GRAYLING -- Politicians are pushing state natural resources officials to approve a contentious deal to sell 1,700 acres of public forest for a theme park in Crawford County, the agency's director said.
"There's a fair amount of political pressure to release this land, coming from the Legislature," said Rebecca Humphries, director of the Michigan Department of Natural Resources.
State Rep. Joel Sheltrown, D-West Branch, said he and state Rep. Matt Gillard, D-Alpena, would co-sponsor a bill to sell the land to Axiom if Humphries opts against the proposed $5.2 million land sale. The proposal is on the Michigan Natural Resources Commission's Aug. 14 agenda.
"She better have some pretty good reasons, if she says no, and we would go forward with the conveyance of the land legislatively," Sheltrown said.
Gillard, who represents Crawford County, could not be reached for comment.
Axiom Entertainment of Rochester proposed a $161 million amusement park for a tract of vacant state land in Grayling Township, near Four Mile Road and Interstate 75. The plan calls for roller coasters, water slides, the world's tallest Ferris wheel and an old military aircraft carrier on display, along with surrounding campgrounds and businesses.
Many local residents support the project, believing it could create needed jobs and revenue to the economically troubled area. Others worry about adverse environmental impact and the estimated $11.5 million in state infrastructure grants that could be awarded to the developer.
For months, DNR officials said they would not part with the property unless Axiom proved it could finance the entire development, but now may agree to the sale to end a deadlock.
Humphries said the lead developer, Patrick Crosson of Axiom, has not been able to gain financial backing until he can show investors that the state will sell the land. If the state approves the land deal next month -- even if it's contingent on full financing -- that will better allow him to court financiers for the park, she said.
Sheltrown said he wants the DNR to sell the land and give Axiom a chance to develop a park, despite a shaky economy and questions about the developer's ability to secure financing.
Sheltrown contends the opportunity to increase jobs and tourism is worth the risk.
"A lot of people have failed in business. There's no guarantee," he said.
If the Legislature passes a bill to sell the land, certain environmental safeguards may not be ensured as they would through the DNR, Humphries said.
Axiom spokeswoman Susan Haddad said Humphries' approval would allow the company to move ahead with the development process.
Humphries said she's yet to decide whether to approve the deal.
"There have been a lot of questions about whether it's a financially viable project and if it's sustainable," Humphries said.
Concerns also exist about a federal investigation into one of the apparent investors, as well as Crosson's personal bankruptcy history and a similar theme park project in Indiana on which he worked that eventually failed, Humphries said.
"And we don't want a development that will be hazardous to the environment and put the Au Sable River at risk," she said.
Even if approved, the land deal could fall apart if certain stipulations are not met, officials said.
"We have an obligation, a fiduciary responsibility, to be good stewards of the people of Michigan's land," said Keith Charters, of Traverse City, chairman of the NRC, which advises Humphries.
State officials have a number of stipulations that must be met before the land sale is finalized, particularly independent confirmation of complete financing. They don't want the land sold and a theme park to never materialize, Charters said.
In addition, the state also requires: the developer to acquire all needed state and federal environmental permits; structure of the land sale in four phases; placement of both property deeds and purchase money in escrow and released in time with the development; and, an official start date for work.
The whole deal will collapse if work hasn't begun by that yet undetermined date, state documents show.
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