Downtown Development Authority Agenda 05-12-2020

View the PDF version Google Docs PDF Viewer

                                                 CITY OF MUSKEGON

                        DOWNTOWN DEVELOPMENT AUTHORITY (“DDA”)

                                                 REGULAR MEETING


                    DATE OF MEETING:                                   Tuesday, May 12, 2020
                    TIME OF MEETING:                                   10:30 A.M.
            PLACE OF MEETING:                 ZOOM (Planning Commissioners and
            presenters) & Facebook Live/Phone Number (public) – Facebook page is “City
            of Muskegon Government.” Call-In phone number for public is (231) 286-7650
______________________________________________________________________________


                                                           AGENDA

     I.        Roll Call

     II.       Approval of the regular meeting minutes of March 10, 2020

     III.      Brownfield plan amendment, 1000 West Western, Harbor West LLC (Hartshorn
               Village)/staff Dave Alexander

     IV.       DDA financial report -- Finance Director Beth Lewis (info will be provided @
               meeting)

     V.        Economic development-events report – DDA manager Dave Alexander

     VI.       Other

     VII.      Adjourn



AMERICAN DISABILITY ACT POLICY FOR ACCESS TO OPEN MEETING OF THE CITY COMMISSION AND ANY OF
                             ITS COMMITTEES OR SUBCOMMITTEES

  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, 24- hour notice to the City of Muskegon. Individuals with disabilities requiring auxiliary aids or
 services should contact the City of Muskegon by writing or calling the following: Ann Marie Cummings, City Clerk at
    933 Terrace Street, Muskegon, MI 49440 or by calling (231) 724-6705 or TTY/TDD: Dial 7-1-1 and request that
                                             representative dial 231-724-6705
                              CITY OF MUSKEGON
                   DOWNTOWN DEVELOPMENT AUTHORITY (DDA) /
                  BROWNFIELD REDEVELOPMENT AUTHORITY (BRA)
                               SPECIAL MEETING
                                   MINUTES

                                         March 10, 2020

Chairperson M. Bottomley called the meeting to order at 10:30 AM and roll was taken.

MEMBERS PRESENT:             M. Kleaveland, J. Moore, H. Sytsema, M. Johnson, F. Peterson, F.
                             DePung, D. Kalisz, M. Bottomley, J. Wallace Jr

MEMBERS ABSENT:              Excused: J. Riegler, D. Pollock, B. Hastings, P. Edbrooke

STAFF PRESENT:               D. Alexander, Downtown Manager; L. Mikesell, Director of
                             Development Services; D. Renkenberger, Administrative Assistant

OTHERS PRESENT:              B. Chapla; S. Musselman for The Docks; J. Edwards, Rockford
                             Construction; J. Canale, 12150 Cross Creek Dr, Spring Lake; C.
                             Benedict, 370 Mid Oak Dr, N. Muskegon., J. Schrier, City Attorney

APPROVAL OF MINUTES
A motion to approve the regular meeting minutes of November 19, 2019 and the special meeting
minutes of February 27, 2020 was made by J. Moore, supported by F. Peterson and unanimously
approved.

BROWNFIELD REDEVELOPMENT AUTHORITY BUSINESS

Brownfield Plan Amendment for 372 Morris Avenue (Foundry Square) by GLDG - Rockford
Construction. D. Alexander provided background information on this request. Foundry Square LLC
submitted a Brownfield Plan Amendment application for a $34 million, mixed-use urban development
on 7 acres at 372 Morris Ave. The site formerly housed a coal gasification plant as well as other
industrial uses over the decades. It was later capped and used as a surface parking lot, previously
owned by the Community Foundation for Muskegon County after the closure and demolition of the
former downtown Muskegon Mall. The first phase of the new development includes an 82-room hotel,
four-story 240-space parking deck, 40,000 square foot family entertainment center, and public
infrastructure; planned for the second phase are retail and residential mixed uses. The hotel and
commercial uses could generate 140 new jobs. The Foundry Square project – depending on retail uses
attracted to downtown–is strategically located between Western Avenue and Shoreline Drive
overlooking Muskegon Lake, and has the potential to take downtown redevelopment to a much higher
level..

D. Alexander went on to explain the financial details of the project and Brownfield application. The
development team is seeking tax increments from local, school operating and state education property
taxes and will also need approval of the Michigan Strategic Fund Board. The developer and city staff
have reviewed the plan with state officials from EGLE and the MEDC. The total estimate of eligible
costs is $13.3 million--$1.75 million for EGLE (environmental) costs and Michigan Strategic Fund
(redevelopment) costs $10.56 million with both categories having a 10 percent contingency. A critical
element of the environmental work is installation of a vapor mitigation system on the site, which has
already had a state-approved environmental cleanup. The major element of the development work is
an $8.4 million parking deck, the first such facility proposed for downtown Muskegon since the closure
of the Muskegon Mall. The public right-of-way improvements of streets, sanitary and storm sewers,
water lines, sidewalks, curbs, gutter, lighting and streetscape upgrades with the extension of Second
Street into the development will be completed by the developer to city specifications. The infrastructure
improvements are eligible costs paid for through tax increments and eventually deeded to the city as
public facilities. The plan contemplates paying off eligible costs in 2045 with the remaining five years
of tax increments being placed in the city’s Local Brownfield Revolving Fund. The plan calls for
annual Brownfield Redevelopment Authority administrative fees of $10,000 for the 30-year duration
of the plan, which is within the allowable amount. The plan does not request reimbursement of interest
on borrowing for eligible costs not immediately covered by tax increments. Several city departments
have reviewed the Brownfield plan amendment along with the city attorney, and staff recommends
approval of the request. Once approved by the BRA, the request will go to the City Commission for
their approval.

J. Edwards of Rockford Construction stated that they were partnering with Great Lakes Development
Group (GLDG) on this project. They had been working with city staff over the past months on the site
layout. They planned phased approach, with a hotel, family entertainment center, and parking included
in the initial phase. They had been working with Nederveld on meeting the Form Based Code
requirements for the site. Being the former location of a MichCon plant, the site was quite
contaminated, and the Brownfield plan amendment would help with the cost of environmental issues,
keeping flexibility in mind. J. Canale was part of GLDG. He stated that the hotel and family
entertainment center would be operated by a hotel group out of Grand Rapids, with the entertainment
center consisting of dining, an arcade, and bowling. M. Johnson asked if there was a timeline for
completion. J. Edwards estimated a 6 to 7-year buildout for the entire 7-acre project. C. Benedict of
GLDG stated that the later project phases would driven by the market. M. Kleaveland asked about the
timeline for the extension of 2nd St. J. Schrier stated that it would start with Phase I.
J. Wallace Jr arrived at 10:44 AM.
H. Sytsema asked if the parking structure would be available for other downtown parking. J. Edwards
stated that they needed 240 spaces to cover parking for their site but there should be some room left
for additional public parking.

Included in board members’ meeting packet was a “Resolution Approving Revised Brownfield Plan
Amendment” for this project (Foundry Square at 372 Morris Ave). D. Alexander requested a motion
to approve or deny the resolution.

A motion to approve the resolution for the Brownfield Plan Amendment for Foundry Square LLC at
372 Morris Ave. and to request a public hearing before the Muskegon City Commission to have the
City Commission consider adoption of the plan, was made by H. Sytsema, supported by D. Kalisz and
unanimously approved, with M. Kleaveland, J. Moore, H. Sytsema, M. Johnson, F. Peterson, F.
DePung, D. Kalisz, M. Bottomley, and J. Wallace Jr voting aye.

The Docks Development and Reimbursement Agreement - Jared Belka for Damfino Development. D.
Alexander provided background information on this request. Damfino Development LLC has
submitted a Development and Reimbursement Agreement for the approved Brownfield Plan for The
Docks, a residential development on the former Pigeon Hill sand dune property near 1490 Edgewater.
To summarize the project, Damfino Development received approval of a local-only tax capture
Brownfield plan for the former Pigeon Hill sand mine property at the west end of Muskegon Lake.
Plans are for 240 residential site condominiums needing $18.5 million in initial private capital. The 30-
year plan identifies $20,097,500 in eligible expenses plus interest on borrowing until tax increments
pay for the expenses. Part of eligible expenses is of an estimated $3 million for public infrastructure
for the city’s construction of the traffic circle at Beach Street and Lakeshore Drive, improvements to
Edgewater Street and other streets surrounding the development. The plan estimates The Docks would
create $111.4 million in new property value in the city after 30 years. The plan also includes an annual
$10,000 administrative fee to the city. If the 30-year plan pays off expenses early, the city could receive
up to five years of additional tax capture for a brownfield revolving fund. The reimbursement to the
developer vs. city would be done on a prorated basis with 82.5 percent to the developer and 17.5 percent
to the city. The developer and city will provide the BRA with a request for payment of eligible
expenses. The BRA has 30 days to approve the request. Payments are made on a semi-annual basis
when incremental local taxes are captured and available. Several city departments have reviewed the
Development & Reimbursement Agreement along with the city attorney and staff recommends
approval.

S. Musselman provided an update on the project. There had been no changes, and developers continued
to work on a state permit for wetland mitigation. They were also working on vacating the end of
Edgewater St which had to go through Circuit Court. Once those issues were resolved, they could
begin construction. M. Bottomley asked when construction on the roundabout would begin. F.
Peterson stated that it would begin in about 30 days, to cause minimal traffic disruption during the busy
summer season. H. Sytsema asked if the wetland issue could derail the project. S. Musselman stated
that it would not, but they may have to do additional mitigation.

A motion to approve the Development & Reimbursement Agreement for the approved Brownfield Plan
for The Docks and Damfino Development LLC was made by F. Peterson, supported by M. Kleaveland
and unanimously approved, M. Kleaveland, J. Moore, H. Sytsema, M. Johnson, F. Peterson, F. DePung,
D. Kalisz, M. Bottomley, and J. Wallace Jr voting aye.

DOWNTOWN DEVELOPMENT AUTHORITY BUSINESS

DDA Financial Report -- Finance Director B. Lewis distributed updated budget information. As
expected, there was not much discretionary income this year. M. Kleaveland asked if the County debt
payment was taken care of. B. Lewis stated that it had been paid off; she hoped to be able capture the
balance next year. J. Wallace asked what the DDA could expect for tax increment revenue next year.
B. Lewis stated that that information would not be available until June or July, once the Board of
Review was done and any adjustments had been made.

Business Improvement District (BID) Update – D. Alexander updated members on BID business per
discussions that had taken place at the BID board’s February meeting. The BID was currently
scheduled to expire on 12/31/20. They were in the process of working a BID plan for a scaled-down
area for the next 3 years.
Downtown Marketing and Events – D. Alexander provided a list of downtown events scheduled to
date and a list of cruise ship visits. At this time, it was unknown how the coronavirus might affect
these events.

Economic development / Events report – D. Alexander provided an update on downtown projects in
process and in the planning stages.

OTHER

None

There being no further business, the meeting was adjourned at 11:40 AM.
                  Muskegon Brownfield Development Authority:
                              Agenda item for 5-12-20
              Harbor West LLC, 1000-1010-1060 West Western Ave.
                                  Hartshorn Village
                            Brownfield Plan Amendment


Requesting party: Harbor West LLC
Outline of the request: Harbor West LLC has submitted a Brownfield Plan
Amendment for residential site condominiums on an initial 3.01 acres adjacent to
the city of Muskegon’s Hartshorn Marina at 1000, 1010 and 1060 West Western
Ave. along the city’s Lakeshore Trail. The investment in the first phase is
estimated at $5+ million.
Background: A former employee parking lot of the Shaw-Walker Co. was sold by
the city of Muskegon to Harbor West LLC in 2018 for a residential site
condominium project. This initial Brownfield Plan Amendment is for the first 10
new market-rate, single-family homes. Plans for the property and that of Fricano
Place to the west are to expand the development to approximately 50 home sites
as the market demands. The site sits along the Lakeshore Trail, adjacent to
Hartshorn Marina. The high-end, waterfront residential project is a key kick off to
the redevelopment of the Western Waterfront. A key element of this initial plan
are Hartshorn Marina upgrades and improvements.
Staff comments:
   1. An Envirologic report finds the site environmentally meets the definition of
      a “facility” under the state’s Brownfield Act 451.
   2. This plan is for $5.597 million in eligible costs. It is a local-only property tax
      capture plan, although through statute the plan is eligible for $2,429 for
      eligible environmental costs captured by state educational millage through
      EGLE. There is no need for state approval.
   3. The EGLE eligible environmental costs are $250,000, demolition $19,500,
      site preparation $626,000 and infrastructure improvements of $3.946
        million. The infrastructure includes typical roads, utilities but mostly city
        improvements to the public boat launch, marina dock system and
        pool/clubhouse (joint use marina/condos). Those public marina costs are
        the majority of the infrastructure at $3.502 million.
   4.   The initial capture for phase one is estimated at $2.168 million over the 30
        years. Subsequent phases are expected to bring further plan amendments
        to the BRA that would cover all eligible costs within the plan’s timeframe.
   5.   In a sales and development agreement between the city and Harbor West
        LLC in August 2018, the parties agreed that the city would provide the
        buyer up to $600,000 for brownfield eligible costs. When the brownfield
        plan tax capture begins the city would receive the first $600,000 in plan
        revenue. After the city’s costs are covered, the remainder of Harbor West’s
        eligible costs would be paid from tax capture with the city’s marina upgrade
        costs being paid last. The agreement between the city and Harbor West LLC
        will be reflected in the subsequent development and reimbursement
        agreement the BRA would consider.
   6.   There is a 15 percent contingency in the plan. There is no request for
        interest on borrowing being included as an eligible cost. The plan
        contemplates continued five-year capture of tax increments for a local
        Brownfield Revolving Loan Fund if there is time left in the 30-year plan after
        eligible costs are covered.
   7.   There is an annual $10,000 administrative fee paid to the BRA.


Staff recommendation: City staff has reviewed the Harbor West LLC brownfield
plan amendment and staff recommends approval.
Suggested motion: I move to approve/disapprove the resolution for the
Brownfield Plan Amendment for Harbor West LLC (Hartshorn Village) at 1000-
1010-1060 West Western Ave. If approved, I move to request a public hearing
before the Muskegon City Commission and to have the City Commission consider
adoption of the plan.
           CITY OF MUSKEGON
       BROWNFIELD REDEVELOPMENT
               AUTHORITY
         BROWNFIELD PLAN AMENDMENT
          FOR THE HARBOR WEST, LLC
            DEVELOPMENT PROJECT

                               May 7, 2020


Original Plan Approved by the Board of the City of Muskegon Brownfield Redevelopment
Authority on February 23, 1998, with subsequent amendments approved as outlined
below. This amendment approved on ______________.

Original Plan Approved by the City Commission of the City of Muskegon on
April 14, 1998, with subsequent amendments approved as outlined below. This
amendment approved on ________________.
                      City of Muskegon Brownfield Plan Amendment
                          Harbor West, LLC Development Project




                         CITY OF MUSKEGON
                BROWNFIELD REDEVELOPMENT AUTHORITY
                         BROWNFIELD PLAN

                                       INDEX


I.     INTRODUCTION
II.    GENERAL PROVISIONS

       A.   Costs of the Brownfield Plan
       B.   Method for Financing Costs of Plan
       C.   Duration of the Brownfield Plan
       D.   Displacement/Relocation of Individuals on
            Eligible Properties
       E.   Local Site Remediation Revolving Fund

III.   SITE SPECIFIC PROVISIONS

       A.   Kirksey/Anaconda Property (Approved 4/14/98)
       B.   Dilesco Corporation Property (Approved 8/11/98)
       C.   Beacon Recycling (Approved 7/11/00)
       D.   Verplank Dock Company (Approved 5/27/03)
       E.   Gillespie Development Property (Approved 8/12/03)
       F.   Loft Properties, LLC Property (Approved 8/12/03)
       G.   Parmenter O’Toole Property (Approved 8/12/03)
       H.   “The WaterMark” Project (Approved 5/25/04)
       I.   Northern Machine Tool (Approved 7/13/04)
       J.   Terrace Lots Office Building (Approved 7/13/04)
       K.   Art Works Apartments (Approved 7/27/04)
       L.   Former Muskegon Mall (Approved 10/12/04)
       M.   Vida Nova at Edison Landing (Approved 10/24/06)
       N.   Western Ave. Properties LLC and Port City Development Services, LLC
            (Approved 10/24/06)
       O.   Viridian Place at Edison Landing (Approved 10/24/06)
       P.   Hot Rod Harley (Approved 3//27/07)
       Q.   Sidock Building Project (Approved 6/12/07)
       R.   Heritage Square Town Homes (Approved 1/8/08)
       S.   Betten Auto Dealerships (Approved 5/13/08)
       T.   Parkland Muskegon Mixed Use Project (Approved 6/24/08)
       U.   Terrace Point Landing Redevelopment Project (Approved 5/14/13)
       V.   P&G Holdings NY, LLC (Approved 1/10/17)
       W.   Sweetwater Development/The Leonard (Approved 3/12/19)
       X.   1208 Eighth/Core Development (Approved 10/8/19)
       Y.   Damfino Development, LLC (12/10/19)
       Z.   Harbor West, LLC Development Project (____)




                                          ii                              5/7/2020
                          City of Muskegon Brownfield Plan Amendment
                              Harbor West, LLC Development Project



I. INTRODUCTION

In order to promote the revitalization of commercial, industrial, and residential properties
within the boundaries of the City of Muskegon (the “City”), the City established the City
of Muskegon Brownfield Redevelopment Authority (the “Authority”) pursuant to Act 381,
Public Acts of Michigan, as amended (“Act 381”) and a resolution adopted by the
Muskegon City Commission on February 10, 1998. Terms defined in Act 381 and
applicable sections of the statute are noted in italics throughout this document.

This Brownfield Plan (“Plan”) was originally intended to address the redevelopment of
eligible properties within the City that are impacted by the presence of hazardous
substances in concentrations that exceed Michigan’s Part 201 Generic Cleanup Criteria
(“facilities”) or that have been determined to be Functionally Obsolete or Blighted. By
facilitating redevelopment of underutilized eligible properties, the Plan is intended to
promote economic growth for the benefit of the residents of the City and all taxing units
located within and benefited by the Authority.

This Plan is intended to be a living document, which can be amended as necessary to
achieve the purposes of Act 381. It is specifically anticipated that properties will be
continually added to the Plan as new projects are identified. The Plan contains general
provisions applicable to the Plan, as well as property-specific information for each
project. The applicable Sections of Act 381 are noted throughout the Plan for reference
purposes.

This Brownfield Plan contains the information required by Section 13(2) of Act 381, as
amended. Additional information is available from the Muskegon City Manager or the
Director of Planning and Economic Development.

II. GENERAL PROVISIONS

A. Costs of the Brownfield Plan (Section 13(2)(a))

Any site-specific costs of implementing this Plan are described in the site-specific
section of the Plan. Site-specific sources of funding may include tax increment financing
revenue generated from new development on eligible brownfield properties, state and
federal grant or loan funds, and/or private parties. Where private parties finance the
costs of eligible activities under the Plan, tax increment revenues may be used to
reimburse the private parties. The initial costs related to preparation of the Brownfield
Plan were funded by the City’s general fund. Subsequent amendments to the Plan may
be funded by the person requesting inclusion of a project in the Plan, and if eligible, may
be reimbursed through tax increment financing.

The Authority intends to pay for administrative costs and all of the things necessary or
convenient to achieve the objectives and purposes of the Authority with fees charged to
applicants to be included in the Plan, and any eligible tax increment revenues collected
pursuant to the Plan, in accordance with the provisions of Act 381, including, but not
limited to:

   i)      the cost of financial tracking and auditing the funds of the Authority,



                                              1                                      5/7/2020
                           City of Muskegon Brownfield Plan Amendment
                               Harbor West, LLC Development Project



   ii)     costs for amending and/or updating the Plan, including legal fees, and
   iii)    costs for Plan implementation

Tax increment revenues that may be generated and captured by this Plan are identified
in the site-specific sections of this Plan.

B. Method for Financing Costs of Plan and Bonded Indebtedness (Section
13(2)(d) and (e))

The City or Authority may incur some debt on a site-specific basis. Please refer to the
site-specific section of this Plan for details on any debt to be incurred by the City or
Authority. When a property proposed for inclusion in the Plan is in an area where tax
increment financing is a viable option, the Authority intends to enter into Development
and Reimbursement Agreements with the property owners/developers of properties
included in the Plan to reimburse them for the costs of eligible activities undertaken
pursuant to the Plan. Financing arrangements will be specified in the Development and
Reimbursement Agreement, and also identified in the Site Specific section of the Plan.

C. Duration of the Brownfield Plan (Section 13(2)(f))

The Plan, as it applies to a specific eligible property, shall be effective up to five (5)
years after the year in which the total amount of any tax increment revenue captured is
equal to the total costs of eligible activities attributable to the specific property, or thirty
(30) years from the date of first tax capture under the Plan as it relates to an individual
site, whichever is less. The total costs of eligible activities include the cost of principal
and interest on any note or obligation issued by the Authority to pay for the costs of
eligible activities, the reasonable costs of a Work Plan, the actual costs of the Michigan
Environmental Great Lakes & Energy or Michigan Strategic Fund’s review of the Work
Plan and implementation of the eligible activities, as applicable.

D. Displacement/Relocation of Individuals on Eligible Properties
   (Section 13(2)(i),(j)(k)(l)

At this time, eligible properties identified in the Plan do not contain residences, nor are
there any current plans or intentions by the City for identifying eligible properties that will
require the relocation of the residences. Therefore the provisions of Section 13(2)(i-l)
are not applicable at this time.

E. Local Site Remediation Revolving Fund (Section 8; Section 13(5)(b))

Whenever the Plan includes a property for which taxes will be captured through Tax
Increment Financing (TIF) provided by Act 381, it is the Authority's intent to establish a
Local Brownfield Revolving Fund ("Fund"). The Fund will consist of tax increment
revenues that exceed the costs of eligible activities incurred on an eligible property, as
specified in Section 13(5) of Act 381. Section 13(5) authorizes the capture of TIF from
an eligible property for up to 5 years after the time that capture is required for the
purposes of reimbursing the costs of eligible activities identified in the Plan. It is the
intention of the Authority to continue to capture tax increment revenues for 5 years after
eligible activities are funded from those properties identified for tax capture in the Plan,



                                               2                                        5/7/2020
                           City of Muskegon Brownfield Plan Amendment
                               Harbor West, LLC Development Project



provided that the time frame allowed by Act 381 for tax capture is sufficient to
accommodate capture to capitalize a Fund. The amount of school operating taxes
captured for the Fund will be limited to the amount of school operating taxes captured for
eligible department specific activities under the Plan. It may also include funds
appropriated or otherwise made available from public or private sources.

The Fund may be used to reimburse the Authority, the City, and private parties for the
costs of eligible activities at eligible properties and other costs as permitted by Act 381.
It may also be used for eligible activities on an eligible property for which there is no
ability to capture tax increment revenues. The establishment of the Fund will provide
additional flexibility to the Authority in facilitating redevelopment of brownfield properties
by providing another source of financing for necessary eligible activities.

III. SITE SPECIFIC PROVISIONS

Z. Harbor West, LLC Development Project

Eligibility and Project Description (Sec. 13(2)(h))

Project Description

Harbor West, LLC (“Harbor West”) intends to develop approximately 3.01 acres of land
located at 1000, 1010 and 1060 West Western Avenue in Muskegon, MI (the “Property”)
into residential site condominiums (the “Project”). The Project will include the
construction of an initial ten (10) new market-rate site condominiums, associated site
improvements and marina improvements to the adjacent Hartshorn Marina located at
920 West Western Avenue (“Marina Property”). The Project will include department
specific activities, demolition, site preparation and infrastructure improvement activities
in order to prepare the Property and Marina Property for redevelopment. A proposed
site plan is included in Attachment Z-2.

It is anticipated that the Plan will be amended at a later date to include additional costs
for future phases of development. The estimated total capital investment to complete
Phase I of the Project is estimated to be approximately $5+ million.

The eligible property included in this Plan consists of four parcels of property totaling
15.41 acres in the City of Muskegon, Michigan (see Attachment Z-3).

This eligible property includes all existing real and all new taxable personal property.

Eligibility

The 1000 West Western property meets the definition of a “facility” as defined by Part
201 of Natural Resources and Environmental Protection Act (Act 451 of 1994) due to the
presence of select metals found in shallow soil intervals that are consistent with area-
wide contaminated historical fill. Total mercury, copper, arsenic, selenium, and silver
were detected in shallow soil throughout the area exceeding the groundwater surface
water interface protection criteria, while arsenic concentrations also exceeding the
residential drinking water and direct contact criterion. The 920, 1010 and 1060 West



                                               3                                       5/7/2020
                          City of Muskegon Brownfield Plan Amendment
                              Harbor West, LLC Development Project



Western parcels are adjacent and contiguous to the 1000 West Western property and
development of these parcels is expected to increase its taxable value. Therefore, the
parcels are considered “eligible property” under Act 381.

Eligible Activities, Financing, Cost of Plan (Sec. 13(2)(a), (b), (c), (g))

It is intended that the amended Plan shall provide for reimbursement of eligible activities
conducted on the Property and Marina Property, including department specific activities
(i.e. Phase I and II Environmental Site Assessment and Due Care), demolition, site
preparation, infrastructure improvements, brownfield plan/work plan preparation and
development, including all associated professional fees. TIF revenues generated from
the Project will first be used to reimburse the cost of eligible activities undertaken by the
developer and City of Muskegon, in accordance with a development and reimbursement
agreement to be executed by the parties. Following full reimbursement of the eligible
activities included in this Plan, TIF generated by the Property may be used for any other
purpose allowable under Act 381 and the Plan.

The following are eligible activities that may be reimbursed through TIF revenues:


1.        Department Specific Activities: Activities necessary for the developer to
          undertake its environmental due diligence, and any necessary costs related to
          Due Care obligations, including preparation of a Due Care Plan and
          implementation of Due Care Response Activities and Phase I, II and BEAs.
          Vapor barriers and mitigation systems, demarcation markers, contaminated
          soil excavation, transportation and disposal, environmental investigations and
          oversight. Costs are estimated at $250,000.

2.        Demolition:    Demolition will include removal of existing pavement, curbs,
          gutters and site improvements. Demolition is necessary in order to prepare
          the project for the proposed development. Demolition activities costs are
          estimated at $19,500.

3.        Site Preparation: Site Preparation on the Property will include mobilization &
          demobilization, erosion control activities, dewatering, temporary traffic &
          construction signage, staking, clearing and grubbing, temporary facility,
          temporary site control, utility relocation, cut and fill, soil compaction and sub-
          base, mass grading/land balancing, unstable soil removal and backfill,
          geotechnical engineering, special foundations, and retaining walls. Site
          Preparation activities costs are estimated at $626,000.

4.        Infrastructure Improvements: Infrastructure Improvements will include new
           water main, sanitary and storm sewer systems, walkways, bike paths,
           roadways, curb and gutter, gas and electric lines, public marina
           improvements, including a pool and a clubhouse. Infrastructure Improvement
           activities costs are estimated at $3,946,000.

5.        Contingency:   A 15% contingency is included to cover unexpected cost
          overruns encountered during construction totaling $726,225.



                                              4                                      5/7/2020
                                  City of Muskegon Brownfield Plan Amendment
                                      Harbor West, LLC Development Project




           6.       Brownfield/Work Plan Preparation and Development:           Costs incurred to
                    prepare and develop this brownfield plan is estimated at $30,000.

           An estimate of the captured taxable value and tax increment revenues, which includes
           the impact on the taxing jurisdictions, is attached as Attachment Z-5.

           Effective Date of Inclusion in Brownfield Plan

           The Harbor West LLC Development Project was added to this Plan on ________. It is
           intended the duration of the Plan capture is the lesser of the full reimbursement of
           eligible activities or 30 years with capture beginning in 2021.


17011359




                                                      5                                  5/7/2020
         City of Muskegon Brownfield Plan Amendment
             Harbor West, LLC Development Project




              ATTACHMENT Z-1

                SITE MAP
HARBOR WEST, LLC REDEVELOPMENT PROJECT




                             6                        5/7/2020
City of Muskegon Brownfield Plan Amendment
    Harbor West, LLC Development Project




                    7                        5/7/2020
        City of Muskegon Brownfield Plan Amendment
            Harbor West, LLC Development Project




             ATTACHMENT Z-2

        PROPOSED SITE PLAN
HARBOR WEST, LLC DEVELOPMENT PROJECT




                            8                        5/7/2020
                     City of Muskegon Brownfield Plan Amendment
                         Harbor West, LLC Development Project




                          ATTACHMENT Z-3

                       LEGAL DESCRIPTION

Parcel 4:
THOSE PARTS OF BLOCKS 574 AND 575, REVISED PLAT (OF 1903) OF THE
CITY OF MUSKEGON, MUSKEGON COUNTY, MICHIGAN, DESCRIBED AS
FOLLOWS: COMMENCING AT THE SOUTHEASTERLY CORNER OF BLOCK
574 OF SAID REVISED PLAT (OF 1903) OF THE CITY OF MUSKEGON;
THENCE NORTH 88°43’ WEST 270.42 FEET (M=NORTH 84°41’53” WEST 270.27
FEET) TO A POINT ON THE NORTHERLY LINE OF WEST WESTERN AVENUE FOR
A POINT OF BEGINNING;
THENCE WESTERLY ALONG THE NORTHERLY LINE OF WEST WESTERN AVENUE
457.28 FEET (M=NORTH 80°29’18” WEST 457.02 FEET); THENCE NORTH 2°04’
WEST 492.92 FEET; THENCE SOUTH 47°05’ EAST 236.7 FEET; THENCE
CONTINUING SOUTH 47°04’ EAST TO A POINT 100 FEET NORTH OF AND NORTH
1°40’ WEST OF THE POINT OF BEGINNING. TOGETHER WITH THE C & O
RAILWAY COMPANY RIGHT OF WAY RUNNING THROUGH THE ABOVE
DESCRIBED PARCEL, EXCEPT THAT PART WHICH WAS DEEDED TO THE CITY
OF MUSKEGON AS RECORDED IN LIBER 2138, PAGES 751 AND 752.

Property Address: 1000 W. Western Avenue, Muskegon, Michigan

Tax Parcel No.: 61-24-205-574-0001-10




                                         9                        5/7/2020
                        City of Muskegon Brownfield Plan Amendment
                            Harbor West, LLC Development Project




Property Address: 1010 W. Western Avenue, Muskegon, Michigan

Tax Parcel No.: 61-24-205-574-0001-15




Property Address: 1060 W. Western Avenue, Muskegon, Michigan

Parcel: #61-24-205-574-0001-05


Parcel 1:
All that part of Block 574 and 575 of the Revised Plat (of 1903) of the City of
Muskegon, lying Northerly and Easterly of the following described boundary lines:
(EXCEPT the right of way of the Chesapeake and Ohio Railway Co.)
Commence at an iron bolt (original) located at the Southeast corner of Block 574 of
the Revised Plat of the City of Muskegon, Muskegon County, Michigan; thence North
88°43' West 270.42 feet for a place of beginning; thence North 1°40' West 345.42
feet; thence North 84°6' West 290.81 feet; thence North 47°5' West 236.7 feet; thence
North 2°4' West 175.2 feet; thence South 87°55' West 866.7 feet to an iron stake;
thence North 37° West 730 feet; thence North 48° West to the thread of the stream in
Muskegon Lake, for the place of ending of said lines.

EXCEPT FROM PARCEL 1:

BIKE PATH WEST DESCRIPTION:
THAT PART OF BLOCK 574 OF THE REVISED PLAT OF 1903 OF
THE CITY OF MUSKEGON, DESCRIBED AS: COMMENCING AT THE
SOUTHEAST CORNER OF SAID BLOCK 574; THENCE NORTH


                                           10                                  5/7/2020
                         City of Muskegon Brownfield Plan Amendment
                             Harbor West, LLC Development Project



88'13'54" WEST 270.33 FEET TO A POINT ON THE NORTH RIGHT-
OF-WAY LINE OF WESTERN AVENUE; THENCE NORTH 83'55'00"
WEST ALONG SAID NORTH RIGHT-OF-WAY LINE 456.97 FEET;
THENCE NORTH 01'31'44" WEST 470.34 FEET TO THE POINT OF
BEGINNING; THENCE NORTH 46'32'44" WEST 257.11 FEET;
THENCE SOUTH 88'27'16" WEST 684.39 FEET; THENCE NORTH
01'31'44" WEST 16.00 FEET; THENCE NORTH 88'27'26" EAST 691.04
FEET; THENCE SOUTH 46'32'44" EAST 247.70 FEET; THENCE
SOUTH 01'31'44" EAST 22.62 FEET TO THE POINT OF BEGINNING.

BIKE PATH EAST DESCRIPTION:
THAT PART OF BLOCK 574 OF THE REVISED PLAT OF 1903 OF THE CITY OF
MUSKEGON, MUSKEGON COUNTY, MICHIGAN, DESCRIBED AS
COMMENCING AT THE SOUTHEAST CORNER OF SAID BLOCK 574; THENCE
NORTH 88'13'54" WEST 270.33 FEET TO A POINT ON THE NORTH RIGHT OF
WAY LINE OF WESTERN AVENUE; THENCE NORTH 01'09'31" WEST 100.00
FEET; THENCE NORTH 46'31'44" WEST 118.61 FEET TO THE POINT OF
BEGINNING; THENCE NORTH 61'45'12" WEST 60.93 FEET; THENCE NORTH
46'31'44" WEST 227.22 FEET;THENCE NORTH 46'32'44" WEST 220.80 FEET;
THENCE NORTH 01'31'44" WEST 22.62 FEET; THENCE SOUTH 46'32'44" EAST
236.79 FEET; THENCE SOUTH 46'31'44" EAST 286.01 FEET TO THE POINT OF
BEGINNING.

Parcel 2:
Part of Blocks 574 and 575, as follows:
Commence at the Southeast corner of Block 574 of the Revised Plat (of 1903) of the
City of Muskegon, Muskegon County, Michigan; thence North 88°43' West 270.42 feet
to the North line of West Western Avenue; thence Westerly along the North line of West
Western Avenue 457.28 feet; thence North 2°04' West 492.92 feet to the place of
beginning; thence North 2°04' West 175.2 feet; thence South 87°55' West 175.2 feet;
thence South 47°05' East 247.75 feet to the place of beginning.
ALSO: Commence at the Southeast corner of Block 574 of the Revised Plat (of 1903) of
the City of Muskegon, Muskegon County, Michigan; thence North 88°43' West 270.42
feet to the North line of West Western Avenue; thence North 1°40' West 100 feet for a
place of beginning; thence North 1°40' West 245.42 feet; thence North 84°6' West
290.81 feet; thence Southeasterly to the place of beginning.
Parcel 3:
Part of Block 573 of the Revised Plat (of 1903) of the City of Muskegon, Muskegon
County, Michigan, described as: Commencing at the Southwest corner of said Block 573
for the point of beginning; thence North 1°40' West along the West line of said Block,
347.0 feet; thence North 21°40' West along the Westerly line of said Block, 241.0 feet;
thence North 29°28' West along the Westerly line of said Block, 187.50 feet; thence
South 35°37' East 258.20 feet; thence South 09°53' East 504.80 feet to the Northerly line
of West Western Avenue; thence South 59°34' West along said Northerly line, 53.0 feet
to the point of beginning.

Property Address: 920 W. Western Avenue, Muskegon, Michigan

Tax Parcel No.: 61-24-205-574-0001-20


                                            11                                    5/7/2020
                                 City of Muskegon Brownfield Plan Amendment
                                     Harbor West, LLC Development Project




                                      ATTACHMENT Z-4

                     SUMMARY OF ELIGIBLE ACTIVITIES
                            HARBOR WEST
                                    Eligible Activities Costs

Department Specific Activities
                                                                         $234,500
   -    Due Care
                                                                          $15,500
   -    Phase I, II & BEA
             EGLE Eligible Activities Total Cost                         $250,000
Demolition                                                                $19,500
Site Preparation
                                                                          $15,000
   -    Mobilization & Demobilization
                                                                          $7,000
   -    Silt Fence, Inlet Silt Sacks and
       other Erosion Control Activities
                                                                          $60,000
   -    Dewatering
                                                                          $6,000
   -    Temporary Traffic & Construction Signage
                                                                          $5,000
   -    Staking
                                                                          $8,000
   -    Clearing and Grubbing
                                                                          $3,000
   -    Temporary Facility
                                                                          $17,000
   -    Utility Relocation
                                                                          $35,000
   -    Cut & Fill
                                                                          $20,000
   -    Land Balancing and Mass Grading
                                                                         $130,000
   -    Soil Compaction and Sub-base
                                                                          $30,000
   -    Geotechnical Engineering
                                                                         $250,000
   -    Special Foundations
                                                                          $15,000
   -    Unstable Fill Removal and Backfill
                                                                          $25,000
   -    Retaining Walls
                         Site Preparation Sub-Total                      $626,000
Infrastructure Improvements
                                                                         $118,000
   -    Water mains
                                                                          $56,000
   -    Sanitary System
                                                                          $62,000
   -    Storm Sewer
                                                                          $8,000
   -    Walkways/Bike Paths
                                                                         $105,000
   -    Roadways
                                                                          $5,000
   -    Curb and Gutter
                                                                          $90,000
   -    Gas and Electric Lines
                                                                         $800,000
   -    Public Boat Launch Relocation – City



                                                       12                           5/7/2020
                            City of Muskegon Brownfield Plan Amendment
                                Harbor West, LLC Development Project



                                                                   $1,302,000
   -   Marina Dock Systems - City
                                                                   $1,400,000
   -  Pool and Clubhouse - City
              Infrastructure Improvements Sub-Total                $3,946,000
        Total Eligible Activities Total Cost                       $4,841,500
              Contingency (15%)                                     $726,225
Brownfield Plan Preparation and Development                          $30,000
                        TOTAL ELIGIBLE ACTIVITIES                  $5,597,725




                                               13                               5/7/2020
 City of Muskegon Brownfield Plan Amendment
     Harbor West, LLC Development Project




      ATTACHMENT Z-5

TAX CAPTURE ESTIMATES
     HARBOR WEST




                    14                        5/7/2020
                                                                                                                                                                                                        Tax Increment Revenue Capture Estimates
                                                                                                                                                                                                                      Harbor West
                                                                                                                                                                                                                  Muskegon, Michigan
                                                                                                                                                                                                                      May 7, 2020




                                      Estimated Taxable Value (TV) Increase Rate:
                                                                                    1.50%
                                                                       Plan Year            1                2                3                  4                  5                 6                     7                  8                  9                  10                 11                  12                  13                 14                 15                 16                 17                 18
                                                                  Calendar Year         2020                2021             2022               2023               2024              2025                  2026               2027               2028               2029               2030                2031                2032               2033               2034               2035               2036               2037
                                                            Base Taxable Value $        127,700         $   127,700      $     127,700      $        127,700   $    127,700      $     127,700      $        127,700      $     127,700      $     127,700      $     127,700      $         127,700   $         127,700   $     127,700      $     127,700      $     127,700      $     127,700      $     127,700      $     127,700
                                                             Estimated New TV $         127,700         $   150,000      $   1,125,000 $         2,475,000 $       2,512,125     $   2,549,807      $      2,588,054      $   2,626,875      $    2,666,278     $   2,706,272      $    2,746,866      $    2,788,069      $   2,829,890 $        2,872,339      $   2,915,424      $   2,959,155      $   3,003,542      $   3,048,595
                                    Incremental Difference (New TV - Base TV) $                 -       $    22,300      $     997,300      $    2,347,300     $   2,384,425     $   2,422,107      $      2,460,354      $   2,499,175      $   2,538,578      $   2,578,572      $    2,619,166      $    2,660,369      $   2,702,190      $   2,744,639      $   2,787,724      $   2,831,455      $   2,875,842      $   2,920,895


School Capture                               Millage Rate
State Education Tax (SET)                             6.0000                        $           -       $          134   $          5,984   $         14,084   $        14,307   $        14,533    $           14,762    $        14,995    $        15,231    $         15,471   $          15,715   $          15,962   $         16,213   $         16,468   $         16,726   $         16,989   $         17,255   $         17,525
                            School Total              6.0000                        $           -       $          134   $          5,984   $         14,084   $        14,307   $        14,533    $           14,762    $        14,995    $        15,231    $         15,471   $          15,715   $          15,962   $         16,213   $      16,468      $         16,726   $         16,989   $         17,255   $         17,525


Local Capture                                Millage Rate
City Operating                                       10.0865                        $               -   $          225   $        10,059    $         23,676   $        24,051   $        24,431    $           24,816    $        25,208    $        25,605    $         26,009   $          26,418   $          26,834   $         27,256   $         27,684   $         28,118   $         28,559   $         29,007   $         29,462
County Operating                                      5.6984                        $               -   $          127   $          5,683   $         13,376   $        13,587   $        13,802    $           14,020    $        14,241    $        14,466    $         14,694   $          14,925   $          15,160   $         15,398   $         15,640   $         15,886   $         16,135   $         16,388   $         16,644
City Sanitation                                       3.0000                        $               -   $           67   $          2,992   $          7,042   $         7,153   $          7,266   $             7,381   $          7,498   $          7,616   $          7,736   $           7,857   $           7,981   $          8,107   $          8,234   $          8,363   $          8,494   $          8,628   $          8,763
County Museum                                         0.3221                        $               -   $            7   $           321    $           756    $          768    $           780    $              792    $           805    $           818    $           831    $            844    $            857    $           870    $           884    $           898    $           912    $           926    $           941
Senior Services                                       0.5000                        $               -   $           11   $           499    $          1,174   $         1,192   $          1,211   $             1,230   $          1,250   $          1,269   $          1,289   $           1,310   $           1,330   $          1,351   $          1,372   $          1,394   $          1,416   $          1,438   $          1,460
County Veterans                                       0.0752                        $               -   $            2   $            75    $           177    $          179    $           182    $              185    $           188    $           191    $           194    $            197    $            200    $           203    $           206    $           210    $           213    $           216    $           220
Central Dispatch                                      0.3000                        $               -   $            7   $           299    $           704    $          715    $           727    $              738    $           750    $           762    $           774    $            786    $            798    $           811    $           823    $           836    $           849    $           863    $           876
Comm College                                          2.2037                        $               -   $           49   $          2,198   $          5,173   $         5,255   $          5,338   $             5,422   $          5,507   $          5,594   $          5,682   $           5,772   $           5,863   $          5,955   $          6,048   $          6,143   $          6,240   $          6,337   $          6,437
MAISD                                                 4.7580                        $               -   $          106   $          4,745   $         11,168   $        11,345   $        11,524    $           11,706    $        11,891    $        12,079    $         12,269   $          12,462   $          12,658   $         12,857   $         13,059   $         13,264   $         13,472   $         13,683   $         13,898
Hackley Library                                       2.4000                        $               -   $           54   $          2,394   $          5,634   $         5,723   $          5,813   $             5,905   $          5,998   $          6,093   $          6,189   $           6,286   $           6,385   $          6,485   $          6,587   $          6,691   $          6,795   $          6,902   $          7,010
                              Local Total            29.3439                        $           -       $          654   $        29,265    $         68,879   $        69,968   $        71,074    $           72,196    $        73,336    $        74,492    $         75,665   $          76,857   $          78,066   $         79,293   $      80,538      $         81,803   $         83,086   $         84,388   $         85,710


Non-Capturable Millages                      Millage Rate
Comm College Debt                                     0.3400                        $               -   $            8   $           339    $           798    $          811    $           824    $              837    $           850    $           863    $           877    $            891    $            905    $           919    $           933    $           948    $           963    $           978    $           993
Hackley Debt                                          0.4522                        $               -   $           10   $           451    $          1,061   $         1,078   $          1,095   $             1,113   $          1,130   $          1,148   $          1,166   $           1,184   $           1,203   $          1,222   $          1,241   $          1,261   $          1,280   $          1,300   $          1,321
MPS Debt - 1995                                       3.9600                        $               -   $           88   $          3,949   $          9,295   $         9,442   $          9,592   $             9,743   $          9,897   $        10,053    $         10,211   $          10,372   $          10,535   $         10,701   $         10,869   $         11,039   $         11,213   $         11,388   $         11,567
MPS Debt - 2009                                       3.4000                        $               -   $           76   $          3,391   $          7,981   $         8,107   $          8,235   $             8,365   $          8,497   $          8,631   $          8,767   $           8,905   $           9,045   $          9,187   $          9,332   $          9,478   $          9,627   $          9,778   $          9,931
School Sinking Fund                                   1.0000                        $               -   $           22   $           997    $          2,347   $         2,384   $          2,422   $             2,460   $          2,499   $          2,539   $          2,579   $           2,619   $           2,660   $          2,702   $          2,745   $          2,788   $          2,831   $          2,876   $          2,921
             Total Non-Capturable Taxes               9.1522                        $           -       $          204   $          9,127   $         21,483   $        21,823   $        22,168    $           22,518    $        22,873    $        23,234    $         23,600   $          23,971   $          24,348   $         24,731   $      25,119      $         25,514   $         25,914   $         26,320   $         26,733




                      Total Tax Increment Revenue (TIR) Available for Capture $                     -   $          788   $        35,248    $         82,963   $        84,275   $        85,607    $           86,959    $        88,331    $        89,723    $         91,137   $          92,572   $          94,028   $         95,506   $         97,006   $         98,529   $     100,075      $     101,643      $     103,236

Footnotes:
Assumes Millage Rates remain unchanged
TV increases assumed based on lot sales and new construction of homes
Annual inflation of 1.5% assumed following construction completion




                                                                                                                                                                                                                                                                                                                                                                                                                                             April 2017
                                                                                                                                                            Tax Increment Revenue Capture Estimates
                                                                                                                                                                          Harbor West
                                                                                                                                                                      Muskegon, Michigan
                                                                                                                                                                          May 7, 2020




                                      Estimated Taxable Value (TV) Increase Rate:

                                                                       Plan Year         19                 20                 21                 22                 23                 24                 25                 26                 27                 28                 29                 30                 31                TOTAL
                                                                  Calendar Year         2038               2039               2040               2041               2042               2043               2044               2045               2046               2047               2048               2049               2050
                                                            Base Taxable Value $          127,700      $     127,700      $     127,700      $     127,700      $      127,700     $     127,700      $     127,700      $     127,700      $     127,700      $     127,700      $     127,700      $     127,700      $     127,700      $     127,700
                                                             Estimated New TV $         3,094,324      $   3,140,739      $   3,187,850      $   3,235,668      $    3,284,203     $   3,333,466      $   3,383,468      $   3,434,220      $   3,485,733      $   3,538,019      $   3,591,090      $   3,644,956      $   3,699,630      $    3,699,630
                                    Incremental Difference (New TV - Base TV) $         2,966,624      $   3,013,039      $   3,060,150      $   3,107,968      $    3,156,503     $   3,205,766      $   3,255,768      $   3,306,520      $   3,358,033      $   3,410,319      $   3,463,390      $   3,517,256      $   3,571,930      $    3,571,930


School Capture                               Millage Rate
State Education Tax (SET)                             6.0000                        $         17,800   $         18,078   $         18,361   $         18,648   $         18,939   $         19,235   $         19,535   $         19,839   $         20,148   $         20,462   $         20,780   $         21,104   $         21,432   $     496,714
                            School Total              6.0000                        $         17,800   $         18,078   $         18,361   $         18,648   $         18,939   $         19,235   $         19,535   $         19,839   $         20,148   $         20,462   $         20,780   $         21,104   $         21,432   $     496,714


Local Capture                                Millage Rate
City Operating                                       10.0865                        $         29,923   $         30,391   $         30,866   $         31,349   $         31,838   $         32,335   $         32,839   $         33,351   $         33,871   $         34,398   $         34,933   $         35,477   $         36,028   $     835,018
County Operating                                      5.6984                        $         16,905   $         17,170   $         17,438   $         17,710   $         17,987   $         18,268   $         18,553   $         18,842   $         19,135   $         19,433   $         19,736   $         20,043   $         20,354   $     471,746
City Sanitation                                       3.0000                        $          8,900   $          9,039   $          9,180   $          9,324   $          9,470   $          9,617   $          9,767   $          9,920   $         10,074   $         10,231   $         10,390   $         10,552   $         10,716   $     248,357
County Museum                                         0.3221                        $           956    $           970    $           986    $          1,001   $          1,017   $          1,033   $          1,049   $          1,065   $          1,082   $          1,098   $          1,116   $          1,133   $          1,151   $      26,665
Senior Services                                       0.5000                        $          1,483   $          1,507   $          1,530   $          1,554   $          1,578   $          1,603   $          1,628   $          1,653   $          1,679   $          1,705   $          1,732   $          1,759   $          1,786   $      41,393
County Veterans                                       0.0752                        $           223    $           227    $           230    $           234    $           237    $           241    $           245    $           249    $           253    $           256    $           260    $           264    $           269    $        6,225
Central Dispatch                                      0.3000                        $           890    $           904    $           918    $           932    $           947    $           962    $           977    $           992    $          1,007   $          1,023   $          1,039   $          1,055   $          1,072   $      24,836
Comm College                                          2.2037                        $          6,538   $          6,640   $          6,744   $          6,849   $          6,956   $          7,065   $          7,175   $          7,287   $          7,400   $          7,515   $          7,632   $          7,751   $          7,871   $     182,435
MAISD                                                 4.7580                        $         14,115   $         14,336   $         14,560   $         14,788   $         15,019   $         15,253   $         15,491   $         15,732   $         15,978   $         16,226   $         16,479   $         16,735   $         16,995   $     393,894
Hackley Library                                       2.4000                        $          7,120   $          7,231   $          7,344   $          7,459   $          7,576   $          7,694   $          7,814   $          7,936   $          8,059   $          8,185   $          8,312   $          8,441   $          8,573   $     198,686
                              Local Total            29.3439                        $         87,052   $         88,414   $         89,797   $         91,200   $         92,624   $         94,070   $         95,537   $         97,026   $         98,538   $     100,072      $     101,629      $     103,210      $     104,814      $    2,429,254


Non-Capturable Millages                      Millage Rate
Comm College Debt                                     0.3400                        $          1,009   $          1,024   $          1,040   $          1,057   $          1,073   $          1,090   $          1,107   $          1,124   $          1,142   $          1,160   $          1,178   $          1,196   $          1,214   $      28,147
Hackley Debt                                          0.4522                        $          1,342   $          1,362   $          1,384   $          1,405   $          1,427   $          1,450   $          1,472   $          1,495   $          1,519   $          1,542   $          1,566   $          1,591   $          1,615   $      37,436
MPS Debt - 1995                                       3.9600                        $         11,748   $         11,932   $         12,118   $         12,308   $         12,500   $         12,695   $         12,893   $         13,094   $         13,298   $         13,505   $         13,715   $         13,928   $         14,145   $     327,831
MPS Debt - 2009                                       3.4000                        $         10,087   $         10,244   $         10,405   $         10,567   $         10,732   $         10,900   $         11,070   $         11,242   $         11,417   $         11,595   $         11,776   $         11,959   $         12,145   $     281,471
School Sinking Fund                                   1.0000                        $          2,967   $          3,013   $          3,060   $          3,108   $          3,157   $          3,206   $          3,256   $          3,307   $          3,358   $          3,410   $          3,463   $          3,517   $          3,572   $      82,786
             Total Non-Capturable Taxes               9.1522                        $         27,151   $         27,576   $         28,007   $         28,445   $         28,889   $         29,340   $         29,797   $         30,262   $         30,733   $         31,212   $         31,698   $         32,191   $         32,691   $     757,671




                      Total Tax Increment Revenue (TIR) Available for Capture $           104,852      $     106,493      $     108,158      $     109,848      $      111,563     $     113,304      $     115,072      $     116,865      $     118,686      $     120,534      $     122,410      $     124,314      $     126,246      $    2,925,968

Footnotes:
Assumes Millage Rates remain unchanged
TV increases assumed based on lot sales and new construction of homes
Annual inflation of 1.5% assumed following construction completion




                                                                                                                                                                                                                                                                                                                                                            April 2017
                                                                                                          Tax Increment Financing Reimbursement Table
                                                                                                                          Harbor West
                                                                                                                      Muskegon, Michigan
                                                                                                                           May 7, 2020




                                                   Developer
                                                   Maximum                                                School & Local    Local-Only
                                                Reimbursement                          Proportionality        Taxes           Taxes            Total                                                                                                          Estimated Capture
                                                     State                                  13.8%         $       2,454     $      -       $     2,454                                   Estimated Total                                                      Administrative Fees
                                                      Local                                 86.2%         $      15,371     $ 2,123,229    $ 2,138,600                                     Years of Plan:                   31                                State Revolving Fund
                                                     TOTAL                                                $      17,825     $ 2,123,229    $ 2,141,054                                                                                                        LBRF
                                                      EGLE                                                $      17,825     $       -      $ 17,825
                                                      MSF                                                 $         -       $       -      $       -

                                                                        2020                2021              2022         2023        2024                        2025               2026               2027               2028               2029               2030               2031
Total State Incremental Revenue                                     $              -    $       134 $             5,984 $   14,084 $                       -   $              -   $              -   $              -   $              -   $              -   $              -   $              -
State Brownfield Revolving Fund (50% of SET)                        $              -    $        (67) $          (2,992) $   (7,042) $                     -   $              -   $              -   $              -   $              -   $              -   $              -   $              -
State TIR Available for Reimbursement                               $              -    $         67 $            2,992 $     7,042 $                      -   $              -   $              -   $              -   $              -   $              -   $              -   $              -

Total Local Incremental Revenue                                     $              -    $        654 $           29,265 $        68,879 $       69,968 $            71,074 $           72,196 $           73,336 $           74,492 $           75,665 $              76,857 $        78,066
BRA Administrative Fee                                              $              -    $       (654) $         (10,000) $      (10,000) $     (10,000) $          (10,000) $         (10,000) $         (10,000) $         (10,000) $         (10,000) $            (10,000) $      (10,000)
Local TIR Available for Reimbursement                               $              -    $          - $           19,265 $        58,879 $       59,968 $            61,074 $           62,196 $           63,336 $           64,492 $           65,665 $              66,857 $        68,066

Total State & Local TIR Available                                   $              -    $            67   $      22,257     $   65,921     $    59,968         $    61,074        $    62,196        $    63,336        $    64,492        $    65,665        $      66,857      $    68,066
                                                   Beginning
DEVELOPER                                           Balance
DEVELOPER Reimbursement Balance                $      5,597,725     $ 5,597,725         $ 5,597,658       $   5,576,006     $ 5,517,127    $ 5,457,159         $ 5,396,085        $ 5,333,889        $ 5,270,553        $ 5,206,061        $ 5,140,396        $ 5,073,539        $ 5,005,474




Non-Environmental Costs                        $                -   $              -    $             -   $             -   $          -   $               -   $              -   $              -   $              -   $              -   $              -   $              -   $              -
  State Tax Reimbursement                                           $          -        $        -        $         -       $      -       $           -       $          -       $          -       $          -       $          -       $          -       $          -       $          -
  Local Tax Reimbursement                                           $          -        $        -        $         -       $      -       $           -       $          -       $          -       $          -       $          -       $          -       $          -       $          -
  Total Reimbursement Balance                                       $              -    $             -   $             -   $          -   $               -   $              -   $              -   $              -   $              -   $              -   $              -   $              -

Environmental Costs                            $          17,825    $    17,825         $     17,825      $      17,758     $          -   $               -   $              -   $              -   $              -   $              -   $              -   $              -   $              -
   State Tax Reimbursement                                          $       -           $          67     $       2,387     $      -       $           -       $          -       $          -       $          -       $          -       $          -       $          -       $          -
   Local Tax Reimbursement                                          $       -           $        -        $      15,371     $      -       $           -       $          -       $          -       $          -       $          -       $          -       $          -       $          -
   Total Reimbursement Balance                                      $    17,825         $     17,758      $           -     $          -   $               -   $              -   $              -   $              -   $              -   $              -   $              -   $              -

Local Only Costs                          $            5,579,900    $ 5,579,900         $ 5,579,900       $   5,579,900     $ 5,576,006    $ 5,517,127         $ 5,457,159        $ 5,396,085        $ 5,333,889        $ 5,270,553        $ 5,206,061        $ 5,140,396        $ 5,073,539
   Local Tax Reimbursement                                          $       -           $       -         $       3,894     $    58,879    $    59,968         $    61,074        $    62,196        $    63,336        $    64,492        $    65,665        $    66,857        $    68,066
   Total Local Only Reimbursement Balance                           $ 5,579,900         $ 5,579,900       $   5,576,006     $ 5,517,127    $ 5,457,159         $ 5,396,085        $ 5,333,889        $ 5,270,553        $ 5,206,061        $ 5,140,396        $ 5,073,539        $ 5,005,474

Total Annual Developer Reimbursement                                $              -    $            67   $      21,652     $   58,879     $    59,968         $    61,074        $    62,196        $    63,336        $    64,492        $    65,665        $      66,857      $    68,066

LOCAL BROWNFIELD REVOLVING FUND
LBRF Deposits *                                                         $           - $          - $           605 $       1,849 $                         -   $              -   $              -   $              -   $              -   $              -   $              -   $              -
       State Tax Capture                         $                  - $             - $          - $           605 $       1,849 $                         -   $              -   $              -   $              -   $              -   $              -   $              -   $              -
       Local Tax Capture                         $                  - $             - $          - $             - $            - $                        -   $              -   $              -   $              -   $              -   $              -   $              -   $              -
       Total LBRF Capture
 * Up to five years of capture for LBRF deposits after eligible activities are reimbursed. May be taken from EGLE & Local TIR only.
Footnotes:
(1) Assumes taxable value increases based on proposed build out, plus 1.5% annual increases for
inflation thereafter.

(2) Assumes Millage Rates remain constant.



                                                                                                                                                                                                                                                                                                April 2017
                                                                                                                    Tax Increment Financing Reimbursement Table
                                                                                                                                    Harbor West
                                                                                                                                Muskegon, Michigan
                                                                                                                                     May 7, 2020




                                                $ 2,449,456
                                                $    290,654
                                                $     10,101
                                                $      2,454




                                                    2032               2033               2034               2035               2036               2037               2038               2039               2040               2041               2042               2043               2044               2045
Total State Incremental Revenue              $                 -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -
State Brownfield Revolving Fund (50% of SET) $                 -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -
State TIR Available for Reimbursement        $                 -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -

Total Local Incremental Revenue                 $     79,293 $          80,538 $           81,803 $           83,086 $           84,388 $           85,710 $           87,052 $           88,414 $           89,797 $           91,200 $           92,624 $           94,070 $           95,537 $           97,026
BRA Administrative Fee                          $    (10,000) $        (10,000) $         (10,000) $         (10,000) $         (10,000) $         (10,000) $         (10,000) $         (10,000) $         (10,000) $         (10,000) $         (10,000) $         (10,000) $         (10,000) $         (10,000)
Local TIR Available for Reimbursement           $     69,293 $          70,538 $           71,803 $           73,086 $           74,388 $           75,710 $           77,052 $           78,414 $           79,797 $           81,200 $           82,624 $           84,070 $           85,537 $           87,026

Total State & Local TIR Available               $     69,293       $    70,538        $    71,803        $    73,086        $    74,388        $    75,710        $    77,052        $    78,414        $    79,797        $    81,200        $    82,624        $    84,070        $    85,537        $    87,026

DEVELOPER
DEVELOPER Reimbursement Balance                 $ 4,936,181        $ 4,865,643        $ 4,793,840        $ 4,720,754        $ 4,646,365        $ 4,570,655        $ 4,493,603        $ 4,415,188        $ 4,335,392        $ 4,254,192        $ 4,171,568        $ 4,087,498        $ 4,001,961        $ 3,914,935




Non-Environmental Costs                         $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -
  State Tax Reimbursement                       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -
  Local Tax Reimbursement                       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -
  Total Reimbursement Balance                   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -

Environmental Costs                             $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -
   State Tax Reimbursement                      $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -
   Local Tax Reimbursement                      $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -       $          -
   Total Reimbursement Balance                                     $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -

Local Only Costs                          $ 5,005,474              $ 4,936,181        $ 4,865,643        $ 4,793,840        $ 4,720,754        $ 4,646,365        $ 4,570,655        $ 4,493,603        $ 4,415,188        $ 4,335,392        $ 4,254,192        $ 4,171,568        $ 4,087,498        $ 4,001,961
   Local Tax Reimbursement                $    69,293              $    70,538        $    71,803        $    73,086        $    74,388        $    75,710        $    77,052        $    78,414        $    79,797        $    81,200        $    82,624        $    84,070        $    85,537        $    87,026
   Total Local Only Reimbursement Balance $ 4,936,181              $ 4,865,643        $ 4,793,840        $ 4,720,754        $ 4,646,365        $ 4,570,655        $ 4,493,603        $ 4,415,188        $ 4,335,392        $ 4,254,192        $ 4,171,568        $ 4,087,498        $ 4,001,961        $ 3,914,935

Total Annual Developer Reimbursement            $     69,293       $    70,538        $    71,803        $    73,086        $    74,388        $    75,710        $    77,052        $    78,414        $    79,797        $    81,200        $    82,624        $    84,070        $    85,537        $    87,026

LOCAL BROWNFIELD REVOLVING FUND
LBRF Deposits *                                  $             - $             - $          - $           - $          - $                                    -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -
       State Tax Capture                         $             - $             - $          - $           - $          - $                                    -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -
       Local Tax Capture                         $             - $             - $          - $           - $          - $                                    -   $              -   $              -   $              -   $              -   $              -   $              -   $              -   $              -
       Total LBRF Capture
 * Up to five years of capture for LBRF deposits after eligible activities are reimbursed. May be taken from EGLE & Local TIR only.
Footnotes:
(1) Assumes taxable value increases based on proposed build out, plus 1.5% annual increases for
inflation thereafter.

(2) Assumes Millage Rates remain constant.



                                                                                                                                                                                                                                                                                                              April 2017
                                             Tax Increment Financing Reimbursement Table
                                                             Harbor West
                                                         Muskegon, Michigan
                                                              May 7, 2020




                                                   2046               2047               2048               2049               2050               TOTAL
Total State Incremental Revenue              $                -   $              -   $              -   $              -   $              -   $     20,201
State Brownfield Revolving Fund (50% of SET) $                -   $              -   $              -   $              -   $              -   $    (10,101)
State TIR Available for Reimbursement        $                -   $              -   $              -   $              -   $              -   $     10,101

Total Local Incremental Revenue                $    98,538 $          100,072 $          101,629 $          103,210 $          104,814 $ 2,429,254
BRA Administrative Fee                         $   (10,000) $         (10,000) $         (10,000) $         (10,000) $         (10,000) $ (290,654)
Local TIR Available for Reimbursement          $    88,538 $           90,072 $           91,629 $           93,210 $           94,814 $ 2,138,600

Total State & Local TIR Available              $    88,538        $    90,072        $    91,629        $    93,210        $    94,814        $ 2,148,700

DEVELOPER
DEVELOPER Reimbursement Balance                $ 3,826,397        $ 3,736,325        $ 3,644,696        $ 3,551,486        $ 3,456,671        $ 3,456,671




Non-Environmental Costs                        $              -   $              -   $              -   $              -   $              -
  State Tax Reimbursement                      $          -       $          -       $          -       $          -       $          -       $        -
  Local Tax Reimbursement                      $          -       $          -       $          -       $          -       $          -       $        -
  Total Reimbursement Balance                  $              -   $              -   $              -   $              -   $              -

Environmental Costs                            $              -   $              -   $              -   $              -   $              -
   State Tax Reimbursement                     $          -       $          -       $          -       $          -       $          -       $     2,454
   Local Tax Reimbursement                     $          -       $          -       $          -       $          -       $          -       $    15,371
   Total Reimbursement Balance                 $              -   $              -   $              -   $              -   $              -

Local Only Costs                          $ 3,914,935             $ 3,826,397        $ 3,736,325        $ 3,644,696        $ 3,551,486
   Local Tax Reimbursement                $    88,538             $    90,072        $    91,629        $    93,210        $    94,814        $ 2,123,229
   Total Local Only Reimbursement Balance $ 3,826,397             $ 3,736,325        $ 3,644,696        $ 3,551,486        $ 3,456,671

Total Annual Developer Reimbursement           $    88,538        $    90,072        $    91,629        $    93,210        $    94,814        $ 2,141,054

LOCAL BROWNFIELD REVOLVING FUND
LBRF Deposits *                                  $           - $              - $           - $             - $            - $      2,454
       State Tax Capture                         $           - $              - $           - $             - $            - $      2,454
       Local Tax Capture                         $           - $              - $           - $             - $            - $          -
       Total LBRF Capture
 * Up to five years of capture for LBRF deposits after eligible activities are reimbursed. May be taken from EGLE & Local TIR only.
Footnotes:
(1) Assumes taxable value increases based on proposed build out, plus 1.5% annual increases for
inflation thereafter.

(2) Assumes Millage Rates remain constant.



                                                                                                                                                              April 2017
City of Muskegon Brownfield Plan Amendment
    Harbor West, LLC Development Project




     ATTACHMENT Z-6

FACILITY CONFIRMATION




                   15                        5/7/2020
                            BASELINE ENVIRONMENTAL ASSESSMENT
CONDUCTED PURSUANT TO SECTION 20126(1)(C) OF 1994 PA 451, PART 201,
              AMENDED, AND THE RULES PROMULGATED THEREUNDER

                                                                FOR

                                                 VACANT PROPERTY
                                          1000 W. WESTERN AVENUE
                                        MUSKEGON, MICHIGAN 49441

                                                   OCTOBER 31, 2018

                                                        Prepared for:

                                                    Harbor West, LLC
                                            108 South University Ave
                                                              Suite 6
                                        Mt. Pleasant, Michigan 48858




                                                        Prepared by:

                                    ENVIROLOGIC TECHNOLOGIES, INC.
                                             2960 Interstate Parkway
                                          Kalamazoo, Michigan 49048
                                                      (269) 342-1100
                                                           TABLE OF CONTENTS

1.    INTRODUCTION AND DISCUSSION...................................................................................... 1
       A.   OWNER/OPERATOR INFORMATION................................................................................................ 1
       B.   INTENDED USE OF PROPERTY ....................................................................................................... 1
       C.   PHASE I ESA SUMMARY RECOGNIZED ENVIRONMENTAL CONDITIONS ............................................... 1
       D.   EXCEPTIONS/DELETIONS FROM ASTM 1527-05............................................................................. 1
       E.   PHASE I ESA DATA GAPS DISCUSSION ............................................................................................ 1
       F.   SAMPLING DISCUSSION PURPOSE/METHODS ............................................................................... 2
       G.   KNOWN CONTAMINATION LOCATIONS AND ENVIRONMENTAL MEDIA ................................................ 2
       H.     ACILITY DEMONSTRATION ....................................................................................................... 3

2.    PROPERTY INFORMATION .................................................................................................. 4
       A. PROPERTY LEGAL DESCRIPTION ..................................................................................................... 4
       B. & C. SURVEY MAP, PROPERTY TAX IDENTIFICATION NUMBER(S) .......................................................... 4
       D. LOCATION MAP ......................................................................................................................... 6
       E. PROPERTY LOCATION .................................................................................................................. 8
       F. SPATIAL DATA ............................................................................................................................ 8
3.    FACILITY STATUS ................................................................................................................ 9
       A. ANALYTICAL TABLE ..................................................................................................................... 9
       B. L ABORATORY ANALYTICAL DATA SHEETS AND CHAIN OF CUSTODY ........................................................ 9
4.    IDENTIFICATION OF THE AUTHOR OF THE BEA .................................................................. 10
5.    ASTM 1527-13 PHASE I ENVIRONMENTAL SITE ASSESSMENT ............................................ 11
6.    REFERENCES .................................................................................................................... 12


                                                                    FIGURES

FIGURE 1: !"#$%!&'(#) ...................................................................................................................... 7
FIGURE 2: *%$+',-#&'.%$/'0&#-1$%"#-'2#$#............................................................................................. 5

                                                                     TABLES

TABLE 1: *)#$%#-'2#$# .......................................................................................................................... 8
TABLE 2:                                                     ................................................................................... 9
'
                                                                 APPENDICES

APPENDIX A: ,/#3+'44'5&6%7!&8+&$#-'*%$+'033+338+&$'95&6%7!-!:%";';'?@A>B


                                                                          i
                               1. INTRODUCTION AND DISCUSSION

A. Owner/Operator Information
Current Owner: Harbor West LLC


B. Intended Use of Property
Harbor West LLC purchased the property on October 30, 2018, and intends to develop the subject
property with multiple condominiums.


The subject property location map and site plan are included in Figures 1 and 2, respectively.


C. Phase I ESA Summary Recognized Environmental Conditions
Recognized environmental conditions (RECs) were identified in the June 22, 2018, Phase I
Environmental Site Assessment (ESA) report conducted by Envirologic. These RECs include the
following:


      Previous environmental studies have demonstrated the presence of contaminants at


       and surrounding area.
      The former Shaw-Walker/Lakeview Industrial Center property located across W. Western
       Avenue to the south represents a vapor encroachment threat based on the former
       detections of both chlorinated and petroleum-related contaminants in soil and
       groundwater.


D. Exceptions/Deletions from ASTM 1527-05
No exceptions to or deletions from the ASTM 1527-13 Phase I ESA standard have been identified
in the June 22, 2018, Phase I ESA.


E. Phase I ESA Data Gaps Discussion
A data gap is the inability to obtain information within the scope of the Phase I ESA. No data gaps
were encountered for the Phase I ESA.


A data failure is the absence of information typically used to complete a Phase I ESA. No data
failures were encountered for the Phase I ESA.



                                                 1
F. Sampling Discussion Purpose/Methods
On October 24 25, 2017, Envirologic initiated and completed field activities at the subject
property in order to characterize soil and groundwater conditions. These activities included the
installation of nine soil borings located at various locations across the subject property based on a
proposed preliminary site plan layout. The boring locations were selected based on the locations
of various features shown in the preliminary site plan, such as residencies (GP-1 through GP-7), a
playground (GP-9), and a swimming pool (GP-8). Activities also included the collection of shallow
soil samples (6 inches below the ground surface) in order to characterize soils for direct contact
exposures. Deeper soil samples (approximately 2 6 feet below the ground surface) were collected
to better characterize the historically contaminated fill-type soils at the subject property and in
the surrounding Muskegon Lake area. Because of previous environmental investigations that
identified the presence of trichloroethene and vinyl chloride in groundwater, groundwater
samples were collected from temporary monitoring wells that were installed in each of the soil
borings. All the soil samples were submitted for analysis of select metals and polynuclear
aromatic hydrocarbons (PNAs, method 8270), and all of the groundwater samples were submitted
for volatile organic compound (VOC) analysis (method 8260). Soil samples were not analyzed for
VOCs since there was no evidence of VOC impact such as significant photoionization detector
(PID) readings, staining, odors, etc. in soil.


A review of the soil analytical results indicates that the detection of PNAs was limited to one
boring location, GP-1, located in the northwest corner of the subject property. The reported
concentrations of the 10 PNA constituents detected do not exceed any current MDEQ Residential
or Non-Residential cleanup criterion. Select metals were detected in each of the soil samples
collected. Of those metals detected, total mercury, copper, arsenic, selenium, and silver were
detected in concentrations exceeding the groundwater surface water interface protection criteria;
the concentration of arsenic also exceeded the residential drinking water and direct contact
criterion.


The Phase II ESA laboratory analytical results demonstrate that the subject property meets the
                       ,                     201 of NREPA.


G. Known Contamination Locations and Environmental Media
Soil contaminants detected on the subject property exceeding cleanup criteria were found site-
wide at all nine soil boring locations and included arsenic, copper, selenium, silver, and mercury.
Selenium concentrations exceed cleanup criteria in every boring except GP-6, located in the

                                                  2
eastern portion of the property beneath proposed residencies. Silver concentrations exceed
cleanup criteria in every boring except GP-9, located in the central portion of the property at a
proposed playground area. Both arsenic and copper concentrations exceed cleanup criteria in two
boring locations: GP-2, located beneath proposed residencies in the northwest portion of the
property, and GP-5, located beneath proposed residences in the eastern portion of the property.
The only detection of mercury on the property was also an exceedance. The mercury exceedance
was detected at GP-7, located near the eastern property boundary, beneath proposed residencies.


The known contamination on the property is consistent with the findings of the 2008 *C88#71'
D+)!7$'07+#EF%G+'033+338+&$'!H'I%3$!7%"'J%--'!H'(C3K+:!&' #K+'*/!7+-%&+;'(C3K+:!&;'(%"/%:#&'
prepared by Environmental Resources Management and Superior Environmental Corp. This
previous study identified the presence of contaminated historic fill soils along the Muskegon Lake
Shoreline and included samples collected from the subject property.


The presence of arsenic, copper, selenium, silver, and mercury detected in soil at concentrations
that exceed current Part 201 generic residential cleanup criteria and screening levels
demonstrates that the subject property has been
of the NREPA.


Refer to Figure 2 for a site plan detailing the sample locations and concentrations of contaminants
identified in association with the subject property.


H.


in soil on the subject property at concentrations in excess of MDEQ Residential cleanup criteria.
The contaminants identified include:


        Mercury                                            Selenium
        Copper                                             Silver
        Arsenic




                                                 3
                                  2. PROPERTY INFORMATION

A. Property Legal Description
The subject property consists of two parcels. Parcel 1 (tax identification number 61-24-205-574-
0001-10) will be purchased whole, and a portion of Parcel 2 (tax identification number 61-24-205-
574-0001-20) will be purchased. A legal description for the property being transferred and a
Property Identification Number have not yet been created.


B. & C. Survey Map, Property Tax Identification Number(s)
A scaled site map showing the subject property and sampling locations is presented as Figure 2.




                                                4
D. Location Map




                  6
 E. Property Location
 The subject property is located at 1000 W. Western Avenue in the City of Muskegon.


 F. Spatial Data


                                      Table 1: Spatial Data

           City/Village/                                       Quarter-
 County                    Town   Range   Section    Quarter               Latitude     Longitude
            Township                                           Quarter


             City of
Muskegon                   10 N   17 W      25         SE        SE       43.229411    -86.266330
           Muskegon



 Latitude and Longitude information was obtained from interpolation of aerial photography.




                                                 8
                                         3. FACILITY STATUS

A. Analytical Table


                            Table 2:
                                                                     Sample
                                                    Maximum
     Hazardous Substance           CAS Number                       Location    Media Affected
                                                  Concentration
                                                                   and Depth
              Arsenic                  7440382       8,300 µg/kg   GP-5 @ 6          Soil
              Copper                   7440508    110,000 µg/kg    GP-               Soil
          Mercury (total)               Varies       170 µg/kg     GP-               Soil
             Selenium                  7782492       880 µg/kg     GP-               Soil
               Silver                  7440224       980 µg/kg     GP-               Soil


B. Laboratory Analytical Data Sheets and Chain of Custody
The laboratory analytical data sheets are included in the November 7, 2017, Phase II ESA
completed by Envirologic, which is included in Appendix A of this Baseline Environmental
Assessment (BEA).




                                                 9
                         4. IDENTIFICATION OF THE AUTHOR OF THE BEA

The following individuals have conducted this Baseline Environmental Assessment.

F+'G+"-#7+'$/#$;'$!'$/+'=+3$'!H'!C7')7!H+33%!&#-'K&!.-+G:+'#&G'=+-%+H;'.+'8++$'$/+'G+H%&%$%!&'!H'
5&6%7!&8+&$#-',7!H+33%!&#-'#3'G+H%&+G'%&'LMA?NA@'!H'$/%3')#7$N''F+'/#6+'$/+'3)+"%H%"'OC#-%H%"#$%!&3'
=#3+G'!&'+GC"#$%!&;'$7#%&%&:;'#&G'+P)+7%+&"+'$!'#33+33'#')7!)+7$1'!H'$/+'&#$C7+;'/%3$!71'#&G'
3+$$%&:'!H'$/+'3C=Q+"$')7!)+7$1N''F+'/#6+'G+6+-!)+G'#&G')+7H!78+G'#--'#))7!)7%#$+'%&OC%7%+3'%&'
"!&H!78#&"+'.%$/'$/+'3$#&G#7G3'#&G')7#"$%"+3'3+$'H!7$/'%&'R@'SJD'MA?N'
'



David A. Stegink
Associate Vice President Senior Environmental Scientist
David A. Stegink graduated from Hope College with a Bachelor of Science degree in
Chemistry/Biology and has over 30 years of environmental related experience. Mr. Stegink has
been a Project Manager for Envirologic since 1991. Between 1984 and 1991, Mr. Stegink served as
a Chemist and Operations Manager for a commercial hazardous waste treatment facility. Mr.

Phase I and II ESAs, Baseline Environmental Assessments, Brownfield Redevelopment, hazardous
waste management, underground storage tanks, stormwater management, and environmental
policy and regulations.



Zach Curry
Project Scientist
Zach Curry worked under the supervision of Mr. Stegink
Applied Arts and Science from Muskegon Community College and a Bachelor of Geology from Grand
Valley State University. He has conducted original research and field studies in a variety of settings
from glaciated Precambrian bedrock in Minnesota to sedimentary beds in Kentucky. Mr. Curry is
proficient with ArcGIS software to map and analyze geologic features.




                                    Envirologic Technologies, Inc.
                                      2960 Interstate Parkway
                                    Kalamazoo, Michigan 49048
                                           (269) 342-1100




                                                  10
                                      City of Muskegon
                             Brownfield Redevelopment Authority
                            County of Muskegon, State of Michigan

            RESOLUTION APPROVING REVISED BROWNFIELD PLAN AMENDMENT

                     Harbor West LLC (1000-1010-106- West Western Ave.)

                                     Redevelopment Project


       Minutes of a regular meeting of the Board of the City of Muskegon Brownfield

Redevelopment Authority, County of Muskegon, State of Michigan, held on the 12th day of May

2020, at 10:30 a.m., prevailing Eastern Time.

       PRESENT:       Members

       ABSENT:        Members



       The following preamble and resolution were offered by Member              and supported by

Member ______:

       WHEREAS, a Brownfield Plan has been adopted pursuant to Act 381, Public Acts of

Michigan, 1996, as amended (“Act 381”), a copy of which is on file with the Secretary of the City of

Muskegon Brownfield Redevelopment Authority (the “Authority”); and

       WHEREAS, the Authority is authorized to approve amendments to the Brownfield Plan and

recommends the amendment to add the redevelopment of Foundry Square at 372 Morris Ave. by

Foundry Square LLC (Great Lakes Development Group and Rockford Construction Co.) for

approval to the City of Muskegon, County of Muskegon, State of Michigan (the “City”).


       NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS:

       1.     Approval of Brownfield Plan.       The Board hereby adopts and approves the

       Brownfield Plan Amendment for the Harbor West (Hartshorn Village) project and

       recommends the approval of the Brownfield Plan Amendments by the Muskegon City

       Commission.
       2.      Public Hearing.    The Board hereby requests the Muskegon City Commission to

       provide a notice of Public Hearing on the proposed Brownfield Plan Amendments, and

       further requests that such hearing notice be provided to all taxing jurisdictions. Notice of

       the time and place of the hearing shall be given pursuant to Act 267, Public Acts of

       Michigan, 1976, as amended (“Open Meetings Act”).

       3.      Deliver Resolution and Brownfield Plan to City.         The Chair of the Authority is

       directed to deliver a certified copy of this resolution and the Brownfield Plan Amendments to

       the City Clerk.

       4.      Disclaimer.   By adoption of this resolution and approval of the Brownfield Plan

       Amendments, the Authority assumes no obligation or liability to the owner, developer or

       lessor of the Eligible Property for any loss or damage that may result to such persons from

       the adoption of this resolution and Brownfield Plan Amendments.

       6.      Repealer. All resolutions and parts of resolution in conflict with the provisions of this

       resolution are hereby repealed or amended to the extent of such conflict.

       AYES:

       NAYS:



RESOLUTION DECLARED ADOPTED.


                                      ____________________________
                                      Martha Bottomley, Chair
                                      City of Muskegon Brownfield Redevelopment Authority



I hereby certify that the foregoing is a true and complete copy of a resolution adopted by the Board

of the City of Muskegon Brownfield Redevelopment Authority, County of Muskegon, State of

Michigan, at a regular meeting held on May 12, 2020, and that said meeting was conducted and

public notice of said meeting was given pursuant to and in full compliance with the Open Meetings


                                                -2-
Act, being Act 267, Public Acts of Michigan, 1976, and that the minutes of said meeting were kept

and will be or have been made available as required by said Act.



                                    _____________________________
                                    Martha Bottomley, Chair
                                    City of Muskegon Brownfield Redevelopment Authority




                                              -3-
To: Muskegon DDA/BRA
From: Dave Alexander, business development manager
Re: Monthly report
Date: 5-7-2020


Board members:
I am giving you much the same update I sent out a week ago or so to downtown board
leadership. Our partners at the Muskegon Chamber of Commerce and Visit Muskegon are doing
an outstanding job of putting the wheels back on this local economy as it relates to the
businesses and institutions that are the foundation of downtown Muskegon. Efforts are being
made to bring together tourism, hospitality, retail and restaurant/bar entities to coordinate our
“reset” and market as such. I will have a few more comments at the meeting.
Please continue to support downtown restaurants, coffee shops, specialty food
outlets and craft beverage producers as they provide take-out and curb-side services. It is
critical these small businesses survive the virus crisis and be a part of our growing downtown
when a new normal is achieved. We are all exploring outside seating options as restaurants and
beverage establishments begin to ramp back up.
Events – large scale gatherings – are an area that are most difficult as we look into the future of
staying safe and physically distant. Several have cancelled and others will follow or become
something completely different in the coming weeks. Taste of Muskegon is going to a
curbside/take out event to promote local food outlets. However, Muskegon is in a sweet spot
when it comes to the number one thing sought by travelers this year … beaches. And we have
the wide-open trails, lakes, rivers and woods for physical distancing recreation.
Some other observations:

   •   Brownfield Development Plans continue to be written and approved. Most recently, the
       $34 million plan of Great Lakes Development Group and Rockford Construction Co.
       received City Commission approval for Foundry Square, a mixed-used development on
       the Morris Street former parking lot site at Second Street. Harbor West LLC and its first
       phase of Hartshorn Village is before you Tuesday. The Windward Pointe brownfield plan
       is being amended and should be before the BRA at its June meeting. Finally, The Docks
       on the old Pigeon Hill dune site with a brownfield plan approved in December is having
       an amendment of its Planned Unit Development before the Muskegon Planning
       Commission next month or so.
   •   The Muskegon County Convention Center is back under construction and the downtown
       Shoreline Inn and Delta and are tentatively to beginning to reopen May 15.
   •   The Leonard has a construction trailer on site, always a good sign but the Lakeview Lofts
       II are stalled with the shelter-at-home.
   •   Core Realty's redevelopment at 1208 Eighth continues under construction as does
       scattered site housing developments in the Nelson Neighborhood and the final build out
       of Terrace Point Landing.
   •   Discussions between the city of Muskegon and Sand Products on the property swap of
       the Third Street Wharf and Fisherman's Landing continue.
   •   The city will be obtaining the Catholic social services building at Houston and Third in
       Midtown and an out-of-town developer is showing serious interest in the property.
   •   The redevelopment of 1144 Third -- the former Oldsmobile dealership property -- will be
       the subject of a owner-state-city developed Request for Proposals process once public
       health issues allow.
   •   Finally, the city will collaborate with the Community Foundation's public art committee
       and the Muskegon Rotary Club to launch a joint Patronicity public spaces crowd-funding
       initiative. This is the state public spaces program Downtown Muskegon used to create
       the Bark Park. The crowd funding effort will be for both the Rotary's Watch Muskegon
       Play instrumental art project slated for five downtown locations and a new major public
       art installation in the traffic circle being created with the roundabout at Beach and
       Lakeshore in Pere Marquette Park.

As you can see, many remain very optimistic on Downtown Muskegon's future. As we work
our way through this unprecedented situation, I hope you and yours are safe and healthy. For
now, stay home, stay safe, save lives. But as we begin to reopen and reset our downtown going
forward, the community will be looking to you for innovative ideas, inspiration and leadership.

Top of Page