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CITY OF MUSKEGON CITY COMMISSION MEETING FEBRUARY 22, 2022 @ 5:30 P.M. MUSKEGON CITY COMMISSION CHAMBERS 933 TERRACE STREET, MUSKEGON, MI 49440 AGENDA □ CALL TO ORDER: □ PRAYER: □ PLEDGE OF ALLEGIANCE: □ ROLL CALL: □ HONORS, AWARDS, AND PRESENTATIONS: □ PUBLIC COMMENT ON AGENDA ITEMS: □ CONSENT AGENDA: A. Approval of Minutes City Clerk B. Sale – 760 Leonard Economic Development C. Peck Street – Change Order #006 Public Works D. Western Avenue Fifth to Third Parking Lane Improvements – Contract Award Public Works E. Hartshorn Marina Village Brownfield Repayment City Manager F. Deficit Elimination Plan – BRA – Hartshorn Village (combined) Finance G. Development Agreement Williams Construction Development Services/Economic Development H. Development Agreement LRS Enterprises Development Services/Economic Development I. Development Agreement Kramer Builders Development Services/Economic Development J. Amendment to Community enCompass Infill Housing Agreement (EACH Program) Development Services/Economic Development K. Request for Water Utility Connection Fee Waiver Development Services/Economic Development Page 1 of 2 L. Precinct Boundary Changes City Clerk M. Unmarked Police Vehicle Lease Plan Public Safety □ PUBLIC HEARINGS: □ UNFINISHED BUSINESS: A. Amendment to the Marihuana Facilities Overlay District – 1314 E Apple Avenue – 2nd Reading Planning □ NEW BUSINESS: A. HBA Demolitions Public Safety 2123 Henry 507 E Apple 743 Amity 867 Scott B. Interim City Manager City Manager □ ANY OTHER BUSINESS: □ PUBLIC COMMENT ON NON-AGENDA ITEMS: ► Reminder: Individuals who would like to address the City Commission shall do the following: ► Fill out a request to speak form attached to the agenda or located in the back of the room. ► Submit the form to the City Clerk. ► Be recognized by the Chair. ► Step forward to the microphone. ► State name and address. ► Limit of 3 minutes to address the Commission. ► (Speaker representing a group may be allowed 10 minutes if previously registered with City Clerk.) □ CLOSED SESSION: □ ADJOURNMENT: ADA POLICY: THE CITY OF MUSKEGON WILL PROVIDE NECESSARY AUXILIARY AIDS AND SERVICES TO INDIVIDUALS WHO WANT TO ATTEND THE MEETING UPON TWENTY-FOUR HOUR NOTICE TO THE CITY OF MUSKEGON. PLEASE CONTACT ANN MARIE MEISCH, CITY CLERK, 933 TERRACE STREET, MUSKEGON, MI 49440 OR BY CALLING (231) 724- 6705 OR TTY/TDD DIAL 7-1-1-22 TO REQUEST A REPRESENTATIVE TO DIAL (231) 724-6705. Page 2 of 2 Agenda Item Review Form Muskegon City Commission Commission Meeting Date: February 22, 2022 Title: Approval of Minutes Submitted By: Ann Marie Meisch, MMC Department: City Clerk Brief Summary: To approve the minutes of the January 25, 2022 Regular Meeting. Detailed Summary: N/A Amount Requested: N/A Amount Budgeted: N/A Fund(s) or Account(s): N/A Fund(s) or Account(s): N/A Recommended Motion: To approve the minutes. For City Clerk Use Only: Commission Action: CITY OF MUSKEGON CITY COMMISSION MEETING JANUARY 25, 2022 @ 5:30 P.M. MUSKEGON CITY COMMISSION CHAMBERS 933 TERRACE STREET, MUSKEGON, MI 49440 MINUTES The Regular Commission Meeting of the City of Muskegon was held at City Hall, 933 Terrace Street, Muskegon, Michigan at 5:30 p.m., Tuesday, January 25, 2022. Reverend Eileen B. Stoffan, St. Paul’s Episcopal Church, opened the meeting with prayer, after which the Commission and public recited the Pledge of Allegiance to the Flag. ROLL CALL FOR THE REGULAR COMMISSION MEETING: Present: Mayor Ken Johnson, Vice Mayor Willie German, Jr., Commissioners Eric Hood, Teresa Emory, Rachel Gorman, and Rebecca St.Clair, City Manager Franklin Peterson, City Attorney John Schrier, and City Clerk Ann Marie Meisch. Absent: Commissioner Michael Ramsey PUBLIC COMMENT ON AGENDA ITEMS: No comments were received. 2022-06 CONSENT AGENDA: A. Approval of Minutes City Clerk SUMMARY OF REQUEST: To approve the minutes of the December 13, 2021 Worksession Meeting and the January 4, 2022 Organizational Meeting. STAFF RECOMMENDATION: To approve the minutes. B. Non-Profit Recognition for Breakthrough Believers Recovery and Healing Center City Clerk SUMMARY OF REQUEST: Breakthrough Believers Recovery and Healing Center is requesting recognition as a non-profit in the City of Muskegon for the purpose of obtaining charitable gaming licenses for raffles to raise money for various underserved community needs. STAFF RECOMMENDATION: To approve the request from Breakthrough Believers Recovery and Healing Center to be recognized as a non-profit operating in the City for the purpose of obtaining a charitable gaming license. Page 1 of 10 C. Chamber of Commerce Proposal City Manager’s Office SUMMARY OF REQUEST: Staff is requesting approval of a partnership and funding agreement with the Muskegon Lakeshore Chamber of Commerce. The Chamber continues to partner with the city to promote our community and support our local businesses. They have been instrumental in attracting cruise ships, improving our public image, administering the Silent Observer program, and bolstering our business community. The proposal includes funding allocation and benefits to the city in the areas of event and program sponsorship, membership, Silent Observer promotion, and community promotion activities. The city currently pays $16,000 annually for various Chamber services, membership, and events, and those funds come from various budgets. The amount requested will require adjustments in the 2nd quarter reforecast. AMOUNT REQUESTED: $20,000 AMOUNT BUDGETED: $16,000 FUND OR ACCOUNT: 80400, 10101 STAFF RECOMMENDATION: To approve the partnership and funding agreement with the Muskegon Lakeshore Chamber of Commerce. D. MDOC Utility Easements Public Works SUMMARY OF REQUEST: Staff is seeking approval to purchase utility easements from the State of Michigan Department of Corrections. Staff is pursuing several utility easements from the state of Michigan to provide utility service to the former prison site. The utilities easements cross through a 100 FT strip of property that was retained by the State of Michigan during the land transaction. The city is requesting and the state has issued preliminary approval for five (5) utility easements across this 100 FT strip of property. The cost of the easements is determined by the state to be $1,750.00 which would be paid from the remaining funds in the State Grant Fund dedicated to this project. AMOUNT REQUESTED: $1,750.00 AMOUNT BUDGETED: $1,750.00 FUND OR ACCOUNT: 482-91908-5700 STAFF RECOMMENDATION: Authorize staff to issue payment in the amount noted and sign the agreement, inclusive of any immaterial revisions that are noted during the final state reviews. E. Mini-Excavator Purchase Public Works SUMMARY OF REQUEST: The Equipment Division is requesting permission to purchase one Mini-Excavator from Michigan CAT, the Mi-Deal State contract holder. The cost for the Mini-Excavator will be $84,975.00 coming from the Equipment Fund. Page 2 of 10 This equipment is expected to compliment a smaller mini-excavator that already exist within the equipment fleet. This particular piece of equipment is larger than our existing mini-excavator, yet still substantially smaller than other equipment that could be used for similar functions (tractor backhoe) and will provide much needed versatility to the fleet. AMOUNT REQUESTED: $84,975.00 AMOUNT BUDGETED: $85,000 FUND OR ACCOUNT: 661-60932-5700 STAFF RECOMMENDATION: Authorize staff to move forward with the purchase of a Mini-Excavator through the Mi-Deal State Contract. F. Traffic Control Order Public Works SUMMARY OF REQUEST: Staff is requesting approval of Traffic control order 2022- 001, to add a stop sign on Clay at Pine, converting the intersection to an all-way Stop. Traffic Control Order #2022-001 includes addition of stop signs on Clay at Pine Street converting this intersection into an all-way stop. The site was reviewed for sight distance for NW bound Pine Street obstructions. STAFF RECOMMENDATION: To approve traffic control orders #2022-001 and authorize staff to make the necessary signing changes. G. Engine 24 Repairs Public Safety SUMMARY OF REQUEST: Final repair estimate to rebuild the motor in Engine 24 (2015). This is a front-line Engine (24) and has already been down for weeks while they diagnosed, etc. The concern is running our only Reserve truck (21) weeks on end, and running the new 41 in the dead of winter. AMOUNT REQUESTED: $39,493.73 AMOUNT BUDGETED: $0 STAFF RECOMMENDATION: Approval of the amount for repair to Engine 24. H. Deficit Elimination Plan – Sewer Finance SUMMARY OF REQUEST: To approve the Deficit Elimination plan and resolution for the Sewer Fund and direct staff to submit plan to the State of Michigan. On June 30, 2021 the Sewer Fund had a $1,222,053 deficit unrestricted net position. Act 275 of Public Acts of 1980 requires the City to formulate a deficit elimination plan and submit it to the Michigan Department of Treasury. The deficit elimination plan and resolution for the Sewer Fund are provided. STAFF RECOMMENDATION: To approve the deficit elimination resolution for the Sewer Fund. I. Deficit Elimination Plan – Public Improvement Finance SUMMARY OF REQUEST: To approve the Deficit Elimination plan and resolution for the Public Improvement Fund and direct staff to submit plan to the State of Michigan. Page 3 of 10 On June 30, 2021 the Public Improvement fund had a $1,026,966 deficit. Act 275 of Public Acts of 1980 requires the City to formulate a deficit elimination plan and submit it to the Michigan Department of Treasury. The deficit elimination plan and resolution for the Public Improvement Fund are provided. STAFF RECOMMENDATION: To approve the deficit elimination resolution for the Public Improvement Fund. J. Deficit Elimination Plan – Marina Finance SUMMARY OF REQUEST: To approve the Deficit Elimination plan and resolution for the Marina Fund and direct staff to submit plan to the State of Michigan. On June 30, 2021 the Marina Fund had a $146,718 deficit. Act 275 of Public Act of 1980 requires the City to formulate a deficit elimination plan and submit it to the Michigan Department of Treasury. The deficit elimination plan and resolution for the Marina are provided. STAFF RECOMMENDATION: To approve the deficit elimination resolution for the Marina Fund. L. Community Relations Committee Recommendations City Clerk SUMMARY OF REQUEST: To concur with the CRC Recommendations to accept resignations, make appointments, and amend the composition of the DDA. The CRC recommends: - Accepting the resignation of and Randy Mackie – Housing Code Board of Appeals – Term Expires 1/31/2024. - Appointing the following citizens to each of the stated boards: o Board of Review – Reappoint David Mendendorp & Martha Bottomley (Citizens) o Business Improvement District – Reappoint Dan Castle & John Riegler; Appoint Kiel Reid (Assessed property owners or their representatives) o Citizen’s Police Review Board – Reappoint Josie James (Member of a minority-based organization) & Ruby Clark (Neighborhood association representative) o Citizen’s District Council – Appoint Bre’Onna Sanders (Citizen At- Large) o Construction Code Board of Appeals – Reappoint Brion Boucher Page 4 of 10 (Architect) & Michael McPhall (Fire) o Downtown Development Authority – Reappoint Heidi Sytsema (Member with interest in the property in the district), Jeanette Moore (Citizen) & John Rielger (Resident of the district) o Election Commission – Reappoint Wanda Matsey (Citizen) o Equal Opportunity Committee – Reappoint Charlotte Johnson, Tonya Pell & Ana Zuber (At-Large Citizens) o Farmers Market Advisory Board – Appoint Jeanine Platt (Citizen At- Large) o Historic District Commission – Reappoint Emilio Trejo (Member who resides or has occupational or financial interest in one or more of the historic districts); appoint Jacquelyn Huss (Member of a local preservation society) o Housing Code Board of Appeals – Appoint Jordan Potter and Corey Bickford (Citizens) o Housing Commission – Reappoint Jonathon Wilson (Citizens) o Income Tax Board of Review – Reappoint Michael Haueisen (Resident) o Lakeside Business Improvement District – Appoint Andrea Chambers (Assessed property owner or their representative) o Local Development Finance Authority – Reappoint Jeffrey Burr; Appoint Patsy Petty (Citizens) o Local Officer’s Compensation Commission – Reappoint Paul Edbrooke (Citizen) o Zoning Board of Appeals – Appoint Roberta King (Resident) - Amending the composition of the Downtown Development Authority as follows: A 6 Members must have an interest in the property in the district B 4 Citizens Page 5 of 10 C 2 Resident of the district D 1 City Manager STAFF RECOMMENDATION: To approve the resignations, appointments and reappointments, and amendments to the composition of the DDA. M. DDA/BRA Resignation City Clerk SUMMARY OF REQUEST: To accept the resignation of Don Kalisz from the Downtown Development Authority/Brownfield Redevelopment Board, effective immediately. Term expires 1/31/2025 STAFF RECOMMENDATION: To approve the resignation. Motion by Commissioner Gorman, second by Commissioner Emory, to accept the consent agenda as presented, minus item K. ROLL VOTE: Ayes: Gorman, Emory, St.Clair, Johnson, Hood, and German Nays: None MOTION PASSES 2022-07 REMOVED FROM CONSENT AGENDA: K. Deficit Elimination Plan – Convention Center Finance SUMMARY OF REQUEST: To approve the Deficit Elimination plan and resolution for the Convention Center Fund and direct staff to submit plan to the State of Michigan. On June 30, 2021 the Convention Center Fund had a $1,892,438 deficit. Act 275 of Public Acts of 1980 requires the City to formulate a deficit elimination plan and submit it to the Michigan Department of Treasury. The deficit elimination plan and resolution for the Convention Center Fund are provided. The City has received a $1,000,000 Grant to help with the negative impact of Covid-19. The City will transfer $2,668,933.07 from the General Fund to eliminate the deficit. STAFF RECOMMENDATION: To approve the deficit elimination resolution for the Convention Center Fund. Motion by Vice Mayor German, second by Commissioner Gorman, to approve the deficit elimination resolution for the Convention Center Fund. ROLL VOTE: Ayes: Emory, St.Clair, Johnson, Hood, German, and Gorman Nays: None MOTION PASSES 2022-08 PUBLIC HEARINGS: A. Parks and Recreation 5-Year Plan Public Works SUMMARY OF REQUEST: To host a public hearing and adopt a resolution of Page 6 of 10 adoption relative to the updated City of Muskegon Park and Recreation 5-year plan. Staff along with assistance from MCSA, Inc. have prepared an update to the city’s Parks and Recreation 5-Year Plan. The previous plan from 2016 has expired and an update was required. The draft update is available for review online at the link below, and can be viewed in person during normal business hours at the City of Muskegon DPW Offices (1350 East Keating Avenue, 49442). https://www.muskegon-mi.gov/community-parks-recreation-plan/ In order to be eligible for state grant funding through the MDNR (and other sources) a current 5-year plan must be filed with the MDNR no later than February 1, 2022. Through hosting of this public hearing, adoption of the enclosed resolution, and a final update of the plan to reflect any comments received through the public hearing the City will be in a position to submit the updated plan by the required deadline. STAFF RECOMMENDATION: To close the public hearing, approve the 5-year Parks and Recreation Plan, and authorize the Mayor and Clerk to sign a resolution in support of the plan. PUBLIC HEARING COMMENCED: The following comments were received: Wenda Hannah – 2293 Moon Street – did not see any reference to Charter Park Ordinance and feels that it should be included and Charter Parks identified. Tom Weatherby – 1747 Edgewater – concerns about walkway width proposed for Pere Marquette Park and feels 16 feet is excessive and suggested a study be done. He also has concerns about striping of the walkway. Darlene DeHudy – 4356 Lake Harbor Road – concurs with Mr. Weatherby – recommends following National Standards for determining width of walkway. Designate in plan which are charter parks and add Critical Dunes Ordinance. Would like to see a use study which usually precludes an engineering plan or construction. Mark Poletti - 3244 Thompson – we don’t know the map of the trail system. Would like to contribute to planning the pathway. Is concerned about the amount of traffic and safety issues. Motion by Commissioner St.Clair, second by Commissioner Hood, to close the public hearing and approve the 5-year Parks and Recreation Plan and authorize the Mayor and Clerk to sign a resolution in support of the plan. ROLL VOTE: Ayes: St.Clair, Johnson, Hood, German, Gorman, and Emory Nays: None MOTION PASSES Page 7 of 10 2022-09 NEW BUSINESS: A. Amendment to the Form Based Code Planning SUMMARY OF REQUEST: Staff initiated request to amend the Form Based Code, Urban Residential and Lakeside Residential context areas of the zoning ordinance to reduce the minimum side setback (at non-street locations) requirement from six feet to five feet and reduce the side build-to-zone (at side street) from 10-25 feet to 5-25 feet. The Planning Commission recommended in favor of the request by a 6-1 vote. STAFF RECOMMENDATION: To approve the request to amend the Form Based Code, Urban Residential and Lakeside Residential context areas of the zoning ordinance to reduce the minimum side setback (at non-street locations) requirement from six to five feet and reduce the side build-to-zone (at side street) from 10-25 feet to 5-25 feet. Motion by Commissioner Gorman, second by Commissioner Hood, to approve the request to amend the Form Based Code, Urban Residential and Lakeside Residential context areas of the zoning ordinance to reduce the minimum side setback (at non-street locations) requirement from six to five feet and reduce the side build-to-zone (at side street) from 10-25 feet to 5-25 feet. ROLL VOTE: Ayes: Johnson, Hood, Gorman, and St.Clair Nays: German and Emory MOTION PASSES – 2nd READING REQUIRED B. Mercy Health Arena Floor Scrubber Mercy Health Arena SUMMARY OF REQUEST: Mercy Health Arena is seeking funding for a new floor scrubber for Arena concourse, lower level, and locker rooms. Mercy Health Arena is in desperate need of a new floor scrubber. We have been using an old one left behind by our previous cleaning contract, but we are spending time, energy and finances to keep it going as efficiently as we need. The Arena concourse gets a considerable amount of traffic, as well as the lower level and locker rooms. With limited resources and labor costs, we believe the proposed scrubber is necessary as we continue to keep the Arena in its best condition. Our cleaning regiment has increased substantially because of COVID, and a new modern machine is required. We are recommending to purchase the equipment from Pacific Floor Care, as they are located in the city limits. The machines will be manufactured in the City, and available to us within just a few days of ordering. We will be seeking partial reimbursement from FEMA, as their programming provides for reimbursement of COID-19 related cleaning/sanitizing equipment. Page 8 of 10 AMOUNT REQUESTED: $21,774.69 FUND OR ACCOUNT: State and Federal Grants STAFF RECOMMENDATION: To approve the purchase of a floor scrubber from Pacific Floor Care at a cost not to exceed $21,774.69. Motion by Commissioner Gorman, second by Commissioner Hood, to approve the purchase of a floor scrubber from Pacific Floor Care at a cost not to exceed $21,774.69. ROLL VOTE: Ayes: Hood, German, Gorman, Emory, St.Clair, and Johnson Nays: None MOTION PASSES C. Sales Agreement 2725 Olthoff City Manager SUMMARY OF REQUEST: Staff is seeking approval to sell approximately 20 acres of property at 2725 Olthoff Drive. The site was originally procured from the Michigan State Land Bank, and previously housed the West Shoreline Correctional Facility. The property has a total of 64 acres, and approximately 34 are in the City of Muskegon. Staff seeks to sell approximately 20 acres of the property within the city limits for the purpose of redevelopment. STAFF RECOMMENDATION: Approve the sales agreement and authorize the Mayor and Clerk to sign. PUBLIC COMMENTS WERE RECEIVED ON THIS ITEM. Motion by Commissioner Hood, second by Commissioner Gorman, to approve the sales agreement and authorize the Mayor and Clerk to sign. ROLL VOTE: Ayes: German, Gorman, Emory, St.Clair, Johnson, and Hood Nays: None MOTION PASSES D. Watch Muskegon Marketing City Clerk SUMMARY OF REQUEST: The Watch Muskegon Committee put out a Request for Qualifications to put a campaign together to continue with the Watch Muskegon brand. After reviewing all proposals, the committee determined that Kindred closely matched the needs of the campaign at this stage. The City received proposals from Kindred, CMF Marketing, Fine Line, RCP Productions, and Revel. After reviewing all proposals, the committee felt that Kindred most closely matched the needs of the campaign at this time. AMOUNT REQUESTED: Up to $60,000 – The Watch Campaign account will contribute $20,000, the Public Relations Committee will contribute $20,000. The Page 9 of 10 rest will be obtained from private donors. FUND OR ACCOUNT: Public Relations - $20,000 STAFF RECOMMENDATION: To authorize the City Clerk to enter into an agreement with Kindred for an amount not to exceed $60,000. Motion by Commissioner Gorman, second by Commissioner Emory, to authorize the City Clerk to enter into an agreement with Kindred for an amount not to exceed $60,000. ROLL VOTE: Ayes: German, Gorman, Emory, St.Clair, Johnson, and Hood Nays: None MOTION PASSES ANY OTHER BUSINESS: Mayor Johnson discussed the idea of requesting alternate bids for different width pathways and the Commission agreed that it would be a good idea to receive alternate options and information before making a final decision. Director Evans should seek alternates bids for a 12 ft, 14 ft, and 16 ft width for the proposed pathway at Pere Marquette. Senator Bumstead was in attendance and updated the Commission on several different bills that could have a significant impact on the community. The proposed bills include funding in several areas. PUBLIC COMMENT ON NON-AGENDA ITEMS: Public comments were received. ADJOURNMENT: The City Commission meeting adjourned at 7:45 p.m. Respectfully Submitted, Ann Marie Meisch, MMC – City Clerk Page 10 of 10 Agenda Item Review Form Muskegon City Commission Commission Meeting Date: February 22, 2022 Title: Sale – 760 Leonard Submitted By: Hope Griffith Department: Economic Development Brief Summary: City staff is seeking authorization to sell the city-owned home at 760 Leonard in Jackson Hill to Brittany Alexander. Detailed Summary: The city is constructing this single family detached home as part of our infill housing program. Our contract to construct two homes was for $425,000, and the estimated finished costs of this home will be $215,000. We also anticipated $12,900 in sales commissions. The accepted purchase price is $206,000, and the incurred sales commissions are $10,000, and sellers’ concession of $6,000. The City will not contribute funds toward closing costs outside of seller’s concession and agent commission. The proceeds of this home will repay a portion of the Priority Related Investment made by the Community Foundation for Muskegon County. The sale of the second home in this project should repay the remainder, and any additional funds will reimburse the Economic Development Fund for the $75,000 investment in the project. Amount Requested: None at this time Amount Budgeted: $0 Fund(s) or Account(s): N/A Fund(s) or Account(s): N/A Recommended Motion: Authorize the Code Coordinator to complete the sale of 760 Leonard Street, as described in the purchase agreement and for the Mayor and Clerk to sign the deed. Check if the following Departments need to approve the item first: Police Dept. Fire Dept. IT Dept. 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Detailed Summary: Change Order #006 represents final balancing of all items on the project and will bring the project to a close. Change Order #006 requests a net increase to the project of $100,647.98 above the previously approved requests. This change order will result in the following final values for the project: As-Bid Cost = $3,481,438.91 Final Cost = $4,186,417.34 Net Chagne = $704,978.43 (20.2% Increase) As a note of clarification several of the previously approved change orders were the result of additional work undertaken at the request of Muskegon Public Schools to facility utility relocations for capital projects at the High School and Middle School sites. Of the $704,978.43 net increase to the project it is expected that MPS will reimburse the City $467,454.93 resulting in the true cost increase of the project really being $237,523.50 (6.8% Increase) This increase is still slightly above the 6% budgeted contingency on the projects and will require a slight reforecast adjustment in the future. It should be noted that this project was bundled and bonded in conjunction with the Amity Avenue project (92009). The Amity Avenue project is nearing final closeout and is on track to be finalized at or slightly below the as-bid amount resulting in nearly all of the budgeted 6% contingency from that project being able to cover the slight overrun on Peck Street. Amount Requested: $100,647.98 Amount Budgeted: $63,090.94 (Remaining Contingency 92010) Fund(s) or Account(s): 202/590/591-92010 Fund(s) or Account(s): 202/590/591-92010 Recommended Motion: Authorize staff to approve Change Orders #006 to Project 92010 in the amount of $100,647.98 for the additional work as noted. Check if the following Departments need to approve the item first: Police Dept. Fire Dept. IT Dept. For City Clerk Use Only: Commission Action: CHANGE ORDER NO.: 6 Owner: City of Muskegon Owner’s Project No.: 92010 Engineer: Prein&Newhof Engineer’s Project No.: 2190730 Contractor: Kamminga & Roodvoets Contractor’s Project No.: Project: Street and Utility Improvements - Peck Street: Laketon to Merrill Date Issued: 2/1/2022 Effective Date of Change Order: 2/1/2022 The Contract is modified as follows upon execution of this Change Order: Description: - Add non-eligible irrigation repair item for restoration on Southern Avenue. - Adjust all item base quantities to reflect final quantities at the completion of the project. Attachments: - Contract Modification Summary - Change Order 6 Pricing Change in Contract Price Change in Contract Times Original Contract Price: Original Contract Times: Substantial Completion: September 2, 2021 $ 3,481,438.91 Ready for final payment: September 17, 2021 Increase from previously approved Change Orders No. 1 to [Increase] [Decrease] from previously approved No. 5: Change Orders No.1 to No. [Number of previous Change Order]: Substantial Completion: 60 days $ 604,330.45 Ready for final payment: 60 days Contract Price prior to this Change Order: Contract Times prior to this Change Order: Substantial Completion: November 1, 2021 $ 4,085,769.36 Ready for final payment: November 15, 2021 Increase this Change Order: Increase this Change Order: Substantial Completion: N/A $ 100,647.98 Ready for final payment: 167 days Contract Price incorporating this Change Order: Contract Times with all approved Change Orders: Substantial Completion: November 1, 2021 $ 4,186,417.34 Ready for final payment: May 1, 2022 Recommended by Engineer (if required) Accepted by Contractor By: By: Title: Project Engineer Title: Date: Date: Authorized by Owner Approved by Funding Agency (if applicable) By: By: Title: Director of Public Works Title: Date: Date: This document is a Modified version of EJCDC® C 941, Change Order. Copyright© 2018 NSPE, ACEC and ASCE. All rights reserved. Page 1 of 1 S:\2019\2190730 City of Muskegon\PEC\Change Orders\Change Order 6\change order 6 2022-02-01 Contract Modification 2/1/2022 5:09 PM Prein&Newhof FieldManager 5.3c Contract: _2190730, Peck Street Cont. Mod. Revision Cont. Mod. Electronic Net Change Awarded Contract Amount Number Number Date File Created 6 3 2/1/2022 No $100,647.96 $3,481,438.91 Route Managing Office District Entered By PN Muskegon 0 Tyler A DeNooyer Contract Location City of Muskegon Short Description CO 6 Description of Changes - Add non-eligible irrigation repair item for restoration on Southern Avenue. - Adjust all item base quantities to reflect final quantities at the completion of the project. Increases / Decreases Item Prop. Proj. Quantity Item Description Code Line Line Project Catg. Item Type Change Unit Unit Price Dollar Value _ Tree, Rem, 6 inch to 8507050 0004 0020 2190730 001 Original -6.000 Ea 395.00000 $-2,370.00 18 inch _ Tree, Rem, 19 inch 8507050 0005 0025 2190730 001 Original 5.000 Ea 1,150.00000 $5,750.00 to 36 inch _ Dr Structure, Rem 8507050 0006 0030 2190730 001 Original 7.000 Ea 250.00000 $1,750.00 _ Sewer Rem, Less 8507001 0007 0035 2190730 001 Original -223.500 Ft 7.00000 $-1,564.50 than 24 inch _ Sewer Rem, 24 inch 8507001 0008 0040 2190730 001 Original -212.000 Ft 10.00000 $-2,120.00 and Greater _ Sewer, Abandon, 8507001 0009 0045 2190730 001 Original -310.000 Ft 5.00000 $-1,550.00 Less than 20 inch Contract: _2190730 Cont. Mod.: 6, Rev. 3 Page 1 of 13 Contract Modification 2/1/2022 5:09 PM Prein&Newhof FieldManager 5.3c Increases / Decreases Item Prop. Proj. Quantity Item Description Code Line Line Project Catg. Item Type Change Unit Unit Price Dollar Value _ Sewer, Abandon, 20 8507001 0010 0050 2190730 001 Original 173.000 Ft 15.00000 $2,595.00 inch and Greater _ Curb and Gutter, 8507001 0011 0055 2190730 001 Original -512.200 Ft 3.50000 $-1,792.70 Rem _ Pavt, Rem 8507011 0012 0060 2190730 001 Original -3,150.550 Syd 5.50000 $-17,328.03 _ HMA Surface, Rem 8507011 0013 0065 2190730 001 Original -1,670.460 Syd 2.50000 $-4,176.15 _ Irrigation Repair 8507060 0015 0075 2190730 001 Original 2.518 Dlr 15,000.00000 $37,770.00 Allowance Reason: Extra irrigation repair required on Peck Street in excess of allowance _ Erosion Control, Inlet 8507050 0016 0080 2190730 001 Original -25.000 Ea 170.00000 $-4,250.00 Protection, Fabric Drop _ Machine Grading, 8507002 0017 0085 2190730 001 Original 0.990 Sta 2,500.00000 $2,475.00 Modified _ Aggregate Base, 9 8507011 0018 0090 2190730 001 Original -676.900 Syd 12.00000 $-8,122.80 inch, Modified _ HMA, 5E1 8507031 0019 0095 2190730 001 Original 16.640 Ton 82.80000 $1,377.79 _ HMA, 4E3 8507031 0020 0100 2190730 001 Original -176.270 Ton 81.98000 $-14,450.61 Contract: _2190730 Cont. Mod.: 6, Rev. 3 Page 2 of 13 Contract Modification 2/1/2022 5:09 PM Prein&Newhof FieldManager 5.3c Increases / Decreases Item Prop. Proj. Quantity Item Description Code Line Line Project Catg. Item Type Change Unit Unit Price Dollar Value _ HMA, 3E3 8507031 0021 0105 2190730 001 Original -133.940 Ton 74.32000 $-9,954.42 _ Driveway, Nonreinf 8507011 0022 0110 2190730 001 Original -48.020 Syd 40.00000 $-1,920.80 Conc, 6 inch _ Curb and Gutter, 8507001 0023 0115 2190730 001 Original 67.080 Ft 14.00000 $939.12 Conc. Det F4 _ Sidewalk, Conc, 4 8507010 0024 0120 2190730 001 Original -10.000 Sft 3.00000 $-30.00 inch _ Sidewalk, Conc, 6 8507010 0025 0125 2190730 001 Original 832.830 Sft 4.25000 $3,539.53 inch _ Sidewalk Ramp, 8507010 0026 0130 2190730 001 Original -53.620 Sft 5.50000 $-294.91 Conc, 6 inch _ Detectable Warning 8507001 0027 0135 2190730 001 Original -1.550 Ft 48.00000 $-74.40 Surface _ Turf Restoration 8507002 0028 0140 2190730 001 Original 0.740 Sta 500.00000 $370.00 _ Pavt Mrkg, Polyurea, 8507001 0031 0155 2190730 001 Original -435.000 Ft 0.95000 $-413.25 4 inch, Yellow _ Pavt Mrkg, Polyurea, 8507001 0032 0160 2190730 001 Original -5,976.250 Ft 0.95000 $-5,677.44 4 inch, White Contract: _2190730 Cont. Mod.: 6, Rev. 3 Page 3 of 13 Contract Modification 2/1/2022 5:09 PM Prein&Newhof FieldManager 5.3c Increases / Decreases Item Prop. Proj. Quantity Item Description Code Line Line Project Catg. Item Type Change Unit Unit Price Dollar Value _ Pavt Mrkg, Polyurea, 8507001 0033 0165 2190730 001 Original 5,660.800 Ft 0.99000 $5,604.19 6 inch, White _ Pavt Mrkg, Polyurea, 8507001 0034 0170 2190730 001 Original 1,253.000 Ft 2.95000 $3,696.35 6 inch Crosswalk, White _ Pavt Mrkg, Polyurea, 8507001 0035 0175 2190730 001 Original -230.000 Ft 5.95000 $-1,368.50 12 inch Crosswalk, White _ Pavt Mrkg, Polyurea, 8507001 0036 0180 2190730 001 Original -913.000 Ft 7.50000 $-6,847.50 18 inch, Stop Bar, White _ Sign Type IIIB 8507010 0037 0185 2190730 001 Original 22.250 Sft 25.00000 $556.25 _ Post, Steel 3 LB 8507001 0038 0190 2190730 001 Original 60.000 Ft 8.00000 $480.00 _ Sanitary Sewer, 8", 8507001 0039 0195 2190730 001 Original -18.000 Ft 60.00000 $-1,080.00 Tr Det B _ Sanitary Sewer, 10", 8507001 0040 0200 2190730 001 Original 5.000 Ft 90.00000 $450.00 Tr Det B _ Sanitary Sewer, 8507050 0043 0215 2190730 001 Original -5.000 Ea 375.00000 $-1,875.00 Wye, 8 inch x 6 inch _ Sanitary Lateral, 6 8507001 0044 0220 2190730 001 Original -77.750 Ft 45.00000 $-3,498.75 inch Contract: _2190730 Cont. Mod.: 6, Rev. 3 Page 4 of 13 Contract Modification 2/1/2022 5:09 PM Prein&Newhof FieldManager 5.3c Increases / Decreases Item Prop. Proj. Quantity Item Description Code Line Line Project Catg. Item Type Change Unit Unit Price Dollar Value _ Sanitary Lateral, 6 8507001 0045 0225 2190730 001 Original 2.000 Ft 66.00000 $132.00 inch, Pipe Burst _ Sanitary Lateral, 8507050 0046 0230 2190730 001 Original -9.000 Ea 150.00000 $-1,350.00 Connect to Ex. _ Sanitary Sewer, 8507050 0047 0235 2190730 001 Original -1.000 Ea 950.00000 $-950.00 Connect to Ex. 8" _ Sanitary Sewer, 8507050 0049 0245 2190730 001 Original -1.000 Ea 300.00000 $-300.00 Plug, 8 inch _ Sanitary Sewer, 8507001 0051 0255 2190730 001 Original -8.000 Ft 2.25000 $-18.00 CCTV _ Sewer, Cl E, 12 inch, 8507001 0052 0260 2190730 001 Original -265.000 Ft 50.00000 $-13,250.00 Tr Det B _ Sewer, Cl E, 15 inch, 8507001 0053 0265 2190730 001 Original 53.000 Ft 70.00000 $3,710.00 Tr Det B _ Sewer, Cl E, 18 inch, 8507001 0054 0270 2190730 001 Original -8.500 Ft 72.00000 $-612.00 Tr Det B _ Sewer, Cl E, 24 inch, 8507001 0055 0275 2190730 001 Original -4.000 Ft 75.00000 $-300.00 Tr Det B _ Sewer, Connect to 8507050 0056 0280 2190730 001 Original -1.000 Ea 650.00000 $-650.00 Ex. 12" Contract: _2190730 Cont. Mod.: 6, Rev. 3 Page 5 of 13 Contract Modification 2/1/2022 5:09 PM Prein&Newhof FieldManager 5.3c Increases / Decreases Item Prop. Proj. Quantity Item Description Code Line Line Project Catg. Item Type Change Unit Unit Price Dollar Value _ Sewer, Connect to 8507050 0058 0290 2190730 001 Original 1.000 Ea 900.00000 $900.00 Ex. 18" _ Sewer, Connect to 8507050 0059 0295 2190730 001 Original -1.000 Ea 950.00000 $-950.00 Ex. 24" _ Dr Structure, 24 inch 8507050 0061 0305 2190730 001 Original -2.000 Ea 1,000.00000 $-2,000.00 dia _ Dr Structure, 48 inch 8507050 0062 0310 2190730 001 Original 3.000 Ea 1,700.00000 $5,100.00 dia _ Dr Structure Cover 8507050 0067 0335 2190730 001 Original -1.000 Ea 550.00000 $-550.00 Adj, Case 1 _ Water Main, DI, 4 8507001 0068 0340 2190730 001 Original 34.000 Ft 70.00000 $2,380.00 inch, Tr Det G _ Water Main, DI, 6 8507001 0069 0345 2190730 001 Original 13.700 Ft 70.00000 $959.00 inch, Tr Det G _ Water Main, DI, 8 8507001 0070 0350 2190730 001 Original 246.550 Ft 73.00000 $17,998.15 inch, Tr Det G _ Water Main, DI, 16 8507001 0072 0360 2190730 001 Original 10.000 Ft 140.00000 $1,400.00 inch, Tr Det G _ Water Main, Bend, 8507050 0073 0365 2190730 001 Original 2.000 Ea 763.83000 $1,527.66 22.5 Degree. 8 inch Contract: _2190730 Cont. Mod.: 6, Rev. 3 Page 6 of 13 Contract Modification 2/1/2022 5:09 PM Prein&Newhof FieldManager 5.3c Increases / Decreases Item Prop. Proj. Quantity Item Description Code Line Line Project Catg. Item Type Change Unit Unit Price Dollar Value _ Water Main, Bend, 8507050 0074 0370 2190730 001 Original 6.000 Ea 700.00000 $4,200.00 45 Degree, 6 inch _ Water Main, Bend, 8507050 0075 0375 2190730 001 Original 3.000 Ea 900.00000 $2,700.00 45 Degree, 8 inch _ Water Main, Sleeve, 8507050 0078 0390 2190730 001 Original 1.000 Ea 1,200.00000 $1,200.00 4 inch _ Water Main, Sleeve, 8507050 0080 0400 2190730 001 Original 3.000 Ea 1,800.00000 $5,400.00 8 inch _ Water Main, Sleeve, 8507050 0081 0405 2190730 001 Original -1.000 Ea 2,000.00000 $-2,000.00 10 inch _ Water Main, Tee, 8 8507050 0084 0420 2190730 001 Original 1.000 Ea 700.00000 $700.00 inch x 8 inch x 4 inch _ Water Main, Tee, 8 8507050 0086 0430 2190730 001 Original -1.000 Ea 850.00000 $-850.00 inch x 8 inch x 8 inch _ Water Main, Valve 8507050 0089 0445 2190730 001 Original 1.000 Ea 1,000.00000 $1,000.00 and Box, 4 inch _ Water Main, Valve 8507050 0091 0455 2190730 001 Original -2.000 Ea 1,600.00000 $-3,200.00 and Box, 8 inch _ Water Main, Cap, 8 8507050 0096 0480 2190730 001 Original -4.000 Ea 150.00000 $-600.00 inch Contract: _2190730 Cont. Mod.: 6, Rev. 3 Page 7 of 13 Contract Modification 2/1/2022 5:09 PM Prein&Newhof FieldManager 5.3c Increases / Decreases Item Prop. Proj. Quantity Item Description Code Line Line Project Catg. Item Type Change Unit Unit Price Dollar Value _ Water Main, 8507001 0100 0500 2190730 001 Original -8,250.000 Ft 2.50000 $-20,625.00 Abandon _ Water Main, Rem 8507001 0101 0505 2190730 001 Original -272.000 Ft 5.00000 $-1,360.00 _ Water Service, 8507050 0103 0515 2190730 001 Original 1.000 Ea 775.00000 $775.00 Corporation Stop, 2 inch _ Water Service, Curb 8507050 0104 0520 2190730 001 Original 7.000 Ea 300.00000 $2,100.00 Stop and Box, 1 inch _ Water Service, Curb 8507050 0105 0525 2190730 001 Original 1.000 Ea 800.00000 $800.00 Stop and Box, 2 inch _ Water Service, 1 8507001 0106 0530 2190730 001 Original 2,048.000 Ft 35.00000 $71,680.00 inch Reason: Additional length due to site conditions and additional piping required to make connections in homes _ Water Service, 2 8507001 0107 0535 2190730 001 Original 147.000 Ft 88.00000 $12,936.00 inch _ Water Service, Meter 8507050 0108 0540 2190730 001 Original -7.000 Ea 1,000.00000 $-7,000.00 Pit _ Water Service 8507050 0109 0545 2190730 001 Original -27.000 Ea 50.00000 $-1,350.00 Restoration, Private _ Sidewalk, Rem 8507011 0112 0560 2190730 002 Original -64.060 Syd 5.00000 $-320.30 Contract: _2190730 Cont. Mod.: 6, Rev. 3 Page 8 of 13 Contract Modification 2/1/2022 5:09 PM Prein&Newhof FieldManager 5.3c Increases / Decreases Item Prop. Proj. Quantity Item Description Code Line Line Project Catg. Item Type Change Unit Unit Price Dollar Value _ Sidewalk, Conc, 4 8507010 0113 0565 2190730 002 Original 2,355.000 Sft 3.00000 $7,065.00 inch _ Sidewalk, Conc, 6 8507010 0114 0570 2190730 002 Original 1,085.330 Sft 4.25000 $4,612.65 inch _ Sewer, Cl E, 10 inch, 8507001 0115 0575 2190730 002 Original -14.000 Ft 45.00000 $-630.00 Tr Det B _ Sewer, Cl E, 12 inch, 8507001 0116 0580 2190730 002 Original 92.500 Ft 50.00000 $4,625.00 Tr Det B _ Dr Structure, 24 inch 8507050 0120 0600 2190730 002 Original -1.000 Ea 1,000.00000 $-1,000.00 dia _ Dr Structure, 48 inch 8507050 0121 0605 2190730 002 Original 1.000 Ea 1,700.00000 $1,700.00 dia _ Dr Structure, Tap, 8 8507050 0122 0610 2190730 002 Original 1.000 Ea 900.00000 $900.00 inch _ Dr Structure Cover, 8507050 0123 0615 2190730 002 Original 1.000 Ea 800.00000 $800.00 Type B _ Frontier Duct Bank, 8507001 0159 0655 2190730 001 Extra 1,136.000 Ft 10.63000 $12,075.68 Hand Chipping _ Dr Structure, Rem 8507050 0199 0695 2190730 002 Extra 1.000 Ea 250.00000 $250.00 Contract: _2190730 Cont. Mod.: 6, Rev. 3 Page 9 of 13 Contract Modification 2/1/2022 5:09 PM Prein&Newhof FieldManager 5.3c Increases / Decreases Item Prop. Proj. Quantity Item Description Code Line Line Project Catg. Item Type Change Unit Unit Price Dollar Value _ Sewer Rem, Less 8507001 0204 0700 2190730 002 Extra 7.000 Ft 7.00000 $49.00 than 24 inch _ Sewer Rem, 24 inch 8507001 0209 0705 2190730 002 Extra 11.000 Ft 10.00000 $110.00 and Greater _ Curb and Gutter 8507001 0214 0710 2190730 002 Extra -33.500 Ft 3.50000 $-117.25 Rem _ Pavt, Rem 8507011 0219 0715 2190730 002 Extra -261.070 Syd 5.50000 $-1,435.89 _ HMA Surface, Rem 8507011 0224 0720 2190730 002 Extra 89.670 Syd 2.50000 $224.18 _ Erosion Control, Inlet 8507050 0229 0725 2190730 002 Extra -4.000 Ea 170.00000 $-680.00 Protection, Fabric Drop _ Machine Grading, 8507002 0234 0730 2190730 002 Extra 0.440 Sta 2,500.00000 $1,100.00 Modified _ Aggregate Base, 9 8507011 0239 0735 2190730 002 Extra 88.670 Syd 12.00000 $1,064.04 inch, Modified _ HMA, 5E1 8507031 0244 0740 2190730 002 Extra 13.570 Ton 82.80000 $1,123.60 _ HMA, 4E3 8507031 0249 0745 2190730 002 Extra 22.170 Ton 81.98000 $1,817.50 Contract: _2190730 Cont. Mod.: 6, Rev. 3 Page 10 of 13 Contract Modification 2/1/2022 5:09 PM Prein&Newhof FieldManager 5.3c Increases / Decreases Item Prop. Proj. Quantity Item Description Code Line Line Project Catg. Item Type Change Unit Unit Price Dollar Value _ Driveway, Nonreinf 8507011 0254 0750 2190730 002 Extra 9.030 Syd 40.00000 $361.20 Conc, 6 inch _ Curb and Gutter, 8507001 0259 0755 2190730 002 Extra 80.500 Ft 14.00000 $1,127.00 Conc. Det F4 _ Sidewalk Ramp, 8507011 0264 0760 2190730 002 Extra -215.000 Syd 5.50000 $-1,182.50 Conc, 6 inch _ Detectable Warning 8507001 0269 0765 2190730 002 Extra -15.000 Ft 48.00000 $-720.00 Surface _ Turf Restoration 8507002 0274 0770 2190730 002 Extra -0.430 Sta 500.00000 $-215.00 _ Sewer, Cl E, 36 inch, 8507001 0289 0785 2190730 002 Extra 2.500 Ft 129.61000 $324.03 Tr Det B _ Sewer, Cl E, 18 inch, 8507001 0304 0800 2190730 002 Extra -7.000 Ft 72.00000 $-504.00 Tr Det B _ Sewer, Abandon, 8507001 0334 0830 2190730 002 Extra -65.000 Ft 5.00000 $-325.00 Less than 20 inch _ Pavt Mrkg, Polyurea, 8507001 0339 0835 2190730 002 Extra -57.000 Ft 0.95000 $-54.15 4 inch, Yellow _ Pavt Mrkg, Polyurea, 8507001 0344 0840 2190730 002 Extra 331.000 Ft 2.95000 $976.45 6 inch Crosswalk, White Contract: _2190730 Cont. Mod.: 6, Rev. 3 Page 11 of 13 Contract Modification 2/1/2022 5:09 PM Prein&Newhof FieldManager 5.3c Increases / Decreases Item Prop. Proj. Quantity Item Description Code Line Line Project Catg. Item Type Change Unit Unit Price Dollar Value _ Pavt Mrkg, Polyurea, 8507001 0349 0845 2190730 002 Extra 3.000 Ft 7.50000 $22.50 18 inch, Stop Bar, White _ Sanitary Sewer, 8507050 0364 0860 2190730 002 Extra 1.000 Ea 375.00000 $375.00 Wye, 8 inch x 6 inch _ Sanitary Lateral, 6 8507001 0369 0865 2190730 002 Extra 93.000 Ft 45.00000 $4,185.00 inch _ Sanitary Lateral, 8507050 0374 0870 2190730 002 Extra 1.000 Ea 150.00000 $150.00 Connect to Ex. _ Sewer, Cl E, 15 inch, 8507001 0389 0885 2190730 002 Extra 20.000 Ft 70.00000 $1,400.00 Tr Det B _ Dr Structure Cover 8507050 0404 0900 2190730 002 Extra -2.000 Ea 550.00000 $-1,100.00 Adj, Case 1 _ Water Main, DI, 6 8507001 0409 0905 2190730 002 Extra 13.000 Ft 70.00000 $910.00 inch, Tr Det G _ Water Main, Sleeve, 8507050 0419 0915 2190730 002 Extra -1.000 Ea 1,300.00000 $-1,300.00 6 inch _ Valve Box, Adjust 8507050 0424 0920 2190730 002 Extra 3.000 Ea 485.00000 $1,455.00 _ Water Main, Rem 8507001 0429 0925 2190730 002 Extra 13.000 Ft 5.00000 $65.00 Contract: _2190730 Cont. Mod.: 6, Rev. 3 Page 12 of 13 Contract Modification 2/1/2022 5:09 PM Prein&Newhof FieldManager 5.3c Increases / Decreases Item Prop. Proj. Quantity Item Description Code Line Line Project Catg. Item Type Change Unit Unit Price Dollar Value _ Sanitary Sewer, 8”, 8507001 0469 0965 2190730 002 Extra 5.000 Ft 106.50000 $532.50 Tr Det B, Southern _ Sewer, Cl E, 21 Inch, 8507001 0474 0970 2190730 002 Extra -8.000 Ft 150.00000 $-1,200.00 Tr Det B _ Sewer, Bulkhead, 8” 8507050 0489 0985 2190730 002 Extra 1.000 Ea 1,000.00000 $1,000.00 _ Sewer, Bulkhead, 36 8507050 0504 1000 2190730 002 Extra 1.000 Ea 950.00000 $950.00 Inch Total Dollar Value: $96,842.52 New Items Item Prop. Proj. Proposed Item Description Code Line Line Project Catg. ItemType Quantity Unit Unit Price Dollar Value _ Irrigation Repair, 8507051 0544 1040 2190730 002 Extra 1.000 LS 3,805.44000 $3,805.44 Southern Avenue Reason: CO 6 Total Dollar Value: $3,805.44 Project / Category Summary Project/Category Federal Finance Control Project/Catg Description Number Project Status System Section Dollar Value 2190730 Peck Street 0 CNST 001 SRF/DWRF Eligible $68,351.96 002 SRF/DWRF Ineligible $32,296.00 Total: $100,647.96 Total Net Change Amount: $100,647.96 Contract: _2190730 Cont. Mod.: 6, Rev. 3 Page 13 of 13 February 2, 2022 2190730 Leo Evans City of Muskegon 1350 E Keating Avenue Muskegon, MI 49442 RE: Peck Street: Laketon to Merrill Dear Leo: Enclosed is Change Order 6 with signatures for the referenced project. This Change Order adds an item for the non-eligible irrigation repair on Southern Avenue. The remainder of the Change Order balances base quantities. Additionally, Payment Application 8 with signatures for the referenced project is enclosed. This Payment Application includes additional miscellaneous quantities that were not paid for during construction and agreed upon with Kamminga & Roodvoets during final quantity review. $10,000 was withheld as retainage until the remaining restoration punch list items are rectified in the spring of 2022. The final breakdown by fund through Payment Application 9 is as follows: SRF Eligible: $2,081,664.09 DWRF Eligible: $1,512,500.37 Non-Eligible: $592,252.89 Total: $4,186,417.34 For simplicity we recommend withholding $10,000 from the SRF Eligible fund in retainage to be released in the spring for the final Payment Application. Based on what has been paid from each fund to date, and after subtracting retainage, we recommend the following payment breakdown for Payment Application 9 to match the final payment totals listed above: SRF Eligible: $87,444.67 DWRF Eligible: $41,586.76 Non-Eligible: ($10,356.41) Total: $118,675.01 The final fund breakdown shows that there was a slight overpayment of $10,356.41 in Non-Eligible funds and will be need to be rebalanced to match the final fund breakdown. Please review the Change Order and Payment Application and once approved, return one signed copy of each to Kamminga & Roodvoets with payment. Additionally, please return one signed copy of each to our office. 4910 Stariha Drive Muskegon, MI 49441 t. 231-798-0101 f. 231-798-0337 www.preinnewhof.com If you have any questions regarding this recommendation and the project in general, please do not hesitate to contact me. Sincerely, Prein&Newhof Matthew Hulst, P.E. Enclosures: Payment Application 9 Change Order 6 4910 Stariha Drive Muskegon, MI 49441 t. 231-798-0101 f. 231-798-0337 www.preinnewhof.com Agenda Item Review Form Muskegon City Commission Commission Meeting Date: February 22, 2022 Title: Western Ave. Fifth to Third Parking Lane Improvements – contract award Submitted By: Joel Brookens Department: Public Works Brief Summary: Staff is requesting authorization to approve a contact with Anlaan Corporation in the amount of $332,863.00. Detailed Summary: Bids were solicited for a construction project to improve the parking lane along Western Ave, between Fifth and Third. Anlaan provided the low bid. The bid tabulation is attached. Two alternated were also solicited. Alternate #1 is a different type of bollard post system. Alternate #2 is a different concrete surface finish and texture. The base bid is the preferred construction method, therefore staff recommends acceptance of the base bid and rejection of the alternates. Amount Requested: $332,863.00 Amount Budgeted: $400,000 Upcoming reforecast Fund(s) or Account(s): Fund(s) or Account(s): 101-91116 (ADA Projects) 101-91116 ($100K) 202-92201 (Western Ave ADA) 202-92201 ($200K) 420-91801 (Convention Center) 420-91801 ($100K) Recommended Motion: Authorize staff to approve a contact with Anlaan Corporation in the amount of $332,863.00 Check if the following Departments need to approve the item first: Police Dept. Fire Dept. IT Dept. For City Clerk Use Only: Commission Action: 1.10 BID TABULATION City of Muskegon Project Engineer: JDB Date: 11/23/2021 Engineering Department Project Number: Project description: WESTERN AVE, FIFTH TO THIRD Engineer's Estimate: $ 294,857.00 Anlaan Corp Wadel Stabilization McCromick Sand Inc Accurate Excavators Jackson Merkey Line Item Pay Code Description Units Quantity Unit Price Total Unit Price Total Unit Price Total Unit Price Total Unit Price Total 1 1100001 Mobilization, Max LSUM 1 $ 24,000.00 $ 24,000.00 $ 39,000.00 $ 39,000.00 $ 39,000.00 $ 39,000.00 $ 15,000.00 $ 15,000.00 $ 54,000.00 $ 54,000.00 2 2030011 Dr Structure, Rem Ea 4 $ 1,000.00 $ 4,000.00 $ 600.00 $ 2,400.00 $ 1,000.00 $ 4,000.00 $ 650.00 $ 2,600.00 $ 695.00 $ 2,780.00 3 2030015 Sewer, Rem, Less than 24 inch Ft 40 $ 35.00 $ 1,400.00 $ 11.00 $ 440.00 $ 24.00 $ 960.00 $ 24.00 $ 960.00 $ 49.00 $ 1,960.00 4 2040020 Curb and Gutter, Rem Ft 794 $ 10.00 $ 7,940.00 $ 9.00 $ 7,146.00 $ 10.00 $ 7,940.00 $ 7.00 $ 5,558.00 $ 16.00 $ 12,704.00 5 2040050 Pavt, Rem Syd 925 $ 12.50 $ 11,562.50 $ 10.00 $ 9,250.00 $ 10.00 $ 9,250.00 $ 10.00 $ 9,250.00 $ 22.00 $ 20,350.00 6 2040055 Sidewalk, Rem Syd 25 $ 35.00 $ 875.00 $ 19.00 $ 475.00 $ 30.00 $ 750.00 $ 75.00 $ 1,875.00 $ 79.00 $ 1,975.00 7 2050010 Embankment, CIP Cyd 90 $ 50.00 $ 4,500.00 $ 15.00 $ 1,350.00 $ 15.00 $ 1,350.00 $ 40.00 $ 3,600.00 $ 48.00 $ 4,320.00 8 4021203 Sewer Tap, 10 inch Ea 1 $ 385.00 $ 385.00 $ 510.00 $ 510.00 $ 500.00 $ 500.00 $ 500.00 $ 500.00 $ 530.00 $ 530.00 9 4030010 Dr Structure Cover, Type B Ea 2 $ 525.00 $ 1,050.00 $ 850.00 $ 1,700.00 $ 500.00 $ 1,000.00 $ 880.00 $ 1,760.00 $ 845.00 $ 1,690.00 10 4030025 Dr Structure Cover, Type D Ea 6 $ 650.00 $ 3,900.00 $ 1,250.00 $ 7,500.00 $ 750.00 $ 4,500.00 $ 950.00 $ 5,700.00 $ 975.00 $ 5,850.00 11 4030200 Dr Structure, 24 inch dia Ea 5 $ 2,300.00 $ 11,500.00 $ 2,500.00 $ 12,500.00 $ 2,500.00 $ 12,500.00 $ 1,365.00 $ 6,825.00 $ 1,830.00 $ 9,150.00 12 4030210 Dr Structure, 48 inch dia Ea 1 $ 3,400.00 $ 3,400.00 $ 3,500.00 $ 3,500.00 $ 2,600.00 $ 2,600.00 $ 1,765.00 $ 1,765.00 $ 2,550.00 $ 2,550.00 13 8030010 Detectable Warning Surface Ft 20 $ 33.00 $ 660.00 $ 35.00 $ 700.00 $ 33.00 $ 660.00 $ 220.00 $ 4,400.00 $ 38.50 $ 770.00 14 8030030 Curb Ramp Opening, Conc Ft 795 $ 18.40 $ 14,628.00 $ 15.00 $ 11,925.00 $ 17.00 $ 13,515.00 $ 26.50 $ 21,067.50 $ 26.14 $ 20,781.30 15 8030048 Sidewalk, Conc, 8 inch Sft 8600 $ 5.20 $ 44,720.00 $ 5.00 $ 43,000.00 $ 6.00 $ 51,600.00 $ 10.50 $ 90,300.00 $ 10.30 $ 88,580.00 16 8037010 POLYMER CEMENT SURFACING Sft 8600 $ 7.35 $ 63,210.00 $ 7.35 $ 63,210.00 $ 7.35 $ 63,210.00 $ 8.10 $ 69,660.00 $ 7.35 $ 63,210.00 17 8037010 Sidewalk, Conc, 8 inch, colored and stamped Sft 475 $ 11.90 $ 5,652.50 $ 11.00 $ 5,225.00 $ 12.00 $ 5,700.00 $ 16.50 $ 7,837.50 $ 14.00 $ 6,650.00 18 8107050 Removal Bollard System (TrafficGuard) Ea 70 $ 1,480.00 $ 103,600.00 $ 2,000.00 $ 140,000.00 $ 2,200.00 $ 154,000.00 $ 2,525.00 $ 176,750.00 $ 3,033.70 $ 212,359.00 19 8120012 Barricade, Type III, High Intensity, Double Sided, Lighted, Furn Ea 5 $ 65.00 $ 325.00 $ 65.00 $ 325.00 $ 65.00 $ 325.00 $ 72.00 $ 360.00 $ 76.00 $ 380.00 20 8120013 Barricade, Type III, High Intensity, Double Sided, Lighted, Oper Ea 5 $ 5.00 $ 25.00 $ 5.00 $ 25.00 $ 5.00 $ 25.00 $ 6.00 $ 30.00 $ 5.80 $ 29.00 21 8120026 Pedestrian Type II Barricade, Temp Ea 10 $ 85.00 $ 850.00 $ 85.00 $ 850.00 $ 85.00 $ 850.00 $ 94.00 $ 940.00 $ 99.00 $ 990.00 22 8120027 Pedestrian Type II Channelizer, Temp Ft 800 $ 14.00 $ 11,200.00 $ 14.00 $ 11,200.00 $ 14.00 $ 11,200.00 $ 15.50 $ 12,400.00 $ 16.50 $ 13,200.00 23 8120170 Minor Traf Devices LSUM 1 $ 11,000.00 $ 11,000.00 $ 32,000.00 $ 32,000.00 $ 10,000.00 $ 10,000.00 $ 2,550.00 $ 2,550.00 $ 20,000.00 $ 20,000.00 24 8120252 Plastic Drum, Fluorescent, Furn Ea 20 $ 16.00 $ 320.00 $ 16.00 $ 320.00 $ 16.00 $ 320.00 $ 18.00 $ 360.00 $ 18.50 $ 370.00 25 8120253 Plastic Drum, Fluorescent, Oper Ea 20 $ 1.00 $ 20.00 $ 1.00 $ 20.00 $ 1.00 $ 20.00 $ 2.00 $ 40.00 $ 1.20 $ 24.00 26 8120350 Sign, Type B, Temp, Prismatic, Furn Sft 190 $ 3.00 $ 570.00 $ 3.00 $ 570.00 $ 3.00 $ 570.00 $ 4.00 $ 760.00 $ 3.50 $ 665.00 27 8120351 Sign, Type B, Temp, Prismatic, Oper Sft 190 $ 1.00 $ 190.00 $ 1.00 $ 190.00 $ 1.00 $ 190.00 $ 2.00 $ 380.00 $ 1.20 $ 228.00 28 8257001 SEWER, PVC SDR 35, 10 INCH, TR DET B Ft 12 $ 115.00 $ 1,380.00 $ 95.00 $ 1,140.00 $ 45.00 $ 540.00 $ 50.00 $ 600.00 $ 84.50 $ 1,014.00 BASE BID TOTAL: $ 332,863.00 $ 396,471.00 $ 397,075.00 $ 443,828.00 $ 547,109.30 Alternate #1 - Delete line item #18 and add the following 18 8107050 Removal Bollard System (TrafficGuard) Ea 70 $ (1,480.00) $ (103,600.00) $ (2,000.00) $ (140,000.00) $ (2,200.00) $ (154,000.00) $ (2,525.00) $ (176,750.00) $ (3,033.70) $ (212,359.00) 29 8107050 Removal Bollard System (Gorilla Post) Ea 70 $ 470.00 $ 32,900.00 $ 1,300.00 $ 91,000.00 $ 200.00 $ 14,000.00 $ 500.00 $ 35,000.00 $ 700.00 $ 49,000.00 Net change $ (70,700.00) $ (49,000.00) $ (140,000.00) $ (141,750.00) $ (163,359.00) Alternate #2 - Delete line item #16 and add the following 16 8037010 POLYMER CEMENT SURFACING Sft 8600 $ (7.35) $ (63,210.00) $ (7.35) $ (63,210.00) $ (7.35) $ (63,210.00) $ (8.10) $ (69,660.00) $ (7.35) $ (63,210.00) 30 8037010 Concrete Surface Finshing - Sand washed and stainded finsh SFT 8600 $ 2.30 $ 19,780.00 $ 3.50 $ 30,100.00 $ 5.75 $ 49,450.00 $ 13.25 $ 113,950.00 $ - $ - Net change $ (43,430.00) $ (33,110.00) $ (13,760.00) $ 44,290.00 $ (63,210.00) Bid Tabulation 1 of 1 CITY OF MUSKEGON PLAN AND PROFILE OF PROPOSED WESTERN AVE, FIFTH TO THIRD PARKING LANE IMPROVEMENTS PROJECT NUMBER: UTILITIES ELECTRIC JOEL BROWN CONSUMERS ENERGY 700 E STERNBERG ROAD NORTON SHORES, MI 49441 (231) 332-2682 STANDARD PLANS TELEPHONE SHEET INDEX R-01-G DRAINAGE STRUCTURES DAVID B. FLERMOEN FRONTIER COMMUNICATIONS SHEET DESCRIPTION R-28-J SIDEWALK RAMP AND DETECTABLE WARNING DETAILS 860 TERRACE STREET R-30-G CONCRETE CURB & GUTTER MUSKEGON MI 49440 1. TITLE SHEET (231) 727-1319 2. CROSS SECTION & PLAN R-96-E SOIL EROSION & SEDIMENTATION CONTROL MEASURES 3. TRAFFIC CONTROL PLAN NATURAL GAS VINCENT DUCA DTE ENERGY 2359 OLTHOFF DRIVE MUSKEGON MI 49444 (231) 578-0488 (CELL) TRAFFIC/SAFETY STANDARD PLANS CABLE WZD-125-E TEMPORARY TRAFFIC CONTROL DEVICES COMCAST TBA WATER & SEWER DAVE BAKER CITY OF MUSKEGON - DPW 1350 E KEATING AVENUE U E MUSKEGON MI 49442 U E EN (231) 724-4100 VE N AV U E A R N EN IS T E AV R R E S Y A NOTE: MO W CL E JE U EN THE IMPROVEMENTS COVERED BY THESE PLANS SHALL BE DONE IN ACCORDANCE WITH THE MICHIGAN 3 WORKING DAYS FF DEPARTMENT OF TRANSPORTATION 2020 STANDARD SPECIFICATIONS FOR CONSTRUCTION AND THE 2011 AV EXCLUDING SAT, SUN & HOLIDAYS N N ER MICHIGAN MANUAL OF UNIFORM TRAFFIC CONTROL DEVICES. THESE IMPROVEMENTS HAVE BEEN DESIGNED IN ACCORDANCE WITH THE 2018 AASHTO GUIDELINES. G O KE SO FI TH U S RS N M IR T POE, STA 7+50 D GENERAL NOTES: Know what's below. ST ST Call before you dig. RE R 1. EXISTING CONDITIONS INCLUDING ELEVATIONS ARE SUBJECT TO CHANGE DUE TO CONSTRUCTION E EE PROJECT LOCATION U SE E OUTSIDE THE CONTROL OF THE CITY OF MUSKEGON. CONTRACTOR IS TO VERIFY EXISTING E N T T CO CONDITIONS OF THE SITE, MATCH ALL EXISTING MEETS AND COORDINATE WORK ACTIVES WITH NEIGHBORING CONTRACTORS. A V N Y D 2. UPON REQUEST AND APPROVAL, THE CONTRACTOR MAY OBTAIN A WATER SUPPLY FROM THE CITY A CL APPLE AVENUE ST OF MUSKEGON FIRE HYDRANTS AT NO COST, PROVIDED THAT THEY FOLLOW THE CONDITIONS OF THE CITY WATER DEPARTMENT. RE POB, STA 0+00 CONSTRUCTION INCLUDES REMOVAL AND REPLACEMENT OF 800 3. FOR PROTECTION OF UNDERGROUND UTILITIES, THE CONTRACTOR SHALL CALL MISS DIG, E FEET CONCRETE CURB, 8,600 SFT OF CONCRETE SIDEWALK, AND T 1-800-482-7171, A MINIMUM OF 3 WORKING DAYS EXCLUDING SATURDAYS, SUNDAYS, AND HOLIDAYS PRIOR TO EXCAVATING IN THE VICINITY OF ALL UTILITY LINES. ALL MISS DIG PARTICIPATING U E SEVERAL STORM SEWER CATCH BASIN MODIFICATIONS IN THE CITY MEMBERS WILL THUS BE NOTIFIED, THIS DOES NOT RELIEVE THE CONTRACTOR THE EN OF MUSKEGON, MUSKEGON COUNTY. AV RESPONSIBILITY OF NOTIFYING OWNERS WHO MAY NOT BE PART OF THE MISS DIG ALERT SYSTEM. HAMILTON AVENUE 4. PUBLIC UTILITIES OF ALL TYPES HAVE BEEN SHOWN ON THE PLAN USING AVAILABLE ON FIRST STREET INFORMATION, BUT ARE NOT GUARANTEED AS ACCURATE OR THAT UTILITIES OTHER THAN THOSE SHOWN ARE NOT PRESENT. E G E S K 5. THE CONTRACTOR SHALL SAW CUT ALL MEETS RELATIVE TO SIDEWALK OR PAVEMENT N U M U CONSTRUCTION UNLESS WAIVED BY THE ENGINEER. PAYMENT FOR SAW CUTTING SHALL BE V E E INCLUDED IN THE PAYMENT FOR THE PAY ITEMS PAVT, REM, MODIFIED; CURB AND GUTTER, REM; AND/OR SIDEWALK, REM. NO ADDITIONAL PAYMENT WILL ALLOWED FOR SAW CUTTING. A N U HOUSTON AVENUE PREPARED UNDER THE SUPERVISION OF: N E 6. THE CONTRACTOR SHALL PREVENT EROSION AND CONTROL SEDIMENTATION ASSOCIATED WITH E R AV THE PROJECT. KEEP SEDIMENTATION WITHIN THE RIGHT OF WAY (OR CONSTRUCTION LIMITS) AND E ST ER OUT OF SURFACE WATERS. CONSTRUCT AND MAINTAIN TEMPORARY EROSION AND SEDIMENTATION W S T FI CONTROLS, TO INCLUDE INLET PROTECTION, FABRIC DROPS ON ALL INLET STRUCTURES NEW AND B WE SE FT EXISTING AND INSTALL TEMPORARY EROSION, SEDIMENTATION CONTROLS AS DIRECTED BY THE SI ENGINEER. THE CONTRACTOR SHALL REMOVE ON A DAILY BASIS SOIL TRACKED ONTO EXISTING VE MONROE AVENUE XT H PAVED ROADS, (VACUUM METHODS ARE PREFERRED BUT BROOM SWEEPING IS ACCEPTABLE IF THE NT ST H MATERIAL IS REMOVED) THE CONTRACTOR SHALL INSPECT ALL SOIL EROSION / SEDIMENTATION CONTROL MEASURES ON A WEEKLY BASIS OR AFTER EACH RAIN FALL EVENT, CLEAN REPAIR, OR U E ST TH R H REPLACE, AS NECESSARY, TO ENSURE PROPER FUNCTION. ALL SOIL EROSION / SEDIMENTATION N EE E ST RE IR CONTROLS SHALL REMAIN UNTIL ALL DISTURBED AREAS ARE STABILIZED. ALL SOIL EROSION / AV LEO EVANS, P.E. T SEDIMENTATION CONTROL, EXCEPT FOR THE EROSION CONTROL, INLET PROTECTION, FABRIC DROP D RE ET CITY ENGINEER CITY OF MUSKEGON ON AND SILT FENCE SHALL BE INCLUDED WITH THE PAY ITEM PROJECT CLEAN UP. NO OTHER ST PAYMENT SHALL BE MADE. ENGINEERING DEPARTMENT ET T MERRILL AVENUE UE S RE UE 1350 E KEATING AVE N U E 55599 EN E HO U E MUSKEGON MI 49442 N AV E T V FO A A V REGISTRATION NUMBER EI R N UR E O E CITY OF MUSKEGON Western Sidewalk Imprv. GH T EG O TH BS K R OFFICE OF THE CITY ENGINEERFifth to Third TH E S E N W U MO ST M N U 09/2021 PROJECT NO FI ST DRAWN J BROOKENS 10/2021 REVISION FP VE SURVEY RE STRO x NI NG AVENUE REVISION F A CHECKED RE AS-BUILT TH E NT . N APPROVED T REVISION SHEET NO. 01 of 03 E O E V T H T ST A US Y ST RE LA HO RE C ET E STA 0+50 TO 3+50 29 EA REMOVAL BOLLARD SYSTEM STA 0+50 LT STA 0+42 TO 3+57 LT 10 SYD SIDEWALK, REM 320 LFT CURB AND GUTTER, REM 200 SFT SIDEWALK, CONCRETE, 8 INCH, 130 SYD PAVT, REM COLORED AND STAMPED (RED) 320 LFT CURB RAMP OPENING, CONCRETE STA 3+50 LT 3500 SFT SIDEWALK, CONC, 8 INCH, 5 SYD SIDEWALK, REM STA 0+67 LT 3500 SFT POLYMER CEMENT SURFACING 100 SFT SIDEWALK, CONC, 8 INCH, COLORED 1 EA DR STRUCTURE COVER, TYPE B AND STAMPED (RED) 1 EA DR STRUCTURE, 24 INCH (CB 101) STA 1+63 LT 10 LFT DETECTABLE WARNING SURFACE 12 FT SEWER, PVC SDR 35, 10 INCH 1 EA DR STRUCTURE, REM 1 EA SEWER TAP, 10 INCH 10 FT SEWER, REM, LESS THAN 24 INCH MH 1 EA DR STRUCTURE COVER, TYPE D M3 EX 24" STORM 1 EA DR STRUCTURE, 24 INCH (CB 102) MH 1 EA DR STRUCTURE COVER, TYPE D M3 5TH ST. LP LP LP Y D HH H MH CB CB W W V V W V 10.0' TYP. W V W V W V 0+50 0+00 2+50 3+50 2+00 3+00 4+00 1+50 1+00 NOTES: MH MH EX 18" STORM EX 18" STORM MH EX 18" STORM MH 4TH ST. CB CB CB LP HH LP HH HHL P WESTERN AVE. Date: STA 4+50 TO 7+60 LT 310 LFT CURB AND GUTTER, REM 135 SYD PAVT, REM CB 310 LFT CURB RAMP OPENING, CONCRETE QUANTITIES THIS SHEET 3600 SFT SIDEWALK, CONC, 8 INCH 3600 SFT POLYMER CEMENT SURFACING DESCRIPTION QUANTITY UNIT STA 6+34 LT STA 4+75 LT BENCHMARK #01 1 EA DR STRUCTURE, REM 1 EA DR STRUCTURE, REM DR STRUCTURE, REM 4 HYDRANT NE QUAD WESTERN & FORTH EA ELEVATION: 101.30 15 FT SEWER, REM, LESS THAN 24 INCH 15 FT SEWER, REM, LESS THAN 24 INCH STA 7+50 LT 1 EA DR STRUCTURE, 24 INCH (CB 103) 1 EA DR STRUCTURE, 24 INCH (CB 105) 1 EA DR STRUCTURE, REM Revisions: SEWER, REM, LESS THAN 24 INCH 40 FT 1 EA DR STRUCTURE COVER, TYPE D M3 1 EA DR STRUCTURE COVER, TYPE D M3 1 EA DR STRUCTURE, 24 INCH 1 EA DR STRUCTURE COVER, TYPE D M3 CURB AND GUTTER, REM, 794 FT 2. 3. 1. PAVT, REM 325 SYD SIDEWALK, REM 25 SYD EMBANKMENT, CIP 90 CYD LP LP HH HH HH Y D HH H Y D MH H CB CB SEWER TAP, 10 INCH 1 EA CB DR STRUCTURE COVER, TYPE B 2 EA WESTERN SIDEWALK CONSTRUCTION PLAN Date: 10/2021 DR STRUCTURE COVER, TYPE D 6 EA W V W V W Drawn: J.B. W W V V V 6+50 6+00 4+00 4+50 5+50 Checked: 7+00 7+50 5+00 DR STRUCTURE, 24 INCH DIA 5 EA Date: DR STRUCTURE, 48 INCH DIA 1 EA MH 25 .0 DETECTABLE WARNING SURFACE 20 FT EX 18" STORM MH ' CURB RAMP OPENING, CONC 795 FT EX 18" STORM MH EX 18" STORM 4TH ST. MH SIDEWALK, CONC, 8 INCH 8600 SFT CB CB CB LP HH HH HH LP SIDEWALK, CONC, 8 INCH, COLORED AND STAMPED SEWER, PVC SDR 35, 10 INCH, TR DET B 475 12 SFT FT HH MH MH WESTERN AVE. POLYMER CEMENT SURFACING 8600 SFT STA 4+50 TO 7+50 LT & RT CB 41 EA REMOVAL BOLLARD SYSTEM REMOVAL BOLLARD SYSTEM 70 EA STA 4+29 TO 5+90 RT 164 LFT CURB AND GUTTER, REM 60 SYD PAVT, REM STA 4+75 RT 165 LFT CURB RAMP OPENING, CONCRETE PL EXISTING CROSS SECTION PL STA 4+29 TO 4+52 RT 1 EA 1 EA DR STRUCTURE COVER, TYPE B DR STRUCTURE, 48 INCH (MH 104) 1500 SFT 1500 SFT SIDEWALK, CONC, 8 INCH POLYMER CEMENT SURFACING 1 EA DR STRUCTURE, COVER, TYPE D M3 10 SYD SIDEWALK, REM 24' 24' 175 SFT SIDEWALK, CONCRETE, 8 INCH, COLORED AND STAMPED (RED) 10 LFT DETECTABLE WARNING SURFACE OFFICE OF THE CITY ENGINEERIMPROVEMENTS 2' 10' 12' 12' 10' 2' DECORATIVE TRAVEL LANE TRAVEL LANE DECORATIVE STAMPED PARKING PARKING STAMPED CONCRETE CONCRETE EXISTING DRAINAGE STRUCTURE INFO. PROPOSED DRAINAGE STRUCTURE INFO. TYP. 1% SLOPE APPX. 1% SLOPE Structure # Station - Offset Rim Elev. Inverts Notes Structure # Station - Offset Rim Elev. Inverts Notes 1 STA 0+67 LT 21 93.68 90.98 SW 12" CONC CB 101 STA 0+67 LT 11 93.8 91 NW 12" CONC TO REMAIN EXCEPT WHERE 14' 14' SHOWN ON PLANS (TYP.) 2 STA 1+70 LT 21 95.10 90.60 SE 12" CONC REMOVE CB 102 STA 1+67 LT 11 95.22 90.5 SE 12" CONC SAW-CUT 3 STA 1+57 RT 17 95.21 90.31 NW 12" CONC MH CB 103 STA 4+75 LT 11 99.37 95.26 SE 12" CONC CITY OF MUSKEGON 89.01 NE/SW 21" CONC MH 104 STA 4+75 RT 11 99.39 95.26 W 12" CONC 48" MH 4 STA 4+75 LT 21 99.25 95.25 SW 12" CONC REMOVE 95.26 E 12" CONC 5 STA 4+75 RT 21 99.27 95.27 SW 12" CONC NEW CASTING CB 105 STA 6+35 LT 11 100.96 96.12 SE 12" CONC 6 STA 6+30 RT 19 101.18 96.18 N 12" CONC CB 106 STA 7+50 LT 18 101.70 97.9 SE 12" CONC PL PROPOSED CROSS SECTION PL 7 STA 6+38 LT 21 100.84 94.68 NE/SW 18" CONC 96.09 SE 12" CONC REMOVE 8 STA 7+50 LT 18 101.68 97.98 E 12" CONC REMOVE, 48" STRUCTURE 24' 24' EXISTING DECORATIVE 12' 2' 10' 10' 2' 12' EXISTING STAMPED TRAVEL LANE DECORATIVE NOTES: CONCRETE TRAVEL LANE VARIABLE USE VARIABLE USE STAMPED 1. CASTING TYPE D M3 IS TO BE EJ 5100 WITH CONCRETE TYPE M3 GRATE, OR AS APPROVED BY ENGINEER 2. ALL SIGN WORK, INCLUDING REMOVAL, SIDEWALK, CONC, 8 INCH RELOCATION AND INSTALLATION WILL BE NON-REINFORCED SIDEWALK, CONC, 8 INCH DONE BY CITY. NON-REINFORCED CLASS II FILL HMA TO REMAIN CURB RAMP OPENING CURB RAMP OPENING CLASS II FILL 02 TRAFFIC CONTROL PLAN TRAFFIC CONTROL NOTES: 1. THE CONTRACTOR SHALL CLOSE WESTERN COMPLETELY, ACCORDING TO THIS TRAFFIC CONTROL PLAN. 2. THE CONTRACTOR SHALL MAINTAIN ACCESS TO BUSINESSES, RESIDENCES, AND CROSS STREETS AS DIRECTED BY THE ENGINEER. CONTRACTOR MAY USE AGGREGATE OR HMA MILLINGS. NO ADDITIONAL PAYMENT WILL BE MADE FOR MAINTAINING TRAFFIC. 3. WESTERN IS THE HEART OF MUSKEGON'S DOWNTOWN. CONTRACTOR CAN EXPECT A LARGE AMOUNT OF PEDESTRIANS WITHIN THE CONSTRUCTION AREA. ENGINEER WILL BE INSPECTING PEDESTRIANS BARRICADES REGULARLY FOR SAFETY. NOTES: Date: PROPOSED QUANTITIES SIGN, TYPE B, TEMPORARY QUANTIT AREA TOTAL AREA SIGN DESCRIPTION (SFT) (SFT) Y RII-2 ROAD CLOSED 0 16 0 RII-4 ROAD CLOSED TO THRU TR 5 16 80 W20-3 ROAD CLOSED AHEAD 3 16 48 Revisions: W21-4 ROAD WORK AHEAD 3 16 48 R3-2 NO LEFT TURN 0 4 0 2. 3. 1. R3-1 NO RIGHT TURN 0 4 0 R5-1a WRONG WAY 0 6 0 UE R6-1 RT ONE WAY (RIGHT) 0 3 0 U E E N R8-3 NO PARKING SYMBOL 0 1 0 N V VE N A N UE A Date: 10/2021 R9-8 PEDESTRIAN CROSSWALK 0 4.5 0 S E R V E Drawn: J.B. R I S T A Checked: R E AY R9-9 SIDEWALK CLOSED 4 2 8 MO W CL Date: SIDEWALK CLOSED, USE R9-10 0 3 0 E OTHER S JE 1 EA W21-4 U EN SIDEWALK CLOSED, CROSS FF AV TRAFFIC CONTROL R9-11 3 2 6 HERE N N ER 1 EA W20-3 1 EA BARRICADE, TYPE III, LIGHTED G O TOTAL: 190 E SO 1 EA RII-4 FI K TH U S RS N M IR T POE, STA 7+00 D ST ST PROJECT LOCATION QUANTITIES THIS SHEET RE R E EE U SE PLAN E N DESCRIPTION QUANTITY UNIT VE T T CO 3 EA BARRICADE, TYPE III, LIGHTED A MAINTENANCE GRAVEL, LM CYD N 0 3 EA RII-4 AY D CL APPLE AVENUE MINOR TRAFFIC CONTROL DEVICES 1 LS ST WESTERN SIDEWALK BARRICADE, TYPE III, HIGH INTENSITY, DOUBLE SIDED, LIGHTED, FURN RE POB, STA 0+00 5 EA E 1 EA BARRICADE, TYPE III, LIGHTED BARRICADE, TYPE III, HIGH INTENSITY, DOUBLE SIDED, LIGHTED, OPER 5 EA T U E OFFICE OF THE CITY ENGINEERIMPROVEMENTS 1 EA RII-4 1 EA W20-3 CHANNELIZING DEVICE, 42 INCH, FURN 0 EA EN 1 EA W21-4 1 EA W20-3 AV HAMILTON AVENUE CHANNELIZING DEVICE, 42 INCH, OPER 0 EA O N PLASTIC DRUM, FLUORESCENT, FURN 20 EA FIRST STREET 1 EA W21-4 KEG PLASTIC DRUM, FLUORESCENT, OPER 20 EA U E U S SIGN, TYPE B, TEMP, PRISMATIC, FURN 190 SFT EN M E AV SIGN, TYPE B, TEMP, PRISMATIC, OPER N U HOUSTON AVENUE 190 SFT RN V E SIGN, TYPE B, TEMP, PRISMATIC, SPECIAL, FURN 0 SFT E A ST CITY OF MUSKEGON E R SIGN, TYPE B, TEMP, PRISMATIC, SPECIAL, OPER 0 SFT WE ST TRAFFIC REGULATOR CONTROL 0 LS FI B WE SE FT SI PEDESTRIAN TYPE II BARRICADE, TEMP 10 EA VE MONROE AVENUE XT H PEDESTRIAN TYPE II CHANNELIZER, TEMP 800 FT NT ST H U E PEDESTRIAN PATH, TEMP 0 FT ST TH R H N EE E ST PEDESTRIAN RAMP, TEMP RE IR 0 EA AV T D RE ET ON PEDESTRIAN BARRIER WITH FENCE, TEMP 0 FT ST ET E S T MERRILL AVEBUS N STOP, TEMP UE 0 EA RE UE NU U E N E HO U E VE V EN T FO A A AV EI ER ON UR E GH ST EG O TH B K R TH E S N W MU UE O ST M EN FI ST 03 RE V STRONG AVENUE NI F A RE TH E NT E. N T O E AV T H T ST U S AY ST RE CL HO RE ET E Agenda Item Review Form Muskegon City Commission Commission Meeting Date: February 22, 2022 Title: HMV Brownfield Repayment Submitted By: Frank Peterson Department: City Manager Brief Summary: Staff is seeking approval of the repayment schedule for the Hartshorn Marina Village Brownfield project. Detailed Summary. In 2020 the City Commission authorized this issuance of up to $8 Million in general obligation bonds for a number of municipal projects. One of the projects included was the infrastructure for Hartshorn Marina Village. The $600,000 expense was to be repaid via Brownfield tax capture. The Brownfield is approximately two years behind schedule as the developers have dealt with various environmental issues. This delay has left the Brownfield Fund with inadequate cashflow to cover the debt payments today, and we expect that will be the case for the next 1-2 years as well. The Finance Department has reviewed the obligations and is recommending that the General Fund assume the debt obligation and make the payments. In return, the General Fund will retain the tax capture to reimburse itself with interest over the life of the Brownfield. We have attached an amortization schedule. Note that the $600,000 original principal has already incurred interest for one year, resulting in a starting balance above $600,000. Amount Requested: N/A Amount Budgeted: N/A Fund(s) or Account(s): Fund(s) or Account(s): N/A Recommended Motion: Authorize the repayment schedule to reimburse the General Fund $600,000 plus 5% interest from the Brownfield Fund. 02/08/2022 6:03 PM Hartshorn Marina Village Compounding Period: Annual Nominal Annual Rate: 5.000% Cash Flow Data - Loans and Payments Event Date Amount Number Period End Date 1 Loan 09/21/2020 600,000.00 1 2 Payment 09/21/2021 0.00 1 3 Payment 09/21/2022 0.00 1 4 Payment 09/21/2023 56,588.83 18 Annual 09/21/2040 TValue Amortization Schedule - Normal, 365 Day Year Date Payment Interest Principal Balance Loan 09/21/2020 600,000.00 2020 Totals 0.00 0.00 0.00 1 09/21/2021 0.00 30,000.00 -30,000.00 630,000.00 2021 Totals 0.00 30,000.00 -30,000.00 2 09/21/2022 0.00 31,500.00 -31,500.00 661,500.00 2022 Totals 0.00 31,500.00 -31,500.00 3 09/21/2023 56,588.83 33,075.00 23,513.83 637,986.17 2023 Totals 56,588.83 33,075.00 23,513.83 4 09/21/2024 56,588.83 31,899.31 24,689.52 613,296.65 2024 Totals 56,588.83 31,899.31 24,689.52 5 09/21/2025 56,588.83 30,664.83 25,924.00 587,372.65 2025 Totals 56,588.83 30,664.83 25,924.00 6 09/21/2026 56,588.83 29,368.63 27,220.20 560,152.45 2026 Totals 56,588.83 29,368.63 27,220.20 7 09/21/2027 56,588.83 28,007.62 28,581.21 531,571.24 2027 Totals 56,588.83 28,007.62 28,581.21 8 09/21/2028 56,588.83 26,578.56 30,010.27 501,560.97 2028 Totals 56,588.83 26,578.56 30,010.27 9 09/21/2029 56,588.83 25,078.05 31,510.78 470,050.19 Page 1 of 3 02/08/2022 6:03 PM Hartshorn Marina Village Date Payment Interest Principal Balance 2029 Totals 56,588.83 25,078.05 31,510.78 10 09/21/2030 56,588.83 23,502.51 33,086.32 436,963.87 2030 Totals 56,588.83 23,502.51 33,086.32 11 09/21/2031 56,588.83 21,848.19 34,740.64 402,223.23 2031 Totals 56,588.83 21,848.19 34,740.64 12 09/21/2032 56,588.83 20,111.16 36,477.67 365,745.56 2032 Totals 56,588.83 20,111.16 36,477.67 13 09/21/2033 56,588.83 18,287.28 38,301.55 327,444.01 2033 Totals 56,588.83 18,287.28 38,301.55 14 09/21/2034 56,588.83 16,372.20 40,216.63 287,227.38 2034 Totals 56,588.83 16,372.20 40,216.63 15 09/21/2035 56,588.83 14,361.37 42,227.46 244,999.92 2035 Totals 56,588.83 14,361.37 42,227.46 16 09/21/2036 56,588.83 12,250.00 44,338.83 200,661.09 2036 Totals 56,588.83 12,250.00 44,338.83 17 09/21/2037 56,588.83 10,033.05 46,555.78 154,105.31 2037 Totals 56,588.83 10,033.05 46,555.78 18 09/21/2038 56,588.83 7,705.27 48,883.56 105,221.75 2038 Totals 56,588.83 7,705.27 48,883.56 19 09/21/2039 56,588.83 5,261.09 51,327.74 53,894.01 2039 Totals 56,588.83 5,261.09 51,327.74 20 09/21/2040 56,588.83 2,694.82 53,894.01 0.00 2040 Totals 56,588.83 2,694.82 53,894.01 Grand Totals 1,018,598.94 418,598.94 600,000.00 Last interest amount increased by 0.12 due to rounding. Page 2 of 3 02/08/2022 6:03 PM Hartshorn Marina Village ANNUAL FINANCE Amount Financed Total of Payments PERCENTAGE CHARGE RATE The amount of credit The amount you will The dollar amount the provided to you or on have paid after you credit will cost you. your behalf. have made all The cost of your credit payments as as a yearly rate. scheduled. 5.000% $418,598.94 $600,000.00 $1,018,598.94 Page 3 of 3 Agenda Item Review Form Muskegon City Commission Commission Meeting Date: February 22, 2022 Title: Deficit Elimination Plan – BRA – Hartshorn Village Submitted By: Kenneth Grant Department: Finance Brief Summary: To approve the Deficit Elimination plan and resolution for the Brownfield Redevelopment Authority (combined) and direct staff to submit plan to the State of Michigan Detailed Summary: At June 30, 2021 the Brownfield Redevelopment Authority (combined) had a $567,040 deficit. Act 275 of Public Acts of 1980 requires the City to formulate a deficit elimination plan and submit it to the Michigan Department of Treasury. The deficit elimination plan and resolution for the Brownfield Redevelopment Authority are attached. Amount Requested: Amount Budgeted: Fund(s) or Account(s): Fund(s) or Account(s): Recommended Motion: To approve the deficit elimination resolution for the Brownfield Redevelopment Authority Fund. Check if the following Departments need to approve the item first: Police Dept. Fire Dept. IT Dept. For City Clerk Use Only: Commission Action: DEFICIT ELIMINATION PLAN City of Muskegon State ID Number 61-2020 Brownfield Redevelopment Authority (Hartshorn Village) February 22, 2022 At June 30, 2021 the City of Muskegon’s Brownfield Redevelopment Authority (combined) had a deficit of $567,040. Last year the Hartshorn Village Brownfield received $600,000 from the General Fund to cover the initial costs of the infrastructure. The $600,000 came from our 2020 Capital Improvement Bond. The General Fund is set up to pay off the bond debt. However, the Hartshorn Village Brownfield must pay back the $600,000 plus interest to the General Fund. The $600,000 City expenses will be the first repaid via Brownfield tax capture. The official Brownfield Repayment allows us to move the $600,000 from a current liability to a long-term liability (advances from primary government). CITY OF MUSKEGON BROWNFIELD REDEVLOPMENT AUTHORITIES CORRECTED FY2020-21 FY2021-22 ASSETS Cash and Investments $ 105,942 100,000 Total Assets $ 105,942 $ 100,000 LIABILITIES Accounts Payable $ 20,550 $ 20,000 Accrued Liabilities Due to primary government $ 652,132 $ 50,000 Advances from primary government $ 593,307 $ 1,110,000 Total Liabilities $ 1,265,989 $ 1,180,000 FUND BALANCES (DEFICIT) Unassigned $ (1,160,047) $ (1,080,000) Total Liabilities and fund balances $ 105,942 $ 100,000 CITY OF MUSKEGON MUSKEGON COUNTY, MICHIGAN RESOLUTION NO.______________ WHEREAS City of Muskegon’s Brownfield Redevelopment Authority (combined) had a $567,040 deficit balance June 30, 2021; and WHEREAS, Act 275 of the Public Acts of 1980 requires that a Deficit Elimination Plan be formulated by the local unit of government and filed with the Michigan Department of Treasury: NOW THEREFORE, IT IS RESOLVED that the City Commission of the City of Muskegon adopts the following as the City of Muskegon’s Brownfield Redevelopment Authority (combined) Deficit Elimination Plan. CITY OF MUSKEGON BROWNFIELD REDEVLOPMENT AUTHORITIES CORRECTED FY2020-21 FY2021-22 ASSETS Cash and Investments $ 105,942 100,000 Total Assets $ 105,942 $ 100,000 LIABILITIES Accounts Payable $ 20,550 $ 20,000 Accrued Liabilities Due to primary government $ 652,132 $ 50,000 Advances from primary government $ 593,307 $ 1,110,000 Total Liabilities $ 1,265,989 $ 1,180,000 FUND BALANCES (DEFICIT) Unassigned $ (1,160,047) $ (1,080,000) Total Liabilities and fund balances $ 105,942 $ 100,000 Adopted this _______day of February 2022 By:__________________________________ Ken Johnson Its Mayor By:__________________________________ Ann Marie Meisch, MMC Its Clerk CERTIFICATION This resolution was adopted at a regular meeting of the City commission, held on February 22, 2022. The meeting was properly held and noticed pursuant to Open Meetings Act of the State of Michigan, Act 267 of the Public Acts of 1967. CITY OF MUSKEGON By: ________________________________ Ann Marie Meisch, MMC City Clerk Agenda Item Review Form Muskegon City Commission Commission Meeting Date: February 22, 2022 Title: Development Agreement Williams Construction Submitted By: Jake Eckholm Department: Dev. Svcs/Economic Dev. Brief Summary: Staff is seeking approval of the attached development agreement. Detailed Summary. Williams Construction was selected as one of four contractors for the ARPA- funded infill housing program. The goal of the program is to continue in-filling vacant lots in our core neighborhoods while ensuring the housing units are offered in a more-affordable manner. There is not crystal-clear guidance from the US Treasury related to required level of affordability, but we expect that a portion of the homes will be designated to families with incomes between 60% and 80% of AMI. The City will maintain ownership of the infill sites throughout the construction process, and will control the sale process. The City Commission will vote on each formal sale at the time of the sale – similarly to the Midtown Square projects. This will allow the City Commission more discretion in determining the depth of the affordability component of the program. The most notable change from the model agreement previously presented to the City Commission in 2021 is the anticipated cost per house. We have raised the maximum to $235,000 to address increases in materials. Access to housing at all levels of affordability is difficult now. We are in a prime position to lead the county in new housing, and I recommend that we do so. Note that the addresses are not included. There are hundreds of addresses to select from, but many were acquired via the tax foreclosure process and have title issues to address. Staff feels comfortable working with the builder to identify the most-appropriate building sites that have clear title. Amount Requested: $750,000 Amount Budgeted: N/A Fund(s) or Account(s): State/Federal Grants Fund(s) or Account(s): N/A Recommended Motion: Approve the agreement and authorize the City Manager to sign. WEST UBAN PROPERTIES ARP INFILL HOUSING DEVELOPMENT AGREEMENT RESIDENTIAL CONSTRUCTION AGREEMENT This ARP InFill Housing Development Agreement (the “Agreement”) is between the City of Muskegon, of 933 Terrace Street, Muskegon, MI 49441 (“Owner”) and Williams Construction, a Michigan Sole Proprietorship, whose address is 1482 Morgan Street, Muskegon, Michigan 49442 (Builder”). Background Builder and Owner agree that Builder shall construct 6 single family residences (the "Residences") for Owner on the terms and conditions set forth in this Agreement and in the general conditions attached as Exhibit A ("General Conditions"). Builder will be paid by Owner from funds obtained by Owner pursuant to the American Rescue Plan (“ARP Funds”). As such, there are limitations on potential Buyers of the residences exist and will be more formally declared by the federal government in the future. The parties agree as follows: 1. Building Site. Owner owns the building sites located in the City of Muskegon and described on Exhibit B (the "Properties"). Owner has agreed to hire Builder to build the Residences on the Properties. 2. The Residence. Builder and City staff shall agree, in writing, as to the materials, floor plan design, and all cost impacting details, and the construction cost for each of the Properties attached as Exhibit B. Each Property shall have a not to exceed construction cost of $235,000. Allowances provided for certain items, such as carpeting, light fixtures, window treatments, etc., and shall be set forth in the above referenced document. for The Price may change in the event Builder and Owner agree to change orders, modifications or extras as defined below. Builder shall build the Residences in accordance with the mutually agreed to plans and specifications. Any features of the Residence that are not explicitly described in the Plans shall be determined in the sole discretion of Builder. For example, unless specifically set forth on the Plans, the location of all electrical outlets shall be as determined by Builder. 3. Price. The price for constructing the Residences as determined in Paragraph 2 above shall be paid one half by Owner and one half by Builder. As to Owner’s obligations, Owner shall establish the “ARP In Fill Housing Fund – Williams ” (“Fund”) and deposit $750,000 into that Fund. All monies owed by Owner to Builder pursuant to this Agreement shall be paid from the Fund. Owner shall have no obligation to pay any monies to Builder pursuant to this Agreement from any other source of funds. Upon termination of this Agreement or construction of all Residences provided for pursuant this Agreement, all monies left in the Fund shall revert to the Owner. Page 1 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\10B_WILLIAMS CONSTRUCTION ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX In the event the actual cost of any allowance exceeds the estimated amount ("Additional Allowance Amount"), Owner shall pay the Additional Allowance Amount within 30 days of Builder's invoice. No Additional Allowance Amount shall be billed through Builder without the express prior written consent of Builder. 4. Costs Included. The Price shall include the cost of the building permits and materials purchased and installed in the Residences. Owner shall waive or pay for all water and sewer connection fees and Builder shall be responsible for all other fees, specifically including mechanical, plumbing, electrical and any other construction and building permit fees. 5. Payment of the Price. Builder shall be responsible for 50% of the purchase price for each residence. As to the remaining 50% of the purchase price Owner shall pay in accordance with the following schedule ("Payment Schedule"): a. Foundation installed................................. 25% of the Owner’s portion of the Price b Roof sheeting installed.............................35% of the Owner’s portion of the Price c Plaster or drywall installed....................... 30% of the Owner’s portion of the Price d Substantial completion/certificate of occupancy.......................Balance due in full 6. Modifications/Extras. No modifications to the Plans ("Modifications") or requests for additional construction ("Extras") the cost of which exceeds $200 shall be binding upon either party, unless the Modifications and/or Extras are set forth on a written change order that is signed by Builder and City Manager for Owner ("Change Order"). The Change Order must provide a detailed description of the Modifications and/or Extras and the cost or credit to be charged. In those instances where a Change Order increases or decreases the Price by more than $200 ("Adjusted Price"), the Adjusted Price shall be paid according to the remaining portion of the Payment Schedule. 7. Minor Modifications. Builder and Owner may from time to time agree on minor modifications, the cost for which is less than $200 ("Minor Modifications"). Minor Modifications may be made either in writing or by a verbal agreement between Builder and City Manager for Owner. The cost or credit for Minor Modifications shall be added to or credited against the Price and paid according to the remaining portion of the Payment Schedule. 8. Possession. Owner shall be entitled to possession of the Residence upon payment of the Price or Adjusted Price in full. Upon payment in full, Builder shall deliver to Owner a completed sworn statement and a full unconditional waiver of lien. Payment of the Price or Adjusted Price by Owner shall constitute the acceptance of the Residence and a waiver of all known claims of Owner against Builder. 9. Failure to Pay. If Owner fails to make a payment within 30 days from the date due, Builder may, upon written notice to Owner, terminate this Agreement and recover from Owner the Owner’s portion of the Price if the Residence is complete or, if the Residence is not complete, the 50% of the fair market value for all work performed by Builder and any laborer or sub-contractor of Builder and 50% of the actual cost of all materials provided and for any loss sustained by Builder in connection with the construction of the Residence, including, but not limited to, lost profits in connection. Notwithstanding the foregoing, Builder, in the event Owner Page 2 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\10B_WILLIAMS CONSTRUCTION ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX fails to make the required payments, reserves the right to complete the Residence and Owner shall pay 50% of the Price in full. 10. Estimated Completion Date. Builder shall commence construction of the Residences within 60 days from the date this Agreement is fully executed. ("Commencement Date"). Builder shall endeavor to complete the Residences within 365 days of the Commencement Date ("Completion Date"). Provided, that both the Commencement Date and the Completion Date may be extended as a result of circumstances beyond the control of Builder, including, but not limited to, delays caused by suppliers or subcontractors, delays for utility hook-ups, Acts of God, labor disputes, governmental inspections, regulations, or permit processes, material back orders, Owner requests for Change Orders, fire, injury or disability to Builder or weather. 11. Sale of Properties. Owner is using ARP funds for its portion of the construction costs. As such, Owner shall comply with all applicable rules implementing the ARP program, in particular all Buyers shall have income levels under 120% of the Area Median Income (AMI) for Muskegon County, as defined by the Michigan State Housing Development Authority (“MSHDA”). Owner shall be responsible for verifying Buyer’s eligibility and income to ensure Buyer’s qualifications to participate as a Buyer. Owner shall maintain ownership of the Properties described in Exhibit B during the construction and marketing period. Once Builder has been reimbursed its portion of the Construction costs of a Property, City may sell the Property free and clear of any obligations imposed by this Agreement. 12. Sale Proceeds. Upon sale of a Property to the extent that Builder has not already been reimbursed its cost of construction, Builder shall be reimbursed its cost of construction. Owner may use the balance of the proceeds for any purpose or deposit in the City of Muskegon Public Improvement Fund or any other fund so specified by the Muskegon City Commission. Page 3 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\10B_WILLIAMS CONSTRUCTION ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX 13. General Conditions. This Agreement is subject to and includes all of the General Conditions attached to this Agreement as Exhibit A and Warranty attached to this Agreement as Exhibit C. Builder - ______________________ Dated: ___________ ___, ______ ____________________________________ Owner - Dated: ____________ ___, _______ ____________________________________ Dated: ____________ ___, _______ ____________________________________ Page 4 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\10B_WILLIAMS CONSTRUCTION ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX EXHIBIT A GENERAL CONDITIONS 1. Evidence of Credit. Builder's obligation to commence construction of the Residences is expressly conditioned on Owner depositing $750,000 into the ARP In-Fill Housing Fund – Williams Construction ("Credit Evidence"). Payments required by the Payment Schedule shall be made by Owner directly to Builder within five days after presentation of a proper partial unconditional waiver of lien, request for payment, and sworn statements before making payments at each stage of completion as required above. Builder shall not under any circumstances be required to waive any future lien rights that it may have by reason of work and/or materials thereafter furnished. 2. Builder's Warranties. Refer to attached Exhibit C “Limited Warranty.” 3. Owner's Warranties. Owner covenants and warrants that the Property is owned by Owner in fee simple, free and clear of all liens. Owner shall locate the exact location of the Residence on the Property. All corners of the Property and the Residence shall be clearly marked with surveyor stakes. Owner covenants and agrees that such location is in compliance with all applicable federal, state and local rules and regulations, including, but not limited to, building restrictions, set-back requirements, sand dune and wetland laws, and regulations and zoning ordinances. 4. License. Builder is a residential builder and a residential maintenance and alteration contractor and is required to be licensed under article 24 of Act 299 of the Public Acts of 1980, as amended, being sections 339.2401 to 399.2412 of the Michigan Compiled Laws. An electrician is required to be licensed under Act No. 217 of the Public Acts of 1956, as amended, being sections 338.881 to 338.892 of the Michigan Compiled Laws. A Plumber is required to be licensed under Act No. 266 of the Public Acts of 1929, as amended being sections 338.901 to 338.917 of the Michigan Compiled Laws. Builder is licensed by the State of Michigan as a licensed Michigan Contractor and maintains its license in good standing. Builder's License and ID numbers are and , respectively. 5. Laws, Ordinances and Regulations. In connection with the construction of the Residence, Builder shall meet and comply with all applicable laws, ordinances, and regulations. 6. Notice of Commencement. Owner shall deliver a Notice of Commencement in accordance with the Michigan Construction Lien Act within ten days of this Agreement. 7. Diligent Pursuit. Builder shall diligently pursue its obligations under this Agreement. If Owner believes that Builder has failed to comply with this paragraph, it shall provide Builder not less than 15 days written notice of such non-compliance, a list of Owner's specific complaints, and a reasonable time within which Builder shall cure any such reasonable complaints. Until Owner fully complies with the notice provisions set forth in this paragraph, Owner may not replace Builder with any other party to complete construction and may not deduct from the Price any amount paid by Owner to complete construction in accordance with the Plans. 8. Insurance. Builder shall carry public liability insurance with coverage limits not less than $300,000 single-limit coverage and worker's compensation insurance in an amount not less than the statutory minimum. Such policies shall name Owner and their mortgagee as additional named insured. Builder shall provide Owner with evidence of such insurance upon request. Owner and Builder waive all Page 5 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\10B_WILLIAMS CONSTRUCTION ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX rights against each other for damages caused by fire or other perils to the extent covered by insurance provided under this paragraph. 9. Miscellaneous. a. Applicable Law. This Agreement is executed in, shall be governed by, and construed and interpreted in accordance with the laws of the State of Michigan. b. Entire Agreement. This writing shall constitute the entire Agreement, and shall supersede any other Agreements, written or oral, that may have been made or entered into by the parties with respect to the subject matter hereof and shall not be modified or amended, except in a subsequent writing signed by the party against whom enforcement thereof is sought. c. Binding Effect. This Agreement shall be binding upon, inure to the benefit of, and be enforceable by the parties and their respective legal representatives, successors, and assigns. d. Full Execution. This Agreement requires the signature of both parties. Until fully executed on a single copy or in counterparts, this Agreement is of no binding force or effect, and if not fully executed, this Agreement is void. e. Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original as against any party whose signature appears thereon, and all of which together shall constitute one and the same instrument. This Agreement shall become binding upon the parties when one or more counterparts, individually or taken together, shall bear the signatures of all parties. f. Non-Waiver. No waiver by any party of any provision of this Agreement shall constitute a waiver by such party of such provision on any other occasion or a waiver by such party of any other provision of the Agreement. g. Severability. Should any one or more of the provisions of this Agreement be determined to be invalid, unlawful, or unenforceable in any respect, the validity, legality, and enforceability of the remaining provisions shall not in any way be impaired or affected. h. No Discrimination. Discrimination on the basis of religion, race, creed, color, national origin, age, sex, marital status, or handicapped condition by either party in respect to the construction of the Residence is prohibited. i. Assignment or Delegation. Neither Builder nor Owner may assign all or any part of this Agreement. Provided, that Builder may delegate all or any part of its obligations to perform the services under this Agreement, to any persons or entities that Builder, in its sole discretion, deems appropriate, including sub-contractors. Such delegation shall be at the sole expense of Builder unless otherwise provided. j. Notices. All required or permitted written notices shall be deemed effective and duly given when: (i) personally delivered; (ii) sent by telephone facsimile; (iii) one day after depositing in the custody of a nationally recognized receipted overnight delivery service; or (iv) two days after posting in the U.S. first class, registered or certified mail, postage prepaid, to the recipient party at the address as set forth at the outset of this Agreement, or to such other address Page 6 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\10B_WILLIAMS CONSTRUCTION ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX as the recipient party shall have furnished to the sender in accordance with the requirements for the giving of notice. k. Pronouns. For convenience, Owner has been referred to this Agreement sometimes in the singular and at other times in the plural. Builder - Dated: ___________ ___, _____ ____________________________________ Owner - Dated: ___________ ___, _____ ____________________________________ Dated: ___________ ___, _____ ____________________________________ Page 7 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\10B_WILLIAMS CONSTRUCTION ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX EXHIBIT B Property Addresses, Plans and Specifications, and Construction Cost O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\10B_WILLIAMS CONSTRUCTION ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX EXHIBIT C LIMITED WARRANTY These are additional terms to the New Home Construction Agreement between the undersigned Buyer and Owner. At the time of closing, Owner shall enjoy a limited warranty on the New Home which contains the following terms: LIMITED WARRANTY NOTE: CONSEQUENTIAL AND INCIDENTAL DAMAGES ARE EXCLUDED AND THERE ARE LIMITATIONS IN THE DURATION OF IMPLIED WARRANTIES. 1. Term. The terms of the various coverages of this warranty begin on the date of closing or the date of the Certificate of Occupancy issued by the Building Department, whichever comes first. 2. Coverage. Builder warrants that all construction related to the New Home has been in substantial conformity with the plans and specifications and change orders for the New Home under the New Home Construction Agreement. Within one (1) year from the date of certificate of occupancy, Builder will repair or replace, at the Builder's option, any latent defects in material or workmanship of the New Home. All workmanship and materials shall satisfy the standards of construction described in the current version of The Residential Construction Performance Guidelines -- For Professional Builders and Remodelers, published by the National Association of Home Builders (the "Guidelines"). A latent defect is defined as one which was not apparent/ascertainable at the time of occupancy. The owner agrees to accept a reasonable match in any repair or replacement in the event the original item is no longer available. If any latent defects in material or workmanship results in water, mold, insect or animal infestation, or damage from any other agent, Builder’s responsibility will be limited to repairing or replacing the portions of the dwelling which allowed water, mold, insects, animals, or other agents to enter or occupy the New Home. Builder is not responsible for any damages caused by water, mold, insect or animal infestation, or damage by some other agent, that may be associated with defects in our construction, to include but not be limited to property damage, personal injury, loss of income, emotional distress, death, loss of use, loss of value, and adverse health effects, or any other effects. 3. Manufacturers' Warranties. Builder assigns and passes through to Owner, to the extent they are assignable, the manufacturers' warranties on all appliances and equipment. The following are examples of such appliances and equipment, though not every home includes all of these items and some homes may include appliances or equipment not in this list: refrigerator, range, space heater, washing machine, dishwasher, garbage disposal, ventilating, attic fan, and air conditioner. 4. Exclusions from Coverage. WE DO NOT ASSUME RESPONSIBILITY FOR ANY OF THE FOLLOWING, ALL OF WHICH ARE EXCLUDED FROM THE COVERAGE OF THIS LIMITED WARRANTY: (a) Consequential or incidental damages, including but not limited to claims asserting a diminution in the value of the dwelling, or damages arising from the presence of insect or animal infestation, mold, or other biological agents in or about the dwelling. (b) Defects in appliances and equipment that are covered by manufacturers' warranties. (We have assigned these manufacturers' warranties to you, to the extent they are assignable, and you should follow the procedures in these warranties if defects appear in these items.) (c) Damage resulting from fires, floods, storms, electrical malfunctions, accidents, acts of God; or damages from alterations, misuse or abuse of the covered items by any person; or damage resulting from the owner's failure to observe any operating instructions furnished by the builder at the time of O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\10B_WILLIAMS CONSTRUCTION ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX installation; or damage resulting from a malfunction of telephone, gas company, power company, or water company equipment or lines. (d) Damage due to ordinary wear and tear, abusive use, or lack of proper maintenance of your home, or animals/pets. (e) Defects that are the results of characteristics common to the materials used, such as (but not limited to) warping and deflection of wood, fading, chalking, and checking of paint due to sunlight; cracks due to drying and curing of concrete, stucco, plaster, bricks, and masonry; drying, shrinking and cracking of caulking and weather-stripping. (f) Defects in items purchased or installed by you or anyone else except us or, if requested by us, our subcontractors. (g) Work done by you or anyone else except us or, if requested by us, our subcontractors. (h) Conditions resulting from condensation on, or expansion or contraction of, materials. (i) Paint applied over newly plastered interior walls. 5. No Other Warranties. This Limited Warranty is the only express warranty given by Builder. Implied warranties, including but not limited to warranties of merchantability, fitness for a particular purpose, habitability, and good workmanship are expressly excluded, or to the extent not excludable by law, limited to the warranty period set forth above. This Limited Warranty gives you specific legal rights, and you may also have other rights. 6. Claims Procedure. If a defect appears that you think is covered by this Limited Warranty, you must write a letter describing it to our office and email it to us. You must tell us in your letter what times during the day you will be at home, so that we can schedule service calls appropriately. If delay will cause extra damage (e.g., if a pipe has burst) telephone us. Only emergency reports will be taken by phone. 7. Repairs. Upon receipt of your written report of a defect, if the defective item is covered by this warranty, we will repair or replace it at no charge to you within 60 days (longer if weather conditions, labor problems, or material shortages cause delays). The work will be done by us or subcontractors chosen by us. The choice between repair or replacement is ours. 8. Not Transferable. This Limited Warranty is extended to you only if you are the first purchaser of the home. When the first purchaser sells the home or moves out of it, this Limited Warranty automatically terminates. It is not transferable to subsequent purchasers of the home. 9. This is the Only Warranty Given by Builder. Owner acknowledges that he/she/they has/have thoroughly examined the property to be conveyed and relies solely on his judgment in signing this Limited Warranty, and that there are no guarantees, warranties, understandings, or representations made by Builder, or any representatives of Builder, that are not set forth in this document. BUILDER OWNER _______________________________ ___________________________________ O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\10B_WILLIAMS CONSTRUCTION ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX Agenda Item Review Form Muskegon City Commission Commission Meeting Date: February 22, 2022 Title: Development Agreement LRS Enterprises Submitted By: Jake Eckholm Department: Dev. Svcs/Economic Dev. Brief Summary: Staff is seeking approval of the attached development agreement. Detailed Summary. LRS Enterprises was selected as one of four contractors for the ARPA-funded infill housing program. The goal of the program is to continue in-filling vacant lots in our core neighborhoods while ensuring the housing units are offered in a more-affordable manner. There is not crystal-clear guidance from the US Treasury related to required level of affordability, but we expect that a portion of the homes will be designated to families with incomes between 60% and 80% of AMI. The City will maintain ownership of the infill sites throughout the construction process, and will control the sale process. The City Commission will vote on each formal sale at the time of the sale – similarly to the Midtown Square projects. This will allow the City Commission more discretion in determining the depth of the affordability component of the program. The most notable change from the model agreement previously presented to the City Commission in 2021 is the anticipated cost per house. We have raised the maximum to $235,000 to address increases in materials. Access to housing at all levels of affordability is difficult now. We are in a prime position to lead the county in new housing, and I recommend that we do so. Note that the addresses are not included. There are hundreds of addresses to select from, but many were acquired via the tax foreclosure process and have title issues to address. Staff feels comfortable working with the builder to identify the most-appropriate building sites that have clear title. Amount Requested: $750,000 Amount Budgeted: N/A Fund(s) or Account(s): State/Federal Grants Fund(s) or Account(s): N/A Recommended Motion: Approve the agreement and authorize the City Manager to sign. LRS ENTERPRISES ARP INFILL HOUSING DEVELOPMENT AGREEMENT RESIDENTIAL CONSTRUCTION AGREEMENT This ARP InFill Housing Development Agreement (the “Agreement”) is between the City of Muskegon, of 933 Terrace Street, Muskegon, MI 49441 (“Owner”) and LRS Enterprises, a Michigan Limited Liability Company, whose address is 525 South Dangl Road, Muskegon, Michigan 49442 (Builder”). Background Builder and Owner agree that Builder shall construct 6 single family residences (the "Residences") for Owner on the terms and conditions set forth in this Agreement and in the general conditions attached as Exhibit A ("General Conditions"). Builder will be paid by Owner from funds obtained by Owner pursuant to the American Rescue Plan (“ARP Funds”). As such, there are limitations on potential Buyers of the residences exist and will be more formally declared by the federal government in the future. The parties agree as follows: 1. Building Site. Owner owns the building sites located in the City of Muskegon and described on Exhibit B (the "Properties"). Owner has agreed to hire Builder to build the Residences on the Properties. 2. The Residence. Builder and City staff shall agree, in writing, as to the materials, floor plan design, and all cost impacting details, and the construction cost for each of the Properties attached as Exhibit B. Each Property shall have a not to exceed construction cost of $235,000. Allowances provided for certain items, such as carpeting, light fixtures, window treatments, etc., and shall be set forth in the above referenced document. for The Price may change in the event Builder and Owner agree to change orders, modifications or extras as defined below. Builder shall build the Residences in accordance with the mutually agreed to plans and specifications. Any features of the Residence that are not explicitly described in the Plans shall be determined in the sole discretion of Builder. For example, unless specifically set forth on the Plans, the location of all electrical outlets shall be as determined by Builder. 3. Price. The price for constructing the Residences as determined in Paragraph 2 above shall be paid one half by Owner and one half by Builder. As to Owner’s obligations, Owner shall establish the “ARP In Fill Housing Fund – LRS ” (“Fund”) and deposit $750,000 into that Fund. All monies owed by Owner to Builder pursuant to this Agreement shall be paid from the Fund. Owner shall have no obligation to pay any monies to Builder pursuant to this Agreement from any other source of funds. Upon termination of this Agreement or construction of all Residences provided for pursuant this Agreement, all monies left in the Fund shall revert to the Owner. Page 1 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\11B_LRS ENTERPRISES ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX In the event the actual cost of any allowance exceeds the estimated amount ("Additional Allowance Amount"), Owner shall pay the Additional Allowance Amount within 30 days of Builder's invoice. No Additional Allowance Amount shall be billed through Builder without the express prior written consent of Builder. 4. Costs Included. The Price shall include the cost of the building permits and materials purchased and installed in the Residences. Owner shall waive or pay for all water and sewer connection fees and Builder shall be responsible for all other fees, specifically including mechanical, plumbing, electrical and any other construction and building permit fees. 5. Payment of the Price. Builder shall be responsible for 50% of the purchase price for each residence. As to the remaining 50% of the purchase price Owner shall pay in accordance with the following schedule ("Payment Schedule"): a. Foundation installed................................. 25% of the Owner’s portion of the Price b Roof sheeting installed.............................35% of the Owner’s portion of the Price c Plaster or drywall installed....................... 30% of the Owner’s portion of the Price d Substantial completion/certificate of occupancy.......................Balance due in full 6. Modifications/Extras. No modifications to the Plans ("Modifications") or requests for additional construction ("Extras") the cost of which exceeds $200 shall be binding upon either party, unless the Modifications and/or Extras are set forth on a written change order that is signed by Builder and City Manager for Owner ("Change Order"). The Change Order must provide a detailed description of the Modifications and/or Extras and the cost or credit to be charged. In those instances where a Change Order increases or decreases the Price by more than $200 ("Adjusted Price"), the Adjusted Price shall be paid according to the remaining portion of the Payment Schedule. 7. Minor Modifications. Builder and Owner may from time to time agree on minor modifications, the cost for which is less than $200 ("Minor Modifications"). Minor Modifications may be made either in writing or by a verbal agreement between Builder and City Manager for Owner. The cost or credit for Minor Modifications shall be added to or credited against the Price and paid according to the remaining portion of the Payment Schedule. 8. Possession. Owner shall be entitled to possession of the Residence upon payment of the Price or Adjusted Price in full. Upon payment in full, Builder shall deliver to Owner a completed sworn statement and a full unconditional waiver of lien. Payment of the Price or Adjusted Price by Owner shall constitute the acceptance of the Residence and a waiver of all known claims of Owner against Builder. 9. Failure to Pay. If Owner fails to make a payment within 30 days from the date due, Builder may, upon written notice to Owner, terminate this Agreement and recover from Owner the Owner’s portion of the Price if the Residence is complete or, if the Residence is not complete, the 50% of the fair market value for all work performed by Builder and any laborer or sub-contractor of Builder and 50% of the actual cost of all materials provided and for any loss sustained by Builder in connection with the construction of the Residence, including, but not limited to, lost profits in connection. Notwithstanding the foregoing, Builder, in the event Owner Page 2 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\11B_LRS ENTERPRISES ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX fails to make the required payments, reserves the right to complete the Residence and Owner shall pay 50% of the Price in full. 10. Estimated Completion Date. Builder shall commence construction of the Residences within 60 days from the date this Agreement is fully executed. ("Commencement Date"). Builder shall endeavor to complete the Residences within 365 days of the Commencement Date ("Completion Date"). Provided, that both the Commencement Date and the Completion Date may be extended as a result of circumstances beyond the control of Builder, including, but not limited to, delays caused by suppliers or subcontractors, delays for utility hook-ups, Acts of God, labor disputes, governmental inspections, regulations, or permit processes, material back orders, Owner requests for Change Orders, fire, injury or disability to Builder or weather. 11. Sale of Properties. Owner is using ARP funds for its portion of the construction costs. As such, Owner shall comply with all applicable rules implementing the ARP program, in particular all Buyers shall have income levels under 120% of the Area Median Income (AMI) for Muskegon County, as defined by the Michigan State Housing Development Authority (“MSHDA”). Owner shall be responsible for verifying Buyer’s eligibility and income to ensure Buyer’s qualifications to participate as a Buyer. Owner shall maintain ownership of the Properties described in Exhibit B during the construction and marketing period. Once Builder has been reimbursed its portion of the Construction costs of a Property, City may sell the Property free and clear of any obligations imposed by this Agreement. 12. Sale Proceeds. Upon sale of a Property to the extent that Builder has not already been reimbursed its cost of construction, Builder shall be reimbursed its cost of construction. Owner may use the balance of the proceeds for any purpose or deposit in the City of Muskegon Public Improvement Fund or any other fund so specified by the Muskegon City Commission. Page 3 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\11B_LRS ENTERPRISES ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX 13. General Conditions. This Agreement is subject to and includes all of the General Conditions attached to this Agreement as Exhibit A and Warranty attached to this Agreement as Exhibit C. Builder - ______________________ Dated: ___________ ___, ______ ____________________________________ Owner - Dated: ____________ ___, _______ ____________________________________ Dated: ____________ ___, _______ ____________________________________ Page 4 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\11B_LRS ENTERPRISES ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX EXHIBIT A GENERAL CONDITIONS 1. Evidence of Credit. Builder's obligation to commence construction of the Residences is expressly conditioned on Owner depositing $750,000 into the ARP In-Fill Housing Fund – LRS Construction ("Credit Evidence"). Payments required by the Payment Schedule shall be made by Owner directly to Builder within five days after presentation of a proper partial unconditional waiver of lien, request for payment, and sworn statements before making payments at each stage of completion as required above. Builder shall not under any circumstances be required to waive any future lien rights that it may have by reason of work and/or materials thereafter furnished. 2. Builder's Warranties. Refer to attached Exhibit C “Limited Warranty.” 3. Owner's Warranties. Owner covenants and warrants that the Property is owned by Owner in fee simple, free and clear of all liens. Owner shall locate the exact location of the Residence on the Property. All corners of the Property and the Residence shall be clearly marked with surveyor stakes. Owner covenants and agrees that such location is in compliance with all applicable federal, state and local rules and regulations, including, but not limited to, building restrictions, set-back requirements, sand dune and wetland laws, and regulations and zoning ordinances. 4. License. Builder is a residential builder and a residential maintenance and alteration contractor and is required to be licensed under article 24 of Act 299 of the Public Acts of 1980, as amended, being sections 339.2401 to 399.2412 of the Michigan Compiled Laws. An electrician is required to be licensed under Act No. 217 of the Public Acts of 1956, as amended, being sections 338.881 to 338.892 of the Michigan Compiled Laws. A Plumber is required to be licensed under Act No. 266 of the Public Acts of 1929, as amended being sections 338.901 to 338.917 of the Michigan Compiled Laws. Builder is licensed by the State of Michigan as a licensed Michigan Contractor and maintains its license in good standing. Builder's License and ID numbers are and , respectively. 5. Laws, Ordinances and Regulations. In connection with the construction of the Residence, Builder shall meet and comply with all applicable laws, ordinances, and regulations. 6. Notice of Commencement. Owner shall deliver a Notice of Commencement in accordance with the Michigan Construction Lien Act within ten days of this Agreement. 7. Diligent Pursuit. Builder shall diligently pursue its obligations under this Agreement. If Owner believes that Builder has failed to comply with this paragraph, it shall provide Builder not less than 15 days written notice of such non-compliance, a list of Owner's specific complaints, and a reasonable time within which Builder shall cure any such reasonable complaints. Until Owner fully complies with the notice provisions set forth in this paragraph, Owner may not replace Builder with any other party to complete construction and may not deduct from the Price any amount paid by Owner to complete construction in accordance with the Plans. 8. Insurance. Builder shall carry public liability insurance with coverage limits not less than $300,000 single-limit coverage and worker's compensation insurance in an amount not less than the statutory minimum. Such policies shall name Owner and their mortgagee as additional named insured. Builder shall provide Owner with evidence of such insurance upon request. Owner and Builder waive all Page 5 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\11B_LRS ENTERPRISES ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX rights against each other for damages caused by fire or other perils to the extent covered by insurance provided under this paragraph. 9. Miscellaneous. a. Applicable Law. This Agreement is executed in, shall be governed by, and construed and interpreted in accordance with the laws of the State of Michigan. b. Entire Agreement. This writing shall constitute the entire Agreement, and shall supersede any other Agreements, written or oral, that may have been made or entered into by the parties with respect to the subject matter hereof and shall not be modified or amended, except in a subsequent writing signed by the party against whom enforcement thereof is sought. c. Binding Effect. This Agreement shall be binding upon, inure to the benefit of, and be enforceable by the parties and their respective legal representatives, successors, and assigns. d. Full Execution. This Agreement requires the signature of both parties. Until fully executed on a single copy or in counterparts, this Agreement is of no binding force or effect, and if not fully executed, this Agreement is void. e. Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original as against any party whose signature appears thereon, and all of which together shall constitute one and the same instrument. This Agreement shall become binding upon the parties when one or more counterparts, individually or taken together, shall bear the signatures of all parties. f. Non-Waiver. No waiver by any party of any provision of this Agreement shall constitute a waiver by such party of such provision on any other occasion or a waiver by such party of any other provision of the Agreement. g. Severability. Should any one or more of the provisions of this Agreement be determined to be invalid, unlawful, or unenforceable in any respect, the validity, legality, and enforceability of the remaining provisions shall not in any way be impaired or affected. h. No Discrimination. Discrimination on the basis of religion, race, creed, color, national origin, age, sex, marital status, or handicapped condition by either party in respect to the construction of the Residence is prohibited. i. Assignment or Delegation. Neither Builder nor Owner may assign all or any part of this Agreement. Provided, that Builder may delegate all or any part of its obligations to perform the services under this Agreement, to any persons or entities that Builder, in its sole discretion, deems appropriate, including sub-contractors. Such delegation shall be at the sole expense of Builder unless otherwise provided. j. Notices. All required or permitted written notices shall be deemed effective and duly given when: (i) personally delivered; (ii) sent by telephone facsimile; (iii) one day after depositing in the custody of a nationally recognized receipted overnight delivery service; or (iv) two days after posting in the U.S. first class, registered or certified mail, postage prepaid, to the recipient party at the address as set forth at the outset of this Agreement, or to such other address Page 6 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\11B_LRS ENTERPRISES ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX as the recipient party shall have furnished to the sender in accordance with the requirements for the giving of notice. k. Pronouns. For convenience, Owner has been referred to this Agreement sometimes in the singular and at other times in the plural. Builder - Dated: ___________ ___, _____ ____________________________________ Owner - Dated: ___________ ___, _____ ____________________________________ Dated: ___________ ___, _____ ____________________________________ Page 7 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\11B_LRS ENTERPRISES ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX EXHIBIT B Property Addresses, Plans and Specifications, and Construction Cost O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\11B_LRS ENTERPRISES ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX EXHIBIT C LIMITED WARRANTY These are additional terms to the New Home Construction Agreement between the undersigned Buyer and Owner. At the time of closing, Owner shall enjoy a limited warranty on the New Home which contains the following terms: LIMITED WARRANTY NOTE: CONSEQUENTIAL AND INCIDENTAL DAMAGES ARE EXCLUDED AND THERE ARE LIMITATIONS IN THE DURATION OF IMPLIED WARRANTIES. 1. Term. The terms of the various coverages of this warranty begin on the date of closing or the date of the Certificate of Occupancy issued by the Building Department, whichever comes first. 2. Coverage. Builder warrants that all construction related to the New Home has been in substantial conformity with the plans and specifications and change orders for the New Home under the New Home Construction Agreement. Within one (1) year from the date of certificate of occupancy, Builder will repair or replace, at the Builder's option, any latent defects in material or workmanship of the New Home. All workmanship and materials shall satisfy the standards of construction described in the current version of The Residential Construction Performance Guidelines -- For Professional Builders and Remodelers, published by the National Association of Home Builders (the "Guidelines"). A latent defect is defined as one which was not apparent/ascertainable at the time of occupancy. The owner agrees to accept a reasonable match in any repair or replacement in the event the original item is no longer available. If any latent defects in material or workmanship results in water, mold, insect or animal infestation, or damage from any other agent, Builder’s responsibility will be limited to repairing or replacing the portions of the dwelling which allowed water, mold, insects, animals, or other agents to enter or occupy the New Home. Builder is not responsible for any damages caused by water, mold, insect or animal infestation, or damage by some other agent, that may be associated with defects in our construction, to include but not be limited to property damage, personal injury, loss of income, emotional distress, death, loss of use, loss of value, and adverse health effects, or any other effects. 3. Manufacturers' Warranties. Builder assigns and passes through to Owner, to the extent they are assignable, the manufacturers' warranties on all appliances and equipment. The following are examples of such appliances and equipment, though not every home includes all of these items and some homes may include appliances or equipment not in this list: refrigerator, range, space heater, washing machine, dishwasher, garbage disposal, ventilating, attic fan, and air conditioner. 4. Exclusions from Coverage. WE DO NOT ASSUME RESPONSIBILITY FOR ANY OF THE FOLLOWING, ALL OF WHICH ARE EXCLUDED FROM THE COVERAGE OF THIS LIMITED WARRANTY: (a) Consequential or incidental damages, including but not limited to claims asserting a diminution in the value of the dwelling, or damages arising from the presence of insect or animal infestation, mold, or other biological agents in or about the dwelling. (b) Defects in appliances and equipment that are covered by manufacturers' warranties. (We have assigned these manufacturers' warranties to you, to the extent they are assignable, and you should follow the procedures in these warranties if defects appear in these items.) (c) Damage resulting from fires, floods, storms, electrical malfunctions, accidents, acts of God; or damages from alterations, misuse or abuse of the covered items by any person; or damage resulting from the owner's failure to observe any operating instructions furnished by the builder at the time of O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\11B_LRS ENTERPRISES ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX installation; or damage resulting from a malfunction of telephone, gas company, power company, or water company equipment or lines. (d) Damage due to ordinary wear and tear, abusive use, or lack of proper maintenance of your home, or animals/pets. (e) Defects that are the results of characteristics common to the materials used, such as (but not limited to) warping and deflection of wood, fading, chalking, and checking of paint due to sunlight; cracks due to drying and curing of concrete, stucco, plaster, bricks, and masonry; drying, shrinking and cracking of caulking and weather-stripping. (f) Defects in items purchased or installed by you or anyone else except us or, if requested by us, our subcontractors. (g) Work done by you or anyone else except us or, if requested by us, our subcontractors. (h) Conditions resulting from condensation on, or expansion or contraction of, materials. (i) Paint applied over newly plastered interior walls. 5. No Other Warranties. This Limited Warranty is the only express warranty given by Builder. Implied warranties, including but not limited to warranties of merchantability, fitness for a particular purpose, habitability, and good workmanship are expressly excluded, or to the extent not excludable by law, limited to the warranty period set forth above. This Limited Warranty gives you specific legal rights, and you may also have other rights. 6. Claims Procedure. If a defect appears that you think is covered by this Limited Warranty, you must write a letter describing it to our office and email it to us. You must tell us in your letter what times during the day you will be at home, so that we can schedule service calls appropriately. If delay will cause extra damage (e.g., if a pipe has burst) telephone us. Only emergency reports will be taken by phone. 7. Repairs. Upon receipt of your written report of a defect, if the defective item is covered by this warranty, we will repair or replace it at no charge to you within 60 days (longer if weather conditions, labor problems, or material shortages cause delays). The work will be done by us or subcontractors chosen by us. The choice between repair or replacement is ours. 8. Not Transferable. This Limited Warranty is extended to you only if you are the first purchaser of the home. When the first purchaser sells the home or moves out of it, this Limited Warranty automatically terminates. It is not transferable to subsequent purchasers of the home. 9. This is the Only Warranty Given by Builder. Owner acknowledges that he/she/they has/have thoroughly examined the property to be conveyed and relies solely on his judgment in signing this Limited Warranty, and that there are no guarantees, warranties, understandings, or representations made by Builder, or any representatives of Builder, that are not set forth in this document. BUILDER OWNER _______________________________ ___________________________________ O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\11B_LRS ENTERPRISES ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX Agenda Item Review Form Muskegon City Commission Commission Meeting Date: February 22, 2022 Title: Development Agreement Kramer Builders Submitted By: Jake Eckholm Department: Dev. Svcs/Economic Dev. Brief Summary: Staff is seeking approval of the attached development agreement. Detailed Summary. Kramer Builders was selected as one of four contractors for the ARPA-funded infill housing program. The goal of the program is to continue in-filling vacant lots in our core neighborhoods while ensuring the housing units are offered in a more-affordable manner. There is not crystal-clear guidance from the US Treasury related to required level of affordability, but we expect that a portion of the homes will be designated to families with incomes between 60% and 80% of AMI. The City will maintain ownership of the infill sites throughout the construction process, and will control the sale process. The City Commission will vote on each formal sale at the time of the sale – similarly to the Midtown Square projects. This will allow the City Commission more discretion in determining the depth of the affordability component of the program. The most notable change from the model agreement previously presented to the City Commission in 2021 is the anticipated cost per house. We have raised the maximum to $235,000 to address increases in materials. Access to housing at all levels of affordability is difficult now. We are in a prime position to lead the county in new housing, and I recommend that we do so. Note that the addresses are not included. There are hundreds of addresses to select from, but many were acquired via the tax foreclosure process and have title issues to address. Staff feels comfortable working with the builder to identify the most-appropriate building sites that have clear title. Amount Requested: $470,000 Amount Budgeted: N/A Fund(s) or Account(s): State/Federal Grants Fund(s) or Account(s): N/A Recommended Motion: Approve the agreement and authorize the City Manager to sign. KRAMER ARP INFILL HOUSING DEVELOPMENT AGREEMENT RESIDENTIAL CONSTRUCTION AGREEMENT This ARP InFill Housing Development Agreement (the “Agreement”) is between the City of Muskegon, of 933 Terrace Street, Muskegon, MI 49441 (“Owner”) and Kramer Builders, a Michigan Sole Proprietorship, whose address is 18173 1048th Ave, Spring Lake, MI 49456 (Builder”). Background Builder and Owner agree that Builder shall construct 4 single family residences (the "Residences") for Owner on the terms and conditions set forth in this Agreement and in the general conditions attached as Exhibit A ("General Conditions"). Builder will be paid by Owner from funds obtained by Owner pursuant to the American Rescue Plan (“ARP Funds”). As such, there are limitations on potential Buyers of the residences exist and will be more formally declared by the federal government in the future. The parties agree as follows: 1. Building Site. Owner owns the building sites located in the City of Muskegon and described on Exhibit B (the "Properties"). Owner has agreed to hire Builder to build the Residences on the Properties. 2. The Residence. Builder and City staff shall agree, in writing, as to the materials, floor plan design, and all cost impacting details, and the construction cost for each of the Properties attached as Exhibit B. Each Property shall have a not to exceed construction cost of $235,000. Allowances provided for certain items, such as carpeting, light fixtures, window treatments, etc., and shall be set forth in the above referenced document. for The Price may change in the event Builder and Owner agree to change orders, modifications or extras as defined below. Builder shall build the Residences in accordance with the mutually agreed to plans and specifications. Any features of the Residence that are not explicitly described in the Plans shall be determined in the sole discretion of Builder. For example, unless specifically set forth on the Plans, the location of all electrical outlets shall be as determined by Builder. 3. Price. The price for constructing the Residences as determined in Paragraph 2 above shall be paid one half by Owner and one half by Builder. As to Owner’s obligations, Owner shall establish the “ARP In Fill Housing Fund – Kramer ” (“Fund”) and deposit $470,000 into that Fund. All monies owed by Owner to Builder pursuant to this Agreement shall be paid from the Fund. Owner shall have no obligation to pay any monies to Builder pursuant to this Agreement from any other source of funds. Upon termination of this Agreement or construction of all Residences provided for pursuant this Agreement, all monies left in the Fund shall revert to the Owner. Page 1 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\12B_KRAMER BUILDERS ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX In the event the actual cost of any allowance exceeds the estimated amount ("Additional Allowance Amount"), Owner shall pay the Additional Allowance Amount within 30 days of Builder's invoice. No Additional Allowance Amount shall be billed through Builder without the express prior written consent of Builder. 4. Costs Included. The Price shall include the cost of the building permits and materials purchased and installed in the Residences. Owner shall waive or pay for all water and sewer connection fees and Builder shall be responsible for all other fees, specifically including mechanical, plumbing, electrical and any other construction and building permit fees. 5. Payment of the Price. Builder shall be responsible for 50% of the purchase price for each residence. As to the remaining 50% of the purchase price Owner shall pay in accordance with the following schedule ("Payment Schedule"): a. Foundation installed................................. 25% of the Owner’s portion of the Price b Roof sheeting installed.............................35% of the Owner’s portion of the Price c Plaster or drywall installed....................... 30% of the Owner’s portion of the Price d Substantial completion/certificate of occupancy.......................Balance due in full 6. Modifications/Extras. No modifications to the Plans ("Modifications") or requests for additional construction ("Extras") the cost of which exceeds $200 shall be binding upon either party, unless the Modifications and/or Extras are set forth on a written change order that is signed by Builder and City Manager for Owner ("Change Order"). The Change Order must provide a detailed description of the Modifications and/or Extras and the cost or credit to be charged. In those instances where a Change Order increases or decreases the Price by more than $200 ("Adjusted Price"), the Adjusted Price shall be paid according to the remaining portion of the Payment Schedule. 7. Minor Modifications. Builder and Owner may from time to time agree on minor modifications, the cost for which is less than $200 ("Minor Modifications"). Minor Modifications may be made either in writing or by a verbal agreement between Builder and City Manager for Owner. The cost or credit for Minor Modifications shall be added to or credited against the Price and paid according to the remaining portion of the Payment Schedule. 8. Possession. Owner shall be entitled to possession of the Residence upon payment of the Price or Adjusted Price in full. Upon payment in full, Builder shall deliver to Owner a completed sworn statement and a full unconditional waiver of lien. Payment of the Price or Adjusted Price by Owner shall constitute the acceptance of the Residence and a waiver of all known claims of Owner against Builder. 9. Failure to Pay. If Owner fails to make a payment within 30 days from the date due, Builder may, upon written notice to Owner, terminate this Agreement and recover from Owner the Owner’s portion of the Price if the Residence is complete or, if the Residence is not complete, the 50% of the fair market value for all work performed by Builder and any laborer or sub-contractor of Builder and 50% of the actual cost of all materials provided and for any loss sustained by Builder in connection with the construction of the Residence, including, but not limited to, lost profits in connection. Notwithstanding the foregoing, Builder, in the event Owner Page 2 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\12B_KRAMER BUILDERS ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX fails to make the required payments, reserves the right to complete the Residence and Owner shall pay 50% of the Price in full. 10. Estimated Completion Date. Builder shall commence construction of the Residences within 60 days from the date this Agreement is fully executed. ("Commencement Date"). Builder shall endeavor to complete the Residences within 365 days of the Commencement Date ("Completion Date"). Provided, that both the Commencement Date and the Completion Date may be extended as a result of circumstances beyond the control of Builder, including, but not limited to, delays caused by suppliers or subcontractors, delays for utility hook-ups, Acts of God, labor disputes, governmental inspections, regulations, or permit processes, material back orders, Owner requests for Change Orders, fire, injury or disability to Builder or weather. 11. Sale of Properties. Owner is using ARP funds for its portion of the construction costs. As such, Owner shall comply with all applicable rules implementing the ARP program, in particular all Buyers shall have income levels under 120% of the Area Median Income (AMI) for Muskegon County, as defined by the Michigan State Housing Development Authority (“MSHDA”). Owner shall be responsible for verifying Buyer’s eligibility and income to ensure Buyer’s qualifications to participate as a Buyer. Owner shall maintain ownership of the Properties described in Exhibit B during the construction and marketing period. Once Builder has been reimbursed its portion of the Construction costs of a Property, City may sell the Property free and clear of any obligations imposed by this Agreement. 12. Sale Proceeds. Upon sale of a Property to the extent that Builder has not already been reimbursed its cost of construction, Builder shall be reimbursed its cost of construction. Owner may use the balance of the proceeds for any purpose or deposit in the City of Muskegon Public Improvement Fund or any other fund so specified by the Muskegon City Commission. Page 3 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\12B_KRAMER BUILDERS ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX 13. General Conditions. This Agreement is subject to and includes all of the General Conditions attached to this Agreement as Exhibit A and Warranty attached to this Agreement as Exhibit C. Builder - ______________________ Dated: ___________ ___, ______ ____________________________________ Owner - Dated: ____________ ___, _______ ____________________________________ Dated: ____________ ___, _______ ____________________________________ Page 4 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\12B_KRAMER BUILDERS ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX EXHIBIT A GENERAL CONDITIONS 1. Evidence of Credit. Builder's obligation to commence construction of the Residences is expressly conditioned on Owner depositing $470,000 into the ARP In-Fill Housing Fund – Kramer Construction ("Credit Evidence"). Payments required by the Payment Schedule shall be made by Owner directly to Builder within five days after presentation of a proper partial unconditional waiver of lien, request for payment, and sworn statements before making payments at each stage of completion as required above. Builder shall not under any circumstances be required to waive any future lien rights that it may have by reason of work and/or materials thereafter furnished. 2. Builder's Warranties. Refer to attached Exhibit C “Limited Warranty.” 3. Owner's Warranties. Owner covenants and warrants that the Property is owned by Owner in fee simple, free and clear of all liens. Owner shall locate the exact location of the Residence on the Property. All corners of the Property and the Residence shall be clearly marked with surveyor stakes. Owner covenants and agrees that such location is in compliance with all applicable federal, state and local rules and regulations, including, but not limited to, building restrictions, set-back requirements, sand dune and wetland laws, and regulations and zoning ordinances. 4. License. Builder is a residential builder and a residential maintenance and alteration contractor and is required to be licensed under article 24 of Act 299 of the Public Acts of 1980, as amended, being sections 339.2401 to 399.2412 of the Michigan Compiled Laws. An electrician is required to be licensed under Act No. 217 of the Public Acts of 1956, as amended, being sections 338.881 to 338.892 of the Michigan Compiled Laws. A Plumber is required to be licensed under Act No. 266 of the Public Acts of 1929, as amended being sections 338.901 to 338.917 of the Michigan Compiled Laws. Builder is licensed by the State of Michigan as a licensed Michigan Contractor and maintains its license in good standing. Builder's License and ID numbers are and , respectively. 5. Laws, Ordinances and Regulations. In connection with the construction of the Residence, Builder shall meet and comply with all applicable laws, ordinances, and regulations. 6. Notice of Commencement. Owner shall deliver a Notice of Commencement in accordance with the Michigan Construction Lien Act within ten days of this Agreement. 7. Diligent Pursuit. Builder shall diligently pursue its obligations under this Agreement. If Owner believes that Builder has failed to comply with this paragraph, it shall provide Builder not less than 15 days written notice of such non-compliance, a list of Owner's specific complaints, and a reasonable time within which Builder shall cure any such reasonable complaints. Until Owner fully complies with the notice provisions set forth in this paragraph, Owner may not replace Builder with any other party to complete construction and may not deduct from the Price any amount paid by Owner to complete construction in accordance with the Plans. 8. Insurance. Builder shall carry public liability insurance with coverage limits not less than $300,000 single-limit coverage and worker's compensation insurance in an amount not less than the statutory minimum. Such policies shall name Owner and their mortgagee as additional named insured. Builder shall provide Owner with evidence of such insurance upon request. Owner and Builder waive all Page 5 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\12B_KRAMER BUILDERS ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX rights against each other for damages caused by fire or other perils to the extent covered by insurance provided under this paragraph. 9. Miscellaneous. a. Applicable Law. This Agreement is executed in, shall be governed by, and construed and interpreted in accordance with the laws of the State of Michigan. b. Entire Agreement. This writing shall constitute the entire Agreement, and shall supersede any other Agreements, written or oral, that may have been made or entered into by the parties with respect to the subject matter hereof and shall not be modified or amended, except in a subsequent writing signed by the party against whom enforcement thereof is sought. c. Binding Effect. This Agreement shall be binding upon, inure to the benefit of, and be enforceable by the parties and their respective legal representatives, successors, and assigns. d. Full Execution. This Agreement requires the signature of both parties. Until fully executed on a single copy or in counterparts, this Agreement is of no binding force or effect, and if not fully executed, this Agreement is void. e. Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original as against any party whose signature appears thereon, and all of which together shall constitute one and the same instrument. This Agreement shall become binding upon the parties when one or more counterparts, individually or taken together, shall bear the signatures of all parties. f. Non-Waiver. No waiver by any party of any provision of this Agreement shall constitute a waiver by such party of such provision on any other occasion or a waiver by such party of any other provision of the Agreement. g. Severability. Should any one or more of the provisions of this Agreement be determined to be invalid, unlawful, or unenforceable in any respect, the validity, legality, and enforceability of the remaining provisions shall not in any way be impaired or affected. h. No Discrimination. Discrimination on the basis of religion, race, creed, color, national origin, age, sex, marital status, or handicapped condition by either party in respect to the construction of the Residence is prohibited. i. Assignment or Delegation. Neither Builder nor Owner may assign all or any part of this Agreement. Provided, that Builder may delegate all or any part of its obligations to perform the services under this Agreement, to any persons or entities that Builder, in its sole discretion, deems appropriate, including sub-contractors. Such delegation shall be at the sole expense of Builder unless otherwise provided. j. Notices. All required or permitted written notices shall be deemed effective and duly given when: (i) personally delivered; (ii) sent by telephone facsimile; (iii) one day after depositing in the custody of a nationally recognized receipted overnight delivery service; or (iv) two days after posting in the U.S. first class, registered or certified mail, postage prepaid, to the recipient party at the address as set forth at the outset of this Agreement, or to such other address Page 6 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\12B_KRAMER BUILDERS ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX as the recipient party shall have furnished to the sender in accordance with the requirements for the giving of notice. k. Pronouns. For convenience, Owner has been referred to this Agreement sometimes in the singular and at other times in the plural. Builder - Dated: ___________ ___, _____ ____________________________________ Owner - Dated: ___________ ___, _____ ____________________________________ Dated: ___________ ___, _____ ____________________________________ Page 7 O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\12B_KRAMER BUILDERS ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX EXHIBIT B Property Addresses, Plans and Specifications, and Construction Cost O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\12B_KRAMER BUILDERS ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX EXHIBIT C LIMITED WARRANTY These are additional terms to the New Home Construction Agreement between the undersigned Buyer and Owner. At the time of closing, Owner shall enjoy a limited warranty on the New Home which contains the following terms: LIMITED WARRANTY NOTE: CONSEQUENTIAL AND INCIDENTAL DAMAGES ARE EXCLUDED AND THERE ARE LIMITATIONS IN THE DURATION OF IMPLIED WARRANTIES. 1. Term. The terms of the various coverages of this warranty begin on the date of closing or the date of the Certificate of Occupancy issued by the Building Department, whichever comes first. 2. Coverage. Builder warrants that all construction related to the New Home has been in substantial conformity with the plans and specifications and change orders for the New Home under the New Home Construction Agreement. Within one (1) year from the date of certificate of occupancy, Builder will repair or replace, at the Builder's option, any latent defects in material or workmanship of the New Home. All workmanship and materials shall satisfy the standards of construction described in the current version of The Residential Construction Performance Guidelines -- For Professional Builders and Remodelers, published by the National Association of Home Builders (the "Guidelines"). A latent defect is defined as one which was not apparent/ascertainable at the time of occupancy. The owner agrees to accept a reasonable match in any repair or replacement in the event the original item is no longer available. If any latent defects in material or workmanship results in water, mold, insect or animal infestation, or damage from any other agent, Builder’s responsibility will be limited to repairing or replacing the portions of the dwelling which allowed water, mold, insects, animals, or other agents to enter or occupy the New Home. Builder is not responsible for any damages caused by water, mold, insect or animal infestation, or damage by some other agent, that may be associated with defects in our construction, to include but not be limited to property damage, personal injury, loss of income, emotional distress, death, loss of use, loss of value, and adverse health effects, or any other effects. 3. Manufacturers' Warranties. Builder assigns and passes through to Owner, to the extent they are assignable, the manufacturers' warranties on all appliances and equipment. The following are examples of such appliances and equipment, though not every home includes all of these items and some homes may include appliances or equipment not in this list: refrigerator, range, space heater, washing machine, dishwasher, garbage disposal, ventilating, attic fan, and air conditioner. 4. Exclusions from Coverage. WE DO NOT ASSUME RESPONSIBILITY FOR ANY OF THE FOLLOWING, ALL OF WHICH ARE EXCLUDED FROM THE COVERAGE OF THIS LIMITED WARRANTY: (a) Consequential or incidental damages, including but not limited to claims asserting a diminution in the value of the dwelling, or damages arising from the presence of insect or animal infestation, mold, or other biological agents in or about the dwelling. (b) Defects in appliances and equipment that are covered by manufacturers' warranties. (We have assigned these manufacturers' warranties to you, to the extent they are assignable, and you should follow the procedures in these warranties if defects appear in these items.) (c) Damage resulting from fires, floods, storms, electrical malfunctions, accidents, acts of God; or damages from alterations, misuse or abuse of the covered items by any person; or damage resulting from the owner's failure to observe any operating instructions furnished by the builder at the time of O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\12B_KRAMER BUILDERS ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX installation; or damage resulting from a malfunction of telephone, gas company, power company, or water company equipment or lines. (d) Damage due to ordinary wear and tear, abusive use, or lack of proper maintenance of your home, or animals/pets. (e) Defects that are the results of characteristics common to the materials used, such as (but not limited to) warping and deflection of wood, fading, chalking, and checking of paint due to sunlight; cracks due to drying and curing of concrete, stucco, plaster, bricks, and masonry; drying, shrinking and cracking of caulking and weather-stripping. (f) Defects in items purchased or installed by you or anyone else except us or, if requested by us, our subcontractors. (g) Work done by you or anyone else except us or, if requested by us, our subcontractors. (h) Conditions resulting from condensation on, or expansion or contraction of, materials. (i) Paint applied over newly plastered interior walls. 5. No Other Warranties. This Limited Warranty is the only express warranty given by Builder. Implied warranties, including but not limited to warranties of merchantability, fitness for a particular purpose, habitability, and good workmanship are expressly excluded, or to the extent not excludable by law, limited to the warranty period set forth above. This Limited Warranty gives you specific legal rights, and you may also have other rights. 6. Claims Procedure. If a defect appears that you think is covered by this Limited Warranty, you must write a letter describing it to our office and email it to us. You must tell us in your letter what times during the day you will be at home, so that we can schedule service calls appropriately. If delay will cause extra damage (e.g., if a pipe has burst) telephone us. Only emergency reports will be taken by phone. 7. Repairs. Upon receipt of your written report of a defect, if the defective item is covered by this warranty, we will repair or replace it at no charge to you within 60 days (longer if weather conditions, labor problems, or material shortages cause delays). The work will be done by us or subcontractors chosen by us. The choice between repair or replacement is ours. 8. Not Transferable. This Limited Warranty is extended to you only if you are the first purchaser of the home. When the first purchaser sells the home or moves out of it, this Limited Warranty automatically terminates. It is not transferable to subsequent purchasers of the home. 9. This is the Only Warranty Given by Builder. Owner acknowledges that he/she/they has/have thoroughly examined the property to be conveyed and relies solely on his judgment in signing this Limited Warranty, and that there are no guarantees, warranties, understandings, or representations made by Builder, or any representatives of Builder, that are not set forth in this document. BUILDER OWNER _______________________________ ___________________________________ O:\CLERK\COMMON\WORD\AGENDA ITEMS FOR NEXT MEETING\2022\022222\12B_KRAMER BUILDERS ARP AGREEMENT WITH EXHIBITS - FINAL.DOCX Agenda Item Review Form Muskegon City Commission Commission Meeting Date: 2/22/22 Title: Amendment to CenC Infill Housing Agreement (EACH Program) Submitted By: Jake Eckholm Department: Dev Svcs/Econ Dev. Brief Summary: A proposed Amendment to existing Development Agreement for low/mod income infill housing Detailed Summary: In an attempt to further our Economic Equity efforts and to create diversity of housing price points as we build infill, we have been working for quite some time with Community EnCompass to construct and infill affordable and accessible owner occupied single family housing. Two of the three houses have been placed and we are working on identifying a third lot. Staff has come up with a strategy to substitute ARPA dollars for the HOME funds originally intended for this project, and in doing so reallocate those funds to a fourth accessible unit. The attached amendment clarifies the use of ARPA dollars rather than HOME funds, and if approved staff will work on a proposed project to install the fourth house. All units would still be in the City’s Brownfield TIF and any losses at sale would be captured, and Community enCompass is still providing $320,000 of the total $570,000 construction costs for the original three homes, as well as down payment assistance and other potential services to income qualitied buyers, below %80 AMI. Amount Requested: $250,000 Amount Budgeted: N/A (ARP Funds) Fund(s) or Account(s): Fund(s) or Account(s): Recommended Motion: To approve the amendment as presented and authorize the Mayor and Clerk to sign. For City Clerk Use Only: Commission Action: FIRST AMENDMENT TO RESIDENTIAL CONSTRUCTION AGREEMENT This agreement between City of Muskegon (“Owner”), and Community enCompass (“Builder”), has been entered into pursuant to the following terms: Recitals A. Owner and Builder entered into a Residential Construction Agreement effective May 18, 2021. The Agreement provides for Owner to hire Builder to build houses on three lots owned by Owner for a total construction cost of $570,000. While the total construction cost is correct, certain details were omitted from the Residential Construction Agreement. B. Builder’s role has changed from being the builder to being the General Contractor and hiring a builder and all sub-contractors. THEREFORE, THE PARTIES AGREE TO THE FOLLOWING CLARIFICATION: 1. The price to construct three houses, two at specified addresses and a third to be determined, is $570,000. Of that amount, the Owner shall contribute $250,000 and Builder shall contribute $320,000. Owner shall not use any HOME funds or Community Development Block Grant (“CDBG”) funds. Owner may use General Funds or American Rescue Plan (“ARPA”) funds. Builder’s funds may be from a loan made by the Community Foundation. 2. Owner and Builder acknowledge that Builder will not perform any construction work. Builder shall act as the General Contractor and hire all work to be done by licensed contractors. 3. Owner and Builder acknowledge that Commencement Date and Completion Dates have not been met through no fault of either party. As such, the “Extension of Dates” provision is been exercised. Owner and Builder seek to complete construction in a reasonable period of time. 4. Owner and Builder contemplated that the constructed houses would be sold, including the possibility of a sale at less than the construction cost. Owner and Builder agree that upon sale of a house constructed pursuant to the Residential Construction Agreement the net proceeds would be payable to Builder, to the extent of Builder’s contribution to cover the construction costs. Once Builder is paid in full, Owner shall take all future sale proceeds. To the extent that there is a profit, Owner shall retain the profit. To the extent that Owner is not paid in full, Owner shall be entitled to recover its loss from the City of Muskegon Brownfield Authority’s In-Fill Housing Program. 5. As to all other respects, the Residential Construction Agreement shall continue in force as if restated herein. City of Muskegon By: _______________________________ Ken Johnson Its Mayor Dated: ___________, 2022 And _____________________________ Ann Marie Meisch Its Clerk Community enCompass By: _______________________________ Its President Dated: ____________, 2022 And _____________________________ Its Secretary Agenda Item Review Form Muskegon City Commission Commission Meeting Date: 2/22/22 Title: Request for Water Utility Connection Fee Waiver Submitted By: Jake Eckholm Department: Dev Svcs/Econ Dev. Brief Summary: The vacant filling station/winery building at 611 W. Clay is being redeveloped into a boutique hotel, and is requesting a waiver of their water utility connection fees Detailed Summary: The long vacant and half constructed site at 611 W. Clay was once supposed to be a winery and restaurant space, and has sat vacant for several years. The new owners, Jeremy Garcia of Muskegon and Bryan Hamrick of Grand Rapids have run into some cost overruns with their project due to construction materials and other factors, and are asking for the city commission to consider waiving their domestic and fire suppression utility hookup fees. Staff have attached the quote from DPW. There is currently a moratorium on any sewer connection fee waivers, and staff informed the owners of that fact so they are not requesting sewer hookup fees be waived. Amount Requested: $11,800 in fee waivers Amount Budgeted: N/A Fund(s) or Account(s): Fund(s) or Account(s): Recommended Motion: To approve the request by 611 W. Clay LLC to waive domestic water and fire suppression utility connection fees for the construction project at 611 W. Clay as presented. For City Clerk Use Only: Commission Action: To whom it may concern, Our project at 611 Clay will provide eight boutique units for travelers to visit Muskegon. This will bring revenue to local businesses in downtown Muskegon and the surrounding area. It helps revitalize the Clay corridor on the south end of downtown. We are spending nearly six hundred thousand dollars in upgrades and improvements to a vacant building. We are requesting the water connection fee be waived by the city of Muskegon that is required for the fire suppression system to make our project successful. Warm regards, Jeremy Garcia 611 Clay LLC 611 W. Clay Date: 01/18/22 LOCATION OF WORK: 639 W. Clay The Department of Public Works quotes the cost as follows for connection fees. Install 1 ½” Domestic Water Line - $4,500 Sewer increase due to increased water service - $3,000 Install 4” Fire Line to the Property Line – $7,300 Total Deposit Due: $14,800 This quotation covers the installation of a 4” fire line, installation of an 1 ½” domestic water line and the potential increased sewer capacity needs. Water meters will be billed on first bill after installation. Payment should be made to: City of Muskegon, Water billing Dept C/O City Treasurer, 933 Terrace St. Muskegon Mi, 49440. Wyatt Eggleton City of Muskegon Public Utilities Supervisor (231)724-6988 Agenda Item Review Form Muskegon City Commission Commission Meeting Date: February 22, 2022 Title: Precinct Boundary Changes Submitted By: Ann Marie Meisch Department: City Clerk Brief Summary: The City Commission adopted a resolution allowing certain precinct boundary changes on February 8, 2022. There is an additional change that needs to be made in order to avoid a county commission district split in precinct 11. This will not impact the balancing of wards as precinct 11 and 12 are in the same ward. Detailed Summary: Voters in Precinct 11 that live on Pine Grove and on the odd side of Winchester will be moved to precinct 12. The County Commission boundary runs right down Winchester. Voters on the odd (West)side will be in County Commission District 4, those on the even (East) side will be in County Commission District 7. Due to the timeline for getting changes submitted to the State of Michigan, Bureau of Election, we are seeking approval of the changes so that we can submit our revisions as soon as possible. The deadline for precinct boundary changes to be submitted for the May 3, 2022 Election is March 4, 2022. We would like to have the changes made before the May Election to allow for time to send new voter ID cards to voters in the City of Muskegon. Approximately 798 total voters (721 from previous changes and 77 from this change) will be assigned to new precincts and polling places. All voters will receive new ID cards to identify changes to Precinct, Ward, Polling Place, County Commission District, State House District, State Senate District, and Congressional District numbers. Change #5 – move approximately 77 voters from Ward 4 Precinct 11 to Ward 4 Precinct 12 – to avoid a County Commission District split in precinct 11. Amount Requested: Amount Budgeted: Fund(s) or Account(s): Fund(s) or Account(s): Recommended Motion: To concur with the recommendation of the City of Muskegon Election Commission and adopt the resolution to alter precinct boundaries. For City Clerk Use Only: Commission Action: Change #5 – Move voters in the ½ circle area – the west side from Ward 4, Precinct 11 to Ward 4 Precinct 12 – to avoid a County Commission District Split. There are approximately voters in this area – the ward balance is unaffected as both precincts are in Ward 4. CITY OF MUSKEGON RESOLUTION ALTERING PRECINCT BOUNDARIES WHEREAS, the City of Muskegon is required to balance its Wards every ten years in conjunction with the latest census, WHEREAS, all precinct lines within the City of Muskegon have been re-evaluated based on new district lines, WHEREAS, City Clerk staff proposed alterations to the Election Commission, WHEREAS, the City Election Commission approved the proposed alterations as follows: Change #5 – Move voters in the ½ circle area – the west side from Ward 4, Precinct 11 to Ward 4 Precinct 12 – to avoid a County Commission District Split. There are approximately voters in this area – the ward balance is unaffected as both precincts are in Ward 4. NOW THEREFORE BE IT RESOLVED that the City Commission authorize all changes as indicated to become effective with the May 3, 2022 Election. Signed this 22nd day of February, 2022. _________________________________ Ken Johnson, Mayor _________________________________ Ann Marie Meisch, MMC – Clerk Registered Voter Totals for proposed precinct boundary changes. 2/15/2022 Ward Precinct Current # Ward Total Change New # Ward Total Ward I Precinct 1 1511 0 1511 Precinct 2 1619 -299 1320 Precinct 3 1527 0 1527 Precinct 4 1676 6333 0 1676 6034 -29 deviation from average Ward II Precinct 5 1611 299 1910 Precinct 6 1729 0 1729 Precinct 7 2198 5538 164 2362 6001 4 deviation from average Ward III Precinct 8 1568 0 1568 Precinct 9 2130 33 2163 Precinct 10 2127 5825 -164 2188 225 5919 86 deviation from average Ward IV Precinct 11 1839 -33 1729 -77 Precinct 12 1796 -225 1648 77 Precinct 13 1505 0 1505 Precinct 14 1184 6324 0 1184 6066 -61 deviation from average 24020 24020 0 24020 6005 average Changes from 2/8/22 are in blue The Voters column in the table to the left represents the number of voters including voters in the Inactive Voter File. These are voters that have been marked in the Qualified Voter File as Inactive for any number of reasons. Agenda Item Review Form Muskegon City Commission Commission Meeting Date: February 22, 2022 Title: Unmarked Police Vehicle Lease Plan Submitted By: Director Jeffrey Lewis Department: Public Safety Brief Summary: Unmarked Police Vehicle Lease Plan with Hertz Rental Cars. Detailed Summary: Due to the State of Michigan discontinuing the WHEELS Program mid-year, four (4) unmarked vehicles assigned to our undercover detectives have been returned to the State of Michigan. Replacement vehicles need to be in service by 2/24/2022. Cost per replacement lease vehicle including maintenance and other flex options is approximately $700.00 per vehicle ($2800.00 per month). This lease program will be in place until the end of this current budget year. Fleet insurance and fuel costs will still be sustained by the City of Muskegon. Amount Requested: already in 2021-22 budget Amount Budgeted: $13,125 Fund(s) or Account(s): 101-40301-4363 Fund(s) or Account(s): Recommended Motion: To approve the lease with Hertz Rental Car for unmarked Police Vehicles. Check if the following Departments need to approve the item first: Police Dept. X Fire Dept. IT Dept. For City Clerk Use Only: Commission Action: Agenda Item Review Form Muskegon City Commission Commission Meeting Date: February 22, 2022 Title: Amendment to the Marihuana Facilities Overlay District – 1314 E Apple Ave – 2nd Reading Submitted By: Mike Franzak Department: Planning Brief Summary: Request to amend Section 2331 of the zoning ordinance to include 1314 E Apple Ave into the Marihuana Facilities Overlay District with retail, provision centers and class B recreational grows as approved license types, by Lake Michigan Labs. Detailed Summary: The Planning Commission recommended approval of the request by a 6-1 vote. Amount Requested: Amount Budgeted: Fund(s) or Account(s): Fund(s) or Account(s): Recommended Motion: To approve the request to amend Section 2331 of the zoning ordinance to include 1314 E Apple Ave into the Marihuana Facilities Overlay District with retail, provision centers and class B recreational grows as approved license types. Planning Commission Excerpt Hearing, Case 2022-01: Request to amend Section 2331 of the zoning ordinance to include 1314 E Apple Ave into the Marihuana Facilities Overlay District with retail, provision centers and class B recreational grows as approved license types, by Lake Michigan Labs. SUMMARY 1. The property is zoned B-2, Convenience & Comparison Business District. 2. This zoning designation allows the following marihuana license types with the issuance of a special use permit: microbusinesses, designated consumption establishments and class B recreational grows. Caregiver facilities are an allowed use by right. 3. The applicant is currently operating a caregiver facility at this address. 4. The applicant has requested to amend Section 2331 (marihuana facilities overlay district) of the zoning ordinance to designate 1314 E Apple Ave as an approved location that allows retail, provisioning centers and class B recreational grow license types. 5. Retail licenses allow the sale of recreational marihuana. Provisioning centers allow for the sale of marihuana to medical marihuana patients. Class B recreational grows allow the production of up to 500 plants 6. Please see the enclosed zoning ordinance excerpt of Section 2331 (marihuana facilities overlay district). 7. Notice was sent to all properties within 300 feet. At the time of this writing, staff had not received any comments from the public, 1314 E Apple Ave Zoning Map Aerial Map Current Overlay Districts CITY OF MUSKEGON MUSKEGON COUNTY, MICHIGAN ORDINANCE NO._____ An ordinance to amend Section 2331 of the zoning ordinance to expand the marihuana facilities overlay district to allow for retail, provision centers and class B recreational grows as approved license types at 1314 E Apple Ave. THE CITY COMMISSION OF THE CITY OF MUSKEGON HEREBY ORDAINS: 1314 E Apple Ave will be added to the Marihuana Facilities Overlay District as a location allowed for retail, provision centers and class B recreational grow license types. CITY OF MUSKEGON E 107.5 FT OF W 132.5 FT OF N 124 FT OF S 157 FT OF SE 1/4 OF SW 1/4 OF SE 1/4 SEC 21 T10N R16W EXC A TRIANGULAR PIECE IN SW COR 10 FT ON APPLE AVE & 10 FT ON EVART ST This ordinance adopted: Ayes:______________________________________________________________ Nayes:_____________________________________________________________ Adoption Date: Effective Date: First Reading: Second Reading: CITY OF MUSKEGON By: _________________________________ Ann Meisch, MMC, City Clerk CERTIFICATE The undersigned, being the duly qualified clerk of the City of Muskegon, Muskegon County, Michigan, does hereby certify that the foregoing is a true and complete copy of an ordinance adopted by the City Commission of the City of Muskegon, at a regular meeting of the City Commission on the 8th day of February 2022, at which meeting a quorum was present and remained throughout, and that the original of said ordinance is on file in the records of the City of Muskegon. I further certify that the meeting was conducted and public notice was given pursuant to and in full compliance with the Michigan Zoning Enabling Act, Public Acts of Michigan No. 33 of 2006, and that minutes were kept and will be or have been made available as required thereby. DATED: ___________________, 2022. __________________________________________ Ann Meisch, MMC Clerk, City of Muskegon Publish: Notice of Adoption to be published once within ten (10) days of final adoption. CITY OF MUSKEGON NOTICE OF ADOPTION Please take notice that on February 8, 2022, the City Commission of the City of Muskegon adopted an ordinance to amend Section 2331 of the zoning ordinance to expand the marihuana facilities overlay district to allow for retail, provision centers and class B recreational grow types at 1314 E Apple Ave. 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 ____________________, 2022. CITY OF MUSKEGON By _________________________________ Ann Meisch, MMC City Clerk --------------------------------------------------------------------------------------------------------------------- PUBLISH ONCE WITHIN TEN (10) DAYS OF FINAL PASSAGE. Account No. 101-80400-5354 Agenda Item Review Form Muskegon City Commission Commission Meeting Date: February 22, 2022 Title: HBA Demolitions Submitted By: Director Jeffrey Lewis Department: Public Safety Brief Summary: HBA approved the demolition of 2123 Henry, 507 E Apple, 743 Amity, and 867 Scott. Detailed Summary: This is to request that the City Commission concur with the findings of the Housing Board of Appeals that the structure located at 2123 Henry, 507 E Apple, 743 Amity, and 867 Scott, is unsafe, substandard, a public nuisance and that it be demolished within thirty (30) days. It is further requested that administration be directed to obtain bids for the demolition of the structure and that the Mayor and City Clerk be authorized and directed to execute a contract for demolition with the lowest responsible bidder or staff may issue infraction tickets to the owner, agent, or responsible party if they do not demolish the structure. Amount Requested: Bids Amount Budgeted: N/A Fund(s) or Account(s): 101-80387-5356 Fund(s) or Account(s): Recommended Motion: To concur with the Housing Board of Appeals decision to demolish 2123 Henry, 507 E Apple, 743 Amity, and 867 Scott. Check if the following Departments need to approve the item first: Police Dept. ☒ Fire Dept. ☐ IT Dept. ☐ For City Clerk Use Only: Commission Action: Agenda Item Review Form Muskegon City Commission Commission Meeting Date: February 22, 2022 Title: Interim City Manager Submitted By: Frank Peterson Department: City Manager Brief Summary: Appoint LeighAnn Mikesell as Interim City Manager effective April 1, 2022. Detailed Summary. Current City Manager has provided notice to the City Commission that he will be stepping down on April 1, 2022. Current Deputy City Manager LeighAnn Mikesell is prepared to step in as interim city manager. While serving in the interim city manager capacity, LeighAnn shall maintain her current salary and benefits plus an additional $300 salary stipend per week. In the event the Interim City Manager serves in that capacity beyond June 30, 2022, the salary and benefits will be renegotiated. Amount Requested: N/A Amount Budgeted: N/A Fund(s) or Account(s): Fund(s) or Account(s): N/A Recommended Motion: Appoint LeighAnn Mikesell as Interim City Manager effective April 1, 2022.
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