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CITY OF MUSKEGON
CITY COMMISSION MEETING
NOVEMBER 14, 2000
CITY COMMISSION CHAMBERS@ 5:30 P.M.
AGENDA
o CALL MEETING TO ORDER:
o PRAYER:
o PLEDGE OF ALLEGIANCE:
o ROLL CALL:
o PRESENTATION:
o HONORS AND AWARDS:
o CONSENT AGENDA: Items listed under the Consent Agenda have been
considered to be routine in nature and will be enacted in one motion. No
separate discussion will be held on these items. If discussion is required, it will be
removed from the Consent Agenda and be considered separately.
a. Approval of Minutes. CITY CLERK
b. Liquor License Request. CITY CLERK
c. Zoning Ordinance Amendment for Home Occupation Signs.
PLANNING & ECONOMIC DEVELOPMENT
d. Storage & Refuse Ordinance. POLICE
e. FY 1999 Local Law Enforcement Block Grant. POLICE
f. Nextel Tower Lease Agreement #2. PUBLIC WORKS
g. Emergency Dredging Grant Agreement. LEISURE SERVICES
h. Request for Permission to Purchase 6 Automatic External
Defibrillator Units. Fl RE
i. Bond Authorizing Resolution 2000 Special Assessment Bonds.
FINANCE
j. Extending the Jackson Hill Land sale incentive program for one
year. PLANNING & ECONOMIC DEVELOPMENT
o PUBLIC HEARINGS:
a. Cancellation of Public Hearing concerning City's 1999-2000
Consolidated Annual Performance Evaluation Report (CAPER).
COMMUNITY & NEIGHBORHOOD SERVICES
o COMMUNICATIONS:
o CITY MANAGER'S REPORT:
o UNFINISHED BUSINESS:
o NEW BUSINESS:
a. Request for an Encroachment Agreement for City Cafe. ENGINEERING
b. Approval to Apply for Clean Water Fund Grant. PUBLIC WORKS
c. Shoreline Drive East Consulting Agreement amendment (Subsurface
Assessment). ENGINEERING
d. Obsolete Property Rehabilitation Districts Policy. PLANNING &
ECONOMIC DEVELOPMENT
e. Transportation Enhancement Grant. PLANNING & ECONOMIC
DEVELOPMENT
f. Agreement for Prospective Cancellation of Trinity Manor Contract for
Housing Exemption. PLANNING & ECONOMIC DEVELOPMENT
g. Sale of Buildable Property on Marquette Avenue. PLANNING &
ECONOMIC DEVELOPMENT
o ANY OTHER BUSINESS:
o PUBLIC PARTICIPATION:
• Reminder: Individuals who would like to address the City Commission shall do the following:
• 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 TO minutes ii previously registered with City Clerk.)
o ADJOURNMENT:
ADA POLICY: THE CITY OF MUSKEGON WILL PROVIDE NECESSARY AUXILIARY AIDS AND SERVICES TO INDIVIDUALS WHO WANT TO
ATTEND THE MEETING UPON TWENTY FOUR HOUR NOTICE TO THE CITY OF MUSKEGON, PLEASE CONTACT GAIL A. KUNDINGER,
CITY CLERK, 933 TERRACE STREET, MUSKEGON, Ml 49440 OR BY CALLING (231) 724-6705 OR TDD: (231) 724-4172.
Date: November 9, 2000
To: Honorable Mayor and City Commission
From: Gail A. Kundinger, City Clerk
RE: Approval of Minutes
SUMMARY OF REQUEST: To adopt the minutes of the October 24,
2000, regular commission meeting.
FINANCIAL IMPACT: None.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: Approval of the request.
CITY OF MUSKEGON
CITY COMMISSION MEETING
NOVEMBER 14, 2000
CITY COMMISSION CHAMBERS @ 5:30 P.M.
MINUTES
The Regular Commission Meeting of the City of Muskegon was held at City Hall, 933 Ter-
race Street, Muskegon, Michigan at 5:30 p.m., Tuesday, November 14, 2000.
Mayor Nielsen opened the meeting with a prayer after which members of the City Com-
mission and the members of the public joined in reciting the Pledge of Allegiance to the
Flag.
ROLL CALL FOR THE REGULAR COMMISSION MEETING
Present: Mayor Fred J. Nielsen; Vice Mayor Scott Sieradzki; Commissioners Jone Wortel-
boer Benedict, Robert Schweifler, Clara Shepherd, and Lawrence Spataro
Excused: Commissioner John Aslakson
HONORS AND AWARDS:
Commissioner Spataro thanked everyone that participated before and during the visit of
Vice President Gore.
2000-105 CONSENT AGENDA: Items listed under the Consent Agenda have been consid-
ered to be routine in nature and will be enacted in one motion. No separate
discussion will be held on these items. If discussion is required, it will be removed
from the Consent Agenda and be considered separately.
a. Approval of Minutes.
CITY CLERK
SUMMARY OF REQUEST: To adopt the minutes of the October 24, 2000 Regular Commis-
sion Meeting.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Approval of the request.
c. Request for Resolution for Gaming License.
CITY CLERK
SUMMARY OF REQUEST: To approve a request from Community Foundation for a resolu-
tion that would recognize them as a non-profit organization operating in the City of
Muskegon for the purpose of obtaining a gaming license for a fundraising event for Festival
of Trees later in November.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Approval
d. SECOND READING - Zoning Ordinance Amendment for Home Occupation
Signs.
PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: Request to amend Sections 400, 600 and 700 (Principal Uses Per-
mitted) of Articles IV (R-1, Single-Family Residential) of the Zoning Ordinance to amend the
language regarding signage restrictions for home occupation uses. This amendment is in-
tended to correct an existing inconsistency in the Zoning Ordinance.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Staff recommends amendment of the Zoning Ordinance to
include the revised language in the sections described above. The Planning Commission
recommended approval of the request at their October 11, 2000 meeting. The vote was
unanimous.
e. Storage & Refuse Ordinance.
POLICE
This item removed from the agenda by request of staff.
f. FY 1999 Local Law Enforcement Block Grant.
POLICE
SUMMARY OF REQUEST: Police Department staff request that the Commission approve the
use of FY 1999 Local Law Enforcement Block Grant (LLEBG) money to purchase new badges
for sworn department personnel. Based upon an inspection, a number of badges need to
be replaced. This would provide us with the opportunity to select a vendor who provides a
lifetime warranty at a better cost. Additionally and as importantly, we would be able to util-
ize the gender-neutral term "Police Officer" instead of the current "Patrolman".
FINANCIAL IMPACT: $12,342 in LLEBG money will be used to purchase the new badges.
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To approve the use of the grant money for the purchase.
NOVEMBER 14, 2000 2
g. Nextel Tower Lease Agreement #2.
PUBLIC WORKS
SUMMARY OF REQUEST: Nextel Communications has requested permission to install an-
tennae on our Nims Street Water Tank, similar to their installation on our Marshall Street Water
Tank.
FINANCIAL IMPACT: Income to the City of $1545 per month beginning in the year 200 l, to
be escalated at the rate of 3% per year. (Same as our previous agreement.)
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Staff Recommends approval of this agreement with funds to
go to the Water Fund to offset future water tower repainting cost. A structural study has
been completed by Dixon Engineering and their recommendations have been incorporated
into the design.
h. Emergency Dredging Grant Agreement.
LEISURE SERVICES
SUMMARY OF REQUEST: To authorize the Mayor to sign the 2000 Emergency Dredging
Program Grant Agreement with the DNR for the dredging of Hartshorn Marina.
FINANCIAL IMPACT: Up to $225,000 in State funds on a 75-25% matching basis.
BUDGET ACTION REQUIRED: None, funds will come from the Marina Fund.
STAFF RECOMMENDATION: Approve
i. Request for Permission to Purchase 6 Automatic External Defibrillator Units.
FIRE
SUMMARY OF REQUEST: The Fire Department is requesting City Commission permission to
purchase 6 automatic external defibrillator (AED) units from Medtronic Physio-Control.
FINANCIAL IMPACT: $17,369.44
BUDGET ACTION REQUIRED: To be purchased with remainder of funds budgeted from
public improvement fund for Self-Contained Breathing apparatus, which were unspent.
STAFF RECOMMENDATION: Staff recommends approval of purchase of 6 Lifepak 500
AED's using unspent funds that were budgeted from SCBA units from Medtronic Physio-
Control.
j. Bond Authorizing Resolution 2000 Special Assessment Bonds.
FINANCE
SUMMARY OF REQUEST: The city is in the midst of an aggressive citywide sidewalk im-
provement program. To finance the up front costs, it is periodically necessary to issue special
assessment bonds. These bonds will be paid from special assessments levied against bene-
fiting property owners. Previously the Commission adopted a Notice of Intent Resolution
NOVEMBER 14, 2000 3
which notified citizens of the city's intent to borrow and allowed for a 45-day period during
which petitions could be filed to force a referendum on the issue. The 45-day period has
elapsed with no petitions being filed and the next step in the bonding process is adoption of
the bond authorizing resolution.
FINANCIAL IMPACT: The resolution authorizes the City to borrow $825,000. The bonds will
be paid from special assessments over 10 years and will carry, as a secondary pledge, the
City's limited full faith and credit. This means that if special assessment income falls short of
the amount needed to make annual debt service payments, the City's General Fund will be
required to make up the shortfall.
The full financial impact will not be known until bonds are sold and interest rates deter-
mined. Bonds are scheduled for sale on Tuesday, November 28th and the results will be
brought to the City Commission that same evening for award.
BUDGET ACTION REQUIRED: None at this time. The annual debt service costs will be
budgeted in future years as well until the bonds are retired (2009).
STAFF RECOMMENDATION: Approval of the bond authorizing resolution.
k. Extending the Jackson Hill Land sale incentive program for one year.
PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: To approve the extension of the Jackson Hill incentive program in
order that it may be coordinated with the Community and Neighborhood services targeted
Jackson Hill Infill program. It is the opinion of staff that the incentives make the program
more attractive and more affordable to the targeted 80% median income residents. The
City owned lots usually sell for approximately $3,500, but if all incentives are met, the proper-
ties can sell for as low at $500.00.
FINANCIAL IMPACT: The sale of the lots and the construction of the homes will add to the
City's Housing stock in a core city neighborhood. The sale and construction of the housing
will also allow the property to be placed back on the tax roll as well as increase the overall
value of housing in the area.
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To approve the extension of the Jackson Hill Incentive pro-
gram.
Motion by Vice Mayor Sieradzki, second by Commissioner Spataro to approve the Con-
sent Agenda with the exception of item (b).
ROLL VOTE: Ayes: Shepherd, Sieradzki, Spataro, Benedict, Nielsen, Schweifler
Nays: None
Excused: Aslakson
ADOPTED
NOVEMBER 14, 2000 4
2000-106 ITEMS REMOVED FROM CONSENT:
b. Liquor License Request.
CITY CLERK
SUMMARY OF REQUEST: To approve the request to drop Ismail Shaba, a current stock-
holder and transfer his shares to new stockholder Samei Btk. City departments have been
contacted regarding this transfer. If you approve this request, please make it contingent
upon payment of any money owed the city and that any violations be addressed before
sending documents to the State of Michigan Liquor Control Commission.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Approval of the request.
Motion by Commissioner Schweifler, second by Vice Mayor Sieradzki to approve the re-
quest to drop Ismail Shaba, and transfer his shares to new stockholder Samei Btk contingent
upon payment of any money owed the city and that any violations be addressed before
sending documents to the State of Michigan Liquor Control Commission.
ROLL VOTE: Ayes: Sieradzki, Spataro, Benedict, Nielsen, Schweifler
Nays: Shepherd
Excused: Aslakson
ADOPTED
2000-107 PUBLIC HEARINGS:
a. Cancellation of Public Hearing concerning City's 1999-2000 Consolidated
Annual Performance Evaluation Report (CAPER).
COMMUNITY & NEIGHBORHOOD SERVICES
SUMMARY OF REQUEST: The Community and Neighborhood Services Department re-
ceived a legal opinion from Attorney Cathy Bialas of the U. S. Department of Housing and
Urban Development, stating that the City has met its obligation concerning the Citizen's Par-
ticipation Plan as it relates to its CAPER submission. Therefore an additional Public Hearing is
not required.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To cancel scheduled Public Hearing.
No action was taken on this item.
NOVEMBER 14, 2000 5
2000-108 NEW BUSINESS:
a. Request for an Encroachment Agreement for City Cafe.
ENGINEERING
SUMMARY OF REQUEST: Mr. Frank Lister, owner of the City Cafe, has submitted the En-
croachment Agreement Form requesting your permission to install a sign on the Western Ave.
side of 425 W. Western (southeast corner of Third & Western). Furthermore, your permission, if
granted, be contingent upon receiving approval from HDC as well as inspection.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To approve the encroachment.
Motion by Vice Mayor Sieradzki, second by Commissioner Spataro to approve the En-
croachment Agreement Form requesting permission to install a sign on Western Avenue for
the City Cafe contingent upon receiving approval from HDC as well as the inspection de-
partment.
ROLL VOTE: Ayes: Spataro, Benedict, Nielsen, Schweifler, Shepherd, Sieradzki
Nays: None
Excused: Aslakson
ADOPTED
b. Approval to Apply for Clean Water Fund Grant.
PUBLIC WORKS
SUMMARY OF REQUEST: The Michigan Department of Environmental Quality is making
Clean Michigan Initiative Clean Water Fund grants available to municipalities to "identify
and require the correction of illicit connections to storm sewer systems." This funding would
augment our efforts to comply with upcoming Phase II storm sewer mandates. The grant
would be targeted to identifying sources of sanitary sewage improperly entering the storm
sewer. Direct investigation of sewer lines, water quality monitoring of storm sewer effluent
and public education about pollution prevention are eligible activities. A 25% (minimum) lo-
cal match is required. Staff is requesting approval to apply for this grant.
FINANCIAL IMPACT: $50,000 has been allocated in the 2001 budget for storm sewer man-
dates.
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Grant approval to apply for Illicit Connections Grant.
Motion by Commissioner Spataro, second by Commissioner Schweifler, to approve the
application for this grant with a 25% minimum local match in the 2001 - 2002 budget year.
ROLL VOTE: Ayes: Benedict, Nielsen, Schweifler, Shepherd, Sieradzki, Spataro
Nays: None
Excused: Aslakson
ADOPTED
NOVEMBER 14, 2000 6
c. Shoreline Drive East Consulting Agreement amendment (Subsurface Assess-
ment).
ENGINEERING
SUMMARY OF REQUEST: To approve an amendment to the engineering agreement with
Earth-Tech for Shoreline Drive East to include the additional cost to perform a limited subsur-
face assessment on the Rag & Metal site as outlined in the letter. The Phase II assessment
that was performed in 1999 revealed the need for further exploration of the subsurface con-
tent on that site.
FINANCIAL IMPACT: The amendment will add $23,100 to Earth-Tech's not to exceed cost,
increasing the total allowed cost to $533,380.
BUDGET ACTION REQUIRED: None at this time. The additional cost will most likely be eligi-
ble under the grant from MDOT.
STAFF RECOMMENDATION: To amend the agreement.
Motion by Vice Mayor Sieradzki, second by Commissioner Spataro to approve an
amendment to the engineering agreement with Earth-Tech for Shoreline Drive East to include
the additional cost to perform a limited subsurface assessment on the Rag & Metal site.
ROLL VOTE: Ayes: Benedict, Nielsen, Schweifler, Shepherd, Sieradzki, Spataro
Nays: None
Excused: Aslakson
ADOPTED
d. Obsolete Property Rehabilitation Districts Policy.
PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: To approve the Obsolete Property Rehabilitation Districts Policy for
the City of Muskegon and to authorize staff to begin the process to designate the Getty
Street Corridor and the Apple-Pine Corridor as Districts. In addition, staff recommends that
qualified property owners outside these two districts be allowed to request a district for their
property, providing they meet the standards of the Policy.
FINANCIAL IMPACT: To improve the tax base for the City of Muskegon, and to stimulate
job development.
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To approve the Obsolete Property Rehabilitation Districts Pol-
icy, and authorize staff to begin the policy implementation. The Legislative Policy Commit-
tee reviewed the Policy on October 26, 2000 and the Working Session of the City Committee
reviewed the Policy on October 9, 2000 and will review the Policy again on November 13,
2000. The Chamber of Commerce has provided input and staff will be meeting with Cham-
ber representatives prior to the City Commission meeting to discuss minor modifications to
the Policy.
NOVEMBER 14, 2000 7
Motion by Commissioner Spataro, second by Vice Mayor Sieradzki, to designate the
Getty Street and Apple/Pine Corridor as areas of concentration, but not as districts until we
get applications.
Amended by Commissioner Spataro, with a amended second by Vice Mayor Sieradzki to
add full-time equivalent to the Policy.
ROLL VOTE: Ayes: Nielsen, Schweifler, Shepherd, Sieradzki, Spataro, Benedict
Nays: None
Excused: Aslakson
ADOPTED
e. Transportation Enhancement Grant.
PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: To approve the resolution authorizing the submittal of the Trans-
portation Enhancement Grant for the Western Avenue Streetscape.
FINANCIAL IMPACT: The City of Muskegon is responsible for a 20% match for the grant.
The total cost for the project is estimated at $620,000. There is a $25,000 amount budgeted
for the final design plans (Michael Wee has prepared the conceptual design plans). And the
20% match equals $125,000. Therefore, the total required by the City is $150,000 (the cost of
design plans is not eligible in the grant). The match funds will be budgeted in the 2002 Major
Street Funds. Grant funds from the Community Foundation will be sought to offset this
amount.
BUDGET ACTION REQUIRED: None at this time.
STAFF RECOMMENDATION: To approve the resolution and authorize the Mayor and Clerk
to sign it. The Working Session will review the grant at their November 13, 2000 meeting. The
Traffic Committee reviewed the project and recommended approval, although they want
to see the final plans prior to construction. Also, the Downtown Marketing Group recom-
mends approval.
Motion by Commissioner Shepherd, second by Commissioner Schweifler to approve the
resolution authorizing the submittal of the Transportation Enhancement Grant for the Western
Avenue streetscape.
ROLL VOTE: Ayes: Schweifler, Shepherd, Sieradzki, Spataro, Benedict, Nielsen
Nays: None
Excused: Aslakson
ADOPTED
f. Agreement for Prospective Cancellation of Trinity Manor Contract for Housing
Exemption.
PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: To approve the "Agreement for Prospective Cancellation of Trinity
Manor Contract for Housing Exemption". The City has been informed that this housing de-
velopment is exempt from paying any taxes, despite the fact that the City Commission
NOVEMBER 14, 2000 8
authorized a PILOT for the project on April 11, 1995. In addition to the exemption, the City of
Muskegon is eligible to be reimbursed from the State of Michigan for any lost taxes (i.e., taxes
the City would collect if the project were taxable).
FINANCIAL IMPACT: This agreement is prospective, starting with 2001 taxes. The current
PILOT will be paid through 2000. After that time, the City will be able to collect taxes on this
property from the State of Michigan, which are of greater value than the existing PILOT for
the project.
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To approve the "Agreement for Prospective Cancellation of
Contract for Housing Exemption" and authorize the Mayor and Clerk to sign it.
Motion by Commissioner Schweifler, second by Commissioner Spataro to approve the
Agreement for Prospective Cancellation of Trinity Manor Contract for Housing Exemption.
ROLL VOTE: Ayes: Shepherd, Sieradzki, Spataro, Benedict, Nielsen, Schweifler
Nays: None
Excused: Aslakson
ADOPTED
g. Sale of Buildable Property on Marquette Avenue.
PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: Approval of resolution to proceed with the sale of Urban Renewal
property on Marquette Ave., between Roberts and Creston Streets, to Masquignon Non-
Profit Housing Corporation (an affiliate of Hope Network), of 3375 S. Division, Grand Rapids.
The subject property contains several lots, together containing 2.67 acres. The property was
appraised at $47,000.00 and the Masquignon Non-Profit Housing Corp. has submitted the
only bid of $47,000.00. The proposed development would contain 18 barrier-free, one-
bedroom apartment units that would be funded through HUD.
FINANCIAL IMPACT: Sale will allow property to be placed back on the City's tax rolls and
will relieve the City from further maintenance. Pursuant to the conditions of sale, the Mas-
quignon Non-Profit Housing Corp. agrees to construct the proposed development on the
property within 18 months of the date of sale.
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Staff recommends approval of the resolution and authoriza-
tion for the Mayor and Clerk to sign off on the purchase agreement and deed.
Motion by Vice Mayor Sieradzki, second by Commissioner Shepherd to approve the
resolution to proceed with the sale of Urban Renewal property on Marquette Ave. to Mas-
quignon Non-Profit Housing Corporation to construct 18 barrier-free one bedroom apart-
ments units that would be funded through HUD.
NOVEMBER 14, 2000 9
ROLL VOTE: Ayes: Sieradzki, Nielsen, Shepherd
Nays: Spataro, Benedict, Schweifler
Excused: Aslakson
MOTION FAILS
PUBLIC PARTICIPATION:
Various comments were heard from the public regarding the proposed lay-off at SAPPI.
The City Manager will research the effect the lay-off will have on the tax abatements
granted to SAPPI.
h. District Library Planning Resolution
City Manager
SUMMARY OF REQUEST: To adopt the resolution to pursue a district library with Muskegon
Public Schools and participate in a Planning commission District Library.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To approve the resolution.
Motion by Commissioner Schweifler, second by Commissioner Spataro to adopt the reso-
lution to pursue a district library with Muskegon Public Schools and to participate in a Plan-
ning Commission District Library
ROLL VOTE: Ayes: Spataro, Benedict, Nielsen, Schweifler, Shepherd
Nays: None .
Excused: Aslakson
Absent: Sieradzki (left the room at 7:06 p.m)
ADOPTED
ADJOURNMENT:
The Regular Commission Meeting was adjourned at 7:27 p.m.
Respectfully submitted,
~0-~
Gail A. Kundinger, CMC/AAE
City Clerk
NOVEMBER 14, 2000 10
TO: CITY COMMISSION
FROM: CITY CLERK, GAIL KUNDINGER
DATE: NOVEMBER 13, 2000
RE: Request for Resolution for Gaming License
Community Foundation would like a resolution recognizing them as a non-profit
organization operating in the city for the purpose of obtaining a gaming license. The
need for the gaming license is to raise money for the Festival of Trees event to be held in
November.
I would like to add this to the agenda for Tuesday, November 14, 2000. Attached is a
copy of the resolution and their non-profit status.
MICHIGAN LOTTERY
CHARITABLI! GAMING OIVISION
101 6, Hl~LSDALE, BOX (10029
LANSING, MICHIGAN 4811011
(D 171 335-5780
www .etate, mi.us\milottery
2000-105(c)
LOCAL GOVERNING BODY RESOLUTION
FOR GAMING LICENSES ISSUED BY THE MICHIGAN LOTTERY
(Authorized by MCL 432.101 et saql
At a Regular
REGU~M OR Sl'ECIAL
meeting ot the c.:\ ~ ~ ~V-.'S \l.....-:a.i?CI)\
'r0WN6HIP, CITY, OR VIL.LAG& C:OUNCIL/S0AR
called to order by ----'-M'"'"'a.,_y_;::_or'----'N....i.....e...l__s__e__n_ _ _ _ _ _ _ _ on November 14, 200!at
CATE
5:30 a'..ltt':r),>,,'?Y..Ss-~
I hereby certify that the foregoing is a true and complete copy of a resolution offlirad and adopted
by the City Commission at a Requ l ar meeting held on
November 14~ 2000
* 0 SEAL OR NOTARv• 0
Gail A. Kundinger, Ci ty Clerk
FIIINUO NAM!ANC TIYLE
933 Terrace, PO Box 536
Muskegon, MI 49443-0536
APDR~SS
NOT VALID UNLESS MARKEO WITH GOVERNING
BODY SEAL OR NOTARIZED
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Very tntly yours, ,
4 "?," Jt;-~,./
A. H. Stootpler
Dls trlct Dlrector
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Commission Meeting Date: October 24, 2000
Date: October 12, 2000
To: Honorable Mayor and City Commissioners
From: Planning & Economic DevelopmenW
RE: Zoning Ordinance Amendment f~ e Occupation Signs
SUMMARY OF REQUEST:
Request to amend Sections 400, 600 and 700 (Principal Uses Permitted) of Articles IV
(R-1, Single-Family Residential), VI (RT, Two-Family Residential) and VII (RM-1 , Low-
Density Multiple-Family Residential) of the Zoning Ordinance to amend the language
regarding signage restrictions for home occupation uses. This amendment is intended
to correct an existing inconsistency in the Zoning Ordinance.
FINANCIAL IMPACT:
None
BUDGET ACTION REQUIRED:
None
STAFF RECOMMENDATION:
Staff recommends amendment of the Zoning Ordinance to include the revised
language in the sections described above.
COMMITTEE RECOMMENDATION:
The Planning Commission recommended approval of the request at their 10/11 /00
meeting. The vote was unanimous.
10/12/2000
Staff Report [EXCERPT]
CITY OF MUSKEGON
PLANNING COMMISSION
REGULAR MEETING
October 11, 2000
Hearing; Case 2000-39: Request for an amendment to the Zoning Ordinance to correct
an inconsistency in the sign requirements for home occupations in residential zoning
districts.
BACKGROUND
In 1998 the requirements for signs were amended in the Zoning Ordinance. Staff has since
noticed an inconsistency in the Zoning Ordinance regarding size limits for signs for home
occupation businesses. The language in Section 2334 (Signs), under #6 (Permitted Signs in
all Residential and Mobile Home Park Districts) states:
c. Non-illuminated wall signs ofup to eight (8) square feet for a home occupation.
However, the home occupation language in the R-1, RT and RM-1 district language states:
b. There shall be no exterior display other than one (1) non-illuminated sign, not to
exceed two (2) square feet in area. Said sign shall be attached and parallel to the wall
of the building.
Having the requirement in two places in the ordinance is actually redundant anyway - sign
requirements are a more logical fit in the sign section of the ordinance. Also, the definition
of a wall sign is unnecessary in the district language also, as wall signs are already
adequately defined in the "Definitions" section of the ordinance. Staff also feels that the size
requirement of 8 square feet is more reasonable than 2 square feet for home occupation signs,
especially since that size was adopted as part of the sign regulations in 1998. Therefore, staff
is proposing to amend the R-1, RT and RM-1 district language for home occupations to read
as follows:
b. There shall be no exterior display other than that signage allowed for home occupations under the
sign requirements of this Ordinance.
City of Muskegon Planning Commission - 9/13/00
CITY OF MUSKEGON
MUSKEGON COUNTY, MICHIGAN
ORDINANCE NO. 2034
An ordinance to amend the Zoning Ordinance of the City to change the requirements for home
occupation signage.
THE CITY COMMISSION OF THE CITY OF MUSKEGON HEREBY ORDAINS:
Articles IV, VI and VII of the Zoning Ordinance of the City of Muskegon are hereby amended to add the
following language in #b of the home occupation language in Sections 400,600 and 700 (Principal Uses
Permitted):
Amend #b of the home occupation language in Sections 400,600 and 700 - Principal Uses Perrnitted-
b. There shall be no exterior display or signage other than that signage allowed for home
occupations under the sign requirements of this ordinance.
This ordinance adopted:
Ayes: Shepherd , Sieradzki , Spataro, Benedict, Nielsen, Sc hweifl er
Nayes: None
Adoption Date: November 14, 2000
Effective Date: November 30 2000
First Reading: October 24 2000
Second Reading: November 14 2000
CITY OF MUSKEGON
By ~Q.L~ '
Gail A. Kundinger, City Clerk~
CITY OF MUSKEGON
NOTICE OF ADOPTION
Please take notice that on October 24, 2000, the City Commission of the City of Muskegon adopted
an ordinance amending the Zoning Ordinance to amend the following language in the home
occupation language in Sections 400, 600 and 700 of Articles IV, VI and VII:
b. There shall be no exterior display or signage other than that signage allowed for home occupations
under the sign requirements of this ordinance.
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 - - -November
~~~~ 20 - -, 2000 CITY OF MUSKEGON
By _ _ _ _ _ _ _ _ _ _ _ __
Gail A. Kundinger
Its Clerk
PUBLISH ONCE WITHIN TEN (I 0) DAYS OF FINAL PASSAGE.-
Account No. 101-80400-5354
CITY OF
MUSKEGON
CLERK - - 'S
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OFFICE# (231) 724-6705
FAX # (231) 724-4178
TO: Honorable. Mayor and City Commissioners
FROM: Anthony Kleibecker, Chief of Police
DATE: November 6, 2000
SUBJECT: FY 1999 Local Law Enforcement Block Grant
SUMMARY OF REQUEST:
Police Department staff request that the Commission approve the use ofFY1999 Local
Law Enforcement Block Grant (LLEBG) money to purchase new badges for sworn
departmental personnel. Based upon an inspection, a number of badges need to be
replaced. This would provide us with the opportunity to select a vendor who provides a
lifetime warranty at a better cost. Additionally and as importantly, we would be able to
utilize the gender-neutral tenn "Police Officer" instead of the current "Patrolman".
FINANCIAL IMP ACT:
$12,342 in LLEBG money will be used to purchase the new badges.
BUDGET ACTION REQUIRED:
None
STAFF RECOMMENDATION:
To approve the use of the grant money for the purchase.
MUSKEGON POLICE DEPARTMENT
CITY OF MUSKEGON
TELEPHONE BID TABULATION
DATE /0-/0 -oo EMPLOYEE /POLICE DEPT.
BIDDER jj,l BIDDER jj,2 BIDDER jj,3
VENDOR
ADDRESS
TELEPHONE
FAX
ACCEPTS lf1!t3TEHCRD
QUOTED BY /'l.-<.>,J
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c=l../r(:_-;..//?"IPNJ.J- /'L-C>V~Ai - ...3 Y"-. C!..u~r.../?,-,-.t 7~- , . - I G, S - - ' 0 ' QD
339,,,00 G,73¥,<.>o
:SHIPPING CHARGES
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BID APPROVED
BY
Date: November14,2000
To: Honorable Mayor and City Commission
From: Department of Public Works
RE: Nextel Tower Lease Agreement #2
SUMMARY OF REQUEST:
Nextel Communications has requested permission to install antennae on
our Nims Street Water Tank, similar to their installation on our Marshall
Street Water Tank.
FINANCIAL IMPACT:
Income to the City if $1545 per month beginning in the year 2001, to be
escalated at the rate of 3% per year. (Same as our previous agreement)
BUDGET ACTION REQUIRED:
None
STAFF RECOMMENDATION:
Staff recommends approval of this agreement with funds to go to the
Water Fund to offset future water tower repainting cost. A structural
study has been completed by Dixon Engineering and their
recommedations have been incorporate into the design
11/07/00 1
COMMUNICATIONS SITE LEASE AGREEMENT (WATER TOWER)
This Communications Tower Lease Agreement ("Agreement") is entered into this
J.iM day of dtemhrc ,2000, between Nextel West Corp., a Delaware corporation, d/b/a Nextel
Communications ("Lessee"), and City of Muskegon, a Michigan municipal corporation ("Lessor").
For good and valuable consideration the receipt and sufficiency of which is _hereby
acknowledged, the parties hereto agree as follows:
1. Premises. Lessor is the owner of a parcel of land (the "Land") and a water tower (the
"Tower") located in the City of Muskegon, County of Muskegon, State of Michigan, more
commonly known as: 1596 Superior Street (the Tower and Land are collectively, the "Property") The
Land is more particularly described in Exhibit A annexed hereto. Lessor hereby leases to Lessee and
Lessee leases from Lessor, approximately two hundred forty (240) square feet of the Land and space
on the Tower and all access and utility easements, if any, (collectively, the "Premises") as described
in Exhibit B annexed hereto.
2. Use. The Premises may be used by Lessee·for any activity in connection with erection of
antennae related to the provision of communications services. Lessor agrees to cooperate with
Lessee, at Lessee's expense, in making application for and obtaining all licenses, permits and any
and all other necessary approvals that may be required for Lessee's intended use of the Premises.
3. Tests and Construction. Lessee shall have the right at any time following the full execution
of this Agreement to enter upon the Property for the purpose of making appropriate engineering and
boundary surveys, inspections, soil test borings, other reasonably necessary tests and constructing
the Lessee Facilities (as defined in Paragraph 6(a) below). Upon Lessee's request, Lessor agrees to
provide promptly to Lessee copies of all plans, specifications, surveys and tower maps for the Land
and Tower. The tower map shall include the elevation of all antennas on the Tower and the
frequencies upon which each operates.
4. Term. The term of this Agreement shall be ten (10) years commencing on July 1, 2001 or
the date Lessee begins construction of Lessee Facilities, whichever first occurs ("Commencement
Date") and terminating on the !enth (10th) anniversary of the Commencement Date (the "Term")
unless otherwise terminated as provided in Paragraph 10. Lessee shall have the right to extend the
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Term for three (3) successive five (5) year periods (the "Renewal Terms") on the same terms and
conditions as set forth herein. This Agreement shall only be extended for each successive Renewal
Term if Lessee notifies Lessor of its intention to renew ninety (90) days prior to commencement of
the succeeding Renewal Term.
5. Rent. Within 15 days of the Commencement Date and on the first day of each month
thereafter, Lessee shall pay to Lessor as rent the amounts set forth in the Schedule of Rents attached
hereto as Exhibit D. Rent for any fractional month at the beginning or at the end of the Term or
Renewal Term shall be prorated. Rent shall be payable to Lessor at: Muskegon City Hall, 933
Terrace Street, P.O. Box 536, Muskegon, Michigan 49443-0536; Attention: Finance Director.
6. Facilities; Utilities; Access.
(a) Lessee has the right to erect, maintain and operate on the Premises radio
communications facilities, including without limitation, utility lines, transmission lines, air
conditioned equipment shelter(s), electronic equipment, radio transmitting and receiving antennas
and supporting equipment and structures thereto ("Lessee Facilities"). In connection therewith,
Lessee has the right to do all work necessary to prepare, maintain and alter the Premises for Lessee's
business operations and to install transmission lines connecting the antennas to the transmitters and
receivers. All of Lessee's construction and installation work shall be performed at Lessee's sole cost
and expense and in a good and workmanlike manner. Title to the Lessee Facilities shall be held by
Lessee. All of Lessee Facilities shall remain Lessee's personal property and are not fixtures. Lessee
has the right to remove all Lessee Facilities at its sole expense on or before the expiration or earlier
termination of the Agreement; provided, Lessee repairs any damage to the Premises caused by such
removal. In the event that Lessee fails to remove the Lessee Facilities within thirty (30) days of the
termination of this Agreement, Lessor may remove and store the Lessee Facilities at Lessee's
expense. If Lessee or Lessee's financing entity fails to claim and remove the Lessee Facilities within-
thirty (30) days following receipt of written notice from Lessor, Lessor shall be entitled to dispose
of the Lessee Facilities in any manner which it deems fit.
(b) Lessee shall pay for the electricity it consumes in its operations at the rate charged
by the servicing utility company. Lessee shall obtain separate utility service from any utility
company that will provide service to the Property (including a standby power generator for such
service to the Premises for Lessee's exclusive use). Lessor agrees to sign such documents or
easements as may be required by said utility companies to provide such service to the Premises,
including the grant to Lessee or to the servicing utility company at no cost to the Lessee, of an
easement in, over, across or through the Land as required by such servicing utility company to
provide utility services as provided herein.
(c) Lessee, Lessee's employees, agents, subcontractors, lenders and invitees shall have
access to the Premises without notice to Lessor twenty four (24) hours a day, seven (7) days a week,
at no charge, provided Lessee shall notify the City at the Water Filtration Plant by calling 231-724-
4106 whenever it enters the Property. Lessor shall provide Lessee with a key to the gate surrounding
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2
the Premises. Lessor grants to Lessee, and its agents, employees, contractors, guests and invitees,
a non-exclusive right and easement sufficient for pedestrian and vehicular ingress and egress across
the portion of the Land described in Exhibit B.
(d) Lessee shall notify Lessor of all work, installations or repairs on the Property, and
Lessor shall have the right to have authorized personnel of Lessor present during the said acfrvities.
(e) Lessor shall permit Lessee to use Lessor's existing driveway to gain access to the
Premises. Lessor shall maintain all access roadways from the nearest public roadway to the Premises
in a manner sufficient to allow pedestrian and vehicular access at all times under normal weather
conditions. Lessor shall be responsible for maintaining and repairing such driveway for Lessee's
ingress and egress, at its sole expense, except for any damage caused by Lessee's use of such
driveway.
7. Interference.
(a) Lessee shall operate the Lessee Facilities in a manner that will not cause interference
to Lessor and other lessees or licensees of the Property, provided that their installations predate that
of the Lessee Facilities. All operations by Lessee shall be in compliance with all Federal
Communications Commission ("FCC") requirements.
(b) Lessee's installation, operation and maintenance of Lessee Facilities shall not damage
or interfere in any way with the Lessor's Tower and/or operations or related repair and maintenance
activities or with such activities of other tenants of the Lessor on the Property, provided such
tenant's installations predate that of the Lessee Facilities. Should Lessee cause such interference,
Lessor shall give Lessee notice of the interference and shall allow Lessee reasonable time in which
to correct or eliminate such interference. If Lessee cannot correct the interference within a reasonable
time, Lessor may require that Lessee cease operation of Lessee Facilities until such interference can
be corrected or eliminated. Should Lessor determine that Lessee Facilities interfere with the health
or safety of the community at any time, Lessor may require that Lessee immediately cease operation
of Lessee Facilities until such harmful interference can be corrected or eliminated. Lessor reserves
the right to take any action it deems necessary, in its sole discretion, to repair, maintain, alter or
improve the Premises in connection with the operation of the Tower as may be necessary. Should
such action involve the relocation of Lessee Facilities, Lessor must give Lessee three (3) months
written notice of such relocation and such relocation shall not materially interfere with the business
operations of Lessee. If Lessee is not willing to relocate, Lessee may terminate this Agreement upon
thirty (30) days written notice to Lessor and Lessee shall have no further liability hereunder.
(c) If Lessor receives a request for co-location on the Property from a third party, it shall
submit a proposal complete with all technical specifications supplied by the potential co-locator to
Lessee for review for non- interference; however, Lessor shall not be required to provide any
information claimed to be proprietary by the potential third party, who shall be responsible for the
cost of preparation of the information. Lessee shall have thirty (30) days following receipt to make
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3
objection, and failure to do so in the said period shall constitute consent. If Lessee's objections are
valid because, in the sole judgment of Lessor, there will be substantial and material interference with
Lessee's equipment function, then Lessor shall not permit the additional location. This limitation
shall not apply to new equipment or upgrades by existing lessees, provided the said installation is
of equipment which is reasonably contemplated in the original lease of that party.
8. Taxes. If personal property taxes are assessed, Lessee shall pay any portion of such taxes
directly attributable to the Lessee Facilities. Lessor shall pay all real property taxes, assessments and
deferred taxes on the Property.
9. Waiver of Lessor's Lien.
(a) Lessor waives any lien rights it may have concerning the Lessee Facilities
which are deemed Lessee's personal property and not fixtures, and Lessee has the right to remove
the same at any time without Lessor's consent.
(b) Lessor acknowledges that Lessee has entered into a financing arrangement
including promissory notes and financial and security agreements for the financing of the Lessee
Facilities (the "Collateral") with a third party financing entity (and may in the future enter into
additional financing arrangements with other financing entities). In connection therewith, Lessor
(i) consents to the installation of the Collateral; (ii) disclaims any interest in the Collateral, as
fixtures or otherwise; and (iii) agrees that the Collateral shall be exempt from execution,
foreclosure, sale, levy, attachment, or distress for any Rent due or to become due and that such
Collateral may be removed at any time without recourse to legal proceedings.
10. Termination. This Agreement may be terminated without further liability on thirty (30)
days prior written notice as follows: (i) by either party upon a default of any covenant or term hereof
by the other party, which default is not cured within sixty (60) days ofreceipt of written notice of
default, provided that the grace period for any monetary default is ten (10) days from receipt of
notice; or (ii) by Lessee for any reason or for no reason, provided Lessee delivers written notice of
early termination to Lessor no later than thirty (30) days prior to the Commencement Date; or (iii)
by Lessee if it does not obtain or maintain any license, permit or other approval necessary for the
construction and operation of Lessee Facilities; or (iv) by Lessee if Lessee is unable to occupy and
utilize the Premises due to an action of the FCC, including without limitation, a take back of
channels or change in frequencies; or (v) by Lessee if Lessee determines that the Premises are not
appropriate for its operations for economic or technological reasons, including, without limitation,
signal interference. Lessor may terminate this Agreement with thirty (30) days notice if Lessee
ceases operation of the Lessee Facilities for one (1) year. In addition to this Paragraph, the
termination provision of Paragraph 7(b), above, applies.
11. Destruction or Condemnation. If the Premises or Lessee Facilities are damaged, destroyed,
condemned or transferred in lieu of condemnation, Lessee may elect to terminate this Agreement as
of the date of the damage, destruction, condemnation or transfer in lieu of condemnation by giving
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4
notice to Lessor no more than forty-five (45) days following the date of such damage, destruction,
condemnation or transfer in lieu of condemnation. If Lessee chooses not to terminate this
Agreement, Rent shall be reduced or abated in proportion to the actual reduction or abatement of use
of the Premises.
12. Insurance. Lessee, at Lessee's sole cost and expense, shall procure and maintain on the
Premises and on the Lessee Facilities, bodily injury and property damage liability insurance with a
combined single limit of at least Three Million and 00/100 Dollars ($3,000,000.00) per occurrence.
Such insurance shall insure, on an occurrence basis, against liability of Lessee, and additional
insureds, its employees and agents arising out of or in connection with Lessee's use of the Premises,
all as provided for herein. Lessor, at Lessor's sole cost and expense, shall procure and maintain on
the Property, bodily injury and property damage liability insurance or Risk Authority Coverage with
a combined single limit of at least Three Million Dollars ($3,000,000.00) per occurrence. Such
insurance shall insure, on an occurrence basis, against liability of Lessor, and additional insureds,
its employees and agents arising out of or in connection with Lessor's use, occupancy and
maintenance of the Property. Each party shall be named as an additional insured on the other's
policy. Each party shall provide to the other a certificate of insurance evidencing the coverage
required by this paragraph within thirty (30) days of the Commencement Date. Lessee's certificate
shall provide that Lessee's insurance shall not be cancellable, modifiable or reduced in coverage
except on thirty (30) days notice to Lessor. Lessee shall not be an additional insured on Lessor's
retainage obligation in connection with its Risk Authority Contract.
13. Waiver of Subrogation. Lessor and Lessee release each other and their respective
principals, employees, representatives and agents, from any claims for damage to any person or to
the Premises or to the Lessee Facilities thereon caused by, or that result from, risks insured against
under any insurance policies carried by the parties and in force at the time of any such damage.
Lessor and Lessee shall cause each insurance policy obtained by them to provide that the insurance
company waives all right of recovery by way of subrogation against the other in connection with any
damage covered by any policy. Neither Lessor nor Lessee shall be liable to the other for any damage
caused by fire or any of the risks insured against under any insurance policy required by Paragraph
12.
14. Assignment and Subletting. Lessee may not assign, or otherwise transfer all or any part
of its interest in this Agreement or in the Premises without the prior written consent of Lessor,
provided, however, that Lessee may assign its interest to its parent company, any subsidiary or
affiliate of it or its parent company or to any successor-in-interest or entity acquiring fifty-one
percent (51 %) or more of its stock or assets, subject to any financing entity's interest, if any, in this
Agreement as set forth in Paragraph 9 above. Lessor may assign this Agreement upon written notice
to Lessee, subject to the assignee assuming all of Lessor's obligations herein, including but not
limited to, those set forth in Paragraph 9 above. Notwithstanding anything to the contrary contained
in this Agreement, Lessee may assign, mortgage, pledge, hypothecate or otherwise transfer without
consent its interest in this Agreement to any financing entity, or agent on behalf of any financing
entity to whom Lessee (i) has obligations for borrowed money or in respect of guaranties thereof,
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(ii) has obligations evidenced by bonds, debentures, notes or similar instruments, or (iii) has
obligations under or with respect to letters of credit, bankers acceptances and similar facilities or in
respect of guaranties thereof.
15. Warranty of Title and Quiet Enjoyment. Lessor warrants that: (i) Lessor owns the
Property in fee simple and has rights of access thereto and the Property is free and clear of all liens,
encumbrances and restrictions; (ii) Lessor has full right to mak~ and perform this Agreement; and
(iii) Lessor covenants and agrees with Lessee that upon Lessee paying the Rent and observing and
performing all the terms, covenants and conditions on Lessee's part to be observed and performed,
Lessee may peacefully and quietly enjoy the Premises.
16. Repairs. Lessee shall not be required to make any repairs to the Premises or Property unless
such repairs shall be necessitated by reason of the default, neglect or made essential by the
operations of Lessee. Except as set forth in Paragraph 6(a) above, upon expiration or termination
hereof, Lessee shall restore the Premises to the condition in which it existed upon execution hereof,
reasonable wear and tear and loss by casualty or other causes beyond Lessee's control excepted.
Lessee shall reasonably cooperate with Lessor during any repairs, repainting or improving of the
Tower.
17. Hazardous Substances. Lessee agrees that it will not use, generate, store or dispose of any
Hazardous Material on, under, about or within the Land in violation of any law or regulation. Lessor
represents, warrants and agrees (I) that neither Lessor nor, to Lessor's knowledge, any third party
has used, generated, stored or disposed of, or permitted the use, generation, storage or disposal of,
any Hazardous Material on, under, about or within the Land in violation of any law or regulation,
and (2) that Lessor will not, and will not permit any third party to use, generate, store or dispose of
any Hazardous Material on, under, about or within the Land in violation of any law or regulation.
As used in this paragraph, "Hazardous Material" shall mean petroleum or any petroleum product,
asbestos, any substance known by the state in which the Land is located to cause cancer and/or
reproductive toxicity, and/or any substance, chemical or waste that is identified as hazardous, toxic
or dangerous in any applicable federal, state or local law or regulation. This paragraph shall survive
the termination of this Agreement.
18. Liability and Indemnity. Neither Lessor nor Lessee shall assert any right or cause of
action for contractual indemnity or contribution under this Agreement in the event of any claim
arising from the negligence or willful misconduct of either Lessor or Lessee or their respective
agents or employees occurring in or about the Property; provided, however, Lessor and Lessee may
pursue any and all rights and remedies available at law or equity in response to any claim of loss or
injury incurred by either of them arising under this Agreement. Lessee acknowledges and agrees
that this paragraph 18 shall not be construed or interpreted to constitute a waiver of Lessor's right
to assert goverrunental immunity or any other defenses to any claim by any person or entity
including, without limitation, a claim by Lessee for indemnity, contribution or direct liability.
19. Miscellaneous.
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(a) This Agreement constitutes the entire agreement and understanding between
the parties, and supersedes all offers, negotiations and other agreements concerning the subject
matter contained herein. Any amendments to this Agreement must be in writing and executed by
both parties.
(b) If any provision of this Agreement is invalid or unenforceable with respect
to any party, the remainder of this Agreement or the application of such provision to persons other
than those as to whom it is held invalid or unenforceable, shall not be affected and each provision
of this Agreement shall be valid and enforceable to the fullest extent permitted by law.
(c) This Agreement shall be binding on and inure to the benefit of the successors
and permitted assignees of the respective parties. No third party beneficiary is intended by this
Agreement.
(d) Any notice or demand required to be given herein shall be made by certified
or registered mail, return receipt requested, or reliable overnight courier to the address of the
respective parties set forth below:
Lessor: City of Muskegon Lessee:
933 Terrance St., P.O. Box 536 Nextel West Corp.
Muskegon, Michigan 49443-0536 27755 Stansbury Blvd., 2"d Floor
Farmington Hills, Michigan 48334-3861
Attn: Property Manager
· With a copy to:
Nextel Communications, Inc.
2001 Edmund Halley Dr.
Reston, VA20191-3436
Attn.: :Legal Department, Contracts Manager
Lessor or Lessee may from time to time designate any other address for this purpose by written
notice to the other party. All notices hereunder shall be deemed received upon actual receipt.
(e) This Agreement shall be governed by the laws of the State of Michigan.
(f) Lessor acknowledges that a Memorandum of Agreement in the form annexed
hereto as Exhibit C will be recorded by Lessee in the official records of the County where the
Property is located. In the event the Property is encumbered by a mortgage or deed of trust, Lessor
agrees to obtain and furnish to Lessee a non-disturbance and attomment instrument for each such
mortgage or deed of trust.
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(g) Lessee may obtain title insurance on its interest in the Premises. Lessor shall
cooperate by executing documentation required by the title insurance company.
(h) In any case where the approval or consent of one party hereto is required,
requested or otherwise to be given under this Agreement, such party shall not unreasonably delay
or withhold its approval or consent.
(i) All Riders and Exhibits annexed hereto form material parts of this
Agreement.
(j) This Agreement may be executed in duplicate counterparts, each of which
shall be deemed an original.
SIGNATURE PAGE TO FOLLOW
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IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first
above written.
LESSOR: LESSEE:
CITY OF MUSKEGON, Nextel West Corp., a Delaware corporation,
a Michigan municipal corporation d/b/a Nextel Communications
By: ~ ~
Name: Fred J. Nielsen
By i/4 S. ~ t h>r , Notary Public, personally appeared Fred
J. Niels-o n and Gail A. Kundinger, personally known to me (or proved to me on the basis of
satisfactory evidence) to be the person whose name is subscribed to the within instrument and
acknowledged to me that he executed the same in his authorized capacity, and that by his signature
on the instrnment, the person, or the entity upon behalf of which the person acted, executed the
instrnment.
WITNESS my hand and official seal.
~ _ d ). tdz_ (SEAL)
Notary Public, 7'llu.s tf<"''l'. o..,County
• . • c>
My comm1ss1on expires: ~ o:i...
LESSEE:
tv\\CVJ;~
STATE OF ViftGn
COUNTY OF ..PMRFAX
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Site#: MI-1929B
14
EXHIBIT D
SCHEDULE OF RENTS
to the Agreement dated _ _ _ _ _ _ _ , :ZOOO, by and between the City of Muskegon, a
Michigan municipal corporation, as Lessor, and Nextel West Corp., a Delaware corporation, d/b/a
Nextel Communications, as Lessee.
Monthlv Rental for months in the year
2000 $1,500
2001 $1,545
2002 $1,591
' 2003
2004
$1,639
$1,688
2005 $1,739
2006 $1,791
2007 $1,845
2008
2009
2010
2011
2012
$1,900
$1,967 End of Initial Lease
$2,016 Start of First Extension ·
$2,078
$2,139
I
!
2013 $2,203
2014 $2,269 End of first Extension
2015 $2,337 Stan of Second Extension
2018 $2,407
2017 $2.479
2018 $2,564
2019 $2,630 End of Second Extension
2020 $2,709 Stan ot Third Extension
2021 $2,790
2022 $2,874
2023 $2,960
2024 $3,049 End of Third Extension
IIF ARNWFS2\ VOL l lENGDATA2\Sites\SITESIMICHI GAN\mi- I 929\NewTewer.doc
Last printed 08/23/00 3 :53 PM
Site#: MI-1929B
16
Date: October 19, 2000
To: Honorable ~.aa~y
and .City Commissioners
from: Ric Scott ~
RE: Emergency Dredging Grant Agreement
Su"Mi;/.IARY OF REQUEST:
To authorize the Mayor to sign the attached 2000
Emergency Dredging Program Grant Agreement with the DNR
for the Dredging of Hartshorn Marina
FINANCIAL IMPACT:
Up to $225,000 in State funds on a 75-25% matching basis
BUDGET ACTION REQUIRED:
None, funds will come from the Marina Fund
STAFF RECOMMENDATION:
Approve
COMMITTEE RECOMMENDATION:
,\ffi rmali\ l' Acl ion
231/72-1-6703
F.\.\/722- 12 14
.bsl'ssur
231 /72 4-6708
F. \X/726-5 18 1
Ccml'll'r y
23 1/724-(,783
F.\\/7H,-56 I 7
Ch·il Sl'r \'h:c
231/724-67 16
l'AX/7H-440S West MlchJgan's Shoreline City
C ler k
2J 1/724-(,705
I· ,\.\/724-4 17X
Date: October 19, 2000
To: Honorable MaJ o, Vhd City Commissioners
2J l/72 H,7 17
F.1.\ /72/,-250 1
E n:;.i11l't'ri11:.!
From: Ric Scott 1wz-1r
23 1/724-(,707 Re: Emergency Dredging Grant Agreement
F. \ .\/72 7-69114
The State of Michigan has awarded the City $225,000 on a
Fi11:111n·
2J l /7H-(, 7 1J
75- 25% matching basis to dredge Hartshorn Marina. I am
F.-\X/72 4-(,76X requesting that you authorize the Mayor and Clerk to
Fir l' Ut·pl.
sign the attached agreement.
23 1/724- 6792
F. IX /7H-69X5 We have already awarded a bid to Great Lakes Marina to
lm·o mcT:n
do the dredging at a cost of approximately $160,000.
2J 1/7 24-6770 Based on this we will only need about $40,000 in local
F.\.\ /724-6768
match, which the Marina fund has . The money is
I 11fo. Sysl t• ms reimbursable even if the dredging is already completed .
23 1/72 4-6744
F.\.\/722-430 1
Thank you for your consideration.
2J I/7 H -6 704
Fr\.\ /72 -1- 11%
.\ la11a~er's Offlrr
23 1/724-6724
F.\.\ /722-1 2 14
;\ l:1yur ', O rfit:l'
23 1/724- 670 1
FAX/722- 12 1-1
'\l'i11,h. & Cunsl.
St·n·iccs
2.11/724-(,7 15
F.-IX/72<,-2511 I
P la11 11i11g/Zu11i11g
23 1/724-6702
F,\.\/724-67911
Polin Dc 11t.
2J 1/724-(, 7511
F. \ .\ /722-5 1411
Puhlic \Vu d ,s
2Jl/7H-4 11111
FAX/722-~ 188
Trl'a ~u n ·r
23 1/724 -67211
Frl X/724-6768
\\':1 1rr Billing De pt.
23 1/7H-67 1X
F,1.\/724-6768
\\ all' r Fillr;1 lio11
23 1/724-4 106
l·,\.\1755-5290
C ity of Muskegon, 933 Terrace Street, P.O. Box 536, Muskegon, Ml 49443-0536
DN-;i:r
Michigan Department of Natural Resources, Grants Administration Division
2000 EMERGENCY DREDGING PROGRAM GRANT AGREEMENT
This Agreement is between the CITY OF MUSKEGON in the COUNTY OF MUSKEGON, hereinafter
referred to as the "GRANTEE," and the MICHIGAN DEPARTMENT OF NATURAL RESOURCES, an
agency of the State of Michigan, hereinafter referred t.o as the "DEPARTMENT." The DEPARTMENT
has authority to enter into agreements with local units of government to maintain harbor facilities,
constructed with Michigan State Waterways Commission funds, under Part 781 of the Natural
Resources and Environmental Protection Act, 1994 PA 451, as amended. In PA 291 of 2000, the
Legislature appropriated Waterways Funds to the DEPARTMENT for "emergency local harbor
dredging." As a precondition to the effectiveness of the Agreement, the GRANTEE is required to
sign the Agreement and return it to the DEPARTMENT with the necessary attachments within 90
days of the date the Agreement is issued by the DEPARTMENT.
1. The 2000 Emergency Dredging Grant application ED 00-011 (APPENDIX A) is, by this
reference, made part of this Agreement. The Agreement together with the appendix constitute
the entire Agreement between the parties and may be modified only in writing and executed in
the same manner as the Agreement is executed.
2. This Agreement shall be administered on behalf of the DEPARTMENT through its Grants
Administration Division. All reports, documents, or actions required of the GRANTEE by this
Agreement shall be submitted to the Chief, Grants Administration Division, P.O. Box 30425,
Lansing, Michigan 48909-7925.
3. The DEPARTMENT agrees to grant to the GRANTEE an amount equal to no more than
Seventy-Five (75%) percent of the documented eligible project costs and expenses incurred by
the GRANTEE, with total grant funds paid to the GRANTEE not to exceed Two Hundred
Twenty-Five Thousand ($225,000.00) dollars. Increases to the grant amount will not be
approved by the DEPARTMENT.
4. Eligible project costs are limited to the costs of environmental testing of dredged materials,
transportation and disposal for the dredged materials, excluding land acquisition, and
engineering costs directly associated with the design and oversight of the dredging activities, as
further described in APPENDIX A. In addition, eligible project costs includes only those costs
required to complete dredging at the Muskegon Hartshorn Marina and the connecting
channels to the Great Lakes from this marina to the extent that the Army Corps of Engineers
does not otherwise dredge these channels.
5. Only properly documented eligible costs and expenses incurred by the GRANTEE between
February 1, 2000 and March 31, 2001 shall be considered for reimbursement under the terms
of this Agreement. Any costs and expenses incurred after the project period shall be the sole
responsibility of the GRANTEE. An amendment to this Agreement is required to extend the
time period for project completion. Extensions are within the sole discretion of the
DEPARTMENT.
6. The DEPARTMENT will reimburse the GRANTEE as follows:
a. To be eligible for reimbursement, the GRANTEE shall submit a complete reimbursement
request to the DEPARTMENT within 45 days of the project completion and no later than
May 15, 2001. The GRANTEE may submit no more than two requests for reimbursement,
including the final request, during the project period.
PR 1971 (Rev. 08/01/2000)
2000 Emergency Dredging Program Grant Agreement 2
b. A reimbursement request shall document all eligible costs and expenses incurred by the
GRANTEE to complete the project, shall be submitted on a form provided by the
DEPARTMENT and include documentation required by the DEPARTMENT including, but
not limited to, invoices and cancelled checks for all eligible costs.
c. Reimbursement of up to Ninety (90%) percent of the eligible grant amount will be made only
upon DEPARTMENT review and approval of a complete reimbursement request.
d. All grants are subject to audit, at the discretion of the DEPARTMENT. Prior to making final
payment, the DEPARTMENT may conduct an audit of the project's financial records upon
approval of the final reimbursement request by staff of the Parks and Recreation Bureau.
The DEPARTMENT may issue an audit report with no deductions or may find some costs
ineligible for reimbursement.
e. Final reimbursement of the remaining Ten (10%) percent of the eligible grant amount will be
released pending satisfactory project completion as determined by the DEPARTMENT,
including, at the discretion of the DEPARTMENT, completion of a satisfactory audit.
7. The GRANTEE agrees as follows:
a. To immediately appropriate funds necessary to complete the approved project.
b. To complete the approved project work to the satisfaction of the DEPARTMENT, and to
provide such funds, services, and materials as may be necessary to satisfy the terms of this
Agreement.
c. To complete the project in compliance with all applicable State, local and federal law and
regulations and in compliance with permits issued by the Department of Environmental
Quality and the Army Corps of Engineers.
d. To use all funds granted by the DEPARTMENT under this Agreement solely for eligible
project costs approved by the DEPARTMENT.
e. To maintain satisfactory financial accounts, documents, and records and shall make them
available to the DEPARTMENT for auditing at reasonable times. The GRANTEE shall
retain such accounts, documents, and records for a period of not less than three years
following completion of the project.
f. To openly advertise and seek written bids for contracts for purchases or services with a
value equal to or greater than $10,000 and accept the lowest qualified bid as determined by
the GRANTEE'S Engineer and to provide the DEPARTMENT with documentation of the
contracting process upon request.
8. The GRANTEE hereby represents that it will defend any suit brought against either party which
involves title, ownership, or specific rights, including appurtenant riparian rights, of any lands
connected with or affected by this project.
9. The GRANTEE is responsible forthe use and occupancy of the premises, the project area and
the facilities thereon. The GRANTEE is responsible for the safety of all individuals who are
invitees or licensees of the premises. The GRANTEE will defend all claims resulting from the
use and occupancy of the premises, the project area and the facilities thereon. The
DEPARTMENT is not responsible for the use and occupancy of the premises, the project area
and the facilities thereon.
PR 1971 (Rev. 08/01/2000}
2000 Emergency Dredging Program Grant Agreement 3
10. The GRANTEE agrees not to discriminate against an employee or applicant for employment
with respect to hire, tenure, terms, conditions, or privileges of employment, or a matter directly
or indirectly related to employment, because of race, color, religion, national origin, age, sex,
height, weight, marital status, or disability that is unrelated to the person's ability to perform the
duties of a particular job or position. The GRANTEE further agrees to comply with the civil rights
requirements set forth by the DEPARTMENT and that any subcontract shall contain a non-
discrimination provisions which is not less stringent than this provision and binding upon any
and all subcontractors. A breach of this covenant shall be regarded as a material breach of this
Agreement.
11. Upon breach of the Agreement by the GRANTEE, the DEPARTMENT, in addition to any other
remedy provided by law, may:
a. Terminate this Agreement; and/or
b. Withhold and/or cancel future payments to the GRANTEE on any or all current
DEPARTMENT grant projects until the violation is resolved to the satisfaction of the
DEPARTMENT; and/or
c. Require repayment of grant funds paid to the GRANTEE; and/or
d. Require specific performance of the Agreement.
12. The Agreement may be executed separately by the parties. This Agreement is not effective
until the GRANTEE has signed it and returned it together with the necessary attachments, and
the DEPARTMENT has signed it.
GRANTEE:
By:
Title: Fred J. Nielsen, Mayor
MICHIGAN DEPARTMENT OF
NATURAL RESOURCES:
WITNESSES: By:
Sharon L. Edgar, Chief
Grants Administration Division
EFFECTIVE DATE: I /2000
PR 1971 {Rev. 08/01/2000)
2000 Emergency Dredging Program Grant Agreement 4
APPENDIX A
2000 EMERGENCY DREDGING GRANT APPLICATION #ED 00-011
(incorporated herein by reference)
PR 1971 (Rev. 08/01/2000)
AGENDA ITEM NO. _ _ __
CITY COMMISSION MEETING _ _ _ __
TO: <1i~NORABLE MAYOR AND CITY COMMISSION
FROM:
~a:~;~~~s~~e:&eF
DATE: October 20, 2000
SUBJ: Request for Permission to Purchase 6 Automatic External
Defibrillator units
SUMMARY OF REQUEST:
The Fire Department is requesting City Commission pennission to purchase 6 automatic
external defibrillator (AED) units from Medtronic Physio-Control.
FINANCIAL IMP ACT:
$17,369.44
BUDGET ACTION REQUIRED:
To be purchased with remainder of funds budgeted from public improvement fund for
Self-Contained Breathing Apparatus, which were unspent.
STAFF RECOMMENDATION
Staff recommends approval of purchase of6 Lifepak 500 AED's using unspent funds that
were budgeted for SCBA units from Medtronic Physio-Control.
COMMITTEE RECOMMENDATION:
October 20, 2000
Honorable Mayor and City Commission
Through the City Manager
Dear Mayor and Commissioners:
Recently, the Muskegon Fire Department was advised by Laerdal Corporation that our
"Heartstart 1000" automatic external defibrillators were no longer manufactured by the
company. Further, Laerdal advised that repairs of the units would only be available until
current parts inventories were exhausted. Thus, our AED's are now obsolete.
On October 6, 2000 we received a quote from Physio-Control Corporation for 6 new "bi-
phase" automatic external defibrillators with trade in of our old units for $17,369.44.
I am recommending that we purchase the 6 Physio-Control "Lifepak 500" AED's and
associated training materials to maintain the quality of emergency medical service our
citizens expect and deserve from the Muskegon Fire Department. This recommendation
is based upon the need to use Physio-Control units to be compatible with our ambulance
service and all other fire depaitments in the County. Further, with the special pricing and
trade in option we will save $3,493.56 or 20% of the cost to buy the AED's after 1-1-01.
Funds for this project are from the public improvement fund where the 12 self-contained
breathing apparatus came in $21,018.00 under budget in Januaty 2000.
~fpectfully,
__}~~R-y---
Patrick Simpson
Fire Chief
OCT.-06'00(FRII 16:48 MEDTRONIC PHYSIO TEL:6166620792 P. 001
@
Mccllro11k Phyt.io-Con!ml
1i"'11 W1!hiw•, gt):1tl N::
P 0. I.lo~ y70.1_1
Rl·U111n11J, \I..·'\ 9Xo-;-,•ntrol.l;111t
\\ \' v. 111edtr11nll".l'fl!rl
PHYS 10-CONTROL
fll'-,!l)!\l{"\' ~uppm'I :-:ou -t-\-'..l 14..!
fa\ \-'i•:{6; 11.1(,
6162 Heathcross
Hudsonville, Ml 49426
800-442-1142 x2728
October 6, 2000
Chief Pat Simpson
City of Muskegon Fire Department
75 W. Walton
Muskegon, Ml 49440
231-724-6985
Dear Chief Simpson:
Here is your quote for:
1) 6 LIFEPAK®500 units with 5-year lithium batteries, and c.arrying cases_
2) Complete data management package_
3) LIFEPAK 500T Trainer and AED Challenge training unit.
4) Trade-in 5 HS1000 units.
5) Total: $17,369.44, due in middle to late January, 2001
This quote purchased in it's entirety after January 1, 2001 will cost $20,862.
Best Wishes,
Curt Zondervan
MEDTRONIC PHYSIO-CONTROL
Date: November 14, 2000
To: Honorable Mayor and City Commissioners
From: Finance Director
RE: Bond Authorizing Resolution 2000 Special Assessment Bonds
SUMMARY OF REQUEST: The City is in the midst of an aggressive citywide
sidewalk improvement program. To finance the up front costs, it is periodically necessary to
issue special assessment bonds. These bonds will be paid from special assessments levied
against benefiting property owners. Previously the Commission adopted a Notice of Intent
Resolution which notified citizens of the City's intent to borrow and allowed for a 45-day
period during which petitions could be filed to force a referendum on the issue. The 45-day
period has elapsed with no petitions being filed and the next step in the bonding process is
adoption of the attached bond authorizing resolution.
FINANCIAL IMPACT: The attached resolution authorizes the City to borrow $825,000.
The bonds will be paid from special assessments over 10 years and will carry, as a
secondary pledge, the City's limited full faith and credit. This means that if special
assessment income falls short of the amount needed to make annual debt service payments,
the City's General Fund will be required to make up the shortfall.
The full financial impact will not be known until bonds are sold and interest rates determined.
Bonds are scheduled for sale on Tuesday, November 28th and the results will be brought to
the City Commission that same evening for award.
BUDGET ACTION REQUIRED: None at this time. The annual debt service costs
will be budgeted in future years as well until the bonds are retired (2009).
STAFF RECOMMENDATION: Approval of the attached bond authorizing resolution.
COMMITTEE RECOMMENDATION: None.
1
Founded in 1852 MICHIGAN: Ann Arbor
by Sidney Davy Miller
Sidney T. Miller (1864-1940)
MILLER Detroit • Grand Rapids
Howell • Kalamazoo
Lansing • Monroe • Troy
George L. Canfield (1866-1928)
Lewis H. Paddock ( 1866-1935)
Ferris D. Stone (1882-1945)
CANFIELD New York, N.Y.
Washington, D.C.
POLAND: Gdynia
MILLER, CANFIELD, PADDOCK AND STONE, P.L.C.
Katowice• Warsaw
150 West Jefferson, Suite 2500 AFFILIATED OFFICE:
JOELL. PIELL Detroit, Michigan 48226 Pensacola, FL
TEL: (313) 496-7518 TEL: (313) 963-6420
FAX: (313) 496-8450 FAX: (313)496-7500
E-MAIL: picll@millcrcanficld.com
www.millercanfie1d.com
October 24, 2000
Mr. Timothy J. Paul
Finance Director
City of Muskegon
933 Ten-ace St
PO Box 536
Muskegon,MI 49443-0536
Dear Tim:
I have received Wan-en's specifications for the City's 2000 special assessment
bonds and have drafted the enclosed bond authorizing resolution.
I would ask you to review same and if it meets with your approval, submit same to
the City Commission for its consideration.
After adoption of the resolution, I would ask that you return three certified copies
of same to me.
Should you have any questions concerning this or if I may be of other assistance to
you, please do not hesitate to contact me.
Very truly yours
MILLER, /~FIE , PADDOCK AND STONE, P .L.c.
By: _ _ _+-{k-~~--------
Joel L. Piell
Enclosures (wldiskette)
cc: Mr. Wan-en M. Creamer, III (w/enclosure)
DELIB 2191104.1 \063684-00030
CITY OF MUSKEGON
COUNTY OF MUSKEGON, STATE OF MICHIGAN
RESOLUTION AUTHORIZING ISSUANCE OF
2000 SPECIAL ASSESSMENT BONDS
(LIMITED TAX GENERAL OBLIGATION)
Minutes of a regular meeting of the City Commission of the City of Muskegon, County
of Muskegon, State of Michigan, held on the 14th day of November , 2000, at 5:30 p.m.,
Eastern Standard Time, in the said City.
PRESENT: Members -~"-=~~"----'-~--"-C-=----'--'-'----'-'--.-----cc__c~~~~~~~~~
Shepherd, Sieradzki, Spataro, Benedict, Nielsen,
0
.J and Schwe i fl er
"zw
"~ ABSENT: Members Aslakson
----------------------
; The following preamble and resolution were offered by Member
S_ie_r_a_d_zk_1_·_ _ _ _ and supported by Member __S~p_at_a_r_o_ _ _ __
__
,i
; WHEREAS, various special assessment rolls (the "Rolls") as hereinafter described for
the construction of ce1iain sidewalk improvements (the "Improvements") in districts H -1476,
H- 1491, and H- 1507 (the "Districts") in the City of Muskegon (the "City") have been prepared,
reviewed and confirmed by the City Commission; and
WHEREAS, the City Commission has determined that it will be necessary to issue
special assessment bonds pledging for their payment collections on the Rolls;
NOW, THEREFORE, BE IT RESOLVED THAT:
1. The estimated period of usefulness of the Improvements is not less than ten (10)
years.
2. Special assessment bonds shall be issued in the principal amount of Eight Hundred
Twenty Five Thousand Dollars ($825,000) (the "Bonds") in anticipation of the collection of
future due installments on the Rolls, together with interest and investment income thereon, as
follows:
SPECIAL
ASSESSMENT AMOUNT
ROLL PLEDGED
H-1476 $130,000
H-1491 420,000
H-1507 275,000
The liability of each of the Rolls shall be limited to the principal amount thereof pledged
"ii as set forth above and interest and investment income thereon. In addition to the special
I assessments primarily pledged as aforesaid, the full faith, credit and resources of the City shall
•z
<
~
•
~ be pledged secondarily for the prompt payment of the principal of and interest on the Bonds as
~·
C:
z
il the same become due. If the pledged special assessments are not collected in amounts sufficient
~
~
to pay the principal of and interest on the Bonds as the same become due, the City will promptly
advance from its general funds as a first budget obligation sufficient moneys to pay said
principal of and interest on the Bonds or, if necessary, levy taxes upon all taxable property in the
City therefor, subject to applicable constitutional, statutory and charter tax rate limitations.
3. The Bonds shall be designated 2000 SPECIAL ASSESSMENT BONDS
(LIMITED TAX GENERAL OBLIGATION), consist of bonds registered as to principal and
interest in the denomination of $5,000 or multiples thereof not exceeding for each maturity the
aggregate principal amount of that maturity, numbered in order of registration, dated
-2-
December 1, 2000, on the date the bonds are issued in the event the bonds are insured and be
payable annually on April 1 of the years and in the principal amounts as follows:
Year Amount Year Amount
2001 $ 65,000 2007 $90,000
2002 85,000 2008 85,000
2003 85,000 2009 85,000
2004 90,000 2010 70,000
2005 85,000
2006 85,000
4. The Bonds shall bear interest at a rate or rates determined on sale thereof, but not
exceeding seven percent (7%) per annum, payable on April 1, 2001, and semiannually
~
~ thereafter, by check or draft drawn on the Transfer Agent (hereinafter defined) and mailed to the
~
Q
~ registered owner at the registered address as shown on the registration books of the City
i
~
maintained by the Transfer Agent. Interest shall be payable when due to the person or entity
~ who or which is the registered owner of record as of the fifteenth (15th) day of the month prior
!
" to the payment date for each interest payment. The date of determination of the registered
owner for purposes of payment of interest as provided in this paragraph may be changed by the
City to conform to market practice in the future. The principal of the Bonds shall be payable
upon presentation and surrender thereof at the location of the Transfer Agent.
The Bonds shall not be subject to redemption prior to maturity.
National City Bank of Michigan/Illinois, Troy, Michigan be and is hereby designated as
bond registrar, paying agent and transfer agent (the "Transfer Agent") for the Bonds. The City
may designate a new Transfer Agent by notice mailed to the registered owner of each of the
Bonds at such time outstanding not less than sixty (60) days prior to any interest payment date.
-3-
The City Treasurer is hereby authorized to execute an agreement with the Transfer Agent on
behalf of the City.
5. The Bonds shall be executed in the name of the City with the manual or facsimile
signatures of the Mayor and the City Clerk and shall have the City's seal or a facsimile thereof
printed or affixed on them. No bond authorized by this resolution shall be valid until
authenticated by an authorized representative of the Transfer Agent.
The Bonds shall be delivered to the Transfer Agent for authentication and shall be
delivered by the Transfer Agent to the purchaser in accordance with instructions from the
Treasurer of the City upon payment of the purchase price for the Bonds in accordance with the
~ accepted bid therefor. Executed blank bonds for registration and issuance to transferees shall
I
•z
< simultaneously, and from time to time thereafter as necessary, be delivered to the Transfer
6
g
•
~ Agent for safekeeping. The Bonds may be issued in book entry only form through the
~
"~z Depository Trust Company of New York.
6. Any Bond authorized by this resolution may be transfe1Ted upon the books
required to be kept by the Transfer Agent pursuant to this section by the person or entity in
whose name it is registered, in person or by the registered owner's duly authorized attorney,
upon sunender of the bond for cancellation, accompanied by delivery of a duly executed written
instrument of transfer in a form approved by the Transfer Agent. Whenever any Bond or Bonds
shall be su1Tendered for transfer, the City shall execute and the Transfer Agent shall authenticate
and deliver a new Bond or Bonds in like aggregate principal amount, maturity and maturity rate.
The Transfer Agent shall require the payment by the bondholder requesting the transfer of any
tax or other governmental charge required to be paid with respect to the transfer.
-4-
7. The Bonds shall be in substantially the following form:
-5-
UNITED STATES OF AMERICA
STATE OF MICHIGAN
COUNTY OF MUSKEGON
CITY OF MUSKEGON
2000 SPECIAL ASSESSMENT BOND
(LIMITED TAX GENERAL OBLIGATION)
Interest Maturity Date of
Rate Date Original Issue
Registered Owner:
Principal Amount: _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ Dollars
~ The City of Muskegon, County of Muskegon, State of Michigan (the "Issuer"), promises
~ to pay to the Registered Owner shown above, or registered assigns, the Principal Amount shown
~ above, in lawful money of the United States of America, on the Maturity Date shown above,
o
z
g with interest thereon from the Date of Original Issue shown above, or such later date to which
~ interest has been paid, until paid, at the Interest Rate per annum shown above, first payable on
~ April 1, 2001, and semiannually thereafter. Principal of this bond is payable upon presentation
~ and surrender at the principal corporate trust office of National City Bank of Michigan/Illinois,
~ Troy, Michigan, or such other transfer agent as the Issuer may hereafter designate by notice
, mailed to the registered owner not less than 60 days prior to any interest payment date. Interest
on this bond is payable when due to the person or entity who or which is the registered owner of
record as of the 15th day of the month preceding the payment date as shown on the registration
books of the Issuer maintained by the transfer agent, by check or draft mailed to the registered
owner at the registered address. For the prompt payment of this bond, both principal and
interest, the limited tax full faith, credit and resources of the Issuer are hereby irrevocably
pledged.
This bond is one of a series of bonds of even Date of Original Issue, aggregating the
principal sum of $825,000, issued in anticipation of the collection of special assessments in
Special Assessment District Nos. H-1476, H-1491, and H-1507 (the "Districts") of the Issuer for
the purpose of paying part of the cost of public improvements in the Districts, all in accordance
with the provisions of Act 279, Public Acts of Michigan, 1909, as amended, the Issuer's charter
and a duly adopted resolution (the "Resolution") of the Issuer.
This bond, including the interest hereon, is payable primarily out of special assessments
to be collected on the lands situated in the aforesaid Districts. The liability of each District is
limited as provided in the Resolution. In case of insufficiency of said special assessment
collections, this bond is payable as a first budget obligation out of the general funds of the
-6-
Issuer, including the collection of any ad valorem taxes which the Issuer is authorized to levy,
subject to applicable constitutional, statutory and charter tax rate limitations.
Bonds of this issue are not subject to redemption prior to maturity.
[Insert Term Bond Language, if applicable]
This bond is transferable only upon the books of the Issuer kept for that purpose at the
office of the transfer agent by the registered owner hereof in person, or by the registered owner's
attorney duly authorized in writing, upon the surrender of this bond together with a written
instrument of transfer satisfactory to the transfer agent duly executed by the registered owner or
the registered owner's attorney duly authorized in writing, and thereupon a new registered bond
or bonds in the same aggregate principal amount and of the same maturity shall be issued to the
transferee in exchange therefor as provided in the Resolution and upon the payment of the
charges, if any, therein prescribed.
It is hereby certified and recited that all acts, conditions and things required by law
precedent to and in the issuance of this bond and the series of bonds of which this is one have
~ been done, exist and have happened in regular and due time and form as required by law, and
~ that the total indebtedness of the Issuer, including this bond and the series of bonds of which this
~ is one, does not exceed any constitutional, statutory or charter debt limitation.
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This bond is not valid or obligatory for any purpose until the transfer agent's Certificate
of Authentication on this bond has been executed by the transfer agent.
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IN WITNESS WHEREOF, the City of Muskegon, County of Muskegon, State of
Michigan, by its Commission, has caused this bond to be executed with the facsimile signatures
of its Mayor and its Clerk and its corporate seal or a facsimile thereof to be printed hereon, all as
of the Date of Original Issue.
CITY OF MUSKEGON
By [specimen)
Mayor
(SEAL)
Countersigned
[specimen)
City Clerk
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[FORM OF TRANSFER AGENT'S CERTIFICATE OF AUTHENTICATION]
Ce1iificate of Authentication
This bond is one of the bonds described in the Resolution.
National City Bank of Michigan/Illinois
Troy, Michigan,
Transfer Agent
By _ _ _ _ _ _ _ _ _ _ _ _ _ _ __
Authorized Representative
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Date of Registration: _ _ _ _ _ _ __
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I [The f01m of assignment shall be added by the bond printer.]
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8. The City Clerk or Finance Director is authorized to make application to the
Michigan Department of Treasury for permission to issue the Bonds, if required, or to request an
Order Providing Exception From Prior Approval and to cause to be paid any required fee. Upon
receipt from the Michigan Department of Treasury of either an Order Providing Exception From
Prior Approval for the issuance of the Bonds or an Order of Approval for the issuance of the
Bonds, the City Clerk shall fix the date of sale of the Bonds and shall cause notice of sale thereto
to be published in The Bond Buyer, New York, New York, or The Detroit Legal News, Detroit,
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Michigan, both authorized newspapers for such purposes, at least seven (7) full days before the
date fixed for sale of the Bonds.
9. Said notice of sale shall be in substantially the following form:
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OFFICIAL NOTICE OF SALE
$825,000
CITY OF MUSKEGON
County of Muskegon
State of Michigan
2000 SPECIAL ASSESSMENT BONDS
(LIMITED TAX GENERAL OBLIGATION)
SEALED BIDS for the purchase of the above bonds will be received by the undersigned
at the office of the City Clerk of the City of Muskegon located at 933 Terrace Street, P.O. Box
536, Muskegon, Michigan 49443-0536, on--~ the_ day of _ _~ 2000, until _ _
o'clock _.m., Eastern Standard Time, at which time and place said bids will be publicly opened
'i and read. Bids will also be received simultaneously and publicly opened and read at the
"~- Municipal Advisory Council of Michigan, 1445 First National Building, Detroit, Michigan
~ 48226. The City Council will meet no later than 5:30 o'clock p.m., Eastern Standard Time, on
~ the same date to consider the award of such bids.
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FAXED BIDS: Signed bids my be submitted by fax to the City at fax number (231) 724-
4178, attention: Timothy Paul, or by MAC members to the MAC at (313) 963-0943; provided
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that faxed bids must arrive before the time of sale and the bidder bears all risks of transmission
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~ failure, and the GOOD FAITH DEPOSIT MUST BE MADE AND RECEIVED as described in
the section captioned "GOOD FAITH" below.
ELECTRONIC BIDS: Electronic bids will also be received on the same date and until
the same time by Bidcomp/Parity as agent of the undersigned. Further information about
Bidcomp/Parity, including any fee charged, may be obtained from Bidcomp/Paiity, Jennifer
Emery, 395 Hudson Street, New York, New York 10014, (212) 806-8304. NO ELECTRONIC
BID WILL BE ACCEPTED UNLESS THE BIDDER HAS SUBMITTED A FINANCIAL
SURETY BOND IN THE AMOUNT DESCRIBED IN THE SECTION CAPTIONED "GOOD
FAITH" BELOW.
Bidders may choose any means or location to present bids but a bidder may not present a
bid in more than one location or by more than one means.
BOND DETAILS: Bonds of this issue will be registered bonds of the denomination of
$5,000 or multiples thereof not exceeding for each maturity the aggregate principal amount of
such matmity, dated December 1, 2000, numbered in order of registration, and will bear interest
from their date payable on April 1, 2001, and semiannually thereafter.
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The bonds will mature on the 1st day of April of the years and in the principal amounts as
follows:
Year Amount Year Amount
2001 $ 65,000 2007 $90,000
2002 85,000 2008 85,000
2003 85,000 2009 85,000
2004 90,000 2010 70,000
2005 85,000
2006 85,000
NO PRlOR REDEMPTION OF BONDS: Bonds of this issue shall not be subject to
redemption prior to maturity.
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TERM BONDS: The initial purchaser of the bonds may designate bonds in any one or
~ more maturities as tenn bonds and the maturities so designated shall be aggregated in the term
'ii bonds. The amounts of the maturities which are aggregated in a designated term bond shall be
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subject to mandatory redemption on April 1st of the years and in the amounts hereinbefore set
~ forth in the maturity schedule at a redemption price of par, plus accrued interest to the date of
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mandatory redemption. Any such designation must be made at the time the bid is submitted.
Bidders must designate whether bond maturities represent a serial maturity or a mandatory
~ redemption requirement for a term bond maturity.
INTEREST RATE AND BIDDING DETAILS: The bonds shall bear interest at a rate or
rates not exceeding 7% per annum, to be fixed by the bids therefor, expressed in multiples of 1/8
or 1/20 of 1%, or both. The interest on any one bond shall be at one rate only. All bonds
maturing in any one year must carry the same interest rate. No proposal for the purchase of!ess
than all of the bonds or at a price less than 98% of their par value will be considered. In the
event Tenn Bonds are designated interest cost shall be determined by applying the interest rate
of such Tenn Bonds to each mandatory sinking fund redemption for such Te1m Bonds.
PURPOSE AND SECURITY: The Special Assessment Bonds are issued in anticipation
of the collection of future due installments of special assessments for local public improvements
in certain Special Assessment Districts in the City, as set forth in the bond authorizing
resolution. The special assessments and interest and investment income thereon shall be
sufficient to pay the principal of and interest on the Special Assessment Bonds when due. The
liability of each Special Assessment District is limited as set forth in the bond authorizing
resolution. The bonds will pledge the limited tax full faith and credit of the City as additional
security for payment of principal and interest. Pursuant to such pledge, should special
assessment collections be insufficient, the City shall be obligated to pay the principal of and
interest on said bonds as a set first budget obligation from its general funds, including the
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collection of any ad valorem taxes which the City is authorized to levy, but any such levy shall
be subject to applicable constitutional, charter and statutory tax rate limitations.
TRANSFER AGENT AND REGISTRATION: Principal and interest shall be payable at
National City Bank of Michigan/Illinois, Troy, Michigan or such other transfer agent as the City
may hereafter designate by notice mailed to the registered owner not less than 60 days prior to
any interest payment date. Interest shall be paid when due by check or draft mailed to the owner
as shown by the registration books of the City as of the 15th day of the month preceding any
interest payment date. The bonds will be transferable only upon the registration books of the
City kept by the transfer agent. ·
BOOK-ENTRY ONLY: The Bonds may be issued in book-entry only form as one fully
registered bond per maturity and will be registered in the name of Cede & Co., as bondholder
and nominee for the Depository Trust Company ("DTC"), New York, New York. DTC will act
as securities depository for the bonds. Purchase of the bonds will be made in book-entry only
form, in the denomination of $5,000 or any multiple thereof. Purchasers will not receive
ce1tificates representing their interest in bonds purchased if issued in book-entry form.
~ BOND INSURANCE AT PURCHASER'S OPTION: If the bonds qualify for issuance
,g of any policy of municipal bond insurance or commitment therefor at the option of the
~ bidder/purchaser, the purchase of any such insurance policy or the issuance of any such
!g commitment shall be at the sole option and expense of the purchaser of the bonds. Any
~ increased costs of issuance of the bonds resulting from such purchase of insurance shall be paid
~ by the purchaser, except that, if the City has requested and received a rating on the bonds from a
~ rating agency, the City will pay the fee for the requested rating. Any other rating agency fees
~ shall be the responsibility of the purchaser. FAILURE OF THE MUNICIPAL BOND
, INSURER TO ISSUE THE POLICY AFTER THE BONDS HAVE BEEN AWARD ED TO
THE PURCHASER, SHALL NOT CONSTITUTE CAUSE FOR FAILURE OR REFUSAL BY
THE PURCHASER TO ACCEPT DELIVERY OF THE BONDS FROM THE CITY.
GOOD FAITH: A certified or cashier's drawn incorporated bank or trust company or a
Financial Surety Bond, in the amount of$16,500, and payable to the order of the Treasurer of
the Issuer is required for each bid as guarantee of good faith on the part of the bidder, to be
forfeited as a liquidated damages if such bid be accepted and the bidder fails to take up and pay
for the bonds. If a check is used, it must accompany each bid. If a Financial Surety Bond is
used, it must accompany each bid. If a Financial Surety bond is used, it must be from an
insurance company licensed to issue such a bond in the State of Michigan and such Bond must
be submitted to the Issuer's financial advisor prior to the opening of the bids. The Financial
Surety Bond must identify each bidder whose good faith deposit is guaranteed by such Financial
Surety Bond. If the bonds are awarded to a bidder utilizing a Financial Surety Bond, then that
purchaser (the "Purchaser") is required to submit its good faith deposit to the Issuer or its
financial advisor in the form of a cashier's check (or wire transfer such amount as instmcted by
the Issuer or its financial advisor) not later than Noon, Eastern Time, on the next business day
following the award. If such good faith deposit is not received by that time, the Financial Surety
Bond may be drawn by the Issuer to satisfy the good faith deposit requirement. The good faith
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deposit will be applied to the purchase price of the bonds. In the event the Purchaser fails to
honor its accepted bid, the good faith deposit will be retained by the Issuer. No interest shall be
allowed on the good faith checks, and checks of the unsuccessful bidders will be promptly
returned to each bidder's representative or by mail. The good faith check of the successful
bidder will be cashed and payment for the balance of the purchase price of the bonds shall be
made at the closing.
AWARD OF BONDS: The bonds will be awarded to the bidder whose bid produces the
lowest interest cost computed by determining, at the rate or rates specified in the bid, the total
dollar value of all interest on the bonds from _ _ _ _ _ _ 1, 2000, to their maturity and
deducting therefrom any discount or adding thereto any premium.
LEGAL OPINION: Bids shall be conditioned upon unqualified approving opinion of
IVIiller, Canfield, Paddock and Stone, P.L.C., attorneys of Detroit, Michigan ("Bond Counsel"),
copies of which opinion will be printed on the reverse side of the bonds, and the original of
which will be furnished without expense to the purchaser of the bonds at the delivery thereof.
The fees of Bond Counsel for services rendered in connection with such approving opinion are
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expected to be paid from bond proceeds. Except to the extent necessary to issue their
unqualified approving opinion as to validity of the above bonds, Bond Counsel have not been
""'
z requested to examine or review and have not examined or reviewed any financial documents,
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~ statements or materials that have been or may be furnished in connection with the authorization,
~ issuance or marketing of the bonds, and accordingly will not express any opinion with respect to
~~ the accuracy or completeness of any such financial documents, statements or materials.
~-
TAX MATTERS: In the opinion of Bond Counsel, assuming compliance with certain
~ covenants, interest on the bond, is excluded from gross income for federal income tax purposes,
I as described in the opinion, and the bonds and interest thereon are exempt from all taxation in
the State of Michigan except inheritance taxes and taxes on gains realized from the sale,
payment or other disposition thereof.
ISSUE PRICE CERTIFICATE: The successful bidder will be required to furnish prior to
the delivery of the bonds, a certificate in a form acceptable to Bond Counsel as to the "issue
price" of the bonds within the meaning of Section 1273 of the Internal Revenue Code of 1986,
as amended.
QUALIFIED TAX EXEMPT OBLIGATIONS: The City has designated the bonds as
"qualified tax exempt obligations" for purposes of deduction of interest expense by financial
institutions.
DELIVERY OF BONDS: The City will furnish bonds ready for execution at its expense.
Bonds will be delivered without expense to the purchaser at Detroit, Michigan, or such other
place as may be mutually agreed upon. The usual closing documents, including a certificate that
no litigation is pending affecting the issuance of the bonds, will be delivered at the time of the
delivery of the bonds. If the bonds are not tendered for delivery by twelve o'clock noon,
Eastern Standard Time, on the 45th day following the date of sale, or the first business day
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thereafter if said 45th day is not a business day, the successful bidder may on that day, or any
time thereafter until delivery of the bonds, withdraw his proposal by serving notice of
cancellation, in writing, on the undersigned in which event the City shall promptly return the
good faith deposit. Payment for the bonds shall be made in immediately available funds.
Accrued interest to the date of delivery of the bonds shall be paid by the purchaser at the time of
delivery. Unless the purchaser furnishes the transfer agent with a list giving the denominations
and names in which the purchaser wishes to have each issue of the bonds issued at least five
business days prior to the date of delivery of the bonds, each issue of the bonds may be
delivered in the form of a single certificate for each maturity registered in the name of the
purchaser.
CUSIP NUMBERS: It is anticipated that CUSIP identification numbers will be printed
on said bonds, but neither the failure to print such numbers on any bonds nor any error with
respect thereto shall constitute cause for a failure or refusal by the purchaser thereof to accept
delivery of and pay for said bonds in accordance with terms of the purchase contract. All
expenses in relation to the printing of CUSIP numbers on said bonds shall be paid for by the
County; provided, however, that the CUSIP Service Bureau charge for the assignment of said
u numbers shall be the responsibility of and shall be paid for by the purchaser.
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MICHIGAN REVENUE SHARING AND PROPERTY TAX REFORM: On December
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~ 10, 1998, the Michigan Legislature enacted Public Act 532 of 1998 which changed the formula
§ pursuant to which state revenue sharing moneys are returned to local units of government,
~ including the City. Legislation also has been introduced in the Michigan Legislature which, if
~ enacted in its present form, would reduce the taxable valuation of property subject to ad valorem
~ taxation from 50% of the cash value to 40% of the cash value. Legislation also has been
g introduced in the Michigan Legislature, which, if enacted, depending on the version enacted,
~ could result in either immediate or phased-in exemption of all or some of the personal property
located in the jurisdictional boundaries of the City, without making provisions for replacement
of lost revenues to the City. In addition, the Michigan Department of Treasury has approved
revisions to the State's personal property tax tables effective for the year 2000 which may
reduce overall personal property tax revenues in the City. The State Tax Tribunal has
informally indicated that the Tax Tribunal may allow them to be applied retroactively in pending
personal property tax appeals. In anticipation of the new multipliers, many personal property
taxpayers have filed appeals of their existing tax assessments. The financial impact of the
change in multipliers and any appeals, if successful, on the City's operating revenues in
unknown. Purchasers of the bonds offered herein should be alert to the potential effect of the
foregoing measures upon the Bonds, the security therefor, and the operations of the City.
FINANCIAL CONSULTANT: Further information with respect to the bonds may be
obtained from Robert W. Baird & Co., Incorporated, 300 East Fifth Avenue, Suite 200,
Naperville, Illinois 60563. Telephone (630) 778-9100.
THE RIGHT IS RESERVED TO REJECT ANY OR ALL BIDS.
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ENVELOPES containing the bids should be plainly marked "Proposal for Special
Assessment Bonds".
Gail Kundinger
City Clerk
City of Muskegon
10. There shall be established and maintained a fund to be designated 2000 SPECIAL
ASSESSMENT BONDS DEBT RETIREMENT FUND. Into said fund there shall be placed the
accrued interest and premium, if any, attributable to the Bonds received at the time of delivery
thereof. In addition, there shall be paid into said fund the collections of principal of and interest
on the Rolls in anticipation of the collection of which the Bonds authorized by the provisions of
'!! this resolution are to be issued. The amount to be paid by each District shall not exceed the
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amount of the liability of such District set forth in Section 2 hereof and the interest and
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~- investment income thereon. If at any time said fund is insufficient to pay the principal of and
~
g interest on said Bonds as the same become due, the City shall advance from its general funds as
>
a first budget obligation a sufficient amount of money to pay such principal and interest and, if
necessary, shall levy taxes on all taxable property in the City for such purpose, subject to
applicable constitutional, statutory and charter tax rate limitations.
11. There shall be established and maintained a separate fund for each Dist1ict, to be
designated 2000 SPECIAL ASSESSMENT DISTRICT NO. CONSTRUCTION FUND,
into which shall be placed the District's portion of the proceeds of sale of the Bonds, except
retirement fund for the Bonds, accrued interest and premium, if any, and from which fund there
shall be paid the cost of the Improvements in the respective Districts. The moneys in the several
funds may be maintained in a single account, but no money shall be drawn therefrom for the
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benefit of any District in excess of the District's proportion of the proceeds of the Bonds, and
investment income thereon. There shall also be placed in said fund the collections of principal
of and interest on the related Roll to the extent not pledged in Section 2 hereof.
12. The City hereby designates the Bonds as "qualified tax exempt obligations" for
purposes of deduction of interest by financial institutions, and further covenants for the benefit
of the holders of the Bonds that it will not cause or permit the proceeds thereof to be used in a
manner which would cause the Bonds to lose the exemption from taxation in the State of
Michigan and from federal income taxation conferred by the Internal Revenue Code of 1986, as
amended.
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13. All resolutions and parts of resolutions insofar as they conflict with the provisions
8
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~ of this resolution be and the same hereby are rescinded.
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AYES: Members _ _S_he__,_p_h_e_r_d_,__,_S_i_e_r_ad_z_k_i_,_,___,Sp'-a_t....ca_r_o~•_B~e~n....c.e_d_ic"--t~•-·-'-'N--"-ie~l~s~e'-'--n,_.,_,_
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and Sch we i fl er
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NAYS: Members None
- - - - - - - - - - - -- - - - - - -- - --
ABSTAIN: Members None
- -- - -- - - - - - - - - - - - - -- - - -
RESOLUTION DECLARED ADOPTED.
LO. ~ CityClerk
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I hereby certify that the foregoing is a true and complete copy of a resolution adopted by
the City Commission of the City of Muskegon, County of Muskegon, State of Michigan, at a
regular meeting held on November 14_, 2000, and that said meeting was conducted and public
notice of said meeting was given pursuant to and in full compliance with the Open Meetings
-16-
Act, being Act 267, Public Acts of Michigan, 1976, and that the minutes of said meeting were
kept and will be or have been made available as required by said Act.
City Clerk
City of Muskegon
DELIB :2190867. I \063684-00030
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Affirmative Action
616/724-6703
FAX/722-1214
Assessor
616/724-6708
FAX/724-4178
Cemetery
616/724-6783
FAX/726-5617
Civil Service
616/724-6716
FAX/724-6790 West Michigan's Shoreline City
Clerk
616/724-6705
FAX/724-4178
November 17, 2000
Comm. & Neigh.
Services
616/724-6717
FAX/726-2501
Engineering Mr. Joel L. Piell
616/724-6707
FAX/727-6904
Miller, Canfield, Paddock and
Stone, P.L.C.
Finance
616/724-6713
150 W. Jefferson, Suite 2500
faAX/724-6768 Detroit, MI 48226
FireDe11t.
616/724-6792 Dear Mr. Piell:
FAX/724-6985
Income Tax Enclosed are three resolutions for the City of Muskegon 2000 special assessment
616/724-6770
FAX/724-6768 bonds. If you have any questions, please call me at (231) 724-6705.
Info. Systems
616/724-6975 Thank you,
FAX/724-6768
Leisure Service
616/724-6704
FAX/724-6790
Linda Potter
Manager's Office
616/724-6724 Deputy Clerk
FAX/722-1214
Mayor's Office Enc.
616/724-6701
FAX/722-1214
Neigh. & Const.
Services
616/724-6715
FAX/726-2501
Planning/Zoning
616/724•6702
FAX/724-6790
Police Dept.
6]6/724-6750
FAX/722-5140
Public Works
6161724-4100
FAX/722-4lfl8
Treasurer
616/724-6720
FAX/724-676fl
Watel' Dept.
616/724-6718
FAX/724-6768
Water Filtration
616/724-4106
F AX/755-5290 City of Muskegon, 933 1I'errace St,eet, il'..j
3 ,. if
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w- ~4: ~)' ( ~"'"
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FAX/724-6768
Leisure Service To Whom It May Concern:
616/724-6704
FAX/724-6790
Enclosed is the resolution, police inspection report (LC-1800), print card and
Manager's Office
616/724-6724 check for Samei Btk.
FAX/722-1214
Mayor's Office Please do not hesitate to call me at (231) 724-6705 if you have any questions.
616/724-6701
FAX/722-1214
Sincerely,
~
Neigh, & Const.
Services
616/724-6715
FAX/726-2501 ~id!)
Planning/Zoning Linda Potter
616/724-6702
FAX/724-6790 Deputy Clerk
Police Dept.
616/724..6750 Enc.
FAX/722-5140
Public \Vories
616/724-4,o0
FAX/722-4188
Treasurer
616/724-6720
FAX/724-6768
Water Dept.
616/724-6718
FAX/724-6768
Water Filtration
616/724-4106
FAX/755-5290 :City of Mus!<.egon, 933 Terrnce Street, ll'.l[J). l!lox 536, Muskegon, MX 49443-0536
Commission Meeting Date: November 14, 2000
Date: November 7, 2000
To: Honorable Mayor & City Commission
From: Community and Neighborhood Services
RE: Cancellation of Public Hearing concerning City's
1999 - 2000 Consolidated Annual Performance
Evaluation Report (CAPER)
SUMMARY OF REQUEST: The Community and Neighborhood
Services Department received a legal opinion from Attorney Cathy
Bialas of the U. S. Department of Housing and Urban Development,
stating that the City has met its obligation concerning the Citizen's
Participation Plan as it relates to its CAPER submission. Therefore an
additional Public Hearing is not required.
FINANCIAL IMPACT: None
BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: To cancel scheduled Public Hearing
COMMITTEE RECOMMENDATION: None
Date: November 14, 2000
To: Honorable Mayor and City Commissioners
From: Engineering
RE: Request for an Encroachment Agreement
City Cafe
SUMMARY OF REQUEST:
Mr. Frank Lister, owner of the City Cafe, has submitted the attached Encroachment
Agreement Form requesting your permission to install a sign on the Western Ave. side of
425 W. Western (southeast corner of Third & Western). Furthermore, your permission, if
granted, be contingent upon receiving approval from HOC as well as inspection.
FINANCIAL IMPACT:
None
BUDGET ACTION REQUIRED:
None
STAFF RECOMMENDATION:
To approve the encroachment.
COMMITTEE RECOMMENDATION:
,.
2000-108(a)
CITY OF MUSKEC.ON
ENCROACHMENT AGREEMENT AND PERMIT
THIS AGREE.vfENT is made and entered into this 2±. day ofNovember Z00Q by and
between the CITY OF MUSKEGON, a municipal corporation (hereinafter called CITY), and .A.§..hley-
Chandler, Ltd d.b.a.City Cafe
_ _ _ _ _ _ _ _ _ _ _ (hereinafter called LICENSEE).
RECITALS
I. LICENSEE proposes to install, repair or maintain improvements or facilities ("the
encroachment''), in or abutting a street, alley, sidewalk, park, terrace or other property controlled
or owned by the City of Muskegon, the encroachment being described as
w~JJ (Rracketlsign bolted to the Frauenthal
Hilt building above 425 w. Western's emtrance /see exhibit.I
2. The City - owned or controlled property (herein "property") subject 10 the
encroachment is described as: The sidewalk in front of 425 w. Western Avenue.
[please insen a general description, and if required by the city, an accurate legal description]
· 3. The City is willing to grant such privilege upon the terms and conditions herein. This
agreement shall constitute a permit under section 18-19 of the Code of Ordinances, but shall apply
to any encroachment on public ways or property.
THEREFORE,
/ I. CITY does hereby grant unto LICENSEE the privilege of __constructing,
Linstalling ,_maintaining _ _repairing ___performing all necessary functions relating to
the encroachment, and for that purpose to enter the property, for the term herein stated. This
l
privilege shall be effective upon the issuance of an encroachment permit, which shall be issued
only after approval of this agreement by the City Commission and delivery to the City of the
required -evidence of insurance coverages
-. .
This grant is subject to the following special conditions: _ _ _ _ _ _ _ __
SEE SUPPLEMENTAL CONDITIONS
2. That LICENSEE shall pay to the City for the privilege hereby granted the sum of _
_ _ _ _ _ _ _ _ _ _ _ Dollars ($__), such payment to be made upon the signing of
this agreement to be dated as of the ..ll. day of November, ?00D19;2L, to the City Treasurer
of the City of Muskegon. and the privilege hereby granted shall continue for a period to terminate
the first day of May, .2.QQ5, unless sooner terminated as hereinafter provided.
3. lNDEMNIFICATION. The LICENSEE shall indemnify and save harmless said
GRA!'lTOR of and from any liability for claims, damages, costs, expenses, or fees, including any
attorney fees, or fines or awards brought against or charged to the city by any person. firm or
corporation on account of or arising from the privilege hereby granted to LICENSEE or the
activities of the LICENSEE related to the encroachment or this privilege. This indemnification
obligation shall include all liabilities for environmental damage or releases of hazardous substances
subject to any governmental or third party action. "Hazardous substance" is defined as any
material constituting a prohibited or regulated substance under any governmental law, rule, statute
or regulation in force at any time, including future times.
4. INSURAi.'lCE. LICENSEE shall at all times carry liability insurance in such amounts
as are satisfactory to City, and issued by companies acceptable to the City, licensed in the State
of Michigan, naming City as an additional insured on any such policy. LICENSEE will file with
2
l City certificates or policies evidencing such insurance coverage . The insurance policies or
certificates shall provide that the City shall be given thirty days written notice before a
cancellation or change in coverage may occur. The types of coverage and coverage limits to be
required shall be as follows:
5. BONDING. Before this agreement /permit becomes valid, LICENSEE shall file
with the city a bond conforming with the requirements of any ordinance, and shall keep same in
force during the entire term of this agreement.
6. The privilege hereby granted may be canceled and revoked by the CITY at any
time upon giving said LICENSEE _ days of written notice of such cancellation and revocation.
7. LICENSEE may surrender up the privilege hereby granted at any time upon
giving notice in wriring to the City.::il)days prior to such surrender; provided, however, that upon
the voluntary relinquishment or abandonment of this privilege, or upon cancellation or revocation
thereof by the City, the LICENSEE shall remove any strucrure(s) erected upon, within or
overhanging the area of encroachment and restore the property at LICENSEE'S expense and in a
manner satisfactory to City and in default thereof shall be liable to City for any cost, damage or
expense the City may sustain in such restoration.
8. That should said LICENSEE fail or refuse to conform to any of the conditions on
its part to be performed hereunder, the privilege hereby granted shall immediately terminate and
become null and void.
3
9. This agreement shall be binding upon the respective heirs, representatives.
successors and assigns of the parties hereto.
Wimesses: CITY OF MUSKEGON
By_ _ _ _ _ _ _ _ _ _ _ __
Fred J. Nielsen Mayor
And. _ _ _ _ _ _ _ _ _ _ __
Gail A. Kqnrlinge£lerk
LICENSEE:
4
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SUPPLEMENTAL CONDITIONS
1- The grantee shall be fully responsible for the maintenance of the sign and any
relocation that becomes necessary to facilitate other improvements within the right
of way.
2- Grantee will be responsible to maintain and keep, for the duration of this agreement,
a valid insurance coverage satisfactory to the City.
~· pp Sign Co.
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Acceptance Date
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STRUCTURE TO BE SECURED TO
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ms or any pat <::i the des9' (a,cepttng reg/s191ed trodemor1ts) remolns the p-operry of Port Customer Signature
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Acceptance Dote
3370
ASHLEY-CHANDLER, LTD.
RESTAURANT MANAGEMENT AND DEVELOPMENT
231-733-9661 74--1394/724
3350 Glade St., Suite 223
Muskegon, Mi 49444
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shown to Cl"l)_/.:(,o:
the parcel that will be transfc!rcd as a right-ot:way to CSX Rail Road. The scope of work is
as follows:
Limited Subsurface Assessment
This limited investigation will consist of the installation of soil borings and monitoring wells
and the collection of soil and groundwater samples to evaluate the existing environmental
conditions of the soil and groundwater beneath the subject parcel. A total of eight hand auger
soil borings and three monitoring wells will be installed in the manner described helow.
Although, the exact location of each of the hand auger soil borings and monitoring wells has
not been delem1ined for this proposal, the locations will he determined prior to conducting
the field program.
Hand Auger Soil Borings:
Eight hand auger soil borings will be completed in the proposed CSX Rail Road right-of-way
at four transects. For each of the four transects across the right-of-way, Earth Tech will
install two hand auger soil borings. This approach will help to evaluate the existing
conditions along the full length and width of the proposed right-of-way.
The hand auger soil borings will be completed using a stainless steel hand auger soil-
sampling device. At each of the eight locations, soil samples will be collected from 0 to 2
feet below ground surface (bgs) and from 2 to 4 feet bgs. Each of the samples will be field
screened using a photoionization detector (PID) and described in a field notebook.
Ei\Rltt@·, lE !: fi'l
I\ tqca INTERNATIONAL LTD. COMPANY
11/01/00 WED 12: 53 FAX 734 779 2860 EARTH TECH @003
Mr. Mohammed S. Al-Shale!
Prnpos•I - LimHed Subsurface Assessment
November 1, 2000
Page 2
In order to be consistent with prior investigation work conducted at the site, the analytical
progrnm wi11 include volatile organic compounds (VOCs), semi-volatile organic compounds
(SVOCs), polychlorinated biphenyls (PCBs), and Michigan 1O metals (arsenic, barium,
cadmium, chromium, copper, lead, mercury, silver, selenium, and zinc).
The hand auger sampling device will be decontaminated prior to site use and hctwccn each
sampling location. This will be completed by using an Alconox water mixture followed be a
clean v.:ater rinse. De-contamination water will be discarded 011 the ground surface at a
centraHzed decontamination area.
Monitoring Wells and Groundwater Sampling:
Three monitoring wells will be installed to evaluate the condition of the groundwater beneath
the site and groundwater flow direction.
The depth to groundwater has been assumed to be approximately 8 feet bgs based on previous
field work conducted at the site. All three wells will be drill and sets installed using a truck
mounted drill ng equipped with hollow stem augers. The total depth of each of the wells will
be eleven feet bgs. The monitoring wells will be constrncted using 2-inch diameter, 5-foot
long PVC screens with 0.010-inch slot openings and completed with 2-inch diameter
schedule 40 PVC well riser. After the screen is placed at the proper depth, clean silica sand
will be placed to l foot above the screen (5 feet bgs) and the remaining bore hole will be
filled with bentonite chips to one foot bgs. The surface will be completed with flush mount
well covers, cemented in place. Soil cuttings will be spread on the ground surface near each
respective well location.
After the monitoring wells have been installed, each will be developed using a bailer to
re111ove fine-grained material and to ensure a good connection has been made with the
aquifer. The well will be developed for one hour or until the water is free of fine grained
material, whichever is first. Development water will be discarded on the ground surface near
each respective well location.
After the wells have been installed, a survey will be completed to establish an devation of
each of the top-of casings. This data will support the evaluation groundwatc-r flow direction.
At least 24 hours after the wells have been installed and developed, groundwater samples will
be collcc(cd from each of the monitoring wells. Prior to sample collection, depth to water
level measurements will be made from each of the wells and recorded in the site field
notebook. 11,c volume of water standing in each of the wells will he calculated and a total of
three well volumes will be removed prior lo sample collection using a disposable bailer.
Between each purge volume, water quality (pH, specific conductance, and temperature)
readings will be recorded. Samples will be collected after the third reading only if the water
E A R T H © T E C H
11/01/00 WED 12:54 FAX 734 779 2860 EAR1'1! TECH 141004
Mc Mohammed S. Al-Shatel
Proposal - Limited Subsurface Assessment
November 1, 2000
Page 3
quality parameters have stabilized to within 10 percent of 1he previous reading. Addit.ionaJ
volumes will be removed as needed to obtain the within 10 percent readings.
After the proper numbers of volumes liave heen removed, groundwater samples will be
collected using the same disposable bailer used during purging. The analytical suite will
include VOCs, SVOCs, PCBs, and Miclugan 10 metals.
Reporting:
After soil and groundwater quality analytical results are received from the laboratory, a letter
report will be generated. The report will include analytical tables compared to appropriate
Michigan Department of Environmental Quality (MDEQ) Generic Cleanup Criteria. The
repo1i will also include boring/monitoring well logs, a site map depicting the locations of the
boring and wells with respect to the proposed easement, and a copy of the analytical results.
A draft of the letter report will be submitted to the City of Muskegon for review and
comment. After comments are received, Eaiih Tech will finalize the report and submit up to
six final copies.
The above scope of work can be completed for a total cost of $23,IO0. The draft report can
be submittal to the City within four weeks of the date of authorization. The final report can
be submitted within 1 week of receipt of comments from the City.
We are preparer! to initiate this work immediately upon receipt of written authorization. lf
you have any questions regard.ing this proposal, please feel free to contact me at (734) 779-
2810.
Very truly yours,
Earth Tech, Inc.
mkelJohn, PE
cc: Andrew Lonergan - Emih Tech, Livonia, MI
Craig Rogers - Earth Tech, Livonia, MI
Commission Meeting Date: November 14, 2000
Date: November 7, 2000
To: Honorable Mayor & City Commission
From: Planning & Economic Development Department C/!;c_,,
RE: Obsolete Property Rehabilitation Districts Policy
SUMMARY OF REQUEST: To approve the Obsolete Property
Rehabilitation Districts Policy for the City of Muskegon and to authorize
staff to begin the process to designate the Getty Street Corridor and the
Apple-Pine Corridor as Districts. In addition, staff recommends that
qualified property owners outside these two districts be allowed to
request a district for their property, providing they meet the standards of
the Policy.
FINANCIAL IMPACT:.To improve the tax base for the City of Muskegon,
and to stimulate job development.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: To approve the Obsolete Property
Rehabilitation Districts Policy, and authorize staff to begin the policy
implementation.
COMMITTEE RECOMMENDATION: The Legislative Policy Committee
reviewed the Policy on October 26, and the Working Session of the City
Committee reviewed the Policy on October 9, and will review the Policy
again on November 13. The Chamber of Commerce has provided input
and staff will be meeting with Chamber representatives prior to the City
Commission meeting to discuss minor modifications to the Policy.
POLICYNO. 2000-108(d)
CITY OF MUSKEGON
OBSOLETE PROPERTY REHABILITATION DISTRICTS
ACTNO. 146
PUBLIC ACTS OF 2000
1.0 STRATEGIC PLANNING PROCESS
The City Commission, on November 14, 2000, determined that the following
policy is necessary, in order to implement the Obsolete Property Rehabilitation
Districts, for these reasons:
- New legislation available that will benefit the City of
Muskegon, particularly our commercial areas
Implementation will encourage the development of commercial
areas that have experienced little or no redevelopment in recent
years
To ensure that the redevelopment that does take place is
appropriate for the districts identified
2.0 PURPOSE
The Muskegon City Commission is a strong advocate of economic development
activities, programs, and structures designed to create and promote employment
opportunities and expand the local tax base. In the past, the available incentives
for commercial businesses have been minimal. The State of Michigan is now
creating incentives that can be used on a local level to spark business
development and building rehabilitation. The purpose of this policy is to
stimulate business growth and improve commercial areas of the City where
certain properties have become obsolete. The City Commission believes that it
should be an active participant and a leader where appropriate in the economic
development of the City.
The City of Muskegon supports the establishment of policies, programs, and
facilities, permitted by law, which will carry out this policy. For the City to
accomplish these purposes in an orderly fashion, it must be assured that the use of
tax abatements for commercial rehabilitation is judicious, fair, and responsibly
accomplished. The City adopts this policy, not only to encourage the use of tax
abatements for commercial rehabilitation, but also to aiticulate the reasonable
expectations ofperformarice by those directly benefiting from the policy.
1
3.0 POLICY
A. It is the policy of the City of Muskegon to provide obsolete
property rehabilitation exemption certificates to qualifying
applicants under certain State laws. The policy will increase the
tax base of the community, attract new business, housing and
industry, and will result in the expansion, modernization, and
rehabilitation of existing businesses.
B. Multiple certificates by the same applicant are permitted, if
authorized by State law, based upon previous performance and
compliance with projections and conditions of previous
applications. Specific monitoring techniques will be employed
which analyze the results of the rehabilitation certificate program
overall and specifically of each applicant on an annual basis. An
annual performance report will be prepared for review by the
Commission to determine the need for amendment to this policy.
C. It is the intent of the City of Muskegon that each application be
reviewed against this policy, procedures and the annual reports to
determine on a case-by-case basis that the application meets the
goals and objectives of the City.
3.1 Obsolete Property Rehabilitation Criteria
The criteria to be considered by the City Commission in approval of
applications, including applications for the establishment of districts, as
well as the issuance of certificates, are the following:
1. Compliance with the Obsolete Property Rehabilitation Policy as
adopted by the City Commission.
2. Completion of the rehabilitated facility must be calculated to, and
will at the time of issuance of the certificate have the reasonable
likelihood to, increase commercial activity, create employment,
retain employment, prevent a loss of employment, revitalize urban
areas, or increase the number of residents in the community in
which the facility is situated.
3. Will increase the tax base.
2
4. Compliance of the petitioner in meeting previous obsolete property
rehabilitation requirements, and employment goals and investment
projections (if relevant).
5. The impacts on public right of way and general circulation
patterns.
6. General site improvements such as paving, parking areas, increases
in landscaping ground vegetation, and signage improvements.
7. The history of the applicant in payment of taxes, water bills, or any
other obligations to the City. "Applicant," for this purpose, shall
include any entity controlled by the principal officers or owners of
the entity signing the present application. The City shall not issue
a certificate or approve a district in cases where the "applicant" as
here defined, is delinquent in any tax, water bill, or obligation to
the City.
8. The applicant must state, in writing, that the rehabilitation of the
facility would not be undertaken without the applicant's receipt of
the exemption certificate.
9. The location of the proposed improvements and whether the
general area has already been designated as an Obsolete Property
Rehabilitation District, or is an area that would qualify as having
obsolete properties.
I 0. The value of the rehabilitation must include improvements
aggregating IO % or more of the true cash value of the property at
the commencement of the rehabilitation of the obsolete property.
11. The impact on property values in the general area of the project.
11. The consistency of the project with adopted codes, ordinances and
plans.
12. Other considerations considered unique or of benefit to the
community.
3.2 Administration & Aionitoring Procedures
The City of Muskegon Planning & Economic Development Department
shall be the administrator of the application process on obsolete property
exemption certificates. Prior to presenting an application to the City
Commission for approval the Planning & Economic Development
3
Department, in conjunction with any other appropriate city departments,
shall review all applications for compliance with this policy.
For each approved application, the property owner receiving the obsolete
property rehabilitation certificate shall submit annual monitoring reports.
These reports will include the following information:
New Jobs Created
Workforce Breakdown (by race and gender)
Capital Investment Expended
Status of any Other Requirements Set Forth by the City
Commission
The City of Muskegon shall provide the report forms to the owner in the
month of November for year-end calculations.
The Planning & Economic Development Department shall provide an
annual report on the status of active obsolete property rehabilitation
certificates to the City Commission in February of the following year.
(i.e. 2000 annual report shall be submitted in February of2001).
3.3 Application Procedures
The following procedures are intended to implement the foregoing
policy and provide complete applications upon which to base a
decision for approval or denial. It is intended that the administration
of this procedure and the application process be efficient and
flexible so as to meet the applicant's needs while complying with the
policy as adopted.
1. Applications
a. Application forms (Exhibit A) provided by the City shall be filled
out completely and additional required documents shall be attached
when submitted to the City Clerk.
b. All fees shall be paid with the application. The Clerk will not
process any application without the payment of all required fees.
2. Processing of Applications; Schedule. The application will be
processed on the following schedule.
a. Properly completed application for obsolete property rehabilitation
certificates will be submitted to the City Clerk. Copies will be
forwarded to the Planning & Economic Development Department
and other appropriate person(s). The Clerk will also notify in
4
writing the City Assessor and the legislative body of each taxing
unit that levies ad valorem property taxes in the City of Muskegon.
b. Meeting scheduled with applicant to go over application, missing
items, etc.
c. A public hearing will be scheduled and resolution drafted to
approve a district or certificate.
d. A public hearing notice prepared by Planning & Economic
Development staff for publication and forwarded to the City Clerk
for publication in the Muskegon Chronicle. Public notice of the
hearing shall not be less than 10 days or more than 30 days before
the date of the hearing.
e. Certified mailing to property owners and taxing authorities with
notification of application and public hearing date prepared and
executed (if applicable). Notice will be given to all of the
following:
• Property Owner
• Business Owner (if other than property owner)
• Muskegon School District or Orchard View School District
(whichever is applicable)
• Muskegon Community College
• Muskegon Area Intermediate School District
• City of Muskegon Assessor's office
• County of Muskegon
f. Time requirements set forth in any applicable statute or regulation
shall be observed. This includes 60 days for the City Commission
to approve or disapprove the certificate and resolution authorizing
the certificate, after the completed application is received by the
City Clerk, and 60 days for the State Tax Commission
("commission") to approve or disapprove the resolution, after the
commission receives the application and resolution adopted by the
City Commission.
g. After approval by City Commission, the City Clerk will review the
application and attachments for completeness, then sign the
application and send copies to the appropriate persons. A copy of
the completed application will be forwarded to the property owner
and the original application to the. commission The resolution is
not effective unless approved by the commission.
3.4 Establishing Obsolete Property Rehabilitation Districts & Approving
Obsolete Property Rehabilitation Certificates
5
The City Commission, on its own initiative, may choose to establish
Obsolete Rehabilitation Districts on their own. They may establish I or
more districts that may consist of I or more parcels or tracts of land or a
portion of a parcel or tract of land. It is also possible for the City
Commission to establish a district if a written request is filed by the owner
or owners of property comprising at least 50% of all taxable value of the
property located within a proposed obsolete priority rehabilitation district.
The written request must be filed with the City Clerk. The resolution
creating the Obsolete Property Rehabilitation District will note all terms
and conditions to be met by both the applicant and the community, if any.
The District shall be approved by resolution of the City Commission to
include the boundaries of the district.
A Certificate for Obsolete Property Rehabilitation Exemption shall be
approved only after the creation of the District. The Certificate shall be
approved by resolution of the City Commission to include the boundaries
of the Obsolete Property Rehabilitation Dish·ict, the length of the
abatement (1-12 years), and any conditions the City Commission deems
appropriate for the issuance of the Certificate.
3.5 Filing and Compliance lvfonitoring Fee
The applicant shall pay the filing and monitoring fee at the time the
application is made. No applications shall be submitted to City
Commission for approval prior to the payment of this fee. The fee will be
equal to 2% of the abated taxes (based on the amount of investment on the
first full year of service) or a ma'.lri,LJ ' "' l I I I I/ I LI I ~
Commission Meeting Date: November 14, 2000
Date: November 7, 2000
To: Honorable Mayor & City Commission
From: Planning & Economic Development Department C&.'_
RE: Transportation Enhancement Grant
SUMMARY OF REQUEST: To approve the attached resolution
authorizing the submittal of the Transportation Enhancement Grant for
the Western Avenue streetscape.
FINANCIAL IMPACT: The City of Muskegon is responsible for a 20%
match for the grant. The total cost for the project is estimated at
$620,000. There is a $25,000 amount budgeted for the final design
plans (Michael Wee has prepared the conceptual design plans), and the
20% match equals $125,000. Therefore, the total required by the City is
$150,000 (the cost of design plans is not eligible in the grant). The
match funds will be budgeted in the 2002 Major Street Funds. Grant
funds from the Community Foundation will be sought to offset this
amount.
BUDGET ACTION REQUIRED: None, at this time.
STAFF RECOMMENDATION: To approve the attached resolution and
authorize the Mayor and Clerk to sign it.
COMMITTEE RECOMMENDATION: The Working Session will review
the grant at their November 13 meeting. The Traffic Committee
reviewed the project and recommended approval, although they want to
see the final plans prior to construction. Also, the Downtown Marketing
Group recommends approval.
CITY OF MUSKEGON
CITY COMMISSION RESOLUTION No. 2000 -1 08 ( e)
WHEREAS, downtown development is concentrated along Western Avenue, which is a part of
the ente1tainment district; and the upcoming development of the Amazon Building and Muskegon
Hotel will generate more pedestrian and vehicular traffic on .Western Avenue, and;
WHEREAS, the improvement of Western Avenue through streetscape design is anticipated to
attract more businesses and visitors into downtown Muskegon, and;
WHEREAS, the proposed improvement will not only generate economic activity within
downtown and adjacent districts, but also enhance community image, and;
WHEREAS, a grant is available through the Transp01tation Enhancement Program under the
Transp01tation Equity Act for the 21 st Century (TEA-21) of 1998, and;
WHEREAS, the proposed streetscape project on Western Avenue is eligible for funding that is a
reimbursement program requiring 20% local match;
NOW, THEREFORE BE IT RESOLVED that the City Commission authorizes the submittal of
the grant, and if approved by the Michigan Department of Transportation (MDOT), authorizes
acceptance of the grant funds; and that the City will commit to fund the match requirement;
BE IT FURTHER RESOLVED, that if the grant is approved by MDOT, the West Michigan
Shoreline Regional Development Commission (WMSRDC) will be requested to amend the
Transportation Improvement Plan (TIP) to include this streetscape project; ·
BE IT FURTHER RESOLVED, that the Mayor be authorized to sign the grant application on
behalf of the City.
Resolution adopted this 14 day of November, 2000.
Ayes: Schweifler, Shepherd, Si eradzki, Spataro, Benedict, Nielsen
Nays: None
Absent: As 1ak son
CERTIFICATION
2000-108(e)
This resolution was adopted at a regular meeting of the City Commission, held on
November 14, 2000. 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
September 26, 2000
Mr. James R. Desena
Enhancement Program Director
Michigan Department of Transportation
425 West Ottawa Street
Lansing, MI 48909
Dear Mr. Desena:
On behalf of the Western Michigan Shoreline Regional Development Commission (WMSRDC), I
wish to express our suppmt for the proposed Downtown Muskegon Streetscape project on
Western Avenue. In the past years, area businesses and various organizations have been working
to bring Western Avenue back into a vibrant retail commercial district, and this is the greatest
opportunity to transform downtown Muskegon as a safe place to shop and work.
It is exciting to see so many dedicated people come to the table to work on this project. Our
office is please to provide its support for such worthwhile endeavor and hopes for its success.
Sincerely,
Commission Meeting Date: November 14, 2000
Date: November 7, 2000
To: Honorable Mayor & City Commission
From: Planning & Economic Development Department c.P./-
RE: Agreement for Prospective Cancellation of Trinity
Manor Contract for Housing Exemption
11
SUMMARY OF REQUEST: To approve the attached Agreement for
Prospective Cancellation of Trinity Manor Contract for Housing
Exemption". The City has been informed that this housing development
is exempt from paying any taxes, despite the fact that the City
Commission authorized a PILOT for the project on April 11, 1995. In
addition to the exemption, the City of Muskegon is eligible to be
reimbursed from the State of Michigan for any lost taxes (i.e., taxes the
City would collect if the project were taxable).
FINANCIAL IMPACT:.This agreement is prospective, starting with 2001
taxes. The current PILOT will be paid through 2000. After that time, the
City will be able to collect taxes on this property from the State of
Michigan, which are of greater value than the existing PILOT for the
project.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: To approve the attached "Agreement for
Prospective Cancellation of Contract for Housing Exemption" and
authorize the Mayor and Clerk to sign it.
COMMITTEE RECOMMENDATION:
CITY OF MUSKEGON
AGREEMENT FOR PROSPECTIVE CANCELLATION
OF CONTRACT FOR HOUSING EXEMPTION
DATED APRIL 11, 1995
THIS IS AN AGREEMENT between TRINITY MANOR SENIOR NON-PROFIT
CORPORATION, a Michigan non-profit corporation, of2140 Valley Street, Muskegon,
Michigan 49444 ("Trinity"), and the CITY OF MUSKEGON, of933 Terrace Street, Muskegon,
Michigan 49440 ("City"), for the purpose of prospectively canceling the Contract for Housing
Exemption dated April 11, 1995 ("Contract").
RECITALS
A. In 1995, the City and Trinity executed the Contract, pursuant to City Ordinance
2-6 (I) (A) (5) and (6) and 2-6 (2), to exempt an elderly housing project, denominated therein as
the "Project." It appears that the Project was constructed under "Section 202" of Title II of the
Housing Act of 1959, PL 86-372, a HUD Project, identified as No. 047-EE013 WAM
L8/M133-S941-004.
B. The legal description of the Project is:
The South 660.00 feet of the East 1/2 of the West 1/2 of the
Northwest 1/4 of the Northwest 1/4 of Section 22, Town 10 North,
Range 16 West, City of Muskegon, Muskegon County, Michigan.
C. The parties have determined that the method of tax exemption afforded by MCL
211.7d would be more favorable to both paiiies than the method of tax exemption contained in
the Contract and the requirement for a payment in lieu of taxes. It is the parties' intention achieve
the most favorable taxable and exemption status of the Property by this Agreement, beginning in
the year 2001.
NOW, THEREFORE, THE PARTIES AGREE:
I. Prospective cancellation of the Contract for Housing Exemption. The parties
hereby agree that the Contract for Housing Exemption dated April 11, 1995, is hereby canceled
effective December 31, 2000, for the tax year 200 I, and thereafter. Effective December 31,
2000, the Project, including all the improvements on the above-described land, shall be placed
upon the taxable roll of the City of Muskegon for both personal and real property taxes.
2. Application for tax exemption. Trinity shall perform all appropriate actions and
produce all required documentation for the application for a housing exemption pursuant to
MCL 211.7d.
G:ICOMMON\5\GTJ\C-TRINIT.AG " 1"
3. City's response to application for exemption. The City agrees that the treasurer
shall file the application on the State Department of Management and Budget form with the State
of Michigan pursuant to MCL 211.7d (2) for verification and collection of the taxes from the
State Treasurer.
4. Previous payments in lieu of taxes. Trinity agrees that the cancellation of the
Contract for Housing Exemption is totally prospective, and all payments due in lieu of taxes for
previous years, including the year 2000, remain due and shall be paid forthwith.
IN WITNESS WHEREOF, this Agreement is signed effective this Jt/-1-/2 day of
,&r2 ve,,m 6e r , 2000, by persons authorized by each party.
CITY OF MUSKEGON
By( ~ ~
FredJ Niele,May~ _
And L Q.
Gail A. Kundinger, Clerk
-,k~pw
STATE OF MICHIGAN
COUNTY OF MUSKEGON
The foregoing instrument was acknowledged before me this /:!;/, day of
-? c e✓rn er
./}e b , 2000, by Fred J. Nielsen and Gail A. Kundinger, Mayor and Clerk,
respectively, for and on behalf of the City of Muskegon.
L / I? dq .S-. /4 'I- r- t!' r
Notary Public, Muskegon County, Michigan
My commission expires: j> - o?o- o ,;i_,
STATE OF MICHIGAN
COUNTY OF MUSKEGON
, The foregoing instrument was acknowledged before me this u; ,t:t day of
/4-uz_h~r , 2000, by Nathaniel W. Wells, Jr., and Anna Covington Crockett,
President and Secretary, respectively, for and on behalf of Trinity Manor Senior Non-profit
Corporation. /_/ ✓i 1/, ;J
<-t~iv/~v a (/ iv~
Notary Public, Muskegon County, Michigan
My commission expires: J'-t3 -;)oo (/
G:\COMMON\5\GTJ\C-TRINIT.AG -2-
95-038 (m)
CITY OF MUSKEGON
CONTRACT FOR HOUSING EXEMPTION
This agreement between TRINITY MANOR SENIOR NONPROFIT
CORPORATION, a Michigan non-profit corporation, of 2140 Valley
Street, Muskegon, Michigan 49444 ("Trinity") and CITY OF MUSKEGON,
933 Terrace Street, Muskegon, Michigan ("City") pursuant to the
following terms:
Recitals:
A. Trinity has prepared a site in the City of Muskegon for
construction of an elderly housing project as defined in City
ordinance 2-6 (1) (A) (5) and (6), and 2~6 (2), ( the "Project") .
B. The City encourages construction and financing of the
said elderly housing project, which is identified as HUD Project
No. 047-EE013 WAM L8/Ml33-S941-004.
C. To further enable and encourage the construction of the
Trinity elderly housing project Trinity and the City enter into
this agreement.
D. The legal description of the Project is set forth in
Exhibit A attached to this agreement.
THEREFORE, THE PARTIES AGREE AS FOLLOWS:
1. Grant of Exemption. The City hereby grants an exe~ption
for the Project pursuant to Section 2-6 of the Code of Ordinances
of the City of Muskegon and as contemplated and pursuant to Act 346
of the Public Acts of 1966, the State Housing Development Act.
2. Term of Exemption. This exemption shall continue in
accordance with the provisions of the Code of Ordinances set forth
above. A true copy of the amended ordinance is attached to this
contract as Exhibit B. The City agrees to be contractually bound
by this agreement to honor the exemption status of Trinity as
provided therein and in this agreement for the entire period during
which the Trinity Project is financed by a mortgage loan made or
insured by the U.S. Department of Housing and Urban Development
("HUD"), provided that the said mortgage loan is continued
outstanding and not in default, as more particularly set forth in
Section 2-6, subsection (2).
3. Responsibilities of Trinity. Trinity agrees to perform
the_following:
3.1 Trinity shall pay the service charge and payment in lieu
of taxes set forth in Section 2-6(2) of the Ordinance in a timely
manner ( on or before July 1, of each year during the time the
exemption is in effect). For said purpose Trinity recognizes the
collection provisions of the ordinance and the lien status of the
payment in lieu of taxes in the event of default as set forth in
2-6(3).
3.2 Trinity agrees to file all information required by the
ordinance and further to maintain currently and not in default its
obligations to HUD or such other mortgagee as may be involved in
the mortgage loan made by, insured or administered by HUD.
4. Term. This agreement shall continue in effect for the
entire period of eligibility for the exemption as set forth in the
ordinance including all periods during which HUD insures or makes
a mortgage loan to Trinity. The City considers itself bound by
this agreement for the entire term hereof.
5. Third Party Beneficiary, This agreement shall benefit
the parties named, and further shall benefit HUD, which may enforce
it, both as its interest may appear, and in behalf of Trinity and
its successors or assigns. No other party is a beneficiary of this
agreement.
6. Counterparts. This agreement may be executed in several
counterparts and an executed copy hereof may be relied upon as an
original.
7. Binding and Benefit. This agreement shall be binding
upon the parties hereto and their respective heirs, administrators,
personal representatives, successors and assigns.
8. Effective Date. The effective date of this agreement is
--'A-"'-'r~i~l_,_l~l_ _ _ _ _ _ , 1995.
IN WITNESS WHEREOF, the parties have signed this agreement on
the dates indicated below.
CITY OF MUSKEGON
, Mayor
Dated: _A~p_r_i_l_l_l_ _ _ _ , 1995
1
By : I Do &4-Q- S-------\\1
I) ''1 b ;., W
. 1 ) RI Jc-·A 'I
Theresa Malik-Krubel , Clerk
Page 2
TRINITY MANOR SENIOR NONPROFIT
CORPORATION
\TRINITY\025
Page 3
MRR-21-1395 16'20 F~OM LOOM!S,EWERT,ET'RL,P.C. TO '315157246768 P,02
l!XH%13%'.t' A
The South 1/2 of the East 1/2 of the West 1/2
of the Northwest 1/4 of the No~thwest 1/4 of
Section 22, Town 10 North, Range 16 West, City
of Muskegon, Muskegon County, Michigan.
TOTAL P.212
MAR 21 '95 m:28PM 19HOLY TRil'IITY CHURCH616) 722-32
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23 1172-1-6708
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23 1/72-1-6716
F.-\:\/72-1--1-105
C ler k
231/72-1-(,705 Ms. Judith Transue
FA:\/72-1--1178 Trinity Village Housing Corporation
C-0 111111. & Ncif!h. 2140 Valley St.
Muskegon,MI 49444
23 1/72-1-6 717
F.-\:\/72/,-25111
E nginl:!cri11g
23 1172-1-6707
F.-\:\/727-6'!11-I
December 13, 2000
Finance
231/72-1-67 13
FA:\/72-1-/,76~ Dear Judith,
Fire Dept.
231/72-1-6792 Enclosed is the signed "Agreement for Prospective Cancellation of Contract for
f.-\:\/72-1-6985
Housing Exemption" . I have also kept a copy for our offices.
Income Tax
23 1/72-1-67711
F.-\:\/72 -1-6768 Per our earlier discussions regarding interaction with the State for payment of taxes, I
l nfo. Sy!'i tems
will count on you to make this contact. Again, feel free to work with De1Tick Smith,
231/72-1-67-1-1 our City Treasurer, on the details.
F.-\:\/72 2--1311 I
Lcis un• Scr\'icc Sincerely,
231/72-1-670-1
F.-\:\/72-1- 1196 ') 2-A
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,\ l:111at!C l' S Office ( lLUL~j
23 11"/H-6 72-1
F. \ :\/721-12 H
Cathy Bmbaker-Clarke
;\laynr's Office Director of Community & Economic Development
23 1172-1-(,701
F.-\X/77.2- 12 1-1
Enclosure
~cig h. & Const.
Scrvicl's
23 I/724-/, 7 I 5
FAX/726-250 I
CC. Tom Johnson, City Attorney
Derrick Smith, City Treasurer
Planning/Zonin~
23 I/72-1-6702 Cliff Tmner, County Assessor
r-.-\X/724-r.n o Gail Kundinger·, City Clerk
PoliCl~ Dept.
23 I /72-1-6750
F.-\X/722-5 1-111
f'ubl ic \\'nrks
23 I /72-1--1100
F.-\:\/722--1188
T rc:1s11re r
231 /72-1-6720
F.-\ :\/72-1-6768
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231/72+67W
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231/72-1--1 106-
F.-\:\1755-5290
City of Muskegon, 933 Terrace Street, lf'.O. Rox 536, Muskegon, M! 49443-0536
Commission Meeting Date: November 14, 2000
Date: October 30, 2000
To: Honorable Mayor and City Commissioners
From: Planning & Economic Development r_43c,.
RE: Sale of Buildable Property on Marquette Ave.
SUMMARY OF REQUEST:
Approval of resolution to proceed with the sale of Urban Renewal property on
Marquette Ave., between Roberts and Creston Streets, to Masquignon Non-Profit
Housing Corporation (an affiliate of Hope Network), of 3375 S. Division, Grand Rapids.
The subject property contains several lots, together containing 2.67 acres (see
enclosed map). The property was appraised at $47,000.00, and the Masquignon Non-
Profit Housing Corp. has submitted the only bid, of $47,000.00. The proposed
development would contain 18 barrier-free, one bedroom apartment units that would be
funded through HUD.
FINANCIAL IMPACT:
Sale will allow property to be placed back on the City's tax rolls and will relieve the City
from further maintenance. Pursuant to the conditions of sale, the Masquignon Non-
Profit Housing Corp. agrees to construct the proposed development upon the property
within 18 months of the date of sale.
BUDGET ACTION REQUIRED:
None.
STAFF RECOMMENDATION:
Staff recommends approval of the resolution and authorization for the Mayor and Clerk
to sign off on the purchase agreement and deed.
COMMITTEE RECOMMENDATION:
None.
10/30/2000
CITY OF MUSKEGON
RESOLUTION #2000-
RESOLUTION APPROVING THE SALE OF URBAN RENEWAL LOTS ON MARQUETTE
AVE.
WHEREAS, Masquignon Non-Profit Housing Corporation (an affiliate of Hope Network) has
submitted a bid of $47,000.00 for Lots 428 through 431 inclusive and Lots 477-484 inclusive, all
in Urban Renewal Plat No. 2, located on Marquette Ave., between Roberts and Creston Streets.
The appraised value of the property is $47,000.00;
WHEREAS, the sale would enable the City to place this property back on the tax rolls, and
would relieve the City of fmther maintenance;
WHEREAS, Masquignon Non-Profit Housing C01poration has agreed to the terms of sale which
stipulate that the property be developed for 18 barrier-free, one bedroom apartment units within
18 months from the date of sale;
WHEREAS, the sale would be in accordance with existing City policies concerning the
disposition of Urban Renewal lands;
NOW, THEREFORE BE IT RESOLVED, that Lots 428 through 431 inclusive and Lots 477 and
484 inclusive, Urban Renewal Plat No. 2, located on Marquette Ave. between Robe1ts and
Creston Streets be sold to the Masquignon Non-Profit Housing Co1poration for $47,000.00.
Resolution adopted this 14tl1 day ofNovember, 2000.
Ayes:
Nays:
Absent:
By: _ _ _ _ _ _ _ _ _ _ _ _ __
Fred J. Nielsen, Mayor
Attest: _ _ _ _ _ _ _ _ _ _ _ _ __
Gail A Kundinger, Clerk
CERTIFICATION
This resolution was adopted at a regular meeting of the City Commission, held on November 14,
2000. 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, Clerk
City-Owned Property Map
November14,2000 ~E
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AGENDA ITEM NO. _ _ _ __
CITY COMMISSION MEETING -~1""'1/..,_14=/=00~
TO: Honorable Mayor and City Commissioners
FROM: Bryon L. Mazade, City Manager
DATE: November 14, 2000
RE: District Library Planning Resolution
SUMMARY OF REQUEST:
To adopt the attached resolution to pursue a district library with Muskegon Public Schools and
participate in a Planning Commission District Library.
FINANCIAL IMPACT:
None.
BUDGET ACTION REQUIRED:
None.
STAFF RECOMMENDATION:
To approve the attached resolution.
COMMITTEE RECOMMENDATION:
None.
O:COMMON\DEPTMENT\AOMlN\AGNDAFRM
JMS - 0: (DISTRICT LIBRARY RESOLUTION)
CITY OF MUSKEGON
Resolution No. 2000-108 ( h)
PLANNING RESOLUTION - DISTRICT LIBRARY
NOW, THEREFORE, BE IT RESOLVED, that the City of Muskegon is interested in joining with
the Muskegon Public Schools to establish a district library pursuant to 1989 PA 24; and
BE IT FURTHER RESOLVED, that the City of Muskegon will appoint up to three
representatives from the City to the District Library Planning Committee, which is
charged with preparing a District Library Agreement; and
BE IT FURTHER RESOLVED, that if the District Library Agreement is acceptable to the City
Commission, it will adopt a resolution to establish a district library and to sign the
agreement; and
BE IT FURTHER RESOLVED, that the recommended composition for District Library Planning
Committee is proposed as follows:
Five to seven members consisting of staff and/or elected officials from each partner.
Muskegon Public Schools City of Muskegon
Director, Hackley Public Library City Manager
Superintendent Another City Staff Person
Assistant Superintendent Elected Official
Elected Official
This resolution passed.
Ayes:
Spataro , Benedi ct, Nie lsen, Schweifler, Shepherd
Nays:
None
City of Muskegon
Ga~ iQ ;,c~ ~~
This resolution was adopted at a meeting of the City Commission, held on November 14, 2000.
The meeting was properly held and noticed pursuant to the Opening Meetings Act of the State
of Michigan, Act 267 of the Public Acts of 1976.
City of Muskegon .
G
~~d2;, ~~~
Sample
Planning Resolution-District Library
NOW, THEREFORE, BE IT RESOLVED THAT the city of Muskegon is
interested in joining with the Muskegon Public Schools to establish a district
library pursuant to 1989 PA 24, and
BE IT FURTHER RESOLVED THAT the City of Muskegon will appoint
up to three representatives from the city to the District Library Planning
Committee, which is charged with preparing a District Library Agreement, and
BE IT FURTHER RESOLVED THAT IF THE District Library Agreement
is acceptable to the City Commission, it will adopt a resolution to establish a
district library and to sign the agreement.
Recommended Composition for District Library Planning Committee:
5-7 members consisting of staff and/or elected officials from each partner.
Muskegon Public Schools City of Muskegon
Director, Hackley Public Library City Manager
Superintendent Another City Staff Person
Assistant Superintendent Elected Official
Elected Official
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