June 2010
Township Law E-Letter
CITY DETACHMENT AND VILLAGE DISSOLUTION
4151 Okemos Road
Okemos MI 48864
517.381.0100
http://www.fsblawyers.com
Many townships across the state are neighbors to a city or village. Unfortunately, those municipalities are not always good neighbors. In the push to balance their own budgets, many cities choose to annex territory from adjacent
townships. A growing number of villages are attempting to reincorporate as
cities, removing vast areas from a township’s tax roll and taking a portion of
the township’s assets and funds as well. Townships that are in these positions
need to know about city detachment and village dissolution, which may help
to avoid or reverse the losses caused by annexation and incorporation.
CITY DETACHMENT
To reverse an annexation, or to gain leverage in
a boundary dispute, townships should consider
city detachment. This process allows property to
be removed from a city by a petition and an
election, requires no involvement before the
State Boundary Commission, and can be accomplished in a few months. Detachment has become the most potent defense available to
townships that face annexation threats.
Detachment Petition
The detachment process begins with a citizen
petition. It must be signed by qualified electors
and freeholders residing within the affected city
and township, in an amount equal to at least 1%
of the total combined city and township populations, or 100 signatures, whichever is greater.
The petition requires at least ten (10) signatures
from the city and at least ten (10) signatures
from the township, but none of the signers need
to be from the proposed detachment area. Different signing rules apply if the city is located in
2 or more counties.
To be valid, a map of the territory to be detached must be affixed to the petition. The petition also requires an accurate legal description
of territory to be detached. The petition must be
verified under oath by one or more petitioners,
addressed to the County Board Commissioners
and filed with County Clerk.
Review and Election
The County Board of Commissioners determines
the legal sufficiency of the petition. After its determination, the sufficiency and legality of the petition may not be questioned in any proceeding.
If the petition is found legally sufficient, the
Board of Commissioners submits the proposed
detachment to the electors of the entire city and
the entire township. At the election, votes are
counted in the city and township combined. A
majority of the total combined vote determines
the outcome. Following the election, when the
results are filed with the Secretary of State and
the County Clerk, the detachment takes effect.
Winning the Election
Instead of battling before the Boundary Commission, detachment allows local voters to settle the
dispute in a democratic manner. The township
may handle the petition, map and legal description preparation, but remember that you may not
use township funds to advocate for or against the
detachment election proposal. Township officials
may participate on their own time and cost. To
comply with the campaign finance laws, a ballot
Township Law E-Letter
question committee should be organized to solicit and spend election contributions. Grass
roots participation is a must to win a detachment election. There may be broad public dissatisfaction with the city council, both within
the city and the township. That dissatisfaction
may be the source of a great deal of support for
detachment on both sides of the city-township
boundary.
Fahey Schultz Burzych Rhodes PLC
gotiating favorable Act 425 agreements with the
cities.
VILLAGE DISSOLUTION
Villages are increasingly turning to city incorporation in hopes of reversing their financial misfortunes. This technique is usually misguided, since
the cost of incorporation, the loss of townshipfunded services, and the high cost of operating as
a city will only tend to worsen the village’s fiscal
Case Studies
problems. A far better answer for villages in fiWhen it was faced with an announced annexa- nancial trouble is to dissolve the village and retion threat from the city, Brighton Township combine the village government with the townwas able to avoid the threat simply by mention- ship. Authority for village dissolution is in the
ing detachment. Since the city population was General Law Village Act, but the process applies
much less than the township’s, the city was to home rule villages as well. A Court of Appeals
concerned that it might lose a detachment decision just last week allowed a village dissoluelection. It dropped its annexation threat.
tion election to proceed in August 2010 involving
But even townships with much lower popula- the Village of Sand Lake and Nelson Township.
tions than their city neighbors have used de- Village of Sand Lake v Nelson Township (May 26,
tachment successfully. In Wheatfield Town- 2010).
ship, the first township to hold a successful de- Initiation Process
tachment election, township and city voters approved the detachment of a square mile of the The village dissolution process starts with a peticity even though the township population was tion by 15% of village voters. Once circulated, the
petition verification is done by the township clerk.
only 1/3 that of the city.
If the petition is valid, the law gives the village
Big Rapids Township was also successful in a council two different procedures for dissolution
detachment election, although its population to choose from.
was only ¼ of the city’s. With an annexation in
progress in the Boundary Commission, the Village Council’s Choices
township launched a detachment of the entire In the first procedure, the village council may
western edge of the city, including the city air- choose an immediate election. The election takes
port, pool, and cemetery. The detachment was place in the township and the village combined,
successful, and as a result the property the city and the village will be dissolved if a 2/3 majority
was attempting to annex was no longer con- of the combined electors who vote in the towntiguous to the city. The Boundary Commission ship and the village support the dissolution.
had no choice but to dismiss the pending anThe alternative choice available to the village
nexation because of lack of contiguity.
council is to create a “disincorporation commisMany more townships, including Sturgis Town- sion” to draft a plan for village dissolution, which
ship, Eaton Rapids Township, and Grant Town- is submitted to the township board and the vilship, have used the possibility of detachment lage council for ratification. If both the township
to bring their cities to the bargaining table. In board and village council ratify the plan, the diseach case, the townships were successful in ne- solution will occur if it is approved by a simple
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Township Law E-Letter
Fahey Schultz Burzych Rhodes PLC
majority of the electors voting separately in the
township and in the village. If either the township
board or the village council fail to ratify the plan, then
the village will be dissolved if a 2/3 majority of the
combined voters in the township and the village support the dissolution.
cial assessments.
Other Considerations
We Can Help
Dissolution provides a way to eliminate the costs of
village government and reduce the tax millage formerly paid by village property owners. While a dissolution petition is pending, a village annexation or incorporation proceeding may not be filed. If the village
is dissolved, all its assets and liabilities are assumed
by the township, so the financial condition of the village may be an issue at the election. After dissolution,
special services provided to former village residents
may be continued and supported by user fees or spe-
The lawyers of Fahey Schultz Burzych Rhodes PLC
have more than 100 years of combined experience assisting townships with annexation, detachment and
village to city incorporations. We work with townships
to aggressively defend their boundaries and provide
experienced counsel regarding alternatives that may
benefit the entire community. Our lawyers have
guided many townships through municipal boundary
disputes. Please contact us if you need assistance.
There have been no recent successful village dissolutions in Michigan. As economic pressure mounts on
village government and more village residents look for
alternatives to city incorporation, we expect to see increased interest in village dissolution.
Your Township Attorneys . . . In The UP !
Bill Fahey will present 2 workshops on Friday, August 6, at the MTA’s UP Summit in Harris
(near Escanaba), a first-ever MTA event. Hear Bill explain “Township Contracts” (before
lunch) and bring your questions to his session on “Ask the Experts” (after lunch). For more information on this MTA event, or to register, please contact MTA at 517.321.6467 Ext. 251.
Fahey Schultz Burzych Rhodes PLC, Your Township Attorneys, is a Michigan law firm specializing in the
representation of Michigan townships. Our lawyers have more than 100 combined years of experience in
township law, and have represented more than 100 townships across the state of Michigan. This publication is intended for our clients and friends. This communication highlights specific areas of law, and is not
legal advice. The reader should consult an attorney to determine how the information applies to any specific situation.
William K. Fahey
4151 Okemos Road
Okemos MI 48864
517.381.3150
[email protected]
Copyright © 2010 Fahey Schultz Burzych Rhodes PLC