Kali Katerberg/Daily Mining Gazette Residents from around the region attend a standing room-only public hearing regarding a site agreement with the city of Houghton for a potential Meijer store in Portage Township.

PORTAGE TOWNSHIP — The future of a Meijer store for the area is now uncertain after the township board voted to reject a proposed 425 agreement with the city of Houghton at a special meeting Thursday.

The 425 or Conditional Transfer of Property Agreement was approved by the city Oct. 24 and required the township to do the same.

The agreement would have placed the township land on the site under city zoning and made Houghton responsible for services, with the exception of sewer. Fifteen mills would be levied with three going back to the township for their property involved.

The proposal was rejected by a five to two vote and followed a period of public comment where those in attendance largely opposed the Meijer store. Objections included taking customers from other area businesses and increased traffic so close to a residential area.

Trustee John Ollila made the motion to, “turn down the 425 agreement and pull out.” The motion was seconded by clerk Tressa Alvarado.

Ollila cited public diapproval and a misunderstanding over the portion of the millage going to the township, originally thinking it was for the entire area, not just the township land.

“That left a bad taste in my mouth, I won’t say I was misled, but I did not understand it,” he said.

The M-26 and West Sharon Avenue intersection is also the only space with a stop light in the township, making it a very desirable site, he said.

Trustee Bill Bingham also referenced the unique nature of the property in the township and the millage rate the municipality would receive. He suggested negotiating a setup more agreeable to the township.

“We should share in the entire project and not just the transfer property,” he said, indicating he did not feel the township was getting a fair financial shake.

Supervisor Bruce Petersen stated he did not think that would be possible to renegotiate as the municipality had no say in city property.

Trustee Bill Fink also noted that the site in question may be a unique one for the municipality, but that it had been sitting as a parking lot for many years.

Petersen and Fink cast the two votes rejecting the proposal to turn down the agreement with Alvarado, Ollila, Bingham, trustee Peggy Anderson and treasurer Betsy Smith voting for the rejection.

“From what I can see here, the majority of the people in this room do not want to see Meijer move onto that property,” Anderson said, before her vote.

Petersen and Fink noted that though the majority of the public hearing comments were opposed to the development, they felt the silent majority of the township were in favor of the move. 

“People just assume it’s going to happen,” Petersen said.

“I just don’t see the significant downside to the store,” Fink said.

He noted the mom and pop shops in the area had well-established niches leaving Shopco and Walmart as the real major competitors for a Meijer. He feels the store could bring more variety, and competition to that market, benefiting consumers.

With the vote against the agreement, the potential for a Meijer store at that site is now in question, Petersen said.

“We have to have a thirty day moratorium, that’s why it was selected for tonight. If it doesn’t go tonight, it’s not going to meet the drop-dead date for Meijer in their process,” he said.

However, the move still may be possible without the 425 agreement. For example, Meijer could pay taxes to both entities.

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