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Aeropark may face court challenge:
County plans funding for land with taxes meant for Detroit projects,
commissioner says

 

By David Josar
Copyright 1999  The Detroit News Inc.
Reprinted with permission
Article date: May 17, 1999
 

ROMULUS -- An industrial-recreation complex planned near Detroit Metro Airport promises to be an economic boon for nearby communities, but may become a legal headache before it's built.

At least one Wayne County commissioner believes the project, Pinnacle Aeropark, will face a court challenge because the county plans to use up to $50 million in excess "tourist tax" dollars to start the venture.

In 1996, voters approved a 2-percent tax on rental cars and a 1-percent tax on hotel rooms to repay $80 million in county bonds sold to buy land for two downtown Detroit stadiums. Now the county says the taxes will generate an extra $68 million.

"There is going to be a legal challenge," Commissioner Bernard Parker predicted. "That money was to be used for downtown development. That's what the people voted for."

Parker, who believes disgruntled taxpayers will sue the county, said the extra revenue should be used to develop a commercial complex in Detroit.

County lawyers, however, say the tourist taxes can be spent on buying property for any development project.

County commissioners last Thursday voted to spend $ 30 million to start buying more than 1,200 acres near the airport. They're expected to approve another $20 million this week. Parker cast the only dissenting vote.

The park, which would include 600 acres the county already owns, is envisioned as a site for hotels, offices, research facilities and a golf course. The county expects to profit by leasing and selling space.

The strongest impact could be on Romulus and Huron Township. A consultant hired by the county forecasts they'll share an added $6 million a year in property taxes.

Romulus Mayor William M. Oakley said Pinnacle would be "terrific" for his city of about 22,000 people, but noted that it's still in the planning stages.

"Hopefully, the county will know how to market and develop this idea," he said.

Don Barstow, who runs a gas station along Ecorse Road in Huron Township, said the office-industrial park will boost his business.

"If a couple thousand more people drove by here every day, I know I'd make more money and hire more workers," he said.

"We want someone to pay taxes on that property. That's what's going to work for us."

Approved by Mark Silverman, Publisher and Editor
Reprinted with permission from the Detroit News
 

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