City Commission Packet 08-25-2015

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    CITY OF MUSKEGON
      CITY COMMISSION MEETING
                      AUGUST 25, 2015
   CITY COMMISSION CHAMBERS @ 5:30 P.M.
                                AGENDA

□ CALL TO ORDER:
□ PRAYER:
□ PLEDGE OF ALLEGIANCE:
□ ROLL CALL:
□ HONORS AND AWARDS:
□ INTRODUCTIONS/PRESENTATION:
□ CITY MANAGER’S REPORT:
□ CONSENT AGENDA:
     A. Approval of Minutes City Clerk
     B. Youth Basketball League and Open Gym Proposal – Muskegon Public
        Schools Planning and Economic Development
     C. Certification of MERS Representatives Finance
     D. Lakeshore Museum Loan Agreement (LaFrance Fire Truck) Public
        Safety
     E. Special Liquor License – Michigan Irish Music Festival Public Safety
     F. MSI Property – “Agreement of Purchase and Sale” (PA) Planning and
        Economic Development
     G. Sale of Boat Slip (A-08) at Harbour Towne Department of Public Works
     H. Public Safety Director Employment Agreement City Manager
     I. City Manager Employment Agreement City Manager
□ PUBLIC HEARINGS:
□ COMMUNICATIONS:
□ UNFINISHED BUSINESS:
     A. Section – 10-351 (F) (3) Registration of Rental Dwellings Ordinance
        Amendment Public Safety
□ NEW BUSINESS:
        A. Request for $9,000 from United Way for Day of Caring 2015 Department
          of Public Works
□ ANY OTHER BUSINESS:
□ PUBLIC PARTICIPATION:
►   Reminder: Individuals who would like to address the City Commission shall do the following:
►   Fill out a request to speak form attached to the agenda or located in the back of the room.
►   Submit the form to the City Clerk.
►   Be recognized by the Chair.
►   Step forward to the microphone.
►   State name and address.
►   Limit of 3 minutes to address the Commission.
►   (Speaker representing a group may be allowed 10 minutes if previously registered with City Clerk.)

□ CLOSED SESSION:
□ ADJOURNMENT:
ADA POLICY: THE CITY OF MUSKEGON WILL PROVIDE NECESSARY AUXILIARY AIDS AND SERVICES TO INDIVIDUALS
WHO WANT TO ATTEND THE MEETING UPON TWENTY-FOUR HOUR NOTICE TO THE CITY OF MUSKEGON. PLEASE
CONTACT ANN MARIE MEISCH, CITY CLERK, 933 TERRACE STREET, MUSKEGON, MI 49440 OR BY CALLING (231) 724-
6705 OR TTY/TDD DIAL 7-1-1- TO REQUEST A REPRESENTATIVE TO DIAL (231) 724-6705.
Memorandum
To:     Mayor and Commissioners

From: Frank Peterson

Re:     City Commission Meeting

Date:   August 19, 2015

There are a number of items on the agenda that I thought you could use a little background on as you
prepare for our meeting.

1.      Under the consent agenda, we are asking the Commission to approve:
        a. Last meeting’s minutes.
        b. Renewal of the youth basketball league and open gym agreement with Muskegon Public
            Schools. The cost of the program is $18,500 annually – which is unchanged from previous
            years.
        c. We are asking that the Commission certify Derrick Smith and Jan Labrenz as our City’s MERS
            Representatives at the annual conference in Grand Rapids. MERS of Michigan is the
            retirement system that manages our employee pension program.
        d. We are seeking approval of a renewed agreement to loan the LaFrance Fire Truck to the
            Lakeshore Museum Center.
        e. We are seeking authorization to allow spirits to be sold that the Michigan Irish Music Festival
            in September. This is similar to requests previously approved for this event prior to 2015.
        f. We are seeking approval to enter into a purchase agreement for 9 building lots in the Nelson
            Neighborhood. The lots comprise the area where the St. Joseph Church formerly stood. The
            land owner has agreed to sell the lots for $5,000 each - $45,000 total. These properties will
            be the catalyst for our market-rate home building program. Upon approval of the purchase,
            we expect to begin the planning/building process. The goal will be to have between 7 and 9
            houses constructed on the site and ready for sale by late spring 2016.
        g. We are seeking approval to sell a city-owned boat slip at Harbor Towne Marina for $35,000.
        h. We are seeking approval of the second amendment to the City Manager’s employment
            agreement.
        i.  We are seeking approval of an employment agreement with the Public Safety Director. The
            goal of the employment agreement is to address a discrepancy in the employment status
            that has left the position ineligible for social security benefits.
2.      Under Unfinished Business:
        a. We are re-presenting the Fire/Escrow Ordinance that was initially presented at the meeting
            earlier this month. We took input from the individuals that spoke and eliminate the tiered
             system of escrow requirement. Now, this with 10 or more rental houses will have the ability
             to escrow $10,000 with the City in lieu of obtaining fire insurance.


If there are questions on any agenda items, please try to let staff know in advance, and we will be sure
to have the appropriate data/research available at the meeting.




Frank Peterson
City Manager
Date:     August 25, 2015
To:       Honorable Mayor and City Commissioners
From:     Ann Marie Meisch, City Clerk
RE:       Approval of Minutes




SUMMARY OF REQUEST: To approve minutes of the August 10, 2015
Commission Worksession meeting and the August 11, 2015 City
Commission Meeting.


FINANCIAL IMPACT: None.


BUDGET ACTION REQUIRED: None.


STAFF RECOMMENDATION: Approval of the minutes.
                                        City of Muskegon
                                  City Commission Worksession
                                         August 10, 2015
                                   City Commission Chambers
                                             5:30 PM

                                           MINUTES

2015-55
Present: Commissioners German, Hood, Gawron, Johnson, Turnquist, and Spataro.
Absent: Commissioner Rinsema-Sybenga.

Legal Services.
The City Commission requested staff to negotiate a five year agreement for Legal Services with
Parmenter O'Toole to provide both general legal and prosecution services. Staff is asking the
Commission to approve a five year agreement.

This items will be on the August 11, 2015 Commission Meeting for consideration by the
Commission.

International Property Maintenance Code.
We are currently operating under the State Construction code. The last update was around 2002.
The Public Safety Director is recommending the Commission adopt the 2015 International
Property Maintenance Code. The proposed code will complement the City's other existing
codes. There are approximately 18 items in the current chapter 10 of the Building Ordinance
that staff would recommend be retained. They include code related to rental registration,
registering contractors, and the Housing Board of Appeals.

Commissioners indicated they would like a comparison of the proposed changes. Staff
anticipates having a document prepared for the Commission to review in January.

Any Other Business
Vice Mayor Spataro stated Sixth and Webster should be a four-way stop as well as Walton and
Pine.

Commissioner Johnson commented about the recent test to add stop signs at Pere Marquette
Park.

A police officer directing traffic during heavily traveled times could be a solution.

The City indicated he will speak to the City Engineer and present a traffic control order to
Commission.
Adjournment.
Motion by Commissioner Hood, seconded by Commissioner Johnson to adjourn at 7:03
p.m.

                                                                MOTION PASSES



                                                   ____________________________
                                                    Ann Marie Meisch, MMC
                                                            City Clerk
     CITY OF MUSKEGON
       CITY COMMISSION MEETING
                      AUGUST 11, 2015
    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, MI at 5:30 p.m., Tuesday, August 11, 2015.
Mayor Stephen Gawron opened the meeting with prayer, after which the
Commission and public recited the Pledge of Allegiance to the Flag.
ROLL CALL FOR THE REGULAR COMMISSION MEETING:
Present: Mayor Stephen Gawron, Vice Mayor Lawrence Spataro,
Commissioners Johnson, Hood, and Turnquist, City Manager Franklin Peterson,
City Attorney John Schrier, and City Clerk Ann Meisch.
Absent: Commissioner German and Commissioner Rinsema-Sybenga
2015-56 CONSENT AGENDA:
     A. Approval of Minutes City Clerk
SUMMARY OF REQUEST: To approve the minutes of the July 28, 2015 City
Commission Meeting.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Approval of the minutes.
     B. Legal Services City Manager
SUMMARY OF REQUEST: The City Commission requested staff to negotiate a five
year agreement for Legal Services with Parmenter O’Toole to provide both
general legal and prosecution services. Staff is asking the Commission to
approve the five year agreement.
FINANCIAL IMPACT: $300,000 annually
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To approve the Legal Services Agreement with
Parmenter O’Toole and authorize the City Clerk and Mayor to sign.
     D. Bike Time – Rescind “Request for a 5-year commitment for Bike Time,
        2015-2019” Planning and Economic Development
SUMMARY OF REQUEST: To terminate and rescind the “Request for a 5-year
commitment for Bike Time, 2015-2019” granted by the City Commission on
October 14, 2014.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: It is recommended that the October 14, 2014 City
Commission’s motion granting a 5-year commitment for Bike Time, 2015-2019 be
rescinded.
      E. Rebel Road – Request for a 5-year commitment for Rebel Road, 2016-
         2020 Planning and Economic Development
SUMMARY OF REQUEST: Rebel Road has requested a five-year commitment from
the City to host Rebel Road downtown. There are no major changes from the
way Rebel Road was run in 2015, and the streets affected are the same as past
years. This year, 2015, was the first year that Rebel Road replaced Bike Time and
was organized by the Child Abuse Council in coordination with a number of
downtown business owners. They are asking for the 5-year agreement to make
planning the event easier. Knowing their plans well in advance should also help
City staff with their planning.
Items requiring City Commission approval are the same as in previous years: that
the City waive DPW equipment rental costs, that Rebel Road be able to use
their own labor pool when possible rather than using City staff, and some
deviation from street closure times listed in the City’s special event policy.
FINANCIAL IMPACT: Request for the waiver of equipment rental fees.
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDAITON: It is recommended that staff be allowed to make the
final decision regarding actual street closures, rental fees and costs to be
coordinated through the City Manager. In addition, staff recommends that if
Rebel Road picks up items such as picnic tables, bleachers, and trash cans for
distribution at the proper locations, there will be no equipment rental charge to
Rebel Road. This must first be approved by and coordinated through City staff. It
is also recommended that City staff review staffing levels for City personnel with
the Rebel Road staff, with the City making the final decision on the number of
City staff needed for the event.
Regarding street closures, staff recommends approval with the condition that
Rebel Road notify affected downtown businesses of the dates and times of
street closures and the date and time that No Parking restrictions go into effect
on those streets.
      F. Sale of Property at 1690 Creston Street Planning and Economic
         Development
ITEM REMOVED PER REQUEST OF STAFF
      G. Sale of Property      at   881   Pine   Street Planning and     Economic
         Development
SUMMARY OF REQUEST: Staff is seeking approval to sell the buildable,
commercially zoned lot at 881 Pine Street to the adjacent business, B.K.
Muskegon Properties, LLC, at 928 Terrace Street. They will be remodeling the
store and will use the new lot to add an additional drive thru lane. The lot
measures roughly 8,700 square feet and the applicant has offered $40,000 for
the parcel.
FINANCIAL IMPACT: Staff recommends a sale price of $40,000
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Approval and signature of the purchase agreement
and resolution.
      I. Approval of a Neighborhood Enterprise Zone Certificate Planning and
         Economic Development
SUMMARY OF REQUEST: An application for a Neighborhood Enterprise Zone
(NEZ) certificate has been received from Bruce Lindstrom for the new
construction of a home at 331 Terrace Point Circle. The property is located in a
Neighborhood Enterprise Zone for new construction. The application states that
the estimated cost for construction will be $382,446 in materials. The applicant
has met local and state requirements for the issuance of the NEZ certificate.
Approval or denial by the City Commission is required within 60 days of the
application date and must be forwarded to the State Tax Commission.
FINANCIAL IMPACT: Taxation will be 50% of the State average for the next 12
years.
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Approval of the NEZ Certificate.
Motion by Vice Mayor Spataro, second by Commissioner Johnson to accept the
Consent Agenda as read with the exception of items C and H.
ROLL VOTE: Ayes: Gawron, Hood, Spataro, Turnquist, and Johnson.
            Nays: None
MOTION PASSES
2015-57 ITEMS REMOVED FROM CONSENT AGENDA:
      C. Section – 10-351 (F) (3) Registration of Rental Dwellings Ordinance
         Amendment Public Safety
SUMMARY OF REQUEST: The Director of Public Safety requests that the City
Commission review and authorize the proposed amendment to Chapter 10 –
Buildings, Article VI, Division 2, subdivision III “Rental Property”, of the City of
Muskegon.
This ordinance amendment focuses on sub section (F) (3) which would allow an
“Alternative Escrow Option”; in lieu of dwelling fire insurance. The sub-section
and associated bullet points (1-7) explain the escrow option for landlords who
cannot obtain insurance or opt not to acquire dwelling insurance to repair or
demolish a property after a catastrophic fire event.
FINANCIAL IMPACT: Relieve the City of Muskegon from bearing the expense to
demolish uninsured rental properties that are damaged during a working fire.
BUDGET ACTION REQUIRED: N/A
STAFF RECOMMENDATION:          Staff   recommends      approving    this   ordinance
amendment as written.
Motion by Vice Mayor Spataro, second by Commissioner Turnquist approve the
ordinance amendment as written. Second Reading Required.
ROLL VOTE: Ayes: Hood, Spataro, Turnquist, Johnson, and Gawron
             Nays: None
MOTION PASSES
      H. Amendment to the Janitorial Services Contract 2014-2017 Engineering
SUMMARY OF REQUEST: Amend the current janitorial services contract with
Reliant Professional Cleaning Services to include the cleaning of the filtration
plant facilities at an additional cost of $1,189.00 per month, starting September
2015 thru April 2017.
FINANCIAL IMPACT: A total of $23, 780 over the life of the contract.
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Amend the current contract to include the cleaning
of the filtration plant facilities as outlined for a monthly cost of $1,189.00.
Motion by Commissioner Turnquist, second by Commissioner Johnson to amend
the current contract to include the cleaning of the filtration plant facilities for a
monthly cost of $1,189.00.
ROLL VOTE: Ayes: Spataro, Turnquist, Johnson, Gawron, and Hood
             Nays: None
MOTION PASSES
2015-58 NEW BUSINESS:
      A. Designation of Voting Delegates for the Michigan Municipal League
         Annual Business Meeting City Clerk
SUMMARY OF REQUEST: To designate by action of the Commission, one of our
officials who will be in attendance at the Convention as an official
representative to cast the vote of the municipality at the Annual Meeting; and,
if possible, to designate one other official to serve as alternate.
FINACIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Approval.
Motion by Commissioner Turnquist, second by Commissioner Johnson to
approve Frank Peterson as delegate and Mohammed Al-Shatel as alternate
delegate to cast the vote of the municipality aT the Annual Meeting.
ROLL VOTE: Ayes: Spataro, Turnquist, Johnson, Gawron, and Hood
           Nays: None
MOTION PASSES
PUBLIC PARTICIPATION: Public comments were received.
ADJOURNMENT: The City Commission Meeting adjourned at 5:57 p.m.


                                        Respectfully submitted,




                                        Ann Marie Meisch, MMC
                                        City Clerk
           Commission Meeting Date: August 25, 2015




Date:        August 14, 2015
To:          Honorable Mayor & City Commission
From:        Planning & Economic Development Department
RE:          Youth Basketball League and Open Gym
             Proposal- Muskegon Public Schools


SUMMARY OF REQUEST: The City of Muskegon has contracted with the
Muskegon Public Schools (“Schools”) for the management of the Youth Basketball
League and Open Gym since 2010. The program has been successful (see
attached report) and the Schools would like to manage the program for the 2015-
2016 school year. The Commission is requested to approve the attached proposal
and authorize staff to enter into an agreement with the Schools for oversight of the
basketball program and the Open Gym program.

FINANCIAL IMPACT: The cost for the program is $18,500 (which has not changed
since 2010).

BUDGET ACTION REQUIRED: Funds are available through the Leisure Services
budget.

STAFF RECOMMENDATION: To approve the “Youth Basketball League and Open
Gym Proposal” and authorize staff to enter into a formal agreement with the Schools.
    21st CCLC After School Programs 349 W. Webster Avenue, Muskegon, MI 49440 231-720-2000 Fax 231-720-2050

August 6, 2015

                  MPS 21st CCLC Youth Basketball League & Open Gym Proposal

From: Muskegon Public Schools
To: The City of Muskegon

        Muskegon Public Schools is continually looking for new ways to "reach out and change lives" in
our community. Collaborating with the City of Muskegon will help offer safe, positive after school
recreational opportunities for the students serviced throughout our communities. Last year's Youth
Basketball and Open Gym program established a successful foundation to sustain this collaborative
effort. Based on review of expenses our current proposal is as follows:

1.) The MPS 21st CCLC After School Program office located @ Muskegon Hackley Administration
Building, would administer the following programs: the Girls & Boys Youth Basketball League and
City Open Gym. These programs would run between October 2015 and March 2016.
2.) The City of Muskegon would contribute $18,500 towards this partnership. The funds would be used
for the following expenses: program administration and supervision, custodial services,
supplies/materials and support personnel (i.e. referee's and statisticians).

Program Descriptions:

1.) Boy's and girl's basketball seasons would run consecutively for (6) weeks with the (6th) week being
tournament play to conclude each season. The girl’s season would start Fall of 2015 and the boy’s would
begin after the conclusion of Christmas break (Winter 2016).
2.) Student registration fee would remain $25 per student to include: reversible game jerseys, individual
participation medals, team plaques, and trophies for the tournament champion and runner up teams will
be provided.
3.) MPS will accept responsibility for all administrative and supervisory obligations for the Youth
Basketball League and Open Gym.

Open Gym:

1.) Open gym will be offered for (3) hours to the community the day following the Saturday basketball
games of both girls and boys seasons.
2.) MPS will accept responsibility for all administrative and supervisory obligations for the Open Gym
program.
    It is the policy of the Public Schools of the City of Muskegon that no person shall, on the basis of race, color, religion, national origin or ancestry, sex, age,
 disability, height, weight, or marital status be excluded from participation in, be denied the benefits of, or be subjected to discrimination during any program or
 activity or in employment. If you feel you have been discriminated against, please contact the Office of the Assistant Superintendent of Human Resources, 349
                                                       W. Webster Avenue, Muskegon, MI 49440 (231) 720-2000
Grant Contacts

George Sharp                                                                      231-720-2061
Assistant Director
21st CCLC
gsharp@mpsk12.net


Kimberly Leavell                                                                  231-720-2557
Director
21st CCLC
kleavell@mpsk12.net




Muskegon Public Schools looks forward to our partnership for the 2015/2016 academic year.




   It is the policy of the Public Schools of the City of Muskegon that no person shall, on the basis of race, color, religion, national origin or ancestry, sex, age,
disability, height, weight, or marital status be excluded from participation in, be denied the benefits of, or be subjected to discrimination during any program or
activity or in employment. If you feel you have been discriminated against, please contact the Office of the Assistant Superintendent of Human Resources, 349
                                                      W. Webster Avenue, Muskegon, MI 49440 (231) 720-2000
                    Commission Meeting Date: August 25, 2015




Date:         August 19, 2015
To:           Honorable Mayor and City Commissioners
From:         Finance
RE:           Certification of MERS Representatives



SUMMARY OF REQUEST: The MERS plan document provides that “the
governing body for each municipality shall certify the names of two (2) delegates to
the Annual Meeting. One delegate shall be a member who is an officer of the
municipality appointed by the governing body of the municipality. The other delegate
shall be a member who is not an officer of the municipality, elected by the member
officer/employees of the municipality.”

The City’s employee units previously agreed to a rotating system (based on date of
joining MERS) to select one official employee representative. This year the official
employee representative attending the MERS conference will be Jan Labrenz
(Customer Service Representative II) from the clerical employees’ union group.

It is recommended that Derrick Smith (Finance Director) be designated as the City’s
employer delegate.


FINANCIAL IMPACT: Registration for the MERS conference in Grand Rapids is
$175 per person. Additionally, mileage, hotel and related costs will be incurred.


BUDGET ACTION REQUIRED: None.


STAFF RECOMMENDATION: Certification of Derrick Smith and Jan Labrenz
to be the City’s officer and employee delegates at the MERS annual meeting in
Grand Rapids October 8 - 9.
           Commission Meeting Date: August 25, 2015




Date:        August 17, 2015
To:          Honorable Mayor & City Commission
From:        Planning & Economic Development Department
RE:          MSI Property- “Agreement of Purchase and Sale”
             (PA)


SUMMARY OF REQUEST: One of the properties desired for the new market-rate
housing initiative is the MSI owned property across from the Nelson Neighborhood
Park. The property contains nine lots that can be developed for market-rate housing.
The agreed upon purchase price is $45,000.



FINANCIAL IMPACT: The City will pay the purchase price of $45,000, as well as the
Survey, City attorney fees, one-half of any escrow costs, the cost of recording the
Warranty Deed and any other cost of closing not required by the Seller in the PA.
These funds were budgeted as part of the Market-Rate Housing Initiative Program.



BUDGET ACTION REQUIRED: None.



STAFF RECOMMENDATION: To approve the attached “Agreement of Purchase
and Sale” and authorize the Mayor’s signature, as well as authorize staff to proceed
with the environmental site assessment and closing on the property, signing the
necessary documents.
Date:         August 25, 2015
To:           Honorable Mayor and City Commissioners
From:         DPW
RE:           Sale of a Boat Slip (A-08) at Harbour Towne


SUMMARY OF REQUEST:
Authorize staff to negotiate and execute an agreement with Mr. & Mrs. Hall for the
purchase of slip # A-08 at Harbour Towne Marina.



FINANCIAL IMPACT:
None at this time, the Hall’s made an offer of $35,000 to purchase the slip.



BUDGET ACTION REQUIRED:
None at this time.

STAFF RECOMMENDATION:
Authorize staff to negotiate and execute a purchase agreement with the Halls should
staff feel the terms are favorable.

COMMITTEE RECOMMENDATION:
TO:          Honorable Mayor and City Commissioners

FROM:        Frank Peterson, City Manager

DATE:        August 19, 2015

RE:          Public Safety Director Employment Agreement


SUMMARY OF REQUEST:
Approval of the attached Employment Agreement with Public Safety Director Jeffrey Lewis.


FINANCIAL IMPACT:
$27,000 in FY 2015-16, and approximately $4,000 in subsequent fiscal years.


BUDGET ACTION REQUIRED:
None


STAFF RECOMMENDATION:
To approve the Agreement with Jeffrey Lewis and authorize the City Clerk and Mayor to sign.


COMMITTEE RECOMMENDATION:
                                          EMPLOYMENT AGREEMENT

                                  CITY OF MUSKEGON – JEFFREY LEWIS
                                     Effective ________________, 2015

          This employment agreement is made and entered into by and between the CITY OF

MUSKEGON ("CITY") and JEFFREY LEWIS ("DIRECTOR").


                                                           Recitals

          A.        The CITY currently employs the services of DIRECTOR as the Director of Public

Safety of the City of Muskegon and has established conditions of employment, providing certain

benefits and working conditions for said DIRECTOR.

          B.        The CITY wishes to provide incentives for DIRECTOR to maintain his

employment as Director of Public Safety of the City of Muskegon through June 30, 2017, and

longer if possible, by providing additional benefits as outlined in this Agreement.

          C.        This Agreement supersedes all prior agreements.


                                                         Agreement

          NOW THEREFORE, THE CITY AND DIRECTOR AGREE AS FOLLOWS:

          1.        EMPLOYMENT. CITY employs DIRECTOR as Director of Public Safety to

perform the functions and duties specified in the City Charter and ordinances and to perform

such other legally permissible and proper duties and functions as the City Manager may, from

time to time, assign.

                    DIRECTOR agrees to remain in the employ of the CITY until termination is

effected as hereinafter provided, devoting full time to his duties as DIRECTOR.




O:\CLERK\Common\Word\Agenda Items for Next Meeting\Lewis Employment Agreement.docx
                                                                1
          2.        SALARY. DIRECTOR’s pay is at Range 1-A, step 11. DIRECTOR shall be

entitled to cost of living adjustments approved by the City Commission for department heads on

the first of each year, commencing January 1, 2016.

          3.        PENSION. DIRECTOR shall remain a member of the City of Muskegon Defined

Contribution Retirement Plan. A summary of the required CITY and DIRECTOR’s

contributions are more fully described in the Plan documents.

                    In exchange for DIRECTOR’S non-participation in social security, effective upon

signing this Agreement, City shall contribute $24,000 to Director’s 457 Account with ICMA-

RC. Additionally, effective January 1, 2016, the CITY shall contribute an additional seven

percent of DIRECTOR’s annual salary into his 457 account (or other similar retirement account),

so long as DIRECTOR remains actively employed by the CITY as DIRECTOR:

          4.        VACATION and PERSONAL TIME. DIRECTOR shall receive 200 hours of

vacation time and 32 hours of personal time annually.

          5.        FRINGE BENEFITS. In addition to the fringe benefits set forth above, and to the

extent that this paragraph does not duplicate or conflict with the above paragraphs which shall

prevail, the DIRECTOR shall have the same fringe benefits as are available to the highest level

department heads employed by the CITY from time to time.

          6.        TERM. It is understood by both CITY and DIRECTOR that employment may be

terminated at the will of either party.

          7.        MERGER OF NEGOTIATIONS. This agreement constitutes the entire contract

of employment between CITY and DIRECTOR. No statement, promise, agreement, or

obligation that conflicts with the terms of this agreement shall modify, enlarge, or invalidate this

agreement or any provisions hereof.



O:\CLERK\Common\Word\Agenda Items for Next Meeting\Lewis Employment Agreement.docx
                                                                2
          IN WITNESS WHEREOF, the CITY and DIRECTOR have executed this agreement this

______ day of _____________, 2015.

                                                                      CITY OF MUSKEGON


                                                                      By_________________________________
                                                                        Stephen J. Gawron, Its Mayor


                                                                      and_________________________________
                                                                         Ann Marie Meisch, Its Clerk

                                                                      DIRECTOR

                                                                      ____________________________________
                                                                      Jeffrey Lewis




O:\CLERK\Common\Word\Agenda Items for Next Meeting\Lewis Employment Agreement.docx
                                                                3
TO:         Honorable Mayor and City Commissioners

FROM:       Frank Peterson, City Manager

DATE:       August 19, 2015

RE:         City Manager Employment Agreement


SUMMARY OF REQUEST:
Approval of the attached Second Amendment to the Employment Agreement with City Manager Frank
Peterson.


FINANCIAL IMPACT:



BUDGET ACTION REQUIRED:
None


STAFF RECOMMENDATION:
To approve the Agreement with Frank Peterson and authorize the City Clerk and Mayor to sign.


COMMITTEE RECOMMENDATION:
                SECOND AMENDMENT TO EMPLOYMENT AGREEMENT

                     CITY OF MUSKEGON - FRANKLIN PETERSON
                            Amendment effective August 9, 2015
                            Containing Retroactive Provisions
                   (As approved by the City Commission on __________, 2015)


       This is an amendment to the Employment Agreement, with an attached Exhibit, and First

Amendment to Employment Agreement between the CITY OF MUSKEGON ("CITY") and

FRANKLIN PETERSON ("MANAGER") concerning Franklin Peterson’s services as City

Manager of the CITY. The Employment Agreement and First Amendment to Employment

Agreement are amended in the following particulars:

       1.     Paragraph 2 (Salary) of the Employment Agreement shall be amended to read as

              follows:

                      SALARY. Effective August 9, 2015, CITY agrees to pay MANAGER as
                      compensation for services rendered an annual salary of $125,000 per year.
                      MANAGER shall be entitled to cost of living adjustments approved by the
                      City Commission for department heads on the first of each year,
                      commencing January 1, 2016, and a merit adjustment will be considered
                      and, if granted, would be effective July 1 of each year, commencing July 1,
                      2016.

       2.     Paragraph 3 (Pension) of the Employment Agreement shall be amended to provide

              an additional City contribution of 2.5% of Manager’s salary to the ICMARC so

              long as Manager remains actively employed by City.

       3.     Paragraph 4(b) of the Memorandum concerning the Muskegon City Manager

              Compensation Proposal, which is an attachment to the Employment Agreement,

              (Vacation Time) shall be revised to provide, on an annual basis, twenty five

              vacation days for 2015 and thirty vacation days per year effective January 1, 2016.

               Twenty vacation days may be carried over from one calendar year to the next



O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\K34635-2ND AMENDMENT INCREASE PAY AN.DOC
                calendar year.


        This amendment was authorized by a vote of the City Commission on _____________,

2015, and is determined to be effective August 9, 2015. All previous provisions shall remain in

full force and effect, except those that are changed by this amendment.

       IN WITNESS WHEREOF, the parties execute this amendment to the agreement as of the

said effective date.

                                                            CITY OF MUSKEGON

                                                            By
                                                            Stephen J. Gawron, Its Mayor

                                                            and __________________________
                                                            Ann Marie Meisch, Its Clerk

                                                            MANAGER -

                                                            _____________________________
                                                            Franklin Peterson




O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\K34635-2ND AMENDMENT INCREASE PAY AN.DOC
Date:        August 17th, 2015

To:          Honorable Mayor and City Commissioners

From:        Director of Public Safety Jeffrey Lewis

RE:          Section - 10-351 (F) (3) Registration of Rental
             Dwellings Ordinance Amendment


SUMMARY OF REQUEST:

The Director of Public Safety requests that the City Commission review and authorize
the proposed amendment to Chapter 10 Buildings, Article VI, Division 2,
subdivision III “Rental Property”, of the City of Muskegon

This ordinance amendment focuses on sub-section (F) (3) which would allow an
“Alternative Escrow Option”; in lieu of dwelling fire insurance. The sub-section and
associated bullet points (1-7) explain the escrow option for landlords who cannot
obtain insurance or opt not to acquire dwelling insurance to repair or demolish a
property after a catastrophic fire event.

FINANCIAL IMPACT:

      Relieve the City of Muskegon from bearing the expense to demolish
      uninsured rental properties that are damaged during a working fire.

BUDGET ACTION REQUIRED:

      N/A

STAFF RECOMMENDATION:

      Staff recommends approving this ordinance amendment as written.
                                      City of Muskegon
                                 Muskegon County, Michigan
                               Ordinance Amendment No. _____

THE CITY OF MUSKEGON HEREBY ORDAINS:

Chapter 10 “Buildings and Building Regulations,” Article VI “Property Maintenance Code,”
Division 2, Subdivision III. “Rental Property” of the Code of Ordinances of the City of
Muskegon is amended as follows:

Subdivision III. Rental Property

Sec. 10-351. Registration of rental dwellings.

(a)    Required. All rental dwellings shall be registered with the city. If the owner does not
       reside within 30 miles of the city, he shall designate a responsible local agent who shall
       be responsible for operating such dwelling in compliance with the law, including this
       article. All official notices may be served on the responsible agent, and any notice so
       served shall be deemed to have been served upon the owner of record. Each owner or
       responsible local agent shall maintain a current list of the number of occupants of each
       rental dwelling for which he is responsible. A rental unit certificate of compliance
       shall not be issued if the registration provisions of this article are not complied with.

(b)    Deadline for registration; failure to comply. All rental dwellings existing as of the
       effective date of the ordinance from which this article is derived shall be registered no
       later than six months after the effective date of this article. The city shall order
       registration prior to that date for any dwelling cited in a notice required by this article.
       Failure to comply with such an order is a violation of this article.

(c)    Registry of new rental dwellings. The owner of a new rental dwelling or of any dwelling
       newly converted to a rental dwelling shall register the rental dwelling prior to allowing
       occupancy of any new rental units.

(d)    Change in register information. The owner of rental dwellings already registered with the
       city or his responsible local agent shall register within 60 days after any change occurs in
       register information. A new owner of a registered dwelling shall register the dwelling
       within 60 days of assuming ownership.

(e)    Application; contents. Application for registration shall be made in such form and in
       accordance with such instructions as may be provided by the administrator and shall
       include:

       (1)     The address of the rental dwelling.

       (2)     The number of dwelling units, the number of rooming units and the number of
               hotel units in the dwelling.
      (3)    The name, residence address, business address, business phone number and
             personal phone number of the owner.

      (4)    The name, residence address, business address, business phone number and
             personal phone number of the manager and responsible local agent designated by
             the owner.

      (5)    The address where the owner or responsible local agent will accept notices or
             orders from the city.

      (6)    The driver’s license or state identification number of the owner or responsible
             local agent and the state in which the license or ID was issued.

(f)   Dwelling fire insurance. In order to protect the health, safety and welfare of the residents
      of the city, it is hereby declared that the city shall require dwelling fire insurance for all
      property owners who let for occupancy premises in the city in the amount and for the
      purposes provided below.

      (1)    Minimum coverage; use of insurance proceeds. All property owners owning
             property in the city shall be required to obtain a minimum of $10,000 in dwelling
             fire insurance. Further, in the event of any fire or loss covered by such insurance,
             it shall be the obligation of the property owner to use such insurance proceeds to
             cause the restoration or demolition or other repair of the property in adherence to
             the city code and all applicable ordinances.

      (2)    Property owners to provide city with insurance information. All property owners
             shall be required to place their insurance company name, policy number and
             policy expiration date on their rental unit registration form, or in the alternative, to
             provide the city with a copy of their actual dwelling fire insurance policy. A
             registration certificate shall not be issued to any person unless the aforementioned
             information has been provided. Violation of this section shall result in suspension
             of a registration certificate. The city shall be informed of any change in policies
             for a particular rental unit or cancellation of a policy for said property within 10
             days of said change or cancellation.

      (3)    Alternative Escrow Option. In lieu of obtaining dwelling fire insurance as
             outlined in this section, landlords who own ten (10) or more single family
             dwelling units may put into escrow with the City funds sufficient to cover the cost
             of potential future fire demolition, as follows:

             i.      For a landlord who owns 10 or more rental homes in the City, a minimum
                     escrow amount of $10,000, plus a one time administrative fee of $100 is
                     required.
             ii.     The funds in escrow can be withdrawn for the sole purpose of demolition
                     or restoration of a home that has been damaged by fire.
              iii.    If, after a fire, the home is declared a dangerous building, and the landlord
                      fails to repair or demolish the home as required, the City may use the
                      escrow funds to perform the demolition, pursuant to the process as
                      outlined in Chapter 10, Article III “Dangerous Buildings” of the City
                      Code. In addition to the cost of demolition, the City shall deduct from the
                      escrow funds all fees and fines associated with the dangerous building
                      proceedings.
              iv.     Landlord must replenish the full escrow amount within 10 business days
                      after withdrawal by the landlord or the City.
              v.      The City shall retain any interest accrued/earned on the funds in escrow to
                      compensate for its administrative costs.
              vi.     The City shall return the escrow funds upon sale of all rental properties or
                      proof of dwelling fire insurance on all properties, as required pursuant to
                      Section (f)(2) above.

(g)    Inaccurate or incomplete register information. It shall be a violation of this article for an
       owner or a responsible local agent to provide inaccurate information for the register of
       rental dwellings or to fail to provide information required by the city under subsection
       (e) of this section. In those cases in which the owner or responsible local agent is not a
       natural person, the information required for the register shall be provided for the
       organization owning the rental dwelling and for the president, general manager or other
       chief executive officer of the organization. Where more than one natural person has an
       ownership interest, the required information shall be provided for each owner.

(h)    Exemption from registration requirement. Dwellings that are not owner-occupied, but are
       occupied by a grandparent, parent, child or current spouse of the owner are exempt form
       the rental registration requirements outlined in this section. This exemption is limited to
       single family residential dwellings. It is the responsibility of the owner asking to be
       exempted from the rental dwelling registration requirement to provide satisfactory proof
       to the city of the existence of the familial relationship between owner and resident of the
       dwelling.

(Code 1975, § 4-82; Or. No. 2304, 2-28-12)

This ordinance adopted:

       Ayes: ______________________________________________________________
       Nays: _______________________________________________________________

Adoption Date: _________________________
Effective Date: _________________________
First Reading: _________________________
Second Reading: ________________________
CITY OF MUSKEGON


By ______________________________
   Ann Meisch, MMC
   City Clerk
                                        CERTIFICATE

      The undersigned, being the duly qualified clerk of the City of Muskegon, Muskegon
County, Michigan, does hereby certify that the foregoing is a true and complete copy of an
ordinance adopted by the City Commission of the City of Muskegon, at a regular meeting of the
City Commission on the          day of                      , 2015, at which meeting a quorum
was present and remained throughout, and that the original of said ordinance is on file in the
records of the City of Muskegon. I further certify that the meeting was conducted, and public
notice was given, pursuant to and in full compliance with Act No. 267, Public Acts of Michigan
of 1976, as amended, and that minutes were kept and will be or have been made available as
required thereby.


DATED:                    , 2015


                                       _______________________________________
                                       Ann Meisch, MMC
                                       Clerk, City of Muskegon

Publish:     Notice of Adoption to be published once within ten (10) days of final adoption.
                                          CITY OF MUSKEGON
                                         NOTICE OF ADOPTION

TO: ALL PERSONS INTERESTED

        Please take notice that on ___________________, 2015, the City Commission of the City
of Muskegon adopted an amendment to Chapter 10 “Buildings and Building Regulations,”
Article VI “Property Maintenance Code,” Division 2, Subdivision III. “Rental Property,” Section
10-351 of the Code of Ordinances of the City of Muskegon, whereby the following changes were
made:

Section (f)(3) was added to provide an alternative of placing funds in an escrow account with the
City to be used to demolish the home in the event of fire, in lieu of the requirement to obtain
dwelling fire insurance, for those landlords who own ten or more single family rental homes in
the City.

        Copies of the ordinance may be viewed and purchased at reasonable cost at the Office of
the City Clerk in the City Hall, 933 Terrace Street, Muskegon, Michigan, during regular business
hours.

         This ordinance amendment is effective ten (10) days from the date of this publication.

                                                               CITY OF MUSKEGON

Published: _________________, 2015                    By:      ______________________________
                                                               Ann Meisch, MMC, Its Clerk


------------------------------------------------------------------------------------------------------------
PUBLISH ONCE WITHIN TEN (10) DAYS OF FINAL PASSAGE
Date:         August 25, 2015
To:           Honorable Mayor and City Commissioners
From:         DPW
RE:           Request for $9,000 from United Way for Day of
              Caring 2015.


SUMMARY OF REQUEST:
Authorize staff to grant United Way’s request for $9,000 to purchase and plant
landscaping along Seaway Drive as part of their 2015 Day of Caring.

Earlier this year, the city received over $9,000 from MDOT for a tree cutting violation
along Seaway in the City of Norton Shores and they passed that money to us to do
exactly what is being proposed by United Way.



FINANCIAL IMPACT:
Grant United Way’s request for $9,000 from the major street fund where the MDOT’s
money was deposited.



BUDGET ACTION REQUIRED:
None at this time.

STAFF RECOMMENDATION:
Authorize staff to grant the request by United Way.



COMMITTEE RECOMMENDATION:

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