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CITY OF MUSKEGON CITY COMMISSION MEETING MARCH 28, 2006 CITY COMMISSION CHAMBERS@ 5:30P.M. AGENDA o CALL TO ORDER: o PRAYER: o PLEDGE OF ALLEGIANCE: o ROLL CALL: o HONORS AND AWARDS: o INTRODUCTIONS/PRESENTATION: o CONSENT AGENDA: A. Approval of Minutes. CITY CLERK B. Appointment to the Zoning Board of Appeals. CITY CLERK C. 2006, 2007 and 2008 Street Sweeping Contract. PUBLIC WORKS D. FIRST READING: Zoning Ordinance Amendment to the Sign Ordinance. PLANNING & ECONOMIC DEVELOPMENT E. FIRST READING: Zoning Ordinance Amendment to Article II (Definitions). PLANNING & ECONOMIC DEVELOPMENT F. FIRST READING: Zoning Ordinance Amendment- Flood Hazard Areas. PLANNING & ECONOMIC DEVELOPMENT G. City - MOOT Agreement for Lakeshore Drive, McCracken to Laketon. ENGINEERING H. City - MOOT Agreement for Park Street. Laketon to Southern Avenue. ENGINEERING I. Budgeted Meter Reading Equipment Replacement. PUBLIC WORKS J. Consideration of Proposals for Right of Way Survey on Shoreline Drive. ENGINEERING o PUBLIC HEARINGS: A. Designation of Cole's Quality Foods and Surrounding Area as a Neighborhood Enterprise Zone. PLANNING & ECONOMIC DEVELOPMENT B. Request for an Industrial Facilities Exemption Certificate - Ameriform Inc. PLANNING & ECONOMIC DEVELOPMENT o COMMUNICATIONS: o CITY MANAGER'S REPORT: o UNFINISHED BUSINESS: A. Concurrence with the Housing Board of Appeals Notice and Order to Demolish 442 W. Muskegon. PUBLIC SAFETY o NEW BUSINESS: A. Request for Preliminary Planned Unit Development Approval for 1050 W. Western Avenue. PLANNING & ECONOMIC DEVELOPMENT B. FIRST READING: Rezoning Request for Properties Located at 1438, 1446, 1458, 1468, and 1478 Terrace Street. PLANNING & ECONOMIC DEVELOPMENT C. FIRST READING: Zoning Ordinance Amendment to Article XXII. Nonconforming Uses. PLANNING & ECONOMIC DEVELOPMENT D. Consideration of Bids for Nims Street Tank Painting (W-651). ENGINEERING E. Muskegon Area Intermediate School District Encroachment Agreements. ENGINEERING F. Terrace Lots Request for Proposals. CITY MANAGER G. Arialink Telecommunication, LLC - METRO Act Permit Application Request. ASSISTANT CITY MANAGER H. Concurrence with the Housing Board of Appeals Notice and Order to Demolish 1272 Spring, 530 Catherine, 1357 Terrace-Garage, and 1435 Park. PUBLIC SAFETY o ANY OTHER BUSINESS: o PUBLIC PARTICIPATION: )> Reminder: Individuals who would like to address the City Commission shall do the following: )> Fill out a request to speok form attached to the agenda or located in the back ot the room. )> Submit the form to the City Clerk. )> Be recognized by the Chair. )> Step forward to the microphone. > State name and address. )> Limit of 3 minutes to address the Commission. )> (Speaker representing a group may be allowed 10 minutes if previously registered with City Clerk.) D ADJOURNMENT: ADA POLICY: THE CITY OF MUSKEGON WILL PROVIDE NECESSARY AUXILIARY AIDS AND SERVICES TO INDIVIDUALS WHO WANT TO ATTEND THE MEETING UPON TWENTY FOUR HOUR NOTICE TO THE CiTY OF MUSKEGON. PLEASE CONTACT GAIL A. KUNDINGER, CITY CLERK, 933 TERRACE STREET, MUSKEGON, Ml 49440 OR BY CALLING (231) 724-6705 OR TOO: (231) 724-4172. Date: March 28, 2006 To: Honorable Mayor and City Commissioners From: Gail A. Kundinger, City Clerk RE: Approval of Minutes SUMMARY OF REQUEST: To approve minutes for the March 13th Commission Worksession, and the March 14th Regular Commission Meeting. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Approval of the minutes. CITY OF MUSKEGON CITY COMMISSION MEETING MARCH 28, 2006 CITY COMMISSION CHAMBERS@ 5:30P.M. MINUTES The Regular Commission Meeting of the City of Muskegon was held at City Hall, 933 Terrace Street. Muskegon, Michigan at 5:30 p.m., Tuesday, March 28, 2006. Mayor Warmington opened the meeting with a prayer from Pastor Gerald Wahr from the McGraft Memorial Congregational Church after which the Commission and public recited the Pledge of Allegiance to the Flag. ROLL CALL FOR THE REGULAR COMMISSION MEETING: Present: Mayor Stephen Warmington, Vice Mayor Stephen Gawron, Commissioner Kevin Davis, Clara Shepherd, Lawrence Spataro, Sue Wierengo, and Chris Carter, City Manager Bryon Mazade, City Attorney John Schrier, and Deputy City Clerk Linda Potter. 2006-28 CONSENT AGENDA: A. Approval of Minutes. CITY CLERK SUMMARY OF REQUEST: To approve minutes for the March 13th Commission Worksession, and the March 14th Regular Commission Meeting. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Approval of the minutes. B. Appointment to the Zoning Board of Appeals. CITY CLERK SUMMARY OF REQUEST: To appoint Lori Gomez-Payne to the Zoning Board of Appeals. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To make the appointment. COMMITTEE RECOMMENDATION: The Community Relations Committee recommended the appointment at their March 6th meeting. D. FIRST READING: Zoning Ordinance Amendment to the Sign Ordinance. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: Request to amend Section 2334 (Signs, #5,a) of Article XXIII (General Provisions) to allow a building wrap for a building undergoing construction or major renovation. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Staff recommends amendment of the Zoning Ordinance to amend language to allow building wraps. COMMITTEE RECOMMENDATION: The Planning Commission recommended approval of the request at their March 16th meeting. The vote was unanimous with J. Aslakson and T. Michalski absent. E. FIRST READING: Zoning Ordinance Amendment to Article II (Definitions}. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: Request to amend Article II (Definitions) to add a definition for "Building Wrap". FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Staff recommends amendment of the Zoning Ordinance to add a definition for "Building Wrap". COMMITTEE RECOMMENDATION: The Planning Commission recommended approval of the amendment at their March 16th meeting. The vote was unanimous in favor of the amendment with J. Aslakson and T. Michalski absent. F. FIRST READING: Zoning Ordinance Amendment - Flood Hazard Areas. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: Request to amend Section 2323 (Flood Hazard Areas, #3) of Article XXIII (General Provisions) regarding reference numbers for the Michigan Residential Code and Michigan Building Code. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Staff recommends amendment of the Zoning Ordinance to amend the language for Flood Hazard Areas. COMMITTEE RECOMMENDATION: The Planning Commission recommended approval of the request at their March 16th meeting. The vote was unanimous with J. Aslakson and T. Michalski absent. G. City - MOOT Agreement for Lakeshore Drive, McCracken to Laketon. ENGINEERING SUMMARY OF REQUEST: To approve the contract with MOOT for the milling and resurfacing of Lakeshore Drive from McCracken to Laketon and to approve the resolution authorizing the Mayor and City Clerk to sign the contract. FINANCIAL IMPACT: MOOT's participation is coped at $375,000 but not to exceed 75% of eligible cost. The estimated total construction cost (without engineering which is not eligible) of the project is $500,000. BUDGET ACTION REQUIRED: None at this time. The City's share of the cost will come out of the Major Street and water/sewer funds as was budgeted. STAFF RECOMMENDATION: That the agreement and resolution be approved. I. Budgeted Meter Reading Equipment Replacement. PUBLIC WORKS SUMMARY OF REQUEST: Approval to purchase two SSI AR 4002 Solid State Interrogators - Hand Held Meter Reading Units. Currently, the City owns four units that are 13 years old. This proposal is intended to replace two this year and two in 2007 (under a future request). FINANCIAL IMPACT: Total cost $11,600. BUDGET ACTION REQUIRED: None, included in 2006 Budget. STAFF RECOMMENDATION: Approve purchase from ETNA Supply. J. Consideration of Proposals for Right of Way Survey on Shoreline Drive. ENGINEERING SUMMARY OF REQUEST: Enter into an engineering services agreement with Holland Engineering out of Holland to perform the necessary survey collection, drawings of publicly owned properties and preparation of right-of-way description for Shoreline Drive as requested by MOOT. Holland Engineering was one of four firms to submit quality based proposals which were reviewed by staff from both MOOT and the City. Upon review of qualifications, scope and project team, Holland was deemed as the most qualified and a costed proposal was requested (following MOOT's procedure). After review of the cost verses the scope, Holland Engineering appears to be well within the preliminary estimate of $100,000 for such services at a not to exceed cost of $73,602. FINANCIAL IMPACT: The cost for the engineering services of $73,602. BUDGET ACTION REQUIRED: None, this task is an eligible build Michigan Ill grant for Shoreline Drive expense. STAFF RECOMMENDATION: Enter into an engineering services agreement with Holland Engineering. Motion by Commissioner Spataro, second by Commissioner Carter to approve the Consent Agenda as read minus items C and H. ROLL VOTE: Ayes: Gawron, Shepherd, Spataro, Warmington, Wierengo, Carter, and Davis Nays: None MOTION PASSES 2006-29 ITEMS REMOVED FROM THE CONSENT AGENDA: C. 2006, 2007 and 2008 Street Sweeping Contract. PUBLIC WORKS SUMMARY OF REQUEST: To award a three-year contract to provide four annual street sweepings to Tri-Us Services, Inc., 78 N. Ball Creek Road, Kent City, Michigan. FINANCIAL IMPACT: $148,981.60 each year; $446,944.80 over the course of the contract. Excludes special requests charged at $115/hour. BUDGET ACTION REQUIRED: None, monies appropriated in highway and state trunkline budgets. STAFF RECOMMENDATION: Approval of this request. Motion by Commissioner Shepherd, second by Commissioner Spataro to award the 2006, 2007 and 2008 Street Sweeping Contract to Tri-Us Services. ROLL VOTE: Ayes: Shepherd, Spataro, Warmington, Wierengo, Carter, Davis, and Gawron Nays: None MOTION PASSES H. City - MOOT Agreement for Park Street. Laketon to Southern Avenue. ENGINEERING SUMMARY OF REQUEST: To approve the contract with MDOT for the reconstruction of Park Street from Laketon to Southern and to approve the resolution authorizing the Mayor and City Clerk to sign the contract. FINANCIAL IMPACT: MDOT's participation is coped at $210,518 but not to exceed 81 .85% of eligible cost. The estimated total construction cost (without engineering) of the project. including the non-participating items of watermain & sanitary sewer work is estimated at $551 ,600. BUDGET ACTION REQUIRED: None at this time. The City's share of the cost will come out of the Major Street and water/sewer funds as was budgeted. STAFF RECOMMENDATION: That the agreement and resolution be approved. Motion by Commissioner Shepherd, second by Vice Mayor Gawron to approve the Michigan Department of Transportation Agreement for Park Street, Laketon to Southern Avenue. ROLL VOTE: Ayes: Spataro, Warmington, Wierengo, Carter, Davis, Gawron, and Shepherd Nays: None MOTION PASSES 2006-30 PUBLIC HEARINGS: A. Designation of Cole's Quality Foods and Surrounding Area as a Neighborhood Enterprise Zone. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: To hold a public hearing on designating Cole's Quality Foods and the surrounding area as a Neighborhood Enterprise Zone, and to pass the Statement of Goals, Objectives, Policies, and Findings. Staff will be requesting that the City Commission pass a resolution creating the Neighborhood Enterprise Zone on April 25th. FINANCIAL IMPACT: There is no direct financial impact from the designation of a Neighborhood Enterprise Zone. BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To hold a public hearing on designating Cole's Quality Foods and the surrounding area as a Neighborhood Enterprise Zone, and to pass the Statement of Goals, Objectives, Policies, and Findings. The Public Hearing opened at 5:45 p.m. to hear and consider any comments from the public. No public comments were heard. Motion by Commissioner Carter, second by Commissioner Spataro to close the Public Hearing at 5:47 p.m. ROLL VOTE: Ayes: Warmington, Wierengo, Carter, Davis, Gawron, Shepherd, and Spataro Nays: None MOTION PASSES B. Request for an Industrial Facilities Exemption Certificate - Ameriform Inc. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: Pursuant to Public Act 198 of 197 4, as amended, Ameriform Inc., 1790 Sun Dolphin, has requested the issuance of an Industrial Facilities Exemption Certificate for the property located at 1790 Sun Dolphin Drive, Muskegon. The total capital investment is approximately $651,030 in personal property and $324,983 in real property. This request qualifies Ameriform Inc. for a term of 12 years for real property and 9 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 12 years for real property and 9 years for personal property. The Public Hearing opened at 5:48 to hear and consider any comments from the public. No public comments were heard. Motion by Vice Mayor Gawron, second by Commissioner Spataro to close the Public Hearing at 5:50 p.m. and approve resolution granting an Industrial Facilities Exemption Certificate for a term of 12 years for real property and 9 years for personal property to Ameriform Inc. ROLL VOTE: Ayes: Wierengo, Carter, Davis, Gawron, Shepherd, Spataro, and Warmington Nays: None MOTION PASSES 2006-31 UNFINISHED BUSINESS: A. Concurrence with the Housing Board of Appeals Notice and Order to Demolish 442 W. Muskegon. PUBLIC SAFETY SUMMARY OF REQUEST: This is to request that the City Commission concur with the findings of the Housing Board of Appeals that the structure located at 442 W. Muskegon is unsafe, substandard, a public nuisance, and that it be demolished within 30 days. It is further requested that administration be directed to obtain bids for the demolition of the structure and that the Mayor and City Clerk be authorized and directed to execute a contract for demolition with the lowest responsible bidder. FINANCIAL IMPACT: CDBG Funds BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To concur with the Housing Board of Appeals decision to demolish. Motion by Commissioner Spataro, second by Vice Mayor Gawron to concur with the Housing Board of Appeals notice and order to demolish 442 W. Muskegon Avenue, ROLL VOTE: Ayes: Carter, Gawron, Spataro, and Warmington Nays: Davis and Wierengo Abstain: Shepherd MOTION PASSES 2006-32 NEW BUSINESS: A. Request for Preliminary Planned Unit Development Approval for 1050 W. Western Avenue. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: The request for preliminary Planned Unit Development approval for 1050 W. Western Avenue (Hartshorn Building property) is for a mixed use recreational and commercial development. The request is by John Bultema II, GLM Properties, LLC. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Staff recommends preliminary approval of the preliminary Planned Unit Development provided that the conditions listed in the resolution are met. COMMITTEE RECOMMENDATION: The Planning Commission recommended preliminary approval of the Planned Unit Development, with the conditions listed on the resolution, at their March 16th meeting. The vote was unanimous with J. Aslakson and T. Michalski absent. Motion by Vice Mayor Gawron, second by Commissioner Carter to grant preliminary approval of the Planned Unit Development for 1050 W. Western Avenue for mixed use recreational and commercial development. ROLL VOTE: Ayes: Davis, Gawron, Shepherd, Spataro, Warmington, Wierengo, and Carter Nays: None MOTION PASSES B. FIRST READING: Rezoning Request for Properties Located at 1438. 1446, 1458, 1468. and 1478 Terrace Street. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: Request to rezone the properties located at 1438, 1446, 1458, 1468, and 1478 Terrace Street from B-2, Convenience and Comparison Business District to R-1, One Family Residential District. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Staff recommends approval of the request. COMMITIEE RECOMMENDATION: The Planning Commission recommended approval of the request at their March 16th meeting. The vote was unanimous with J. Aslakson and T. Michalski absent. Motion by Commissioner Spataro, second by Vice Mayor Gawron to approve the rezoning request for the properties located at 1438, 1446, 1458, 1468, and 1478 Terrace from B-2, Convenience and Comparison Business District to R-1, One Family Residential District. ROLL VOTE: Ayes: Gawron, Shepherd, Spataro, Warmington, Wierengo, Carter, and Davis Nays: None MOTION PASSES C. FIRST READING: Zoning Ordinance Amendment to Article XXII, Nonconforming Uses. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: Request to amend Sections 2200, 2201, 2202, 2203, and 2204 (Nonconforming Uses) of Article XXII of the Zoning Ordinance. STAFF RECOMMENDATION: Staff recommends amendment of Article XXII (Nonconforming Uses) of the Zoning Ordinance. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None COMMITTEE RECOMMENDATION: The Planning Commission recommended approval of the amendment at their March 16th meeting. The vote was unanimous in favor of the amendment with J. Aslakson and T. Michalski absent. Motion by Commissioner Spataro, second by Vice Mayor Gawron to approve the zoning ordinance amendment to Article XXII, nonconforming uses. ROLL VOTE: Ayes: Spataro, Warmington, Wierengo, and Gawron Nays: Shepherd, Carter, and Davis MOTION PASSES- REQUIRES SECOND READING D. Consideration of Bids for Nims Street Tank Painting {W-6511. ENGINEERING SUMMARY OF REQUEST: We received three bids for the painting contract (W- 651) for the Nims Street Tank. The two lowest bidders, M. K. Painting and G & M Painting, failed to submit the Non-Collusion Affidavit as required by the contract. The third bidder, Horizon Brothers, committed a mathematical error (submitted a bid of $440,200 which should have been $441,200). While staff is not recommending acceptance of any of those bids, due to the irregularities, we are however, recommending that M. K. Painting be awarded the contract since they were the lowest bidder with a bid price of $409,700, should the Commission desire to waive those irregularities. FINANCIAL IMPACT: The construction cost of $409.700 plus associated engineering costs. BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: If irregularities are waived, award the contract to M. K. Painting. Motion by Commissioner Davis, second by Commissioner Wierengo to award the bid toM. K. Painting for the painting of Nims Street Tank. ROLL VOTE: Ayes: Spataro, Warmington, Wierengo, Carter, Davis, Gawron, and Shepherd Nays: None MOTION PASSES E. Muskegon Area Intermediate School District Encroachment Agreements. ENGINEERING SUMMARY OF REQUEST: The Muskegon Area Intermediate School District has requested approval at the staff level for encroachment agreements needed to install future pole placements and directional bores within the right of way at various locations throughout the City. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Approval. Motion by Commissioner Spataro, second by Commissioner Carter to approve the Muskegon Area Intermediate School District encroachment agreements. ROLL VOTE: Ayes: Warmington, Wierengo, Carter, Davis, Gawron, Shepherd, and Spataro Nays: None MOTION PASSES F. Terrace Lots Request for Proposals. CITY MANAGER SUMMARY OF REQUEST: To authorize City staff to solicit proposals for the construction of the new central fire station, the development of the remainder of the Terrace lots and the redevelopment of the current central fire station. FINANCIAL IMPACT: Development on the Terrace lots and redevelopment of the current fire station will add to the City's tax base. BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To approve the request. Motion by Commissioner Carter, second by Vice Mayor Gawron to request proposals for the Terrace Street lots. ROLL VOTE: Ayes: Wierengo, Carter, Davis, Gawron, Shepherd, Spataro, and Warmington Nays: None MOTION PASSES G. Arialink Telecommunication. LLC - METRO Act Permit Application Request. ASSISTANT CITY MANAGER SUMMARY OF REQUEST: Authorize the Mayor to sign the permit application submitted by Arialink Telecom, LLC. Submittal of the permit application is in response to the City opting into the State's METRO Act. It is requested that approval be conditioned upon verification of satisfactory review of all required documentation that are supposed to accompany the request. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To approve the permit and authorize the Mayor to sign the document. Motion by Commissioner Spataro, second by Vice Mayor Gawron to approve the Arialink Telecommunication, LLC METRO Act Permit Application request. ROLL VOTE: Ayes: Carter, Davis, Gawron, Shepherd, Spataro, Warmington, and Wierengo Nays: None MOTION PASSES H. Concurrence with the Housing Board of Appeals Notice and Order to Demolish 1272 Spring, 530 Catherine. 1357 Terrace-Garage, and 1435 Park. PUBLIC SAFETY SUMMARY OF REQUEST: This is to request that the City Commission concur with the findings of the Housing Board of Appeals that the structures located at 1272 Spring, 530 Catherine, 1357 Terrace - garage, and 1435 Park are unsafe, substandard, a public nuisance, and that they be demolished within 30 days. It is further requested that administration be directed to obtain bids for the demolition of the structures and that the Mayor and City Clerk be authorized and directed to execute a contract for demolition with the lowest responsible bidder. FINANCIAL IMPACT: CDBG Funds BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To concur with the Housing Board of Appeals decision to demolish. Motion by Commissioner Spataro, second by Vice Mayor Gawron to concur with the Housing Board of Appeals notice and order to demolish 530 Catherine and 1435 Park. ROLL VOTE: Ayes: Davis, Gawron, Shepherd, Spataro, Warmington, Wierengo, and Carter Nays: None MOTION PASSES Motion by Commissioner Spataro, second by Vice Mayor Gawron to concur with the Housing Board of Appeals notice and order to demolish 1272 Spring. ROLL VOTE: Ayes: Gawron, Shepherd, Spataro, Warmington, Wierengo, Carter, and Davis Nays: None MOTION PASSES Motion by Vice Mayor Gawron, second by Commissioner Shepherd to concur with the Housing Board of Appeals notice and order to demolish the garage at 1357 Terrace effective April27, 2006. ROLL VOTE: Ayes: Shepherd, Spataro, Warmington, Wierengo, Carter, Davis, and Gawron Nays: None MOTION PASSES ANY OTHER BUSINESS: Various comments were heard. PUBLIC PARTICIPATION: Comments were made and a presentation was given reference the upcoming Hispanic Festival. 2006-33 CLOSED SESSION: To discuss labor negotiations. Motion by Commissioner Carter, second by Commissioner Spataro to go into Closed Session at 7:55p.m. to discuss labor negotiations. ROLL VOTE: Ayes: Spataro, Warmington, Wierengo, Carter, Davis, Gawron, and Shepherd Nays: None MOTION PASSES Motion by Commissioner Carter, second by Commissioner Davis to come out of Closed Session at 8:02 p.m. VOTE: All ayes. Motion by Commissioner Carter, second by Commissioner Spataro to authorize the Mayor and City Clerk to sign documents to move Police to MERS. ROLL VOTE: Ayes: Wierengo, Carter, Davis, Gawron, Shepherd, Spataro, and Warmington Nays: None MOTION PASSES Th e City Commission Meeting adjourned at 8:05p.m . Respectfully sub mitted, Lo.4 Gail A . Kundinger, MMC City Clerk Date: March 28, 2006 To: Honorable Mayor and City Commissioners From: City Clerk, Gail Kundinger RE: Appointment to the Zoning Board of Appeals SUMMARY OF REQUEST: To appoint Lori Gomez-Payne to the Zoning Board of Appeals. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: To make the appointments. COMMITTEE RECOMMENDATION: The Community Relations Committee recommended the appointment at their March 61h meeting. •• RECENEO Date: q , W . os- SEP 2 3 2~r~ CITJ OF MUSK'5GON TAl fNT BANK APPLICATION plications will be kept on n1e for one year. All applicants subject to a background check. NAME: Lo«.: c;,,.. o7. - Qo.y\.? L HOME ADDRESS: ) a d. 0, P! q\ · M (Street, City, State, Zip) ""'".;;,\ s ~ ~ M 1 8'3 Y '1 I HOME PHONE#: ~I · g "13 · 'P I :?: WORK PHONE#: bib ' 5'11.\ · bb\.W OCCUPATION: 0'\o,y:, g. ~ (If re~ive former occupation) EMPLOYER: 0 fc \. e ~ ). Me <\: '* EDUCATION:_ _,a""'-~llll.."?;;.._-'ce!.:l\'---'Co.ic:l..~l.:~>-:"'""-"2)..;;.._.,.__ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __ 1 PERSONAL& COMMUNITY A C T I V I T I E S : - - - - - - - - - - - - - - - - - - - - - ..\... -- 'Mly would you be a good member of this committee? 'Mlat do you bring to the committee ? '\.~ ~ \ -\.\,.; ., c;...: '>.:-'( • PERSONAL REFERENCES: (Please list the name and phone numbers of three personal references) 1. ~ o\o.Y>- f\ o\~9oh> J;). J..- \, \ '\ 5 (Name) (Phone:'umbert 2. ,\>)A'l v.~""'-< 7y L-\- ~"til :;t:, (l)lX:X<:s:-;. 75"'>· boo'] (Name) (Phone Number) PLEASE INDICATE BOARDS/COMMISSIONS/COMMITTEES INTERESTED IN SERVING ON- MARKING #1 AS YOUR FIRST PREFERENCE: ( ) Board of Canvassers ( ) Housing Code Board of Appeals ( ) Board of Review ( ) Housing Commission ( ) Cemetery Committee ( ) Income Tax Board of Review ( ) Citizen'• Police Review Board ( ) Land Reutilization Committee ( ) City Employees Pension Board ( ) Leisure Services Board ( ) Civil SeNice Commission ( ) Loan Fund Advisory Committee ( ) COBG-Citizen's Distrid Council ( ) Local Develop. Finance Authority ( ) Consltuction Board of Appeals ( ) Local Ollioe(a Compensation Com. ( ) Diatrict Ubrary Board ( ) Planning Commission (I<) Downtown Development Authority/Brownfield Board ( ) Polioe/Fireman's Pension Board ( ) Election Commission ( ) Public Relations Committee ( ) Equal Opportunity Committee .1.C" Zoning Board of Appeels (~ Historic District Commission ( ) Hospital Finance Authority Are you willing to serve on other boards/committees not checked off above? YES 8) (Circle one) • Attach Additional Sheets or Resume if Desired. Return !hjs fonm to: City Clerk's Ollice, 933 Terrace St., P. 0. Box 536, Muskegon, Ml 49443-0536 - v - Commission Meeting Date: March 28, 2006 Date: March 17,2006 To: Honorable Mayor and City Commissioners From: Planning & Economic Development f.A&C... RE: Zoning Ordinance Amendment to the Sign Ordinance SUMMARY OF REQUEST: Request to amend Section 2334 (Signs, #5,a) of Article X:Xill (General Provisions) to allow a building wrap for a building undergoing construction or major renovation. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Staff recommends amendment of the Zoning Ordinance to amend language to allow building wraps. COMMITTEE RECOMMENDATION: The Planning Commission recommended approval of the request at their 3/16 meeting. The vote was unanimous with J. Aslakson and T. Michalski absent. 3/17/2006 Staff Report (EXCERPT) CITY OF MUSKEGON PLANNING COMMISSION REGULAR MEETING March 16, 2006 Hearing; Case 2006-08: Staff initiated request to amend Section 2334 (#5, a) (Signs) of Article XXIII of the Zoning Ordinance to allow a building wrap for a building undergoing construction or major renovation. BACKGROUND There are many construction projects taking place, particularly in Muskegon's downtown area. Since often there are questions that arise from the public regarding what the nature of the construction is or who to contact if someone is interested in leasing space, a suggestion was made to staff regarding some sort of signage for the sites. The large banner hanging on the Watermark is an example of what could possibly be used. Also perhaps a "Coming Soon" type of sign with a picture of the future building. By making a minor change to the sign ordinance, it would make it possible to have some larger banner type signs, !mown as "building wraps". These types of signs would need to be securely fastened so they aren't blowing around and causing a safety hazard. A sign of this type would also need to be removed once the project is completed or a certificate of occupancy is issued. The City Attomey has reviewed and approved the proposed language. NEW LANGUAGE Deletions are crossed oat and additions are bold. 5. Exempt Signs: The following signs, provided such signs are established in a lawful manner and placed so as not to cause a nuisance or create a safety hazard, are permitted without a permit: [amended 6/03] [amended 8/05] a. One real estate sale and "For Rent" or "Lease" or construction sign per prope1ty not exceeding eight (8) square feet in display area when located within a residential district. For all other districts, one real estate sale and "For Rent" or "Lease" sign per major bordering street complying with the standards of Table II. In all districts, a building undergoing construction or major renovation may have one building wrap covering no more than 40% of one face of the building bordering a street. The building wrap must be removed at such time that the construction or renovation project is complete or a certificate of occupancy has been issued. All building 2 wraps must be neatly hung, taut and secure, and may not pose a hazard public safety. DELIBERATION I move that the amendment to Sections 2334 (#5,a), of Article XXill (Signs), of the Zoning Ordinance, be recommended to the City Commission for (approvaVdenial). 3 CITY OF MUSKEGON MUSKEGON COUNTY, MICHIGAN ORDINANCE NO. 218 7 An ordinance to amend Section 2334 (Signs, #5, a) of Article XXIII (General Provisions) to allow a building wrap for a building undergoing construction or major renovation. THE CITY COMMISSION OF THE CITY OF MUSKEGON HEREBY ORDAINS: Section 2334 (Signs, #5, a) of Article XXIII (General Provisions) is hereby amended to add ordinance language to allow a building wrap for a building undergoing construction or major renovation, as follows: 5. Exempt Signs: The following signs, provided such signs are established in a lawful manner and placed so as not to cause a nuisance or create a safety hazard, are permitted without a permit: [amended 6/03] [amended 8/05] a. One real estate sale and "For Rent" or "Lease" or construction sign per property not exceeding eight (8) square feet in display area when located within a residential district. For all other districts, one real estate sale and "For Rent" or "Lease" sign per major bordering street complying with the standards of Table II. In all districts, a building undergoing construction or major renovation may have one building wrap covering no more than 40% of one face of the building bordering a street. The building wrap must be removed at such time that the construction or renovation project is complete or a certificate of occupancy has been issued. All building wraps must be neatly hung, taut, secure, and presentable and may not pose a hazard public safety. This ordinance adopted: Ayes: Gawron, Shepherd, Spataro, Warmington, Wierenga, Carter, Davis Nayes:___,_,No=n:.::e=--------------------------- Adoption Date: March 28, 2006 Effective Date: April 13, 2006 First Reading: March 28, 2006 Second Reading:_N:...:..:/...;:..A=------- -- - -- - -- - CITY OF MUSKEGON Commission Meeting Date: March 28, 2006 - Zoning Ordinance Amendment to allow building wraps 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 28th day of March, 2006, 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 ofMuskegon. 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. ~ . j . . DATED: ~ 'J..'j ,2006. • L 0.~r Gail A. Kundinger, 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 March 28, 2006, the City Connnission of the City ofMuskegon adopted an ordinance to amend Section 2334 (Signs #5, a) of Article XXIII (General Provisions) to allow a building wrap for a building undergoing construction or major renovation. Copies ofthe 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 ofthis publication. Published _.......:.A,.,p::::.rc:,il::_::3:.__ _ _, 2006 CITY OF MUSKEGON By __~~~~--~~----- Gail A. Kundinger, MMC City Clerk PUBLISH ONCE WITHIN TEN (I 0) DAYS OF FINAL PASSAGE. Account No. I 01-80400-5354 7 Commission Meeting Date: March 28, 2006 Date: March 17, 2006 To: Honorable Mayor and City Commissioners From: Planning & Economic Development WC- RE: Zoning Ordinance Amendment to Article II (Definitions) SUMMARY OF REQUEST: Request to amend Article II (Definitions) to add a definition for "Building Wrap". FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Staff recommends amendment of the Zoning Ordinance to add a definition for "Building Wrap". COMMITTEE RECOMMENDATION: The Planning Commission recommended approval of the amendment at their 3/16 meeting. The vote was unanimous in favor of the amendment with J. Aslakson and T. Michalski absent. 3/17/2006 1 CITY OF MUSKEGON MUSKEGON COUNTY, MICHIGAN ORDINANCE N0.2188 An ordinance to amend Article II (Definitions) of the Zoning Ordinance to add a defmition for "Building Wrap". THE CITY COMMISSION OF THE CITY OF MUSKEGON HEREBY ORDAINS: Article II (Definitions) is hereby amended to include the following definition for "Building Wrap": Building Wrap -A large "banner-type" display typically composed of pictorial and text elements which is constructed of reinforced vinyl or porous mesh-like material and is temporarily attached to one or more exterior walls of a building. This ordinance adopted: Ayes: Gawron, Shepherd, Spataro, Warmington, Wierenga, Carter, Davis Nayes: None Adoption Date: March 28, 2006 Effective Date: April 13, 2006 First Reading: March 28, 2006 Second Reading: N/A CITY OF MUSKEGL . By: ~0 . ~r-v Gail A. Kundinger, MMC Clerk Commission Meeting Date: March 16, 2006- Zoning Ordinance Amendment for definition of"Building Wrap" CERTIFICATE The undersigned, being the duly qualified clerk of the City ofMuskegon, Muskegon County, Michigan, does hereby certify that the foregoing is a true and complete copy of an ordinance adopted by the City Commission ofthe City ofMuskegon, at a regular meeting of the City Commission on the 281h day of March, 2006, 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. ~ , • j . DATED: 'f\t)OL'.eJ.-. I 1_ '1 , 2006. \jS)a.J_, Q.~Ja» Gail A. Kundinger, MMC Clerk, City of Muskegon Publish: Notice of Adoption to be published once within ten (1 0) days of final adoption. CITY OF MUSKEGON NOTICEOFADOPTION Please take notice that on March 28, 2006, the City Commission of the City of Muskegon adopted an ordinance to amend Article II (Definitions) of the Zoning Ordinance to add a definition for "Building Wrap". Copies of the ordinance maybe 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 _ __,_A"'p"'-r"'il"--=3'-------'' 2006 CITY OF MUSKEGON By __~~--~~----~---- Gail A. Kundinger, MMC City Clerk PUBLISH ONCE WITHIN TEN (10) DAYS OF FINAL PASSAGE. Account No. I 01-80400-5354 0:\P\anning\COMMON\Zoning\City Commission ltems\Amendments\2006 Amendments\Case 2006-09 Building Wrap definition.doc 4 Commission Meeting Date: March 28, 2006 Date: March 17, 2006 To: Honorable Mayor and City Commissioners From: Planning & Economic Development ~ RE: Zoning Ordinance Amendment - Flood Hazard Areas SUMMARY OF REQUEST: Request to amend Section 2323 (Flood Hazard Areas, #3) of Atticle XXlll (General Provisions) regarding reference numbers for the Michigan Residential Code and Michigan Building Code. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Staff recommends amendment of the Zoning Ordinance to amend the language for Flood Hazard Areas. COMMITTEE RECOMMENDATION: The Planning Commission recommended approval of the request at their 3/16 meeting. The vote was unanimous with J. Aslakson and T. Michalski absent. 3/17/2006 Staff Report (EXCERPT) CITY OF MUSKEGON PLANNING COMMISSION REGULAR MEETING March I 6, 2006 Hearing; Case 2006-10: Staff initiated request to amend Section 2323 (#3) (Flood Hazard Areas) of Article XXIII of the Zoning Ordinance regarding reference numbers for the Michigan Residential Code and Michigan Building Code. BACKGROUND This is basically a clean up item in the Flood Hazard Area of the ordinance. This section makes reference to two section numbers, one in the Michigan Residential Building code and one in the Michigan Building Code. These section numbers have changed since the ordinance was last updated, and may change again when ever the two building codes are amended by the State of Michigan. Rather than refer to specific sections, the proposed language merely refers to the "flood-resistant construction requirements" of the two sections. By making this change, we won't need to continually amend the zoning ordinance in the future. NEW LANGUAGE Deletions are crossed out and additions are bold. Changes to Section 2323, (#3): Flood Hazard Areas 3. All new construction and substantial improvement to structures shall be constmcted so that the lowest floor, including basements, for residential stmctures shall comply with gection 327 the llood-t·esistant construction requirements of the Michigan Residential Code or for non-residential buildings shall comply with gection 1812 the flood-resistant construction requirements ofthe Michigan Building Code. DELIBERATION I move that the amendment to Sections 2323 (#3) of Article XXIII (Flood Hazard Areas), of the Zoning Ordinance, be recommended to the City Cmmnission for (approval/denial). 2 CITY OF MUSKEGON MUSKEGON COUNTY, MICHIGAN ORDINANCE NO. 2189 An ordinance to amend Section 2323 (Flood Hazard Areas, #3) of Article XXIII (General Provisions) regarding reference numbers for the Michigan Residential Code and Michigan Building Code. THE CITY COMMISSION OF THE CITY OF MUSKEGON HEREBY ORDAINS: Section 2323 (Flood Hazard Areas, #3) of Article XXIII (General Provisions) is amended regarding reference numbers for the Michigan Residential Code and Michigan Building Code, as follows: Changes to Section2323, (#3): Flood Hazard Areas 3. All new construction and substantial improvement to structures shall be constructed so that the lowest floor, including basements, for residential structures shall comply with the flood-resistant construction requirements of the Michigan Residential Code or for non-residential buildings shall comply with the flood-resistant construction requirements of the Michigan Building Code. This ordinance adopted: Ayes: Gawron, Shepherd, Spataro, Warmington, Wierenga, Carter, Davis Nayes: None Adoption Date: March 28, 2006 Effective Date: April 13, 2006 First Reading:_----=-M=a=-rc=h~2:.::8...!...,....;2::..:0::..::0:.::6~---------- Second Reading:___:..N;L/..:...:A'---------------- CITY OF MUSKEGON Commission Meeting Date: March 28, 2006 - Zoning Ordinance Amendment - Flood Hazard Areas CERTIFICATE The undersigned, being the duly qualified clerk of the City of Muskegon, Muskegon County, Michigan, does hereby certifY that the foregoing is a ttue 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 28th day of March, 2006, at which meeting a quorum was present and remained throughout, and that the 01iginal of said ordinance is on fi le 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. . j . DATED: PJ~ I J..'l , 2006. L Q -LkF Gail A. Kundinger, MMC Clerk, City of Muskegon Publish: Notice of Adoption to be published once within ten (I 0) days affinal adoption. CITY OF MUSKEGON NOTICE OF ADOPTION Please take notice that on March 28, 2006, the City Commission of the City of Muskegon adopted an ordinance to amend Section 2323 (Flood Hazard Areas #3) of Article XXlll (General Provisions) regarding reference numbers for the Michigan Residential Code and Michigan Building Code. 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, dming regular business hours. This ordinance amendment is effective ten days from the date of this publication. Published _ _A=._p_rl_·1_3_ _ _ _, 2006 CITY OF MUSKEGON By ____~----~------------- Gail A. Kundinger, MMC City Clerk PUBLISH ONCE WITHIN TEN (I 0) DAYS OF FINAL PASSAGE. Account No. 101-80400-5354 Date: March 28, 2006 To: Honorable Mayor and City Commissioners From: Engineering RE: City- MDOT Agreement for: Lakeshore Dr. McCracken to Laketon SUMMARY OF REQUEST: To approve the attached contract with MOOT for the milling & resurfacing of Lakeshore Dr. from McCracken to Laketon and to approve the attached resolution authorizing the Mayor and City Clerk to sign the contract. FINANCIAL IMPACT: MOOT's participation is caped at $375,000 but not to exceed 75% of eligible cost. The estimated total construction cost (without engineering which is not eligible) of the project is $500,000. BUDGET ACTION REQUIRED: None at this time. The City's share of the cost will come out of the Major Street and water/sewer funds as was budgeted. STAFF RECOMMENDATION: That the attached agreement and resolution be approved. COMMITTEE RECOMMENDATION: RESOLUTION 2006-28(g) RESOLUTION FOR APPROVAL OF A CONTRACT AGREEMENT BETWEEN THE MICHIGAN DEPARTMENT OF TRANSPORTATION AND THE CITY OF MUSKEGON FOR THE MILLING & RESURFACING OF LAKESHORE DR. FROM McCracken TO LAKETON AVE. TOGETHER WITH OTHER NECESSARY RELATED WORK AND AUTHORIZATION FOR MAYOR STEPHEN J. WARMINGTON AND CITY CLERK GAIL A KUNDINGER TO EXECUTE SAID CONTRACT Moved by Commissioner Spataro and supported by Commissioner__c..:....a_r'-'t'-'ec.,;:r_ _ _ _ _ _ _that the following Resolution be adopted: WHEREAS, entry by the City of Muskegon into Contract no. 06-5083 between the Michigan Department of Transportation and the City of Muskegon for the Milling & Resurfacing of Lakeshore Dr. from McCracken to Laketon within the City is in the best interests of the City of Muskegon. RESOLVED, that entry by the City into Contract Agreement Number 06-5083 be and the same is hereby authorized and approved and the Mayor and Clerk are authorized to execute said contract for and on behalf of the City of Muskegon. Adopted this._ _2_8_ _day of March . 2006. ATIEST Gail A Kundinger, City Clerk CERTIFICATION This resolution was adopted at a meeting of the City Commission, held on March 28 , 2006. The meeting was properly held and noticed pursuant to the Open Meetings Act of the State of Michigan, Act 267 of the Public Acts of I 976. TED (F) CAB NON FED Control Section EDF 61566 Job Number 86953 Contract No. 06-5083 APR 1 3 2006 THIS CONTRACT is made and entered into this date of , by and between the MICHIGAN DEPARTMENT OF TRANSPORTATION, hereinafter referred to as the "DEPARTMENT;" and the CITY OF MUSKEGON, a Michigan municipal corporation, hereinafter referred to as the "REQUESTING PARTY;" for the purpose of fixing the rights and obligations of the parties in agreeing to the following improvements, in the City of Muskegon, Michigan, hereinafter referred to as the "PROJECT" and estimated in detail on EXHIBIT "I," dated February 21, 2006, attached hereto and made a part hereof: Reconstruction work along Lakeshore Drive from McCracken Street to Laketon Avenue; all together with necessary related work. WITNESSETH: WHEREAS, the State of Michigan is hereinafter referred to as the "State;" and WHEREAS, the PROJECT has been approved for financing in part with funds from the State appropriated to the Transportation Economic Development Fund, hereinafter referred to as "TED FUNDS," qualifies for funding pursuant to PA 231, Section 11(2)(b); Public Act of 1987, as amended, and is categorized as: CATEGORY "F" FUNDED PROJECT WHEREAS, the parties hereto have reached an understanding with each other regarding the performance of the PROJECT work and desire to set forth this understanding in the form of a written contract. NOW, THEREFORE, in consideration of the premises and of the mutual undertakings of the parties and in conformity with applicable law, it is agreed: I. The parties hereto shall undertake and complete the PROJECT in accordance with the terms of this contract. 2. The term "PROJECT COST," as herein used, is hereby defined as the cost of the physical construction necessary for the completion of the PROJECT. 01/23/03 TEDDIR.FOR 2/21/06 1 The costs incurred by the REQUESTING PARTY for preliminary engineering, construction engineering and inspection, and right-of-way are excluded from the PROJECT COST as defined by this contract. 3. The DEPARTMENT is authorized by the REQUESTING PARTY to perform, at no cost to the PROJECT, such administration of the PROJECT covered by this contract as is necessary to assist the REQUESTING PARTY to qualify for funding. Such administration may include performing such review, legal, financing, any other PROJECT related activities as are necessary to assist the REQUESTING PARTY in meeting applicable State requirements. The DEPARTMENT shall provide the REQUESTING PARTY with a notice to proceed with the award of the construction contract for the PROJECT. The DEPARTMENT shall make a final acceptance inspection of the PROJECT as necessary to ensure the PROJECT meets State requirements. Failure to comply with State requirements may result in forfeiture of future distributions of the Michigan Transportation Fund as described in Section 6. No charges will be made by the DEPARTMENT to the PROJECT for any inspection work or construction engineering. 4. The REQUESTING PARTY, under the terms of this contract, shall advertise and award the PROJECT work in accordance with the following: A. The REQUESTING PARTY will, at no cost to the DEPARTMENT or the PROJECT, design, or cause to be designed, the PROJECT, and shall accept full responsibility for that design. Any review undertaken by the DEPARTMENT is for its own purposes and is not to nor does it relieve the REQUESTING PARTY of liability for any claims, causes of action or judgments arising out of the design of the PROJECT. B. The REQUESTING PARTY, hereby, certifies to the DEPARTMENT that the plans, specifications, and estimates for the PROJECT have been prepared in compliance with applicable State laws, local ordinances, and State and local standards and regulations. C. The REQUESTING PARTY, hereby, certifies to the DEPARTMENT that the contracting procedures to be followed by the REQUESTING PARTY in connection with the solicitation of the construction contract for the PROJECT shall be based on an open competitive bid process. It is understood that the proposal for the PROJECT shall be publicly advertised and the contract awarded on the basis of the lowest responsive and responsible bid in accordance with applicable State statutes, local ordinances, and State and local regulations. 01/23/03 TEDDIR.FOR 2/21/06 2 (I) The REQUESTING PARTY shall not award the construction contract prior to receipt of a notice to proceed from the DEPARTMENT. (2) Upon verification that contractor selection by the REQUESTING PARTY was made in accordance with the terms of this contract and upon receipt of the "Request for Payment" form from the REQUESTING PARTY, the DEPARTMENT will authorize payment to the REQUESTING PARTY for the eligible amount in accordance with Section 5. D. The REQUESTING PARTY will, at no cost to the PROJECT or the DEPARTMENT, comply with all applicable State statutes, local ordinances, and State and local regulations, including, but not limited to, those specifically relating to construction contract administration and obtain all permits and approvals with railway companies, utilities, concerned State, Federal, and local agencies, etc., and give appropriate notifications as may be necessary for the performance of work required for the PROJECT. The REQUESTING PARTY agrees to comply with all applicable requirements of Part 91, Soil Erosion and Sedimentation Control of the Natural Resources and Environmental Protection Act, 1994 PA 451 as amended by 1995 PA 60 and 1996 PA 173, MCL 324.9101 et. seq., for all PROJECT work performed under this contract, and the REQUESTING PARTY shall require its contractors and subcontractors to comply with the same. E. All work in connection with the PROJECT shall be performed in conformance with the DEPARTMENT'S current Standard Specifications for Construction, special provisions, and the supplemental specifications and plans pertaining to the PROJECT. All materials furnished and used in the construction of the PROJECT shall conform to the aforesaid specifications. Any changes in the scope of work for the PROJECT will require approval by the DEPARTMENT. F. The REQUESTING PARTY shall, at no cost to the PROJECT or to the DEPARTMENT, appoint a project engineer who shall administer the PROJECT and ensure that the plans and specifications are followed, and shall perform or cause to be performed the construction engineering and inspection services necessary for the completion of the PROJECT. Should the REQUESTING PARTY elect to use consultants for construction engineering and inspection, the REQUESTING PARTY shall 01/23/03 TEDDIR.FOR 2/21/06 3 provide a full-time project manager employed by the REQUESTING PARTY who shall ensure that the plans and specifications are followed. G. The REQUESTING PARTY shall require the contractor who is awarded the contract for the construction of the PROJECT to provide, as a minimum, insurance in the amounts specified in and in accordance with the DEPARTMENT'S current Standard Specifications for Construction, and to: (1) Maintain bodily injury and prope1iy damage msurance for the duration of the PROJECT. (2) Provide owner's protective liability insurance naming as insureds the State of Michigan, the Michigan State Transportation Commission, the DEPARTMENT and its officials, agents and employees, the REQUESTING PARTY and any other party with jurisdiction for the roadway being constructed as the PROJECT, and their employees, for the duration of the PROJECT and to provide copies of certificates of insurance to the insureds. It is understood that the DEPARTMENT does not assume either ownership of any portion of the PROJECT or jurisdiction of any REQUESTING PARTY highway as a result of being named as an insured on the owner's protective liability insurance policy. (3) Comply with the requirements of notice of cancellation and reduction of insurance set forth in the current Standard Specifications for Construction and to provide copies of notices and reports prepared to those insured. 5. The PROJECT COST shall be met in pmi by contributions by TED FUNDS. TED FUNDS Category F shall be applied to the eligible items of the PROJECT COST up to an amount not to exceed the lesser of: (1) 75 percent of the approved and responsible low bid amount, or (2) $375,000, the grant amount. The balance, if any, of the PROJECT COST, after deduction of TED FUNDS, is the sole responsibility of the REQUESTING PARTY. The REQUESTING PARTY shall be responsible for the payment of all costs and expenses incurred in the performance of PROJECT work. Based upon the final cost of the PROJECT and/or a request by the REQUESTING PARTY, a payment adjustment may be initiated and/or authorized by the DEPARTMENT for eligible items of the PROJECT COST such that the total amount of TED FUNDS does not exceed the grant amount. The REQUESTING PARTY shall certify all actual costs incurred for work performed under this contract that are eligible for payment with TED FUNDS and will be required to repay any TED FUNDS it received in excess of75 percent of the total of such costs. 01/23/03 TEDDIR.FOR 2/21/06 4 6. The REQUESTING PARTY shall establish and maintain adequate records and accounts relative to the cost of the PROJECT. Said records shall be retained for a period of three (3) years after completion of construction of the PROJECT and shall be available for audit by the DEPARTMENT. In the event of a dispute with regard to allowable expenses or any other issue under this contract, the REQUESTING PARTY shall continue to maintain the records at least until that dispute has been finally decided and the time after all available challenges or appeals of that decision has expired. The DEPARTMENT, or its representative, may inspect, copy, or audit the records at any reasonable time after giving reasonable notice. The REQUESTING PARTY, within six (6) months of completion of the PROJECT and payment of all items of PROJECT COST related thereto, shall make a final reporting of construction costs to the DEPARTMENT and certify that the PROJECT has been constructed in accordance with the PROJECT plans, specifications, and construction contract. In the event that an audit performed by or on behalf of the DEPARTMENT indicates an adjustment to the costs reported under this contract or questions the allowability of an item of expense, the DEPARTMENT shall promptly submit to the REQUESTING PARTY a Notice of Audit Results and a copy of the audit report which may supplement or modify any tentative findings verbally communicated to the REQUESTING PARTY at the completion of an audit. Within sixty (60) days after the date of the Notice of Audit Results, the REQUESTING PARTY shall: (a) respond in writing to the responsible Bureau or the DEPARTMENT indicating whether or not it concurs with the audit repmt, (b) clearly explain the nature and basis for any disagreement as to a disallowed item of expense, and (c) submit to the DEPARTMENT a written explanation as to any questioned or no opinion expressed item of expense, hereinafter referred to as the "RESPONSE". The RESPONSE shall be clearly stated and provide any supporting documentation necessary to resolve any disagreement or questioned or no opinion expressed item of expense. Where the documentation is voluminous, the REQUESTING PARTY may supply appropriate excerpts and make alternate arrangements to conveniently and reasonably make that documentation available for review by the DEPARTMENT. The RESPONSE shall refer to and apply the language of the contract. The REQUESTING PARTY agrees that failure to submit a RESPONSE within the sixty (60) day period constitutes agreement with any disallowance of an item of expense and authorizes the DEPARTMENT to finally disallow any items of questioned or no opinion expressed cost. The DEPARTMENT shall make its decision with regard to any Notice of Audit Results and RESPONSE within one hundred twenty ( 120) days after the date of the Notice of Audit Results. If the DEPARTMENT determines that an overpayment has been made to the REQUESTING PARTY, the REQUESTING PARTY shall repay that amount to the DEPARTMENT or reach agreement with the DEPARTMENT on a repayment schedule within thirty (30) days after the date of an invoice from the DEPARTMENT. If the REQUESTING PARTY fails to repay the overpayment or reach agreement with the DEPARTMENT on a 01/23/03 TEDDIR.FOR 2/21106 5 repayment schedule within the thirty (30) day period, the REQUESTING PARTY agrees that the DEPARTMENT shall deduct all or a portion of the overpayment from any funds then or thereafter payable by the DEPARTMENT to the REQUESTING PARTY under this contract or any other agreement, or payable to the REQUESTING PARTY under the terms of 1951 PA 51, as applicable. Interest will be assessed on any partial payments or repayment schedules based on the unpaid balance at the end of each month until the balance is paid in full. The rate of interest will be based on the Michigan Department of Treasury common cash funds interest earnings. The rate of interest will be reviewed annually by the DEPARTMENT and adjusted as necessary based on the Michigan Department of Treasury common cash funds interest earnings. The REQUESTING PARTY expressly consents to this withholding or offsetting of funds under those circumstances, reserving the right to file a lawsuit in the Court of Claims to contest the DEPARTMENT'S decision only as to any item of expense the disallowance of which was disputed by the REQUESTING PARTY in a timely filed RESPONSE. The REQUESTING PARTY shall comply with the Single Audit Act of 1984, P.L. 998-502 and applicable State laws and regulations relative to audit requirements. 7. At such time as traffic volumes or safety requirements warrant, the REQUESTING PARTY will cause to be enacted and enforced such ordinances or regulations as may be necessary to prohibit parking in the roadway right-of-way tln·oughout the limits of the PROJECT. 8. The REQUESTING PARTY certifies that a) it is a person under 1995 PA 71 and is not aware of and has no reason to believe that the property is a facility as defined in MSA 13A.20101(1)(1); b) the REQUESTING PARTY further certifies that it has completed the tasks required by MCL 324.20126 (3)(h); MSA 13A.20126(3)(h); c) it conducted a visual inspection of property within the existing right of way on which construction is to be performed to determine if any hazardous substances were present; and at sites on which historically were located businesses that involved hazardous substances, it performed a reasonable investigation to determine whether hazardous substances exist. This reasonable investigation should include, at a minimum, contact with local, State and federal environmental agencies to determine if the site has been identified as, or potentially as, a site containing hazardous substances; d) it did not cause or contribute to the release or threat of release of any hazardous substance found within the PROJECT limits. The REQUESTING PARTY also certifies that, in addition to reporting the presence of any hazardous substances to the Department of Environmental Quality, it has advised the DEPARTMENT ofthe presence of any and all hazardous substances which the REQUESTING PARTY found within the PROJECT limits, as a result of performing the investigation and visual inspection required herein. The REQUESTING PARTY also certifies that it has been unable to identify any entity who may be liable for the cost of remediation. As a result, the REQUESTING PARTY has included all estimated costs of remediation of such hazardous substances in its estimated cost of construction of the PROJECT. 01/23/03 TEDDIR.FOR 2/21/06 6 9. If, subsequent to execution of this contract, previously unknown hazardous substances are discovered within the PROJECT limits, which require environmental remediation pursuant to either State or federal law, the REQUESTING PARTY, in addition to reporting that fact to the Department of Environmental Quality, shall immediately notify the DEPARTMENT, both orally and in writing of such discovery. The DEPARTMENT shall consult with the REQUESTING PARTY to determine if it is willing to pay for the cost of remediation and to determine the eligibility, for reimbursement, of the remediation costs. The REQUESTING PARTY shall pay all costs associated with such remediation, including all delay costs of the contractor for the PROJECT. If the REQUESTING PARTY refuses to participate in the cost of remediation, the amount of TED FUNDS the REQUESTING PARTY received from Grant 390 shall be forfeited back to the DEPARTMENT. 10. If State funds administered by the DEPARTMENT are used to pay the cost of remediating any hazardous substances discovered after the execution of this contract and if there is a reasonable likelihood of recovery, the REQUESTING PARTY, in cooperation with the Department of Environmental Quality and the DEPARTMENT, shall make a diligent effort to recover such costs from all other possible entities. If recovery is made, the DEPARTMENT shall be reimbursed from such recovery for the proportionate share of the amount paid by the DEPARTMENT and the DEPARTMENT shall credit such sums to the appropriate funding source. 11. The DEPARTMENT'S sole reason for entering into this contract is to enable the REQUESTING PARTY to obtain and use funds provided by the State. Any and all approvals of, reviews of, and recommendations regarding contracts, agreements, permits, plans, specifications, or documents, of any nature, or any inspections of work by the DEPARTMENT pursuant to the terms of this contract are done to assist the REQUESTING PARTY in meeting program guidelines in order to qualify for available funds. Such approvals, reviews, inspections and recommendations by the DEPARTMENT shall not relieve the REQUESTING PARTY and the local agencies, as applicable, of their ultimate control and shall not be construed as a warranty of their propriety or that the DEPARTMENT is assuming any liability, control or jurisdiction. The providing of recommendations or advice by the DEPARTMENT does not relieve the REQUESTING PARTY and the local agencies, as applicable, of their exclusive jurisdiction of the highway and responsibility under MCL 691.1402, MSA 3.996(1 02). When providing approvals, reviews and recommendations under this contract, the DEPARTMENT is performing a governmental function, as that term is defined in MCL 691.1401; MSA 3.996(1 01), which is incidental to the completion of the PROJECT. 12. The DEPARTMENT, by executing this contract, and rendering services pursuant to this contract, has not and does not assume jurisdiction of the highway, described as the PROJECT for purposes of MCL 691.1402; MSA 3.996(102). Exclusive jurisdiction of such 01/23/03 TEDDIR.FOR 2/21/06 7 highway for the purposes of MCL 691.1402; MSA 3.996(102) rest with the REQUESTING PARTY and other local agencies having respective jurisdiction. 13. The REQUESTING PARTY shall approve all of the plans and specifications to be used on the PROJECT and shall be deemed to have approved all changes to the plans and specifications when put into effect. It is agreed that ultimate responsibility and control over the PROJECT rests with the REQUESTING PARTY and local agencies, as applicable. 14. The REQUESTING PARTY agrees that the costs reported to the DEPARTMENT for this contract will represent only those items that are properly chargeable in accordance with this contract. The REQUESTING PARTY also certifies that it has read the contract terms and has made itself aware of the applicable laws, regulations, and terms of this contract that apply to the reporting of costs incurred under the terms of this contract. 15. In addition to any protection afforded by a policy of insurance, the REQUESTING PARTY agrees to indemnify and save harmless the State of Michigan, the Michigan State Transportation Commission, the DEPARTMENT and all officers, agents, and employees thereof: A. From any an all claims by persons, firms, or corporations for labor, materials, supplies or services provided to the REQUESTING PARTY in cmmection with the contract which the REQUESTING PARTY shall perform under the terms of this contract; and B. From any and all claims for injuries to, or death of, any and all persons, for loss of or damage to property, environmental damage, degradation, response and cleanup costs, and attorney fees or other related costs, arising out of, under, or by reason of the Agreement, including the design of the PROJECT, except claims resulting from the sole negligence or willful acts or omissions of said indemnitee, its agents or employees. The DEPARTMENT shall not be subject to any obligations or liabilities by contractors of the REQUESTING PARTY or their subcontractors or any other person not a party to this contract without its specific consent and notwithstanding its concurrence in or approval of the award of any contract or subcontract or the solicitation thereof. It is expressly understood and agreed that the REQUESTING PARTY shall take no action or conduct which arises either directly or indirectly out of its obligations, responsibilities, and duties under this contract, which results in claims being asserted against or judgments being imposed against the State of Michigan, the DEPARTMENT, and/or the Michigan State Transportation Commission. In the event that the same occurs, for the purpose of this contract, it will be considered as a breach of this contract thereby giving the State of Michigan, the DEPARTMENT, and/or the 01/23/03 TEDDIR.FOR 2/21/06 8 Michigan State Transportation Commission a right to seek and obtain any necessary relief or remedy, including but not by way of limitation, a judgment for money damages. 16. In cmmection with the performance of PROJECT work under this contract the parties hereto (hereinafter in Appendix "A" referred to as the "contractor") agree to comply with the State of Michigan provisions for "Prohibition of Discrimination in State Contracts," as set fmth in Appendix A, attached hereto and made a part hereof. The parties further covenant that they will comply with the Civil Rights Acts of 1964 being P.L. 88-352, 78 Stat. 241, as amended, being Title 42 U.S.C. Sections 1971, 1975a-1975d, and 2000a-2000h-6, and will require similar covenants on the part of any contractor or subcontractor employed in the performance of this contract. 17. The REQUESTING PARTY and other local agencies, as applicable parties, understand and agree that the highway(s) or street(s) being improved under the terms of this agreement and funded with Transportation Economic Development Funds, shall not be subject to any restriction by local authorities in using certain commercial vehicles on such highway(s) or street(s). Such restrictions are in conflict with the basic concept of the Transportation Economic Development Program and Funding. The REQUESTING PARTY, by signing this agreement, agrees to obtain concurrence from other local governmental agencies within whose jurisdiction or control the highway(s) or street(s) are being improved. 01123/03 TEDDIR.FOR 2/21/06 9 18. This contract shall become binding on the parties hereto and of full force and effect upon the signing thereof by the duly authorized officials for the parties hereto and upon the adoption of the necessary resolution approving said contract and authorizing the signatures thereto of the respective officials of the REQUESTING PARTY, a certified copy of which resolution shall be attached to this contract; and with approval by the State Administrative Board. IN WITNESS WHEREOF, the parties hereto have caused this contract to be executed the day and year first above written. CITY OF MUSKEGON MICHIGAN DEPARTMENT OF TRANSPORTATION By Gail A. Kundinger, I -'''~~~- <':;_/r'--·---~·--,_-- ~;;6 City Clerk l:i'"···> ;;~;' . 01123/03 TEDDIR.FOR 2/2!106 10 February 21, 2006 EXHIBIT I CONTROL SECTION EDF 61566 JOB NUMBER 86953 ESTIMATED COST Estimated PROJECT COST Contracted W ark $500,000 ESTIMATED COST PARTICIPATION GRAND TOTAL ESTIMATED COST $500,000 Less TED FUNDS* $375,000 BALANCE (REQUESTING PARTY'S SHARE) $125,000 NO DEPOSIT *TED FUNDS are limited to an amonnt as described in Section 5. 01/23/03 TEDDIR.FOR 2/21/06 II APPENDIX A PROHIBITION OF DISCRIMINATION IN STATE CONTRACTS In connection with the performance of work under this contract; the contractor agrees as follows: 1. In accordance with Act No. 453, Public Acts of 1976, the contractor hereby agrees not to discriminate against an employee or applicant for employment with respect to hire, tenure, terms, conditions, or privileges of employment, or as a matter directly or indirectly related to employment, because of race, color, religion, national origin, age, sex, height, weight, or marital status. Further, in accordance with Act No. 220, Public Acts of 1976 as amended by Act No. 478, Public Acts of 1980 the contractor hereby agrees not to discriminate against an employee or applicant for employment with respect to hire, tenure, terms, conditions, or privileges of employment, or a matter directly or indirectly related to employment, because of a disability that is unrelated to the individual's ability to perform the duties of a particular job or position. A breach of the above covenants shall be regarded as a material breach of this contract. 2. The contractor hereby agrees that any and all subcontracts to this contract, whereby a portion of the work set forth in this contract is to be performed, shall contain a covenant the same as hereinabove set forth in Section l of this Appendix. 3. The contractor will take affirmative action to insure that applicants for employment and employees are treated without regard to their race, color, religion, national origin, age, sex, height, weight, marital status or a disability that is unrelated to the individual's ability to perform the duties of a particular job or position. Such action shall include, but not be limited to, the following: employment, upgrading, demotion or transfer, recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. 4. The contractor will, in all solicitations or advertisements for employees placed by or on behalf of the contractor, state that all qualified applicants will receive consideration for employment without regard to race, color, religion, national origin, age, sex, height, weight, marital status or disability that is unrelated to the individual's ability to perform the duties of a particular job or position. 5. The contractor or his collective bargaining representative will send to each labor union or representative of workers with which he has a collective bargaining agreement or other contract or understanding, a notice advising the said labor union or workers' representative of the contractor's commitments under this appendix. 6. The contractor will comply with all relevant published rules, regulations, directives, and orders of the Michigan Civil Rights Commission which may be in effect prior to the taking of bids for any individual state project. 7. The contractor will furnish and file compliance reports within such time and upon such forms as provided by the Michigan Civil Rights Commission, said forms may also elicit information as to the practices, policies, program, and employment statistics of each subcontractor as well as the contractor himself, and said contractor will permit access to his books, records, and accounts by the Michigan Civil Rights Commission and/or its agent, for purposes of investigation to ascertain compliance with this contract and relevant with rules, regulations, and orders of the Michigan Civil Rights Commission. 8. In the event that the Civil Rights Commission finds, after a hearing held pursuant to its rules, that a contractor has not complied with the contractual obligations under this agreement, the Civil Rights Commission may, as part of its order based upon such findings, certify said findings to the Administrative Board of the State of Michigan, which Administrative Board may order the cancellation of the contract found to have been violated and/or declare the contractor ineligible for future contracts with the state and its political and civil subdivisions, departments, and officers, and including the governing boards of institutions of higher education, until the contractor complies with said order of the Civil Rights Commission. Notice of said declaration of future ineligibility may be given to any or all of the persons with whom the contractor is declared ineligible to contract as a contracting party in future contracts. In any case before the Civil Rights Commission in which cancellation of an existing contract is a possibility, the contracting agency shall be notified of such possible remedy and shall be given the option by the Civil Rights Commission to participate in such proceedings. 9. The contractor will include, or incorporate by reference, the provisions of the foregoing paragraphs (1) through (8) in every subcontract or purchase order unless exempted by the rules, regulations or orders of the Michigan Civil Rights Commission, and will provide in every subcontract or purchase order that said provisions will be binding upon each subcontractor or seller. March, 1998 Date: 03/28/06 To: Honorable Mayor and City Commission From: DPW RE: Budgeted Meter Reading Equipment Replacement SUMMARY OF REQUEST: Approval to purchase two SSI AR 4002 Solid State Interrogators- Hand Held Meter Reading Units. Currently, the city ooos four (4) units that are thirteen (13) years old, this proposal is intended to replace two (2) this year and two (2) in 2007 (under a future request). FINANCIAL IMPACT: Total Cost $11,600 BUDGET ACTION REQUIRED: None. Included in 2006 Budget STAFF RECOMMENDATION: Approve purchase From ETNA Supply. Meter Keacung t:qUipment Keptac_elll_ent_l'ljrc~s_et-·----... ---+- :--------1 ------+----··-_·_······+---~E"i!TNASUPPLY . - - - ~SE~N~S~U~S~.. ¥M~.E~TE~R~I!JN~G=======~ -------+-----+-~52~9~3~2~N~D~S~E~~ SYSTEMS Grand Rapids.Mi Pittsburgh PA-- ol'if\' +-----o""'n="""==----i-====+-----."""""",-------t;===+----.c~~,.-----t--- .. . ·2·- SSI AR4002 Readers WITH TRADE IN $9,000.00 WITH TRADE IN $11,600.00 " AR 4090 Auloguns $2,000.00 $1,812.80 1 AR4005 Master Charging St8rld $600.00 $0.00 charging stand included 1---t---=setupand fiafnnln9--· - ---f----~$o:c_oc.oo:c----.-_1-....-.. -...---.-_-__-.-__-.l-_-_-__-c_$~o~.o;o~-::_-::_-::_-::_t-::_~~~~~~~~~~~~~~-l Total $11,600.00 $13,412.80 Date: March 28, 2006 To: Honorable Mayor and City Commissioners From: Engineering RE: Consideration of Proposals for Right of Way Survey on Shoreline Dr. SUMMARY OF REQUEST: Enter into an engineering services agreement with Holland Engineering out of Holland to perform the necessary survey collection, drawings of publicly owned properties and preparation of right of way description for the Shoreline Dr. as requested by MDOT. Holland Engineering was one of four (4) firms to submit quality based proposals which were reviewed by staff from both MDOT & city. Upon review of qualifications, scope and project team, Holland was deemed as the most qualified and a casted proposal was requested (following MOOT's procedure). After review of the cost verses the scope, Holland Engineering appears to be well within the preliminary estimate of $100,000 for such services at a not to exceed cost of $73,602 FINANCIAL IMPACT: The cost for the engineering services of $73,602. BUDGET ACTION REQUIRED: None, this task is an eligible build Michigan Ill grant for Shoreline Dr. expense. STAFF RECOMMENDATION: Enter into an engineering services agreement with Holland Engineering. COMMITIEE RECOMMENDATION: Agenda Item No. _ _ __ Date: March 28, 2006 To: Honorable Mayor and City Commission From: Robert H. Kuhn, Director of Public Works RE: 2006, 2007 and 2008 Street Sweeping Contract SUMMARY OF REQUEST: To award three-year contract to provide four (4) annual street sweepings to Tri-Us Services, Inc., 78 N. Ball Creek Rd, Kent City, Michigan. FINANCIAL IMPACT: $148,981.60 each year; $446,944.80 over the course of the contract. Excludes special requests charged at $115/hour. BUDGET ACTION REQUIRED: None; monies appropriated in Highway and state trunkline budgets. STAFF RECOMMENDATION: Approval of this request. West Michigan's Shoreline City www.shorelinecJty.com Date: March 15,2006 To: Honorable Mayor and City Commissioners From: Robert H. Kuhn, Director of Public Works Subject: 2006, 2007, 2008 Street Sweeping Contract Two bid proposals to provide street sweeping services for years 2006, 2007 and 2008 were received as the result of solicitation in The Chronicle: Tri-Us Services, Inc., 78 N. Ball Creek Road, Kent City, Michigan and Sanisweep, Inc., 0-3450 Riverhill Drive NW, Grand Rapids, Michigan. Four annual sweeps are required of 357.02 miles of non-trunkline curbed and uncurbed paved streets and paved shoulders and 27.20 miles of trunkline (city portions of Apple Avenue and Seaway Drive) curbed and uncurbed paved streets and paved shoulders. Vendor must also perform special sweeping requests as solicited. Tri-Us Services, Inc. bid $148,981.60 X 3 years= $446,944.80 Annual breakdown $90.00 X 357.02 non-trunkline curb miles= $32,131.80 X 4 sweeps $128,527.20 $188.00 X 27.20 trunkline curb miles= $5,113.60 X 4 sweeps $ 20,454.40 $115.00 per hour, special requests Sanisweep, Inc. bid $203,602.40 X 3 years= $610,807.20 Annual breakdown $130.00 X 357.02 non-trunkline curb miles= $46,412.60 X 4 sweeps $185,650.40 $165.00 X 27.20 trunkline curb miles= $4,488.00 X 4 sweeps $ 17,952.00 $120.00 per hour, special requests Funds to cover all expenses are budgeted. Trunkline expenses are reimbursed by the state. It is our recommendation that the contract be awarded to Tri-Us Services, Inc. In addition to being the low bidder, Tri-Us has provided satisfactory service the past nine (9) years. (L/DPW/Bids/2006 ... ) Date: March 28, 2006 To: Honorable Mayor and City Commissioners From: Engineering RE: City - MOOT Agreement for: Park Street, Laketon to Southern Ave. SUMMARY OF REQUEST: To approve the attached contract with MOOT for the reconstruction of Park St. from Laketon to Southern and to approve the attached resolution authorizing the Mayor and City Clerk to sign the contract. FINANCIAL IMPACT: MOOT's participation is caped at $210,518 but not to exceed 81.85% of eligible cost. The estimated total construction cost (without engineering) of the project, including the non-participating items of watermain & sanitary sewer work is estimated at $551,600. BUDGET ACTION REQUIRED: None at this time. The City's share of the cost will come out of the Major Street and water/sewer funds as was budgeted. STAFF RECOMMENDATION: That the attached agreement and resolution be approved. COMMITTEE RECOMMENDATION: RESOLUTION 2006-29(h) RESOLUTION FOR APPROVAL OF A CONTRACT AGREEMENT BElWEEN THE MICHIGAN DEPARTMENT OF TRANSPORTATION AND THE CITY OF MUSKEGON FOR THE RECONSTRUCTION OF PARK STREET FROM LAKETON AVE. TO SOUTHERN AVE. ALONG WITH WATER, SEWER AND SIDEDWALK WORK TOGETHER WITH OTHER NECESSARY RELATED WORK AND AUTHORIZATION FOR MAYOR STEPHEN J. WARMINGTON AND CITY CLERK GAIL A KUNDINGER TO EXECUTE SAID CONTRACT Moved by Commissioner Shepherd and supported by Commissioner_ _G_a_,.,_r_on _ _ _ _ _ _ _that the following Resolution be adopted: WHEREAS, entry by the City of Muskegon into Contract no. 06-5059 between the Michigan Department of Transportation and the City of Muskegon for the reconstruction of Park Street from laketon to southern within the City is in the best interests of the City of Muskegon. RESOLVED, that entry by the City into Contract Agreement Number 06-5059 be and the same is hereby authorized and approved and the Mayor and Clerk are authorized to execute said contract for and on behalf of the City of Muskegon. __s_ Adopted this._2 __day of March '2006. ATIEST ~;1,~~ Gail A Kundinger, City Clerk CERTIFICATION This resolution was adopted at a meeting of the City Commission, held on March 28 , 2006. The meeting was properly held and noticed pursuant to the Open Meetings Act of the State of Michigan, Act 267 of the Public Acts of 1976. STP DIR Control Section STUL 61407 Job Number 84351 Project STP 0661(009) Federal Item No. HH4588 CFDANo. 20.205 (Highway Research Planning & Construction) Contract No. 06-5059 PARTI THIS CONTRACT, cons1stmg of PART I and PART II (Standard Agreement Provisions), is made and entered into this date of APR 1 3 2006 , by and between the MICHIGAN DEPARTMENT OF TRANSPORTATION, hereinafter referred to as the "DEPARTMENT"; and the CITY OF MUSKEGON, a Michigan municipal corporation, hereinafter referred to as the "REQUESTING PARTY"; for the purpose of fixing the rights and obligations of the parties in agreeing to the following improvements, in the City of Muskegon, Michigan, hereinafter referred to as the "PROJECT" and estimated in detail on EXHIBIT "I", dated February I 0, 2006, attached hereto and made a part hereof: PART A-FEDERALPARTICIPATION Reconstruction work along Park Street from Laketon Avenue to Southern A venue; including hot mix asphalt paving, sidewalk ramps, and pavement marking work; and all together with necessary related work. PART B -NO FEDERAL PARTICIPATION Sanitary sewer, watermain, and sidewalk work along Park Street from Laketon Avenue to Southern Avenue; and all together with necessary related work. WITNESSETH: WHEREAS, pursuant to Federal law, monies have been provided for the performance of certain improvements on public roads; and WHEREAS, the reference "FHWA" in PART I and PART II refers to the United States Department of Transportation, Federal Highway Administration; and WHEREAS, the PROJECT, or portions of the PROJECT, at the request of the REQUESTING PARTY, are being programmed with the FHWA, for implementation with the use of Federal Funds under the following Federal program(s) or funding: 09106190 STP.FOR 2/10/06 SURFACE TRANSPORTATION PROGRAM WHEREAS, the parties hereto have reached an understanding with each other regarding the performance of the PROJECT work and desire to set forth this understanding in the form of a written contract. NOW, THEREFORE, in consideration of the premises and of the mutual undertakings of the parties and in conformity with applicable law, it is agreed: 1. The parties hereto shall undertake and complete the PROJECT in accordance with the terms of this contract. 2. The term "PROJECT COST", as herein used, is hereby defined as the cost of the physical construction necessary for the completion of the PROJECT. Costs for construction engineering and inspection incurred by the DEPARTMENT will be charged 100 percent to the REQUESTING PARTY. Any other costs incurred by the DEPARTMENT as a result of this contract will be at PROJECT COST. The costs incurred by the REQUESTING PARTY for preliminary engineering, construction engineering, construction materials testing, inspection, and right-of-way are excluded from the PROJECT COST as defined by this contract. 3. The DEPARTMENT is authorized by the REQUESTING PARTY to administer on behalf of the REQUESTING PARTY all phases of the PROJECT including advertising and awarding the construction contract for the PROJECT or portions of the PROJECT. Such administration shall be in accordance with PART II, Section II of this contract. Any items of the PROJECT COST incurred by the DEPARTMENT may be charged to the PROJECT. 4. The REQUESTING PARTY, at no cost to the PROJECT or to the DEPARTMENT, shall: A. Design or cause to be designed the plans for the PROJECT. B. Appoint a project engineer who shall be in responsible charge of the PROJECT and ensure that the plans and specifications are followed. C. Perform or cause to be performed the construction engineering, construction materials testing, and inspection services necessary for the completion of the PROJECT. 09/06/90 STP.FOR 2/10/06 2 The REQUESTING PARTY will furnish the DEPARTMENT proposed timmg sequences for trunkline signals that, if any, are being made part of the improvement. No timing adjustments shall be made by the REQUESTING PARTY at any trunkline intersection, without prior issuances by the DEPARTMENT of Standard Traffic Signal Timing Permits. 5. The PROJECT COST shall be met in accordance with the following: PART A Federal Surface Transpmiation Funds shall be applied to the eligible items of the PART A portion of the PROJECT COST at the established Federal participation ratio equal to 81.85 percent up to an amount not to exceed $210,518. The balance of the PART A pmiion of the PROJECT COST, after deduction of Federal Funds, shall be charged to and paid by the REQUESTING PARTY in the manner and at the times hereinafter set forth. PARTB The PART B portion of the PROJECT COST is not eligible for Federal participation and shall be charged to and paid 100 percent by the REQUESTING PARTY in the manner and at the times hereinafter set forth. Any items of PROJECT COST not reimbursed by Federal Funds will be the sole responsibility of the REQUESTING PARTY. 6. No working capital deposit will be required for this PROJECT. In order to fulfill the obligations assumed by the REQUESTING PARTY under the provisions of this contract, the REQUESTING PARTY shall make prompt payments of its share of the PROJECT COST upon receipt of progress billings from the DEPARTMENT as herein provided. All payments will be made within 30 days of receipt of billings from the DEPARTMENT. Billings to the REQUESTING PARTY will be based upon the REQUESTING PARTY'S share of the actual costs incurred less Federal Funds earned as the PROJECT progresses. In the event of any discrepancies between PART I and PART II of this contract, the provisions of PART I shall prevail. 7. At such time as traffic volumes and safety requirements warrant, the REQUESTING PARTY will cause to be enacted and enforced such ordinances as may be necessary to prohibit parking in the traveled roadway throughout the limits of the PROJECT. 8. The performance of the entire PROJECT under this contract, whether Federally funded or not, will be subject to the provisions and requirements of PART II that are applicable to a Federally funded project. 09/06/90 STP.FOR 2/10/06 3 9. The REQUESTING PARTY certifies that a) it is a person under 1995 PA 71 and is not aware of and has no reason to believe that the property is a facility as defined in MSA l3A.2010l(l)(l); b) the REQUESTING PARTY further certifies that it has completed the tasks required by MCL 324.20126 (3)(h); MSA l3A.20126(3)(h); c) it conducted a visual inspection of property within the existing right of way on which construction is to be performed to determine if any hazardous substances were present; and at sites on which historically were located businesses that involved hazardous substances, it performed a reasonable investigation to determine whether hazardous substances exist. This reasonable investigation should include, at a minimum, contact with local, state and federal environmental agencies to determine if the site has been identified as, or potentially as, a site containing hazardous substances; d) it did not cause or contribute to the release or threat of release of any hazardous substance found within the PROJECT limits. The REQUESTING PARTY also certifies that, in addition to reporting the presence of any hazardous substances to the Department of Environmental Quality, it has advised the DEPARTMENT of the presence of any and all hazardous substances which the REQUESTING PARTY found within the PROJECT limits, as a result ofperfonning the investigation and visual inspection required herein. The REQUESTING PARTY also certifies that it has been unable to identify any entity who may be liable for the cost of remediation. As a result, the REQUESTING PARTY has included all estimated costs of remediation of such hazardous substances in its estimated cost of construction of the PROJECT. I 0. If, subsequent to execution of this contract, previously unknown hazardous substances are discovered within the PROJECT limits, which require environmental remediation pursuant to either state or federal law, the REQUESTING PARTY, in addition to reporting that fact to the Department of Environmental Quality, shall immediately notify the DEPARTMENT, both orally and in writing of such discovery. The DEPARTMENT shall consult with the REQUESTING PARTY to determine if it is willing to pay for the cost of remediation and, with the FHWA, to determine the eligibility, for reimbursement, of the remediation costs. The REQUESTING PARTY shall be charged for and shall pay all costs associated with such remediation, including all delay costs of the contractor for the PROJECT, in the event that remediation and delay costs are not deemed eligible by the FHWA. If the REQUESTING PARTY refuses to participate in the cost of remediation, the DEPARTMENT shall terminate the PROJECT. The parties agree that any costs or damages that the DEPARTMENT incurs as a result of such termination shall be considered a PROJECT COST. II. If federal and/or state funds administered by the DEPARTMENT are used to pay the cost of remediating any hazardous substances discovered after the execution of this contract and if there is a reasonable likelihood of recovery, the REQUESTING PARTY, in cooperation with the Department of Environmental Quality and the DEPARTMENT, shall make a diligent effort to recover such costs from all other possible entities. If recovery is made, the DEPARTMENT shall be reimbursed from such recovery for the proportionate share of the amount paid by the FHWA and/or the DEPARTMENT and the DEPARTMENT shall credit such sums to the appropriate funding source. 09106190 STP.FOR 2110/06 4 12. The DEPARTMENT'S sole reason for entering into this contract is to enable the REQUESTING PARTY to obtain and use funds provided by the Federal Highway Administration pursuant to Title 23 of the United States Code. Any and all approvals of, reviews of, and recommendations regarding contracts, agreements, permits, plans, specifications, or documents, of any nature, or any inspections of work by the DEPARTMENT or its agents pursuant to the terms of this contract are done to assist the REQUESTING PARTY in meeting program gnidelines in order to qualify for available funds. Such approvals, reviews, inspections and recommendations by the DEPARTMENT or its agents shall not relieve the REQUESTING PARTY and the local agencies, as applicable, of their ultimate control and shall not be construed as a warranty of their propriety or that the DEPARTMENT or its agents is assuming any liability, control or jurisdiction. The providing of recommendations or advice by the DEPARTMENT or its agents does not relieve the REQUESTING PARTY and the local agencies, as applicable of their exclusive jurisdiction of the highway and responsibility under MCL 691.1402, MSA 3.996(102). When providing approvals, reviews and recommendations under this contract, the DEPARTMENT or its agents is performing a governmental function, as that term is defined in MCL 691.1401; MSA 3.996(101), which is incidental to the completion of the PROJECT. 13. The DEPARTMENT, by executing this contract, and rendering services pursuant to this contract, has not and does not assume jurisdiction of the highway, described as the PROJECT for purposes of MCL 691.1402; MSA 3.996(102). Exclusive jurisdiction of such highway for the purposes of MCL 691.1402; MSA 3.996(102) rests with the REQUESTING PARTY and other local agencies having respective jurisdiction. 14. The REQUESTING PARTY shall approve all of the plans and specifications to be used on the PROJECT and shall be deemed to have approved all changes to the plans and specifications when put into effect. It is agreed that ultimate responsibility and control over the PROJECT rests with the REQUESTING PARTY and local agencies, as applicable. 15. The REQUESTING PARTY agrees that the costs reported to the DEPARTMENT for this contract will represent only those items that are properly chargeable in accordance with this contract. The REQUESTING PARTY also certifies that it has read the contract terms and has made itself aware of the applicable laws, regulations, and terms of this contract that apply to the reporting of costs incurred under the terms of this contract. 16. The parties shall promptly provide comprehensive assistance and cooperation in defending and resolving any claims brought against the DEPARTMENT by the contractor, vendors or suppliers as a result of the DEPARTMENT'S award of the construction contract for the PROJECT. Costs incurred by the DEPARTMENT in defending or resolving such claims shall be considered PROJECT COSTS. 09/06/90 STP.FOR 2/10/06 5 17. The DEPARTMENT shall require the contractor who is awarded the contract for the construction of the PROJECT to provide insurance in the amounts specified and in accordance with the DEPARTMENT'S current Standard Specifications for Construction and to: A. Maintain bodily injury and property damage insurance for the duration of the PROJECT. B. Provide owner's protective liability insurance naming as insureds the State of Michigan, the Michigan State Transportation Commission, the DEPARTMENT and its officials, agents and employees, the REQUESTING PARTY and any other county, county road commission, or municipality in whose jurisdiction the PROJECT is located, and their employees, for the duration of the PROJECT and to provide, upon request, copies of certificates of insurance to the insureds. It is understood that the DEPARTMENT does not assume jurisdiction of the highway described as the PROJECT as a result of being named as an insured on the owner's protective liability insurance policy. C. Comply with the requirements of notice of cancellation and reduction of insurance set forth in the current standard specifications for construction and to provide, upon request, copies of notices and reports prepared to those insured. 09/06190 STP.FOR 2/10/06 6 18. This contract shall become binding on the parties hereto and of full force and effect upon the signing thereof by the duly authorized officials for the parties hereto and upon the adoption of the necessary resolutions approving said contract and authorizing the signatures thereto of the respective officials of the REQUESTING PARTY, a certified copy of which resolution shall be attached to this contract. IN WITNESS WHEREOF, the parties hereto have caused this contract to be executed the day and year first above written. CITY OF MUSKEGON MICHIGAN DEPARTMENT OF TRANSPORTATION 09/06/90 STP.FOR 2/10/06 7 February I 0, 2006 EXHIBIT I CONTROL SECTION STUL 61407 JOB NUMBER 84351 PROJECT STP 0661(009) ESTIMATED COST CONTRACTED WORK PART A PARTB TOTAL Estimated Cost $398,900 $152,700 $551,600 COST PARTICIPATION GRAND TOTAL ESTIMATED COST $398,900 $152,700 $551,600 Less Federal Funds* $210,518 $ 0 $210,518 BALANCE (REQUESTING PARTY'S SHARE) $188,382 $152,700 $341,082 *Federal Funds shall be applied to the eligible items of the PART A portion of the PROJECT COST at a participation ratio equal to 81.85 percent up to an amount not to exceed $210,518. NO DEPOSIT 09106/90 STP.FOR 2/10/06 8 DOT TYPEB BUREAU OF HIGHWAYS 03-15-93 PART II STANDARD AGREEMENT PROVISIONS SECTION I COMPLIANCE WITH REGULATIONS AND DIRECTIVES SECTION II PROJECT ADMINISTRATION AND SUPERVISION SECTION III ACCOUNTING AND BILLING SECTION IV MAINTENANCE AND OPERATION SECTION V SPECIAL PROGRAM AND PROJECT CONDITIONS 03-15-93 1 SECTION I COMPLIANCE WITH REGULATIONS AND DIRECTIVES A. To qualify for eligible cost, all work shall be documented in accordance with the requirements and procedures of the DEPARTMENT. B. All work on projects for which reimbursement with Federal funds is requested shall be performed in accordance with the requirements and guidelines set forth in the following Directives of the Federal-Aid Policy Guide (FAPG) of the FHWA, as applicable, and as referenced in pertinent sections of Title 23 and Title 49 of the Code of Federal Regulations (CFR), and all supplements and amendments thereto. I. Engineering a. FAPG (6012.1): Preliminary Engineering b. FAPG (23 CFR 172): Administration of Engineering and Design Related Service Contracts c. FAPG (23 CFR 635A): Contract Procedures d. FAPG (49 CFR 18.22): Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments-Allowable Costs 2. Construction a. FAPG (23 CFR 140E): Administrative Settlement Costs-Contract Claims b. FAPG (23 CFR 140B): Construction Engineering Costs c. FAPG (23 CFR 17): Recordkeeping and Retention Requirements for Federal-Aid Highway Records of State Highway Agencies d. FAPG (23 CFR 635A): Contract Procedures e. FAPG (23 CFR 635B): Force Account Construction f. FAPG (23 CFR 645A): Utility Relocations, Adjustments and Reimbursement 03-15-93 2 g. FAPG (23 CFR 645B): Accommodation of Utilities (PPM 30-4.1) h. FAPG (23 CFR 655F): Traffic Control Devices on Federal-Aid and other Streets and Highways 1. FAPG (49 CFR 18.22): Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments-Allowable Costs 3. Modification Or Construction Of Railroad Facilities a. FAPG (23 CFR 1401): Reimbursement for Railroad Work b. FAPG (23 CFR 646B): Railroad Highway Projects C. In conformance with FAPG (23 CFR 630C) Project Agreements, the political subdivisions party to this contract, on those Federally funded projects which exceed a total cost of $100,000.00 stipulate the following with respect to their specific jurisdictions: I. That any facility to be utilized in performance under or to benefit from this contract is not listed on the Environmental Protection Agency (EPA) List of Violating Facilities issued pursuant to the requirements of the Federal Clean Air Act, as amended, and the Federal Water Pollution Control Act, as amended. 2. That they each agree to comply with all of the requirements of Section 114 of the Federal Clean Air Act and Section 308 of the Federal Water Pollution Control Act, and all regulations and guidelines issued thereunder. 3. That as a condition of Federal aid pursuant to this contract they shall notify the DEPARTMENT of the receipt of any advice indicating that a facility to be utilized in performance under or to benefit from this contract is under consideration to be listed on the EPA List of Violating Facilities. D. Ensure that the PROJECT is constructed in accordance with and incorporates all committed environmental impact mitigation measures listed in approved environmental documents unless modified or deleted by approval of the FHWA. E. All the requirements, guidelines, conditions and restrictions noted in all other pertinent Directives and Instructional Memoranda of the FHWA will apply to this contract and will be adhered to, as applicable, by the parties hereto. 03-15-93 3 SECTION II PROJECT ADMINISTRATION AND SUPERVISION A. The DEPARTMENT shall provide such administrative guidance as it determines is required by the PROJECT in order to facilitate the obtaining of available federal and/or state funds. B. The DEPARTMENT will adve1iise and award all contracted portions of the PROJECT work. Prior to advertising of the PROJECT for receipt of bids, the REQUESTING PARTY may delete any portion or all of the PROJECT work. After receipt of bids for the PROJECT, the REQUESTING PARTY shall have the right to reject the amount bid for the PROJECT prior to the award of the contract for the PROJECT only if such amount exceeds by twenty percent (20%) the final engineer's estimate therefor. If such rejection of the bids is not received in writing within two (2) weeks after letting, the DEPARTMENT will assume concurrence. The DEPARTMENT may, upon request, readvertise the PROJECT. Should the REQUESTING PARTY so request in writing within the aforesaid two (2) week period after letting, the PROJECT will be cancelled and the DEPARTMENT will refund the unused balance of the deposit less all costs incurred by the DEPARTMENT. C. The DEPARTMENT will perform such inspection services on PROJECT work performed by the REQUESTING PARTY with its own forces as is required to ensure compliance with the approved plans & specifications. D. On those projects funded with Federal monies, the DEPARTMENT shall as may be required secure from the FHWA approval of plans and specifications, and such cost estimates for FHWA participation in the PROJECT COST. E. All work in connection with the PROJECT shall be performed in conformance with the Michigan Department of Transportation Standard Specifications for Construction, and the supplemental specifications, Special Provisions and plans pertaining to the PROJECT and all materials furnished and used in the construction of the PROJECT shall conform to the aforesaid specifications. No extra work shall be performed nor changes in plans and specifications made until said work or changes are approved by the project engineer and authorized by the DEPARTMENT. 03-15-93 4 F. Should it be necessary or desirable that portions of the work covered by this contract be accomplished by a consulting firm, a railway company, or governmental agency, firm, person, or corporation, under a subcontract with the REQUESTING PARTY at PROJECT expense, such subcontracted arrangements will be covered by formal written agreement between the REQUESTING PARTY and that party. This formal written agreement shall: include a reference to the specific prime contract to which it pertains; include provisions which clearly set forth the maximum reimbursable and the basis of payment; provide for the maintenance of accounting records in accordance with generally accepted accounting principles, which clearly document the actual cost of the services provided; provide that costs eligible for reimbursement shall be in accordance with clearly defined cost criteria such as 49 CFR Part 18, 48 CFR Part 31, 23 CFR Part 140, OMB Circular A-87, etc. as applicable; provide for access to the department or its representatives to inspect and audit all data and records related to the agreement for a minimum of three years after the department's final payment to the local unit. All such agreements will be submitted for approval by the DEPARTMENT and, if applicable, by the FHW A prior to execution thereof, except for agreements for amounts less than $100,000 for preliminary engineering and testing services executed under and in accordance with the provisions of the "Small Purchase Procedures" FAPG (23 CFR 172), which do not require prior approval of the DEPARTMENT or the FHWA. Any such approval by the DEPARTMENT shall in no way be construed as a warranty of the subcontractor's qualifications, financial integrity, or ability to perform the work being subcontracted. G. The REQUESTING PARTY, at no cost to the PROJECT or the DEPARTMENT, shall make such arrangements with railway companies, utilities, etc., as may be necessary for the performance of work required for the PROJECT but for which Federal or other reimbursement will not be requested. H. The REQUESTING PARTY, at no cost to the PROJECT, or the DEPARTMENT, shall secure, as necessary, all agreements and approvals of the PROJECT with railway companies, the Railroad Safety & Tariffs Division of the DEPARTMENT and other concerned governmental agencies other than the FHWA, and will forward same to the DEPARTMENT for such reviews and approvals as may be required. I. No PROJECT work for which reimbursement will be requested by the REQUESTING PARTY is to be subcontracted or performed until the DEPARTMENT gives written notification that such work may commence. 03-15-93 5 J. The REQUESTING PARTY shall be responsible for the payment of all costs and expenses incurred in the performance of the work it agrees to undertake and perform. K. The REQUESTING PARTY shall pay directly to the party performing the work all billings for the services performed on the PROJECT which are authorized by or through the REQUESTING PARTY. L. The REQUESTING PARTY shall submit to the DEPARTMENT all paid billings for which reimbursement is desired in accordance with DEPARTMENT procedures. M. All work by a consulting firm will be performed in compliance with the applicable provisions of 1980 PA 299, Subsection 2001, MCL 339.2001; MSA 18.425(2001), as well as in accordance with the provisions of all previously cited Directives of the FHWA. N. The project engineer shall be subject to such administrative guidance as may be deemed necessary to ensure compliance with program requirement and, in those instances where a consultant firm is retained to provide engineering and inspection services, the personnel performing those services shall be subject to the same conditions. 0. The DEPARTMENT, in administering the PROJECT in accordance with applicable Federal and State requirements and regulations, neither assumes nor becomes liable for any obligations undertaken or arising between the REQUESTING PARTY and any other party with respect to the PROJECT. P. In the event it is determined by the DEPARTMENT that there will be either insufficient Federal funds or insufficient time to properly administer such funds for the entire PROJECT or portions thereof, the DEPARTMENT, prior to advertising or issuing authorization for work performance, may cancel the PROJECT, or any portion thereof, and upon written notice to the parties this contract shall be void and of no effect with respect to that cancelled portion of the PROJECT. Any PROJECT deposits previously made by the parties on the cancelled portions of the PROJECT will be promptly refunded. Q. Those projects funded with Federal monies will be subject to inspection at all times by the DEPARTMENT and the FHWA. 03-15-93 6 SECTION III ACCOUNTING AND BILLING A. Procedures for billing for work undertaken by the REQUESTING PARTY: 1. The REQUESTING PARTY shall establish and maintain accurate records, in accordance with generally accepted accounting principles, of all expenses incurred for which payment is sought or made under this contract, said records to be hereinafter referred to as the "RECORDS". Separate accounts shall be established and maintained for all costs incurred under this contract. The REQUESTING PARTY shall maintain the RECORDS for at least three (3) years from the date of final payment of Federal Aid made by the DEPARTMENT under this contract. In the event of a dispute with regard to the allowable expenses or any other issue under this contract, the REQUESTING PARTY shall thereafter continue to maintain the RECORDS at least until that dispute has been finally decided and the time for all available challenges or appeals of that decision has expired. The DEPARTMENT, or its representative, may inspect, copy, or audit the RECORDS at any reasonable time after giving reasonable notice. If any part of the work is subcontracted, the REQUESTING PARTY shall assure compliance with the above for all subcontracted work. In the event that an audit performed by or on behalf of the DEPARTMENT indicates an adjustment to the costs reported under this contract, or questions the allowability of an item of expense, the DEPARTMENT shall promptly submit to the REQUESTING PARTY, a Notice of Audit Results and a copy of the audit report which may supplement or modify any tentative findings verbally communicated to the REQUESTING PARTY at the completion of an audit. Within sixty (60) days after the date of the Notice of Audit Results, the REQUESTING PARTY shall: (a) respond in writing to the responsible Bureau or the DEPARTMENT indicating whether or not it concurs with the audit report, (b) clearly explain the nature and basis for any disagreement as to a disallowed item of expense and, (c) submit to the DEPARTMENT a written explanation as to any questioned or no opinion expressed item of expense, hereinafter referred to as the "RESPONSE". The RESPONSE shall be clearly stated and provide any supporting documentation necessary to resolve any disagreement or questioned or no opinion expressed item of expense. Where the documentation is voluminous, the REQUESTING PARTY may supply appropriate excerpts and make alternate 03-15-93 7 arrangements to conveniently and reasonably make that documentation available for review by the DEPARTMENT. The RESPONSE shall refer to and apply the language of the contract. The REQUESTING PARTY agrees that failure to submit a RESPONSE within the sixty (60) day period constitutes agreement with any disallowance of an item of expense and authorizes the DEPARTMENT to finally disallow any items of questioned or no opinion expressed cost. The DEPARTMENT shall make its decision with regard to any Notice of Audit Results and RESPONSE within one hundred twenty (120) days after the date of the Notice of Audit Results. If the DEPARTMENT determines that an overpayment has been made to the REQUESTING PARTY, the REQUESTING PARTY shall repay that amount to the DEPARTMENT or reach agreement with the DEPARTMENT on a repayment schedule within thirty (30) days after the date of an invoice from the DEPARTMENT. If the REQUESTING PARTY fails to repay the overpayment or reach agreement with the DEPARTMENT on a repayment schedule within the thirty (30) day period, the REQUESTING PARTY agrees that the DEPARTMENT shall deduct all or a portion of the overpayment from any funds then or thereafter payable by the DEPARTMENT to the REQUESTING PARTY under this contract or any other agreement, or payable to the REQUESTING PARTY under the terms of 195 I PA 51, as applicable. Interest will be assessed on any partial payments or repayment schedules based on the unpaid balance at the end of each month until the balance is paid in full. The assessment of interest will begin thirty (30) days from the date of the invoice. The rate of interest will be based on the Michigan Department of Treasury common cash funds interest earnings. The rate of interest will be reviewed annually by the DEPARTMENT and adjusted as necessary based on the Michigan Department of Treasury common cash funds interest earnings. The REQUESTING PARTY expressly consents to this withholding or offsetting of funds under those circumstances, reserving the right to file a lawsuit in the Court of Claims to contest the DEPARTMENT'S decision only as to any item of expense the disallowance of which was disputed by the REQUESTING PARTY in a timely filed RESPONSE. The REQUESTING PARTY shall comply with the Single Audit Act of 1984, p .L. 98-502. The REQUESTING PARTY shall adhere to the following requirements associated with audits of accounts and records: a. Agencies expending a total of $500,000 or more in federal funds, from one or more funding sources in its fiscal year, shall comply with the requirements of the federal Office of Management and Budget (OMB) Circular A-133, as revised or amended. 03-15-93 8 The agency shall submit two copies of: The Reporting Package The Data Collection Form The management letter to the agency, if one issued by the audit firm The OMB Circular A-133 audit must be submitted to the address below in accordance with the time frame established in the circular, as revised or amended. b. Agencies expending less than $500,000 in federal funds must submit a letter to the Department advising that a circular audit was not required. The letter shall indicate the applicable fiscal year, the amount of federal funds spent, the name(s) of the Department federal programs, and the CFDA grant number(s). This information must also be submitted to the address below. c. Address: Michigan Department of Transportation Bureau of Highways Technical Services 425 W. Ottawa, P.O. Box 30050 Lansing, MI 48909 d. Agencies must also comply with applicable State laws and regulations relative to audit requirements. e. Agencies shall not charge audit costs to Department's federal programs which are not in accordance with the OMB Circular A-133 requirements. f. All agencies are subject to the federally required monitoring activities, which may include limited scope reviews and other on-site monitoring. 2. Agreed Unit Prices Work - All billings for work undertaken by the REQUESTING PARTY on an agreed unit price basis will be submitted in accordance with the Michigan Department of Transportation Standard Specifications for Construction and pertinent FAPG Directives and Guidelines of theFHWA. 3. Force Account Work and Subcontracted Work - All billings submitted to the DEPARTMENT for Federal reimbursement for items of work performed on a force account basis or by any subcontract with a consulting firm, railway company, governmental agency or other party, under the terms of this contract, shall be prepared in accordance with the provisions of the pertinent FHPM Directives and the procedures of the DEPARTMENT. Progress billings may be submitted monthly during the time work is being performed provided, however, that no bill of a lesser amount than $1,000.00 shall be submitted unless it is a final 03-15-93 9 or end of fiscal year billing. All billings shall be labeled either "Progress Bill Number ", or "Final Billing". 4. 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. 5. Upon receipt of billings for reimbursement for work undertaken by the REQUESTING PARTY on projects funded with Federal monies, the DEPARTMENT will act as billing agent for the REQUESTING PARTY, consolidating said billings with those for its own force account work and presenting these consolidated billings to the FHWA for payment. Upon receipt of reimbursement from the FHWA, the DEPARTMENT will promptly forward to the REQUESTING PARTY its share of said reimbursement. 6. Upon receipt of billings for reimbursement for work undertaken by the REQUESTING PARTY on projects funded with non-Federal monies, the DEPARTMENT will promptly forward to the REQUESTING PARTY reimbursement of eligible costs. B. Payment of Contracted and DEPARTMENT Costs: I. As work on the PROJECT commences, the initial payments for contracted work and/or costs incurred by the DEPARTMENT will be made from the working capital deposit. Receipt of progress payments of Federal funds, and where applicable, State Critical Bridge funds, will be used to replenish the working capital deposit. The REQUESTING PARTY shall make prompt payments of its share of the contracted and/or DEPARTMENT incurred portion of the PROJECT COST upon receipt of progress billings from the DEPARTMENT. Progress billings will be based upon the REQUESTING PARTY'S share of the actual costs incurred as work on the PROJECT progresses and will be submitted, as required, until it is determined by the DEPARTMENT that there is sufficient available working capital to meet the remaining anticipated PROJECT COSTS. All progress payments will be made within thirty (30) days of receipt of billings. No monthly billing of a lesser amount than $1 ,000.00 will be made unless it is a final or end of fiscal year billing. Should the DEPARTMENT determine that the available working capital exceeds the remaining anticipated PROJECT COSTS, the DEPARTMENT may reimburse the REQUESTING PARTY such excess. Upon completion of the PROJECT, payment of all PROJECT COSTS, receipt of all applicable monies from the FHWA, and completion of necessary audits, the REQUESTING PARTY will be reimbursed the balance of its deposit. 03-15-93 10 2. In the event that the bid, plus contingencies, for the contracted, and/or the DEPARTMENT incurred portion of the PROJECT work exceeds the estimated cost therefor as established by this contract, the REQUESTING PARTY may be advised and billed for the additional amount of its share. C. General Conditions: 1. The DEPARTMENT, in accordance with its procedures in existence and covering the time period involved, shall make payment for interest earned on the balance of working capital deposits for all projects on account with the DEPARTMENT. The REQUESTING PARTY in accordance with DEPARTMENT procedures in existence and covering the time period involved, shall make payment for interest owed on any deficit balance of working capital deposits for all projects on account with the DEPARTMENT. This payment or billing is processed on an annual basis corresponding to the State of Michigan fiscal year. Upon receipt of billing for interest incurred, the REQUESTING PARTY promises and shall promptly pay the DEPARTMENT said amount. 2. Pursuant to the authority granted by law, the REQUESTING PARTY hereby irrevocably pledges a sufficient amount of funds received by it from the Michigan Transportation Fund to meet its obligations as specified in PART I and PART II. If the REQUESTING PARTY shall fail to make any of its required payments when due, as specified herein, the DEPARTMENT shall immediately notify the REQUESTING PARTY and the State Treasurer ofthe State of Michigan or such other state officer or agency having charge and control over disbursement of the Michigan Transportation Fund, pursuant to Jaw, of the fact of such default and the amount thereof, and, if such default is not cured by payment within ten (1 0) days, said State Treasurer or other state officer or agency is then authorized and directed to withhold from the first of such monies thereafter allocated by law to the REQUESTING PARTY from the Michigan Transportation Fund sufficient monies to remove the default, and to credit the REQUESTING PARTY with payment thereof, and to notify the REQUESTING PARTY in writing of such fact. 3. Upon completion of all work under this contract and final audit by the DEPARTMENT or the FHWA, the REQUESTING PARTY promises to promptly repay the DEPARTMENT for any disallowed items of costs previously disbursed by the DEPARTMENT. The REQUESTING PARTY pledges its future receipts from the Michigan Transportation Fund for repayment of all disallowed items and, upon failure to make repayment for any disallowed items within ninety (90) days of demand made by the DEPARTMENT, the DEPARTMENT is hereby authorized to withhold an equal amount from the REQUESTING PARTY'S share of any future distribution of Michigan Transportation Funds in settlement of said claim. 03-15-93 11 4. The DEPARTMENT shall maintain and keep accurate records and accounts relative to the cost of the PROJECT and upon completion of the PROJECT, payment of all items of PROJECT COST, receipt of all Federal Aid, if any, and completion of final audit by the DEPARTMENT and if applicable, by the FHWA, shall make final accounting to the REQUESTING PARTY. The final PROJECT accounting will not include interest earned or charged on working capital deposited for the PROJECT which will be accounted for separately at the close of the State of Michigan fiscal year and as set forth in Section C(l). 5. The costs of engineering and other services performed on those projects involving specific program funds and one hundred percent (100%) local funds will be apportioned to the respective portions of that project in the same ratio as the actual direct construction costs unless otherwise specified in PART I. 03-15-93 12 SECTION IV MAINTENANCE AND OPERATION A. Upon completion of construction of each part of the PROJECT, at no cost to the DEPARTMENT or the PROJECT, each of the parties hereto, within their respective jurisdictions, will make the following provisions for the maintenance and operation of the completed PROJECT: 1. All Projects: Properly maintain and operate each part of the project, making ample provisions each year for the performance of such maintenance work as may be required, except as qualified in paragraph 2b of this section. 2. Projects Financed in Part with Federal Monies: a. Sign and mark each part of the PROJECT, in accordance with the current Michigan Manual of Uniform Traffic control Devices, and will not install, or permit to be installed, any signs, signals or markings not in conformance with the standards approved by the FHWA, pursuant to 23 usc 109(d). b. Remove, prior to completion of the PROJECT, all encroachments from the roadway right-of-way within the limits of each part of the PROJECT. With respect to new or existing utility installations within the right-of-way of Federal Aid projects and pursuant to FAPG (23 CFR 645B): Occupancy of non-limited access right-of-way may be allowed based on consideration for traffic safety and necessary preservation of roadside space and aesthetic quality. Longitudinal occupancy of non-limited access right-of-way by private lines will require a finding of significant economic hardship, the unavailability of practicable alternatives or other extenuating circumstances. c. Cause to be enacted, maintained and enforced, ordinances and regulations for proper traffic operations in accordance with the plans of the PROJECT. d. Make no changes to ordinances or regulations enacted, or traffic controls installed in conjunction with the PROJECT work without prior review by the DEPARTMENT and approval of the FHWA, ifrequired. 03-15-93 13 B. On projects for the removal of roadside obstacles, the parties, upon completion of construction of each part of the PROJECT, at no cost to the PROJECT or the DEPARTMENT, will, within their respective jurisdictions, take such action as is necessary to assure that the roadway right-of-way, cleared as the PROJECT, will be maintained free of such obstacles. C. On projects for the construction of bikeways, the parties will enact no ordinances or regulations prohibiting the use of bicycles on the facility hereinbefore described as the PROJECT, and will amend any existing restrictive ordinances in this regard so as to allow use of this facility by bicycles. No motorized vehicles shall be permitted on such bikeways or walkways constructed as the PROJECT except those for maintenance purposes. D. Failure of the parties hereto to fulfill their respective responsibilities as outlined herein may disqualify that party from future Federal-aid participation in projects on roads or streets for which it has maintenance responsibility. Federal Aid may be withheld until such time as deficiencies in regulations have been corrected, and the improvements constructed as the PROJECT are brought to a satisfactory condition of maintenance. 03-15-93 14 SECTIONV SPECIAL PROGRAM AND PROJECT CONDITIONS A. Those projects for which the REQUESTING PARTY has been reimbursed with Federal monies for the acquisition of right-of-way must be under construction by the close of the twentieth (20th) fiscal year following the fiscal year in which the FHWA and the DEPARTMENT projects agreement covering that work is executed, or the REQUESTING PARTY may be required to repay to the DEPARTMENT, for forwarding to the FHWA, all monies distributed as the FHWA'S contribution to that right-of-way. B. Those projects for which the REQUESTING PARTY has been reimbursed with Federal monies for the performance of preliminary engineering must be under construction by the close of the tenth (lOth) fiscal year following the fiscal year in which the FHWA and the DEPARTMENT projects agreement covering that work is executed, or the REQUESTING PARTY maybe required to repay to the DEPARTMENT, for forwarding to the FHWA, all monies distributed as the FHWA'S contribution to that preliminary engmeenng. C. On those projects funded with Federal monies, the REQUESTING PARTY, at no cost to the PROJECT or the DEPARTMENT, will provide such accident information as is available and such other information as may be required under the program in order to make the proper assessment of the safety benefits derived from the work performed as the PROJECT. The REQUESTING PARTY will cooperate with the DEPARTMENT in the development of reports and such analysis as may be required and will, when requested by the DEPARTMENT, forward to the DEPARTMENT, in such form as is necessary, the required information. D. In connection with the performance of PROJECT work under this contract the parties hereto (hereinafter in Appendix "A" referred to as the "contractor") agree to comply with the State of Michigan provisions for "Prohibition of Discrimination in State Contracts", as set forth in Appendix A, attached hereto and made a part hereof. The parties further covenant that they will comply with the Civil Rights Acts of 1964, being P.L. 88-352, 78 Stat. 241, as amended, being Title 42 U.S.C. Sections 1971, 1975a-1975d, and 2000a- 2000h-6 and the Regulations of the United States Department of Transportation (49 C.F.R. Part 21) issued pursuant to said Act, including Appendix "B", attached hereto and made a part hereof, and will require similar covenants on the part of any contractor or subcontractor employed in the performance of this contract. E. The parties will carry out the applicable requirements of the DEPARTMENT'S Disadvantaged Business Enterprise (DBE) program and 49 CFR, Part 26, including, but not limited to, those requirements set forth in Appendix C. 03-15-93 15 APPENDIX A PROHIBITION OF DISCRIMINA TJON IN STATE CONTRACTS In connection with the performance of work under this contract; the contractor agrees as follows: 1. In accordance with Act No. 453, Public Acts of 1976, the contractor hereby agrees not to discriminate against an employee or applicant for employment with respect to hire, tenure, terms, conditions, or privileges of employment, or as a matter directly or indirectly related to employment, because of race, color, religion, national origin, age, sex, height, weight, or marital status. Further, in accordance with Act No. 220, Public Acts of 1976 as amended by Act No. 478, Public Acts of 1980 the contractor hereby agrees not to discriminate against an employee or applicant for employment with respect to hire, tenure, terms, conditions, or privileges of employment, or a l'latter directly or indirectly related to employment, because of a disability that is unrelated to the individual's ability to perform the duties of a particular job or position. A breach of the above covenants shall be regarded as a material breach of this contract. 2. The contractor hereby agrees that any and all subcontracts to this contract, whereby a portion of the work set forth in this contract is to be performed, shall contain a covenant the same as hereinabove set forth in Section 1 of this Appendix. 3. The contractor will take affirmative action to insure that applicants for employment and employees are treated without regard to their race, color, religion, national origin, age, sex, height, weight, marital status or a disability that is unrelated to the individual's ability to perform the duties of a particular job or position. Such action shall include, but not be limited to, the following: employment, upgrading, demotion or transfer, recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. 4. The contractor will, in all solicitations or advertisements for employees placed by or on behalf of the contractor, state that all qualified applicants will receive consideration for employment without regard to race, c9lor, religion, national origin, age, sex, height, weight, marital status or disability that is unrelated to the individoal's ability to perform the duties of a particular job or position. 5. The contractor or his collective bargaining representative will send to each labor union or representative of workers with which he has a collective bargaining agreement or other contract or understanding, a notice advising the said labor union or workers' representative of the contractor's commitments under this appendix. 6. The contractor will comply with all relevant published rules, regulations, directives, and orders of the Michigan Civil Rights Commission which may be in effect prior to the taking of bids for any individual state project. 7. The contractor will furnish and file compliance reports within such time and upon such forms as provided by the Michigan Civil Rights Commission, said forms may also elicit information as to the practices, policies, program, and employment statistics of each subcontractor as well as the contractor himself, and said contractor will permit access to his books, records, and accounts by the Michigan Civil Rights Commission and/or its agent, for purposes of investigation to ascertain compliance with this contract and relevant with rules, regulations, and orders of the Michigan Civil Rights Commission. 8. In the event that the Civil Rights Commission finds, after a hearing held pursuant to its rules, that a contractor has not complied with the contractual obligations under this agreement, the Civil Rights Commission may, as part of its order based upon such findings, certify said findings to the Administrative Board of tile State of Michigan, which Administrative Board may order the cancellation of the contract found to have been violated and/or declare the contractor ineligible for future contracts with the state and its political and civil subdivisions, departments, and officers, and including the governing boards of institutions of higher education, until the contractor complies with said order of the Civil Rights Commission. Notice of said declaration of future ineligibility may be given to any or all of the persons with whom the contractor is declared ineligible to contract as a contracting party in future contracts. In any case before the Civil Rights Commission in which cancellation of an existing contract is a possibility, the contracting agency shall be notified of such possible remedy and shall be given the option by the Civil Rights Commission to participate in such proceedings. 9. The contractor will include, or incorporate by reference, the provisions of the foregoing paragraphs (1) through (8) in every subcontract or purchase order unless exempted by the rules, regulations or orders of the Michigan Civil Rights Commission, and will provide in every subcontract or purchase order that said provisions will be binding upon each subcontractor or seller. March, 1998 (Rev. 03/92) APPENDIXB During the performance of this contract, the contractor, for itself, its assignees, and successors in interest (hereinafter referred to as the "contractor") agrees as follows: I. Compliance with Regulations: The contractor shall comply with the Regulations relative to nondiscrimination in Federally assisted programs of the Department of Transportation, Title 49, Code of Federal Regulations, Part 27, as they may be amended from time to time (hereinafter referred to as the Regulations), which are herein incorporated by reference and made a part of this contract. 2. Nondiscrimination: The contractor, with regard to the work performed by it during the contract, shall not discriminate on the grounds of race, color, or natural origin in the selection and retention of subcontractors, including procurements of materials and leases of equipment. The contractor shall not participate either directly or indirectly in the discrimination prohibited by Section 21.5 of the Regulations, including employment practices when the contract covers a program set forth in Appendix B of the Regulations. 3. Solicitations for Subcontracts. Including Procurements of Materials and Equipment: In all solicitations either by competitive bidding or negotiation made by the contractor for work to be performed under a subcontract, including procurements of materials or leases of equipment, each potential subcontractor or supplier shall be notified by the contractor of the contractor's obligations under this contract and the Regulations relative to nondiscrimination on the grounds of race, color, or national origin. 4. Information and Reports: The contractor shall provide all information and reports required by the Regulations, or directives issued pursuant thereto, and shall permit access to its books, records, accounts, other sources of information, and its facilities as may be determined by the Michigan Department of Transportation or the Federal Highway Administration to be pertinent to ascertain compliance with such Regulations or directives. Where any information required of a contractor is in the exclusive possession of another who fails or refuses to furnish this information, the contractor shall so certify to the Michigan Department of Transportation, or the Federal Highway Administration as appropriate, and shall set forth what efforts it has made to obtain the information. 5. Sanctions for Noncompliance: In the event of the contractor's noncompliance with the nondiscrimination provisions of this contract, the Michigan Department of Transportation shall impose such contract sanctions as it or the Federal Highway Administration may determine to be appropriate, including, but not limited to: (a) Withholding of payments to the contractor under the contract until the contractor complies, and/or (b) Cancellation, termination, or suspension of the contract, in whole or in part. 6. Incorporation of Provisions: The contractor shall include the provisions of paragraphs 1 through 6 of every subcontract, including procurements of materials and leases of equipment, unless exempt by the Regulations, or directives issued pursuant thereto. The contractor shall take such action with respect to any subcontract or procurement as the Michigan Department of Transportation or the Federal Highway Administration may direct as a means of enforcing such provisions including sanctions for non-compliance; provided, however, that in the event a contractor becomes involved in, or is threatened with, litigation with a subcontractor or supplier as a result of such direction, the contractor may request the Michigan Department of Transportation to enter into such litigation to protect the interests of the State, and, in addition, the contractor may request the United States to enter into such litigation to protect the interests of the United States. APPENDIXC TO BE INCLUDED IN ALL FINANCIAL ASSISTANCE AGREEMENTS WITH LOCAL AGENCIES Assurance that Recipients and Contractors Must Make (Excerpts from US DOT Regulation 49 CFR 26.13) A. Each financial assistance agreement signed with a DOT operating administration (or a primary recipient) must include the following assurance: The recipient shall not discriminate on the basis of race, color, national origin, or sex in the award and performance of any US DOT-assisted contract or in the administration of its DBE program or the requirements of 49 CFR Part 26. The recipient shall take all necessary and reasonable steps under 49 CFR Part 26 to ensure nondiscrimination in the award and administration of US DOT -assisted contracts. The recipient's DBE program, as required by 49 CFR Part 26 and as approved by US DOT, is incorporated by reference in this agreement. Implementation of this program is a legal obligation and failure to carry out its terms shall be treated as a violation of this agreement. Upon notification to the recipient of its failure to carry out its approved program, the department may impose sanctions as provided for under Part 26 and may, in appropriate cases, refer the matter for enforcement under 18 U.S.C. 1001 and/or the Program Fraud Civil Remedies Act of 1986 (31 U.S.C. 3801 et seq.). B. Each contract MDOT signs with a contractor (and each subcontract the prime contractor signs with a subcontractor) must include the following assurance: The contractor, sub recipient or subcontractor shall not discriminate on the basis of race, color, national origin, or sex in the performance of this contract. The contractor shall carry out applicable requirements of 49 CFR Part 26 in the aw:>.rd and administration of US DOT -assisted contracts. Failure by the contractor to carry out these requirements is a material breach of this contract, which may result in the termination of this contract or such other remedy as the recipient deems appropriate. Commission Meeting Date: March 28, 2006 Date: March 20, 2006 To: Honorable Mayor & City Commission From: Planning & Economic Development Department c1f:_ RE: Public Hearing for the designation of Cole's Quality Foods and surrounding area as a Neighborhood Enterprise Zone SUMMARY OF REQUEST: To hold a public hearing on designating Cole's Quality Foods and the surrounding area as a Neighborhood Enterprise Zone, and to pass the attached Statement of Goals, Objectives, Policies, and findings. Staff will be requesting that the City Commission pass a resolution creating the Neighborhood Enterprise Zone on April 251h. FINANCIAL IMPACT: There is no direct financial impact from the designation of a Neighborhood Enterprise Zone. BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To hold a public hearing on designating Cole's Quality Foods and the surrounding area as a Neighborhood Enterprise Zone, and to pass the attached Statement of Goals, Objectives, Policies, and findings. COMMITTEE RECOMMENDATION: None City of Muskegon Statement of Goals, Objectives and Policies for Neighborhood Enterprise Zones 1. To actively support neighborhood or community-based self-help organizations which are engaged in local housing construction, conservation, or rehabilitation efforts by utilizing new and existing programs for providing additional financial resources and for seeking financial assistance; 2. To stabilize and revitalize neighborhood housing conditions by encouraging the creation of new housing units for moderate income persons and by supporting efforts that will enable people with lower incomes to remain in stable, viable, but non-exclusionary City communities; 3. To take appropriate actions to influence and facilitate increased private sector involvement in public programs that will propel and sustain City neighborhood-housing stabilization initiatives by: encouraging private residential development; devising programs which facilitate and encourage higher levels of housing construction, maintenance, repair, and rehabilitation; by considering cooperative working programs between the financial institutions, the City, property owners and the tenants to induce rental property improvements; 4. To take appropriate actions to stimulate increased demand for Muskegon housing by all household types by encouraging private market participation to provide housing choices, by considering new programs that will provide additional financial resources to reduce the cost of housing and make more favorable mortgage financing available; 5. To promote efforts to stabilize and increase the level of home ownership and owner-occupied housing in the City; and 6. To take appropriate actions to facilitate the providing of an adequate supply and mix of Muskegon housing for all household types. 7. To require adherence to and compliance with the following requirements: A. All improvements must be consistent with the Zoning Ordinance provisions and Historic District standards (if applicable). B. New Buildings and additions must be compatible in design with other dwellings within 400 feet. C. Non-conforming multiple housing dwelling structures will be eligible for NEZ, provided that the building is made more conforming by reducing the number of dwelling units within a structure. D. For continued eligibility, dwelling units and dwelling structures shall comply with zoning, buildings, housing and property maintenance codes. E. Illegal activity as defined in the Padlock Ordinance will result in ineligibility for participation or continuation in the NEZ program. F. Participation and continuation in the NEZ program is conditional upon timely payment of all charges and obligations to the City. NEZ Finding A proposed Neighborhood Enterprise Zone for Cole's Quality Foods, 1188 Lakeshore Drive, and the surrounding area, has been found to be consistent with the Master Plan and with the City's Neighborhood Preservation and Economic Development Goals. The City's goals include promoting economic stability, diversifying economic growth, and redevelopment. It is believed that the establishment of an NEZ in this area will be a catalyst in the creation of new jobs for the area. The creation of new jobs means more money will be spent in the area thus strengthening the local economy. The people that will be working in these new jobs will be purchasing goods and services from local merchants, again strengthening the local economy. The designation of this area as an NEZ will create tax breaks for manufacturers if those manufacturers are within this area and are able to create new jobs. In addition to the creation of new jobs in the neighborhood, there is the possibility that some homeowners would be able to take advantage of tax incentives to rehabilitate their houses, or build new houses. This could lead to a stronger neighborhood. 'v ) / ""C ...., 0 r ---v- - - "'C 0 tn _L_- CD c.. - --j .t=:~J I,___ 1 1 ' ~ r---!; ' :__L __;___- z m )_ ---· BARCLAY -! ---; ___!__----, -------j -- ----- < N ------: ___ j ---~ OJ ___ j"---~ 0 ------ I ~ --, ;-J -----~! I t: i' ~' :l ----1,----, L _; FRANKLIN r-- c.. $.\) ' I' !-- ,__ ! ...., ----_Jr---- ~-=-==! L- 'I -· CD tn ----j / -~-- - ----~-1 / i_ -, HUDSON ,-----,---- I / Dz m N OJ 0 c :0 Q_ DJ ~· "' Commission Meeting Date: March 28, 2006 Date: March 21, 2006 To: Honorable Mayor and City Commissioners From: Planning & Economic Development Cy(j:/ RE: Public Hearing - Request for an Industrial Facilities Exemption Certificate- Ameriform Inc. SUMMARY OF REQUEST: Pursuant to Public Act 198 of 1974, as amended, Ameriform Inc., 1790 Sun Dolphin, has requested the issuance of an Industrial Facilities Exemption Certificate for the property located at 1790 Sun Dolphin Drive, Muskegon. The total capital investment is approximately $651,030.00 in personal property and $324,983.00 in real property. This request qualifies Ameriform Inc. for a term of twelve (12) years for real property and nine (9) 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 nine (9) years for personal property. COMMITTEE RECOMMENDATION: None 3/21/2006 City of Muskegon Industrial Facilities Exemption Application Summary Sheet Project Summary: Ameriform Inc., an existing manufacturing company located at 1790 Sun Dolphin, Muskegon, Michigan, is installing new machinery and equipment to expand its present operation. Due to the fact that the company is investing $324,983 in personal property, $651,030.00 in real property and is creating 38 new employment opportunities, it is eligible for a nine (9) year exemption for personal property, and a 12 year exemption for real property. Employment Information: Racial Characteristics: White 184 87% Minority 28 13% Total 216 100% Gender Characteristics: Male 177 78% Female 39 18% Total 216 100% Total No. of Anticipated New Jobs: 38 Investment Information: Real Property: $651,030 Personal Property $324,983 Total: $976,013 Property Tax Information: (Annual) All Jurisdictions City Only Total New Taxes Generated $24,888 $ 5,368 Value of Abatement $12,444 $ 2,684 Total New Taxes Collected $12,444 $ 2,684 Income Tax Information: (Annual) Total Additional Income Tax Generated: $ 11,856 Company Requirements: Adopted Affirmative Action Policy No Meeting w/ City Affirmative Action Director No Signed Tax Abatement Contract No Taxes Paid In Full No Zoning Conflicts C3v \;, y~j :li<~f-Fitzrmtrick rW/6{ &-· Ptolnner II Affirmative Action Director Michigan Department of Treasury 1012 (Rev. 4/04) Application for Industrial Facilities Tax Exemption Certificate Issued under authority of P.A. 198 of1974, as amended. fiffllll is mandatory. 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. Signature of C~rk Dale roceived by Local Unit ;A -?.B-06 Applicallon Number Dale Received by STC APPLICANT INFORMATION All boxes must be completed 1a. Company Name (Applicant musl be the occupanVoperalor of the facility) 1b. Standard Industrial C!assificalion (SIC) Code- Sec. 2{10) (Four Digit Code) AMERIFORM, INC 3732 1c. Location of Facllily (Streel, City, State, ZIP Coda) 1d. Name o CityrrownshlpNillage I e. Counly {Indicate which) MUSKEGON 1790 SUN DOLPHIN DR MUSKEGON -- 2. Type of Approval Requested 3a. School District where facllity is located 3b. School Coda 1:1 New (Sec. 2(4)) 0 Transfer (1 copy to only) ORCHARD VIEW Speculative Bullding (Sec. 3(8)) 0 Rehabilitation (Sao. 3(1)) 4. Amounl of years requesled for exemption (1-12 Years) 0 Research and Development (Sec. 2(9)) 12 Years ~s!~~~~~~%~!~fr~ ~~~!~f!t~ ,;[~_i)~ned~:~sne~ U~~~~~~~~iJ:.t'm!:e~~~cho~~~~~~=t:~~(~) lf:i:;:~r~ ~:~~tddition); Personal Property (E~plain New, The addition of rotational molding machines and vacuum forming machines. This is to handle additional business brought to Muskegon from a plant closing by S.C. Johnson and consolidating here. 6a. Cost of land and building improvements (excluding cost of land) $324,983.00 • Attach list of improvements and associated costs. Real Property Costs • Also attach a copy of building permit if project has already begun. 6b. Cost of machinery, equipment, furniture and fixtures -· $651,030.00 • Attach itemized tis1Jng wllh month, day and year of beginning of installation plus total costs Personal Property Costs 6c. Total Project Costs $976,013.00 Total of Real & Personal Costs 7. Indicate the time schedule for slart and finish of constructiO!l and equipment Installation. Projects must be comp!elad witl1ln a two year period ollhe effective date of \he certificate unless olhefWise approved by the STC. Begin Date jM/Dli} End Date {MIDN) Real Property Improvements 10/1/04 4/30/05 (E}Owned 0Leased Personal Property Improvements 10/1/04 4/30/05 {!]Owned D leased 6. Are State Education Taxes reduce rll 19c._E-_m_"_"_A_"_"_'_'______ 19d. Clark's Mailing Address (Street, City, State, ZIP) 19e. Phone Number 191. Fa~ Number ~- -~-----------~----L _ __ Slate 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: Slate Tax Commission Michigan Department of Treasury P.O. Box 30.471 lansing, Ml48909·7971 ... .: ·.· .· ... ·.· STC USE ONLY ·.·· ··. : ·. . ·. LUCI Code I Begin Da~e lEnd Data lEnd Data2 -~ 3/21/06 Resolution No. 2006-30(b) MUSKEGON CITY COMMISSION RESOLUTION APPROVING APPLICATION FOR ISSUANCE OF INDUSTRIAL FACILITIES EXEMPTION CERTIFICATE AMERIFORM INC. 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 Ameriform Inc., 1790 Sun Dolphin, Muskegon, Michigan 49441; and WHEREAS, Ameriform Inc. 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 march 28, 2006, at the Muskegon City Hall in Muskegon, Michigan at 5:30p.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 Ameriform Inc., 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: (See Attachment #1) 3) The Industrial Facilities Tax Exemption Certificate is issued and shall be and remain in force and effect for a period of nine (9) years on personal property and twelve (12) years on real property. Adopted this 28th Day of March 2006. Ayes: Wierenga, Carter, Davis, Gawron, Shepherd, Spataro, Warmington Nays: None Absent: None 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 regular eting held on arch 28, 2006. Attachment II 1 / I / / / . LEGAt. DESCRIPTION K. L( INDUSTRIES, INC. Po:.rcel 1: That part: of tho South l/2 of the Southwc9 t 1/'• of Section ·34, Town 10 tl flange 16 West, Ci.ty of Hu9kegon, Hu9kegon County, Michigan, described no follow~: Commencing at the South l/4 corner of said Section, thence Sou 89.34'26" We9t a.J:ong th.c Sou.th line of said Section 1302.00 feet:,.; t:hence North 0 •46 '2'6" East parallel co the No!:"th and South l/4 line of said Sec 900 00 feet· thence South 89°34'26" We9t parallel to che South line of s. Sec~ion 340:00 feet for POINT OF BEGINNING, thence North o•t,6 '26"1 Ea~ t parallel to said North and South l/4 line·440.45 feet to the North line< said South l/2 of the Southwest 1/4, thence South 89"46' lJ" Wesc· along s; ~orth line 940.12 feet to the West line of said Section, thence South 1"08'39" West along aaid West line 7.32 feet to the Northeasterly line OJ the Michignn Stnte Highway Department Right-Of-Way as clescr:ibed in a Dcec. l:"ecorded in Liber _703, r.~ge 374, thencc'South 34.43'34" East along naid ~ortheasterly line 528.10 feet, thence North 89"34'26" East 633.50 feet t Point of Beginning. P.-..rccl 2: That part of the South 1/2 of the Southwe9t l/4 of Section 34, Town 10 No: Runge 16 Went, City o£ larts. This Agreement may be executed in one or more counterparts. Notwithstanding such execution all such counterparts shall constitute one and the same Agreement. 7. El.en.Elfil. This Agreement shall be binding upon and inure to the benefit of the respective parties, their successors and personal representatives. 3/21/06 8. Effective Date. This Agreement shall be effective on the date the State of Michigan Tax Commission grants the company at Industrial Facilities Exemption Certificate. CITY OF MUSKEGON Ameriform Inc. By_________________ Its._ _ _ _ _ _ __ and,_ _ _ _ _ _ _ _ ____ Its._ _ _ _ _ _ _ __ 3/21/06 DATE: February 21, 2006 TO: Honorable Mayor and Commissioners FROM: Mark Kincaid, Deputy Director of Public Safety RE: Concurrence with the Housing Board of Appeals Notice and Order to Demolish. Dangerous Building Case#: EN-050103 SUMMARY OF REQUEST: This is to request that the City Commission Concur with the findings of the Housing Board of Appeals that the structure located at 442 W. Muskegon -is unsafe, substandard, a public nuisance and that it be demolished within thirty (30) days. It is further requested that administration be directed to obtain bids for the demolition of the structure and that the Mayor and City Clerk be authorized and directed to execute a contract for demolition with the lowest responsible bidder. Case# & Project Address: # EN-0501 03- 442 W. Muskegon Location and ownership: This structure is located on Muskegon between Sixth and Fifth and is owned by Gail Anderson, 845 Catherine, Muskegon, Ml 49442. Staff Correspondence: A dangerous building inspection was conducted on 05/16/05. The Notice and Order to Repair was issued on 06/01/05. On 08/04/05 the HBA tabled case pending an interior inspection. On 10/06/05 the HBA declared structure substandard, dangerous and a public nuisance. Owner Contact: Mr. & Mrs. Anderson were present at the HBA meeting dated 06/01/05 at which time Mr. Anderson said his plan was to sell the structure "as is" but said he had taken care of the exterior items, the roof and replace siding but work was done without permits. Mr. Anderson agreed to schedule an interior inspection and the case was tabled. Mr. & Mrs. Anderson were present at the HBA meeting 10/06/05 which Mr. Anderson stated again his plan to sell property "as is" but no interior inspection was ever scheduled. The Neighborhood Investment Corp scheduled an interior inspection but it was a "no show". There has been no interior inspection scheduled as promised, however a housing (rental) inspection report conducted 06/01/05 shows 64 items including unsafe electrical, plumbing, rotted steps, etc. (see attached report). Financial Impact: CDBG Funds Budget action required: None State Equalized value: 17,600 Estimated cost to repair: $6,000 (Exterior Only) Staff Recommendation: To concur with the Housing Board of Appeals decision to demolish. C:\Documents and Settings\Potter\Local SettingsU'emporary Internet Files'OLKIA\AGENDA- 442 W Muskegon.doc page I of2 City Commission Recommendation: The commission will consider this item at it's meeting Tuesday, February 28, 2005. C:\Documents and Settings\Potter\Local Settingsifemporary Internet Files'OLKIA\AGENDA ~442 W Muskegon.doc page 2 of2 CITY OF MUSKEGON 933 Terrace St., P.O. Box 537, Muskegon, Ml49443 (231) 724-6715 DANGEROUS BUILDING INSPECTION REPORT Tuesday, February 21, 2006 Enforcement# EN0501 03 Property Address 442 W MUSKEGON AVE Parcel #24-205-337-0008-00 Owner ANDERSON GAIL A Inspector: Henry Faltinowski Date completed: 05/16/2005 DEFICENCIES: Uncorrected 1. Roof covering on home incomplete. 2. Roof covering on garage failing. Reroof 3. Missing siding on home. 4. Missing rotting siding on garage. 5. Scrape and paint garage - replace broken out windows- replace damage door. Request interior inspection by all trades, electrical, mechanical and plumbing. Please contact Inspection Services with any questions or to schedule an inspection at 933 Terrace St., Muskegon, Ml 49440 (231) 724 6758. Based upon my recent inspection of the above property I determined that the structure meets the definition of a Dangerous Building and/or Substandard Building as set forth in Section 10-61 of the Muskegon City Code. Henry Faltinowski, Building Inspector Date CITY OF MUSKEGON INSPECTION REPORT June 1, 2005 AT 4:00p.m. FOR W. MUSKEGON 442 PAGE 1 No Cat Violation --- --- ================================================================= 1 BASEMENT Water and gas lines must be properly supported. 2 A BASEMENT Doesn't have a smoke detector as required by code. 3 A BASEMENT Restore laundry waste. 4 B BASEMENT Hose used for water supply. 5 A BASEMENT Fuse or circuit panel has circuit with too large of fuse for the size of wire. 6 B BASEMENT - ELECTRIC Fuse has doubled up circuits. 7 A BASEMENT - FURNACE Furnace needs an inspection by a mechanical contractor and must be certified safe. 8 B BASEMENT - FURNACE Please have your mechanical contractor fill out the enclosed furnace inspection form. You must return this prior to your next inspection. 9 A BASEMENT-WATER HTR & OTHER AREAS Copper and galvanized water lines are corroded. 10 A BATHROOM Lavatory is inoperable. 11 BATHROOM No water to lavatory. 12 A BATHROOM No waste line on lavatory. 13 B BATHROOM Ceiling has a hole or holes or large cracks in it. 14 B BATHROOM Floor covering has holes, rips or is missing or is not sealed on edges. 15 B BATHROOM Outlet is broken, loose or not working. 16 A BATHROOM No power. 17 B BATHROOM Window lock(s) is/are missing or inoperative. 18 B BATHROOM - TOILET Toilet is not bolted tight at the floor. 19 B BATHROOM - TUB Faucet is broken or incomplete. 20 A ELECTRIC Front bedroom, bathroom, and basement are without power. 21 ELECTRIC Service needs to be upgraded. 22 ELECTRIC Entire dwelling needs to be re-wired. 23 A EXTERIOR - FRONT Window has broken or cracked glass. CITY OF MUSKEGON INSPECTION REPORT June 1, 2005 AT 4:00p.m. FOR W. MUSKEGON 442 PAGE 2 No Cat Violation === --- ================================================================= 24 B EXTERIOR - FRONT PORCH Door has broken or missing panels. 25 A EXTERIOR - FRONT PORCH Dwelling has flammable liquids stored inside - must be removed. 26 B EXTERIOR - GENERAL Operable window(s) do not have a screen - must cover the complete bottom sash. 27 B EXTERIOR - REAR Light fixture is broken or loose. 28 A EXTERIOR - SEVERAL Window has broken or cracked glass. 29 B EXTERIOR - SOME TRIM Has peeling paint and is not protected from weather by properly applied water-resistant paint or waterproof finish. 30 B FRONT BEDROOM Ceiling tile are missing or falling down. 31 B FRONT BEDROOM Roof leaks. 32 A FRONT BEDROOM Ceiling is moldy. 33 B FRONT BEDROOM Window lock(s) is/are missing or inoperative. 34 B FRONT BEDROOM Room is not supplied with 2 sources of power. Must have 2 duplex wall outlets or outlet and one overhead light. 35 B FRONT BEDROOM Door is loose or coming off of its hinges. 36 GARAGE NOTE: Garage must be removed or repaired. 37 B GARAGE Has peeling paint and is not protected from weather by properly applied water-resistant paint or waterproof finish. 38 B GARAGE Siding has holes in it or is rotted or missing. 39 B GARAGE Has eave boards that are rotted or missing. 40 A GARAGE Window sash is broken, rotted or missing. 41 B GARAGE Window sill is broken, missing or rotted. 42 B GARAGE - SEVERAL Door is broken or missing. 43 B HALLWAY Floor covering has holes, rips or is missing or is not sealed on edges. 44 B HALLWAY Ceiling tile are missing or falling down. 45 KITCHEN Floor slopes. 46 B KITCHEN CITY OF MUSKEGON INSPECTION REPORT June 1, 2005 AT 4:00p.m. FOR W. MUSKEGON 442 PAGE 3 No Cat Violation === ;::::;::::;:::: Wall tiles are loose. 47 B KITCHEN Sink waste needs a compression fitting. 48 B KITCHEN Window lock(s) is/are missing or inoperative. 49 B KITCHEN Cabinets are not in good repair. 50 A KITCHEN - OVER SINK Light is improper. 51 A LIVING ROOM Dwelling has a gasoline engine stored inside - must be removed. 52 A LIVING ROOM Doesn't have a smoke detector as required by code. 53 B MIDDLE BEDROOM Door is broken or missing. 54 B MIDDLE BEDROOM Walls have peeling paint. 55 A UPSTAIRS Window has broken or cracked glass. 56 A UPSTAIRS Door has a hasp - MUST BE REMOVED. 57 B UPSTAIRS Door is broken or missing. 58 A UPSTAIRS Doesn't have a smoke detector as required by code. 59 A UPSTAIRS Outlet cover is missing or broken. 60 A UPSTAIRS Handrail is missing. 61 B UPSTAIRS Floor covering has holes, rips or is missing or is not sealed on edges. 62 A UPSTAIRS Step is broken or rotted. 63 B UPSTAIRS - CEILING Wall or walls has a hole or holes or large cracks in it. 64 B UPSTAIRS - WALLS Ceiling has a hole or holes or large cracks in it. I \1 ' ,.I \ \ \ \ .-.{ ''· \ '\ \ ' <,.;:1r·-~·'. . \ 1 ' \ ; pw"' . ..... , .t . .. -1.-_·. ·- ' "-- _;: I ·~ '"' ~;..:..------- Commission Meeting Date: March 28, 2006 Date: March 17, 2006 To: Honorable Mayor and City Commissioners From: Planning & Economic Development Uf;e_ RE: Request for preliminary Planned Unit Development approval 1050 W. Western Avenue. SUMMARY OF REQUEST: The request for preliminary Planned Unit Development (PUD) approval for 1050 W. Western Avenue (Hartshorn Building property) is for a mixed use recreational and commercial development. The request is by John Bultema II, GLM Properties, LLC. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Staff recommends preliminary approval of the prelinimary PUD provided that the conditions listed in the attached resolution are met. COMMITTEE RECOMMENDATION: The Planning Commission recommended preliminary approval of the PUD, with the conditions listed on the attached resolution, at their March 16, 2006 meeting. The vote was unanimous with J. Aslakson and T. Michalski absent. 3/17/2006 Staff Report CITY OF MUSKEGON PLANNING COMMISSION REGULAR MEETING March 16, 2006 Hearing; Case 2006-06: Request for a Preliminary Planned Unit Development approval for a mixed use recreational and commercial development at I 050 W. Western Avenue (Hatishorn Center) by, John Bultema, GLM Properties, LLC. BACKGROUND Applicant: John Bultema, GLM Properties, LLC Propetiy Address/Location: I 050 W. Westem Avenue Request: Preliminary PUD for mixed use recreational and commercial development Present Land Use: Commercial and office Zoning: B-2, Convenience and Comparison Business, !-General Industrial and LR, Lakefront Recreation STAFF OBSERVATIONS I. The subject propetiy is located at 1050 W. Westem Avenue, includes the Hatishom Building, and is I 0.6 acres in size. 2. To the east of the propetiy is the City-owned Hatishom Matina, which is zoned LR. To the west is Michigan Steel, which is zoned I-1, and to the South is the parking lot for the Watetmark Building zoned I-1, and another area ofl-2 zoning, which includes the fonner Anaconda building and Cole's Bakety. 3. The propetiy in question presently has 3 different zoning desit,'llations, including B-2, Convenience and Compatison Business, which encompasses the largest pmtion of the propetiy and includes the Hartshorn building. The strip ofland located at the rear or notiherly portion of the property is zoned LR, Lakefi·ont Recreation, and the pmtion to the west is zoned I-2, General Industrial. 4. There are presently several commercial and office spaces located inside the Hatishom Building, including Fticano's, Bob's Bait, the Waterfi"ont Galley, and Hospice administrative offices. 5. The applicant wishes to develop a pmtion of the propetiy for an RV park for approximately 62 units, and an additional I 0 camping sites for tents. 6. The complex would include a swinuning pool and playground to be located on the eastcm side of the building and a small toilet building, which would be constmcted ncar the campmg area. There would also be a club house and bath house added to the intetior of the Hmtshorn Building, ncar the pool. 7. The applicant also indicates there will be an effmt made to connect to the Lakeshore Pathway, once the constmction of that section of it takes place. This would afford additional recreational oppmtunities for visitors using the RV park. 8. Because of the age of our 1997 Master Land Use Plan, what was then the "Waterfl'ont Center" was identified on the Future Land Use Map as an office use. However, this building previously housed "a variety of specialty, antique and craft shops, and a restaurant" during the 1980s. It has returned to these uses after developed as the Hartshorn Center a few years ago. 9. Other comments from the Master Plan include: "Resttict indus!tial expansion to infill locations, intemal to existing industrial development." The City has been working for several years to relocate industrial uses away fi·om the shoreline and open the lake to access by the public, as is demonstrated by the Hmtshom Marina. I 0. City departments had the following comments: a. Engineeting had no issues with this site plan. b. DPW- Provide detailed utility plans to Kelly DeFrench, along with a water and sewer meter plan. c. Fire- The Fire Marshall has no problems with the concept, but has several issues that would need to be addressed on the final site plan including: 1. Hydrant placement shown on ptints and complying with Intcmational Fire Code. 11. Bum pits and gtills must be shown on final site plan. m. Paved areas shall suppmt weight of Fire Depmtment heaviest apparatus. IV. All gates and baniers must be shown on final plan. v. Adequate tuming radius required at end of access driveways. II. Staff has received no comments regarding this case. CITY OF MUSKEGON RESOLUTION #2006- 32(a) RESOLUTION FOR PRELIMINARY PLANNED UNIT DEVELOPMENT APPROVAL FOR 1050 W. WESTERN AVENUE, HARTSHORN CENTER PROPERTY. WHEREAS, a petition for a planned unit development was received from John Bultema II, GLM, LLC; and, WHEREAS, a planned unit development will allow a mixed use recreational and commercial development; and, WHEREAS, proper notice was given by mail and publication and public hearings were held by the City Planning Commission and by the City Commission to consider said petition, during which all interested persons were given an opportunity to be heard in accordance with provisions of the Zoning Ordinance and State Law; and WHEREAS, the Planning Commission and staff have recommended approval of the preliminary Planned Unit Development and associated conceptual site plan; NOW, THEREFORE, BE IT RESOLVED that the recommendation by staff and the City Planning Commission be accepted and the preliminary planned unit development is hereby approved. Adopted this 28th day of March, 2006 Ayes: Davis, Gawron, Shepherd, Spataro, Warmington, Wierenga, Carter Nays: None Absent: None 2006-32(a) CERTIFICATE (Preliminary PUD for 1050 W. Western Ave., Hartshorn Building.) The undersigned, being the duly qualified clerk ofthe City of Muskegon, Muskegon County, Michigan, does hereby certify that the foregoing is a true and complete copy of a resolution adopted by the City Commission of the City ofMuskegon, at a regular meeting of the City Commission on the 28th day of March, 2006, 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 ofMichigan of 1976, as amended, and that minutes were kept and will be or have been made available as requ · ed thereby. DATED: ~ ± '2006. Gail undinger, MMC Clerk, City of Muskegon City of Muskegon Planning Commission Case# 2006-06 -~· . II~ SYbJ• fctntUt(J March 13, 2006 City of Muskegon Planning Commission 933 Terrace St. Muskegon, MI 49443 RE: Rezoning Request 1438,1446,1458,1468 and 1478 Terrace To Whom It May Concern While I am not a property owner of the affected properties. I am a City property owner who has been affected by zoning changes and would like to express my views. I am the owner of 491 Houston, Muskegon. Several years ago, my commercial property was negatively impacted by a zoning change from business to residential. At the time, I was informed by the Planning Commission, that this zoning change would have no affect on my property and business plans. However in reality, I was later informed that I would not be allowed to open a retail sections for ~isplay of my products to customers. I would be allowed to continue to use my property only as a warehouse and not for retail display as was my intentions. Due to this action by the Planning Commission and my inability to effectively communicate with them, I decided to move my retail business to a location outside of the City of Muskegon. I still use the warehouse, but not in the manner in which I intended. Unfortunately, this is not a rare occurrence. I am aware of other property owners that have been negatively affected by zoning changes and the results have been negative toward the growth of businesses in the City. · - As a result of my experiences, I wanted to express my views on how a zoning change has affected me personally and has resulted in a negative business attitude toward the City of Muskegon. /_,/" Sincerely < 1 ..,..~e. L Kevin Carlson --- 491 Houston 90Ul r, G ~rv~ ROGER NIELSEN & ASSI;;;It:ilttttt~~tl_j 420 Carmen Drive PHONE: Spring Lake, Ml 49456 (616) 842-7584 March 27. 2006 City of Muskegon City Commission 933 Terrace St. Muskegon, MI 49443 RE: Case 2006-07 Request to rezone 1438, 1446, 1458, 1468 and 1478 Terrace Dear Mr. Mayor and City Commissioners Regarding the rezoning request, I wish again to go on record opposing the change in zoning from B-2 to R-1 for this group ofparcels. As demonstrated by the enclosed petitions, as previously presented to the Planning Commission, a substantial number of individuals affected by the proposed change have stated that they are in opposition to any change in zoning for these parcels. This proposed change in zoning will have a negative impact on several multi-family residential units and small businesses in the local area. From appearances, this zoning change will to be to the benefit of only 2 of the effected parcels. The majority of the property owners of the included parcels will suffer a significant negative impact by this change. It is unfortunate that the Planning Commission was unable to assist the party requesting the zoning change without harming the owners of other properties included in the request by the Planning Commission without any consultation with the owners. Again, as I seen no positive benefit to the proposed zoning change, I once again wish to voice my opposition to any change. Sincerely ~ttL?- Roger Nielsen Commission Meeting Date: March 28, 2005 Date: March 17, 2006 To: Honorable Mayor and City Commissioners From: Planning & Economic Development CJI!!2- RE: Zoning Ordinance Amendment to Article XXII, Nonconforming Uses SUMMARY OF REQUEST: Request to amend Sections 2200, 2201, 2202, 2203, and 2204 (Nonconfonning Uses) of Atticle XXII of the Zoning Ordinance FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Staff recommends amendment of Atticle XXII (Nonconfonning Uses) of the Zoning Ordinance. COMMITTEE RECOMMENDATION: The Planning Commission recommended approval of the amendment at their 3116 meeting. The vote was unanimous in favor of the amendment, with J. Aslakson and T. Michalski absent. 0:\Pianning\C'OMMON\Zoning\City Commission ltcms\Amendmcnts\.2006 Amcndmcnts\Ca'ic 2005-41-Nonconfi:mning Uses.d(lc Staff Report !EXCERPT! CITY OF MUSKEGON PLANNING COMMISSION REGULAR MEETING March 16, 2006 OLD BUSINESS Heal"ing; Case 2005-41: Staff initiated request to amend Sections 2200, 2201, 2202, 2203, and 2204 (Nonconforming Uses) of Article XXII of the Zoning Ordinance. BACKGROUND This section of the ordinance has been a bone of contention in the past regarding some of its restrictions. The Nonconfonning Uses language as it presently exists in the Zoning Ordinance is somewhat confusing and hard to interpret. Staff has spent several months reviewing other ordinances and consulting with the City Attorney and other planners regarding a makeover of the section. It has been "a work in progress", since I have had input from so many sources, including Commissioners Davis and Gawron, who at the Mayor's request met with staff on several occasions to discuss concerns with the present ordinance language. Much of the original language from our ordinance has been incorporated into the new language. I have attempted to put the proposed section in the usual fonnat with strike thrOHgRS for deleted language and bold for new language. I have also included a copy of the CUJTent ordinance language. I first looked at Section 2200: Intent. Staff felt that it needed rewording and clmification. I believe the new language better describes the intention and "spiiit" of the Master Plan to have confonnity in our City. While allowing the present nonconfonning uses and structures to exist while practical, it would also j,>radually eliminate them. The vety existence of a Master Plan by the citizens of the City of Muskegon says loud and clear that they would like their community developed with a plan in mind and not continue the nonconfonning uses and structures forever. One of the first changes you may notice is nonconfotming lots, uses of land, and structures are now separated into their own sections. I believe this will make reading and interpreting of the section much easier. Nonconfotming lots were not previously addressed. In the past, zoning staff was applying these conditions when detennining if a lot was confonning or "buildable", but there was no written language that supported this in the ordinance. So I completely reconstructed Section 2201 to address Nonconfonning Lots only, with all new language. Some portions of Section 2201 have been incorporated into Section 2202. One area of the ordinance that has raised many questions was regarding Section 2202: Elimination of Nonconfonning Uses. There seems to be many opinions on what length of time a nonconfom1ing use should be allowed to continue once the use has ceased. Our present ordinance allowed up to two years. Some other municipal ordinances only allowed six months, but the most common was a one- year time frame. Our ordinance is the most liberal with its time of two years (cutTent language Section 2202, #!). After discussion with other staff members, I left the two-year time period in the revised language (Section 2202, #5, new lanj,>uage), but it may be worth considering shortening the 0:\P\anning\COMMON\Z.oning\City Commission ltemsi.A.mend.tnenl~·2(X)6 Am.:ndmcnts\Ca<>c 2005-41-Noncon!hnning Uscs.doc 2 time petiod. Number 3 (a-d) in this section gives Planning Commission some guidelines on which to base their decision regarding expansion of nonconfonning uses of land. Number 5 would give guidelines to detennine if a nonconfonning use had been abandoned. Another problem section of the ordinance that has raised many concems has been Section 2203, #2 (current ordinance). It refe!Ted to a stmcture that was "damaged by fire, wind, civil disobedience, or an Act of God or the public enemy". The language refers to the fact that those buildings may be repaired or rebuilt so long as "such stmctural alteration or stmctural repairs shall not exceed fifty (50) percent of the replacement cost of such building". Upon researching other ordinances in the West Michigan areas, as well as other parts of the state, staff found that some other ordinances allowed stmctures to be rebuilt that were 60% destroyed. This has been incorporated for your review into the revised section (Section 2203, #6, new language). Much of this section is ordinance language that was contained in our cmTent ordinance, but pertains to stmctures, and so put into the Nonconfonning Stmctures section. Hopefully, after discussion, debate and probably some revisions on staffs part, we will come out of the process with a newly revised section that is much more understandable by the public, Planning Commissioner, ZBA members, and staff, but retain the "spitit" of the Master Plan. The revisions discussed at the Janumy meeting were incmporated into the language. Staff didn't remove Section 2202 #6, as fanner Commissioner Johnson suggested, because there was no clear direction from the remaining Planning Commissioners to do so. I still believe leaving it in makes sense and allows some latitude, as long as the use is moving closer to confonnity. J. Aslakson made a request of staff to inquire if it would be possible for residential stmctures only to be rebuilt in the fanner footprint if the home was destroyed. Staff asked for an opinion fi:om the City Attomey's office. l11e e-mail limn Adam Zuwetink ofPannenter O'Toole is included with this packet. No other changes were requested, so staff left the proposed ordinance as it was. Another copy is included. NEW LANGUAGE See separate documents included with this packet. DELIBERATION I move that the amendments to Sections 2200, 2201, 2202, 2203, and 2204, Atiicle XXII (Nonconfonning Uses), of the Zoning Ordinance, be recommended to the City Commission for (approval!deni a!). 0:\Plunning\COMMON\Zoning\City C0mmission ltcms'Amendments\2(106 Amendments\Ca<>e 2005-4! -Nonconforming Uses.doc 3 CITY OF MUSKEGON MUSKEGON COUNTY, MICHIGAN ORDINANCE NO. An ordinance to amend Sections 2200, 2201, 2202, 2203, and 2204 of Article XXII (Nonconforming Uses) of the Zoning Ordinance. THE CITY COMMISSION OF THE CITY OF MUSKEGON HEREBY ORDAINS: Section 2200, 2201, 2202, and 2203 of Article XXll (Nonconforming Uscs)ofthe City of Muskegon Zoning Ordinance is hereby amended as written below: ARTICLE XXII- NONCONFORMING LOTS, USES, AND STRUCTURES SECTION 2200: INTENT Upon the adoption of this Ordinance or future amendments, there may exist lots, structures, and uses of land and structures which were lawful prior to the adoption of the Zoning Ordinance, or amendment to the Ordinance, but which are not in confonnance with the provisions of this Ordinance, or any amendments. It is the intent of this Ordinance to penni! these nonconforming lots, structures and uses to continue until they are removed, but not to encourage their survival. Because nonconfonning lots, structures and uses, so long as they exist, prevent the full achievement of the goals and objectives of the City of Muskegon Master Plan, the spirit of this Ordinance is to reduce, rather than increase, any nonconf01mance. SECTION 2201: NONCONFORMING LOTS When an existing nonconfom1ing lot does not adjoin any other lot or lots under c01runon ownership or if the nonconfonning lot fails to meet the requirements for minimum lot area, minimum width, or both, of the zoning district in which it is located, such lot may be used for the pennittcd uses of the zoning district under the following conditions: I. It must meet the definition of"Lot of Record" listed in the definitions of this Ordinance. 2. Structures on a nonconforming lot must still meet setback requirements of its zoning district and is subject to limitations provided by other provisions of this Ordinance. In any zoning district, where two or more adjoining nonconforming lots are under common ownership or control, these lots shall be combined and considered as one lot for the purposes of this ordinance. O:'.PlanningiCOMMON'Zoning'·City Commission ltems\Amendrncnts12006 Amcndmcnts\Ca<>c 2005-41-Nonconl(mning Uses.doc 4 SECTION 2202: NONCONFORMING USES OF LAND Where, at the effective date of adoption or amendment of this Ordinance, lawful use ofland exists that is made unlawful under the tenns of this Ordinance as enacted or amended, such use may be continued, so long as it remains othetwise lawful, subject to the following provisions: 1. Special land uses and use vmiances pennitted by this ordinance shall not be deemed nonconfonning uses. 2. Changes of tenancy, ownership or management of any existing nonconfonning uses of land may be made, provided that there is no change in the nature or character of the nonconfonning use. 3. No nonconforming use shall be enlarged, increased, or extended to occupy a greater area of land than was occupied at the effective date of adoption or amendment of this Ordinance, except when authmized by the Planning Conunission, after Public Hearing as required for Special Uses and site plans, and upon reaching a determination that the proposed enlargement, increase, or greater area: a. Does not have a substantial detrimental effect on the use and enjoyment of adjacent uses or lots. b. Complies with all parking, sign, or other applicable regulations applicable to accessory uses for the area affected by the proposed enlargement, increase, or f,>reater area. c. Complies with any reasonable conditions imposed by the Planning Commission that are necessary to ensure that the proposed enlargement, increase, or greater area will not prove dettimental to adjacent properties, the neighborhood, or the community. d. It is not larger than twenty five percent (25%) of the miginal nonconfonning area. 4. No such nonconfonning use shall be moved in whole or in patt to any other pmtion of the lot or parcel occupied by such use at the effective date of adoption or amendment of this Ordinance. 5. A nonconfonning use of land which has ceased for a period exceeding twenty-four (24) months or has been changed to a contonning use may not again be devoted to a nonconfonning use. A nonconfonning use shall be detennined to be abandoned if one (I) or more of the following conditions exists, and which shall be deemed to constitute an intent on the pati of the property owner to abandon the nonconfonning use; a. Utilities, such as water, gas, and electricity to the property, have been discontinued. b. The property, buildings and grounds have fallen into disrepair. c. Signs or other indications of the existence of the nonconfonning use have been removed. d. Removal of equipment or fixtures which are necessary for the operation of the nonconfonning use. 0:\Planning\COM MONI.Zoning\City Commission ltcm.<;\A.mendments\2006 Amcndments\Casc 2(XJ5-41-Nonconli:uming Uscs.doc 5 e. Other actions, which in the opinion of the Zoning Administrator, constitute an act or omission on the patt of the prope1ty owner or lessee constituting an intent to abandon the nonconforming use. 6. When such nonconfonning use is made more confonning than the use which previously existed, it may continue even though it does not totally confonn to all provisions of this Ordinance. SECTION 2203: NONCONFORMING STRUCTURES Where a lawful structure exists at the effective date of adoption or amendment of this Ordinance that could not be built under the tem1s of this Ordinance by reason of restrictions on area lot coverage, height, yards, parking or other characte1istics of the structure or its location on the lot, such structure may be continued so along as it remains otherwise lawful, subject to the following provisions: I. No structure may be enlarged or altered in a way which increases its nonconfonnity, except when authmized by the Planning Commission, after Public Heming as required for Special Uses and site plans. The Planning Commission shall be authorized to deten11ine the amount of enlargement of any building or structure, consistent with the intent of this article. The nonconfo1111ing structure may be changed to an extent not exceeding thirty percent (30%) of the total floor area of the existing building at the time of enactment of the Ordinance fi·om which this chapter is delived, or at the time of its amendment making a structure noneonfonning. 2. No nonconfonning building or structure shall be moved in whole or part to any other location unless such building or structure and the off-street parking spaces, yard and other open spaces provided, are made to confon11 to all the regulations of the distlict in which such building or structure is to be located. 3. Changes of tenancy, ownership or management of any existing nonconfon11ing structures may be made, provided that there is no change in the nature or character of the nonconf(mDing structure. 4. Repair and maintenance work may be pe1fonned as required to keep a nonconfon11ing building or structure in a sound condition. 5. In the event any nonconfon11ing building or structure is damaged by fire, wind, civil disobedience, or an Act Of God or the public enemy, it may be rebuilt or restored, provided the cost of such structural alteration or structural repairs shall not exceed seventy-five (75) percent of it's replacement cost. The buildings or structures shall be built in confon11ance with the requirement of the zoning district in which they are located. 6. Once any nonconfonning structure is removed from the property, its nonconfmming status has expired and it may not be replaced on the property. SECTION 2204: [RESERVED] 0:\Planning\COMMON'·Zoning··City Commission !tems\Amendmc-nts'2006 Amendments\Ca~e 2005-41-Nom:onfonning Uses.doc 6 This ordinance adopted: Ayes:. ____________________________________________________ Nayes: ______________________________________________ Adoption Date: ____________________________________ Effective Date: _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __ First Reading: _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __ Second Reading: _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __ CITY OF MUSKEGON By: ____________________ Gail A. Kundinger, MMC, City Clerk 0:\Pianning\COM MON\7....oning\City Commission Jtems\Amcndmcnts\2006 Amcndments\Ca<>c 2005-4 1-Nnm:on!i.mning Uscs.doc 7 Commission Meeting Date: March 28, 2006- Zoning Ordinance Amendment to Nonconfom1ing Uses 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 28'h day of March, 2006, at which meeting a quorum was present and remained tlu·oughout, and that the miginal of said ordinance is on file in the records of the City of Muskegon. I fin1her certifY that the meeting was conducted and public notice was 1,>iven pursuant to and in full compliance with Act No. 267, Public Acts of Michigan of 1976, as amended, and that minutes were kept and will be or have been made available as required thereby. DATED:-----------'' 2006. Gail A. Kundinger, MMC Clerk, City of Muskegon Publish: Notice of Adoption to be published once within ten (I 0) days of final adoption. O:\P!anning\COMMON,zoning1City Commission ltems'-Amendments\2006 Amendments Case 200541-Noneonl{mning Uscs.dnc 8 CITY OF MUSKEGON NOTICE OF ADOPTION Please take notice that on March 28, 2006, the City Cmmnission of the City of Muskegon adopted an ordinance to amend Section 2200,2201,2202,2203, and 2204 of Article XXII (Noncontcnming Uses). Copies of the ordinance may be viewed and purchased at reasonable cost at the Office ofthc City Clerk in the City Hall, 933 Terrace Street, Muskegon, Michigan, duting regular business hours. This ordinance amendment is effective ten days from the date of this publication. Published _ _ _ _ _ _ _ _, 2006 CITY OF MUSKEGON By _ _ _ _ _ _ _ _ _ _ _ __ Gail A. Kundinger, MMC City Clerk PUBLISH ONCE WITHIN TEN (10) DAYS OF FINAL PASSAGE. AccountNo. 101-80400-5354 O:·.Pianning COMMON\Zoning\City Commission ltems\Amendments'J006 Amendmenls\Case 2005-41-1\'onconfi:mning Uscs.doc 9 Date: March 28, 2006 To: Honorable Mayor and City Commissioners From: Engineering RE: Consideration of Bids Nims Street Tank Painting (W-651) SUMMARY OF REQUEST: We received three bids for the painting contract (W-651) for the Nims Street Tank, the two lowest bidder, M. K. Painting and G & M painting, failed to submit the Non-Collusion Affidavit as required by the contract, the third bidder, Horizon Brothers, committed a mathematical error (submitted a bid of $440,200 which should have been $441 ,200). While staff is not recommending acceptance of any of those bids, due to the irregularities. we are however, recommending that M.K. painting be awarded the contract, since they were the lowest bidder with a bid price of $409,700, should the commissioners desire to waive those irregularities. FINANCIAL IMPACT: The construction cost of $409,700.00 plus associated engineering costs. BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: If irregularities are waived, award the contract toM. K. Painting COMMITTEE RECOMMENDATION: W651 - NIMS STREET TANK PAINTING BID TABULATION 03/21/06 CONTRACTOR M.K. PAINTING HORIZON BROS. PAINTING CORP. G&M PAINTING ENT. INC. ADDRESS 4157 SEVENTH ST. 1053 KENDRA LANE 18902 QUARRY RD. CITY/ST/ZIP WYANDOTTE, Ml 48192 HOWELL, Ml 48843 RIVERVIEW, Ml 48192 1 CONCRETE REPAIRS $ 3,500.00 $ 5,000.00 $ 6,000.00 2 WELD CATHODIC CAPS $ 1,500.00 $ 2,000.00 $ 1 1,000.00 l CAGE MODIFICATION $ 1,000.00 $ 3,000,00 $ 6,000.00 4 RADIAL ARM SEAM SEALING $ 5,000.00 $ 40,000.00 $ 13,000.00 5 EXTERIOR REPAINT (CONTAINMENT) $ 352,000.00 $ 340,000.00 $ 293,000.00 6 PIT PIPING REPAINT $ 6,500,00 $ 8,000.00 $ 36,000.00 7 CATHODIC PROTECTION INSTALLATION $ 13,000.00 $ 16,000.00 $ 26,000.00 8 EXPOSURE ASSESSMENT (COST ALLOWANCE) $ 1,200.00 $ 1,200.00 $ 1,200.00 9 ELECTRICAL RELOCATION (COST ALLOWANCE) to CONSUMER ENERGY $ 15,000.00 $ 15,000.00 $ 15,000.00 10 CONTROL MODIFICATIONS (COST ALLOWANCE), CITY'S ELECTRICAL CONT. $11,000.00 $ 1 1,000.00 $ 11,000.00 TOTAL $409,700.00 $441,200.00 $418,200.00 PAGE 1 517-321-4405 p. 1 Mar 21 06 04:43p Keith Nelson 16240 Nation>JI f'arkw::.y « L:Jt\.'iing, Ml 48900 • Phono (~17) :S:.!1-1G91 • F;Jx (517) 3:.!1-440~ March 21 , 2006 Mohammed /\1-Shatel, PE City of Muskegon '>33 Terrace Street Musl cPffi ' JO I UAB!UTY ~ COMBINED SINGLe LIMIT r-- ArN AUTO (E - "' "'' 0 Ci;" 0 "' .... i,us-, -.t •. _L paf.e.s ~ ov VJ, /! vu.d 10 ., 0 ;... :-: .. r- "' (L IX[ (L MUSK\ \ \ \ \ Jl/' PDLIC SHERRIFF ru EPT. ?0 "' (L 0: 0'- - JUSTICE 'l-' ~~ Cfr_ l _ __ _ _ [§J 'l-"o 0 ~~ ' d' 0 132' 117 u. ~ w APPLE AVE , 0 "' "'ru ro "' v t_.l".l .ttL... 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(517) 318·3100 I Fox (517) )18-3099 www.c:brkhill.com Hara11 C. RZJif72-H716 F.-\XJ72.,I-.t1J55 Clcrlt 231/72.,1-(,7{)5 F.\:\./72-t--t\78 Cui!Hll. & :'-leigh. Scr\'icc~ 231172-1-(,717 F.-\\:1726-2501 Euginc~dn!! 23 117 !4-(,7{17 May 12, 2006 F.-\XI727-6'JU-I- Finance 2J 1172.1-6713 F.-\:\.!7H-67(,8 Mr. Orjiakor N. lsiogu, Director Fin• Dept. Telecommunications Division 231172.,1-&79.:! Michigan Public Service Commission F.-\X/72.t-6'JH5 6545 Mercantile Way !ncume T:n. P.O. Box 30221 231172.t-677() FAXI7H-6 7(,1{ Lansing Ml 48909 Info. Systcll\s 2J 11724-!J?.t.t Dear Mr. lsiogu: F.-\X/722--0(1\ Lcisun.• Sct·vicc Attached please find an original "RIGHT-OF-WAY TELECOMMUNICATIONS 231/72-t-670-1 PERMIT" as executed between Arialink Telecom, L.L.C. and the City of Muskegon. F.-\X/72-t-1196 L\Jan;\g:cr's Office Sincerely, 23\/72.-t-672-I- F.-\.'\1722-121.t CITY OF MUSKEGON i\layur's Oftice 2Ji/71.,1-670 I F.-\.'\1722-1214 Neigh. & Ct~nst. Lee J. Slaughter 2Ji/71-t-67l5 Assistant City Manager F.-\.\:/72 f>-250 I Pb1nning/Zuning OJS/pb 231/724-6702 F.-\Xf72.t-67'Jt1 Att. J'ulicc Dept. 23!172.t-675\l F.-\X/722-51-Hl c: Jason Schreiber, Aria link Telecom, L.L.C. (letter only) l'uhlic Work~ 231172-t-.J 100 F.-\X/722-.t !Mil Trca~urcr 231!12:1-6720 F.-\X/7l.t-676S W<1tcr Billin~ Dept. 231172-t-6718 pb/0/METRO ACT. Ml PUB SRVC COMM. PERMIT 051206 F.-\X/72-t-(,768 \V:tter Filtration 231/724--t\06 FA:\.1755-5J'J() City of Muskegon, 933 Terrace Street, P.O. Box 536, Muskegon, MI 49443-0536 AITI.-matin• Action :!J 1172-l-67i;) ·,\.\.1722-121~ . \~SCS~\!l" 23 lin.i-b 7US F.\.\./726-5181 ("cmdcry 23 IJ7~-t-r,78J FA\.!726-%17 Ci\ il ScrYicl' 2JII72.J-6716 F.-\-:\.171-1-.JU:;:l Ck·rk 231172-1-6705 F.\.\.171-l--117H Cumm. & ?\l'igh. 231172-l-6717 F.-\.\:/726-2501 Engineering May 8, 2006 231172-H707 F.-\X/727-C.'Jll.J. Fin:Lncc 2JI/7!..J-671J F.-\X/72.J-(o71)/:! Mr. Jason Schreiber, Manager Fin: Dept. Arialink Telecom, L.L.C. 2Jif72.J-(,71)2 1223 Turner St., Suite A F.-\."\!71-l-(,~1.'15 Lansing Ml 48906 Income Tax 231172-1-6 77() F.-\Xf72-l-li76.'3 Dear Mr. Schreiber: Info. Sysl<'lll~ 2J l/72.J-(J7.J.-l- Thank you for providing the required documents, per our April 6, 2006 request. F.-\X/722--IJU I Attached please find four ( 4) original sets of "RIGHT-OF-WAY TELECOMMUNICATIONS LeisUJ"C .St•rvicc 23 11724-6 7U.J PERMIT." Please execute each set and return three (3) sets to our office. Retain the FAX/7H-1196 fourth for your records. Our office will forward an original document to the Michigan Public 1\l:iml:;ci"'s Office Service Commission. 23 1/72-1-(172-l F.-\".\./722-121-l Sincerely, ,\l:ryu1·'s Oflice 231/724-6701 !'AX/722-121.J. CITY OF MUSKEGON Nci~h. & Const. Services 2311724-(,715 U:~~--· F.-\.\:J72(,.25HI Lee J. Slaughter Planniug/Zoning Assistant City Manager 23!172-l-6702 F.-\":\./72-l-6790 OJS/pb Police Dept. 231172-t-6 751) F.-\.\:/722-51-10 C: Mr. Orjiakor N. lsiogu, MPSC (letter only) Public \Vurks 231/72-l--1100 F.-\\:1722--l\81:! Trca~ttrt'r 2JI!71-I-672ll FAX/72.J-67hl:S \\"akr Billing D\'pt. ZJI/'72-1-6718 pb/0/METRO ACT, ARIALINK, PERMIT FOR SIGNATURE 050806 F.-\:X/72-l-67Mi Wat\'r Filtration 2J 1172-l--ll ()6 F.-\X/755-5291) City of Muskegon, 933 Terrace Street, P.O. Box 536, Muskegon, Ml 49443-0536 METRO Act Unilateral Form Revised 12/06/02 RIGHT-OF-WAY TELECOMMUNICATIONS PERMIT This permit issued this 28 day of March , 2006 by City of Muskegon. 1 Definitions 1.1 Date of Issuance shall mean the date set forth above. 1.2 Manager shall mean Municipality's [Mayor/Manager/SupervisorNillage President] or his or her designee. 1.3 METRO Act shall mean the Metropolitan Extension Telecommunications Right- of Way oversight Act, Act No. 48 of the Public Acts of2002, as amended. 1.4 Municipality shall mean City of Muskegon, a Michigan municipal corporation. 1.5 Permit shall mean this document. 1.6 Permittee shall mean Arialink Telecom, L.L.C. organized under the laws of the State of Michigan whose address is 1223 Turner Street, Suite A, Lansing, MI 48906. 1.7 Public Right-of-Way shall mean the area on, below, or above a public roadway, highway, street, alley, easement, or waterway, to the extent Municipality has the ability to grant the rights set forth herein. Public Right-of-Way does not include a federal, state, or private right-of-way. 1.8 Telecommunications Facilities or Facilities shall mean the Permittee's equipment or personal property, such as copper and fiber cables, lines, wires, switches, conduits, pipes, and sheaths, which are used to or can generate, receive, transmit, carry, amplify or provide telecommunication services or signals. Telecommunication Facilities or Facilities do not include antennas, supporting structures for antennas, equipment shelters or houses, and any ancillary equipment and miscellaneous hardware used to provide federally licensed commercial mobile service as defined in Section 332(d) of Part I of Title III of the Communications Act of 1934, Chapter 652, 48 Stat. 1064, 47 U.S.C. 332 and further defined as commercial mobile radio service in 47 CFR 20.3, and service provided by any wireless, two-way communications device. 1.9 Term shall have the meaning set forth in Part 7. -1- 2 Grant 2.1 Municipality hereby issues a permit under the METRO Act to Permittee for access to and ongoing use of the Public Right-of-Way identified on Exhibit A to construct, install and maintain Telecommunication Facilities on the terms set forth herein. 2.1.1 Exhibit A may be modified by Manager upon written request by Permittee. 2.1.2 Any decision of Manager on a request by Permittee for a modification may be appealed by Permittee to Municipality's legislative body. 2.2 Over lashing. Permittee shall not allow the wires or any other facilities of a third party to be overlashed to the Telecommunication Facilities without Municipality's prior written consent. Municipality's right to withhold written consent is subject to the authority of the Michigan Public Service Commission under Section 3 61 of the Michigan Telecommunications Act, MCL § 484.2361. 2.3 Nonexclusive. The rights granted by this Permit are nonexclusive. Municipality reserves the right to approve, at any time, additional permits for access to and ongoing usage of the Public Right-of-Way by telecommunications providers and to enter into agreements for use of the Public Right-of-Way with and grant franchises for use of the Public Right-of-Way to telecommunications providers, cable companies, utilities and other providers. 3 Contacts, Maps and Plans 3 .I Permittee Contacts. The names, addresses and the like for engineering and construction related information for Permittee and its Telecommunication Facilities are as follows: 3.1.1 The address, e-mail address, phone number and contact person (title or name) at Permittee's local office (in or near Municipality) is included in the official, business contact list filed with the Municipality. 3.1.2 If Permittee's engineering drawings, as-built plans and related records for the Telecommunication Facilities will not be located at the preceding local office, the location address, phone number and contact person (title or department) for them will be the engineering contact included in the official , business contact list filed with the Municipality. 3 .1.3 The name, title, address, e-mail address and telephone numbers of -2- Permittee's engineering contact person(s) with responsibility for the design, plans and construction of the Telecommunication Facilities are included in the official, business contact list filed with the Municipality. 3.1.4 The address, phone number and contact person (title or department) at Permittee's home office/regional office with responsibility for engineering and construction related aspects of the Telecommunication Facilities 1s included in the official, business contact list filed with the Municipality. 3.1.5 Permittee shall at all times provide Manager with the phone number at which a live representative of Permittee (not voice mail) can be reached 24 hours a day, seven (7) days a week, in the event of a public emergency is included in the official, business contact list filed with the Municipality. 3.1.6 Permittee shall immediately notifY Municipality in writing as set forth in Part 12 of any inaccuracies or changes in the preceding information. 3.2 Route Maps. Within ninety (90) days after the substantial completion .of new Facilities in a Municipality, a provider shall submit route maps showing the location of the Telecommunication Facilities to both the Michigan Public Service Commission and to the Municipality, as required under Section 6(7) of the METRO Act, MCLA 484.3106(7). In accordance with Section 6(5) of the METRO Act, a provider's existing and proposed facilities that is a trade secret, proprietary or confidential information is exempt from the Freedom of Information Act, 1976 PA 442, MCL 15.231 to 15.246. 3.3 As-Built Records. Permittee, without expense to Municipality, shall, upon forty- eight (48) hours notice, give Municipality access to all "as-built" maps, records, plans and specifications showing the Telecommunication Facilities or portions thereof in the Public Right-of-Way. Upon request by Municipality, Permittee shall inform Municipality as soon as reasonably possible of any changes from previously supplied maps, records, or plans and shall mark up maps provided by Municipality so as to show the location of the Telecommunication Facilities. 4 Use of Public Right-of-Way 4.1 No Burden on Public Right-of-Way. Permittee, its contractors, subcontractors, and the Telecommunication Facilities shall not unduly burden or interfere with the present or future use of any of the Public Right-of-Way. Permittee's aerial cables and wires shall be suspended so as to not endanger or injure persons or property in or about the Public Right-of-Way. If Municipality reasonably determines that any portion of the Telecommunication Facilities constitutes an undue burden or interference, due to changed circumstances, Permittee, at its sole expense, shall modify the Telecommunication Facilities or take such other actions -3- as Municipality may determine is in the public interest to remove or alleviate the burden, and Permittee shail do so within a reasonable time period. Municipality will attempt to require all occupants of a pole or conduit whose facilities are a burden to remove or alleviate the burden concurrently. 4.2 No Priority. This Permit does not establish any priority of use of the Public Right-of-Way by Permittee over any present or future permittees or parties having agreements with Municipality or franchises for such use. In the event of any dispute as to the priority of use of the Public Right-of-Way, the first priority shall be to the public generally, the second priority to Municipality, the third priority to the State of Michigan and its political subdivisions in the performance of their various functions, and thereafter as between other permit, agreement or franchise holders, as determined by Municipality in the exercise of its powers, including the police power and other powers reserved to and conferred on it by the State of Michigan. 4.3 Restoration of Property. Permittee, its contractors and subcontractors shall immediately (subject to seasonal work restrictions) restore, at Permittee's sole expense, in a manner approved by Municipality, any portion of the Public Right- of-Way that is in any way disturbed, damaged, or injured by the construction, installation, operation, maintenance or removal of the Telecommunication Facilities to a reasonably equivalent (or, at Permittee's option, better) condition as that which existed prior to the disturbance. In the event that Permittee, its contractors or subcontractors fail to make such repair within a reasonable time, Municipality may make the repair and Permittee shall pay the costs Municipality incurred for such repair. 4.4 Marking. Permittee shall mark the Telecommunication Facilities as follows: Aerial portions of the Telecommunication Facilities shall be marked with a marker on Permittee's lines on alternate poles which shall state Permittee's name and provide a toll-free number to call for assistance. Direct buried underground portions of the Telecommunication Facilities shall have (I) a conducting wire placed in the ground at least several inches above Permittee's cable (if such cable is nonconductive); (2) at least several inches above that, a continuous colored tape with a statement to the effect that there is buried cable beneath; and (3) stakes or other appropriate above ground markers with Permittee's name and a toll-free number indicating that there is buried telephone cable below. Bored underground portions of the Telecommunication Facilities shall have a conducting wire at the same depth as the cable and shall not be required to provide the continuous colored tape. Portions of the Telecommunication Facilities located in conduit, including conduit of others used by Permittee, shall be marked at its entrance into and exit from each manhole and handhole with Permittee's name and a toll-free telephone number. 4.5 Tree Trimming. Permittee may trim trees npon and overhanging the Public -4- Right-of-Way so as to prevent the branches of such trees from coming into contact with the Telecommunication Facilities, consistent with any standards adopted by Municipality. Permittee shall dispose of all trimmed materials. Permittee shall minimize the trimming of trees to that essential to maintain the integrity of the Telecommunication Facilities. Except in emergencies, all trimming of trees in the Public Right-of-Way shall have the advance approval of Manager. 4.6 Installation and Maintenance. The conshuction and installation of the Telecommunication Facilities shall be performed pursuant to plans approved by Municipality. The open cut of any Public Right-of-Way shall be coordinated with the Manager or his designee. Permittee shall install and maintain the Telecommunication Facilities in a reasonably safe condition. If the existing poles in the Public Right-of-Way are overburdened or unavailable for Permittee's use, or the facilities of all users of the poles are required to go underground then Permittee shall, at its expense, place such portion of its Telecommunication Facilities underground, unless Municipality approves an alternate location. Permittee may perform maintenance on the Telecommunication Facilities without prior approval of Municipality, provided that Permittee shall obtain any and all permits required by Municipality in the event that any maintenance will disturb or block vehicular traffic or are otherwise required by Municipality. 4. 7 Pavement Cut Coordination. Permittee shall coordinate its construction and all other work in the Public Right-of-Way with Municipality's program for street construction and rebuilding (collectively "Street Construction") and its progran1 for street repaving and resurfacing (except seal coating and patching) (collectively, "Street Resurfacing"). 4.7.1 The goals of such coordination shall be to encourage Permittee to conduct all work in the Public Right-of-Way in conjunction with or immediately prior to any Sti·eet Construction or Street Resurfacing planned by Municipality. 4.8 Compliance with Laws. Permittee shall comply with all laws, statutes, ordinances, rules and regulations regarding the construction, installation, and maintenance of its Telecommunication Facilities, whether federal, state or local, now in force or which hereafter may be promulgated. Before any installation is commenced, Permittee shall secure all necessary permits, licenses and approvals from Municipality or other governmental entity as may be required by law, including, without limitation, all utility line permits and highway permits. Permittee shall comply in all respects with applicable codes and industry standards, including but not limited to the National Electrical Safety Code (latest edition adopted by Michigan Public Service Commission) and the National Electric Code (latest edition). Permittee shall comply with all zoning and land use ordinances and historic preservation ordinances as may exist or may hereafter be -5- amended. 4.9 Street Vacation. If Municipality vacates or consents to the vacation of Public Right-of-Way within its jurisdiction, and such vacation necessitates the removal and relocation of Permittee's Facilities in the vacated Public Right-of-Way, Permittee shall, as a condition of this Permit, consent to the vacation and remove its Facilities at its sole cost and expense when ordered to do so by Municipality or a court of competent jurisdiction. Permittee shall relocate its Facilities to such alternate route as Municipality, applying reasonable engineering standards, shall specify. 4 .I 0 Relocation. If Municipality requests Permittee to relocate, protect, support, disconnect, or remove its Facilities because of street or utility work, or other public projects, Permittee shall relocate, protect, support, disconnect, or remove its Facilities, at its sole cost and expense, including where necessary to such alternate route as Municipality, applying reasonable engineering standards, shall specify. The work shall be completed within a reasonable time period. 4.11 Public Emergency. Municipality shall have the right to sever, disrupt, dig-up or otherwise destroy Facilities of Permittee if such action is necessary because of a public emergency. If reasonable to do so under the circumstances, Municipality will attempt to provide notice to Permittee. Public emergency shall be any condition which poses an immediate threat to life, health, or property caused by any natural or man-made disaster, including, but not limited to, storms, floods, fire, accidents, explosions, water main breaks, hazardous material spills, etc. Permittee shall be responsible for repair at its sole cost and expense of any of its Facilities damaged pursuant to any such action taken by Municipality. 4.12 Miss Dig. If eligible to join, Permittee shall subscribe to and be a member of "MISS DIG," the association of utilities formed pursuant to Act 53 of the Public Acts of 1974, as amended, MCL § 460.701 et seq., and shall conduct its business in conformance with the statutory provisions and regulations promulgated thereunder. 4.13 Underground Relocation. If Permittee has its Facilities on poles of Consumers Energy, Detroit Edison or another electric or telecommunications provider and Consumers Energy, Detroit Edison or such other electric or telecommunications provider relocates its system underground, then Permittee shall relocate its Facilities underground in the same location at Permittee's sole cost and expense. 4.14 Identification. All personnel of Permittee and its contractors or subcontractors who have as part of their normal duties contact with the general public shall wear on their clothing a clearly visible identification card bearing Permittee's name, their name and photograph. Permittee shall account for all identification cards at all times. Every service vehicle of Permittee and its contractors or subcontractors -6- shall be clearly identified as such to the public, such as by a magnetic sign with Permittee's name and telephone number. 5 Indemnification 5.1 Indemnity. Permittee shall defend, indemnify, protect, and hold harmless Municipality, its officers, agents, employees, elected and appointed officials, departments, boards, and commissions from any and all claims, losses, liabilities, causes of action, demands, judgments, decrees, proceedings, and expenses of any nature (collectively "claim" for this Part 5) (including, without limitation, attorneys' fees) arising out of or resulting from the acts or omissions of Permittee, its officers, agents, employees, contractors, successors, or assigns, but only to the extent such acts or omissions are related to the Permittee's use of or installation of facilities in the Public Right-of-Way and only to the extent of the fault or responsibility of Permittee, its officers, agents, employees, contractors, successors and assigns. 5.2 Notice, Cooperation. Municipality will notify Permittee promptly in writing of any such claim and the method and means· proposed by Municipality for defending or satisfying such claim. Municipality will cooperate with Permittee in every reasonable way to facilitate the defense of any such claim. Municipality will consult with Permittee respecting the defense and satisfaction of such claim, including the selection and direction of!egal counsel. 5.3 Settlement. Municipality will not settle any claim subject to indemnification under this Part 5 without the advance written consent of Permittee, which consent shall not be unreasonably withheld. Permittee shall have the right to defend or settle, at its own expense, any claim against Municipality for which Permittee is responsible hereunder. 6 Insurance 6.1 Coverage Required. Prior to beginning any construction in or installation of the Telecommunication Facilities in the Public Right-of-Way, Permittee shall obtain insurance as set forth below and file certificates evidencing same with Municipality. Such insurance shall be maintained in full force and effect until the end of the Tenn. In the alternative, Permittee may satisfy this requirement through a program of self-insurance, acceptable to Municipality, by providing reasonable evidence of its financial resources to Municipality. Municipality's acceptance of such self-insurance shall not be unreasonably withheld. 6.1.1 Commercial general liability insurance, including Completed Operations Liability, Independent Contractors Liability, Contractual Liability coverage, railroad protective coverage and coverage for property damage from perils of explosion, collapse or damage to underground utilities, -7- commonly known as XCU coverage, in an amount not less than Five Million Dollars ($5,000,000). 6.1.2 Liability insurance for sudden and accidental environmental contamination with minimum limits of Five Hundred Thousand Dollars ($500,000) and providing coverage for claims discovered within three (3) years after the term of the policy. 6.1.3 Automobile liability insurance in an amount not less than One Million Dollars ($1,000,000). 6.1.4 Workers' compensation and employer's liability insurance with statutory limits, and any applicable Federal insurance of a similar nature. 6.1.5 The coverage amounts set forth above may be met by a combination of underlying (primary) and umbrella policies so long as in combination the limits equal or exceed those stated. If more than one insurance policy is purchased to provide the coverage amounts set forth above, then all policies providing coverage limits excess to the primary policy shall provide drop down coverage to the first dollar of coverage and other contractual obligations of the primary policy, should the primary policy carrier not be able to perform any of its contractual obligations or not be collectible for any of its coverages for any reason during the Term, or (when longer) for as long as coverage could have been available pursuant to the terms and conditions of the primary policy. 6.2 Additional Insured. Municipality shall be named as an additional insured on all policies (other than worker's compensation and employer's liability). All insurance policies shall provide that they shall not be canceled, modified or not renewed unless the insurance carrier provides thirty (30) days prior written notice to Municipality. Permittee shall annually provide Municipality with a certificate of insurance evidencing such coverage. All insurance policies (other than environmental contamination, workers' compensation and employer's liability insurance) shall be written on an occurrence basis and not on a claims made basis. 6.3 Qualified Insurers. All insurance shall be issued by insurance carriers licensed to do business by the State of Michigan or by surplus line carriers on the Michigan Insurance Commission approved list of companies qualified to do business in Michigan. All insurance and surplus line carriers shall be rated A+ or better by A.M. Best Company. 6.4 Deductibles. If the insurance policies required by this Part 6 are written with retainages or deductibles in excess of$50,000, they shall be approved by Manager in advance in writing. Permittee shall indemnify and save harmless Municipality from and against the payment of any deductible and from the payment of any -8- premium on any insurance policy required to be furnished hereunder. 6.5 Contractors. Permittee's contractors and subcontractors working in the Public Right-of-Way shall carry in full force and effect commercial general liability, environmental contamination liability, automobile liability and workers' compensation and employer liability insurance which complies with all terms of this Pmt 6. In the alternative, Permittee, at its expense, may provide such coverages for any or all its contractors or subcontractors (such as by adding them to Permittee's policies). 6.6 Insurance Primary. Permittee's insurance coverage shall be primary insurance with respect to Municipality, its officers, agents, employees, elected and appointed officials, departments, boards, and commissions (collectively "them"). Any insurance or self-insurance maintained by any of them shall be in excess of Permittee's insurance and shall not contribute to it (where "insurance or self- insurance maintained by any of them" includes any contract or agreement providing any type of indemnification or defense obligation provided to, or for the benefit of them, from any source, and includes any self-insurance program or policy, or self-insured retention or deductible by, for or on behalf of them). 7 Term 7.1 Term. The term ("Term") of this Permit shall be until the earlier of: 7.1.1 Five years from the Date oflssuance; or 7.1.2 When the Telecommunication Facilities has not been used to provide telecommunications services for a period of one hundred and eighty (180) . days by Permittee or a successor or an assignee of Permittee; or 7.1.3 When Permittee, at its election and with or without cause, delivers written notice of termination to Municipality at least one-hundred and eighty (180) days prior to the date of such termination; or 7.1.4 Upon either Permittee or Municipality giving written notice to the other of the occurrence or existence of a default by the other party under Sections 4.8, 6, 8 or 9 of this Permit and such defaulting party failing to cure, or commence good faith efforts to cure, such default within sixty ( 60) days (or such shorter period of time provided elsewhere in this Permit) after delivery of such notice; or 7.1.5 Unless Manager grants a written extension, one year from the Date of Issuance if prior thereto Permittee has not started the construction and installation of the Telecommunication Facilities within the Public Right- of-Way and two years from the Date ofissuance if by such time -9- construction and installation of the Telecommunication Facilities is not complete. 8 Performance Bond or Letter of Credit 8.1 Municipal Requirement. Municipality may require Permittee to post a bond (or letter of credit) as provided in Section 15(3) of the METRO Act, as amended [MCL § 484.3115(3)]. 9 Fees 9.1 Establishment; Reservation. The METRO Act shall control the establishment of right-of-way fees. The parties reserve their respective rights regarding the nature and amount of any fees which may be charged by Municipality in connection with the Public Right-of-Way. 10 Removal 10.1 Removal; Underground. As soon as practicable after the Term, Permittee or its successors and assigns shall remove any underground cable or other portions of the Telecommunication Facilities from the Public Right-of-Way which has been installed in such a manner that it can be removed without trenching or other opening of the Public Right-of-Way. Permittee shall not remove any underground cable or other portions of the Telecommunication Facilities which requires trenching or other opening of the Public Right-of-Way except with the prior written approval of Manager. All removals shall be at Permittee's sole cost and expense. 10.1.1 For purposes of this Part 10, "cable" means any wire, coaxial cable, fiber optic cable, feed wire or pull wire. 10.2 Removal; Above Ground. As soon as practicable after the Term, Permittee, or its successor or assigns at its sole cost and expense, shall, unless waived in writing by Manager, remove from the Public Right-of-Way all above ground elements of its Telecommunication Facilities, including but not limited to poles, pedestal mounted terminal boxes, and lines attached to or suspended from poles. 10.3 Schedule. The schedule and timing of removal shall be subject to approval by Manager. Unless extended by Manager, removal shall be completed not later than twelve (12) months following the Term. Portions of the Telecommunication Facilities in the Public Right-of-Way which are not removed within such time period shall be deemed abandoned and, at the option of Municipality exercised by written notice to Permittee as set forth in Part 12, title to the portions described in such notice shall vest in Municipality. -10- II Assigmnent.. Permittee may assign or transfer its rights under this Pennit, or the persons or entities controlling Permittee may change, in whole or in part, voluntarily, involuntarily, or by operation oflaw, including by merger or consolidation, change in the ownership or control ofPennittee's business, or by other means, subject to the following: II.! No such transfer or assigmnent or change in the control of Permittee shall be effective under this Permit, without Municipality's prior approval (not to be unreasonably withheld), during the time period from the Date of Issuance until the completion of the construction of the Telecommunication Facilities in those portions of the Public Right-of-Way identified on Exhibit A. 11.2 After the completion of such construction, Permittee must provide notice to Municipality of such transfer, assigmnent or change in control no later than thirty (30) days after such occurrence; provided, however, 11.2.1 Any transferee or assignee of this Permit shall be qualified to perform under its tenus and conditions and comply with applicable law; shall be subject to the obligations of this Permit, including responsibility for any defaults which occurred prior to the transfer or assigmnent; shall supply Municipality with the information required under Section 3.I; and shall comply with any updated insurance and performance bond requirements under Sections 6 and 8 respectively, which Municipality reasonably deems necessary, and 11.2.2 In the event of a change in control, it shall not be to an entity lacking the qualifications to assure Petmittee's ability to perfonn under the terms and conditions of this Permit and comply with applicable law; and Permittee shall comply with any updated insurance and performance bond requirements under Sections 6 and 8 respectively, which Municipality reasonably deems necessary. 11.3 Pennittee may grant a security interest in this Permit, its rights thereunder or the Telecommunication Facilities at any time without notifying Municipality. 12 Notices 12.1 Notices. All notices under this Permit shall be given as follows: 12.1.1 If to Municipality: CITY OF MUSKEGON, P.O. Box 536, Muskegon, Ml 49443-0536. 12.1.2 If to Permittee: Arialink Telecom, L.L.C.'s Manager at the address included in Permittee's contact information maintained with the Municipality and included in Arialink Telecom, L.L.C.'s contact list -11- filed with the Municipality. 12.2 Change of Address. Permittee and Municipality may change its address or personnel for the receipt of notices at any time by giving notice thereof to the other as set forth above. 13 Other items 13.1 No Cable, OVS. This Permit does not authorize Permittee to provide commercial cable type services to the public, such as "cable service" or the services of an "open video system operator" (as such terms are defined in the Federal Communications Act of 1934 and implementing regulations, currently 47 U.S.C. §§ 522 (6), 573 and 47 CFR § 76.1500). 13.2 Effectiveness. This Permit shall become effective when Permittee has provided any insurance certificates and bonds required in Parts 6 and 8, and signed the aclmowledgement of receipt, below. 13.3 Authority. This Permit satisfies the requirement for a permit under Section 5 of the METRO Act [MCL 484.31 05]. 13.4 Interpretation and Severability. The provisions of this Permit shall be liberally construed to protect and preserve the peace, health, safety and welfare of the public, and should any provision or section of this Permit be held unconstitutional, invalid, overbroad or otherwise unenforceable, such determination/holding shall not be construed as affecting the validity of any of the remaining conditions of tl1is Permit. If any provision in this Permit is found to be partially overbroad, unenforceable, or invalid, Permittee and Municipality may nevertheless enforce such provision to the extent permitted under applicable law. 13.5 Governing Law. This Permit shall be governed by the laws of the State of Michigan. Atteste~: L . By~.L ~ Its: City Clerk Date: '+-'-\--Db -12- Acknowledgement of Receipt: Pennittee acknowledges receipt of this Permit granted by Municipality. Arialink Telecom, L.L.C. -13- DATE: March 21, 2006 TO: Honorable Mayor and Commissioners FROM: Mark Kincaid, Deputy Director of Public Safety RE: Concurrence with the Housing Board of Appeals Notice and Order to Demolish. Dangerous Building Case#: EN-050115 SUMMARY OF REQUEST: This is to request that the City Commission Concur with the findings of the Housing Board of Appeals that the structure located at 530 Catherine- AREA 11 is unsafe, substandard, a public nuisance and that it be demolished within thirty (30) days. It is further requested that administration be directed to obtain bids for the demolition of the structure and that the Mayor and City Clerk be authorized and directed to execute a contract for demolition with the lowest responsible bidder. Case# & Project Address: # EN-050115- 530 Catherine Location and ownership: This structure is located on Catherine between Chestnut and Maple and is owned by Emma/James Harden, 1541 Leahy St., Muskegon, Ml 49442. Staff Correspondence: A dangerous building inspection was conducted on 10/10/05. An interior fire inspection was conducted 06/23/05. The Notice and Order to Repair was issued on 10/14/05. On 01/05/06 the HBA declared the structure substandard and dangerous. Owner Contact: There have been no permits issued, and no owner contact since fire. Financial Impact: CDBG Funds Budget action required: None State Equalized value: $17,100 Estimated cost to repair: $50,000 Staff Recommendation: To concur with the Housing Board of Appeals decision to demolish. City Commission Recommendation: The commission will consider this item at it's meeting Tuesday, March 28, 2006. C:\Documents and Settings\Potter\Local Settings'U'emporary Internet Files\OLKlA\AGENDA 530 Catherine.doc M page 1 of 1 CITY OF MUSKEGON 933 Terrace, P.O. Box 536, Muskegon, Ml49443 (231) 724-6715 DANGEROUS BUILDING INSPECTION REPORT Monday, October 10, 2005 Enforcement# EN050115 Property Address 530 CATHERINE AVE Parcel #24-205-077-0013-10 Owner WILLIS EMMNHARDEN JAMES Inspector: Henry Faltinowski Date completed: 10/10/2005 DEFICENCIES: Uncorrected 1. Home has been 75% damaged by fire. 2. Remove all fire damaged material and temporary add structural supports to evaluate the extent of damage. 3. Call for inspection of home and submit plan of repair after inspections has written a complete report of damage. Request interior inspection by all trades, electrical, mechanical and plumbing. Please contact Inspection Services with any questions or to schedule an inspection at 933 Terrace St., Muskegon, Ml49440 (231) 724 6758. Based upon my recent inspection of the above property I determined that the structure meets the definition of a Dangerous Building and/or Substandard Building as set forth in Section 10-61 of the Muskegon City Code. Henry Faltinowski, Building Inspector Date s-3 0 _,/~~4-,---\'\ltc.\ l Nz_ f-1 lC ~ . 0;4vVl/J-?\ I~ dl ;d~ OA-Jli'"I'OJ.J nu.&:Q·,_s. [ ~ DATE: March 21, 2006 TO: Honorable Mayor and Commissioners FROM: Mark Kincaid, Deputy Director of Public Safety RE: Concurrence with the Housing Board of Appeals Notice and Order to Demolish. Dangerous Building Case#: EN-050116 SUMMARY OF REQUEST: This is to request that the City Commission Concur with the findings of the Housing Board of Appeals that the structure located at 1435 Park -Area 10 is unsafe, substandard, a public nuisance and that it be demolished within thirty (30) days. It is further requested that administration be directed to obtain bids for the demolition of the structure and that the Mayor and City Clerk be authorized and directed to execute a contract for demolition with the lowest responsible bidder. Case# & Project Address: # EN-0501 03 - 1435 Park St Location and ownership: This structure is located on Park between Grand and Washington and is owned by Federal National Mortgage, 1 S Wacker Dr, Chicago, IL 60606. Staff Correspondence: A dangerous building inspection was conducted on 10/31/05. The Notice and Order to Repair was issued on 11/02/05. On 01/05/06 the HBA declared the structure dangerous, substandard and a public nuisance. Owner Contact: No one was present to represent case at HBA meeting. A letter was received from Attorney Thomas H. Andrews stating a Mr. Ron Vogel and Mark Selley were working on the property and that a interested party requested to purchase on land contract and wanted to moved in right away, problems arose where vandalism of property occurred. A call was received by the Inspection Department from Mr. Vogel stating he was washing his hands of the property. No permits were issued and no owner contact since that time. Financial Impact: CDBG Funds Budget action required: None State Equalized value: $22,900 Estimated cost to repair: $20,000 Staff Recommendation: To concur with the Housing Board of Appeals decision to demolish. City Commission Recommendation: The commission will consider this item at it's meeting Tuesday, March 28, 2006. C:\Documents and Settings\Potter\Local Scttings'lfemporary Internet Files\OLKIA\AGENDA 1435 Park.doc M page I of I CITY OF MUSKEGON DANGEROUS BUILDING INSPECTION REPORT Wednesday, November 2, 2005 Enforcement# EN050116 Property Address 1435 PARK ST Parcel #24-205-408-0001-00 Owner VOGEL GLEN E Inspector: Henry Faltinowski Date completed: 11/01/2005 DEFICENCIES: Uncorrected 1. Replace floor joists rotted and cut in basement. Frame all floor openings to code. 2. Replace-repair all wall,floor, ceiling damage. 3. Replace broken out windows. 4. Remove rotted shed or rebuild to code. 5. Provide information on deck- built without permit. 6. All handrails and guardrails to code. Uncorrected 1. Rewire house to 2003 MRC. 2. Install smoke alarms to 2003 MRC. 3. Replace electric service to 2003 MRC. Uncorrected 1. New Plumbing w/o permits. 2. Leaky sewer in basement at clean out. 3. Need to have a union on gas supply at furnace . 4. Dryer vent plugged up. 5. Ductwork Dirty. 6. Toilets to be caulked. 7. Vent fans in bathrooms. 8. Shower valves to be posi temp. Please contact Inspection Services with any questions or to schedule an inspection at 933 Terrace St., Muskegon, Ml49440 (231) 724 6758. ' " Based upon my recent inspection of the above property I determined that the structure meets the definition of a Dangerous Building and/or Substandard Building as set forth in Section 10-61 of the Muskegon City Code. Henry Faltinowski, Building Inspector Date DATE: March 21, 2006 TO: Honorable Mayor and Commissioners FROM: Mark Kincaid, Director of Public Safety RE: Concurrence with the Housing Board of Appeals Notice and Order to Demolish. Dangerous Building Case#: EN-03-74 SUMMARY OF REQUEST: This is to request that the City Commission Concur with the findings of the Housing Board of Appeals that the structure located at 1357 Terrace -Garage- Area 11 is unsafe, substandard, a public nuisance and that it be demolished within thirty (30) days. It is further requested that administration be directed to obtain bids for the demolition of the structure and that the Mayor and City Clerk be authorized and directed to execute a contract for demolition with the lowest responsible bidder. Case# & Project Address: # EN-03-74- 1357 Terrace -Garage Location and ownership: This structure is located on Terrace between Catawba and Mclaughlin and is owned by GeorgeS. Komar II, 1357 Terrace St., Muskegon, Ml 49442. Staff Correspondence: A dangerous building inspection was conducted on 08/04/03. The Notice and Order to Repair was issued on 08/07/03. On 10/02/03 the HBA tabled case for 60 days to allow owner time to obtain permits and complete repairs. A permit was issued 10/10/03 and expired 11/30/03. A letter was sent 10/18/05 requesting a final inspection be scheduled. There was a fire inspection report conducted on the house on 11/08/05. The case came before HBA 01/05/06 and was declared dangerous, substandard and a public nuisance. Owner Contact: The owner was Rene Crosby, 1357 Terrace at the time of the HBA meeting dated 10/02/03. Mr. and Mrs. Crosby were present to represent this case. Mr. Crosby asked what made his garage "dangerous". He stated he had already begun repairs when he received the first notice and he is constantly bombarded with city notices. He has put a lot of money in to the interior and has painting the exterior of the garage left to do. Mr. Grabinski stated they have no problem with the house, the house looks very nice. This structure is in the area being addressed at this time for fight blight and that's why his garage was noticed. He also stated that in the conversation he had on 8/19/03 Mr. Crosby said he would be in to apply for the permit to repair the garage and be completed by 11/15/03 and that hasn't happened. As far as constituting it a dangerous building, there are 14 items in the ordinance that would apply to constitute this garage being a dangerous building. Mr. Crosby stated he thought as long as he had the garage painted by 11/15/03 it was acceptable, he wasn't aware that he had to pull the permit by a certain date. Mr. Grabinski apologized for the misunderstanding about the permit date. The property was in foreclosure 09/22/03 and went back to Option One Mortgate/Wells Fargo Bank and then was purchased by George Komar 10/01/2004. A letter was sent 10/18/06 C:\Documents and Settings\Potter\Local Settings'U'emporary Internet Files\OLKIA\AGENDA- 1357 Terrace- Garage.docpage 1 of 2 requesting a final inspection be scheduled. Mr. Komar scheduled an inspection in October 2006 but it was found that no progress was made, repairs incomplete. Financial Impact: CDBG Budget action required: None State Equalized value: $30,000 (Entire property) Estimated cost to repair: $4,000 (Garage Only) Staff Recommendation: To concur with the Housing Board of Appeals decision to demolish. City Commission Recommendation: The commission will consider this item at it's meeting Tuesday, March 28, 2006. C:\Documents and Settings\Potter\Local Settingstremporary Internet Files\OLKIA\AGENDA- 1357 Terrace- Garage.docpage 2 of 2 CITY OF MUSKEGON DANGEROUS BUILDING INSPECTION REPORT 1357 Terrace- Garage 8/4/03 Inspection noted: 1. Roof covering on garage is deteriorated and needs to be replaced. 2. Replace all rotted sheathing. 3. Replace any damaged rafters. 4. All work requires constmction permits. These permits must be obtained prior to work beginning. Please contact Inspection Services with any questions at 231-724-6715. BASED UPON MY RECENT INSPECTION OF THE ABOVE PROPERTY, I HAVE DETERMINED THAT THE STRUCTURE MEETS THE DEFINITION OF A DANGEROUS AND/OR SUBSTANDARD BUILDING AS SET FORTH IN SECTION 4-23 OF THE MUSKEGON CITY CODE. HENRY FALTINOWSKI, BUILDING INSPECTOR DATE C:\Documents and Settings\Potter\Local Settings\Temporary Internet Files\OLKIA\1357 Terrace.doc I L / ~S 7 /.PJz~ {_G<1/Lecr ) --- -- 0 [MERSi MUNICIPAL EMPLOYEES' RETIREMENT SYSTEM OF MICHIGAN RESOLUTION FOR DEFINING A DAY OF WORK OR HOURS PER MONTH FORMERS RETIREMENT PURPOSES Note: To adopt the part-time to full-time employee service credit program under Plan Document Section 4(6), the governing body must adopt the Unilorm Resolution Dcllning Hours Per Month For Part-Time Employees nnd SL'JYiCt.' Credit Conversion UJ2911 Promotion to Full-Time Status. In accordance with Section 3(1) of the MERS Plan Document, as the _ _ _ _ _ _ _ _ __ City Commission City of Muskegon (Governing Body) (Municipality) does hereby certify that a day of work, or the number of hours of work in a month, for -~P""o"'1~i,_c'::-"e:-:-'-P-'a,_t=:-rc---=o-"17--'U"'n=i.,o":n'--CE"Cm=p_,1"o"'y'-'e"-"'e"'s---:'&'--c:-C"""o""m=m~a~n~d=._ _ for retirement purposes, shall (Indicate all employees or division name and number) consist of one of the following to be effective as of -----'J"--"u-;1;!-:---:lc----- 2006 (Date) (Please complete either A or B) A. _ _ _ _ A day shall consist of hours. (Ten ( l 0) days a month of such work days equals one month of credited service.) B. --'X"'--- A month shall consist of_-=175-'0'--- hours. (Each month of such work hours equals one month of credited service.) I hereby certify that the above is a true copy of a Resolution adopted at the meeting of the governing body held on _ __:_M.:..:ac.:r:_c:_hc::_.:::2-=8_ _---:c;::-c--;-----· 2006 Mayor (Title) RETURN TO: Municipal Employees' Retirement System of Michigan 1134 Municipal Way Lansing, MI 48917 Resol-Day of Work-09/30/03 ~} IMERS. MUNICIPAL EMPLOYEES' RETIREMENT SYSTEM OF MICHIGAN RESOLUTION FOR ADOPTING MUNICIPAL EMPLOYEES' RETIREMENT SYSTEM OF MICHIGAN DEFINED BENEFIT PROGRAMS The City Commission ofthe City of Muskegon (Governing body) (Participating entity) whose fiscal year is (month and day) January 1 to Dec. 31 , desires to make available to its eligible employees (as defined below) benefits provided by the Municipal Employees' Retirement System of Michigan (MERS), as authorized by 1996 PA 220. Benefits available are those provided under the Plan Document of I 996. IT IS RESOLVED that pursuant to the Initial Actuarial Valuation dated ---:---:-:--:--:--' -:-:-----:--' by MERS' actuary, MERS benefits stated in Section I below are to be provided to the following employee division (e.g., general, police and fire, DPW, union, non-union): Police Patrol (Separate resolutions are required for each division) Please note: If no Initial Valuation has been done by MERS' actuary on the specific benefit program (or combination of programs) selected below; or the Initial Valuation is more than one (1) year old at the time MERS' coverage becomes effective as provided under Section 4 of this Resolution; then, per Retirement Board requirements, this resolution will not be implemented until a current actuarial valuation is done by MERS' actuary and necessary supporting contribution rates certified. I. Benefit programs/formulae (e.g., B-2 I F55 IV -8 IF AC 3 I E-2) selected are: 2.75% 75% MAX; F51(25); F55(10); F~C3· RS 50%· D 2 (If other than standard MERS' retirement benefits, supporting collective bargaining agreement to accompany this Resolution) 2. The required employee contribution is 6 •0 %. (May be any percentage in hundredths of a percent, not to exceed ten [I OJ percent, unless higher rate is established by collective bargaining agreement accompanying this Resolution.) 3. I Prior service credit with this municipality/court rendered previously by each covered employee in the division is subject to and shall be credited as provided under Section 2C(3) of the MERS Plan Document and MERS Initial Actuarial Valuation and Supplemental Valuation Procedure (as approved by the Retirement Board on September 28, 1999), whose respective terms are incorporated by reference. Choose only one: A. _x_ All prior service from date of hire. B. _Portion of prior service (actual service up to _ _ _ years); or _ _%. C. _Prior service proportional to assets transferred. D. _No prior service (if D selected, go to Section 4 ). Resol Adopting MERS-09/28/99 Page I of2 3.2 The Initial Valuation discloses the actuarial reduction in the employer's future contribution rate that will occur where assets of a preceding qualified plan (whether defined benefit or defined contribution plan) and/or other source are transferred to MERS. 3.3 In all asset transfers, the employer shall furnish MERS with all necessary and specific information required by MERS on the allocation of employer and employee contributions and investment earnings, along with taxable and nontaxable status on the employee contribution portion. 4. The effective date of this Resolution for making deductions for the employee contributions specified above, and for the payment of necessary employer contributions to MERS, as required in the Plan Document, shall be the same date that MERS' coverage begins, which is u 1 , 200 6 5. For municipalities, Plan Section 41 requires adoption by affirmative vote of a majority of the governing body; for courts, see Plan Section 41A. A complete copy of the fully executed collective bargaining agreement (if applicable), and certified copy of the complete official minutes or other official authorizing action for the open meeting at which this resolution was adopted must be forwarded to MERS with this resolution. day of __M_a_r_c_h_ _ _ _ _ _ _ _ , 2006 Title: Mayor -~~~~--------- Resol Adopting MERS-09/28/99 Page 2 of2 6 LMERS I MUNICIPAL EMPLOYEES' RETIREMENT SYSTEM OF MICHIGAN RESOLUTION FOR ADOPTING MUNICIPAL EMPLOYEES' RETIREMENT SYSTEM OF MICHIGAN DEFINED BENEFIT PROGRAMS The City Commission ofthe City of Muskegon (Governing body) (Participating entity) whose fiscal year is (month and day) January 1 ·-to Dec. 31 , desires to make available to its eligible employees (as defined below) benefits provided by the Municipal Employees' Retirement System of Michigan (MERS), as authorized by 1996 P A 220. Benefits available are those provided under the Plan Document of 1996. IT IS RESOLVED that pursuant to the Initial Actuarial Valuation dated ---,-----;-:---:---:--' , by MERS' actuary, MERS benefits stated in Section I below are to be provided to the following employee division (e.g., general, police and fire, DPW, union, non-union): Police Command Officers (Separate resolutions are required for each division) Please note: If no Initial Valuation has been done by MERS' actuary on the specific benefit program (or combination of programs) selected below; or the Initial Valuation is more than one (I) year old at the time MERS' coverage becomes effective as provided under Section 4 of this Resolution; then, per Retirement Board requirements, this resolution will not be implemented until a current actuarial valuation is done by MERS' actuary and necessary supporting contribution rates certified. I. Benefit programs/formulae (e.g., B-2 I F55 IV -8 I FAC 3 I E-2) selected are: 2.75% (80'~ MAX); F53(25); F55(10); FAC3· D-2; RS 50'~ (If other than standard MERS' re*ement benefits, supporting collective bargaining agreement to accompany this Resolution) 2. The required employee contribution is 6. 0 %. (May be any percentage in hundredths of a percent, not to exceed ten [I 0] percent, unless higher rate ts established by collective bargaining agreement accompanying this Resolution.) 3.1 Prior service credit with this municipality/court rendered previously by each covered employee in the division is subject to and shall be credited as provided under Section 2C(3) of the MERS Plan Document and MERS Initial Actuarial Valuation and Supplemental Valuation Procedure (as approved by the Retirement Board on September 28, 1999), whose respective terms are incorporated by reference. Choose only one: A. __!_ All prior service from date of hire. B. _Portion of prior service (actual service up to -:-_ _ years); or _ _%. C. _Prior service proportional to assets transferred. D. _No prior service (ifD selected, go to Section 4). Resol Adopting MERS-09/28199 Page I of2 3.2 The Initial Valuation discloses the actuarial reduction in the employer's future contribution rate that will occur where assets of a preceding qualified plan (whether defined benefit or defined contribution plan) and/or other source are transferred to MERS. 3.3 In all asset transfers, the employer shall furnish MERS with all necessary and specific information required by MERS on the allocation of employer and employee contributions and investment earnings, along with taxable and nontaxable status on the employee contribution portion. 4. The effective date of this Resolution for making deductions for the employee contributions specified above, and for the payment of necessary employer contributions to MERS, as required in the Plan Document, shall be the same date that MERS' coverage begins, which is Jul 1 , 2006 5. For municipalities, Plan Section 41 requires adoption by affirmative vote of a majority of the governing body; for courts, see Plan Section 41A. A complete copy of the fully executed collective bargaining agreement (if applicable), and certified copy of the complete official minutes or other official authorizing action for the open meeting at which this resolution was adopted must be forwarded to MERS with this resolution. Title: _,_,M_,ac.I.y_,o,_,r~---------- Resol Adopting MERS-09128/99 Page 2 of2 Fiesta! Sabor Latino Festival The Hispanic Community Services coalition came together in May of 2005 to form a Hispanic festival. The purpose of the festival is to educate the community at large about the beautiful culture of the Hispanic/Latina population and to better integrate the gap of communities dealing with language and ethnicity barriers. The cormnittee consists of passionate people who are committed to present such culture to the community in a positive marmer. The festival will also act as a fundraiser for several programs as follows: • Tutorial support for state school districts in the Muskegon Area Intermediate School District. This program is already in place at Muskegon High School overseen by Federico Martinez and volunteers from MCC. • schools in the Muskegon school district for Hispanic/Latina/Migrant students. • Educating the Hispanic/Latina/Migrant population on diabetes. • Educating the Hispanic/Latina/Migrant population on health and social resources available to them within Muskegon county. • We are collaborating with resources from Oceana and Newaygo counties as well as resources within the Muskegon area. • The festiva l will take place at Hackley Park in Muskegon. o In the event of hazardous climate, the Walker Arena has been reserved for said event. • The festival will be on: o Friday, May 5111 , 2006, from 5:00pm to 11:00 pm o Saturday, May 6th, 2006, from 11:00 am to 11:00 pm. • Friday, May 5111 , will be a night dedicated to the celebration of "Cinco de Mayo" marking the Battle of Puebla in Mexico with a dance featuring a Mexican band playing traditional styles. • Saturday, May 6111 ' , will be dedicated to other Hispanic/Latina cultures such as Puerto Rico, Dominican Republic, Cuba and others in South America. • These countries will be presented by an array of food booths specializing in ethnic cuisine, bands playing specific music from such countries, a Mercado (Market Place) selling items representing each country as well as a car and low rider bike show. 1 2 FUNDING The Hispanic Community Services Coalition is a group of community people focusing on the ability to celebrate and serve the Hispanic community of Muskegon County under the umbrella of the Muskegon Community Health Project. The Muskegon Cmmnunity Health Project will serve as a fiduciary to our group and will receive administration fees pending the revenues made off the festival. Funding for this festival will be provided by many in-kind donations, festival grants and solicitation done by the Solicitation Committee. We are in the hopes of raising a total of $25,000.00 towards the festival to cover all costs incurred. FESTIVAL DESCRIPTION, HISTORY & PURPOSE Fiesta! Sabor Latino Festival will be the first to be held in Muskegon County in 2006. All proceeds will be utilized by the Hispanic Community Services Coalition to provide education, work shops, and training to our Hispanic/Latina/Migrant cmmnunity. The Festival will provide an opportunity to share the vividness of the Hispanic/Latina music, art and culinary talents as well as a fundraiser for local programs. FIESTA! SABOR LATINO FESTIVAL MISSION STATEMENT The mission of Fiesta! Sabor Latino Festival is to promote an understanding and awareness of the rich, diverse culture within the Hispanic/Latina community while raising funds to enhance services and programs to benefit the Hispanic/Latina/Migrant community provided by the Hispanic Community Services Coalition of Muskegon. 2 3 FESTIVAL HIGHLIGHTS Friday, May 5111 , 2006 Mexican Dance Beer Tent Saturday, May 6, 2006 Children's Activities Cultural Food Booths El Mercado (cultural market Place) DJplaying all day Car and Low Rider Bike Show Resource Area with screenings Beer Tent Hispanic/Latina Band to end the festival Hispanic Art Display 3 4 HEAD COMMITTEES: Committee Chair Federico Martinez, The Muskegon Clu·onicle - Reporter Committee Co-Chairs: Emilio Trejo Muskegon Police Depmiment- Officer Liz Chala-Hidalgo Muskegon Community Health Project- Community outreach worker Rita Green Grand Haven Public Safety Sonya Hernandez Kent County Friend of the Court- Case manager Ben Garza Ben's Lock and Key- Business Owner 4 5 EVENT COMMITTEES: Children's Activities: Food Booths: Erika Perez Stella Perez Department of Social Security White Lake Comm. Education Administration David C. Runyan Farm Bureau Insurance Entertainment: Rozelinda Patino Publicitv: Department of Social Security Sonya Hernandez Administration Kent County Friend of the Court Dennisse Santiago Matt Rodriguez Muskegon Resident Baker College V eronika Anderson Volunteers: Muskegon Public Schools David Cadena Muskegon Resident Tickets and Sales: Cindy Courson Ben Garza Muskegon Community College Ben's Lock and Key Emilio Trejo Solicitation/Fundraising Muskegon Police Department Sonya Hernandez Community Member Car Show: Veronika Anderson Ben Garza Muskegon Public Schools Ben's Lock and Key Emilio Trejo Beer Tent Muskegon Police Department Ben Garza Ben's Lock and Key Resource Area: Emilio Trejo Liz Clwla-Hidalgo Muskegon Police Department Muskegon Community Health Project Mercado (Market Place) Regina VanLinden-Torres 5 Fiesta! Latin Flavor Festival 2006 Hackley Park, Muskegon, Michigan Friday, May 5, 2006 & Saturday, May 6, 2006 FESTIVAL MISSION STATEMENT The mission of the Fiesta! Sabor Latino Festival 2006 is to promote an understanding ;md aw;;u·eness of the rich diverse cultures within the I-Iisp;;mic community; while raising funds to enhance services ;md progTams to benefit the I-Iisp;;mic community provided by the Hisp anic Commw1ily Services of the Muskegon Comm. H ealth Project. St a r sponsor- $10.000 and a bove Godparent sp onsor- $2,500 and a bove Year round recognition at all events Company logo on festival advertisement Year round advel'tisement of company logo on all Festival exhibitor table flyers Ad in festival program Ad in special event guide publications Name mention on radio Company logo featm·ed on main stage Brotherly Sponsor- $1.000 and above Name mention s on radio Company logo on festival advertisement Name printed on t-shirts Festival exhibit table Magnificent sponsor - $5,000 a nd above Ad in festival program Year round advertisement of company logo on all Name mention on radio flyers Friendship sponsor- $750 and above Location choice of Festival exhibitor space Festival program donor group ad Company logo featm·ed on main stage Festival group donor recognition Name mention on r adio Accompaniment sponsor - $500 or be low Company logo on festival advertisement Tax ID#: 911932918 Community Partner An initiative of the Mus kegon Community Health P1·oject Fiesta! Latin Flavor Festival 2006 Hackley Park, Muskegon, Michigan Friday, May 5, 2006 & Saturday, May 6, 2006 ' ~ • ' • : • •• \. #. •• • • .4• .... - .• ;. • • ,•, •• " ~,. '. • ~.- . .. . SP, . . .. O--·-NS. . O,..,.R . . SUBMISSION . . ~~..... - .. -- - ...FORM ~ -. . . · . ..- ' ' '- Our company/organization would like to sponsor mount: _ ______ _ Star Sponsor $10,000+ _ Magnificent Sponsor $5,000+ Amount: _ _ __ __ Amount: - - - - -- _Godparent Sponsor $2,500+ _Individual Sponsor $25+ Amount: --------- Amount: - - - - - - - _ Brotherly Sponsor $1,000+ - Friendship Sponsor $750+ Amount: _ __ _ _ Amount: _ _ _ __ _ Accompaniment Sponsor $500 or below or OTHER Amount: Tax ID#: 911932918 Name: _ __ _ __ _ __ _ __ _ _ Title : _ _ _ _ __ _ __ _ _ _ Company/Organization: Address: ____________ ____________________________________ City: _ _ __ _ __ _ _ State: ____ _ Zip Code: _ __ _ __ _ _ _ Telephone: _____ __ _ __ ____ __ Fax: ________________ E-Mail: _ _ _ _ _ _ __ _ _ _ _ VVeb: _ _ _ ___ _ _ ___ __ Signature: _ _ __ _____ __ _ _ __ __ Date: __________ Please return signed agreement with your contribution for sponsorship. Payable to: Muskegon Community Health Project/Hispanic Comtnunity Services Coalition Mail to: 565 W. Western Ave., Mushegon, MI 49440 CDmmunlty Partner An initiative of the Muskegon Community Health Pl'oject liispanic Con1n1llni tlJ Services Coalition f·undraiser to Benefit tl~e first An1Tual ThursdalJ, April13, 2006 Sponsored blJ El Can1ino Tacos lJ Cantina 2 - 5 p.n1. office parties 5 -10 p.n1. public welco1ne Tax deductible donations $15 (advanced purchase) $20 (purchased at door) Delicio·us food/:Entertainn1ent Food is complime ntary blJ El Camillo Tacos lJ Cantina Raffle/Door Prizes Casl~ Bar (happ1J hour prices) For more information, please call the Muskegon Community Health Project, Liz Chala at 23 1-728-3201 '--••t ' lNM Muskegon Communit)' He.1lth Pcojetl ... ... .... ... ... . .. ........... ....... .... . ... ... ...... ... .. . . JOAn * U8 *An . ~ cefe~ratin9 our first ~ - l riesta ~a~or Latino (:e~{d Muske9on af . ~P<~e112- ~,.,,~60 t=iACK.tE·Y: ~CJ~ . ~ . 0 •• • •• • 0 • • Sponsored by the Hispanic • ~ • • • • • • • • • • • • • • 0 0 • • • • • 0 • • • • • • • • • • •• • • • . • t>AJtK. ~ Commun ity Services Coalition ~ Corner of Webster & 3rd. Street ~ www.muskcgonticsta.com ~ FRIDAY, MAY 5 s:oo · 10:30 p.m. SATURDAY, MAY & 12:00 · 10:30 p.m. . ~ Tickets: $§.00 per person ~ Children 10 and under FREE .... .. . . .. . ..... ... ... . . . ... . . . . . . . . ... .... ... . . . ............... ACTIVITIES FOR CHILDREN ~ ~ ·~ (/]J /1 fOOD Stan Jasek P.O. Box 486 Muskegon, Michigan 49443 Tel: 231-725-4284 E-mail: StanJasek@excite.com Dear Mayor Warmington, City Manager Mr. Mazade, and City Commissioners: I come before you today to alert you to what I believe is gross misuse of a city owned asset and possibly a series of frauds being perpetrated upon the citizens of Muskegon by the Director of the Michigan Altemative and Renewable Energy Center (MAREC), Imad Mahawili. I humbly ask that this Commission investigate the operations of MAREC. I believe an investigation of this facility, its management and its director are in order. The financial investment made by citizens of Muskegon (about $4 million) and the citizens of the State of Michigan (approximately$ 8million) into MAREC must be protected against such misuse and waste. An outside audit and review is needed. MAREC was a project that was strongly supported by you Mr. Mayor, Mr. Mazade as City Manager and Mr. Tim Paul as City Finance Director. Without your collective efforts and hard work, MAREC would never have come to fruition here in downtown Muskegon. We all are grateful for your efforts on MAREC. You along with others have planted a great "seed" with MAREC in Muskegon, one that should be bearing a great deal of "fruit" for the City and citizens MAREC was developed to position Muskegon as the base for Michigan's only energy focused Smart Zone. Its goal was to assist local businesses and individuals in developing advanced energy technology businesses, products and to create jobs MAREC was to be the research and resource center that inspires the public and especially our young people to see the potential of the science of energy and energy technology. A key objective is to educate students, business people and govemment officials on altemative and renewable energy technologies. MAREC was also to be the business incubator for local companies. A primary mission was to create jobs, investment and manufacturing based upon the new energy technologies being developed. The primary mission was for the commercialization, application, and integration of these technologies into real products for manufacturing here in Muskegon and in the State of Michigan. Page 2 of2. City ofMuskegon/MAREC Investigation To date, MAREC is failing in its mission on all fronts. Based upon information and belief, Imad Mahawili, the director and head of MAREC, is believed to be engaged in the following: 1. Financial impropriety and misuse of public money. There currently exist three businesses at MAREC. It is alleged Mahawili has personnel financial interests in all three businesses and stands to benefit personally. This is a serious conflict of interest and breach of his fiduciary duty. 2. Fraud and deception upon the public. It is alleged that Mahawili is using public money and assets for his own financial gain and to further fund his private business interests at the expense of the citizens of Muskegon. 3. Nepotism. Mahawili using public monies has hired his own family member(s) instead of conducting open and fair employment practices. 4. Breach of the Public Trust. Mahawili is engaged with a Wisconsin lighting company. The center was designed and it's a priority is and should continue to be the development of Michigan based business, primarily local businesses. 5. Mahawili has ordered the existing non-GVSU personnel out of the building by April I, 2006. The building is a publicly financed building supported by the citizens of Muskegon. WHY? 6. Discrimination in employment practice and selection of personnel. As a public institution and University operated research center, Mahawili is engaged in a pattern to exclude certain race and types of individuals from employment and opportunity at the center. 7. Restriction of Competition. As a public facility, Mahawili is actively engaged in blocking, restricting and removing any business or persons or companies who do not follow or support his personnel business agenda. Many people in Muskegon have worked very hard to build this center of excellence and have the Smart Zone located here in Muskegon. An investigation is in order. The people of Muskegon need to be helped and uplifted by MAREC. It was never intended for the Muskegon public to finance Maharini's business interest or personal businesses. I appreciate you and the Commission looking into this matter.
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