro Tem Palma called the meeting to order at 7:30 p.m.

 

II.               Pledge of Allegiance

 

III.          Roll Call

 

A.              Present:    Filber, Fischer, Holland, Palma & VanStrate.

Excused:   Keller & Hall

 

B.              On a motion by Holland, support from Fischer, Council members Keller and Hall were excused.

 

                                                               Yes:                 4                      No:                 1 (VanStrate)

 

IV.                                 Reports and Statements of Citizens:

 

No reports or statements of citizens were presented.

 

V.  Consent Agenda

 

A.              Approved the payment of the bills in the amount of $106,912.70.

 

B.              Approved the minutes of the July 18, 2005 meeting.

 

C.           Appointed Carol Lee Dull to the election commission for the September 13, 2005 Spring Lake Village election.

 

D.          Authorized the Village Clerk-Treasurer to cast a vote for five                 trustees on the ballot for the Michigan Municipal League’s Worker    Compensation Fund Board of Trustees.

 

      On a motion by Fischer, support from Filber, the Village Council approved the Consent Agenda as presented.

 

                                          Yes:                 5                      No:                 0

 

 

VI.                                 Report by the Village Clerk-Treasurer

 

A.  Held a public hearing to solicit public comment on the use of  $240,000 of CDBG funds from the Michigan Economic Development for the West Savidge Street streetscape, parking and power line relocation, as well as use of $26,850 of Tax Increment Financing funds for the Spring Lake Village Share of the local match, together with matching developer funds and approved the authorizing resolution to submit a Michigan Community Development Block Grant for the same.

 

Subject:  This public hearing was required given Michigan Strategic Fund Board approval of the Notice of Intent on July 21st.  The Village was authorized to submit a full grant application related to the Lake Pointe project at 917 West Savidge.   This hearing was advertised and the nearby neighbors were individually noticed. 

 

This action was the culmination of the planned development efforts to assist in redevelopment of the western part of West Savidge.  It was made possible through the proposed restaurant and the resultant creation of 12 full time equivalent jobs.  The total amount of the grant was determined by the number of full-time jobs times $20,000 of streetscape assistance per job.

 

Once approved by the State, a grant agreement would be returned to the Council for approval, the streetscape plans would be developed and would come before the West Savidge businesses, the Planning Commission and the Village Council for review.  The Village staff would monitor the hiring to ensure 51% of the jobs go to low-to-moderate income individuals and would seek periodic reimbursements during the streetscape construction.

 

 President Pro Tem Palma opened the public hearing at 7:35 p.m.

 

There were no public comments.

 

On a motion by Fischer, support from Holland, the Village Council closed the public hearing at 7:36 p.m.

 

                                      Yes:                 5                      No:                 0

 

On a motion by Fischer, support from Filber, the Village Council approved a resolution authorizing the Village President and the Village Manger, serving as Certifying Officer, to submit the proposed grant for $240,000 of CDBG funds from the Michigan Economic Development for the West Savidge Street streetscape, parking and power line relocation, as well as use of $26,850 of Tax Increment Financing Funds and the use of $91,850 of developer funds to complete the grant match.

 

                                      Yes:                 5                      No:                 0

 

 

B.  Held a public hearing and subsequently approved an Ordinance to amend the Code of Ordinances by adding Article IV to Chapter 30, Environment, to regulate the use of groundwater in the “Barbers Addition Area” of the Village of Spring Lake.

 

Subject:  This public hearing and adoption of an ordinance would complete the environmental process associated with the Citgo gasoline spill.  The Michigan Department of Environmental Quality provided a letter on July 11, 2005 that concurred with this action.   The “Barber’s Addition Area” was generally bounded by Savidge south to the Grand River from Division to Cutler and from Savidge north to Liberty between Park and Cutler. 

 

Mr. Kurt Koella of Lakeshore Environmental, representative for Tri-City Oil, explained what the “Barber’s Addition Area” encompassed.  Mr. Koella went on to explain the procedures that Lakeshore Environmental had taken to meet the requirements for closure of this site.

 

President Pro Tem Palma opened the public hearing at 7:42 p.m.

 

There was no public comment.

 

On a motion by Holland, support from VanStrate, the Village Council closed the public hearing at 7:43 p.m.

 

                                    Yes:                 5                      No:                 0

 

Council member Holland asked if Village residents were not supposed to dig wells.

 

Mr. Koella said that it is illegal to do so in the restricted area because this is not a protected aquifer according to the Health Department.

 

Council member Palma asked if the existing wells were grandfathered in.

 

Mr. Koella said that when Lakeshore Environmental did their survey, they did not find any wells in the “Barber’s Addition” area.  Mr. Koella added that most residents had positive feedback on the restrictions and that they use Village water to sprinkle their lots.

 

On a motion by Fischer, support from Filber, the Village Council approved an Ordinance to amend the Code by adding Article IV to Chapter 30, Environment, to regulate the use of groundwater in the “Barbers Addition Area” of the Village of Spring Lake.

 

                                                                        Yes:                 5                      No:                 0

 

VII.                            Report By the Village Manager:

 

A.  Approved a Brownfield Grant agreement in the amount of $100,000 in conjunction with the Lake Pointe Project at 917 West Savidge and authorized the Village President and Clerk to execute the grant agreement following review by the Village Attorney.

 

Subject:  The Michigan Department of Environmental Quality made resources available to assist in Brownfield cleanup as a result of the Clean Michigan Initiative statewide bond election of seven years ago.  As such, the above project qualified for assistance as a Part 201 contaminated facility.  Since some of the contamination was from businesses that no longer existed, the portion of the costs associated with demolition and asbestos would be covered by a grant to the Village on a reimbursement basis. The Village would receive the grant award, contract for the work and be responsible for reporting to the State MDEQ and seeking reimbursement. 

 

On a motion by Filber, support from Fischer, the Village Council approved the Brownfield Grant Agreement draft and authorized the Village President and Village Clerk/Treasurer to execute the grant agreement following review and approval by the Village Attorney of the draft.

 

                                    Yes:                 5                      No:                 0

 

 

B.  Approved a Brownfield Loan Agreement in the amount of not-to-exceed $260,000 in conjunction with the Lake Pointe Project at 917 West Savidge and authorized the Village President and Village Clerk/Treasurer to execute the loan agreement following review by the Village Attorney.

 

Summary:  The Michigan Department of Environmental Quality made resources available to assist in Brownfield cleanup as a result of the Clean Michigan Initiative statewide bond election of seven years ago.  As such, the above project qualified for assistance as a Part 201 contaminated facility.  Since some of the contamination was from businesses that still exist, the portion of the costs associated with environmental investigation, remediation and due care would be covered by a loan to the Village.  The Village would receive the loan award, contract for the work and be responsible for reporting to the State MDEQ and seeking reimbursement. 

 

The Village would subsequently need to set up a Brownfield TIF district to capture the eligible amounts and pay back the loan within four years.  Under this basis, taxes would be captured from the School, Library, County and other taxing units for this particular property until the loan was paid back.  The estimated new assessed value was $2.5 million.  If all went well with the Brownfield TIF creation or if the total amount of the loan was not necessary, this amount could be paid back in less than three years.

 

 

On a motion by Fischer, support from Holland, the Village Council approved the Brownfield loan agreement in an amount not to exceed $260,000 in conjunction with the Lake Pointe Project and authorized the Village President and Village Clerk/Treasurer to execute following review by the Village Attorney.

 

                                    Yes:                 5                      No:                 0

 

 

C.  Scheduled a public hearing on August 15, 2005 at 7:30 p.m. for public input and council action on an amendment to the planned development contract with “Lake Pointe Condominiums and Town Homes” to incorporate changes pertaining to the West Savidge streetscape, the Brownfield Redevelopment Grant, the Brownfield Redevelopment Loan and the Uniform Relocation Act associated with the use of Community Development Block Grants.

 

Subject:  This hearing was needed before the existing Planned Development agreement could be amended to incorporate the above new understandings.  The new agreement draft contained amended language on the Village’s cost sharing for the power line under grounding ($65,000 from the expected grant), the provision of jobs by the application to meet the grant terms (12 full time equivalents), limits to the Village’s assistance under the Uniform Relocation Act (50% cost share limited to $12,500 from the Tax Increment Financing District Fund) and demolition/lease of the Village’s property at 921 West Savidge. 

 

On a motion from Fischer, support from VanStrate, the Village Council scheduled a public hearing on August 15, 2005 at 7:30 p.m. on an amendment to the Planned Development Contract with “Lake Pointe Condominiums and Town Homes” to incorporate changes pertaining to the West Savidge Streetscape, the Brownfield Redevelopment Grant, the Brownfield Redevelopment Loan and the Uniform Relocation Act associated with the use of Community Development Block Grants.

 

                                    Yes:                 5                      No:                 0

 

VIII.        Reports by the Village Council:

 

          No reports by the Village Council were presented.

 

IX.                                    Statements of Citizens:

 

         No statements of citizens were presented.

 

X.    Adjournment of the Regular Meeting

 

        On a motion by VanStrate, support from Holland, the Village Council                  adjourned at 7:58 p.m.

 

                                                Yes:                 5                      No:                 0

 

 

 

                       

__________________________________________

 

James Palma, Village President Pro Tem

 

              

                       

______________________________________________

Maribeth Lawrence, Village Clerk/Treasurer