The Regular Commission Meeting of the City of Muskegon was held at City Hall, 933 Terrace Street, Muskegon, Michigan at 5:30 p.m., Tuesday, August 10, 1999.

Mayor Nielsen introduced Rev. Wilson of Our Fathers Baptist Church. Rev. Wilson offered a prayer after which members of the Commission and members of the public joined in reciting the Pledge of Allegiance to the Flag.

67. CONSENT AGENDA: All items listed under the Consent Agenda have been considered by City Commission, at their Monday evening work session, to be routine in nature and will be enacted in one motion. There will be no separate discussion of these items. If discussion of an item is required, it will be removed from the Consent Agenda and be considered separately.

1. Approval of Minutes.

CITY CLERK

SUMMARY OF REQUEST: To approve the minutes of the Regular Commission Meeting that was held on Tuesday, July 27, 1999.

FINANCIAL IMPACT: None

BUDGET ACTION REQUIRED: None

STAFF RECOMMENDATION: Approval of the minutes.

COMMITTEE RECOMMENDATION: Committee of the Whole recommended approval.

2. Resolution – Proposed Charter Amendment Chapter III, Section 10.

CITY ATTORNEY/CITY CLERK

SUMMARY OF REQUEST: To adopt the resolution to propose for adoption by the voters of the City of Muskegon an Amendment to the City Charter concerning the filling of vacancies in the offices of Mayor and City Commissioners.

FINANCIAL IMPACT: None

BUDGET ACTION REQUIRED: None

STAFF RECOMMENDATION: Adoption of the Resolution.

COMMITTEE RECOMMENDATION: Committee of the Whole recommended approval.

3. FIRST READING – Amendment to Chapter 2, Section 2-6.1 (Industrial and Commercial Tax Exemptions) of the City Code of Ordinances regarding fees.

SUMMARY OF REQUEST: To adopt the ordinance amending Chapter 2, Section 2-6.1 entitled Industrial and Commercial Tax Exemptions setting fees. These fees have already been included in our Master Fee Resolution, which is adopted by City Commission each year. The Code of Ordinances needs to be corrected to reflect these changes.

FINANCIAL IMPACT: None

BUDGET ACTION REQUIRED: None

STAFF RECOMMENDATION: Adoption of the Ordinance.

COMMITTEE RECOMMENDATION: Committee of the Whole recommended approval.

1. FIRST READING – Amendment to Chapter 12, Section 12-87 to add "Use or possession of tobacco products by minors in public, to prescribe a penalty and special conditions of probation".

LEGISLATIVE POLICY COMMITTEE

SUMMARY OF REQUEST: To adopt the ordinance amending Chapter 12, to add Section 12-87 to the City Code of Ordinances to prohibit the use or possession of tobacco products by minors in public, and to prescribe a penalty and special conditions of probation. This ordinance addition replicates the state law.

FINANCIAL IMPACT: None

BUDGET ACTION REQUIRED: None

STAFF RECOMMENDATION: Adoption of the Ordinance.

COMMITTEE RECOMMENDATION: Committee of the Whole recommended approval.

2. FIRST READING – Amendment to Chapter 13 of the City Code of Ordinances to add Section 13-2 (Muskegon Channel – Slow – No Wake Speed).

LEISURE SERVICES/CITY CLERK

SUMMARY OF REQUEST: To adopt the ordinance amending Chapter 13, of the City Code of Ordinances to add Section 13-2 which regulates a slow – no wake speed in Muskegon Channel.

FINANCIAL IMPACT: None

BUDGET ACTION REQUIRED: None

STAFF RECOMMENDATION: Adoption of the Ordinance.

COMMITTEE RECOMMENDATION: Committee of the Whole recommended approval.

3. Recognition as Non-Profit Organization – Rainbow Pet Care Center.

CITY CLERK

SUMMARY OF REQUEST: Approval of a resolution recognizing Rainbow Pet Care Center as a non-profit organization.

FINANCIAL IMPACT: None

BUDGET ACTION REQUIRED: None

STAFF RECOMMENDATION: Approval of the request.

COMMITTEE RECOMMENDATION: Committee of the Whole recommended approval.

4. Approval of Second Quarter 1999 Budget Reforecast.

SUMMARY OF REQUEST: At this time staff is transmitting the Second Quarter 1999 Budget Reforecast which outlines several proposed changes to the original budget that have come about as result of changes in policy priorities, labor contracts, updated information, or other factors.

FINANCIAL IMPACT: The first quarter 1999 Budget Reforecast reflects the following changes for the General Fund budget.

• Revenues are up $776,992 due primarily to the new state shared revenue formula, growth in the city income tax and inclusion of LDFA pass-through taxes;
• Expenditures are up $888,851 due to higher labor costs, retroactive payments to police patrol and command units, and to the fact that thermal imaging equipment purchased for area fire departments in 1998 was not paid for until 1999.
• Overall the projected year-end 1999 fund balance is $201,257 short of the targeted balance of 10% of prior year expenditures.

1. Approval of Contract between City of Muskegon and Couture Environmental Strategies LLC to Provide Assistance for Brownfield Redevelopment Activities.

PLANNING & ECONOMIC DEVELOPMENT

SUMMARY OF REQUEST: To approve the Contract between the City of Muskegon and Couture Environmental Strategies LLC to continue to provide assistance for brownfield redevelopment, specifically as it relates to the Brownfield Plan. The former contract with Ms. Couture (which was initially with Miller, Canfield, Paddock and Stone, P. L. C.) was approved by the Commission in September 1997 for $10,000. We are nearing the expenditure of these initial funds and need to extend our contract with Ms. Couture.

FINANCIAL IMPACT: The cost for services to the City is $10,000. It is expected that approximately $5,000 will come from the 1999 budget and $5,000 will come from the 2000 budget.

BUDGET ACTION REQUIRED: None

STAFF RECOMMENDATION: To approve the Contract and authorize the Mayor and Clerk to sign the Contract.

COMMITTEE RECOMMENDATION: Committee of the Whole recommended approval.

2. Approval of Contract for services related to Preparation of the Second Round Clean Michigan Initiative (CMI) Waterfront Redevelopment Grant.

PLANNING & ECONOMIC DEVELOPMENT

SUMMARY OF REQUEST: To approve the Contract between the City of Muskegon and Couture Environmental Strategies LLC for services related to the submission of the second round CMI Waterfront Redevelopment Grant. Ms. Couture assisted the City with the submittal of the first round CMI grant, and she continues to assist us with monitoring the grant at the State level. This contract will extend her assistance for the second round of CMI funding.

FINANCIAL IMPACT: Costs for these services will not exceed $4,000 unless specifically authorized by the City.

BUDGET ACTION REQUIRED: None

STAFF RECOMMENDATION: To approve the contract and authorize the Mayor and Clerk to sign the contract.

COMMITTEE RECOMMENDATION: Committee of the Whole recommended approval.

3. Sale of City Owned Vacant Lot on Dudley.

PLANNING

SUMMARY OF REQUEST: Approval of resolution to sell an unbuildable vacant lot located on the corner of Dudley and Creston Streets, to Ted & Lori Hall of 1386 Dudley for $100. Subject lot is adjacent to Halls’ current property and would allow them to build on to their existing property. The Halls have already made a deposit to secure subject property and there was no interest by adjacent property owners.

FINANCIAL IMPACT: Sale of the property will relieve the City of further maintenance costs, and will allow the property to be placed on the tax roll.

BUDGET ACTION REQUIRED: None

STAFF RECOMMENDATION: To approve the sale of parcel 61-30-36-204-024 and to authorize the Mayor and City Clerk to sign the attached resolution.

COMMITTEE RECOMMENDATION: Committee of the Whole recommended approval.

4. Sale of City Owned Vacant Lot on Franklin.

PLANNING

SUMMARY OF REQUEST: Approval of resolution to sell the north half of parcel #61-30-36-204-024, to Mr. Michael & Mrs. Cheri Knowles of 1873 Franklin for $50, and the south half of the same parcel to Ms. Leslie Lowing of 1885 Franklin. Subject lot is adjacent to both parties’ current property and will allow them to build on to their existing property.

FINANCIAL IMPACT: Sale of the property will relieve the City of further maintenance costs, and will allow the property to be placed on the tax roll.

BUDGET ACTION REQUIRED: None

STAFF RECOMMENDATION: To approve the sale of parcel #61-30-36-204-024 and to authorize the Mayor and City Clerk to sign the resolution.

COMMITTEE RECOMMENDATION: Committee of the Whole recommended approval.

5. Window Replacement.

WATER FILTRATION PLANT

SUMMARY OF REQUEST: Replacement of windows in the following areas at the Water Filtration Plant: 1964 Intake Shorewell Building, 1972 High Service Pumphouse, Passageway to Old Pumphouse, Passageway to Intake Shorewell.

FINANCIAL IMPACT: Project cost of $41,861.00 to be applied to Water Revenue Improvement Bond Issue.

BUDGET ACTION REQUIRED: None. Project cost anticipated in Bond Issue.

STAFF RECOMMENDATION: Recommend Mayor and City Commission endorse and enter into contract with W&D Glass for replacement of windows at the Water Filtration Plant at a cost of $41,861.00.

COMMITTEE RECOMMENDATION: Committee of the Whole recommended approval.

6. Military Leave Policy.

ADMINISTRATION DIVISION

SUMMARY OF REQUEST: Since the Gulf War in the early 90’s, across the country, we’ve seen an increase in the number of Reservist called to active duty in trouble areas around the world. While many of our employees who are Reservist have yet to be called to active duty, we feel that there is a need to have a policy in place that spells out how such a request will be addressed by the City. Therefore, the proposed policy is an attempt to establish a clear direction on how request for Military Leave of Absence is addressed by our organization.

FINANCIAL IMPACT: None at this time.

BUDGET ACTION REQUIRED: None

STAFF RECOMMENDATION: Staff recommends approval.

COMMITTEE RECOMMENDATION: Committee of the Whole recommended approval.

7. Commission Goals 1999-2000.

SUMMARY OF REQUEST: The City Commission held its annual goal setting session on June 14, 1999. The purpose of that meeting is to review existing goals and objectives and set new goals for the coming budget year. At the June 14 meeting, the City Manager provided the Commission a set of department goals for their consideration and asked that those goals be adopted as the Commission’s goals for the 1999-2000 period.

FINANCIAL IMPACT: None at this time.

BUDGET ACTION REQUIRED: None at this time.

STAFF RECOMMENDATION: Staff recommends approval of the proposed 1999-2000 goals.

COMMITTEE RECOMMENDATION: Committee of the Whole recommended approval.

SUMMARY OF REQUEST: To adopt the ordinance amending Chapter 14, Section 14-20 of the City Code of Ordinances to provide for the following fines for violation of the Noise Ordinance:

FINANCIAL IMPACT: Unknown

BUDGET ACTION REQUIRED: Unknown

STAFF RECOMMENDATION: Adoption of the Ordinance.

COMMITTEE RECOMMENDATION: Committee of the Whole recommended approval.

1. CONTINUED FROM JULY 27 MEETING: Spreading of the Special Assessment Roll – Sidewalk Replacement Program for 1998 (Area E3)

ENGINEERING

SUMMARY OF REQUEST: Based on the new information provided in the City Manager memorandum, continue with the public hearing on the spreading of the special assessment for the 1998 Sidewalk Replacement Program and to adopt the resolution confirming the special assessment Roll.

FINANCIAL IMPACT: A total of $190,686.86 will be assessed against 223 parcels.

BUDGET ACTION REQUIRED: None at this time.

STAFF RECOMMENDATION: To approve the special assessment roll and adopt the resolution.

COMMITTEE RECOMMENDATION: No action was taken on this item.

The Public Hearing opened at 6:00 p.m. to hear and consider any comments from the public. Diane Burt, 554 Yuba, was opposed. Carol Johnson, 743 Marquette, is waiting for a response from the last meeting. Mayor Nielsen advised that the matter is being looked into.

Motion by Commissioner Aslakson, second by Commissioner Sieradzki to close the Public Hearing at 6:07 p.m.

ROLL VOTE: Ayes: Benedict, Michalski, Nielsen, Pleimling, Shepherd, Sieradzki, Aslakson

Nays: None

ADOPTED

Motion by Commissioner Benedict, second by Commissioner Pleimling to treat this neighborhood like all the others, to notify anyone who has not turned in a CDBG application and to postpone spreading of the special assessment until the numbers can be brought back to the Commission.

Amendment by Commissioner Sieradzki, second by Vice Mayor Shepherd to send out information to the 13 homeowners that have done the work and if they qualify under the CDBG guideline, they be reimbursed.

ROLL VOTE: Ayes: Nielsen, Shepherd, Sieradzki, Michalski

Nays: Pleimling, Aslakson, Benedict

AMENDMENT ADOPTED

ROLL VOTE: Ayes: Michalski, Nielsen, Shepherd, Sieradzki, Aslakson

Nays: Pleimling, Benedict

ADOPTED AS AMENDED

2. Transfer of ownership of a 1999 SDM license from Plumb, Inc. at 381 E. Laketon to H & J Inc.

CITY CLERK

SUMMARY OF REQUEST: The Liquor Control Commission seeks local recommendation on a request from H & J, Inc. to transfer ownership of 1999 SDM licensed business from Plumb, Inc., located at 381 E. Laketon.

FINANCIAL IMPACT: None

BUDGET ACTION REQUIRED: None

STAFF RECOMMENDATION: Approval of the transfer.

COMMITTEE RECOMMENDATION: No action was taken on this item.

The Public Hearing was opened at 6:30 p.m. to hear and consider any comments from the public. Gail Kundinger, City Clerk, gave an overview. Jim Stariha, 1441 W. Sherman, Attorney for H & J indicated that it would only be a transfer and that they are not seeking a SDD license. Rev. Wilson, Our Fathers Baptist Church, was opposed. Rev. Piggue, Emmanuel Tabernacle, was opposed. Sandy Griffin, Principal of Moon School was opposed. Roger Eikenberry, President of Plumbs, Inc. explained why the license is needed. Linda Anderson, 535 E. Dale, was opposed. Kathy Best, 1113 Peck, was opposed. Ho Kang, Financial Advisor for H & J, explained why they need the license.

Motion by Commissioner Aslakson, second by Commissioner Pleimling to close the Public Hearing at 7:15 p.m.

ROLL VOTE: Ayes: Pleimling, Shepherd, Sieradzki, Aslakson, Benedict, Michalski, Nielsen

Nays: None

ADOPTED

Motion by Commissioner Michalski, second by Aslakson, to approve the transfer from Plumbs, Inc. to H & J, Inc. of the 1999 SDM license.

ROLL VOTE: Ayes: Sieradzki, Aslakson, Benedict, Michalski, Nielsen, Pleimling, Shepherd

Nays: Pleimling

ADOPTED

3. Request for Industrial Facilities Tax Exemption Certificate from Total Quality Machining, Inc.

PLANNING

SUMMARY OF REQUEST: Total Quality Machining, Inc., a manufacturer of specialty tools and parts, has requested an Industrial Facilities Tax Exemption Certificate under the State’s Industrial Facility Tax Exemption program for the new equipment to be located within the same IFT district previously established for Reid Tool Supply Company at 2246 Olthoff Road, Muskegon, Michigan. Total Quality Machining is moving its facility from Spring Lake, Michigan to Muskegon. Some of the present equipment was installed and they plan to purchase additional equipment over the next 18 months. Total investment for this new machinery and equipment amounts to $912,300 in personal property and $460,161 in real property. Seven present jobs will be brought in from Spring Lake and they plan to create an additional 8 new jobs.

FINANCIAL IMPACT: The City will capture certain property tax generated by the transfer.

BUDGET ACTION REQUIRED: None

STAFF RECOMMENDATION: Approval of the resolution granting an Industrial Facility Tax Exemption Certificate for both real and personal property.

COMMITTEE RECOMMENDATION: No action was taken on this item.

The Public Hearing opened at 7:20 p.m. to hear and consider any comments from the public. Michael Wee gave an overview of the item. Ken James explained the affirmation action plan.

Motion by Commissioner Sieradzki, second by Commissioner Benedict, to close the Public Hearing at 7:30 p.m. and to approve the IFT.

ROLL VOTE: Ayes: Aslakson, Benedict, Michalski, Nielsen, Pleimling, Sieradzki

Nays: Shepherd

ADOPTED

4. Establishment of an Industrial Development District by Monroe Bird Sheet Metal & Fabricating, Inc.

The Public Hearing opened at 7:30 p.m. to hear and consider any comments from the public. Michael Wee informed the Commission that Monroe Bird Sheet Metal & Fabricating, Inc. is not ready to have the Public Hearing.

Bryon Mazade, City Manager, informed the public and reminded the Commission about the Public Forum at Hackley Hospital this Thursday, August 12 at 5:00 p.m. to discuss the Waterfront Development Plan.

67. UNFINISHED BUSINESS:

SUMMARY OF REQUEST: To adopt the ordinance amending the Uniform Traffic Code concerning the driving of vehicles while under the influence of intoxicating liquor and/or controlled substances. These amendments are necessary to achieve consistency between City Code and the State Motor Vehicle Code.

FINANCIAL IMPACT: None

BUDGET ACTION REQUIRED: None

STAFF RECOMMENDATION: Adopt the amendments to the code.

COMMITTEE RECOMMENDATION: Committee of the Whole recommended approval (Vote 6–1).

1. FIRST READING – Amendment to Chapter 2, Section 2-8 of the City Code of Ordinances –Appearance Tickets for Misdemeanors and Civil Infractions.

CITY CLERK

SUMMARY OF REQUEST: To adopt the ordinance amending Chapter 2, Section 2-8 of the City Code of Ordinances to authorize the issuance of appearance tickets or citations for misdemeanors by Park Rangers. This now includes Minors possessing or using tobacco products.

FINANCIAL IMPACT: None

BUDGET ACTION REQUIRED: None

STAFF RECOMMENDATION: Adoption of the Ordinance.

COMMITTEE RECOMMENDATION: Committee of the Whole recommended approval (Vote 6-1).

Motion by Vice Mayor Shepherd, second by Commissioner Benedict, to approve the ordinance amending Chapter 2, Section 208 of the City Code of Ordinances to authorize the issuance of appearance tickets or citations for misdemeanors by Park Rangers.

ROLL VOTE: Ayes: Nielsen, Pleimling, Shepherd, Aslakson, Benedict, Michalski

Nays: Sieradzki

REQUIRES SECOND READING

2. Purchase of Property from BP Amoco for the Lakeshore Trail.

SUMMARY OF REQUEST: The City Commission approved the purchase price of $450,000 for the BP Amoco property on June 9, 1998. Throughout the past year, staff and the City Attorney have continued to work with BP Amoco in order to resolve all pending issues so that the sale can be finalized.

FINANCIAL IMPACT: Amoco is asking $450,000 for the property. The property will be purchased with funds received from the sale of the Chase Hammond Golf Course.

BUDGET ACTION REQUIRED: None at this time.

STAFF RECOMMENDATION: Approval of the Real Estate Contract, Amendment to Real Estate Contract and the Release and Right-of-Entry, for the Mayor and Clerk to sign the documents, and for staff to proceed with acquisition of the property.

COMMITTEE RECOMMENDATION: Committee of the Whole referred this item to the Commission Meeting without a recommendation.

Mayor Nielsen reminded the Commission about the MML Convention in October. Those that are going should get their reservation into Joan as soon as possible. There will be pictures taken at the Open House on August 18, 1999 at the Filtration plant. Commissioners should be there by 9:45 am.

Commissioner Sieradzki indicated that there is a stop sign down at Third and Western. He would like to see a blinking light at that corner. When will the name changes be complete for the streets near Muskegon High School? City Manager said that he would get back to Commissioner Sieradzki on that matter. Commissioner Sieradzki would like to have a traffic study done at Forest and Getty. There is an abandoned house on Oosterbaan, could it be used for parking for Muskegon High School activities. There is also an abandoned gas station on Peck that could be used for the same purpose.

Commissioner Michalski indicated that it would be nice for the street name changes to be done before the first home football game.

Commissioner Pleimling indicated that the school has bought houses on Sanford for parking. What is the time frame on the clean up of these lots? When will the alley by Fair be closed off? City Manager indicated that there is going to be a meeting with all of the residents with property abutting the alley at the Fire Station on August 17, 1999 at 7:00 p.m.

Vice Mayor Shepherd thanked the staff for the speed sign and light pole on Muskegon Avenue being moved. She thanked the Assistant City Manager for the memo she sent.

Mayor Nielsen suggested that there be warning signs regarding the reduced speed ahead on Muskegon Avenue.

Vice Mayor Shepherd stated that there is no warning sign that the road ends on Jackson. City Manager Mazade will check into that matter.