Committee for Marshall-Not the Megasite v. City of Marshall

CourtMichigan Court of Appeals
DecidedJune 18, 2024
Docket369603
StatusPublished

This text of Committee for Marshall-Not the Megasite v. City of Marshall (Committee for Marshall-Not the Megasite v. City of Marshall) is published on Counsel Stack Legal Research, covering Michigan Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Committee for Marshall-Not the Megasite v. City of Marshall, (Mich. Ct. App. 2024).

Opinion

If this opinion indicates that it is “FOR PUBLICATION,” it is subject to revision until final publication in the Michigan Appeals Reports.

STATE OF MICHIGAN

COURT OF APPEALS

COMMITTEE FOR MARSHALL-NOT THE FOR PUBLICATION MEGASITE, June 18, 2024 2:45 p.m. Plaintiff-Appellant/Cross-Appellee,

and

REGIS KLINGLER, STEPHANIE KLINGLER, HOLLY HARNDEN, MARK ROBINSON, GRETCHEN ESSER, JAMES SLEIGHT, JR., and DIANE KOWALSKE,

Plaintiffs,

v No. 369603 Calhoun Circuit Court CITY OF MARSHALL and MICHELLE EUBANK LC No. 2023-001712-CZ in her capacity as the MARSHALL CITY CLERK,

Defendants-Appellees,

MARSHALL AREA ECONOMIC DEVELOPMENT ALLIANCE,

Intervening Defendant-Appellee,

MICHIGAN ECONOMIC DEVELOPMENT CORP. and MICHIGAN STRATEGIC FUND,

Cross-Appellants.

-1- Before: CAMERON, P.J., and N. P. HOOD and YOUNG, JJ.

PER CURIAM

In its simplest form, this case is about (1) when a party is entitled to mandamus and (2) interpretation of the city of Marshall’s charter. This case started with efforts by defendant- appellee, the city of Marshall (the City), to rezone a parcel of real estate from Marshall Township zoning to the City’s new industrial and manufacturing zoning designation, as part of a project to develop an electric battery manufacturing facility called the Ford BlueOval Battery Park (the so- called “Marshall Megasite”), and counterefforts by plaintiff-appellant/cross-appellee, Committee for Marshall-Not the Megasite (the Committee) to prevent the rezoning. The City eventually rezoned the property through an ordinance that also included appropriations. Plaintiffs Regis Klingler, Stephanie Klingler, Holly Harnden, Gretchen Esser, and Mark Robinson (the petitioners)1 then formed the Committee and, with others, circulated a petition for a ballot referendum on the City’s decision. The City Clerk, defendant Michelle Eubank, rejected the petition because it related to an ordinance that included appropriations (among other reasons). The Committee and the petitioners sued seeking a writ of mandamus compelling Eubank to put the referendum on the ballot as well as injunctive and declaratory relief, claiming that the ordinance violated the City’s charter. Numerous other stakeholders, including the Marshall Area Economic Development Alliance (MAEDA), the Michigan Economic Development Corporation (MEDC), the Michigan Strategic Fund (MSF), and others, sought to intervene; only MAEDA succeeded.

The Committee now appeals the trial court order dismissing its claims. It argues that the trial court erred in several ways by rejecting its claims that the City violated the law when it rezoned the property. It also maintains that the trial court should have determined that Eubank exceeded her authority when she rejected the petition for a referendum.

On cross-appeal, MEDC and MSF challenge the trial court’s order denying their motions to intervene. They also argue—in the form of issues on cross-appeal—that this Court should affirm the trial court’s decision to dismiss the Committee’s claims.

We affirm the trial court’s decision to dismiss the Committee’s claims. It correctly concluded that the Committee was not entitled to mandamus relief because of the existence of an alternative adequate remedy (namely, an appeal of the Marshall City Council’s final decision on certification) and the lack of a clear, legal right. It also correctly concluded that the ordinance at issue complied with the Marshall City charter. We dismiss MEDC and MSF’s cross-appeal for lack of jurisdiction. For these reasons and those stated below, we affirm.

I. BACKGROUND

The subject of the City’s rezoning efforts and the Committee’s petition drive, and ultimately its lawsuit, was the development of the Ford BlueOval Battery Park. The City,

1 The seven individual plaintiffs are not parties to this appeal. Only the Committee filed a claim of appeal.

-2- MAEDA, MEDC, MSF, and others worked to facilitate the development. The Committee and petitioners worked to stop the development.

A. THE MASTER 425 AGREEMENT

In February 2022, the City and Marshall Township (Township) entered a land transfer agreement (the Master 425 Agreement).2 Previously, from 2006 until the 425 Agreement, the City and Township were parties to another agreement governing land transfers between the two jurisdictions for economic development. Under the new agreement, the City and Township contemplated that they would enter individual “425 Agreements” governing particular transfers consistent with the Master 425 Agreement, and provided rules for such agreements. The applicable rules depended on whether the individual agreement involved a commercial or industrial development, or involved a residential development; it also depended on the location of the development relative to certain interstates.

The Master 425 Agreement provided a process for property owners with property designated within the Master 425 Agreement and located within the Township to request services and conditionally transfer the property to the City for commercial or industrial purposes. Once a property owner requests services, a contract for the property’s conditional transfer is presented to the Marshall City Council and the Township Board of Trustees for approval.

Under the Master 425 Agreement, and pursuant to the Joint Municipal Planning Act, 2003 PA 226, MCL 125.141 et seq., the City and Township also established a Joint Municipal Planning Commission (JPC). They agreed that the JPC would “control all land usages for lands subject to a 425 Agreement between the City and Township.” The JPC had an equal number of members from both the City and the Township.

Schedule A to the Master 425 Agreement provided the rules for the JPC, including rules regarding the application of the City’s zoning ordinances versus the Township’s. Critically, the zoning definitions within the City’s zoning ordinances applied to residential lands located south of I-94 and east of I-69. The parties also agreed that the City’s zoning ordinances applied to all commercial and industrial lands subject to the JPC jurisdiction regardless of location. But “residential zoned lands lying west of I-69 or north of I-94 shall be administered by the JPC” per the Township’s zoning and planning acts and Township procedures and definitions.

B. REZONING THE MEGASITE

In February 2023, the Marshall Board of Trustees and the Marshall City Council approved conditional land transfers that brought certain properties located in the Township under the City’s jurisdiction. This followed requests the City manager received from property owners to enter into individual 425 agreements to bring their properties located in the Township under the City’s

2 The parties refer to land transfers under this agreement as Act 425 transfers after the law that permits cities, townships, and villages to enter into agreements to transfer jurisdiction over land for a period of years for the purpose of facilitating economic development, which was first enacted by 1984 PA 425. See MCL 124.21 et seq.

-3- jurisdiction in order to receive the City’s services. The owners had either transferred their property to MAEDA or were under contract to do so. MAEDA eventually obtained approval to combine these properties into one parcel. It subsequently obtained approval to split off 741 acres for the proposed development. Those 741 acres formed a new parcel, identified as parcel no. 53-281- 021-00 and commonly known as 13700 West Michigan Avenue. This was the proposed development site for the Ford BlueOval Battery Park.

In April 2023, both MAEDA and the City took steps to rezone the parcel in overlapping processes before both the JPC and the Marshall City Council.

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Committee for Marshall-Not the Megasite v. City of Marshall, Counsel Stack Legal Research, https://law.counselstack.com/opinion/committee-for-marshall-not-the-megasite-v-city-of-marshall-michctapp-2024.