News Saugatuck/Douglas Commercial Record

Bond ask won’t mean new taxes, mayor says

By Scott Sullivan

Editor

Douglas Mayor Cathy North issued a statement Oct. 24 emphasizing city council’s proposed $4-million bond request to renovate 415 Wiley Road into a city hall/police station will not require new taxes for residents and businesses.

The proposed relocation of city services, North said, has been long studied, prospective costs pared from $12.5 million and bond debt paid down via sale of surplus properties.

Council discussed at length public apprehensions about the bond ask at its meeting Oct. 21, and North’s statement to citizens issued after.

“The City,” she said, “had been exploring the purchase and redevelopment of the 415 Wiley Road property as part of its long-term plan to enhance city services and create new opportunities for the community. 

“The aim,” she went on, “is to relocate city hall and the police department to this site, providing more space for city operations and opening up downtown buildings for sale. This move will help create new opportunities for businesses and housing in the heart of Douglas.”

The city now operates administrative offices in the 1875-built Dutcher’s Lodge at 86 Center St. Last year engineers estimated it needs $1.4 million in renovations to meet modern standards.

Police are housed in a more-recent one-story brick building at 47 W. Center that lacks garage space for cruisers and other vehicles.

The city Aug. 1 last year bought the 18,000-square foot Douglas Professional Center — known locally as “the old hospital” — on the corner of Wiley and Blue Star Highway for $1.5 million, eyeing consolidating municipal services, including public works, on that 7.8-acre commercially-zoned site. 

“After reviewing the initial developer’s plan, which projected $12.5 million in rehabilitation costs,” North’s statement said, “council decided to discontinue that plan due to its excessive price. The city reissued a request for proposals and received seven responses, ultimately interviewing five contractors …” 

Council selected Carbon Six Construction, she went on, “to design the build-out for the first phase of the project with the new estimate coming in 70-percent lower than the original — now ranging between $2.7 and $3.2 million.

“Council’s plan has consistently been to use proceeds from the sale of surplus city properties — the former city hall and police station, other parcels once eyed for public work sites … — to cover the costs.

“Based on the bids received, the sale of these properties has the potential to fully fund the project, with a possible surplus that could be allocated to the general fund for future capital needs,” she said.

“The city has already engaged a realtor to assist in selling surplus properties in the near term, and potentially more in the future, as the 415 Wiley project progresses.

“Importantly (emphasis hers) this project will not require any new taxes for residents or businesses. Any claims suggesting otherwise are inaccurate. The city is committed to ensuring that a sustainable and responsible funding source is in place before moving forward with a project of this magnitude.

“This project,” North said, “will bring several benefits to the community, including a larger meeting space at 415 Wiley Road for public meetings and events. Additionally, it will transform a long-vacant building into a functional and valuable city asset.

“If you have any questions about the project, please contact city hall or reach out to a council member. We welcome your inquiries and look forward to discussing the exciting future of this project. 

“The City of Douglas is growing, and we believe this project will play a key role in supporting that growth and enhancing the quality of life in our community,” the mayor’s statement said.

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