The Ann Arbor City Council raised significant concerns regarding the University of Michigan’s proposed acquisition of Concordia University Ann Arbor’s 187-acre property, emphasizing the impact on the city’s finances and development plans. Councilmembers worry that the University’s tax-exempt status will remove the land from the tax rolls, hindering funding for essential city services and ongoing improvement projects.
Councilmember Jon Mallek criticized the purchase, arguing that losing potential tax revenue jeopardizes efforts to improve roads, expand affordable housing, and enhance local education and climate initiatives. He highlighted the city’s existing challenges accommodating the University’s growing student population and workforce, noting inadequate investment in infrastructure to meet these demands.
Mallek pointed out that with nearly 9,000 University employees and rising enrollment, the burden of managing housing, transportation, and infrastructure falls disproportionately on the city. Purchasing the Concordia property, he said, would further restrict the city’s ability to develop affordable housing and generate local tax income vital for community services like schools and parks.
The council unanimously approved a formal resolution expressing these concerns and opposition to the acquisition, signaling clear resistance to the University’s expansion plans within city limits.
In the same meeting, union representatives from the Ann Arbor chapter of the American Federation of State, County & Municipal Employees (AFSCME) addressed the council, spotlighting the low wages paid to city workers. David Kastner, AFSCME Local 369 president, decried the wage gap between municipal employees and administrative staff, pointing out that many city workers struggle to afford living in Ann Arbor.
Kastner described the financial hardships faced by employees forced to seek additional income sources such as donating plasma or working second jobs, questioning the city’s claim to being a “model city” under these conditions. The union’s remarks underlined the urgent need for better compensation policies to support the city workforce effectively.