City Commission Minutes 02-27-2018

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     CITY OF MUSKEGON
       CITY COMMISSION MEETING
          FEBRUARY 27, 2018 @ 5:30 P.M.
   MUSKEGON CITY COMMISSION CHAMBERS
  933 TERRACE STREET, MUSKEGON, MI 49440


                                 MINUTES

The Regular Commission Meeting of the City of Muskegon was held at City Hall,
933 Terrace Street, Muskegon, MI at 5:30 p.m., Tuesday, February 27, 2018. Mr.
George Monroe from Evanston Avenue Baptist Church, opened the meeting
with prayer, after which the Commission and public recited the Pledge of
Allegiance to the Flag.
ROLL CALL FOR THE REGULAR COMMISSION MEETING:
Present:    Mayor Stephen J. Gawron, Commissioners Ken Johnson, Byron
Turnquist, Debra Warren, Willie German, Jr., and Dan Rinsema-Sybenga, City
Manager Frank Peterson, City Attorney John Schrier, and Deputy City Clerk
Kimberly Young.
Absent:     Vice Mayor Hood
2018-10     CONSENT AGENDA:
   A. Approval of Minutes      City Clerk
SUMMARY OF REQUEST: To approve minutes of the February 12, 2018
Worksession Meeting and the February 13, 2018 Regular Meeting.
FINANCIAL IMPACT:       None
BUDGET ACTION REQUIRED:        None
STAFF RECOMMENDATION:          Approval of the minutes.
   C. Sanitary Sewer Improvements Department of Public Works
SUMMARY OF REQUEST: Authorize staff to sign the Professional Service
Agreement Amendment to the previously approved, Oak Grove and Clay Hill
Sanitary Sewer Improvements Agreement. The $14,900 in additional costs are for
survey, drafting, construction staking and property iron replacement. This work
was not required in the original project scope.
FINANCIAL IMPACT:       Total Cost $14,900

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BUDGET ACTION REQUIRED:         It has been included in the 2nd quarter reforecast.
STAFF RECOMMENDATION:     Authorize staff to enter into an agreement with
Prein & Newhof pending Commission approval of the 2nd quarter reforecast.
   D. 2018 Dozer Rental for Beach Leveling             Department of Public Works
SUMMARY OF REQUEST: Staff is requesting permission to enter into a rental
agreement with Contractors Rental Corporation out of Grand Rapids, Michigan,
for a John Deere 850K WLT Dozer for leveling sand at Pere Marquette Beach.
FINANCIAL IMPACT:         Estimated cost for the 2018 Dozer rental is $9,450 (which
includes $450 for delivery and pickup).
BUDGET ACTION REQUIRED:         None
STAFF RECOMMENDATION:           Approve the request.
   E. 2018, 2019 and 2020 Street Sweeping Contract          Department of Public
      Works
SUMMARY OF REQUEST: To award a three-year contract to provide four annual
street sweepings to Tri-Us Services, Inc. out of Kent City, Michigan.
FINANCIAL IMPACT:        Cost will be $269,349 each year; $808,047 over the
course of the contract. Excludes special requests charged at $150/hour.
BUDGET ACTION REQUIRED:         None; monies appropriated in Highway and
State Trunkline budgets.
STAFF RECOMMENDATION:           Approval of this request.
   G. Fleet Replacement Vehicle        Department of Public Works/Equipment
SUMMARY OF REQUEST: The Equipment Division is requesting permission to
purchase one Chevy Pickup Truck from Betten Chevrolet, the lowest qualified
bidder. The price of this purchase is $33,975.00 coming from the Equipment
budget.
FINANCIAL IMPACT:        $33,975.00
BUDGET ACTION REQUIRED:         None. This is the amount budgeted for.
STAFF RECOMMENDATION:           Authorize staff to purchase one Chevy Pickup
Truck from Betten Chevrolet.
   H. Approval of a Neighborhood Enterprise Zone Certificate – 339 Terrace
      Point Circle Planning & Economic Development
SUMMARY OF REQUEST: An application for a Neighborhood Enterprise Zone
(NEZ) certificate has been received from Amy and William Hosford for the new
construction of a home at 339 Terrace Point Circle. The estimated cost for
construction is $518,978. The applicant has met local and state requirements for
the issuance of the NEZ certificate.

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FINANCIAL IMPACT:        Taxation will be applied as one-half of the previous
year’s state average principal residence millage rate to the value of the facility.
BUDGET ACTION REQUIRED:         None
STAFF RECOMMENDATION:           Approval of the NEZ Certificate.
   I. Approval of a Neighborhood Enterprise Zone Certificate – 329 Terrace
      Point Circle Planning & Economic Development
SUMMARY OF REQUEST: An application for a Neighborhood Enterprise Zone
(NEZ) certificate has been received from Andrew Maciejewski for the new
construction of a home at 329 Terrace Point Circle. The estimated cost for
construction is $395,000. The applicant has met local and state requirements for
the issuance of the NEZ certificate.
FINANCIAL IMPACT:        Taxation will be applied as one-half of the previous
year’s state average principal residence millage rate to the value of the facility.
BUDGET ACTION REQUIRED:         None.
STAFF RECOMMENDATION:           Approval of the NEZ Certificate.
Motion by Commissioner Rinsema-Sybenga, second by Commissioner Johnson,
to approve the consent agenda as presented, except Item B, F, and J.
ROLL VOTE: Ayes: Turnquist, Johnson, Gawron, Warren, German, and Rinsema-
           Sybenga
            Nays: None
MOTION PASSES
2018-11    ITEMS REMOVED FROM CONSENT AGENDA:
   B. Approve Changes to Priority Home Repair and Vinyl Siding Program Rules
      Community and Neighborhood Services
SUMMARY OF REQUEST: To authorize Community and Neighborhood Services to
change Priority Home Repair and Vinyl Siding Programs. Changes are to raise
the income limits to the 80 percent AMI, remove the depreciation of the five
year lien and lower the service limitation from ten years to six years.
PRIORITY HOME REPAIR PROGRAM
Current Program                         Proposed Changes
Application Fee – None                  $60 for 51-80% AMI
PRIORITY HOME REPAIR PROGRAM AND VINYL SIDING PROGRAM
Current Program                         Proposed Changes
Liens Placed on Property - $3500+       $1500+
FINANCIAL IMPACT:        This allows us to help more home owners with CDBG

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funds.
BUDGET ACTION REQUIRED:         None at this time.
STAFF RECOMMENDATION:           To approve the request.
COMMITTEE RECOMMENDATION:               The proposal has already been approved
by the Citizen’s District Council at their February 6, 2018 meeting.
Motion by Commissioner Warren, second by Commissioner German, to approve
changes to the priority home repair and vinyl siding program rules.
ROLL VOTE: Ayes: Johnson, Gawron, Warren, German, Rinsema-Sybenga, and
           Turnquist
            Nays: None
MOTION PASSES
   F. Tahoe Police Cruiser      Department of Public Works/Equipment
SUMMARY OF REQUEST: The Equipment Division is requesting permission to
purchase one Chevy Tahoe from Berger Chevrolet the State Mi-Deal Contract
holder. The price of this purchase is $35,246.00 coming from the Equipment
budget.
FINANCIAL IMPACT:        $35,246.00
BUDGET ACTION REQUIRED:         None. This is the amount budgeted for.
STAFF RECOMMENDATION:           Authorize staff to purchase one Chevy Tahoe
from Berger Chevrolet.
Motion by Commissioner German, second by Commissioner Warren, to
authorize staff to purchase one Chevy Tahoe from Berger Chevrolet.
ROLL VOTE: Ayes: Gawron, Warren, German, Rinsema-Sybenga, Turnquist, and
           Johnson
            Nays: None
MOTION PASSES
   J. Vacation of Market Street Between Western Avenue and Terrace Street
      Planning & Economic Development
SUMMARY OF REQUEST: Staff is requesting to vacate Market Street between
Western Avenue and Terrace Street.
FINANCIAL IMPACT:        None
BUDGET ACTION REQUIRED:         None
STAFF RECOMMENDATION:           Staff recommends vacation of the street.
COMMITTEE RECOMMENDATION:             The Planning Commission recommended in
favor to vacate the street by a 6-0 vote, with three members absent.

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Motion by Commissioner German, second by Commissioner Johnson, to vacate
Market Street between Western Avenue and Terrace Street.
ROLL VOTE: Ayes: Warren, German, Rinsema-Sybenga, Turnquist, Johnson, and
           Gawron
             Nays: None
MOTION PASSES
2018-12   PUBLIC HEARINGS:
   A. Request for the Establishment of an Industrial Development District at 895
      4th Street   Planning & Economic Development
SUMMARY OF REQUEST: Pursuant to Public Act 198 of 1974, as amended,
Pigeon Hill Brewing Company, LLC, has requested the establishment of an
Industrial Development District at 895 4th Street. The establishment of the district
will allow the company to become eligible for Industrial Facilities Tax
Abatements.
FINANCIAL IMPACT:         None
BUDGET ACTION REQUIRED:          None
STAFF RECOMMENDATION:            Approval of the establishment of the Industrial
Development District.
PUBLIC HEARING COMMENCED: No public comments.
Motion by Commissioner Warren, second by Commissioner Johnson, to Close
the Public Hearing and Establish the Industrial Development District at 895 4th
Street.
ROLL VOTE: Ayes: Warren, German, Rinsema-Sybenga, Turnquist, Johnson, and
           Gawron
             Nays: None
MOTION PASSES
   B. Request for an Industrial Facilities Exemption Certificate – Pigeon Hill
      Brewing Company, LLC Planning & Economic Development
SUMMARY OF REQUEST: Pursuant to Public Act 198 of 1974, as amended,
Pigeon Hill Brewing Company, LLC, has requested the issuance of an Industrial
Facilities Tax Exemption Certificate. The company will be investing $1,250,000 in
real property at their new location at 895 4th Street. The investment is expected
to create up to 10 jobs.
FINANCIAL IMPACT:     The City will capture certain additional property taxes
generated by the expansion.
BUDGET ACTION REQUIRED:          None

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STAFF RECOMMENDATION:            Approval of the resolution granting an Industrial
Facilities Exemption Certificate for a term of 10 years for real property.
PUBLIC HEARING COMMENCED: Darrell Todd, who works on countywide
economic development for Muskegon Area First told the commission that they
are in support of this project.
Motion by Commissioner Rinsema-Sybenga, second by Commissioner Warren,
to Close the Public Hearing and approve the resolution granting an Industrial
Facilities Exemption Certificate for a term of 10 years for real property for Pigeon
Hill Brewing Company, LLC.
ROLL VOTE: Ayes: German, Rinsema-Sybenga, Turnquist, Johnson, Gawron, and
           Warren
             Nays: None
MOTION PASSES
2018-13      NEW BUSINESS:
   A. Second Quarter 2017-18 Budget Reforecast            Finance Director
      ITEM REMOVED PER STAFF REQUEST
   B. Transition to GLOCK Service Firearm (9mm) Public Safety
      ITEM REMOVED PER STAFF REQUEST
   C. Concurrence with the Housing Board of Appeals Notice and Order to
      Demolish  Public Safety
      496 Octavius Street (Garage Only)
SUMMARY OF REQUEST: This is to request that the City Commission concur with
the findings of the Housing Board of Appeals that the structure is unsafe,
substandard, a public nuisance and that it be demolished within 30 days. It is
further requested that administration be directed to obtain bids for the
demolition of the structures and that the Mayor and City Clerk be authorized
and directed to execute a contract for demolition with the lowest responsible
bidder or staff may issue infraction tickets to the owner, agent or responsible
party if they do not demolish the structure.
FINANCIAL IMPACT:         General Funds
BUDGET ACTION REQUIRED:         None
STAFF RECOMMENDATION:         To concur with the Housing Board of Appeals
decision to demolish the garage structure only on the property.
Motion by Commissioner Johnson, second by Commissioner German, to concur
with the Housing Board of Appeals decision to demolish the garage structure
only on the property.


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ROLL VOTE: Ayes: Rinsema-Sybenga, Turnquist, Johnson, Gawron, Warren, and
           German
           Nays: None
MOTION PASSES
ANY OTHER BUSINESS:        Commissioner Johnson addressed the release of the
winter parking ban and, with commission support, suggested a one week grace
period for issuing citations.
PUBLIC PARTICIPATION: Public comments were received.
ADJOURNMENT: The City Commission meeting adjourned at 6:35 p.m.


                                          Respectfully Submitted,




                                          Kimberly Young, Deputy City Clerk




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