Van Buren Township DDA approves issuing $2 million in bonds

To help build its pedestrian walkway over I-94, Van Buren Township Downtown Development Authority received a Michigan Department of Transportation grant of $250,000 and $250,000 more from the Southeastern Michigan Council of Governments, plus about $300,000 in professional engineering from MDOT.
The DDA made a decision to sell tax free municipal bonds to assist with the rest of the cost.
At its regular meeting on June 26, the DDA unanimously approved a resolution to authorize issuance of Tax Increment Revenue Bonds, Series 2018, with a maximum amount of $2 million.
Standard and Poor’s affirmed an A+ rating.
Construction is expected to begin July 16 on the .35 mile, 14-foot-wide concrete, shared-use path and bridge widening with LED pedestrian lighting, approach work, and pavement markings on Belleville Road at I-94.
Tom Collis, an attorney with Miller Canfield, is handling the bond sale. He told the DDA the resolution to issue the bonds is 26 pages long.
He said the amount is not to exceed $2 million, which is for the project cost and cost of issuance of the bonds. He said there is no full faith and credit of the township involved, and the DDA will pay the bond payments with tax-capture funds.
Collis said they are negotiating the sale with Hilltop Securities and the percentage rate will not be over 5%. He said the bonds will be priced July 10 and on July 26, the DDA will have the proceeds in hand.
DDA members said they have heard feedback from the community and many are in favor of the pedestrian walkway, but some complain it is too expensive. There has been one comment, asking the township to tear down the present walkway over I-94 at Quirk Road because people are partying on it in the night.
In other business at the June 26 meeting, the DDA:
• Approved receiving and filing the audit of the DDA fiscal year ending Dec. 31, 2017;
• Was introduced to the DDA’s new intern Melissa Kalnasy from Eastern Michigan University where she is in her last semester of pursuing a Master of Science in Urban and Regional Planning;
• Learned demolition permits have been applied for and demolition is expected to start July 2 on the Belleville Road Placemaking project. The DDA engineer is completing the revised plans so they can be delivered to Wayne County engineering for its final review. Once approval is received from Wayne County, the plans will be presented to the planning commission for final site plan approval;
• Heard DDA Executive Director Susan Ireland report on the problems with the new roadway arms and tear drop fixtures that came in for the Belleville Road streetlight conversion to LED. When the subcontractor with DTE went out to convert the first 20 streetlamps, they discovered the arms would not fit the existing poles. Holophane determined what parts were needed to make the fix and the 20 that were taken were to begin installation on June 20 and the other 52 were to be shipped on June 20. There also was a problem with every other light not working and DTE sent out a crew to repair them. Also, the painting crew has begun painting the street lights;
• Learned two light poles have been hit by motorists and insurance claims have been filed;
• Heard Ireland explain the steps being taken to replace the solar panel, that wouldn’t hold a charge, with electricity to run the Belleville/Ecorse Road irrigation system for the landscaping. S&L Electrical Services has provided the cost to install and wire a meter can with an eight-space panel, run a two-inch PVC conduit approximately 200 feet from the electrical meter box with power cables to the Edison pole. This will provide 110 volt service for the irrigation system. They will be making application for a permit and once installed, DTE will finish the hook-up. They will look into what to do with the solar panel that will not hold a charge; and
• Heard a report from DDA assistant executive director Lisa Lothringer who reported on email outreach, social media, the website update, publicity pieces and advertising, and plans for the public safety day at a location yet to be determined