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CITY OF MUSKEGON
CITY COMMISSION MEETING
November 10, 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:
A. Presentation from Melissa Howell, Muskegon County Department of
Health and Human Services - Foster Parents City Clerk
B. Work session Item — Beach Parking Report/Revenue Discussion Public
Safety
☐ PUBLIC HEARINGS:
A. Brownfield Plan Amendment #1 — Harbor 31 Hotel, Lakeshore Hotel
Partners, LLC Economic Development
B. PA 198 Industrial Facilities Exemption — 2034 Latimer Drive Economic
Development
☐ FEDERAL/STATE/COUNTY OFFICIALS UPDATE:
☐ PUBLIC COMMENT ON AGENDA ITEMS:
☐ CONSENT AGENDA:
A. Approval of Minutes City Clerk
B. Ordinance Adoption: Unlawful Speed Exhibition Events (SECOND
READING) Public Safety
C. Limited Traffic Data Software Subscription Public Works
D. Sale of 617, 625, & 635 Oak Planning
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Page 1 of 290
E. Sale of 638 & 644 Oak Planning
F. Sale of 595 Oak & 594 Orchard Planning
G. FY26 State Revolving Fund Engineering Services Public Works
H. Beach Pass Online Discount Public Safety
I. Rezoning of 560 Mart St from Waterfront Marine (WM) to Waterfront
Industrial PUD (WI-PUD). Planning
J. Rezoning of 501 E Western Ave from Open Space Recreation (OSR) to
Waterfront Industrial PUD (WI-PUD). Planning
K. Harbor 31 Development and Reimbursement Agreement Economic
Development
L. Bid Award - Park Building Renovations DPW- Parks
M. Bid/RFP contract award - Engineering AutoCad standards DPW-
Engineering
N. Police Department Wage Increase Public Safety
O. Brunswick Sewer Work Manager's Office
☐ 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. Discussion of Attorney/Client Privilege Manager's Office
☐ 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
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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:
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: November 10, 2025 Title: Brownfield Plan Amendment #1 — Harbor
31 Hotel, Lakeshore Hotel Partners, LLC
Submitted by: Jocelyn Hines, Development Department: Economic Development
Analyst
Brief Summary:
Harbor 31 Hotel is requesting approval of Brownfield Plan Amendment #1. This amendment includes
the addition of state school tax capture for reimbursement of costs associated with Michigan
Strategic Fund (MSF) eligible activities.
Detailed Summary & Background:
Harbor 31 Hotel is requesting approval of Brownfield Plan Amendment #1. The Brownfield
Redevelopment Authority (BRA) approved the original Brownfield Plan on December 10, 2024, and
the City Commission granted final approval on the same date. Amendment #1 includes the addition
of state school tax capture for reimbursement of costs associated with Michigan Strategic Fund (MSF)
eligible activities. The amendment adds $15,000 for plan preparation, increases contingency by
$1,500 due to the addition of plan preparation costs, and reflects a decrease in interest from
$770,742 to $533,328, resulting in a total reduction of $237,414.
The 2.99-acre development will consist of a five-story hotel with 126 rooms. The project will include
two meeting rooms, an indoor pool, fitness center, restaurant, and a bar with outdoor dining and
patio space. The estimated total investment is approximately $28.8 million and is expected to create
approximately 35 full-time jobs. Construction is anticipated to begin in the winter of 2026 and be
completed in the fall of 2027. The hotel will be part of the larger 31-acre Harbor 31 mixed-use
community.
The Brownfield Plan is anticipated to remain in effect for up to 25 years, or until all eligible activities
have been reimbursed. The final five years of the plan will allow for capture by the Local Brownfield
Revolving Fund (LBRF). The total estimated cost of eligible activities is approximately $2.2 million, with
an estimated $927,000 allocated to LBRF capture.
The Brownfield Redevelopment Authority approved Amendment #1 at their November 10, 2025
meeting. The attached Development and Reimbursement Agreement must be approved separately.
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:
The Brownfield Plan was amended to include capture of the state school tax.
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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 attached resolution and authorize the Mayor
and City Clerk to sign the resolution.
Approvals: Name the Policy/Ordinance Followed:
Immediate Division Act 381, Public Acts of Michigan, 1996, as
Head amended
Information
Technology
Other Division Heads
Communication
Legal Review
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Amendment #1 to the Act 381 Brownfield Plan Amendment
Harbor 31 Hotel
181 and 201 Viridian Drive
Muskegon, Michigan 49440
Prepared For:
City of Muskegon Brownfield Redevelopment Authority
City of Muskegon, Michigan
Act 381 Brownfield Plan Amendment Date: October 30, 2024
Amendment #1 Date: October 6, 2025
Project No. 240340
BPA Recommended for Approval by Brownfield Redevelopment Authority on: December 10, 2024
BPA Adopted by the City of Muskegon City Commission on: December 10, 2024
Amendment #1 Recommended for Approval by Brownfield Redevelopment Authority on: ________
Amendment #1 Adopted by the City of Muskegon City Commission on: ____________
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Table of Contents Fishbeck | Page i
1.0 Introduction ...................................................................................................................................................1
1.1 Proposed Redevelopment and Future Use for Each Eligible Property ..............................................1
1.2 Eligible Property Information ............................................................................................................1
2.0 Information Required by Section 13(2) of the Statute ...................................................................................2
2.1 Description of Costs to be Paid for with Tax Increment Revenues ...................................................2
2.1.1 Pre-Approved Activities .......................................................................................................2
2.1.2 Department Specific Activities .............................................................................................2
2.1.3 Site Preparation ...................................................................................................................2
2.1.4 Brownfield Plan/Work Plan Preparation ..............................................................................3
2.1.5 Brownfield Plan/Work Plan Implementation .......................................................................3
2.1.6 Interest ................................................................................................................................3
2.1.7 Contingency .........................................................................................................................3
2.1.8 Authority Administration Cost .............................................................................................3
2.1.9 Local Brownfield Revolving Fund .........................................................................................3
2.2 Summary of Eligible Activities ...........................................................................................................3
2.3 Estimate of Captured Taxable Value and Tax Increment Revenues ..................................................4
2.4 Method of Financing and Description of Advances Made by the Municipality ................................4
2.5 Maximum Amount of Note or Bonded Indebtedness .......................................................................4
2.6 Duration of Brownfield Plan..............................................................................................................4
2.7 Estimated Impact of Tax Increment Financing on Revenues of Taxing Jurisdictions ........................4
2.8 Legal Description, Property Map, Statement of Qualifying Characteristics, and Personal Property.4
2.9 Estimates of Residents and Displacement of Individuals/Families....................................................5
2.10 Plan for Relocation of Displaced Persons..........................................................................................5
2.11 Provisions for Relocation Costs .........................................................................................................5
2.12 Strategy for Compliance with Michigan’s Relocation Assistance Law...............................................5
2.13 Other Material that the Authority or Governing Body Considers Pertinent .....................................5
List of Figures
Figure 1 – Location Map of the Eligible Property
Figure 2 – Site Plans
List of Tables
Table 1 – Summary of Eligible Costs
Table 2 – Total Captured Incremental Taxes Estimates
Table 3 – Estimated Reimbursement Schedule
List of Appendices
Appendix 1 Brownfield Plan Resolution(s)
Appendix 2 Development/Reimbursement Agreement
Appendix 3 Notice to Taxing Jurisdictions
Appendix 4 Notice of Public Hearing
Appendix 5 Environmental Data Tables and Map
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Table of Contents Fishbeck | Page ii
List of Abbreviations/Acronyms
Act 381 Brownfield Redevelopment Financing Act, 1996 PA 381, as amended
Authority City of Muskegon Brownfield Redevelopment Authority
BEA Baseline Environmental Assessment
BPA Brownfield Plan Amendment
DDCC Documentation of Due Care Compliance
Developer Lakeshore Hotel Partners, LLC
ESA Environmental Site Assessment
EGLE Michigan Department of Environment, Great Lakes, and Energy
LBRF Local Brownfield Revolving Fund
MSF Michigan Strategic Fund
NREPA Natural Resources and Environmental Protect Act
PA Public Act
Plan Amendment Brownfield Plan Amendment
Property 181 and 201 Viridian Drive
QLGU Qualified Local Governmental Unit
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October 5, 2025 Fishbeck | Page 1
1.0 Introduction
The City of Muskegon Brownfield Redevelopment Authority (the “Authority”) was established by the City of
Muskegon pursuant to the Brownfield Redevelopment Financing Act, Michigan Public Act (PA) 381 of 1996, as
amended (“Act 381”). The primary purpose of Act 381 is to encourage the redevelopment of an eligible property
by providing economic development incentives through tax increment financing for certain eligible properties.
On December 10, 2024, the City of Muskegon (the “City”) approved a Brownfield Plan Amendment (BPA) to
incorporate 181 and 201 Viridian Drive, Muskegon, Michigan (the “Property”) into the City’s existing Brownfield
Plan. The BPA detailed redevelopment plans for the construction of a hotel on the Property, including eligible
activity costs and related reimbursement through local-only tax increment financing.
This first amendment to the BPA has been prepared to add state school tax capture for reimbursement of costs
related to Michigan Strategic Fund (MSF) eligible activities. See Attachment A for copies of amended BPA
resolutions.
1.1 Proposed Redevelopment and Future Use for Each Eligible Property
The Developer is proposing to redevelop the Harbor 31 Element Hotel located at 181 and 201 Viridian Drive. The
proposed redevelopment activities for “Element Muskegon” include the construction of a five-story hotel with
126 hotel rooms, 146 parking spaces, and two elevators. Amenities include two meeting rooms, an indoor pool, a
gym, and a restaurant and bar on the fifth floor along with an outdoor patio and dining. The total amount of
project investment is estimated to be $28,800,000 with 30–35 full-time equivalent jobs created as a result of this
development. Construction is expected to start in winter 2026 and be completed by fall 2027. The proposed site
plan is included in Figure 2.
This project serves a public purpose in the City of Muskegon, a Qualified Local Governmental Unit (QLGU),
expanding the tax base, investing significant capital into the community, and creating new jobs. Within walking
distance from both Muskegon Lake and Downtown Muskegon’s Social District, the Element Muskegon will be a
key part of the 31-acre lakefront Harbor 31 master-planned community, which includes homes, townhomes,
apartments, senior living, office space, and a marina for residents and visitors. There is no existing hotel or hotel
in development on this level of service within the region, so it will draw both community members and national
visitors looking to visit this region and Lake Michigan.
1.2 Eligible Property Information
Parcel ID: 61-24-607-000-0007-00
181 Viridian Drive, Muskegon, Michigan 49440
Approximately 0.99 acres
Parcel ID: 61-24-607-000-0006-00
201 Viridian Drive, Muskegon, Michigan 49440
Approximately 2.0 acres
The property is located in the City of Muskegon, a QLGU pursuant to Act 381.
The Property has been historically utilized for industrial purposes dating back to the 1800s. Based on historical
environmental investigations conducted over the past 25 years, these past industrial uses have resulted in
widespread contamination across the Property. Known contaminants in the soil with concentrations exceeding
Michigan Department of Environment, Great Lakes, and Energy (EGLE) Part 201 Generic Residential Cleanup
Criteria include benzo(a)pyrene, fluoranthene, naphthalene, phenanthrene, arsenic, cadmium, chromium (total),
copper, lead, selenium, zinc, and nickel.
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October 5, 2025 Fishbeck | Page 2
The Developer is not a liable party and is in the process of completing a Phase I Environmental Site Assessment
(ESA) and a Baseline Environmental Assessment (BEA) in accordance with Part 201 of the Natural Resources and
Environmental Protect Act, 1995 PA 451, as amended (NREPA), which will be completed when they acquire the
property.
Given the known soil contamination, the Property is a “facility” pursuant to Part 201 of NREPA. As such, it is
considered an “eligible property” as defined by the Michigan Redevelopment Financing Act, Act 381 of 1996.
Maps depicting the location and layout of the Property are attached as Figures 1 and 2. Historic environmental
data tables and associated sample location maps are provided in Appendix 5.
2.0 Information Required by Section 13(2) of the Statute
2.1 Description of Costs to be Paid for with Tax Increment Revenues
This Brownfield Plan has been developed to reimburse existing and anticipated costs to be incurred by the
Developer. Tax increment revenues will be captured for reimbursement from local-only tax increment revenues.
The total cost of eligible activities anticipated to be reimbursed to the Developer, inclusive of contingencies, is
anticipated to be $2,171,878. Authority administrative costs are anticipated to be up to $274,380. While all
activities are eligible, as defined in Act 381, the estimated eligible activities and costs under this plan are
summarized in Table 1. The capture of tax increment revenue for the Local Brownfield Revolving Fund (LBRF) is
estimated to be up to $926,988.
2.1.1 Pre-Approved Activities
Eligible costs for reimbursement include Pre-Approved Activities, permitted to occur prior to Plan Amendment
adoption. Preparation of Phase I and II ESA(s), BEA, and Documentation of Due Care Compliance (DDCC) are
necessary to protect the new Property owner/Developer from liability for environmental contamination.
Additional due care assessment and/or planning activities are anticipated including, but not limited to, the
preparation of a soil management plan and health and safety plan. The total cost is anticipated to be $20,000.
The total Pre-Approved Activities cost is $20,000.
2.1.2 Department Specific Activities
Due care activities will include additional investigative sampling and implementation of vapor concerns. Due care
costs will include environmental consultant oversight and management. If needed, engineering barriers, including
site concrete and paving, are anticipated to cost $160,000, a vapor mitigation system is anticipated to cost
$160,000, and contaminated soil removal and disposal is anticipated to cost $50,000, totaling $370,000.
2.1.3 Site Demolition
Limited site demolition activities will be conducted including but not limited to removal of curb cuts, and
sidewalks. Total site demolition is anticipated at $10,000.
2.1.4 Site Preparation
Site preparation activities are anticipated to include clearing and grubbing ($5,000), cut and fill operations
($5,000), dewatering ($30,000), excavation of unstable material ($60,000), fill ($71,000), foundation work/helical
piers to address special soil concerns ($620,000), staking ($30,000), temporary construction access/roads
($6,000), temporary erosion control ($8,000), temporary site control ($12,000), and associated soft costs
($150,000). The total cost of site preparation activities is anticipated to be $997,000.
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2.1.5 Brownfield Plan/Work Plan Preparation
Preparation of the Brownfield Plan is estimated to cost $25,000.
2.1.6 Brownfield Plan/Work Plan Implementation
Implementation of the Brownfield Plan is estimated to cost $10,000.
2.1.7 Interest
A 5% simple interest calculation is anticipated on the total costs annually. The total cost is anticipated to be
$533,328.
2.1.8 Contingency
A 15% contingency on future costs is included to cover unexpected cost overruns encountered during
construction.
The total non-environmental contingency cost is anticipated at $151,050.
The total Local-Only contingency cost is anticipated at $55,500.
2.1.9 Authority Administration Cost
Eligible costs incurred by the Authority are included in this plan as an eligible expense at 10% of annual local tax
increment capture per year. These expenses will be reimbursed with local tax increment revenues only and are
estimated to total as much as $274,380.
2.1.10 Local Brownfield Revolving Fund
The Authority intends to capture tax increments for deposits in the LBRF for an estimated five years, or as allowed
by the statute. This capture is estimated to be up to $926,988.
2.2 Summary of Eligible Activities
Environmental Activities
Pre-approved environmental costs, department specific activities and interest are anticipated to be reimbursed
through a Brownfield Plan State and Local tax increment revenues.
Non-Environmental Activities
Because the City of Muskegon is a QLGU, additional non-environmental costs defined in Section 2(o)(ii) of Act 381
can be reimbursed through a Brownfield Plan. While all eligible activities as defined by Act 381 are eligible, this
plan is estimated to provide reimbursement of eligible site demolition, site preparation, development of the
Brownfield Plan costs and interest. These costs will be reimbursed with state and local-only (interest) tax
increment revenues.
Authority Expenses
Eligible administrative costs incurred by the Authority are included as a flat fee of 10% of local tax capture.
Administration expenses will be reimbursed with local tax increment revenues only.
Contingencies
A 15% contingency on future costs is included to cover unexpected cost overruns encountered during
construction. The plan does not include a contingency on pre-approved activities or the preparation of the
Brownfield Plan.
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October 5, 2025 Fishbeck | Page 4
2.3 Estimate of Captured Taxable Value and Tax Increment Revenues
The initial taxable value will be the 2024 combined taxable value, $200,800. An estimate of the captured taxable
value for this redevelopment by year is depicted in Table 2. This plan captures all available tax increment
revenues, including real and personal property tax increment revenues.
The project is intended to start construction in Winter/Spring 2026 and be completed by Fall 2027. Tax increment
revenue collection will start within five years of the adoption of this plan and is anticipated to begin as early as
2027.
Future taxable value estimates have been derived using the redevelopment information provided by the
Developer and reviewing market comparables. After the completion of the project, the projected taxable value is
estimated at $5,000,000. In addition to tax increment financing, a Public Act 255 Commercial Redevelopment Act
Tax Abatement is being pursued for this development for an estimated 12 years. Reimbursements will be made
on the actual tax increment that is realized. The estimated captured taxable value for this redevelopment by year
and in aggregate for each taxing jurisdiction is depicted in tabular form (Table 2). Once eligible expenses are
reimbursed, the Authority may capture up to five full years of the tax increment and deposit the revenues into an
LBRF or an amount not to exceed the total cost of eligible activities. The Authority intends to capture tax
increments for deposits in the LBRF for an estimated five years. The plan also includes a flat fee of 10% of the
local tax increment for administrative and operating expenses of the Authority. A summary of the estimated
reimbursement schedule and the amount of capture into the LBRF by year and in aggregate is presented in
Table 3.
2.4 Method of Financing and Description of Advances Made by the Municipality
The eligible activities contemplated under this plan will be financed by the Developer, as outlined in this plan and
the accompanying development and reimbursement agreement (Appendix 2). No advances from the City are
anticipated at this time.
2.5 Maximum Amount of Note or Bonded Indebtedness
At this time, there are no plans by the Authority to incur indebtedness to support the development of this
property, but such plans could be made in the future to assist in the development if the Authority so chooses.
2.6 Duration of Brownfield Plan
The Authority intends to begin the capture of tax increment as early as 2028. This plan will then remain in place
for 21 years, or until the eligible activities have been fully reimbursed and up to five full years of capture into the
LBRF (not to exceed the cost of eligible activities or 30 years), whichever occurs sooner. An analysis showing the
reimbursement schedule is attached in Table 3.
2.7 Estimated Impact of Tax Increment Financing on Revenues of Taxing
Jurisdictions
An estimate of the impact of tax increment financing on the revenues of all taxing jurisdictions is illustrated in
detail in Table 2.
2.8 Legal Description, Property Map, Statement of Qualifying Characteristics,
and Personal Property
A map showing the eligible property dimensions is attached in Figure 1.
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October 5, 2025 Fishbeck | Page 5
The legal descriptions for the parcels are as follows:
Parcel ID No.: 61-24-607-000-0007-00
CITY OF MUSKEGON MUSKEGON LAKESHORE SMARTZONE UNIT G FIFTH AMEND TO MASTER DEED L/P
4292/128 SUBJ TO ELECTRIC ESMT REC L/P 3591/578 SBJT TO ELECTRIC EASEMENT RECORD'D L/P
3630/646
Parcel ID No.: 61-24-607-000-0006-00
CITY OF MUSKEGON MUSKEGON LAKESHORE SMARTZONE UNIT F FIFTH AMEND TO MASTER DEED L/P
4292/128 SUBJ TO ELECTRIC ESMT REC L/P 3591/578 SBJT TO ELECTRIC EASEMENT RECORD'D L/P
3630/646
The property is located in the City of Muskegon, a QLGU pursuant to Act 381. The property qualifies as “eligible
property” under Act 381 on the basis of meeting the definition of “facility.” This Brownfield Plan does intend to
capture tax increment revenues associated with personal property tax, if available.
2.9 Estimates of Residents and Displacement of Individuals/Families
There are no residents or families residing at this property, and thus no residents, families, or individuals will be
displaced by the project.
2.10 Plan for Relocation of Displaced Persons
No persons reside on the property. Therefore, this section is not applicable.
2.11 Provisions for Relocation Costs
No persons reside on the property. Therefore, this section is not applicable.
2.12 Strategy for Compliance with Michigan’s Relocation Assistance Law
No persons reside on the property. Therefore, this section is not applicable.
2.13 Other Material that the Authority or Governing Body Considers Pertinent
None.
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Figures
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Witham Drive
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Bear Lake
Beach Park M 120
Hard copy is
Bear Lake North Muskegon intended to be
8.5"x11" when
plotted. Scale(s)
Verplanks / indicated and
graphic quality may
Former Cobb not be accurate for
any other size.
plant site M 120
North Verplanks
Muskegon
Waterfront
Sports Park
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201 & 181 Viridian Drive
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PLOT INFO: Z:\2024\240340\CAD\GIS\ProProj\Brownfield Plan.aprx Layout: FIG01_Location Map Date: 6/11/2024 11:32 AM User: ebuyce
tre
tre
et
et
Muskegon M 46
Hartshorn Marina
Division Street
Oakwood
West Southern Avenue
Cemetery
West Laketon Avenue
West Laketon Avenue
East Laketon Avenue
Catholic PROJECT NO.
Central High
240340
LOCATION MAP
School
FIGURE NO.
NORTH FEET
1
Sanford Street
cGraft Park 0 1,000 2,000
Peck Street
DATA SOURCES: ESRI STREET MAP.
©Copyright 2024 All Rights Reserved US 31 Business
Page 15 of 290
LEGEND
Approximate Property Boundary
Hard copy is
Muskegon intended to be
8.5"x11" when
Innovation Hub plotted. Scale(s)
at Grand Valley indicated and
graphic quality may
State not be accurate for
any other size.
University
Vi
rid
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201 & 181 Viridian Drivei d i a n D
Dr
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Muskegon, Michigan
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PLOT INFO: Z:\2024\240340\CAD\GIS\ProProj\Brownfield Plan.aprx Layout: FIG02_Site Map Date: 6/11/2024 11:32 AM User: ebuyce
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PROJECT NO.
240340
SITE MAP 31
FIGURE NO.
2
FEET
NORTH 0 75 150
46
DATA SOURCES: ESRI HYRBID REFERENCE LAYER & MiSAIL IMAGERY.
©Copyright 2024 All Rights Reserved Terrace Plaza
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COPYRIGHT 2023-ALL RIGHTS RESERVED. THIS DRAWING REMAINS THE PROPERTY OF HENRICKSON ARCHITECTURE AND PLANNING AND IS FOR USE ONLY AS AUTHORIZED BY HENRICKSON ARCHITECTURE AND PLANNING
OFFICE OFFICE GUEST
LUGGAGE/
I.T. / DATA VESTIBULE
STORAGE
MEETING
ROOM
720 SF.
MECHANICAL
RESTORE
512 sf. CHECK-IN
ADMIN. LOUNGE
COMMON
COMMON
NOMMOC
KING
KING
GNIK
ELECTRICAL
EMR
HARBOR 31 - ELEMENT HOTEL
ONE BEDROOM
ADA LAYOUT
ELEVATOR
LOBBY FIREPLACE RISE DINING
WOMENS MENS
HOUSEKEEPING/
IDF4
LAUNDRY ICE
ELEV A ELEV B
STAIR C
ENO
MOORDEB
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SERVICE FOOD PREP
KEEPING
ELEV STORAGE STORAGE
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130sf.
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QUEEN/QUEEN
STUDIO
EMPLOYEE
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OIDUTS
NEEUQ/NEEUQ
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VESTIBULE CORRIDOR
MUSKEGON, MICHIGAN
STAIR A
KING
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COMMON ONE
ONE
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ONE
ELEMENT by WESTIN
REVIEW 12.11.23
DRAWN BY: DLJ
CHECKED: DSH
SITE PLAN
1" = 20'-0"
PROJECT No. 230402
10/26/2023 11:26 AM
FILE NAME: BP1.DWG
000
Page 17 of 290
Room Type Summary
Standard
Studio King Studio Queen/Queen One Bedroom One Bedroom ADA Common King Conference Suite Total Rooms
King
First Floor 0 0 2 5 1 5 0 13
Second floor 6 1 6 9 1 6 1 30
Third Floor 7 1 6 10 1 6 1 32
Fourth Floor 7 1 6 10 1 6 1 32
PARKING SUMMARY Fifth Floor 4 0 6 4 1 4 0 19
LODGING (1 PER ROOM) 129 SPACES Total 24 3 26 38 5 30 3 126
1ST FLOOR OFFICE/RETAIL (1,176 SF.) (1 PER 500SF.) 3 SPACES
Extended Stay 75 58%
5TH FLOOR OFFICE/RETAIL (6,938 SF.) (1 PER 500SF.) 13 SPACES
146 SPACES Standard 54 42%
OFFICE OFFICE GUEST
LUGGAGE/
I.T. / DATA VESTIBULE
STORAGE
MEETING
ROOM
720 SF.
COPYRIGHT 2023-ALL RIGHTS RESERVED. THIS DRAWING REMAINS THE PROPERTY OF HENRICKSON ARCHITECTURE AND PLANNING AND IS FOR USE ONLY AS AUTHORIZED BY HENRICKSON ARCHITECTURE AND PLANNING
MECHANICAL
RESTORE
512 sf. CHECK-IN
ADMIN. LOUNGE
COMMON
COMMON
NOMMOC
KING
KING
GNIK
ELECTRICAL
EMR
HARBOR 31 - ELEMENT HOTEL
ONE BEDROOM
ADA LAYOUT
ELEVATOR
LOBBY FIREPLACE RISE DINING
WOMENS MENS
HOUSEKEEPING/
IDF4
LAUNDRY ICE
ELEV A ELEV B
STAIR C
ENO
MOORDEB
HOUSE
SERVICE FOOD PREP
KEEPING
ELEV STORAGE STORAGE
LOBBY
LINEN
STORAGE STAIR B
130sf.
RR JAN.
MUSKEGON, MICHIGAN
QUEEN/QUEEN
STUDIO
EMPLOYEE
BREAKROOM
VIRIDIAN DRIVE
ONE
BEDROOM+ +
MOTION
OIDUTS
NEEUQ/NEEUQ
GUEST
LAUNDRY
VESTIBULE CORRIDOR
ELEMENT by WESTIN
STAIR A
KING
COMMON
INDOOR
POOL
REVIEW 12.11.23
KING BEDROOM
COMMON ONE
ONE
BEDROOM+
BEDROOM
ONE
DRAWN BY: DLJ
CHECKED: DSH
FIRST FLOOR
3/32"=1'-0"
PROJECT No. 230402
10/26/2023 11:26 AM
FILE NAME: BP1.DWG
001
Page 18 of 290
BEDROOM
STANDARD
STANDARD
QUEEN/QUEEN
NEEUQ/NEEUQ
ONE
KING
KING
STUDIO
KING
STUDIO
OIDUTS
CONFERENCE
SUITE
COMMON
COMMON
COMMON
NOMMOC
COPYRIGHT 2023-ALL RIGHTS RESERVED. THIS DRAWING REMAINS THE PROPERTY OF HENRICKSON ARCHITECTURE AND PLANNING AND IS FOR USE ONLY AS AUTHORIZED BY HENRICKSON ARCHITECTURE AND PLANNING
KING
KING
KING
GNIK
ONE BEDROOM
ADA LAYOUT
NEEUQ/NEEUQ
QUEEN/QUEEN
OIDUTS
STUDIO
DRADNATS
HARBOR 31 - ELEMENT HOTEL
IDF4
GNIK
KING
STANDARD
ICE
ELEV A ELEV B
STAIR C
ENO
MOORDEB
STORAGE STORAGE
ONE
BEDROOM
HOUSE
KEEPING
ELEC.
ROOM
STAIR B
QUEEN/QUEEN
STUDIO
ONE ENO
BEDROOM MOORDEB
ONE
BEDROOM+ +
MUSKEGON, MICHIGAN
OIDUTS
NEEUQ/NEEUQ
VIRIDIAN DRIVE
STANDARD DRADNATS
KING GNIK
KING STAIR A
COMMON
ELEMENT by WESTIN
KING BEDROOM
COMMON ONE
REVIEW 12.11.23
ONE
BEDROOM+
BEDROOM
ONE
DRAWN BY: DLJ
CHECKED: DSH
SECOND FLOOR
3/32"=1'-0"
PROJECT No. 230402
10/26/2023 11:26 AM
FILE NAME: BP1.DWG
002
Page 19 of 290
BEDROOM
STANDARD
STANDARD
QUEEN/QUEEN
NEEUQ/NEEUQ
ONE
STUDIO
KING
KING
KING
STUDIO
OIDUTS
CONFERENCE
SUITE
COMMON
COMMON
COMMON
NOMMOC
COPYRIGHT 2023-ALL RIGHTS RESERVED. THIS DRAWING REMAINS THE PROPERTY OF HENRICKSON ARCHITECTURE AND PLANNING AND IS FOR USE ONLY AS AUTHORIZED BY HENRICKSON ARCHITECTURE AND PLANNING
KING
KING
KING
GNIK
ONE BEDROOM
ADA LAYOUT
NEEUQ/NEEUQ
QUEEN/QUEEN
OIDUTS
STUDIO
DRADNATS
DRADNATS
HARBOR 31 - ELEMENT HOTEL
MOORDEB
IDF4
GNIK
GNIK
ENO
KING
STANDARD
ICE
ELEV A ELEV B
STAIR C
ENO
MOORDEB
STORAGE STORAGE
ONE
BEDROOM
HOUSE
KEEPING
ELEC.
ROOM
STAIR B
QUEEN/QUEEN
STUDIO
ONE ENO
BEDROOM MOORDEB
ONE
BEDROOM+ +
MUSKEGON, MICHIGAN
OIDUTS
NEEUQ/NEEUQ
VIRIDIAN DRIVE
STANDARD DRADNATS
KING GNIK
STAIR A
KING
COMMON
ELEMENT by WESTIN
KING BEDROOM
COMMON ONE
REVIEW 12.11.23
ONE
BEDROOM+
BEDROOM
ONE
DRAWN BY: DLJ
CHECKED: DSH
THIRD FLOOR
3/32"=1'-0"
PROJECT No. 230402
10/26/2023 11:26 AM
FILE NAME: BP1.DWG
003
Page 20 of 290
BEDROOM
STANDARD
STANDARD
QUEEN/QUEEN
NEEUQ/NEEUQ
ONE
STUDIO
KING
KING
KING
STUDIO
OIDUTS
CONFERENCE
SUITE
COMMON
COMMON
COMMON
NOMMOC
COPYRIGHT 2023-ALL RIGHTS RESERVED. THIS DRAWING REMAINS THE PROPERTY OF HENRICKSON ARCHITECTURE AND PLANNING AND IS FOR USE ONLY AS AUTHORIZED BY HENRICKSON ARCHITECTURE AND PLANNING
KING
KING
KING
GNIK
ONE BEDROOM
ADA LAYOUT
NEEUQ/NEEUQ
QUEEN/QUEEN
OIDUTS
STUDIO
DRADNATS
DRADNATS
HARBOR 31 - ELEMENT HOTEL
MOORDEB
IDF4
GNIK
GNIK
ENO
KING
STANDARD
ICE
ELEV A ELEV B
STAIR C
ENO
MOORDEB
STORAGE STORAGE
ONE
BEDROOM
HOUSE
KEEPING
ELEC.
ROOM
STAIR B
QUEEN/QUEEN
STUDIO
ONE ENO
BEDROOM MOORDEB
ONE
BEDROOM+ +
MUSKEGON, MICHIGAN
OIDUTS
NEEUQ/NEEUQ
VIRIDIAN DRIVE
STANDARD DRADNATS
KING GNIK
STAIR A
KING
COMMON
ELEMENT by WESTIN
KING BEDROOM
COMMON ONE
REVIEW 12.11.23
ONE
BEDROOM+
BEDROOM
ONE
DRAWN BY: DLJ
CHECKED: DSH
FOURTH FLOOR
3/32"=1'-0"
PROJECT No. 230402
10/26/2023 11:26 AM
FILE NAME: BP1.DWG
004
Page 21 of 290
MEETING ROOM
520 SF.
1/15 SF. (PERSONS)
BEDROOM
STANDARD
STANDARD
QUEEN/QUEEN
NEEUQ/NEEUQ
ONE
KING
KING
STUDIO
OIDUTS
COMMON
COMMON
COMMON
NOMMOC
COPYRIGHT 2023-ALL RIGHTS RESERVED. THIS DRAWING REMAINS THE PROPERTY OF HENRICKSON ARCHITECTURE AND PLANNING AND IS FOR USE ONLY AS AUTHORIZED BY HENRICKSON ARCHITECTURE AND PLANNING
KING
KING
KING
GNIK
ONE BEDROOM
ADA LAYOUT
NEEUQ/NEEUQ
QUEEN/QUEEN
OIDUTS
STUDIO
DRADNATS
DRADNATS
HARBOR 31 - ELEMENT HOTEL
MOORDEB
IDF4
GNIK
GNIK
ENO
ICE
CASUAL DINING ELEV A ELEV B
560 SF.
STAIR C
1/15 SF. (PERSONS)
ENO
MOORDEB
STORAGE STORAGE
HOUSE
KEEPING
ELEC.
ROOM
STAIR B
QUEEN/QUEEN
STUDIO
ONE
BEDROOM+ +
MUSKEGON, MICHIGAN
BAR
1,720 SF. KITCHEN
1/15 SF. (PERSONS) BAR 490 SF. OIDUTS
NEEUQ/NEEUQ
VIRIDIAN DRIVE
1/200 SF. (PERSONS)
STAIR A
ELEMENT by WESTIN
STOR.
BAR
REVIEW 12.11.23
OUTDOOR
PATIO & DINING
2,000 SF.
1/15 SF. (PERSONS)
DRAWN BY: DLJ
CHECKED: DSH
FIFTH FLOOR
3/32"=1'-0"
PROJECT No. 230402
10/26/2023 11:26 AM
FILE NAME: BP1.DWG
005
Page 22 of 290
Page 23 of 290
Page 24 of 290
Page 25 of 290
Page 26 of 290
Tables
Page 27 of 290
Table 1 – Summary of Eligible Costs
Act 381 Brownfield Plan
Harbor 31 Hotel
EGLE Eligible Activities Costs and Schedule
EGLE Eligible Activities Cost Completion Season/Year
Site Assessment and Baseline Environmental Assessment Activities $ 20,000
Phase I ESA, Phase II ESA, BEA, DDCC $ 20,000 Fall 2025
EGLE Eligible Activities Subtotal $ 20,000
EGLE Eligible Activities Total Costs $ 20,000
MEDC Eligible Activities Costs and Schedule
MEDC Eligible Activities Cost Completion Season/Year
Site Preparation $ 997,000
Clearing and Grubbing $ 5,000 Spring 2026
Cut & Fill Operations $ 5,000 Spring 2026
Dewatering $ 30,000 Spring 2026
Excavation of Unstable Material $ 60,000 Spring 2026
Fill $ 71,000 Spring 2026
Foundation Work to Address Special Soil Concerns (Helical Piers) $ 620,000 Spring 2026
Staking $ 30,000 Spring 2026
Temporary Construction Access/Roads $ 6,000 Spring 2026
Temporary Erosion Control $ 8,000 Spring 2026
Temporary Site Control $ 12,000 Spring 2026
Soft Costs (architectural, engineering) $ 150,000 Spring 2026
Demolition $ 10,000
Site Demolition $ 10,000 Spring 2026
MEDC Eligible Activities Subtotal $ 1,007,000
Contingency (15%) $ 151,050
Brownfield Plan/Work Plan Preparation $ 15,000
MEDC Eligible Activities Total Costs $ 1,173,050
Local Only Eligible Activities Costs and Schedule
Local Only Eligible Activities Cost Completion Season/Year
Due Care Activities $ 370,000
Engineered Barriers $ 160,000 Summer /Fall 2026
Vapor Intrusion Mitigation System $ 160,000 Summer /Fall 2026
Contaminated Soil Removal and Disposal $ 50,000 Summer /Fall 2026
Local Only Eligible Activities Subtotal $ 370,000
Contingency (15%) $ 55,500
Interest Expense (5%) $ 533,328
Brownfield Plan/Work Plan Preparation $ 10,000
Brownfield Plan/Work Plan Implementation $ 10,000
Local Only Eligible Activities Total Costs $ 978,828
10/6/2025
Page 28 of 290
Table 2 – Total Captured Incremental Taxes Schedule
Act 381 Brownfield Plan
Harbor 31 Hotel
181 201 Viridian Drive
Muskegon, MI
Estimated Taxable Value (TV) Increase Rate: 2% increase per year
Plan Year 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Totals
Calendar Year 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 2046 2047 2048
*Base Taxable Value $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ -
Future Taxable Value $ 5,000,000 $ 5,100,000 $ 5,202,000 $ 5,306,040 $ 5,412,161 $ 5,520,404 $ 5,630,812 $ 5,743,428 $ 5,858,297 $ 5,975,463 $ 6,094,972 $ 6,216,872 $ 6,341,209 $ 6,468,033 $ 6,597,394 $ 6,729,342 $ 6,863,929 $ 7,001,207 $ 7,141,231 $ 7,284,056 $ 7,429,737 $ -
Incremental Difference (New TV - Base TV) $ 4,799,200 $ 4,899,200 $ 5,001,200 $ 5,105,240 $ 5,211,361 $ 5,319,604 $ 5,430,012 $ 5,542,628 $ 5,657,497 $ 5,774,663 $ 5,894,172 $ 6,016,072 $ 6,140,409 $ 6,267,233 $ 6,396,594 $ 6,528,542 $ 6,663,129 $ 6,800,407 $ 6,940,431 $ 7,083,256 $ 7,228,937 $ -
School Capture Millage Rate
School Operating 18.0000 $ 43,193 $ 44,093 $ 45,011 $ 45,947 $ 46,902 $ 47,876 $ 48,870 $ 49,884 $ 50,917 $ 51,972 $ 53,048 $ 54,145 $ 110,527 $ 112,810 $ 115,139 $ 117,514 $ 119,936 $ 122,407 $ 124,928 $ 127,499 $ 130,121 $ 1,662,739
State Education Tax (SET) 6.0000 $ 28,795 $ 29,395 $ 30,007 $ 30,631 $ 31,268 $ 31,918 $ 32,580 $ 33,256 $ 33,945 $ 34,648 $ 35,365 $ 36,096 $ 36,842 $ 37,603 $ 38,380 $ 39,171 $ 39,979 $ 40,802 $ 41,643 $ 42,500 $ 43,374 $ 748,199
School Total 24.0000 $ 71,988 $ 73,488 $ 75,018 $ 76,579 $ 78,170 $ 79,794 $ 81,450 $ 83,139 $ 84,862 $ 86,620 $ 88,413 $ 90,241 $ 147,370 $ 150,414 $ 153,518 $ 156,685 $ 159,915 $ 163,210 $ 166,570 $ 169,998 $ 173,494 $ 2,410,937
Local Capture Millage Rate
County Operating 5.5637 $ 13,351 $ 13,629 $ 13,913 $ 14,202 $ 14,497 $ 14,798 $ 15,105 $ 15,419 $ 15,738 $ 16,064 $ 16,397 $ 16,736 $ 34,163 $ 34,869 $ 35,589 $ 36,323 $ 37,072 $ 37,835 $ 38,614 $ 39,409 $ 40,220 $ 513,943
County Museum 0.3169 $ 760 $ 776 $ 792 $ 809 $ 826 $ 843 $ 860 $ 878 $ 896 $ 915 $ 934 $ 953 $ 1,946 $ 1,986 $ 2,027 $ 2,069 $ 2,112 $ 2,155 $ 2,199 $ 2,245 $ 2,291 $ 29,273
County Veterans 0.0739 $ 177 $ 181 $ 185 $ 189 $ 193 $ 197 $ 201 $ 205 $ 209 $ 213 $ 218 $ 222 $ 454 $ 463 $ 473 $ 482 $ 492 $ 503 $ 513 $ 523 $ 534 $ 6,826
Senior Citizen Services 0.4921 $ 1,181 $ 1,205 $ 1,231 $ 1,256 $ 1,282 $ 1,309 $ 1,336 $ 1,364 $ 1,392 $ 1,421 $ 1,450 $ 1,480 $ 3,022 $ 3,084 $ 3,148 $ 3,213 $ 3,279 $ 3,346 $ 3,415 $ 3,486 $ 3,557 $ 45,457
Central Dispatch 0.2952 $ 708 $ 723 $ 738 $ 754 $ 769 $ 785 $ 801 $ 818 $ 835 $ 852 $ 870 $ 888 $ 1,813 $ 1,850 $ 1,888 $ 1,927 $ 1,967 $ 2,007 $ 2,049 $ 2,091 $ 2,134 $ 27,269
Community College 2.1693 $ 5,205 $ 5,314 $ 5,425 $ 5,537 $ 5,653 $ 5,770 $ 5,890 $ 6,012 $ 6,136 $ 6,263 $ 6,393 $ 6,525 $ 13,320 $ 13,596 $ 13,876 $ 14,162 $ 14,454 $ 14,752 $ 15,056 $ 15,366 $ 15,682 $ 200,388
MAISD 4.6773 $ 11,224 $ 11,458 $ 11,696 $ 11,939 $ 12,188 $ 12,441 $ 12,699 $ 12,962 $ 13,231 $ 13,505 $ 13,784 $ 14,069 $ 28,721 $ 29,314 $ 29,919 $ 30,536 $ 31,165 $ 31,808 $ 32,462 $ 33,131 $ 33,812 $ 432,063
City Operating 9.8554 $ 23,649 $ 24,142 $ 24,644 $ 25,157 $ 25,680 $ 26,213 $ 26,757 $ 27,312 $ 27,878 $ 28,456 $ 29,045 $ 29,645 $ 60,516 $ 61,766 $ 63,041 $ 64,341 $ 65,668 $ 67,021 $ 68,401 $ 69,808 $ 71,244 $ 910,386
City Sanitation 2.9364 $ 7,046 $ 7,193 $ 7,343 $ 7,496 $ 7,651 $ 7,810 $ 7,972 $ 8,138 $ 8,306 $ 8,478 $ 8,654 $ 8,833 $ 18,031 $ 18,403 $ 18,783 $ 19,170 $ 19,566 $ 19,969 $ 20,380 $ 20,799 $ 21,227 $ 271,248
Hackley Library 2.3516 $ 5,643 $ 5,760 $ 5,880 $ 6,003 $ 6,128 $ 6,255 $ 6,385 $ 6,517 $ 6,652 $ 6,790 $ 6,930 $ 7,074 $ 14,440 $ 14,738 $ 15,042 $ 15,353 $ 15,669 $ 15,992 $ 16,321 $ 16,657 $ 17,000 $ 217,228
MPS Sinking 0.9712 $ 2,330 $ 2,379 $ 2,429 $ 2,479 $ 2,531 $ 2,583 $ 2,637 $ 2,692 $ 2,747 $ 2,804 $ 2,862 $ 2,921 $ 5,964 $ 6,087 $ 6,212 $ 6,341 $ 6,471 $ 6,605 $ 6,741 $ 6,879 $ 7,021 $ 89,714
Local Total 29.7030 $ 71,275 $ 72,760 $ 74,275 $ 75,820 $ 77,397 $ 79,004 $ 80,644 $ 82,316 $ 84,022 $ 85,762 $ 87,537 $ 89,348 $ 182,389 $ 186,156 $ 189,998 $ 193,917 $ 197,915 $ 201,992 $ 206,152 $ 210,394 $ 214,721 $ 2,743,796
Non-Capturable Millages Millage Rate
Community College Debt 0.2700 $ 648 $ 661 $ 675 $ 689 $ 704 $ 718 $ 733 $ 748 $ 764 $ 780 $ 796 $ 812 $ 1,658 $ 1,692 $ 1,727 $ 1,763 $ 1,799 $ 1,836 $ 1,874 $ 1,912 $ 1,952 $ 24,941
Hackley Debt 0.4999 $ 1,200 $ 1,225 $ 1,250 $ 1,276 $ 1,303 $ 1,330 $ 1,357 $ 1,385 $ 1,414 $ 1,443 $ 1,473 $ 1,504 $ 3,070 $ 3,133 $ 3,198 $ 3,264 $ 3,331 $ 3,400 $ 3,470 $ 3,541 $ 3,614 $ 46,178
MPS Debt (2020 & 2021) 7.7500 $ 18,597 $ 18,984 $ 19,380 $ 19,783 $ 20,194 $ 20,613 $ 21,041 $ 21,478 $ 21,923 $ 22,377 $ 22,840 $ 23,312 $ 47,588 $ 48,571 $ 49,574 $ 50,596 $ 51,639 $ 52,703 $ 53,788 $ 54,895 $ 56,024 $ 715,901
Non-Capturable Total 8.5199 $ 20,444 $ 20,870 $ 21,305 $ 21,748 $ 22,200 $ 22,661 $ 23,132 $ 23,611 $ 24,101 $ 24,600 $ 25,109 $ 25,628 $ 52,316 $ 53,396 $ 54,498 $ 55,623 $ 56,769 $ 57,939 $ 59,132 $ 60,349 $ 61,590 $ 787,020
Total Tax Increment Revenue (TIR) Available for Capture $ 143,263 $ 146,248 $ 149,293 $ 152,399 $ 155,567 $ 158,798 $ 162,094 $ 165,456 $ 168,885 $ 172,382 $ 175,950 $ 179,589 $ 329,758 $ 336,569 $ 343,516 $ 350,602 $ 357,830 $ 365,202 $ 372,722 $ 380,392 $ 388,216 $ 5,154,733
NOTES:
PA 255 Commercial Redevelopment Act Tax Abatement - New Facility is anticipated for 12 years.
PA 255 is a 50% reduction in ad valorum taxes (excluding only SET) for a period of 12 years.
10/6/2025
Page 29 of 290
Table 3 – Estimated Reimbursement Schedule
Act 381 Brownfield Plan
Harbor 31 Hotel
181 201 Viridian Drive
Muskegon, MI
Developer
School & Local
Maximum Proportionality Local-Only Taxes Total
Taxes
Reimbursement Estimated Capture
State 44.7% $ 651,305 $ - $ 651,305 Estimated Total 21 (including 5 years Administrative Fees $ 274,380
Local 55.3% $ 806,071 $ 737,502 $ 1,543,573 Years of Plan: LBRF Capture) State Brownfield Redevelopment Fund $ -
TOTAL Local Brownfield Revolving Fund $ 808,860
Pre-Approved 2.6% $ 20,000 $ - $ 20,000
MEDC 98.6% $ 1,437,376 $ - $ 1,437,376
Local-Only 97.4% $ - $ 737,502 $ 737,502
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 2046 2047 2048 TOTAL
Total State Incremental Revenue $ 71,988 $ 73,488 $ 75,018 $ 76,579 $ 78,170 $ 79,794 $ 81,450 $ 83,139 $ 84,862 $ 86,620 $ 88,413 $ 90,241 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 969,763
State Brownfield Redevelopment Fund (50% of SET) $ 21,596 $ 22,046 $ 22,505 $ 22,974 $ 23,451 $ 23,938 $ 24,435 $ 24,942 $ 25,459 $ 25,986 $ 26,524 $ 27,072 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 290,929
State TIR Available for Reimbursement $ 50,392 $ 51,442 $ 52,513 $ 53,605 $ 54,719 $ 55,856 $ 57,015 $ 58,198 $ 59,404 $ 60,634 $ 61,889 $ 63,169 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 678,834
Total Local Incremental Revenue $ 71,275 $ 72,760 $ 74,275 $ 75,820 $ 77,397 $ 79,004 $ 80,644 $ 82,316 $ 84,022 $ 85,762 $ 87,537 $ 89,348 $ 182,389 $ 186,156 $ 189,998 $ 193,917 $ 197,915 $ 201,992 $ 206,152 $ 210,394 $ 214,721 $ 2,743,796
BRA Administrative Fee (10%) $ 7,128 $ 7,276 $ 7,428 $ 7,582 $ 7,740 $ 7,900 $ 8,064 $ 8,232 $ 8,402 $ 8,576 $ 8,754 $ 8,935 $ 18,239 $ 18,616 $ 19,000 $ 19,392 $ 19,791 $ 20,199 $ 20,615 $ 21,039 $ 21,472 $ 274,380
Local TIR Available for Reimbursement $ 64,148 $ 65,484 $ 66,848 $ 68,238 $ 69,657 $ 71,104 $ 72,579 $ 74,085 $ 75,620 $ 77,186 $ 78,784 $ 80,413 $ 164,150 $ 167,540 $ 170,998 $ 174,526 $ 178,123 $ 181,793 $ 185,536 $ 189,355 $ 193,249 $ 2,469,416
Total State & Local TIR Available $ 114,539 $ 116,926 $ 119,360 $ 121,843 $ 124,376 $ 126,960 $ 129,595 $ 132,282 $ 135,024 $ 137,820 $ 140,672 $ 143,582 $ 164,150 $ 167,540 $ 170,998 $ 174,526 $ 178,123 $ 181,793 $ 185,536 $ 189,355 $ 193,249 $ 3,148,250
Beginning
DEVELOPER Balance
Reimbursement Balance $ 2,194,878 $ 2,080,338 $ 1,963,412 $ 1,844,052 $ 1,722,208 $ 1,597,832 $ 1,470,873 $ 1,341,278 $ 1,208,996 $ 1,073,972 $ 964,544 $ 885,761 $ 805,348 $ 641,198 $ 473,658 $ 302,660 $ 128,134 $ - $ - $ - $ - $ - $ -
EGLE Environmental Costs $ 20,000 $ 20,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
State Tax Reimbursement $ 8,938 $ 8,938 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 8,938
Local Tax Reimbursement $ 11,062 $ 11,062 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 11,062
Total EGLE Reimbursement Balance $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 20,000
MEDC Non-Environmental Costs $ 1,173,050 $ 1,173,050 $ 1,078,511 $ 961,585 $ 842,224 $ 720,381 $ 596,005 $ 469,045 $ 339,450 $ 207,168 $ 72,144 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
State Tax Reimbursement $ 524,239 $ 41,454 $ 51,442 $ 52,513 $ 53,605 $ 54,719 $ 55,856 $ 57,015 $ 58,198 $ 59,404 $ 32,241 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 516,446
Local Tax Reimbursement $ 648,811 $ 53,086 $ 65,484 $ 66,848 $ 68,238 $ 69,657 $ 71,104 $ 72,579 $ 74,085 $ 75,620 $ 39,903 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 656,604
Total MEDC Reimbursement Balance $ 1,078,511 $ 961,585 $ 842,224 $ 720,381 $ 596,005 $ 469,045 $ 339,450 $ 207,168 $ 72,144 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 1,173,050
Local-Only Costs $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 431,217 $ 352,433 $ 272,020 $ 107,871 $ - $ - $ - $ - $ - $ - $ -
Local Tax Reimbursement $ 468,500 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 37,283 $ 78,784 $ 80,413 $ 164,150 $ 107,871 $ - $ - $ - $ - $ 468,500
Total Local-Only Reimbursement Balance $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 431,217 $ 352,433 $ 272,020 $ 107,871 $ - $ - $ - $ - $ - $ - $ - $ - $ 468,500
Simple Interest Expense (5%) $ 533,328 $ - $ 77,351 $ 148,855 $ 214,391 $ 273,835 $ 327,060 $ 373,937 $ 414,335 $ 448,118 $ 475,151 $ 496,711 $ 514,333 $ 527,934 $ 533,328 $ 473,658 $ 302,660 $ 128,134 $ - $ - $ - $ -
Annual Interest Incurred $ 77,351 $ 71,504 $ 65,536 $ 59,444 $ 53,225 $ 46,877 $ 40,398 $ 33,783 $ 27,032 $ 21,561 $ 17,622 $ 13,601 $ 5,394 $ - $ - $ - $ - $ - $ - $ - $ - $ 533,328
MEDC $ 118,128 $ 53,926 $ 48,079 $ 42,111 $ 36,019 $ 29,800 $ 23,452 $ 16,973 $ 10,358 $ 3,607 $ - $ - $ - $ - $ 264,326
Local-Only $ 415,200 $ 23,425 $ 23,425 $ 23,425 $ 23,425 $ 23,425 $ 23,425 $ 23,425 $ 23,425 $ 23,425 $ 21,561 $ 17,622 $ 13,601 $ 5,394 $ 269,002
Local Tax Reimbursement $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 59,670 $ 170,998 $ 174,526 $ 128,134 $ - $ - $ - $ - $ 533,328
Total Interest Reimbursement Balance $ 77,351 $ 148,855 $ 214,391 $ 273,835 $ 327,060 $ 373,937 $ 414,335 $ 448,118 $ 475,151 $ 496,711 $ 514,333 $ 527,934 $ 533,328 $ 473,658 $ 302,660 $ 128,134 $ - $ - $ - $ - $ - $ 533,328
Total Annual Developer Reimbursement $ 114,539 $ 116,926 $ 119,360 $ 121,843 $ 124,376 $ 126,960 $ 129,595 $ 132,282 $ 135,024 $ 109,428 $ 78,784 $ 80,413 $ 164,150 $ 167,540 $ 170,998 $ 174,526 $ 128,134 $ - $ - $ - $ - $ 2,194,878
LOCAL BROWNFIELD REVOLVING FUND
LBRF Deposits * $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 808,860
State Tax Capture $ 8,938 $ - $ - $ - $ - $ - $ - $ - $ - $ 8,938 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 8,938
Local Tax Capture $ 799,922 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 49,989 $ 181,793 $ 185,536 $ 189,355 $ 193,249 $ 799,922
Total LBRF Capture $ 808,860 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
* Up to five years of capture for LBRF Deposits after eligible activities are reimbursed. May be taken from state and local TIR.
10/6/2025
Page 30 of 290
Appendix 1
Page 31 of 290
Page Intentionally Left Blank
Resolutions Pending
Page 32 of 290
Appendix 2
Page 33 of 290
DEVELOPMENT AND REIMBURSEMENT AGREEMENT
This DEVELOPMENT AND REIMBURSEMENT AGREEMENT (the “Agreement”)
is made on _________, ______, by and among the CITY OF MUSKEGON
BROWNFIELD REDEVELOPMENT AUTHORITY, a Michigan public body corporate
whose address is 933 Terrace Street, Muskegon, Michigan 49443 (the “Authority”), the
CITY OF MUSKEGON, a public body corporate whose address is 933 Terrace Street,
Muskegon, Michigan 49443 (the “City”), and Lakeshore Hotel Partners, LLC, a Michigan
limited liability company whose address is 2325 Belmont Center Drive NE, Belmont,
Michigan 49306 (the “Developer”).
RECITALS
A. Pursuant to P.A. 381 of 1996, as amended (“Act 381”), the Authority
approved and recommended a Brownfield Plan which was duly approved by the City (the
“Plan”). The Plan was amended on December 10, 2024 (the “Amendment,” and,
together with the Plan, the “Brownfield Plan” – See Exhibit A) to identify the construction
of a five-story hotel with 126 hotel rooms. The Plan Amendment was amended on _____
to allow for the state tax capture of eligible non-environmental activities.
B. The Brownfield Plan and Amendment includes specific eligible activities
associated with the Developer’s plan to develop land located at 181 & 201 Viridian Drive
in Muskegon, Michigan (collectively, the “Developer Property”).
C. The Developer is in the process of acquiring the Developer Property, which
is included in the Brownfield Plan as an “eligible property” because it was determined to
be a “facility”, as defined by Part 201 of the Natural Resources and Environmental
Protection Act (“Part 201”), or adjacent and contiguous to an “eligible property.”
D. The Developer intends to conduct eligible activities on the Developer
Property including the construction of a five-story hotel with 126 hotel rooms, 146 parking
spaces, and two elevators. Amenities include two meeting rooms, an indoor pool, a gym,
and a restaurant and bar on the fifth floor along with an outdoor patio and dining (the
“Project”), including department specific environmental activities, site preparation, a
15% contingency, 5% simple interest and brownfield plan preparation/implementation, as
described in the Amendment to the Brownfield Plan, with an estimated cost of $2,194,878
(the “Developer Eligible Activities”). All of the Developer Eligible Activities are eligible
for reimbursement under Act 381. The total cost of the Eligible Activities, including
contingencies and interest, are $2,194,878 (the “Total Eligible Brownfield TIF Costs”).
E. Act 381 permits the Authority to capture and use local and certain school
property tax revenues generated from the incremental increase in property value of a
redeveloped brownfield site constituting an “eligible property” under Act 381 (the
“Brownfield TIF Revenue”) to pay or to reimburse the payment of Eligible Activities
conducted on the “eligible property.” The Brownfield TIF Revenue will be used to
Page 34 of 290
reimburse the Developer for the Developer Eligible Activities incurred and approved for
the Project.
F. In accordance with Act 381, the parties desire to establish the procedure for
using the available Brownfield TIF Revenue generated from the Property to reimburse the
Developer for completion of Eligible Activities on the Property in an amount not to exceed
the Total Eligible Brownfield TIF Costs.
NOW, THERFORE, the parties agree as follows:
1. Reimbursement Source.
(a) During the Term (as defined below) of this Agreement, and except as set
forth in paragraph 2 below, the Authority shall reimburse the Developer for the costs of
their Eligible Activities conducted on the Developer Property from the Brownfield TIF
Revenue collected from the real and taxable personal property taxes on the Developer
Property. The amount reimbursed to the Developer for their Eligible Activities shall not
exceed the Total Eligible Brownfield TIF Costs, and reimbursements shall be made on
approved costs submitted and approved in connection with the Developer Eligible
Activities, as follows:
(i) the Authority shall pay 100% of available Brownfield TIF Revenue (except
the TIF Management Administrative Fee outlined in Section 1 (a)(ii)), to Developer
to reimburse the cost of the Developer Eligible Activities submitted and approved
for reimbursement by the Authority until Developer is fully reimbursed; and
(ii) Notwithstanding any provision in this Agreement to the contrary, the
Authority’s annual TIF Management Administrative Fee, as described in the
Brownfield Plan Amendment, shall be paid to the Authority each year to the extent
that Brownfield TIF Revenue has been captured and collected during that year,
prior to the payment of any Request for Cost Reimbursement.
(b) The Authority shall capture Brownfield TIF Revenue from the Property and
reimburse the Developer for their Eligible Activities until the earlier of the Developer being
fully reimbursed or December 31, 2044. Unless otherwise prepaid by the Authority,
payments to the Developer shall be made on a semi-annual basis as incremental local
taxes are captured and available.
(c) Following reimbursement of all amounts due the Developer and all amounts
payable to the Authority as Administrative Costs from applicable Tax Increment
Revenues, additional tax increment revenues will be deposited into the local brownfield
revolving fund (LBRF) for five full years, which is accordance with Section 13(5) of Act
381, which limits such deposits to be made for no more than 5 years after the time that
capture is required to pay the Eligible Costs.
2
Page 35 of 290
2. Developer Reimbursement Process.
(a) The Developer shall submit to the Authority, not more frequently than on a
quarterly basis, a “Request for Cost Reimbursement” for Developer Eligible Activities paid
for by the Developer during the prior period. All costs for the Developer Eligible Activities
must be consistent with the approved Brownfield Plan. The Developer must include
documentation sufficient for the Authority to determine whether the costs incurred were
for Developer Eligible Activities, including detailed invoices and proof of payment. Copies
of all invoices for Developer Eligible Activities must note what Developer Eligible Activities
they support.
(b) Unless the Authority disputes whether such costs are for Developer Eligible
Activities within thirty (30) days after receiving a Request for Cost Reimbursement from
the Developer, the Authority shall pay the Developer the amounts for which submissions
have been made pursuant to paragraph 2(a) of this Agreement in accordance with the
priority set forth in paragraph 1, from which the submission may be wholly or partially paid
from available Brownfield TIF Revenue from the Developer Property.
(i) The Developer shall cooperate with the Authority’s review of its
Request for Cost Reimbursement by providing supplemental information and
documentation which may be reasonably requested by the Authority.
(ii) If the Authority determines that requested costs are ineligible for
reimbursement, the Authority shall notify the Developer in writing of its reasons for
such ineligibility within the Authority’s thirty (30) day period of review. The
Developer shall then have thirty (30) days to provide supplemental information or
documents to the Authority demonstrating that the costs are for Developer Eligible
Activities and are eligible for reimbursement.
(c) If a partial payment is made to the Developer by the Authority because of
insufficient Brownfield TIF Revenue captured in the semi-annual period for which
reimbursement is sought, the Authority shall make additional payments toward the
remaining amount within thirty (30) days of its receipt of additional Brownfield TIF
Revenue from the Developer Property until all of the amounts for which submissions have
been made have been fully paid to the Developer, or by the end of the Term (as defined
below), whichever occurs first. The Authority is not required to reimburse the Developer
from any source other than Brownfield TIF Revenue.
(d) The Authority shall send all payments to the Developer by registered or
certified mail, addressed to the Developer at the address shown above, or by electronic
funds transfer directly to the Developer’s bank account. The Developer may change its
address by providing written notice sent by registered or certified mail to the Authority.
4. Term of Agreement.
3
Page 36 of 290
The Authority’s obligation to reimburse the Developer (and the Authority) for the
Total Eligible Brownfield TIF Costs incurred by each party under this Agreement shall
terminate the earlier of the date when all reimbursements to the Developer required under
this Agreement have been made or December 31, 2044 and the five additional years
(post developer reimbursement) of TIF capture for reimbursement into the LBRF have
been made or December 31, 2048 (the “Term”). If the Brownfield TIF Revenue ends
before all of the Total Eligible Brownfield TIF Costs have been fully reimbursed to the
Developer, the last reimbursement payment by the Authority shall be paid from the
summer and winter tax increment revenue collected during the final year of this
Agreement.
5. Adjustments.
If, due to an appeal of any tax assessment or reassessment of any portion of the
Developer Property, or for any other reason, the Authority is required to reimburse any
Brownfield TIF Revenue to any tax levying unit of government, the Authority may deduct
the amount of any such reimbursement, including interest and penalties, from any
amounts due and owing to the Developer. If all amounts due to the Developer under this
Agreement have been fully paid or the Authority is no longer obligated to make any further
payments to the Developer, the Authority shall invoice the Developer for the amount of
such reimbursement and the Developer shall pay the Authority such invoiced amount
within thirty (30) days of the receipt of the invoice. Amounts withheld by or invoiced and
paid to the Authority by the Developer pursuant to this paragraph shall be reinstated as
Developer Eligible Activities, respectively, for which the Developer shall have the
opportunity to be reimbursed in accordance with the terms, conditions, and limitations of
this Agreement. Nothing in this Agreement shall limit the right of the Developer to appeal
any tax assessment. In the event of a tax appeal, the term of the Plan made be extended
to cover the capture of eligible activities, but in all cases cannot extend beyond 30 years
from the initial date of capture.
6. Legislative Authorization.
This Agreement is governed by and subject to the restrictions set forth in Act 381.
If there is legislation enacted in the future that alters or affects the amount of Brownfield
TIF Revenue subject to capture, eligible property, or Eligible Activities, then the
Developer’s rights and the Authority’s obligations under this Agreement shall be modified
accordingly as required by law, or by agreement of the parties.
7. Notices.
All notices shall be given by registered or certified mail addressed to the parties at
their respective addresses as shown above. Any party may change the address by
written notice sent by registered or certified mail to the other party.
8. Assignment.
4
Page 37 of 290
This Agreement and the rights and obligations under this Agreement shall not be
assigned or otherwise transferred by any party without the consent of the other party,
which shall not be unreasonably withheld, provided, however, the Developer may assign
their interest in this Agreement to an affiliate without the prior written consent of the
Authority if such affiliate acknowledges its obligations to the Authority under this
Agreement upon assignment in writing on or prior to the effective date of such
assignment, provided, further, that the Developer may each make a collateral assignment
of their share of the Brownfield TIF Revenue for project financing purposes. As used in
this paragraph, “affiliate” means any corporation, company, partnership, limited liability
company, trust, sole proprietorship or other entity or individual which (a) is owned or
controlled by the Developer, (b) owns or controls the Developer or (c) is under common
ownership or control with the Developer. This Agreement shall be binding upon and inure
to the benefit of any successors or permitted assigns of the parties.
9. Entire Agreement.
This Agreement supersedes all agreements previously made between the parties
relating to the subject matter. There are no other understandings or agreements between
the parties.
10. Non-Waiver.
No delay or failure by either party to exercise any right under this Agreement, and
no partial or single exercise of that right, constitutes a waiver of that or any other right,
unless otherwise expressly provided herein.
11. Governing Law.
This Agreement shall be construed in accordance with and governed by the laws
of the State of Michigan.
12. Counterparts.
This Agreement may be executed in two or more counterparts, each of which shall
be deemed an original but all of which together shall constitute one and the same
instrument.
[Signature page follows]
5
Page 38 of 290
The parties have executed this Agreement on the date set forth above.
CITY OF MUSKEGON BROWNFIELD
REDEVELOPMENT AUTHORITY
_______________________________
By:
Its:
CITY OF MUSKEGON
_______________________________
By:
Its:
By:
Its:
Lakeshore Hotel Partners, LLC
_______________________________
By:
Its:
19886336-2
Signature Page to Development and Reimbursement Agreement
Page 39 of 290
EXHIBIT A
Copy of Brownfield Plan
7
Page 40 of 290
Appendix 3
Page 41 of 290
Page Intentionally Left Blank
Notices Pending
Page 42 of 290
Appendix 4
Page 43 of 290
Page Intentionally Left Blank
Notices Pending
Page 44 of 290
Appendix 5
Page 45 of 290
RYERSON CREEK
MUSKEGON LAKE
SITE
UNIT "N" BOUNDARY
GP-2 UNIT "P"
RWB-2 RWB-4
UNIT "I" GP-3
RWB-3
RWB-1
GP-3 GP-4 GP-1
UNIT "O"
GP-1
GP-2
B-2 B-5
B-3 B-4
B-1
B-6
UNIT "H"
UNIT "A"
Former Continental Motors Site
UNIT "B"
UNIT "K"
B-7
HAB-1 HAB-2 B-8 HAB-3
B-9
B-10
UNIT "J" UNIT "M"
Site Characterization Report
GVSU
SS-1
Muskegon, Michigan
GVSU
TMW-2
GVSU
SS-4
UNIT "D"
UNIT "L"
GVSU
TMW-1
GVSU
SS-2
GVSU
SS-3
UNIT "C" UNIT "E"
SITE
BOUNDARY
Habor 31 Hotel
Property
Boundary
UNIT "F"
UNIT "G"
REVISIONS
USER: RSECORD
TIME: 4:49:04 PM
DATE: 1/11/2021
LEGEND
LAYOUT: FIG09_DIRECT CONTACT -AS
Drawn By
Designer
Reviewer
Manager
Hard copy is intended to be
24"x36" when plotted. Scale(s)
indicated and graphic quality may
not be accurate for any other size.
PLOT INFO: Z:\2001\01060E\CAD\CD\Z01401060E.DWG
PROJECT NO.
01060E
SHEET NO.
ARSENIC
GENERIC RESIDENTIAL
DIRECT CONTACT CRITERION
EXCEEDANCES (mg/kg)
3
9
© C o p y r i g h t 2021
All Rights Reserved
Page 46 of 290
RYERSON CREEK
B-14
MUSKEGON LAKE N 350
EXCAVATION AREAS SITE
C-13
C-15
EF-14.4
UNIT "N"B 62,000
N 4,900 BOUNDARY SB-2
N 400 E 270,000
PH 2,600 ZONE II C-10 Hg 222
N 4,400 N 1,200
T 13,000
PH 2,000 PH 3,000
X 203,000
EF-12.8 46-1 46-5
C-16 124-TMB 430,000
GP-2
B 93 UNIT "P" VC 17 VC 38
B 4.9 C-15 135-TMB 80,000 46-8 46-7 46-2
GP-3 RWB-2 E 160 E-11
GP-1 UNIT "I" B 7.1 RWB-4
N 27,000
780
D-10 VC 23 VC 110 VC 39
2-MN 2,200 X N 6,200
GP-3 PH 6,000 N 2,000
2-MN 13,000
N 1,500 RWB-3 ZONE III 124-TMB 16,000 PH 3,300
PH 13,000 E-10
N 7,000 RWB-1 MW-102RS 135-TMB 5,300
PH 6,400 D-15 N 4,800
B 18 IPB 340 EF-12.5
N 3,900 PH 3,500
N 300 B 140
GP-3 GP-4 GP-1 PH 1,800 E-14D
E-24 B-5 GP-3 GP-4 D-14 E 89
290 N 810 E-15 B 56 E-13
N 27,000 IPB 130 B 450 E X 480 D-08 D-05
E-16 B 2,200 E 15 B 310 UNIT "O" E-07
PH 11,000 2-MN 6,300 E 860 X 1,100 CB 250
B 1.5 E 440 E-14 N 1,100 N 2,400 46-3
N 3,500 X 5,700 GP-1 124-TMB 920 E-16 124-TMB 460 N 2,000
GP-2
890 N X 3,600 B 2,700 VC 95
PH 5,900 124-TMB 1,900 135-TMB 6,900 135-TMB 280
B-2 B-5 3,600 PH 14,000 N 2,600 E 30,000 EF-12
B-3 B-4 135-TMB 1,600 UNIT "H" N IPB 650 470 D-03
B-1
4,700 PH 2,000 X 100,000 B
N
B-6 4,400 PH E-14 350 N 2,300
B-2 GP-1 GSB-9 N 22,000 E FG-6
B-1 B-3 PH 5,000 E 240 B 2.9 B 2,100 1,100 DE-2.5
B 140 EF-14.6 PH 3,800 X B 680 46-4
E 51 920 E 280 E-21 E-21 X 2,300 E 350 124-TMB 440 N 4,100 130
X B 1,000 E 4,100 DE-2.4 VC
X 360 X 1,900 B 6.7 B 47 X 2,400 DE-2.3
IPB UNIT "A"
210 124-TMB 1,100 E 620 MW-102D 135-TMB 160 X 5,310 PH 4,400
124-TMB 190 IPB 320 E 6.6 E 320 780 N 63 F-10 F-07 N 730 PH 1,800
124-TMB 490 E-22 135-TMB X 2,560 B 3.1 MW-102S N 470 124-TMB 13,000
Former Continental Motors Site
2-MN 8,500 135-TMB 180 TCE 200 N 12 X 2,100 N 5,200 B 1,800 E 34 N 810 F-04 PH 5,200 61-1
N 490 124-TMB 900 GSB-8 135-TMB 4,000
PH 13,000 124-TMB 1,200 UNIT "B" E-19 PH 3,400 E 1,300 Hg 150 F-9 N 370 TCE 13
2-MN 3,100 135-TMB 220 B 3.0 F-13 F-12 PH 17,000
PH 4,300 135-TMB 370 HAB-3 N 1,600 E-17 470 X 1,200 B 1,400 Hg 290
E-18 N PH 13 B 32 EF-11
2-MN 7,700 N 670 N 3,600 F-15 F-14 X 3,500
HAB-2 F-22 N 8,900 E 8,400 E 14 N 640
PH 9,600 PH 2,100 E 3.3 EF-13.5
HAB-1 2-MN 3,200 B-8 TCE 2.6 B-7 GP-2 PH 3,400 N 11,000
GSB-8 X 47,000 N 72,000 F-11
Hg 280 N 980 124-TMB 42 B 260 X 310 F-15 UNITN"K" PH 2,000 61-2
B-7 B 290 18,000 Hg 150 B 2.1
N 670 PHHAB-1 2,500 HAB-2 B-8 HAB-3 E 230 124-TMB 280 GSB-1 GSB-2 F-16 B 2,100 PH GSB-10 TCE 30
B-9 E 210 1,800 PH 8,800 F-05 G-03
X 2,500 135-TMB 180 N 340 N 360 E 32 E 2,400 B 730
B-10 X 1,600 F-13 S-02 N 820 N 1,000
B-9 IPB 74 N 120 Hg 350 X 14,000 E 330
B-8 UNIT "J" N 610 B 920 UNIT "M" PH 27,000 PH 31,000
B 73 N 1,300 X 1,400
B 370 E 240
E 110 124-TMB 640 GSB-7 N 1,000
E 350 GSB-3 160 X 210 GH-2.6
X 890 MW-114 E MW-111VS
X 4,100 135-TMB 180 N 310 FG-12.5 PH 1,800
X 400 N 100
Site Characterization Report
N 630 2-MN 110 IPB 130 B 9.2 B 210
13 N 3,100 PH 14 FG-13.5 GH-2.7
APPROXIMATE LIMITS OF 124-TMB 330 PH N 5,600 G-15 124-TMB 410
B 1,000 S-01 PH 8,500
SS-1 H-24 S-06 124-TMB 1,100 N 3,900 135-TMB 110
FREE PHASE LIQUID E 920 Hg 220 GH-2.8
135-TMB 150 B(a)AN 27 Hg 160 135-TMB 300 PH 16,000 E 250 H-06
124-TMB 1,100 610 PH 4,200
EXCAVATION N 630 PH 2-MN 3,700 X 807 N
GVSU 15 135-TMB 470
SS-1 PH 32,000
(DECEMBER 2002) X 1,200
Muskegon, Michigan
MW-113 GVSU Hg 220
IPB 5.4 GSB-6 N 1,000 H-09
TMW-2
GVSU ZONE I I-18
N 370 N 8.8 I-08 I-07
SS-4 SS-4 N 940 H-15 G-12 1.1
H-12 N 560 TCE
N 640 PH 4,000 B 68 B(a)AN 120 G-12
I-26 GH-13.3 Hg 460 PH 1,800
PH 3,600 UNIT "D" E 200 PH 230 N 690
N 5.7 H-14 B 330
UNIT "L" X 1,500 PH 6,700
Hg 8.7 124-TMB 270
GVSU
E 260 GH-12.25
TMW-1
MW-115 GH-13.8 H-14 Hg 150
GVSU N 12 APPROXIMATE LIMITS OF PH 2,800 Hg 310 X 750
SS-2
I-25
EDB 1.5 FREE PHASE LIQUID J-18
I-24
N 1,700 PH 12,700 EXCAVATION N 6,400
I-24 MW-105VS PH 5,500
PY 11,000 (DECEMBER 2002)
PH 4,200 GVSU 2-MN 310
SS-3B(a)AN 2,900
UNIT "E" J-14
UNIT "C" J-20 J-11 ST13 B-4
N 3,700
N 3,300 PH 2,200 Hg 180
PH 15,000
J-22
J-24
J-24
PH 12 PH 15,000 N 410
PH 4,800
SITE
BOUNDARY
K-18
N 1,700
K-24.25 K-21
N 700 PH 4,700
124-TMB 160
Habor 31 Hotel CF 120 PH 14,000
Property PCE 88
Boundary
UNIT "F"
L-24 UNIT "G"
E 14
PH 3,600
SB-1 SB-4
N 490 Hg 140
N 930
PH 13,000
SB-2
MN-16.5 N 350
PH 5,100 PH 4,600
N-23
USER: RSECORD
E 840
PH 4,000
REVISIONS
TIME: 2:18:44 PM
DATE: 3/18/2021
LEGEND
LAYOUT: FIG08_VIAC EXCEEDANCES IN SOIL & GW
Drawn By
Designer
Reviewer
Manager
Hard copy is intended to be
24"x36" when plotted. Scale(s)
indicated and graphic quality may
not be accurate for any other size.
PLOT INFO: Z:\2001\01060E\CAD\CD\Z01401060E.DWG
PROJECT NO.
01060E
SHEET NO.
SOIL (µg/Kg) AND GROUNDWATER (µg/L)
ANALYTICAL RESULTS
48
EXCEEDING SITE-SPECIFIC RESIDENTIAL VIAC © C o p y r i g h t 2021
All Rights Reserved
Page 47 of 290
RESOLUTION APPROVING THE BROWNFIELD PLAN AMENDMENT
Lakeshore Hotel Partners, LLC, (181 and 201 Viridian Drive)
(Harbor 31 Hotel)
1ST AMENDMENT
City of Muskegon
County of Muskegon, Michigan
Minutes of a Special Meeting of the City Commission of the City of Muskegon, County of
Muskegon, Michigan (the “City”), held in the City Commission Chambers on the 10th day of
November, 2025 at 5:30 p.m., prevailing Eastern Time.
PRESENT:
ABSENT:
The following preamble and resolution were offered by Commissioner
___________________ and supported by Commissioner __________________.
WHEREAS, in accordance with the provisions of Act 381, Public Acts of Michigan, 1996,
as amended (“Act 381”), the City of Muskegon Brownfield Redevelopment Authority (the
“Authority”) has prepared and approved Brownfield Plan Amendment #1 to add Lakeshore Hotel
Partners, LLC, 181 and 201 Viridian Drive; and
WHEREAS, the Authority has forwarded the Brownfield Plan Amendment to the City
Commission requesting its approval of the Brownfield Plan Amendment; and
WHEREAS, the City Commission has provided notice and a reasonable opportunity to
the taxing jurisdictions levying taxes subject to capture to express their views and
recommendations regarding the Brownfield Plan Amendment, as required by Act 381; and
WHEREAS, not less than 10 days has passed since the City Commission provided
notice of the proposed Brownfield Plan to the taxing units; and
WHEREAS, the City Commission held a public hearing on the proposed Brownfield Plan
on November 10, 2025.
Page 48 of 290
NOW, THEREFORE, BE IT RESOLVED THAT:
1. That the Brownfield Plan constitutes a public purpose under Act 381.
2. That the Brownfield Plan meets all the requirements of Section 13(1) of Act 381.
3. That the proposed method of financing the costs of the eligible activities, as identified
in the Brownfield Plan and defined in Act 381, is feasible and the Authority has the
authority to arrange the financing.
4. That the costs of the eligible activities proposed in the Brownfield Plan are
reasonable and necessary to carry out the purposes of Act 381.
5. That the amount of captured taxable value estimated to result from the adoption of
the Brownfield Plan is reasonable.
6. That the Brownfield Plan in the form presented is approved and is effective
immediately.
7. That all resolutions or parts of resolutions in conflict herewith shall be and the same
are hereby rescinded.
Be it Further Resolved that the Mayor and City Clerk are hereby authorized to execute
all documents necessary or appropriate to implement the provisions of the Brownfield Plan.
AYES:
NAYS:
RESOLUTION DECLARED APPROVED.
Ann Marie Meisch, City Clerk
Ken Johnson, Mayor
Page 49 of 290
I hereby certify that the foregoing is a true and complete copy of a resolution adopted by
the City Commission of the City of Muskegon, County of Muskegon, State of Michigan, at a
special meeting held on November 10, 2025 and that said meeting was conducted and public
notice of said meeting was given pursuant to and in full compliance with the Open Meetings Act,
being Act 267, Public Acts of Michigan, 1976, as amended, and that the minutes of said meeting
were kept and will be or have been made available as required by said Act.
Ann Marie Meisch, City Clerk
Page 50 of 290
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: November 10, 2025 Title: PA 198 Industrial Facilities Exemption — 2034
Latimer Drive
Submitted by: Jocelyn Hines, Development Department: Economic Development
Analyst
Brief Summary:
Pursuant to Public Act 198 of 1974, as amended, Johnson Technology, INC has requested the
issuance of an Industrial Facilities Exemption Certificate for their property located at 2034 Latimer
Drive.
Detailed Summary & Background:
Johnson Technology, Inc., a subsidiary of GE Aerospace, has submitted an application for an
Industrial Facilities Exemption (IFT) certificate for real property improvements at 2034 Latimer Drive.
The company is proposing a 20,000 sq. ft. addition with a total investment of $9,078,845. This addition
will expand shipping and receiving facilities and add manufacturing floor space to support
increasing production demands.
If approved, the IFT certificate would reduce property taxes on the real property improvements by
50% for the duration of the exemption.
Johnson Technology, Inc. is an aircraft engine parts manufacturer headquartered in the City of
Muskegon, with additional facilities in Norton Shores. GE Aerospace employs over 330 people at its
Muskegon location and plans to hire an additional 90 employees as part of this expansion. GE
Aerospace (formerly GE Aviation) has been part of the Muskegon area since 1997, when it acquired
Johnson Technology. The company is also investing $70 million in a separate expansion in Norton
Shores and has announced a broader $1 billion nationwide commitment.
Due to Johnson Technology’s status as a federal contractor and pursuant to Executive Order 14173,
the company is not subject to local affirmative action plan requirements. However, Johnson
Technology remains committed to non-discrimination and ensuring equal opportunity for all
employees and applicants, and has provided the City with a copy of its Respectful Workplace Policy
reflecting that commitment.
Following its review, the City’s Internal Tax Committee recommends approval of a 12-year
abatement term for the proposed investment.
Goal/Action Item:
2027 Goal 2: Economic Development Housing and Business - Progress toward new and ongoing
economic development projects
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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:
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 issuance of an Industrial Facilities Exemption
certificate for a period of 12 years for the property located at 2034 Latimer Dr. and to authorize the
Mayor and City Clerk to sign the application and the resolution.
Approvals: Name the Policy/Ordinance Followed:
Immediate Division PA 198 of 1974, as amended
Head
Information
Technology
Other Division Heads
Communication
Legal Review
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10/14/2025
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GE Aerospace - 2034 Latimer Drive
Project Estimate - 20,000 Sq Ft Building Addition
Description Estimate
General Requirements $386,011
Excavation/Parking Expansion $321,676
Demo $107,225
Oil Filtration Room Constriction $556,250
Concrete/Concrete Mez $461,069
Masonry $214,451
Structural Steel, Bar Joist, Metal Deck $1,193,750
Metal Panel siding and flashings $750,578
Roofing $375,289
Aluminum Doors and Windows $406,250
Floor Coatings $253,670
Floor Finishes $252,089
Ceiling grid and tile $296,835
Drywall $414,509
Cabinets / countertops / sills $75,058
Elevator $321,676
Turnstiles and decorative Fencing $189,335
Mechanical - HVAC $786,126
Plumbing $232,225
Fire Protection $107,225
Electrical Service $511,011
Natural Gas Service $75,058
Building Management system $125,000
Security Systems $287,500
Architects ad Engineering Services $312,500
Permits $66,480
$0
Total $9,078,845
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GENERAL NOTES
1. Parking Calculations
East Parking Lot +113 Spaces
West Parking Lot -72 Spaces
Total Net Parking 41 Spaces
2. Snow storage shall be along the perimeter green spaces & within the retention basin area.
3. This property is located within a I-2 General Industrial zoning district per City of Muskegon
zoning map. General Industrial district regulations for this property include:
Front setback: 30 feet minimum
Side setback 15 feet minimum, 25 feet total
Rear setback 10 feet minimum
P:\Projects\2024\241640\Drawings\241640.dwg, 03-SDP, 8/28/2025 11:20:20 AM, ckidwell
5252 Clyde Park, S.W. Grand Rapids, MI 49509
Phone: (616) 531-3660 www.exxelengineering.com
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City of Muskegon Com Addition Permit No: PB250897
BUILDING SAFETY INSPECTIONS 933 TERRACE ST., ROOM 201 MUSKEGON, MI 49440
CALL FOR INSPECTIONS: 231-724-6715 FAX 231-728-4371
2034 LATIMER DR Job Location
Permit Issued: 09/25/25
Permit Expires: 03/24/2026 24-692-000-0030-00
ALL PERMITS MUST BE FINALED - MUSKEGON 49442-6232
PLEASE CALL 231-724-6715 FOR
AN INSPECTION AT LEAST 24 HOURS IN ADVANCE
GE AVIATION (FKA: JOHNSON Owner
MUSKEGON QUALITY BUILDERS Contractor 2034 LATIMER DR
MUSKEGON MI 49442-6232
2837 PECK ST (231) 733-4278
MUSKEGON HGTS, MI 49444 GE AVIATION
Category: Com Addition
Work Description: 20,000 SQ FT BUILDING ADDITION WITH TRUCK DOCKS/MOSTLY
PRODUCTION SPACE. EXCAVATION, CONCRETE, STEEL, SIDING, ROOFING,
FIRE PROTECTION, MEP'S
PERMIT MUST BE POSTED/KEPT ON JOB SITE UNTIL FINAL
INSPECTION IS COMPLETED AND APPROVED
PERMIT ITEM WORK TYPE PERMIT VALUE FEE
(8) > $1,000,000 Com Addition 3,499,989.0 $16,824.00
Plan Review Com Addition 16,824.00 $10,935.60
Fee Total: $27,759.60
Amount Paid: $27,759.60
CODE BOOK REFERENCE 2021 MICHIGAN BUIL Balance Due: $0.00
I agree this permit is only for the work described, and does not grant permission for additional or related work which requires
separate permits. I understand that this permit will expire, and become null and void if work is not started within 180 days, or if
work is suspended or abandoned for a period of 180 days at any time after work has commenced; and, that I am responsible for
assuring all required inspections are requested in conformance with the applicable code.
I hereby certify that the proposed work is authorized by the owner, and that I am authorized by the owner to make this application
as his authorized agent. I agree to conform to all applicable laws of the State of Michigan and the local jurisdiction. All information
on the permit application is accurate to the best of my knowledge.
Payment of permit fee constitutes acceptance of the above terms.
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Resolution No. _______
MUSKEGON CITY COMMISSION
RESOLUTION APPROVING APPLICATION FOR ISSUANCE OF INDUSTRIAL
FACILITIES EXEMPTION CERTIFICATE Johnson Technology, INC
WHEREAS, pursuant to P.A. 198 of 1974 as amended, after duly noticed public
hearing held on July 26, 1983 this Commission by resolution established a
Plant Rehabilitation and Industrial Development District for Port City
Industrial Park, Muskegon, Michigan 49441; and
WHEREAS, Johnson Technology, INC has filed an application for the issuance
of an Industrial Facilities Tax Exemption Certificate with respect to the
rehabilitation of a facility within said Plant Rehabilitation and Industrial
Development District; and
WHEREAS, before acting on said application the Muskegon City Commission held
a public hearing on November 10, 2025 at the Muskegon City Hall in
Muskegon, Michigan at 5:30 p.m. at which hearing the applicant, the
assessor and representatives of the affected taxing units were given
written notice and were afforded an opportunity to be heard on said
application; and
WHEREAS, the rehabilitation of the facility is calculated to and will have the
reasonable likelihood to retain, create, or prevent the loss of
employment in Muskegon, Michigan; and
WHEREAS, the aggregate SEV of real property exempt from ad valorem taxes
within the City of Muskegon, will not exceed 5% of an amount equal to the
sum of the SEV of the local government unit, plus the SEV of personal and
real property thus exempted.
NOW, THEREFORE, BE IT RESOLVED by the Muskegon City
Commission of the City of Muskegon, Michigan that:
1) The Muskegon City Commission finds and determines that the
Certificate considered together with the aggregate amount of
certificates previously granted and currently in force under Act No. 198
of the Public Act of 1974 as amended shall not have the effect of
substantially impeding the operation of the City of Muskegon or
impairing the financial soundness of a taxing unit which levies ad
valorem property taxes in the City of Muskegon.
2) The application of Johnson Technology, INC, for the issuance of an
Industrial Facilities Tax Exemption Certificate with respect to the
rehabilitation on the following described parcel of real property situated
within the City of Muskegon to wit:
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CITY OF MUSKEGON PORT CITY INDUSTRIAL CENTER NO 2 LOT 30
3) The Industrial Facilities Tax Exemption Certificate is issued and shall be
and remain in force and effect for a period of twelve (12) years on real
property.
Adopted this 10 Day of NOVEMBER 2025
Ayes:
Nays:
Absent:
BY: ________________________________
Ken Johnson Mayor
ATTEST: ___________________________
Ann Meisch, City Clerk
CERTIFICATION
I hereby certify that the foregoing constitutes a true and complete copy of a
resolution adopted by the Muskegon City Commission, County of Muskegon,
Michigan, at a regular meeting held on November 10, 2025.
__________________________
Ann Meisch, City Clerk
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10/23/25, 9:12 AM about:blank
2034 Latimer Dr. Property Report
Area of Interest (AOI) Information
Area : 213,874.06 ft²
Oct 23 2025 9:09:44 Eastern Daylight Time
about:blank 1/2
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10/23/25, 9:12 AM about:blank
Summary
Name Count Area(ft²) Length(ft)
Parcels 1 213,874.06 N/A
Parcels
Property Property Property Property
Municipality Acreage per Acreage per
# PIN Address Address Address Address
Code GIS Assessor
Number Direction Combined City
2034
61-24-692-
1 24 4.91 4.77 2034 No Data LATIMER MUSKEGON
000-0030-00
DR
Property Property Owner Owner
Owner Owner Owner Care Owner
# Address Address Zip Address Address
Name 1 Name 2 Of Address
State Code City State
(FKA:
2034
GE JOHNSON
1 MI 49442 No Data LATIMER MUSKEGON MI
AVIATION TECHNOLO
DR
GY INC)
Owner State PRE Property School
Assessed Taxable Property
# Address Zip Equalized Homestead Class District
Value Value Class Code
Code Value Pct Description Code
Industrial -
1 49442 980,500.00 980,500.00 820,794.00 0 301 61190
Improved
Zoning per Assessor
# School District Name Tax Description Area(ft²)
Primary
CITY OF MUSKEGON
ORCHARD VIEW
1 I-2 PORT CITY INDUSTRIAL 213,874.06
SCHOOLS
CENTER NO 2 LOT 30
©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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CITY OF MUSKEGON
CONTRACT FOR TAX ABATEMENT
Act 198 Public Acts of 1974
AGREEMENT between CITY OF MUSKEGON, a municipal corporation
of 933 Terrace Street, Muskegon, Michigan 49440, (“City”) and Johnson
Technologies, LLC.
Recitals:
A. The Company has applied to City for the establishment of an industrial
development district pursuant to the provisions of Act198 of the Public Acts of
1974, as amended, which act requires a contract between the City and the Company
to be agreed and submitted with the Company’s subsequent anticipated application
for an industrial facilities exemption certificate.
B. That in addition to the statutory requirement, the City has determined that it is
in the best interests of the taxpayers, property owners and residents of the City that
this Agreement be approved and executed prior to the establishment of the
requested district, and the City deems this Contract, together with the conditions set
forth in the said Act to constitute a necessary element in the City’s determination
whether or not to create the district.
C. The Company intends to install the project set forth in its application
(“project”) which it believes qualifies for the process of establishing the district and
the application for industrial facilities exemption certificate.
D. The City, provided this Agreement is executed, will determine whether to
create the district based upon the potential for the production of permanent jobs, the
continuation, stabilization or increase of economic activity, planning and zoning
considerations and the City’s general plan and intentions regarding economic
development. In addition to the City policy considerations and predictions that the
Company’s proposed district and certificate benefit the community in those ways,
the City has further determined that the contractual commitments made by the
Company to thereby assist the community shall be binding on the Company and
necessary to continue the tax exemption made possible by the certificate.
E. This contract shall become effective upon the issuance of an Industrial
Facilities Tax Exemption Certificate.
NOW THEREFORE THE PARTIES AGREE:
1
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1. COMPANY AGREEMENT. The Company irrevocably commits to the
investment, job retention and job creation promises made in its application, a copy of
which is attached hereto and incorporated herein. In particular the Company agrees:
1.1 That 100% of the jobs shall be filled and in existence with full-time
employees by a date no later than two (2) years from the date of the granting of
the certificate by the State Tax Commission, subject to the provisions of section
3.4 of this agreement.
1.2 That the amount of jobs listed on the application, whether new or retained,
will be maintained through the life of the abatement, subject to the provisions of
section 3.4 of this agreement.
1.3 The Company shall meet the affirmative action goal included in the
application or in any documents supplied by the City and utilized by the
Company, including any additional representations made to the City Commission
on or before the date two (2) years after the granting of the certificate by the
State Tax Commission. It shall maintain the said levels of employment diversity
during the period of the certificate, subject to the provisions of section 3.4 of this
agreement.
1.4 The Company, by the end of two (2) years from the date of the grant of the
certificate by the State Tax Commission shall have completed the investment of
$9,078,845 in improvements as shown in the application, subject to the
provisions of section 3.4 of this agreement.
1.5 That the improvements and equipment to receive the tax abatement treatment
shall be completed on or before the date two (2) years from the date of granting
of the certificate by the State Tax Commission.
1.6 The Company shall pay its specific taxes required by the act in a timely
manner, and shall not delay payments so as to incur any penalties or interest.
1.7 The Company shall fully cooperate with the City representatives in supplying
all requested and required documentation regarding jobs, investment, the meeting
of all goals and the timely installation and utilization of equipment and
improvements. The City shall be entitled to inspect at reasonable hours the
Company’s premises where the said improvements and equipment have been
installed and where the said jobs are performed.
1.8 The Company shall maintain, during the entire period for which the tax
abatement is granted, the level of jobs, affirmative action goals, production and
utilization of the improvements and equipment at the site where the district has
been created and for which the tax exemption has been granted.
2
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1.9 The Company shall not cause or fail to cure the release of any hazardous
substance, or the violation of any environmental law on its premises in the City.
It shall report any releases to the appropriate governmental authority in a timely
and complete manner, and provide copies of said report documentation to the
City. It shall comply with all orders and actions of any governmental agency
having authority.
1.10 The Company shall maintain the equipment and improvements so as
to minimize physical or functional obsolescence.
1.11 The Company shall continue to operate its business location in the
City, containing the same number of and type of jobs, for the term of the
certificate.
2. AGREEMENT BY THE CITY. Provided this contract has been executed
and further provided all applications to create the district and achieve the industrial
facility exemption certificate have been properly filed, the City shall, in a timely
manner, determine in a public meeting to whether to create the district and whether
to receive, process, and approve thereafter the Company’s application for an
industrial facilities exemption certificate. The City may consider this contract in a
meeting separate from and prior to the meeting in which the City considers the
creation of the district and/or approval of the application for certificate. Further, the
City shall require the submission of this contract signed by the Company together
with its applications, before creating the district.
3. EVENTS OF DEFAULT. The following actions or failures to comply shall
be considered events of default by the Company:
3.1 Failure to meet any of the commitments set forth above.
3.2 The closing of the Company’s facilities in the City. Closing shall mean for
purpose of this Agreement, the removal, without transfer to another site within
the City of substantially all of the production facilities, and the elimination of
substantially all the jobs created or retained thereby, which are set forth in the
Company’s application.
3.3 Failure to afford to the City the documentation and reporting required.
3.4 The failure to create or retain jobs, meet affirmative action goals or expend
the funds on equipment and improvements as represented in the application
within the times required hereby, unless the company can show that there has
been a loss of revenue and employment due to circumstances beyond the control
of the company. In order to make that showing the company shall have the
burden of supplying, to the City's satisfaction, complete and convincing
documentation supporting and justifying reductions in investment, failures to
3
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attain affirmative action goals or job losses, such as, without limitation, written
evidence of lost contracts, accounting information showing reduced revenues due
to the loss of business, (not due to diversion of production to affiliate companies
or divisions of the company), production records showing reduced quantities
over significant periods of time, and such other information required by the City
to support the Company's claim that the failure to invest, failure to achieve
affirmative action goals, or loss of jobs should not form the basis for a finding of
default.
3.5 The bankruptcy or insolvency of the Company.
3.6 The failure to pay any and all taxes and assessments levied on the Company’s
property or any other taxes, local, state or federal, including but not limited to
City income taxes and the withholding of said City income taxes from employees
as required by the City Income Tax Ordinance.
3.7 The performance or omission of any act which would lead to revocation
under MCLA 207.565, being §15 of the Act.
3.8 The violation of any provisions, promises, commitments, considerations or
covenants of this Agreement.
4. REMEDIES ON DEFAULT. In the event of any of the above defaults the
City shall have the following remedies which it may invoke without notice, except as
may be reasonably required by the Company’s rights to due process:
4.1 In the event of closing as determined after investigation of the facts and a
public hearing, the Company shall be immediately liable for penalties to be paid
forthwith to the city as determined as follows:
4.1.1 The Company shall pay to the City for prorata distribution to the
taxing units experiencing the abatement, an amount equal to the difference
between the industrial facilities tax which it has paid, and the total property
taxes to the relevant taxing units which it would have paid, given its
installations of improvements and equipment, during the years for which the
certificate was in effect.
4.1.2 Immediate Revocation. The Company hereby consents to revocation
to the IFT certificate before the State Tax Commission, without hearing, and
the City shall submit a copy of this Agreement to the State Tax Commission
in connection with its revocation procedure, giving notice that the default has
occurred and immediate revocation should occur.
4.2 In the event the improvements and equipment have not been installed before
the two (2) year period, in addition to the revocation procedures before the State
4
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Tax Commission, the abatement should immediately be reduced by the City
proportionately, and any installations which have not been finished at the end of
said two (2) year period shall not be eligible for the abatement thereafter and
shall be placed on the regular tax roll.
4.3 Failure to Expend the Funds Represented. In the event, (whether or not the
installations have been completed), the Company has not expended the funds it
has represented on its application that it would invest for the installation of
equipment, the abatement shall be reduced prorata, and any remaining value of
equipment shall be placed on the regular tax roll, unless the company can show,
through receipts, etc. that the cost of the equipment was actually less than the
amount estimated by the company (i.e., the same equipment was purchased as
listed in the IFT application, but the bids came in less then expected).
4.4 Job Creation and Retention. In the event the promised number of jobs have
not been created or retained at the end of the two (2) years after the grant of the
certificate by the State Tax Commission, the abatement shall be proportionately
reduced, unless the company can show that the loss of jobs, or inability to hire as
many people as expected, is due to circumstances beyond the control of the
company (such as an economic downturn).
4.5 Affirmative Action Goals. In the event, after one (1) year from the grant of
the certificate by the State Tax Commission, the affirmative action goals of the
City for additional jobs have not been met on a prorata basis, the abatement shall
be revoked.
4.6 For other violations of this Agreement or for actions or omissions by the
Company amounting to grounds for revocation by statue, the City shall
recommend to the State Tax Commission immediate revocation of the certificate.
4.7 Special Assessment. For any amount due to be paid to the City, under this
Section 4, the Company consents that the City shall have a personal action
against the Company for the said amount, and in addition, cumulatively, and not
by election, the City shall have a special assessment lien on all the property of
the Company personal and real, located in the City, for the collection of the
amounts due as and in the manner of property taxes and in such case the
collection of the said special assessment shall be accomplished by addition by
the City to the Company’s property tax statement regularly rendered.
5. Governing Law. This Agreement shall be construed and enforced in
accordance with the laws of the State of Michigan applicable to contracts made and
to be performed within the State of Michigan.
5
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Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: November 10, 2025 Title: Approval of Minutes
Submitted by: Ann Meisch, City Clerk Department: City Clerk
Brief Summary:
To approve minutes of the October 13, 2025, Commission Worksession Meeting and the October 14,
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 WORKSESSION
October 13, 2025 @ 5:30 PM
MUSKEGON CITY COMMISSION CHAMBERS
933 TERRACE STREET, MUSKEGON, MI 49440
MINUTES
The City Commission Worksession Meeting of the City of Muskegon was held at
City Hall, 933 Terrace Street, Muskegon, Michigan at 5:30 p.m., Monday,
October 13, 2025.
Present: Mayor Ken Johnson, Vice Mayor Rebecca St. Clair, Commissioners
Katrina Kochin, Willie German, Jr., Jay Kilgo, and Rachel Gorman, City Manager
Jonathan Seyferth, and City Clerk Ann Marie Meisch
Absent: Commissioner Destinee Keener
2025-81 NEW BUSINESS
A. Ordinance Adoption: Unlawful Speed Exhibition Events Public Safety
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.
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.
Public Safety Director Tim Kozal explained the item and answered questions.
B. Project Development Agreement with Johnson Controls, Inc. Public
Works
Page 1 of 2
Page 72 of 290
Staff, together with Johnson Controls, Inc., will present the details of a Project
Development Agreement that will prepare the details needed to enter into an
Energy Performance Contract in 2026 to make improvements to the DPW
Facility, the Water System, City Hall, and other facilities.
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.
Public Works Director Dan VanderHeide and Chris Downs, Dave Gehrls, John
Crawford and Brad Estadt from Johnson Controls, Inc. explained the
agreement and the EPC process.
PUBLIC COMMENT
Public comments received.
ADJOURNMENT
The City Commission meeting adjourned at 7:12 p.m.
Respectfully Submitted,
Ann Marie Meisch, MMC City Clerk
Page 2 of 2
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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
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, October 14,
2025. Mayor Johnson opened the meeting with a moment of silence, after
which the Commission and public recited the Pledge of Allegiance to the Flag.
ROLL CALL
Present: Mayor Ken Johnson, 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: Commissioner Destinee Keener
2025-82 PUBLIC HEARINGS
A. Establishment of a Commercial Redevelopment District — 431 E. Laketon
Ave. Economic Development
Pursuant to Public Act 255 of 1978, as amended, 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.
STAFF RECOMMENDATION: 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 resolution.
The Public Hearing opened to hear and consider any comments from the
public. No public comments were made.
Page 1 of 13
Page 74 of 290
Motion by Commissioner Kilgo, second by Commissioner Kochin, 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 resolution.
ROLL VOTE: Ayes: Kilgo, German, Gorman, Kochin, St.Clair, and Johnson
Nays: None
MOTION PASSES
B. Issuance of a Commercial Facilities Exemption Certificate — 431 E.
Laketon Ave. Economic Development
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.
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 resolution for a term of
eight (8) years for real property. The applicant has submitted all required
documentation.
STAFF RECOMMENDATION: 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.
The Public Hearing opened to hear and consider any comments from the
public. No public comments were made.
Motion by Vice Mayor St.Clair, second by Commissioner Kochin, 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.
ROLL VOTE: Ayes: German, Gorman, Kochin, St.Clair, Johnson, and Kilgo
Nays: None
MOTION PASSES
PUBLIC COMMENT ON AGENDA ITEMS
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Public comments received.
2025-83 CONSENT AGENDA
A. Approval of Minutes City Clerk
To approve minutes of the September 23, 2025, City Commission Meeting.
STAFF RECOMMENDATION: Approval of the minutes.
B. DivDat Payment Kiosk Contract Treasury
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 automatic renewal each year, we are
looking for City Commission approval to continue this contract beyond
December of 2025, when the initial year ends.
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 day
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.
STAFF RECOMMENDATION: I move to approve the contract with DivDat for the
bill payment kiosk with automatic renewal each year as presented.
D. Project Development Agreement with Johnson Controls, Inc. Public
Works
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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.
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.
While the specific ask is for $554,104, as broken down by fund on the 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.
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STAFF RECOMMENDATION: 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.
E. Sale of 821/856/923 Emerald, 213/275/313 Myrtle, 480 Oak, 302 Orchard,
822/980 Williams, and 462 White. Planning
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).
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.
STAFF RECOMMENDATION: 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 purchase agreement and
to have the Mayor and Clerk sign the purchase agreement.
F. Sale of 1967 Reynolds Planning
Staff is seeking authorization to sell the City-owned vacant lot at 1967 Reynolds
to Shequita Brown.
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).
STAFF RECOMMENDATION: To authorize the Code Coordinator to complete the
sale of 1967 Reynolds, as described in the purchase agreement and to have
the Mayor and Clerk sign the purchase agreement.
I. City of Muskegon 2026 Fireworks Contract - Pyrotecnico DPW- Parks
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.
STAFF RECOMMENDATION: I move to authorize staff to enter into a Fireworks
Agreement with Pyrotecnico Fireworks for $40,000 for a fireworks show at
Heritage Landing, and approval of the fireworks display permit for Pyrotecnico.
K. Concession Application - Pere Marquette Mobile Sauna DPW- Parks
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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.
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.
STAFF RECOMMENDATION: Authorize staff to enter into an agreement with
Saunaty for concession services at Pere Marquette Park.
L. Ordinance Adoption: Unlawful Speed Exhibition Events Public Safety
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.
The City of Muskegon finds that unauthorized motor vehicle speed exhibition
events—commonly known as “street takeovers,” “sideshows,” or “slideshows”—
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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.
STAFF RECOMMENDATION: 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.
(REQUIRES SECOND READING)
O. Concur with CRC Recommendation City Clerk
To concur with CRC recommendation to accept resignations and make
appointments.
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.
STAFF RECOMMENDATION: 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.
Motion by Commissioner Kilgo, second by Vice Mayor St.Clair, to adopt the
Consent Agenda as presented minus items C, G, H, J, M, and N.
ROLL VOTE: Ayes: Gorman, Kochin, St.Clair, Johnson, Kilgo, and German
Nays: None
MOTION PASSES
2025-84 ITEMS REMOVED FROM THE CONSENT AGENDA
C. Laketon-Lakeshore Trail Connector Engineering Change Order Public
Works
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.
The Laketon-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,
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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.
STAFF RECOMMENDATION: 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.
Motion by Vice Mayor St.Clair, second by Commissioner Kilgo, to approve 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.
ROLL VOTE: Ayes: Kochin, St.Clair, Johnson, Kilgo, German, and Gorman
Nays: None
MOTION PASSES
G. Adelaide Point, Extension of Timeline for Park-like Improvements —
Hartshorn Peninsula Manager's Office
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.
The May 2025 letter was sent by City staff at the direction of the City
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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 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.
STAFF RECOMMENDATION: To extend the deadline for park improvements at
Hartshorn Park and Launch ramp until May 1, 2026.
Much discussion was heard. It was discussed that the Commission requires a
timeline of December 1st to have communication in writing from the developer
on what will be done with the park-like improvements on Hartshorn Peninsula.
Motion by Commissioner German, second by Commissioner Kilgo, to extend
the deadline for park improvements at Hartshorn Park and Launch ramp until
May 1, 2026.
Motion amended by Vice Mayor St.Clair, second by Commissioner Gorman,
that the developer must by December 1st submit to the City a detailed plan of
what park-like improvements will be done at the Hartshorn Peninsula.
Vote on Amendment:
ROLL VOTE: Ayes: Johnson, Kilgo, German, Gorman, Kochin, and St.Clair
Nays: None
MOTION PASSES
Vote on Original Motion:
ROLL VOTE: Ayes: St.Clair, Johnson, Kilgo, German, Gorman, and Kochin
Nays: None
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MOTION PASSES
H. Policy for the Use & Sale of City-Owned Residential Property:
Amendment Planning
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.
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.
STAFF RECOMMENDATION: To approve and accept the amended Policy for the
Use & Sale of City-Owned Residential Property.
Motion by Commissioner German, second by Commissioner Kilgo, to approve
and accept the amended Policy for the Use & Sale of City-Owned Residential
Property.
ROLL VOTE: Ayes: Kilgo, German, Gorman, Kochin, St.Clair, and Johnson
Nays: None
MOTION PASSES
J. Concession Agreement — Smith-Ryerson Vending Machine DPW- Parks
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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.
STAFF RECOMMENDATION: I authorize staff to enter into an agreement with
Threes Company LLC for concession services at Smith Ryerson Park.
Motion by Commissioner German, second by Commissioner Kochin, to
authorize staff to enter into an agreement with Threes Company LLC for
concession services at Smith Ryerson Park.
ROLL VOTE: Ayes: German, Gorman, Kochin, St.Clair, Johnson, and Kilgo
Nays: None
MOTION PASSES
M. Resolution for Housing Tax Exemption for Four Properties, LLC
(609,619,629 Amity) Economic Development
Tyce VanNoord, doing business as Four Properties LLC, desires to construct 8
units of workforce housing (3 duplexes and 2 ADUs)
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.
STAFF RECOMMENDATION: Motion to approve the Resolution for Housing Tax
Exemption as presented and to authorize the Mayor and Clerk to sign.
Motion by Commissioner Kilgo, second by Vice Mayor St.Clair, to approve the
Resolution for Housing Tax Exemption as presented and to authorize the Mayor
and Clerk to sign.
ROLL VOTE: Ayes: German, Gorman, Kochin, St.Clair, Johnson, and Kilgo
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Nays: None
MOTION PASSES
N. Workforce Housing Restrictive Covenant - Four Properties LLC Economic
Development
Tyce VanNoord, doing business as Four Properties LLC, desires to construct 8
units of workforce housing (3 duplexes and 2 ADUs)
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.
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.
STAFF RECOMMENDATION: Motion to Approve the Workforce Housing
Restrictive Covenant as presented and to authorize the Mayor and Clerk to
sign.
Motion by Commissioner Kilgo, second by Commissioner German, to approve
the Workforce Housing Restrictive Covenant as presented and to authorize the
Mayor and Clerk to sign.
ROLL VOTE: Ayes: Gorman, Kochin, St.Clair, Johnson, Kilgo, and German
Nays: None
MOTION PASSES
GENERAL PUBLIC COMMENT
Public comments received.
Mayor Johnson stated the October 28th City Commission Meeting is canceled
due to early voting. The next Commission Meeting will be a combined
Worksession/Commission Meeting on November 10th because City Hall is
closed November 11th for Veterans Day.
Commissioner Kilgo announced that there will be a presentation at Muskegon
High School to discuss Fisherman's Landing on October 21st at 6:00 p.m.
2025-85 CLOSED SESSION
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A. CLOSED SESSION ITEM Finance
Motion by Vice Mayor St.Clair, second by Commissioner Kilgo, to go into
closed session under Section 8(1)(e) of the Open Meetings Act to discuss trial
or settlement strategy with legal counsel in connection with the lawsuit titled
Jerry Jewett v City of Muskegon, Case No: 24-5323-NO pending before the 14th
Circuit Court of Muskegon County. Discussion of this matter on the open record
will have a detrimental financial effect on the litigating or settlement position of
the City of Muskegon, its employees and officials.
ROLL VOTE: Ayes: Kochin, St.Clair, Johnson, Kilgo, German, and Gorman
Nays: None
MOTION PASSES
Motion by Vice Mayor St.Clair, second by Commissioner German, to come out
of Closed Session.
ROLL VOTE: Ayes: Kochin, St.Clair, Johnson, Kilgo, German, and Gorman
Nays: None
MOTION PASSES
Motion by Vice Mayor St.Clair, second by Commissioner Kilgo, to follow the
advice of counsel and approve the settlement proposal in the pending case of
Jerry Jewett v City of Muskegon, Case No: 24-5323-NO before the 14th Circuit
Court of Muskegon County.
ROLL VOTE: Ayes: St.Clair, Johnson, Kilgo, German, and Gorman
Nays: Kochin
MOTION PASSES
ADJOURNMENT
The City Commission meeting adjourned at 9:00 p.m.
Respectfully Submitted,
Ann Marie Meisch, MMC City Clerk
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Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: November 10, 2025 Title: Ordinance Adoption: Unlawful Speed
Exhibition Events (SECOND READING)
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:
Ordinance change second reading.
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:
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Immediate Division
Head
Information
Technology
Other Division Heads
Communication
Legal Review
Page 88 of 290
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.
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(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.
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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 91 of 290
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 92 of 290
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 93 of 290
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: November 10, 2025 Title: Limited Traffic Data Software Subscription
Submitted by: Dan VanderHeide, Public Works Department: Public Works
Director
Brief Summary:
Staff requests authorization to enter into a three-year contract with Vertosoft, LLC for $26,752 per year
for a subscription to Urban SDK traffic data software.
Detailed Summary & Background:
Staff in the Police Department and Engineering Department have long been interested in taking
advantage of improving technology to gain a better understanding of traffic in the City. Current
technology involves placing radar trailers or rubber hoses on the roadways and returning later to pick
up the devices and process the data, one location at a time. Urban SDK offers a solution that will
give both departments access to speed and volume data across the entire city network,
instantaneously, via software. Urban SDK uses the connected devices already in nearly all vehicles to
anonymously report speed and volume data.
Vertisoft has provided the City with a quote for a three-year contract that is based on Sourcewell
pricing. Sourcewell is a purchasing cooperative that competitively bids goods and services and
offers its members the ability to purchase those items at the lowest bid price. It meets the City's
purchasing policy requirements for a public bid. While this item was not specifically budgeted for in
the street fund budgets, reserves are available to cover this expense, and the budget will be
amended accordingly. This advanced software will improve the staff's efficiency, knowledge and
accuracy.
Goal/Action Item:
2027 Goal 1: Destination Community & Quality of Life - Recognizable improvements to community
safety
Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:
Amount Requested: Budgeted Item:
$26,752 Yes No X N/A
Fund(s) or Account(s): Budget Amendment Needed:
202 and 203 (Major and Local Streets) Yes X No N/A
Recommended Motion:
Move to authorize staff to enter into a three-year contract with Vertosoft, LLC for $26,752 per year for
Page 94 of 290
a subscription to Urban SDK traffic data software.
Approvals: Name the Policy/Ordinance Followed:
Immediate Division X Purchasing Policy
Head
Information X
Technology
Other Division Heads X
Communication
Legal Review
Page 95 of 290
Page 96 of 290
Date: 10/14/2025, 1:32 PM
1602 Village Market Blvd SE, Suite 320 Phone: 571 707-4130
Leesburg, VA20175 USA Fax: 571-291-4119
Email: sales@vertosoft.com
Cage Code: 7QV38
UEI Number Y7D5MXRU2839 Vertosoft Contact: David Ball
DUNS# 080431574 Phone: (571) 218-5194
Federal Tax ID: 81-3911287 Email: david.ball@vertosoft.com
Business Size: Small Business
Vertosoft Quote for Urban SDK - City of Muskegon, MI
Contract: Sourcewell: 060624-VTO
Quote #: Q-15689 Quote For:
Expires On: 11/30/2025 Name: Dan VanderHeide
Company: City of Muskegon, MI
Ship To Email: dan.vanderheide@shorelinecity.com
City of Muskegon, MI Phone: 231-724-4100
PAYMENT TERMS DELIVERY METHOD PAYMENT METHOD VERTOSOFT CUST ID SUPPLIER REF #
Net 30 Electronic Check/ACH/Credit Card Contract Commitment:
36 Months
Overall POP Start Date: 12/1/2025
Overall POP End Date: 11/30/2028
Year 1 Coverage Dates: 12/1/2025 - 11/30/2026
PART # DESCRIPTION QTY UNIT PRICE EXTENDED
USDK104 Speed Insights (250-500 Miles) 1.00 $22,252.00 $22,252.00
USDK201 Volume Insights (1-1000 Miles) 1.00 $4,500.00 $4,500.00
Year 1 TOTAL: $26,752.00
Year 2 Coverage Dates: 12/1/2026 - 11/30/2027
PART # DESCRIPTION QTY UNIT PRICE EXTENDED
USDK104 Speed Insights (250-500 Miles) 1.00 $22,252.00 $22,252.00
USDK201 Volume Insights (1-1000 Miles) 1.00 $4,500.00 $4,500.00
Year 2 TOTAL: $26,752.00
Page 1 of 2
Page 97 of 290
Year 3 Coverage Dates: 12/1/2027 - 11/30/2028
PART # DESCRIPTION QTY UNIT PRICE EXTENDED
USDK104 Speed Insights (250-500 Miles) 1.00 $22,252.00 $22,252.00
USDK201 Volume Insights (1-1000 Miles) 1.00 $4,500.00 $4,500.00
Year 3 TOTAL: $26,752.00
TOTAL: $80,256.00
Quote Terms
By purchasing the products and services described in this order form, the Customer is expressly agreeing to the End User
Agreement published at https://www.vertosoft.com/terms-and-conditions-urban-sdk
Taxes: Sales tax shall be added at the time of an invoice, unless a copy of a valid tax exemption or resale certificate is
provided.
Credit Card Orders: Additional fees may apply if paying by credit card.
All Purchase Orders must include: End User Name, Phone Number, Email Address, Purchase Order Number, Government
Contract Number or Our Quote Number, Bill-To and Ship-To Address (Cannot ship to a PO Box), Period of Performance
(if applicable), and a Signature of a duly Authorized Representative.
IN WITNESS WHEREOF, the Parties hereto have executed the Agreement as of the last Signature Date below.
Vertosoft LLC City of Muskegon, MI
Signature:_____________________________ Signature:________________________
David Ball
Name: _______________________________ Name:___________________________
Senior Director
Title: _________________________________ Title: ____________________________
10/14/2025
Date: ________________________________ Date: ____________________________
Page 2 of 2
Page 98 of 290
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: November 10, 2025 Title: Sale of 617, 625, & 635 Oak
Submitted by: Samantha Pulos, Code Department: Planning
Coordinator
Brief Summary:
Staff is seeking authorization to sell the City-owned vacant lots at 617, 625, and 635 Oak to Sjaarda
Homes and Properties LLC (Derek Sjaarda).
Detailed Summary & Background:
Sjaarda Homes and Properties LLC (Derek Sjaarda) would like to purchase the City-owned buildable
lots at 617, 625, and 635 Oak for $6,100 (50% of the True Cash Value of $12,200) plus half of the closing
costs, and the fee to register the deed. Sjaarda Homes and Properties LLC (Derek Sjaarda) will be
constructing a duplex on each of the properties.
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:
The sale of 617, 625, and 635 Oak was previously part of a purchase agreement that included 638 and 644 O
developer anticipated MSHDA MI Neighborhood funding for all the addresses included in that agreement.
they will not receive that grant for this project. Their current funding will not support the originally proposed p
duplex on each of the lots, (there was to be a split/combination of 617, 625, and 635 Oak into four evenly siz
However, it will support a duplex being built on three lots at this location. The developer may also incorpora
each of the lots into the project if feasible.
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 sell the City-owned vacant lots at 617, 625, and 635 Oak to Sjaarda Homes and Properties
Sjaarda).
Approvals: Name the Policy/Ordinance Followed:
Immediate x Master Plan, Zoning Ordinance, Policy for the Use & Sale of City-Owned Residenti
Division Head
Page 99 of 290
Information
Technology
Other Division x
Heads
Communication
Legal Review x
Page 100 of 290
PURCHASE AND DEVELOPMENT AGREEMENT
This Purchase and Development Agreement (“Agreement”) is made November 10, 2025 (“Effective
Date”), between the City of Muskegon, a Michigan municipal corporation, of 933 Terrace Street,
Muskegon, Michigan 49440 (“City”), and Sjaarda Homes and Properties LLC, Derek Sjaarda, 15131
Blueberry Ct, West Olive MI, 49460 (“Developer”), with reference to the following facts:
Background
A. Developer proposes to purchase and develop three (3) vacant properties owned by City
which are 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 each of the Project Properties one (1) duplex, for a total of three (3) duplexes. (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 $6,100.00,
which shall be paid in cash or other immediately available funds at Closing (defined below) less the $500
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 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 80% of the purchase price
for the Project Property upon Developer’s completion of construction for each single-family home,
duplex, triplex, and accessory dwelling unit on the Project Property.
4. Right of Reversion. Notwithstanding anything herein to the contrary, and as security for
Developer’s obligation to commence and complete construction of a duplex on each of the Project
Properties, the quit claim deed conveying the Project Property to Developer shall contain a right of reversion
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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 duplexes.
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.
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 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.
Page 102 of 290
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.
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
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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,
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.
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.
Page 104 of 290
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 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.
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: Sjaarda Homes and Properties LLC
Derek Sjaarda
15131 Blueberry Ct
West Olive MI 49460
Email: dlsjaarda@gmail.com
Cell: 616-723-7130
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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.
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.
Page 106 of 290
CITY: DEVELOPER:
CITY OF MUSKEGON Sjaarda Homes and Properties LLC
By: _______________________________ By: _______________________________
Name: Ken Johnson Name: Derek Sjaarda
Title: Mayor Dated: __________________
Dated: __________________
By: _______________________________
Name: Ann Marie Meisch
Title: City Clerk
Dated: __________________
Page 107 of 290
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 N 1/2 LOT 7 ALSO E 40 FT
OF LOT 8
BLK 49 Address: 617 OAK AVE, MUSKEGON, MI 49442
Parcel #: 24-205-049-0007-00
Price: $2,500.00
(617, 625, and 635 Oak will be combined and split evenly into three lots)
Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 N 1/2 LOT 6 BLK 49
Address: 625 OAK AVE, MUSKEGON, MI 49442
Parcel #: 61-24-205-049-0006-00
Price: $1,600.00
(617, 625, and 635 Oak will be combined and split evenly into three lots)
Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 N 1/2 LOT 5 BLK 49
Address: 635 OAK AVE, MUSKEGON, MI 49442
Parcel #: 61-24-205-049-0005-00
Price: $2,000.00
(617, 625, and 635 Oak will be combined and split evenly into three lots)
Page 108 of 290
October 31, 2025
Sjaarda Homes and Properties, LLC
Derek Sjaarda
15131 Blueberry Ct.
West Olive, MI 49460
Re: Termination of Purchase and Development Agreement
Dear Mr. Sjaarda,
The City of Muskegon and Sjaarda Homes and Properties, LLC entered into a Purchase and
Development Agreement (the “Agreement”) dated July 8, 2025, in which you were to
purchase and develop five vacant properties owned by the City. Closing was to occur no
later than 60 days from the City Commission’s approval of the sale.
Pursuant to the terms and conditions set forth in section 13a of the Agreement, the City
may terminate the Agreement in the event the Developer fails to tender the purchase
price at closing. Given the fact that the closing date did not occur and in accordance with
this section, the City hereby exercises our right to terminate the Agreement.
We appreciate your efforts and commitment to the development of the City of Muskegon.
Please confirm receipt of this notice and acknowledge the termination in writing.
City of Muskegon
By: Sam Pulos
I agree to the termination.
Sjaarda Homes and Properties, LLC
By: Derek Siaarda
2 3 1 . 72 4 . 6 705 | 933 Terrace St, Muskegon, MI 49440-1397 | www.shorelinecity.com
Page 109 of 290
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: November 10, 2025 Title: Sale of 638 & 644 Oak
Submitted by: Samantha Pulos, Code Department: Planning
Coordinator
Brief Summary:
Staff is seeking authorization to sell the City-owned vacant lots at 638 and 644 Oak to Sjaarda Homes
and Properties LLC (Derek Sjaarda).
Detailed Summary & Background:
Sjaarda Homes and Properties LLC (Derek Sjaarda) would like to purchase the City-owned buildable
lots at 638 and 644 Oak for $4,000 (50% of the True Cash Value of $8,000) plus half of the closing costs,
and the fee to register the deed. Sjaarda Homes and Properties LLC (Derek Sjaarda) will be
constructing a duplex on each property.
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:
The sale of 638 and 644 Oak was previously part of a purchase agreement that included 617, 625, and 635 O
developer anticipated MSHDA MI Neighborhood funding for all five of the original addresses included in tha
agreement. Unfortunately, they will not receive that grant for this project. They would like these two address
separate purchase agreement, so that they can close the sale quickly if approved, and break ground this y
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 sell the City-owned vacant lots at 638 and 644 Oak to Sjaarda Homes and Properties LLC (
Sjaarda).
Approvals: Name the Policy/Ordinance Followed:
Immediate x Master Plan, Zoning Ordinance, Policy for the Use & Sale of City-Owned Residentia
Division Head
Information
Page 110 of 290
Technology
Other Division x
Heads
Communication
Legal Review x
Page 111 of 290
PURCHASE AND DEVELOPMENT AGREEMENT
This Purchase and Development Agreement (“Agreement”) is made November 10, 2025 (“Effective
Date”), between the City of Muskegon, a Michigan municipal corporation, of 933 Terrace Street,
Muskegon, Michigan 49440 (“City”), and Sjaarda Homes and Properties LLC, Derek Sjaarda, 15131
Blueberry Ct, West Olive MI, 49460 (“Developer”), with reference to the following facts:
Background
A. Developer proposes to purchase and develop two (2) vacant properties owned by City
which are 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 each of the Project Properties one (1) duplex, for a total of two (2) duplexes. (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 $4,000.00,
which shall be paid in cash or other immediately available funds at Closing (defined below) less the $500
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 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 80% of the purchase price
for the Project Property upon Developer’s completion of construction for each single-family home,
duplex, triplex, and accessory dwelling unit on the Project Property.
4. Right of Reversion. Notwithstanding anything herein to the contrary, and as security for
Developer’s obligation to commence and complete construction of a duplex on each of the Project
Properties, the quit claim deed conveying the Project Property to Developer shall contain a right of reversion
Page 112 of 290
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 duplexes.
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.
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 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.
Page 113 of 290
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.
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
Page 114 of 290
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,
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.
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.
Page 115 of 290
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 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.
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: Sjaarda Homes and Properties LLC
Derek Sjaarda
15131 Blueberry Ct
West Olive MI 49460
Email: dlsjaarda@gmail.com
Cell: 616-723-7130
Page 116 of 290
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.
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.
Page 117 of 290
CITY: DEVELOPER:
CITY OF MUSKEGON Sjaarda Homes and Properties LLC
By: _______________________________ By: _______________________________
Name: Ken Johnson Name: Derek Sjaarda
Title: Mayor Dated: __________________
Dated: __________________
By: _______________________________
Name: Ann Marie Meisch
Title: City Clerk
Dated: __________________
Page 118 of 290
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 E 49 1/2 FT OF S 214.5 FT
LOT 4 BLK 40
Address: 638 OAK AVE, MUSKEGON, MI 49442
Parcel #: 61-24-205-040-0004-21
Price: $2,000.00
Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 W 49 1/2 FT OF S 214.5 FT
LOT 3 BLK 40
Address: 644 OAK AVE, MUSKEGON, MI 49442
Parcel #: 61-24-205-040-0003-01
Price: $2,000.00
Page 119 of 290
October 31, 2025
Sjaarda Homes and Properties, LLC
Derek Sjaarda
15131 Blueberry Ct.
West Olive, MI 49460
Re: Termination of Purchase and Development Agreement
Dear Mr. Sjaarda,
The City of Muskegon and Sjaarda Homes and Properties, LLC entered into a Purchase and
Development Agreement (the “Agreement”) dated July 8, 2025, in which you were to
purchase and develop five vacant properties owned by the City. Closing was to occur no
later than 60 days from the City Commission’s approval of the sale.
Pursuant to the terms and conditions set forth in section 13a of the Agreement, the City
may terminate the Agreement in the event the Developer fails to tender the purchase
price at closing. Given the fact that the closing date did not occur and in accordance with
this section, the City hereby exercises our right to terminate the Agreement.
We appreciate your efforts and commitment to the development of the City of Muskegon.
Please confirm receipt of this notice and acknowledge the termination in writing.
City of Muskegon
By: Sam Pulos
I agree to the termination.
Sjaarda Homes and Properties, LLC
By: Derek Siaarda
2 3 1 . 72 4 . 6 705 | 933 Terrace St, Muskegon, MI 49440-1397 | www.shorelinecity.com
Page 120 of 290
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: November 10, 2025 Title: Sale of 595 Oak & 594 Orchard
Submitted by: Samantha Pulos, Code Department: Planning
Coordinator
Brief Summary:
Staff is seeking authorization to sell the City-owned vacant lots at 595 Oak and 594 Orchard to Sue
Ann Properties LLC (Eric Payne).
Detailed Summary & Background:
Sue Ann Properties LLC (Eric Payne) would like to purchase the City-owned buildable lots at 595 Oak
and 594 Orchard for $4,000 (50% of the True Cash Value of $8,000) plus half of the closing costs, and
the fee to register the deed. Sue Ann Properties LLC will be constructing a duplex on each property.
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:
Authorize staff to sell the City-owned vacant lot at 312 Jackson to Sjaarda Homes and Properties LLC (Derek
Approvals: Name the Policy/Ordinance Followed:
Immediate x Master Plan, Zoning Ordinance, Policy for the Use & Sale of City-Owned Residentia
Division Head
Information
Technology
Other Division x
Heads
Communication
Legal Review
Page 121 of 290
Page 122 of 290
PURCHASE AND DEVELOPMENT AGREEMENT
This Purchase and Development Agreement (“Agreement”) is made November 10, 2025 (“Effective
Date”), between the City of Muskegon, a Michigan municipal corporation, of 933 Terrace Street,
Muskegon, Michigan 49440 (“City”), and Sue Ann Properties LLC, 9321 Port Sheldon Street, Zeeland,
MI 49464 (“Developer”), with reference to the following facts:
Background
A. Developer proposes to purchase and develop two (2) vacant properties 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) duplex on each Parcel, for a total of two (2) duplexes. (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 $4,000.00,
which shall be paid in cash or other immediately available funds at Closing (defined below) less the $800
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 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 80% of the purchase price
for the Project Property upon Developer’s completion of construction for each single-family home,
duplex, triplex, and accessory dwelling unit on the Project Property.
4. Right of Reversion. Notwithstanding anything herein to the contrary, and as security for
Developer’s obligation to commence and complete construction of a duplex 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
Page 123 of 290
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 duplex.
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.
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 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.
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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.
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
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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,
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.
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.
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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 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.
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
w/ copy to: Parmenter Law
Attn.: John C. Schrier
601 Terrace Street, Suite 200
Muskegon, MI 49440
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To Developer: Sue Ann Properties LLC
Attn: Eric Payne
9321 Port Sheldon Street
Zeeland, MI 49464
Email: Eric@prdesign-build.com
Phone: 616-566-0163
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.
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.
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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 Sue Ann Properties LLC
By: _______________________________
By: _______________________________ Name: Eric Payne
Name: Ken Johnson Dated: __________________
Title: Mayor
Dated: __________________
By: _______________________________
Name: Ann Marie Meisch
Title: City Clerk
Dated: __________________
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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 W 60 FT OF E 66 FT LOT 11
BLK 49
Address: 595 OAK AVE, MUSKEGON, MI 49442
Parcel #: 61-24-205-049-0011-10
Price: $2,000.00
Legal Description: CITY OF MUSKEGON REVISED PLAT OF 1903 E 66 FT LOT 16 BLK
49 EXC S 2 RODS
Address: 594 ORCHARD AVE, MUSKEGON, MI 49442
Parcel #: 61-24-205-049-0016-40
Price: $2,000.00
Page 130 of 290
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: November 10, 2025 Title: FY26 State Revolving Fund Engineering
Services
Submitted by: Dan VanderHeide, Public Works Department: Public Works
Director
Brief Summary:
Staff requests authorization to enter into two contracts with Prein & Newhof in the total amount of
$839,700 for design and construction engineering services related to the FY26 DWSRF and CWSRF
programs, associated projects and service line replacements.
Detailed Summary & Background:
The City is again fortunate to have been offered loans, grants and principal forgiveness through
the FY26 Drinking Water State Revolving Fund (DWSRF) and the Clean Water State Revolving Fund
(CWSRF) programs through the State of Michigan Department of Environment, Great Lakes &
Energy (EGLE). Specifically, the City has been offered a combination of grants and principal
forgiveness totaling 28% funding, with the remaining 72% eligible for a 20-year loan at a 2%
interest rate which is well below market.
Due to scoring requirements, several projects were included in the City's application and must be
completed under the program in order to take advantage of the principle forgiveness (most of
which is associated with the lead service line replacement work). The overall budget for the
projects is $14,450,000. Note that these represent the amounts the City is eligible for, and
construction costs may be different once fully designed. Specifically, the program includes:
The Glenside/9th Project includes 9th Street from Keating to Shelby, which will loop a dead end
water main and provide better interconnects between the City's transmission mains, and work in
Glenside to continue moving sewer and water mains from the alleys to the streets (work will occur
on Hadden, Lexington, Randolph and Winchester, all west of Wickham).
Depending on bid prices, it is anticipated the FY26 program will replace up to 700 lead service
lines. The debt service fees the SRF-eligible portion of the program are expected to add to the
water bill are estimated at $1.62 per month for a water residential account and at $1.33 for a
sewer residential account, for a total of $2.95 per month which would begin impacting customer's
bills in FY28 or FY29. Portions of the engineering work required for these projects are included in
the 25/26 budget and should they move forward, the projects will continue to have allocations
included in the 26/27 and 27/28 fiscal year budgets. The engineering costs are eligible for the
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principle forgiveness and bond at the same cost split as the construction work.
A qualifications-based process was used in 2019 that shortlisted Prein & Newhof along with two
other firms to provide engineering services for these projects. Staff solicited proposals from Prein &
Newhof which total $1,113,600, split into one contract for the lead service line replacements and
a second contract for the remainder of the projects. Prein & Newhof has already performed
about 25% of the design work on the Glenside project for a prior SRF funding round, which the
City elected not to take advantage of at that time due to system finances. The staff has
reviewed the proposals and feels Prein & Newhof are best suited to handle these projects based
on their experience and their intimate familiarity with our water system, the DWSRF program, and
their history of exemplary performance on similar projects over the past several years.
Goal/Action Item:
2027 GOAL 4: FINANCIAL INFRASTRUCTURE - Reliable and efficient short and long term financial
practices
Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:
Amount Requested: Budgeted Item:
$839,700 Yes X No N/A
Fund(s) or Account(s): Budget Amendment Needed:
590 (Sewer), 591 (Water) Yes No X N/A
Recommended Motion:
Move to authorize staff to enter into two contracts with Prein & Newhof in the total amount of
$839,700 for design and construction engineering services related to the FY26 DWSRF and CWSRF
programs, associated projects and service line replacements.
Approvals: Name the Policy/Ordinance Followed:
Immediate Division X Purchasing Policy
Head
Information
Technology
Other Division Heads X
Communication
Legal Review
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October 20, 2025
Mr. Dan VanderHeide, P.E.
City of Muskegon
Department of Public Works
1350 Keating Avenue
Muskegon, MI 49442
Re: Proposal for Professional Engineering Services
FY 26 SRF/DWRF Implementation – Distribution and Collections
Dear Mr. VanderHeide:
We appreciate this opportunity to provide a proposal for professional engineering services to assist
you with your SRF/DWRF projects for Fiscal Year 2026. This is a continuation of services for
projects outlined in your 2023 Project Plans for Water and Wastewater system improvements.
The specific projects covered under this proposal include the following:
Glenside Phase II – Hadden Street (Design is Complete) plus Winchester Drive west of
Wickham.
9th Street – Keating Ave. to Shelby St.
We have reviewed the projects and have developed the following scope of services based on the
project descriptions in the SRF and DWRF Project Plans. We assume that the City will follow the 4 th
quarter funding schedule, which requires project documents to be completed and ready for bidding
by spring 2026, and construction will occur through the 2027 construction season. We have also
assumed these projects will be in a separate loan as the lead service line replacement project and will
have a reduced environmental review effort.
Design and Bidding Phase
Gather and review record plans, private utility information and any available records
pertinent to the proposed project areas;
Complete topographic survey of all projects;
Complete approximately one soil boring per 500 feet of project length for 9 th Street, borings
for Glenside Phase II and Winchester were previously completed;
Complete design of proposed sanitary sewer, water main, service laterals, water services and
road reconstruction as detailed in the SRF and DWRF Project Plans;
Assist City in tracking and developing Consent to Access documents for replacement of
water services and sanitary sewer services on private property;
Review limits of Glenside Phase II in relation to the additional work on Winchester and make
adjustments as necessary to provide a constructible project to fit in the construction season
and to combine the projects or split the limits into two projects if necessary;
Attend three design review meetings;
Prepare and submit permit applications (City to pay any permit fees);
4910 Stariha Drive Muskegon, MI 49441 t. 231-798-0101 f. 231-798-0337 www.preinnewhof.com
R:\PRP - Proposal Preparation\City of Muskegon\2025-10 FY26 SRF DWRF\prp 2025-10-17 VanderHeide.doc
Page 133 of 290
Mr. Dan VanderHeide
October 20, 2025
Page 2
Prepare opinion of probable cost based on final design;
Prepare Alternative Justifiable Expense (AJE);
Prepare project specifications including specific SRF/DWRF requirements;
Assist City with preparation of bidding packages (assumes 2 contracts) and contract
documents;
Assist City with advertising for bids, providing responses to questions, preparing addendums;
Attend pre-bid meeting and prepare minutes;
Review bids, prepare bid tabulations, and provide recommendations;
Assist City with Parts I, II, and III SRF and DWRF forms and administration;
Prepare Notice of Award and Notice to Proceed; and
Assist City with preparation of final contracts for signing by Contractor
Construction Phase
Schedule and attend preconstruction meetings and prepare minutes;
Track and review shop drawings;
Provide construction staking;
Provide testing (soil density, gravel, asphalt, and concrete, etc.);
Provide construction observation for all utility work and reconstruction of Hadden Street
assuming 21 weeks of construction. This will require two Construction Observers at certain
times (1,210 hours estimated);
Provide construction observation for all utility work and reconstruction of Winchester Street
assuming 11 weeks of construction, (660 hours estimated);
Provide construction observation for all utility work and reconstruction of 9 th Street assuming
2 weeks of construction, (100 hours estimated);
Schedule and attend monthly progress meetings for each contract as needed, and prepare
minutes for each;
Respond to RFIs, prepare payment applications and change orders;
Assist with SRF/DWRF administration;
Prepare punch lists and close out documents; and
Complete record plans and property iron replacement following completion.
Fee
Based on the scope of work described above, we propose completing the work for a not to exceed
cost of $579,800. Our estimated time/work level of effort is attached. Our hourly rates are adjusted
each January, we have included an increase of 4% in hourly rates in 2026 and 2027.
Please note that there are still some uncertainties in the projects that may not have been accounted
for. Once the construction contracts are awarded and construction schedules are provided, we will
review the hours allocated for the construction phase services with you to determine whether
adjustments need to be made.
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Page 134 of 290
Mr. Dan VanderHeide
October 20, 2025
Page 3
Thank you for the opportunity to provide this proposal. Please contact us if you have any questions.
Sincerely,
Prein&Newhof
Barbara E. Marczak, P.E. Jason Washler, P.E.
Enclosures: Estimated work effort/fee, Professional Services Agreement
R:\PRP - Proposal Preparation\City of Muskegon\2025-10 FY26 SRF DWRF\prp 2025-10-17 VanderHeide.doc
Page 135 of 290
Professional Hours Worksheet
City of Muskegon - SRF/DWRF 2026
Staff Member Total Cost
Preliminary Design
Kickoff Meeting $2,300
Preliminary Engineering $4,400
Meeting with Stakeholders for Glenside $4,000
Soil Borings (9th) $3,800
Base Mapping (Glenside III) $4,800
Topo Survey (9th) $5,700
Glenside III Sanitary Lateral Survey Review $9,200
QA/QC $1,500
Review Meeting $2,100
Preliminary Subtotals $37,800
Design Glenside II
Hadden Design $5,200
SESC Permit Application $400
EGLE Sewer Permit Application $200
EGLE Water Permit Applications - Received $100
Specifications for Hadden $500
Cost Estimate $2,100
QA/QC $500
Design Glenside III
Easements water services and sanitary laterals $3,000
Glenside III Design $35,600
Glenside Staging, Phasing Design $600
SESC Permit Application $400
EGLE Sewer Permit Application $400
EGLE Water Permit Application $400
Specifications for Phase III $3,100
Meeting w/ Client (1) $1,000
Cost Estimate $3,300
QA/QC $6,700
2025 Rates Increase $2,200
Page 1 of 3
Page 136 of 290
Professional Hours Worksheet
City of Muskegon - SRF/DWRF 2026
Staff Member Total Cost
Design 9th
Easements water services $300
9th Design $6,900
SESC Permit Application $800
EGLE Water Permit Application $1,100
Specifications for 9th $2,200
Meeting w/ Client (1) $1,000
Cost Estimate $1,200
QA/QC $2,100
2025 Rates Increase $600
Design Subtotals $81,900
Bid Phase
Advertise and Issue Bid Package $3,500
Bidder Questions $900
Pre-bid Meeting $1,000
Addenda $2,100
Attend Bid $400
Review Bids/Recommend Award $2,200
Prepare Contracts-SRF/DWRF admin. $6,800
2025 Rates Increase $700
Bid Phase Subtotals $17,600
Construction Engineering Services
Hadden
Preconstruction Meeting and Minutes $1,300
Preconstruction Video (2 hours ) $200
Construction Staking Hadden $35,000
Hadden CO (21 weeks, 110 days) $153,800
Project Administration $25,100
Respond to RFIs $2,200
Change Orders (3 per contract) $5,200
Pay Apps (5) $3,600
Progress Meetings (monthly per contract) $3,300
Punch List Visits (2) $4,900
Record Plans/Closeout $11,000
Iron Replacement (Included in survey) $0
2025 Rates Increase $20,000
Page 2 of 3
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Professional Hours Worksheet
City of Muskegon - SRF/DWRF 2026
Staff Member Total Cost
Winchester (Single contract with Phase II)
Preconstruction Meeting and Minutes $0
Preconstruction Video (2 hours ) $0
Construction Staking Glenside III $18,400
Winchester CO (11 weeks, 66 days) $77,200
Project Administration $18,500
Respond to RFIs $2,200
Change Orders (3 per contract) $1,300
Pay Apps (4) $1,800
Progress Meetings (monthly per contract) $3,900
Punch List Visits (2) $3,000
Record Plans/Closeout $7,600
Iron Replacement (Included in survey) $0
2025 Rates Increase $10,900
9th
Preconstruction Meeting and Minutes $1,300
Preconstruction Video $100
Construction Staking 9th $3,700
9th CO (2 weeks, 10 days) $15,100
Project Administration $2,500
Respond to RFIs $900
Change Orders (1 per contract) $800
Pay Apps (2) $900
Progress Meetings not included $0
Punch List Visits (1) $1,100
Record Plans/Closeout $2,600
Iron Replacement (Included in survey) $700
2025 Rates Increase $2,400
Construction Engineering Subtotals $442,500
Project Grand Total $579,800
Page 3 of 3
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October 20, 2025
Mr. Dan VanderHeide, P.E.
City of Muskegon
Department of Public Works
1350 Keating Avenue
Muskegon, MI 49442
Re: Proposal for Professional Engineering Services for Drinking State Water Revolving Fund
(DWSRF) 2026 Implementation for Lead Service Line Replacements
Dear Mr. VanderHeide:
We are submitting this proposal to provide professional engineering services to assist you with the
FY 2026 Lead Service Line replacement project. This project will be funded through the Michigan
Department of Environment, Great Lakes, and Energy’s (EGLE’s) DWSRF program. The City will
be receiving a $5,000,000 loan for lead service line replacements, with 50% principal forgiveness.
It is our understanding that the funding will be used to replace approximately 600 lead/galvanized
water services. We have developed the following scope of services to assist you with engineering
design, bidding and construction phase services for this work. We assume that the construction will
be completed over a three-year period to provide optimal contractor availability, flexibility and the
best pricing opportunities. Our fee is based on 600 services being replaced. Unlike the watermain
and sewer portions of the FY 2026 projects, this is considered an equivalency project and full
environmental and SHPO reviews are required.
Design Phase
Develop priority list for lead service line replacements in conjunction with City staff
Prepare maps showing replacement areas
Review locations in the field with City staff, if needed
Prepare/update project technical specifications including specific DWRF requirements
Prepare bidding and contract documents needed to meet City of Muskegon and
EGLE/DWRF requirements
Complete environmental and SHPO review as required by EGLE
Review draft documents with EGLE staff and prepare final documents based on comments
from EGLE
Assist City with communication with residents
Assist City with Part I, II and III DWRF Application forms
Bidding Assistance
Assist with advertising project to potential bidders
Answer questions during bidding and issue addenda if needed
Attend pre-bid meeting and prepare minutes
Review and tabulate bids
4910 Stariha Drive Muskegon, MI 49441 t. 231-798-0101 f. 231-798-0337 www.preinnewhof.com
R:\PRP - Proposal Preparation\City of Muskegon\2025-10-17 FY26 LSLR\prp 2025-10-20 LSL replacement.doc
Page 139 of 290
Mr. Dan VanderHeide, P.E.
October 20, 2025
Page 2
Review contractor references, if needed
Provide Notice of Award documentation to City and EGLE for project award
Assist with finalizing and distributing signed contracts
Prepare Notice to Proceed
Construction Phase
Schedule and attend preconstruction meeting and prepare minutes
Track and review submittals
Assist with resident communications
Provide construction observation services – We have assumed up to 750 hours of field
observation, 25 hours per week over 30 weeks.
Project administration - Respond to RFIs, prepare payment applications and change orders
(assumes 5 hours per week during the construction period noted above)
Assist with DWRF administration submittals
Prepare punch lists and close out documents
Complete service record drawings and update City GIS and LSL inventory following
completion of project.
Fee
Based on the scope of work and assumptions described above, we propose to complete the work for a not
to exceed cost of $259,900. Our hourly rates are adjusted each January; we have included an increase of
4% in hourly rates in 2026 and 2027. We propose to work on a time and expense basis. If the contractor
does work in a shorter time than expected, then our assumed hours will be less. Once the construction
contracts are awarded and a construction schedule is provided, we will review the hours allocated for the
construction phase services with you to determine whether adjustments need to be made.
If this proposal is acceptable to you, please sign and return the enclosed Professional Services
Agreement. We look forward to working with you and your staff on this project. Should you have
any questions, please contact us.
Sincerely,
Prein&Newhof
Barbara E. Marczak, P.E. Jason M. Washler, P.E.
Enclosures: Estimated work effort/fee
Professional Services Agreement
R:\PRP - Proposal Preparation\City of Muskegon\2025-10-17 FY26 LSLR\prp 2025-10-20 LSL replacement.doc
Page 140 of 290
Professional Hours Worksheet
City of Muskegon DWRF - FY 26 Lead Service
Line Replacements
2025 Hourly Billing Rate
Total Cost
Staff Member
Design
Kick-off Meeting $1,600
Environmental Review $9,300
Water Service Research $5,500
Lead Service Line Priority List $9,500
Lead Service Specifications $3,000
Review Meeting (1) $1,400
Bidding Documents $4,100
Cost Estimates $4,600
QA/QC $700
Part I, II, and III DWRF Applications $6,700
Design Subtotals $46,400
Bid, Award, and Contract Phase
Advertise and Issue Bid Package $400
Prebid Meeting/Minutes/Bidder Questions $1,500
Addenda $900
Attend Bid Opening $800
Review Bids/Recommend Award $1,600
Notice to Proceed / Contract Documents $900
Bid, Award, and Contract Phase Subtotals $6,100
Construction Engineering Services
Preconstruction Meetings and Minutes $1,700
Track and Review Submittals $4,600
LSL Observation Year (30 weeks @ 25 hr/week) $90,300
Project Administration/DWRF Assistance (30 months) $20,300
Respond to RFIs $6,300
Change Orders (4) $11,300
Pay Apps (10) $7,700
Progress Meetings/Minutes (not included) $0
Punch List Visits/Follow up (5) $6,300
Record Plans/GIS update/Closeout $30,700
Rate Adjustment over 3 years $28,200
Construction Engineering Subtotals $207,400
Project Grand Total $259,900
Page 1 of 1
Page 141 of 290
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: November 10, 2025 Title: Beach Pass Online Discount
Submitted by: Debra Matz, Public Safety Department: Public Safety
Administrative Supervisor
Brief Summary:
Request to give a discount to patrons who purchase their annual beach parking permits on the
portal.
Detailed Summary & Background:
As we introduce our new license plate reader program for beach passes, a portal is available for the
public to purchase all beach passes. As an incentive to encourage people to use the portal, we
would like to offer a $4.00 discount for annual passes purchased on the portal.
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:
Approve $4.00 discount for patrons who purchase annual beach passes on the new portal.
Approvals: Name the Policy/Ordinance Followed:
Immediate Division
Head
Information
Technology
Other Division Heads
Communication
Legal Review
Page 142 of 290
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: November 10, 2025 Title: Rezoning of 560 Mart St from Waterfront
Marine (WM) to Waterfront Industrial PUD (WI-
PUD).
Submitted by: Mike Franzak, Planning Director Department: Planning
Brief Summary:
Request to rezone a portion of the property at 560 Mart St from Waterfront Marine (WM) to Waterfront
Industrial PUD (WI-PUD), by West Michigan Dock & Market Corp.
Detailed Summary & Background:
The applicant is requesting to rezone 23.5 acres of the 43.5 acre site to WI-PUD. The area to be
rezoned is located behind the existing security fence (please see attachment). This area has
historically been used for port-related activities. Although these uses are not allowed in the WM
zoning district, they are considered legally non-conforming (grandfathered). Rezoning this portion of
the property to WI-PUD would allow the applicant to apply for a PUD for port-related uses, which
would allow them to become legally-conforming. The rest of the parcel would remain under
Waterfront Marine (WM) zoning. Please see the enclosed zoning ordinance excerpts.
This rezoning request is related to the "land swap" project between the City, Mart Dock, and
Verplank. More information regarding the project can be found here: https://muskegon-
mi.civilspace.io/en/projects/connecting-community-to-the-water-ports-and-parks
The land swap project would help complete several goals identified in city plans, including the
following:
o Increasing publicly-accessible land along the waterfront - Imagine Muskegon Lake (page 10).
o Increasing publicly-accessible shoreline - Imagine Muskegon Lake (page 10)
o Increasing multi-use paths and trails align the shoreline - Imagine Muskegon Lake (page 10)
o Increasing mixed-use development along the waterfront - Imagine Muskegon Lake (page 11)
o Activating the Mart Dock property as an activity center - Imagine Muskegon Lake (page
37,40,41)
o Habitat restoration at the future park on the Verplank site - Imagine Muskegon Lake (page 59)
o Connecting the Western & Central Waterfront Districts to Downtown - Imagine Muskegon Lake
(page 15)
o Become regionally and nationally designated by organizations that will bring visibility and
economic development to Muskegon Lake - Master Plan (Economic Development, page 19)
o Improve the environmental quality of greenway corridors by cleaning up contaminated sites,
safeguarding areas highly susceptible to private land use, and reducing dumping - Master
Plan (Natural Features, page 13)
o Increase and enhance publicly-accessible amenities along the waterfront and soften
shorelines where possible - Master Plan (Economic Development, page 18)
Page 143 of 290
o Invest in placemaking opportunities that capitalize on community assets - Master Plan
(Economic Development, page 10)
o Increase access to the Muskegon Lake shoreline - Master Plan (Jackson Hill, page 11).
The Planning Commission recommended approval of the request by a 7-2 vote at their special
meeting on October 23.
Goal/Focus Area/Action Item Addressed:
Key Focus Areas:
zoning oridnance
Goal/Action Item:
2027 Goal 2: Economic Development Housing and Business
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 move that the request to rezone a portion of the property at 560 Mart St from Waterfront Marine to
Waterfront Industrial PUD be approved.
Approvals: Guest(s) Invited / Presenting:
Immediate Division X No
Head
Information
Technology
Other Division Heads
Communication
Legal Review
Page 144 of 290
Page 145 of 290
Page 146 of 290
Page 147 of 290
WI-PUD WATERFRONT INDUSTRIAL PLANNED UNIT DEVELOPMENT DISTRICTS
WI-PUD WATERFRONT INDUSTRIAL PLANNED UNIT DEVELOPMENT DISTRICTS
PREAMBLE
The Waterfront Industrial PUD district is established primarily for water-dependent, commercial shipping of
bulk, general cargo, or container goods by freighter, bulk carrier, tanker, tug barge, or other similar commercial
vessels. The WI-PUD District is intended to promote the consolidation of commercial port activities at the
eastern terminus of Muskegon Lake because of its proximity to the interstate, established industrial uses, and
isolation from residential zones. The intent is to localize this district to promote symbiotic relationships among
industrial port activities and to discourage the expansion of such activities elsewhere along Muskegon Lake
frontage. It is further the intent of this district to require planned unit developments for all projects to ensure a
mix of port uses that enhances the industrial economic base of the city. The planned unit development tool shall
be applied to promote flexibility in development and to enhance functional relationships among uses in the
district.
The general categories of uses permitted in the WI-PUD district are associated with standard industrial
classifications, major group industry 44, “Water Transportation” as found in the 1987 Standard Industrial
Classification Manual prepared by the Executive Office of the President, Office of Management and Budget.
SECTION 1504: USES PERMITTED
The following uses, and their accessory buildings and accessory uses, shall be permitted as planned unit
developments. Planned unit developments shall be reviewed and approved by the Planning Commission and
City Commission subject to the conditions outlined below.
PRINCIPAL USES:
1. Water transportation of freight.
2. Railroad and auto passenger ferries.
3. Marine cargo handling; loading, unloading and stevedore facilities.
4. Marine terminal uses including ancillary inter-modal transportation operations.
5. Any use with outside storage of aggregate, limestone, coal, slag, salt, sand or other bulk materials
shipped by commercial watercraft vessels and or barges.
6. Grain elevators.
7. Bulk and warehouse storage of goods shipped by commercial maritime vessels.
8. Towing and tugboat services for commercial freight water vessels.
9. Barge fleeting, mooring and servicing.
10. Lighterage.
11. Commercial engine and hull repair.
124
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WI-PUD WATERFRONT INDUSTRIAL PLANNED UNIT DEVELOPMENT DISTRICTS
12. Marine dock, breakwater, harbor construction and repair contracting.
13. Marine dredging contractors.
14. Palletizing, decanning, container stripping and packing operations associated with maritime shipping and
transport.
15. Bulk liquid facilities of non-hazardous materials.
16. Material recovery facilities that are entirely contained in buildings.
17. Commercial fishing facilities.
18. Manufacturing that is dependent on port facilities.
19. Any other uses which meet the intent of this district as deemed by the Planning Commission and City
Commission; except that in no case shall a prohibited use be permitted.
ACCESSORY USES:
1. Docks, wharves, piers or transit sheds or related facilities used in connection with the transfer, handling,
storage and transit and incidental processing of cargo from or to waterborne craft.
2. Truck or rail freight terminal supporting water freight transport.
3. Offices associated with port facilities and functions.
4. Parking decks.
5. Watchmen quarters employed on the premise.
6. Lift equipment to load and unload ships.
7. Weigh stations.
8. Lighthouse.
9. Fuel dock.
10. Seaplane base.
SECTION 1505: PROHIBITED USES
1. Asphalt batching.
2. Cement processing.
3. Storage of petroleum products stored in excess of 1,000 gallons.
4. Hazardous material or hazardous chemical storage or transport.
125
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WI-PUD WATERFRONT INDUSTRIAL PLANNED UNIT DEVELOPMENT DISTRICTS
5. Ship cleaning.
6. Salvage yards, ship scrapping, dismantling and wrecking operations not wholly contained in buildings.
7. Livestock holding.
8. Marine Salvage.
9. Open storage of fertilizers, agricultural lime and other chemicals.
10. Billboards.
SECTION 1506: REVIEW STANDARDS
The Planning Commission shall approve, deny or modify preliminary planned unit development plans, based
upon the site plan review and landscaping standards of this ordinance and the following standards below.
Likewise, the City Commission shall approve, deny, or modify final planned unit development plans (after review
and recommendation by the Planning Commission) based upon the following standards:
1. The uses proposed will have a beneficial effect, in terms of public health, safety, welfare, or convenience
of any combination thereof, on present and potential surrounding land uses. The uses proposed will not
adversely affect the public utility and circulation systems, surrounding properties, or the environment.
2. The uses proposed should be consistent with the land use plans adopted by the City.
3. The amount of open space provided is compatible with and meets the requirements of this ordinance,
which the Planning Commission or City Commission may modify, even though such modifications do not
conform to that required in other sections of this ordinance.
4. The amount of off-street parking areas is adequate, which the Planning Commission or City Commission
may modify even though such modifications do not conform to that required in other sections of this
ordinance.
5. The amount of landscaping and buffering areas provided are compatible with and meet the
requirements of this ordinance, which the Planning Commission or City Commission may modify even
though such modifications do not conform to that required in other sections of this ordinance.
6. The design provides for the protection or enhancement of significant natural, historical, or architectural
features within the proposed development area.
7. The uses proposed will result in safe, convenient, uncongested and well defined vehicular and pedestrian
circulation systems.
8. The land uses presented shall provide a mix of uses to perpetuate an economically viable, mixed use
port.
9. The project shall demonstrate adequate support services for all activities.
126
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WI-PUD WATERFRONT INDUSTRIAL PLANNED UNIT DEVELOPMENT DISTRICTS
10. Stockpiles of salt and agricultural lime must be covered or sufficiently isolated from the surface water to
prevent leaching.
11. Aggregate, salt, lime, or soil stockpiling areas shall not occupy more than 50% of the site or district.
12. Truck freight terminals shall not occupy more than 30% of the site area or district. Trucks shall be stored
a minimum of two hundred (200) feet from the ordinary high water mark.
SECTION 1507: AREA AND BULK REQUIREMENTS
The following are meant as general guidelines. Through the process of the Planned Unit Development process,
the Planning Commission may determine that changes to the standards are appropriate to both meet the needs
and objectives of the project and the city.
1. Minimum lot size: 43,560 sq. feet.
2. Maximum lot coverage:
Buildings: 75%
Pavement: 25%
3. Lot width: 150 feet (shall be measured at road frontage unless a cul-de-sac, then measured from
setback).
4. Width to depth ratios: The depth of any lot(s) or parcel(s) shall not be more than three (3) times longer
its width.
5. Height limit: 3 stories or 50 feet.
Height measurement: In the case of a principal building, the vertical distance measured from the average
finished grade to the highest point of the roof surface where the building line abuts the front yard, except
as follows: to the deck line of mansard roofs, and the average height between eaves and the ridge of
gable, hip, and gambrel roofs (see Figure 2-2). If the ground is not entirely level, the grade shall be
determined by averaging the elevation of the ground for each face of the building (see Figure 2-3).
6. Front Setbacks:
Minimum:
Expressway or Arterial Street: 30 feet
Collector or Major Street: 20 feet
Minor Street: 10 feet
7. Rear setback: 10 feet.
8. Setback from the ordinary high-water mark or wetland: 75 feet (principal structures only).
9. Side setbacks:
127
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WI-PUD WATERFRONT INDUSTRIAL PLANNED UNIT DEVELOPMENT DISTRICTS
1-story: 10 feet and 20 feet
2-story: 15 feet and 25 feet
3-story: 20 feet and 30 feet
Note, setback measurement: All required setbacks shall be measured from the right-of-way line to the
nearest point of the determined drip line of buildings.
10. Zero lot line option: New principal buildings may be erected on the rear lot line and/or one side lot line
provided:
a. The building has an approved fire rating for zero-lot line development under the building code.
b. The building has adequate fire access preserved pursuant to fire code requirements.
c. The zero lot line side is not adjacent to a street.
d. A maintenance access easement is granted by the adjacent property owner and recorded with
the County Register of Deeds and provided to the zoning administrator with the site plan or plot
plan.
e. It is not adjacent to wetlands, or waterfront.
11. All required side and rear setbacks shall be landscaped, greenbelt buffers, unless zero-lot-line is
employed for a structure or fire access. At least fifty percent of all required front setbacks shall be
landscaped and adjacent to the road right-of-way. An average minimum greenbelt of 10 feet shall be
maintained along each street frontage.
128
Page 152 of 290
ARTICLE XIX – WM WATERFRONT MARINE DISTRICTS
ARTICLE XIX – WM WATERFRONT MARINE DISTRICTS
PREAMBLE
The WM Waterfront Marine Districts are designed to accommodate boating and water-oriented land and
building use along with those activities and services related to harbor and waterway improvements, thereby
facilitating navigation, and providing safe and economical waterfront developments.
SECTION 1900: PRINCIPAL USES PERMITTED
In the WM Waterfront Marine District, no building or land shall be used and no building shall be erected,
structurally altered, be used and no building shall be erected, structurally altered, or occupied except for one
(1) or more of the following specified uses, unless otherwise provided in this Ordinance:
1. Marinas including the out of water seasonal storage of boats.
2. Commissary facilities for the provision of food, beverages, and the like to be stores aboard boats.
3. Municipal or private beaches.
4. Retail businesses which supply commodities for persons using the facilities of the District, such as the
sale of boats, engines and accessories, fishing equipment, and other similar items.
5. Restaurants and cocktail lounges.
6. Hotels and motels.
7. Accessory buildings and accessory uses customarily incidental to the above Principal Uses Permitted.
8. Uses similar to the above Principal Uses Permitted.
SECTION 1901: SPECIAL LAND USES PERMITTED
The following uses, and their accessory buildings and accessory uses, shall be permitted under the purview of
Section 2332 after review and approval of the use (and a site plan, if required) by the Planning Commission,
after Public Hearing, subject to the applicable conditions, and any other reasonable conditions imposed by the
Planning Commission:
1. Engine and hull repair shops.
2. Marine contracting.
3. Commercial fishing and processing facilities.
4. Accessory buildings and accessory uses customarily incidental to the above Special Land Uses Permitted.
5. Seasonal recreational camper, trailer parks and facilities.
6. Museums.
138
Page 153 of 290
ARTICLE XIX – WM WATERFRONT MARINE DISTRICTS
7. Uses similar to the above Special Land Uses Permitted.
SECTION 1902: PLANNED UNIT DEVELOPMENTS
Planned developments may be allowed by the Planning Commission under the procedural guidelines of Section
2101. The intent of Planned Unit Developments in the WM Waterfront Marine Districts is to allow mixed land
uses, which are compatible to each other, while prohibiting uses which would not be compatible or harmonious
with permitted uses.
SECTION 1903: AREA AND BULK REQUIREMENTS
1. Minimum lot size: 21,780 sq. feet.
2. Density (see definition in Article II): 24 dwelling units per buildable acre.
3. Dedicated open space requirement: 15%
4. Maximum lot coverage:
Buildings: 60%
Pavement: 25%
5. Lot width: 150 feet (shall be measured at road frontage unless a cul-de-sac, then measured from
setback).
6. Maximum building width: 50% (as a portion of the lot width).
7. Width to depth ratios: The depth of any lot(s) or parcel(s) shall not be more than three (3) times longer
its width.
8. Height limit: 4 stories or 60 feet
Height measurement: In the case of a principal building, the vertical distance measured from the average
finished grade to the highest point of the roof surface where the building line abuts the front yard, except
as follows: to the deck line of mansard roofs, and the average height between eaves and the ridge of
gable, hip, and gambrel roofs (see Figure 2-2). If the ground is not entirely level, the grade shall be
determined by averaging the elevation of the ground for each face of the building (see Figure 2-3).
9. Front Setbacks:
Minimum:
Expressway or Arterial Street: 30 feet
Collector or Major Street: 20 feet
Minor Street: 10 feet
10. Rear setback: 10 feet
11. Setback from the ordinary high-water mark or wetland: 75 feet (principal structures only).
139
Page 154 of 290
ARTICLE XIX – WM WATERFRONT MARINE DISTRICTS
12. Side setbacks:
1-story: 8 feet and 12 feet
2-story: 10 feet and 14 feet
3-story: 12 feet and 16 feet
4-story: 16 feet and 20 feet
Note, setback measurement: All required setbacks shall be measured from the right-of-way line to the
nearest point of the determined drip line of buildings.
13. Zero lot line option: New principal buildings may be erected on the rear lot line and/or one side lot line
provided:
a. The building has an approved fire rating for zero-lot line development under the building code.
b. The building has adequate fire access preserved pursuant to fire code requirements.
c. The zero lot line side is not adjacent to a street.
d. A maintenance access easement is granted by the adjacent property owner and recorded with
the County Register of Deeds and provided to the zoning administrator with the site plan or plot
plan.
e. It is not adjacent to wetlands, or waterfront.
14. All required side and rear setbacks shall be landscaped, greenbelt buffers, unless zero-lot-line is
employed for a structure or fire access. At least fifty percent of all required front setbacks shall be
landscaped and adjacent to the road right-of-way. An average minimum greenbelt of 10 feet shall be
maintained along each street frontage.
140
Page 155 of 290
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: November 10, 2025 Title: Rezoning of 501 E Western Ave from Open
Space Recreation (OSR) to Waterfront Industrial
PUD (WI-PUD).
Submitted by: Mike Franzak, Planning Director Department: Planning
Brief Summary:
Staff-initiated request to rezone 501 E Western Ave from Open Space Recreation (OSR) to Waterfront
Industrial PUD (WI-PUD).
Detailed Summary & Background:
Staff is requesting to rezone a portion of Fisherman's Landing (501 E Western) to WI-PUD to allow for
port activities on-site. Once the property is rezoned to WI-PUD, the owner would be able to apply for
a PUD for port-related activities. The remainder of the property will remain OSR zoning, and the boat
launch, fishing areas, and bathrooms will remain open to the public. About 3.5 of the 5 parking lots
on-site will remain (about 46 parking spaces to be eliminated). Please see the enclosed map
depicting the portion of the property to be rezoned and the zoning ordinance excerpts for WI-PUD
and OSR.
This rezoning request is related to the "land swap" project between the City, Mart Dock, and
Verplank. More information regarding the project can be found here: https://muskegon-
mi.civilspace.io/en/projects/connecting-community-to-the-water-ports-and-parks
The land swap project would help complete several goals identified in city plans, including the
following:
o Increasing publicly-accessible land along the waterfront - Imagine Muskegon Lake (page 10).
o Increasing publicly-accessible shoreline - Imagine Muskegon Lake (page 10)
o Increasing multi-use paths and trails align the shoreline - Imagine Muskegon Lake (page 10)
o Increasing mixed-use development along the waterfront - Imagine Muskegon Lake (page 11)
o Activating the Mart Dock property as an activity center - Imagine Muskegon Lake (page
37,40,41)
o Habitat restoration at the future park on the Verplank site - Imagine Muskegon Lake (page 59)
o Connecting the Western & Central Waterfront Districts to Downtown - Imagine Muskegon Lake
(page 15)
o Become regionally and nationally designated by organizations that will bring visibility and
economic development to Muskegon Lake - Master Plan (Economic Development, page 19)
o Improve the environmental quality of greenway corridors by cleaning up contaminated sites,
safeguarding areas highly susceptible to private land use, and reducing dumping - Master
Plan (Natural Features, page 13)
o Increase and enhance publicly-accessible amenities along the waterfront and soften
shorelines where possible - Master Plan (Economic Development, page 18)
Page 156 of 290
o Invest in placemaking opportunities that capitalize on community assets - Master Plan
(Economic Development, page 10)
o Increase access to the Muskegon Lake shoreline - Master Plan (Jackson Hill, page 11).
The Planning Commission recommended approval of the rezoning by a 7-2 vote at their special
meeting on October 23.
Goal/Focus Area/Action Item Addressed:
Key Focus Areas:
zoning ordinance
Goal/Action Item:
2027 Goal 2: Economic Development Housing and Business
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 move that the request to rezone a portion of the property at 501 E Western Ave from Open Space
Recreation to Waterfront Industrial PUD be approved.
Approvals: Guest(s) Invited / Presenting:
Immediate Division X No
Head
Information
Technology
Other Division Heads
Communication
Legal Review
Page 157 of 290
Page 158 of 290
Page 159 of 290
WI-PUD WATERFRONT INDUSTRIAL PLANNED UNIT DEVELOPMENT DISTRICTS
WI-PUD WATERFRONT INDUSTRIAL PLANNED UNIT DEVELOPMENT DISTRICTS
PREAMBLE
The Waterfront Industrial PUD district is established primarily for water-dependent, commercial shipping of
bulk, general cargo, or container goods by freighter, bulk carrier, tanker, tug barge, or other similar commercial
vessels. The WI-PUD District is intended to promote the consolidation of commercial port activities at the
eastern terminus of Muskegon Lake because of its proximity to the interstate, established industrial uses, and
isolation from residential zones. The intent is to localize this district to promote symbiotic relationships among
industrial port activities and to discourage the expansion of such activities elsewhere along Muskegon Lake
frontage. It is further the intent of this district to require planned unit developments for all projects to ensure a
mix of port uses that enhances the industrial economic base of the city. The planned unit development tool shall
be applied to promote flexibility in development and to enhance functional relationships among uses in the
district.
The general categories of uses permitted in the WI-PUD district are associated with standard industrial
classifications, major group industry 44, “Water Transportation” as found in the 1987 Standard Industrial
Classification Manual prepared by the Executive Office of the President, Office of Management and Budget.
SECTION 1504: USES PERMITTED
The following uses, and their accessory buildings and accessory uses, shall be permitted as planned unit
developments. Planned unit developments shall be reviewed and approved by the Planning Commission and
City Commission subject to the conditions outlined below.
PRINCIPAL USES:
1. Water transportation of freight.
2. Railroad and auto passenger ferries.
3. Marine cargo handling; loading, unloading and stevedore facilities.
4. Marine terminal uses including ancillary inter-modal transportation operations.
5. Any use with outside storage of aggregate, limestone, coal, slag, salt, sand or other bulk materials
shipped by commercial watercraft vessels and or barges.
6. Grain elevators.
7. Bulk and warehouse storage of goods shipped by commercial maritime vessels.
8. Towing and tugboat services for commercial freight water vessels.
9. Barge fleeting, mooring and servicing.
10. Lighterage.
11. Commercial engine and hull repair.
124
Page 160 of 290
WI-PUD WATERFRONT INDUSTRIAL PLANNED UNIT DEVELOPMENT DISTRICTS
12. Marine dock, breakwater, harbor construction and repair contracting.
13. Marine dredging contractors.
14. Palletizing, decanning, container stripping and packing operations associated with maritime shipping and
transport.
15. Bulk liquid facilities of non-hazardous materials.
16. Material recovery facilities that are entirely contained in buildings.
17. Commercial fishing facilities.
18. Manufacturing that is dependent on port facilities.
19. Any other uses which meet the intent of this district as deemed by the Planning Commission and City
Commission; except that in no case shall a prohibited use be permitted.
ACCESSORY USES:
1. Docks, wharves, piers or transit sheds or related facilities used in connection with the transfer, handling,
storage and transit and incidental processing of cargo from or to waterborne craft.
2. Truck or rail freight terminal supporting water freight transport.
3. Offices associated with port facilities and functions.
4. Parking decks.
5. Watchmen quarters employed on the premise.
6. Lift equipment to load and unload ships.
7. Weigh stations.
8. Lighthouse.
9. Fuel dock.
10. Seaplane base.
SECTION 1505: PROHIBITED USES
1. Asphalt batching.
2. Cement processing.
3. Storage of petroleum products stored in excess of 1,000 gallons.
4. Hazardous material or hazardous chemical storage or transport.
125
Page 161 of 290
WI-PUD WATERFRONT INDUSTRIAL PLANNED UNIT DEVELOPMENT DISTRICTS
5. Ship cleaning.
6. Salvage yards, ship scrapping, dismantling and wrecking operations not wholly contained in buildings.
7. Livestock holding.
8. Marine Salvage.
9. Open storage of fertilizers, agricultural lime and other chemicals.
10. Billboards.
SECTION 1506: REVIEW STANDARDS
The Planning Commission shall approve, deny or modify preliminary planned unit development plans, based
upon the site plan review and landscaping standards of this ordinance and the following standards below.
Likewise, the City Commission shall approve, deny, or modify final planned unit development plans (after review
and recommendation by the Planning Commission) based upon the following standards:
1. The uses proposed will have a beneficial effect, in terms of public health, safety, welfare, or convenience
of any combination thereof, on present and potential surrounding land uses. The uses proposed will not
adversely affect the public utility and circulation systems, surrounding properties, or the environment.
2. The uses proposed should be consistent with the land use plans adopted by the City.
3. The amount of open space provided is compatible with and meets the requirements of this ordinance,
which the Planning Commission or City Commission may modify, even though such modifications do not
conform to that required in other sections of this ordinance.
4. The amount of off-street parking areas is adequate, which the Planning Commission or City Commission
may modify even though such modifications do not conform to that required in other sections of this
ordinance.
5. The amount of landscaping and buffering areas provided are compatible with and meet the
requirements of this ordinance, which the Planning Commission or City Commission may modify even
though such modifications do not conform to that required in other sections of this ordinance.
6. The design provides for the protection or enhancement of significant natural, historical, or architectural
features within the proposed development area.
7. The uses proposed will result in safe, convenient, uncongested and well defined vehicular and pedestrian
circulation systems.
8. The land uses presented shall provide a mix of uses to perpetuate an economically viable, mixed use
port.
9. The project shall demonstrate adequate support services for all activities.
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WI-PUD WATERFRONT INDUSTRIAL PLANNED UNIT DEVELOPMENT DISTRICTS
10. Stockpiles of salt and agricultural lime must be covered or sufficiently isolated from the surface water to
prevent leaching.
11. Aggregate, salt, lime, or soil stockpiling areas shall not occupy more than 50% of the site or district.
12. Truck freight terminals shall not occupy more than 30% of the site area or district. Trucks shall be stored
a minimum of two hundred (200) feet from the ordinary high water mark.
SECTION 1507: AREA AND BULK REQUIREMENTS
The following are meant as general guidelines. Through the process of the Planned Unit Development process,
the Planning Commission may determine that changes to the standards are appropriate to both meet the needs
and objectives of the project and the city.
1. Minimum lot size: 43,560 sq. feet.
2. Maximum lot coverage:
Buildings: 75%
Pavement: 25%
3. Lot width: 150 feet (shall be measured at road frontage unless a cul-de-sac, then measured from
setback).
4. Width to depth ratios: The depth of any lot(s) or parcel(s) shall not be more than three (3) times longer
its width.
5. Height limit: 3 stories or 50 feet.
Height measurement: In the case of a principal building, the vertical distance measured from the average
finished grade to the highest point of the roof surface where the building line abuts the front yard, except
as follows: to the deck line of mansard roofs, and the average height between eaves and the ridge of
gable, hip, and gambrel roofs (see Figure 2-2). If the ground is not entirely level, the grade shall be
determined by averaging the elevation of the ground for each face of the building (see Figure 2-3).
6. Front Setbacks:
Minimum:
Expressway or Arterial Street: 30 feet
Collector or Major Street: 20 feet
Minor Street: 10 feet
7. Rear setback: 10 feet.
8. Setback from the ordinary high-water mark or wetland: 75 feet (principal structures only).
9. Side setbacks:
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WI-PUD WATERFRONT INDUSTRIAL PLANNED UNIT DEVELOPMENT DISTRICTS
1-story: 10 feet and 20 feet
2-story: 15 feet and 25 feet
3-story: 20 feet and 30 feet
Note, setback measurement: All required setbacks shall be measured from the right-of-way line to the
nearest point of the determined drip line of buildings.
10. Zero lot line option: New principal buildings may be erected on the rear lot line and/or one side lot line
provided:
a. The building has an approved fire rating for zero-lot line development under the building code.
b. The building has adequate fire access preserved pursuant to fire code requirements.
c. The zero lot line side is not adjacent to a street.
d. A maintenance access easement is granted by the adjacent property owner and recorded with
the County Register of Deeds and provided to the zoning administrator with the site plan or plot
plan.
e. It is not adjacent to wetlands, or waterfront.
11. All required side and rear setbacks shall be landscaped, greenbelt buffers, unless zero-lot-line is
employed for a structure or fire access. At least fifty percent of all required front setbacks shall be
landscaped and adjacent to the road right-of-way. An average minimum greenbelt of 10 feet shall be
maintained along each street frontage.
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ARTICLE XVII – OSR OPEN SPACE RECREATION DISTRICTS
ARTICLE XVII – OSR OPEN SPACE RECREATION DISTRICTS
PREAMBLE
The OSR Open Space Recreation Districts are intended to provide for permanent open spaces in the City and are
designed to provide recreational activities that are limited to country clubs, marinas, and the like. These Districts
are further intended to safeguard the natural features of the City, and the health, safety, and welfare of the
citizens of Muskegon and the adjacent area by limiting developments to locations where police and fire
protection, or protection against flooding by high water table or storm water, or dangers from excessive erosion
are not possible without excessive costs to the City.
SECTION 1700: PRINCIPAL USES PERMITTED
In the OSR Open Space Recreation Districts, no building or land shall be used and no building shall be erected,
structurally altered, or occupied except for one (1) or more of the following specified used, unless otherwise
provided in this Ordinance:
1. Fishing docks and piers.
2. Hiking, bicycling, jogging, or ski trails.
3. Wildlife preserves or refuge structures.
4. Watershed or erosion protection facilities.
5. Parks, playgrounds, and playfields.
6. Accessory uses customarily incidental to the above Principal Uses Permitted.
7. Uses similar to the above Principal Uses Permitted.
SECTION 1701: SPECIAL LAND USES PERMITTED
The following uses, and their accessory buildings and accessory uses, shall be permitted under the purview of
Section 2332 after review and approval of the use (and a site plan, if required) by the Planning Commission,
after Public Hearing, subject to the applicable conditions, and any other reasonable conditions imposed by the
Planning Commission:
1. Country clubs.
2. Marinas for the berthing and servicing of boats, but without major repair or storage facilities.
3. Public and private utilities and services.
4. Seasonal, recreational, campers and trailer parks, and facilities.
5. Amusement facilities excepting outdoor theaters, adult theaters, and adult bookstores.
6. Seasonal or year-round craft shops.
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ARTICLE XVII – OSR OPEN SPACE RECREATION DISTRICTS
7. Conference and reception auditoriums.
8. Galleries and museums.
9. Open air amphitheaters.
10. Restaurants and cocktail lounges.
11. Any other similar uses or activity requiring buildings or structures.
12. Accessory buildings and accessory uses customarily incidental to the above Special Land Uses Permitted.
13. Uses similar to the above Special Land Uses Permitted.
SECTION 1702: PLANNED UNIT DEVELOPMENTS
Planned developments may be allowed by the Planning Commission under the procedural guidelines of Section
2101. The intent of Planned Unit Developments in the OSR Open Space Recreation Districts is to allow mixed
land uses which are compatible to each other, while prohibiting uses which would not be compatible or
harmonious with permitted uses.
SECTION 1703: AREA AND BULK REQUIREMENTS
1. Minimum lot size: 21,780 sq. feet.
2. Maximum lot coverage:
Buildings: 20%
Pavement: 15%
3. Lot width: 100 feet (shall be measured at road frontage unless a cul-de-sac, then measured from
setback).
4. Width to depth ratios: The depth of any lot(s) or parcel(s) shall not be more than three (3) times longer
its width.
5. Height limit: 2 stories or 35 feet.
Height measurement: In the case of a principal building, the vertical distance measured from the average
finished grade to the highest point of the roof surface where the building line abuts the front yard, except
as follows: to the deck line of mansard roofs, and the average height between eaves and the ridge of
gable, hip, and gambrel roofs (see Figure 2-2). If the ground is not entirely level, the grade shall be
determined by averaging the elevation of the ground for each face of the building (see Figure 2-3).
6. Front Setbacks:
Minimum:
Expressway or Arterial Street: 30 feet
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ARTICLE XVII – OSR OPEN SPACE RECREATION DISTRICTS
Collector or Major Street: 20 feet
Minor Street: 10 feet
7. Rear setback: 10 feet
8. Setback from the ordinary high-water mark or wetland: 75 feet (principal structures only).
9. Side setbacks:
1-story: 6 feet and 10 feet
2-story: 8 feet and 12 feet
Note, setback measurement: All required setbacks shall be measured from the right-of-way line to the
nearest point of the determined drip line of buildings.
10. Zero lot line option: New principal buildings may be erected on the rear lot line and/or one side lot line
provided:
a. The building has an approved fire rating for zero-lot line development under the building code.
b. The building has adequate fire access preserved pursuant to fire code requirements.
c. The zero lot line side is not adjacent to a street.
d. A maintenance access easement is granted by the adjacent property owner and recorded with
the County Register of Deeds and provided to the zoning administrator with the site plan or plot
plan.
e. It is not adjacent to wetlands, or waterfront.
11. All required side and rear setbacks shall be landscaped, greenbelt buffers, unless zero-lot-line is
employed for a structure or fire access. At least fifty percent of all required front setbacks shall be
landscaped and adjacent to the road right-of-way. An average minimum greenbelt of 10 feet shall be
maintained along each street frontage.
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Page 168 of 290
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: November 10, 2025 Title: Harbor 31 Development and
Reimbursement Agreement
Submitted by: Jocelyn Hines, Development Department: Economic Development
Analyst
Brief Summary:
Harbor 31 Hotel is seeking approval of their development and reimbursement agreement for their
hotel at 181 and 201 Viridian Dr.
Detailed Summary & Background:
The draft Development and Reimbursement Agreement between the Brownfield Redevelopment
Authority (BRA), the City of Muskegon, and the developer extends through 2047 or until all eligible
activities have been reimbursed through tax increment financing (TIF) capture, whichever occurs first.
Brownfield Plan Amendment No. 1 was presented to the BRA on November 10, 2025, to incorporate
state school tax capture for reimbursement of eligible non-environmental activities.
The Development and Reimbursement Agreement complements the Brownfield Plan Amendment by
defining the specific terms, conditions, and timeline for reimbursement.
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 approve the Development and Reimbursement Agreement as presented and to authorize
the Chair to sign.
Approvals: Name the Policy/Ordinance Followed:
Immediate Division Act 381, Public Acts of Michigan, 1996, as
amended
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Head
Information
Technology
Other Division Heads
Communication
Legal Review
Page 170 of 290
DEVELOPMENT AND REIMBURSEMENT AGREEMENT
This DEVELOPMENT AND REIMBURSEMENT AGREEMENT (the “Agreement”)
is made on _________, ______, by and among the CITY OF MUSKEGON
BROWNFIELD REDEVELOPMENT AUTHORITY, a Michigan public body corporate
whose address is 933 Terrace Street, Muskegon, Michigan 49443 (the “Authority”), the
CITY OF MUSKEGON, a public body corporate whose address is 933 Terrace Street,
Muskegon, Michigan 49443 (the “City”), and Lakeshore Hotel Partners, LLC, a Michigan
limited liability company whose address is 2325 Belmont Center Drive NE, Belmont,
Michigan 49306 (the “Developer”).
RECITALS
A. Pursuant to P.A. 381 of 1996, as amended (“Act 381”), the Authority
approved and recommended a Brownfield Plan which was duly approved by the City (the
“Plan”). The Plan was amended on December 10, 2024 (the “Amendment,” and,
together with the Plan, the “Brownfield Plan” – See Exhibit A) to identify the construction
of a five-story hotel with 126 hotel rooms. The Plan Amendment was amended on _____
to allow for the state tax capture of eligible non-environmental activities.
B. The Brownfield Plan and Amendment includes specific eligible activities
associated with the Developer’s plan to develop land located at 181 & 201 Viridian Drive
in Muskegon, Michigan (collectively, the “Developer Property”).
C. The Developer is in the process of acquiring the Developer Property, which
is included in the Brownfield Plan as an “eligible property” because it was determined to
be a “facility”, as defined by Part 201 of the Natural Resources and Environmental
Protection Act (“Part 201”), or adjacent and contiguous to an “eligible property.”
D. The Developer intends to conduct eligible activities on the Developer
Property including the construction of a five-story hotel with 126 hotel rooms, 146 parking
spaces, and two elevators. Amenities include two meeting rooms, an indoor pool, a gym,
and a restaurant and bar on the fifth floor along with an outdoor patio and dining (the
“Project”), including department specific environmental activities, site preparation, a
15% contingency, 5% simple interest and brownfield plan preparation/implementation, as
described in the Amendment to the Brownfield Plan, with an estimated cost of $2,194,878
(the “Developer Eligible Activities”). All of the Developer Eligible Activities are eligible
for reimbursement under Act 381. The total cost of the Eligible Activities, including
contingencies and interest, are $2,194,878 (the “Total Eligible Brownfield TIF Costs”).
E. Act 381 permits the Authority to capture and use local and certain school
property tax revenues generated from the incremental increase in property value of a
redeveloped brownfield site constituting an “eligible property” under Act 381 (the
“Brownfield TIF Revenue”) to pay or to reimburse the payment of Eligible Activities
conducted on the “eligible property.” The Brownfield TIF Revenue will be used to
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reimburse the Developer for the Developer Eligible Activities incurred and approved for
the Project.
F. In accordance with Act 381, the parties desire to establish the procedure for
using the available Brownfield TIF Revenue generated from the Property to reimburse the
Developer for completion of Eligible Activities on the Property in an amount not to exceed
the Total Eligible Brownfield TIF Costs.
NOW, THERFORE, the parties agree as follows:
1. Reimbursement Source.
(a) During the Term (as defined below) of this Agreement, and except as set
forth in paragraph 2 below, the Authority shall reimburse the Developer for the costs of
their Eligible Activities conducted on the Developer Property from the Brownfield TIF
Revenue collected from the real and taxable personal property taxes on the Developer
Property. The amount reimbursed to the Developer for their Eligible Activities shall not
exceed the Total Eligible Brownfield TIF Costs, and reimbursements shall be made on
approved costs submitted and approved in connection with the Developer Eligible
Activities, as follows:
(i) the Authority shall pay 100% of available Brownfield TIF Revenue (except
the TIF Management Administrative Fee outlined in Section 1 (a)(ii)), to Developer
to reimburse the cost of the Developer Eligible Activities submitted and approved
for reimbursement by the Authority until Developer is fully reimbursed; and
(ii) Notwithstanding any provision in this Agreement to the contrary, the
Authority’s annual TIF Management Administrative Fee, as described in the
Brownfield Plan Amendment, shall be paid to the Authority each year to the extent
that Brownfield TIF Revenue has been captured and collected during that year,
prior to the payment of any Request for Cost Reimbursement.
(b) The Authority shall capture Brownfield TIF Revenue from the Property and
reimburse the Developer for their Eligible Activities until the earlier of the Developer being
fully reimbursed or December 31, 2044. Unless otherwise prepaid by the Authority,
payments to the Developer shall be made on a semi-annual basis as incremental local
taxes are captured and available.
(c) Following reimbursement of all amounts due the Developer and all amounts
payable to the Authority as Administrative Costs from applicable Tax Increment
Revenues, additional tax increment revenues will be deposited into the local brownfield
revolving fund (LBRF) for five full years, which is accordance with Section 13(5) of Act
381, which limits such deposits to be made for no more than 5 years after the time that
capture is required to pay the Eligible Costs.
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2. Developer Reimbursement Process.
(a) The Developer shall submit to the Authority, not more frequently than on a
quarterly basis, a “Request for Cost Reimbursement” for Developer Eligible Activities paid
for by the Developer during the prior period. All costs for the Developer Eligible Activities
must be consistent with the approved Brownfield Plan. The Developer must include
documentation sufficient for the Authority to determine whether the costs incurred were
for Developer Eligible Activities, including detailed invoices and proof of payment. Copies
of all invoices for Developer Eligible Activities must note what Developer Eligible Activities
they support.
(b) Unless the Authority disputes whether such costs are for Developer Eligible
Activities within thirty (30) days after receiving a Request for Cost Reimbursement from
the Developer, the Authority shall pay the Developer the amounts for which submissions
have been made pursuant to paragraph 2(a) of this Agreement in accordance with the
priority set forth in paragraph 1, from which the submission may be wholly or partially paid
from available Brownfield TIF Revenue from the Developer Property.
(i) The Developer shall cooperate with the Authority’s review of its
Request for Cost Reimbursement by providing supplemental information and
documentation which may be reasonably requested by the Authority.
(ii) If the Authority determines that requested costs are ineligible for
reimbursement, the Authority shall notify the Developer in writing of its reasons for
such ineligibility within the Authority’s thirty (30) day period of review. The
Developer shall then have thirty (30) days to provide supplemental information or
documents to the Authority demonstrating that the costs are for Developer Eligible
Activities and are eligible for reimbursement.
(c) If a partial payment is made to the Developer by the Authority because of
insufficient Brownfield TIF Revenue captured in the semi-annual period for which
reimbursement is sought, the Authority shall make additional payments toward the
remaining amount within thirty (30) days of its receipt of additional Brownfield TIF
Revenue from the Developer Property until all of the amounts for which submissions have
been made have been fully paid to the Developer, or by the end of the Term (as defined
below), whichever occurs first. The Authority is not required to reimburse the Developer
from any source other than Brownfield TIF Revenue.
(d) The Authority shall send all payments to the Developer by registered or
certified mail, addressed to the Developer at the address shown above, or by electronic
funds transfer directly to the Developer’s bank account. The Developer may change its
address by providing written notice sent by registered or certified mail to the Authority.
4. Term of Agreement.
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The Authority’s obligation to reimburse the Developer (and the Authority) for the
Total Eligible Brownfield TIF Costs incurred by each party under this Agreement shall
terminate the earlier of the date when all reimbursements to the Developer required under
this Agreement have been made or December 31, 2044 and the five additional years
(post developer reimbursement) of TIF capture for reimbursement into the LBRF have
been made or December 31, 2048 (the “Term”). If the Brownfield TIF Revenue ends
before all of the Total Eligible Brownfield TIF Costs have been fully reimbursed to the
Developer, the last reimbursement payment by the Authority shall be paid from the
summer and winter tax increment revenue collected during the final year of this
Agreement.
5. Adjustments.
If, due to an appeal of any tax assessment or reassessment of any portion of the
Developer Property, or for any other reason, the Authority is required to reimburse any
Brownfield TIF Revenue to any tax levying unit of government, the Authority may deduct
the amount of any such reimbursement, including interest and penalties, from any
amounts due and owing to the Developer. If all amounts due to the Developer under this
Agreement have been fully paid or the Authority is no longer obligated to make any further
payments to the Developer, the Authority shall invoice the Developer for the amount of
such reimbursement and the Developer shall pay the Authority such invoiced amount
within thirty (30) days of the receipt of the invoice. Amounts withheld by or invoiced and
paid to the Authority by the Developer pursuant to this paragraph shall be reinstated as
Developer Eligible Activities, respectively, for which the Developer shall have the
opportunity to be reimbursed in accordance with the terms, conditions, and limitations of
this Agreement. Nothing in this Agreement shall limit the right of the Developer to appeal
any tax assessment. In the event of a tax appeal, the term of the Plan made be extended
to cover the capture of eligible activities, but in all cases cannot extend beyond 30 years
from the initial date of capture.
6. Legislative Authorization.
This Agreement is governed by and subject to the restrictions set forth in Act 381.
If there is legislation enacted in the future that alters or affects the amount of Brownfield
TIF Revenue subject to capture, eligible property, or Eligible Activities, then the
Developer’s rights and the Authority’s obligations under this Agreement shall be modified
accordingly as required by law, or by agreement of the parties.
7. Notices.
All notices shall be given by registered or certified mail addressed to the parties at
their respective addresses as shown above. Any party may change the address by
written notice sent by registered or certified mail to the other party.
8. Assignment.
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This Agreement and the rights and obligations under this Agreement shall not be
assigned or otherwise transferred by any party without the consent of the other party,
which shall not be unreasonably withheld, provided, however, the Developer may assign
their interest in this Agreement to an affiliate without the prior written consent of the
Authority if such affiliate acknowledges its obligations to the Authority under this
Agreement upon assignment in writing on or prior to the effective date of such
assignment, provided, further, that the Developer may each make a collateral assignment
of their share of the Brownfield TIF Revenue for project financing purposes. As used in
this paragraph, “affiliate” means any corporation, company, partnership, limited liability
company, trust, sole proprietorship or other entity or individual which (a) is owned or
controlled by the Developer, (b) owns or controls the Developer or (c) is under common
ownership or control with the Developer. This Agreement shall be binding upon and inure
to the benefit of any successors or permitted assigns of the parties.
9. Entire Agreement.
This Agreement supersedes all agreements previously made between the parties
relating to the subject matter. There are no other understandings or agreements between
the parties.
10. Non-Waiver.
No delay or failure by either party to exercise any right under this Agreement, and
no partial or single exercise of that right, constitutes a waiver of that or any other right,
unless otherwise expressly provided herein.
11. Governing Law.
This Agreement shall be construed in accordance with and governed by the laws
of the State of Michigan.
12. Counterparts.
This Agreement may be executed in two or more counterparts, each of which shall
be deemed an original but all of which together shall constitute one and the same
instrument.
[Signature page follows]
5
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The parties have executed this Agreement on the date set forth above.
CITY OF MUSKEGON BROWNFIELD
REDEVELOPMENT AUTHORITY
_______________________________
By:
Its:
CITY OF MUSKEGON
_______________________________
By:
Its:
By:
Its:
Lakeshore Hotel Partners, LLC
_______________________________
By:
Its:
19886336-2
Signature Page to Development and Reimbursement Agreement
Page 176 of 290
EXHIBIT A
Copy of Brownfield Plan
7
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Act 381 Work Plan to Conduct MSF Non-Environmental
Activities for
Harbor 31 Hotel
181 and 201 Viridian Drive
Muskegon, Michigan 49440
Prepared For:
City of Muskegon Brownfield Redevelopment Authority
Muskegon, Michigan
October 6, 2025
Project No. 240340
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Table of Contents Fishbeck | Page i
1.0 Introduction ...................................................................................................................................................1
1.1 Proposed Redevelopment and Future Use for Each Eligible Property ..............................................1
1.2 Eligible Property Information ............................................................................................................1
1.2.1 Property Eligibility – Location/Legal Description .................................................................1
1.2.2 Current Ownership ..............................................................................................................2
1.2.3 Proposed Future Ownership ................................................................................................2
1.2.4 Delinquent Taxes, Interest, and Penalties............................................................................2
1.2.5 Existing and Proposed Future Zoning ..................................................................................2
1.3 Historical Use and Previous Ownership of Each Eligible Property ....................................................2
1.3.1 Historical Use .......................................................................................................................2
1.4 Current Use of Each Eligible Property ...............................................................................................3
1.5 Site Conditions and Known Environmental Contamination Summary ..............................................3
1.6 Functionally Obsolete, Blighted, and/or Historic Conditions ............................................................3
1.7 Information Required by Section 15(12) of the Statute....................................................................3
1.7.1 How are the individual activities included in the work plan sufficient to complete the
eligible activity? ...................................................................................................................3
1.7.2 How is each individual activity included in the work plan required to complete the eligible
activity?................................................................................................................................3
1.7.3 How were the costs for each individual activity determined to be reasonable? .................3
1.7.4 What is the overall benefit to the public? ...........................................................................3
1.7.5 What is the extent of reuse of vacant buildings and redevelopment of blighted property?
.............................................................................................................................................4
1.7.6 How many jobs will be created by the project and the type of jobs; (a) fulltime,
(b) part-time, (c) managerial, or (d) professional?...............................................................4
1.7.7 Is the eligible property in an area of high unemployment? .................................................4
1.7.8 What is the level and extent of contamination alleviated by or in connection with the
eligible activities?.................................................................................................................4
1.7.9 What is the level of private sector contribution? ................................................................4
1.7.10 If the developer or projected occupant of the new development is moving from another
location in this state, will the move create a brownfield? ...................................................4
1.7.11 Is the project financially and economically sound? Describe and demonstrate with a
project proforma, financial statements, or other acceptable documentation. ...................4
1.7.12 Identify the amount of all other anticipated state or local incentives that directly or
indirectly benefit this project...............................................................................................4
1.7.13 Any other criteria that MEDC may consider? ......................................................................4
2.0 Scope of Work and Costs ...............................................................................................................................5
2.1 EGLE Eligible Activities ......................................................................................................................5
2.2 MSF Eligible Activities .......................................................................................................................5
2.2.1 Site Demolition ....................................................................................................................5
2.2.2 Site Preparation ...................................................................................................................5
2.2.3 Contingency .........................................................................................................................5
2.2.4 Brownfield Plan and/or Work Plan Preparation...................................................................5
2.3 Local Only Eligible Activities ..............................................................................................................5
2.3.1 Department Specific Activities .............................................................................................5
2.3.2 Contingency (15%) ...............................................................................................................6
2.3.3 Interest ................................................................................................................................6
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Table of Contents Fishbeck | Page ii
2.3.4 Brownfield Plan and/or Work Plan Preparation...................................................................6
2.3.5 Brownfield Plan and/or Work Plan Implementation ............................................................6
2.4 Eligible Activities Costs and Schedule ...............................................................................................6
List of Figures
Figure 1 – Property Location Map
Figure 2 – Eligible Property Map(s)
Figure 3 – Color Site Photographs
Figure 4 – Redevelopment Site Plan
Figure 5 – Redevelopment Renderings
List of Tables
Table 1 – TIF Table (Summary of Eligible Costs)
Table 2 – TIF Table (Total Captured Incremental Taxes Schedule)
Table 3 – TIF Table (Estimated Reimbursement Schedule)
List of Attachments
Attachment A – Brownfield Plan, Resolution(s)
Attachment B – Development and Reimbursement Agreement
Attachment C – Eligibility Documentation
List of Abbreviations/Acronyms
BEA Baseline Environmental Assessment
Developer Lakeshore Hotel Partners, LLC
EGLE Michigan Department of Environment, Great Lakes, and Energy
ESA Environmental Site Assessment
FTE full-time equivalent
MEDC Michigan Economic Development Corporation
MSF Michigan Strategic Fund
NREPA Natural Resources and Environmental Protect Act
PA Public Act
PNA polynuclear aromatic hydrocarbon
Property 181 & 201 Viridian Drive, Muskegon, Michigan 49440
PUD Planned Unit Development
QLGU Qualified Local Governmental Unit
TIF tax increment financing
UST underground storage tank
VMS vapor mitigation system
VOC volatile organic compound
Work Plan Act 381 Work Plan
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October 6, 2025 Fishbeck | Page 1
1.0 Introduction
Lakeshore Hotel Partners, LLC (“Developer”) intends to redevelop two currently vacant parcels within the City of
Muskegon located at addresses 181 and 201 Viridian Drive, Muskegon, Michigan 49440 (the “Property”).
The City of Muskegon approved a Brownfield Plan Amendment for the project on December 10, 2024 and a First
Amendment to the Brownfield Plan Amendment and Development and Reimbursement Agreement on
_________. Refer to Tables 1, 2, and 3 for the Summary of Eligible Activities, the TIF Capture, and TIF
Reimbursement Schedules, respectively, from the Brownfield Plan Amendment #1. Copies of Amendment #1 of
the Brownfield Plan Amendment, including supporting Resolution are included as Attachment A, and a copy of the
Development and Reimbursement Agreement is included as Attachment B.
1.1 Proposed Redevelopment and Future Use for Each Eligible Property
The purpose of this Act 381 Work Plan (the “Work Plan”) is to provide for reimbursement of eligible activity
expenses incurred and to be incurred by the Developer on the Property and improvements that will directly
benefit the Property. The Developer is proposing to redevelop the Harbor 31 Element Hotel.
The proposed redevelopment activities for “Element Muskegon” include the construction of a five-story hotel
with 126 hotel rooms, 146 parking spaces, and two elevators. Amenities include two meeting rooms, an indoor
pool, a gym, and a restaurant and bar on the fifth floor along with an outdoor patio and dining. The total amount
of project investment is estimated to be $28,800,000 with 30–35 full-time equivalent jobs created as a result of
this development. Construction is expected to start in winter 2026 and be completed by fall 2027. The proposed
site plan is included in Figure 4.
This project serves a public purpose in the City of Muskegon, a Qualified Local Governmental Unit (QLGU),
expanding the tax base, investing significant capital into the community, and creating new jobs. Within walking
distance from both Muskegon Lake and Downtown Muskegon’s Social District, the Element Muskegon will be a
key part of the 31-acre lakefront Harbor 31 master-planned community, which includes homes, townhomes,
apartments, senior living, office space, and a marina for residents and visitors. There is no existing hotel or hotel
in development on this level of service within the region, so it will draw both community members and national
visitors looking to visit this region and Lake Michigan.
1.2 Eligible Property Information
1.2.1 Property Eligibility – Location/Legal Description
The Property has been historically utilized for industrial purposes dating back to the 1800s. Based on historical
environmental investigations conducted over the past 25 years, these past industrial uses have resulted in
widespread contamination across the Property.
The Developer is not a liable party and is in the process of completing a Phase I Environmental Site Assessment
(ESA) and a Baseline Environmental Assessment (BEA) in accordance with Part 201 of the Natural Resources and
Environmental Protect Act, 1995 Public Act (PA) 451, as amended (NREPA), which will be completed when they
acquire the property.
Given the known soil contamination, the Property is a “facility” pursuant to Part 201 of NREPA. As such, it is
considered an “eligible property” as defined by the Michigan Redevelopment Financing Act, Act 381 of 1996.
Historic environmental data tables and associated sample location maps are provided in Attachment C.
The parcels associated with redevelopment are described below.
Parcel ID: 61-24-607-000-0007-00
Address: 181 Viridian Drive, Muskegon, Michigan 49440
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Size: Approximately 0.99 acres
Legal Description: CITY OF MUSKEGON MUSKEGON LAKESHORE SMARTZONE UNIT G FIFTH AMEND TO MASTER
DEED L/P 4292/128 SUBJ TO ELECTRIC ESMT REC L/P 3591/578 SBJT TO ELECTRIC EASEMENT RECORD'D L/P
3630/646
Parcel ID: 61-24-607-000-0006-00
Address: 201 Viridian Drive, Muskegon, Michigan 49440
Size: Approximately 2.0 acres
Legal Description: CITY OF MUSKEGON MUSKEGON LAKESHORE SMARTZONE UNIT F FIFTH AMEND TO MASTER
DEED L/P 4292/128 SUBJ TO ELECTRIC ESMT REC L/P 3591/578 SBJT TO ELECTRIC EASEMENT RECORD'D L/P
3630/646
A Property Location Map is attached to this Work Plan as Figure 1, and an Eligible Property Map is attached as
Figure 2.
1.2.2 Current Ownership
The parcels involved with the project are currently owned by Muskegon Lakefront, LLC. The contact for Muskegon
Lakefront, LLC is Dan Hendrickson at 415 Leonard Street NW, Suite 201, Grand Rapids, Michigan 49504.
Address Parcel ID Owner
181 Viridian Drive 61-24-607-000-0007-00 Muskegon Lakefront, LLC
201 Viridian Drive 61-24-607-000-0006-00 Muskegon Lakefront, LLC
1.2.3 Proposed Future Ownership
The parcels involved with the project will be owned by Lakeshore Hotel Partners, LLC, the Developer for the
project. The contact for Lakeshore Hotel Partners, LLC is Mike Houseman, 4045 Barden Drive SE, Grand Rapids,
Michigan 49512.
Address Parcel ID Owner
181 Viridian Drive 61-24-607-000-0007-00 Lakeshore Hotel Partners, LLC
201 Viridian Drive 61-24-607-000-0006-00 Lakeshore Hotel Partners, LLC
1.2.4 Delinquent Taxes, Interest, and Penalties
There are no delinquent taxes, interest, or penalties associated with these properties.
1.2.5 Existing and Proposed Future Zoning
The existing zoning is planned unit development (PUD) for the Project. The Development is consistent with this
zoning; therefore, the future zoning will continue to be PUD.
1.3 Historical Use and Previous Ownership of Each Eligible Property
1.3.1 Historical Use
The property has been used for industrial purposes since 1867, starting with the Ryerson and Hill Lumber Mill. In
1909, the Marine Motor Manufacturing Company (later known as Continental Motors Corp.) began its operations
in heavy manufacturing. In 1920, Continental Motors Corp. purchased the property and expanded operations
with offices and factories. In 1969, Teledyne Industries acquired Continental Motors Corp. The factories and
offices associated with Teledyne Industries were demolished in 1992. The property has been vacant since the
1990s.
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1.4 Current Use of Each Eligible Property
The Property is currently vacant with no buildings or structures. Additionally, there are no current tenants or
occupants.
1.5 Site Conditions and Known Environmental Contamination Summary
The subject property consists of two legal parcels totaling approximately 2.99 acres. The subject property was
historically used for industrial purposes dating back to the 1800s. Based on historical environmental investigations
conducted over the past 25 years, these past industrial uses have resulted in widespread contamination across
the Subject Property. Known contaminants in the soil with concentrations exceeding EGLE Part 201 Generic
Residential Cleanup Criteria include benzo(a)pyrene, fluoranthene, naphthalene, phenanthrene, arsenic,
cadmium, chromium (total), copper, lead, selenium, zinc, and nickel.
1.6 Functionally Obsolete, Blighted, and/or Historic Conditions
The Property is not considered functionally obsolete, blighted, or a historic resource.
1.7 Information Required by Section 15(12) of the Statute
1.7.1 How are the individual activities included in the work plan sufficient to complete the
eligible activity?
Work Plan activities include site assessment, site demolition, and site preparation to prepare the Property for its
new use. The itemized costs are included in Section 2.3 below and were determined with assistance by
contractors and consultants familiar with the site characteristics. As such, the costs included in this Work Plan are
sufficient to complete the proposed eligible activities.
1.7.2 How is each individual activity included in the work plan required to complete the eligible
activity?
The Property is currently vacant, and numerous activities will be needed to allow the development to occur.
Environmental activities will be needed to safetly redevelop and occupy the Subject Property and in addition, site
preparation costs will be needed to support the redevelopment. The itemized costs for the eligible activities are
included in Section 2.3 below. The cost estimates were developed with the assistance of contractors and
consultants familiar with the site characteristics. As such, the individual costs detailed below are required in order
to complete the proposed eligible activities.
1.7.3 How were the costs for each individual activity determined to be reasonable?
Eligible activity costs are based on cost estimates developed by the project consulting and construction team. As
such, they were determined to be reasonable based on current market prices.
1.7.4 What is the overall benefit to the public?
Through the redevelopment of the currently vacant and contaminated property, the public will benefit from the
following:
• New property taxes
• Capital investment in the city
• Year-round job creation
• Increased economic activity in the city and downtown
• Addition of needed hospitality capacity and opportunities in the city
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1.7.5 What is the extent of reuse of vacant buildings and redevelopment of blighted property?
Not applicable as there are no structures present on the Property.
1.7.6 How many jobs will be created by the project and the type of jobs; (a) fulltime,
(b) part-time, (c) managerial, or (d) professional?
This development is anticipated to create 30-35 new Full-Time Equivalent (FTE) jobs.
1.7.7 Is the eligible property in an area of high unemployment?
The most recently reported unemployment rate for Muskegon-Norton Shores, MI is 7.0% for July 2025, compared
to the State of Michigan at 5.3% at that same time, according to the U.S. Bureau of Labor Statistics.
1.7.8 What is the level and extent of contamination alleviated by or in connection with the
eligible activities?
A variety of metals, polynuclear aromatic hydrocarbons (PNAs), and volatile organic compounds (VOCs) have been
detected in soil and groundwater at concentrations exceeding EGLE Part 201 Generic Non-residential Cleanup
Criteria on the Property. Soils that are removed as a part of site preparation activities will be sent to a certified
Type 2 Landfill for disposal. Large portions of the Property will also be paved over, creating a barrier between
users of the Property and contaminated soils. Additionally, the new hotel building will be equipped with a vapor
mitigation system (VMS) to prevent unacceptable exposure to the vapor intrusion exposure pathway.
1.7.9 What is the level of private sector contribution?
The project is expected to represent approximately $28,800,000 of private investment.
1.7.10 If the developer or projected occupant of the new development is moving from another
location in this state, will the move create a brownfield?
The Developer will not be moving their operations from another location.
1.7.11 Is the project financially and economically sound? Describe and demonstrate with a
project proforma, financial statements, or other acceptable documentation.
Yes, with the requested assistance the project is financially sound. A financial pro-forma has been provided to the
MEDC for the project.
1.7.12 Identify the amount of all other anticipated state or local incentives that directly or
indirectly benefit this project.
In addtion to the state/local TIF to reimburse eligible activity costs, the developer has requested a Tax Abatement
through PA 255, the Commercial Redevelopment Act, for a 12-year time period. The anticipated benefit of the PA
255 Abatement is $1,817,429. The City is supportive of the PA 255 tax abatement in addition to the Brownfield
TIF.
1.7.13 Any other criteria that MEDC may consider?
The project will provide significant investment in the city, revitalize a Property that is vacant, and create hotel to
help the tourism industry in the City and continue to bringnew sources of revenue into the Muskegon community.
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2.0 Scope of Work and Costs
2.1 EGLE Eligible Activities
Eligible costs for reimbursement include Pre-Approved Activities, permitted to occur prior to Plan Amendment
adoption. Preparation of Phase I and II ESA(s), BEA, and Documentation of Due Care Compliance (DDCC) are
necessary to protect the new Property owner/Developer from liability for environmental contamination.
Additional due care assessment and/or planning activities are anticipated including, but not limited to, the
preparation of a soil management plan and health and safety plan. The total cost is anticipated to be $20,000.
Pre-approved activities are statutorily eligible for reimbursement with both school and non-school tax increment
revenues.
2.2 MSF Eligible Activities
2.2.1 Site Demolition
Site demolition activities include the removal of curb cuts and sidewalks as part of the redevelopment. The
anticipated costs are $10,000.
2.2.2 Site Preparation
Numerous site preparation activities are necessary for the future building plans and elevations associated with
the redevelopment. Additionally, due to the size of the buildings, significant geotechnical will be needed to
ensure the building is safely constructed.
Site preparation activities will include Clearing and Grubbing ($5,000), Cut & Fill Operations ($5,000), Dewatering
($30,000), Excavation of unstable Material ($60,000), Fill ($71,000), Foundation Work to Address Special Soil
Concerns (Helical Piers) ($620,000), Staking ($30,000), Temporary Construction Access/Road ($6,000), Temporary
Erosion Control ($8,000), Temporary Site Control ($12,000), and Soft Costs (architectural, engineering)
($150,000).
Total costs for Site Preparation is anticipated to be $997,000.
2.2.3 Contingency
Contingencies are an eligible activity as permitted by Act 381. A 15% contingency on future costs is included to
cover unexpected cost overruns encountered during construction. The 15% contingency on MSF Eligible Activities
is anticipated to total $151,050.
2.2.4 Brownfield Plan and/or Work Plan Preparation
Preparation of the Brownfield Plan and Work Plan is anticipated to cost $25,000, split between MSF ($15,000) and
local only.
2.3 Local Only Eligible Activities
2.3.1 Department Specific Activities
Due care activities will include additional investigative sampling and implementation of vapor concerns. Due care
costs will include environmental consultant oversight and management. If needed, engineering barriers, including
site concrete and paving, are anticipated to cost $160,000, a vapor mitigation system is anticipated to cost
$160,000, and contaminated soil removal and disposal is anticipated to cost $50,000, totaling $370,000.
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2.3.2 Contingency (15%)
Contingencies are an eligible activity as permitted by Act 381, and in an amount not to exceed the total Developer
eligible activities. Contingency (15%) on Local-Only Eligible Activities is anticipated to total $55,500.
2.3.3 Interest
A 5% simple interest calculation is anticipated on the total costs annually. The total cost is anticipated to be
incurred on Local Only and MSF eligible activities is $533,328.
2.3.4 Brownfield Plan and/or Work Plan Preparation
Preparation of the Brownfield Plan and Work Plan is anticipated to cost $25,000, split between MSF ($15,000) and
local only ($10,000).
2.3.5 Brownfield Plan and/or Work Plan Implementation
Total costs for the Brownfield Plan and Work Plan Implementation will be incurred by the Developer is anticipated
to be $10,000.
2.4 Eligible Activities Costs and Schedule
EGLE Eligible Activities Costs and Schedule
Completion
EGLE Eligible Activities Cost Season/Year
Site Assessment and Baseline Environmental Assessment Activities $ 20,000 Winter 2025
Phase I ESA, Phase II ESA, BEA, DDCC $ 20,000
EGLE Eligible Activities Subtotal $ 20,000
Contingency (0%) $0
EGLE Eligible Activities Total Costs $ 20,000
MEDC Eligible Activities Costs and Schedule
Completion
MEDC Eligible Activities Cost Season/Year
Site Preparation $ 997,000
Clearing and Grubbing $ 5,000 Spring 2026
Cut & Fill Operations $ 5,000 Spring 2026
Dewatering $ 30,000 Spring 2026
Excavation of Unstable Material $ 60,000 Spring 2026
Fill $ 71,000 Spring 2026
Foundation Work to Address Special Soil Concerns (Helical Piers) $ 620,000 Spring 2026
Staking $ 30,000 Spring 2026
Temporary Construction Access/Roads $ 6,000 Spring 2026
Temporary Erosion Control $ 8,000 Spring 2026
Temporary Site Control $ 12,000 Spring 2026
Soft Costs (architectural, engineering) $ 150,000 Spring 2026
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Demolition $ 10,000
Site Demolition $ 10,000 Spring 2026
MEDC Eligible Activities Subtotal $ 1,007,000
Contingency (15%) $ 151,050
Brownfield Plan/Work Plan Preparation $ 15,000
MEDC Eligible Activities Total Costs $ 1,173,050
Local Only Eligible Activities Costs and Schedule
Completion
Local Only Eligible Activities Cost Season/Year
Due Care Activities $ 370,000 Spring/Summer 2026
Engineered Barriers $ 160,000
Vapor Intrusion Mitigation System $ 160,000
Contaminated Soil Removal and Disposal $ 50,000
Local Only Eligible Activities Subtotal $ 370,000
Contingency (15%) $ 55,500
Interest Expense (5%) $ 533,328
Brownfield Plan/Work Plan Preparation $ 10,000
Brownfield Plan/Work Plan Implementation $ 10,000
Local Only Eligible Activities Total Costs $ 978,828
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Figures
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Horton
Witham Drive
M 120
W
VICINITY MAP
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MICHIGAN
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Cemetery enu
Av
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CITY OF
MUSKEGON
MUSKEGON COUNTY
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Veterans
Memorial Park
Bear Lake
Beach Park M 120
Hard copy is
Bear Lake North Muskegon intended to be
8.5"x11" when
plotted. Scale(s)
Verplanks / indicated and
graphic quality may
Former Cobb not be accurate for
any other size.
plant site M 120
North Verplanks
Muskegon
Waterfront
Sports Park
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ay
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Ru
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201 & 181 Viridian Drive
Pa
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Marquette Avenue
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Muskegon, Michigan
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PLOT INFO: Z:\2024\240340\CAD\GIS\ProProj\Brownfield Plan.aprx Layout: FIG01_Location Map Date: 6/11/2024 11:32 AM User: ebuyce
tre
tre
et
et
Muskegon M 46
Hartshorn Marina
Division Street
Oakwood
West Southern Avenue
Cemetery
West Laketon Avenue
West Laketon Avenue
East Laketon Avenue
Catholic PROJECT NO.
Central High
240340
LOCATION MAP
School
FIGURE NO.
NORTH FEET
1
Sanford Street
cGraft Park 0 1,000 2,000
Peck Street
DATA SOURCES: ESRI STREET MAP.
©Copyright 2024 All Rights Reserved US 31 Business
Page 189 of 290
LEGEND
Approximate Property Boundary
Hard copy is
Muskegon intended to be
8.5"x11" when
Innovation Hub plotted. Scale(s)
at Grand Valley indicated and
graphic quality may
State not be accurate for
any other size.
University
Vi
rid
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201 & 181 Viridian Drivei d i a n D
Dr
r
Vi
Muskegon, Michigan
61-24-607-000-0006-00
Brownfield Plan
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PLOT INFO: Z:\2024\240340\CAD\GIS\ProProj\Brownfield Plan.aprx Layout: FIG02_Site Map Date: 6/11/2024 11:32 AM User: ebuyce
dO
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Dr
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31
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31
PROJECT NO.
240340
SITE MAP 31
FIGURE NO.
2
FEET
NORTH 0 75 150
46
DATA SOURCES: ESRI HYRBID REFERENCE LAYER & MiSAIL IMAGERY.
©Copyright 2024 All Rights Reserved Terrace Plaza
Page 190 of 290
COPYRIGHT 2023-ALL RIGHTS RESERVED. THIS DRAWING REMAINS THE PROPERTY OF HENRICKSON ARCHITECTURE AND PLANNING AND IS FOR USE ONLY AS AUTHORIZED BY HENRICKSON ARCHITECTURE AND PLANNING
OFFICE OFFICE GUEST
LUGGAGE/
I.T. / DATA VESTIBULE
STORAGE
MEETING
ROOM
720 SF.
MECHANICAL
RESTORE
512 sf. CHECK-IN
ADMIN. LOUNGE
COMMON
COMMON
NOMMOC
KING
KING
GNIK
ELECTRICAL
EMR
HARBOR 31 - ELEMENT HOTEL
ONE BEDROOM
ADA LAYOUT
ELEVATOR
LOBBY FIREPLACE RISE DINING
WOMENS MENS
HOUSEKEEPING/
IDF4
LAUNDRY ICE
ELEV A ELEV B
STAIR C
ENO
MOORDEB
HOUSE
SERVICE FOOD PREP
KEEPING
ELEV STORAGE STORAGE
LOBBY
LINEN
STORAGE STAIR B
130sf.
RR JAN.
QUEEN/QUEEN
STUDIO
EMPLOYEE
BREAKROOM ONE
BEDROOM+ +
MOTION
OIDUTS
NEEUQ/NEEUQ
GUEST
LAUNDRY
VESTIBULE CORRIDOR
MUSKEGON, MICHIGAN
STAIR A
KING
COMMON
INDOOR
VIRIDIAN DRIVE
POOL
KING BEDROOM
COMMON ONE
ONE
BEDROOM+
BEDROOM
ONE
ELEMENT by WESTIN
REVIEW 12.11.23
DRAWN BY: DLJ
CHECKED: DSH
SITE PLAN
1" = 20'-0"
PROJECT No. 230402
10/26/2023 11:26 AM
FILE NAME: BP1.DWG
000
Page 191 of 290
Room Type Summary
Standard
Studio King Studio Queen/Queen One Bedroom One Bedroom ADA Common King Conference Suite Total Rooms
King
First Floor 0 0 2 5 1 5 0 13
Second floor 6 1 6 9 1 6 1 30
Third Floor 7 1 6 10 1 6 1 32
Fourth Floor 7 1 6 10 1 6 1 32
PARKING SUMMARY Fifth Floor 4 0 6 4 1 4 0 19
LODGING (1 PER ROOM) 129 SPACES Total 24 3 26 38 5 30 3 126
1ST FLOOR OFFICE/RETAIL (1,176 SF.) (1 PER 500SF.) 3 SPACES
Extended Stay 75 58%
5TH FLOOR OFFICE/RETAIL (6,938 SF.) (1 PER 500SF.) 13 SPACES
146 SPACES Standard 54 42%
OFFICE OFFICE GUEST
LUGGAGE/
I.T. / DATA VESTIBULE
STORAGE
MEETING
ROOM
720 SF.
COPYRIGHT 2023-ALL RIGHTS RESERVED. THIS DRAWING REMAINS THE PROPERTY OF HENRICKSON ARCHITECTURE AND PLANNING AND IS FOR USE ONLY AS AUTHORIZED BY HENRICKSON ARCHITECTURE AND PLANNING
MECHANICAL
RESTORE
512 sf. CHECK-IN
ADMIN. LOUNGE
COMMON
COMMON
NOMMOC
KING
KING
GNIK
ELECTRICAL
EMR
HARBOR 31 - ELEMENT HOTEL
ONE BEDROOM
ADA LAYOUT
ELEVATOR
LOBBY FIREPLACE RISE DINING
WOMENS MENS
HOUSEKEEPING/
IDF4
LAUNDRY ICE
ELEV A ELEV B
STAIR C
ENO
MOORDEB
HOUSE
SERVICE FOOD PREP
KEEPING
ELEV STORAGE STORAGE
LOBBY
LINEN
STORAGE STAIR B
130sf.
RR JAN.
MUSKEGON, MICHIGAN
QUEEN/QUEEN
STUDIO
EMPLOYEE
BREAKROOM
VIRIDIAN DRIVE
ONE
BEDROOM+ +
MOTION
OIDUTS
NEEUQ/NEEUQ
GUEST
LAUNDRY
VESTIBULE CORRIDOR
ELEMENT by WESTIN
STAIR A
KING
COMMON
INDOOR
POOL
REVIEW 12.11.23
KING BEDROOM
COMMON ONE
ONE
BEDROOM+
BEDROOM
ONE
DRAWN BY: DLJ
CHECKED: DSH
FIRST FLOOR
3/32"=1'-0"
PROJECT No. 230402
10/26/2023 11:26 AM
FILE NAME: BP1.DWG
001
Page 192 of 290
BEDROOM
STANDARD
STANDARD
QUEEN/QUEEN
NEEUQ/NEEUQ
ONE
KING
KING
STUDIO
KING
STUDIO
OIDUTS
CONFERENCE
SUITE
COMMON
COMMON
COMMON
NOMMOC
COPYRIGHT 2023-ALL RIGHTS RESERVED. THIS DRAWING REMAINS THE PROPERTY OF HENRICKSON ARCHITECTURE AND PLANNING AND IS FOR USE ONLY AS AUTHORIZED BY HENRICKSON ARCHITECTURE AND PLANNING
KING
KING
KING
GNIK
ONE BEDROOM
ADA LAYOUT
NEEUQ/NEEUQ
QUEEN/QUEEN
OIDUTS
STUDIO
DRADNATS
HARBOR 31 - ELEMENT HOTEL
IDF4
GNIK
KING
STANDARD
ICE
ELEV A ELEV B
STAIR C
ENO
MOORDEB
STORAGE STORAGE
ONE
BEDROOM
HOUSE
KEEPING
ELEC.
ROOM
STAIR B
QUEEN/QUEEN
STUDIO
ONE ENO
BEDROOM MOORDEB
ONE
BEDROOM+ +
MUSKEGON, MICHIGAN
OIDUTS
NEEUQ/NEEUQ
VIRIDIAN DRIVE
STANDARD DRADNATS
KING GNIK
KING STAIR A
COMMON
ELEMENT by WESTIN
KING BEDROOM
COMMON ONE
REVIEW 12.11.23
ONE
BEDROOM+
BEDROOM
ONE
DRAWN BY: DLJ
CHECKED: DSH
SECOND FLOOR
3/32"=1'-0"
PROJECT No. 230402
10/26/2023 11:26 AM
FILE NAME: BP1.DWG
002
Page 193 of 290
BEDROOM
STANDARD
STANDARD
QUEEN/QUEEN
NEEUQ/NEEUQ
ONE
STUDIO
KING
KING
KING
STUDIO
OIDUTS
CONFERENCE
SUITE
COMMON
COMMON
COMMON
NOMMOC
COPYRIGHT 2023-ALL RIGHTS RESERVED. THIS DRAWING REMAINS THE PROPERTY OF HENRICKSON ARCHITECTURE AND PLANNING AND IS FOR USE ONLY AS AUTHORIZED BY HENRICKSON ARCHITECTURE AND PLANNING
KING
KING
KING
GNIK
ONE BEDROOM
ADA LAYOUT
NEEUQ/NEEUQ
QUEEN/QUEEN
OIDUTS
STUDIO
DRADNATS
DRADNATS
HARBOR 31 - ELEMENT HOTEL
MOORDEB
IDF4
GNIK
GNIK
ENO
KING
STANDARD
ICE
ELEV A ELEV B
STAIR C
ENO
MOORDEB
STORAGE STORAGE
ONE
BEDROOM
HOUSE
KEEPING
ELEC.
ROOM
STAIR B
QUEEN/QUEEN
STUDIO
ONE ENO
BEDROOM MOORDEB
ONE
BEDROOM+ +
MUSKEGON, MICHIGAN
OIDUTS
NEEUQ/NEEUQ
VIRIDIAN DRIVE
STANDARD DRADNATS
KING GNIK
STAIR A
KING
COMMON
ELEMENT by WESTIN
KING BEDROOM
COMMON ONE
REVIEW 12.11.23
ONE
BEDROOM+
BEDROOM
ONE
DRAWN BY: DLJ
CHECKED: DSH
THIRD FLOOR
3/32"=1'-0"
PROJECT No. 230402
10/26/2023 11:26 AM
FILE NAME: BP1.DWG
003
Page 194 of 290
BEDROOM
STANDARD
STANDARD
QUEEN/QUEEN
NEEUQ/NEEUQ
ONE
STUDIO
KING
KING
KING
STUDIO
OIDUTS
CONFERENCE
SUITE
COMMON
COMMON
COMMON
NOMMOC
COPYRIGHT 2023-ALL RIGHTS RESERVED. THIS DRAWING REMAINS THE PROPERTY OF HENRICKSON ARCHITECTURE AND PLANNING AND IS FOR USE ONLY AS AUTHORIZED BY HENRICKSON ARCHITECTURE AND PLANNING
KING
KING
KING
GNIK
ONE BEDROOM
ADA LAYOUT
NEEUQ/NEEUQ
QUEEN/QUEEN
OIDUTS
STUDIO
DRADNATS
DRADNATS
HARBOR 31 - ELEMENT HOTEL
MOORDEB
IDF4
GNIK
GNIK
ENO
KING
STANDARD
ICE
ELEV A ELEV B
STAIR C
ENO
MOORDEB
STORAGE STORAGE
ONE
BEDROOM
HOUSE
KEEPING
ELEC.
ROOM
STAIR B
QUEEN/QUEEN
STUDIO
ONE ENO
BEDROOM MOORDEB
ONE
BEDROOM+ +
MUSKEGON, MICHIGAN
OIDUTS
NEEUQ/NEEUQ
VIRIDIAN DRIVE
STANDARD DRADNATS
KING GNIK
STAIR A
KING
COMMON
ELEMENT by WESTIN
KING BEDROOM
COMMON ONE
REVIEW 12.11.23
ONE
BEDROOM+
BEDROOM
ONE
DRAWN BY: DLJ
CHECKED: DSH
FOURTH FLOOR
3/32"=1'-0"
PROJECT No. 230402
10/26/2023 11:26 AM
FILE NAME: BP1.DWG
004
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MEETING ROOM
520 SF.
1/15 SF. (PERSONS)
BEDROOM
STANDARD
STANDARD
QUEEN/QUEEN
NEEUQ/NEEUQ
ONE
KING
KING
STUDIO
OIDUTS
COMMON
COMMON
COMMON
NOMMOC
COPYRIGHT 2023-ALL RIGHTS RESERVED. THIS DRAWING REMAINS THE PROPERTY OF HENRICKSON ARCHITECTURE AND PLANNING AND IS FOR USE ONLY AS AUTHORIZED BY HENRICKSON ARCHITECTURE AND PLANNING
KING
KING
KING
GNIK
ONE BEDROOM
ADA LAYOUT
NEEUQ/NEEUQ
QUEEN/QUEEN
OIDUTS
STUDIO
DRADNATS
DRADNATS
HARBOR 31 - ELEMENT HOTEL
MOORDEB
IDF4
GNIK
GNIK
ENO
ICE
CASUAL DINING ELEV A ELEV B
560 SF.
STAIR C
1/15 SF. (PERSONS)
ENO
MOORDEB
STORAGE STORAGE
HOUSE
KEEPING
ELEC.
ROOM
STAIR B
QUEEN/QUEEN
STUDIO
ONE
BEDROOM+ +
MUSKEGON, MICHIGAN
BAR
1,720 SF. KITCHEN
1/15 SF. (PERSONS) BAR 490 SF. OIDUTS
NEEUQ/NEEUQ
VIRIDIAN DRIVE
1/200 SF. (PERSONS)
STAIR A
ELEMENT by WESTIN
STOR.
BAR
REVIEW 12.11.23
OUTDOOR
PATIO & DINING
2,000 SF.
1/15 SF. (PERSONS)
DRAWN BY: DLJ
CHECKED: DSH
FIFTH FLOOR
3/32"=1'-0"
PROJECT No. 230402
10/26/2023 11:26 AM
FILE NAME: BP1.DWG
005
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Tables
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Table 1 – Summary of Eligible Costs
Act 381 Brownfield Plan
Harbor 31 Hotel
EGLE Eligible Activities Costs and Schedule
EGLE Eligible Activities Cost Completion Season/Year
Site Assessment and Baseline Environmental Assessment Activities $ 20,000
Phase I ESA, Phase II ESA, BEA, DDCC $ 20,000 Fall 2025
EGLE Eligible Activities Subtotal $ 20,000
EGLE Eligible Activities Total Costs $ 20,000
MEDC Eligible Activities Costs and Schedule
MEDC Eligible Activities Cost Completion Season/Year
Site Preparation $ 997,000
Clearing and Grubbing $ 5,000 Spring 2026
Cut & Fill Operations $ 5,000 Spring 2026
Dewatering $ 30,000 Spring 2026
Excavation of Unstable Material $ 60,000 Spring 2026
Fill $ 71,000 Spring 2026
Foundation Work to Address Special Soil Concerns (Helical Piers) $ 620,000 Spring 2026
Staking $ 30,000 Spring 2026
Temporary Construction Access/Roads $ 6,000 Spring 2026
Temporary Erosion Control $ 8,000 Spring 2026
Temporary Site Control $ 12,000 Spring 2026
Soft Costs (architectural, engineering) $ 150,000 Spring 2026
Demolition $ 10,000
Site Demolition $ 10,000 Spring 2026
MEDC Eligible Activities Subtotal $ 1,007,000
Contingency (15%) $ 151,050
Brownfield Plan/Work Plan Preparation $ 15,000
MEDC Eligible Activities Total Costs $ 1,173,050
Local Only Eligible Activities Costs and Schedule
Local Only Eligible Activities Cost Completion Season/Year
Due Care Activities $ 370,000
Engineered Barriers $ 160,000 Summer /Fall 2026
Vapor Intrusion Mitigation System $ 160,000 Summer /Fall 2026
Contaminated Soil Removal and Disposal $ 50,000 Summer /Fall 2026
Local Only Eligible Activities Subtotal $ 370,000
Contingency (15%) $ 55,500
Interest Expense (5%) $ 533,328
Brownfield Plan/Work Plan Preparation $ 10,000
Brownfield Plan/Work Plan Implementation $ 10,000
Local Only Eligible Activities Total Costs $ 978,828
10/6/2025
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Table 2 – Total Captured Incremental Taxes Schedule
Act 381 Brownfield Plan
Harbor 31 Hotel
181 201 Viridian Drive
Muskegon, MI
Estimated Taxable Value (TV) Increase Rate: 2% increase per year
Plan Year 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Totals
Calendar Year 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 2046 2047 2048
*Base Taxable Value $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ -
Future Taxable Value $ 5,000,000 $ 5,100,000 $ 5,202,000 $ 5,306,040 $ 5,412,161 $ 5,520,404 $ 5,630,812 $ 5,743,428 $ 5,858,297 $ 5,975,463 $ 6,094,972 $ 6,216,872 $ 6,341,209 $ 6,468,033 $ 6,597,394 $ 6,729,342 $ 6,863,929 $ 7,001,207 $ 7,141,231 $ 7,284,056 $ 7,429,737 $ -
Incremental Difference (New TV - Base TV) $ 4,799,200 $ 4,899,200 $ 5,001,200 $ 5,105,240 $ 5,211,361 $ 5,319,604 $ 5,430,012 $ 5,542,628 $ 5,657,497 $ 5,774,663 $ 5,894,172 $ 6,016,072 $ 6,140,409 $ 6,267,233 $ 6,396,594 $ 6,528,542 $ 6,663,129 $ 6,800,407 $ 6,940,431 $ 7,083,256 $ 7,228,937 $ -
School Capture Millage Rate
School Operating 18.0000 $ 43,193 $ 44,093 $ 45,011 $ 45,947 $ 46,902 $ 47,876 $ 48,870 $ 49,884 $ 50,917 $ 51,972 $ 53,048 $ 54,145 $ 110,527 $ 112,810 $ 115,139 $ 117,514 $ 119,936 $ 122,407 $ 124,928 $ 127,499 $ 130,121 $ 1,662,739
State Education Tax (SET) 6.0000 $ 28,795 $ 29,395 $ 30,007 $ 30,631 $ 31,268 $ 31,918 $ 32,580 $ 33,256 $ 33,945 $ 34,648 $ 35,365 $ 36,096 $ 36,842 $ 37,603 $ 38,380 $ 39,171 $ 39,979 $ 40,802 $ 41,643 $ 42,500 $ 43,374 $ 748,199
School Total 24.0000 $ 71,988 $ 73,488 $ 75,018 $ 76,579 $ 78,170 $ 79,794 $ 81,450 $ 83,139 $ 84,862 $ 86,620 $ 88,413 $ 90,241 $ 147,370 $ 150,414 $ 153,518 $ 156,685 $ 159,915 $ 163,210 $ 166,570 $ 169,998 $ 173,494 $ 2,410,937
Local Capture Millage Rate
County Operating 5.5637 $ 13,351 $ 13,629 $ 13,913 $ 14,202 $ 14,497 $ 14,798 $ 15,105 $ 15,419 $ 15,738 $ 16,064 $ 16,397 $ 16,736 $ 34,163 $ 34,869 $ 35,589 $ 36,323 $ 37,072 $ 37,835 $ 38,614 $ 39,409 $ 40,220 $ 513,943
County Museum 0.3169 $ 760 $ 776 $ 792 $ 809 $ 826 $ 843 $ 860 $ 878 $ 896 $ 915 $ 934 $ 953 $ 1,946 $ 1,986 $ 2,027 $ 2,069 $ 2,112 $ 2,155 $ 2,199 $ 2,245 $ 2,291 $ 29,273
County Veterans 0.0739 $ 177 $ 181 $ 185 $ 189 $ 193 $ 197 $ 201 $ 205 $ 209 $ 213 $ 218 $ 222 $ 454 $ 463 $ 473 $ 482 $ 492 $ 503 $ 513 $ 523 $ 534 $ 6,826
Senior Citizen Services 0.4921 $ 1,181 $ 1,205 $ 1,231 $ 1,256 $ 1,282 $ 1,309 $ 1,336 $ 1,364 $ 1,392 $ 1,421 $ 1,450 $ 1,480 $ 3,022 $ 3,084 $ 3,148 $ 3,213 $ 3,279 $ 3,346 $ 3,415 $ 3,486 $ 3,557 $ 45,457
Central Dispatch 0.2952 $ 708 $ 723 $ 738 $ 754 $ 769 $ 785 $ 801 $ 818 $ 835 $ 852 $ 870 $ 888 $ 1,813 $ 1,850 $ 1,888 $ 1,927 $ 1,967 $ 2,007 $ 2,049 $ 2,091 $ 2,134 $ 27,269
Community College 2.1693 $ 5,205 $ 5,314 $ 5,425 $ 5,537 $ 5,653 $ 5,770 $ 5,890 $ 6,012 $ 6,136 $ 6,263 $ 6,393 $ 6,525 $ 13,320 $ 13,596 $ 13,876 $ 14,162 $ 14,454 $ 14,752 $ 15,056 $ 15,366 $ 15,682 $ 200,388
MAISD 4.6773 $ 11,224 $ 11,458 $ 11,696 $ 11,939 $ 12,188 $ 12,441 $ 12,699 $ 12,962 $ 13,231 $ 13,505 $ 13,784 $ 14,069 $ 28,721 $ 29,314 $ 29,919 $ 30,536 $ 31,165 $ 31,808 $ 32,462 $ 33,131 $ 33,812 $ 432,063
City Operating 9.8554 $ 23,649 $ 24,142 $ 24,644 $ 25,157 $ 25,680 $ 26,213 $ 26,757 $ 27,312 $ 27,878 $ 28,456 $ 29,045 $ 29,645 $ 60,516 $ 61,766 $ 63,041 $ 64,341 $ 65,668 $ 67,021 $ 68,401 $ 69,808 $ 71,244 $ 910,386
City Sanitation 2.9364 $ 7,046 $ 7,193 $ 7,343 $ 7,496 $ 7,651 $ 7,810 $ 7,972 $ 8,138 $ 8,306 $ 8,478 $ 8,654 $ 8,833 $ 18,031 $ 18,403 $ 18,783 $ 19,170 $ 19,566 $ 19,969 $ 20,380 $ 20,799 $ 21,227 $ 271,248
Hackley Library 2.3516 $ 5,643 $ 5,760 $ 5,880 $ 6,003 $ 6,128 $ 6,255 $ 6,385 $ 6,517 $ 6,652 $ 6,790 $ 6,930 $ 7,074 $ 14,440 $ 14,738 $ 15,042 $ 15,353 $ 15,669 $ 15,992 $ 16,321 $ 16,657 $ 17,000 $ 217,228
MPS Sinking 0.9712 $ 2,330 $ 2,379 $ 2,429 $ 2,479 $ 2,531 $ 2,583 $ 2,637 $ 2,692 $ 2,747 $ 2,804 $ 2,862 $ 2,921 $ 5,964 $ 6,087 $ 6,212 $ 6,341 $ 6,471 $ 6,605 $ 6,741 $ 6,879 $ 7,021 $ 89,714
Local Total 29.7030 $ 71,275 $ 72,760 $ 74,275 $ 75,820 $ 77,397 $ 79,004 $ 80,644 $ 82,316 $ 84,022 $ 85,762 $ 87,537 $ 89,348 $ 182,389 $ 186,156 $ 189,998 $ 193,917 $ 197,915 $ 201,992 $ 206,152 $ 210,394 $ 214,721 $ 2,743,796
Non-Capturable Millages Millage Rate
Community College Debt 0.2700 $ 648 $ 661 $ 675 $ 689 $ 704 $ 718 $ 733 $ 748 $ 764 $ 780 $ 796 $ 812 $ 1,658 $ 1,692 $ 1,727 $ 1,763 $ 1,799 $ 1,836 $ 1,874 $ 1,912 $ 1,952 $ 24,941
Hackley Debt 0.4999 $ 1,200 $ 1,225 $ 1,250 $ 1,276 $ 1,303 $ 1,330 $ 1,357 $ 1,385 $ 1,414 $ 1,443 $ 1,473 $ 1,504 $ 3,070 $ 3,133 $ 3,198 $ 3,264 $ 3,331 $ 3,400 $ 3,470 $ 3,541 $ 3,614 $ 46,178
MPS Debt (2020 & 2021) 7.7500 $ 18,597 $ 18,984 $ 19,380 $ 19,783 $ 20,194 $ 20,613 $ 21,041 $ 21,478 $ 21,923 $ 22,377 $ 22,840 $ 23,312 $ 47,588 $ 48,571 $ 49,574 $ 50,596 $ 51,639 $ 52,703 $ 53,788 $ 54,895 $ 56,024 $ 715,901
Non-Capturable Total 8.5199 $ 20,444 $ 20,870 $ 21,305 $ 21,748 $ 22,200 $ 22,661 $ 23,132 $ 23,611 $ 24,101 $ 24,600 $ 25,109 $ 25,628 $ 52,316 $ 53,396 $ 54,498 $ 55,623 $ 56,769 $ 57,939 $ 59,132 $ 60,349 $ 61,590 $ 787,020
Total Tax Increment Revenue (TIR) Available for Capture $ 143,263 $ 146,248 $ 149,293 $ 152,399 $ 155,567 $ 158,798 $ 162,094 $ 165,456 $ 168,885 $ 172,382 $ 175,950 $ 179,589 $ 329,758 $ 336,569 $ 343,516 $ 350,602 $ 357,830 $ 365,202 $ 372,722 $ 380,392 $ 388,216 $ 5,154,733
NOTES:
PA 255 Commercial Redevelopment Act Tax Abatement - New Facility is anticipated for 12 years.
PA 255 is a 50% reduction in ad valorum taxes (excluding only SET) for a period of 12 years.
10/6/2025
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Table 3 – Estimated Reimbursement Schedule
Act 381 Brownfield Plan
Harbor 31 Hotel
181 201 Viridian Drive
Muskegon, MI
Developer
School & Local
Maximum Proportionality Local-Only Taxes Total
Taxes
Reimbursement Estimated Capture
State 44.7% $ 651,305 $ - $ 651,305 Estimated Total 21 (including 5 years Administrative Fees $ 274,380
Local 55.3% $ 806,071 $ 737,502 $ 1,543,573 Years of Plan: LBRF Capture) State Brownfield Redevelopment Fund $ -
TOTAL Local Brownfield Revolving Fund $ 808,860
Pre-Approved 2.6% $ 20,000 $ - $ 20,000
MEDC 98.6% $ 1,437,376 $ - $ 1,437,376
Local-Only 97.4% $ - $ 737,502 $ 737,502
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 2046 2047 2048 TOTAL
Total State Incremental Revenue $ 71,988 $ 73,488 $ 75,018 $ 76,579 $ 78,170 $ 79,794 $ 81,450 $ 83,139 $ 84,862 $ 86,620 $ 88,413 $ 90,241 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 969,763
State Brownfield Redevelopment Fund (50% of SET) $ 21,596 $ 22,046 $ 22,505 $ 22,974 $ 23,451 $ 23,938 $ 24,435 $ 24,942 $ 25,459 $ 25,986 $ 26,524 $ 27,072 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 290,929
State TIR Available for Reimbursement $ 50,392 $ 51,442 $ 52,513 $ 53,605 $ 54,719 $ 55,856 $ 57,015 $ 58,198 $ 59,404 $ 60,634 $ 61,889 $ 63,169 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 678,834
Total Local Incremental Revenue $ 71,275 $ 72,760 $ 74,275 $ 75,820 $ 77,397 $ 79,004 $ 80,644 $ 82,316 $ 84,022 $ 85,762 $ 87,537 $ 89,348 $ 182,389 $ 186,156 $ 189,998 $ 193,917 $ 197,915 $ 201,992 $ 206,152 $ 210,394 $ 214,721 $ 2,743,796
BRA Administrative Fee (10%) $ 7,128 $ 7,276 $ 7,428 $ 7,582 $ 7,740 $ 7,900 $ 8,064 $ 8,232 $ 8,402 $ 8,576 $ 8,754 $ 8,935 $ 18,239 $ 18,616 $ 19,000 $ 19,392 $ 19,791 $ 20,199 $ 20,615 $ 21,039 $ 21,472 $ 274,380
Local TIR Available for Reimbursement $ 64,148 $ 65,484 $ 66,848 $ 68,238 $ 69,657 $ 71,104 $ 72,579 $ 74,085 $ 75,620 $ 77,186 $ 78,784 $ 80,413 $ 164,150 $ 167,540 $ 170,998 $ 174,526 $ 178,123 $ 181,793 $ 185,536 $ 189,355 $ 193,249 $ 2,469,416
Total State & Local TIR Available $ 114,539 $ 116,926 $ 119,360 $ 121,843 $ 124,376 $ 126,960 $ 129,595 $ 132,282 $ 135,024 $ 137,820 $ 140,672 $ 143,582 $ 164,150 $ 167,540 $ 170,998 $ 174,526 $ 178,123 $ 181,793 $ 185,536 $ 189,355 $ 193,249 $ 3,148,250
Beginning
DEVELOPER Balance
Reimbursement Balance $ 2,194,878 $ 2,080,338 $ 1,963,412 $ 1,844,052 $ 1,722,208 $ 1,597,832 $ 1,470,873 $ 1,341,278 $ 1,208,996 $ 1,073,972 $ 964,544 $ 885,761 $ 805,348 $ 641,198 $ 473,658 $ 302,660 $ 128,134 $ - $ - $ - $ - $ - $ -
EGLE Environmental Costs $ 20,000 $ 20,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
State Tax Reimbursement $ 8,938 $ 8,938 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 8,938
Local Tax Reimbursement $ 11,062 $ 11,062 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 11,062
Total EGLE Reimbursement Balance $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 20,000
MEDC Non-Environmental Costs $ 1,173,050 $ 1,173,050 $ 1,078,511 $ 961,585 $ 842,224 $ 720,381 $ 596,005 $ 469,045 $ 339,450 $ 207,168 $ 72,144 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
State Tax Reimbursement $ 524,239 $ 41,454 $ 51,442 $ 52,513 $ 53,605 $ 54,719 $ 55,856 $ 57,015 $ 58,198 $ 59,404 $ 32,241 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 516,446
Local Tax Reimbursement $ 648,811 $ 53,086 $ 65,484 $ 66,848 $ 68,238 $ 69,657 $ 71,104 $ 72,579 $ 74,085 $ 75,620 $ 39,903 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 656,604
Total MEDC Reimbursement Balance $ 1,078,511 $ 961,585 $ 842,224 $ 720,381 $ 596,005 $ 469,045 $ 339,450 $ 207,168 $ 72,144 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 1,173,050
Local-Only Costs $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 431,217 $ 352,433 $ 272,020 $ 107,871 $ - $ - $ - $ - $ - $ - $ -
Local Tax Reimbursement $ 468,500 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 37,283 $ 78,784 $ 80,413 $ 164,150 $ 107,871 $ - $ - $ - $ - $ 468,500
Total Local-Only Reimbursement Balance $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 431,217 $ 352,433 $ 272,020 $ 107,871 $ - $ - $ - $ - $ - $ - $ - $ - $ 468,500
Simple Interest Expense (5%) $ 533,328 $ - $ 77,351 $ 148,855 $ 214,391 $ 273,835 $ 327,060 $ 373,937 $ 414,335 $ 448,118 $ 475,151 $ 496,711 $ 514,333 $ 527,934 $ 533,328 $ 473,658 $ 302,660 $ 128,134 $ - $ - $ - $ -
Annual Interest Incurred $ 77,351 $ 71,504 $ 65,536 $ 59,444 $ 53,225 $ 46,877 $ 40,398 $ 33,783 $ 27,032 $ 21,561 $ 17,622 $ 13,601 $ 5,394 $ - $ - $ - $ - $ - $ - $ - $ - $ 533,328
MEDC $ 118,128 $ 53,926 $ 48,079 $ 42,111 $ 36,019 $ 29,800 $ 23,452 $ 16,973 $ 10,358 $ 3,607 $ - $ - $ - $ - $ 264,326
Local-Only $ 415,200 $ 23,425 $ 23,425 $ 23,425 $ 23,425 $ 23,425 $ 23,425 $ 23,425 $ 23,425 $ 23,425 $ 21,561 $ 17,622 $ 13,601 $ 5,394 $ 269,002
Local Tax Reimbursement $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 59,670 $ 170,998 $ 174,526 $ 128,134 $ - $ - $ - $ - $ 533,328
Total Interest Reimbursement Balance $ 77,351 $ 148,855 $ 214,391 $ 273,835 $ 327,060 $ 373,937 $ 414,335 $ 448,118 $ 475,151 $ 496,711 $ 514,333 $ 527,934 $ 533,328 $ 473,658 $ 302,660 $ 128,134 $ - $ - $ - $ - $ - $ 533,328
Total Annual Developer Reimbursement $ 114,539 $ 116,926 $ 119,360 $ 121,843 $ 124,376 $ 126,960 $ 129,595 $ 132,282 $ 135,024 $ 109,428 $ 78,784 $ 80,413 $ 164,150 $ 167,540 $ 170,998 $ 174,526 $ 128,134 $ - $ - $ - $ - $ 2,194,878
LOCAL BROWNFIELD REVOLVING FUND
LBRF Deposits * $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 808,860
State Tax Capture $ 8,938 $ - $ - $ - $ - $ - $ - $ - $ - $ 8,938 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 8,938
Local Tax Capture $ 799,922 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 49,989 $ 181,793 $ 185,536 $ 189,355 $ 193,249 $ 799,922
Total LBRF Capture $ 808,860 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
* Up to five years of capture for LBRF Deposits after eligible activities are reimbursed. May be taken from state and local TIR.
10/6/2025
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Attachment A
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Amendment #1 to the Act 381 Brownfield Plan Amendment
Harbor 31 Hotel
181 and 201 Viridian Drive
Muskegon, Michigan 49440
Prepared For:
City of Muskegon Brownfield Redevelopment Authority
City of Muskegon, Michigan
Act 381 Brownfield Plan Amendment Date: October 30, 2024
Amendment #1 Date: October 6, 2025
Project No. 240340
BPA Recommended for Approval by Brownfield Redevelopment Authority on: December 10, 2024
BPA Adopted by the City of Muskegon City Commission on: December 10, 2024
Amendment #1 Recommended for Approval by Brownfield Redevelopment Authority on: ________
Amendment #1 Adopted by the City of Muskegon City Commission on: ____________
Page 206 of 290
Table of Contents Fishbeck | Page i
1.0 Introduction ...................................................................................................................................................1
1.1 Proposed Redevelopment and Future Use for Each Eligible Property ..............................................1
1.2 Eligible Property Information ............................................................................................................1
2.0 Information Required by Section 13(2) of the Statute ...................................................................................2
2.1 Description of Costs to be Paid for with Tax Increment Revenues ...................................................2
2.1.1 Pre-Approved Activities .......................................................................................................2
2.1.2 Department Specific Activities .............................................................................................2
2.1.3 Site Preparation ...................................................................................................................2
2.1.4 Brownfield Plan/Work Plan Preparation ..............................................................................3
2.1.5 Brownfield Plan/Work Plan Implementation .......................................................................3
2.1.6 Interest ................................................................................................................................3
2.1.7 Contingency .........................................................................................................................3
2.1.8 Authority Administration Cost .............................................................................................3
2.1.9 Local Brownfield Revolving Fund .........................................................................................3
2.2 Summary of Eligible Activities ...........................................................................................................3
2.3 Estimate of Captured Taxable Value and Tax Increment Revenues ..................................................4
2.4 Method of Financing and Description of Advances Made by the Municipality ................................4
2.5 Maximum Amount of Note or Bonded Indebtedness .......................................................................4
2.6 Duration of Brownfield Plan..............................................................................................................4
2.7 Estimated Impact of Tax Increment Financing on Revenues of Taxing Jurisdictions ........................4
2.8 Legal Description, Property Map, Statement of Qualifying Characteristics, and Personal Property.4
2.9 Estimates of Residents and Displacement of Individuals/Families....................................................5
2.10 Plan for Relocation of Displaced Persons..........................................................................................5
2.11 Provisions for Relocation Costs .........................................................................................................5
2.12 Strategy for Compliance with Michigan’s Relocation Assistance Law...............................................5
2.13 Other Material that the Authority or Governing Body Considers Pertinent .....................................5
List of Figures
Figure 1 – Location Map of the Eligible Property
Figure 2 – Site Plans
List of Tables
Table 1 – Summary of Eligible Costs
Table 2 – Total Captured Incremental Taxes Estimates
Table 3 – Estimated Reimbursement Schedule
List of Appendices
Appendix 1 Brownfield Plan Resolution(s)
Appendix 2 Development/Reimbursement Agreement
Appendix 3 Notice to Taxing Jurisdictions
Appendix 4 Notice of Public Hearing
Appendix 5 Environmental Data Tables and Map
Z:\2024\240340\WORK\REPT\ACT 381 BP AMENDMENT 1\ACT 381_BROWNFIELD PLAN_HARBOR 31 HOTEL_CITY OF MUSKEGON BRA_2024_1030_DFT.DOCX
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Table of Contents Fishbeck | Page ii
List of Abbreviations/Acronyms
Act 381 Brownfield Redevelopment Financing Act, 1996 PA 381, as amended
Authority City of Muskegon Brownfield Redevelopment Authority
BEA Baseline Environmental Assessment
BPA Brownfield Plan Amendment
DDCC Documentation of Due Care Compliance
Developer Lakeshore Hotel Partners, LLC
ESA Environmental Site Assessment
EGLE Michigan Department of Environment, Great Lakes, and Energy
LBRF Local Brownfield Revolving Fund
MSF Michigan Strategic Fund
NREPA Natural Resources and Environmental Protect Act
PA Public Act
Plan Amendment Brownfield Plan Amendment
Property 181 and 201 Viridian Drive
QLGU Qualified Local Governmental Unit
Z:\2024\240340\WORK\REPT\ACT 381 BP AMENDMENT 1\ACT 381_BROWNFIELD PLAN_HARBOR 31 HOTEL_CITY OF MUSKEGON BRA_2024_1030_DFT.DOCX
Page 208 of 290
October 5, 2025 Fishbeck | Page 1
1.0 Introduction
The City of Muskegon Brownfield Redevelopment Authority (the “Authority”) was established by the City of
Muskegon pursuant to the Brownfield Redevelopment Financing Act, Michigan Public Act (PA) 381 of 1996, as
amended (“Act 381”). The primary purpose of Act 381 is to encourage the redevelopment of an eligible property
by providing economic development incentives through tax increment financing for certain eligible properties.
On December 10, 2024, the City of Muskegon (the “City”) approved a Brownfield Plan Amendment (BPA) to
incorporate 181 and 201 Viridian Drive, Muskegon, Michigan (the “Property”) into the City’s existing Brownfield
Plan. The BPA detailed redevelopment plans for the construction of a hotel on the Property, including eligible
activity costs and related reimbursement through local-only tax increment financing.
This first amendment to the BPA has been prepared to add state school tax capture for reimbursement of costs
related to Michigan Strategic Fund (MSF) eligible activities. See Attachment A for copies of amended BPA
resolutions.
1.1 Proposed Redevelopment and Future Use for Each Eligible Property
The Developer is proposing to redevelop the Harbor 31 Element Hotel located at 181 and 201 Viridian Drive. The
proposed redevelopment activities for “Element Muskegon” include the construction of a five-story hotel with
126 hotel rooms, 146 parking spaces, and two elevators. Amenities include two meeting rooms, an indoor pool, a
gym, and a restaurant and bar on the fifth floor along with an outdoor patio and dining. The total amount of
project investment is estimated to be $28,800,000 with 30–35 full-time equivalent jobs created as a result of this
development. Construction is expected to start in winter 2026 and be completed by fall 2027. The proposed site
plan is included in Figure 2.
This project serves a public purpose in the City of Muskegon, a Qualified Local Governmental Unit (QLGU),
expanding the tax base, investing significant capital into the community, and creating new jobs. Within walking
distance from both Muskegon Lake and Downtown Muskegon’s Social District, the Element Muskegon will be a
key part of the 31-acre lakefront Harbor 31 master-planned community, which includes homes, townhomes,
apartments, senior living, office space, and a marina for residents and visitors. There is no existing hotel or hotel
in development on this level of service within the region, so it will draw both community members and national
visitors looking to visit this region and Lake Michigan.
1.2 Eligible Property Information
Parcel ID: 61-24-607-000-0007-00
181 Viridian Drive, Muskegon, Michigan 49440
Approximately 0.99 acres
Parcel ID: 61-24-607-000-0006-00
201 Viridian Drive, Muskegon, Michigan 49440
Approximately 2.0 acres
The property is located in the City of Muskegon, a QLGU pursuant to Act 381.
The Property has been historically utilized for industrial purposes dating back to the 1800s. Based on historical
environmental investigations conducted over the past 25 years, these past industrial uses have resulted in
widespread contamination across the Property. Known contaminants in the soil with concentrations exceeding
Michigan Department of Environment, Great Lakes, and Energy (EGLE) Part 201 Generic Residential Cleanup
Criteria include benzo(a)pyrene, fluoranthene, naphthalene, phenanthrene, arsenic, cadmium, chromium (total),
copper, lead, selenium, zinc, and nickel.
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The Developer is not a liable party and is in the process of completing a Phase I Environmental Site Assessment
(ESA) and a Baseline Environmental Assessment (BEA) in accordance with Part 201 of the Natural Resources and
Environmental Protect Act, 1995 PA 451, as amended (NREPA), which will be completed when they acquire the
property.
Given the known soil contamination, the Property is a “facility” pursuant to Part 201 of NREPA. As such, it is
considered an “eligible property” as defined by the Michigan Redevelopment Financing Act, Act 381 of 1996.
Maps depicting the location and layout of the Property are attached as Figures 1 and 2. Historic environmental
data tables and associated sample location maps are provided in Appendix 5.
2.0 Information Required by Section 13(2) of the Statute
2.1 Description of Costs to be Paid for with Tax Increment Revenues
This Brownfield Plan has been developed to reimburse existing and anticipated costs to be incurred by the
Developer. Tax increment revenues will be captured for reimbursement from local-only tax increment revenues.
The total cost of eligible activities anticipated to be reimbursed to the Developer, inclusive of contingencies, is
anticipated to be $2,171,878. Authority administrative costs are anticipated to be up to $274,380. While all
activities are eligible, as defined in Act 381, the estimated eligible activities and costs under this plan are
summarized in Table 1. The capture of tax increment revenue for the Local Brownfield Revolving Fund (LBRF) is
estimated to be up to $926,988.
2.1.1 Pre-Approved Activities
Eligible costs for reimbursement include Pre-Approved Activities, permitted to occur prior to Plan Amendment
adoption. Preparation of Phase I and II ESA(s), BEA, and Documentation of Due Care Compliance (DDCC) are
necessary to protect the new Property owner/Developer from liability for environmental contamination.
Additional due care assessment and/or planning activities are anticipated including, but not limited to, the
preparation of a soil management plan and health and safety plan. The total cost is anticipated to be $20,000.
The total Pre-Approved Activities cost is $20,000.
2.1.2 Department Specific Activities
Due care activities will include additional investigative sampling and implementation of vapor concerns. Due care
costs will include environmental consultant oversight and management. If needed, engineering barriers, including
site concrete and paving, are anticipated to cost $160,000, a vapor mitigation system is anticipated to cost
$160,000, and contaminated soil removal and disposal is anticipated to cost $50,000, totaling $370,000.
2.1.3 Site Demolition
Limited site demolition activities will be conducted including but not limited to removal of curb cuts, and
sidewalks. Total site demolition is anticipated at $10,000.
2.1.4 Site Preparation
Site preparation activities are anticipated to include clearing and grubbing ($5,000), cut and fill operations
($5,000), dewatering ($30,000), excavation of unstable material ($60,000), fill ($71,000), foundation work/helical
piers to address special soil concerns ($620,000), staking ($30,000), temporary construction access/roads
($6,000), temporary erosion control ($8,000), temporary site control ($12,000), and associated soft costs
($150,000). The total cost of site preparation activities is anticipated to be $997,000.
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2.1.5 Brownfield Plan/Work Plan Preparation
Preparation of the Brownfield Plan is estimated to cost $25,000.
2.1.6 Brownfield Plan/Work Plan Implementation
Implementation of the Brownfield Plan is estimated to cost $10,000.
2.1.7 Interest
A 5% simple interest calculation is anticipated on the total costs annually. The total cost is anticipated to be
$533,328.
2.1.8 Contingency
A 15% contingency on future costs is included to cover unexpected cost overruns encountered during
construction.
The total non-environmental contingency cost is anticipated at $151,050.
The total Local-Only contingency cost is anticipated at $55,500.
2.1.9 Authority Administration Cost
Eligible costs incurred by the Authority are included in this plan as an eligible expense at 10% of annual local tax
increment capture per year. These expenses will be reimbursed with local tax increment revenues only and are
estimated to total as much as $274,380.
2.1.10 Local Brownfield Revolving Fund
The Authority intends to capture tax increments for deposits in the LBRF for an estimated five years, or as allowed
by the statute. This capture is estimated to be up to $926,988.
2.2 Summary of Eligible Activities
Environmental Activities
Pre-approved environmental costs, department specific activities and interest are anticipated to be reimbursed
through a Brownfield Plan State and Local tax increment revenues.
Non-Environmental Activities
Because the City of Muskegon is a QLGU, additional non-environmental costs defined in Section 2(o)(ii) of Act 381
can be reimbursed through a Brownfield Plan. While all eligible activities as defined by Act 381 are eligible, this
plan is estimated to provide reimbursement of eligible site demolition, site preparation, development of the
Brownfield Plan costs and interest. These costs will be reimbursed with state and local-only (interest) tax
increment revenues.
Authority Expenses
Eligible administrative costs incurred by the Authority are included as a flat fee of 10% of local tax capture.
Administration expenses will be reimbursed with local tax increment revenues only.
Contingencies
A 15% contingency on future costs is included to cover unexpected cost overruns encountered during
construction. The plan does not include a contingency on pre-approved activities or the preparation of the
Brownfield Plan.
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2.3 Estimate of Captured Taxable Value and Tax Increment Revenues
The initial taxable value will be the 2024 combined taxable value, $200,800. An estimate of the captured taxable
value for this redevelopment by year is depicted in Table 2. This plan captures all available tax increment
revenues, including real and personal property tax increment revenues.
The project is intended to start construction in Winter/Spring 2026 and be completed by Fall 2027. Tax increment
revenue collection will start within five years of the adoption of this plan and is anticipated to begin as early as
2027.
Future taxable value estimates have been derived using the redevelopment information provided by the
Developer and reviewing market comparables. After the completion of the project, the projected taxable value is
estimated at $5,000,000. In addition to tax increment financing, a Public Act 255 Commercial Redevelopment Act
Tax Abatement is being pursued for this development for an estimated 12 years. Reimbursements will be made
on the actual tax increment that is realized. The estimated captured taxable value for this redevelopment by year
and in aggregate for each taxing jurisdiction is depicted in tabular form (Table 2). Once eligible expenses are
reimbursed, the Authority may capture up to five full years of the tax increment and deposit the revenues into an
LBRF or an amount not to exceed the total cost of eligible activities. The Authority intends to capture tax
increments for deposits in the LBRF for an estimated five years. The plan also includes a flat fee of 10% of the
local tax increment for administrative and operating expenses of the Authority. A summary of the estimated
reimbursement schedule and the amount of capture into the LBRF by year and in aggregate is presented in
Table 3.
2.4 Method of Financing and Description of Advances Made by the Municipality
The eligible activities contemplated under this plan will be financed by the Developer, as outlined in this plan and
the accompanying development and reimbursement agreement (Appendix 2). No advances from the City are
anticipated at this time.
2.5 Maximum Amount of Note or Bonded Indebtedness
At this time, there are no plans by the Authority to incur indebtedness to support the development of this
property, but such plans could be made in the future to assist in the development if the Authority so chooses.
2.6 Duration of Brownfield Plan
The Authority intends to begin the capture of tax increment as early as 2028. This plan will then remain in place
for 21 years, or until the eligible activities have been fully reimbursed and up to five full years of capture into the
LBRF (not to exceed the cost of eligible activities or 30 years), whichever occurs sooner. An analysis showing the
reimbursement schedule is attached in Table 3.
2.7 Estimated Impact of Tax Increment Financing on Revenues of Taxing
Jurisdictions
An estimate of the impact of tax increment financing on the revenues of all taxing jurisdictions is illustrated in
detail in Table 2.
2.8 Legal Description, Property Map, Statement of Qualifying Characteristics,
and Personal Property
A map showing the eligible property dimensions is attached in Figure 1.
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October 5, 2025 Fishbeck | Page 5
The legal descriptions for the parcels are as follows:
Parcel ID No.: 61-24-607-000-0007-00
CITY OF MUSKEGON MUSKEGON LAKESHORE SMARTZONE UNIT G FIFTH AMEND TO MASTER DEED L/P
4292/128 SUBJ TO ELECTRIC ESMT REC L/P 3591/578 SBJT TO ELECTRIC EASEMENT RECORD'D L/P
3630/646
Parcel ID No.: 61-24-607-000-0006-00
CITY OF MUSKEGON MUSKEGON LAKESHORE SMARTZONE UNIT F FIFTH AMEND TO MASTER DEED L/P
4292/128 SUBJ TO ELECTRIC ESMT REC L/P 3591/578 SBJT TO ELECTRIC EASEMENT RECORD'D L/P
3630/646
The property is located in the City of Muskegon, a QLGU pursuant to Act 381. The property qualifies as “eligible
property” under Act 381 on the basis of meeting the definition of “facility.” This Brownfield Plan does intend to
capture tax increment revenues associated with personal property tax, if available.
2.9 Estimates of Residents and Displacement of Individuals/Families
There are no residents or families residing at this property, and thus no residents, families, or individuals will be
displaced by the project.
2.10 Plan for Relocation of Displaced Persons
No persons reside on the property. Therefore, this section is not applicable.
2.11 Provisions for Relocation Costs
No persons reside on the property. Therefore, this section is not applicable.
2.12 Strategy for Compliance with Michigan’s Relocation Assistance Law
No persons reside on the property. Therefore, this section is not applicable.
2.13 Other Material that the Authority or Governing Body Considers Pertinent
None.
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Figures
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Horton
Witham Drive
M 120
W
VICINITY MAP
hit
eh
MICHIGAN
all
Ro
ad
Laketon
e
Cemetery enu
Av
ke
La
CITY OF
MUSKEGON
MUSKEGON COUNTY
_
^
Veterans
Memorial Park
Bear Lake
Beach Park M 120
Hard copy is
Bear Lake North Muskegon intended to be
8.5"x11" when
plotted. Scale(s)
Verplanks / indicated and
graphic quality may
Former Cobb not be accurate for
any other size.
plant site M 120
North Verplanks
Muskegon
Waterfront
Sports Park
ive
Dr
an
im
ay
dd
Ru
r kw
201 & 181 Viridian Drive
Pa
es
Jon
J
Marquette Avenue
ses
Muskegon, Michigan
Mo
SITE
Brownfield Plan
Green Acres
ive
US 31 Business Park
Dr
line
Te
r
ore
rac
Sh
1s
eS
tS
PLOT INFO: Z:\2024\240340\CAD\GIS\ProProj\Brownfield Plan.aprx Layout: FIG01_Location Map Date: 6/11/2024 11:32 AM User: ebuyce
tre
tre
et
et
Muskegon M 46
Hartshorn Marina
Division Street
Oakwood
West Southern Avenue
Cemetery
West Laketon Avenue
West Laketon Avenue
East Laketon Avenue
Catholic PROJECT NO.
Central High
240340
LOCATION MAP
School
FIGURE NO.
NORTH FEET
1
Sanford Street
cGraft Park 0 1,000 2,000
Peck Street
DATA SOURCES: ESRI STREET MAP.
©Copyright 2024 All Rights Reserved US 31 Business
Page 215 of 290
LEGEND
Approximate Property Boundary
Hard copy is
Muskegon intended to be
8.5"x11" when
Innovation Hub plotted. Scale(s)
at Grand Valley indicated and
graphic quality may
State not be accurate for
any other size.
University
Vi
rid
i an
r
201 & 181 Viridian Drivei d i a n D
Dr
r
Vi
Muskegon, Michigan
61-24-607-000-0006-00
Brownfield Plan
V ir
i d i a n Dr
61-24-607-000-0007-00
d
lro a
Rai
PLOT INFO: Z:\2024\240340\CAD\GIS\ProProj\Brownfield Plan.aprx Layout: FIG02_Site Map Date: 6/11/2024 11:32 AM User: ebuyce
dO
an
Te rra c e P o i n t R d
31
C
r
in eD
o rel
Sh 31
Dr
i ne
o rel
Sh
31
Te
rra
ce
Pl
az
aC
t
31
PROJECT NO.
240340
SITE MAP 31
FIGURE NO.
2
FEET
NORTH 0 75 150
46
DATA SOURCES: ESRI HYRBID REFERENCE LAYER & MiSAIL IMAGERY.
©Copyright 2024 All Rights Reserved Terrace Plaza
Page 216 of 290
COPYRIGHT 2023-ALL RIGHTS RESERVED. THIS DRAWING REMAINS THE PROPERTY OF HENRICKSON ARCHITECTURE AND PLANNING AND IS FOR USE ONLY AS AUTHORIZED BY HENRICKSON ARCHITECTURE AND PLANNING
OFFICE OFFICE GUEST
LUGGAGE/
I.T. / DATA VESTIBULE
STORAGE
MEETING
ROOM
720 SF.
MECHANICAL
RESTORE
512 sf. CHECK-IN
ADMIN. LOUNGE
COMMON
COMMON
NOMMOC
KING
KING
GNIK
ELECTRICAL
EMR
HARBOR 31 - ELEMENT HOTEL
ONE BEDROOM
ADA LAYOUT
ELEVATOR
LOBBY FIREPLACE RISE DINING
WOMENS MENS
HOUSEKEEPING/
IDF4
LAUNDRY ICE
ELEV A ELEV B
STAIR C
ENO
MOORDEB
HOUSE
SERVICE FOOD PREP
KEEPING
ELEV STORAGE STORAGE
LOBBY
LINEN
STORAGE STAIR B
130sf.
RR JAN.
QUEEN/QUEEN
STUDIO
EMPLOYEE
BREAKROOM ONE
BEDROOM+ +
MOTION
OIDUTS
NEEUQ/NEEUQ
GUEST
LAUNDRY
VESTIBULE CORRIDOR
MUSKEGON, MICHIGAN
STAIR A
KING
COMMON
INDOOR
VIRIDIAN DRIVE
POOL
KING BEDROOM
COMMON ONE
ONE
BEDROOM+
BEDROOM
ONE
ELEMENT by WESTIN
REVIEW 12.11.23
DRAWN BY: DLJ
CHECKED: DSH
SITE PLAN
1" = 20'-0"
PROJECT No. 230402
10/26/2023 11:26 AM
FILE NAME: BP1.DWG
000
Page 217 of 290
Room Type Summary
Standard
Studio King Studio Queen/Queen One Bedroom One Bedroom ADA Common King Conference Suite Total Rooms
King
First Floor 0 0 2 5 1 5 0 13
Second floor 6 1 6 9 1 6 1 30
Third Floor 7 1 6 10 1 6 1 32
Fourth Floor 7 1 6 10 1 6 1 32
PARKING SUMMARY Fifth Floor 4 0 6 4 1 4 0 19
LODGING (1 PER ROOM) 129 SPACES Total 24 3 26 38 5 30 3 126
1ST FLOOR OFFICE/RETAIL (1,176 SF.) (1 PER 500SF.) 3 SPACES
Extended Stay 75 58%
5TH FLOOR OFFICE/RETAIL (6,938 SF.) (1 PER 500SF.) 13 SPACES
146 SPACES Standard 54 42%
OFFICE OFFICE GUEST
LUGGAGE/
I.T. / DATA VESTIBULE
STORAGE
MEETING
ROOM
720 SF.
COPYRIGHT 2023-ALL RIGHTS RESERVED. THIS DRAWING REMAINS THE PROPERTY OF HENRICKSON ARCHITECTURE AND PLANNING AND IS FOR USE ONLY AS AUTHORIZED BY HENRICKSON ARCHITECTURE AND PLANNING
MECHANICAL
RESTORE
512 sf. CHECK-IN
ADMIN. LOUNGE
COMMON
COMMON
NOMMOC
KING
KING
GNIK
ELECTRICAL
EMR
HARBOR 31 - ELEMENT HOTEL
ONE BEDROOM
ADA LAYOUT
ELEVATOR
LOBBY FIREPLACE RISE DINING
WOMENS MENS
HOUSEKEEPING/
IDF4
LAUNDRY ICE
ELEV A ELEV B
STAIR C
ENO
MOORDEB
HOUSE
SERVICE FOOD PREP
KEEPING
ELEV STORAGE STORAGE
LOBBY
LINEN
STORAGE STAIR B
130sf.
RR JAN.
MUSKEGON, MICHIGAN
QUEEN/QUEEN
STUDIO
EMPLOYEE
BREAKROOM
VIRIDIAN DRIVE
ONE
BEDROOM+ +
MOTION
OIDUTS
NEEUQ/NEEUQ
GUEST
LAUNDRY
VESTIBULE CORRIDOR
ELEMENT by WESTIN
STAIR A
KING
COMMON
INDOOR
POOL
REVIEW 12.11.23
KING BEDROOM
COMMON ONE
ONE
BEDROOM+
BEDROOM
ONE
DRAWN BY: DLJ
CHECKED: DSH
FIRST FLOOR
3/32"=1'-0"
PROJECT No. 230402
10/26/2023 11:26 AM
FILE NAME: BP1.DWG
001
Page 218 of 290
BEDROOM
STANDARD
STANDARD
QUEEN/QUEEN
NEEUQ/NEEUQ
ONE
KING
KING
STUDIO
KING
STUDIO
OIDUTS
CONFERENCE
SUITE
COMMON
COMMON
COMMON
NOMMOC
COPYRIGHT 2023-ALL RIGHTS RESERVED. THIS DRAWING REMAINS THE PROPERTY OF HENRICKSON ARCHITECTURE AND PLANNING AND IS FOR USE ONLY AS AUTHORIZED BY HENRICKSON ARCHITECTURE AND PLANNING
KING
KING
KING
GNIK
ONE BEDROOM
ADA LAYOUT
NEEUQ/NEEUQ
QUEEN/QUEEN
OIDUTS
STUDIO
DRADNATS
HARBOR 31 - ELEMENT HOTEL
IDF4
GNIK
KING
STANDARD
ICE
ELEV A ELEV B
STAIR C
ENO
MOORDEB
STORAGE STORAGE
ONE
BEDROOM
HOUSE
KEEPING
ELEC.
ROOM
STAIR B
QUEEN/QUEEN
STUDIO
ONE ENO
BEDROOM MOORDEB
ONE
BEDROOM+ +
MUSKEGON, MICHIGAN
OIDUTS
NEEUQ/NEEUQ
VIRIDIAN DRIVE
STANDARD DRADNATS
KING GNIK
KING STAIR A
COMMON
ELEMENT by WESTIN
KING BEDROOM
COMMON ONE
REVIEW 12.11.23
ONE
BEDROOM+
BEDROOM
ONE
DRAWN BY: DLJ
CHECKED: DSH
SECOND FLOOR
3/32"=1'-0"
PROJECT No. 230402
10/26/2023 11:26 AM
FILE NAME: BP1.DWG
002
Page 219 of 290
BEDROOM
STANDARD
STANDARD
QUEEN/QUEEN
NEEUQ/NEEUQ
ONE
STUDIO
KING
KING
KING
STUDIO
OIDUTS
CONFERENCE
SUITE
COMMON
COMMON
COMMON
NOMMOC
COPYRIGHT 2023-ALL RIGHTS RESERVED. THIS DRAWING REMAINS THE PROPERTY OF HENRICKSON ARCHITECTURE AND PLANNING AND IS FOR USE ONLY AS AUTHORIZED BY HENRICKSON ARCHITECTURE AND PLANNING
KING
KING
KING
GNIK
ONE BEDROOM
ADA LAYOUT
NEEUQ/NEEUQ
QUEEN/QUEEN
OIDUTS
STUDIO
DRADNATS
DRADNATS
HARBOR 31 - ELEMENT HOTEL
MOORDEB
IDF4
GNIK
GNIK
ENO
KING
STANDARD
ICE
ELEV A ELEV B
STAIR C
ENO
MOORDEB
STORAGE STORAGE
ONE
BEDROOM
HOUSE
KEEPING
ELEC.
ROOM
STAIR B
QUEEN/QUEEN
STUDIO
ONE ENO
BEDROOM MOORDEB
ONE
BEDROOM+ +
MUSKEGON, MICHIGAN
OIDUTS
NEEUQ/NEEUQ
VIRIDIAN DRIVE
STANDARD DRADNATS
KING GNIK
STAIR A
KING
COMMON
ELEMENT by WESTIN
KING BEDROOM
COMMON ONE
REVIEW 12.11.23
ONE
BEDROOM+
BEDROOM
ONE
DRAWN BY: DLJ
CHECKED: DSH
THIRD FLOOR
3/32"=1'-0"
PROJECT No. 230402
10/26/2023 11:26 AM
FILE NAME: BP1.DWG
003
Page 220 of 290
BEDROOM
STANDARD
STANDARD
QUEEN/QUEEN
NEEUQ/NEEUQ
ONE
STUDIO
KING
KING
KING
STUDIO
OIDUTS
CONFERENCE
SUITE
COMMON
COMMON
COMMON
NOMMOC
COPYRIGHT 2023-ALL RIGHTS RESERVED. THIS DRAWING REMAINS THE PROPERTY OF HENRICKSON ARCHITECTURE AND PLANNING AND IS FOR USE ONLY AS AUTHORIZED BY HENRICKSON ARCHITECTURE AND PLANNING
KING
KING
KING
GNIK
ONE BEDROOM
ADA LAYOUT
NEEUQ/NEEUQ
QUEEN/QUEEN
OIDUTS
STUDIO
DRADNATS
DRADNATS
HARBOR 31 - ELEMENT HOTEL
MOORDEB
IDF4
GNIK
GNIK
ENO
KING
STANDARD
ICE
ELEV A ELEV B
STAIR C
ENO
MOORDEB
STORAGE STORAGE
ONE
BEDROOM
HOUSE
KEEPING
ELEC.
ROOM
STAIR B
QUEEN/QUEEN
STUDIO
ONE ENO
BEDROOM MOORDEB
ONE
BEDROOM+ +
MUSKEGON, MICHIGAN
OIDUTS
NEEUQ/NEEUQ
VIRIDIAN DRIVE
STANDARD DRADNATS
KING GNIK
STAIR A
KING
COMMON
ELEMENT by WESTIN
KING BEDROOM
COMMON ONE
REVIEW 12.11.23
ONE
BEDROOM+
BEDROOM
ONE
DRAWN BY: DLJ
CHECKED: DSH
FOURTH FLOOR
3/32"=1'-0"
PROJECT No. 230402
10/26/2023 11:26 AM
FILE NAME: BP1.DWG
004
Page 221 of 290
MEETING ROOM
520 SF.
1/15 SF. (PERSONS)
BEDROOM
STANDARD
STANDARD
QUEEN/QUEEN
NEEUQ/NEEUQ
ONE
KING
KING
STUDIO
OIDUTS
COMMON
COMMON
COMMON
NOMMOC
COPYRIGHT 2023-ALL RIGHTS RESERVED. THIS DRAWING REMAINS THE PROPERTY OF HENRICKSON ARCHITECTURE AND PLANNING AND IS FOR USE ONLY AS AUTHORIZED BY HENRICKSON ARCHITECTURE AND PLANNING
KING
KING
KING
GNIK
ONE BEDROOM
ADA LAYOUT
NEEUQ/NEEUQ
QUEEN/QUEEN
OIDUTS
STUDIO
DRADNATS
DRADNATS
HARBOR 31 - ELEMENT HOTEL
MOORDEB
IDF4
GNIK
GNIK
ENO
ICE
CASUAL DINING ELEV A ELEV B
560 SF.
STAIR C
1/15 SF. (PERSONS)
ENO
MOORDEB
STORAGE STORAGE
HOUSE
KEEPING
ELEC.
ROOM
STAIR B
QUEEN/QUEEN
STUDIO
ONE
BEDROOM+ +
MUSKEGON, MICHIGAN
BAR
1,720 SF. KITCHEN
1/15 SF. (PERSONS) BAR 490 SF. OIDUTS
NEEUQ/NEEUQ
VIRIDIAN DRIVE
1/200 SF. (PERSONS)
STAIR A
ELEMENT by WESTIN
STOR.
BAR
REVIEW 12.11.23
OUTDOOR
PATIO & DINING
2,000 SF.
1/15 SF. (PERSONS)
DRAWN BY: DLJ
CHECKED: DSH
FIFTH FLOOR
3/32"=1'-0"
PROJECT No. 230402
10/26/2023 11:26 AM
FILE NAME: BP1.DWG
005
Page 222 of 290
Page 223 of 290
Page 224 of 290
Page 225 of 290
Page 226 of 290
Tables
Page 227 of 290
Table 1 – Summary of Eligible Costs
Act 381 Brownfield Plan
Harbor 31 Hotel
EGLE Eligible Activities Costs and Schedule
EGLE Eligible Activities Cost Completion Season/Year
Site Assessment and Baseline Environmental Assessment Activities $ 20,000
Phase I ESA, Phase II ESA, BEA, DDCC $ 20,000 Fall 2025
EGLE Eligible Activities Subtotal $ 20,000
EGLE Eligible Activities Total Costs $ 20,000
MEDC Eligible Activities Costs and Schedule
MEDC Eligible Activities Cost Completion Season/Year
Site Preparation $ 997,000
Clearing and Grubbing $ 5,000 Spring 2026
Cut & Fill Operations $ 5,000 Spring 2026
Dewatering $ 30,000 Spring 2026
Excavation of Unstable Material $ 60,000 Spring 2026
Fill $ 71,000 Spring 2026
Foundation Work to Address Special Soil Concerns (Helical Piers) $ 620,000 Spring 2026
Staking $ 30,000 Spring 2026
Temporary Construction Access/Roads $ 6,000 Spring 2026
Temporary Erosion Control $ 8,000 Spring 2026
Temporary Site Control $ 12,000 Spring 2026
Soft Costs (architectural, engineering) $ 150,000 Spring 2026
Demolition $ 10,000
Site Demolition $ 10,000 Spring 2026
MEDC Eligible Activities Subtotal $ 1,007,000
Contingency (15%) $ 151,050
Brownfield Plan/Work Plan Preparation $ 15,000
MEDC Eligible Activities Total Costs $ 1,173,050
Local Only Eligible Activities Costs and Schedule
Local Only Eligible Activities Cost Completion Season/Year
Due Care Activities $ 370,000
Engineered Barriers $ 160,000 Summer /Fall 2026
Vapor Intrusion Mitigation System $ 160,000 Summer /Fall 2026
Contaminated Soil Removal and Disposal $ 50,000 Summer /Fall 2026
Local Only Eligible Activities Subtotal $ 370,000
Contingency (15%) $ 55,500
Interest Expense (5%) $ 533,328
Brownfield Plan/Work Plan Preparation $ 10,000
Brownfield Plan/Work Plan Implementation $ 10,000
Local Only Eligible Activities Total Costs $ 978,828
10/6/2025
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Table 2 – Total Captured Incremental Taxes Schedule
Act 381 Brownfield Plan
Harbor 31 Hotel
181 201 Viridian Drive
Muskegon, MI
Estimated Taxable Value (TV) Increase Rate: 2% increase per year
Plan Year 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Totals
Calendar Year 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 2046 2047 2048
*Base Taxable Value $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ 200,800 $ -
Future Taxable Value $ 5,000,000 $ 5,100,000 $ 5,202,000 $ 5,306,040 $ 5,412,161 $ 5,520,404 $ 5,630,812 $ 5,743,428 $ 5,858,297 $ 5,975,463 $ 6,094,972 $ 6,216,872 $ 6,341,209 $ 6,468,033 $ 6,597,394 $ 6,729,342 $ 6,863,929 $ 7,001,207 $ 7,141,231 $ 7,284,056 $ 7,429,737 $ -
Incremental Difference (New TV - Base TV) $ 4,799,200 $ 4,899,200 $ 5,001,200 $ 5,105,240 $ 5,211,361 $ 5,319,604 $ 5,430,012 $ 5,542,628 $ 5,657,497 $ 5,774,663 $ 5,894,172 $ 6,016,072 $ 6,140,409 $ 6,267,233 $ 6,396,594 $ 6,528,542 $ 6,663,129 $ 6,800,407 $ 6,940,431 $ 7,083,256 $ 7,228,937 $ -
School Capture Millage Rate
School Operating 18.0000 $ 43,193 $ 44,093 $ 45,011 $ 45,947 $ 46,902 $ 47,876 $ 48,870 $ 49,884 $ 50,917 $ 51,972 $ 53,048 $ 54,145 $ 110,527 $ 112,810 $ 115,139 $ 117,514 $ 119,936 $ 122,407 $ 124,928 $ 127,499 $ 130,121 $ 1,662,739
State Education Tax (SET) 6.0000 $ 28,795 $ 29,395 $ 30,007 $ 30,631 $ 31,268 $ 31,918 $ 32,580 $ 33,256 $ 33,945 $ 34,648 $ 35,365 $ 36,096 $ 36,842 $ 37,603 $ 38,380 $ 39,171 $ 39,979 $ 40,802 $ 41,643 $ 42,500 $ 43,374 $ 748,199
School Total 24.0000 $ 71,988 $ 73,488 $ 75,018 $ 76,579 $ 78,170 $ 79,794 $ 81,450 $ 83,139 $ 84,862 $ 86,620 $ 88,413 $ 90,241 $ 147,370 $ 150,414 $ 153,518 $ 156,685 $ 159,915 $ 163,210 $ 166,570 $ 169,998 $ 173,494 $ 2,410,937
Local Capture Millage Rate
County Operating 5.5637 $ 13,351 $ 13,629 $ 13,913 $ 14,202 $ 14,497 $ 14,798 $ 15,105 $ 15,419 $ 15,738 $ 16,064 $ 16,397 $ 16,736 $ 34,163 $ 34,869 $ 35,589 $ 36,323 $ 37,072 $ 37,835 $ 38,614 $ 39,409 $ 40,220 $ 513,943
County Museum 0.3169 $ 760 $ 776 $ 792 $ 809 $ 826 $ 843 $ 860 $ 878 $ 896 $ 915 $ 934 $ 953 $ 1,946 $ 1,986 $ 2,027 $ 2,069 $ 2,112 $ 2,155 $ 2,199 $ 2,245 $ 2,291 $ 29,273
County Veterans 0.0739 $ 177 $ 181 $ 185 $ 189 $ 193 $ 197 $ 201 $ 205 $ 209 $ 213 $ 218 $ 222 $ 454 $ 463 $ 473 $ 482 $ 492 $ 503 $ 513 $ 523 $ 534 $ 6,826
Senior Citizen Services 0.4921 $ 1,181 $ 1,205 $ 1,231 $ 1,256 $ 1,282 $ 1,309 $ 1,336 $ 1,364 $ 1,392 $ 1,421 $ 1,450 $ 1,480 $ 3,022 $ 3,084 $ 3,148 $ 3,213 $ 3,279 $ 3,346 $ 3,415 $ 3,486 $ 3,557 $ 45,457
Central Dispatch 0.2952 $ 708 $ 723 $ 738 $ 754 $ 769 $ 785 $ 801 $ 818 $ 835 $ 852 $ 870 $ 888 $ 1,813 $ 1,850 $ 1,888 $ 1,927 $ 1,967 $ 2,007 $ 2,049 $ 2,091 $ 2,134 $ 27,269
Community College 2.1693 $ 5,205 $ 5,314 $ 5,425 $ 5,537 $ 5,653 $ 5,770 $ 5,890 $ 6,012 $ 6,136 $ 6,263 $ 6,393 $ 6,525 $ 13,320 $ 13,596 $ 13,876 $ 14,162 $ 14,454 $ 14,752 $ 15,056 $ 15,366 $ 15,682 $ 200,388
MAISD 4.6773 $ 11,224 $ 11,458 $ 11,696 $ 11,939 $ 12,188 $ 12,441 $ 12,699 $ 12,962 $ 13,231 $ 13,505 $ 13,784 $ 14,069 $ 28,721 $ 29,314 $ 29,919 $ 30,536 $ 31,165 $ 31,808 $ 32,462 $ 33,131 $ 33,812 $ 432,063
City Operating 9.8554 $ 23,649 $ 24,142 $ 24,644 $ 25,157 $ 25,680 $ 26,213 $ 26,757 $ 27,312 $ 27,878 $ 28,456 $ 29,045 $ 29,645 $ 60,516 $ 61,766 $ 63,041 $ 64,341 $ 65,668 $ 67,021 $ 68,401 $ 69,808 $ 71,244 $ 910,386
City Sanitation 2.9364 $ 7,046 $ 7,193 $ 7,343 $ 7,496 $ 7,651 $ 7,810 $ 7,972 $ 8,138 $ 8,306 $ 8,478 $ 8,654 $ 8,833 $ 18,031 $ 18,403 $ 18,783 $ 19,170 $ 19,566 $ 19,969 $ 20,380 $ 20,799 $ 21,227 $ 271,248
Hackley Library 2.3516 $ 5,643 $ 5,760 $ 5,880 $ 6,003 $ 6,128 $ 6,255 $ 6,385 $ 6,517 $ 6,652 $ 6,790 $ 6,930 $ 7,074 $ 14,440 $ 14,738 $ 15,042 $ 15,353 $ 15,669 $ 15,992 $ 16,321 $ 16,657 $ 17,000 $ 217,228
MPS Sinking 0.9712 $ 2,330 $ 2,379 $ 2,429 $ 2,479 $ 2,531 $ 2,583 $ 2,637 $ 2,692 $ 2,747 $ 2,804 $ 2,862 $ 2,921 $ 5,964 $ 6,087 $ 6,212 $ 6,341 $ 6,471 $ 6,605 $ 6,741 $ 6,879 $ 7,021 $ 89,714
Local Total 29.7030 $ 71,275 $ 72,760 $ 74,275 $ 75,820 $ 77,397 $ 79,004 $ 80,644 $ 82,316 $ 84,022 $ 85,762 $ 87,537 $ 89,348 $ 182,389 $ 186,156 $ 189,998 $ 193,917 $ 197,915 $ 201,992 $ 206,152 $ 210,394 $ 214,721 $ 2,743,796
Non-Capturable Millages Millage Rate
Community College Debt 0.2700 $ 648 $ 661 $ 675 $ 689 $ 704 $ 718 $ 733 $ 748 $ 764 $ 780 $ 796 $ 812 $ 1,658 $ 1,692 $ 1,727 $ 1,763 $ 1,799 $ 1,836 $ 1,874 $ 1,912 $ 1,952 $ 24,941
Hackley Debt 0.4999 $ 1,200 $ 1,225 $ 1,250 $ 1,276 $ 1,303 $ 1,330 $ 1,357 $ 1,385 $ 1,414 $ 1,443 $ 1,473 $ 1,504 $ 3,070 $ 3,133 $ 3,198 $ 3,264 $ 3,331 $ 3,400 $ 3,470 $ 3,541 $ 3,614 $ 46,178
MPS Debt (2020 & 2021) 7.7500 $ 18,597 $ 18,984 $ 19,380 $ 19,783 $ 20,194 $ 20,613 $ 21,041 $ 21,478 $ 21,923 $ 22,377 $ 22,840 $ 23,312 $ 47,588 $ 48,571 $ 49,574 $ 50,596 $ 51,639 $ 52,703 $ 53,788 $ 54,895 $ 56,024 $ 715,901
Non-Capturable Total 8.5199 $ 20,444 $ 20,870 $ 21,305 $ 21,748 $ 22,200 $ 22,661 $ 23,132 $ 23,611 $ 24,101 $ 24,600 $ 25,109 $ 25,628 $ 52,316 $ 53,396 $ 54,498 $ 55,623 $ 56,769 $ 57,939 $ 59,132 $ 60,349 $ 61,590 $ 787,020
Total Tax Increment Revenue (TIR) Available for Capture $ 143,263 $ 146,248 $ 149,293 $ 152,399 $ 155,567 $ 158,798 $ 162,094 $ 165,456 $ 168,885 $ 172,382 $ 175,950 $ 179,589 $ 329,758 $ 336,569 $ 343,516 $ 350,602 $ 357,830 $ 365,202 $ 372,722 $ 380,392 $ 388,216 $ 5,154,733
NOTES:
PA 255 Commercial Redevelopment Act Tax Abatement - New Facility is anticipated for 12 years.
PA 255 is a 50% reduction in ad valorum taxes (excluding only SET) for a period of 12 years.
10/6/2025
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Table 3 – Estimated Reimbursement Schedule
Act 381 Brownfield Plan
Harbor 31 Hotel
181 201 Viridian Drive
Muskegon, MI
Developer
School & Local
Maximum Proportionality Local-Only Taxes Total
Taxes
Reimbursement Estimated Capture
State 44.7% $ 651,305 $ - $ 651,305 Estimated Total 21 (including 5 years Administrative Fees $ 274,380
Local 55.3% $ 806,071 $ 737,502 $ 1,543,573 Years of Plan: LBRF Capture) State Brownfield Redevelopment Fund $ -
TOTAL Local Brownfield Revolving Fund $ 808,860
Pre-Approved 2.6% $ 20,000 $ - $ 20,000
MEDC 98.6% $ 1,437,376 $ - $ 1,437,376
Local-Only 97.4% $ - $ 737,502 $ 737,502
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 2046 2047 2048 TOTAL
Total State Incremental Revenue $ 71,988 $ 73,488 $ 75,018 $ 76,579 $ 78,170 $ 79,794 $ 81,450 $ 83,139 $ 84,862 $ 86,620 $ 88,413 $ 90,241 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 969,763
State Brownfield Redevelopment Fund (50% of SET) $ 21,596 $ 22,046 $ 22,505 $ 22,974 $ 23,451 $ 23,938 $ 24,435 $ 24,942 $ 25,459 $ 25,986 $ 26,524 $ 27,072 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 290,929
State TIR Available for Reimbursement $ 50,392 $ 51,442 $ 52,513 $ 53,605 $ 54,719 $ 55,856 $ 57,015 $ 58,198 $ 59,404 $ 60,634 $ 61,889 $ 63,169 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 678,834
Total Local Incremental Revenue $ 71,275 $ 72,760 $ 74,275 $ 75,820 $ 77,397 $ 79,004 $ 80,644 $ 82,316 $ 84,022 $ 85,762 $ 87,537 $ 89,348 $ 182,389 $ 186,156 $ 189,998 $ 193,917 $ 197,915 $ 201,992 $ 206,152 $ 210,394 $ 214,721 $ 2,743,796
BRA Administrative Fee (10%) $ 7,128 $ 7,276 $ 7,428 $ 7,582 $ 7,740 $ 7,900 $ 8,064 $ 8,232 $ 8,402 $ 8,576 $ 8,754 $ 8,935 $ 18,239 $ 18,616 $ 19,000 $ 19,392 $ 19,791 $ 20,199 $ 20,615 $ 21,039 $ 21,472 $ 274,380
Local TIR Available for Reimbursement $ 64,148 $ 65,484 $ 66,848 $ 68,238 $ 69,657 $ 71,104 $ 72,579 $ 74,085 $ 75,620 $ 77,186 $ 78,784 $ 80,413 $ 164,150 $ 167,540 $ 170,998 $ 174,526 $ 178,123 $ 181,793 $ 185,536 $ 189,355 $ 193,249 $ 2,469,416
Total State & Local TIR Available $ 114,539 $ 116,926 $ 119,360 $ 121,843 $ 124,376 $ 126,960 $ 129,595 $ 132,282 $ 135,024 $ 137,820 $ 140,672 $ 143,582 $ 164,150 $ 167,540 $ 170,998 $ 174,526 $ 178,123 $ 181,793 $ 185,536 $ 189,355 $ 193,249 $ 3,148,250
Beginning
DEVELOPER Balance
Reimbursement Balance $ 2,194,878 $ 2,080,338 $ 1,963,412 $ 1,844,052 $ 1,722,208 $ 1,597,832 $ 1,470,873 $ 1,341,278 $ 1,208,996 $ 1,073,972 $ 964,544 $ 885,761 $ 805,348 $ 641,198 $ 473,658 $ 302,660 $ 128,134 $ - $ - $ - $ - $ - $ -
EGLE Environmental Costs $ 20,000 $ 20,000 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
State Tax Reimbursement $ 8,938 $ 8,938 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 8,938
Local Tax Reimbursement $ 11,062 $ 11,062 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 11,062
Total EGLE Reimbursement Balance $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 20,000
MEDC Non-Environmental Costs $ 1,173,050 $ 1,173,050 $ 1,078,511 $ 961,585 $ 842,224 $ 720,381 $ 596,005 $ 469,045 $ 339,450 $ 207,168 $ 72,144 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
State Tax Reimbursement $ 524,239 $ 41,454 $ 51,442 $ 52,513 $ 53,605 $ 54,719 $ 55,856 $ 57,015 $ 58,198 $ 59,404 $ 32,241 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 516,446
Local Tax Reimbursement $ 648,811 $ 53,086 $ 65,484 $ 66,848 $ 68,238 $ 69,657 $ 71,104 $ 72,579 $ 74,085 $ 75,620 $ 39,903 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 656,604
Total MEDC Reimbursement Balance $ 1,078,511 $ 961,585 $ 842,224 $ 720,381 $ 596,005 $ 469,045 $ 339,450 $ 207,168 $ 72,144 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 1,173,050
Local-Only Costs $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 431,217 $ 352,433 $ 272,020 $ 107,871 $ - $ - $ - $ - $ - $ - $ -
Local Tax Reimbursement $ 468,500 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 37,283 $ 78,784 $ 80,413 $ 164,150 $ 107,871 $ - $ - $ - $ - $ 468,500
Total Local-Only Reimbursement Balance $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 468,500 $ 431,217 $ 352,433 $ 272,020 $ 107,871 $ - $ - $ - $ - $ - $ - $ - $ - $ 468,500
Simple Interest Expense (5%) $ 533,328 $ - $ 77,351 $ 148,855 $ 214,391 $ 273,835 $ 327,060 $ 373,937 $ 414,335 $ 448,118 $ 475,151 $ 496,711 $ 514,333 $ 527,934 $ 533,328 $ 473,658 $ 302,660 $ 128,134 $ - $ - $ - $ -
Annual Interest Incurred $ 77,351 $ 71,504 $ 65,536 $ 59,444 $ 53,225 $ 46,877 $ 40,398 $ 33,783 $ 27,032 $ 21,561 $ 17,622 $ 13,601 $ 5,394 $ - $ - $ - $ - $ - $ - $ - $ - $ 533,328
MEDC $ 118,128 $ 53,926 $ 48,079 $ 42,111 $ 36,019 $ 29,800 $ 23,452 $ 16,973 $ 10,358 $ 3,607 $ - $ - $ - $ - $ 264,326
Local-Only $ 415,200 $ 23,425 $ 23,425 $ 23,425 $ 23,425 $ 23,425 $ 23,425 $ 23,425 $ 23,425 $ 23,425 $ 21,561 $ 17,622 $ 13,601 $ 5,394 $ 269,002
Local Tax Reimbursement $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 59,670 $ 170,998 $ 174,526 $ 128,134 $ - $ - $ - $ - $ 533,328
Total Interest Reimbursement Balance $ 77,351 $ 148,855 $ 214,391 $ 273,835 $ 327,060 $ 373,937 $ 414,335 $ 448,118 $ 475,151 $ 496,711 $ 514,333 $ 527,934 $ 533,328 $ 473,658 $ 302,660 $ 128,134 $ - $ - $ - $ - $ - $ 533,328
Total Annual Developer Reimbursement $ 114,539 $ 116,926 $ 119,360 $ 121,843 $ 124,376 $ 126,960 $ 129,595 $ 132,282 $ 135,024 $ 109,428 $ 78,784 $ 80,413 $ 164,150 $ 167,540 $ 170,998 $ 174,526 $ 128,134 $ - $ - $ - $ - $ 2,194,878
LOCAL BROWNFIELD REVOLVING FUND
LBRF Deposits * $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 808,860
State Tax Capture $ 8,938 $ - $ - $ - $ - $ - $ - $ - $ - $ 8,938 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 8,938
Local Tax Capture $ 799,922 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 49,989 $ 181,793 $ 185,536 $ 189,355 $ 193,249 $ 799,922
Total LBRF Capture $ 808,860 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
* Up to five years of capture for LBRF Deposits after eligible activities are reimbursed. May be taken from state and local TIR.
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Appendix 1
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Page Intentionally Left Blank
Resolutions Pending
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Appendix 2
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DEVELOPMENT AND REIMBURSEMENT AGREEMENT
This DEVELOPMENT AND REIMBURSEMENT AGREEMENT (the “Agreement”)
is made on _________, ______, by and among the CITY OF MUSKEGON
BROWNFIELD REDEVELOPMENT AUTHORITY, a Michigan public body corporate
whose address is 933 Terrace Street, Muskegon, Michigan 49443 (the “Authority”), the
CITY OF MUSKEGON, a public body corporate whose address is 933 Terrace Street,
Muskegon, Michigan 49443 (the “City”), and Lakeshore Hotel Partners, LLC, a Michigan
limited liability company whose address is 2325 Belmont Center Drive NE, Belmont,
Michigan 49306 (the “Developer”).
RECITALS
A. Pursuant to P.A. 381 of 1996, as amended (“Act 381”), the Authority
approved and recommended a Brownfield Plan which was duly approved by the City (the
“Plan”). The Plan was amended on December 10, 2024 (the “Amendment,” and,
together with the Plan, the “Brownfield Plan” – See Exhibit A) to identify the construction
of a five-story hotel with 126 hotel rooms. The Plan Amendment was amended on _____
to allow for the state tax capture of eligible non-environmental activities.
B. The Brownfield Plan and Amendment includes specific eligible activities
associated with the Developer’s plan to develop land located at 181 & 201 Viridian Drive
in Muskegon, Michigan (collectively, the “Developer Property”).
C. The Developer is in the process of acquiring the Developer Property, which
is included in the Brownfield Plan as an “eligible property” because it was determined to
be a “facility”, as defined by Part 201 of the Natural Resources and Environmental
Protection Act (“Part 201”), or adjacent and contiguous to an “eligible property.”
D. The Developer intends to conduct eligible activities on the Developer
Property including the construction of a five-story hotel with 126 hotel rooms, 146 parking
spaces, and two elevators. Amenities include two meeting rooms, an indoor pool, a gym,
and a restaurant and bar on the fifth floor along with an outdoor patio and dining (the
“Project”), including department specific environmental activities, site preparation, a
15% contingency, 5% simple interest and brownfield plan preparation/implementation, as
described in the Amendment to the Brownfield Plan, with an estimated cost of $2,194,878
(the “Developer Eligible Activities”). All of the Developer Eligible Activities are eligible
for reimbursement under Act 381. The total cost of the Eligible Activities, including
contingencies and interest, are $2,194,878 (the “Total Eligible Brownfield TIF Costs”).
E. Act 381 permits the Authority to capture and use local and certain school
property tax revenues generated from the incremental increase in property value of a
redeveloped brownfield site constituting an “eligible property” under Act 381 (the
“Brownfield TIF Revenue”) to pay or to reimburse the payment of Eligible Activities
conducted on the “eligible property.” The Brownfield TIF Revenue will be used to
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reimburse the Developer for the Developer Eligible Activities incurred and approved for
the Project.
F. In accordance with Act 381, the parties desire to establish the procedure for
using the available Brownfield TIF Revenue generated from the Property to reimburse the
Developer for completion of Eligible Activities on the Property in an amount not to exceed
the Total Eligible Brownfield TIF Costs.
NOW, THERFORE, the parties agree as follows:
1. Reimbursement Source.
(a) During the Term (as defined below) of this Agreement, and except as set
forth in paragraph 2 below, the Authority shall reimburse the Developer for the costs of
their Eligible Activities conducted on the Developer Property from the Brownfield TIF
Revenue collected from the real and taxable personal property taxes on the Developer
Property. The amount reimbursed to the Developer for their Eligible Activities shall not
exceed the Total Eligible Brownfield TIF Costs, and reimbursements shall be made on
approved costs submitted and approved in connection with the Developer Eligible
Activities, as follows:
(i) the Authority shall pay 100% of available Brownfield TIF Revenue (except
the TIF Management Administrative Fee outlined in Section 1 (a)(ii)), to Developer
to reimburse the cost of the Developer Eligible Activities submitted and approved
for reimbursement by the Authority until Developer is fully reimbursed; and
(ii) Notwithstanding any provision in this Agreement to the contrary, the
Authority’s annual TIF Management Administrative Fee, as described in the
Brownfield Plan Amendment, shall be paid to the Authority each year to the extent
that Brownfield TIF Revenue has been captured and collected during that year,
prior to the payment of any Request for Cost Reimbursement.
(b) The Authority shall capture Brownfield TIF Revenue from the Property and
reimburse the Developer for their Eligible Activities until the earlier of the Developer being
fully reimbursed or December 31, 2044. Unless otherwise prepaid by the Authority,
payments to the Developer shall be made on a semi-annual basis as incremental local
taxes are captured and available.
(c) Following reimbursement of all amounts due the Developer and all amounts
payable to the Authority as Administrative Costs from applicable Tax Increment
Revenues, additional tax increment revenues will be deposited into the local brownfield
revolving fund (LBRF) for five full years, which is accordance with Section 13(5) of Act
381, which limits such deposits to be made for no more than 5 years after the time that
capture is required to pay the Eligible Costs.
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2. Developer Reimbursement Process.
(a) The Developer shall submit to the Authority, not more frequently than on a
quarterly basis, a “Request for Cost Reimbursement” for Developer Eligible Activities paid
for by the Developer during the prior period. All costs for the Developer Eligible Activities
must be consistent with the approved Brownfield Plan. The Developer must include
documentation sufficient for the Authority to determine whether the costs incurred were
for Developer Eligible Activities, including detailed invoices and proof of payment. Copies
of all invoices for Developer Eligible Activities must note what Developer Eligible Activities
they support.
(b) Unless the Authority disputes whether such costs are for Developer Eligible
Activities within thirty (30) days after receiving a Request for Cost Reimbursement from
the Developer, the Authority shall pay the Developer the amounts for which submissions
have been made pursuant to paragraph 2(a) of this Agreement in accordance with the
priority set forth in paragraph 1, from which the submission may be wholly or partially paid
from available Brownfield TIF Revenue from the Developer Property.
(i) The Developer shall cooperate with the Authority’s review of its
Request for Cost Reimbursement by providing supplemental information and
documentation which may be reasonably requested by the Authority.
(ii) If the Authority determines that requested costs are ineligible for
reimbursement, the Authority shall notify the Developer in writing of its reasons for
such ineligibility within the Authority’s thirty (30) day period of review. The
Developer shall then have thirty (30) days to provide supplemental information or
documents to the Authority demonstrating that the costs are for Developer Eligible
Activities and are eligible for reimbursement.
(c) If a partial payment is made to the Developer by the Authority because of
insufficient Brownfield TIF Revenue captured in the semi-annual period for which
reimbursement is sought, the Authority shall make additional payments toward the
remaining amount within thirty (30) days of its receipt of additional Brownfield TIF
Revenue from the Developer Property until all of the amounts for which submissions have
been made have been fully paid to the Developer, or by the end of the Term (as defined
below), whichever occurs first. The Authority is not required to reimburse the Developer
from any source other than Brownfield TIF Revenue.
(d) The Authority shall send all payments to the Developer by registered or
certified mail, addressed to the Developer at the address shown above, or by electronic
funds transfer directly to the Developer’s bank account. The Developer may change its
address by providing written notice sent by registered or certified mail to the Authority.
4. Term of Agreement.
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The Authority’s obligation to reimburse the Developer (and the Authority) for the
Total Eligible Brownfield TIF Costs incurred by each party under this Agreement shall
terminate the earlier of the date when all reimbursements to the Developer required under
this Agreement have been made or December 31, 2044 and the five additional years
(post developer reimbursement) of TIF capture for reimbursement into the LBRF have
been made or December 31, 2048 (the “Term”). If the Brownfield TIF Revenue ends
before all of the Total Eligible Brownfield TIF Costs have been fully reimbursed to the
Developer, the last reimbursement payment by the Authority shall be paid from the
summer and winter tax increment revenue collected during the final year of this
Agreement.
5. Adjustments.
If, due to an appeal of any tax assessment or reassessment of any portion of the
Developer Property, or for any other reason, the Authority is required to reimburse any
Brownfield TIF Revenue to any tax levying unit of government, the Authority may deduct
the amount of any such reimbursement, including interest and penalties, from any
amounts due and owing to the Developer. If all amounts due to the Developer under this
Agreement have been fully paid or the Authority is no longer obligated to make any further
payments to the Developer, the Authority shall invoice the Developer for the amount of
such reimbursement and the Developer shall pay the Authority such invoiced amount
within thirty (30) days of the receipt of the invoice. Amounts withheld by or invoiced and
paid to the Authority by the Developer pursuant to this paragraph shall be reinstated as
Developer Eligible Activities, respectively, for which the Developer shall have the
opportunity to be reimbursed in accordance with the terms, conditions, and limitations of
this Agreement. Nothing in this Agreement shall limit the right of the Developer to appeal
any tax assessment. In the event of a tax appeal, the term of the Plan made be extended
to cover the capture of eligible activities, but in all cases cannot extend beyond 30 years
from the initial date of capture.
6. Legislative Authorization.
This Agreement is governed by and subject to the restrictions set forth in Act 381.
If there is legislation enacted in the future that alters or affects the amount of Brownfield
TIF Revenue subject to capture, eligible property, or Eligible Activities, then the
Developer’s rights and the Authority’s obligations under this Agreement shall be modified
accordingly as required by law, or by agreement of the parties.
7. Notices.
All notices shall be given by registered or certified mail addressed to the parties at
their respective addresses as shown above. Any party may change the address by
written notice sent by registered or certified mail to the other party.
8. Assignment.
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This Agreement and the rights and obligations under this Agreement shall not be
assigned or otherwise transferred by any party without the consent of the other party,
which shall not be unreasonably withheld, provided, however, the Developer may assign
their interest in this Agreement to an affiliate without the prior written consent of the
Authority if such affiliate acknowledges its obligations to the Authority under this
Agreement upon assignment in writing on or prior to the effective date of such
assignment, provided, further, that the Developer may each make a collateral assignment
of their share of the Brownfield TIF Revenue for project financing purposes. As used in
this paragraph, “affiliate” means any corporation, company, partnership, limited liability
company, trust, sole proprietorship or other entity or individual which (a) is owned or
controlled by the Developer, (b) owns or controls the Developer or (c) is under common
ownership or control with the Developer. This Agreement shall be binding upon and inure
to the benefit of any successors or permitted assigns of the parties.
9. Entire Agreement.
This Agreement supersedes all agreements previously made between the parties
relating to the subject matter. There are no other understandings or agreements between
the parties.
10. Non-Waiver.
No delay or failure by either party to exercise any right under this Agreement, and
no partial or single exercise of that right, constitutes a waiver of that or any other right,
unless otherwise expressly provided herein.
11. Governing Law.
This Agreement shall be construed in accordance with and governed by the laws
of the State of Michigan.
12. Counterparts.
This Agreement may be executed in two or more counterparts, each of which shall
be deemed an original but all of which together shall constitute one and the same
instrument.
[Signature page follows]
5
Page 238 of 290
The parties have executed this Agreement on the date set forth above.
CITY OF MUSKEGON BROWNFIELD
REDEVELOPMENT AUTHORITY
_______________________________
By:
Its:
CITY OF MUSKEGON
_______________________________
By:
Its:
By:
Its:
Lakeshore Hotel Partners, LLC
_______________________________
By:
Its:
19886336-2
Signature Page to Development and Reimbursement Agreement
Page 239 of 290
EXHIBIT A
Copy of Brownfield Plan
7
Page 240 of 290
Appendix 3
Page 241 of 290
Page Intentionally Left Blank
Notices Pending
Page 242 of 290
Appendix 4
Page 243 of 290
Page Intentionally Left Blank
Notices Pending
Page 244 of 290
Appendix 5
Page 245 of 290
RYERSON CREEK
MUSKEGON LAKE
SITE
UNIT "N" BOUNDARY
GP-2 UNIT "P"
RWB-2 RWB-4
UNIT "I" GP-3
RWB-3
RWB-1
GP-3 GP-4 GP-1
UNIT "O"
GP-1
GP-2
B-2 B-5
B-3 B-4
B-1
B-6
UNIT "H"
UNIT "A"
Former Continental Motors Site
UNIT "B"
UNIT "K"
B-7
HAB-1 HAB-2 B-8 HAB-3
B-9
B-10
UNIT "J" UNIT "M"
Site Characterization Report
GVSU
SS-1
Muskegon, Michigan
GVSU
TMW-2
GVSU
SS-4
UNIT "D"
UNIT "L"
GVSU
TMW-1
GVSU
SS-2
GVSU
SS-3
UNIT "C" UNIT "E"
SITE
BOUNDARY
Habor 31 Hotel
Property
Boundary
UNIT "F"
UNIT "G"
REVISIONS
USER: RSECORD
TIME: 4:49:04 PM
DATE: 1/11/2021
LEGEND
LAYOUT: FIG09_DIRECT CONTACT -AS
Drawn By
Designer
Reviewer
Manager
Hard copy is intended to be
24"x36" when plotted. Scale(s)
indicated and graphic quality may
not be accurate for any other size.
PLOT INFO: Z:\2001\01060E\CAD\CD\Z01401060E.DWG
PROJECT NO.
01060E
SHEET NO.
ARSENIC
GENERIC RESIDENTIAL
DIRECT CONTACT CRITERION
EXCEEDANCES (mg/kg)
3
9
© C o p y r i g h t 2021
All Rights Reserved
Page 246 of 290
RYERSON CREEK
B-14
MUSKEGON LAKE N 350
EXCAVATION AREAS SITE
C-13
C-15
EF-14.4
UNIT "N"B 62,000
N 4,900 BOUNDARY SB-2
N 400 E 270,000
PH 2,600 ZONE II C-10 Hg 222
N 4,400 N 1,200
T 13,000
PH 2,000 PH 3,000
X 203,000
EF-12.8 46-1 46-5
C-16 124-TMB 430,000
GP-2
B 93 UNIT "P" VC 17 VC 38
B 4.9 C-15 135-TMB 80,000 46-8 46-7 46-2
GP-3 RWB-2 E 160 E-11
GP-1 UNIT "I" B 7.1 RWB-4
N 27,000
780
D-10 VC 23 VC 110 VC 39
2-MN 2,200 X N 6,200
GP-3 PH 6,000 N 2,000
2-MN 13,000
N 1,500 RWB-3 ZONE III 124-TMB 16,000 PH 3,300
PH 13,000 E-10
N 7,000 RWB-1 MW-102RS 135-TMB 5,300
PH 6,400 D-15 N 4,800
B 18 IPB 340 EF-12.5
N 3,900 PH 3,500
N 300 B 140
GP-3 GP-4 GP-1 PH 1,800 E-14D
E-24 B-5 GP-3 GP-4 D-14 E 89
290 N 810 E-15 B 56 E-13
N 27,000 IPB 130 B 450 E X 480 D-08 D-05
E-16 B 2,200 E 15 B 310 UNIT "O" E-07
PH 11,000 2-MN 6,300 E 860 X 1,100 CB 250
B 1.5 E 440 E-14 N 1,100 N 2,400 46-3
N 3,500 X 5,700 GP-1 124-TMB 920 E-16 124-TMB 460 N 2,000
GP-2
890 N X 3,600 B 2,700 VC 95
PH 5,900 124-TMB 1,900 135-TMB 6,900 135-TMB 280
B-2 B-5 3,600 PH 14,000 N 2,600 E 30,000 EF-12
B-3 B-4 135-TMB 1,600 UNIT "H" N IPB 650 470 D-03
B-1
4,700 PH 2,000 X 100,000 B
N
B-6 4,400 PH E-14 350 N 2,300
B-2 GP-1 GSB-9 N 22,000 E FG-6
B-1 B-3 PH 5,000 E 240 B 2.9 B 2,100 1,100 DE-2.5
B 140 EF-14.6 PH 3,800 X B 680 46-4
E 51 920 E 280 E-21 E-21 X 2,300 E 350 124-TMB 440 N 4,100 130
X B 1,000 E 4,100 DE-2.4 VC
X 360 X 1,900 B 6.7 B 47 X 2,400 DE-2.3
IPB UNIT "A"
210 124-TMB 1,100 E 620 MW-102D 135-TMB 160 X 5,310 PH 4,400
124-TMB 190 IPB 320 E 6.6 E 320 780 N 63 F-10 F-07 N 730 PH 1,800
124-TMB 490 E-22 135-TMB X 2,560 B 3.1 MW-102S N 470 124-TMB 13,000
Former Continental Motors Site
2-MN 8,500 135-TMB 180 TCE 200 N 12 X 2,100 N 5,200 B 1,800 E 34 N 810 F-04 PH 5,200 61-1
N 490 124-TMB 900 GSB-8 135-TMB 4,000
PH 13,000 124-TMB 1,200 UNIT "B" E-19 PH 3,400 E 1,300 Hg 150 F-9 N 370 TCE 13
2-MN 3,100 135-TMB 220 B 3.0 F-13 F-12 PH 17,000
PH 4,300 135-TMB 370 HAB-3 N 1,600 E-17 470 X 1,200 B 1,400 Hg 290
E-18 N PH 13 B 32 EF-11
2-MN 7,700 N 670 N 3,600 F-15 F-14 X 3,500
HAB-2 F-22 N 8,900 E 8,400 E 14 N 640
PH 9,600 PH 2,100 E 3.3 EF-13.5
HAB-1 2-MN 3,200 B-8 TCE 2.6 B-7 GP-2 PH 3,400 N 11,000
GSB-8 X 47,000 N 72,000 F-11
Hg 280 N 980 124-TMB 42 B 260 X 310 F-15 UNITN"K" PH 2,000 61-2
B-7 B 290 18,000 Hg 150 B 2.1
N 670 PHHAB-1 2,500 HAB-2 B-8 HAB-3 E 230 124-TMB 280 GSB-1 GSB-2 F-16 B 2,100 PH GSB-10 TCE 30
B-9 E 210 1,800 PH 8,800 F-05 G-03
X 2,500 135-TMB 180 N 340 N 360 E 32 E 2,400 B 730
B-10 X 1,600 F-13 S-02 N 820 N 1,000
B-9 IPB 74 N 120 Hg 350 X 14,000 E 330
B-8 UNIT "J" N 610 B 920 UNIT "M" PH 27,000 PH 31,000
B 73 N 1,300 X 1,400
B 370 E 240
E 110 124-TMB 640 GSB-7 N 1,000
E 350 GSB-3 160 X 210 GH-2.6
X 890 MW-114 E MW-111VS
X 4,100 135-TMB 180 N 310 FG-12.5 PH 1,800
X 400 N 100
Site Characterization Report
N 630 2-MN 110 IPB 130 B 9.2 B 210
13 N 3,100 PH 14 FG-13.5 GH-2.7
APPROXIMATE LIMITS OF 124-TMB 330 PH N 5,600 G-15 124-TMB 410
B 1,000 S-01 PH 8,500
SS-1 H-24 S-06 124-TMB 1,100 N 3,900 135-TMB 110
FREE PHASE LIQUID E 920 Hg 220 GH-2.8
135-TMB 150 B(a)AN 27 Hg 160 135-TMB 300 PH 16,000 E 250 H-06
124-TMB 1,100 610 PH 4,200
EXCAVATION N 630 PH 2-MN 3,700 X 807 N
GVSU 15 135-TMB 470
SS-1 PH 32,000
(DECEMBER 2002) X 1,200
Muskegon, Michigan
MW-113 GVSU Hg 220
IPB 5.4 GSB-6 N 1,000 H-09
TMW-2
GVSU ZONE I I-18
N 370 N 8.8 I-08 I-07
SS-4 SS-4 N 940 H-15 G-12 1.1
H-12 N 560 TCE
N 640 PH 4,000 B 68 B(a)AN 120 G-12
I-26 GH-13.3 Hg 460 PH 1,800
PH 3,600 UNIT "D" E 200 PH 230 N 690
N 5.7 H-14 B 330
UNIT "L" X 1,500 PH 6,700
Hg 8.7 124-TMB 270
GVSU
E 260 GH-12.25
TMW-1
MW-115 GH-13.8 H-14 Hg 150
GVSU N 12 APPROXIMATE LIMITS OF PH 2,800 Hg 310 X 750
SS-2
I-25
EDB 1.5 FREE PHASE LIQUID J-18
I-24
N 1,700 PH 12,700 EXCAVATION N 6,400
I-24 MW-105VS PH 5,500
PY 11,000 (DECEMBER 2002)
PH 4,200 GVSU 2-MN 310
SS-3B(a)AN 2,900
UNIT "E" J-14
UNIT "C" J-20 J-11 ST13 B-4
N 3,700
N 3,300 PH 2,200 Hg 180
PH 15,000
J-22
J-24
J-24
PH 12 PH 15,000 N 410
PH 4,800
SITE
BOUNDARY
K-18
N 1,700
K-24.25 K-21
N 700 PH 4,700
124-TMB 160
Habor 31 Hotel CF 120 PH 14,000
Property PCE 88
Boundary
UNIT "F"
L-24 UNIT "G"
E 14
PH 3,600
SB-1 SB-4
N 490 Hg 140
N 930
PH 13,000
SB-2
MN-16.5 N 350
PH 5,100 PH 4,600
N-23
USER: RSECORD
E 840
PH 4,000
REVISIONS
TIME: 2:18:44 PM
DATE: 3/18/2021
LEGEND
LAYOUT: FIG08_VIAC EXCEEDANCES IN SOIL & GW
Drawn By
Designer
Reviewer
Manager
Hard copy is intended to be
24"x36" when plotted. Scale(s)
indicated and graphic quality may
not be accurate for any other size.
PLOT INFO: Z:\2001\01060E\CAD\CD\Z01401060E.DWG
PROJECT NO.
01060E
SHEET NO.
SOIL (µg/Kg) AND GROUNDWATER (µg/L)
ANALYTICAL RESULTS
48
EXCEEDING SITE-SPECIFIC RESIDENTIAL VIAC © C o p y r i g h t 2021
All Rights Reserved
Page 247 of 290
Attachment B
Page 248 of 290
DEVELOPMENT AND REIMBURSEMENT AGREEMENT
This DEVELOPMENT AND REIMBURSEMENT AGREEMENT (the “Agreement”)
is made on _________, ______, by and among the CITY OF MUSKEGON
BROWNFIELD REDEVELOPMENT AUTHORITY, a Michigan public body corporate
whose address is 933 Terrace Street, Muskegon, Michigan 49443 (the “Authority”), the
CITY OF MUSKEGON, a public body corporate whose address is 933 Terrace Street,
Muskegon, Michigan 49443 (the “City”), and Lakeshore Hotel Partners, LLC, a Michigan
limited liability company whose address is 2325 Belmont Center Drive NE, Belmont,
Michigan 49306 (the “Developer”).
RECITALS
A. Pursuant to P.A. 381 of 1996, as amended (“Act 381”), the Authority
approved and recommended a Brownfield Plan which was duly approved by the City (the
“Plan”). The Plan was amended on December 10, 2024 (the “Amendment,” and,
together with the Plan, the “Brownfield Plan” – See Exhibit A) to identify the construction
of a five-story hotel with 126 hotel rooms. The Plan Amendment was amended on _____
to allow for the state tax capture of eligible non-environmental activities.
B. The Brownfield Plan and Amendment includes specific eligible activities
associated with the Developer’s plan to develop land located at 181 & 201 Viridian Drive
in Muskegon, Michigan (collectively, the “Developer Property”).
C. The Developer is in the process of acquiring the Developer Property, which
is included in the Brownfield Plan as an “eligible property” because it was determined to
be a “facility”, as defined by Part 201 of the Natural Resources and Environmental
Protection Act (“Part 201”), or adjacent and contiguous to an “eligible property.”
D. The Developer intends to conduct eligible activities on the Developer
Property including the construction of a five-story hotel with 126 hotel rooms, 146 parking
spaces, and two elevators. Amenities include two meeting rooms, an indoor pool, a gym,
and a restaurant and bar on the fifth floor along with an outdoor patio and dining (the
“Project”), including department specific environmental activities, site preparation, a
15% contingency, 5% simple interest and brownfield plan preparation/implementation, as
described in the Amendment to the Brownfield Plan, with an estimated cost of $2,194,878
(the “Developer Eligible Activities”). All of the Developer Eligible Activities are eligible
for reimbursement under Act 381. The total cost of the Eligible Activities, including
contingencies and interest, are $2,194,878 (the “Total Eligible Brownfield TIF Costs”).
E. Act 381 permits the Authority to capture and use local and certain school
property tax revenues generated from the incremental increase in property value of a
redeveloped brownfield site constituting an “eligible property” under Act 381 (the
“Brownfield TIF Revenue”) to pay or to reimburse the payment of Eligible Activities
conducted on the “eligible property.” The Brownfield TIF Revenue will be used to
Page 249 of 290
reimburse the Developer for the Developer Eligible Activities incurred and approved for
the Project.
F. In accordance with Act 381, the parties desire to establish the procedure for
using the available Brownfield TIF Revenue generated from the Property to reimburse the
Developer for completion of Eligible Activities on the Property in an amount not to exceed
the Total Eligible Brownfield TIF Costs.
NOW, THERFORE, the parties agree as follows:
1. Reimbursement Source.
(a) During the Term (as defined below) of this Agreement, and except as set
forth in paragraph 2 below, the Authority shall reimburse the Developer for the costs of
their Eligible Activities conducted on the Developer Property from the Brownfield TIF
Revenue collected from the real and taxable personal property taxes on the Developer
Property. The amount reimbursed to the Developer for their Eligible Activities shall not
exceed the Total Eligible Brownfield TIF Costs, and reimbursements shall be made on
approved costs submitted and approved in connection with the Developer Eligible
Activities, as follows:
(i) the Authority shall pay 100% of available Brownfield TIF Revenue (except
the TIF Management Administrative Fee outlined in Section 1 (a)(ii)), to Developer
to reimburse the cost of the Developer Eligible Activities submitted and approved
for reimbursement by the Authority until Developer is fully reimbursed; and
(ii) Notwithstanding any provision in this Agreement to the contrary, the
Authority’s annual TIF Management Administrative Fee, as described in the
Brownfield Plan Amendment, shall be paid to the Authority each year to the extent
that Brownfield TIF Revenue has been captured and collected during that year,
prior to the payment of any Request for Cost Reimbursement.
(b) The Authority shall capture Brownfield TIF Revenue from the Property and
reimburse the Developer for their Eligible Activities until the earlier of the Developer being
fully reimbursed or December 31, 2047. Unless otherwise prepaid by the Authority,
payments to the Developer shall be made on a semi-annual basis as incremental local
taxes are captured and available.
2. Developer Reimbursement Process.
(a) The Developer shall submit to the Authority, not more frequently than on a
quarterly basis, a “Request for Cost Reimbursement” for Developer Eligible Activities paid
for by the Developer during the prior period. All costs for the Developer Eligible Activities
must be consistent with the approved Brownfield Plan. The Developer must include
documentation sufficient for the Authority to determine whether the costs incurred were
for Developer Eligible Activities, including detailed invoices and proof of payment. Copies
of all invoices for Developer Eligible Activities must note what Developer Eligible Activities
they support.
2
Page 250 of 290
(b) Unless the Authority disputes whether such costs are for Developer Eligible
Activities within thirty (30) days after receiving a Request for Cost Reimbursement from
the Developer, the Authority shall pay the Developer the amounts for which submissions
have been made pursuant to paragraph 2(a) of this Agreement in accordance with the
priority set forth in paragraph 1, from which the submission may be wholly or partially paid
from available Brownfield TIF Revenue from the Developer Property.
(i) The Developer shall cooperate with the Authority’s review of its
Request for Cost Reimbursement by providing supplemental information and
documentation which may be reasonably requested by the Authority.
(ii) If the Authority determines that requested costs are ineligible for
reimbursement, the Authority shall notify the Developer in writing of its reasons for
such ineligibility within the Authority’s thirty (30) day period of review. The
Developer shall then have thirty (30) days to provide supplemental information or
documents to the Authority demonstrating that the costs are for Developer Eligible
Activities and are eligible for reimbursement.
(c) If a partial payment is made to the Developer by the Authority because of
insufficient Brownfield TIF Revenue captured in the semi-annual period for which
reimbursement is sought, the Authority shall make additional payments toward the
remaining amount within thirty (30) days of its receipt of additional Brownfield TIF
Revenue from the Developer Property until all of the amounts for which submissions have
been made have been fully paid to the Developer, or by the end of the Term (as defined
below), whichever occurs first. The Authority is not required to reimburse the Developer
from any source other than Brownfield TIF Revenue.
(d) The Authority shall send all payments to the Developer by registered or
certified mail, addressed to the Developer at the address shown above, or by electronic
funds transfer directly to the Developer’s bank account. The Developer may change its
address by providing written notice sent by registered or certified mail to the Authority.
4. Term of Agreement.
The Authority’s obligation to reimburse the Developer for the Total Eligible
Brownfield TIF Costs incurred by each party under this Agreement shall terminate the
earlier of the date when all reimbursements to the Developer required under this
Agreement have been made or December 31, 2048 (the “Term”). If the Brownfield TIF
Revenue ends before all of the Total Eligible Brownfield TIF Costs have been fully
reimbursed to the Developer, the last reimbursement payment by the Authority shall be
paid from the summer and winter tax increment revenue collected during the final year of
this Agreement.
5. Adjustments.
3
Page 251 of 290
If, due to an appeal of any tax assessment or reassessment of any portion of the
Developer Property, or for any other reason, the Authority is required to reimburse any
Brownfield TIF Revenue to any tax levying unit of government, the Authority may deduct
the amount of any such reimbursement, including interest and penalties, from any
amounts due and owing to the Developer. If all amounts due to the Developer under this
Agreement have been fully paid or the Authority is no longer obligated to make any further
payments to the Developer, the Authority shall invoice the Developer for the amount of
such reimbursement and the Developer shall pay the Authority such invoiced amount
within thirty (30) days of the receipt of the invoice. Amounts withheld by or invoiced and
paid to the Authority by the Developer pursuant to this paragraph shall be reinstated as
Developer Eligible Activities, respectively, for which the Developer shall have the
opportunity to be reimbursed in accordance with the terms, conditions, and limitations of
this Agreement. Nothing in this Agreement shall limit the right of the Developer to appeal
any tax assessment.
6. Legislative Authorization.
This Agreement is governed by and subject to the restrictions set forth in Act 381.
If there is legislation enacted in the future that alters or affects the amount of Brownfield
TIF Revenue subject to capture, eligible property, or Eligible Activities, then the
Developer’s rights and the Authority’s obligations under this Agreement shall be modified
accordingly as required by law, or by agreement of the parties.
7. Notices.
All notices shall be given by registered or certified mail addressed to the parties at
their respective addresses as shown above. Any party may change the address by
written notice sent by registered or certified mail to the other party.
8. Assignment.
This Agreement and the rights and obligations under this Agreement shall not be
assigned or otherwise transferred by any party without the consent of the other party,
which shall not be unreasonably withheld, provided, however, the Developer may assign
their interest in this Agreement to an affiliate without the prior written consent of the
Authority if such affiliate acknowledges its obligations to the Authority under this
Agreement upon assignment in writing on or prior to the effective date of such
assignment, provided, further, that the Developer may each make a collateral assignment
of their share of the Brownfield TIF Revenue for project financing purposes. As used in
this paragraph, “affiliate” means any corporation, company, partnership, limited liability
company, trust, sole proprietorship or other entity or individual which (a) is owned or
controlled by the Developer, (b) owns or controls the Developer or (c) is under common
ownership or control with the Developer. This Agreement shall be binding upon and inure
to the benefit of any successors or permitted assigns of the parties.
9. Entire Agreement.
4
Page 252 of 290
This Agreement supersedes all agreements previously made between the parties
relating to the subject matter. There are no other understandings or agreements between
the parties.
10. Non-Waiver.
No delay or failure by either party to exercise any right under this Agreement, and
no partial or single exercise of that right, constitutes a waiver of that or any other right,
unless otherwise expressly provided herein.
11. Governing Law.
This Agreement shall be construed in accordance with and governed by the laws
of the State of Michigan.
12. Counterparts.
This Agreement may be executed in two or more counterparts, each of which shall
be deemed an original but all of which together shall constitute one and the same
instrument.
[Signature page follows]
5
Page 253 of 290
The parties have executed this Agreement on the date set forth above.
CITY OF MUSKEGON BROWNFIELD
REDEVELOPMENT AUTHORITY
_______________________________
By:
Its:
CITY OF MUSKEGON
_______________________________
By:
Its:
Lakeshore Hotel Partners, LLC
_______________________________
By:
Its:
19886336-2
Signature Page to Development and Reimbursement Agreement
Page 254 of 290
Attachment C
Page 255 of 290
RYERSON CREEK
MUSKEGON LAKE
SITE
UNIT "N" BOUNDARY
GP-2 UNIT "P"
RWB-2 RWB-4
UNIT "I" GP-3
RWB-3
RWB-1
GP-3 GP-4 GP-1
UNIT "O"
GP-1
GP-2
B-2 B-5
B-3 B-4
B-1
B-6
UNIT "H"
UNIT "A"
Former Continental Motors Site
UNIT "B"
UNIT "K"
B-7
HAB-1 HAB-2 B-8 HAB-3
B-9
B-10
UNIT "J" UNIT "M"
Site Characterization Report
GVSU
SS-1
Muskegon, Michigan
GVSU
TMW-2
GVSU
SS-4
UNIT "D"
UNIT "L"
GVSU
TMW-1
GVSU
SS-2
GVSU
SS-3
UNIT "C" UNIT "E"
SITE
BOUNDARY
Habor 31 Hotel
Property
Boundary
UNIT "F"
UNIT "G"
REVISIONS
USER: RSECORD
TIME: 4:49:04 PM
DATE: 1/11/2021
LEGEND
LAYOUT: FIG09_DIRECT CONTACT -AS
Drawn By
Designer
Reviewer
Manager
Hard copy is intended to be
24"x36" when plotted. Scale(s)
indicated and graphic quality may
not be accurate for any other size.
PLOT INFO: Z:\2001\01060E\CAD\CD\Z01401060E.DWG
PROJECT NO.
01060E
SHEET NO.
ARSENIC
GENERIC RESIDENTIAL
DIRECT CONTACT CRITERION
EXCEEDANCES (mg/kg)
3
9
© C o p y r i g h t 2021
All Rights Reserved
Page 256 of 290
RYERSON CREEK
B-14
MUSKEGON LAKE N 350
EXCAVATION AREAS SITE
C-13
C-15
EF-14.4
UNIT "N"B 62,000
N 4,900 BOUNDARY SB-2
N 400 E 270,000
PH 2,600 ZONE II C-10 Hg 222
N 4,400 N 1,200
T 13,000
PH 2,000 PH 3,000
X 203,000
EF-12.8 46-1 46-5
C-16 124-TMB 430,000
GP-2
B 93 UNIT "P" VC 17 VC 38
B 4.9 C-15 135-TMB 80,000 46-8 46-7 46-2
GP-3 RWB-2 E 160 E-11
GP-1 UNIT "I" B 7.1 RWB-4
N 27,000
780
D-10 VC 23 VC 110 VC 39
2-MN 2,200 X N 6,200
GP-3 PH 6,000 N 2,000
2-MN 13,000
N 1,500 RWB-3 ZONE III 124-TMB 16,000 PH 3,300
PH 13,000 E-10
N 7,000 RWB-1 MW-102RS 135-TMB 5,300
PH 6,400 D-15 N 4,800
B 18 IPB 340 EF-12.5
N 3,900 PH 3,500
N 300 B 140
GP-3 GP-4 GP-1 PH 1,800 E-14D
E-24 B-5 GP-3 GP-4 D-14 E 89
290 N 810 E-15 B 56 E-13
N 27,000 IPB 130 B 450 E X 480 D-08 D-05
E-16 B 2,200 E 15 B 310 UNIT "O" E-07
PH 11,000 2-MN 6,300 E 860 X 1,100 CB 250
B 1.5 E 440 E-14 N 1,100 N 2,400 46-3
N 3,500 X 5,700 GP-1 124-TMB 920 E-16 124-TMB 460 N 2,000
GP-2
890 N X 3,600 B 2,700 VC 95
PH 5,900 124-TMB 1,900 135-TMB 6,900 135-TMB 280
B-2 B-5 3,600 PH 14,000 N 2,600 E 30,000 EF-12
B-3 B-4 135-TMB 1,600 UNIT "H" N IPB 650 470 D-03
B-1
4,700 PH 2,000 X 100,000 B
N
B-6 4,400 PH E-14 350 N 2,300
B-2 GP-1 GSB-9 N 22,000 E FG-6
B-1 B-3 PH 5,000 E 240 B 2.9 B 2,100 1,100 DE-2.5
B 140 EF-14.6 PH 3,800 X B 680 46-4
E 51 920 E 280 E-21 E-21 X 2,300 E 350 124-TMB 440 N 4,100 130
X B 1,000 E 4,100 DE-2.4 VC
X 360 X 1,900 B 6.7 B 47 X 2,400 DE-2.3
IPB UNIT "A"
210 124-TMB 1,100 E 620 MW-102D 135-TMB 160 X 5,310 PH 4,400
124-TMB 190 IPB 320 E 6.6 E 320 780 N 63 F-10 F-07 N 730 PH 1,800
124-TMB 490 E-22 135-TMB X 2,560 B 3.1 MW-102S N 470 124-TMB 13,000
Former Continental Motors Site
2-MN 8,500 135-TMB 180 TCE 200 N 12 X 2,100 N 5,200 B 1,800 E 34 N 810 F-04 PH 5,200 61-1
N 490 124-TMB 900 GSB-8 135-TMB 4,000
PH 13,000 124-TMB 1,200 UNIT "B" E-19 PH 3,400 E 1,300 Hg 150 F-9 N 370 TCE 13
2-MN 3,100 135-TMB 220 B 3.0 F-13 F-12 PH 17,000
PH 4,300 135-TMB 370 HAB-3 N 1,600 E-17 470 X 1,200 B 1,400 Hg 290
E-18 N PH 13 B 32 EF-11
2-MN 7,700 N 670 N 3,600 F-15 F-14 X 3,500
HAB-2 F-22 N 8,900 E 8,400 E 14 N 640
PH 9,600 PH 2,100 E 3.3 EF-13.5
HAB-1 2-MN 3,200 B-8 TCE 2.6 B-7 GP-2 PH 3,400 N 11,000
GSB-8 X 47,000 N 72,000 F-11
Hg 280 N 980 124-TMB 42 B 260 X 310 F-15 UNITN"K" PH 2,000 61-2
B-7 B 290 18,000 Hg 150 B 2.1
N 670 PHHAB-1 2,500 HAB-2 B-8 HAB-3 E 230 124-TMB 280 GSB-1 GSB-2 F-16 B 2,100 PH GSB-10 TCE 30
B-9 E 210 1,800 PH 8,800 F-05 G-03
X 2,500 135-TMB 180 N 340 N 360 E 32 E 2,400 B 730
B-10 X 1,600 F-13 S-02 N 820 N 1,000
B-9 IPB 74 N 120 Hg 350 X 14,000 E 330
B-8 UNIT "J" N 610 B 920 UNIT "M" PH 27,000 PH 31,000
B 73 N 1,300 X 1,400
B 370 E 240
E 110 124-TMB 640 GSB-7 N 1,000
E 350 GSB-3 160 X 210 GH-2.6
X 890 MW-114 E MW-111VS
X 4,100 135-TMB 180 N 310 FG-12.5 PH 1,800
X 400 N 100
Site Characterization Report
N 630 2-MN 110 IPB 130 B 9.2 B 210
13 N 3,100 PH 14 FG-13.5 GH-2.7
APPROXIMATE LIMITS OF 124-TMB 330 PH N 5,600 G-15 124-TMB 410
B 1,000 S-01 PH 8,500
SS-1 H-24 S-06 124-TMB 1,100 N 3,900 135-TMB 110
FREE PHASE LIQUID E 920 Hg 220 GH-2.8
135-TMB 150 B(a)AN 27 Hg 160 135-TMB 300 PH 16,000 E 250 H-06
124-TMB 1,100 610 PH 4,200
EXCAVATION N 630 PH 2-MN 3,700 X 807 N
GVSU 15 135-TMB 470
SS-1 PH 32,000
(DECEMBER 2002) X 1,200
Muskegon, Michigan
MW-113 GVSU Hg 220
IPB 5.4 GSB-6 N 1,000 H-09
TMW-2
GVSU ZONE I I-18
N 370 N 8.8 I-08 I-07
SS-4 SS-4 N 940 H-15 G-12 1.1
H-12 N 560 TCE
N 640 PH 4,000 B 68 B(a)AN 120 G-12
I-26 GH-13.3 Hg 460 PH 1,800
PH 3,600 UNIT "D" E 200 PH 230 N 690
N 5.7 H-14 B 330
UNIT "L" X 1,500 PH 6,700
Hg 8.7 124-TMB 270
GVSU
E 260 GH-12.25
TMW-1
MW-115 GH-13.8 H-14 Hg 150
GVSU N 12 APPROXIMATE LIMITS OF PH 2,800 Hg 310 X 750
SS-2
I-25
EDB 1.5 FREE PHASE LIQUID J-18
I-24
N 1,700 PH 12,700 EXCAVATION N 6,400
I-24 MW-105VS PH 5,500
PY 11,000 (DECEMBER 2002)
PH 4,200 GVSU 2-MN 310
SS-3B(a)AN 2,900
UNIT "E" J-14
UNIT "C" J-20 J-11 ST13 B-4
N 3,700
N 3,300 PH 2,200 Hg 180
PH 15,000
J-22
J-24
J-24
PH 12 PH 15,000 N 410
PH 4,800
SITE
BOUNDARY
K-18
N 1,700
K-24.25 K-21
N 700 PH 4,700
124-TMB 160
Habor 31 Hotel CF 120 PH 14,000
Property PCE 88
Boundary
UNIT "F"
L-24 UNIT "G"
E 14
PH 3,600
SB-1 SB-4
N 490 Hg 140
N 930
PH 13,000
SB-2
MN-16.5 N 350
PH 5,100 PH 4,600
N-23
USER: RSECORD
E 840
PH 4,000
REVISIONS
TIME: 2:18:44 PM
DATE: 3/18/2021
LEGEND
LAYOUT: FIG08_VIAC EXCEEDANCES IN SOIL & GW
Drawn By
Designer
Reviewer
Manager
Hard copy is intended to be
24"x36" when plotted. Scale(s)
indicated and graphic quality may
not be accurate for any other size.
PLOT INFO: Z:\2001\01060E\CAD\CD\Z01401060E.DWG
PROJECT NO.
01060E
SHEET NO.
SOIL (µg/Kg) AND GROUNDWATER (µg/L)
ANALYTICAL RESULTS
48
EXCEEDING SITE-SPECIFIC RESIDENTIAL VIAC © C o p y r i g h t 2021
All Rights Reserved
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Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: November 10, 2025 Title: Bid Award - Park Building Renovations
Submitted by: Kyle Karczewski, Parks and Department: DPW- Parks
Recreation Director
Brief Summary:
Staff requests authorization to enter into a contract with JWK in the amount of $390,295 for park
building renovations to Sheldon Park and Hartshorn Marina & Park.
Detailed Summary & Background:
The parks department published a Request for Proposals in September for renovations to 3 park
buildings in need of renovation and repairs. The improvements include restoring Sheldon Park
bathroom and making ADA improvements. Hartshorn Marina harbormaster building will be
renovated to improve work operations and properly seal the building. Hartshorn Boat Ramp & Park
restroom will be renovated as well with all new fixtures and a new roof. Short Elliot Hendricks is the
architect and project manager for these projects and will assist with project oversight. These projects
are scheduled to be completed no later than fall of 2026. These improvements have been planned
and budgeted since the Parks Master Plan update in 2024 due to high community desire for these
bathrooms to reopen.
Bid Tab:
JWK Construction Inc - $390,295
Clifford Buck Construction Company - $409,481 ($401,291 with 2% city preference)
Midwest Construction Group - $424,312
Tridonn Construction Company - $513,913 ($508,774 with 1% county preference)
JWK Construction is the recommended contractor for this project. The Purchasing Policy does offer a
2% local contractor preference, and JWK is the lowest bidder with the 2% preference factored in.
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:
$390,295 Yes x No N/A
Fund(s) or Account(s): Budget Amendment Needed:
482 (ARPA) Yes No x N/A
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Recommended Motion:
Move to authorize staff to enter into a contract with JWK in the amount of $390,295 for park building
renovations to Sheldon Park and Hartshorn Marina & Park.
Approvals: Name the Policy/Ordinance Followed:
Immediate Division x Purchasing Policy
Head
Information
Technology
Other Division Heads
Communication
Legal Review
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Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: November 10, 2025 Title: Bid/RFP contract award - Engineering
AutoCad standards
Submitted by: Joel Brookens, Engineer, Dan Department: DPW- Engineering
VanderHeide, Public Works Director
Brief Summary:
Staff is requesting authorization to enter into a contract with Fleis & Vandenbrink in the amount of
$98,490.00 for engineering services to update City specifications, bid documents, standard details
and CAD software.
Detailed Summary & Background:
Bids were solicited for a technical project to develop and improve City Standards and AutoCad
Templates; including but not limited to creating drawing details, blocks and layers, creating new front
end construction specifications, and updating the city's construction specifications, training for
engineering staff on these items, and a year of ongoing technical support. The bid tabulation is
below. Staff recommends Fleis & Vandenbrink, a local firm, based on the details of their proposal
being in line with staff's expectations for the project, and their local presence for the training and
support components. The project was budgeted at $100,000.
Spicer Group: $95,500.00
Fleis & Vandenbrink: $98,490.00
Prein & Newhof: $160,900.00
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:
$98,490.00 Yes x No N/A
Fund(s) or Account(s): Budget Amendment Needed:
590-901-801-92510 (Sewer) Yes No x N/A
591-901-801-92510 (Water)
202-901-801-92510 (Streets)
Recommended Motion:
Move to authorize staff to enter into a contract with Fleis & Vandenbrink in the amount of $98,490.00
for establishing engineering services to update City specifications, bid documents, standard details
and CAD software.
Page 263 of 290
Approvals: Name the Policy/Ordinance Followed:
Immediate Division x Purchasing Policy
Head
Information
Technology
Other Division Heads
Communication
Legal Review
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Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: November 10, 2025 Title: Police Department Wage Increase
Submitted by: Timothy Kozal, Public Safety Department: Public Safety
Director
Brief Summary:
The City of Muskegon is proposing a wage increase for both the Patrol and Command Police Unions.
This proposal recognizes the tremendous work our police officers and command staff perform under
extraordinary circumstances and supports our commitment to retaining compassionate, professional,
ethical, and community-focused officers. The proposed wage increase would pay officers at their
2026 rate starting on October 1, 2025, with an additional $1 added to those wages.
Detailed Summary & Background:
The Muskegon Police Department, like many police departments nationwide, has experienced
staffing shortages. Despite these challenges, our officers and command staff have continued to
provide exceptional service to the community. The City of Muskegon must continue to reward our
officers for their hard work and also have a competitive wage to attract new talent to fill our staffing
shortage.
The City of Muskegon is proposing a wage increase for the Patrol and Command Unions. The
proposed wage increase would pay officers at their 2026 wage rate beginning October 1, 2025, with
an additional $1 added to those wages. The pay adjustment will be retroactive to October 1 and
issued in the first pay period of December. Below is the breakdown of the wage increase.
Police Patrol Union Wage Matrix (hourly)
Recruit Start 1 YR 2 YRS 3 YRS 4 YRS 5-9 YRS 10+ YRS
2025 23.00 28.00 29.00 32.00 35.00 37.00 38.00 39.00
2026 24.00 29.00 32.00 35.00 37.00 38.00 39.00 41.00
Proposed 25.00 30.00 33.00 36.00 38.00 39.00 40.00 42.00
Increase
Police Command Union Wage Matrix (hourly)
Sergeant Lieutenant Captain
2025 45.20 48.29 51.39
2026 47.10 50.16 53.21
Proposed Increase 48.10 51.16 54.21
Page 287 of 290
It should be noted that for FY 2025-26, we were projecting a $232,000 budget surplus, with total
revenues of $44,335,812. However, fiscal Year 2024–25 revenues came in better than expected at
approximately $44,251,000. This number is only about $85,000 less than our projected revenues for
the current fiscal year. Given the revenue number from this past fiscal year, and considering changes
in state revenues, we're now projecting general fund revenues closer to $45,000,000. This would give
us more than enough flexibility in our budget to absorb this increase. Additionally, because FY 2024-
25 revenues came in higher than initially forecast (and expenses were also down) we did not have to
touch the fund balance as initially anticipated. So we're projecting a slight increase in our fund
balance position when the auditors present the audit after the first of the year.
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:
$435,000 Yes No N/A
Fund(s) or Account(s): Budget Amendment Needed:
101-301-703 Yes No N/A
Recommended Motion:
I move to approve the wage increase for both the Patrol and Command Police Unions to begin 2026
wage rates plus a $1 increase retroactively beginning October 1, 2025.
Approvals: Name the Policy/Ordinance Followed:
Immediate Division
Head
Information
Technology
Other Division Heads
Communication
Legal Review
Page 288 of 290
Agenda Item Review Form
Muskegon City Commission
Commission Meeting Date: November 10, 2025 Title: Brunswick Sewer Work
Submitted by: Jonathan Seyferth, City Manager Department: Manager's Office
Brief Summary:
The sewer fund would receive $49,195 from Brunswick to cover its share of the repair costs. This is a
reduction of the total bill, taking into account the costs Brunswick had already incurred in the repair
process.
Detailed Summary & Background:
In 2024, the City collaborated with Brunswick to perform repair work on their sewer lateral within
Laketon Ave. After taking into account various costs both parties incurred, this represents the
balance that Brusnwick is responsible for, $49,195. Since this adjustment to the total bill exceeds
$25,000, approval from the commission is required.
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:
590 (sewer fund) Yes No N/A X
Recommended Motion:
To approve the sewer repair bill to Brunswick for $49,195.
Approvals: Name the Policy/Ordinance Followed:
Immediate Division X
Head
Information
Technology
Other Division Heads
Communication
Legal Review X
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