Alma council approves rehab exemption, equipment purchases and contract extensions; sets MDNR hearing

The Alma City Council approved a commercial rehabilitation exemption for Journey Federal Credit Union’s planned renovation at 130 West Superior and signed off on multiple equipment purchases and contract extensions, the council recorded in a meeting captured in the provided transcript.

Journey Federal Credit Union — commercial rehabilitation exemption Brian Smith, representing Journey Federal, and Will (identified in the record as CEO of Journey Federal Credit Union) described a downtown commercial rehabilitation at 130 West Superior. Smith said the project is “roughly a 3 quarter of a million dollar project, maybe upwards of 800” and that it will create four new jobs and employ 30 to 40 construction workers during the renovation. Council opened and closed a public hearing and then approved a resolution to issue a 10-year commercial rehabilitation exemption certificate; the exemption applies to increases in assessed value resulting from the rehabilitation, not to the underlying property tax owed, council members said.

Pavement maintenance contracts and street work Council approved amendment No. 1 to the 2024 chip-seal coating contract with Highway Maintenance and Construction Company to extend the contract one year (the extension covers a chip-seal project described in staff materials and maps that affects about 1.1–1.5 centerline miles of pavement). Separately, the council approved amendment No. 1 to the 2024 pavement crack-sealing agreement with Wolverine Seal Coating, extending that contract one year and authorizing crack-seal work on 35 streets (described as roughly 8.75 centerline miles). City staff and commissioners said funding will come from a mix of the renewed street millage and Act 51 gas-tax funds and noted that preserving streets at PASER ratings in the mid-6 to 7 range with crack seal and chip seal extends pavement life.

Equipment purchases for Public Works The council authorized the purchase of a replacement chassis cab (to replace Public Works unit No. 283) from D and K Truck Company and approved a related purchase of a dump box from Truck and Trailer Specialties to outfit the new vehicle. Staff said the unit being replaced is more than 20 years old; estimated delivery for similar recent purchases has been six to seven weeks. The transcript lists the dump-box price as $28,292; the purchase price cited for the chassis was unclear in the transcript and is recorded below as “not specified” where the number could not be confirmed.

Ordinance amendment on fences Council approved the introduction and immediate adoption of a zoning ordinance amendment (listed in the meeting record as Ordinance No. 848, codified at section 60-184) that revises wording for regulation of fences, walls and screens. Staff said the amendment updates the municipal code in response to issues raised in a recent district court ruling; the ruling is under appeal, and the ordinance changes are intended to reflect guidance discussed during that hearing. Staff and council members said the changes do not alter long-standing substantive requirements but clarify language.

Other items approved - A one-year lease extension for office space at 219 North State Street to continue housing the MSU Cooperative Extension Service; the monthly rent increases from $500 to $800 under the extension while the building is being appraised for sale. - A fire-insurance escrow/bond arrangement for rehabilitation at 1012 Eastward Street. Staff said the buyer/developer provided a $25,000 construction bond that the city may draw on if the property does not reach certificate of occupancy within the eight-month term in the agreement; the bond is intended to ensure the structure is rehabilitated or demolished as required before escrowed insurance funds are disbursed. - Ratification of short-term investments (CDs) with commercial banks at yields shown in staff materials (transcript references 3.70%–3.85% depending on term).

Housing programs and wastewater grant discussion (staff direction) City Manager Eric reported on housing efforts including remaining city-owned lots in the Gemstone subdivision and a request from a local representative (Adam Bimber) to consider reducing lot prices to stimulate new construction; no final action to change prices was taken—staff said a formal item could come to a future meeting if the commission requests it. The council also discussed re-establishing a housing-rehab program using state programs (MSHDA and rural development programs) and the need for possible added staff capacity to administer housing programs.

Council discussed an energy-efficiency wastewater grant opportunity with a rapid turnaround. Staff said a wastewater grant opportunity totaling $200,000 is available (the grant would pay up to $100,000 toward a project estimated at roughly $200,000 to replace plant blowers). Council members discussed whether to request $25,000 or $50,000 in local match in the application. Staff indicated they would submit an application before the deadline and that the final match amount would be determined by staff consistent with council guidance.

Votes at a glance - Resolution: Approve 10-year commercial-rehabilitation exemption certificate for 130 West Superior (Journey Federal Credit Union) — approved. - Resolution: Set public hearing for Michigan Department of Natural Resources recreational grant application (hearing set for 03/25/2025 at 6 p.m.) — approved. - Purchase: Replacement chassis cab for Public Works unit No. 283 (vendor: D and K Truck Company) — approved (purchase price in transcript unclear: recorded below as not specified). - Purchase: Dump box for new truck (vendor: Truck and Trailer Specialties) — approved; $28,292. - Contract amendment: Extend 2024 chip-seal coating contract with Highway Maintenance and Construction Company (one-year extension; 2025 total cited in staff materials) — approved. - Contract amendment: Extend 2024 pavement crack-sealing agreement with Wolverine Seal Coating (one-year extension; approximately 8.75 centerline miles) — approved. - Ordinance: Introduction and immediate adoption of zoning ordinance amendment re: fences, walls and screens (Ordinance No. 848; codified at sec. 60-184) — approved. - Lease extension: MSU Cooperative Extension Service office at 219 North State St. (one-year extension; rent increase $500 → $800 monthly) — approved. - Agreement/bond: Fire insurance/escrow arrangement and acceptance of $25,000 construction bond for 1012 Eastward St. rehabilitation — approved. - Investments ratified: Several short-term CDs with commercial banks (rates cited in staff materials) — approved.

What the meeting did not decide Council discussed but did not finalize a change to the asking price for the remaining Gemstone subdivision lots; staff indicated it will return the issue to a future meeting if the commission wants a formal vote. On the wastewater energy-efficiency grant, staff was authorized to apply; the final match amount to request will be confirmed by staff before submission.

Context and next steps Staff said the MDNR hearing for recreational-asset improvements (Riverside overlook, pavilion roof, picnic amenities, and overlook-deck repair) is scheduled for March 25, 2025, and that staff will return with the city’s proposed local match amount for that grant application. Other items—housing-lot pricing, more street overlay bids tied to the SRF street-construction project, and future crack-seal/chip-seal programs funded by the street millage—were identified as items that could return to council for further decisions.