Mount Clemens debates turning down $225,000 DNR grant over park encumbrance; motion fails 4-3

The Mount Clemens City Commission debated for more than an hour on Monday whether to decline a $225,000 Michigan Department of Natural Resources (DNR) trust fund grant for reconstructing Jones Street after staff warned the award would encumber MacArthur Park.

City Manager Mr. Johnson and staff outlined the trade-offs: accepting the grant would require the city to hold the park in public outdoor recreation use in perpetuity and submit to a long list of DNR approvals and environmental warranties. "If you do anything with any part of that park without their permission, you must replace the property with similar property of equal value," counsel stated, listing approvals for plans, fees, conveyances and substitution requirements.

Why it mattered: commissioners said the central question was whether accepting $225,000—intended to improve accessibility to a kayak launch and rebuild Jones Street—was worth permanently restricting future uses of MacArthur Park. Mr. Johnson said staff had also secured CDBG funds to replace utility lines in the same stretch and that using water and sewer enterprise funds was a potential alternative to complete the street rebuild without the DNR conditions.

Several commissioners pressed staff on alternatives and the scope of the restrictions. Commissioner Campbell, who said she had discussed the issue with the city manager, asked whether there was a precedent for DNR-enforced restrictions; staff replied they had taken DNR grants decades ago but could not speak to enforcement levels. Counsel warned that the DNR’s standard language would require state approval of any lease or conveyance and that approval would not be given unless equivalent property of equal market value were substituted.

A close procedural point emerged over what a yes or no vote meant. Staff clarified that a yes vote at this meeting would formally decline the grant; a no vote would leave the grant un-declined and prompt staff to return with a resolution and the full project agreement for formal acceptance at a later meeting. After roll call, the motion to decline the grant failed 4-3. The commission did not accept the grant tonight; staff said they will return with additional materials and a formal resolution for future consideration.

The vote and next steps: commissioners were divided between preserving long-term flexibility for potential redevelopment of the park and the immediate financial advantage of $225,000 toward rebuilding Jones Street. The administration emphasized the project’s intent remains to move forward using alternative funding if the grant is declined. The commission asked staff to return with the required resolution and the full agreement for further review.

What’s next: staff will bring back the DNR project agreement and a proposed resolution to a future meeting for formal action. The commission’s discussion underscored the trade-off between short-term capital assistance and long-term control of public parkland.