Senate Bill 1365 as passed by the Senate
First Analysis (12-5-00)
Sponsor: Sen. Philip E. Hoffman
House Committee: Local Government and Urban Affairs
Senate Committee: Local, Urban and State Affairs
THE APPARENT PROBLEM:
The City of Jackson has been working with Consumers Energy to relocate their headquarters building from Blackman Township. The new downtown location will be part of an historic renovation of the old post office building, and a component of the Grand River beautification project. The new 14-story office building will bring an additional 900 employees to the downtown area, and parking must be provided for them in their new location. The city government is working to provide parking for the relocated corporate headquarters, and in doing so has proposed a conveyance of state-owned land that is now a parking lot serving state employees.
Specifically, the State of Michigan owns land (three lots of approximately 1.68 acres) in downtown Jackson that is located south of the Grand River on East Michigan Avenue, and that serves as a parking lot for state employees already working in the area. A 350-square foot corner of that parking lot is city-owned. The city has proposed acquiring that lot because it is near the new location of the Consumers Energy headquarters.
In exchange, the city has constructed, at city expense, a new landscaped parking lot on city-owned land. The new parking lot contains 165 gated spaces, with an additional 90 ungated spaces, and is to be conveyed to the state. In return, the city would receive from the state the property that encompasses the downtown project.
THE CONTENT OF THE BILL:
The bill would authorize the Department of Management and Budget, on behalf of the state, to convey to the City of Jackson certain state-owned property in Jackson County in exchange for property of approximately equal value, as described in the bill. The conveyance would be subject to any easements, rights-of-way, or restrictions, as well as restrictions and easements determined by the department director and approved by the State Administrative Board, as necessary for development of the property. The conveyance would have to be by quitclaim deed approved by the attorney general.
FISCAL IMPLICATIONS:
According to the Senate Fiscal Agency, the bill would likely have no fiscal impact on state or local government. Given that the bill would require the parcels of property in the exchange to be of approximate equal value, the bill should not result in a significant change in the net final value of property acquired by each side in the exchange. (10-4-00)
According to the House Fiscal Agency, the bill has no fiscal impact. (11-27-00)
ARGUMENTS:
For:
This legislation would assist the City of Jackson government to relocate a corporate headquarters employing 900 people to its downtown area from a neighboring township. The exchange of land between the state and city also is an exchange of parking lots; the transaction better serves both parties.
POSITIONS:
The City of Jackson city manager supports the bill. (12-1-00)
Analyst: J. Hunault