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CITY OF MUSKEGON
CITY COMMISSION MEETING
MAY 12, 2015
CITY COMMISSION CHAMBERS @ 5:30 P.M.
MINUTES
The Regular Commission Meeting of the City of Muskegon was held at City Hall,
933 Terrace Street, Muskegon, MI at 5:30 p.m., Tuesday, May 12, 2015.
Mayor Gawron opened the meeting with prayer from Reverend Mark Miller from
Central United Methodist Church of Muskegon after which the Commission and
public recited the Pledge of Allegiance to the Flag.
ROLL CALL FOR THE REGULAR COMMISSION MEETING:
Present: Mayor Stephen Gawron, Vice Mayor Lawrence Spataro,
Commissioners Rinsema-Sybenga, Turnquist, Johnson, Hood, and German and
Deputy City Clerk, Kimberly Grimm.
2015-34 CONSENT AGENDA:
A. Approval of Minutes. CITY CLERK
SUMMARY OF REQUEST: To approve minutes of the April 28, 2015 City Commission
Meeting.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Approval of the minutes.
B. McGraft Community Building Replacement Tables and Chairs
DEPARTMENT OF PUBLIC WORKS
SUMMARY OF REQUEST: Authorize staff to purchase tables and chairs for the
McGraft Park Community Building for a total price of $9,918 from Kendrick
Stationers who submitted the lowest responsible bid.
The tables are called Indestructible Too 1200 Commercial Series. The request is
for 12 eight foot tables, 96 Rough and Ready folding chairs along with a table
and chair cart. Kendrick Stationers out of Sturgis MI is the company offering the
entire requested package. They are also specifying date of delivery with 2 hour
window period and will deliver direct to the community building.
FINANCIAL IMPACT: $9,918 from the McGraft Park Trust Fund
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Authorize staff to purchase 12 tables, 96 chairs, table
and chair cart from Kendrick Stationers.
C. New Special Event Request – “Burning Foot Beer Festival” at Pere
Marquette Park, 8/29/15 COMMUNITY AND ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: Michael Brower and the Lakeshore Brewers Guild, Inc.
have submitted a special event application for a new event to be held at Pere
Marquette Park on Saturday, August 29, 2015. The festival will highlight craft
breweries and local artists with beer tasting, food vendors, art and live music
from 3:00 to 9:00 p.m.
They are seeing City Commission approval to serve alcohol at Pere Marquette
Park for the event. The beer vendor tables will be arranged in a circle on the
beach just south of the boardwalk and concession stand, with festivities taking
place within the circle – see attached map for location. Beer will be served in 5-
ounce sample cups. They will have security personnel checking ID’s.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To approve the request
D. Application for Permit for Fireworks CITY CLERK
SUMMARY OF REQUEST: Muskegon Lakeshore Chamber of Commerce
Foundation is requesting approval of a pyrotechnics display permit for July 4,
2015 at Heritage Landing. Fire Marshall Metcalf has reviewed the request and
recommends approval contingent on inspection of the fireworks and approval
of this insurance.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Approval contingent on inspection of the fireworks
and approval of the insurance.
E. Business Improvement District – Resolution to Increase Number of Board
Members PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: The Business Improvement District (BID) was established
by the City Commission on March 10, 2015. The initial Board members meet and
a recommendation was made to add two new Board members. Also, one of
the members was unable to serve. This is a request to add Mike Hennessey from
Hennessy’s Pub & Boar’s Belly, and John Riegler from The Cheese Lady and to
replace Amanda Garabedian from First General Credit Union with Connie
Taylor.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To approve the resolution and authorize the Mayor
and Clerk’s signatures.
COMMITTEE RECOMMENDAITON: The BID Board recommended approval.
F. Request to revoke the Obsolete Property Rehabilitation Exemption
Certificate at 441 W Western Ave PLANNING & ECONOMIC
DEVELOPMENT
SUMMARY OF REQUEST: PCJ Enterprise, LLC was approved for an Obsolete
Property Rehabilitation Certificate (OPRA) on May 11, 2004 for their property at
441 W Western Ave. The certificate was approved for twelve years, expiring
December 30, 2016. The new owners of the building would like to apply for a
Commercial Facilities Exemption Certificate as part of their planned renovations,
but need to revoke the OPRA certificate before they can be granted the new
abatement. The OPRA may be revoked because the original applicants did not
proceed in good faith with the operation of the facility.
FINANCIAL IMPACT: The building would be taxed at the normal rate unless
another abatement is approved
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To revoke the Obsolete Property Rehabilitation
Certificate.
Motion by Commissioner Johnson, second by Vice Mayor Spataro to approve
the Consent Agenda as read with the exception of items G and H.
ROLL VOTE: Ayes: Turnquist, Johnson, Gawron, Hood, Spataro, German, and
Rinsema-Sybenga
Nays: None
MOTION PASSES
2015-35 ITEMS REMOVED FROM THE CONSENT AGENDA:
G. Third Quarter 2014-15 Budget Reforecast FINANCE
SUMMARY OF REQUEST: At this time staff is transmitting the Third Quarter 2014-15
Budget Reforecast which outlines proposed changes to the budget that have
come about as a result of changes in revenue projections, policy priorities, labor
contracts, updated economic conditions, or other factors.
FINANCIAL IMPACT: Significant third quarter proposed adjustments to the
budget are as follows:
General Fund revenues are reforecast to be $83,220 higher than te
second quarter reforecast. The significant changes included; 1)
property taxes increased by $102,000, 2) income taxes increased by
$180,000, 3) building permits decreased by $55,000, 4) police
department income increased by $25,000, 5) income tax penalty &
interest increased by $20,000, 6) civil infractions decreased by
$15,000, 7) traffic fines and fees increased by $13,000, 8) court fees
decreased by $10,000, and 9) operating transfer of $176,000 from
the public improvement fund has been eliminated.
General Fund expenditures are estimated to be $46,224 lower than
the second quarter reforecast. The significant changes include; 1)
police department projected decrease of $107,000, 2) fire
department projected increase of $108,448, 3) central fire station
projected increase in expenses by $15,000, 4) fire safety inspections
contractual services expense revised down by $149,000, 5) parks
maintenance decreased by $25,463, 6) McGraft Park maintenance
increased by $10,000, 7) farmer’s market adjusted up by $14,500, 8)
city promotions & public relations increased by $40,000, 9) city
manager department projected decrease of $35,000, 10)
contingency and bad debt expense projected increase of $50,000.
And 11) net reductions in planning, zoning and economic
development budgeted costs by $22,285.
BUDGET ACTION REQUIRED: City Commission approval of this reforecast will
formally amend the City’s 2014-15 budget.
STAFF RECOMMENDATION: Approval
Motion by Commissioner German, second by Commissioner Johnson to
approve the Third Quarter 2014-15 Budget Reforecast
ROLL VOTE: Ayes: Johnson, Gawron, Hood, Spataro, German, Rinsema-
Sybenga, and Turnquist.
Nays: None
MOTION PASSES
H. Acceptance of Terrace Point Circle & the extension of Terrace Point Dr.
within the Terrace Point Landing Site Condominium plat ENGINEERING
SUMMARY OF REQUEST: Adopt the resolution accepting the referenced streets
into the City’s street system even though they are not in complete compliance
with the City’s subdivision ordinance regarding radii and tangents requirements.
Staff is relying heavily on the recommendations by design engineer and traffic
engineer both of whom recommended acceptance.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Adopt the resolution.
Motion by Commissioner German, second by Vice Mayor Spataro to accept the
resolution and approve the acceptance of Terrace Point Circle & the extension
of Terrace Point Drive within the Terrace Point Landing Site Condominium plat.
Motion by Vice Mayor Spataro, second by Commissioner Rinsema-Sybenga to
amend original motion to include approval contingent upon installation of all
signs recommended by traffic engineer and contingent upon there being a 3-
year warrant for underground utilities
ROLL VOTE ON AMENDEMENT: Ayes: Gawron, Hood, Spataro, German,
Rinsema-Sybenga, Turnquist, and Johnson
Nays: None
MOTION PASSES
ROLL VOTE ON ORIGINAL MOTION: Ayes: Turnquist, Johnson, Gawron, Hood,
Spataro, German, and Rinsema-Sybenga
Nays: None
MOTION PASSES
2015-36 PUBLIC HEARINGS:
A. Establishment of a Commercial Rehabilitation District – 435 & 441 W
Western Ave. PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: Pursuant to Public Act 255 of 1978, as amended, Pigeon
Hill Brewing Company has requested the establishment of a Commercial
Redevelopment District. The creation of the district will allow the building owner
to apply for a Commercial Facilities Exemption Certificate, which will freeze the
taxable value of the building and exempt the new real property investment
from local taxes.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Establishment of the Commercial Redevelopment
District.
Public Hearing was opened to receive comments from public.
No comments received.
Motion by Vice-Mayor Spataro, second by Commissioner German to close the
public hearing and establish a Commercial Rehabilitation District for 435 & 441 W
Western Avenue
ROLL VOTE: Ayes: Spataro, German, Rinsema-Sybenga, Turnquist, Johnson,
Gawron, and Hood
Nays: None
MOTION PASSES
B. Issuance of a Commercial Facilities Exemption Certificate – Pigeon Hill
Brewing Company, LLC PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: Pursuant to Public Act 255 of 1978, as amended, Pigeon
Hill Brewing Company, LLC has requested the issuance of a Commercial
Facilities Exemption Certificate. The Certificate will freeze the taxable value of
the building and exempt the new real property investment from local taxes. The
company will be investing $500,000 in the building and will create 10 new jobs,
which qualifies them for an abatement of 12 years.
FINANCIAL IMPACT: The real property taxes would be frozen at their pre-
rehabilitated rate for the duration of the certificate
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Issuance of the Commercial Facilities Exemption
Certificate
Public Hearing was opened to receive comments from public.
Joel Kamp of 3823 Harbor Breeze answered questions of commissioners.
Motion by Commissioner Johnson, second by Vice Mayor Spataro to close the
public hearing and issue a Commercial Facilities Exemption Certificate to
Pigeon Hill Brewing Company, LLC
ROLL VOTE: Ayes: German, Rinsema-Sybenga, Turnquist, Johnson, Gawron,
Hood, and Spataro
Nays: None
MOTION PASSES
C. Establishment of a Commercial Rehabilitation District – 896 Jefferson St.
PLANNING & ECONIMIC DEVELOPMENT
SUMMARY OF REQUEST: Pursuant to Public Act 255 of 1978, as amended, 896
Jefferson, LLC has requested the establishment of a Commercial
Redevelopment District. The creation of the district will allow the building owner
to apply for a Commercial Facilities Exemption Certificate, which will freeze the
taxable value of the building and exempt the new real property investment
from local taxes.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Establishment of the Commercial Redevelopment
District.
Public Hearing was opened to receive comments from public.
No comments received.
Motion by Commissioner Turnquist, second by Commissioner Hood to close the
public hearing and establish a Commercial Rehabilitation District for 896
Jefferson St.
ROLL VOTE: Ayes: Gawron, Hood, Spataro, German, Rinsema-Sybenga,
Turnquist, and Johnson
Nays: None
MOTION PASSES
D. Issuance of a Commercial Facilities Exemption Certificate – 896
Jefferson, LLC PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: Pursuant to Public Act 255 of 1978, as amended, 896
Jefferson, LLC has requested the issuance of a Commercial Facilities Exemption
Certificate. The certificate will freeze the taxable value of the building and
exempt the new real property investment from local taxes. The company will be
investing over $359,000 in the building and will create 60 new jobs, which
qualifies them for an abatement of 12 years.
FINANCIAL IMPACT: The real property taxes would be frozen at their pre-
rehabilitated rate for the duration of the certificate
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Issuance of the Commercial Facilities Exemption
Certificate.
Public Hearing was opened to receive comments from public.
Chris Nass, 2411 Lake Avenue answered questions of commissioners.
Cindy Ackerman, 1408 Lakeshore Court asked questions about the investment
Anthony Hall, Greater Believer Apostolic Faith Church asked about including
minorities in opportunity to lease a hair salon suite.
Motion by Vice Mayor Spataro, second by Commissioner Rinsema-Sybenga to
close the public hearing and issue a Commercial Facilities Exemption Certificate
to 896 Jefferson, LLC
ROLL VOTE: Ayes: Hood, Spataro, German, Rinsema-Sybenga, Turnquist,
Johnson, and Gawron
Nays: None
MOTION PASSES
E. Establishment of a Commercial Rehabilitation District –165 W Clay
PLANNING & ECONIMIC DEVELOPMENT
SUMMARY OF REQUEST: Pursuant to Public Act 255 of 1978, as amended, 165
Clay LLC has requested the establishment of a Commercial Redevelopment
District. The creation of the district will allow the building owner to apply for a
Commercial Facilities Exemption Certificate, which will freeze the taxable value
of the building and exempt the new real property investment from local taxes.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Establishment of the Commercial Redevelopment
District.
Public Hearing was opened to receive comments from public.
No comments received.
Motion by Rinsema-Sybenga, second by Commissioner Hood to close the public
hearing and establish a Commercial Rehabilitation District for 165 W. Clay Ave
ROLL VOTE: Ayes: Spataro, German, Rinsema-Sybenga, Turnquist, Johnson,
Gawron, and Hood
Nays: None
MOTION PASSES
F. Issuance of a Commercial Facilities Exemption Certificate – 165 W Clay
Avenue PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: Pursuant to Public Act 255 of 1978, as amended, 165
Clay, LLC has requested the issuance of a Commercial Facilities Exemption
Certificate. The certificate will freeze the taxable value of the building and
exempt the new real property investment from local taxes. The company will be
investing over $336,000 in the building and will create 26 new jobs, which
qualifies them from an abatement of 12 years.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Issuance of the Commercial Facilities Exemption
Certificate.
Public Hearing was opened to receive comments from public.
Chris Nass, 2411 Lake Avenue answered questions of commissioners.
Motion by Commissioner Johnson, second by Commissioner Rinsema-Sybenga
to close the public hearing and issue a Commercial Facilities Exemption
Certificate to 165 Clay, LLC
ROLL VOTE: Ayes: German, Rinsema-Sybenga, Turnquist, Johnson, Gawron,
Hood, and Spataro
Nays: None
MOTION PASSES
2015-37 NEW BUSINESS:
A. Concurrence with the Housing Board of Appeals Notice and Order to
Demolish the Following: PUBLIC SAFETY
318 W. LARCH AVENUE
1328 SPRING STREET
SUMMARY OF REQUEST: This is to request that the City Commission concur
with the findings of the Housing Board of Appeals that the structures are
unsafe, substandard, a public nuisance and that they be demolished within
thirty (30) days or infraction tickets may be issued. It is further requested that
administration be directed to obtain bids for the demolition of the structures
and that the Mayor and City Clerk be authorized and directed to execute
contracts for demolition with the lowest responsible bidder.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To concur with the Housing Board of Appeals
decision to demolish.
Motion by Vice Mayor Spataro, second by Commissioner German to Concur
with the Housing Board of Appeals Notice and Order to Demolish
ROLL VOTE: Ayes: Rinsema-Sybenga, Turnquist, Johnson, Gawron, Hood,
Spataro, and German
Nays: None
MOTION PASSES
PUBLIC PARTICIPATION: Public comments received.
ADJOURNMENT: The City Commission Meeting adjourned at 6:32 p.m.
Respectfully submitted,
Ann Marie Cummings, MMC
City Clerk
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