East Grand Rapids City Commission Weighs Handing Brownfield Authority to Kent County as Gaslight Village Seeks Tax Breaks
East Grand Rapids City Commission debated handing brownfield redevelopment authority to Kent County. The decision affects how Gaslight Investors could receive tax increment financing for the controversial Gaslight Village project. Commissioners requested more information before deciding.
The East Grand Rapids City Commission debated Monday whether to hand control of local brownfield redevelopment to Kent County, a decision that could determine how much tax relief Gaslight Investors receives for its controversial Gaslight Village housing project.
City Manager Shea Charles told commissioners the June 15 discussion was informational. The commission opted to request more information from the county before making a final choice, according to a meeting recap published by East Insider.
What is at stake
East Grand Rapids created a local Brownfield Redevelopment Authority (BRA) in January 2025. No further action has been taken since then, according to the East Insider preview of the meeting. Gaslight Investors plans to submit a request for a Brownfield Plan and tax increment financing this summer for the Gaslight Village development, the recap stated.
If the city uses the Kent County Brownfield Redevelopment Authority (KCBRA) instead of its own local BRA, the Kent County Board of Commissioners would have final approval over any Brownfield plan. That includes deciding how much tax capture and reimbursement the development receives and for how long, according to the East Insider preview.
Why the county option matters
The KCBRA administrator told the commission that the county would take on responsibility for monitoring the developer's adherence to Brownfield Plan requirements for the duration of the implementation, the recap stated. That includes ensuring affordable unit commitments are preserved at required levels and for required time periods.
Kent County policy sets thresholds for Brownfield Plans. At least 20 percent of units in a housing development must be offered at "attainable" rates and maintained at those rates for the duration of the plan, according to the recap. Those requirements can be waived for reasons of "public purpose" or "financial necessity," meaning they are not absolute mandates.
Commissioners discussed the tradeoffs. County administration would provide ongoing oversight of developer compliance. The local BRA would keep deliberation and negotiations in open city meetings rather than behind closed doors at the county level, according to the East Insider recap.
"Tonight's discussion is informational in nature and to gauge if there is interest by the Commission to utilize the County BRA," Charles said, according to the recap. "Based on tonight's conversation I anticipate one of three outcomes: 1) there is consensus to use our own BRA, 2) consensus for staff to bring forward a resolution to opt into the County BRA, or 3) request additional information and clarification from the County on this option."
The commission chose option three.
A conflict of interest question
City Manager Shea Charles currently sits on the KCBRA board. He told commissioners he would resign from the KCBRA if the City Commission decides to use the county authority for local Brownfield Plans, according to the recap.
Gaslight Village context
The brownfield discussion ties directly to the Gaslight Village development. Gaslight Investors proposed six residential and commercial structures on an 8.6-acre site at 2255 Wealthy St. SE and 515 Lakeside Drive SE. The first phase would build three buildings with 40 housing units on the northern two acres of the 515 Lakeside property, according to an MLive report on the June 9 planning commission hearing.
The East Grand Rapids Planning Commission voiced support for the first phase during that hearing. No vote was taken because the development agreement remains incomplete, according to City Manager Charles.
A group of residents organized under Gaslight Village Responsible Development is suing the city over its approval of the project's concept plan last year. The plaintiffs are asking a judge to require a higher vote threshold for approval or to send the project to a public vote, according to MLive. City Attorney John Huff has said the litigation does not suspend the project.
What happens next
City Manager Charles said he would bring additional information to a future commission meeting for further discussion on the brownfield authority question, according to the recap. The Gaslight Village project is expected to return to the planning commission in July.
The City Commission also discussed middle school athletics pricing at the June 15 meeting. Commissioners agreed to raise coaches' stipends from $1,000 to $1,800 to competitive levels of $2,000 to $2,800. They did not reach consensus on whether to keep variable participation fees by sport or switch to a flat fee structure. No action was taken on that item, according to the recap.
The commission voted 7-0 to approve amendments to the FY 2025-2026 budget, including adjustments to the Health Fund for employee insurance costs and additional expenses for street projects completed early.
Sources
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