City Council avoids referendum on MGM’s temporary casino

Friday, Oct. 16, 1998 | 11:42 a.m.

The council on Thursday repealed a zoning change that a group called the Community Coalition had said it wanted to let voters decide in a referendum unless the council repealed it.

The council did vote to repeal the change, but then voted 7-2 for a revised ordinance immune from a referendum because it links zoning to city spending on casino-related costs of parking and police and fire protection. The city charter prevents referendums from overturning appropriations attached to them.

The ordinance affects a former Internal Revenue Service building, which MGM Grand plans to use as a temporary casino until permanent gambling halls open.

The Community Coalition opposes MGM Grand because it has the fewest black investors among the three casino investment groups picked by Mayor Dennis Archer. The group wants one of the licenses awarded to Detroit businessman Don Barden, whose application was rejected last spring.

Some council members said they were concerned that by bypassing the referendum, the council reduced citizens' rights.

Councilwoman Brenda Scott voted no, saying the council could have passed a resolution instead of attaching appropriations to the zoning change.

"We thought it was a direct attempt to circumvent the ability of the people of Detroit with the right to petition, period," Ms. Scott said. "Supposedly we live in a democratic society, but obviously not in the city of Detroit."

Councilman Nicholas Hood also voted no.

"We have set a very dangerous precedent which says in effect that the City Council and the mayor do not care about voter referendums," he said.

While disagreeing with the council's tactics, Hood said he supported the changes made in the revision.

Councilman Clyde Cleveland voted for the new zoning ordinance and said he didn't think the council's strategy violated the city charter. "If I did, I would not have voted for it," he said.

Community Coalition president Ernest Johnson said the group would either challenge the council's actions in court, or seek yet another referendum.

"We're already talking to a lawyer," Johnson told The Detroit News. "They're not going to win in court."

Oscar loves forcing developers to sign labor peace agreements, Culinary loves the city's downtown plans and all is forgiven (1 Comment)

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