[HISTORY: Adopted by the City Council of the City of New
Buffalo 1-21-2014 by Ord. No. 209. Amendments noted where applicable.]
GENERAL REFERENCES
Zoning Ordinance — See Appendix A.
A Downtown Development Authority is hereby created, pursuant
to P.A. 197 of 1975, as amended, for the described district, being in the City of New Buffalo,
County of Berrien, Michigan, having the legal description as set forth
in Exhibit A.
The Downtown Development Authority is hereby created to promote
economic growth, increase property values, and halt deterioration
within the above-said district.
The Authority shall be under the supervision and control of
a Board, consisting of the Mayor and eight members appointed by the
said Mayor subject to approval of the City Council. Not less than
a majority of the members shall be persons having an interest in property
located in the downtown district. Not less than one of the members
shall be a resident of the downtown district, if the district is found
to have 100 or more persons residing therein. Members of the Board
shall hold office until the members' successor is appointed. The members
of the Board shall serve for a term of four years. The Chair of the
Board shall be elected by the Board.
Members shall serve without compensation but, they shall be
reimbursed for actual and necessary expenses.
The Board shall adopt rules governing its procedure and the
holding of regular and special meetings subject to the approval of
the City Council. All meetings of the Board shall be open to the public,
as required by the Michigan Open Meeting Act, P.A. 267 of 1976, as
amended.
A. Director. The Board may employ and fix the compensation of a Director,
subject to the approval of the City Council. The Director shall serve
at the pleasure of the Board. A member of the Board is not eligible
to hold the position of Director. Before entering upon the duties
of his office, the Director shall take and subscribe to the constitutional
oath, and furnish bond, by posting a bond in an amount determined
by the Board payable to the Authority for use and benefit of the Authority,
approved by the Board and filed with the City Clerk. The premium on
the bond shall be deemed an operating expense of the Authority payable
from funds available to the Authority for expenses of operation. The
Director shall be the chief executive officer of the Authority subject
to the approval of the Board. The Director shall supervise, and be
responsible for, the preparation of plans and the performance of the
functions of the Authority. The Director shall attend the meetings
of the Board and shall render to the Board and to the City Council
a regular report covering the activities and financial condition of
the Authority. If the Director is absent or disabled, the Board may
designate a qualified person as acting Director to perform the duties
of the office. Before entering upon the duties of his office, the
acting Director shall take and subscribe to the oath, and furnish
bond, as required of the Director. The acting Director shall furnish
the Board with information or reports governing the operation of the
Authority as the Board requires.
B. Treasurer. The Board may employ and fix the compensation of a Treasurer,
who shall keep the financial records of the Authority and who, together
with the Director, shall approve all vouchers for the expenditure
of funds of the Authority. The Treasurer shall perform such other
duties as may be delegated by the Board and shall furnish bond which
shall be filed with the City Clerk in an amount as prescribed by the
Board.
C. Secretary. The Board may employ and fix the compensation of a Secretary,
who shall maintain custody of the Official Seal and of records, books,
documents, or other papers not required to be maintained by the Treasurer.
The Secretary shall attend meetings of the Board and keep a record
of its proceedings, and shall perform such other duties delegated
by the Board.
D. Legal counsel. The Board may retain legal counsel to advise the Board
in proper performance of its duties. The legal counsel shall represent
the Authority in actions brought by or against the Authority.
E. Other personnel. The Board may employ other personnel deemed necessary
by the Board.
The Board shall be responsible to:
A. Prepare an analysis of economic changes taking place in the district.
B. Study and analyze the impact of metropolitan growth upon the district.
C. Plan and propose the construction, the renovation, the repair, the
remodeling, the rehabilitation, restoration, preservation, or reconstruction
of public facilities, and existing buildings, or a multiple-family
dwelling unit which may be necessary or appropriate to the execution
of a plan which in the opinion of the Board, aids in the economic
growth of the district.
D. Develop long-range plans, in cooperation with the agency which is
chiefly responsible for planning in the City, designed to halt the
deterioration of property values in the district and to promote the
economic growth of the district, and take such steps as may be necessary
to persuade property owners to implement the plans to the fullest
extent possible.
E. Implement a plan of development in the district necessary to achieve
the purposes of this Act, in accordance with powers granted to the
Authority as granted by the Act.
F. Make and enter into contracts necessary or incidental to the exercise
of its powers and the performance of its duties.
G. Acquire by purchase or otherwise, on terms and conditions and in
a manner the Authority deems proper, or own, convey, or otherwise
dispose of, or lease as lessor or lessee, land and other property,
real or personal, or rights or interests therein, which, the Authority
determines is reasonably necessary to achieve the purposes of this
ordinance and, to grant or acquire licenses, easements, and options
with respect thereof.
H. Improve land and construct, reconstruct, rehabilitate, restore and
preserve, equip, improve, maintain, repair, and operate any building,
including multiple-family dwellings, and any necessary or desirable
appurtenances thereto, within the district for the use, in whole or
in part, of any public or private person or corporation, or a combination
thereof.
I. Fix, charge, and collect fees, rents, and charges for the use of
any building or: property under its control or any part thereof, or
facility therein, and pledge the fees, rents, and charges for the
payment of Revenue Bonds issued by the Authority.
J. Lease any building or property under its control, or any part thereof.
K. Accept grants and donations of property, things of value from a public
or private source.
L. Acquire and construct public facilities.
The Authority shall be deemed an instrumentality of a political
subdivision for purposes of Act No. 227 of the Public Acts of 1972.
The City may take private property pursuant to the provision
of the Acquisition of Property by State Agencies and Public Corporations
Act, P.A. Act 149 of 1911, as amended, for the purpose of transfer to the Authority, and may
transfer the property to the Authority for use in an approved development,
on terms and conditions it deems appropriate, and the taking, transfer,
and use shall be considered necessary for public purposes and for
the benefit of the public.
A. The activities of the Authority shall be financed from one or more
of the following sources:
1. Donations to the Authority for the performance of its functions.
2. Proceeds of a tax imposed pursuant to Section
21-11.
3. Moneys borrowed and to be repaid as authorized by Section
21-12.
4. Revenues from any property, building, or facility owned, leased,
licensed, or operated by the Authority or under its control, subject
to the limitations imposed upon the Authority by trusts or other agreements.
5. Proceeds of a tax increment financing plan, established under Sections
21-13 to
21-15.
6. Moneys obtained from other sources approved by the City Council of
the City of New Buffalo.
B. Moneys received by the Authority and not covered under Subsection
A(1) through
(6) shall immediately be deposited to the credit of the Authority subject to disbursement pursuant to this Act. Except as provided in this Act, the City shall not obligate
itself nor shall it ever be obligated to pay any sums from public
funds other than moneys received by the City pursuant to this section
for or on account of the Activities of the Authority.
A. An Authority with the approval of the City Council may levy an ad
valorem tax on the real and tangible personal property not exempt
by law and as finalized and equalized in this district. The tax shall
not be more than two mills. The tax shall be collected by the City
of New Buffalo. The City shall collect the tax at the same time and
in the same manner as it collects its other ad valorem taxes. The
tax shall be paid to the Treasurer, of the Authority and credited
to the General Fund of the Authority for purposes of financing only
the operations of the Authority.
B. The City may, at the request of the Authority, borrow money and issue
its notes therefor pursuant to Act No. 202 of the Public Acts of 1943,
as amended, in anticipation of collection of the ad valorem tax authorized
in this section.
The Authority may borrow money and issued its negotiable Revenue
Bonds therefor pursuant to P.A. 94 of 1933, as amended. Revenue Bonds issued by the Authority shall not except
as hereinafter provided be deemed a debt of the City of New Buffalo
or the State of Michigan. The City by majority vote of the members
of the City Council may pledge its full faith and credit to support
such Revenue Bonds.
A. As used in this section and Sections
21-14 and
21-15, the following terms shall have the meanings indicated:
CAPTURED ASSESSED VALUE
The amount in any one year by which the current assessed
value of the Project Area exceeds the initial assessed value.
INITIAL ASSESSED VALUE
The most recently assessed value of all taxable property
within the boundaries of the Development Area at the time the ordinance
establishing the Tax Increment Financing Plan is approved. Property
exempt from taxation at the time of the determination of the initial
assessed value shall be included as zero.
B. When the Authority determines that it is necessary for the achievement of the purposes of this Act, the Authority shall prepare and submit a Tax Increment Financing Plan to the City Council of the City of New Buffalo. The Plan shall include a Development Plan as provided in Section
21-15, a detailed explanation of the tax increment procedure, the amount of bonded indebtedness to be incurred, the duration of the program, and shall be in compliance with Section
21-14. The Plan shall contain a statement of the estimated impact of Tax Increment Financing on the assessed values of all taxing jurisdictions in which the development area is located. The plan may provide for the use of part or all of the captured assessed value, but the portion intended to be used by the Authority shall be clearly stated in the Tax Increment Financing Plan.
C. Approval of the Tax Increment Financing Plan shall be in accordance with the notice, hearing, and disclosure provisions of Section
21-17. When the development plan is part of the Tax Increment Financing Plan, only one hearing and approval procedure is required for the two plans together.
D. Before the public hearing on the Tax Increment Financing Plan the
City Council shall provide a reasonable opportunity to the members
of the Berrien County Board of Commissioners, New Buffalo Township
Board members and the members of the Lake Michigan College Board of
Trustees to meet with the New Buffalo City Council members. The Authority
shall fully inform members of the County Board of Commissioners and
Lake Michigan College of the fiscal and economic implications of the
proposed development area. The members of the County Board of Commissioners
and the Board of Lake Michigan College and Board members may present
their recommendations at the public hearing on the Tax Increment Financing
Plan.
E. A Tax Increment Financing Plan may be modified if the modification
is approved by the governing body upon notice and after public hearings
and agreements as are required for approval of the original plan.
A. The amount of Tax Increment to be transmitted to the Authority by
the City and County Treasurers shall be that portion of the tax levy
of all taxing bodies paid each year on real and personal property
in the Project Area on the captured assessed value.
B. The Authority shall expend the Tax Increments received for the Development
Program only in accordance with the Tax Increment Financing Plan.
Surplus funds shall revert proportionately to the respective taxing
bodies. These Revenues shall not be used to circumvent existing levy
limit laws. The governing body of the City may abolish the Tax Increment
Financing Plan when it finds that the purposes for which it was established
are accomplished.
C. Annually the Authority shall submit to the City Council of the City
of New Buffalo a report on the status of the Tax Increment Financing
Account. The report shall include: The amount and source of revenue
in the account; the amount and purpose of expenditures from the account;
the amount of principal and interest in any outstanding bonded indebtedness;
the initial assessed value of the Project Area; the captured assessed
value retained by the Authority; the Tax Increments received and any
additional information the City Council deems necessary.
D. The report shall be published in a newspaper of general circulation
in the City of New Buffalo.
The City of New Buffalo may by resolution of its City Council
authorize, issue, and sell General Obligation Bonds subject to the
limitations herein set forth to finance the Development Program of
the Tax Increment Plan and shall pledge its full faith and credit
for the payment of the Bonds. The Bonds shall mature in not more than
30 years and shall be subject to Act No. 202 of the Public Acts of
1943, as amended. Before the City may authorize the borrowing, the Authority
shall submit an estimate of the anticipated Tax Increment Revenue
to be available for payment of principal and interest on the Bonds,
to the City Council of the City of New Buffalo. This estimate shall
be approved by the City Council of the City of New Buffalo by resolution
adopted by majority vote of the members of the Council in the resolution
authorizing the Bonds, and when approved by the Municipal Finance
Commission shall be conclusive for purposes of this section. The City
may not pledge for annual debt service requirements in any one year
in excess of 80% of the estimated Tax Increment Revenue to be received
for a Development Area for that year, and the total aggregate amount
of borrowing shall not exceed an amount which the 80% of the estimated
Tax Increment will service as to annual principal and interest requirements.
The Bonds issued under this section shall be considered a single series
for the purposes of Act No. 202 of the Public Acts of 1943, as amended.
A. When the Board decides to finance a project in the downtown district by the use of Revenue Bonds as authorized in Section
21-12 or Tax Increment Financing as authorized in Sections
21-13,
21-14, and
21-15, it shall prepare a Development Plan.
B. The Development Plan shall contain:
1. The designation of boundaries of the Development Area in relation
to highways, streets, streams, or otherwise.
2. The location and extent of existing streets and other public facilities
within the Development Area and shall designate the location, character,
and extent of the categories of public and private land uses then
existing and proposed for the Development Area, including residential,
recreational, commercial, industrial, educational, and other uses
and shall include a legal description of the Development Area.
3. A description of existing improvements in the Development Area to
be demolished, repaired, or altered, a description of any repairs
and alterations, and an estimate of the time required for completion.
4. The location, extent, character, and estimated cost of the improvements
including rehabilitation contemplated for the Development Area and
an estimated of the time required for completion.
5. A statement of the construction or stages of construction planned,
and the estimated time of completion of each stage.
6. A description of any parts of the Development Area to be left as
open space and the use contemplated for the space.
7. A description of any portion of the Development Area which the Authority
desires to sell, donate, exchange, or lease to or from the City and
the proposed terms.
8. A description of desired zoning changes and changes in streets, street
levels, intersections, and utilities.
9. An estimate of the cost of the development, a statement of the proposed
method of financing the development and the ability of the Authority
to arrange the financing.
10. Designation of the person or persons, natural or corporate, to whom
all or a portion of the development is to be leased, sold, or conveyed
in any manner and for whose benefit the project is being undertaken
if that information is available to the Authority.
11. The procedures for bidding for the leasing, purchasing, or conveying
in any manner of all or a portion of the development upon its completion,
if there is no express or implied agreement between the Authority
and persons, natural or cooperate; that all or a portion of the development
will be leased, sold, or conveyed in any manner to those persons.
12. Estimates of the number of persons residing in the Development Area
and the number of families and individuals to be displaced. If occupied
residences are designated for acquisition and clearance by the Authority,
a Development Plan shall include a survey of the families and individuals
to be displaced, including their income and racial composition, a
statistical description of the, housing supply in the community, including
the number of private and public units in existence or under construction,
the condition of those in existence, the number of owner-occupied
and renter-occupied units, the annual rate of turnover of the various
types of housing and the range of rents, and sale prices an estimate
of the total demand for housing in the community, and the estimated
capacity of private and public housing available to displaced families
and individuals.
13. A plan for establishing priority for the relocation of persons displaced
by the development in any pew housing in the development area.
14. Provision for the costs of relocating persons displaced by the development
and financial assistance and reimbursement of expenses, including
litigation expenses and expenses incident to the transfer of title,
in accordance with the standards and provisions of the Federal Uniform
Relocation Assistance and Real Property Acquisition Policies Act of
1970, being Public Law 91-646, 42 U.S.C. § 4601 et seq.
15. A plan for compliance with Act 227 of the Public Acts of 1972, as
amended.
16. Other material which the Authority or City Council deems pertinent.
A. The City Council, before adoption of an ordinance approving a Development
Plan or Tax Increment Financing Plan, shall hold a public hearing
on the Development Plan. Notice of the time and place of the hearing
shall be given by publication twice in a newspaper of general, circulation
designated by the City, the first of which shall be not less than
20 days before the date set for the hearing. Proof of publication
shall be by Affidavit of Publisher, secured and made a part of said
proceedings. Notice of the hearing shall be posted in at least 20
conspicuous and public places in the downtown district not less than
20 days before the hearing. Notice shall also be mailed to all property
taxpayers of record in the downtown district riot less than 20 days
before the hearing. The Clerk shall attest to proof of posting and
mailing by Affidavit made a part of said proceedings.
B. Notice of the time and place of hearing on a Development Plan shall
contain: A description of the proposed Development Area in relation
to highways, streets, streams, or otherwise; a statement that maps,
plats, and a description of the Development Plan, including the method
of reallocating, families and individuals who may be displaced from
the area, are available for public inspection at a place designated
in the notice, and that all aspect of the Development Plan will be
open for discussion at the public hearing; and other information that
the governing body deems appropriate. At the time set for hearing
the City Council shall provide an opportunity for interested persons
to be heard and shall receive and consider communications in writing
with reference thereto. The hearing shall provide the fullest opportunity
for expression of opinion, for argument on the merits, and for introduction
of documentary evidence pertinent to the Development Plan. The City
Council shall make and preserve a record of the public hearing, including
all data presented thereat.
A. The City Council after a public hearing on the Development Plan or the Tax Increment Financing Plan or both, with notice thereof given in accordance with Section
21-17, shall determine whether the Development Plan or Tax Increment Financing Plan constitutes a public purpose. If it determines that the Development Plan or Tax Increment Financing Plan constitutes a public purpose, it shall then approve or reject the Plan or approve it with modification, by ordinance based on the, following considerations:
1. The findings are recommendations of Development Area Citizens Council,
if a Development Area Citizens Council was formed.
2. The Plan meets the requirements set forth in Section
21-16B.
3. The proposed method of financing the Development is feasible and
the Authority has the ability to arrange the financing.
4. The development is reasonable and necessary to carry out the purposes
of this ordinance.
5. The land included within the Development Area to be acquired is reasonably
necessary to carry out the purposes of the Plan and of this Act in
an efficient and economically satisfactory manner.
6. The Development Plan is in reasonable accord with the Master Plan
of the City of New Buffalo.
7. Public services, such as fire and police protection and utilities
are or will be adequate to service the Project Area.
8. Changes in zoning, streets, street levels, intersections, and utilities
are reasonably necessary for the project and for the City of New Buffalo.
B. Amendments to an approved Development Plan or Tax Increment Plan
must be submitted by the Authority to the City Council for approval
or rejection.
A person to be relocated under this Act shall be given not less
than 90 days' written notice to vacate unless modified by court order
for good cause.
A. The Director of the Authority shall prepare and submit for the approval
of the Board a budget for the operation of the Authority for the ensuing
fiscal year. The budget shall be prepared in the manner and contain
the information required of City departments. Before the budget may
be adopted by the Board, it shall be approved by the City Council
of the City of New Buffalo. Funds of the City shall not be included
in the budget of the Authority except those funds authorized in this
ordinance or by the City Council.
B. The City Council may assess a reasonable pro rata share of the funds
for the cost of handling and auditing the funds against the funds
of the Authority, other than those committed, which cost shall be
paid annually by the Board pursuant to an appropriate item in its
budget.
A. A public facility, building, or structure which is determined by
the City to have significant historical interests shall be preserved
in a manner as deemed necessary by the City in accordance with laws
relative to the preservation of historical sites.
B. The Authority shall refer to all proposed changes to the exterior
of sites listed on the State Register of the Historic Sites and the
National Register of Historic Places to the applicable Historic District
Commission created under Public Act No. 169 of the Public Acts of
1970, or the Secretary of State for review.
If the Authority completes the purposes for which it was organized
it shall be dissolved by ordinance of the City Council. The property
and assets of the Authority remaining after the satisfaction of the
obligation of the Authority shall belong to the City.
If any provision of: this ordinance shall be held invalid, its
invalidity shall not affect any other provision of this ordinance
that can be given effect without the invalid provision, and for this
purpose the provisions of this ordinance are hereby declared to be
severable.
The City Clerk of the City of New Buffalo, is hereby directed
to file a certified copy of this Ordinance with the Office of the
Secretary of State of Michigan promptly after its adoption as set
forth below in conformity with Act 197 of P.A. 1975, as amended.
[Added 2-18-2014 by Ord.
No. 213]
The City Council of the City of New Buffalo, Berrien County,
Michigan, as recommend by the City of New Buffalo Downtown Development
Authority Board, does herewith adopt the Downtown Development Plan
and Tax Increment Financing Plan dated February 18, 2014.