Stories indexed with the term ‘fracking’

County Tax Hike for Economic Development?

Washtenaw County board of commissioners meeting (Sept. 5, 2012): Board chair Conan Smith has floated a proposal to raise taxes that support economic development and agricultural programs, and suggested revising the way those revenues are administered.

The proposal came in the context of an initial board vote to levy an annual tax of 0.05 mills, unchanged from the current rate. The Michigan statute authorizing this millage (Act 88 of 1913) predates the state’s Headlee Amendment, so no voter approval is required. The board can levy the tax directly.

Ken Schrader, PC technician with Washtenaw County

Ken Schrader, a PC technician with Washtenaw County, explained to the county commissioners that recently installed new microphones are more sensitive than the older ones. He jokingly warned them that they should be careful what they say now, because “you can’t take anything back.” Later in the meeting, the county’s information technology department was presented with an award from the Center for Digital Government.

The current rate is expected to bring in about $683,095 in 2013, and is allocated to a variety of organizations, including the economic development agency Ann Arbor SPARK ($200,000) and its Ypsilanti office SPARK East ($50,000). Smith and county administrator Verna McDaniel serve on SPARK’s executive committee.

Smith, a Democrat from Ann Arbor, suggested that by raising the rate to 0.06 mills, property owners would see only a slight increase in their annual taxes. For the average taxpayer, he estimated it would increase from $4.25 to $5.10 per year, while the amount raised countywide would increase about 20% to $838,577. He also proposed that the office of community and economic development – a joint county/city of Ann Arbor department led by Mary Jo Callan – should be given the authority to allocate the funding, rather than having the county board earmark amounts for specific organizations.

No formal amendment was made, but Smith circulated a three-page memo the following night outlining his proposal. [.pdf of Smith's Act 88 memo] It’s likely the board will take up this proposal as an amendment before a final vote at its Sept. 19 meeting. Initial approval was given on Sept. 5 for the current rate of 0.05 mills on a 7-to-3 vote, with dissent from Alicia Ping, Wes Prater, and Dan Smith. Ronnie Peterson was absent.

Another pre-Headlee tax – for support of indigent veterans – also got initial approval from the board, at a slightly increased rate. The initial approval increases that tax from 0.025 mills to 0.0286 mills. Staff of the county’s department of veterans affairs say the increase is needed because of rising claims and services from veterans due to a struggling economy, an anticipated increase in the number of returning soldiers, and a drop in property values. The millage is expected to raise $390,340 in revenues during 2013.

In other action related to tax revenue, commissioners gave initial approval to an ordinance governing the county’s natural areas preservation program. The change would remove the current restriction that only 7% of millage funds can be used for management or stewardship. The intent is to provide more flexibility in managing the funds, allowing the county to build a reserve for long-term stewardship. It’s viewed as an important goal, in the event that the NAPP millage is eliminated in the future. Yousef Rabhi, a Democrat who represents District 11 in Ann Arbor, proposed an amendment that would set a minimum of 25% to be spent on stewardship. The amendment failed on a 1-9 vote.

In an item viewed largely as a formality, county commissioners “ratified” the articles of incorporation for a new countywide transit authority. The document had been slightly revised from what the board had previously approved on Aug. 1, 2012 – on a 6-4 vote. This time, the vote was 6-3, with dissent from Alicia Ping, Wes Prater and Dan Smith. Rolland Sizemore Jr. and Ronnie Peterson were absent. Rob Turner, who had previously voted against the articles of incorporation, supported the item on Sept. 5.

Also approved was a resolution to support a policy change in the city of Ann Arbor related to affordable housing. The item was added to the Sept. 5 agenda during the meeting by Democrat Leah Gunn of Ann Arbor, and was not discussed by commissioners at the meeting. The resolution “encourages the Ann Arbor City Council to direct proceeds from the sale of the city-owned surface parking lots in the downtown to the city’s Housing Trust Fund, to be used to support sustainable, affordable housing.” [Earlier in the day, the Ann Arbor Downtown Development Authority board had passed a similar resolution of support. Gunn is chair of the DDA.] Dan Smith abstained from the vote. The following night, at a board working session, Alicia Ping announced that she had intended to vote against it, but had cited the wrong agenda number in casting her no vote.

Other action at the Sept. 5 meeting included initial approval of the county’s public health budget, which projects a 3.5 net increase in jobs. Voting against the budget were Alicia Ping and Dan Smith, who cautioned against adding new jobs as the county faces a deficit in 2013. A final vote is expected at the board’s Sept. 19 meeting.

Seth Best, a former resident of Camp Take Notice, addressed the board during public commentary about the need to tackle the root causes of homelessness. The homeless encampment had been evicted this summer from its most recent site in Scio Township.

And highlighting a letter that the county had recently received, commissioner Felicia Brabec raised concerns about the intent of Paxton Resources LLC to drill an exploratory oil and gas well in Saline Township. The board will likely revisit the issue of hydraulic fracturing, or “fracking,” at a future working session. Yousef Rabhi, who chairs those meetings, suggested wrapping it into a session he plans regarding the Pall/Gelman Sciences 1,4 dioxane plume. He sees a tie-in to the issue of industrial environmental contamination. [Full Story]

County Board Tackles “Fracking” Concerns

Washtenaw County board of commissioners meeting (April 4, 2012): Much of the county board’s recent meeting was devoted to an item not on their agenda – concerns about proposed oil and gas drilling in the Saline area using a technique known as hydraulic fracturing, or “fracking.”

Victoria Powell, Leah Gunn

Victoria Powell, who spoke during public commentary to oppose oil and gas drilling using the technique called "fracking," talks with commissioner Leah Gunn at the April 4, 2012 Washtenaw County board of commissioners meeting. (Photos by the writer.)

Several residents spoke on the topic during public commentary, citing concerns over health, well contamination, property devaluation, and damaged roads caused by company tanker trucks, among other effects. They noted that state regulators aren’t providing adequate oversight or protection, and urged the board to take action.

Speakers included Mitch Rohde, CEO of Saline-based Quantum Signal and founder of “NoPaxton.com,” which has mobilized against drilling in this area by Paxton Resources, a company based in Gaylord, Mich. The company recently notified the county that it has filed an application with the Michigan Dept. of Environmental Quality for permission to drill an exploratory oil and natural gas well in Saline Township. [.pdf of notification letter]

Several commissioners thanked the speakers for coming and expressed their own intent to look into the issue, though it’s not clear what action can be taken at the county level. An April 19 working session will focus on the topic. That meeting begins at 6 p.m. at the county administration building, 220 N. Main St. in Ann Arbor.

In other items at the April 4 meeting, commissioners honored county dispatchers and got an update on cleanup from the March 15 tornado that touched down in the Dexter area. Marc Breckenridge, the county’s director of emergency management and homeland security, gave an estimate of $5 million in damages to private homes and property, and another $2 million in response costs – expenses incurred from the road commission, county workers, the sheriff’s office and others. The county intends to apply to the state for help in covering some of these costs.

Funding controlled by the state was key to another item on the April 4 agenda: A resolution urging state legislators not to eliminate the personal property tax, unless 100% replacement revenues are guaranteed. More than $40 million in PPT revenues are received by local units of government within Washtenaw County. Leah Gunn, who wrote the resolution, expressed skepticism that legislators would pay attention to the county’s concerns, but said it would at least send the message: ”Don’t mess with us.”

Two action items were related to the county’s criminal justice system. The board approved the appointment of Elisha V. Fink as magistrate of the 14A District Court. She’s filling a vacant part-time position previously held by Camille Horne, who left the job at the end of 2011. Commissioners also gave initial approval to hire Nimish Ganatra as an assistant prosecuting attorney at a salary of $81,690. The vacancy opened in December, following an employee retirement. The hire requires board approval because the salary is above the $69,038 midpoint of an authorized range. While several commissioners praised the hire and the office of county prosecuting attorney Brian Mackie, Wes Prater cast a dissenting vote. Citing ongoing budget challenges, he objected to hiring someone at an above-midpoint level.

Several other items were handled during the meeting, including: (1) final approval for the county to become a charter member of the Washtenaw Health Initiative, at an annual cost of $10,000; (2) initial approval to accept federal grants for the county’s weatherization program for low-income residents; and (3) acceptance of federal grants for local workforce development programs.

During public commentary, Douglas Smith talked about a lawsuit he’s filed against the county over a denial of his Freedom of Information Act request. The FOIA related to a surveillance video of an incident in Ypsilanti Township involving the theft of $20 from a court employee’s car – Smith alleges the money was taken by a high-level staffer with the sheriff’s office. Smith has spoken about this issue at previous board meetings, asking the board to intervene. [Full Story]

“Fracking” Opposed at County Board Meeting

Concerns about proposed oil and gas drilling in the Saline area using a technique known as “fracking” were raised by several speakers during public commentary at the April 4, 2012 meeting of the Washtenaw County board of commissioners. Similar concerns had been voiced by commissioners at previous meetings, and the board plans to hold an April 19 working session on the topic.

Speakers included Mitch Rhode, CEO of Saline-based Quantum Signal and founder of “NoPaxton.com,” which has mobilized against drilling in this area. Paxton Resources – a company based in Gaylord, Mich.– has notified the county that it has filed an application with the Michigan Dept. of Environmental Quality to drill an exploratory oil and natural gas well … [Full Story]

County Acts on Disaster Relief, Health Care

Washtenaw County board of commissioners meeting (March 21, 2012): Public health, welfare and budget issues dominated the most recent county board meeting, which began with a briefing on the aftermath of a March 15 tornado touchdown in the Dexter area.

Mark Ouimet, Pat Kelly

Dexter Township supervisor Pat Kelly, right, attended the March 21, 2012 Washtenaw County board of commissioners meeting to thank the county for its help in the aftermath of the March 15 tornado that touched down in the township and caused considerable damage. To the left is Mark Ouimet, a former county commissioner who is now state representative for District 52, which includes the Dexter area.

Pat Kelly, Dexter Township supervisor, attended the meeting along with Mark Ouimet, a former county commissioner who is now state representative for District 52, which includes the Dexter area. Both thanked the county for its support and praised county staff – from sheriff’s deputies who provided security, to parks workers and others who helped with cleanup.

Later in the meeting, the board unanimously approved up to $500,000 from capital reserves to fund disaster relief and assistance to residents, including overtime costs for staff and payment for dumpsters to haul away debris. County administrator Verna McDaniel said that full amount might not be used, but it’s also possible that she’ll return to ask for more funding if it’s needed.

The board received a budget update for 2011 from finance staff, with the caution that minor changes might be made after an audit is completed. Although the originally approved budget had anticipated needing to use more than $5 million from the county’s general fund balance, only about $800,000 was actually used for the year – significantly less than expected.

Also related to the budget, the board authorized the county treasurer, Catherine McClary, to borrow up to $45 million against the amount of delinquent property taxes in all of the county’s 80 taxing jurisdictions. This is a standard request at this time of year as taxing jurisdictions – including cities, townships, schools systems and libraries, among others – turn their delinquent taxes over to the county, and are reimbursed for that delinquent amount. The county treasurer then assumes responsibility for collecting the delinquent taxes.

McClary noted that delinquent taxes are a leading economic indicator, and in that respect the trend is positive. This year, there is a drop in delinquent taxes for the first time since 2005. All jurisdictions saw a decrease, she said, and that’s really good news for the economy. McClary also gave her annual treasurer’s report for 2011, noting that revenues earned from delinquent taxes and fees totaled $5.557 million – about $3 million more than had been budgeted.

Also at the March 21 meeting, the board took a first step toward becoming a charter member of the Washtenaw Health Initiative (WHI), an effort to expand health care coverage for the county’s low-income residents. The membership includes a $10,000 annual fee in both 2012 and 2013, which would be funded through the county’s office of community and economic development. The 8-1 vote included dissent from Alicia Ping, who said she preferred funds to go directly to services, not for administrative purposes. Barbara Bergman was absent and Ronnie Peterson was out of the room when the vote was taken.

Among its other action items, the board gave final approval to creation of a county food policy council, and to an increase in certain fees charged by the public health department.

As an item for future discussion, several commissioners raised concerns over the issue of hydraulic fracturing – known as “fracking” – in rural parts of the county, to access oil or gas. Paxton Resources, a Gaylord, Mich.-based firm, has been acquiring mineral rights in the county’s rural areas for several months. A group of local residents called “No Paxton” has formed to oppose the company’s actions. The board discussed the possibility of a resolution urging more state oversight of the practice, and will likely schedule a working session on the issue. [Full Story]