Ad Hoc Water Street Committee - 7-22-206

The City of Ypsilanti's Ad Hoc Water Street Committee met on July 22, 2026, to discuss the financial and developmental aspects of the Water Street project. The meeting focused extensively on property tax valuation methods, projected taxable values, and the potential tax revenues from the development, estimated between $5 to $6 million annually, with the city receiving approximately $1.7 to $1.99 million. The committee explored the use of tax increment financing (TIF) and payment in lieu of taxes (PILOT) as incentives to offset infrastructure and environmental remediation costs, with a proposed cap of 50% TIF to balance city revenue and development costs. Discussions also covered the challenges of affordable housing development, infrastructure costs related to building heights, and the importance of mixed-use, walkable, and sustainable community design. The committee deliberated on development goals, including prohibiting certain types of commercial and industrial uses, promoting pedestrian-friendly design, and integrating community values into the Request for Qualifications (RFQ) for developers. Additionally, the committee addressed the need for ongoing engagement with indigenous tribes as part of the development process, emphasizing meaningful consultation beyond regulatory requirements. No specific contract awards or vendor selections were made during this meeting, but the discussions set the framework for future procurement and development negotiations.