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CITY OF MUSKEGON
CITY COMMISSION MEETING
AUGUST 9, 2005
CITY COMMISSION CHAMBERS @ 5:30 P.M.
AGENDA
o CALL TO ORDER:
o PRAYER:
o PLEDGE OF ALLEGIANCE:
o ROLL CALL:
o HONORS AND AWARDS:
A. Declaring October as "Internet Safety Awareness Month."
o INTRODUCTIONS/PRESENTATION:
A. 2005 1•1 Quarter Suggestion Award Winner. CIVIL SERVICE
o CONSENT AGENDA:
A. Approval of Minutes. CITY CLERK
B. Approval of a Neighborhood Enterprise Zone Certificate for 1397 6th
Street. PLANNING & ECONOMIC DEVELOPMENT
C. Approval of a Neighborhood Enterprise Zone Certificate for 1173 4th
Street. PLANNING & ECONOMIC DEVELOPMENT
D. Sale of Buildable Vacant Lot at 363 Merrill Avenue. PLANNING &
ECONOMIC DEVELOPMENT
E. Approval of 2005 - 2006 Subrecipient and Community Housing
Development Organization (CHDO) Agreements. COMMUNITY &
NEIGHBORHOOD SERVICES
F. MML ·Annual Membership Dues (7/1 /05 • 6/30/06). CITY MANAGER
G. Construction of Improvements - Great Lakes Naval Memorial and
Museum. CITY MANAGER
H. Request to Approve Contract for Demolition of 337 W. Grand. PUBLIC
SAFETY
o PUBLIC HEARINGS:
o COMMUNICATIONS:
o CITY MANAGER'S REPORT:
o UNFINISHED BUSINESS:
o NEW BUSINESS:
A. Construction Contract for the Former Mall Area Project. ENGINEERING
B. Michigan Main Street/Community Requirements and Expectations
Agreement. PLANNING & ECONOMIC DEVELOPMENT
C. Amendment to Notice of Intent Resolution. FINANCE
D. Extension of Contract to Market Seaway Industrial Park. PLANNING &
ECONOMIC DEVELOPMENT
E. Directional Signage. PLANNING & ECONOMIC DEVELOPMENT
o ANY OTHER BUSINESS:
o PUBLIC PARTICIPATION:
)- Reminder: Individuals who would like to address the City Commission shall do the foJiowing:
> Fill out a request to speak form aftached to the agenda or located in the back of the room.
> Submit the form fo 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.)
o ADJOURNMENT:
ADA POLICY: THE CITY OF MUSKEGON WILL PROVIDE NECESSARY AUXILIARY AIDS AND SERVICES TO INDIVIDUALS WHO
WANT TO A TIE NO THE MEETING UPON TWENTY FOUR HOUR NOTICE TO THE CITY OF MUSKEGON. PLEASE CONTACT GAlLA
KUNDINGER, CITY CLERK, 933 TERRACE STREET, MUSKEGON, M! 49440 OR BY CALLING (231) 724-6705 OR TOO: (231)
724-4172.
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WHEREAS, The Internet Safety Community Action Team made up of community partners and many local
organizations who care about the safety of our children, request October be designated as
"Internet Safety Awareness Month"; and
WHEREAS, over 49 million children in our country, ranging from 5 to 17 years in age regularly use the
internet, and
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WHEREAS, surveys conducted by i-SAFE America Inc of 55,000 children state that 55% have given out . ~~\
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personal information over the internet, 31% have chatted or used instant messaging with ']j
someone they have not met "face to face" and that 13% are willing to meet with one of these
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people "face to face", and that 8% have been asked to keep their friendship a secret; and
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WHEREAS, other recent studies show that 1 in 5 children under age 17 have been propositioned for sex
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online and 1 in 33 have received an aggressive solicitation to meet their "cyber friend" I
somewhere in person; and /
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WHEREAS, The FBI states that online sexual exploitation of children and child pornography is one of the
most significant crime problems it faces today; and
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~ ~· WHEREAS, the Internet Safety Community Action Team has planned awareness activities on October 6, 2005
to help our citizens seek out strategies and proactive means to protect their children and teens
t -__/ from becoming victims.
NOW THEREFORE, I Stephen J. Warmington, by virtue of the authority vested in me as Mayor and speaking
on behalf of the entire City Commission and all our citizens recognize the escalating problem of
online predators, and hereby proclaim October to be "Internet Safety Awareness Month" and
encourage all who utilize the internet, especially those in the care of children to locate the family
computer in an area that is easily observed, educate their children of the dangers of the internet
and that any suspicious or dangerous online contact be reported to Jaw enforcement authorities
immediately.
-.. ··.!_.
CITY COMMISSION MEETING
August 9, 2005
TO: Honorable Mayor and City Commissioners
FROM: Karen Scholle, Civil Service Personnel Director
DATE: July 27, 2005
RE: 2005 1st Quarter Suggestion Award Winner
SUMMARY OF REQUEST:
The Employee Suggestion Award Committee requests that the 2005 1st quarter award
go to Cemetery & Forestry Supervisor Larry DeCou for his proposal to enter into a
contract with Wilbert Burial Vault Company to perform the funeral service portion of
burials at the city-owned cemeteries.
FINANCIAL IMPACT:
Estimated annual savings of $50,000 due elimination of one Cemetery employee,
plus the deletion of $10,000 equipment expense. As a result of the contract with
Wilbert, the current equipment on hand for funeral services can now be sold.
BUDGET ACTION REQUIRED:
None.
(Contract awarded to Wilbert Burial at Financial resources at 12/14/04 City
Commission meeting; allowance for $250 award of Muskegon Area Chamber of
Commerce gift certificates previously allocated in the 2005 budget.)
COMMITTEE RECOMMENDATION:
The committee recommends honoring Cemetery & Forestry Supervisor Larry DeCou
with the 2005 1st quarter Employee Suggestion Award.
(Incidentally, Larry DeCou is the sole supervisor who continually challenges himself to
come up with efficiency ideas for the City and submit them through the employee
suggestion system.)
STAFF RECOMMENDATION:
Staff supports the committee recommendation and requests approval ofthis award.
Date: August 9, 2005
To: Honorable Mayor and City Commissioners
From: Gail A. Kundinger, City Clerk
RE: Approval of Minutes
SUMMARY OF REQUEST: To approve the minutes of the Regular
Commission Meeting that was held on Tuesday, July 26, 2005.
FINANCIAL IMPACT: None.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: Approval of the minutes.
CITY OF MUSKEGON
CITY COMMISSION MEETING
AUGUST 9, 2005
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, August 9,
2005.
Mayor Warmington opened the meeting with a prayer from Pastor Penny
Johnson from Oak-Crest Church of God after which the Commission and public
recited the Pledge of Allegiance to the Flag.
ROLL CALL FOR THE REGULAR COMMISSION MEETING:
Present: Mayor Stephen Warmington, Vice Mayor Bill Larson, Commissioner
Chris Carter, Kevin Davis, Stephen Gawron, Clara Shepherd, and Lawrence
Spataro, City Manager Bryon Mazade, City Attorney John Schrier, and Deputy
City Clerk Linda Potter.
2005-71 HONORS AND AWARDS:
A. Declaring October as "Internet Safety Awareness Month."
Denny Powers, Police Community Coordinator for the City of Muskegon
presented Kristin Tank, Chairperson of the Muskegon County Internet Safety
Action Committee and members with a resolution declaring October as
"Internet Safety Awareness Month."
2005-72 INTRODUCTIONS/PRESENTATION:
A. 2005 1st Quarter Suggestion Award Winner. CIVIL SERVICE
SUMMARY OF REQUEST: The Employee Suggestion Award Committee requests
that the 2005 151 quarter award go to Cemetery & Forestry Supervisor Larry
DeCou for his proposal to enter into a contract with Wilbert Burial Vault
Company to perform the funeral service portion of burials at the city-owned
cemeteries.
FINANCIAL IMPACT: Estimated annual savings of $50,000 due elimination of one
Cemetery employee, plus the deletion of $10,000 equipment expense. As a
result of the contract with Wilbert, the current equipment on hand for funeral
services can now be sold.
BUDGET ACTION REQUIRED: None. Contract awarded to Wilbert Burial at
Financial resources at 12/14/04 City Commission meeting; allowance for $250
award of Muskegon Area Chamber of Commerce gift certificates previously
allocated in the 2005 budget.
STAFF RECOMMENDATION: Staff supports the committee recommendation and
requests approval of this award.
COMMIITEE RECOMMENDATION: The committee recommends honoring
Cemetery & Forestry Supervisor Larry DeCou with the 2005 1st quarter Employee
Suggestion Award.
Commissioner Spataro presented the award to Larry DeCou.
2005-73 CONSENT AGENDA:
A. Approval of Minutes. CITY CLERK
SUMMARY OF REQUEST: To approve the minutes of the Regular Commission
Meeting that was held on Tuesday, July 26, 2005.
FINANCIAL IMPACT: None.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: Approval of the minutes.
B. Approval of a Neighborhood Enterprise Zone Certificate for 1397 61h
Street. PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: An application for a Neighborhood Enterprise Zone
certification has been received from James Lawrence to rehabilitate a home in
the Nelson neighborhood at 1397 6th Street. The home is located in a
Neighborhood Enterprise Zone. The application states that the estimated cost
for rehabilitation will be $10,605. The roof will be replaced and new vinyl siding
will be installed. The applicant has met local and state requirements for the
issuance of the Neighborhood Enterprise Zone certificate. Approval or denial by
the City Commission is required within 60 days of the application date and must
be forwarded to the State Tax Commission.
FINANCIAL IMPACT: Taxation will be 50% of the State average for the next 6
years.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: Approve the issuance of the NEZ certificate.
C. Approval of a Neighborhood Enterprise Zone Certificate for 1173 41h
Street. PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: An application for a Neighborhood Enterprise Zone
(NEZ) certificate has been received from Ricky and Rebekah Mosqueda-Enders
II to rehabilitate a home in the Nelson neighborhood at 1173 4th Street. The
home is located in a Neighborhood Enterprise Zone. The application states that
the estimated cost for rehabilitation will be $56,108 for the replacement of all
windows, installation of vinyl siding, chimney repair, structural reinforcement,
replacement of missing balusters on the 2nd floor, and many updates to the
interior of the home. The applicant has met local and state requirements for the
issuance of the NEZ certificate. Approval or denial by the City Commission is
required within 60 days of the application date and must be forwarded to the
State Tax Commission.
FINANCIAL IMPACT: Taxation will be SO% of the State average for the next 12
years.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: Approve issuance of the NEZ certificate.
D. Sale of Buildable Vacant Lot at 363 Merrill Avenue. PLANNING &
ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: To approve the sale of a vacant buildable lot at 363
Merrill Avenue (Parcel #24-205-389-0002-00) to Carlos Martinez, 369 Merrill
Avenue, Muskegon, MI. The lot is 66 X 132 ft. and is being offered to Carlos
Martinez for $1 ,000 plus the fee to register the deed. Carlos Martinez will be
combining this property with his existing property, which would be considered
unbuildable should his home be destroyed over 50%. His property is 33 x 132 ft.
He would like to fence the property and add a slider with a deck. The True Cash
Value (TCV) for the property listed in the Assessor's office is $10,000, and our
price is set at $7,500 which is 75% of that amount. The City has owned the
property since 1992 and there have been no inquiries for potential construction.
The Land Reutilization Committee is recommending approval of the sale at
lesser price due to the size of Carlos Martinez's current property, and the True
Cash Value of this property seemed a little higher than other areas for the same
size property. The Land Reutilization Committee looked at the values of other
properties in the City, there has been a lot of new construction in the areas of
Jackson Hill and Marquette neighborhoods and the values of the same size
property or larger had a True Cash Value less than the properties in Nelson
Neighborhood. Staff also sent a letter to the other adjacent property owner
offering to sell half of the property to them, no interest was shown.
FINANCIAL IMPACT: The sale of this lot to the adjacent property owner will
generate additional tax revenue for the City and will place the property back
on the City's tax rolls thus relieving the City of continued maintenance costs.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: To approve the resolution and to authorize both the
Mayor and the Clerk to sign the resolution and deed.
E. Approval of 2005 - 2006 Subrecipient and Community Housing
Development Organization (CHDO) Agreements. COMMUNITY &
NEIGHBORHOOD SERVICES
SUMMARY OF REQUEST: To direct the Mayor and City Clerk to sign all of the
2005-2006 approved agreements for the City's subrecipients and CHDO's. The
City Commission approved the funding for each of the nonprofits last spring
during the City's Consolidated Planning process.
1. West Michigan Veteran's $5,000
2. HealthCare Project $5,000
3. American Red Cross $5,000
Also to have the Community Housing Development Organization agreements
signed by the following agencies.
1. Neighborhood Investment Corporation $70,000
2. Habitat for Humanity $35,000
After the Mayor and Clerk sign the contract, the CNS office will retain one copy
for our files and a copy will be supplied to the appropriate nonprofit for their
records.
FINANCIAL IMPACT: Funding will be allocated from the 2005-2006 CDBG and
HOME programs.
BUDGET ACTION REQUIRED: None. The City Commission made budgeting
allocation decision last spring.
STAFF RECOMMENDATION: To direct Mayor and Clerk to sign agreements.
F. MML ·Annual Membership Dues (7/1/05 · 6/30/06). CITY MANAGER
SUMMARY OF REQUEST: To obtain permission from the City Commission, in
accordance with the Purchasing Policies and Procedures, to pay the MML
Annual Membership Dues for July 1, 2005, through June 30, 2006.
FINANCIAL IMPACT:
MML Membership Dues: $7,371
Environmental Affairs Assessment: $ 885
Legal Defense Fund: $ 737
Total: $8,993
BUDGET ACTION REQUIRED: None. Cost applied to proper budget line items.
STAFF RECOMMENDATION: Approval.
Motion by Commissioner Spataro, second by Commissioner Carter to approve
the Consent Agenda as read with the exception of items G and H.
ROLL VOTE: Ayes: Shepherd, Spataro, Warmington, Carter, Davis, Gawron, and
Larson
Nays: None
MOTION PASSES
2005-74 ITEMS REMOVED FROM THE CONSENT AGENDA:
G. Construction of Improvements - Great Lakes Naval Memorial and
Museum. CITY MANAGER
SUMMARY OF REQUEST: To approve a request from the Great Lakes Naval
Memorial and Museum to construct a retaining wall and picnic pavilion on the
property leased from the City. The lease requires that any improvements be
approved by the City.
FINANCIAL IMPACT: None.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: To approve the request.
Motion by Commissioner Davis, second by Vice Mayor Larson to approve the
construction improvements for the Great Lakes Naval Memorial and Museum
with the height of the retaining wall being no more than 48".
ROLL VOTE: Ayes: Warmington, Carter, Davis, Gawron, Larson, Shepherd, and
Spataro
Nays: None
MOTION PASSES
H. Request to Approve Contract for Demolition of 337 W. Grand. PUBLIC
SAFETY
SUMMARY OF REQUEST: The City owned property located at 373 W. Grand has
been declared dangerous, substandard, and a public nuisance. Bids were
solicited for the demolition of said property. The only bid was received from
Press's LLC, 8081 Holton Duck Lake Road. Holton, Ml 49425 for $3,600.
FINANCIAL IMPACT: Funds for this demolition would be available through the
Community Development Block Grant.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: Approval.
Motion by Commissioner Spataro, second by Commissioner Shepherd to
approve the contract for demolition of 337 W. Grand with Press's LLC.
ROLL VOTE: Ayes: Gawron, Larson, Shepherd, Spataro, Warmington, and Carter
Nays: Davis
MOTION PASSES
2005-75 NEW BUSINESS:
A. Construction Contract for the Former Mall Area Project. ENGINEERING
SUMMARY OF REQUEST: As a result of staff's negotiations with Milbocker and
Sons please consider the following options (the original bid was $2,538,989 .05;
with the snowmelt removed it is $1 ,7 64,7 63.95):
1. An additional $15,000 reduction with a completion date for the entire
project in 2005.
2. An additional $28,000 reduction if the project completion was extended
to 2006 with some concrete work being completed in 2005.
3. An additional $43,000 reduction if the project completion date was
extended to 2006 with all of the concrete work done in 2006.
4. Reject all bids, re-bid and award project in 2005 with start and completion
dates in 2006.
The first three options include minority participation and a commitment from the
president of the company to volunteer (4) four hours a month for at least (6) six
months to train minority contractors on biddings and other related issues. The
third option calls for a minority concrete contractor (Martin J Concrete) who
would not be available until 2006 but also has not done much concrete work
similar to that called for on this project.
The additional savings referenced above are in addition to savings resulting
from eliminating the snowmelt system. Should you choose any of the first three
options, it is respectfully requested that a contract be awarded to Milbocker
and Sons.
FINANCIAL IMPACT: Depends on the option selected.
BUDGET ACTION REQUIRED: None at this time.
STAFF RECOMMENDATION: City staff and the DMDC (Downtown Muskegon
Development Corporation) will present a recommendation at the time of the
meeting.
Motion by Commissioner Spataro, second by Commissioner Gawron to approve
the construction contract for the former mall area project using option #3 to
Milbocker and Sons.
MOTION AND SECOND WITHDRAWN
Motion by Commissioner Carter, second by Vice Mayor larson to approve
option #3 as a provision of the contract.
ROLL VOTE: Ayes: larson, Shepherd, Spataro, Warmington, Carter, Davis, and
Gawron
Nays: None
MOTION PASSES
B. Michigan Main Street/Community Requirements and Expectations
Agreement. PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: The Michigan Economic Development Corporation
(MEDC) requires that the local community (i.e., City of Muskegon) enter into an
agreement with the local Main Street Board and MEDC. The agreement outlines
the support to be provided. There is no financial obligation by the City of
Muskegon to support the program. The commitments relate to cooperation and
support. If, for some reason, the agreement is not adhered to, the only
repercussion is that the agreement would be null and void.
FINANCIAL IMPACT: None.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: To approve the agreement and authorize the City
Manager to sign.
Motion by Commissioner Spataro, second by Commissioner Shepherd to
approve the Michigan Main Street/Community Requirements and Expectations
Agreement.
ROLL VOTE: Ayes: Spataro, Warmington, Carter, Davis, Gawron, Larson, and
Shepherd
Nays: None
MOTION PASSES
C. Amendment to Notice of Intent Resolution. FINANCE
SUMMARY OF REQUEST: Previously the City Commission approved a notice of
intent resolution for up to $7.5 million bonds to be used for a new central fire
station and certain recreation projects. Staff is still refining the size and details of
this bond issue, however, it is clear that one of the main components originally
contemplated (second ice sheet) is not financially feasible. The purpose of this
amendment is to add language to the notice of intent to provide flexibility to
allow proceeds from this bond issue to also be used for water system
improvements, in the event this becomes necessary. It appears that final
filtration plan improvement project costs will be higher than originally
anticipated. If. cash generated from the new water rates and summer usage will
be adequate to cover the additional filtration plant project costs, it will not be
necessary to borrow for this purpose. Any amounts that are borrowed for water
improvements would, of course, be repaid from the water fund.
FINANCIAL IMPACT: The immediate cost associated with this action is the cost of
re-publication in the Chronicle.
BUDGET ACTION REQUIRED: None at this time. The cost of the newspaper
publication can be covered within the current budget. Once bonds are sold,
debt service will be budgeted over the life of the bonds (20 years).
STAFF RECOMMENDATION: Approval of the resolution.
Motion by Vice Mayor Larson, second by Commissioner Gawron to approve the
amendment to the Notice of Intent Resolution.
ROLL VOTE: Ayes: Carter, Davis, Gawron, Larson, Shepherd, Spataro, and
Warmington
Nays: None
MOTION PASSES
D. Extension of Contract to Market Seaway Industrial Park. PLANNING &
ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: In 2004 C & A Commercial Real Estate was selected as
the company to market Seaway Industrial Park properties, as well as one
property located on Getty Street. A nine-month real estate agreement was
originally signed by the Mayor with a six-month extension signed by the City
Manager in December 2004. Staff feels that Commission should review the
performance of C & A Commercial Real Estate in order to determine if there
should be another extension of the agreement for a six-month time period.
FINANCIAL IMPACT: The continued timely sale and development of these
properties will bring more jobs to Muskegon in the near future, thus additional
income tax being generated.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: To approve the resolution and authorize the Mayor
and Clerk to sign the said resolution.
Motion by Commissioner Gawron, second by Commissioner Spataro to approve
the resolution extending the contract to market Seaway Industrial Park for six
months.
ROLL VOTE: Ayes: Gawron, Larson, Shepherd, Spataro, Warmington, Carter, and
Davis
Nays: None
MOTION PASSES
E. Directional Signage. PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: To approve the location of directional signage in
Muskegon and allow the signs to be placed in City right-of-way, with the
conditions outlined in the correspondence from Cindy Larsen, Chamber of
Commerce President.
FINANCIAL IMPACT: The Chamber will be providing the signs with an additional
amount of funding for future maintenance of the signs.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION : To approve the location of the signs and accept the
signs and maintenance funding from the Chamber of Commerce.
Motion by Commissioner Gawron, second by Commissioner Carter to approve
the location of the signs and accept the signs and maintenance funding from
the Chamber of Commerce.
ROLL VOTE: Ayes: Shepherd, Spataro, Warmington, Carter, Davis, Gawron, and
Larson
Nays: None
MOTION PASSES
PUBLIC PARTICIPATION: Various comments were heard
2005-76 CLOSED SESSION: To discuss collective bargaining.
Motion by Commissioner Carter, second by Vice Mayor Larson to go into Closed
Session at 6:27 p.m. to discuss collective bargaining.
ROLL VOTE: Ayes: Warmington, Carter, Davis, Gawron, Larson, Shepherd, and
Spataro
Nays: None
MOTION PASSES
Motion by Commissioner Shepherd, second by Commissioner Gawron to come
out of Closed Session at 6:47 p.m.
ROLL VOTE: Ayes: Davis, Gawron, Larson, Shepherd, Spataro, Warmington, and
Carter
Nays: None
MOTION PASSES
ADJOURNMENT: The City Commission Meeting adjourned at 6:48p.m.
Respectfully submitted,
k o. ~r
Gail A. Kundinger, MMC
City Clerk
AGENDA ITEM No. _ __
MUSKEGON CITY COMMISSION- August 9, 2005
TO: Honorable Mayor & City Commissioners
FROM: Planning Department ~
DATE: June 25, 2005
SUBJECT: Approval of a Neighborhood Enterprise Zone Certificate
SUMMARY OF REQUEST
An application for a Neighborhood Enterprise Zone certificate has been received from James
Lawrence to rehabilitate a home in the Nelson neighborhood at 1397 6 1h Street. The home is
located in a Neighborhood Enterprise Zone. The application states that the estimated cost for
rehabilitation will be $10,605. The roof will be replaced and new vinyl siding will be installed.
The applicant has met local and state requirements for the issuance of the Neighborhood
Enterprise Zone certificate. Approval or denial by the City Commission is required within 60
days of the application date and must be forwarded to the State Tax Commission.
FINANCIAL IMPACT
Taxation will be 50% of the State average for the next 6 years.
BUDGET ACTION REQUIRED
None.
STAFF RECOMMENDATION
Approve issuance of the NEZ certificate.
COMMITTEE RECOMMENDATION
None.
0:\Pianning\COMMON\NEZ\1397 6TH ST\Agenda ltem.doc
Resolution No. 2005-73(b)
MUSKEGON CITY COMMISSION
RESOLUTION TO APPROVE THE ISSUANCE
OF A NEIGHBORHOOD ENTERPISE ZONE CERTIFICATE
WHEREAS, an application for a Neighborhood Enterprise Zone Certificate has been filed with
the City Clerk by James Lawrence to rehabilitate a home at 1397 61h Street in the Nelson
neighborhood, and;
WHEREAS, the applicant has satisfied both the local and state eligibility criteria for a
Neighborhood Enterprise Zone Certificate;
WHEREAS, the Neighborhood Enterprise Zone Certificate will be good for 6 years;
NOW, THEREFORE, BE IT RESOLVED that the application for a Neighborhood Enterprise
Zone Certificate for the rehabilitation of a home by James Lawrence be approved.
Adopted this, 91h day of August, 2005.
Ayes: Shepherd, Spataro, Warmington, Carter, Davis, Gawron, and Larson
Nays: None
Absent: None
B
Attest: --+=:::.~:::=..::=- ___!....:~~~~~'-'
Gail Kundinger, MMC
City Clerk
CERTIFICATION
I hereby certify that the foregoing constitutes a true and complete copy of a resolution adopted
by the City Commission of the City of Muskegon, County of Muskegon, Michigan at a regular
meeting held on August 9, 2005. ~_'I . / .
By: i:,!CL-'- L~
Gail Kundinge;,MC
City Clerk
NEZ Certificate for 1397 6th Street
s
Michigan Department of Treasury
2704 (Rev. 10/04}
Application for Neighborhood Enterprise Zone Certificate
Issued under authority of P.A. 147 of 1992, as amended.
INSTRUCTIONS: Read this form before completing application. This application must be filed prior to building permit
issuance and start of construction. File initially one original and two copies of this form. File all additional required
attachments (three complete sets) when completed with the clerk of the local government unit.
To be Completed by Clerk of Local Government Unit
City or Township Name !Local Unit Code
Signature Address of Clerk
Date Received
7-~;-o.s;-
Application Number IState Tax Commission Use Only
Applicant, Do Not Write Above This Line. Begin Entries at 1 Below.
1. :s~cant Name
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2.location of Facility {No. and Street, City, State, ZIP) 3. County ~ School Code
1:;'\7 ~...,~ 'S-tce.~"r r<'l"'-::.1-.eo."O>"'\ Ml '1'11.{ L\ I 'M v..-;,\<; "-"-\ C> II"\
4. Applicant's Mailing Address (No. and Street, City, State, ZIP) J 5. School District t.l
-::,._M «..- \"<')\A~~;,.,_"' ov"\
6. Type of Approval Required 7. How Many Years l
13. Was the Work Completed by 14. Total Project Cost
l1s. r;vest\:; c<:<~Sw~ #17}
fiaucensed Contractor Dother ~Actual 0 Estimated
16. Timetable for Undertaking and Completing the Rehabilitation or Construction of the Facility
C!v."'v. ~,. 2.oc:o ':":. 'ne.o. \""' o.K\~ ~"' ,· "'-.\--..
17. Describe thd'General Nature and Extent of the Rehabilitat~ or New Construction to be Undertaken and Breakdown of Investment Cost(un attachments if nec:easary)
'(\<:...M=> \oe>-f'- ~"' 7 =:,
1"\.._........:> Vi'"'~\ ~\ t.\.\no.J- tf, I..:>"' ~ 'o
18. Rehabilitation Applicants Only: Attach Assessor's Statement (See required attachment number 5 below) 18a. Taxable Value of Real Property
$
19. Who should be contacted Name
if more information is
required to act on this
,\ e...Si c.<>-- .S\se..."'_,
Address (No. and Street, City, State, ZIP)
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cl\. :Ir..\/Q...-:-,-\YY\~N t t
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application? \\\ s '2.,'!:- s~. '('() "'":>\:::..~ n. ·"' K\ ..qC..'-lL\\
Title J
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Requtred Attachments to Provtde when ProJeCt ts Complete. '- .-'
1. Legal description of the real property with parcel code number of the property.
2. Proof of date of commencement of construction.
3. Certificate of occupancy.
4. Resolution approving the application.
IN ADDITION TO 1 .. 4 SUBMIT 5 and 6 FOR REHABILITATION APPLICATIONS ONLY.
5. Statement by the assessor showing the taxable value of the rehabilitated facility not including the land, for the
tax year immediately preceding the effective date of the rehabilitation.
6. Certification by the local building official, certifying that the building meets minimum building codes for the
local unit. A rehabilitation certificate will nol be issued until this certification is filed with the State of Michigan.
www.michigan.gov/treasury
Form 2704, Page 2
APPLICANT'S CERTIFICATION
The undersigned owner making this application certifies that, to the best of his/her knowledge, no information
contained herein or in the attachments hereto is false in any way and that all are truly descriptive of the residential
real property for which this application is being submitted.
It is further certified that the undersigned is familiar with the provision of P.A. 147 of 1992, being Sections 207.771
to 207.787, inclusive, of the Michigan Compiled Laws; and to the best of his/her knowledge and belief, he/she has
complied or will comply with all of the requirements thereof which are necessary to the issuance of a Neighborhood
Enterprise Zone Certificate.
Date
?-2..\-as
I ... OCAL GOVERNMENT ACTION
D APPROVED FOR 12 YEARS
Name of Local Government Unit lDate of Action on This Application
Attached hereto is a copy of the resolution showing the action taken by the above-named local government unit on
this application.
INSTRUCTIONS FOR THE LOCAL GOVERNMENT UNIT
The local government unit must act, by resolution, on this application no more than 60 days after receiving it. The
clerk shall forward the exemption application to the State Tax Commission immediately.
If an applicant is a builder/developer of this facility, a certificate will not be issued until a single family
owner/occupant files an application and the additional required attachments.
If you have any questions, call (517) 373-0675 or (517) 373-3302.
Submit Completed Forms to:
Property Tax Division
Michigan Department of Treasury
P.O. Box 30471
Lansing, Michigan 48909-7971
www.michigan.gov/treasury
AGENDA ITEM No. _ __
MUSKEGON CITY COMMISSION- August 9, 2005
TO: Honorable Mayor & City Commissioners
FROM: Planning Department C-fb'--
DATE: August 1, 2005
SUBJECT: Approval of a Neighborhood Enterprise Zone Certificate
SUMMARY OF REQUEST
An application for a Neighborhood Enterprise Zone (NEZ) certificate has been received from
Ricky and Rebekah Mosqueda-Enders II to rehabilitate a home in the Nelson neighborhood at
1173 41h Street. The home is located in a Neighborhood Enterprise Zone. The application states
that the estimated cost for rehabilitation will be $56,108. The replacement of all windows,
installation of vinyl siding, chimney repair, structural reinforcement, replace missing balusters on
the 2"d floor, and many updates to the interior of the home. The applicant has met local and state
requirements for the issuance of the NEZ certificate. Approval or denial by the City
Commission is required within 60 days of the application date and must be forwarded to the
State Tax Commission.
FINANCIAL IMPACT
Taxation will be 50% of the State average for the next 12 years.
BUDGET ACTION REQUIRED
None.
STAFF RECOMMENDATION
Approve issuance of the NEZ certificate.
COMMITTEE RECOMMENDATION
None.
0:\Pianning\COMMON\NEZ\1173 4th St\Agcnda Item.doc
Resolution No. 2005-73(c)
MUSKEGON CITY COMMISSION
RESOLUTION TO APPROVE THE ISSUANCE
OF A NEIGHBORHOOD ENTERPISE ZONE CERTIFICATE
WHEREAS, an application for a Neighborhood Enterprise Zone Certificate has been filed with
1
the City Clerk by Ricky & Rebekah Mosqueda-Enders II to rehabilitate a home at 1173 4 h Street
in the Nelson neighborhood, and;
WHEREAS, the applicant has satisfied both the local and state eligibility criteria for a
Neighborhood Enterprise Zone Certificate;
WHEREAS, the Neighborhood Enterprise Zone Certificate will be good for 12 years;
NOW, THEREFORE, BE IT RESOLVED that the application for a Neighborhood Enterprise
Zone Certificate for the rehabilitation of a home by Ricky & Rebekah Mosqueda-Enders II be
approved.
Adopted this, 91h day of August, 2005.
Ayes: Shepherd, Spataro, Warmington, Carter, Davis, Gawron, and Larson
Nays: None
Absent: None
Attest: _..:i:~A..UL....____!_~~~~~
Gail Kundinger, MMC
City Clerk
CERTIFICATION
I hereby certify that the foregoing constitutes a true and complete copy of a resolution adopted
by the City Commission of the City of Muskegon, County of Muskegon, Michigan at a egular
meeting held on August 9, 2005.
Gail Kundinger, M
City Clerk
NEZ Certificate - 1173 4th Street
Parcel Number: 61-24-205-368-0001-10 Jurisdiction: 24.CITY OF MUSKEGON County: MUSKEGON Printed on 06/08/2005
Grantor Grantee Sale sale Inst Terms of Sale Liber verified Prcnt
Price Date Type &Page by Trans
Property Address ass: 401.Residential rlzoning: R-1 Building Permit(s) Date Number Amount
1173 4TH ST
School : MUSKEGON SCHOOLS
owner's Name/Address----------_,------------------------.-------------1----------------------------b----------1-------------+---------~
MILLS DANIEL B P.R. E. 100% 05/01/1996 Hist.Dist: X
1817 MILLS AVE
MUSKEGON MI 49445
Legal Description
CITY OF MUSKEGON
I X 1Improved I I Vacanti for Land Table R11 .. R11.04 NELSON RES
*Factors for*
REVISED PLAT OF 1903 - Description Frontage Depth Frontage Depth Rate roAdj. Reason value
LOT 1 EX NLY 38.5 FT BLK 368 ALSO Improvements TYPICAL 10000 100 10,000
NLY 1/2 VAC ADJ ALLEY 66 Actual Front Feet, 0.14 Total Acres Total Est. Land value= 10,000
Dirt Road
comments/Influences----------_, Gravel Road < Land Improvement Cost Estimates
Paved Road Description Rate CountyMult. Size %Good cash value
Storm sewer D/W/P: 3.5 Concrete 2.63 1.14 300 35 315
Sidewalk Total Estimated Land Improvements True cash value= 315
Water
sewer
Electric
Gas
Curb
Street Lights
Standard Utilities
Underground Utils.
Topography
of site
Level
Rolling
Low
High
Landscaped
swamp
Wooded
Pond
-
Waterfront Land Building Assessed Board of Tribuna 1I Taxable
Ravine value value value Review other value
Wetland
Flood Plain !IIIII
5 ,000 21,100 26,100
when what
09/28/2001 DATA ENT 7n_qnn 25,900
21,200 I 2
1
'~'*Information herein deemed reliable but not guaranteed*''*
Residential Building 1 of 1 Parcel Number: 61-24-205-368-0001-10 Printed on 06/08/2005
Building Type (3) Roof (cont.) (11) Heating/Cooling (15) sui l t-ins (15) Fi rep 1aces (16) Porches/Decks (17) Garag-:
i
!
i
X I Sin~le Family
J Mob1le Home
Town Home 0
Eavestrough
Insulation
Front Overhang
1 Gasdll
Wood coal111 steam
oil Elec. Appliance Allow.
cook Toh
oishwas er
Interior 1 Story
Interior 2 Story
2nd/Same Stack
Area
48 CPP
Type Year Built:
Car capacity:
class:
Duplex 0 Other overhang X Forced Air w/o Ducts Garbage Disposal TWO Sided 320 WCP (1 Story) Exterior:
A-Frame Forced Air w/ Ducts Bath Heater Exterior 1 Story 144 WGEP (1 Story) Brick ven.:
(4) Interior Forced Hot Water Vent Fan 1 Exterior 2 Story Stone ven.:
X wood Frame Electric Baseboard Hot Tub Prefab 1 Story Common wall:
I Drywall I Plaster Elec. Ceil. Radient unvented Hood Prefab 2 Story Foundation:
Paneled Wood T&G Radiant (in-floor) vented Hood Heat circulator Finished ?:
Building Style: Electric wall Heat Intercom Raised Hearth Auto. Doors:
2 STORY Trim & Decoration Space Heater Jacuzzi Tub wood Stove Mech. Doors:
wall/Floor Furnace Jacuzzi repl .Tub Direct-Vented Ga Area:
YearBuilt: Remodeled
0 1979
Ex I ~ Ord I Min Forced Heat & Cool
Heat Pump
oven
Microwave class: D
% Good:
Storage Area:
size of Closets No Heating/Cooling Standard Range Effec. Age: 54 No cone. Floor:
condition for Age: self clean Range Floor Area: 2264 CntyMult
Average >q Lg I I ord I Small Central Air
wood Furnace
Sauna
Trash Compactor
To~al Base Cost:
Total cost New :
83,437
92,615
X l.llO
E.C. F.
Bsmnt Garage:
Room List Doors I solid xl H.C. (12) Electric
Central vacuum
Securi~y System
Total oepr Cost:
Es~imated T.c.v:
42,603
44,733
X 1.050 carport Area:
Roof:
4 Basement (5) Floors
4 1st Floor 10~ Amps service Stories Exterior Foundation Rate Bsmnt-Adj Heat-Adj Size cost
3 2nd Floor Kitchen: Linoleum 1 Story siding Crawl Space 39.43 -6.77 0.00 144 4,703
5 Bedrooms Other: Hardwood No./Qual. of Fixtures 2 story siding Basement 60.81 0.00 0.00 1060 64,459
other:
(1) Exterior
(6) Ceilings
I Ex. 11 Ord.l I Min Other Additions/AdjustmenLs
(13) Plumbing
Rate size Cost
II X wood/Shingle
A1 umi num/Vi nyl orr,:all X Plaster
No. of Elec. Outlets 3 Fixture Bath
(14) water/sewer
1475.00 1 1,475
I Brick Tl e
wood
suspended I Manyl xl Ave.l I Few Public wat:er
Public sewer
825.00
825.00
1
1
825
825
X Insulation (13) Plumbing (15) Built-Ins & Fireplaces
(7) Excavation Exterior 2 Story 3225.00 1 3,225
(2) windows Average Fixture(s) (16) Porches
Basement: 1060 S. F. 2 3 Fixture Bath CPP , shallow 9.21 48 442
X Many Large crawl: 144 S.F. 2 Fixture Bath WCP (1 Story), Shallow 12.13 320 3,882
Ave. Ave. slab: o s.F. softener, Auto WGEP (1 story), shallow 25.01 144 3,601
Few X small Height to Joists: 0.0 Softener, Manual Phy/Ab.Phy/Func/Econ/Comb.%Good= 46/100/100/100/46.0, Depr.Cost = 42,603
Solar Water Heat ECF (R11.04 NELSON RES) 1.050 => TCV of Bldg: 1 = 44,733
X wood Sash (8) Basement No Plumbing
Metal sash Extra Toilet
Vinsl Sash cone. Block Extra sink
Dou 1 e Hung Poured cone. Separate shower
Horiz. slide Stone ceramic Tile Floor
casement Treated wood Ceramic Tile wains
Double Glass concrete Floor Ceramic Tub Alcove
Patio Doors vent Fan
Storms&screens (9) Basement Finish
(14) Water/Sewer
(3) Roof Recreation SF
I Gable
1-"•
X Gambre 1
Mansard
Living
No Floor
SF
walkout Doors
SF
1
1
Public water
Public Sewer
~~well ..,.,_
! HlJ>o-
Flat shed
(10) Floor Support
100 Gal septic
2000 Gal septic
r:-.• ·--""'
X Asphalt Shingle
Joists: Lump Sum Items:
unsupported Len:
! chimney: Brick cntr.sup: ..............
---------- - --- --
"'~' 1'Informati on herein deemed reliable but not guaranteed 1'**
Rehab Specs for
1173 41h St
~uskegon,~I49441
Exterior
I. Solid vinyl triple three siding over tyvek and foam board. Wrap trim in
aluminum. Follow contours of existing structure. Hand scrape and paint design
features on columns, ballusters and gables. 14600
2. Replace 28 double hung vinyl windows, with at least 30 yr warranty. Maintain
the same design elements and windows sizes with all replacements. 8400
3. Replace basement windows with block windows with vents. SOO
4. Install new outside lockset on front door. 120
5. Scrape and paint front door, remove pet door. 350
6. Replace front steps with poured concrete. !300
7. Repair bricks on porch and reset lintel. 428
8. Replace missing balusters on 2nd floor balcony with same style. Replicate
balisters and rails for balcony on back of house. Scrape and paint, 1 coat primer
and 1 coat finish. 450
9. Replace back porch decking and install steps with rail. Install new door with
hardware. 600
10. Replace damaged wood on porch ceiling and paint porch ceiling. 450
11. Check porch light, replace if necessary, and install new switch. 200
12. Replace 1" floor window !.edge in rear of house prior to wrapping. 150
13. Replace threshold on balcony door leading to back balcony. 75
14. Reroof back balcony with product that carries 10 year warranty. Structural
reinforcement to be time and material. 650
15. Install new aluminum storm door. !50
16. Install safety railing at rear of house in same style as front balcony. Or replace
door with window. 1025
17. Patch roof on north gable end. 300
18. Tuckpoint foundation 750
19. Tuckpoint chimney. 750
20. Repair Northeast valley on roof. 825
21. Fence in side yard with 3' white picket fence and gate across drive. 3250
Kitchen
I. Patch small holes in walls. 75
2. Install2 GFCI's within 6' of sink and add 2 outlets. 260
3. Install 6' wide, no wax, Armstrong sheet vinyl (min .. 070") over wood sub floor.
Continue through pantry into Yz bath. 950
4. Install new counter, cupboards and sink. 3500
5. Install wallpaper, single rolls 36 sf. 440
Pantry
1. Prep and paint walls and ceiling. 15()
3'd floor
L Prep and paint steps and walls, use stain blocker on wall prior to 2 coats finish
paint. 200
2. Prep and paint floor. 300
3. Install new light fixtures and new switches to code. ()00
4. Prep and paint window frames and sills. 1211
5. Patch plaster near front window. 120
6. Cap or fix to code vent protruding from floor. 40
7. Secure railing at top of stairs with wooden braces. 75
8. Install 4 grounded outlets, rewire all lights. 240
9. Install attic access door. 95
10. Replace vent pipe. 325
Basement
1. Install switch plate and duplex covers as needed. 20
2. Have service panel inspected, investigate buzzing noise.
3. Repair fallen drywall in laundry. 75
4. Patch prep and paint walls in dry walled half of basement. 350
5. Install new furnace, 90%, existing has cracked heat exchanger per house
inspection. 3750
6. Install new humidifier on furnace. 250
7. Install liner kit in chimney. 300
8. Install new water heater. 450
9. Install 8 hardwired smoke detectors. 560
10. Install new service upgrade 150 amps. 1500
·rotaI 56.108.00
Michigan Department of Treasury, STC
2704 (10102)
Application for Neighborhood Enterprise Zone Certificate
Issued under authority of P.A. 147 of 1992, as amended.
Read this form before completing application. This aoolication must be filed prior to buildlna oermit issuance and start of
construction. File initially one original and two copies of this fonn. File all additional required attachments (three complete sets)
when completed with the clerk or the local government unit.
To be Completed by Clerk of Local Government Unit
City or Township Name ILocal Unit Code
Signature Address of Clerk
Date Received Application Number IState Tax Commission Use Only
Applicant, Do Not Write Above This Line. Begin Entries at 1 Below.
1. Applicant Name
*l--:'0 ...\"' "'\1 "('(\ 0'5"\ "'"""' ,,~ E"'o..~>'> -,.. i2J J'<...,"f._ v.,_ b--.0-cG\\
:...k
Sk=+ ,'{\ ':'-, :.p CI'C"'' J"\ I '--\'i '-1 ~~
2. Location of Facility (No. and Street, City, State, ZIP) 3. County I
m"
School Code
I 17 ~ ~ -t'D
4. Applicant's Mailing Address (No. and Street, City, State, ZIP) J
-sr...~"' ".~
5. Sf()l Distri<:,t -'
1z:~ s CP..\ c.""' '""
6. Type~~ Approval Required •...J {J
nl '"".., \'-"-'-'""'" M\ '-\ "' cj Lj L) V..-:'::>~'(. C\ <:>{)
7. How Many Years App'rbval Requested
0 New Facility
B. Is Building Owned or Rented
18J Owned
o
{jJ Rehabilitation
the Occupant?
Rented
,9. Type of Pmperty
!£}.House 0 Duplex
11-
D Apartment . Number of Units Dcondo
10. ~~me of Go£ng Body That Established District 11. Name and Number Assigned to Neighborhood Enterprise Zone r2. Date District Established
c '+'""~ · - Ill V\'"':>K<- <\="'
13. Was the Work Completed by
gJ Licensed Contractor Dother
J 14. Total Project Cost
DActual fSa" Estimated
rs. $
Investment Cost \Btakdown in #17)
o<.-IO
16. Timetable f7 (Undertaking and Comple~ii ~the Rehabilitation or Construction of the Facility
o? c.:.., ·~ o'\ o.S
1
0
17. Describe the General Nature and Extent of the Rehabilitation or New Construction to be Undertaken and Breakdown of Investment Cost (use attachments it necen.ary)
, "J.,s\"\\ v·~ ,~ -)\ si ~~ "'~~
C....,v<:>1~ C'-.:\-h"-LY..i!. ~
-
J
-\e....-~\c. . . t'-~ o ....\\ V'--J'\ <-...r\c-,......(
..,,f>c\c~\<- ~ 0\-.:....ii'\ J"
..-~-~
18. Rehabilitation Applicants Only: Attach Assessor's Statement (See required attachment number 5 below) 18a. Taxable Value of Real Property
A-\\"o-.c:X-.<--0,_ $
19. Who should be contacted Nam~
if more information is 'JV,':>'S; CO-- E!~v>.- ~eo"'"' ue-:-'hooi">-. -s_n vt6-\«i~D\- Cv'o.
required to act on this Address {No. and StreXI~ty, Slate, ZIP) U .J
application? \\\"'-, ":<, ()_, C.,~· \"{\'""-"0>\::..ec'-or> M\ "-i~'i'-l \
Tille ,) I Telephone Number
'h•; '"'''; "2-.""-''1 ; 0·{'""\ ['-'\"'-'\\[A C'd> r i2,~\ > 12..7 ~O(s"ol\
,_)
Required Attachments to Application:
1. Legal description of the real property with parcel code number of the property.
2. Proof of date of commencement of construction, such as building permit or affidavit as to the start of a project by
the contractor.
3. Certificate of occupancy.
4. Resolution approving the application.
IN ADDITION TO 1 - 4 SUBMIT 5 and 6 FOR REHABILITATION APPLICATIONS ONLY.
5. Statement by the assessor showing the taxable value of the rehabilitated facility not including the land. for the
tax year immediately preceding the effective date of the rehabilitation.
6. Certification by the local building official, certifying that the building meets minimum building codes for the local unit. A
rehabilitation certificate will not be issued until this certification is filed with the State of Michigan.
Continued on reverse side
2704 {8·99), Page 2
APPLICANT'S CERTIFICATION
The undersigned owner making this application certifies that, to the best of his/her knowledge, no information
contained herein or in the atlachmenls hereto is false in any way and that all are truly descriptive of the residential
real property for which this application is being submitted.
It is further certified that the undersigned is familiar with the provision of P.A. 147 of 1992, being Sections 207.771
to 207.787, inclusive, of the Michigan Compiled Laws; and to the best of his/her knowledge and belief, he/she has
complied or will comply with all of the requirements thereof which are necessary to the issuance of a Neighborhood
Enterprise Zone Certificate.
Date
0APPROVED FOR 12 YEARS
Name of local Government Unit 'Date of Action on This Application
Attached hereto is a copy of the resolution showing the action taken by the above-named local government unit on
this application.
'Sogn•l"" of Clerl<
INSTRUCTIONS FOR THE LOCAL GOVERNMENT UNIT
The local government unit must act, by resolution, on this application no more than 60 days after receiving it. The
clerk shall forward the exemption application to the State Tax Commission immediately.
If an applicant is a builder/developer of this facility, a certificate will not be issued until a single family
owner/occupant files an application and the additional required attachments.
If you have any questions, please call Mary Goff (517) 373-0675, Debby Abbruzzese (517) 373-3302 or
Dianne 0. Wright at (517) 373-2408.
Michigan Department of Treasury
State Tax Commission
Property Tax Division
P.O. Box 30471
Lansing, Michigan 48909-7971
Commission Meeting Date: August 9, 2005
Date: July 27,2005
To: Honorable Mayor & City Commission c.$ (}__
From: Planning & Economic Development Department
RE: Sale of Buildable Vacant Lot at 363 Merrill Ave.
SUMMARY OF REQUEST:
To approve the sale of a vacant buildable lot at 363 Merrill Avenue (Parcel #24-205-389-
0002-00) to Carlos Martinez, 369 Merrill Avenue, Muskegon, MI. The lot is 66 x 132ft. and
is being offered to Carlos Martinez for $1,000 plus the fee to register the deed. Carlos
Martinez will be combining this property with his existing property, which would be
considered unbuildable should his home be destroyed over 50%. His property is 33 x 132 ft.
He would like to fence the property and add a slider with a deck. The True Cash Value
(TCV) for the property listed in the Assessor's office is $10,000, and our price is set at
$7,500 which is 75% of that amount. The City has owned the property since 1992 and there
have been no inquiries for potential construction. The Land Reutilization Committee is
recommending approval of the sale at a lesser price due to the size of Carlos Martinez's
current property, and the True Cash Value of this property seemed a little higher than other
areas for the same size property. The Land Reutilization Committee looked at the values of
other properties in the City, there had been a lot of new construction in the areas of Jackson
Hill and Marquette neighborhoods and the values of the same size piece of property or
larger had a True Cash Value less than the properties in Nelson Neighborhood. Staff also
sent a letter to the other adjacent property owner offering to sell half of the property to them,
no interest was shown.
FINANCIAL IMPACT:
The sale of this lot to the adjacent property owner will generate additional tax revenue for the
City and will place the property back on the City's tax rolls thus relieving the City of
continued maintenance costs.
BUDGET ACTION REQUIRED:
None
STAFF RECOMMENDATION:
To approve the attached resolution and to authorize both the Mayor and the Clerk to sign
said resolution and deed.
COMMITTEE RECOMMENDATION:
The Land Reutilization Committee recommends approval of the sale with the condition that
the property be combined with the owner's original parcel.
7/27/05
9/18/97 2
Resolution No. 2005-73( d)
MUSKEGON CITY COMMISSION
RESOLUTION APPROVING THE SALE OF A BUILDABLE LOT AT 363 MERRILL
AVENUE IN NELSON NEIGHBORHOOD FOR $1,000 as recommended by the Land
Reutilization Committee at their regular meeting of July 26, 2005.
WHEREAS, Carlos Martinez be allowed to purchase the parcel designated as parcel number 24-
205-389-0002-00, located at 363 Merrill Avenue for $1,000; and
WHEREAS, the price for parcel number 24-205-389-0002-00 is set by the City at $7,500, which
is 75% of the True Cash Value (TCV) listed in the City Assessor's Office; and
WHEREAS, the sale would generate additional tax revenue for the City and relieve the City of
fmther maintenance costs; and
WHEREAS, the sale is not consistent with City policy regarding the disposition of buildable lots,
in that, this property will be combined with the adjacent property located at 369 Merrill A venue
and sold for the price of $1,000.
NOW THEREFORE BE IT RESOLVED, that parcel number 24-205-389-0002-00, located at
363 Merrill Avenue be sold to Carlos Martinez for $1,000.
CITY OF MUSKEGON REVISED PLAT OF 1903 LOT 2 BLK 389
Adopted this 9th day of August 2005
Ayes: Shepherd, Spataro, Warmington, Carter, Davis, Gawron, and Larson
Nays: None
Absent: None
Gail Kundinger, M
City Clerk
CERTIFICATION
I hereby certify that the foregoing constitutes a true and complete copy of a resolution adopted
by the City Commission of the City of Muskegon, County of Muskegon, Michigan at a regular
meeting held on August 9, 2005.
City owned 363 Merrill Avenue 369 Metrill Avenue
CITY OF MUSKEGON
LAND REUTILIZATION COMMITTEE
REGULAR MEETING
MINUTES
July 26, 2005
Chairman M. Amrhein called the meeting to order at 4:02p.m. and roll was taken.
MEMBERS PRESENT: M. Amrhein, R. Hill, J. Martin Jr., K. Davis, C. Shepherd
MEMBERS ABSENT: J. McClain, R. Allen
STAFF PRESENT: H. Mitchell, D. Leafers
OTHERS PRESENT: C. Martinez, 369 Merrill
APPROVAL OF MINUTES
A motion to approve the minutes of the regular meeting of June 28, 2005 was made by K. Davis,
supported by R. Hill and unanimously approved.
OLD BUSINESS
363 Merrill Ave. -Request to sell the buildable lot (66 x 132) at 363 Merrill for $1,000. An
offer was made to split this lot between the two adjacent property owners. The City has owned
this property since 1992. Carlos Martinez owns and lives in the adjacent property at 369 Merrill.
He would like to purchase the lot at 363 Merrill and has offered $1,000 for it. His property is 33 x
132 which is considered an unbuildable lot. He would like to purchase the City lot to combine
with his existing home and fence it off so his children will have a safe place to play. He would
also like to put in a sliding door on the side of the home facing the lot. In order to accomplish
this, the building code requires that there be steps for it. He would like to build a deck for the
slider to go out to, but he doesn't have enough property on the side of his home to meet the side
setback requirements. He does have a garage on his property. At this time, he is not looking to
expand his home. Should his home be destroyed over 50%, he would not be able to rebuild on the
lot he has. He would like to remain in the neighborhood. Rhonda Rogers owns the property on
the other side of the City lot, with an address of 1337 6'h St. Staff sent Ms. Rogers a letter
offering to sell her part of the property and informing her that the other adjacent property owner
was interested in purchasing the property. She has shown no interest in any part of the property.
Staff recommends approval of the request to sell the entire lot to Mr. Martinez. It would need to
go before the City Commission for final approval. Any past due water bills or property taxes
would have to be paid prior to the sale being completed. The purchaser would pay for registering
the deed.
A motion to recommend approval to the City Commission of the request to sell the vacant lot at
363 Merrill to Carlos Martinez for $1,000 plus the cost of registering the deed, with the condition
that the property be combined with his existing property, was made by R. Hill, supported by J.
Martin, Jr. and unanimously approved.
QUIT -CLAIM DEED
KNOW ALL MEN BY THESE PRESENTS: That the CITY OF MUSKEGON, a municipal corporation, of
933 Terrace Street, Muskegon, Michigan 49440,
QUIT CLAIMS to CARLOS MARTINEZ, a single man, of369 Merrill, Muskegon, Michigan 49441,
the following described premises situated in the City of Muskegon, County of Muskegon, State of Michigan, to wit:
CITY OF MUSKEGON REVISED PLAT OF 1903 LOT 2 BLOCK 389
#24-205-389-0002-00
for the sum of One Thousand and no/100 Dollars ($1,000.00)
PROVIDED, HOWEVER, Grantee, or its assigns, shall combine this parcel with the original parcel bearing an
identification number of (24-205-389-0003-l 0). These covenants and conditions shall run with the land.
This deed is exempt from real estate transfer tax pursuant to the provisions ofMCLA 207.505(h)(i) and
MCLA 207.526 Sec. 6(h)(i).
Dated this _ _ day of _ _ _ _ _ _ _, 2005.
Signed in the presence of: CITY OF MUSKEG
STATE OF MICHIGAN
COUNTY OF MUSKEGON
Signed and sworn to before me in Muskegon County, Michigan, on A~ u sf I,- , 2005, by
STEPHEN J. WARMINGTON and GAIL A. KUNDINGER, MMC, the Mayor nd Clerk, respechvely, of the CITY
OF MUSKEGON, a municipal corporation, on behalf of the City.
PREPARED BY: John C. Schrier /,nda S /?, rfi'L , Notary Public
Parmenter OToole Acting in the County of !/Ia; ,6·,, u o ,
175 W. Apple Avenue/P.O. Box 786 /Jt1,s ID-4uJ Cm:i11ty, Michigan
Muskegon, M149443-0786 MyComnl:Expires: r;-.;;;s--OC•
Telephone: 231/722-1621
WHEN RECORDED RETURN TO: Grantee SEND SUBSEQUENT TAX BILLS TO: Grantee
Commission Meeting Date: August 9, 2005
Date: August2,2005
To: Honorable Mayor & City Commission
From: Community and Neighborhood Services
Department
RE: Approval of 2005 - 2006 Subrecipient and
Community Housing Development Organization
(CHDO) Agreements
SUMMARY OF REQUEST: To direct the Mayor and City Clerk to sign
all of the 2005-2006 approved agreements for the City's subrecipients
and CHDO's. The City Commission approved the funding for each of
the nonprofits last spring during the City's Consolidated Planning
process.
1. West Michigan Veterans $5,000
2.HealthCare Project $5,000
3.American Red Cross $5,000
Also to have the Community Housing Development Organization
agreements signed by the following agencies.
1.Neighborhood Investment Corporation $70,000
2.Habitat for Humanity $35,000
After the Mayor and Clerk sign the contracts, the CNS office will retain
one copy of our files and a copy will be supplied to the appropriate
nonprofit for their records.
FINANCIAL IMPACT: Funding will be allocated from the 2005-2006
CDBG and HOME programs.
BUDGET ACTION REQUIRED: None. The City Commission made
budgeting allocation decision last Spring.
STAFF RECOMMENDATION: To direct Mayor and Clerk to sign
agreements.
COMMITTEE RECOMMENDATION: None needed.
SUBRECIPIENT AGREEMENT I 2005-2006
This SUBRECIPIENT made this 1st day of June, 2005, by and between the City of Muskegon,
Michigan, A Municipal Corporation, (hereinafter "Recipient") and ------=-=--=-----:--:--
whose offices are located at ___________ ., _______, MI (hereinafter
"Subrecipient"),
WITNESSETH:
WHEREAS, Subrecipient will receive Community Development Block Grant (CDBG)
funds from the Recipient, in the amount of$ , to be used for the following:
WHEREAS, the parties wish to set forth the conditions on which the funds are to be
made available;
NOW THEREFORE, in consideration of the covenants herein contained, the parties do
mutually agree as follow:
I. GENERAL CONDITIONS
1. Services to be delivered are eligible activities as defined in Section
570.200 and 570.201 of the CDBG Administrative Regulations (CFR
570).
2. The Subrecipient certifies that the service is either:
a. a new serv1ce or
b. a quantifiable increase in the level of a service above the level which
has been provided by or in behalf of the applicant from local revenue
sources or State funds received by the applicant in the twelve (12)
calendar months prior to submission of the proposal, or
c. a continuation of a service that would otherwise be decreased due to
events beyond the control of the Subrecipient.
3. The Subrecipient is incorporated as a non-profit organization in good
standing under Michigan Law.
4. The Subrecipient warrants that a current copy of its charter (if applicable),
Articles of Incorporation and By-Laws are on file with the Department of
Community and Neighborhood Services. The Subrecipient shall also keep
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a current list of its board members, its officers and their addresses on file
with the Community & Neighborhood Services Department.
5. By resolution, the Subrecipient's Board of Directors shall certify to the
City a responsible contact person, who shall be considered their
representative in all matters relating to this Agreement for communication
and administrative purposes.
Until further written notice from the Subrecipient, said contact person shall be:
II. PERSONNEL
I. The Subrecipient shall maintain direct control of all personnel employed by it and
to provide the necessary training and supervision of its employees in carrying out
contracted programs. However, implementation of the "project" must meet the
requirement and approval of Community and Neighborhood Services.
2. In all work made possible by or resulting from this agreement, affirmative action
will be taken to insure that low income persons, particularly minorities and
women, are given maximum opportunity for training and employment; and that
minority business concerns located in the area, to the greatest extent feasible, are
awarded sub-contracts when permitted by this Agreement (Section 3, CDF 135).
3. Incorporated by reference are Title VI of the Civil Rights Act of 1964, Executive
Order 11246 and OMB Circular A-102, Attachment 0 which relates to equal
opportunity. Copies are available at the Community Development Office.
4. The Subrecipient (including its membership body, Board of Directors,
committees, and paid and other volunteer staff) agrees that it will comply with
City policies and procedures concerning equal opportunity, affirmative action,
and non-discrimination in employment practices because of age, religion, race,
color, national origin, sex, education association, marital status or physical
limitation.
III. SCOPE OF SERVICES
The Subrecipient shall provide the services specified in Attachment "A", Scope of
Services, in exchange for financial compensation detailed in Attachment "B".
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IV. COMPENSATION AND METHOD OF PAYMENT
1. The maximum amount which the Subrecipient may rece1ve pursuant to this
Agreement is $_ _ _ __
2. The Subrecipient warrants that its Board of Directors has approved a budget
request to provide services detailed in this Agreement (attachment "B"). The
budget total of $ , shall remain unchanged during the year unless
amended as permitted in this Agreement. The Subrecipient may not, without City
Commission approval, make transfer between categories not exceeding 10% of
the overall budget total, or $2,000.00, or whichever is greater.
3. Upon approval of Subrecipient's request for payment, the Subrecipient shall be
reimbursed for expenses within a maximum of twenty (20 days.)
4. To receive payments, the Subrecipient must complete and submit the following:
a. Request for Payment
b. Detailed Invoice for Actual Expenditures
c. Quarterly Performance Reports
5. All program income, received by the Subrecipient, (if any) shall be disbursed by
the Subrecipient prior to request for payments from the Recipient. Program
income resulting from the project will be handled in accordance with the
requirements of24 CPR 570.503 applicable to CDBG Recipients.
6. If at the end of the term of this Agreement there are unexpended portions of the
contract amount set forth in this Agreement, the City may recapture said amount
for reallocation to other purposes.
7. If Subrecipient fails to comply with terms specified in this Agreement or refused
to accept and meet conditions imposed by the Department of Housing and Urban
Development (HUD), the Recipient may immediately te1minate payments to the
Subrecipient and recover any funds it has advanced. In the event of the inability
of Subrecipient to perform or complete the project, or termination of the
Agreement by the City Commission, Recipient will pay only invoices for work
performed or satisfactorily completed.
8. The Recipient shall not be held liable for expenditures or obligations incurred in
excess of the authorized total budget, nor shall the City be held liable for
expenditures or obligations for ineligible cost pursuant to Section 570.200 and
570.201 of the Housing and Community Development Act.
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IV. FINANCING AUDITS AND INSPECTIONS
1. The Subrecipient shall document the costs incurred with CDBG funds with the
support of properly executed payrolls, time records, invoices, contracts, vouchers,
receipts, or other official documentation that shows in proper detail the nature and
propliety of charges. All such documents must be clearly identifiable and readily
assessable during the term of the Agreement to City and HUD officials or their
authorized representative for audit and examination as often as the City may deem
necessary. Additionally, the Subrecipient agrees to securely maintain such
documents for a peliod of three (3) years after termination of this Agreement.
2. The Subrecipient is to act within thirty (30) days after the signing of this
Agreement to establish a procedure for its accounting operation that will not be
inconsistent with Federal Management Circular A-102, Attachment G, and can be
certified auditable by the Accountant for the Community and Neighborhood
Services Department. The auditable procedure shall insure that monies provided
by the Community Development Block Grant program can be separately traced
from other funds of the Subrecipient.
3. The Recipient shall provide the Subrecipient with a copy of any account
requirements established by HUD, and the Subrecipient shall thenceforth be
responsible for compliance with such requirements.
4. Program Income earned by the Service Agency during the grant period shall be
retained by the Subrecipient, and in accordance with OMB Circulars A-102, A-
110 and A-122 shall be:
a. Added to funds committed to the project by the City and the Subrecipeint to
be used to further eligible program objectives as defined in the scope of
services of this Agreement (see Attachment A).
b. Deduct from the total project costs for the purposes of determining the net
costs on which the Federal (CDBG) share of the cost will be based.
5. No CDBG funds shall be disbursed under this Agreement by the Subrecipient or
any others contracted by the Subrecipient unless those contracted are in
compliance with City and HUD requirements with regard to fiscal matter and civil
rights to the extent such requirements are applicable. The Subrecipient shall
provide the Recipient with a copy of such contracts.
6. The Subrecipient shall provide proof of Bonding Insurance for all employees who
handle funds.
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V. INSURANCE COVERAGE
The Subrecipient shall indemnify, defend, and hold the Recipient, its officers, and the
employees harmless with respect to any damage claim arising out of activities specified
by this Agreement. This Subrecipient shall maintain for the entire period of this
Agreement a valid policy of liability insurance naming the City of Muskegon (Recipient)
as an insured party with limits of not less than $300,000 per occmTence. The
Subrecipient shall also maintain coverage during the Agreement period for Workers'
Compensation as required by law. The Subrecipient shall submit proof of insurance and
amount of coverage to the Community and Neighborhood Services office prior to
receiving any funds.
VI. REPORTS, MONITORING AND EVALUATION
1. The Subrecipient agrees to cooperate fully with the Community and
Neighborhood Services office, City and HUD officials, Citizen Committees, or
any other individuals appointed by City Commission to evaluate and monitor the
requirements and performance of programs financed with CDBG funds. The
Subrecipient agrees to provide to the same parties listed information and reports,
oral or written, as may reasonably be required or requested during the term of this
Agreement on mattes relating to program activities, performance, or contract
compliance.
2. The Subrecipient agrees to complete and submit to the Community and
Neighborhood Services Office in a timely manner a Quarterly Performance
Report.
The report forms are to be provided by the City. The Subrecipient agrees to collect and make
available to the Community and Neighborhood Services Department the following information
on its clients or program participants:
a. Street (only) address of the client: (inside or outside City);
b. Month and year of initial services;
c. Number of services units rendered to each client served under this agreement;
d. Age and sex of the client or participant;
e. Whether the client or participant is the head of household;
f. Whether client or participant is a member of a minority group (which group);
g. Family income by family size (which will be indicated by checking an income
range category);
h. Whether client or participant head of household is handicapped;
The information is to be collected on a tabulation sheets provided by the City.
The form will state that the client/participant information being collected is
required in order for the Subrecipient to receive Community Development Block
5
Grant funds from the City of Muskegon. Client infmmation will be submitted
quarterly with the Performance Reports.
Alternate systems of collecting data required in this section can be developed in
consultation with the Community and Neighborhood Services Office. The
Recipient retains the final right to approve any waiver of, or amendment to, this
reporting requirement.
VII. CONTRACT AMENDMENT
That except as expressly provided elsewhere in this Agreement, any modifications or
amendments to this Agreement may be made by mutual Agreement of the Subrecipient
and the City Commission. It is expressly understood that this Agreement is subject to
HUD Community Development Block Grant funding regulations. Should HUD act to
make changes in regulations or suspend or terminate funding, such actions shall
automatically amend this Agreement, if applicable.
VIII. ASSIGNABILTIY
The Subrecipient shall not assign or transfer any interest in this Agreement without
consent of the City Commission.
IX. POLITICAL ACTIVITIES
None of the funds, materials, property or services provided directly or indirectly under
this Agreement shall be used for any partisan political activities, or to further the election
or defeat of any candidate for office.
X. CONFLICT OF INTEREST
No employee, officer or agent of the Recipient shall participate in the award or
administration of this Agreement if a conflict of interest real or apparent, would be
involved or any type of benefit financially, politically or asset wise. (i.e. obtain housing,
illegal obtaining of contracts, etc.) See CFR 24.92.356 and CFR 570.611.
XI. CITY'S RIGHT TO ENFORCE
1. The Community and Neighborhood Services Department may unilaterally
suspend (on a temporary basis) or alter this Agreement, including the amount of
funds allocated, for failure to comply with the terms and conditions of this
Agreement or failure to comply with regulations for the U.S. Government, or
directives of the Muskegon City Commission, some examples of which follow:
a. Ineffective or improper use of the Community Development Block Grant
funds:
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b. Failure to submit complete and correct performance or financial reports;
c. Failure to provide services called for in the Scope of Services section within
the time frame stated: and
d. If for any reason, the program cannot be completed.
2. The City Commission may unilaterally terminate this Contract for failure to
comply with the terms and conditions of the Agreement, the regulations of the
U.S. government, or directives of the Muskegon City Commission.
3. The Community and Neighborhood Services Department office shall provide
reasonable notice to the Subrecipient before action is taken to suspend, alter or
terminate this Agreement. Such notice shall include the reasons for the
contemplated action and the Subrecipient shall be give a right to protest.
4. In the event this Agreement is terminated by the City Commission, the Ownership
of all documents, equipment and properties acquired by CDBG or Program
Income funds shall revert to the Recipient with the decision for final disposition
being left to the City Commission. However, the Subrecipient shall receive just
compensation for any work satisfactorily completed prior to such termination.
XII. PURSUIT OF ADDITIONAL RESOURCES
The Subrecipient shall make bona fide efforts to secure funds and resources from other
sources. Further, the Subrecipient shall cooperate with the Community and
Neighborhood office, as requested, in its efforts to pursue additional or alternative
funding. The Subrecipient shall report these efforts as part of the required Quarterly
Performance Report.
XIII. TIME PERFORMANCE AGREEMENT TERM
All services rendered hereunder shall be completed by May 31, 2005. This Agreement
automatically terminates at that time unless specifically extended by the City
Commission. All funds allocated which are unspent or encumbered for services under
this Agreement shall be repaid to the City within fifteen (15) days of this date.
XIV. OTHER
1. That it will comply with all requirements applicable to HUD Block Grant
Subrecipients set forth in the CDBG Program Requirements contained in 24 Code
of Federal Regulation Part 570. Such requirements pertain to, but are not limited
to, compliance with OMB Circular A-102, reports and information, audits and
inspection, unearned payment, non-discrimination, disposition of real property,
and miscellaneous grant administration requirements.
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2. That should the Subrecipient utilize any portion of CDBG funds for acquisition of
property or relocation of individuals, families, or businesses as a result of a
project involving federal financial assistance from HUD, as defined in regulations
at 24CFR Part 42.79, all acquisition and/or relocation shall conform to the
Uniform Relocation Assistance and Real Property Acquisition Policies Act of
1970 (P.L. 91.646), and the regulations which implement the Act (24 CFR Part
42).
3. That except with respect to the rehabilitation of residential use for less than eight
families, all contractors engaged under contracts in excess of $2000 for the
construction prosecution, completion or repair of any building or work financed in
whole or in part with assistance provided under this agreement, shall comply with
HUD requirements pertaining to such Contracts and the applicable requirements
of the regulations of the Department of Labor under 29 CFR Parts 2, 5, and Sa,
governing the payment of wages and the ratio of apprentices and trainees to
journeymen; provided, that if wage rates higher than those required under such
regulations are imposed by State or local law, nothing hereunder is intended to
relieve the Subrecipient of its obligations, if any, to require payment of the higher
rates. The Subrecipient shall require to be inserted in full in all such contracts
subject to such regulations, provisions meeting the requirements of 29 CFR 5.5
and for such contracts in excess of$10,000, 29n CFR 5a.3.
4. The Subrecipient agrees to abide by all other Federal requirements not highlighted
in this Agreement, but included in the Community Development Block Grant
regulations at the Community and Neighborhood Services Department, or other
regulations subsequently supplied to the Subrecipeint.
5. That should the Subrecipient funding involve construction work, the Subrecipient
contractors(s) agree to allow access to the City or its representative for inspection
purposes.
6. Should the Subrecipient acquire any real or personal property with funds provided
under this Agreement, it will not dispose of such property through sale or
otherwise without written permission of Recipient. If property is disposed of
without written permission, the proceeds shall be returned to the Recipient, and
Subrecipient may be required to reimburse the Recipient for the Federal portion of
participation in the project, subject to requirements in the Office of Management
and Budget Circular A-1 02, Attachment N, Property Management Stands.
XV. CONTRACT CLOSEOUT
All contracts will be closed out in accordance with the procedures specified in OMB
Circular A-102, Attachment L, and Pmtions of OMB Circulars A-110 and A-122
applicable to non-profit organizations.
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In Witness Whereof, the parties hereto have caused this contract to be executed the day and year
above written.
Signed In the Presence Of: CITY OF MUSKEGON, MICHIGAN
A Municipal Corporation
Witness._ _ _ _ _ _ _ __ By:_-=:--o----:c-::-:--:----:-.c--
Stephen J. Warmington, Mayor
Witness- - - - - - - - - - - - - By:
-~~=-~--~~~~~=-~
Gail Kundinger, MMC City Clerk
Agency Name
Witness. _ _ _ _ _ _ _ _ _~ By: _ _ _ _ _ _ _ _ _ _ ___
It's President
Witness----------------- By:_-::-:--:::---------
It's Secretary
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ATTACHMENT "A"
SCOPE OF SERVICES
Subrecipient Name _ _ _ _ _ _ _ _ _ _ _ _ _ _ __
SCOPE OF SERVICES
The Scope of Services section below lists the services to be provided under the tenns of the
Subrecipient Agreement. This description shall establish the basis for the Community and
Neighborhood Services Office assessment of actual program accomplishments.
I. Location and Hours
The Service Agency shall provide the contracted services at the following locations(s):
II. Eligible Clients
The Subrecipient shall take affirmative action to insure that the primary beneficiaries of
services rendered under this Agreement are eligible CDBG clients. Eligible clients are
defined as those persons of household who:
a. Reside in the City of Muskegon and
b. Have household incomes less than or equal to 80 percent of the median of the City.
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ATTACHMENT "A"
SCOPE OF SERVICES
III. Description and Quantity of Services to be provided
Describe and number each service to be provided separately. Include the job title of the person
(s) who will primarily render the service, the time span, which the service will be offered, ifless
than the total contract year, and how the service will be rendered.
Estimated quantity of service to be provided (number of persons to be served).
11
ATTACHMENT "B"
BUDGET
REVENUES
CDBGFUNDS $._ _ __
*Other (Specify Below)
Program Income
TOTAL REVENUES $_ _ _ _
Total Portion to be
Budgeted Funded by CDBG
EXPENDITURES
Salaries & Fringes $ $
Consultant & Contract Services $ $
Office Supplies $ $
Telephone $ $
Rent & Related Expenses $ $
Equipment $ $
Office Furniture $ $
Travel $ $
Specific Assistance to Individuals $ $
Miscellaneous (Specify)
$
$
$
TOTAL EXPENDITURES $ $
*LIST OTHER REVENURE SOURCES:
1. $
2. $
3. $
4. $
5. $
12
CHDO AGREEMENT- 2005 - 2006
This CHDO AGREEMENT, made this 1st day of June, 2005, by and between the City of
Muskegon, Michigan, A Municipal Corporation, (hereinafter "Recipient") ~------
whose office is located at , (hereinafter "CHDO")
WITNESSETH:
WHEREAS, CHDO will receive Community Development Block Grant
(CDBG/HOME) funds from the Recipient, in the amount of $ , to be used for the
following:
WHEREAS, the parties wish to set forth the conditions on which the funds are to be
made available;
NOW THEREFORE, in consideration of the covenants herein contained, the parties do
mutually agree as follow:
I. GENERAL CONDITIONS
I. Services to be delivered are eligible activities as defined in Section 92.205
and 92.206 of HOME Administrative Regulations (CFR 92)
2. The CHDO certifies that the service is either:
a. a new service or
b. a quantifiable increase in the level of a service above the level which
has been provided by or in behalf of the applicant from local revenue
sources or State funds received by the applicant in the twelve (12)
calendar months prior to submission ofthe proposal, or
c. a continuation of a service that would otherwise be decreased due to
events beyond the control of the CHDO.
3. The CHDO is incorporated as a non-profit organization in good standing
under Michigan Law.
4. The CHDO warrants that a current copy of its charter (if applicable),
Articles of Incorporation and By-Laws are on file with the department of
Community and Neighborhood Services. The CHDO shall also keep a
current list of its board members, its officers and their addresses on file
with the Community and Neighborhood Services department.
1
5. By resolution, the CHDO's Board of Directors shall certifY to the City a
responsible contact person, who shall be considered their representative in
all matters relating to this Agreement for communication and
administrative purposes.
Until further written notice from the CHDO, said contact person shall be:
II. PERSONNEL
I. The CHDO shall maintain direct control of all personnel employed by it and to
provide the necessary training and supervision of its employees in carrying out
contracted programs. However, implementation of the "project" must meet the
requirement and approval of Community and Neighborhood Services.
2. In all work made possible by or resulting from this agreement, affirmative action
will be taken to insure that low income persons, particularly minorities and
women, are given maximum opportunity for training and employment; and that
minority business concerns located in the area, to the greatest extent feasible, are
awarded sub-contracts when permitted by this Agreement (Section 3, CDF 135).
3. Incorporated by reference are Title VI of the Civil Rights Act of 1964, Executive
Order 11246 and OMB Circular A-102, Attachment 0 which relates to equal
opportunity. Copies are available at the Community Development Office.
4. The CHDO (including its membership body, Board of Directors, counnittees, and
paid and other volunteer staff) agrees that it will comply with City policies and
procedures concerning equal opportunity, affirmative action, and non-
discrimination in employment practices because of age, religion, race, color,
national origin, sex, education association, marital status or physical limitation.
III. SCOPE OF SERVICES
The CHDO shall provide the services specified in Attachment "A", Scope of Services, in
exchange for fmancial compensation detailed in Attachment "B".
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IV. COMPENSATION AND METHOD OF PAYMENT
I. The maximum amount which the CHDO may receive pursuant to this Agreement
is$_ _ _ __
2. The CHDO warrants that its Board of Directors has approved a budget request to
provide services detailed in this Agreement (attachment "B"). The budget total of
$ , shall remain unchanged during the year unless amended as
permitted in this Agreement. The CHDO may not, without City Commission
approval, make transfer between categories not exceeding I 0% of the overall
budget total, or $2,000.00, or whichever is greater.
3. Upon approval of CHDO's request for payment, the CHDO shall be reimbursed
for expenses within a maximum of twenty (20 days.)
4. To receive payments, the CHDO must complete and submit the following:
a. Request for Payment
b. Detailed Invoice for Actual Expenditures
c. Quarterly Performance Reports
5. All program income, received by the CHDO, (if any) shall be disbursed by the
CHDO prior to request for payments from the Recipient. Program income
resulting from the project will be handled in accordance with the requirements of
24 CFR 570.503 applicable to CDBG Recipients and 24 CFR 92.503 for HOME
CHDO's. All program income derived from the HOME activities by CHDO must
be reinvested to the recipient (City) to the HOME Investment Trust Fund.
6. If at the end of the term of this Agreement there are unexpended portions of the
contract amount set forth in this Agreement, the City may recapture said amount
for reallocation to other purposes.
7. If CHDO fails to comply with terms specified in this Agreement or refused to
accept and meet conditions imposed by the Department of Housing and Urban
Development (HUD), the Recipient may immediately terminate payments to the
CHDO and recover any funds it has advanced. In the event of the inability of
CHDO to perform or complete the project, or termination of the Agreement by the
City Commission, Recipient will pay only invoices for work performed or
satisfactorily completed.
8. The Recipient shall not be held liable for expenditures or obligations incurred in
excess of the authorized total budget, nor shall the City be held liable for
expenditures or obligations for ineligible cost pursuant to Section 570.200 and
570.201 of the Housing and Community Development Act. And 92.206, 92.207
and 92.208 of National Affordable Housing Act of 1990.
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IV. FINANCING AUDITS AND INSPECTIONS
I. The CHDO shall document the costs incurred with CDBGIHOME funds with the
support of properly executed payrolls, time records, invoices, contracts, vouchers,
receipts, or other official documentation that shows in proper detail the nature and
propriety of charges. All such documents must be clearly identifiable and readily
assessable during the term of the Agreement to City and HUD officials or their
authorized representative for audit and examination as often as the City may deem
necessary. Additionally, the CHDO agrees to securely maintain such documents
for a period of three (3) years after termination of this Agreement.
2. The CHDO is to act within thirty (30) days after the signing of this Agreement to
establish a procedure for its accounting operation that will not be inconsistent
with Federal Management Circular A-102, Attachment G, and can be certified
auditable by the Accountant for the Community Development Department. The
auditable procedure shall insure that monies provided by the Community
Development Block Grant HOME program can be separately traced from other
funds of the CHDO.
3. The Recipient shall provide the CHDO with a copy of any account requirements
established by HUD, and the CHDO shall thenceforth be responsible for
compliance with such requirements.
4. Program Income earned by the Service Agency during the grant period shall be
retained by the CHDO, and in accordance with OMB Circulars A-1 02, A-ll 0 and
A-122 shall be:
a. Added to funds committed to the project by the City and the CHDO to be used
to further eligible program objectives as defmed in the scope of services of
this Agreement (see Attachment A).
b. Deduct from the total project costs for the purposes of determining the net
costs on which the Federal (CDBG I HOME) share of the cost will be based.
5. No CDBG I CHDO funds shall be disbursed under this Agreement by the CHDO
or any others contracted by the CHDO unless those contracted are in compliance
with City and HUD requirements with regard to fiscal matter and civil rights to
the extent such requirements are applicable. The CHDO shall provide the
Recipient with a copy of such contracts.
6. The CHDO shall provide proof of Bonding Insurance for all employees who
handle funds.
4
V. INSURANCE COVERAGE
The CHDO shall indemnify, defend, and hold the Recipient, its officers, and the
employees harmless with respect to any damage claim m·ising out of activities specified
by this Agreement. This CHDO shall maintain for the entire period of this Agreement a
valid policy of liability insurance naming the City of Muskegon (Recipient) as an insured
party with limits of not less than $300,000 per occurrence. The CHDO shall also
maintain coverage during the Agreement period for Workers' Compensation as required
by law. The CHDO shall submit proof of insurance and amount of coverage to the
Community Development office prior to receiving any funds.
VI. REPORTS, MONITORING AND EVALUATION
1. The CHDO agrees to cooperate fully with the Community and Neighborhood
Services office, City and HUD officials, Citizen Committees, or any other
individuals appointed by City Commission to evaluate and monitor the
requirements and performance of programs fmanced with CDBG HOME funds.
The CHDO agrees to provide to the same parties listed information and reports,
oral or written, as may reasonably be required or requested during the term of this
Agreement on mattes relating to progratn activities, performance, or contract
compliance.
2. The CHDO agrees to complete and submit to the Community and Neighborhood
Services Office in a timely manner a Quarterly Performance Report.
The report forms are to be provided by the City. The CHDO agrees to collect and make
available to the Community and Neighborhood Services Department the following information
on its clients or progratn participants:
a. Street (only) address of the client: (inside or outside City);
b. Month and year of initial services;
c. Number of services units rendered to each client served under this agreement;
d. Age and sex of the client or participant;
e. Whether the client or participant is the head of household;
£ Whether client or patticipant is a member of a minority group (which group);
g. Family income by family size (which will be indicated by checking an income
range category);
h. Whether client or participant head of household is handicapped;
5
The information is to be collected on a "Client Card" or tabulation sheets
provided by the City. The form will state that the client/participant information
being collected is required in order for the CHDO to receive HOME funds from
the City of Muskegon. Client information will be submitted quarterly with the
Performance Reports.
Alternate systems of collecting data required in this section can be developed in
consultation with the Community and Neighborhood Services Office. The
Recipient retains the final right to approve any waiver of, or amendment to, this
reporting requirement.
VII. CONTRACT AMENDMENT
That except as expressly provided elsewhere in this Agreement, any modifications or
amendments to this Agreement may be made by mutual Agreement of the CHDO and the
City Commission. It is expressly understood that this Agreement is subject to HUD
HOME funding regulations. Should HUD act to make changes in regulations or suspend
or terminate funding, such actions shall automatically amend this Agreement, if
applicable.
VIII. ASSIGNABILTIY
The CHDO shall not assign or transfer any interest in this Agreement without consent of
the City Commission.
IX. POLITICAL ACTIVITIES
None of the funds, materials, property or services provided directly or indirectly under
this Agreement shall be used for any partisan political activities, or to further the election
or defeat of any candidate for office.
X. CONFLICT OF INTEREST
No employee, officer or agent of the Recipient shall participate in the award or
administration of this Agreement if a conflict of interest real or apparent, would be
involved, or any type of benefit fmancially, politically or asset wise. (i.e. obtain housing,
illegal obtaining of contracts, etc.) See CFR24.92.356 and CFR 570.611.
6
XI. CITY'S RIGHT TO ENFORCE
1. The Community and Neighborhood Services Department may unilaterally
suspend (on a temporary basis) or alter this Agreement, including the amount of
funds allocated, for failure to comply with the terms and conditions of this
Agreement or failure to comply with regulations for the U.S. Government, or
directives of the Muskegon City Commission, some examples of which follow:
a. Ineffective or improper use of the HOME funds:
b. Failure to submit complete and correct performance or fmancial reports;
c. Failure to provide services called for in the Scope of Services section within
the time frame stated: and
d. If for any reason, the program cannot be completed.
2. The City Commission may unilaterally terminate this Contract for failure to
comply with the terms and conditions of the Agreement, the regulations of the
U.S. government, or directives of the Muskegon City Commission.
3. The Community and Neighborhood Services Department office shall provide
reasonable notice to the CHDO before action is taken to suspend, alter or
terminate this Agreement. Such notice shall include the reasons for the
contemplated action and the CHDO shall be given a right to protest.
4. In the event this Agreement is terminated by the City Commission, the Ownership
of all documents, equipment and properties acquired by HOME or Program
Income funds shall revert to the Recipient with the decision for fmal disposition
being left to the City Commission. However, the CHDO shall receive just
compensation for any work satisfactorily completed prior to such termination.
XII. PURSUIT OF ADDITIONAL RESOURCES
The CHDO shall make bona fide efforts to secure funds and resources from other
sources. Further, the CHDO shall cooperate with the Community and Neighborhood
office, as requested, in its efforts to pursue additional or alternative funding. The CHDO
shall report these efforts as part of the required Quarterly Performance Report.
XIII. TIME PERFORMANCE AGREEMENT TERM
All services rendered hereunder shall be completed by May 31, 2004. This Agreement
automatically terminates at that time unless specifically extended by the City
Commission. All funds allocated which are unspent or encumbered for services under
this Agreement shall be repaid to the City within fifteen (15) days of this date.
7
XIV. OTHER
1. That it will comply with all requirements applicable to HUD Block Grant
Subrecipients set forth in the HOME Program Requirements contained in 24 Code
of Federal Regulation Part 570. Such requirements pertain to, but are not limited
to, compliance with OMB Circular A-102, reports and information, audits and
inspection, unearned payment, non-discrimination, disposition of real property,
and miscellaneous grant administration requirements.
2. That should the CHDO utilize any portion of HOME funds for acquisition of
property or relocation of individuals, families, or businesses as a result of a
project involving federal fmancial assistance from HUD, as defmed in regulations
at 24CFR Patt 42. 79, all acquisition and/or relocation shall conform to the
Uniform Relocation Assistance and Real Property Acquisition Policies Act of
1970 (P.L. 91.646), and the regulations which implement the Act (24 CFR Part
42).
3. That except with respect to the rehabilitation of residential use for less than eight
families, all contractors engaged under contracts in excess of $2000 for the
construction prosecution, completion or repair of any building or work fmanced in
whole or in part with assistance provided under this agreement, shall comply with
HUD requirements pertaining to such Contracts and the applicable requirements
of the regulations of the Department of Labor under 29 CFR Parts 2, 5, and Sa,
governing the payment of wages and the ratio of apprentices and trainees to
journeymen; provided, that if wage rates higher tan those required under such
regulations are imposed by State or local law, nothing hereunder is intended to
relieve the CHDO of its obligations, if any, to require payment of the higher rates.
The CHDO shall require to be inserted in full in all such contracts subject to such
regulations, provisions meeting the requirements of 29 CFR 5.5 and for such
contracts in excess of$10,000, 29n CFR 5a.3.
4. The CHDO agrees to abide by all other Federal requirements not highlighted in
this Agreement, but included in the regulations HOME Regulation available at the
Community and Neighborhood Services Department, or other regulations
subsequently supplied to the Subrecipeint.
5. That should the CHDO funding involve construction work, the CHDO
contractors( s) agree to allow access to the City or its representative for inspection
purposes.
8
6. Should the CHDO acquire any real or personal property with funds provided
under this Agreement, it will not dispose of such property through sale or
otherwise without written permission of Recipient. If property is disposed of
without written permission, the proceeds shall be returned to the Recipient, and
CHDO may be required to reimburse the Recipient for the Federal portion of
participation in the project, subject to requirements in the Office of Management
and Budget Circular A-1 02, Attachment N, Property Management Stands.
XV. CONTRACTCLOSEOUT
All contracts will be closed out in accordance with the procedures specified in OMB
Circular A-102, Attachment L, and Portions of OMB Circulars A-110 and A-122
applicable to non-profit organizations.
In Witness Whereof, the parties hereto have caused this contract to be executed the day and year
above written.
Signed In the Presence Of: CITY OF MUSKEGON, MICHIGAN
A Municipal Corporation
Witness
------------------ By:_-::----:=::---:-----::-::----
Steve Warmington, Mayor
Witness------------------ By:
--~~=-~----~~~~----
Gail Kundinger, City Clerk
Agency Name
Witness.____________________ By:._______________________
It's President
Witness._____________________ By:_-:-:--=---------
1t' s Secretary
9
ATTACHMENT "A"
SCOPE OF SERVICES
CHDO'sName _____________________________
SCOPE OF SERVICES
The Scope of Services section below lists the services to be provided under the terms of the
CHDO Agreement. This description shall establish the basis for the Community and
Neighborhood Services Office assessment of actual program accomplishments.
I. Location and Hours
The Service Agency shall provide the contracted services at the following locations(s):
II. Eligible Clients
The CHDO shall take affirmative action to insure that the primary beneficiaries of
services rendered under this Agreement are eligible HOME clients. Eligible clients are
defmed as those persons of household who:
a. Reside in the City of Muskegon and
b. Have household incomes less than or equal to 80 percent of the median of the City.
10
ATTACHMENT "A"
SCOPE OF SERVICES
III. Description and Quantity of Services to be provided
Describe and number each service to be provided separately. Include the job title of the person
(s) who will primarily render the service, the time span, which the service will be offered, if less
than the total contract year, and how the service will be rendered.
Estimated quantity of service to be provided (number of persons to be served).
11
ATTACHEMENT "B"
BUDGET
REVENUES
HOME FUNDS $_ _ __
*Other (Specify Below)
Program Income
TOTAL REVENUES $
Total Portion to be
Budgeted Funded by HOME
EXPENDITURES
Salaries & Fringes $ $
Consultant & Contract Services $ $
Office Supplies $ $
Telephone $ $
Rent & Related Expenses $ $
Equipment $ $
Office Furniture $ $
Travel $ $
Specific Assistance to Individuals $ $
Miscellaneous (Specify)
$_ __
$_ __
$_ _ _
TOTAL EXPENDITURES $. _ _ __ $_ _ __
*LIST OTHER REVENURE SOURCES:
I. $_ __
2. $_ __
3. $_ __
4. $_ __
5. $_ __
12
Date: August 9, 2005
To: Honorable Mayor and City Commissioners
From: Bryon L. Mazade, City Manager
RE: MML- Annual Membership Dues (7/1/05- 6/30/06)
SUMMARY OF REQUEST: To obtain permission from the City Commission, in
accordance with the Purchasing Policies and Procedures, to pay the MML Annual
Membership Dues for July 1, 2005, through June 30, 2006.
FINANCIAL IMPACT:
MML Membership Dues: $7,371
Environmental Affairs Assessment: $ 885
Legal Defense Fund: $ 737
Total Dues: $8,993
BUDGET ACTION REQUIRED: None. Cost applied to proper budget line items.
STAFF RECOMMENDATION: Approval.
MICHIGAN MUNICIPAL LEAGUE
MEMBERSHIP RENEWAL INVOICE
MICHIGAN
MUNICIPAL 2005-2006
LEAGUE
CITY OF MUSKEGON ld: 347
Date: July 11, 2005
Membership Period: July 1, 2005- June 30, 2006
2004-2005 10% 2005-2006
Dues Rebate Dues
* Michigan Municipal League Dues $8,190 $819 $7,371
** Environment Affairs Assessment 983 98 885
*** Legal Defense Fund 819 82 737
$9,992 $999 $8,993
Total due by August 1, 2005
$8,993
Please sign, date and return one invoice copy with your payment.
Make checks payable to the Michigan Municipal League and mail to the address below. Thank you.
(Signature)
(Date)
* For a detailed analysis of your MML dues, go to www.mml.org/pdf/dues05.pdf or call 734-669-6350.
MML dues include annual subscriptions to the Michigan Municipal Review for your officials at $12.00 per
subscription, which is 50% of the regular subscription rate.
** The purpose of the EAA is to fund the Environmental Affairs Service (EAS) and its advocacy for the
municipal point of view on environmental, public works and infrastructure issues at the state and federal
level. The EAS Limited one-on-one assistance to MML members concerning environmental protection
mandates, transportation and public works activities is also available.
*** The Legal Defense Fund is an optional charge. The purpose of the Fund is to provide specialized legal
assistance to member municipalities in cases that have significant statewide impact. There is a $50
minimum assessment for all communities.
Michigan Municipal League
P.O. Box 7409
Ann Arbor, Ml48106-7409
800.653.2483
July II, 2005 ·~·---''-
MICHIGAN
MUNICIPAL Ms. Gail A. Kundinger
LEAGUE Muskegon City Clerk City Clerks Otirc, 1
933 Terrace St. _I
PO Box 536
President Muskegon, MI 49443-0536
Margene Ann ScoU
Councilwom.m
Madison Heights Dear Ms. Kundinger:
Vice President
Robert B. Jones As you struggle to balance your general fund budget, one item will be easy to approve - your
Mayor, Ka!anMzoo membership in the Michigan Municipal League. Better than anyone else, MML knows the
Trustees fiscal challenges your community faces every day, and we're working hard to help you find
Alex R. Allie solutions and preserve existing revenue.
City Matldger
Huntington Woods
Our latest measure to assist you is to cut membership dues by 10%.
Vicki Banwtt
M remains the property of Valley City Sig n . HOURS: 2.5 SALES: 38
Downtown- Gateway - Shoreline and Webster
snortltnt
O•
. Oownto • n
'+ •
Downtown - Directional - 3rd and Shoreline
Lakeside Signs
Lakeside - Directional - Laketon
and McCracken
Lakeside - Directional - Lakeshore across fi·om Wasserman's
Lakeside - Directional- Lakeshore at Ferry Exit
Lakeside - Directional - Lakeshore and McCracken
Lakeside - Directional - Lakeshore and Denmark
Beach Signs
Beach - Directional -Sherman and Beach
Beach - Directional - Lakeshore and Edgewater
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