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CITY OF MUSKEGON
CITY COMMISSION MEETING
February 11, 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, February 11,
2025. Pastor Dwayne Riley from Crestwood United Methodist Church 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, Rachel Gorman, and Katrina Kochin, City Manager
Jonathan Seyferth, City Attorney John Schrier, and City Clerk Ann Marie Meisch
Absent: Commissioner Willie German, Jr.
2025-10 HONORS, AWARDS, AND PRESENTATIONS
A. Muskegon Lumberjacks Charitable Foundation - Reading
Caravan Arena
Jay VandeVoorde spoke on behalf of the Muskegon Lumberjacks Charitable
Foundation and Reading Caravan to update the Commission about his
involvement and the Lumberjacks' involvement in the local schools and
community.
2025-11 PUBLIC HEARINGS
A. Public Hearing- Transformational Brownfield Plan, Shaw Walker Mixed
Use Redevelopment Project, Parkland Properties of Michigan, LLC, 965
W. Western Ave., 920 Washington Ave., 930 Washington Ave., and 1330
Division Ave. Economic Development
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Parkland Properties of Michigan, LLC has submitted a Transformational
Brownfield Plan for the Shaw Walker Mixed Use Redevelopment Project located
at 965 W. Western Ave., 920 Washington Ave., 930 Washington Ave., and 1330
Division Ave.
History of the Site: The Shaw Walker site, historically home to the Shaw Walker
Furniture Company, was constructed between 1911 and 1913. This
manufacturing facility was a significant contributor to Muskegon's industrial
landscape until it ceased operations in 1989. Following its closure, the site
experienced multiple ownership changes, including Knoll North America,
Lakeview Industrial Center Inc., Mellowood Development Co., P&G Holdings
LLC, IGCFCO III, LLC, and most recently, Parkland Properties of Michigan
acquired it in December 2022. The site has since remained largely vacant and
deteriorated, representing a substantial blight in the community.
Developer's Plans: Parkland Properties of Michigan, through its affiliated entities,
plans a comprehensive mixed-use redevelopment of the Shaw Walker site. The
project will involve:
• Residential Development: Rehabilitation of four existing buildings into 538
new housing units and 53 existing units, totaling 591 units. These include
apartments and condominiums with amenities such as rooftop pools,
jacuzzis, clubhouses, and sports courts.
• Commercial Space: Conversion of portions of three buildings into 8
commercial retail spaces, including professional services (daycare, pet
care), health and wellness facilities (salon, fitness studio), and various
retail outlets (market, coffee shop, bookstore).
• Parking and Infrastructure: Rehabilitation of one building into an indoor
parking facility and the construction of new parking lots. Infrastructure
improvements include connections to city water, sewer, and storm
systems, and replacing damaged sidewalks.
• The total capital investment is expected to exceed $212.9 million.
• 200 new full-time jobs, 600 temporary construction jobs
Duration of the Brownfield Plan: The Brownfield Plan will be in effect for up to 35
years from the date of approval by the governing body. The duration for
property tax capture will not exceed 30 years, while the capture of withholding
tax and income tax revenues is limited to 20 years from the start date. The
initiation of tax increment revenue capture must occur within five years post-
approval, subject to Michigan Strategic Fund (MSF) approval.
Eligible Activities and Costs: Eligible activities under the Brownfield Plan include
both environmental and non-environmental tasks:
• EGLE (Environmental) Eligible Activities:
o Department-specific environmental site assessments and
mitigation measures ($225,000).
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• MSF (Michigan Strategic Fund) Eligible Activities:
o Demolition and Abatement: $4,758,100
o Rehabilitation of Existing Structures: $143,595,767
o New Townhouse Construction: $11,100,000
o Site and Amenities Construction: $8,823,413
Total Eligible Activities Cost: $168,502,280
Total Reimbursable Eligible Costs: $159,598,389, reflecting limitations on Tax
Increment Revenue (TIR) capture
Approved Tax Incentives: The project has been awarded two approved tax
incentives: NEZ (15 years), and an OPRA (12 years).
Once approved locally, the project will go before the Michigan Strategic Fund
Board in April for final approval.
STAFF RECOMMENDATION: I motion to close the public hearing and approve
the Shaw Walker Mixed-Use Redevelopment Project Transformational
Brownfield Plan and authorize the City Mayor and City Clerk to sign the
resolution.
The Public Hearing opened to hear and consider any comments from the
public. Comments were heard in support of the project from Greg King, Sarah
Sass, Jeanette Moore, Steve Olson, and John Allen, Jr.
Motion by Commissioner Keener, second by Commissioner Gorman, to close
the public hearing and approve the Shaw Walker Mixed-Use Redevelopment
Project Transformational Brownfield Plan and authorize the City Mayor and City
Clerk to sign the resolution.
ROLL VOTE: Ayes: Kilgo, Keener, Gorman, Kochin, St.Clair, and Johnson
Nays: None
MOTION PASSES
FEDERAL/STATE/COUNTY OFFICIALS UPDATE
District Representative Christina Achterhoff from Senator Bumstead office
mentioned the main issues they are getting calls on is sick paid leave and
tipping.
PUBLIC COMMENT ON AGENDA ITEMS
Public comments received.
2025-12 CONSENT AGENDA
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A. Approval of Minutes City Clerk
To approve minutes of the January 28th City Commission Meeting.
STAFF RECOMMENDATION: Approval of the minutes.
B. Sale of 1693 Elwood Planning
Staff is seeking authorization to sell the City-owned vacant lot at 1693 Elwood to
Jeffrey Vos, Infrastructure C & E.
Jeffrey Vos, Infrastructure C & E, would like to purchase the City-owned
buildable lot at 1693 Elwood for $4,275 (75% of the True Cash Value of $5,700)
plus half of the closing costs and the fee to register the deed. There will be a
single-family home, as well as an ADU constructed on the property. This is part
of a larger project involving 1693 Elwood and the adjacent lot, 1687 Elwood.
STAFF RECOMMENDATION: Authorize the Code Coordinator to complete the
sale of 1693 Elwood, as described in the purchase agreement, and to have the
Mayor and Clerk sign both the purchase agreement and the deed.
C. Amendment to the zoning ordinance, replacing mentions of "single-
family residential districts" with "neighborhood residential districts."
(SECOND READING) Planning
Staff initiated request to amend the zoning ordinance to replace all instances
of “single-family residential districts” with “neighborhood residential districts.”
With the recent zoning reform amendments now in place, the ordinance must
be updated to remove references to single-family residential districts. These
references can be replaced with neighborhood residential districts.
The Planning Commission unanimously recommended for approval of the
proposed amendments.
STAFF RECOMMENDATION: I move to approve the request to amend the zoning
ordinance by replacing all instances of “single-family residential districts” with
“neighborhood residential districts" as proposed.
D. Amendment to Article II of the zoning ordinance to create definitions for
duplexes and triplexes. (SECOND READING) Planning
Staff initiated request to amend Article II of the zoning ordinance to create
definitions for duplexes and triplexes.
• Now that duplexes and triplexes are allowed in R districts, we must create
definitions for them.
• After discussion, the Planning Commission recommended changes to the
definitions.
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• The Planning Commission unanimously recommended for approval of
the zoning ordinance amendment, which include their updated
definitions.
• The proposed definitions are as follows:
Duplex: A building designed for occupancy by two families living
independently of each other.
Triplex: A medium-sized structure that’s designed for occupancy by three
families living independently of each other.
STAFF RECOMMENDATION: I move to approve the request to amend Article II of
the zoning ordinance to create definitions for duplexes and triplexes as
proposed.
F. Filtration Control System Upgrades Public Works
Staff is requesting to enter into a professional services agreement with Tetra
Tech Inc., purchase new hardware, and enter into a 3-year software licensing
agreement with Q-Mation for control system upgrades at the Water Filtration
Plant.
The Water Filtration Plant uses a computer-based system known as SCADA
to monitor and control the drinking water treatment process. The hardware
and software that makes up the water plant’s SCADA system were last
updated in 2018, and updates are now required to replace its aging
hardware and out-of-date software, both of which will soon no longer be
supported by their manufacturers.
This project will replace all the computing hardware (servers, network switches,
terminals) and software (AVEVA and Microsoft Windows) with the most recent
versions available, ensuring the reliability and security of the water system by
utilizing hardware and software that their respective manufacturers fully
support.
Our last control system upgrade in 2018 was completed with the help of Tetra
Tech’s services. Tetra Tech designed the original plant control system in the
early 90s, and we are grateful to able to continue working with the engineers
involved with the original design and all subsequent upgrades. Currently, we
have a contract with Tetra Tech for as needed services to make minor changes
and improvements to our plant control system as well as for troubleshooting
and repair. Given the criticality of these systems and the integral nature of how
the upgrades and existing system work together, staff solicited a proposal from
Tetra Tech for this work and recommends them via an exception to the
purchasing policy.
Q-Mation is the licensed distributor of AVEVA (formerly known as Wonderware),
which is our current control system. AVEVA has been our control system from
the first integration of a SCADA system for the Filtration Plant and continues to
be a reliable system. It is also much cheaper to maintain the current control
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system than to bring in a new system and have to rebuild the entire system. Q-
Mation provided a quote for a 3-year licensing agreement with initial year 1
costing $20,002 and a year-over-year increase of 5% for a total of $63,086 for
the 3-years.
Q-Mation 3-Year Costs
Year 1 $20,002
Year 2 $21,012
Year 3 $22,072
Total project cost
Tetra Tech Inc. $79,000
Q-Mation (AVEVA) $20,002 Year 1
Hardware/Microsoft $68,000
Window
Total $167,002
This project is included as part of the water plant capital budget.
STAFF RECOMMENDATION: Authorize staff to enter into a professional services
agreement with Tetra Tech Inc, to purchase new necessary computer
hardware from various suppliers, and to purchase software licensing from Q-
Mation for control system upgrades at the Water Filtration Plant for $167,002.
Motion by Commissioner Kochin, second by Vice Mayor St.Clair, to approve
the consent agenda as presented minus item E.
ROLL VOTE: Ayes: Keener, Gorman, Kochin, St.Clair, Johnson, and Kilgo
Nays: None
MOTION PASSES
2025-13 ITEMS REMOVED FROM THE CONSENT AGENDA
E. Sale of 254 Meeking. Planning
Staff is seeking authorization to sell the City-owned vacant lot at 254 Meeking
to Green Rabbit Home Builders.
Green Rabbit Home Builders would like to purchase the City-owned buildable
lots at 254 Meeking for $5,250 (75% of the True Cash Value of $7,000) plus half of
the closing costs and the fee to register the deed. They will be constructing a
single-family home on the property.
STAFF RECOMMENDATION: To authorize the Code Coordinator to complete the
sale of 254 Meeking, as described in the purchase agreement, and to have the
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Mayor and Clerk sign both the purchase agreement and the deed.
Motion by Commissioner Kilgo, second by Commissioner Kochin, to authorize
the Code Coordinator to complete the sale of 254 Meeking, as described in
the purchase agreement, and to have the Mayor and Clerk sign both the
purchase agreement and the deed.
ROLL VOTE: Ayes: Gorman, Kochin, St.Clair, Johnson, Kilgo, and Keener
Nays: None
MOTION PASSES
2025-14 NEW BUSINESS
A. Muskegon Regatta DPW- Parks and Recreation
The Catamaran Racing Association of Michigan has applied to host the
Muskegon Regatta at Pere Marquette on July 18-20, 2025.
The Catamaran Racing Association of Michigan (CRAM) wants to bring the
Muskegon Regatta back to Pere Marquette, where it used to be held annually
before moving to Fisherman's Landing due to high water levels. CRAM enjoyed
the location and hopes to return.
They plan to use the parking lot at Margaret Drake Elliott Park, near the Coast
Guard Station, for setup, parking, and camping. Approximately 20-25
catamarans with one or two racers each are expected to sign up. Participants
will arrive on Friday, July 18, between noon and 8 PM to set up. The race will
start on Saturday, July 19, at 11 AM and end by 4 PM, with boats parked
overnight on the beach. Racing on Sunday, July 20, will start at 10:30 AM, with
awards at 3 PM. The boats are launched from the beach inside the arms and
the racing occurs approximately a mile from shore.
This event coincides with Rebel Road and Bike Time downtown, a time when
staff usually focuses on those events, making it difficult to support another
event simultaneously. The regatta itself would not require many additional city
services. The camping portion of the event could require DPW or Police services
which staff is unlikely to be able to provide. Event participants and attendees
can utilize local places to stay during the event.
The Catamaran Racing Association of Michigan (CRAM) wants to bring the
Muskegon Regatta back to Pere Marquette, where it used to be held annually
before moving to Fisherman's Landing due to high water levels. CRAM enjoyed
the location and hopes to return.
They plan to use the parking lot at Margaret Drake Elliott Park, near the Coast
Guard Station, for setup, parking, and camping. Approximately 20-25
catamarans with one or two racers each are expected to sign up. Participants
will arrive on Friday, July 18, between noon and 8 PM to set up. The race will
Page 7 of 12
start on Saturday, July 19, at 11 AM and end by 4 PM, with boats parked
overnight on the beach. Racing on Sunday, July 20, will start at 10:30 AM, with
awards at 3 PM. The boats are launched from the beach inside the arms and
the racing occurs approximately a mile from shore.
This event coincides with Rebel Road and Bike Time downtown, a time when
staff usually focuses on those events, making it difficult to support another
event simultaneously. The regatta itself would not require many additional city
services. The camping portion of the event could require DPW or Police services
which staff is unlikely to be able to provide. Event participants and attendees
can utilize local places to stay during the event.
STAFF RECOMMENDATION: To approve the Catamaran Racing Association of
Michigan's application for a Muskegon Regatta event on July 18 through July
20, 2025, without camping.
Motion by Commissioner Kochin, second by Commissioner Keener, to approve
the Catamaran Racing Association of Michigan's application for a Muskegon
Regatta event on July 18 through July 20, 2025, without camping.
ROLL VOTE: Ayes: Gorman, Kochin, St.Clair, Johnson, Kilgo, and Keener
Nays: None,
MOTION PASSES
B. Soccer in the Sand DPW- Parks and Recreation
Soccer in the Sand and Inside Out's Volleyball Tournament have both applied
to hold their events at Pere Marquette on July 26-27, 2025. Per the event policy,
two events cannot occur on the same date at Pere Marquette. Soccer in the
Sand is seeking an exception to be made.
Soccer in the Sand is a sand soccer tournament held annually at Pere
Marquette since 2018. They have been on the same weekend as Inside Out's
Volleyball Tournament since its inception. The natural beach traffic and these
events make navigating and parking at Pere Marquette difficult the weekend
of these events.
One possible solution was to have one of the tournaments move dates.
Unfortunately, neither event was able to do so. Soccer in the Sand has a
national tour of events with tournaments on the surrounding weekends. Inside
Out works with other volleyball tournaments in the area to create the season's
schedule so they cannot move their date. Inside Out has been hosting a
tournament on this date longer than Soccer in the Sand, and under the Special
Event Policy, the event with the longer tenure on the requested date is given
preference.
Soccer in the Sand is working with local vendors to create a bus route for the
weekend to help address some of the traffic issues that initiated the policy
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change. They have been appreciative of the opportunity and are requesting
that the commission consider those efforts in hopes of keeping their event date
as an exception to the policy.
STAFF RECOMMENDATION: I move to approve the request from Soccer in the
Sand to allow two events to be at Pere Marquette on July 26-27, 2025, if
transportation from alternative parking areas is provided during the event.
Motion by Commissioner Kilgo, second by Vice Mayor St.Clair, to approve the
request from Soccer in the Sand to allow two events to be at Pere Marquette on
July 26-27, 2025, if transportation from alternative parking areas is provided
during the event.
ROLL VOTE: Ayes: Kochin, St.Clair, Johnson, Kilgo, Keener, and Gorman
Nays: None
MOTION PASSES
C. Shaw Walker Project Affordable Housing Agreement Economic
Development
As required by the Transformational Brownfield Amendment to Public Act 381,
Parkland Properties, The City of Muskegon Brownfield Redevelopment
Authority, and the City of Muskegon must agree on an Affordable Housing
Agreement passed by all three parties in order for the project to move forward.
In order for developments to qualify for Transformational Brownfield approval
by the Michigan Strategic Fund, they must also enter into an Affordable
Housing Agreement to reflect that they will meet the statutory requirement for
units at or below 100% of the area's median income. The attached agreement
reflects that an average of 20 units of the total rental housing onsite must be set
aside for neighbors under 100%. Realistically, the number will likely be far higher
due to the unit makeup of the facility, with many studios and one bedrooms
available at or below $1,000 monthly, but the agreement reflects the statutory
required ratio.
The agreement sets standards for reporting incomes of tenants to the City and
BRA, and establishes recourse for all entities in the event of a breach. For
instance, if it is found that Parkland is in violation of the affordability
requirements on designated affordable units, they must remit to the City twice
the amount of the overage. The City has authority in the agreement to deposit
the funds in the housing fund, and/or remit the overage amount to the
impacted tenant.
STAFF RECOMMENDATION: Motion to approve the Affordable Housing
Agreement between the City of Muskegon, the Muskegon Brownfield
Redevelopment Authority, Parkland Properties of Michigan - Shaw Walker, LLC,
Shaw Walker Opportunity Zone Business 1, LLC, Shaw Walker Opportunity Zone
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Business 2, LLC, Shaw Walker Opportunity Zone Business 3, LLC, and Shaw
Walker Opportunity Zone Business 4, LLC, as presented and authorize the Mayor
and Clerk to sign.
Motion by Commissioner Kochin, second by Commissioner Keener, to approve
the Affordable Housing Agreement between the City of Muskegon, the
Muskegon Brownfield Redevelopment Authority, Parkland Properties of
Michigan - Shaw Walker, LLC, Shaw Walker Opportunity Zone Business 1, LLC,
Shaw Walker Opportunity Zone Business 2, LLC, Shaw Walker Opportunity Zone
Business 3, LLC, and Shaw Walker Opportunity Zone Business 4, LLC, as
presented and authorize the Mayor and Clerk to sign.
ROLL VOTE: Ayes: St.Clair, Johnson, Kilgo, Keener, Gorman, and Kochin
Nays: None
MOTION PASSES
D. Shaw Walker Community Benefit Agreement Economic Development
This is Development Service's first negotiated Community Benefit Agreement,
which is a newer strategy in contemporary economic development to
negotiate more direct benefit to non-developer stakeholders in exchange for
incentives/infrastructure improvements related to projects.
In the negotiated agreement, the City has asked for consideration from
Parkland for other community stakeholders in exchange for consideration on
needed infrastructure alterations in the public Right of Way that serve the Shaw
Walker Development Project.
Specifically, the developer has asked for the City to relocate a water main that
currently runs under the project site (including under two buildings), that the
City agree to repair damage done to private property in the event an existing
sanitary and storm main under the property fail, that the City realign the
curbing and pedestrian paths on Western Avenue pursuant to the approved
Planned Unit Development, that the City facilitate connection points to public
water and sewer infrastructure for the project, and share any potential costs
related to relocating Consumers Energy powerlines and poles that are directly
adjacent to the Shaw Walker buildings on Western Avenue at a 75% to 25% split
with Parkland up to $200,000 by the City, at which point Parkland will cover any
excess cost. Staff views these improvements as essential to the redevelopment
of the property for the proposed use and in the public interest for life safety,
future revenues to public utilities for public service delivery, and improved
pedestrian access and safety.
However, this participation represents a significant potential investment of
capital into our existing public infrastructure to facilitate the project, and so we
have determined and Parkland agreed that there should be commensurate
Page 10 of 12
investments in the Muskegon community to exemplify partnership and good
corporate citizenship. Specifically, the agreement calls for the developer to
formalize a workforce training agreement with Muskegon Public Schools,
MCEC, or another affiliate program of MPS to provide workforce development
opportunities to MPS students. This is to be executed for a term of not less than 5
years, and must be done prior to the City beginning any of the infrastructure
alterations in the CBA, and provided to the City upon request. Further, per the
agreement the developer shall pay for one mutually agreed upon public asset
improvement in the Nims Neighborhood where the project is located. They
must work with the Nims Neighborhood Association board to determine this
project and it must be done within 2 years of the effective date of the CBA. The
developer must also pay for one public asset at Hartshorn Marina Park as
represented on the Park Master Site Plan. This must be mutually agreed upon by
the developer and the City and installed within 2 years of the effective date of
the agreement.
STAFF RECOMMENDATION: Motion to accept the Community Benefits
Agreement between the City of Muskegon and Parkland Properties of
Michigan - Shaw Walker Opportunity Zone Business 1, LLC, Shaw Walker
Opportunity Zone Business 2, LLC, Shaw Walker Opportunity Zone Business 3,
LLC, and Shaw Walker Opportunity Zone Business 4, LLC, and to authorize the
Mayor and Clerk to sign.
Motion by Commissioner Keener, second by Commissioner Kochin, to accept
the Community Benefits Agreement between the City of Muskegon and
Parkland Properties of Michigan - Shaw Walker Opportunity Zone Business 1,
LLC, Shaw Walker Opportunity Zone Business 2, LLC, Shaw Walker Opportunity
Zone Business 3, LLC, and Shaw Walker Opportunity Zone Business 4, LLC, and to
authorize the Mayor and Clerk to sign.
ROLL VOTE: Ayes: Johnson, Kilgo, Keener, Gorman, Kochin, and St.Clair
Nays: None
MOTION PASSES
ANY OTHER BUSINESS
City Manager Jonathan Seyferth stated the last General Public Engagement
for the Fisherman's Landing Lakeshore Development Project will be Monday,
February 17, 2025, at 4:00 p.m., at Muskegon Innovation Hub at Grand Valley
State University, 200 Viridian Drive.
Commissioner Kilgo announced MDOT is hosting a public meeting for the M-46
(Apple Avenue) project on February 24, 2025, at 4:00 p.m., at City Hall in the
Commission Chambers. All are invited to come.
Commissioner Kochin reminded everyone that Friday is Valentine’s Day and
that we have a lot of great local businesses to shop at.
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GENERAL PUBLIC COMMENT
Public comments received.
ADJOURNMENT
The City Commission meeting adjourned at 7:33 p.m.
Respectfully Submitted,
Ann Marie Meisch, MMC City Clerk
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