City Commission Packet Archive 10-14-2025

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CITY OF MUSKEGON
CITY COMMISSION MEETING
October 14, 2025 @ 5:30 PM
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 HEARINGS:
A. Establishment of a Commercial Redevelopment District — 431 E. Laketon
Ave. Economic Development
B. Issuance of a Commercial Facilities Exemption Certificate — 431 E.
Laketon Ave. Economic Development
☐ FEDERAL/STATE/COUNTY OFFICIALS UPDATE:

☐ PUBLIC COMMENT ON AGENDA ITEMS:

☐ CONSENT AGENDA:
A. Approval of Minutes City Clerk
B. DivDat Payment Kiosk Contract Treasury
C. Laketon-Lakeshore Trail Connector Engineering Change Order Public
Works
D. Project Development Agreement with Johnson Controls, Inc. Public
Works
E. Sale of 821/856/923 Emerald, 213/275/313 Myrtle, 480 Oak, 302 Orchard,
822/980 Williams, and 462 White. Planning
F. Sale of 1967 Reynolds Planning

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G. Adelaide Point, Extension of Timeline for Park-like Improvements —
Hartshorn Peninsula Manager's Office
H. Policy for the Use & Sale of City-Owned Residential Property: Amendment

Planning
I. City of Muskegon 2026 Fireworks Contract - Pyrotecnico DPW- Parks
J. Concession Agreement — Smith-Ryerson Vending Machine DPW- Parks
K. Concession Application - Pere Marquette Mobile Sauna DPW- Parks
L. Ordinance Adoption: Unlawful Speed Exhibition Events Public Safety
M. Resolution for Housing Tax Exemption for Four Properties, LLC (609,619,629
Amity) Economic Development
N. Workforce Housing Restrictive Covenant - Four Properties LLC Economic
Development
O. Concur with CRC Recommendation City Clerk
☐ UNFINISHED BUSINESS:

☐ NEW BUSINESS:

☐ ANY OTHER BUSINESS:

☐ GENERAL PUBLIC COMMENT:
► 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. ►Limit of
3 minutes to address the Commission.

☐ CLOSED SESSION:
A. CLOSED SESSION ITEM Finance
☐ ADJOURNMENT:

AMERICAN DISABILITY ACT POLICY FOR ACCESS TO OPEN MEETINGS OF THE CITY OF
MUSKEGON AND ANY OF ITS COMMITTEES OR SUBCOMMITTEES

To give comment on a live-streamed meeting the city will provide a call-in telephone
number to the public to be able to call and give comment. For a public meeting that is
not live-streamed, and which a citizen would like to watch and give comment, they
must contact the City Clerk’s Office with at least a two-business day notice. The
participant will then receive a zoom link which will allow them to watch live and give
comment. Contact information is below. For more details, please visit:

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www.shorelinecity.com
The City of Muskegon will provide necessary reasonable auxiliary aids and services, such
as signers for the hearing impaired and audio tapes of printed materials being
considered at the meeting, to individuals with disabilities who want to attend the
meeting with twenty-four (24) hours’ notice to the City of Muskegon. Individuals with
disabilities requiring auxiliary aids or services should contact the City of Muskegon by
writing or by calling the following:

Ann Marie Meisch, MMC. City Clerk. 933 Terrace St. Muskegon, MI 49440. (231)724-6705.
clerk@shorelinecity.com

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Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: October 14, 2025 Title: Establishment of a Commercial
Redevelopment District — 431 E. Laketon Ave.

Submitted by: Jocelyn Hines, Development Department: Economic Development
Analyst

Brief Summary:
Pursuant to Public Act 255 of 1978, as amended, Gigi's Grill has requested the establishment of a
Commercial Redevelopment District.

Detailed Summary & Background:
Gigi's Grill has requested the establishment of a Commercial Redevelopment District. Creating the
district will enable the property owner to apply for a Commercial Facilities Exemption certificate. If
approved, the certificate will freeze the taxable value of the building and exempt the new real
property investment from local property taxes for the duration of the exemption.

The proposed redevelopment will allow a church building to be transformed into a restaurant. This will
create continued investment, job creation, and economic vitality within this district.

Goal/Action Item:
2027 Goal 2: Economic Development Housing and Business - Progress toward new and ongoing
economic development projects

Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:

Amount Requested: Budgeted Item:
N/A Yes No N/A

Fund(s) or Account(s): Budget Amendment Needed:
N/A Yes No N/A

Recommended Motion:
I move to close the public hearing and approve the establishment of the Commercial
Redevelopment District for 431 E. Laketon Ave. and authorize the Mayor and City Clerk to sign the
attached resolution.

Approvals: Name the Policy/Ordinance Followed:
Immediate Division Public Act 255 of 1978, as amended
Head

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Information
Technology
Other Division Heads
Communication
Legal Review

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Resolution No. ______________

RESOLUTION APPROVING THE ESTABLISHMENT OF A COMMERCIAL
REDEVELOPMENT DISTRICT
431 E. Laketon Ave.

WHEREAS, pursuant to PA 255 of 1978, the City of Muskegon has the authority to
establish “Commercial Redevelopment Districts” within the City of Muskegon at request
of a commercial business enterprise or on its own initiative; and

WHEREAS, Gigi’s Grill has filed a written request with the clerk of the City of Muskegon
requesting the establishment of the Commercial Redevelopment District for an area in
the vicinity of 431 E. Laketon Ave. located in the City of Muskegon hereinafter described;
and

WHEREAS, the City Commission of the City of Muskegon determined that the district
meets the requirements set forth in section 5 of PA 255 of 1978; and

WHEREAS, written notice has been given by certified mail to all owners of real property
located within the proposed district as required by section 5(3) of PA 255 of 1978; and

WHEREAS, on October 14, 2025 a public hearing was held and all residents and
taxpayers of the City of Muskegon were afforded an opportunity to be heard thereon;
and

WHEREAS, the City of Muskegon deems it to be in the public interest of the City of
Muskegon to establish the Commercial Redevelopment District as proposed;

NOW, THEREFORE, BE IT RESOLVED by the City Commission of the City of
Muskegon that the following described parcel(s) of land situated in the City of Muskegon,
County of Muskegon, and State of Michigan, to wit:

CITY OF MUSKEGON BOLEMA GROVE SUB DIV PART OF BLK 2 R P EASTONS
2ND SUB-DIV PART SEC 32 T10N R16W PARCEL 1 N 86 FT OF E 20 FT LOT 3 & N
86 FT LOTS 4 & 5 PARCEL 2 S 44 FT OF E 20 FT LOT 3 & S 44 FT LOTS 4 & 5 ALSO
N 1/2 E 124 FT VAC ALLEY ALSO DESC AS LOTS 4-5 & E 20 FT LOT 3 ALSO N 1/2
OF E 124 FT VAC ALLEY

Adopted this 14th Day of October 2025

AYES:

NAYS:

ABSENT:
BY: _______________________
Ken Johnson, Mayor

ATTEST: _______________________
Ann Meisch, Clerk

1/6/25

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CERTIFICATION

I hereby certify that the foregoing constitutes a true and complete copy of a resolution
adopted by the Muskegon City Commission of the City of Muskegon, County of
Muskegon, Michigan at a regular meeting held on October 14, 2025.

_______________________________
Ann Meisch, Clerk

1/6/25

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Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: October 14, 2025 Title: Issuance of a Commercial Facilities
Exemption Certificate — 431 E. Laketon Ave.

Submitted by: Jocelyn Hines, Development Department: Economic Development
Analyst

Brief Summary:
Pursuant to Public Act 255 of 1978, as amended, Gigi's Grill has requested the issuance of a
Commercial Facilities Exemption Certificate. The certificate will freeze the taxable value of the
building and exempt new real property investment from local taxes.

Detailed Summary & Background:
Gigi's Grill plans to rehabilitate an 18,686 sq. ft. facility beginning in November 2025. The project
represents a $65,000 investment and is expected to create between seven (7) and 10 jobs.

The applicant was the Pastor of the building when it was previously a church and now wants to make
it into a restaurant. They have been operating outside the building selling authentic cuisine.

A public hearing on the establishment of the Commercial Redevelopment District is scheduled for
the October 14, 2025, City Commission meeting.

The internal tax committee has reviewed the application and, based on their findings and
calculations, recommends approval of the attached resolution for a term of eight (8) years for real
property. The applicant has submitted all required documentation.

Goal/Action Item:
2027 Goal 2: Economic Development Housing and Business - Progress toward new and ongoing
economic development projects

Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:

Amount Requested: Budgeted Item:
N/A Yes No N/A

Fund(s) or Account(s): Budget Amendment Needed:
N/A Yes No N/A

Recommended Motion:
I move to close the public hearing and approve an eight (8) year Commercial Facilities Exemption
Certificate for Gigi's Grill, and authorize the Mayor and City Clerk to sign the resolution.

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Approvals: Name the Policy/Ordinance Followed:
Immediate Division Public Act 255 of 1978, as amended
Head
Information
Technology
Other Division Heads
Communication
Legal Review

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Resolution No.__________

MUSKEGON CITY COMMISSION

RESOLUTION APPROVING APPLICATION FOR ISSUANCE OF A COMMERICAL
FACILITIES EXEMPTION CERTIFICATE
Gigi’s Grill

WHEREAS, the City of Muskegon legally established the Commercial Redevelopment
District _____ on October 14, 2025, after a public hearing held on October 14, 2025; and

WHEREAS, the state equalized value of the property proposed to be exempt plus the
aggregate state equalized value of property previously exempt and currently in force
under Public Act 255 of 1978 and under Public Act 198 of 1974 (IFT's) does not exceed
5% of the total state equalized value of the City of Muskegon; and

WHEREAS, the application was approved at a public hearing as provided by section 6(2)
of Public Act 255 of 1978 on October 14, 2025; and

WHEREAS, Gigi’s Grill is not delinquent in any taxes related to the facility; and

WHEREAS, the application is for commercial property as defined in section 3(3) of
Public Act 255 of 1978; and

WHEREAS, the applicant Gigi’s Grill has provided answers to all required questions
under Section 6(1) of PA 255 of 1978 to the City of Muskegon; and

WHEREAS, the City of Muskegon requires that the construction, restoration or
replacement of the facility shall be completed by April 30, 2025; and

WHEREAS, the Commercial Facilities Exemption Certificate is granted for a period of
eight (8) years and no extension will be allowed; and

WHEREAS, the commencement of the construction, restoration or replacement of the
facility did not occur more than 45 days prior to the filing of the application for
exemption; and

WHEREAS, the commencement of the construction, restoration or replacement of the
facility did not occur prior to the establishment of the Commercial Redevelopment
District; and

WHEREAS, the application relates to a construction, restoration or replacement program
which when completed constitutes a new, replacement or restored facility within the
meaning of Public Act 255 of 1978 and that is situated within a Commercial
Redevelopment District established under Public Act 255 of 1978; and

6.17.2024

Page 14 of 147
WHEREAS, completion of the facility is calculated to, and will at the time of issuance of
the certificate, have the reasonable likelihood to, increase commercial activity, create
employment and retain employment in which the facility is situated; and

WHEREAS, the restoration includes improvements aggregating 10% or more of the true
cash value of the property at commencement of the restoration as provided by section
4(6) of Public Act 255 of 1978.

NOW, THEREFORE, BE IT RESOLVED by the City Commission of the City of
Muskegon

Be and hereby is granted a Commercial Facilities Exemption for the real property,
excluding land, located in Commercial Redevelopment District ______at 431 E. Laketon
Ave. for a period of eight (8) years, beginning December 30, 2025, and ending December
30, 2033 pursuant to the provisions of PA 255 of 1978, as amended.

Adopted this 14th Day of October 2025.

AYES:

NAYS:

Absent:
BY: __________________________________
Ken Johnson, Mayor

ATTEST: _________________________________
Ann Meisch, Clerk

CERTIFICATION

_______________________________
Ann Meisch, Clerk

6.17.2024

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10/6/25, 10:19 AM about:blank

431 E. Laketon Ave Property Report

Area of Interest (AOI) Information
Area : 18,686.11 ft²

Oct 6 2025 10:11:52 Eastern Daylight Time

about:blank 1/2
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10/6/25, 10:19 AM about:blank

Summary
Name Count Area(ft²) Length(ft)

Parcels 1 18,686.11 N/A

Parcels
Property Property Property Property
Municipality Acreage per Acreage per
# PIN Address Address Address Address
Code GIS Assessor
Number Direction Combined City

431 E
61-24-165-
1 24 0.43 0.41 431 E LAKETON MUSKEGON
000-0004-00
AVE

Property Property Owner Owner
Owner Owner Owner Care Owner
# Address Address Zip Address Address
Name 1 Name 2 Of Address
State Code City State

MINISTERIO
431 E
APOSTOLIC
1 MI 49442 No Data No Data LAKETON MUSKEGON MI
O CASA DE
AVE
ORACI

Owner State PRE Property School
Assessed Taxable Property
# Address Zip Equalized Homestead Class District
Value Value Class Code
Code Value Pct Description Code
Commercial
1 49442 0.00 0.00 0.00 0 201 61010
- Improved

Zoning per Assessor
# School District Name Tax Description Area(ft²)
Primary

CITY OF MUSKEGON
BOLEMA GROVE SUB DIV
PART OF BLK 2 R P
EASTONS 2ND SUB-DIV
PART SEC 32 T10N R16W
PARCEL 1 N 86 FT OF E
20 FT LOT 3 & N 86 FT
MUSKEGON CITY
1 B-2 LOTS 4 & 5 PARCEL 2 S 44 18,686.11
SCHOOL DIST
FT OF E 20 FT LOT 3 & S
44 FT LOTS 4 & 5 ALSO N
1/2 E 124 FT VAC ALLEY
ALSO DESC AS LOTS 4-5
& E 20 FT LOT 3 ALSO N
1/2 OF E 124 FT VAC
ALLEY

©2020 Muskegon County GIS Data reported herein is believed to be accurate and up to date, however Muskegon County and Muskegon County GIS make no warranty
to the accuracy of the data. It is advised that before any decisions are made from this data, that the local assessor or building officials are contacted.

about:blank 2/2
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Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: October 14, 2025 Title: Approval of Minutes

Submitted by: Ann Meisch, City Clerk Department: City Clerk

Brief Summary:
To approve minutes of the September 23, 2025, City Commission Meeting.

Detailed Summary & Background:

Goal/Action Item:

Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:

Amount Requested: Budgeted Item:
Yes No N/A X

Fund(s) or Account(s): Budget Amendment Needed:
Yes No N/A X

Recommended Motion:
Approval of the minutes.

Approvals: Name the Policy/Ordinance Followed:
Immediate Division
Head
Information
Technology
Other Division Heads
Communication
Legal Review

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CITY OF MUSKEGON
CITY COMMISSION MEETING
September 23, 2025 @ 5:30 PM
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, September 23,
2025. Pastor Adam Dollar from Evanston Avenue Church, opened the meeting
with prayer, after which the Commission and public recited the Pledge of
Allegiance to the Flag.

ROLL CALL
Present: Vice Mayor Rebecca St.Clair, Commissioners Jay Kilgo, Willie German,
Jr., Rachel Gorman, and Katrina Kochin, City Manager Jonathan Seyferth, City
Attorney John Schrier, and City Clerk Ann Marie Meisch
Absent: Mayor Ken Johnson and Commissioner Destinee Keener

2025-77 HONORS, AWARDS, AND PRESENTATIONS
A. Resolution Against Racial Profiling Manager's Office
Commissioner Jay Kilgo submitted a resolution reaffirming the City of
Muskegon's commitment to the ideals of the United States Constitution and
reaffirming its moral opposition to racial profiling in law and immigration
enforcement.

Motion by Commissioner Kilgo, second by Commissioner Kochin, to adopt the
Resolution Against Racial Profiling.
ROLL VOTE: Ayes: German, Gorman, Kochin, St.Clair, and Kilgo
Nays: None
MOTION PASSES

2025-78 PUBLIC HEARINGS
A. Consolidated Annual Performance Evaluation Report FY
2024 Community & Neighborhood Services

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Community and Neighborhood Services to host a hearing for the Consolidated
Annual Performance Evaluation Report (CAPER) FY 2024.
The Consolidated Annual Performance Evaluation Report (CAPER) is an
important and necessary communication tool between the City of Muskegon,
the US Department of Housing and Urban Development (HUD) and the public.
Its purpose is to inform and report on the progress the City of Muskegon’s
Community and Neighborhood Services Department has made toward the
goals it set forth in its 2021-2026 Consolidated Plan and respective Action Plan.
The CAPER is available on our website for citizen review and a comment period
of 15 days from September 9–September 25, 2025.
City of Muskegon – 2024 CAPER Highlights
The City of Muskegon’s 2024 CAPER outlines accomplishments under the 2021–
2026 Consolidated Plan, with a focus on CDBG and HOME funds.
Funding & Resources
• CDBG: $1.13M expended (housing repairs, façade, fire station services,
admin).
• HOME: $52,121 expended (admin).
• Program Income generated from HOME: $51,480
• Leverage: Senior millage, DTE programs, Lead Safe Muskegon lead
program, Healthy Homes Production.
Key Accomplishments
• Home Repairs/Rehab: 58 households assisted.
• Fire Station Services: 1,123 households served.
• Eviction Prevention: 22 households stabilized.
• Meals for Seniors: 42 seniors assisted.
• Homebuyer Assistance: 5 families supported.
• Housing Study: Identified 400 substandard units and significant rent
burden; informed zoning changes.
Demographics
• 124 CDBG households (66 White, 48 Black, 2 Native American, 8 Other
and 4 Hispanic).
• 5 HOME households (3 White, 2 Black).
• 70% of beneficiaries were extremely low or low-income.
Other Actions
• Zoning Reforms: Encouraged mixed-use, ADUs, and “tiny homes.”
• Lead Remediation: Integrated into all housing rehab programs.
• Public Housing Support: Backed PHA RAD conversion, tenant
engagement, and affordable lot access.
• Outreach: Public notices, newsletters, social media, 211 resource
integration, resource events.
Challenges
• Lack of measurable impact on Hispanic households.
• Persistent affordable housing shortage.

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The Public Hearing opened to hear and consider any comments from the
public. No public comments were made.

PUBLIC COMMENT ON AGENDA ITEMS
No public comments were made.

2025-79 CONSENT AGENDA
A. Approval of Minutes City Clerk
To approve minutes of the September 8, 2025, Commission Worksession
Meeting, and the September 9, 2025, City Commission Meeting.
STAFF RECOMMENDATION: Approval of the minutes.
B. Sale of 159 E Laketon Planning
Staff is seeking authorization to sell the City-owned vacant lot at 159 E. Laketon
to Arturo Ramirez.
Arturo Ramirez would like to purchase the City-owned buildable lot at 159 E.
Laketon for $8,550 (75% of the True Cash Value of $11,400) plus half of the
closing costs, and the fee to register the deed. The lot will be split into two 62.5'
x 50' lots. Arturo will be constructing a single-family home on each of the
properties.
STAFF RECOMMENDATION: Authorize staff to sell the City-owned vacant lot at
159 E. Laketon to Arturo Ramirez.
F. Amendment to Engineering Services for Lift Station Improvements
Project Public Works
Staff requests approval to sign an amendment to Fleis & VandenBrink's contract
in the amount of $28,000 adding engineering services for the Beach Street and
Barney Avenue Lift Stations Improvements.
Fleis & VandenBrink is currently designing improvements for our Industrial Park
Lift Station and Sherman Boulevard Lift Station to be bid later this year for
construction in the first half of 2026. During the design process, discussion of
other lift stations within the City prompted staff to have Fleis & VandenBrink
evaluate the Beach Street and Barney Avenue lift stations. As a result of these
evaluations, staff would like to have improvements completed at these two Lift
Stations as well. Due to the similar work currently being completed by Fleis &
VandenBrink, are looking to add this work to their current contract. This will
allow the work to be bid as a single project for all four stations, saving time,
administrative effort and dollars during the construction phase next
summer. Additional lift station work was anticipated in the capital
improvement plan; this work and the construction are budgeted.
STAFF RECOMMENDATION: Move to approve staff to sign an amendment to
Fleis & VandenBrink's contract in the amount of $28,000 adding engineering
services for the Beach Street and Barney Avenue Lift Stations Improvements.

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G. Engineering Services Contract for the Rehabilitation of West Western
Avenue Public Works
Staff seeks permission to enter into a contract with Land & Resource
Engineering (LRE) in the amount of $82,420 for the Rehabilitation of West
Western Avenue.
The portion of Western Avenue that is west of Shoreline Drive, which we'll call
West Western Avenue for clarity, has watched the land uses it serves change
drastically in the last 10 years. A marked shift from industry to mixed use
developments has made it clear that the street no longer serves the same
function. The proposed rehabilitation project includes reducing the amount of
pavement (not the number of travel lanes) to right-size the street and
discourage speeding, improving pedestrian spaces along the corridor, and
increasing the amount of greenspace. On-street parking will be evaluated as
a part of the design effort, but staff anticipates some (but not all) spaces will be
found to be unnecessary and will be removed. Some areas of the pavement
are still in good condition, so one goal of the project is to save as much
pavement as is practical. The street will receive a completely new top layer of
asphalt for safety and waterproofing. The project is budgeted and planned for
construction in 2026.
The City's Engineering Department is busy designing the rehabilitation of
Lakeshore Drive and other projects, but the current plan is for City Engineering
staff to oversee the construction next summer. Accordingly, staff solicited
proposals from interested engineering firms for only the design work this
winter. The scores from the RFP process are shown below, and staff
recommends award to Land and Resource Engineering (LRE), the top scoring
firm. The scores are based on a combination of the firms' qualifications,
approach to the project, location and pricing, and scoring is performed
independently by multiple staff from DPW and Engineering and then
compared.
Firm Name Score
Land and Resource Engineering 81
(LRE)
Prein & Newhof 78
ENG., Inc. 77
Progressive 70
Hubbell, Roth & Clark (HRC) 69
Fleis & VandenBrink 67
ROWE 63
Holland Engineering 60
Williams & Works 59

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STAFF RECOMMENDATION: Move to approve staff to enter into a contract with
Land & Resource Engineering (LRE) in the amount of $82,420 for the
Rehabilitation of West Western Avenue.
I. Purchase of Water and Construction Trucks Public Works
Staff requests approval of the purchase of three (3) water department trucks
and two (2) construction trucks from Gorno Ford for a total of $337,604.
The water trucks are used by our Water Department to move equipment and
staff to and from job sites. Two of the trucks these are replacing are 2011's and
the third was involved in an accident earlier this year and totaled by insurance.
The water trucks are $63,976 each.
The construction trucks are used by both our Highway and Water Departments
for moving staff and equipment to job sites. Both trucks being replaced by the
new trucks are 2007's. The construction trucks are $72,838 each.
Updating these vehicles provides more reliable transportation for our staff and
reduces emissions produced by our fleet. The vehicles will be purchased from
Gorno Ford which is a MiDeal partner. MiDeal is a negotiated state purchasing
contract that local governments can use to purchase vehicles and equipment
at a discounted rate without conducting their own bidding process. These
purchases are within the equipment funds budget for this fiscal year.
STAFF RECOMMENDATION: I move to approve the purchase of three (3) Water
Department trucks and two (2) construction trucks from Gorno Ford totaling
$337,604.
J. Brownfield Plan Development & Reimbursement Agreement, 351 Phase
II, LLC Economic Development
City staff is seeking approval of the Development and Reimbursement
Agreement (D&RA) for 351 Phase II Redevelopment Project of the brownfield
plan amendment. The City Commission previously approved the Brownfield
Plan Amendment for this project on May 13, 2025.
The developer, 351 Phase II LLC, has submitted a D&RA in connection with the
Lakeview Lofts II project, a mixed-use development located on 0.5 acres
adjacent to Lakeview Lofts I. The project consists of the construction of a new
five-story building that will include approximately 3,112 square feet of first-floor
retail space and 64 new residential units comprised of studio and one-bedroom
apartments.
Under the terms of the agreement, the Brownfield Redevelopment Authority will
reimburse the developer for eligible activities and costs through tax increment
revenues for a period of up to 30 years. Reimbursement shall not exceed
$6,540,560.
The project qualifies for housing development activities as 50 percent of the
residential units will be designated for households with incomes at or below 120
percent of the area median income.
STAFF RECOMMENDATION: I move to approve the 351 Phase II, LLC Brownfield

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Development and Reimbursement Agreement and authorize the Mayor and
City Clerk to sign.
M. CORRECTION: PA 210 Commercial Rehabilitation Certificate - 1700 Oak
Avenue Economic Development
CITY STAFF IS SEEKING APPROVAL OF A DATE CORRECTION TO THE RESOLUTION
APPROVING THE CERTIFICATE.
Pursuant to Public Act 210 of 2005, as amended, Muskegon Central Park, LLC
has requested the issuance of a Commercial Rehabilitation Certificate at 1700
Oak Avenue.
Muskegon Central Park, LLC is requesting a Commercial Rehabilitation
Certificate for the property located at 1700 Oak Avenue. This site is the former
General Hospital, which is now planned for redevelopment into six (6) three-
story multifamily buildings, totaling 144 dwelling units ranging from one (1) to
three (3) bedrooms.
A Commercial Rehabilitation District for this site was established following a
public hearing held by the City Commission on July 22, 2025, allowing taxing
jurisdictions the opportunity to provide input. Establishment of the district is a
required step prior to the consideration of a certificate under Public Act 210 of
2005. In addition to the PA 210 incentive, this project also received approval for
a Brownfield Plan Amendment on February 25, 2025. If approved, the
Commercial Rehabilitation Certificate will freeze the taxable value of the
existing building (in this case, the vacant hospital structure), and exempt the
new real property investment from local property taxes for the duration of the
certificate. The school operating tax and State Education Tax (SET) will continue
to be levied. Land and personal property are not eligible for exemption under
this act. The estimated capital investment exceeds $21 million and is expected
to create approximately 100 construction jobs, and generate three (3) new
permanent jobs following project completion.
The City’s internal tax committee has reviewed the application and is
recommending an abatement duration of ten (10) years.
STAFF RECOMMENDATION: I move to approve the Commercial Rehabilitation
Certificate for 1700 Oak Avenue for a duration of ten (10) years, and authorize
the Mayor and City Clerk to sign amended resolution.

Motion by Commissioner German, second by Commissioner Kilgo, to adopt the
Consent Agenda as presented minus items C, D, E, H, K, and L.
ROLL VOTE: Ayes: Gorman, Kochin, St.Clair, Kilgo, and German
Nays: None
MOTION PASSES

2025-80 ITEMS REMOVED FROM THE CONSENT AGENDA

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C. Sale of 452 Adams Planning
Staff is seeking authorization to sell the City-owned vacant lot at 452 Adams to
West Michigan Construction Exchange Company, LLC.
West Michigan Construction Exchange Company, LLC would like to purchase
the City-owned buildable lot at 452 Adams for $3,000 (75% of the True Cash
Value of $4,000) plus half of the closing costs, and the fee to register the deed.
West Michigan Construction Exchange Company, LLC will be constructing a
duplex on the property.
STAFF RECOMMENDATION: Authorize staff to sell the City-owned vacant lot at
452 Adams to West Michigan Construction Exchange Company, LLC.

Motion by Commissioner German, second by Commissioner Kilgo, to authorize
staff to sell the City-owned vacant lot at 452 Adams to West Michigan
Construction Exchange Company, LLC.
ROLL VOTE: Ayes: Kochin, St.Clair, Kilgo, German, and Gorman
Nays: None
MOTION PASSES
D. Sale of 460 Adams Planning
Staff is seeking authorization to sell the City-owned vacant lot at 460 Adams to
West Michigan Construction Exchange Company, LLC.
West Michigan Construction Exchange Company, LLC would like to purchase
the City-owned buildable lot at 460 Adams for $3,000 (75% of the True Cash
Value of $4,000) plus half of the closing costs, and the fee to register the deed.
West Michigan Construction Exchange Company, LLC will be constructing a
duplex on the property.
STAFF RECOMMENDATION: Authorize staff to sell the City-owned vacant lot at
460 Adams to West Michigan Construction Exchange Company, LLC.

Motion by Commissioner German, second by Commissioner Kochin, to
Authorize staff to sell the City-owned vacant lot at 460 Adams to West Michigan
Construction Exchange Company, LLC.
ROLL VOTE: Ayes: St.Clair, Kilgo, German, Gorman, and Kochin
Nays: None
MOTION PASSES
E. Police Department Employment Retainer Bonus Public Safety

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In recognition of the City of Muskegon Police Officer’s tremendous work
performed amidst extraordinary circumstances and to ensure the Muskegon
Police Department continues to retain compassionate, professional, ethical
and community-focused officers for the enhancement of quality of life for all
residents and visitors, the City of Muskegon is proposing to give current officers
a one-time $5,000 Employment Retainer Bonus.
The Muskegon Police Department, like many departments nationwide, has
experienced staffing shortages. Despite these challenges, our officers and
command staff have continued to provide exceptional service to the
community.
To recognize their dedication, the City of Muskegon proposes providing a one-
time Employment Retainer Bonus of $5,000 to all current sworn officers and
command staff (66 employees total). The bonus will be distributed in two
installments of $2,500 each:

• The first installment will be paid during the second pay period in October
2025.

• The second installment will be paid during the second pay period in June
2026.

Funding for this initiative will come from the Police Department’s salary budget,
which currently allocates for 71 sworn officers.
STAFF RECOMMENDATION: I move to approve the one-time $5,000 Employment
Retainer Bonus for all eligible sworn officers of the Muskegon Police
Department.

Motion by Commissioner Kochin, second by Commissioner Kilgo, to approve
the one-time $5,000 Employment Retainer Bonus for all eligible sworn officers of
the Muskegon Police Department.
ROLL VOTE: Ayes: Kilgo, German, Gorman, Kochin, and St.Clair
Nays: None
MOTION PASSES
H. Engineering Services Contract for the Henry Corridor Signal
Improvements Project Public Works
Staff seeks approval to enter into a contract with ROWE Professional Services
Company in the amount of $126,616 for design and construction engineering
services on the Henry Corridor Signal Improvements Project.
Repairs to the traffic signals at the intersections of Henry and Sherman, Henry
and Hackley, and Henry and Laketon have been increasing. These are three
of the oldest signals in the City's system, and they handle a combined 85,000
vehicles per day. The signals are in need of replacement and

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modernization. Staff requested federal Congestion Mitigation and Air Quality
(CMAQ) funding through the MPO (the local committee that distributes federal
transportation funds), and was successful in receiving $250,000. The project
budget is $500,000, with the remainder coming from the City's major streets
fund. Traffic signal design is complex and not something the City has
experience with, so staff solicited proposals from interested engineering firms for
design and construction engineering services, and recommends award to
ROWE Professional Services Company (ROWE) as the highest scored firm. The
scores are based on a combination of the firms' qualifications, project
approach, location and pricing. The proposals are independently scored by
multiple staff from DPW and Engineering and then compared. The scores are
shown below. The project will be constructed in 2027.
Firm Name Score
ROWE 83
Spalding DeDecker 70
Hubbell, Roth & Clark (HRC) 70
DLZ 69
Fleis & VandenBrink 64
Progressive 64
Prein & Newhof 64
Spicer Group 50
STAFF RECOMMENDATION: Move to approve staff to enter into a contract with
ROWE Professional Services Company in the amount of $126,616 for design and
construction engineering services on the Henry Corridor Signal Improvements
Project.

Motion by Commissioner Kochin, second by Commissioner German, to
approve staff to enter into a contract with ROWE Professional Services
Company in the amount of $126,616 for design and construction engineering
services on the Henry Corridor Signal Improvements Project.
ROLL VOTE: Ayes: Kilgo, German, Gorman, Kochin, and St.Clair
Nays: None
MOTION PASSES
K. Fire Marshal Truck Purchase Public Works
Staff seeks approval of the purchase of a new Fire Marshal truck from Gorno
Ford for $59,690.
The Battalion Chief truck was totaled in an accident in late August. Due to this,
the Fire Marshal truck was moved to the Battalion Chief truck and the Fire
Marshal is driving any vehicle available. Due to the unexpected loss of an
emergency response vehicle, a replacement truck was purchased with

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emergency approval from the City Manager. The vehicle was budgeted to be
replaced this year before the accident occurred. We are now retroactively
seeking commission approval for this purchase. The total purchase price is
$59,690. This vehicle was purchased from Gorno Ford which is a MiDeal dealer.
MiDeal is negotiated statewide purchasing contract that local governments
can use in place of their own bidding process.
STAFF RECOMMENDATION: I move to approve the purchase of a new Fire
Marshal truck from Gorno Ford for $59,690.

Motion by Commissioner Kilgo, second by Commissioner Kochin, to move to
approve the purchase of a new Fire Marshal truck from Gorno Ford for $59,690.
ROLL VOTE: Ayes: German, Gorman, Kochin, St.Clair, and Kilgo
Nays: None
MOTION PASSES
L. Brownfield Plan Development and Reimbursement Agreement -
Muskegon-Central Park, LLC Economic Development
City staff is seeking approval of the Development and Reimbursement
Agreement (D&RA) for Muskegon-Central Park, LLC brownfield plan
amendment.
City staff is requesting approval of the Development and Reimbursement
Agreement (D&RA) for the Muskegon-Central Park, LLC redevelopment
project. The City Commission previously approved the Brownfield Plan
Amendment for this project on February 25, 2025.
The developer, Muskegon-Central Park, LLC, has submitted a D&RA for the
redevelopment of the former General Hospital site, a 13.89-acre property
proposed for multi-family residential use. The project consists of the construction
of six new three-story buildings, which will provide a total of 144 housing units.
Of these, 30 units will be income-qualified with rent rates targeted to
households at 69 to 78 percent of Muskegon County’s Area Median Income
(AMI). Each building will contain 24 one- and two-bedroom units, ranging in size
from 663 to 1,307 square feet.
Under the terms of the agreement, the Brownfield Redevelopment Authority will
reimburse the developer for eligible activities and costs through tax increment
revenues for a period of up to 23 years.
The project qualifies for housing development activities as 30 of the residential
units will be designated for households with incomes below 120 percent of the
Area Median Income.
STAFF RECOMMENDATION: I move to approve the Muskegon-Central Park, LLC
Brownfield Development and Reimbursement Agreement and authorize the
Mayor and City Clerk to sign.

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Motion by Commissioner Kochin, second by Commissioner Kilgo, to approve
the Muskegon-Central Park, LLC Brownfield Development and Reimbursement
Agreement and authorize the Mayor and City Clerk to sign.
ROLL VOTE: Ayes: German, Gorman, Kochin, St.Clair, and Kilgo
Nays: None
MOTION PASSES

GENERAL PUBLIC COMMENT
Public comments received.

ADJOURNMENT
The City Commission meeting adjourned at 6:53 p.m.

Respectfully Submitted,

Ann Marie Meisch, MMC City Clerk

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Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: October 14, 2025 Title: DivDat Payment Kiosk Contract

Submitted by: Sarah Wilson, City Treasurer Department: Treasury

Brief Summary:
In December of 2024, we entered into a contract with Diversified Data Processing & Consulting, Inc.
(DivDat) to provide a payment kiosk that can be utilized to pay utility bills and property tax bills when
City Hall is closed. Because there was no cost to the City, the City Manager was able to sign a one-
year contract. Although the contract has an automatical renewal each year, we are looking for City
Commission approval to continue this contract beyond December of 2025, when the initial year
ends.

Detailed Summary & Background:
In December of 2024, we were able to negotiate a contract with DivDat that allowed the City to
place a payment kiosk at City Hall that could be used to pay water/sewer bills, as well as property
tax bills. The kiosk is available just inside the entrance off of Walton Avenue, and is available around
the clock. Payments can be made using cash, check or credit card, and the only fee charged is a
2.49% processing fee charged to the customer, should they choose to pay by credit card. Payments
made by cash or check are fee-free to both the customer and the City.

We were able to enter into the contract with no costs due to allowing the kiosk to be placed at City
Hall and allowing it to accept DTE utility payments as well as City payments. We had a very short
time frame to get this in place, so the initial contract was signed by the City Manager in December of
2024. It fell within his authority to do so, as the contract lasted for one year, and there was no cost to
the City. Now we are asking for Commission approval to continue the contract with DivDat, and to
allow the contract to automatically renew each year. There is a clause that allows us to exit the
contract with 30 days notice should we have a need to do so. The contract was reviewed and
approved by legal counsel in December of 2024, and no changes have been made since the initial
contract was signed.

To this point, we have found that DivDat has been very easy to work with, and we haven't
experienced any problems with the kiosk. DivDat also has created a mobile app that our customers
can use to pay their bills from their smart phones, again with no cost other than a credit card
processing fee.

Goal/Action Item:
2027 Goal 4: Financial Infrastructure

Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:

Amount Requested: Budgeted Item:

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N/A Yes No N/A X

Fund(s) or Account(s): Budget Amendment Needed:
N/A Yes No N/A X

Recommended Motion:
I move to approve the contract with DivDat for the bill payment kiosk with automatic renewal each
year as presented.

Approvals: Name the Policy/Ordinance Followed:
Immediate Division X Sustainability in financial practices and
Head infrastructure

Information X
Technology
Other Division Heads
Communication
Legal Review X

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Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: October 14, 2025 Title: Laketon-Lakeshore Trail Connector
Engineering Change Order

Submitted by: Dan VanderHeide, Public Works Department: Public Works
Director

Brief Summary:
Staff requests approval to enter into an amended Professional Services Agreement with Prein &
Newhof in the amount of $69,590 for final design and construction services related to the Laketon-
Lakeshore Trail Connector.

Detailed Summary & Background:
The Lakeston-Lakeshore Trail Connector is the final piece in a trail system that runs from Hart to
Muskegon, on to Grand Rapids and beyond. It will sit along the east side of Sanford Street and the
west side of Terrace Street from Laketon Avenue to Shoreline Drive, connecting the Laketon Trail and
the Lakeshore Trail. It represents both a connection of two major trail systems as well as a new non-
motorized corridor through, near and to the Marsh Field, McLaughlin, Nelson and Jackson Hill
neighborhoods.

Prein & Newhof was hired in 2021 to help the City obtain funding for and to design the trail. After
advocacy efforts by many in the community, the City was informed in 2023 that the project was
expected to receive about two-thirds of the needed funding from the Transportation Alternatives
Program (TAP) funding through a competitive Michigan Department of Transportation (MDOT) grant
program. Since then, staff and Prein & Newhof have been working hard to meet all the requirements
of that funding program, as well as seeking additional funding to help cover the City's $940,000
match. While none of those additional funding efforts were successful, the City is in a position to
cover the match using funds on hand, and with program requirements met the project is proceeding
to construction in the summer of 2026.

The efforts to meet all requirements of the TAP program, apply for additional funding sources, and
make changes to the preliminary design needed to accommodate future land use changes along
Terrace have effectively used up Prein & Newhof's original contract. While the proposal from Prein &
Newhof details what efforts have been made to date outside the initial scope of their contract, this
amendment will actually provide funds for final design and construction services needed to bring the
project to completion going forward. This project is closely coordinated with the reconstruction of
Apple Avenue, and staff looks forward to Prein & Newhof being able to complete this project next
year using these requested funds.

Goal/Action Item:
2027 Goal 1: Destination Community & Quality of Life - Improved transportation connections
throughout the community

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Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:

Amount Requested: Budgeted Item:
$69,590 Yes No x N/A

Fund(s) or Account(s): Budget Amendment Needed:
Major Streets (202) Yes x No N/A

Recommended Motion:
Move approval for staff to enter into an amended Professional Services Agreement with Prein &
Newhof in the amount of $69,590 for final design and construction services related to the Laketon-
Lakeshore Trail Connector.

Approvals: Name the Policy/Ordinance Followed:
Immediate Division x
Head
Information
Technology
Other Division Heads
Communication
Legal Review

Page 49 of 147
September 10, 2025

Mr. Dan VanderHeide, P.E.
City of Muskegon
Department of Public Works
1350 Keating Avenue
Muskegon, MI 49442

Re: Professional Engineering Services Amendment for Laketon to Lakeshore Trail NMP

Dear Mr. VanderHeide:

We are submitting this amendment request to cover the additional work scope requested by the City,
and to adjust our contract to better align with the final design scope of the project. As you are aware,
the original contract was signed back in December 2021 prior to final scope development.

Significant work outside the original scope related to SHPO clearances and a very lengthy process
for the TAP application resulted in additional work than was in the original scope. The City also
requested assistance with submitting an MDNR Trust Fund Application and an MEDC RAP Grant
application. The RAP grant application required significant work to develop a preliminary design of
Robert C. Lighton Park improvements. Changes were made to the original alignment along Terrace
Street resulting in additional design and survey work. The original scope of the project included only
a limited survey of Terrace Street with the assumption that the City’s Terrace Street design
documents would suffice for the plan development. With the significant realignment of the pathway
from the original concept, additional topographic survey was required to make sure the grades
worked at all crosswalk locations. The breakdown of the additional costs are as follows:

TAP Application assistance and additional SHPO review $11,980.00
RAP Grant Application and Park Preliminary Design $17,340.00
MDNR Trust Fund Application $10,270.00
Terrace Street Topographic Survey $6,500.00
Design Modifications for new alignment $10,000.00
Construction Phase Scope adjustment $13,500.00
Total $69,590.00

We appreciate your consideration of this amendment and are looking forward to the successful
completion of this project. Please contact us if you have any questions.

Sincerely,

Prein&Newhof

Matthew R. Hulst, P.E.

Enclosures: Professional Services Amendment

4910 Stariha Drive Muskegon, MI 49441 t. 231-798-0101 f. 231-798-0337 www.preinnewhof.com
S:\2022\2220254 City of Muskegon\PRM\prp 2025-09-10 VanderHeide.doc
Page 50 of 147
Project No. 2220254

Professional Services Agreement Amendment
Amendment Number : 2

Project Name: Laketon Lakeshore Trail Connector
P&N Representative: Matt Hulst
Client: City of Muskegon
Client Representative: Dan VanderHeide

AGREEMENT: The Agreement Amendment modifies the original agreement for professional services dated:
December 23, 2021

Client hereby requests and authorizes a change in services in accordance with the following:

SCOPE OF SERVICES MODIFICATION:

Provide assistance for application of MDNR Trust Fund and MEDC RAP Grant and park preliminary design.
Additional fee for revising trail alignment. Revised construction phase services to match revised project scope and
fiscal year for construction. See enclosed September 10, 2025 letter.

SCHEDULE OF SERVICES MODIFICATION:

BUDGET MODIFICATION:

$69,590

METHOD OF COMPENSATION:
☐ Lump Sum for Defined Scope of Services
☒ Hourly Billing Rates plus Reimbursable Expenses
☐ Other:

ADDITIONAL PROVISIONS (IF ANY):

None

Prepared by: Accepted for:
Prein&Newhof, Inc. City of Muskegon
Digitally signed by Jason Washler
DN: C=US,
Jason Washler E=jwashler@preinnewhof.com,

By: OU=Prein&Newhof, CN=Jason Washler
Date: 2025.09.10 10:44:13-04'00' By:
Print Name: Jason Washler, P.E. Print Name: Dan VanderHeide, P.E.
Title: Vice President Title: Director of Public Works
Date: Date:

3355 Evergreen Drive, NE Grand Rapids, MI 49525 t.616-364-8491 f. 616-364-6955 www.preinnewhof.com
Template date: October 28, 2015 Page 1 of 1 S:\2022\2220254 City of Muskegon\PRM\psa amend 2025-09-09 No 2.docx
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Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: October 14, 2025 Title: Project Development Agreement with
Johnson Controls, Inc.

Submitted by: Dan VanderHeide, Public Works Department: Public Works
Director

Brief Summary:
Staff requests approval to enter into a contract with Johnson Controls, Inc. in the amount of $554,104,
payment deferred, for engineering and project development services as described in the Project
Development Agreement.

Detailed Summary & Background:
An Energy Performance Contract (EPC), is a financing mechanism where an Energy Service
Company (ESCO) installs, and in some cases maintains, energy-efficient equipment in a customer's
facility and is partially paid for the cost of the project with a portion of the energy savings generated.
The ESCO guarantees a level of energy savings over a specific period, and the customer pays for the
project in part through those savings, typically without upfront expenditures. EPCs are commonly
used by governments to fund energy efficiency and improvement projects in their facilities, and there
are laws in place in Michigan that regulate these activities.

In May of this year, staff issued an RFQ for an Energy Performance Contract Consultant, and the
Commission agreed with staff's recommendation and awarded to Johnson Controls, Inc. (JCI). Staff
recommended entering into this arrangement with goals of improving the DPW facility and making
energy-saving improvements to that facility and others throughout the City. JCI has spent the last 6
months or so working with staff to identify a scope of work that fits well within the framework of an
EPC, as well as makes progress on the City's needs and goals. The specific items of work proposed to
be included in this Project Development Agreement (PDA), a precursor to the EPC itself, are shown
on the included summary document, and are detailed in the agreement as well. One notable item
is preparing for the replacement of all residential water meters in the City (that have not recently
been replaced for other reasons), which is anticipated to increase water system revenue by several
percent by reducing errors.

It's important to know that at this time, staff is asking for approval to enter into a Project Development
Agreement (PDA), not the EPC itself. This agreement will include testing of equipment and meters,
preparation of plans for the improvements, and finalizing the details of the EPC and financing. During
the PDA process, staff will be asked to make a "go/no-go" decision about each scope item
depending on the improvements and finances that are developed for each scope item. The final
EPC may look slightly different than the scope items in the PDA, but staff and JCI anticipate they will
be similar in large part. These efforts are anticipated to include activities identified in the recently
adopted Climate Action Plan, with the goal of reducing the City's carbon footprint and seeing
energy savings.

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While the specific ask is for $554,104, as broken down by fund on the attached summary, it's
important to note that amount is not actually due during the life of this agreement. The costs
associated with the PDA are deferred by JCI until the time the Energy Performance Contract is
entered into, likely late in the Spring of 2026. At that time, these engineering costs will be rolled into
the EPC and paid via the tax-free municipal lease (also known as a lease-purchase) that EPC's are
funded by.

Goal/Action Item:
2027 GOAL 4: FINANCIAL INFRASTRUCTURE - Maximized efficient use of existing infrastructure

Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:

Amount Requested: Budgeted Item:
$554,104 (Deferred) Yes No x N/A

Fund(s) or Account(s): Budget Amendment Needed:
101, 590, 591 and 594 (See breakdown) Yes No x N/A

Recommended Motion:
Move to approve staff to enter into a contract with Johnson Controls, Inc. in the amount of $554,104,
payment deferred, for engineering and project development services as described in the Project
Development Agreement.

Approvals: Name the Policy/Ordinance Followed:
Immediate Division x
Head
Information
Technology
Other Division Heads x
Communication
Legal Review x

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JCI Project Development Agreement
Total Deferred Cost: $554,104
Summary and Cost Breakdown

Water & Sewer (Funds 590, 591): $311,781

• Test approximately 60 large meters (≥3”), evaluating for repair or replacement
• Gather data and prepare for system-wide residential meter replacement
• Design the replacement of several AC units and one boiler at the Filtration Plant
• Perform remote leak detection, identifying potential locations for further investigation
• Analyze sewer manholes for inflow/infiltration, prepare for manhole lining project

DPW Facility (Fund 642): $163,034

• Design replacement of HVAC, electric & lighting, and building envelope review
• Space planning, with preliminary design of building renovations & façade improvements
• Evaluate replacement of existing emergency backup generator

City Hall and Other (Funds 101, 594): $79,289

• Design replacement of existing chiller plant and associated pumping at City Hall
• Perform City Hall building envelope review (windows, doors, insulation, etc.)
• At Hartshorn Marina and select parks, evaluate lighting systems for LED conversion
• At City Hall, Central Fire, cemeteries and select parks:
o Evaluate plumbing fixtures for water-saving replacements
o Evaluate irrigation controllers and systems for smart, water-saving designs

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City of Muskegon PDA rev2.docx

PROJECT DEVELOPMENT AGREEMENT
BETWEEN
City of Muskegon (Customer) Johnson Controls, Inc. (JCI)
1350 E. Keating Ave. AND 3312 Lousma Drive SE
Muskegon, MI 49442 Grand Rapids, MI 49548

The purpose of this Project Development Agreement (PDA) is to confirm the intent of Johnson Controls, Inc. (JCI) and the
City of Muskegon (Customer) to develop an energy performance contract in accordance with Michigan enabling legislation
Public Act 625 of 2012. This agreement will provide the basis of the scope of the PDA, the obligations of both parties, and
the intended outcomes and timeline.

1. Scope of Services
It is the Parties’ mutual understanding this Project Development Agreement will:

a) Provide for the development of Business Improvement Measures (BIMs) addressing the Customer’s
infrastructure that will generate economic benefit in the form, not limited to, utility savings, operational savings,
additional unbilled revenue and avoided capital expenditures. Where possible, JCI will assist the Customer by
providing additional improvements to reduce such items as deferred maintenance backlog or desired City
improvement measures not affordable otherwise. Listed herein is a list of Customer Priority BIMs. The Customer
Priority BIMs are listed in priority order in terms of importance to the Customer achieving their objectives. The
Customer acknowledges that the project may or may not include all the Customer Priority BIMs listed.

1. Public works building:
i. Space planning & remodeling of office area
ii. HVAC system redesigned in office area
iii. HVAC equipment replacement
iv. HVAC equipment controls, setback office area
v. Lighting retro/ replace to LED
vi. Lighting controls / sensors
vii. Building Envelope OHD seals, sweeps, etc.
viii. Vending machine control
ix. Domestic water retrofits
x. Replace the emergency backup generator
2. City Hall:
i. HVAC – Chiller & Pump replacement
ii. Rebalance HHW system at VFD
iii. Building Envelope door seals, sweeps, etc.
iv. Irrigation updates to controller
v. Domestic water retrofits
3. Water Filtration Plant:

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Page 55 of 147
City of Muskegon PDA rev2.docx

i. Replace 1 Boilers & pumps with high eff. & Controls update
ii. Replace lab AC - undersized
iii. Replace IT closet AC
iv. Replace older R-22 AC units
4. Water Distribution:
i. Water Meter Replacement
ii. Potential right sizing/right-typing of existing meters
iii. Other potential usage of the AMI network (remote shut-off valves)
iv. Customer Portal for end-users
v. Inventory of Lead Service Lines
vi. Leak detection solution
5. Sewage Collection:
i. Select Manholes to be rehabilitated for Inflow & Infiltration (I/I) reduction.
6. Central Fire Station #3:
i. Irrigation updates to controller
7. Cemeteries:
i. Irrigation updates to controller
8. Hartshorn Marina:
i. Lighting retro/ replace to LED
ii. Domestic water retrofits
iii. DHW heaters replacement
9. Select Parks in the City:
i. Domestic water retrofits
ii. Irrigation updates to controller
b) Assist the Customer in arranging for project financing.
c) Provide details for a comprehensive water meter replacement program to include the following:
i. Utility Billing Extract used to create the water model and determine project benefits.
1. Data will be used to identify accounts that may be billed incorrectly for further investigation.
2. Identify possible meter right typing candidates.
3. Generate anticipated project benefits based on the billing system extract and mutually
agreed-upon meter accuracy expectations for meter sizes 2” and smaller. JCI will not test any
meters which are 2” or smaller in size for the purposes of determining the accuracy of
existing meters.

ii. Large Meter Survey
1. Survey and audit large water meters and settings to determine which large water meters
may be tested, which large water meters are correctly typed for the current application, and
which large meter settings need improvement. For the purpose of this Agreement, large
water meters are defined as 1.5 or 2” compound, 1.5” or 2” turbine, 3” and larger meters.
Fire line meters (meters which only serve fire services and do not provide domestic water
supply) shall be excluded from the survey. The quantities to be surveyed are as follows per
information that was received from the customer during our preliminary analysis:
Meters size, Known quantity
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Page 56 of 147
City of Muskegon PDA rev2.docx

a. 1.5” (0)
b. 2” (0)
c. 3" (37)
d. 4" (38)
e. 6" (12)
f. 8" (1)
g. 10" and larger (1)
If additional quantities of large water meters are found, JCI may request a change order
to this Agreement.
2. JCI may request that the Customer’s staff to provide and install water isolation valves at
certain locations for the purpose of testing the water meter at that facility.
3. JCI requires that the Customer provide an escort during the large meter survey and testing.

iii. Large Meter Testing
1. JCI shall attempt to test up to sixty (60) large water meters in the Customer’s system
assuming that the large meter survey finds sixty (60) meters that are able to be tested. In
order for a large meter to be a candidate for large meter testing, the following criteria must
be met:
a. A working inlet valve
b. A working outlet valve
c. An accessible test port or backflow device
d. The ability to isolate the meter so that no flow shall pass through the meter
during large meter testing efforts
e. The ability to temporarily shut down water service to the existing customer
unless there is an existing bypass which can be opened and utilized during our
large meter testing efforts
If JCI does not find sixty (60) large meters that are able to be tested during the large meter
survey, JCI shall test the maximum number of large meters that are possible to test.
2. Large water meter testing requires coordination with both the Customer and the end user.
Customer shall be responsible for scheduling large meter tests with the owners of meters
which are selected for testing.
3. If a water meter isolation valve has failed, JCI may request the Customer to replace that
valve. JCI requests that the Customer exercise the large water meter isolation valves prior
to the start of large water meter testing.
4. If a large water meter is tested and found not to meet the AWWA M6 Manual New Meter
Accuracy Standard of 100% +/- 1.5%, and if repair parts for this meter are readily available,
JCI will inform the Customer and request permission to repair the meter while the large
meter testing crew is on site. JCI will provide the Customer with an estimate of the cost to
repair the meter (parts and labor) at that time. Once the repairs have been completed, JCI
will re-test the water meter to verify that the accuracy of the meter has been restored. At
the end of the meter testing effort, JCI will submit a detailed change order to the existing
Project Development Agreement (PDA) between the Customer and JCI for the cost of
repairing any inaccurate large water meters.

iv. Customer shall furnish to JCI, upon its request, the following information:

City of Muskegon PDA rev2.docx
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1. A billing system data extract. Billing and consumption information shall be provided for each
account and shall be in a Tab or pipe delimited format with the first line of the file being a
header line to denote the data in each column. Comma delimited can be used if commas are
not used in the Actual Field Data as this causes import issues. JCI requires a minimum 24
months of data which shall include the Customer’s preferred base year for the project (i.e. a
year that is considered by the Customer to demonstrate “typical” and “repeatable”
consumption). This file should include Water, Sewer, Reclaim, and Irrigation accounts. If any
meters are non-revenue meters and do not have a separate rate code, please identify them
in a separate list. Also, please identify any Sewer Only Accounts.
Note: The script or report used to provide this data extract should be available on an
ongoing basis, so that this data format can be requested and delivered for
monthly/quarterly analysis, for whatever period the data is needed.
See Appendix A for detailed Information that is requested for each account

2. Descriptions of any changes in the utility infrastructure or any of its operating systems.
3. Water quality test results.
4. All operational cost records for relevant (Customer) infrastructure and services that will be
impacted by the project.
5. Descriptions of relevant operational or maintenance procedures utilized by (Customer).
6. Copies of available historical water audits.
7. List and location of manholes rated as Risk of Failure 5-Highest per the 2017 Manhole
Condition (Customer) Survey , clarifying any manholes that should be removed from the
audit and reason (e.g. already rehabilitation, demolition scheduled)
8. Traffic control as needed for I&I survey
9. Any other pertinent information as requested by JCI, if any.

2. Development Schedule
It is the intent and commitment of all parties identified in this Agreement to work diligently, and cause others to work
diligently under their direction to achieve the Milestone Schedule identified herein:

Milestone* Completion Date
JCI provides PDA 09.11.25
Execution of PDA 09.19.25
JCI Commences on-site work 09.22.25
JCI performs M&V workshop #1 09.22.25
Water Meter Workshop, portal, remote disconnect 09.22.25
JCI Receives complete database extract 09.26.25
JCI detailed site surveys commence 09.29.25

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Manhole Rehab kick off 10.01.25
Lighting Survey 10.03.25
Manhole Rehab survey 10.06.25
A&E workshop on refurbishment scope 10.06.25
Onsite Large Meter Audit 10.07.25
On site measurements & loggers data gathering for HVAC 10.10.25
Mechanical, controls scope surveys, building envelope & water 10.17.25
retrofit surveys onsite
JCI Present Preliminary go/no go scope review 11.07.25
JCI to complete meter testing program 12.8-19.25
JCI perform M&V workshop #2 01.16.26
Workshop with City to discuss final project 02.13.26
Legal Review of City Completion 02.20.26
Presentation to City Officials 02.27.26
Contract Approval and execution March 2026
*These milestones may be modified by subsequent work plans mutually agreed upon by both parties.

3. Deliverables
Upon completion of the project development, JCI shall deliver to the Customer:

a) A written description of each BIM proposed to be implemented. A list of the specific improvements and
operational efficiency measures that JCI proposes.
i. A projection of potential cost savings
ii. An estimate of the inflow and infiltration reduction resulting from manhole rehabilitation project; (for
purposes of this study, we will use an agreed upon infiltration rate). Parties will mutually agree to
baseline. Inflow and infiltration flow into manholes will not be tested pre and post retrofit.
iii. An estimate of the improved system accuracy and resulting increased billable revenues; (for purposes of
this study, we will use an agreed upon, meter accuracy, baseline, and tier structure). Parties will mutually
agree to small and intermediate meter baseline and accuracy gains. These will not be sampled or tested.
iv. A projection of improved system accuracy and resulting billable revenues for large water meters that are
tested as part of project development along with accuracy results from those testing efforts.
v. A summary of the cost required to realize the proposed improvements.
b) A formal offer in the form of a guaranteed savings contract to execute the project (see Paragraph 6:
Implementation Agreement).
c) A financial pro forma cash flow documenting the proposed project. The pro forma will include applicable annual
costs and benefits that affect the project outcome such as financing, energy, water, sewer, labor, maintenance,
and any added capital contributions.

d) A preliminary schedule for implementation of the project.

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e) A summary of the Measurement & Verification plan, including proposed IPMV protocols, such as Option A, B, C,
or D that will be used for each BIM.

JCI in its Scope of Services under this Agreement takes no responsibility for: (i) increasing the capacity of backup or
emergency power supplies; (ii) identification or remedy of any existing noncompliance; (iii) evaluation and/or design of
improvements necessary to address (A) conditions not identified or accounted, or (B) emerging contaminants in solids,
including but not limited to, pharmaceuticals, microplastics, and per- and polyfluoralky substances (PFAS) (“Emerging
Contaminants”); and (iv) the handling, disposal or removal of hazardous substances or Emerging Contaminants in
equipment, materials, or the environment, provided, however, that nothing in this paragraph shall limit JCI’s liability for its
negligence or willful misconduct, or failure to perform its expressly assumed obligations under this Agreement in
accordance with applicable professional standards.

4. Customer Priority BIMs
This section left blank intentionally.

5. Records and Data
During the project development, the Customer will furnish to JCI upon its request, accurate and complete data
concerning current: system performance data if available; costs; budgets; facilities requirements; future projected loads;
system operating requirements; collective bargaining agreements; etc.

JCI will provide a separate document with a formal request for the required information shortly commencing onsite
activities. The Customer shall make every effort to provide that information within 5 days of request.

6. Preparation of Implementation Agreement
JCI will develop the framework of the subsequent Implementation Agreement and the Financing Agreement if
applicable. JCI and Customer shall work diligently during the project development to complete and populate contract
documents. The form of the documents will vary depending on Customer requirements, state statute where applicable
and JCI requirements, but where prudent shall utilize JCI standard documents.

7. Project Development Cost and Payment Terms
Customer agrees to the cost for JCI to provide project development services identified here in is $554,104 (Five hundred
fifty-four thousand, one hundred and four dollars) and is payable within 60 days after JCI provides the Deliverables Commented [DV1]: To match 60 day decision timeframe
identified herein. in next paragraph.

However, Customer will have no obligation to pay this amount if JCI and the Customer enter into the Implementation
Agreement (outlined in Paragraph 6) within 60 days after JCI provides the Deliverables. Costs for project development
will be transferred to the total cost of the implementation Contract and be subject to the payment terms outlined in the
Contract.

Obligation to pay if JCI satisfies requirements - Customer shall pay the amount indicated if JCI satisfies the requirements
set forth in Paragraph 3 “Deliverables” and the Customer elects not to implement a project with JCI.

Obligations of Customer - To work with JCI in a diligent and timely manner according to the co-authored Timeline to
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develop the engineering study. Provide open disclosure of information required to do an accurate assessment and
properly position JCI with any other pertinent data to insure a cooperative and successful effort. Failure of the Customer
to meet the agreed upon milestones in Section 2 “Development Schedule” does not void JCI’s claim on the PDA cost.

8. Insurance and Indemnity
JCI shall maintain insurance in the amounts set forth below in full force and effect at all times until the PDA scope of
work has been completed and shall provide a certificate evidencing such coverage promptly following Customer’s
request therefor. Customer shall be named an additional insured as to the CGL coverage.

COVERAGES LIMITS OF LIABILITY
Workmen's Compensation Insurance or self- Statutory
insurance, including Employer's Liability
Commercial General Liability Insurance $5,000,000 Per Occurrence
$5,000,000 Aggregate
Comprehensive Automobile Liability Insurance $5,000,000 Combined Single Limit
The above limits may be obtained through primary and excess policies and may be subject to
self-insured retentions.

Neither JCI nor the Customer will be responsible to the other for any special, indirect, or consequential damages. JCI’s
liability under this agreement, regardless of the form of action, shall in no event exceed the amount of JCI’s cost to provide
project development services under Paragraph 7 (Project Development Cost and Payment Terms).

9. Disputes
If a dispute arises under this Agreement, the parties shall promptly attempt in good faith to resolve the dispute by
negotiation. All disputes not resolved by negotiation shall be resolved in accordance with the Commercial Rules of the
American Arbitration Association in effect at the time, except as modified herein. All disputes shall be decided by a
single arbitrator. A decision shall be rendered by the arbitrator no later than nine months after the demand for
arbitration is filed, and the arbitrator shall state in writing the factual and legal basis for the award. The arbitrator shall
issue a scheduling order that shall not be modified except by the mutual agreement of the parties. Judgment may be
entered upon the award in the highest State or Federal court having jurisdiction over the matter. The prevailing party
shall recover all costs, including attorney’s fees, incurred as a result of this dispute.

10. Confidentiality
This agreement creates a confidential relationship between JCI and Customer. Both parties acknowledge that while
performing this Agreement, each will have access to confidential information, including but not limited to systems,
services or planned services, suppliers, data, financial information, computer software, processes, methods, knowledge,
ideas, marketing promotions, current or planned activities, research, development, and other information relating to the
other party (“Proprietary Information”). Except as authorized in writing both parties agree to keep all Proprietary
Information confidential. JCI may only make copies of Proprietary Information necessary for performing its services.
Upon cessation of services, termination, or expiration of this Agreement, or upon either party’s request, whichever is
earlier, both parties will return all such information and all documents, data and other materials in their control that
contain or relate to such Proprietary Information. The parties stipulate that this agreement does not supersede laws and
regulations that require the Customer to maintain or disclose certain information due to the Customer’s status as a
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municipal corporation incorporated in the state of Michigan.

JCI and Customer understand that this is a confidential project and agree to keep and maintain confidentiality regarding its
undertaking of this project. JCI shall coordinate its services only through the designated Customer representative and shall
provide information regarding this project to only those persons approved by Customer. JCI will be notified in writing of
any changes in the designated Customer representative.

11. Miscellaneous Provisions
Any evaluation or implementation of disinfection or related technology is intended to be used as a tool for helping
Customer manage its response to the unknown and challenging environment in which Customer is working to address
the unprecedented COVID-19 pandemic, or to be prepared for future outbreaks of COVID-19 or other pandemics. JCI
cannot guarantee that the products provided will prevent the spread of COVID-19 or any other disease or keep any
person safe. JCI EXPRESSLY DISCLAIMS ANY WARRANTY THAT THE PRODUCTS WILL ELIMINATE, PREVENT, TREAT OR
MITIGATE THE SPREAD, TRANSMISSION, OR OUTBREAK OF COVID-19 OR ANY OTHER PATHODEN, DISEASE, VIRUS, OR
OTHER CONTAGION.

This Agreement cannot be assigned by either party without the prior written consent of the other party. This Agreement
is the entire Agreement between JCI and the Customer and supersedes any prior oral understandings, written
agreements, proposals, or other communications between JCI and the Customer. Any change or modification to this
Agreement will not be effective unless made in writing. This written instrument must specifically indicate that it is an
amendment, change, or modification to this Agreement.

This document represents the business intent of both parties and should be executed by the parties who would
ultimately be signatory to a final agreement.

JOHNSON CONTROLS, INC. CITY OF MUSKEGON

By Bradford G. Estadt By

Signature Signature
Title General Manager – Sustainable Infrastructure Title

Date Date

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Appendix A:

Information requested for each account:
• Municipality
• Account Number
• Account Sequence - (optional and if applicable)
• Meter Sequence - (optional and if applicable)
• Cycle Code - (optional and if applicable)
• Route Code - (optional and if applicable)
• Sequence - (optional and if applicable)
• Latitude - (optional and if applicable)
• Longitude - (optional and if applicable)
• Customer Name (optional but highly recommended)
• Service Address (location of the Meter)
• Billing Address (if different than the Service Address)
• Zip Code
• Account Status (Active, Inactive, etc.)
• Date of last Status Change (when account become inactive. If Possible)
• Service Class (Water, Irrigation, Sewer)
• Rate Code (Assigns Rate Structure to the Account' s Service Class) - (Please provide one line of data
per rate code)
o Water, Sewer, Irrigation
• County Code Indicator (Inside/Outside) -If this exists
• Service Classification (Water, Sewer, etc.)
• Meter Size (0.625, 0.5,0.75, 1,1.25,1.5,2, or 5/8,1/2,3/4,1,1 1/2, etc.)
• Meter Manufacturer (optional but highly recommended)
• Meter Serial Number ((for water meter and associated sewer account))
• Register ID #
• Radio ID # (ERT, SmartPoint, MIU, etc.)
• Install Date (preferred format mm/dd/yyyy)
• Meter Location Information (optional)
• Meter Read Date - (preferred format mm/dd/yyyy)
• Current Register reading (Need to know meter registration; gals, kgals, cu.ft., etc)
• Bill Units (gals, kgals, cu. ft., etc)
• Billed Consumption
• Multiplier (if used)
• Usage / Billed consumption (Need to know billed units; gals, kgals, cu.ft., etc)
• Bill Amount (For each rate code item - only include direct charges for amount consumed and do not
include taxes, late charges, fees, etc.)
• Reading Type (estimated or actual, if available)
• Multi-Units -the number of units served by one meter on an individual account, if used to calculate
either water or sewer billing revenue (if applicable). Ex: 150 units served by one 2" meter supplying a
condominium complex.
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Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: October 14, 2025 Title: Sale of 821/856/923 Emerald, 213/275/313
Myrtle, 480 Oak, 302 Orchard, 822/980 Williams,
and 462 White.

Submitted by: Samantha Pulos, Code Department: Planning
Coordinator

Brief Summary:
Staff is seeking authorization to sell the City-owned vacant lots at 821/856/923 Emerald, 213/275/313
Myrtle, 480 Oak, 302 Orchard, 822/980 Williams, and 462 White to CSM PROPERTIES OF WEST
MICHIGAN, LLC (Chris McAuley).

Detailed Summary & Background:
CSM PROPERTIES OF WEST MICHIGAN, LLC (Chris McAuley) would like to purchase the City-owned
buildable lots at 821/856/923 Emerald, 213/275/313 Myrtle, 480 Oak, 302 Orchard, 822/980 Williams,
and 462 White to build single family homes. 313 and 275 Myrtle will be split into two buildable lots
each, and 822 Williams will be split into three buildable lots.

Goal/Action Item:
2027 Goal 2: Economic Development Housing and Business

Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:

Amount Requested: Budgeted Item:
N/A Yes No N/A x

Fund(s) or Account(s): Budget Amendment Needed:
N/A Yes No N/A x

Recommended Motion:
To authorize the Code Coordinator to complete the sale of 821/856/923 Emerald, 213/275/313 Myrtle,
480 Oak, 302 Orchard, 822/980 Williams, and 462 White, as described in the attached purchase
agreement and to have the Mayor and Clerk sign the purchase agreement.

Approvals: Name the Policy/Ordinance Followed:
Immediate Division x Master Plan, Zoning Ordinance, Policy for the Use
Head & Sale of City-Owned Residential Property

Information

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Technology
Other Division Heads x
Communication
Legal Review x

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PURCHASE AND DEVELOPMENT AGREEMENT

This Purchase and Development Agreement (“Agreement”) is made October 14th, 2025 (“Effective
Date”), between the City of Muskegon, a Michigan municipal corporation, of 933 Terrace Street,
Muskegon, Michigan 49440 (“City”), and CSM PROPERTIES OF WEST MICHIGAN, LLC, a
Michigan limited liability company, of P.O. BOX 1811, Holland, MI, 49422, (“Developer”), with
reference to the following facts:

Background

A. City is the owner of eleven (11) buildable lots, being 821 Emerald, 856 Emerald, 923
Emerald, 213 Myrtle, 313 Myrtle, 275 Myrtle, 480 Oak, 302 Orchard, 822 Williams, 980 Williams and 462
White, more specifically described in attached Exhibit A. Prior to closing, City shall split one or more of
the lots into fifteen (15) lots, more specifically described in attached Exhibit B.

B. Developer proposes to purchase and develop the fifteen (15) vacant lots owned by City,
which are all located in the City of Muskegon, Muskegon County, Michigan, and each commonly known
and legally described on the attached Exhibit B (each property individually, a “Parcel” and collectively
“Project Properties”).

C. City and Developer desire to establish the terms, covenants, and conditions upon which
City will sell and Developer will purchase and develop the Project Properties. Developer intends to develop
on each of the Project Properties a single-family house (the “Project”).

Therefore, for good and valuable consideration, the parties agree as follows:

1. Sale and Purchase of Project Properties. City agrees to sell to Developer, and Developer
agrees to purchase from City, on the terms and subject to the conditions set forth in this Agreement, the
Project Property, subject to reservations, restrictions, and easements of record.

2. Purchase Price. The total purchase price for the Project Property shall be $28,200.00,
which shall be paid in cash or other immediately available funds at Closing (defined below) less the $1000
deposit that the Developer has paid to the City of Muskegon.

Pursuant to Paragraph 3(b) below, the parties acknowledge and agree that Developer shall be eligible to be
reimbursed all or a portion of the purchase price for the Parcel upon the completion of certain design
standards as further described herein.

3. Construction and Development Requirements.

a. Construction Dates. The parties acknowledge and agree that Developer shall have
a period of twenty-four (24) months from the date of Closing to complete the Project (“Construction
Period”), except as otherwise provided in this Agreement or as otherwise mutually agreed upon by
the parties in writing.

b. Construction Details; Purchase Price Reimbursement. Developer’s construction
and development of the Project Properties, including single-family homes, duplexes, triplexes, and

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accessory dwelling units, shall be in substantial conformance with its plans and specifications
provided to City by Developer or as otherwise agreed upon in writing between City and Developer.
As referenced above, Developer shall be eligible for reimbursement of all or a portion of the
purchase price for the Project Properties upon Developer’s satisfaction of the following design
standards for each single-family home, duplex, triplex, and accessory dwelling unit it constructs on
the Project Properties. If the Project includes an accessory dwelling unit, both the primary dwelling
unit (single-family home, duplex, triplex) and the accessory dwelling unit must meet the design
standards outlined below to be eligible for reimbursement.

Design Standard Purchase Price Reimbursement for Parcel
Open front porch of at least 60 sq. ft. 20%
Picture or bay window 20%
Alley-loaded parcel 20%
Shutter or other acceptable window 20%
treatments
Underground Sprinkling 20%

(By way of example only: If Developer completes three of the design standards listed above for
the construction at the Parcel located at 980 Williams, Developer would be reimbursed $1,440.00,
which is 60% of the $2,400.00 purchase price for this Parcel. If Developer completes all five
design standards, Developer would be reimbursed the entire purchase price for this Parcel.)

4. Right of Reversion. Notwithstanding anything herein to the contrary, and as security for
Developer’s obligation to commence and complete construction of a single-family house on each of the
Project Properties, the quit claim deed conveying the Project Properties to Developer shall contain a right
of reversion in all of the Project Properties (“City’s Reversionary Right”), which may be exercised by City,
in its sole and absolute discretion, if any of the following conditions occur:

a. Developer does not commence construction within sixty (60) days after the date of
Closing, in which case title to all of the Project Properties shall automatically revert to City upon
the terms and conditions further provided in this Paragraph 4 below. For purposes of this Paragraph
4(a), commencing construction means furnishing labor and materials to the Parcel of the Project
Property and beginning installation of the approved single-family home.

b. Developer does not complete construction of the Project Property prior to
expiration of the Construction Period, in which case title to any of the Project Properties that are
not complete by the end of the Construction Period shall automatically revert to City upon the terms
and conditions further provided in this Paragraph 4 below. For purposes of this Paragraph 4(b),
completing construction means the issuance of an occupancy permit by City for the Project
Property. Provided, however, the parties agree to reasonably negotiate an extension of the
Construction Period up to a period of six (6) months for the Project Property that have a completed
foundation before the expiration of the initial Construction Period.

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reasonable steps to ensure City acquires marketable title to the Project Property, as the case may be, through
its exercise of its rights under this Paragraph within thirty (30) days of City’s demand, including without
limitation, the execution of appropriate deeds and other documents.

In addition, if the Project Property revert to City, City may retain the purchase price for such Project
Property free and clear of any claim of Developer or its assigns. In the event of reversion of title of the
Project Property, improvements made on such Project Property shall become the property of City. In no
event shall the Project Property be in a worse condition than upon the date of Closing. These covenants and
conditions shall run with the land and be recorded in the quit claim deed from City to Developer.

5. Title Insurance. Within five (5) days after the Effective Date, Developer shall order a title
commitment for an extended coverage ALTA owner’s policy of title insurance issued by Transnation Title
Agency (the “Title Company”) for the Project Property in the amount of the total purchase price for the
Project Property and bearing a date later than the Effective Date, along with copies of all of the underlying
documents referenced therein (the “Title Commitment”). Developer shall cause the Title Company to issue
a marked-up commitment or pro forma owner’s policy with respect to the Project Property at the Closing
naming Developer as the insured and in form and substance reasonably satisfactory to Developer, but
subject to Permitted Exceptions (defined below). As soon as possible after the Closing, Developer shall
cause the Title Company to furnish to Developer an extended coverage ALTA owner’s policy of title
insurance with respect to the Project Property (the “Title Policy”). City shall be responsible for the cost of
the Title Policy; provided, however, Developer shall be solely responsible for the cost of any endorsements
to the Title Policy that Developer desires.

6. Title Objections. Developer shall have until the end of the Inspection Period (as defined
below) within which to raise objections to the status of City’s title to the Project Properties. If objection to
the title is made, City shall have seven (7) days from the date it is notified in writing of the particular defects
claimed to either (a) remedy the objections, or (b) notify Developer that it will not remedy the objections.
If Developer does not notify City in writing as to any title or survey objections, then Developer will be
deemed to have accepted the condition of title as set forth in the Title Commitment. If City is unwilling or
unable to remedy the title or obtain title insurance over such defects within the time period specified, then
notwithstanding anything contained herein to the contrary, Developer may, at its option, upon written notice
to City, either (i) terminate this Agreement and neither City nor Developer shall have any further obligation
to the other pursuant to this Agreement, except as otherwise provided herein, or (ii) waive such objection,
in which case such objection shall become a Permitted Exception, and thereafter proceed to the Closing
according to the terms of this Agreement. Any matter disclosed on the Title Commitment that is waived or
not objected to by Developer shall be deemed a “Permitted Exception.”

7. Property Taxes and Assessments. City shall be responsible for the payment of all real
estate taxes and assessments that become due and payable prior to Closing, without proration. Developer
shall be responsible for the payment of all real estate taxes and assessments that become due and payable
after Closing, without proration.

8. Survey. Developer at its own expense may obtain a survey of any or all of the Project
Property, and Buyer or its surveyor or other agents may enter any of the Project Property for that purpose
prior to Closing. If no survey is obtained, Developer agrees that Developer is relying solely upon
Developer's own judgment as to the location, boundaries, and area of the Project Property and
improvements thereon without regard to any representations that may have been made by City or any other
person. In the event that a survey by a registered land surveyor made prior to Closing discloses an
encroachment or substantial variation from the presumed land boundaries or area, City shall have the option
of affecting a remedy within seven (7) days after disclosure, or terminate this Agreement. Developer may
elect to purchase the Project Property subject to said encroachment or variation.

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9. Inspection Period. At Developer’s sole option and expense, Developer and Developer’s
agents may conduct inspections of each of the Project Property within thirty (30) days after the Effective
Date (“Inspection Period”). Developer’s inspection under this Paragraph may include, by way of example
but not limitation, inspections of any existing improvements to each Parcel, other systems servicing the
Parcel, zoning, and the suitability for Developer’s intended purposes for each Parcel. If Developer, in
Developer’s reasonable discretion, is not satisfied with the results of the inspections for any reason,
Developer shall notify City in writing of Developer’s prior to expiration of the 30-day Inspection Period. If
Developer so notifies City, this Agreement shall be terminated and have no further force and effect. If no
written objection is made by Developer within the stated period, this inspection contingency shall be
deemed to be waived by Developer and the parties shall proceed to Closing in accordance with the terms
of this Agreement.

10. Condition of Project Property. City and Developer acknowledge and agree that the Parcel
in the Project Property is being sold and delivered “AS IS”, “WHERE IS” in its present condition. Except
as specifically set forth in this Agreement or any written disclosure statements, City has not made, does not
make, and specifically disclaims any and all representations, warranties, or covenants of any kind or
character whatsoever, whether implied or express, oral or written, as to or with respect to (i) the value,
nature, quality, or condition of any of the Project Property, including without limitation, soil conditions,
and any environmental conditions; (ii) the suitability of the Project Property for any or all of Developer’s
activities and uses; (iii) the compliance of or by the Project Property with any laws, codes, or ordinances;
(iv) the habitability, marketability, profitability, or fitness for a particular purpose of the Project Property;
(v) existence in, on, under, or over the Project Property of any hazardous substances; or (vi) any other matter
with respect to the Project Property. Developer acknowledges and agrees that Developer has or will have
the opportunity to perform inspections of the Project Property pursuant to this Agreement and that
Developer is relying solely on Developer’s own investigation of the Project Property and not on any
information provided to or to be provided by City (except as specifically provided in this Agreement). If
the transaction contemplated herein closes, Developer agrees to accept the respective Project Property
acquired by Developer and waive all objections or claims against City arising from or related to such Project
Property and any improvements thereon except for a breach of any representations or warranties or
covenants specifically set forth in this Agreement. In the event this transaction closes, then subject to City’s
express representations, warranties, and covenants in this Agreement, Developer acknowledges and agrees
that it has determined that the respective Project Property it has acquired and all improvements thereon are
in a condition satisfactory to Developer based on Developer’s own inspections and due diligence, and
Developer has accepted such Project Property in their present condition and subject to ordinary wear and
tear up to the date of Closing. The terms of this Paragraph shall survive the Closing and/or the delivery of
the deed.

11. Developer’s Representations and Warranties of Developer. Developer represents,
covenants, and warrants the following to be true:

a. Authority. Developer has the power and authority to enter into and perform
Developer’s obligations under this Agreement.

b. Litigation. No judgment is outstanding against Developer and no litigation, action,
suit, judgment, proceeding, or investigation is pending or outstanding before any forum, court, or
governmental body, department or agency or, to the knowledge of Developer, threatened, that has
the stated purpose or the probable effect of enjoining or preventing the Closing.

c. Bankruptcy. No insolvency proceeding, including, without limitation, bankruptcy,
receivership, reorganization, composition, or arrangement with creditors, voluntary or involuntary,

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affecting Developer or any of Developer's assets or properties, is now or on the Closing Date will
be pending or, to the knowledge of Developer, threatened.

12. Conditions Precedent. This Agreement and all of the obligations of Developer under this
Agreement are, at Developer’s option, subject to the fulfillment, before or at the time of the Closing, of
each of the following conditions:

a. Performance. The obligations, agreements, documents, and conditions required to
be signed and performed by City shall have been performed and complied with before or at the date
of the Closing.

b. City Commission Approval. This Agreement is approved by the Muskegon City
Commission.

13. Default.

a. By Developer. In the event Developer fails to comply with any or all of the
obligations, covenants, warranties, or agreements under this Agreement and such default is not
cured within ten (10) days after receipt of notice (other than Developer’s failure to tender the
purchase price in full at Closing, a default for which no notice is required), then City may terminate
this Agreement.

b. By City. In the event City fails to comply with any or all of the obligations,
covenants, warranties or agreements under this Agreement, and such default is not cured within ten
(10) days after receipt of notice, then Developer may either terminate this Agreement or Developer
may pursue its legal and/or equitable remedies against City including, without limitation, specific
performance.

14. Closing.

a. Date of Closing. The closing date of this sale shall be as mutually agreed by the
parties, but in no event later than 60 days from the City Commission’s approval of the sale
(“Closing”), unless this Agreement is terminated in accordance with its provisions. The Closing
shall be conducted at such time and location as the parties mutually agree.

b. Costs. The costs associated with this Agreement and the Closing shall be paid as
follows: (i) Developer shall pay any state and county transfer taxes in the amount required by law;
(ii) City shall pay the premium for the owner’s Title Policy, provided that Developer shall pay for
any and all endorsements to the Title Policy that Developer desires; (iii) City shall be responsible
to pay for the recording of any instrument that must be recorded to clear title to the extent required
by this Agreement; (iv) Developer shall pay for the cost of recording the deed; and (v) Developer
and City shall each pay one-half of any closing fees charged by the Title Company.

c. Deliveries. At Closing, City shall deliver a quit claim deed for the Project
Properties and Developer shall pay the purchase price. The quit claim deed to be delivered by City
at closing shall include the City Right of Reversion described in Paragraph 4 above. The parties
shall execute and deliver such other documents reasonably required to effectuate the transaction
contemplated by this Agreement.

15. Real Estate Commission. Developer and City shall each be responsible for any fees for
any real estate agents, brokers, or salespersons regarding this sale that it has hired, but shall have no

Page 70 of 147
obligation as to any fees for any real estate agents, brokers, or salespersons regarding this sale that the other
party has hired.

16. Notices. All notices, approvals, consents and other communications required under this
Agreement shall be in writing and shall be deemed given: (i) when delivered in person; (ii) when sent by
fax or email: (iii) when sent by a nationally-recognized receipted overnight delivery service with delivery
fees prepaid; or (iv) when sent by United States first-class, registered, or certified mail, postage prepaid.
The notice shall be effective immediately upon personal delivery or upon transmission of the fax or email;
one day after depositing with a nationally recognized overnight delivery service; and five (5) days after
sending by first class, registered, or certified mail.

Notices shall be sent to the parties as follows:

To City: City of Muskegon
Attn.: Samantha Pulos, Code Coordinator
933 Terrace Street
Muskegon, MI 49440

To Developer: CSM PROPERTIES OF WEST MICHIGAN, LLC
P.O. BOX 1811
Holland, MI, 49422
Email: chris@chrismcauley.com

17. Miscellaneous.

a. Governing Law. This Agreement will be governed by and interpreted in
accordance with the laws of the state of Michigan.

b. Entire Agreement. This Agreement constitutes the entire agreement of the parties
and supersedes any other agreements, written or oral, that may have been made by and between the
parties with respect to the subject matter of this Agreement. All contemporaneous or prior
negotiations and representations have been merged into this Agreement.

c. Amendment. This Agreement shall not be modified or amended except in a
subsequent writing signed by all parties.

d. Binding Effect. This Agreement shall be binding upon and enforceable by the
parties and their respective legal representatives, permitted successors, and assigns.

e. Counterparts. This Agreement may be executed in counterparts, and each set of
duly delivered identical counterparts which includes all signatories, shall be deemed to be one
original document.

f. Full Execution. This Agreement requires the signature of all 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.

g. Non-Waiver. No waiver by any party of any provision of this Agreement shall
constitute a waiver by such party of any other provision of this Agreement.

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h. 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 of this Agreement shall not in any way be impaired or
affected.

i. No Reliance. Each party acknowledges that it has had full opportunity to consult
with legal and financial advisors as it has been deemed necessary or advisable in connection with
its decision to knowingly enter into this Agreement. Neither party has executed this Agreement in
reliance on any representations, warranties, or statements made by the other party other than those
expressly set forth in this Agreement.

j. Assignment or Delegation. Except as otherwise specifically set forth in this
Agreement, neither party shall assign all or any portion of its rights and obligations contained in
this Agreement without the express or prior written approval of the other party, in which approval
may be withheld in the other party's sole discretion.

k. Venue and Jurisdiction. The parties agree that for purposes of any dispute in
connection with this Agreement, the Muskegon County Circuit Court shall have exclusive personal
and subject matter jurisdiction and that Muskegon County is the exclusive venue.

This Agreement is executed effective as of the Effective Date set forth above.

CITY: DEVELOPER:

CITY OF MUSKEGON CSM PROPERTIES OF WEST MICHIGAN, LLC

By: _______________________________
By: _______________________________ Name: Chris McAuley
Name: Ken Johnson Dated: __________________
Title: Mayor
Dated: __________________

By: _______________________________
Name: Ann Marie Meisch
Title: City Clerk
Dated: __________________

Page 72 of 147
Exhibit A

The following described premises located in the City of Muskegon, County of Muskegon, State of
Michigan, and legally described as follows:

Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 LOT 12 BLK 43
Address: 462 WHITE AVE, MUSKEGON, MI 49442
Parcel #: 61-24-205-043-0012-00
Price: $2,400.00

Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 LOTS 7-9 BLK 48 EXC N 33
FT OF LOTS 7 & 9 ALSO EXC E 30 FT OF LOT 9
Address: 822 WILLIAMS ST, MUSKEGON, MI 49442
Parcel #: 61-24-205-048-0007-00
Price: $3,000.00
(TO BE SPLIT INTO THREE BUILD-ABLE LOTS)

Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 LOT 7 & N 41 FT LOT 8
BLK 57
Address: 980 WILLIAMS ST, MUSKEGON, MI 49442
Parcel #: 61-24-205-057-0007-00
Price: $2,400.00

Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 S 6 FT OF W 1/2 LOT 8
& W 1/2 LOT 9 BLK 41
Address: 480 OAK AVE, MUSKEGON, MI 49442
Parcel #: 61-24-205-041-0008-10
Price: $2,400.00

Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 E 62 FT LOT 9 BLK 201
Address: 302 ORCHARD AVE, MUSKEGON, MI 49442
Parcel #: 61-24-205-201-0009-00
Price: $2,400.00

Legal Description: CITY OF MUSKEGON REVISED PLAT 1903 LOT 4 BLK 205
Address: 213 MYRTLE AVE, MUSKEGON, MI 49442
Parcel #: 61-24-205-205-0004-00
Price: $2,400.00

Legal Description: CITY OF MUSKEGON REVISED PLAT 1903 N 86 FT LOT 1 ON EMERALD
ST & 48 1/2 FT ON WLY SIDE BLK 201 ALSO PART OF LOTS 2 & 3 COM AT NE COR LOT 2
TH SWLY ALONG SLY LN MYRTLE AVE 53.5 FT TH SELY @ RT ANGLES TO MYRTLE AVE
66.9 FT TH E 8.15 FT TO E LN OF LOTS 2 & 3
Address: 313 MYRTLE, MUSKEGON, MI 49442
Parcel #: 61-24-205-201-0001-00
Price: $3,000.00
(TO BE SPLIT INTO TWO BUILD-ABLE LOTS)

Page 73 of 147
Legal Description: CITY OF MUSKEGON REVISED PLAT 1903 LOTS 5 & 6 & THAT PART OF
LOT 4 DESC AS COM @ NW COR LOT 9 TH E 8 FT TH N 12.5 FT TH NWLY 14FT TH S 25 FT
TO BEG BLK 201
Address: 275 MYRTLE, MUSKEGON, MI 49442
Parcel #: 61-24-205-201-0005-00
Price: $3,000.00
(TO BE SPLIT INTO TWO BUILD-ABLE LOTS)

Legal Description: CITY OF MUSKEGON REVISED PLAT 1903 LOT 12 AND S 16 1/2 FT LOT 1
AND N 49 1/2 FT OF S 115 1/2 FT LOT 3 BLK 201
Address: 821 EMERALD ST, MUSKEGON, MI 49442
Parcel #: 61-24-205-201-0012-00
Price: $2,400.00

Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 E 9.4 FT OF N 44 FT LOT 4
& S 22 FT OF E 40.4 FT LOT 4 & S 3 FT OF E 25.6 FT OF W 91.6 FT LOT 4 & S 2 FT OF W 66
FT LOT 4 & N 1/2 LOT 5 BLK 203
Address: 856 EMERALD ST, MUSKEGON, MI 49442
Parcel #: 61-24-205-203-0005-00
Price: $2,400.00

Legal Description: CITY OF MUSKEGON REVISED PLAT 1903 S 1/2 LOT 1 BLK 210
Address: 923 EMERALD ST, MUSKEGON, MI 49442
Parcel #: 61-24-205-210-0001-00
Price: $2,400.00

Page 74 of 147
Exhibit B

The following described premises located in the City of Muskegon, County of Muskegon, State of
Michigan, and legally described as follows:

Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 LOT 12 BLK 43
Address: 462 WHITE AVE, MUSKEGON, MI 49442
Parcel #: 61-24-205-043-0012-00
Price: $2,400.00

Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 S ½ LOT 8 & S 33 FT EXC
E 30 FT LOT 9 BLK 48
Address: 822 WILLIAMS ST, MUSKEGON, MI 49442
Parcel #: TBD
Price: $1,000.00 (TO BE SPLIT INTO THREE BUILD-ABLE LOTS)

Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 N ½ LOT 8 & N 33 FT OF
THE S 66 FT EXC E 30 FT LOT 9 BLK 48
Address: 818 WILLIAMS ST, MUSKEGON, MI 49442
Parcel #: TBD
Price: $1,000.00 (SPLIT FROM 822 WILLIAMS)

Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 S ½ LOT 7 & N 33 FT OF
THE S 99 FT EXC E 30 FT LOT 9 BLK 48
Address: 814 WILLIAMS ST, MUSKEGON, MI 49442
Parcel #: TBD
Price: $1,000.00 (SPLIT FROM 822 WILLIAMS)

Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 LOT 7 & N 41 FT LOT 8
BLK 57
Address: 980 WILLIAMS ST, MUSKEGON, MI 49442
Parcel #: 61-24-205-057-0007-00
Price: $2,400.00

Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 S 6 FT OF W 1/2 LOT 8
& W 1/2 LOT 9 BLK 41
Address: 480 OAK AVE, MUSKEGON, MI 49442
Parcel #: 61-24-205-041-0008-10
Price: $2,400.00

Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 E 62 FT LOT 9 BLK 201
Address: 302 ORCHARD AVE, MUSKEGON, MI 49442
Parcel #: 61-24-205-201-0009-00
Price: $2,400.00

Legal Description: CITY OF MUSKEGON REVISED PLAT 1903 LOT 4 BLK 205
Address: 213 MYRTLE AVE, MUSKEGON, MI 49442
Parcel #: 61-24-205-205-0004-00
Price: $2,400.00

Page 75 of 147
Legal Description: CITY OF MUSKEGON REVISED PLAT 1903 N 86 FT LOT 1 ON EMERALD
ST & 48 1/2 FT ON WLY SIDE EXC W 19 FT BLK 201
Address: 313 MYRTLE, MUSKEGON, MI 49442
Parcel #: TBD
Price: $1,500.00 (TO BE SPLIT INTO TWO BUILD-ABLE LOTS)

Legal Description: CITY OF MUSKEGON REVISED PLAT 1903 W 19 FT OF N 86 FT LOT 1 ON
EMERALD ST & 48 1/2 FT ON WLY SIDE BLK 201 ALSO PART OF LOTS 2 & 3 COM AT NE
COR LOT 2 TH SWLY ALONG SLY LN MYRTLE AVE 53.5 FT TH SELY @ RT ANGLES TO
MYRTLE AVE 66.9 FT TH E 8.15 FT TO E LN OF LOTS 2 & 3
Address: 311 MYRTLE, MUSKEGON, MI 49442
Parcel #: TBD
Price: $1,500.00 (SPLIT FROM 313 MYRTLE)

Legal Description: CITY OF MUSKEGON REVISED PLAT 1903 LOTS 5 & THAT PART OF LOT
4 DESC AS COM @ NW COR LOT 9 TH E 8 FT TH N 12.5 FT TH NWLY 14FT TH S 25 FT TO
BEG BLK 201
Address: 285 MYRTLE, MUSKEGON, MI 49442
Parcel #: TBD
Price: $1,500.00 (TO BE SPLIT INTO TWO BUILD-ABLE LOTS)

Legal Description: CITY OF MUSKEGON REVISED PLAT 1903 LOTS 6 BLK 201
Address: 275 MYRTLE, MUSKEGON, MI 49442
Parcel #: TBD
Price: $1,500.00 (SPLIT FROM 275 MYRTLE)

Legal Description: CITY OF MUSKEGON REVISED PLAT 1903 S 1/2 LOT 1 BLK 210
Address: 923 EMERALD ST, MUSKEGON, MI 49442
Parcel #: 61-24-205-210-0001-00
Price: $2,400.00

Page 76 of 147
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: October 14, 2025 Title: Sale of 1967 Reynolds

Submitted by: Samantha Pulos, Code Department: Planning
Coordinator

Brief Summary:
Staff is seeking authorization to sell the City-owned vacant lot at 1967 Reynolds to Shequita Brown.

Detailed Summary & Background:
Shequita Brown would like to purchase the City-owned buildable lots at 1967 Reynolds to build a
triplex. She is the owner of an adjacent property. The lot is 50' x 125' with an alley, and meets the
Zoning Ordinance size requirements for a triplex. The purchase price is $4,275.00, which is 75% of the
True Cash Value ($5,700).

Goal/Action Item:
2027 Goal 2: Economic Development Housing and Business

Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:

Amount Requested: Budgeted Item:
N/A Yes No N/A x

Fund(s) or Account(s): Budget Amendment Needed:
N/A Yes No N/A x

Recommended Motion:
To authorize the Code Coordinator to complete the sale of 1967 Reynolds, as described in the
attached purchase agreement and to have the Mayor and Clerk sign the purchase agreement.

Approvals: Name the Policy/Ordinance Followed:
Immediate Division x Master Plan, Zoning Ordinance, Policy for the Use
Head & Sale of City-Owned Residential Property

Information
Technology
Other Division Heads x
Communication
Legal Review x

Page 77 of 147
Page 78 of 147
PURCHASE AND DEVELOPMENT AGREEMENT

This Purchase and Development Agreement (“Agreement”) is made October 14th, 2025 (“Effective
Date”), between the City of Muskegon, a Michigan municipal corporation, of 933 Terrace Street,
Muskegon, Michigan 49440 (“City”), and Shequita Brown, 1961 Reynolds St, Muskegon, MI 49442
(“Developer”), with reference to the following facts:

Background

A. Developer proposes to purchase and develop one (1) vacant property owned by City which
is located in the City of Muskegon, Muskegon County, Michigan, and each commonly known and legally
described on the attached Exhibit A (each property individually, a “Parcel” and collectively “Project
Property”).

B. City and Developer desire to establish the terms, covenants, and conditions upon which
City will sell and Developer will purchase and develop the Project Property. Developer intends to develop
on the Project Property one (1) triplex. (the “Project”).

Therefore, for good and valuable consideration, the parties agree as follows:

1. Sale and Purchase of Project Property. City agrees to sell to Developer, and Developer
agrees to purchase from City, on the terms and subject to the conditions set forth in this Agreement, the
Project Property, subject to reservations, restrictions, and easements of record.

2. Purchase Price. The total purchase price for the Project Property shall be $4,275.00,
which shall be paid in cash or other immediately available funds at Closing (defined below) less the $400
deposit that the Developer has paid to the City of Muskegon.

3. Construction and Development Requirements.

a. Construction Dates. The parties acknowledge and agree that Developer shall have
a period of eighteen (18) months from the date of Closing to complete the Project (“Construction
Period”), except as otherwise provided in this Agreement or as otherwise mutually agreed upon by
the parties in writing.

b. Construction Details; Purchase Price Reimbursement. Developer’s construction
and development of the Project Property, including single-family homes, duplexes, triplexes, and
accessory dwelling units, shall be in substantial conformance with its plans and specifications
provided to City by Developer or as otherwise agreed upon in writing between City and Developer.
As referenced above, Developer shall be eligible for reimbursement of all or a portion of the
purchase price for the Project Property upon Developer’s satisfaction of the following design
standards for each single-family home, duplex, triplex, and accessory dwelling unit it constructs on
the Project Property. If the Project includes an accessory dwelling unit, both the primary dwelling
unit (single-family home, duplex, triplex) and the accessory dwelling unit must meet the design
standards outlined below to be eligible for reimbursement.

Page 79 of 147
Design Standard Purchase Price Reimbursement for Parcel
Open front porch of at least 60 sq. ft. 20%
Picture or bay window 20%
Alley-loaded parcel 20%
Shutter or other acceptable window 20%
treatments
Underground Sprinkling 20%

(By way of example only: If Developer completes three of the design standards listed above for
the construction at the Parcel located at 1967 Reynolds, Developer would be reimbursed $2,565.00,
which is 60% of the $4,725.00 purchase price for this Parcel. If Developer completes all five design
standards, Developer would be reimbursed the entire purchase price for this Parcel. If Developer
builds a duplex or small multiplex, Developer would be reimbursed 100% of the purchase price for
this Parcel.)

4. Right of Reversion. Notwithstanding anything herein to the contrary, and as security for
Developer’s obligation to commence and complete construction of a triplex on each of the Project Property,
the quit claim deed conveying the Project Property to Developer shall contain a right of reversion in all of
the Project Property (“City’s Reversionary Right”), which may be exercised by City, in its sole and absolute
discretion, if any of the following conditions occur:

a. Developer does not commence construction within sixty (60) days after the date of
Closing, in which case title to all of the Project Property shall automatically revert to City upon the
terms and conditions further provided in this Paragraph 4 below. For purposes of this Paragraph
4(a), commencing construction means furnishing labor and materials to the Parcel of the Project
Property and beginning installation of the approved triplex.

b. Developer does not complete construction of the Project Property prior to
expiration of the Construction Period, in which case title to any of the Project Property that are not
complete by the end of the Construction Period shall automatically revert to City upon the terms
and conditions further provided in this Paragraph 4 below. For purposes of this Paragraph 4(b),
completing construction means the issuance of an occupancy permit by City for the Project
Property. Provided, however, the parties agree to reasonably negotiate an extension of the
Construction Period up to a period of six (6) months for the Project Property that have a completed
foundation before the expiration of the initial Construction Period.

If any of the above conditions occur, City shall automatically have City’s Reversionary Right to reacquire
title to the Project Property, as the case may be. To exercise City’s Reversionary Right described herein,
City must provide written notice to Developer (or its permitted successors, assigns, or transferees) within
thirty (30) days of Developer’s failure under this Agreement, but in any event prior to Developer satisfying
the conditions set forth in Paragraph 4(a) or Paragraph 4(b) above, as the case may be, and record such
notice with the Muskegon County Register of Deeds. Upon request of City, Developer shall take all
reasonable steps to ensure City acquires marketable title to the Project Property, as the case may be, through
its exercise of its rights under this Paragraph within thirty (30) days of City’s demand, including without
limitation, the execution of appropriate deeds and other documents.

Page 80 of 147
Project Property, improvements made on such Project Property shall become the property of City. In no
event shall the Project Property be in a worse condition than upon the date of Closing. These covenants and
conditions shall run with the land and be recorded in the quit claim deed from City to Developer.

6. Title Objections. Developer shall have until the end of the Inspection Period (as defined
below) within which to raise objections to the status of City’s title to the Project Property. If objection to
the title is made, City shall have seven (7) days from the date it is notified in writing of the particular defects
claimed to either (a) remedy the objections, or (b) notify Developer that it will not remedy the objections.
If Developer does not notify City in writing as to any title or survey objections, then Developer will be
deemed to have accepted the condition of title as set forth in the Title Commitment. If City is unwilling or
unable to remedy the title or obtain title insurance over such defects within the time period specified, then
notwithstanding anything contained herein to the contrary, Developer may, at its option, upon written notice
to City, either (i) terminate this Agreement and neither City nor Developer shall have any further obligation
to the other pursuant to this Agreement, except as otherwise provided herein, or (ii) waive such objection,
in which case such objection shall become a Permitted Exception, and thereafter proceed to the Closing
according to the terms of this Agreement. Any matter disclosed on the Title Commitment that is waived or
not objected to by Developer shall be deemed a “Permitted Exception.”

9. Inspection Period. At Developer’s sole option and expense, Developer and Developer’s
agents may conduct inspections of each of the Project Property within thirty (30) days after the Effective
Date (“Inspection Period”). Developer’s inspection under this Paragraph may include, by way of example
but not limitation, inspections of any existing improvements to each Parcel, other systems servicing the
Parcel, zoning, and the suitability for Developer’s intended purposes for each Parcel. If Developer, in

Page 81 of 147
Developer’s reasonable discretion, is not satisfied with the results of the inspections for any reason,
Developer shall notify City in writing of Developer’s prior to expiration of the 30-day Inspection Period. If
Developer so notifies City, this Agreement shall be terminated and have no further force and effect. If no
written objection is made by Developer within the stated period, this inspection contingency shall be
deemed to be waived by Developer and the parties shall proceed to Closing in accordance with the terms
of this Agreement.

11. Developer’s Representations and Warranties of Developer. Developer represents,
covenants, and warrants the following to be true:

a. Authority. Developer has the power and authority to enter into and perform
Developer’s obligations under this Agreement.

c. Bankruptcy. No insolvency proceeding, including, without limitation, bankruptcy,
receivership, reorganization, composition, or arrangement with creditors, voluntary or involuntary,
affecting Developer or any of Developer's assets or property, is now or on the Closing Date will be
pending or, to the knowledge of Developer, threatened.

Page 82 of 147
a. Performance. The obligations, agreements, documents, and conditions required to
be signed and performed by City shall have been performed and complied with before or at the date
of the Closing.

b. City Commission Approval. This Agreement is approved by the Muskegon City
Commission.

13. Default.

14. Closing.

c. Deliveries. At Closing, City shall deliver a quit claim deed for the Project Property
and Developer shall pay the purchase price. The quit claim deed to be delivered by City at closing
shall include the City Right of Reversion described in Paragraph 4 above. The parties shall execute
and deliver such other documents reasonably required to effectuate the transaction contemplated
by this Agreement.

15. Real Estate Commission. Developer and City shall each be responsible for any fees for
any real estate agents, brokers, or salespersons regarding this sale that it has hired, but shall have no
obligation as to any fees for any real estate agents, brokers, or salespersons regarding this sale that the other
party has hired.

Page 83 of 147
fees prepaid; or (iv) when sent by United States first-class, registered, or certified mail, postage prepaid.
The notice shall be effective immediately upon personal delivery or upon transmission of the fax or email;
one day after depositing with a nationally recognized overnight delivery service; and five (5) days after
sending by first class, registered, or certified mail.

Notices shall be sent to the parties as follows:

To City: City of Muskegon
Attn.: Samantha Pulos, Code Coordinator
933 Terrace Street
Muskegon, MI 49440

To Developer: Shequita Brown
1961 Reynolds St
Muskegon, MI 49442
Email: sheq2788@icloud.com

17. Miscellaneous.

a. Governing Law. This Agreement will be governed by and interpreted in
accordance with the laws of the state of Michigan.

c. Amendment. This Agreement shall not be modified or amended except in a
subsequent writing signed by all parties.

d. Binding Effect. This Agreement shall be binding upon and enforceable by the
parties and their respective legal representatives, permitted successors, and assigns.

e. Counterparts. This Agreement may be executed in counterparts, and each set of
duly delivered identical counterparts which includes all signatories, shall be deemed to be one
original document.

g. Non-Waiver. No waiver by any party of any provision of this Agreement shall
constitute a waiver by such party of any other provision of this Agreement.

h. 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 of this Agreement shall not in any way be impaired or
affected.

i. No Reliance. Each party acknowledges that it has had full opportunity to consult
with legal and financial advisors as it has been deemed necessary or advisable in connection with

Page 84 of 147
its decision to knowingly enter into this Agreement. Neither party has executed this Agreement in
reliance on any representations, warranties, or statements made by the other party other than those
expressly set forth in this Agreement.

This Agreement is executed effective as of the Effective Date set forth above.

CITY: DEVELOPER:

CITY OF MUSKEGON Shequita Brown

By: _______________________________ By: _______________________________
Name: Ken Johnson Name: Shequita Brown
Title: Mayor Dated: __________________
Dated: __________________

By: _______________________________
Name: Ann Marie Meisch
Title: City Clerk
Dated: __________________

Page 85 of 147
Exhibit A

The following described premises located in the City of Muskegon, County of Muskegon, State of
Michigan, and legally described as follows:

Legal Description: CITY OF MUSKEGON TERRACE ST ADD BLK 3 LOT 9
Address: 1967 REYNOLDS ST , MUSKEGON, MI 49442
Parcel #: 61- 24-796-003-0009-00
Price: $4,275.00

Page 86 of 147
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: October 14, 2025 Title: Adelaide Point, Extension of Timeline for
Park-like Improvements — Hartshorn Peninsula

Submitted by: Jonathan Seyferth, City Manager Department: Manager's Office

Brief Summary:
In May 2025, the City Commission set a deadline for the developer of Adelaide Point to have park
improvements on the Hartshorn Peninsula completed by November 1, 2025. This action would
provide additional time until May 1, 2026, if additional specific steps are met.

Detailed Summary & Background:
The May 2025 letter (attached for reference) was sent by city staff at the direction of the City
Commission. There were two primary deadlines in the agreement: improvements were required to
commence by July 1, 2025 (which they did), and the improvements were required to be completed
by November 1, 2025. At the time of this meeting, the bike trail has been completed. However,
improvements to Hartshorn Peninsula have not been completed and will not be completed by the
November 1, 2025, deadline.

As the bike trail has been completed, city staff is proposing that the completion deadline for the
Hartshorn Peninsula improvements be extended until May 1, 2026, with the condition that updated
surveys, legal descriptions, and (if needed) easements for the completed bike trail be recorded with
the County Register of Deeds by December 1, 2025. Recording of the deed will show city ownership
and clarify who owns what in that area. The city is currently contracting with Westshore for the survey
work on the bike trail. If this work is not completed by the specified date or if Adelaide Point does not
sign off on the required paperwork, the city may take action in December as outlined in the
attached letter.

It's important to note that the May 1, 2026, deadline would allow the public to use the improvements
for the 2026 season. Additionally, Independent Bank has taken steps to appoint a receiver to finish
the condo project. Any stability the city can provide to partner with the bank as it navigates this
process is in the best interest of the community to see the project completed.

Goal/Action Item:
2027 Goal 1: Destination Community & Quality of Life

Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:

Amount Requested: Budgeted Item:
n/a Yes No N/A X

Page 87 of 147
Fund(s) or Account(s): Budget Amendment Needed:
n/a Yes No N/A X

Recommended Motion:
To extend the deadline for park improvements at Hartshorn Park and Launch ramp until May 1, 2026.

Approvals: Name the Policy/Ordinance Followed:
Immediate Division X
Head
Information
Technology
Other Division Heads X
Communication
Legal Review X

Page 88 of 147
Adelaide Pointe
1204 W. Western Avenue
Muskegon, MI 49441

City of Muskegon
933 Terrace Street
Muskegon, MI 49441

September 30, 2025

Dear Commissioners,

We are grateful for the City’s ongoing partnership in the Adelaide Pointe project and for your
commitment to making Muskegon a vibrant, welcoming community. Our shared goal has
always been to create lasting prosperity through new jobs, economic activity, and public
access to the waterfront.

As you know, the original vision for Adelaide Pointe was structured as a 10-year project. In
response to strong demand, we accelerated that timeline to just ﬁve years. While
construction is now largely complete, the project is still in a critical “stabilization” phase.
Many of the businesses and assets are only partially occupied, and it will take time for
revenues to reach their full potential. This period is normal for large-scale developments,
but it places signiﬁcant short-term strain on available cash ﬂow.

We have also faced unexpected hurdles that have intensiﬁed this pressure, including
delayed condo construction that lowered appraisal value, regulatory hurdles that required
costly expert work, and higher-than-expected startup expenses across multiple business
units. Most recently, Independent Bank’s decision to restrict access to $600,000 of our
project funds, while unilaterally deciding not to renew our condo line that has been
properly serviced has created additional strain and drawn unnecessary negative press.
These actions are not reﬂective of the project’s strong fundamentals or our consistent
record of meeting obligations. We are actively working with new equity and ﬁnancing
partners who recognize the value of Adelaide Pointe, and we are conﬁdent this situation
will be resolved in a way that strengthens the project going forward.

Because of these realities, we are not in a position to move forward immediately with
certain city improvements that were originally expected to happen alongside development.
We want to assure you this is a matter of timing, not intent. Our proposal is to complete the
requested parking lot and bike path improvements by May 1, 2026, once operations have
stabilized and cash ﬂow has balanced.

Page 89 of 147
We care deeply about Muskegon and remain conﬁdent in the long-term success of
Adelaide Pointe. With your continued partnership, we will continue to deliver on our
promises while also protecting the stability of the project so that it can thrive for decades to
come.

Thank you for your understanding and support.

Sincerely,

Aubrey Glick

Adelaide Pointe CEO

Page 90 of 147
CITY MAN AGER'S OFFICE

May 14, 2025

Adelaide Pointe QOZB, LLC
Attn: Ryan Leestma
1204 West Western Ave.
Muskegon, MI 49441

Re: Adelaide Pointe PUD

Dear Mr. Leestma,

The Cooperative Use Agreement dated September 13, 2022 (“Agreement”) between the City of Muskegon
(“City”) and Adelaide Pointe QOZB, LLC (“APQ”) requires APQ to comply with the approved Adelaide Pointe
PUD (“APQ PUD”). We reviewed the final APQ PUD and all the amendments. While
APQ’s focus has been primarily on the first condominium building, the commercial buildings, and the marina,
many of the improvements required by the APQ PUD remain incomplete.

The following table provides the level of completion of each improvement required by the APQ PUD as of the
date of this letter.

Type of Improvement Required PUD Improvements # Completed
Commercial Buildings 8 Buildings 7 Buildings
Residential Buildings 4 Buildings 1 Building (core and shell)
Mixed Use Buildings 4 Buildings 4 Buildings
Marina / Marina Services 10 Improvements 6 Improvements
Public Amenities 9 Improvements 3 Improvements
Street Lights 84 Street Lights 5 Street Lights
Pedestrian Lights 65 Lights 0 Lights
Tilt Bollard Lights 36 Bollard Lights 0 Bollard Lights
Streets 4 Streets 2 Partially completed
Landscape Plan 475 Landscape Plantings 51 Plantings
Park Type Improvements 3 Peninsulas 2 Peninsulas
Bike Path 1 Not Complete
East Basin Parking Lot 1 Not Commenced

Violation of PUD Zoning Ordinance

The final APQ PUD was approved by the City Commission on September 28, 2021.

Section 2101 of the Zoning Ordinance describes the “Regulations, Standards and Requirements” for Planned
Unit Developments. Section 2101, paragraph 5 provides:

a. Construction of the Improvements shown on the approved final PUD plan with all proposed
buildings, parking areas, landscaping and infrastructure must commence within one year of
approval by the City Commission.

b. Construction must be continued in a reasonable, diligent manner and be completed within five
(5) years.

231 .724 .6 7 24 | 933 Terrace St, Muskegon, MI 49440-1397 | www.shorelinecity.com
Page 91 of 147
Page |2

Many of the APQ PUD improvements, including the improvements to be made on the City Property (“City
Property Improvements”), did not commence within one year of approval of either the final APQ PUD or the
latest amendment. Additionally, construction of the City Property Improvements has not continued in a
reasonable, diligent manner.

Cooperative Use Agreement

The Agreement provides that APQ shall comply with the APQ PUD and make all improvements consistent with
all laws, statutes, ordinances, orders, rules, regulations, permits, licenses, authorizations, directives, and
requirements of all governments and governmental authorities.

Additionally, under the Agreement APQ agreed to, “…complete the City Property Improvements
contemporaneously with the completion of the APQ Property Improvements.” APQ has completed its
improvements to the peninsulas owned by APQ and has provided public access to both. However, the City
Property Improvements remain incomplete. Portions of the bike trail are finished but the bike trail is not
complete. No improvements have been made to East Basin Park and the parking lot for the East Basin has not
commenced.

Compliance with APQ PUD and Agreement.

There is much to be done to come into compliance with both the APQ PUD and the Agreement. Most important
to the City and the minimum requirements for APQ to complete are:

1. Completion of the Bike Path;
2. Completion of the East Basin Park; and,
3. Completion of the parking lot for the East Basin Park.
(together, the “Minimum Requirements”)

The City recognizes that APQ has entered into a Settlement Agreement with EGLE to resolve several violations
of EGLE regulations, but we believe that none of the EGLE restrictions will have an impact on the completion
of the Minimum Requirements.

The construction of the non-permitted Minimum Requirements must commence by July 1, 2025, and be
completed by November 1, 2025. A permit determination must be made by June 15, 2025, for all other
Minimum Requirements. Applications must be submitted within 30 days of this determination, and
construction must commence within 30 days of permit issuance. Failure to meet these deadlines will result in
enforcement action by the City of both its Zoning Ordinance and for breach of the Agreement.

If further discussion is needed, please contact me.

Jonathan C Seyferth, ICMA-CM

City Manager

23 1 .72 4 .6 72 4 | 933 Terrace St, Muskegon, MI 49440-1397 | www.shorelinecity.com
Page 92 of 147
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: October 14, 2025 Title: Policy for the Use & Sale of City-Owned
Residential Property: Amendment

Submitted by: Samantha Pulos, Code Department: Planning
Coordinator

Brief Summary:
The current Policy for the Use & Sale of City-Owned Residential Property was last updated in 2022. This
amendment makes minor changes to the policy without changing the essence. There have been
changes to purchase prices, reimbursement amounts, and the removal of the language of a
landscaping grant that is no longer offered.

Detailed Summary & Background:
Last updated in 2022, the Policy for the Use & Sale of City-Owned Residential Property has been
changed as follows:

• “Lot Use: Permanent Use Options”, the “Public Space” bullet point, has been removed.
• “Lot Use: Temporary Use Options”, language has been added to the “Adopt-a-Lot” bullet
point clarifying that infill housing on lots will supersede the Adopt-a-Lot designation.
• “Buildable Lot Sales”, the lot pricing, has changed the reimbursement amount for all lots built
on to 80%. The purchase price of lots for single-family homes remains the same at 75% of the
True Cash Value of the property. The purchase price of lots for single-family homes plus
accessory dwelling units, duplexes, or small multiplexes is changed to be 50% of the True Cash
Value of the property.
• “Development Incentives”, all housing types will now receive a 100% reduction in
water/sewer connection fees if the address is included in the City’s Brownfield Plan
Amendment or if a developer completes construction of three of any type of housing units.
• “Non-Buildable Lot Sales”, the Landscaping Incentive, has been removed. This has not been
budgeted for or administered in recent years.

Goal/Action Item:
2027 Goal 2: Economic Development Housing and Business

Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:
n/a

Amount Requested: Budgeted Item:
n/a n/a

Fund(s) or Account(s): Budget Amendment Needed:

Page 93 of 147
n/a n/a

Recommended Motion:
To approve and accept the amended Policy for the Use & Sale of City-Owned Residential Property.

Approvals: Name the Policy/Ordinance Followed:
Immediate Division Head, Other Division Head, Policy for the Use & Sale of City-Owned
Legal Review Residential Property

Page 94 of 147
City of Muskegon
Policy for the Use & Sale of City-Owned Residential Property
Objective

The City of Muskegon owns a significant number of vacant lots throughout the city. These lots cost
money to maintain and do not generate taxes, but they do offer opportunities for infill housing
development and public use. Selling vacant lots for residential development will create much needed
housing options, expand the residential tax base, and alleviate the City of maintenance costs. Citizen-
lead initiatives like urban farms, community gardens and the Adopt-A-Lot Program (part of the
Neighborhood Empowerment Grant) are all resources the City can utilize to defer maintenance costs and
reduce blight, while the lots are being marketed for sale. There are also instances in which the City
may wish to hold on to a vacant lot, or acquire additional land, to combine with an existing property.
Vacant lots can also be valuable to complete existing/planned projects, or to offer easements to
essential/recreation services. In order to utilize City-owned vacant lots to their fullest potential, the
City has developed this policy for their use and sale to private ownership.

Lot Types

Buildable Lots – Buildable lots are defined as lots suitable in size and configuration, under Zoning
Ordinance regulations for the construction of housing units. Some City-owned lots are much larger than
needed to construct various housing types. As a condition of sale, the buyer must commence
construction 1 within 18 months of the date of purchase of the property, or it will revert back to the City's
ownership - free and clear of any claim of the buyer. Some exceptions to this time period will be made,
at the City’s discretion, for the purchase of multiple lots by a single buyer.

Non-Buildable Lots – Non-buildable lots are defined as lots that are insufficient in size or configuration,
for new construction, under Zoning Ordinance regulations. These lots may only be sold to adjacent
property owners, neighborhood associations, or valid non-profit agencies to expand, improve, or beautify
the property. In the event that multiple adjacent owners seek to purchase a property, the City shall divide
the property in the most equitable manner.

*Lot Splits and Combinations - Where applicable, staff will split or combine lots to create the best
potential for future development. Staff may also recommend that only a portion of a buildable lot be
sold, if it is in the best interest for future development, and if the remaining portion is also a buildable
lot.

1
“Commence Construction” means that a buyer has furnished labor and materials to the parcel of the project
property, and has begun the installation of the approved new construction, as defined in the purchase and
development agreement.

1
Page 95 of 147
Lot Use

The following is a list of potential uses for City-owned vacant lots.

Buildable Lots and Large Blocks of Land (listed in order of highest priority)
Permanent Use Options:
• New Housing Development – All buildable lots will be marketed for sale for residential
development. If multiple parties are interested, preference will be given to projects with higher
density and, where applicable, staff reserves the right to split or combine lots to create the best
potential for future development.
Temporary Use Options:
• Community Garden – Groups that agree to maintain the lot may use it for gardening. Please see
Section 2313 of the Zoning Ordinance for guidelines on community gardens. Lots will remain for
sale by the City, however, lots will not transfer ownership during the growing season.
• Adopt-A-Lot – Neighborhood Associations may adopt lots as part of the Neighborhood
Empowerment Program. Please see the Neighborhood Empowerment Program guidelines
document. Lots will remain for sale by the City, and sales for infill housing will supersede Adopt-
A-Lot designation.

Non-Buildable Lots (listed in order of highest priority)
Permanent Use Options:
• Yard Addition –Non-buildable lots should be sold to an adjacent property owner whenever
possible. Additional yard space may also be used for anything allowed by the zoning ordinance;
such as house/garage/shed/pool additions, etc.
• Public Space – The use of the lot for a park or other type of community gathering place. Most lots
may not be appropriate for public spaces, such as those located in close proximity to existing
public parks or neighboring houses.
Temporary Use Options:
• Community Garden – Groups that agree to maintain the lot may use it for gardening. Please see
Section 2313 of the Zoning Ordinance for guidelines on community gardens. Lots will remain for
sale by the City, however, lots will not transfer ownership during the growing season.
• Adopt-A-Lot – Neighborhood Associations may adopt lots as part of the Neighborhood
Empowerment Program. Please see the Neighborhood Empowerment Program guidelines
document.

2
Page 96 of 147
Lot Sales

Buildable Lot Sales
Pricing – Lot pricing is dependent on the final housing product. The policy incentivizes the production
of multiple housing units. All lot purchase prices will be 80% reimbursed, if the housing unit completes
construction 2, within the specified time-frame outlined in the purchase and development agreement for
the lot.

• Lot for a Single-Family House – 75% of True Cash Value.
• Lot for a Single-Family House plus an Accessory Dwelling Unit – 50% of True Cash Value.
• Lots for Duplex or Small Multiplex development (where permitted by zoning) – 50% of True Cash
Value per lot.
Development Incentives – In addition to discounted lot pricing and purchase price reimbursement,
additional incentives include:

• Water/Sewer Connection Discount – All housing types will receive a 100% reduction in water/sewer
connection fees, so long as the City of Muskegon is the beneficiary of an infill housing Brownfield
Plan Amendment on said lot, or developer completes 3 or more housing units of any type. City staff
will inform a developer before closing, in the event a lot may be subject to water/sewer connection
fees.
• Neighborhood Enterprise Zone (NEZ) Certificate – For those properties already located in a NEZ
District, NEZ certificates are available by applying through the City of Muskegon Economic
Development Department. Approval of NEZ certificates is subject to vote by the City Commission.

How to Purchase -- All buildable lots sales must be approved by the City Commission. The Planning
Department may approve the sale of non-buildable lots. Properties will be sold to qualifying parties on
a first come, first serve basis. All parties must be current on local taxes.

Lot Deposit Policy – There will be a $400 deposit collected for the purchase of 1 buildable lot. A
deposit of $1000 will be collected for 5 or more buildable lots, purchased at the same time. The deposit
is non-refundable, unless there is a reason that the City cannot sell the lot (i.e., no water/sewer hookup
or the City Commission denies the sale). Otherwise, the deposit will be applied to the purchase price at
the closing.

The deposit is non-refundable if the individual/company changes their mind about the purchase.

The deposit is paid prior to taking the sale for approval to the City Commission.

Non-Buildable Lot Sales
Lot Price – $1

2
“Complete Construction” means the issuance of an occupancy permit by the City for the project property.

3
Page 97 of 147
Lot Sale Terms

Applicability/Appeal Process
All sales must be approved by the City Commission. Initial offers will be reviewed by the Development
Services Department. If agreeable, the Development Services Department will present the offer to the
City Commission. If the offer is not agreeable and the Development Services Department chooses not
to present the offer to the City Commission, the offer may be reviewed by the City Manager’s Office.
The City Manager’s Office may or may not choose to present the offer to the City Commission. In the
event of denial of sale, the City may consider other proposals from developers. Any denial of a sale can
be appealed to the City Commission.

Closing Costs
All closing costs will be split between the buyer and the seller.

Deeds
All sales will be handled as quit claim deeds.

Design
Development of multiple lots purchased by a single buyer will require variation in the design style, all
to be approved by City Staff.

Environmental
Properties will be sold as is. Any environmental analysis is the sole responsibility of the buyer.

Financing
Financing the acquisition of City-owned property and subsequent construction (if applicable) is the
sole responsibility of the buyer. Failure to provide proof of adequate financing may be used as a basis
for denial of a sale.

Property Survey
All costs and activities associated with a survey are the sole responsibility of the buyer.

Title Evidence/Insurance
Quieting title of tax reverted properties sold and properties split for minimal amounts such as non-
buildable lots, shall be the responsibility of the buyer. City staff may choose to quiet title on certain
lots deemed necessary for development plans.

4
Page 98 of 147
November 2022

City of Muskegon
Policy for the Use & Sale of City-Owned Residential Property
Objective

The City of Muskegon owns a significant number of vacant lots throughout the city. These lots cost
money to maintain and do not generate taxes, but they do offer opportunities for infill housing
development and public use. Selling vacant lots for residential development will create much needed
housing options, expand the residential tax base, and alleviate the City of maintenance costs. Citizen
lead initiatives like urban farms, community gardens, and the Adopt A Lot Program (part of the
Neighborhood Empowerment Grant) are all resources the City can utilize to defer maintenance costs and
reduce blight while the lots are being marketed for sale. There are also instances in which the City may
wish to hold on to a vacant lot, or acquire additional land to combine with an existing property. Vacant
lots can also be valuable to complete existing/planned projects or to offer easements to
essential/recreation services. In order to utilize City-owned vacant lots to their fullest potential, the City
has developed this policy for their use and sale to private ownership.
C
U

Lot Types
R

needed to construct various housing types. As a condition of sale, the buyer must commence
construction 1 within 18 months of the date of purchase of the property or it will revert back to the City's
EN

ownership, free and clear of any claim of the buyer. Some exceptions to this time period will be made,
at the City’s discretion, for purchase of multiples lots by a single buyer.
T

Non-Buildable Lots – Non-buildable lots are defined as lots that are insufficient in size or configuration
for new construction under Zoning Ordinance regulations. These lots may only be sold to adjacent
20

property owners, neighborhood organizations, or valid non-profit agencies to expand, improve, or
beautify the property. In the event that multiple adjacent owners seek to purchase a property, the City
shall divide the property in the most equitable manner.
22

*Lot Splits and Combinations - Where applicable, staff will split or combine lots to create the best
V

potential for future development. Staff may also recommend that only a portion of a buildable lot be
sold, if it is in the best interest for future development and if the remaining portion is also a buildable
lot.

1
Page 99 of 147
November 2022

Lot Use

The following is a list of potential uses for City-owned vacant lots.

Buildable Lots and Large Blocks of Land
Permanent Use Options (listed in order of highest priority):
• New Housing Development – All buildable lots will be marketed for sale for residential
development. If multiple parties are interested, preference will be given to projects with higher
density and, where applicable, staff reserves the right to split or combine lots to create the best
potential for future development.
• Public Space – The use of the lot for a park or other type of community gathering place. Most lots
may not be appropriate for public spaces, such as those located in close proximity to existing
public parks or neighboring houses.
Temporary Use Options (listed in order of highest priority):
C

• Community Garden – Groups that agree to maintain the lot may use it for gardening. Please see
U

Section 2313 of the Zoning Ordinance for guidelines on community gardens. Lots will remain for
sale by the City, however, lots will not transfer ownership during the growing season.
R

• Adopt-A-Lot – Neighborhood Associations may adopt lots as part of the Neighborhood
R

Empowerment Program. Please see the Neighborhood Empowerment Program document.
EN

Non-Buildable Lots
Permanent Use Options (listed in order of highest priority):
T

• Yard Addition –Non-buildable lots should be sold to an adjacent property owner who may take
advantage of the landscaping grant (see below). Additional yard space may also be used for
20

anything allowed by the zoning ordinance; such as house/garage/shed/pool additions, etc.
• Public Space – The use of the lot for a park or other type of community gathering place. Most lots
22

may not be appropriate for public spaces, such as those located in close proximity to existing
public parks or neighboring houses.
V

Temporary Use Options (listed in order of highest priority):
• Community Garden – Groups that agree to maintain the lot may use it for gardening. Please see
Section 2313 of the Zoning Ordinance for guidelines on community gardens. Lots will remain for
sale by the City, however, lots will not transfer ownership during the growing season.
• Adopt-A-Lot – Neighborhood Associations may adopt lots as part of the Neighborhood
Empowerment Program. Please see the Neighborhood Empowerment Program document.

2
Page 100 of 147
November 2022

Lot Sales

Buildable Lot Sales
Lot Price – 75% of the True Cash Value. Sale price reimbursements are available for the following:

• Neighborhood Enterprise Zone (NEZ) Certificate – For those properties already located in a NEZ
District, NEZ certificates will be offered using the following scale:
R

o Single-family house: 3 years
R

o Single-family house that incorporates three of the five above listed Design Standards: 6 years
EN

o Duplex: 12 years (owner-occupied unit only)
o Small Multiplex: 15 years (owner-occupied unit only)
• Water/Sewer Connection Discount – Discounted water/sewer connection fees will be given for the
T

following housing developments:
20

o Duplex – 50% reduction
o Small Multiplex – 100% reduction
22

o Three or more single-family houses (all built within 18 months) – 100% reduction

How to Purchase – The Planning Department may approve the sale of non-buildable lots. All buildable
V

lots sales must be approved by the City Commission. All parties must be current on local taxes.

Lot Deposit Policy – There will be a $400 deposit collected for the purchase of 1 buildable lot. A
deposit of $1000 will be collected for 5 or more buildable lots purchased at the same time. The deposit
is non-refundable unless there is a reason that the City cannot sell the lot (i.e. no water/sewer hookup
or the City Commission denies the sale). Otherwise, the deposit will be applied to the purchase price at
the closing.

The deposit is non-refundable if the individual/company changes their mind about the purchase.

The deposit is paid prior to taking the sale for approval to the City Commission.

2
Price reimbursements will be awarded to approved projects after verification of project completion.

3
Page 101 of 147
November 2022

Non-Buildable Lot Sales

Lot Price – $1

Landscaping Incentive – Non-buildable lots that are used for beautification or creation of natural habitat
may be eligible for a landscaping grant.

- A mixture of at least three different decorative plant species.
U

- Decorative ground substrate such as woodchips or landscaping rocks.
R

- Landscaping area must be at least 100 square feet total and be located within 20 feet of the
front property line.
R

- Landscaping must be a focal point and not solely used as a buffer between properties.
EN

- Landscaping may not interfere with zoning ordinance requirements for clear vision at
intersections, alleys, and driveways.
T

- Watering/maintenance plan and/or drainage pipes where rain gardens are created.
20

How to Purchase: The Planning Department may approve the sale of non-buildable lots to adjacent
property owners, neighborhood organizations and non-profit agencies. Properties will be sold to
22

qualifying parties on a first come, first serve basis. All parties must be current on local taxes. Once
payment is received (lot price plus cost of deed registration) the City will register the deed with the
Muskegon County Register of Deeds.
V

4
Page 102 of 147
November 2022

Lot Sale Terms

Appeal Procedure

Any denial of a sale can be appealed to the City Commission.

Applicability

Pursuant to the above, the City will periodically implement neighborhood marketing strategies. Elements
of this policy may be superseded by a marketing strategy, if said strategy is approved by the City
Commission as an exception to this policy, and only while said strategy is being utilized to market
properties identified by the strategy.

Closing Costs

All closing costs will be split between the buyer and the seller.
C

Deeds
U

All sales will be handled as quit claim deeds.
R
R

Design
EN

Development of multiple lots purchased by a single buyer will require variation in the design style, all
to be approved by City Staff.

Environmental
T

Properties will be sold as is. Any environmental analysis is the sole responsibility of the buyer.
20

Financing
22

Financing the acquisition of City-owned property and subsequent construction (if applicable) is the
sole responsibility of the buyer. Failure to provide proof of adequate financing may be used as a basis
V

for denial of a sale.

Property Survey

All costs and activities associated with a survey are the sole responsibility of the buyer.

Title Evidence/Insurance

Quieting title of tax reverted properties sold and properties split for minimal amounts such as non-
buildable lots, shall be the responsibility of the buyer. City staff may choose to quiet title on certain
lots deemed necessary for development plans.

5
Page 103 of 147
October 2025

City of Muskegon
Policy for the Use & Sale of City-Owned Residential Property
Objective

Lot Types

Buildable Lots – Buildable lots are defined as lots suitable in size and configuration under Zoning
Ordinance regulations for the construction of housing units. Some City-owned lots are much larger than
needed to construct various housing types. As a condition of sale, the buyer must commence
construction 1 within 18 months of the date of purchase of the property, or it will revert back to the City's
ownership - free and clear of any claim of the buyer. Some exceptions to this time period will be made,
at the City’s discretion, for the purchase of multiple lots by a single buyer.

1
“Commence Construction” means that a buyer has been issued a residential building permit by the City of
Muskegon and also (in the sole opinion of the City of Muskegon’s Building Official) that at least seventy-five
percent (75%) of the dwelling has been completed. “Commence Construction” means that a buyer has furnished
labor and materials to the parcel of the project property, and has begun the installation of the approved new
construction, as defined in the purchase and development agreement.

1
Page 104 of 147
October 2025

Lot Use

The following is a list of potential uses for City-owned vacant lots.

Buildable Lots and Large Blocks of Land (listed in order of highest priority)
Permanent Use Options:
• New Housing Development – All buildable lots will be marketed for sale for residential
development. If multiple parties are interested, preference will be given to projects with higher
density and, where applicable, staff reserves the right to split or combine lots to create the best
potential for future development.
• Public Space – The use of the lot for a park or other type of community gathering place. Most lots
may not be appropriate for public spaces, such as those located in close proximity to existing
public parks or neighboring houses.
Temporary Use Options:
• Community Garden – Groups that agree to maintain the lot may use it for gardening. Please see
Section 2313 of the Zoning Ordinance for guidelines on community gardens. Lots will remain for
sale by the City, however, lots will not transfer ownership during the growing season.
• Adopt-A-Lot – Neighborhood Associations may adopt lots as part of the Neighborhood
Empowerment Program. Please see the Neighborhood Empowerment Program guidelines
document. Lots will remain for sale by the City, and sales for infill housing will supersede Adopt-
A-Lot designation.

Non-Buildable Lots (listed in order of highest priority)
Permanent Use Options:
• Yard addition –Non-buildable lots should be sold to an adjacent property owner who may take
advantage of the landscaping grant (see below). Additional yard space may also be used for
anything allowed by the zoning ordinance; such as house/garage/shed/pool additions, etc.
• Yard addition –Non-buildable lots should be sold to an adjacent property owner whenever possible.
Additional yard space may also be used for anything allowed by the zoning ordinance; such as
house/garage/shed/pool additions, etc.
• Public space – The use of the lot for a park or other type of community gathering place. Most lots
may not be appropriate for public spaces, such as those located in close proximity to existing
public parks or neighboring houses.
Temporary Use Options:
• Community garden – Groups that agree to maintain the lot may use it for gardening. Please see
Section 2313 of the Zoning Ordinance for guidelines on community gardens. Lots will remain for
sale by the City, however, lots will not transfer ownership during the growing season.
• Adopt-A-Lot – Neighborhood Associations may adopt lots as part of the Neighborhood
Empowerment Program. Please see the Neighborhood Empowerment Program guidelines
document.

2
Page 105 of 147
October 2025

Lot Sales

Buildable Lot Sales
Lot Price – 75% of the True Cash Value. Sale price reimbursements are available for the following:

• Duplex or Small Multiplex Development (where permitted by zoning) – 100% price reimbursement
• Single-Family House that meets the following design standards2 :
o Open front porch of at least 60 sf – 20% price reimbursement
o Picture or bay window - 20% price reimbursement
o Alley-loaded parcel – 20% price reimbursement
o Shutters or other acceptable window treatments – 20% price reimbursement
o Underground sprinkling – 20% price reimbursement
Buildable Lot Sales
Pricing – Lot pricing is dependent on the final housing product. The policy incentivizes the production
of multiple housing units. All lot purchase prices will be 80% reimbursed, if the housing unit completes
construction 2, within the specified time-frame outlined in the purchase and development agreement for
the lot.
• Lot for a Single-Family House – 75% of True Cash Value.
• Lot for a Single-Family House plus an Accessory Dwelling Unit – 50% of True Cash Value.
• Lots for Duplex or Small Multiplex development (where permitted by zoning) – 50% of True Cash
Value per lot.

Development Incentives – In addition to price reimbursements, additional incentives include:

• Neighborhood Enterprise Zone (NEZ) Certificate – For those properties already located in a NEZ
District, NEZ certificates will be offered using the following scale:
o Single-family house: 3 years
o Single-family house that incorporates three of the five above listed Design Standards: 6 years
o Duplex: 12 years (owner-occupied unit only)
o Small Multiplex: 15 years (owner-occupied unit only)
• Water/Sewer Connection Discount – Discounted water/sewer connection fees will be given for the
following housing developments:
o Duplex – 50% reduction
o Small Multiplex – 100% reduction
o Three or more single-family houses (all built within 18 months) – 100% reduction

2
Price reimbursements will be awarded to approved projects after verification of project completion.
“Complete Construction” means the issuance of an occupancy permit by the City for the project property.

3
Page 106 of 147
October 2025

Development Incentives – In addition to discounted lot pricing and purchase price reimbursement,
additional incentives include:
• Water/Sewer Connection Discount – All housing types will receive a 100% reduction in water/sewer
connection fees, so long as the City of Muskegon is the beneficiary of an infill housing Brownfield
Plan Amendment on said lot, or developer completes 3 or more housing units of any type. City staff
will inform a developer before closing, in the event a lot may be subject to water/sewer connection
fees.
• Neighborhood Enterprise Zone (NEZ) Certificate – For those properties already located in a NEZ
District, NEZ certificates are available by applying through the City of Muskegon Economic
Development Department. Approval of NEZ certificates is subject to vote by the City Commission.

How to Purchase -- The Planning Department may approve the sale of non-buildable lots. All buildable
lots sales must be approved by the City Commission. Properties will be sold to qualifying parties on a
first come, first serve basis. All parties must be current on local taxes.

The deposit is non-refundable if the individual/company changes their mind about the purchase.

The deposit is paid prior to taking the sale for approval to the City Commission.

Non-Buildable Lot Sales

Lot Price – $1

Landscaping Incentive – Non-buildable lots that are used for beautification or creation of natural habitat
may be eligible for a landscaping grant.

• Landscaping Grant – This grant is intended to assist in the beautification of neighborhoods by
transforming underutilized land into attractive landscapes and/or natural habitats. Natural landscaping
projects with a mixture of native species as well as animal/pollinator habitat improvements are eligible
for support. For every $1,500 an applicant spends on landscaping, they will be reimbursed $250 (up to
$1,000). Applicants must submit a landscaping plan with estimates to the Planning Department.
Approved applicants will complete the project as described in the application and submit receipts to the
Planning Department in order to receive the grant funds.
o Grant Requirements – Decorative/natural landscaping projects must include the following
elements:
- A mixture of at least three different decorative plant species.
- Decorative ground substrate such as woodchips or landscaping rocks.
- Landscaping area must be at least 100 square feet total and be located within 20 feet of the front
property line.
- Landscaping must be a focal point and not solely used as a buffer between properties.

4
Page 107 of 147
October 2025

- Landscaping may not interfere with zoning ordinance requirements for clear vision at
intersections, alleys, and driveways.
- Watering/maintenance plan and/or drainage pipes where rain gardens are created.

How to Purchase: The Planning Department may approve the sale of non-buildable lots to adjacent
property owners, neighborhood organizations and non-profit agencies. Properties will be sold to
qualifying parties on a first come, first serve basis. All parties must be current on local taxes. Once
payment is received (lot price plus cost of deed registration) the City will register the deed with the
Muskegon County Register of Deeds.

Lot Sale Terms

Appeal Procedure
Any denial of a sale can be appealed to the City Commission.

Applicability
Pursuant to the above, the City will periodically implement neighborhood marketing strategies. Elements
of this policy may be superseded by a marketing strategy, if said strategy is approved by the City
Commission as an exception to this policy, and only while said strategy is being utilized to market
properties identified by the strategy.

Applicability/Appeal Process
All sales must be approved by the City Commission. Initial offers will be reviewed by the Development
Services Department. If agreeable, the Development Services Department will present the offer to the
City Commission. If the offer is not agreeable and the Development Services Department chooses not
to present the offer to the City Commission, the offer may be reviewed by the City Manager’s Office.
The City Manager’s Office may or may not choose to present the offer to the City Commission. Pursuant
to the above In the event of denial of sale, the City may consider other proposals from developers. Any
denial of a sale can be appealed to the City Commission.

Closing Costs
All closing costs will be split between the buyer and the seller.

Deeds
All sales will be handled as quit claim deeds.

Design
Development of multiple lots purchased by a single buyer will require variation in the design style, all
to be approved by City Staff.

Environmental
Properties will be sold as-is. Any environmental analysis is the sole responsibility of the buyer.

5
Page 108 of 147
October 2025

Property Survey
All costs and activities associated with a survey are the sole responsibility of the buyer.

Document edit notes
Action Person Date Change
New S. Pulos 10/7/25 Policy Amendment

6
Page 109 of 147
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: October 14, 2025 Title: City of Muskegon 2026 Fireworks Contract -
Pyrotecnico

Submitted by: Kyle Karczewski, Parks and Department: DPW- Parks
Recreation Director

Brief Summary:
Staff requests authorization to enter into a Fireworks Agreement with Pyrotecnico for $40,000 for a
fireworks show on July 4th at Heritage Landing, and approval of the fireworks display permit for
Pyrotecnico.

Detailed Summary & Background:
Staff is requesting authorization to enter into an agreement with Pyrotecnico Fireworks for $40,000 for
the annual fireworks show in Muskegon, and approval of the fireworks display permit for Pyrotecnico
contingent upon inspection of the fireworks and approval of the insurance. The annual Fireworks
contract of $40,000 will be scheduled for July 4, 2026. The agreement is of the standard form with
Pyrotecnico that the City has entered into for the past several years. The contract is included in this
item.

Goal/Action Item:
2027 Goal 1: Destination Community & Quality of Life

Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:

Amount Requested: Budgeted Item:
$40,000 Yes x No N/A

Fund(s) or Account(s): Budget Amendment Needed:
101-770-801 Yes No x N/A

Recommended Motion:
I move to authorize staff to enter into a Fireworks Agreement with Pyrotecnico Fireworks for $40,000
for a fireworks show iat Heritage Landing, and approval of the fireworks display permit for
Pyrotecnico.

Approvals: Name the Policy/Ordinance Followed:
Immediate Division x
Head

Page 110 of 147
Information
Technology
Other Division Heads
Communication
Legal Review x

Page 111 of 147
PYROTECNICO FIREWORKS, INC.
This Fireworks Display Agreement (“Agreement”) entered into this on September 16, 2025 by and between PYROTECNICO FIREWORKS, INC.
(“Pyrotecnico”) and City of Muskegon (CUSTOMER).

Pyrotecnico, for and in consideration of the terms hereinafter mentioned, agrees to furnish to the CUSTOMER Fireworks Display(s) and related
services (“Fireworks Display”), including the services of Pyrotecnico’s on-site representative to take charge of and perform the Fireworks Display
under the supervision and direction of the CUSTOMER. The Firework Display to be given on July 4, 2026. (the “Display Date”), weather
permitting.

The offer contained in this Agreement is only valid if it is signed and returned to Pyrotecnico by October 9, 2025 (“Expiration Date”). Pricing and
availability are only guaranteed as long as Pyrotecnico receives the signed Agreement by the Expiration Date. Customer agrees to pay Pyrotecnico
the sum of $40,000.00 (Forty thousand and 00/100 dollars) (the “Contract Price”). Pyrotecnico will invoice CUSTOMER a deposit of $20,000.00
is due April 4, 2026 and the final balance shall be due Net 10 from the Display Date. A service fee of 1 ½% per month shall be added if the account
is not paid in full within 30 days of the Display Date. CUSTOMER agrees to pay any and all collection costs, including reasonable attorney’s fees
and court costs incurred by Pyrotecnico for any amount due under this Agreement. The Contract Price is based on the regulations and laws in effect
at the time of execution of this Agreement. If any change in law (including, but not limited to, new or increased tariffs, duties, taxes, import
restrictions, or other governmental regulations) materially increases the cost of the Fireworks Display, Pyrotecnico shall have the right to adjust the
Contract Price to reflect such increased costs. Pyrotecnico shall provide CUSTOMER with written notice of any such adjustment, including
reasonable documentation supporting the increased costs. CUSTOMER shall have five (5) days from receipt of such notice to accept the revised
Contract Price. If CUSTOMER does not accept the revised Contract Price within this period, Pyrotecnico may, at its sole discretion, suspend
performance of the Fireworks Display until the parties negotiate, in good faith, reasonable adjustments to the Contract Price or or revise the
Fireworks Display to account for the increased costs. Nothing in this provision shall obligate Pyrotecnico to absorb any increased costs resulting from
changes in law, tariffs, or other governmental actions beyond its control.

Pyrotecnico and CUSTOMER agree that should inclement weather prevent the performance of the Fireworks Display on the Display Date, the parties
shall agree to a mutually convenient alternate date, within three (3) months of the Display Date. If the show is rescheduled prior to Pyrotecnico’s
truck leaving the facility, CUSTOMER shall remit to Pyrotecnico an additional $6,000.00 for additional expenses in presenting the Fireworks
Display on an alternate date. If the show is rescheduled after Pyrotecnico’s truck leaves the facility, CUSTOMER shall remit to Pyrotecnico an
additional $16,000.00 for additional expenses incurred. The determination to cancel the show because of inclement or unsafe weather conditions
shall rest within the sole discretion of Pyrotecnico. In the event the CUSTOMER does not choose to reschedule another date or cannot agree to a
mutually convenient date, Pyrotecnico shall be entitled to $20,000.00.

Pyrotecnico agrees to furnish all necessary fireworks display materials and personnel for fireworks display in accordance with the program approved
by the parties. Quantities and varieties of products in the program are approximate. After final design, exact specifications will be supplied upon
request. Should this display require any Union, permit, or fire department related costs; their fees are not included in the Contract Price.

CUSTOMER will timely secure and provide the following: (a) Sufficient area for the display, including a minimum spectator set back distance of 350
FEET at all points from the discharge area, as reflected in the attached site plan, and that this discharge area shall not have any unauthorized
personnel or vehicles; (b) Funds for all permits, licenses, and approvals as required by local, state and federal laws for the Fireworks Display; (c)
Protection of the display area by roping-off or similar facility; (d) Adequate police protection to prevent spectators from entering display area; (e)
Search of the fallout area at first light following a nighttime display; and (f) Provide credit as “Fireworks by Pyrotecnico” in all advertising and
marketing materials.

Pyrotecnico will maintain general liability, property damage, transportation and workers compensation insurance. All those entities/individuals who
are listed on the certificate of insurance, provided by Pyrotecnico, will be deemed to be an additional insured on such policy. This insurance coverage
specifically does not include coverage for any independent acts of negligence of any additional insured.

PYROTECNICO : CUSTOMER:

By (sign):________________________________________ By (sign) :______________________________________
Name:______Lynn Ann Hamed______________________ Name:_________________________________________
Title: _______Corporate Secretary___________________ Title:_____________________________________________
Date:___________________________________________ Date: __________________________________________
Address: 299 WIlson Road Address: _______________________________________
New Castle PA 16101 _________________________________________
Phone: (724) 652-9555 Phone:___________________________________________
Email: contracts@pyrotecnico.com Email: :___________________________________________
Pyrotecnico Fireworks Display Agreement 2025 Page 1 of 2

Customer Initials: ____________________

Page 112 of 147
CONTACT/INSURANCE INFORMATION FORM
You must return this form with your signed Agreement for the Certificate of Insurance to be issued, and for the permit application to be
completed and submitted. If information isn’t applicable, please state such by indicating “N/A”.

Customer Name (Entity Contracting Pyrotecnico): __________________________________________________________________

Primary Point of Contact Name: _______________________________________________________________________________

Phone: ________________________________________ Email: ____________________________________________

Billing Address:____________________________________________________________________________________________

City, State & Zip: ___________________________________________________________________________________________

Accounts Payable Contact: ___________________________________________________________________________________

Accounts Payable Email: ____________________________________________________________________________________

Display Date(s): _____________________________________ Display Start Time(s): ______________________________

Rain Date(s): ________________________________________

Day-of-Display Contact Name:__________________________________________________________________________________

Day-of-Display Mobile Phone Number:___________________________________________________________________________

Day-of-Display Email:_________________________________________________________________________________________

Display Site Location(s) and
Address(es):_______________________________________________________________________________________________

_________________________________________________________________________________________________________

If Pyrotecnico has produced a show at this site, has the geography changed (i.e, new structures, new terrain, etc.)? If yes, please describe:

_________________________________________________________________________________________________________

Additionally Insured Entities (The “Customer Name” shall automatically be listed as an Additional Insured), if applicable:

_________________________________________________________________________________________________________

Page 113 of 147
City of Muskegon, MI / Heritage Landing Pyrotecnico Fireworks Inc.
1050 – 7th Street, Muskegon MI 49441 11/7/2024 Michael Falk

No spectators inside Spectators
the RED Safety Circle Flag to be removed from
flagpole prior to the display.
during the display.

Marine patrol will
keep boaters 350’
at least 500’ away
during the show.

Spectators

Peninsula CLOSED
during setup
Spectators
and the display Spectators

Spectators

Launch Location Setup area: 42’x30’ x3 Radius from setup area: 350’
Page 114 of 147
Deposit Invoice

Pyrotecnico Fireworks Inc. Date: 09/09/2025
Bin : 10
PO Box 14470 INV#: SO-C60832
St. Louis MO 63178-4470
United States

Sold To:
City of Muskegon, MI
Muskegon City Hall
933 Terrace Street
Muskegon MI 49440
United States

Description Amount
Firework Display Date - 7/4/2026 $ 40,000.00
Pre-Show Advance Due 04/04/2026 $ 20,000.00

We accept WIRE, ACH, and Check Payments.
Wire Remit To:
Busey Bank 100 W University Ave. Champaign IL 61820
ABA: 071102568
Account Number: 130586822088
SWIFT/BIC Code: BUYEUS44

ACH Remit to:
Busey Bank
ACH Account: 130586822088
Routing: 071102568

Check Remit to:
Pyrotecnico Fireworks, Inc
Bin : 10
PO Box 14470
St. Louis, MO 63178-4470

Page 115 of 147
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: October 14, 2025 Title: Concession Agreement — Smith-Ryerson
Vending Machine

Submitted by: Kyle Karczewski, Parks and Department: DPW- Parks
Recreation Director

Brief Summary:
The parks department has received a concession application for a vending machine at Smith
Ryerson park in the Sim Ray center. This particular vending machine will be for snacks (non-
refrigerated items) and the machine will be available when the building is open and for any rentals.

Detailed Summary & Background:
The parks department has received a concession application for a vending machine at Smith
Ryerson park in the Sim Ray center. This particular vending machine will be for snacks (non-
refrigerated items) and the machine will be available when the building is open and for any rentals.
The applicant, Nefiteria Ray, is a local resident who reached out as she heard this as a community
request from neighbors and friends. As stated in the City of Muskegon park concession policy, the fee
for this agreement will be $250 annually + 5% of gross receipts.

Goal/Action Item:
2027 Goal 1: Destination Community & Quality of Life

Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:

Amount Requested: Budgeted Item:
n/a Yes No N/A x

Fund(s) or Account(s): Budget Amendment Needed:
n/a Yes No N/A x

Recommended Motion:
I Authorize staff to enter into an agreement with Threes Company LLC for concession services at
Smith Ryerson Park.

Approvals: Name the Policy/Ordinance Followed:
Immediate Division x Concessionaire Policy
Head
Information

Page 116 of 147
Technology
Other Division Heads
Communication
Legal Review

Page 117 of 147
Page 118 of 147
Page 119 of 147
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: October 14, 2025 Title: Concession Application - Pere Marquette
Mobile Sauna

Submitted by: Kyle Karczewski, Parks and Department: DPW- Parks
Recreation Director

Brief Summary:
The Parks Department has received an application for a concessionaire "Saunaty" to run a mobile
sauna at Pere Marquette. The request is for 2-3 Saturdays per month October - December near the
MacKite building.

Detailed Summary & Background:
The Parks Department has received an application for a concessionaire "Saunaty" to run a mobile
sauna at Pere Marquette. The request is for 2-3 Saturdays per month October - December near the
MacKite building. The applicant has requested the $1,000 concession (fee for a PM vendor) to be
waived. This is an option in the contract which staff interprets as commissions discretion. Due to the
cost of maintaining Pere Marquette and the exposure it brings, the parks department does not prefer
to waive fees.

Activities Conducted:
Community sauna sessions and cold plunging/swimming.

Equipment Used:
Two 6' x 14' wood-fired sauna trailers manufactured by NorthUp Saunas Minneapolis, MN. Each sauna
fits in a single parking space. Both units have been inspected by City of Norton Shores Fire
Department (contact: Joe Munson) and both are equipped with fire extinguishers & carbon
monoxide detectors. In addition to the trailer, there are a few folding benches, tables, and a 3' x 7'
pop-up changing tent for people to change into/out of swimwear.

Setup Location:
Pere Marquette - near MACkiteboarding, in parking spaces nearest the lake.

Liability/Insurance:
Liability Waivers signed by all participants.
Sauna-specific liability insurance (4mil/2mil) through Alternative Balance.
City of Muskegon will be listed as an additional insured on the policy.

Dates:
2-3 Saturdays per month from October-End of December
Saunaty typically operates for 8-10 hours between 9am - 9pm.
Setup time as early as 7:30am - out of the parking lot by 10pm.

Page 120 of 147
Sauna Fees:
60 Minutes: $25
120 Minutes: $35

Each sauna fits 6 guests. A typical day could range from 24-72 guests.

The applicant is asking for the $1,000 annual fee to be waived and to pay 10% of gross receipts
instead of the current fee structure of 5% + $1,000.

Goal/Action Item:
2027 Goal 1: Destination Community & Quality of Life

Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:

Amount Requested: Budgeted Item:
N/A Yes No N/A x

Fund(s) or Account(s): Budget Amendment Needed:
N/A Yes No N/A x

Recommended Motion:
Authorize staff to enter into an agreement with Saunaty for concession services at Pere Marquette
Park.

Approvals: Name the Policy/Ordinance Followed:
Immediate Division x Concessionaire Policy
Head
Information
Technology
Other Division Heads
Communication
Legal Review

Page 121 of 147
PARK CONCESSION POLICY

EFFECTIVE: July 26th, 2022

Page 122 of 147
PURPOSE

To formalize the process and procedures related to concession operations within the City of Muskegon
Park System.

GOALS

The City of Muskegon maintains this policy with the goals of:

• Providing a variety of services to park visitors that could not be provided by other means
• Meet the needs and wants of park users
• Activate and engage our park spaces
• Offer opportunities for small business to start and grow

COVERED AREAS & APPLICABILITY

This policy applies to any concession proposing to operate in the traditionally recognized city park system,
with the following exceptions:

• Hackley Park is excluded from this agreement and no concessions outside of approved special
events are permitted to operate within Hackley Park.

• This policy does not apply to Western Market, Muskegon Farmers Market, Trinity Health Arena,
or any other areas which may contain similar operations but are not a part of the traditionally
recognized city park system.

• This policy also does not apply to “The Deck” restaurant which operates within Pere Marquette
Park, to “Fisherman’s Landing” campground and boat launch, nor to the “Clippers” baseball
facility that operates within Marsh Field, as all are under specific lease agreements and terms.

• Concessions operating as a part of an approved special event or an approved sports league are
exempt from this policy.

This policy does apply to the few brick and mortar concession spaces located within the City Parks;
currently the list of brick and mortar spaces is as follows, with future changes possible:

• The designated concession space within the Pere Marquette Park Bathhouse

• The Pere Marquette Park secondary building located south of the bathhouse

• The Pere Marquette Park Chalet at the north end of the park

Page 123 of 147
APPLICATION & AGREEMENT PROCESS

Applications will be accepted year-round on the attached form.

There is no fee associated with applying to be a concessionaire within the City Parks. If the application is
approved, fees will be charged for the right to operate within the city park system as outlined below.

Staff will review applications in accordance with this policy. Applications approved by staff will be
presented to the Commission for consideration before adoption of the agreement.

Once an application is approved by the City Commission, city and the concessionaire will enter into a
formal agreement. General agreement terms attached to each agreement will be specifically crafted to
match the agreed upon activities, fees, and services as allowable in this policy.

Agreements shall be renewed annually, except that agreements within a designated brick and mortar
space may be proposed for an extended duration, with the maximum length not to exceed 5 years.

Returning operations for brick and mortar facilities in good standing shall be offered first right of refusal
to renew their agreement for up to one renewal term of the same duration as the original term. When
brick and mortar spaces become available or at the end of a renewal term the brick and mortar spaces
will be offered as available through a request for proposal process.

FEES & WAIVERS

Concessionaire shall be obligated to pay the fees outlined in the agreement.

The standard fee to operate a concession shall be set at $1,000/Year + 5% of gross receipts for any
operation conducted within Kruse Park, Pere Marquette Park, Margaret Drake Elliot Park or Harbor Towne
Beach, and $250/Year + 5% of gross receipts for any concession operating in any other park.

Concession agreements proposed for a brick and mortar location as described above shall be set at
$1,000/Year + 10% of gross receipts or $2,500/Year, whichever is expected to be more.

Revenue generated from concession operations shall be deposited in the City General Fund for support
of park and recreation operations in the City.

Fees for concessions may be waived by staff upon receipt of a “Concession Fee Waiver Application” at the
same time as a concession application. Fee waivers will be evaluated according to the point system
described on that form.

Page 124 of 147
Return completed application to the following:
City of Muskegon Public Works Department
1350 East Keating Avenue
Muskegon, MI 49442

► I. CONCESSIONAIRE
BUSINESS /
SAUNATY, LLC
NON-PROFIT

CONTACT MICHAEL JENSEN

18075 MOHAWK DR
ADDRESS
SPRING LAKE, MI 49456

PHONE 616-502-3575

EMAIL MIKE@SAUNATY.COM

► II. OPERATIONAL DESCRIPTION

ACTIVITIES Community sauna sessions ( & cold plunging/swimming)
CONDUCTED

(ATTACH
PICTURES IF
NEEDED)

EQUIPMENT Two 6' x 14' wood-fired sauna trailers manufactured by NorthUp Saunas
USED Minneapolis, MN. Each sauna fits in a single parking space. Both units have been
inspected by City of Norton Shores Fire Department (contact: Joe Munson) and
(ATTACH both are equipped with fire extinguishers & carbon monoxide detectors. In
PICTURES IF addition to the trailer we have a few folding benches, tables, and a 3' x 7' pop-up
NEEDED) changing tent for people to change into/out of swimwear.

Pere Marquette - near MACkiteboarding, in the parking spaces nearest the
lake.
REQUESTED
LOCATION(S)

Page 125 of 147
► IV. LIABILITY WAIVER

APPLICANT(S) voluntarily agree, understand and recognize that participants will have no right to make a
claim or file a lawsuit against the City.

► V. REQUIREMENTS OF CONCESSIONAIRES

1. Applicant shall comply with all City of Muskegon Policies.

2. Applicant shall comply with all City of Muskegon Ordinances.

3. Applicant shall save the City of Muskegon harmless from all claims.

4. The appointed fees must be paid in full to the City prior to commencement of operations.

5. All required licenses and an insurance certificate listing the City as an additional insured party
must be submitted before the agreement is signed and before commencing operations.

6. Applications denied by staff may be appealed to the City Commission for consideration.

With my signature, I certify that I have read and agree to the City of Muskegon Park Concession
Policy and all items listed on this application.

I agree to abide by all applicable ordinances & regulations.

10/6/25
____________________________________________________________________________________
Signature of Applicant Date

CITY STAFF USE ONLY: APPROVED / DENIED

NAME/TITLE:_________________________________________________________

DATE:_____________ FEE:_________________

NOTES:______________________________________________________________

Page 126 of 147
Page 127 of 147
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: October 14, 2025 Title: Ordinance Adoption: Unlawful Speed
Exhibition Events

Submitted by: Timothy Kozal, Public Safety Department: Public Safety
Director

Brief Summary:
The City of Muskegon Police Department requests consideration to adopt an ordinance to address
the rise in unauthorized vehicle speed exhibitions—commonly known as “street takeovers”—which
threaten public safety, disrupt neighborhoods, and damage infrastructure, by enhancing
enforcement and providing progressive responses such as impoundment authority and advance
notice procedures.

Detailed Summary & Background:
The City of Muskegon finds that unauthorized motor vehicle speed exhibition events—commonly
known as “street takeovers,” “sideshows,” or “slideshows”—pose a serious threat to public safety,
disrupt neighborhoods, damage infrastructure, and endanger motorists, pedestrians, and first
responders. Events like these have been an issue in other communities, like Grand Rapids and
Kalamazoo, and the police department has seen an uptick in these events in Muskegon. This
ordinance is adopted to deter such behavior, enhance enforcement options, and provide for
progressive administrative response through impoundment authority and advance notice
procedures.

Goal/Action Item:
2027 Goal 1: Destination Community & Quality of Life

Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:

Amount Requested: Budgeted Item:
N/A Yes No N/A

Fund(s) or Account(s): Budget Amendment Needed:
N/A Yes No N/A

Recommended Motion:
I move to adopt Chapter 92, Article VIII, Sections 92-500 through 92- 504 of the Code of Ordinances
of the City of Muskegon, Michigan to deter unauthorized speed exhibitions.

Approvals: Name the Policy/Ordinance Followed:

Page 128 of 147
Immediate Division
Head
Information
Technology
Other Division Heads
Communication
Legal Review

Page 129 of 147
City of Muskegon
Muskegon County, Michigan
Ordinance Amendment No. _____

THE CITY OF MUSKEGON HEREBY ORDAINS:

1. Chapter 92, Article VIII, Sections 92-500 through 92- 504 of the Code of Ordinances of
the City of Muskegon, Michigan, is adopted as follows:

Sec. 92-500. Purpose.

The City of Muskegon finds that unauthorized motor vehicle speed exhibition events—
commonly known as “street takeovers,” “sideshows,” or “slideshows”—pose a serious threat to
public safety, disrupt neighborhoods, damage infrastructure, and endanger motorists, pedestrians,
and first responders. This ordinance is adopted to deter such behavior, enhance enforcement
options, and provide for progressive administrative response through impoundment authority and
advance notice procedures.

Sec. 92- 501 Definitions.
For purposes of this Article:

(a) Unlawful Speed Exhibition Event means any unpermitted motor vehicle activity on a public
roadway, highway, alley, bridge, parking lot, or other publicly accessible space that:

(1) May be preplanned or contemporaneously coordinated by two or more persons;
(2) Involves spinning of tires, burnouts, “donuts,” drifting, or the creation of tire smoke;
(3) Involves rapid acceleration or deceleration intended to create noise, disruptions to
traffic operations, nuisance to the public, and/or attention;
(4) Involves excessive speed or street racing;
(5) Involves any other motor vehicle maneuvers performed recklessly or for the purpose
of entertainment, stunt driving, or show; or
(6) Involves a person knowingly using or aiding a motor vehicle or other obstacle to
create a physical barrier that impedes or blocks an intersection, bridge, public right-of-
way, or other public place or highway, thereby creating a location or opportunity for a
speed exhibition event to occur.
(b) Unpermitted means without the express written permission of the owner of private property
on which the activity occurs or without prior authorization from the City of Muskegon for use of
public property or right-of-way.

Page 130 of 147
(c) Warning Letter means a written notice issued to the registered owner of a vehicle, advising
that the vehicle was observed to be involved in or aiding in an unlawful speed exhibition event.

Sec. 92 502. Prohibited Conduct.

No person shall engage in, participate in, aid in, coordinate, or facilitate an unlawful speed
exhibition event as defined in this Article.

Sec. 92- 503. Vehicle Impoundment and Warning Procedure.

(a) A law enforcement officer who has reasonable suspicion to believe a motor vehicle is actively
participating in or aiding in an unlawful speed exhibition event may issue a Warning Letter to the
vehicle’s registered owner within seven days of the event. The letter shall:

(1) State that the vehicle was identified in or aiding in an unlawful speed exhibition
event. The Warning Letter shall identify the location, date and time, of the event. The
letter shall provide the process to appeal the Notice to the Director of Public Safety;

(2) Serve as notice that any future involvement or assistance in an unlawful speed exhibit
may result in immediate impoundment of the vehicle; and

(3) Remain valid for a period of one (1) year from the date of issuance.

(b) The owner of the vehicle may file a written appeal to the issuance of the Warning Letter to
the Director of Public Safety. The written appeal must be submitted within 10 business days to
the Director of Public Safety, along with any evidence or written statements that relate to the
Warning Letter. The Director of Public Safety’s decision shall be in writing and shall be final.

(c) If a vehicle is subsequently involved in or aiding in another unlawful speed exhibition event
within one (1) year of a prior Warning Letter, and a law enforcement officer has probable cause
to believe the vehicle was used in or aiding in the event, the law enforcement officer may cause
the vehicle to be impounded.

(d) If a law enforcement officer is required to enter private property to search for and impound a
vehicle that is in violation of this section, the law enforcement officer must submit a request to
the district court for an order authorizing the law enforcement officer to enter said private
property, unless the law enforcement officer has other legal justification for entering the property
and impounding the vehicle or obtains consent from the property owner and vehicle owner.
(e) If an owner’s vehicle is impounded, the owner may take ownership of the vehicle at any time
so long that all towing and storage fees associated with an impoundment are paid in full. The
owner of the vehicle is fully responsible for all fees associated with impoundment and storage of
the vehicle.

Page 131 of 147
Sec. 92- 504. Penalties.

(a) Any person who owns a vehicle used in an unlawful speed exhibition event in violation of
this ordinance, or any person who knowingly allowed a vehicle to be used in an unlawful speed
exhibition event in violation of this ordinance, or any person who failed to exercise reasonable
control over the use of a vehicle involved in an unlawful speed exhibition shall be guilty of a
misdemeanor, punishable by a term of imprisonment of not more than 90 days and a fine of not
more than $500.00, or both.

(b) Nothing in this Article shall be construed to impose liability or penalties on individuals who
are solely spectators or bystanders.

This Ordinance Adopted:

Ayes:
Nays:

Adoption Date:
Effective Date:
First Reading:
Second Reading:

CITY OF MUSKEGON

By: ______________________________
Ann Marie Meisch, MMC
Clerk, City of Muskegon

Page 132 of 147
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 day of , 2025 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 Act No. 267, Public Acts of Michigan of 1976, as
amended, and that minutes were kept and will be, or have been made available as required thereby.

CITY OF MUSKEGON

Published: _________________, 2025 By:
Ann Marie Meisch, MCC
Clerk, City of Muskegon

Publish: Notice of Adoption to be published once within ten (10) days of final adoption.

Page 133 of 147
CITY OF MUSKEGON
NOTICE OF ADOPTION

TO: ALL PERSONS INTERESTED

Please take notice that on _______________ of ___, 2025, the City Commission of the
City of Muskegon adopted an amendment to Section 92-__, summarized as follows:

1. Section 92- 500 provides the purpose for the Unlawful Speed Exhibit Events Ordinance.

2. Section 92- 501 provides the definitions for the Unlawful Speed Exhibition Event
Ordinance.

3. Section 92- 502 prohibits Unlawful Speed Exhibition Event.

4. Section 92 – 503 provides a warning procedure and impoundment of vehicles involved in
an Unlawful Speed Exhibition Event.

5. Section 92-504 provides the penalties for violating the Unlawful Speed Exhibition Event
Ordinance.

Copies of the ordinance may be viewed and purchased at reasonable cost at the Office of the City
Clerk in the City Hall, 933 Terrace Street, Muskegon, Michigan, 49440 during regular business
hours.

This ordinance amendment is effective ten (10) days from the date of this publication.

CITY OF MUSKEGON

Published: _________________, 2025 By:
Ann Marie Meisch, MCC
Clerk, City of Muskegon

------------------------------------------------------------------------------------------------------------
PUBLISH ONCE WITHIN TEN (10) DAYS OF FINAL PASSAGE

Page 134 of 147
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: October 14, 2025 Title: Resolution for Housing Tax Exemption for
Four Properties, LLC (609,619,629 Amity)

Submitted by: Jake Eckholm, Development Department: Economic Development
Services Director

Brief Summary:
Tyce VanNoord, doing business as Four Properties LLC, desires to construct 8 units of workforce
housing (3 duplexes and 2 ADUs)

Detailed Summary & Background:
As with other properties we have approved for workforce housing, this development will utilize the
new scattered-site PILOT we have done with Allen Edwin and other smaller-scale builders. All three
parcels in this item would include a two-story duplex with both upper and lower units offering 3-
beds/3-baths. On 609 & 629 Amity (2 parcels), there will be an ADU that is 1bed/1bath. The center
parcel will feature a shared backyard with mature trees and comfortable parking/turnaround to
support the parcels.

These will all be listed under MSHDA HUD rent requirements for 120%AMI. ADU 1-bed/1-bath target
rent will be $785, and the 3-bed/3-bath Duplex has a target rent between $1400 and $1500 per
month. As with the other projects approved under this statute, the payment in lieu of taxes is equal to
10% of the annual shelter rent.

Goal/Focus Area/Action Item Addressed:

Key Focus Areas:

Goal/Action Item:
2027 Goal 2: Economic Development Housing and Business

Amount Requested: Budgeted Item:
NA Yes No N/A
•

Fund(s) or Account(s): Budget Amendment Needed:
NA Yes No N/A

Recommended Motion:
Motion to approve the Resolution for Housing Tax Exemption as presented and to authorize the

Page 135 of 147
Mayor and Clerk to sign.

Approvals: Guest(s) Invited / Presenting:
Immediate Division Yes
Head
Information
Technology
Other Division Heads
Communication
Legal Review

Page 136 of 147
Resolution Setting Annual Service Fee
for the Workforce Housing Development
by Four Properties, LLC

Whereas, Four Properties, LLC (the “Sponsor”), has applied to the City of Muskegon for a
determination that a proposed workforce housing project sponsored by it at 300
Allen Street, 310 Allen Street, and 370 Allen Street is entitled to the exemption
from taxes authorized by Chapter 82 of the City of Muskegon Code of Ordinances;
now therefore, be it

Resolved, that the proposed workforce housing project is within the class of housing
developments entitled to an exemption under Chapter 82, if it meets the following
contingencies:
a. Sponsor shall provide documentation to the City substantiating ownership
of the subject properties.
b. Construction of at least 3 units of the proposed workforce housing project
shall be commenced within twelve (12) months from the date of the
Michigan State Housing Development Authority’s (“MSHDA”)
notification of exemption, or this resolution shall be void and of no effect.
c. For the life of the this Workforce Housing Resolution, 100% of the dwelling
units in the proposed workforce housing project will be restricted to rental
units or other housing options that are reasonably affordable to, and
occupied by, a household whose total household income is not greater than
120% of the area median income published by the United States Department
of Housing and Urban Development.
d. The Sponsor shall submit an affidavit to MSHDA in the form required by
MSHDA for certification that the workforce housing project is eligible for
the workforce housing exemption.
e. Upon receipt of notification from MSHDA that the workforce housing
project is eligible for a workforce housing exemption, the Sponsor shall file
the certified notification of exemption with the City Assessor before
November 1 of the year preceding the tax year in which the exemption is to
be effective; and,
f. Sponsor shall record a restrictive covenant in a form acceptable to the City
Attorney. The restrictive covenant shall be recorded in the register of deeds
for the county in which the workforce housing project is located and shall
comply with the requirements of Chapter 82; and, further be it

Resolved, that in lieu of ad valorem property taxes, the Sponsor shall pay an annual service
charge equal to ten percent (10%) of the “Annual Shelter Rents” as defined in
Section 82-52 for that portion of the workforce housing project occupied for
Workforce Housing; and, further be it

Page 137 of 147
Resolved, that annually, no later than April 29, the Sponsor shall provide the City Assessor
the Sponsor’s budget for Annual Shelter Rent for the current calendar year and a
copy of Sponsor’s financial statements for the preceding calendar year, prepared in
accordance with generally accepted auditing standards or, if Sponsor is not subject
to an audit requirement, Sponsor’s compiled financial statements for the preceding
calendar year prepared in accordance with generally accepted accounting principles
and certified by Sponsor; and, further be it

Resolved, that the tax exempt status granted by this Resolution shall remain in effect for 15
years, unless otherwise terminated pursuant to Chapter 82 or this Resolution; and,
further be it

Resolved, that all portions of Chapter 82 are hereby incorporated by reference; and, further be
it

Resolved, that this Resolution may be assigned by the Sponsor only to subsequent owners of
the workforce housing project who shall agree to abide to its terms. If not assigned,
to and accepted by subsequent owners of the workforce housing project, it shall
automatically terminate; and further be it

Resolved, that the Mayor and City Clerk execute a contract with the Sponsor providing the
tax exemption and acceptance of payments in lieu of taxes as defined within this
resolution and its application, such contract subject to approval as to substance by
the City Manager and as to form by the City Attorney.

YEAS: _______

NAYS: _______
I hereby certify that the above Resolution was adopted
by the City Commission of the City of Muskegon at its
regular meeting held on ________, in the Commission
Chambers, City Hall, 933 Terrace, Muskegon, Michigan.

Ann Meisch, City Clerk

Page 138 of 147
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: October 14, 2025 Title: Workforce Housing Restrictive Covenant -
Four Properties LLC

Submitted by: Jake Eckholm, Development Department: Economic Development
Services Director

Brief Summary:
Tyce VanNoord, doing business as Four Properties LLC, desires to construct 8 units of workforce
housing (3 duplexes and 2 ADUs)

Detailed Summary & Background:
As with other properties we have approved for workforce housing, this development will utilize the
new scattered site PILOT we have used with Allen Edwin and other smaller-scale builders. All three
parcels in this item would include a two-story duplex with both upper and lower units offering 3-
beds/3-baths each. At 609 & 629 Amity (2 parcels), there will be an ADU that is 1bed/1bath. The
center parcel will feature a shared backyard with mature trees and comfortable parking/turnaround
to support the parcels.

Goal/Focus Area/Action Item Addressed:

Key Focus Areas:

Goal/Action Item:
2027 Goal 2: Economic Development Housing and Business

Amount Requested: Budgeted Item:
NA Yes No N/A

Fund(s) or Account(s): Budget Amendment Needed:
NA Yes No N/A

Recommended Motion:
Motion to Approve the Workforce Housing Restrictive Covenant as presented and to authorize the
Mayor and Clerk to sign.

Page 139 of 147
Approvals: Guest(s) Invited / Presenting:
Immediate Division Yes
Head
Information
Technology
Other Division Heads
Communication
Legal Review

Page 140 of 147
WORKFORCE HOUSING RESTRICTIVE COVENANT

This Workforce Housing Restrictive Covenant (“Restrictive Covenant”) is made by and between
the City of Muskegon, Michigan (“Municipality”) and Four Properties, LLC, a Michigan limited liability
company, presently of 6049 Clyde Park Ave, SW, Byron Center MI 49315(the “Sponsor”) as of June 24th,
2025.

R E C I T A L S:

A. Sponsor is the owner of certain real property located in the City of Muskegon, County
of Muskegon, State of Michigan, and more particularly described on the attached Exhibit A (the
“Property”), which is attached hereto and incorporated by reference into this Agreement.

B. Sponsor has offered to provide nine “Workforce housing” units as defined by MCL
125.1415a(10)(d) on the Property (the “Project”) and has applied to Municipality for a workforce housing
exemption from ad valorem property taxes under Section 15a of the State Housing Development Authority
Act, being Public Act 346 of 1966, as amended (the “Act”).

C. In consideration of Sponsor’s offer to undertake the Project, Municipality has agreed to
exempt the Property from all ad valorem property taxes imposed by any taxing jurisdiction and to accept
in lieu thereof payment of an annual service charge for a period of 15-years as provided by Chapter 82 of
the City Code of Ordinances, as amended (the “Ordinance”).

D. Upon completion of the Project, the annual service charge paid in lieu of all ad valorem
property taxes shall be equal to ten percent (10%) of the annual shelter rents collected from the Project and
shall be paid as provided in the Ordinance.

E. Sponsor and Municipality agree that the economic feasibility of the Project depends upon
the continuing effect of the annual service charge in lieu of all ad valorem taxes approved by Municipality
for the 15-year exemption period.

F. Accordingly, upon recording with the Muskegon County Register of Deeds, this Restrictive
Covenant will restrict use of the Property to Workforce housing for the 15-year exemption period.

NOW, THEREFORE, in consideration of Municipality’s acceptance of payment of the annual
service charge in lieu of all ad valorem property taxes and Sponsor’s commitment to construct or rehabilitate
the Project, Sponsor and Municipality hereby covenant as follows:

1. Recitals. The above recitals are acknowledged as true and correct and are incorporated by
reference into this paragraph.

Page 141 of 147
2. Definitions. All words and phrases used in this Restrictive Covenant have the same
meaning as defined in the Act or the Ordinance.

3. Workforce Housing Covenant. The Project will, upon completion of the proposed
construction or rehabilitation, constitute workforce housing for households for persons and families whose
household income is not greater than 120% of the area median income, as published by the Michigan State
Housing Development Authority (“the Authority) for Muskegon County, adjusted for family size. All of
the housing units in the Project will be rented, or available for rental, on a continuous basis to members of
the general public throughout the term of this Restrictive Covenant.

4. Term of Exemption. The exemption from ad valorem property taxes approved by
Municipality shall remain in effect in accordance with this Restrictive Covenant restricting use of the Project
to workforce housing for a period of 15-years, ending on December 31, 2040, or so long as the Project is
used as workforce housing, whichever is less.

5. No Violation. Sponsor agrees that it will not knowingly take or permit any action that
would result in a violation of the requirements of this Restrictive Covenant or the Ordinance, which is
incorporated herein as if a part of this Restrictive Covenant. Further, Sponsor agrees to take any required
action, including the amendment of this Restrictive Covenant, as may be necessary, in the determination of
the Municipality or of the Authority, to comply with the Ordinance. If Municipality determines that the
Project is not in compliance with the requirements of this Restrictive Covenant, and Sponsor, after receiving
written notice of the non-compliance from Municipality, does not correct such non-compliance within thirty
(30) days, Municipality shall be entitled to take such actions as it deems necessary to enforce the provisions
of this Restrictive Covenant.

6. Sponsor to Demonstrate Compliance. Sponsor will provide Municipality with such
certifications, reports and other information as are required by Municipality to demonstrate compliance
with the Ordinance. Sponsor will provide Municipality and Authority with an annual verification of
compliance with this Restrictive Covenant, in a form specified by the Authority.

7. Transfer of Ownership. Sponsor will, prior to a sale or other voluntary transfer of
ownership of the Project or any part thereof, notify Municipality in writing, and will enter into any
agreements with the purchaser or transferee as may be prescribed by Municipality to ensure such purchaser's
or transferee's compliance with this Restrictive Covenant and Michigan law.

8. Enforceability. This Restrictive Covenant is enforceable in any court in the State of
Michigan having jurisdiction thereof, by Municipality, and to the extent required by the Ordinance, by any
individuals who are tenants of the Project.

9. Covenant Running with the Land; Binding Effect. The foregoing covenant shall
constitute and be enforced as a covenant running with the land under Michigan law and shall be binding on
all successors or assigns of Sponsor or Municipality and any future owner or operator of the Project for the
full 15-year exemption period.

10. Miscellaneous. In the event of any conflict between the terms of this Restrictive Covenant
and the requirements of the Ordinance the requirements of the Ordinance shall prevail. This Restrictive
Covenant may only be amended or terminated by a writing signed by both Sponsor and Municipality. The
invalidity of any clause or provision of this Restrictive Covenant shall not affect the validity of the
remaining portions thereof.

Page 142 of 147
IN WITNESS WHEREOF, is this Covenant is effective as of December 1st, 2025.

[Signature Pages Follow]

Page 143 of 147
CITY OF MUSKEGON

By: ________________________________________

Its: ________________________________________

STATE OF MICHIGAN )
) ss
COUNTY OF MUSKEGON )

The foregoing instrument was acknowledged before me this day of June 24th, 2025 by Kenneth
Johnson, as Mayor of the City of Muskegon, a municipal corporation of the State of Michigan.

Notary Public, ________________County, MI
My Commission Expires:
Acting in _________________ County, MI

Page 144 of 147
SPONSOR
Four Properties, LLC

By: _____________________________________

Its:

STATE OF MICHIGAN )
) ss
COUNTY OF MUSKEGON )

The foregoing instrument was acknowledged before me this ____ day of __________, by
______________________, as the manager/authorized member of Four Properties, LLC, a Michigan
limited liability company, on behalf of said Company.

Notary Public, __________County, MI
My Commission Expires:
Acting in ________________County, MI

DRAFTED BY:

WHEN RECORDED RETURN TO:

Page 145 of 147
EXHIBIT A

Legal Description of Property

CITY OF MUSKEGON REVISED PLAT 1903 W 13.5FT LOT 3 & E 36.5FT LOT 4 BLK 52;
Address: 619 AMITY AVE (#24-205-052-0004-01).

CITY OF MUSKEGON REVISED PLAT 1903 W 28 FT LOT 4 & E ¼ LOT 5 BLK 52;
Address: 609 AMITY AVE (#24-205-052-0004-10).

CITY OF MUSKEGON REVISED PLAT 1903 E 50 FT LOT 3 BLK 52;
Address: 629 AMITY AVE (#24-205-052-0003-01).

Page 146 of 147
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: October 14, 2025 Title: Concur with CRC Recommendation

Submitted by: Ann Meisch, City Clerk Department: City Clerk

Brief Summary:
To concur with CRC recommendation to accept resignations and make appointments.

Detailed Summary & Background:
To accept the resignations of Steven Frantz from the Housing Code Board of Appeals and Jay
Wallace from the Downtown Development Authority. To appoint James Curtis to the Downtown
Development Authority as member with a term ending 1-31-27; and appoint David England to the
Farmers Market Advisory Board as a seasonal farmer with a term ending 1-31-28.

Goal/Action Item:

Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:

Amount Requested: Budgeted Item:
Yes No N/A x

Fund(s) or Account(s): Budget Amendment Needed:
Yes No N/A x

Recommended Motion:
To accept the resignations of Steven Frantz and Jay Wallace and appoint James Curtis to the
Downtown Development Authority and David England to the Farmers Market Advisory Board.

Approvals: Name the Policy/Ordinance Followed:
Immediate Division
Head
Information
Technology
Other Division Heads
Communication
Legal Review

Page 147 of 147

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