Grandholm Signs Legislation to Jump-Start Michigan Downtowns

New tools to help businesses attract customers, workers

LANSING, MI - Monday, July 21, 2008 - Governor Jennifer M. Granholm has signed legislation that creates new tools and enhances existing ones to assist in efforts to reinvent and reinvigorate downtowns across Michigan. These tools will help attract entrepreneurs to downtowns, which in turn will attract and encourage people - especially young, talented, knowledge workers - to live, work, and shop in cities.

"Vibrant downtowns, both large and small, are vital to a prosperous future for Michigan, and revitalizing them was key among my State of the State priorities," said Governor Granholm. "A new generation of entrepreneurs all across the nation is showing that city centers can be new creative hubs that attract top-notch employees. These tools will help us improve our downtowns in the areas of housing, commercial, and retail development."

The new laws amend existing statutes to:

• allow local downtown development authorities (DDA) to operate retail business incubators;
• allow DDAs to offer loan programs for improvements to existing buildings located in downtown districts;
• reactivate the Commercial Redevelopment Act to allow new tax abatements for new or replacement facilities in redevelopment districts in a cities or villages;
• increase the potential number of applications of the Neighborhood Enterprise Zone Act, an existing law designed to reinvigorate neighborhoods in distressed communities;
• require the Natural Resources Trust Fund board to give additional consideration to trails that intersect downtowns when determining funding priorities, and expand local governments' ability to exempt personal property to distressed parcels to encourage redevelopment of rundown parcels in downtowns.

The bills signed and given immediate effect include: SB 970, sponsored by Senator Jason Allen (R-Traverse City); SB 972, sponsored by Senator Tupac Hunter (D-Detroit); SB 974, sponsored by Senator Randy Richardville (R-Monroe); SB 976, sponsored by Senator Judson Gilbert (R-Algonac); SB 978, sponsored by Senator Tony Stamas (R-Midland); and SB 980, sponsored by Senator John Pappageorge (R-Troy).

Previously signed legislation that also helps revitalize downtowns includes SB 1189 sponsored by Senator Hansen Clarke (D-Detroit) and SB 975 sponsored by Senator roger Kahn (R-Saginaw).

The Downtown Ironwood Development Authority (DIDA) will be looking into two tools for urban improvement at their regularly scheduled meeting on Thursday, July 24, 2008, at 8:00 AM, in the Community Development Conference Room on the second floor of the Memorial Building.

The DIDA will be further examining the possibility of adopting an Obsolete Property Ordinance as well as the benefits of the Blueprint for Michigan Citities, a "Cool Cities" initiative designed to revitilize Downtown Business Districts. Last week the City of Ironwood was selected to be one of six Michigan cities selected to receive the Blueprint plan in the State's latest round of the program.