[{"_1":2,"_122":-5,"_123":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,75,86,98,110],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},"mediaId",6267718,"mediaKeyId","3066746-b27a4809ac872601d96f46dfbd4dfcab","parentId",3066746,"title","Committee advances trust agreement for Public Lighting Authority refinancing to formal session","audioSeconds",2055,"startMs",1335000,"endMs",3390000,"viewUrl","/Search/View?dp=1&key=3066746-b27a4809ac872601d96f46dfbd4dfcab&start=1335&end=3390","thumbnailUrl","https://assets.pipeline.soar.com/3066746-b27a4809ac872601d96f46dfbd4dfcab/thumbnail_1335000.jpg","articleUrl","/articles/6267718/Detroit/Wayne-County/Michigan/Committee-advances-trust-agreement-for-Public-Lighting-Authority-refinancing-to-formal-session","mediaUrl","https://secure.pipeline.soar.com/6267718-3695422bea12a152bcee3d2019e9461e/orig.mp4?Expires=1771184076&Signature=g-Ea861KfoA2fDUmnapBHTHXJ1bntsmckCFSrs7DGIgCqb8aBZbWl5lexgufGyG5JN7iRucpMnyBkFRftI7DQMj4Vuc2QVpJb9kWzHVUPEWAJx5N2edq9S~ZuWrh5X6Uzbllt7gPBNl8m-kjLJnxb05GMO4Q2yu0LQjptHT6GFJCr14AFm0st~M0GsRCNKspZU4OA17hTmNP9PSdAT7nqCMv-b~eJQUTDoBLnLJ0APfy50tQOitzKK0gC10el2FF2hyf~S9-0vbYRCoyhe3H9QtH983fmriukDpYYX7YY-fUR~65sCwCOXuaZZAQzRRZTvM9NbuA7S7Qu8Oh2FcyCQ__&Key-Pair-Id=KUT5TJCACFTXG","author","City Council of Detroit, MI ","date","2025-04-16T00:00:00Z","article","The Budget, Finance and Audit Standing Committee voted to send to formal session a resolution approving a second supplemental trust agreement tied to potential refinancing of bonds issued by the City of Detroit Public Lighting Authority (PLA).

The agreement before the committee would add text clarifying that if the PLA receives less than one-twelfth of its expected monthly portion of the $12,500,000 paid annually from the city's utility users tax (UUT), the trust will require subsequent months' revenues to make up that shortfall. Deputy Chief Financial Officer and Treasurer Nikhil Patel said the change \"doesn't change what the aggregate full year outcome is. All it does is, allow more security for the bonds that the PLA has.\" Patel said the PLA still would receive $12.5 million in a full year; the provision only smooths month-to-month deficiencies.

The memorandum and supplemental trust would enable the PLA to pursue refinancing of about $140 million in outstanding PLA bonds if the refinancing produces material net present-value savings. Patel told the committee that, until recently, a refinancing produced an estimated present-value savings of roughly $8,000,000 but that a roughly 50-basis-point rise in market rates in the prior week reduced that to slightly negative. \"There's no state of the world where we would do this and pay more on the interest rate,\" Patel said; he said the PLA would not proceed if the results were not materially favorable.

Committee members asked whether residents would see direct savings and how refinancings would affect city finances. Patel said any savings would create \"more cash flexibility for the Public Lighting Authority to invest in improvements to lighting infrastructure,\" which could reduce the city's future contributions to lighting capital or free PLA funds to reinvest in streetlighting projects. He also clarified that PLA bonds are revenue bonds supported by the UUT and that the PLA, under its enabling statute, already has the authority to refinance without direct council approval; the supplemental trust text is a transparency measure and would be signed only if refinancing occurs.

Patel said the city considered switching the bond trustee from Wilmington Trust to U.S. Bank to align trustees across city debt, but after operational review decided not to change trustees now because doing so would require notifying payers and could create confusion, particularly if refinancing did not occur. He said revenues currently flow first to Wilmington Trust, which then distributes to the PLA and the city as required by the trust.

Council members and committee participants encouraged the PLA to present a lighting plan tied to any refinancing. Committee member (identified in the record as) Mr. Gortley noted PLA CEO Bo Taylor previously suggested that refinancing savings could support additional lighting in alleys and on residential streets; Gortley asked that the PLA present the refinancing results alongside any revised lighting plan when it comes to council.

Action taken: a motion \"to send line item 7.5 to formal session with recommendation for approval\" (the second supplemental trust agreement) was made and adopted; there were no recorded objections. The committee's vote was recorded by voice and the item will proceed to formal session for final council consideration.

The committee discussed timing and market volatility at length, with Patel stressing that the PLA would only refinance if there were material net present-value savings. He also said that depending on municipal market dynamics, the PLA might elect not to refinance.

The committee also discussed the Public Lighting Authority's plan for using potential savings and the mechanics of trust administration; Patel said the second supplemental agreement would be executed by the PLA and relevant parties only if a refinancing transaction were completed.","mediaType","Video","parentTitle","Detroit City Council Budget Finance and Audit 04-16-2025","oneSentenceSummary","The Budget, Finance and Audit Standing Committee voted to send to formal session a resolution approving a second supplemental trust agreement tied to potential refinancing of bonds issued by the City of Detroit Public Lighting Authority (PLA).","taxTitle","Detroit, Wayne County, Michigan","taxId",48464,"location","headline","","shortSummary",{"_33":76,"_35":36,"_37":38,"_39":77,"_41":78,"_43":79,"_45":46,"_47":80,"_49":81,"_51":82,"_53":83,"_55":56,"_57":58,"_59":84,"_61":62,"_63":64,"_65":85,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},6267698,"Committee business: motions, receive-and-file items and scheduling from March meeting",2454,936000,"/Search/View?dp=1&key=3066746-b27a4809ac872601d96f46dfbd4dfcab&start=936&end=3390","https://assets.pipeline.soar.com/3066746-b27a4809ac872601d96f46dfbd4dfcab/thumbnail_936000.jpg","/articles/6267698/Detroit/Wayne-County/Michigan/Committee-business-motions-receive-and-file-items-and-scheduling-from-March-meeting","https://secure.pipeline.soar.com/6267698-2c68bbb21893668fa69d6c94b1c04d6c/orig.mp4?Expires=1771184076&Signature=oTLYEgjNXIqtkwVxbZaLCNx~TVlnuMRfRIPGmRDc5EqlZvirIt2i8bwhmhLLJh-CUgxzaFrMFCjgrhfVZgMuFNa5yytVv-m8EG8tJ6Hm2GdQ-pCn055qbaiaw2gNRzxcOwQbCss11Ducxe08TOIIyFh2bH-w4R3G51MiLi9Ji5oWgNP~Hl7Db-lXa0GfmMRt9N0FpyeEaIjzzTcSU1EG8U7Hb3PdLCCy8OhITOzxCn8undAJtDcnfD66GBPV-xrcwW9L70y2IVSMcjkaj~NscsrOGmATzGK-InAwk72q8NL-dPZSg11KycGbAGb-bOOoUK8NgASsXQHRj4icgF5XTw__&Key-Pair-Id=KUT5TJCACFTXG","The Budget, Finance and Audit Standing Committee processed multiple routine agenda items, receiving materials, scheduling follow-ups, and advancing specific items to formal session.

Items received and filed or scheduled for follow-up included memoranda on: a resolution request to authorize an LPD local option sales tax study (line 6.1 received and filed); information on over-assessment for businesses (line 6.2 received and filed); a request for new legislation taxing vaping products (line 6.3 received and filed); an International Association of Assessing Officers study status request (line 6.4 to be brought back in April); the OAG forensic audit third interim report and related materials (line 6.5 brought back on April 30); a sales verification analysis for the 02/2024 sales ratio study (line 7.1 to be brought back on April 30); and multiple budget-response packets for the proposed FY2026 budget from OCFO and department offices (lines 7.2, 7.3, 7.4 received and filed). The committee also received and filed fiscal-impact materials for a proportional funding resolution (line 7.6) and responses related to civil rights and inclusion and the Detroit Fire Department budgets (lines 7.8, 7.9, 7.10). The municipal parking budget responses were received and filed (lines 7.12, 7.13).

Other procedural actions: the committee voted to send the Public Lighting Authority second supplemental trust agreement (line 7.5), the NEZ application for Woodbridge (line 7.7), and the LPD local option sales tax study resolution (line 7.11) to formal session. Committee members also assigned a request to establish a pamphlet on Detroit property taxes for real-estate sales to the Office of the Chief Financial Officer and asked OCFO to return with materials in two weeks (line 7.14 assigned to OCFO, to return in two weeks).

Where the record shows specific dates, the committee set April 30 for follow-up discussion of several items. The committee concluded with member reports and adjournment.

Actions at a glance: list below compiles the committee's procedural votes recorded in the meeting minutes.

Votes at a glance:
- Line 6.1: Memorandum re: resolution for LPD to complete local option sales tax study — received and filed.
- Line 6.2: Memorandum re: information on over-assessment for businesses — received and filed.
- Line 6.3: Memorandum re: resolution requesting legislation taxing vaping products — received and filed.
- Line 6.4: International Association of Assessing Officers study status request — scheduled to return in April.
- Line 6.5: OAG forensic audit (third interim report) — scheduled for April 30.
- Line 7.1: OAG sales verification analysis for 02/2024 sales ratio study — scheduled for April 30.
- Lines 7.2, 7.3, 7.4: OCFO budget responses for FY2026 — received and filed.
- Line 7.5: PLA second supplemental trust agreement — moved to formal session with recommendation for approval.
- Line 7.7: NEZ certificate application (Woodbridge rehab) — moved to formal session.
- Line 7.11: LPD local option sales tax study resolution — moved to formal session with recommendation for approval.
- Line 7.14: Member request to establish pamphlet on Detroit property taxes — assigned to OCFO and to be brought back in two weeks.

No recorded objections were raised to the committee's procedural motions; most items were approved by voice vote.","At the March meeting the committee handled a series of procedural items: multiple memoranda and budget responses were received and filed, several items were scheduled for April review or assigned to departments, and multiple agenda items were advanced to formal session.",{"_33":87,"_35":36,"_37":38,"_39":88,"_41":89,"_43":90,"_45":91,"_47":92,"_49":93,"_51":94,"_53":95,"_55":56,"_57":58,"_59":96,"_61":62,"_63":64,"_65":97,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},6267703,"Committee schedules return of OAG forensic audit report on residential property assessments for April 30",227,881000,1108000,"/Search/View?dp=1&key=3066746-b27a4809ac872601d96f46dfbd4dfcab&start=881&end=1108","https://assets.pipeline.soar.com/3066746-b27a4809ac872601d96f46dfbd4dfcab/thumbnail_881000.jpg","/articles/6267703/Detroit/Wayne-County/Michigan/Committee-schedules-return-of-OAG-forensic-audit-report-on-residential-property-assessments-for-April-30","https://secure.pipeline.soar.com/6267703-73e5d6c83bf32bd939374f305e7ec76f/orig.mp4?Expires=1771184076&Signature=lWoMA7ARFtlocFXB2pOQQAzreRRuA4o08uGS4X4VWGYCo2ySisBD~v-8NPh7SsdK7MuQ8bSCo5K6TjFq8buAqKrnJuvDcggOeyMYNuDWXEc6jZ5QBcqHNRvOrIKnKQdelyCdiep5hqOQyVnZZ04Db59AC0GSZvQYop~15GaBoeUtR2mzeuWgCGxgLtQOvG-nlRdonWRWibEfo2bz9gKVsot4D2OwJ8a31WGidDIQ59bDO4w~6hsTsg0Tn7qymkza~bbu2TDEk01hU7uBH1B2FtW4biedW3JKPsNccXP13uQ9Or~Qof2qagx7z~09GhSypmjHwVonYO4YPNiErID1HA__&Key-Pair-Id=KUT5TJCACFTXG","The Budget, Finance and Audit Standing Committee agreed to bring back on April 30 the Office of the Auditor General's (OAG) third interim report for its forensic audit of citywide residential property tax assessments.

The committee record describes the report as focusing on the Office of the Chief Financial Officer and the Office of the Assessor operations relating to property transactions and including audit purpose, scope, methodology, conclusions, status of prior audit findings, recommendations, and OCFO/assessor responses. The chair asked for a motion to return the item on April 30; the motion was made and carried with no objections.

Action taken: committee voted to bring the OAG forensic audit (third interim report) back to committee on April 30 for fuller discussion and review.","The committee agreed to bring back the Office of the Auditor General's third interim forensic audit report on citywide residential property tax assessments for further discussion on April 30; the report includes findings about assessor and CFO operations concerning property transactions.",{"_33":99,"_35":36,"_37":38,"_39":100,"_41":101,"_43":102,"_45":103,"_47":104,"_49":105,"_51":106,"_53":107,"_55":56,"_57":58,"_59":108,"_61":62,"_63":64,"_65":109,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},6267708,"Committee advances Neighborhood Enterprise Zone application for Woodbridge home rehab to formal session",298,3025000,3323000,"/Search/View?dp=1&key=3066746-b27a4809ac872601d96f46dfbd4dfcab&start=3025&end=3323","https://assets.pipeline.soar.com/3066746-b27a4809ac872601d96f46dfbd4dfcab/thumbnail_3025000.jpg","/articles/6267708/Detroit/Wayne-County/Michigan/Committee-advances-Neighborhood-Enterprise-Zone-application-for-Woodbridge-home-rehab-to-formal-session","https://secure.pipeline.soar.com/6267708-d81a3e5417862faa493cc6597b529b9f/orig.mp4?Expires=1771184076&Signature=Vq08XkXpj8V4Ia2F9RgJ4THG1aNipmeuhMnfR-cG5hyrHBe9VbRpTRzhoAC5HH1BVMPHVVA0jAHm3j8eZVlMNstfgFtuE3XkN539sS4o1CtZORmq8pjNzpVV~xQ4SPLU-gXwLaCBIyystXupv8W2lJ0Ngly-Nywh1km-MZKjJHdLjDIfHFBZcSGXubSzFuUi6jS9YkHxBSrKSDNFjnPGt9DeXhtFTdUHfDjcjZaDm-t6Rvt5C7yyU46JRxJXZayJBRQ8oL8oaAmMibACIVkzF8g1duBgQTLj-4-zS6ExsU4-rXy4qECVKoDlieAQNz9A0zHmtM6EQtCMoZ3CJXTHfw__&Key-Pair-Id=KUT5TJCACFTXG","The Budget, Finance and Audit Standing Committee voted to send to formal session a Neighborhood Enterprise Zone (NEZ) certificate application for rehabilitation of a historic single-family house in the Woodbridge neighborhood.

Chris Gulak of the City Planning Commission presented the petition and staff report. Gulak said the property is within the Woodbridge NEZ established in 2001 and that the project would be an interior and exterior gut-and-rehab of a single-family house built circa 1900. The petitioners, an LLC composed of developers Bradley Gayton and Michelle Kofesco and represented in materials by consultant Emily LaRosa (not present on the call), propose a renovation budget of about $275,000. Gulak said the applicants plan two surface parking spaces accessed from the alley and several accessibility features including curbless showers and accessible kitchen appliances.

Staff recommended approval of the NEZ tax abatement; committee members did not raise substantive objections and the committee voted to send line item 7.7 to formal session for council consideration. The committee record notes that presentation materials and a proposed resolution were included in the docket.

Action taken: motion to send line item 7.7 (NEZ certificate application for rehabilitation in Woodbridge) to formal session carried with no objections recorded.","Staff presented a Neighborhood Enterprise Zone (NEZ) certificate request for a major rehabilitation of a historic single-family house in the Woodbridge area; staff recommended approval and the committee voted to send the item to formal session.",{"_33":111,"_35":36,"_37":38,"_39":112,"_41":113,"_43":114,"_45":115,"_47":116,"_49":117,"_51":118,"_53":119,"_55":56,"_57":58,"_59":120,"_61":62,"_63":64,"_65":121,"_67":68,"_69":70,"_71":68,"_72":73,"_74":73},6267713,"Committee moves local option sales tax study resolution to formal session after public comments",3372,213000,3585000,"/Search/View?dp=1&key=3066746-b27a4809ac872601d96f46dfbd4dfcab&start=213&end=3585","https://assets.pipeline.soar.com/3066746-b27a4809ac872601d96f46dfbd4dfcab/thumbnail_213000.jpg","/articles/6267713/Detroit/Wayne-County/Michigan/Committee-moves-local-option-sales-tax-study-resolution-to-formal-session-after-public-comments","https://secure.pipeline.soar.com/6267713-7cca45f9d7e367f7cfe7d332c379ac6b/orig.mp4?Expires=1771184076&Signature=l9X2V0c~pRlmLYKHo~0aCs~n-q7mDC0HOPLHdfJZ8jeunTyMSgtrvUa~hq3h1Jrv8tA9VgeGHjVsctEvxr44YX4JhNb1ImjDLXrSl8U3A4tJ9V9YUabQsESqDAbHATx9cewQChzOVaxGNSuwwFUAp~N8tqvkdfkeNQmf5jqsWhzHvq1lQfRunPzVZD-9JF9r1Ojv9FoqghfzS22XaIJ95lnLnKuROd97-r5qsynpGZOBRVwy9oVPFA-OhgnQ22lYkI60OiE35oA0ElkZcY413xId7IZVPQvWu5YlRaV0SSU6qDC2KkF-NqSI6Cdq6YkdMi6AGtO8t~76W~5FUijYIg__&Key-Pair-Id=KUT5TJCACFTXG","The Budget, Finance and Audit Standing Committee voted to move to formal session a resolution directing the Legislative Policy Division (LPD) to contract with the Citizens Research Council (CRC) to study a possible local option sales tax, often described in public comment as a \"smart tax\" or LOST (local option sales tax).

Public comment included two callers who urged the committee to support the study. Tony Reeves, identifying himself as a PhD candidate in economics at the University of Michigan and a member of the Equitable Development Task Force, said 38 states have used local option sales taxes and cited examples he said included large revenue gains; Reeves called for a study to examine targeting out-of-state spending and timing/location of levies and closed his remarks, \"Let's get lost, Detroit.\" David Palmer, who chairs the taxation committee for the council's Equitable Development Task Force, also urged support and said he had sent committee members emailed materials; Palmer noted the city receives many visitors and said diversifying revenue streams could offset property-tax pressure.

During committee discussion council members asked whether the study would also examine a local amusement tax and whether state constitutional limits would preempt action. Committee member (identified in the record as) Mr. Corley said the study could include a local amusement tax because entertainment venues and stadiums generate significant event-driven spending. Council member Young raised a constitutional concern and referred to the Michigan Constitution; Graham Anderson from the Law Department said Councilman Young was correct that legal constraints exist and that the law department would review the legal issues if the project moves beyond the study stage.

Council member Gabriela Santiago Romero said she supported the study and moved to send the resolution to formal session with a recommendation for approval. The motion passed with no objections recorded.

The resolution requests LPD to prepare a contract with the CRC to evaluate options and impacts, including (but not limited to) revenue estimates, incidence (who bears the tax), comparisons with other jurisdictions, and legal constraints under Michigan law. The committee discussed that any local-option authority would likely require state authorization or statutory change; Romero said the materials would be used to build a narrative to seek change in Lansing. Action taken: line item 7.11 moved to formal session with recommendation for approval.","The committee voted to send a resolution authorizing the Legislative Policy Division to contract with the Citizens Research Council to study a local option sales tax (\"smart tax\"), a proposal public commenters and committee members said could diversify city revenues; legal limits under Michigan's constitution were noted and will be studied.","actionData","errors"]

Article not found

Committee advances trust agreement for Public Lighting Authority refinancing to formal session

Committee business: motions, receive-and-file items and scheduling from March meeting

Committee schedules return of OAG forensic audit report on residential property assessments for April 30

Committee advances Neighborhood Enterprise Zone application for Woodbridge home rehab to formal session

Committee moves local option sales tax study resolution to formal session after public comments