At the Rochester Hills City Council meeting on Monday, May 7, council formally dissolved an obsolete economic development board from before the city existed.
Long before the city of Rochester Hills came into existence, Avon Township established an Economic Development Corporation Board to allow for tax-exempt bond financing for industrial and non-profit developments. That board rolled over to Rochester Hills when the city was formed, but the board has remained stagnant since 1986.
The last bond approved by the board was in 1986 for Peachtree Center Associates, with no new business since then. Under state law, the board must remain in place during the duration of any bonds, the last of which expired in 2016. Since then, the board has met once a year to elect officers, with $950 budgeted annually for attendance.
In addition to its lack of activity, Oakland County operates its own Michigan Economic Development Corporation, which provides redundant services, city staff said.
Staff noted that the board could be reestablished at a future date if needed.
As the city is in the process of obtaining its Redevelopment Ready Community certification from the Michigan Economic Development Corporation, the state looks for candidate communities to dissolve obsolete boards or commissions.
The state certification is a voluntary, no-cost program designed to promote effective redevelopment strategies through a set of best practices. The program measures and certifies communities that integrate transparency, predictability and efficiency into daily development practices.
Council voted unanimously to dissolve the city's Economic Development Board.