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CITY OF MUSKEGON CITY COMMISSION MEETING APRIL 9, 2019 @ 5:30 P.M. MUSKEGON CITY COMMISSION CHAMBERS 933 TERRACE STREET, MUSKEGON, MI 49440 AGENDA □ CALL TO ORDER: □ PRAYER: □ PLEDGE OF ALLEGIANCE: □ ROLL CALL: □ HONORS AND AWARDS: □ INTRODUCTIONS/PRESENTATION: A. 9-1-1 Muskegon Central Dispatch Surcharge Shawn Grabinski □ CITY MANAGER’S REPORT: □ CONSENT AGENDA: A. Approval of Minutes City Clerk B. Request to Rezone 971 & 975 Washington Avenue – SECOND READING Planning & Economic Development C. Amendment to the Form Based Code Section of the Zoning Ordinance – SECOND READING Planning & Economic Development D. Amendment to the Single-Family Residential Section of the Zoning Ordinance – SECOND READING Planning & Economic Development E. Waiver of Interest and Penalty Associated with Failure to File Property Transfer Affidavits (PTA), Form 2766 Treasurer F. Resolution to Revoke the Contract for Housing Exemption with Trinity Village Limited Dividend Housing Association Treasurer G. Invest Funds with Cantella &Co. Finance H. Establish Policy and Application for Sports Leagues and Tournaments Planning Department I. Set Sports Leagues and Tournaments Fees Planning Department J. Request for Skate Park Funds Planning Department K. 714 Jackson – Demolition of Accessory Structure City Manager Page 1 of 2 L. Smart Zone Delinquent Tax Resolution City Manager □ PUBLIC HEARINGS: □ COMMUNICATIONS: □ UNFINISHED BUSINESS: □ NEW BUSINESS: A. LC Walker Arena Restaurant Proposals City Manager REMOVED PER STAFF REQUEST □ ANY OTHER BUSINESS: □ PUBLIC PARTICIPATION: ► Reminder: Individuals who would like to address the City Commission shall do the following: ► Fill out a request to speak form attached to the agenda or located in the back of the room. ► Submit the form to the City Clerk. ► Be recognized by the Chair. ► Step forward to the microphone. ► State name and address. ► Limit of 3 minutes to address the Commission. ► (Speaker representing a group may be allowed 10 minutes if previously registered with City Clerk.) □ CLOSED SESSION: □ ADJOURNMENT: ADA POLICY: THE CITY OF MUSKEGON WILL PROVIDE NECESSARY AUXILIARY AIDS AND SERVICES TO INDIVIDUALS WHO WANT TO ATTEND THE MEETING UPON TWENTY-FOUR HOUR NOTICE TO THE CITY OF MUSKEGON. PLEASE CONTACT ANN MARIE MEISCH, CITY CLERK, 933 TERRACE STREET, MUSKEGON, MI 49440 OR BY CALLING (231) 724- 6705 OR TTY/TDD DIAL 7-1-1-22 TO REQUEST A REPRESENTATIVE TO DIAL (231) 724-6705. Page 2 of 2 Memorandum To: Mayor and Commissioners From: Frank Peterson Re: City Commission Meeting Date: April 4, 2019 Here is a quick outline of the items on our agendas: Work Session: Staff will be presenting their recommendation on the responses to the LC Walker Arena Request for Proposals. A memo from Jake Eckholm is attached. I concur with Jake’s recommendation and have verified that the Lumberjack’s General Management does as well. Regular Session: 1. Under Presentations, we will learn about the 911 radio upgrade needs. 2. Under the Consent Agenda, we are asking the Commission to consider the following: a. Approval of meeting minutes from the most-recent City Commission meeting. b. Second reading of the proposed rezoning of the properties that comprise Fatty Lumpkins Sandwich Shack. c. Second reading of an amendment to the form-based code to allow for research and development in certain context areas. d. Second reading of an amendment to the single family zoning ordinance related to short-term vacation rentals. e. Approval of a Resolution waiving the payment of penalties and interest by residents that do not file their property transfer affidavits timely. f. Approval of a Resolution revoking the PILOT for Trinity Village. The property has been foreclosed by MSHDA and will be state-run. The property will become tax- exempt. g. Authorization to list Cantella & co. as an improved investment option for the Finance Department. h. Approval of a policy for sports leagues and tournaments that use city facilities. i. Approval of a fee structure for sports leagues and tournaments that utilize city facilities. j. Request disbursement of funds from the City’s Skate Park Fund at the Community Foundation. k. Approval of the emergency demolition contract with Melching, Inc. for the accessory structure located at 714 Jackson Street. l. Approval of a Resolution requesting that the county Treasurer foreclose on the Harbor 31 properties that are three or more years delinquent in property tax payments. 3. Under New Business, we are asking the Commission to consider the following: a. Acceptance of staff’s recommendation regarding the LC walker Arena restaurant request for proposals. Let me know if you have any questions/comments/concerns Frank Date: April 1, 2019 To: Honorable Mayor and City Commissioners From: Ann Marie Meisch, City Clerk RE: Approval of Minutes SUMMARY OF REQUEST: To approve minutes of the March 26, 2019 Regular Meeting. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Approval of the minutes. CITY OF MUSKEGON CITY COMMISSION MEETING MARCH 26, 2019 @ 5:30 P.M. MUSKEGON CITY COMMISSION CHAMBERS 933 TERRACE STREET, MUSKEGON, MI 49440 MINUTES The Regular Commission Meeting of the City of Muskegon was held at City Hall, 933 Terrace Street, Muskegon, MI at 5:30 p.m., Tuesday, March 26, 2019, Deacon Bill Cook, St. Mary’s, opened the meeting with prayer, after which the Commission and public recited the Pledge of Allegiance to the Flag. ROLL CALL FOR THE REGULAR COMMISSION MEETING: Present: Mayor Stephen J. Gawron, Vice Mayor Eric Hood, Commissioners Ken Johnson, Byron Turnquist, Debra Warren, and Dan Rinsema-Sybenga, City Manager Frank Peterson, City Attorney John Schrier, and City Clerk Ann Meisch. Absent: Commissioner Willie German, Jr. INTRODUCTIONS/PRESENTATION: A. Introduction of Jake Eckholm and Peter Wills Planning & Economic Development Leigh Ann Mikesell introduced Jake Eckholm and Peter Wills, two new city employees. Jake Eckholm is the new Economic Development Director and Peter Wills is the new Director of Strategic Initiatives. Both men come to the city with experience that is relevant to their positions. B. ADA Update EEO/Affirmative Action Director Dwana Thompson, EEO/Affirmative Action Director outlined some of the efforts that have been made in recent months relevant to the ADA. Mike Franzak, from the Planning Department, reviewed the efforts being made in the planning department to ensure consideration of ADA requirements. Leo Evans, City Engineer, updated the commission on efforts that are ongoing at the Department of Public Works. 2019-23 CONSENT AGENDA: A. Approval of Minutes City Clerk SUMMARY OF REQUEST: To approve minutes of the March 11, 2019 Worksession and March 12, 2019 Regular Meeting. Page 1 of 12 FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Approval of the minutes. B. Fireworks Display Permit for Muskegon Country Club City Clerk SUMMARY OF REQUEST: Melrose Pyrotechnics, Inc. is requesting approval of a fireworks display permit for July 3, 2019 at the Muskegon Country Club, 2801 Lakeshore Drive. The Fire Marshall will inspect the fireworks on the day of the event. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Approval contingent on inspection of the fireworks and approval of insurance. C. Community Relations Committee Appointment Recommendations City Clerk SUMMARY OF REQUEST: To accept the recommendation to appoint Kimi George to the Historic District Commission and Marty Ferriby to the Local Officers Compensation Commission. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To concur with the recommendations of the Community Relations Committee and approve the appointments. D. Rescission of Land Use Restrictions for 350 Shoreline Drive Planning & Economic Development SUMMARY OF REQUEST: Authorize the Mayor and Clerk to sign the notice of rescission of land use restrictions for the City owned property located at 350 Shoreline Drive. This document rescinds the previous land use restrictions on the property and will be filed with the new restrictive covenant already approved by the commission at the February 12, 2019 meeting. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Authorize the Mayor and Clerk to sign the rescission of land use restrictions. E. Demolition Contract for West Shoreline Correctional Facility Planning & Economic Development SUMMARY OF REQUEST: Award the demolition of existing buildings at the West Shoreline Correctional Facility to Melching, Inc. Three contractors were Page 2 of 12 contacted and reviewed the site. All three supplied bids as follows. Melching $338,910.10 JMB Demolition $452,300 Bierlein Companies, Inc. $838,400 FINANCIAL IMPACT: $338,910.10 BUDGET ACTION REQUIRED: None. The cost of demolition will be reimbursed by the MEDC grant. STAFF RECOMMENDATION: Award the project to the low bidder, Melching, Inc. F. Approval of 2019-2020 Procurement Contracts for CNS Community & Neighborhood Services SUMMARY OF REQUEST: To approve the following Trades-Serviced procured through sealed bid proposals producing the lowest responsible bidder with potential for one year extension. Appraisal: Midwest Real Estate Building: Midwest Builders Electrical: Belasco Electric Foundation Repair: Deitz House Moving Engineers House Building Spec Writer: Hager Consulting Interior Cleaning: True Clean Building Services Property Maintenance: Walker Handyman Enterprises Lead Assessment & Clearance: AAA Lead Inspections Mechanical: Bishop Heating and Cooling Painting: Walker Handyman Enterprises Title Service: AAA National Title Group Tree Services: Integrity Tree Services Tub Glazing: Pro Cleaners Vinyl Installer: Mark N Tucker LLC FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To approve the procured list of contractors and possible one year extension for Trade Contractors-Service Providers for the Community and Neighborhood Services during 2019. Page 3 of 12 G. Approval of Sale: City-Owned Home at 1350 Eastwood Community & Neighborhood Services SUMMARY OF REQUEST: To approve the resolution and instruct the Community and Neighborhood Services department to complete the sales transaction with Alexis Eziukwu for the rehabilitated home at 1350 Eastwood Drive: Purchase price $137,000. FINANCIAL IMPACT: The proceeds from the sale will be used to continue the rehabilitation of affordable homes through the HOME program and provide funding for our Homebuyer’s Assistance Program. BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To approve the resolution and direct the CNS staff to complete the sale. H. Request to Rezone 971 & 975 Washington Avenue Planning & Economic Development SUMMARY OF REQUEST: Request the rezone the properties at 971 & 975 Washington Avenue from R-2, Single Family Medium Density Residential to Form Based Code, Neighborhood Edge, by Brett Gilbert. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Staff recommends approval of the rezonings. COMMITTEE RECOMMENDATION: The Planning Commission unanimously (8-0) recommended approval of the rezonings at their March 14 meeting. SECOND READING REQUIRED I. Amendment to the Form Based Code Section of the Zoning Ordinance Planning & Economic Development SUMMARY OF REQUEST: Staff initiated request to amend the zoning ordinance to allow research and development as a permitted use in the Downtown and Mainstreet context areas of the Form Based Code. STAFF RECOMMENDATION: To approve the zoning ordinance amendment. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None COMMITTEE RECOMMENDATION: The Planning Commission unanimously recommended approval of the request (8-0), as long as staff recommends a definition for “research and development” that excludes animal testing, noise and odor. SECOND READING REQUIRED Page 4 of 12 J. Request to Approve Purchase Agreement 241 and 255 W. Western Avenue Planning & Economic Development SUMMARY OF REQUEST: City staff has been working with a housing developer that is interested in creating multifamily housing on these lots. The City Commission authorized the City Manager to negotiate a purchase agreement at the March 7, 2018 meeting. FINANCIAL IMPACT: Funds from the sale will go into the General Fund. BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Staff recommends approval of the purchase agreement. K. Amendment to the Single-Family Residential Section of the Zoning Ordinance Planning & Economic Development SUMMARY OF REQUEST: Staff initiated request to amend the Single Family Residential section of the zoning ordinance to clarify that short and long term rentals are not prohibited uses. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To approve the zoning ordinance amendment. COMMITTEE RECOMMENDATION: The Planning Commission unanimously recommend approval of the request (8-0) at their March 14 meeting. SECOND READING REQUIRED L. Hartshorn Marina – Resolution of Support for Waterways Program Grant Application and Commitment for Matching Funds Department of Public Works SUMMARY OF REQUEST: The Engineering Department would like to apply for a Waterway Program Grant through the Michigan Department of Natural Resources. These funds would be used to complete upgrades and repairs at Hartshorn Marina in conjunction with the recommendations prepared by Abonmarche. We are proposing a total project funding for this round of $700,000 of which $350,000 would be local match and $350,000 would be funding from MDNR. Funding would be available during the 19-20 budget cycle. The MDNR application requires a resolution of support and commitment for the matching funds. FINANCIAL IMPACT: $350,000 in fiscal year 19/20 BUDGET ACTION REQUIRED: None at this time. Page 5 of 12 STAFF RECOMMENDATION: Approve the resolution of support for the Waterways Program Grant application and commit to funding the required match and engineering costs. M. Sheridan & Olthoff – Resolution of Support for Transportation Economic Development Funding Application and Commitment for Matching Funds Department of Public Works SUMMARY OF REQUEST: The Engineering Department would like to apply for Category A Transportation Economic Development funding through the Michigan Department of Transportation. These funds would be used to resurface Sheridan Drive and Olthoff Drive in the industrial park. Construction is estimated at $900,000, and the city would be required to provide matching funds of approximately $250,000 plus engineering costs. Funding is available starting as early as 2019. The MDOT application requires a resolution of support and commitment for the matching funds. FINANCIAL IMPACT: $300,000 split over fiscal year 18/19 and 19/20 BUDGET ACTION REQUIRED: None at this time. STAFF RECOMMENDATION: Approve the resolution of support for the Category A Transportation Economic Development application and commit to funding the required match and engineering costs. N. H91841 Walton Avenue & Marsh Street Department of Public Works SUMMARY OF REQUEST: To award contract (H 91841) for construction of Marsh Street and Walton Avenue, including paving of existing gravel road with water service improvements. Seven contractors submitted bids for this project as follows: McCormick Sand, Inc. $159,293.50 Terra Contractors $184,209.04 Redline Excavating, LLC $170,662.06 Accurate Excavating, LLC $168,055.75 Jackson-Merkey Contractors $168,233.55 Tiles Excavating, Inc $199,795.58 Epic Excavating $245,684.10 FINANCIAL IMPACT: $159,293.50 BUDGET ACTION REQUIRED: None. Initially budgeted for $150,000.00 from the CIP but will be adjusted in the next budget forecast. Page 6 of 12 STAFF RECOMMENDATION: Award the project to the low bidder, McCormick Sand, Inc. O. H91858 Muskegon Avenue and Webster Avenue Re-Paint Department of Public Works /Engineering SUMMARY OF REQUEST: To award contract (H91858) for street pavement marking improvements along Muskegon Avenue and Webster Avenue. One contractor submitted bids for this project as follows: PK Contracting $24,761.46 FINANCIAL IMPACT: $24,761.46 BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Award the project to the low bidder, PK Contracting. Q. City Hall – Chiller Unit Department of Public Works SUMMARY OF REQUEST: Authorize staff to direct Trane to complete repairs to the City Hall air conditioning system in the amount of $8,208.00. Repairs were identified during the fall shut down period that were required to ensure the system is operating efficiently when restarted. FINANCIAL IMPACT: $8,208.00 BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Authorize staff to hire Trane to complete needed air conditioning system repairs. R. Procurement of Bubbler Control Panels DPW/Filtration SUMMARY OF REQUEST: Authorize staff to procure six new bubbler control panels from Commerce Controls to replace old panels at the Water Filtration Plant. FINANCIAL IMPACT: Existing bubbler control panels that provide level indication are old and failing. They are in need of replacement. Commerce Controls has provided instrumentation services at the plant for many years and they will procure parts, build six panels and ship for installation at the cost of $44,730.00. Plant staff will install the panels. BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Authorization for staff to procure bubble control panels from Commerce Controls at a cost of $44,730.00 S. Fifth Third Updated Account Resolution Finance SUMMARY OF REQUEST: The City has used Fifth Third Bank as our primary Page 7 of 12 depositor bank since 2007. They are asking to update our Treasury Management Agreement and our Account Resolution. There have been many personnel changes at the City since the original agreements were signed. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Approval of the updated Account Resolution for Fifth Third Bank and authorize the Clerk to sign. T. First Amendment to the Lumberjacks Lease City Manager SUMMARY OF REQUEST: City staff is requesting approval of amendments to the Lumberjack’s lease. The changes are within the original spirit of the agreement approved by commission, but do provide more clarity as we seek to increase sponsorship and lease revenues. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To authorize the Clerk and Mayor to sign the lease. Motion by Commissioner Warren, second by Commissioner Johnson, to approve the consent agenda as presented, except item P. ROLL VOTE: Ayes: Warren, Rinsema-Sybenga, Turnquist, Johnson, Gawron, and Hood Nays: None MOTION PASSES 2019-24 REMOVED FROM CONSENT: P. Set Dry Storage User Fee (Catamaran) Department of Public Works SUMMARY OF REQUEST: Set the dry storage fee (catamaran) at $995 per post. Posts will be offered on a first come, first served basis, and prior customers will be notified by letter that storage is again being made available. Environmental concerns including high water and impacts to critical dunes have eliminated our ability to provide storage at the water’s edge. A small area near the volleyball courts has been identified as a location that could accommodate these boats. Ten posts will be offered on a trial basis for the 2019 season only. No catamaran storage can be provided at Harbour Towne Beach. FINANCIAL IMPACT: Revenue generated by sale of storage area. BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Approve the fee for dry storage. Motion by Commissioner Turnquist, second by Commissioner Rinsema-Sybenga, Page 8 of 12 to approve the fee for dry storage. ROLL VOTE: Ayes: Rinsema-Sybenga, Johnson, Gawron, Hood, and Warren Nays: Turnquist MOTION PASSES 2019-25 PUBLIC HEARINGS: A. Establishment of a Commercial Redevelopment District – 351 W Western Ave Planning & Economic Development SUMMARY OF REQUEST: Pursuant to Public Act 255 of 1978, as amended, 351 Phase II, LLC has requested the establishment of a Commercial Redevelopment District. The creation of the district will allow the building owner to apply for a Commercial Facilities Exemption Certificate, which will provide a 50% reduction in the number of mills levied as ad valorem taxes, excluding the State Education Tax. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Establishment of the Commercial Redevelopment District. PUBLIC HEARING COMMENCED: No public comments were received. Motion by Commissioner Rinsema-Sybenga, second by Vice Mayor Hood, to close the public hearing and establish the Commercial Redevelopment District at 351 W. Western Avenue. ROLL VOTE: Ayes: Rinsema-Sybenga, Turnquist, Johnson, Gawron, Hood, and Warren Nays: None MOTION PASSES B. Issuance of a Commercial Facilities Exemption Certificate–351 Phase II,LLC Planning & Economic Development SUMMARY OF REQUEST: Pursuant to Public Act 255 of 1978, as amended, 351 Phase II, LLC has requested the issuance of a Commercial Facilities Exemption Certificate for their project at 351 West Western Avenue. The certificate provides a 50% reduction in the number of mills levied as ad valorem taxes, excluding the State Education Tax, for the commercial portion of the development. The company will be investing $3,221,802 in the commercial space, which qualifies them for an abatement for 10 years. FINANCIAL IMPACT: The certificate provides a 50% reduction in the number Page 9 of 12 of mills levied as ad valorem taxes, excluding the State Education Tax. BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Issuance of the Commercial Facilities Exemption Certificate. PUBLIC HEARING COMMENCED: Josh and Chris Benedict, owners, spoke about the project. Motion by Commissioner Rinsema-Sybenga, second by Commissioner Warren, to close the public hearing and issue the Commercial Facilities Exemption Certificate for 351 W. Western Avenue. ROLL VOTE: Ayes: Turnquist, Johnson, Gawron, Hood, Warren, and Rinsema- Sybenga Nays: None MOTION PASSES 2019-26 NEW BUSINESS: A. Request to Adopt the Proposed Amendments to the Master Land Use Plan Planning & Economic Development SUMMARY OF REQUEST: Staff initiated request to amend the City of Muskegon Master Land Use Plan to revise the 2008 Downtown & Lakeshore Redevelopment Plan Future Land Use Map and include the Imagine Muskegon Lake Plan. The regional entities have been given the required 63 day review time and a public hearing was held at the March 14 Planning Commission meeting. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Staff recommends approval of the Master Plan. COMMITTEE RECOMMENDATION: The Planning Commission unanimously recommended approval of the Master Plan at their March 14 meeting. Motion by Commissioner Rinsema-Sybenga, second by Commissioner Johnson, to approve the Master Plan. Motion to Amend the motion to include language opposing RV camp at Pere Marquette Park at the ovals. ROLL VOTE: Ayes: Warren, Johnson Nays: Gawron, Hood, Rinsema-Sybenga, Turnquist MOTION FAILS VOTE ON ORIGINAL MOTION: ROLL VOTE: Ayes: Johnson, Gawron, Hood, Warren, Rinsema-Sybenga, and Page 10 of 12 Turnquist Nays: None MOTION PASSES B. Concurrence with the Housing Board of Appeals Notice & Order to Demolish 593 W Webster Public Safety SUMMARY OF REQUEST: This is to request that the City Commission concur with the findings of the Housing Board of Appeals that the structures are unsafe, substandard, a public nuisance and that it be demolished within thirty (30) days or infraction tickets may be issued. It is further requested that administration be directed to obtain bids for the demolition of the structure and that the Mayor and City Clerk be authorized and directed to execute a contract for demolition with the lowest responsible bidder or staff may issue infraction tickets to the owner, agent or responsible party if they do not demolish the structure. FINANCIAL IMPACT: General Budget BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To concur with the Housing Board of Appeals decision to demolish. Motion by Commissioner Rinsema-Sybenga, second by Commissioner Turnquist, to concur with the Housing Board of Appeals decision to demolish. ROLL VOTE: Ayes: Hood, Warren, Rinsema-Sybenga, Turnquist, Johnson, and Gawron Nays: None MOTION PASSES C. Second Quarter 2018-19 Budget Reforecast Finance SUMMARY OF REQUEST: At this time staff is transmitting the Second Quarter 2018-19 Budget Reforecast which outlines proposed changes to the budget that have come about as a result of changes in revenue projects, policy priorities, labor contracts, updated economic conditions, or other factors. FINANCIAL IMPACT: A summary of second quarter proposed adjustment to the budget are as follows: • General Fund revenues are reforecast to be $291,000 lower than the original budget, largely due to lower projections for building permit revenue. The permit revenues are projected to be down $700,000 for several reasons including Mercy Health paying up front for several commercial and multi housing projects that are progressing slower than expected to get to the building stage. The income tax revenues are being projected up $100,000 and several other revenue line items were Page 11 of 12 adjusted. • General Fund expenditures are reforecast to be $403,518 lower than the original budget. Permit revenue was decreased so that decreased our payment to SafeBuilt and police wages are down after retirements and resignations. • There were several refinements to the Capital Projects budget now that we have actual projects costs and know whether grant funding has been approved the bottom line is a slight decrease in capital expenditures. BUDGET ACTION REQUIRED: City commission approval of this reforecast will formally amend the City’s 2018-19 budget. STAFF RECOMMENDATION: Approval Motion by Commissioner Rinsema-Sybenga, second by Commissioner Warren, to approve the Second Quarter 2018-19 Budget Reforecast. ROLL VOTE: Ayes: Warren, Rinsema-Sybenga, Turnquist, Johnson, Gawron, and Hood Nays: None MOTION PASSES PUBLIC PARTICIPATION: Public Comments were received. ADJOURNMENT: The City Commission meeting adjourned at 8:25 p.m. Respectfully Submitted, Ann Marie Meisch, MMC – City Clerk Page 12 of 12 Commission Meeting Date: April 9, 2019 Date: April 4, 2019 To: Honorable Mayor and City Commissioners From: Planning & Economic Development RE: Request to Rezone 971 & 975 Washington Ave – SECOND READING SUMMARY OF REQUEST: Request to rezone the properties at 971 & 975 Washington Ave from R-2, Single Family Medium Density Residential to Form Based Code, Neighborhood Edge, by Brett Gilbert. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Staff recommends approval of the rezonings COMMITTEE RECOMMENDATION: The Planning Commission unanimously (8-0) recommended approval of the rezonings at their March 14 meeting. 1 STAFF REPORT March 14, 2019 Hearing, Case 2019-04: Request to rezone the properties at 971 & 975 Washington Ave from R-2, Single Family Medium Density Residential to Form Based Code, Neighborhood Edge, by Brett Gilbert. SUMMARY 1. Both properties are owned by Brett Gilbert, owner of Fatty Lumpkins at 971 Washington Ave. This restaurant was approved as a Special Land Use by the Planning Commission in 2009. Mr Gilbert has since bought the commercial property to the west at 975 Washington Ave and would like to utilize the existing building as an extension of Fatty Lumpkins. Rather than asking for another Special Land Use Permit for the new restaurant space, staff encouraged him to apply for a rezoning, which would allow for the restaurant without a Special Land Use Permit and would also make it easier to develop the properties if there are any future expansions. 2. Form Based Code, Neighborhood Edge is a common zoning designation for commercial properties in this area. Please see the zoning maps on the following page. 3. This zoning designation also allows for residential homes as well, in the event the restaurant moves to another location. Please see the zoning ordinance excerpt on Neighborhood Edge. 4. Both properties meet the minimum size (25’ x 100’) standards for Neighborhood Edge lots. Both lots are approximately 26’ x 127’. 971 / 975 Washington Ave 2 Zoning Map Form Based Code, Neighborhood Edge Properties 3 Aerial Map 4 CITY OF MUSKEGON MUSKEGON COUNTY, MICHIGAN ORDINANCE NO. An ordinance to amend the zoning map of the City to provide for a zone change for 971 & 975 Washington Ave from R-2, Single Family Medium Density Residential to FBC, Neighborhood Edge. THE CITY COMMISSION OF THE CITY OF MUSKEGON HEREBY ORDAINS: The zoning map of the City of Muskegon is hereby amended to change the zoning for 971 & 975 Washington Ave from R-2, Single Family Medium Density Residential to FBC, Neighborhood Edge. CITY OF MUSKEGON REVISED PLAT OF 1903 E 24 FT OF W 54 FT LOT 1 BLK 479 CITY OF MUSKEGON REVISED PLAT OF 1903 WLY 30 FT LOT 1 BLK 479 This ordinance adopted: Ayes: Nayes: Adoption Date: Effective Date: First Reading: March 26, 2019 Second Reading: CITY OF MUSKEGON By: __________________________ Ann Meisch, MMC City Clerk 5 CERTIFICATE (Rezoning 971 & 975 Washington Ave from R-2 to FBC, NE) The undersigned, being the duly qualified clerk of the City of Muskegon, Muskegon County, Michigan, does hereby certify that the foregoing is a true and complete copy of an ordinance adopted by the City Commission of the City of Muskegon, at a regular meeting of the City Commission on the 9th day of April 2019, at which meeting a quorum was present and remained throughout, and that the original of said ordinance is on file in the records of the City of Muskegon. I further certify that the meeting was conducted and public notice was given pursuant to and in full compliance with the Michigan Zoning Enabling Act, Public Acts of Michigan No. 33 of 2006, and that minutes were kept and will be or have been made available as required thereby. DATED: ___________________, 2019 ________________________________ Ann Meisch, MMC Clerk, City of Muskegon Publish Notice of Adoption to be published once within ten (10) days of final adoption. 6 CITY OF MUSKEGON NOTICE OF ADOPTION Please take notice that on April 9, 2019, the City Commission of the City of Muskegon adopted an ordinance amending the zoning map to provide for the change of zoning for 971 & 975 Washington Ave from R-2 to FBC, NE: CITY OF MUSKEGON REVISED PLAT OF 1903 E 24 FT OF W 54 FT LOT 1 BLK 479 CITY OF MUSKEGON REVISED PLAT OF 1903 WLY 30 FT LOT 1 BLK 479 Copies of the ordinance may be viewed and purchased at reasonable cost at the Office of the City Clerk in the City Hall, 933 Terrace Street, Muskegon, Michigan, during regular business hours. This ordinance amendment is effective ten days from the date of this publication. Published ____________________, 2019 CITY OF MUSKEGON By ___________________________ Ann Meisch, MMC City Clerk --------------------------------------------------------------------------------------------------------------------- PUBLISH ONCE WITHIN TEN (10) DAYS OF FINAL PASSAGE. Account No. 101-80400-5354 7 Commission Meeting Date: April 9, 2019 Date: April 4, 2019 To: Honorable Mayor and City Commissioners From: Planning & Economic Development RE: Amendment to the Form Based Code section of the Zoning Ordinance – SECOND READING SUMMARY OF REQUEST: Staff initiated request to amend the zoning ordinance to allow research and development as a permitted use in the Downtown and Mainstreet context areas of the Form Based Code. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To approve the zoning ordinance amendment COMMITTEE RECOMMENDATION: The Planning Commission unanimously recommended approval of the request 8-0, as long as staff recommends a definition for “research and development” that excludes animal testing, noise and odor. Hearing, Case 2019-05: Staff initiated request to amend the zoning ordinance to allow research and development as a permitted use in the Downtown and Mainstreet context areas of the Form Based Code. SUMMARY 1. The Form Based Code allows for Research & Development in the Neighborhood Core Neighborhood Edge Context Areas, as long as they are in a mixed-use or flex building type. 2. Staff is proposing to allow Research & Development in the Downtown and Mainstreet Context Areas because of the low-impact on surrounding uses and possibility of attracting more businesses downtown. 3. Research & Development refers to the work a business conducts for the innovation, introduction and improvement of its products and procedures. It is a series of investigative activities to improve existing products and procedures or to lead to the development of new products and procedures. 4. This use is not nearly as intensive as industrial. Allowing them only in mixed-use and flex buildings would assure that they are a secondary use of a building and not the main tenant. STAFF’S RECOMMENDATION FOR DEFINITION Research and Development: • The innovation, introduction and improvement of products and procedures. A series of investigative activities to improve existing products and procedures or to lead to the development of new products and procedures. This excludes animal testing and uses that would cause a nuisance due to noise or odor. Downtown Context Area Mainstreet Context Area CITY OF MUSKEGON MUSKEGON COUNTY, MICHIGAN ORDINANCE NO._____ An ordinance to amend the Form Based Code Section of the Zoning Ordinance to allow research and development as a permitted use in the Downtown and Mainstreet context areas. THE CITY COMMISSION OF THE CITY OF MUSKEGON HEREBY ORDAINS: NEW LANGUAGE Research & Development is allowed as a permitted use in the Downtown and Mainstreet context areas of the Form Based Code. This ordinance adopted: Ayes:______________________________________________________________ Nayes:_____________________________________________________________ Adoption Date: Effective Date: First Reading: March 26, 2019 Second Reading: CITY OF MUSKEGON By: _________________________________ Ann Meisch, MMC, City Clerk CERTIFICATE The undersigned, being the duly qualified clerk of the City of Muskegon, Muskegon County, Michigan, does hereby certify that the foregoing is a true and complete copy of an ordinance adopted by the City Commission of the City of Muskegon, at a regular meeting of the City Commission on the 9th day of April, 2019, at which meeting a quorum was present and remained throughout, and that the original of said ordinance is on file in the records of the City of Muskegon. I further certify that the meeting was conducted and public notice was given pursuant to and in full compliance with the Michigan Zoning Enabling Act, Public Acts of Michigan No. 33 of 2006, and that minutes were kept and will be or have been made available as required thereby. DATED: ___________________, 2019. __________________________________________ Ann Meisch, MMC Clerk, City of Muskegon Publish: Notice of Adoption to be published once within ten (10) days of final adoption. CITY OF MUSKEGON NOTICE OF ADOPTION Please take notice that on April 9, 2019, the City Commission of the City of Muskegon adopted an ordinance to amend the Form Based Code section of the Zoning Ordinance to allow research and development as a permitted use in the Downtown and Mainstreet context areas. Copies of the ordinance may be viewed and purchased at reasonable cost at the Office of the City Clerk in the City Hall, 933 Terrace Street, Muskegon, Michigan, during regular business hours. This ordinance amendment is effective ten days from the date of this publication. Published ____________________, 2019. CITY OF MUSKEGON By _________________________________ Ann Meisch, MMC City Clerk --------------------------------------------------------------------------------------------------------------------- PUBLISH ONCE WITHIN TEN (10) DAYS OF FINAL PASSAGE. Account No. 101-80400-5354 6 Commission Meeting Date: April 9, 2019 Date: April 4, 2019 To: Honorable Mayor and City Commissioners From: Planning & Economic Development RE: Amendment to the Single Family Residential Section of the Zoning Ordinance - SECOND READING SUMMARY OF REQUEST: Staff initiated request to amend the Single Family Residential section of the zoning ordinance to clarify that short and long term rentals are not prohibited uses. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: To approve the zoning ordinance amendment COMMITTEE RECOMMENDATION: The Planning Commission unanimously recommended approval of the request 8-0 at their March 14 meeting. Hearing, Case 2019-06: Staff initiated request to amend the Single Family Residential section of the zoning ordinance to clarify that short- and long-term rentals are not prohibited uses. SUMMARY 1. The City Commission recently passed a Short-Term Vacation Rental ordinance (enclosed). 2. Some citizens have complained that the City is not following the zoning ordinance because of Section 400.3.h.xiv(5). See Single Family Residential District attachment. They have claimed that rentals are breaking the rule of prohibiting “lodging services including but not limited to, a tourist home (defined as a bed and breakfast in the ordinance), motel or hotel.” However, this is located in the home occupation section, which also states “the business person operating the home occupation shall reside in the dwelling.” This is not the case with rentals, long or short term, so the City has never considered rentals as home occupations. 3. To clarify and eliminate any confusion, staff is suggesting to amend the ordinance as follows (additions in bold): Home Occupations: xiv. Activities specifically prohibited (but not limited to) include: (5) A lodging service including but not limited to, a tourist home, motel or hotel. This does not include short or long-term rental homes. CITY OF MUSKEGON MUSKEGON COUNTY, MICHIGAN ORDINANCE NO._____ An ordinance to amend the Single Family Residential section of the zoning ordinance to clarify that short and long term rentals are not prohibited uses. THE CITY COMMISSION OF THE CITY OF MUSKEGON HEREBY ORDAINS: NEW LANGUAGE New Additions in Bold: Section 400: Home Occupations: xiv. Activities specifically prohibited (but not limited to) include: (5) A lodging service including but not limited to, a tourist home, motel or hotel. This does not include short or long-term rental homes. This ordinance adopted: Ayes:______________________________________________________________ Nayes:_____________________________________________________________ Adoption Date: Effective Date: First Reading: March 26, 2019 Second Reading: CITY OF MUSKEGON By: _________________________________ Ann Meisch, MMC, City Clerk CERTIFICATE The undersigned, being the duly qualified clerk of the City of Muskegon, Muskegon County, Michigan, does hereby certify that the foregoing is a true and complete copy of an ordinance adopted by the City Commission of the City of Muskegon, at a regular meeting of the City Commission on the 9th day of April, 2019, at which meeting a quorum was present and remained throughout, and that the original of said ordinance is on file in the records of the City of Muskegon. I further certify that the meeting was conducted and public notice was given pursuant to and in full compliance with the Michigan Zoning Enabling Act, Public Acts of Michigan No. 33 of 2006, and that minutes were kept and will be or have been made available as required thereby. DATED: ___________________, 2019. __________________________________________ Ann Meisch, MMC Clerk, City of Muskegon Publish: Notice of Adoption to be published once within ten (10) days of final adoption. CITY OF MUSKEGON NOTICE OF ADOPTION Please take notice that on April 9, 2019, the City Commission of the City of Muskegon adopted an ordinance to amend the Single Family Residential section of the zoning ordinance to clarify that short and long term rentals are not prohibited uses. Copies of the ordinance may be viewed and purchased at reasonable cost at the Office of the City Clerk in the City Hall, 933 Terrace Street, Muskegon, Michigan, during regular business hours. This ordinance amendment is effective ten days from the date of this publication. Published ____________________, 2019. CITY OF MUSKEGON By _________________________________ Ann Meisch, MMC City Clerk --------------------------------------------------------------------------------------------------------------------- PUBLISH ONCE WITHIN TEN (10) DAYS OF FINAL PASSAGE. Account No. 101-80400-5354 5 AGENDA ITEM NO._________ CITY COMMISSION MEETING: April 9, 2019 TO: HONORABLE MAYOR AND CITY COMMISSIONERS FROM: Sarah Petersen, Treasurer DATE: April 9, 2019 RE: Waiver of Interest and Penalty Associated with Failure to File Property Transfer Affidavits (PTA), Form 2766 SUMMARY OF REQUEST: Adopt the attached resolution to waive interest and penalty associated with failure to file form 2766, Property Transfer Affidavit (PTA). Per MCL211.27b, a municipal unit is required to charge interest and penalties to an owner of a property that does not file a PTA within 45 days of the transfer of ownership. We currently do not charge the penalties or interest to a taxpayer that has not filed the PTA within the 45 day requirement. State statute requires the governing body to pass a resolution in order to waive the penalties and interest. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Adopt the attached resolution to waive penalties and interest associated with untimely filing of Property Transfer Affidavits. RESOLUTION# TO WAIVE INTEREST AND PENALTY ASSOCIATED WITH FAILURE TO FILE PROPERTY TRANSFER AFFIDAVITS (PTA)- FORM 2766 WHEREAS, MCL 211.27b requires the levy of interest and penalty upon the buyers of property if a PTA - Form 2766 is not filed within 45 days of all transfers of ownership; and WHEREAS, MCL 211.27b also provides for the waiver of interest and penalty via a local unit resolution if deemed necessary. THEREFORE, BE IT RESOLVED that the City of Muskegon, MI has deemed that the waiver of all interest and penalties for all untimely or not-filed PTAs-Form 2766 is necessary. The foregoing resolution offered by Commissioner _ Supported by Commissioner _ Upon Roll Call Vote, the following voted: Ayes: Nays: Resolution adopted on: By: ______________________________ Ann Meisch, MMC, City Clerk CERTIFICATION This resolution as adopted at a regular meeting of the City Commission, held on April 9, 2019. 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 _______________________________________ Ann Meisch, MMC, City Clerk AGENDA ITEM NO._________ CITY COMMISSION MEETING: April 9, 2019 TO: HONORABLE MAYOR AND CITY COMMISSIONERS FROM: Sarah Petersen, Treasurer DATE: April 9, 2019 RE: Resolution to Revoke the Contract for Housing Exemption with Trinity Village Limited Dividend Housing Association SUMMARY OF REQUEST: Adopt the attached resolution to revoke the Contract for Housing Exemption with Trinity Village Limited Dividend Housing Association and terminate the Payment in Lieu of Taxes (PILOT) status on Trinity Village I and Trinity Village II. The City Treasurer has received formal notice from the Michigan State Housing Development Authority that they have foreclosed upon and take possession of the two properties governed by this agreement. The State has indicated that they intend to pay the outstanding PILOT assessments for the 2018 tax year. Beginning in 2019, these properties will be completely tax exempt as a result of being owned by the State of Michigan. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None STAFF RECOMMENDATION: Adopt the attached resolution to terminate the Contract for Housing Exemption with Trinity Village Limited Dividend Housing Association. RESOLUTION# TO REVOKE THE CONTRACT FOR HOUSING EXEMPTION WITH TRINITY VILLAGE LIMITED DIVIDEND HOUSING ASSOCIATION WHEREAS, A Contract for Housing Exemption was entered into by the City of Muskegon and Trinity Village Limited Dividend Housing Association in order to grant PILOT (Payment in Lieu of Taxes) status to two properties, Trinity Village I and Trinity Village II, in December of 1992; and WHEREAS, Said Contract for Housing Exemption states that the City of Muskegon is contractually bound by the agreement as long as the Trinity project is financed by a mortgage loan made or insured by the Michigan State Housing Development Authority, provided that said mortgage is not in default; and WHEREAS, the City of Muskegon has received formal notice from the Michigan State Housing Development Authority that they have foreclosed upon and taken possession of Trinity Village I and Trinity Village II from Trinity Village Limited Dividend Housing Association. THEREFORE, BE IT RESOLVED that the termination of said Contract for Housing Exemption with Trinity Village Limited Dividend Housing Association is effected and the PILOT status of both properties is revoked. The foregoing resolution offered by Commissioner _ Supported by Commissioner _ Upon Roll Call Vote, the following voted: Ayes: Nays: Resolution adopted on: By: ______________________________ Ann Meisch, MMC, City Clerk CERTIFICATION This resolution as adopted at a regular meeting of the City Commission, held on April 9, 2019. 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 _______________________________________ Ann Meisch, MMC, City Clerk Date: 4/9/2019 To: Honorable Mayor and City Commissioners From: Planning Department RE: Establish Policy and Application for Sports Leagues and Tournaments SUMMARY OF REQUEST: Approve the establishment of a policy and application for sports leagues and tournaments using city parks and facilities. The policy is similar to the special event policy, provides consistency for users of city facilities, and informs applicants of rules and regulations that must be followed. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Approve the policy and application. CITY OF MUSKEGON SPORT LEAGUE AND TOURNAMENT POLICY 2019 The City of Muskegon has many fine parks and facilities available for your team. A Sports Leagues and Tournaments Application is required for any sport league or tournament using City property. While there are several City departments involved in the approval process, this policy centralizes the administration of special events with the City’s Planning Department. For events where alcohol is served, applicants must also obtain approval from the State of Michigan Liquor Control Commission and the Muskegon Police Department, in addition to completing the Special Event Application. Liquor license approval is a separate process from the Sports Leagues and Tournaments Application, with its own fees and regulations. The final authority for signing special liquor licenses is with the Public Safety Director. For State of Michigan liquor license regulations and information, please visit the State of Michigan’s website at www.michigan.gov/lara. SPORT LEAGUE AND TOURNAMENT APPLICATION PROCEDURE I. Application (Application) Submission & Fee Schedule All Applications shall be filed with the Planning Department at least thirty (30) days prior to the start of the season. The non-refundable application fee must be paid at the time the application is submitted. Application fee schedule: $100 to be submitted 30 days or more prior to the start of Application Fee to be paid by each separate league the season Tournament Fee $40 fee for each tournament Park Use Fee $40 per league/club/school Cleaning Deposit $100 Application fees may be waived for Veterans groups or school groups for schools located within the city limits. Note your request for waived fees on your application, and city staff will review. Cleaning deposit will be refunded within 30 days if proper clean-up was completed and no damage occurred. If paid by credit card, refund will be credited to same card. Additional charges for damage or excessive wear may also be applied if conditions warrant. Cleaning supplies will not be supplied by the city. The Application shall be submitted in writing and must be on the appropriate form. The application fee must be paid at the time of Application submission. The cleaning deposit must be paid upon event approval (we will send you an invoice). Fees for additional city services will be invoiced at the end of the season or tournament. The CITY OF MUSKEGON SPORTS LEAGUES AND TOURNAMENTS APPLICATION form can be found on the City’s website at www.muskegon-mi.gov, or you may call 231.724.6702 to have one mailed/e-mailed to you, or visit the Planning Department on the 2nd floor of City Hall, Monday – Friday from 8:30 am. until 5:00 p.m. excluding holidays. II. Event Requirements All permittees must adhere to the following rules and regulations. Failure to do so may result in the applicant being held responsible for any damages, forfeiture of all or part of your deposit, and/or denial of future applications. -1- (a) Public Safety Personnel. While the presence of public safety personnel (police/fire/medical) may not be required at all special events, it shall be the discretion of the Public Safety Director as to whether or not, and how many, city police and/or fire officials may be required. The applicant/organization will be responsible for payment of public safety personnel service. See Fee Schedule (Section V, page 5) for fee estimates. If an event is cancelled with less than 72 hours’ notice, the applicant/organization will be responsible for paying two hours’ pay per officer, per contract requirements. Applicants are not allowed to provide their own public safety staff (police/fire/medical) without prior approval of the City of Muskegon’s Public Safety Director. (b) Restroom Facilities. All outdoor events shall provide adequate restroom facilities (i.e. portable toilets) including handicapped-accessible facilities per ADA requirements. Restroom placement shall not impede sidewalk traffic. (c) Digging & Staking. Digging or staking into paved areas, including roadways, sidewalks, and public parking areas, is not permitted. Digging or staking into non-paved ground shall be cleared through Miss Dig in order to avoid damage to underground utilities. The Applicant Organization is responsible for contacting Miss Dig (1-800-482-7171, or dial 811) a minimum of 5 working days prior to event set-up. The applicant will also be responsible for paying an electrician to locate underground utility lines, if required. The Applicant Organization will be responsible for the cost of any damages to underground utilities, including irrigation lines, caused by digging or staking. (d) Electrical and Water Hook-up. The applicant must adapt to electrical power available on-site, or provide their own generator. When using City electrical panels, the applicant shall read the meter before and after the event, and report those numbers to the City’s special event coordinator upon request. City fire hydrants may be used as a water source for a fee [see Fee Schedule (Section V, page 5) for cost]. It is the responsibility of the applicant to provide acceptable hoses for potable water usage, which meet Health Department requirements. (e) Inspections. The event location is subject to all building, plumbing, mechanical, electrical, and fire codes. It is the permittee’s responsibility to schedule an inspection by any and all required inspectors and pay the required inspection fee(s). The City’s building inspection department (SAFEbuilt), requires an inspection of assembly tents. See Fee Schedule (Section V, page 5) for costs. For events having multiple tents, contact the City’s Building Official for inspection fees. (f) Food trucks. Any food trucks or vendors using deep fryers and/or propane cylinders must be inspected and approved by the Fire Marshal’s office prior to participation in a special event. These vendors are required to have no less than a 5 lb ABC-type fire extinguisher which has a current inspection tag and a class K type fire extinguisher for any deep-frying equipment wherein oils and/or grease is used as a medium. Contact the Fire Marshall for an inspection at (231) 724-6793. (g) Event Set-up and Tear-down. For events utilizing any public roadway, no tents, booths, vendors, or equipment shall be set up in the roadway prior to 6:00 p.m. the day before the event. All signs, tents, booths, vendors, and equipment must be removed from the roadway prior to 6:00 a.m. the day after the event. (h) Site Clean-up and Trash Disposal. The Applicant shall be responsible for clean-up of City facilities after the event. This includes the removal of trash from the site (do not leave full trash cans on site). Applicants shall provide their own Dumpster. The City shall have the right to enforce cleanup measures, including but not limited to entry and cleaning of property by City personnel with costs charged to the owner, occupant, or applicant. City staff may require a walk-through after the event to ensure satisfactory clean-up. (i) Merchandise Sales. Sales of all merchandise for Special Events must be out of the public right-of-way, unless prior authorization is received. (j) Compliance with all regulations. Special Event applicants/organizations are responsible to ensure that all applicable laws and ordinances are followed. Failure to comply with all city -2- ordinances, rules and regulations may result in the denial of future special event requests and/or the forfeiture of your deposit. III. Special Event Application Processing (a) Application Intake. Planning Department staff shall be responsible for intake of Sport League and Tournament Applications and dissemination to appropriate City staff for review and approval. The application fee must be submitted with the application. Liquor license applications shall be filed with the Public Safety Director. (b) Approval. The City will issue an approval or denial no later than 30 days after the application date whenever possible. Preliminary approval may be given to allow the applicant to advertise the event, with final details to be worked out with staff. An approval letter will be issued, listing conditions of approval. (c) Application Denial. Where City staff reviews an Application and denies same, it shall state in writing the reasons for the denial. An appeal of that decision may be made to the City Commission, whose decision shall be final. (d) Unpaid Invoices Due the City. Any past due fees/invoices owed to the City may result in denial of the application and/or future requests. (e) Meetings with Staff. City staff will meet with applicants to discuss event details if needed. Contact the City’s special event coordinator in the Planning Department to request a meeting. There may also be instances where City staff requires a meeting with the applicant. Failure to attend a requested meeting may result in denial of the application. (f) Site Plan. The City may require submittal of a site plan showing the event grounds and the location of tents, vendors, portable toilets, and other structures. -3- IV. Fee Schedule (Use of City Equipment, Labor Charges, Liquor Licenses, Inspections, Park use fees) ITEM / SERVICE RENTAL FEE (plus labor if necessary) 55-gallon metal trash can $5.00 each Plastic trash bags (1 case) $40.00 per case or actual cost Snow fence (wood) $30.00 per roll Fence posts $3.00 per post Picnic tables $10.00 each Fire hydrant use (installation & removal of $100.00 flat rate per hydrant hydrant tree, water testing, and water usage) DPW/Parks personnel labor costs $60.00/hour (Transportation of Barricades/Cones/tables, etc) Truck/ trailer rental may also be charged PUBLIC SAFETY SERVICES / FEES NOTE: Liquor License fees are lowest when applied for at least 45 days in advance of the event date. Liquor licenses will not be issued within 15 days of an event. Special liquor license (non-profit)/New event $150.00 (if applied for at least 45 days in advance of event) Special liquor license (non-profit)/Return event $125.00 (if applied for at least 45 days in advance of event) Organization located outside City of Muskegon Special liquor license/Return event, in-City rate $ 75.00 (if applied for at least 45 days in advance of event) Special liquor license (all) within 15-44 days of $250.00 event Liquor license/Temporary authorization – $40.00 ($60 if within 44-15 days of event) existing business/club Public safety labor charges (police/fire/medical) $60.00 per hour (time and ½) Public safety labor charges (police/fire/medical) $120.00 per hour (triple time/holidays) INSPECTIONS Inspection of assembly tent $50.00 (if multiple tents, contact building official for fees) Contact the building inspection department to see if Electrical or plumbing inspections these are required Fire Department inspection of food trucks Included with application fee PARK USE FEES – SPECIAL EVENTS Hackley Park exclusive use fee $200 if utilizing the entire park (includes the stage) Hackley Park stage use fee $50 if using only the stage area Harbour Towne Beach user fee $1500.00 per event Lakeshore Trail bicycle/walking path $200 per event Pere Marquette Park user fees (applicable Memorial Day through Labor Day) Events less than 100 people $100 per event Events with 100 - 250 people $200 per event Events with 250 – 500 people $350 per event Events with 500 - 2000 people $500 per event Events over 2000 people $1500.00 per event Parking spaces for event use $10 per parking space reserved Exclusive use fee of Ovals parking lot area $200 per event -4- Date: 4/9/2019 To: Honorable Mayor and City Commissioners From: Planning Department RE: Set Sports Leagues and Tournament Fees SUMMARY OF REQUEST: Set the fees for sports leagues and tournaments using city parks and facilities as follows. $100 to be submitted 30 days or more prior to the start of Application Fee to be paid by each separate league the season Tournament Fee $40 fee for each tournament Park Use Fee $40 per league/club/school Cleaning Deposit $100 Application fees may be waived for Veterans groups or school groups for schools located within the city limits. Groups are directed to note their requests for waived fees on their applications, and city staff will review. FINANCIAL IMPACT: Revenue generated by fees. BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Approve the fees for sports leagues and tournaments. 2019 CITY OF MUSKEGON SPORTS LEAGUES AND TOURNAMENTS APPLICATION An application is required for any league or tournament using City property. The application and fee must be submitted to the City of Muskegon Planning Department at least 30 days prior to the first practice, game or tournament. In addition, any events where alcohol is served will require a temporary liquor license, which is handled through the Muskegon Police Department. Contact the Police Department at 231.724.6750 for liquor license fees and requirements. Return completed application with payment to the City of Muskegon Planning Department, P.O. Box 536, 933 Terrace St., Muskegon, MI 49443-0536. Telephone: 231.724.6702 ►SPORTS LEAGUES AND TOURNAMENTS FEES $100 to be submitted 30 days or more prior to the start of Application Fee to be paid by each separate league the season Tournament Fee $40 fee for each tournament Park Use Fee $40 per league/club/school Cleaning Deposit $100 Application fees may be waived for Veterans groups or school groups for schools located within the city limits. Note your request for waived fees on your application, and city staff will review. Cleaning deposit will be refunded within 30 days if proper clean-up was completed and no damage occurred. If paid by credit card, refund will be credited to same card. Additional charges for damage or excessive wear may also be applied if conditions warrant. Cleaning supplies will not be supplied by the city. ► I. LEAGUE OR TOURNAMENT SUMMARY Each league will submit a schedule showing which days they will use city facilities, the time frames the facilities are used, and the start and end dates of the leagues/tournaments. For each tournament, dates and times that facilities are needed must be listed. Attach a separate sheet if necessary or use the blank space at the bottom of this page. TYPE OF SPORT PRACTICE DATE(S) TOURNAMENT DATE(S) START: USE TIME(S) END: LOCATION Additional space for continuing above info if needed: Page | 1 ► II. APPLICANT INFORMATION ORGANIZATION NAME APPLICANT’S NAME/ RESPONSIBLE PARTY ORGANIZATION / APPLICANT ADDRESS /CITY/ STATE/ ZIP APPLICANT PHONE NO(s). APPLICANT E-MAIL ADDRESS CONTACT NAME & PHONE NUMBER DURING EVENT Representative must be on site and available during event hours ► III. ALCOHOL SERVICE Will there be alcohol sold/served? NO (proceed to Section IV, Event Site Details) YES (complete remainder of Section III, below) Applicant must contact the Muskegon Police Department to apply for a separate liquor license. The liquor license application also requires State of Michigan approval so it is imperative that you get this done early. No liquor license will be issued within 14 days of an event date. Name of non-profit organization you are partnering with for the liquor license: Contact person at non-profit organization (name & phone number): ► IV. TOURNAMENT DETAILS Provide a detailed description of your tournament. Use additional sheet if necessary: Number of people expected at site _____________ Is this new/ first-time? No ____ Yes ____ No _______ Yes _______** Will there be food concessions at the site? **Contact Fire Marshall for requirements Will there be emergency medical services present? No _______ Yes______ (Other municipalities may not provide services in the City) Provider: No _______ Yes_______ Will you have your own security present? Provider: No _______ Yes _______ If yes, contact the Will there be assembly tents erected at the site? building inspection department to schedule an inspection for any tents over 400 square feet Page | 2 ► V. CITY EQUIPMENT REQUESTED Indicate the number of each item you’re requesting below. There are additional fees if you require City staff to transport the items. Labor charges start at $60/hour per person. Larger items may require 2 people to move/transport. Leagues will be invoiced for fees at the close of the season. ITEM QUANTITY ITEM QUANTITY Wooden picnic tables ($10 each) Fire hydrant use ($100 per hydrant) 55-gallon metal trash cans ($5 each) Wood snow fence ($30/roll) Trash bags ($50 per case) Fence posts ($3 per post) Check one: I request that City staff deliver the above items to the site (for an additional fee): _________ I agree to pick up and return the above items from/to the Public Works building: ________ The 2 items listed at right are available for your No Parking signs use free of charge, as long as they are picked up and returned to the City’s Public Works building. Safety Vests Are you requesting any other City services or equipment? (use of water, electric, etc) No ____ Yes____* * List other services here: ► VI. LIABILITY WAIVER PARTICIPANTS voluntarily agree, understand and recognize that PARTICIPANTS will have no right to make a claim or file a lawsuit against the CITY arising out of the use of City property. PARTICIPANTS agree to use City facilities at his/her own Risk, exercising his/her own free choice to participate voluntarily in this activity, and PARTICIPANTS assume responsibility for any and all such risks and dangers. ► VII. REQUIREMENTS OF THE SPORT LEAGUE PERMIT 1. Applicant shall comply with all rules and regulations of the City of Muskegon Sport League and Tournament Policy. 2. Applicant shall comply with all City of Muskegon Ordinances. 3. The applicant organization will save the City of Muskegon harmless from all claims. 4. City staff may require a meeting with applicant organization to help clarify requests for services. 5. Grounds will be left clean and free of litter. Failure of the applicant to satisfactorily clean the site may result in the City cleaning the site and billing the applicant for its services. 6. The City reserves the right to deny changes to the application once final approval is given. 7. Failure to provide any requested information in a timely manner or providing false information may result in denial or revocation of the special event permit. ►Failure to comply with any requirements of the Sport League and Tournament Permit may result in the forfeiture of your deposit and/or the denial of future requests. With my signature, I certify that I have read and agree to the City of Muskegon Sport League and Tournament Policy and all items listed on this application. I agree to abide by all applicable ordinances & regulations. ___________________________________________________________________________________________ Signature of Applicant Date Thank you for helping us help you make your event safe and successful. Page | 3 Date: 4/9/2019 To: Honorable Mayor and City Commissioners From: Planning Department RE: Request for Skate Park Funds SUMMARY OF REQUEST: Authorize the mayor and clerk to sign the resolution requesting distribution of funds from the City of Muskegon Parks Fund at the Community Foundation for Muskegon County. The Planning Department is requesting $2,000 to cover costs for surveying the property where we propose to locate a future skate park. These funds were originally targeted for the development of a new skate park within the city. FINANCIAL IMPACT: None BUDGET ACTION REQUIRED: None. STAFF RECOMMENDATION: Authorize the mayor and clerk to sign the resolution. City of Muskegon RESOLUTION REQUEST FOR CITY OF MUSKEGON PARKS FUNDS WHEREAS, Muskegon City Commissioners have established a fund at the Community Foundation for Muskegon County to promote a future skate park within our great city; and WHEREAS, Muskegon City Commissioners desire to construct a skate park for our residents and visitors; and WHEREAS, Muskegon City Commissioners understand the need to conduct preliminary design activities in preparation for a fundraising campaign; and NOW, THEREFORE LET IT BE RESOLVED, that Muskegon City Commissioners request $2,000 from the City of Muskegon Parks Funds at the Community Foundation for Muskegon County for surveying activities. Dated this ______ of _______ 20__. ________________________________ Stephen J. Gawron Mayor _________________________________ Ann Marie Meisch City Clerk AGENDA ITEM NO. _______________ CITY COMMISSION MEETING __________________________ TO: Honorable Mayor and City Commissioners FROM: Frank Peterson, City Manager DATE: April 4, 2019 RE: 714 Jackson – Demolition of Accessory Structure SUMMARY OF REQUEST: The City currently owns the Froebel School property as a result of tax foreclosure. Sometime this winter, significant damage was done to an accessory structure. The structure previously housed the school’s boiler. The damage has left the structure dangerous. Staff ordered an emergency demolition from Melching, Inc. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None at this time. STAFF RECOMMENDATION: To accept the bid of $10,000 from Melching, Inc. to secure the structure, conduct asbestos testing and abatement, and complete the demolition at 714 Jackson. COMMITTEE RECOMMENDATION: AGENDA ITEM NO. _______________ CITY COMMISSION MEETING __________________________ TO: Honorable Mayor and City Commissioners FROM: Frank Peterson, City Manager DATE: April 4, 2019 RE: Smart Zone Delinquent Tax Resolution SUMMARY OF REQUEST: At the annual goal setting session, the Commission directed staff to prepare a resolution asking the Muskegon County Treasurer to discontinue the practice of issuing delinquent tax payment plans for the properties located in the Smart Zone. Staff has prepared the resolution and is seeking approval. FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None at this time. STAFF RECOMMENDATION: To approve the Resolution and authorize staff to present it to the Muskegon County Treasurer’s Office. COMMITTEE RECOMMENDATION: RESOLUTION Demanding Foreclosure of Harbor 31 Business Park Properties WHEREAS, for the past eleven years the City of Muskegon has had an activated SmartZone in the area commonly known as the Harbor 31 Business Park; and WHEREAS, the City of Muskegon and Grand Valley State University have made significant investments in the SmartZone in the form of infrastructure and business incubation facilities; and WHEREAS, the operation and installation costs of these facilities were to be repaid with Tax Increment Financing capture from development and new tax base within the SmartZone; and WHEREAS, the private owners of several parcels within the SmartZone have not only failed to develop the properties into active uses, but have become delinquent in due payment of property taxes owed to the City and other taxing authorities; and WHEREAS, between the properties located in the SmartZone with parcel numbers 24-607-000- 0004-00, 24-607-000-0005-00, 24-607-000-0006-00, 24-607-000-0007-00, 24-607-000-0010-00, 24-607- 000-0011-00, 24-607-000-0012-00, 24-607-000-0013-00, 24-607-000-0014-00, 24-607-000-0015-00, 24- 607-000-0016-00 $612,335.04 in delinquent taxes is owed; and WHEREAS, the City of Muskegon is annually paying in excess of $480,000 due to lack of development and eligible TIF revenues on these properties in the SmartZone; WHEREAS, the Treasurer of the County of Muskegon has on multiple occasions created payment arrangements with the owners of the aforementioned parcels to collect payment of due taxes for all taxing authorities, and the owners have not honored said arrangements, NOW, THEREFORE, BE IT RESOLVED, I, STEPHEN J. GAWRON, by the virtue of the authority vested in me as Mayor of the City of Muskegon and with support of the duly elected Commission, do hereby demand that the Treasurer of the County of Muskegon begin tax foreclosure proceedings on the aforementioned parcels, and offer right of first refusal to purchase these sites to the City of Muskegon pursuant to the laws of the State of Michigan. IN WITNESS WHEREOF, I have hereunto set my hand this 9th day of April, 2019. ________________________ Stephen J. Gawron Mayor, City of Muskegon AGENDA ITEM NO. _______________ CITY COMMISSION MEETING __________________________ TO: Honorable Mayor and City Commissioners FROM: Frank Peterson, City Manager DATE: April 4, 2019 RE: LC Walker Arena Restaurant Proposals SUMMARY OF REQUEST: Economic Development Staff has reviewed the proposals and made a written recommendation. Staff is requesting permission to implement the action steps of that recommendation. Staff would return to a subsequent City Commission meeting to present lease terms for the accepted proposal(s). FINANCIAL IMPACT: None. BUDGET ACTION REQUIRED: None at this time. STAFF RECOMMENDATION: To accept the staff recommendation and authorize staff to implement the action steps. COMMITTEE RECOMMENDATION: City of Muskegon Economic Development Department Memo To: Frank Peterson, City Manager From: Jake Eckholm, Director of Economic Development cc: LeighAnn Mikesell, Director of Municipal Services Date: 3/15/2019 Re: LC Walker Arena Restaurant RFP Responses The City of Muskegon has received three (3) responses to our Request for Proposals regarding the new restaurant/craft alcohol establishment in the Western Avenue frontage portions of the LC Walker Arena. After reviewing the applications pursuant to the Evaluation Criteria stated in the RFP, I offer the following findings for your consideration. - Wonderland Distilling submitted a very well detailed proposal that calls for the installation of a cocktail bar/tasting room with an eatery component that featured upscale small plate menu items such as charcuterie, tenderloin and chicken sliders, and fresh mozzarella with oil and herbs. Their design featured an outdoorsman theme in line with their product brand. Additionally, they wish to feature a partnership with a new non-profit organization that seeks to provide opportunity to budding entrepreneurs from minority and marginalized communities, specifically utilizing minority chefs and culinary artists to create and provide a secondary rotating food menu. The development is requesting that the City frontload an investment of $300,000 of their $654,000 anticipated buildout, citing non-tenant related costs, with them repaying $100,000 as a loan. This would result in the city contributing $200,000 as a direct investment toward this respondent option, with a proposed timeline for project completion 7 months after approval. Wonderland is proposing a total rental rate of $8 per square foot. The concept includes approximately 2,200 sf of indoor space and 460 sf of outdoor patio space (plus an option on 470 sf of additional patio space). The $8 rate would apply to the 2,200 sf of interior space – resulting in annual rent of $17,600. The City’s expected $200,000 direct investment would be repaid in approximately 12 years. - The Fan Cave submitted a short proposal for a partial portion of the development area purveyed in the RFP to place a retail specialty/craft beer location. The business model calls for sales of individual cans and bottles of craft beers and ciders in a “build your own 6-pack” fashion, as well as 10-15 tap handles serving unique and specialty craft beers. They propose to utilize the arena’s liquor license, and on-site consumption of these beverages would also be possible in a lounge area featuring televisions and a large display of the Muskegon Sports Hall of Fame memorabilia currently housed in the arena. The projected buildout costs of $150,000 would be privately funded by the owners of The Fan Cave; the proposal requests no public funds, but does ask that the space be provided in “white box” form. It is likely that we will have some limited expenditures in creating the white box – mostly related to ensuring that utilities are available in the space. The respondents wish to begin buildout immediately upon approval with a summer 2019 opening. The respondents have indicated that they would be willing to relocate their proposed location to allow the arena to attract additional proposals for the remaining Western Avenue frontage. The group did not propose a specific rental rate. Using a $10 per square foot assumption, and a rental space of 1,100 sf, we can expect to recoup $11,000 per year. Costs associated with providing white box space are unknown, but estimated at $25,000-$30,000; this would result in a payback of less than three years. - Sports Bar Concept Submission: This proposal was well-detailed and specifically calls for the development of a sports bar and full menu restaurant location that encompasses the development space, with room for a third party micro-distillery tasting room and retail location. The proposed design calls for a first story dining room and an optional second story mezzanine dining space with a local sports theme that incorporates some of the local memorabilia previously found in the LC Walker Arena. The second floor is likely to come in a second phase. The conceptual menu items in the proposal are eclectic, ranging from gourmet salads to wings, burgers, and old fashioned milk shakes that would seem to carry a more mid-market price point. The proposal from this respondent calls for completely private financing with no public contribution specified. They reference preferring a leasing relationship consistent with other current tenants in the arena space. The respondent references starting immediately if approved, with a goal to open before the end of summer 2019. They have been in contact with the arena’s other major tenants – including sports teams and restaurants – and they indicate an ability to work together to build on the momentum at the arena. The proposed space calls for 2,181 sf of indoor rented space as well as access to patio seating for approximately 70 people. Based on an $8/sf rental rate, the city can expect $17,448 in annual rent. The city can expect to have some costs associated with providing utilities to the lease space. Using a $50,000 assumption, the city’s return on its investment would be approximately three years. In addition to these summaries, it is relevant to note that all three submissions call for indoor/outdoor seating options as requested in the RFP scope. All three respondents are groups comprised of local Muskegon area entrepreneurs, with all three having experience on their teams in the food service and entertainment industries. All three would be expected to contribute to common area maintenance, and would be expected to be responsible for any property taxes allocated to their space. After reviewing all three submitted proposals, the Sports Bar Concept Submission is the proposal that staff recommends to occupy the space as designated in the RFP. Their submission kept with the requested theme while also specifically attempting to collaborate and 2 involve third parties to diversify the offerings in the space and open it to other developers. Collectively the group responsible for this submission has significantly more food service and entertainment management experience than the others, and is currently operating several other highly-successful establishments in the Muskegon area. They call for no public money in their proposal, and their menu and theme offerings are the most eclectic – likely to appeal to a broad range of demographics present in our community. While the recommended development is the clear choice for this specific RFP and space, it is important to highlight that all of the concepts have a place in the downtown/midtown areas of Muskegon, and staff would like to reach out and work with these developers after this process is complete to assist them in finding locations in the community as follows: 1. Connect Wonderland Distilling with downtown building owners to determine if their concept is a good fit for their space. Specific opportunities include the first floor of Lakeview Lofts Phase 1, The Leonard, Highpoint Flats, and The Ameribank. 2. We have already reached out to the Muskegon Farmers Market and Kitchen 242, and believe there is a great partnership opportunity for the non-profit mentioned in the Wonderland proposal. There is also support from staff to identify/provide space adjacent to the city’s kitchen incubator to support and restaurant entrepreneurs in Muskegon. Kitchen 242 and other city-owned assets are logical tools for this organization as they work to assist these budding businesses. 3. The Fan Cave would be a welcome amenity in our downtown. Similar – but smaller – locations described above for Wonderland Distilling could be identified for the Fan Cave. Staff is seeking permission to undertake the following: 1. Select the proposal from Andrew Harris, Jennifer Harris, Andrew Price, and James Curtis as the top choice for the LC walker Arena. 2. Work directly with the developers to finalize their proposal – related to theme, footprint, lease conditions, and collaboration opportunities. 3. Make a staff determination as to what to do with the remaining 700-1,000 square feet of leasable space along Western Avenue, with the goal of either operating a concept internally as part of the arena’s concession operations or moving forward with the Fan Cave concept proposed by Matthew Gongalski. Respectfully, Jake Eckholm Director of Economic Development 3
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