Title
Resolution to Approve the State Street Business Improvement Zone
Memorandum
Attached for your review and action is a resolution approving the State Street Business Improvement Zone (“BIZ”) for a ten-year term.
Property owners in the proposed State Street Business Improvement Zone (“BIZ”) area seek to establish the State Street BIZ to promote a thriving commercial district through projects and services that foster a welcoming, cohesive, and visually appealing business corridor. The proposed zone area is located entirely within the limits of the City of Ann Arbor, around the intersection of South State Street and East Eisenhower Parkway as shown on the attached map.
Michigan’s Business Improvement Zone Statute, PA 120 of 1961, as amended (“BIZ Statute”), provides for the establishment of a BIZ as an economic tool for property owners to collaboratively fund projects and services through an assessment collected by the City of Ann Arbor Assessor and remitted to the BIZ for uses consistent with an approved Zone Plan.
To establish a BIZ, property owners within the proposed zone area must submit to the City Clerk a petition with an attached Zone Plan and parcel listing, signed by more than thirty percent of owners weighted by allocation of assessments in accordance with the proposed Zone Plan.
On June 17, 2024, more than thirty percent of eligible property owners submitted a petition and Zone Plan to the clerk in accordance with the BIZ statute. The Zone Plan assessment formula is based on the state equalized value of each assessed property, and the proposed projects include median enhancements, signage, landscaping, and marketing within the zone area.
In accordance with the statutory process, City Council shall hold a public hearing and vote to approve or reject the establishment of the State Street BIZ. If approved, the clerk will set an election of property owners in the zone area and the State Street BIZ will be established if more than sixty percent of property owners vote to adopt the zone plan and establish the BIZ.
Staff
Prepared by: Nicole Vargas, Assistant City Attorney
Reviewed by: Kevin McDonald, Chief Deputy City Attorney
Jacqueline Beaudry, City Clerk
Approved by: Milton Dohoney, Jr., City Administrator
Body
Whereas, A petition and Business Improvement Zone Plan (“Zone Plan”) were submitted by more than thirty percent of property owners in the proposed State Street Business Improvement Zone (“State Street BIZ”) area, when weighted by allocation of assessments as specified in the Zone Plan;
Whereas, The petition and Zone Plan comply with statutory requirements and provide a basis for allocating assessments in accordance with PA 120 of 1961, as amended (“BIZ Statute”);
Whereas, The State Street BIZ is located entirely within the limits of the City of Ann Arbor and consists of the following property:
Parcels of land in the Southwest ¼ of the Southeast ¼ situated directly adjacent to the North of East Eisenhower Parkway; the Southeast ¼ of the Southeast ¼ of Section 5, Town 3 South, Range 6 East.
Also the South ½ of the Southwest ¼ including that parcel of land adjacent to the North of Oakwood Drive that extends into the Northwest ¼ of the Southwest ¼, and including those parcels East of the railroad and adjacent to the North and South of the East-West Quarter line of the Southwest ¼ that extend into the Northeast ¼ of the Southwest ¼; excepting therefrom a parcel of land located East of Boardwalk Drive and West of the railroad and adjacent to the North and South of the East-West quarter line of the Southwest ¼, of Section 4, Town 3 South, Range 6 East.
Also the Northwest ¼ excepting Interstate 94 Highway in Section 9, Town 3 South, Range 6 East.
Also the Northeast ¼, excepting Interstate 94 Highway and any portion of the Northeast ¼ lying south of said highway. Those parcels in the Northwest ¼ situated directly adjacent to Briarwood Circle, except the parcel of land adjacent to the West of South Main Street and adjacent to the South of West Eisenhower Parkway, in Section 8, Town 3 South, Range 6 East.
Whereas, The Zone Plan describes projects and services that include median enhancements, signage, landscaping, and marketing and such projects and services are supplemental to the services, projects, and functions of the City; and
Whereas, The State Street BIZ qualifying period will begin on the date that the State Street BIZ is approved by the property owners and end ten years after that date;
RESOLVED, That City Council approves the establishment of the State Street BIZ and approves the State Street Business Improvement Zone Plan as submitted by the City Clerk to the City Council;
RESOLVED, That the City Council has determined that the assessment set forth in the Zone Plan, including the basis for allocating the assessment, is appropriate, subject to approval of the property owners in the proposed State Street BIZ; and
RESOLVED, That the City Clerk shall be directed to set an election by the property owners in the proposed State Street BIZ area in accordance with the BIZ Statute not more than 49 days following the date of this resolution.