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City of Muskegon
Work Session
Minutes
January 9, 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 Clerk Ann Meisch
City Attorney John Schrier
Deputy City Clerk Kimberly Young
City Manager Jonathan Seyferth
1. Call to Order
Mayor Ken Johnson called the Worksession meeting to order at 5:30 p.m.
1.a MIHAF (Michigan Homeowner Assistance Fund) - City Treasurer
City Treasurer Sarah Wilson provided an overview of the State of Michigan
Homeowner Assistance Fund Program.
The Homeowner Assistance Fund was established as part of the American
Rescue Plan Act of 2021 (ARP). The State of Michigan received more than 242
million dollars, to be used to mitigate hardships associated with the coronavirus
pandemic, including utility payments. The State created the Michigan
Homeowner Assistance Fund (MIHAF) to provide these funds to eligible
homeowners. The City Treasurer is requesting authorization to sign the attached
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documents to partner with MIHAF so that any eligible city residents can receive
utility payment assistance.
The Michigan Homeowner Assistance Fund (MIHAF) is a statewide program that
uses federal resources to provide financial assistance to homeowners who have
fallen behind on homeownership-related expenses because of the COVID-19
Pandemic. It provides funds to eligible entities for the purpose of preventing
homeowner mortgage delinquencies, defaults, foreclosures, loss of utilities or
home energy services, and displacements of homeowners through qualified
expenses related to mortgages and housing. Eligibility criteria and eligible
expenses are detailed on the attached documents. Participation in the program
does not guarantee our residents will receive funding from this program;
however, it does make them eligible to apply for funding. If we choose not to
partner with MIHAF, our residents cannot apply for these funds to assist in
paying their utility bills.
Discussion took place regarding the Homeowner Assistance Fund and this item
will appear on the agenda for the Regular City Commission Meeting on January
10, 2023.
1.b ARPA Community Grant - Discussion Only - Development Services
Peter Wills, Director of Strategic Initiatives, provided an update to the City
Commission on the work that has been done by the ARP Team which includes
the City's Division Heads. The team is seeking feedback on the proposed "ARP
Community Grant Program".
Seeking authorization to dedicate $2,000,000 from the City's remaining
allocation of American Rescue Plan Act (ARPA) federal stimulus funds for the
creation of an "ARP 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:
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• 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 $6,180,000 from the City’s remaining balance of federal
ARP stimulus funds, $2,000,000 would be available to establish a new city-
sponsored ARP Community Grant program.
Program to seek proposals from eligible 501(c)(3) nonprofit organizations and
small businesses, located in the city limits. Grant funds intended to advance
equity, strengthen the economic vitality of the city, and strengthen the quality of
life for city residents. 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 include: 501(c)(3) nonprofit organizations with up to
$2 million in operating expenses & small businesses which meet the U.S.
Small Business Administration’s small business size standards.
• Grant funds to be used for costs incurred on or after March 3, 2021.
• Grant Applications available 2/1/23. Application deadline 3/1/23. Final
recommendations announced to public by March 28, 2023.
• Grant awards in the range from $25,000 to 250,000. Fixed grant amounts
only for: $25,000, $50,000, $75,000, $100,000, $150,000, $200,000 or
$250,000. Cost share/matching funds not required.
• The number of grants will be limited by the budgeted amount.
• 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.
Complete applications sent to ARP City Staff Review Committee (the Committee)
for consideration. Committee ranks eligible applications and sends a list of
recommended recipients and grant amounts to the City Commission for final
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approval. Commission reviews and approves selected recipient applications at a
Regular Meeting of the Commission (3/28/23).
Discussion took place and some changes will be made to the program. This will
be brought back to the Commission for final approval after updates are made.
1.c ARPA Proposal for Park Improvements - Public Works
Staff is proposing to invest a significant portion of the remaining ARP funding
into a revision of the Parks & Recreation Master Plan and a resultant multi-year
parks capital improvement program. Staff is proposing to dedicate roughly
$4.5M of the remaining ARP funds towards Parks Capital Improvement projects
to help fill the investment gap in the next few years. By combining a stream of
ARP dollars with the existing dedicated revenue from Paid Parking ($400K Annual
Average), the Convention Center Naming Rights ($150K Annual Average), and
any obtainable grant funding we should be able to show what can be
accomplished with a level of investment commensurate to our ambitions from
the 2019 and 2022 plans.
Discussion took place regarding the ARP Proposal for Park Improvements.
2. Public Comment
Public comment was received.
3. Closed Session - Pending Litigation - 22-002888-CZ - Rachel McMillan v City of
Muskegon, Jeffery Lewis, and Jay Paulson
No. 2023-01
To go into closed session to consult with our attorney regarding trial and settlement
strategy concerning Rachel McMillan v City o Muskegon, Jeffery Lewis, and Jay Paulson,
14th Judicial Circuit Case No. 22-002888-CZ because a discussion in an open meeting
would have a detrimental effect on the litigating or settlement position of the City of
Muskegon.
YES: (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)
No. 2023-02
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To go out of closed session.
MOTION PASSES
4. Closed Session - Pending Litigation-22-003962-CZ - West Michigan Mart Dock &
Market Corporation v City of Muskegon
No. 2023-03
To go into closed session to consult with our attorney regarding trial and settlement
strategy concerning West Michigan Dock & Market Corporation v City of Muskegon,
14th Judicial Circuit Case No. 22-003962-CZ because a discussion in an open meeting
would have a detrimental effect on the litigating or settlement position of the City of
Muskegon.
YES: (7): Mayor Johnson, Commissioner Gorman, Commissioner St.Clair, Commissioner
Hood, Vice Mayor German, Commissioner Ramsey, and Commissioner Emory
MOTION PASSES (7 to 0)
No. 2023-04
To go out of closed session.
MOTION PASSES
5. Adjournment
The Work Session meeting adjourned at 8:20 p.m.
_________________________
Ann Marie Meisch, MMC - City Clerk
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