Traverse City News and Events

GT County Commissioners Set ARPA Hearing, Approve Kmart Brownfield Plan & Drain Commissioner Raise

By Beth Milligan | Dec. 8, 2022

Grand Traverse County commissioners Wednesday heard from an advisory committee regarding the top community projects recommended to receive American Rescue Plan Act (ARPA) funding, and scheduled an input session for December 14 to gather public feedback. Commissioners also approved a brownfield plan for the former Kmart building at the Cherryland Center and increased the drain commissioner’s wages for two years to support an increased workload amidst a backlog of projects.

ARPA Projects
After accepting community applications for two months this fall for the Grand Traverse County’s $18.2 million in ARPA funding, the county received a total of 108 requests from 78 organizations – applications totaling a requested $78.6 million in funding.

Consultant Tim Dempsey of Public Sector Consultants gave a broad overview of the applications to commissioners Wednesday, noting that the average funding request was $728,573. A community advisory committee consisting of members from a variety of industries and sectors – called the American Rescue Plan Advisory Committee (ARPAC) – reviewed and prioritized applications based on how they met both project criteria and county investment priorities.

Project criteria included being self-sustaining, addressing known gaps in services, benefiting the most citizens possible while targeting underserved populations, having long-term impacts, and meeting ARPA requirements – primarily meeting pandemic-related needs. Investment priorities – informed in part by community survey feedback – included increasing attainable workforce housing, addressing early intervention and long-term human service gaps, improving the talent pipeline, increasing childcare capacity and quality, and supporting critical infrastructure needs.

The process resulted in applications being divided into three tiers, with tier one – the top priority projects – including 17 projects totaling $22.9 million. Those included five housing projects totaling $7.2 million from organizations including the Traverse City Housing Commission, HomeStretch, Wallick Communities, Goodwill, and the Coalition for Educator Housing in Grand Traverse County. Critical infrastructure projects – totaling $2.8 million – included sanitary sewer and pump station work in East Bay Township, a Barlow/LaFranier trail connector to the Boardman Lake Loop, and a Deepwater trail connector on the Nakwema Trailway.

Healthcare – both physical and mental – was also significantly represented in tier one. Projects included air quality upgrades at the Grand Traverse Pavilions, $5 million for a new regional mental wellness center, $4 million for Addiction Treatment Services, and grants for child and family service programs at organizations including TCAPS, Northwest Michigan Health Services, Traverse Bay Children’s Advocacy Center, Michael’s Place, and Child & Family Services of Northwestern Michigan. Another $2 million was recommended for an early childhood center, but that request has been put on hold due to potential timing conflicts.

Dempsey noted that if any members of the ARPAC belonged to organizations submitting applications, they were recused entirely from the review and prioritization process.

While County Administrator Nate Alger encouraged commissioners to seriously consider the committee’s recommendations, he noted that final spending decisions rest solely with the commission. Even among tier one projects, there is not enough ARPA funding to fully cover requests – with commissioners needing to decide if they’ll award partial or full grants and what the timeline will be. Funds must be allocated by the end of 2024 and spent by the end of 2026. Commissioners scheduled a study session next Wednesday to hear public feedback. “This is going to be a long process,” reminded Chair Rob Hentschel. “It’s not going to be all done at one meeting. It’s going to be beyond the scope of this year’s board.”

Kmart Brownfield Plan
County commissioners Wednesday unanimously approved a brownfield plan to cover the former Kmart building at the Cherryland Center, soon to be home to a new five-sheet curling center. The Traverse City Curling Club, owner of the building, had previously received approval from the Grand Traverse County Brownfield Redevelopment Authority and Garfield Township for the plan, with the county commission being the final step. A brownfield plan helps a developer offset the costs of renovating a blighted, contaminated, or functionally obsolete site by reimbursing the developer for certain clean-up expenses. As the tax value on the property rises due to its redevelopment, that increase is captured to reimburse the developer for some of the clean-up costs they paid upfront.

The former Kmart building was determined to be functionally obsolete by Garfield Township’s assessor and has incurred “extraordinary costs for redevelopment,” according to a memo from Grand Traverse County Brownfield Redevelopment Authority Director Anne Jamieson. The brownfield plan identifies $817,880 in eligible clean-up expenses that can be reimbursed over 23 years to the curling club as the property is slowly revitalized and begins generating more tax revenue. After that point, the plan would be complete and increased tax revenue would go to local taxing jurisdictions. Because the curling club is a nonprofit, the increased tax revenue on the property will come from other commercial tenants, with the Traverse City Curling Club working now to line up other building occupants.

Drain Commissioner Raise
County commissioners approved a two-year raise for the position of county drain commissioner. Once funded at a salary level of $61,165 in 2012, the position today pays just $16,474, according to wage figures submitted this fall to commissioners by current Drain Commissioner Andy Smits. Smits, who has held the post since January 2021, told commissioners earlier this year that there are “systematic problems” with the position’s structure and lack of salary compared to the hours required for the job, as well as a 15-year backlog of projects that haven’t been adequately addressed.

A bipartisan ad hoc committee of commissioners reviewed the drain commission’s budget this fall and recommended raising the position’s salary to $45,000 in 2023 and 2024. That increase will allow Smits to dedicate more time to addressing the department’s backlog, including a number of long-neglected drains in the county. The resolution also calls for commissioners to work with the drain commissioner to restructure the department so that in the future, there is better staff support for the office and transition assistance between drain commissioners.

As part of the motion, the drain commissioner’s salary will automatically reduce to $18,000 in 2025 – a move made on the assumption that “when everything’s all cleaned up and good, the role can be smaller,” explained Commissioner Bryce Hundley, who served on the ad hoc. But the decision about whether the salary should be reduced or remain at the higher level will ultimately “be for a future board to decide,” Hundley said, with commissioners including language in the motion to trigger an automatic board review of the position and its salary in March 2024.

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