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CITY OF MUSKEGON
CITY COMMISSION MEETING
JUNE 24, 2008
CITY COMMISSION CHAMBERS@ 5:30 P.M.
AGENDA
o CALL TO ORDER:
o PRAYER:
o PLEDGE OF ALLEGIANCE:
o ROLL CALL:
o HONORS AND AWARDS:
o INTRODUCTIONS/PRESENTATION:
o CONSENT AGENDA:
A. Approval of Minutes. CITY CLERK
B. Fireworks Display Permit for Muskegon Summer Celebration and
Muskegon Bike Time. CITY CLERK
C. Rezoning Request for Property Located at 552 W. Southern Avenue.
PLANNING & ECONOMIC DEVELOPMENT
D. Vacation of a Portion of Emerald Street. PLANNING & ECONOMIC
DEVELOPMENT
E. Smith Ryerson Community Center Contract. PLANNING & ECONOMIC
DEVELOPMENT
o PUBLIC HEARINGS:
A. Amendments to Brownfield Plan - Parkland Muskegon, LLC. PLANNING
& ECONOMIC DEVELOPMENT
B. Request for an Industrial Facilities Exemption Certificate - Sappi Fine
Paper. PLANNING & ECONOMIC DEVELOPMENT
o COMMUNICATIONS:
o CITY MANAGER'S REPORT:
o UNFINISHED BUSINESS:
o NEW BUSINESS:
A. Concurrence with the Housing Board of Appeals Notice and Order to
Demolish the following: PUBLIC SAFETY
2241 Sherin Street
1174 Jefferson Street - Area 10
553 Allen Avenue - Area 11
724 Oak Avenue (House and Garage)
922 S. Getty Street
B. Findings of Fact and Recommendation Re: Spotlight Lounge. 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.
• Submif fhe form fa the City Clerk.
• Be recognized by the Chair.
• Step forward to the microphone.
• State name and address.
• Umif of 3 minutes to address the Commission.
• {Speaker representing a group may be allowed 10 minutes if previously registered with City Clerk.)
• CLOSED SESSION: To Discuss Pending Litigation.
• 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 MUSl<:EG0N. PLEASE CONTACT ANN
MARIE BECKER, C!TY CLERK, 933 TERRACE STREET, MUSKEGON, Ml 49440 OR BY CALLING (231) 724-6705 OR TDD:
(231) 724-4 t 72.
Date: June 24, 2008
To: Honorable Mayor and City Commissioners
From: Ann Marie Becker, City Clerk
RE: Approval of Minutes
th
SUMMARY OF REQUEST: To approve minutes for the June 9
th
Commission Worksession, and the June 10 Regular Commission
Meeting.
FINANCIAL IMPACT: None.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: Approval of the minutes.
CITY OF MUSKEGON
CITY COMMISSION MEETING
JUNE 24, 2008
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, June 24,
2008.
Mayor Warmington opened the meeting with a prayer from Pastor Jim Thiele
from the Central Assembly of God 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 Clara Shepherd, Lawrence Spataro, Sue Wierengo, Steve
Wisneski, and Chris Carter, City Manager Bryon Mazade, City Attorney John
Schrier, and City Clerk Ann Marie Becker.
2008-57 CONSENT AGENDA:
A. Approval of Minutes. CITY CLERK
SUMMARY OF REQUEST: To approve minutes for the June 9th Commission
Worksession, and the June 10th Regular Commission Meeting.
FINANCIAL IMPACT: None.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: Approval of the minutes.
B. Fireworks Display Permit for Muskegon Summer Celebration and
Muskegon Bike Time. CITY CLERK
SUMMARY OF REQUEST: West Michigan Burners is requesting approval of a
fireworks display permit for July 5th during the Muskegon Summer Celebration
and July 18th during Muskegon Bike Time. The insurance coverage has been
approved, and Fire Marshall Metcalf has reviewed the request and
recommends approval contingent on inspection of the fireworks.
FINANCIAL IMPACT: None.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: Approval contingent on inspection of the fireworks.
C. Rezoning Request for Property Located at 552 W. Southern Avenue.
PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: Request to rezone the property located at 552 W.
Southern Avenue, frorn B-2, Convenience and Comparison Business District to 1-1,
Light Industrial District.
FINANCIAL IMPACT: None.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: Staff recommends approval of the request.
COMMITTEE RECOMMENDATION: The Planning Commission recommended
approval of the request at their June 12th meeting. The vote was unanimous,
with B. Mazade, T. Harryman and B. Smith absent.
E. Smith Ryerson Community Center Contract. PLANNING & ECONOMIC
DEVELOPMENT
SUMMARY OF REQUEST: The Muskegon Recreational Center (MRC), Inc. has
been managing the Smith Ryerson Community Center since July 2006. The
management has been successful, with many area youth (as well as others in
the community) being served. As the contract between MRC and the City
concludes July l, 2008, it is recommended that a new two-year contract be
approved. The new contract also includes use of the facility by the Muskegon
Summer Adventure Program.
FINANCIAL IMPACT: The contract specifies that the Manager will receive its
management fee through the revenue generated at the Center.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: To approve the contract and authorize the Director
of Community & Economic Development and the City Clerk to sign.
Motion by Commissioner Carter, second by Commissioner Wisneski to approve
the consent agenda as read minus item D.
ROLL VOTE: Ayes: Wisneski, Carter, Gawron, Shepherd, Spataro, Warmington,
and Wierengo
Nays: None
MOTION PASSES
2008-58 ITEM REMOVED FROM THE CONSENT AGENDA:
D. Vacation of a Portion of Emerald Street. PLANNING & ECONOMIC
DEVELOPMENT
SUMMARY OF REQUEST: Request for the vacation of Emerald Street, between
Allen and Apple Avenues.
FINANCIAL IMPACT: None.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: Staff recommends vacation of the portion of
Emerald Street between Allen and Apple Avenues, with the condition that all
utility easement rights be retained.
COMMITTEE RECOMMENDATION: The Planning Commission unanimously
recommended the vacation, with B. Mazade, T. Harryman, and B. Smith absent.
Motion by Commissioner Carter, second by Commissioner Wisneski to approve
the vacation of Emerald Street between Allen and Apple Avenues.
ROLL VOTE: Ayes: Warmington, Wierengo, Wisneski, Carter, Gawron, and
Shepherd
Nays: None
Abstain: Spataro
MOTION PASSES
2008-59 PUBLIC HEARINGS:
A. Amendments to Brownfield Plan - Parkland Muskegon, LLC. PLANNING
& ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: To hold a public hearing and approve the resolution
approving and adopting amendments for the Brownfield Plan. The
amendments are for the inclusion of property owned by Parkland Muskegon,
LLC in the Brownfield Plan.
FINANCIAL IMPACT: There is no direct financial impact in approving the
Brownfield Plan amendments, although the redevelopment of the property into
a residential/commercial project will add to the tax base of the City of
Muskegon.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: To hold the public hearing and approve the
resolution and authorize the Mayor and Clerk to sign the resolution.
COMMITTEE RECOMMENDATION: The Muskegon City Commission set the public
hearing for June 24, 2008 at their June l 0, 2008 meeting. Since that time, a
notice of the public hearing has been sent to taxing jurisdictions and it has been
published twice in the Muskegon Chronicle. In addition, the Brownfield
Redevelopment Authority approved the Plan amendment on June 5, 2008 and
further recommends that the Muskegon City Commission approve the Plan
amendment.
The public hearing opened to hear and consider any comments from the
public. Comments were heard from the developer John Rooks, Parkland
Properties of Michigan, 940 Monroe, Suite 155, Grand Rapids.
Motion by Commissioner Carter, second by Vice Mayor Gawron to close the
public hearing and approve the amendments to the Brownfield Plan for Parkland
Muskegon, LLC.
ROLL VOTE: Ayes: Shepherd, Spataro, Warmington, Wierengo, Wisneski, Carter,
and Gawron
Nays: None
MOTION PASSES
B. Request for an Industrial Facilities Exemption Certificate - Sappi Fine
Paper. PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: Pursuant to Public Act 198 of 197 4, as amended, Sappi
Fine Paper, 2400 Lakeshore Dr., has requested the issuance of an Industrial
Facilities Tax Exemption Certificate. The company will be making $3,822,200 in
personal property improvements. This qualifies them for a tax abatement of
seven years for personal property.
FINANCIAL IMPACT: The City will capture certain additional property taxes
generated by the expansion.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: Approval of the resolution granting an Industrial
Facilities Exemption Certificate for a term of seven years for personal property.
The public hearing opened to hear and consider any comments from the
public. No comments were made.
Motion by Commissioner Carter, second by Commissioner Wisneski to close the
public hearing and approve the Industrial Facilities Exemption Certificate for
Sappi Fine Paper.
ROLL VOTE: Ayes: Carter, Gawron, Shepherd, Spataro, Warmington, Wierengo,
and Wisneski
Nays: None
MOTION PASSES
2008-60 NEW BUSINESS:
A. Concurrence with the Housing Board of Appeals Notice and Order to
Demolish the following: PUBLIC SAFETY
2241 Sherin Street
1174 Jefferson Street - Area 10
553 Allen Avenue - Area 11
724 Oak Avenue (House and Garage)
922 S. Getty Street
SUMMARY OF REQUEST: This is to request that the City Commission concur with
the findings of the Housing Board of Appeals that the structures are unsafe,
substandard, a public nuisance and that they be demolished within 30 days. It
is further requested that administration be directed to obtain bids for the
demolition of the structures and that the Mayor and City Clerk be authorized
and directed to execute a contract for demolition with the lowest responsible
bidder.
FINANCIAL IMPACT: CDBG Funds for 553 Allen, 724 Oak, 1174 Jefferson, and 922
S. Getty. General Funds for 2241 Sherin.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: To concur with the Housing Board of Appeals
decision to demolish.
Motion by Commissioner Spataro, second by Commissioner Shepherd to concur
with the Housing Board of Appeals notice and order to demolish 553 Allen
Avenue and 724 Oak Avenue - house and garage,
ROLL VOTE: Ayes: Wierengo, Wisneski, Carter, Gawron, Shepherd, Spataro, and
Warmington
Nays: None
MOTION PASSES
Motion by Commissioner Spataro, second by Vice Mayor Gawron to concur with
the Housing Board of Appeals notice and order to demolish 2241 Sherin Street.
ROLL VOTE: Ayes: Spataro, Warmington, Wierengo, Wisneski, Carter, Gawron,
and Shepherd
Nays: None
MOTION PASSES
Motion by Commissioner Spataro, second by Vice Mayor Gawron to concur with
the Housing Board of Appeals notice and order to demolish 1174 Jefferson.
Motion by Commissioner Carter, second by Commissioner Wisneski to table 1174
Jefferson Street to the 2nd meeting in July.
ROLL VOTE: Ayes: Wisneski, Carter, Gawron, Shepherd, Spataro, Warmington,
and Wierengo
Nays: None
MOTION TO TABLE PASSES
Motion by Commissioner Spataro, second by Vice Mayor Gawron to concur with
the Housing Board of Appeals notice and order to demolish 922 S. Getty Street.
Motion by Commissioner Spataro, second by Commissioner Shepherd to refer
the item back to staff.
ROLL VOTE: Ayes: Shepherd, Spataro, Warmington, Wierengo, Wisneski, Carter,
and Gawron
Nays: None
MOTION TO REFER BACK TO STAFF PASSES
B. Findings of Fact and Recommendation Re: Spotlight Lounge. CITY
MANAGER
SUMMARY OF REQUEST: To consider the Findings of Fact and Recommendation
for the Spotlight, submitted by Hearing Officer Robert 0. Chessman, for potential
revocation of the liquor license for Spotlight.
Motion by Commissioner Spataro, second by Vice Mayor Gawron to
recommend to the Michigan Liquor Control Commission that the liquor license
be revoked.
ROLL VOTE: Ayes: Gawron, Spataro, Warmington, and Wisneski
Nays: Carter, Shepherd, and Wierengo
MOTION PASSES
2008-61 CLOSED SESSION: To Discuss Pending Litigation.
Motion by Commissioner Carter, second by Commissioner Wierengo to go into
closed session to discuss pending litigation.
ROLL VOTE: Ayes: Wierengo, Wisneski, Carter, Gawron, Shepherd, Spataro, and
Warmington
Nays: None
MOTION PASSES
Motion by Commissioner Carter, second by Commissioner Shepherd to come
out of closed session.
ROLL VOTE: Ayes: Spataro, Warmington, Wierengo, Wisneski, Carter, Gawron,
and Shepherd
Nays: None
MOTION PASSES
Motion by Commissioner Spataro, second by Vice Mayor Gawron to authorize
the Attorney to execute the consent judgment as discussed.
ROLL VOTE: Ayes: Gawron, Shepherd, Spataro, Warmington, Wierengo, and
Carter
Nays: Wisneski
MOTION PASSES
ADJOURNMENT: The City Commission Meeting adjourned at 7:02 p.m.
Respectfully submitted,
\. • r'\
· •.. ~"'~'\\\ ~\;'\Jvi<2,, jL/"'
Ann Marie Becker, MMC
City Clerk
Date: June 24, 2008
To: Honorable Mayor and City Commissioners
From: Ann Marie Becker, City Clerk
RE: Fireworks Display Permit for Muskegon Summer
Celebration and Muskegon Bike Time
SUMMARY OF REQUEST: West Michigan Burners is requesting
approval of a fireworks display permit for July 5th during the Muskegon
Summer Celebration and July 18th during Muskegon Bike Time. Fire
Marshall Metcalf has reviewed the request and recommends approval
contingent on inspection of the fireworks.
FINANCIAL IMPACT: None.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: Approval contingent on inspection of the
fireworks and approval of the insurance.
FM• 32j 12· 68)
APPLICATION
FOR FIREWORKS DISPLAY PERMIT
I ~H OF APPLICATf
Act 358, P.A. 1968 . - 17-0
I, TYPE OF DISPLAY, li5Zl Public Display
• Agricultural Pest Control
2. APPLICANT
=Tc'S0
Oi:ERS(!
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, ADDA/
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Ne
ADDRESS
3. PYROTECHNIC OPERATOR
'
'tJru,P DotJ YI s+r. --V"v
/. , A G V t be 21 or over
ADDRE~76
N ;;}-.;;) I
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EXPERIENCE: J
NUMBE/?EARS I NUMBE:;f~ L A Y S WHER'A/ ( over v, 5. I JJ&.E7 ~~1
(
NAMES OF ASSISTANTS:
~
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AGE
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AGE
b~'?O~ ADDRESS ./
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4, NON-RESIDENT APPLICANq/
NAME ADDRESS
Name of Michigan Attorney or Resident Agent ADDRESS TELEPHONE NUMBER
5, EXACJ LOCATION OF PROPOSED DISPLAY
fhrt)
Iv-
~- -l .,,, I ~J~ {_ (?I;; (l6 "-.._,,
DATE V -;50(y t;' O'J~r C'~f- la Jcrl
6. NUMBER AND KINDS OF FIREWORKS TO BE DISPLAYED
- Po {01 l vi 5
I.A VI., I {:'--,, e/ 0
~
Crr~:~
- Flqsl /o7-_s
MANNER & PLAD OF D..R:;E PRIO:;i'SPLA~w
(
{ Subject to Approval of Local Fire Authorities)
A. AMOUNT OF BOND OR INSURANCE
7, FINANCIAL RESPONSIBILITY l to be set by rnunicipatityf $
B, BONDING CORPORATION OF INSURANCE COMPANY: NAME I ADDRESS
2008-57(b)
PERMIT
FOR FIREWORKS DISPLAY
Act 358, P.A. 1968
This permit is oat transferable. Possession of this permit by the herein named person will
authorize him to possi:ss, transport aod display fireworks in the amounts, for the purpose, aod
at the place listed below only.
TYPE OF DISPLAY: X» PUBLIC DISPLAY ( ) AGRJCULTURAL PEST CONTilOL
ISSUED TO: w. Michigan Burners
NAME Josh Colquit
0
ADDRESS AGE
17890 Cove Street
REPRESENTING Muskegon Summer Celebration
NAME OF ORGANIZATION, GROUP, FIRM OR CORPORATION
ADDRESS
NUMBER & TYPES OF FIREWORKS:
Fountains/Gerbs
C emoras
Flash Pots
DISPLAY:
Heritage Landing Lagoon
EXACT LOCATION 10:20 p.m.
City of Muskegon July 5, 2008 After Concert
CITY, VILLAGE, TOWNSHIP DA TE TIME
BOND OR INSURANCE FILED: ~q: YES () NO AMOUNT $1,000,000.
ISSUED BY·
Issued by action of the t,nJSKEGON CITY COMMISSION
(COUtlcil, commiuion. board)
of the CITY of MUSKEGON
(cny, v1l1.1!1C. :oWTUllip) (IWl'IIG(c:ity, vi1111c, 10'Mllh1p)
on the _....:2::...4::...t_h_ _ _ _ day of
(119mu10 .I: po1iuon of council, c.ommi.uion or boud repraenutive)
FM-32( 12- 68)
APPLICATION
FOR FIREWORKS DISPLAY PERMIT I OAi·OF JPPLICATIOq'
Act 358, P.A. 1968 I -",'7vO
I, TYPE OF DISPLAY, .G{J Public Display
• Agricultural Pest Control
I+
2. APPLICANT
71:fo ~ve ff}
h'GE: Must p o r over
-:,:E;tERSONC!O ( Y) "t, ADDA ES/
,,_.p ~- -
,
~ A ~~ORATION: Nam~ President ADDRESS
). t c.,/,.,_ 1/1.Y-V/e,5
4
J, PYROTECHNIC OPERATOR
/J!;:,' 1/1 {.vi .Vl. , I 6 w- t s
v'\_ t
~
Cv-t iM 1.1v vi 5
- Flvi~t-- /of-5
MANNER &'?SJCE OF STORAGE ?OR TO ~ y
~I/ ,..., (, IA/'
(
( Subject to Approval of Local Fire Aulhorities)
7, FINANCIAL RESPONSIBILITY
I A, AMOUNT OF BOND OR INSURANCE
l to be set by municipality) $
B. BONDING CORPORATION OF INSURANCE COMPANY: NAME ADDRESS
2008-57(b)
PERMIT
FOR FIREWORKS DISPLAY
Act 358, P.A. 1968
This permit is not transferable. Possession of this permit by the herein named person will
authorize him to possess, transport and display fireworks in the amounts, for the purpose, and
at the place listed below only.
TYPE OF DISPLAY: (X) PUBLIC DISPLAY ( ) AGRICUL 11JRAL PEST CONTROL
ISSUED TO: w. Michigan Burners
Josh Colquit
ADDRESS AGE
17890 Cove Street
REPRESENTING
Muskegon Bike Time
NA."1E OF ORGA.'<1ZATION. GROL'P, FIR.\,! OR CORPORATION
ADDRESS
NUMBER & TYPES OF FIREWORKS:
Fountains/Gerbs
as
Flash Pots
DISPLAY:
western Avenue between First and Second
EXACT LOCATION
City of Muskegon July 18, 2008 Dark - 10:30 p.m.
CITY, VILLAGE, TO\llNSHIP DATE TIME
BOND OR INSURANCE FILED: (x) YES ( ) NO AMOUNT $1,000,000.
ISSl/ED BY
Issued by action of the MUSKEGON CITY COMMISSION
(coun"I, oommiuHJn. board)
of the CITY of Ml/SK EGON
(n.une 0( cif}', v1ll11c, !QWNhlp)
213 828 6339 p.02...-02
JUN-18-2008 12:24 PM WHITE AGENCY INC
DATI! (MMIPO/'f'{VYJ
ACORD. CERTIFICATE OF LIABILITY INSURANCE - •1
OC:lf' T~
06/18/08
PRODUOl!ft THIB Cl!ATIFICATE 19 IB!IUEO AS A MATTER OF INFORMATION
ONLY AND CONFl!R& NO RICIHTB UPON THE CERTIFICATE
The Whit• Aqenay - Twin Lak• HOLD!R. THl8 C~RTIPICATE DOER NOT AMl!ND, EXTEND OR
5i4U Halton llo • d ALTER TH~ COV~RARODUOT!I
ADDITIONAi. INSURED: CITY Oli' MUSl(J:GON, ALL ELll:CTtD AND APPOINTED Oli'li'ICIAL8,
ALL !lll!PLOYEES AND VOLUNTEERS, ALL BOl\JUlH, COMMISSIONS, AND/OR AUTHORITIES
AND llOAnl> MltllilBER8, INCLUllING EMPLOYEES AND VOLUN'1'EER8 TIIJ:RJ:Oli'
Ct,RTIPICATE HOLD!Pt CANCl!LLAflON
0000000 IHOULD ANY Off THR ABOVI! Dl!ICAIIIIBO roLICIJll lllla OANCl!LLEID lillill'O"I! THI! l}O)!AATION
DA.Tl THl!RltOF, 'l'HB JIIIUIMO INIU.lllft wtl.L l!iND • AVOII 'rO MAIL ~ DAVI WlllTTl!N
OXTY OB' MUSKEGON NOTICI TO 'rH( 01!1\Tl,ICAll ttOlDl!R NAMliO TD THII LIi.FY. 11\JT ,AJLUR6 ro DO 80 IHALL
llJ3 TERRACE STREmT
fMPOH NO DBLIOATION ON LIAlllLIT't' 01'1 ANY KIND UN>N THI! INIURU, ITll AOt!HTI 0~
MUSKICION MI 49440
RlilPREIBl!NTATIVlill,
AUTHOJ:1112;1!D JU!PRlillii~TATIVf:
ACOlm 26 (30O1/DU)
L~•• ll Reichle
~,\CORO CORPORATION 1898
933 Terrace Street OFFICE 231 -724-6705 Cir,' Ot= MUSl\~60~
Muskegon, MI 49440 FAX 23 1-724-4178
CL~l?l\~S Ot=t=IC~
To: Tim McClorey or Keith Potter From: Linda
Fax: Pages(including cover) 4
Phone: Date: 6-19-08
Re: CC:
0 Urgent • For Review O Please Comment • Please Reply • Please Recycle
Hi,
Please check out the insurance coverage for a fire show during Summer Celebration and
Bike Time. One will be at a county park (on the barge in the lagoon) and the other will be
on Western Avenue.
Thanks,
Linda
(231)724-6915
··=•· ====-· ---~=---. H. " 4;;;'','il\
74-8331/2724 11
6 -/7---o&' DATE Ii
$;?co::. i
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j
!
Commission Meeting Date: June 24, 2008
Date: June 13, 2008
To: Honorable Mayor and City Commissioners
From: Planning & Economic Development ci!f:_
RE: Rezoning request for property located at 552 W. Southern
Ave.
SUMMARY OF REQUEST:
Request to rezone the property located at 552 W. Southern Avenue, from B-2,
Convenience and Comparison Business District to 1-1, Light Industrial District.
FINANCIAL IMPACT:
None
BUDGET ACTION REQUIRED:
None
STAFF RECOMMENDATION:
Staff recommends approval of the request.
COMMITTEE RECOMMENDATION:
The Planning Commission recommended approval of the request at their 6/12
meeting. The vote was unanimous, with B. Mazade, T. Harryman and B. Smith
absent.
CITY OF MUSKEGON
MUSKEGON COUNTY, MICHIGAN
ORDINANCE NO. 2244
An ordinance to amend the zoning map of the City to provide for a zone change for
certain properties from B-2" Convenience and Comparison Business" district to I-1
"Light Industrial" district.
THE CITY COMMISSION OF THE CITY OF MUSKEGON HEREBY ORDAINS:
The zoning map of the City of Muskegon is hereby amended to change the zoning of the
following described property from B-2 "Convenience and Comparison Business" district
to I-1 "Light Industrial" district:
CITY OF MUSKEGON REVISED PLAT OF 1903 LOTS 8, 9 & 13 BLK 416
This ordinance adopted:
Ayes: Wisneski, Carter, Gawron, Shepherd, Spataro, Warmington, and
Wierenga
Nayes:--'=n=----------------------------
Adoption Date: June 24, 2008
Effective Date: July 14, 2008
First Reading: June 24 2008
Second Reading: NA
C I ~ MUSKEGON
By;~\J\A~,\
Ann Marie Becker, MMC
c\lL~
City Clerk
CERTIFICATE (Rezoning of552 W. Southern B-2 to I-1)
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 24 th day of June, 2008, 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 availab as required thereby.
DATED: -~J=u=n=e~24~---' 2008. ~
Ann Marie Becker, 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
Please take notice that on June 24, 2008, the City Commission of the City of Muskegon adopted
an ordinance amending the zoning map to provide for the change of zoning of the following
property from to B-2 "Convenience and Comparison Business" to I-1 Light Industrial":
CITY OF MUSKEGON REVISED PLAT OF 1903 LOTS 8, 9 & 13 BLK 416
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 days from the date of this publication.
Published: July 2, 2008 CITY OF MUSKEGON
By _ _ _ _ _ _ _ _ _ _ _~
Ann Marie Becker, MMC
City Clerk
PUBLISH ONCE WITHIN TEN (10) DAYS OF FINAL PASSAGE.
Account No. 101-80400-5354
Staff Report [EXCERPT]
CITY OF MUSKEGON
PLANNING COMMISSION
REGULAR MEETING
June 12, 2008
Hearing; Case 2008-15: Request to rezone the property at 552 W. Southern Avenue from B-2,
Convenience and Comparison Business District, to 1-1, Light Industrial District, by Jim
Perreault, Spec Abrasives.
Applicant: Jim Perreault, Spec Abrasives
Property Address/Location: 552 W. Southern Avenue
Request: Rezoning from 8-2, Convenience and Comparison
Business to 1-1, Light Industrial
Present Land Use: Warehouse
Zoning: 8-2, Convenience and Comparison Business
STAFF OBSERVATIONS
1. The site is a large parcel that presently is owned by Brad Lange, who has used most of
the building for storage since it was built. The front portion is being used by Schmidt
Roofing Company.
2. The applicant is requesting a rezoning from a 8-2, Convenience and Comparison
Business zone, to 1-1, General Industrial zone.
3. The applicant wishes to purchase the property and expand a portion of his business from
across the street at 543 W. Southern. The company currently performs part refinishing,
as well as building and repair of machinery. They would like to move their machinery
business to the subject property. They currently employ 16 people, up from 4 employees
when they bought the company.
4. The property currently is zoned 1-1, and is long and narrow in configuration with no
possible way to add additional floor space to their current building.
5. The property to the north and east is zoned R-1, One Family Residential. The property to
the west is zoned OSR, Open Space Recreation, and is the site of Clara Shepherd Park.
The property to the south is zoned 1-1.
6. The Future Land Use Map shows this area as "Industrial". The industrial uses allowed in
this zone "meet a higher standard of restrictions than those imposed in the 1-2 zoning
district", with heavier uses only allowed through special land use permit, or in an 1-2,
General Industrial zones. For example, casting of metal parts can only be done as an
incidental use to the allowed machine shop or metal finishing process.
7. While staff has some concerns regarding an industrial use so close to residential
properties, the applicant would also be purchasing the residential lots facing Eighth Street
5
and on the corner of Eighth and Southern Avenue on the east side. These lots would
remain zoned "R", One Family Residential. The loading docks for the building are
located on the Southern Avenue side of the building and facing W. Grand Avenue, across
from Nelson School's parking lot, closest to Clara Shepherd Park, so truck traffic should
not disturb the neighborhood.
8. Kathy Hulbert, 465 W. Southern Avenue called to say she was in favor of the request.
Rear of property as seen from Grand Avenue. Front of the building as seen from Southern.
6
R-1
0
0SRI
. ·.·I 111'
!-1 \ \.··1, i.l I, 1'
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STAFF RECOMMENDATION
Staff recommends approval of the request to rezone the subject property from B-2, Convenience
and Comparison Business district to I-1, Light Industrial district, because the request conforms to
the goals and recommendation of the City's 1997 Master Plan and Future Land Use Plan and
zoning district intent.
DELIBERATION
Criteria-based questions typically asked during a rezoning include:
I. What, if any, identifiable conditions related to the petition have changed which justify
the petitioned change in zoning.
2. What are the precedents and the possible effects of precedent that might result from the
approval or denial of the petition?
3. What is the impact of the amendment on the ability of the city to provide adequate
public services and facilities and/or programs that might reasonably be required in the
future if the petition is approved?
7
4. Does the petitioned zoning change adversely affect the environmental conditions or value
of the surrounding property?
5. Does the petitioned zoning change generally comply with the adopted Future Land
Use Plan of the City?
6. Are there any significant negative environmental impacts which would reasonably
occur if the petitioned zoning change and resulting allowed structures were built such as:
a. Surface water drainage problems
b. Waste water disposal problems
c. Adverse effect on surface or subsurface water quality
d. The loss of valuable natural resources such as forest, wetland, historic sites,
or wildlife areas.
7. Is the proposed zoning change a "Spot Zone"?
a. Is the parcel small in size relative to its surroundings?
b. Would the zoning change allow uses that are inconsistent with those allowed in
the vicinity?
c. Would the zoning change confer a benefit to the property owner that is not
generally available to other properties in the area?
d. A spot zone is appropriate if it complies with the Master Plan.
DETERMINATION
The following motion is offered for consideration:
I move that the request to rezone the propetty located at 552 W. Southern Avenue from B-2,
Convenience and Comparison Business district to 1-1, Light Industrial district, as described in
the public notice, be recommended for (approval/denial) to the City Commission pursuant to
the City of Muskegon Zoning Ordinance, and the dete1mination of (compliance/lack of
compliance) with the intent of the City Master Land Use and zoning district intent.
8
Commission Meeting Date: June 24, 2008
Date: June 16, 2008
To: Honorable Mayor & City Commission
From: Planning & Economic Development Department c.i!::C,
RE: Smith Ryerson Community Center Contract
SUMMARY OF REQUEST: The Muskegon Recreational Center (MRC),
Inc. has been managing the Smith Ryerson Community Center since
July 2006. The management has been successful, with many area
youth (as well as others in the community) being served. As the
Contract between MRC and the City concludes July 1, 2008, it is
recommended that a new two-year contract be approved. The new
Contract also includes use of the facility by the Muskegon Summer
Adventure Program.
FINANCIAL IMPACT: The Contract specifies that the Manager will
receive its management fee through the revenue generated at the
Center.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: To approve the attached Contract and
authorize the Director of Community & Economic Development and the
City Clerk signatures.
COMMITTEE RECOMMENDATION: None.
2008-57(e)
CITY OF MUSKEGON
OPERATIONS MANAGEMENT CONTRACT
SMITH RYERSON COMMUNITY CENTER
This is a Contract, effective July I, 2008, for the management of the entire operations,
management and promotion of the Smith Ryerson Community Center ("Center"), made between the City
of Muskegon, a Michigan municipal corporation, of933 Terrace Street, Muskegon, Michigan 49440
("City") and Muskegon Recreational Center, Inc., a Michigan non-profit corporation, of 4564
Manchester Lane, Twin Lake, Michigan, 49457 ("Manager").
Background
The City is the owner of the Center, located at 500 Wood Street, Muskegon, Michigan, 49442.
The Manager has provided the City with a proposal for its services to manage the Center. In the event of
any conflict, this Contract prevails over any terms in the proposal. The proposal is attached as Exhibit A
and is incorporated except as limited by this Contract.
Therefore, the parties agree as follows:
I. Management; Operation; Maintenance; Improvements. The Manager agrees to
perform all acts and assume all responsibilities for the management, operation, maintenance and
improvements of the Center. The Manager's responsibilities include, but are not limited to, all operation of
the building and its systems, complete maintenance thereof, repairs, cleaning, snow removal, and
improvements to the building and the premises necessary for the efficient, timely and full operation
thereof. The Manager's responsibility shall further include the retaining and hiring of all personnel or, if
approved by the City, independent contractors, for the purpose of carrying out all the responsibilities and
functions of the Manager.
2. Expenses. The Manager shall pay on a timely basis, without incurring any cost of default
or penalties, all expenses, payroll, payroll taxes, benefits, taxes, if any, and costs of any kind necessary or
related to the complete performance of its responsibilities as Manager. Excepted from these costs shall be
only utility expenses (as defined herein), which the City agrees herein to pay directly.
3. Manager; Agency Status. The Manager shall carry on the responsibilities set forth
above, and all incidental or related performances, functions or acts, and shall pay all the said expenses and
costs, all on behalfofthe City.
4. Level of Performance; Standards; Prices. The Manager's performance and assumption
of the responsibilities undertaken by this Contract shall be carried out and performed to the satisfaction of
the City, in its sole judgment and discretion. The Manager shall charge reasonable prices and fees for all
paid events and from all paid users, concessionaires and others, which shall be reviewed and adjusted by
the City at its option.
5. Participants It is the intent of the City that the Center be used for programs involving the
youth of the City of Muskegon. The Manager shall keep a log of all participants, their age group and their
residence and submit that report on a quarterly basis to the City's Leisure Services Supervisor.
6. Muskegon Summer Adventure Program. The participants in the City's Summer
Adventure Program, located at Smith Ryerson Park, will be allowed to use the facility Monday- Friday,
June 16-August l (Fridays will be until Noon, only). City staff will coordinate with the Manager to
ensure the building is maintained and in order for weekend rentals.
Page I of 5
7.Quarterly Reports. The Manager shall provide City with quarterly reports detailing all income
and expenditures. Manager shall also provide the City with a copy of the participant log on a quarterly
basis.
8. Management Fee. For its management and maintenance services, the Manager shall be
entitled to keep any and all revenue generated at the Center as a management fee. The said management
fee shall be the sole compensation to the Manager, and Manager shall pay all the expenses contemplated
by this Contract without further payments from the City.
9. Records; Audit of Financial Information. The Manager shall afford the City at
reasonable times every opportunity to examine its financial records, books, bank accounts, evidence of
receipts and expenses, invoices, any computer records, and any other information deemed appropriate by
the City in order to verify the receipts, uses and payment of funds by the Manager under this Contract. For
said purpose the Manager shall provide the City with all necessary means to access any computer records,
programs, systems, databases or other information. Copies of any information required by the City,
whether on paper or by computer media, as requested by the City, shall be afforded the City immediately
upon its request.
10. Possession; Termination. The parties agree that possession during the term of this
management contract remains with the City. The Manager shall act as an agent of the City, and its
presence and possession in the Center is carried on entirely on behalf of the City. This Contract shall not
be construed as a lease or to give Manager any property right whatsoever in the Center for any purpose. In
the event oflawful termination either before the term of this Contract or at the end thereof, Manager shall
vacate the premises without any notice or necessity of judicial proceedings.
11. Property; Termination. All portable property purchased by the Manager or donated to
the Manager shall be retained by the Manager when this Agreement terminates, with the exception that any
property left on the premises fourteen (14) days after termination shall be deemed to be the property of the
City. All property owned by the City and used by the Manager shall remain the property of the City.
12. Condition of the Premises and Property. On termination the Manager shall deliver all
the property and the premises to the Manager in good and useable condition, except for the effects of
ordinary wear and tear. Manager shall be immediately responsible for any repairs necessary to restore any
property, whether real or personal, fixtures or otherwise, to _the said condition.
13. Term. The term of this Contract shall be two (2) years from the effective date, provided
that either party may terminate this Contract without cause, effective upon 60 days written notice to the
other party.
14. Insurance. The Manager shall obtain insurances required by the City in at least the
coverage amounts set forth below. In all the following coverages except workers' compensation insurance,
the City shall be named as additional insured or loss payee, and each policy shall carry the commitment by
the company that no cancellation shall be effective against the City without thiity (30) days written notice
to the City:
14.1. Comprehensive general liability insurance. The Manager shall obtain a
comprehensive liability insurance policy through a company licensed to do business in
Michigan and acceptable to the City, carrying limits ofat least $3,000,000, single limit.
Page 2 of 5
14.2. Workers' compensation insurance. The Manager shall carry workers'
compensation insurance in the amounts required by state law.
14.3. Other insurances. Any insurances which are available and which are
especially appropriate for the operation of the Center, such as coverages involving
professional or amateur boxing and the like, covering liability and the cost of injuries to
persons and property shall be obtained by the Manager, with liability coverages carrying at
least a single limit of$1,000,000.
15. Insurance Notices. Cancellation Notice: Workers' Compensation Insurance and
Commercial General Liability Insurance, as described above, shall include an endorsement stating the
following: "It is understood and agreed that, in order to be effective, thirty (30) days' Advance Written
Notice of Cancellation, Non-Renewal, Reduction and/or Material Change shall be sent to:
City of Muskegon
Attn: City Manager
933 Terrace Street
P.O. Box 536
Muskegon, MI 49443-0536
16. Assignment. The Manager may not assign this Contract. Any attempted assignment or
change in entity of the Manager shall constitute a violation of this Contract and cause immediate
termination in the City's discretion.
17. Hold Harmless and Indemnity. To the fullest extent pennitted by law, Manager agrees
to defend, pay in behalf of, indemnify, and hold harmless the City, its elected and appointed officials,
employees and volunteers and others working in behalf of it against any and all claims, demands, suits, or
loss, including all costs connected therewith, and for any damages which may be asserted, claimed or
recovered against or from the City, its elected and appointed officials, employees, volunteers or others
working in behalf of it, by reason of personal injury, including bodily injury and death and/or property
damage, including loss of use thereof, which arises out of or is in any way connected or associated with
this Contract.
18. Duties of the City.
18.1 Paint. The City shall provide Manager with any paint necessary to maintain the
Center.
18.2 Lawn Mowing; Supplies. The City shall provide the Center with lawn mowing,
custodial supplies, and trash service.
18 .3 Utilities. Interruption of utility service shall not result in any damages or claim
against the City. Manager covenants that it will not unnecessarily use the gas, utility, and water
utilities at the Center. If City determines, in its sole discretion, that Manager is using the utilities
in a wasteful manner, City shall have the right to charge the Manager for the excess utility costs.
19. General Provisions.
19.1 Independent Contractor. The Manager is an independent contractor
and not an employee of the City. Manager is responsible for all it's own personnel and all
Page 3 of 5
other expenses and costs as set forth in this Contract and shall not have recourse to the
City for any claims involving the said expenses or costs.
19.2 Corporate Status. Manager warrants that it is a Michigan non-profit
corporation in good standing and is authorized to perform this Contract.
19.3 Equal Employment Opportunity; Discrimination. The Manager shall not
discriminate unlawfully against any person in violation of any law or rule of the City, the
County, the State of Michigan or the federal government, in employment, services or any
other respect. The Manager shall comply in each and every way with the City of
Muskegon's affirmative action plans or policies, and shall never discriminate against any
person based on race or any other protected status under the laws of the State or the United
States.
20. Defaults. Violation of any of the provisions of this Contract by the Manager, and failure
to remedy or cure such violation within thirty (30) days after written notice of such violation from the City,
shall constitute default by the Manager and constitute cause for immediate termination of this Contract:
21. Non-Waiver. Failure to enforce any remedy for a breach or a violation of this Contract
shall not constitute waiver of subsequent breaches or violations.
22. Remedies of the Manager. In the event the City breaches this Contract in any way, or
the Manager determines that a breach or failure to observe any covenant or condition by the City has
occurred, the Manager's sole remedy shall be termination of this Contract. The Manager shall not be
entitled to any damages for breach of contract, or to any injunctive relief to enforce this Contract. In the
event there are sums legally due to the Manager at the time of such termination they shall be paid
forthwith, but no consequential damage or damages for breach shall be awarded or available to the
Manager.
23. Liens. The Manager shall be responsible for protecting the Center from any and all liens,
mortgages, security interests or claims for any interest in any property.
24. Counterparts. This Contract may be executed in counterparts, and each set of duly
delivered identical counterparts that includes all signatories shall be deemed to be one original document.
25. Governing Law. This Contract shall be construed and enforced in accordance with the
laws of the State of Michigan applicable to contracts made and to be performed within the State of
Michigan.
26. No Third Party Beneficiary. This Contract shall benefit only the parties to this Contract,
and not any third party.
Page 4 of5
27. Notices. All notices, approvals, consents and other communications required under this
Contract shall be in writing and, except when receipt is required to start the running of a period of time,
shall be deemed given: (i) when delivered in person; (ii) when sent by telephone facsimile or e-mail, (the
sender shall also mail or send a "hard copy" following the facsimile or e-mail, however, the notice shall be
effective upon the transmission of the facsimile or e-mail); (iii) one (1) day after depositing in the custody
of a nationally-recognized receipted overnight delivery service with delivery fees prepaid; or, (iv) two (2)
days after posting in the United States Mail, first-class. Notices shall be sent to the parties at their address
stated above.
CITY OF MUSKEGON
Cathy rubaker-Clarke, Director of Community
If ~p~~omic Development
Dated: ':f ( "J , 2008
B y ~~V\,~,
Ann Marie Becker, City Clerk
csk~
Dated: ,;;TIA n e,, d 7 ,
2008
Page 5 of 5
Commission Meeting Date: June 24, 2008
Date: June 13, 2008
To: Honorable Mayor and City Commissioners
From: Planning & Economic Development Cif._
RE: Vacation of a portion of Emerald Street
SUMMARY OF REQUEST:
Request for the vacation of Emerald Street, between Allen and Apple Avenues.
FINANCIAL IMPACT:
None
BUDGET ACTION REQUIRED:
None
STAFF RECOMMENDATION:
Staff recommends vacation of the portion of Emera! Steeet between Allen and Apple
Avenues, with the condition that all utility easement rights be retained.
COMMITTEE RECOMMENDATION:
The Planning Commission unanimously recommended the vacation, with B. Mazade,
T. Harryman, and B. Smith absent.
6/13/2008
CITY OF MUSKEGON
RESOLUTION #2008-SS(d)
RESOLUTION TO VACATE A PORTION OF A PUBLIC STREET
WHEREAS, a petition has been received to vacate Emerald Street, between Allen and Apple
Avenues; and
WHEREAS, the Planning Commission held a public hearing on June 12, 2008 to consider the
petition and subsequently recommended the vacation; and
WHEREAS, due notice had been given of said hearing as well as the June 24, 2008 City
Commission meeting to consider the recommendation of the Planning Commission;
NOW, THEREFORE, BE IT RESOLVED that the City Commission deems it advisable for the
public interest to vacate and discontinue Emerald Street, between Allen and Apple Avenues; and
BE IT FURTHER RESOLVED that the City Commission does hereby declare the said portion
of street vacated and discontinued provided, however, that this action on the part of the City
Commission shall not operate so as to conflict with any fire access or the utility rights heretofore
acquired by the City or by any public service utility in the City of Muskegon, operating in, over
and upon said portion of street hereby vacated, and it is hereby expressly declared that any such
rights shall remain in full force and effect;
BE IT FURTHER RESOLVED that after any maintenance and repair by the City, the city shall
restore the disturbed area to the grade and paving in existence at the time of vacation. The City
shall not be responsible to replace special planting, landscaping, fences or any structure. No
structure shall be placed in the easement which, in the sole judgment of the City, will interfere
with the repair or maintenance of utilities in the easement, public or private.
Adopted this 24th day of June, 2008.
Ayes: Warmington, Wierenga, Wisneski, Carter, Gawron, and Shepherd
Nays: None
Absent: None
Attest: \,V', (\~~ ~J~
Ann Marie Becker, MMC, City Clerk
CERTIFICATE (Vacation of Emerald Street between Allen and Apple Avenues)
I hereby certify that the foregoing constitutes a true and complete copy of a resolution adopted
by the City Commission of the City of Muskegon, County of Muskegon, Michigan, at a regular
meeting held on June 24, 2008.
(
\ ., 11 l . ?
\11 \ i:,, I '"UA 1 , 1,2 c.,<
L~
Ann Marie Becker, MMC
Clerk, City of Muskegon
City of Muskegon
Planning Commission
Case # 2008-14
- Selected property
,Affected properties
AMITY AVENUE
Al.LEN AVENUE
1i
Staff Report [EXCERPT]
CITY OF MUSKEGON
PLANNING COMMISSION
REGULAR MEETING
June 12, 2008
Hearing; Case 2008-14: Request to vacate the Emerald Street, between Apple and Allen Avenues,
by Jack Niemiec, County of Muskegon.
BACKGROUND
Muskegon County owns and operates the John Halmond Center, which houses Community Mental
Health located at 318 E. Apple Avenue. They have recently purchased a large parcel of land located
to the east, across Emerald Street with the intention of expanding their facility. In order for the
expansion to take place, the County requests that the portion of Emerald Street between Allen and
Apple Avenues be vacated.
The Fire Department has no issues with this street vacation request. The Engineering Department and
Department of Public Works, however, have some comments and requirements. The City has a six
inch water main located in Emerald Street that would need to be abandoned or it could be used by the
County as a service from either end of the property. There is also a section of sanitary sewer in
Emerald that extends off Allen to the south. It should also be abandoned prior to development, or it
could be used by the County All costs associated with abandonment or re-use will be the
responsibility of the County.
Emerald Street from across Apple Avenue. Emerald Street from Allen Street.
John Halmond Center as seen from across Apple Avenue.
City of Muskegon
Planning Commission
Case # 2008-14
Selected property
D Affected properties
ALLEN AVENUE
11
STAFF RECOMMENDATION
Staff recommends approval of the request.
DELIBERATION
I move that the vacation of Emerald Street from Allen A venue to Apple A venue, be recommended to
City Commission for (approval/denial), based on (compliance/lack of compliance), with the City's
1997 Master Land Use Plan, with the following conditions:
1. All utility easements will be retained.
2. Those sections of the water main and sanitary sewer line located in Emerald Street be either
abandoned or re-used, at the expense of Muskegon County.
Commission Meeting Date: June 24 2008
Date: June 17, 2008
To: Honorable Mayor & City Commission
From: Planning & Economic Development Department(J2C.,
RE: Public Hearing for Amendments to Brownfield
Plan - Parkland Muskegon, LLC
SUMMARY OF REQUEST: To hold a public hearing and approve the attached
resolution approving and adopting amendments for the Brownfield Plan. The
amendments are for the inclusion of property owned by Parkland Muskegon, LLC in
the Brownfield Plan.
FINANCIAL IMPACT: There is no direct financial impact in approving the Brownfield
Plan amendments, although the redevelopment of the property into a
residential/commercial project will add to the tax base of the City of Muskegon.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: To hold the public hearing and approve the attached
resolution and authorize the Mayor and Clerk to sign the resolution.
COMMITTEE RECOMMENDATION: The Muskegon City Commission set the public
hearing for June 24, 2008 at their June 10, 2008 meeting. Since that time, a notice of
the public hearing has been sent to taxing jurisdictions and it has been published
twice in the Muskegon Chronicle. In addition, the Brownfield Redevelopment
Authority approved the Plan amendment on June 5, 2008 and further recommends
that the Muskegon City Commission approve the Plan amendment.
2008-59(a)
RESOLUTION APPROVING THE BROWNFIELD PLAN AMENDMENT
Parkland Muskegon, LLC
City of Muskegon
County of Muskegon, Michigan
Minutes of a Regular Meeting of the City Commission of the City of
Muskegon, County of Muskegon, Michigan (the "City"), held in the City Commission
th
Chambers, on the 24 day of June , 2008, at 5:30 p.m., prevailing
Eastern Time.
PRESENT: Members
Gawron, Shepherd, Spataro, Warmington, Wierenga, Wisneski,
and Carter
ABSENT: Members
None
The following preamble and resolution were offered by Member
_c"'a""r'-'t""e'-"r~--- and supported by Member --"-G,._aw"'r"-'o"--'n"---------
WHEREAS, in accordance with the provisions of Act 381, Public Acts of
Michigan, 1996, as amended ("Act 381"), the City of Muskegon Brownfield
Redevelopment Authority (the "Authority") has prepared and approved a Brownfield
Plan Amendment to add Parkland Muskegon, LLC; and
WHEREAS, the Authority has forwarded the Brownfield Plan Amendment to
the City Commission requesting its approval of the Brownfield Plan Amendment;
and
WHEREAS, the City Commission has provided notice and a reasonable
opportunity to the taxing jurisdictions levying taxes subject to capture to express
their views and recommendations regarding the Brownfield Plan Amendment, as
required by Act 381; and
WHEREAS, not less than 10 days has passed since the City Commission
provided notice of the proposed Brownfield Plan to the taxing units; and
WHEREAS, a notice of the Public Hearing on the proposed Brownfield Plan
Amendment was published twice in the Muskegon Chronicle, the first of which was
not less than 10 days before the scheduled Public Hearing; and
WHEREAS, the City Commission held a public hearing on the proposed
Brownfield Plan on June 24, 2008.
NOW, THEREFORE, BE IT RESOLVED, THAT
1. Definitions. Where used in this Resolution the terms set forth below
shall have the following meaning unless the context clearly requires otherwise:
"Eligible Property" means the property designated in the Brownfield Plan as
the Eligible Property, as described in Act 381.
"Brownfield Plan" means the Brownfield Plan prepared by the Authority, as
transmitted to the City Clerk by the Authority for approval, copies of which
Brownfield Plan are on file in the office of the City Clerk.
"Taxing Jurisdiction" shall mean each unit of government levying an ad
valorem property tax on the Eligible Property.
2. Public Purpose. The City Commission hereby determines that the
Brownfield Plan Amendment constitutes a public purpose.
3. Best Interest of the Public. The City Commission hereby determines
that it is in the best interests of the public to promote the revitalization of eligible
properties in the City to proceed with the Brownfield Plan Amendment.
4. Review Considerations. As required by Act 381, the City Commission has,
in reviewing the Brownfield Plan Amendment, taken into consideration whether the
Brownfield Plan Amendment meets the requirements set forth in Section 13 of Act
381.
5. Approval and Adoption of Brownfield Plan Amendment. The Brownfield
Plan Amendment as submitted by the Authority is hereby approved and adopted. A
copy of the Brownfield Plan and all amendments thereto shall be maintained on file
in the City Clerk's office.
6. No Capture of Tax Increment Revenues by Authority. The Authority shall
not capture Tax Increment Revenues on the Eligible Property, as described in the
Brownfield Plan Amendment.
7. Disclaimer. By adoption of this resolution and approval of the Brownfield
Plan Amendment, the City assumes no obligation or liability to the owner, developer
or lessor of the Eligible Property for any loss or damage that may result to such
persons from the adoption of this resolution and Brownfield Plan Amendment. The
City makes no guarantees or representations as to the determinations of the
appropriate state officials regarding the ability of the owner, developer or lessor to
qualify for a Michigan Business Tax credit pursuant to P.A. 36 of 2007, as
amended, or as to the ability of the Authority to capture tax
increment revenues from the State school taxes for the Brownfield
Plan.
8. Repealer. All resolutions and parts of resolutions insofar as they conflict
with the provisions of this resolution be and the same hereby are rescinded.
AYES: Members
Shepherd, Spataro, Warmington, Wierenga, Wisneski, carter,
and Gawron
NAYS:
Members None
RESOLUTION DECLARED ADOPTED.
¾ . r\\~ . ""LI.,~
arie Becker, City Clerk
I hereby certify that the foregoing is a true and complete copy of a resolution
adopted by the City Commission of the City of Muskegon, County of Muskegon,
State of Michigan, at a regular meeting held on June 24, 2008, and that said
meeting was conducted and public notice of said meeting was given pursuant to
and in full compliance with the Open Meetings Act, being Act 267, Public Acts of
Michigan, 1976, as amended, and that the minutes of said meeting were kept and
will be or have been made available as required by said Act.
Commission Meeting Date: June 24, 2008
Date: June 16, 2008
To: Honorable Mayor and City Commissioners
From: Planning & Economic Development c.Jl2£
RE: Public Hearing - Request for an Industrial Facilities Exemption
Certificate - Sappi Fine Paper
SUMMARY OF REQUEST:
Pursuant to Public Act 198 of 1974, as amended, Sappi Fine Paper, 2400 Lakeshore Dr.,
has requested the issuance of an Industrial Facilities Tax Exemption Certificate. The
company will be making $3,822,200 in personal property improvements. This qualifies them
for a tax abatement of seven (7) years for personal property.
FINANCIAL IMPACT:
The City will capture certain additional property taxes generated by the expansion (see
attached Summary Sheet).
BUDGET ACTION REQUIRED:
None
STAFF RECOMMENDATION:
Approval of the attached resolution granting an Industrial Facilities Exemption Certificate for
a term of seven (7) years for personal property.
COMMITTEE RECOMMENDATION:
None
6/1612008
RECEIVED
Michigan Department of Treasury
1012 (Rev. 5-07)
Mt\Y 3 0 2008
Application for Industrial Facilities Tax Exemption Certificate
Issued under authority of Public Act 198 of 1974, as amended. Filing is mandatory. CITY OF MUS/\EGOl\i
PLANNING DEPARTMENT
INSTRUCTIONS: File the original and two copies of this form and the required attachments (three complete sets) with the clerk of the
local government unit. The State Tax Commission (STC) requires two complete sets (one original and one copy). One copy is retained
by the clerk. If you have any questions regarding the completion of this form or would like to request an informational packet, call (517)
373-3272.
To be completed by Clerk of Local _Gov.emm.e11tUnit
• Date received by local Unit
,$,y: 30, dOO J>
STC Use Only
APPLICANT INFORMATION
All boxes must be completed.
• 1a. Company Name (Applicant must be the occupant/operator of the facility) • 1b. Standard Industrial Classification (SIC) Code - Sec. 2(10) (4 or 6 Digit Code)
Sappi Fine Paper North America 2621
• 1c. Facility Address (City, State, ZIP Code) (real and/or personal property location) • 1d. City/TownshipNillage (indicate which) • 1e. County
2400 Lakeshore Drive, Muskegon, Ml 49443 City of Muskegon Muskegon
• 2. Type of Approval Requested • 3a. School District where facility is located • 3b. School Code
~ New (Sec. 2(4)) D Transfer (1 copy only) Muskegon 61010
D Speculative Building (Sec. 3(8)) D Rehabilitation (Sec. 3(1)) 4. Amount of years requested for exemption (1·12 Years)
D Research and Development (Sec. 2(9)) 6 years after completion of project
5. Per section 5, the application shall contain or be accompanied by a general description of the facility and a general description of the proposed use of the facility, the general
nature and extent of the restoration, replacement, or construction to be undertaken, a descriptive list of the equipment that will be part of the facility. Attach additional page(s} if
more room is needed.
The applicant is engaged in the manufacturing of high-quality coated commercial printing paper products. The new
machinery and equipment will keep the mill competitive.
6a. Cost of land and building improvements (excluding cost of land) .. _ •
* Attach list of improvements and associated costs. Real Property Costs
* Also attach a copy of building permit if project has already begun.
6b. Cost of machinery, equipment, furniture and fixtures ... • $3,822,200.00
* Attach itemized listing with month, day and year of beginning of installation, plus total Personal Property Costs
6c. Total Project Costs .... • $3,822,200.00
* Round Costs to Nearest Dollar Total of Real & Personal Costs
7. Indicate the time schedule for start and finish of construction and equipment installation. Projects must be completed within a two year period of the effective date of the
certificate unless otherwise approved by the STC.
Begin Date (M/D00 End Date (M/DLY)
Real Property Improvements • • Downed 0 Leased
1/30/08 8/30/08
Personal Property Improvements • • ~Owned 0Leased
• 8. Are State Education Taxes reduced or abated by the Michigan Economic Development Corporation (MEDC)? If yes, applicant must attach a signed MEDC Letter of
Commitment to receive this exemption. D Yes {g] No
• 9. No. of existing jobs at this facility that will be retained as a result of this project. • 10. No. of new jobs at this facility expected to create within 2 years of completion.
195 0
11. Rehabilitation applications only: Complete a, band c of this section. You must attach the assessor's statement of SEV for the entire plant rehabilitation district and
obsolescence statement for property. The Taxable Value (TV) data below must be as of December 31 of the year prior to the rehabilitation.
a. lV of Real Property (excluding land)
b. TV of Personal Property (excluding inventory)
C. Total TV ..
• 12a. Check the type of District the facility is located in:
[gl Industrial Development District D Plant Rehabilitation District
• 12b. Date district was established by local government unit (contact local unit) • 12c. ls this application for a speculative building {Sec. 3(8))?
12/13/83 D Yes ~ No
1012, Page 2
APPLICANT CERTIFICATION - complete all boxes.
The undersigned, authorized officer of the company making this application certifies that, to the best of his/her knowledge, no information contained
herein or in the attachments hereto is false in any way and that all are truly descriptive of the industrial property for which this application is being
submitted.
It is further certified that the undersigned is familiar with the provisions of P.A. 198 of 1974, as amended, being Sections 207.551 to 207.572, inclusive, of
the Michigan Compiled Laws; and to the best of his/her knowledge and belief, (s)he has complied or will be able to comply with all of the requirements
thereof which are prerequisite to the approval of the application by the local unit of government and the issuance of an Industrial Facilities Exemption
Certificate by the State Tax Commission.
13a. Preparer Name 13b. Telephone Number 13c. Fax Number 13d. E-mail Address
Cindy Hendon (260) 490-2121 (260) 490-1707 chendon@valutec.com
14a. Name of Contact Person 14b. Telephone Number 14c. Fax Number 14d. E-mail Address
Cindy Hendon (260) 490-2121 (260) 490-1707 chendon@valutec.com
• 15a. Name of Company Officer (No Authorized Agents)
J~""'ri IQ, ~oiler
15b. · natu , icer (No Authorized Agents) 15c. Fax Number 15d. Date
~\M) \----...:_, (231) 759-8244
,.
• 15e. Mailing Address (Str"ffl:lt, City, State, Z!P Code) 15f. Telephone Number 1Sg. E-mail Address
2400 Lakeshore Drive, Muskegon, Ml 49443 (231) 759-5242 john.o'brien@sappi.com
LOCAL GOVERNMENT ACTION & CERTIFICATION - complete all boxes.
This section must be completed by the clerk of the local governing unit before submitting application to the State Tax Commission, Check items on file
at the Local Unit and those included with the submittal.
• 16. Action taken by local government unit 16b. The State Tax Commission Requires the following documents be filed for an
administratively complete application:
[Zl Abatement Approved for _fl__ Yrs Real (1-12), ....7__ Yrs Pers (1-12) Check or Indicate N/A if Not Applicable
-
After Completion J:'8]'Yes D No 1. Original Application plus attachments, and one complete copy
-
2. Resolution establishing district
D Denied (Include Resolution Denying) -
- __ .
3. Resolution approving/denying application.
-
4. Letter of Agreement (Signed by local unit and applicant)
16a. Documents Required to be on file with the Local Unit -
5. Affidavit of Fees (Signed by local unit and applicant)
' '"". "" ,,,, ,.,.
Check or Indicate N/A if Not Applicable -
~ ,,,
2. Notice to taxing authorities of opportunity for a hearing.
~~. - 6.
7.
Building Permit for real improvements if project has already begun
Equipment List with dates of beginning of installation
-
3. List of taxing authorities notified for district and application action. 8. Form 3222 (if applicable)
-
4. Lease Agreement showing applicants tax liability. 9. Speculative building resolution and affidavits (if applicable)
-
16c. LUCI Code 16d. School Code
C:I0/0
17. Name of Local Government Body • 18. Date of Resolution Approving/Denying !his Application
{!,/fv of /JJlls/(e,9.0/? t-cJt/-OJ'
Attached hereto is an original and one copy of the application and all documents listed in 16b. I also certify that all documents listed in 16a are
on file at the local unit for inspection at any time.
19c. E-mail Address
19~: Signature.of ?erk " ti . . I
, \ ' .\ \ 'I '\\., \_ L ,S z.Jl ,, a.nn, b,c.!:er e o.sfman, or
19d. Clerks Mailing Address (Street, City, State, ZIP Code)
933 Te:.rrace ;7JJ _, e ol'/
19e. Telephone Number 19f. Fax Number
(231) 7d'/-670S" (.2.J'i) 7:?'/-l/l7J
State Tax Commission Rule Number 57: Complete applications approved by the local unit and received by the State Tax Commission by October 31
each year will be acted upon by December 31. Applications received after October 31 may be acted upon in the following year.
Local Unit: Mail one original and one copy of the completed application and all required attachments to:
State Tax Commission
Michigan Department of Treasury
P.O. Box 30471
Lansing, Ml 48909-7971
(For guaranteed receipt by the STC, it is recommended that applications are sent by certified mail.)
STCIJSEONlY
• LUCI Code • Begin Date Personal
Resolution No. 2008-59 ( b)
MUSKEGON CITY COMMISSION
RESOLUTION APPROVING APPLICATION FOR ISSUANCE
OF INDUSTRIAL FACILITIES EXEMPTION CERTIFICATE
Sapp/ Fine Paper North America
WHEREAS, pursuant to P.A. 198 of 1974 as amended, after duly noticed pubic hearing held on December 13,
1983, this Commission by resolution established an Industrial Development District as requested by
Sappi Fine Paper North America, 2400 Lakeshore Drive, Muskegon, Michigan 49441; and
WHEREAS, Sappi Fine Paper North America has filed an application for the issuance of an Industrial Facilities
Tax Exemption Certificate with respect to new machinery and equipment will be installed within said
Industrial Development District ; and
WHEREAS, said application was filed no later than six months after project completion and the Muskegon City
Commission held a public hearing on June 24, 2008, at the Muskegon City Hall in Muskegon, Michigan
at 5:30 p.m. at which hearing the applicant, the assessor and representatives of the affected taxing
units were given written notice and were afforded an opportunity to be heard on said application; and
WHEREAS, the installation of machinery and equipment is calculated to and will have the reasonable likelihood
to retain, create, or prevent the loss of employment in Muskegon, Michigan; and
WHEREAS, the aggregate SEV of real property exempt from ad valorem taxes within the City of Muskegon, will
not exceed 5% of an amount equal to the sum of the SEV of the unit, plus the SEV of personal and real
property thus exempted.
NOW, THEREFORE, BE IT RESOLVED by the Muskegon City Commission of the City of Muskegon,
Michigan that:
1) The Muskegon City Commission finds and determines that the Certificate considered together with
the aggregate amount of certificates previously granted and currently in force under Act No. 198 of
the Public Act of 1974 as amended and Act No. 255 of the Public Acts of 1978 as amended shall
not have the effect of substantially impeding the operation of the City of Muskegon or impairing the
financial soundness of a taxing unit which levies ad valorem property taxes in the City of
Muskegon.
2) The application of Sappi Fine Paper North America, for the issuance of an Industrial Facilities Tax
Exemption Certificate with respect to the installation of new machinery and equipment on the
following described parcel of real property situated within the City of Muskegon to wit:
CITY OF MUSKEGON REVISED PLAT OF 1903 BLKS 598 599 600 601602603 & 604 EXC
WLY 260 FT ALSO RICHARDS ST VAC FROM N LN LAKESHORE DR TO SHORE OF
MUSKEGON LAKE EXC C&O ROW ALSO LOT 19 BLK 597 EXC COM@ SECOR SD LOT 19
TH NWLY ON ELY LN SD LOT 125 FTTHWLY70 FTTH SELY 125 FTTO S LN SD LOT TH
ELY 70 FT TO BEG SUBJ TO UTILITY ESMT 2251/225 SUBJ TO UTILITY ESMT 2251/228
3) The Industrial Facilities Tax Exemption Certificate is issued and shall be and remain in force and
effect for a period of seven (7) years on personal property.
Adopted this 24th Day of June 2008.
Ayes: Carter, Gawron, Shepherd, Spataro, Warmington, Wierenga, Wisneski
Nays: None
Absent: None
ATTEST: _ _...:,,_1,L_:,.Li"-::,./_:_..::,.ME::d:c..l.:s:2=,1/:...L::::....~....::..._
Ann Marie Becker
Clerk
CERTIFICATION
I hereby certify that the foregoing constitutes a true and complete copy of a resolution adopted by the Muskegon
City Commission, County of Muskegon, Michigan, at a regul r i;neeting held on June 2a 2008.
1 \ jl~vL(J ~k
Ann Marie Becker
Clerk
Sappi Fine Paper - Muskegon
2008 Spending Plan
Actual Beginning Completion
Asset Approp. Date Date
Converting - Provide Skid Discharge Capability at 2CC 2,984,200 1/30/2008 6/30/2008
Condensate Return 368,000 1/30/2008 5/30/2008
Replace 2nd Press Double Doctor 126,000 1/30/2008 6/30/2008
Replace hot oil rotary joint 124,000 1/30/2008 4/30/2008
#5PM-Upgrade MSP Voith Profilmatic Computer System 27,000 1/30/2008 9/30/2008
5PM Smooth Press Roll 53,000 1/30/2008 6/30/2008
Air Compressor overhaul 140,000 1/30/2008 8/30/2008
TOTALS 3,822,200
l\illJSKEGON
City of Muskegon
Industrial Facilities Exemption Application
Summary Sheet
Project Summary:
Sappi Fine Paper, a manufacturing company located at 2400 Lakeshore Drive, Muskegon,
Michigan, will be installing new machinery to continue its operations. Since the company is investing
$3,822,200 in personal property, it is eligible for a seven (7) year exemption for personal property.
Employment Information: 212 Employees
Racial Characteristics:
White 173
Minority 39
Total 212
Gender Characteristics:
Male 191
Female 21 ·
Total 212
Total No. of Anticipated New Jobs: 0
Investment Information:
Real Property: $0
Personal Property $3,822,200
Total: $3,822,200
Property Tax Information: (Annual) All Jurisdictions City Only
Total New Taxes Generated $ 633,833 $ 211,619
Value of Abatement $ 316,916 $ 105,810
Total New Taxes Collected $ 158,458 $ 105,810
Income Tax Information: (Annual)
Total Additional Income Tax Generated: $ 0
Company Requirements:
Adopted Affirmative Action Policy ~ Yes D No
Meeting w/ City Affirmative Action Director I'! Yes D No
Signed Tax Abatement Contract • Yes o No
Taxes Paid In Full • Yes D No
Zoning Conflicts • Yes D No
Mike Franzak D~so~
Planner II Affirmative Action Director
City of Muskegon
Industrial Facilities Exemption Application
Summary Sheet
\\'c;;t. ~llrhli,:an·s Shurdluc Cll.y
Project Summary:
Sappi Fine Paper, a manufacturing company located at 2400 Lakeshore Drive, Muskegon,
Michigan, will be installing new machinery to continue its operations. Since the company is investing
$3,822,200 in personal property, it is eligible for a seven (7) year exemption for personal property.
Employment Information: 223 employees
Racial Characteristics:
White 180
Minority 43
Total 223
Gender Characteristics:
Male 200
Female 23
Total 223
Total No. of Anticipated New Jobs: 0
Investment Information:
Real Property: $0
Personal Property $3,822,200
Total: $3,822,200
Property Tax Information: (Annual) All Jurisdictions City Only
Total New Taxes Generated $ 633,833 $ 211,619
Value of Abatement $ 316,916 $ 105,810
Total New Taxes Collected $ 158,458 $ 105,810
Income Tax Information: (Annual)
Total Additional Income Tax Generated: $0
Company Requirements:
Adopted Affirmative Action Policy • Yes D No
Meeting w/ City Affirmative Action Director • Yes D No
Signed Tax Abatement Contract k1J_ Yes D No
Taxes Paid In Full "f,. Yes D No
Zoning Conflicts • Yes ~ No
Mike Franzak Dwana Thompson
Planner II Affirmative Action Director
CITY OF MUSKEGON
CONTRACT FORT AX ABATEMENT
Act 198 Public Acts of 1974
AGREEMENT between CITY OF MUSKEGON, a municipal corporation of933 Terrace
Street, Muskegon, Michigan 49441, ("City") and Sappi Fine Paper North America ("Company") of
2400 Lakeshore Drive, Muskegon, Michigan 49443.
Recitals:
A. The Company has applied to City for the establishment of an industrial development district or
industrial rehabilitation district pursuant to the provisions of Act 198 of the Public Acts of 1974, as
amended, which act requires a contract between the City and the Company to be agreed and submitted
with the Company's subsequent anticipated application for an industrial facilities exemption
certificate.
B. That in addition to the statutory requirement, the City has determined that it is in the best
interests of the taxpayers, property owners and residents of the City that this Agreement be approved
and executed prior to the establishment of the requested district, and the City deems this Contract,
together with the conditions set forth in the said Act to constitute a necessary element in the City's
determination whether or not to create the district.
C. The Company intends to install the project set forth in its application ("project") which it
believes qualifies for the process of establishing the district and the application for industrial facilities
exemption certificate.
D. The City, provided this Agreement is executed, will determine whether to create the district
based upon the potential for the production of permanent jobs, the continuation, stabilization or
increase of economic activity, planning and zoning considerations and the City's general plan and
intentions regarding economic development. In addition to the City policy considerations and
predictions that the Company's proposed district and certificate benefit the community in those ways,
the City has further determined that the contractual commitments made by the Company to thereby
assist the community shall be binding on the Company and necessary to continue the tax exemption
made possible by the certificate.
E. This contract shall become effective upon the issuance of an Industrial Facilities Tax
Exemption Certificate,
NOW THEREFORE THE PARTIES AGREE:
I. COMPANY AGREEMENT. The Company irrevocably commits to the investment, job
retention and job creation promises made in its application, a copy of which is attached hereto and
incorporated herein. In particular the Company agrees:
1.1 That 100% of the jobs shall be filled and in existence with full-time employees by a date
no later than two (2) years from the date of the granting of the certificate by the State Tax
_ _ _ _ _ _ ______,C"'-'o,_.m"'m=ission, subject to the provisio11s of section 3.4of this agreement.
Page I
1.2 That the amount of jobs listed on the application, whether new or retained, will be
maintained through the life of the abatement, subject to the provisions of section 3.4 of
this agreement.
1.3 The Company shall meet the affirmative action goal included in the application or in any
documents supplied by the City and utilized by the Company, including any additional
representations made to the City Commission on or before the date two (2) years after the
granting of the certificate by the State Tax Commission. It shall maintain the said levels
of employment diversity during the period of the certificate, subject to the provisions of
section 3.4 of this agreement.
1.4 The Company, by the end of two (2) years from the date of the grant of the certificate by
the State Tax Commission shall have completed the investment of $1,025,000 in the
equipment and improvements as shown in the application, subject to the provisions of
section 3.4 of this agreement.
1.5 That the improvements and equipment to receive the tax abatement treatment shall be
completed on or before the date two (2) years from the date of granting of the certificate
by the State Tax Commission.
1.6 The Company shall pay its specific taxes required by the act in a timely manner, and shall
not delay payments so as to incur any penalties or interest.
1. 7 The Company shall fully cooperate with the City representatives in supplying all requested
and required documentation regarding jobs, investment, the meeting of all goals and the
timely installation and utilization of equipment and improvements. The City shall be
entitled to inspect at reasonable hours the Company's premises where the said
improvements and equipment have been installed and where the said jobs are performed.
1. 8 The Company shall maintain, during the entire period for which the tax abatement is
granted, the level of jobs, affirmative action goals, production and utilization of the
improvements and equipment at the site where the district has been created and for which
the tax exemption has been granted.
1. 9 The Company shall not cause or fail to cure the release of any hazardous substance, or the
violation of any environmental law on its premises in the City. It shall report any releases
to the appropriate governmental authority in a timely and complete manner, and provide
copies of said report documentation to the City. It shall comply with all orders and actions
of any governmental agency having authority.
1.10 The Company shall maintain the equipment and improvements so as to minimize physical
or functional obsolescence.
1.11 The Company shall continue to operate its business location in the City, containing the
same number of and type of jobs, for the term of the certificate.
Page 2
2. AGREEMENT BY THE CITY. Provided this contract has been executed and further
provided all applications to create the district and achieve the industrial facility exemption certificate
have been properly filed, the City shall, in a timely manner, determine in a public meeting to whether
to create the district and whether to receive, process, and approve thereafter the Company's
application for an industrial facilities exemption certificate. The City may consider this contract in a
meeting separate from and prior to the meeting in which the City considers the creation of the district
and/or approval of the application for ce1tificate. Further, the City shall require the submission of this
contract signed by the Company together with its applications, before creating the district.
3. EVENTS OF DEFAULT. The following actions or failures to comply shall be considered
events of default by the Company:
3.1 Failure to meet any of the commitments set forth above.
3.2 The closing of the Company's facilities in the City. Closing shall mean for purpose of this
Agreement, the removal, without transfer to another site within the City of substantially all of
the production facilities, and the elimination of substantially all the jobs created or retained
thereby, which are set forth in the Company's application.
3.3 Failure to afford to the City the documentation and reporting required.
3.4 The failure to create or retain jobs, meet affirmative action goals or expend the funds on
equipment and improvements as represented in the application within the times required
hereby, unless the company can show that there has been a loss of revenue and
employment due to circumstances beyond the control of the company. In order to make
that showing the company shall have the burden of supplying, to the City's satisfaction,
complete and convincing documentation supporting and justifying reductions in
investment, failures to attain affirmative action goals or job losses, such as, without
limitation, written evidence of lost contracts, accounting information showing reduced
revenues due to the loss of business, (not due to diversion of production to affiliate
companies or divisions of the company), production records showing reduced quantities
over significant periods of time, and such other information required by the City to
support the Company's claim that the failure to invest, failure to achieve affirmative
action goals, or loss of jobs should not form the basis for a finding of default.
3.5 The bankruptcy or insolvency of the Company.
3.6 The failure to pay any and all taxes and assessments levied on the Company's property or
any other taxes, local, state or federal, including but not limited to City income taxes and the
withholding of said City income taxes from employees as required by the City Income Tax
Ordinance.
3. 7 The performance or omission of any act which would lead to revocation under MCLA
207.565, being §15 of the Act.
3.8 The violation of any provisions, promises, commitments, considerations or covenants of
this Agreement.
Page 3
4. REMEDIES ON DEFAULT. In the event of any of the above defaults the City shall have the
following remedies which it may invoke without notice, except as may be reasonably required by the
Company's rights to due process:
4.1 In the event of closing as determined after investigation of the facts and a public hearing,
the Company shall be immediately liable for penalties to be paid forthwith to the city as
determined as follows:
4.1.1 The Company shall pay to the City for prorata distribution to the taxing units
experiencing the abatement, an amount equal to the difference between the industrial
facilities tax which it has paid, and the total property taxes to the relevant taxing units
which it would have paid, given its installations of improvements and equipment,
during the years for which the certificate was in effect.
4.1.2 Immediate Revocation. The Company hereby consents to revocation to the !FT
certificate before the State Tax Commission, without hearing, and the City shall submit
a copy of this Agreement to the State Tax Commission in connection with its revocation
procedure, giving notice that the default has occurred and immediate revocation should
occur.
4.2 In the event the improvements and equipment have not been installed before the two (2)
year period, in addition to the revocation procedures before the State Tax Commission, the
abatement should immediately be reduced by the City proportionately, and any installations
which have not been finished at the end of said two (2) year period shall not be eligible for the
abatement thereafter and shall be placed on the regular tax roll.
4.3 Failure to Expend the Funds Represented. In the event, (whether or not the installations
have been completed), the Company has not expended the funds it has represented on its
application that it would invest for the installation of equipment, the abatement shall be reduced
prorata, and any remaining value of equipment shall be placed on the regular tax roll, unless
the company can show, through receipts, etc. that the cost of the equipment was actually
less than the amount estimated by the company (i.e., the same equipment was purchased
as listed in the IFT application, but the bids came in less then expected).
4.4 Job Creation and Retention. In the event the promised number of jobs have not been
created or retained at the end of the two (2) years after the grant of the certificate by the State
Tax Commission, the abatement shall be proportionately reduced, unless the company can
show that the loss of jobs, or inability to hire as many people as expected, is due to
circumstances beyond the control of the company (such as an economic downturn).
4.5 Affirmative Action Goals. In the event, after one (1) year from the grant of the certificate
by the State Tax Commission, the affirmative action goals of the City for additional jobs have
not been met on a prorata basis, the abatement shall be revoked.
4.6 For other violations of this Agreement or for actions or omissions by the Company
amounting to grounds for revocation by statue, the City shall recommend to the State Tax
Commission immediate revocation of the certificate.
Page zi--
4.7 Special Assessment. For any amount due to be paid to the City, under this Section 4, the
Company consents that the City shall have a personal action against the Company for the said
amount, and in addition, cumulatively, and not by election, the City shall have a special
assessment lien on all the property of the Company personal and real, located in the City, for
the collection of the amounts due as and in the manner of property taxes and in such case the
collection of the said special assessment shall be accomplished by addition by the City to the
Company's property tax statement regularly rendered.
5. Governing Law. This Agreement shall be construed and enforced in accordance with the laws of
the State of Michigan applicable to contracts made and to be performed within the State of Michigan.
6. Counterparts. This Agreement may be executed in one or more counterparts. Notwithstanding
such execution all such counterparts shall constitute one and the same Agreement.
7. Benefit. This Agreement shall be binding upon and inure to the benefit of the respective parties,
their successors and personal representatives.
8. Effective Date. This Agreement shall be effective on the date the State of Michigan Tax
Commission grants the company at Industrial Facilities Exemption Certificate.
CITY OF MUSKEGON
Sappi Fine Paper No1th America
and- - - - - - - - - - - -
Its_ _ _ _ _ _ _ _ __
Page 5
DATE: 06/16/2008
TO: Honorable Mayor and Commissioners
FROM: Mark Kincaid, Deputy Director of Public Safety
RE: Concurrence with the Housing Board of Appeals Notice and Order
to Demolish. Dangerous Building Case#: EN070060
SUMMARY OF REQUEST: This is to request that the City Commission Concur
with the findings of the Housing Board of Appeals that the structure located at
553 ALLEN AVE, Area 11 is unsafe, substandard, a public nuisance and that it
be demolished within thirty (30) days. It is further requested that administration
be directed to obtain bids for the demolition of the structure and that the Mayor
and City Clerk be authorized and directed to execute a contract for demolition
with the lowest responsible bidder.
Case# & Project Address: # EN070060 553 Allen, Muskegon, Ml 49442
Location and ownership: This structure is located on Allen St. between Scott and
Williams Streets and is owned by Jeffrey Myers/Brad Lehman, 1646 W. US 10,
Baldwin, Ml 49304.
Staff Correspondence: A dangerous building inspection was conducted on
03/28/07. The Notice and Order to Repair was issued on 03/29/07. On 05/03/07
the HBA tabled case until June 2007. The case came back before HBA 06/07/07
and was declared dangerous, substandard and a public nuisance.
Owner Contact: Jeffrey Myers was present for the 05/03/07 HBA meeting. He
stated he bought house for investment purposes, then house was vandalized;
plans was to rehab to sell. Case was tabled. The case came back before HBA
June 7, 2007 with no one present, the property was declared dangerous. The
owner contacted Inspections and a timeline was submitted with repairs to
commence August of 2007 and completion date of January 2008 which was not
acceptable to Inspections and a letter was sent 11/29/07 requesting a meeting so
options could be discussed. The revised timeline was reviewed with certain
conditions. A permit was issued 02/18/08 with an expiration date of 05/30/08.
To date no inspections have been scheduled and no progress has been made.
The home has had several boardups.
Financial Impact: CDBG Funds
Budget action required: None
State Equalized value: $19,900
Estimated cost to repair: $20,000
Staff Recommendation: To concur with the Housing Board of Appeals decision
to demolish.
CITY OF MUSKEGON
933 Terrace St., P.O. Box 537, Muskegon, Ml 49443 (231) 724-6715
DANGEROUS BUILDING INSPECTION
REPORT
Wednesday, March 28, 2007
Enforcement # EN070060 Property Address 553 ALLEN A VE
Parcel #24-205-058-0006-00 Owner MYERS JEFFREY/LEHMAN BRAD
Inspector: Henry Faltinowski
Date completed: 03/28/2007
DEFICENCIES:
Uncorrected
1. Replace front entry steps (Exterior) replace damaged siding.
2. Severe structural damage to attached garage roof collapsed - walls
fallen out. Rebuild to MRC 2003 Code or remove.
3. Boardup - numerous broken out windows.
4. Replace damaged roof covering on home.
5. Scrape and paint entire exterior of home - siding, windows.
6. Repair foundation walls - open mortar gaps on block wall.
7. Interior inspection requested.
Request interior inspection by all trades, electrical, mechanical and
plumbing. Please contact Inspection Services with any questions or to
schedule an inspection at 933 Terrace St., Muskegon, Ml 49440 (231) 724
6758.
Based upon my recent inspection of the above property I determined that the
structure meets the definition of a Dangerous Building and/or Substandard
Building as set forth in Section 10-61 of the Muskegon City Code.
Henry Faltinowski, Building Inspector Date
CITY OF MUSKEGON
933 Terrace St., P.O. Box 536, Muskegon, Ml 49443 (231)724-6715
DANGEROUS BUILDING INTERIOR INSPECTION REPORT
553 ALLEN A VE
05/18/2007
Inspection noted:
Uncorrected
1. Install new rafters bearing wall to ridge board.
2. Replace damaged ridge board.
3. All handrails, guardrails to code.
4. Scrape paint and patch all interior, walls, ceiling damage.
5. Replace any damaged roof sheathing
6. Repair damaged ramp - deck to code.
7. DB - Inspect & certify chimney.
8. Hose spigots to have vac breaker.
9. Support all piping in basement.
10. Inspect & certify furnace and need water heater.
11. Clean ductwork -support ductwork
12. Pressure test gas lines.
13. Replumb wash sink in basement.
14. Inspect all plumbing cap of cleanout/
15. Need kitchen sink & plumbing.
16. Replace toilet - need bathfan
17. House to be rewired to current code.
18. Smoke alarms to be installed to code.
19. Replace electric service to code.
20. Scald free faucet for tubshower.
21. Provide return air for bedrooms & upstairs.
22. Seal opening in chimney in kitchen.
23. All plumbing & mechanical to meet 2003 Mich Codes.
BASED UPON MY RECENT INSPECTION OF THE ABOVE PROPERTY, I HAVE
DETERMINED THAT THE STRUCTURE MEETS THE DEFINITION OF A
DANGEROUS AND/OR SUBSTANDARD BUILDING AS SET FORTH IN SECTION
10-61 OF THE MUSKEGON CITY CODE.
HENRY FALTINOWSKI, BUILDING INSPECTOR DATE
SUMMARY FOR: 553 ALLEN A VE
This building is a two story wood frame, single family dwelling. This building has
numerous structural deficiencies as well as needing to be completely rewired. Except for
the removal of the garage, there has been no evidence of any substantial repairs, in spite
of the Inspections Department repeated attempts to work with the property owner. If this
building is left in it's unrepaired it will continue to deteriorate and be a blighting
influence on the neighborhood.
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DATE: 06/16/2008
TO: Honorable Mayor and Commissioners
FROM: Mark Kincaid, Deputy Director of Public Safety
RE: Concurrence with the Housing Board of Appeals Notice and Order
to Demolish. Dangerous Building Case#: EN080029
SUMMARY OF REQUEST: This is to request that the City Commission Concur
with the findings of the Housing Board of Appeals that the structure located at
724 OAK AVE (House & Garage) is unsafe, substandard, a public nuisance and
that it be demolished within thirty (30) days. It is further requested that
administration be directed to obtain bids for the demolition of the structure and
that the Mayor and City Clerk be authorized and directed to execute a contract
for demolition with the lowest responsible bidder.
Case# & Project Address: # EN080029- 724 Oak, Muskegon, Ml 49442
Location and ownership: This structure is located on Oak St. between Kenneth
and Getty Streets and is owned on land contract between Christopher/.Zabulonia
Burt and Kirk Duell/Fred Assink, 2719 Strand Rd, Muskegon, Ml 49445.
Staff Correspondence: A dangerous building inspection was conducted on
02/06/08. The Notice and Order to Repair was issued on 02/11 /08. A interior
inspection was conducted 03/11/08. On 05/03/08 the HBA declared the structure
substandard and dangerous.
Owner Contact: Mr. Fred Assink was present for the HBA meeting dated
05/03/08 stating the house was sold on land contract but buyer has abandoned
the building with no forwarding address. Mr. Assink has decided to have the
property demolished but is in process of getting legal issues regarding ownership
resolved. No permits to demolish structure have been applied for.
Financial Impact: CDBG Funds
Budget action required: None
State Equalized value: $19,500
Estimated cost to demolish:$6,000 (Not feasible for repair)
Staff Recommendation: To concur with the Housing Board of Appeals decision
to demolish.
CITY OF MUSKEGON
933 Terrace St., P.O. Box 537, Muskegon, Ml 49443 (231) 724-6715
DANGEROUS BUILDING INSPECTION
REPORT
Tuesday, February 12, 2008
Enforcement# EN080029 Property Address 724 OAK AVE
Parcel #24-205-039-0005-05 Owner BURT CHRISTOPHER/ZABULOINA
Inspector: Henry Faltinowski
Date completed: 02/06/2008
DEFICENCIES:
Uncorrected
1. Roof system has collapsed on home.
2. Walls are severly stressed from collapse.
3. Garage wall system is severly racked out of alignment. Must rebuild to
MRC 2003 Code requirements.
4. Interior inspection is needed by trade inspectors to further evaluate
collapse damage.
Request interior inspection by all trades, electrical, mechanical and
plumbing. Please contact Inspection Services with any questions or to
schedule an inspection at 933 Terrace St., Muskegon, Ml 49440 (231) 724
6758.
Based upon my recent inspection of the above property I determined that the
structure meets the definition of a Dangerous Building and/or Substandard
Building as set forth in Section 10-61 of the Muskegon City Code.
Henry Faltinowski, Building Inspector Date
CITY OF MUSKEGON
933 Terrace St., P.O. Box 536, Muskegon, MI 49443 (231)724-6715
DANGEROUS BUILDING INTERIOR INSPECTION REPORT
7240AKAVE
03/11/2008
Inspection noted:
Unconected
1. House to be wired to code.
2. Electric service to be replaced to code.
3. Smoke alarms to be installed to code.
4. Clean ductwork -re-establish chimney.
5. Need returns in bedrooms.
6. Need bath fan.
7. Need scald free faucet for tub/shower.
8. Insure all plumbing is in working order.
9. Pressure test gas line.
10. Inspect water & sewer service.
11. Inspect & certify furnace, water heater and chimney.
12. Replace T & P Drain
13. Maintain clearance on single wall water heater vent.
14. CPVC 6"
15. Hammer anestors for laundry.
16. Support water lines.
17. Attach vent for water heater insure furnace heats habital spaces.
18. Need vacuum breakers for hose spigots.
19. Front Porch decking - replace, joists must meet code for span MRC 2003.
20. Engineered design on foundation wall re relay to code- porch rafters must meet 2003
MRC Code.
21. Walls splitting away from home -remove entire roof system. Strip walls - rebuild to
MRC2003.
22. New roof system must meet MRC 2003 code of rafters, ceiling joists ventilation.
BASED UPON MY RECENT INSPECTION OF THE ABOVE PROPERTY, I HAVE
DETERMINED THAT THE STRUCTURE MEETS THE DEFINITION OF A
DANGEROUS AND/OR SUBSTANDARD BUILDING AS SET FORTH IN SECTION
10-61 OF THE MUSKEGON CITY CODE.
HENRY FALTINOWSKI, BUILDING INSPECTOR DATE
SUMMARY FOR: 724 OAK A VE
This building is a single story wood frame single family dwelling. This building has
suffered a catastrophic failure (roof collapse) based on a recent inspection of the building,
it does not appear that it is economically feasible to rehabilitate this structure.
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DATE: 06/16/2008
TO: Honorable Mayor and Commissioners
FROM: Mark Kincaid, Deputy Director of Public Safety
RE: Concurrence with the Housing Board of Appeals Notice and Order
to Demolish. Dangerous Building Case#: EN070257
SUMMARY OF REQUEST: This is to request that the City Commission Concur
with the findings of the Housing Board of Appeals that the structure located at
2241 SHERIN ST is unsafe, substandard, a public nuisance and that it be
demolished within thirty (30) days. It is further requested that administration be
directed to obtain bids for the demolition of the structure and that the Mayor and
City Clerk be authorized and directed to execute a contract for demolition with
the lowest responsible bidder.
Case# & Project Address: # EN070257 - 2241 Sherin, Muskegon, Ml 49441
Location and ownership: This structure is located on Sherin, between Miner and
Lakeshore Drive and is owned by Larry C. Earle, 1456 Beardsley, Muskegon, Ml
49441.
Staff Correspondence: A dangerous building inspection was conducted on
12/12/07. The Notice and Order to Repair was issued on 12/20/07. An interior
inspection was conducted 01/14/08. On 03/06/08 the HBA declared the structure
substandard and dangerous.
Owner Contact: No one was present for the HBA meeting dated 03/06/08. The
new owner scheduled interior inspection but no permits have been applied for.
Financial Impact: General Funds
Budget action required: None
State Equalized value: $26,800
Estimated cost to repair: $40,000
Staff Recommendation: To concur with the Housing Board of Appeals decision
to demolish.
CITY OF MUSKEGON
933 Terrace St., P.O. Box 537, Muskegon, Ml 49443 (231) 724-6715
DANGEROUS BUILDING INSPECTION
REPORT
Thursday, December 13, 2007
Enforcement# EN070257 Property Address 2241 SHERIN ST
Parcel #24-205-693-0001-28 Owner US BANK NATIONAL ASSOC
Inspector: Henry Faltinowski
Date completed: 12/13/2007
DEFICENCIES:
Uncorrected
1. Siding falling off home. Incomplete siding - exposed wood to weather
elements improper flashing around windows.
2. Started interior framing without permits - beams that were installed not
to code.
3. Home power support is not to code.
4. Door and window openings have been reframed without permits and
inspections.
5. Provide interior inspection by all trade inspectors.
Request interior inspection by all trades, electrical, mechanical and
plumbing. Please contact Inspection Services with any questions or to
schedule an inspection at 933 Terrace St., Muskegon, Ml 49440 (231) 724
6758.
Based upon my recent inspection of the above property I determined that the
structure meets the definition of a Dangerous Building and/or Substandard
Building as set forth in Section 10-61 of the Muskegon City Code.
Henry Faltinowski, Building Inspector Date
CITY OF MUSKEGON
933 Terrace St., P.O. Box 536, Muskegon, MI 49443 (231)724-6715
DANGEROUS BUILDING INTERIOR INSPECTION REPORT
2241 SHERIN ST
01/14/2008
Inspection noted:
Uncorrected
1. Electric service to be replaced to code.
2. House to be wired to code - no existing wire is usable.
3. Install smoke alarms to code.
4. Header over front door is inadequate.
5. Header over front window is inadequate.
6. Header over opening where bearing wall removed is inadequate.
7. Header not bearing wait back to foundation.
8. Header over side door is inadequate.
9. Header over opening where bearing wall removed on south side of house is
inadequate.
10. Skylights in side foyer improperly framed in (ceiling joists cut out).
11. Skylights in side foyer are leaking.
12. Skylights in living room improperly framed in (ceiling joists cut out).
13. Misc. floors improperly framed in.
14. Egress windows required in all bedrooms.
15. Remove unused door on second floor above living room.
16. Provide separation between units.
17. Provide necessary draft stopping.
18. Collar ties are missing in roof assembly in living room.
19. Stairs to living room to meet MRC.
20. Stairs to 2nd floor must be reframed to meet MRC.
21. Smoke detectors required to meet MRC
22. Provide handrails to stairs.
23. Clean ductwork.
24. Need scald free faucet - tub/shower
25. Inspect all plumbing & venting insure in working order.
26. Replace S-trap !av & kitchen sink - need bath vent fan,
27. Pressure test gas line - provide duct for furnace.
28. Provide supply & return air to all habital spaces.
29. Support gas lines - inspect & certify chimney, water heater & furnace.
30. Must have 6" clearance for water heater vent to CPVC water pipe.
31. Need T & P drain for water heater.
32. Provide heat & return air.- upper
33. Need scald free faucet shower.
34. Insure all plumbing is in working order.
35. All plumbing & mechanical work to meet current codes.
36. Kitchen sink needs strainers.
37. Inspect water service & building sewer insure flows.
BASED UPON MY RECENT INSPECTION OF THE ABOVE PROPERTY, I HAVE
DETERMINED THAT THE STRUCTURE MEETS THE DEFINITION OF A
DANGEROUS AND/OR SUBSTANDARD BUILDING AS SET FORTH IN SECTION
10-61 OF THE MUSKEGON CITY CODE.
HENRY FALTINOWSKI, BUILDING INSPECTOR DATE
SUMMARY FOR: 2241 SHERIN ST
This structure is a two story wood frame dwelling. While this building appears to be in
good condition from the outside, it has been extensively modified on the inside. This
structure is partially gutted out on the inside and many of the modifications on the inside
are structural in nature. Most of the structural modifications made to this building do not
conform to standard construction practices and seriously compromise the structural
integrity to the building.
DATE: 06/16/2008
TO: Honorable Mayor and Commissioners
FROM: Mark Kincaid, Deputy Director of Public Safety
RE: Concurrence with the Housing Board of Appeals Notice and Order
to Demolish. Dangerous Building Case#: EN050084
SUMMARY OF REQUEST: This is to request that the City Commission Concur
with the findings of the Housing Board of Appeals that the structure located at
1174 JEFFERSON ST-Area 10 is unsafe, substandard, a public nuisance and
that it be demolished within thirty (30) days. It is further requested that
administration be directed to obtain bids for the demolition of the structure and
that the Mayor and City Clerk be authorized and directed to execute a contract
for demolition with the lowest responsible bidder.
Case# & Project Address: # EN050084 - 1174 Jefferson St.,Muskegon,MI
49441
Location and ownership: This structure is located on Jefferson Street between
Merrill and Monroe Streets and is owned by Chaunel Phillips/Gibson.
Staff Correspondence: A dangerous building inspection was conducted on
02/15/07. The Notice and Order to Repair was issued on 02/22/05. A building
permit was issued on 08/04/05, electrical issued 08/12/05 and plumbing issued
08/12/05. Rough-in inspections were conducted and approved but progress
halted when contractors walked away from job and no final inspections were
scheduled. A progress inspection was conducted 01/03/08. The case came
before HBA 09/01/05 to monitor progress on case and was tabled until January
2006 to allow owner to complete repairs and schedule final inspections. The
case came back before HBA 10/04/07 because all permits had expired and no
progress inspections had been scheduled, the case was tabled with owner to
secure all new permits by October 15, 2007. The case came back before HBA
12/06/07 because no permits were issued. The case was tabled with owner to
schedule progress inspection. The case came back 01/03/08 and was declared
dangerous, substandard, and a public nuisance with a delay until June 2008
before bringing case to the City Commission.
Owner Contact: Owner was present for all HBA meetings. Owner disagreed with
cost of obtaining new permits. No new permits have been applied for, no final
inspections scheduled and no owner contact since the January 2008 HBA
meeting.
Financial Impact: CDBG Funds
Budget action required: None
State Equalized value: $38,300
Estimated cost to repair: $30,000
Staff Recommendation: To concur with the Housing Board of Appeals decision
to demolish.
DATE: 06/16/2008
TO: Honorable Mayor and Commissioners
FROM: Mark Kincaid, Deputy Director of Public Safety
RE: Concurrence with the Housing Board of Appeals Notice and Order
to Demolish. Dangerous Building Case#: EN080015
SUMMARY OF REQUEST: This is to request that the City Commission Concur
with the findings of the Housing Board of Appeals that the structure located at
922 S GETTY ST is unsafe, substandard, a public nuisance and that it be
demolished within thirty (30) days. It is further requested that administration be
directed to obtain bids for the demolition of the structure and that the Mayor and
City Clerk be authorized and directed to execute a contract for demolition with
the lowest responsible bidder.
Case# & Project Address: # EN080015- 922 S. Getty
Location and ownership: This structure is located on Getty, between Amity and
Allen Streets and is owned by Darryl Lane, 1067 Frances, Muskegon, Ml 49442.
Staff Correspondence: A dangerous building inspection was conducted on
01/16/08. The Notice and Order to Repair was issued on 01/17/08. On 03/06/08
the HBA declared the structure substandard and dangerous.
Owner Contact: No one was present for the HBA meeting dated 03/06/08. The
owner who is in the military called and sent a email stating the home was rented
with option to buy and was abandoned and trashed he planned to be home on
leave in May 2008 to address issues. There has been no contact from the owner
since that time and no permits, nor interior inspection scheduled.
Financial Impact: CDBG Funds
Budget action required: None
State Equalized value: $24,300
Estimated cost to repair: $5,000(Exterior Only)
Staff Recommendation: To concur with the Housing Board of Appeals decision
to demolish.
SUMMARY FOR: 922 S GETTY ST
This building is a two story wood frame single family dwelling. This building has
numerous violations including the foundation; it appears that this home has been
abandoned. This building, if left in it's current condition, will continue to deteriorate and
remain an "attractive nuisance" to the neighborhood children.
CITY OF MUSKEGON
933 Terrace St., P.O. Box 537, Muskegon, Ml 49443 (231) 724-6715
DANGEROUS BUILDING INSPECTION
REPORT
Wednesday, January 16, 2008
Enforcement# EN080015 Property Address 922 S GETTY ST
Parcel #24-121-300-0109-00 Owner LANE DARRYL
Inspector: Henry Faltinowski
Date completed: 01/16/2008
DEFICENCIES:
Uncorrected
1. Replace all damaged siding on home.
2. Scrape and paint siding on home.
3. Replace - repair damaged windows, window screens, glass and exterior
doors.
4. Foundation repair needed per MRC 2003 code. Provide interior
inspection to evaluate scope of foundation damage.
5. Remove debris out of yard.
6. Provide interior inspection by trade inspectors.
7. All stairs, landings, guardrails and handrails must meet MRC 2003 code.
Request interior inspection by all trades, electrical, mechanical and
plumbing. Please contact Inspection Services with any questions or to
schedule an inspection at 933 Terrace St., Muskegon, Ml 49440 (231) 724
6758.
Based upon my recent inspection of the above property I determined that the
structure meets the definition of a Dangerous Building and/or Substandard
Building as set forth in Section 10-61 of the Muskegon City Code.
Henry Faltinowski, Building Inspector Date
Date: June 24, 2008
To: Honorable Mayor and City Commissioners
From: Bryon Mazade, City Manager
RE: Findings of Fact and Recommendation
Re: Spotlight Lounge
SUMMARY OF REQUEST: To consider the Findings of Fact and Recommendation
for the Spotlight, submitted by Hearing Officer Robert 0. Chessman, for potential
revocation of the liquor license for Spotlight.
FINANCIAL IMPACT:
BUDGET ACTION REQUIRED:
STAFF RECOMMENDATION:
COMMITTEE RECOMMENDATION:
In Re:
CITY OF MUSKEGON,
and
D & L OF MICHIGAN,
d/b/a Spotlight Lounge
FINDINGS OF FACT AND RECOMMENDATIONS
I. NATURE OF THE PROCEEDING
This matter came before me as the appointed hearing officer for the City Manager
and the City Commission for the City of Muskegon. On May 22, the City Clerk suspended the
business certificate of registration of D&L of Michigan, doing business at 435 and 441 West
Western Avenue in the City of Muskegon. She suspended the business certificate pursuant
to section 50-43 (7) of the Muskegon City Code, alleging that the Spotlight v10s "[c]onducting
a business in an unlawful manner or in such manner as to constitute a breach of peace or to
constitute a menace to the health, morals, safety or welfare of the public." Exhibit 1.4. On
May 23, 2008, the Spotlight filed a timely appeal of the suspension. Exhibit 1.5. This appeal
entitled the Spotlight to a hearing before a hearing officer appointed by the City Manager.
Section 50-44 (b ); Exhibit 1.4.
During this same time period, the City Commission decided to consider asking the
Michigan Liquor Control Commission to revoke the Spotlight's on-premises liquor license.
The Commission directed the City Staff to have a third-party hearing officer hold a hearing
and make recommendations to the Commission on this issue. El4libit 1. 7.
I conducted a public hearing on June 9 and 10, 2008. The hearing addressed both
the business certificate and liquor license issues. The City of Muskegon and the Spotlight
both appeared at the hearing represented by counsel. The City produced two witnesses and
offered into evidence two exhibits. The first exhibit contains 45 sections, which I will refer to
as Exhibits 1.1 through 1.45. The Spotlight presented no exhibits or testimony, although its
attorney vigorously cross-examined the two City witnesses.
II. QUESTIONS PRESENTED
A. Should the City Manager affirm or reverse the decision to revoke the Spotlight's
business certificate?
B. Should the City Commission recommend that the Michigan Liquor Control
Commission revoke the Spotlight's liquor license?
Ill. FINDINGS OF F.OCT
The Spotlight opened for business on June 29, 2007. Exhibit 2. It sits in the middle of
the block on the south side of Western Avenue between Third Street on the east and Fourth
Street on the west. The Hill Building and the Frauenthal Center for the Performing Arts
occupy the space on that block to the east; the M.!skegon Chronicle Circulation Department
building occupies the space to the >\est. The LC. Walker Arena lies diagonally across the
intersection to the northwest. Racquets restaurant and bar lies directly north across Western
Avenue. To the east of Racquets are an eye doctor's office, a parking lot, and the Holiday
Inn. The back doors of the Spotlight open onto an alley which s~parates it from the
Muskegon Chronicle offices. One-half block away from the front doors is the intersection of
Third and Western, the center of the new downtown.
At 2:04 a.m. on July 1, two days after the opening of the lounge, City police
discovered that there had been a fight inside the Spotlight. Bouncers were in the process of
kicking people out of the lounge. About 1DO people remained on the sidewalk and in
Western Avenue outside the front doors. The police broke up several fights and dispersed
the crowd. They then discovered an injured patron lying on the dance floor inside the
Spotlight, with a cut to his head. Lacy Jones, the owner of the Spotlight, saw the fight, but
could not get to it or identify who was involved. Exhibit 1. 10.
2
At 2:07 a.m. on July 15, 2007, a patron who had been drinking at the Spotlight
crossed the street to Racquets and tried to order some food. When he was told that the
kitchen was closed, he created a disturbance. The police arrived to find him outside the
restaurant waiting for a cab. They characterized him as "obviously intoxicated". Exhibit 1.11.
At 1:16 a.m. on July 29, 2007, police responded to the report of an assault. A dispute
had started inside the Spotlight. Security staff had ejected the complaining v.,itness from the
Spotlight. Later on, the police heard "gunfire coming from the Spotlight". Exhibit 1.12. An
officer reported "several rapid gunshots" "coming from near the Spotlight". From his vantage
point at the comer of Western and Fourth, he saw 50 people running in all directions.
Outside the front doors of the lounge, police found evidence of a fight. Inside the lounge at
2:45 a.m., they saw about 25 people. The bar owner said these people were all employees.
To the police, they looked like patrons, not employees. The police did not find the shooter.
No evidence directly connects the gunshots lo the Spotlight. Emibit 1.13. Later that same
morning, a woman contacted the police to ieport that another woman had struck her three or
four times in the head v.,ith a beer bottle outside the front doors of the Spotlight. She said that
several other women then hit her while she was on the ground and robbed her. Exhibit 1.14.
At 2:47 a.m. on August 2, 2007, a 11Dman reported to police that someone had
assaulted her and had stolen her cell phone near the Spotlight. No e';idence directly
connects the assault and theft to the lounge. Exhibit 1.15.
At 0:57 a.m. on August 12, 2007, police iesponded to a report of about 20 people
wailing in line outside the Spotlight, pounding on the do01s trying to get in. Exhibit 1.16. Also
on the morning of the 12th , at 1:27 a.m., a caller reported an assault in front of the Spotlight.
The assault victim had gotten up and walked east toward the Frauenthal. Police found him
lying on the sidewalk, accompanied him to the hospital br medical treatment, and booked
him in jail for carrying a concealed weapon in the form of a kitchen steak knife. Exhibit 1.18.
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Later that same morning, a caller repo1ied "several subjects with guns". Police responded
and found no guns. Crowd control staff from the Spotlight were moving people along.
Several small groups of people were yelling at each other. They left, still yelling at each other
and also at the officers who had arrived. The owner of the Spotlight asked the police to come
to the lounge from 1:45 to 2: 15 a.m. e,ery Wednesday and Saturday to help his staff deal
with these issues. He confirmed that the problems this morning had started when the lounge
was full and could not legally admit any other patrons. Exhibit 1.17. Finally, at 2:54 a.m. this
same morning, a woman reported that her husband, who worked security at the Spotlight,
had been assaulted by a very intoxicated patron. The assault took place inside the lounge as
her husband was trying to get the patron, who was also her brother and his brother-in-law, to
leave around closing time. The security staff member lost a tooth and had another dangling
from his mouth at the hospital. Elhibit 1.19.
At 0:54 a.m. on August 25, 2007, police hund a woman lying in a flower bed near the
intersection of Fourth and Western. She did not at first appear to be breathing. She had
vomited and was drunk, her preliminary breath test registering .171 (legal limit to drive .08).
She told police she had been at the Spotlight. Elhibit 1.20.
At 2:12 a.m. on September 20, 2007, police investigated a fight that had taken place.
The fight involved two men who had left the Spotlight. There was no indication that the fight
took place inside the lounge orthat either of the men was intoxicated. The police filed no
charges. Exhibit 1.21.
A patron told police that she had left the Spotlight at 2:00 a.m. on September29,
2007. She became stuck in the middle ofa large group of people. A fight broke out and
someone stole her purse. There is no evidence that the crowd came from the Spotlight or
that excessive drinking played any role in the incident. Exhibit 1.23.
4
At 12:17 p.m. on September 30, 2007, police investigated a reported fight that had
taken place at the Spotlight t'Afllve hours beforehand. The participants denied drinking at the
lounge. The police filed no charges. Exhibit 1.22.
At some point in the late summeror early fall of 2007, City of Muskegon Director of
Public Safety, Tony Kleibecker, met with Lacy Jones, the owner of the Spotlight. They talked
about the incidents that had taken place during the first several months that the Spotlight had
been open. Mr. Kleibecker made three suggestions to reduce problems at closing time: 1)
Moving up the time to stop serving alcohol before closing; 2) Clearing the patrons in smaller
groups rather than all at once; and 3) Hiring and training quality security staff members. Mr.
Kleibecker testified that Mr. Jones responded in a positive way to these suggestions. From
an "operational" standpoint, Mr. Kleibecker felt that the Spotlight had done all that it could to
deal with the problems.
On October 4, 2007, at 2:04 a.m., a large crowd of 50 to 75 people assembled
outside the Spotlight. The owner called the police to report that it looked as though a fight
might start. The police arrived to find cars blocking Western Avenue. They were able to
disperse the crowd without further incident. There was no fight and the police 1iled no
charges. Exhibit 1.24.
Three nights later, at 2:16 a.m. police responded to reports of a fight at the Spotlight.
The fight they discovered was at the intersection of Third and Western, one-half block east
of the front doors of the lounge. A large group of people was trying to separate the two men
who were fighting. Police escorted one injured and high-intoxicated participant to Hackley
Hospital for treatment. There was no direct evidence that the men fighting had been inside
the Spotlight. Exhibit 1.25.
On October 27, 2007, security staff ejected a female patron from the Spotlight. Police
arrived at 2:17 a.m. and disco1.ered that she was intoxicated. A Racquets emplojee
5
reported that this woman had failed to pay for two drinks there. The woman reported that she
had been assaulted by unknown women. She had sustained a cut owr her eye. Police
transported her to Hackley Hospital for treatment. Exhibit 1.26.
On Sunday morning, November 18, 2007, police responded to a woman yelling
obscenities near the front entrance to the Spotlight. They found an intoxicated white woman
yelling racially-charged insults at a patron waiting to enter the lounge. A Spotlight emplo)fle
stated that she had done this repeatedly and he was concerned for her safety. The officers
arrested the woman and lodged her in the County jail for disturbing the peace. She had not
been drinking at the Spotlight. Although this emibit was listed by Mr. Kleibecker as an
incident involving the Spotlight, he admitted that it p10bably should not have been included.
Exhibit 1.27.
At 2:06 a.m. on December 6, 2007, an officer saw a crowd on the sidewalk near the
Spotlight. People were shoving other people. By the time other office.rs arrived, the crowd
dispersed. Exhibit 1.29.
At 2: 16 a.m. on December 22, 2007, officers responded to a reported assault. They
found cars blocking Western in front of the Spotlight and Fourth from Clay to Shoreline
Drive. An estimated 150 to 200 people \I.ere milling around in front of the Spotlight. A fight
broke out in the City parking lot at Fifth and Wesiem. Police successfully directed traffic and
dispersed the crowd. At 2:50 a.m., t\\O officers entered the Spotlight. About 50 people
remained inside the club. The officers advised the owner, Lacy Jones, that all those who
were not in the band or club employees had to leave. Mr. Jones cooperated and about 20
people left the Spotlight. Exhibit 1.30.
At 23:15 p.m. on December23, 2007, someone reported a fight inside the Spotlight.
When officers arrived , lounge staff said that the fight was over and those fighting had left.
The officers entered the lounge and found an injured patron in the bathroom. He claimed
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that an unknown male had struck him in the head with a bottle. Exhibit 1.31.
On December 29, 2007, three different individuals assaulted a woman inside the
Spotlight. The owner ejected all participants from the lounge. When the police arrived at 2: 15
a.m., Mr. Jones told the victim of the assault that all problems in his club would be dealt with
on a "zero tolerance" basis. Exhibit 1.32.
At 2:11 a.m. on January 10, 2008, police responded to a call from Spotlight security.
A very large fight was in progress inside the lounge. Patrons jumped over the bar to grab
bottles to use as weapons. By the time the police arrived, 100 people remained inside.
Patrons locked the police out of the bar. The owner came out and described what had
happened. When the officers got inside, 50 people still 11.ere causing a disturbance. The
police ordered all non-employees to leave. They observed that the interior of the club was
"destroyed". Exhibit 1.33.
No other reported incidents took place during the winter months of January and
February. On March 5, 2008, Tony Kleibecker recommended that the City Commission not
approve the renewal of the liquor license for the Spotlight. He outlined the number and
character of the incidents that had taken place and the lack of significant improvement since
the meeting with Lacy Jones in the late summerof 2007. Exhibit 1. 9.
On March 11, 2008, Lacy Jones filed an application for a business registration. In that
application, he represented to the City that the Spotlight emplo)ed five people. Two days
later, the Muskegon City Clerk issued the new certificate of registration. Exhibit 2. There is
no direct evidence in the record regarding what action the City Commission took on Mr.
Kleibecker's recommendation that it not approve the renewal of the liquor license.
Apparently, though, either the Commission did not act on his recommendation or the
Michigan Liquor Control Commission renewed the license despite the City Commission's
request for non-renewal. The liquor license must have renewed in April of 2008. Otherwise, I
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would not have conducted this hearing.
On March 17, 2008, at 2:21 a.m. an officer met with a patient at Mercy Hospital. The
patient claimed to have been attacked earlier that morning by five to seven Spotlight security
guards as he was trying to break up a fight involving a friend. His friend was at the hospital
and confirmed this story. This incident is still under investigation according to Tony
Kleibecker. There is no information in the record from the security guards or the owner of the
Spotlight detailing their view of what happened. Exhibit 1.34.
At 1:28 a.m. on May 3, 2008, police responded to a report of a fight taking place in a
car in front of the Spotlight. There was a large crowd on Western, but no apparent fight.
Exhibit 1.35.
I now turn to the events of May 17, 2008, a series of incidents which precipitated the
actions by the City of Muskegon to revoke the business registration and to consider -
recommending revocation of the liquor license. Beginning on the evening of the 161h of May,
the Spotlight held a dance for teenagers. In so doing, the Spotlight did not complywith the
applicable City ordinances. It did not obtain a license br the event as required by section 50-
74 of the City Code. Nor did it obtain chief of police approval for the adult supervision that it
had to provide under section 50-78 (2). Finally, the dance appears to have continued well
beyond the 9:00 p.m. deadline for non-licensed dances as well as the 11 :00 p.m. deadline
for licensed dances. Sections 50-77 and 50-78.
Police responded at 00:58 a.m. on the 171h to investigate a reported shooting. An
officer discovered a fifteen-year-old male lying in the entrance way to the Spotlight. Further
investigation revealed that this young man had attended the event inside the Spotlight. As he
was leaving the lounge, he encountered a large crowd of people fighting at the comer of
Fourth and Western. He tried to go around the crowd, at which point someone shot him in
the back. He turned around and ran back toward the Spotlight, where he was later
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discovered by the officer. At the scene, he said he did not know who had shot him. Two days
later, he told police that he had been diiected out the back door of the Spotlight at closing
with a large group of people. In that g1Dup was a male named "Blue". There were fights in
the alley behind the Spotlight. He saw Blue go into a car parked near the Chronicle building
and come out with a handgun, which he then fired into the air three orfour times. People ran
out of the alley onto Fourth Street and toward the intersection with Western. Blue fired the
gun again. The fifteen-year-old had turned and was running away as Blue started shooting
agin. It was at this point that he was hit in the back with a bullet.
In a separate incident, another officer was trying to disperse the crowd of hundreds in
the street and parking lots. As he walked along the north side of Western Avenue by the
parking lot between the eye doctor's office and the Holiday Inn, he saw a male standing
between two parked cars pulling a small handgun out of his waistband. The officer pulled his
own gun and ordered the man to diDp his. Just as the officer was about to shoot, the man
dropped his gun and started to run to the north. The officer got him to stop and lie doVlfl. The
man said that he was drunk.
In the same parking lot, police found evidence of a car with a bullet mark on it and
two shell casings. The gun taken from the man there had no bullets in it. Three more shell
casings were found in the parking lot later that same day by a Racquets employee.
Police conducted later interviews with high school students who had attended the
event at the Spotlight. They said it was a teen dance. They stayed there until almost 1:00
a.m. The lounge served soft drinks only, no alcohol. Outside the Spotlight, numeious fights
took place. The students identified a male named Armstrong. Several reported he had fired a
gun into the air several times. One said he also fired once into a crowd.
To sum up, most, if not all of the Muskegon City Police Department responded to
these incidents. I count ten officers from the department that participated in some way on the
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17th • Later investigation brought in another six officers, not including their supervisors. Shots
came from at least two separate guns: one which was found, the other which was not One
shooting took place in the alley behind the Spotlight and into Fourth Street near the
intersection with Western Avenue. The other took place in the pal1
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