Benton Harbor commission lifts moratorium on city-lot sales, directs staff to set fair-sale rules

The City of Benton Harbor commission voted to lift a long-standing moratorium on the sale of city-owned lots and asked staff to produce detailed rules for how those lots will be valued and sold.

On a motion amended at the meeting, commissioners agreed to remove the blanket moratorium but require staff review of the process — including assessor valuation, possible appraisals, code‑enforcement verification and a case-by-case commission review — before individual sales return to the agenda. The attorney advised the commission that selling city property requires a two‑thirds vote and that lifting the moratorium does not mean automatic or unrestricted sales.

Supporters said lifting the moratorium gives residents an opportunity to buy adjacent lots, encourage maintenance, and generate modest revenue. Several commissioners, including Commissioner Kennard and Commissioner Henderson, urged caution and asked for safeguards after recounting past concerns about lots sold at nominal prices. Commissioner Henry said she wanted receipts and documentation and withheld support until she saw written details of how the $1 transfers and prior sales occurred.

Discussion also touched on prior alleged sales and an August 26, 2025 deed the mayor pro tem said he would forward to the attorney for review. The city attorney said staff will need to establish a transparent policy and prepare individual sale approvals for future agendas.

Outcome: Motion to lift the moratorium, amended to require staff policy review and case-by-case approvals, carried. The commission did not authorize any specific lot sale at this meeting; individual sales will return for separate votes.