In April, City Council held three Capital Outlay and Infrastructure Committee Meetings to talk about the city’s future, specifically the city’s center at Five Mile and Farmington. Here is an overview of all three meetings:
Members of City Council attended these meetings, along with members of the administration and representatives of Plante Moran Realpointe (PMR). These meetings were the culmination of the second phase of work PMR was contracted to perform.
Meeting 1 – April 10th: Facility Condition Assessment and Site/Space Program Findings and Recommendation
Information Packet: https://livoniami.portal.civicclerk.com/event/488/files/attachment/12495
This was a tie-in to the March 1, 2023 Capital Outlay Committee Meeting where Plante Moran shared an assessment of nine out of 120 city-owned properties. The cost for improvements of those buildings was estimated as $96.9M last year; it is now $107M.
The focus of the meeting was on City Hall, Livonia Police Department, and Livonia Fire Department Station #1. The recommended space needs for each site were offered (an ideal amount and a workable compromise). City Hall needs less space and LPD/LFD need more space.
The meeting concluded with the following PMR recommendations being considered:
- New City Hall: Renovations projected at $24M + $8M for 10 year operating maintenance costs, totalling $32M v. $39.4M for a new building ($2.6M for 10 year operating and maintenance and $36.4M for new construction). The building has more space than needed.
- New Police Department: Renovations projected at $12M + $6M for 10 year operating maintenance costs, totalling $18M v. $44.2M for a new building ($23M for 10 year operating and maintenance and $44.2M for new construction). The current building doesn’t have space to accommodate needs.
- Upgrade Fire Station #1: Fire Station #1 has seen more recent investment and fits the needs for use. It’s recommended that $2.5M be invested for capital improvements for Fire Station #1 (the other four stations will also need improvements).
Meeting 2 – April 17th: Highest and Best Use Report Findings and Recommendations
Information Packet:https://livoniami.portal.civicclerk.com/event/489/files/agenda/2746
This meeting focused on the idea of what the future City Center can look like given present factors in development. Previously considered options, such as the Royal Oak model of a private/public partnership are not viable with the changes in work structure (less office space). Given the market factors and community preference, it’s suggested that townhome/attached single family homes could be developed (about 300 units) with commercial space for retail/food.
By moving City Hall and the Police Department, the City would have about 25 acres at 5 Mile and Farmington available for development.
Meeting 3 – April 24th: Financing Tools for Town Center
Information Packet: https://livoniami.portal.civicclerk.com/event/492/files/attachment/12794
This meeting looked at the City’s finances, funding options for the City Hall/Police/Fire redevelopment proposal, and the option to continue to use the services of PMR for this project.
City Finances: In 2022, the City shifted retirees to a Medicare Advantage program. The cost savings has been about $2.4M annually. It’s proposed that this money be used for an annual payment on a $36M bond that would be used to construct a new City Hall.
To address the needs of public safety building improvements, a millage would be proposed in 2025. The details about a potential millage were not discussed.
With the presentation of findings for the facility conditions assessment and space needs assessment, Phase 2 of the PMR agreement is complete. A proposed Phases 3 & 4 are being offered. It would include a fixed annual fee of $360k for pre-ballot services related to a millage and advisory services for redevelopment of the vacant space at 5 and Farmington. Project management for the City Hall would be a 2.25% fee of costs and a 2% fee for the previously mentioned projects.
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