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CITY OF MUSKEGON DOWNTOWN DEVELOPMENT AUTHORITY (“DDA”) REGULAR MEETING DATE OF MEETING: Tuesday, May 12, 2020 TIME OF MEETING: 10:30 A.M. PLACE OF MEETING: ZOOM (Planning Commissioners and presenters) & Facebook Live/Phone Number (public) – Facebook page is “City of Muskegon Government.” Call-In phone number for public is (231) 286-7650 ______________________________________________________________________________ AGENDA I. Roll Call II. Approval of the regular meeting minutes of March 10, 2020 III. Brownfield plan amendment, 1000 West Western, Harbor West LLC (Hartshorn Village)/staff Dave Alexander IV. DDA financial report -- Finance Director Beth Lewis (info will be provided @ meeting) V. Economic development-events report – DDA manager Dave Alexander VI. Other VII. Adjourn AMERICAN DISABILITY ACT POLICY FOR ACCESS TO OPEN MEETING OF THE CITY COMMISSION AND ANY OF ITS COMMITTEES OR SUBCOMMITTEES The City of Muskegon will provide necessary reasonable auxiliary aids and services, such as signers for the hearing impaired and audio tapes of printed materials being considered at the meeting, to individuals with disabilities who want to attend the meeting, 24- hour notice to the City of Muskegon. Individuals with disabilities requiring auxiliary aids or services should contact the City of Muskegon by writing or calling the following: Ann Marie Cummings, City Clerk at 933 Terrace Street, Muskegon, MI 49440 or by calling (231) 724-6705 or TTY/TDD: Dial 7-1-1 and request that representative dial 231-724-6705 CITY OF MUSKEGON DOWNTOWN DEVELOPMENT AUTHORITY (DDA) / BROWNFIELD REDEVELOPMENT AUTHORITY (BRA) SPECIAL MEETING MINUTES March 10, 2020 Chairperson M. Bottomley called the meeting to order at 10:30 AM and roll was taken. MEMBERS PRESENT: M. Kleaveland, J. Moore, H. Sytsema, M. Johnson, F. Peterson, F. DePung, D. Kalisz, M. Bottomley, J. Wallace Jr MEMBERS ABSENT: Excused: J. Riegler, D. Pollock, B. Hastings, P. Edbrooke STAFF PRESENT: D. Alexander, Downtown Manager; L. Mikesell, Director of Development Services; D. Renkenberger, Administrative Assistant OTHERS PRESENT: B. Chapla; S. Musselman for The Docks; J. Edwards, Rockford Construction; J. Canale, 12150 Cross Creek Dr, Spring Lake; C. Benedict, 370 Mid Oak Dr, N. Muskegon., J. Schrier, City Attorney APPROVAL OF MINUTES A motion to approve the regular meeting minutes of November 19, 2019 and the special meeting minutes of February 27, 2020 was made by J. Moore, supported by F. Peterson and unanimously approved. BROWNFIELD REDEVELOPMENT AUTHORITY BUSINESS Brownfield Plan Amendment for 372 Morris Avenue (Foundry Square) by GLDG - Rockford Construction. D. Alexander provided background information on this request. Foundry Square LLC submitted a Brownfield Plan Amendment application for a $34 million, mixed-use urban development on 7 acres at 372 Morris Ave. The site formerly housed a coal gasification plant as well as other industrial uses over the decades. It was later capped and used as a surface parking lot, previously owned by the Community Foundation for Muskegon County after the closure and demolition of the former downtown Muskegon Mall. The first phase of the new development includes an 82-room hotel, four-story 240-space parking deck, 40,000 square foot family entertainment center, and public infrastructure; planned for the second phase are retail and residential mixed uses. The hotel and commercial uses could generate 140 new jobs. The Foundry Square project – depending on retail uses attracted to downtown–is strategically located between Western Avenue and Shoreline Drive overlooking Muskegon Lake, and has the potential to take downtown redevelopment to a much higher level.. D. Alexander went on to explain the financial details of the project and Brownfield application. The development team is seeking tax increments from local, school operating and state education property taxes and will also need approval of the Michigan Strategic Fund Board. The developer and city staff have reviewed the plan with state officials from EGLE and the MEDC. The total estimate of eligible costs is $13.3 million--$1.75 million for EGLE (environmental) costs and Michigan Strategic Fund (redevelopment) costs $10.56 million with both categories having a 10 percent contingency. A critical element of the environmental work is installation of a vapor mitigation system on the site, which has already had a state-approved environmental cleanup. The major element of the development work is an $8.4 million parking deck, the first such facility proposed for downtown Muskegon since the closure of the Muskegon Mall. The public right-of-way improvements of streets, sanitary and storm sewers, water lines, sidewalks, curbs, gutter, lighting and streetscape upgrades with the extension of Second Street into the development will be completed by the developer to city specifications. The infrastructure improvements are eligible costs paid for through tax increments and eventually deeded to the city as public facilities. The plan contemplates paying off eligible costs in 2045 with the remaining five years of tax increments being placed in the city’s Local Brownfield Revolving Fund. The plan calls for annual Brownfield Redevelopment Authority administrative fees of $10,000 for the 30-year duration of the plan, which is within the allowable amount. The plan does not request reimbursement of interest on borrowing for eligible costs not immediately covered by tax increments. Several city departments have reviewed the Brownfield plan amendment along with the city attorney, and staff recommends approval of the request. Once approved by the BRA, the request will go to the City Commission for their approval. J. Edwards of Rockford Construction stated that they were partnering with Great Lakes Development Group (GLDG) on this project. They had been working with city staff over the past months on the site layout. They planned phased approach, with a hotel, family entertainment center, and parking included in the initial phase. They had been working with Nederveld on meeting the Form Based Code requirements for the site. Being the former location of a MichCon plant, the site was quite contaminated, and the Brownfield plan amendment would help with the cost of environmental issues, keeping flexibility in mind. J. Canale was part of GLDG. He stated that the hotel and family entertainment center would be operated by a hotel group out of Grand Rapids, with the entertainment center consisting of dining, an arcade, and bowling. M. Johnson asked if there was a timeline for completion. J. Edwards estimated a 6 to 7-year buildout for the entire 7-acre project. C. Benedict of GLDG stated that the later project phases would driven by the market. M. Kleaveland asked about the timeline for the extension of 2nd St. J. Schrier stated that it would start with Phase I. J. Wallace Jr arrived at 10:44 AM. H. Sytsema asked if the parking structure would be available for other downtown parking. J. Edwards stated that they needed 240 spaces to cover parking for their site but there should be some room left for additional public parking. Included in board members’ meeting packet was a “Resolution Approving Revised Brownfield Plan Amendment” for this project (Foundry Square at 372 Morris Ave). D. Alexander requested a motion to approve or deny the resolution. A motion to approve the resolution for the Brownfield Plan Amendment for Foundry Square LLC at 372 Morris Ave. and to request a public hearing before the Muskegon City Commission to have the City Commission consider adoption of the plan, was made by H. Sytsema, supported by D. Kalisz and unanimously approved, with M. Kleaveland, J. Moore, H. Sytsema, M. Johnson, F. Peterson, F. DePung, D. Kalisz, M. Bottomley, and J. Wallace Jr voting aye. The Docks Development and Reimbursement Agreement - Jared Belka for Damfino Development. D. Alexander provided background information on this request. Damfino Development LLC has submitted a Development and Reimbursement Agreement for the approved Brownfield Plan for The Docks, a residential development on the former Pigeon Hill sand dune property near 1490 Edgewater. To summarize the project, Damfino Development received approval of a local-only tax capture Brownfield plan for the former Pigeon Hill sand mine property at the west end of Muskegon Lake. Plans are for 240 residential site condominiums needing $18.5 million in initial private capital. The 30- year plan identifies $20,097,500 in eligible expenses plus interest on borrowing until tax increments pay for the expenses. Part of eligible expenses is of an estimated $3 million for public infrastructure for the city’s construction of the traffic circle at Beach Street and Lakeshore Drive, improvements to Edgewater Street and other streets surrounding the development. The plan estimates The Docks would create $111.4 million in new property value in the city after 30 years. The plan also includes an annual $10,000 administrative fee to the city. If the 30-year plan pays off expenses early, the city could receive up to five years of additional tax capture for a brownfield revolving fund. The reimbursement to the developer vs. city would be done on a prorated basis with 82.5 percent to the developer and 17.5 percent to the city. The developer and city will provide the BRA with a request for payment of eligible expenses. The BRA has 30 days to approve the request. Payments are made on a semi-annual basis when incremental local taxes are captured and available. Several city departments have reviewed the Development & Reimbursement Agreement along with the city attorney and staff recommends approval. S. Musselman provided an update on the project. There had been no changes, and developers continued to work on a state permit for wetland mitigation. They were also working on vacating the end of Edgewater St which had to go through Circuit Court. Once those issues were resolved, they could begin construction. M. Bottomley asked when construction on the roundabout would begin. F. Peterson stated that it would begin in about 30 days, to cause minimal traffic disruption during the busy summer season. H. Sytsema asked if the wetland issue could derail the project. S. Musselman stated that it would not, but they may have to do additional mitigation. A motion to approve the Development & Reimbursement Agreement for the approved Brownfield Plan for The Docks and Damfino Development LLC was made by F. Peterson, supported by M. Kleaveland and unanimously approved, M. Kleaveland, J. Moore, H. Sytsema, M. Johnson, F. Peterson, F. DePung, D. Kalisz, M. Bottomley, and J. Wallace Jr voting aye. DOWNTOWN DEVELOPMENT AUTHORITY BUSINESS DDA Financial Report -- Finance Director B. Lewis distributed updated budget information. As expected, there was not much discretionary income this year. M. Kleaveland asked if the County debt payment was taken care of. B. Lewis stated that it had been paid off; she hoped to be able capture the balance next year. J. Wallace asked what the DDA could expect for tax increment revenue next year. B. Lewis stated that that information would not be available until June or July, once the Board of Review was done and any adjustments had been made. Business Improvement District (BID) Update – D. Alexander updated members on BID business per discussions that had taken place at the BID board’s February meeting. The BID was currently scheduled to expire on 12/31/20. They were in the process of working a BID plan for a scaled-down area for the next 3 years. Downtown Marketing and Events – D. Alexander provided a list of downtown events scheduled to date and a list of cruise ship visits. At this time, it was unknown how the coronavirus might affect these events. Economic development / Events report – D. Alexander provided an update on downtown projects in process and in the planning stages. OTHER None There being no further business, the meeting was adjourned at 11:40 AM. Muskegon Brownfield Development Authority: Agenda item for 5-12-20 Harbor West LLC, 1000-1010-1060 West Western Ave. Hartshorn Village Brownfield Plan Amendment Requesting party: Harbor West LLC Outline of the request: Harbor West LLC has submitted a Brownfield Plan Amendment for residential site condominiums on an initial 3.01 acres adjacent to the city of Muskegon’s Hartshorn Marina at 1000, 1010 and 1060 West Western Ave. along the city’s Lakeshore Trail. The investment in the first phase is estimated at $5+ million. Background: A former employee parking lot of the Shaw-Walker Co. was sold by the city of Muskegon to Harbor West LLC in 2018 for a residential site condominium project. This initial Brownfield Plan Amendment is for the first 10 new market-rate, single-family homes. Plans for the property and that of Fricano Place to the west are to expand the development to approximately 50 home sites as the market demands. The site sits along the Lakeshore Trail, adjacent to Hartshorn Marina. The high-end, waterfront residential project is a key kick off to the redevelopment of the Western Waterfront. A key element of this initial plan are Hartshorn Marina upgrades and improvements. Staff comments: 1. An Envirologic report finds the site environmentally meets the definition of a “facility” under the state’s Brownfield Act 451. 2. This plan is for $5.597 million in eligible costs. It is a local-only property tax capture plan, although through statute the plan is eligible for $2,429 for eligible environmental costs captured by state educational millage through EGLE. There is no need for state approval. 3. The EGLE eligible environmental costs are $250,000, demolition $19,500, site preparation $626,000 and infrastructure improvements of $3.946 million. The infrastructure includes typical roads, utilities but mostly city improvements to the public boat launch, marina dock system and pool/clubhouse (joint use marina/condos). Those public marina costs are the majority of the infrastructure at $3.502 million. 4. The initial capture for phase one is estimated at $2.168 million over the 30 years. Subsequent phases are expected to bring further plan amendments to the BRA that would cover all eligible costs within the plan’s timeframe. 5. In a sales and development agreement between the city and Harbor West LLC in August 2018, the parties agreed that the city would provide the buyer up to $600,000 for brownfield eligible costs. When the brownfield plan tax capture begins the city would receive the first $600,000 in plan revenue. After the city’s costs are covered, the remainder of Harbor West’s eligible costs would be paid from tax capture with the city’s marina upgrade costs being paid last. The agreement between the city and Harbor West LLC will be reflected in the subsequent development and reimbursement agreement the BRA would consider. 6. There is a 15 percent contingency in the plan. There is no request for interest on borrowing being included as an eligible cost. The plan contemplates continued five-year capture of tax increments for a local Brownfield Revolving Loan Fund if there is time left in the 30-year plan after eligible costs are covered. 7. There is an annual $10,000 administrative fee paid to the BRA. Staff recommendation: City staff has reviewed the Harbor West LLC brownfield plan amendment and staff recommends approval. Suggested motion: I move to approve/disapprove the resolution for the Brownfield Plan Amendment for Harbor West LLC (Hartshorn Village) at 1000- 1010-1060 West Western Ave. If approved, I move to request a public hearing before the Muskegon City Commission and to have the City Commission consider adoption of the plan. CITY OF MUSKEGON BROWNFIELD REDEVELOPMENT AUTHORITY BROWNFIELD PLAN AMENDMENT FOR THE HARBOR WEST, LLC DEVELOPMENT PROJECT May 7, 2020 Original Plan Approved by the Board of the City of Muskegon Brownfield Redevelopment Authority on February 23, 1998, with subsequent amendments approved as outlined below. This amendment approved on ______________. Original Plan Approved by the City Commission of the City of Muskegon on April 14, 1998, with subsequent amendments approved as outlined below. This amendment approved on ________________. City of Muskegon Brownfield Plan Amendment Harbor West, LLC Development Project CITY OF MUSKEGON BROWNFIELD REDEVELOPMENT AUTHORITY BROWNFIELD PLAN INDEX I. INTRODUCTION II. GENERAL PROVISIONS A. Costs of the Brownfield Plan B. Method for Financing Costs of Plan C. Duration of the Brownfield Plan D. Displacement/Relocation of Individuals on Eligible Properties E. Local Site Remediation Revolving Fund III. SITE SPECIFIC PROVISIONS A. Kirksey/Anaconda Property (Approved 4/14/98) B. Dilesco Corporation Property (Approved 8/11/98) C. Beacon Recycling (Approved 7/11/00) D. Verplank Dock Company (Approved 5/27/03) E. Gillespie Development Property (Approved 8/12/03) F. Loft Properties, LLC Property (Approved 8/12/03) G. Parmenter O’Toole Property (Approved 8/12/03) H. “The WaterMark” Project (Approved 5/25/04) I. Northern Machine Tool (Approved 7/13/04) J. Terrace Lots Office Building (Approved 7/13/04) K. Art Works Apartments (Approved 7/27/04) L. Former Muskegon Mall (Approved 10/12/04) M. Vida Nova at Edison Landing (Approved 10/24/06) N. Western Ave. Properties LLC and Port City Development Services, LLC (Approved 10/24/06) O. Viridian Place at Edison Landing (Approved 10/24/06) P. Hot Rod Harley (Approved 3//27/07) Q. Sidock Building Project (Approved 6/12/07) R. Heritage Square Town Homes (Approved 1/8/08) S. Betten Auto Dealerships (Approved 5/13/08) T. Parkland Muskegon Mixed Use Project (Approved 6/24/08) U. Terrace Point Landing Redevelopment Project (Approved 5/14/13) V. P&G Holdings NY, LLC (Approved 1/10/17) W. Sweetwater Development/The Leonard (Approved 3/12/19) X. 1208 Eighth/Core Development (Approved 10/8/19) Y. Damfino Development, LLC (12/10/19) Z. Harbor West, LLC Development Project (____) ii 5/7/2020 City of Muskegon Brownfield Plan Amendment Harbor West, LLC Development Project I. INTRODUCTION In order to promote the revitalization of commercial, industrial, and residential properties within the boundaries of the City of Muskegon (the “City”), the City established the City of Muskegon Brownfield Redevelopment Authority (the “Authority”) pursuant to Act 381, Public Acts of Michigan, as amended (“Act 381”) and a resolution adopted by the Muskegon City Commission on February 10, 1998. Terms defined in Act 381 and applicable sections of the statute are noted in italics throughout this document. This Brownfield Plan (“Plan”) was originally intended to address the redevelopment of eligible properties within the City that are impacted by the presence of hazardous substances in concentrations that exceed Michigan’s Part 201 Generic Cleanup Criteria (“facilities”) or that have been determined to be Functionally Obsolete or Blighted. By facilitating redevelopment of underutilized eligible properties, the Plan is intended to promote economic growth for the benefit of the residents of the City and all taxing units located within and benefited by the Authority. This Plan is intended to be a living document, which can be amended as necessary to achieve the purposes of Act 381. It is specifically anticipated that properties will be continually added to the Plan as new projects are identified. The Plan contains general provisions applicable to the Plan, as well as property-specific information for each project. The applicable Sections of Act 381 are noted throughout the Plan for reference purposes. This Brownfield Plan contains the information required by Section 13(2) of Act 381, as amended. Additional information is available from the Muskegon City Manager or the Director of Planning and Economic Development. II. GENERAL PROVISIONS A. Costs of the Brownfield Plan (Section 13(2)(a)) Any site-specific costs of implementing this Plan are described in the site-specific section of the Plan. Site-specific sources of funding may include tax increment financing revenue generated from new development on eligible brownfield properties, state and federal grant or loan funds, and/or private parties. Where private parties finance the costs of eligible activities under the Plan, tax increment revenues may be used to reimburse the private parties. The initial costs related to preparation of the Brownfield Plan were funded by the City’s general fund. Subsequent amendments to the Plan may be funded by the person requesting inclusion of a project in the Plan, and if eligible, may be reimbursed through tax increment financing. The Authority intends to pay for administrative costs and all of the things necessary or convenient to achieve the objectives and purposes of the Authority with fees charged to applicants to be included in the Plan, and any eligible tax increment revenues collected pursuant to the Plan, in accordance with the provisions of Act 381, including, but not limited to: i) the cost of financial tracking and auditing the funds of the Authority, 1 5/7/2020 City of Muskegon Brownfield Plan Amendment Harbor West, LLC Development Project ii) costs for amending and/or updating the Plan, including legal fees, and iii) costs for Plan implementation Tax increment revenues that may be generated and captured by this Plan are identified in the site-specific sections of this Plan. B. Method for Financing Costs of Plan and Bonded Indebtedness (Section 13(2)(d) and (e)) The City or Authority may incur some debt on a site-specific basis. Please refer to the site-specific section of this Plan for details on any debt to be incurred by the City or Authority. When a property proposed for inclusion in the Plan is in an area where tax increment financing is a viable option, the Authority intends to enter into Development and Reimbursement Agreements with the property owners/developers of properties included in the Plan to reimburse them for the costs of eligible activities undertaken pursuant to the Plan. Financing arrangements will be specified in the Development and Reimbursement Agreement, and also identified in the Site Specific section of the Plan. C. Duration of the Brownfield Plan (Section 13(2)(f)) The Plan, as it applies to a specific eligible property, shall be effective up to five (5) years after the year in which the total amount of any tax increment revenue captured is equal to the total costs of eligible activities attributable to the specific property, or thirty (30) years from the date of first tax capture under the Plan as it relates to an individual site, whichever is less. The total costs of eligible activities include the cost of principal and interest on any note or obligation issued by the Authority to pay for the costs of eligible activities, the reasonable costs of a Work Plan, the actual costs of the Michigan Environmental Great Lakes & Energy or Michigan Strategic Fund’s review of the Work Plan and implementation of the eligible activities, as applicable. D. Displacement/Relocation of Individuals on Eligible Properties (Section 13(2)(i),(j)(k)(l) At this time, eligible properties identified in the Plan do not contain residences, nor are there any current plans or intentions by the City for identifying eligible properties that will require the relocation of the residences. Therefore the provisions of Section 13(2)(i-l) are not applicable at this time. E. Local Site Remediation Revolving Fund (Section 8; Section 13(5)(b)) Whenever the Plan includes a property for which taxes will be captured through Tax Increment Financing (TIF) provided by Act 381, it is the Authority's intent to establish a Local Brownfield Revolving Fund ("Fund"). The Fund will consist of tax increment revenues that exceed the costs of eligible activities incurred on an eligible property, as specified in Section 13(5) of Act 381. Section 13(5) authorizes the capture of TIF from an eligible property for up to 5 years after the time that capture is required for the purposes of reimbursing the costs of eligible activities identified in the Plan. It is the intention of the Authority to continue to capture tax increment revenues for 5 years after eligible activities are funded from those properties identified for tax capture in the Plan, 2 5/7/2020 City of Muskegon Brownfield Plan Amendment Harbor West, LLC Development Project provided that the time frame allowed by Act 381 for tax capture is sufficient to accommodate capture to capitalize a Fund. The amount of school operating taxes captured for the Fund will be limited to the amount of school operating taxes captured for eligible department specific activities under the Plan. It may also include funds appropriated or otherwise made available from public or private sources. The Fund may be used to reimburse the Authority, the City, and private parties for the costs of eligible activities at eligible properties and other costs as permitted by Act 381. It may also be used for eligible activities on an eligible property for which there is no ability to capture tax increment revenues. The establishment of the Fund will provide additional flexibility to the Authority in facilitating redevelopment of brownfield properties by providing another source of financing for necessary eligible activities. III. SITE SPECIFIC PROVISIONS Z. Harbor West, LLC Development Project Eligibility and Project Description (Sec. 13(2)(h)) Project Description Harbor West, LLC (“Harbor West”) intends to develop approximately 3.01 acres of land located at 1000, 1010 and 1060 West Western Avenue in Muskegon, MI (the “Property”) into residential site condominiums (the “Project”). The Project will include the construction of an initial ten (10) new market-rate site condominiums, associated site improvements and marina improvements to the adjacent Hartshorn Marina located at 920 West Western Avenue (“Marina Property”). The Project will include department specific activities, demolition, site preparation and infrastructure improvement activities in order to prepare the Property and Marina Property for redevelopment. A proposed site plan is included in Attachment Z-2. It is anticipated that the Plan will be amended at a later date to include additional costs for future phases of development. The estimated total capital investment to complete Phase I of the Project is estimated to be approximately $5+ million. The eligible property included in this Plan consists of four parcels of property totaling 15.41 acres in the City of Muskegon, Michigan (see Attachment Z-3). This eligible property includes all existing real and all new taxable personal property. Eligibility The 1000 West Western property meets the definition of a “facility” as defined by Part 201 of Natural Resources and Environmental Protection Act (Act 451 of 1994) due to the presence of select metals found in shallow soil intervals that are consistent with area- wide contaminated historical fill. Total mercury, copper, arsenic, selenium, and silver were detected in shallow soil throughout the area exceeding the groundwater surface water interface protection criteria, while arsenic concentrations also exceeding the residential drinking water and direct contact criterion. The 920, 1010 and 1060 West 3 5/7/2020 City of Muskegon Brownfield Plan Amendment Harbor West, LLC Development Project Western parcels are adjacent and contiguous to the 1000 West Western property and development of these parcels is expected to increase its taxable value. Therefore, the parcels are considered “eligible property” under Act 381. Eligible Activities, Financing, Cost of Plan (Sec. 13(2)(a), (b), (c), (g)) It is intended that the amended Plan shall provide for reimbursement of eligible activities conducted on the Property and Marina Property, including department specific activities (i.e. Phase I and II Environmental Site Assessment and Due Care), demolition, site preparation, infrastructure improvements, brownfield plan/work plan preparation and development, including all associated professional fees. TIF revenues generated from the Project will first be used to reimburse the cost of eligible activities undertaken by the developer and City of Muskegon, in accordance with a development and reimbursement agreement to be executed by the parties. Following full reimbursement of the eligible activities included in this Plan, TIF generated by the Property may be used for any other purpose allowable under Act 381 and the Plan. The following are eligible activities that may be reimbursed through TIF revenues: 1. Department Specific Activities: Activities necessary for the developer to undertake its environmental due diligence, and any necessary costs related to Due Care obligations, including preparation of a Due Care Plan and implementation of Due Care Response Activities and Phase I, II and BEAs. Vapor barriers and mitigation systems, demarcation markers, contaminated soil excavation, transportation and disposal, environmental investigations and oversight. Costs are estimated at $250,000. 2. Demolition: Demolition will include removal of existing pavement, curbs, gutters and site improvements. Demolition is necessary in order to prepare the project for the proposed development. Demolition activities costs are estimated at $19,500. 3. Site Preparation: Site Preparation on the Property will include mobilization & demobilization, erosion control activities, dewatering, temporary traffic & construction signage, staking, clearing and grubbing, temporary facility, temporary site control, utility relocation, cut and fill, soil compaction and sub- base, mass grading/land balancing, unstable soil removal and backfill, geotechnical engineering, special foundations, and retaining walls. Site Preparation activities costs are estimated at $626,000. 4. Infrastructure Improvements: Infrastructure Improvements will include new water main, sanitary and storm sewer systems, walkways, bike paths, roadways, curb and gutter, gas and electric lines, public marina improvements, including a pool and a clubhouse. Infrastructure Improvement activities costs are estimated at $3,946,000. 5. Contingency: A 15% contingency is included to cover unexpected cost overruns encountered during construction totaling $726,225. 4 5/7/2020 City of Muskegon Brownfield Plan Amendment Harbor West, LLC Development Project 6. Brownfield/Work Plan Preparation and Development: Costs incurred to prepare and develop this brownfield plan is estimated at $30,000. An estimate of the captured taxable value and tax increment revenues, which includes the impact on the taxing jurisdictions, is attached as Attachment Z-5. Effective Date of Inclusion in Brownfield Plan The Harbor West LLC Development Project was added to this Plan on ________. It is intended the duration of the Plan capture is the lesser of the full reimbursement of eligible activities or 30 years with capture beginning in 2021. 17011359 5 5/7/2020 City of Muskegon Brownfield Plan Amendment Harbor West, LLC Development Project ATTACHMENT Z-1 SITE MAP HARBOR WEST, LLC REDEVELOPMENT PROJECT 6 5/7/2020 City of Muskegon Brownfield Plan Amendment Harbor West, LLC Development Project 7 5/7/2020 City of Muskegon Brownfield Plan Amendment Harbor West, LLC Development Project ATTACHMENT Z-2 PROPOSED SITE PLAN HARBOR WEST, LLC DEVELOPMENT PROJECT 8 5/7/2020 City of Muskegon Brownfield Plan Amendment Harbor West, LLC Development Project ATTACHMENT Z-3 LEGAL DESCRIPTION Parcel 4: THOSE PARTS OF BLOCKS 574 AND 575, REVISED PLAT (OF 1903) OF THE CITY OF MUSKEGON, MUSKEGON COUNTY, MICHIGAN, DESCRIBED AS FOLLOWS: COMMENCING AT THE SOUTHEASTERLY CORNER OF BLOCK 574 OF SAID REVISED PLAT (OF 1903) OF THE CITY OF MUSKEGON; THENCE NORTH 88°43’ WEST 270.42 FEET (M=NORTH 84°41’53” WEST 270.27 FEET) TO A POINT ON THE NORTHERLY LINE OF WEST WESTERN AVENUE FOR A POINT OF BEGINNING; THENCE WESTERLY ALONG THE NORTHERLY LINE OF WEST WESTERN AVENUE 457.28 FEET (M=NORTH 80°29’18” WEST 457.02 FEET); THENCE NORTH 2°04’ WEST 492.92 FEET; THENCE SOUTH 47°05’ EAST 236.7 FEET; THENCE CONTINUING SOUTH 47°04’ EAST TO A POINT 100 FEET NORTH OF AND NORTH 1°40’ WEST OF THE POINT OF BEGINNING. TOGETHER WITH THE C & O RAILWAY COMPANY RIGHT OF WAY RUNNING THROUGH THE ABOVE DESCRIBED PARCEL, EXCEPT THAT PART WHICH WAS DEEDED TO THE CITY OF MUSKEGON AS RECORDED IN LIBER 2138, PAGES 751 AND 752. Property Address: 1000 W. Western Avenue, Muskegon, Michigan Tax Parcel No.: 61-24-205-574-0001-10 9 5/7/2020 City of Muskegon Brownfield Plan Amendment Harbor West, LLC Development Project Property Address: 1010 W. Western Avenue, Muskegon, Michigan Tax Parcel No.: 61-24-205-574-0001-15 Property Address: 1060 W. Western Avenue, Muskegon, Michigan Parcel: #61-24-205-574-0001-05 Parcel 1: All that part of Block 574 and 575 of the Revised Plat (of 1903) of the City of Muskegon, lying Northerly and Easterly of the following described boundary lines: (EXCEPT the right of way of the Chesapeake and Ohio Railway Co.) Commence at an iron bolt (original) located at the Southeast corner of Block 574 of the Revised Plat of the City of Muskegon, Muskegon County, Michigan; thence North 88°43' West 270.42 feet for a place of beginning; thence North 1°40' West 345.42 feet; thence North 84°6' West 290.81 feet; thence North 47°5' West 236.7 feet; thence North 2°4' West 175.2 feet; thence South 87°55' West 866.7 feet to an iron stake; thence North 37° West 730 feet; thence North 48° West to the thread of the stream in Muskegon Lake, for the place of ending of said lines. EXCEPT FROM PARCEL 1: BIKE PATH WEST DESCRIPTION: THAT PART OF BLOCK 574 OF THE REVISED PLAT OF 1903 OF THE CITY OF MUSKEGON, DESCRIBED AS: COMMENCING AT THE SOUTHEAST CORNER OF SAID BLOCK 574; THENCE NORTH 10 5/7/2020 City of Muskegon Brownfield Plan Amendment Harbor West, LLC Development Project 88'13'54" WEST 270.33 FEET TO A POINT ON THE NORTH RIGHT- OF-WAY LINE OF WESTERN AVENUE; THENCE NORTH 83'55'00" WEST ALONG SAID NORTH RIGHT-OF-WAY LINE 456.97 FEET; THENCE NORTH 01'31'44" WEST 470.34 FEET TO THE POINT OF BEGINNING; THENCE NORTH 46'32'44" WEST 257.11 FEET; THENCE SOUTH 88'27'16" WEST 684.39 FEET; THENCE NORTH 01'31'44" WEST 16.00 FEET; THENCE NORTH 88'27'26" EAST 691.04 FEET; THENCE SOUTH 46'32'44" EAST 247.70 FEET; THENCE SOUTH 01'31'44" EAST 22.62 FEET TO THE POINT OF BEGINNING. BIKE PATH EAST DESCRIPTION: THAT PART OF BLOCK 574 OF THE REVISED PLAT OF 1903 OF THE CITY OF MUSKEGON, MUSKEGON COUNTY, MICHIGAN, DESCRIBED AS COMMENCING AT THE SOUTHEAST CORNER OF SAID BLOCK 574; THENCE NORTH 88'13'54" WEST 270.33 FEET TO A POINT ON THE NORTH RIGHT OF WAY LINE OF WESTERN AVENUE; THENCE NORTH 01'09'31" WEST 100.00 FEET; THENCE NORTH 46'31'44" WEST 118.61 FEET TO THE POINT OF BEGINNING; THENCE NORTH 61'45'12" WEST 60.93 FEET; THENCE NORTH 46'31'44" WEST 227.22 FEET;THENCE NORTH 46'32'44" WEST 220.80 FEET; THENCE NORTH 01'31'44" WEST 22.62 FEET; THENCE SOUTH 46'32'44" EAST 236.79 FEET; THENCE SOUTH 46'31'44" EAST 286.01 FEET TO THE POINT OF BEGINNING. Parcel 2: Part of Blocks 574 and 575, as follows: Commence at the Southeast corner of Block 574 of the Revised Plat (of 1903) of the City of Muskegon, Muskegon County, Michigan; thence North 88°43' West 270.42 feet to the North line of West Western Avenue; thence Westerly along the North line of West Western Avenue 457.28 feet; thence North 2°04' West 492.92 feet to the place of beginning; thence North 2°04' West 175.2 feet; thence South 87°55' West 175.2 feet; thence South 47°05' East 247.75 feet to the place of beginning. ALSO: Commence at the Southeast corner of Block 574 of the Revised Plat (of 1903) of the City of Muskegon, Muskegon County, Michigan; thence North 88°43' West 270.42 feet to the North line of West Western Avenue; thence North 1°40' West 100 feet for a place of beginning; thence North 1°40' West 245.42 feet; thence North 84°6' West 290.81 feet; thence Southeasterly to the place of beginning. Parcel 3: Part of Block 573 of the Revised Plat (of 1903) of the City of Muskegon, Muskegon County, Michigan, described as: Commencing at the Southwest corner of said Block 573 for the point of beginning; thence North 1°40' West along the West line of said Block, 347.0 feet; thence North 21°40' West along the Westerly line of said Block, 241.0 feet; thence North 29°28' West along the Westerly line of said Block, 187.50 feet; thence South 35°37' East 258.20 feet; thence South 09°53' East 504.80 feet to the Northerly line of West Western Avenue; thence South 59°34' West along said Northerly line, 53.0 feet to the point of beginning. Property Address: 920 W. Western Avenue, Muskegon, Michigan Tax Parcel No.: 61-24-205-574-0001-20 11 5/7/2020 City of Muskegon Brownfield Plan Amendment Harbor West, LLC Development Project ATTACHMENT Z-4 SUMMARY OF ELIGIBLE ACTIVITIES HARBOR WEST Eligible Activities Costs Department Specific Activities $234,500 - Due Care $15,500 - Phase I, II & BEA EGLE Eligible Activities Total Cost $250,000 Demolition $19,500 Site Preparation $15,000 - Mobilization & Demobilization $7,000 - Silt Fence, Inlet Silt Sacks and other Erosion Control Activities $60,000 - Dewatering $6,000 - Temporary Traffic & Construction Signage $5,000 - Staking $8,000 - Clearing and Grubbing $3,000 - Temporary Facility $17,000 - Utility Relocation $35,000 - Cut & Fill $20,000 - Land Balancing and Mass Grading $130,000 - Soil Compaction and Sub-base $30,000 - Geotechnical Engineering $250,000 - Special Foundations $15,000 - Unstable Fill Removal and Backfill $25,000 - Retaining Walls Site Preparation Sub-Total $626,000 Infrastructure Improvements $118,000 - Water mains $56,000 - Sanitary System $62,000 - Storm Sewer $8,000 - Walkways/Bike Paths $105,000 - Roadways $5,000 - Curb and Gutter $90,000 - Gas and Electric Lines $800,000 - Public Boat Launch Relocation – City 12 5/7/2020 City of Muskegon Brownfield Plan Amendment Harbor West, LLC Development Project $1,302,000 - Marina Dock Systems - City $1,400,000 - Pool and Clubhouse - City Infrastructure Improvements Sub-Total $3,946,000 Total Eligible Activities Total Cost $4,841,500 Contingency (15%) $726,225 Brownfield Plan Preparation and Development $30,000 TOTAL ELIGIBLE ACTIVITIES $5,597,725 13 5/7/2020 City of Muskegon Brownfield Plan Amendment Harbor West, LLC Development Project ATTACHMENT Z-5 TAX CAPTURE ESTIMATES HARBOR WEST 14 5/7/2020 Tax Increment Revenue Capture Estimates Harbor West Muskegon, Michigan May 7, 2020 Estimated Taxable Value (TV) Increase Rate: 1.50% Plan Year 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 Calendar Year 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 Base Taxable Value $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 Estimated New TV $ 127,700 $ 150,000 $ 1,125,000 $ 2,475,000 $ 2,512,125 $ 2,549,807 $ 2,588,054 $ 2,626,875 $ 2,666,278 $ 2,706,272 $ 2,746,866 $ 2,788,069 $ 2,829,890 $ 2,872,339 $ 2,915,424 $ 2,959,155 $ 3,003,542 $ 3,048,595 Incremental Difference (New TV - Base TV) $ - $ 22,300 $ 997,300 $ 2,347,300 $ 2,384,425 $ 2,422,107 $ 2,460,354 $ 2,499,175 $ 2,538,578 $ 2,578,572 $ 2,619,166 $ 2,660,369 $ 2,702,190 $ 2,744,639 $ 2,787,724 $ 2,831,455 $ 2,875,842 $ 2,920,895 School Capture Millage Rate State Education Tax (SET) 6.0000 $ - $ 134 $ 5,984 $ 14,084 $ 14,307 $ 14,533 $ 14,762 $ 14,995 $ 15,231 $ 15,471 $ 15,715 $ 15,962 $ 16,213 $ 16,468 $ 16,726 $ 16,989 $ 17,255 $ 17,525 School Total 6.0000 $ - $ 134 $ 5,984 $ 14,084 $ 14,307 $ 14,533 $ 14,762 $ 14,995 $ 15,231 $ 15,471 $ 15,715 $ 15,962 $ 16,213 $ 16,468 $ 16,726 $ 16,989 $ 17,255 $ 17,525 Local Capture Millage Rate City Operating 10.0865 $ - $ 225 $ 10,059 $ 23,676 $ 24,051 $ 24,431 $ 24,816 $ 25,208 $ 25,605 $ 26,009 $ 26,418 $ 26,834 $ 27,256 $ 27,684 $ 28,118 $ 28,559 $ 29,007 $ 29,462 County Operating 5.6984 $ - $ 127 $ 5,683 $ 13,376 $ 13,587 $ 13,802 $ 14,020 $ 14,241 $ 14,466 $ 14,694 $ 14,925 $ 15,160 $ 15,398 $ 15,640 $ 15,886 $ 16,135 $ 16,388 $ 16,644 City Sanitation 3.0000 $ - $ 67 $ 2,992 $ 7,042 $ 7,153 $ 7,266 $ 7,381 $ 7,498 $ 7,616 $ 7,736 $ 7,857 $ 7,981 $ 8,107 $ 8,234 $ 8,363 $ 8,494 $ 8,628 $ 8,763 County Museum 0.3221 $ - $ 7 $ 321 $ 756 $ 768 $ 780 $ 792 $ 805 $ 818 $ 831 $ 844 $ 857 $ 870 $ 884 $ 898 $ 912 $ 926 $ 941 Senior Services 0.5000 $ - $ 11 $ 499 $ 1,174 $ 1,192 $ 1,211 $ 1,230 $ 1,250 $ 1,269 $ 1,289 $ 1,310 $ 1,330 $ 1,351 $ 1,372 $ 1,394 $ 1,416 $ 1,438 $ 1,460 County Veterans 0.0752 $ - $ 2 $ 75 $ 177 $ 179 $ 182 $ 185 $ 188 $ 191 $ 194 $ 197 $ 200 $ 203 $ 206 $ 210 $ 213 $ 216 $ 220 Central Dispatch 0.3000 $ - $ 7 $ 299 $ 704 $ 715 $ 727 $ 738 $ 750 $ 762 $ 774 $ 786 $ 798 $ 811 $ 823 $ 836 $ 849 $ 863 $ 876 Comm College 2.2037 $ - $ 49 $ 2,198 $ 5,173 $ 5,255 $ 5,338 $ 5,422 $ 5,507 $ 5,594 $ 5,682 $ 5,772 $ 5,863 $ 5,955 $ 6,048 $ 6,143 $ 6,240 $ 6,337 $ 6,437 MAISD 4.7580 $ - $ 106 $ 4,745 $ 11,168 $ 11,345 $ 11,524 $ 11,706 $ 11,891 $ 12,079 $ 12,269 $ 12,462 $ 12,658 $ 12,857 $ 13,059 $ 13,264 $ 13,472 $ 13,683 $ 13,898 Hackley Library 2.4000 $ - $ 54 $ 2,394 $ 5,634 $ 5,723 $ 5,813 $ 5,905 $ 5,998 $ 6,093 $ 6,189 $ 6,286 $ 6,385 $ 6,485 $ 6,587 $ 6,691 $ 6,795 $ 6,902 $ 7,010 Local Total 29.3439 $ - $ 654 $ 29,265 $ 68,879 $ 69,968 $ 71,074 $ 72,196 $ 73,336 $ 74,492 $ 75,665 $ 76,857 $ 78,066 $ 79,293 $ 80,538 $ 81,803 $ 83,086 $ 84,388 $ 85,710 Non-Capturable Millages Millage Rate Comm College Debt 0.3400 $ - $ 8 $ 339 $ 798 $ 811 $ 824 $ 837 $ 850 $ 863 $ 877 $ 891 $ 905 $ 919 $ 933 $ 948 $ 963 $ 978 $ 993 Hackley Debt 0.4522 $ - $ 10 $ 451 $ 1,061 $ 1,078 $ 1,095 $ 1,113 $ 1,130 $ 1,148 $ 1,166 $ 1,184 $ 1,203 $ 1,222 $ 1,241 $ 1,261 $ 1,280 $ 1,300 $ 1,321 MPS Debt - 1995 3.9600 $ - $ 88 $ 3,949 $ 9,295 $ 9,442 $ 9,592 $ 9,743 $ 9,897 $ 10,053 $ 10,211 $ 10,372 $ 10,535 $ 10,701 $ 10,869 $ 11,039 $ 11,213 $ 11,388 $ 11,567 MPS Debt - 2009 3.4000 $ - $ 76 $ 3,391 $ 7,981 $ 8,107 $ 8,235 $ 8,365 $ 8,497 $ 8,631 $ 8,767 $ 8,905 $ 9,045 $ 9,187 $ 9,332 $ 9,478 $ 9,627 $ 9,778 $ 9,931 School Sinking Fund 1.0000 $ - $ 22 $ 997 $ 2,347 $ 2,384 $ 2,422 $ 2,460 $ 2,499 $ 2,539 $ 2,579 $ 2,619 $ 2,660 $ 2,702 $ 2,745 $ 2,788 $ 2,831 $ 2,876 $ 2,921 Total Non-Capturable Taxes 9.1522 $ - $ 204 $ 9,127 $ 21,483 $ 21,823 $ 22,168 $ 22,518 $ 22,873 $ 23,234 $ 23,600 $ 23,971 $ 24,348 $ 24,731 $ 25,119 $ 25,514 $ 25,914 $ 26,320 $ 26,733 Total Tax Increment Revenue (TIR) Available for Capture $ - $ 788 $ 35,248 $ 82,963 $ 84,275 $ 85,607 $ 86,959 $ 88,331 $ 89,723 $ 91,137 $ 92,572 $ 94,028 $ 95,506 $ 97,006 $ 98,529 $ 100,075 $ 101,643 $ 103,236 Footnotes: Assumes Millage Rates remain unchanged TV increases assumed based on lot sales and new construction of homes Annual inflation of 1.5% assumed following construction completion April 2017 Tax Increment Revenue Capture Estimates Harbor West Muskegon, Michigan May 7, 2020 Estimated Taxable Value (TV) Increase Rate: Plan Year 19 20 21 22 23 24 25 26 27 28 29 30 31 TOTAL Calendar Year 2038 2039 2040 2041 2042 2043 2044 2045 2046 2047 2048 2049 2050 Base Taxable Value $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 $ 127,700 Estimated New TV $ 3,094,324 $ 3,140,739 $ 3,187,850 $ 3,235,668 $ 3,284,203 $ 3,333,466 $ 3,383,468 $ 3,434,220 $ 3,485,733 $ 3,538,019 $ 3,591,090 $ 3,644,956 $ 3,699,630 $ 3,699,630 Incremental Difference (New TV - Base TV) $ 2,966,624 $ 3,013,039 $ 3,060,150 $ 3,107,968 $ 3,156,503 $ 3,205,766 $ 3,255,768 $ 3,306,520 $ 3,358,033 $ 3,410,319 $ 3,463,390 $ 3,517,256 $ 3,571,930 $ 3,571,930 School Capture Millage Rate State Education Tax (SET) 6.0000 $ 17,800 $ 18,078 $ 18,361 $ 18,648 $ 18,939 $ 19,235 $ 19,535 $ 19,839 $ 20,148 $ 20,462 $ 20,780 $ 21,104 $ 21,432 $ 496,714 School Total 6.0000 $ 17,800 $ 18,078 $ 18,361 $ 18,648 $ 18,939 $ 19,235 $ 19,535 $ 19,839 $ 20,148 $ 20,462 $ 20,780 $ 21,104 $ 21,432 $ 496,714 Local Capture Millage Rate City Operating 10.0865 $ 29,923 $ 30,391 $ 30,866 $ 31,349 $ 31,838 $ 32,335 $ 32,839 $ 33,351 $ 33,871 $ 34,398 $ 34,933 $ 35,477 $ 36,028 $ 835,018 County Operating 5.6984 $ 16,905 $ 17,170 $ 17,438 $ 17,710 $ 17,987 $ 18,268 $ 18,553 $ 18,842 $ 19,135 $ 19,433 $ 19,736 $ 20,043 $ 20,354 $ 471,746 City Sanitation 3.0000 $ 8,900 $ 9,039 $ 9,180 $ 9,324 $ 9,470 $ 9,617 $ 9,767 $ 9,920 $ 10,074 $ 10,231 $ 10,390 $ 10,552 $ 10,716 $ 248,357 County Museum 0.3221 $ 956 $ 970 $ 986 $ 1,001 $ 1,017 $ 1,033 $ 1,049 $ 1,065 $ 1,082 $ 1,098 $ 1,116 $ 1,133 $ 1,151 $ 26,665 Senior Services 0.5000 $ 1,483 $ 1,507 $ 1,530 $ 1,554 $ 1,578 $ 1,603 $ 1,628 $ 1,653 $ 1,679 $ 1,705 $ 1,732 $ 1,759 $ 1,786 $ 41,393 County Veterans 0.0752 $ 223 $ 227 $ 230 $ 234 $ 237 $ 241 $ 245 $ 249 $ 253 $ 256 $ 260 $ 264 $ 269 $ 6,225 Central Dispatch 0.3000 $ 890 $ 904 $ 918 $ 932 $ 947 $ 962 $ 977 $ 992 $ 1,007 $ 1,023 $ 1,039 $ 1,055 $ 1,072 $ 24,836 Comm College 2.2037 $ 6,538 $ 6,640 $ 6,744 $ 6,849 $ 6,956 $ 7,065 $ 7,175 $ 7,287 $ 7,400 $ 7,515 $ 7,632 $ 7,751 $ 7,871 $ 182,435 MAISD 4.7580 $ 14,115 $ 14,336 $ 14,560 $ 14,788 $ 15,019 $ 15,253 $ 15,491 $ 15,732 $ 15,978 $ 16,226 $ 16,479 $ 16,735 $ 16,995 $ 393,894 Hackley Library 2.4000 $ 7,120 $ 7,231 $ 7,344 $ 7,459 $ 7,576 $ 7,694 $ 7,814 $ 7,936 $ 8,059 $ 8,185 $ 8,312 $ 8,441 $ 8,573 $ 198,686 Local Total 29.3439 $ 87,052 $ 88,414 $ 89,797 $ 91,200 $ 92,624 $ 94,070 $ 95,537 $ 97,026 $ 98,538 $ 100,072 $ 101,629 $ 103,210 $ 104,814 $ 2,429,254 Non-Capturable Millages Millage Rate Comm College Debt 0.3400 $ 1,009 $ 1,024 $ 1,040 $ 1,057 $ 1,073 $ 1,090 $ 1,107 $ 1,124 $ 1,142 $ 1,160 $ 1,178 $ 1,196 $ 1,214 $ 28,147 Hackley Debt 0.4522 $ 1,342 $ 1,362 $ 1,384 $ 1,405 $ 1,427 $ 1,450 $ 1,472 $ 1,495 $ 1,519 $ 1,542 $ 1,566 $ 1,591 $ 1,615 $ 37,436 MPS Debt - 1995 3.9600 $ 11,748 $ 11,932 $ 12,118 $ 12,308 $ 12,500 $ 12,695 $ 12,893 $ 13,094 $ 13,298 $ 13,505 $ 13,715 $ 13,928 $ 14,145 $ 327,831 MPS Debt - 2009 3.4000 $ 10,087 $ 10,244 $ 10,405 $ 10,567 $ 10,732 $ 10,900 $ 11,070 $ 11,242 $ 11,417 $ 11,595 $ 11,776 $ 11,959 $ 12,145 $ 281,471 School Sinking Fund 1.0000 $ 2,967 $ 3,013 $ 3,060 $ 3,108 $ 3,157 $ 3,206 $ 3,256 $ 3,307 $ 3,358 $ 3,410 $ 3,463 $ 3,517 $ 3,572 $ 82,786 Total Non-Capturable Taxes 9.1522 $ 27,151 $ 27,576 $ 28,007 $ 28,445 $ 28,889 $ 29,340 $ 29,797 $ 30,262 $ 30,733 $ 31,212 $ 31,698 $ 32,191 $ 32,691 $ 757,671 Total Tax Increment Revenue (TIR) Available for Capture $ 104,852 $ 106,493 $ 108,158 $ 109,848 $ 111,563 $ 113,304 $ 115,072 $ 116,865 $ 118,686 $ 120,534 $ 122,410 $ 124,314 $ 126,246 $ 2,925,968 Footnotes: Assumes Millage Rates remain unchanged TV increases assumed based on lot sales and new construction of homes Annual inflation of 1.5% assumed following construction completion April 2017 Tax Increment Financing Reimbursement Table Harbor West Muskegon, Michigan May 7, 2020 Developer Maximum School & Local Local-Only Reimbursement Proportionality Taxes Taxes Total Estimated Capture State 13.8% $ 2,454 $ - $ 2,454 Estimated Total Administrative Fees Local 86.2% $ 15,371 $ 2,123,229 $ 2,138,600 Years of Plan: 31 State Revolving Fund TOTAL $ 17,825 $ 2,123,229 $ 2,141,054 LBRF EGLE $ 17,825 $ - $ 17,825 MSF $ - $ - $ - 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 Total State Incremental Revenue $ - $ 134 $ 5,984 $ 14,084 $ - $ - $ - $ - $ - $ - $ - $ - State Brownfield Revolving Fund (50% of SET) $ - $ (67) $ (2,992) $ (7,042) $ - $ - $ - $ - $ - $ - $ - $ - State TIR Available for Reimbursement $ - $ 67 $ 2,992 $ 7,042 $ - $ - $ - $ - $ - $ - $ - $ - Total Local Incremental Revenue $ - $ 654 $ 29,265 $ 68,879 $ 69,968 $ 71,074 $ 72,196 $ 73,336 $ 74,492 $ 75,665 $ 76,857 $ 78,066 BRA Administrative Fee $ - $ (654) $ (10,000) $ (10,000) $ (10,000) $ (10,000) $ (10,000) $ (10,000) $ (10,000) $ (10,000) $ (10,000) $ (10,000) Local TIR Available for Reimbursement $ - $ - $ 19,265 $ 58,879 $ 59,968 $ 61,074 $ 62,196 $ 63,336 $ 64,492 $ 65,665 $ 66,857 $ 68,066 Total State & Local TIR Available $ - $ 67 $ 22,257 $ 65,921 $ 59,968 $ 61,074 $ 62,196 $ 63,336 $ 64,492 $ 65,665 $ 66,857 $ 68,066 Beginning DEVELOPER Balance DEVELOPER Reimbursement Balance $ 5,597,725 $ 5,597,725 $ 5,597,658 $ 5,576,006 $ 5,517,127 $ 5,457,159 $ 5,396,085 $ 5,333,889 $ 5,270,553 $ 5,206,061 $ 5,140,396 $ 5,073,539 $ 5,005,474 Non-Environmental Costs $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - State Tax Reimbursement $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Local Tax Reimbursement $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Total Reimbursement Balance $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Environmental Costs $ 17,825 $ 17,825 $ 17,825 $ 17,758 $ - $ - $ - $ - $ - $ - $ - $ - $ - State Tax Reimbursement $ - $ 67 $ 2,387 $ - $ - $ - $ - $ - $ - $ - $ - $ - Local Tax Reimbursement $ - $ - $ 15,371 $ - $ - $ - $ - $ - $ - $ - $ - $ - Total Reimbursement Balance $ 17,825 $ 17,758 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Local Only Costs $ 5,579,900 $ 5,579,900 $ 5,579,900 $ 5,579,900 $ 5,576,006 $ 5,517,127 $ 5,457,159 $ 5,396,085 $ 5,333,889 $ 5,270,553 $ 5,206,061 $ 5,140,396 $ 5,073,539 Local Tax Reimbursement $ - $ - $ 3,894 $ 58,879 $ 59,968 $ 61,074 $ 62,196 $ 63,336 $ 64,492 $ 65,665 $ 66,857 $ 68,066 Total Local Only Reimbursement Balance $ 5,579,900 $ 5,579,900 $ 5,576,006 $ 5,517,127 $ 5,457,159 $ 5,396,085 $ 5,333,889 $ 5,270,553 $ 5,206,061 $ 5,140,396 $ 5,073,539 $ 5,005,474 Total Annual Developer Reimbursement $ - $ 67 $ 21,652 $ 58,879 $ 59,968 $ 61,074 $ 62,196 $ 63,336 $ 64,492 $ 65,665 $ 66,857 $ 68,066 LOCAL BROWNFIELD REVOLVING FUND LBRF Deposits * $ - $ - $ 605 $ 1,849 $ - $ - $ - $ - $ - $ - $ - $ - State Tax Capture $ - $ - $ - $ 605 $ 1,849 $ - $ - $ - $ - $ - $ - $ - $ - Local Tax Capture $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Total LBRF Capture * Up to five years of capture for LBRF deposits after eligible activities are reimbursed. May be taken from EGLE & Local TIR only. Footnotes: (1) Assumes taxable value increases based on proposed build out, plus 1.5% annual increases for inflation thereafter. (2) Assumes Millage Rates remain constant. April 2017 Tax Increment Financing Reimbursement Table Harbor West Muskegon, Michigan May 7, 2020 $ 2,449,456 $ 290,654 $ 10,101 $ 2,454 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 Total State Incremental Revenue $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - State Brownfield Revolving Fund (50% of SET) $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - State TIR Available for Reimbursement $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Total Local Incremental Revenue $ 79,293 $ 80,538 $ 81,803 $ 83,086 $ 84,388 $ 85,710 $ 87,052 $ 88,414 $ 89,797 $ 91,200 $ 92,624 $ 94,070 $ 95,537 $ 97,026 BRA Administrative Fee $ (10,000) $ (10,000) $ (10,000) $ (10,000) $ (10,000) $ (10,000) $ (10,000) $ (10,000) $ (10,000) $ (10,000) $ (10,000) $ (10,000) $ (10,000) $ (10,000) Local TIR Available for Reimbursement $ 69,293 $ 70,538 $ 71,803 $ 73,086 $ 74,388 $ 75,710 $ 77,052 $ 78,414 $ 79,797 $ 81,200 $ 82,624 $ 84,070 $ 85,537 $ 87,026 Total State & Local TIR Available $ 69,293 $ 70,538 $ 71,803 $ 73,086 $ 74,388 $ 75,710 $ 77,052 $ 78,414 $ 79,797 $ 81,200 $ 82,624 $ 84,070 $ 85,537 $ 87,026 DEVELOPER DEVELOPER Reimbursement Balance $ 4,936,181 $ 4,865,643 $ 4,793,840 $ 4,720,754 $ 4,646,365 $ 4,570,655 $ 4,493,603 $ 4,415,188 $ 4,335,392 $ 4,254,192 $ 4,171,568 $ 4,087,498 $ 4,001,961 $ 3,914,935 Non-Environmental Costs $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - State Tax Reimbursement $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Local Tax Reimbursement $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Total Reimbursement Balance $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Environmental Costs $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - State Tax Reimbursement $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Local Tax Reimbursement $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Total Reimbursement Balance $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Local Only Costs $ 5,005,474 $ 4,936,181 $ 4,865,643 $ 4,793,840 $ 4,720,754 $ 4,646,365 $ 4,570,655 $ 4,493,603 $ 4,415,188 $ 4,335,392 $ 4,254,192 $ 4,171,568 $ 4,087,498 $ 4,001,961 Local Tax Reimbursement $ 69,293 $ 70,538 $ 71,803 $ 73,086 $ 74,388 $ 75,710 $ 77,052 $ 78,414 $ 79,797 $ 81,200 $ 82,624 $ 84,070 $ 85,537 $ 87,026 Total Local Only Reimbursement Balance $ 4,936,181 $ 4,865,643 $ 4,793,840 $ 4,720,754 $ 4,646,365 $ 4,570,655 $ 4,493,603 $ 4,415,188 $ 4,335,392 $ 4,254,192 $ 4,171,568 $ 4,087,498 $ 4,001,961 $ 3,914,935 Total Annual Developer Reimbursement $ 69,293 $ 70,538 $ 71,803 $ 73,086 $ 74,388 $ 75,710 $ 77,052 $ 78,414 $ 79,797 $ 81,200 $ 82,624 $ 84,070 $ 85,537 $ 87,026 LOCAL BROWNFIELD REVOLVING FUND LBRF Deposits * $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - State Tax Capture $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Local Tax Capture $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Total LBRF Capture * Up to five years of capture for LBRF deposits after eligible activities are reimbursed. May be taken from EGLE & Local TIR only. Footnotes: (1) Assumes taxable value increases based on proposed build out, plus 1.5% annual increases for inflation thereafter. (2) Assumes Millage Rates remain constant. April 2017 Tax Increment Financing Reimbursement Table Harbor West Muskegon, Michigan May 7, 2020 2046 2047 2048 2049 2050 TOTAL Total State Incremental Revenue $ - $ - $ - $ - $ - $ 20,201 State Brownfield Revolving Fund (50% of SET) $ - $ - $ - $ - $ - $ (10,101) State TIR Available for Reimbursement $ - $ - $ - $ - $ - $ 10,101 Total Local Incremental Revenue $ 98,538 $ 100,072 $ 101,629 $ 103,210 $ 104,814 $ 2,429,254 BRA Administrative Fee $ (10,000) $ (10,000) $ (10,000) $ (10,000) $ (10,000) $ (290,654) Local TIR Available for Reimbursement $ 88,538 $ 90,072 $ 91,629 $ 93,210 $ 94,814 $ 2,138,600 Total State & Local TIR Available $ 88,538 $ 90,072 $ 91,629 $ 93,210 $ 94,814 $ 2,148,700 DEVELOPER DEVELOPER Reimbursement Balance $ 3,826,397 $ 3,736,325 $ 3,644,696 $ 3,551,486 $ 3,456,671 $ 3,456,671 Non-Environmental Costs $ - $ - $ - $ - $ - State Tax Reimbursement $ - $ - $ - $ - $ - $ - Local Tax Reimbursement $ - $ - $ - $ - $ - $ - Total Reimbursement Balance $ - $ - $ - $ - $ - Environmental Costs $ - $ - $ - $ - $ - State Tax Reimbursement $ - $ - $ - $ - $ - $ 2,454 Local Tax Reimbursement $ - $ - $ - $ - $ - $ 15,371 Total Reimbursement Balance $ - $ - $ - $ - $ - Local Only Costs $ 3,914,935 $ 3,826,397 $ 3,736,325 $ 3,644,696 $ 3,551,486 Local Tax Reimbursement $ 88,538 $ 90,072 $ 91,629 $ 93,210 $ 94,814 $ 2,123,229 Total Local Only Reimbursement Balance $ 3,826,397 $ 3,736,325 $ 3,644,696 $ 3,551,486 $ 3,456,671 Total Annual Developer Reimbursement $ 88,538 $ 90,072 $ 91,629 $ 93,210 $ 94,814 $ 2,141,054 LOCAL BROWNFIELD REVOLVING FUND LBRF Deposits * $ - $ - $ - $ - $ - $ 2,454 State Tax Capture $ - $ - $ - $ - $ - $ 2,454 Local Tax Capture $ - $ - $ - $ - $ - $ - Total LBRF Capture * Up to five years of capture for LBRF deposits after eligible activities are reimbursed. May be taken from EGLE & Local TIR only. Footnotes: (1) Assumes taxable value increases based on proposed build out, plus 1.5% annual increases for inflation thereafter. (2) Assumes Millage Rates remain constant. April 2017 City of Muskegon Brownfield Plan Amendment Harbor West, LLC Development Project ATTACHMENT Z-6 FACILITY CONFIRMATION 15 5/7/2020 BASELINE ENVIRONMENTAL ASSESSMENT CONDUCTED PURSUANT TO SECTION 20126(1)(C) OF 1994 PA 451, PART 201, AMENDED, AND THE RULES PROMULGATED THEREUNDER FOR VACANT PROPERTY 1000 W. WESTERN AVENUE MUSKEGON, MICHIGAN 49441 OCTOBER 31, 2018 Prepared for: Harbor West, LLC 108 South University Ave Suite 6 Mt. Pleasant, Michigan 48858 Prepared by: ENVIROLOGIC TECHNOLOGIES, INC. 2960 Interstate Parkway Kalamazoo, Michigan 49048 (269) 342-1100 TABLE OF CONTENTS 1. INTRODUCTION AND DISCUSSION...................................................................................... 1 A. OWNER/OPERATOR INFORMATION................................................................................................ 1 B. INTENDED USE OF PROPERTY ....................................................................................................... 1 C. PHASE I ESA SUMMARY RECOGNIZED ENVIRONMENTAL CONDITIONS ............................................... 1 D. EXCEPTIONS/DELETIONS FROM ASTM 1527-05............................................................................. 1 E. PHASE I ESA DATA GAPS DISCUSSION ............................................................................................ 1 F. SAMPLING DISCUSSION PURPOSE/METHODS ............................................................................... 2 G. KNOWN CONTAMINATION LOCATIONS AND ENVIRONMENTAL MEDIA ................................................ 2 H. ACILITY DEMONSTRATION ....................................................................................................... 3 2. PROPERTY INFORMATION .................................................................................................. 4 A. PROPERTY LEGAL DESCRIPTION ..................................................................................................... 4 B. & C. SURVEY MAP, PROPERTY TAX IDENTIFICATION NUMBER(S) .......................................................... 4 D. LOCATION MAP ......................................................................................................................... 6 E. PROPERTY LOCATION .................................................................................................................. 8 F. SPATIAL DATA ............................................................................................................................ 8 3. FACILITY STATUS ................................................................................................................ 9 A. ANALYTICAL TABLE ..................................................................................................................... 9 B. L ABORATORY ANALYTICAL DATA SHEETS AND CHAIN OF CUSTODY ........................................................ 9 4. IDENTIFICATION OF THE AUTHOR OF THE BEA .................................................................. 10 5. ASTM 1527-13 PHASE I ENVIRONMENTAL SITE ASSESSMENT ............................................ 11 6. REFERENCES .................................................................................................................... 12 FIGURES FIGURE 1: !"#$%!&'(#) ...................................................................................................................... 7 FIGURE 2: *%$+',-#&'.%$/'0-1$%"#-'2#$#............................................................................................. 5 TABLES TABLE 1: *)#$%#-'2#$# .......................................................................................................................... 8 TABLE 2: ................................................................................... 9 ' APPENDICES APPENDIX A: ,/#3+'44'5&6%7!&8+&$#-'*%$+'033+338+&$'95&6%7!-!:%";';'?@A>B i 1. INTRODUCTION AND DISCUSSION A. Owner/Operator Information Current Owner: Harbor West LLC B. Intended Use of Property Harbor West LLC purchased the property on October 30, 2018, and intends to develop the subject property with multiple condominiums. The subject property location map and site plan are included in Figures 1 and 2, respectively. C. Phase I ESA Summary Recognized Environmental Conditions Recognized environmental conditions (RECs) were identified in the June 22, 2018, Phase I Environmental Site Assessment (ESA) report conducted by Envirologic. These RECs include the following: Previous environmental studies have demonstrated the presence of contaminants at and surrounding area. The former Shaw-Walker/Lakeview Industrial Center property located across W. Western Avenue to the south represents a vapor encroachment threat based on the former detections of both chlorinated and petroleum-related contaminants in soil and groundwater. D. Exceptions/Deletions from ASTM 1527-05 No exceptions to or deletions from the ASTM 1527-13 Phase I ESA standard have been identified in the June 22, 2018, Phase I ESA. E. Phase I ESA Data Gaps Discussion A data gap is the inability to obtain information within the scope of the Phase I ESA. No data gaps were encountered for the Phase I ESA. A data failure is the absence of information typically used to complete a Phase I ESA. No data failures were encountered for the Phase I ESA. 1 F. Sampling Discussion Purpose/Methods On October 24 25, 2017, Envirologic initiated and completed field activities at the subject property in order to characterize soil and groundwater conditions. These activities included the installation of nine soil borings located at various locations across the subject property based on a proposed preliminary site plan layout. The boring locations were selected based on the locations of various features shown in the preliminary site plan, such as residencies (GP-1 through GP-7), a playground (GP-9), and a swimming pool (GP-8). Activities also included the collection of shallow soil samples (6 inches below the ground surface) in order to characterize soils for direct contact exposures. Deeper soil samples (approximately 2 6 feet below the ground surface) were collected to better characterize the historically contaminated fill-type soils at the subject property and in the surrounding Muskegon Lake area. Because of previous environmental investigations that identified the presence of trichloroethene and vinyl chloride in groundwater, groundwater samples were collected from temporary monitoring wells that were installed in each of the soil borings. All the soil samples were submitted for analysis of select metals and polynuclear aromatic hydrocarbons (PNAs, method 8270), and all of the groundwater samples were submitted for volatile organic compound (VOC) analysis (method 8260). Soil samples were not analyzed for VOCs since there was no evidence of VOC impact such as significant photoionization detector (PID) readings, staining, odors, etc. in soil. A review of the soil analytical results indicates that the detection of PNAs was limited to one boring location, GP-1, located in the northwest corner of the subject property. The reported concentrations of the 10 PNA constituents detected do not exceed any current MDEQ Residential or Non-Residential cleanup criterion. Select metals were detected in each of the soil samples collected. Of those metals detected, total mercury, copper, arsenic, selenium, and silver were detected in concentrations exceeding the groundwater surface water interface protection criteria; the concentration of arsenic also exceeded the residential drinking water and direct contact criterion. The Phase II ESA laboratory analytical results demonstrate that the subject property meets the , 201 of NREPA. G. Known Contamination Locations and Environmental Media Soil contaminants detected on the subject property exceeding cleanup criteria were found site- wide at all nine soil boring locations and included arsenic, copper, selenium, silver, and mercury. Selenium concentrations exceed cleanup criteria in every boring except GP-6, located in the 2 eastern portion of the property beneath proposed residencies. Silver concentrations exceed cleanup criteria in every boring except GP-9, located in the central portion of the property at a proposed playground area. Both arsenic and copper concentrations exceed cleanup criteria in two boring locations: GP-2, located beneath proposed residencies in the northwest portion of the property, and GP-5, located beneath proposed residences in the eastern portion of the property. The only detection of mercury on the property was also an exceedance. The mercury exceedance was detected at GP-7, located near the eastern property boundary, beneath proposed residencies. The known contamination on the property is consistent with the findings of the 2008 *C88#71' D+)!7$'07+#EF%G+'033+338+&$'!H'I%3$!7%"'J%--'!H'(C3K+:!&' #K+'*/!7+-%&+;'(C3K+:!&;'(%"/%:#&' prepared by Environmental Resources Management and Superior Environmental Corp. This previous study identified the presence of contaminated historic fill soils along the Muskegon Lake Shoreline and included samples collected from the subject property. The presence of arsenic, copper, selenium, silver, and mercury detected in soil at concentrations that exceed current Part 201 generic residential cleanup criteria and screening levels demonstrates that the subject property has been of the NREPA. Refer to Figure 2 for a site plan detailing the sample locations and concentrations of contaminants identified in association with the subject property. H. in soil on the subject property at concentrations in excess of MDEQ Residential cleanup criteria. The contaminants identified include: Mercury Selenium Copper Silver Arsenic 3 2. PROPERTY INFORMATION A. Property Legal Description The subject property consists of two parcels. Parcel 1 (tax identification number 61-24-205-574- 0001-10) will be purchased whole, and a portion of Parcel 2 (tax identification number 61-24-205- 574-0001-20) will be purchased. A legal description for the property being transferred and a Property Identification Number have not yet been created. B. & C. Survey Map, Property Tax Identification Number(s) A scaled site map showing the subject property and sampling locations is presented as Figure 2. 4 D. Location Map 6 E. Property Location The subject property is located at 1000 W. Western Avenue in the City of Muskegon. F. Spatial Data Table 1: Spatial Data City/Village/ Quarter- County Town Range Section Quarter Latitude Longitude Township Quarter City of Muskegon 10 N 17 W 25 SE SE 43.229411 -86.266330 Muskegon Latitude and Longitude information was obtained from interpolation of aerial photography. 8 3. FACILITY STATUS A. Analytical Table Table 2: Sample Maximum Hazardous Substance CAS Number Location Media Affected Concentration and Depth Arsenic 7440382 8,300 µg/kg GP-5 @ 6 Soil Copper 7440508 110,000 µg/kg GP- Soil Mercury (total) Varies 170 µg/kg GP- Soil Selenium 7782492 880 µg/kg GP- Soil Silver 7440224 980 µg/kg GP- Soil B. Laboratory Analytical Data Sheets and Chain of Custody The laboratory analytical data sheets are included in the November 7, 2017, Phase II ESA completed by Envirologic, which is included in Appendix A of this Baseline Environmental Assessment (BEA). 9 4. IDENTIFICATION OF THE AUTHOR OF THE BEA The following individuals have conducted this Baseline Environmental Assessment. F+'G+"-#7+'$/#$;'$!'$/+'=+3$'!H'!C7')7!H+33%!-'K&!.-+G:+'#&G'=+-%+H;'.+'8++$'$/+'G+H%&%$%!&'!H' 5&6%7!&8+&$#-',7!H+33%!-'#3'G+H%&+G'%&'LMA?NA@'!H'$/%3')#7$N''F+'/#6+'$/+'3)+"%H%"'OC#-%H%"#$%!&3' =#3+G'!&'+GC"#$%!&;'$7#%&%&:;'#&G'+P)+7%+&"+'$!'#33+33'#')7!)+7$1'!H'$/+'$C7+;'/%3$!71'#&G' 3+$$%&:'!H'$/+'3C=Q+"$')7!)+7$1N''F+'/#6+'G+6+-!)+G'#&G')+7H!78+G'#--'#))7!)7%#$+'%&OC%7%+3'%&' "!&H!78#&"+'.%$/'$/+'3$#&G#7G3'#&G')7#"$%"+3'3+$'H!7$/'%&'R@'SJD'MA?N' ' David A. Stegink Associate Vice President Senior Environmental Scientist David A. Stegink graduated from Hope College with a Bachelor of Science degree in Chemistry/Biology and has over 30 years of environmental related experience. Mr. Stegink has been a Project Manager for Envirologic since 1991. Between 1984 and 1991, Mr. Stegink served as a Chemist and Operations Manager for a commercial hazardous waste treatment facility. Mr. Phase I and II ESAs, Baseline Environmental Assessments, Brownfield Redevelopment, hazardous waste management, underground storage tanks, stormwater management, and environmental policy and regulations. Zach Curry Project Scientist Zach Curry worked under the supervision of Mr. Stegink Applied Arts and Science from Muskegon Community College and a Bachelor of Geology from Grand Valley State University. He has conducted original research and field studies in a variety of settings from glaciated Precambrian bedrock in Minnesota to sedimentary beds in Kentucky. Mr. Curry is proficient with ArcGIS software to map and analyze geologic features. Envirologic Technologies, Inc. 2960 Interstate Parkway Kalamazoo, Michigan 49048 (269) 342-1100 10 City of Muskegon Brownfield Redevelopment Authority County of Muskegon, State of Michigan RESOLUTION APPROVING REVISED BROWNFIELD PLAN AMENDMENT Harbor West LLC (1000-1010-106- West Western Ave.) Redevelopment Project Minutes of a regular meeting of the Board of the City of Muskegon Brownfield Redevelopment Authority, County of Muskegon, State of Michigan, held on the 12th day of May 2020, at 10:30 a.m., prevailing Eastern Time. PRESENT: Members ABSENT: Members The following preamble and resolution were offered by Member and supported by Member ______: WHEREAS, a Brownfield Plan has been adopted pursuant to Act 381, Public Acts of Michigan, 1996, as amended (“Act 381”), a copy of which is on file with the Secretary of the City of Muskegon Brownfield Redevelopment Authority (the “Authority”); and WHEREAS, the Authority is authorized to approve amendments to the Brownfield Plan and recommends the amendment to add the redevelopment of Foundry Square at 372 Morris Ave. by Foundry Square LLC (Great Lakes Development Group and Rockford Construction Co.) for approval to the City of Muskegon, County of Muskegon, State of Michigan (the “City”). NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS: 1. Approval of Brownfield Plan. The Board hereby adopts and approves the Brownfield Plan Amendment for the Harbor West (Hartshorn Village) project and recommends the approval of the Brownfield Plan Amendments by the Muskegon City Commission. 2. Public Hearing. The Board hereby requests the Muskegon City Commission to provide a notice of Public Hearing on the proposed Brownfield Plan Amendments, and further requests that such hearing notice be provided to all taxing jurisdictions. Notice of the time and place of the hearing shall be given pursuant to Act 267, Public Acts of Michigan, 1976, as amended (“Open Meetings Act”). 3. Deliver Resolution and Brownfield Plan to City. The Chair of the Authority is directed to deliver a certified copy of this resolution and the Brownfield Plan Amendments to the City Clerk. 4. Disclaimer. By adoption of this resolution and approval of the Brownfield Plan Amendments, the Authority assumes no obligation or liability to the owner, developer or lessor of the Eligible Property for any loss or damage that may result to such persons from the adoption of this resolution and Brownfield Plan Amendments. 6. Repealer. All resolutions and parts of resolution in conflict with the provisions of this resolution are hereby repealed or amended to the extent of such conflict. AYES: NAYS: RESOLUTION DECLARED ADOPTED. ____________________________ Martha Bottomley, Chair City of Muskegon Brownfield Redevelopment Authority I hereby certify that the foregoing is a true and complete copy of a resolution adopted by the Board of the City of Muskegon Brownfield Redevelopment Authority, County of Muskegon, State of Michigan, at a regular meeting held on May 12, 2020, and that said meeting was conducted and public notice of said meeting was given pursuant to and in full compliance with the Open Meetings -2- Act, being Act 267, Public Acts of Michigan, 1976, and that the minutes of said meeting were kept and will be or have been made available as required by said Act. _____________________________ Martha Bottomley, Chair City of Muskegon Brownfield Redevelopment Authority -3- To: Muskegon DDA/BRA From: Dave Alexander, business development manager Re: Monthly report Date: 5-7-2020 Board members: I am giving you much the same update I sent out a week ago or so to downtown board leadership. Our partners at the Muskegon Chamber of Commerce and Visit Muskegon are doing an outstanding job of putting the wheels back on this local economy as it relates to the businesses and institutions that are the foundation of downtown Muskegon. Efforts are being made to bring together tourism, hospitality, retail and restaurant/bar entities to coordinate our “reset” and market as such. I will have a few more comments at the meeting. Please continue to support downtown restaurants, coffee shops, specialty food outlets and craft beverage producers as they provide take-out and curb-side services. It is critical these small businesses survive the virus crisis and be a part of our growing downtown when a new normal is achieved. We are all exploring outside seating options as restaurants and beverage establishments begin to ramp back up. Events – large scale gatherings – are an area that are most difficult as we look into the future of staying safe and physically distant. Several have cancelled and others will follow or become something completely different in the coming weeks. Taste of Muskegon is going to a curbside/take out event to promote local food outlets. However, Muskegon is in a sweet spot when it comes to the number one thing sought by travelers this year … beaches. And we have the wide-open trails, lakes, rivers and woods for physical distancing recreation. Some other observations: • Brownfield Development Plans continue to be written and approved. Most recently, the $34 million plan of Great Lakes Development Group and Rockford Construction Co. received City Commission approval for Foundry Square, a mixed-used development on the Morris Street former parking lot site at Second Street. Harbor West LLC and its first phase of Hartshorn Village is before you Tuesday. The Windward Pointe brownfield plan is being amended and should be before the BRA at its June meeting. Finally, The Docks on the old Pigeon Hill dune site with a brownfield plan approved in December is having an amendment of its Planned Unit Development before the Muskegon Planning Commission next month or so. • The Muskegon County Convention Center is back under construction and the downtown Shoreline Inn and Delta and are tentatively to beginning to reopen May 15. • The Leonard has a construction trailer on site, always a good sign but the Lakeview Lofts II are stalled with the shelter-at-home. • Core Realty's redevelopment at 1208 Eighth continues under construction as does scattered site housing developments in the Nelson Neighborhood and the final build out of Terrace Point Landing. • Discussions between the city of Muskegon and Sand Products on the property swap of the Third Street Wharf and Fisherman's Landing continue. • The city will be obtaining the Catholic social services building at Houston and Third in Midtown and an out-of-town developer is showing serious interest in the property. • The redevelopment of 1144 Third -- the former Oldsmobile dealership property -- will be the subject of a owner-state-city developed Request for Proposals process once public health issues allow. • Finally, the city will collaborate with the Community Foundation's public art committee and the Muskegon Rotary Club to launch a joint Patronicity public spaces crowd-funding initiative. This is the state public spaces program Downtown Muskegon used to create the Bark Park. The crowd funding effort will be for both the Rotary's Watch Muskegon Play instrumental art project slated for five downtown locations and a new major public art installation in the traffic circle being created with the roundabout at Beach and Lakeshore in Pere Marquette Park. As you can see, many remain very optimistic on Downtown Muskegon's future. As we work our way through this unprecedented situation, I hope you and yours are safe and healthy. For now, stay home, stay safe, save lives. But as we begin to reopen and reset our downtown going forward, the community will be looking to you for innovative ideas, inspiration and leadership.
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