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CITY OF MUSKEGON CITY COMMISSION MEETING April 22, 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, April 22, 2025. Pastor Rob Renberg from Anchor Point Bible 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 Katrina Kochin, Jay Kilgo, Destinee Keener, Willie German, Jr., and Rachel Gorman (arrived at 6:30 p.m.), City Manager Jonathan Seyferth, City Attorney John Schrier, and City Clerk Ann Marie Meisch HONORS, AWARDS, AND PRESENTATIONS A. Fresh Coast Climate Solutions - Climate Action Plan Manager's Office REMOVED PER STAFF REQUEST 2025-32 PUBLIC HEARINGS A. Neighborhood Enterprise Zone Certificates for 346 Wood St., 320 Wood St., 209 Merrill Ave., 213 Merrill Ave., and 436 Charles St. Economic Development Staff is requesting the approval of Neighborhood Enterprise Zone (NEZ) certificates for 15 years for new construction homes at 346 Wood St., 320 Wood St., 209 Merrill Ave., 213 Merrill Ave., and 436 Charles St. An application for a Neighborhood Enterprise zone (NEZ) certificate has been received from Stephens Homes and Investments for the new construction of homes at 346 Wood St., 320 Wood St., 209 Merrill Ave., 213 Merrill Ave., and 436 Charles St. The cost of construction is between $140,000 and $210,000 per home. The applicant has met local and state requirements for the issuance of Page 1 of 12 the NEZ certificate. STAFF RECOMMENDATION: I move to close the public hearing and approve the Neighborhood Enterprise Zone (NEZ) certificates for 15 years at 346 Wood St., 320 Wood St., 209 Merrill Ave., 213 Merrill Ave., and 436 Charles St. and authorize the City Clerk and Mayor to sign the certificate and 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 Kochin, to close the public hearing and approve the Neighborhood Enterprise Zone (NEZ) certificates for 15 years at 346 Wood St., 320 Wood St., 209 Merrill Ave., 213 Merrill Ave., and 436 Charles St. and authorize the City Clerk and Mayor to sign the certificate and resolution. ROLL VOTE: Ayes: St.Clair, Johnson, Kilgo, Keener, German, and Kochin Nays: None MOTION PASSES B. Neighborhood Enterprise Zone Certificate - 328 Terrace Point Circle Economic Development Staff is requesting the approval of a Neighborhood Enterprise Zone (NEZ) certificate for 12 years for a new construction home at 328 Terrace Point Circle. An application for a Neighborhood Enterprise Zone (NEZ) certificate has been submitted by Katherine M. Kesteloot-Scarbrough for a new construction home at 328 Terrace Point Circle. The estimated construction cost is $600,000. The application meets all local and state requirements for NEZ certification. Included in your materials are the NEZ resolution for Terrace Point Landing and a map outlining the NEZ boundaries for your review. STAFF RECOMMENDATION: I move to close the public hearing and approve the Neighborhood Enterprise Zone certificate for 12 years at 328 Terrace Point Circle and authorize the City Clerk and Mayor to sign the certificate and 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 Vice Mayor St.Clair, to close the public hearing and approve the Neighborhood Enterprise Zone certificate for 12 years at 328 Terrace Point Circle and authorize the City Clerk and Mayor to sign the certificate and resolution. ROLL VOTE: Ayes: Johnson, Kilgo, Keener, German, Kochin, and St.Clair Nays: None MOTION PASSES Page 2 of 12 C. Neighborhood Enterprise Zone Certificate - 312 Jackson Ave. Economic Development Staff is requesting the approval of a Neighborhood Enterprise Zone (NEZ) certificate for 15 years for a new construction home at 312 Jackson Ave. An application for a Neighborhood Enterprise Zone (NEZ) certificate has been received from Sjaarda Homes and Properties LLC for a new construction home (3 bedrooms, 2 baths) at 312 Jackson Ave. The cost of construction is approximately $157,000. 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 certificate for 312 Jackson Ave. and authorize the City Clerk and Mayor to sign the certificate and resolution. The Public hearing opened to hear and consider any comments from the public. No public comments were made. Motion by Commissioner Kochin, second by Commissioner Keener, to close the public hearing and approve the Neighborhood Enterprise Zone certificate for 15 years at 312 Jackson Ave. and authorize the City Clerk and Mayor to sign the certificate and resolution. ROLL VOTE: Ayes: Kilgo, Keener, German, Kochin, St.Clair, and Johnson Abstain: Gorman Nays: None MOTION PASSES FEDERAL/STATE/COUNTY OFFICIALS UPDATE No comments were made. PUBLIC COMMENT ON AGENDA ITEMS No public comments were made. 2025-33 CONSENT AGENDA A. Approval of Minutes City Clerk To approve minutes of the April 7, 2025, Worksession Meeting, and the April 8, 2025, City Commission Meeting. STAFF RECOMMENDATION: Approval of the minutes. B. Fresh Coast Climate Solutions - Climate Action Plan Manager's Office REMOVED PER STAFF REQUEST Page 3 of 12 C. FY26 Chip Seal Program Public Works Staff requests approval to enter into a contract with Pavement Maintenance Systems in the amount of $258,245 for chip seal and fog seal services in the 2025-26 fiscal year. Chip sealing has long been acknowledged as one of the most cost-effective ways of extending the life of a street. When applied at the right time, it can extend the life of a roadway by five or even ten years. It works by placing a water-tight seal on the pavement, and then covering that seal in "chips" (small rocks) that give friction back to the road surface. By keeping the water out, and preventing oxidization by the sun, two of the main sources of road deterioration are reduced. While chip seals are more traditionally seen in rural areas, they are becoming increasingly common in urban areas as well. The Muskegon County Road Commission, for example, has placed chip seals on Sherman Boulevard east of US-31 and on Sternberg Road east of Harvey Street, both high-traffic urban areas. Staff have carefully selected roadways that fit the criteria for successful chip seals, which are listed here: • Sherman from Beach to Lincoln • Getty from Marquette to US-31BR (Access Highway) • Broadmoor from Marquette to Brusse • Marquette from Harvey to Quarterline • Quarterline from Marquette to Stebbins The low bidder, Pavement Maintenance Systems, included a qualifier that their schedule for the 2025 construction season is nearly full, and they may not be able to accomplish the work yet this season. They have agreed to a deadline of June 30, 2026, so the work will be complete no later than next spring. The work will fall into next fiscal year (2025-26), and both the DPW Director and Manager agree that the Streets Fund Budget will easily accommodate this work and plan to include it in the FY26 budget presented to the Commission. STAFF RECOMMENDATION: I move to approve staff to enter into a contract with Pavement Maintenance Systems in the amount of $258,245 for chip seal and fog seal services in the 2025-26 fiscal year. D. Qualitative Assessment Contract Assignment Manager's Office Staff is requesting permission to assign the phase 2 qualitative assessment contract with MGT to Mitchell Consulting Group, LLC. In January of 2024, commission approved a contract with MGT to review a number of city policies for their impact on equity and provide recommendations for changes to existing policies as well as for new policies that further our efforts to realize our equity vision. The last phase of the project Page 4 of 12 includes a qualitative assessment of our organization's strengths, weaknesses, and readiness to embrace these principles. Staff focus groups will be the primary mode of understanding the state of our current organization. MGT has recently modified its business model, phasing out cultural transformation solution offerings. They are requesting that the last portion of our contract be reassigned to Mitchell Consulting Group, LLC for administration. Vernetta Mitchell of Mitchell Consulting Group, LLC will serve as a Senior Technical Advisor who will review all draft and final deliverables on the project. Vernetta is a former MGT Director and close partner. Zunilda Rodriguez, the current MGT Project Director, will continue to manage the project and lead the team, lead client-facing meetings, and will direct all client deliverables across the project. Banen Al-Sheemary, a MGT Senior Consultant, will also continue to support all client-facing meetings and deliverables across the project. A capability statement for Mitchell Consulting Group, LLC is included for your reference. There will be no change to the contract price which will be included in the FY 2025/26 budget. STAFF RECOMMENDATION: to approve the contract assignment to Mitchell Consulting Group, LLC. E. Amendment to the zoning ordinance - Planned Unit Development (PUD) compliance (SECOND READING) Planning Staff-initiated request to amend Section 2101 of the zoning ordinance to require the Zoning Administrator to review all Planned Unit Development sites for accuracy before a certificate of occupancy can be issued for any building. Staff is proposing to add additional language to the PUD regulations that requires the Zoning Administrator to ensure compliance with the site plan before a certificate of occupancy can be obtained for a building. There have been some issues over the years with some PUDs receiving a certificate of occupancy without fully complying with the approved site plan. Most recently, the absence of this proposed language has caused confusion in the Harbour Towne development regarding the installation of sidewalks. A certificate of occupancy is issued by the Inspections Department. If the amendment is approved, the Inspections Department would require the Zoning Administrator to sign off on the project before the certificate of occupancy is issued. The Planning Commission recommended a different wording for the ordinance amendment. They unanimously recommended in favor (6-0, 3 members absent) of the following ordinance language: Section 2101 6. The Zoning Administrator shall ensure reasonable progress is being made to comply with all of the provisions and requirements of the PUD plan and construction and placement of all of the improvements therein before a certificate of occupancy may be issued for any building within the PUD. Before a certificate of occupancy for the final elements of the PUD, the Zoning Page 5 of 12 Administrator shall ensure complete compliance with all of the provisions and requirements of the PUD plan and construction and placement of all of the improvements therein before a certificate of occupancy is issued. STAFF RECOMMENDATION: I move to approve the amendment to Section 2101 of the zoning ordinance as proposed by the Planning Commission. F. Ordinance Amendment - International Property Maintenance Code (SECOND READING) Public Safety Building codes are currently enforced by the 2015 International Property Maintenance Code and need to be updated to follow the 2021 version. City of Muskegon Building Inspections follow the International Property Maintenance Code (IPMC) to enforce property maintenance. Ordinances are currently written to follow the 2015 code but need to be updated to reflect the 2021 IPMC. Adopting the 2021 IPMC ensures consistent, minimum standards for property maintenance, promotes public health and safety and provides clear expectations for property owners and occupants. STAFF RECOMMENDATION: I move to adopt the 2021 International Property Maintenance Code for all city ordinances. G. Health and Dental Care Renewal Finance To approve the renewal of Priority Health as the City’s fully insured health care provider and the Third Party Administrator for City’s self-funded health care plan. And to renew Delta Dental as the City’s dental insurance provider. STAFF RECOMMENDATION: To approve the renewal of Priority Health as the City's fully insured health care provider and the Third Party Administrator for City's self-funded health care plan. And to renew Delta Dental as the City's dental insurance provider. H. Sale of 436 Adams Planning Staff is seeking authorization to sell the City-owned vacant lot at 436 Adams to Ryskamp Properties 10 LLC (Dave Ryskamp). Ryskamp Properties 10 LLC (Dave Ryskamp) would like to purchase the City- owned buildable lot at 436 Adams for $3,000 (75% of the True Cash Value of $4,000) plus half of the closing costs, and the fee to register the deed. Ryskamp Properties 10 LLC (Dave Ryskamp) will be constructing a duplex on the property. STAFF RECOMMENDATION: Authorize staff to sell the City-owned vacant lot at 436 Adams to Ryskamp Properties 10 LLC (Dave Ryskamp). K. Contract Award - City Signage Public Works Page 6 of 12 Staff is requesting authorization to enter into a contract with Port City Signs in the amount not to exceed $130,913 for the production and installation of various signs throughout the city. To improve consistency, visibility, and wayfinding across Muskegon, staff released a Request for Proposals (RFP) for a comprehensive signage upgrade. The RFP covers multiple categories: 1. New Park Signs – Replacing aging wooden signs at city parks with modern, durable signage that reflects the city's brand and highlights park amenities. 2. Public Waterfront Access Signs – Installing directional signage for both vehicles and pedestrians to mark public access points along Muskegon Lake. 3. Winter Parking + Welcome Signs – At the direction of the City Commission, new signs outlining winter parking rules will be added at major city entry points. At the same time, existing “Welcome to Muskegon” street-style signs at those locations will be updated for consistency. 4. Municipal Building Signage – Updating exterior signage at City Hall, the Department of Public Works, fire stations, and the Water Filtration Plant to improve visibility and identification. The City received eight bids for the project, ranging from $107,899 to over $256,000. Staff recommends awarding the contract to Port City Signs, the lowest bidder at $107,899.94 plus the option cost of $23,013.62 for a total cost of $130,913. Port City Signs is a local contractor and has previously completed signage work for the City of Muskegon. The total project cost will be shared across multiple departmental budget accounts. STAFF RECOMMENDATION: Move to authorize staff to enter into a contract with Port City Signs, not to exceed $130,914 for the production and installation of various signs throughout the city. M. Design and Construction Engineering Services for Industrial Park and Sherman Lift Station Improvements Public Works Staff is requesting approval of a contract with Fleis & VandenBrink for Engineering Services in the amount of $41,800. Proposals were received from Engineering Consultants to provide Design and Construction Engineering Services for Improvements to the Industrial Park and Sherman Street Lift Stations. The proposals were reviewed and evaluated based on project team, Project Understanding, Cost, and Location. Fleis & VandenBrink was rated the highest and was also the consultant with the lowest cost for the proposed services. Page 7 of 12 STAFF RECOMMENDATION: I move to authorize staff to enter into an agreement with Fleis & VandenBrink in the amount of $41,800 for the Design and Construction Engineering Services requested for the Industrial Park and Sherman Street Lift Stations. N. Parking Enforcement Management System Public Safety REMOVED PER STAFF REQUEST Motion by Commissioner German, second by Commissioner Keener, to approve the consent agenda as presented minus items I, J, and L. ROLL VOTE: Ayes: Keener, German, Gorman, Kochin, St.Clair, Johnson, and Kilgo Nays: None MOTION PASSES 2025-34 ITEMS REMOVED FROM THE CONSENT AGENDA I. Contract Award - Amity Street Extra Work DPW- Engineering Staff is requesting authorization to enter into a contract with AnLaan Corporation in the amount of $141,863.92 for the reconstruction of Amity Street, from the bridge to Fork. The City is currently under contract with AnLaan (via MDOT) to replace the Amity Avenue Bridge. That project does not include the half block of roadway from the bridge to Fork Street. In discussions with MDOT, because bridge funds were used for that project, the extra work cannot be added to it (since this is considered road work). If this work is not completed, this 300 foot section of Amity will be the only part in the middle of about three-quarters of a mile that has not been rebuilt, and the work will include replacing the lead service lines as well. Staff requests authorization to enter into a contract with AnLaan to complete a road reconstruction project on the remaining half block of Amity. Unit prices were submitted by AnLaan for work items that were not included in the MDOT project. Items of work that were included in the MDOT project, AnLaan has agreed to match the unit pricing. While this additional work contract was not publicly bid separately, staff is confident AnLaan is the most economical and efficient option for this work. The bidding process would add additional time and complicate construction methods if another contractor is selected. The unit prices submitted are also very reasonable; the existing contract was bid competitively through the MDOT bidding process and MDOT awarded the contract to AnLann at over 20% below the Engineer's Estimate. The cost will likely fall in FY26 but if the project moves more quickly, staff will adjust the Page 8 of 12 budget at the Q4 reforecast. The streets fund has reserves to cover this expense. STAFF RECOMMENDATION: Move to authorize staff to enter into a contract with AnLaan Corporation in the amount of $141,863.92 for the reconstruction of Amity Street, from the bridge to Fork. Motion by Commissioner Kilgo, second by Vice Mayor St.Clair, to authorize staff to enter into a contract with AnLaan Corporation in the amount of $141,863.92 for the reconstruction of Amity Street, from the bridge to Fork. ROLL VOTE: Ayes: German, Gorman, Kochin, St.Clair, Johnson, Kilgo, and Keener Nays: None MOTION PASSES J. Special Event Policy Update DPW- Parks and Recreation Recommended update to the special event policy to not allow a food vendor within 20 feet of the entrance door or service window of an existing restaurant. As previously discussed, this update to the special event policy provides guidance on food vendor placement for events. Allowing 20 feet on either side of a restaurant's entrance or service window to be free from a food vendor would keep restaurants visible during festivals and leave spaces for event organizers to place food vendors within their footprint. STAFF RECOMMENDATION: I move to approve the proposed addition to the special event policy to not allow a food vendor to be placed within 20 feet of a restaurant's entrance door or service window. Motion by Commissioner Kochin, second by Commissioner Gorman, to approve the proposed addition to the special event policy to not allow a food vendor to be placed within 20 feet of a restaurant's entrance door or service window. ROLL VOTE: Ayes: Gorman, Kochin, St.Clair, Johnson, Kilgo, Keener, and German Nays: None MOTION PASSES L. 880 First Street Demo Asbestos Change Order #2 Economic Development City staff requests approval of Asbestos Abatement Inc.'s proposal for additional asbestos abatement work to proceed with the approved demolition of the 880 First St. structure. Page 9 of 12 The City of Muskegon solicited bids from qualified contractors for the demolition of the building located at 880 First St., Muskegon, MI 49440. The scope of work includes complete demolition and removal of the structure, including all foundations and footings, backfilling the site, hydroseeding, and asbestos abatement. The primary objective is to eliminate blight, improve the area's aesthetic appeal, and encourage economic development by preparing the site for future opportunities. Asbestos Abatement Inc. was awarded the bid by the City Commission on October 8, 2024. Additional asbestos containing material was found on the lower roof flashing. AAI has completed an asbestos survey, and the report is available for your review. To proceed with demolition, asbestos abatement must be completed. Scope of Work: Removal and disposal of asbestos containing lower roof flashing beneath poured concrete deck. Required personal air monitoring and clearances included. Continuous third- party air monitoring not included. State notification and permits included. Total Cost: $53,562 STAFF RECOMMENDATION: I move to approve the asbestos abatement proposal submitted by Asbestos Abatement Inc. for the property located at 880 First St., Muskegon, MI 49440, in the amount of $53,562. Motion by Vice Mayor St.Clair, second by Commissioner Kochin, to approve the asbestos abatement proposal submitted by Asbestos Abatement Inc. for the property located at 880 First St., Muskegon, MI 49440, in the amount of $53,562. ROLL VOTE: Ayes: Kochin, St.Clair, Johnson, Kilgo, Keener, German, and Gorman Nays: None MOTION PASSES 2025-35 NEW BUSINESS A. Pole Banner Policy DPW- Parks Staff requests approval of a new Pole Banner Policy in response to an increasing number of requests. A new pole banner policy is being proposed to create a consistent process in which requests can be received to display a banner on a city-owned light pole. An application can be submitted by an educational institution or an event organizer that has been approved through the special event process. The City Manager or their designee will review the application for community benefit and design quality. The Department of Public Works will review the Page 10 of 12 application with regard to logistics and scheduling conflicts with other requests. Applicants will have a $50 application fee for new images. An image can be used for an additional 4 years at no additional charge. Many of the specific rules and statements in the policy are a direct outcome of a detailed legal review. There is an existing fee, created in 2008 in the user fee schedule, to "Hang And/Or Remove Banner" of $450 for each request and $50 for each additional banner. The proposed fee to install and remove banners was based on a study of the average amount of time it takes to install a banner multiplied by staff hourly rates and equipment rates. This came out to be $75 per pole to install and remove each banner. Staff estimates there are about 80 poles throughout the City, concentrated in Downtown, Midtown (Third Street southeast of Muskegon Ave), and Lakeside. There are 14 poles identified in Downtown and Lakeside, which are more regularly used by existing approved users. The cost of hanging banners on these poles was cut in half, because staff would be able to remove the previous banner at the same time as installing the next banner. STAFF RECOMMENDATION: I move to approve the Pole Banner Policy as presented. Motion by Commissioner Kilgo, second by Vice Mayor St.Clair, to approve the Pole Banner Policy as presented. ROLL VOTE: Ayes: St.Clair, Johnson, Kilgo, Keener, German, and Gorman Nays: Kochin MOTION PASSES ANY OTHER BUSINESS Commissioner Gorman commented that the Michigan Strategic Fund did approve the Transformational Brownfield Credit for Shaw Walker and she wanted to recognize our Development Services Team and City Manager for all they have done. Vice Mayor St.Clair stated that Pere Marquette Beach has been nominated by USA Today for the 10 Best Beaches in Michigan. Make sure you vote. Commissioner Kochin stated that today is Earth Day and there are a lot of businesses in the City doing a great job cleaning up the City. She also mentioned that early voting is coming up next week. City Manager Jonathan Seyferth stated the Development Services Office work has been nominated for an Ivory Housing Prize, we are now in the top 10 finalists for the infill housing program. Mayor Johnson mentioned the opportunities to volunteer to clean-up beaches: Thursday, April 24th at 7:00 p.m. at Pere Marquette Beach, and Sunday April 27th at 8:30 a.m. at the AFL CIO Hall on Western Avenue and choose a spot to clean. Page 11 of 12 GENERAL PUBLIC COMMENT Public comments received. 2025-36 CLOSED SESSION A. Attorney/Client Confidential Communication Manager's Office Motion by Vice Mayor St.Clair, second by Commissioner Kilgo, to go into closed session to consider material exempt from discussion and disclosure by State or Federal Statute, being an attorney client communication. ROLL VOTE: Ayes: Keener, German, Gorman, Kochin, St.Clair, Johnson, and Kilgo Nays: None MOTION PASSES Motion by Commissioner Kochin, second by Commissioner Kilgo, to come out of closed session. ROLL VOTE: Ayes: German, Gorman, Kochin, St.Clair, Johnson, Kilgo, and Keener Nays: None MOTION PASSES ADJOURNMENT The City Commission meeting adjourned at 9:26 p.m. Respectfully Submitted, Ann Marie Meisch, MMC City Clerk Page 12 of 12
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