View the PDF version Google Docs PDF Viewer
CITY OF MUSKEGON CITY COMMISSION MEETING SEPTEMBER 9, 2003 CITY COMMISSION CHAMBERS@ 5:30 P.M. AGENDA • CALL TO ORDER: • PRAYER: • PLEDGE OF ALLEGIANCE: • ROLL CALL: • HONORS AND AWARDS: a. Rodney Shunta. b. "One Book". • PRESENTATIONS: • CONSENT AGENDA: a. Approval of Minutes. CITY CLERK b. Lighthouse Acre Application. LEISURE SERVICES c. Sale of Non-Buildable Lot at 1024 Albert Avenue. PLANNING & ECONOMIC DEVELOPMENT d. Sale of Non-Buildable Lot at 1446 Ducey Avenue. PLANNING & ECONOMIC DEVELOPMENT e. Purchase of 877 Emerald. COMMUNITY & NEIGHBORHOOD SERVICES f. Approval of Collection and Credit Reporting Services Contract/Agreement with Paramount Collection Services. L.L.C. TREASURER g. Approval of Parking Ticket Services Contract/Agreement with MSB Parking Data Ticket. FINANCE and TREASURER h. FIRST READING: Amend the City of Muskegon Code of Ordinances for an Increase in Fines for Illegal Parking. FINANCE and TREASURER • PUBLIC HEARINGS: • CITY MANAGER'S REPORT: • UNFINISHED BUSINESS: a. SECOND READING: Rezoning Request for Property Located at 1996 W. Sherman Blvd. PLANNING & ECONOMIC DEVELOPMENT • NEW BUSINESS: a. Health Care Opt Out. FINANCE b. Consideration of Bids: Sanitary Sewer Rehab (Lining}. ENGINEERING c. Ballot Wording. CITY CLERK • ANY OTHER BUSINESS: • PUBLIC PARTICIPATION: • Reminder: Individuals who would like to address the City Commission shall do the following: • Be recognized by the Chair. • Step foiward 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.) • ADJOURNMENT: ADA POLICY: THE CITY OF MUSKEGON WILL PROVIDE NECESSARY AUXILIARY AIDS AND SERVICES TO INDIVIDUALS WHO WANT TO ATTEND THE MEETING UPON TWENTY FOUR HOUR NOTICE TO THE C!TY OF MUSKEGON. PLEASE CONTACT GAIL A. KUNDINGER, CITY CLERK, 933 TERRACE STREET, MUSKEGON, Ml 49440 OR BY CALLING (231) 724-6705 OR TDD: (231) 724-4172. Date: September 9, 2003 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, August 26, 2003. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Approval of the minutes. CITY OF MUSKEGON CITY COMMISSION MEETING SEPTEMBER 9, 2003 CITY COMMISSION CHAMBERS @ 5:30 P.M. MINUTES The Regular Commission Meeting of the City of Muskegon was held at City Hall, 933 Terrace Street, Muskegon, Michigan at 5:30pm, Tuesday, September 9, 2003. Mayor Warmington opened the meeting with a prayer from Pastor Gerald Wahr of McGraft Memorial Congregational Church after which the Commission and Public recited the Pledge of Allegiance to the Flag. ROLL CALL FOR THE REGULAR COMMISSION MEETING: Present: Mayor Stephen Warmington; Vice Mayor Robert Schweifler, Commissioners Lawrence Spataro, Stephen Gawron, William Larson, and Clara Shepherd; City Manager Bryon Mazade, City Attorney John Schrier and City Clerk Gail Kundinger. 2003-73 HONORS AND AWARDS: a. "One Book". Commissioner Spataro presented the proclamation to Marty Ferriby. b. Rodney Shunta. Mayor Warmington presented the resolution to Rodney Shunta. 2003-74 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, August 26, 3003. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Approval of the minutes. b. Lighthouse Acre Application. LEISURE SERVICES SUMMARY OF REQUEST: To adopt the resolution and authorize staff to submit the application for securing the Lighthouse acre property from the Federal Government. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Approve c. Sale of Non-Buildable Lot at 1024 Albert Avenue. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: To approve the sale of a vacant non-buildable lot (Parcel #24-612-000-0538-00) at 1024 Albert Ave. to Lois Meisenheimer, 1032 Albert Ave., Muskegon, Ml 49442. Since this is a marginal lot in size and not in keeping with most other lots in the neighborhood, the Land Reutilization Committee (LRC) recommends treating it as an unbuildable lot. Approval of this sale will allow the adjacent property owner to expand her current yard. The original recommendation made by LRC was to split the lot between the two adjacent property owners. However, one of the owners withdrew their application due to concerns involving power lines intertwined in a large oak tree located on the property. FINANCIAL IMPACT: The sale of this lot will allow the property to be placed back on the City's tax rolls thus relieving the City of continued maintenance cost. BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To approve the resolution and to authorize both the Mayor and the Clerk to sign the resolution. COMMITTEE RECOMMENDATION: LRC recommended approval of the request at their August 26, 2003 meeting. d. Sale of Non-Buildable Lot at 1446 Ducey Avenue. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: To approve the sale of a vacant unbuildable lot (Parcel #24- 611-000-0447-00) at 1446 Ducey Avenue to Habitat for Humanity, owners of 1438 Ducey Avenue, Muskegon, Ml 49442. Approval of this sale will allow Habitat for Humanity to join this non-buildable lot with their current non-buildable lot and build a 1440 square foot, 3 bedroom home. This project is a partnership between Muskegon County Habitat for Humanity and the Muskegon Area Technical Training Program. This project provides instruction in construction skills for junior and senior students throughout Muskegon County and the end result is a home for a low-income Habitat family. According to their drawings, they plan to include a variable front roof line, shutters, a basement, and it will also be 'stick built'. FINANCIAL IMPACT: The sale of this lot will allow the property to be placed 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. COMMITTEE RECOMMENDATION: The Land Reutilization Committee recommended approval of this request based on the fact that the adjoining property already has a large lot at their August 26, 2003 meeting. e. Purchase of 877 Emerald. COMMUNITY & NEIGHBORHOOD SERVICES SUMMARY OF REQUEST: To approve the purchase of the property located at 877 Emerald (City of Muskegon revised Plat of 1903 Blk 204 N 40 feet lot 15) for its appraised value of 3,000 from the estate of Mr. And Mrs. James Jones. If the purchase is approved by the Commission, the CNS department will demolish the existing structure combine the lot with an adjacent parcel and build a new constructed home under the City's Infill program in the next year. FINANCIAL IMPACT: Funding for purchase and demolition will come from the City's 2003 HOME funding. BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To approve the request. f. Approval of Collection and Credit Reporting Services Contract/Agreement with Paramount Collection Services. L.L.C. TREASURER SUMMARY OF REQUEST: It has been practice to monitor the City of Muskegon outside collection and credit reporting services, however a full review had not been done in approximately five years. Upon reviewing several proposals submitted for review, it is the staff's recommendation to award the contract for collections and credit reporting services to Paramount Collection Service, L.L.C. (PCS). PCS was selected based on the complaint's ability to perform the services required and their level of professional standards. Also, PCS is owned and operated disadvantaged sub-group and is located in North Muskegon, Michigan. Because PCS is a local area business, it is anticipated the City of Muskegon will receive better customer service, enable the public to visit and make payments directly to the agency, which will have a greater insight into the local economic situations. FINANCIAL IMPACT: Staff expects the cost of the contract will be more than offset by: 1) Reduction in administrative time spent personally attending to collection matters (research, correspondence, and litigation). 2) Reduction in bad debts that are written off and improved collections due to the knowledge of debtors ("slow pays") that the City will be using a local professional third party collection/credit reporting agency. 3) Enhanced cash flow from accounts receivable. BUDGET ACTION REQUIRED: None at this time. STAFF RECOMMENDATION: Approval of the collection and credit reporting service agreement with Paramount Collection Services, L.L.C. g. Approval of Parking Ticket Services Contract/Agreement with MSB Parking Data Ticket. FINANCE and TREASURER SUMMARY OF REQUEST: In an effort to reduce costs, the City staff has explored outsourcing the administrative functions of the parking ticket system. The staff has reviewed other proposals and had determined that the best and most economical proposal was submitted by Municipal Business Services Data Ticket (MSB). FINANCIAL IMPACT: Staff expects the cost of the contract will be more than offset by: 1) Reduction in administrative staff time and costs associated with procession parking tickets, notices, and etceteras. 2) Increase in collected revenue due to the knowledge and experience of company in dealing with parking ticket debts as well as continual updates of debtor information for enhanced payment enforcement. 3) Proposed increase in fines. BUDGET ACTION REQUIRED: None at this time. STAFF RECOMMENDATION: Approval of the parking ticket services agreement with MSB Parking Data Ticket. h. FIRST READING: Amend the City of Muskegon Code of Ordinances for an Increase in Fines for Illegal Parking. FINANCE and TREASURER SUMMARY OF REQUEST: The City's parking fines were last adjusted in 2000. Recently, City staff reviewed the fine structure in light of the City's budget situation and in order to cover the cost of purchasing the new parking ticket equipment as previously presented, an increase of $2.50 per violation will be necessary to cover this investment. Also, this increase will affect the current penalty fine structure. However, this increase in the penalty fee structure is needed to reach the minimum threshold needed to place an outstanding receivable item on individuals credit report. FINANCIAL IMPACT: Once the new parking ticket equipment investment is recouped, the City will see a slight increase in parking ticket revenue. Also, an increase in the penalty structure will assist in offsetting the collection costs involved. BUDGET ACTION REQUIRED: None at this time. The 2004 budget will incorporate the projected revenues from the fine increases. STAFF RECOMMENDATION: Approval of the ordinance raising the fines for illegal parking. i. Appointment to Downtown Development Authority Board CITY CLERK SUMMARY OF REQUEST: To appoint Michael Kleaveland to the Downtown Development Authority Board. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To make the appointment. COMMITTEE RECOMMENDATION: The Community Relations Committee recommended the appointment. Motion by Commissioner Spataro, second by Commissioner Gawron to approve the consent agenda. ROLL VOTE: Ayes: Warmington, Gawron, Larson, Schweifler, Shepherd, Spataro Nays: None MOTION PASSES 2003-75 UNFINISHED BUSINESS: a. SECOND READING: Rezoning Request for Property Located at 1996 W. Sherman Blvd. PLANNING & ECONOMIC DEVELOPMENT SUMMARY OF REQUEST: Request to rezone property owned by Shermac, Inc., located at 1996 W. Sherman Blvd., from B-1, Limited Business to B-2, Convenience & Comparison. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Staff recommended denial of the request due to lack of compliance with the Master land Use Plan. COMMITTEE RECOMMENDATION: The Planning Commission recommended approval of the request at their 8/14 meeting. The vote was unanimous with T. Harryman and B. Smith absent. Motion by Commissioner Larson, second by Commissioner Shepherd to approve the request to rezone the property at 1996 W. Sherman from B-1, Limited Business to B-2, Convenience & Comparison Business. ROLL VOTE: Ayes: Larson, Schweifler, Shepherd, Warmington Nays: Gawron, Spataro MOTION PASSES 2003-76 NEW BUSINESS: a. Health Care Opt Out. FINANCE SUMMARY OF REQUEST: In response to employee suggestions, we are exploring the possibility of generating additional savings through the healthcare opt out program. Under this program employees who do not need City health coverage receive a cash payment. The City in turn saves by not having to pay premiums for the employee. This proposal is to increase the opt out payment amount from $1,300 per year to $3,000 per year provided that enough new participants enroll to make it at least a break-even proposition for the City. FINANCIAL IMPACT: Healthcare savings will depend on the number of new program participants. Eight new participants are required for the City to "break even". BUDGET ACTION REQUIRED: If enough new participants enroll in the program, budget adjustments may be needed in the departmental budgets where program participants are located. STAFF RECOMMENDATION: Authorize an increase in the annual opt out payment from the current $1,300 to $3,000 effective with the first pay period after eight new opt participants have signed up for the program. If there are not enough new participants signed up by November 1, the matter will be brought back for further consideration. Motion by Commissioner Larson, second by Commissioner Gawron to approve the health care opt out option. ROLL VOTE: Ayes: Gawron, Larson, Schweifler, Shepherd, Spataro, Warmington Nays: None MOTION PASSED b. Consideration of Bids: Sanitary Sewer Rehab (Lining). ENGINEERING SUMMARY OF REQUEST: Award the sewer lining contract, using the alternate bid of project completion by the end of November, to lnsituform Technologies out of the Detroit Area. lnsituform was the lowest responsible bidder for both, the base bid (completion by the end of September) and the alternate bid (completion by the end of November). Their bid, using the alternate, is $123, 438. FINANCIAL IMPACT: The construction cost of $123,438 plus related engineering expenses. BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Award the contract to lnsituform Technologies, Inc. Motion by Commissioner Larson, second by Commissioner Spataro to award the contract to lnsituform Technologies, Inc. ROLL VOTE: Ayes: Larson, Schweifler, Shepherd, Spataro, Warmington, Gawron Nays: None MOTION PASSES c. Ballot Wording. CITY CLERK SUMMARY OF REQUEST: To approve the ballot language for the November 4, 2003, City General Election and designation position on the ballot. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Approval. Motion by Vice Mayor Schweifler, second by Commissioner Spataro to approve the ballot language for the November 4, 2003, election and designate Archimedes Group I petition first on Ward I and Ward Ill and Charity petition first on Ward II and Ward IV. ROLL VOTE: Ayes: Schweifler, Shepherd, Spataro, Warmington, Gawron, Larson Nays: None MOTION PASSES ANY OTHER BUSINESS: Mayor Warmington presented Karen Buie with a Certificate of Public Rec ognition for her servic e as a City Commissioner. PUBLIC PARTICIPATION: Comments were heard from the public. The Regular Commission Meeting for the City of Muskegon w as adjourned at 8:07PM. Respectfully submitted, Lo.~~ Gail A. Kundinger, MMC City Clerk 2003-73(a) CITY OF MUSKEGON STATE OF MICHIGAN PROCLAMA TJON WHEREAS, the City of Muskegon pauses to honor and recognize Rodney Shunta for selflessly risking his life to rescue Jennifer Campbell from Lake Michigan on Sunday evening, the 24th day of September, 2003; and WHEREAS, a catastrophe was avoided because of the skillful and quick response to danger and knowledge of life saving demonstrated by Rodney Shunta; and WHEREAS, this courageous action in averting what could have been a tragic loss to family, friends, and community was an act of heroism which deserves special recognition by the governing body of this city; and NOW, THEREFORE, BE IT RESOLVED, that I, Steve Warmington, Mayor of the City of Muskegon, and speaking on behalf of the City Commission and citizens of Muskegon, do hereby set aside September 9, 2003, to honor Rodney Shunta for his heroism. IN WITNESS WHEREOF, I hereunto set my hand and cause the seal of the City to be affixed this 9th day of September, 2003. Stephen J. Warmington, Mayor Stephen Gawron, Commissioner Robert Schweifler, Vice Mayor William Larson, Commissioner Clara Shepherd, Commissioner Lawrence Spataro, Commissioner 2003-73(b) CITY OF MUSKEGON STATE OF MICHIGAN PROCLAMATION WHEREAS, the purpose of One Book, One County is to build community in this diverse County by encouraging individuals to share an experience, namely reading and discussing a good book; and WHEREAS, to truly celebrate diversity, we need to talk to each other and one way to do that is by reading and talking about a book; and WHEREAS, beginning October, 2003, the goal is to have people across Muskegon County reading and discussing "The Watsons Go to Birmingham - 1963"; and WHEREAS, the project activities will include: 1. Book discussion sessions will be held at all eleven public libraries, as well as within organizations and schools. 2. "Read It and Lead It" training sessions, sponsored by the Friends of Libraries organizations, will be held in three locations across the county. 3. A discussion guide prepared by library staff will be widely available. 4. A breakfast will be held on September 15, anniversary of the Birmingham bombing, to remember that event and to mark the start of the project. 5. Author Christopher Paul Curtis will make a public appearance at the Waters Center for the Performing Arts, Muskegon Heights High School, in the evening of October 14. Mr. Curtis will appear to school audiences twice on the following day. NOW, THEREFORE, BE IT RESOLVED, that I, Steve Warmington, Mayor of the City of Muskegon, and speaking on behalf of the City Commission proclaim October, 2003, as the beginning of "One Book, One County" and urge all citizens to support this effort by reading the book. IN WITNESS WHEREOF, I hereunto set my hand and cause the seal of the City to be affixed this 9th day of September, 2003. Stephen J. Warmington, Mayor Stephen Gawron, Commissioner Robert Schweifler, Vice Mayor William Larson, Commissioner Clara Shepherd, Commissioner Lawrence Spataro, Commissioner SEP-02-2003 15:39 FROM HACKLEY LIBRARY TD 7244178 P.02 One Book, One County Purpose: To build community in this diverse county by encouraging individuals to share an experience, namely reading and discussing a good book. We celebrate our diversity here in Muskegon county, but do we really cross the baniers of age, sex, class, race and income to truly engage the people we share physical space with? In order to truly celebrate diversity, we need to talk to each other. One way to do that is by reading and talking about a book. This project is a part of the Muskegon Arts and Humanities Festival. Project Qy:eniew: Our goal is to have people across Muskegon county reading and discussing "The Watsons Go to Birmingham • 1963" by Flint author Christopher Paul Curtis• in October 2003. Project Activities: I. Book discussions sessions will be held at all eleven public libraries, as well as within organizations and schools. 2. "Read It and Lead It" training sessions, sponsored by the Friends of Libraries organizations, will be held in three locations across the county. 3. A discussion guide prepared by library staff will be widely available. 4. A breakfast will be held on September 15, anniversary of the Birmingham bombing, to remember that event and to mark the start of the project. 5. Author Christopher Paul Curtis will make a public appearance at the Waters Center for the Performing Arts, Muskegon Heights High School, in the eveing October 14. Curtis will appear to school audiences twice on the following day. Project Steering Committee: Martha Feniby -Chair, Susan Kroes, Mary Southwick - Hackley Public Library Elizabeth Winsche, Michele Whittkopp - Muskegon County Library Bette Carlson - White Lake Community Library Merle Scolnik - A.A.U.W. Frances Fisher - Friends of the Library Angelyn Leaver - M.A.LS_D Phyllis Wahlberg - Muskegon Public Schools Marty Mattson - Muskegon Chronicle • 0 . . Supportmgrgamzatmns: County of Muskegon Muskegon Community College N,A.A.C.P. Friends ofHaclcley Public Library American Association of University Women Friends of White Lake Community Library Muskegon Children's Museum Friends of Norton Shores Branch Library Muskegon Arts and Humanities Festival M.A.I.S.D. Muskegon Public Schools Hackley Public Library Muskegon County Library White Lake Community Library Institute for Healing Racism Muskegon Heights Public Schools Reeths -Puffer Schools Urban League TO 7244178 P.03 SEP-02-2003 15:39 FROM HACKLEY LIBRARY One Book, One County, continued The Book and the AuthoC'* "'!he Watsons Go to Birmingham - 1963" is about a Flint, Michigan African-American family that makes a trip down to the racially divided South during the civil rights era. Christopher Paul Curtis's tale of a close-knit auto worker's family has won Corett& Scott King Award honors and is a Newberry Medal honor book, and has also been honored by the New York Times, Publishers Weekly, and the American Library Association. This book was selected because it is a story that speaks to experiences and ideas that touch and are important to Muskegon County people. Additional criteria for selecting this book included accessibility (length, reading level, style), low purchase price, wide availability in libraries and schools, availability in alternative formats such as large print and audio, and a connection to the Muskegon Arts and Humanities Festival theme of "Work and Play". This is a sad book, a funny book, and a moving book with much to discuss. "The Watsons Go to Birmingham - 1963" has wide appeal and is enjoyed from fifth graders through adults. Contrjbutiou and Support: Support is being sought from individuals, book clubs, organizations and businesses. Contributions will be acknowledged. Checks may be made payable to "Muskegon County Library. One Book, One County Project". Book Buddy $ 25 and up Reading Advocate $ 100 and up Power Reader $ 250 and up Literary Lion $ 500 and up Book Benefactor $1,000 and up )Jnderwciters; Underwriters provide major financial and in-kind support to the project. As of August 4, the list of underwriters includes: M.A.I.S.D. Muskegon Public Schools Hackley Public Library Muskegon County Library Muskegon Chronicle Fisher Family Fund - CFMC Muskegon Community College Kroes Corporation N.A.A.C.P. Muskegon County TOTAL P.03 Date: August 29, 2003 To: Honorable ~~Y~ an~ City Commissioners From: Ric Scott ',,,ttf;:r RE: lighthouse Acre Application SUMMARY OF REQUEST: To adopt the attached resolution and authorize staff to submit the application for securing the Lighthouse acre property from the Federal Government FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Approve COMMITTEE RECOMMENDATION: Affirmative Action (23 1)724-6703 FAX,: (23 1)722- 1214 tz\sl)'ffffi\J"s"lization FAX: (23 1)726-5 18 1 City Manager (2311724-6724 West Michigan's ShOl'Cline CiLy FAX: (23 1)722-12 14 Civil Service (231)724-67 16 FAX: (23 1)724-4405 Date: August 29 , 2003 To: H~norable M;Y~ ~City Commissioners Clerk (23 1)724-6705 FAX: (23 1)724-4 178 From: Ric Scott ftt'"(/z)W Community and Re: Lighthouse Acre Application ,2~N ,h.iw~ces FAX: (23 1)726-2501 The city is in the process of trying to get the Lighthouse Acre property deeded over to the City of Computer Info, Muskegon. The use for the property would be for the ,2~rn\ •ts6744 FAX: (23 1)722-4301 sanitary lift-station that currently exists there and for park purposes . ~~,\'~~t J%fept. FAX: (23 I)727-6904 Staff is requesting that you adopt the attached resolution authorizing me to proceed with the process 11mm~';ll~ and to authorize me to submit the attached application FAX: (23 1)724-6768 to proceed with the procurement process. Staff is requesting that the Federal Government give the property to the City, so there will be no financial costs to obtain the property. There will be minimal Income Tax (231)724-6770 FAX: (23 1)724-6768 maintenance costs after the property is secured , but the neighbors are currently doing most of the maintenance of 1m m~~i l 1~ viccs the property and future costs would be minimal . FAX: (23 1)728-4371 Thank you for your consideration. Leisure Services (231)724-6704 FAX: (23 1)724-1196 Planninl!!Zoning (231)724'-6702 FAX: (23 1)724-6790 h~~%\~~~l1fi Dept, FAX: (23 1)722-4 188 T reasurer' s Office (231)724-6720 FAX: (231)724-6768 n'flffi~'.~~~\ Dept. FAX: (231)724-6768 \Vnte r Filtra tion (231)724-4106 FAX: (231)755-5290 City of Muskegon, 933 Terrace Street, P..O. ~ox 536, Muskegon, MI 49443-0536 www.shorelmec1ty.com RESOLUTION NO. 2003-74(b) MUSKEGON CITY COMMISSION RESOLUTION APPROVING SUBMISSION OF APPLICATION TO THE DEPARTMENT OF HEALTH 7 HUMAN SERVICES FOR FEDERAL SURPLUS PROPERTIES (LIGHTHOUSE ACRE) WHEREAS, certain real property owned by the United States, located in the County of Muskegon, State of Michigan, has been declared surplus property and is subject to assignment for disposal for homeless or public health purposes by the Secretary of Health and Human Services under the provisions of Section 203(k)(1) of the Federal Property and Administration Services Act of 1949, as amended, and rules and regulations promulgated pursuant thereto, more particularly described as follows, Muskegon Land GSA no.: 1-U-Ml-0610: WHEREAS, The City of Muskegon needs and can utilize said property for public health purposes in accordance with the requirements of said Act and the rules and regulations promulgated thereunder of which this Board is fully informed, including commitments regarding use and time such use shall commence. NOW, THEREFORE, BE IT RESOLVED, that the City Commission of the City of Muskegon has legal authority, is willing, and is in a position financially and otherwise to assume immediate care and maintenance of the property, and that Ric Scott, the Director of Leisure Services is hereby authorized, and for and on behalf of the City of Muskegon, to do, and perform any and all acts and things which may be necessary to carry out the foregoing resolution, including the preparing, making, and filing of plans, applications, reports, and other documents: the execution, acceptance, delivery, and recordation of agreements, deeds and other instruments pertaining to the tran_sfer of said property; and the payment of any and all sums necessary on account of the purchase price thereof, including fees or costs incurred in connection with the transfer of said pr9operty for surveys, title searches, appraisals, recordation of instruments, or escrow costs, together with any payments by virtue of nonuse of deferral of use of the property. If the applicant is unable to place the property into use within the time limitation indicated below (or determines that a deferral of use should occur), it is understood that the City of Muskegon will pay to the Department the sum of 1/360 of the fair market value for each month of nonuse, beginning 12 months after the date of the deed, or 36 months where construction or major renovation is contemplated. If the application is approved, a copy of the application and standard deed will be filed with the permanent minutes of the Board. City Commission of the City of Muskegon 933 Terrace St. Muskegon, Michigan 49443 Adopted this 9th day of September, 2003 AYES: Warmington, Gawron, Larson, Schweifler, Shepherd, Spataro NAYS: None ABSENT: None I, Gail Kundinger, hereby certify that I am the City Clerk of the City of Muskegon and that the foregoing resolution is a true and correct copy of the resolution adopted by the vote of a majority of members of said City Commission present at a meeting of said Board on September 9th, 2003 at which a quorum wasyresent. L a~~ ~- Gail A, Kundinger, MMC City Clerk DEPARTMENT OF HEALTH & HUMAN SERVICES FEDERAL SURPLUS REAL PROPERTY PROGRAM APPLICATION 1. Federal Installation (A) Muskegon Land 13 80 Beach St. Muskegon, Michigan (B) GSA No.: 1-U-MI-0610 2. Identification of Applicant (A) City of Muskegon The city is a political subdivision of the State of Michigan (B) The city is a Home Rule City under the State of Michigan. The Home Rule documents and the City Charter section are attached that allow for the city to own land. (C) Ric Scott Director of Leisure Services 933 Terrace St. Muskegon,MI49443 (D) City of Muskegon 933 Terrace St. Muskegon, MI 49443 231-724-6774 (E) The Beachwood/Bluffton Neighborhood Association will continue to help maintain the property. (F) NIA 3. Description of Real Property Requested (A) The property is located in the Bluffton neighborhood of Muskegon and is approximately I acre in size. A sanitary lift station is located on the property, but the remainder of the property is vegetated with no structures on it. (B) (I) The property is zoned Open Space Recreation and the intended use of the property will have no zoning restrictions. The intended use of the property will conform to the Open Space recreation zoning designation. (2) There will be no construction of buildings on the property. (3) There will be no utilities required for the property. The water lines for irrigation are already in place. (4) There are no easements required for the property. (C) There is no real personal property associated with this property. It is a vacant piece of land except for the lift station 4. Proposed Program Brief for Property Requested (A) The City of Muskegon would continue to maintain a sanitary lift station that serves the Bluffton neighborhood, the Harbour Town Development and the Muskegon Channel area. This is the only sanitary line servicing these areas. Approximately 140 homes are services by this line. The city will also maintain the remainder of the property as a park for neighborhood use and beatification. (B) The use is simply for a sanitary lift station that already exists and is servicing the northwest end of the city. The cost to remove and replace this line to another location would be approximately $200,000, assuming another location could be found. This cost does not include real estate costs. This would be cost prohibitive. (C) The City of Muskegon has a sewer department that manages the sanitary system throughout the city and has for decades. The City Engineer oversees the design and construction of the sewer systems including the lift stations throughout the city. The city has over 170 miles of sewers and 23 lift stations throughout the community. The engineering department has 8 full-time employees and the sewer department has 14 full-time employees. The existing lift station has been on this property since 1946 and was reconstructed in 1985. (D) The need is that the city only recently discovered that the property was not owned by the city. (E) NIA (F) The City of Muskegon owns a lot of real estate throughout the City. There is a park across the street from this property. The city made the determination over 50 years ago that the location for the lift station was best suited for this property. The City Assessor's records showed that this property was owned by the city. No Federal agency has ever claimed ownership of the property until city staff did a title search on the property and discovered the Federal ownership. 5. Physical Layout, Plans, and Cost Estimates (A) The property is suitable for this use, as it has been used for this purpose for many years. (B) A project map is attached. There will be no additional improvements other than some underground irrigation systems. (C) The use of the property will be for the sanitary sewer lift station and associated piping. The remainder of the property will be utilized for park purposes. There is no cost to prepare the property for full utilization. It is currently being fully utilized for these purposes. I). There are no buildings on the property. There is only a sanitary lift station. 2). There will be no new facilities built 3). The one-acre site will be used as a park except the area immediately adjacent to the lift station. Further, it is the city's intent to make this a charter park once the property is deeded to the city. A charter park is park property that can't be sold or used for other than park purposes without a vote of the residents of Muskegon. 6. Ability to Finance and Operate (A) The City of Muskegon is currently funding the lift station through the Sewer Fund of the City of Muskegon. The annual budget for sewers is $3.5 million, which comes from revenues. The maintenance of the park area will be done within the existing Parks budget of the City of Muskegon. The Parks budget is over $1.2 million and over 700 acres of land is currently being maintained through the Parks Budget. No additional monies are needed to maintain and operate this property. (B) No major renovations or construction is planned for this property. 7. Local Government Notification We are the local government who manages the water, sewer, police, and fire protection. 8. Applicant Certification Signed Certification attached. 9. Governing Board Resolution Governing Board resolution attached 10. Environmental Compliance Environmental Questionnaire attached Attachment A - Applicant Certification (A) The applicant certifies that it will comply with section 606 of the Federal Property and Administrative Services Act of 1949; the Fair Housing Act (42 U.S.C. § 3601-19) and implementing regulations; and as applicable, Executive Order 11063 (Equal Opportunity in Housing) and implementing regulations; Title VI of the Civil Rights Act of 1964 (42 U.S.C. § 2000d to d-4) (Nondiscrimination in Federally Assisted Programs) and implementing regulations; Title IX of the Education Amendments of 1972 (20 U .S.C. § 168 l) and implementing regulations; the prohibitions against discrimination on the basis of age under the Age Discrimination Act of 1975 (42 U.S.C. § 6101-07) and implementing regulations; and the prohibitions against otherwise qualified individuals with handicaps under Section 504 of the Rehabilitation Act of 1973 (29 U.S.C. § 794) and implementing regulations and the Uniform Federal Accessibility Standards (UFAS), 41 CFR Subpart 101-19.6, Appendix A. The applicant will not discriminate on the basis of race, color, national origin, religion, sex, age, familial status, disability or handicap in the use of the property, and will maintain the records required to demonstrate compliance with Federal laws. (B) The applicant agrees for itself, its successors and assigns, that it shall cause any conveyed improvements to be insured against loss, damage, or destruction. If any such loss, damage, or destruction shall occur during the period grantee holds title to said property subject to said conditions l through 5, said insurance and all monies shall be held in trust by the grantee, its successors or assigns, and shall be promptly used by the grantee for the purpose of repairing such improvements and restoring the same to their former condition and use or for the purpose of replacing said improvements with equivalent or more suitable improvements or, if not so used, the grantee shall cause to be paid over to the Treasurer of the United States that part of the insurance proceeds that is attributable to the Government's residual interest in the property lost, damaged, or destroyed, determined on the basis of the fair market value of the facilities at the time of the loss, damage, or destruction. (Cl The applicant covenants and agrees for itself, and its successors and assigns that in the event the grantor exercises its option to revert all right, title, and interest in the property, to the granter, or the grantee voluntarily returns title to the property in lieu of a reverter, then the grantee shall provide protection to and maintenance of the property at all times until such time as the title reverts to and is accepted by the grantor. Such protection and maintenance shall, at a minimum, conform to the standards prescribed by the General Services Administration in its regulations FPMR 101-47.4913 (41 CFR 101) in effect as of the date of the deed, a copy of which is attached (Attachment D) to the application. (Title) _ _.;:Ma""-J'-"o'-"r_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __ - -o=---_·:i_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ __ (Date) _ _-'8'-----"-A'-'d__ 9 j - .) ·- . ', ! ,. ~ . \ ''l N .. "' "' ', • • ., 0 '"> " " HILL '" ~ ! .., 0) r-:... ~ ;!f >' < :e"' "' ~I ;J NE SON ..... .,. 2 ::,. •. ·, Commission Meeting Date: September 9, 2003 Date: September 2, 2003 To: Honorable Mayor and City Commissioners From: Planning & Economic Development RE: Sale of Non-Buildable Lot at 1024 Albert Avenue SUMMARY OF REQUEST: To approve the sale of a vacant non-buildable lot (Parcel #24-612-000-0538-00) at 1024 Albert Avenue to Lois Meisenheimer, 1032 Albert Avenue, Muskegon, Ml 49442 Since this is a marginal lot in size and not in keeping with most other lots in the neighborhood, the Land Reutilizatioin Committee (LRC) recommends treating it as an unbuildable lot. Approval of this sale will allow the adjacent property owner to expand her current yard (see attached map). The original recommendation made by LRC was to split the lot between the two adjacent property owners. However, one of the owners withdrew their application due to concerns involving power lines intertwined in a large oak tree located on the property. FINANCIAL IMPACT: The sale of this lot will allow the property to be placed 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 the resolution. COMMITTEE RECOMMENDATION: LRC recommended approval of the request at their August 26, 2003 meeting. 9/2/2003 CERTIFICATION This resolution was adopted at a regular meeting of the City Commission, held on September 9, 2003. The meeting was properly held and noticed pursuant to the Open Meetings Act of the State of Michigan, Act 267 of the Public Acts of 1976. CITY OF MUSKEGON By Gail A. Kundinger, MMC Clerk aJ_--_-.,-J •"'-1 Sfill!Je _ _ _ r________ ,,~-------- i l ~--- - C - C"' ~ :;1' --..~J -.m ____ .:5 : : ~ - ~ ] __ 7Tu.- -., ---•~ j -,,.,- - •.. ··1 ~~Q) "aj ::a ------~-l ···- -,.m- "' ' ~ ~ ; --- .c<( ___ ---(/) . ' _ ___ Ct:: -- --~-J W ' ::_-_ - - -- - '-~ .8 - - - ' -- - - j s -- - -1 .lll - ;,-_--______ ;:,___ J~ ·s~ --- ir ==-- --------1> 0 - '___ > ~N - - <( ------j _ ---l ,- -- ---~ ,::_-=_--- -- ii- -~r-,---- ~ ,- - - _l>J_ - ' -iK1 . a ___ -,, __ 0 l. ~tt,· -..,ru - ; -- - i g --- ttf l ~-~tNE>V-- - " ' . ·:~ .: . 1· r°'r"·-i- ---,... ----j -•.It! - I _ _ £ilit.L - - - - - m..:, __ -- _m_ J ! __tl~f_ UlL _j_ - , ' j - -'= - -- -- -- - -.tS':1.=!~\ii:'.>~\tV\1- - _I JOlH81 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 LOIS MEISENHEIMER, of 1032 Albert Avenue, Muskegon, Michigan 49442, the following described premises situated in the City of Muskegon, County of Muskegon, State of Michigan, to wit: CITY OF MUSKEGON URBAN RENEWAL PLAT NO. 3, Lot 538 for the sum of: One Hundred ($ I 00) Dollars PROVIDED, HOWEVER, If the Grantee or adjoining property owner loses the adjoining property due to foreclosure or non-payment of taxes, the non-buildable lot shall revert to the Grantor. At that point in time when any lien covers both parcels or there are not liens on either parcel, the property owner may request and the Grantor shall agree to waive and terminate the reverter clause. This deed is exempt from real estate transfer tax pursuant to the provisions of MCLA 207.505(h)(i) and MCLA 207.526 Sec. 6(h)(i). Dated this o?r/,A day of .S,~o(,eJJ1b cc , 200.,L_. 7 Signed in the presence of: i~ Cmcl'.A •/ A [ utu ~ . STA TE OF MICHIGAN COUNTY OF MUSKEGON The foregoing instrument was acknowledged before me this day of c, <' ~ Jt;';.A , 2003, by STEPHEN J. WARMINGTON and GAIL A. KUNDINGER, MMC, the Mayor a a Clerk, respectively, of the CITY OF MUSKEGON, a municipal corporation, on behalf of the City. PREPARED BY: John C. Schrier zrx'~ d>- ;!:l!t,t 'irut2,/4,tfN-- , Notary Public Parmenter O'Toole Muskegon County, Michigan 175 W. Apple Avenue/P.O. Box 786 My Comm. Expires: ;i'-.,l.:,--O & Muskegon, Ml49443-0786 Telephone: 231/722-1621 WHEN RECORDED RETURN TO: Grantee SEND SUBSEQUENT TAX BILLS TO: Grantee C:\DOCUME-1\anguilm\LOCALS-1\Temp\841449.00C Commission Meeting Date: September 9, 2003 Date: September 2, 2003 To: Honorable Mayor and City Commissioners From: Planning & Economic Development e_jb(.; RE: Sale of Unbuildable Lot at 1446 Ducey Avenue SUMMARY OF REQUEST: To approve the sale of a vacant unbuildable lot (Parcel #24-611-000-0447-00) at 1446 Ducey Avenue to Habitat for Humanity, owners of 1438 Ducey Avenue, Muskegon, Ml 49442. Approval of this sale will allow Habitat for Humanity to join this non-buildable lot with their current non-buildable lot and build a 1440 square foot, 3 bedroom home (see attached map). This project is a partnership between Muskegon County Habitat for Humanity and the Muskegon Area Technical Training Program. This project provides instruction in construction skills for junior and senior students throughout Muskegon County and the end result is a home for a low-income Habitat family. According to their drawings, they plan to include a variable front roof line, shutters, a basement, and it will also be 'stick built'. FINANCIAL IMPACT: The sale of this lot will allow the property to be placed 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 the resolution. COMMITTEE RECOMMENDATION: The Land Reutilization Committee (LRC) recommended approval of this request based on the fact that the adjoining property already has a large lot at their August 26, 2003 meeting. 9/2/2003 CITY OF MUSKEGON RESOLUTION #2003- 74 (a) RESOLUTION APPROVING THE SALE OF A CITY-OWNED NON-BUILDABLE LOT WHEREAS, the City of Muskegon has received $100 from Habitat for Humanity, owner of 1438 Ducey, Muskegon, MI 49442 for the purchase of a vacant, City-owned lot located adjacent to their prope11y at 1446 Ducey (parcel #24-611-000-0447-00); WHEREAS, this lot is considered non-buildable under the City's Zoning Ordinance; WHEREAS, the sale would enable the City to place this property back on the tax rolls; and would relieve the City of fmiher maintenance; WHEREAS, the sale of this property would be in accordance with property disposition goals and special recommendation of the Land Reutilization Committee (LRC); NOW, THEREFORE BE IT RESOLVED, CITY OF MUSKEGON URBAN RENEWAL PLAT NO 2 LOT 447 be sold to Habitat for Humanity for $100. Resolution adopted this 9th day of September, 2003. Ayes: Warmington, Gawron, Larson, Schweifler, Shepherd, Spataro Nays: None Absent: None Gail A. Kundinger, MMC City Clerk CERTIFICATION This resolution was adopted at a regular meeting of the City Commission, held on September 9, 2003. The meeting was properly held and noticed pursuant to the Open Meetings Act of the State of Michigan, Act 267 of the Public Acts of 1976. CITY OF MUSKEGON By La_L . Gail A. Kundinger, MMC ~ City Clerk _______ ,, __' ' -,..,,--- --·=-- - ' -'~ - - -- ' --- rr._ --, ---' ' ---- ·----- ' ' r - _. -- ' '" - - ~ J 1.1_,_ "' --,"'>,r ,_ --,in, - - --1,,---- -,,,- -'"'-"-'- -'"ill- ' ..1..."'-l!L ___ ---1!'~-- - _lli:,S_ 1-=~!~~j _J_'2 -~ '~]:.1 seO~oM;oe l~~i ~~ QUIT-CLAIM DEED KNOW ALL MEN BY THESE PRESENTS: That the CITY OF MUSKEGON, a municipal corporation, of 93 3 Terrace Street, Muskegon, Michigan 49440, QUIT CLAIMS to MUSKEGON COUNTY HABITAT FOR HUMANITY, a Michigan Non-Profit Corporation, of 1330 Fifth Street, Muskegon, Michigan 49441, the following described premises situated in the City of Muskegon, County of Muskegon, State of Michigan, to wit: CITY OF MUSKEGON URBAN RENEWAL PLAT NO. 2, Lot 447 for the sum of: One Hundred ($ I 00) Dollars PROVIDED, HOWEVER, lfthe Grantee or adjoining property owner loses the adjoining property due to foreclosure or non-payment of taxes, the non-buildable lot shall revert to the Grantor. At that point in time when any lien covers both parcels or there are not liens on either parcel, the property owner may request and the Grantor shall agree to waive and terminate the reverter clause. 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 ,5 ,~,,fem h ,,r , 200_,l_. Signed in the presence of: d ·,,., ~11,C(.,q J'dv,_ ./- IC~ STATE OF MICHIGAN COUNTY OF MUSKEGON The foregoing instrument was acknowledged before me this JV1/, day of Se·a I,: ,,1 ,1 ,,,,. , 2003, by STEPHEN J. WARMINGTON and GAIL A. KUNDINGER, MMC, the Mayor and Clerk, respectively, of the CITY OF MUSKEGON, a municipal corporation, on behalf of the City. PREPARED BY: John C. Schrier ,Y/a,.idt:1 JJ , ~ L,i1tle; ..S, ~ff<";~, Notary Public Parmenter O'Toole Muskegon County, Michigan 175 W. Apple Avenue/P.O. Box 786 My Comm. Expires: 1 · .:;J 5-- 0 C, Muskegon, MI49443-0786 Telephone: 23 I /722-1621 WHEN RECORDED RETURN TO: Grantee SEND SUBSEQUENT TAX BILLS TO: Grantee C:\DOCUME-1\anguilm\LOCALS~1\Temp\B41449.DOC Commission Meeting Date: September 9, 2003 Date: September 2003 To: Honorable Mayor City Cominission From: Conmnn1nity and Neighborhood Services Department RE: Purchase of 877 Emerald SUMMARY OF REQUEST: To approve the purchase of tr1e property located at 877 Emerald (City of Mus!Effective Date q, l..:2..-0~ Effective Date PARAMOUNT COLLECTION SERVICES ~, L.L-D:> Kirstin D Maio - Paramount ollection Service LLC Effective Date Collection Manager 4 COLLECTIONS SERVICES BID TABULATION May 1, 2003 PARAMOUNT COLLECTION NATIONAL ASSOCIAftON OF Contractor CBC:S, INC. PROFESSIONAL COLLECTION SERVICES, LLC CREDIT MANAGEMENT & CREDIT REFIORTING SERVICES INC. TARGET Address 307CENTER 4764 E. FULTON sr STE 101 20AO W. WISCONSIN AVE 3959 CLAY AVE SW City/St MlJSKEGON, Ml GRAND RAPIDS, Ml MILWAUKE:E WI WYOMING Ml UNIT UNIT DESCRIPTION QUANTIT UNIT PRICE UNIT PRICE UNIT PRICE UNIT PRICE PRICE 1 PRE COLLECTION LETTERS 1 EACH $1.00 $2.00 $2.00 $2.50 $1.00 2 FULL COLLECTIONS PERCENTAGE 1 EACH 30% 28% 25% 30% 30% NOT ADDRESSE 3 LEGAL CASE PERCENTAGES 1 EACH 35% 40% ..-' 25% D 30% COSTS+ COSTS+ ATTORNEY ATTORNEY ADDRESSE 4 ADDITIONAL LEGAL FEES 1 EACH NONE FEES FEES D NONE 25%+ NOT NOT THIRD ADDRESSE 5 OUT OF STATE REFERAL PERCENTAGES 1 EACH 40% ADDRESSED PARTY D 0% TRANS NOT TRANS UNION - EXPERIAN- UNION-NO ADDRESSE 6 CREDIT REPORTING 1 NO COST NO COST EACH COST D NO COST 7 ON-LINE ACCESS 1 EACH YES NO YES YES YES 8 MONTHLY BILLING 1 EACH YES YES YES YES YES Date: August 29, 2003 To: Honorable Mayor and City Commissioners From: Finance Director and/or City Treasurer RE: Approval of Parking Ticket Se1vices Contract/Agreement with MSB Parking Data Ticket, Newport Beach, California SUMMARY OF REQUEST: In an effort to reduce costs, the city staff has explored outsourcing the administrative functions of the parking ticket system. The staff has reviewed other proposals and had determined that the best and most economical proposal was submitted by Municipal Business Services Data Ticket (MSB). FINANCIAL IMPACT: Staff expects that the cost of the contract will be more than offset by: I) Reduction in administrative staff time and costs associated with processing parking tickets, notices, and etceteras. 2) Increase in collected revenue due to the knowledge and experience of company in dealing with parking ticket debts as well as continual updates of debtor information for enhanced payment enforcement. 3) Proposed increase in fines. BUDGET ACTION REQUIRED: Not at this time. STAFF RECOMMENDATION: Approval of the parking ticket services agreement with MSB Parking Data Ticket. COMMITTEE RECOMMENDATION: The Committee of the Whole will meet on Monday, September 8"' to further discuss this item. Date: August 29, 2003 To: Honorable Mayor and City Commissioners From: Revenue Collections Administrator RE: Background information on the parking ticket proposal submitted by MSB Parking Data Ticket Reason for Search The current parking ticket system has been in place since the 1980' s. The system is DOS based and is not compatible with current technologies. Also of great concern, there is no longer software support for the current system. The handheld unit is also of the same era, while it is still functional, the maintenance agreement on the current handheld is costly and will no longer be supported by the manufacturer. Search and Criteria City staff began research to replace the current hardware and software as well as reduce operating costs involved with the processing and various other functions of the current parking ticket system. City staff researched companies that were able to provide the following: 1) Handheld ticket writing system with wireless capabilities 2) Provide parking ticket management software system at a minimal cost. 3) Provide software that is compatible with the City's current computer technology. 4) Ability to process payments by mail, Internet, or payments made at our location. 5) Ability to obtain license registration information 6) Provide collection services specializing in parking ticket debts 7) Provide superior customer service to the City staff and our citizens. 8) Provide these and other services/products at or under $2.00 per ticket. Results Only two companies within the United States provided these particular and unique services within the guidelines the staff has set. It was unfortunate that there were no companies within Michigan that provided these particular and unique services. Upon reviewing the only two companies that had presented a proposal, the city staff has made the decision to recommend MSB Parking Data Ticket located in Newport Beach, California (MSB). Costs of the Proposed Ticket System MSB has proposed to provide a handheld ticket-writing device, thermo-imaging printer, carrying case, and the ticket writing and management software for a cost of$3,373.00. The cost of the custom designed, water-resistant ticket paper and envelopes is $3,273.00 for the first 18,000 tickets. This supply is expected to last for three years and six months at a rate of 5,000 tickets written annually. The City also saves money with this system, as the company will provide all software support, maintenance, software updates, and provide the server which will house the City's data at their location. City Information Services staff will not have to expend any time or resources to maintain the proposed system, nor will the City have to expend any funds to purchase any additional hardware. There is a monthly fee of $50 for maintenance and user ID's and passwords to the system. Also, there is a cost of $1,199.00 for on-site training and system transition support. MBS will also provide payment processing, public inquires, updating license/registration information, noticing, and collection services. MSB will provide these services at the cost of$1.23 per ticket, 62 cents per additional notice following the first notice, and 32% of collected revenue on delinquent accounts (collections). Total first year cost is $10,245.00. As a comparison, it has been estimated that it would cost $67,755 for the hardware and software to perform an in-house operation. This estimate does not include personnel time needed to maintain the system or the additional personnel needed to perform the administrative functions. By outsourcing to MSB, the City will save well over $57,000 than providing for this service in-house. Conclusion The services and the cost of the proposed parking ticket system presented by MSB Parking Data Ticket is best choice economically and administratively to continue the parking enforcement system. 2003-74(g) AGREEMENT FOR PROCESSING PARKING CITATIONS AND REVENUE COLLECTION This Agreement is made and entered into, in duplicate originals, between Data Ticket, Inc. dba Municipal Services Bureau, Parking 4600 Campus Drive, Suite 200 Newport Beach, California 92660 (hereinafter sometimes referred to as "COMPANY") AND THE CITY OF MUSKEGON, MICHIGAN 933 Terrace Street Muskegon, Michigan 49440 (hereinafter sometimes referred to as "PUBLIC ENTITY"), is made and entered into as of this 2- day of Sept•, 2003. The parties intend by this Agreement to provide for the processing of fines, bail and forfeiture thereof, in connection with the issuance of citations for illegal parking pursuant to the laws of the State of Michigan. ARTICI E I • CITATION PROCESSING 1.1 Referral and Reconciliation- COMPANY shall receive and process parking citations, which COMPANY shall receive from PUBLIC ENTITY. COMPANY will provide a reconciliation of the number of citations received from PUBLIC ENTITY. 1.? Determination of Processable Citations: COMPANY shall screen the parking citations referred to it by PUBLIC ENTITY to determine if the citation is processable. If the citation is determined by COMPANY to be unprocessable (e.g., essential processing information is missing), COMPANY shall return the citation to PUBLIC ENTITY within seven (7) days of receipt, by COMPANY'S office, for clarification. COMPANY will be paid the contractual rate hereinafter provided, for citations properly returned to the PUBLIC ENTITY as unprocessable. C:\Documents and Settings\marjorie.fleming\Local Settings\Temporary Internet Files\OLKlF\Parking Ticket Services Contract 4.doc Page 1 of 13 1.~ Collection and Deposit of Fqnds: A "direct deposit" system shall be employed for all funds received in payment of citations. The PUBLIC ENTITY and the COMPANY shall jointly own the account and deposits shall be made directly into the account by the COMPANY for the collecting PUBLIC ENTITY. The COMPANY will provide all bank reconciliation, cut checks and provide monthly management reports for the PUBLIC ENTITY for services rendered. 1.4 Identification of Registered Vehicle Owners· COMPANY shall exert best efforts and attempt to obtain the name and address of the registered vehicle owner from the Secretary of State ("SOS") for each vehicle for which a parking citation has been issued but payment for which has not been received within the required time period. COMPANY shall follow all procedures specified by the SOS, and be consistent with the Motor Vehicle Code when identifying registered vehicle owners. 1.fi Verification of Ownership· COMPANY will take reasonable measures to identify and verify registered vehicle owners. Such measures will take into consideration factors such as issuance of new license plates; address changes; license plate transfers to other vehicles; name changes; and the validity of plates and registration during specific time periods applicable to individual cases. 1.R Delinq1Jency Notices· In accordance with State law, COMPANY will generate and mail (presorted, first-class postage), a delinquency notice to all identified registered owners of vehicles who fail to pay their parking citation fines or to post bail in the required manner. The mailed notice will include all information required by State Law, including, but not limited to, the following: a) The parking citation issuance date and number; b) The consequences of nonpayment (i.e., a hold on the vehicle registration and the imposition of penalties, towing; and c) The amount of fines and fees due and payable. d) Affidavit of Non-Ownership 1. 7 SOS Holds: If requested and available pursuant to laws of the State of Michigan, the COMPANY will provide the system and procedures and will interface with the SOS C:\Documents and Settings\marjorie.fleming\Local Settings\Temporary Internet Files\OLKlF\Parking Ticket Services Contract 4.doc Page 2 of 13 to place a hold for unpaid parking fines and fees due against those vehicles in accordance with the Motor Vehicle Code and any other applicable State and local laws. The notification will be given within a reasonable period of time after issuance of all delinquency notices. The period of time will not exceed the time limits provided by state law. 1.8 Removal of Registration Holds: If applicable, COMPANY will provide the system and procedures and will interface with the State Department of Motor Vehicles to remove registration holds when a registered vehicle owner satisfies the entire amount of parking citation fines, penalties, and fees due against the vehicle and establishes such payment to the satisfaction of the PUBLIC ENTITY and the COMPANY. 1.9 Contested Citations- In the event a registered vehicle owner disputes the liability for the outstanding parking citation, COMPANY will advise the registered vehicle owner of his/her right to request an administrative review/hearing/court appearance. All contested citations will be forwarded to the PUBLIC ENTITY for appropriate adjudication within the prescribed time period so that the matter can be adjudicated pursuant to Michigan law. 1.1 O Citations Disposed of by Hearing/Court: The COMPANY may be required, as a result of court action, to reduce or cancel, on an individual basis, parking citations which have been referred to it. COMPANY shall be paid the contractual rate hereinafter provided for processing the citation regardless of the outcome of court action. COMPANY will maintain records indicating any reduction or cancellations of parking citations as a result of hearing/court action. Parking citations which are dismissed as a result of hearing/court action, will have the dismissal processed by the COMPANY promptly after receipt from the Hearing/Court. 1.11 Suspension of Processing· COMPANY will suspend processing on any citation referred to it for processing upon written notice to do so by an authorized officer( s) of the PUBLIC ENTITY. COMPANY will promptly return any citation or facsimile properly requested by the PUBLIC ENTITY. COMPANY will maintain records indicating any suspension of citation as a result of PUBLIC ENTITY'S request. COMPANY shall be paid the contractual rate hereinafter provided for processing the citations suspended by the PUBLIC ENTITY. 1.12 Payments by 11 S Mail: The postmark date will be the criteria to establish any delinquent fees due. C:\Documents and Settings\marjorie.fleming\Local Settings\Temporary Internet Files\OLKlF\Parking Ticket Services Contract 4.doc Page 3 of 13 1.13 Parking Citation System Master File I Jpdate: COMPANY will regularly update the parking citation master file for new citations, payments, reductions, cancellations, dismissals and any other pertinent data. ARTICI E II - PAYMENT PROCESSING 2.1 Disposition Processing: COMPANY will maintain all citation dispositions for a minimum of one ( 1) year. Closed citations will remain on-line for at least one ( 1) year, for research and statistical purposes. 2.2 Payments Processing· COMPANY shall process citation payments on a regular basis. Payments shall be immediately posted in one (1) of three (3) following categories: a) "Regular Payments" are citations with the correct fine and/or penalty, paid on or before the due date. (This includes payments properly complying with prior Notices-of-Intent). b) "Partial Payments" are citations paid after the due date or if the defendant has paid less than the amount of the fine and/or penalty due. A Notice-of-Intent or a printed form will advise defendant of incorrect late charges and/or fines. c) "Court/Hearing Requests" are all requests for administrative/court hearings by defendants. These requests are sorted so that fines submitted are immediately posted, and if needed the original citations are retrieved. 2.3 Miscellanernis I etters Processing: COMPANY will receive and review all miscellaneous correspondence. These are generally letters requesting refunds, voids, or otherwise setting forth complaints. These letters will be researched by COMPANY for proper follow-up either by PUBLIC ENTITY or by COMPANY. 2.4 Batching Proced1l[es: COMPANY shall maintain an effective method of internal control procedures. Such procedures shall involve reconciliation of all payments received using generally accepted accounting principles. After proper reconciliation, deposit slips shall be prepared for and deposits made at the appropriate bank, including an itemized listing of all batch numbers included in the deposit. The batch of citations payment documentation shall then be stored in a file room, for a period of one C:\Documents and Settings\marjorie.fleming\Local Settings\Temporary Internet Files\OLKlF\Parking Ticket Services Contract 4.doc Page 4 of 13 (1) year. 2.5 Cash Payments: COMPANY shall maintain an effective method of handling cash payments. All cash received through the mail, shall be logged in a cash journal. Thereafter, effective internal control procedures shall be implemented to reconcile such payments, using generally accepted accounting principles. 2.8 Deposits· All deposits shall be made daily, subject to regular banking hours. Deposits shall be itemized and detailed information will be captured regarding submitted funds. Deposit slips shall be prepared in triplicate, allowing one (1) copy for the PUBLIC ENTITY and one (1) copy for the COMPANY. All deposits shall be directly deposited into a joint account held in the name of the PUBLIC ENTITY and the COMPANY. Funds will be transferred via ACH on a monthly basis to PUBLIC ENTITY'S bank account in Michigan. All bank charges will be paid by the PUBLIC ENTITY. 2.7 Reve • 11e Report: A monthly revenue report will list all revenues received during the preceding month. ARIICI E Ill - GENERAi 3.1 Pt 1hlic Inquiries- The COMPANY will respond to reasonable inquiry by telephone or letter of a nonjudicial nature. Inquiries of a judicial nature will be referred to the PUBLIC ENTITY for determination. 3.7 COMPANY I imitations: COMPANY will not take legal action or threaten legal action in any specific case without PUBLIC ENTITY'S prior approval. 3.3 Ilse of Approved Forms· PUBLIC ENTITY shall have the right to reasonable approval of all forms, delinquency notices, and correspondence sent by the COMPANY. These must conform to State and local law. 3.4 Books and Records· COMPANY will maintain adequate books or records for parking citations issued within the PUBLIC ENTITY'S jurisdiction and referred to COMPANY for processing. Such books or records, and related computer processing data, shall be available for reasonable inspection and audit by PUBLIC ENTITY at the COMPANY'S location at reasonable times upon forty-eight hours' prior notice to COMPANY. C:\Documents and Settings\marjorie.fleming\Local Settings\Temporary Internet Files\OLKlF\Parking Ticket Services Contract 4.doc fage 5 of 13 3.5 Ownership: COMPANY and PUBLIC ENTITY shall maintain co-ownership of the raw data. Raw Data is the data provided by PUBLIC ENTITY to COMPANY to engage in the agreed upon contractual service(s). The raw data will only be used for the completion of the agreed upon services. Company is not allowed to sell, use or distribute the raw data to a third party without prior consent from the PUBLIC ENTITY. 3.6 PUBLIC ENTITY will have right to use, copy, duplicate, retain, store, and publish for public information, including but not limited to, all reports, report information, statistical data, financial data, citation data, and all other tangible end product data; which shall be know collectively as the "Materials". a) All documents, records and tapes supplied by PUBLIC ENTITY to COMPANY in performance of this contract are agreed to be and shall remain the sole property of PUBLIC ENTITY. COMPANY agrees to return same promptly to PUBLIC ENTITY no later than forty-five (45) days following notice to the COMPANY. The PUBLIC ENTITY shall make arrangements with COMPANY for the transmission of such data to the PUBLIC ENTITY upon payment to COMPANY of the cost of copy and delivery of such tape from COMPANY'S computer facilities to PUBLIC ENTITY'S designated point of delivery, plus any open invoices. 3. 7 COMPANY will retain full ownership rights to source codes, software, computer programs, including but not limited to computer tapes, discs or files furnished or prepared by the COMPANY or its subcontractor the sole property of COMPANY, all computer software and systems, related automated and manual procedures, instructions, computer programs, and data storage media containing same, and written procedures performed hereunder (collectively known as the "System") are and shall remain exclusively the sole property of COMPANY, and the PUBLIC ENTITY shall acquire no right or title to said Systems. 3.8 Confidentiality· In order to enable COMPANY to carry out its work hereunder, to some extent it will have to impart to the PUBLIC ENTITY'S employees information contained in the Materials and Systems (collectively the "CONFIDENTIAL DATA"). The PUBLIC ENTITY agrees that information contained in the data that was marked in writing as "CONFIDENTIAL", "PROPRIETARY" or similarly, so as to give notice of its confidential nature, when submitted to the PUBLIC ENTITY by COMPANY shall be retained by PUBLIC ENTITY in the strictest confidence and shall not be used or disclosed in any form except in accordance with paragraph 3.9 hereinbelow. The C:\Documents and Settings\marjorie.fleming\Local Settings\Temporary Internet Files\OLKlF\Parking Ticket Services Contract 4.doc Page_ 6 of13 PUBLIC AGENCY recognizes that irreparable harm could be occasioned to COMPANY by disclosure of CONFIDENTIAL DATA, which is related to its business, and that COMPANY may accordingly seek to protect such CONFIDENTIAL DATA by enjoining disclosure. 3. 9 Consent For Qisclosme- No report, information, data, files, or tapes furnished or prepared by COMPANY or its subcontractors, successors, officers, employees, servants, or agents shall be made available to any individual or organization without the prior written approval of PUBLIC ENTITY other than individuals or organization who are deemed reasonable and necessary to properly effectuate the terms and conditions of this agreement, except that such information may be disclosed by PUBLIC ENTITY without prior written consent in response to valid court order or Freedom of Information Act request. This Non-Disclosure obligation shall survive the Termination of this Agreement. 3.1 O COMPANY Files: COMPANY shall maintain master files on parking citations referred to it for processing under this Agreement. Such files will contain records of payments, dispositions, and any other pertinent information required to provide a reasonable audit trai I. 3.11 Storage for Pl IBI IC ENTITY· COMPANY agrees to store original citations for three (3) years, at which time they will be returned to PUBLIC ENTITY. a) COMPANY will have such information available on system or magnetic tape or disk for PUBLIC ENTITY'S parking citations for a reasonable time period to permit PUBLIC ENTITY retrieval of such information. b) PUBLIC ENTITY relieves COMPANY of all liability costs associated with data released by PUBLIC ENTITY to any other person or entity using such data. c) Subsequent to the termination of the contract, COMPANY will return hard copy to the PUBLIC ENTITY. If requested, a diskette or CD of its processed data will be provided to PUBLIC ENTITY for a fee of actual costs of personnel time, materials, and shipping. A magnetic tape can also be provided for a fee of seventy-five Dollars ($75.00) per magnetic tape and includes personnel time. C:\Documents and Settings\marjorie.fleming\Local Settings\Temporary Internet Files\OLKlF\Parking Ticket Services Contract 4.doc Page 7 of 13 ARTICI E IV - CONTRACT PRICE 4.1 Basis for Eee Strnct1J[ff The fee structure hereinafter provided shall be based on the combined parking citation volume. 4.? Basis of Fee Computation: The fee due and payable to COMPANY will be computed on a per parking citation basis and will be based on the issuance date of the citation. Each parking citation assigned to COMPANY for processing shall be utilized in computing the base for the total fee. FOR All FEES, PLEASE REFER TO ATTACHMENT "A" - FEE SCHEDULE. 4.::l Postal Rate Increase- The COMPANY will maintain auditable records to document the COMPANY'S actual postage costs associated with the mailing of delinquency notices for unpaid citations and for other mailings related to the processing of correspondence. If there is a postal increase, that increase will be invoiced effective on the date that the postal rate increase takes place. ARTICI EV - REPORTS 5.1 Dail\r Reports· COMPANY shall make available to PUBLIC ENTITY via Internet access daily reports for statistical data, payment(s), citation activity, and all other tangible daily activity reports deemed necessary by PUBLIC ENTITY on each business day. 5.? Periodic Reports· COMPANY will submit reports to PUBLIC ENTITY no later than the 25th of each month following the activity. The reports will document activities relating to performance under this Agreement. Among the reports which COMPANY may/will generate are the following: a) Report of Revenue Collected for Period b) Report for Parking Citations Issued for Period c) A balanced summary report for issuing PUBLIC ENTITY, providing the status of all parking citations at the beginning of the period, current period activity, and at the end of the period. d) A report for issuing Agency identifying registered vehicle owners with multiple outstanding parking citations. e) A report for issuing Agency identifying the parking citations issued, location, C:\Documents and Settings\marjorie.fleming\Local Settings\Temporary Internet Files\OLKlF\Parking Ticket Services Contract 4.doc Page 8 of 1:3 violation by each officer. 5.3 Aornial Reports: Annually, COMPANY shall comply with existing laws of the State of Michigan. ARTICI E \II - TERM OE CONTRACT AND ADDITIONAi SERVICES 6.1 Term and Renewals: This Agreement shall be for an initial period of three (3) years commencing as of the last date of signature. Annual reviews will occur during the months of January through March of each year after the initial three (3) year period has been completed. Unless either party makes notice of termination in writing to the other, no less than ninety (90) days prior to the end of the scheduled term, this Agreement shall automatically renew for subsequent one ( 1) year periods from the date of execution of said agreement. In conjunction with this automatic extension of the terms of this Agreement, COMPANY may give notice of reasonable price adjustments for its processing services. The PUBLIC ENTITY has ninety days to respond in writing to the purposed increase. Unless PUBLIC ENTITY gives notice in writing of its rejection of these price adjustments, the term shall be extended with these price adjustments as stated. If the PUBLIC ENTITY gives notice of its rejection of these price adjustments, unless there is a further written Agreement between the parties, the term of the Agreement shall not be extended and the Agreement shall terminate. 6.2 Cancellation· Upon a material breach and written notice thereof, or upon ninety (90) days written notice to COMPANY for any reason in PUBLIC ENTITY's sole discretion, the PUBLIC ENTITY may cancel or terminate this Agreement. The COMPANY shall have thirty (30) days to cure any material breach or defect set forth in the written termination notice provided by PUBLIC ENTITY. 6.3 Fxcf11sivitir: PUBLIC ENTITY agrees to utilize only the services of COMPANY during the term of this Agreement for the processing of the citations referred to above. PUBLIC ENTITY agrees during the term of the Agreement to not directly or indirectly C:\Documents and Settings\marjorie.fleming\Local Settings\Temporary Internet Files\OLKlF\Parking Ticket Services Contract 4.doc Page 9 of 13 assist a competitor of COMPANY in the performance of the services provided by COMPANY under this Agreement. ARTICI E VII - Cl AIMS AND ACTIONS 7 .1 Pl !Bl IC ENTITY Caaperatio •- In the event any claim or action is brought against COMPANY relating to COMPANY'S performance or services rendered under this Agreement, COMPANY shall notify the PUBLIC ENTITY, in writing, within ten (10) days, of said claim or action. 7.2 Hold Harmless- COMPANY AND PUBLIC ENTITY agree to the following hold harmless clause. a) COMPANY agrees to indemnify, defend, and hold harmless the PUBLIC ENTITY and its officers and employees against all claims, demands, damages, costs, and liabilities arising out of, or in connection with, the performance by COMPANY or PUBLIC ENTITY or any of their officers, employees, or agents under this AGREEMENT, excepting only loss, injury, or damage caused solely by the negligent acts or omissions of PUBLIC ENTITY or any of its officers or employees. ARTICI E vm - SI IRCQNTRACTQRS AND ASSIGNMENTS 8.1 Subcontracting: COMPANY is authorized to engage subcontractor(s), as permitted by law at COMPANY'S own expense, subcontracts shall be deemed agents of COMPANY. 8.2 Assignments: This contract may not be assigned without the prior written consent of the PUBLIC ENTITY. It is understood and acknowledged by the parties that the COMPANY is uniquely qualified to perform the services in this agreement. ARTICI E IX - INDEPENDENT COMPANY 9.1 COMPANY'S Relationship· COMPANY'S relationship to PUBLIC ENTITY in the performance of this Agreement is that of an independent COMPANY. Personnel performing services under this Agreement shall at all times be under COMPANY'S exclusive direction and control and shall be employees of COMPANY and not employees of the PUBLIC ENTITY. COMPANY shall pay all wages and salaries and C:\Documents and Settings\marjorie.fleming\Local Settings\Temporary Internet Files\OLKlF\Parking Ticket Services Contract 4.doc Page 10 of 13 shall be responsible for all reports and obligations respecting them relating to social security, income tax withholding, unemployment compensation, worker's compensation, and similar matters. Neither COMPANY nor any officer, agent, or employee of COMPANY shall obtain any right to retirement benefits or other benefits which accrue to employees of PUBLIC ENTITY, and COMPANY hereby expressly waives any claim it might have to such rights. ARIICI E X - INSI IRANCE 10.1 Insurance Provisions- COMPANY shall provide and maintain at its own expense during the term of this Agreement, the following policy or policies of insurance covering its operations hereunder. Such insurance shall be provided by insurer(s) satisfactory to the PUBLIC ENTITY and certificates of such insurance shall be delivered to the PUBLIC ENTITY on or before the effective date of this Agreement. Such certificates shall specifically identify this Agreement and shall not be canceled, reduced in coverage or limits or non-renewed except after thirty (30) days written notice has been given to the PUBLIC ENTITY. a) Comprehensive general liability insurance covering bodily and personal injury and property damage. Limits shall be in an amount of not less than $1,000,000 per occurrence. Such insurance policies shall name the PUBLIC ENTITY, its officers, agents and employees, individually and collectively, as additionally insured. b) Such coverage for additional insured shall apply as primary insurance and any other insurance or self-insured retention maintained by the PUBLIC ENTITY its officers, agents and employees shall be excess only and not contributing with insurance provided under said policy. c) Comprehensive automobile liability owned, non-owned and hired vehicles with not less than $1,000,000 combined single limit, per occurrence for property damage and for bodily injury or death of persons. d) Such insurance shall include the same additional-insured and cancellation notice provisions as specified above and may be combined with the comprehensive general liability coverage required above. e) Throughout the period of agreement, the COMPANY, at its sole cost, shall C:\Documents and Settings\marjorie.fleming\Local Settings\Temporary Internet Files\OLKlF\Parking Ticket Services Contract 4.doc Page 11 of 13 maintain in full force and effect a policy of workers' compensation insurance covering all of its employees as required by the labor code. ARTICI E XI - ENTIRE AGREEMENT 11. 1 Integrated Agreement· This contract is intended by the parties as a final expression of their Agreement and also as a complete and exclusive statement of the terms thereof, any prior oral or written Agreement regarding the same subject matter notwithstanding. This Agreement may not be modified or terminated orally, and no modification or any claim of waiver of any of the provision shall be effective unless in writing and signed by both parties. 11.2 Applicable I aw- This Agreement shall be construed in accordance with the Laws of the State of Michigan. 11.3 Notices to Parties: Any notice required under this Agreement to be given to either party may be given by depositing in the United States mail, postage prepaid, first-class, addressed to the following: AS TO PUBLIC ENTITY: CITY OF MUSKEGON ATTN: TREASURER'S OFFICE 933 TERRACE STREET MUSKEGON, MICHIGAN 49440 AS TO COMPANY: MUNICIPAL SERVICES BUREAU, PARK!NG ATTN: MARJORIE A. FLEMING 4600 CAMPUS DRIVE, SUITE 200 NEWPORT BEACH, CALIFORNIA 92660 C:\Docurnents and Settings\marjorie.flerning\Local Settings\Ternporary Internet Files\OLKlF\Parking Ticket Services Contract 4.doc Page 12 of 13 IN WITNESS WHEREOF, the parties hereto have executed this agreement as of the date and year first above written. 1-1.1-02) Effective Date
Sign up for City of Muskegon Emails