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Milan yearning for bigger business after Ford plant vacancy
The Ford Milan plant was a 1.2 million square-foot facility that provided jobs and was the single-biggest taxpayer for the city. But it's departure from the area has left a massive hole in the tax base and community's ability to grow.
MILAN, Mich. (FOX 2) - The mayor of Milan has a message for Ford: Sell your 1.2 million square foot factory.
What was once an integral provider of jobs for the Washtenaw County city and major contributor to the area's tax base is now an eyesore for its residents and a reminder of the downtrodden years that followed Ford's leaving.
"As you can see, the parking lots are empty. It's a ghost town out here," said Mayor Ed Kolar.
The Ford Milan plant was built in 1976. At the time, it was the single biggest taxpayer in the city. But by 2012, the automaker had basically moved out. Left behind was a city struggling with the void of manufacturing.
While the ebbs and flows of business follow more than a few economic currents flowing through the country, Ford's departure left a mark. Many residents remember a more prospering community.
"There was quite a few empty shops for a long time," said one resident.
"It was a difficult period when they went away," said Jim Latham, Owner Latham’s Hardware. "We went through a period of time with her actually quite a few empty store fronts."
For Shawn Montgomery, who has lived in the city for years, he recalls many of the buildings downtown as not being empty, but also not productive.
"All of these buildings right here are - well, they basically weren’t vacant, but they weren’t viable businesses," he said, sitting on a bench downtown.
Of all the imprints left on the city by the company leaving town, it maybe the value of the land that is most visible.
A city's taxes are based on the value of its property. But in 2008, Ford convinced the state to lower the taxable value of the site from $11.6 million to 7 million. In 2012, it was further lowered to $4.3 million.
Kolar believes if it was sold today, it could go for as high as $30 million.
"The schools don’t receive the funding they need. The city doesn’t receive the funding or infrastructure, you know, fire, police, everything," he said.
The list of woes doesn't stop there, however. The city of Milan is forced to pay for loans taken out to expand its water system for Ford. The automaker doesn't use the water now, but the bonds still need to be paid.
"Now the residents are paying for everything and the business community isn't paying their fair share," Kolar said. "Twenty-five percent of our water usage used to be the Ford plant water and sewer. Now it’s under 10%."
Several small businesses have bounced back, with a majority of the 44 sites going through significant renovations.
And according to Kolar, selling the manufacturing space may not be too far behind.
"We want Ford to sell the property," he said. "Our communications with Washtenaw County and Monroe County because we’re right on the border - is business is hopping and people want manufacturing space. Please sell this place."