LANSING – Detroit Mayor Ken Cockrel Jr. followed through Wednesday on his threat to veto the city council’s rejection of a deal to expand and repair the Cobo Hall convention under a regional authority, but still to come is an expected legal battle from the council. The Detroit Area Auto Dealers Association has threatened to move the annual North American International Auto Show out of Detroit unless Cobo is expanded.
Gov. Jennifer Granholm praised the veto and legislative leaders said they were not interested in new legislation to restructure the deal.
City Council President Monica Conyers, who led the 5-3 vote last week to reject the deal, has said the dispute will be taken to court, arguing that the legislation setting up the new authority reserved to the council the power to approve the deal. Critics also said the city was not getting enough in return for its investment over the years. She was unavailable for further comment Wednesday.
At a late afternoon press conference, Conyers said the council would review its options, but would not likely consider an override which would take a two-thirds majority of the members. “If he wants a court battle, I guess we’ll have a court battle,” she said.
Meanwhile legislative leaders have given a cold shoulder thus far to any further action on amending the Cobo legislation, saying the state has too many other issues to focus on.
House Speaker Andy Dillon (D-Redford Twp.) told reporters he hoped the city would resolve the conflict and soon, since the state has a full agenda of other issues to turn toward. A spokesperson for Senate Majority Leader Mike Bishop (R-Rochester) said much the same, adding that the state had put together a compromise on Cobo that had met the demands and concerns of all sides.
Cockrel, saying the project is important for the city, said, “I fully expect my veto to stand. I therefore look toward to the expansion of Cobo and attracting bigger and better conventions and shows to the region.”
In saying the governor applauded the action, a spokesperson added Granholm believes the mayor clearly has the authority to block the council’s action with a veto.
Earlier, Granholm said discussions were underway behind the scenes to make sure the project can proceed.
The governor said it is important for the state and city economically that the expansion take place. She said the transfer of the facility to a regional authority with each member entity having veto power “is a good deal.”
Oakland County Executive L. Brooks Patterson, who was deeply resistant to re-opening the Cobo legislation, said in an interview the veto means “we’re back on track as far as I’m concerned and it’s time to move forward.” He noted the deal was the product of five years of negotiations, and “everybody gave a little bit.”
Patterson added his own research as well as case history in an Oakland County case supports the mayor’s legal power to veto the council’s resolution under the general powers reserved to the office. “He’s on safe legal grounds,” he said.
Cockrel said he does not share the concerns of council members and some legislators that Detroit did not do well under the deal, including the lack of city preferences in hiring and contracting that exist under its current operation. He noted the single Detroit representative on the regional authority, like the other four, has the power to block any action.
He said the deal paving the way for a $288 million expansion “is good for the region, but it is even better for Detroit and the people of Detroit.”
The agreement approved late last year transfers Cobo to the regional authority, which is to pay the city $20 million and take on the obligations to operate and improve the facility, including the expansion sought by the North American International Auto Show.
Granholm spokesperson Liz Boyd said the governor and others who helped to forge the agreement were interested in preserving it. “The Cobo agreement preserves an important city asset that will bring $670 million in revenues and provides over 16,000 jobs for the city and region,” she said. “Obviously, this allows the North American International Auto Show to continue to call Detroit home.”
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