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City of Muskegon
City Commission Meeting
Minutes
October 10, 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 Michael Ramsey
Commissioner Teresa Emory
Staff Present: City Manager Jonathan Seyferth
City Clerk Ann Meisch
City Attorney John Schrier
Deputy City Clerk Kimberly Young
1. Call To Order
Mayor Johnson called the City Commission meeting to order at 5:30 p.m.
2. Prayer
Pastor Russell Damm from Oakcrest Church of God opened the meeting with
prayer.
3. Pledge of Allegiance
The Pledge of Allegiance to the Flag was recited by the Commission and the
public.
4. Roll Call
As recorded above
5. Honors, Awards, and Presentations
5.a Memorial for Hope Griffith
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Mayor Johnson read and presented a Proclamation Honoring Hope Griffith
to Hope's family. Hope Griffith was an employee of the City for over 25
years and passed away unexpectedly on August 17, 2023. She had a
wealth of knowledge, was extremely helpful, generous, and kind and will
be sincerely missed by all.
5.b Recognition of Steve Hammond - Inspector of the Year
Public Safety Director Tim Kozal and Deputy Public Safety Director Jay
Paulson introduced award recipient Steve Hammond. He was nominated
for the award by Deputy Director Paulson. Steve was awarded the
Inspector of the Year Award from the Michigan Fire Inspectors Society in
"Recognition of Outstanding Effort and Dedication to Bring About Fire
Safety for Your Community and State".
6. Public Comment on Agenda Items
Public comments were received.
7. Consent Agenda
Action No. 2023-106
Motion by: Commissioner St.Clair
Second by: Commissioner Gorman
To accept the consent agenda as presented, minus items 7B, 7C, 7D, 7F, 7L,
7M, and 7N
Ayes: (7): Mayor Johnson, Commissioner Gorman, Commissioner St.Clair,
Commissioner Hood, Vice Mayor German, Commissioner Ramsey, and
Commissioner Emory
MOTION PASSES (7 to 0)
7.a Approval of Minutes - City Clerk
To approve the minutes of the September 26, 2023 Regular Meeting.
STAFF RECOMMENDATION: To approve the minutes.
7.e Samaritas Municipal Services Agreement - Development Services -
417 E. Jackson
City Staff has negotiated and reviewed a Payment in Lieu of Taxes
agreement for commission consideration for an adaptive reuse project at
Froebel School into affordable workforce housing apartments.
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For several years staff have been attempting to find a partner that had
interest and capacity in the adaptive reuse of the long-vacant Froebel
School building. Since 2019, we have toured more than 10 entities
through the school, and held a community meeting offering several touring
opportunities for the public. Through these efforts we have developed
interest from Samaritas for the potential installation of affordable housing
units by application to the Michigan Statewide Housing Development
Authority (MSHDA) Low Income Housing Tax Credit (LIHTC) Program. If
awarded, then Samaritas proposes historical preservation and adaptive
remodel of the school building into apartments for low to moderate income
residents. The attached agreement establishes their Municipal Services
Agreement at 3% of shelter rents.
If approved by commission, Samaritas is also proposing a PILOT payment
of 2% of net shelter rents, for a total annual payment of 5% of rents. The
Municipal Services Agreement (MSA) stays completely with the city to
defray costs of public service delivery to the site, while the PILOT payment
is divided proportionally to the other taxing jurisdictions, similar to a
traditional property tax payment.
This item is connected to the Samaritas PILOT agenda item, as well as
the sales agreement item for Froebel School.
STAFF RECOMMENDATION: To approve the Municipal Services
Agreement with Samaritas Affordable Living Froebel Limited Dividend
Housing Association Limited Partnership and authorize the mayor and
clerk to sign.
7.g Spire Development, Allen Crossing Municipal Services Agreement -
Development Services - 148 Allen Avenue
City Staff has negotiated and reviewed a Payment in Lieu of Taxes and
Municipal Services agreement for commission consideration for a new
construction 45 unit Senior workforce/family affordable housing complex at
and around 148 Allen Avenue.
Pursuant to our 5 Year Housing Needs Assessments call for over 1,000
rental units priced under $1,430 a month, staff has made overtures and
established relationships with several new Low Income Housing Tax
Credit (LIHTC) developers. Spire Development originally responded to our
request for proposals at the former Catholic Charities site, and when they
were not selected by commission for that project we immediately
introduced them to the site owners of this subject property.
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Per their request letter, Spire is seeking a Municipal Services Agreement
of 3% of net shelter rents. This should equal roughly $10,000-$12,000 per
year. Spire is also requesting a 6% PILOT, which is detailed in another
agenda item in the packet.
STAFF RECOMMENDATION: To approve the Municipal Services
Agreement with Allen Crossing Affordable Living Froebel Limited Dividend
Housing Association Limited Partnership and authorize the mayor and
clerk to sign.
7.h Spire Development, Amity Commons PILOT Agreement -
Development Services - 159 Amity Avenue
City Staff has negotiated and reviewed a Payment in Lieu of Taxes and
Municipal Services agreement for commission consideration for a new
construction 50-unit workforce/family affordable housing complex at and
around 159 Amity Avenue.
Pursuant to our 5 Year Housing Needs Assessments call for over 1,000
rental units priced under $1,430 a month, staff has made overtures and
established relationships with several new Low Income Housing Tax
Credit (LIHTC) developers. Spire Development originally responded to our
request for proposals at the former Catholic Charities site, and when they
were not selected by commission for that project we immediately
introduced them to the site owners of this subject property.
Per their request letter, Spire is seeking a PILOT Agreement of 5% of net
shelter rents. This should equal roughly $16,500-20,000 per year for all
taxing jurisdictions to split. Spire is also requesting a 3% Municipal
Services Charge, which is detailed in another agenda item in the packet.
STAFF RECOMMENDATION: To approve the Contract for Housing
Exemption with Amity Commons Limited Dividend Housing Association
Limited Partnership and authorize the mayor and clerk to sign.
7.i Spire Development, Amity Commons Municipal Services Agreement -
Development Services - 159 Amity Avenue
City Staff has negotiated and reviewed a Payment in Lieu of Taxes and
Municipal Services agreement for commission consideration for a new
construction 50 unit workforce/family affordable housing complex at and
around 159 Amity.
Pursuant to our 5 Year Housing Needs Assessments call for over 1,000
rental units priced under $1,430 a month, staff has made overtures and
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established relationships with several new Low Income Housing Tax
Credit (LIHTC) developers. Spire Development originally responded to our
request for proposals at the former Catholic Charities site, and when they
were not selected by commission for that project we immediately
introduced them to the site owners of this subject property.
Per their request letter, Spire is seeking a Municipal Services Agreement
of 3% of net shelter rents. This should equal roughly $10,000-$12,000 per
year. Spire is also requesting a 5% PILOT, which is detailed in another
agenda item in the packet.
STAFF RECOMMENDATION: To approve the Municipal Services
Agreement with Amity Commons Affordable Living Froebel Limited
Dividend Housing Association Limited Partnership and authorize the
mayor and clerk to sign.
7.j Sale of 1530 Hoyt Street - City Manager's Office
Staff is requesting approval of a purchase agreement for 1530 Hoyt
Street. Create an environment that effectively attracts new
residents and retains existing residents by filling existing employment
gaps, attracting new and diverse businesses to the city, and expanding
access to a variety of high-quality housing options in Muskegon.
STAFF RECOMMENDATION: To approve the purchase agreement for
1530 Hoyt Street.
7.k Sale of 1647 Terrace Street - City Manager's Office
Staff is requesting approval of a purchase agreement for 1647 Terrace
Street. 1647 Terrace Street was constructed through the agreement with
Dave Dusendang to construct infill housing with ARPA funding. The offer
is over the full listing price with $10,000 in seller concessions.
STAFF RECOMMENDATION: To approve the purchase agreement for
1647 Terrace Street.
7.o Amendment to Parks & Recreation Advisory Committee Sec. 58-62 -
City Clerk
To amend Sec. 58-62 of the Parks & Recreation Advisory Committee to
reflect two Representative At-Large positions for a total of twelve
members. To further amend the ordinance to reflect that the member
appointed by and from the Commission will serve as chair and be a non-
voting member.
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On Friday, October 22, 2023 the Community Relations Committee held a
special meeting to discuss and make initial appointments to the recently
established Parks & Recreation Advisory Committee. The Committee’s
discussion led to the necessity to amend the ordinance to include two At-
large members instead of one At-Large Member and to clarify that the
member appointed by and from the Commission will serve as chair and be
a non-voting member.
STAFF RECOMMENDATION: To approve the amendment to Sec. 58-62
of the Parks & Recreation Advisory Committee Ordinance.
7.p Parks & Rec Advisory Committee - Member Representing Muskegon
Public Schools
To replace the appointment of the Member Representing Muskegon
Public Schools made on 9/22/23 and affirmed on 10/10/23 and to appoint
Lynnette Marks, President of the Muskegon Public School Board to this
position. Muskegon Public School Administration provided feedback on
the appointment to this position and would like to have the School Board
President appointed to represent the School District on this board.
STAFF RECOMMENDATION: To replace the previous appointment and
to appoint Lynnette Marks as member representing Muskegon Public
Schools on the Parks and Recreation Advisory Committee.
7.b LIHWAP (Low Income Household Water Assistance Program)
Agreement Extension - Treasurer
Staff is requesting approval to extend our current contract with Mid
Michigan Community Action Agency to participate in the Low Income
Household Water Assistance Program.
In December of 2021, we entered into a contract with Mid Michigan
Community Action Agency (MMCAA) to participate in the Low Income
Household Water Assistance Program (LIHWAP). The program consisted
of funds made available by the State of Michigan, to be distributed to
eligible low-income households, to pay water and sewer arrearages in
order to avoid discontinuance of water service due to non-payment during
the COVID emergency. Those funds were anticipated to be available
through September 30, 2023; thus, the original contract ended on that
date.
It has been determined that there are still funds available, so MMCAA has
provided us with a contract extension through 3/31/2024. Unfortunately,
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we did not receive notice or a copy of this contract extension until
9/28/2023, and it needed to be signed prior to 9/30/2023 in order to avoid
a lapse in LIHWAP benefits for our residents. Due to the urgent need to
protect this benefit for our residents, our Deputy City Manager has signed
the contract, and we are bringing this item to the Commission today to get
your approval for that extension.
STAFF RECOMMENDATION: To approve the extension of our contract
with Mid Michigan Community Action Agency in order to continue to
receive funds through the Low Income Household Water Assistance
Program through 3/31/2024.
Action No. 2023-107(b)
Motion by: Commissioner Ramsey
Second by: Commissioner Gorman
To approve the extension of our contract with Mid Michigan Community
Action Agency in order to continue to receive funds through the Low
Income Household Water Assistance Program through 3/31/2024.
Ayes: (7): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Commissioner Hood, Vice Mayor German, Commissioner
Ramsey, and Commissioner Emory
MOTION PASSES (7 to 0)
7.c Final Approval of the Flock LPR Deployment - Public Safety
Staff is requesting final approval for the purchase and deployment of the
FLOCK license plate reader system.
On May 8th. Chief Kozal and Capt. Bahorski presented to the commission
during a work session. The request was to move forward with the
implementation of a 10-camera FLOCK license plate reader system. That
request was supported by the Commission and funding was added to the
budget. The Public Safety Department is prepared to enter into a 2-year
agreement with FLOCK to deploy the system.
AMOUNT REQUESTED: $72,000
FUND OR ACCOUNT: 101-301-977
STAFF RECOMMENDATION: To approve the purchase and deployment
of the Flock camera system.
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Action No. 2023-107(c)
Motion by: Commissioner Emory
Second by: Vice Mayor German
To approve the purchase and deployment of the Flock camera system.
Ayes: (7): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Commissioner Hood, Vice Mayor German, Commissioner
Ramsey, and Commissioner Emory
MOTION PASSES (7 to 0)
7.d Samaritas Payment in Lieu of Taxes (PILOT Agreement) -
Development Services
City Staff has negotiated and reviewed a Payment in Lieu of Taxes
agreement for commission consideration for an adaptive reuse project at
Froebel School into affordable workforce housing apartments.
For several years staff have been attempting to find a partner that had
interest and capacity in the adaptive reuse of the long-vacant Froebel
School building. Since 2019, we have toured more than 10 entities
through the school, and held a community meeting offering several touring
opportunities for the public. Through these efforts we have developed
interest from Samaritas for the potential installation of affordable housing
units by application to the Michigan Statewide Housing Development
Authority (MSHDA) Low Income Housing Tax Credit (LIHTC) Program. If
awarded, then Samaritas proposes historical preservation and adaptive
remodel of the school building into apartments for low to moderate income
residents. The attached agreement establishes their payment in lieu of
taxes as 2% of net shelter rents. Note that this is the lowest proposed
PILOT of our proposed MSHDA submissions. This is due to the facts
that we are the owners of this facility and will incur significant costs
to demolish or otherwise redevelop the site, and that Samaritas is a
non-profit housing developer with limited capacity to finance and
construct facilities compared with for-profit housing development
firms.
If approved by commission, Samaritas is also proposing a Municipal
Services Agreement of 3% of net shelter rents, for a total annual payment
of 5% of rents. The Municipal Services Agreement (MSA) stays
completely with the city to defray costs of public service delivery to the
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site, while the PILOT payment is divided proportionally to the other taxing
jurisdictions, similar to a traditional property tax payment.
This item is connected to the Samaritas MSA agenda item, as well as the
sales agreement item for Froebel School.
STAFF RECOMMENDATION: To approve the Contract for Housing
Exemption with Samaritas Affordable Living Froebel Limited Dividend
Housing Association Limited Partnership and authorize the mayor and
clerk to sign.
Action No. 2023-107(d)
Motion by: Vice Mayor German
Second by: Commissioner St.Clair
To approve the Contract for Housing Exemption with Samaritas Affordable
Living Froebel Limited Dividend Housing Association Limited Partnership
and authorize the mayor and clerk to sign.
Ayes: (7): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Commissioner Hood, Vice Mayor German, Commissioner
Ramsey, and Commissioner Emory
MOTION PASSES (7 to 0)
7.f Spire Development, Allen Crossing PILOT Agreement - Development
Services - 148 Allen Avenue
City Staff has negotiated and reviewed a Payment in Lieu of Taxes and
Municipal Services agreement for commission consideration for a new
construction 45 unit Senior workforce/family affordable housing complex at
and around 148 Allen Avenue.
Pursuant to our 5 Year Housing Needs Assessments call for over 1,000
rental units priced under $1,430 a month, staff has made overtures and
established relationships with several new Low Income Housing Tax
Credit (LIHTC) developers. Spire Development originally responded to our
request for proposals at the former Catholic Charities site, and when they
were not selected by commission for that project we immediately
introduced them to the site owners of this subject property.
Per their request letter, Spire is seeking a PILOT Agreement of 6% of net
shelter rents. This should equal roughly $20,000-24,000 per year for all
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taxing jurisdictions to split. Spire is also requesting a 3% Municipal
Services Charge, which is detailed in another agenda item in the packet.
STAFF RECOMMENDATION: To approve the Contract for Housing
Exemption with Allen Crossing Limited Dividend Housing Association
Limited Partnership and authorize the mayor and clerk to sign.
Action No. 2023-107(f)
Motion by: Vice Mayor German
Second by: Commissioner Emory
To approve the Contract for Housing Exemption with Allen Crossing
Limited Dividend Housing Association Limited Partnership and authorize
the mayor and clerk to sign.
Ayes: (7): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Commissioner Hood, Vice Mayor German, Commissioner
Ramsey, and Commissioner Emory
MOTION PASSES (7 to 0)
7.l Arena Solar Exemption Certificate Transfer - DPW
Staff requests approval of the attached resolution, supporting the transfer
of the PA 328 Exemption Certificate for the Arena Solar Project from New
Energy Equity to Sunwealth LLC.
In 2019 the Commission approved a Power Purchase Agreement (PPA)
with New Energy Equity (NEE) to place solar on the arena roof. After the
pause due to COVID restrictions, New Energy Equity was not interested in
continuing the project, so a new agreement was secured with Sunwealth
LLC and approved by this Commission earlier this year.
As a part of the previous negotiation a Public Act 328 Personal Property
Tax Exemption Certificate was obtained for the project, however it was
issued with the system owner named as New Energy Equity. In order to
allow the DDA (which would have received the taxes) to transfer the
certificate into Sunwealth LLC’s name, the City must pass a resolution
supporting the transfer.
The attached resolution indicates the City’s support for the transfer, and
will allow Sunwealth LLC to make formal application to the DDA for the
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transfer. This is an important component of the financial benefits to the
City, since the tax exemption is a part of the calculations that allow the
City to pay a reduced rate for the solar energy compared to grid energy.
STAFF RECOMMENDATION: To approve the resolution supporting the
transfer of the PA 328 Exemption Certificate for the Arena Solar Project
from New Energy Equity to Sunwealth LLC
Action No. 2023-107(L)
Motion by: Commissioner St.Clair
Second by: Vice Mayor German
To approve the resolution supporting the transfer of the PA 328 Exemption
Certificate for the Arena Solar Project from New Energy Equity to
Sunwealth LLC
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)
7.m City Hall Seagull Control System - DPW (Building Maintenance)
Staff requests approval to enter into a contract with Seagull Control
Systems of City Island, NY for a post-and-wire seagull control system in
the amount of $27,880.
City Hall has become an annual nesting ground for seagulls, with
detrimental effects to the building and surrounding area. The seagulls get
very territorial during nesting season and have been known to dive at
employees and visitors in an attempt to drive them away. Once hatched
the young seagulls are a protected species, so the key is to prevent the
nesting behavior in the first place.
Staff solicited proposals and recommends Seagull Control Systems from
City Island, New York based on their proposal being the lowest cost post-
and-wire system. Great Lakes Nuisance Animal Control is a local option,
however they did not respond to our request for a proposal and staff
understands the post-and-wire system to be more effective for our issues
than the netting system GLNAC would use.
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1. Seagull Control Systems (City Island, NY): $27,880
2. Aviaway Bird Control Systems (Wall Township, NJ): $36,500
Portions of the City Hall roof are planned for replacement in FY24-25,
however this system will be able to be reinstalled after that process with
minimal new parts. The effort would be paid for with funds budgeted for
the boiler replacement project, which had bids come in under budget.
AMOUNT REQUESTED: $27,800
FUND OR ACCOUNT: 445 (Public Improvement)
STAFF RECOMMENDATION: To authorize staff to enter into a contract
with Seagull Control Systems of City Island, NY for a post-and-wire
seagull control system in the amount of $27,880.
Action No. 2023-107(m)
Motion by: Commissioner Emory
Second by: Commissioner St.Clair
To authorize staff to enter into a contract with Seagull Control Systems of
City Island, NY for a post-and-wire seagull control system in the amount of
$27,880.
Ayes: (7): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Commissioner Hood, Vice Mayor German, Commissioner
Ramsey, and Commissioner Emory
MOTION PASSES (7 to 0)
7.n Fireworks Agreement - Parks & Recreation
Staff is requesting authorization to enter into an agreement with
Pyrotecnico Fireworks for $40,000 for the annual fireworks show in
downtown Muskegon, and approval of the fireworks display permit for
Pyrotecnico contingent upon inspection of the fireworks and approval of
the insurance.
The annual Fireworks contract of $40,000 will be scheduled for July 4th,
2024. The agreement is of the standard form with Pyrotecnico that the
City has entered into for the past several years.
AMOUNT REQUESTED: $40,000
FUND OR ACCOUNT: 101 (General)
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STAFF RECOMMENDATION: To authorize staff to enter into an
agreement with Pyrotecnico Fireworks for $40,000 for the annual fireworks
show in downtown Muskegon, and approval of the fireworks display permit
for Pyrotecnico contingent upon inspection of the fireworks and approval
of the insurance.
Action No. 2023-107(n)
Motion by: Commissioner Ramsey
Second by: Commissioner St.Clair
To authorize staff to enter into an agreement with Pyrotecnico Fireworks
for $40,000 for the annual fireworks show in downtown Muskegon, and
approval of the fireworks display permit for Pyrotecnico contingent upon
inspection of the fireworks and approval of the insurance.
Ayes: (7): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Commissioner Hood, Vice Mayor German, Commissioner
Ramsey, and Commissioner Emory
MOTION PASSES (7 to 0)
8. Public Hearings
8.a Establishment of an Industrial Development District - Beacon
Recycling, 1241 East Keating - Economic Development
Beacon Recycling has requested the establishment of an Industrial
Development District at 1241 East Keating in order to further their
expansion plans in the City of Muskegon.
On September 8, 2023, city staff received a letter from Beacon Recycling
to request the establishment of an Industrial Development District. Beacon
is pursuing an expansion project that will involve the purchase of a new
shredder machine to support its existing metal recycling business and the
creation of a new materials services division to support the re-use of
certain metals. This project has a total capitol investment of $17,500,000
and the creation of up to 36 new jobs. If the district is passed, Beacon will
seek a PA 198 tax abatement to support its development in the City of
Muskegon.
STAFF RECOMMENDATION: To approve the resolution establishing an
Industrial Development District at 1241 East Keating and authorize the
City Mayor and Clerk to sign.
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Development Analyst Contessa Alexander provided an overview of the
request from Beacon Recycling.
PUBLIC HEARING COMMENCED: No Public Comments were received.
Action No. 2023-108(a)
Motion by: Commissioner Ramsey
Second by: Commissioner St.Clair
To approve the resolution establishing an Industrial Development District
at 1241 East Keating and authorize the City Mayor and Clerk to sign.
Ayes: (7): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Commissioner Hood, Vice Mayor German, Commissioner
Ramsey, and Commissioner Emory
MOTION PASSES (7 to 0)
8.b Lakeside BID Special Assessment Tax Roll Approval - Economic
Development
A public hearing has been scheduled to receive comment on a proposed
Lakeside Business Improvement District special assessment roll for 2024-
2026.
The Muskegon City Commission approved a three-year renewal of the
Lakeside BID at its September 12, 2023 meeting, including the district and
special assessment rate. The special assessment roll includes 41 parcels
and annually would generate $22,457.44 for the BID at a 20% reduction
than the previous 3 years. There were no parcels that have objected to
this renewal. The three-year BID budget would focus downtown work on
seasonal landscaping, winter sidewalk snow removal, holiday decorations
and marketing and events. The City Commission created a Board of
Assessors that includes Commissioners Teresa Emory and Michael
Ramsey, who will certify the special assessment roll. After hearing public
comment, the attached resolution would confirm the BID’s special
assessment roll for three years.
STAFF RECOMMENDATION: To close the public hearing and approve
the resolution to confirm the Lakeside Business Improvement District
special assessment roll for the winter tax bills for 2024-2026 and authorize
the Mayor and Clerk sign.
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Development Analyst Contessa Alexander provided an overview of the
request to confirm the special assessment.
PUBLIC HEARING COMMENCED:
A letter was distributed to commission from Mr. Edward Bodman, 1603
Nelson Street - opposed to Short Term Rental Business being included in
being assessed as a business in the Lakeside BID District.
Mark Flermoen, Chair of the Lakeside BID District spoke about the
benefits to the business of being a part of the Lakeside Business
Improvement District.
Action No. 2023-108(b)
Motion by: Commissioner Ramsey
Second by: Commissioner St.Clair
To close the public hearing and approve the resolution to confirm the
Lakeside Business Improvement District special assessment roll for the
winter tax bills for 2024-2026 and authorize the Mayor and Clerk sign.
Ayes: (7): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Commissioner Hood, Vice Mayor German, Commissioner
Ramsey, and Commissioner Emory
MOTION PASSES (7 to 0)
9. Unfinished Business
10. New Business
10.a City ARPA Community Grant - Pioneer Resources, Inc. - Manager's
Office
* A Conflict of Interest Letter was signed by Commissioner Rachel
Gorman related to this item. The Conflict of Interest statement was posted
to the City's website and City's Facebook page on August 10, 2023.
https://muskegon-mi.gov/notice-of-conflict-of-interest/
To approve the City ARPA Community Grant proposal received from
Pioneer Resources, Inc.
As part of the City’s ARPA Community Grant program, a proposal from
Pioneer Resources, Inc. was received and included within the initial slate
of 22 projects recommended for approval by the Commission. It was
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tentatively removed from the formal motion by the Commission at the
August 7th Regular Meeting pending completion of conflict of interest
documentation.
Current City Commissioner Rachel Gorman is a former employee of
Pioneer Resources, Inc. Ms. Gorman was not involved in Pioneer's
decision to apply, involved in discussions with either City staff or Pioneer
staff concerning this project or involved in the discussion or decision by
the City Commission concerning Pioneer's grant proposal.
Staff has sent notice to the U.S. Department of Treasury that the city has
followed the requirements for a waiver of the conflict of interest pursuant
to the City Charter and state law. We are requesting their concurrence
with the City’s decision and waive any conflict.
STAFF RECOMMENDATION: To approve the City ARPA Community
Grant proposal received from Pioneer Resources, Inc., subject to
receiving acknowledgement from the U.S. Department of Treasury that
they concur with the City’s decision and waive any conflict.
Action No. 2023-109(a)
Motion by: Commissioner Ramsey
Second by: Commissioner St.Clair
To approve the City ARPA Community Grant proposal received from
Pioneer Resources, Inc., subject to receiving acknowledgement from the
U.S. Department of Treasury that they concur with the City’s decision and
waive any conflict.
Ayes: (5): Mayor Johnson, Commissioner St.Clair, Commissioner Hood,
Commissioner Ramsey, and Commissioner Emory
Nays: (1): Vice Mayor German
Conflict (1): Commissioner Gorman
MOTION FAILS (5 to 1)
10.b PRO Housing Grant Leverage Funds - Economic Development/CNS
The Development Services Division is seeking a firm commitment of $2
million in Public Improvement funds to be used a match/leverage for the
Pathways to Removing Obstacles to Housing (PRO Housing) Grant. The
City is seeking $10 million in grant funds through this program that is a
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unique extension of the Community Development Block Grant (CDBG)
program from the US Department of Housing and Urban Development.
The Pro Housing Grant is intended to identify and remove obstacles to the
production and preservation of affordable housing such as: gaps in
resources available for development, deteriorating infrastructure,
challenges to preserving existing housing stock, and many more. The City
is requesting $10 million for the following eligible activities that will benefit
only those residents at or below 80% of area median income:
• $3.5 million to establish a Housing Preservation Fund
o $1.5 million for rental rehabilitation
o $2 million for owner-occupied housing
• $6 million to finance the construction or rehabilitation of
affordable housing
o $1 million for acquisition/rehabilitation/resale projects and
nonprofit capacity building
o $5 million for construction of new units
• $500,000 for homebuyer down payment assistance
Committed leverage funds would allow the application to have an
additional 4 points awarded when being considered and ranked for this
opportunity. It will serve as proof of the city’s investment in affordable
housing and maximize the use of the grant funds.
AMOUNT REQUESTED: $2 million commitment of public improvement
funds
FUND OR ACCOUNT: Public Improvement
STAFF RECOMMENDATION: To approve the commitment of $2 million in
Public Improvement funds as leverage for the PRO Housing Grant.
Action No. 2023-109(b)
Motion by: Commissioner Ramsey
Second by: Commissioner Hood
To approve the commitment of $2 million in Public Improvement funds as
leverage for the PRO Housing Grant.
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Ayes: (7): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Commissioner Hood, Vice Mayor German, Commissioner
Ramsey, and Commissioner Emory
MOTION PASSES (7 to 0)
10.c Parks & Rec Advisory Committee - Chair Appointment
Pursuant to the Parks & Recreation Advisory Committee Ordinance the
composition of the board shall include one member of the City
Commission to be selected by and from the City Commission that will
serve as board chair and be a non-voting member.
STAFF RECOMMENDATION: To appoint a member of the City
Commission to serve on the Parks & Recreation Advisory Committee as
chair to the committee, as a non-voting member.
Action No. 2023-109(c)
Motion by: Commissioner St.Clair
Second by: Commissioner Emory
To appoint, Mayor Ken Johnson, a member of the City Commission to
serve on the Parks & Recreation Advisory Committee as chair to the
committee, as a non-voting member, term expiring January 31, 2025.
Ayes: (7): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Commissioner Hood, Vice Mayor German, Commissioner
Ramsey, and Commissioner Emory
MOTION PASSES (7 to 0)
11. Any Other Business
Remarks were made by Commissioners Ramsey and St. Clair, Vice Mayor
German, and Mayor Johnson. There was some discussion regarding liens placed
on CDBG funded home repairs.
12. Public Comment on Non-Agenda items
Public comments were received.
13. Closed Session
13.a City Manager's Evaluation
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Action No. 2023-110(a)
Motion by: Commissioner St.Clair
Second by: Commissioner Ramsey
To go into closed session to review the city managers evaluation.
Ayes: (7): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Commissioner Hood, Vice Mayor German, Commissioner
Ramsey, and Commissioner Emory
MOTION PASSES (7 to 0)
Amendment:
Motion by: Commissioner St.Clair
Second by: Commissioner Ramsey
To come out of closed session and adjourn.
MOTION PASSES
14. Adjournment
The City Commission meeting adjourned at 9:00 p.m.
_________________________
Respectfully Submitted,
Ann Marie Meisch, MMC - City Clerk
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