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CITY OF MUSKEGON CITY COMMISSION MEETING MARCH 22, 2011 CITY COMMISSION CHAMBERS @ 5:30 P.M. AGENDA CALL TO ORDER: PRAYER: PLEDGE OF ALLEGIANCE: ROLL CALL: HONORS AND AWARDS: INTRODUCTIONS/PRESENTATION: CONSENT AGENDA: A. Approval of Minutes. CITY CLERK B. Lease Proposal for MACkiteboarding at Pere Marquette Park. PUBLIC WORKS C. City – MDOT Agreement for the Reconstruction of Temple Street, Young to Laketon. ENGINEERING D. City – MDOT Agreement for the Reconstruction of Getty Street, Laketon to Evanston. ENGINEERING E. Amend Chapter 30 of the Code of Ordinances – Fire Prevention. PUBLIC SAFETY PUBLIC HEARINGS: COMMUNICATIONS: CITY MANAGER’S REPORT: UNFINISHED BUSINESS: A. SECOND READING: Amendment to the Zoning Ordinance – Medical Marihuana Facilities. PLANNING & ECONOMIC DEVELOPMENT B. SECOND READING: Amendment to the City Code of Ordinances – Medical Marihuana Regulation and Licensing. PLANNING & ECONOMIC DEVELOPMENT NEW BUSINESS A. Contract for Assessing Services. FINANCE B. 2011-2012 Healthcare & Wellness Program. FINANCE C. 2011-2012 CDBG/HOME Recommendations. COMMUNITY & NEIGHBORHOOD SERVICES D. Civil Service Budget Adjustment. CITY MANAGER 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 Becker, City Clerk, 933 Terrace Street, Muskegon, MI 49440 or by calling (231) 724-6705 or TDD: (231) 724-4172. Date: March 22, 2011 To: Honorable Mayor and City Commissioners From: Ann Marie Becker, City Clerk RE: Approval of Minutes SUMMARY OF REQUEST: To approve minutes of the March 7th Commission Worksession Meeting and the March 8th City Commission Meeting. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Approval of the minutes. CITY OF MUSKEGON CITY COMMISSION WORKSESSION Monday, March 7, 2011 5:30 p.m. City Commission Chambers MINUTES 2011-13 Present: Mayor Warmington, Vice Mayor Gawron, Commissioners Spataro, Wierengo, Wisneski, Carter, and Shepherd. Lakeshore Baseball Club’s Request to Maintain Campbell Field. Jim Grevel from the Lakeshore Baseball Club explained their request to maintain the baseball fields at Campbell Field. Bob Richardson representing West Michigan Little League stated that they are confident that they can work together. Motion by Commissioner Spataro, second by Vice Mayor Gawron to approve Lakeshore Baseball Club’s request to maintain Campbell Field based on approval of staff. MOTION PASSES Easements – Consumers Energy Company. Consumers Energy Company is seeking four easements from the City of Muskegon for its Muskegon-Cobb #1 and #2 line relocation projects. The project objective is to relocate five High Voltage Distribution lines that currently exist in the wetlands area East of Consumers Energy’s Cobb Generation Plant, to a location out of a wetlands area. This is being done to facilitate access, which could reduce the size and duration of the outages, should an event in the area damage these lines. Access is currently limited, due to changing environmental restrictions. William Carlson and Pete from Consumers Energy Company explained the request and answered questions. This will be voted on at the March 8th City Commission Meeting. Amendment to the City Code of Ordinances – Medical Marihuana Regulation and Licensing. Mike Franzak explained the item. Discussion was held and comments were heard. This will be discussed further at the Public Hearing on the March 8th City Commission Meeting. Adjournment. Motion by Commissioner Carter, second by Commissioner Shepherd to adjourn at 7:06 p.m. MOTION PASSES ________________________ Ann Marie Becker, MMC City Clerk CITY OF MUSKEGON CITY COMMISSION MEETING MARCH 8, 2011 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, March 8, 2011. Mayor Warmington opened the meeting with a prayer from Elder George Monroe from the Evanston Avenue 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 Stephen Gawron, Commissioners Chris Carter, Clara Shepherd, Lawrence Spataro, Sue Wierengo, and Steve Wisneski, City Manager Bryon Mazade, City Attorney John Schrier, and City Clerk Ann Marie Becker. 2011-14 CONSENT AGENDA: A. Approval of Minutes. CITY CLERK SUMMARY OF REQUEST: To approve minutes of the City Commission Meeting that was held on Tuesday, February 22, 2011. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Approval of the minutes. B. Purchasing Cards. FINANCE SUMMARY OF REQUEST: The City has used purchasing cards since 1994 as a means to streamline purchasing and vendor payment processes. The State of Michigan recently negotiated its P-card program with Bank of America and is extending the contract to other units of government through the MiDeal joint purchasing program. The state program offers substantial benefits over our current arrangement with 5/3 Bank: • Higher rebates – Currently we receive a fixed 1% rebate on P-card purchases. This rebate generates about $35,000 annually. Under the state program, our purchasing volume is pooled with the state and other members of the program. Currently, rebates would be about 1.38% and would grow as additional members join the program. • User interface – The current card management user interface is not user friendly and has caused some staff dissatisfaction. Staff has worked through a demonstration of the interface for the state P-card and found it to be superior in terms of usability and functionality. FINANCIAL IMPACT: The change will generate an estimated $13,000 in additional rebates that will grow further as program membership increases. Staff efficiencies will be realized from the more user-friendly P-card management user interface. Finally, the City benefits because the state has borne the costs of the RFP and due diligence process. BUDGET ACTION REQUIRED: None at this time. STAFF RECOMMENDATION: Authorize staff to execute documents needed to join the state P-card program. F. Liquor License Request for Watermark Banquet and Conference Center, 920 Washington. CITY CLERK SUMMARY OF REQUEST: The Liquor Control Commission is seeking local recommendation on a request from Watermark Banquet and Conference Center, LLC, 920 Washington Street to amend initial forms to Enlarge Outdoor Service Area and Drop One Additional Bar Permit for a total of 3 bars. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Departments are recommending approval with zoning issues to be worked out. Motion by Vice Mayor Gawron, second by Commissioner Carter to approve the Consent Agenda as read minus items C, D, and E. ROLL VOTE: Ayes: Gawron, Shepherd, Spataro, Warmington, Wierengo, Wisneski, and Carter Nays: None MOTION PASSES 2011-15 ITEMS REMOVED FROM THE CONSENT AGENDA: C. Amendment to the Zoning Ordinance – Medical Marihuana Facilities. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: Staff initiated request to amend Section 1500 (Principle Uses Permitted) of Article XV (I-2, General Industrial Districts) of the zoning ordinance to allow medical marihuana caregiver facilities as a principal use permitted in I-2, General Industrial Districts. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: To approve the zoning ordinance amendment. COMMITTEE RECOMMENDATION: The Planning Commission unanimously recommended approval of the request at their February 10th meeting. Motion by Commissioner Spataro, second by Commissioner Wierengo to approve the amendment to the zoning ordinance as presented regarding medical marihuana facilities. ROLL VOTE: Ayes: Spataro, Warmington, Wierengo, Wisneski, Carter, and Gawron Nays: Shepherd MOTION PASSES – REQUIRES SECOND READING D. Application for Special License (Liquor Control Commission). PUBLIC SAFETY SUMMARY OF REQUEST: The Muskegon Museum of Art has submitted an application for a Special License for Beer, Wine and Spirits for Consumption on the Premises for the following events: • Reception April 29, 2011 • Gala Dinner June 11, 2011 • Reception November 18, 2011 The Museum meets all of the requirements for the special license with the exception of the request for “spirits”. Commission policy dictates that any special license request which includes spirits must be considered and approved by the body. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Staff has no recommendation. Motion by Commissioner Spataro, second by Vice Mayor Gawron to approve the application for special liquor license for the Muskegon Museum of Art but not include the request for spirits for consumption so that we are consistent with our other special liquor license requests. ROLL VOTE: Ayes: Spataro Nays: Warmington, Wierengo, Wisneski, Carter, Gawron, and Shepherd MOTION FAILS Motion by Commissioner Carter, second by Commissioner Shepherd to approve the application for a special liquor license for the Muskegon Museum of Art which includes beer, wine and spirits. ROLL VOTE: Ayes: Warmington, Wierengo, Wisneski, Carter, Gawron, Shepherd, and Spataro Nays: None MOTION PASSES E. Request from Consumers Energy for Easements. ENGINEERING SUMMARY OF REQUEST: Consumers Energy Company is seeking four easements from the City of Muskegon for its Muskegon-Cobb #1 and #2 line relocation projects. The project objective is to relocate five High Voltage Distribution lines that currently exist in the wetlands area East of Consumers Energy’s Cobb Generation Plant, to a location out of a wetlands area. This is being done to facilitate access, which could reduce the size and duration of the outages, should an event in the area damage these lines. Access is currently limited, due to changing environmental restrictions. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: None. Motion by Commissioner Spataro, second by Vice Mayor Gawron to approve the request from Consumers Energy for the Easements as described. Motion by Commissioner Spataro, second by Commissioner Wierengo to amend motion to include the requirement for staff and attorney review before the Mayor and City Clerk sign the easements. ROLL VOTE: Ayes: Wierengo, Wisneski, Carter, Gawron, Shepherd, Spataro, and Warmington Nays: None MOTION PASSES 2011-16 PUBLIC HEARINGS: A. Request to Repeal Existing Historic Preservation Ordinance. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: Staff initiated request to repeal Chapter 38, Article II of the Code of Ordinances of the City of Muskegon. The ordinance will be replaced with an updated version. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: To repeal the existing ordinance. COMMITTEE RECOMMENDATION: The Historic District Commission recommended to repeal the current ordinance at their February 1st meeting. The Public Hearing opened to hear and consider any comments from the public. No comments were made. Motion by Commissioner Carter, second by Commissioner Spataro to close the Public Hearing and approve the request to repeal the existing historic preservation ordinance. ROLL CALL: Ayes: Wisneski, Carter, Gawron, Shepherd, Spataro, Warmington, and Wierengo Nays: None MOTION PASSES B. Request to Amend Chapter 38, Article III of the Code of Ordinances, Historic District Ordinance. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: Staff initiated request to amend Chapter 38, Article III of the City Code of Ordinances to approve a new historic preservation ordinance. The new ordinance will meet the State of Michigan Historic Preservation Office standards and make Muskegon historic district residents eligible for historic building restoration tax credits. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: To approve the proposed ordinance. COMMITTEE RECOMMENDATION: The Historic District Commission recommended to approve the new historic district ordinance at their February 1st meeting. The Public Hearing opened to hear and consider any comments from the public. No comments were made. Motion by Commissioner Spataro, second by Commissioner Wierengo to close the Public Hearing and approve the request to amend Chapter 38, Article III of the Code of Ordinances, Historic District Ordinance. ROLL VOTE: Ayes: Carter, Gawron, Shepherd, Spataro, Warmington, Wierengo, and Wisneski Nays: None MOTION PASSES C. Amendment to the City Code of Ordinances – Medical Marihuana Regulation and Licensing. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: Staff initiated request to amend Chapter 34, Article IV of the Code of Ordinances to regulate and license certain aspects of medical marihuana cultivation, use and distribution. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: To approve the ordinance amendment. The Public Hearing opened to hear and consider any comments from the public. Comments were heard from David Keenan, 4255 Squaw Creek Trail, Muskegon; Jarred Foster, 10954 Mt. Ash Avenue, Grand Rapids; and Attorney Kevin Wester and Derek Antol, Greater Michigan Compassion Club, 1504 Montgomery. Motion by Commissioner Spataro, second by Commissioner Carter to close the Public Hearing and approve the amendment to the City Code of Ordinances regarding medical marihuana regulation and licensing. ROLL VOTE: Ayes: Gawron, Spataro, Warmington, Wierengo, Wisneski, and Carter Nays: Shepherd MOTION PASSES – REQUIRES SECOND READING D. Recommendation for Annual Renewal of Liquor Licenses. CITY CLERK SUMMARY OF REQUEST: To adopt a resolution recommending non-renewal of those liquor license establishments who are in violation of Section 50-146 and 50- 147 of the Code of Ordinances for the City of Muskegon. These establishments have been found to be in non-compliance with the City Code of Ordinances and renewal of their liquor licenses should not be recommended by the City Commission. If any of these establishments come into compliance by March 22, 2011, they will be removed from this resolution, and recommendation for their renewal will be forwarded to the Liquor Control Commission. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Adoption of the resolution. The Public Hearing opened to hear and consider any comments from the public. Comments were heard from Jennifer Osborn, 3125 Tule Street NW, Grand Rapids from CJ’s on the Beach. Motion by Commissioner Carter, second by Commissioner Spataro to close the Public Hearing and approve the recommendation as presented for annual renewal of liquor licenses. ROLL VOTE: Ayes: Shepherd, Spataro, Warmington, Wierengo, Wisneski, Carter, and Gawron Nays: None MOTION PASSES 2011-17 UNFINISHED BUSINESS: A. SECOND READING: Amendment to the Zoning Ordinance – Outdoor Lighting. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: Staff initiated request to amend Section 2331 (Landscaping, Fencing, Walls, Screens and Lighting) of Article XXIII (General Provisions) of the zoning ordinance to modify the guidelines on outdoor lighting. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: To approve the zoning ordinance amendment. COMMITTEE RECOMMENDATION: The Planning Commission recommended approval of the request at their February 10th meeting. Motion by Vice Mayor Gawron, second by Commissioner Wierengo to approve the amendment to the Zoning Ordinance affecting outdoor lighting. ROLL VOTE: Ayes: Spataro, Warmington, Wierengo, Wisneski, Carter, Gawron, and Shepherd Nays: None MOTION PASSES B. SECOND READING: Rezoning Request for the Property Located at 1221 W. Laketon Avenue. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: Staff initiated request to rezone the property at 1221 W. Laketon Avenue from RM-2, Medium Density Multiple Family Residential District to R-1, Single Family Residential District. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Staff recommends approval of the rezoning. COMMITTEE RECOMMENDATION: The Planning Commission recommended approval of the request at their February 10th meeting. Motion by Commissioner Spataro, second by Vice Mayor Gawron to approve the rezoning request for the property located at 1221 W. Laketon Avenue from RM-2 to R-1. ROLL VOTE: Ayes: Warmington, Wierengo, Carter, Gawron, Shepherd, and Spataro Nays: Wisneski MOTION PASSES 2011-18 NEW BUSINESS A. Five-Year Consolidated Plan. COMMUNITY & NEIGHBORHOOD SERVICES SUMMARY OF REQUEST: To allow CNS staff to publish a summary of the 2011– 2016 City of Muskegon Five-year Consolidated Plan for citizen review for not less than 30 days. A public notice will solicit comments on our proposed plan. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: We are requesting to direct the CNS office to publish a summary of the 2011-2016 City of Muskegon Five-year Consolidated Plan. Motion by Vice Mayor Gawron, second by Commissioner Carter to direct the CNS office to publish a summary of the 2011-2016 City of Muskegon Five-year Consolidated Plan. ROLL VOTE: Ayes: Wierengo, Wisneski, Carter, Gawron, Shepherd, Spataro, and Warmington Nays: None MOTION PASSES PUBLIC PARTICIPATION: Public comments received. ADJOURNMENT: The City Commission Meeting adjourned at 6:31 p.m. Respectfully submitted, Ann Marie Becker, MMC City Clerk AGENDA ITEM NO._____________ CITY COMMISSION MEETING ___________________ TO: Honorable Mayor and City Commission FROM: Department of Public Works DATE: March 22, 2011 SUBJECT: Lease Proposal for MACkiteboarding at Pere Marquette Park SUMMARY OF REQUEST: Staff is asking permission to enter into 3-year contractual agreement with Steve Negen of MACkiteboarding for a Kiteboard School and Shop in Pere Marquette Park at 1955 Beach Street (former old brown/brick beach house building by Filtration Plant). FINANCIAL IMPACT: Revenue will be $2,500 per year for 2011, 2012 and 2013 contract years. Lessee also agrees to provide a Handicapped Restroom outside of building. Previous 3 year contract revenue was $2,500 per year for the 2008, 2009, and 2010 seasons. BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Approve request. COMMITTEE RECOMMENDATION: MACkiteboarding Lease Proposal Property : 1955 Beach St, Muskegon Mi Rate: $2,500 per year Extra – Handicapped Portable Restroom outside of the building Duration: 3 years Steve Negen President ‐ MACkiteboarding Date: March 22, 2011 To: Honorable Mayor and City Commissioners From: Engineering RE: City – MDOT Agreement for the reconstruction of: Temple Street, Young to Laketon SUMMARY OF REQUEST: Approve the attached contract with MDOT for the reconstruction of Temple Street from Young to Laketon. And approve the attached resolution authorizing the Mayor and City Clerk to sign the contract. FINANCIAL IMPACT: MDOT’s participation is limited to the TEDF- A (state funds) of $139,003. The estimated total construction cost is $175,000. BUDGET ACTION REQUIRED: None at this time as this project appears in the 2010/2011 budget (2nd reforecast) STAFF RECOMMENDATION: Approve the attached contract and resolution authorizing the mayor & clerk to sign both. COMMITTEE RECOMMENDATION: RESOLUTION__________ RESOLUTION FOR APPROVAL OF A CONTRACT AGREEMENT BETWEEN THE MICHIGAN DEPARTMENT OF TRANSPORTATION AND THE CITY OF MUSKEGON FOR THE RECONSTRUCTION OF TEMPLE STREET BETWEEN YOUNG AVE. & LAKETON AVE. TOGETHER WITH OTHER NECESSARY RELATED WORK ITEMS AND AUTHORIZATION FOR MAYOR STEPHEN J. WARMINGTON AND CITY CLERK, ANN BECKER, TO EXECUTE SAID CONTRACT Moved by_____________________________________and supported by Commissioner___________________________that the following Resolution be adopted: WHEREAS, entry by the City of Muskegon into Contract no. 11-5111 between the Michigan Department of Transportation and the City of Muskegon for the reconstruction of Temple Street between Young Ave. & Laketon Ave. within the City is in the best interests of the City of Muskegon. RESOLVED, that entry by the City into Contract Agreement Number 11-5111 be and the same is hereby authorized and approved and the Mayor and Clerk are authorized to execute said contract for and on behalf of the City of Muskegon. Adopted this____________day of____________, 2011. BY Stephen J. Warmington, Mayor ATTEST Ann Becker, City Clerk CERTIFICATION This resolution was adopted at a meeting of the City Commission, held on ____________, 2011. The meeting was properly held and noticed pursuant to the Open Meetings Act of the State of Michigan, Act 267 of the Public Acts of 1976. CITY OF MUSKEGON By___________________________ Ann Becker, City Clerk Date: March 22, 2011 To: Honorable Mayor and City Commissioners From: Engineering RE: City – MDOT Agreement for the reconstruction of: Getty Street, Laketon to Evanston SUMMARY OF REQUEST: Approve the attached contract with MDOT for the reconstruction of Getty Street from Laketon to Evanston. And approve the attached resolution authorizing the Mayor and City Clerk to sign the contract. FINANCIAL IMPACT: MDOT’s participation is limited to the TEDF-F (state funds) of $375,000. The estimated total construction cost is $1,000,000 which is different than what is shown in the agreement of $525,000. The agreement figure of $525,000 was based on a milling and resurfacing construction method which has since been deemed as not appropriate due to underground work among other reasons. BUDGET ACTION REQUIRED: Due to higher than originally anticipated required local match, it is likely the city need to issue MTF bonds for this and other grant funded street projects. A potential bond issue was included in the 2010/2011 budget but was deferred. This project, if approved, will be included in the 2011/2012 budget. STAFF RECOMMENDATION: Approve the attached contract and resolution authorizing the mayor & clerk to sign both. COMMITTEE RECOMMENDATION: RESOLUTION__________ RESOLUTION FOR APPROVAL OF A CONTRACT AGREEMENT BETWEEN THE MICHIGAN DEPARTMENT OF TRANSPORTATION AND THE CITY OF MUSKEGON FOR THE RECONSTRUCTION OF GETTY STREET BETWEEN LAKETON AVE. & EVANSTON TOGETHER WITH OTHER NECESSARY RELATED WORK ITEMS AND AUTHORIZATION FOR MAYOR STEPHEN J. WARMINGTON AND CITY CLERK, ANN BECKER, TO EXECUTE SAID CONTRACT Moved by_____________________________________and supported by Commissioner___________________________that the following Resolution be adopted: WHEREAS, entry by the City of Muskegon into Contract no. 11-5108 between the Michigan Department of Transportation and the City of Muskegon for the reconstruction of Getty Street between Laketon & Evanston within the City is in the best interests of the City of Muskegon. RESOLVED, that entry by the City into Contract Agreement Number 11-5108 be and the same is hereby authorized and approved and the Mayor and Clerk are authorized to execute said contract for and on behalf of the City of Muskegon. Adopted this____________day of____________, 2011. BY Stephen J. Warmington, Mayor ATTEST Ann Becker, City Clerk CERTIFICATION This resolution was adopted at a meeting of the City Commission, held on ____________, 2011. The meeting was properly held and noticed pursuant to the Open Meetings Act of the State of Michigan, Act 267 of the Public Acts of 1976. CITY OF MUSKEGON By___________________________ Ann Becker, City Clerk City Commission Meeting Tuesday March 22, 2011 TO: Honorable Mayor and City Commissioners FROM: Anthony L. Kleibecker, Director of Public Safety DATE: March 15, 2011 SUBJECT: Amend Chapter 30 of the Code of Ordinances-Fire Prevention ________________________________________________________________________ Summary of Request: The Director of Public Safety is requesting that the City Commission amend Chapter 30 of the Code of Ordinances concerning Fire Prevention and Protection. This includes the adoption of the 2009 International Fire Code. Financial Impact: None Budget Action Required: None Staff Recommendation: Approval of the request. City of Muskegon Muskegon County, Michigan ORDINANCE NO. _______ The City Commission of the City of Muskegon hereby ORDAINS: Chapter 30 of the Code of Ordinances of the City of Muskegon concerning the Fire Prevention Code is amended, as follows: 1. Section 30-191 shall be amended to read as follows: Adoption. The city hereby adopts the International Fire Code, 2009 edition, including all appendices thereto, except for Appendix A which is not adopted, as published by the International Code Council, as the Fire Code of the City of Muskegon, in the State of Michigan. The International Fire Code regulates and governs the safeguarding of life and property from fire and explosion hazards arising from the occupancy of buildings and premises; provides for the issuance of permits and collection of fees therefore; and each and all of the regulations, provisions, penalties, conditions, and terms of the International Fire Code on file in the office of the City of Muskegon are hereby referred to, adopted, and made a part hereof, as if fully set out in this ordinance, with the additions, insertions, deletions and changes, if any prescribed in this ordinance. Copies of the International Fire Code are on file in the office of the City Clerk of the City of Muskegon, and the code is made a part hereof as if fully set forth in this article. If any conflict exists between any provision in the International Fire Code and a provision in the Michigan Building Code, the Michigan Building Code, 2009 edition, shall prevail. This ordinance adopted: Ayes: Nays: Adoption Date: Effective Date: First Reading: Second Reading: CITY OF MUSKEGON By:________________________________ Ann Marie Becker, 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 22nd day of March, 2011, 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 the minutes were kept and will be or have been made available as required thereby. Dated: ____________, 2011 ____________________________________ Ann Marie Becker, MMC City Clerk CITY OF MUSKEGON NOTICE OF ADOPTION TO: ALL PERSONS INTERESTED Please take notice that on March 22, 2011, the City Commission of the City of Muskegon adopted Chapter 34, Sections 34-101 through 34-114 of the Muskegon City Code concerning Medical Marihuana Regulation and Licensing, summarized as follows: 1. Section 34-101 articulates the Intent of the Ordinance to Regulate and License Certain Aspects of Medical Marihuana Cultivation, Use and Distribution. 2. Section 34-102 provides the definitions of various terms used in the Ordinance to Regulate and License Certain Aspects of Medical Marihuana Cultivation, Use and Distribution. 3. Section 34-103 provides the Findings and Declaration of Facts which are the basis for the Ordinance to Regulate and License Certain Aspects of Medical Marihuana Cultivation, Use and Distribution. 4. Section 34-104 prohibits distribution centers. 5. Section 34-105 permits the cultivation of marihuana by a qualified patient, with no licensing requirement. Distribution of marihuana by a qualified patient is prohibited. 6. Section 34-106 permits caregivers, pursuant to a City of Muskegon license, to cultivate and distribute marihuana to a qualified patient pursuant state law. 7. Section 34-107 provides the application process for obtaining permission to act as a caregiver in the City of Muskegon. 8. Section 34-108 establishes the requirements and standards for approval of licensure and activity permitted by a caregiver. 9. Section 34-109 permits establishing other conditions for caregivers. 10. Section 34-110 establishes land use restrictions relating to medical marihuana. 11. Section 34-111 provides a process for existing medical marihuana facilities to comply with City ordinances or a period of time to cease operating. 12. Section 34-112 provides restrictions on the distribution of marihuana. 13. Section 34-113 provides the penalty for violating the Ordinance to Regulate and License Certain Aspects of Medical Marihuana Cultivation, Use and Distribution. O:\CLERK\POTTER\WORD\City Commission Agenda\City Code of Ordinances - Medical Mearijuana.DOC 13 Date: March 22, 2011 To: Honorable Mayor and City Commissioners From: Finance Director RE: Contract for Assessing Services SUMMARY OF REQUEST: Since 1999, the City has contracted with the Muskegon County Equalization Department for assessing services. The closure of the Sappi plant together with general tax base loss changed the City’s required assessor status from Level IV to Level III. This caused staff to explore whether taking the assessing function back in-house might be cost effective. However, after in- depth discussions with the County, we have reached a new five-year agreement that continues the current intergovernmental service model while achieving the City’s cost goals. The proposed agreement is presented here for your consideration. FINANCIAL IMPACT: The base cost for the proposed contract is $344,367 with yearly adjustments based on the growth (decline) in the City’s taxable value. The base cost for the current contract is $459,300. BUDGET ACTION REQUIRED: Agreed to costs for assessing services will be included in the forthcoming 2011-12 budget. The City will see reduced costs for the last quarter of the 2010-11 fiscal year which will be incorporated in the upcoming budget reforecast. STAFF RECOMMENDATION: Authorize staff to execute documents with Muskegon County for continued provision of assessing services. COMMITTEE RECOMMENDATION: None. 1 AGREEMENT BETWEEN THE CITY OF MUSKEGON AND MUSKEGON COUNTY BOARD OF COMMISSIONERS THIS AGREEMENT, entered into as of the first day of April 2011, between the City of Muskegon, a municipal corporation, by its City Commission, hereinafter referred to as “Municipality”, and the County of Muskegon, by its Board of Commissioners, hereinafter referred to as the “County”, is as follows: PURPOSE The purpose of this Agreement is to provide for a property assessment administration program to be administered by the County Equalization Director, or designated representative, which will list, appraise, and maintain a complete set of records for all real and personal property, subject to ad valorem taxation, specific taxes, in-lieu-of tax agreements within the Corporate limits of the Municipality, pursuant to Public Act No. 160 of 1972. TERM AND TERMINATION The agreement shall commence April 1 of 2011, and terminate March 31, 2016, provided that either party may terminate the Agreement on March 31 of each year upon one year prior written notice. The notice shall be sent by certified mail to the County Equalization Director if terminated by the Municipality. The notice shall be sent by certified mail to the City Manager if terminated by the County. I. The County agrees to perform the services and provide the materials set forth herein. A. SCOPE OF SERVICE – To classify and appraise, according to the constitution and laws of the State of Michigan, each parcel of real property within the confines of the Municipality and process all assessable personal property that is in the Municipality, and use the methods prescribed by the Michigan State Tax Commission. The Equalization Department will provide an assessment roll that will equal the tentative State Equalized Values for each classification of property. The final factor will be determined by the action of the Municipality’s Board of Review and the process of state equalization as determined by the State Tax Commission. Exhibit A outlines the full scope of services provided to the City. B. QUALIFIED STAFF - All County employees engaged in the performance of this Agreement shall be professional in manner and appearance, and be trained in property appraisal techniques. The assessor shall be certified by the State Tax Commission, as required for the Municipality’s size and State Equalized Value. C. EQUIPMENT AND SUPPLIES - The County will provide all equipment and supplies needed for the routine performance of its duties without additional expenses, except as otherwise set forth herein. D. Maps and Records – The Municipality shall provide current land use maps, zoning maps, and shall make available any records or data which may be of use in making the appraisal, without cost to the County. The County has implemented a GIS system in which mapping data is maintained. The GIS system is addressed in sub-point “M” of this agreement. E. APPRAISAL MANUALS/SCHEDULES - The current Michigan State Tax Commission Assessor’s Manuals shall be the cost schedules used in the appraisal of all properties. All cost schedules shall be indexed to reflect current costs as of Tax Day. F. RECORD CARDS - The County will maintain the master file at a specified location. The master file shall become the property of the Municipality when delivered. G. PUBLIC RELATIONS – Both parties recognize that good public relations are vital to the success of the assessment administration program. During the terms of this Agreement, County employees shall endeavor to promote understanding and amicable relations with all members of the public. County Staff will be assigned by the Equalization Director to report at the designated Municipal Building when necessary to conduct their duties, interact with Municipal Staff, attend meetings, and promote community relations. H. PROPERTY OWNER NOTIFICATION AND OFFICIAL STATEMENTS – It shall be the responsibility of the County to notify all property owners annually of assessed and taxable values, as provided by law, whether values increase or decrease, as well as distribute personal property statements and other official forms. I. ASSESSMENT ROLL - The County shall prepare the assessment roll and certify the same for the Municipality in a timely manner. J. BOARD OF REVIEW - County Staff will advise and assist the Municipality’s Board of Review in preparing for, conducting, and implementing any changes resulting from the required meeting of the Board. K. APPEALS AND OTHER FUNCTIONS - The County Equalization Director or designated representative shall represent the Municipality in all property assessment appeals and in proceedings before the Tax Tribunal concerning properties under this Agreement. The Municipality shall designate and provide the legal services for such appeals or proceedings filed during the existence of this agreement; however, costs or expenses which may be incurred by the County in employing additional counsel, expert appraisers, or performing extraordinary specific appraisal work in connection with such appeals, proceedings, or other functions shall be paid by the Municipality provided that the Equalization Director seeks and obtains approval from the Municipality prior to incurring such costs or expenses. Any counsel retained to handle appeals shall work under the direction of the Equalization Director. Additionally, should either party terminate this agreement, the County or designated representative shall represent the Municipality in all property assessment appeals and in proceedings filed during the existence of this agreement. The fee shall be $75.00 per hour for preparation, appearance, and travel after termination of the agreement. The fee should be multiplied by the current year’s Inflation Multiplier (as determined by the Consumer Price Index,) effective October 1, 2011, and adjusted annually in this manner on this date for every year thereafter. L. COMPUTERIZED APPRAISALS AND INFORMATION TECHNOLOGY – The County will provide staff, equipment, and software to maintain electronic property records using a computer assisted mass appraisal system. Assessment administration, including digital photography and sketching, as well as general business application software shall be supplied by the County. All property information shall adhere to the requirements of the County Wide Area Network and its specifications. The records will be utilized for annual valuation updates. The County may request the assistance of designated staff of the Municipality to determine proper neighborhoods for market value determinations. The County will ensure that the assessment records reflect the property’s true cash value, assessed valuation, and taxable valuation to be utilized for any property tax calculations in accordance with applicable General Property Tax Law requirements. The computer assisted mass appraisal system and its attributes shall become the property of the Municipality upon termination of this agreement. Additionally, the County and The Municipality shall participate in an electronic building permit system that will transfer such data to the computer aided assessment administration system without modification or hesitation. The system and its attributes shall be determined by the County. M. Geographical Information Systems – The County and The Municipality have implemented a geographical information system. An independent formal mutual agreement governs this function. N. SPECIAL ASSESSMENTS - Special assessment benefit analyses, roll preparation, processing, and related reports will be provided by the County when formally requested. The fee shall be $75.00 per hour. The fee should be multiplied by the current year’s Inflation Rate Multiplier (as determined by the Consumer Price Index,) effective October 1, 2011, and adjusted annually in this manner on this date for every year thereafter. O. RECORDS MAINTENANCE AND ACCESS – The County agrees to maintain records with the most current information the County has available. 1. All changes in property ownership will be recorded in the assessment records within thirty days of being filed with the Muskegon County Register of Deeds unless incomplete property documentation prevents timely recording. In these cases, the Equalization Department will strive to get complete accurate ownership information recorded as quickly as practical. 2. City staff will be afforded full access to assessment records (including photographs). –II. The County will perform all the above services for the Municipality, subject to fees and expenses set forth and under the terms and conditions herein: A. FEES - For each year of this agreement the annual fee shall be calculated in the following manner: The fee for the base year, which is from April 1, 2011 to March 31, 2012, shall be $344,367.00 (base annual fee). The base Annual Fee of $344,367.00 shall be multiplied by the Growth Index effective, and annually on April 1 for every year throughout the term of this agreement. The Growth Index is determined by dividing the Municipality’s current year aggregate taxable value by the Municipality’s previous year’s aggregate taxable value as published in the Equalization Report. The index shall be compounded annually. B. PAYMENTS - The Municipality shall remit the annual fee in equal quarterly payments. C. RELATIONSHIP OF THE PARTIES – The parties acknowledge that the agreement between the County and The Municipality is one of an independent contractor. Neither of the parties should represent that an employment relationship is created or exists with regards to the employees of the other. This independent contractor relationship shall be given its full scope and intent including without limitation as it pertains to liability, wages, benefits, and taxation. VI. MISCELLANEOUS A. SECTION HEADINGS - The headings of the several sections, and any Table of Contents appended hereto, shall be solely for convenience of reference and shall not affect the meaning, construction or effect hereof. B. SEVERABILITY - If any one or more of the provisions contained herein shall for any reason be held to be invalid, illegal, or unenforceable in any respect, then such provision or provisions shall be deemed severable from the remaining provisions hereof, and such invalidity, illegality, or unenforceability shall not affect any other provision hereof, and this Agreement shall be construed as if such invalid, illegal or unenforceable provision had never been contained herein. C. ENTIRE AGREEMENT AND AMENDMENT - In conjunction with matters considered herein, this Agreement contains the entire understanding and agreement of the parties and there have been no promises, representations, agreements, warranties, or undertakings by any of the parties, either oral or written, of any character or nature hereafter binding except as set forth herein. This Agreement may be altered, amended or modified only by an instrument in writing, executed by the parties to this Agreement and by no other means. Each party waives their future right to claim, contest or assert that this Agreement was modified, canceled, superseded or changed by any oral agreements, course of conduct, waiver or estoppel. D. SUCCESSORS AND ASIGNS - All representations, covenants, and warranties set forth in the Agreement by or on behalf of, or for the benefit of any or all of the parties hereto, shall be binding upon and inure to the benefit of such party, its successors and assigns. E. TERMS AND CONDITIONS - The terms and conditions used in this Agreement shall be given their common and ordinary definition and will not be construed against either party. F. EXECUTION OF COUNTERPARTS - This Agreement may be executed in any number of counterparts and each such counterparts shall for all purposes be deemed to be an original; and all such counterparts, or as many of them as the parties shall preserve undestroyed, shall together constitute one and the same instrument. ACKNOWLEDGEMENTS By: Steve Warmington Its: Mayor By: Ann Marie Becker Its: City Clerk Approved as to Form: John C. Schrier, City Attorney County of Muskegon: By: Kenneth Mahoney Its: Chairman Board of Commissioners By: Nancy A. Waters Its: Clerk Approved as to Form: Theodore Williams, Corporate Counsel Exhibit A – Scope of Services 1. Muskegon County Equalization shall prepare annually by July 15 of each year a TIFA/LDFA report. 2. Muskegon County Equalization shall furnish the City of Muskegon a copy of the Equalization Report following adoption by the County Board of Commissioners. 3. Muskegon County Equalization will maintain records for the City of Muskegon that are in substantial compliance with state law - which includes the ability to pass a 14 point review or mini review (Please see attached forms – STC Form 4557 and Certification Statement). Michigan Department of Treasury 4557 (Rev. 03-09) Review of Local Unit Assessment Administration Practices, Procedures and Records MICHIGAN STATE TAX COMMISSION Random Review Follow Up Review Ordered Review UNIT: COUNTY: YEAR: YEAR OF ORIGINAL REVIEW (FOLLOW-UP REVIEW): Score: Name of Township Supervisor/City Manager/Mayor: Name of Assessing Officer: SAB Certification No.: SAB Certification Level: Required Unit Level: 1% Administration Fee added to tax collection: Yes No Notes: 1a. On what date was the assessment roll certified by the above identified assessing officer? General Law Date: Charter Date: Date: Notes: 1b. On what date did the assessing officer deliver the certified assessment roll (original hard copy) to the local Board of Review for its required March meetings? General Law Date: Charter Date: Date: Notes: 1 Michigan Department of Treasury 4557 (Rev. 03-09) 2a. On what date was the assessment roll certified by the local Board of Review? Date: Notes: 2b. Did the local Board of Review utilize State Tax Commission form L-4035 (or equivalent)? Yes No Notes: 2c. Did the secretary of the local Board of Review utilize State Tax Commission form L-4035a to document valuation changes authorized by the board? Yes No Notes: 2d. Did the local unit Board of Review prepare minutes of the meetings and actions authorized by the local Board of Review and file the minutes with the local unit clerk (MCL 211.33)? March BOR Session Yes No July BOR Session Yes No December BOR Session Yes No Notes: 2e. Is the Board of Review in substantial compliance with the requirements of the GPTA (MCL 211.10f, MCL 211.33, R209.28(4)? March BOR Session Yes No July BOR Session Yes No December BOR Session Yes No Notes: 2 Michigan Department of Treasury 4557 (Rev. 03-09) 2f. On what date did the local unit/Board of Review Close? March BOR Session July BOR Session Statutory Date December BOR Session Statutory Date Notes: 3a. On what date was the certified copy of the assessment roll delivered to the county equalization department? Date: Notes: 3b. On what date did the assessing officer deliver State Tax Commission form L-4021 to the county equalization department? Date: Original Hard Copy Electronic/Magnetic File Transfer Notes: 3c. On what date did the assessing officer deliver State Tax Commission form L-4022 to the county equalization department? Date: Original Hard Copy Electronic/Magnetic File Transfer Notes: 3d. On what date did the assessing officer deliver a complete State Tax Commission form L-4025 (all property) to the county equalization department? Date: Notes: 3 Michigan Department of Treasury 4557 (Rev. 03-09) 4. Does the local unit have a printed copy of the 2003 Assessor’s Manual for review by the taxpayers and a copy of the manual actually used to make the assessments? Yes No Notes: 5. MCL 211.10e Requirements – Pursuant to MCL 211.10e, please identify which of the following assessors’ manuals is utilized by the local unit assessing officer: a) Michigan Assessors Manual, 1998 Cost Tables b) Michigan Assessors Manual, 2003 Cost Tables c) Other (specify): 6. MCL 211.10e Requirements – Pursuant to MCL 211.10e, please identify which of the following assessment records are utilized and maintained by the local assessing officer: a) Appraisal record card system b) Personal property record system c) Tax maps d) Land value determination (maps grids, tables and analysis) e) ECF determinations f) Current year printed copy of the assessment roll Original Duplicate Copy Notes: 7. MCL 211.10a Requirement – Pursuant to MCL 211.10a does the local unit provide customary business hours for inspection and copying of public records? Yes If Yes, please indicate designated days and times. (specify): No Notes: 4 Michigan Department of Treasury 4557 (Rev. 03-09) If the answer above is NO, has the local unit adopted a policy and/or procedure(s) to be utilized regarding the inspection and copying of public records? Yes If Yes, please attached a copy of policy/procedure. No Notes: 8. Where are the real and personal property records, assessment roll(s) and support documents retained? a) Local unit public offices b) Office/home of township supervisor c) Office/home of assessing officer d) Other (specify): Notes: 9. Assessment Roll Requirements – Please identify which of the following specific date or information is posted to the current assessment roll: a) Name & address of property owner b) Legal description or STC approved parcel code number c) School district code d) Property classification e) Assessed valuation f) Capped valuation g) Taxable valuation h) Board of Review valuation column i) MTT and/or STC valuation column j) Homestead or Qualified Agricultural Property Exemption & percentage k) Date of last transfer of ownership Notes: 10. Does the true cash value on the appraisal record card agree with the true cash value indicated by the assessed value on the assessment roll? Yes No If No, date(s) last calculated. Notes: 5 Michigan Department of Treasury 4557 (Rev. 03-09) 11. Do the appraisal record cards properly account for all physical items located on the description? 90% + Accurate 80% - 89% Accurate 79% or less Accurate Notes: 12. MCL 211.27a (3) Requirement(s) – Pursuant to MCL 211.27a(3) is the local unit in substantial compliance with the uncapping of taxable valuations the year following a transfer of ownership? Yes No If NO, documentation required. Notes: 13. Based on a sampling of properties involving new construction which occurred in the prior year, do the current year’s assessments include new construction? Yes No If NO, documentation required. Notes: 14. Based on a sampling of known “sale” properties, is the local unit in substantial compliance with STC Bulletin 19 of 1997? Yes No If NO, documentation required. Notes: 14b. Calculated Co-efficient of Dispersion: Calculated Price Related Differential: Notes: Additional Notes: 6 Michigan Department of Treasury 4557 (Rev. 03-09) CERTIFICATION: I hereby declare that the foregoing information submitted is a complete and true statement. Electronic Signature: By clicking the box, I agree the signature I have typed above will be the electronic representation of my signature for purpose when I use it on this document and is a legally-binding contract. I further understand that signing documents using this electronic signature will have the same legally-binding effect as signing my signature using pen and paper. Date: Title: Summary of ARC Review 7 Local Unit Certification Statement MICHIGAN STATE TAX COMMISSION ASSESSMENT AND CERTIFICATION DIVISION Local Unit: ______________________________ County: _________________________________ 1. Please identify the assessing officer who has signed the pre-Board of Review certification of the assessment roll. Name of Township Supervisor/City Manager/Mayor: _________________________ Name of Assessing Officer: _____________________________________________ SAB Certification No.: ________ SAB Certification Level: ________ Required Unit Level: ________ Comments: 2. MCL 211.10e Requirements - Pursuant to MCL 211.10e, please identify which of the following assessment records are used and maintained by the local assessing officer: Land value tables and land value maps. Land value maps generally consist of a map of the local unit, usually broken down by neighborhoods showing the land values used in those neighborhoods. If the land values are estimated or county equalization values are used, please indicate so in the notes area below. A listing of sales used to determine the land values, an analysis of the sales listing that arrives at the final land table, and a print out of the land table are required for an affirmative answer below. Land value maps: please note below any classifications not represented on a land value map. (An “X” in the box indicates a “yes” answer.) Land value determination; (grids or tables and analysis) Agricultural Classification Commercial Classification Industrial Classification Residential Classification Timber/Cutover Classification Developmental Classification Notes: 3. ECF determination (grids or tables and analysis – there must be a sales listing and ECF calculations – a simple listing of an ECF table will not suffice) An “X” in the box indicates a “yes” answer. (Note; if the ECFs are estimated or county ECFs, please indicate in the notes area below) Agricultural Classification Commercial Classification Industrial Classification Residential Classification Timber/Cutover Classification Developmental Classification Notes: 4. Does this unit have office hours for the inspection and copying assessment records? a) If so, please circle days & list hours:Days: M Tu W Th F Hours: Days: M Tu W Th F Hours: b) If not, has the unit adopted a policy and/or procedure regarding the inspection and copying of public records? YES If YES, please attach a copy of policy/procedure. NO Notes: 5. Please identify the portion of the parcels in each classification were field inspected in the prior year. STC guidelines indicate a 20% inspection rate of real parcels. Field inspection means an actual physical inspection of the parcel and measurement of at least several of the major structure dimensions. Digital aerial photos may be used in addition to field inspection if certain standards are met. (Parcel count, not SEV or percentage of parcels inspected) a) Total Agricultural real in classification ________; Number inspected ________ b) Total Commercial real in classification ________; Number inspected ________ c) Total Industrial real in classification ________; Number inspected ________ d) Total Residential real in classification ________; Number inspected _______ e) Total Timber cutover real in classification _____; Number inspected _______ f) Total Developmental real in classification________; Number inspected_______ Notes: 6. Based on a sampling of properties involving new construction that occurred in the prior year, do the current year's assessments include equalization new and capped value additions on the assessment roll? This is a check of permitted construction and non permitted construction. (Some units do not require building permits for agricultural and small buildings.) YES NO Notes: 7. Does the true cash value on the appraisal record card agree with the true cash value indicated by the assessed value on the assessment roll? This is a check for overridden values on the appraisal record cards (ARC) and an excessive use of flat land values. YES NO Notes: I hereby certify the aforementioned statements are true and accurate: Assessor; include Certification Number _______________________________________ Date: ____________ Township Supervisor or City Manager or Mayor ________________________________ Date: ____________ Date: March 22, 2011 To: Honorable Mayor and City Commissioners From: Finance Director RE: 2011-12 Healthcare & Wellness Program SUMMARY OF REQUEST: It is time to renew the City's healthcare coverage for 2011-12. Renewal premiums for the City's current healthcare program have come in at $887.88/employee/month, an 8.83% increase over the current rate ($815.85). Last year we experienced a 9.45% increase. In comparative terms, the rate increase is fairly moderate. Many employers are experiencing double-digit increases partially attributable to coverage enhancements mandated by last year’s federal healthcare legislation. For 2011-12, the City will continue to pay HRA deductibles for employees who complete the four-step wellness initiative prior to April 30th; non-participants in the wellness program will pay the first $500 (single)/ $1,000 (family) of the deductible. Staff is also focusing on increasing the premium co-pay in employee negotiations. FINANCIAL IMPACT: Following is an estimate of proposed costs for the Priority Health HMO program compared with the current year: 2010-11 2011-12 Annual Premium per Employee $9,790 $10,655 Approx. Self-Insured HRA Costs per Employee 700 700 Typical Employee Premium Co-pay (520) (780) Net City Cost 9,970 10,575 Approx. # of Covered Employees (Subject to Reduction) 231 231 Total Annual City Cost $2,303,070 $2,442,825 BUDGET ACTION REQUIRED: Employee and retiree healthcare costs will be included in the forthcoming 2011-12 budget. STAFF RECOMMENDATION: Authorize staff to execute documents with Priority Health to renew healthcare coverage. COMMITTEE RECOMMENDATION: None. 1 Commission Meeting Date: March 22, 2011 Date: March 15, 2011 To: Honorable Mayor and City Commission From: Community and Neighborhood Services Department RE: 2011 – 2012 CDBG/HOME Recommendations. ______________________________________________________________ SUMMARY OF REQUEST: To accept the recommendations of the Administration and Citizen’s District Council in regards to the 2011 – 2012 CDBG/HOME anticipated entitlement. The Commission is scheduled to make their preliminary decision regarding the 2011-2012 CDBG/HOME allocation entitlement during the City Commission meeting scheduled for March 22, 2011, with a public hearing of the same. FINANCIAL IMPACT: None at this time. BUDGET ACTION REQUIRED: To determine a budget for the CNS department and direct staff to publish the recommended budget for a 30 day comment period for the proposed July 1, 2011- June 30, 2012 program year. STAFF RECOMMENDATION: To approve the acceptance of the recommendations of the Administration and Citizen’s District Council and to make their preliminary recommendations for publication. COMMITTEE RECOMMENDATION: The Citizen District Council has made their recommendations. (See attached spreadsheet and memo.) Community Development Block Grant 2011 - 2012 Amount Admin CDC City Commission City Comm Requested Recommend Rec Prelimiary Rec. Final Determination Organization/Agency Activity $15,000 $10,000 $10,000 COM - Affirmative Action Affirmative Action $10,000 $10,000 $10,000 COM - Affirmative Action Summer Internships $180,000 $150,000 $150,000 $150,000 $150,000 COM - CNS CDBG Admin ** $250,000 $225,000 $225,000 COM - CNS Emergency Repair $80,000 $65,000 $65,000 $65,000 $65,000 COM - CNS Service Delivery $150,000 $100,000 $79,000 COM - CNS Vinyl Siding $69,345 $45,000 $45,000 COM - DPW Senior Transit* $250,000 $130,543 $130,543 COM - Engineering Street Construction $157,870 $157,870 $157,870 $157,870 $157,870 COM - Finance Fire Station Bond Repayment $50,000 $50,000 $50,000 COM - Inspections Dangerous Bldgs/Demolition & Board Ups $100,000 $70,000 $70,000 COM - Leisure Services Youth Recreation* $67,547 $50,000 $50,000 COM - Planning Code Enforcement $25,000 $15,000 $15,000 COM - Planning Comm Economic Dev Façade $8,000 $8,000 $8,000 Love INC Emergency Assistance/Handicap Ramps* $0 $0 $3,500 American Red Cross Senior Transportation* $0 $0 $3,500 Community enCompass Healthy Neighborhood Project* $0 $0 $3,500 HealthCARE Health Outreach* $0 $0 $3,500 West Michigan Veterans Food Bank* $0 $0 $3,500 Legal Aid Housing Related Legal Services* $0 $0 $3,500 Muskegon Community Health Project Uninsured Diabetes Outreach* $1,412,762 $1,086,413 $1,086,413 $372,870 $372,870 Total CDBG Allocated $1,086,413 $1,086,413 $1,086,413 $1,086,413 $1,086,413 Expected program income (Debt Recovery) $0 $0 $0 $0 $0 NOTE: Total $1,086,413 $1,086,413 $1,086,413 $1,086,413 $1,086,413 * Public Service Allocated/Request Difference ($326,349) $0 $0 $713,543 $713,543 ** City CDBG Administration Total Amt of Public Service* $177,345 $123,000 $123,000 $0 $0 Public Service mandated Amt = to 15% $162,962 $162,962 $162,962 $162,962 $162,962 Allocation Difference ($14,383) $39,962 $39,962 $162,962 $162,962 Total Amt of City Administration Request** $180,000 $150,000 $150,000 $150,000 $150,000 Administrative Maximum Amt < 20% $217,283 $217,283 $217,283 $217,283 $217,283 Difference $37,283 $67,283 $67,283 $67,283 $67,283 Page 1 of 3 C:\Documents and Settings\Potter\Local Settings\Temporary Internet Files\OLK8\2011-2012 CDBG-HOME Grants Spreadsheet.xlsCDBG-HOME ACTIVITY HOME Grant 2011 - 2012 Amount Admin CDC City Commission City Comm Requested Recommend Rec Prelimiary Rec. Final Determination Organization/Agency Activity $70,000 Community enCompass Housing Transition Asst**** $50,000 $70,000 Muskegon County Habitat for Humanity Infrastructure/construction (3 homes)**** $53,000 $53,000 $53,000 COM - CNS HOME Administration*** $32,071 $32,071 $32,071 COM - CNS HOME Infill/New Construction $150,000 $150,000 $100,639 COM - CNS HOME Rental Rehabilitation $65,000 $35,639 $65,000 Total HOME Request $370,071 $320,710 $320,710 $0 $0 Total HOME Allocated $320,710 $320,710 $320,710 $320,710 $320,710 (+) Program Income $0 $0 $0 $0 $0 NOTE: Total $320,710 $320,710 $320,710 $320,710 $320,710 *** Home Administration Allocated/Request Difference ($49,361) $0 $0 $320,710 $320,710 **** CHDO Request Total Amt of HOME Administration*** $32,071 $32,071 $32,071 $0 $0 Total Amt Designated = 10% $32,071 $32,071 $32,071 $32,071 $32,071 $0 $0 $0 $32,071 $32,071 Total Amt of HOME CHDO **** $123,000 $103,000 $123,000 $0 $0 Total Amt mandated = 15% $48,107 $48,107 $48,107 $48,107 $48,107 Allocation Difference ($74,894) ($54,894) ($74,894) $48,107 $48,107 Page 3 of 3 C:\Documents and Settings\Potter\Local Settings\Temporary Internet Files\OLK8\2011-2012 CDBG-HOME Grants Spreadsheet.xlsCDBG-HOME ACTIVITY AGENDA ITEM NO. ___________________ CITY COMMISSION MEETING March 22, 2010 TO: Honorable Mayor and City Commissioners FROM: Bryon L. Mazade, City Manager DATE: March 9, 2011 RE: Civil Service Budget Adjustment SUMMARY OF REQUEST: To authorize an increase in the Civil Service budget in the amount of $10,000. This amount should carry the Civil Service operation into the middle of next month and provide the Civil Service Commission additional time to consider options for the future direction of the operation. This action is necessary due to the rate of spending in contrast to the original budgeted allocation. FINANCIAL IMPACT: $10,000. BUDGET ACTION REQUIRED: Authorize the budget adjustment. STAFF RECOMMENDATION: To approve the proposed budget adjustment. COMMITTEE RECOMMENDATION: None. pb\AGENDA\CIVIL SRVC BUDGET ADJ 030911
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