Council approves $165,000 annual consulting agreement with Bonner Advisory Group for economic development

The Sterling Heights City Council voted to approve a consulting services agreement with Bonner Advisory Group LLC to continue providing economic development advisory services to the city at an annual fee of $165,000.

Under the approved agreement, the firm will receive $165,000 per year (paid monthly at $13,750) for the core economic development advisory scope. The contract also includes an hourly rate of $165 for special projects or services outside the core scope and allows the city to terminate the agreement with 30 days’ notice after the first year (90 days is in the initial term). The contract does not provide city‑paid health insurance or benefits to the consultant; the consultant confirmed he pays his own benefits as an independent contractor.

Bonner has served as the city’s economic development advisor for more than a decade and council supporters cited continuity and the adviser’s relationships with businesses and intergovernmental partners as reasons to continue the engagement. Opposing or questioning council members raised process and procurement questions: Councilmember John Yanez asked why there was no request‑for‑proposals (RFP) and whether competitive bids had been sought; city staff replied that professional service contracts of this type commonly do not require a formal RFP and that council may request a competitive process at any time.

Councilmembers also asked practical questions about the consultant’s day‑to‑day presence in Sterling Heights. The contract removes a formal three‑days‑per‑week in‑city requirement; the consultant said his work is often a mix of in‑person and virtual meetings and that he remains available for in‑person site visits and business retention visits. The consultant told council he typically covers many project costs himself and only rarely bills the city for expenses.

The vote to approve the agreement was moved by Councilmember Donna Zarko and carried in roll call with all members present voting yes. Council discussion recorded that this increase reflects the first raise in roughly 10 years (council referenced a previously noted annual figure of $150,000 from earlier years). City Manager Mark Vanderpool and members of the council said continuity and existing relationships were important considerations in the approval.

Staff and council members noted the agreement remains revocable per its termination provisions and that any future change in approach or a decision to conduct an RFP could be initiated by council.