Township board votes 4–3 to publish notice to issue up to $17 million for DDA village improvements

Cascade Charter Township trustees voted 4–3 on June 24 to publish a notice of intent to issue municipal securities that would set a not-to-exceed $17 million ceiling for Downtown Development Authority village improvements. The publication begins a 45-day referendum period; any actual bond sale and specific project borrowing would return to the DDA and township board for separate approvals.

Jade, a township staff member leading the presentation, said the notice is an initial, high-level authorization that "starts a 45-day referendum period" and does not obligate the township to borrow the full amount. She told the board that projects must be listed in bond documentation to be eligible for funding and that borrowing would be phased as projects are bid.

Stephen Burke, the township's financial adviser, explained the rationale for the ceiling and the options for structuring debt. "The typical bond issue in Michigan is anywhere between 20 and 30 years depending on the assets," he said, and added that pledging township credit could reduce interest costs and make the debt more manageable for the DDA.

Staff and the financial adviser identified three priority projects for potential funding: improvements to Tassel Park (including the Tffy site), redevelopment of the Verberg property (including reimbursement to the DDA for a December purchase), and a pedestrian underpass under Cascade Road. Jade said the analysis showed the DDA could support debt service for a $17 million issue while continuing core operations, but emphasized that the figure is a ceiling and that individual projects will return to the board for detailed bidding and approvals.

Trustees questioned the size and term of the proposed authorization and discussed alternatives. Several trustees favored a lower not-to-exceed amount—$10 million was suggested by one member—or shorter repayment terms; others supported keeping a higher ceiling to preserve flexibility and to avoid returning to the referendum process if project scopes change. "You cannot go over that amount. You can certainly go under that amount," Jade said, explaining the not-to-exceed concept.

The board made the motion to publish the notice with Trustee Shipley as mover and Treasurer Corstange as second. In the roll-call vote recorded by Clerk Slater, Shipley and Corstange voted yes; Trustees Rissy, Nord Hook and Nordike voted no; Clerk Slater and Supervisor Lebrance voted yes. The motion carried 4–3.

Next steps in staff's schedule are publication of the notice to start the 45-day public referendum period, a DDA meeting to consider a funding resolution (targeted July 21), a board bond-authorization resolution (targeted July 22) and then bond issuance and project delivery if the process proceeds. Staff said projects must be bid and authorized by the board before bond proceeds could be spent.

The meeting record shows the board and staff committed to returning with more detailed cost scenarios, phasing options and DDA fund-balance information before any specific bond sale or project awards.