April 25, 2005

A regular meeting of the City Council was held on Monday, April 25, 2005, at 7:00 p.m. in the Council Chambers of City Hall. Mayor Black presided. The Pledge of Allegiance to the Flag was recited in unison.

Councilmen present:	Drummond Black, Bruce Johnson, Hollis McKeag, James Myers, Joseph Rokosz
Councilmen absent:	None

MINUTES

Approval of the minutes of the April 11, 2005 regular and April 18, 2005 special meetings was offered by Councilman Myers and seconded by Councilman Rokosz. (Motion ADOPTED.)

2005 CDBG BUDGET

Assistant City Manager Jon Lynch presented the proposed Community Development Block Grant Budget for Fiscal Year 2005-06. A public hearing opened at 7:18 p.m., recognizing no public comments, the hearing closed at 7:19 p.m. The following resolution was then offered by Councilman Myers and seconded by Councilman Rokosz:

WHEREAS, the City of Midland will receive $286,373 in Community Development Block Grant funds for fiscal year 2005-06; and

WHEREAS, $75,000 is expected to be received in program income during the fiscal year, and approximately $80,000 will be carried forward from the prior fiscal year; and

WHEREAS, on March 7, 2005, the Housing Commission recommended approval of this budget, and

WHEREAS, a public hearing was held by the City Council on April 25, 2005, at 7:00 p.m., in the City Council Chambers, City Hall, 333 West Ellsworth Street, Midland, Michigan, for the purpose of receiving public comment on the pending action of the City Council on the 2005-06 Community Development Block Grant Program, as set forth in the attached table; now therefore

RESOLVED, that the City Council hereby adopts the proposed 2005-06 budget, as set forth in the attached table (Attachment A), for the proposed use of funds for the Community Development Block Grant Program. (Motion ADOPTED.)

2005 DOWNTOWN ECONOMIC REVITALIZATION – SPECIAL ASSESSMENT ROLL

City Assessor Reid Duford introduced the special assessment roll for the 2005 Downtown Economic Revitalization Public Improvement Special Assessment District. A public hearing opened at 7:22 p.m., recognizing no public comments, the hearing closed at 7:23 p.m. The following resolution was then offered by Councilman McKeag and seconded by Councilman Johnson:

WHEREAS, pursuant to due notice to all interested parties the City Council has duly met and reviewed the proposed Special Assessments to be assessed and levied in the Special Assessment Roll, prepared by the City Assessor to provide such part of the cost of a certain revitalization program on the "2005 DOWNTOWN ECONOMIC REVITALIZATION PUBLIC IMPROVEMENT SPECIAL ASSESSMENT DISTRICT", as heretofore established, as should be paid upon the property therein especially benefited and has heard and considered all objections made to said Assessment and has made such corrections in said Roll as in its judgment ought to be made, and the City Assessor being present at said hearing; now therefore

RESOLVED, that the City Council does hereby determine that it is satisfied with said Special Assessment Roll; and

RESOLVED FURTHER, that the City Council does hereby determine that said assessments are in proportion to benefits received; and

RESOLVED FURTHER, that said Special Assessment Roll be and the same is hereby approved and confirmed in all respects, in the amount of $72,010.00 and that the total estimated cost of said improvements is $72,010.00, and the City at large cost is zero (0); and

RESOLVED FURTHER, that fifty (50) percent of the amount of said roll shall be collected during the year of 2005, and fifty (50) percent of said roll shall be collected during the year of 2006; and

RESOLVED FURTHER, that the said roll shall be filed in the Office of the City Clerk, and the Clerk is hereby directed to endorse on said roll the date of confirmation, and that said Clerk is hereby directed to attach the warrant to a certified copy within ten days, therein commanding the City Assessor to spread the various sums and amounts appearing therein on a Special Assessment Roll or upon the General Tax Roll of the City for the full amount or in annual installments as directed by the City Council; and

RESOLVED FURTHER, that said roll shall be forwarded to the City Assessor for spreading fifty (50) percent of said Roll on July 1, 2005 without interest, and fifty (50) percent of said roll on July 1, 2006 without interest. (Motion ADOPTED.)

DOW – IFT APPLICATIONS

City Assessor Reid Duford presented information on an Industrial Facilities Exemption Certificate application for The Dow Chemical Company for the construction of new facilities for a market development plant at Michigan Operations and one for Dow Agrosciences, LLC relating to new facilities for the production of a new herbicide. A public hearing on both applications opened at 7:25 p.m. Midland Tomorrow Executive Director Jenee Velasquez spoke in support of the projects. Donald Taylor, Operation Leader for The Dow Chemical Company Michigan Operations, gave a presentation outlining the market development plant project and the Dow Agrosciences, LLC project and requested Council’s support of these projects. The hearing closed at 7:36 p.m. The following two resolutions were then presented for consideration.

DOW CHEMCIAL COMPANY – IFT APPLICATION

The following resolution was offered by Councilman Johnson and seconded by Councilman Myers:

WHEREAS, the Michigan Division Dow Chemical Company Plant Rehabilitation District No. 1 was established by resolution of the Midland City Council on September 25, 1978; and

WHEREAS, The Dow Chemical Company made an application dated March 10, 2005, which was received by the City Clerk on March 10, 2005, for an Industrial Facilities Exemption Certificate relating to approval of a new facility within said District; and

WHEREAS, the application for the certificate is for approval of a new facility with the total project cost of $1,400,000, which includes $1,355,000 in new personal property and $45,000 in real property improvements with the same being located within the Michigan Division Dow Chemical Company Plant Rehabilitation District No. 1. This project will allow The Dow Chemical Company to construct a market development plant at Michigan Operations; and

WHEREAS, the City Council, by written notice, afforded the applicant, the City Assessor, and representatives of each affected taxing unit an opportunity for a hearing on April 25, 2005, as required by Public Act 198 of Public Acts of the State of Michigan of 1974, as amended, and has given due consideration to all information presented; and

WHEREAS, the application appears to comply with the requirements set forth in Section 9 of said statute, as amended, in that the proposed facility is located within a plant rehabilitation district that was duly established within the City of Midland with the City of Midland being eligible under said statute to establish such a district and with the district having been established upon a request before the commencement of the restoration, replacement or construction of the facility described herein; that the commencement of this project did not occur earlier than six months before the filing of the application for the industrial facilities exemption certificate, that the application relates to a construction, restoration or replacement program that when completed constitutes a new or replacement facility within the meaning of said statute and is situated within a previously established plant rehabilitation district that was established in the City of Midland which was itself eligible under the statute to establish the district; that completion of the facility is calculated to, and will at the time of the issuance of the certificate, have the reasonable likelihood to create employment, retain employment, prevent a loss of employment or produce energy in the community; now therefore

RESOLVED, that the City Council of the City of Midland finds and determines that the granting of the industrial facilities exemption certificate requested by The Dow Chemical Company considered together with the aggregate amount of industrial facilities exemption certificates previously granted and currently in force, shall not have the effect of substantially impeding the operation of the City of Midland or impairing the financial soundness of any other taxing unit which levies an ad valorem property tax in the City of Midland; and

RESOLVED FURTHER, that said application for an Industrial Facilities Exemption certificate from The Dow Chemical Company for a new facility approval within the Plant Rehabilitation District be and the same is hereby approved for a period of 12 years with an ending date of December 30, 2017; and

RESOLVED FURTHER, that the Mayor and City Clerk are authorized to execute the Public Act 198 Agreement submitted between the City and The Dow Chemical Company pursuant to P.A. 334 of Public Acts of the State of Michigan of 1993. (Motion ADOPTED.)

DOW AGROSCIENCES, LLC – IFT APPLICATION

The following resolution was offered by Councilman McKeag and seconded by Councilman Johnson:

WHEREAS, the Michigan Division Dow Chemical Company Plant Rehabilitation District No. 1 was established by resolution of the Midland City Council on September 25, 1978; and

WHEREAS, Dow Agrosciences, LLC made an application dated March 10, 2005, which was received by the City Clerk on March 10, 2005, for an Industrial Facilities Exemption Certificate relating to approval of a new facility within said District; and

WHEREAS, the application for the certificate is for approval of a new facility with the total project cost of $3,600,000, which includes $3,445,000 in new personal property and $155,000 in real property improvements with the same being located within the Michigan Division Dow Chemical Company Plant Rehabilitation District No. 1. This project will allow Dow Agrosciences, LLC to utilize assets that are presently idled in the 941 Building at Michigan Operations for the production of a new herbicide; and

RESOLVED, that the City Council of the City of Midland finds and determines that the granting of the industrial facilities exemption certificate requested by Dow Agrosciences, LLC considered together with the aggregate amount of industrial facilities exemption certificates previously granted and currently in force, shall not have the effect of substantially impeding the operation of the City of Midland or impairing the financial soundness of any other taxing unit which levies an ad valorem property tax in the City of Midland; and

RESOLVED FURTHER, that said application for an Industrial Facilities Exemption certificate from Dow Agrosciences, LLC for a new facility approval within the Plant Rehabilitation District be and the same is hereby approved for a period of 12 years with an ending date of December 30, 2017; and

RESOLVED FURTHER, that the Mayor and City Clerk are authorized to execute the Public Act 198 Agreement submitted between the City and Dow Agrosciences, LLC pursuant to P.A. 334 of Public Acts of the State of Michigan of 1993. (Motion ADOPTED.)

2005-06 PROPOSED BUDGET

Fiscal Services Director David Keenan presented an overview of the 2005-06 Proposed Budget. A public hearing opened at 7:46 p.m., recognizing no public comments, the hearing closed at 7:47 p.m.

PUBLIC COMMENTS

No public comments were made.

AVIATION ADVISORY COMMISSION – ORDINANCE AMENDMENT

City Engineer Brian McManus presented an ordinance to amend Section 4-5 of the Code of Ordinances to change the member representation on the Aviation Advisory Commission. Introduction and first reading of the following ordinance amending Section 4-5 to change the member representation on the Aviation Advisory Commission was then offered by Councilman McKeag and seconded by Councilman Johnson:

ORDINANCE NO. ________

AN ORDINANCE TO AMEND THE CODE OF ORDINANCES, CITY OF MIDLAND, MICHIGAN, BY AMENDING SECTION 4-5 OF ARTICLE I OF CHAPTER 4 THEREOF.

The City of Midland Ordains:

Section 1. Section 4-5 of the Code of Ordinances is hereby amended to read as follows:

Sec. 4-5. Aviation advisory commission --- Created; composition; qualifications.

There is hereby created an aviation advisory commission consisting of five (5) members. Two (2) of the members shall be active pilots basing their airplanes or flying airplanes based at the Jack Barstow Municipal Airport,; ~~two (2)~~ AND THREE (3) members shall be selected from the public at large.~~; and one member shall be an appointed member of the Tri-City Airport Commission who will represent the city on both the Tri-City and the Jack Barstow Airport Commissions.~~

Section 2. This ordinance shall take effect upon publication.

(Motion ADOPTED. Considered first reading.)

COMPREHENSIVE ANNUAL FINANCIAL REPORT – YEAR ENDED JUNE 30, 2004

Fiscal Services Director David Keenan introduced Bruce Berend, Partner and Scott Janssen, Manager, from Plante and Moran, LLP, who reviewed the City of Midland Comprehensive Annual Financial Report for the year ending June 30, 2004. The following resolution was then offered by Councilman McKeag and seconded by Councilman Johnson:

RESOLVED, that the Comprehensive Annual Financial Report of the City of Midland for the year ended June 30, 2004 is hereby received and ordered filed for public examination. (Motion ADOPTED.)

DDA’s MAIN STREET PROGRAM APPLICATION

Downtown Development Authority Executive Director Christin O’Callaghan presented a report on the Downtown Development Authority’s application to the Michigan Main Street Program. The following resolution was then offered by Councilman McKeag and seconded by Councilman Myers:

RESOLVED, that the Mayor is authorized to sign letter of Support for the Downtown Development Authority’s application to the Michigan Main Street Program. (Motion ADOPTED.)

BUSINESS-10 LANDSCAPING IMPROVEMENTS

Assistant City Manager Jon Lynch presented a report on landscaping improvements and walkway installation by the Entranceways Initiative Task Force (EITF) on the City owned property between Patrick Road and Lyon Road (Business Route-10) from Washington Street to State Street. Dow Gardens Director and EITF Member Doug Chapman responded to Council questions regarding selection and maintenance of vegetation for this area. Matt Janson, 806 Vance Road, spoke in support of the project and encouraged the City to connect this walkway with Downtown Midland and the Rail Trail on the west end. The following resolution was then offered by Councilman McKeag and seconded by Councilman Myers:

WHEREAS, the Entranceways Initiative Task Force requested support from the City of Midland for landscape improvements and walkway installation on the City-owned property between Patrick Road and Lyon Road (Business Route-10) from Washington Street to State Street; and

WHEREAS, the Entranceways Initiative Task Force presented a landscape and walkway plan for these improvements prepared by Rowe Incorporated; and

WHEREAS, the City of Midland recognizes that the Entranceways Initiative Task Force will be funding these improvements with private resources from the Midland Area Community Foundation; and

WHEREAS, the City of Midland recognizes and appreciates the numerous community beautification efforts made by the Entranceways Initiative Task Force; now therefore

RESOLVED, that the Mayor and City Council of the City of Midland, Michigan approve this landscape and walkway plan and support the Entranceways Initiative Task Force’s efforts to improve this area. (Motion ADOPTED.)

POLICE DEPARTMENT ANNUAL BIKE AUCTION