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CITY OF MUSKEGON
CITY COMMISSION MEETING
May 13, 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, May 13, 2025.
Pastor E. J. Wood from All Shores Wesleyan Church, opened the meeting with
prayer, after which the Commission and public recited the Pledge of Allegiance
to the Flag.
ROLL CALL
Present: 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
Absent: Mayor Ken Johnson
2025-38 PUBLIC HEARINGS
A. Brownfield Plan Amendment- 351 W. Western Ave., 351 Phase II,
LLC Economic Development
351 Phase II, LLC is requesting consideration of their brownfield plan amendment
for the redevelopment project located at 351 West Western Avenue.
The City of Muskegon Brownfield Redevelopment Authority has received a
request for approval of a Brownfield Plan Amendment under Act 381 for the 351
Phase II Redevelopment Project. The proposed amendment involves the
redevelopment of approximately 0.5 acres of partially improved and vacant land
located at the corner of W. Western Ave. and 2nd Street in downtown Muskegon.
The project, led by 351 Phase II, LLC, will transform the property into a mixed-use
development featuring 64 new residential units (41 studios and 23 one-bedroom
units), and approximately 3,112 square feet of first-floor retail space. This addition
will enhance the existing Lake View Lofts project, which currently comprises 20
residential units, bringing the total to 84 units.
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Approximately 50% of the new units (32 units) will be designated for tenants
earning 120% of the area median income or less for a period of 30 years. The
project is expected to commence in summer/fall 2025 and be completed within
a 15-month construction period. The total capital investment is estimated at $27.7
million. The amendment allows for the use of tax increment financing (TIF) to
reimburse the developer for eligible activities totaling $6,540,560. This includes
baseline environmental assessment activities, housing development activities, site
preparation, infrastructure improvements, and potential rent loss. The Brownfield
Redevelopment Authority's administrative costs are expected to be $384,333 and
$353,829 for the Local Brownfield Revolving Fund.
STAFF RECOMMENDATION: I move to close the public hearing and approve the
Brownfield Plan Amendment for 351 Phase II, LLC.
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 German, to close the
public hearing and approve the Brownfield Plan Amendment for 351 Phase II, LLC.
ROLL VOTE: Ayes: Kilgo, Keener, German, Gorman, Kochin, and St.Clair
Nays: None
MOTION PASSES
B. Neighborhood Enterprise Zone Certificate - 1542 Adams Ave. Economic
Development
The staff are requesting the approval of a Neighborhood Enterprise Zone (NEZ)
certificate for 15 years for a new construction home at 1542 Adams Ave.
An application for a Neighborhood Enterprise zone (NEZ) certificate has been
received from Stephens Homes and Investments for a new construction home at
1542 Adams Ave. The cost of construction is $130,000. 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 (NEZ) certificate for 15 years at 1542 Adams 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 Kilgo, second by Commissioner Gorman, to close the
public hearing and approve the Neighborhood Enterprise Zone (NEZ) certificate
for 15 years at 1542 Adams Ave. and authorize the City Clerk and Mayor to sign
the certificate and resolution.
ROLL VOTE: Ayes: Kilgo, Keener, German, Gorman, Kochin, and St.Clair
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Nays: None
MOTION PASSES
C. Neighborhood Enterprise Zone Certificate - 397 Marquette Ave. Economic
Development
The staff are requesting the approval of a Neighborhood Enterprise Zone (NEZ)
certificate for 15 years for a new construction home at 397 Marquette Avenue.
An application for a Neighborhood Enterprise Zone (NEZ) certificate has been
received from LRS Enterprises LLC for a new construction home at 397 Marquette
Ave. The cost of construction is $180,000. 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 (NEZ) certificate for 15 years for 397 Marquette
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 German, to close the
public hearing and approve the Neighborhood Enterprise Zone (NEZ) certificate
for 15 years for 397 Marquette Ave. and authorize the City Clerk and Mayor to
sign the certificate and resolution.
ROLL VOTE: Ayes: Keener, German, Gorman, Kochin, St.Clair, and Kilgo
Nays: None
MOTION PASSES
D. Neighborhood Enterprise Zone Certificate - 303 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 303 Terrace Point Circle.
An application for a Neighborhood Enterprise Zone (NEZ) certificate has been
received from Greg and Karen Wing for their home located at 303 Terrace Point
Circle. The estimated cost of construction exceeds $300,000, and the home
received a Certificate of Occupancy on November 11, 2019. The original NEZ
application was submitted to the City of Muskegon in 2023 but was not processed
or forwarded to the State due to an internal clerical error. A letter from the City
acknowledging this oversight is included with this item. After consultation with the
Michigan Department of Treasury, the applicants were advised to reapply.
However, the State Tax Commission has noted that while reapplication is
permitted, approval is not guaranteed.
STAFF RECOMMENDATION: I move to close the public hearing and approve the
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Neighborhood Enterprise Zone (NEZ) certificate for 12 years at 303 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 Kilgo, second by Commissioner Kochin, to close the
public hearing and approve the Neighborhood Enterprise Zone (NEZ) certificate
for 12 years at 303 Terrace Point Circle and authorize the City Clerk and Mayor to
sign the certificate and resolution.
ROLL VOTE: Ayes: German, Gorman, Kochin, St.Clair, Kilgo, and Keener
Nays: None
MOTION PASSES
PUBLIC COMMENT ON AGENDA ITEMS
Public comments received.
2025-39 CONSENT AGENDA
A. Approval of Minutes City Clerk
To approve minutes of the April 22, 2025, City Commission Meeting.
STAFF RECOMMENDATION: Approval of the minutes.
B. Sale of 283 & 287 E. Walton Planning
Staff is seeking authorization to sell the City-owned vacant lots at 283 & 287 E.
Walton to Sjaarda Homes and Properties LLC (Derek Sjaarda).
Sjaarda Homes and Properties LLC (Derek Sjaarda) would like to purchase the
City-owned buildable lots at 283 & 287 E. Walton 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.
Sjaarda Homes and Properties LLC (Derek Sjaarda) will be constructing a single-
family home on each of the properties.
STAFF RECOMMENDATION: Authorize staff to sell the City-owned vacant lot at 283
& 287 E. Walton to Sjaarda Homes and Properties LLC (Derek Sjaarda).
C. Sale of 1067 Sophia Planning
Staff is requesting approval of a purchase agreement for 1067 Sophia for
$125,000.
1067 Sophia was constructed through the agreement with Dave Dusendang to
construct infill housing with ARPA funding. The offer ($125,000) is under asking
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price ($129,900).
STAFF RECOMMENDATION: To approve the Purchase Agreement for 1067 Sophia
for $125,000.
D. Sale of 444 Adams Planning
Staff is seeking authorization to sell the City-owned vacant lot at 444 Adams to
Ryskamp Properties LLC (Dave Ryskamp).
Ryskamp Properties LLC (Dave Ryskamp) would like to purchase the City-owned
buildable lot at 444 Adams for $3,000 (75% of the True Cash Value of $4,000) plus
half of the closing costs, and the fee to register the deed. Ryskamp Properties LLC
(Dave Ryskamp) will be constructing a duplex on the property.
STAFF RECOMMENDATION: Authorize staff to sell the City-owned vacant lot at 444
Adams to Ryskamp Properties LLC (Dave Ryskamp).
E. Liquid Sodium Hypochlorite Renewal Public Works
Staff is requesting authorization to renew our purchase agreement for liquid
sodium hypochlorite from Webb Chemical.
The Water Filtration Plant uses sodium hypochlorite in the production of drinking
water. The application of sodium hypochlorite is one of several crucial processes used
to inactivate or remove pathogens from the water. Since 1996, the Water Filtration
Plant has solicited competitive bids for water treatment chemicals jointly with the
cities of Grand Haven, Grand Rapids, Holland, Muskegon Heights, and Wyoming. The
City of Grand Rapids manages this bidding process and holds the master
agreement. Bids were solicited for a one-year contract with the option to renew for
two additional one-year terms. Webb Chemical’s bid has no price increases for the
one-year duration of the contract and is overall the cheapest bidder. Webb
Chemical is a local supplier to Muskegon County and has supplied the cooperative
with liquid sodium hypochlorite in the past. Staff recommends we continue with the
cooperative and renew Webb Chemical as our supplier.
1-Year 2-Year
($/ton) ($/ton)
Alexander Chemical Corp 387.23 407.19
JCI Jones Chemicals Inc 374.14 374.14
Rowell Chemical 447.00 No Bid
Webb Chemical Service Corp 366.00 366.00
The Water Filtration Plant has used an average of 450 tons of liquid sodium
hypochlorite in the previous three fiscal years. With this renewal, our estimated cost
would remain at $164,700.00 for the renewed one-year contract. Liquid sodium
hypochlorite is included in the budget, but the actual amount spent will depend on
water demand and source water quality.
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STAFF RECOMMENDATION: I move to authorize staff to participate in the treatment
plant purchase cooperative and renew our purchase agreement for liquid
sodium hypochlorite with Webb Chemical.
F. Contractor selection- 1698 Wood St. Community & Neighborhood Services
Select contractor to complete lead abatement and general contracting work.
The CNS department purchased a vacant house at 1698 Wood Street for $65,000. The
purpose is to rehab the property and sell it to an income-eligible family.
HOME guidelines require that a lead risk assessment be conducted. The risk
assessment identified significant amounts of lead throughout the house. In January
2025, an RFP was published to request bids for the lead remediation work and
general rehab work for a 4-bedroom, 2-bath accessible home.
Bids were received from 3 contractors. The evaluation of the bids showed that the
contractors did not submit complete bid packets. Also, the rehab amounts were
much higher than anticipated.
Bids were then evaluated by additional CNS staff, who also consulted with SafeBuilt
for an opinion of the cost. Staff conducted an itemized cost comparison by
comparing bids from other lead projects with these bids. It was determined that the
line items were comparable in cost to other lead work by the same contractors.
Part of the request for bids is for electrical work, plumbing and HVAC. To ease the
time burden on staff, the hope was to have the general contractor hire and manage
the individual trades throughout the rehab process. To determine if the bids for these
parts of the project were reasonable, HVAC, plumbing and electrical contractors
were invited to bid on that part of the project. The following is the breakdown:
Trade Contractor Type of Contractor Cost
Plumbing Badgerow’s B&R Lead and General $20,000
Nassau Lead and General $21,860
Across the Board Lead and General $18,750
Andy’s Plumbing Plumber $19,000
HVAC Badgerow’s B&R Lead and General $8,000
Nassau Lead and General $22,000
Across the Board Lead and General $30,000
Jewett Heating and Cooling $9,145
Electrical Badgerow’s B&R Lead and General $20,000
Nassau Lead and General $22,000
Across the Board Lead and General $30,000
Belasco Electric Electrical $19,175
After reviewing the additional bids, it was determined that, while not a huge savings,
it would save a few hundred dollars if CNS hires the specialized contractors directly.
CNS staff also scheduled an inspection of the roof to determine its condition and
need for repairs. The roofing contractor was able to confirm that the house has a
fairly new roof. It was installed correctly and does not need to be replaced at this
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time. A couple of repairs are needed, but this will be a cost savings of at least
$13,000.
All the existing windows have tested positive for lead, which is a very expensive part
of the project. To save money, staff created a new floor plan that eliminated 10
windows. This saves about $15,000.
Unfortunately, while doing the contractor walk-throughs, questions were raised about
the height of the second-floor ceiling. Staff requested an evaluation by SafeBuilt, and
they concluded that the ceiling is too low to have rooms on this floor. The scope of
work had to be changed to include properly raising and insulating the ceiling. This
added costs to the rehab work.
A revised RFP went out at the end of March. CNS received 3 bids. Two for the lead
and general and one for just the general rehab work. The project has been awarded
to Badgerow’s Building and Remodeling at a total cost of $204,150 for the general
rehab and lead remediation.
While the cost of the project is significantly higher than originally expected, the
revised scope of work saves a considerable amount of money.
A breakdown of the bids received in February and April is below.
Lead General Rehab
Contractor Remediation Total Project Total
Feb 2025 Bids
Badgerow's B&R $97,200.00 $202,150.00 $299,350.00
Nassau
Construction $79,980.00 $205,444.00 $285,424.00
Across the Board $82,100.00 $232,175.00 $314,275.00
CTI $0.00 $0.00 $0.00
April 2025 Bids
Badgerow's B&R $61,250.00 $142,900.00 $204,150.00
Nassau
Construction $79,980.00 $177,084.00 $257,064.00
Across the Board $0.00 $0.00 $0.00
CTI-submitted for
general rehab
only $0.00 $366,030.00
TOTAL PROJECT COSTS
TOTAL PROJECT $251,470.00
Lead Remediation $61,250
General Rehab $142,900
HVAC $9,145
Electrical $19,175
Plumbing $19,000
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STAFF RECOMMENDATION: To approve general and trade contractors to
complete the rehabilitation of 1698 Wood St.
J. Fleet Vehicle Replacements Public Works
Staff recommends purchasing three pickup trucks to replace aging vehicles in the
city’s fleet.
Staff recommends purchasing two 2025 Ford Maverick pickup trucks from Great
Lakes Ford at a total cost of $59,566.00 to replace aging fleet vehicles—a 2007
Ford Ranger and a 2011 Ford F-150. Three quotes were obtained from local
dealers: 2025 Ford Mavericks from Great Lakes Ford at $29,783 each, 2025 Honda
Ridgelines from Betten at $38,592.05 each, and 2024 Chevy Colorados from
Betten for $43,078.25 each.
Additionally, staff recommends purchasing one Ford F-250 pickup truck from
Gorno Ford for $55,987.00 to replace a 2011 Ford F-250. The purchase of the Ford
F-250 is being made through the MiDEAL cooperative purchasing program, which
ensures competitive pricing through publicly bid contracts.
All recommended vehicle purchases are included in the FY 2024–25 Equipment
Fund budget. The total cost for these acquisitions is $115,553.00.
STAFF RECOMMENDATION: I move to authorize staff to purchase two Ford
Mavericks from Great Lakes Ford and one Ford F-250 from Gorno Ford for a total
cost of $115,553.00.
K. Energy Performance Contract Consultant Public Works
Staff request approval to enter into an arrangement with Johnson Controls, Inc.,
an energy service company, to prepare an energy performance contract.
An Energy Performance Contract (EPC), is a financing mechanism where an
Energy Service Company (ESCO) installs, and in some cases maintains, energy-
efficient equipment in a customer's facility and is paid for the cost of the project
with a portion of the energy savings generated. The ESCO guarantees a level of
energy savings over a specific period, and the customer pays for the project
through those savings, often without upfront capital expenditures. EPCs are
commonly used by governments to fund energy efficiency projects in their
facilities.
Staff solicited a Request for Qualifications. This included reached out to Johnson
Controls, Inc. (JCI), American Building Maintenance (ABM), and RWE Clean
Energy to specifically solicit qualifications from those firm based on prior contacts
with those firms, plus a full advertisement according to the City's standard process
(on the website, etc.). Only JCI submitted to the RFQ.
Staff recommends JCI based on our interactions with them, their work with similar
nearby organizations, and their RFQ submittal. JCI has worked with many
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Michigan cities on projects like the one staff envisions, and JCI staff have worked
with Muskegon Heights, Ottawa County, Marquette, and Lansing. On pages 47
and 48 of their submittal, you can see their commitment to using a local, diverse
workforce during the construction phase. Given the nature of EPC's, if the City
elects to move forward with a project in the future, Johnson Controls, Inc. (JCI) will
be the City's design-build contractor and financier. Staff has brought this item
forward now in transparency, since future requests may include exceptions to the
purchasing policy.
Staff anticipates the DPW facility as the prime target of the work, but depending
on the energy audit findings JCI may recommend projects at other facilities as
well if the savings are worth the effort. JCI will guarantee a specific level of
savings associated with the project(s) they recommend. The City and JCI would
split the savings generated by the energy-efficient equipment, the City's portion
of which is available to defray the costs of the project(s). These efforts could
allow the City to engage in activities identified in a Climate Action Plan with the
goal of reducing the City's carbon footprint and seeing energy savings. A
Climate Action Plan is being prepared and will be presented to the Commission
for review and adoption soon. Staff anticipates the Climate Action Plan will be
available for JCI to use as a resource when developing potential projects.
It's important to know that at this time, staff is only asking for approval to enter into
an exclusive arrangement with JCI, not for a specific project(s) or funds. JCI will
work with staff to perform a detailed energy audit, and based on those results
they will recommend a specific project or projects that will save the City
money. Since the savings are shared, JCI has an incentive to generate as much
savings as practical. Only at that time would staff come back with the particulars
of the project, the financing vehicle(s), the guaranteed savings and other project
information for consideration by the Commission.
STAFF RECOMMENDATION: I move to approve staff entering into an arrangement
with Johnson Controls, Inc., an energy service company, to prepare an energy
performance contract.
L. Sick Leave Extension for Employee Public Safety
An employee is requesting an extension of sick leave.
Officer Andrew McKee is requesting an extension of sick leave. His sick leave has
currently been exhausted, but he is asking for an extension of sick leave to be
able to return to duty at full health. He is requesting this per the Police Patrol Union
contract Article 18.8: In the event of a confining illness, and provided the sick
leave accumulation has been exhausted, the City Commission may authorize an
extension of leave to the extent of five (5) days for each year of service, not to
exceed an additional sixty (60) working days. Provided, however, that, in the case
of an employee who shall have been in the City service for more than fifteen (15)
years, such additional leave may be extended not to exceed six (6) months,
instead of sixty (60) working days.
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Officer McKee has been an employee for 7 years and is requesting a total of 35
sick days.
STAFF RECOMMENDATION: I recommend extending 35 sick days for Officer
Andrew McKee per the Police Patrol Union contract.
O. Concur with CRC Recommendation City Clerk
To concur with CRC recommendation to accept the resignation of Chelsea
Kelley, as Citizen At Large, from the Citizen's Police Review Board.
STAFF RECOMMENDATION: To accept the resignation of Chelsea Kelley from the
Citizen's Police Review Board.
P. Resolution for Watch Muskegon Day Manager's Office
Approval of the resolution declaring May 22 as Watch Muskegon Day.
STAFF RECOMMENDATION: Approval of the resolution.
Motion by Commissioner German, second by Commissioner Gorman, to adopt
the consent agenda as presented minus items G, H, I, M, and N.
ROLL VOTE: Ayes: Kochin, St.Clair, Kilgo, Keener, German, and Gorman
Nays: None
MOTION PASSES
2025-40 ITEMS REMOVED FROM THE CONSENT AGENDA
G. South Breakwater Pier Gate Lease Amendment Public Works
Staff requests authority to sign the included amendment to the City's lease of U.S.
Army Corps of Engineers' waterfront at Pere Marquette Beach to allow a pier
gate to be installed.
About a year ago, the Public Safety Department submitted a grant to the U.S.
Army Corps of Engineers (USACE, commonly referred to as "the Corps") for a pier
gate to be installed on the south breakwater arm at Pere Marquette
Beach. After a long deliberation, the Corps has awarded the grant to
Muskegon. Before the grant agreement can be signed and the pier gate
installed, the lease the City holds with the Corps that allows us to make specific
improvements to property owned by the Corps (including parts of Pere
Marquette, Margaret Drake Elliot and the Muskegon Lake Channel) needs to be
amended to allow the gate to be installed. The attached lease amendment will
make those modifications.
The Public Safety Department will work with the Corps to execute the grant, while
DPW may assist with the gate installation depending on contracting
method. Staff anticipates that specifically authorized Parks staff (such as a Park
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Ranger) may operate the gate under the direction of Public Safety.
STAFF RECOMMENDATION: I move to approve staff to sign an amendment to the
City's lease of U.S. Army Corps of Engineers' waterfront at Pere Marquette Beach
to allow a pier gate to be installed.
Motion by Commissioner Kochin, second by Commissioner Kilgo, to approve staff
to sign an amendment to the City's lease of U.S. Army Corps of Engineers'
waterfront at Pere Marquette Beach to allow a pier gate to be installed.
ROLL VOTE: Ayes: St.Clair, Kilgo, Keener, German, Gorman, and Kochin
Nays: None
MOTION PASSES
H. Extension of Partnership Agreement: Boys & Girls Club of the Muskegon
Lakeshore DPW- Parks
Staff is requesting authorization to extend our contract with the Boys & Girls Club
of the Muskegon Lakeshore for temporary staffing services during the 2025
maintenance season.
DPW typically hires up to 30 seasonal employees each year from GoodTemps
(Goodwill). The staffing provided by this agreement will take the place of an
approximately equal number of our typical seasonal employees, helping DPW fill
our roster during the labor shortage and providing employment and training for
younger community members. Temporary staffing is accounted for in the annual
budget of the departments that use these services. The employees under this
agreement are included in the parks (general) fund budget.
The Boys & Girls Club anticipates providing approximately 8 staff split in two
teams, and in consultation with DPW, identified two service areas that they would
be well suited for:
1. Landscape maintenance, waste-removal and general support in the BID area
downtown.
2. Restroom cleaning and waste removal at various parks.
STAFF RECOMMENDATION: Authorize staff to contract with the Boys and Girls Club
of the Muskegon Lakeshore for temporary staffing services during the 2025
maintenance season.
Motion by Commissioner Kochin, second by Commissioner German, to authorize
staff to contract with the Boys and Girls Club of the Muskegon Lakeshore for
temporary staffing services during the 2025 maintenance season with the youth
rate of $12.34 an hour to start.
ROLL VOTE: Ayes: Kilgo, Keener, German, Gorman, Kochin, and St.Clair
Nays: None
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MOTION PASSES
I. Resolution for Charitable Gaming License - Restoration Restore a
Generation City Clerk
Restoration Restore a Generation is requesting a resolution recognizing them as a
non-profit organization operating in the City for the purpose of obtaining a
gaming license. They have been recognized as a 501(c)(3) organization by the
State.
Restoration Restore a Generation provides a safe haven for all youth ages 18 and
under. The center has access to a gym, commercial kitchen, cafeteria,
classrooms, and an outdoor park. They offer meals, clothing, hygiene products,
arts & crafts, and many other activities. They will use the gaming license to raise
money for the center.
STAFF RECOMMENDATION: Approval of the resolution for a Charitable Gaming
License.
Motion by Commissioner Keener, second by Commissioner German, to approve
the resolution for a Charitable Gaming License.
ROLL VOTE: Ayes: Kilgo, Keener, German, Gorman, Kochin, and St.Clair
Nays: None
MOTION PASSES
M. Resolution of Support for the Design of Apple Avenue Public Works
Staff recommends adoption of the included resolution expressing support for
MDOT's design of Apple Avenue and associated City costs.
As discussed at the Worksession meeting on May 12, 2025, this resolution expresses
support for MDOT's design of Apple Avenue, including lane reductions to three
lanes from Roberts to Terrace, and two lanes from Terrace to Webster. The City's
costs associated with utility work, statutory cost share, and other improvements
including a multi-use path along the south side of Apple are included in the
resolution for clarity. Those costs are included in the recommended FY26 budget.
STAFF RECOMMENDATION: I move to adopt the included resolution expressing
support for MDOT's design of Apple Avenue and the City's associated costs.
Motion by Commissioner Kilgo, second by Commissioner German, to adopt the
resolution expressing support for MDOT's design of Apple Avenue and the City's
associated costs.
ROLL VOTE: Ayes: Keener, German, Gorman, Kochin, and St.Clair
Nays: Kilgo
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MOTION PASSES
N. Resolution of Support for City Ownership of Apple Avenue Public Works
Staff recommends adoption of a resolution of support for City ownership of Apple
Avenue following MDOT's 2026 reconstruction project.
During design of Apple Avenue, the City heard from the community that creating
a city street instead of a state highway along the Apple Avenue corridor was a
priority. Many of the changes necessary were supported by MDOT and have
been incorporated into the current design. Some other changes MDOT has
expressed concern about, however they have made it clear that if the City were
to take ownership of Apple Avenue after the reconstruction project (removing
the M-46 designation and placing the City in full control of the street), the design
standards the project is required to use become more flexible.
Examples of items that would be affected by the City taking ownership include
the signals at Terrace Street and Pine Street. The traffic study clearly shows the
signals are not needed, nor are they needed any time soon even with models
that project increasing traffic in the area, a fact MDOT acknowledges. As far
away as 20 years from now, the study does point out that the level of service at
those two intersections would be approaching an undesirable level, assuming
traffic increases at the rate the study projects. Given this, MDOT's attitude is very
conservative, and their Lansing-based Signals Unit has decided that they would
leave the signals in place in anticipation of the situation 20 years from now. City
staff on the other hand, feel strongly that 20 years of maintaining signals together
with the neighborhood character that comes with all-way stop controls is the
preferred method for the next 20 years, which again is supported by the traffic
study. MDOT has specifically relayed that if the City takes ownership, the signals
can be removed as a part of the project. If MDOT remains in control, the signals
will remain.
Other items that would be affected are less specific, but they are real. Currently,
MDOT permits all activity along Apple Avenue. The City would have that right in
the future. This could make it easier for residents and businesses to make small
changes to Apple. If a Corridor Improvement Authority or Business Improvement
District were established in the future to fund landscaping and lighting
improvements (similar to Lakeside), that group would likely find it easier to work
with the City than MDOT, given the difference in rules and regulations each entity
is subject to. Future City-led efforts to make changes to Apple would also be
simpler and potentially less costly.
The benefits of ownership do come at a cost. While the City would continue to
receive the same amount of gas tax money for Apple Avenue as we do today,
we would no longer be reimbursed by MDOT for the maintenance we do on
Apple. The maintenance necessary would start to come from the gas tax money
we receive for Apple. Staff estimates the change per year with all factors
considered is approximately $100,000 to the major street fund (202). Future
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capital costs would also be on the City, although a portion of those costs would
likely be recoverable through federal distributions (at an opportunity cost for other
major streets).
STAFF RECOMMENDATION: I move to adopt the included resolution of support for
City ownership of Apple Avenue after MDOT's 2026 reconstruction project.
Motion by Commissioner Keener, second by Commissioner German, to adopt the
resolution of support for City ownership of Apple Avenue after MDOT's 2026
reconstruction project.
ROLL VOTE: Ayes: German, Gorman, St.Clair, and Keener
Nays: Kochin and Kilgo
MOTION PASSES
GENERAL PUBLIC COMMENT
Public comments received.
ADJOURNMENT
The City Commission meeting adjourned at 8:24 p.m.
Respectfully Submitted,
Ann Marie Meisch, MMC City Clerk
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