View the PDF version Google Docs PDF Viewer
City of Muskegon
City Commission Meeting
Agenda
February 14, 2023, 5:30 pm
Muskegon City Hall
933 Terrace Street, Muskegon, MI 49440
AMERICAN DISABILITY ACT POLICY FOR ACCESS TO OPEN MEETINGS OF THE CITY OF MUSKEGON AND ANY OF
ITS COMMITTEES OR SUBCOMMITTEES
To give comment on a live-streamed meeting the city will provide a call-in telephone number to the public to
be able to call and give comment. For a public meeting that is not live-streamed, and which a citizen would like
to watch and give comment, they must contact the City Clerk’s Office with at least a two-business day notice.
The participant will then receive a zoom link which will allow them to watch live and give comment. Contact
information is below. For more details, please visit: www.shorelinecity.com
The City of Muskegon will provide necessary reasonable auxiliary aids and services, such as signers for the
hearing impaired and audio tapes of printed materials being considered at the meeting, to individuals with
disabilities who want to attend the meeting with twenty-four (24) hours’ notice to the City of Muskegon.
Individuals with disabilities requiring auxiliary aids or services should contact the City of Muskegon by writing
or by calling the following: Ann Marie Meisch, MMC – City Clerk, 933 Terrace Street, Muskegon, MI 49440;
231-724-6705; [email protected]
Pages
1. Call To Order
2. Prayer
3. Pledge of Allegiance
4. Roll Call
5. Honors, Awards, and Presentations
5.a Introduction of New Staff - Planning & Economic Development
6. Public Comment on Agenda Items
7. Consent Agenda
7.a Approval of Minutes - City Clerk 1
7.b AgeWell Services Non-Profit Recognition - City Clerk 22
7.c Use of DMDC Property Downtown Muskegon - City Clerk 25
7.d Taste of Muskegon Liquor License - City Clerk 28
7.e Voting Precincts - City Clerk 29
7.f FY23 Municipal Senior Millage Funding - Community & Neighborhood Services 30
7.g Sale of 1334 Pine Street - City Manager 34
7.h MERS-Police Command Employee Contribution Rate - Finance 43
7.i MERS - Police Command DC Employee Contribution Rate - Finance 51
7.j MERS - Police Command HCSP Employee and Employer Contribution Rates - 59
Finance
7.k Deficit Elimination Plan - Marina Fund - Finance 67
7.l Deficit Elimination Plan - Brownfield Redevelopment Authority (combined) - 73
Finance
7.m CSX Rail, Authorization to Close - City Manager 79
8. Public Hearings
8.a 2021 Consolidated Annual Performance Evaluation Report (CAPER) Hearing - 83
Community & Neighborhood Services
9. Unfinished Business
9.a ARPA Community Grant Program - Development Services 115
10. New Business
10.a Adelaide Pointe - First Addendum - City Manager - REMOVED PER STAFF 158
REQUEST
10.b Second Amendment to the Planned Unit Development at Adelaide Pointe 166
(1148 & 1204 W. Western Avenue) - Planning
10.c Second Amendment to the Planned Unit Development at Hartshorn Village 169
(920, 1050, 1060, 1000 and 1010 W. Western Ave) - Planning
11. Any Other Business
12. Public Comment on Non-Agenda items
13. Closed Session
14. Adjournment
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: January 24, 2023 Title: Approval of Minutes
Submitted By: Ann Marie Meisch, MMC Department: City Clerk
Brief Summary: To approve the minutes of the January 9, 2023 Worksession Meeting and the
January 10, 2023 Regular Meeting.
Detailed Summary: N/A
Amount Requested: N/A Amount Budgeted: N/A
Fund(s) or Account(s): N/A Fund(s) or Account(s): N/A
Recommended Motion: To approve the minutes.
For City Clerk Use Only:
Commission Action:
Packet Page 1
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
1
Packet Page 2
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:
2
Packet Page 3
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
3
Packet Page 4
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
4
Packet Page 5
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
5
Packet Page 6
City of Muskegon
City Commission Meeting
Minutes
January 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
Vice Mayor Willie German, Jr.
Commissioner Michael Ramsey
Commissioner Teresa Emory
Absent: Commissioner Eric Hood
Staff Present: City Manager Jonathan Seyferth
City Clerk Ann Meisch
City Attorney John Schrier
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, January 10, 2023.
2. Prayer
Pastor Jeff Helbert from Grace Memorial Baptist 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
1
Packet Page 7
5.a Audit Presentation - ACFR
Eric VanDop, Brickley DeLong, presented information to the commission
regarding the Annual Comprehensive Financial Report for Fiscal Year
2022.
5.b Muskegon Bicycling Coalition
Raymond McLeod and other members from the Muskegon County
Bicycling Coalition presented the Commission with a gift in appreciation of
the strides made over the past few years with regard to keeping in mind
walkers, bikers, those that use mass transit, etc., in their decision making.
6. Public Comment on Agenda Items
Public comments were received.
7. Consent Agenda
Action No. 2023-05
Motion by: Commissioner Ramsey
Second by: Commissioner St.Clair
To accept the consent agenda as presented, minus item D, F, G, H, I, N, O & P.
Ayes: (6): Mayor Johnson, Commissioner Gorman, Commissioner St.Clair, Vice
Mayor German, Commissioner Ramsey, and Commissioner Emory
Absent (1): Commissioner Hood
MOTION PASSES (6 to 0)
7.a Approval of Minutes - City Clerk
To approve the minutes of the November 22, 2022 Regular Meeting,
December 12, 2022 Worksession, and December 13, 2022 Regular
Meeting.
STAFF RECOMMENDATION: To approve the minutes.
7.b Lakeshore Creative Services, LLC - City Clerk
Lakeshore Creative Services, LLC agreement has expired and needs to
be renewed. Staff recommends to approve a two-year agreement and
increase the payment of televised meetings from $400 to $450 each.
2
Packet Page 8
STAFF RECOMMENDATION: To approve the two-year agreement with
Lakeshore Creative Services, LLC for $450 per televised meeting.
7.c Transmittal of 6/30/22 Annual Comprehensive Financial Report -
Finance
The City’s June 30, 2022 Annual Comprehensive Financial Report (ACFR)
will be distributed to the City Commissioners via email and hard copy. The
ACFR will also be available on the City’s website. The ACFR includes the
annual independent auditor’s report as required by state law. At this time
the ACFR is being formally transmitted to the City Commission. The ACFR
has been prepared in accordance with all current Governmental
Accounting Standards Board (GASB) pronouncements and also includes
the single audit of federal grants received by the City. CAFR2022.pdf
(muskegon-mi.gov)
STAFF RECOMMENDATION: To accept the June 30, 2022 ACFR and
authorize staff to transmit the ACFR to appropriate Federal, State and
private agencies.
7.e Leads Online - Public Safety
Electronic reporting for Pawn Shops, secondhand dealers and precious
Metaugem dealers. The purpose of Leads Online is to improve the system
of reporting to law enforcement officials all items collected by pawn
brokers, secondhand dealers and precious metal/gem dealers for the
purpose of aiding law enforcement in locating and retrieving stolen
property. Leads Online has nationwide search capabilities, and email
notification when suspects are active nationwide for National pawn, scrap,
jewelry, firearms, consignment, cell phone re-sale access and online sales
such as Ebay and Offerup. Leads Online has the ability to track suspect
sales activity across the country, access to over 20,000 businesses
reporting and free software, training, and support for local businesses.
Currently the city has no means to collect or view reported data.
FUND OR ACCOUNT: 101-301-861
STAFF RECOMMENDATION: To approve the Police Department to
acquire this 3-year contract with Leads Online program.
7.j CLG Grant Application - Public Works
Staff is seeking Commission approvals for a grant application related to
conservation work at Hackley Park.
3
Packet Page 9
Staff has prepared a grant application to the State Historic Preservation
Office (SHPO) through their Certified Local Government (CLG) program
for funds to complete recommended conservation work at the five (5)
sculptures within Hackley Park. The grant submittal package requires a
commitment of matching funds and a resolution of support. Both are
attached along with the conservators report that highlights the proposed
work.
Staff is seeking $62,440 in grant funds to cover the cost of identified
conservation work at the monuments and proposing to match the grant
application with an estimated $15,000 in cash expenses for equipment
rental. If awarded for funding the work would be completed during the Fall
of 2023. Grant applications are due on February 1st, 2023. Funds would
be budgeted in 23/24 budget cycle if the grant is awarded with the
proposed cash contribution coming from the General Fund line item for
Public Art Maintenance.
As noted in the Conservators Report we plan to also contract for work to
be completed on the McKinley Statue and the Kearny Statue as they are
of similar age and condition. These two structures are ineligible for grant
funding (McKinley is privately owned, and Kearny is outside the
designated historic district boundary). The owners of the McKinley statue
are aware of this and have agreed to participate in the cost for that piece,
the cost for the work at Kearny will be a city responsibility but is ineligible
to count towards the match.
AMOUNT REQUESTED: 23/24 - $96,520 ($77,440 Grant Eligible)
AMOUNT BUDGETED: 23/24 - $96,520 ($77,440 Grant Eligible)
FUND OR ACCOUNT: 101-901-801-092120
STAFF RECOMMENDATION: To approve the grant application to the
CLG program and authorize the Clerk to sign the Commitment of Matching
Funds and Resolution of Support.
7.k Treasury Office Fire Doors - Public Works
Staff is seeking Commission approval to award replacement of the fire
doors at the Treasury Desk.
The existing fire safety doors at the Treasury Department that
automatically deploy in the event of a fire alarm are currently non-
functional and in need of replacement. These doors are a building code
4
Packet Page 10
requirement for compliance and need to be replaced. Staff solicited bids
for the project and bids were received as follows and attached:
Overhead Door - $45,626.00
Firefighter Sales and Service - $60,000.00
Garage Door Specialist – Did Not Bid
Quality Door – Did Not Bid
Staff estimates the need to expend an additional $8,000 to complete the
miscellaneous items that are not included in the original bid. These items
will be procured at the staff level in accordance with the applicable
provisions of the City Purchasing Policy. This item was anticipated in the
22/23 budget cycle and funds will be drawn from the original budget line
item 101-801-901-092109
AMOUNT REQUESTED: $45,626.00
AMOUNT BUDGETED: $60,000.00
FUND OR ACCOUNT: 101-801-901-092109
STAFF RECOMMENDATION: To approve the low bid from Overhead
Door in the amount of $45,626.00 for the replacement of the Treasury
Department Fire Doors.
7.l Dollar General Utility Easement - Public Works
Staff is seeking Commission approval for a utility easement within 381 E.
Laketon Avenue, where a soon-to-be rebuilt Dollar General store is
making site changes. Staff requested and the developer provided a utility
easement document for rights across the rear parking lot of 381 Laketon
Avenue, which is being rebuilt as a Dollar General store. The easement
documents and related sketches are included in the packet. The
easement will formalize property and maintenance rights for a long-
standing sanitary sewer and storm sewer corridor (in a former alley).
STAFF RECOMMENDATION: To approve the public utility easement
agreement at 381 E. Laketon Avenue and authorize the Clerk to sign on
the City’s behalf.
7.m Street Vacation - Portion of Viridian Drive, East of Terrace Street -
Planning
Staff initiated request to vacate a portion of Viridian Dr, east of Terrace St.
5
Packet Page 11
The portion of the street was vacated in January 2021. However, the legal
description of the street vacation was not accurate and we have been
advised by our legal counsel to redo the process with a more defined legal
description.
The Planning Commission unanimously recommended vacation of the
streets at their December meeting.
STAFF RECOMMENDATION: To approve the request to vacate a portion
of Viridian Drive, east of Terrace Street as described.
7.d Michigan Homeowner Assistance Fund (MIHAF) Application - City
Treasurer
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 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.
STAFF RECOMMENDATION: To authorize the City Treasurer to sign all
necessary documents to partner with the Michigan Homeowner
Assistance Fund so that the City will be eligible to receive assistance
payments made on behalf of eligible utility customers.
6
Packet Page 12
Action No. 2023-06
Motion by: Commissioner Ramsey
Second by: Vice Mayor German
To authorize the City Treasurer to sign all necessary documents to partner
with the Michigan Homeowner Assistance Fund so that the City will be
eligible to receive assistance payments made on behalf of eligible utility
customers.
Ayes: (6): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Vice Mayor German, Commissioner Ramsey, and Commissioner
Emory
Absent (1): Commissioner Hood
MOTION PASSES (6 to 0)
7.f Towing Agreement - Public Safety
2023 Towing Contract, Ramos Towing, 2-year contact. Bids were
submitted to the Clerks office on December 13, 2022 with several bidders.
Towing to facility $80.00, Storage fee per day $30.00.
STAFF RECOMMENDATION: To award the 2023 Towing Contract to
Ramos Towing and authorize the Mayor and Clerk to sign.
Action No. 2023-07
Motion by: Commissioner Emory
Second by: Commissioner Gorman
To award the 2023 Towing Contract to Ramos Towing and authorize the
Mayor and Clerk to sign.
Ayes: (6): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Vice Mayor German, Commissioner Ramsey, and Commissioner
Emory
Absent (1): Commissioner Hood
MOTION PASSES (6 to 0)
7
Packet Page 13
7.g Janitorial Contract - Arena
Seeking approval of a Janitorial contract with Goodwill Industries to
provide service to Trinity Health Arena. Staff is seeking the approval of the
amendment to the current City Janitorial Contract with Goodwill Industries
- West Michigan to include Trinity Health Arena. Goodwill Industries -
West Michigan was recently approved for a one year extension to their
current contract with the City of Muskegon to include DPW and City Hall.
AMOUNT REQUESTED: $1,080 (60 Events)
STAFF RECOMMENDATION: To authorize staff to add Trinity Health
Arena to the amended City janitorial contract (Goodwill Industries - West
Michigan) which was approved in 2020.
Action No. 2023-08
Motion by: Commissioner Ramsey
Second by: Commissioner Gorman
To authorize staff to add Trinity Health Arena to the amended City
janitorial contract (Goodwill Industries - West Michigan) which was
approved in 2020.
Ayes: (6): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Vice Mayor German, Commissioner Ramsey, and Commissioner
Emory
Absent (1): Commissioner Hood
MOTION PASSES (6 to 0)
7.h Boys & Girls Club Agreement - Public Works
Staff is proposing to extend the staffing agreement with Boys and Girls
Club through calendar year 2023. Boys and Girls Club provided staffing to
assist with our seasonal staffing needs during the 2022 calendar year,
which was viewed positively by both parties. The original agreement was
approved at the April 12th, 2022 Commission Meeting and included a
clause that allowed for extension if approved by both parties. Staff is
seeking commission approval for the extension.
AMOUNT REQUESTED: $40,000
AMOUNT BUDGETED: $40,000
8
Packet Page 14
FUND OR ACCOUNT: 101-770-801
STAFF RECOMMENDATION: To approve the extension of the staffing
contract with Boys and Girls Club and authorize the Mayor and Clerk to
sign.
Action No. 2023-09
Motion by: Commissioner St.Clair
Second by: Commissioner Ramsey
Ayes: (6): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Vice Mayor German, Commissioner Ramsey, and Commissioner
Emory
Absent (1): Commissioner Hood
MOTION PASSES (6 to 0)
7.i Community EnCompass Agreement - Public Works
Staff is seeking Commission approval to extend the staffing agreement
with Community EnCompass through calendar year 2023. Staff is
proposing to extend the staffing agreement with Community EnCompass
through calendar year 2023. Community EnCompass provided staffing to
assist with our seasonal staffing needs during the 2022 calendar year,
which was viewed positively by both parties. The original agreement was
approved at the April 12th, 2022 Commission Meeting and included a
clause that allowed for extension if approved by both parties. Staff is
seeking commission approval for the extension.
AMOUNT REQUESTED: $21,000
AMOUNT BUDGETED: $21,000
FUND OR ACCOUNT: 101-770-801
STAFF RECOMMENDATION: To approve the extension of the staffing
contract with Community EnCompass and authorize the Mayor and Clerk
to sign.
Action No. 2023-10
Motion by: Commissioner Ramsey
Second by: Commissioner Emory
9
Packet Page 15
To approve the extension of the staffing contract with Community
EnCompass and authorize the Mayor and Clerk to sign.
Ayes: (6): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Vice Mayor German, Commissioner Ramsey, and Commissioner
Emory
Absent (1): Commissioner Hood
MOTION PASSES (6 to 0)
7.n Sale of 1320 Spring Street - City Manager
Staff is requesting approval of a purchase agreement for 1320 Spring
Street.
1320 Spring Street was constructed through the agreement with Dave
Dusendang to construct infill housing with ARPA funding. The offer is
$2,580 over asking price and is contingent on the sale of the buyer’s
current home. The earnest money deposit was increased because the
offer is contingent. There are no seller concessions.
The home will serve as a model home until mid-March.
STAFF RECOMMENDATION: To approve the purchase agreement for
1320 Spring Street and authorize the City Manager Jonathan Seyferth or
Deputy City Manager LeighAnn Mikesell to sign.
Action No. 2023-11
Motion by: Commissioner Emory
Second by: Vice Mayor German
To approve the purchase agreement for 1320 Spring Street and authorize
the City Manager Jonathan Seyferth or Deputy City Manager LeighAnn
Mikesell to sign.
Ayes: (6): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Vice Mayor German, Commissioner Ramsey, and Commissioner
Emory
Absent (1): Commissioner Hood
MOTION PASSES (6 to 0)
10
Packet Page 16
7.o Sale of 750 Leonard Avenue - City Manager
Staff is requesting approval of a purchase agreement for 750 Leonard
Avenue. 750 Leonard Avenue was constructed through the agreement
with Rudy Briggs to construct infill housing with ARPA funding. The offer
is for full asking price with no seller concessions.
STAFF RECOMMENDATION: To approve the purchase agreement for
750 Leonard Avenue and authorize the City Manager Jonathan Seyferth
or Deputy City Manager LeighAnn Mikesell to sign.
7.p Sale of 1499 Hoyt Street - City Manager
Staff is requesting approval of a new purchase agreement for 1499 Hoyt
Street.
1499 Hoyt Street was constructed through the agreement with Dave
Dusendang to construct infill housing with ARPA funding. With seller
concessions, the offer equates to the list price.
An earlier agreement has been rescinded.
STAFF RECOMMENDATION: To approve the purchase agreement for
1499 Hoyt Street and authorize the City Manager Jonathan Seyferth or
Deputy City Manager LeighAnn Mikesell to sign.
Action No. 2023-12
Motion by: Commissioner Emory
Second by: Commissioner St.Clair
To approve the purchase agreement for 750 Leonard Avenue and 1499
Hoyt Street and authorize the City Manager Jonathan Seyferth or Deputy
City Manager LeighAnn Mikesell to sign.
Ayes: (6): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Vice Mayor German, Commissioner Ramsey, and Commissioner
Emory
Absent (1): Commissioner Hood
MOTION PASSES (6 to 0)
11
Packet Page 17
8. Public Hearings
8.a Brownfield Plan Amendment, 1st Amendment, Adelaide Pointe
QOZB, LLC
Approval for Brownfield Plan Amendment,1st Amendment for Adelaide
Pointe QOZB, LLC (Adelaide Pointe Project-----) and to consider the
attached resolution.
Adelaide Pointe QOZB, LLC is seeking a Brownfield Plan Amendment (1st
Amendment) for the Adelaide Pointe Project-----; a 35-acre mixed use
waterfront development project including winter boat storage, marina
space, In/Out forklift boat storage, commercial/retail, and up to 400
housing units. The initial Brownfield Plan Amendment was approved by
the BRA on Oct 12, 2021 and City Commission on Oct 26, 2021.
In Dec. 2020, the developer’s environmental consultant (Fishbeck)
completed a Phase II Environmental Site Assessment (ESA) and a
Baseline Environmental Assessment. This plan includes $12,404,400 in
total EGLE and non-environmental local only eligible costs as well as
$24,379,064 in total MSF eligible costs. The developer is seeking to add
state school tax capture for reimbursement of costs related to Michigan
Strategic Fund (MSF) eligible activities during the first three immediate
phases of redevelopment.
The City proposed to use a bond proceed of $8,101,388 to pay eligible
site preparation and public infrastructure costs that include public
roadways, a reconfiguration of West Western Ave, as well as a water
main, sanitary sewer and storm sewer utilities. The local-only EGLE
eligible costs are $3,250,000 which include due care activities - $500,000
vapor intrusion mitigation, $1,500,000 soil capping, $250,000 dewatering
and $1,000,000 for the dredging and removal of soil contaminants. Local-
only MSF eligible costs are $5,810,000 which include $500,000
demolition, $250,000 asbestos abatement, $3,160,000 site preparation.
Capture of tax increment revenues for City reimbursement is anticipated to
commence in 2023 and end in 2031. Developer reimbursement will follow
with an estimated start date of 2023. The anticipated end date for
Developer reimbursement is 2046. It is projected that the Plan
Amendment will extend 29 years, which assumes five years of additional
capture of tax increment revenues for deposit into a Local Brownfield
Revolving Fund, if available.
12
Packet Page 18
The contingency percentage, interest request, and the annual
administrative fee will remain the same as previously stated on Oct. 26,
2021 during the scheduled City Commission meeting approving the initial
Brownfield Plan Amendment. The interest is included for all accrued and
unreimbursed eligible activities on a yearly basis. The BRA approved the
revised BPA on Dec. 13, 2022 and recommends the approval of the BPA
by the Muskegon City Commission on Jan. 10, 2022. The Muskegon City
Commission and BRA approved the Brownfield Development &
Reimbursement Agreement, on Dec. 13, 2022. A signed copy from the
Muskegon City Commission was not able to be secured by the submission
date for the 1/10 City Commission meeting. Staff will be sure to send the
signed DRA to the city clerk once the document is available.
STAFF RECOMMENDATION: To close the public hearing and to approve
the resolution for the Brownfield Plan Amendment, 1st Amendment for the
Adelaide Pointe Project authorizing the Mayor and City Clerk to sign.
Contessa Hood, Development Analyst, presented information to the
Commissioners.
Public Hearing Commenced: Jamie Cross, there will be changes to the
development - reducing slips to 215 from 280, acreage reduced as well.
Going to planning commission along with several others. Several factors
are being reduced.
Planning and Economic Development Director, Jake Eckholm, spoke
regarding some of the changes that are being made to the Adelaide
Pointe plan.
Action No. 2023-13
Motion by: Commissioner Ramsey
Second by: Commissioner Emory
To close the public hearing and to approve the resolution for the
Brownfield Plan Amendment, 1st Amendment for the Adelaide Pointe
Project authorizing the Mayor and City Clerk to sign.
Ayes: (6): Mayor Johnson, Commissioner Gorman, Commissioner
St.Clair, Vice Mayor German, Commissioner Ramsey, and Commissioner
Emory
Absent (1): Commissioner Hood
13
Packet Page 19
MOTION PASSES (6 to 0)
9. Unfinished Business
10. New Business
11. Any Other Business
Commissioner Gorman spoke about a joint meeting held with Muskegon Public
Schools last year, one of the follow up items was to provide city updates to MPS
to add to the Muskegon Mirror Publication. Thank you to Deputy Manager
LeighAnn Mikesell for following up to make sure that happened.
Commissioner Ramsey asked the Clerk to inform on changes seen with the
agenda and packets. The Clerk's Office is in the process of onboarding a new
software program for agendas and minutes which will include the ability easily
search and watch specific portions of the meeting.
Commissioner Emory previously asked the Clerk to forward MML Code of Ethics
and another link from the State, she would like for this commission to adopt a
"Code of Ethics". Mayor Johnson indicated that this can be brought to a
Legislative Policy Meeting, possibly in February.
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
Packet Page 20
14. Adjournment
The City Commission meeting adjourned at 7:13 p.m.
_________________________
Ann Marie Meisch, MMC – City Clerk
15
Packet Page 21
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: February 14, 2023 Title: Non-Profit Recognition
Submitted By: Ann Meisch, Clerk Department: City Clerk
Brief Summary: AgeWell Services is requesting recognition as a non-profit in the City of Muskegon
for the purpose of obtaining charitable gaming licenses for raffles.
Detailed Summary & Background:
Goal/Focus Area/Action Item Addressed:
Amount Requested: Amount Budgeted:
Fund(s) or Account(s): Fund(s) or Account(s):
Recommended Motion: 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.
Approvals: Get approval from division head at a minimum prior Guest(s) Invited / Presenting
to sending to the Clerk.
Immediate Division Head Information Technology Yes
Other Division Heads Communication No
Legal Review
For City Clerk Use Only:
Commission Action:
Packet Page 22
Packet Page 23
Packet Page 24
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: February 14, 2023 Title: Use of DMDC Property
Downtown Muskegon
Submitted By: Ann Meisch Department: City Clerk’s
Office
Brief Summary: 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.
Detailed Summary & Background: 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.
Goal/Focus Area/Action Item Addressed: Action 2022-2 of Economic Development, Housing, and
Business by offering property to 17 micro businesses as well as parking for several businesses
throughout the downtown.
Amount Requested: $25,500 Amount Budgeted: $5,000 from Western
Market Budget
Fund(s) or Account(s): Fund(s) or Account(s):
$12,000 from Western Market Fund 252-807-801
$13,500 from Public Improvement Fund 445-807-801
Recommended Motion: To authorize a payment of $25,500 to the DMDC for the use of the
property.
Approvals: Get approval from division head at a minimum prior Guest(s) Invited / Presenting
to sending to the Clerk.
Immediate Division Head Information Technology Yes
Other Division Heads Communication No
Legal Review
For City Clerk Use Only:
Commission Action:
Packet Page 25
Packet Page 26
13431877470,,,03b_2021-2022 Property Costs Detail for DMDC 5.24.22 (006)
Aug 2021 - Feb 2022
Date Num Unit Address Amount Total/Year
08/14/2021 2021 Summer Tax Unit 01 387 Morris Ave, lot behind Century Club 546.43 markup
01/15/2022 2021 Winter Tax Unit 01 387 Morris Ave, lot behind Century Club 4,410.56 4,956.99 5,948.39 community parking lot
08/14/2021 2021 Summer Tax Unit 02 401 Morris Ave, lot behind Chamber 542.90 -
01/15/2022 2021 Winter Tax Unit 02 401 Morris Ave, lot behind Chamber 4,360.15 4,903.05 5,883.66 community parking lot
08/14/2021 2021 Summer Tax Unit 07A 351 W Western Ave, 1/3 Lakeview Lofts property 140.77 -
01/15/2022 2021 Winter Tax Unit 07A 351 W Western Ave, 1/3 Lakeview Lofts property 1,212.06 1,352.83 1,623.40 social sandbox
08/14/2021 2021 Summer Tax Unit 12 325 W Western Ave, Western Markets 179.79 13,455.44 total
01/15/2022 2021 Winter Tax Unit 12 325 W Western Ave, Western Markets 1,437.49 1,617.28
08/14/2021 2021 Summer Tax Unit 13 307 W Western Ave, Western Markets 420.87
01/15/2022 2021 Winter Tax Unit 13 307 W Western Ave, Western Markets 3,195.75 3,616.62
08/14/2021 2021 Summer Tax Unit 14 299 W Western Ave, Western Markets 176.05
01/15/2022 2021 Winter Tax Unit 14 299 W Western Ave, Western Markets 1,455.93 1,631.98
08/14/2021 2021 Summer Tax Unit 15 295 W Western Ave, Western Markets 129.54
01/15/2022 2021 Winter Tax Unit 15 295 W Western Ave, Western Markets 1,251.14 1,380.68 8,246.56
08/14/2021 2021 Summer Tax Unit 24B 292 W Western Ave, 2/3 lot 494.61
01/15/2022 2021 Winter Tax Unit 24B 292 W Western Ave, 2/3 lot 4,477.24
01/15/2022 2021 Winter Tax Unit 24 BID 292 W Western Ave, BID & LED Light 1,168.83 6,140.68
25,600.11
25,600.11 25,600.11
NOTES: 2021 Parking Lots and Promenade electricity from
Consumers Energy 1,683.32 2,019.98 marked up 20%
2021 Western Markets property taxes 8,246.56 9,895.87 marked up 20%
Total Cost to City $ 9,929.88 11,915.86 marked up 20%
Proposed Rent Charges to City for 2022 $ 10,000.00 12,000.00 marked up 20%
Total dollars requested from the City of Muskegon 25,455.44
rounded up total to request $25,500
Packet Page 27
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: February 14, 2023 Title: Taste of Muskegon Liquor License
Submitted By: Ann Marie Meisch Department: Clerk
Brief Summary: 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.
Detailed Summary:
Amount Requested: N/A Amount Budgeted: N/A
Fund(s) or Account(s): N/A Fund(s) or Account(s): N/A
Recommended Motion: To authorize the City Clerk’s office to apply for a special liquor license for
the Taste of Muskegon.
For City Clerk Use Only:
Commission Action:
Packet Page 28
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: February 14, 2023 Title: Voting Precincts
Submitted By: Ann Meisch Department: City Clerk
Brief Summary: 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.
Detailed Summary & Background: 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.
Goal/Focus Area/Action Item Addressed: Item 2022-3.2 Increase education and outreach to
voters.
Amount Requested: $500 per location for Amount Budgeted: $0
each Election
Fund(s) or Account(s): Elections Fund(s) or Account(s): 101-215-801
Recommended Motion: 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.
Approvals: Get approval from division head at a minimum prior Guest(s) Invited / Presenting
to sending to the Clerk.
Immediate Division Head Information Technology Yes
Other Division Heads Communication No
Legal Review
For City Clerk Use Only:Commission Action:
Packet Page 29
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: February 14, 2023 Title: FY23 Municipal Senior
Millage Funding
Submitted By: Sharonda Carson Department: CNS
Brief Summary: To approve allocations of the Municipal Senior Millage funding to city programs
geared toward citizens who are 60 years of age, or older.
Detailed Summary & Background:
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 Fresh- $300
Home Repairs (CNS) - $ 81,234
Goal/Focus Area/Action Item Addressed:
Refer to the 2022-2027 Long Term Goals document.
Amount Requested: Amount Budgeted:
Contact Finance if your item does not fit into
the current budget.
Fund(s) or Account(s): Fund(s) or Account(s):
Recommended Motion: To approve the budget proposed for City of Muskegon programs utilizing
FY23 Municipal Senior Millage Funds from the County of Muskegon.
Approvals: Get approval from division head at a minimum prior Guest(s) Invited / Presenting
to sending to the Clerk.
Immediate Division Head Information Technology Yes
Other Division Heads Communication No
Legal Review
For City Clerk Use Only:
Commission Action:
Packet Page 30
Public Health – Muskegon County • 209 E Apple Ave • Muskegon, MI 49442
Main: 231.724.6246 • Fax: 231.724.6674 • www.muskegonhealth.net
DATE: Wednesday January 18, 2023
TO: Municipalities
RE: FY23 Municipal Senior Millage Funding
On January 17, 2023 the County Board of Commissioners approved the senior millage municipal
allocation for FY23 (HS23/01-05). Attached you will find the Allocation Summary and Distribution
Table for the FY23 Municipal Senior Millage funding.
The U.S. Census Bureau, 2020 American Community Survey information at the municipality level is
not available yet. Therefore, the county has adjusted the allocation to hold harmless the municipalities
that may have received less. This ensures the municipalities can still coordinate and provide services,
programs and/or activities for seniors in their jurisdiction similar to what was previously provided.
To accept this funding, you must present a 1-2 page plan approved by your governing entity (Council or
Board) and endorsed by the jurisdictional County Commissioner(s). If your FY23 plan is a continuation
of FY22 activities, please note that in the email.
Please send communications and related documentation (plans, reports, requests, etc.) to:
[email protected]
We understand that some names and contact information for municipalities may have changed. If you
are not the primary contact for this funding, please send us the updated information.
Thank you.
Kathy Moore, Public Health Director
Packet Page 31
Municipal Allocation Summary
The Muskegon County Board of Commissioners approved allocating up to 25% of the annual senior millage
funds to local municipalities (2019-427) to coordinate and provide services, programs, and/or activities for
seniors in their jurisdictions. The funding formula includes a $3,500 base for each municipality plus a pro-rated
amount based on the population of seniors in the jurisdiction. Municipalities are encouraged to leverage funds
and minimize duplication by working with categorical grantees and/or each other.
Key points:
100% optional – submit an annual plan/budget to “opt in” each year.
It does not prohibit or limit municipalities from applying for and receiving funding via the grant process.
Municipalities must submit a 1 - 2 page plan approved by the governing entity & endorsed by the
jurisdictional County Commissioner.
Funding will follow the County fiscal year October 1, 2022 – September 30, 2023.
Quarterly reports required (financial and participant demographics) – monthly reports encouraged.
Please forward all related correspondence to: [email protected]
Advance, partial, interim and/or final allocation payments will be processed upon receipt of written
request along with required/appropriate documentation.
Population to be served:
1. All persons 60 years of age or older or their caregivers who meet the criteria established for services
shall be eligible for any or all services with priority given to meeting the needs of persons with the
greatest economic or social need, giving particular attention to low-income, minority individuals.
2. Residents or occupants of Muskegon County (permanent, temporary, or transitional).
3. The Sub-Contractor shall not refuse to provide services to any eligible persons 60 years of age and older
because of race, color, religion, national origin, age, sex, height, weight, marital status, sexual
orientation, arrest record, or handicap pursuant to Title VI of the Civil Rights Act of 1964, amended
1973; and the Elliott-Larsen Civil Rights Act, 1976 P.A. 453, Section 209. The Sub-Contractor shall
comply with the provisions of Title VI of the Civil Rights Act of 1964, the Michigan Handicappers Civil
Rights Act, 1976 P.A. 220, and Section 504 of the Federal Rehabilitation Act of 1973, D.L. 93-112, 87
Stat. 394, and the Americans with Disabilities Act, 1990 P.A. 101-336.
4. Further, the Sub-Contractor shall comply with all other federal, state, or local laws, regulations,
standards, and any amendments thereto, as they apply to the performance of this contract.
Correspondence:
All communications and related documentation (plans, reports, requests, etc.) should be sent to:
[email protected]
Packet Page 32
MUSKEGON COUNTY SENIOR MILLAGE
FY23 Municipal Distribution Table
Total
Municipality County Commissioner
Funding
Blue Lake Township $11,396 Cyr
Casnovia Township $11,071 Lahring
Casnovia Village $4,462 Lahring
Cedar CreekTownship $14,636 Lahring
Dalton Township $28,732 Cyr
Egelston Township $32,101 Cook
Fruitland Township $26,825 Cyr
Fuitport Village $7,489 Hazekamp
Fruitport Charter Township $49,331 Hazekamp
Holton Township $11,665 Lahring
Laketon Township $31,750 Cook
Lakewood Club Township $6,459 Cyr
Montague City $12,215 Cyr
Montague Township $9,665 Cyr
Moorland Township $7,875 Lahring
Muskegon City $101,234 Hovey-Wright, Nash, Cook, Paige
Muskegon Charter Township $57,730 Nash
Muskegon Heights City $30,545 Paige
North Muskegon City $18,578 Cook
Norton Shores City $93,326 Hazekamp, Paige, Hovey-Wright
Ravenna Township $10,716 Lahring
Ravenna Village $6,600 Lahring
Roosevelt Park City $15,489 Hovey-Wright
Sullivan Township $12,780 Hazekamp
White River Township $10,343 Cyr
Whitehall City $14,753 Cyr
Whitehall Township $10,600 Cyr
Total Distribution $648,366
Packet Page 33
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: February 14, 2023 Title: Sale of 1334 Pine
Street
Submitted By: LeighAnn Mikesell Department: City Manager’s
Office
Brief Summary: Staff is requesting approval of a new purchase agreement for 1334 Pine Street.
Detailed Summary & Background:
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.
Goal/Focus Area/Action Item Addressed:
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. Diverse housing types
Amount Requested: N/A Amount Budgeted: N/A
Fund(s) or Account(s): Fund(s) or Account(s):
Recommended Motion: to approve the purchase agreement for 1334 Pine Street.
Approvals: Guest(s) Invited / Presenting
Immediate Division Head Information Technology
Other Division Heads Communication Yes
Legal Review No
For City Clerk Use Only:
Commission Action:
Packet Page 34
dotloop signature verification: dtlp.us/zbdF-vhZT-xqqC
LM
01/23/23
6:03 PM EST
dotloop verified
Packet Page 35
dotloop signature verification: dtlp.us/zbdF-vhZT-xqqC
LM
01/23/23
6:03 PM EST
dotloop verified
Packet Page 36
dotloop signature verification: dtlp.us/zbdF-vhZT-xqqC
LM
01/23/23
6:03 PM EST
dotloop verified
Packet Page 37
dotloop signature verification: dtlp.us/zbdF-vhZT-xqqC
LM
01/23/23
6:03 PM EST
dotloop verified
Packet Page 38
dotloop signature verification: dtlp.us/zbdF-vhZT-xqqC
LM
01/23/23
6:03 PM EST
dotloop verified
Packet Page 39
dotloop signature verification: dtlp.us/zbdF-vhZT-xqqC
6506015435
Mariana Murillo VanDam 6506015435
LeighAnn Mikesell
dotloop verified
01/23/23 6:03 PM EST
SB9L-SE7W-KQOT-9XSY
LM
01/23/23
6:03 PM EST
dotloop verified
Packet Page 40
dotloop signature verification: dtlp.us/cSSl-9brq-jNqJ
dtlp.us/SwAT-bg4R-fZlQ
01/18/2023 1334 Pine St, Muskegon, MI 49442
0
Erin Malburg 1000
1000
This applies to all iterations of the purchase agreement between parties.
Also seller will not owe Renee Mulburg, buyer agent and buyer, Erin Mulburg any commission now or in the future on property 1334
Pine Street. All purchase agreements and addendums written on 1334 Pine Street by Renee Mulburg for her buyer, Erin Mulburg, to
be terminated by this mutual release agreement. Buyer agrees to not pursue any legal action against the Seller and Seller Broker.
01/27/2023
LM
01/31/23
2:09 PM EST
dotloop verified
dotloop verified
01/27/2023 Erin Malburg 01/27/23 4:09 PM EST
TARQ-JTEQ-EGFD-89UL
LeighAnn Mikesell
dotloop verified
01/31/23 2:09 PM EST
DIVC-RVLH-LSLK-DNGP
Mariana Murillo VanDam
dotloop verified
01/28/23 8:59 AM EST
VLWW-GPNR-PCVY-VEHE
Mariana Murillo VanDam
dotloop verified
01/28/23 8:59 AM EST
0RMU-JKXI-5YWT-NE9Q
Packet Page 41
dotloop signature verification: dtlp.us/OrOV-SNsw-9nqd
WEST MICHIGAN REGIONAL
ADDENDUM TO PURCHASE AGREEMENT
MLS # 71022050736 Date: 01/31/2023 (time)
[email protected]
Selling Office West Urban Realty , REALTOR® Phone Email
[email protected]
Listing Office West Urban Realty , REALTOR® Phone 6163662459 Email
1. Addendum # 1 to Purchase Agreement dated 01/23/2023 covering property at
1334 Pine St, Muskegon, MI 49442
2. This Addendum shall be an integral part of the Purchase Agreement, which is amended as follows:
This purchase agreement is no longer a backup offer, but the one and only purchase agreement for 1334 Pine St, Muskegon,
MI 49442
3. The Seller Buyer (check one) gives the above-named REALTOR® 3 days to obtain the written acceptance of this
Addendum to the Purchase Agreement. If accepted, this Addendum will constitute a binding change to the Purchase Agreement.
4. RECEIPT IS ACKNOWLEDGED BY BUYER of a copy of this Agreement.
Date X Buyer
(Note: Please sign as you wish your name to appear on final papers.)
X Buyer
(Note: Please sign as you wish your name to appear on final papers.)
5. RECEIPT IS ACKNOWLEDGED BY SELLER of a copy of this Agreement.
LeighAnn Miksell
dotloop verified
02/01/23 7:24 AM EST
Date X Q1Y1-JSTH-CY7L-PXI6 Seller
(Note: Please sign as you wish your name to appear on final papers.)
X Seller
(Note: Please sign as you wish your name to appear on final papers.)
©West Michigan REALTOR® Boards
Rev 7/2020
Packet Page 42
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: February 14, 2023 Title: MERS- Police
Command DB employee
contribution rate
Submitted By: Kenneth D. Grant Department: Finance
Brief Summary: The City seeks to adopt the Police Command Defined Benefit Employee Contribution as
negotiated per their contract.
Detailed Summary & Background:
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
Goal/Focus Area/Action Item Addressed: Sustainability in financial practices
Amount Requested: Amount Budgeted:
Fund(s) or Account(s): Fund(s) or Account(s):
Recommended Motion: To approve the required employee contribution 3% for Police Command
Defined Benefits.
Approvals: Guest(s) Invited / Presenting
Immediate Division Head Information Technology
Other Division Heads Communication Yes
Legal Review No
For City Clerk Use Only:
Commission Action:
Packet Page 43
Defined Benefit Plan Adoption Agreement
1134 Municipal Way Lansing, MI 48917 | 800.767.MERS (6377) | Fax 517.703.9711 www.mersofmich.com
The Employer, a participating municipality or participating court within the state of Michigan, hereby
agrees to adopt and administer the MERS Defined Benefit Plan provided by the Municipal Employees’
Retirement System of Michigan, as authorized by 1996 PA 220, in accordance with the MERS Plan
Document, as both may be amended, subject to the terms and conditions herein.
I. Employer Name _________________________________________________ Municipality #: _____________
If new to MERS, please provide your municipality’s fiscal year: _____________ through _____________.
Month Month
II. Effective Date
Check one:
A. If this is the initial Adoption Agreement for this group, the effective date shall be the first day
of ______________, 20___.
This municipality or division is new to MERS, so vesting credit prior to the initial MERS
effective date by each eligible employee shall be credited as follows (choose one):
All prior service from date of hire
Prior service proportional to assets transferred; all service used for vesting
Prior service and vesting service proportional to assets transferred
No prior service but grant vesting credit
No prior service or vesting credit
Link this new division to division number _______ for purposes of determining
contributions (Unless otherwise specified, the standard transfer/rehire rules apply)
B. If this is an amendment of an existing Adoption Agreement (Defined Benefit division number
_______), the effective date shall be the first day of ___/20___ (mm/yy). Please note: You only
need to mark changes to your plan throughout the remainder of this Agreement.
C. If this is a temporary benefit (Defined Benefit division number(s) ________________________),
select one of the following:
This is a temporary Benefit Window with a duration of 2-6 months. Effective dates
are from ___/01/___ through the last day of ___/20___ (mm/yy). Complete provisions as
applicable under Section IV of this form.
This is a temporary Lump Sum Buyout Program for terminated vested participants with
a duration of 6-24 months. Effective dates are from ___/01/___ through the last day of
___/20___ (mm/yy). Payout will reflect ____% (1-100%) of the participant’s present value of
accrued benefit. For example, if 40% is used, the payout will be 40% of the present value
of the benefit. This percentage cannot be changed once adopted.
Packet Page(version
Form DB-002 44 2022-08-09) Page 1 of 7
Defined Benefit Plan Adoption Agreement
D. If this is to separate employees from an existing Defined Benefit division (existing division
number(s) ________________________________________________________) into a new division,
the effective date shall be the first day of ___________________, 20____.
E. If this is to merge division(s) _____________________ into division(s) ____________________,
the effective date shall be the first of ___________________, 20____.
F. If this is an amendment to close Defined Benefit division(s) #_______________, with new
hires, rehires, and transfers going into an existing Defined Benefit division # _______________,
the effective date shall be _____________ (month/year).
Note: Closing this Defined Benefit division(s) will change future invoices to a flat dollar
amount instead of a percentage of payroll, as provided in your most recent annual
actuarial valuation.
(The amount may be adjusted for any benefit modifications that may have taken place since then).
III. Plan Eligibility
Division Title: ___________________________________________________
Only those employees eligible for MERS membership may participate in the MERS Defined Benefit
Plan. If an employee classification is included in the plan, then employees that meet this definition will
receive service credit if they work the required number of hours to meet the service credit qualification
defined below. All eligible employees must be reported to MERS. Please describe the specific
classifications that are eligible for MERS within this division:
___________________________________________________________________________________________
(For example: e.g., Full-time employees, Clerical staff, Union Employees participating in XXXX union)
This Division includes public safety employees (this information is used for actuarial purposes only. It
does not relate to the additional tax for early distribution): Yes No
To further define eligibility (select all that apply):
Not
Employee Classification Included Excluded
Employed
Temporary Employees: Those who will work for the municipality fewer than _____
months in total
Part-Time Employees: Those who regularly work fewer than _______ per _______
Seasonal Employees: Those who are employed for tasks that occur at specific times of
the year
Voter-Elected Officials
Appointed Officials: An official appointed to a voter-elected office
Contract Employees
Other: ___________________________________________________
Other 2: ___________________________________________________
Packet Page(version
Form DB-002 45 2022-08-09) Page 2 of 7
Defined Benefit Plan Adoption Agreement
Probationary Periods (select one):
Service will begin after the probationary period has been satisfied. Probationary periods are allowed in
one-month increments, no longer than 12 months. During this probationary period, the employer will
not report or provide service. Service will begin to accrue and contributions must be reported when
the Probationary Period ends.
The probationary period will be ______ month(s).
Comments:
Service will begin with the employee’s date of hire (no Probationary Period). Effective with the date of
hire, wages paid and any associated contributions must be submitted to MERS.
IV. Provisions
1. Service Credit Qualification
To clarify how eligible employees earn service credit, please indicate how many hours per month an
eligible employee needs to work. For example, if you require 10 eight-hour days, this would be 80
hours per month. If an hours and days has been previously defined (like 10 seven-hour days), stating
“70 hours” will be required. Employees must meet the definition of Plan Eligibility in order to earn
service credit under the plan.
To receive one month of service credit, an employee shall work (or be paid for as if working)
_________ hours in a month.
2. Leaves of Absence
Indicate by checking the boxes below, whether the potential for service credit will be allowed if an
eligible employee is on one of the following types of leave, regardless of meeting the service credit
qualification criteria.
Regardless whether an eligible employee is awarded service credit while on the selected type(s) of
leave:
• MERS will skip over these months when determining the FAC amount for benefit calculations.
• Third-party wages are not reported for leaves of absence.
• Employers are not required to remit employer contributions based on leaves of absence when
no wages are paid by the employer.
• For contributory divisions, employee contributions are required where service credit is granted
and due at the time of monthly wage and contribution reporting. Employers may use the
following formula to calculate employee contributions: the employee’s current hourly rate (prior to
leave), multiplied by service credit qualification (hours) multiplied by employee contribution. For
example, if employees’ hourly rate is $20, the division requires 120 hours to obtain service credit,
and employee contributions are 5%, the calculation will look like: $20/hour X 120 X .05 = $120 in
employee contribution for that leave month. Employers may use another internal formula, if they
choose and MERS will make note of it.
If an alternative formula is going to be used, please describe that here:
Packet Page(version
Form DB-002 46 2022-08-09) Page 3 of 7
Defined Benefit Plan Adoption Agreement
Type of Leave Service Credit Service Credit
Granted Excluded
Short-Term Disability
Long-Term Disability
Workers’ Compensation
Unpaid Family Medical Leave Act (FMLA)
Other: _________________________________________________________
For example, sick and accident, administrative, educational, sabbatical, etc.
Other 2: _______________________________________________________
Additional leave types as above
Leaves of absence due to military service are governed by the Federal Uniformed Services Employment
and Reemployment Rights Act of 1994 (USERRA), IRC 414(u), effective January 1, 2007, IRC 401(a)(37).
Military reporting requires historical wage and contribution reporting for Defined Benefit as applicable.
3. Definition of Compensation
The Definition of Compensation is used to calculate a participant’s final average compensation and is
used in determining both employer and employee contributions. Wages paid to employees, calculated
using the elected definition, must be reported to MERS.
Select your Definition of Compensation:
Click here to view details of Base,
Base Wages Box 1 Wages of W-2 Gross Wages
Box 1, and Gross Wages
Custom Definition
(To customize your definition, please complete the Custom Definition of Compensation Addendum.)
V. Valuation-Required Provisions
Valuation Date: _________________________ , 20_____
1. Review the valuation results
It is recommended that your MERS representative presents and explains the valuation results to
your municipality before adopting. Please choose one:
Our MERS representative presented and explained the valuation results to the
_______________________ on _________________.
(Board, Finance Cmte, etc.) (mm/dd/yyyy)
As an authorized representative of this municipality, I _______________________________
(Name)
________________________________ waive the right for a presentation of the results.
(Title)
This Adoption Agreement will be implemented in conjunction with a current actuarial valuation certified
by a MERS actuary that sets contribution rates.
Annually, the MERS actuary will conduct an actuarial valuation to determine the employers’
contribution rates. Employers are responsible for payment of said contributions at the rate, in the form
and at the time that MERS determines.
Packet Page(version
Form DB-002 47 2022-08-09) Page 4 of 7
Defined Benefit Plan Adoption Agreement
2. Benefit Multiplier (1%-2.5%, increments of 0.05%) _________ % (max 80% for multipliers
over 2.25%)
Check here if multiplier will be effective for existing active members’ future service only (Bridged
Benefit as of effective date on page 1)
If checked, select one below:
Termination Final Average Compensation (calculated over the members entire
wage history)
Frozen Final Average Compensation (FAC is calculated twice, once for the
timeframe that matches the original multiplier, and once for the new multiplier)
3. Final Average Compensation (Min 3 yr, increments of 1 yr) ________ years
4. Vesting (5 -10 yrs, increments of 1 yr) ________ years
5. Normal Retirement Age will be the later of: _______ (any age from 60-70), or the vesting provision
selected above (#4).
6. Required employee contribution (Increments of 0.01%) __________ %
7. Unreduced Early Retirement/Service Requirements:
Age 50 – 54________ Service between 25 and 30 years _______
Age 55 – 65________ Service between 15 and 30 years _______
Service only (must be any number from 20 – 30 years accrued service): _______
Age + Service Points (total must be from 70 – 90): ______ points
8. Other
Surviving Spouse will receive 50% of Straight Life benefit without a reduction to the
employees’ benefit (also known as an RS50)
Duty death or disability enhancement (add up to additional 10 years of service credit not to
exceed 30 years of service)
Deferred Retirement Option Program (DROP) – If selected, complete the following:
• Credited interest rate: ______% (please select either 0 or 3%)
• The employer, if selected, will delay a Cost of Living Adjustment (COLA) during the
DROP period (skip if not applicable): Yes No
• Credited payment percentage will be: ______% (enter a number from 10-100% in
increments of 10%) throughout the duration of the DROP period.
Packet Page(version
Form DB-002 48 2022-08-09) Page 5 of 7
Defined Benefit Plan Adoption Agreement
Annuity Withdrawal Program (AWP)
Calculation of the actuarial equivalent of the lump sum distribution made under AWP will be
done using:
Interest rate for employee contributions as determined by the Retirement Board, or
MERS’ assumed rate of return as of the date of the distribution.
9. Cost-of-Living Adjustment
All current retirees as of effective date Future retirees who retire after
Retirees who retire between effective date
____/01/____ and ____/01/____
Increase of _____% or $_____ per month Increase of _____% or $_____ per month
Select one: Annual automatic increase
Annual automatic increase
One-time increase
Select one: Select one:
Compounding Compounding
Non-compounding Non-compounding
Employees must be retired _____ months Employees must be retired _____ months
(6-12 months, increments of 1 month) (6-12 months, increments of 1 month)
Check here if the existing COLA will be bridged for active participants as of the effective date
selected on this form. Benefits accrued for service after the effective date will have no COLA
increase applied.
10. Service Credit Purchase Estimates are:
Not permitted
Permitted
VI. Appointing MERS as the Plan Administrator
The Employer hereby agrees to the provisions of this MERS Defined Benefit Plan Adoption Agreement and
appoints MERS as the Plan Administrator pursuant to the terms and conditions of the Plan. The Employer
also agrees that in the event of any conflict between the MERS Plan Document and the MERS Defined Benefit
Plan Adoption Agreement, the provisions of the Plan Document control.
VII. Modification Of The Terms Of The Adoption Agreement
If the Employer desires to amend any of its elections contained in this Adoption Agreement, including
attachments, the Governing Body or Chief Judge, by resolution or official action accepted by MERS, must adopt
a new Adoption Agreement. The amendment of the new Agreement is not effective until approved by MERS.
Packet Page(version
Form DB-002 49 2022-08-09) Page 6 of 7
Defined Benefit Plan Adoption Agreement
VIII. Enforcement
1. The Employer acknowledges that the Michigan Constitution of 1963, Article 9, Section 24, provides
that accrued financial benefits arising under a public Employer’s retirement plan are a contractual
obligation of the Employer that may not be diminished or impaired, and prohibits the use of the
Employer’s required current service funding to finance unfunded accrued liabilities.
2. The Employer agrees that, pursuant to the Michigan Constitution, its obligations to pay required
contributions are contractual obligations to its employees and to MERS and may be enforced in a
court of competent jurisdiction;
3. In accordance with the Constitution and this Agreement, if at any time the balance standing to the
Employer’s credit in the reserve for employer contributions and benefit payments is insufficient
to pay all service benefits due and payable to the entity’s retirees and beneficiaries, the Employer
agrees and covenants to promptly remit to MERS the amount of such deficiency as determined by
the Retirement Board within thirty (30) days notice of such deficiency.
4. The Employer acknowledges that wage and service reports are due monthly, and the employee
contributions (if any) and Employer contributions are due and payable monthly, and must be
submitted in accordance with the MERS Enforcement Procedure for Prompt Reporting and
Payment, the terms of which are incorporated herein by reference.
5. Should the Employer fail to make its required contribution(s) when due, the retirement benefits due
and payable by MERS on behalf of the entity to its retirees and beneficiaries may be suspended
until the delinquent payment is received by MERS. MERS may implement any applicable interest
charges and penalties pursuant to the MERS Enforcement Procedure for Prompt Reporting and
Payment and Plan Document Section 79, and take any appropriate legal action, including but
not limited to filing a lawsuit and reporting the entity to the Treasurer of the State of Michigan in
accordance with MCL 141.1544(d), Section 44 of PA 436 of 2012, as may be amended.
6. The Employer acknowledges that changes to the Employer’s MERS Defined Benefit Plan must be
made in accordance with the MERS Plan Document and applicable law, and agrees that MERS
will not administer any such changes unless the MERS Plan Document and applicable law permit
same, and MERS is capable of administering same.
IX. Execution
Authorized Designee of Governing Body of Municipality or Chief Judge of Court
The foregoing Adoption Agreement is hereby approved by ____________________________________ on
(Name of Approving Employer)
the _____ day of _______________________, 20_____.
Authorized signature: ________________________________________________________________________
Title: _______________________________________________________________________________________
Received and Approved by the Municipal Employees’ Retirement System of Michigan
Dated: ___________________________ , 20______ Signature: _______________________________________
(Authorized MERS Signatory)
Packet Page(version
Form DB-002 50 2022-08-09) Page 7 of 7
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: February 14, 2023 Title: MERS- Police
Command DC employee
contribution rate
Submitted By: Kenneth D. Grant Department: Finance
Brief Summary: The City seeks to adopt the Police Command Defined Contribution Plan Employee’s
Contribution rate as negotiated per their contract.
Detailed Summary & Background:
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:
Employees shall contribute 9% of their compensation towards the defined benefit plan as
defined by MERS. The previous contribution rate was 6%.
Goal/Focus Area/Action Item Addressed: Sustainability in financial practices
Amount Requested: Amount Budgeted:
Fund(s) or Account(s): Fund(s) or Account(s):
Recommended Motion: To approve the required employee contribution 9% for Police Command
Defined Benefit plan.
Approvals: Guest(s) Invited / Presenting
Immediate Division Head Information Technology
Other Division Heads Communication Yes
Legal Review No
For City Clerk Use Only:
Commission Action:
Packet Page 51
MERS Defined Contribution Plan Adoption Agreement
1134 Municipal Way Lansing, MI 48917 | 800.767.MERS (6377) | Fax 517.703.9711 www.mersofmich.com
The Employer, a participating municipality or court within the state of Michigan that has adopted MERS
coverage, hereby establishes the following Defined Contribution Plan provided by MERS of Michigan, as
authorized by 1996 PA 220 in accordance with the MERS Plan Document.
I. Employer Name ____________________________________________________ Municipality #: ___________
Division name _____________________________________________________________
Note: This division should reflect how you currently define employees who are eligible to participate, for
example, All full-time Employees, New hires after 1/1/2019, etc.
II. Effective Date
Check one:
A. If this is the initial Adoption Agreement for this group, the effective date shall be the first day
of ______________, 20___.
This municipality or division is new to MERS, so vesting credit prior to the initial MERS
effective date by each eligible employee shall be credited as follows (choose one):
Vesting credit from date of hire No vesting credit
This division is for new hires, rehires, and transfers of current Defined Benefit* division
#___________ and/or current Hybrid division #___________
For divisions that are closing or freezing with or without conversion, the Employer must complete
the Addendum for Plan Freeze, Closure and Conversions
B. If this is an amendment of an existing Adoption Agreement (existing division number
_____________), the effective date shall be the first day of __________________, 20_____.
Note: You only need to mark changes to your plan throughout the remainder of this Agreement.
C. If this is to separate employees from an existing Defined Contribution division (existing division
number(s) ________________________________________________________) into a new division,
the effective date shall be the first day of ___________________, 20____.
D. If this is to merge division(s)___________________ into division(s) ____________________, the
effective date shall be the first of ___________________, 20____.
E. If this is an amendment to close Defined Benefit division(s) #_______________ or Hybrid
division(s) _______________ with new hires, rehires, and transfers going into existing Defined
Contribution division # ____________, the effective date shall be _____________ (month/year).
Note: Closing this Defined Benefit or Hybrid division(s) will change future invoices to a flat
dollar amount instead of a percentage of payroll, as provided in your most recent annual
actuarial valuation.
(The amount may be adjusted for any benefit modifications that may have taken place since then).
Form MD-070
Packet (version
Page 522022-12-06) Page 1 of 5
MERS Defined Contribution Plan Adoption Agreement
III. Plan Eligibility
Only those employees eligible for MERS membership may participate in the MERS Defined Contribution
Plan. If an employee classification is included in the plan, then employees that meet this definition are
required to participate in the plan and earn time toward vesting. All eligible employees must be reported
to MERS reported to MERS and earn time toward vesting. Some excluded classifications require
additional information below. Please describe the specific classifications that are eligible for MERS within
this division:
___________________________________________________________________________________________
(For example: e.g., Full-time employees, Clerical staff, Union Employees participating in XXXX union)
This Division includes public safety employees: Yes No
To further define eligibility (select all that apply):
Not
Employee Classification Included Excluded
Employed
Temporary Employees: Those who will work for the municipality fewer than _____
months in total
Part-Time Employees: Those who regularly work fewer than _______ per _______
Seasonal Employees: Those who are employed for tasks that occur at specific times of
the year
Voter-Elected Officials
Appointed Officials: An official appointed to a voter-elected office
Contract Employees
Other: ___________________________________________________
Other 2: ___________________________________________________
Probationary Periods (select one):
Contributions will begin after the probationary period has been satisfied. Probationary periods
are allowed in one-month increments, no longer than 12 months. During this probationary period,
contributions will not be reported and service toward vesting will begin when probationary period has
ended.
The probationary period will be ______ month(s).
Comments:
Contributions will begin with the employee’s date of hire (no Probationary Period). Effective with the
date of hire, wages and any associated contributions must be submitted to MERS.
Form MD-070
Packet (version
Page 532022-12-06) Page 2 of 5
MERS Defined Contribution Plan Adoption Agreement
IV. Provisions
1. Leaves of Absence
Regardless of whether an employee is earning a wage while on the following types of leave:
• Third-party wages are not used in determining contributions for periods of leave.
• Vesting under elapsed time continues to accrue even if wages are not earned and contributions
are zero.
Note: Employers who determine vesting based on an “hours-reported” method, should report
actual worked hours for the month where there was a leave.
Types of leave include:
• Short Term and Long Term Disability
• Workers Compensation
• Unpaid Family Medical Leave Act (FMLA)
Leaves of absence due to military service are governed by the federal Uniformed Services
Employment and Reemployment Rights Act of 1994 (USERRA), IRC 414(u), effective January 1, 2007,
IRC 401(a)(37). Military reporting requires historical wage and contribution reporting for Defined
Contribution as applicable.
2. Definition of Compensation
The Definition of Compensation selected must be used when determining both employer and
employee contributions. Employers may include wage information along with employee and employer
contributions when submitting wage/contribution reports to MERS.
Select your Definition of Compensation:
Click here to view details
Base Wages Box 1 Wages of W-2 Gross Wages of Base, Box 1, and
Gross Wages
Custom Definition
(To customize your definition, please complete the Custom Definition of Compensation Addendum.)
3. Forfeiture
A forfeiture occurs when a participant separates from employment prior to meeting the associated
elapsed time (or hours reported) to receive vesting. The percentage of his/her employer contribution
account balance that has not vested as of the date of termination will forfeit after 12 consecutive
months following the termination date reported by the employer, or earlier, if the System distributes the
participant’s vested portion. MERS will utilize any available forfeiture balance as an automatic funding
source applied to reported employer contributions at the time of reporting.
4. Vesting
Vesting will be credited using (check one):
Elapsed time method – Employees will be credited with one vesting year for each 12 months of
continuous employment from the date of hire.
Hours reported method – Employees will be credited with one vesting year for each calendar
year in which _____ hours are worked
Form MD-070
Packet (version
Page 542022-12-06) Page 3 of 5
MERS Defined Contribution Plan Adoption Agreement
Vesting schedule will be (check one):
Immediate
Cliff vesting (fully vested after a specified number of years, not to exceed 15 years)
will be ___ years.
Graded Vesting (the % of vesting acquired after employment for the designated number of
years, not to exceed 10 years; or, where full vesting is attained between 10 and 20 years,
graded vesting must commence no later than 3 years of service)
% Vested Years of Service
In the event of disability or death, an employee’s (or his/her beneficiary’s) entire employer contribution
account shall be 100% vested, to the extent that the balance of such account has not previously
been forfeited.
Normal Retirement Age (presumed to be age 60 unless otherwise specified) __________
If an employee is still employed with the municipality at the age specified here, their entire employer
contribution balance will become 100% vested regardless of years of service.
5. Contributions
a. Contributions will be submitted (check one):
Contributions will be remitted according to Employer’s “Payroll Period” which represents the
actual period amounts are withheld from participant paychecks, or within the month during which
amounts are withheld.
Weekly Semi-Monthly (twice each month)
Bi-Weekly (every other week) Monthly
b. Employer Contributions
Required Employee Contributions and Employer Contributions are outlined using associated
Contribution Addendum for MERS Defined Contribution (MD-073).
c. Post-tax voluntary employee contributions are allowable into a Defined Contribution account
subject to Section 415(c) limitations of the Internal Revenue Code.
6. Loans: shall be permitted shall not be permitted
If Loans are elected, please refer to the Defined Contribution & 457 Loan Addendum.
7. Rollovers from qualified plans are permitted and the plan will account separately for pre-tax and
post-tax contributions and earnings thereon.
V. Appointing MERS as the Plan Administrator
The Employer hereby agrees to the provisions of this MERS Defined Contribution Plan Adoption Agreement
and appoints MERS as the Plan Administrator pursuant to the terms and conditions of the Plan. The
Employer also agrees that in the event of any conflict between the MERS Plan Document and the MERS
Defined Contribution Plan Adoption Agreement, the provisions of the Plan Document control.
Form MD-070
Packet (version
Page 552022-12-06) Page 4 of 5
MERS Defined Contribution Plan Adoption Agreement
VI. Modification of the terms of the Adoption Agreement
If the Employer desires to amend any of its elections contained in this Adoption Agreement, including
attachments, the Governing Body or Chief Judge, by resolution or official action accepted by MERS,
must adopt a new Adoption Agreement. The amendment of this Agreement is not effective until
approved by MERS.
VII. Enforcement
1. The Employer acknowledges that the Michigan Constitution of 1963, Article 9, Section 24, provides
that accrued financial benefits arising under a public Employer’s retirement plan are a contractual
obligation of the Employer that may not be diminished or impaired.
2. The Employer agrees that, pursuant to the Michigan Constitution, its obligations to pay required
contributions are contractual obligations to its employees and to MERS and may be enforced in a
court of competent jurisdiction;
3. The Employer acknowledges that employee contributions (if any) and employer contributions must be
submitted in accordance with the MERS Reporting and Contribution Enforcement Policy, the terms of
which are incorporated herein by reference;
4. The Employer acknowledges that late or missed contributions will be required to be made up,
including any applicable gains, pursuant to the Internal Revenue Code;
5. Should the Employer fail to make its required contribution(s) when due, MERS may implement
any applicable interest charges and penalties pursuant to the MERS Reporting and Contribution
Enforcement Policy and Plan Document Section 79, and take any appropriate legal action, including
but not limited to filing a lawsuit and reporting the entity to the Treasurer of the State of Michigan in
accordance with MCL 141.1544(d), Section 44 of PA 436 of 2012, as may be amended.
6. It is expressly agreed and understood as an integral and non-severable part of this Agreement
that Section 43 of the Plan Document shall not apply to this Agreement and its administration or
interpretation. In the event any alteration of the terms or conditions of this Agreement is made
or occurs, under Section 43 or other plan provision or law, MERS and the Retirement Board, as
sole trustee and fiduciary of the MERS plan and its trust reserves, and whose authority is non-
delegable, shall have no obligation or duty to administer (or to have administered) the MERS Defined
Contribution Plan, to authorize the transfer of any defined benefit assets to the MERS Defined
Contribution Plan, or to continue administration by MERS or any third-party administrator of the
MERS Defined Contribution Plan.
VIII. Execution
Authorized Designee of Governing Body of Municipality or Chief Judge of Court
The foregoing Adoption Agreement is hereby approved by ____________________________________ on
(Name of Approving Employer)
the _____ day of _______________________, 20_____.
Authorized signature: _____________________________________________________________________
Title: ____________________________________________________________________________________
Received and Approved by the Municipal Employees’ Retirement System of Michigan
Dated: ___________________________ , 20______ Signature:____________________________________
(Authorized MERS Signatory)
Form MD-070
Packet (version
Page 562022-12-06) Page 5 of 5
Contribution Addendum for
MERS Defined Contribution (and DC portion of Hybrid)
1134 Municipal Way Lansing, MI 48917 | 800.767.2308 | Fax 517.703.9711 www.mersofmich.com
City of Muskegon #6116
This is an Addendum to the Adoption Agreement completed by _________________________________________
Name of Participating Employer
Police Command
for _____________________________________________________________________ 110192
of ____________.
Employee Group Division Code
The Addendum modifies the MERS Defined Contribution Adoption Agreement. Please complete this
addendum for each contribution structure associated with the covered employee group.
Required Employee Contribution structure to DC (subject to Internal Revenue Code 415(c) limitations)
Select one:
Employees are required to contribute per payroll period:
Percentage _____%
9 OR flat dollar amount $_________
Employees are required to contribute within the following range for each payroll:
Percentage range from _____% to _____% OR dollar amount range $_________ to $________
Direct Required Employee Contributions: Pre-tax After-tax
The Participating Employer will make matching contributions into the Defined Contribution Plan based on
(CHECK ALL THAT APPLY):
Each Employee’s election to defer salary under the MERS 457 program (or any other qualified plan
outside of MERS).
Each Employee’s one-time election of required employee contributions for MERS Defined Contribution.
Packet
Form Page
MD-073 572021-12-20)
(version Page 1 of 2
Contribution Addendum for
MERS Defined Contribution (and DC portion of Hybrid)
1134 Municipal Way Lansing, MI 48917 | 800.767.2308 | Fax 517.703.9711 www.mersofmich.com
The Participating Employer elects to make contributions as follows (check and complete Matching, Non-
Matching, or both as applicable):
Matching Contributions
The Employer elects the following matching contribution formula:
Percentage: For each payroll period in which Employee contributions described above are made, the
Participating Employer will contribute _____% of the Employee contribution amount.
For example, if an Employer elects a 50% match, then for every $10 the participant defers to the
Program, the Employer will contribute $5 to the Program.
Flat Dollar: For each payroll period in which Employee contributions described above are made, the
Participating Employer will contribute no more than $_____________ per payroll period.
Employer Cap: The Employer elects to establish a cap on its matching contributions, so that the
match amount cannot exceed a certain amount. The Employer elects the following cap on its matching
contribution:
Flat Dollar Cap: In no event will matching contributions made on behalf of a participant exceed a flat
dollar amount equal to $____________ per ___________________________.
Cap Equal to Percentage of Total Compensation: In no event will matching contributions made
on behalf of a participant exceed _____% of the participant’s IRS Section 401(a)(17) includable
compensation as defined by the Employers’ Adoption Agreement (cannot exceed 100% of
participant’s income).
Non-Matching Contributions
The Employer hereby elects to make contributions to the participants’ accounts without regard to a
participant’s contribution amount (check one):
Annual: A one-time annual contribution of $________ or _____% of compensation per participant.
13
Pay Period: $ _______ or _____% of compensation per participant for each payroll period.
Packet
Form Page
MD-073 582021-12-20)
(version Page 2 of 2
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: February 14, 2023 Title: MERS- Police
Command HCSP employee
and employer contribution
rates
Submitted By: Kenneth D. Grant Department: Finance
Brief Summary: The City seeks to adopt the Police Command’s Health Care Saving Program contribution
rates as negotiated per their contract.
Detailed Summary & Background:
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.
Goal/Focus Area/Action Item Addressed: Sustainability in financial practices
Amount Requested: Amount Budgeted:
Fund(s) or Account(s): Fund(s) or Account(s):
Recommended Motion: To approve the required employee and employer Health Care Saving
Program contributions.
Approvals: Guest(s) Invited / Presenting
Immediate Division Head Information Technology
Other Division Heads Communication Yes
Legal Review No
For City Clerk Use Only:
Commission Action:
Packet Page 59
MERS Health Care Savings Program
Participation Agreement
1134 Municipal Way Lansing, MI 48917 | 800.767.2308 | Fax 517.703.9707 www.mersofmich.com
I. PARTICIPATING EMPLOYER
Employer Name: __________________________________________________________________
(Name of municipality or court)
Municipality Number: _________________________ Division Number: ___________________
II. EFFECTIVE DATE
1. If this is the initial Participation Agreement relating to the MERS Health Care Savings Program
for this covered group, the effective date of the program here adopted shall be:
______________________________________.
(Date)
2. If this is an amendment and restatement of an existing Participation Agreement relating to
the MERS Health Care Savings Program for this covered group, the effective date of this
amendment and restatement shall be effective: _________________________.
(Date)
Note: You only need to mark changes to your plan throughout the remainder of this Agreement.
III. COVERED EMPLOYEE GROUPS
A participating Employer may cover all of its employee groups, bargaining units, or personnel/
employee classifications (“Covered Group”) in the same Health Care Savings Program plan.
Contributions shall be made on the same basis within each Covered Group according to the
associated HCSP Contribution Addendum, remitted as directed by the Program Administrator.
This agreement encompasses the following group(s):
_______________________________________________________________________________
(Name/s of HCSP covered group/s)
Note: To maintain the tax-favored status of the employer’s Health Care Savings Program
and to comply with federal law, the Employer may not provide coverage or benefit levels to
highly-compensated employees that are not provided to non highly-compensated employees.
IV. ELIGIBLE EMPLOYEES
Only Employees of a “municipality” may be covered by the Health Care Savings Program Participation
Agreement. Independent contractors may not participate in the Health Care Savings Program.
The Employer shall provide MERS with the name, address, Social Security Number, and date of birth
for each Eligible Employee, as defined by the Participation Agreement.
V. EMPLOYER CONTRIBUTIONS TO THE HEALTH CARE SAVINGS PROGRAM
The Participating Employer hereby elects to make contributions to the Trust. Contributions shall be
made on the same basis within each Covered Group specified in this agreement, and remitted to
MERS as directed by the employer, to be credited to the individual accounts of Eligible Employees
according to the associated Contribution Addendum.
Form MD-170
Packet (version
Page 602022-01-27) Page 1 of 3
MERS Health Care Savings Program Participation Agreement
Vesting Cycle For Basic Employer Contributions Only. The employer contributions identified
in this Participation Agreement are subject to the following vesting cycle (where vesting is
different, separate participation agreement must be completed).
Immediate Vesting upon Participation
Cliff Vesting: The participant is 100% vested upon _____________________ year(s).
(Stated years)
Graded Vesting Percentage per year of service: Employers can select the percentage of
vesting with the corresponding years of service:
Years of Service Percent Vested
______________ _____________
______________ _____________
______________ _____________
______________ _____________
______________ _____________
______________ _____100%___
FORFEITURE PROVISION. Upon separation from service with the Employer prior to meeting
the required vesting schedule set out above or in the event a Participant dies without
Dependent(s) and/or a named Beneficiary, a Participant’s account assets shall (where forfeiture
is different, separate participation agreement must be completed):
Check only one:
Remain in the HCSP sub-trust to be reallocated among all Plan participants equally
Remain in the HCSP sub-trust to be used to offset future Employer Contributions
Be transferred to the Retiree Health Funding Vehicle (“RHFV”)
VI. MODIFICATION OF THE TERMS OF THE PARTICIPATION AGREEMENT
If a Participating Employer desires to amend any of its previous elections contained in this
Participation Agreement, including attachments, the Governing Body by official action must adopt
a new Participation Agreement and forward it to the Board for approval. The amendment of the new
Participation Agreement is not effective until approved by the Board and other procedures required by
the Trust Agreement and Plan Document have been implemented.
VII. APPOINTING MERS AS THE PROGRAM ADMINISTRATOR
The Employer hereby agrees to the provisions of the MERS Health Care Savings Program Plan
Document (“Plan Document”) and Trust Agreement and appoints MERS as the Program Administrator
pursuant to the terms and conditions of the Plan Document and Trust Agreement. The Employer also
agrees that in the event of any conflict between the Plan Document or the Trust Agreement and this
Participation Agreement, the Plan Document and Trust Agreement control.
VIII. FEES AND EXPENSES
Employer acknowledges that investment selection and associated participant fees and operating
expenses are established and charged by MERS as set forth in the Investment Fund and Fee
Summary sheets available at www.mersofmich.com and may be amended by MERS.
Form MD-170
Packet (version
Page 612022-01-27) Page 2 of 3
MERS Health Care Savings Program Participation Agreement
IX. STATE LAW
To the extent not preempted by federal law, this agreement shall be interpreted in accordance with
Michigan law.
X. TERMINATION OF THE PARTICIPATION AGREEMENT
This Participation Agreement may be terminated only in accordance with the Trust Agreement.
XI. EXECUTION BY GOVERNING BODY OF MUNICIPALITY
The foregoing Participation Agreement is hereby adopted and approved on
the _____ day of _______________________, 20_____ at the official meeting held
by ____________________________________________________________________.
(Name of approving employer)
Authorized Signature: ________________________________________________________________
Name: _____________________________________________________________________________
Title: _______________________________________________________________________________
Received and Approved by the Municipal Employees’ Retirement System of Michigan
Dated: _________________________, 20____
__________________________________________________________________________________
(Authorized MERS signatory)
Form MD-170
Packet (version
Page 622022-01-27) Page 3 of 3
Contribution Addendum for
MERS Health Care Savings Program (HCSP)
1134 Municipal Way Lansing, MI 48917 | 800.767.2308 | Fax 517.703.9711 www.mersofmich.com
City of Muskegon
This is an Addendum to the Participation Agreement completed by ______________________________________
Name of Participating Employer
Police Command Employees who are eligible to receive a retiree healthcare plan
for _____________________________________________________________________ 300406
of ____________.
Covered Employee Group Division Code
The Addendum modifies the MERS Health Care Savings Program Participation Agreement. Please complete
this addendum for each contribution structure associated with the covered employee group.
Check one or more (A or B, C and/or D):
A. Employer Contributions for Retirees / Former Employees. Employer contributions may be
made according to any frequency. Identify below the contribution formula or amount that will
apply to all in this covered group. Note: If this contribution is selected, Sections B, C, and D do
not apply.
Contribution structure (specify $ or %): _________________________________________________
For active employees, please check one or more below (B, C, and/or D).
B. Basic Employer (Before-Tax) Contributions. Before-tax employer contributions may be
made as a percentage of salary and/or by a specified dollar amount. Identify below the basic
employer contribution formula to be applied to the covered groups within the Health Care
Savings Program identified in this addendum.
Contribution structure (specify $ or % and, if a %, include the basis for that contribution.
For example: Employer will contribute 3% of base wages):
N/A
C. Mandatory Salary Reduction (Before-Tax) Contributions. Before-tax Employer Contributions
shall be made that represent a mandatory salary reduction resulting from collective bargaining
or the establishment of a personnel policy. These reductions may be made as a percentage of
salary or a specific dollar amount.
Contribution structure (specify $ or % and, if a %, include the basis for that contribution.
For example: Employees will contribute 3% of base wages):
3% of Medicare taxable wages
Packet
Form Page
MD-173 632021-08-20)
(version Page 1 of 2
Contribution Addendum for MERS Health Care Savings Program (HCSP)
D. Mandatory Leave Conversion (Before-Tax) Contributions. Before-tax Employer
Contributions shall be made that represent a mandatory conversion of accrued leave including,
but not limited to vacation, holiday, sick leave, or severance amounts otherwise paid out, to a
cash contribution. These contributions may be calculated as a percentage of accrued leave or
a specific dollar amount representing the accrued leave. Leave conversions may be made on
an annual basis or at separation from service, or at such other time as the Employer indicates.
(Note: The leave conversion program shall not permit employees the option of receiving cash in
lieu of the employer contribution.)
Check here if the covered employee group has the option to direct any/all of the
leave conversion lump sum to an existing 457 program.
Check one or more:
As of _____________________________, ___________% of ___________________________
Annual date or X weeks before termination Percentage Type of Leave Conversion (sick,
vacation, etc.)
must be contributed to the HCSP.
As of _____________________________, ___________% of ___________________________
Annual date or X weeks before termination Percentage Type of Leave Conversion (sick,
vacation, etc.)
must be contributed to the HCSP.
As of _____________________________, ___________% of ___________________________
Annual date or X weeks before termination Percentage Type of Leave Conversion (sick,
vacation, etc.)
must be contributed to the HCSP.
As of _____________________________, ___________% of ___________________________
Annual date or X weeks before termination Percentage Type of Leave Conversion (sick,
vacation, etc.)
must be contributed to the HCSP.
Post-Tax Employee Contributions. Post-tax Employee Contributions made by Eligible Employees
within the Covered Group(s) shall be remitted as directed by the Program Administrator, to be credited
to the individual accounts of Eligible Employees. All Employee Contributions must be remitted to
MERS along with the Participation Report.
Packet
Form Page
MD-173 642021-08-20)
(version Page 2 of 2
Contribution Addendum for
MERS Health Care Savings Program (HCSP)
1134 Municipal Way Lansing, MI 48917 | 800.767.2308 | Fax 517.703.9711 www.mersofmich.com
City of Muskegon
This is an Addendum to the Participation Agreement completed by ______________________________________
Name of Participating Employer
Police Command Employees who are NOT eligible to receive a retiree healthcare plan
for _____________________________________________________________________ 300406
of ____________.
Covered Employee Group Division Code
The Addendum modifies the MERS Health Care Savings Program Participation Agreement. Please complete
this addendum for each contribution structure associated with the covered employee group.
Check one or more (A or B, C and/or D):
A. Employer Contributions for Retirees / Former Employees. Employer contributions may be
made according to any frequency. Identify below the contribution formula or amount that will
apply to all in this covered group. Note: If this contribution is selected, Sections B, C, and D do
not apply.
Contribution structure (specify $ or %): _________________________________________________
For active employees, please check one or more below (B, C, and/or D).
B. Basic Employer (Before-Tax) Contributions. Before-tax employer contributions may be
made as a percentage of salary and/or by a specified dollar amount. Identify below the basic
employer contribution formula to be applied to the covered groups within the Health Care
Savings Program identified in this addendum.
Contribution structure (specify $ or % and, if a %, include the basis for that contribution.
For example: Employer will contribute 3% of base wages):
6% of Medicare taxable wages
C. Mandatory Salary Reduction (Before-Tax) Contributions. Before-tax Employer Contributions
shall be made that represent a mandatory salary reduction resulting from collective bargaining
or the establishment of a personnel policy. These reductions may be made as a percentage of
salary or a specific dollar amount.
Contribution structure (specify $ or % and, if a %, include the basis for that contribution.
For example: Employees will contribute 3% of base wages):
6% of Medicare taxable wages
Packet
Form Page
MD-173 652021-08-20)
(version Page 1 of 2
Contribution Addendum for MERS Health Care Savings Program (HCSP)
D. Mandatory Leave Conversion (Before-Tax) Contributions. Before-tax Employer
Contributions shall be made that represent a mandatory conversion of accrued leave including,
but not limited to vacation, holiday, sick leave, or severance amounts otherwise paid out, to a
cash contribution. These contributions may be calculated as a percentage of accrued leave or
a specific dollar amount representing the accrued leave. Leave conversions may be made on
an annual basis or at separation from service, or at such other time as the Employer indicates.
(Note: The leave conversion program shall not permit employees the option of receiving cash in
lieu of the employer contribution.)
Check here if the covered employee group has the option to direct any/all of the
leave conversion lump sum to an existing 457 program.
Check one or more:
As of _____________________________, ___________% of ___________________________
Annual date or X weeks before termination Percentage Type of Leave Conversion (sick,
vacation, etc.)
must be contributed to the HCSP.
As of _____________________________, ___________% of ___________________________
Annual date or X weeks before termination Percentage Type of Leave Conversion (sick,
vacation, etc.)
must be contributed to the HCSP.
As of _____________________________, ___________% of ___________________________
Annual date or X weeks before termination Percentage Type of Leave Conversion (sick,
vacation, etc.)
must be contributed to the HCSP.
As of _____________________________, ___________% of ___________________________
Annual date or X weeks before termination Percentage Type of Leave Conversion (sick,
vacation, etc.)
must be contributed to the HCSP.
Post-Tax Employee Contributions. Post-tax Employee Contributions made by Eligible Employees
within the Covered Group(s) shall be remitted as directed by the Program Administrator, to be credited
to the individual accounts of Eligible Employees. All Employee Contributions must be remitted to
MERS along with the Participation Report.
Packet
Form Page
MD-173 662021-08-20)
(version Page 2 of 2
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: February14, 2023 Title: Deficit Elimination Plan – Marina
Fund
Submitted By: Kenneth D. Grant Department: Finance Director
Brief Summary: To approve the Deficit Elimination plan and resolution for the Marina Fund and
direct staff to submit plan to the State of Michigan
Detailed Summary & Background:
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.
Goal/Focus Area/Action Item Addressed: Sustainability in financial practices
Amount Requested: $450,000.00 22-23 Amount Budgeted:
$260,000.00 23-24
Fund(s) or Account(s): From General Fund to Fund(s) or Account(s):
Marina
Recommended Motion: To approve the deficit elimination resolution for the Marina Fund.
Approvals: Guest(s) Invited / Presenting
Immediate Division Head Information
Technology Yes
Other Division Heads Communication No
Legal Review
For City Clerk Use Only:
Commission Action:
Packet Page 67
DEFICIT ELIMINATION PLAN
City of Muskegon
State ID Number 61-2020
Marina Fund
February 14, 2023
At June 30, 2022 the City of Muskegon Marina had a deficit $395,374. Anticipated revenue has failed to keep up with
the annual costs and depreciation associated with the Marina.
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.
The table below shows the Revenue and Expenditures for FY2021-22 and proposed budget for FY2022-23 and FY 2023-
24.
Packet Page 68
CITY OF MUSKEGON
MARINA FUND
ACTUAL PROPOSED PROPOSED
FY2021-22 FY2022-23 FY2023-24
OPERATION REVENUE
Charges for Service $ 282,819 330,000 345,000
Other $ 9,597
Total Operating Revenue $ 292,416 330,000 345,000
OPERATING EXPENSES
Administration $ 11,169 $ 394,687 $ 395,000
Other operations $ 345,305
Depreciation $ 107,417 $ 105,000 $ 95,000
Total Operating Expenses $ 463,891 $ 499,687 $ 490,000
Operation income(loss) $ (171,475) $ (169,687) $ (145,000)
NONOPERATING REVENUES (EXPENSES)
Investment Earnings $ 50 5,000
Interest Expense
Income(loss) before capital contributions $ (171,475) $ (169,637) $ (140,000)
CAPITAL CONTRIBUTIONS
Capital grants and Contributions
Transfers In FROM GF $ 450,000 $ 260,000
Change in Net Position $ (171,475) $ 280,363 $ 120,000
Net Position at beginning of year $ 757,577 $ 586,102 $ 866,465
Net position at end of year $ 586,102 $ 866,465 $ 986,465
2022-23 2023-24
UNRESTRICED $ (395,374) $ (115,011)
REVENUES $ 780,050 $ 610,000
EXPENDITURES $ 499,687 $ 490,000
DEPRECIATION $ 105,000 $ 95,000
MINUS CA-CL $ (115,011) $ 4,989
The Marina Raised Slip Fees between 11.69 -13.24%
High waters have receded, we expect to sale more slips in the upcoming years.
Packet Page 69
CITY OF MUSKEGON
MUSKEGON COUNTY, MICHIGAN
RESOLUTION NO.______________
WHEREAS City of Muskegon’s Marina Fund had a $395,374 deficit balance as of June
30, 2022; and
WHEREAS, Act 275 of the Public Acts of 1980 requires that a Deficit Elimination Plan
be formulated by the local unit of government and filed with the Michigan Department of
Treasury:
NOW THEREFORE, IT IS RESOLVED that the City Commission of the City of
Muskegon adopts the following as the City of Muskegon’s Marina Fund Deficit
Elimination Plan
Packet Page 70
CITY OF MUSKEGON
MARINA FUND
ACTUAL PROPOSED PROPOSED
FY2021-22 FY2022-23 FY2023-24
OPERATION REVENUE
Charges for Service $ 282,819 330,000 345,000
Other $ 9,597
Total Operating Revenue $ 292,416 330,000 345,000
OPERATING EXPENSES
Administration $ 11,169 $ 394,687 $ 395,000
Other operations $ 345,305
Depreciation $ 107,417 $ 105,000 $ 95,000
Total Operating Expenses $ 463,891 $ 499,687 $ 490,000
Operation income(loss) $ (171,475) $ (169,687) $ (145,000)
NONOPERATING REVENUES (EXPENSES)
Investment Earnings $ 50 5,000
Interest Expense
Income(loss) before capital contributions $ (171,475) $ (169,637) $ (140,000)
CAPITAL CONTRIBUTIONS
Capital grants and Contributions
Transfers In FROM GF $ 450,000 $ 260,000
Change in Net Position $ (171,475) $ 280,363 $ 120,000
Net Position at beginning of year $ 757,577 $ 586,102 $ 866,465
Net position at end of year $ 586,102 $ 866,465 $ 986,465
2022-23 2023-24
UNRESTRICED $ (395,374) $ (115,011)
REVENUES $ 780,050 $ 610,000
EXPENDITURES $ 499,687 $ 490,000
DEPRECIATION $ 105,000 $ 95,000
MINUS CA-CL $ (115,011) $ 4,989
The Marina Raised Slip Fees between 11.69 -13.24%
High waters have receded, we expect to sale more slips in the upcoming years.
Packet Page 71
Adopted this _______day of February 2023
By:__________________________________
Ken Johnson
Its Mayor
By:__________________________________
Ann Marie Meisch, MMC
Its Clerk
CERTIFICATION
This resolution was adopted at a regular meeting of the City commission, held on
February 14, 2023. The meeting was properly held and noticed pursuant to Open
Meetings Act of the State of Michigan, Act 267 of the Public Acts of 1967.
CITY OF MUSKEGON
By: ________________________________
Ann Marie Meisch, MMC
City Clerk
Packet Page 72
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: February 14, 2023 Title: Deficit Elimination Plan – Brownfield
Redevelopment Authority (combined)
Submitted By: Kenneth D. Grant Department: Finance
Brief Summary: 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
Detailed Summary & Background:
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.
Goal/Focus Area/Action Item Addressed: Sustainability in financial practices
Amount Requested: $ Amount Budgeted:
Fund(s) or Account(s): Fund(s) or Account(s):
Recommended Motion approve the deficit elimination resolution for the Brown Field
Redevelopment.
Approvals: Guest(s) Invited / Presenting
Immediate Division Head Information
Technology Yes
Other Division Heads Communication No
Legal Review
For City Clerk Use Only:
Commission Action:
Packet Page 73
DEFICIT ELIMINATION PLAN
City of Muskegon
State ID Number 61-2020
Brownfield Redevelopment Authority (Scattered Brownfield)
February 14, 2023
At June 30, 2022 the City of Muskegon’s Brownfield Redevelopment Authority (combined) had a deficit of $64,211. This
was the first year that the Scattered Brownfield captured taxes. Expenses exceeded the tax captured. For the fiscal
year 2022-23, we project that the Scattered Brownfield will have enough tax capture to eliminate the deficit.
Packet Page 74
CITY OF MUSKEGON
SCATTERED BROWNFIELD
PROPOSED PROPOSED
FY2022-23 FY2023-24
OPERATION REVENUE
PROPERTY TAXES $ 66,000.00 $ 92,673.00
Other
Total Operating Revenue $ 66,000.00 $ 92,673.00
OPERATING EXPENSES
Administration
Contractual Services $ 1,500.00 $ 2,000.00
Depreciation $ -
Total Operating Expenses $ 1,500.00 $ 2,000.00
Operation income(loss) $ 64,500.00 $ 90,673.00
NONOPERATING REVENUES (EXPENSES)
Investment Earnings
Interest Expense
Income(loss) before capital contributions $ 64,500.00 $ 90,673.00
CAPITAL CONTRIBUTIONS
Capital grants and Contributions
Transfers In FROM GF
Change in Net Position $ 64,500.00 $ 90,673.00
Net Position at beginning of year $ (103,660.24) $ (39,160.24)
Net position at end of year $ (39,160.24) $ 51,512.76
2022-23 2023-24
UNRESTRICED LESS NON CURRENT LIABILITIES $ (64,211.00) $ 289.00
REVENUES $ 66,000.00 $ 92,673.00
EXPENDITURES $ 1,500.00 $ 2,000.00
DEPRECIATION
MINUS CA-CL $ 289.00 $ 90,962.00
2021-22 WAS THE FIRST YEAR OF TAX CAPTURE EXPENDITURE EXCEEDED CAPTURE
GOING FORWARD WE EXPECT TAX CAPTURE TO EXCEEED EXPENSES
MORE PROPERTIES WILL CONTRIBUTE TO THE TAX CAPTURE AS MORE PROPERTIES ARE
ADDED TO THE TAX ROLL THAT WERE PREVIOUSLY TAX EXEMPT
Packet Page 75
CITY OF MUSKEGON
MUSKEGON COUNTY, MICHIGAN
RESOLUTION NO.______________
WHEREAS City of Muskegon’s Brownfield Redevelopment Authority (combined) had a
$64,211 deficit balance June 30, 2022; and
WHEREAS, Act 275 of the Public Acts of 1980 requires that a Deficit Elimination Plan
be formulated by the local unit of government and filed with the Michigan Department of
Treasury:
NOW THEREFORE, IT IS RESOLVED that the City Commission of the City of
Muskegon adopts the following as the City of Muskegon’s Brownfield Redevelopment
Authority (combined) Deficit Elimination Plan.
Packet Page 76
CITY OF MUSKEGON
SCATTERED BROWNFIELD
PROPOSED PROPOSED
FY2022-23 FY2023-24
OPERATION REVENUE
PROPERTY TAXES $ 66,000.00 $ 92,673.00
Other
Total Operating Revenue $ 66,000.00 $ 92,673.00
OPERATING EXPENSES
Administration
Contractual Services $ 1,500.00 $ 2,000.00
Depreciation $ -
Total Operating Expenses $ 1,500.00 $ 2,000.00
Operation income(loss) $ 64,500.00 $ 90,673.00
NONOPERATING REVENUES (EXPENSES)
Investment Earnings
Interest Expense
Income(loss) before capital contributions $ 64,500.00 $ 90,673.00
CAPITAL CONTRIBUTIONS
Capital grants and Contributions
Transfers In FROM GF
Change in Net Position $ 64,500.00 $ 90,673.00
Net Position at beginning of year $ (103,660.24) $ (39,160.24)
Net position at end of year $ (39,160.24) $ 51,512.76
2022-23 2023-24
UNRESTRICED LESS NON CURRENT LIABILITIES $ (64,211.00) $ 289.00
REVENUES $ 66,000.00 $ 92,673.00
EXPENDITURES $ 1,500.00 $ 2,000.00
DEPRECIATION
MINUS CA-CL $ 289.00 $ 90,962.00
2021-22 WAS THE FIRST YEAR OF TAX CAPTURE EXPENDITURE EXCEEDED CAPTURE
GOING FORWARD WE EXPECT TAX CAPTURE TO EXCEEED EXPENSES
MORE PROPERTIES WILL CONTRIBUTE TO THE TAX CAPTURE AS MORE PROPERTIES ARE
ADDED TO THE TAX ROLL THAT WERE PREVIOUSLY TAX EXEMPT
Packet Page 77
Adopted this _______day of February 2023
By:__________________________________
Ken Johnson
Its Mayor
By:__________________________________
Ann Marie Meisch, MMC
Its Clerk
CERTIFICATION
This resolution was adopted at a regular meeting of the City commission, held on
February 14, 2023. The meeting was properly held and noticed pursuant to Open
Meetings Act of the State of Michigan, Act 267 of the Public Acts of 1967.
CITY OF MUSKEGON
By: ________________________________
Ann Marie Meisch, MMC
City Clerk
Packet Page 78
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: Feb. 14, 2023 Title: CSX Rail, Authorization
to Close
Submitted By: Jonathan Seyferth/John Schrier Department: City Manager
Brief Summary:
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.
Detailed Summary & Background:
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 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.
Goal/Focus Area/Action Item Addressed:
Goal 1 – Destination Community, Goal 2 – Economic Development
Amount Requested: None – expense has Amount Budgeted: $2 million
already been authorized; this is just an
authorization to close.
Fund(s) or Account(s): Fund(s) or Account(s):
Recommended Motion: I recommend authorizing the City Manager to sign closing documents
related to the City’s purchase of the abandoned Rail Road Spur owned by CSX.
Packet Page 79
Approvals: Get approval from division head at a minimum prior Guest(s) Invited / Presenting
to sending to the Clerk.
Immediate Division Head Information Technology Yes
Other Division Heads Communication No
Legal Review
For City Clerk Use Only:
Commission Action:
Packet Page 80
From: John C. Schrier
To: Jonathan Seyferth; Kimberly Young
Subject: FW: CSX/Pure Muskegon
Date: Monday, February 6, 2023 4:10:33 PM
Attachments: image006.png
image007.png
image008.png
Kim/Jonathon:
Attached is Scott Timmer’s e-mail confirming inclusion of the CSX railroad will beaded to the
Windward Pointe brownfield. Please add this to the cover sheet.
John
From: Scott Timmer
Sent: Monday, February 6, 2023 4:03 PM
To: John C. Schrier
Subject: Re: CSX/Pure Muskegon
John: This will confirm that Pure Muskegon, LLC has approved amending or replacing its
Brownfield agreement to provide for inclusion of the railroad right of way in the Brownfield
plan so that the city can eventually be reimbursed for the costs relating to termination of the
railroad right of way through the Brownfield agreement.
Scott
Scott Timmer
Counsel
(231) 291-0110
_________________________________________
GIELOW GROOM TERPSTRA & McEVOY
Attorneys At Law
281 Seminole - 2nd Floor | Norton Shores, MI 49444
P: (231) 747-7160 Ext. 110 | F: (231) 747-8049
ggtmlaw.com | [email protected]
CONFIDENTIALITY NOTICE: This electronic message, including any attachments from the above sender is a confidential communication protected by attorney-client privilege, the work product
doctrine and other applicable law. If you are not the intended recipient, you are hereby notified that any re-transmission, disclosure, copying, distribution or printing or any other use of, or any action
in reliance on, the contents of this electronic message is strictly prohibited. If you have received this communication in error, please notify us by telephone at (231) 747-7160 or by email and delete
the material from any computer.
Packet Page 81
From: "John C. Schrier"
Date: Monday, February 6, 2023 at 3:59 PM
To: Scott Timmer
Subject: CSX/Pure Muskegon
Scott:
Please send me an e-mail confirming that Pure Muskegon is agreeable allowing the City’s relating to
the of CSX railroad property be added to the Pure Muskegon/Windward Pointe Brownfield. This is
consistent with my earlier e-mail and our telephone conference of last Thursday.
John C. Schrier
Partner
Direct P: (231) 722-5401
Direct F: (231) 722-5501
Email: [email protected]
Visit: 601 Terrace Street, Muskegon, MI 49440
Mail: PO Box 786, Muskegon, MI 49443-0786
Web: www.parmenterlaw.com
Find us on Facebook - LinkedIn
If you have received this communication in error, please notify us by email and delete the material. Thank you.
WARNING: This email originated outside of the City of Muskegon email system!
DO NOT CLICK links if the sender is unknown.
NEVER provide your User ID or Password.
Packet Page 82
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: February 14, 2023 Title: 2021 Consolidated Annual
Performance Evaluation Report
(CAPER ) Hearing
Submitted By: Sharonda Carson Department: CNS
Brief Summary: 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/
Detailed Summary & Background:
Citizen input is a necessary process of program activities for the CDBG/HOME
annual allocations. The 2020 CAPER is another opportunity to comment on the performance
achievements of the annual projects during the Hearing.
Goal/Focus Area/Action Item Addressed:
Refer to the 2022-2027 Long Term Goals document.
Amount Requested: Amount Budgeted:
Contact Finance if your item does not fit into
the current budget.
Fund(s) or Account(s): Fund(s) or Account(s):
Recommended Motion: To conduct a Public Hearing for the 2021 CAPER review.
Approvals: Get approval from division head at a minimum prior Guest(s) Invited / Presenting
to sending to the Clerk.
Immediate Division Head Information Technology Yes
Other Division Heads Communication No
Legal Review
For City Clerk Use Only:
Commission Action:
Packet Page 83
CR-05 - Goals and Outcomes
Progress the jurisdiction has made in carrying out its strategic plan and its action plan. 91.520(a)
This could be an overview that includes major initiatives and highlights that were proposed and executed throughout the program year.
Services offered in FY 21 are as follows:
CDBG
Residential Facade- Exterior wood siding that showed evidence of peeling or chipped paint or deterioration and rot were updated with Vinyl
Siding.
Public Improvements- The City invested in the upgrade of a park that seriously needed to be brought back to life.
Public Services- The city invested funding into Boys and Girls Club of the Muskegon Lakeshore.
Priority Home Repair- Home repair program that provided repairs in the form of roofing, foundation, electrical, plumbing and more.
HOME:
Homebuyer's Assistance Program - Provided assistance to low-income families with goals to become homeowners
Rental Rehabilitation - 3 units were made available to low-income families.
CHDO - 4 new units were created for low income families
NOTE: There is an error reporting all accomplishment categories in Table 1 to HOME funding. Areas that reflect zero are goals that we have not
had any activities assigned to in the FY 2021.
Comparison of the proposed versus actual outcomes for each outcome measure submitted with the consolidated plan and
CAPER 1
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 84
explain, if applicable, why progress was not made toward meeting goals and objectives. 91.520(g)
Categories, priority levels, funding sources and amounts, outcomes/objectives, goal outcome indicators, units of measure, targets, actual
outcomes/outputs, and percentage completed for each of the grantee’s program year goals.
Goal Category Source Indicator Unit of Expect Actual Percent Expect Actual Percent
/ Measure ed – – Comple ed – – Comple
Amoun Strateg Strateg te Progra Progra te
t ic Plan ic Plan m Year m Year
CDBG: Househol
Acquisition Affordable $/ Homeowner d
10 0
Development Resale Housing HOME: Housing Added Housing 0.00%
$ Unit
Administer CDBG:
Administration Other Other 8 0
Programs $ 0.00%
Non-
Housing
Househol
Community
Code Enforcement - CDBG: Rental units d
Developme 0 0 10 0
Inspections $ rehabilitated Housing 0.00%
nt
Unit
Housing
Rehab
Non-
Housing
Househol
Community Homeowner
Code Enforcement - CDBG: d
Developme Housing 0 0 10 0
Inspections $ Housing 0.00%
nt Rehabilitated
Unit
Housing
Rehab
CAPER 2
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 85
Non-
Housing
Househol
Community Housing Code
Code Enforcement - CDBG: d
Developme Enforcement/Forecl 275 0
Inspections $ Housing 0.00%
nt osed Property Care
Unit
Housing
Rehab
Non-
Housing
Code Enforcement - CDBG:
Community Other Other 10 0
Neighborhood Clean-Up $ 0.00%
Developme
nt
Code
Enforcemen Public service
Code Enforcement - t, activities other than
CDBG: Persons
Smoke and CO Neighborho Low/Moderate 125 0
$ Assisted 0.00%
Detectors od Safety, Income Housing
Public Benefit
Service
Affordable
Housing
Code Enforcement: Non-
CDBG:
Inspections/Detectors/C Housing Other Other 125 0
$ 0.00%
lean-Up Community
Developme
nt
Househol
Community Housing
Affordable HOME: Homeowner d
Development 3 0
Housing $ Housing Added Housing 0.00%
Organizations
Unit
CAPER 3
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 86
Non-
Housing
Community CDBG: Buildings
Demolition Buildings 35 0
Developme $ Demolished 0.00%
nt
Blight Fight
Non-
Housing Househol
Housing Code
Community CDBG: d
Demolition Enforcement/Forecl 0 0 5 0
Developme $ Housing 0.00%
osed Property Care
nt Unit
Blight Fight
Non-
Housing
Economic Development CDBG: Businesse
Community Businesses assisted 5 0
Opportunity $ s Assisted 0.00%
Developme
nt
Neighborho
od
Stabilizatio
n, Public Facility or
Enhanceme Infrastructure
Househol
Exterior Paint/Siding nt, Code CDBG: Activities for
ds 55 6
Housing Enforcemen $ Low/Moderate 10.91%
Assisted
t, Income Housing
Preserving Benefit
of Existing
Housing
Stock
CAPER 4
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 87
Neighborho
od
Stabilizatio
n,
Enhanceme Househol
Homeowner
Exterior Paint/Siding nt, Code CDBG: d
Housing 0 0 7 6
Housing Enforcemen $ Housing 85.71%
Rehabilitated
t, Unit
Preserving
of Existing
Housing
Stock
Neighborho
od
Stabilizatio
n,
Enhanceme
Exterior Paint/Siding nt, Code CDBG: Jobs
Jobs 5 0
Housing Enforcemen $ created/retained 0.00%
t,
Preserving
of Existing
Housing
Stock
CAPER 5
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 88
Non-
Housing
Community
Developme CDBG:
Fair Housing Other Other 20 0
nt $ 0.00%
Fair
Housing
Activities
Non-
Housing
CDBG:
Fire Station Bond Community Other Other 1 1 100.00
$
Developme %
nt
Program
Services CDBG:
General Administration Other Other 50 0
and $ 0.00%
Assistance
CDBG:
Househol
$/ Homeowner
Home Repairs - Home d
HOME: Housing 500 41 40 41 102.50
Moderate Repairs Repairs Housing 8.20%
$1450 Rehabilitated %
Unit
00
CDBG: Househol
Homebuyer Affordable $/ Homeowner d
15 18 120.00
Assistance/Education Housing HOME: Housing Added Housing
%
$ Unit
Househol
Affordable HOME: Homeowner d
Housing 5 % 2 18 900.00
Housing $ Housing Added Housing
%
Unit
CAPER 6
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 89
Affordable HOME: Jobs
Housing Jobs 5 0
Housing $ created/retained 0.00%
Non- Public service
Housing activities for Househol
Improve Community CDBG:
Community Low/Moderate ds 125 0
Safety $ 0.00%
Developme Income Housing Assisted
nt Benefit
Non-
Housing
Improve High-Speed CDBG:
Community Other Other 4 0
Broadband Access $ 0.00%
Developme
nt
Non-
Housing
Improve Job CDBG: Jobs
Community Jobs 5 0
Opportunity $ created/retained 0.00%
Developme
nt
Non-
Housing
Community
Improved Developme CDBG: Jobs
Jobs 5 0
Neighborhoods nt $ created/retained 0.00%
Economic
Developme
nt
CAPER 7
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 90
Non-
Housing
Community
Improved Developme CDBG:
Other Other 3 0
Neighborhoods nt $ 0.00%
Economic
Developme
nt
Education,
Outreach, CDBG:
Legal Services Other Other 20 0
Public $ 0.00%
Service
Non-
Housing
CDBG:
Match Funding Community Other Other 4 0
$ 0.00%
Developme
nt
Public Facility or
Non-
Infrastructure
Housing
Neighborhood CDBG: Activities other than Persons
Community 10 0
Infrastructure $ Low/Moderate Assisted 0.00%
Developme
Income Housing
nt
Benefit
Non-
Housing
CDBG:
Neighborhood Policing Community Other Other 20 0
$ 0.00%
Developme
nt
CAPER 8
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 91
Househol
Owner Occupied Homeowner
Home CDBG: d
Rehabilitation - Priority Housing 350 0
Repairs $ Housing 0.00%
Repairs Rehabilitated
Unit
Non-
Housing
Public Facilities CDBG:
Community Other Other 4 0 1 1 100.00
Improvement $ 0.00%
Developme %
nt
Non- Public service
Housing activities other than
Public Service CDBG: Persons
Community Low/Moderate 50 0
Opportunities $ Assisted 0.00%
Developme Income Housing
nt Benefit
Non-
Househol
Housing Homeowner
Public Service CDBG: d
Community Housing 10 0
Opportunities $ Housing 0.00%
Developme Rehabilitated
Unit
nt
Program Househol
Homeowner
Rehabilitation Services CDBG: d
Housing 30 0
Administration and $ Housing 0.00%
Rehabilitated
Assistance Unit
CDBG:
Househol
$/
Rental Rehabilitation Affordable Rental units d
HOME: 15 7 4 7 175.00
Program Housing rehabilitated Housing 46.67%
$4500 %
Unit
0
CAPER 9
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 92
Non-
Housing
Resilient/Smart CDBG:
Community Other Other 20 0
Neighborhoods Program $ 0.00%
Developme
nt
Public service
Non-
activities other than
Homeless CDBG: Persons
Senior Assistance Low/Moderate 375 0
Special $ Assisted 0.00%
Income Housing
Needs
Benefit
Househol
Homeowner
Housing CDBG: d
Service Delivery Housing 50 0
Services $ Housing 0.00%
Rehabilitated
Unit
Public Facility or
Non-
Infrastructure
Housing
CDBG: Activities other than Persons
Streets Community 500 0 50 0
$ Low/Moderate Assisted 0.00% 0.00%
Developme
Income Housing
nt
Benefit
Non- Public service
Housing activities other than
CDBG: Persons
Transportation Services Community Low/Moderate 125 0
$ Assisted 0.00%
Developme Income Housing
nt Benefit
CAPER 10
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 93
Non-
Housing Public service
Community activities other than
CDBG: Persons
Youth Opportunities Developme Low/Moderate 2500 571 475 571 120.21
$ Assisted 22.84%
nt Income Housing %
Youth Benefit
Experiences
Non-
Housing
Community
CDBG: Jobs
Youth Opportunities Developme Jobs 4 0
$ created/retained 0.00%
nt
Youth
Experiences
Table 1 - Accomplishments – Program Year & Strategic Plan to Date
Assess how the jurisdiction’s use of funds, particularly CDBG, addresses the priorities and specific objectives identified in the plan,
giving special attention to the highest priority activities identified.
The city utilized funding for home repairs, façade improvements, park improvements, creating new homeowners through homebuyers’
assistance, and the rehabilitation of homes to create affordable homes for the community. We identified through our efforts that there is a great
need for housing repairs due to the many applications we receive and the community has benefited from the opportunity to become
homeowners.
CAPER 11
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 94
CR-10 - Racial and Ethnic composition of families assisted
Describe the families assisted (including the racial and ethnic status of families assisted).
91.520(a)
CDBG HOME
White 57 12
Black or African American 522 13
Asian 1 0
American Indian or American Native 1 1
Native Hawaiian or Other Pacific Islander 0 0
Total 581 26
Hispanic 0 1
Not Hispanic 581 0
Table 2 – Table of assistance to racial and ethnic populations by source of funds
Narrative
Families assisted were considered extremely low income and were majority Black or African American.
39 additional beneficiaries were served that were Other/Multi-racial, a category that is not available to
document in the CR-10.
CAPER 12
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 95
CR-15 - Resources and Investments 91.520(a)
Identify the resources made available
Source of Funds Source Resources Made Amount Expended
Available During Program Year
CDBG public - federal 988,508 970,072
HOME public - federal 336,456 124,647
Other public - federal 1,215,250 50,000
Table 3 - Resources Made Available
Narrative
Resources made available to the community were CDBG and HOME dollars. The other category
represents HOME ARP funding by way of the origninal source of HOME funding geerally administered to
the City of Muskegpn
CDBG dollars utilized for the purpose of home repair services that include but are not limited to roof
replacement, residential facade or siding replacement, electrical, foundation, plumbing and sewer.
Home program funding utlized for the acquisition of 2 properties for total rehabilitation.
Identify the geographic distribution and location of investments
Target Area Planned Percentage of Actual Percentage of Narrative Description
Allocation Allocation
Muskegon 100 100 City Limits
Table 4 – Identify the geographic distribution and location of investments
Narrative
CDBG funding assisted a total of 617 households/individuals in 2021 and HOME served 25.
CAPER 13
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 96
Leveraging
Explain how federal funds leveraged additional resources (private, state and local funds),
including a description of how matching requirements were satisfied, as well as how any
publicly owned land or property located within the jurisdiction that were used to address the
needs identified in the plan.
Our federal funds were able to be paired with funding received through similar purposes
through the Muskegon County Senior Millage dollars, DTE assistance for a multi-housing
improvement as well as a state funded Lead program to address families receiving
Medicaid. Leveraging funds with our program resources allowed us to maximize these federal
funds and serve more people in need. There was no public or privately owned land utilized this
year and no required match.
Fiscal Year Summary – HOME Match
1. Excess match from prior Federal fiscal year 0
2. Match contributed during current Federal fiscal year 0
3. Total match available for current Federal fiscal year (Line 1 plus Line 2) 0
4. Match liability for current Federal fiscal year 0
5. Excess match carried over to next Federal fiscal year (Line 3 minus Line 4) 0
Table 5 – Fiscal Year Summary - HOME Match Report
CAPER 14
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 97
Match Contribution for the Federal Fiscal Year
Project No. or Date of Cash Foregone Appraised Required Site Bond Total Match
Other ID Contribution (non-Federal Taxes, Fees, Land/Real Infrastructure Preparation, Financing
sources) Charges Property Construction
Materials,
Donated labor
Table 6 – Match Contribution for the Federal Fiscal Year
HOME MBE/WBE report
Program Income – Enter the program amounts for the reporting period
Balance on hand at Amount received during Total amount expended Amount expended for Balance on hand at end
begin-ning of reporting reporting period during reporting period TBRA of reporting period
period $ $ $ $
$
584,454 336,456 235,925 0 684,985
Table 7 – Program Income
CAPER 15
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 98
Minority Business Enterprises and Women Business Enterprises – Indicate the number and dollar
value of contracts for HOME projects completed during the reporting period
Total Minority Business Enterprises White Non-
Alaskan Asian or Black Non- Hispanic Hispanic
Native or Pacific Hispanic
American Islander
Indian
Contracts
Dollar
Amount 199,760 0 0 99,920 0 99,840
Number 2 0 0 1 0 1
Sub-Contracts
Number 0 0 0 0 0 0
Dollar
Amount 0 0 0 0 0 0
Total Women Male
Business
Enterprises
Contracts
Dollar
Amount 199,760 99,920 99,840
Number 2 1 1
Sub-Contracts
Number 0 0 0
Dollar
Amount 0 0 0
Table 8 - Minority Business and Women Business Enterprises
Minority Owners of Rental Property – Indicate the number of HOME assisted rental property owners
and the total amount of HOME funds in these rental properties assisted
Total Minority Property Owners White Non-
Alaskan Asian or Black Non- Hispanic Hispanic
Native or Pacific Hispanic
American Islander
Indian
Number 1 0 0 0 0 1
Dollar 44,99
Amount 7 0 0 0 0 44,997
Table 9 – Minority Owners of Rental Property
CAPER 16
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 99
Relocation and Real Property Acquisition – Indicate the number of persons displaced, the cost of
relocation payments, the number of parcels acquired, and the cost of acquisition
Parcels Acquired 5 466,000
Businesses Displaced 0 0
Nonprofit Organizations
Displaced 0 0
Households Temporarily
Relocated, not Displaced 0 0
Households Total Minority Property Enterprises White Non-
Displaced Alaskan Asian or Black Non- Hispanic Hispanic
Native or Pacific Hispanic
American Islander
Indian
Number 0 0 0 0 0 0
Cost 0 0 0 0 0 0
Table 10 – Relocation and Real Property Acquisition
CAPER 17
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 100
CR-20 - Affordable Housing 91.520(b)
Evaluation of the jurisdiction's progress in providing affordable housing, including the
number and types of families served, the number of extremely low-income, low-income,
moderate-income, and middle-income persons served.
One-Year Goal Actual
Number of Homeless households to be
provided affordable housing units 50 0
Number of Non-Homeless households to be
provided affordable housing units 60 66
Number of Special-Needs households to be
provided affordable housing units 1 0
Total 111 66
Table 11 – Number of Households
One-Year Goal Actual
Number of households supported through
Rental Assistance 8 0
Number of households supported through
The Production of New Units 6 7
Number of households supported through
Rehab of Existing Units 2 41
Number of households supported through
Acquisition of Existing Units 60 18
Total 76 66
Table 12 – Number of Households Supported
Discuss the difference between goals and outcomes and problems encountered in meeting
these goals.
The city of Muskegon does not directly deal with homeless populations but focuses on addressing
homeowners needs that will keep them in their homes preventing them from experiencing
homelessness. The difference between the goals for rental assistance, the production of units, rehab of
existing units and acquiring units is that the goal set seems to be unrealistic compared to the amount of
funding we have to support the goals. The goals set for non-homeless.
CAPER 18
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 101
Discuss how these outcomes will impact future annual action plans.
The outcomes will impact the future annual action plans because it will allow us to look at our
shortcomings to plan to improve the next year. For instance, we know that we have an underserved
homelesspopulation and we are actively seeking solutions to assist the population and improve the data
in the next few years. Also, our rental rehabilitation program has very little that take advantage so we
will include plans to talk with existing landlords to determine how to strengthen the connection to those
resources.
Include the number of extremely low-income, low-income, and moderate-income persons
served by each activity where information on income by family size is required to determine
the eligibility of the activity.
Number of Households Served CDBG Actual HOME Actual
Extremely Low-income 13 5
Low-income 28 20
Moderate-income 0 6
Total 41 31
Table 13 – Number of Households Served
Narrative Information
Overall, the data reflects some areas that can be improved with setting realistic attainable goals for
serving homeless population and aquiring more units to serve.
CAPER 19
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 102
CR-25 - Homeless and Other Special Needs 91.220(d, e); 91.320(d, e); 91.520(c)
Evaluate the jurisdiction’s progress in meeting its specific objectives for reducing and ending
homelessness through:
Reaching out to homeless persons (especially unsheltered persons) and assessing their
individual needs
The city has made great progress as a board member of the Continuum of Care (CoC) to help reduce
homelessness in our community. Staff serve on varies committess that seek additional funding for
partners, plan for up coming years ad engage with other agencies to enusre that all available resources
are mde available to all community memebers. Regionally, the cities of Muskegon Heights and Norton
Shores are represented as well, and our focus is to meet objectives set by the CoC board to reach this
critical population. Through a recent study conducted, the City concluded that there were many
unaccompanied youth that are considered to be living in homelessness between the ages of 11-24. The
partnership is exploring potential for drop in center to assist in meeting the needs of the youth with
potential for offering of transistional housing.
Addressing the emergency shelter and transitional housing needs of homeless persons
The City has also aquired 5 units that will be used to house homeless families through partnership with
the Continuum of Care. Families will have the ability to sign a lease agreement for up to two years while
seeking permanent housing. We continue to coordinate and meet with the CoC on a regular basis to
coordinate resurces and funding for the homeless poulation..
Helping low-income individuals and families avoid becoming homeless, especially extremely
low-income individuals and families and those who are: likely to become homeless after
being discharged from publicly funded institutions and systems of care (such as health care
facilities, mental health facilities, foster care and other youth facilities, and corrections
programs and institutions); and, receiving assistance from public or private agencies that
address housing, health, social services, employment, education, or youth needs
Our home repair program is designed to assist homeowners who have a priority housing issue that could
displace them from thier home because of plumbing, electrical, mechanical or critical structure
dificiencies. The help provided by the city that allows a household to receives assistance allows them
the ability to remain in their home.
In addition, we also offer homebuyers assistance to those who are wanting to transition to a more
permenant housing solution and purchase a home. These funds offer down payment asssistance that
are applied to closing cost.
CAPER 20
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 103
Helping homeless persons (especially chronically homeless individuals and families, families
with children, veterans and their families, and unaccompanied youth) make the transition to
permanent housing and independent living, including shortening the period of time that
individuals and families experience homelessness, facilitating access for homeless individuals
and families to affordable housing units, and preventing individuals and families who were
recently homeless from becoming homeless again
The CoC is an organization in pursiut of helping homeless persons find affordable housing in our
community. The City has participated in a board capacity to structure and facilitate housing
opportunities that prevent housed homeless families from experiencing another homeless scenario.
CAPER 21
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 104
CR-30 - Public Housing 91.220(h); 91.320(j)
Actions taken to address the needs of public housing
The City is exploring an opportunity to partner with a neighboring commiunity to create a Community
Land Trust within the City of Muskegon. This will create affordable home options for low income families
that could not reasonably aquire in more tradtional forms. The CLT would guarantee these homes to
only become available to low income buyers in the event that they are sold.
The City is also exploring the opportunity to become a certified counceling agency and create housing
counselors to create a more informed staff to equip the community with information that will
encourage homeownership.
Actions taken to encourage public housing residents to become more involved in
management and participate in homeownership
Public housing residents are known to be at a fixed-income status and because of this their likelihood to
become a homeowner is rare. In addition, homeownership has not been advantageous given rise in the
housing market of the past 5 years. The PHA has a Homeownership Program but other strategies to
encourage tenant management have been encouraged more so than homeownership. The public
housing residents are managed by staff with monthly reporting of income status. Annually housing
staff will meet with each tenant to assess income and empower tenants to manage their living situation
by giving them options like homeownership, outside rental opportunities, or housing facilities that fit
their income and household needs. Currently, the Rental Assistance Demonstration option is
being presented to give tenants encouragement with the proposed changes. No other actions have
been taken by the city at this time.
Tenants are included in management through Tenant Advisory meetings where decision making and
changes to the public housing facility are discussed. The resident board has been actively working with
PHA staff to oversee the tenants’ issues and concerns and manage the housing facility. Recently, the
PHA has awarded vouchers to developers which offer housing choice/opportunities that are newer and
different from the current conditions of the public housing venue. The highlight for the Housing
Commission is that the facility is embarking on a revitalization renovation through the RAD (Rental
Assistance Demonstration) process offered to PHAs.
Actions taken to provide assistance to troubled PHAs
The PHA is not designated as troubled
CAPER 22
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 105
CR-35 - Other Actions 91.220(j)-(k); 91.320(i)-(j)
Actions taken to remove or ameliorate the negative effects of public policies that serve as
barriers to affordable housing such as land use controls, tax policies affecting land, zoning
ordinances, building codes, fees and charges, growth limitations, and policies affecting the
return on residential investment. 91.220 (j); 91.320 (i)
The city is consistently reviewing old zoning policies that negatively effect or create barriers to housing
options within the city. The approach taken to complete an updated view of housing choice for our
community and developers was achieved through Rezoning parcels in our eligible census tracts
Additionally, our city is disginated as a redevelopment ready community. The city is being strategic
about creating housing that will fit the needs of every living situation. The City is seeking to adopt Form
Based Code throughout additional neighborhoods. This will help to remove barriers to development and
allow for additional types of housing like mother-in-law suites, “tiny” homes and mixed-use spaces with
housing above. Also, this change will provide property owners with more flexibility to use their property
for income generating purposes by allowing for smaller rentals in current residential spaces
Actions taken to address obstacles to meeting underserved needs. 91.220(k); 91.320(j)
To meet the needs of the underserved, we have become more diligent in ensuring the community has
accurate information about programs administered through our offices. We have also engaged in more
outreach opportunities with community events with partners and those of our own. We ensure that
211, a local resource that provides citizens with information about assistance programs and
organizations in the community, has accurate information about programs and that all applications are
current in person and online. We have also sought to inform a wider audience through television
appearances and increased presence on social media platforms.
Actions taken to reduce lead-based paint hazards. 91.220(k); 91.320(j)
We have a state funded program for Lead Based Paint hazards but mostly, every affordable housing unit
produced is cleared of Lead-based paint hazards through abatement and remediation.
Our HOME funded units through Rental Rehab or Homebuyers programs address lead as a required
feature of renovations. Our programs include this action up front before rehabilitation can take place,
and the properties are cleared to ensure safety of future residents.
In addition to the above, we have instituted tructures into all home repair programs to address lead
rather it is paint, water, or sewer lines.
CAPER 23
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 106
Actions taken to reduce the number of poverty-level families. 91.220(k); 91.320(j)
We continue to serve on boards and strengthen partnership with our CoC, to stay abreast of needs of
the homeless population. the goal is to increase awareness, resources and access to resources while
removing barriers.
Actions taken to develop institutional structure. 91.220(k); 91.320(j)
Institutional structure is developed through trial and success of building a strong community. The city
supports organized Neighborhood Associations, BLIGHT fight task force and a number of community
relation committees.
Actions taken to enhance coordination between public and private housing and social service
agencies. 91.220(k); 91.320(j)
Our social service agencies in our community have always been a partner to address the needs of our
income challenged families. We have worked with the State and local Departments of Health and
Human Services, Community Foundation and other nonprofit agencies to meet expressed needs of our
citizens. Our services are limited to income qualifying households but we do not limit our
coordination to offer and receive referrals from many organizations that focus on housing, health and
public needs.
The City of Muskegon also coordinates with the PHA through the appointments of 3 city staff to the
Housing Board. The Board Officers have continued to impress that social service options must be
present inside the building. This year, the executive director has managed to enhance the building with
the participation of social service partners, local programs that give financial, food resources and social
supports onsite as possible because of the pandemic.
Identify actions taken to overcome the effects of any impediments identified in the
jurisdictions analysis of impediments to fair housing choice. 91.520(a)
The City is in the midst of a analysis of Impediment to identify any impediment through programs and
services offered.
Our response to overcoming impediments identified of our jurisdiction occurred by contracting with the
Fair Housing Center of West Michigan who review the HMDA reporting of the past years to show how
our banks are helping families. We met with local banks and lenders and shared how we can do better
in a fair and impartial manner to overcome prejudice and discrimination. Using the FHCWM to help us
survey our community residents, educate our local banks, realtors, rental owners, and ourselves to
overcome hidden or visual disparities in our jurisdiction.
CAPER 24
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 107
CR-40 - Monitoring 91.220 and 91.230
Describe the standards and procedures used to monitor activities carried out in furtherance
of the plan and used to ensure long-term compliance with requirements of the programs
involved, including minority business outreach and the comprehensive planning
requirements
Standards and procedures utilized to monitor activites carried out in furtherance of the plan to ensure
long-term compliance is documenting each application received, tracking demographic information,
household size and amounts associated with projects. Monthly we meet with our finanance tean to
compare expenditures and outcomes of our programming. We ensure that every bid is competitive by
solisiting to all trades and selecting the lowest, most reliable bid. All files are reviewed for required
documentation and approval for compliance purposes.
Citizen Participation Plan 91.105(d); 91.115(d)
Describe the efforts to provide citizens with reasonable notice and an opportunity to
comment on performance reports.
We provide notice to the public at least 10 days in advance for 15-, 20- and 30-day comment periods via
socal media, company website and email.
CAPER 25
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 108
CR-45 - CDBG 91.520(c)
Specify the nature of, and reasons for, any changes in the jurisdiction’s program objectives
and indications of how the jurisdiction would change its programs as a result of its
experiences.
Currently there has not been any changes to in the city of Muskegon's objectives but we are invested in
ensuring all citizens have access to housing that fits their needs and desires. If there is to be a suggested
change the objective it would be to ensure that the city is addressing the housing shortage which has
been a crisis for this community.
Does this Jurisdiction have any open Brownfields Economic Development Initiative (BEDI)
grants?
No
[BEDI grantees] Describe accomplishments and program outcomes during the last year.
CAPER 26
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 109
CR-50 - HOME 91.520(d)
Include the results of on-site inspections of affordable rental housing assisted under the
program to determine compliance with housing codes and other applicable regulations
Please list those projects that should have been inspected on-site this program year based upon
the schedule in §92.504(d). Indicate which of these were inspected and a summary of issues
that were detected during the inspection. For those that were not inspected, please indicate
the reason and how you will remedy the situation.
Rental Rehabilitation Properties
489-491 W Grand Ave – Inspected August 2021. Issues noted and repaired: Screen replacement,
repainted stairs, air conditioner properly installed by owner.
562 Oak Ave – Inspected December 2021. Issues noted and repaired: The tenant was evicted due to
nonpayment of rent, and the property was destroyed. Evidence of hoarding was present, mouse
infestation, filth, destruction of walls and windows. This was the final inspection to finish out the period
of affordability. Property was repaired and cleaned by owner, and the lien discharged.
1174-84 Wood – Inspected August 2021. Issues noted and repaired: Closet door damaged, missing
screen replaced, tub resealed, hole in wall repaired, three doors repaired, loose railing repaired by
owner.
1184 7th St – Inspected August 2021, and the property was determined to be out of compliance, as the
owner sold the property and no tenants were benefitting from the affordable housing. The HOME
investment was repaid.
1288 5th St – Inspected September 2021. Issues noted and repaired: Garage door repaired, cabinet
handles replaced, missing screens replaced, repainting done of wall and trim, hose bib repaired.
CHDO Properties
81 Delaware 1 & 2 - Inspected August 2021. Issues noted and repaired: Cabinet repair, painting, screen
repair.
170 Mason – Inspected August 2021. Issues noted: Shower handle missing, overgrowth of back deck,
hole in back deck, floor sinking in laundry room, back door seal failing.
409 Houston – Inspected July 2021. Issues noted and repaired: missing screens, missing light globe, nail
protruding from wall, tree trimming, reseal tub, replace missing cabinet handle.
1264/62 5th – Inspected August 2021. Issues noted: one unit appeared to have bed bugs (issue was
CAPER 27
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 110
addresses and unit reinspected). Reinspection conducted January 2022. Issues noted: Repainting walls,
repair gap in wall, secure handrail, replace missing cabined. Finish flooring, Inspect and repair stairs to
basement, seal vent system, repair gap in foundation, have foundation inspected, replace light switch
cover in back bedroom, replace smoke detector in kitchen, paint exterior foundation.
1270/1274 5th – Inspected July 2021. Issues noted/repaired: Damaged register, damaged seal to back
door, damaged wall in bathroom, damaged screen, chipped paint, missing spindle to staircase, missing
light switch cover, gap in back door.
1676 Wood – Inspected July 2021. Issues noted/repaired: fire hazard of cloth over light fixture, broken
light fixture, removed smoke alarms, screws protruding from basement handrail, damaged garage door.
All properties scheduled for inspection this year received one.
Provide an assessment of the jurisdiction's affirmative marketing actions for HOME units.
92.351(b)
We have no rental projects that contain five or more rental units, therefore not triggering the
affirmative marketing requirements at 24 CFR 92.351. However, our homebuyer programs adhere to
these regulations by utilizing the equal housing opportunity logo on our programs to inform the public
of our fair housing practices. We advertise our properties and programs throughout the community via
211, newspaper, online, social media, and by postings.
Refer to IDIS reports to describe the amount and use of program income for projects,
including the number of projects and owner and tenant characteristics
Program income is derived from four sources: the sale of homes that have been rehabilitated and sold
to low-income buyers, from rent received from our singular rental property, lien payoffs, and rental
rehabilitation application fees.
Rehabilitated Homebuyer Properties - This year we received $0 from the sale of rehabilitated
properties. Income from previous year’s program income funds the Homebuyer’s Assistance Program
that provides closing costs and inspection assistance to low-income homebuyers within the City of
Muskegon. This year we invested $87,423.41 of program income to assist 18 households in purchasing
homes. 83% were female-led households and 55% were single-parent households. 38% of household
served were black, 55% white, 5% Hispanic, and 5% American Indian.
Application Fee – This year we received $200 from application fees. This money goes to support the
CAPER 28
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 111
Rental Rehab program and pay for start-up project costs such as lead inspections.
Lien Payoffs – This year we received $24,773.59 in lien payoffs from parties that failed to adhere to the
affordability requirements of the program. This money is reinvested in our programing.
Rents - This year, we received $12,100 in program income from our rental property which was used to
maintain the property
Describe other actions taken to foster and maintain affordable housing. 91.220(k) (STATES
ONLY: Including the coordination of LIHTC with the development of affordable housing).
91.320(j)
Other actions take to foster and maintain affordable housing would be investigating ways to strengthen
our rental rehab program, investment in rental propertis that our pj would manage and observing
Community land Trust for opportunites to create affordable hosuing for purchase.
CAPER 29
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 112
CR-58 – Section 3
Identify the number of individuals assisted and the types of assistance provided
Total Labor Hours CDBG HOME ESG HOPWA HTF
Total Number of Activities 0 0 0 0 0
Total Labor Hours 0 0
Total Section 3 Worker Hours 0 0
Total Targeted Section 3 Worker Hours 0 0
Table 14 – Total Labor Hours
Qualitative Efforts - Number of Activities by Program CDBG HOME ESG HOPWA HTF
Outreach efforts to generate job applicants who are Public Housing
0 0
Targeted Workers
Outreach efforts to generate job applicants who are Other Funding
0 0
Targeted Workers.
Direct, on-the job training (including apprenticeships). 0 0
Indirect training such as arranging for, contracting for, or paying tuition
0 0
for, off-site training.
Technical assistance to help Section 3 workers compete for jobs (e.g.,
0 0
resume assistance, coaching).
Outreach efforts to identify and secure bids from Section 3 business
0 0
concerns.
Technical assistance to help Section 3 business concerns understand
0 0
and bid on contracts.
Division of contracts into smaller jobs to facilitate participation by
0 0
Section 3 business concerns.
Provided or connected residents with assistance in seeking employment
including: drafting resumes,preparing for interviews, finding job 0 0
opportunities, connecting residents to job placement services.
Held one or more job fairs. 0 0
Provided or connected residents with supportive services that can
0 0
provide direct services or referrals.
Provided or connected residents with supportive services that provide
one or more of the following: work readiness health screenings, 0 0
interview clothing, uniforms, test fees, transportation.
Assisted residents with finding child care. 0 0
Assisted residents to apply for, or attend community college or a four
0 0
year educational institution.
Assisted residents to apply for, or attend vocational/technical training. 0 0
Assisted residents to obtain financial literacy training and/or coaching. 0 0
Bonding assistance, guaranties, or other efforts to support viable bids
0 0
from Section 3 business concerns.
Provided or connected residents with training on computer use or online
0 0
technologies.
Promoting the use of a business registry designed to create
0 0
opportunities for disadvantaged and small businesses.
Outreach, engagement, or referrals with the state one-stop system, as
designed in Section 121(e)(2) of the Workforce Innovation and 0 0
Opportunity Act.
CAPER 30
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 113
Other. 0 0
Table 15 – Qualitative Efforts - Number of Activities by Program
Narrative
We currently do not have any projects that trigger section 3.
CAPER 31
OMB Control No: 2506-0117 (exp. 09/30/2021)
Packet Page 114
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: February 14, 2023 Title: ARPA Community
Grant Program
Submitted By: Peter Wills Department: Dev Services
Brief Summary: 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.
Detailed Summary & Background:
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. 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.
Packet Page 115
Applicants awarded grant funds will enter into a contractual agreement (SLFRF Beneficiary
Agreement) with the city which outlines general obligations and reporting requirements.
Goal/Focus Area/Action Item Addressed: Goal (Community Connection); Focus Area (Foster
strong ties among government and community agencies)
Amount Requested: $1,500,000 Amount Budgeted: $1,500,000
Fund(s) or Account(s): 101-901-982-092112 Fund(s) or Account(s): 101-901-982-092112
Recommended Motion: 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.
Approvals: Get approval from division head at a minimum prior Guest(s) Invited / Presenting
to sending to the Clerk.
Immediate Division Head Information Technology Yes
Other Division Heads Communication No
Legal Review
For City Clerk Use Only:
Commission Action:
Packet Page 116
CITY OF MUSKEGON
AMERICAN RESCUE PLAN ACT (ARPA)
COMMUNITY GRANT
PROGRAM GUIDELINES
Packet Page 117
City of Muskegon
ARP Community Grant Program Guidelines
INTRODUCTION:
The federal American Rescue Plan Act of 2021 (ARPA) was signed into law on March 11, 2021, by
President Joe Biden. It 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.
The U.S. Department of Treasury adopted a guidance document on January 6, 2022, for recipients
of SLFRF funds (City), referred to as the Final Rule. This document describes eligible use categories
and other restrictions on the use of funds under the SLFRF program as well as federal reporting
requirements.
The Final Rule Overview states that federal SLFRF award funds may not be placed in reserves, or
used to pay settlements or other judgments, nor may funds be used to pay debts or fees related
to issuing debt.
As a recipient of an SLFRF award, the City has discretion to distribute the award funds in ways
which best suits the needs of our residents – as long as such uses fit into one of the following
four eligible categories:
1. Support public health expenditures or its negative economic impacts caused by the
public health emergency, including assistance to households, small businesses and
nonprofits, or aid to impacted industries, such as tourism, travel and hospitality.
2. Replace lost public sector revenue and fund general government expenses and projects.
3. Provide assistance to members of the community that were disproportionately impacted
by the pandemic.
4. To make necessary investments in water, sewer or broadband infrastructure.
1|Page
Packet Page 118
City of Muskegon
ARP Community Grant Program Guidelines
PURPOSE OF COMMUNITY GRANT:
To make available one-time federal COVID-19 pandemic recovery funds, for eligible nonprofit
organizations and small businesses, to establish capital initiatives and special projects which
affect the most impacted and disproportionately impacted households in our community.
Applicants are encouraged to develop proposals that would fund one-time capital initiatives or
special projects of short-term duration instead of new programs to avoid any associated long-
term operating costs.
Funding priority will be given to proposals which remove barriers for disproportionately impacted
residents who have historically experienced difficulty to accessing these types of resources.
Proposals must support and meet the public health and economic needs of those most impacted
and address longstanding health and economic disparities amplified by the pandemic.
Community grant funds are to be used to advance equity, strengthen the economic vitality of the
city and quality of life of our residents.
AVAILABLE FUNDING:
The city is making $1,500,000 available in one-time direct federal revenue resource for an ARPA
Community Grant program. The number of grants will be limited by the budgeted amount.
Under the federal SLFRF program, the stimulus funds received by the City, and those specifically
used for this community grant, must be used for costs incurred on or after March 3, 2021.
TERMS:
The city seeks proposals from 501(c)(3) nonprofit organizations and small businesses, described
below, that are located in the city limits, meet the objectives of the ARPA SLFRF, and are aligned
with the City of Muskegon’s Long Term Goals and strategic priorities.
501(c)(3) nonprofit organization - must provide evidence from a copy of a current IRS
Determination Letter. The organization must be headquartered within the municipal
boundaries of the City, as of March 3, 2021, and provide direct services to residents. Award
funds shall not be spent on operations and maintenance of the nonprofit organization.
Eligible small business - must meet the U.S. Small Business Administration’s small business
size standards. This is a table of size standards to help small businesses assess their business
2|Page
Packet Page 119
City of Muskegon
ARP Community Grant Program Guidelines
size. This definition of “size” aligns with the SBA definition of a small business. SBA’s Table
of Size Standards provides definitions for North American Industry Classification System
(NAICS) codes, that vary widely by industry, revenue and employment. It defines small
business by firm revenue (ranging from $1 million to over $40 million) and by employment
(from 100 to over 1,500 employees). For example, according to the SBA definition, a roofing
contractor is defined as a small business if it has annual revenues of $16.5 million or less.
But an Asphalt Shingle and Coating Material manufacturer is defined as a small business if it
has fewer than 750 employees. The small business must be headquartered within the
municipal boundaries of the City, as of March 3, 2021. Award funds shall not be spent on
operations and maintenance of the small business.
Applicants are encouraged to develop proposals that would fund one-time capital initiatives
or special projects, which affect the most impacted and disproportionately impacted
households in our community, instead of new programs to avoid any associated long-term
operating costs. The capital initiatives or special projects are to be of limited duration and
have a stated outcome(s). Grant funds also offer a chance to develop partnerships to address
challenges impacting the entire community.
Under the requirements of the federal SLFRF program, funds received by the City must be
used for costs incurred on or after March 3, 2021. As a result of establishing the city’s ARPA
Community Grant, funds awarded to successful applicants must be for those expenses
incurred by the eligible nonprofit organization or small businesses on or after March 3, 2021.
Application period will begin March 1, 2023. Applications must be submitted on or before
March 31, 2023 by Midnight. Late applications will not be accepted. The Review Committee
will submit recommendations to the Commission. The City Commission will review and
make funding decisions at the April 25th General Commission meeting. Final Commission-
recommendations announced to the public by April 26th.
Applications will be available and may be submitted through the City of Muskegon’s website.
This is the only way to submit applications. If you need a special accommodation, please email
[email protected] for assistance or contact the City at 231-724-6702.
Only one application may be submitted by eligible applicants during the grant cycle.
The available range from which to request grant funds will be a minimum of $25,000 to a
maximum of $250,000.
Applicants will be reviewed and considered for recommendation based on requesting a fixed
grant amount only for: $25,000, $50,000, $75,000, $100,000, $150,000, $200,000 or
3|Page
Packet Page 120
City of Muskegon
ARP Community Grant Program Guidelines
$250,000. Cost share/matching funds are not required. Applicants shall select a grant amount
that is reflective of their overall organization size and internal capacity.
The proposed project must be obligated/contracted by December 31, 2024 and all project
funds must be spent by December 31, 2026. The project must begin as soon as the
Beneficiary Grant Agreement is executed. Receiving a City ARP Community Grant requires the
project to be completed in a timely manner.
All city taxes and other city accounts must be current.
If the project proposal involves building construction, all work must be done in compliance
with all city regulations and ordinances, including obtaining necessary building permits and
when applicable, the approval of the Historic District Commission. Contact the City’s Building
and Inspection Services Department for more information.
All work must be done by a licensed contractor, if the project involves building construction.
Any changes in access or design to a building must strictly comply with the federal 2010
Americans with Disabilities Act design standards.
Quarterly financial and project status reports will be required.
Due to the federal requirements of this grant award, no time extensions will be allowed. All
funds that are not expended by this deadline must be repaid to the City of Muskegon.
Awardee shall notify City when project is complete.
CONTRACTUAL AGREEMENT:
Applicants approved for funding will enter into a contractual agreement with the City that
outlines general obligations and reporting requirements. The awardee of an ARPA Community
Grant will be required to complete a SLFRF Beneficiary Agreement between the City and
awardee. Recipients are expected to be familiar with these requirements and be willing to comply
with all terms.
Treasury considers households, communities, small businesses, nonprofits, and impacted
industries as beneficiaries of projects carried out with SLFRF funds. Consequently, if the original
Recipient of federal SLFRF funds (City) is awarding a grant to an individual or entity for the
purpose of directly benefitting the individual or entity as a result of experiencing a pandemic-
4|Page
Packet Page 121
City of Muskegon
ARP Community Grant Program Guidelines
related public health impact or negative economic impact, the individual or entity is acting as a
beneficiary (grant awardee).
As a result, the City ARPA Community Grant awardee is bound to the terms and conditions stated
in the Beneficiary Agreement. This Agreement is necessary for the City to remain in compliance
with federal project and expenditure reporting requirements for SLFRF allocations to
beneficiaries.
**See example of Beneficiary Agreement as an attachment to this document.
GRANT DISBURSAL:
A disbursement of 50% of the funds will be made following Beneficiary Agreement execution and
authorization by the City Commission. Additional funds shall only be disbursed after verification
that the previous payment had been expended, in full, in accordance with the Agreement. The
final 10% of the award will be withheld until the project is completed no later than December 31,
2026.
ADDRESSING COMMUNITY NEED:
The pandemic caused severe economic damage and much work remains to continue building a
robust, resilient, and equitable economy in the wake of the crisis and to ensure that the benefits
of this recovery reach all citizens. While the pandemic impacted millions of American households
and businesses, some of its most severe impacts fell on low income and underserved
communities, where pre-existing disparities amplified the impact of the pandemic and where the
most work remains to reach a full recovery.
The Final Rule recognizes that the pandemic caused broad based impacts that affected many
communities, households, and small businesses across the country. The final rule describes these
as “impacted” households, communities, small businesses, and nonprofits.
At the same time, the pandemic caused disproportionate impacts, or more severe impacts, in
certain communities. For example, low income and underserved communities have faced more
severe health and economic outcomes like higher rates of COVID 19 mortality and
unemployment, often because pre-existing disparities exacerbated the impact of the pandemic.
The final rule describes these as “disproportionately impacted” households, communities, small
businesses, and nonprofits.
The City of Muskegon’s ARPA Community Grant is aimed at helping support programs and
services that affect the most impacted and disproportionately impacted households through
5|Page
Packet Page 122
City of Muskegon
ARP Community Grant Program Guidelines
eligible nonprofit organizations and small businesses in our community. Funding priority will
be given to proposals intended to remove barriers for disproportionately impacted residents
who have historically experienced difficulty to accessing these types of resources. Proposals
must also support and meet the public health and economic needs of those most impacted and
address longstanding health and economic disparities amplified by the pandemic as a result.
ELIGIBILITY:
In order for projects to be considered eligible for ARP Community Grant funding, proposals must
meet the categories detailed above which have been specified by the U.S. Treasury Department.
Applicants are encouraged to develop proposals that would fund one-time capital initiatives or
special projects of short-term duration instead of new programs to avoid any associated long-
term operating costs. Grant funds also offer a chance to develop partnerships to address
challenges impacting the entire community.
In general, to identify eligible uses of funds in this category, Recipients should, (1) identify a
COVID-19 public health or economic impact on an individual or class (i.e., a group) and, (2) design
a program that responds to that impact. Responses should be related and reasonably
proportional to the harm identified and reasonably designed to benefit those impacted.
Proposals will be deemed ineligible for ARPA Community Grant funding if they involve the
following uses that are prohibited in the legislation:
Deposits into pension funds
Payment of legal settlements or judgements
Matching funds for other Federal Grants
Payment of Debt
Deposits into Financial reserves, stabilization or rainy-day funds
Treasury provides a non-exhaustive list of permitted uses of SLFRF funds that respond to
pandemic impacts. Applicants should first consult the following links for more detailed
information:
Coronavirus State and Local Fiscal Recovery Funds: Overview of the Final Rule – U.S.
Department of Treasury
Coronavirus State and Local Fiscal Recovery Funds under the American Rescue Plan Act
6|Page
Packet Page 123
City of Muskegon
ARP Community Grant Program Guidelines
APPLICATION PROCESS & EVALUATION:
Eligible nonprofit organizations and small businesses that meet the general requirements must
complete an application to be considered for funding from the ARPA Community Grant Fund.
Complete applications must include answers to all questions and be accompanied by all
requested supporting documentation. Applications will be reviewed for completeness and
eligibility. Complete applications will be sent to the ARPA Community Grant Review Committee
(the Committee) for consideration. The Committee will consist of 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.
The Committee will rank eligible applications and send a list of recommended recipients and
grant amounts to the City Commission for final approval. The City Commission will review and
approve selected recipient applications at a Regular Meeting of the Commission. All decisions by
the Commission are final.
For awarded applications, city staff or city’s legal counsel will draft the ARP Beneficiary
Agreement between the City and Awardee. City staff will provide signed documents to Awardee.
Projected investment project must be complete by December, 31, 2026, if not sooner.
Therefore, once an applicant has determined that it meets the minimum criteria for
consideration of an ARPA Community Grant, then the applicant may begin the process of formally
applying. Submit all materials at once. The application is as follows:
1. Executive Summary
a. Provide executive summary outlining why you are requesting this grant, what
outcomes you hope to achieve, and how the funds will be spent if the award is
made.
2. Purpose of Grant
a. Statement of needs/problems to be addressed; description of target population
and how your entity will benefit. The statement of need should explain how the
grant funds will help overcome the “gap” between a current process and the
desired outcome to accomplish the strategic goal/objective of the project
proposal.
b. Description of project goals and outcomes, measurable objectives, action plans,
and statements as to whether this is a new or ongoing part of the sponsoring
organization.
7|Page
Packet Page 124
City of Muskegon
ARP Community Grant Program Guidelines
c. Timetable for implementation.
d. List of other partners in the project and their roles.
e. List of similar existing projects or agencies, if any, and explain how your agency or
proposal differs, and what effort will be made to work cooperatively.
f. Description of the active involvement of constituents in defining problems to be
addressed, making policy, and planning the program.
g. Description of the qualifications of key staff and volunteers, if any, that will ensure
the success of the program. List of specific staff training needs for this project.
h. Long-term strategies for funding this project at end of grant period.
i. Describe how this request is compliant with the ARP Final Rule.
3. Evaluation
a. Plans for evaluation including how success will be defined and measured.
b. Description of how evaluation results will be used and/or disseminated and, if
appropriate, how the project will be replicated.
c. Description of the active involvement of constituents in evaluating the program.
4. Budget Narrative/Justification
a. Grant budget; use the Grant Budget Format that follows, if appropriate.
b. A plan (on a separate sheet) that shows how each budget item relates to the
project and how the budgeted amount was calculated.
c. A list of amounts requested of other foundations, corporations and other funding
sources to which this proposal has been submitted.
d. List of priority items in the proposed budget, in the event we are unable to meet
your full request.
5. Organization & Small Business Information
a. Brief summary of organization’s history.
b. Brief statement of organization’s mission and goals.
c. For small businesses, include the applicable federal NAICS Industry Sector Code.
d. Description of current programs, activities and accomplishments.
e. Organizational chart, including board, staff and volunteer involvement, if
available.
6. ATTACHMENTS
a. A copy of the current IRS determination letter indicating 501(c)(3) tax-exempt
status.
b. A list of Board of Directors with affiliations, if available.
c. Letters of support should verify project need and collaboration with other
organizations. (optional, but encouraged)
d. Finances:
8|Page
Packet Page 125
City of Muskegon
ARP Community Grant Program Guidelines
i. A copy of the most recent IRS Form 1040, Profit or Loss Statement.
ii. Organization’s current annual operating budget, including expenses and
revenue.
iii. Most recent annual financial statement (independently audited, if
available; otherwise, attached IRS Form 990).
iv. Annual Report, if available.
v. Any other relevant supporting material.
9|Page
Packet Page 126
City of Muskegon
ARP Community Grant Program Guidelines
APPLICATION CRITERIA:
The city seeks proposals from 501(c)(3) nonprofit organizations and small businesses, located in
the city limits, which meet the objectives of the ARPA State and Local Fiscal Recovery Funds, and
are aligned with the City of Muskegon’s Long Term Goals and strategic priorities.
In early 2022, the City Commission established a multi-year vision (2022-2027) for the city with
selected Long Term Goals for greater focus in the coming five years. Proposed projects must be
consistent with the following goals:
2027 GOAL 1: DESTINATION COMMUNITY & QUALITY OF LIFE - Create an environment
that puts an emphasis on improving amenities and investing in the traits that positively
affect residents’ quality of life and attract visitors.
2027 GOAL 2: ECONOMIC DEVELOPMENT, HOUSING, AND BUSINESS - 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.
2027 GOAL 3: COMMUNITY CONNECTION - Create an environment of mutual respect and
trust between local government and the community we serve. Increase communication
with residents, workers, business owners, and visitors to inform, educate, and create
opportunities for input.
2027 GOAL 4: FINANCIAL INFRASTRUCTURE - Create an environment that naturally
affects the city’s revenues in a positive manner, with a focus on reclaiming city
investments in housing, nurturing startup projects proposed throughout the city, and
exploring staff recommendations related to new revenues.
The city will evaluate and select projects for funding through a multi-step process that will include
public input and transparency.
The following scoring criteria will be considered during the review of applications:
Evaluation Criteria 50 Points
Is the project eligible under the American Rescue Plan Act (ARP)? 0 or 5
Is the project description and budget clear and well-defined? 0 or 5
Does the project include a capital expenditure? 0-5
10 | P a g e
Packet Page 127
City of Muskegon
ARP Community Grant Program Guidelines
Does the project provide a description of structure and objectives of
the assistance program(s), including public health or negative
economic impacts experienced? OUTPUT measures 0-5
Does the project identify service outcomes for residents
disproportionately impacted by the COVID-19 pandemic (e.g.,
communities of color, people with disabilities, low-to-moderate
income residents or elders) OUTCOME measures 0-5
Brief description of recipient’s approach to ensuring that response is
reasonable and proportional to a public health or negative economic
impact of COVID-19? Use of evidence 0-5
What is the project’s sustainability (e.g., one-time v. recurring cost)? 0-5
Is the project capable of being completed within the ARPA timeline
requirements 0-5
Has applicant previously partnered with or assisted other nonprofit
organizations to provide needed services? 0-5
Is the project aligned with Commission’s 2022-2027 Long Term Goals? 0-5
PERIOD OF PERFORMANCE:
The ARPA Community Grant’s support may start no earlier than the award recommendation date
of April 26, 2023. The grant period will end December 31, 2026. Costs that are included as part
of the proposal must be for those incurred on or after March 3, 2021.
FUNDING AUTHORITY:
Coronavirus State and Local Fiscal Recovery Funds under the American Rescue Plan Act
Coronavirus State and Local Fiscal Recovery Funds: Overview of the Final Rule – U.S. Department
of Treasury
11 | P a g e
Packet Page 128
City of Muskegon
ARP Community Grant Program Guidelines
CONTACT:
If you are not finding answers to your questions, please email [email protected]
for assistance or contact the City of Muskegon, Development Services Division - 933 Terrace St,
Muskegon, MI 49440; 231-724-6702.
FREQUENTLY ASKED QUESTIONS
When will an application be available and when is it due?
Application period will begin March 1, 2023. Applications must be submitted on or before March
31, 2023 by Midnight. Late applications will not be accepted. The Review Committee will submit
recommendations to the Commission. The City Commission will review and make funding
decisions at the April 25th General Commission meeting. Final Commission-recommendations
announced to the public by April 26th.
For nonprofit applications, is a 501(c)(3) designation necessary to apply?
Yes. A 501(c)(3) IRS designation or tax-exempt status, for nonprofit organizations, is necessary to
apply as evidenced from a copy of a current IRS Determination Letter. The organization must also
be headquartered within the municipal boundaries of the City, as of March 3, 2021, and provide
direct services to residents. Award funds shall not be spent on operations and maintenance of
the nonprofit organization.
What type of projects would be permitted for eligible nonprofit organizations, under this
grant?
According to Treasury’s Final Rule, page 421 describes broad uses of ARP funds including: (C)
Assistance to nonprofit organizations including programs, services, or capital expenditures,
including loans or grants to mitigate financial hardship such as declines in revenues or increased
costs, or technical assistance.
Applicants are encouraged to develop proposals that would fund one-time capital initiatives or
special projects, which affect the most impacted and disproportionately impacted households
in our community, instead of new programs to avoid any associated long-term operating costs.
The capital initiatives or special projects are to be of short duration and have a stated
outcome(s). Grant funds also offer a chance to develop partnerships to address challenges
impacting the entire community.
12 | P a g e
Packet Page 129
City of Muskegon
ARP Community Grant Program Guidelines
Award funds shall not be spent on operations and maintenance of the nonprofit organization.
What type of small business is eligible to apply?
The small business must meet the U.S. Small Business Administration’s small business size
standards. This is a table of size standards to help small businesses assess their business size. This
definition of “size” aligns with the SBA definition of a small business. SBA’s Table of Size Standards
provides definitions for North American Industry Classification System (NAICS) codes, that vary
widely by industry, revenue and employment. It defines small business by firm revenue (ranging
from $1 million to over $40 million) and by employment (from 100 to over 1,500 employees). For
example, according to the SBA definition, a roofing contractor is defined as a small business if it
has annual revenues of $16.5 million or less. But an Asphalt Shingle and Coating Material
manufacturer is defined as a small business if it has fewer than 750 employees.
Those that must meet the U.S. Small Business Administration’s small business size standards. The
small business must be headquartered within the municipal boundaries of the City, as of March
3, 2021.
Applicants are encouraged to develop proposals that would fund one-time capital initiatives or
special projects, which affect the most impacted and disproportionately impacted households in
our community, instead of new programs to avoid any associated long-term operating costs. The
capital initiatives or special projects are to be of limited duration and have a stated outcome(s).
Grant funds also offer a chance to develop partnerships to address challenges impacting the
entire community.
Award funds shall not be spent on operations and maintenance of the small business.
What type of projects would be permitted for eligible small businesses, under this grant?
According to Treasury’s Final Rule, page 420 describes broad uses of ARPA funds including: 1)
Programs, services, or capital expenditures that respond to the negative economic impacts of the
COVID-19 public health emergency, including loans or grants to mitigate financial hardship such
as declines in revenues or impacts of periods of business closure, or providing technical assistance;
and (2) A program, service, capital expenditure, or other assistance that responds to
disproportionately impacted small businesses, including rehabilitation of commercial properties;
storefront and façade improvements; technical assistance, business incubators, and grants for
start-ups or expansion costs for small businesses; and programs or services to support micro-
businesses.
13 | P a g e
Packet Page 130
City of Muskegon
ARP Community Grant Program Guidelines
What are the ineligible uses of ARPA Community Grant funding prohibited under federal law?
Deposits into pension funds; Payment of legal settlements or judgements; Matching funds for
other Federal Grants; Payment of Debt; and Deposits into Financial reserves, stabilization or
rainy-day funds.
Are faith-based organizations allowed to apply?
Yes, faith-based organizations are eligible to apply, with proof of tax-exempt status.
How will applications be submitted? What if I cannot use the on-line system?
Applications will be available and may be submitted through the City of Muskegon’s website.
This is the only way to submit applications. If you need a special accommodation, please email
[email protected] for assistance or contact the City at 231-724-6702.
Once the application is submitted online, will we receive a confirmation from the city?
Yes, once your application is submitted, there will be an email confirmation sent to the assigned
staff person. If you do not receive a confirmation, ensure all required fields have been completed,
save again, and the Submit button should pop up. Click on the Submit button and then check
your email for a confirmation. Be sure to check trash, spam, other, or junk folders.
For the budget, how do I submit the Excel document?
Use the link provided in the Application, first save or download a copy of the budget template in
Excel, then complete the budget form, and upload to the Application. The budget template is
also available on the City website for download.
Is there a weight given to certain city neighborhoods as it relates to the location of the program
proposals?
No, there will not be weight given to the neighborhood in which project is proposed to be located.
However, the Committee and City Commission will select project proposals which will be
reflective of and beneficial to all city neighborhoods.
If submitted early, would applicants have an opportunity to garner feedback on the
application?
No, applicants will not receive feedback on applications submitted.
14 | P a g e
Packet Page 131
City of Muskegon
ARP Community Grant Program Guidelines
What is a typical grant award amount, i.e., what is an appropriate funding request?
There is no typical grant award amount since each application is unique. Therefore, each
applicant must demonstrate their funding needs based upon the program goals, objectives and
outcomes as outlined in the application.
Who is involved in the City’s ARPA Community Grant Review Committee?
Complete applications will be sent to the ARPA Community Grant Review Committee for
consideration. The Committee will consist of 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. The
Committee will rank eligible applications and send a list of recommended recipients and grant
amounts to the City Commission for final approval. The City Commission will review and make
funding decisions at the April 25th General Commission meeting. Final Commission-
recommendations announced by April 26th. All decisions by the Commission are final.
If funded, how will the project funds be awarded to the applicant?
A disbursement of 50% of the funds will be made following authorization by the City Commission
and execution of the Beneficiary Agreement. Additional funds shall only be disbursed after
verification that the previous payment had been expended, in full, in accordance with the
Agreement. The final 10% of the award will be withheld until the project is completed no later
than December 31, 2026.
If an application is denied, will we receive an explanation?
Although applicants will not receive an explanation of denial, they will be issued a notice letter
of non-award. Usually, denial is related to having limited funding available, so awards must be
prioritized to the most urgent community needs.
15 | P a g e
Packet Page 132
City of Muskegon ARP Community Grant
Cover Sheet
Legal Name of Organization/Business
Year Founded Current Operating Budget
Executive Director/Owner
Address
Email Phone Number
Contact Person if Different from Executive Director/Owner
List any previous support from the City of Muskegon in the last 5 years
Project Name
Purpose of Grant
Dates of Project
through
Amount Requested Total Project Cost
Geographic Area Served
By signing below, all parties certify the information contained in this application is true and accurate.
You authorize the City of Muskegon to request additional information as needed. You agree to the
stipulations included in the American Rescue Plan Act Community Grant packet.
Signature, Chairperson, Board of Directors Date
Signature, Executive Director Date
For Office Use Only
Received By: Received Date:
Approved or Denied: Date:
Packet Page 133
City of Muskegon ARPA Community Grant Application
*Eligible applicants should first consult pages 13-14 of the Grant Guidelines for eligibility*
Executive Summary
Provide executive summary outlining why you are requesting this grant, what outcomes
you hope to achieve, and how the funds will be spent if the award is made.
Click or tap here to enter text.
Purpose of Grant
Statement of needs/problems to be addressed; description of target population and how
your entity will benefit. The statement of need should explain how the grant funds will
help overcome the “gap” between a current process and the desired outcome to
accomplish the strategic goal/objective of the project proposal.
Description of project goals and outcomes, measurable objectives, action plans, and
statements as to whether this is a new or ongoing part of the sponsoring organization.
List of other partners in the project and their roles.
List of similar existing projects or agencies, if any, and explain how your agency or
proposal differs, and what effort will be made to work cooperatively.
Description of the active involvement of constituents in defining problems to be
addressed, making policy, and planning the program.
Description of the qualifications of key staff and volunteers, if any, that will ensure the
success of the program. List of specific staff training needs for this project.
Long-term strategies for funding this project at end of grant period.
Describe how this request is compliant with the ARP Final Rule.
Click or tap here to enter text.
Timeline for Implementation
Provide an anticipated timeline for the program, including dates for major milestones
such as: start-up, construction, reporting, outreach, etc. Design the timeline to suit your
program using the grid below:
Date(s) Milestone/Accomplishment
Click or tap to enter a date. Click or tap here to enter text.
Click or tap to enter a date. Click or tap here to enter text.
Click or tap to enter a date. Click or tap here to enter text.
Click or tap to enter a date. Click or tap here to enter text.
Click or tap to enter a date. Click or tap here to enter text.
Click or tap to enter a date. Click or tap here to enter text.
Click or tap to enter a date. Click or tap here to enter text.
Packet Page 134
Evaluation
Plans for evaluation including how success will be defined and measured.
Description of how evaluation results will be used and/or disseminated and, if
appropriate, how the project will be replicated.
Description of the active involvement of constituents in evaluating the program.
Click or tap here to enter text.
Budget Narrative/Justification
Grant budget; use the Grant Budget Format that follows, if appropriate.
A plan (on a separate sheet) that shows how each budget item relates to the project and
how the budgeted amount was calculated.
A list of amounts requested of other foundations, corporations and other funding sources
to which this proposal has been submitted.
List of priority items in the proposed budget, in the event we are unable to meet your full
request.
Click or tap here to enter text.
Organization & Small Business Information
Brief summary of organization’s history.
Brief statement of organization’s mission and goals.
For small businesses, include the applicable federal NAICS Industry Sector Code.
Description of current programs, activities and accomplishments.
Organizational chart, including board, staff and volunteer involvement, if available.
Click or tap here to enter text.
Attachments
A copy of the current IRS determination letter indicating 501(c)(3) tax-exempt status.
A list of Board of Directors with affiliations, if available.
Letters of support should verify project need and collaboration with other organizations.
(optional, but encouraged)
Finances:
o A copy of the most recent IRS Form 1040, Profit or Loss Statement.
o Organization’s current annual operating budget, including expenses and revenue.
Packet Page 135
o Most recent annual financial statement (independently audited, if available;
otherwise, attached IRS Form 990).
o Annual Report, if available
o Any other relevant supporting material.
Packet Page 136
City of Muskegon ARPA Community Grant Budget
Please enter the major cost elements of the project, selecting from the drop down list options. If you select an activity with a ":" please add a few additional words of description in the
"Other/Additional Notes" column. You will be asked to report based on these budget categories. It is recommended that the budget have between 2-5 line items. Please provide
enough detail to accurately describe how the grant will be spent. For each category, be sure to describe the breakdown in the budget narrative.
1. Grantee: 2. Project Title:
3. Project Cost Elements 4. Funding Sources
Activities Other/Additional Notes ARP Community Grant Local Funding Other Funding Total
$ -
$ -
$ -
$ -
$ -
Total $ - $ - $ - $ -
Packet Page 137
Salaries
Fringe Benefits
Consultant and Professional Fees
Insurance
Travel
Equipment
Supplies
Printing and Copying
Telephone and Fax
Postage and Delivery
Construction
Rent
Utilities
Maintenance
Evaluation
Marketing
Other
Packet Page 138
AMERICAN RESCUE PLAN ACT (ARP) BENEFICIARY AGREEMENT
BETWEEN THE CITY OF MUSKEGON
AND
____
THIS AGREEMENT, entered into this day of _______, 20___, by and between the
City of Muskegon, Michigan, a municipal corporation, ("City"), and ___________________,
(“Beneficiary”)
WITNESSETH;
WHEREAS, the City is the recipient of funds from the Coronavirus State and Local
Fiscal Recovery Funds (SLFRF) program as established pursuant to the American Recovery Plan
Amendments of 2021 (“ARPA”); and
WHEREAS, under the provisions of the ARPA, the City is required to report to the U.S.
Department of Treasury the use of ARPA funds both by the City and by any beneficiary, as
specified by the ARPA Program.
NOW, THEREFORE, the parties mutually agree as follows:
SECTION 1: REFERENCES
A. "Application" refers to the Beneficiary's application to the City for funding under the
SLFRF Program; contained in Attachment A.
B. “Beneficiary” refers to an individual or organization, e.g., business, non-profit, or
educational institution that is a beneficiary of an assistance program established by the
City using payments from the Coronavirus State and Local Fiscal Recovery Funds
(SLFRF) program as established pursuant to the American Recovery Plan Amendments
of 2021 (“ARPA”).
C. "CFR" refers to the Code of Federal Regulations.
D. "City" refers to the City of Muskegon.
E. "Recipient” refers to the City of Muskegon.
1
Packet Page 139
F. "Resolution" refers to the resolution dated ___________, by the City Commission of the
City of Muskegon authorizing execution of this Agreement and/or payment of SLFRF
funds to the Beneficiary.
G. "Treasury" refers to the United States Department of Treasury.
SECTION 2: CONTRACT DOCUMENTS
The contract documents consist of this Agreement, an Application for SLFRF funding
contained in Attachment A, Certification of Legal Authority contained in Attachment B, and
Certification to Comply with All Applicable Federal Regulations contained in Attachment C.
The information contained in Attachments A, B, and C as stated and incorporated by
reference shall be considered fully a part of this Agreement and shall be fully binding upon the
City and the Beneficiary for purposes of this Agreement.
SECTION 3: AMOUNT AND SOURCES OF FUNDS
A grant of $_________(Dollars), from the City’s SLFRF funds is awarded to the
Beneficiary for ________________, subject to the terms and conditions of this Agreement, as
more fully described in Attachment A.
In the event that Treasury determines that the City or Beneficiary have not fulfilled their
obligation under the SLFRF requirements or the City determines that the Beneficiary has not
fulfilled its obligation under the SLFRF requirements and/or Treasury or the City demands
reimbursement of expenses paid under this Agreement, the Beneficiary shall provide said
reimbursement from non-federal sources within ten days of said notice. The Beneficiary further
acknowledges that this Agreement is necessary to comply with the requirements of SLFRF
Program, which is the source of funds provided under this Agreement; and agrees that it will
comply with, and will require all subcontractors, subgrantees and assigns to comply with all
terms and conditions of SLFRF and this Agreement, as they may be amended from time to time.
It shall be the Beneficiary 's responsibility to insure that it has the latest version of all applicable
laws and regulations in its possession so as to be able to comply with their provisions.
SECTION 4: SCOPE OF SERVICES
Beneficiary will provide those activities described in Attachment A. The Beneficiary further
agrees to the audit requirements in Section 5 of this Agreement.
2
Packet Page 140
SECTION 5: ADMINISTRATIVE REQUIREMENTS
A. EXPENDITURE OF FUNDS
The Beneficiary will expend funds in strict accordance with the purposes described in the
application contained in Attachment A, and in strict accordance with the provisions of the
SLFRF Program, as amended. The Beneficiary agrees to utilize the federal funds
available under this Agreement to supplement rather than supplant funds otherwise
available.
B. COMPLIANCE WITH ALL APPLICABLE FEDERAL REGULATIONS
The Beneficiary agrees to comply with all provisions of the SLFRF Program, as
amended, and all federal regulations and policies issued pursuant to these regulations.
All applicable regulations whether stated herein or incorporated by reference, are hereby
made wholly a part of this Agreement and shall be binding on the Beneficiary.
C. FINANCIAL MANAGEMENT
1. The Beneficiary agrees to comply with SLFRF requirements and agrees to adhere
to the accounting principles and procedures required therein. The Beneficiary
further agrees to utilize adequate internal controls and maintain necessary source
documentation for all costs incurred.
2. The Beneficiary shall administer its program in conformance with SLFRF
requirements for all costs incurred whether charged on a direct or indirect basis.
D. PROCUREMENT PROCEDURE
1. In the procurement of materials, supplies and services necessary to perform the
scope of services under this Agreement, the Beneficiary shall, insofar as practical,
seek price quotations from at least three providers. Award shall be made to the
provider offering the lowest acceptable quotation. The Beneficiary shall duly
record the date and amount of such quotations and retain these records in its files.
2. The Beneficiary shall maintain an inventory of all non-expendable personal
property as defined in Section 5F of this Agreement.
E. PROGRAM PROPERTY
1. Title to all equipment acquired with funds made available through this Agreement
shall remain vested in the Beneficiary.
3
Packet Page 141
2. The Beneficiary shall maintain real property inventory records which clearly
identify properties purchased, improved, or sold using funds received under this
Agreement, if applicable.
F. DOCUMENTATION AND RECORDKEEPING
1. The Beneficiary will collect and have on file records which demonstrate that the
Beneficiary has complied with all regulations, laws, and requirements governing
the use of SLFRF funds. The Beneficiary shall maintain all records required by
the SLFRF Program and that are pertinent to the activities to be funded under this
Agreement. Such records shall include but not be limited to:
a. Records providing a full description of each activity undertaken with
SLFRF funds;
b. Records demonstrating that each activity undertaken meets one of the
Objectives of the SLFRF Program;
c. Records required to determine the eligibility of activities;
d. Records required to document the acquisition, improvement, use, or
disposition of real property acquired or improved with SLFRF assistance
(if applicable);
e. Records that demonstrate that each project meets the property standards;
f. Records that demonstrate compliance with the requirements of the SLFRF
Program;
g. Financial records as required by SLFRF Program; and
h. Other records necessary to document compliance with the SLFRF Program.
2. The Beneficiary shall maintain records that adequately identify the source and
application of SLFRF funds received under this Agreement. These records shall
contain information pertaining to fund obligations, unobligated balances, assets,
liabilities, outlays, and income, if any.
3. The Beneficiary will comply with any additional documentation requirements or
subsequent agreements between the City and the U.S. Department of Treasury for
the conduct of activities under the SLFRF Investment Partnership Program.
4
Packet Page 142
G. ACCESS TO RECORDS
1. The Beneficiary will make available files and records of activities related to this
Agreement to representatives of the City and its designees, the City's Independent
Auditor, and officials of the U. S. Department of Treasury.
2. The City, the Federal grantor agency, or any of their duly authorized
representatives, shall have access to any books, documents, papers, and records of
the Beneficiary which are directly pertinent to this specific Agreement, for the
purpose of making audit, examination, excerpts and transcriptions.
H. RECORDS RETENTION
1. The Beneficiary shall retain all records pertaining to this Agreement, including
but not limited to financial, statistical, property and programmatic records, for a
period of five (5) years after the Agreement expires or is terminated. All records,
however, that are subject to audit findings shall be retained for three (3) years in
the manner prescribed above or until an ongoing audit is completed and all issues
raised by the audit are resolved, whichever is later. Records for non-expendable
property acquired with funds under this contract shall be retained for three (3)
years after final disposition of such property.
2. Nothing herein shall be construed to allow destruction of records that may be
required to be retained longer by federal, state or local law. These records must
also be made available to Treasury and/or representatives of the Comptroller
General of the United States for audit, inspection or copying purposes during
normal business hours as defined in Section 5I of this agreement.
I. AUDIT REQUIREMENTS
1. The Beneficiary shall, at its own expense, obtain and submit to the City within
three (3) months of the end of the Beneficiary 's fiscal year an annual audit to
assure proper accounting for the expenditure of SLFRF funds provided by the
City.
2. Failure of the Beneficiary to comply with the above audit requirements will
constitute a violation of this contract and may result in the City banning the
Beneficiary from future participation in SLFRF programs.
J. NONPROFIT 501(c)(3) STATUS
1. The Beneficiary shall be a bona fide private nonprofit corporation, registered with
the State of Michigan Secretary of State, which meets the qualifications
5
Packet Page 143
established in Section 501(c) of the Internal Revenue Code of 1988 and is exempt
from taxation under Subtitle A of the Internal Revenue Code.
K. IDENTIFICATION OF BOARD OF DIRECTORS
1. The Beneficiary shall file with the City Clerk of the City of Muskegon, a current
listing of its officers and directors (trustees), including the addresses of such
persons.
SECTION 6: DISBURSEMENT OF FUNDS
A. All SLFRF funds will be made in a single payment to Beneficiary.
B. When the administrative requirements of this Agreement are met by the Beneficiary,
payments will be made.
C. The Beneficiary shall at all times maintain close communication with the City with
respect to Beneficiary’s disbursements to insure all disbursements are eligible
expenditures under the terms and conditions of this Agreement.
SECTION 7: PERMITS, LICENSES, CODES AND INSPECTIONS
A. The Beneficiary shall comply with all applicable laws, ordinances, and codes of the local,
state, and federal government. This shall include giving appropriate notice as required by
the City and obtaining, at the Beneficiary's own expense, all permits required for the
performance of the services covered by this Agreement.
B. Any and all property improvements performed under this Agreement must be inspected
by City staff.
SECTION 8: SUBCONTRACTS
A. The Beneficiary shall insure that all subcontracts let in the performance of this
Agreement shall be awarded on a fair and open competition basis. Executed copies of all
subcontracts shall be forwarded to the City along with documentation of the selection
process upon request.
B. The Beneficiary shall include all of the provisions of this Agreement to be included in,
and made a part of, any subcontract executed in the performance of this Agreement.
C. The Beneficiary shall be as fully responsible to the City for the acts and omissions of its
subcontractors, and of persons either directly or indirectly employed by the
6
Packet Page 144
subcontractors, as the Beneficiary is for the acts and omissions of persons directly
employed by the Beneficiary.
D. Nothing contained in this Agreement shall create any contractual relationship between
the City and any subcontractor.
E. The Beneficiary will monitor all subcontracted services on a regular basis to assure
contract compliance. The Beneficiary shall communicate any deficiencies in
subcontractor activities in writing to the subcontractor and the City. Corrective action for
any noted areas of subcontractor deficiency shall occur within thirty (30) days of the
written notice unless a waiver is approved in writing by the City. Actions taken to
correct subcontractor deficiencies must be documented in program files.
SECTION 9: CITIZEN PARTICIPATION REQUIREMENTS
The Beneficiary shall encourage citizens to submit views and proposals regarding the planning,
implementation, and evaluation of the Beneficiary's program.
SECTION 10: CIVIL RIGHTS PROVISIONS
A. Nondiscrimination in the Provision of Services
The Beneficiary agrees that no person shall, on the grounds of race, religion, color,
national origin, sex, age, handicapped condition, ancestry, family status or veterans status
be excluded from participation in, be denied the benefit of, or be subjected to,
discrimination in its program or any aspects of this Agreement. The Beneficiary shall
comply with all existing Federal, State, and local laws, rules and regulations regarding
equal opportunity and nondiscrimination, affirmative action procedures, fair housing, and
laws, rules and regulations regarding the prescribed use of SLFRF funds. These laws,
rules, and regulations include, but are not limited to:
1. Title VI of the Civil Rights Act of 1964, as amended,
2. Title VIII of the Civil Rights Act of 1968, as amended,
3. Section 109 of Title I of the Housing and Community Development Act of 1974,
4. Section 504 of the Rehabilitation Act of 1973,
5. The Americans with Disabilities Act of 1990, and
6. The Age Discrimination Act of 1975.
7
Packet Page 145
B. Nondiscrimination in Employment
The Beneficiary agrees to not discriminate against any employee or applicant for
employment because of race, religion, color, sex, age, handicapped condition, national
origin, ancestry, veteran’s status, or family status. The Beneficiary will take affirmative
action to ensure that applicants are employed, and that employees are treated during
employment, without regard to their race, religion, color, sex, age, handicapped
condition, national origin, ancestry, veteran’s status, or family status. Such action shall
include, but not be limited to, the following: Employment, upgrading, demotion, or
transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or
other forms of compensation; and selection for training, including apprenticeship.
C. Documentation
The Beneficiary shall maintain sufficient program and fiscal records to document that,
under all aspects of this Agreement, the Beneficiary has acted in a manner which is in full
compliance with the provisions of this Section where such provisions are applicable to
this project. Such records shall at all times remain open to inspection by the City,
Treasury, or the U.S. Secretary of Labor for purposes of investigation to ascertain
compliance with the provisions of this Section.
SECTION 11: AFFIRMATIVE ACTION AND EQUAL EMPLOYMENT PROVISIONS
A. Affirmative Action Plan
The Beneficiary shall, prior to receiving funds under this Agreement, have either an
Affirmative Action Program that is currently certified by the City of Muskegon, or have
executed a Letter of Agreement obligating said Beneficiary to complete a certified
Affirmative Action Plan within the time specified by such Letter of Agreement.
B. Contracting with Small and Minority Firms, Women's Business Enterprises and Labor
Surplus Firms
1. It is national policy to award a fair share of contracts to small and minority
business firms. Accordingly, affirmative steps must be taken by the Beneficiary
to assure that small and minority businesses are utilized when possible as sources
of supplies, equipment, construction and services. Affirmative steps shall include,
but not be limited to, the following:
a. Including qualified small and minority businesses on solicitation lists.
b. Assuring that small and minority businesses are solicited whenever they
are potential sources.
8
Packet Page 146
c. When economically feasible, dividing total requirements into smaller tasks
or quantities so as to permit maximum small and minority business
participation.
d. Where the requirement permits, establishing delivery schedules which will
encourage participation by small and minority businesses.
e. If any subcontracts are to be let, requiring the prime contractor to take the
affirmative steps in 1a through 1d above.
2. The Beneficiary shall take similar, appropriate affirmative action in support of
women's business enterprises.
3. Beneficiary is encouraged to procure goods and services from labor surplus areas.
C. EEO/AA Statement
The Beneficiary will, in all solicitations or advertisements for employees placed by or on
behalf of the Beneficiary, state that it is an Equal Opportunity or Affirmative Action
employer.
D. Notification
1. The Beneficiary agrees to post in conspicuous places, available to employees, and
applicants for employment or training, notices to be provided by the City setting
forth the provisions of this Section.
2. The Beneficiary will send to each labor union or representation of workers with
which it has a collective bargaining agreement or other contract or understanding,
a notice to be provided by the City advising the said labor union or workers'
representatives of the Beneficiary’s commitment under this Section and shall post
copies of the notice in conspicuous places available to employees and applicants
for employment.
F. Subcontract Provisions
The Beneficiary will include the Civil Rights Provisions and Affirmative Action and
Equal Opportunity Provisions in every subcontract or purchase order under this
Agreement, either specifically or by reference so that such provisions will be binding
upon each subcontractor or vendor.
SECTION 12: SOLE SOURCE OF FUNDS
The sole source of funding from the City for payment of services performed under this
Agreement is the SLFRF provided to the City by Treasury. The Beneficiary agrees that in the
9
Packet Page 147
event that the SLFRF is reduced or withheld by Treasury, the City shall not be liable for payment
from any City fund other than the SLFRF Program, in which case the Beneficiary further agrees
that the maximum sum payable under this Agreement may be reduced by the City.
The Beneficiary expressly understands and agrees that all rights, demands and claims to
compensation arising under this Agreement shall be conditioned and contingent upon receipt of
such funds by the City of Muskegon. In the event that such funds are not received by the City
for any reason, the Beneficiary expressly agrees and covenants to hold and save harmless the
City or its agents or employees from any costs, expenses, liabilities, or obligations arising from
the claims of any person or persons for any cost they have incurred or claim to have incurred by
reason of subcontract or sub-agreement with the Beneficiary.
SECTION 13: CITY OBLIGATIONS AND LIMITATIONS
It is expressly understood by the Beneficiary that the City's total commitment to activities
covered in this Agreement is not to exceed (dollars) ($_______), and that the City has no
obligation to complete the activities proposed in Attachment A or to provide any additional
funding or services from any source for said activities.
SECTION 14: INDEMNITY AND HOLD HARMLESS PROVISIONS
A. The City and Beneficiary acknowledge that the Beneficiary is an independent contractor
in all of the Beneficiary's activities and that in the course of such activities, at no time do
the Beneficiary, its officers, directors (trustees), members, employees, volunteers, or
other persons acting on behalf of Beneficiary become the agents of the City for any
purpose, and at no time shall the City become liable in any manner whatever for any of
the actions or activities of the Beneficiary, its officers, directors (trustees), members,
employees, volunteers, or other persons acting on behalf of the Beneficiary.
In the event any person shall undertake to hold the City liable for any conduct or
activities of the Beneficiary, its officers, directors (trustees), members, employees,
volunteers, or other person acting on behalf of the Beneficiary, the Beneficiary expressly
agrees to hold the City harmless of and from any such liability.
B. Nothing contained in this Agreement is intended to, or shall be construed in any manner,
as creating or establishing the relationship of employer/employee between the City and
the Beneficiary. The City shall be exempt from payment of all employee benefits
including Unemployment Compensation, FICA, retirement, life and/or medical insurance
and Worker's Compensation Insurance on behalf of the Beneficiary. If any portion of the
Beneficiary's SLFRF allocation under this Agreement is used to pay employee benefit
costs, the Beneficiary is still wholly responsible for payment of these costs and settlement
of any claims resulting from its actions.
10
Packet Page 148
SECTION 15: CONTRACT DURATION AND TERMINATION PROVISION
A. This Agreement shall become effective _________, 2023.
B. The Scope of Services, as stated in Section 4 of this Agreement must be completed within
twelve (12) consecutive months of the effective date of this Agreement unless an
extension is approved in writing by the City. The Beneficiary may request an extension
of the grant period in writing from the City Manager.
C. This Agreement may be terminated by the City for failure to comply with the terms of the
Agreement upon fifteen (15) days written notice to the Beneficiary.
D. The Beneficiary’s obligation to the City shall not end until all close-out requirements are
completed. Close-out activities shall include, but not be limited to, making final
payments, and determining the custodianship of records.
G. If a contract is terminated, canceled or suspended according to the provisions of this
Section, the Beneficiary shall have no claims for damages against the City on account of
cancellation or suspension or declaration of ineligibility.
SECTION 16: REVERSION OF ASSETS
The Beneficiary shall also ensure that in the event that any real or personal property
purchased under this Agreement is sold within one year after execution of this
Agreement, any income from the sale shall be returned to the City within ten (10) days of
sale. In the event that the balance of funds held in the Beneficiary's SLFRF Account is
not sufficient to repay SLFRF funds received by Beneficiary, the Beneficiary must
provide a written explanation to the City at least twenty (20) working days prior to
closing of a transaction.
SECTION 17: MODIFICATION AND RENEGOTIATION
A. This Agreement will be subject to modification and/or renegotiation to conform with any
changes caused by amendments or revisions in Federal laws and regulations. This
Agreement may also be modified to reflect changes in funding amounts or other grant
conditions related to the use of SLFRF funds.
B. The City or the Beneficiary may amend this Agreement at any time provided that such
amendments make specific reference to this Agreement, and are executed in writing,
signed by a duly authorized representative of both organizations, and approved by the
City Commission of the City of Muskegon and the Beneficiary's Board of Directors.
Such amendments shall not invalidate this Agreement, nor relieve or release the City or
the Beneficiary from its obligations under this Agreement.
SECTION 18: CONFLICT OF INTEREST
11
Packet Page 149
A. Compliance
The Beneficiary agrees to abide by federal, state and local provisions with respect to
conflicts of interest, and covenants that it presently has no financial interest and shall not
acquire any financial interest, direct or indirect, which would conflict in any manner or
degree with the performance of services required under this Agreement. The Beneficiary
further covenants that in the performance of this Agreement no person having such a
financial interest shall be employed or retained by the Beneficiary hereunder.
No person(s) who exercise or have exercised any functions or responsibilities with
respect to activities assisted with SLFRF funds or who are in a position to participate in a
decision-making process or gain inside information with regard to these activities, may
obtain a financial interest or benefit, or have an interest in any contract, subcontract, or
agreement with respect thereto, or the proceeds thereunder, either for themselves or those
with whom they have family or business ties, during their tenure or for one year
thereafter.
B. Persons Covered by this Policy
Persons covered by these conflict of interest provisions include:
1. All employees of the Beneficiary and their families, including spouses, minor
children and other relatives who are residents of their household.
2. All members of the Beneficiary's Board of Directors, and their families, including
spouses, minor children and other relatives who are residents of their households.
3. All agents, officers, consultants, elected or appointed officials, or any persons
who exercise any functions or responsibilities with respect to the activities
assisted under this Agreement or who are in a position to participate in a decision-
making process affecting the activities covered under this Agreement.
C. Conflicts Prohibited
1. Except for approved eligible administrative or personnel costs, no persons
covered under this Section may gain a financial interest or benefit from the
activities covered under this Agreement, or have an interest in or share in the
proceeds of any subcontract thereunder.
2. No person covered by this Section shall participate in selection of a vendor,
contractor, or firm to be compensated under this Agreement if he/she, members of
his/her immediate family, his/her partners or business affiliates, or an organization
which employs or is about to employ any of the above have a financial or other
interest in the selected firm, vendor, or contractor.
12
Packet Page 150
3. Persons covered by this Section shall neither solicit nor accept gratuities, favors
or anything of monetary value from actual or potential contractors, firms, or
vendors. The only exceptions shall be:
a. Acceptance of food or refreshment of nominal value on infrequent
occasions in the ordinary course of a luncheon or dinner meeting or other
meeting, or in the normal course of such covered person's assigned duties
when such covered person is properly in attendance;
b. Acceptance of a loan from a bank or other financial institution on
customary terms to finance usual activities of such covered person;
c. Acceptance of unsolicited advertising or promotional materials, such as
pens, pencils, calendars, or other items of nominal value.
D. Exceptions
1. In some cases, an exception to the prohibition described in paragraph C, above,
may serve to further the purposes of the SLFRF Program and the effective and
efficient administration of this Agreement. A waiver of the Conflict of Interest
provisions may be granted only by the City. The Beneficiary shall submit a
written request for such a waiver to the City's City Manager.
2. Requests for waivers shall include the following information:
a. A disclosure of the nature of the conflict, accompanied by an assurance
that there has been public disclosure of the conflict and a description of
how the public disclosure was made:
b. A description of factors that warrant an exception from the Conflict of
Interest Policy. Such factors should include:
(1) Whether the affected person has withdrawn from his or her
functions or responsibilities, or the decision-making process with
respect to the specific assisted activity in question;
(3) Whether the interest or benefit was present before the affected
person was in a position to participate in the decision-making
process or gain inside information with regard to activities, or to
obtain a personal or financial interest or benefit from the activity,
or to exercise any function or responsibility in regard to the
activity in question;
13
Packet Page 151
(4) Whether undue hardship will result either to the recipient or the person
affected when weighed against the public interest served by avoiding the
prohibited conflict; and
(5) Whether the exception would provide a significant cost benefit or an
essential degree of expertise to the program or project which would
otherwise not be available; and
(6) Any other relevant considerations.
SECTION 19: COPYRIGHTS AND PATENTS
If this Agreement results in a book or other copyrightable materials or patentable materials, the
Beneficiary may copyright or patent such, but the City and the United States Government reserve a
royalty-free, nonexclusive, and irrevocable license to reproduce, publish or otherwise use such materials
and to authorize others to do so.
SECTION 20: NOTIFICATION
All notices, requests, demands or other communications hereunder shall be in writing and shall be
deemed to have been served as of the postmark appearing upon the envelope if sent by the United States
mail, at the address listed below, or upon the actual date of delivery if hand delivered to the address listed
below. Either party may change the below listed address at which one receives written notices by so
notifying the other party hereto in writing.
ADDRESS OF CITY ADDRESS OF BENEFECIARY
City Manager
City of Muskegon
P.O. Box 536 (if mailed)
Muskegon, MI 49443
SECTION 21: OTHER FEDERAL, STATE, AND LOCALLY MANDATED PROVISIONS
A. INTEREST OF CERTAIN FEDERAL AND OTHER OFFICIALS
1. No elected federal, state or local official shall be admitted to any share or part of this
Agreement or to any benefit to arise from the same greater than all other private citizens.
2. No officer, employee, or member of the governing body of the City who exercises
any function or responsibilities in connection with the carrying out of the project
to which this contract pertains shall have any private interest, direct or indirect, in
this contract.
14
Packet Page 152
B. DRUG-FREE WORK PLACE PROVISION
The Beneficiary certifies to provide for a drug-free work place in conformance with the
Drug-Free Workplace Act of 1988. This includes the administration of a policy designed to
ensure that all program work areas are free from the illegal use, possession or distribution of
drugs or alcohol by its employees, volunteers, or program beneficiaries.
C. ANTI-LOBBYING PROVISION
The Beneficiary certifies that, to the best of its knowledge and belief,
1. No Federal appropriated funds shall be used by the Beneficiary for publicity or
propaganda purposes designed to support or defeat legislation pending before a
Federal, State, or local government.
2. No Federal appropriated funds have been paid or will be paid, by or on behalf of
the City, to any person for influencing or attempting to influence an officer or
employee of any agency, a Member of Congress, an officer or employee of
Congress, or an employee of a Member of Congress in connection with the
awarding of any Federal contract, the making of any Federal grant, the making of
any Federal loan, the entering into of any cooperative agreement, and the
extension, continuation, renewal amendment, or modification of any Federal
contract, grant, loan, or cooperative agreement.
3. If any funds other than Federal appropriated funds will be paid to any person for
influencing or attempting to influence an officer or employee of any agency, a
Member of Congress, an officer or employee of Congress, or an employee of a
Member of Congress in connection with this Federal contract, grant, loan, or
cooperative agreement, the Beneficiary must notify the City.
4. The Beneficiary shall require that the language of this certification be included in
the award of documents of all subawards at all tiers (including subcontracts,
subgrants, and contracts under grants, loans, and cooperative agreements) and that
all subcontractors shall certify and disclose accordingly.
D. POLITICAL ACTIVITY PROVISION (HATCH ACT)
The Beneficiary agrees that no funds provided, nor personnel employed under this
contract, shall be in any way or to any extent engaged in the conduct of political activities
in violation of Chapter 15 of Title V United States Code. None of the funds, materials,
property or services provided directly or indirectly under this Agreement shall be used for
any partisan political activity, lobbying, or to further the election or defeat of any
candidate for public office.
15
Packet Page 153
E. PROHIBITION AGAINST SECTARIAN OR RELIGIOUS ACTIVITY
The Beneficiary agrees that funds provided under this Agreement will not be used for
sectarian or religious activities, to promote sectarian or religious interests, or for the
benefit of a sectarian or religious organization.
SECTION 22: PARTIAL INVALIDITY
Should any section or any part of any section of this Agreement be rendered void, invalid
or unenforceable by any court of law, for any reason, such a determination shall not render void,
invalid, or enforceable any other section or any part of any section in this Agreement.
SECTION 23: NO THIRD-PARTY RIGHTS
Nothing in this agreement shall be construed to constitute or create rights in any person,
firm or other entity against the parties hereto (as third-party beneficiaries or otherwise) or to
create obligations or responsibilities of the City or the Beneficiary to such third parties, or to
permit anyone other than the City and the Beneficiary to rely upon the agreements herein
contained. The Beneficiary shall not assign or transfer any interest in this Agreement without the
prior written consent of the City of Muskegon.
SECTION 24: ALL TERMS AND CONDITIONS ARE INCLUDED IN CONTRACT
This Agreement contains all the terms and conditions agreed upon by the parties. All
items incorporated by reference, including Attachments A, B, and C and referenced federal
regulations, are made wholly a part of this Agreement as if incorporated herein. No other
understandings, oral or otherwise, regarding the subject matter of this Agreement shall be
deemed to exist or to bind any of the parties hereto.
IN WITNESS WHEREOF, the parties hereto and hereinafter set their hands and seals on
the day and year hereinabove written.
CITY OF MUSKEGON, MICHIGAN
BY: BY:
___________________________________
Ken Johnson, Mayor Name
President
ATTEST: WITNESS:
____________________________________
Ann Marie Meisch, City Clerk Name
Secretary
16
Packet Page 154
ATTACHMENT A
PROPOSAL FOR SLFRF FUNDING – ___________
Packet Page 155
ATTACHMENT B
CITY OF MUSKEGON, MICHIGAN
SLFRF INVESTMENT PARTNERSHIPS PROGRAM
CERTIFICATION OF LEGAL AUTHORITY TO EXECUTE THIS AGREEMENT
The Beneficiary, hereby assures and certifies that:
(a) It possesses legal authority to execute the attached agreement and provide the
proposed program services agreed to.
(b) Its governing body has duly agreed to and officially acted by a resolution, motion
or similar action to authorize the execution of this Agreement, including all
understandings and assurances contained herein. The governing body further
authorizes the person identified as the official representative of the Beneficiary to
act in connection with the agreement and to provide such additional service
information as may be required.
Name and Title
Packet Page 156
ATTACHMENT C
CITY OF MUSKEGON, MICHIGAN
SLFRF PROGRAM
CERTIFICATION TO COMPLY WITH ALL APPLICABLE FEDERAL REGULATIONS
The Beneficiary hereby assures and certifies to comply with all applicable laws and regulations
relating to the SLFRF Program and all civil rights laws.
The Beneficiary further understands that the City shall hold it responsible for knowledge and
proper application of these laws and regulations. If, under any circumstances, the Beneficiary
requires clarification of these laws or regulations, it shall be the Beneficiary's responsibility to
contact the City or the U.S. Department of Treasury.
The Beneficiary acknowledges that it cannot be absolved of its responsibilities under these laws
or regulations by claiming lack of access, knowledge, or understanding thereof.
Name and Title
Packet Page 157
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: Feb. 14, 2023 Title: Adelaide Pointe – First
Addendum
Submitted By: Jonathan Seyferth Department: City Manager
Brief Summary:
This addendum outlines the public items that the City will bond for and receive Tax Increment
Financing (TIF) reimbursement. Total bonding will not exceed $10.5 million which is a level of
funding the Commission had previously agreed to.
Detailed Summary & Background:
The specific items that will be bonded for on the City side include public roads, water, sewer, storm
sewer infrastructure, a public fishing pier (this will extend along the west finger of the peninsula
and be accessed via a permanent public easement) we’ll also bond for the cost of a public park
improvements within the development. Park improvements will only be on public property or on
property which will be incumbered with a permanent easement.
Total bonding will not exceed $10.5 million and the City will be repaid its bond investment via our
portion of the tax capture.
The TIF will be divided 50/50 between the City and the development company until we are paid
back for our portion of the investment.
To help mitigate our risk the City is placing a $2 million consent special assessment on the
property. If the developer fails to perform, the City can trigger that special assessment after written
notification to the developer and giving the developer an opportunity to cure the issue. Additionally,
the developer’s Bank is providing a letter of credit to the title company that if the development does
not perform it would trigger a performance funding mechanism that would fund the construction of
the first condo building up to the “must builds” to make the build out of the individual condos viable.
Furthermore, the developer will provide to the City copies of a minimum of 22 signed agreements
for condos that are irrevocable, meaning once the must builds are complete those condos will be
built.
The developer must provide copies of the letter of credit and the signed agreement before the City
will enter the final stage of the bonding process. The point of the additional documentation is to
help ensure the City will be able to collect on the TIF to repay our debt. However, there is always
risk associated with any development and staff has taken steps to mitigate some of that risk.
The City has also built additional controls into the agreement regarding steps in the bonding
process. The objective is to ensure that before the final bond decision is made that we have a clear
idea of how and where dollars will be spent. The agreement also makes clear the City will NOT
kick in for any additional expenses about the $10.5 million.
The State needs to see this agreement as part of a MEDC review later in February.
Goal/Focus Area/Action Item Addressed:
Packet Page 158
Goal 1 – Destination Community/Quality of life. The project will enhance access to the waterfront
(key focus area); Goal 2 – Economic Development, Housing and Business. The project will
diversify housing options within the City (key focus area),
Amount Requested: Amount Budgeted:
Contact Finance if your item does not fit into
the current budget.
Fund(s) or Account(s): Fund(s) or Account(s):
Recommended Motion: I motion to recommend for approval the First Addendum between Adelaide
Pointe Development and the City of Muskegon and authorize the Mayor and Clerk to sign.
Approvals: Get approval from division head at a minimum prior Guest(s) Invited / Presenting
to sending to the Clerk.
Immediate Division Head Information Technology Yes
Other Division Heads Communication No
Legal Review
For City Clerk Use Only:
Commission Action:
Packet Page 159
DRAFT
02/09/23
FIRST ADDENDUM TO FIRST AMENDMENT TO DEVELOPMENT
AND REIMBURSEMENT AGREEMENT
ADELAIDE POINTE
This FIRST ADDENDUM TO FIRST AMENDMENT TO DEVELOLPMENT AND
REIMBURSEMENT AGREEMENT (“Agreement”) is made __________, 2023 (“Effective Date”)
between the City of Muskegon Brownfield Redevelopment Authority (“Authority”), a Michigan
public body corporate, with an address of 933 Terrace Street, Muskegon, MI 49440 (“Authority”),
City of Muskegon, a Michigan Municipal Corporation (“City”), with an address of 933 Terrace St.,
Muskegon, MI 49440, and Adelaide Pointe Qozb, LLC (“APQ”), with an address of 1204 W.
Western Avenue, Muskegon, MI 49441. Authority, City and APQ are at times referred to as a
“Party” or together as “Parties”.
Background
APQ owns approximately 30 acres of waterfront brownfield property which is located at the
west end of West Western Avenue within the City of Muskegon.
The City owns certain property adjacent to, and to the east of, the APQ Property commonly
known as Hartshorn Marina which the City has previously used for public small boat slip rentals and
related activities. The APQ Property and the City Property may be collectively referred to as the
“Property”.
APQ and the City have entered into a “Cooperative Use and Development Agreement”
which substantiates APQ’s and the City’s desire to a) utilize each other’s specified property for
beneficial use b) cooperate in the pursuit of funding for improvements to each other’s Property c)
assist one another with applications and approvals for improvements and d) make improvements as
specified in the APQ PUD approved by the City Commission on September 13, 2022.
APQ intends to develop the Property for mixed uses including boat storage, boat dockage, in-
out boat service, marinas, residential condominiums, commercial uses, and open space and
recreational areas (“Development”). The specific improvements to be included in the Development
will be defined in the Cooperative Use Agreement, addendums to this Agreement and the Planned
Unit Development Agreement (“PUD”) (“Development Agreements”).
Authority, City and APQ entered into a Development and Reimbursement Agreement
effective ____, 202___, which was approved by the Authority on November 9, 2021 and by the City
on November 23, 2021. Pursuant to that Agreement, APQ and City were to perform “eligible
activities” and be reimbursed, as defined and provided for in that Agreement.
Packet Page 160
Authority, City and APQ entered into a First Amendment to Development and
Reimbursement Agreement effective ____, 2022, which was approved by the Authority on
December 13, 2022 and by the City on December 13, 2022. Pursuant to that Agreement, APQ is to
provide addendums to the City that detail discrete development projects and to the extent the
addendums represent “eligible expenses”, such shall be presented to the Authority.
THEREFORE, THE PARTIES AGREE T O T H E F O L L O W I N G A D D E N D U M
AS FOLLOWS:
1. By June 1, 2023, APQ shall commence construction of a 55 unit residential building(s),
which may or may not be marketed and owned as condominiums, and which shall be
completed by December 31, 2024.1 The location and number of building(s) shall be as
provided in the then most recent PUD, as approved by City and attached as Exhibit A.
By April 1, 2023, APQ shall provide seven sets of signed and sealed plans and permit
applications for all aspects of construction, in particular building plans, plans for all
trades (plumbing, electric, HVAC, etc.), and fire suppression, with payment of the fees
associated with the permits, to SafeBuilt.
2. By June 1, 2023, APQ shall commence construction of a marina and completed by
December 31, 2024. The marina shall consist of 233 boat slips. Within 45 days of sealed
plans and state permits being obtained, City shall authorize the construction of and
reimburse developer for a breakwater. By April 1, 2023, APQ shall provide signed and
sealed plans and permits for all aspects of construction, in particular building plans.
Within 45 days of sealed plans and state permits being obtained, APQ shall provide a
recordable perpetual easement, including a metes and bounds description, to the City
from a mutually agreeable location on the existing trail to the breakwater/fishing pier for
public access to the breakwater/fishing pier, a copy of the proposed easement is attached
as Exhibit B. By completion of construction of the breakwater/fishing pier but no later
than June 1, 2024, APQ shall provide a recordable perpetual easement, including a metes
and bounds description, with title insurance paid for by APQ insuring the City’s
easement, for the breakwater/fishing pier and public access to the breakwater.
3. By June 1, 2023, APQ shall commence construction of a three-story mixed-use building
with ground level retail and office space (approximately 14,700 gross square feet), a
second floor restaurant (approximately 3,700 square feet) and a third floor deck area
(approximately 3,700 square feet) which shall be completed by December 31, 2024. The
location and number of building(s) shall be as provided in the then most recent PUD, as
approved by City and attached as Exhibit A. By April 1, 2023, APQ shall provide seven
sets of signed and sealed plans and permit applications for all aspects of construction, in
particular building plans, plans for all trades (plumbing, electric, HVAC, etc.), and fire
suppression, with payment of the fees associated with the permits, to SafeBuilt
1
For paragraphs 1, 3, and 4, “commence construction” shall mean the installation of the foundation and “complete
construction” shall mean the issuance of a certificate of occupancy”.
4887-5647-1631.v1
Packet Page 161
4. By August 1, 2023, APQ shall commence construction of a “boater services building”.
The boater services building shall be as provided in the most recent PUD, as approved by
City and attached as Exhibit A, and which shall be completed by December 31, 2024. By
June 1, 2023, APQ shall provide seven sets of signed and sealed plans and permit
applications for all aspects of construction, in particular building plans, plans for all
trades (plumbing, electric, HVAC, etc.), and fire suppression, with payment of the fees
associated with the permits, to SafeBuilt
5. By April 1, 2023, APQ shall provide to TransNation Title Agency of Michigan
Lakeshore Division (“TransNation”), with a copy to the City’s City Manager, a letter of
credit from APQ’s lender in an amount sufficient to commence and complete the
construction of the shell of the building such that it is dry and secure. By April 1, 2023,
APQ shall provide to the City’s City Manager proof of signed purchase agreements for
22 units of the 55 units in the residential building(s). A copy of the fully executed letter
of credit must be provided to City’s City Manager at least 30 days prior to the awarding
of the municipal bonds provided for in paragraph 8. The letter of credit may be used by
TransNation to pay for the completion of the shell of the residential building(s).
6. By April 1, 2023, APQ and City shall enter into a $2 million consent special assessment
as evidenced by Exhibit C. If APQ has not met any completion date for any portion of
Phases I through III as specified in paragraphs 1 through 4, City may provide written
notice of the failure to satisfy a completion date and APQ shall have 90 days after receipt
to cure the failure. If APQ fails to cure the failure to meet the completion date, the City
may impose the special assessment and place the $2 million special assessment on the tax
rolls. The consent special assessment shall be used to reimburse City and/or Authority
any monies, excluding funds that have been re-imbursed by tax capture, necessary for
any municipal debt resulting therefrom.
7. By June 1, 2023, APQ shall commence construction for all roads, water mains, sanitary
sewer, storm water infrastructure and breakwater/fishing pier for all structures in Phases I
through III as described in paragraphs 1 through 4. Forty-five days prior to
commencement of construction, APQ shall provide to City construction drawings and
accepted bids for the roads, water mains, sanitary sewer, storm water infrastructure,
breakwater/fishing pier and park, with park amenities. City may, with city staff and/or an
agent, review, approve, recommend modifications or reject proposed construction
drawings and bids. If City recommends modification or rejects the construction drawings
or bids, APQ shall have such revised to satisfy City. Construction of the roads, water
mains, sanitary sewer, storm water infrastructure, breakwater/fishing pier, and park, with
park amenities, shall meet City’s standards. All invoices for design and construction
expenses for roads, water mains, sanitary sewer, storm water infrastructure,
breakwater/fishing pier, and park, with park amenities shall be presented directly to
City’s engineer and City engineer shall forward to the Authority for payment of approved
eligible expenses and reject all other invoices. Authority shall pay contractors directly as
provided for below.
4887-5647-1631.v1
Packet Page 162
8. Within 30 days of execution of this Agreement, City and/or Authority shall commence
the process of selling municipal bond(s) by scheduling public meetings to adopt
necessary resolutions. City and BRA, in its sole discretion shall decide which entity, or
both, will issue the municipal bond(s) required by this paragraph. APQ acknowledges
that City must have the documents and construction bids required in Paragraphs 1
through 7 above, inclusive, and such must be acceptable to City or Authority, in its sole
discretion, in order to issue the municipal bond(s). City and/or Authority are not required
to issue the municipal bond(s) until all structures in Phases I through III as described in
paragraphs 1 through 4 have commenced construction. The municipal bond(s) will be in
an amount sufficient to pay for engineering work necessary for the design and
construction of the roads, water mains, sanitary sewer, storm water infrastructure
breakwater/fishing pier and a park, with park amenities, on mutually agreeable property,
plus the City’s anticipated expense for City’s retained engineer to inspect the drawings
and construction while it is occurring, in the amount not to exceed $10.5 million, with
such bond proceeds being used only for the design and construction of the roads, water
mains, sanitary sewer, storm water infrastructure, breakwater/fishing pier, and a park plus
the City’s anticipated expense for City’s retained engineer to inspect the drawings and
construction while construction is occurring. To the extent any Authority or City money
is used for the design or construction of municipal improvements on private property,
APQ shall grant a permanent easement which cannot be terminated by APQ for any
reason or a deed from APQ to the City. The roads, water mains, sanitary sewer, storm
water infrastructure, breakwater/fishing pier, and park, including park amenities, shall be
at mutually agreeable locations. If the cost of the roads, water mains, sanitary sewer,
storm water infrastructure, breakwater/fishing pier and a park, with park amenities, may
exceed $10.5 million, in City’s sole discretion, then either Developer shall commit and
pre-fund the excess or City shall have the authority to revise construction plans to reduce
the overall cost or eliminate any aspect of the public improvements.
9. Prior to the sale of municipal bonds, Authority, City and APQ shall be reimbursed for
eligible expenses pursuant to the Amendment to Development and Reimbursement
Agreement, except that only City’s engineer shall submit invoices to the Authority and
the Authority shall pay directly to APQ for expenses for roads, water mains, sanitary
sewer, storm water infrastructure and breakwater/fishing pier. APQ shall submit invoices
for eligible expenses, excluding invoices relating to roads, water mains, sanitary sewer,
storm water infrastructure and breakwater/fishing pier, to the Authority.
10. After the sale of municipal bonds, and subject to the bond proceeds, pursuant to
Amendment to Development and Reimbursement Agreement Paragraph 7(a), Authority
shall reimburse APQ 90% of the eligible expenses relating to the engineering and
construction of the roads, water mains, sanitary sewer, storm sewer water infrastructure,
breakwater/fishing pier, and park, with park amenities, pursuant to Amendment to
Development and Reimbursement Agreement Paragraph 7(a), with the remaining 10%
held by the Authority until the roads, water mains, sanitary sewer, storm water
infrastructure and breakwater/fishing pier are accepted by the City. Authority shall
4887-5647-1631.v1
Packet Page 163
approve or reject invoices based upon City’s and Authority’s agent(s) recommendation
within 30 days of submission and payment shall be made promptly after approval. APQ
shall have the right to revise any rejected invoices.
11. The Authority shall retain funds, reimburse City, and reimburse APQ from tax captured
revenues as follows:
a. Authority shall retain $10,000 each calendar year for its administrative fee;
b. Provided City fulfills the obligations of this Addendum, in particular issuing
municipal bonds provided for in paragraph 7, City shall be paid or Authority shall
retain 50% of the remaining tax captured revenues. City’s engineer shall submit
invoices for eligible expenses attributable to the roads, water mains, sanitary
sewer, storm water infrastructure, breakwater/fishing pier, and park, with park
amenities;
c. Provided APQ fulfills its obligations to build structures provided for in Phases I
through III, APQ shall be paid 50% of the remaining tax captured revenues after
payments required by Paragraph 10(a) and 10(b) above are satisfied, for the
Eligible Activities.
d. After City has been paid for all principal and interest payments for the municipal
debt provided by this Addendum, then the obligations provided for in this
Addendum shall be satisfied and future tax captured revenues shall be used as
provided for in the First Amended Development and Reimbursement Agreement.
11. As to all other respects, the First Amendment to Development and Reimbursement
Agreement shall continue in force as if restated herein.
AUTHORITY:
CITY OF MUSKEGON BROWNFIELD REDEVELOPMENT AUTHORITY,
a Michigan public body
BY________________________
Name: Martha Bottomley
Title: Chair
Date: ____________________, 2023
4887-5647-1631.v1
Packet Page 164
BY: ________________________
Name:
Title: Secretary
Date: ____________________, 2023
CITY:
CITY OF MUSKEGON,
a municipal corporation
BY________________________
Name: Ken D. Johnson
Title: Mayor
Date: ____________________, 2023
BY: ________________________
Name: Ann Meisch
Title: Clerk
Date: ____________________, 2023
APQ:
ADELAIDE POINTE QOZB, LLC,
A Michigan limited liability company
By
Name: Ryan M. Leestma
Title: Owner
Date: ____________________, 2023
4887-5647-1631.v1
Packet Page 165
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: February 14, 2023 Title: Second amendment to
the Planned Unit
Development at Adelaide
Point (1148 & 1204 W
Western Ave)
Submitted By: Mike Franzak Department: Planning
Brief Summary: Request to amend the final Planned Unit Development at 1148 & 1204 W Western
Ave (Adelaide Point).
Detailed Summary: 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.
Goal/Focus Area/Action Item Addressed: Goal 1: Destination Community & Quality of
Life/Improved access to waterfront
Goal 2: Economic Development, Housing and Business / Progress toward completion of ongoing
economic development projects / Complete Adelaide Point public improvements.
Amount Requested: Amount Budgeted:
Fund(s) or Account(s): Fund(s) or Account(s):
Recommended Motion: To approve the request to amend the final Planned Unit Development at
1148 & 1204 W Western Ave (Adelaide Point).
Approvals: Guest(s) Invited / Presenting
Packet Page 166
Immediate Division Head Information Technology
Other Division Heads Communication Yes
Legal Review No
For City Clerk Use Only:
Commission Action:
Packet Page 167
Project :
ADELAIDE POINTE
1204 WEST WESTERN AVENUE
MUSKEGON, MI 49441
P: (855) MKG-LAKE
A3
https://www.adelaidepointe.com
Consultants:
A1
518 BROAD STREET
SAINT JOSEPH, MI 49085
P: (269) 932.4502
www.edgewaterresources.com
M4
M1 M3
1609 PINERIDGE DR
B4 M2 GRAND HAVEN, MI 49417
B3 A1 P: (616) 843-1002
M6
www.architekturaplc.com/
DN
B1 A4
A8
A2 A7 M2
A12 A10 648 N. PLANKINTON AVE.
PU
R3 SUITE 240
A1 MILWAUKEE, WI 53203
R4 A11 P: (414) 273-8230
A9
SHEET NOTES:
AD
M3 www.kaa-arch.com
EL
A1
AID
COMMERCIAL BUILDINGS MARINA / MARINA SERVICES
LE C M SITE LOCATION:
EC
R2 C A7
CIR
IRC
E A7 A10 C1 ADELAIDE POINTE OFFICES M1 WET SLIP MARINA
AID
LE
EL
PU
A12 A12
A8 A9 AD C2 LIGHT INDUSTRY M2 TRANSIENT SLIPS
A8
2 C3 WAREHOUSING / BOAT STORAGE M3 SLIP ACCESS POINT
A7 L-3.10
A12 M5
AD
C4 WAREHOUSING / BOAT STORAGE PILE SUPPORTED STRUCTURE WITH STEEL
R6 M4
A7
EL
SHEET PILE WAVE FENCE
AID
C5 RETAIL /BOAT SERVICE / BOAT STORAGE
A7 M5 SLIP WELL / RAMPS
EC
C6 WAREHOUSING / BOAT STORAGE
IRC
M6 FUEL DOCKS
A1
LE
C8 WAREHOUSING / BOAT STORAGE REVISION Date: 12/06/2022
A7
Project No: 21-004
C9 WAREHOUSING / BOAT STORAGE A PUBLIC AMENITIES
1 REVISION - 12/23/2022
C8
ADELAIDE BLVD
A1 2 REVISION - 02/09/2023
C9 BIKE & PEDESTRIAN TRAILS
NORTH
A12 C4 A2 WEST POINT PARK
ADELAIDE DR
R RESIDENTIAL BUILDINGS Scale: 1"=100'-0" @ 24x36
A3 LINEAR PARKS
CONDOMINIUM BUILDING
0 100' 200'
R1
A4 EAST BASIN PARK
2
C2 R2 CONDOMINIUM / COMMERCIAL
ADELAIDE AVE A7 BIKE RACKS
Seal:
R3 CONDOMINIUM / COMMERCIAL
A8 EVENT LAWN
R4 CONDOMINIUM BUILDING
A9 ON STREET PARKING
R6 APARTMENT BUILDING
1 A10 OFF STREET PARKING
C3 L-3.10 Project Phase:
C6 A12 PARKING GARAGE ACCESS PUD SUBMITTAL
B MIXED USE BUILDING / AMENITIES
Sheet Title:
B1 SALES / RETAIL / RESTAURANT
C1
C5
SITE PLAN
B3 BOATER SERVICES
POOL Sheet Number:
A1 B4
WEST WESTERN
C-1.00
Packet Page 168
P:\2021\21-004 AP\CAD\SHEETS\PUD\C-SHEETS\C-1.00 SITE PLAN.DWG
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: February 14, 2023 Title: Second amendment to
the Planned Unit
Development at Hartshorn
Village (920, 1050, 1060,
1000 and 1010 W Western
Ave)
Submitted By: Mike Franzak Department: Planning
Brief Summary: Request to amend the final Planned Unit Development at 920, 1050, 1060, 1000
and 1010 W Western Ave (Hartshorn Village).
Detailed Summary: 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:
Stormwater permit is issued by the City Engineering Department
10-inch concrete to be installed where forklift operates.
Packet Page 169
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.
Goal/Focus Area/Action Item Addressed: Goal 1: Destination Community & Quality of
Life/Improved access to waterfront
Goal 2: Economic Development, Housing and Business / Progress toward completion of ongoing
economic development projects / Increase variety of housing types.
Amount Requested: Amount Budgeted:
Fund(s) or Account(s): Fund(s) or Account(s):
Recommended Motion: To approve the request to amend the final Planned Unit Development at
920, 1050, 1060, 1000 and 1010 W Western Ave (Hartshorn Village) with the condition that a
stormwater permit is issued from the Engineering Department.
Approvals: Guest(s) Invited / Presenting
Immediate Division Head Information Technology
Other Division Heads Communication Yes
Legal Review No
For City Clerk Use Only:
Commission Action:
Packet Page 170
ZONE: LR
OVERALL PUD
BOUNDARY
ZONE: PUD
ZONE: LR
OVERALL PUD
BOUNDARY
EXISTING HARTSHORN
VILLAGE CONDOMINIUM
ZONE: PUD
ZONE: I-2
ZONE: I-1
ZONE: I-1
P:\Projects\2020\202164\Drawings\202164-PUD.dwg, S01-EXIST, 2/7/2023 3:00:57 PM, jroot
5252 Clyde Park, S.W. Grand Rapids, MI 49509
Phone: (616) 531-3660www.exxelengineering.com
Packet Page 171
ZONE: LR
(ADELAIDE POINTE)
ZONE: PUD
HARTSHORN
VILLAGE
PHASE 2
SEE NOTE 13
ZONE: LR
FUTURE
HARTSHORN
DEVELOPMENT
AREA
ZONE: PUD
(ADELAIDE POINTE)
ZONE: I-2
ZONE: I-1
ZONE: I-1
P:\Projects\2020\202164\Drawings\202164-PUD.dwg, S02-SITE, 2/7/2023 3:01:33 PM, jroot
5252 Clyde Park, S.W. Grand Rapids, MI 49509
Phone: (616) 531-3660www.exxelengineering.com
Packet Page 172
ZONE: LR
ZONE: PUD
ZONE: LR
ZONE: I-2
ZONE: I-2
ZONE: I-1
ZONE: I-1
P:\Projects\2020\202164\Drawings\202164-PUD.dwg, S03-GRD, 2/7/2023 3:02:09 PM, jroot
5252 Clyde Park, S.W. Grand Rapids, MI 49509
Phone: (616) 531-3660www.exxelengineering.com
Packet Page 173