Photo by HB Meeks/Tell Us Detroit

Detroit City Council wins COBO court decision: Chicago, New York eager to takeover North American Auto Show

By DAVID RUNK


DETROIT (AP) - A judge on Thursday blocked Cobo Center from being turned over to a regional authority that would have brought a $288 million upgrade and expansion of the downtown convention center.

But a motion to appeal already has been delivered to the Michigan Court of Appeals.

Wayne County Circuit Judge Isidore Torres ruled that Mayor Ken Cockrel Jr. had no authority to veto Detroit City Council's rejection of the plan. The council filed a lawsuit last month challenging the veto.

``The act (to create the authority) does not permit a mayoral veto of a resolution disapproving the transfer of a qualified convention facility, and ... the mayor's veto of the City Council's resolution disapproving the transfer of Cobo is null and void,'' Torres wrote in the ruling.

A motion to appeal Torres' ruling was delivered Thursday afternoon to the Michigan Court of Appeals, mayoral spokesman Anthony Neely told The Associated Press via e-mail.

The filing may not be official until Friday morning, Neely said.

Cockrel told reporters Thursday afternoon that the future of the city and the North American International Auto Show, which is held each year at Cobo, are at stake. He said he believes Torres ``made the wrong decision,'' and said a viable alternative hasn't been put forward.

``There is no plan that council is offering,'' Cockrel said.

City Council President Monica Conyers, who led opposition to the Cobo deal, said in a statement she was pleased with Torres' decision, which she called a ``victory for the citizens of Detroit.'' She said: ``We must continue our attempt at regional cooperation with everyone at the table.''

The North American International Auto Show, which brings in an estimated $500 million to the region each year, is Cobo's highest-profile event. Under state legislation, the authority is to take charge of Cobo on April 20.

Doug Fox, senior co-chairman for the 2010 show, said he was disappointed with the judge's ruling but remains hopeful a compromise can be reached. He said if all options become exhausted, organizers may have to consider whether the show can continue at Cobo.

``In order to protect the status of this show, the stature of this show, we will have to explore any or all options,'' Fox said when asked about whether organizers would consider a move to a suburban Detroit location.

Oakland County Executive L. Brooks Patterson, who had supported the Cobo deal, released a statement after the judge's decision saying he planned to work to see whether the auto show could be held in the suburbs.

Patterson said he has no interest in negotiating a deal that would be satisfactory to Conyers.

``What City Council has done is overturn five years of hard negotiation that was Detroit's last best chance to secure long-term funding for Cobo Hall and frankly the North American International Auto Show,'' Patterson said.

Torres heard arguments in the case March 26, but had delayed issuing a ruling while trying to facilitate an agreement between the mayor's office and council. The act was signed into law in January by Gov. Jennifer Granholm.

Granholm still believes a revitalized and expanded Cobo is critical, her spokeswoman Liz Boyd said.

``She is encouraging all party to the litigation to continue working together to ensure the project moves forward,'' Boyd said. ``Cobo is important for so many reasons, most important because of the job and economic impact it has on the city, region and the state.''

The plan was designed to increase Cobo's 700,000 square feet of convention space by 166,000 square feet, and improve the aging facility in part to help keep the auto show. Detroit was to get $20 million. The city also would lose the burden of Cobo's annual $13 million to $15 million operating debt.

Suburban taxpayers would pay for the expansion under the deal. The authority, with members including representatives of Wayne, Oakland and Macomb counties, would have the power to sell bonds and collect tax revenue from hotels and other sources.

Wayne County Executive Robert Ficano said his administration will continue to fight to keep the show in Detroit. He said the area can't afford to let Cobo fall into ruin, and called on opponents of the deal to find a solution.

``The opponents of the current Cobo plan must articulate a vision for the future of Cobo that the entire region will support,'' Ficano said in a statement.

The council balked at the plan partly because handing over Cobo would mean city residents and Detroit companies no longer would get first choice for jobs and contracts. And some wanted more representation on the authority.

The state's Cobo plan was shot down Feb. 24 by a 5-3 council vote. Cockrel vetoed the decision March 4.

The authority held its initial meeting last month, electing a chairman and setting a meeting schedule. Its chairman said the authority didn't plan to comment on Thursday's decision, since it wasn't a part of the lawsuit.