Hello neighbors!
Welcome to my Ann Arbor City Council newsletter, where you can connect with primary sources to understand the work of your local government. My goal is to provide clear explanations of all the issues your elected representatives will be discussing at their next meeting and alert you to local policy and decisions that have been assigned to unelected Mayoral appointees.
This week, Ann Arbor City Council considers a lengthy agenda that includes capital improvement bonds for a new fire station (DS-2), new ordinances for a Sustainable Energy Utility (C-2), relaxed zoning for theaters and pinball parlors (C-3), and dissolution of the Design Review Board (C-4). Additionally, Council will consider moving forward with public subsidy of $136 million in parking decks for the planned Arbor South development on South State (DC-1). Council will host two public hearings, both related to the Hickory Way III affordable housing development on South Maple (B-1 and DS-1).
Significant expenditures land on the Consent agenda this week:
CA-12 (25-0339) Resolution to Approve a Construction Contract with Fonson Company, Inc. for the Pittsfield Village Improvements Project (RFP 25-06; $13,512,426.75) and to Appropriate $12,660,500.00 in Contributing Funds (8 Votes Required)
A construction contract for $13,512,426.75 will upsize water main and sanitary sewers, improve stormwater detention and drainage, resurface streets, add traffic calming (Pittsfield Boulevard) and fill sidewalk gaps (Whitewood Street & Fernwood/Edgewood) in Pittsfield Village. Work is scheduled to begin next month.
CA-14 (25-0352) Resolution to Approve a Construction Contract with Cadillac Asphalt, LLC (RFP No. 25-02, $5,316,300.85) for the 2025 Annual Street Resurfacing Project, and to Appropriate $1,415,000.00 from Contributing Funds (8 Votes Required)
A construction contract for $5,316,300.85 will resurface 23 local streets, 3 major streets, and asphalt paths along Eisenhower and State Streets. Traffic calming will be installed on Bird Rd, Arella Blvd, Henry St, Mershon Dr (south of Scio Church), and Worden Ave.
CA-16 (25-0226) Resolution to Approve a Construction Contract with Granger Construction Company ($10,630,000.00) (RFP# 24-57), Establish the Fire Station 4 Bond 2025 Fund and Appropriate Funding ($12,420,000.00) (8 Votes Required)
A construction contract for $10,630,000 will build a new net-zero Fire Station 4 on Huron Parkway (see $12 million in capital improvement bonds in DS-2)
CA-23 (25-0508) Resolution to Authorize Settlement of Proposed Class Action Lawsuit Entitled Sean Yannotti v. City of Ann Arbor, United States District Court Case No. 22-cv-12147
A class action lawsuit reaching back to 2019 is finally settled. If you or anyone you know ever parked a car in Ann Arbor and had tires chalked by the Ann Arbor Police Department, you may be eligible to receive an award of $1!
A2Council Update Video
After every City Council meeting I send out an “A2Council Update” newsletter, which includes a summary video. Here is my A2Council Update video from the Council meeting of March 3, 2025:
In Case You Missed It…
On my YouTube channel, you can find recordings of public meetings that are open to attend live (online or in-person) but are not made available by the City to view later. Please reach out if you have suggestions about public meetings that should be recorded. Subscribe to my YouTube channel if you would like to be alerted to new content as it gets added.
https://www.youtube.com/@a2elnel
Council Administration Committee: March 11, 2025
This is a recording I made of a Zoom audio meeting held on Tuesday, March 11, 2025 by the Ann Arbor Council Policy Agenda Committee. Video was not made available.
https://a2council.com/council-administration-committee-march-11-2025/
Ann Arbor City Council Meeting Agenda
Below is my summary of issues on the City Council Agenda this week, with links to more information about each of them. If you have comments about any of these issues, you can email all of Council at CityCouncil@a2gov.org
Ann Arbor City Council Meeting
Monday, March 17 2025 7:00PM
Ann Arbor City Hall (2nd Floor)
301 E Huron St, Ann Arbor 48104
The full agenda (including a link to the latest published PDF agenda, and instructions for dialing into the meeting) is on the A2Gov Legistar website:
https://a2gov.legistar.com/MeetingDetail.aspx?ID=1251577&GUID=36150908-77E1-4BC0-A5BE-11B330EFF701
City Council meetings are broadcast live by CTN on Comcast (channel 16) and AT&T (channel 99) and online at a2gov.org/watchCTN
Meetings are also streamed live on the CTN YouTube channel:
https://www.youtube.com/user/ctnannarbor
How to reserve public comment
People that wish to comment at a City Council meeting must sign up with the City Clerk’s office in advance. Speakers are allotted 3 minutes, with the first 15 speakers allowed to speak in a 45 minute session near the beginning of the meeting. Remaining speakers will speak at the end of the Council meeting. Public comment can be made either in person or remotely via phone/Zoom audio.
To sign up for public comment, please go to or call the City Clerk’s Office at 734-794-6140 on the day of the meeting between 8:00 AM and 5:00 PM. At 4:00 PM, all speakers that have signed up are randomly ordered in “priority groups”. After 4:00 PM, speakers are added to the end of the applicable priority group in the order received. No new speakers will be added to the list after 5:00 PM. For more information, visit the City Clerk’s webpage about electronic meetings, section “City Council Public Commentary Time”
https://www.a2gov.org/departments/city-clerk/Pages/Virtual-Meetings-.aspx
Questions to the Agenda
In preparation for a Council meeting, Council members can ask questions of staff about scheduled agenda items. Questions must be submitted by noon on the Wednesday before a Council Meeting, and answers are returned the next day (Thursday) by 5pm.
AC-1 (25-0594) Agenda Response Memo and eComments – March 17, 2025
This agenda item has a PDF attachment with all questions raised by Council Members, and the answers provided by staff.
Communications from the Mayor
There are no appointments from the Mayor on the agenda this week
Consent Agenda
Below is the list of items included on the Consent Agenda. If no one on Council specifically requests that an item be pulled for discussion, the whole of this list will be approved in a single vote.
CA-1 (25-0521) Resolution to Approve Street Closure of Jefferson between Maynard and Thompson Streets for the University of Michigan UMix End of the Year (EOY) Celebration on Friday, April 4, 2025 from 3:00 PM until Midnight
CA-2 (25-0523) Resolution to Approve Street Closures for the 2025 MUSIC Matters SpringFest from 6:00 A.M. on Friday, April 11, 2025 until 10:00 P.M.
CA-3 (25-0524) Resolution to Approve the Closure of Washington between Fletcher and Thayer Streets for the Forever Go Blue Bash on Wednesday, April 16, 2025 from 6:00 A.M. until 6:00 P.M.
CA-4 (25-0532) Resolution to Approve Street Closing for The Event on Main from 4:00 P.M. on Wednesday, June 18, 2025 through 6:00 A.M. on Friday, June 20, 2025
CA-5 (25-0455) Resolution to Approve Application for and Acceptance of Designation as a Bird City Michigan
CA-6 (25-0460) Resolution to Approve a 2025 Recreation Passport Grant Application to the Michigan Department of Natural Resources Grants Management for Improvements at Clinton Park
CA-7 (25-0499) Resolution to Approve a Construction Contract with Michigan Recreational Construction, Inc. for Phase 1A of the Bicentennial Park Splash Pad and Playground Improvements Project and to Appropriate Funds ($1,270,322.00) (8 Votes Required)
CA-8 (25-0443) Resolution to Approve a Construction Contract with E.T. MacKenzie Company for the Allmendinger Park Improvements Project ($533,990.00)
CA-9 (25-0287) Resolution to Approve FY25-27 Allocations for 3-Year High Impact Grants and Annual Mini-Grants as Part of the New Human Services Partnership ($495,087.00)
CA-10 (25-0422) Resolution Directing the City Administrator to Negotiate a Revised Consent Judgment in Support of Development for 2857 Packard Road
CA-11 (25-0202) Resolution to Approve a Construction Contract with Pavement Maintenance Systems, LLC (RFP No. 25-04, $1,542,423.68) for the 2025 Annual Street Preventative Maintenance Project and Appropriate $1,057,055.00 in Contributing Funds
CA-12 (25-0339) Resolution to Approve a Construction Contract with Fonson Company, Inc. for the Pittsfield Village Improvements Project (RFP 25-06; $13,512,426.75) and to Appropriate $12,660,500.00 in Contributing Funds (8 Votes Required)
CA-13 (25-0340) Resolution to Approve Amendment No. 1 to the Professional Services Agreement with OHM Advisors for the Pittsfield Village Improvements Project ($1,752,031.00 Amendment, $2,893,002.00 Contract Total)
CA-14 (25-0352) Resolution to Approve a Construction Contract with Cadillac Asphalt, LLC (RFP No. 25-02, $5,316,300.85) for the 2025 Annual Street Resurfacing Project, and to Appropriate $1,415,000.00 from Contributing Funds (8 Votes Required)
CA-15 (25-0425) Resolution to Submit Funding Applications Under the FY 2028 Local Bridge Program to Perform Preventative Maintenance on Three City Bridges
CA-16 (25-0226) Resolution to Approve a Construction Contract with Granger Construction Company ($10,630,000.00) (RFP# 24-57), Establish the Fire Station 4 Bond 2025 Fund and Appropriate Funding ($12,420,000.00) (8 Votes Required)
CA-17 (25-0264) Resolution to Authorize the Purchase of Three Automated Side Load Drop Frame Refuse Trucks on Autocar Chassis’ from Fredrickson Supply and Appropriate Funding (Sourcewell – $1,486,268.40) (8 Votes Required)
CA-18 (25-0301) Resolution to Amend the Purchase Order for the Rental of Refuse Trucks from Premier Truck Sales & Rental Inc. (Amendment $100,000.00; Total $386,900.00)
CA-19 (25-0286) Resolution to Authorize the Purchase of Four Ford Mustang Mach-E’s from Lunghamer Ford and Appropriate Funding (State of Michigan MiDeal – $157,852.00) (8 Votes Required)
CA-20 (25-0487) Resolution to Approve a Five-Year Professional Services Agreement with Hylant Group for Insurance Brokerage Services and Risk Management Consulting ($457,500.00)
CA-21 (25-0180) Resolution to Accept Grant Funds from the Michigan Department of Environment, Great Lakes, and Energy to Create a Circular Economy Action Plan and Appropriate Funds to the FY25 Major Grants Program Fund ($99,630.00) (8 Votes Required)
CA-22 (25-0538) Resolution to Approve an Underground Electric Easement at 919 Sunset Road to DTE Electric Company (8 Votes Required)
CA-23 (25-0508) Resolution to Authorize Settlement of Proposed Class Action Lawsuit Entitled Sean Yannotti v. City of Ann Arbor, United States District Court Case No. 22-cv-12147
Public Hearings
Anyone wanting to comment on these issues may speak for 3 minutes, without having specifically reserved time. Issues subject to public hearing will also be up for a vote by Council later in the meeting.
PH-1/B-1 (25-0198) An Ordinance to Amend Chapter 55 (Zoning), Rezoning of 1.15 Acres from TWP (Township) to PUD (Planned Unit Development District), Hickory Way III PUD Zoning and Supplemental Regulations, 1146 South Maple Road (CPC Recommendation: Approval – 8 Yeas and 0 Nays) (ORD-25-04)
A property at 1146 S. Maple Road, will be rezoned to Planned Unit Development (PUD). The 1.2 acre parcel was recently annexed into the City and sold to Avalon Housing for the development of Hickory Way III, an affordable housing project.
On April 3, 2024, developers hosted a public engagement meeting for the proposed Hickory Way III development. You can watch it here: https://a2council.com/hickory-way-1146-s-maple-rd-citizen-participation-meeting-april-3-2024/
The planning commission approved this rezoning in November 2024: https://a2council.com/ann-arbor-city-planning-commission-november-19-2024/
PH-2/DS-1 (25-0199) Resolution to Approve 1146 South Maple Road – Hickory Way III PUD Site Plan and Development Agreement (CPC Recommendation: Approval – 8 Yeas and 0 Nays)
A site plan for Hickory Way III describes a four-story, 39 unit affordable housing apartment building with a 20 space surface parking lot. There will be elevator access to upper floors. All units will be one-bedroom, 652 Sq ft.
Ordinances – Second Reading
In order to amend the city code, Council must vote to approve the change, via ordinance, at two Council meetings. The following proposed ordinances were approved at a previous Council meeting, and are also subject to a public hearing as listed above.
B-1 (25-0198) is the same as PH-1 above.
New Business – Staff
DS-1 (25-0199) is the same as PH-2 above.
DS-2 (25-0265) Resolution Authorizing Issuance of 2025 Capital Improvement Bonds for the Fire Station No.4 Replacement Project (Not to Exceed $12,000,000.00) (Limited Tax General Obligation) (6 Votes Roll Call)
The city will issue $12,000,000 in capital improvement bonds to finance construction, furnishing, and equipment to replace Fire Station No. 4 on Huron Parkway. The facility will be net-zero and include geothermal heating and cooling, solar panels, and energy-efficient design.
Ordinances – First Reading
In order to amend the city code, Council must vote to approve the change, via ordinance, at two Council meetings. The following proposed ordinances are being introduced for “first reading”. If approved, the ordinance will be voted on at a subsequent Council meeting (“second reading”), where it will also be subject to a public hearing.
C-1 (25-0385) An Ordinance to Amend Sections 9:101, 9:103, 9:105, 9:109 of Chapter 111 (Fire Prevention) of Title IX of the City Code of Ordinances
Ordinance amendments will update standards for Fire Prevention from 2015 International Fire Code (IFC) to the 2021 edition of IFC. References to the 2015 IFC will be changed to 2021 IFC. Changes highlighted by staff include stricter provisions for fire safety in high-rise buildings, new technology integrated into communication systems, new measures to balance fire safety with security concerns (door-locking), and guidelines for green building materials to mitigate fire hazards.
C-2 (25-0420) An Ordinance to Add Chapter 35 (Sustainable Energy Utility) to Title II (Utilities and Services) of the Code of the City of Ann Arbor
An ordinance will be added to City code, in order to establish a Sustainable Energy Utility (SEU). The SEU will an opt-in, fee-based supplemental energy utility to provide renewably-sourced energy and other energy-related services in the City. The ordinance establishes a governing structure, rules and regulations for the SEU. Key points:
- An Enterprise Fund will be established in order to finance any improvements. This fund will account for operations so that costs will be recovered from customer charges. City Council will set rates and charges.
- Facilities and infrastructure built and purchased will be owned by the City of Ann Arbor
- The City administrator will appoint a director tasked with planning and coordinating with City departments (Public Works and Office of Sustainability & Innovations), submitting annual reports, and meeting state and federal regulatory requirements
C-3 (25-0428) An Ordinance to Amend Sections 5.15 and 5.16 of Chapter 55 (Unified Development Code) of Title V of the Code of the City of Ann Arbor (General Entertainment Uses) CPC Recommendation: Approval (9 Yes, 0 No)
Ordinance amendments will remove specific use standards of “general entertainment” currently described in the Unified Development Code (UDC). Two named uses – enclosed theaters (600 seat maximum) and pinball parlors – would be removed from the code and allowed in all districts where “general entertainment” is permitted. Currently both theaters and pinball parlors are restricted to only Campus Business zoning districts. With amendments, they would be permitted as a primary use in commercially zoned districts, downtown districts, and transit corridor districts.
C-4 (25-0432) An Ordinance to Amend Sections 5.17, 5.27 and 5.28 of Chapter 55 (Unified Development Code) of Title V (Building Design Requirements on Primary and Secondary Streets, Design Review Board, and Design Review) and to Repeal Section 1:239 of Chapter 8 of Title I of the Code of the City of Ann Arbor CPC Recommendation: Approval (7 Yes, 2 No)
Ordinance amendments will remove the design review board as part of the approval process for new developments. As it currently exists, the Design Review Board is meant to “foster excellence in the built environment” specifically downtown. It advises developers on how to meet Downtown Design Guidelines. The Board also advises Council on recommended changes to the Downtown Design Guidelines. Membership includes significant expertise: 2 members shall be landscape architects, 2 members shall be architects, 1 shall be an urban planner, 1 shall be a developer, and 1 shall be a construction contractor. The Board is advisory and consults with developers in public meetings held once a month. Amendments will dissolve the Design Review Board and delegate their review to City staff. As described, the intent is “alleviate any undue burden on the land development that may be caused by city inefficiency,”
Dissolution of the Design Review Board is consistent with recommendations offered by former Assistant City Administrator John Fournier in 2023 in a report titled “A New Approach to Economic Development”
https://a2gov.legistar.com/View.ashx?M=F&ID=12534936&GUID=37D9E110-A717-4499-82BE-9C23BBD17004
Among his recommendations (page 48)
“The utility of the Design Review Board is debatable…. It delays review of the site plan documents and extends the overall approval timeline… the review from the Design Review Board rarely uncovers missed opportunities for favorable design changes… As these meeting are held in compliance with the OMA, city planning staff must notice and advertise them, prepare agendas and packets, attend them, compile minutes from them, and document the comments of the board members…several hours [of staff time] for each meeting per staff member— and this is time that is taken away from a planner actually working on site plan review and seeing it through to completion, which is what their focus should be.”
Fournier’s recommendations – to accelerate approval time and remove review and public hearing procedures for new developments – were, by resolution, unanimously approved by City Council in April 2024.
https://a2gov.legistar.com/LegislationDetail.aspx?ID=6607007&GUID=8848476B-C873-47D5-A029-B87B314B5248
Motions and Resolutions
The following agenda items are motions and resolutions, which are approved or rejected in a single meeting. Agenda items marked “DC” are proposed by Council members, items marked “DB” are proposed by City boards and commissions, items marked “DS” are proposed by City staff.
DC-1 (25-0583) Resolution to Authorize the City Administrator to Negotiate City Participation in the Arbor South Project, Including Potentially Owning, Operating, and Bonding for Parking Decks
By resolution, the City Administrator would be directed to enter the “next stage” of negotiation with a developer – Oxford Companies – in order for the City to fund the construction of parking decks at a private development called Arbor South. Attached to this resolution is a memo explaining how City participation is necessary in order to generate adequate “return on equity” (ROE) and adequate “internal rate of return” (IRR) for the developer (Oxford).
In other words: the City investment is necessary to subsidize profitability for the investors and owners of Arbor South. With City support, the internal rate of return for Oxford is predicted to be 16.06%.
As explained in a report attached to this weeks resolution:
[T]he Developer’s request of the City’s participation via the financing of the structured parking elements of the proposed Southside Redevelopment by the City is necessary to meet the typical investment hurdle for a multi-phases mixed-use project.
City-subsidized parking decks would require the issuance of an estimated $146 million in bonds. The City would purchase land from the private developer, cover the cost of construction, and assume ownership of the decks. City ownership will reduce future tax liability for the private developer. The City would be responsible for an estimated annual cost of $1.9 million to operate the decks, potentially covered by whatever income might be generated from user fees. The report explains:
A City-financed structured parking facility as initially proposed provides the project the lowest cost of capital and reduces the net operating costs of the structured parking by eliminating property taxes on the structured parking. However, in the City-financed option, the City is taking on the project risk such that if the parking garage [net operating income] and [tax incremental financing] revenue is not sufficient to cover the debt service, the City’s general fund represents the source of payment for the shortfall.
https://a2gov.legistar.com/View.ashx?M=F&ID=13924288&GUID=6F15DD75-F479-4A99-813B-833F82281E8B
The report (linked above) calculates relative advantage to the City in terms of potential net operating revenue for the garages and future tax revenue from the Arbor South development covering the cost to service the debt (bonds).
If approved, the resolution will lead to the negotiation of agreements, preparation of bond issuances, and special assessment districts for the Arbor South development that Council would approve.
You can learn more about South Arbor and watch a public engagement meeting for the development that was held in January 2024:
https://a2council.com/777-e-eisenhower-oxford-resident-participation-meeting-january-9-2024/
In November 2024, City Council heard presentations regarding public subsidy of these parking decks to meet the needs of the planned Arbor South development. You can watch a summary of that meeting here:
DC-2 (25-0589) Resolution to Revise 2025 Council Calendar
The Council calendar will be amended to add a work session on April 17th. The planned meeting on Monday, August 4 will be rescheduled to Thursday, August 7. The August meeting is moved due to Council approving ballot questions to be decided on Tuesday, August 5.
Thank you for taking the time to be informed about our local government!
Elizabeth Nelson