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Commission weighs draft tenant agreements, schedule and finances for proposed Birmingham Senior and Community Center

2213610 · January 27, 2025
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Summary

City staff presented draft tenant agreements with NEXT and the YMCA, a preliminary financing model tied to a possible bond, and a revised project schedule; commissioners and members of the public raised questions about governance, membership pricing, liability, community access and election timing.

City staff presented draft agreements and an updated schedule on Jan. 27 for a proposed new facility at 400 East Lincoln that the city has been discussing as a future home for NEXT and as a community swimming and recreation resource with YMCA-managed operations.

The city’s ad hoc senior/recreation committee recommended a working name; on a separate motion the commission approved use of the term “Birmingham Community and Senior Center” for future references to the project (6–1, Commissioner Hay opposed). City staff emphasized they were not asking for formal approval of lease or operating agreements at the meeting and said final agreements would be contingent on program, budget and — if the commission decides — a voter-approved bond.

Deputy city staff described a tentative deal structure in which NEXT would receive long-term tenancy for its programming space, and the YMCA would take responsibility for operating and insuring building systems (including lifeguards, pool staffing and janitorial services) in exchange for a nominal rent and a yearly operating contribution estimated in current budgets at roughly $475,000–$500,000. NEXT has previously contributed $500,000 toward purchase of the property and applied for a $200,000 Oakland County grant that the city has used in early studies. City staff said municipal senior-millage proceeds could be used for building renovation or construction in keeping with the ballot language used when the millage was approved, and that the interlocal agreement that currently funds NEXT would need revision if the city proceeds with a building-centered model.

Commissioners and members of the public pressed for more precise terms before the city signs final agreements. Common requests included: defined performance metrics and financial reporting for NEXT, a shorter tenant term than “in perpetuity,” clearer breach and termination events, explicit insurance and indemnification levels, and specification of how shared spaces (gym, pool, community rooms) will be scheduled and staffed. Commissioners also asked the city attorney to confirm the legal limits on using senior millage dollars for the proposed building work.

Staff presented a revised project timeline that delays any potential ballot question beyond May; staff said an August bond election remains a possibility but would require tightened design and budgeting milestones. Staff noted that November would not be feasible because the Birmingham Public Schools will be renovating Midvale School and will not extend NEXT’s current occupancy. City staff said program and schematic-design documents will be distributed to the commission and the ad hoc committee in early February, with interviews of construction managers scheduled and public design workshops planned.

Several public speakers and commissioners said the package of obligations and benefits needed clearer, quantified commitments before asking voters for construction funding. NEXT board representatives and YMCA leadership both said they are engaged in the negotiations and willing to provide additional financial and program details to the city and that YMCA’s board and NEXT’s board have received draft language and will review it in the coming days.

City staff said the agreements may be finalized only after program square footage, final budget and construction-manager input are complete. They reiterated that if a bond question is put to voters and fails, the proposed operating agreements would not take effect and the city could revert to the earlier memorandum of understanding that applied while NEXT was in the Midvale School site.