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CITY OF MUSKEGON
CITY COMMISSION MEETING
SEPTEMBER 14, 2021 @ 5:30 P.M.
MUSKEGON CITY COMMISSION CHAMBERS
933 TERRACE STREET, MUSKEGON, MI 49440
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, September 14, 2021, Mr.
George Munroe, Evanston Avenue Baptist Church, opened the meeting with a
prayer, after which the Commission and public recited the Pledge of Allegiance
to the Flag.
ROLL CALL FOR THE REGULAR COMMISSION MEETING:
Present: Mayor Stephen J. Gawron, Vice Mayor Eric Hood (arrived at 5:36),
Commissioners Ken Johnson, Dan Rinsema-Sybenga, and Teresa Emory, City
Manager – Frank Peterson, City Attorney John Schrier, and City Clerk Ann
Meisch.
Absent: Commissioners Willie German and Michael Ramsey
PUBLIC COMMENT ON AGENDA ITEMS: Public comments were received.
2021-84 CONSENT AGENDA:
A. Approval of Minutes City Clerk
SUMMARY OF REQUEST: To approve the minutes of the August 24, 2021 Regular
Meeting.
STAFF RECOMMENDATION: To approve the minutes.
B. Financing 100-Foot Mid Mount Tower Ladder Truck Finance
SUMMARY OF REQUEST: At this time, we are seeking authorization to enter into a
lease agreement with Team Financial for the purchase of a 100-foot Mid Mount
Tower Ladder Truck.
At the August 10, 2021 City Commission meeting the Commission voted to
purchase two Fire Trucks. By the end of September, the 100-foot Mid Mount
Tower Ladder Truck will be ready to purchase for $1,370,873. At this time, we are
seeking authorization to enter into a lease agreement with Team Financial. The
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proposed terms are for a five -year lease at 1.78% interest rate with the City
purchasing the truck at the end of the lease for $1. There is a one-time $500.00
processing fee.
AMOUNT REQUESTED: $1,370,873.00
AMOUNT BUDGETED: $286,740.00 for 5 years
FUND OR ACCOUT: General – 101-50336-5700
STAFF RECOMMENDATION: To approve the lease agreement with Team
Financial.
C. Increase in General Fund Transfer to Mercy Health Arena and the Public
Service Building Finance
SUMMARY OF REQUEST: The Mercy Health Arena fund and the Public Service
Building fund require a larger transfer from the General fund then what was
budgeted to prevent a deficit. Mercy Health Arena needs an additional
$25,000 transferred from the General Fund and the Public Service Building
needs an additional $425,000 transferred from the General Fund.
Based on financial results for the fiscal year end June 30, 2021 the Mercy
Health Arena and the Public Service Building fund required a larger transfer
from the General Fund then what was budgeted in the 4th quarter reforecast,
to prevent a fund deficit. The Mercy Health Arena fund needs to be
increased from $700,000 to $725,000 and the Public Service Building fund
needs to be increased from $200,000 to $625,000.
AMOUNT REQUESTED: $1,350,000 AMOUNT BUDGETED: $900,000
FUND OR ACCOUNT: 101, 254, 642
STAFF RECOMMENDATION: To approve the increase to the General Fund
transfers for the Mercy Health Arena to $725,000 and the Public Service
Building to $625,000.
D. Western Avenue ADA Work Public Works
SUMMARY OF REQUEST: Staff is requesting authorization to partner on several
projects along Western Avenue to improve the ADA Access throughout the
corridor.
The City Commission allocated $200,000 towards ADA work in the FY 21/22
budget as shown in line 101-91116. City staff is proposing a series of partnerships
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along Western Avenue to enhance the accessibility and pedestrian experience
along the corridor.
Frauenthal
The Frauenthal is underway installing a snow melt system on the sidewalk in front
of the Frauenthal and the Hilt Building as a part of their capital project which
also includes replacing the ceiling of the Hilt Building basement which is under
the sidewalk. The snowmelt system will be installed, operated and maintained
by the Frauenthal at no cost to the City. Staff is seeking permission to allocate
$120,000 towards the cost of removing and replacing the existing sidewalk in
partnership on the project.
Staff is seeking to utilize the remaining $80,000 towards two projects along
Western Avenue and possibly supplement with additional Major Street dollars if
necessary. An exact split between these two is yet to be determined.
3rd – 4th Block (West Half)
This project will involve removal of several parallel parking spaces along Western
Avenue and widening the sidewalk. Instead of a barrier curb a gutter will be
placed along the edge of the roadway allowing for the area formerly used by
the parallel parking spaces to be either used as additional pedestrian space
and/or parallel parking spaces. This is a half-block long model similar to what
the City of Detroit completed on Bagley Street -
https://detroit.curbed.com/2020/1/16/21068713/bagley-street-mexicantown-
detroit-shared-street The goal is to create a barrier free interface from building
face to building face that can be used as the situation dictates. This would be a
trial concept to prove the notion for later use on a large scale.
1st – 2nd Block (West Half / North Side)
This project would be a partnership with the Leonard to eliminate several angle
parking spaces on Western in front of the Leonard, and several parallel spaces
along 2nd Street adjacent to The Leonard. The goal of this project would be to
offer increased pedestrian and plaza space for use as social district space,
and/or in conjunction with a future restaurant type operation located on the
ground floor of The Leonard.
In all of these projects the split of this $200,000 may not fully fund the project and
additional funds may be required. This proposal is just the first step in funding
each of these projects.
AMOUNT REQUESTED: $200,000 AMOUNT BUDGETED: $200,000
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FUND OR ACCOUNT: 101-91116
STAFF RECOMMENDATION: Authorize staff to utilize the $200,000 allocation
for ADA Projects in partnership with multiple projects along Western Avenue.
E. Extension of CHOP Contract Public Works
SUMMARY OF REQUEST: Staff is requesting authorization to extend an existing
contract with CHOP Tree Service during Fiscal Year 21/22 in the amount of
$75,000 for As-Needed Forestry Services.
The City Commission allocated $75,000 towards Contractual Forestry Work under
line 101-70771-5300 in the 21/22 Fiscal Year. Staff is requesting authorization to
extend our existing contract with CHOP, Inc. who was the low bidder selected
for the same work during the 20/21 Fiscal Year. CHOP, Inc. has been a great
contractor and helped partner with us successfully complete several forestry
projects during the previous fiscal year.
Staff has previously utilized CHOP for work outside of the road right-of-way when
performing tree work on development projects, and for large scale projects
where CHOP can provide increased resources to address large projects
(Lakeside Cemetery & Musketawa Trail).
Staff is requesting to award the $75,000 budgeted to CHOP as an extension for
the 21/22 Fiscal Year and not repost the work for competitive bids. During the
previous bidding cycle CHOP was the only bid accepted. A copy of the bid
sheet submitted during the 20/21 open competitive bidding is provided for
reference.
AMOUNT REQUESTED: $75,000 AMOUNT BUDGETED: $75,000
FUND OR ACCOUNT: 101-70771-5300
STAFF RECOMMENDATION: Authorize staff to extend the existing contract
with CHOP Tree Service in the amount of $75,000 for completion during the
21/22 Fiscal Year.
F. Laketon Trail Lighting Public Works
SUMMARY OF REQUEST: Staff is requesting authorization to award a contract to
J&J Electrical LLC for the construction of lights along a portion of the Laketon
Trail.
Staff solicited bids for a project to install trail lighting on a portion of the Laketon
Trail between Peck and 7th Street. This area is located within the marihuana
district and the existing street lights along Laketon Avenue are all on the south
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side of the street, across from the path leading to less than desirable lighting
levels along the pathway in particular at the street crossings. Bids were received
on August 24, 2021 with the low bid coming from J&J in the amount of
$94,037.00.
Staff has not worked with J&J previously and conducted a meeting with them
on August 30, 2021 to assess their understanding of the project and gauge their
ability to complete the work. It is the opinion of staff that J&J fully understands
the project and is appropriately positioned to complete the work as outlined.
The original bid did not include the installation of receptacles on the poles. As
such staff requested a price to add this into the project which wat quoted at
$7,379.00. Adding this amount to the original bid creates a proposed contract
cost of $101,416 which is still below the 2nd lowest bidder.
The funding for this project is derived from the Marihuana Business Fees
collected. Business are required to install decorative lighting on their site or make
a donation to the city to install lighting elsewhere. In 20/21 the City collected
$66,965 from this fee with anticipation of collecting an additional $30,000 during
the current fiscal year. Staff felt that the use of the lighting on the path in the
marijuana district improved an existing problem and also focused those dollars
back to the primary area that generated the revenue. The project will need to
be included in a future reforecast of the budget if approved.
J&J Electrical LLC is located within the City of Muskegon.
AMOUNT REQUESTED: $101,416.00 AMOUNT BUDGETED: $0
FUND OR ACCOUNT: 101
STAFF RECOMMENDATION: Authorize staff to approve a contract with J&J
Electrical LLC in the amount of $101,416.00 for the construction of a pedestrian
lighting system along the Laketon Avenue Trail between Peck and 7th.
G. Police Cruiser Replacement Public Works
SUMMARY OF REQUEST: The Equipment Division is requesting permission to
purchase three (3) Chevy Tahoes to replace existing vehicles in the Police
Department fleet.
Tahoes will be purchased from Berger Chevrolet, the Mi-Deal contract holder.
The price of this vehicle is $38,836.00 each for a total price of $116,508.00
coming from the Equipment budget. These vehicles were budgeted for
replacement in the 21/22 budget.
AMOUNT REQUESTED: $116,508 AMOUNT BUDGETED: $117,000
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FUND OR ACCOUNT: Equipment
STAFF RECOMMENDATION: Authorize staff to purchase three (3) Chevy
Tahoes replacement vehicles for Police Department.
H. Special Event Fee Waiver Form Public Works
SUMMARY OF REQUEST: To amend the current Special Event Fee Waiver Form to
allow some fees to be waived at the staff level.
This is the same application that was presented at the July Work Session. Event
fees under $2,500 would be eligible to be waived at various percentages based
on the answers to the questions on the form. Fees over $2,500 will still go before
the Commission.
STAFF RECOMMENDATION: Approve the revisions to the Special Event Fee
Waiver Application for events scheduled in 2022 and authorize staff to waive
fees for events scheduled in 2022 and authorize staff to waive fees per the
stated requirements when less than $2,500.
I. Sanford Street and Glenside Phase 2 Engineering Assistance Public
Works
SUMMARY OF REQUEST: Staff is requesting authorization to approve the
Professional Services Agreement with Prein & Newhof to provide comprehensive
engineering services for the design of water and sewer projects schedule for
construction in 2023 and planned for financing within the state revolving loan
fund programs during state fiscal year 2022.
Staff is planning to pursue two (2) primary water/sewer projects as a part of the
State of Michigan Revolving Loan programs (DWRF/SRF) during the State 2022
Fiscal Year. These projects would be constructed during 2023.
Sanford Street
This is the last phase of a three-phase project of which Prein & Newhof has
completed the prior two phases. The first was completed in 2020 and included
work on several alleys in additional to work on Jefferson and Strong. The second
was completed in 2021 and included work on Peck Street. This project will
include complete water/sewer upgrades on Sanford from Merrill south to
Laketon. In addition, staff is proposing to fund the remainder of Sanford Street
north to Apple as ineligible (SRF/DWRF) expense. The project will include a
substantial reduction in the width of Sanford Street (40 Ft – 27 Ft) and is proposed
to replace one of the sidewalks with a bike path that will connect from the
Laketon to Lakeshore Trails.
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Glenside Phase 2
The first phase of this project was completed in 2020 and included work on
Westwood Street. This project will be focused on Hadden Street which will allow
for the eventual abandonment of the utilities in the non-existent alley between
Westwood and Hadden.
Both projects are budgeted in the 21/22 budgets and will also have allocations
included in the future 22/23 and 23/24 fiscal years. The two projects represent an
approximately $8.5M Investment of which nearly $2.5M will be forgiven through
the loan program based on our qualification as a disadvantaged community.
AMOUNT REQUESTED: $862,300 (FY 21/22, 22/23, & 23/24)
AMOUNT BUDGETED: $400,000 (FY 21/22)
FUND OR ACCOUNT: 202/590/591
STAFF RECOMMENDATION: Authorize staff to sign the professional services
agreement with Prein & Newhof to provide Engineering Services for the water,
sewer, road, and bike path projects on Sanford Avenue and Glenside Phase 2.
J. Bulk Sticker Fee Adjustment Public Works
SUMMARY OF REQUEST: Staff is requesting Commission approval to adjust the
user fee for Bulk Item stickers from the current rate of $2/EA or 6 for $10 to a new
proposed rate of $3/EA and 4 for $10.
Staff is planning to increase the user fee for bulk item stickers and begin to offer
free bags with the purchase of a sticker. Residents purchasing a sticker would be
able to take one bag per sticker. Two bag options would be provided; a heavy
duty 60-gallon bag for miscellaneous items; or a larger thin bag for wrapping a
mattress. The hope is this program will save someone from having to make
separate stop to purchase bags and stickers and make it into a single stop
operation.
STAFF RECOMMENDATION: Authorize a change to the Bulk Item Sticker
pricing in the user fee schedule to $3 per each or 4 each for $10.
K. Amendment to the Floodplain Management Ordinance Planning
SUMMARY OF REQUEST: Staff-initiated request to amend Sections 26-401
through 26-405 of the City Code of Ordinances to adopt the new Flood
Insurance Rate Map panels from the National Flood Insurance Program.
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The only change is to the Flood Insurance Rate Map panels listed in Section
26-403.
STAFF RECOMMENDATION: To approve the request to amend Sections 26-
401 through 26-405 of the City Code of Ordinances to adopt the new Flood
Insurance Rate Map panels from the National Flood Insurance Program.
L. Sale – 239 Monroe Avenue Planning
SUMMARY OF REQUEST: City staff is seeking authorization to sell the City-owned
home at 239 Monroe Ave. to Dakota J. Crow and Annah Crow.
The city constructed this house as part of the phase two of our infill housing
program. Our contract to construct the home was $164,470. We also
anticipated $11,512 in sales commissions. There are additional costs $7,286.12
(switching the range from electric to gas, changing laminate counter tops in the
kitchen from solid to surface, discount kitchen sink, hook up new single-bowl
undermount sink & permits, fees, dumpster.) The accepted purchase price is
$177,900.
STAFF RECOMMENDATION: Authorize the Code Coordinator to complete
the sale of 239 Monroe Ave, as described in the attached purchase
agreement and to have the Mayor and Clerk sign the deed.
M. ARP Infill Housing Program City Manager
SUMMARY OF REQUEST: City staff has developed and released a Request for
Qualifications for homebuilders to participate in our ARP Infill Housing Program.
We received a total of four responses.
Staff is recommending that all four builders be selected to submit formal
proposals to construct homes as part of the ARP Infill Housing Program. LRS
Enterprises submitted to construct five homes; William Construction submitted to
construct six homes; Kramer Builders submitted to construct three homes, and
West Urban Properties submitted to construct the full $5Million program. We are
using a rough estimate of $250,000 per home, but the actual costs will be
determined as the builders bid their specific projects with their subcontractors.
The breakdown will look something like this:
Builder/Developer City ARP Funds Developer Funds
LRS Enterprises $750,000 $750,000
Williams Construction $750,000 $750,000
Kramer Builders $250,000 $250,000
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West Urban Properties $3,250,000 $3,250,000
STAFF RECOMMENDATION: Authorize staff to work directly with the following
qualified builders: LRS Enterprises, Williams Construction, Kramer Builders, and
West Urban Properties to submit formal construction proposals to build a
minimum of 40 new single-family homes as part of the ARP Infill Housing Program
at a cost not to exceed $5 Million.
N. Arena Buildout – Carlisle’s City Manager
SUMMARY OF REQUEST: Carlisle’s restaurant is officially moving forward at
Mercy Health Arena. Staff is seeking approval to perform the construction
activities.
After more than two years of planning, we have started demolition of the front
entryway at the arena to accommodate the facility’s newest restaurant. There
are a number of logistics related to the construction timing that is resulting in a
logical path forward that includes the City managing the construction project
and timeline.
There are a number of key milestones that we must hit, including the two
greatest issues: Moving doors for the opening of the hockey season in October,
and building in compliance with our liquor license. Our lease with Carlisle’s calls
for them to begin construction after the DDA liquor license is secured – that may
take much of October and is not acceptable to the Lumberjacks. To expedite
the process, the Arena is seeking to undertake and manage the construction
efforts. We would enter into the construction contract with Platinum
Construction (Carlisle’s contractor). Carlisle’s ownership group would then pay
us in full once construction is complete. Note that we have their bank approval
letter, and their financing is already set. The buildout will take 8-10 weeks at an
estimated cost of $647,202.49.
AMOUNT REQUESTED: $647,202.49 AMOUNT BUDGETED: $0
FUND OR ACCOUNT: Arena Fund
STAFF RECOMMENDATION: Approve the expenditure of $647,202.49 for the
construction of Carlisle’s and amend the budget accordingly to account for
both the expenditure and the reimbursement in the Arena Fund.
O. Sale – 766 Leonard Economic Development
SUMMARY OF REQUEST: City staff is seeking authorization to sell the city-owned
home at 766 Leonard in Jackson Hill to Brittany Dlynn Brown.
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The City is constructing this single family detached home as part of our infill
housing program. Our contract to construct two homes was for $425,000, and
the estimated finished costs of this home will be $215,000. We also anticipated
$12,900 in sales commissions. The accepted purchase price is $200,000, and the
incurred sales commissions are $10,000. The City will not contribute funds toward
closing costs outside of the seller’s agent commission. The proceeds of this home
will repay a portion of the Priority Related Investment made by the Community
Foundation for Muskegon County. The sale of the second home in this project
should repay the remainder, and any additional funds will reimburse the
Economic Development Fund for the $75,000 in the project.
STAFF RECOMMENDATION: Authorize the City Manager to complete the sale
of 766 Leonard Street, as described in the purchase agreement.
P. Community Relations Committee Recommendations City Clerk
SUMMARY OF REQUEST: To appoint Emilio Trejo to the Historic District
Commission.
The CRC recommends appointing Emilio Trejo to the vacant position on the
Historic District Commission – Term expiring 01/31/2022.
STAFF RECOMMENDATION: To concur with the recommendation of the CRC
on the appointment.
Motion by Commissioner Rinsema-Sybenga, second by Commissioner Johnson,
to accept the consent agenda as presented.
ROLL VOTE: Ayes: Gawron, Rinsema-Sybenga, Emory, and Johnson
Nays: None
MOTION PASSES
2021-85 PUBLIC HEARINGS:
A. 2020 Consolidated Annual Performance Evaluation Report (CAPER)
Hearing Community and Neighborhood Services
SUMMARY OF REQUEST: The CAPER is available on our website for citizen review
and comment period of 20 days from September 5 -25, 2021. A public Hearing is
another opportunity to comment about the Federal CDBG and HOME program
activities performed during the fiscal year 2020 (July 1, 2020 - June 30, 2021).
Citizen input is a necessary process of program activities for the CDBG/HOME
annual allocations. The 2020 CAPER is another opportunity to comment on the
performance achievements of the annual projects during the Hearing.
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STAFF RECOMMENDATION: To conduct a Public Hearing for the 2020 CAPER
review.
Motion by Commissioner Rinsema-Sybenga, second by Commissioner Johnson,
to close the public hearing.
ROLL VOTE: Ayes: Hood, Rinsema-Sybenga, Emory, Johnson, and Gawron
Nays: None
MOTION PASSES
B. Issuance of a Commercial Facilities Exemption Certificate – 441 W.
Western Avenue Planning
SUMMARY OF REQUEST: Pursuant to Public Act 255 of 1978, as amended, PH
Holdings LLC (Pigeon Hill Brewing) 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 $650,000 in upgrades to the building and will create
up to 30 new jobs, which qualifies them for an abatement of four (4) years.
STAFF RECOMMENDATION: To (approve/deny) the request for a Commercial
Facilities Exemption Certificate for a period of four (4) years.
PUBLIC HEARING COMMENCED: Joel Kamp, owner, spoke about the
project.
Motion by Commissioner Johnson, second by Vice Mayor Hood, to close the
public hearing and approve the request for a Commercial Facilities Exemption
Certificate for eight (8) years.
Motion to Amend: Motion by Commissioner Johnson, second by Commissioner
Emory, to amend the previous motion to reflect the duration of ten years for the
Commercial Facilities Exemption Certification.
Vote on Motion to Amend:
ROLL VOTE: Ayes: Rinsema-Sybenga, Emory, Johnson, and Gawron
Nays: Hood
MOTION PASSES
Vote on Original Motion with Amendment:
ROLL VOTE: Ayes: Rinsema-Sybenga, Emory, Johnson, and Gawron
Nays: Hood
MOTION PASSES
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C. Issuance of a Commercial Facilities Exemption Certificate (New Facility) –
639 W Clay Avenue Planning
SUMMARY OF REQUEST: Pursuant to Public Act 255 of 1978, as amended,
Indigrow LLC has requested the issuance of a New Facility Commercial Facilities
Exemption Certificate. The certificate will reduce the taxable value of the
building. The company will be investing $1,133,351 into the new building
addition and will create up to 30 new jobs, which qualifies them for an
abatement of 8 years.
This will be an addition to the current building at 639 W Clay Avenue. The new
building will receive its own tax abatement and the rehab to the existing
building will receive its own tax abatement. This will decrease the amount of tax
revenue abated than it would by granting one abatement on the entire project.
STAFF RECOMMENDATION: To (approve/deny) the request for a New Facility
Commercial Facilities Exemption Certificate for a period of eight years.
PUBLIC HEARING COMMENCED: No public comments were received.
Motion by Commissioner Johnson, second by Commissioner Rinsema-Sybenga,
to close the public hearing and approve the request for a New Facility
Commercial Facilities Exemption Certificate for a period of eight years.
ROLL VOTE: Ayes: Rinsema-Sybenga, Emory, Johnson, Gawron, and Hood
Nays: None
MOTION PASSES
D. Issuance of a Commercial Facilities Exemption Certificate (Restored
Facility) – 639 W Clay Avenue Planning
SUMMARY OF REQUEST: Pursuant to Public Act 255 of 1978, as amended,
Indigrow LLC has requested the issuance of a Restored Facility 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 $1,218,561 into restoring the existing building and will
create up to 30 new jobs, which qualifies them for an abatement of 8 years.
This will be for the restoration of the existing building at 639 W Clay Avenue. The
new building will receive its own tax abatement and the rehab to the existing
building will receive its own tax abatement. This will decrease the amount of tax
revenue abated than it would by granting one abatement on the entire project.
STAFF RECOMMENDATION: To (approve/deny) the request for a Restored
Facility Commercial Facilities Exemption Certificate for a period of eight years.
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PUBLIC HEARING COMMENCED: No public comments were received.
Motion by Commissioner Rinsema-Sybenga, second by Commissioner Emory, to
close the public hearing and approve the request for a Restored Facility
Commercial Facilities Exemption Certificate for a period of eight years.
ROLL VOTE: Ayes: Emory, Johnson, Gawron, Hood, and Rinsema-Sybenga
Nays: None
MOTION PASSES
E. Camcar Plastics IFT Public Hearing Economic Development
SUMMARY OF REQUEST: Camcar Plastics has requested an Industrial Facilities
Tax Abatement for a small new construction addition to their shipping and
receiving department at their Glade Street location.
The Tax Incentive Committee has utilized the new Tax Incentive Policy approved
by the City Commission to score and make recommendations on several
incentive applications recently. Camcar has been working with the division to
apply for a Public Act 198 Industrial Facilities Exemption for an 800 square foot
expansion to their current facility at 1732 Glade Street. The incentive allowed an
eligible entity to apply for a 50% cut in their real property tax liability for up to 12
years, as approved by the local unit of government. The applicant has applied
for the full 12-year abatement.
Based on the new policy, due to the taxable value being created ($72,000), the
number of permanent jobs created (3), the Tax Incentive Committee’s scoring
system dictates a recommendation of 9 years of abatement as opposed to the
maximum of 12.
STAFF RECOMMENDATION: To close the Public Hearing and approve the
Industrial Facilities Exemption application for Camcar Plastics for a term of nine
(9) years.
PUBLIC HEARING COMMENCED: No public comments were received.
Motion by Commissioner Johnson, second by Commissioner Rinsema-Sybenga,
to close the public hearing and approve the Industrial Facilities Exemption
application for Camcar Plastics for a term of nine (9) years.
ROLL VOTE: Ayes: Johnson, Gawron, Hood, Rinsema-Sybenga, and Emory
Nays: None
MOTION PASSES
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F. Sun Dolphin Drive Industrial Space IFT Transfer Public Hearing Economic
Development
SUMMARY OF REQUEST: InSite Real Estate LLC has requested the transfer of an
existing Industrial Facilities Tax Abatement for industrial real property they have
acquired at 1790 Sun Dolphin Drive.
The new owners of these facilities are leasing them back to the new operators of
KL Outdoor, and the facilities onsite are one of several operated locally in the
injection molding company’s portfolio. InSite is currently not listed the listed
owner of the building on the existing Industrial Facilities Exemption and so they
must request a transfer of termination of the incentive. Naturally, they opted for
a request to transfer the real property exemption, which is scheduled to
terminate December 30, 2026.
The new ownership has recently paid some back property taxes and is eligible
to request said transfer.
STAFF RECOMMENDATION: A motion to close the Public Hearing and
approve the Industrial Facilities Exemption Transfer for IIP Muskegon, MI (1790
and 1880 Sun Dolphin) LLC as presented.
PUBLIC HEARING COMMENCED: No public comments were received.
Motion by Commissioner Rinsema-Sybenga, second by Commissioner Johnson,
to close the public hearing and approve the Industrial Facilities Exemption
Transfer for IIP Muskegon, MI (1790 and 1880 Sun Dolphin) LLC as presented.
ROLL VOTE: Ayes: Gawron, Hood, Rinsema-Sybenga, Emory, and Johnson
Nays: None
MOTION PASSES
G. Trace Analytical IFT Public Hearing Economic Development
SUMMARY OF REQUEST: Trace Analytical has requested an Industrial Facilities
Tax Abatement for an 8,000 square foot addition to their location at 2241 Black
Creek Road, which would support 18 new employees over the next several
years.
The Tax Incentive Committee has utilized the new Tax Incentive Policy approved
by the City Commission to score and make recommendations on several
incentive applications recently. Trace Analytical Labs has been working with the
division to apply for a Public Act 198 Industrial Facilities Exemption for an 8000
square foot expansion to their current facility at 2241 Black Creek Road. The
incentive allows an eligible entity to apply for a 50% cut in their real property tax
Page 14 of 15
liability for up to 12 years, as approve by the local unit of government. The
applicant has applied for the full 12-year abatement.
Based on the new policy, due the taxable value being created ($600,000), the
number of permanent jobs created (18), the Tax Incentive Committee’s scoring
system dictates a recommendation of 9 years of abatement as opposed to the
maximum of 12.
STAFF RECOMMENDATION: A motion to close the Public Hearing and
approve the Industrial Facilities Exemption application for Trace Analytical Labs
for a term of nine (9) years.
PUBLIC HEARING COMMENCED: Brad Hilleary, from Trace Analytical Labs,
spoke.
Motion by Commissioner Rinsema-Sybenga, second by Commissioner Emory, to
close the public hearing and approve the Industrial Facilities Exemption
Application for Trace Analytical Labs for a term of nine (9) years.
ROLL VOTE: Ayes: Hood, Rinsema-Sybenga, Emory, Johnson, and Gawron
Nays: None
MOTION PASSES
PUBLIC COMMENT ON NON-AGENDA ITEMS: Public comments were
received.
ADJOURNMENT: The City Commission meeting adjourned at 7:37 p.m.
Respectfully Submitted,
Ann Marie Meisch, MMC – City Clerk
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