Grosse Pointe Park DDA forwards preliminary FY2025—6 budget, eyes development-plan extension and parking options

The Grosse Pointe Park Downtown Development Authority voted to send its preliminary fiscal year 2025—6 budget to city council on a recommendation that adds $10,000 for professional contractual services.

The presentation to the DDA emphasized projected revenues of about $127,800 in captured property taxes and roughly $12,000 in interest income, and noted a DDA reserve of approximately $267,000 against a working budget of about $139,000. The city manager, who presented the budget, said the documents are for the council's review and that the DDA will subsequently formally adopt the plan if council approves it.

Why it matters: The DDA is scheduled to expire in 2026 unless the authority amends its development plan and secures an extension. Board members said an updated plan is needed both to preserve tax increment revenues and to make larger investments — such as bonding — feasible for streetscape, parking and public-space improvements tied to the campus-area vision.

Key budget details and priorities The presenter outlined principal revenue and spending items: captured property taxes of about $127,800 and interest income near $12,000; a $15,000 green-infrastructure line to match a Southeastern Michigan Council of Governments grant of about $65,000; and a proposed landscaping contract that, after competitive bidding, reduced the DDA's expected cost from roughly $35,000 to about $15,000. "We have a healthy reserve of about $267,000 in the DDA fund," the city manager said, noting that the reserve gives the authority flexibility for future amendments.

Board members pressed staff on options for using DDA resources to support the Scott Center's opening this year. The presenter proposed a $20,000 appropriation to lease nearby off-street parking if property owners are willing to partner, and recommended adding $10,000 from reserves into the professional contractual-services line to fund traffic counts and follow-up streetscape or safety improvements after the center opens.

Legal limits and next steps Kevin Kilby, the DDA's attorney, cautioned that tax-increment funds are generally restricted to expenditures within the DDA district: "Under the tax increment laws, you can only spend the tax increment financing within the district," he said, while noting narrow exceptions that may allow ownership or leasing of property outside the district but not using DDA funds to make improvements off-district. Board members were advised that any extension of the DDA's life and any major borrowing would require an amended development plan, notification of taxing jurisdictions and formal city council approval following public hearings.

Economic development and community coordination Members discussed a range of promotional options tied to the Scott Center opening, from coupon or ticket programs to directed small-business grants or facade and placemaking investments. The rescue-resale shop on the Full Circle campus and several nearby businesses were cited as potential partners for joint promotions and walkability strategies; the presenter said staff will continue outreach and negotiate with prospective property owners, including the former Bank of America site.

Vote and procedural outcome The board made and seconded a motion to forward the proposed budget to city council with the amendment adding $10,000 for professional contractual services; the motion carried. The DDA will present the amended proposal to city council and, if council approves, will return to the DDA for formal adoption and any further amendments.

The meeting closed after a roll call and a brief, empty public-comment period. The DDA did not take final budget-adoption action; the next formal steps are council review and the public-notice process for any development-plan extension.