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City of Muskegon
City Commission Meeting
Minutes
February 14, 2023, 5:30 pm
Muskegon City Hall
933 Terrace Street, Muskegon, MI 49440
Present: Mayor Ken Johnson
Commissioner Rachel Gorman
Commissioner Rebecca St.Clair
Commissioner Eric Hood
Vice Mayor Willie German, Jr.
Commissioner Teresa Emory
Absent: Commissioner Michael Ramsey
Staff Present: City Manager Jonathan Seyferth
City Attorney John Schrier
City Clerk Ann Meisch
Deputy City Clerk Kimberly Young
1. Call To Order
The Regular Meeting of the City of Muskegon was held at City Hall, 933 Terrace
Street, Muskegon, Michigan at 5:30 p.m., on Tuesday, February 14, 2023.
2. Prayer
Pastor E.J. Wood from All Shores Wesleyan Church opened the meeting with a
prayer.
3. Pledge of Allegiance
The Commission and public recited the Pledge of Allegiance to the Flag.
4. Roll Call
As recorded above
5. Honors, Awards, and Presentations
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5.a Introduction of New Staff - Planning & Economic Development
Economic Development Director, Jake Eckholm, introduced Wendy
Webster - Administrative Assistant to the Planning and Economic
Development Department. She comes to us from SafeBuilt and has also
worked for Muskegon Public Schools in the past.
6. Public Comment on Agenda Items
Public comments were received.
7. Consent Agenda
Action No. 2023-30
Motion by: Vice Mayor German
Second by: Commissioner St.Clair
To accept the consent agenda as presented, minus item E.
Ayes: (6): Mayor Johnson, Commissioner Gorman, Commissioner St.Clair,
Commissioner Hood, Vice Mayor German, Commissioner Emory
Absent (1): Commissioner Ramsey
MOTION PASSES (6 to 0)
7.a Approval of Minutes - City Clerk
To approve the minutes of the January 9, 2023 Worksession and January
10, 2023 Commission Meeting.
STAFF RECOMMENDATION: To approve the minutes.
7.b AgeWell Services Non-Profit Recognition - City Clerk
AgeWell Services is requesting recognition as a non-profit in the City of
Muskegon for the purpose of obtaining charitable gaming licenses for
raffles.
STAFF RECOMMENDATION: To approve the request from AgeWell
Services to be recognized as a non-profit in the City of Muskegon and
approve the Local Governing Body Resolution for Charitable Gaming
Licenses.
7.c Use of DMDC Property Downtown Muskegon - City Clerk
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The DMDC has been paying taxes and upkeep for many years on several
lots currently being used by the City or for parking by the general public in
downtown. The DMDC is requesting a payment of $25,500 to assist with
paying those expenses.
The DMDC is currently paying for the upkeep of 387 Morris Avenue, 401
Morris, 351 W. Western, 325 W. Western, 307 W. Western, 299 W.
Western, 295 W. Western, and 292 W. Western. The attached
spreadsheet indicates an estimated cost that is over $25,000 annually.
The DMDC has approached the City asking if we could assist in paying
these funds.
AMOUNT REQUESTED: $25,500
AMOUNT BUDGETED: $5,000 from Western Market
FUND OR ACCOUNT: $12,000 from Western Market Fund - 252-807-801
FUND OR ACCOUNT: $13,500 from Public Improvement Fund - 445-807-
801
STAFF RECOMMENDATION: To authorize a payment of $25,500 to the
DMDC for the use of the property.
7.d Taste of Muskegon Liquor License - City Clerk
The Muskegon City Clerk’s Office is seeking commission approval to
apply for a special liquor license for beer, wine and spirit service for the
Taste of Muskegon being held in Hackley Park on Friday, June 9, 2023
and Saturday, June 10, 2023.
STAFF RECOMMENDATION: Authorize the City Clerk's Office to apply
for a special liquor license for the Taste of Muskegon.
7.f FY23 Municipal Senior Millage Funding - Community &
Neighborhood Services
To approve allocations of the Municipal Senior Millage funding to city
programs geared toward citizens who are 60 years of age, or older. An
allocation of $101,234.00 from the county of Muskegon FY23 Municipal
Senior Millage funding is budgeted for the following programs:
Power of Produce (Farmer’s Market) - $ 19,700
Senior Project Fresh- $300
Home Repairs (CNS) - $ 81,234
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STAFF RECOMMENDATION: To approve the budget proposed for City of
Muskegon programs utilizing FY23 Municipal Senior Millage Funds from
the County of Muskegon.
7.g Sale of 1334 Pine Street - City Manager
Staff is requesting approval of a new purchase agreement for 1334 Pine
Street. 1334 Pine Street was constructed through the agreement with
Dave Dusendang to construct infill housing with ARPA funding. The
previous offer has been terminated through a mutual release. This new
offer is for the full listing price and is not contingent upon the sale of the
buyer’s current home.
STAFF RECOMMENDATION: To approve the Purchase Agreement for
1334 Pine Street.
7.h MERS-Police Command Employee Contribution Rate - Finance
The City seeks to adopt the Police Command Defined Benefit Employee
Contribution as negotiated per their contract.
The Finance Department wants permission to sign a Defined Benefit Plan
Adoption Agreement to reduce the employee contribution rate for Police
Command as follows:
A police command defined benefit employee shall effective January 1,
2023:
Employees shall contribute 3% of their compensation towards the defined
benefit plan as defined by MERS
STAFF RECOMMENDATION: To approve the required employee
contribution 3% for Police Command Defined Benefits.
7.i MERS - Police Command DC Employee Contribution Rate - Finance
The City seeks to adopt the Police Command Defined Contribution Plan
Employee’s Contribution rate as negotiated per their contract.
The Finance Department wants permission to sign a Defined Contribution
Plan Adoption Agreement to increase the employee contribution rate for
Police Command as follows:
A police command defined benefit employee shall effective January 1,
2023:
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Employees shall contribute 9% of their compensation towards the defined
benefit plan as defined by MERS. The previous contribution rate was 6%.
STAFF RECOMMENDATION: To approve the required employee
contribution of 9% for Police Command Defined Benefit Plan.
7.j MERS - Police Command HCSP Employee and Employer
Contribution Rates - Finance
The City seeks to adopt the Police Command’s Health Care Saving
Program contribution rates as negotiated per their contract.
The Finance Department wants permission to sign the Health Care
Savings Plan Agreement to reduce the employee contribution rate for
Police Command as follows:
A police command defined benefit employee shall effective January 1,
2023:
• Police Command employees who are eligible to receive retiree
healthcare benefits will contribute 3 % of their Medicare taxable
wages towards the Health Care Savings program with no employer
contribution
Police Command employees who are not eligible to receive retiree
healthcare benefits will contribute 6% of their Medicare taxable wages
towards the Health Care Savings program with a 6% employer
contribution.
STAFF RECOMMENDATION: To approve the required employee and
employer Health Care Saving Program Contributions.
7.k Deficit Elimination Plan - Marina Fund - Finance
To approve the Deficit Elimination plan and resolution for the Marina Fund
and direct staff to submit plan to the State of Michigan.
At June 30, 2022 the Marina Fund had a $395,374.00 deficit. Act 275 of
Public Acts of 1980 requires the City to formulate a deficit elimination plan
and submit it to the Michigan Department of Treasury. The deficit
elimination plan and resolution for the Marina Fund are attached.
The original deficit elimination plan had to extended another year. It will
require a $450,000 transfer from General Fund in 2022-23 and a $260,000
transfer from the General Fund in 2023-24.
AMOUNT REQUESTED: $450,000 22-23 AND $260,000 23-24
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From General Fund to Marina
STAFF RECOMMENDATION: To approve the Deficit Elimination
Resolution for the Marina.
7.l Deficit Elimination Plan - Brownfield Redevelopment Authority
(combined) - Finance
To approve the Deficit Elimination plan and resolution for the Brownfield
Redevelopment Authority (combined) and direct staff to submit plan to the
State of Michigan.
At June 30, 2022 the Brownfield Redevelopment Authority (combined) had
a $64,211.00 deficit. Act 275 of Public Acts of 1980 requires the City to
formulate a deficit elimination plan and submit it to the Michigan
Department of Treasury. The deficit elimination plan and resolution for the
Brown Field Redevelopment are attached.
The State wanted more clarification on the deficit with a different layout,
plus I extended the plan one more year.
STAFF RECOMMENDATION: To approve the Deficit Elimination
Resolution for the Brownfield Redevelopment Authority.
7.m CSX Rail, Authorization to Close - City Manager
This is an authorization to close on the purchase of the CSX rail line from
near the Boys and Girls Club west to Windward Point though the Nims
and Lakeside Neighborhoods. The Commission authorized purchase of
the property on May 24, 2022. This is just a technical step that has to be
taken before closing documents are signed.
Related to the Windward Point development the City has agreed to use
about $1.688 million of APRA funding to purchase the abandoned rail road
spur that runs along Muskegon Lake in the Nims and Lakeside
neighborhoods. The City’s costs for the purchase will be reimbursable
through the Windward Point brownfield TIF.
The City has let it be known to the developers that we are willing to
negotiate our position within the TIF depending on what occurs with the
development. We’ve also indicated a willingness to reduce the amount of
our capture if the percent of public access to Muskegon Lake is increased.
Because these are both items that would be negotiated with the final
developer and not the current owners, those items are still to be
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determined. However, with the current agreement and our costs going into
the brownfield, the City would be reimbursed for its investment.
The City Commission authorized the purchase of rail road line/abandoned
spur on May 24, 2022 on a 6-0 vote.
Other past action includes the approval to extend the closing date which
was approved by the Commission on Nov. 22, 2022, this extended the
closing window to the end of the First Quarter of 2023.
It is anticipated closing will happen before the end of February.
STAFF RECOMMENDATION: To authorize the City Manager to sign
closing documents related to the City's purchase of the abandoned Rail
Road Spur owned by CSX.
7.e Voting Precincts - City Clerk
Muskegon Public Schools is currently renovating many of their buildings.
Several of these buildings are currently precincts. The City Clerk’s Office
requests to move those precincts to accommodate the renovations.
We have searched for new locations for precincts that must move before
renovations begin and before the 2024 Election cycle. After careful
consideration and visiting the buildings, we recommend to move Precincts
3 and 4 from Muskegon Middle School to Central Assembly of God, 896
Home Street in their gym, move Precinct 2 from Marquette Elementary to
Bethesda Baptist Church, 575 S. Getty, and move Precinct 11, from
Glenside Elementary to Celebration Community, 1260 W. Sherman. Each
location has received permission to offer us the locations and we would
pay $500 each as we currently pay Lakeside Baptist Church for their time
to open the building early in the morning, the use of their tables and
facilities, and closing late into the evening.
AMOUNT REQUESTED: $500 per location for each Election
FUND OR ACCOUNT: 101-215-801 (Elections)
STAFF RECOMMENDATION: To authorize the movement of Precincts 3
and 4 from Muskegon Middle School to Central Assembly of God, 896
Home Street, move Precinct 2 from Marquette Elementary to Bethesda
Baptist Church, 575 S. Getty, and move Precinct 11, from Glenside
Elementary to Celebration Community, 1260 W. Sherman.
Action No. 2023-31
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Motion by: Commissioner Gorman
Second by: Commissioner Emory
Ayes: (6): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Commissioner Hood, Vice Mayor German, Commissioner Emory
Absent (1): Commissioner Ramsey
MOTION PASSES (6 to 0)
8. Public Hearings
8.a 2021 Consolidated Annual Performance Evaluation Report (CAPER)
Hearing - Community & Neighborhood Services
The CAPER is available on our website for citizen review and comment
period of 15 days from January 29 -February 17, 2023. A public Hearing is
another opportunity to comment about the Federal CDBG and HOME
program activities performed during the fiscal year 2021 (July 1, 2021 -
June 30, 2022).
Click on the link to view the CAPER https://muskegon-mi.gov/city-
services/development-services/community-neighborhood-services/reports/
STAFF RECOMMENDATION: To conduct a Public Hearing for the 2021
CAPER review.
Sharonda Carson, Community and Neighborhood Services Director
provided a brief overview of the 2021 Consolidated Annual Performance
Evaluation Report.
Public Hearing Commenced:
Raynice Starr - spoke in favor of the department and it's resources.
Marriah McIntosh - provided comments on the issue of community land
trust issues; has reservations this program and wants more input from
community.
Director Carson spoke about qualifications for programs
Randy VanderWhite - asked about community land trust that is referenced
in the CAPER on the city's website.
Action No. 2023-32
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Motion by: Commissioner Gorman
Second by: Commissioner Hood
To close the public hearing.
Ayes: (6): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Commissioner Hood, Vice Mayor German, and Commissioner
Emory
Absent (1): Commissioner Ramsey
MOTION PASSES (6 to 0)
9. Unfinished Business
9.a ARPA Community Grant Program - Development Services
Seeking authorization to dedicate $1,500,000 from the City’s remaining
allocation of American Rescue Plan Act (ARPA) federal stimulus funds for
the creation of an “ARPA Community Grant” program.
The federal American Rescue Plan Act of 2021 (ARP), signed into law
3/11/21, provided $350 billion to eligible state, local, territorial, and tribal
governments to support and meet the public health and economic needs
of those impacted by the COVID-19 public health emergency in their
communities as well as address longstanding health and economic
disparities, which amplified the impact of the pandemic in disproportionally
impacted communities, resulting in more severe pandemic impacts. These
funds are being made available through the federal Coronavirus State and
Local Fiscal Recovery Funds (“SLFRF”) program. The program ensures
that governments have the resources needed to:
• Fight the pandemic and support families and businesses struggling
with its public health and economic impacts,
• Maintain vital public services, even amid declines in revenue, and
• Build a strong, resilient, and equitable recovery by making
investments that support long-term growth and opportunity.
Of the approximately $6.1M from the City’s remaining balance of federal
ARPA stimulus funds, $1.5M would be available to establish a new city-
sponsored ARPA Community Grant program.
Grant funds are intended to advance equity, strengthen the economic
vitality of the city, and strengthen the quality of life for city residents.
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Proposals must meet the objectives of the ARPA program and be aligned
with the City’s Long Term Goals and strategic priorities.
Grant program details:
• Eligible applicants: 501(c)(3) nonprofit organizations & small
businesses, located in the city.
• Grant funds to be used for costs incurred on or after March 3, 2021.
• Grant Applications available 3/1/23. Application deadline
3/31/23. ARPA Community Grant Review Committee will rank
eligible applications and submit recommendations to the
Commission. Commission will review and make funding
decisions at the April 25th Commission meeting. Final
Commission recommendations announced by April 26th.
• ARPA Community Grant Review Committee - one City
Commissioner, one representative from each of the (4) City
Commission Wards, and City Manager. Two representative(s) from
local Community Based Organizations will also be included to act in
an advisory role only.
• Grant award range - $25,000 to 250,000. Fixed grant requested
amounts in the following increments only: $25,000, $50,000,
$75,000, $100,000, $150,000, $200,000 or $250,000.
• Proposed projects must be obligated/contracted by 12/31/24, and
funds spent by 12/31/26.
• Applicants awarded grant funds will enter into a contractual
agreement (SLFRF Beneficiary Agreement) with the city which
outlines general obligations and reporting requirements.
AMOUNT REQUESTED: $1,500,000
AMOUNT BUDGETED: $1,500,000
FUND OR ACCOUNT: 101-901-982-092112
STAFF RECOMMENDATION: To authorize $1,500,000 from the City’s
allocation of American Rescue Plan Act (ARPA) federal stimulus funds to
create an ARPA Community Grant program.
Action No. 2023-33
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Motion by: Commissioner St.Clair
Second by: Commissioner Emory
To authorize $1,500,000 from the City's allocation of American Rescue
Plan Act (ARPA) federal stimulus funds to create an ARPA Community
Grant Program.
Ayes: (5): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Commissioner Hood, and Commissioner Emory
Nays: (1): Vice Mayor German
Absent (1): Commissioner Ramsey
MOTION PASSES (5 to 1)
Amendment:
Motion by: Vice Mayor German
Second by: Commissioner Hood
To increase the amount of the ARPA allocation for the Community Grant
Program from $1,500,000 to $2,000,000.
Ayes: (6): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Commissioner Hood, Vice Mayor German, and Commissioner
Emory
Absent (1): Commissioner Ramsey
MOTION PASSES (6 to 0)
Amendment:
Motion by: Commissioner St.Clair
Second by: Commissioner Emory
To increase the amount of the ARPA allocation from $1,500,00 to
$1,600,000 instead of $2,000,000
Ayes: (5): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Commissioner Hood, and Commissioner Emory
Nays: (1): Vice Mayor German
Absent (1): Commissioner Ramsey
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MOTION PASSES (5 to 1)
10. New Business
10.a Adelaide Pointe - First Addendum - City Manager - REMOVED PER
STAFF REQUEST
10.b Second Amendment to the Planned Unit Development at Adelaide
Pointe (1148 & 1204 W. Western Avenue) - Planning
Request to amend the final Planned Unit Development at 1148 & 1204 W
Western Ave (Adelaide Point).
Changes from the last approved plan include the following:
• Condo building one (west waterfront side of development) rotated
slightly to avoid the bike trail.
• Swimming pool from condo building one removed.
• East basin boat launch removed. Boats will now be launched at the
Hartshorn launch ramp. It will remain open to the public and also be
used to launch boats from the proposed Hartshorn Village boat
storage building.
• Boat condo structures (C6) combined into one building.
A motion to recommend approval of the PUD was approved by a 5-1 vote.
STAFF RECOMMENDAITON: To approve the request to amend the final
Planned Unit Development at 1148 & 1204 W. Western Avenue (Adelaide
Pointe).
Action No. 2023-34
Motion by: Commissioner St.Clair
Second by: Commissioner Gorman
To approve the request to amend the final Planned Unit Development at
1148 & 1204 W. Western Avenue (Adelaide Pointe).
Ayes: (5): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Commissioner Hood, and Commissioner Emory
Nays: (1): Vice Mayor German
Absent (1): Commissioner Ramsey
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MOTION PASSES (5 to 1)
10.c Second Amendment to the Planned Unit Development at Hartshorn
Village (920, 1050, 1060, 1000 and 1010 W. Western Ave) - Planning
Request to amend the final Planned Unit Development at 920, 1050,
1060, 1000 and 1010 W Western Ave (Hartshorn Village).
Changes from the last approved plan include the following:
• The next phase (Phase 2) of the single-family development has
been reduced in size to what is now indicated on the plans. An
additional 10 units (units 11-20) are proposed. With the reduced
scope of Phase 2, the existing access from W Western to the
parking area along the lake will remain. Development plans for the
remaining property west of the access drive is yet to be
determined. Once plans are finalized, the applicant will submit
plans outlining the details. The parking lot to the north of the bike
path, adjacent to the lake, will also remain. Previous plans depicted
this area as public green space.
• For the west parcel adjacent to Adelaide Point a boat storage
facility will be constructed in the area previously approved for eight
single-family houses and a 17-unit condo building. The facility will
provide winter storage and short-term seasonal storage and
launching of boats for customers. Boats will need to be transported
over the bike path. The proposed bike path is planned to stay in
place, but it will be barricaded off when a boat is being launched.
There will be a new alternate bike path around the building for
when that happens. Please note that the Adelaide Point
development is no longer planning on using their east basin to
launch boats. Boats from that development will also be using the
Hartshorn launch ramp as well as the general public.
• The existing parking for Fricano’s Place will remain as it currently is
and the new parking to the west will be eliminated.
• The Hartshorn Village Condominium will be amended and all
documents revised to convert the condominium from a traditional
condominium to a site condominium.
A motion to approve the PUD with conditions was approved by a 4-3 vote.
The conditions included:
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• Stormwater permit is issued by the City Engineering Department
• 10-inch concrete to be installed where forklift operates.
• Bike path is elevated near the wetlands.
• Future community (building) and pool location be removed.
• That the gate from the large boat basin be removed.
These conditions have been met with updates to the site plan. The
stormwater permit is currently being amended.
STAFF RECOMMENDATION: To approve the request to amend the final
Planned Unit Development at 920, 1050, 1060, 1000 and 1010 W.
Western Avenue (Hartshorn Village) with the condition that a stormwater
permit is issued from the Engineering Department.
Action No. 2023-35
Motion by: Commissioner St.Clair
Second by: Commissioner Hood
To approve the request to amend the final Planned Unit Development at
920, 1050, 1060, 1000 and 1010 W. Western Avenue (Hartshorn Village)
with the conditions that a stormwater permit is issued from the
Engineering Department, sidewalk added, publicly accessible driveway,
setback and landscaping between the boat storage building and the bike
path.
Ayes: (5): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Commissioner Hood, and Commissioner Emory
Nays: (1): Vice Mayor German
Absent (1): Commissioner Ramsey
MOTION PASSES (5 to 1)
11. Any Other Business
11.a Re: Adelaide Pointe Addendum
Mayor Johnson spoke regarding potentially placing the Adelaide Pointe
Addendum on the Legislative Policy Committee meeting agenda
Wednesday, February 22, 2023 at 5:30 - along with other items.
11.b Recognition of Black History Month
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In recognition of Black History Month, Vice Mayor German spoke about
the events leading to the creation of the month long celebration. Vice
Mayor German also paid tribute to Frederick Douglass, an American
historical figure.
11.c Adelaide Pointe Public Forum
Mayor Johnson complimented staff on the public forum that was held at
City Hall on Thursday, February 2, 2023. The presentation as well as
FAQ's are on the city's website. He also encourages those with questions
to reach out to staff or the developer.
12. Public Comment on Non-Agenda items
• 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.)
Public comments were received.
13. Closed Session
14. Adjournment
The City Commission meeting adjourned at 10:04 p.m.
_________________________
Respectfully Submitted,
Ann Marie Meisch, MMC - City Clerk
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