STAYING UPBEAT
Despite COVID-19 pandemic, city officials optimistic for new year
Though Royal Oak officials acknowledge challenges caused by the pandemic, they say they are upbeat going into 2021.
“It’s not all doom and gloom,” said Mayor Michael Fournier. “Some exciting things are coming in 2021 and provide us with hope.”
Next year will see the opening of the new Royal Oak police department building, expected to be fully operational in February, a new downtown park, and the long awaited 40-acre park at Normandy Oaks.
“And a number of parks have been getting new playground equipment and becoming more integrated into neighborhoods,” Fournier said.
More than $200 million in new projects are underway or nearing completion, said City Manager Paul Brake.
Among those are projects are the $70 million Henry Ford Health Systems outpatient facility and The Griffin, a $65 million, 245unit luxury apartment and retail development at Main Street and I- 696.
“Site work has begun on Baker College’s $27 million, 80,000 square-foot facility,” in the downtown, Brake said, and expected to open in 2022 with 1,500 students and 50 staff members.
Bamboo, a tech-focused incubator business that offers space for startups, is expanding and moving into a 20,000 squarefoot space downtown.
The city’s Downtown Development Authority has provided more than $2 million to help downtown businesses with direct aid and promotions since the pandemic started. The city allowed restaurants to set up outdoor areas, many of them with clear “igloo” shelters or tented spaces on public parking spaces.
Oakland County stepped up in early December with $7 million in CARES Act federal funds and $3 million from county general funds to help about 1,000 bars and restaurants countywide.
“We are OK at the moment but remain vigilant,” Brake said, adding that city officials are keeping on eye retaining businesses during the economic challenges caused by the pandemic.
Revenues from downtown parking decks are down, though Brake said funds from deck parking are expected to increase once the Henry Ford outpatient building opens sometime in the first quarter of 2021.
That building will be on the east side of the coming 2.2-acre downtown park named Centennial Commons, expected to be finished next summer or fall as Royal Oak celebrates its 100th anniversary as an incorporated city.
City officials are also keeping an eye on state and federal funding.
“One of the biggest impacts of COVID-19 is the uncertainty in funding from the state and federal government,” Fournier said, “and what the impact of COVID-19 will have on property values.”
Decreasing property values mean municipalities collect less in tax revenues, which can impact funding for public services and the general fund, he added.
“Our general fund is still healthy,” Fournier said. “We have kept a (reserve) fund balance to weather storms like this, but we can’t weather many more.”
Restaurants and other businesses that rely on people congregating have been hardest hit by the pandemic.
Royal Oak’s downtown has been a regional entertainment venue for decades. Though several bar restaurants have closed since the pandemic, the full effect on business survival won’t be known until COVID-19 infection rates decline enough for them to reopen again at capacity.
Even the new City Hall remains closed to the public, though the city has arranged
appointment, curbside and online services.
A timeline for reopening City Hall depends on rul
ings from state health officials monitoring the pandemic.
“With the rollout of the vaccine being distributed quickly in Oakland County I think we can overcome ( keeping City Hall closed) in the near future,” Brake
said.
Royal Oak is in a better position to survive a pandemic than it would have been a decade ago, chiefly because of the city’s move several years ago to attract a mix of residential, retail and office spaces downtown to generate foot traffic for other businesses, Fournier said.
“In the long term Royal Oak is a vibrant, desirable place to live,” he said. “I’m bullish on the long term recovery for us” from the pandemic.