The County has taken an option to purchase the subject lands for $190,000 in contemplation of receiving reimbursement from the Federal Government in the amount of $65,500 under provisions of the Land and Water Conservation Fund Act, PL 88-578. The Act authorizes the United States Department of the Interior, through the Heritage Conservation and Recreation Service (HCRS) to provide grants to states or local units to assist in the acquisition or development of lands for public outdoor recreation.

'K. Cost of Real Property Purchased from Other Public Agencies. The actual cost to the participant of land purchased from another public agency may be eligible for matching, subject to the following conditions:

(1) The land was not originally acquired by the other agency for recreation, nor has it been so managed while in public ownership.

(2) No Federal assistance was involved in the original acquisition by the other agency.

(3) The selling agency is required by law to receive payment for land transferred to another public agency. Examples would be public school land that can be used for non-school purposes only through payment to the school agency, or excess State prison lands that can be transferred to local government use only on a purchase basis. The support ceiling will be based on the price paid by the participant for the property or the fair market value, whichever is less. In some instances the selling agency may be permitted a choice between various State laws which would set the selling price at different levels depending upon which law is chosen by the agency. For example, various laws may be in force which would allow the agency to transfer the real property to another public agency for fair market value, for reimbursement of unpaid taxes, as a donation or for other consideration. Fund assistance will be limited to the minimum amount for which the property could be transferred legally.'

'Except as otherwise provided in this constitution, no city or village shall have the power to loan its credit for any private purpose or, except as provided by law, for any public purpose.'

'But even treating the case as one in which no value was paid, the courts below were correct.

'Constitutionally (Const 1963, art 7, Sec. 26), a city is prohibited from loaning its credit for any public purpose 'except as provided by law.'

'This means that in the absence of statutory authority, the city cannot give away urban renewal land, even for a public purpose.'

'Each city may in its charter provide:

' (3) For the maintenance, development, operation, of its property and upon the discontinuance thereof to lease, sell or dispose of the same subject to any restrictions placed thereupon by law: Provided, That on the sale of any capital asset of a municipally owned utility the money received shall be used in procuring a similar capital asset, or placed in the sinking fund to retire bonds issued for said utility.'

'The City shall have, and it is hereby given the power to purchase or condemn private property, within or without the City, for any public use within the scope of its power. To that end the City Commission, subject to the general laws of the State, whenever it deems the same essential for the welfare of the inhabitants of the City, may acquire by gift, purchase, condemnation or otherwise, the necessary property for the purpose in view. The City Commission, subject to the general laws of the State, shall have the power to hold and improve such property, and to convey or dispose of the same.'

'Our Supreme Court has ruled that a sale is parting with one's interest in something for valuable consideration. Steadman v Clemens, 321 Mich 54, 59; 32 NW2d 45, 48 (1948). . . .

'Valuable consideration for the sale of land need not be the payment of money. Valuable consideration may include acts to be done after the conveyance involving the use of the property by the grantee in a manner that will benefit the grantor. Smith v Maxey, 186 Mich 151, 165-166; 152 NW 1011, 1016 (1915); Stanley v Schwalby, 162 US 255, 276 (1896).'

'Sec. 1. Any city, village, county or township may operate a system of public recreation and playgrounds; acquire, equip and maintain land, buildings or other recreational facilities; employ a superintendent of recreation and assistants; vote and expend funds for the operation of such system.

'Sec. 3. Any city, village, county, township or school district may operate such a system independently or they may co-operate in its conduct in any manner in which they may mutually agree; or they may delegate the operation of the system to a recreation board created by any or all of them, and appropriate money, voted for this purpose, to such board.'