Loading...
HomeMy WebLinkAboutApril 14, 2025 - 263rd Regular Minutes signedMINUTES OF THE 263rd REGULAR MEETING OF THE PLYMOUTH ROAD DEVELOPMENT AUTHORITY OF THE CITY OF LIVONIA The 263rd Regular Meeting of the Plymouth Road Development Authority of the City of Livonia, Michigan, was called to order at 3:00 p.m., Monday, April 14, 2025, in the 5th-floor Gallery of City Hall. Members Present: Maureen Miller Brosnan, Mayor Dan Laible, Chair Omar Faris David Veselenak Jeremy Curtis Rhett Gronevelt Members Absent: Susan Harvey, Vice Chair Stephanie Blatt Patrick Mies Others Present: Mark Taormina, Economic Development & Planning Director Jacob Uhazie, Assistant Planning Director Kris Canty, Planner IV Stephanie Reece, Planning Program Supervisor Ted Davis, Director of Parks and Recreation Robert Bywalec, D & B Landscaping 1. ROLL CALL: A quorum was present. 2. AUDIENCE COMMUNICATION: 3. ADOPTION OF MINUTES On a motion made by Brosnan, seconded by Faris, and unanimously adopted, it was: #2025-05 RESOLVED that the Plymouth Road Development Authority does hereby approves the Minutes of the 262nd Regular Meeting held on February 11, 2025. Mr. Laible, Chairman, declared that the motion was carried and that the foregoing resolution was adopted. 4. FINANCIAL REPORTS — FEBRUARY 2025 AND MARCH 2025 Mr. Taormina explained the reports prepared by the Finance Department, indicating that the format has changed. He explained the road improvements along Ann Arbor Road between Newburgh and Plymouth Roads and a cost -sharing arrangement related to street lighting. The PRDA will pay 50%, or roughly $51,396.00. He explained that the overall improvements include reconstructing portions of the road, replacing the April 14, 2025 2 bridge at Hines Drive, and adding a sidewalk on the north side of Ann Arbor Road, along with new streetlights. Mr. Laible reiterated that the fund balance is $1,569,000 through the March 31, 2025, statement. Mr. Gronevelt noted that the fund balance at the end of 2024 was up by $100,000, even though $350,000 was spent on the investment at Middlebelt. On a motion made by Brosnan, seconded by Faris, and unanimously adopted, it was #2025-06 RESOLVED that the Plymouth Road Development Authority hereby accepts and approves the Financial Statements of the Authority's Special Revenue Fund for February 2025 and March 2025. Mr. Laible, Chairman, declared that the motion was carried and that the foregoing resolution was adopted. 5. UPDATE ON IRRIGATION SYSTEM AND REPLACEMENT OF NINE (9) STOLEN VACUUM BREAKERS Mr. Taormina stated that nine vacuum breakers were stolen over the winter, and that the system cannot run without them. All nine have been replaced with a type that can be removed when the system is inactive. Altogether, there are about 24 to 25 vacuum breakers along the corridor. The likely reason they're stolen is the value of the scrap metal. To his knowledge, this is the first time this has happened. Mr. Laible asked if there is insurance on these, and Mr. Taormina stated that claims have been submitted. Mr. Laible asked if there were any reimbursements and if that money would be returned to the PRDA. Mr. Taormina said yes, that is his understanding. The cost was approximately $30,000 to replace them. Mr. Curtis inquired as to whether there are any advantages to the new ones. Mr. Taormina said that being removable is the advantage. He said it was looked at to see if they could go underground, but that was cost -prohibitive. He noted that the breakers will be removed for the winter and capped once the system is no longer charged. 6. CONSIDERATION OF PROFESSIONAL ARCHITECTURAL AND ENGINEERING DESIGN SERVICES FOR THE SHELDON PARK REDESIGN Mr. Laible spoke to the fact that this topic has been in front of the PRDA a few times already and that there was a request for support for the engineering fees with a possible not -to -exceed limit, along with the related debt coverage. He reminded everyone that at the last meeting, the Board wasn't comfortable without having more details and more of a financial analysis and breakdown. The Board had also requested a projection of what the PRDA's revenue and operating expenses would look like in the coming years, so they would understand exactly what the PRDA would be committing to, relative to debt service, and a more detailed analysis of the actual costs. He explained how he met with Mr. Taormina, Debra Lichtenberg, and Ted Davis to review the proposal. Initially, it was presented as a 50/50 cost -share with a shorter duration bond. Under that scenario, however, the Board would be asked to support $200,000 per year April 14, 2025 3 in debt service. He felt that a long-term commitment of $200,000 out of the approximate $300,000 of discretionary funds available to the PRDA each year was too tight, given the need to do certain projects. He explained that they changed the debt service factors with the PRDA responsible for 45% resulting in a new cost share projection of $157,000 per year, which he believes gives the Board more flexibility in operating funds and puts the PRDA in a better position to meet the needs and expectations of the taxpayers that are generating the revenue for improvements to the corridor. He also understands that the $1.5 million in the fund balance can cover any extraordinary projects the board may want to do, if there is a shortfall in any given year. He is supportive of the project with these revised parameters. He feels this is a great project that will bring value to the citizens and will help the corridor itself. He feels it will make it a more vibrant area, with more traffic for the corridor and the businesses. He said there isn't a lot in the southern portion of the city for Parks and Recreation. He explained that he asked Mr. Davis, Ms. Lichtenberg, and Mr. Taormina how much the city could contribute. He found out Parks has a bond that is about to expire. He also found that there isn't a lot of funding out there. He explained that the PRDA is critical to making the project happen. He feels it is a fair ask for the PRDA to contribute and feels good supporting it. The mayor said that the PRDA has been a great strength in the community regarding road and plaza improvements. She said it is the only tool that the city has to maintain financial and economic stability in the south end. She confirmed that funding with grants is getting harder. She explained a bit about Livonia Vision 21 and how this fits in, and said several other communities have used park development to stimulate redevelopment. She spoke about different areas the city has no control over, like Seven Mile and Middlebelt, the Sears property. She said that the Shelden Park area is critical in the south end and that it has been a long time since the city has looked at the south end. She said the single biggest area of young families coming into the community resides in that south end and that we need to create environments that make it exciting for them to want to locate there. She said that even after contributing to Shelden Park, there will still be funding for special projects that add value. She understands that residents on the south end are slightly more reticent about Five Mile and Farmington because they do not see amenities coming to them. She believes a sign saying that the park is coming is really important. Mr. Taormina explained that the city is asking the PRDA to consider funding the architectural and engineering for Shelden Park at a one-time cost of about $350,000, all of which would be reimbursable from the bond proceeds. He explained that the bond would not be issued by the PRDA but by the city and that the PRDA would only participate by sharing the cost of the principal and interest payments on the bond. He explained that the bond would be for $5,000,000 for 25 years. The total annual principal and interest would be approximately $350,000, and the PRDA's 45% responsibility would equate to about $157,500 a year. Mr. Taormina said the improvements to Sesquicentennial Park would be pushed back, but they could be reconsidered in the 2026 fiscal year. He said there is hope for additional revenue sources as the Board looks to amend or renew the Development and Tax Increment Financing Plans. He said that April 14, 2025 4 the city is working with Miller Canfield on a strategy that will hopefully see the potential for some TIF revenue. That will be presented to the PRDA in the coming months. Mr. Laible said that when he requested the forecast, he said that the Board did not want to rely on any future TIF revenue and that he just wanted to see what it would look like without it. He said that Debbie has put in 3% escalators on tax revenue and has inflationary costs on our costs at a higher number, from 2% to 7%. He said it is a worst -case scenario. Mr. Gronevelt stated that he went through the packet from the last meeting and apologized for not being there, but he feels comfortable with what is being presented. He wanted the maintenance line item clarified. He noticed that it started at $24,000 last year, then went to $50,000, and then to $124,000. He wants to make sure that those numbers are accurate projections. Mr. Laible stated that these are the worst -case scenario projections. Mr. Bywalec said that his company is now looking at a combined maintenance program for all the plazas, which will be redone. He didn't have the numbers yet, but it makes more sense. He also said it is already covered this year. Mr. Taormina said the PRDA has experienced extraordinary costs over the last few years, such as irrigation maintenance. Carrying these same costs forward to future years is a conservative approach to budget forecasting, which everyone hopes will improve as time passes. Mr. Gronevelt asked if the $5,000,000 was inclusive of the $350,000. Mr. Davis said no, it is only a construction estimate. Mr. Laible thought that Ms. Lichtenberg has the bond at $5,350,000. Mr. Davis said a substantial donation for Shelden Park is coming from Bill Brown Ford. He also pointed out that Wayne County Park funds will be sent to the County Commission for approval and then to the City Council for about $140,000. It is in Glenn Anderson's district. He said there will be roughly $240,000 available on top of what they bond for. Given the duration of the project and the scope, he feels that there are additional companies that will donate. Mr. Gronevelt said he appreciates Mr. Laible's time with the city staff and finding the right balance. Mr. Curtis stated that 157 of 300 yearly is a lot, which gave him pause. He understands it is important, but wants the project to go north to Plymouth Road. He also understands that the library is a separate issue. He wanted to know how much fluff there is in the $5 million, and if it goes over, who is responsible. He wanted to know if the split would remain 45-55 and how much the Board would let it go over. Mr. Laible explained that there would be a "not to exceed" amount in the resolution, and if it went over, the Board is not committing to any more than this. Mr. Davis said that Parks and Rec would commit to any overages. He also said a 15% contingency was placed on that number, which is $750,000. Mr. Gronevelt inquired about using the funds and wanted to ensure this is legal. Mr. Taormina said he checked with Miller Canfield and confirmed it is a legal and appropriate use of PRDA funds. Mr. Veselenak thanked Mr. Laible for helping navigate the numbers. He asked Mr. Davis if this was the last puzzle piece before he could start doing things. Mr. Davis said yes, if the PRDA agrees, he will contact the landscape architect quickly. He also said Shelden Park will be their biggest priority after the Senior Center. Mr. Veselenak asked if this needs approval from the City Council. The Mayor said that the Board's decision is enough, but the bonds and awards for construction will April 14, 2025 5 go to the City Council. Mr. Veselenak asked Mr. Davis when construction would start. Mr. Davis said he hopes to get the bid in July for construction. He thinks early fall for breaking ground. He would also like to see some demolition before that. Mr. Veselenak feels very comfortable with the project and thinks it is a good development. He mentioned how Larry's Foodland put so much money into that development and how much better it looks now. He said the library will get worked out eventually, but thinks that the park is in dire need of help. He said it would help the south side and be a good use. The Mayor spoke to a bigger picture for the parks and the master plans working side by side. She said this aligns with the Parks and Rec Commission's larger vision for how outdoor recreation happens in the city and what amenities we need to bring to the community. She said partnering with the PRDA to complete this project is smart. Mr. Veselenak reiterated his point that Shelden Park needs some love and attention. He said this is a logical step after improving Clement Circle, Bicentennial and Rotary Park. On a motion made by Gronevelt, seconded by Veselenak, and unanimously adopted, it was: #2025-07 RESOLVED that the Plymouth Road Development Authority does hereby authorize: 1) entering into a contract with DLZ, 607 Shelby Street, Suite 650, Detroit, MI, 48226, pursuant to the Letter Agreement submitted to Mr. Ted Davis, Superintendent of Parks and Recreation, dated December 20, 2024, for Professional Architectural and Engineering Design Services for the Shelden Park Redesign, in an amount not to exceed $350,500, provided that all PRDA expenditures related to fulfillment of the contract be reimbursed to the PRDA by the City bond proceeds in the future; and 2) entering into a cost -sharing agreement with the City, with the PRDA reimbursing the City for not more than 45% of the annual debt service payments on a city -issued bond based on a 25-year term and estimated construction costs of $5,000,000 for the Shelden Park improvements project as conceptualized in the Shelden Park Master Plan prepared by DLZ, dated November 13, 2024, provided that the annual payments by the PRDA shall not exceed $160,000. 7. ELECTION OF OFFICERS Mr. Laible asked if anyone would be interested in the Chairman's position, and if not, he would put his name back in the ring. He then asked if anyone would volunteer to be the vice chairman. Mr. Gronevelt said he would if Ms. Harvey didn't want it. Mr. Laible felt she begrudgingly took it last time and would be happy if Mr. Gronevelt stepped in. On a motion made by Brosnan, seconded by Faris, and unanimously adopted, it was: April 14, 2025 6 #2025-08 RESOLVED, that the Plymouth Road Development Authority does hereby elect Dan Laible as the Chairman of the Authority for the term January 1 through December 31, 2025. Mr. Laible, Chairman, declared the motion is carried and the foregoing resolution adopted. On a motion made by Brosnan, seconded by Curtis, and unanimously adopted, it was: #2025-09 RESOLVED, that the Plymouth Road Development Authority does hereby elect Rhett Gronevelt as the Vice Chairman of the Authority for the term January 1 through December 31, 2025. Mr. Laible, Chairman, declared the motion is carried and the foregoing resolution adopted. 8. COMMENTS FROM BOARD MEMBERS The Mayor mentioned the City Council meeting that evening with the official introduction of the request for the Five Mile and Farmington Roads bond proposal. She said the Council has had it in the Capital Outlay Committee for about 18 months. She said it was asked to be put on a Study Meeting and a Regular Meeting to have the concept explained on two televised shows for the public. She noted that some myths will be debunked at this meeting as well. She spoke about other communities investing in downtowns and even second downtowns. She said Westland has a park that is stimulating economic development. She said it is time for Livonia to reinvest, which hasn't been done since 1999. She said that the residents will need to step up on this, believing it is a good concept. Mr. Taormina mentioned that Patrick Mies was not feeling well enough to attend the meeting, but that we look forward to his future return to the PRDA. 9. ADJOURNMEN.T On a motion duly made, seconded, and unanimously adopted, the 263rd Regular Meeting held by the Plymouth Road Development Authority on April 14, 2025, was adjourned at 3:58 p.m. e �C°A le Reece, Secretary