Officials in Empire worried about an executive order essentially stopping payment on funds to improve the municipal beach area can breathe a collective sigh of relief.

The grant will be honored, pledges the chair of the Michigan Natural Resources Trust Fund, since it is constitutionally protected.

"All of the projects that have been approved by the Trust Fund and the Legislature will be honored," said Bob Garner of Cadillac, who chairs the Trust Fund Board. He had not been contacted directly about the order, but learned of it through media outlets and a packet delivered yesterday in preparation for the Trust Fund Board's next meeting April 18.

However, some $3.1 million for three other grants in Leelanau County recommended by the Trust Fund in December 2006 may take longer to be released, Garner said.
Empire Village has been scrambling since receiving notice of the order last week as it had already ordered the demolition of existing restroom facilities at the popular Lake michigan beach.

"I was away on vacation and found out about the moratorium when I got back last week," said Linda Payment, chair of the Empire Village Council park and recreation committee.

The order by Gov. Jennifer Granholm was issued across-the-board as the state grapples with a $2.1 billion budget deficit that grows larger by the day. Garner speculates that the stop-spending ultimatum will allow time to re-evaluate all state expenditures — and raise the stakes in a budget showdown being played out in Lansing.

"I would think the (executive order) is for a very good reason. This is not a person running for office. This may be to create drama," Garner said.

Empire Village was awarded a $481,200 grant for its beach project, and given the go-ahead by DNR officials last fall to seek bids. Planned are new restroom facilities, a redesigned parking area, a new basketball court and retaining wall, and other improvements. A private fundraising effort spearheaded by village residents will pay for new playground equipment.

The council on March 20 approved a bid of $331,422 from Kal Excavating of Omena to begin work on the project, as recommended by project engineer Klaus Heinert of Gosling-Czubak engineering services. A preconstruction meeting scheduled for last week was canceled in the wake of the uncertain status of the funds.

Village officials want to avoid jeopardizing a tight timeline that calls for the beach to be ready for public use by the height of the tourism season in July. Darlene Perfect, who is coordinating the grant for the village, said she is awaiting approval from a DNR staffer before letting the contract.

Right now, Empire has no place to "go" — literally. Village Department of Public Works employees have already demolished and removed the former beach house restroom and changing facilities. Also gone are logs that kept beach sand from clogging parking areas.

Payment expects the village beach committee to hold a special meeting next week to consider alternatives should the project be delayed, including having portable toilets placed at the beach.

While the Empire project was approved through past state Legislative action, three other projects valued at $3.3 million in Leelanau County that were recommended by the Trust Fund in December 2006 may face more scrutiny as politicians search for ways to balance the state budget, Garner said.

But Garner expects the Trust Fund recommendations to be approved — eventually.

"Those may take a little longer," said Garner. "You never know until the governor signs the bill. But historically, (Trust Fund recommendations) have always held up.

There is apparently a lot of politics being played within the Legislature."

Leelanau projects still requiring Legislative approval are:

• $800,000 to fund Leelanau County purchase of 93 acres in Bingham Township where the former Veronica Valley Golf Course was once located.

• $394,200 as requested by Suttons Bay Township to purchase 120 acres owned by the Herman family at the southwest cover of Herman Road and Co. Rd. 633.

• $2,043,800 for Leelanau Conservancy acquisition of a conservation easement on 51 acres with public access to Leelanau State Park.
Conservancy executive director Brian Price has received no solid answers about the future of the Leelanau Township project from state officials.

"We're getting conflicted signals on this. I don't think anyone really knows for sure if our grant funds, or any grant funds, are going to be released. Everything is up in the air."

Enterprise reporter Chris Olsen contributed to this report.