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CITY OF MUSKEGON
CITY COMMISSION MEETING
JANUARY 13, 2004
CITY COMMISSION CHAMBERS @ 5:30 P.M.
MINUTES
The Regular Commission Meeting of the City of Muskegon was held at City Hall,
933 Terrace Street, Muskegon, Michigan at 5:30 p.m., Tuesday, January 13, 2004.
Mayor Warmington opened the meeting with a prayer from Pastor Terry Baker
from the Spring Street Baptist Church after which the Commission and Public
recited the Pledge of Allegiance to the Flag.
ROLL CALL FOR THE REGULAR COMMISSION MEETING:
Present: Mayor Stephen Warmington, Vice Mayor Bill Larson, Commissioners
Clara Shepherd, Lawrence Spataro, Chris Carter, Kevin Davis, and Stephen
Gawron, City Manager Bryon Mazade, City Attorney John Schrier and City Clerk
Gail Kundinger.
2004-02 CONSENT AGENDA
a. Approval of Minutes. CITY CLERK
SUMMARY OF REQUEST: To approve the minutes of the Commission Worksession
that was held on Monday, December 8, 2003; and the Regular Commission
Meeting that was held on Tuesday, December 9, 2003.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Approval of the minutes.
b. Resolution for Charitable Gaming License. CITY CLERK
SUMMARY OF REQUEST: The Child Abuse Council of Muskegon County, 1781
Peck Street, is requesting a resolution recognizing them as a non-profit
organization operating in the City for the purpose of obtaining a gaming license.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: None
c. Appointments to Committees and Boards. COMMUNITY RELATIONS
COMMITTEE
SUMMARY OF REQUEST: To concur with the recommendations from the
Community Relations Committee for appointments as reflected in the minutes of
the January 5, 2004 meeting.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
COMMITTEE RECOMMENDATION: Approve the recommendations.
STAFF RECOMMENDATION: Approve the recommendations from the Community
Relations Committee.
d. Housing Commission Appointment. CITY MANAGER
SUMMARY OF REQUEST: To approve the reappointment of Ed Horne to the
Muskegon Housing Commission for a five-year term to expire January 31, 2009.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To approve the appointment.
e. Sale of Unbuildable Lot at 739 Ellifson Avenue. PLANNING & ECONOMIC
DEVELOPMENT
SUMMARY OF REQUEST: To approve the sale of a vacant unbuildable lot (Parcel
#24-205-035-0001-05) at 739 Ellifson Avenue to Daniel and Phyllis McCarthy,
owners of 735 Ellifson, Muskegon, MI 49442 and Pamela Scott, 745 Ellifson
Avenue, Muskegon, MI 49442. Approval of this sale will allow these two
adjacent property owners to expand their current yards. As is required by City
policy, the subject parcel is being offered for $100, and will be split between the
McCarthy’s and Ms. Scott for $50 each.
FINANCIAL IMPACT: The sale of this lot will allow the property to be placed back
on the City’s tax rolls thus relieving the City of continued maintenance costs.
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To approve the resolution and to authorize both the
Mayor and the Clerk to sign the resolution and deeds.
COMMITTEE RECOMMENDATION: The Land Reutilization Committee (LRC)
recommended approval of this request at their December 16, 2003 meeting.
f. Sale of Unbuildable Lot at 1513 Park Street. PLANNING & ECONOMIC
DEVELOPMENT
SUMMARY OF REQUEST: To approve the sale of a vacant, marginal lot (Parcel
#24-205-417-0003-00) at 1513 Park Street to Scott McCullough, 1519 Park Street,
Muskegon, MI, Fanny Hatcher, 1507 Park St., Muskegon, MI, and Michael South,
453 W. Grand Ave., Muskegon, MI. Approval of this sale will allow the adjacent
property owners to have homes located on buildable lots, as well as expanding
their current yards. Since this is a marginal lot, and two of the adjacent property
owners are located on unbuildable lots, LRC recommended the sale of this
parcel for $100. The subject parcel will be split between the three adjacent
property owners and the price split between them.
FINANCIAL IMPACT: The sale of this lot will allow the property to be placed back
on the City’s tax rolls thus relieving the City of continued maintenance costs.
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To approve the resolution and to authorize both the
Mayor and the Clerk to sign the resolution and the deed.
COMMITTEE RECOMMENDATION: The Land Reutilization Committee (LRC)
recommended approval at their November 18, 2003 meeting.
g. Termination of Old Ferry Agreement. CITY MANAGER
SUMMARY OF REQUEST: To approve an agreement with Lake Express to
terminate the lease agreement dated March 4, 2003, between the City and
Lake Express. This agreement was replaced by a new lease agreement dated
October 28, 2003.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To approve the agreement.
h. Request for Encroachment Agreement - Torresen Marine, Inc.
ENGINEERING
SUMMARY OF REQUEST: Torresen Marine Inc. has submitted an encroachment
agreement form requesting your permission to install an underground 2” conduit
across Lakeshore Dr. just east of Sampson. The installation would utilize a bore &
Jack method. The conduit would be utilized as telecommunication facility
carrier.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To approve the encroachment agreement with the
supplemental conditions.
i. “Cool Cities” Resolution. PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: To approve the resolution of support and commitment
for participation in the “Creating Cool Collaboration” strategic planning session.
STAFF RECOMMENDATION: Approval
j. Fees for Business Registration and Liquor Licensing Renewals. CITY CLERK
SUMMARY OF REQUEST: Approval of amendments to the Master Fee Resolution
to include Business Registration fee increase from $25 to $30 annually, and Liquor
License renewal fee at $100 annually.
FINANCIAL IMPACT: Additional revenue of approximately $6,300.
BUDGET ACTION NEEDED: Increase Business Registration revenue.
STAFF RECOMMENDATION: Approve the amendments to the Master Fee
Resolution to include the 2004 Business Registration fee of $30 and the Liquor
License renewal fee of $100.
k. Approval of Transfer of Obligation. COMMUNITY & NEIGHBORHOOD
SERVICES
SUMMARY OF REQUEST: To approve a transfer of obligation for a rehabilitation
(siding) that was completed by the CNS Department in 2002. Currently, Ms.
Kimberly Hunter of 130 E. Isabella who has a forgivable five-year lien with a
current balance of $6,311.20 wishes to sell the property to Ms. Carisa Brown who
is purchasing Hunter’s home prior to foreclosure. Ms. Brown agrees to accept all
of the CNS requirements in reference to the home that was sided by the
department in 2002.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To approve the request.
Motion by Commissioner Spataro, second by Commissioner Gawron to approve
the Consent Agenda.
ROLL VOTE: Ayes: Shepherd, Spataro, Warmington, Carter, Davis, Gawron,
Larson
Nays: None
MOTION PASSES
2004-03 PUBLIC HEARINGS:
a. Request for an Industrial Facilities Exemption Certificate, Ameriform.
PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: Pursuant to Public Act 198 of 1974, as amended,
Ameriform, Inc., 1790 Sun Dolphin Drive, Muskegon, Michigan, manufacturer of
custom thermoformed plastic products, has requested the issuance of an
Industrial Facilities Exemption Certificate. Total capital investment for this project
is $702,725 in personal property. The project will result in the creation of 5 new
employment opportunities. Ameriform, Inc., along with its sister company, KL
Industries, has a current workforce of approximately 200 people in 3 locations.
FINANCIAL IMPACT: The City will capture certain additional property and
income taxes generated by the expansion.
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Approval of the resolution granting an Industrial
Facilities Exemption Certificate for a term of seven (7) years.
The Public Hearing opened at 5:41 p.m. to hear and consider any comments
from the public. No public comments were heard.
Motion by Commissioner Spataro, second by Vice Mayor Larson to close the
Public Hearing at 5:47 p.m. and approve the resolution granting an Industrial
Facilities Exemption Certificate for a term of seven years.
ROLL VOTE: Ayes: Warmington, Carter, Davis, Gawron, Larson, Shepherd,
Spataro
Nays: None
MOTION PASSES
2004-04 NEW BUSINESS:
a. Tentative Agreement Reached with Muskegon Police Command Union.
ASSISTANT CITY MANAGER
SUMMARY OF REQUEST: Staff recommends approval of the set of tentative
agreements reached with the Muskegon Police Command Union. Tentative
Agreements were ratified by the union membership at a meeting held on
Monday, January 12, 2004.
FINANCIAL IMPACT: The overall financial packet is about 10% of payroll. The
packet includes the following significant economic agreements:
Union
Wages
2004 2005 2006
2.00% 2.00% 2.00%
Pension
Effective 12/31/06, increase multiplier from 2.5% to 2.75% (for normal
retirement), and change retirement age from 55 w/25 yrs. of service to
age 53 w/25 yrs. of service.
Insurance
Increase major medical cap from $225,000 to $300,000
City
Future Reduction in Health Care Costs
a. Increase co-pays for generic and brand name drugs;
b. Increase premium co-pay to $20 bi-weekly;
c. 1/1/04 limit retiree dependents to those identified at time of retiree
retirement;
d. Establish employee health insurance savings account to allow
employees to contribute pre-tax monies to be used for health and
prescription costs after retirement.
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Approval
Motion by Commissioner Gawron, second by Commissioner Spataro to approve
the tentative agreement with the Muskegon Police Command Union.
ROLL VOTE: Ayes: Spataro, Warmington, Carter, Davis, Gawron, Larson,
Shepherd
Nays: None
MOTION PASSES
b. FIRST READING - Parks Parking Ordinance. LEISURE SERVICES
SUMMARY OF REQUEST: To adopt the ordinance, which will allow for level 3
parking tickets for parks as was in the old set of parking ordinances.
FINANCIAL IMPACT: Continues the Level 3 tickets for parks at $17.50.
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Approval.
Motion by Commissioner Spataro, second by Commissioner Gawron to adopt
the ordinance.
ROLL VOTE: Ayes: Carter, Davis, Gawron, Larson, Shepherd, Spataro,
Warmington
Nays: None
MOTION PASSES
c. Ruddiman Creek Access Agreement. LEISURE SERVICES
SUMMARY OF REQUEST: To authorize the Mayor and Clerk to sign the access
agreement to allow for the removal of contamination in Ruddiman Creek.
FINANCIAL IMPACT: None to the City.
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Approval
Motion by Commissioner Carter, second by Commissioner Shepherd to authorize
the Mayor and Clerk to sign the access agreement.
ROLL VOTE: Ayes: Davis, Gawron, Larson, Shepherd, Spataro, Warmington,
Carter
Nays: None
MOTION PASSES
d. Denial of Parking Ramp Proposal. PLANNING & ECONOMIC
DEVELOPMENT
SUMMARY OF REQUEST: The City distributed a Request for Proposals for the City
Parking Ramp this fall. The proposals were due in late November. The only
proposal received was from St. Mary’s Catholic Church. They proposed a real-
estate “swap”, which included the City demolishing the existing City ramp, then
swapping the land with St. Mary’s for their parking lot on SW corner of Jefferson
and Webster. It is recommended that the proposal be denied, as the City
would be responsible for the expense of demolishing the parking ramp.
FINANCIAL IMPACT: None (if the proposal is denied), with the exception that the
City will continue to provide minimal maintenance on the facility until it is reused
or sold at a later date.
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To deny the proposal from St. Mary’s Church.
Motion by Vice Mayor Larson, second by Commissioner Spataro to deny the
proposal from St. Mary’s Church and send them a letter thanking them for their
proposal.
ROLL VOTE: Ayes: Gawron, Larson, Shepherd, Spataro, Warmington, Carter,
Davis
Nays: None
MOTION PASSES
e. Nugent Sand Resolution. CITY COMMISSION
SUMMARY OF REQUEST: To authorize the Mayor and Commissioners to sign the
resolution in opposition to the construction of a pipeline through the barrier dune
to Lake Michigan.
Motion by Commissioner Shepherd, second by Commissioner Gawron to
approve the resolution that is in opposition to the construction of a pipeline
through the barrier dune to Lake Michigan.
ROLL VOTE: Ayes: Larson, Shepherd, Spataro, Warmington, Carter, Davis,
Gawron
Nays: None
MOTION PASSES
f. Concurrence with the Housing Board of Appeals Notice & Order to
Demolish the Following: INSPECTIONS
SUMMARY OF REQUEST: To request City Commission concur with the findings of
the Housing Board of Appeals that the structures located at the following
addresses are unsafe, substandard, public nuisances and that they be
demolished within thirty (30) days. It is further requested that administration be
directed to obtain bids for the demolition of the structure and that the Mayor
and City Clerk be authorized and directed to execute a contract for demolition
with the lowest responsible bidder.
1. 781 W. Southern (Area 12)
CASE NUMBER AND PROJECT ADDRESS: #EN030137, 781 W. Southern (Area 12)
LOCATION AND OWNERSHIP: This structure is located on W. Southern between
Beidler and Henry Streets. It is owned by Beneficial Michigan.
STAFF CORRESPONDENCE: This property was written as a dangerous building 8-
19-03 when the housing inspector referred it to the Director of Inspections
because of the condition. The Notice and Order to repair or remove was issued
9-17-03 and the Housing Board of Appeals declared the structure on November
6, 2003. No one was present at that meeting to represent this case.
OWNER CONTACT: None
FINANCIAL IMPACT: The cost of demolition will be paid with general funds.
BUDGET ACTION REQUIRED: None
SEV: $23,100
STAFF RECOMMENDATION: To concur with the Housing Board of Appeals
decision to demolish.
ESTIMATED COST OF REPAIRS: $6,000 plus the cost of interior repairs
Motion by Commissioner Spataro, second by Commissioner Shepherd to concur
with the Housing Board of Appeals decision to demolish 781 W. Southern.
ROLL VOTE: Ayes: Shepherd, Spataro, Warmington, Carter, Davis, Gawron,
Larson
Nays: None
MOTION PASSES
2. 1166 W. Grand
CASE NUMBER AND PROJECT ADDRESS: #01-051 – 1166 W. Grand (Area 12)
LOCATION AND OWNERSHIP: This structure is located on W. Grand west of
Barclay at the end of the cul de sac. It was owned by Kenneth and Maryjane
Sanford and they sold it on a land contract to James and Tamara Ward. An
inspection was conducted on 11/15/01 due to complaints regarding the exterior
condition of the home. A notice and order to repair or remove was issued
2/26/02. The case was heard before the HBA on May 2, 2002 and it was tabled
for 180 days. At that time it was ordered that the repairs to the front of the
house be completed within 30 days and the exterior repairs be completed
within 90 days. It was stated if the conditions were met, the case would not be
brought back to the HBA. The exterior repairs were not completed and the
case was heard again before the HBA on 12/5/02. The Wards were not present,
but they called the office on 11/27/02 and stated they had been working inside
and spent a large amount of money on the electrical work and that the front of
the house would be completed within 60 days. There has been no contact with
the owners since that date. The HBA declared it dangerous and substandard
on 12/5/02. The case was brought before City Commission on 3/25/03 and was
tabled indefinitely to give the Wards an opportunity to repair. In September
2003 they had a furnace installed, with the help of CNS. On 11/17/03 a
complaint notice was issued regarding junk on the front porch and reissued
12/1/03. On 12/18/03 a $100 civil infraction was issued for storing rubbish on the
porch. On this date it was discovered that the gas had been shut off for non-
payment and the Wards had moved to Florida and they are renting the house
out. An officer attempted to speak to someone at the house due to neighbor
complaints, but got no answer. He was able to see a small propane stove inside
on the kitchen counter. Another exterior inspection was conducted 1/2/04.
STAFF CORRESPONDENCE: A dangerous building inspection report was written
11/15/01 and Notice and Order to repair or remove was issued 2/26/02. On
5/2/02 the HBA tabled the case for 180 days to allow the owner to complete
repairs. On 12/5/02 the HBA declared the house substandard and dangerous.
On 3/25/03 the City Commission heard the case and tabled it indefinitely.
OWNER CONTACT: The owners were present at the 5/2/02 HBA meeting and
stated they wanted to repair the house. A progress inspection was ordered by
the City Commission 3/25/03 and was conducted 4/10/03. The Wards have not
contacted the Inspection Department since then, but have been in Contact
with CNS for financial help with the furnace.
FINANCIAL IMPACT: The cost of demolition will be paid with general funds.
BUDGET ACTION REQUIRED: None
SEV: $26,500
STAFF RECOMMENDATION: To concur with the Housing Board of Appeals
decision to demolish.
ESTIMATED COST OF REPAIRS: $25,000
Motion by Commissioner Shepherd, second by Vice Mayor Larson to call for the
question.
ROLL VOTE: Ayes: Warmington, Carter, Davis, Gawron, Larson, Shepherd,
Spataro
Nays: None
MOTION PASSES
Motion by Vice Mayor Larson, second by Commissioner Spataro to concur with
the Housing Board of Appeals Notice and Order to demolish 1166 W. Grand.
ROLL VOTE: Ayes: Spataro, Warmington, Carter, Gawron, Larson, Shepherd
Nays: Davis
MOTION PASSES
3. 204 W. Dale
CASE NUMBER AND PROJECT ADDRESS: #EN030165, 204 W. Dale
LOCATION AND OWNERSHIP: This structure is located on W. Dale between Fifth
and Sixth Street. It is owned by Raul and Sharon Melgoza.
STAFF CORRESPONDENCE: This property was written as a dangerous building
10/14/03 when the housing inspector referred it to the Director of Inspections
because of the conditions. The owner did not have a Certificate of
Compliance and was trying to evict the tenants at the time. The Notice and
Order to repair or remove was issued 10/21/03 and the Housing Board of
Appeals declared the structure on December 4, 2003. No one was present at
that meeting to represent this case.
OWNER CONTACT: Mrs. Melgoza contacted the Inspection office in early
November and stated her husband is incarcerated and she is trying to evict the
tenants. She was referred to Legal Aid because she has no Certificate of
Compliance and was having a problem getting the tenants out.
FINANCIAL IMPACT: The cost of demolition will be paid with general funds.
BUDGET ACTION REQUIRED: None
SEV: $14,700
STAFF RECOMMENDATION: To concur with the Housing Board of Appeals
decision to demolish.
ESTIMATED COST OF REPAIRS: $15,000 plus cost of repairs for upper unit.
Motion by Commissioner Spataro, second by Commissioner Gawron to concur
with the Housing Board of Appeals decision to demolish 204 W. Dale.
ROLL VOTE: Ayes: Carter, Davis, Gawron, Larson, Shepherd, Spataro,
Warmington
Nays: None
MOTION PASSES
2004-05 ANY OTHER BUSINESS: Commissioner Larson commented on his
concern reference the Ferry Dock. City Manager will set up a meeting with the
County. Commissioner Spataro commented on a letter from a City employee
that was sent to the Commissioners. This was referred to the Legislative Policy
Committee.
2004-06 PUBLIC PARTICIPATION: Comments were heard from the public
thanking the Commission for their decision reference Nugent Sand.
2004-07 CLOSED SESSION: To discuss pending litigation.
Motion by Vice Mayor Larson, second by Commissioner Gawron to go into
Closed Session at 6:52 p.m.
ROLL VOTE: Ayes: Davis, Gawron, Larson, Shepherd, Spataro, Warmington,
Carter
Nays: None
MOTION PASSES
Motion by Commissioner Shepherd, second by Commissioner Spataro to come
out of Closed Session at 7:18 p.m.
ROLL VOTE: Ayes: Gawron, Larson, Shepherd, Spataro, Warmington, Carter,
Davis
Nays: None
MOTION PASSES
Motion by Commissioner Shepherd, second by Commissioner Carter to concur
with the recommendations from the City Attorney.
ROLL VOTE: Ayes: Larson, Shepherd, Spataro, Warmington, Carter, Davis,
Gawron
Nays: None
MOTION PASSES
The Regular Commission Meeting of the City of Muskegon was adjourned at 7:19
p.m.
Respectfully submitted,
Gail A. Kundinger, MMC
City Clerk
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