Animated .gif of the Burton Commons property showing the demolition of single-family homes on the parcels – from aerial images in the Washtenaw County and city of Ann Arbor GIS system.

If the parcels are available for sale, the council has also requested that the park advisory commission review the two properties and advise the city council by  Oct. 1, 2014 about whether they are desirable for city purchase using parkland acquisition funds and private contributions.

Originally on the agenda was just an item related to the Burton Road property, brought forward by Stephen Kunselman (Ward 3). During the meeting, the resolution was amended – at the request of Chuck Warpehoski (Ward 5) – to include the Glendale property. The deliberations that led to the amendment and that resulted in the final wording of the resolution are reflected in The Chronicle’s live updates from the meeting.

The Burton Road property is the site of a long-in-the-works affordable housing project that has never started construction.

The land is immediately adjacent to US-23 to the east and Sylvan Park to the north. A residential neighborhood lies to the west of the land.

Kunselman had told his council colleagues at their June 2, 2014 meeting that he’d be bringing forward such a resolution for the Burton Road property. The idea would be to use funds from the open space and parkland preservation millage to purchase the land. The resolution states that the estimated fair market value, according to the city assessor, is $628,800.

One-third of the open space millage proceeds are supposed to be allocated to acquisition of land within the city limits. At the June 2 meeting, Kunselman argued for the purchase based on the positive impact on climate change and the adjacency of Sylvan Park to the north.

The purchase of the land would also be consistent with a sentiment Kunselman expressed at a recent mayoral candidate forum – that there was resistance in Ward 3, which he represents, to “dumping and piling on” affordable housing in that ward.

Aerial view of proposed Glendale Condominiums site, south of Jackson Avenue.

Kunselman is a candidate for mayor in the Aug. 5 Democratic primary, along with three other councilmembers: Sabra Briere (Ward 1), Sally Petersen (Ward 2) and Christopher Taylor (Ward 3).

The Glendale property is the site of a proposed development that was just recently in front of the city planning commission on July 1, 2014, but postponed. That meeting drew 22 speakers at the public hearing on the project, nearly all in opposition to it.

The plan calls for removing two vacant single-family houses and building six duplexes, each with two two-bedroom condos. (The original proposal had been for eight duplexes.) Based on the size of the parcel and the site’s zoning – R4B (multi-family residential) – up to 39 units would be allowed by right. Each unit would include two garage parking spaces, with 12 additional surface spaces on the site. That’s double the number of spaces required by zoning.

The amendment put forward by Warpehoski to include the 312 Glendale parcel in Kunselman’s resolution indicated that the estimated land value of the 2.64-acre parcel is $345,200.

On the combined resolution for both the Burton Road and the Glendale parcels, the vote was 8-2, with dissent from mayor John Hieftje and Sally Petersen (Ward 2). Sumi Kailasapathy (Ward 1) was absent due to illness.

This brief was filed from the city council’s chambers on the second floor of city hall, located at 301 E. Huron.

Purchase of the blue-highlighted parcel could be authorized by the city council at its July 21 meeting.

The parcel is adjacent to Ann Arbor Housing Commission (AAHC) properties that AAHC is planning to reconstruct.

Four units currently stand at the location, but AAHC has previously announced plans to demolish those structures and replace them with 32 units of housing – a net gain of 28 units.

Now, however, the AAHC is interested in expanding that project, using the additional adjacent property. At the planning commission’s July 15, 2014 meeting, planning manager Wendy Rampson reported that because the AAHC has decided to expand its development on Platt Road, they’ll be holding another citizen participation meeting about that on Monday, July 28 at 7 p.m. at the Ann Arbor District Library’s Malletts Creek branch, 3090 E. Eisenhower.

This is not the same site as a county-owned property on Platt Road, which is also being considered for affordable housing.

Earlier this year, at its April 21, 2014 meeting, council gave several approvals in connection with the AAHC renovations. The acquisition of the additional parcel will help the AAHC with its plans for the property.

Three of the existing four houses are in the floodway, and the water table is higher than the basements. When it rains, the properties flood. So the plan is to tear down the existing buildings, and construct new housing further north on the same site, on land that’s currently vacant.

The AAHC will be reimbursing the city for the $195,00 cost of the 1.17-acre property.

But it is the city that must execute the transaction, under Ann Arbor City Code, Chapter 8, Section 1:209(3):

All deeds, mortgages, contracts, leases, purchases, or other agreements regarding real property which is or may be put under the control of the housing commission, including agreements to acquire or dispose of real property, shall be approved and executed in the name of the City of Ann Arbor. The Ann Arbor City Council may, by resolution, decide to convey or assign to the housing commission any rights of the city to a particular property owned by the City of Ann Arbor which is under the control of the housing commission and such resolution shall authorize the City Administrator, Mayor and Clerk to take all action necessary to effect such conveyance or assignment.

This brief was filed from the city council’s chambers on the second floor of city hall, located at 301 E. Huron.

Stephanie Buttrey, a member of the Ann Arbor greenbelt advisory commission’s communications and outreach committee. (Photos by the writer.)

The hope is to increase support of the program among Ann Arbor taxpayers, landowners who might be eligible to preserve their property as part of the greenbelt, and elected officials and policymakers at the local, regional and federal levels.

The committee is also thinking longer-term, looking at what might happen when the 30-year millage expires. The millage that supports the greenbelt program was passed by voters in 2003. The 0.5 mill tax for land acquisition is called the open space and parkland preservation millage. On the summer tax bill, the line item appears as CITY PARK ACQ.

The committee will continue its work and eventually bring forward a completed plan for the full commission to approve.

Also on May 1, commissioners received a brief update from Ginny Trocchio, who provides staff support for the greenbelt program. She reported on proposed federal legislation related to tax incentives for donating conservation easements. Landowners who want to donate easements or who agree to sell their easements for less than market value have in the past received a tax deduction. But legislation allowing for that deduction expired at the end of 2013. Congress is considering an extension for 2014 and 2015, Trocchio said.

The meeting also included a closed session to discuss possible land acquisitions, which lasted about 30 minutes. The topic of land acquisition is one allowed as an exemption by the Michigan Open Meetings Act for a closed session. When commissioners emerged, they voted on one resolution that will be forwarded to the city council – a recommendation to pursue the purchase of development rights on a property in Pittsfield Township, using matching funds that Cherry Republic had previously donated to the city.

Communications & Outreach

Three commissioners serve on a committee for communications and outreach: Stephanie Buttrey, John Ramsburgh, and Jean Cares. They volunteered to work on the committee at GAC’s Jan. 2, 2014 meeting.

Since then, they’ve developed a draft communications plan with two primary goals: (1) increasing public awareness of and support for the greenbelt, and (2) increasing landowner support for and participation in land preservation within the greenbelt.

John Ramsburgh, a member of GAC’s communications and outreach committee.

At the May 1 meeting, Buttrey gave an update on the plan. The committee had brainstormed about how to get the greenbelt program’s message out to the community, she said. Many people don’t know about the program, or know about it in only a very general way. Sometimes, people’s reaction is to ask why the city is spending taxpayer money outside of Ann Arbor, she noted.

Because of misinformation or a lack of information, she said, the committee was formed to communicate the greenbelt’s mission and to come up with answers to frequently asked questions – and in general, to figure out how to get the message out about what the greenbelt program does.

The draft plan calls for using a combination of earned, paid and social media to strengthen public and landowner support for the greenbelt. Target audiences include Ann Arbor taxpayers, existing and potential landowner participants in the program, and elected officials and policymakers at the local, regional and federal levels. [.pdf of draft plan]

Existing outreach efforts include an annual public forum at the Ann Arbor District Library that features a panel discussion of landowners who’ve participated in the program. A bus tour of greenbelt properties is held each year, and the greenbelt is typically promoted at events throughout the year, like the HomeGrown Fest and Mayor’s Green Fair.

Potential efforts listed in the draft plan include:

• Develop a FAQ for commission members and the public.
• Create a greenbelt Facebook page and Twitter account, as well as a presence on the city’s Facebook and Twitter pages.
• Form a greenbelt-exclusive listserv with the target goal of 500 emails in 2014, to receive monthly updates. 
• Design a tri-fold brochure for distribution.
• Implement a registry program for potential landowners.
• Partner with local businesses that support local agriculture, as a possible alternate source of matching funds.
• Expand public outreach through event tabling, a speaker’s bureau, and other efforts.
• Create a PowerPoint presentation that can be used for making presentations. 
• Develop driving and biking maps of greenbelt properties that can be posted online. 
• Explore possible birding opportunities.

Ginny Trocchio, who provides staff support for the greenbelt program, reported that she and Sumedh Bahl – the city’s community services area administrator – have met with the city’s communications staff, who’ll be attending the next committee meeting to help brainstorm about resources that could be used. The intent is to flesh out more details of the plan, create a timeline for implementation, and bring it back to GAC for approval, she said.

The next communications and outreach committee meeting is on May 27 at 4 p.m. in the first floor conference room at city hall. “Any other commissioners are welcome to join us,” Buttrey said.

Buttrey also suggested developing an “elevator speech” – with the intent to have a standard, concise way of explaining the greenbelt program and the role of commissioners.

Ramsburgh noted that the committee is also thinking longer-term about the program, and what will happen when the millage expires.

The 30-year millage that supports the greenbelt program was passed by voters in 2003. The 0.5 mill tax for land acquisition is called the open space and parkland preservation millage. On the summer tax bill, the line item appears as CITY PARK ACQ.

Outcome: This was not a voting item.

Staff Update

Ginny Trocchio gave an update about grants from the former USDA Farm and Ranchland Protection Program (FRPP). By way of background, this program was repealed under the new federal Farm Bill of 2014. It was replaced by the Agricultural Conservation Easement Program.

Ginny Trocchio, right, talks with GAC chair Catherine Riseng before the start of the May 1 meeting. Trocchio is an employee of The Conservation Fund, which is under contract with the city to provide staff support for the greenbelt program.

Applications for this new program are now being accepted until June 6, Trocchio reported. In the past, Ann Arbor’s greenbelt program has been successful in securing FRPP grants as matching funds for land preservation. Trocchio said she’s now working on possible properties that might be eligible for grants under the new program.

Trocchio also updated commissioners on legislation that’s pending in Congress related to tax incentives for donating conservation easements. Landowners who want to donate easements or who agree to sell their easements for less than market value have previously been able to receive a tax deduction.

Prior to 2006, the income deduction that a landowner could take for donating an easement was 30% of their adjusted gross income. They couldn’t take that deduction all in one year, but could carry it forward for an additional five years.

So a landowner earning $50,000 a year who made a donation valued at $1 million could take a $15,000 deduction annually for six years – for a total deduction of $90,000.

In 2006, Congress passed legislation that increased that deduction from 30% of adjusted gross income to 50%, and allowed landowners to carry the deduction forward for an additional 15 years. The change allowed landowners to take a greater overall deduction. So the same landowner earning $50,000 and making a $1 million donation could receive total deductions of $400,000 over 16 years. The 2006 legislation also allowed for certain qualified farmers to deduct 100% of their adjusted gross income. A qualified farmer is someone who makes at least 50% of their household income from a farm operation.

These enhanced incentives expired at the end of 2013, Trocchio reported. Now, however, Congress is considering an extension in 2014 and 2015. She told commissioners that she’d keep them posted on any new developments. The land trust community is hoping to make these incentives permanent, she said.

Land Acquisition

Most meetings of the greenbelt advisory commission include a closed session to discuss possible land acquisitions. The topic of land acquisition is one allowed as an exemption by the Michigan Open Meetings Act for a closed session.

On May 1, commissioners met in a closed session that lasted about 30 minutes, then emerged and voted on one resolution that will be forwarded to the city council.

Before appearing on the city council’s agenda, details of proposed greenbelt acquisitions are not made public. Parcels are identified only by their application number, with the first four numbers signifying the year in which the application was made.

On May 1, commissioners voted on a resolution recommending that the city council move forward with the purchase of development rights on a property identified in application #2013-05. The resolution also recommended a partnership agreement with Pittsfield Township and an allocation of $5,200 from the contribution made to the city by Cherry Republic. That amount would be used as matching funds in the deal.

Outcome: The resolution passed unanimously, without discussion.

Next meeting: Thursday, June 5, 2014 at 4:30 p.m. in the second-floor council chambers at city hall, 301 E. Huron. [Check Chronicle event listings to confirm date] The meetings are open to the public and include two opportunities for public commentary.

Present: Shannon Brines, , Stephanie Buttrey, Jean Cares, Jennifer Fike, John Ramsburgh, Catherine Riseng, Christopher Taylor. Staff: Ginny Trocchio.

Absent: Peter Allen, Archer Christian.

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The council will next take up the question at a special session on Feb. 24, 2014, which will also possibly feature a closed session.

The council voted to postpone the question at its Feb. 18, 2014 meeting after a closed session that lasted about 25 minutes. The resolution delayed by the council would approve the exercise of the city’s right of first refusal, appropriate necessary funds, and direct the city administrator to notify Edward Brothers Malloy about the exercise of the city’s right. Some background information on the possible acquisition of the property by the city was released earlier in the day. [Edwards Brothers chart][Additional offer for Edwards Brothers 2-18-14] [Memo to council]

The council had on Feb. 3 postponed the item “to our next meeting” – which was scheduled for Feb. 18. But subsequently a special meeting was called for Feb. 10 to consider the question. That special meeting was then cancelled.

Earlier, at its Jan. 6, 2014 meeting, the council had directed the city administrator and the city attorney to explore options and gather information about the Edwards Brothers land. The due date for that gathering of information was specified in the council’s resolution as Jan. 30 – the same day that the land-purchase item was added to the Feb. 3 agenda.

At its following meeting, on Jan. 21, 2014, the council approved without discussion a $25,550 contract with Atwell LLC for environmental site assessment services on the property. That assessment included a survey of asbestos-containing materials.

The pending sale of the property to UM was announced in a Nov. 27, 2013 press release. The business – a fourth-generation Ann Arbor publishing and printing firm – had signaled its intent to put the property on the market in late July.

An item authorizing the $12.8 million purchase is on the Feb. 20 UM board of regents agenda, based on the assumption so that the university can move ahead if the city doesn’t exercise its right of first refusal.

The city’s right of first refusal on the property was a condition of a tax abatement granted by the city council three years ago, on Jan. 18, 2011. Purchase by the university would remove the property from the tax rolls. Washtenaw County records show the taxable value of the property at just over $3 million. In 2013, Edwards Brothers paid a total of $182,213 in real property taxes, not all of which is the city’s levy. The total city levy of 16.45 mills on $3 million of taxable value works out to about $50,000.

According to the tax abatement agreement, the event triggering the city’s right-of-first-refusal window of 60 business days is a formal notification to the city by Edwards Brothers, which was made on Nov. 27, 2013. According to a staff memo from city administrator Steve Powers, the city has until Feb. 26, 2014 to exercise its right of first refusal. If the city decides to exercise that right, it must close on the purchase by Feb. 28, 2014.

This brief was filed from the city council’s chambers on the second floor of city hall located at 301 E. Huron.

The next opportunity to take up the Edwards Brothers item at a regular meeting will be at the council’s Feb. 18, 2014 meeting.  The council had postponed the question at its Feb. 3, 2014 meeting.

The question is whether to move ahead with the purchase of the 16.7-acre Edwards Brothers Malloy property on South State Street. The University of Michigan made an offer to Edwards Brothers to purchase the property for $12.8 million, but the city council is currently considering whether to exercise the city’s right of first refusal. The council will need to take action at its Feb. 18 meeting in order to meet the condition of a 60-day window after notification – or possibly convene a special meeting to consider the question.

The council will convene its work session on Feb. 10 at 7 p.m. as it had previously planned.

The city of Ann Arbor has announced a special session of the city council for Feb. 10, 2014 at 6 p.m. in city council chambers. The purpose is to consider the question of exercising the city’s right of first refusal to purchase the 16.7 acres of land owned by Edwards Brothers Malloy on South State Street. The session will include a closed session to discuss land acquisition.

The 6 p.m. start time is different from the council’s regular 7 p.m. start time. The council has a budget working session scheduled for 7 p.m. on the same day.

The council had considered the question at its most recent meeting on Feb. 3, 2014, but postponed a vote after a closed session lasting more than 90 minutes.

The vote was postponed until the council’s next regular meeting on Feb. 18. The vote to postpone was unanimous, and came after a roughly hour-and-forty-minute closed session. The council did not discuss the item before voting to postpone.

The resolution would approve the exercise of the city’s right of first refusal, appropriate necessary funds, and direct the city administrator to notify Edward Brothers Malloy about the exercise of the city’s right. The agenda item contained no other background information.

At its Jan. 6, 2014 meeting, the council had directed the city administrator and the city attorney to explore options and gather information about the Edwards Brothers land. The due date for that gathering of information was specified in the council’s resolution as Jan. 30 – the same day that the land-purchase item was added to the Feb. 3 agenda.

At its following meeting, on Jan. 21, 2014, the council approved without discussion a $25,550 contract with Atwell LLC for environmental site assessment services on the property. That assessment included a survey of asbestos-containing materials.

By way of background, the pending sale of the property to UM was announced in a Nov. 27, 2013 press release. The business – a fourth-generation Ann Arbor publishing and printing firm – had signaled its intent to put the property on the market in late July.

The city’s right of first refusal on the property was a condition of a tax abatement granted by the city council three years ago, on Jan. 18, 2011. Purchase by the university would remove the property from the tax rolls. Washtenaw County records show the taxable value of the property at just over $3 million. In 2013, Edwards Brothers paid a total of $182,213 in real property taxes, not all of which is the city’s levy. The total city levy of 16.45 mills on $3 million of taxable value works out to about $50,000.

According to the tax abatement agreement, the event triggering the city’s 60-day right-of-first-refusal window is a formal notification to the city by Edwards Brothers, which was made on Nov. 27, 2013. The council will still be within the 60-day window when it votes at its Feb. 18 meeting.

The resolution the council will be taking up again at its Feb. 18 meeting requires an eight-vote majority on the 11-member council – because the resolution changes the city budget and involves a purchase of real estate. Stephen Kunselman (Ward 3) was absent from the council’s Feb. 3 meeting – because he was attending a professional conference of the Association of Physical Plant Administrators (APPA). He works in the University of Michigan’s energy office as Planet Blue energy conservation liaison.

This brief was filed from the city council’s chambers on the second floor of city hall, located at 301 E. Huron.

The item was added to the agenda on Thursday, Jan. 30 and is grouped with staff-generated items. City administrator Steve Powers is indicated on the council’s agenda as the originator of the item. The resolution approves the exercise of the city’s right of first refusal, appropriates necessary funds, and directs the city administrator to notify Edward Brothers Malloy about the exercise of the city’s right. As of early afternoon on Friday, Jan. 31, the item contained no other background information.

Update: Reached by phone late Friday afternoon, city administrator Steve Powers told The Chronicle that he and other staff would be working over the weekend to finalize the information that the council would be provided before being asked to consider the possible purchase of the land. That includes the financing mechanism, source of funds, types of scenarios for the city eventually to shed ownership of the land, results of an environmental review, and possible zoning revisions to enhance property value. Powers allowed that the council might not be ready to vote at its Feb. 3 meeting, but confirmed that the council’s next regular meeting on Feb. 18 would still fall within the 60-day window of opportunity for action.

At its Jan. 6, 2014 meeting, the council had directed the city administrator and the city attorney to explore options and gather information about the Edwards Brothers land. The due date for that gathering of information was specified in the council’s resolution as Jan. 30 – the same day that the land-purchase item was added to the Feb. 3 agenda.

At its following meeting, on Jan. 21, 2014, the council approved without discussion a $25,550 contract with Atwell LLC for environmental site assessment services on the property. That assessment included a survey of asbestos-containing materials.

By way of background, the pending sale of the property to UM was announced in a Nov. 27, 2013 press release. The business – a fourth-generation Ann Arbor publishing and printing firm – had signaled its intent to put the property on the market in late July.

The city’s right of first refusal on the property was a condition of a tax abatement granted by the city council three years ago, on Jan. 18, 2011. Purchase by the university would remove the property from the tax rolls. Washtenaw County records show the taxable value of the property at just over $3 million. In 2013, Edwards Brothers paid a total of $182,213 in real property taxes, not all of which is the city’s levy. The total city levy of 16.45 mills on $3 million of taxable value works out to about $50,000.

According to the tax abatement agreement, the event triggering the city’s 60-day right-of-first-refusal window is a formal notification to the city by Edwards Brothers, which was made on Nov. 27, 2013. If the council were to delay voting on the item until its Feb. 18 meeting, it would appear to still be within that 60-day window.

The Feb. 3 agenda item requires an eight-vote majority on the 11-member council – because the resolution will change the city budget and involves a purchase of real estate. At least one councilmember will not be present for the Feb. 3 meeting. Stephen Kunselman (Ward 3) will be attending a professional conference of the Association of Physical Plant Administrators (APPA). He works in the University of Michigan’s energy office as Planet Blue energy conservation liaison.

Discussion at the city council’s Sunday night caucus on Jan. 19 indicated that talks are taking place between the city and developers who might have an interest in purchasing the property from the city. One obstacle in those conversations is the fact that the university could still eventually exercise its right of eminent domain to acquire the property from a developer, even after purchasing it from the city. But that would require convincing a court that the expansion of the university’s athletic campus at that location would be in the public interest.

In action taken at the council’s Jan. 21, 2014 meeting, councilmembers approved a $25,550 contract with Atwell LLC for environmental site assessment services to evaluate the property. The University of Michigan has made an offer to Edwards Brothers to purchase the property for $12.8 million, but the city has a right of first refusal.

At its Jan. 6, 2014 meeting, the council directed the city administrator and the city attorney to explore options and gather information. So the site assessment by Atwell is part of that effort. The council is working within a 60-business-day window that began Nov. 27, 2013.

By way of background, the pending sale of the property to UM was announced in a Nov. 27, 2013 press release. The business – a fourth-generation Ann Arbor publishing and printing firm – had signaled its intent to put the property on the market in late July.

The city’s right of first refusal on the property was a condition of a tax abatement granted by the city council almost three years ago, on Jan. 18, 2011. Purchase by the university would remove the property from the tax rolls. Washtenaw County records show the taxable value of the property at just over $3 million.

According to the tax abatement agreement, the event triggering the city’s 60-day right-of-first-refusal window is a formal notification to the city by Edwards Brothers, which was made on Nov. 27, 2013.

Discussion at the city council’s Sunday night caucus on Jan. 19 indicated that conversations are taking place between city officials and the university about UM’s needs and how the Edwards Brothers property meets those needs – with an eye towards the possibility of the city and the university arriving at a mutually agreeable outcome where the city acquired only a portion of the property.

Caucus discussion also indicated that talks are taking place between the city and developers who might have an interest in purchasing the property from the city. One obstacle in those conversations is the fact that the university could still eventually exercise its right of eminent domain to acquire the property from a developer, even after purchasing it from the city. But that would require convincing a court that the expansion of the university’s athletic campus at that location would be in the public interest.

This brief was filed from the city council’s chambers on the second floor of city hall, located at 301 E. Huron. A more detailed report will follow: [link]

One of the items is the approval of a $25,550 contract with Atwell LLC for environmental site assessment services to evaluate 2500 S. State St.  That’s the Edwards Brothers Malloy property for which the council is currently exploring options to purchase. The University of Michigan has made an offer to Edwards Brothers to purchase the property for $12.8 million, but the city has a right of first refusal. At its Jan. 6, 2014 meeting, the council directed the city administrator and the city attorney to explore options and gather information. So the site assessment by Atwell is part of that effort. The council is working within a 60-business-day window that began Nov. 27, 2013.

The other two items are related to liquor licenses. The council will be asked to approve a recommendation that the Michigan Liquor Control Commission approve a special downtown development liquor license for the Lunch Room at 407 N. Fifth Avenue. That category of license was made available by the Michigan legislature in 2006 for cities that established districts where such licenses would be granted. The requirements include investment in the rehabilitation of the building that houses the establishment seeking the license, and a determination that the recipient of the license be recommended “above all others.”

And the council will be asked to approve a change in the classification of Silvio’s Organic Pizza license from a Tavern License to a Class C License. A key difference between a Class C license and a Tavern License is that a Class C license allows the sale and consumption of not just beer and wine, but also liquor. Silvio’s is located at 715 N. University Ave.

For a preview of other Jan. 21, 2014 agenda items, see The Chronicle’s report: “Jan. 21, 2014 Ann Arbor Council: Preview.“