City Commission Packet 05-24-2016

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    CITY OF MUSKEGON
      CITY COMMISSION MEETING
                         MAY 24, 2016
   CITY COMMISSION CHAMBERS @ 5:30 P.M.
                                 AGENDA

□ CALL TO ORDER:
□ PRAYER:
□ PLEDGE OF ALLEGIANCE:
□ ROLL CALL:
□ HONORS AND AWARDS:
□ INTRODUCTIONS/PRESENTATION:
     A. Presentation to Jaylyn
     B. MAISD Superintendent, John Severson, Presentation Regarding
        Muskegon Promise
□ CITY MANAGER’S REPORT:
□ CONSENT AGENDA:
     A. Approval of Minutes City Clerk
     B. Fireworks Display Permit for the 2nd of July Celebration at Heritage
        Landing City Clerk
     C. 2016-2017 Michigan Municipal League Membership Dues City Clerk
     D. 2016-2017 Muskegon High School Community Officer Agreement
        Public Safety
     E. 2016-17 Healthcare & Wellness Program Finance Department
     F. Consideration of Bids for: Repairs to the Boardwalk at Kruse Park
        Engineering
     G. Authorization of Community Housing Development Organization
        (CHDO) Agreements Community & Neighborhood Services
     H. Approval of Neighborhood Enterprise Zone Certificates Planning &
        Economic Development
     I. Midtown Square – Authorization for Staff to Negotiate and Close on Sale
        of Homes Planning & Economic Development
        J. Muskegon City Employee Homeownership Program Planning &
           Economic Development
□   PUBLIC HEARINGS:
        A. Create a Special Assessment District for Alley Between 4th – 5th –
           Muskegon – Webster Engineering
□ COMMUNICATIONS:
□ UNFINISHED BUSINESS:
□ NEW BUSINESS:
        A. Consideration of Bids for Paving of the Alley Between 4th – 5th –
           Muskegon – Webster Engineering
        B. Parkland Muskegon – City Property Agreements Planning & Economic
           Development Department
        C. Ameribank Building – Option Agreement between the City of
           Muskegon and Port City Construction & Development Services, LLC
           Planning & Economic Development
□ ANY OTHER BUSINESS:
□ PUBLIC PARTICIPATION:
►   Reminder: Individuals who would like to address the City Commission shall do the following:
►   Fill out a request to speak form attached to the agenda or located in the back of the room.
►   Submit the form to the City Clerk.
►   Be recognized by the Chair.
►   Step forward to the microphone.
►   State name and address.
►   Limit of 3 minutes to address the Commission.
►   (Speaker representing a group may be allowed 10 minutes if previously registered with City Clerk.)

□ CLOSED SESSION:
□ ADJOURNMENT:
ADA POLICY: THE CITY OF MUSKEGON WILL PROVIDE NECESSARY AUXILIARY AIDS AND SERVICES TO INDIVIDUALS
WHO WANT TO ATTEND THE MEETING UPON TWENTY-FOUR HOUR NOTICE TO THE CITY OF MUSKEGON. PLEASE
CONTACT ANN MARIE MEISCH, CITY CLERK, 933 TERRACE STREET, MUSKEGON, MI 49440 OR BY CALLING (231) 724-
6705 OR TTY/TDD DIAL 7-1-1- TO REQUEST A REPRESENTATIVE TO DIAL (231) 724-6705.
Memorandum
To:    Mayor and Commissioners

From: Frank Peterson

Re:    City Commission Meeting

Date: May 24, 2016

Here is a quick outline of the items on next week’s agenda:

1.     We will have a special presentation/recognition from the family of a young girl from
       Muskegon named Jaylyn. She has been battling illness. A community member brought
       her situation to our attention and staff members organized a number of events/activities
       for Jaylyn and her family to enjoy in Muskegon. Her mother asked to come and thank the
       community for its support and also to educate us on the illness.
2.     MAISD Superintendent John Severson will be in attendance to present information on the
       Muskegon Promise – which provides two years of college to qualified graduating seniors
       in Muskegon County.
3.     Under the consent agenda, we are asking the Commission to for approval of the following:
       a. Last meeting’s minutes.
       b. A fireworks display for July 2nd at Heritage Landing as part of the Rock Stock and the
            4th of July celebrations.
       c. Approval of the 2016-17 MML Membership dues. This is an annual expense.
       d. Approval of the 2016-17 community officer agreement with Muskegon Public
            Schools. This year’s contract represents a 3% increase over last year’s amount.
       e. Approval of the City’s health and wellness program – which is essentially our health
            care coverage for employees and their dependents. The costs are trending upward,
            but we did make a few recommended changes to the program this year to flatten
            that increase some. Over the next year, we have committed to developing a three-
            tiered plan that give employees more options – and could save the city some dollars
            as well. This continues to be a great and ever-growing expense for the city.
       f. Approval of repairs to the Kruse Park Board Walk. This is not the big fix – this is just
            to address the items that we can address without a DEQ Permit. The overall job
            seems to be growing in scale and complexity – and cost – so it is going to take longer
            than originally expected. This will give us a chance to get much of the boardwalk
            open sooner while we work on the major investments.
       g.   Authorization to enter into agreement with two of our local community housing
            development organizations for the renovation of houses in the City.
       h. Approval of Neighborhood Enterprise Zone certificates for the houses at Midtown
            Square. These certificates represent the tax saving incentives that we are using to
            help drive the home sales.
       i. Authorization to allow staff to negotiate the final sales prices of the homes at
            Midtown Square as sign sale documents. This is necessary to keep up with the pace
            of real estate. Typically, when offers come in, we have a day or two to accept,
            counter, or reject. We did that with the first home sale, but we technically should
            have an approval in place from this Commission beforehand.
4.     We are holding a public hearing for the creation of a special assessment to pave the alley
       between 4th, 5th, Muskegon, and Webster. This assessment is the result of a petition filed
       by more than 50% of the property owners asking for the work to be completed. It is not
       considered to be a consent assessment because at least one owner has expressed
       disapproval. Accordingly, a public hearing must be held. An important item to note is
       that the bids did come in higher than the engineer’s original estimate. Mohammed does
       have some ideas that could possibly bring the cost down if homeowners and the
       Commission are interested in the change – he can explain it at the meeting.
5.     Under New Business:
           a. Approval of the special assessment previously discussed in the public hearing.
           b. Approval of an amendment to the development agreement between the City and
               Parkland Properties for the Highpoint Flats Development. This has been an
               ongoing issue now for a number of years. We are recommending that the
               Commission approve a modified agreement that allows Parkland Properties to
               develop only the tower with 48 residential units and commercial development in
               the basement level. In exchange, the vacant parcel will be provided to the City to
               develop parking to service both the HPF building and the Ameribank building. This
               would all be contingent upon Parkland receiving approval from the State for the
               change and the Community Foundation for the construction financing.
           c. Approval of an option agreement with Port City Construction for the purchase and
               rehabilitation of the Ameribank building located at 880 1st Street.

If there are questions on any agenda items, please try to let staff know in advance, and we will
be sure to have the appropriate data/research available at the meeting.
Date:     May 18, 2016
To:       Honorable Mayor and City Commissioners
From:     Ann Marie Meisch, City Clerk
RE:       Approval of Minutes




SUMMARY OF REQUEST: To approve minutes of the May 9, 2016
Worksession Meeting and the May 10, 2016 Regular City Commission
Meeting.


FINANCIAL IMPACT: None.


BUDGET ACTION REQUIRED: None.


STAFF RECOMMENDATION: Approval of the minutes.
                                       City of Muskegon
                                 City Commission Worksession
                                          May 9, 2016
                                  City Commission Chambers
                                            5:30 PM

                                          MINUTES
2016-36
Present: Commissioners German (left at 6:00 pm), Hood (left at 8:15 pm), Gawron, Johnson,
Turnquist (left at 8:45 pm), Rinsema-Sybenga (left at 8:00 pm), and Warren.
Absent: None.

Revenues.
The City Manager presented several revenue sources the city could implement. The possibilities
include:

Rental space at City Hall
Providing additional services to other agencies for a fee
Creating a Public Safety Authority, Parks Authority, or Building Authority
Parking fees at Pere Marquette Park and/or Kruse Park for non-residents
Development of a temporary food and retail event at Pere Marquette Park
Registration of vacation rentals with fees dedicated to Pere Marquette Park
Increase fees in 2017 for Farmers Market
Allowing the sale of alcohol in support of Farmers Market projects
Selling naming rights at the LC Walker Arena
Consider changing the way certain services are paid for
Consider increasing the income tax and reducing the property tax
Consider a special assessment for street lighting
Bond sale
Reorganization of workforce
Consider updating and readopting fiscal policies as ordinances vs. resolutions

The Commission will take the suggestions into consideration for discussion at a future meeting.

Sewer Fund
The sewer fund has not kept pace with the increases from the Muskegon County Wastewater.
This year the City also lost a significant sewer customer. As such, staff is requesting
approximately 20% increase in the sewer rates.

The Commission will consider this request at the upcoming budget hearing.

Adjournment.
Meeting adjourned at 8:45 p.m. due to lack of a quorum.


                                                            ____________________________
                                                             Ann Marie Meisch, MMC
                                                                     City Clerk
     CITY OF MUSKEGON
       CITY COMMISSION MEETING
                           MAY 10, 2016
    CITY COMMISSION CHAMBERS @ 5:30 P.M.
                                  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, May 10, 2016.
Pastor Mary Sweet, Crestwood United Reformed 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 Gawron, Commissioners Dan Rinsema-Sybenga, Byron
Turnquist, Ken Johnson, Debra Warren, and Willie German, Jr., City Manager
Franklin Peterson, City Attorney John Schrier, and City Clerk Ann Meisch.
Absent: Vice-Mayor Eric Hood
2016-37 HONORS AND AWARDS:
      A. Miss Basketball Runner up – Mardrekia Cook
Mayor Stephen J. Gawron presented a resolution and a street sign noting the
accomplishment to Ms. Mardrekia Cook – a Muskegon Big Red.
2016-38 INTRODUCTIONS/PRESENTATION:
      A. Carla Flanders, Muskegon Area Chamber of Commerce Regarding the
         Beautification Project for Sherman Corridor
Carla Flanders from the Muskegon Area Chamber of Commerce gave a
presentation on the efforts for a Beautification Project of the Sherman Corridor –
beginning at US31 and going all the way to Beach Street. Five municipalities are
included in this effort.
2016-39 CONSENT AGENDA:
       A. Approval of Minutes City Clerk
SUMMARY OF REQUEST:       To approve minutes of the April 26, 2016 Regular City
Commission Meeting.
FINANCIAL IMPACT:     None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Approval of the minutes.
       B. National Bike to Work Week Proclamation City Clerk
SUMMARY OF REQUEST: The City Commission is asked to adopt a proclamation
supporting National Bike to Work Week June 13 – 17, 2016.
FINANCIAL IMPACT:    None
BUDGET ACTION REQIRED: None
STAFF RECOMMENDATION: To approve the proclamation.
       F. Permanent Traffic Control Order-Installation of “Yield” signs at the
          intersection of Miner Avenue and Denmark Street, TCO #23-(2016)
          Department of Public Works
SUMMARY OF REQUEST: Authorize staff to install permanent “YIELD” signs at
east-bound and west-bound Miner Avenue at Denmark Street per Traffic Control
Order #23-(2016).
FINANCIAL IMPACT:    Cost of signage and installation of such at Miner Avenue @
Denmark Street.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: Authorize staff to install traffic control signage per
Traffic Control Order #23-(2016).
Motion by Commissioner Johnson, second by Commissioner German, to
approve the Consent Agenda as presented with the exception of Items C, D, E,
and G.
ROLL VOTE: Ayes: Turnquist, Johnson, Gawron, Warren, German, and Rinsema-
           Sybenga
            Nays: None
MOTION PASSES
2016-40 ITEMS REMOVED FROM THE CONSENT AGENDA:
       C. Special Event Liquor License – Farmer’s Market City Clerk
SUMMARY OF REQUEST: The Muskegon Farmer’s Marker would like to try out a
few new events this year and allow alcoholic beverages, including spirits.
Proceeds will benefit the Power of Produce.
The following dates are being requested:   June 30, July 7, July 28, August 11,
and September 24th.
FINANCIAL IMPACT:    $50 permit from the State for every date requested.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: To approve the request.
Motion by Commissioner Warren, second by Commissioner Johnson, to approve
the request for special event liquor licenses for the Farmer’s Market.
ROLL VOTE: Ayes: Johnson, Gawron, Warren, German, Rinsema-Sybenga, and
           Turnquist
            Nays: None
MOTION PASSES
       D. CDBG/HOME Budget Recommendations              Community and
          Neighborhood Services Department (CNS)
SUMMARY OF REQUEST: To accept the recommendations of the Administration
and Citizen’s District Council in regards to the 2016 CDBG/HOME Budget
Allocations for CNS.
FINANCIAL IMPACT:    None at this time.
BUDGET ACTION REQUIRED: To finalize the budget for the CNS department and
direct staff to publish the approved budgets for the 2016 CDBG/HOME
Allocations.
STAFF RECOMMENDATION: To accept and approve the recommended 2016
CDBG and HOME Budgets for CNS.
COMMITTEE RECOMMENDATION: The Citizen’s District Council has made their
recommendations.
Motion by Commissioner German, second by Commissioner Rinsema-Sybenga,
to accept and approve the recommended 2016 CDBG and HOME budgets for
CNS.
ROLL VOTE: Ayes: Gawron, Warren, German, Rinsema-Sybenga, Turnquist, and
           Johnson
            Nays: None
MOTION PASSES
       E. Zeno’s Italian Ice Concession Contract for City of Muskegon Parks
          Department of Public Works
SUMMARY OF REQUEST: Staff is asking permission to enter into a 1-year
contractual agreement with Gregg Reed of Zeno’s Italian Ice, LLC, at Pere
Marquette Park, located within the City of Muskegon, to sell various products
from a mobile vending trailer.
FINANCIAL IMPACT: Concession revenue is 10% of gross receipts. Commission
revenue is unknown at this time as this is the first year in business for the
concessionaire at City of Muskegon Parks.
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Authorize DPW staff to enter into concession
agreement with Gregg Reed of Zeno’s Italian Ice, LLC.
Motion by Commissioner Warren, second by Commissioner Johnson, to
authorize DPW staff to enter into concession agreement with Gregg Reed of
Zeon’s Italian Ice, LLC.
ROLL VOTE: Ayes: Warren, German, Rinsema-Sybenga, Turnquist, Johnson, and
           Gawron
             Nays: None
MOTION PASSES
        G. Removal of Street Lights in the Downtown Area Department of Public
           Works
SUMMARY OF REQUEST: Authorize staff to enter into agreement with
Consumer’s Energy to remove 44 street lights in the areas between Muskegon –
Webster – Fourth – and Spring. Consumer’s Energy has offered to remove those
lights at a cost of $25,521.
The estimated annual savings to the City is over $900 per month for an estimated
payback time of less than 3 years.
FINANCIAL IMPACT:      $25,521.00
BUDGET ACTION REQUIRED: None at this time.
STAFF RECOMMENDATION: To authorize staff to enter into an agreement with
Consumer’s Energy to remove 44 street lights in the area between Muskegon –
Webster – Fourth – and Spring.
ORIGINAL MOTION
Motion by Commissioner Johnson, second by Commissioner Rinsema-Sybenga,
to authorize staff to enter into an agreement with Consumer’s Energy to remove
44 street lights in the area between Muskegon – Webster – Fourth – and Spring.
MOTION TO AMEND ORIGINAL MOTION
Motion by Commissioner Johnson, second by Commissioner Warren, to amend
the authorization agreement to keep lights labeled as numbers 8, 24, 36, 49, 55,
and 66. ~ NO VOTE ~
MOTION TO RESCIND MOTION TO AMEND ORIGINAL MOTION
Motion by Commissioner Johnson, second by Commissioner Rinsema-Sybenga,
to rescind the motion to amend the authorization agreement to keep lights
labeled as numbers 8, 24, 36, 49, 55, and 66.
ROLL VOTE: Ayes: Rinsema-Sybenga, Turnquist, Johnson, Gawron, Warren, and
           German
             Nays: None
MOTION PASSES
VOTE ON ORIGINAL MOTION
ROLL VOTE: Ayes: Warren, German, Rinsema-Sybenga, Turnquist, Johnson, and
           Gawron
            Nays: None
MOTION PASSES
2016-41 NEW BUSINESS:
       A. Consideration of Bids for: Monroe Reconstruction between Fourth &
          Fifth Engineering
SUMMARY OF REQUEST: To award the reconstruction for Monroe from Fourth to
Fifth to McCormick Sand, Inc. since they were the lowest responsible bidder with
a total bid price of $ 185,770.50.
FINANCIAL IMPACT: The construction cost of $185,770.50 plus engineering cost
of an additional 15%.
BUDGET ACTION REQUIRED: If awarded then budget will have to be revised to
reflect increase in the cost.
STAFF RECOMMENDATION: Award the contract to McCormick Sand for a bid
price of $185,770.50.
Motion by Commissioner Rinsema-Sybenga, second by Commissioner Johnson,
to award the contract to McCormick Sand for a bid price of $185,770.50 for the
reconstruction of Monroe between Fourth and Fifth.
ROLL VOTE: Ayes: Turnquist, Johnson, Gawron, Warren, German, and Rinsema-
           Sybenga
            Nays: None
MOTION PASSES
ANY OTHER BUSINESS:
Chief Lewis invited everyone to attend a mixer at Mona Lake Park that is being
hosted by the City of Muskegon Heights and the Muskegon Rotary Club
Wednesday, May 11, 2016 at 5:00 p.m.

Commissioner German question the removal of picnic tables at the park on
Monroe between Fourth and Fifth and his questions were addressed by City
Manager, Frank Petersen and Chief of Police, Jeff Lewis.

Commissioner German attended an Urban Policy Workshop and said that there
was a good turnout.
PUBLIC PARTICIPATION: Public Comments were received.
ADJOURNMENT: The City Commission adjourned at 7:20 p.m.
                                     Respectfully Submitted,




                                     Ann Marie Meisch, MMC, City Clerk
Date:      May 18, 2016
To:        Honorable Mayor and City Commissioners
From:      Ann Marie Cummings, City Clerk
RE:        Fireworks Display Permit for the 2nd of July
           Celebration at Heritage Landing.




SUMMARY OF REQUEST: Night Magic is requesting approval of a
fireworks display permit for July 2nd at Heritage Landing. Fire Marshall
Metcalf has reviewed the request and recommends approval contingent
on inspection of the fireworks.


FINANCIAL IMPACT: None.


BUDGET ACTION REQUIRED: None.


STAFF RECOMMENDATION: Approval contingent on inspection of the
fireworks and approval of insurance.
                                                                                                                                                                  DATE (MM/DD/YYYY)
                                            CERTIFICATE OF LIABILITY INSURANCE                                                                                   5/15/2016
  THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS
  CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES
  BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED
  REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER.
  IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject to
  the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the
  certificate holder in lieu of such endorsement(s).
                                                                                            CONTACT
PRODUCER                                                                                    NAME:         Kristen Look
Arthur J. Gallagher Risk Management Services, Inc.                                          PHONE                                                   FAX
777 108th Ave NE, #200                                                                      (A/C, No, Ext): 425-586-1016                            (A/C, No):   425-451-3716
                                                                                            E-MAIL
Bellevue WA 98004                                                                           ADDRESS:
                                                                                                               INSURER(S) AFFORDING COVERAGE                                   NAIC #

                                                                                            INSURER A : T.H.E. Insurance Company                                        12866
INSURED                                         MIANINC-01                                  INSURER B : Liberty Insurance Corporation                                   42404
Miand, Inc. dba Night Magic Displays                                                        INSURER C :
3999 E. Hupp Road, Bldg R-3-1
                                                                                            INSURER D :
La Porte IN 46350
                                                                                            INSURER E :

                                                                                            INSURER F :

COVERAGES                                   CERTIFICATE NUMBER: 452911616                                                       REVISION NUMBER:
  THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD
  INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS
  CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS,
  EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.
INSR                                              ADDL SUBR                                         POLICY EFF   POLICY EXP
 LTR             TYPE OF INSURANCE                INSD WVD              POLICY NUMBER              (MM/DD/YYYY) (MM/DD/YYYY)                             LIMITS
 A     X   COMMERCIAL GENERAL LIABILITY                       CPP010529900                         2/4/2016        2/4/2017       EACH OCCURRENCE                $ 1,000,000
                                                                                                                                  DAMAGE TO RENTED
               CLAIMS-MADE     X   OCCUR                                                                                          PREMISES (Ea occurrence)       $ 100,000
                                                                                                                                  MED EXP (Any one person)       $
       X   Per Show Agg                                                                                                           PERSONAL & ADV INJURY          $ 1,000,000
       GEN'L AGGREGATE LIMIT APPLIES PER:                                                                                         GENERAL AGGREGATE              $
                      PRO-
           POLICY     JECT          LOC                                                                                           PRODUCTS - COMP/OP AGG         $ 2,000,000
           OTHER:                                                                                                                                                $
 A     AUTOMOBILE LIABILITY                                                                        2/4/2016        2/4/2017       COMBINED SINGLE LIMIT          $
                                                              CPP010529900                                                        (Ea accident)
       X   ANY AUTO                                                                                                               BODILY INJURY (Per person)     $
           ALL OWNED            SCHEDULED                                                                                         BODILY INJURY (Per accident) $ 1,000,000
           AUTOS                AUTOS
                                NON-OWNED                                                                                         PROPERTY DAMAGE
           HIRED AUTOS          AUTOS                                                                                             (Per accident)                 $
                                                                                                                                                                 $

 A         UMBRELLA LIAB       X   OCCUR                      ELP001210400                         2/4/2016        2/4/2017       EACH OCCURRENCE                $ 9,000,000
       X   EXCESS LIAB             CLAIMS-MADE                                                                                    AGGREGATE                      $ 9,000,000

              DED          RETENTION $                                                                                                                           $
 B     WORKERS COMPENSATION                                   WC34S311836056                       2/4/2016        2/4/2017            PER             OTH-
                                                                                                                                  X    STATUTE         ER
 B     AND EMPLOYERS' LIABILITY             Y/N               WC534S524913036                      2/4/2016        2/4/2017
       ANY PROPRIETOR/PARTNER/EXECUTIVE                                                                                           E.L. EACH ACCIDENT             $ 1,000,000
       OFFICER/MEMBER EXCLUDED?                   N/A
       (Mandatory in NH)                                                                                                          E.L. DISEASE - EA EMPLOYEE $ 1,000,000
       If yes, describe under
       DESCRIPTION OF OPERATIONS below                                                                                            E.L. DISEASE - POLICY LIMIT    $ 1,000,000




DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required)

Certificate holder is named as additional insured on the General Liability policy per form number CG133F (07/95)
The City of Muskegon all elected and appointed officials, all employees and volunteer, all boards, commissions and or authorities, and their
board members, all employees and volunteers, the County of Muskegon, and B. Baskin Enterprises, LLC are named as additional insured
with respect to the July 2, 2016 firework display in Muskegon MI




CERTIFICATE HOLDER                                                                          CANCELLATION

                                                                                              SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE
               County of Muskegon                                                             THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN
               Kristen Wade                                                                   ACCORDANCE WITH THE POLICY PROVISIONS.
               316 Morris Ave. Ste 200
               Muskegon MI 49440                                                            AUTHORIZED REPRESENTATIVE
               USA


                                                                                           © 1988-2014 ACORD CORPORATION. All rights reserved.
ACORD 25 (2014/01)                                  The ACORD name and logo are registered marks of ACORD
Date:    May 18, 2016
To:      Honorable Mayor and City Commissioners
From:    Ann Meisch, City Clerk
RE:      2016-2017 Michigan Municipal League
         Membership Dues


SUMMARY OF REQUEST: Approval to pay the 2016-2017 MML dues
in the amount of $9,676. This is an increase of $29.


FINANCIAL IMPACT:
MML Dues                $8,796
Legal Defense Fund      $ 880
Total                   $9,676


BUDGET ACTION REQUIRED: None.


STAFF RECOMMENDATION: Approval.
Date: May 24, 2016
To:    Honorable Mayor and City Commissioners

From:     Finance Department

RE:    2016-17 Healthcare & Wellness Program



SUMMARY OF REQUEST: It is time to renew the City's healthcare coverage for 2016-17 plan year (6/1/16-
5/31/17). Renewal premiums for the City's current healthcare program came in at a 7% increase over the current
year. Last year we experienced an increase of 9.9%. In comparative terms, many employers have been
experiencing sharp double-digit rate increases for several years. Also, the City’s healthcare costs remain below the
“hard cap limits” set by PA 152 and remain cost competitive with the standards set by the state for new hires.
These are good independent indicators that the City’s program is cost-effective.
Starting June 1, 2016, the deductible will be increased from $2,000 for an individual and $4,000 for
double/family to $2,500 for an individual and $5,000 for double/family. In addition, the coinsurance will
change from 80/20% to 70/30% effective June 1, 2016.

For 2016-17, the City will continue to pay the HRA deductible if the employee and spouse completed the wellness
requirements by March 31st; non-participants in the wellness program will continue to pay the first $500 (single)/
$1,000 (double/family) of the deductible.

FINANCIAL IMPACT: Following is an estimate of gross premium costs for the Priority Health HMO program
compared with the current healthcare plan year:

                                                         2016‐17                                       2015‐16
                                         Single        Double         Family            Single         Double         Family
              Monthly Premium         $     495.51 $      1,114.90 $    1,337.88    $       463.28 $ 1,042.38       $   1,250.86
              Rate Change                    6.96%           6.96%         6.96%             9.95%           9.95%         9.95%
              Annual Premium              5,946.12      13,378.80      16,054.56          5,559.36      12,508.56      15,010.32
              Current # Employees                35              43           114                35              43           114
              Total Annual Premium     208,114.20      575,288.40 $ 1,830,219.84        194,577.60     537,868.08 $ 1,711,176.48
                                                     2,613,622.44                                    2,443,622.16
              Add: HRA Deductibles Paid by City        271,000.00                                      271,000.00
              Less: 10% Employee Premium Copays       (261, 362.24)                                   (244, 362.22)
              Equals: Employer Cost                 $2,623,260.20                                   $2,470,259.94

                                              2016 PA 152 Hard Cap Limits                     2015 PA 152 Hard Cap Limits
                                      $ 6,142.11 $ 12,845.04 $          16,751.23   $     5,992.30 $ 12,531.75 $ 16,342.66
                                       214,973.85     552,336.72     1,909,640.22       209,730.50     538,865.25     1,863,063.24

                                                   $2,676,950.79                                    $2,611,658.99


Full-time City employees pay 10% of the above premium costs through payroll deduction.

BUDGET ACTION REQUIRED: Employee and retiree healthcare costs will be included in the forthcoming
2016-17 budget.

STAFF RECOMMENDATION: Authorize staff to execute documents with Priority Health to renew employee
healthcare coverage for the coming year.
Date:            May 24, 2016
To:              Honorable Mayor and City Commissioners
From:            Engineering
RE:             Consideration of Bids for:
                Repairs to the Boardwalk @ Kruse Park

SUMMARY OF REQUEST:
To authorize staff to enter into a minor repairs contract (no bonds), with Midwest Builders
LLC for a total estimated bid of $19,450 since they were the lowest responsible bidder
(see attached bid tabulation).



FINANCIAL IMPACT:
The construction cost of $19,450 plus engineering costs.


BUDGET ACTION REQUIRED:
None at this time.


STAFF RECOMMENDATION:
Authorize staff to enter into a repairs contract with Midwest Builders for an estimated price of
$19,450.



COMMITTEE RECOMMENDATION:




O:\CLERK\Common\Word\Agenda Items for Next Meeting\2016\052416\CONAWA 5-24-16 to repair boardwalk at Kruse park.doc
         Commission Meeting Date:           May 24, 2016

Date:       May 17, 2016
To:         Honorable Mayor & City Commission
From:       Community and Neighborhood Services
            Department
RE:         Authorization of Community Housing
            Development Organization (CHDO) Agreements


SUMMARY OF REQUEST: To direct the Mayor and City Clerk to sign
the 2015 approved agreements for the City’s CHDO reserve and
operating funds. The City Commission approved a budget of $100,000
to CHDO nonprofits last spring during the City’s annual Action Plan
process.
1. Community enCompass                   $85,000
2. Habitat for Humanity                  $22,000*
* Includes city HOME funding               See map for locations
After the Mayor and Clerk sign the contracts, the CNS office will retain
one copy for our files and a copy will be supplied to the appropriate
nonprofit for their records.
FINANCIAL IMPACT: Funding will be allocated from the 2015 HOME
program.
BUDGET ACTION REQUIRED: The City Commission made budgeting
allocation decision last year.
STAFF RECOMMENDATION: To direct Mayor and Clerk to sign
agreements.
COMMITTEE RECOMMENDATION: Citizen District Council approved.
                     Commission Meeting Date: May 24, 2016




Date:         May 19, 2016
To:           Honorable Mayor and City Commissioners
From:         Planning & Economic Development
RE:           Approval of Neighborhood Enterprise Zone Certificates


SUMMARY OF REQUEST:

The City is applying for Neighborhood Enterprise Zone (NEZ) certificates for the
construction of the Midtown Square Homes at 294 Monroe Ave, 300 Monroe Ave, 308
Monroe Ave, 314 Monroe Ave, 320 Monroe Ave, 333 Houston Ave, 339 Houston Ave,
345 Houston Ave and 349 Houston Ave. The State Tax Commission allows applicants
to apply for an NEZ up to six (6) months after construction commencement if the local
unit of government is willing to approve. The estimated cost for construction for the
homes is $172,640 (294 Monroe Ave), $161,605 (300 Monroe Ave), $193,670 (308
Monroe Ave), $173,000 (314 Monroe Ave), $182,420 (320 Monroe Ave), 333 Houston
Ave, $182,260 (339 Houston Ave), $162,290 (345 Houston Ave) and $172,115 (349
Houston Ave). The City plans on transferring the NEZ certificate to the buyer once the
property is sold.


FINANCIAL IMPACT:

Taxation will be 50% of the State average for the next 12 years.

BUDGET ACTION REQUIRED:

None

STAFF RECOMMENDATION:

Approval of the NEZ certificate.

COMMITTEE RECOMMENDATION:

None




5/19/2016
                                    Resolution No. ________

                             MUSKEGON CITY COMMISSION

                     RESOLUTION TO APPROVE THE ISSUANCE
               OF A NEIGHBORHOOD ENTERPISE ZONE CERTIFICATE



WHEREAS, an application for a Neighborhood Enterprise Zone Certificate has been filed with
the City Clerk by the City of Muskegon to construct a home at 294 Monroe Ave in the Nelson
neighborhood, and;

WHEREAS, the applicant has satisfied both the local and state eligibility criteria for a
Neighborhood Enterprise Zone Certificate;

WHEREAS, the local unit of government is allowing the six (6) month grace period after
construction commencement to apply, which is allowed under the law;

WHEREAS, the Neighborhood Enterprise Zone Certificate will be good for twelve (12) years;

NOW, THEREFORE, BE IT RESOLVED that the application for a Neighborhood Enterprise
Zone Certificate for the new construction of a home by the City of Muskegon be approved.

Adopted this 24th day of May, 2016.



Ayes:

Nays:

Absent:


                                                     By: __________________________
                                                         Stephen J. Gawron, Mayor


                                                     Attest: _________________________
                                                             Ann Meisch
                                                             City Clerk



5/19/16
                                       CERTIFICATION

I hereby certify that the foregoing constitutes a true and complete copy of a resolution adopted
by the City Commission of the City of Muskegon, County of Muskegon, Michigan at a regular
meeting held on May 24, 2016.

                                                                By: ________________________
                                                                          Ann Meisch
                                                                          City Clerk




5/19/16
                                    Resolution No. ________

                             MUSKEGON CITY COMMISSION

                     RESOLUTION TO APPROVE THE ISSUANCE
               OF A NEIGHBORHOOD ENTERPISE ZONE CERTIFICATE



WHEREAS, an application for a Neighborhood Enterprise Zone Certificate has been filed with
the City Clerk by the City of Muskegon to construct a home at 300 Monroe Ave in the Nelson
neighborhood, and;

WHEREAS, the applicant has satisfied both the local and state eligibility criteria for a
Neighborhood Enterprise Zone Certificate;

WHEREAS, the local unit of government is allowing the six (6) month grace period after
construction commencement to apply, which is allowed under the law;

WHEREAS, the Neighborhood Enterprise Zone Certificate will be good for twelve (12) years;

NOW, THEREFORE, BE IT RESOLVED that the application for a Neighborhood Enterprise
Zone Certificate for the new construction of a home by the City of Muskegon be approved.

Adopted this 24th day of May, 2016.



Ayes:

Nays:

Absent:


                                                     By: __________________________
                                                         Stephen J. Gawron, Mayor


                                                     Attest: _________________________
                                                             Ann Meisch
                                                             City Clerk




5/19/16
                                       CERTIFICATION

I hereby certify that the foregoing constitutes a true and complete copy of a resolution adopted
by the City Commission of the City of Muskegon, County of Muskegon, Michigan at a regular
meeting held on May 24, 2016.

                                                                By: ________________________
                                                                          Ann Meisch
                                                                          City Clerk




5/19/16
                                    Resolution No. ________

                             MUSKEGON CITY COMMISSION

                     RESOLUTION TO APPROVE THE ISSUANCE
               OF A NEIGHBORHOOD ENTERPISE ZONE CERTIFICATE



WHEREAS, an application for a Neighborhood Enterprise Zone Certificate has been filed with
the City Clerk by the City of Muskegon to construct a home at 308 Monroe Ave in the Nelson
neighborhood, and;

WHEREAS, the applicant has satisfied both the local and state eligibility criteria for a
Neighborhood Enterprise Zone Certificate;

WHEREAS, the local unit of government is allowing the six (6) month grace period after
construction commencement to apply, which is allowed under the law;

WHEREAS, the Neighborhood Enterprise Zone Certificate will be good for twelve (12) years;

NOW, THEREFORE, BE IT RESOLVED that the application for a Neighborhood Enterprise
Zone Certificate for the new construction of a home by the City of Muskegon be approved.

Adopted this 24th day of May, 2016.



Ayes:

Nays:

Absent:


                                                     By: __________________________
                                                         Stephen J. Gawron, Mayor


                                                     Attest: _________________________
                                                             Ann Meisch
                                                             City Clerk




5/19/16
                                       CERTIFICATION

I hereby certify that the foregoing constitutes a true and complete copy of a resolution adopted
by the City Commission of the City of Muskegon, County of Muskegon, Michigan at a regular
meeting held on May 24, 2016.

                                                                By: ________________________
                                                                          Ann Meisch
                                                                          City Clerk




5/19/16
                                    Resolution No. ________

                             MUSKEGON CITY COMMISSION

                     RESOLUTION TO APPROVE THE ISSUANCE
               OF A NEIGHBORHOOD ENTERPISE ZONE CERTIFICATE



WHEREAS, an application for a Neighborhood Enterprise Zone Certificate has been filed with
the City Clerk by the City of Muskegon to construct a home at 314 Monroe Ave in the Nelson
neighborhood, and;

WHEREAS, the applicant has satisfied both the local and state eligibility criteria for a
Neighborhood Enterprise Zone Certificate;

WHEREAS, the local unit of government is allowing the six (6) month grace period after
construction commencement to apply, which is allowed under the law;

WHEREAS, the Neighborhood Enterprise Zone Certificate will be good for twelve (12) years;

NOW, THEREFORE, BE IT RESOLVED that the application for a Neighborhood Enterprise
Zone Certificate for the new construction of a home by the City of Muskegon be approved.

Adopted this 24th day of May, 2016.



Ayes:

Nays:

Absent:


                                                     By: __________________________
                                                         Stephen J. Gawron, Mayor


                                                     Attest: _________________________
                                                             Ann Meisch
                                                             City Clerk




5/19/16
                                       CERTIFICATION

I hereby certify that the foregoing constitutes a true and complete copy of a resolution adopted
by the City Commission of the City of Muskegon, County of Muskegon, Michigan at a regular
meeting held on May 24, 2016.

                                                                By: ________________________
                                                                          Ann Meisch
                                                                          City Clerk




5/19/16
                                    Resolution No. ________

                             MUSKEGON CITY COMMISSION

                     RESOLUTION TO APPROVE THE ISSUANCE
               OF A NEIGHBORHOOD ENTERPISE ZONE CERTIFICATE



WHEREAS, an application for a Neighborhood Enterprise Zone Certificate has been filed with
the City Clerk by the City of Muskegon to construct a home at 320 Monroe Ave in the Nelson
neighborhood, and;

WHEREAS, the applicant has satisfied both the local and state eligibility criteria for a
Neighborhood Enterprise Zone Certificate;

WHEREAS, the local unit of government is allowing the six (6) month grace period after
construction commencement to apply, which is allowed under the law;

WHEREAS, the Neighborhood Enterprise Zone Certificate will be good for twelve (12) years;

NOW, THEREFORE, BE IT RESOLVED that the application for a Neighborhood Enterprise
Zone Certificate for the new construction of a home by the City of Muskegon be approved.

Adopted this 24th day of May, 2016.



Ayes:

Nays:

Absent:


                                                     By: __________________________
                                                         Stephen J. Gawron, Mayor


                                                     Attest: _________________________
                                                             Ann Meisch
                                                             City Clerk




5/19/16
                                       CERTIFICATION

I hereby certify that the foregoing constitutes a true and complete copy of a resolution adopted
by the City Commission of the City of Muskegon, County of Muskegon, Michigan at a regular
meeting held on May 24, 2016.

                                                                By: ________________________
                                                                          Ann Meisch
                                                                          City Clerk




5/19/16
                                    Resolution No. ________

                             MUSKEGON CITY COMMISSION

                     RESOLUTION TO APPROVE THE ISSUANCE
               OF A NEIGHBORHOOD ENTERPISE ZONE CERTIFICATE



WHEREAS, an application for a Neighborhood Enterprise Zone Certificate has been filed with
the City Clerk by the City of Muskegon to construct a home at 333 Houston Ave in the Nelson
neighborhood, and;

WHEREAS, the applicant has satisfied both the local and state eligibility criteria for a
Neighborhood Enterprise Zone Certificate;

WHEREAS, the local unit of government is allowing the six (6) month grace period after
construction commencement to apply, which is allowed under the law;

WHEREAS, the Neighborhood Enterprise Zone Certificate will be good for twelve (12) years;

NOW, THEREFORE, BE IT RESOLVED that the application for a Neighborhood Enterprise
Zone Certificate for the new construction of a home by the City of Muskegon be approved.

Adopted this 24th day of May, 2016.



Ayes:

Nays:

Absent:


                                                     By: __________________________
                                                         Stephen J. Gawron, Mayor


                                                     Attest: _________________________
                                                             Ann Meisch
                                                             City Clerk




5/19/16
                                       CERTIFICATION

I hereby certify that the foregoing constitutes a true and complete copy of a resolution adopted
by the City Commission of the City of Muskegon, County of Muskegon, Michigan at a regular
meeting held on May 24, 2016.

                                                                By: ________________________
                                                                          Ann Meisch
                                                                          City Clerk




5/19/16
                                    Resolution No. ________

                             MUSKEGON CITY COMMISSION

                     RESOLUTION TO APPROVE THE ISSUANCE
               OF A NEIGHBORHOOD ENTERPISE ZONE CERTIFICATE



WHEREAS, an application for a Neighborhood Enterprise Zone Certificate has been filed with
the City Clerk by the City of Muskegon to construct a home at 339 Houston Ave in the Nelson
neighborhood, and;

WHEREAS, the applicant has satisfied both the local and state eligibility criteria for a
Neighborhood Enterprise Zone Certificate;

WHEREAS, the local unit of government is allowing the six (6) month grace period after
construction commencement to apply, which is allowed under the law;

WHEREAS, the Neighborhood Enterprise Zone Certificate will be good for twelve (12) years;

NOW, THEREFORE, BE IT RESOLVED that the application for a Neighborhood Enterprise
Zone Certificate for the new construction of a home by the City of Muskegon be approved.

Adopted this 24th day of May, 2016.



Ayes:

Nays:

Absent:


                                                     By: __________________________
                                                         Stephen J. Gawron, Mayor


                                                     Attest: _________________________
                                                             Ann Meisch
                                                             City Clerk




5/19/16
                                       CERTIFICATION

I hereby certify that the foregoing constitutes a true and complete copy of a resolution adopted
by the City Commission of the City of Muskegon, County of Muskegon, Michigan at a regular
meeting held on May 24, 2016.

                                                                By: ________________________
                                                                          Ann Meisch
                                                                          City Clerk




5/19/16
                                    Resolution No. ________

                             MUSKEGON CITY COMMISSION

                     RESOLUTION TO APPROVE THE ISSUANCE
               OF A NEIGHBORHOOD ENTERPISE ZONE CERTIFICATE



WHEREAS, an application for a Neighborhood Enterprise Zone Certificate has been filed with
the City Clerk by the City of Muskegon to construct a home at 345 Houston Ave in the Nelson
neighborhood, and;

WHEREAS, the applicant has satisfied both the local and state eligibility criteria for a
Neighborhood Enterprise Zone Certificate;

WHEREAS, the local unit of government is allowing the six (6) month grace period after
construction commencement to apply, which is allowed under the law;

WHEREAS, the Neighborhood Enterprise Zone Certificate will be good for twelve (12) years;

NOW, THEREFORE, BE IT RESOLVED that the application for a Neighborhood Enterprise
Zone Certificate for the new construction of a home by the City of Muskegon be approved.

Adopted this 24th day of May, 2016.



Ayes:

Nays:

Absent:


                                                     By: __________________________
                                                         Stephen J. Gawron, Mayor


                                                     Attest: _________________________
                                                             Ann Meisch
                                                             City Clerk




5/19/16
                                       CERTIFICATION

I hereby certify that the foregoing constitutes a true and complete copy of a resolution adopted
by the City Commission of the City of Muskegon, County of Muskegon, Michigan at a regular
meeting held on May 24, 2016.

                                                                By: ________________________
                                                                          Ann Meisch
                                                                          City Clerk




5/19/16
                                    Resolution No. ________

                             MUSKEGON CITY COMMISSION

                     RESOLUTION TO APPROVE THE ISSUANCE
               OF A NEIGHBORHOOD ENTERPISE ZONE CERTIFICATE



WHEREAS, an application for a Neighborhood Enterprise Zone Certificate has been filed with
the City Clerk by the City of Muskegon to construct a home at 349 Houston Ave in the Nelson
neighborhood, and;

WHEREAS, the applicant has satisfied both the local and state eligibility criteria for a
Neighborhood Enterprise Zone Certificate;

WHEREAS, the local unit of government is allowing the six (6) month grace period after
construction commencement to apply, which is allowed under the law;

WHEREAS, the Neighborhood Enterprise Zone Certificate will be good for twelve (12) years;

NOW, THEREFORE, BE IT RESOLVED that the application for a Neighborhood Enterprise
Zone Certificate for the new construction of a home by the City of Muskegon be approved.

Adopted this 24th day of May, 2016.



Ayes:

Nays:

Absent:


                                                     By: __________________________
                                                         Stephen J. Gawron, Mayor


                                                     Attest: _________________________
                                                             Ann Meisch
                                                             City Clerk




5/19/16
                                       CERTIFICATION

I hereby certify that the foregoing constitutes a true and complete copy of a resolution adopted
by the City Commission of the City of Muskegon, County of Muskegon, Michigan at a regular
meeting held on May 24, 2016.

                                                                By: ________________________
                                                                          Ann Meisch
                                                                          City Clerk




5/19/16
             Commission Meeting Date: May 24, 2016




Date:        May 16, 2016
To:          Honorable Mayor & City Commission
From:        Planning & Economic Development Department
RE:          Midtown Square- Authorization for Staff to
             Negotiate and Close on Sale of Homes


SUMMARY OF REQUEST: Construction on the Midtown Square Homes has been
completed (four homes) or is being completed (five homes). There have been
several showings and one purchase offer to date. As it is necessary to move quickly
on the sales negotiations, staff is requesting that the Director of Community &
Economic Development and/or the Zoning Administrator/Planner III be authorized to
sign the Purchase Agreements and Closing Documents for the homes, as
determined by the final negotiated purchase price.



FINANCIAL IMPACT: None.



BUDGET ACTION REQUIRED: None.



STAFF RECOMMENDATION: To authorize the Mayor & Clerk to sign the attached
resolution authorizing the Director of Community & Economic Development and/or
the Zoning Administrator/Planner III to sign Purchase Agreements and Closing
Documents for the Midtown Square Homes at a price to be determined by the City
Manager.
                          RESOLUTION__________

RESOLUTION AUTHORIZING THE DIRECTOR OF COMMUNITY & ECONOMIC
DEVELOPMENT OR ZONING ADMINISTRATOR/PLANNER III TO SIGN OFF ON
ALL PURCHASE AGREEMENTS AND CLOSING DOCUMENTS FOR THE
MIDTOWN SQUARE HOMES, WITH THE PRICE TO BE DETERMINED BY THE
CITY MANAGER.



Moved by_____________________________________and supported by




Commissioner___________________________that the following Resolution be
adopted:



Adopted this____________day of____________, 2016.

                                       BY

                                        Stephen J. Gawron, Mayor

                                       ATTEST

                                            Ann Meisch, City Clerk

                               CERTIFICATION

This resolution was adopted at a meeting of the City Commission, held on
____________, 2016. The meeting was properly held and noticed pursuant to
the Open Meetings Act of the State of Michigan, Act 267 of the Public Acts of
1976.
                                               CITY OF MUSKEGON

                                       By___________________________
                                            Ann Meisch, City Clerk
             Commission Meeting Date: May 24, 2016




Date:         May 18, 2016
To:           Honorable Mayor & City Commission
From:         Planning & Economic Development Department
RE:           Muskegon City Employee Homeownership
              Program


SUMMARY OF REQUEST: It is important to encourage the City employees to live in
the City of Muskegon and enjoy the benefits of homeownership, when feasible. In
addition, the City has invested time and money into eliminating blight and restoring
central city neighborhoods. In keeping with both of these objectives, a “Muskegon
City Employee Homeownership Program” is proposed. City employees purchasing a
home within the City will be eligible for up to $500 toward a down payment, as well as
the possibility of a forgivable loan, from $1,500 to $3,500 depending on the
neighborhood where the home is purchased (see attached program outline and
application).



FINANCIAL IMPACT: For employees meeting the conditions of the “Program”, the
City will provide a $500 match toward a down payment on a home, with the
possibility of an additional $1,500 to $3,000 forgivable loan, depending on the
neighborhood where the home is located.



BUDGET ACTION REQUIRED: None.



STAFF RECOMMENDATION: To approve the “Muskegon City Employee
Homeownership Program” and authorize staff to implement the program and provide
to City employees purchasing a home in the City a down payment match up to $500,
as well as the possibility of a $1,500 to $3,000 forgivable loan, depending on
neighborhood where the home is located.
                                     CITY OF MUSKEGON
                          CITY EMPLOYEE HOME OWNERSHIP PROGRAM
                                   ELIGIBILITY APPLICATION

 List the Address you are interested in _______________________________________

HOME BUYER(S) INFORMATION
 Check Status:
      __Married     __Single               __Divorced      __Widowed              __Separated
 Home Buyers Last Name                          First Name                               M.I.


 Current Street Address                          City                   State              Zip Code


 Home Phone No.                     Work Phone No. & Ext.           Cell Phone No.
 (    )                             (     )                         (      )

 Hire Date                          Department                      Position

 _______/________/________
FAMILY MEMBERS (Living with Home Buyer(s))
 Name (First & Last)                 Relationship to Applicant                            Age




INCENTIVE QUALIFICATION
   1. Would this house be your primary            2. How much are you able and planning to contribute
   residence?                                     towards the down payment?
                     __ Yes __ No                                                  $____________
 3. Will you be living with anyone else who is    4. How long would you expect to stay at this address
 an employee of the City of Muskegon and          after moving in?
 will be receiving these benefits?
                              __ Yes __ No
 5. Which neighborhood is the house you are      6. Does the address you wish to purchase require more
 looking at purchasing located in?               than $30,000 in repairs or new construction?

                                                                                ___ Yes         ___ No
 *Keep in mind the City will need copies of all papers associated with the closing of the house as
 proof of your personal payments towards it.
Date:         May 24, 2016
To:           Honorable Mayor and City Commissioners
From:         Engineering
RE:           Public Hearing
              Create a Special Assessment District for:
              Alley between 4th-5th-Muskegon-Webster




SUMMARY OF REQUEST:
To hold a public hearing on the proposed special assessment for the Alley between 4th-5th-
Muskegon-Webster, and to create the special assessment district and appoint two City
Commissioners to the Board of Assessors if it is determined to proceed with the project.

The request is the result of a petition for paving which was signed by the majority of the
property owners abutting the aforementioned alley. It is also worth mentioning that the
“estimated” cost figures previously shared with the owners ($28,207), via the notification of
this hearing, is expected to rise substantially (more than 20%) due to higher bid prices.



FINANCIAL IMPACT:
About $35,000, which is expected to be assessed to abutting property owners, including the
City.



BUDGET ACTION REQUIRED:
None at this time.

STAFF RECOMMENDATION:
To create the special assessment district and assign two City Commissioners to the Board
of Assessors by adopting the attached resolution



COMMITTEE RECOMMENDATION:
                                   CITY OF MUSKEGON

                                 Resolution No.___________


             Resolution At First Hearing Creating Special Assessment District
                For ALLEY BETWEEN 4TH-5TH-MUSKEGON-WEBSTER
                  Location and Description of Properties to be Assessed:
                         See Exhibit A attached to this resolution


RECITALS:

1.   A hearing has been held on May 24, 2016 at 5:30 o'clock p.m. at the City
     Commission Chambers. Notice was given by mail and publication as required by
     law.

2.   That estimates of costs of the project, a feasibility report and valuation and benefit
     information are on file with the City and have been reviewed for this hearing.

3.   At the hearing held May 24, 2016, there were ______% objections by the owners of the
     property in the district registered at the hearing either in writing received before or at the
     hearing or by owners or agents present at the hearing, and the Commission has
     considered the advisability of proceeding with the project.

FINDINGS:

1.   The City Commission has examined the estimates of cost to construct the project
     including all assessable expenses and determines them to be reasonable.

2.   The City Commission has considered the value of the property to be assessed and the
     value of the benefit to be received by each property proposed to be assessed in the district
     after the improvements have been made. The City Commission determines that the
     assessments of costs of the City project will enhance the value of the properties to be
     assessed in an amount at least equivalent to the assessment and that the improvement
     thereby constitutes a benefit to the property.

THEREFORE, BE IT RESOLVED:

1.   The City Commission hereby declares a special assessment district to include the
     property set forth in Exhibit A attached to this resolution.

2.   The City Commission determines to proceed with the improvements as set forth in the
     feasibility study and estimates of costs, and directs the City Engineer to proceed with
     project design, preparation of specifications and the bidding process. If appropriate and
     if bonds are to be sold for the purposes of financing the improvements, the Finance
     Department shall prepare plans for financing including submission of application to the
     Michigan Department of Treasury and the beginning of bond proceedings.
3.   The City Commission hereby appoints a Board of Assessors consisting of City
     Commissioners _______________________________ and ________________________
       and the City Assessor who are hereby directed to prepare an assessment roll. Assessments shall be made
       upon front foot basis.

4.     Based on the City's Special Assessment policy and preliminary estimates it is expected
       that approximately 100% of the cost of the alley improvement will be paid by special
       assessments.

5.     Upon submission of the special assessment roll, the City staff is hereby directed to notify
       all owners and persons interested in properties to be assessed of the hearing at which the
       City Commission will consider confirmation of the special assessment roll.


This resolution adopted.

       Ayes___________________________________________________________________
       _______________________________________________________________________

       Nays___________________________________________________________________
       _______________________________________________________________________


                                                                    CITY OF MUSKEGON


                                                                    By _________________________
                                                                        Ann Meisch, City Clerk


                                        ACKNOWLEDGMENT

This resolution was adopted at a meeting of the City Commission, held on a May 24, 2016. The
meeting was properly held and noticed pursuant to the Open Meetings Act of the State of
Michigan, Act 267 of the Public Acts of 1976.

                                                           CITY OF MUSKEGON


                                                           By _________________________________
                                                                 Ann Marie Meisch, City Clerk
                                 EXHIBIT A


               ALLEY BETWEEN 4TH - 5TH - MUSKEGON - WEBSTER

                      SPECIAL ASSESSMENT DISTRICT

All properties abutting that section of THE ALLEY BETWEEN 4TH – 5TH – MUSKEGON
                                        - WEBSTER
Date:           May 24, 2016
To:             Honorable Mayor and City Commissioners
From:           Engineering
RE:            Consideration of Bids for:
               Paving of the Alley between 4th – 5th – Muskegon – Webster

SUMMARY OF REQUEST:
To Award the Alley paving project to McCormick Sand, Inc. since they were the lowest
responsible bidder with a total bid price of $32,825 (see attached bid tabulation).

This award, if approved should be contingent upon the creation of the special assessment
district for this project.


FINANCIAL IMPACT:
The construction cost of $32,825 plus engineering cost of an additional 15%


BUDGET ACTION REQUIRED:
None at this time.


STAFF RECOMMENDATION:
Award the contract to McCormick Sand for a bid price of $32,825 if the special assessment
district is created.



COMMITTEE RECOMMENDATION:




O:\CLERK\Common\Word\Agenda Items for Next Meeting\2016\052416\CONAWA 5-24-16.doc
BID TABULATION                                                                            H-1707 ALLEY BETWEEN
                                                                                    FOURTH FIFTH - MUSKEGON - WEBSTER




                                                                    CONTRACTOR                                        TERRA CONTRACTORS             JACKSON-MERKEY CONTRACTORS, INC. MCCORMICK SAND INC.
                                                                       ADDRESS              ENGINEER'S                     856 PULASKI                         3430 LUND AVE.                  5430 RUSSELL RD.
                                                                     CITY/ST/ZIP             ESTIMATE                MUSKEGON, MI 49441                  MUSKEGON, MI 49442-6300             TWIN LAKE, MI 49457
  Item                         Description                    UNITS   QUANTITY     UNIT PRICE        TOTAL         UNIT PRICE      TOTAL PRICE        UNIT PRICE          TOTAL PRICE      UNIT PRICE   TOTAL PRICE
     1   Mobilization, Max. /1,605.00 MAX                     LSUM        1        $1,605.00           $1,605.00       $1,605.00        $1,605.00          $1,605.00             $1,605.00    $1,605.00     $1,605.00
    2    Pavt, Rem, Modified                                   Syd       12          $5.00                $60.00          $12.00          $144.00             $38.00               $456.00       $12.00       $144.00
    3    Machine Grading, Modified                             Sta        4        $1,500.00           $6,000.00       $4,200.00       $16,800.00          $3,230.00            $12,920.00    $2,000.00     $8,000.00
    4    Erosion Control, Inlet Protection, Fabric Drop         Ea        1         $100.00              $100.00          $75.00           $75.00            $150.00               $150.00      $100.00       $100.00
    5    Aggregate Base, 6 inch                                Syd      830          $6.00             $4,980.00           $8.70        $7,221.00              $7.80             $6,474.00        $9.00     $7,470.00
    6    Dr Structure, Adj, Add Depth, Modified                 Ft        1         $300.00              $300.00         $750.00          $750.00            $470.00               $470.00      $485.00       $485.00
    7    Dr Structure Cover, Modified                           Lb      330          $1.25               $412.50           $2.27          $749.10              $1.10               $363.00        $1.50       $495.00
    8    Dr Structure, Cover, Adj, Case I, Modified             Ea        1         $350.00              $350.00         $750.00          $750.00            $760.00               $760.00      $650.00       $650.00
    9    Hand Patching                                         Ton        2         $250.00              $500.00         $135.00         $270.00              $94.00              $188.00        $94.00      $188.00
   10    HMA, 3C                                               Ton       65         $65.00             $4,225.00          $92.00        $5,980.00             $84.00             $5,460.00       $84.00     $5,460.00
   11    HMA, 4C                                               Ton       65          $70.00            $4,550.00         $105.00        $6,825.00             $94.00             $6,110.00       $94.00     $6,110.00
    12   Barricade, Type III, High Intensity, Lighted, Furn     Ea        2          $50.00              $100.00          $50.00          $100.00            $125.00               $250.00      $125.00       $250.00
    13   Barricade, Type III, High Intensity, Lighted, Oper     Ea        2           $1.00                $2.00          $50.00          $100.00              $1.00                 $2.00        $1.00         $2.00
    14   Plastic Drum, High Intensity, Furn                     Ea       14          $20.00              $280.00          $50.00          $700.00             $18.00               $252.00       $18.00       $252.00
    15   Plastic Drum, High Intensity, Oper                     Ea       14           $1.00               $14.00          $50.00          $700.00              $1.00                $14.00        $1.00        $14.00
    16   Sign, Type B, Temp, Prismatic, Furn                   Sft      100           $5.50              $550.00           $1.00          $100.00              $3.00               $300.00        $3.00       $300.00
    17   Sign, Type B, Temp, Prismatic, Oper                   Sft      100           $1.00              $100.00           $1.00          $100.00              $1.00               $100.00        $1.00       $100.00
    18   Topsoil Surface, Furn, 4 inch                         Syd      100           $3.00              $300.00           $4.00          $400.00             $12.50             $1,250.00        $7.00       $700.00
    19   Hydroseeding                                          Syd      100           $1.00              $100.00           $3.00          $300.00              $2.00               $200.00        $5.00       $500.00

                              ENGINEERS ESTIMATE TOTAL                              TOTAL           $24,528.50                       $43,669.10                               $37,324.00                  $32,825.00

                      APPARENTLY LOW BIDDER




                                                                                             H1707 ALLEY BID TABULATIONS
               Commission Meeting Date: May 24, 2016




Date:           May 19, 2016
To:             Honorable Mayor & City Commission
From:           Planning & Economic Development Department
RE:             Parkland Muskegon- City Property Agreements


SUMMARY OF REQUEST: The City of Muskegon (“City”) entered into a Development
Agreement (“Development Agreement”) with Parkland Muskegon, LLC (“Parkland”) on
September 4, 2007. The Development Agreement was amended on March 26, 2013. It is
now requested to enter into a Second Amendment to the Development Agreement. The
Second Amendment removes Parkland’s requirement to construct 24 new market housing
units on the property adjacent to High Point Flats, and includes the sale of this property to the
City, on the condition that the City builds a parking lot within twelve months of Closing on the
property (as identified in Exhibit A-1). The parking lot will be available for the properties on the
block, including High Point Flats and Ameribank. High Point Flats will be responsible for 60%
of the annual costs related to the parking lot (and Ameribank will be responsible for 40%). In
addition, Parkland is required to complete the exterior renovation of High Point Flats by June
30, 2017, as well as “use reasonable efforts” to complete the interior renovation by June 30,
2017 (which includes constructing 48 market rate housing units).

FINANCIAL IMPACT: The purchase price to the City for the property adjacent to High Point
Flats is $1.00. In addition, a special assessment in the amount of $121,330.00 will be placed
on the December 2016 property tax bill for High Point Flats. If $3 million is spent by Parkland
between the signing of the Development Agreement and June 30, 2017, the City will not
exercise its rights to collect the special assessment and it will be discharged and deemed
paid in full.

BUDGET ACTION REQUIRED: None.

STAFF RECOMMENDATION: To approve the “Agreement” between the City of Muskegon
and Parkland Muskegon, LLC (see attached), as well as the “Second Amendment to
Development Agreement” between the City of Muskegon and Parkland Muskegon, LLC (see
attached) and authorize the Mayor and Clerk to sign all necessary documents, including
closing documents at the time of sale. In addition, authorize staff to work with the City
Attorney to develop “Exhibit B” and include that in the final “Second Amendment to
Development Agreement”.
                                            AGREEMENT

       THIS AGREEMENT is made this 18th day of May, 2016 (“Agreement”), by and between the CITY
OF MUSKEGON, a Michigan municipal corporation (the “City”), whose address is 933 Terrace Street,
Muskegon, Michigan 49441, and PARKLAND MUSKEGON, LLC, a Michigan limited liability company of 75
W. Walton Suite A, Muskegon, Michigan 49440, and PARKLAND MUSKEGON, INC., a Michigan
corporation whose address is 75 W. Walton Suite A, Muskegon, Michigan 49440 (collectively the
“Company”)(collectively the “City” and the “Company” may be referred to as the “Parties”).

       IT IS HEREBY AGREED AS FOLLOWS:

           1. The Company and the City are parties to a certain Development Agreement, dated as of
              September 4, 2007, as amended by a certain First Amendment to Development
              Agreement dated as of March 26, 2013 (collectively the “Development Agreement”). The
              Parties have reached an agreement on the terms and conditions for a Second Amendment
              to the Development Agreement (see Exhibit A) (“Second Amendment”).

           2. The execution of the Second Amendment is contingent upon the Community Foundation
              for Muskegon County (“Community Foundation”) reinstating the $4.3 million loan
              commitment that was made to the Company for the Highpoint Flats development, under
              the same terms and conditions as the original commitment, within thirty (30) days from
              the date of execution of this Agreement. If the Community Foundation reinstates the
              loan, the Parties will execute the Second Amendment without modification, unless such
              modification is agreed to by both Parties in writing. If the Community Foundation does
              not reinstate the loan under the same terms and conditions as the original commitment,
              the Parties will not be required to execute the Second Amendment.

           3. The Parties will work together to examine the opportunity for the project to receive an
              NEZ designation that will address the anticipated negative cash flows that is expected to
              be experienced within the first 15 years after completion. The obligations under this
              Agreement are contingent upon the Parties agreeing on a mutually acceptable plan prior
              to the execution of the Second Amendment.

THIS AGREEMENT IS HEREBY EXECUTED ON THE DATE IDENTIFIED ABOVE.

CITY OF MUSKEGON, a Michigan municipal corporation

By: ________________________________

       Its: __________________________



PARKLAND MUSKEGON, INC., a Michigan corporation


By: ______________________________
        Jonathan Rooks
        Its: President
                       SECOND AMENDMENT TO DEVELOPMENT AGREEMENT

        THIS SECOND AMENDMENT TO DEVELOPMENT AGREEMENT is made this ___ day of May, 2016
(the “Second Amendment”), by and between the CITY OF MUSKEGON, a Michigan municipal corporation
(the “City”), whose address is 933 Terrace Street, Muskegon, Michigan 49441, and PARKLAND
MUSKEGON, LLC, a Michigan limited liability company of 75 W. Walton Suite A, Muskegon, Michigan
49440, and PARKLAND MUSKEGON, INC., a Michigan corporation whose address is 75 W. Walton Suite
A, Muskegon, Michigan 49440 (collectively the “Company”)(collectively the “City” and the “Company”
may be referred to as the “Parties”).

                                              RECITALS

         WHEREAS, the Company and the City are parties to a certain Development Agreement, dated as
of September 4, 2007, as amended by a certain First Amendment to Development Agreement dated as of
March 26, 2013 (collectively the “Development Agreement”). Unless otherwise defined herein,
capitalized terms shall have the meaning given to them in the Development Agreement; and

         WHEREAS, the Parties desire to enter into this Second Amendment for the mutual benefit of the
Parties to cure any default of the Company under the Development Agreement, remove the construction
of the 24 new market housing units on the adjacent properties from the Development Agreement, and
transfer the adjacent properties to the City; and

        WHEREAS, the Parties wish to further amend the Development Agreement on the terms and
conditions set forth in this Second Amendment.

       NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS:

       1.       INCORPORATION OF RECITALS AND DEFINED TERMS. The above recitals are hereby
incorporated into this Second Amendment as if fully set forth herein.

      2.      COMPANY AGREEMENT. The following subsections in Paragraph 2 of the Development
Agreement are amended to read as follows:

               “2.1    Redevelopment of the former Hackley Bank Building, at the corner of 1st Street
                       and Western Ave. in downtown Muskegon, an 8 story structure constructed in
                       1916, to be renovated and adaptively reused as 48 market rate housing units
                       (the “Project”).”

               “2.3    Unless otherwise amended by this Second Amendment, the performance of all
                       other undertakings set forth in this application.”

               “2.4    Unless otherwise amended by this Second Amendment, the Company shall
                       improve the properties and improvements, in accordance with the Renaissance
                       Zone proposal submitted by Parkland Muskegon, LLC.”
         3.       SALE TO THE CITY. The Company will sell the adjacent properties, more particularly
described in the attached Exhibit A -1 (the “Property”), to the City, provided the City builds a parking lot
within twelve (12) months of Closing in the area identified in Exhibit A-2 (the “HPF Lot”). At Closing, the
City shall grant the Company a non-revocable, appurtenant, perpetual and exclusive easement for forty-
seven (47) parking spaces, minimum 9.5’ (wide) x 20’ (long), on, above, or between the HPF Lot and the
adjacent alley running along the edge of the City owned Clay Avenue property, as more particularly shown
in Exhibit A-2, to be used by the Company, its guests, residents, tenants, and owners for parking at the
Project. In addition, the City agrees to grant the Company, its guests, residents, tenants and owners a non-
revocable, appurtenant, perpetual and exclusive easement to the portion of the parking lot being built
between Clay Avenue and the alley, as more particularly described in Exhibit A-2 (the “Clay
Lot”)(collectively the “HPF Lot” and the “Clay Lot” are referred to as the “City Parking Lot”), with
approximately fifty (50) more parking spaces, during all times, except business hours (“Business Hours”
are defined as Monday to Friday, 9:00 am to 5:00 pm, except legal holidays). Only the Company, its guests,
residents, tenants and owners, and the office employees or residential dwelling occupants of the
neighboring 880 1st Street (former Ameribank Building), may use the Clay Lot, and no retail or other user
parking will be permitted. The City Parking Lot will have at least ninety (90) spaces.

         4.       GARAGES AND ENTRANCE. In addition to the easements identified in paragraph 3 above,
the City will grant the Company a non-revocable, appurtenant, perpetual and exclusive easement to build
four (4) garages and an entrance to the Project, as more particularly described in the attached Exhibit B,
for exclusive use by the Company, its guests, residents, tenants and owners.

         5.     COST SHARING. The Company and the owner of the neighboring 880 1st Street building
(“Ameribank”) will share the costs of decoration, maintenance, repair and replacement of the City Parking
Lot, on a 60/40 basis, where the Company will be responsible for 60% of all annual costs and Ameribank
will be responsible for 40% of all annual costs.

         6.      CLOSING. Subject to the other provisions of this Amendment, the “Closing” of the
transaction contemplated in paragraph 3 will be held at a date and time agreed to by the Parties, within
thirty (30) days after the Company has received approval from the MEDC under Paragraph 11 of this
Second Amendment. If the Parties are not able to agree on such a date and time, the closing will be at
2:00 p.m. on the 30th day, or the next business day if the 30th day is a holiday or weekend. The closing
shall not be held any later than September 1, 2016.

      7.      PURCHASE PRICE. The “Purchase Price” for the Property is One Dollar ($1.00). No earnest
money deposit has been paid or is required in connection with this transaction.

        8.      DEED. At Closing, the Company will execute and deliver a warranty deed conveying fee
simple title to the Property to the City, free and clear or all liens and debts, and subject only to
encumbrances, reservations, restrictions, and other matters of record, and the deed restrictions for
parking described in paragraph 3 of this Second Amendment (the “Deed”). The City will prepare and
record the easement documents described above.
         9.      CONSTRUCTION TIMELINE. The Company shall complete the exterior renovation of the
Project by June 30, 2017, which will include replacing or repairing the exterior walls, windows, panels,
doors and entry ways of the Project. The Company shall use reasonable efforts to also complete the
interior renovation of the Project by June 30, 2017, which will include constructing 48, market rate housing
units; however, it may have until June 30, 2018 if it cannot reasonably complete the renovation by this
deadline.

         10.       SPECIAL ASSESSEMENT. A special assessment in the amount of $121,330.00 will be
placed on December 2016 property tax bill of the property located at 285 West Western Avenue, however,
if $3.0 Million is spent between the signing of this agreement and June 30, 2017, the City will not exercise
its rights to collect the special assessment, and the special assessment will be discharged and deemed
paid in full. Nothing contained in this provision admits Company’s liability for the assessment in the event
this Second Amendment terminates due to the Contingency in Paragraph 11 not being satisfied.

         11.    CONTINGENCY. The obligations of the Parties under this Second Amendment are
contingent upon the Michigan Economic Development Corporation or its agent (collectively the “MEDC”)
approving (by no later than July 6, 2016) the amendments to the previously approved incentives for the
Project to allow for the removal of the 24 unit addition from the scope of the Project, as noted in
paragraph 2.1 above, an extension of the Completion Date for the 48 units in the tower, as noted in
paragraph 9 above, and the substitution of commercial space into the basement level of the Project (to
be developed at a later date by the Company, a tenant, or an unaffiliated entity). The City agrees to
actively support the Company in its request.

        12.     MISCELLANEOUS.

                12.1 Entire Agreement. This is the entire agreement between the Parties regarding the
subject matter of this Amendment. It may not be modified or amended except in a written Amendment
executed by both Parties.

             12.2 Improvements. The Development Plan description included in Exhibit C of the
Development Agreement shall be amended to reflect the description included in Section 2.1 above.

             12.3 Construction. The terms of this Second Amendment amend and modify the
Development Agreement as if fully set forth in the Development Agreement.

                12.4 Ratification. All other provisions of the Development Agreement not specifically
modified by this Second Amendment are preserved, confirmed and shall remain in full force and effect.

                 12.5 Counterparts. This Amendment may be signed in counterparts and delivered
electronically or by facsimile, and each such counterpart and delivery will be a binding and valid execution
and delivery of this Amendment.

               12.6 Binding Nature. This Amendment shall be binding upon the Parties and their
subrogees, successors, and permitted assigns.
                12.7 Legal Counsel. Each of the Parties had the advice of legal counsel (or an
opportunity to obtain the same) before entering into this Amendment and it is to be interpreted as if it
were mutually drafted.

                12.8 Authority. Each of the undersigned who execute this document on behalf of an
entity represent and warrant that they are authorized by the appropriate agents, members, managers,
directors or stockholders of the entity for the purpose of binding the entity to the obligations of this
Amendment.

THIS AMENDMENT IS HEREBY EXECUTED ON THE DATE IDENTIFIED ABOVE.



CITY OF MUSKEGON, a Michigan municipal                 PARKLAND MUSKEGON, INC., a Michigan
corporation                                            corporation




                                                       By: ______________________________
By: ________________________________
                                                               Jonathan Rooks
       Its: __________________________                         Its: President
              Commission Meeting Date: May 24, 2016




Date:         May 18, 2016
To:           Honorable Mayor & City Commission
From:         Planning & Economic Development Department
RE:           Ameribank Building- Option Agreement between
              the City of Muskegon and Port City Construction
              & Development Services, LLC



SUMMARY OF REQUEST: The City issued a Request for Proposal for the former
Ameribank Building at 800 First Street. One viable proposal was received by the
deadline of March 31, 2016. Staff has met with the proposed purchaser and an
Option Agreement has been prepared between the parties (see attached). The term
of the Option is through October 1, 2016, with an extension possible through January
1, 2017. The option is for 800 First Street, which will be returned to production use as
a mixed-use commercial and residential development. The purchase price is $1.00,
plus a total earnest money deposit of $20,000 (to be returned to the purchaser upon
completion of the project). In addition, the City will offer a loan of $100,000 in support
of the project. The City will develop surface parking on adjacent lots (208 & 216 Clay
Avenue). The parking will be shared with other developments on the block, with 40%
of the maintenance costs to be paid by the purchaser.

FINANCIAL IMPACT: Although the purchase price for the building is minimal, the
building will be renovated and put back into production use and its occupants will
generate taxes for the City in the future.

BUDGET ACTION REQUIRED: None.

STAFF RECOMMENDATION: To approve the Option Agreement between the City
of Muskegon and Port City Construction & development Services, LLC and authorize
the Mayor and Clerk to sign all necessary documents, including closing documents at
the time of sale.

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