HomeMy WebLinkAboutPRDA MINUTES 1999-03-18 C
MINUTES OF THE 91st REGULAR MEETING OF THE PLYMOUTH
ROAD DEVELOPMENT AUTHORITY OF THE CITY OF LIVONIA
The 91st Regular Meeting of the Plymouth Road Development Authority of the City of Livonia,
Michigan was called to order at 3:04 PM, Thursday, March 18, 1999 in the 4th Floor Conference
Room of City Hall.
Members Present: Mayor Jack E. Kirksey
Mr. Michael Polsinelli, Chairman
Mr. Raby, Vice Chairman
Mr. Dennis Kujawa
Mr. Scott Grace
Mr. Bill Pike
Ms. Toni Mette
Mr. Marvin Walkon
Mr. Jerry Wordhouse
Mr. Stan Anderson
Mr. Duane Wolfgang
Members Absent: Mr. Lowell Peterson
Mr. Rod Crider
Others Present: Mr. John Nagy, Director
The Honorable Dick Posthumus, Lt. Governor of Michigan
Mr. Mike Slater, Finance Director
Mr. Harold Stein, Livonia Volkswagen
Ms. JoAnn Michaels, BRI
Mr. Scott Reinholt, BRI
Mr. Bill Reid, Peter Basile & Sons
Mr. Ralph Williams, Citizen
Ms. Susan Annibal, Secretary
1. Roll was called.
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C 2. Adoption of March 4, 1999 Minutes: On a motion duly made, seconded and
unanimously adopted, it was
#99-30 RESOLVED,that the minutes of the 90th Regular Meeting
held by the Plymouth Road Development Authority on
March 4, 1999 are approved.
Mr. Polsinelli, Chairman, declared the motion is carried and the foregoing resolution adopted.
3. Comments from Chairman: Chairman Polsinelli reported receipt of a letter from
NBD/Bank One that they were changing their name, for information only.
Chairman Polsinelli acknowledged receipt of a letter from Kenneth Hale, the
President of Cambridge Underwriters, for a review of PRDA from an insurance standpoint
and for recommendations prior to Mr. Nagy becoming full time Director of the PRDA.
The matter was referred to Mike Slater for City review. Discussed were related subjects
(Workers' Compensation, self-insurance, PRDA liability, automobile coverage).
Chairman Polsinelli acknowledged receipt of a letter received from Rod Crider, re:
construction, equipping and furnishing of a new building to house the Livonia Chamber of
Commerce using some excess property the City of Livonia might have to construct the new
tie Chamber building with a low interest loan that PRDA could arrange. This matter was referred
to the Vacant Properties Committee. Crabill Company had been asked to research purchasing
property in the corridor.
4. Livonia Volkswagen -- Mr. Harold Stein presented proposed renovations and additions
for the VW dealership,previously discussed with John Nagy. They needed an addition to the
new Hyundai dealership which was built a year ago. The proposal is to expand the showroom
space, add a projecting foyer effect on the front (requiring a variance from ZBA, as had the
Hyundai building previously), and to demolish the old used car building. A renovation of the 30-
year-old Volkswagen building at Plymouth and Stark Roads was also proposed. The new
Hyundai building addition would blend well with the existing building,the projection increasing
its size by about 16'. More office space was planned with the demolition of the old used car
building. PRDA's policy to accept the right-of way in exchange for the implementation of the
streetscape plan. PRDA would put in the sidewalk, street trees and landscaping irrigation. The
proposed renovation would disrupt the entire business of the dealership; the showroom would be
closed down for 6 to 8 months. As a nonconforming building, the proposed addition represented
an encroachment into the front yard, necessitating the ZBA variance. The new showroom is an
expansion of a waiver use and will have to go through the zoning approval process. Lot
coverage was under 30%. It was pointed out that if the calculation included the dedicated right-
of-way to the City and was extended out to the current property line, it probably wouldn't be too
far short of the landscaping requirement. Mr. Polsinelli suggested that if PRDA were to support
this request, support should include the landscaping deficiency, right-of-way encroachment, and
continuation of the waiver use or could be more general by approving in concept. Landscaping
was discussed, along with the presently paved area(for the greenbelt), as well as traffic flow.
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The hearing process would go from the PRDA to the Planning Commission to the Council to the
ZBA for approval of the waiver. The smaller addition construction was to be completed by Fall.
Overall project cost was estimated at about $1 million.
On a motion by Mr. Pike, seconded by Raby, and unanimously approved, it was
#99-31 RESOLVED,that the Plymouth Road Development Authority
does hereby support the concept to renovate the Livonia Volkswagen/
Hyundai property on Plymouth Road with 15% required landscaping,
appropriate right-of-way dedication, and with the construction of a new
used car showroom.
Mr. Polsinelli, Chairman, declared the motion is carried and the foregoing resolution adopted.
Mr. Polsinelli, Chairman announced receipt of another thank you from Carol Swales
noting PRDA's support on her nomination for Livonia First Citizen.
Mr. Polsinelli, Chairman, asked that the Plymouth Road Development Authority minutes
be kept to a minimum in length and to be copied 2-sided.
The Mayor introduced the Honorable Dick Postumus, Lt. Governor of Michigan, to the
members of the Authority, who in turn identified themselves by name and business. Topics
tor among the Lt. Governor's comments were:
a. The Millenium Park project: the demolition phase would begin
in about two weeks.
b Michigan Unemployment Rate was at its lowest point in February
since 1966. The old Department of Commerce now the Jobs Commission
for tracking economic development nationally from a State perspective,
affording more flexibility in entering into local agreements with local
agencies such as the PRDA. Michigan led the country in new plant and
business locations, beating out California and North Carolina for two years
in a row, so reported"Site Selection Magazine".
c. Career Development, in which the State had become economically competitive,
thanks to lower taxes and lower work comp rates A difficult issue was finding
adequate numbers of qualified people for jobs in the skilled trades not requiring a
college education, i.e., plumbers, electricians, and carpenters, etc. School counselors
were important in the integral planning and coordination needed to work with
students interested in pursuing their career preferences. The theory's purpose
was to educate non-college bound students in the 11" and 12`h grade and allow them
to visit operating skilled trades businesses, to see what it was like, with participation
on a co-op basis, while still enrolled in regular high school classes. If coordinated
with a community college, those students could then apply for a 13`h year of
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education, its goal to earn skilled trades certification. The Chairman hoped the
program would include talking to schools/counselors and awareness would start
on that level. Marketing would be important, as well. 8th grade counselors
could work on developing awareness in parents. PRDA interest would be
involved with factors of competition and choice. The Mayor knew that the
PRDA wanted to keep Livonia a viable area, instead of people choosing to shop
in Redford, Farmington or somewhere else in Michigan. People would hear about
Livonia's program and want to stop and spend their money here. The competition
between Michigan and other states for these kids and these jobs was to keep
unemployment low, as well as offering the choice of where a person wished to
get their education and what type of education they wished to have. A current
Livonia program existed whereby one home was built each year, and participating
students took pride in seeing that building go up. Experience was acquired in all the
building/skilled trades. Although there was nothing set for the financing; the City
could perhaps set up the program, get the teachers and the trades- people to work on
the project, and the State could do the financing'. The Mayor explained that the
home-building program was implemented through the Livonia Public Schools and
was self-sufficient in terms of replacing the purchase of the lot and materials with the
investment from taxpayers for the education by the instructors. The sale of the house
took care of the costs, although some initial borrowing was necessary to get the
materials. Mr. Polsinelli requested that a letter be drafted from the PRDA supporting
the program and encouraging the State, the Governor, as well as the Lt. Governor to
move forward with much success.
On a motion offered by Mr. Walkon, seconded by Mr. Wordhouse and unanimously adopted, it
was
#99-32 RESOLVED that, the Plymouth Road Development Authority
does support and encourage the efforts of the State of Michigan, John F. Engler,
Governor, and Dick Posthumus, Lt. Governor of Michigan in an effort to
implement a program for the education for non-college bound students
in the skilled trades.
Mr. Polsinelli, Chairman, declared the motion is carried and the foregoing resolution adopted.
5. Budget Report: Mr. Slater distributed financial statements for December and January
1999 showing total assets of $10,618.45; the Construction Fund Disbursements were
$$367,000.00 for Phase II Estimate No. 3. Special Revenue Fund Balance Sheet showed Total
Assets showed $4,564,740.69. Total Disbursements for January were about $4,200.00. Also
included was the tax levy for this fiscal year, levied as of December 1st. The levy calculation was
presently about$100,000 less than anticipated at Budget, which was due to adjustments of
taxable values from the Board of Review pursuant to their estimates. The Construction Fund
was going down. Assets were about$4.5 million, the Fund Balance was about$4.275 million.
The January disbursements were $482,000.00; Basile being the largest receivable. The
Chairman understood that, in general, the PRDA Program, was a$10 million program for the
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Fiscal Year 1999-2000. PRDA funds were actually $2 million plus to the good. The $10 million
was all either unexpended commitments or future programs; so, from the initiation of that budget
it was for dollars PRDA would expend. PRDA had a 2-year program, of which this was Year
One, and debts had been covered, not counting what would be recaptured in the year 2000. On
Day One PRDA had virtually no money—virtually less than$1 million for a multi-million dollar
program wondering where the next phase of money would come from, spending $1.5 million on
Phase I. It was now a program of$10 million now and there was still a year in which to
recapture that. Mr. Slater pointed out that additional expense for the PRDA would be
maintenance of what was already in progress and also irrigation, which would be significant
dollars. Plus, PRDA also had to pay back some bonds that had been borrowed $7.5 million from.
Water rates were discussed briefly, as well as the issue of paying sewer charges on irrigation.
Mr. Anderson asked if all the contracts were signed for the grass cutting. JoAnn Michaels of
Beckett& Raeder reported, no, they were not. Bids were taken last year, but weren't happy with
the costs, which had to be reworked; and also B&R needed to work with the City on some of the
maintenance issues.
Chairman Polsinelli informed the members that the Agreement for the PRDA Director, John
Nagy, which would be on the Regular Meeting of the Council March 24, 1999. Mr. Nagy would
be working as Director on a part-time basis until his successor was determined and in place. The
Authority would be sharing the Director's salary 50:50 with the City.
Mr. Slater had received an inquiry as to when the street lights were to be coming out from the
middle of the sidewalk. (It would be about three to four weeks and the responsibility of Detroit
Edison.)
6. Beckett& Raeder/Construction Progress Report: JoAnn Michaels & Scott Reinholt
spoke to the low sidewalks on Plymouth Road between Fairfield,the Library and Brookfield,
which would have to be raised at least for the first street east of the library. It would be worked
in as a Change Order. Easements for Phase IV had not been obtained to date.
April 1st John Nagy would be attending the meetings. Mr. Reinhold addressed signage for
Plymouth Road, with illustrations of several versions of lower wall signs at the Sheldon
Shopping Center, at the intersection of Farmington and Plymouth Roads. Masonry style signs
with attached letters on top with the brick on the wall to be incorporated with a limestone cap and
possibly a limestone back panel with attached letters were discussed. Comerica had used this
concept and pleased with the results.
Ms. Michaels commented on a parking problem at the American Sign Company on Plymouth
Road. After follow-up conversation with the Sign company, it was decided to leave that area
open for access to their parking. A brief update was given on the Ameritech project; pending was
that no one had invoiced PRDA for approximately $68,000.00. Although the PRDA had asked
that the Ameritech lines be buried and had chosen that they be underground rather than overhead,
the decision to upgrade to fiberoptics was Ameritech's. A discussion on the subject had been
held previously, and agreement reached that PRDA would not pay for this upgrade.
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Holiday Decorations for the Corridor were addressed by Ms. Michaels, though the subject was
thought to be premature by the Chairman. Consensus was to put the subject on hold for the time
being, and revisit it again perhaps this time next year for the following season. A higher PRDA
priority was the Business Assistance Program, whereby PRDA would spend money to offset
loans—something that could be done immediately up and down the Corridor.
Scott Reinholt spoke to the Shelden Center landscaping and spoke to a grade change from the
sidewalk (variable in height) down to their parking lot, which B & R wanted to alter it with some
green space there with a small 2' retaining wall (illustrated on displayboard). Further discussion
included the subject of landscaping preferences for the older center. Fountain Plaza across
Plymouth Road had a proposal before the Commission for a 15' greenbelt between the sidewalk
and the parking area, which had been reviewed before the meeting. Mr. Reinholt preferred to see
35' as opposed to the proposed 15', which the petitioner would rework. (On the other side of
Plymouth at Shelden Center, there was almost no room to do anything. Mr. Nagy explained that
as an alternative to put a wall all along the Farmington frontage on Plymouth Road in front of
Fountain Plaza and raise and slope a berm up to the wall, the backside of which would be more
parking lot.) Ms. Mette believed that even with a wall, stores could be seen clearly. The
emphasis was to make Shelden Center look better. . The Mayor interjected that the current
owner there, existing or new owner, really expected everything for nothing. Mr. Nagy informed
that we'd try to get the easement back of the existing right-of-way and stress to the petitioner its
importance at this time; for the petitioner, here was the opportunity to have the work done at
PRDA's expense, who would implement the landscape greenbelt in front and do it now initially
at PRDA's cost for both implementation and the ongoing maintenance (irrigation and
maintenance of trees and shrubs).
The Chairman asserted that it was very important for things to go through Mr. Nagy, soon to
become the full-time PRDA Director. The Director should start directing and reviewing as a
project manager these drawings. When an item reached the Authority, it would arrive refined
with the Director's thumb print on it, understanding what was desired and recommended
direction, asking for either support or suggestion, rather than a design by committee.
Mr. Reinholt asked if the Authority approved the Middlebelt issues, i.e., easements and lane
issues. We had a one-shot deal with Fountain Plaza and needed to get the most we could get; a
few more feet of landscaping wasn't a lot.
A discussion on Inkster Road construction followed,to begin in early fall, including two major
and two minor intersections in the budget, which were currently under design. PRDA had
committed to the gas station there to do something as a result of his agreement to do something
with the sewer easement. Regarding the park, PRDA couldn't spend money outside the district;
we could take the plan conceptually over to Redford, for similar treatment on the Redford side of
Inkster. Also discussed was the matter of the traffic signal and turn lane. Mr. Nagy reported that
Redford and their people were impressed with what we were doing. Mr. Anderson suggested
(he that Mr. Nagy talk with Redford; Mr. Nagy believed that they might go along with us on the
traffic lighting. It was concluded that Mr. Reinholt work with Mr.Nagy on signs, go ahead with
designs on all three intersections now, start working on the easements needed for those
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intersections, and right turn lanes. He'd work with Mr. Nagy on these items. (Mr. Polsinelli
reminded Mr. Reinholt to not forget the minor intersections, as well—Harrison and Deering.)
7. Reports from Committees: Public Relations Committee. The next Newsletter was
being worked on at this time, which would be out after Easter. It would be sent to all the
Corridor property owners and the Chamber.
Vacant Building Committee: No report.
Construction Committee: No. report.
Inspection Committee: No report.
Another committee to be set up to be called something like Business Support to establish a
program for such things as assistance or low-cost loans or reduced or non-interest loans.
Infrastructure improvements had reached a point that PRDA needed to look at the businesses
themselves.
8. Update on Plymouth Road Projects—John Nagy: Having been reviewed, Livonia
Volkswagen's plans would be coming through the system. UAW's new front façade was in
place, and they were now talking about redoing the parking lot and some landscaping (working
with Beckett& Raeder on the streetscape). Another matter was the Plymouth Road and
Merriman intersection. Crabill & Company was looking at the property, having made contact
with all five (5) of the property owners, to all of whom offers had been presented to them for the
development of the property. PRDA would have to equal or exceed those offers, as shown in the
report from Crabill & Company; the amount needed to exceed those bids was in excess of
$1,750,000.00, current offers on the table. The Realtor's commission was to be 3% of the sale
figure (standard commission ran from 3%to 7%),payable only if the sale was successful.
Various cost-purchase strategies were voiced, as well as monies that could be recouped from
such a sale. Also addressed were matters pertinent to the purchase of this property. After much
discussion, it was determined that Mr. Nagy obtain a legal opinion on potential liability to the
PRDA. The corner piece is a lease, not a sale; a question might be whether that legal opinion be
extended to go to the adjacent piece. The Mayor pointed out that all the discussion on this might
become a mute point, if the bidding war continued to escalate.
9. Polling of Board Members: Mr. Anderson asked if the medical-dental clinic had come
before PRDA. A drawing had been submitted.
Ms. Mette passed.
Mayor Kirksey commented that the Lt. Governor was very inquisitive about the
community. Mr. Walkon had suggested, and members agreed, that a letter be
sent in support of the efforts of the Lt. Governor with respect to the proposed
program.
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ihMr. Walkon passed.
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Mr. Grace reported that he would have in his Vacant Buildings report an update on
Cochrum's Market property, which was 4 acres (part commercial, part residential).
It is on the market for $963,000.00. Mr. Nagy said the residential had already been
purchased by Leo Soave to extend Elmira Avenue to serve that area. It would only
be the north 400' that was available. The original intent of the Vacant Buildings
Committee was not to coordinate the sale of property, like what was proposed with the
Chamber of Commerce people, looking for Plymouth Road property. It sort of evolved
that way. Rather, it was more a demolition committee; it would be great if we now had
the money and could go forward with it. .
Mr. Wordhouse passed.
Mr.Nagy reported that Edwards Glass had been before the Planning Commission the prior
Tuesday. It was recommended for approval on the Consent Agenda.
Mr. Grace inquired as to Bill Faris and his visit to ZBA on The Tire Store parking problem.
The matter had been tabled because the original plan was reconsidered and seats wouldn't be
Cie removed; no surplus parking was available. On the piece Mr. Faris bought from the City, due
to a prior lease allocating those spaces, perhaps Mr. Faris should pursue the matter and go back
to Eastside Mario's about the shared parking, because their respective hours wouldn't conflict.
Mr. Wordhouse had shared parking with John DelSignore next to Edward's Glass; he'd spoken
in favor of this at the Zoning Board as a business owner and had also discussed it with the
manager of Eastside Mario's, as well. Ms. Mette asked if Eastside Mario's outside seating
created a deficiency in parking. Mr. Nagy thought Eastside Mario's review was up this year;that
was what precipitated the downsizing of one room to a banquet room so they'd be under the
seating requirements. Eastside Mario's had an option to renew that parking lease for five (5)
years, coming up in April. There is public parking available across the street in the City parking
lots; but for the most part this has been allocated to the adjoining businesses to make up for their
parking deficiencies.
10. Adjournment: On a motion duly made, seconded and unanimously adopted, the 91st
Meeting of the Plymouth Road Development Authority held on March 18, 1999 was adjourned at
5:15 p.m.
The next meeting of the Plymouth Road Development Authority will be held on April 15, 1999.
;6(( deo.,
Susan Annibal, Secretary
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