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Date: July 24, 2007 To: Honorable Mayor and City Commissioners From: Ann Marie Becker, City Clerk RE: Approval of Minutes SUMMARY OF REQUEST: To approve minutes for the July 9th Commission Worksession, and the July 1Qth Regular Commission Meeting. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Approval of the minutes. CITY OF MUSKEGON CITY COMMISSION MEETING JULY 24, 2007 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, July 24, 2007. Mayor Warmington opened the meeting with a prayer from Vice Mayor Stephen Gawron 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, Commissioner Kevin Davis, Clara Shepherd, Lawrence Spataro, Sue Wierenga, and Chris Carter, City Manager Bryon Mazade, City Attorney John Schrier, and City Clerk Ann Marie Becker. 2007-60 CONSENT AGENDA: A. Approval of Minutes. CITY CLERK SUMMARY OF REQUEST: To approve minutes for the July 9th Commission Worksession, and the July l oth Regular Commission Meeting. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Approval of the minutes. C. FIRST READING: Amendment to the Zoning Ordinance - Clarify "Horizontal Plane". PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: Request to amend Section 2331 (Landscaping, Fencing, Walls, Screens, and Lighting, #20, d) of Article XXIII (General Provisions) clarifying the "horizontal plane" of a light fixture. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Staff recommends amendment of the Zoning Ordinance to amend the language regarding horizontal plane. COMMITTEE RECOMMENDATION: The Planning Commission recommended approval of the request at their July l 2th meeting. The vote was unanimous with T. Harryman and B. Smith absent. F. Urban Renewal Plan Project R-134. COMMUNITY & NEIGHBORHOOD SERVICES SUMMARY OF REQUEST: To request Commission to instruct Wilmern Griffin, City of Muskegon Community and Neighborhood Services Director, to sign the affidavit that to the best of his knowledge the U.S. Department of Housing and Urban Renewal has signed off on the Urban Renewal Plan Project R-134. Therefore, the redevelopment of the downtown site can continue without any title issues. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. G. Lead Based Paint Abatement at 218 Catherine. COMMUNITY & NEIGHBORHOOD SERVICES SUMMARY OF REQUEST: To approve the contract with Specialty Builders of 2434 Annette, Muskegon, Michigan, for the lead base paint abatement of the city- owned home at 218 Catherine for the cost of $21,750. The City received two additional bids: • DeRose Builders, of 7786 Wiczer Drive, Whitehall, Michigan, for $24,550 • Statewide Abatement of 1720 Creston Avenue, Muskegon, Michigan for $27,800 After the lead base paint abatement is complete the structure will be totally rehabilitated and then sold to a qualified low to moderate-income homebuyer. FINANCIAL IMPACT: Cost of the abatement will be allocated from the 2007-2008 HOME budget. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: To approve Community and Neighborhood Services office to develop a contract with Specialty Builders of Muskegon, and direct the Mayor and Clerk to sign the contract. H. Approval of Contractor for Rehabilitation of House at 218 Catherine. COMMUNITY & NEIGHBORHOOD SERVICES SUMMARY OF REQUEST: To approve the contract with J2 Development, 109 West Laketon, Muskegon, Michigan, for the completion of the rehabilitation to be located at 218 Catherine, for the cost of $52,511. After the total rehabilitation is completed the home will be sold to a qualified first-time homebuyer, continuing the City's aggressive neighborhood revitalization efforts in the Angell neighborhood area under the Operation: "A Place you call Home". The City received five additional bids: • DH Construction of 3680 Ryerson, Twin Lake, Michigan, for $54,003 • Lewis Johnson of 16976 Bonita Court, Grand Haven, Michgan, for $58,800 • Specialty Builders 2434 Annette Avenue, Muskegon, Michigan, for $63,207 • Obenauf DePender Construction LLC of 4471 Thompkins Trail, Muskegon, Michigan, for $71 ,220 • DeRose Builders of 7786 Wiczer Drive, Whitehall, Michigan, for $78,552 FINANCIAL IMPACT: The funding for the project will be taken from the City's 2007-2008 HOME funds. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: To approve Community and Neighborhood Services office to develop a contract with J2 Development, l 09 W. Laketon, and direct the Mayor and Clerk to sign the contract. I. Approval of Contractor for Construction of new House at 539 Orchard. COMMUNITY & NEIGHBORHOOD SERVICES SUMMARY OF REQUEST: To approve the contract with Murphy Brothers Construction, 2519 McArthur, Muskegon, Michigan for the construction of the new home to be located at 539 Orchard for the cost of $110,994. After the construction is completed, the new home will be sold to a qualified first-time homebuyer continuing the City's aggressive neighborhood revitalization efforts in the Angell Neighborhood under the Operation "Community Uprising". The City received six other bids: DeRose Builder, 7786 Wiczer Drive, Whitehall, Ml $115,318.00 Beattie Brothers Builder, 2786 Holton, Whitehall, Ml $120,222.17 Specialty Builders, 2434 Annette, Muskegon Ml $131,043.65 Holden Construction, 601 Amity, Muskegon, Ml $135,663.00 Lakeshore Construction, 8253 S. 116 th , Rothbury, Ml $139,250.00 Rich Construction, 28 E. Main, Fremont, Ml $137,674.09 FINANCIAL IMPACT: The funding for the project will be taken from the City's 2007-2008 HOME funds. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: To approve Community and Neighborhood Services office to develop a contact with Murphy Brothers Construction and direct the Mayor and Clerk to sign the contract. K. Budgeted Meter Reading Equipment Replacement. PUBLIC WORKS SUMMARY OF REQUEST: Approval to purchase two SSI AR 5000 Solid State Interrogators - Hand Held Meter Reading Units. Currently the City owns four hand held meter reading units. Two meter reading units are 14 years old and two units were replaced last year. This proposal is intended to replace the two 14 year old units. FINANCIAL IMPACT: Total cost $9,200. BUDGET ACTION REQUIRED: None, included in 2007 Budget. STAFF RECOMMENDATION: To approve purchase from Etna Supply. N. Request for an Encroachment Agreement - Lorin Industries. ENGINEERING SUMMARY OF REQUEST: Lorin Industries has filed the enclosed encroachment agreement form to install three monitoring wells in the public right of way of Keating A venue. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: To approve the encroachment agreement subject to the supplemental conditions and compliance with the necessary insurance requirements. O. Request for an Encroachment Agreement on Third Street. ENGINEERING SUMMARY OF REQUEST: Muskegon Main Street has requested your permission to place three open bottom planters along Third Street. The planters will be filled with grade 6A gravel topped with landscape fabric, soil, and perennial flowers. Muskegon Main Street and the businesses along the Third Street corridor will jointly maintain the planters. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: To approve the encroachment agreement with the supplemental conditions. Motion by Vice Mayor Gawron, second by Commissioner Carter to approve the Consent Agenda as presented minus items B, D, E, J, L, and M. ROLL VOTE: Ayes: Gawron, Shepherd, Spataro, Warmington, Wierengo, Carter, and Davis Nays: None MOTION PASSES 2007-61 ITEMS REMOVED FROM THE CONSENT AGENDA: B. Approval of a Neighborhood Enterprise Zone Certificate. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: An application for a Neighborhood Enterprise Zone (NEZ) certificate has been received from Kevin Eden to rehabilitate a home in the Nelson neighborhood at 372 W. Muskegon A venue. The home is located in a Neighborhood Enterprise Zone. The application states that the estimated cost for rehabilitation will be $46,400. The addition of a new foundation (complete basement), new front porch with steps, new sidewalks (from the front and side doors to the sidewalk at the street), new rear porch steps, reconstruction of front porch brick columns and stone work, new concrete parking slab, and a new roof for the home. The applicant has met local and state requirements for the issuance of the NEZ certificate. Approval or denial by the City Commission is required within 60 days of the application date and must be forwarded to the State Tax Commission. FINANCIAL IMPACT: Taxation will be 50% of the State average for the next 11 years. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Approve issuance of the NEZ certificate. Motion by Commissioner Davis, second by Commissioner Shepherd to approve the Neighborhood Enterprise Zone for 372 W. Muskegon Avenue. ROLL VOTE: Ayes: Carter, Davis, Gawron, Shepherd, Spataro, Warmington, and Wierengo Nays: None MOTION PASSES D. FIRST READING: Rezoning Request for Property Located at 1024 Sophia Street. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: Request to rezone the property located at 1024 Sophia Street, from R-1, One Family Residential District to B-2, Convenience and Comparison Business 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 July 12 th meeting. The vote was unanimous, with T. Harryman and B. Smith absent. Motion by Commissioner Shepherd, second by Commissioner Spataro to approve the rezoning request for property located at 1024 Sophia Street. ROLL VOTE: Ayes: Warmington, Wierengo, Carter, Davis, Gawron, Shepherd, and Spataro Nays: None MOTION PASSES E. Water Plant Reliability Study. WATER FILTRATION SUMMARY OF REQUEST: To enter into contract with the engineering firm of Fishbeck, Thompson, Carr & Huber for performance of the Water Filtration Plant Reliability Study. FINANCIAL IMPACT: The professional proposal cost is $46,238. BUDGET ACTION REQUIRED: The study cost is to be paid by the capitol improvements section of the water fund. STAFF RECOMMENDATION: Staff recommends the Mayor and City Commission enter into contract with Fishbeck, Thompson, Carr & Huber for performance of the Water Filtration Plant Reliability Study at a cost of $46,238. Motion by Commissioner Davis, second by Commissioner Carter to approve the water plant reliability study contract with Fishbeck, Thompson, Carr & Huber. ROLL VOTE: Ayes: Shepherd, Spataro, Warmington, Wierengo, Carter, Davis, and Gawron Nays: None MOTION PASSES J. Well Installation. CEMETERY SUMMARY OF REQUEST: Authorize staff to enter into an agreement with Brass- Mar Water Wells Inc. out of 13427 Fruit Ridge, Kent City, since they were the lowest responsible bidder with a bid price of $25,043. FINANCIAL IMPACT: Cost of drill/installing one well of $25,043. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Authorize staff to enter into an agreement with Brass- Mar Water Wells Inc. Motion by Commissioner Davis, second by Vice Mayor Gawron to approve the agreement with Brass-Mar Water Wells for the well installation. ROLL VOTE: Ayes: Davis, Gawron, Shepherd, Spataro, Warmington, Wierengo, and Carter Nays: None MOTION PASSES L. Service Agreement with Muskegon Heights. PUBLIC WORKS SUMMARY OF REQUEST: Authorize the Mayor and Clerk to sign the agreement with Muskegon Heights to maintain their fleet. FINANCIAL IMPACT: Potential revenue of $20,000 to $30,000. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Approve the service agreement with Muskegon Heights and authorize the Mayor and Clerk to sign the agreement. Motion by Commissioner Spataro, second by Commissioner Carter to approve the service agreement with Muskegon Heights. ROLL VOTE: Ayes: Wierengo, Carter, Davis, Gawron, Shepherd, Spataro, and Warmington Nays: None MOTION PASSES M. Transfer Ownership of Sanitary Sewer. PUBLIC WORKS SUMMARY OF REQUEST: For many years the City of Muskegon has owned and maintained a sanitary sewer that is a collection sewer for three cities. This sewer line was most likely overlooked when local lines were turned over to the County of Muskegon during the original Wastewater Project. This line is used by both the City of Norton Shores and the City of Roosevelt Park and no interagency agreement for joint maintenance was ever executed. FINANCIAL IMPACT: The potential of future maintenance expense will now be shared by all users rather than just the City of Muskegon. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Recommend that the City of Muskegon transfer ownership of this collection sanitary sewer to the Muskegon County Wastewater System. Motion by Commissioner Davis, second by Commissioner Carter to approve the transfer of ownership of the sanitary sewer to the County of Muskegon. ROLL VOTE: Ayes: Spataro, Warmington, Wierengo, Carter, Davis, Gawron, and Shepherd Nays: None MOTION PASSES 2007-62 PUBLIC HEARINGS: A. Request for an Industrial Facilities Exemption Certificate - ADAC Plastics. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: Pursuant to Public Act 198 of 1974, as amended, ADAC Plastics, 1801 E. Keating Avenue, has requested the issuance of an Industrial Facilities Exemption Certificate for the property located at 1801 E. Keating, Muskegon. The total capital investment is approximately $500,000 in personal property and $2,775,000 in real property. This request qualifies ADAC Plastics for a term of twelve years for real property and six 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 twelve years for real property and six years for personal property. In addition, the City's Affirmative Action Director met with ADAC staff to discuss their affirmative action plan on Friday, July 20. The Public Hearing opened to hear and consider any comments from the public. Leland Davis, 1148 Terrace Manor, commented. Motion by Commissioner Carter, second by Commissioner Shepherd to close the Public Hearing and approve the request for an Industrial Facilities Exemption Certificate for ADAC Plastics. ROLL VOTE: Ayes: Gawron, Shepherd, Spataro, Warmington, Wierengo, Carter, and Davis Nays: None MOTION PASSES 2007-63 NEW BUSINESS: A. Extension of Time Period for Existing Renaissance Zone Parcels. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: Last year, PA 440 (HB 5942) amended the Michigan Renaissance Zone Act (PA 376 of 1996) to allow for the extension of time for one or more portions of existing Renaissance subzones. In order for any extensions to be approved by the State, the local municipality must first grant approval. In addition, the development must be new to the zone and it must be shown that the existing renaissance zone has not experienced significant development. Staff if aware of a few projects that will be seeking Renaissance Zone extensions. Therefore, City Commission is asked to approve the Policy for "Extension of Time Period for Existing Renaissance Zone Parcels". Any and all requests for individual extensions will require an Agreement between the property owner/developer and the City, and will be presented to the City Commission for approval. FINANCIAL IMPACT: None at this time, but approval of the Policy should generate additional development within the Muskegon Renaissance Zones. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: To approve the Policy. Motion by Commissioner Spataro, second by Vice Mayor Gawron to approve the policy for extension of time period for existing Renaissance Zone parcels. ROLL VOTE: Ayes: Carter, Davis, Gawron, Shepherd, Spataro, Warmington, and Wierengo Nays: None MOTION PASSES B. Request to Purchase Office Furniture. PUBLIC SAFETY SUMMARY OF REQUEST: Fire Department staff is requesting approval by the Commission to allow for the procurement of office furniture for the new Central Fire Station. The low bid, which meets all stated specifications, was submitted by Lakeshore Office Furniture, 2615 Temple Street, Muskegon, Ml 49444. The bid price submitted by Lakeshore is $6,504.20. FINANCIAL IMPACT: Funds for this purchase are provided for in the building fund for the new Central Fire Station. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Approval. Motion by Commissioner Spataro, second by Commissioner Wierengo to approve the request to purchase office furniture for the new Central Fire Station. ROLL VOTE: Ayes: Warmington, Wierengo, Carter, Davis, Gawron, Shepherd, and Spataro Nays: None MOTION PASSES PUBLIC PARTICIPATION: Various comments were heard from the public. 2007-64 CLOSED SESSION: Three items - property acquisition and discuss attorney client privilege. Motion by Commissioner Carter, second by Commissioner Spataro to go into three separate Closed Sessions to discuss property acquisition and attorney client privilege. ROLL VOTE: Ayes: Shepherd, Spataro, Warmington, Wierengo, Carter, Davis, and Gawron Nays: None MOTION PASSES Motion by Vice Mayor Gawron, second by Commissioner Shepherd to come out of Closed Session. ROLL VOTE: Ayes: Davis, Gawron, Shepherd, Spataro, Warmington, Wierengo, and Carter Nays: None MOTION PASSES ADJOURNMENT: The City Commission Meeting adjourned at 8:10 p.m. Respectfully submitted, Ann Marie Becker, MMC City Clerk Commission Meeting Date: July 24, 2007 Date: July 13, 2007 To: Honorable Mayor and City Commissioners From: Planning & Economic Development ciJc RE: Amendment to the Zoning Ordinance - Clarify "horizontal plane" SUMMARY OF REQUEST: Request to amend Section 2331 (Landscaping, Fencing, Walls, Screens, and Lighting, #20, d) of Article XXIII (General Provisions) clarifying the "horizontal plane" ofa light fixture .. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Staff recommends amendment of the Zoning Ordinance to amend the language regarding horizontal plane. COMMITTEE RECOMMENDATION: The Planning Commission recommended approval of the request at their 7/12 meeting. The vote was unanimous with T. Harryman and B. Smith absent. 7/13/2007 1 Staff Report (EXCERPT) CITY OF MUSKEGON PLANNING COMMISSION REGULAR MEETING July 12, 2007 Hearing: Case 2007-17: Staff initiated request to amend Section 2331 (Landscaping, Fencing, Walls, Screens, and lighting, #20, d) of Section XXIII, clarifying the location of the "horizontal plane". BACKGROUND The Zoning Ordinance requirements for outdoor lighting were amended in 1998. At that time the present requirement for 100% cut-off lighting was put into place. The reasons behind this requirement were two fold. It is best to keep the light concentrated in the areas where it is needed for safety reasons, and also to protect the environment in several ways. Keeping outdoor lighting directed downward helps eliminate sky glow, light trespass, glare, clutter and confusion, energy waste and financial waste. Recently, a variance was obtained to this section of the ordinance to allow lights shining up into the sky to wash the wall of an office building on our lakeshore. One of the arguments made by the applicant was that our zoning ordinance didn't designate where the "horizontal plane" was, and the applicant interpreted it to be the top of the building. In order to further tighten this language so it meets the intent under which it was written into the ordinance, staff recommends the following addition: NEW LANGUAGE Deletions arc crossed 01c1t and additions are in bold: d. Lighting fixtures shall be a down-type having one hundred percent (100%) cut off. The light rays may not be emitted by the installed fixture at angles above the horizontal plane passing through the lowest point on the light fixture from which the light is omitted, as certified by the manufacturer's photometric test. DELIBERATION I move that the amendment to Section 2331(Landscaping, Fencing, Walls, Screens, and Lighting, #20, d), of Article XXIII, General Provisions, of the City of Muskegon Zoning Ordinance, be recommended to the City Commission for (approval/denial). 2 CITY OF MUSKEGON MUSKEGON COUNTY, MICHJGAN ORDINANCE NO. 2232 An ordinance to amend Section 2331 {Landscaping, Fencing, Walls, Screens, and Lighting, #20, d) of Article XXIII (General Provisions) clarifying the horizontal plane of a light fixture. THE CITY CO!v!MISSION OF THE CITY OF MUSKEGON HEREBY ORDAINS: Section 2331 (Landscaping, Fencing, Walls, Screens, and Lighting, #20, d) of Article XXIII (General Provisions) is amended clarifying "horizontal plane", as follows: Changes to Section2331, (#20, d): General Provisions d. Lighting fixtures shall be a down-type having one hundred percent ( 100%) cut off. The light rays may not be emitted by the installed fixture at angles above the horizontal plane passing through the lowest point on the light fixture from which the light is emitted, as certified by the manufacturer's photometric test. This ordinance adopted: Ayes: Gawron, Shepherd, Spataro, Warmington, Wierengo, Carter, and Davis Nayes: None Adoption Date: July 24, 2007 Effective Date: August 9, 2007 First Reading: July 24, 2007 Second Reading: N/A CITY OF MUSKEGON By:\&, '\.A;\\\( ,\ /\ 1,, (11LJL L Ann Marie Becker, MMC, City Clerk Commission Meeting Date: July 24, 2007 · Zoning Ordinance Amendment-Horizontal plane CERTIFICATE The undersigned, being the duly qualified clerk of the City of Muskegon, Muskegon County, Michigan, does hereby certify that the foregoing is a true and complete copy of an ordinance adopted by the City Commission of the City of Muskegon, at a regular meeting of the City Commission on the 24th day of July, 2007, at which meeting a quorum was present and remained throughout, and that the original of said ordinance is on file in the records of the City of Muskegon. I further certify that the meeting was conducted and public notice was given pursuant to and in full compliance with Act No. 267, Public Acts of Michigan of 1976, as amended, and that minutes were kept and will be or have been made available as required thereby. DA TED: July 24, 2007. 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 July 24, 2007, the City Commission of the City of Muskegon adopted an ordinance to amend Section 2331 (Landscaping, Fences, Walls, Screens, and Lighting, #20, d) of Article XXIII (General Provisions) clarifying "horizontal plane". 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 __,,'--'Ji,-«41-l#~____._3.,_,,_,o'-------'' 2007. CITY OF MUSKEGON By _ _ _ _ _ _ _ _ _ _ _ __ Ann Marie Becker, MMC City Clerk PUBLISH ONCE WITHIN TEN (10) DAYS OF FlNAL PASSAGE. Account No. 101-80400-5354 5 Commission Meeting Date: July 24, 2007 Date: July 17, 2007 To: Honorable Mayor & City Commission From: Community and Neighborhood Services Department RE: Urban Renewal Plan Project R-134 SUMMARY OF REQUEST: To request Commission to instruct Wilmern Griffin, City of Muskegon Community and Neighborhood Services Director, to sign the following affidavit that to the best of his knowledge the U.S. Department of Housing and Urban Renewal has signed off on the Urban Renewal Plan Project R-134. Therefore, the redevelopment of the downtown site can continue without any title issues. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None AFFIDAVIT OF WILLMERN GRIFFIN STATE OF MICHIGAN - ~ - - _ _CQUl'ITY_DF MUSKEGON _____ ~- ___ _ Willmem Griffin, being duly sworn, swears and confirms the following: I. I am the Director of Community and Neighborhood Services for the City of Muskegon. 2. I am familiar with the United States Department of Housing and Urban Development ("HUD") Urban Renewal Plan Project R-134 in downtown Muskegon, Michigan as described in the instrument recorded on January 28, 1969 at liber 910, page 542, Muskegon County Records (the "Plan"). 3. The City of Muskegon agrees with HUD that the Plan has been satisfied in accordance with the letter and attachments I received from Jeanette Harris, Director, Office of Community Planning and Development for HUD attached to this affi avit. Name: Willmem Griffi STATE OF MICHIGAN Date: July .JL 2007 COUNTY OF MUSKEGON The foregoing instrument was acknowledged before me on July :21___, 2007 by Willmem Griffin, an individual. ~ rJ/. c;l./a__~ /\II t>c~ ke..')oV\ Notary Public Muskegon County, Michiga/. My commission expires:0¼ 03 /DI/ Acting in Muskegon County, Michigan PREPARED BY AND WHEN RECORDED RETURN TO: ARDYCE G. HAKEN Chris Kelly NOTARY PUBLIC, MUSKEGON COUNTY, Ml Parmenter O'Toole MY COMMISSION EXPIRES APRIL 3, 2011 601 Terrace Street, Muskegon, Michigan 49440 (231) 722-5414 Commission Meeting Date: July 24, 2007 Date: July 17, 2007 To: Honorable Mayor & City Commission From: Community and Neighborhood Services Department RE: Lead Based Paint abatement at 218 Catherine SUMMARY OF REQUEST: To approve the contract with Specialty Builders of 2434 Annett~Muskegon, Michigan for the lead base paint abatement of the city-owned home at 218 Catherine for the cost of $21,750. (Twenty One Thousand Seven Fifty) The City received two additional bids: • DeRose Builders~f.7786-Wicz~r Driv~, Whitehall, Michigan, for $24,550 (Twenty Fot:1r_J)J9uE>and Fifty dollars) :, • Statewide Abatement of 1720 Creston Avenue Muskegon, Michigan for $27,800 (Twenty Seven Thousand Eight Hundred) After the lead base paint abatement is complete the structure will be totally rehabilitated and then sold to a qualified low to moderate-income homebuyer. FINANCIAL IMPACT: Cost of the abatement will be allocated from the 2007-2008 HOME budget. BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To approve Community and Neighborhood Services office to develop a contract with Specialty Builder of Muskegon, and direct Mayor and Clerk to sign the contract. COMMITTEE RECOMMENDATION: None 24-205-252-0006-10 218 CATHERINE AVE FRONT VIEW 08/06 Commission Meeting Date: July 24, 2007 Date: July 17, 2007 To: Honorable Mayor & City Commission From: Community and Neighborhood Services Department RE: Approval of Contractor for Rehabilitation of House at 218 Catherine. \,) , G, SUMMARY OF REQUEST: To approve the contract with J2 Development 109 West Laketon Muskegon, Michigan, for the completion of the rehabilitation to be located at 218 Catherine, fpr the cost of $52,511 (Fifty-two thousand five hundred eleven dollars). After the total rehabilitation is COIT\pleted the home will be sold to a qualified first-time homebuyer, continuing the City's aggressive neighborhood revitalization efforts in the Angel neighborhood area under the Operation: "A Place you call Home" The City received Five (5) additional bids: • DH Construction, of 3680 Ryerson Twin Lake, Michigan, for $54,003 (Fifty Four Thousand Three) • L~wis Johnson , of 16976 Bonita Court Grand Haven, Michigan, for $58,800 (Fifty Eight Thousand Eight hundred dollars) • Specialty Builders, 2434' Annett Avenue Muskegon, Michigan $63,207 (Sixty Three Thousand Two Hundred seven) • Obenauf DePender Construction LLC, of 4471 Thompkins Trail Muskegon Michigan, for $ 71,220 (Bhtty~eight thousand five..hundred seventy-eight dollars) .. • DeRose Builders 7786 Wiczer Drive White Hall, Michigan $78,552 ( Seventy Eight Thousand Five Hundred Fifty Two) FINANCIAL IMPACT: The funding for the project will be taken from the City's 2007-2008 HOME funds. BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To approve for the Community and Neighborhood Services office to develop a contract with J2 Development 109 W. Laketon and direct the Mayor and Clerk to sign the contract. COMMITTEE RECOMMENDATION: None needed. 24-205-252-0006-10 218 CATHERINE AVE FRONT VIEW 08/06 Commission Meeting Date: July 24, 2007 Date: July 17, 2007 To: Honorable Mayor & City Commission From: Community and Neighborhood Services Department RE: Approval of Contractor for Construction of new House at 539 Orchard SUMMARY OF REQUEST: To approve the contract with Murphy Brothers Construction 2519 McArthur Muskegon, Michigan. for the construction of the new home to be located at 539 Orchard for the cost of $110,994. After the construction is completed, the new home will be sold to a qualified first-time homebuyer continuing the City's aggressive neighborhood revitalization efforts in the Angell Neighborhood under the Operation "Community Uprising" The City received six other bids: De Rose Builder 7786 Wiczer Drive Whitehall, Ml $115,318 Beattie Brothers Builder2786 Holton Whitehall, Ml. $120,222.17 Specialty Builders 4753 Jensen Fruitport, Ml $131,043.65 Holden Costruction 601 Amity Muskegon, Ml $135,663 Lakeshore Construction 8253 S. 116th Rothbury, Ml $139,250 Rich Construction 28 E. Main Fremont, Ml $137,674.09 FINANCIAL IMPACT: The funding for the project will be taken from the City's 2007-2008 HOME funds. BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To approve for the CNS office to develop a contract with Murphy Brothers Construction and direct the Mayor and Clerk to sign the contract. COMMITTEE RECOMMENDATION: None needed. ,. i ···-··-·-·- . • , . • _ ¥.-e¥••---"-- - ----~-~~-m·....,----· . ·--;;;.~•;};-""'''!:Xt';''',!''iiii.ftti:..,,~11~r.ii~m: - . ' ~--.·~_: ' ¾....,, 0:-'lllHg 12'>: l!' - "11r ,.,,, t2·x we· D-m 1:1'2. • lf'II}' 0 - -..--wrl Date: 07/16/07 To: Honorable Mayor and City Commission From: Department of Public Works RE: Budgeted Meter Reading Equipment Replacement SUMMARY OF REQUEST: Approval to purchase two SSI AR 5000 Solid State Interrogators - Hand Held Meter Reading Units. Currently the City owns four hand held meter reading units. Two meter reading units are 14 years old and two units were replaced last year. This proposal is intended to replace the two 14 year old units. FINANCIAL IMPACT: Total Cost$ 9,200.00 BUDGET ACTION REQUIRED: None. Included in 2007 Budget. STAFF RECOMMENDATION: To approve purchase from Etna Supply. July 17,2007 Meter Reading Equipment Purchase Quote SSI AR 5002 Meter Reading Handhelds (2) ETNA SUPPLY $ 4,600 ea x 2 = $9,200.00 INVENSUS $ 5,800 ea x 2 = $11,600.00 Date: July 24, 2007 To: Honorable Mayor and City Commissioners From: Engineering RE: Request for an Encroachment Agreement-Lorin Industries SUMMARY OF REQUEST: Lorin Industries has filed the enclosed encroachment agreement form to install three (3) monitoring wells in the public right of way of Keating Ave. (see location map). FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To approve the encroachment agreement subjects to the supplemental conditions and compliance with the necessary insurance requirements. COMMITTEE RECOMMENDATION: JUN.21.2007 12:20PM SHIPPING N0.557 ,)/007- (o(n) City ofMuske!;on Groundwater Mo11itori11g Well Iustalla6on Application an<I Permit {En,:n:1ni;hme11t r~rrnil Agn,1c;nct'tl) PcmUt NumlM-T: DJ'.le is~ed: ! Pcw.i.tl Fee: I Olh~t: If "1111llrnnt t1i'N!~ Jl C{lnH~etor to nrrfoni, l\'OCk1JJ01'U 9h..'ill ru;.s:1m1c: rc:-no11!lil1iti1\'0ftl1c l'r:riuittcc for fhc 711v'15fotw nfthl~ Au 1llc.1tlon mul Per1nlt APPLICANT - Please Prin1 CONTRACTOR - Please Print No,n, Ndr:l'le Lori.It hldtl:-irieF Mark \Vestm Str,ect SU·ccl l 960 South Ro\Jerb 4J'.2S Tiwec Mifo Ro.id, N\V, Suite 200 Cl!y Cit}' Stille Zir, Mu!ikel.!mt Sl.:dc MlchiP_f.11 li11 49442 ()r:mtl R.·miJ~ Michil":in 4954-4-l 188 Phon? 231-727-V67S IFax m-12z.s794 ~\Ullt 616-791-7100 I rn.." 6IG-791-92GJ [>enmttee 11roposcs to m5Uil1, reprur. or mnmlam grr,undwnte.r mom1..oru1g well{$) ("the cncroocbment' 1), ,nor abutting a meet, alley, s1dewa.lk 1 park, terr.11::~: or oilier propert)1 controlled or ownc:d by tbc: Cll)1 orMU!lli.e:gon. m; c:1.e:;CTibcd bc:\ow (\'enuittcc ~buU atto.cb n 1ite map to sci\le which sltows coch nwnitatia,g wcll loc'l.ltlon): ·~Su·CGt Nt1-mc & AddT(5~/G~ne.ta.1 De::;cription (1.:-i;_a! dci;cription 1n;1y llo rc~ircd): Lo~!tlru1 (Cro~s s:ucl~ l11!1wcc~ which propcrtr i~ locaktl or neateM im:el'Sl!Ctio11): PJ'(ticct l)c1,.cripti01\.1Purposo; Gto\tnd \1.-'"!lh.tr monitnring ! Pmpo1<td Stan Date· M~v 31. Z007 1\1onflorim1/0l\1.en11tjoa \\1eU Informntton . -- i Dril~ns C01"pany (if different tllall Cont=wr): Pmpused Well Dcpili (ft.): Well name or#: Best LLC. 30 FE!oi 200. 2001, and 2002 Purpose of M"onitori~ Well lnsiallatio!I: ;:; Part 21 lnJJ Site X Pait 2U l 8ile lJ Port 111 Site C Phase TI P.SAi A6-l o BE.II n Othcr(sru>ciM Rick De-Dir PERi\1IT AGREE MF.NI: This pc.rm.it i:i made and. entered into 1')' rtnd bdwei:n the Chy of Mnsh:!gon, a municipal coiporntion (City), and the Pcrmittee. (indicated abo,•c). Thcrcl'c,re, 1.he City dws hereby gra.nl unto Pcn11ittcc the. prisile'Je of co11.StructLrig, iusta.Hing, main.Ul.irting, repairing, ao.d perlbnnlng all necessirry furlJ,;ti(.lflS rclati11g to tile monitoring well instullation (encroachment), 11I1d for Umt purpos:c to cnier the propl!lty, for the term herein stated, 'l1ris pcnnit shall be effective on the date shown abo\'C,. and shall not occur before the dcJi\.'et)' to the City Of the required evidence of msurnnce cOverage and bonding infor1n:1tio11, and onti1 after upproval of th.is permit by the Citr Conunission. at '\Vhich t.irn.c tlw pcnnit shall bc.:.(lmc dfcctive, The nU11chcd Penn it Requirements & CnJ1.ditiot\S nrc incurpornted b~t-cin by reference an4 constUute at\ integral pa1't of this 1ermit. Titli:: pemiit is suhjecl to the follov.,ing spccia( condi~ions: ; Required Bond Amount: $_ _ _ _ _ _ • i WiLnesse~: cin#,o /271/4 --""'-'f<!:',-'-'t----'3'-="--'i'-'½.,.__,__"'--'-::c---· Mayor \?,,\..\(k~ CONTRACTOR:._ _~ - - - - - - - ~ SUPPLEMENTAL CONDITIONS 1- The grantee shall be fully responsible for the maintenance of the wells and any relocation that becomes necessary to facilitate other improvements within the right of way. 2- Grantee will be responsible to maintain and keep, for the duration of this agreement, a valid insurance coverage satisfactory to the City. 3- Insurance. The Contractor shall at all times carry insurance in the following or greater amounts. The insurance shall be issued by companies acceptable to the City, licensed in the State of Michigan. The City shall be named as additional insured on policies of liability insurance. The Permittee shall file certificates or policies evidencing such insurance coverage annually with the City. Insurance policies or certificates shall provide that the City be given thirty (30) days written notice before a cancellation or change in coverage may occur. Valid insurance coverage, acceptable to the City, shall be maintained until such time as the monitoring well is properly abandoned. ~ Lim its Workers' Compensation Statutory Professional Errors and Omissions $1,000,000/claim, $1,000,000/aggregate Liability (including pollution liability coverage) Commercial General Liability $1,000,000/occurrence, $1,000,000/aggregate (including blanket contractual liability coverage) Automotive Liability $500,000/person Bodily Injury $500,000/occurrence 4. Indemnification. The Permittee shall indemnify and hold harmless the City of and from any liability for claims, damages, costs, expenses, or fees, including any attorney fees, or fines or awards brought against or charged to the City by any person, firm, or corporation on account of or arising from the privilege hereby granted to the Permittee or the activities of the Permittee related to the installation, maintenance, repair, or abandonment of monitoring wells. This indemnification obligation shall include all liabilities for environmental damage or releases of hazardous substances subject to any governmental or third party action. "Hazardous substance" is defined as any chemical, substance or material constituting a prohibited or regulated substance under governmental law, rule, statute, or regulations in force at any time, or any substance with respect to which any present or future federal, state, or local environmental law or governmental agency requires environmental investigation, monitoring or remediation. '- (..,_1_\· t._:, i;:_ c-.: l.\ . ._ ,.,. ( \'\ i.. .(_:~. - "" \_·•~.:t l _j ,-- - <' - ··- _) ,) l_; ,I LE0END ~ E.-.:!ST". HONiTOR VIELL Loc..:,nol-! 1'1.;- " F'ROPQSE"D MON.I TOR vc:...L LC-:,A.1 ION ~ 8c % ~ cc w ~ I I ··----- ---- ·-- ---i-·- RCW. t ---- ----,-1---· ---t------ -·· ·- --------- .-- -- ----- --- l'>fJ' 3,:5' 15· -- ·-·- ' - - - - --- KE-A-TfNG-MIE'NUE--· 1 r,5:w·- ~ ~ "<> -----;rli.""w --- -···- "" - - - - ,wa----:--------~ DRAFT COPY 51TE PLAN PROPOSED P!EZOHETER HELL LOCATIONS sc~u:- 1- "' so· · 11!1 !:'?W ROSE & WESTR/1 INC. R:>0 ~[11i5 LOF<JN INDUS~ES s~r. Ml.'3-=:EC..:?N. H',C~IG•~~ 0:,},10J,'i]J ,<_,!I """' PlEZOl-'ETER WELL J1'6fAllAT!CN t,/~/()/ i1n: 11 _y.,.Jrw1us 1 ----------------------------------------------·-·--·-·- / • OOL o r 1 n LA SALLE BANK MIDWEST, N.A. TROY, MICHIGAN 48084 9·80-720 63118 Industries P.O. BOX 766 • MUSKEGON, Ml 49443-0766 DATE AMOUNT 150 Dollars and 00 Cents********************************************"*********** 09/05/2007 $150.00 PAY TO THE CITY OF MUSKEGON i ORDER OF LORIN INDUSTRIES I 1 u•ob :11• 1a11• 1:0? 2oooao s,: LORIN INDUSTRIES P.O. BOX 766 MUSKEGON, MICHIGAN 49~is0766 CITY OF MUSKEGON Inv Date Invoice# Voucher# Voucher Comments Gross Discount Backup W/H Net 08/31/2007 ENCROACHMENT 94767 ENCROACHMENT 150.00 0.00 0.00 150.00 Total Check Amount $150.00 $0.00 $0.00 $150.00 LORIN INDUSTRIES P.O. BOX 766 MUSKEGON, MICHIGAN 49443-0766 • LA SALLE BANK MIDWEST, N.A, • ooL or1n 2600 W. BIG BEAVER ROAD TROY, MICHIGAN 48007-33703 62525 Industries P.O. BOX 766 • MUSKEGON, Ml 49443-0766 9-80-720 DATE AMOUNT PAY 100 Dollars and 00 Cents******************************************************** 06/21/2007 $100.00 TO THE ORDER CITY OF MUSKEGON OF LORIN INDUSTRIES 11•0b 2 5 2 5111 1:0 7 200080 51: LORIN INDUSTRIES P.O. BOX 766 MUSKEGON, MICHl~N 494_Mt,CJ766 CITY OF MUSKEGON Inv Date Invoice# Voucher# Voucher Comments Gross Discount Backup W/H Net 06/21/2007 ENGINEERING 93463 ATTN:EVELYN 100.00 0.00 0.00 100.00 Total Check Amount $100.00 $0.00 $0.00 $100.00 LORIN INDUSTRIES P.O. BOX 766 MUSKEGON, MICHIGAN 49443-0766 RECEIVED CITY OF MUSKEGON • JUN 2 6 2007 ENGINEERING DEPARTMENT Date: July 24, 2007 To: Honorable Mayor and City Commissioners From: Engineering RE: Request for Encroachment Agreement on Third St. SUMMARY OF REQUEST: Muskegon Main Street has requested your permission to place three (3) open bottom planters along Third St. The planters will be filled with grade 6A gravel topped with landscape fabric, soil, and perennial flowers. Muskegon Main Street and the businesses along the Third St. corridor will jointly maintain the planters FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To approve the encroachment agreement with the supplemental conditions. COMMITTEE RECOMMENDATION: .2.001-to{o) CITY OF MUSKEGON ENCROACHMENT AGREEMENT AND PERMIT THIS AGREEMENT is made and entered into this cJYM day of J;,, /y 17 2007, by and between the CITY OF MUSKEGON, a municipal corporation (hereinafter called CITY), and _ __,_\j--'-'~•c.cc,~(Lc9 1~0"'~~~-\=Gt,_h,.__$1~~r_t=t_(-_,____ (hereinafter called LICENSEE). RECITALS I. LICENSEE proposes to install, repair or maintain improvements or facilities ("the encroachment"), in or abutting a street, alley, sidewalk, park, terrace or other property controlled or owned by the City of Muskegon, the encroachment being described as 2, The City-owned or controlled property (herein "property") subject to the encroachment is described as: [please insert a general description, and ifrequired by the CITY, an accurate legal description] So~~b o+ \h1'~ St bc}w<-c" ~o~>&6'1 3, The CITY is willing to grant such privilege upon the terms and conditions herein, This agreement shall constitute a permit under section 18-19 of the Code of Ordinances, but shall apply to any encroachment on public ways or property. THEREFORE, L CITY does hereby grant unto LICENSEE the privilege of _ _ _ constructing, --A-- installing, -----ff'--'-- maintaining, )( · • repairing and performing all necessary functions relating to the encroachment, and for that purpose to enter the property, for the term herein stated, I \\Muskdata\Data\ENGINEERING\COMMON\PERMIT FORMS\Encroachment Agreement and Permil.doc This privilege shall be effective upon the issuance of an encroachment permit, which shall be issued only after approval of this agreement by the City Commission and delivery to the CITY of the required evidence of insurance coverages. This grant is subject to the following special conditions: -~s.,.,,e'-"e,"'----_,a"-'-t,_f,,a_,c"'h-'-'e::..:rf=--- 2. That LICENSEE shall pay to the CITY for the privilege hereby granted the sum of _ _ _ _ _ _ _ _ _ _ _ _ Dollars ($ _ _ _ __,, such payment to be made upon the signing of this agreement to be dated as of the _ _ day of _ _ _ _ _ _ _ _ 20_, to the City Treasurer of the City of Muskegon, and the privilege hereby granted shall continue for a period to terminate the first day of May, 2Q_____ unless sooner terminated as hereinafter provided. 3. INDEMNIFICATION. The LICENSEE shall indemnify and save harmless said GRANTOR of and from any liability for claims, damages, costs, expenses, or fees, including any attorney fees, or fines or awards brought against or charged to the CITY by any person, firm or corporation on account of or arising from the privilege hereby granted to LICENSEE or the activities of the LICENSEE related to the encroachment or this privilege. This indemnification obligation shall include all liabilities for environmental damage or releases of hazardous substances subject to any governmental or third party action. "Hazardous substance" is defined as any material constituting a prohibited or regulated substance under governmental law, rule, statute or regulation in force at any time, including future times. 4. INSURANCE. LICENSEE shall at all times carry liability insurance in such amounts as are satisfactory to CITY, and issued by companies acceptable to the CITY, licensed in the State of Michigan, naming CITY OF MUSKEGON as an additional insured on any such policy. LICENSEE will file with 2 \\Muskdata\Data\ENGINEERING\COMMON\PERMIT FORMS\Encroachment Agreement and Pennit.doc the CITY certificates or policies evidencing such insurance coverage. The insurance policies or certificates shall provide that the CITY shall be given thirty days written notice before a cancellation or change in coverage may occur. The types of coverage and coverage limits to be required shall be as follows: 5. BONDING. Before this agreement/permit becomes valid, LICENSEE shall file with the CITY a bond conforming with the requirements of any ordinance, and shall keep same in force during the entire term of this agreement. 6. The privilege hereby granted may be canceled and revoked by the CITY at any time upon giving said LICENSEE __ days of written notice of such cancellation and revocation. 7. LICENSEE may surrender up the privilege hereby granted at any time upon giving notice in writing to the CITY - - - days prior to such surrender; provided, however, that upon the voluntary relinquishment or abandonment of this privilege, or upon cancellation or revocation thereof by the CITY, the LICENSEE shall remove any structure(s) erected upon, within or overhanging the area of encroachment and restore the property at LICENSEE'S expense and in a manner satisfactory to the CITY and in default thereof shall be liable to the CITY for any cost, damage or expense the CITY may sustain in such restoration. 8. That should said LICENSEE fail or refuse to conform to any of the conditions on its part to be performed hereunder, the privilege hereby granted shall immediately terminate and become null and void. 3 \\Muskdata\Data\ENGfNEERING\COMMON\PERMIT FORMS\Encroachment Agreement and Pennit.doc 9. This agreement shall be binding upon the respective heirs, representatives, successors and assigns of the parties hereto. Witnesses: An~1:v~,.:'---\\'-l\.,I__J~-1 ~CL''lJ..,A_ Ann f}Jar,e, i5eGA:.r. Clerk L.IC·····.E.J!'~ / % . ; 4 ~ M,,s/<,,10"- )1a1._ ~Jr,-c} 4 \\Muskdata\Data\ENGINEERING\COMMON\PERMIT FORMS\Encroachmcnt Agreement and Pennit.doc SUPPLEMENTAL CONDITIONS 1- The grantee shall be fully responsible for the maintenance of the planters and any removal or relocation that becomes necessary to facilitate other public improvement projects within said right of way (s). 2- Grantee will maintain, for the duration of this agreement, a valid insurance coverage of satisfactory to the City. 3- The City and/or its agents are not responsible for any damage to the planters. 4- The planters would be placed NO closer than two (2) feet from the back of the street's back of curb while maintaining a minimum of five (5) feet of clear pedestrian path in line with established sidewalk on Third St.. - ·· - ··-··-··- ·· -· · - ·· - ··- ··- ·· - ·· -· ·-· · - · ~ MUSKEGON MAIN STREET - •·__ _ • e - • • - • • - • •- 900 T hird S t . Mus k e gon, Ml 49440 23 I .724 .3 1 80 • • - • • . - I • - •• - • • - • • - • • - • • - • • - 1 May 25, 2007 City of Muskegon 933 Te1rnce St Muskegon,MI49440 To whom it may concern: Muskegon Main Street desires to enter into an encroachment agreement with the City of Muskegon and payment of the $100 processing fee is enclosed. The plan is to install 3 open bottom planters at the locations indicated on the attached map. The planters will be filled 2/3 with grade 6A gravel, which will be topped with landscape fabric. Soil will then fill the top third and the planters will be planted with perennials and annuals. The planters will be maintained jointly by Muskegon Main Street and the businesses which they are located in front of. We truly hope this plan to beautify the Third St corridor will be accepted by the City of Muskegon. Sincerely, Dan Rinsema-Sybenga Muskegon Main Street Manager drinsema-sybenga@muskegon.org Direct Extension - 724-3180 http://downtownmuskegon.org - • • - •• - •• - •• - •• - •• - • • - • • - • • - •• - •• - • • - • • - I 4512 COMMUNITY MUSKEGON AREA FIRST SHOREy8~NR 900 THIRD STREET, SUITE 200 MUSKEGON, Ml 49440 74-13941724 PH. (230724-3179 5/25/2007 i PAY TO THE •~' ORDER OF City of Muskegon $ **100.00 • j One Hundred and 00/100***************************************************************************************************"' DOLLARS J City of Muskegon Cathy Brubaker-Clarke 933 Terrace Street P.O. Box 536 Muskegon, Ml 49443-0536 MEMO: Encroachment Agreement 11 1 0 0 I, S l, 211 1 1: 0 7 2 I, L :l 9 I, 21: l, 0 0 0 0 0 I, :l S l, 11• ( AGENDA ITEM No. - - - - MUSKEGON CITY COMMISSION - July 24, 2007 TO: Honora9le Mayor & City Commissioners FROM: Plannjhg Department C,ibG DATE: Julyf, 2007 SUBJECT: Approval of a Neighborhood Enterprise Zone Certificate SUMMARY OF REQUEST An application for a Neighborhood Enterprise Zone (NEZ) ce1tificate has been received from Kevin Eden to rehabilitate a home in the Nelson neighborhood at 372 W. Muskegon Avenue. The home is located in a Neighborhood Enterprise Zone. The application states that the estimated cost for rehabilitation will be $46,400. The addition of a new foundation (complete basement), new front porch with steps, new sidewalks (from the front and side doors to the sidewalk at the street; new rear porch steps, reconstruction of front porch brick columns and stone work, new concrete parking slab, ,and a new roof for the home, The applicant has met local and state requirements for the issuance of the NEZ certificate. Approval or denial by the City Commission is required within 60 days of the application date and must be forwarded to the State Tax Commission. FINANCIAL IMPACT Taxation will be 50% of the State average for the next 11 years. BUDGET ACTION REQUIRED None. STAFF RECOMMENDATION Approve issuance of the NEZ certificate. COMMITTEE RECOMMENDATION None. O:\Planning\COMMON\NEZ\J72 W Muskegon\Agenda Item.doc Resolution No. 2007-61 (b) MUSKEGON CITY COMMISSION RESOLUTION TO APPROVE THE ISSUANCE OF A NEIGHBORHOOD ENTERPISE ZONE CERTIFICATE WHEREAS, an application for a Neighborhood Enterprise Zone Certificate has been filed with the City Clerk by Kevin Eden to rehabilitate a home at 372 W. Muskegon Avenue in the Nelson neighborhood, and; WHEREAS, the applicant has satisfied both the local and state eligibility criteria for a Neighborhood Enterprise Zone Certificate; WHEREAS, the Neighborhood Enterprise Zone Certificate will be for 11 years; NOW, THEREFORE, BE IT RESOLVED that the application for a Neighborhood Enterprise Zone Ce11ificate for the rehabilitation of a home by Kevin Eden be approved. Adopted this, 24 th day of July, 2007. Ayes: Carter, Davis, Gawron, Shepherd, Spataro, Warmington, and Wierenga Nays: None Absent: None By: ~ I'\., . Q . . i( Attest.~,-.. \·"-\ '---\>./\A..,\ \;:V~-C\ A,..--, Ann Marie Becker, MMC City Clerk 2007-6l(b) CERTIFICATION 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 July 24, 2007. By~ ,"'J:\\ "-\.0\ ..1 /lis: .j"h_,, Ann Marie Becker, MMC City Clerk RECEIVED Michigan Department of Treasury 2704A (Rev. 3-07) Of MUSKEGON Application for Neig~1f!f'i~ise Zone Certificate Issued under authority of Public Act 147 of 1992, as amended. Instructions: Read the instructions before completing the application. This application must be filed prior to building permit issuance and start of construction. Initially file one original application (with legal description) and two additional copies of this form with the clerk of the local governmental unit {three complete sets). The additional documents to complete the application process will be required by the State of Michigan only after the original application is filed with the clerk of the local governmental unit (LGU). This form is also used to file a request for the transfer of an existing NEZ certificate. Please see the instruction sheet. /TO !:IE COMPLl:TED BY CLERK OF LOCAL GOVERNMENT UNIT LGU • Date received by LGU .· 007 ;Parf1: 'iOwiler/A lii:a11t Information ,c6hf lete all fields. • Applicant Name ✓• Amount of years requested for exemption 1 f-.e·}11J Q!I.. City of D Township of D Village of • Application is School District where facility is • School Code D New Rehabilitation D Transfer 1 co located //.1 t:f..,rJ_/( ,.vt <c,/o/ o ls the building owned or rented by the occupants? U'.Pe of Property 129.._ House D Duplex D Condo Owned D Rented D Loft D Apartment - No. of Units ame of LGU that established district Cit'- Estimated Project Cost (per unit) Licensed Contractor D Other $"4lo Describe the general nature and extent of the rehabilitation or new construction to be underta en. Include Breakdown of Investment Cost (use attachments if necessary) 0 . _L.-"il. \ ,.,_ \ ..:..)ee_ Q.:\.,uc vt eo Timetable for undertaking and completing the rehabilitation or construction of the facility. c:,,y,1.er ,vu.,;! :~,Ay'_,,c/~' Cit:. ,,;<*'f-'lc·l,,. bf .Ji," j · - ;yn~1 :part 2::CA licaritCertification I certify the information contained herein and in the attachments are true and that all are truly descriptive of the residential real property for which this application is being submitted. I certify I am familiar with the provisions of Public Act 147 of 1992, as amended, (MCL 207.771 to 207.787) and to the best of my knowledge, I have complied or will be able to comply with all of the requirements thereof which are prerequisite to the approval of the a !ication b the LGU and the issuance of Nei hborhood Enter rise Zone Certificate b the State Tax Commission. • Contact Na ~ Contact Telephone Number 1 ~,,'tl'l 2Z';I- &3 -. /CJZ'i Contact Fax Number Contact E-mail Address I c /.t-- {! Ac.c. cb,',-t,\ Owne~~plicant Name L Owner/Applicant Telephone Number f--t-v,rl ;;. ..[;,,. ;:?[51- Date • Owner/Applicant Mailing Address (Street No., City, State, ZIP Code) Owner/Applicant E-mail Address Le/!/. 2704A, Paae 2 ·,~l!i!.:}:;,'!-P9~!,::!3PYE~~l'll!;:t/:[l~~Jl9~?i.'.c;, ,, t ••.•.· · · · .., . /· . ,, . ·· . . ·. /< •.. LGU Clerk must comolete this s~ctloif 6efoi'J>·ijubmitting t,nhe State Tax Commission · Action taken by LGU: The State Tax Commission requires the following documents be filed for an administratively complete application: @ Abatement Approved for _iL Years (6-15) 0 1. Original Application D Abatement Approved for _ _ Years (11-17 historical credits) 0 2. Legal description of the real property with parcel code number D Denied (include Resolution Denying) 0 3. Resolution approving/denying application (include# of years) 0 4. REHABILITATION APPLICATIONS ONLY. Statement by lhe assessor showing the taxable value of the rehabilitated facility not including the land, for the tax year immediately preceding the effective date of the rehabilitation. • Date of Resolution Approving/Denying this application LGU Name Ju /y. c:? (, Joo 7 Part .~:·•.·!,O(::ALc:;pvERNMENT.cERTIFlPAtJON f\:Cti.••·••••··,.,?.•·c,,?c•x·.•··; . ••··•· · · · ·, tsu c1¢rk must coirioiete'itils sei:!ici'u lie'ti>re"s~bri,i!\1,io loili~siate·Jaic Cotiimisslon. I certify that l have reviewed this application for complete and accurate information and determined that the subject property is located within a qualified Neighborhood Enterprise Zone. I certify this application meets the requirements as outlined by Public Act 147 of 1992 and hereby request the State Tax Commission issue a Neiqhborhood Enterprise Zone Certificate. Print Clerk Name Clerk Telephone Number /11111 llhr1 C, (2:31) 7.2 y-t, 70.J_,, Clerk Fax Number Clerk E-mail Address (:231) C,l//1, 6ec/,e;·@ /Josf-man, or,z Clerk's Mailing Address {Street, City, State, ZIP Code) . 933 /CJ"l~Cict' 7,1us/feµo,, 7J1/ Date LGU mail original completed application and required documents to: State Tax Commission Michigan Department of Treasury P.O. Box 30471 Lansing, Ml 48909-7971 Note: Additional documentation will be required for the issuance of the certificate of exemption. These documents should be sent directly to the State of Michigan Q.!l!y after the original application is filed with the LGU clerk and approved by the LGU. See the instruction sheet attached. Any questions concerning the completion of this application should be directed to your LGU Clerk. ***Information herein deemed reliable but not guaranteed*** 06/11/2007 02:29 PM REAL ESTATE SUMMARY SHEET Parcel: 61-24-205-336-0009-00 Owner's Name: CITY OF MUSKEGON Property Address: 372 W MUSKEGON AVE MAP #: TlON Rl6W S 30 NE 1/4 Cur. Class : 707 Gov. Unit: 24 24.CITY OF MUSKEGON School: 61010 MUSKEGON SCHOOLS Prev. Class: 707 Neighborhood: Rll. Rll.04 NELSON RES Liber/Page: 00000000 Created: / / Split: / / Active Public Impr.: Paved Road, Storm Sewer, Sidewalk, Water, Sewer, Electric, Gas, Curb Topography: Level, Landscaped Legal Description: Mailing Address: CITY OF MUSKEGON PO BOX 536 REVISED PLAT OF 1903 933 TERRACE ST SLY 38,85 FT LOT 10 & MUSKEGON MI 49443 NLY 41.25 FT LOT 9 BLK 336 Physical Property Characteristics 2008 S.E.V.: Taxable: Lot Dimen: 2007 S.E.V.: Taxable: Acreage: 0.24 Zoning: H Land Value: 10,000 Frontage: 80,0 PRE: 0.000% Land Impr. Value: Average Depth: 132.0 {)Q15/Z:>£ £-)<f°E/l..5.E:5 /0'.Z: /'ePln Ebcn'5 J/t-o3F" <'""" l?t?U Au,,;/4 ),CJ/7 ( nUh:;j,1"5'; tf 1 (Pf(/l<J'tX/e',i ?vtr!l-5) / tbk,ttt,llfttr -$2's; d cJd /1/ .., /le1v 11rM I- ,d,:,,e?€'c/ fl,c J,,. # 3,odO . .- fi<?() ft?J/1 I' 61;o:5 #366 'l . ., , /!c:e,u /,,,,0:11 I -5//2, c',(,,,-21/K o,✓r,~i 5,c/c 5,,,?«,tr/K' $ 0 .s....,ccJ ,,., /!(«J rt'crr /J<Y/'c'h 6~5 JJ; I (J(j - ~Cb//~h"u C ht}-'? {}(f 4'cy'( l,,c:'c)/'cJ1 6/'l'r!K' c/4,,uv1_5 /s 7fl/le t(j(}r,i:.. J 101rAJo . - /1ecJ ?# ) (2'-Y, a✓,,c/Pk /ff?,/!{( 6/46 1 It;, G"CJ6 - !le'w ~(JI /,6 OoCJ / 1 - ~ ')LI f L--ilc,'~ L . Commission Meeting Date: July 24, 2007 Date: July 13, 2007 To: Honorable Mayor and City Commissioners From: Planning & Economic Development (!)30 RE: Rezoning request for property located at 1024 Sophia St. SUMMARY OF REQUEST: Request to rezone the property located at 1024 Sophia Street, from R-1, One Family Residential District to B-2, Convenience and Comparison Business 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 7/12 meeting. The vote was unanimous, with T. Harryman and B. Smith absent. O:\Planning\COMMON\Zoning\City Commission Items\rezone\Approve\2007 Approvals\! 024 Sophia.doc 1 CITY OF MUSKEGON MUSKEGON COUNTY, MICHIGAN ORDINANCE NO. 2 2 3 3 An ordinance to amend the zoning map of the City to provide for a zone change for certain properties from R-1 "One Family Residential" district to B-2 " Convenience and Comparison" 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 R-1, "One Family Residential" to B-2 "Convenience and Comparison Business": CITY OF MUSKEGON REVISED PLAT OF 1903 N 35.5 FT OF LOT 2 BLK 234 SBJT TO ESMNT INGRESS/EGRESS This ordinance adopted: Ayes: Warmington, Wierenga, Carter, Davis, Gawron, Shepherd, and Spataro Nayes: None Adoption Date: July 24, 2007 Effective Date: August 9, 2007 First Reading: July 24, 2007 Second Reading:--=-N'-'-/--"A::....__ _ _ _ _ _ _ __ CITY OF MUSKEGON By: ~A'hn\ '"Marie u:::n'\C,\ ~ 2. (,1_,\ ii ,,~ ,1 Becker, MMC City Clerk CERTIFICATE (Rezoning of 1024 Sophia Street R-1 to B-2) 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 th Muskegon, at a regular meeting of the City Commission on the 24 day of July, 2007, 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 e as required thereby. DATED: _ _ _J~u~l~Y~2_4_ _ , 2007. - (6 e 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 July 24, 2007, 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 R-1, "One Family Residential" to B-2 "Convenience and Comparison Business": CITY OF MUSKEGON REVISED PLAT OF 1903 N 35.5 FT OF LOT 2 BLK 234 SBJT TO ESMNT INGRESS/EGRESS 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 ~ili<--'4-{~~,,,_v_~3~0~_, 2007 CITY OF MUSKEGON By _ _ _ _ _ _ _ _ _ __ Ann Marie Becker, MMC City Clerk PUBLISH ONCE WITHIN TEN (10) DAYS OF FINAL PASSAGE. Account No. IO 1-80400-5354 O:\P!anning\COMMON\Zoning\City Commission Items\rezone\Approve\2007 Approva!s\1024 Sophia.doc 4 Staff Report [EXCERPT] CITY OF MUSKEGON PLANNING COMMISSION REGULAR MEETING July 12, 2007 Hearing; Case 2007-27: Request to rezone the property at 1024 Sophia Street, from R-1, One Family Residential, to B-2, Convenience and Comparison Business, by Eric Anderson, Apparelmaster-Muskegon, Inc. Applicant: Eric Anderson, Apparelmaster-Muskegon, Inc. Property Address/Location: 1024 Sophia Street Request: Rezone from R-1, One Family Residential District to B-2, Convenience and Comparison Business District Present Land Use: Residential Zoning: R-1, One Family Residential District STAFF OBSERVATIONS I. The site presently houses a single-family home on a lot that measures 35.5 x 135 feet (4,686 sq. ft total area). The property owner has entered into a purchase agreement with the applicant, contingent on the rezoning of the property. 2. The applicant is the owner of the Apparrelmaster-Muskegon shop, 341 E. Apple Avenue, located next door to the property under consideration for rezoning. This property is zoned B-2, Convenience and Comparison Business. 3. The property to the East is zoned B-2, to the South is zoned R-1, One Family Residential, and to the West is zoned B-4, General Business and is the location of Goodwill Industries. 4. The applicant is requesting the rezoning so he can expand the parking for his business onto the parcel at 1024 Sophia. He has several delivery trucks that at this time are parking across the street at Goodwill, with a special parking agreement. 5. The Master Land Use Plan indicates the property is located in the "Downtown/Lakeshore Redevelopment Area". Within that area, the property appears to be in the "Service Area". The Service Area is described as an area that "often acts as a gateway to the Downtown" and provides "a beneficial home for professional, government and commercial activities". 6. Staff has received no comments regarding this request. O:\Planning\COMMON\Zoning\City Commission ltems\rezone\Approve\2007 Approvals\1024 Sophia.doc 5 House located at I 024 Sophia Street. Side view of Apparrelmaster from Sophia. O:\Plann ing\COM MON\Zoning\City Commission ltems\rczone\Approve\2007 Approvals\ I024 Sophia.doc 6 Front view of Apparelmaster from across Apple Avenue. 0:\Planning\COMMON\Zon ing\City Commission ltems\rezonc\Approve\2007 Approvals\ I024 Sophia.doc 7 City of Muskegon Planning Commission Case# 2007 - 27 * u Se!ec1ed Property l Propertiesw/in 300 ft. r R-1 gSir'glafamilyResk!ential RT~ TI/\Ofam!yResldentlal B-2 ~ Convenience& C<Jmpariron ll!Jslooss B-4 ~ Oooen1I Business B-2 RT B-4 R.1 * IO] R·1 Fl I/IQ 1111I IIH STAFF RECOMMENDATION Staff recommends approval of the request to rezone the subject properties from R-1, One Family Residential to B-2, Convenience and Comparison Shopping district, because the request conforms to the goals and recommendation of the City's 1997 Master Plan. 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? O:\Planning\COMMON\Zoning\City Commission ltems\rezone\Approve\2007 Approvals\1024 Sophia.doc g 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? 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 stmctures 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 property located at 1024 Sophia Street from R-1, One Family Residential district to B-2, Convenience and Comparison Business 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 determination of ( compliance/lack of compliance) with the intent of the City Master Land Use and zoning district intent. O:\Planning\COMMON\Zoning\City Commission ltems\rezone\Approve\2007 Approvals\1024 Sophia.doc 9 Date: July 24, 2007 To: Honorable Mayor and City Commission From: Water Filtration RE: Water Plant Reliability Study SUMMARY OF REQUEST: To enter into contract with the engineering firm of Fishbeck, Thompson, Carr & Huber for performance of the Water Filtration Plant Reliability Study. . FINANCIAL IMPACT: The professional proposal cost is $46,238.00. BUDGET ACTION REQUIRED: The study cost is to be paid by the capitol improvements section of the water fund. STAFF RECOMMENDATION: Staff recommends the Mayor and City Commission enter into contract with Fishbeck, Thompson, Carr & Huber for performance of the Water Filtration Plant Reliability Study at a cost of $46,238.00. MEMORANDUM 7/17/07 TO: M. AL-SHATEL, DEPUTY DPW FROM: R. VENEKLASEN, WATER FILTRATION RE: WATER PLANT RELIABILITY STUDY BACKGROUND The USEPA and Michigan Department of Environmental Quality require the City to perform a reliability study of the water system every five years. This study is to identify assets and necessary to ensure the water supply is viable and capable of meeting the needs of the municipality and its customers. These studies also identify long-term capitol improvements projects to meet these obligations. The previous reliability study was performed in 2002 with many of the recommendations incorporated into the recent water plant improvements project that upgraded the plant and increased the treatment capacity to 40 million gallons per day. SELECTION PROCESS Requests for Qualifications were solicited from six engineering firms that have experience with studies, design, and operation of water treatment plants. Those firms solicited were: • Black & Veatch, Grand Rapids • Fishbeck, Thompson, Carr & Huber, Grand Rapids • Hubbell, Roth & Clark, Inc., Grand Rapids • Johnson & Anderson, Inc., Muskegon • Prein & Newhof, Grand Rapids • Tetra Tech, Lansing The qualifications were reviewed by City staff and two firms were selected to be solicited for cost proposals. Those firms are: Black & Veatch (B&V) and Fishbeck, Thompson, Carr & Huber (FTC&H). PROPOSALS Requests for Proposals, including cost, were solicited from the two firms to perform the reliability study of the water filtration plant. The request was based on three major requirements; 1) to meet the requirements of MDEQ for a water supply system, 2) development of planning recommendations for specific facility issues, 3) organizational evaluation to support long-term efficiency of operations and optimizations of resources and staffing. The results of the proposal request are: FIRM CONTACT COST Black & Veatch Mr. David Koch $88513.00 125 Ottawa Avenue, Suite 380 Grand Rapids, Ml 49503 Fishbeck, Thompson, Carr & Huber Mr. Michael Peters $46238.00 1515 Arboretum Drive, SE Mr. Timothy McNamara Grand Rapids, Ml 49546 RECOMMENDATION Based on the proposals received, it is my recommendation that the City enter into contract with Fishbeck, Thompson, Carr & Huber to perform the reliability study of the water filtration plant. City of Muskegon Water Filtration Plant 1900 Beach Street Muskegon, Ml 49441 REQUEST FOR PROPOSALS The City of Muskegon is seeking a consultant to perform engineering services for a Reliability Study at its Water Filtration Plant. Included is a request for Proposals for engineering services to meet the requirements of the Michigan Department of Environmental Quality (MDEQ) for the water supply system, develop a capitol improvements project plan, and an organizational evaluation. If you have any questions regarding this request please contact Robert Veneklasen at (231) 724-4104, or submit them in writing to the following address: City of Muskegon Water Filtration Plant 1900 Beach Street Muskegon, Ml 49441 or bob.veneklasen@postman.org Please have all questions submitted no later than June 12, 2007. In lieu of a pre-proposal meeting a listing of the submitted questions and answers will be provided one week prior to the proposal submittal date. If you are interested in providing engineering services a cost proposal is requested; to include any changes to the study participants as listed in the previously submitted qualifications statement of January, 2007. All cost proposals submitted pursuant to this request must be in the City Clerks Office prior to 2:00 PM EST on Tuesday, June 26, 2007. Please provide a minimum of three copies of all materials submitted for review and evaluation. City of Muskegon Water Supply Reliability Study Scope of Work Background The City of Muskegon is seeking costed proposals from pre-qualified consultants for the execution of a water supply reliability study project to assess the water supply system to meet the needs of its service area. For the purpose of this study, the water supply system consists of the source water intake and water filtration plant, through to the high service pumping system. Objectives Project objectives include: • Meeting the requirements of an MDEQ Reliability Study for the water supply system. • Development of planning recommendations for the specific facility issues identified herein. • Water Filtration Plant organizational evaluation to support long-term efficiency of operations and optimization of resources and staffing. Project Requirements Consultant's Scope of Work shall be developed to meet the objectives of the project and to result in the delivery of the end product as described further below. The Scope of Work shall be based on the following project requirements: Project Management Consultant shall provide monthly progress reports of project status, including notification of any critical issues affecting progress. Consultant shall attend meeting with City staff as appropriate for purposes of reviewing project activities, results, etc.; Scope of Work shall be based on up to four such general progress meetings throughout the course of the project. Existing System Data Availability and Collection The City will make available to the Consultant historical system operating data from the City of Muskegon SCADA system upon request. In addition, other relevant data, such as laboratory analyses, will be provided in paper and electronic format as available, and as required for the Consultant's work. Paper copies of recent reliability studies of the water supply system will be provided to the Consultant. Consultant shall include in its proposal a list of these and any other data required to execute the project. Any information necessary to perform the task and not available from the City will need to be collected by the Consultant. Reliability Evaluation The Consultant shall conduct a reliability study meeting the requirements of the Michigan SDWA and MDEQ requirements for the Muskegon water supply system. The reliability evaluation shall include, but not be limited to: • Ability of the supply system to meet projected system demands. Consultant shall develop system demand projections in support of the reliability evaluation. • Adequacy of Water Filtration Plant storage and pumping facilities, and major equipment systems, including capacity and condition. • Adequacy of treatment processes to meet current and known future regulations. • Adequacy of power reliability. • Identification and evaluation of emergency supply capabilities. Facility Evaluation and Planning In addition to, and building on, the overall reliability evaluation, Consultant shall develop a facility plan identifying recommendations for improvements and enhancements to the existing facilities to address the reliability issues, as well as addressing the following specific issues: • Pretreatment performance, including mixing efficiency, and potential for use of alternate coagulants. • Filtration performance (filter run times, efficiency of filtration in varying demand periods, air scout/backwash effectiveness, etc.) • CT requirements. • Filter to waste metering. • Carbon feed system. • Chemical feed cross-connection control. • Fluoride system overfeed protection • Residuals drying and handling. • Source water (intake) redundancy. Water Filtration Plant Organizational Evaluation Consultant shall review current state of the organization of the water filtration plant management and staffing and prepare recommendations for consideration to assure efficient operation, optimization of resources, and sustainability of resources. Focusing on: • Organizational structure and job responsibilities and compensation. • Best practices. • Staff retention/recruitment/succession planning. Deliverables The project shall culminate in the preparation and delivery of the following: • Reliability Study Report, including a summary of the efforts, evaluations, results, and recommendations for capitol improvements to be implemented within five years, five-to-ten years, and ten years and beyond. The report shall be compiled with an executive summary for ease of reference. Provide 8 copies of the report in paper form and six copies in compact disk format (CD). • The draft report shall be completed and all materials submitted ninety (120) days after contract award. Details To Be Identified • Services to be provided including any others that may be needed. • Project leader or contact person, and staff or sub-consultants to be used with related staff experience (not of that firm) including position or role on the project. • Cost estimate, including: o Projected man-hours by position for each task o Hourly rates for each position to identify direct labor costs for each task. o Indirect labor cost using your firms multiplier (as determined by most recent audit for a similar project) and subcontracts compiled in the same manner. o Fixed Fee (profit) and expenses anticipated to determine a cost "not to exceed" for services to be provided. Equal Opportunity Employment Consultant must submit their firms Equal Opportunity Employment (EOE) plan. Evaluation The owner will review the proposals and evaluate them based on the requested information and the information provided. The City reserves the right to accept or reject any, and all, proposals. Pertinent Dates Proposals will be received at the City Clerks Office, c/o Ann Marie Becker, City Clerk, City Hall, 933 Terrace Street, PO Box 36, Muskegon Ml, 49443-0536, on, or before, Tuesday, June 26, 2007, no later than 2:00 PM, and clearly marked, "Water Plant Reliability Study. Required Insurance The consultant, if selected, shall furnish the City a certificate of insurance evidencing the following coverages: The Consultant will be required to comply with the following insurance and indemnity requirements: 1. Hold Harmless Agreements: To the fullest extent permitted by law, CONSULTANT agrees to defend, pay in behalf of, indemnify, and hold harmless the CITY, its elected and appointed officials, employees, volunteers and others working on behalf of the CITY against any and all claims, demands, suits, or loss, including any 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 on behalf of the CITY, by reason of personal injury, including bodily injury and death, property damage, including loss of use thereof, and/or the effects of or release of toxic and/or hazardous material which arises out of or is in any way connected or associated with this contract. The obligation to defend and hold harmless extends to CONSULTANT'S employees, agents, subcontractors, assigns and successors. 2. Consultant Insurance Requirements: CONSUL TANT shall not commence work under this contract until obtaining the insurance required under this paragraph. All coverage shall be with insurance companies licensed and admitted to do business in the State of Michigan and Best Rated A VIII. All coverage shall be with insurance carriers acceptable to the CITY. 3. Workers' Compensation Insurance: The CONSUL TANT shall procure and maintain during the life of this contract, Workers' Compensation Insurance, including Employer's Liability coverage, in accordance with all applicable Statutes of the State of Michigan. 4. General Liability Insurance: The CONSUL TANT shall procure and maintain during the life of this contract, commercial General Liability Insurance on an "Occurrence Basis" with limits of liability not less than $500,000 per occurrence and/or aggregate combined single limit, Personal Injury, Bodily Injury and Property Damage. Coverage shall include the following extensions: (a) Contractual Liability; (b) Products and Completed Operations; (c) Independent Contractor's Coverage; (d) Broad Form General Liability Extensions or equivalent. 5. Motor Vehicle Liability: The CONSUL TANT shall procure and maintain during the life of this contract Motor Vehicle Liability Insurance, including Michigan no-fault coverage, with limits of liability of not less than $500,000 per occurrence or combined single limit Bodily Injury and Property Damage. Coverage shall include all owned vehicles, all non-owned vehicles and all hired vehicles. 6. Professional Liability Insurance: The CONSUL TANT shall procure and maintain during the life of this contract and during the performance of all services Professional Liability Insurance covering all performances from the beginning of the consultant's services on a "claims made basis" and shall maintain coverage from commencement of this contract until six (6) months following completion of the consultant's work with limits of liability not less than $500,000 per claim. 7. Additional Insured: Commercial General Liability and Motor Vehicle Liability Insurance, as described above, shall include an endorsement stating the following shall be "Additional Insured": The CITY OF MUSKEGON, all elected and appointed officials, all employees and volunteers, all boards, commissions and/or authorities and board members, including employees and volunteers thereof. 8. Cancellation Notice: Workers' Compensation Insurance, General Liability Insurance, Motor Vehicle Liability Insurance, and Professional Liability Insurance, as described above, shall include an endorsement stating the following: "It is understood and agreed that Thirty (30) Days Advance Written Notice of Cancellation, Non- Renewal, Reduction and/or Material Change shall be sent to: CITY OF MUSKEGON ENGINEERING DEPARTMENT. 9. Proof of Insurance Coverage: The CONSUL TANT shall provide the CITY at the time the contracts are returned by him for execution, certificates and policies as listed below: a. Two (2) copies of Certificate of Insurance for Workers' Compensation Insurance b. Two (2) copies of Certificate of Insurance for Commercial General Liability Insurance c. Two (2) copies of Certificate of Insurance for Vehicle Liability Insurance d. Two (2) copies of Certificate of Insurance for Professional Liability Insurance e. If so requested, certified copies of all policies mentioned above will be furnished. If any of the above coverage expires during the term of this contract, the CONSUL TANT shall deliver renewal certificates and/or policies to the CITY at least ten (10) days prior to the expiration date. CITY OF MUSKEGON CONSULTING ENGINEERING AGREEMENT WATER FILTRATION PLANT RELIABILITY STUDY PROJECT NAME THIS AGREEMENT, made and entered into as of this /7t1 day of ~u,;;z..·. 2007, A.D., by and between Fishbeck, Thompson, Carr & ~ Consulting Engineers, of 1515 Arboretum Drive SE, Grand Rapids, MI 49546, hereinafter referred to as the "CONSULTANT", And the City of Muskegon, a Public Body Corporation, hereinafter referred to as the CITY. WITNESS ETH: WHEREAS, the CITY desires to engage the professional services of the CONSULTANT to perform certain engineering and other related services required in connection with the project as defined by the Work Plan Outline referred to as the "PROJECT". WHEREAS, the CONSULTANT is willing to render the services desired by the CITY for the consideration hereinafter expressed; and WHEREAS, the parties hereto have reached an understanding regarding the performance of the PROJECT work and desire to set forth this understanding in the form of a written agreement. NOW THEREFORE, IT IS HEREBY AGREED by and between the parties hereto that: I. THE CONSULTANT SHALL, perform professional services in connection with the PROJECT as hereinafter stated. THE CONSULTANT SHALL, serve as the CITY'S Professional Representative in all of the Phases of the PROJECT, and will give consultation and advice to the CITY during the performance of his services as follows: WORK PLAN OUTLINE The work will consist of the following steps: Statement of Understanding 0 0 0 Background and Objectives The City of Muskegon owns, operates, and maintains a water treatment and delivery system that serves the City and four customer communities. The City wants to complete a water supply reliability study of the WTP, from the source water intake through the high service pumping system. The three major objectives are as follows: • Meet the requirements of the Michigan Department of Environmental Quality (MDEQ) for a reliability study. • Develop planning recommendations for specific facility issues as identified in the RFP. • Conduct an organizational evaluation of WTP operations and staffing to support long-term efficiency, and optimize resources and staffing. Project Requirements The City is requesting engineering proposals to meet the objectives identified above. Based on FTC&H's knowledge of the WTP, review of the previous reliability study and sanitary survey, and discussions with the WTP superintendent, evaluations of the following elements are believed to be essential to performing a meaningful study for the City's use in planning the water system's future: • The project management requirements include monthly progress reports and attendance at meetings with City staff. We anticipate there will be four general progress meetings during the course of the project. • Background information will be made available and utilized for the study. The information required includes historical flow data, laboratory data, WTP drawings and specifications, and previous studies and reports. • Accurate water use projections will serve as the basis for planning and implementing water system improvements - they are extremely important for planning purposes. Consequently, a methodology for determining future water demands must be implemented that can be updated easily and frequently. The methodology should incorporate more than one approach so comparisons can be made. • Once demands have been identified, the supply system's ability to meet those demands will be evaluated. This will include an evaluation of all major unit processes, including the intake, low-lift pumping, flocculation and sedimentation, filtration, high- service pumping, and WTP storage. A structural and mechanical inspection of the 1937 reservoir will be conducted as a part of these evaluations. • Water quality data will be examined relative to meeting current and anticipated regulations. Parameters of particular interest include turbidity, halo-acetic acids, and trihalomethanes. Operational modifications to enhance treatment performance will be considered. • Power supplies for the WTP will be evaluated relative to their capability to meet normal and emergency demands. We understand the WTP has a secondary power frc&h Statement of Understanding page 2 000 feed and a generator with automatic switchover. Use of the secondary power feed as a full standby power source (i.e. sufficient to provide 40-million gallons per day [MGD] capacity) may have cost ramifications due to the power company costs for maintaining it in full standby service mode. It is also noted that the reported capacities of the standby power water production capabilities appear to be projections that may not have been analyzed in any detail or fully tested. A detailed analysis of the WTP's power systems is needed to define the water production capacities while running off the secondary power source and while running off the generator source. These capacities can then be compared to the projected demands to determine the standby power system's sufficiency. • Emergency supply capabilities will be examined. Interconnects with other systems also provide some redundant water supply capabilities. The need for additional sources will be considered. • A pretreatment system performance evaluation will be made. Currently the WTP optimizes physical and chemical pretreatment, with the goal of enhancing settled water quality. Alternative chemicals, such as polyaluminum chlorides, will be considered for their effectiveness relative to turbidity reduction, color, taste and odor, and organic precursors; their cost effectiveness; and the impacts on sludge production and dewatering. Mixing power input, which can be varied, will also be considered. • The filters are currently backwashed at a run time not exceeding 200 hours, and the backwash wastewater is recycled. The concept of increasing the run time to increase water production and power efficiencies will be evaluated. If it is deemed desirable, a testing protocol, which will likely utilize particle counters, will be developed. Filter to waste operations are also performed. The purpose of and need for adding flow meters to the filter to waste will be evaluated. • The disinfection concentration time (CT} requirements are met for a capacity of up to 28.5 MGD, but would not be met at the WTP capacity of 40 MGD. Baffling of the finished water storage tanks will increase CT by reducing short circuiting of the flows within the reservoirs. • A chemical feed system evaluation will be conducted. The carbon feed system will be evaluated for any needed improvements. Corrections to eliminate a cross connection at the chlorine feed system (to separate raw water from finished water) and to provide a secondary overfeed protection for the fluoride system will be evaluated. • The WTP residuals are currently dewatered in sludge drying beds. Although the beds have underdrains, they are not being used and the water is allowed to percolate through the soils. The sludge does not dewater as well as was hoped. Changes to the operations will be evaluated relative to the effectiveness of the dewatering operations. The impacts on sludge dewatering with changes to coagulants will also be considered as described above. • A single intake is utilized for the raw water supply. The need for a second intake will be examined. f1c&h Statement of Understanding page 3 000 • An organizational evaluation is desired that focuses on the recommendations for efficient operations and the optimization and sustainability of resources. The evaluation will consider organizational structure; position responsibilities; compensation; best practices; and staff retention, recruitment, and succession planning. • Project deliverables include a report that summarizes the evaluations and provides prioritized recommendations for capital improvements. The report will be submitted in the form of eight hard copies and six compact discs (CDs). A draft copy of the report will be submitted within 90 days after the contract award. Allowing for 15 days of review by the City, the final version will be submitted within 120 days after contract award. FTC&H, and our sub-consultant EMA, understand the scope of work, are prepared to provide the City the highest level of service, and will deliver a reliability study report that will be of significant use to the City of Muskegon. fICWl Project Approach - Water Treatment Plant 0 0 0 Reliability Study Introduction In October 2002, a reliability study of the City's water system was completed. Subsequently, the WTP underwent design improvements and the expansion was completed in 2005. The MDEQ completed a sanitary survey of the WTP and distribution system in June 2006. The sanitary survey identified several areas of concern that have been included in the project requirements of the reliability study. Our statement of understanding defines the project's components. The following section presents the approaches and methods that will be used to accomplish the work. They have been broken up into two basic elements - Plant Reliability and Plant Organizational Evaluation. Plant Reliability Project Kickoff A kickoff meeting will be held to introduce the project team and discuss the project elements. FTC&H's team will consist of a project manager, water treatment process engineers, a structural engineer and an electrical engineer. FTC&H's subconsultant will not be physically present at the kickoff meeting, but will be introduced at a subsequent meeting. During the kickoff meeting, the project elements will be discussed, and a tour of the facilities will be conducted. A list of desired information will be developed. Flow Projections Historical water use trends will be used as one indication of potential future use. Trends and projections for population and percentage served for the various communities will also be examined. From this information, projections will be made for future average day, maximum day, and peak hour demands. Although State rules require only a 10-year projection, our analysis will be based on a period of at least 20 years. The methodologies used will be similar to those used in the October 2002 Reliability Study Update, taking into account the potential for new service areas in addition to expansion within existing service areas. It is anticipated the City will review and concur with the developed flow projections before the study can proceed any further. Reliability Evaluation The specific reliability requirements of the Part 12 Rules of the Michigan Safe Drinking Water Act, as they pertain to the water intake, the WTP, and the high service pumping system, will be addressed. These include the adequacy and capacity of the system components to meet the projected water demands, and to supply water with an interruption of power. Included in this evaluation is an inspection of the 1937 finished water storage tank by ' qualified structural and process engineers. It is assumed this tank can be drained for inspection. frc&h Project Approach - Water Treatment Plant Reliability Study 000 page2 Also included is an evaluation of the power reliability and a determination of the water treatment and pumping capacity under various power conditions. Facility Evaluation and Planning Additional project components of interest to the City and the MDEQ will be evaluated. Many of these items were identified as potential deficiencies or items of concern in the MDEQ's sanitary survey. Several of the items will require onsite inspections reviewing existing conditions to determine corrective actions. Specifically, the following list of items will be evaluated: • Pretreatment performance: Mixing and flocculation efficiencies will be evaluated with consideration given to the need to make power and speed adjustments. If deemed favorable, a protocol will be developed to systematically make changes and monitor the results by examining treatment performance using settled turbidity, particle counting, and filter run times to measure the efficacy. Alternative coagulant will also be evaluated. Research will be conducted on various products and their effectiveness at other plants with similar operating conditions. • Filtration Performance: Optimization of the filtration operations is a major goal for the WTP. Operating data will be examined, and backwashing operations will be observed in order to gain an understanding of the conditions, as reported in the sanitary survey. Recommendations will be provided relative to optimizing air and water backwashing rates, durations, and procedures. Additionally, research will be conducted relative to filter run times and the cost savings of longer run times will be considered. If longer filter run times are deemed technically feasible and desirable, a pilot testing protocol will be developed likely using particle counting and turbidity profiling to support the longer runs. FTC&H has a very good record working with the MDEQ to develop testing protocols of this nature. • CT Requirements: FTC&H will carefully check the MDEQ's CT calculations to verify their conclusions. One obvious improvement can be achieved by baffiing the finished water storage tank. FTC&H has successfully evaluated and implemented improvements of this type at other WTPs. • Filter to Waste Metering: The need for metering filter to waste as identified in the sanitary survey will be evaluated and start with an interview of the MDEQ's district engineer. FTC&H has the mutual respect of, and a great working relationship with, the MDEQ's district office staff. FTC&H will consider the regulatory need and the operational benefits of filter to waste metering to develop recommendations in that regard. If filter to waste metering is deemed necessary, we will develop preliminary recommendations relative to the implement thereof. • Carbon Feed System: An evaluation of the carbon feed system will be made to consider whether any improvements are necessary. The carbon feed system is only rarely used for taste and odor control. • Chemical Feed System Cross Connection Control: At least one cross connection exists on the chlorination system piping where raw water feed points are connected frc&h Project Approach - Water Treatment Plant Reliability Study 000 page 3 on common piping to finished water feed points. Recommendations for the means to eliminate this cross connection will be made. • Fluoride System Overfeed Protection: Redundant overfeed protection for fluoride feed systems is a common requirement of the MDEQ. The existing controls will be evaluated and a recommendation for the means to provide this redundant control will be made. • Residuals Drying and Handling: Recent improvements were made to incorporate sludge drying beds, however the performance of these beds is not considered optimized and the sludge is not considered ideally dewatered. FTC&H will examine the design criteria and loadings, and develop recommendations for alternate operational procedures, or other capital improvements that will result in an optimal sludge dewatering operation. • Source Water (Intake) Redundancy: The need for a redundant intake was presented in the sanitary survey. Very few plants have more than one intake, but the trend to have more than one is gaining. FTC&H will examine the existing design, and develop alternatives for an emergency or alternate supply. • SCADA system will be evaluated to evaluate what information is collected, how that data is used, and what actions are taken inn response to variations in flows, turbidities, levels and concentrations. Water Filtration Plant Organizational Evaluation FTC&H will contract with EMA for this task, who has successfully partnered with FTC&H on other similar projects. The approach for this task is as follows: • EMA will prepare a list of existing information needed, such as job titles, duties and salaries, staffing plan, treatment plant budgets, descriptions of plant O&M activities, list of process equipment to be maintained, list of analyses conducted, monthly operating reports, performance measures, SCADA and control system functionalities, maintenance activities, etc. The information received will be reviewed prior to a site assessment visit. • FTC&H will introduce EMA to WTP staff and the Department of Public Works (DPW) at the beginning of their site assessment visit. Interviews will be conducted with various WTP staff, the superintendent, and the DPW Director or Assistant Director to learn more about the system and department operations. EMA will also determine which support services the WTP obtains from the DPW, and which services they perform themselves. Examples of these services could include procurement, financial, and asset management services. • From the information gathered and on the basis of the site visit and interviews, EMA will develop recommendations for improving operations and maintaining them into the future. Much of this will be based on the best practices used at other similar facilities. This will include recommendations related to the organizational structure at the WTP; comprehensive maintenance management systems; job responsibilities and compensation; and staff retention, recruitment, and succession. frc&h Project Approach - Water Treatment Plant Reliability Study 000 page4 • A Microsoft® PowerPoint presentation will be prepared to summarize this evaluation, and will be presented to the WTP Superintendent and DPW officials. A summary report will bring all of the project elements together. The report will provide capital improvement recommendations grouped into the following prioritization: immediate (less than five years), short term (five to ten years) and long term (more than ten years). A draft copy of the report will be issued for review by the plant and DPW staff. FTC&H will review any comments and incorporate revisions to the report based on the comments, as appropriate, into the final report. frc&h Page 1 of 1 Task Hour Budget Projections Associate Associate Senior Staff Sr. Assoc. Sr. Assoc. Project Process Process Process Electrical Structural Typing/ Principal FTC&H FTC&H Outside Total Manager Engineer Engineer Engineer Engineer Engineer Clerical Graphics QA/QC Hours Expense Services Cost Billing Rates $138 $138 $104 $76 $151 $151 $59 $69 $175 Task# Task Name 1 Kickoff 4 4 8 $100 $1,068 2 Flow Projections 3 4 20 1 1 29 $100 $2,684 3 Reliability Evaluations 4 20 12 8 1 2 47 $100 $5,949 4a Pretreatment Performance 2 8 1 1 12 $100 $1,714 4b Filtration Performance 2 8 1 1 12 $100 $1,714 4c CT Requirements 1 8 1 10 $100 $1,129 4d Filter to Waste Metering 1 4 1 2 8 $100 $851 4e Carbon Feed System 1 6 1 1 9 $100 $990 4f Chemical Feed Cross Connection 1 6 1 2 10 $100 $1,059 4g Fluoride Overfeed Protection 1 3 3 1 1 9 $100 $1,131 4h Residuals Drying and Handling 2 8 8 1 2 1 22 $100 $2,684 4i Source Water Intake Redundancy 1 4 1 2 8 $100 $851 4j SCADA System Evaluation 1 2 5 1 9 $100 $1,260 5 Organizational Evaluation 4 2 6 $100 $16,800 $17,8024- 6 Summary Report 4 4 8 12 4 2 8 4 2 48 $500 $5,352 TOTALS 32 28 77 32 24 10 20 16 8 247 $1,900 $16,800 $46,238 Notes: 1. FTC&H's standard billing rates are based on approximatetly 185% overhead and 15% profit. 2. Outside Service billed through FTC&H include a 5% contracting/processing fee. 3. EMA's standard billing rates are based on approximately 196% overhead and 15% profit. 4. EMA's services are based on the following projections: Position Rate Hours Cost Principal Consultant $211 8 $1,688 Senior Project Manager $183 64 $11,712 Office Support $55 10 $550 Expenses $2,050 Total $16,000 f1c&h GENERAL PROVISIONS The CONSULTANT shall: 1. Follow standard accounting practices and permit the CITY to inspect its PROJECT books and records at any reasonable time. Such records are to be kept available for three (3) years from the date of the final payment for work conducted under this Agreement. 2. Have in its employ a sufficient number of qualified employees available to complete the PROJECT in accordance with the schedule established upon the authorization of the services as outlined herein. 3. Show evidence of Workmen's Compensation Insurance, said insurance to be required by law. Maintain and show evidence of Professional Liability Insurance in the amount of $500,000, maintain General Liability Insurance with a limit ofliability not less than $500,000, and name the CITY OF MUSKEGON as additional insured with policy(ies) not being cancelled or materially altered without at least thirty (30) days notice to the CITY. 4. Commence work on the PROJECT as set forth in this Agreement only upon receipt of written notice from the CITY. 5. During the performance of the services herein provided for, be responsible for any loss or damage to the documents, hereinafter enumerated as belonging to the CITY, while they are in its possession. Restoration oflost or damaged documents shall be at the CONSULTANT'S expense. 6. The CONSULTANT will perform all work on this project with its own employees except as noted herein, or as approved by the CITY. 7. CITY INCOME TAX WITHHOLDING. The CONSULTANT shall withhold Muskegon City income taxes from each and every employee who is subject to same, and shall pay the income tax due, if any. CONSULTANT shall further require the same of each subconsultant or other party with whom CONSULTANT works or from whom CONSULTANT obtains goods or services for the project. Payroll submissions required by this agreement shall include full information showing said withholding. The City may withhold payments otherwise due to the CONSULTANT to assure compliance with this agreement or cure noncompliance. 8. The consultant recognizers that time is of the essences on this project and therefore accepts the responsibilities to ensure compliance with the attached schedule of tasks, failure by the consultant or any other parties he hires will result in the assessment ofliquidated damages equal to $300 per calendar day. IL THE CITY WILL: A. Provide to CONSULTANT existing data as it is available from its files. B. Pay for and in consideration of the services rendered by the CONSULTANT in carrying out the PROJECT on the basis of costs as outlined in the proposal under the sections entitled "ENGINEERING SERVICES WORK PLAN" and "CURRENT FEE SCHEDULE" shall not exceed $46,238.00. Any increase in the amount to be paid to the CONSULTANT shall be by amendment to this Agreement. C. Determine actual costs for the PROJECT work required and performed in accordance with the following terms: I. Direct Salary Costs: Actual Direct Salary costs of members of the firm and staff personnel on the basis of salary, on an hourly basis (without markup) actually expended for said personnel for the time such personnel are directly utilized on the PROJECT. 2. Other Direct Costs: Actual cost of other material and services as may be required hereunder but which are not normally provided as part of the overhead of the CONSULTANT. All actual costs shall be itemized and certified as paid to specifically named firms or individuals, and shall be supported by proper receipts. Examples of items normally treated as direct costs are as follows. Computer services, travel, transportation, printing and telephone costs related to the PROJECT work performed. Engineering services (by others) such as surveys, professional engineering services, etc., and items other than engineering services related to the PROJECT. 3. Overhead, Indirect Costs and Profit: The overhead and indirect costs incurred by the CONSULTANT during performance of the PROJECT work. The amount of overhead, indirect costs and profit payment, including payroll overhead, will be calculated as a percentage of all direct salary costs related to staff personnel. Overhead and indirect costs shall include those costs which, because of the incurrence for common or joint objectives are not readily subject to treatment as a direct cost. The percentage rate, for Payroll Overhead (Direct Salary Costs), Firm Overhead and Profit, which will be applied to direct labor costs for progress payments, various for the different tasks (billing will be based on the attached hourly schedule). It is agreed that this rate is the final overhead rate and will be used for all work related to the PROJECT. D. Make payments to the CONSULTANT in accordance with the following procedures: 1. Progress payments shall be made for reimbursement of amount earned to date and shall include direct salary costs, other direct costs, calculated amounts for overhead, indirect costs and profit using the aforementioned rate. 2. Partial payments will be made upon the submissions by the CONSULTANT of an Invoice Voucher, accompanied by properly completed reporting forms and such other evidence of progress as may be required by the CITY. Partial payments shall be made only once a month. 3. Final billing under this contract shall be submitted in a timely manner but not later than six months after completion of the work. Billings for work submitted later than six months after completion of the work will not be paid. Final payment will be made upon completion satisfactory to the CITY. E. If work on the Agreement is terminated before completion, pay the CONSULTANT actual costs incurred for the work up to the time of termination of this Agreement, compensate the CONSULTANT in full for all overhead costs defined above and prorated profit on work completed. The aforesaid payment shall be an amount which can be established by the CONSULTANT from his accounts and records, and verified by the CITY. In no case shall the amount paid to the CONSULTANT for partial completion of work under this Agreement exceed the amount the CONSULTANT would receive had all work be completed. III. IT IS FURTHER AGREED THAT: A. Upon completion or termination of this Agreement, all documents prepared by the CONSULTANT, including tracings, drawings, estimates, specifications, field notes, investigations, studies, etc., as instruments of service, shall become the property of the CITY. The CONSULTANT may keep a copy of materials developed through this contract. B. No portion of the PROJECT work, hereto before defined, shall be sublet, assigned, or otherwise disposed of except as herein provided or with the prior written consent of the CITY. Consent to sublet, assign or otherwise dispose of any portion of said work shall not be construed to relieve the CONSULTANT of any responsibility for the fulfillment of this Agreement. C. All questions which may arise as to the quality and acceptability of work, the manner of performance and rate of progress of work, and the interpretation of plans and specifications shall be addressed by the CONSULTANT to the satisfaction of the CITY. All questions as to the satisfactory completion shall be decided by the CITY. D. Any change in work to be performed by the CONSULTANT involving extra compensation must be authorized in writing by the CITY prior to the performance thereof by the CONSULTANT. E. The CONSULTANT warrants it has not employed or retained any company or person other than bona fide employees working solely for the CONSULTANT, to solicit or secure this Agreement, and that it has not paid or agreed to pay any company or person, other than bona fide employees working solely for the CONSULTANT, any fee, commission, percentage, brokerage fee, gifts, or any other consideration, contingent upon, or resulting from the award or making of the Agreement. For breach or violation of this warranty, the CITY shall have the right to annul this Agreement without liability or, at its discretion, to deduct from the contract price or consideration, or otherwise recover, the full amount of such fee, commission, percentage, brokerage fee, gift or contingent fee. F. The CONSULTANT specifically agrees that in the performance of engineering services herein enumerated, by him, or by an approved subcontractor, or anyone acting in its behalf, they will comply with any and all State, Federal, and Local statutes, ordinances and regulations and obtain all permits that are applicable to the entry into and the performance of this Agreement. G. No charges or claims for damages shall be made by the CONSULTANT for delays or hindrances from any cause whatsoever during the progress of any portions of the services specified in this Agreement, except as hereinafter provided. In case of a substantial delay on the part of the CITY in providing to the CONSULTANT access to the site, necessary information or approval to proceed with the work, resulting, through no fault of the CONSULTANT, in delays of such extent as to require the CONSULTANT to perform his work under changed conditions not contemplated by the parties, the CITY will provide supplemental compensation limited to increased costs incurred as a direct result of such delays. Any claim of supplemental compensation must be in writing and accompanied by substantiating data. Authorization of such supplemental compensation shall be by an amendment to this Agreement. When delays are caused by circumstances or conditions beyond the control of the CONSULTANT, as determined by the CITY, the CONSULTANT shall be granted an extension of time for such reasonable period as may be mutually agreed upon between the parties, it being understood, however, that the permitting of the CONSULTANT to proceed to complete any services, or part of them, after the date to which the time of completion may have been extended, shall in no way operate as a waiver on the part of the CITY of any of its rights herein set forth. H. In case the CONSULTANT deems extra compensation will be due them for work or materials not clearly covered in this Agreement, or not ordered by the CITY as a change, or due to changed conditions, the CONSULTANT shall notify the CITY in writing of his intention to make claim for such extra compensation before they begin such work. Failure on the part of the CONSULTANT to give such notification will constitute a waiver of the claim for such extra compensation. The filing of such notice by the CONSULTANT shall not in any ways be construed to establish the validity of the claim. Such extra compensation shall be provided only by amendment to this Agreement. I. The CONSULTANT agrees to comply with the following insurance and indenmity requirements: I. Hold Harmless Agreements: To the fullest extent permitted by law, CONSULTANT agrees to defend, pay in behalf of, indenmify, and hold harmless the CITY, its elected and appointed officials, employees, volunteers, and others working on behalf of the CITY against any and all claims, demands, suits, or loss, including any costs connected therewith, and for any damages which may be asserted, claimed or recovered against or form the CITY, its elected and appointed officials, employees, volunteers, or others working on behalf of the CITY, by reason of personal injury, including bodily injury and death, property damage, including loss of use thereof, and/or the effects of or release or toxic and/or hazardous material which arises out of the negligent acts and or omission of the engineer. The obligation to defend and hold harmless extends to CONSULTANT'S employees, agents, subcontractors, assigns and successors. 2. Consultant Insurance Requirements: CONSULTANT shall not commence work under this contract until obtaining the insurance required under this paragraph. All coverages shall be with insurance companies licensed and admitted to do business in the State of Michigan and Best Rated A VIII. All coverage shall be with insurance carriers acceptable to the CITY. 3. Workers' Compensation Insurance: The CONSULTANT shall procure and maintain during the life of this contract, Workers' Compensation Insurance, including Employer's Liability coverage, in accordance with all applicable Statutes of the State of Michigan. 4. General Liability Insurance: The CONSULTANT shall procure and maintain during the life of this contract, commercial General Liability Insurance on an "Occurrence Basis" with limits of liability not less than $500.000 per occurrence and/or aggregate combined single limit, Personal Injury, Bodily Injury and Property Damage. Coverage shall include the following extensions: (a) Contractual Liability; (b) Products and Completed Operations; (c) Independent Contractor's Coverage; (d) Broad Form General Liability Extensions or equivalent. 5. Motor Vehicle Liability: The CONSULTANT shall procure and maintain during the life of this contract Motor Vehicle Liability Insurance, including Michigan No-Fault Coverages, with limits of liability of not less than $500.000 per occurrence or combined single limit Bodily Injury and Property Damage. Coverage shall include all owned vehicles, all non-owned vehicles and all hired vehicles. 6. Professional Liability Insurance: The CONSULTANT shall procure and maintain during the life of this contract and during the performance of all services, Professional Liability Insurance covering all performances from the beginning of the Consultant's services on a "claims made basis" and shall maintain coverage from commence of this contract until six (6) months following completion of the Consultant's work with limits ofliability not less than $500.000 per occurrence. 7. Additional Insured: Commercial General Liability and Motor Vehicle Liability Insurance, as described above, shall include an endorsement stating the following shall be "Additional Insured": The CITY OF MUSKEGON, all elected and appointed officials, all employees and volunteers, all boards, commissions and/or authorities and board members, including employees and volunteers thereof. 8. Cancellation Notice: Workers' Compensation Insurance, General Liability Insurance, Motor Vehicle Liability Insurance, and Professional Liability Insurance, as described above, shall include an endorsement stating the following: It is understood and agreed that Thirty (30) Days Advance Written Notice of Cancellation, Non-Renewal, Reduction and/or Material Change shall be sent to: CITY OF MUSKEGON ENGINEERING DEPARTMENT. 9. Proof of Insurance Coverage: The CONSULTANT shall provide the CITY at the time of the contracts are returned by him for execution, certificates and policies as listed below: (a) Two (2) copies of Certificate oflnsurance for Workers' Compensation Insurance. (b) Two (2) copies of Certificate of Insurance for Commercial General Liability Insurance. (c) Two (2) copies of Certificate of Insurance for Vehicle Liability Insurance. (d) Two (2) copies of Certificate of Insurance for Professional Liability Insurance. (e) If so requested, certified copies of all policies mentioned above will be furnished. If any of the above coverages expire during the term of this contract, the CONSULTANT shall deliver renewal certificates and/or policies to the CITY at least ten (I 0) days prior to the expiration date. J. This Agreement shall be terminated upon advisement to the CONSULTANT by the CITY that the PROJECT work is completed and accepted, with the exception that the Professional Liability Insurance at the identified limits of coverage shall remain in effect for a period of six (6) months following the date of said advisement of termination. K. Upon execution of this Agreement by the parties hereto, the same shall become binding on the parties hereto and their successors and assigns. IN WITNESS WHEREOF, the parties hereto have set their hands and seals by their duly authorized agents and representatives the day and year first above written. FISHBECK, THOMPSON, CARR & HUBER, INC. ~~ 2:t:i:!t4::1r 7 Witness -~ ?~ V:ce ;/zes;Dc-;vT CITY OF MUSKEGON Witness l/ndt1 lot-t-rr Ann Marie Becker (Clerk) Date DATE(MMIDDNYYY) ACORD_ CERTIFICATE OF LIABILITY INSURANCE OPID .~ FISHB-1 08/02/07 PRODUCER THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATIO ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE Professional Underwriters, Inc HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR 39475 13 Mile Road, Suite 106 ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW Novi MI 48377 Phone:248-553-8300 Fax:248-553-8305 INSURERS AFFORDING COVERAGE NAIC# INSURED INSURER A Charter Oak Fire Insurance Co. INSURER B; Travelers Property Casualty Fishbeck, Thompson, Carr INSURERC: Phoenix Insurance Co. & Huber, Inc. 1515 Arboretum Dr. SE INSURER D: Continental Casualty Company 20443 Grand Rapids, MI 49546 INSURER E: COVERAGES THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOlWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDfflONS OF SUCH POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. LTR NSRr TYPE OF INSURANCE POLICY NUMBER poi~rJ~rJ8iW1E P8l!,&Y,~W,h~~qN LIMITS - GENERAL LIABILITY EACH OCCURRENCE , 1,000,000 A X COMMERCIAL GENERAL LIABILITY 630-4985B626 11/01/06 11/01/07 PRE'MIBEs /Ea occurmce\ ,1,000,000 - - D CLAIMS MADE [i] OCCUR MED EXP (Any one person) , 10,000 PERSONAL & ADV INJURY ,1,000,000 - GENERAL AGGREGATE ,2,000.000 - GEN'LAGGREGATE LIMIT APPLIES PER: PRODUCTS • COMP/OP AGG ,2,000,000 x7 POLICY neeo. JECT nLOC AUTOMOBILE LIABILITY - COMBINED SINGLE LIMIT (Ea accident) , 1,000,000 A -X ANY AUTO 810-4985B626 11/01/06 11/01/07 ALL OWNED AUTOS BOD!L Y INJURY - $ (Par person) SCHEDULED IVTOS - HIREOAUT03 BOOIL Y INJURY - $ (Par accident) NON.OWNED AUTOS - - PROPERTY DAMAGE (Per accident) s GARAGE LIABILITY AUTO ONLY· EA ACCIDENT s EAACC $ 1ANYAUTO OTHER TH6.N ALITOONLY: AGG $ s 5,000,000 B ~OCCUR • EXCESS/UMBREUA LIABILITY CLAIMS MADE CUP 4985B626 11/01/06 11/01/07 EACH OCCURRENCE AGGREGA.TE 15,000,000 $ 1 DEDUCTIBLE $ RETENTION $ $ WORKERS CCt.'IPENSATION ANO x lrORY"LIM1'r'f I l"'ei{ EMPLOYERS' LIABILITY C ANY PROPR\ETOR/PARTNERIEXECUTWE UB 4985B626 11/01/06 11/01/07 E.l. EACH ACCIDENT 1 500,000 OFFICER/MEMBER EXCLUDED? E.l. DISEASE· EA EMPLOYEI 1 500,000 5 ~i~t~L ~~~s16~s below E.l. DISEASE· POLICY LIMIT I 500,000 OTHER D ARCH/ENG PROF LIAB AEH 25-403-80-73 10/31/06 10/31/07 1,000,000 PER CLAIM SUBJ TO DEDUCTIBLE AS STATED ON POLICY 1,000,000 AGGREGATE DESCRIPTION OF OPERATIONS/ LOCATIONS /VEHICLES/ EXCLUSIONS ADDEO BY ENDORSEMENT/ SPECIAL PROVISIONS The City of Muskegon, all elected and appointed officials, all employees and volunteers, all boards, commissions and/or authorities and board members, including employees and volunteers thereof are named as additional insured with respect to the General Liability as well as the Auto Liability or Umbrella. City of Muskegon Water Filtration Plant Reliability Study. CERTIFICATE HOLDER CANCELLATION CITOMUl SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL RIISE 8RT8 MAIL ;!Q_ DAYS WRITTEN City of Muskegon NOTICE TO THE CERTIFICATE HOLDER NAMED ID THE LEFT, li'IWT F•ll:<YRE "fQ D8 !ii8 !iilb1sll.. Engineering Department M«POSF MO ORI 'GOTIOM CR! 1091' 'P( CF OIP{ KltJg b'POII TIit lll!ii!JRGR, rra • 6GIFFS 0R 1900 Beech Street Muskegon MI 49441 i;;,..1•"''"""'"-'li&> .,~,.•<><Pn.,,aa, .. ACORD 25 (2001/08) © ACORD CORPORATION 1 Date: 07/24/07 To: Honorable Mayor and City Commission From: Cemetery RE: Well installation SUMMARY OF REQUEST: Authorize staff to enter into an agreement with Brass-Mar Water Wells Inc. out of 13427 Fruit Ridge, Kent City, since they were the lowest responsible bidder with a bid price of $25,043.00. FINANCIAL IMPACT: Cost of drill/installing one well of $25,043.00 BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Authorize staff to enter into an agreement with Brass-Mar Water Wells Inc. Memorandum To: Honorable Mayor and City Commissioners From: Cemetery Date: 07/24/07 Re: Well installation The Cemetery Department has been looking at the possibility of installing an irrigation well to help lower the cost of watering Restlawn Cemetery. Over the last two years, the cost to irrigate has risen to over $36,000.00. The cost to install the well that meets our specifications is $25,043.00. We estimate the cost to operate this system will be between $1,500.00 and $3,000.00 annually. We requested quotes from 9 area well drillers and received two responses. Attached is a summary of the bids. In accordance with established policy, we are requesting pe1mission to authorize Brass-Mar Water Wells Inc. to install a well to irrigate Restlawn Cemetery. 1 Brass-Mar Water Wells Leo Reigler 134_27 Fruit Ridge 175.W Main St. Kent Citl,' M_ichigan 49330 Walkerville.• Mi 49459 $25,043.00 $36,567.50 ··~ CITY OF MUSKEGON AGREEMENT FOR SERVICES OR CONSTRUCTION Small and Limited Projects THIS IS AN AGREEMENT between the CITY OF MUSKEGON ("City"), 933 Terrace Street, Muskegon, Michigan, and Brass-Mar Wells ("Contractor''), of Kent City , Michigan, for a small or limited project, and is made in the following terms: Agreement and Performance Contractor agrees to perform and supply all the services and materials set forth in the Statement of Work attached t.o this agreement, ("Performance"). Contractor's performance shall be accomplished in good and workmanlike manner, to the satisfaction of the City. Price $25,043.00 Contractor will perform as set forth above for the complete contract price of $25,043.00 Conditions and Covenants Contractor will comply with all laws, rules and regulations of the City, and any other local government of the State of Michigan and the United States Government. Contractor will supply insurance as required by separate written document, naming the City as an additional insured, if appropriate, and shall carry such additional insurance coverage's as are required by the City. Contractor shall hold the City harmless against any and all claims for damages or costs made against the City arising from Contractor's performance, including all costs of defense, attorneys' fees, expenses and the amount of any damage determined against the City. Contractor certifies that it is eligible for performance of government work and has not been cited or listed for failure to comply with Wage and Hour or prevailing wage regulations of the 7/31/2007 CITY OF MUSKEGON Page 2 of 3 State of Michigan or the Federal Government. Termination and Cancellation This contract may be terminated for failure to perform in accordance herewith, and Contractor shall be liable for normal contractual remedies available to the City. Nondiscrimination Compliance Contractor agrees to comply with all nondiscrimination laws, rules and regulations and policies of the City, State and Federal Governments including, but not limited to, the provisions of Executive Order 11246, Affirmative Action Requirements for Disabled Veterans and Veterans of the Viet Nam Era and for Handicapped Workers. If required by the City and appropriate for the services in this contract, Contractor shall comply with City oversight procedures. The provisions of all said policies, rules, executive orders and laws regarding nondiscrimination and affirmative action are available from the City by contacting the Affirmative Action Director of the City, City Hall, 933 Terrace Street, Muskegon, Michigan, telephone 724-6703. The City may supply a copy with this contract in its discretion. The parties agree to performance of this contract by signing below. The effective date of this agreement is July 31. 2007. Witnesses: CITY OF MUSKEGON By 7/31/2007 CITY OF MUSKEGON Page 3 of3 Contract Between City of Muskegon And Brass-Mar Wells # ,,;,-?( . STATEMENT OF WORK: Installation and set up of an 80' deep well capable of supplying 225 gpm at 85 to 95 ps; P" ProposalFoon '"bmitted 07110/07. j)i{;,,-- Contracto:.tj,~ / c;ty £ .£:26 (Departm t Head) 7/31/2007 From: Scott Melton To: City of Muskegon/Larry DeCou Date: 8/27/2007 Time: 3:19:42 PM Page 2 of2 DATE (MM/00/YVVV) ACORDn CERTIFICATE OF LIABILITY INSURANCE OPID C~ BRASS-1 08/27/07 PRODUCER THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE Melton-McFadden Agency HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR P.O. Box 9 ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. Belding MI 48809-0009 Phnnp·~l~-714-n~,n IN,SUl(cl(,S Al-nlKUIN(; CUVcl(A(jc NAIC ~ INSURED lhlfllllliin n n11t1••!!1• unlm • l T•1m11•- • n, ,n,,, INSURERS: INSURER C ~§t~~-~riiVaila ~ells. Inc. INSURER D· Kent City MI 49j30 INSURERE: COVERAGES THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH ,~-- POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. LTI< TYPE OF JNSURANCE POLICY NUMBER DATE IMMfDDNV\ DATE IMM/00NV1 LIMITS GENERAL LIABILITY EACH OCCURRENCE 11000000 1-- C ,v A X COMMERCIAL GENER.Al.. LI.ABILITY CPP9676546 04/22/07 04/22/08 PREMISES (Ea occurenceJ 1100000 I CLAIMS MADE [!] OCCUR MED EXP (Any one person) 15000 PERSONAL & AfJV INJURY 11000000 - GENER.Al.. AGGREGAlE 12000000 - GEN'L AGGREGATE LIMIT APPLIES PER: PRODUCTS - COMP/OP AGG 12000000 i7 POLICY nPR~ JECT n,oc AlJTOMOBILE LIABILnY COMBINED SINGLE LIMIT - (Ea accident) I 1000000 ACV9676547 04/22/07 04/22/08 A -X ANY AUTO N._L OWNED AUTOS - SCHEDULED AUTOS BODILY INJURY (Per person) I - HIRED AUTOS BODILY INJURY ~ (Per accident) I NON-OWNED AUTOS ~ PROPERTY DAMAGE f- (Per accident) I i~ij~ii ,m11111T ~rr~ rnn rnrn»mrr I QoccuR • CLAIMS MA.DE AGGREGATE I I H DEDUCTIBLE RElENTION I I I WORKERS COMPENSATION ANO !TORY LIMITS I rER EMPLOYERS' LIABIUTV A WC9676548 04/22/07 04/22/08 EL EACH ACCIDENT 1500000 MJY PROPRIETOR/PARTNER/EXECUTIVE OFFICER/MEMBER EXCLUDED? EL DISEASE EA EMPLOYEE I 500000 If \IP<\. riPc;rrihP {10r1Pr n rnnnnn r1 ninrrnr nn1m1111111T OTHER DESCRIPTION OF OPERATIONS/ LOCATIONS/ VEHICLES/ EXCLUSIONS ADDEO BY ENDORSEMENT J SPECIAL PROVISIONS Additional Insured: City of Muskegon, 1400 Kenneth st, Muskegon, MI 49442 CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION CITYOFM DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 10 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO DO SO SHALL City of Muskegon IMPOSE NO OBLIGAllON OR LIABILITY OF ANY KIND UPON THE INSURER, ITS AGENTS OR 933 Terrace St REPRESENTATIVES. Muskegon MI 49441 A\m!ORIZED REPRESENTATIVE Scott Melton ACORD 25 (2001/08) ® ACORD CORPORATION 1988 Ol<J/11 ,:>(.CU\\ 1,,c"'-"' ,v. uoo.::,;:,·,.1<,, ACORD. CERTIFICATE OF LIABILITY INSURANCE CSR LC BRASS·l I DATE {MM!OONYY'I) 08/06/07 PRODUCER THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE Melton-McFadden Agency HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR e.o. Box 9 ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. Belding MI 48809-0009 Fhone:616·794-0620 INSURERS AFFORDING COVERAGE NAIC# il'iSUREO ---·-· --·- ··--------- --- . - ------ INSURER A Kuting, Mutual In1w:111ee C:o 14176 INSURER 8 . ·- BLaas-Mar Wat~r Wells, :enc. ltlSUREI'< C 13427 fruit Ridje lt.JSURERD Kent City MI 49 30 lt·ISURERE COVERAGES THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF /<NY CONTRACT OR OTHER DOCL.MENTWITH RESPECT TO WHICH THIS CERTIFICATE MAY SE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS ANO CONDITIONS OF SUCH POUC:ES. AGGREGATE LIMITS SHOW>J MA.YHAVE BEEN REDUCED BY PAID CLAIMS. ,:_OCICY"EffECT1~1'"0I.TC'YEXPflU ~~~fi rYPE OF 1MSURANCEPOLICY NUMBER DATE /MPNOOtf'if OATE-IMMJDDMY)'' LIMITS . GENERAL LIAB!LfTY - EACH OCCLRREN•:E , 1000000 t-uMiAC•E !Oh'ENIEO - A X COMMERCl/ll GEN:CR.AL LIABILITY CF!l9676546 04/22/07 04/22/08 PREMISES (E-a occuren~e) , 100000 -- ----·7 ~ CLA.IMS !MDI:: ~OCCUR MEOE:<P{M)1or1~ perwr) $ 5000 - PERSONAL & XJV IMJLR:v , 1000000 -- ·-·----------- I-------- GENEPAL AG-:.;REGP.TE $ 2000000 -GEN'L---·- AGGf.'EGAH:C LIMlr ADPUES PER PfWL1LCfS · CQM:>/JP AGG ,2000000 1 PCtl(Y n,eo- ,IE(T nLOC AUTOMOBILE LIAS\UTY A I 'xl - ANY AUTO ACV9676547 04/22/07 04/22/08 COMeJt-,(0 SIOOLE LIM1T {:Ca accidG<IO , 1000000 ALL QV\,NE(I AUTOS I -- flODil Y INJURY I - SD-lEDIJlED AIJTOS (:>pr ~9fS0fl) ' --- ·- -- !-iiREDAUTOS tJc,t,1-0VvNED .l\UTCS I 60Dll \" INJURY (='9r accidert) ·- -' - - · - - - - - - ·- -- PROPERTY DAMAGE (='er aoodert) $ 1 GARAGE LIABILITY ' 1--i M-J'/ AUTO ~ AlfTO ON..Y • EA P.CCIDEnT E..\ACC ' 1-···1 OTHER WAN AUTO Ol'l.Y -~·-- - AGG ' I --- EXCESS/UMBRELLA LIABILITY EACH OCClRRENCE --- - ' $ _J OCCLR [=-: MBDE .t..l~GREGATE ClAIMS ·--·-·- ' ' ---- j l)E[1U.""";Tl8L:C ' $ f RETEISTION WORKERS COMPENSATlON AND ' h'::muM11s I IVER • EMPLOYERS' LJ.ASl!TV A AN~· FR()PR!ETORiPARTI-ER/EXECLr1vE WC9676548 04/22/07 04/22/08 EL !:II.CH ACCIDE~IT $ 500000 ·- OFFICERl!,\E"'13ER E.'<0:LUC€[l? E.L. DISEASE - E.t- EMPL0°1EE I 500000 ---------- I~t& 1f~~2~\~f~~s be ;;w EL. DISEASE - POLICY L MIT , 500000 \ OTHEl:I I DESCRIPTION OF OPERATIONS/ LOCATIONS I VEHICLES I EXCLUSIONS ADDED BY ENDORSEMENT I SPECIAL PROVISIONS CERTIFICATE ~OLDER CANCELLATION SHOU.O AN'f OF iHE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION CITY0l!'M DATE TtEREOF, THE ISSUING INS~ER WILL iNDEA\IOR TO MAIL 10 DAYS WRITTEN NOTICE TO THE CERTIFICATE HO\.DER NAMED TO THE LEFT, BUT FAILURE TO DO SO SHALL city of Muskegon IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER. rrs AGENTS OR 933 Terrace St Muskeqon MI 0441 REPRESENTATIVES, AUn-.ORIZED REPRESENTATIVE Scott Mel ton ACORD 25 (2001/08) © ACORD CORPORATION 1988 Date: July 24, 2007 To: Honorable Mayor and City Commissioners From: DPW RE: Service Agreement with Muskegon Heights SUMMARY OF REQUEST: Authorize the mayor & Clerk to sign the attached agreement with Muskegon Heights to maintain their fleet. FINANCIAL IMPACT: Potential revenue of $20,000 to $30,000 BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Approve the service agreement with Muskegon Heights and authorize the Mayor & Clerk to sign agreement. SERVICE AGREEMENT Effective March 1, 2007, the City of Muskegon, 933 Terrace Street, Muskegon, Michigan 49440 ("Muskegon") and the City of Muskegon Heights, 2724 Peck Street, Muskegon Heights, Michigan 49444 ("Muskegon Heights") agree as follows: BACKGROUND Muskegon Heights has police, fire and public works vehicles which have specific performance requirements needing specialized service and maintenance work. Muskegon Heights is seeking assistance to properly service and maintain its police, fire and public works vehicles. Muskegon has a facility at its Department of Public Works building located at 1350 East Keating A venue, Muskegon, Michigan that houses the Muskegon Fleet Division. The Muskegon Fleet Division maintains a vehicle repair facility which is able to properly repair and maintain police, fire and public works vehicles. It is the desire of Muskegon County government entities to seek opportunities for functional consolidation of services to the mutual benefit of all parties involved. 1. TERM. Muskegon and Muskegon Heights acknowledge that performance under this contract will commence immediately upon the full execution of this Agreement and shall continue in full force and effect through December 31, 2007 unless terminated in accordance with Paragraphs 5 through 8 of this Agreement. 2. MUSKEGON'S COMMITMENTS. Muskegon agrees as follows: a. To provide repair and maintenance services during regular business hours from 7:30 a.m. until 3 :30 p.m. Monday through Friday; b. To provide a mechanic on call 24 hours a day, 7 days a week. The mechanic can be reached at 231-737-2680; and 231-724-4100 during regular hours. c. To use the highest standards for repairs to all police, fire and public works vehicles and will not deviate from these standards even at the request of Muskegon Heights; and d.. That Muskegon will give priority to its own vehicles before servicing Muskegon Heights' vehicles, but will make every effort to make timely repairs for Muskegon Heights' vehicles. 3. MUSKEGON HEIGHTS' COIVIMITMENTS. Muskegon Heights agrees as follows: l:\Dpw\Equip Supervisor\DOCS\Mechaninc Agreement; Heights.DOC a. To pay compensation to Muskegon for the maintenance and repair services of the Muskegon Fleet Division at the rate of $60. 00 per hour; calculated on a flat rate basis where possible. b. To pay compensation to Muskegon for the maintenance and repair services of the Muskegon Fleet Division at the rate of$75.00 per hour for all services provided outside of regular business hours of7:30 a.m. until 3 :30 p.m. Monday through Friday; c. To pay the actual costs plus 15% of all parts and supplies used in the repair and/or maintenance of police, fire and public works vehicles; d. To pay all invoices with thirty days; e. To pay 1% interest per month on all invoices unpaid after thirty days; and f If its account with Muskegon reaches a balance of $5,000 more than 30 days past due, all work must be paid for in advance. So long as there is a balance of$5,000 more than 30 days past due, Muskegon may refuse to perform any services pursuant to this Agreement. g. If Muskegon Heights has any concerns with the performance of the work completed by the City of Muskegon, it shall promptly notify the City of Muskegon so that both cities can address such concerns. st 4. COST REVIEW. Before February 1 of each year, Muskegon shall review its personnel costs, including mechanics' time, and any costs directly related to the ability of Muskegon to provide services under this Agreement. If these costs have increased, Muskegon shall notify Muskegon Heights in writing of the increase in cost and the justification for the increase in costs under this Agreement. The increase in costs will be effective March 1st of each year. 5. TERMINATION. This Agreement shall remain in effect until terminated by either party. Muskegon and Muskegon Heights may terminate this Agreement for any reason, including the convenience of either party, and without penalty. Termination notice shall be in writing and comply with Paragraph 7 and/or 8 of this Agreement. Termination shall become effective thirty days from the date of the Termination Notice. 6. TERMINATION BY MUSKEGON HEIGHTS. Upon receipt of the Termination Notice from Muskegon Heights, Muskegon shall have thirty days to invoice Muskegon Heights for any outstanding balances that have not previously been invoiced. Muskegon Heights shall be responsible for all costs of services, maintenances and supplies either invoiced prior to receiving the Termination Notice or performed or purchased by Muskegon before receipt of the Termination Notice. Muskegon will attempt to return any parts and supplies ordered for Muskegon Heights' vehicles that it is unable to use on non-Muskegon Heights' vehicles. If Muskegon is unable to obtain full refunds or partial refunds, Muskegon will send Muskegon Heights invoices for those non-refundable or partially refundable parts and supplies. L:\Dpw\Equip Supervisor\DOCS\Mechaninc Agreement; Heights.DOC If Muskegon Heights exercises its right to terminate this Agreement, it shall pay all outstanding invoices within ten days from the date of termination. If Muskegon has vehicles belonging to Muskegon Heights on its site, the Termination Notice shall state whether it is authorizing Muskegon to complete any necessary work on those vehicles or immediately cease all work on those vehicles. If the Termination Notice states that Muskegon is to cease work on all Muskegon Heights vehicles on its property, Muskegon Heights shall remove these vehicles within five days from the date of the Termination Notice. If the Termination Notice requests that Muskegon complete all work on vehicles on its site, this work shall be completed and payment in accordance with this Agreement. 7. TERMINATION BY MUSKEGON. Upon receipt of the Termination Notice from Muskegon, Muskegon Heights shall have thirty days to pay for all work, services, parts and materials provided or ordered pursuant to this Agreement, whether invoiced or not. Muskegon Heights shall have five days to remove all its vehicles, parts and materials from Muskegon's property. 8. NOTICES. Any notice that either party may give or is required to give under this agreement shall be in writing and, if mailed, be effective three days after being sent by certified or registered mail, postage prepaid, addressed to the City Clerk at the other party's address set forth in this agreement or at any other address the other party provides in writing. 9. GENERAL PROVISIONS. a. Entire Agreement. This agreement shall constitute the entire agreement, and shall supersede any other agreements, written or oral, that may have been made or entered into, by and between the parties with respect to the subject matter of this agreement and shall not be modified or amended except in a subsequent writing signed by the party against whom enforcement is sought. All contemporaneous or prior negotiations and representations have been merged into this agreement. b. Binding Effect. This agreement shall be binding upon, and inure to the benefit of and be enforceable by, the parties and their respective legal representatives, permitted successors and assigns. c. Counterparts. The agreement may be executed in counterparts, and each set of duly delivered identical counterparts which includes all signatories shall be deemed to be one original document. d. Non-Waiver. No waiver by any party of any provision of this agreement shall constitute a waiver by such party of such provision on any other occasion or a waiver by such party of any other provision of this agreement. e. Severability. Should any one or more of the provisions of this agreement be determined to be invalid, unlawful, or unenforceable in any respect, the validity, legality, and enforceability of the remaining provisions of this agreement shall not in any way be impaired or affected. L:\Dpw\Equip Supervisor\DOCS\Mechaninc Agreemenl; Heights.DOC f. Assignment or Delegation. Except as otherwise specifically set forth in this agreement, neither party shall assign all or any portion of its rights and obligations contained in this agreement without the express prior written approval of the other party, which approval may be withheld in the other party's sole discretion. g. Fax or Electronic Signatures. The parties have agreed that electronic or fax copies of the signed agreement shall constitute a valid, enforceable agreement. Each party will mail originals to the respective party upon their execution of this agreement. CITY OF MUSKEGON CITY OF MUSKEGON HEIGHTS By: By:~....._ (s,0 JC19 By: -l-::+f1--!-@.1LL_<1~~~~=21L Ann Becker, ordilia Buckner, Its Clerk Its Clerk Date: 1/Jlu 5-r /, 2007 4/24/2007 Date: July 24, 2007 To: Mayor and City Commissioners From: Department of Public Works Re: Transfer Ownership of Sanitary Sewer. SUMMARY OF REQUEST: For many years the City of Muskegon has owned and maintained a sanitary sewer that is a collection sewer for three cities. This sewer line was most likely overlooked when local lines were turned over to the County of Muskegon during the original Wastewater Project. This line is used by both the City of Norton Shores and the City of Roosevelt Park and no interagency agreement for joint maintenance was ever executed. FINANCIAL IMPACT: The potential of future maintenace expense will now be shared by all users rather than just the City of Muskegon. BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Recommend that the City of Muskegon transfer ownership of this collection sanitary sewer to the Muskegon County Wastewater System. RESOLUTION 2007-6l(m) The following preamble and resolution was offered by Commissioner _ _ _ __ _ _D_a_v_i_s_ _ _ _ and supported by Commissioner _ _c_a_r_t_e_r_ _ _ _ _ _ __ WHEREAS, the City of Muskegon owns and maintains a gravity sewer system consisting of 24-inch and 30-inch pipe conveys sewage from the comer of Sherman Boulevard and McCracken Street to the Muskegon County Wastewater Management System's Lift Station Don Shoreline Drive; and WHEREAS, this gravity sewer system transmits waste from the cities of Roosevelt Park, Norton Shores, and Muskegon to the System and should be owned and maintained by the Muskegon County Wastewater Management System; and WHEREAS, the Muskegon County Wastewater Management System is in agreement with transferring the gravity sewer system described above from the City of Muskegon to the County of Muskegon. WHEREAS, as a result of this transfer, the Muskegon County Wastewater Management System would assume operation, maintenance, and repair of the line as well as the responsibility for breaks; and WHEREAS, regardless of this transfer, the City of Muskegon will remain responsible for operation, maintenance, and repair of all connections to this gravity sewer system that are smaller than 18 inches in diameter. NOW, THEREFORE, BE IT RESOLVED, that the 24-inch and 30-inch gravity sewer system described above and previously owned by the City of Muskegon is hereby transferred to the Muskegon County Wastewater Management System. AYES: Spataro, Warmington, Wierenga, Carter, Davis, Gawron, and Shepherd NAYS: None CERTIFICATION 2007-61(m) I hereby certify that the following constitutes a true and complete copy of a resolution adopted by the City of Muskegon City Commission at a regular meeting held on July 24, 2007, and that public notice of said meeting was given pursuant to and in full compliance with Act No. 267 of the Public Acts of Michigan of 1967. Ann Marie Becker, City Clerk 30" SEWER PROPOSED TRANSFER TO MCWW • .... •• • • • ... ~ - ~ ' - ~ ,. ~ ~ • " " . _, • '!• • u,r-,.,,- , " •. -· ' """'"- ' ~ w 24" SEWER PROPOSED • • . TRANSFER TO MCWW .. 0 , i i'.e:!:!.::'' ..,~-.,.- • I. .. .. ---- r-·-·- 19 ' ! - - ,. ·- 21 24" SEWER PROPOSED TR A N,:Pvn T() Mrww A regular meeting of the Muskegon County Board of Public Works was held in the City of Muskegon Heights, County of Muskegon on August 9, 2007, 3:30 PM in the Louis A. McMurray Transportation & Conference Center located at 2624 Sixth Street. PRESENT: Don Aley; Charles Buzzell; James Derezinski; Marvin Engle; Martin Hulka; Ken Mahoney; I. John Snider; Louis McMuPray. ABSENT: Lewis Collins (excused) RESOLUTION The following preamble and resolution was offered by Commissioner Buzzell and supported by Commissioner---'D"-'e"-'r'-'e'-"z'-'i'-"n"'s"'k"'i_ _ _ __ WHEREAS, the Public Works Board is responsible for the Muskegon County Wastewater Management System for the County of Muskegon; and WHEREAS, as part of that System, there are gravity sewer lines previously owned by communities that handle flows from multiple municipalities that became the responsibility of the System; and WHEREAS, a gravity sewer system consisting of 24-inch and 30-inch pipe conveys sewage from the comer of Sherman Boulevard and McCracken Stree(Jo the System's Lift Station D on Shoreline Drive; and WHEREAS, this gravity sewer system transmits waste from the cities of Roosevelt Park, Norton Shores, and Muskegon to the System and should be owned and maintained by the System; and WHEREAS, the City of Muskegon is in agreement with transferring the gravity sewer system described above to County ownership; and WHEREAS, as a result of this transfer, the System would assume the operation, maintenance, and repair of the line as well as the responsibility for breaks; and WHEREAS, regardless of this transfer, the City of Muskegon will remain responsible for operation, maintenance, and repair of all connections to this gravity sewer system that are smaller than 18 inches in diameter. _ C:\Documents and Settings\kendrick\Desktop\wastewatennanagementsystem?-12-07 (3).doc 1 NOW, THEREFORE, BE IT RESOLVED, that the 24-inch and 30-inch gravity sewer system described above and previously owned by the City of Muskegon is hereby transferred to the Muskegon County Wastewater Management System. AYES: Don Aley; Charles Buzzell; James Derezinski; Marvin Engle; Martin Hulka; Ken Mahoney; I. John Snider; Louis McMurray. NAYS: None RESOLUTION DECLARED ADOPTED. MartirPL. Hulka, Public Works Board Secretary I hereby certify that the following constitutes a true and complete copy of a resolution adopted by the Muskegon County Board of Public Works at a regular meeting held on August 9, 2007, and that public notice of said meeting was given pursuant to and in full compliance with Act No. 267 of the Public Acts of Michigan of 1967. C:\Documents and Settings\kendrick\Desktop\wastewatcnnanagemen tsystem7 -1 2-07 (3 ).doc 2 Commission Meeting Date: July 24, 2007 Date: July 17, 2007 To: Honorable Mayor and City Commissioners From: Planning & Economic Development RE: Public Hearing - Request for an Industrial Facilities Exemption Certificate - ADAC Plastics SUMMARY OF REQUEST: Pursuant to Public Act 198 of 1974, as amended, ADAC Plastics, 1801 E. Keating Avenue, has requested the issuance of an Industrial Facilities Exemption Certificate for the property located at 1801 E. Keating, Muskegon. The total capital investment is approximately $500,000 in personal property and $2,775,000 in real property. This request qualifies ADAC Plastics for a term of twelve (12) years for real property and sic (6) 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 twelve (12) years for real property and six (6) years for personal property. In addition, the City's Affirmative Action Director will be meeting with ADAC staff to discuss their affirmative action plan on Friday, July 20. COMMITTEE RECOMMENDATION: None 7/17/2007 ResolutionNo. 2007-62(a) MUSKEGON CITY COMMISSION RESOLUTION APPROVING APPLICATION FOR ISSUANCE OF INDUSTRIAL FACILITIES EXEMPTION CERTIFICATE ADAC Plastics WHEREAS, pursuant to P.A. 198 of 1974 as amended, after duly noticed pubic hearing held on February 27, 1997, this Commission by resolution established an Industrial Development District as requested by ADAC Plastics, 1801 E. Keating Avenue, Muskegon, Michigan 49441; and WHEREAS, ADAC Plastics has filed an application for the issuance of an Industrial Facilities Tax Exemption Certificate with respect to a building expansion and new machinery and equipment to be installed within said Industrial Development District; and WHEREAS, before acting on said application the Muskegon City Commission held a public hearing on July 24, 2007, 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 ADAC Plastics, for the issuance of an Industrial Facilities Tax Exemption Certificate with respect to the building expansion and 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 PORT CITY INDUSTRIAL CENTER PART OF LOT 15 DESC AS COM AT NE COR OF SAID LOT FOR POB, TH S 01D 10M 38SW (RECORDED ASS 01D 12M 30S W) ALG E LINE OF SAID LOT A DIST OF 435 FT TH S 86D 57M 07S WA DIST OF 430.32 FT TH N 87D 40M 25S WA DIST OF 532.92 FT TO THEW LINE OF SAID LOT TH N 01 D 01 M 46S E(RECORDED AS N 01D 03M 06S E) A DIST OF 441.18 FTTO THEN LINE OF SAID LOT, TH S 89D 42M 20S E ALG SAID LINE A DIST OF 963.22 FT TO POB. CONTAINS 9.93 ACRES 3) The Industrial Facilities Tax Exemption Certificate is issued and shall be and remain in force and effect for a period of six (6) years on personal property and twelve (12) years on real property. 7/17/07 Adopted this 24th Day of June 2007. Ayes: Gawron, Shepherd, Spataro, Warmington, Wierenga, Carter, and Davis Nays: None Absent: None Ann Marie Becker, MMC 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 reg~la\meeting h;ld on July 24, 2007., ~\'"\---._\, "-lz)._,\ ~-' (1/ cl.,, Ann Marie Becker, MMC Clerk 7/17/07 Michigan Department of Treasury 1012 {Rev. 7/05) Application for Industrial Facilities Tax Exemption Certificate ssued under authority of PA 198 of 1974, as amended. Filing is mandato1y. 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 Government Unit ~ u r e or Clerk Date received by Local Unit \ \ '-'-v-::'._\i'OV\,,~ ~~c.)I A . . .. STC Use Only . .. . . Application Number Date Received by STC 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) (Four Digit Code) ADAC Plastics, Inc 1 Keatin~ Associates 3089 1d. Name of Clty/TownshipNillage 1e. County 1c. Address of Facility (real property or persona! property location) (Indicate which) 1801 Keating Ave Muske~on- MI 49442 Citv of Muske~on - 2. Type of Approval Requested 3a, School District where facility is located 3b. School Code [K) New (Sec. 2(4}) D Transfer (1 copy to only) Orchard View 61010 0 Speculative Building (Sec. 3(8)) 0 Rehabilitation (Sec. 3(1 )) 4. Amount of years requested for exemption (1-12 Years) O Research and Development (Sec. 2(9)) Real l~years Personal ;£years 5. Thoroughly describe the project for which exemption is sought: Real Property {Type of Improvements to Land, Building, Size of Addition): Personal Property (Explain New, Used, Transferred from Out-of-State, etc.) and Proposed Use of Facility. (Please attach additional page(s) if more room is needed). Adding 54,000 square foot addition foo, Warehouse Distribution and upgrading employee facilities. Also improved safety through enhanced chemical receiving and storage. 6a. Cost of land and building improvements (excluding cost of land) $2,775,000.00 * Attach list of improvements and associated costs. Real Property Costs * Also attach a copy of building permit if project has already begun. $500,000.00 6b. Cost of machinery, equipment. furniture and fixtures * Attach itemized listing with month, day and year of beginning of installation plus total costs Persona! Property Costs $3,275,000.00 6c. Total Project Costs 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/0/Y) End Date (M/0/Y) Real Property Improvements 9/1/07 2/1/08 [ ] Owned D Leased Personal Property Improvements 1/1/08 3/1/08 [ ) Owned D Leased 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 Committment to receive this exemption. D Yes D No 9. Number of existing jobs at this facility that will be retained as a result of this project. 10. _Number of ~ew jobs at this facility expected to be created within two years of 5 proJect completcon. 11. Rehabilitation applications only: Complete a, band c of this section. You must attach the assessor's statement of valuation for the entire plant rehabi!itation district. The SEV data below must be as of December 31 of the year prior to the rehabilitation. a. SEV of Real Property (excluding land) b. SEV of Personal Property (excluding inventory) c. Total SEV . 12a. Check the type of District the facility is located in: (K] Industrial Development District 0 Plant Rehabi!itation District 12b. Date district was established by local government unit (contact local unit) 12c. Is this application for a speculative builiding (Sec. 3(8))7 2/25/97 City of Muskegon D Yes I!] No Form 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 '1erein 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 :,ubmitted. 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. Phone Number 13c. Fax Number 13d. E-mail Address William J Powers 616 957-0520 Ext 51 1 (616) 957-5217 bpowers@adacautomoti 14a. Name of Contact Person 14b. Phone Number 14c, Fax Number 14d. E-mail Address William J Powers 616 957-05200Ext 51 1 (616) 957-5217 bpowers@adacautomoti 15c. Fax Number (616) 957-5217 15d. Date I,.(/. 15f. Phone Number 15g. E-maif Address Grand Rapids, MI 495 2 (616) 975-6143 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 (,, Jleqr-5 ;er-5ona/ / l~O/Crty 16b. The State Tax Commission Requires the following documents be filed for an administratively complete application: J8f Abatement Approved for /cf< Years (1-12)PGe/ !r"/1er-lJ' Check or Indicate NIA if Not Applicable After Completion OYes ONo ~1 Original Application plus attachments, arid one complete copy 2. Resolution establishing district D Denied (Include Resolution Denying) 16a. Documents Required to be on file with the Local Unit Check or Indicate NIA if Not Applicable 1:&. - 3. Resolution approving/denying application. 4. Letter of Agreement (Signed by local unit and applicant) 5. Affidavit of Fees (Signed by local unit and applicant} ~ 2.• Notice Q. Building Permit for real improvements if project has already begun "" "°''° ""' o of""'"- ·• ••c•• ~"" ato taxing authorities """'"'"' opportunity a as= for a hearing. ~ 7. 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) ~ 17. Name of local Government Body 18. Da!e of Resolution Approving/Denying this Application 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-mai! Address be.c./(er ann,beclrer {J o.sfma,,, or 19f. Fax Number .J.3/ 7c:? f- fl 7J' 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 STC USE ONLY LUCI Code Begin Date End Date End Date2 JUL/11/2007/WED 04:39 PM P. 003 07-11-'07 13:54 FROM-City of Muskegon 2317246790 T-326 P002/002 F-645 INDUSTRIAL FACILITIES EXEMPTION APPLICATION AFFIDAVIT OF FEES We do swear and affirm by our signatures below that "no payment of any kind in excess of the fee allowed, by PA Act 198 of 1974, as amended by Public Act 323 of 1996, has beeh made or promised in exchange for favorable consldera1ron of an exemption certificate application." • .,,··~ • City of Muskegon, Michigan Signed _ _ _ _ _ _ __ Print Name _ _ _ _ _ _ _ __ Title _ _ _ _ _ _ _ __ Dated _ _ _ _ _ _ _ __ A l App . iPlc ~ ics : Signed .,,; _ _~~+--~--- ;.:_,::ef.:.:.:· Print N ·e . "'~ Title .b~i,.c,n:,.e of t:v¾,wc:= S:ym•::A.-<... ~ Dated l 1 [ 11 1M1: JUL/11/2007/WED 04:39 PM P. 002 ADAC Automotive IFT Equipment Listing Application Dated 6/27107 Personal Property: Racking for Warehouse $500,000.00 Total $500,000.00 City of Muskegon Industrial Facilities Exemption Application Summary Sheet \\'cst. ~lll'lll~<m's Slwrellne t:11.y Project Summary: ADAC PLASTICS, INC., an existing manufacturing company located at 1801 Keating Avenue, Muskegon, Michigan, is installing new machinery and equipment to expand its present operation. The company is a manufacturer of engineered products, primarily for the automotive industry. Due to the fact that the company is investing $2,775,000 in real property and $500,000 in personal property, it is eligible for a 12 year exemption for real property and a nine (9) year exemption for personal property. Employment Information: Racial Characteristics: White 169 Minority 90 Total 259 i . ' Gender Characteristics: Male 94 JUL t 3 2007 Female 165 Total 259 Total No. of Anticipated New Jobs: 0 Investment Information: Real Property: $2,775,000 Personal Property $500,000 Total: $3,275,000 Property Tax Information: (Annual) All Jurisdictions City Only Total New Taxes Generated $ 936,496 $ 181,323 Value of Abatement $ 468,248 $ 90,662 Total New Taxes Collected $ 468,248 $ 90,662 Income Tax Information: (Annual) Total Additional Income Tax Generated: $O Company Requirements: Adopted Affirmative Action Policy .ti( Yes • No Meeting w/ City Affirmative Action Director 11( Yes • No Signed Tax Abatement Contract ,,, Yes • No Taxes Paid In Full ,l\l Yes • No Zoning Conflicts • Yes \>t No -//~L ~ f( i/lv&f!i tf \,ihfhJ41ll'd) Mike Franzak ~_.., wana Thompson Planner II Affirmative Action Director Commission Meeting Date: July 24, 2007 Date: July 16, 2007 To: Honorable Mayor & City Commission From: Planning & Economic Development Department Cf?j:., RE: Extension of Time Period For Existing Renaissance Zone Parcels SUMMARY OF REQUEST: Last year, PA 440 (HB 5942) amended the Michigan Renaissance Zone Act (PA 376 of 1996) to allow for the extension of time for one or more portions of existing Renaissance subzones. In order for any extensions to be approved by the State, the local municipality must first grant approval. In addition, the development must be new to the zone and it must be shown that the existing renaissance zone has not experienced significant development. Staff is aware of a few projects that will be seeking Renaissance Zone extensions. Therefore, City Commission is asked to approve the attached Policy for "Extension of Time Period for Existing Renaissance Zone Parcels". Any and all requests for individual extensions will require an Agreement between the property owner/developer and the City, and will be presented to the City Commission for approval. FINANCIAL IMPACT: None at this time, but approval of the Policy should generate additional development within the Muskegon Renaissance Zones. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: To approve the attached Policy. COMMITTEE RECOMMENDATION: None. CITY COMMISSION POLICY EXTENSION OF TIME PERIOD FOR EXISTING RENAISSANCE ZONE PARCELS (July 24, 2007) POLICY: The City will establish a program which allows individuals, businesses, developers and business areas to submit proposals for extending the timeline for properties in the City's Renaissance zone for significant new economic development projects. Applications will be accepted to extend the time period for individual parcels for specific economic development projects located within the existing Zones and will be evaluated on the basis of the criteria identified in this policy. PURPOSE: To provide guidelines for evaluating and approving requests for extension of Renaissance Zone parcels for new development in zones that have not experienced significant development. GOALS: The City's goals in extending the time period for existing individual Renaissance Zone parcels are: 1. To create jobs; 2. To encourage investment; and 3. To clean up and reutilize vacant and underutilized properties. BACKGROUND In 1999, the Cities of Muskegon and Muskegon Heights were jointly designated as a Renaissance Zone. At that time, the City of Muskegon selected two areas of the city as sub- zones. The City of Muskegon Heights designated four sub-zones. These sub-zones are identified as development zones that are virtually tax free for fifteen years. In 2000, the State of Michigan approved legislation, permitting the Muskegon/Muskegon Heights Renaissance Zone to apply to the Michigan Economic Development Corporation to expand existing zones contiguously and designate up to four new sub-zones. In 2002, four new sub-zones were approved by the State for the City of Muskegon. The goal of the program has been to encourage investment and create jobs by reutilizing vacant, contaminated, and underutilized properties in blighted neighborhoods and industrial zones In 2006, the State of Michigan approved legislation which allows communities to apply to the Michigan Economic Development Corporation to extend the time period for existing Renaissance Zone parcels when a major economic development opportunity is proposed. PROGRAM The City will establish a program which allows individuals, businesses, developers and business areas to submit proposals for extending the timeline for properties in the City's Renaissance Zone for significant new economic development projects. Applications will be accepted to extend the time period for individual parcels for specific economic development projects located within the existing Zones and will be evaluated on the basis of the criteria identified in this policy. REVIEW PROCESS Proposal Content: All proposals must demonstrate that the project cannot reasonably be facilitated in the existing Renaissance Zone time frame. They must identify the parcels being proposed for extension of the Zone, the amount of real and personal property tax currently assessed to the site(s), and verify that the property meets at least three of the threshold criteria. Also, proposals should describe the type of use, amount of investment, jobs to be created, and other pertinent information about the project. A proforma showing the difference in return on investment with and without Renaissance Zone savings must be submitted with the proposal. The applicant will supply a statement of Renaissance Zone outcomes achieved since inclusion of the property in the zone, which include the number of years that the property has been in the Zone, the total investment in the property and building, the investment in personal property, the employment at the start of the Zone and the current employment at the site. The applicant will provide an estimate of the tax savings, to date, from the Renaissance Zone designation. Applicants must pay a $5000 application fee and agree to pay all legal fees associated with the preparation of a Development Agreement. Review: A proposal must meet a minimum of three of the threshold requirements that will be reviewed by City Staff based on the extent to which the project addresses the evaluating factors cited in this policy. A review of the capacity, if any, below the modified (see next paragraph) $500,000 cap of property and income tax revenue the City may forego to support the Renaissance Zone program will be made as each application is reviewed. INVESTMENT CAP LIMITATION • The original City Renaissance Zone established an investment cap in 1999 at $50,000, focusing solely on lost City tax revenue. • This revised policy maintains the $50,000 cap, but will evaluate projects on a case-by-case basis to determine whether the project is cap neutral, adds cap capacity or reduces available cap capacity. • Cap Capacity will be determined by analyzing the annual value of income tax receipts from new jobs created within the City Renaissance Zones. The value will be used to calculate the available cap capacity as follows: $50,000 Base Cap Established 1999 ($8,200) Existing Cap Capacity Utilized $41,800 Existing Cap Capacity (before Income Tax Factor) $1,000 Total 1999 Job Value (from new jobs created in Ren. Zone) $42,800 Total Remaining Cap Capacity Where: Base Cap = The Cap of $50,000 established by City Commission in 1999 Utilized Cap Value = The estimated amount of actual property and income tax abated as of January 1999 Existing Cap Capacity = The difference between the Base Cap and the Utilized Cap Value Job Value = The total number of jobs created by all projects in the City"s Renaissance Zone multiplied by an estimated income tax value of $300 per job Remaining Cap Capacity = Amount of City public revenue remaining to be invested in Renaissance Program • A project"s cap capacity impact will be determined by calculating the difference between property tax loss and income tax to be generated by the proposal. Projects may be neutral. may add cap capacity or may reduce cap capacity. DEVELOPMENT AGREEMENT Successful applicants will be required to enter into a development agreement with the City committing to the investment and/or job creation it has proposed and posting a performance bond or other guarantee of performance acceptable to the City. The City Commission will make a determination as to the number years each new or expanded area will be designated as a zone on a case-by-case basis and in compliance with State law. In no case will the designation be for more than fifteen years from the date of application to the Board of the Michigan Strategic Fund. THRESHOLD CRITERIA Must meet "a" or "b" of the following criteria plus two others to be considered for a Renaissance Zone Extension. a. Project will be a catalyst for a major development or for multiple redevelopment opportunities in the City. b. Project will add significant new City income tax from the creation of jobs new to Muskegon within three years of project completion. This income tax is to offset the loss of property taxes which are abated under the Renaissance Zone expansion. c. Property has been vacant or fifty percent of building(s) unoccupied, for at least one year. d. Project investment will be significant on a square foot basis. e. Property is a contaminated site or functionally obsolete, as defined by current Michigan law. f. Project shows other evidence of under-utilization or disinvestment. EVALUATION FACTORS Proposals for extending existing Zone areas which meet the appropriate threshold criteria will be considered based on the extent to which a project addresses the following evaluation factors: a. The amount of income tax to be generated by new jobs relative to the amount of local City taxes abated. b. The amount of investment in buildings and equipment. c. The project allows a business to expand in the City, retains a significant number of jobs in the City, and/or will add jobs. d. The project includes other investment in neighborhood revitalization or public infrastructure improvements or utilizes other public and private financing tools to maximize redevelopment benefits. e. In the case of residential property, the extent to which the project will work to deconcentrate poverty, create mixed use redevelopment or develop downtown housing. f. The amount of tax loss for the project does not exceed the amount the City Commission identifies for support of Renaissance Zones. g. The extent to which designation may adversely affect DOA or other City financial obligations. h. The project will enhance an area of the City and/or cause additional investment. i. The project is consistent with the City's Master Plan. j. Compliance with the following City ordinances and policies: 1. All applicants must be current with all real and personal property taxes. 2. All applicants must not be under written orders for violations of the zoning ordinance. 3. All applicants must have a satisfactory record of compliance with regulations enforced by the City's Environmental Services Department. k. History of investment. What is the history of ownership of and investment in the property since it was designated as a Renaissance Zone? What are the reasons that the property is still blighted and underutilized? OTHER CONDITIONS The City reserves the right to not award Renaissance Zone status to any or all proposals, nor is it obligated to abate taxes to the limit of capacity available. It may also decide to exceed the cap, if it believes the benefits of a project to the City warrant doing so. Applications must be filed by October 15, 2011, in order that they can be filed with the State by December 31, 2011. New Renaissance Zone designations are subject to approval by the Michigan Economic Development Corporation. Adopted July 24, 2007 ~~~~½ 2,~~U-, Ann Marie Becker, MMC City Clerk CITY COMMISSION MEETING Tuesday, July 24, 2007 TO: Honorable Mayor and City Commissioners FROM: Mark Kincaid Deputy Director of Public Safety DATE: July 5, 2005 SUBJECT: Request to Purchase Office Furniture SUMMARY OF REQUEST: Fire Department staff is requesting approval by the Commission to allow for the procurement of office furniture for the new Central Fire Station. The low bid, which meets all stated specifications, was submitted by Lakeshore Office Furniture, 2615 Temple St. Muskegon, MI 49444. The bid price submitted by Lakeshore is $6504.20. A bid sheet is attached. FINANCIAL IMPACT: Funds for this purchase are provided for in the building fund for the new Central Fire Station. BUDGET ACTION REQUIRED: None STAFF RECOMMENDATIONS: Approval City of Muskegon Office Furniture Bids 6-12-07 Lakeshore Office Furniture $6504.20 2615 Temple St. Muskegon MI 49444 Interphase Inc. $7276.64 3036 Eastern Ave. SE Grand Rapids MI 49508 Modern Office Interiors $9312.50 1354 W. Randall Coopersville MI 49404 Kentwood Office Furniture $12,943.18 3063 Breton Rd. SE Grand Rapids MI 49512
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