City Commission Packet 02-14-2012

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  CITY OF MUSKEGON
   CITY COMMISSION MEETING
                 FEBRUARY 14, 2012
 CITY COMMISSION CHAMBERS @ 5:30 P.M.
                           AGENDA

CALL TO ORDER:
PRAYER:
PLEDGE OF ALLEGIANCE:
ROLL CALL:
HONORS AND AWARDS:
INTRODUCTIONS/PRESENTATION:
  A. Update from Bob Chapla, Community Foundation.
CONSENT AGENDA:
  A. Approval of Minutes. CITY CLERK
  B. W-732 High Service Switchgear Repair/Upgrades. WATER FILTRATION
  C. 2012-2013 City Commission Goals. CITY MANAGER
  D. Request to Amend the Resolution Approving the Exemption of New
     Personal Property (PA 328) – ADAC Plastics. PLANNING & ECONOMIC
     DEVELOPMENT
  E. Employee Compensation Plan – EVIP. FINANCE
  F. First Quarter 2011-12 Budget Reforecast. FINANCE
  G. Financial Management Software. FINANCE
PUBLIC HEARINGS:
COMMUNICATIONS:
CITY MANAGER’S REPORT:
UNFINISHED BUSINESS:
  A. SECOND READING: PILOT Request – Bayview Towers – Ordinance
     Amendment. PLANNING & ECONOMIC DEVELOPMENT
  B. PILOT Request – Bayview Towers – Contract Revision.   PLANNING &
     ECONOMIC DEVELOPMENT
   NEW BUSINESS:
   ANY OTHER BUSINESS:
   PUBLIC PARTICIPATION:
   Reminder: Individuals who would like to address the City Commission shall do the following:
   Fill out a request to speak form attached to the agenda or located in the back of the room.
    Submit the form to the City Clerk.
   Be recognized by the Chair.
   Step forward to the microphone.
   State name and address.
   Limit of 3 minutes to address the Commission.
   (Speaker representing a group may be allowed 10 minutes if previously registered with City Clerk.)

   CLOSED SESSION:
   ADJOURNMENT:
ADA POLICY: The City of Muskegon will provide necessary auxiliary aids and services to individuals who
want to attend the meeting upon twenty four hour notice to the City of Muskegon. Please contact Ann
Marie Cummings, City Clerk, 933 Terrace Street, Muskegon, MI 49440 or by calling (231) 724-6705 or
TTY/TDD: dial 7-1-1 and request a representative to dial (231) 724-6705.
Date:     February 14, 2012
To:       Honorable Mayor and City Commissioners
From:     Ann Marie Cummings, City Clerk
RE:       Approval of Minutes




SUMMARY OF REQUEST: To approve minutes of the January 24th
City Commission Meeting and the January 27th Special Commission
Meeting.


FINANCIAL IMPACT: None.


BUDGET ACTION REQUIRED: None.


STAFF RECOMMENDATION: Approval of the minutes.
     CITY OF MUSKEGON
       CITY COMMISSION MEETING
                    JANUARY 24, 2012
    CITY COMMISSION CHAMBERS @ 5:30 P.M.
                                MINUTES

The Regular Commission Meeting of the City of Muskegon was held at City Hall,
933 Terrace Street, Muskegon, MI at 5:30 p.m., Tuesday, January 24, 2012.
Mayor Warmington opened the meeting with a prayer from Pastor Tim Cross
from the Living Word Church of Muskegon after which the Commission and
public recited the Pledge of Allegiance to the Flag.
ROLL CALL FOR THE REGULAR COMMISSION MEETING:
Present: Mayor Stephen Warmington, Vice Mayor Stephen Gawron,
Commissioners Eric Hood, Lawrence Spataro, Willie German, Sue Wierengo, and
Byron Turnquist, City Manager Bryon Mazade, City Attorney John Schrier, and
City Clerk Ann Marie Cummings.
2012-05 CONSENT AGENDA:
     A. Approval of Minutes. CITY CLERK
SUMMARY OF REQUEST: To approve minutes of the January 3rd Organizational
Meeting, the January 9th Worksession Meeting and the January 10th City
Commission Meeting.
FINANCIAL IMPACT: None.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: Approval of the minutes
     B. North Bank Trail Acquisition Funding Request – Resolution of Support.
        CITY MANAGER
SUMMARY OF REQUEST: To adopt a resolution in support of an application from
Crockery Township to the Michigan Natural Resources Trust Fund for acquisition
funds for Phase 2 of the North Bank Trail.
FINANCIAL IMPACT: None.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: To approve the resolution.
     E. Municipal Vehicle Purchase. PUBLIC WORKS

                                                                            1
SUMMARY OF REQUEST: Authorize staff to purchase new municipal vehicle and
snow blower from Fredrickson Equipment who was the lowest responsible bidder.
This machine will replace unit #50233.
FINANCIAL IMPACT: $95,740.
BUDGET ACTION REQUIRED:        None, this price is within what the Equipment
Division has budgeted.
STAFF RECOMMENDATION: Authorize staff to purchase new municipal vehicle
and snow blower from Fredrickson Equipment.
Motion by Vice Mayor Gawron, second by Commissioner German to approve
the Consent Agenda as presented minus items C and D.
ROLL VOTE: Ayes: Spataro, German, Gawron, Wierengo, Turnquist, Warmington,
           and Hood
            Nays: None
MOTION PASSES
2012-06 ITEMS REMOVED FROM THE CONSENT AGENDA:
    C. PILOT Request – Bayview Towers – Ordinance.                PLANNING &
ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: Carl Skrzynski is Vice President of American Community
Developers, Inc., which has purchased Bayview Towers in Muskegon. There is
currently a PILOT for Bayview Towers which was approved in January 1980. Mr.
Skrzynski intends to keep the existing Section 8 status of the housing
development and is requesting an extension of the PILOT from the City. Since
an alternative form of financing is being sought for this project, not currently
included in the PILOT Ordinance, an amendment is necessary to the Ordinance.
In addition, the owner is requesting the PILOT for a maximum of 40 years and the
current Ordinance only allows for 25 years.
FINANCIAL IMPACT: The Ordinance amendment would allow for a greater
number of years, which would increase the number of years that the City would
not receive full taxes for the property.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: If the City Commission agrees that the PILOT is
necessary for this property, staff recommends that the Ordinance amendment
be approved and the Clerk be authorized to sign the necessary documents.
Motion by Commissioner Turnquist, second by Commissioner Spataro to approve
the PILOT request for Bayview Towers Ordinance.
ROLL VOTE: Ayes: German, Warmington, Hood, and Spataro
            Nays: Gawron, Wierengo, and Turnquist
MOTION PASSES (REQUIRES SECOND READING)
                                                                              2
      D. PILOT Request – Bayview Towers – Agreement.              PLANNING &
         ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: Carl Skrzynski is Vice President of American Community
Developers, Inc., which has purchased Bayview Towers in Muskegon. There is
currently a PILOT for Bayview Towers which was approved in January 1980. Mr.
Skrzynski intends to keep the existing Section 8 status of the housing
development and is seeking Low Income Housing Tax Credits through MSHDA.
He is requesting an extension of the PILOT from the City.
FINANCIAL IMPACT: With the current PILOT, the owner of Bayview Towers pays
approximately $91,000 a year (Shelter Rent Payment of $34,000 and City
Services Charge Payment of $57,000). If this property were to return to
traditional property taxes, the owner would pay approximately $282,902 for a
year. Therefore, there is a difference of approximately $191,902 a year.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: If the City Commission is favorable to continuing the
PILOT for this property, staff recommends that the Contract be approved and
the Mayor and Clerk be authorized to sign the necessary documents.
Motion by Commissioner Spataro second by Commissioner Hood to approve the
PILOT request for Bayview Towers as described subject to approval of the
ordinance at the next meeting.
ROLL VOTE: Ayes: Wierengo, Warmington, Hood, Spataro, and German
            Nays: Gawron and Turnquist
MOTION PASSES
2012-07 PUBLIC HEARINGS:
      A. Issuance of a Commercial Rehabilitation Certificate – Lake Welding
         Supply. PLANNING & ECONOMIC DEVELOPMENT
SUMMARY OF REQUEST: Pursuant to Public Act 210 of 2005, as amended, Lake
Welding Supply has requested the issuance of a Commercial Rehabilitation
Certificate. The Certificate will freeze the taxable value of the building and
exempt the new real property investment from local taxes. The school
operating tax and the State Education Tax (SET) are still levied on the new
investment. Land and personal property cannot be abated under this act. The
City Commission approved the creation of the Commercial Rehabilitation
District at its November 22, 2011 meeting. The company is planning on investing
$1.4 million in real property improvements to expand their operations. This would
qualify the applicant for an abatement of 10 years.
FINANCIAL IMPACT: The real property taxes would be frozen at their pre-
rehabilitated rate for the duration of the certificate.
BUDGET ACTION REQUIRED: None.

                                                                               3
STAFF RECOMMENDATION:         Staff recommends approval of the Commercial
Rehabilitation Certificate.
Motion by Vice Mayor Gawron, second by Commissioner Spataro to close the
Public Hearing and approve the issuance of a Commercial Rehabilitation
Certificate for Lake Welding Supply.
ROLL VOTE: Ayes: Wierengo, Turnquist, Warmington, Hood, Spataro, German,
           and Gawron
            Nays: None
MOTION PASSES
2012-08 NEW BUSINESS:
      A. Advance Refunding of 2002 LDFA Bonds. FINANCE
SUMMARY OF REQUEST: In 2002 the LDFA issued bonds in the amount of
$4,725,000 to finance construction of the MAREC building. Repayment of the
bonds was to come from tax increment revenues generated by anticipated
development on the Smart Zone site. The City’s full faith and credit was
pledged and the Community Foundation for Muskegon County also pledged
an annual contribution of up to $75,000 (through 2016) to be used in the event
tax increment revenues fell short.
The bonds were intentionally structured with no/low principal payments during
the first ten years to provide time for development and tax increments to grow.
Unfortunately, this has not occurred to the extent hoped for. In recent years, the
City has contributed $100,000 annually and the full $75,000 CFFMC pledge has
been needed to meet debt service requirements. Starting with FY 2012-13, the
City’s annual contribution will at least double and remain at high levels until
significant, taxable development occurs.
The bonds were issued with a ten year call provision and 2012 is the first
opportunity to exercise this call. Fortunately, refunding the bonds under current
market conditions makes economic sense.
FINANCIAL IMPACT: Refunding the LDFA bonds is expected to save $361,045
over the remaining life (about $25,000/year). Present value savings are
estimated at $304,165, or about 7% of the outstanding bond principal.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: Approval of the advance refunding of LDFA bonds.
Motion by Commissioner Spataro, second by Vice Mayor Gawron to approve
the advance refunding of LDFA bonds.
ROLL VOTE: Ayes: Turnquist, Warmington, Hood, Spataro, German, Gawron, and
           Wierengo
            Nays: None

                                                                                4
MOTION PASSES
      B. Concurrence with the Housing Board of Appeals Notice and Order to
         Demolish the Following: PUBLIC SAFETY
         1467 Terrace Street (Area 11)
         2226 Continental Street
         167 Mason Avenue – Home and Garage (Area 10)
SUMMARY OF REQUEST: This is to request that the City Commission concur with
the findings of the Housing Board of Appeals that the structures are unsafe,
substandard, a public nuisance and that they be demolished within 30 days. It
is further requested that administration be directed to obtain bids for the
demolition of the structure and that the Mayor and City Clerk be authorized and
directed to execute a contract for demolition with the lowest responsible
bidder.
FINANCIAL IMPACT: CDBG Funds.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION:        To concur with the Housing Board of Appeals
decision to demolish.
Motion by Commissioner Spataro, second by Commissioner Wierengo to concur
with the Housing Board of Appeals notice and order to demolish 1467 Terrace,
2226 Continental, and 167 Mason-home and garage.
ROLL VOTE: Ayes: Warmington, Hood, Spataro, German, Gawron, Wierengo,
           and Turnquist
            Nays: None
MOTION PASSES
      C. Ward and Precinct Redistricting. CITY CLERK
SUMMARY OF REQUEST: Due to the 2010 Census, the County district lines have
changed, so we are requesting permission to change the City precinct/ward
lines. This will allow us to balance the number of registered voters in the
precincts and to reduce the number of split precincts. We also request to
change the numbers of the precincts from 1 through 14.
FINANCIAL IMPACT: None.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: To authorize the Mayor and Clerk to sign a
resolution.
COMMITTEE RECOMMENDATION:           This has been approved by the Election
Commission.
Motion by Commissioner Spataro, second by Vice Mayor Gawron to approve

                                                                             5
the Ward and Precinct redistricting as proposed.
ROLL VOTE: Ayes: Hood, Spataro, German, Gawron, Wierengo, Turnquist, and
           Warmington
            Nays: None
MOTION PASSES
      D. Use of Explosives for Demolition on Former Sappi Property.       CITY
         MANAGER
SUMMARY OF REQUEST: To give permission to demolish the large stick (280’) and
the bleach plant by use of explosives on the former Sappi property contingent
upon review and approval of the demolition plan by all appropriate City staff.
City approval for use of explosives is necessary pursuant to City Ordinance 10-
136.
FINANCIAL IMPACT: None.
BUDGET ACTION REQUIRED: None.
STAFF RECOMMENDATION: To approve the use of explosives for demolition as
described above, contingent upon review and approval of the demolition plan
by all appropriate City staff.
Motion by Vice Mayor Gawron, second by Commissioner Wierengo to approve
the use of explosives for demolition as described contingent upon review and
approval of the demolition plan by appropriate City staff.
ROLL VOTE: Ayes:    Spataro, Gawron, Wierengo, Turnquist, Warmington, and
           Hood
            Nays: German
MOTION PASSES
PUBLIC PARTICIPATION: Public comments were received.
ADJOURNMENT: The City Commission Meeting adjourned at 6:45 p.m.


                                           Respectfully submitted,




                                           Ann Marie Cummings, MMC
                                           City Clerk




                                                                             6
            CITY COMMISSION GOAL SETTING SESSION
                      JANUARY 27, 2012

                                         MINUTES

Present: Mayor Warmington, Vice Mayor Gawron, Commissioners Hood, German, Spataro,
Wierengo, and Turnquist.

Staff Present: Mazade, Al-Shatel, Grant, Maurer, Brubaker-Clarke, Bailey, Paul, Smith,
Thompson, J. Lewis, Cummings.

Abset: B. Lewis

Others: Dave Alexander, Muskegon Chronicle, Gary Post, Keith Sype.

Opening remarks were given by Mayor Warmington.

Bob Kuhn facilitated the session.

Meeting began at 10:00 a.m.

The Mission, Vision and Value Statements were reviewed.

The goal of the City at this time is survival. It’s important that the Commission have a consensus
rather than a majority to accomplish the tasks that need to be accomplished.

Tim Paul and Bryon Mazade gave an overview of the city finances.

2012 Goals
Increase usage of Pere Marquette by residents
Promote development- housing
Code enforcement- target neighborboods
Neigborhood revitalization- rehab houses, private partnerships
Police Department - diversity, EEOC, cadet program, Civil Service
Re-zoning downtown b2 to b3
Cooperating Services - water, purchasing, income tax administration
Sappi Redevelopment, method of evaluation
Infrastructure Agreement, millage
Work with what we have, i.e. LC Walker Arena support
Consumer Power site
Baseball Complex
Level of services, eliminate/downsize
Casino

The top four priorities chosen by City Commissioners is as follows:
Sappi Redevelopment
Neighborhood Revitalization
Cooperating Services
Downtown Zoning
City Staff left the meeting/session at 2:00 p.m.

City Manager and Commission continued discussions immediately following.




                                                       ______________________________
                                                             Ann Marie Cummings, MMC
                                                                   City Clerk
Date:         February 14, 2012
To:           Honorable Mayor and City Commission
From:         Department of Public Works – Water Filtration Plant
RE:           W-732 High Service Switchgear Repair/Upgrades



SUMMARY OF REQUEST:

Award the High Service Pumps Switchgear repair/upgrade (W-732) to DVT Electric, Inc.
5151 S. Division St. Wyoming, MI 49548 since they were the lowest responsible bidder
with a bid price of $133,680.00 (See bid tabulation attached).

FINANCIAL IMPACT:

This upgrade was budgeted at $175,000 which includes engineering services of $24,950.00,
previously approved, July 11, 2011.

BUDGET ACTION REQUIRED:

None at this time.

STAFF RECOMMENDATION:

Staff concurs with the engineer’s recommendation and recommends City Commission
award the repair/upgrades to DVT Electric, Inc. for $133,680.00.
Date:        January 23, 2012
To:          DPW Director – Mohammed Al-Shatel
From:        Water Filtration Plant
RE:          1972 Pump Station Switchgear Replacement




The switchgear breakers outside the 1972 built high service pump station switches 2400
volt power between the 6 high service pumps is in need of an upgrade.


These breakers have been problematic and are unreliable due to their current age. As
part of the last major plant expansion, this switchgear was expanded to include a new
main secondary breaker, tie breaker, and generator main breaker as well as new motor
starters for high service pumps 1-6. The new starters were supplied with solid state
protective relaying. Due to cost constraints at that time, these breakers remained with
the intent that upgrades to these would be done at a later date. These breakers are
approaching 40 years of service.


Tetra-Tech was the engineering company that was involved in the plant upgrade project
in 2004 and was responsible for the design of the plants electrical distribution system as
well as the plant supervisory control and data acquisition systems. Gene Jones from
Tetra-Tech is intimately familiar with these systems and as the electrical engineer has
provided support and troubleshooting assistance to us at no cost for the last 7 years.
Gene has been an invaluable resource. They have completed the engineering portion
and bid requests have been received.       Tetra Tech is recommending awarding the
project to DVT Electric, 5151 S. Division St, Wyoming, MI 49548.


Staff recommends approval of the award to DVT Electric for the switchgear upgrade at
a cost of $133,680.00.
January 21, 2012                                                                   Transmitted Electronically 
          
 
Mr.  Steve Teunis 
Muskegon Water Filtration Plant 
1900 Beach Street 
Muskegon, MI 49441  
 
 
Re:      Recommendation of Award:  W‐732 High Service Switchgear Repair/Upgrade 
 
 
Dear Mr. Teunis: 
 
Tetra  Tech  has  completed  review  of  bids  received  in  response  to  the  Request  for  Bid  for  contractor 
services  related  to  the  High  Service  Switchgear  Repair/Upgrade  project  at  the  Muskegon  Water 
Filtration Plant.  
 
There  were  two  project  bidders,  both  bidders  acknowledged  all  addendums  (bid  tabulation  sheet  is 
attached).   
 
On January 17, 2012 Tetra Tech conducted a conference call with you and the apparent low bidder “DVT 
Electric”  to  discuss  several  items  related  to  their  bid.    On  January  18,  2012  Ladd  Vander  Laan  of  DVT 
Electric  issued  an  email  response  to  our  specific  questions  discussed  on  January  17th  (see  attached 
email)  confirming  that  DVT  Electric  intend  to  install  a  fully  bussed  1200  amp  connection  between  the 
new and existing switchgear as shown on the design drawings. 
 
Tetra  Tech  recommends  awarding  W‐732  High  Service  Switchgear  Repair/Upgrades  project  to  “DVT 
Electric”. 
 
We  look  forward  to  working  with  you  on  this  effort.    Please  contact  me  at  734‐213‐5075  if  you  have 
questions or require additional information. 
 
Sincerely, 



                      
Mick S. Jones, P.E. 
Senior Project Manager 
 
Copy:  Mr. Kevin Herbert 
        Mr. Mohammed Al‐Shatel 
                                 AGENDA ITEM NO. ________________

                          CITY COMMISSION MEETING February 14, 2012



TO:            Honorable Mayor and City Commissioners

FROM:          Bryon L. Mazade, City Manager

DATE:          January 31, 2012

RE:            2012–2013 City Commission Goals




SUMMARY OF REQUEST:
To approve the attached list of goals for 2012-2013. This list is the result of the goals setting
session held on January 27, 2012.



FINANCIAL IMPACT:
Unknown at this time.




BUDGET ACTION REQUIRED:
None at this time.




STAFF RECOMMENDATION:
To approve the attached list of goals.




COMMITTEE RECOMMENDATION:
The City Commission met on January 27, 2012 and identified the attached list of goals for
2012-2013.




pb\AGENDA\2012-2013 CITY COMMISSION GOALS 013112
                  Commission Meeting Date: February 14, 2012




Date:         February 9, 2012
To:           Honorable Mayor and City Commissioners
From:         Planning & Economic Development
RE:           Request to amend the resolution approving the Exemption of
              New Personal Property (PA 328) – ADAC Plastics


SUMMARY OF REQUEST:

The State of Michigan Property Services Division has requested that the City amend
resolution 2011-84a for the approval of the Exemption of New Personal Property for ADAC
Plastics. The act has undergone several amendments over the past two years and the
State is now requiring additional information in the resolution.

FINANCIAL IMPACT:

None

BUDGET ACTION REQUIRED:

None

STAFF RECOMMENDATION:

Approval of the revised resolution.

COMMITTEE RECOMMENDATION:

None




2/9/2012
                                             Resolution No. _______

                                       MUSKEGON CITY COMMISSION

 RESOLUTION APPROVING APPLICATION FOR EXEMPTION OF NEW PERSONAL PROPERTY UNDER
                                   PA 328 OF 1998
                                   ADAC Plastics


WHEREAS, the City of Muskegon meets the definition of an “Eligible Local Assessing District” under PA 328 of
1998, Section 7(g), by virtue of containing an eligible distressed area as defined by Section 7(f)(i), in accordance
with PA 346 of 1966, Section 11; and

WHEREAS, the applicant, ADAC Plastics, meets the definition of an “Eligible Business” as defined by PA 328 of
1998 and is engaged primarily in manufacturing at the location of 1801 E Keating Ave, Muskegon, MI; and

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 an Industrial Development District as requested by the
City of Muskegon for Port City Industrial Park, including the property owned by ADAC Plastics, 1801 E
Keating Ave, Muskegon, Michigan 49442; and

WHEREAS, ADAC Plastics has filed an application for Exemption of New Personal Property with respect to
new personal property to be installed within said Industrial Development District ; and

WHEREAS, before acting on said application the Muskegon City Commission held a public hearing on
November 22, 2011, 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, installation of new machinery and equipment had not begun earlier than six (6) months before
November 3, 2011, the date of acceptance of the application for the Exemption of New Personal Property; and

WHEREAS, the installation of machinery and equipment is calculated to and will have the reasonable likelihood
to retain, create, or prevent the loss of employment in Muskegon, Michigan; and


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 Exemption considered together
            with the aggregate amount of certificates previously granted and currently in force under Act No.
            328 of the Public Act of 1998 as amended and Act No. 198 of the Public Act of 1974 as amended
            and Act No. 255 of the Public Acts of 1978 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 ADAC Plastics, for the Exemption of New Personal Property with respect to the
            personal property expansion on the following described parcels of real property situated within the
            City of Muskegon to wit:

                 Parcel number 61-24-691-000-0015-00 and parcel number 61-24-691-000-0015-10 (they
                 will be combined before commencement and retain the same address, 1801 E Keating Ave)

         3) The Exemption of New Personal Property is issued and shall be and remain in force and effect for
            a period of twelve (12) years on personal property.




2/9/12
Adopted this 22nd Day of November 2011.


Ayes:

Nays:

Absent:

                                                   BY: __________________________________
                                                          Stephen J. Warmington
                                                          Mayor

                                              ATTEST: __________________________________
                                                         Ann Cummings
                                                         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 22, 2011.



                                                            ______________________________
                                                            Ann Cummings
                                                            Clerk




2/9/12
Glacier                                                                                                   Page 1 of 1



Potter, Linda


          Mike-

          I am going to need a revised resolution adding the statement about the local units qualification
          and any other statements in the attached sample resolution that were not a part of the original
          resolution approved by Muskegon.

          In the past two years this act has undergone several amendments. The first one added the
          clause that if an applicant is eligible for MEGA tax credits than the local unit can approve a PA
          328 exemption, where previously this was not allowed. The second is the addition of the
          communities that provide 4 of 6 specific services; fire, water, sewer, police, trash & recycling, and
          are located in a county bordering Canada or another state can approve PA 328 exemptions. The
          third addition is that an Aerotropolis or Next Michigan Development Corporation can approve an
          exemption. Due to these additions to the law we are not requiring the local unit to furnish a
          statement in the resolution describing how they are eligible to approve these exemptions.

          Attached is a sample resolution for this program, along with a couple other sample resolutions for
          your use. Feel free to contact me if you have any questions



          Heather Cole
          Department of Treasury
          Property Services Division
          P.O. Box 30760
          Lansing, MI 48909
          coleh2@michigan.gov
          (517) 373-0675




2/9/2012
Date: February 14, 2012
To: Honorable Mayor and City Commissioners
From: Finance
RE: Employee Compensation Plan - EVIP


SUMMARY OF REQUEST:                      Under the Economic Vitality Incentive Program (EVIP)
adopted by the state last year, the City must meet certain criteria in order to continue
receiving the non-constitutional portion of state revenue sharing funds. The first criterion was
to prepare and make available a citizen’s guide and performance dashboard by October 1,
2011. The second criterion was to certify to the Michigan Department of Treasury that by
January 1, 2012 we have produced and made readily available to the public, a plan with one
or more proposals to increase its existing level of cooperation, collaboration, and
consolidation, either within the jurisdiction or with other jurisdictions.

The third and final criterion is to certify to the Michigan Department of Treasury that by May 1,
2012 we have developed an employee compensation plan, which we intend to implement,
with any new, modified, or extended contract or employment agreement, for employees not
covered under contract or employment agreement; and that the plan has been made
available for public viewing in the clerk’s office or posted on a publicly accessible Internet site.

The attached Economic Vitality Incentive Program – Employee Compensation Plan
Component is presented for your approval. It shows the specific benefit standards as set by
the state EVIP legislation and how the City either has met or intends to meet these standards
in future contracts and employment agreements.

Once approved by the City Commission, the plan will be submitted to the Michigan
Department of Treasury and made available to the public on the City’s website.


FINANCIAL IMPACT: Failure to submit the plan to the state could result in the loss of
$321,642 - the employee compensation plan portion of the EVIP payment.



BUDGET ACTION REQUIRED: None.


STAFF RECOMMENDATION: Commission approval of the attached plan and
authorization for staff to submit the plan to the Michigan Department of Treasury.




                                                 1
Michigan Department of Treasury
4888 (07-11)


Economic Vitality Incentive Program
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Issued under authority of Public Act 63 of 2011. Filing is mandatory to qualify for payments.


Each city/village/township applying for Employee Compensation payments must:
     1. Certify to the Michigan Department of Treasury (Treasury) that the local unit listed below has developed an employee
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           agreements for employees not covered under contract or employment agreement. The plan shall be made available for public
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        2. Submit to Treasury an employee compensation plan.

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month) in order to qualify for that month’s payment. Post mark dates will not be considered. For questions, call (517) 373-2697.


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Local Unit Name
 City of Muskegon
Local Unit Code                                                                        Local Unit County
 612020                                                                                 Muskegon
Contact Name                                                                           Contact Telephone Number
 Bryon L. Mazade                                                                        (231) 724-6724


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Title                                                                                  Date
 City Manager                                                                           2/15/2012

Completed and signed forms (including required attachments) should be e-mailed to: 7UHDV257$#PLFKLJDQJRY

If you are unable to submit via e-mail, mail the completed form and required attachments to:
Michigan Department of Treasury
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Lansing MI 48909




                                                                          7UHDVXU\ 8VH 2QO\
EVIP Eligible                                               &HUWL¿FDWLRQ 5HFHLYHG                             EVIP Notes
                         Y              N
)LQDO &HUWL¿FDWLRQ                                          3ODQ 5HFHLYHG
                                                                                                                           CITY OF MUSKEGON
                                                                                     Economic Vitality Incentive Program Employee Compensation Plan Component
                                                                                                                                                                Economic Vitality Incentive Program Standards
                                          Membership Information (12/31/11)                                                                                                                                                                                                                                                          PA 152

                                                                                                                                                       For defined benefit pension plans, a
                                                                                                                                                        maximum multiplier of 1.5% for all
                                                                                                 New hires who are eligible for retirement                                                                                                                                             Hard Cap Limits: a total amount equal to
                                                                                                                                                      employees who are eligible for social      For defined benefit pension plans, final
                                                                                                plans are placed on retirement plans that                                                                                                  Health care premium costs for new hires    $5,500.00 times the number of employees
                                                                                                                                                         security benefits, except, where      average compensation for all employees is
                                                                                                cap annual employer contributions at 10%                                                                                                  shall include a minimum employee share of with single person coverage, $11,000.00
                                                                                                                                                        postemployment health care is not       calculated using a minimum of 3 years of
                                                 Defined               Current     Covered By      of base salary for employees who are                                                                                                    20%; or, an employer*s share of the local     times the number of employees with
                                  Defined                                                                                                           provided, the maximum multiplier shall be compensation and shall not include more
Employee Unit                                  Contribution   Total    Contract      Social       eligible for social security benefits. For                                                                                                  health care plan costs shall be cost      individual and spouse coverage, plus
                                Benefit (DB)                                                                                                          2.25%. For all employees who are not       than a total of 240 hours of paid leave.
                                                  (DC)                Expiration    Security?   employees who are not eligible for social                                                                                                  competitive with the new state preferred $15,000.00 times the number of employees
                                                                                                                                                      eligible for social security benefits, a     Overtime hours shall not be used in
                                                                                                  security benefits, the annual employer                                                                                                  provider organization health plan, on a per with family coverage, for a medical benefit
                                                                                                                                                      maximum multiplier of 2.25%, except,     computing the final average compensation
                                                                                                 contribution is capped at 16.2% of base                                                                                                                employee basis.               plan coverage year beginning on or after
                                                                                                                                                    where postemployment health care is not                 for an employee.
                                                                                                                    salary.                                                                                                                                                                        January 1, 2012.
                                                                                                                                                    provided, the maximum multiplier shall be
                                                                                                                                                                       3.0%.



                                                                                                                                                    Employees currently have a 2.25% multiplier with
                                                                                                                                                                                                           Effective 1/1/12, included leave is limited to 240
                                                                                                                                                       Social Security coverage and retiree health                                                                                                                  The City's aggregate healthcare costs are within
                                                                                                                                                                                                             hours. Effective 1/1/13, overtime is no longer     The City's healthcare costs are cost competitive
                                                                                                 Effective January 1, 2005, new hires go into DC    benefits. The City intends to implement either a                                                                                                               the "hard cap" limits set by PA 152: $5,062 single
                                                                                                                                                                                                          included in FAC. FAC is based on 3 consecutive         with the new state PPO health plan. Effective
                                    31              6          37     12/31/2013      YES
Non-Union
                                                                                                  plan with maximum 6% employer contribution          reduction in multiplier or elimination of retiree                                                                                                              coverage; $11,789 double coverage; $13,851
                                                                                                                                                                                                            years during which aggregate compensation is        1/1/12, employees contribute 10% of total costs.
                                                                                                                                                     healthcare at expiration of current employment                                                                                                                                 family coverage.
                                                                                                                                                                                                                                highest.
                                                                                                                                                                           terms.

                                                                                                                                                    Employees currently have a 2.25% multiplier with
                                                                                                                                                                                                          Effective 1/1/12, overtime is no longer included in
                                                                                                                                                       Social Security coverage and retiree health                                                                                                                  The City's aggregate healthcare costs are within
                                                                                                                                                                                                          final average compensation and included leave is      The City's healthcare costs are cost competitive
SEIU Local 517M (Unit 2 -                                                                        Effective January 1, 2006, new hires go into DC    benefits. The City intends to implement either a                                                                                                               the "hard cap" limits set by PA 152: $5,062 single
                                                                                                                                                                                                                limited to 240 hours. FAC is based on 3          with the new state PPO health plan. Effective
                                    47             15          62     12/31/2012      YES
                                                                                                  plan with maximum 6% employer contribution          reduction in multiplier or elimination of retiree                                                                                                              coverage; $11,789 double coverage; $13,851
DPW)
                                                                                                                                                                                                              consecutive years during which aggregate          1/1/12, employees contribute 10% of total costs.
                                                                                                                                                     healthcare at expiration of current employment                                                                                                                                 family coverage.
                                                                                                                                                                                                                         compensation is highest.
                                                                                                                                                                         contract.

                                                                                                                                                    Employees currently have a 2.25% multiplier with
                                                                                                                                                                                                          Effective 1/1/12, overtime is no longer included in
                                                                                                                                                       Social Security coverage and retiree health                                                                                                                  The City's aggregate healthcare costs are within
                                                                                                                                                                                                          final average compensation and included leave is      The City's healthcare costs are cost competitive
SEIU Local 517M (Clerical                                                                        Effective January 1, 2006, new hires go into DC    benefits. The City intends to implement either a                                                                                                               the "hard cap" limits set by PA 152: $5,062 single
                                                                                                                                                                                                                limited to 240 hours. FAC is based on 3          with the new state PPO health plan. Effective
                                    20              4          24     12/31/2012      YES
                                                                                                  plan with maximum 6% employer contribution          reduction in multiplier or elimination of retiree                                                                                                              coverage; $11,789 double coverage; $13,851
Unit)
                                                                                                                                                                                                              consecutive years during which aggregate          1/1/12, employees contribute 10% of total costs.
                                                                                                                                                     healthcare at expiration of current employment                                                                                                                                 family coverage.
                                                                                                                                                                                                                         compensation is highest.
                                                                                                                                                                         contract.



                                                                                                                                                                                                                                                                                                                    The City's aggregate healthcare costs are within
                                                                                                                                                                                                                                                                The City's healthcare costs are cost competitive
                                                                                                 Effective January 1, 2005, new hires go into DC                                                                                                                                                                   the "hard cap" limits set by PA 152: $5,062 single
                                                                                                                                                             N/A - All unit members are DC                         N/A - All unit members are DC                 with the new state PPO health plan. Effective
                                     0              1          1      12/31/2013      NO
Non-Union Police
                                                                                                       plan with 10% employer contribution                                                                                                                                                                           coverage; $11,789 double coverage; $13,851
                                                                                                                                                                                                                                                                1/1/12, employees contribute 10% of total costs.
                                                                                                                                                                                                                                                                                                                                    family coverage.



                                                                                                                                                    Employees currently have a 3.00% multiplier with Overtime is currently included in FAC and included
                                                                                                                                                      retiree health benefits, but no Social Security     leave is currently limited to 304 hours. The City                                                         The City's aggregate healthcare costs are within
                                                                                                  N/A Unit has no new hires. All members are                                                                                                                    The City's healthcare costs are cost competitive
                                                                                                                                                    coverage. The City intends to implement either a intends to exclude overtime and reduce included                                                               the "hard cap" limits set by PA 152: $5,062 single
                                                                                                   promoted from patrol unit and retain their                                                                                                                    with the new state PPO health plan. Effective
                                    14              0          14     12/31/2012      NO
COAM (Police Command)
                                                                                                                                                      reduction in multiplier or elimination of retiree leave at expiration of current employment contract.                                                          coverage; $11,789 double coverage; $13,851
                                                                                                      retirement benefit (either DB or DC)                                                                                                                      1/1/12, employees contribute 10% of total costs.
                                                                                                                                                     healthcare at expiration of current employment FAC is based on 3 consecutive years during which                                                                                family coverage.
                                                                                                                                                                         contract.                              aggregate compensation is highest.


                                                                                                                                                   Employees currently have a 3.00% multiplier with Overtime is currently included in FAC and included
                                                                                                                                                     retiree health benefits, but no Social Security     leave is currently limited to 304 hours. The City The City's healthcare costs are cost competitive         The City's aggregate healthcare costs are within
Police Officers Labor Council                                                                   Effective July 28, 2006, new hires go into DC plan coverage. The City intends to implement either a intends to exclude overtime and reduce included         with the new state PPO health plan. Effective          the "hard cap" limits set by PA 152: $5,062 single
                                    49             11          60     12/31/2011      NO
                                                                                                          with 10% employer contribution             reduction in multiplier or elimination of retiree leave at expiration of current employment contract. 1/1/12, the City will attempt to require employees        coverage; $11,789 double coverage; $13,851
(Patrol)
                                                                                                                                                    healthcare at expiration of current employment FAC is based on 3 consecutive years during which                 to contribute 10% of total costs.                               family coverage.
                                                                                                                                                                        contract.                              aggregate compensation is highest.
                                                                                                                               CITY OF MUSKEGON
                                                                                         Economic Vitality Incentive Program Employee Compensation Plan Component
                                                                                                                                                                   Economic Vitality Incentive Program Standards
                                          Membership Information (12/31/11)                                                                                                                                                                                                                                                           PA 152

                                                                                                                                                          For defined benefit pension plans, a
                                                                                                                                                           maximum multiplier of 1.5% for all
                                                                                                     New hires who are eligible for retirement                                                                                                                                            Hard Cap Limits: a total amount equal to
                                                                                                                                                         employees who are eligible for social      For defined benefit pension plans, final
                                                                                                    plans are placed on retirement plans that                                                                                                 Health care premium costs for new hires    $5,500.00 times the number of employees
                                                                                                                                                            security benefits, except, where      average compensation for all employees is
                                                                                                    cap annual employer contributions at 10%                                                                                                 shall include a minimum employee share of with single person coverage, $11,000.00
                                                                                                                                                           postemployment health care is not       calculated using a minimum of 3 years of
                                                 Defined                  Current      Covered By      of base salary for employees who are                                                                                                   20%; or, an employer*s share of the local     times the number of employees with
                                  Defined                                                                                                              provided, the maximum multiplier shall be compensation and shall not include more
Employee Unit                                  Contribution   Total       Contract       Social       eligible for social security benefits. For                                                                                                 health care plan costs shall be cost      individual and spouse coverage, plus
                                Benefit (DB)                                                                                                             2.25%. For all employees who are not       than a total of 240 hours of paid leave.
                                                  (DC)                   Expiration     Security?   employees who are not eligible for social                                                                                                 competitive with the new state preferred $15,000.00 times the number of employees
                                                                                                                                                         eligible for social security benefits, a     Overtime hours shall not be used in
                                                                                                      security benefits, the annual employer                                                                                                 provider organization health plan, on a per with family coverage, for a medical benefit
                                                                                                                                                         maximum multiplier of 2.25%, except,     computing the final average compensation
                                                                                                     contribution is capped at 16.2% of base                                                                                                               employee basis.               plan coverage year beginning on or after
                                                                                                                                                       where postemployment health care is not                 for an employee.
                                                                                                                        salary.                                                                                                                                                                       January 1, 2012.
                                                                                                                                                       provided, the maximum multiplier shall be
                                                                                                                                                                          3.0%.



                                                                                                                                                       Employees currently have a 2.75% multiplier with Overtime is currently included in FAC and included
                                                                                                                                                         retiree health benefits, but no Social Security     leave is currently limited to 504 hours. The City                                                       The City's aggregate healthcare costs are within
                                                                                                                                                                                                                                                                 The City's healthcare costs are cost competitive
                                                                                                     Effective January 1, 2005, new hires go into DC   coverage. The City intends to implement either a intends to exclude overtime and reduce included                                                             the "hard cap" limits set by PA 152: $5,062 single
                                                                                                                                                                                                                                                                  with the new state PPO health plan. Effective
                                    31              2          33        12/31/2013        NO
IAFF Local 370 (Firefighters)
                                                                                                           plan with 10% employer contribution           reduction in multiplier or elimination of retiree leave at expiration of current employment contract.                                                        coverage; $11,789 double coverage; $13,851
                                                                                                                                                                                                                                                                 1/1/13, employees contribute 10% of total costs.
                                                                                                                                                        healthcare at expiration of current employment FAC is based on 3 consecutive years during which                                                                              family coverage.
                                                                                                                                                                            contract.                              aggregate compensation is highest.


                        Green - City compensation policies currently within EVIP standards
                         Red - City intends to implement changes to bring policies within EVIP standards
                         Blue - EVIP standards not applicable for stated reasons
Date: October 25, 2011
To: Honorable Mayor and City Commissioners
From: Finance Director
RE: First Quarter 2011-12 Budget Reforecast


SUMMARY OF REQUEST: At this time staff is transmitting the Second
Quarter 2011-12 Budget Reforecast which outlines proposed changes to the
original budget that have come about as result of changes in revenue projections,
policy priorities, labor contracts, updated economic conditions, or other factors.

FINANCIAL IMPACT: Specific proposed changes to the budget include:
      The projected 2011-12 operating deficit for the General Fund has decreased
      from $885,728 (original budget) to $234,007. This is primarily due to:
         o Higher anticipated income tax revenues (+$300,000 from original) and
         o Higher anticipated state-shared revenues (+490,888 from original)

      General Fund expenditures have been adjusted slightly and are about 1%
      higher than originally budgeted.

      Capital projects have been reforecast based on bid results, grant awards and
      other factors. Overall capital projects are down from $6.9 million (originally
      budgeted) to $6.3 million. Mostly this is due to the fact that the Sherman
      Street (Lincoln to Estes) project has been pushed to next year.

BUDGET ACTION REQUIRED: Approval of this budget reforecast constitutes
a formal amendment to the City’s 2011-12 budget.

STAFF RECOMMENDATION: Approval.
COMMITTEE RECOMMENDATION: None.
    City of Muskegon
    2011-12 2Q Reforecast Budget
    Summary of Budgeted Funds


                                                          Projected                                      Projected Ending    Increase
                                                       Beginning Fund                                          Fund       (Decrease) Fund
                                                       Balance/Working    Projected        Projected     Balance/Working Balance/Working
                                                           Capital        Revenues        Expenditures        Capital         Capital
    Fund Name


    General                                            $     4,511,382 $ 23,515,986 $ 23,749,993 $             4,277,375 $      (234,007)
1



    Major Streets                                             566,001      6,637,364         5,203,482         1,999,883       1,433,882
2



    Local Streets                                             663,340      1,340,998         1,555,190          449,148         (214,192)
3



    Criminal Forfeitures Fund                                 140,828         12,500            45,000          108,328          (32,500)
4



    Budget Stabilization Fund                                1,500,000                -              -         1,500,000                -
5



    Tree Replacement Fund                                       5,119          2,050             2,500            4,669             (450)
6



    Brownfield Redevelopment Authority Fund                    65,349        142,659           191,601           16,407          (48,942)
7



    Tax Increment Finance Authority Fund                       16,445         53,242            50,000           19,687            3,242
8



    Downtown Development Authority Debt Fund                  272,145        304,305           329,712          246,738          (25,407)
9



10 Local Development Finance Authority III Fund (SZ)           21,348        258,555           272,697            7,206          (14,142)


11 Arena Improvement                                              779         48,600            23,400           25,979           25,200


12 Sidewalk Improvement                                       665,541         90,000           151,705          603,836          (61,705)


13 Public Improvement                                         551,506         57,500            48,000          561,006            9,500


14 State Grants                                               237,439        316,000           315,000          238,439            1,000


15 Marina & Launch Ramp                                       243,852        263,800           202,331          305,321           61,469


16 Public Service Building                                    268,058        975,340           938,812          304,586           36,528


17 Engineering Services                                        (93,420)      574,516           478,054            3,042           96,462


18 Equipment                                                 2,880,251     2,425,000         3,144,144         2,161,107        (719,144)


19 General Insurance                                         1,420,174     3,902,164         3,740,320         1,582,018         161,844


20 Sewer                                                     3,320,219     6,155,000         6,029,369         3,445,850         125,631


21 Water                                                     3,585,169     5,717,000         6,619,043         2,683,126        (902,043)




     Total All Budgeted Funds                          $   20,841,525 $ 52,792,580 $ 53,090,353 $             20,543,752 $      (297,773)


                                                            Page 1 of 40
                         CITY OF MUSKEGON
                           GENERAL FUND

                        HISTORICAL SUMMARY


                           Revenues &        Expenditures &    Fund Balance
    Year                   Transfers In       Transfers Out     at Year-End
    2000       $           23,685,516 $         22,232,657 $     2,951,734
    2001                   23,446,611           23,235,978       3,162,367
    2002                   23,617,163           23,971,534       2,807,996
    2003                   23,328,756           23,705,334       2,431,418
    2004                   23,401,793           23,388,019       2,445,192
    2005                   23,732,641           23,658,227       2,519,606
    2006                   24,669,210           24,498,776       2,690,040
    2007                   25,031,403           24,800,810       2,920,633
    2008                   25,563,632           26,100,539       2,383,726
    2009                   24,105,019           24,850,082       1,638,663
    2010*                  16,142,764           11,742,973       6,038,454
   2010-11                 24,029,686           25,556,758       4,511,382

                    Fiscal 2011-12 Budget Summary

FUND BALANCE AT START OF YEAR                                                 $   4,511,382

MEANS OF FINANCING:
               Taxes                                            14,961,645        63.6%
               Licenses and Permits                              1,119,000         4.8%
               Federal Grants                                      169,889         0.7%
               State Grants                                         20,000         0.1%
               State Shared Revenue                              3,540,888        15.1%
               Other Charges                                     2,320,058         9.9%
               Interest & Rentals                                  345,761         1.5%
               Fines and Fees                                      472,000         2.0%
               Other Revenue                                       466,745         2.0%
               Other Financing Sources                             100,000         0.4%
                                                                23,515,986        100.0%




ESTIMATED REQUIREMENTS:
               Customer Value Added Activities                  18,087,526        76.2%
               Business Value Added Activities                   4,075,513        17.2%
               Fixed Budget Items                                1,586,954         6.7%
                                                                23,749,993        100.0%

ESTIMATED FUND BALANCE AT END OF YEAR                                         $   4,277,375

             OPERATING DEFICIT (USE OF FUND BALANCE)                          $    (234,007)


* Six-month transition period to new fiscal year




                                         Page 2 of 40
City of Muskegon
Annual Budget & Quarterly Budget Reforecast - General Fund


                                  Actual FY2010 (Stub                       Original Budget       Actual to Date        2Q Reforecast       % Change
                                          Year)         Actual FY2011      Estimate FY2012           FY2012                FY2012        From Original
Available Fund Balance - BOY      $        1,638,663    $      6,038,454   $     4,187,864    $        4,511,382    $        4,511,382

Taxes
City income tax                   $        3,368,057    $      6,599,753   $     6,500,000    $        3,674,512    $        6,800,000            5%
Property taxes - general                   6,438,439           6,626,276         6,307,985               544,342             6,307,985            0%
Property taxes - sanitation                1,489,136           1,731,364         1,660,197               142,127             1,660,197            0%
Industrial facilities taxes                  468,369              93,618            93,463                     -                93,463            0%
Payments in lieu of taxes                     91,181              95,402            91,000                     -                95,000            4%
Delinquent chargeback collected                    -                  17             5,000                     3                 5,000            0%
                                  $       11,855,182    $     15,146,430   $    14,657,645    $        4,360,984    $       14,961,645            2%

Licenses and permits
Business licenses                 $           25,934    $         31,110   $        28,000    $            6,597    $           28,000            0%
Liquor licenses                                9,945              52,085            46,000                31,300                46,000            0%
Temporary Liquor licenses                     12,794               9,870            15,000                 2,075                15,000            0%
Cable TV franchise fees                      178,239             362,103           340,000                80,815               360,000            6%
Rental property registration                  47,367             115,598           120,000                79,195               120,000            0%
Burial permits                                39,624              93,483           110,000                47,193               110,000            0%
Building permits                             135,155             255,906           200,000               138,491               200,000            0%
Electrical permits                            43,576              78,852            75,000                46,698                75,000            0%
Plumbing permits                              20,254              29,961            30,000                14,798                30,000            0%
Mechanical permits                            26,204              61,611            60,000                30,981                60,000            0%
                                                                                    75,000                39,638                75,000            0%
Vacant building                               45,070              89,060
                                  $          584,162    $      1,179,639   $     1,099,000    $          517,781    $        1,119,000            2%

Federal grants
Federal operational grant         $          122,965    $       192,842    $       169,889    $          100,362    $          169,889            0%
                                  $          122,965    $       192,842    $       169,889    $          100,362    $          169,889            0%

State grants
Act 302 police training grant     $            7,805    $        42,458    $        20,000    $             9,477   $           20,000            0%
State operational grant                            -                  -                  -                      -                    -              -
                                  $            7,805    $        42,458    $        20,000    $             9,477   $           20,000            0%




                                                            Page 3 of 40
City of Muskegon
Annual Budget & Quarterly Budget Reforecast - General Fund


                                            Actual FY2010 (Stub                       Original Budget       Actual to Date       2Q Reforecast       % Change
                                                    Year)         Actual FY2011      Estimate FY2012           FY2012               FY2012        From Original
State shared revenue
State sales tax - Constitutional            $        1,189,635    $      2,454,851   $     2,300,000    $          897,707   $        2,575,980           12%
State sales tax - Statutory/EVIP                       642,431           1,392,008           750,000               321,636              964,908           29%
                                            $        1,832,066    $      3,846,859   $     3,050,000    $        1,219,343   $        3,540,888           16%

Other charges for sales and services
Tax administration fees                     $          194,131    $        297,326   $       289,500    $           41,126   $          289,500            0%
Utility administration fees                            110,000             225,000           225,000               112,500              225,000            0%
Reimbursement for elections                                 79              12,672            15,500                   414               15,500            0%
Reimbursement for school police officer                 13,361              47,440            19,000                 4,245               19,000            0%
Indirect cost reimbursement                            582,084           1,144,020         1,144,018               572,010            1,144,018            0%
Site-plan review fee                                     1,500               2,800             3,000                 2,200                3,000            0%
Sale of cemetery lots                                   11,744              29,740            25,000                13,120               25,000            0%
Sale of columbarium niches                               1,170               2,550               500                    78                  500            0%
Police miscellaneous                                    17,930              37,113            40,000                15,535               40,000            0%
Police impound fees                                     23,300              39,100            40,000                21,800               42,000            5%
                                                                                                  40                     -                   40            0%
Landlord's alert fee                                       155                  40
Fire protection-state property                          35,212             120,210            80,000                60,163               80,000            0%
Zoning fees                                              3,290               6,158             8,000                 7,240               10,000           25%
Clerk fees                                                 197               2,039             3,500                   598                3,500            0%
Clerk - passport fees                                    3,555               4,115             5,000                 1,370                3,000          -40%
Tax abatement application fees                               -                 810             2,000                 3,139                4,000          100%
Lien Look-ups                                           12,920              14,455            15,000                 8,180               15,000            0%
Treasurer fees                                          49,603              45,903            50,000                 3,830               50,000            0%
False alarm fees                                         6,125              12,960            13,000                 6,735               13,000            0%
Miscellaneous cemetery income                            6,571              20,398            18,000                52,280               63,000          250%
                                                                                                                     5,766               11,000           22%
Senior transit program fees                              5,082              10,401             9,000
Fire miscellaneous                                         560               4,985             2,000                   603                2,000            0%
Sanitation stickers                                     38,809              79,762            80,000                34,180               80,000            0%
Lot cleanup fees (trash)                                18,348              29,493            50,000                14,322               30,000          -40%
Reimbursements for mowing and demolitions               20,102              49,760            50,000                33,106               50,000            0%
Special events reimbursements                           30,546             104,937           100,000                93,402              100,000            0%
Recreation program fees                                 19,753              20,831                 -                 1,595                2,000              -
                                            $        1,206,127    $      2,365,018   $     2,287,058    $        1,109,537   $        2,320,058            1%




                                                                      Page 4 of 40
City of Muskegon
Annual Budget & Quarterly Budget Reforecast - General Fund


                                             Actual FY2010 (Stub                       Original Budget       Actual to Date       2Q Reforecast       % Change
                                                     Year)         Actual FY2011      Estimate FY2012           FY2012               FY2012        From Original
Interest and rental income
Interest                                     $           (2,349) $          85,120    $        50,000    $           46,337   $           90,000           80%
Procurement Card Rebate                                       -             33,668             45,000                     -               45,000            0%
Fire Station Lease - Central Dispatch                    20,879             47,895             42,000                19,415               42,000            0%
Naval Musem Property Rental                                   -              2,500              5,000                 5,000                5,000            0%
Flea market                                              11,346             27,233             29,000                29,335               30,000            3%
Farmers market                                           18,484             43,471             35,000                16,892               35,000            0%
City hall rental                                          1,200              7,200              7,200                 3,600                7,200            0%
City right of way rental                                  6,800              6,800              8,561                     -                8,561            0%
McGraft park rentals                                     13,844             52,475             45,000                 3,195               45,000            0%
Other park rentals                                       22,133             49,525             38,000                12,386               38,000            0%
                                                                                      $       304,761    $          136,160   $          345,761           13%
                                             $           92,337 $          355,887

Fines and fees
Income tax - penalty and interest            $          109,441    $       156,339    $       180,000    $           94,123   $          180,000            0%
Late fees on current taxes                               42,766             30,875             40,000                     -               40,000            0%
Interest on late invoices                                   247              2,011              2,000                 1,669                2,000            0%
Parking fines                                            71,160            100,885            125,000                50,040              110,000          -12%
Court fines                                              72,929            142,764            170,000                48,066              140,000          -18%
                                             $          296,543    $       432,874    $       517,000    $          193,898   $          472,000           -9%

Other revenue
Sale of land and assets                      $              500    $             -    $         1,000    $            4,010 $              5,000          400%
Police sale and auction proceeds                          1,823                  -                  -                     -                4,100              -
CDBG program reimbursements                              48,030            324,393            382,870                81,385              382,870            0%
Sanitation reimbursements                                43,030                  -                  -                     -                    -              -
Contributions                                            19,740             12,455             11,000                  (559)              11,000            0%
Contributions - Veteran's Park Maintenance                    -             19,402             19,500                 1,234               19,500            0%
Fisherman's Landing Repayment                                 -             16,106             14,500                16,775               16,775           16%
Darl & Kathleen Staley Trust                                  -                  -                  -                     -                    -              -
Muskegon County Community Foundation                      2,394             12,005              1,500                     -                1,500            0%
Miscellaneous reimbursements                                  -                  -              1,000                     -                1,000            0%
                                                                                               25,000                 4,751               25,000            0%
Miscellaneous and sundry                                  2,873              5,961
                                             $          118,390    $       390,322    $       456,370    $          107,596 $            466,745            2%




                                                                       Page 5 of 40
City of Muskegon
Annual Budget & Quarterly Budget Reforecast - General Fund


                                  Actual FY2010 (Stub                       Original Budget       Actual to Date       2Q Reforecast       % Change
                                          Year)         Actual FY2011      Estimate FY2012           FY2012               FY2012        From Original
Other financing sources
Operating transfers in
 Cemetery Perpetual Care          $            2,187    $         2,357    $        50,000    $              549   $           50,000            0%
 General Insurance Fund                            -                  -                  -                     -                    -              -
 LDFA Fund                                         -                  -                  -                     -                    -              -
 Budget Stabilization Fund                         -                  -                  -                     -                    -              -
 TIFA Fund (Arena Operations)                 25,000             75,000             50,000                25,000               50,000            0%
                                  $           27,187    $        77,357    $       100,000    $           25,549   $          100,000            0%

Total general fund revenues and
other sources                     $       16,142,764    $     24,029,686   $    22,661,723    $        7,780,687   $       23,515,986            4%




                                                            Page 6 of 40
       Annual Budget & Quarterly Budget Reforecast - General Fund
       General Fund Expenditure Summary By Function

                                                                                                                                             Actual As % Change
                                               Actual FY2010                     Original Budget       Actual to Date       2Q Reforecast      % of      From
                                                (Stub Year)     Actual FY2011   Estimate FY2012           FY2012              FY2012         Revised    Original
       I. Customer Value Added Activities

40301 Police Department
5100     Salaries & Benefits                   $   3,770,931    $   7,675,922   $      7,836,965   $        3,969,380   $        7,836,965        51%        0%
5200     Operating Supplies                           28,819           70,082             90,000               38,893               90,000        43%        0%
5300     Contractual Services                        465,614          897,777            820,024              432,748              820,024        53%        0%
5400     Other Expenses                                4,773           15,826             16,000               12,875               16,000        80%        0%
5700     Capital Outlays                              19,632           31,331             15,000                2,428               15,000        16%        0%
5900     Other Financing Uses                              -                -                  -                    -                    -         N/A         -
                                               $   4,289,769    $   8,690,938   $      8,777,989   $        4,456,324   $        8,777,989        51%        0%
                                               $   4,289,769    $   8,690,938   $      8,777,989   $        4,456,324   $        8,777,989        51%        0%

50336 Fire Department
5100     Salaries & Benefits                   $   1,687,648    $   3,355,077   $      3,191,899   $        1,867,813   $        3,191,899        59%        0%
5200     Operating Supplies                           37,904           85,462            116,500               28,186              116,500        24%        0%
5300     Contractual Services                         95,652          173,320            149,861               60,009              149,861        40%        0%
5400     Other Expenses                                1,751            1,597              4,000                    -                4,000         0%        0%
5700     Capital Outlays                              37,389           95,925             60,000               23,631               60,000        39%        0%
5900     Other Financing Uses                              -                -                  -                    -                    -         N/A         -
                                               $   1,860,344    $   3,711,381   $      3,522,260   $        1,979,639   $        3,522,260        56%        0%

50387 Fire Safety Inspections
5100     Salaries & Benefits                   $     319,970    $     535,750   $        464,680   $          237,618   $          464,680        51%        0%
5200     Operating Supplies                            5,391           11,469             10,000                2,973               10,000        30%        0%
5300     Contractual Services                         44,782          103,147            108,040               17,990              108,040        17%        0%
5400     Other Expenses                                1,867            6,042             10,000                3,195               10,000        32%        0%
5700     Capital Outlays                                   -                -              2,000                1,708                2,000        85%        0%
5900     Other Financing Uses                              -                -                  -                    -                    -         N/A         -
                                               $     372,010    $     656,408   $        594,720   $          263,484   $          594,720        44%        0%
                                               $   2,232,354    $   4,367,789   $      4,116,980   $        2,243,123   $        4,116,980        54%        0%



60523 General Sanitation
5100     Salaries & Benefits                   $     15,240     $      67,009   $         30,000   $           15,922   $           30,000        53%        0%
5200     Operating Supplies                               -                16                  -                    -                    -         N/A         -
5300     Contractual Services                       774,346         1,542,755          1,650,000              665,709            1,650,000        40%        0%
5400     Other Expenses                                   -                 -                  -                    -                    -         N/A         -
5700     Capital Outlays                                  -                 -                  -                    -                    -         N/A         -
5900     Other Financing Uses                       100,000           200,000            200,000              100,000              200,000        50%        0%

                                                               Page 7 of 40
       Annual Budget & Quarterly Budget Reforecast - General Fund
       General Fund Expenditure Summary By Function

                                                                                                                                             Actual As % Change
                                               Actual FY2010                       Original Budget      Actual to Date      2Q Reforecast      % of      From
                                                 (Stub Year)     Actual FY2011    Estimate FY2012          FY2012             FY2012         Revised    Original
                                               $      889,586    $   1,809,780   $        1,880,000   $         781,631   $      1,880,000        42%         0%
60550 Stormwater Management
5100     Salaries & Benefits                   $           -     $           -   $               -    $               -   $              -        N/A          -
5200     Operating Supplies                                -                 -                   -                    -                  -        N/A          -
5300     Contractual Services                          4,000            17,029              17,786                    -             17,786        0%         0%
5400     Other Expenses                                    -                 -                   -                    -                  -        N/A          -
5700     Capital Outlays                                   -                 -                   -                    -                  -        N/A          -
5900     Other Financing Uses                              -                 -                   -                    -                  -        N/A          -
                                               $       4,000     $      17,029   $          17,786    $               -   $         17,786        0%         0%
60448 Streetlighting
5100     Salaries & Benefits                   $           -     $        224    $               -    $             -     $             -         N/A          -
5200     Operating Supplies                                -                -                    -                  -                   -         N/A          -
5300     Contractual Services                        395,257          784,081              750,000            323,152             775,000        42%         3%
5400     Other Expenses                                    -                -                    -                  -                   -         N/A          -
5700     Capital Outlays                                   -                -               10,000                  -              10,000         0%         0%
5900     Other Financing Uses                              -                -                    -                  -                   -         N/A          -
                                               $     395,257     $    784,305    $         760,000    $       323,152     $       785,000        41%         3%
60707 Senior Citizen Transit
5100     Salaries & Benefits                   $      26,539     $      57,941   $          58,678    $         35,200    $         66,700       53%        14%
5200     Operating Supplies                                -                 -                   -                   -                   -        N/A          -
5300     Contractual Services                          5,360            10,400              10,400               5,200              10,400       50%         0%
5400     Other Expenses                                    -                 -                   -                   -                   -        N/A          -
5700     Capital Outlays                                   -                 -                   -                   -                   -        N/A          -
5900     Other Financing Uses                              -                 -                   -                   -                   -        N/A          -
                                               $      31,899     $      68,341   $          69,078    $         40,400    $         77,100       52%        12%
60446 Community Event Support
5100     Salaries & Benefits                   $       9,362     $      11,381   $          10,000    $         10,589    $         13,000       81%        30%
5200     Operating Supplies                              190               644               1,100                  58               1,100        5%         0%
5300     Contractual Services                          5,008             8,180              12,500               3,650              12,500       29%         0%
5400     Other Expenses                                    -                 -                   -                   -                   -        N/A          -
5700     Capital Outlays                                   -                 -                   -                   -                   -        N/A          -
5900     Other Financing Uses                              -                 -                   -                   -                   -        N/A          -
                                               $      14,560     $      20,205   $          23,600    $         14,297    $         26,600       54%        13%
70751 Parks Maintenance
5100     Salaries & Benefits                   $     191,755     $    357,563    $         387,222    $       190,441     $       387,222        49%         0%
5200     Operating Supplies                           23,213           53,777               93,850             34,233              93,850        36%         0%
5300     Contractual Services                        279,987          556,578              646,785            329,316             646,785        51%         0%
5400     Other Expenses                                  175               20                    -                 21                 100        21%           -
5700     Capital Outlays                                   -           11,090               11,000                 50              11,000         0%         0%

                                                                Page 8 of 40
       Annual Budget & Quarterly Budget Reforecast - General Fund
       General Fund Expenditure Summary By Function

                                                                                                                                                Actual As % Change
                                               Actual FY2010                        Original Budget       Actual to Date       2Q Reforecast      % of      From
                                                 (Stub Year)      Actual FY2011    Estimate FY2012           FY2012              FY2012         Revised    Original
5900     Other Financing Uses                                -                 -                  -                    -                    -          N/A          -
                                               $      495,130     $      979,028   $      1,138,857   $          554,061   $        1,138,957        49%         0%
70757 Mc Graft Park Maintenance
5100     Salaries & Benefits                   $        4,674     $       6,412    $          6,551   $            4,347   $            6,551        66%         0%
5200     Operating Supplies                             1,130             3,547               1,400                1,773                2,000        89%        43%
5300     Contractual Services                           8,593            37,173              35,700                8,334               35,700        23%         0%
5400     Other Expenses                                     -                 -                   -                    -                    -         N/A          -
5700     Capital Outlays                                    -                 -                   -                    -                    -         N/A          -
5900     Other Financing Uses                               -                 -                   -                    -                    -         N/A          -
                                               $       14,397     $      47,132    $         43,651   $           14,454   $           44,251        33%         1%
70276 Cemeteries Maintenance
5100     Salaries & Benefits                   $      87,040      $     112,101    $        108,948   $           52,344   $          108,948        48%         0%
5200     Operating Supplies                              569              4,882               6,750                2,825                6,750        42%         0%
5300     Contractual Services                         96,313            210,640             244,824              148,770              244,824        61%         0%
5400     Other Expenses                                    -                  -                   -                    -                    -         N/A          -
5700     Capital Outlays                                  72              8,383                   -                   42                  100        42%           -
5900     Other Financing Uses                              -                  -                   -                    -                    -         N/A          -
                                               $     183,994      $     336,006    $        360,522   $          203,981   $          360,622        57%         0%
70585 Parking Operations
5100     Salaries & Benefits                   $          501     $       1,748    $              -   $              173   $              200        87%           -
5200     Operating Supplies                                 -               274                   -                    -                    -         N/A          -
5300     Contractual Services                           1,944             5,182               3,000                1,209                3,000        40%         0%
5400     Other Expenses                                     -                 -                   -                    -                    -         N/A          -
5700     Capital Outlays                                    -                 -                   -                    -                    -         N/A          -
5900     Other Financing Uses                               -                 -                   -                    -                    -         N/A          -
                                               $        2,445     $       7,204    $          3,000   $            1,382   $            3,200        43%         7%
70357 Graffiti Removal
5100     Salaries & Benefits                   $        1,445     $       2,659    $              -   $            2,713   $            3,000        90%           -
5200     Operating Supplies                               618               465                   -                  398                  500        80%           -
5300     Contractual Services                             391               123               4,861                  170                4,861         3%         0%
5400     Other Expenses                                     -                 -                   -                    -                    -         N/A          -
5700     Capital Outlays                                    -                 -                   -                    -                    -         N/A          -
5900     Other Financing Uses                               -                 -                   -                    -                    -         N/A          -
                                               $        2,454     $       3,247    $          4,861   $            3,281   $            8,361        39%        72%
70863 Farmers' Market & Flea Market
5100    Salaries & Benefits                    $        7,850     $      17,869    $         22,240   $           13,998   $           22,240        63%         0%
5200    Operating Supplies                              2,085             1,802               1,800                  418                1,800        23%         0%
5300    Contractual Services                            8,181            31,538              29,950               19,202               29,950        64%         0%
5400    Other Expenses                                     50                 -                 100                   20                  100        20%         0%

                                                                 Page 9 of 40
       Annual Budget & Quarterly Budget Reforecast - General Fund
       General Fund Expenditure Summary By Function

                                                                                                                                                             Actual As % Change
                                                          Actual FY2010                         Original Budget       Actual to Date       2Q Reforecast       % of      From
                                                            (Stub Year)      Actual FY2011     Estimate FY2012           FY2012              FY2012          Revised    Original
5700     Capital Outlays                                           1,326                  -                6,000                  294               6,000           5%        0%
5900     Other Financing Uses                                           -                 -                     -                    -                   -          N/A          -
                                                          $       19,492     $       51,209   $           60,090    $          33,932    $         60,090         56%         0%
                                                          $    2,053,214     $   4,123,486    $        4,361,445    $      1,970,571     $      4,401,967         45%         1%

70775 General Recreation
5100     Salaries & Benefits                              $       57,201     $      21,202    $                -    $              -     $              -          N/A          -
5200     Operating Supplies                                        4,816               633                     -                 230                  500         46%           -
5300     Contractual Services                                     26,070            61,387                96,000              51,562               96,000         54%         0%
5400     Other Expenses                                              708                 -                     -                   -                    -          N/A          -
5700     Capital Outlays                                               -                 -                     -                   -                    -          N/A          -
5900     Other Financing Uses                                          -                 -                     -                   -                    -          N/A          -
                                                          $       88,795     $      83,222    $           96,000    $         51,792     $         96,500         54%         1%
80387 Environmental Services
5100     Salaries & Benefits                              $      69,234      $     218,388    $         335,466     $        172,517     $        335,466         51%         0%
5200     Operating Supplies                                       4,905              6,529                7,300                3,659                7,300         50%         0%
5300     Contractual Services                                    89,930            185,550              185,000              127,095              185,000         69%         0%
5400     Other Expenses                                               -                 35                1,000                  145                1,000         15%         0%
5700     Capital Outlays                                          2,051              1,281                3,500                  293                3,500          8%         0%
5900     Other Financing Uses                                         -                  -                    -                    -                    -          N/A          -
                                                          $     166,120      $     411,783    $         532,266     $        303,709     $        532,266         57%         0%
                                                          $     254,915      $     495,005    $         628,266     $        355,501     $        628,766         57%         0%

10875 Other - Contributions to Outside Agencies
                                                          $      40,082 $           80,164               80,164 $             40,082 $
        Muskegon Area Transit (MATS)                                                          $                                                    80,164         50%         0%
                                                                 20,803             20,272               21,000                     -              21,000
        Neighborhood Association Grants                                                                                                                            0%         0%
                                                                 17,784             45,660               45,660               22,782               45,660
        Muskegon Area First                                                                                                                                       50%         0%
                                                                  7,357              7,000                7,000                     -               7,000
        Veterans Memorial Day Costs                                                                                                                                0%         0%
                                                                  5,000                   -                    -                    -                    -
        Mainstreet                                                                                                                                                 N/A          -
                                                                  2,500              2,500                2,500                     -               2,500
        Lakeside Business District                                                                                                                                 0%         0%
                                                                  2,500              2,500                2,500                     -               2,500
        211 Service                                                                                                                                                0%         0%
                                                                       -                  -                    -                    -                    -
        Gypsy Moth Program                                                                                                                                         N/A          -
                                                                       -             1,000                1,000                     -               1,000
        Consolidation Feasibility Study                                                                                                                            0%         0%
                                                                       -         1,000,000                     -                    -                    -
        MERS Supplemental Contribution                                                                                                                             N/A          -
                                                                  1,000              1,000                1,000                     -               1,000
        MLK Diversity Program                                                                                                                                      0%         0%
                                                                  1,000              1,000                1,000                     -               1,000
        Muskegon Area Labor Management (MALMC)                                                                                                                     0%         0%
                                                                       -             6,200                     -                    -                    -
        Muskegon County and Humane Society - Feral Cats                                                                                                            N/A          -
                                                                      -                   -                    -                    -                    -
        Other                                                                                                                                                      N/A          -
       Contributions To Outside Agencies                  $      98,026 $        1,167,296    $         161,824 $             62,864 $            161,824         39%         0%
                                                          $      98,026 $        1,167,296    $         161,824 $             62,864 $            161,824         39%         0%
                                                                            Page 10 of 40
       Annual Budget & Quarterly Budget Reforecast - General Fund
       General Fund Expenditure Summary By Function

                                                                                                                                              Actual As % Change
                                               Actual FY2010                      Original Budget       Actual to Date       2Q Reforecast      % of      From
                                                (Stub Year)     Actual FY2011    Estimate FY2012           FY2012              FY2012         Revised    Original



       Total Customer Value Added Activities   $   8,928,278    $   18,844,514   $     18,046,504   $        9,088,383   $       18,087,526        50%        0%
       As a Percent of Total General Fund
       Expenditures                                    76.0%             73.7%              76.6%                77.4%                76.2%

       II. Business Value Added Activities

10101 City Commission
5100     Salaries & Benefits                   $      33,837    $      64,864    $         67,652   $           35,800   $           67,652        53%        0%
5200     Operating Supplies                            8,205           15,142              12,300                6,828               12,300        56%        0%
5300     Contractual Services                          1,407            1,594               1,800                1,956                2,000        98%       11%
5400     Other Expenses                                  675            1,347               2,000                  183                2,000         9%        0%
5700     Capital Outlays                                 600            1,199               1,200                2,950                5,000        59%      317%
5900     Other Financing Uses                              -                -                   -                    -                    -         N/A         -
                                               $      44,724    $      84,146    $         84,952   $           47,717   $           88,952        54%        5%
10102 City Promotions & Public Relations
5100     Salaries & Benefits                   $           -    $            -   $              -   $                -   $                -         N/A         -
5200     Operating Supplies                              163               411                  -                  460                  500        92%          -
5300     Contractual Services                          2,881             3,780             11,350                3,113               11,350        27%        0%
5400     Other Expenses                                    -                 -                  -                    -                    -         N/A         -
5700     Capital Outlays                                   -                 -                  -                    -                    -         N/A         -
5900     Other Financing Uses                              -                 -                  -                    -                    -         N/A         -
                                               $       3,044    $        4,191   $         11,350   $            3,573   $           11,850        30%        4%
10172 City Manager
5100     Salaries & Benefits                   $    136,667     $     253,954    $        257,366   $          130,415   $          257,366        51%        0%
5200     Operating Supplies                           1,086             1,338               2,000                  180                2,000         9%        0%
5300     Contractual Services                         4,873             8,174               7,750                2,712                7,750        35%        0%
5400     Other Expenses                                 252               944               2,000                1,004                2,000        50%        0%
5700     Capital Outlays                                  -                 -               1,000                   45                1,000         5%        0%
5900     Other Financing Uses                             -                 -                   -                    -                    -         N/A         -
                                               $    142,878     $     264,410    $        270,116   $          134,356   $          270,116        50%        0%
10145 City Attorney
5100     Salaries & Benefits                   $          -     $           -    $              -   $                -   $                -         N/A         -
5200     Operating Supplies                             808               808               2,000                    -                2,000         0%        0%
5300     Contractual Services                       159,223           331,067             320,508              138,683              320,508        43%        0%
5400     Other Expenses                                   -                 -                   -                    -                    -         N/A         -
5700     Capital Outlays                                  -                 -                   -                    -                    -         N/A         -

                                                               Page 11 of 40
       Annual Budget & Quarterly Budget Reforecast - General Fund
       General Fund Expenditure Summary By Function

                                                                                                                                                Actual As % Change
                                               Actual FY2010                        Original Budget       Actual to Date       2Q Reforecast      % of      From
                                                 (Stub Year)      Actual FY2011    Estimate FY2012           FY2012              FY2012         Revised    Original
5900     Other Financing Uses                                -                 -                  -                    -                    -          N/A          -
                                               $      160,031     $      331,875   $        322,508   $          138,683   $          322,508        43%         0%
                                               $      350,677     $      684,622   $        688,926   $          324,329   $          693,426        47%         1%

20228 Affirmative Action
5100     Salaries & Benefits                   $       39,129     $      78,270    $         80,535   $           42,837   $           80,535        53%         0%
5200     Operating Supplies                               169               324                 750                   88                  750        12%         0%
5300     Contractual Services                             660             1,587               2,027                  669                2,027        33%         0%
5400     Other Expenses                                     -                50               1,000                   84                1,000         8%         0%
5700     Capital Outlays                                    -                 -                 500                    -                  500         0%         0%
5900     Other Financing Uses                               -                 -                   -                    -                    -         N/A          -
                                               $       39,958     $      80,231    $         84,812   $           43,678   $           84,812        51%         0%
20215 City Clerk & Elections
5100     Salaries & Benefits                   $     103,016      $     244,239    $        237,997   $          122,564   $          237,997        51%         0%
5200     Operating Supplies                            8,815             18,702              34,934                6,942               34,934        20%         0%
5300     Contractual Services                          9,938             16,625              14,750                3,339               14,750        23%         0%
5400     Other Expenses                                1,113                473               1,500                  688                1,500        46%         0%
5700     Capital Outlays                                 866              6,011               1,000                    -                1,000         0%         0%
5900     Other Financing Uses                              -                  -                   -                    -                    -         N/A          -
                                               $     123,748      $     286,050    $        290,181   $          133,533   $          290,181        46%         0%
20220 Civil Service
5100     Salaries & Benefits                   $      85,667      $     107,949    $              -   $            5,961   $            5,961       100%           -
5200     Operating Supplies                            1,099              1,626                   -                1,015                1,015       100%           -
5300     Contractual Services                          3,425             12,707              90,000               23,425               90,000        26%         0%
5400     Other Expenses                                  697              3,768                   -                2,418                2,500        97%           -
5700     Capital Outlays                                 572                  -                   -                    -                    -         N/A          -
5900     Other Financing Uses                              -                  -                   -                    -                    -         N/A          -
                                               $      91,460      $     126,050    $         90,000   $           32,819   $           99,476        33%        11%
                                               $     255,166      $     492,331    $        464,993   $          210,030   $          474,469        44%         2%

30202 Finance Administration
5100     Salaries & Benefits                   $     172,829      $     333,061    $        342,702   $          189,773   $          291,773        65%        -15%
5200     Operating Supplies                            1,392              3,571               4,700                1,477                4,700        31%          0%
5300     Contractual Services                         59,515             73,010              66,275               50,741              113,275        45%         71%
5400     Other Expenses                                   65              1,193               1,000                1,267                1,500        84%         50%
5700     Capital Outlays                                  51              1,716               3,000                2,769                3,000        92%          0%
5900     Other Financing Uses                              -                  -                   -                    -                    -         N/A           -
                                               $     233,852      $     412,551    $        417,677   $          246,027   $          414,248        59%         -1%
30209 Assessing Services
                                                                 Page 12 of 40
       Annual Budget & Quarterly Budget Reforecast - General Fund
       General Fund Expenditure Summary By Function

                                                                                                                                                  Actual As % Change
                                               Actual FY2010                         Original Budget       Actual to Date       2Q Reforecast       % of      From
                                                 (Stub Year)      Actual FY2011     Estimate FY2012           FY2012              FY2012          Revised    Original
5100     Salaries & Benefits                   $        2,423     $        3,367   $             7,308   $             929    $          7,308         13%         0%
5200     Operating Supplies                                  -                 -                     -                    -                   -          N/A          -
5300     Contractual Services                         237,713            416,781               344,367             226,773             394,367         58%        15%
5400     Other Expenses                                      -                 -                     -                    -                   -          N/A          -
5700     Capital Outlays                                     -                 -                     -                    -                   -          N/A          -
5900     Other Financing Uses                                -                 -                     -                    -                   -          N/A          -
                                               $      240,136     $      420,148   $           351,675   $         227,702    $        401,675         57%        14%
30805 Arena Administration
5100     Salaries & Benefits                   $           -      $           -    $               -     $              -     $              -          N/A          -
5200     Operating Supplies                                -                  -                    -                    -                    -          N/A          -
5300     Contractual Services                        101,867            241,263              235,000              195,833              235,000         83%         0%
5400     Other Expenses                                    -                  -                    -                    -                    -          N/A          -
5700     Capital Outlays                                   -              1,661                    -                    -                    -          N/A          -
5900     Other Financing Uses                              -                  -                    -                    -                    -          N/A          -
                                               $     101,867      $     242,924    $         235,000     $        195,833     $        235,000         83%         0%
30205 Income Tax Administration
5100    Salaries & Benefits                    $     167,338      $     321,985    $         331,478     $        175,902     $        331,478         53%         0%
5200    Operating Supplies                             9,250             12,486               12,160                3,193               12,160         26%         0%
5300    Contractual Services                          41,158             65,773               77,550               30,456               77,550         39%         0%
5400    Other Expenses                                    75                488                  800                  514                  800         64%         0%
5700    Capital Outlays                                    -              7,175                2,500                   57                2,500          2%         0%
5900    Other Financing Uses                               -                  -                    -                    -                    -          N/A          -
                                               $     217,821      $     407,907    $         424,488     $        210,122     $        424,488         50%         0%
30253 City Treasurer
5100    Salaries & Benefits                    $     160,099      $     312,621    $         323,707     $        167,209     $        323,707         52%         0%
5200    Operating Supplies                            32,047             65,024               50,000               26,275               50,000         53%         0%
5300    Contractual Services                          58,329            108,627               85,000               44,551               85,000         52%         0%
5400    Other Expenses                                   462                715                1,500                   48                1,500          3%         0%
5700    Capital Outlays                                    -              5,198                2,921                  296                2,921         10%         0%
5900    Other Financing Uses                               -                  -                    -                    -                    -          N/A          -
                                               $     250,937      $     492,185    $         463,128     $        238,379     $        463,128         51%         0%
30248 Information Systems Administration
5100    Salaries & Benefits                    $      148,629     $     286,590    $          294,686    $        148,793     $        294,686         50%         0%
5200    Operating Supplies                                  -               143                 1,788                 174                1,788         10%         0%
5300    Contractual Services                           35,595            46,281                54,992               4,216               54,992          8%         0%
5400    Other Expenses                                    149             5,356                 8,000                   -                8,000          0%         0%
5700    Capital Outlays                                12,443            38,626                32,250              13,234               32,250         41%         0%
5900    Other Financing Uses                                -                 -                     -                   -                    -          N/A          -
                                               $      196,816     $     376,996    $          391,716    $        166,417     $        391,716         42%         0%
                                               $    1,241,429     $   2,352,711    $        2,283,684    $      1,284,480     $      2,330,255         55%         2%
                                                                 Page 13 of 40
       Annual Budget & Quarterly Budget Reforecast - General Fund
       General Fund Expenditure Summary By Function

                                                                                                                                             Actual As % Change
                                               Actual FY2010                     Original Budget       Actual to Date       2Q Reforecast      % of      From
                                                (Stub Year)     Actual FY2011   Estimate FY2012           FY2012              FY2012         Revised    Original

60265 City Hall Maintenance
5100     Salaries & Benefits                   $     37,746     $      39,749   $         35,777   $           18,420   $           35,777        51%        0%
5200     Operating Supplies                           5,110             9,285             15,525                4,301               15,525        28%        0%
5300     Contractual Services                        93,479           186,687            222,000               76,571              222,000        34%        0%
5400     Other Expenses                                   -                13                  -                  191                  300        64%          -
5700     Capital Outlays                                100             7,848              3,590                3,915                4,500        87%       25%
5900     Other Financing Uses                             -                 -                  -                    -                    -         N/A         -
                                               $    136,435     $     243,582   $        276,892   $          103,398   $          278,102        37%        0%
                                               $    136,435     $     243,582   $        276,892   $          103,398   $          278,102        37%        0%

80400 Planning, Zoning and Economic Development
5100     Salaries & Benefits                   $    183,633     $     334,910 $          268,361   $          138,827   $          268,361        52%        0%
5200     Operating Supplies                           1,525             3,766              4,600                1,272                4,600        28%        0%
5300     Contractual Services                        17,389            (6,463)            20,300                7,263               20,300        36%        0%
5400     Other Expenses                                 867               958              4,000                  662                4,000        17%        0%
5700     Capital Outlays                                  -               439              2,000                    -                2,000         0%        0%
5900     Other Financing Uses                             -                 -                  -                    -                    -         N/A         -
                                               $    203,414     $     333,610 $          299,261   $          148,024   $          299,261        49%        0%
                                               $    203,414     $     333,610 $          299,261   $          148,024   $          299,261        49%        0%

       Total Business Value Added Activities   $   2,187,121    $   4,106,856   $      4,013,756   $        2,070,261   $        4,075,513        51%        2%
       As a Percent of Total General Fund
       Expenditures                                    18.6%            16.1%              17.0%                17.6%                17.2%                  0.7%

       III. Fixed Budget Items

30999 Transfers To Other Funds
         Major Street Fund                     $          -     $           -   $              -   $                -   $                -        N/A          -
         Local Street Fund                          140,000           280,000            280,000              190,000              280,000       68%         0%
         Engineering                                      -                 -                  -               75,000               75,000      100%           -
         Sidewalk                                         -           100,000                  -                    -                    -        N/A          -
         Arena Maintenance                                -             6,000                  -                    -                    -        N/A          -
         State Grants                                     -            34,675                  -                    -                    -        N/A          -
         LDFA Debt Service Fund (Smartzone)          50,000           100,000            100,000                    -              100,000        0%         0%
         General Insurance                           14,023            28,046             28,046               14,023               28,046       50%         0%
                                               $    204,023     $     548,721   $        408,046   $          279,023   $          483,046       58%        18%
                                                                                                                                                               -

                                                               Page 14 of 40
        Annual Budget & Quarterly Budget Reforecast - General Fund
        General Fund Expenditure Summary By Function

                                                                                                                                                    Actual As % Change
                                                Actual FY2010                       Original Budget       Actual to Date           2Q Reforecast      % of      From
                                                 (Stub Year)      Actual FY2011    Estimate FY2012           FY2012                  FY2012         Revised    Original
30851   General Insurance                       $     133,527     $     259,907    $        275,000   $                    -   $          275,000         0%        0%
30906   Debt Retirement                               109,174          1,252,795            281,145              176,478                  281,145        63%        0%
10891   Contingency and Bad Debt Expense               68,471           515,238             250,000                        -              250,000         0%        0%
90000   Major Capital Improvements                    112,379            28,727             273,000              121,613                  297,763        41%        9%
        Total Fixed-Budget Items                $     627,574     $    2,605,388   $      1,487,191   $          577,114       $        1,586,954        36%        7%
        As a Percent of Total General Fund
        Expenditures                                      5.3%             10.2%               6.3%                  4.9%                    6.7%



         Total General Fund                     $   11,742,973    $   25,556,758   $     23,547,451   $       11,735,758       $       23,749,993        49%        1%




        Recap: Total General Fund By Expenditure Object
5100      Salaries & Benefits                   $    7,520,403    $   14,822,805   $     14,700,218   $        7,750,485       $       14,669,472        53%        0%
5200      Operating Supplies                           179,309           372,208            469,457              165,851                  472,572        35%        1%
5300      Contractual Services                       3,428,904         8,074,794          7,005,224            3,067,281                7,127,424        43%        2%
5400      Other Expenses                                13,679            38,825             52,900               23,315                   56,300        41%        6%
5700      Capital Outlays                              187,481           246,610            430,461              173,325                  460,034        38%        7%
5900      All Other Financing Uses                     413,197         2,001,516            889,191              555,501                  964,191        58%        8%
         Total General Fund                     $   11,742,973    $   25,556,758   $     23,547,451   $       11,735,758       $       23,749,993        49%        1%




                                                                 Page 15 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                    Actual 2010                             Original Budget   Actual to Date       Actual As % of   Revised Budget
                                              Actual 2009                                 Actual 2011                                                                                             Comments
                                                                    (Stub Year)                                 FY2012           FY2012               Revised       Estimate FY2012

202     Major Streets and State Trunklines Fund
                                          $       284,912       $       272,846       $       359,157
        Available Fund Balance - BOY                                                                        $     481,059     $    566,001                          $      566,001


        Means of Financing
         Special assessments              $       233,007       $        10,818       $       172,302       $     175,000     $                -                    $      175,000
         Federal & state grants                 1,593,425                 9,443             1,457,137           2,131,000                      -                         1,936,000
         State shared revenue                   2,558,600             1,280,364             2,704,187           2,481,364         1,086,667                              2,481,364
         Interest income                           50,177                44,302                36,626              25,000             3,249                                 25,000
         Operating transfers in                   200,000                         -                     -                 -                    -                                  -
         Other                                     45,384                 8,353               415,620                                                                                 PROPOSED BOND FOR GRANT MATCHE
                                                                                                                2,040,000         2,001,526                              2,020,000
                                          $     4,680,593       $     1,353,280       $     4,785,872       $   6,852,364     $   3,091,442                         $    6,637,364


60900   Operating Expenditures
5100      Salaries & Benefits             $       629,511       $       278,560       $       622,597                                                  35%
                                                                                                            $     839,936     $    296,262                          $      839,936
5200      Operating Supplies                      225,883               196,491               231,295                                                  20%
                                                                                                                  240,600           48,156                                 240,600
5300      Contractual Services                    946,059               533,999               957,051                                                  36%
                                                                                                                1,039,946          379,368                               1,039,946
5400      Other Expenses                            3,354                   995                37,904                                                  54%
                                                                                                                    1,000               540                                  1,000
5700      Capital Outlays                                   -                     -                     -                                              N/A
                                                                                                                          -                    -                                  -


5900      Other Financing Uses                              -           100,000               400,000                                                   0%
                                                                                                                   40,000                      -                            25,000


                                          $     1,804,807       $     1,110,045       $     2,248,847                                                  34%
                                                                                                            $   2,161,482     $    724,326                          $    2,146,482


90000   Project Expenditures
5200      Operating Supplies              $                 -   $                 -   $                 -                                              N/A
                                                                                                            $             -   $                -                    $             -
                                                                                                                                                                                      SEE "BUDGETED CAPITAL
5300      Contractual Services                  2,887,852               156,924             2,330,181                                                  36%
                                                                                                                3,915,000         1,106,311                              3,057,000
                                                                                                                                                                                      IMPROVEMENTS" FOR DETAIL
5700      Capital Outlays                                   -                     -                     -                                              N/A
                                                                                                                          -                    -                                  -
                                          $     2,887,852       $       156,924       $     2,330,181                                                  36%
                                                                                                            $   3,915,000     $   1,106,311                         $    3,057,000
                                          $     4,692,659       $     1,266,969       $     4,579,028                                                  35%
                                                                                                            $   6,076,482     $   1,830,637                         $    5,203,482


                                          $       272,846       $       359,157       $       566,001
        Available Fund Balance - EOY                                                                        $   1,256,941     $   1,826,806                         $    1,999,883




                                                                                                Page 16 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                    Actual 2010                             Original Budget   Actual to Date       Actual As % of   Revised Budget
                                              Actual 2009                                 Actual 2011                                                                                             Comments
                                                                    (Stub Year)                                 FY2012           FY2012               Revised       Estimate FY2012



203     Local Streets Fund
                                          $       396,406       $       134,437       $       180,480
        Available Fund Balance - BOY                                                                        $     387,904     $    663,340                          $      663,340


        Means of Financing
         Special assessments              $        92,657       $        31,887       $       138,025       $      75,000     $                -                    $       75,000
         Federal & state grants                   215,000                         -                     -                 -                    -                            20,000
         Metro act fees                           145,169               148,668               136,731             145,000                      -                           145,000
         State shared revenue                     619,263               312,201               624,694             585,998          264,321                                 585,998
         Interest income                           20,955                22,171                29,411              20,000             1,850                                 20,000

         Operating transfers in                   512,624               340,000               880,000                                                                      480,000 FROM GENERAL FUND
                                                                                                                  480,000          240,000

         Other                                      2,667                41,285               197,011              15,000               277                                 15,000
                                          $     1,608,335       $       896,212       $     2,005,872       $   1,320,998     $    506,448                          $    1,340,998


60900   Operating Expenditures
5100      Salaries & Benefits             $       661,735       $       321,827       $       516,349                                                  44%
                                                                                                            $     478,203     $    211,995                          $      478,203
5200      Operating Supplies                      135,883                41,694               115,192                                                  23%
                                                                                                                  118,000           27,471                                 118,000
5300      Contractual Services                    773,321               437,800               704,173                                                  31%
                                                                                                                  879,687          274,816                                 879,687
5400      Other Expenses                              242                 2,198                 2,669                                                  76%
                                                                                                                      100             1,510                                  2,000
5700      Capital Outlays                                   -                     -                     -                                              N/A
                                                                                                                          -                    -                                  -
5900      Other Financing Uses                              -                     -                     -                                              N/A
                                                                                                                          -                    -                                  -
                                          $     1,571,181       $       803,519       $     1,338,383                                                  35%
                                                                                                            $   1,475,990     $    515,792                          $    1,477,890


90000   Project Expenditures
5200      Operating Supplies              $                 -   $                 -   $                 -                                              N/A
                                                                                                            $             -   $                -                    $             -

                                                                                                                                                                                      SEE "BUDGETED CAPITAL
5300      Contractual Services                    299,123                46,650               184,629                                                 105%
                                                                                                                   55,000           81,180                                  77,300
                                                                                                                                                                                      IMPROVEMENTS" FOR DETAIL

                                          $       299,123       $        46,650       $       184,629                                                 105%
                                                                                                            $      55,000     $     81,180                          $       77,300
                                          $     1,870,304       $       850,169       $     1,523,012                                                  38%
                                                                                                            $   1,530,990     $    596,972                          $    1,555,190


                                          $       134,437       $       180,480       $       663,340
        Available Fund Balance - EOY                                                                        $     177,912     $    572,816                          $      449,148




                                                                                                Page 17 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                             Actual 2010                             Original Budget   Actual to Date       Actual As % of   Revised Budget
                                                       Actual 2009                                 Actual 2011                                                                                 Comments
                                                                             (Stub Year)                                 FY2012           FY2012               Revised       Estimate FY2012




257     Budget Stabilization Fund
                                                   $     2,000,000       $     1,500,000       $     1,500,000
        Available Fund Balance - BOY                                                                                 $   1,500,000     $   1,500,000                         $    1,500,000


        Means of Financing
         Special assessments                       $                 -   $                 -   $                 -   $             -   $                -                    $             -
         Federal & state grants                                      -                     -                     -                 -                    -                                  -
         State shared revenue                                        -                     -                     -                 -                    -                                  -
         Charges for services                                        -                     -                     -                 -                    -                                  -
         Interest income                                             -                     -                     -                 -                    -                                  -
         Operating transfers in - General Fund                       -                     -                     -                 -                    -                                  -
         Operating transfers in - TIFA Fund                          -                     -                     -                 -                    -                                  -
         Operating transfers in - Insurance Fund                     -                     -                     -                 -                    -                                  -

         Other                                                       -                     -                     -                 -                    -                                  -

                                                   $                 -   $                 -   $                 -   $             -   $                -                    $             -


70805   Operating Expenditures
5100      Salaries & Benefits                      $                 -   $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -
5200      Operating Supplies                                         -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
5300      Contractual Services                                       -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
5400      Other Expenses                                             -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
5700      Capital Outlays                                            -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -

5900      Other Financing Uses                             500,000                         -                     -                                              N/A
                                                                                                                                   -                    -                                  -

                                                   $       500,000       $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -


90000   Project Expenditures
5200      Operating Supplies                       $                 -   $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -
5300      Contractual Services                                       -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
                                                   $                 -   $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -
                                                   $       500,000       $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -


                                                   $     1,500,000       $     1,500,000       $     1,500,000
        Available Fund Balance - EOY                                                                                 $   1,500,000     $   1,500,000                         $    1,500,000




                                                                                                         Page 18 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                             Actual 2010                             Original Budget   Actual to Date       Actual As % of   Revised Budget
                                                       Actual 2009                                 Actual 2011                                                                                 Comments
                                                                             (Stub Year)                                 FY2012           FY2012               Revised       Estimate FY2012



264     Criminal Forfeitures Fund
                                                   $        81,856       $       140,640       $       134,116
        Available Fund Balance - BOY                                                                                 $     104,716     $    140,828                          $      140,828


        Means of Financing
         Special assessments                       $                 -   $                 -   $                 -   $             -   $                -                    $             -
         Federal & state grants                                      -                     -                     -                 -                    -                                  -
         State shared revenue                                        -                     -                     -                 -                    -                                  -
         Charges for services                                        -                     -                     -                 -                    -                                  -
         Interest income                                       881                   615                   688                 500               409                                    500
         Operating transfers in - General Fund                       -                     -                     -                 -                    -                                  -
         Operating transfers in - TIFA Fund                          -                     -                     -                 -                    -                                  -
         Operating transfers in - Insurance Fund                     -                     -                     -                 -                    -                                  -
         Other                                              62,406                   500                14,380              10,000           10,824                                  12,000
                                                   $        63,287       $         1,115       $        15,068       $      10,500     $     11,233                          $       12,500


70805   Operating Expenditures
5100      Salaries & Benefits                      $                 -   $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -
5200      Operating Supplies                                         -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
5300      Contractual Services                                       -                     -                     -                                               7%
                                                                                                                            45,000             3,000                                 45,000
5400      Other Expenses                                             -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
5700      Capital Outlays                                    4,503                 7,639                 8,356                                                  N/A
                                                                                                                                   -                    -                                  -
5900      Other Financing Uses                                       -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
                                                   $         4,503       $         7,639       $         8,356                                                   7%
                                                                                                                     $      45,000     $       3,000                         $       45,000


90000   Project Expenditures
5200      Operating Supplies                       $                 -   $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -
5300      Contractual Services                                       -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
                                                   $                 -   $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -
                                                   $         4,503       $         7,639       $         8,356                                                   7%
                                                                                                                     $      45,000     $       3,000                         $       45,000


                                                   $       140,640       $       134,116       $       140,828
        Available Fund Balance - EOY                                                                                 $      70,216     $    149,061                          $      108,328




                                                                                                         Page 19 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                             Actual 2010                             Original Budget   Actual to Date       Actual As % of   Revised Budget
                                                       Actual 2009                                 Actual 2011                                                                                 Comments
                                                                             (Stub Year)                                 FY2012           FY2012               Revised       Estimate FY2012



285     Tree Replacement Fund
                                                   $        10,043       $         8,590       $         5,436
        Available Fund Balance - BOY                                                                                 $       3,486     $       5,119                         $        5,119


        Means of Financing
         Special assessments                       $                 -   $                 -   $                 -   $             -   $                -                    $             -
         Federal & state grants                                      -                     -                     -           2,000                      -                             2,000
         State shared revenue                                        -                     -                     -                 -                    -                                  -
         Charges for services                                        -                     -                     -                 -                    -                                  -
         Interest income                                         73                    46                    24                  50               13                                     50
         Operating transfers in - General Fund                       -                     -                     -                 -                    -                                  -
         Operating transfers in - TIFA Fund                          -                     -                     -                 -                    -                                  -
         Operating transfers in - Insurance Fund                     -                     -                     -                 -                    -                                  -
         Other                                               1,600                         -                     -                 -                    -                                  -
                                                   $         1,673       $             46      $             24      $       2,050     $          13                         $        2,050


70805   Operating Expenditures
5100      Salaries & Benefits                      $                 -   $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -
5200      Operating Supplies                                 3,126                 3,200                   341                                                  84%
                                                                                                                             2,000             2,111                                  2,500
5300      Contractual Services                                       -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
5400      Other Expenses                                             -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
5700      Capital Outlays                                            -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
5900      Other Financing Uses                                       -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
                                                   $         3,126       $         3,200       $           341                                                  84%
                                                                                                                     $       2,000     $       2,111                         $        2,500


90000   Project Expenditures
5200      Operating Supplies                       $                 -   $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -
5300      Contractual Services                                       -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
                                                   $                 -   $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -
                                                   $         3,126       $         3,200       $           341                                                  84%
                                                                                                                     $       2,000     $       2,111                         $        2,500


                                                   $         8,590       $         5,436       $         5,119
        Available Fund Balance - EOY                                                                                 $       3,536     $       3,021                         $        4,669




                                                                                                         Page 20 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                             Actual 2010                             Original Budget   Actual to Date       Actual As % of   Revised Budget
                                                       Actual 2009                                 Actual 2011                                                                                         Comments
                                                                             (Stub Year)                                 FY2012           FY2012               Revised       Estimate FY2012



295     Brownfield Redevelopment Authority (Betten Project)
                                                   $       (17,862) $            (10,214) $             (9,217) $
        Available Fund Balance - BOY                                                                                           316     $     65,349                          $       65,349


        Means of Financing
         Property taxes                            $         9,951       $        15,917       $        74,483       $     142,409     $                -                    $      142,409
         Federal & state grants                                      -                     -                     -                 -                    -                                  -
         State shared revenue                                        -                     -                     -                 -                    -                                  -
         Charges for services                                        -                     -                     -                 -                    -                                  -
         Interest income                                             -                     -                 83                    -             105                                    250
         Operating transfers in - General Fund                       -                     -                     -                 -                    -                                  -
         Operating transfers in - TIFA Fund                          -                     -                     -                 -                    -                                  -
         Operating transfers in - Insurance Fund                     -                     -                     -                 -                    -                                  -
         Other                                                       -                     -                     -                 -                    -                                  -
                                                   $         9,951       $        15,917       $        74,566       $     142,409     $         105                         $      142,659


70805   Operating Expenditures
5100      Salaries & Benefits                      $                 -   $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -
5200      Operating Supplies                                         -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
5300      Contractual Services                               2,303                14,920                         -                                              24%
                                                                                                                          100,000            29,605                                 125,000
5400      Other Expenses                                             -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
5700      Capital Outlays                                            -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
5900      Other Financing Uses                                       -                     -                     -                                               0%                  66,601 BROWNFIELD LOAN PAYMENT/ADMIN FE
                                                                                                                            33,424                      -
                                                   $         2,303       $        14,920       $                 -                                              15%
                                                                                                                     $     133,424     $     29,605                          $      191,601


90000   Project Expenditures
5200      Operating Supplies                       $                 -   $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -
5300      Contractual Services                                       -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
                                                   $                 -   $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -
                                                   $         2,303       $        14,920       $                 -                                              15%
                                                                                                                     $     133,424     $     29,605                          $      191,601


                                                   $       (10,214) $             (9,217) $             65,349
        Available Fund Balance - EOY                                                                                 $       9,301     $     35,849                          $       16,407




                                                                                                         Page 21 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                           Actual 2010                             Original Budget   Actual to Date       Actual As % of   Revised Budget
                                                     Actual 2009                                 Actual 2011                                                                                            Comments
                                                                           (Stub Year)                                 FY2012           FY2012               Revised       Estimate FY2012



290     Local Development Finance Authority III Fund - Edison Landing (Smartzone)
                                                 $         8,752       $        13,765       $        36,834
        Available Fund Balance - BOY                                                                               $      20,994     $     21,348                          $       21,348


        Means of Financing
         Property taxes                          $        91,281       $        71,360       $        84,658       $      83,405     $                -                    $       83,405
         Federal & state grants                                    -                     -           100,000                     -                    -                                  -
         State shared revenue                                      -                     -                     -                 -                    -                                  -
         Charges for services                                      -                     -                     -                 -                    -                                  -
         Interest income                                     180                   133                   153                 150                47                                    150
         Operating transfers in - General Fund           120,000                50,000                75,000             100,000           50,000                                 100,000
                                                                                                                                                                                             COMMUNITY FOUNDATION
         Other                                            75,000                         -                     -          75,000           75,000                                  75,000
                                                                                                                                                                                             CONTRIBUTION
                                                 $       286,461       $       121,493       $       259,811       $     258,555     $    125,047                          $      258,555


70805   Operating Expenditures
5100      Salaries & Benefits                    $                 -   $                 -   $                 -                                              N/A
                                                                                                                   $             -   $                -                    $             -
5200      Operating Supplies                                       -                     -                     -                                              N/A
                                                                                                                                 -                    -                                  -
5300      Contractual Services                             1,700                         -                     -                                               0%
                                                                                                                             500                      -                               500
5400      Other Expenses                                           -                     -                     -                                              N/A
                                                                                                                                 -                    -                                  -
5700      Capital Outlays                                          -                     -                     -                                              N/A
                                                                                                                                 -                    -                                  -
5900      Other Financing Uses                           279,748                98,424               275,297                                                  57%                 272,197 DEBT SERVICE SZ BONDS
                                                                                                                         272,197          154,423
                                                 $       281,448       $        98,424       $       275,297                                                  57%
                                                                                                                   $     272,697     $    154,423                          $      272,697


90000   Project Expenditures
5200      Operating Supplies                     $                 -   $                 -   $                 -                                              N/A
                                                                                                                   $             -   $                -                    $             -
5300      Contractual Services                                     -                     -                     -                                              N/A
                                                                                                                                 -                    -                                  -
                                                 $                 -   $                 -   $                 -                                              N/A
                                                                                                                   $             -   $                -                    $             -
                                                 $       281,448       $        98,424       $       275,297                                                  57%
                                                                                                                   $     272,697     $    154,423                          $      272,697


                                                 $        13,765       $        36,834       $        21,348
        Available Fund Balance - EOY                                                                               $       6,852     $      (8,028)                        $        7,206




                                                                                                       Page 22 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                             Actual 2010                             Original Budget   Actual to Date       Actual As % of   Revised Budget
                                                       Actual 2009                                 Actual 2011                                                                                         Comments
                                                                             (Stub Year)                                 FY2012           FY2012               Revised       Estimate FY2012



305     Tax Increment Finance Authority Fund
                                                   $        13,983       $        21,789       $        37,533
        Available Fund Balance - BOY                                                                                 $      16,502     $     16,445                          $       16,445

        Means of Financing
         Property taxes                            $        67,664       $        40,634       $        53,769       $      53,042     $                -                    $       53,042
         Federal & state grants                                      -                     -                     -                 -                    -                                  -
         State shared revenue                                        -                     -                     -                 -                    -                                  -
         Charges for services                                        -                     -                     -                 -                    -                                  -
         Interest income                                       142                   110                   143                 200                43                                    200
         Operating transfers in - General Fund                       -                     -                     -                 -                    -                                  -
         Operating transfers in - TIFA Fund                          -                     -                     -                 -                    -                                  -
         Operating transfers in - Insurance Fund                     -                     -                     -                 -                    -                                  -
         Other                                                       -                     -                     -                 -                    -                                  -
                                                   $        67,806       $        40,744       $        53,912       $      53,242     $          43                         $       53,242


70805   Operating Expenditures
5100      Salaries & Benefits                      $                 -   $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -
5200      Operating Supplies                                         -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
5300      Contractual Services                                       -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
5400      Other Expenses                                             -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
5700      Capital Outlays                                            -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -

5900      Other Financing Uses                              60,000                25,000                75,000                                                  50%                  50,000 TO GENERAL FUND FOR ARENA
                                                                                                                            50,000           25,000

                                                   $        60,000       $        25,000       $        75,000                                                  50%
                                                                                                                     $      50,000     $     25,000                          $       50,000


90000   Project Expenditures
5200      Operating Supplies                       $                 -   $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -
5300      Contractual Services                                       -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
                                                   $                 -   $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -
                                                   $        60,000       $        25,000       $        75,000                                                  50%
                                                                                                                     $      50,000     $     25,000                          $       50,000


                                                   $        21,789       $        37,533       $        16,445
        Available Fund Balance - EOY                                                                                 $      19,744     $      (8,512)                        $       19,687




                                                                                                         Page 23 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                             Actual 2010                             Original Budget   Actual to Date       Actual As % of   Revised Budget
                                                       Actual 2009                                 Actual 2011                                                                                          Comments
                                                                             (Stub Year)                                 FY2012           FY2012               Revised       Estimate FY2012

394     Downtown Development Authority Fund
                                                   $        14,618       $       289,526       $       329,585
        Available Fund Balance - BOY                                                                                 $     261,431     $    272,145                          $      272,145


        Means of Financing
         Property taxes                            $       614,632       $       327,373       $       281,424       $     303,155     $                -                    $      303,155
         Federal & state grants                                      -                     -                     -                 -                    -                                  -
         State proposal A reimbursement revenue                      -                     -                     -                 -                    -                                  -
         Charges for services                                        -                     -                     -                 -                    -                                  -
         Interest income                                       999                 1,212                 1,716                 500               815                                  1,150
         Operating transfers in - General Fund                       -                     -                     -                 -                    -                                  -
         Operating transfers in - PIF                                -                     -                     -                 -                    -                                  -
         Operating transfers in - Insurance Fund                     -                     -                     -                 -                    -                                  -
         Other                                                       -                     -                     -                 -                    -                                  -
                                                   $       615,631       $       328,585       $       283,140       $     303,655     $         815                         $      304,305


70805   Operating Expenditures
5100      Salaries & Benefits                      $                 -   $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -
5200      Operating Supplies                                         -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
5300      Contractual Services                                       -               600                         -                                               0%
                                                                                                                               250                      -                               250
5400      Other Expenses                                             -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
5700      Capital Outlays                                            -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -

5900      Other Financing Uses                             340,723               287,926               340,580                                                  10%                 329,462 DEBT SERVICE DDA BONDS
                                                                                                                          329,462            33,373

                                                   $       340,723       $       288,526       $       340,580                                                  10%
                                                                                                                     $    329,712      $     33,373                          $      329,712


90000   Project Expenditures
5200      Operating Supplies                       $                 -   $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -
5300      Contractual Services                                       -                     -                     -                                              N/A
                                                                                                                                   -                    -                                  -
                                                   $                 -   $                 -   $                 -                                              N/A
                                                                                                                     $             -   $                -                    $             -
                                                   $       340,723       $       288,526       $       340,580                                                  10%
                                                                                                                     $    329,712      $     33,373                          $      329,712


                                                   $       289,526       $       329,585       $       272,145
        Available Fund Balance - EOY                                                                                 $     235,374     $    239,587                          $      246,738




                                                                                                         Page 24 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                    Actual 2010                             Original Budget   Actual to Date       Actual As % of   Revised Budget
                                              Actual 2009                                 Actual 2011                                                                                            Comments
                                                                    (Stub Year)                                 FY2012           FY2012               Revised       Estimate FY2012



408     Arena Improvement Fund
                                          $       103,279       $        71,024       $        72,251
        Available Fund Balance - BOY                                                                        $       7,051     $         779                         $          779


        Means of Financing
         Special assessments              $                 -   $                 -   $                 -   $             -   $                -                    $             -
         Federal & state grants                             -                     -                     -                 -                    -                                  -
         State shared revenue                               -                     -                     -                 -                    -                                  -
         Charges for services                      37,686                22,779                18,637              25,000             7,981                                 25,000
         Interest income                              734                   446                   217                 200                64                                    200
         Operating transfers in                             -                     -                     -                 -                    -                                  -
         Other                                              -                     -           135,500                                                                                 REIMBURSEMENT FOR LIGHTS
                                                                                                                          -         23,400                                  23,400
                                          $        38,420       $        23,225       $       154,354       $      25,200     $     31,445                          $       48,600


30906   Operating Expenditures
5100      Salaries & Benefits             $                 -   $                 -   $                 -                                              N/A
                                                                                                            $             -   $                -                    $             -
5200      Operating Supplies                                -                     -                     -                                              N/A
5300      Contractual Services                     70,675                17,294                         -                                              N/A
                                                                                                                          -                    -                                  -
5400      Other Expenses                                    -                     -                     -                                              N/A
                                                                                                                          -                    -                                  -
5700      Capital Outlays                                   -                     -           225,826                                                  N/A
                                                                                                                          -                    -                                  -
5900      Other Financing Uses                              -                     -                     -                                              N/A
                                                                                                                          -                    -                                  -
                                          $        70,675       $        17,294       $       225,826                                                  N/A
                                                                                                            $             -   $                -                    $             -


90000   Project Expenditures
5200      Operating Supplies              $                 -   $                 -   $                 -                                              N/A
                                                                                                            $             -   $                -                    $             -
5300      Contractual Services                              -             4,704                         -                                             100%                  23,400 LIGHT FIXTURES - REIMBURSED
                                                                                                                          -         23,400
5400      Other Expenses                                    -                     -                     -                                              N/A
                                                                                                                          -                    -                                  -
5900      Other Financing Uses                              -                     -                     -                                              N/A
                                                                                                                          -                    -                                  -
                                          $                 -   $         4,704       $                 -                                             100%
                                                                                                            $             -   $     23,400                          $       23,400
                                          $        70,675       $        21,998       $       225,826                                                 100%
                                                                                                            $             -   $     23,400                          $       23,400


                                          $        71,024       $        72,251       $           779
        Available Fund Balance - EOY                                                                        $      32,251     $       8,824                         $       25,979




                                                                                                Page 25 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                    Actual 2010                             Original Budget   Actual to Date       Actual As % of   Revised Budget
                                              Actual 2009                                 Actual 2011                                                                                             Comments
                                                                    (Stub Year)                                 FY2012           FY2012               Revised       Estimate FY2012



403     Sidewalk Improvement Fund
                                          $       989,494       $       819,083       $       631,995
        Available Fund Balance - BOY                                                                        $     670,597     $    665,541                          $      665,541


        Means of Financing
         Special assessments              $       109,431       $         5,116       $        75,715       $      75,000     $                -                    $       75,000
         Federal & state grants                             -                     -                     -                 -                    -                                  -
         State shared revenue                               -                     -                     -                 -                    -                                  -
         Charges for services                               -                     -                     -                 -                    -                                  -
         Interest income                           27,514                19,395                13,597              15,000             1,912                                 15,000
         Operating transfers in                             -                     -                     -                 -                    -                                  -
         Other                                              -                     -           100,000                     -                    -                                  -
                                          $       136,945       $        24,511       $       189,312       $      90,000     $       1,912                         $       90,000


30906   Operating Expenditures
5100      Salaries & Benefits             $                 -   $                 -   $                 -                                              N/A
                                                                                                            $             -   $                -                    $             -
5200      Operating Supplies                                -                     -                     -                                              N/A
                                                                                                                          -                    -                                  -
5300      Contractual Services                      2,275                         -                     -                                              N/A
                                                                                                                          -                    -                                  -
5400      Other Expenses                                    -                     -                     -                                              N/A
                                                                                                                          -                    -                                  -
5700      Capital Outlays                                   -                     -                     -                                              N/A
                                                                                                                          -                    -                                  -

                                                                                                                                                                                      DEBT SERVICE ON SIDEWALK
5900      Other Financing Uses                    303,684               209,303               155,766                                                   9%
                                                                                                                  151,705           13,353                                 151,705
                                                                                                                                                                                      ASSESSMENT BONDS

                                          $       305,959       $       209,303       $       155,766                                                   9%
                                                                                                            $     151,705     $     13,353                          $      151,705


90000   Project Expenditures
5200      Operating Supplies              $                 -   $                 -   $                 -                                              N/A
                                                                                                            $             -   $                -                    $             -
5300      Contractual Services                      1,397                 2,296                         -                                              N/A
                                                                                                                          -                    -                                  -
5400      Other Expenses                                    -                     -                     -                                              N/A
                                                                                                                          -                                                       -
5900      Other Financing Uses                              -                     -                     -                                              N/A
                                                                                                                          -                    -                                  -
                                          $         1,397       $         2,296       $                 -                                              N/A
                                                                                                            $             -   $                -                    $             -
                                          $       307,356       $       211,599       $       155,766                                                   9%
                                                                                                            $     151,705     $     13,353                          $      151,705


                                          $       819,083       $       631,995       $       665,541
        Available Fund Balance - EOY                                                                        $     608,892     $    654,100                          $      603,836




                                                                                                Page 26 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                    Actual 2010                             Original Budget   Actual to Date       Actual As % of   Revised Budget
                                              Actual 2009                                 Actual 2011                                                                                 Comments
                                                                    (Stub Year)                                 FY2012           FY2012               Revised       Estimate FY2012



404     Public Improvement Fund
                                          $     1,985,126       $     1,319,726       $       696,631
        Available Fund Balance - BOY                                                                        $     449,277     $    551,506                          $      551,506


        Means of Financing
         Special assessments              $                 -   $                 -   $                 -   $             -   $                -                    $             -
         Property taxes                                     -                     -                     -                 -                    -                                  -
         Federal & state grants                             -                     -                     -                 -                    -                                  -
         Charges for services                     100,075                48,211                94,428                     -                    -                                  -
         Sales of Property                         13,201                     31                4,817               5,000                15                                  5,000
         Interest income                           16,140                 8,556                 6,974               7,500             2,633                                  7,500


         Operating transfers in                    14,216                         -                     -                 -                    -                                  -


         Other                                        486                         -            60,377                     -         37,535                                  45,000

                                          $       144,118       $        56,798       $       166,596       $      12,500     $     40,183                          $       57,500


30936   Operating Expenditures
5100      Salaries & Benefits             $                 -   $                 -   $                 -                                              N/A
                                                                                                            $             -   $                -                    $             -
5200      Operating Supplies                                -                     -                     -                                              N/A
                                                                                                                          -                    -                                  -
5300      Contractual Services                              -                     -                     -                                               0%
                                                                                                                    5,000                      -                             5,000
5400      Other Expenses                                    -                     -                     -                                              N/A
                                                                                                                          -                    -                                  -
5700      Capital Outlays                                   -                     -           109,292                                                  N/A
                                                                                                                          -                    -                                  -


5900      Other Financing Uses                    569,523               121,001               202,429                                                  N/A
                                                                                                                                               -


                                          $       569,523       $       121,001       $       311,721                                                   0%
                                                                                                            $       5,000     $                -                    $        5,000


90000   Project Expenditures
5200      Operating Supplies              $                 -   $                 -   $                 -                                              N/A
                                                                                                            $             -   $                -                    $             -
5300      Contractual Services                              -                     -                     -                                              97%
                                                                                                                          -         22,254                                  23,000
5400      Other Expenses                                    -                     -                     -                                              N/A
                                                                                                                          -                    -                                  -

5700      Capital Outlays                         239,995               558,892                         -                                              85%
                                                                                                                          -         17,049                                  20,000

                                          $       239,995       $       558,892       $                 -                                              91%
                                                                                                            $             -   $     39,303                          $       43,000
                                          $       809,518       $       679,893       $       311,721                                                  82%
                                                                                                            $       5,000     $     39,303                          $       48,000


                                          $     1,319,726       $       696,631       $       551,506
        Available Fund Balance - EOY                                                                        $     456,777     $    552,386                          $      561,006




                                                                                                Page 27 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                    Actual 2010                             Original Budget   Actual to Date       Actual As % of   Revised Budget
                                              Actual 2009                                 Actual 2011                                                                                             Comments
                                                                    (Stub Year)                                 FY2012           FY2012               Revised       Estimate FY2012



482     State Grants Fund
                                          $       649,547       $       599,175       $       500,140
        Available Fund Balance - BOY                                                                        $     294,369     $    237,439                          $      237,439


        Means of Financing
         Special assessments              $                 -   $                 -   $                 -   $             -   $                -                    $             -
         Federal & state grants                   175,689               217,405               462,517             315,000          135,220                                 315,000
         Sales of Property                                  -                     -                     -                 -                    -                                  -
         Interest income                                    -                 38                  613                     -             630                                  1,000
                                                                                                                                                                                      FROM PUBLIC IMPROVEMENT FUND
         Operating transfers in                             -                     -                     -                 -                    -                                  -
                                                                                                                                                                                      FOR SMITH RYERSON

         Other                                      6,307                         -           237,104                     -                    -                                  -

                                          $       181,996       $       217,443       $       700,234       $     315,000     $    135,850                          $      316,000



30936   Operating Expenditures
5100      Salaries & Benefits             $                 -   $                 -   $                 -                                              N/A
                                                                                                            $             -   $                -                    $             -
5200      Operating Supplies                                -                     -                     -                                              N/A
                                                                                                                          -                    -                                  -
5300      Contractual Services                              -                     -                     -                                              N/A
                                                                                                                          -                    -                                  -
5400      Other Expenses                                    -                     -                     -                                              N/A
                                                                                                                          -                    -                                  -
5700      Capital Outlays                                   -                     -           634,622                                                  N/A
                                                                                                                          -                    -                                  -
5900      Other Financing Uses                     16,840                         -           328,313                                                  N/A
                                                                                                                          -                    -                                  -

                                          $        16,840       $                 -   $       962,935                                                  N/A
                                                                                                            $             -   $                -                    $             -



90000   Project Expenditures
5200      Operating Supplies              $                 -   $                 -   $                 -                                              N/A
                                                                                                            $             -   $                -                    $             -
5300      Contractual Services                              -                     -                     -                                              N/A
                                                                                                                          -                    -                                  -
                                                                                                                                                                                      SEE "BUDGETED CAPITAL
5700      Capital Outlays                         215,528               316,478                         -                                               3%
                                                                                                                  315,000             8,692                                315,000
                                                                                                                                                                                      IMPROVEMENTS" FOR DETAIL
                                          $       215,528       $       316,478       $                 -                                               3%
                                                                                                            $     315,000     $       8,692                         $      315,000

                                          $       232,368       $       316,478       $       962,935                                                   3%
                                                                                                            $     315,000     $       8,692                         $      315,000



                                          $       599,175       $       500,140       $       237,439
        Available Fund Balance - EOY                                                                        $     294,369     $    364,597                          $      238,439




                                                                                                Page 28 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                            Actual 2010                             Original Budget   Actual to Date       Actual As % of   Revised Budget
                                                      Actual 2009                                 Actual 2011                                                                                 Comments
                                                                            (Stub Year)                                 FY2012           FY2012               Revised       Estimate FY2012



594     Marina & Launch Ramp Fund
                                                  $        85,238       $       149,996       $       217,556
        Available Cash Balance - BOY                                                                                $     301,056     $    243,852                          $      243,852

        Means of Financing
         Special assessments                      $                 -   $                 -   $                 -   $             -   $                -                    $             -
         Federal & state grants                                     -                     -                     -                 -                    -                                  -
         State shared revenue                                       -                     -                     -                 -                    -                                  -
         Charges for services                             246,565               155,059               184,394             260,000           78,848                                 260,000
         Interest income                                      763                   745                         -                 -             681                                    800

         Operating transfers in                                     -             3,760                         -                 -                    -                                  -

         Other                                                669                 1,709                 9,917                     -           2,155                                  3,000
                                                  $       247,997       $       161,273       $       194,311       $     260,000     $     81,684                          $      263,800


70756   Operating Expenditures - Marina
5100      Salaries & Benefits                     $        80,164       $        33,715       $        46,085                                                  11%
                                                                                                                    $      46,822     $       5,335                         $       46,822
5200      Operating Supplies                                5,992                 7,328                 7,200                                                  16%
                                                                                                                           10,600             1,720                                 10,600
5300      Contractual Services                             80,619                45,158               109,504                                                  63%
                                                                                                                         124,354            77,796                                 124,354
5400      Other Expenses                                            -                     -                     -                                              90%
                                                                                                                              100               158                                    175
5700      Capital Outlays                                  12,217                         -             5,806                                                   0%
                                                                                                                            7,800                (13)                                7,800
5900      Other Financing Uses                                      -                     -             4,345                                                  N/A
                                                                                                                                  -                    -                                  -
          Other Cash Uses (e.g. Debt Principal)            (5,820)                        -                     -                                              N/A
                                                                                                                                  -                    -                                  -
                                                  $       173,172       $        86,201       $       172,940                                                  45%
                                                                                                                    $    189,676      $     84,996                          $      189,751


70759   Operating Expenditures - Ramps
5100      Salaries & Benefits                     $         1,303       $           190       $                 -                                               0%
                                                                                                                    $       2,500     $                -                    $        2,500
5200      Operating Supplies                                  420                 1,189                   593                                                   0%
                                                                                                                              500                      -                               500
5300      Contractual Services                              8,344                 6,133                 4,426                                                  52%
                                                                                                                            9,580             4,962                                  9,580
5400      Other Expenses                                            -                     -                     -                                              N/A
                                                                                                                                  -                    -                                  -
5700      Capital Outlays                                           -                     -                     -                                              N/A
                                                                                                                                  -                    -                                  -
5900      Other Financing Uses                                      -                     -                     -                                              N/A
                                                                                                                                  -                    -                                  -
          Other Cash Uses (e.g. Debt Principal)                     -                     -            (9,944)                                                 N/A
                                                                                                                                  -                    -                                  -
                                                  $        10,067       $         7,512       $        (4,925) $                                               39%
                                                                                                                           12,580     $       4,962                         $       12,580

90000   Project Expenditures
5200       Operating Supplies                     $                 -   $                 -   $                 -                                              N/A
                                                                                                                    $             -   $                -                    $             -
5300      Contractual Services                                      -                     -                     -                                              N/A
                                                                                                                                  -                    -                                  -
5700      Capital Outlays                                           -                     -                     -                                              N/A
                                                                                                                                  -                    -                                  -
                                                  $                 -   $                 -   $                 -                                              N/A
                                                                                                                    $             -   $                -                    $             -
                                                  $       183,239       $        93,713       $       168,015                                                  44%
                                                                                                                    $     202,256     $     89,958                          $      202,331


                                                  $       149,996       $       217,556       $       243,852
        Available Cash Balance - EOY                                                                                $     358,800     $    235,578                          $      305,321




                                                                                                        Page 29 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                            Actual 2010                             Original Budget   Actual to Date       Actual As % of   Revised Budget
                                                      Actual 2009                                 Actual 2011                                                                                             Comments
                                                                            (Stub Year)                                 FY2012           FY2012               Revised       Estimate FY2012



661     Equipment Fund
                                                  $     2,472,676       $     2,519,442       $     2,755,881
        Available Cash Balance - BOY                                                                                $   2,468,665     $   2,880,251                         $    2,880,251


        Means of Financing
         Special assessments                      $                 -   $                 -   $                 -   $             -   $                -                    $             -
         Federal & state grants                                     -                     -                     -                 -                    -                                  -
         State shared revenue                                       -                     -                     -                 -                    -                                  -
         Charges for services                           2,178,851             1,204,803             2,211,835                                                                                 INTERDEPARTMENTAL CHARGES
                                                                                                                        2,300,000          965,172                               2,300,000
         Interest income                                   19,495                13,150                13,822              25,000             7,811                                 25,000
         Operating transfers in                                     -                     -                     -                 -                    -                                  -
         Other                                            151,690                67,112                96,411             100,000           46,723                                 100,000
                                                  $     2,350,036       $     1,285,065       $     2,322,068       $   2,425,000     $   1,019,706                         $    2,425,000


60932   Operating Expenditures
5100      Salaries & Benefits                     $       591,154       $       198,819       $       392,338                                                  56%
                                                                                                                    $     412,262     $    230,630                          $      412,262
5200      Operating Supplies                              746,316               352,010               833,310                                                  37%
                                                                                                                          934,000          347,895                                 934,000
5300      Contractual Services                            474,054               368,421               643,677                                                  43%
                                                                                                                          757,317          322,414                                 757,317
5400      Other Expenses                                    1,013                     37                  352                                                   7%
                                                                                                                            1,000                72                                  1,000
                                                                                                                                                                                              SEE "BUDGETED CAPITAL
5700      Capital Outlays                                 446,354                45,518               372,756                                                  43%
                                                                                                                          607,400          443,597                               1,039,565
                                                                                                                                                                                              IMPROVEMENTS" FOR DETAIL
5900      Other Financing Uses                                      -                     -                     -                                              N/A
                                                                                                                                  -                    -                                  -
          Other Cash Uses (e.g. Debt Principal)            44,379                83,821               (44,735)                                                 N/A
                                                                                                                                  -                    -                                  -
                                                  $     2,303,270       $     1,048,626       $     2,197,698                                                  43%
                                                                                                                    $   2,711,979     $   1,344,608                         $    3,144,144


90000   Project Expenditures
5200      Operating Supplies                      $                 -   $                 -   $                 -                                              N/A
                                                                                                                    $             -   $                -                    $             -
5300      Contractual Services                                      -                     -                     -                                              N/A
                                                                                                                                  -                    -                                  -
5700      Capital Outlays                                           -                     -                     -                                              N/A
                                                                                                                                  -                    -                                  -
                                                  $                 -   $                 -   $                 -                                              N/A
                                                                                                                    $             -   $                -                    $             -
                                                  $     2,303,270       $     1,048,626       $     2,197,698                                                  43%
                                                                                                                    $   2,711,979     $   1,344,608                         $    3,144,144


                                                  $     2,519,442       $     2,755,881       $     2,880,251
        Available Cash Balance - EOY                                                                                $   2,181,686     $   2,555,349                         $    2,161,107




                                                                                                        Page 30 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                          Actual 2010                             Original Budget   Actual to Date       Actual As % of   Revised Budget
                                                    Actual 2009                                 Actual 2011                                                                                            Comments
                                                                          (Stub Year)                                 FY2012           FY2012               Revised       Estimate FY2012



642     Public Service Building Fund
                                                $       474,631       $       513,578       $       444,931
        Available Cash Balance - BOY                                                                              $     160,371     $    268,058                          $      268,058


        Means of Financing
         Special assessments                    $                 -   $                 -   $                 -   $             -   $                -                    $             -
         Federal & state grants                                   -                     -                     -                 -                    -                                  -
         State shared revenue                                     -                     -                     -                 -                    -                                  -
         Charges for services                           610,873               484,670               769,340                                                                                 INTERDEPARTMENTAL CHARGES
                                                                                                                        969,340          484,671                                 969,340
         Interest income                                  3,804                 2,570                 2,214               6,000               986                                  6,000
         Operating transfers in                                   -                     -                     -                 -                    -                                  -
         Other                                                    -                     -                 68                    -                    -                                  -
                                                $       614,677       $       487,240       $       771,622       $     975,340     $    485,657                          $      975,340


60442   Operating Expenditures
5100      Salaries & Benefits                   $       266,246       $       429,395       $       637,792                                                  55%
                                                                                                                  $     547,811     $    299,072                          $      547,811
5200      Operating Supplies                             28,229                10,221                12,278                                                  24%
                                                                                                                         26,400             6,332                                 26,400
5300      Contractual Services                          243,486               115,637               231,099                                                  29%
                                                                                                                        301,101           86,426                                 301,101
5400      Other Expenses                                  8,200                 9,754                14,507                                                  76%
                                                                                                                            500           10,665                                  14,000
5700      Capital Outlays                                 6,907                 2,114                         -                                              40%
                                                                                                                         19,500             7,710                                 19,500
5900      Other Financing Uses                                    -                     -                     -                                              N/A
                                                                                                                                -                    -                                  -
        Other Cash Uses and Adjustments (e.g.
                                                         22,662               (14,248)              (20,346)                                                 N/A
                                                                                                                                -                    -                                  -
        Debt Principal)
                                                $       575,730       $       552,873       $       875,330                                                  45%
                                                                                                                  $    895,312      $    410,205                          $      908,812


90000   Project Expenditures
5200      Operating Supplies                    $                 -   $                 -   $                 -                                              N/A
                                                                                                                  $             -   $                -                    $             -
5300      Contractual Services                                    -             3,014                73,165                                                   0%
                                                                                                                                -                    -                            30,000
5700      Capital Outlays                                         -                     -                     -                                              N/A
                                                                                                                                -                    -                                  -
                                                $                 -   $         3,014       $        73,165                                                   0%
                                                                                                                  $             -   $                -                    $       30,000
                                                $       575,730       $       555,887       $       948,495                                                  44%
                                                                                                                  $    895,312      $    410,205                          $      938,812


                                                $       513,578       $       444,931       $       268,058
        Available Cash Balance - EOY                                                                              $     240,399     $    343,510                          $      304,586




                                                                                                      Page 31 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                          Actual 2010                             Original Budget   Actual to Date       Actual As % of   Revised Budget
                                                    Actual 2009                                 Actual 2011                                                                                              Comments
                                                                          (Stub Year)                                 FY2012           FY2012               Revised       Estimate FY2012



643     Engineering Services Fund
                                                $       132,074       $       (48,336) $            (98,892) $
        Available Cash Balance - BOY                                                                                    (14,992) $        (93,420)                        $      (93,420)


        Means of Financing
         Special assessments                    $                 -   $                 -   $                 -   $             -   $                -                    $             -
         Federal & state grants                                   -                     -                     -                 -                    -                                  -
         State shared revenue                                     -                     -                     -                 -                    -                                  -
         Charges for services                           451,132               177,438               410,022                                                                                 INTERDEPARTMENTAL CHARGES
                                                                                                                        459,506          240,949                                 459,506
         Interest income                                    606                   103                         -                 -                4                                    10
         Operating transfers in                                   -                     -                     -                                                                             DEFICIT ELIMINATION PLAN
                                                                                                                                -         75,000                                  75,000
         Other                                           23,312                   126               128,631              25,000           28,198                                  40,000
                                                $       475,050       $       177,667       $       538,653       $     484,506     $    344,151                          $      574,516


60447   Operating Expenditures
5100      Salaries & Benefits                   $       450,038       $       140,911       $       298,948                                                  56%
                                                                                                                  $     299,804     $    168,998                          $      299,804
5200      Operating Supplies                              8,918                 5,313                 6,021                                                   9%
                                                                                                                         11,230             1,051                                 11,230
5300      Contractual Services                          135,994                63,729               128,256                                                  43%
                                                                                                                        138,320           59,240                                 138,320
5400      Other Expenses                                    286                 2,085                   179                                                   0%
                                                                                                                          1,000                      -                             1,000
5700      Capital Outlays                                 7,973                 3,994                 5,406                                                  20%
                                                                                                                          7,700             1,519                                  7,700
5900       Other Financing Uses                                   -                     -                     -                                              N/A
                                                                                                                                -                    -                                  -
        Other Cash Uses and Adjustments (e.g.
                                                         16,159                 9,979                61,714                                                  N/A
                                                                                                                                -                    -                                  -
        Debt Principal)
                                                $       619,368       $       226,011       $       500,524                                                  50%
                                                                                                                  $     458,054     $    230,808                          $      458,054


90000   Project Expenditures
5200      Operating Supplies                    $                 -   $                 -   $                 -                                              N/A
                                                                                                                  $             -   $                -                    $             -
5300      Contractual Services                           36,092                 2,212                32,657                                                  30%
                                                                                                                                -           6,043                                 20,000
5700      Capital Outlays                                         -                     -                     -                                              N/A
                                                                                                                                -                    -                                  -
                                                $        36,092       $         2,212       $        32,657                                                  30%
                                                                                                                  $             -   $       6,043                         $       20,000
                                                $       655,460       $       228,223       $       533,181                                                  50%
                                                                                                                  $     458,054     $    236,851                          $      478,054


                                                $       (48,336) $            (98,892) $            (93,420) $
        Available Cash Balance - EOY                                                                                     11,460     $     13,880                          $        3,042




                                                                                                      Page 32 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                          Actual 2010                             Original Budget   Actual to Date       Actual As % of   Revised Budget
                                                    Actual 2009                                 Actual 2011                                                                                             Comments
                                                                          (Stub Year)                                 FY2012           FY2012               Revised       Estimate FY2012



677     General Insurance Fund
                                                $     1,236,014       $     1,339,236       $     1,535,902
        Available Cash Balance - BOY                                                                              $   1,484,748     $   1,420,174                         $    1,420,174


        Means of Financing
         Special assessments                    $                 -   $                 -   $                 -   $             -   $                -                    $             -
         Federal & state grants                                   -                     -                     -                 -                    -                                  -
         State shared revenue                                     -                     -                     -                 -                    -                                  -
         Charges for services                         4,260,731             2,116,365             3,770,919                                                                                 INTERDEPARTMENTAL CHARGES
                                                                                                                      2,864,118         1,628,436                              2,864,118
         Interest income                                  5,257                 4,577                 6,057              10,000             3,930                                 10,000
         MERS Retireee Health Reimbursement                       -                     -                     -         840,000          390,444                                 840,000
         Medicare Part D Rx Reimbursement                         -                     -                     -          35,000                      -                            35,000
         Repayment of DDA Advance                                 -                     -                     -                 -                    -                                  -
                                                                                                                                                                                            INTERFUND LOAN REPAYMENT -
         Operating transfers in                          28,046                14,023                28,046              28,046           14,023                                  28,046
                                                                                                                                                                                            ARENA IMPROVEMENTS
         Other                                            4,863                 6,038                11,081                     -        105,301                                 125,000
                                                $     4,298,897       $     2,141,003       $     3,816,103       $   3,777,164     $   2,142,134                         $    3,902,164


30851   Operating Expenditures
5100      Salaries & Benefits                   $        43,957       $                 -   $                 -                                              54%
                                                                                                                  $      32,502     $     17,472                          $       32,502
5200      Operating Supplies                              1,154                         -                     -                                              83%
                                                                                                                                -             166                                    200
5300      Contractual Services                        4,215,551             1,944,337             4,099,156                                                  47%
                                                                                                                      3,704,118         1,750,148                              3,704,118
5400      Other Expenses                                  1,141                         -                     -                                               0%
                                                                                                                          1,500                      -                             1,500

5700      Capital Outlays                                 1,915                         -                     -                                              56%
                                                                                                                          2,000             1,110                                  2,000

5900       Other Financing Uses                          77,744                         -                     -                                              N/A
                                                                                                                                -                    -                                  -
        Other Cash Uses and Adjustments (e.g.
                                                       (145,787)                        -          (167,325)                                                 N/A
                                                                                                                                -                    -                                  -
        Debt Principal)
                                                $     4,195,675       $     1,944,337       $     3,931,831                                                  47%
                                                                                                                  $   3,740,120     $   1,768,896                         $    3,740,320


90000   Project Expenditures
5200      Operating Supplies                    $                 -   $                 -   $                 -                                              N/A
                                                                                                                  $             -   $                -                    $             -
5300      Contractual Services                                    -                     -                     -                                              N/A
                                                                                                                                -                    -                                  -
5700      Capital Outlays                                         -                     -                     -                                              N/A
                                                                                                                                -                    -                                  -
                                                $                 -   $                 -   $                 -                                              N/A
                                                                                                                  $             -   $                -                    $             -
                                                $     4,195,675       $     1,944,337       $     3,931,831                                                  47%
                                                                                                                  $   3,740,120     $   1,768,896                         $    3,740,320


                                                $     1,339,236       $     1,535,902       $     1,420,174
        Available Cash Balance - EOY                                                                              $   1,521,792     $   1,793,412                         $    1,582,018




                                                                                                      Page 33 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                          Actual 2010                             Original Budget   Actual to Date       Actual As % of   Revised Budget
                                                    Actual 2009                                 Actual 2011                                                                                             Comments
                                                                          (Stub Year)                                 FY2012           FY2012               Revised       Estimate FY2012




590     Sewer Fund
                                                $      (249,387) $            521,480       $     1,585,879
        Available Cash Balance - BOY                                                                              $   2,448,376     $   3,320,219                         $    3,320,219

        Means of Financing
         Special assessments                    $             -       $             -       $             -       $           -     $           -                         $            -
         Federal & state grants                               -                     -                     -              10,000                 -                                 10,000
         State shared revenue                                 -                     -                     -                   -                 -                                      -
         Charges for services                         5,584,293             3,369,596             6,499,376           5,980,000         2,057,681                              5,980,000
         Interest income                                    597                 1,679                 9,822              15,000             8,119                                 15,000
         Repayment of DDA advance                             -                     -                     -                   -                 -                                      -
         Operating transfers in                               -                     -                     -                   -                 -                                      -
         Other                                          481,114                78,581               153,475             150,000            25,983                                150,000
                                                $     6,066,004       $     3,449,856       $     6,662,673       $   6,155,000     $   2,091,783                         $    6,155,000

30548   Operating Expenditures Administration
5100      Salaries & Benefits                   $                 -   $                 -   $                 -                                              N/A
                                                                                                                  $             -   $                -                    $             -
5200      Operating Supplies                                      -                     -                     -                                              N/A
                                                                                                                                -                    -                                  -
                                                                                                                                                                                            INSURANCE/INDIRECT
5300      Contractual Services                          363,113               188,402               332,732                                                  40%
                                                                                                                        332,055          134,208                                 332,055
                                                                                                                                                                                            COSTS/ADMINISTRATION FEE
5400      Other Expenses                                  5,087                 6,254                 2,158                                                  96%
                                                                                                                                -           8,638                                  9,000
5700      Capital Outlays                                     -                     -                     -                                                  N/A
                                                                                                                                -               -                                      -
5900      Other Financing Uses                                -                     -                41,609                                                  N/A
                                                                                                                                -               -                                      -
        Other Cash Uses and Adjustments (e.g.
                                                                  -           (10,152)             (249,391)                                                 N/A
                                                                                                                                -                    -                                  -
        Debt Principal)
                                                $       368,200       $       184,504       $       127,108                                                  42%
                                                                                                                  $     332,055     $    142,846                          $      341,055

60559   Operating Expenditures Maintenance
5100      Salaries & Benefits                   $       728,753       $       239,245       $       472,593                                                  35%
                                                                                                                  $     647,726     $     227,373                         $      647,726
5200      Operating Supplies                             37,583                29,401                30,123                                                  20%
                                                                                                                         47,750             9,370                                 47,750
5300      Contractual Services                        3,863,907             1,866,171             4,011,555                                                  33%
                                                                                                                      4,546,078         1,480,002                              4,546,078
5400      Other Expenses                                      -                   600                   500                                                   0%
                                                                                                                          1,000                 -                                  1,000
5700      Capital Outlays                                18,960                 1,520                 5,860                                                   0%
                                                                                                                         17,760                12                                 17,760
5900      Other Financing Uses                                -                     -                     -                                                  N/A
                                                                                                                              -                 -                                      -
                                                $     4,649,203       $     2,136,937       $     4,520,631                                                  33%
                                                                                                                  $   5,260,314     $   1,716,757                         $    5,260,314

90000   Project Expenditures
5200       Operating Supplies                   $                 -   $                 -   $                 -                                              N/A
                                                                                                                  $             -   $                -                    $             -
                                                                                                                                                                                            SEE "BUDGETED CAPITAL
5300      Contractual Services                          277,734                64,016               280,594                                                  70%
                                                                                                                        400,000          299,276                                 428,000
                                                                                                                                                                                            IMPROVEMENTS" FOR DETAIL
5700      Capital Outlays                                         -                     -                     -                                              N/A
                                                                                                                                -                    -                                  -
                                                $       277,734       $        64,016       $       280,594                                                  70%
                                                                                                                  $     400,000     $    299,276                          $      428,000
                                                $     5,295,137       $     2,385,457       $     4,928,333                                                  36%
                                                                                                                  $   5,992,369     $   2,158,879                         $    6,029,369


                                                $       521,480       $     1,585,879       $     3,320,219
        Available Cash Balance - EOY                                                                              $   2,611,007     $   3,253,123                         $    3,445,850




                                                                                                      Page 34 of 40
        City of Muskegon
        Annual Budget & Quarterly Budget Reforecast - Other Funds
                                                                          Actual 2010                             Original Budget   Actual to Date   Actual As % of   Revised Budget
                                                    Actual 2009                                 Actual 2011                                                                                         Comments
                                                                          (Stub Year)                                 FY2012           FY2012           Revised       Estimate FY2012

591     Water Fund
                                                $ 3,232,652           $ 2,301,294 $ 3,128,123 $ 2,868,744
        Available Cash Balance - BOY                                                                                                $ 3,585,169                       $    3,585,169


        Means of Financing
         Special assessments                    $                 -   $                 -   $                 -   $             -   $            -                    $             -
         Federal & state grants                                   -                     -                     -                 -                -                                  -
         State shared revenue                                     -                     -                     -                 -                -                                  -
         Charges for services - City                 2,967,961             1,564,652             3,025,327            3,155,000         1,077,856                          3,155,000
         Charges for services - Wholesale            2,281,977               989,519             1,906,772            2,120,000          695,546                           2,120,000
         Maintenance services - Township               162,300                88,858               178,393              170,000          110,782                             170,000
         Interest income                                22,483                13,566                13,025               20,000            7,090                              20,000
         Lease of facilities                           127,027                 71,402              143,269                                                                              LEASE OF SPACE ON WATER TOWERS
                                                                                                                       127,000            80,531                             127,000
         Repayment of DDA advance                                 -                     -                     -                 -                -                                  -
         Operating transfers in                                   -                     -                     -                 -                -                                  -
         Other                                         327,378               184,695               245,418                      -         81,685                             125,000
                                                $ 5,889,126           $ 2,912,692 $ 5,512,204 $ 5,592,000                           $ 2,053,490                       $    5,717,000


30548   Operating Expenditures Administration
5100       Salaries & Benefits                  $                 -   $                 -   $                 -                                          N/A
                                                                                                                  $             -   $            -                    $             -
5200       Operating Supplies                             4,155                 1,085                         -                                          N/A
                                                                                                                                -                -                                  -
                                                                                                                                                                                        INSURANCE/INDIRECT
5300       Contractual Services                        512,150               258,076               541,950                                               42%
                                                                                                                       536,007           224,340                             536,007
                                                                                                                                                                                        COSTS/ADMINISTRATION FEE
5400       Other Expenses                                 5,295                 7,960                         -                                          89%
                                                                                                                          2,000             5,332                              6,000
5700       Capital Outlays                                        -                     -                     -                                           N/A
                                                                                                                                -                -                                  -
5900       Other Financing Uses                        567,463                          -           415,395                                              50%                 410,188 INTEREST ON WATER BONDS
                                                                                                                       410,188           203,794
        Other Cash Uses and Adjustments (e.g.
                                                     1,110,000                317,141            1,061,133                                               51%               1,230,000 PRINCIPAL ON WATER BONDS
                                                                                                                      1,230,000          630,000
        Debt Principal)
                                                $ 2,199,063           $       584,262       $ 2,018,478                                                  49%
                                                                                                                  $ 2,178,195       $ 1,063,466                       $    2,182,195


60559   Operating Expenditures Maintenance - City
5100       Salaries & Benefits                  $   972,743 $                420,828 $   816,927 $                                                       57%
                                                                                                     768,795 $                           438,353                      $      768,795
5200       Operating Supplies                     1,361,098                   48,567     190,809                                                         66%
                                                                                                     160,260                             105,362                             160,260
5300       Contractual Services                     368,258                  149,061     299,637                                                         37%
                                                                                                     446,417                             165,250                             446,417
5400       Other Expenses                            35,364                   29,769      66,107                                                         74%
                                                                                                      53,230                              39,173                              53,230
5700       Capital Outlays                            8,490                      906      11,531                                                          8%
                                                                                                      16,500                               1,342                              16,500
5900       Other Financing Uses                           -                        -           -                                                         N/A
                                                                                                           -                                   -                                   -
                                                $ 2,745,953 $                649,131 $ 1,385,011 $ 1,445,202 $                                           52%
                                                                                                                                         749,480                      $    1,445,202

60558   Operating Expenditures Filtration
5100      Salaries & Benefits                   $   601,170           $      299,682 $   590,491 $                                                       47%
                                                                                                     655,881                        $    305,433                      $      655,881
5200      Operating Supplies                        238,676                   93,186     232,984                                                         40%
                                                                                                     275,095                             109,174                             275,095
5300      Contractual Services                      490,099                  246,943     433,967                                                         31%
                                                                                                     615,970                             188,499                             615,970
5400      Other Expenses                              1,384                      750       1,153                                                         31%
                                                                                                       2,600                                 810                               2,600
5700      Capital Outlays                           126,309                   26,130     108,567                                                         98%
                                                                                                      45,300                              83,190                              85,000
5900      Other Financing Uses                            -                        -           -                                                         N/A
                                                                                                           -                                   -                                   -
          Replacement Reserve - DWRF                      -                        -           -                                                          0%
                                                                                                     290,000                                   -                             290,000
                                                $ 1,457,638           $      666,691 $ 1,367,162 $ 1,884,846                                             36%
                                                                                                                                    $    687,106                      $    1,924,546

90000   Project Expenditures
5200       Operating Supplies                   $                 -   $                 -   $                 -                                          N/A
                                                                                                                  $             -   $            -                    $             -
                                                                                                                                                                                        SEE "BUDGETED CAPITAL
5300       Contractual Services                        417,830               185,779               284,507                                               63%
                                                                                                                      1,340,000          676,190                           1,067,100
                                                                                                                                                                                        IMPROVEMENTS" FOR DETAIL
5700       Capital Outlays                                -                     -           -                                                            N/A
                                                                                                        -                                     -                                    -
                                                $   417,830           $   185,779 $   284,507 $ 1,340,000                                                63%
                                                                                                                                    $   676,190                       $    1,067,100
                                                $ 6,820,484           $ 2,085,863 $ 5,055,158 $ 6,848,243                                                48%
                                                                                                                                    $ 3,176,242                       $    6,619,043

                                                $ 2,301,294           $ 3,128,123           $ 3,585,169
        Available Cash Balance - EOY                                                                              $ 1,612,501       $ 2,462,417                       $    2,683,126




                                                                                                    Page 35 of 40
City of Muskegon

2011-12 2Q Reforecast - Debt Service Requirements



                                                                                           Original       Outstanding

                                                                            Year           Amount             Balance            Principal           Interest            Total       Final

Bond Issue                                                Fund             Issued          of Issue           06/30/11       Due FY 2012 Due FY 2012 Due FY 2012 Maturity



Existing Debt Issues:

                                                    DDA Debt Service        2011       $    2,045,000     $    2,045,000     $     265,000       $      64,462      $    329,462     2018
DDA G.O. Refunding Bonds

                                                    DDA Debt Service        1989            1,000,000          1,000,000                     -                  -                -   2019
DDA Promissory Note with Muskegon County

                                                        LDFA III            2002            4,725,000          4,405,000            80,000             192,197           272,197     2025
LDFA Tax Increment Bonds (Smartzone)

                                                      Major Streets         2011            2,000,000                    -                   -          24,999            24,999     2022
MTF Major & Local Streets Bond

                                                       Brownfield           2005              500,000            244,850            28,527               4,897            33,424     2015
State of Michigan Environmental Loan

                                                        General             2006            5,400,000          5,235,000            70,000             211,145           281,145     2032
Bond for Fire Station & Rec Projects

                                                        Sidewalk            2003            1,575,000            685,000           125,000              26,705           151,705     2016
Capital Improvement Bonds (Sidewalks)

                                                         Water              2004           13,900,000         10,955,000           630,000             226,100           856,100     2025
Water Filtration Improvement DWRF Loan

                                                         Water              2010            5,995,000          5,415,000           600,000             184,088           784,088     2019
Water Supply System Revenue Bonds

                                                                                           37,140,000         29,984,850         1,798,527             934,593          2,733,120



Anticipated Debt Issues:

                                                                                                      -                  -                   -                  -                -

                                                                                       $   37,140,000 $ 29,984,850 $ 1,798,527                   $     934,593      $ 2,733,120



                                                Recap By Fund:              Total

                                                General                $    281,145

                                                Major Street                 24,999

                                                Brownfield                   33,424

                                                Sidewalk Improvemen         151,705

                                                Water                      1,640,188

                                                DDA                         329,462
                                                LDFA III (Smartzone)        272,197

                                                                       $ 2,733,120




                                                                           Page 36 of 40
City of Muskegon
Quarterly Budget Reforecast and 2011-12 Proposed Budget
                                                                                                      2011-12           2011-12
                                                                                                                                              2011-12 1Q           2011-12 2Q
                                                                                                                                                                                              Comments
                                                                                Responsibility       Budgeted          Estimated
                                                                                                                                              Reforecast           Reforecast
                                                                                                     Projects        Project Grants


                                                                                     2011-12 BUDGETED PROJECTS

     101      General Fund

              Roof Replacement over Police Department                              Al-Shatel     $         39,000                         $          39,000    $          16,000

              Irrigation Well & Pumps @ Lakeside Cemetery                          Al-Shatel               29,000                                    29,000               29,000

              VOIP Phone System                                                     Maurer                 90,000                                    90,000               69,763           One-Year Payback

              Financial Management System                                            Paul                        -                                         -              45,000

              McGraft - Replace Roof/Surface Tennis Courts/Drainage& Ice Melt      Al-Shatel               35,000                                    35,000               35,000

              ADA Compliance, various locations                                    Al-Shatel               25,000                                    25,000               25,000           Federal Agreement

              Irrigation at City Hall                                              Al-Shatel               15,000                                    15,000               15,000            Replace System

              City Hall Roof Repairs (Various Locations)                           Al-Shatel                     -                                         -               8,000            Replace System

                                                                                                                                      -              40,000               55,000
              City Hall Tuck Pointing & Sealing                                    Al-Shatel               40,000

                                                                                                          273,000                     -             273,000              297,763

     202      Major Streets

              Laketon, Barclay to Henry                                            Al-Shatel               30,000                                    30,000               30,000

              Laketon-Henry Intersection                                           Al-Shatel               20,000                                    20,000               20,000

              Laketon Traffic Signals: Hoyt, Getty, Roberts & Wood                 Al-Shatel               50,000                                   300,000              300,000

              Traffic Signal replacement/Upgrade at Getty & Evanston               Al-Shatel              138,000                  -                  5,000                5,000          Design Only this Year

              Laketon, Henry to Park                                               Al-Shatel              700,000            560,000                765,000              765,000            STP Grant Funds

              Ryerson Creek Fish Passage (Muskegon Ave. @ Eastern)                 Al-Shatel               40,000                                    40,000               40,000

              Sherman, Lincoln to Estes                                            Al-Shatel             1,100,000           481,000              1,100,000               50,000   STP Grant Funds (Design only FY12)

              Port City, Latimer to Laketon                                        Al-Shatel               15,000                                    15,000               15,000

              Getty Street, Keating to Laketon (STP)                               Al-Shatel              575,000            300,000                575,000              575,000            STP Grant Funds

              Traffic Signals Warrants Evaluation, various locations               Al-Shatel               23,000                  -                 23,000               23,000

              Speed Limits Evaluations                                             Al-Shatel               20,000                                    20,000               20,000       In-House engineering Costs




                                                                                                 Page 37 of 40
City of Muskegon
Quarterly Budget Reforecast and 2011-12 Proposed Budget
                                                                                                   2011-12           2011-12
                                                                                                                                       2011-12 1Q       2011-12 2Q
                                                                                                                                                                                        Comments
                                                                             Responsibility       Budgeted          Estimated
                                                                                                                                       Reforecast       Reforecast
                                                                                                  Projects        Project Grants


                                                                                  2011-12 BUDGETED PROJECTS
              Terrace, Apple to Western                                         Al-Shatel              230,000            160,000            240,000          240,000       Mill and Resurface - HPP Grant Funds

              M-120 Over North Branch of River                                  Al-Shatel               14,000                                14,000           14,000      MDOT Project - 8.75% City Participation

              Getty St., Laketon to Evanston                                    Al-Shatel              960,000            435,000            960,000          960,000           TEDF and CDBG Grant Funds

                                                                                                      3,915,000         1,936,000          4,107,000        3,057,000

     203      Local Streets

              Viridian Drive Extension                                          Al-Shatel                     -                    -                -           7,300

              Dale, Peck to Clinton                                             Al-Shatel               55,000             20,000             55,000           70,000                    Reconstruct

                                                                                                        55,000             20,000             55,000           77,300

     404      Public Improvement Fund

              No Budgeted Projects                                                                            -                    -                -                -




     408      Arena Maintenance Fund

              No Budgeted Projects                                                                            -                    -                -                -

                                                                                                              -                    -                -                -

     482      State Grants Fund

              EPA Grant                                                      Brubaker-Clarke            40,000             40,000             40,000           40,000

              Musketawa Trail Connection-phase IB (Keating to Black Creek)      Al-Shatel              275,000            275,000            275,000          275,000

                                                                                                       315,000            315,000            315,000          315,000

     590      Sewer

              Sewer Rehabilitation Project (various projects)                   Al-Shatel              100,000                     -         100,000          100,000          Lining of Manholes/Sewer Lines

              Isabella, Peck to Terrace                                         Al-Shatel               25,000                                25,000           25,000

              Getty, Laketon to Evanston                                        Al-Shatel              135,000                     -         135,000          135,000           New Sewer Main and Services

              Evanston Lift Station                                             Al-Shatel                     -                                     -          10,000                      Design

              Hackely, Hudson to Glen                                           Al-Shatel                     -                                     -          10,000                      Design

              Terrace, Apple to Western                                         Al-Shatel               20,000                     -          20,000           20,000    Sewer Repairs Associated With Street Project

              Dale, Peck to Clinton                                             Al-Shatel                     -                    -                -           8,000

              GIS Update and Maintenance                                        Al-Shatel               30,000                                30,000           30,000        County Licensing, Map Maintenance




                                                                                               Page 38 of 40
City of Muskegon
Quarterly Budget Reforecast and 2011-12 Proposed Budget
                                                                                                                2011-12           2011-12
                                                                                                                                                    2011-12 1Q       2011-12 2Q
                                                                                                                                                                                                    Comments
                                                                                           Responsibility      Budgeted          Estimated
                                                                                                                                                    Reforecast       Reforecast
                                                                                                               Projects        Project Grants


                                                                                                2011-12 BUDGETED PROJECTS
              Mason, Sixth to Fifth                                                           Al-Shatel              90,000                     -          90,000           90,000           Replace Main and Services

                                                                                                                    400,000                     -         400,000          428,000

     591      Water

              Elevated Tank - Marshall & Roberts, Interior Painting                           Al-Shatel             290,000                     -         185,000          185,000                 Favorable Bids

              Water Main Replacement Project, various locations & 2" & 4" Mains replacem      Al-Shatel             100,000                     -         100,000           80,000                  Filtration Plant

              Laketon, Henry to Park                                                          Al-Shatel              25,000                                70,000           70,000   Water Repairs Associated With Street Project

              Getty Street, Keating to Laketon (STP)                                          Al-Shatel             135,000                               135,000          135,000         Main and Services Replacement

              Getty St., Laketon to Evanston                                                  Al-Shatel             225,000                               225,000          225,000    Crossing Mains and Services Replacement

              Isabella, Peck to Terrace                                                       Al-Shatel              40,000                                40,000           40,000           Replace Main and Services

              High Service Switchgear Repairs & Upgrades                                      Al-Shatel             175,000                               175,000          175,000                  Filtration Plant

              Sherman, Lincoln to Estes                                                       Al-Shatel                    -                    -                -          10,000

              Dale, Peck to Clinton                                                           Al-Shatel                    -                    -                -           7,100                      Design

              Hackely, Hudson to Glen                                                         Al-Shatel                    -                                     -          10,000                      Design

              Terrace, Apple to Western                                                       Al-Shatel             230,000                                10,000           10,000   Water Repairs Associated With Street Project

              GIS Update and Maintenance                                                      Al-Shatel              30,000                                30,000           30,000       County Licensing, Map Maintenance

                                                                                                                                                -          90,000           90,000           Replace Main and Services
              Mason, Sixth to Fifth                                                           Al-Shatel              90,000

                                                                                                                   1,340,000                    -       1,060,000        1,067,100

     642      PSB

              Security System/Cameras                                                         Al-Shatel                    -                    -                -          30,000

                                                                                                                           -                    -                -          30,000

     643      Engineering Services

              Intergovernmental Engineering Work                                              Al-Shatel              20,000                     -          20,000           20,000

                                                                                                                     20,000                     -          20,000           20,000




                                                                                                            Page 39 of 40
City of Muskegon
Quarterly Budget Reforecast and 2011-12 Proposed Budget
                                                                                2011-12           2011-12
                                                                                                                        2011-12 1Q          2011-12 2Q
                                                                                                                                                                 Comments
                                                          Responsibility       Budgeted          Estimated
                                                                                                                        Reforecast          Reforecast
                                                                               Projects        Project Grants


                                                               2011-12 BUDGETED PROJECTS
     661         Equipment Fund

 5720/Quantity   Non-Vehicular Equipment:

       1         Diagnostic Equipment                        Al-Shatel               25,000                     -              25,000              25,000

       1         Snow Blower / Mower                         Al-Shatel              103,000                     -             103,000             103,000

       1         Concrete Saw                                Al-Shatel               25,000                     -              25,000              25,000

                                                                                    153,000                     -             153,000             153,000

     5746        Communications Equipment:

       1         Video system                                Al-Shatel                8,000                     -               8,000               8,000

       5         Cruiser radios                              Al-Shatel                8,000                     -               8,000               8,000

       6         In-car radios                               Al-Shatel                4,000                     -               4,000               4,000

       3         Light bars                                  Al-Shatel                6,000                     -               6,000               6,000

                                                                                     26,000                     -              26,000              26,000

     5730        Vehicles:

       2         Small Pickup                                Al-Shatel               32,800                     -              32,800              32,800

       5         Patrol Cruisers                             Al-Shatel                     -                    -             110,000             110,000

       1         Pickup Truck, 4X4                           Al-Shatel               24,600                     -              24,600              24,600

       1         I ton dump 4X4                              Al-Shatel               31,000                     -              31,000              31,000   New - For Plowing Alleys

       1         Plow Truck                                  Al-Shatel              140,000                     -             140,000             140,000    Replaces 1992 Vehicle

       1         Vactor                                      Al-Shatel                     -                    -             322,165             322,165    Replaces 1992 Vehicle

                                                                                                                -             200,000             200,000   Replaces 1999 Equipment
       1         Sewer Jet                                   Al-Shatel              200,000

                                                                                    428,400                     -             860,565             860,565

                  Total Equipment Fund                                              607,400                     -           1,039,565           1,039,565



                                                                           $       6,925,400   $     2,271,000      $       7,269,565   $       6,331,728




                                                                           Page 40 of 40
Date: February 14, 2012
To: Honorable Mayor and City Commissioners
From: Finance Director
RE: Financial Management Software


SUMMARY OF REQUEST: The City’s financial management software is
sixteen years old and the developer has indicated they will be phasing out the system
over the next few years. Staff has explored various options and believes the best
route is to replace the current systems with BS&A financial software. This system
has become the standard in Muskegon County which could be an important factor in
future intergovernmental initiatives. Moreover, several modules of the software are
already being used by the City and completing the suite will allow for better internal
systems integration and resultant savings.

FINANCIAL IMPACT: The upfront cost for the system is $125,000 payable in 3
equal installments ($41,667) over three years with no interest. The system will save
$15,548 in annual licensing fees and result in significant staff time savings through
better integration of financial system components. For example, the city currently
uses BS&A utility billing software which will interface directly with the BS&A general
ledger system, greatly reducing manual transaction postings.

BUDGET ACTION REQUIRED: None
STAFF RECOMMENDATION: Acceptance of the proposal as submitted by
BS&A software.

COMMITTEE RECOMMENDATION: None.
                                                                       Finance
                                                                       Administration




Memo
To:      City Commission
From: Finance Director
Date: January 25, 2012
Re:      Financial Management Software System



Background

The City’s current financial management system (GEMS) was implemented in 1996 and has
served the City well since that time. Recently, MSGovern (the company that developed and
supports the system) notified us that GEMS support will be phased out over the next few
years. MSGovern is encouraging its current GEMS clients to migrate to another software
platform (Innoprise) that their company has acquired (see attached).

GEMS is the backbone of the City’s financial management system supporting general ledger,
accounts payable, fixed assets, and payroll functions. However, the City also relies on
software from a company called BS&A to support utility billing, tax billing, and building
inspections functions.

           Function                        Current Software                  Proposed Software

            Payroll                        MSGovern/GEMS                          BS&A
 G/L, A/P, A/R, Fixed Assets               MSGovern/GEMS                          BS&A
    Special Assessments                        BS&A                               BS&A
      Cash Receipting                          BS&A                               BS&A
         Utility Billing                       BS&A                               BS&A
  Delinq Personal Property                     BS&A                               BS&A
     Property Tax Billing                      BS&A                               BS&A
         Inspections                           BS&A                               BS&A




z Page 1




O:\FINANCE\PAUL\MyDocuments\MEMO - Replace Financial Management System.doc
Staff has explored options including: 1) migrating to the Innoprise software suite as proposed
by MSGovern, 2) conducting an RFP process and, 3) moving all financial management
functions to the BS&A platform. We believe the most advantageous and most cost-effective
option is to move the current GEMS functions to the BS&A platform.

Benefits and Payback

There are several significant benefits that can be realized by going with the BS&A package:

   x   Time Savings – Having all financial management functions using the same software
       suite would allow better integration of functions. For example, significant staff time
       could be saved by automating transaction processing between utility billing and
       general ledger functions – processing that currently involves manual processing.
       Similar integration could be achieved with the tax billing and general ledger.

   x   Countywide Standardization - BS&A has become the dominant municipal financial
       management software in Muskegon County (see attached). Most recently, the City
       of Norton Shores and Muskegon County have selected BS&A software.
       Standardization of financial management software among county municipalities could
       be an important enabler for future intergovernmental cooperation efforts.

   x   Focus on Michigan – BS&A is a Michigan-based company with the majority of its
       clients being Michigan cities, counties and townships. This means that the BS&A
       software is more in tune with Michigan-specific requirements than software from a
       national vendor might be. For example, BS&A integrates well with the software
       predominantly used for Michigan municipal income tax collections. Similarly, the
       BS&A suite includes modules for Michigan’s required dashboard financial reporting
       and F65 reporting.

   x   Long Term Cost Savings – BS&A licensing and maintenance fees are 50% less than
       for the current GEMS software. Additionally, there is no licensing fee for the first
       year. As the City will likely have the BS&A

                                 Current Cost           BS&A Cost         Annual Savings

           Annual Licensing &
                                   $31,318               $15,770               $15,548
             Support Fees


Upfront Costs

The upfront purchase price for the BS&A system is $125,000 which includes the cost of the
software, data conversion, on-site training for City staff and project management. The pricing
includes a 10% discount due to the fact that we would be making the purchase at the same
time as Muskegon County.

BS&A allows the City to pay the one-time costs over three years at 0% interest. This
equates to three equal annual payments of $41,667.




z Page 2
Recommendation

The City’s budget will be stressed for several years to come and proposing a substantial
outlay for software at this time is certainly not welcome news.

However, the alternative of delaying action and being forced into a change two or three years
from now is worse. Moreover, implementing the BS&A software at this time will better
prepare the City for further staff reductions and intergovernmental cooperation initiatives that
are likely to come.

Staff’s experience with our current BS&A modules has been favorable and we have checked
with several other comparable-sized municipal users (Novi, Royal Oak, Kentwood) who have
all given highly favorable references.

Accordingly, staff recommends that the City Commission approve the attached proposal from
BS&A software.

Thank you.




z Page 3
BS&A Muskegon County Presence
                               Tax &      Financial                  Building
        Municipality         Assessing   Management Utility Billing Department
                              BS&A                                    BS&A
Blue Lake Township
                              BS&A          BS&A         BS&A
Casnovia Township
                              BS&A                                    BS&A
Cedar Creek Township
                              BS&A          BS&A         BS&A         BS&A
Dalton & Egelston Township
                              BS&A          BS&A                      BS&A
Fruitland Township
                              BS&A          BS&A         BS&A
Fruitport Charter Township                                                       Current
                              BS&A                                    BS&A
Holton Township
                              BS&A          BS&A         BS&A         BS&A
Laketon Township
                              BS&A          BS&A                      BS&A
Lakewood Club Village
                              BS&A          BS&A         BS&A         BS&A
Montague City
                                                                                 In Process
                              BS&A
Montague Township
                              BS&A                                    BS&A
Moorland Townshi p
                              BS&A          BS&A         BS&A         BS&A
Muskegon Charter Township
                              BS&A                       BS&A         BS&A
Muskegon City
                              BS&A          BS&A         BS&A
Muskegon County
                              BS&A          BS&A         BS&A         BS&A
Muskegon Heights City
                              BS&A          BS&A         BS&A         BS&A
North Muskegon City
                              BS&A          BS&A         BS&A         BS&A
Norton Shores City
                              BS&A                                    BS&A
Ravenna Township
                                            BS&A         BS&A
Ravenna Village
                              BS&A                       BS&A         BS&A
Roosevelt Park City
                              BS&A          BS&A
Sullivan Township
                              BS&A
White River Township
                              BS&A          BS&A         BS&A         BS&A
Whitehall City
                              BS&A
Whitehall Township
December 1, 2011

Update from MS Govern Executive Team

As previously announced, Harris Computer Systems (“Harris”) acquired software assets of
Innoprise Software, Inc. in April of this year and consolidated them into our MS Govern Business
Unit as our next-generation ERP product offering. This web-based solution includes Financials,
Human Resources & Payroll, Community Development, Utility Billing, Sales Tax, and an integrated
Citizen Access Portal. This Harris-Innoprise ERP suite will enable local governments and
municipal utilities to reduce their cost of service, streamline operations, and improve productivity.
With the addition of this product suite to our portfolio, we’re now able to offer you even MORE
choices of public-sector software to help your organization better service your citizens and improve
overall efficiency.

There are more than 80 government entities using the Harris-Innoprise solution today, and we will
continue to invest in the future of this premier product offering for many years to come. MS
Govern’s GEMS customers will also have the opportunity to migrate from their current software to
the Harris-Innoprise ERP solution under our industry-unique Software for Life program. This
policy enables all Harris customers to upgrade to the latest products by reducing the financial
barriers usually associated with keeping pace with ever-changing software technologies and
infrastructure. Further, under this program, you do not incur licensing fees for same product line
upgrades, and will benefit from greatly reduced licensing fees for transition between flagship product
lines. This means that current MS Govern customers using the Govern GEMS FMS and HRMS
software can upgrade to the Harris-Innoprise ERP solution without paying additional software
license fees provided they are current with their software maintenance and support. Additional
training, data conversion, and implementation services and fees will be necessary to successfully
make this transition.

The choice of when you make the move to the Harris-Innoprise ERP solution is ultimately yours.
We will continue to support and invest in the Govern GEMS Financial and HRMS solutions as long
as you continue to use and enjoy them. This strategy does not affect plans for the Govern
Community Management System (CMS) and delivery of our next generation CMS OpenForms
platform as promised. Additionally, we will continue to develop and promote the CityView
Community Development Suite as a best-of-breed solution.

We are going to make every effort to make the migration from Govern GEMS Financials and
HRMS software to the new Harris-Innoprise ERP solution as simple and easy as possible, while also
being cost-effective and competitive. Our team has had unprecedented success migrating customers
from other legacy ERP solutions to the Innoprise products, and we will leverage that success, skill,
and experience to forge a solid plan and process for all Govern GEMS Financial and HRMS users.

As a valued customer, you will continue to work with the great people you have come to rely on at
MS Govern. We now have more than 120 dedicated employees working across five North


                              www.msgovern.com
American offices who are collectively focused on continually improving service levels,
responsiveness and product quality for you. Within each functional group (Sales, Support,
Professional Services, Technical Services, and Research & Development) we have teams of
employees dedicated to our diverse software products – where they can best deliver the experience,
knowledge, skills and expertise you need. At the same time, the acquisition of Innoprise will provide
our employees and users with many new opportunities to expand, grow and learn.

We know you are anxious to see this new product offering and we will be scheduling web-based
demonstrations open to all FMS and HRMS customers beginning this month, and continuing into
2012.

I encourage you to reach out to your MS Govern representative or account manager if you have
immediate questions.


Sincerely,




Jim Simak,
General Manager
MS Govern



Find out more about our newest Enterprise Resource Planning solution at www.msgovern.com/software/innoprise.




                                 www.msgovern.com
                                                                                                         14965 Abbey Lane
                                                                                                           Bath, MI 48808
                                                                                                      Phone: 517-641-8900
                                                                                                        Fax: 517-641-8960




                                                                                   January 18, 2012

                                                                  Prepared for: City of Muskegon,
                                                                        Muskegon County




                                      Prices good for a period of 90 days from date on proposal.
Financial Management Suite • Assessing & Property Tax Suite • Community Development Suite • Internet Services • Ancillary Applications
                                                                 1
         14965 Abbey Lane, Bath, MI, 48808 • Toll Free: (855) BSA-SOFT • P: (517) 641-8900 • F: (517) 641-8960 • www.bsasoftware.com
                                                                                       14965 Abbey Lane
                                                                                         Bath, MI 48808
                                                                                    Phone: 517-641-8900
                                                                                      Fax: 517-641-8960




                               Proposal to
                   City of Muskegon, Muskegon County


Financial Management Systems
Network License
Prices based on approx. 15,712 parcels

Please Note: To efficiently run these applications the Hardware requirements have increased.     Please
review our required specifications prior to ordering these applications.

General Ledger System                                                                        $12,595

Accounts Payable System                                                                      $10,695

Payroll System                                                                               $13,855

Human Resources System                                                                       $12,595

Timesheets System                                                                             $7,675

Miscellaneous Receivables                                                                    $10,695

Fixed Assets System                                                                          $10,695

10% Discount on Program prices in conjunction with the County purchase                       - $7,880

Data Conversions
(Conversion fees do not include data extraction from your existing software. These services
can be performed by BS & A for a fee of $100/hr.) Data must be received in ASCII format.

Convert existing GEMS data to BSA format.

General Ledger                                                                                $6,000
Accounts Payable                                                                              $4,000
Miscellaneous Receivables                                                                     $4,000
Fixed Assets                                                                                  $4,000
Payroll                                                                                       $8,000


On-Site Training
General Leger                3
Accounts Payable             2
Payroll                      7
Human Resources              2
Timesheets                   1
Miscellaneous Receivables    2
Fixed Assets                 1


                       Prices good for a period of 90 days from date on proposal.
                                                    2
                                                                                         14965 Abbey Lane
                                                                                           Bath, MI 48808
                                                                                      Phone: 517-641-8900
                                                                                        Fax: 517-641-8960



Est. 18 days @ $1,150/day (travel expenses included - billed for actual days used)                 $20,700

Implementation & Project Management                                                                 $7,375
Services include the planning and evaluation of current hardware and network, sources and
format of legacy data, potential integration with existing systems, software installation, data
conversion and training.

* Note: Client has option to pay for programs over multiple budget years, interest free.

Total                                                                                             $125,000




  Please mark the box if you wish to take advantage of our payment plan.
                                                                                          ‰   2 – year
  Payment will be spread over multiple budget years, interest free.




Annual Service and Support
The first year is free, which includes new features and unlimited telephone support for the Equalizer
Systems. Service and support for years 2 and 3 will be as follows, billed annually:

        General Ledger                           $2,520
        Accounts Payable                         $2,140
        Payroll System                           $2,770
        Human Resources                          $2,520
        Timesheets                               $1,540
        Miscellaneous Receivables                $2,140
        Fixed Assets                             $2,140

        Total:                                 $15,770

BS&A Software, Inc. guarantees that the annual fee will not change for 3 years from the date of the
executed Service Agreement issued upon purchase of the system(s). After 3 years from the purchase
date, BS&A Software reserves the right to increase the fee by no more than the cumulative yearly CPI.


Important Proposal Notes:
BS&A Software promises that if you are not satisfied with our products or services after the
first year, you may return the program and we will fully refund the purchase price of your
software.

* Prices above DO NOT include: Program Customization or Training beyond the estimated days

* Dot-Matrix printers are not compatible with the .Net Programs’




                         Prices good for a period of 90 days from date on proposal.
                                                      3
                                                                                          14965 Abbey Lane
                                                                                            Bath, MI 48808
                                                                                       Phone: 517-641-8900
                                                                                         Fax: 517-641-8960




                                                                           Recommendation:
          SQL Server - Based on user count, the version of SQL that
          BS&A Software recommends is as follows. Please see the
                                                                           o   Standard Edition
          attached Microsoft SQL pricing list, which includes
                                                                           o   Enterprise Edition
          Governmental Reseller contact information.




Internet & Server Considerations:
*We strongly recommend you have Internet Access. This allows you to:
    a) Download BS&A Software .NET Program Updates as soon as they become available. This can save
    you several days of transit time when you are waiting for a new features you may have requested.
    b) Send email to our web site when you have questions or comments about our software and service.
*We strongly recommend you have a network with a dedicated file Server…not a Peer-to-Peer Network.
Peer-to-Peer Networks are typically less stable and more prone to problems as compared to networks with
dedicated file servers. Our software runs much more efficiently on networks with a dedicated file server.
See our Hardware Specifications for more details.




Signature below constitutes:
1) An order for products & services as quoted in this proposal
2 That you have read and concur with the hardware specifications required to efficiently operate
the .Net applications.


Quoted by:             Steve Rennell                                   ,       January 18, 2012

Accepted by:                                                           ,       Date:




                        Prices good for a period of 90 days from date on proposal.
                                                     4
                                                                                       14965 Abbey Lane
                                                                                         Bath, MI 48808
                                                                                    Phone: 517-641-8900
                                                                                      Fax: 517-641-8960




Please complete the following for our records

Contact Person for SUPPORT & NEWSLETTERS:
Contact Name __________________                      _Title__________________________________
Mailing Address                                      ______________________________________
(if PO Box, please provide Street Address for UPS or Overnight Mail Shipments)
Street Address
City, State Zip
Phone Number                                          Fax Number
Email


Contact Person for PROGRAM UPDATES:
Contact Name _____________________                   Title___________________________________
Phone Number
Email


IT Contact Person:
Contact Name ______________________                  Title___________________________________
Phone Number
Email
                                      Please Fax Back All Pages




                       Prices good for a period of 90 days from date on proposal.
                                                    5
          Commission Meeting Date: February 14, 2012




Date:        January 30, 2012
To:          Honorable Mayor & City Commission
From:        Planning & Economic Development Department
RE:          PILOT Request (Bayview Towers)- Ordinance
             Amendment, Second Reading


SUMMARY OF REQUEST: Carl Skrzynski is Vice President of American Community
Developers, Inc., which has purchased Bayview Towers in Muskegon. There is
currently a PILOT for Bayview Towers which was approved in January 1980. Mr.
Skrzynski intends to keep the existing Section 8 status of the housing development
and is requesting an extension of the PILOT from the City. Since an alternative form
of financing is being sought for this project, not currently included in the PILOT
Ordinance, an amendment is necessary to the Ordinance. In addition, the owner is
requesting the PILOT for a maximum of 40 years and the current Ordinance only
allows for 25 years. The Commission approved the Ordinance Amendment on
January 24 by a 4-3 vote. Therefore, it is necessary to have a second reading. In
addition, the ordinance amendment approved by the Commission on January 24th
gave only 24 months for the developer to obtain MSHDA financing. In actuality, it
should be 27 months (Section 82-50 (4) (4)- attached).

FINANCIAL IMPACT: The Ordinance amendment would allow for a greater number
of years, which would increase the number of years that the City would not receive
full taxes for the property.

BUDGET ACTION REQUIRED: None.

STAFF RECOMMENDATION: If the City Commission agrees that the PILOT is
necessary for this property, staff recommends that the attached Ordinance
amendment be approved and the Clerk be authorized to sign the necessary
documents.
          Commission Meeting Date: February 14, 2012




Date:        January 30, 2012
To:          Honorable Mayor & City Commission
From:        Planning & Economic Development Department
RE:          PILOT Request (Bayview Towers)- Contract
             Revision


SUMMARY OF REQUEST: The PILOT Contract between Bayview Partners Limited
Dividend Housing Association L.L.C. and the City of Muskegon was approved by the
City Commission on January 24, 2012. However, the length of time allowed for the
developer to obtain a reservation of low income housing tax credits, or an Authority
loan commitment or a HUD-insured loan should have read “twenty seven months”,
not “two years”. The updated Contract is attached.

FINANCIAL IMPACT: With the current PILOT, the owner of Bayview Towers pays
approximately $91,000 a year (Shelter Rent Payment of $34,000 and City Service
Charge Payment of $57,000). If this property were to return to traditional property
taxes, the owner would pay approximately $282,902 for a year (see attachment).
Therefore, there is a difference of approximately $191,902 a year.

BUDGET ACTION REQUIRED: None.

STAFF RECOMMENDATION: To approve the revised Contract and authorize the
Mayor and Clerk to sign.

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