City Commission Minutes 01-09-2024

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      CITY OF MUSKEGON
       CITY COMMISSION MEETING
            January 9, 2024 @ 5:30 PM
   MUSKEGON CITY COMMISSION CHAMBERS
  933 TERRACE STREET, MUSKEGON, MI 49440

                                MINUTES

CALL TO ORDER
The Regular Commission Meeting of the City of Muskegon was held at City Hall,
933 Terrace Street, Muskegon, Michigan at 5:30 PM, Tuesday, January 9, 2024.
Pastor Russell Damm, OakCrest Church of God, opened the meeting with
prayer, after which the Commission and public recited the Pledge of Allegiance
to the Flag.

ROLL CALL
Present: Mayor Ken Johnson, Vice Mayor Rebecca St.Clair, Commissioners
Destinee Keener (left at 7:00 p.m.), Katrina Kochin, Rachel Gorman, Rebecca
St.Clair, and Jay Kilgo. City Manager Jonathan Seyferth, City Attorney John
Schrier, City Clerk Ann Marie Meisch, and Deputy City Clerk Kimberly Young.

HONORS, AWARDS, AND PRESENTATIONS



    A. Fire Department 150th Anniversary Recognition Manager's Office
The Muskegon City Fire Department has been in service for 150 years. Tonight
we celebrate our firefighters and the Fire Department's 150th anniversary. Mayor
Johnson and City Manager Jonathan Seyferth presented each Fire Deparment
staff person in attendance with a Certificate of Appreciation and Service and a
commemorative badge. Names of current Fire Department staff were read by
Vice Mayor St.Clair. The on-duty firefighters in attendance had to leave almost
immediately, before being recognized and presented with their certificates and
commemorative badges, to respond to a call.
    B. Audit Presentation-ACFR by Brickley Delong Finance
Ken Grant, Finance Director, introduced Eric VanDop to summarize the Annual


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Financial Comprehensive Report for FY 2023, following the audit performed by
Brickley DeLong. Mr. VanDop presented information from different areas of the
AFCR, providing an overview and explanation of the city's financial position.
PUBLIC COMMENT ON AGENDA ITEMS
No public comments were received

2024-08 CONSENT AGENDA
Motion by Commissioner German, second by Vice Mayor St.Clair, to accept the
Consent Agenda as presented, except items D, F, G, H, and J.
ROLL VOTE: Ayes: Gorman, Kochin, St.Clair, Johnson, Kilgo, Keener, and
           German
           Nays: None
MOTION PASSES

   A. Approval of Minutes City Clerk
To approve the minutes of the December 11, 2023 Worksession, December 12,
2023 Commission Meeting, December 19, 2023 Special Meeting, and January 3,
2024 Organizational Meeting.

STAFF RECOMMENDATION: Approve the minutes.
   B. Sanitary Sewer Easement - 381 E Laketon DPW- Engineering
Staff is requesting approval of an easement between the owners of 381 E
Laketon (Midwest V, LLC) and the City of Muskegon.

The City's sanitary sewer main runs east to west along the south edge of 381 E
Laketon. Originally, it was within an alley. The alley was vacated years ago.
Recent development of the property, re-building of the Dollar General, has
prompted cleaning up legal rights to maintain the sewer. Easement documents
have been prepared and signed by owners. Documents have been reviewed
and accepted by John Schrier.

STAFF RECOMMENDATION: To approve the easement as presented and
authorize the Mayor to sign the easement with Midwest V, LLC.
   C. Storm Water Maintenance Agreements DPW- Engineering
Staff seeks authority to sign Storm Water Maintenance Agreements when
submitted in accordance with the City's Storm Water Ordinance.

Per the City’s Storm Water Ordinance, developments are required to submit
post construction documents, one of which is a Storm Water Maintenance



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Agreement. The agreement requires the property owner to maintain the private
storm water system and allows the City to enforce maintenance if the property
owner fails to do so. The agreement is needed because the private system
leads to the public system, and a failure to maintain the private system could
negatively impact the public system or the waters that the systems eventually
drain to. The agreement is required to be recorded at the County Register of
Deeds office and runs with the property. The general format of these
agreements has been reviewed and is acceptable to the attorney's office, and
these agreements are required by the State of Michigan under the City's MS4
stormwater permit.

Due to the number of agreements required each year (approximately one per
month), the fact that each agreement follows the same approved format, that
the agreements are only required on properties that follow the Site Plan
Approval process (including the public notifications and Commission action that
may be required under that process), and that the agreements are required
both by City ordinance and the City's state-required storm water permit, staff
requests permission to enter into these agreements. An example agreement is
included for reference.

STAFF RECOMMENDATION: Approve the DPW Director, City Engineer, or Assistant
City Engineer to sign Storm Water Maintenance Agreements when submitted in
accordance with the City's Storm Water Ordinance. This approval shall remain
in place until the SWM Agreement is updated/changed.
   E. Sale of 720 Leonard Avenue - REMOVED PER STAFF REQUEST Manager's
      Office
   I.   Placement of Public Benches City Clerk
Tony Asmus recently purchased the agreement for the placement of the public
benches from Howell Sign Co. LLC. Staff has been working with the new owner
and is recommending approval of the new agreement. The agreement would
be for five years, and the cost would be $6 per month per bench. Currently,
there are 40 benches. Staff could work with the owner on the location and the
number of benches allowed.

STAFF RECOMMENDATION: Approve the agreement with Gus Benches
Advertising.
   K. Amendment to the Sign Ordinance Planning
Staff initiated request to amend the form based code section of the zoning
ordinance to modify the regulations on projecting signs downtown. The
Planning Commission unanimously recommended approval of the amendment
by a 6-0 vote.



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STAFF RECOMMENDATION: To approve the request to modify the regulations on
projecting signs downtown as presented.
    L. Comcast Franchise Agreement Manager's Office
The City's cable TV franchise agreement with Comcast has expired and needs
to be renewed. The City has 30 days from when Comcast submits the
agreement for renewal to approve the replacement agreement. Staff is
recommending a renewal of the franchise agreement without any changes to
the fees collected by the city. The agreement is for ten (10) years.

Following legislation adopted by the State of Michigan in the mid-2000s, the
negotiation of franchise agreements at the local level was largely standardized,
and not much flexibility was left to the communities beyond setting the
franchise fee. The City of Muskegon currently has a 5% franchise fee that is paid
by Comcast customers and passed on to the City. These funds can be used at
our discretion.

The City is not recommending any changes to the franchise fee rate. It should
also be noted the City could, but has historically elected not to, implement a
Public Education Government (PEG) fee in addition to the franchise fee. PEG
fees can only be used for the support of equipment for public access television.

STAFF RECOMMENDATION: Approve the Uniform Video Service Franchise
Agreement with Comcast as presented.
2024-09 REMOVED FROM CONSENT



    D. Rezoning of 1993 Austin St Planning
Request to rezone the property at 1993 Austin St from B-4, General Business to R-
2, Single-Family Medium Density Residential, by Derek Masterman. The Planning
Commission unanimously recommended approval of the rezoning at their
December 14 meeting.

STAFF RECOMMENDATION: To approve the request to rezone the property at
1993 Austin St from B-4, General Business to R-2, Single-Family Medium Density
Residential.

Motion by Commissioner Kilgo, second by Vice Mayor St.Clair, to approve the
request to rezone the property at 1993 Austin St from B-4, General Business to R-
2, Single-Family Medium Density Residential.




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ROLL VOTE: Ayes: German, Gorman, Kochin, St.Clair, Johnson, Kilgo, and
           Keener
           Nays: None
MOTION PASSES
    F. Sale of 159 McLaughlin Ave. Planning
Staff is requesting approval of a purchase agreement for 159 McLaughlin for
$179,000. 159 McLaughlin was constructed through the agreement with Dave
Dusendang to construct infill housing with ARPA funding. The offer is over the full
listing price with the seller to contribute 6% of purchase price towards buyers
closing costs, pre paids and discount points.

STAFF RECOMMENDATION: Approve the purchase agreement for 159
McLaughlin.

Motion by Commissioner Kilgo, second by Commissioner German, to approve
the purchase agreement for 159 McLaughlin.
ROLL VOTE: Ayes: Keener, German, Gorman, Kochin, St.Clair, Johnson, and
           Kilgo
           Nays: None
MOTION PASSES
    G. DDA Liquor License – Muskegon Brewing Company, 1204 W Western Ave
       Economic Development
Muskegon Brewing Company is requesting a Downtown Development Authority
On-Premise Liquor License for the building at 1204 W Western Ave. The Liquor
Control Commission allows for additional liquor licenses within Downtown
Development Authority Districts under certain conditions.

STAFF RECOMMENDATION: Approve the request for a Downtown Development
Authority On-Premise Liquor License for Muskegon Brewing Company at 1204 W
Western Ave.

Motion by Commissioner Kilgo, second by Commissioner Gorman, to approve
the request for a Downtown Development Authority On-Premise Liquor License
for Muskegon Brewing Company at 1204 W Western Ave.
ROLL VOTE: Ayes: Kilgo, Keener, German, Gorman, Kochin, St.Clair, and
           Johnson
           Nays: None
MOTION PASSES



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    H. Amendment to the zoning ordinance - residential units in previously
       existing commercial buildings Planning
Staff initiated request to amend Section 401 of the zoning ordinance to allow
multi-family residential units in previously existing commercial buildings not
already converted to residential in single-family zoning districts, as a special use
permitted. The Planning Commission unanimously recommended approval of
the request at their December meeting.

STAFF RECOMMENDATION: Approve the request to amend Section 401 of the
zoning ordinance to allow multi-family residential units in previously existing
commercial buildings not already converted to residential in single-family
residential districts, as a special use permitted.

Motion by Commissioner Kilgo, second by Vice Mayor St.Clair, to approve the
request to amend Section 401 of the zoning ordinance to allow multi-family
residential units in previously existing commercial buildings not already
converted to residential in single-family residential districts, as a special use
permitted.
ROLL VOTE: Ayes: Johnson, Kilgo, Keener, German, Gorman, Kochin, and
           St.Clair
           Nays: None
MOTION PASSES
    J. Filter Plant Tower Lease Changes Public Works
Staff requests authorization to enter into a lease with “Muskegon Cellular
Partnership By: Cellco Partnership d/b/a Verizon Wireless” to grant Verizon
space on the City’s cellular tower at the water filtration plant. In early 2021
Commission authorized the construction of a cellular communications tower at
the water filtration plant in the hope of spurring cellular companies to provide
better service in the extreme western part of the City, including the beach.
 Since that time, staff has been working with Maralat Communications to entice
a cellular provider to locate on the tower. In late September of last year, the
Commission approved a lease agreement for the antenna. Since then, Verizon
has proposed new lease terms. The changes include:

    • A reduction in monthly rent from $3,500 to $2,750.
    • An extension of the first term from 5 years to 10 years, which brings the
      total term, including extensions, to 30 years from 25 years.
    • The addition of a penalty if Verizon cancels during the first 10-year term,
      the penalty being one year's full rent.
    • The other terms, including the 2% annual escalator, remain unchanged.




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While the net income to the water fund is slightly reduced ($1,345,273 previously,
now $1,338,747 for a reduction of $6,526), the total term of the agreement is
extended and the income from the first 10-year term is more secure. The need
for service in this part of the community is still high, so staff recommends
approval of the revised agreement.

STAFF RECOMMENDATION: Approve the presented lease with Muskegon Cellular
Partnership by: Cellco Partnership d/b/a Verizon Wireless, and authorize the
Mayor to sign.

Motion by Vice Mayor St.Clair, second by Commissioner Keener, to approve the
presented lease with Muskegon Cellular Partnership by: Cellco Partnership
d/b/a Verizon Wireless, and authorize the Mayor to sign.
ROLL VOTE: Ayes: St.Clair, Johnson, Kilgo, Keener, German, Gorman, Kochin
           Nays: None
MOTION PASSES
2024-10 NEW BUSINESS



    A. City of Muskegon Code of Ethics Manager's Office
The City Commission had requested staff draft a code of Ethics. Upon
investigation, it was discovered that more than 10 years ago the City
Commission had adopted a Code of Ethics for the City. That Code is
recommended to be readopted by each commission going forward.

STAFF RECOMMENDATION: Readopt the City of Muskegon Ethics Policy as
presented.

Motion by Vice Mayor St.Clair, second by Commissioner Keener, to readopt the
City of Muskegon Ethics Policy as presented.
ROLL VOTE: Ayes: Kochin, St.Clair, Johnson, Kilgo, Keener, German, and
           Gorman
           Nays: None
MOTION PASSES
    B. Lakeside Business Improvement District Board - City Manager/Designee
       Manager's Office
The City Manager sits as a representative on the Lakeside Business Improvement
District (BID) Board. I am requesting the Commission to update the appointment



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language to the City Manager or their designee. When the Lakeside BID was
created, one of the board seats was intended for the City Manager. Because of
meeting times, it can be a challenge for the City Manager to attend the
meeting, which can create an issue with a quorum. The City Manager is asking
that the City staff representative to the Lakeside BID be given a bit more
flexibility to be the City Manager or their designee.

STAFF RECOMMENDATION: Appoint the City Manager or their designee to the
Lakeside BID board.

Motion by Commissioner Kilgo, second by Vice Mayor St.Clair, to appoint the
City Manager or their designee to the Lakeside BID board.
ROLL VOTE: Ayes: Gorman, Kochin, St.Clair, Johnson,Kilgo, and German
           Nays: None
MOTION PASSES
PUBLIC COMMENT ON NON-AGENDA ITEMS
Public comments received.

ADJOURNMENT
Motion by Commissioner German, second by Commissioner Kilgo, to adjourn at
7:05 p.m.
MOTION PASSES


                                     Respectfully Submitted,



                                     Ann Marie Meisch, MMC




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