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CITY OF MUSKEGON CITY COMMISSION MEETING June 10, 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, June 10, 2025. Mayor Johnson opened the meeting with a moment of silence, 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 Rachel Gorman, Katrina Kochin, and Willie German, Jr., City Manager Jonathan Seyferth, City Attorney John Schrier, and City Clerk Ann Marie Meisch Absent: Commissioners Jay Kilgo and Destinee Keener 2025-45 HONORS, AWARDS, AND PRESENTATIONS A. Women's Veterans Day Resolution Manager's Office Mayor Johnson read the Women's Veterans Day Resolution and presented it to the Women Veterans who were in attendance thanking them for coming and for their service. B. Climate Action Plan - Fresh Coast Climate Solutions Government Relations & Strategic Operations Peter Wills, Director of Government Relations and Strategic Operations, introduced Rebecca Elder and Jenny Oorbeck from Fresh Coast Climate Solutions who presented the City’s Government Operations Climate Action Plan (CAP). A CAP exists for assets owned and operated by the City. The CAP establishes a roadmap for achieving net-zero greenhouse gas emissions from municipal operations by 2040. 2025-46 PUBLIC HEARINGS Page 1 of 10 A. Neighborhood Enterprise Zone Certificate - 351 W. Western Ave (Units 7A-7B) (Floors 2-5) Economic Development The staff is requesting the approval of a Neighborhood Enterprise Zone (NEZ) certificate for 15 years for new construction apartments at 351 W. Western Ave. An application for a Neighborhood Enterprise Zone (NEZ) certificate has been received from 351 Phase II LLC for the construction of 64 new apartment units (41 studios and 23 one-bedroom units) located at 351 W. Western Avenue. The project also includes retail space. The City Commission previously approved a Brownfield Plan amendment for this project on May 13, 2025. According to the Brownfield Plan, approximately 50% of the apartments will be designated for individuals earning 120% or less of the area median income (AMI) for a period of 30 years. The cost of construction is estimated at $232,160 per unit. This project represents the second phase of the Lakeview Lofts development. The applicant has met both 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 351 W. Western Ave (Units 7A & 7B) (Floors 2-5) 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 German, second by Commissioner Kochin, to close the public hearing and approve the Neighborhood Enterprise Zone (NEZ) certificate for 15 years for 351 W. Western Ave (Units 7A & 7B) (Floors 2-5) and authorize the City Clerk and Mayor to sign the certificate and resolution. ROLL VOTE: Ayes: St.Clair, Johnson, German, Gorman, and Kochin Nays: None MOTION PASSES B. Community and Neighborhood Services 2025 Annual Action Plan Community & Neighborhood Services Citizen input is a necessary process of program activities for the CDBG/HOME annual allocations. The 2025 Annual Action Plan comment period is another opportunity to comment on the programs and activities proposed during the Hearing. The Annual Action Plan is available on our website for citizen review and comment. The comment period is 30 days from June 2 to July 1, 2025. A public hearing is another opportunity to comment about the Federal CDBG and HOME program activities performed during the fiscal year 2024 (July 1,2025 - Page 2 of 10 June 30, 2026). STAFF RECOMMENDATION: To host a hearing for the Annual Action Plan 2025. The Public Hearing opened to hear and consider any comments from the public. No public comments were made. Motion by Vice Mayor St.Clair, second by Commissioner Kochin, to close the Public Hearing. ROLL VOTE: Ayes: Johnson, German, Gorman, Kochin, and St.Clair Nays: None MOTION PASSES FEDERAL/STATE/COUNTY OFFICIALS UPDATE Jessica Cook, Muskegon County Commissioner for District 6, stated they just signed a new 3-year contract with the County Administrator, Mark Eisenbarth. Michigan Department of Health and Human Services awarded accreditation to the Public Health Department. Accepted an increase in the DTE Energy Assistance Program. Original budget was 3.8 million dollars and they just increased it to 7.3 million dollars. PUBLIC COMMENT ON AGENDA ITEMS Public comments received. 2025-47 CONSENT AGENDA A. Approval of Minutes City Clerk To approve minutes of the May 27, 2025, City Commission Meeting. STAFF RECOMMENDATION: Approval of the minutes. B. Fresh Coast Climate Solutions - Climate Action Plan Manager's Office Staff to present and seek adoption of the City's Government Operations Climate Action Plan (CAP) as prepared by Fresh Coast Climate Solutions. A CAP exists for assets owned and operated by the City. The CAP establishes a roadmap for achieving net-zero greenhouse gas (GHG) emissions from municipal operations by 2040. In April 2023, the City Commission passed a resolution declaring the city’s commitment to climate action initiatives and to combat the impact of climate change on our community and planet. The city intends to reduce its organizational GHG emissions through deliberative budget, policy, and administrative actions. In February 2024, a Government Operations Greenhouse Gas Inventory was Page 3 of 10 completed. Results of this Inventory were intended to inform the development of a Climate Action Plan. This CAP’s content is organized into 5 focus areas, 18 objectives, and 97 actions. Understanding which facilities are the highest contributors to the city’s organizational GHG emissions can inform investments in energy efficiency, renewable energy, and operational improvements to maximize emissions reductions. The City received a $75,000 Community Energy Management Program grant through EGLE to offset the cost of the contract. Documents related to Climate Action can be found here. https://muskegon-mi.gov/city-services/elected-officials/climate-action/ STAFF RECOMMENDATION: I move to adopt the City of Muskegon Government Operations-Climate Action Plan, as presented. C. FY 2025-26 Budget Manager's Office Presenting a draft of the Fiscal Year 2026 budget - the total appropriation across all funds is $111.9 million, with $44.1 million appropriated from the general fund. Staff distributed the Fiscal Year 2026 budget on May 12, 2025. We held our public hearing on May 27, 2025, and further discussion took place at our work session on Monday, June 9. The staff recommends approval of the FY 2026 budget as presented, with total appropriations of $111.9 million, including $44.1 million in the general fund. The General Fund budget is presented with a budget surplus (in the black) of $232,972. STAFF RECOMMENDATION: Move to approve the budget resolution for Fiscal Year 2025-26, which begins on Tuesday, July 1, 2025. H. Contract for expungement clinics with G.U.N.S. Planning The City has partnered with G.U.N.S. (Gaining UNITY through Non-Violent Solutions) for the past two years to provide expungement clinics. This contract is for another three expungement clinics to be held over the next year. The City has partnered with G.U.N.S. (Gaining UNITY through Non-Violent Solutions) for the past two years to provide expungement clinics. These services are paid for by the Muskegon Social Equity Program, which is funded through excise tax dollars from adult-use marihuana. This contract is for another three expungement clinics to be held over the next year. These services are free of charge to all residents of the City. At their May 28 meeting, the Legislative Policy Committee recommended entering into an agreement with G.U.N.S. to provide expungement clinic services. Page 4 of 10 STAFF RECOMMENDATION: I move to approve the contract with G.U.N.S. as presented. I. 4th Quarter Reforecast FY 2024-25 Finance At this time, staff is seeking approval of the 4th Quarter budget reforecast for the 24/25 fiscal year. Overall, the revenues in the General Fund went up by $399,000. However, the General Fund expenditures went up by $989,000. Payroll and benefits make up a largest portion of the General Fund increased expenditures. Legal fees expenditures are expected to go up by $175,000 from the original budget. STAFF RECOMMENDATION: To approve the 4th Quarter fiscal year 2024-25 budget reforecast as presented by staff. K. Resolution for 292 W Western Ave Unit 103 Social District Permit Manager's Office Puerto Vallarta Mexican Grill and Bar LLC is requesting to join the Downtown Muskegon Social District for their new restaurant, Puerto Vallarta Mexican Grill and Bar, located at 292 W Western Ave Unit 103—in the Leonard Building, alongside Hometown Creamery and the Exchange. To meet state requirements under MCL 436.1551, the business must receive approval from the City Commission in order to apply for a Social District Permit. Puerto Vallarta Mexican Grill and Bar plans to open on June 20, 2025, and will feature a full bar and Mexican food. Upon approval, staff will coordinate with the business to provide training on social district rules as outlined in our social district processes. STAFF RECOMMENDATION: to approve the Social District Permit for Puerto Vallarta Mexican Grill and Bar LLC at 292 W Western Ave Unit 103, Muskegon, MI 49440 for consideration by the Michigan Liquor Control Commission. L. Charter Amendment Language Manager's Office Staff is seeking approval of proposed ballot language for a charter amendment. A petition was circulated to amend Chapter III, Section 3 of the City Charter establishing a 12 year term limit for City Commissioners. The resolution is presented for commission approval. STAFF RECOMMENDATION: to approve the resolution approving ballot language for a 12 year term limit for service on the City Commission. M. Concur with CRC Recommendation City Clerk To concur with CRC recommendation to accept resignation and make appointments. Page 5 of 10 To accept the resignation of Shaundrica Roberts from the Citizen's Police Review Board; appoint Heather Garretson to the Citizen's Police Review Board as citizen at-large; and appoint Scott Plummer to the Construction Code Board of Appeals as plumbing. STAFF RECOMMENDATION: To accept the resignation of Shaundrica Roberts and appoint Heather Garretson and Scott Plummer. Motion by Commissioner Gorman, second by Vice Mayor St.Clair, to adopt the Consent Agenda as presented minus items D, E, F, G, and J. ROLL VOTE: Ayes: German, Gorman, Kochin, St.Clair, and Johnson Nays: None MOTION PASSES 2025-48 ITEMS REMOVED FROM THE CONSENT AGENDA D. Social Media Policy & Guidelines Community Engagement Staff recommends the approval of the Social Media Use Policy and Guidelines. To address the evolving landscape of online communication and ensure responsible, effective, and consistent use of social media by the City of Muskegon, a comprehensive Social Media Use Policy and Guidelines has been developed. This Policy establishes protocols for social media use by City officials and employees, ensuring communications are properly authorized, formatted, and legally compliant, particularly considering rulings such as Lindke v. Freed, 601 U.S. 187 (2024). At the May 28, 2025 Legislative Policy Committee Meeting, Commissioners reviewed a draft social media policy. Based on their feedback, staff made two clarifying updates: 1. Elected Official Pages (Page 2): Updated language encourages officials to distinguish their elected pages from personal ones and understand legal responsibilities. A previous request to separate campaign and official pages was removed, recognizing that incumbents may use official pages for campaigning. 2. Oversight and Enforcement (Page 3): Corrected wording to specify that City- controlled pages—not individual staff or officials—are prohibited from posting certain types of content, including confidential information, copyright violations, offensive language, partisan political views, and commercial content. STAFF RECOMMENDATION: to approve the Social Media Use Policy and Guidelines as presented, authorizing its immediate implementation. Page 6 of 10 Motion by Commissioner Kochin, second by Commissioner German, to approve the Social Media Use Policy and Guidelines as presented, authorizing its immediate implementation. ROLL VOTE: Ayes: German, Gorman, Kochin, St.Clair, and Johnson Nays: None MOTION PASSES E. Sale of 286 Myrtle, 518 Oak, and 450 Orchard. Planning Staff is seeking authorization to sell the City-owned vacant lots at 286 Myrtle, 518 Oak, and 450 Orchard to RSW Holdings LLC and Barrowstone Capital LLC. RSW Holdings LLC and Barrowstone Capital LLC would like to purchase the City- owned buildable lots at 286 Myrtle, 518 Oak, and 450 Orchard for $8,400 (75% of the True Cash Value of $11,200) plus half of the closing costs, and the fee to register the deed. RSW Holdings LLC and Barrowstone Capital LLC will be constructing a single-family home on each property. Both 286 Myrtle and 450 Orchard will be split into two build-able lots, for a total of five (5) single-family homes to be built. STAFF RECOMMENDATION: Authorize staff to sell the City-owned vacant lots at 286 Myrtle, 518 Oak, and 450 Orchard to RSW Holdings LLC and Barrowstone Capital LLC. Motion by Commissioner German, second by Vice Mayor St.Clair, to authorize staff to sell the City-owned vacant lots at 286 Myrtle, 518 Oak, and 450 Orchard to RSW Holdings LLC and Barrowstone Capital LLC. ROLL VOTE: Ayes: Gorman, Kochin, St.Clair, and Johnson Nays: German MOTION PASSES F. Contract Award: SP92339 City Parks Parking Lot Improvements DPW- Engineering Staff is requesting authorization to enter into a contract with McCormick Sand, Inc. in the amount of $621,571.00 for parking lot reconstruction work within Reese Playfield, Sheldon Park, Beukema Playfield, and Grand Trunk Launch Ramp. Bids were solicited for a construction project to reconstruct the parking lots within three parks and one boat launch; Reese Playfield, Sheldon Park, Beukema Playfield, and Grand Trunk Launch Ramp. McCormick Sand of Whitehall provided the low bid. This work is being funded by ARPA dollars Page 7 of 10 dedicated to Parks capital improvement needs. STAFF RECOMMENDATION: Move to authorize staff to enter into a contract with McCormick Sand, Inc. in the amount of $621,571.00 for parking lot reconstruction work within Reese Playfield, Sheldon Park, Beukema Playfield, and Grand Trunk Launch Ramp. Motion by Vice Mayor St.Clair, second by Commissioner Kochin, to authorize staff to enter into a contract with McCormick Sand, Inc. in the amount of $621,571.00 for parking lot reconstruction work within Reese Playfield, Sheldon Park, Beukema Playfield, and Grand Trunk Launch Ramp. ROLL VOTE: Ayes: Kochin, St.Clair, Johnson, German, and Gorman Nays: None MOTION PASSES G. Kruse Park Nature Scape Playground Award DPW- Parks Staff requests approval to enter into a contract with Nature Playscapes in the amount of $152,597 for a "nature scape" playground at Kruse Park based on their innovation, sustainability, qualifications and experience building nature scapes in Michigan. Through our park master planning efforts, the community identified Kruse Park as the perfect location for a Nature Scape Playground. A nature scape playground (also known as a natural playground or nature-based play area) is a play environment that uses natural elements—such as trees, rocks, sand, water, logs, and native plants—instead of traditional playground equipment like plastic slides and metal swings. Natural materials (wood, boulders, plants, soil), unstructured elements that encourage creative play (e.g., tree stumps for jumping, logs for balancing), integration with the natural landscape, and design reflecting the local ecosystem emphasize open-ended play rather than fixed play. Several proposals provided a nice playground design but failed to represent a true natural playground. Out of the 4 bids we received, Nature Playscapes shows the most innovative and sustainable design that fits into the natural playground criteria. This playground was budgeted at $160,000. The bid tab is shown below. Nature Playscapes - $152,927 Kinetic Recreation - $149,457 Park Vision - $149,535 WeBuildFun - $93,768 STAFF RECOMMENDATION: Move to approve staff to enter into a contract with Nature Playscapes in the amount of $152,597 for a "nature scape" playground at Kruse Park based on their innovation, sustainability, qualifications and Page 8 of 10 experience building nature scapes in Michigan. Motion by Commissioner Kochin, second by Vice Mayor St.Clair, to approve staff to enter into a contract with Nature Playscapes in the amount of $152,597 for a "nature scape" playground at Kruse Park based on their innovation, sustainability, qualifications and experience building nature scapes in Michigan. ROLL VOTE: Ayes: St.Clair, Johnson, German, Gorman, and Kochin Nays: None MOTION PASSES J. Official City of Muskegon Pride & Juneteenth Flags Manager's Office A proposal to adopt two additional Official City Flags modeled on the Intersex Pride Flag & the Juneteenth Flag. Cities across the country have taken steps to ensure inclusive symbols can be used in their cities. One way to achieve this is by adopting multiple official city flags that can be flown at any time. It is proposed that the City of Muskegon adopt two additional city flags based on the Intersex Pride Flag, with the city's tile "M" in the lower right corner of the flag. And another flag based on the Official Juneteenth Flag with the city's time "M" in the upper left corner of the flag. STAFF RECOMMENDATION: To adopt the City of Muskegon Pride Flag and the City of Muskegon Juneteenth Flag as alternative official City flags. Motion by Commissioner German, second by Commissioner Kochin, to adopt the City of Muskegon Pride Flag and the City of Muskegon Juneteenth Flag as alternative official City flags. Motion by Commissioner German, second by Vice Mayor St.Clair, to table this item to the June 24th Commission Meeting. ROLL VOTE: Ayes: German, Gorman, Kochin, St.Clair, and Johnson Nays: None MOTION PASSES ANY OTHER BUSINESS Mayor Johnson celebrated the Muskegon Pride Group, as well as JC's, and all the other sponsors and vendors that put on the Pride Festival at Hackley Park. Vice Mayor St.Clair reminded everyone about the Juneteenth Parade on Thursday, June 19th at 11:00. Page 9 of 10 Commissioner Kochin stated that Thursday, June 12th, at 3:30 at Fisherman's Landing is the Public Safety Youth Fishing Derby. GENERAL PUBLIC COMMENT Public comments received. ADJOURNMENT The City Commission meeting adjourned at 7:58 p.m. Respectfully Submitted, Ann Marie Meisch, MMC City Clerk Page 10 of 10
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