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CITY OF MUSKEGON CITY COMMISSION MEETING January 14, 2025 @ 5:30 PM 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, Michigan at 5:30 p.m., Tuesday, January 14, 2025. Pastor Russell Damm from the Oak Crest Church of God, opened the meeting with prayer, after which the Commission and public recited the Pledge of Allegiance to the Flag. ROLL CALL Present: Mayor Ken Johnson, Vice Mayor Rebecca St. Clair, Commissioners Jay Kilgo, Destinee Keener, Willie German, Jr., Rachel Gorman, and Katrina Kochin, City Manager Jonathan Seyferth, City Attorney John Schrier, and City Clerk Ann Marie Meisch 2025-02 HONORS, AWARDS, AND PRESENTATIONS A. Thredz Y3 Program Recognition Manager's Office Mayor Ken Johnson read the Proclamation, showed the slide show, and presented the Proclamation and Certificates of Appreciation. B. Audit Presentation-ACFR by Brickley Delong Finance Finance Director Ken Grant introduced Eric VanDop from Brickley DeLong who gave an overview of the audit. PUBLIC COMMENT ON AGENDA ITEMS No public comments were received 2025-03 CONSENT AGENDA Page 1 of 6 A. Approval of Minutes City Clerk To approve minutes of the December 2nd Special Commission Meeting, the December 9th Commission Worksession Meeting, and the December 10th City Commission Meeting. STAFF RECOMMENDATION: Approval of the minutes. B. Cameras for City Hall and Police Department City Clerk City staff have identified a need to update and improve our building security at City Hall. Staff recommends we purchase a fully advanced, cloud-based solution providing us with 24/7 access to the cameras without the need to worry about the security challenges of hosting the footage in-house. After going through product trials with multiple solutions, staff recommended Verkada, the lowest-cost solution from Sentinel. The majority of the system will be purchased using a $30,000 Election Security Grant received by the Clerk's Office and the remaining amount of $2,753.62 comes from the General Fund. The action will require a budget amendment to both revenue and expenditures. STAFF RECOMMENDATION: Authorize staff to enter into an agreement to purchase the Verkada system in the amount of $32,753.62. C. EGLE Grant Development Agreement, City of Muskegon and Muskegon Limited Dividend Housing Association, Lofts of Muskegon, 122 W. Muskegon Ave. Economic Development Muskegon Limited Dividend Housing Association, LLC (the developer) has been invited to apply for an EGLE Grant on behalf of the City of Muskegon (applicant) for the proposed Lofts of Muskegon development located at 122 W. Muskegon Avenue. The grant request totals $850,000. The site, last occupied by a fast-food restaurant from 1997 to 2015, is currently vacant. The proposed redevelopment involves the construction of a 4-story multifamily affordable housing complex with 46 units, following the demolition of existing site features. The total private investment is estimated at approximately $16 million, with the creation of two part-time jobs anticipated. Due to its historical uses—including a gas station, battery storage shop, dry cleaner, and auto repair shop—the site has documented contamination. Soil and soil gas samples collected from the property reveal the presence of contaminants, necessitating the proper management of contaminated soil and the implementation of a vapor mitigation system (VMS) to safeguard indoor air quality for future residents. Grant funds will be utilized to cover the design and installation of the VMS and the removal and proper disposal of contaminated soil generated during site demolition and redevelopment (excluding the cost of Page 2 of 6 excavation). The project is expected to commence in March 2025, with completion anticipated by March 2026. EGLE requires a development agreement between the applicant and the developer, outlining the responsibilities of each party. A draft of the proposed development agreement is available for review. STAFF RECOMMENDATION: I move to approve the EGLE grant development agreement between the City of Muskegon and Muskegon Limited Dividend Housing Association, LLC, for the Lofts of Muskegon project at 122 W. Muskegon Ave. and authorize the City Mayor to sign. D. Ordinance Change: Parental Responsibility Ordinance - SECOND READING Public Safety The City of Muskegon's Parental Responsibility Ordinance, Chapter 54, Article VII, Section 54-218 needs to update its definition of juvenile from under the age of 17 years to under the age of 18 years to follow State of Michigan law. In 2021, in accordance with the Michigan Juvenile Justice Reform Act of 2018, the definition of juvenile changed from age 17 and under to 18 and under in MCL Section 712A.1. STAFF RECOMMENDATION: I move to change the definition of minor in Chapter 54, Article VII, Section 54-218 of the Code of Ordinances of the City of Muskegon to any juvenile under the age of 18. F. Downtown Development Authority On-Premises Liquor License- Puerto Vallarta Mexican Grill and Bar, LLC, 292 W. Western Ave. Ste. 103 Economic Development Puerto Vallarta Mexican Grill and Bar, LLC, is requesting a Downtown Development Authority On-Premise Liquor License for the building at 292 W. Western Ave. Ste. 103. The Liquor Control Commission allows for additional liquor licenses within Downtown Development Authority Districts under certain conditions. Puerto Vallarta Mexican Grill and Bar, LLC, is seeking approval for a Downtown Development Authority (DDA) On-Premise Liquor License for their location at 292 W. Western Ave., Suite 103. This type of license is specifically designed to support economic development and promote vibrant, thriving downtown districts. Under Michigan law, the Liquor Control Commission permits the issuance of additional liquor licenses within designated Downtown Development Authority Districts. These licenses are granted under certain conditions, including alignment with the DDA’s goals for economic revitalization, enhancement of the district’s character, and promotion of tourism and local business growth. Approval of this request would enable Puerto Vallarta Mexican Grill and Bar to serve alcoholic beverages at their establishment, further contributing to the appeal of the downtown area as a dining and entertainment destination. The Page 3 of 6 license is a vital tool for attracting and retaining businesses that foster a dynamic and engaging environment for residents and visitors alike. STAFF RECOMMENDATION: I move to approve the request from Puerto Vallarta Mexican Grill and Bar, LLC, for a Downtown Development Authority On-Premise Liquor License at 292 W. Western Ave., Suite 103, and to forward this approval to the Michigan Liquor Control Commission for their consideration. G. Rezoning of 1727 Beidler St. Planning Request to rezone 1727 Beidler Street from Neighborhood Residential (R) to Form-Based Code, Neighborhood Edge (FBC-NE). 1. The property measures 84’ wide x 100’ deep (8,400 sf). 2. The property is zoned R, Neighborhood Residential, but it contains a commercial structure on site. The building measures 1,472 sf and is used for storage for a construction company. The use is considered legally, non- conforming. 3. The zoning allows for legally non-conforming uses to be increased in size with a special use permit, but only up to 25% of the size of the existing building. The property is considered a double lot and has enough space for a larger addition. The applicant would like to at least double the size of the building 4. The FBC, NE designation would allow this retail-type building to be expanded as long as it meets the setback requirements (10 feet rear/ 3 feet sides). The rezoning would also make the storage use legally conforming. 5. The property is located just north of the business district on Laketon Ave and is near other mixed-use buildings on Beidler St. 6. Although the property is small in size, staff and the Planning Commission do not believe this request to be considered a spot zone. A "Findings of Facts" exercise was conducted at the Planning Commission meeting to determine that it was not considered a spot zone. 7. The Planning Commission unanimously recommended in favor of the rezoning request (6-0, 3 absent). STAFF RECOMMENDATION: I move to approve the request to rezone the property at 1727 Beidler Street from Neighborhood Residential to Form-Based Code, Neighborhood Edge. Motion by Commissioner Keener, second by Commissioner Kochin, to adopt the Consent Agenda as presented minus Item E. ROLL VOTE: Ayes: Kochin, St.Clair, Johnson, Kilgo, Keener, German, and Gorman Nays: None MOTION PASSES Page 4 of 6 2025-04 ITEM REMOVED FROM THE CONSENT AGENDA E. Amity Bridge Resolution Public Works Staff requests adoption of a resolution authorizing the DPW Director and Clerk to sign the Amity Bridge Removal (and Reconstruction) Contract with MDOT. On December 10, 2024 the City Commission approved the contract with the Michigan Department of Transportation to fund removal of the Amity Avenue Bridge and to build a new roadway in the same place. While the contract was approved on the 10th, MDOT requests that the individuals that are authorized to sign the contract be specifically named in a resolution. The resolution satisfies that requirement and will allow staff to sign the approved contract. STAFF RECOMMENDATION: To adopt the resolution authorizing the DPW Director and Clerk to sign the Amity Bridge Removal (and Reconstruction) Contract with MDOT. Motion by Commissioner German, second by Commissioner Kilgo, to adopt the resolution authorizing the DPW Director and Clerk to sign the Amity Bridge Removal (and Reconstruction) Contract with MDOT. ROLL VOTE: Ayes: Gorman, Kochin, St.Clair, Johnson, Kilgo, Keener, and German Nays: None MOTION PASSES 2025-05 PUBLIC HEARINGS A. Neighborhood Enterprise Zone Certificates - 558, 568, 601, 608, 613, 621 Jackson; 522, 532 Leonard; 501, 503, 505 Alva; 502, 504 Herrick and 460 Langley. Economic Development Staff is requesting the approval of Neighborhood Enterprise Zone (NEZ) certificates for 15 years for new construction homes at 558, 568, 601, 608, 613, 621 Jackson; 522, 532 Leonard; 501, 503, 505 Alva; 502, 504 Herrick and 460 Langley. Applications for Neighborhood Enterprise Zone (NEZ) certificates has been received from Green Rabbit Home Builders for the new construction of homes at 558, 568, 601, 608, 613, 621 Jackson; 522, 532 Leonard; 501, 503, 505 Alva; 502, 504 Herrick and 460 Langley. The cost of construction is approximately $190,000 per home. The applicant has met local and state requirements for the issuance of the NEZ certificate. STAFF RECOMMENDATION: I move to close the public hearing and approve the Neighborhood Enterprise Zone District certificates at 558, 568, 601, 608, 613, 621 Page 5 of 6 Jackson; 522, 532 Leonard; 501, 503, 505 Alva; 502, 504 Herrick and 460 Langley and authorize the City Clerk and Mayor to sign the certificate resolution. The Public Hearing opened to hear and consider any comments from the public. No public comments were made. Motion by Commissioner Keener, second by Commissioner Kilgo, to close the public hearing and approve the Neighborhood Enterprise Zone District certificates at 558, 568, 601, 608, 613, 621 Jackson; 522, 532 Leonard; 501, 503, 505 Alva; 502, 504 Herrick and 460 Langley and authorize the City Clerk and Mayor to sign the certificate resolution. ROLL VOTE: Ayes: German, Gorman, Kochin, St.Clair, Johnson, Kilgo, and Keener Nays: None MOTION PASSES ANY OTHER BUSINESS Commissioner Kilgo asked where the City Commission agenda and packet is for the public. City Manager Jonathan Seyferth explained where it has been moved to. Reminded citizens that the BOGO sale ends this week for the beach parking passes. Thoughts and prayers for California for the fires that are still going on. Would like an update on the Apple Avenue project. Commissioner Keener asked about the Apple Avenue project. Director of Public Works Dan VanderHeide stated he met with MDOT today. They are still working on the preliminary plans. Hope to have the Community Engagement Meeting in late February. Vice Mayor St.Clair stated there are still openings on the Boards and Committees. PUBLIC COMMENT ON NON-AGENDA ITEMS Public comments received. ADJOURNMENT The City Commission meeting adjourned at 6:50 p.m. Respectfully Submitted, Ann Marie Meisch, MMC City Clerk Page 6 of 6
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