Land swap approved

Imlay Township resident Harold Schonfeld, a 45-year member of the Lapeer County Agricultural Society, pours over a survey of the proposed land swap between the Society, which operates the Eastern Michigan Fair, and the Tri-County Bank at the Society’s annual meeting Wednesday night. Despite misgivings by a few members, Society members overwhelmingly agreed with Schonfeld that the swap is a good deal for the fair and approved the proposal on a 70-9 vote. IMLAY CITY — “Looks like a pretty good deal to me,” said Imlay Township resident Harold Schonfeld, who has been a member of the Lapeer County Agricultural Society 45 of his 85 years, as he leaned forward to get a better look at a survey of a proposed land swap between the society and Tri-County Bank.

A overwhelming majority of society members at the group’s annual meeting agreed with him, voting 70- 9, to approve the swap, pending zoning approval by Imlay City.

The society’s nine-member board approved a deal with the Brown City-based bank to trade 3.2 acres of the fairgrounds for a 60-acre field southwest of the fairgrounds and a $35,000 donation at a special meeting Sept. 23 and sent a letter to the society’s 300-plus membership Oct. 9 seeking approval for the deal. Fair Manager Ian Kempf, explained the 19th century state law establishing the fair and creating the society prevents the board from selling property without the society’s approval.

“This is one of the most important votes we’ll ever make,” said J. Rodney Warner, the society’s president, at the group’s annual meeting Wednesday night at Imlay City Hall.

The bank was seeking to trade a roughly wing-shaped parcel of the of the fairgrounds, the would give it 363 feet of frontage on South Cedar Street, for a 60-acre farm field, bounded on three sides by paved roads.

However, several society members weren’t sure it was a good deal. A couple of members balked when Kempf announced that Lapeer Appraisal Inc. valued the fair’s property at $420,000, while the company set the field’s value at $310,000.

“My concern is simply with dollars,” said one member. “It looks like we’re giving up a hundred grand in this deal.”

“I’ve been very skeptical about this for a lot of reasons. I’ve had sleepless nights, believe it or not” said board member Ray Swain “But, I believe anytime you can trade three acres for 60 acres of dirt, it’s time to do it.”

“You can’t trade three acres of Monterey Bay for 50 acres in the city,” countered the unhappy member, “You can’t look at the number of acres, you got to look at dollars.”

Kempf told society members the biggest thing holding the fair back from moving to the next level is space. At 41 acres, the current fairgrounds is forced to direct people to parking areas at nearby schools. Kempf said that’s not something that sets well with fairgoers.

Kempf said that while the society’s board contemplated selling two acres on the same corner 12 years ago when the fair was on the financial ropes, the board has since decided that a land-for-cash deal makes no sense because the fair doesn’t have enough land to begin with.

One society member who lives in Imlay City was worried the swap might drive his property taxes up.

Mark Shadley, an assistant vice president with Tri- County, said the bank currently pays $25,000 a year in taxes on the field.

Kempf suggested that once the bank builds something on the corner of Borland Road and South Cedar Street, the bank would be paying even higher taxes. He said the fairgrounds are currently taxexempt, and he believes the society would be exempt from paying taxes on the field once the swap is completed.

Shadley told society members that while the property’s been recently appraised at $310,000, the bank has been approached by at least one interested party willing to pay the bank’s $720,000 asking price, and the property was once purchased by a real estate developer for $1 million.

Another board member was concerned about the cost of redoing the fairgrounds.

Kempf said that moving the current pit area for motorsports events, which would improve safety on the fairgrounds, and creating a somewhat barbellshaped midway that would cut diagonally across the fairgrounds would cost approximately $240,000. But he added the fair wouldn’t have to do that until at least 2011.

The board’s treasurer reported this year’s fair, despite a spate of bad weather, turned a $72,681 profit.

While the land swap has been approved by the society’s board and its members, as well as Tri-County Bank’s management, there’s one more hurdle to clear. For the deal to be finalized, the city has to approve zoning changes to the two parcels.

Following the Board’s vote, Tri-County Bank’s President and CEO, Ric W. Bucklew released a written statement:

“We would like to commend the fair board and the agricultural society for having the wisdom to grasp the opportunities that will now be available to them with the 60 acres of property. Rod Warner, Ian Kempf and the entire Fair Board — although they were tough negotiators, they were professional in every manner and a real pleasure to work with. The Society can be proud of the management and the board that they have working on their behalf.

“The bank and the Fair Board both viewed the land exchange as a win-win situation for everyone involved. It helps us by giving us future expansion opportunities and it helped the Agricultural Society solve some of their parking issues. You know the parking problem is only a result of the strong leadership and the success of the fair itself.

“Regarding the bank’s plans, although we can’t proceed with the actual development of the site until after the fall of 2010, it will not curtail our planning and architectural design of our future banking office. The Tri-County Bank has enjoyed a great working relationship with the people of Imlay City, and we look forward to expanding our services in the Imlay City area.”