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THURSDAY, JUNE 24, 1999 AT 6:00 PM



Mayor ProTem Crawford called the meeting to order at 6:05 p.m.


ROLL CALL: Mayor McLallen (absent/excused), Mayor ProTem Crawford, Council Members DeRoche, Kramer (late-in Executive Session), Lorenzo, Mutch, Schmid (absent/excused)




  1. Schedule an Executive Session for June 24, 1999 to discuss City Attorney’s Opinion

    CM-99-06-158: Moved by Mutch, Seconded by Lorenzo, CARRIED

    UNANIMOUSLY: To schedule Executive Session on June 24, 1999 to discuss City Attorney’s Opinion


    Vote on 99-06-158: Yeas: Crawford, DeRoche, Lorenzo, Mutch

    Nays: None


  3. Recess to Executive Session


CM-99-06-159: Moved by Lorenzo, Seconded by Mutch, CARRIED

UNANIMOUSLY: To Recess into Executive Session


Vote on CM-99-06-159: Yeas: Crawford, DeRoche, Lorenzo, Mutch

Nays: None


Mayor ProTem Crawford said they would recess into Executive Session and then come back to discuss item 3.


Council returned from Executive session at 6:50 p.m.


3. Ice Arena Operations and Management Contract


Dan Davis said they have had numerous problems especially in the past few weeks regarding the management and operation of the ice arena. Those include the lack of maintenance and care of the facility. Terry Seyler of Center Ice Management was notified to rectify those situations, but some of those items have not been rectified in a timely fashion. In addition, most recently with the hiring of skating school instructors for the summer season, he has failed to follow proper hiring procedures.


Mr. Davis said concern with revenues has been ongoing for the last four months. He said the revenues projection as outlined in the fiscal year budget by Center Ice Management was not being met. Approximately three months ago, those numbers were at about a $250,000 deficit projection. To date, projections show that number will probably climb to a $390,000 deficit by the end of the fiscal year.


CM-99-06-160: Moved by Mutch, Seconded by Lorenzo, CARRIED

UNANIMOUSLY: That the Novi City Council authorize the administration to give Center Ice Management a 60 day notice of termination of contract for failure to provide revenues which meet direct expenses and debt service and for malfeasance, misfeasance, and nonfeasance in the management of the operations of the Novi Ice Arena.




Council Member Kramer said he would be supporting the motion based on recommendations from both Community Clubs and the administration. He said they have been concerned over the facility for the last number of months and have come to the point where action is appropriate.


Council Member DeRoche said as critical as he has been of this project and he would continue to keep a critical eye on the situation, it was important that the administration take these steps to get the ice arena working and get it profitable as their responsibility to the citizens. He said he appreciated the actions being recommended and would support the motion.


Vote on CM-99-06-160: Yeas: Crawford, DeRoche, Kramer, Lorenzo,


Nays: None




There being no further business before City Council, the meeting was adjourned at 6:55 p.m.






Hugh D. Crawford Nancy Reutter


Date Approved: July 12, 1999