Downtown Development Authority Agenda 12-14-2021

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                                               CITY OF MUSKEGON


                       DOWNTOWN DEVELOPMENT AUTHORITY (“DDA”)

                                                REGULAR MEETING



                   DATE OF MEETING:                                   Tuesday, Dec. 14, 2021

                   TIME OF MEETING:                                   10:30 A.M.

                   PLACE OF MEETING:                                  City Hall Commission Chambers,
                                                                      933 Terrace, Muskegon, MI




                                                          AGENDA


    I.        Roll Call


    Il.       Approval of the special meeting minutes of Nov. 30, 2021

     Ill.      Brownfield Redevelopment Authority business

              None


     IV.       Downtown Development Authority business
               A. DDA financial statement (City Finance)
               B. Recognition of Lakeshore Art Festival award — information (Ann Meisch)
               C. Support of new event, (Dave Alexander)
               D. New event contract with CMF Marketing and Events (Ann Meisch)

     V.        Other


     VI.     = 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

                                        November 30, 2021


The meeting was held in the City Commission Chambers. Chairperson M. Bottomley called the
meeting to order at 12:00 PM and roll was taken.

MEMBERS PRESENT:               M. Bottomley, B. Hastings, J. Riegler, M. Kleaveland, J. Moore, H.
                                Systema, F. Peterson, S. Black, D. Kalisz.

MEMBERS ABSENT:                 (Members excused) M. Johnson Sr., J. Wallace Jr., D. Pollock.
STAFF PRESENT:                  P. Wills, Director of Strategic Initiatives; D. Alexander,
                                Downtown Manager, J. Eckholm, Director of Economic
                                Development/Development Services Division, and Mike Franzak,
                                Director of Planning.

OTHERS PRESENT:                 None

APPROVAL OF MINUTES
Motion by F. Peterson, second by J. Moore, to approve the regular meeting minutes for November
9, 2021. Voice vote, all approved.

 BROWNFIELD REDEVELOPMENT AUTHORITY BUSINESS
 Infill Housing Project ( 3"¢ Amendment) (Pete Wills-Mike Franzak):
 City staff is seeking approval of the Brownfield Redevelopment Author ity to amend the
                                                                Infill Housing Project (3rd
 Brownfield Plan and add additional eligible parcels to the City’s
 Amendment).

                                                           the 119 parcels previously adopted in
 The 3"! Amendment adds an additional 386 parcels beyondPrope   rties for this project and the
 the 2"! Amendment. This brings the total to 505 Eligiblethe Infill Housing Project (2"4
 lots are scattered throughout the city. The BRA approvedssion on Decem
 Amendment) on November 24, 2020 and the City Commi                      ber 8, 2020. This
 amendment seeks to modify the plan by adding in all of the government-owned, vacant
 residential properties in the city.

 Staff Recommendation: City staff has prepared this Infill Housing Project (3°! Amendment)
 Brownfield Plan Amendment and recommends approval.
                                                                          resolution for the
  Motion: Made by J. Riegler, supported by B. Hastings to approtve(3"!theAmend
  Brownfield Plan Amendment for the city’s Infill House Projec                 ment), to request a
public hearing before the Muskegon City Commission, and to have the City Commission
consider adoption of the Plan.


Roll Call Vote:
M. Bottomley: Yes                B. Hastings: Yes       J. Riegler: Yes
M. Kleaveland: Yes               J. Moore: Yes          H. Systema: Yes
F. Peterson: Yes                 S. Black: Yes          D. Kalisz: Yes
Allin favor, motion passes.




DOWNTOWN DEVELOPMENT AUTHORITY BUSINESS
None.


PUBLIC PARTICIPATION
None.


OTHER
None.


 AJOURNMENT
 12:26pm
                     Muskegon Downtown Development Authority
                                Agenda item A for 11-9-21

                     Acceptance of financial statement Nov. 30, 2021


Requesting party: City Economic Development
                                                                                          ment
Outline of request: Staff is asking the DDA board to review and accept the financial state
for Nov. 30, 2021.

Background: The finances of the DDA are status quo since the last meeting
Staff comments: None

Staff recommendation: To accept the Nov. 30, 2021 financial statement.
Suggested motion: | move to accept the Nov. 30, 2021 financial statement.
                  DDA FINANCIAL FOR 11/30/2020




                                                                                                                                                       FY TOTALS


Revenues                                     FY 2020-21 BUDGET FY2020-21 ACTUAL FY2021-22 BUDGET NOVEMBER 30, 2021
Taxincrement                                 3 490,931.00 |$          490,931.00} $     310,287.00
                                        | $                        ee                          -
Reimbursement -State
  ent Revenue*
Event
       rom CapitalProjectss FFund ee
Trans From                                           ee
InterestIncome                                   S                   100.00 |
Fundraising Revenue
                                    - 112,{653.0100.
BID Income (or $50,00000 levy)**Qe $s
BID                                                                                                                             ~17,0000.00 |
Sponsorship                           ee                          ee                                      eee-
Former Mail Brownfield Incomee (GF)              S                        -
                                                 5                603,684.00 | $                  541,509.94 | $                 327,287.00 | $                        -
Total
                                                      FY2020-2
                                                             FY 2020-21                           1 ACTUAL                  FY 2021-22                 FY 2021-22
Expenses                                                    75,024.35]  S$ 28,636.61 |
Business Dev. Manager Wages [$73,781.0            0| S§
Trans to GF- Marketing, Events, Overhead   ee                        ee
                                         * SS  48.0
                                              BB    0/$  ssses tas}$           2,498.90|
FICA(7.65%) ss t—<“C~                                                    S$7A. 20.
                                                                      410.00|$ 430.76|So
WorkersComp(2%)                                  S$
Insurance ai$ 2,7432,743.00                                         7,748.00|      ee ee ee 1,922.63
Residency Bonus (4%) S$         .00 |$4,881.40 So es                                                                                                                 133.20
Life Insurance (0.24% ) S$ 270.  00 S$       301.84|S5    - |$
                         S    8,000.00 | $ 6,756.40   | $ - S                                                                                                    2,898.81
401(k) (6%)                                                                                        93,046.60 | $                      95,500.00 | $             36,261.35
Total Salaries/Benefits                              $             98,800.00 | $
                                    ee                        ee eee a Ee                                                                              eee
Walkability improvements                                                                                   ee $150000 |
IStreetscape/Wayfinding ;{Walkability            So                                                                                                              _
 Public Art (Downtown Initiative)                St                                           ;                 ee
 Landscaping                        .        -                7                   $           ___3,000.00 |
 Snow Removal
                                                                                                                        _         -              s         -
 Facade Program_                                                                                   ee ee                                                  ee ae
 Financial Incentives               ee eee es                                                  90.  52||
 Downtow nPark(s j"TM*  SSSCS* ~*=“~* ‘“‘“‘~$s‘SSSCSCSSSC C                      000.00/$0 6,1
                                                              8 88BOL| $SH __3 2,000.0
                                                            S 9,703.22                     § 2,99 8.04
 [Marketing/Promo tions                              —-   [se                                 nn
 Blight                   i                                                   - |.                a             pS             rs
 Office Space and Misc Operating eOCtSCSd SS«909.23 $                                                                             ~9000.001$                   —_-3,390.80_
                                                      S                  -           S                23,211.25 | $                   65,000.00 | $              12,579.36
 Total Recurring Costs                                                                                            $                         - |$                       :
 Morris Street Lot                                    $                 +
       of egon
 Taste ofMusk               tt” rs                                ne es                                                                          Po
                                                                                                                    S                        -
 Lakeshore Art Festival                                                                                     -       $                        -    $                        -
 Projects and Events                                  $                       -      $
                                                      S$                      - |$        |        134,072.00|$                              a           ee
 County Debt Payments ($1M)_                                                                                                          ‘130,000.00         7
  Mercy Health Arena HVAC/Roof*******       —\s 208,081.00] $ _208,051.00[$                                                                  - |[s                         -
 Other Debt Payments (smartzone)             rs -                -      a
                                                         $         208,051.00 | $                  342,123.00 | $                     130,000.00 | $                   -
  Total Debt Payments                                                                              458,380.85 | $                     290,500.00 | $             48,840.71
  Total Expenses                                         $         306,851.00 | $
                                                 |$                 296,833.00 | $                    83,129.09 | $                    36,787.00 | $             (48,840.71)|
 [Net Rev/Expenses
                                                 [                             $s                      6,347.00 |                                |$               89,476.09 |
 [Fund Balance at Beginning of Year
 [Fund Balance at End of Year                    |                                   i$               89,476.09 |                                i$               40,635.38 |




                                                                                                                                                  s 11-30-21
                  O:\Planning\COMMON\DDA - BRA\DDA - BRA 2021 - current year\121421 DDABRA meeting\DDA financial
                EVENTS FINANCIAL FOR 11/30/2021




                                                                                                                                                     FY TOTALS

                                              FY 2020-21 BUDGET                  FY2020-21 ACTUAL             FY2021-22 BUDGET              NOVEMBER 30, 2021
Revenues
TaxincrementState_                                                      -_|$                         an                            -_ | 3                    a
                                   ee         S                         ~|                —                   $s              _-           S$                     -
Reimbursement -                                                                           _—_—-75,635.38|$   161,750.00 | 5
EventRevenue*                     dS                           96,200.00] $
                                                                          _               ee             S$               So                              ot
Trans From Capital Projects Fund                                                                          S$        ee
Interest Income          -        _   41s                         _- [$s                        _
Fundraising Revenue**                   $                      5,000.00 | $                   ~s09.78{$——5,000.00]$
 BID Income (or $50,000 levy}**     7    S                            - |$                   oe So                   - §$
                    e            e                             70,000.00 |$                37,680.00] $ _—_—87,000.00 | $                                 19,130.00.
 Sponsorship                                                                                              S          - S                                         -
 Former Mall Brownfield income (GF)      S                            -
                                         $                    171,200.00 $                    118,325.16 5    253,750.00 | $                               71,939.00
 Total
                                                           FY 2020-21                FY2020-21 ACTUAL                 FY 2021-22                     FY 2021-22
Expenses
Business  Dev. Managerg,Wages                 3                         —       |S                    a               ee
Trans to GF-Marketing,   Events, Overhead    {$s                        -       S$                    - {$e —-[$s
FICA (7.65%)              ee $s                                   7 fs                                -       $_                   -        S$
Wor             (2%) s
          Compker                              $                 an                                   -_|3                 ee                              ee
Insurance                                      $               ee                                     -_|$               ee oe                             es
ResiBonus   denc  (4%) y                                                                              -_|$                ee
Life insurance (0.24%)                                                                                -_|$               ee                                           -
401(k) (6%)                                    $                        :       $                     -       $                    -        $
Total Salaries/Benefits                            $                    -       [§                    -       $                    :            $                     -
Walkabilityimprovements 8                                                                               $   e
Streetsca pe/Wayfinding / Walkability .$ -_[sSs                                                    7 |$|s  a S  os
                                      |S -                                                          -       -    a
Public Art (Downtown Initiative)
landscapng.                                                                                            ee
Snow Removal                       ee ee                                                            a
 FagadeProgram                                                                                      -_|s  ee
FinancialIncentives )}****                                                                          -_([s     e
 DowntownPark(s                      -S$     S_                                                            - i$
                                                                                                              §
 Marketing/Promotio ns e e 2 S o S$ :-                                                                        \$ee
 Blight                  a                     ae et                             $            _           -   $e $e
                                                S   -                            iS                       -   S   - iS -
 Office Space and Misc Operating                                                                                                       -        |$                        -
 Tota! Recurring Costs                             $                        -        |$                   -   |$
 Miscellan eous Events(Cookie Crawl, Letter  sS
                                         to Sa)              $=                                   _        So 65, 375.00 |AL  S
 Taste of Muskegon                                            2,600.00 | $                        2,210.24 $              $ 71,704.84
                                                   S           159,279.00 | $                 120,497.72 | $                159,279.00 | $                  23,045.98
 Lakeshore Art Festival                                                                                                     224,654.00 $                    97,462.77
 Projects and Events                               s           161,879.00 | $                 122,707.96 | $
                                     ee                             7           Js                        - S                ee             ee             ee
 CountyDebt Payments ($1M) _                                                                                                   -                             |
 Mercy Health Arena, HVAC/Roof******  |S                             -          S                         - |$_
                  ts (smartzone)                   $                        -                                     $                    -         S                        -
 Other Debt Payments                                                                                                               - Ss                           -
 Total Debt Payments                                   5               - 5                           - $
                                                       s        161,879.00 | $                122,707.96 | $                224,654.00 $s                   97,462.77
 Total Expenses
 |Net Rev/Expenses                             |$                 9,321.00 | $                    (4,382.80)| $               29,096.00 | $                 (25,523.77)|
 [Fund Balance at Beginning of Year                                        i$                           - |                             |$                   (4,382.80)|
 [Fund Balance at End of Year                  |                            [$s                   (4,382.80)|                            |$                 (29,906.57)




                  O:\Planning\COMMON\DDA - BRA\DDA - BRA 2021 - current year\121421 DDABRA meeting\DDA financials 11-30-21
                TOTAL FINANCIAL FOR 11/30/2021




                                                                                                                                       FY TOTALS


Revenues                                      FY 2020-21 BUDGET              FY2020-21 ACTUAL          FY2021-22 BUDGET          NOVEMBER 30, 2021
Tax Increment                                 S            490,931.00 | $             490,931.00 | $            310,287.00 | $ __                  ~
                                            _ 4s                   -     S                   - Ss                      -     S                     -
Reimbursement - State                                                                                                                        52,809.00
Event Revenue*                                $             96,200.00 | $              75,635.38 | $            161,750.00 | $
                                              S                    -     S                   - S$                      - S                         -
Trans From Capital Projects Fund                                                                                                                   -
Interest Income                               S                 100.00 | $              1,210.06 | $                   -     S
                                              S               5,000.00 | $              5,009.78 | $              5,000.00 | $                     -
Fundraising Revenue**                                                                                                                         3,972.68
BID Income (or $50,000 levy)**                 S           112,653.00 | $             165,306.55 | $            129,000.00 | $
                                              S             70,000.00 | $              37,680.00 | $             87,000.00 | $               19,130.00
Sponsorship                                                                                                                                         -
 Former Mall Brownfield Income (GF)            S                    - Ss                      -    S                    - s
                                               $           774,884.00 | $             775,772.77 | $            693,037.00 | $               75,911.68
Total
Expenses                                                FY 2020-21             FY2020-21 ACTUAL             FY 2021-22                 FY 2021-22
Business Dev. Manager Wages                    $            73,781.00 | $               75,024.35 | $                    -       S$          28,636.61
Trans to GF - Marketing, Events, Overhead      S                   - S                        - S                        -       S                 -
FICA (7.65%)                                   S              5,848.00 | $               5,651.85 | $                    -       S            2,498.90
Workers Comp (2%)                                  $            410.00 | $                 430.76 | $                    -       §                 171.20 |
Insurance                                      Ss             7,748.00 | $                    - iS                      -     S               1,922.63
                                                S             2,743.00 | $               4,881.40 | $                   -     $                    -
Residency Bonus (4%)                                                                                                                            133.20
 Life Insurance (0.24%)                        S$               270.00 | $                 301.84 | $                   -     S
                                                S             8,000.00 | $               6,756.40 | S$                  -     s               2,898.81
401(k) (6%)                                                                                                                                  36,261.35
Total Salaries/Benefits                         $            98,800.00 | $              93,046.60 | $             95,500.00 | $
BID Expenses                                    $                  -     {$s           159,762.00 | $                   -     [$              2,000.00
Streetscape/Wayfinding / Walkability            S                  - S                        - S                 15,000.00 | $                    -
 Public Art (Downtown Initiative)               $                  - S                        -     S                    - S                       -
Landscaping                                        $                 -    |$             3,000.00 | $              65,000.00 | $              25,441.32 |
 Snow Removal                                      S                 -    S                   -     S              30,000.00 | $               1,335.00_
 Facade Program                                    $                 -    |$                  -     |S                   - [S$                      -
 Financial Incentives                              Ss                -    S                   -     $                    - S                        -
                                                    $                -    S              3,598.80 | $               9,000.00 | $               6,190.52
 Downtown Park(s)****                                                                                                                          2,998.04
 Marketing/Promotions                               S                -    S$             9,703.22 | $              32,000.00 | $
                                                   :                 -{s                       -       |S                    -    |$                   -
Blight                                          $                  -     5               6,909.23 | $              26,000.00 | $               3,390.80
 Office Space and Misc Operating                                                                                                              41,355.68
 Total Recurring Costs                          $                  - S                 182,973.25 | $             177,000.00 | $
                                                S                  - S                        - iS                       -     $               2,711.95
 Morris Street Lot                                                                                                                            71,704.84
 Taste of Muskegon                             S$             2,600.00 | S$              2,210.24 1 $              65,375.00 | $
 Lakeshore Art Festival                         S           159,279.00 | $             120,497.72 | $             159,279.00 | $              23,045.98
                                                $           161,879.00 | $             122,707.96 | $             224,654.00 | $              97,462.77
 Projects and Events                                                                                                                                -
 County Debt Payments ($1M)                     S                  - S                 134,072.00 | $                    - $
 |Mercy Health Arena HVAC/Roof*******           S           208,051.00 | $             208,051.00 | $             130,000.00 | $                    -
  Other Debt Payments (smartzone)               S                   - S$                       - S                       - S                        -
                                                $s          208,051.00 | $             342,123.00 | $             130,000.00 | $                     -
 Tota! Debt Payments                                                                                                                         175,079.80
  Total Expenses                                $s          468,730.00 | $             740,850.81 | $             627,154.00 | $

 [Net Rev/Expenses                             |$           306,154.00 | $               34,921.96 | $             65,883.00 | $              (99,168.12)|
 [Fund Balance at Beginning of Year            |                          |$              6,347.00 |                             |$           41,268.96 |

 [Fund Balance at End of Year                  |                          is             41,268.96 |                             iE           (57,899.16)|




                 O:\Planning\COMMON\DDA - BRA\DDA - BRA 2021 - current year\121421 DDABRA meeting\DDA financials 11-30-21
LAKESHORE
“ART FESTIVAL
                                                                                        CONTACT: CARLA FLANDERS
                                                                               LAKESHORE ART FESTIVAL DIRECTOR
                                                                                               PHONE: 616.893.5459
                                                                                   director @lakeshoreartfestival.org


 NEWS RELEASE
 FOR IMMEDIATE RELEASE
 November 11, 2021


     Lakeshore Art Festival: Pure Michigan Award, Call for Artists and Grant Recipient
 MUSKEGON, MI -
 Pure Michigan Award
 The Lakeshore Art Festival (LAF) was honored at the recent Pure Michigan Governor’s Confere      nce on Tourism as
 the recipient of the 2021 Pure Award. The Pure Award is intended to recogniz   e Michiga n tourism   entities that
 have pioneered the incorporation of innovative and exemplary best practices in natural, cultural,    and/or
 heritage stewardship into their daily operations. This year’s Pure Award went to Lakeshor   e Art Festival (LAF) an
 event of the City of Muskegon working in collaboration with the Muskegon Lakeshore Chambe        r of Commerce,
 Visit Muskegon (Convention and Visitors Bureau), the Muskegon Museum        of Art and many   local businesses.

 LAF is centered around positive social, economic, and environmental impacts that complem      ent the revitalization
                                                                                                                  us
 of Muskegon as a tourist attraction and a great place to live, work and play. This collaboration was a conscio
                                                                                             ship, supporting the
 effort to help revitalize downtown Muskegon through investment, environmental steward     10,289 pounds of
 arts and tourism. Before the pandemic, the festival brought in 50,000 visitors, diverting
  material from landfills while providing more than $7 million dollars in economic impact.

  Call for Artists
  Applications to be a fine art or handcrafted exhibitor are now open for the award-winning       Lakeshore Art
                                                                                                the jury and review
  Festival. LAF is a juried show, professional artists and fine art/craft coordinators serve on allowed.
  each exhibitor application before they are accepted into the show. No buy-sell items are                The event will
  take place in downtown Muskegon, Michigan on Saturday, June 25 and Sunday, June      26, 2022.

  Applications are accepted online only and can be accessed through Zapplications to or via lakeshoreartfestival.org.
  Local and national artists are encouraged to apply. Exhibitor amenities include: $3,000   in Fine Art/Fine Craft
  awards and Craft Market People’s Choice Awards. Extensive marketing and      publicit y using online/print
  media, magazine, social media, industry trade publications, posters, postcards, radio advertising,   television
  and billboards. Vehicle access near booth site for easy set up and teardown. Private security patrolling park
                                                                                                          water
  and streets overnight Friday and Saturday. Exhibitor hospitality which includes morning coffee, rjuice,
                                                                                                     breaks.
  and baked goods. Friendly Lakeshore Art Festival Committee Member booth sitters for exhibito
  Grant Recipient
  The Lakeshore Art Festival has been awarded a grant of $17,500 from the State of Michiga n Council for Arts
   and Cultural Affairs (MCACA). The grant was awarded through the MCACA peer review   process and was one of
   594 applications to compete for MCACA fiscal year 2022 funding.
Organizations receiving a MCACA grant award are required to match those funds with other public and private
                                                                                           PADNOS, Blended
dollars. Local support of the project included DTE Foundation, Howmet, Nichols, Mart Dock,communi
Furniture Market and many more. LAF also receives significant volunteer support from the          ty with
help from the United Way of the Lakeshore, local schools, and residents.

“These dollars are vital to the maintenance and growth of the Lakeshore Art Festival. The fundsdswillofhelp with
event production and in turn add economic vibrancy to our community as we welcome thousan , Lakeshore
exhibitors and guests to the Muskegon Lakeshore area next summer,” commented Carla Flanders
Art Festival Director.


More about the Lakeshore Art Festival:
The 2022 dates are June 25 and 26. The annual art festival brings thousands of guests, hundreds ofvefine      art and
craft exhibitors, a multitude of food vendors, children’s activities, street performe rs and interacti    art
installations to Downtown Muskegon. The festival ranks as one of the Top 200 Best in the Country by n
Sunshine Artist Magazine, has been recognized as People’s Choice Award: #1 Art Festival       in West Michiga
and as one of the Best Art Fairs in America by ArtFairCalendar.   com.  Since 2014, the  Lakeshor e Art Festival has
brought in over $7.5 million dollars to the Muskegon Lakeshore area and       support ed a number   of local non-
                                                                                             please contact
profits. If you are interested in getting involved as a volunteer or local business sponsor,informat           Carla
 Flanders at director@lakeshoreartfestival.org or visit lakeshoreartfestival.org for more            ion.
                                                          HHH
                    Muskegon Downtown Development Authority
                              Agenda item C for 12-14-21

             Support of a new art-craft event downtown in March 2022


Requesting party: City Economic Development

Outline of request: Staff was approached last week by Carla Flanders of CMF Marketing &
Events and the Lakeshore Art Festival to have the city and the DDA back a new late-winter
event to generate downtown activity, support LAF vendors and delight customers.
Background: CMF’s proposal for the Michigan Makers Market is outlined in a memo produced
by Carla Flanders in conjunction with her LAF team. The plan is for a single-day event, March
12, 2022 in the VanDyk Mortgage Convention Center. The vendors would be Michigan fine art
and craft producers who likely have been longtime LAF participants. The customers would be
from around the West Michigan region. The overall $29,400 estimate of producing the event
nets a very preliminary estimate of $1,100 for the DDA based upon $31,000 in income from
booth fees, entrance fees, sponsorship and merchandise sales. Booth fees would be $100 for 75
vendors and entrance fee of $5 for a conservative estimate of 1,500 attendees.
Staff comments: CMF and the LAF team have proven themselves over the years. Staff is
comfortable that they have come up with a plan that is feasible and likely to succeed. The DDA
budget and most recent event success makes a $30,000 ultimate risk doable. This is an event
that is supported by the convention center management and is great for Downtown Muskegon
in a slow, many times bleak month of March. A $7,000 management fee to CMF is your next
agenda item. If the event is to be produced, the DDA would need to take action at the Dec. 14
 meeting or there would not be enough time for the event’s creation.
 Staff recommendation: Staff recommends the DDA be the fiduciary for the new Michigan
 Makers Market on March 12, 2022 in the same way the DDA has financially backed the
 Lakeshore Art Festival and Taste of Muskegon through the city clerk’s event staff.
 Suggested motion: | move for the DDA to support the creation of a new March 12, 2022 one-
                                                                                           as
 day art and crafts event in the VanDyk Mortgage Convention Center in Downtown Muskegon
 fiduciary of the event.
                                Michigan Makers Market — Overview


What: An indoor winter marketing featuring 80-100 booths of crafts and fine art HANDMADE
IN MICHIGAN.


Who: A Production of the Lakeshore Art Festival. Created and produced by the Lakeshore Art
Festival team. Supported by the DDA and the City Clerks Office.

Where: The new VanDyk Mortgage Convention Center

When: March 12, 2022, 9am-5pm

Finances: Funds will run through the City of Muskegon.

Draft Budget:




                                             Budgeted 2022



  Booths                               $                 7,500.00
  Entrance Fee                         S$                7,500.00
  Sponsorship                           S                15,000.00
  Merchandise                           S                 1,000.00
                            Totals | $                   31,000.00




                                        Budgeted 2022
  Exhibitors (application
  fee/welcome bag/ etc)                 S                 1,500.00
  Insurance (TBD)                       S                   600.00
  Logistics (Rental Fee)                S                 7,500.00
  Logistics (Supplies/Shirts)           S                   800.00

  Marketing (Signage, Design,
  Branding, Website, Ads, etc)          S                12,500.00
  Staff (CMF Marketing & LAF
  Assistants)                           S                 7,000.00
                                Totals | $               29,400.00


                        NETTOTAL         $                 1,100.00
                   Muskegon Downtown Development Authority
                              Agenda item D for 12-14-21

         Approval of a Michigan Market Makers management agreement


Requesting party: City Economic Development
Outline of request: Staff is for authorization to renew a management contract with CMF
Marketing & Events to produce a new 2022 Michigan Market Makers event in downtown
Muskegon.

Background: CMF’s Carla Flanders has successfully produced the Lakeshore Art Festival on
behalf of the Muskegon chamber and the community for many years and was contracted by the
city Clerk’s Office event team to produce what was a successful 2021 event.
Staff comments: The proposed draft contract will be presented to you before your meeting on
Dec. 14 and is in the same format as the 2022 LAF agreement with CMF that you already have
approved. The contract price is $7,000 and is part of the event overview in Agenda Item C.
Staff recommendation: To approve a new event management agreement with CMF Marketing
& Events for the Michigan Market Makers on March 12, 2022.
Suggested motion: | move to approve a new event management agreement with CMF
Marketing & Events for the Michigan Market Makers and direct City Clerk Ann Meisch to
execute it.
                          | CME      MARKETING & EVENTS



                                            CMF Marketing, LLC
                                          Mater Services Agreement

                                                          December 14, 2021 between CMF Marketing LLC,
This Master Services Agreement (Agreement) is effectiveliabilit
located in Norton Shores, MI, a Michigan limited of Muske       y company (CMF Marketing), and Downtown
Development Authority (DDA), an entity of the City                 gon, located at 933 Terrace St, Muskegon,
MI 49440 (Client).

                                                                                         for the provision
                                            and CMF Marketing desires to be so engaged,valid
The Client desires to engage CMF Marketing,condit
of services in accotdance with the terms and      ions contained in this Agreem ent. For     consideration
received, the parties agree as follows:

1. CMF Marketing Services and Statement of Work.
    1.1 CMF Marketing is in the business of providingand professional marketing consulting services. CMF
                                                             charge the fees (Fees) in accordance with the
        Marketing shall perform the services (Services) or SOW),
        statement of work (hereafter, Statement of Work             which is attached and incorporated into
        this Agreement.
                                                     project CMF Marketing will complete for Client     under
    1.2 A SOW shall be completed for each separateing        not complete any work     other  than  the  work-
        the terms of this Agreement. CMF Market will                 this document as part of the Agreem ent.
        desctibed on the SOW. Each SOW shall be incorporated intor (SOW     No.) which will be refere nced on
        Each SOW shall have a unique Statement of Work Numbe
         the invoices.

                                                                                                       and shall
                                                       become effective when signed by both parties otherw
 2. Term of the Agteement. This Agreement will                                         ated earlier as       ise
                                             the Effective Date (Term), unless termin such termination, this
 continue for a period of 4 month(s) fromevent
 provided for in this Agreement. In the           any SOW temains in effect follow   ing
                                   ue in effect with  regard to such SOW until the termination of the SOW.   All
 Agreement shall govern and contin                                               which CMF   Market  ing render s
 provisions of this Agreement shall apply to all services and periods of time in
 services for Client.


                                                                                                  Monthl   y, or
      3.1 Client shall pay the Fees in the Statement of Work. Fees are either paid as a Flat Fee,
 3. Fees and Expenses.



          a. Flat Fee, Flat Fee is defined as paymentIfforthethe
          Hourly.
                                                                 Services via one pre-determined Fee, which wills
             be described on the Statement of Work. theServic       es ate charged at a Flat Fee, payments toward
               the total Flat Fee will be paid according to    schedule on the Statement of Work.
          b. Monthly Fee. Monthly Fee is defined as payment for  the Services via one pre-determined Fee on
                                                                   on the Statement of Work. Client will be
             a Monthly basis, the frequency of which is described the  invoices is due in fourteen (14) days.
             invoiced on a monthly or bi-weekly basis. Payment on Service
                                                               the
          c. Hourly Fee. Hourly Fee is defined as payment for be           s according to the time it takes for
             CME Marketing to complete the work. Client may Hourl requir to pay a retainer, which will cover
                                                                         ed
             acettain number of hours toward the Services. The        y Fee will be described in the Statement
             of Work. CMF Marketing will invoice Client atformilest ones defined in the SOW, or if no such
                                                                                                        month.
             milestones ate specified, on a monthly basis Services performed in the previous
               Payment on the invoices is due in fourteen (14) days.


                                                         1of5
       d. Additional Work. Any work CMF Marketing completes outside of Services                   and Fees in the
            Statement of Work will be considered Additional Work. Unless otherwise specified            in writing,
            Additional Work will be charged on an hourly basis at an hourly rate of $75 and will be invoiced
            and due in accordance with Section 3.1(©).
   3.2 If the Client fails to pay at the time payment is due, a late fee of one and a half   percent (1.5%) will be
       added to the total for every month       the payment  is  late. Further,  CMF   Marketi  ng may choose to
       discontinue Services until payment is up to date.
   3.3 The Fee outlined in the Statement of Work is the amount owed. The            Fee will be due regardless of
        termination of the services by the Client or terminat ion  for cause  by CMF   Marketing, see Section 7.
   3.4 CME Marketing reserves the right to amend Fees from time        to time during the Term of this Agreement.
   3.5 Client will be responsible for payment of all attorney fees and costs     associat ed with the collection of
        any balance owed or any additional fees Client owes CMF Marketi              ng  under   the terms of this
                                                                             expenses and costs, including
       Agreement.
   3.6 The Client shall reimburse CMF Marketing for reasonable out-of-pocket
                                                                        the Client’s behalf. Mileage will be
       mileage, incurred in the performance of the Services (Expenses) on
       charged according to the current IRS standard business rate. Expenses will be invoiced and shall be
        paid within 14 days after Client’s receipt of the invoice.

4, Client Duties, Representations and Watranties.
   4.1 Client agrees faithfully and diligently to perform the following in accordance with the terms and
       conditions of this Agreement:
       a. Provide CMF Marketing with the necessary approval, if applicable, required for CMF Marketing
           to complete the Services.
       b. Grant CMF Marketing unrestricted access to all systems and information CMF Marketing requires
             to complete the Services.
        c. Pay CMF Marketing for the Services provided according to the Fees listed in each of the
             Statement(s) of Work.
    4.2. Client represents and warrants the following:
        a. Client has the full right and power to enter into and perform this Agreement without any additional
           consent from any third party.
        b. Client has provided CMF Marketing with accutate data and information necessary for CMF
             Marketing to perform the Services contemplated by this Agreement.
                                                                                 performance of the
         c. All content supplied to CMF Marketing for CMF Marketing’s use in thecontent
             Services are owned by Client, ot, Client has the legal tights to use the   in a mannet
             consistent with CMF Marketing’s Services.
         d. Client has not intentionally omitted or altered any information or data necessaty for CMF
             Marketing to complete the Services

5. Limits on CMF Marketing Liability. CMF Marketing will perform. CMF    the Services in accordance with the
industry standard expected from a professional providing these Services          Marketing does not guarantee
or watrant that the work performed under the terms of this Agreement will    be free from errors ot omissions.
                                                                             systems, transactions, payment of
Client is ultimately responsible for the maintenance of its own accountingServices
taxes, documentation, management, oversight, and implementation of the or anyCMF           Marketing provides.
                                                                                      other damages, including
Client agrees not to hold CMF Marketing liable for any lost profits, income,Marketing’ liability
any consequential damages resulting from CME Marketing’ Services. CMF                            is limited to the
 amount of CMF Marketing’ Fees payable under this Agreement.
                                                                       CMF Marketing, its affiliates, and their
 6. Indemnification. The Client shall indemnify, defend, and holdagents,
 respective officers, directors, shareholders, members, employees,, obligatioand  other representatives harmless
 from and against all claims, losses, expenses, liabilities, demands          ns, or damages of every kind and
 nature (including, without limitation, reasonable attorney fees and expenses) (Losses), arising out of or related

                                                         20f5
to (i) any act or omission of the Client; (ii) any breach of Client’s represenintation  and warranties, (iii) any breach
of this Agreement by Client; and (iv) any other matter referred to thisnt, exceptnt,   Agreeme       including without
                                                                                                 to the
limitation the performance of the services that ate the subject of this Agreemeresulted from the gross  extent that any
such loss, claim, damages, or liability are finally judicially determined to have                             negligence,
bad faith, willful misfeasance, or reckless disregard by CMF Marketing of its obligati       ons or duties.

7. Termination.
     7.1 Termination by CMF Marketing.
         a. No Cause. CMF Marketing reserves the right to, and Client agrees, that upon   CMF Marketing may
            terminate any and all services to Client for no cause and without  any reason       thirty (30) days’
            notice. The Termination Date is the date the 30 days’ notice  expires. In the event CMF   Marketing
              terminates for no cause:
               i If the Services are charged by Flat Fee and CMF Marketing has completed seventy five percent    no
                 (75%) ot mote of the Services as of the Termination Date, Client shall pay the balance and   ed on
                 refund shall be issued. If seventy five percent (75%)  or less of the Services  are  complet
                 the Termination Date, Client is only respons ible for the Flat Fee in proport  ion  to the Services
                 rendered, and if applicable, CMF Marketing will issue a refund to Client in proportion to the
                   Services not completed. Determination as to what proportion of Services are completed will
                   be at the sole discretion of CMF Marketing.
                                                                                                          before the
               ii, If the Services are charged by Monthly Fee, Client shall pay all Monthly Fees dueTermina
                   Termination Date and will receive no      refund for the payment  s made   as of the        tion
                   Date. Client will not be responsi ble for any payment s  in the Stateme nt of Work,  which would
                   be due after the Termination Date.
               iii. If the Services are charged by Hourly Fee, Client shall pay for all time CMF Marketing has
                    spent on performance of the Services before the Termination Date.
          b. Cause, CMF Marketing reserves the right to, and Client agrees that CMFandMarketi        ng may, cancel
             this Agreement and terminate any and all services to Client immediately,3, 4, orwithout    prior notice,
             in the event that Client fails to fulfill any  obligati ons under Section           any  other  material
             obligations contained in this Agreeme  nt.  If CMF   Marketi  ng terminat es this Agreem ent  for cause,
             CMF Marketing shall retain the right to recover any remaining payments owed to CMF Marketing
                                                                                                      that it waives
               by the Client, which are due beyond the termination of this Agreement. Client toagrees
                                                                                                 CMF Marketing.
               any tight it may have against CMF Marketing to offset fees payable by Clientfor any    other reason,
      7.2. Post-Termination Rights. Except as provided in Section 8.1(a), after termina tion
           CMF Marketing shall retain the right to recover any remaining payments owed       to CMF Marketing by
                                                                                                                 any
           the Client, which are due beyond the termination of this Agreement. Client agrees that it waives
           right it may have against CMF Marketing to offset fees payable by Client to CMF Marketing.
  8. Proprietary Rights and Confidentiality.
      8.1 Proprietary Rights for Works Created by CMF Marketing, Client expressly recognizes that CMF Marketing
            is the author or owner of any and all materials providedto Client by CME Marketing, as well as all the
            attendant Intellectual Property Rights. CMF Marketing grants a licensein the     for Client to use such
            Intellectual Property Rights, internally. Client is not now, nor at any timeor outsidefuture authorized to
            use CMF Marketing’s proprietary materials for commercial purposes                          of Client’s own
            operations.
       8.2. Confidentiality. Neither patty shall use, exploit, or make known to any person     or business entity, any
                                                                                        t to  the  relationship created
            information directly ot indirectly received by a party ot acquired pursuanbusiness affairs,
             by this Agreement, including, without limitation, information relating to                    data, designs,
             manuals, training materials and documentation, formulas, ideas,            inventio   ns,  knowled  ge of
                                                                                     timekeeping data, products
            manufacturing processes, methods, prices, financial and accounting data,(Confide
            and product specifications, systems and technical information                    ntial Information).
                                                                                           permitted to disclose
            Notwithstanding the foregoing, CMF Marketing and the Client shall each beaccountants, attorneys,
            Confidential Information of the other to its own employees, subcontractors,


                                                            3 of5
                                                                                                                  y for
        and other agents and its affiliates or subsidiaries to the extent the disclosure is reasonably necessarunder
        the performance of its duties and obligations or the enjoyment of                         its   rights
        this Agreement; provided, however, that CMF Marketing and the Client shall be responsibleparties       for any
        violation of the confidentiality obligations set forth in this Agreement by any permitte     d third         to
        which it provides Confidential Information.

9, Marketing. CMF Marketing retains the right to produce and make public a marketing casebutstudy          of the
Client’s success and list Client and/or its logo on CMF Marketing’s collateral material, including    not limited
to CME Marketing’s social media links, email campaigns, and other marketing materials. CMF gMarketin        g also
retains the right to publish non-confidential communications between Client and    CMF   Marketin  for marketin  g
purposes upon Client’s consent.

10. Force Majeure. If either party is prevented or delayed in the performance of any of its to    obligations under
this Agreement due to Force Majeure (defined below), that party will provide    written   notice     the other party
specifying the nature and expected duration of the Force Majeure. The performa    nce of  the  party invoking   Force
Majeure with respect to any obligation will be excused and the time for  performa  nce  extended,   but  only  for the
period of delay or inability to perform due to Force Majeute. If the total of  any  period   of delay  or inability to
perform due to Force Majeure asserted by either party during the Term     equals or  exceeds   30  consecuti  ve days,
the other party will have the right, at its option, to either terminate this Agreement by written due   notice or to
continue to excuse the first party’s performance for the period of any delay or inability  to perform        to Force
Majeure. In the event that the Agreement is terminated due to a Force   Majeure   event,  CMF    Marketin  g  reserves
the right to collect payment in accordance with Section 8.1(a). As used in this Agreement, “Force  Majeure”
                                                                                             , including any
shall mean any act of God, fire, casualty, flood, war, strike, lockout, closures due to a pandemic
closures related to COVID-19, any consequences of a closure by executive order, labor trouble,         or any other
circumstances beyond the reasonable control of the party asserting     it that prevents or delays the performa  nce
of any of its obligations under this Agreement.

11. Miscellaneous.
    41.1 Retention. CMF Marketing will retain the file related to this Agreement for two years.        It is Client’s
         responsibility to retain and protect all necessar y financial documen ts for  the requisite amount  of time
         with regard to potential examination by any     governme   nt or regulator y agency, prospecti ve buyers  of
         yout business, acquiring business loans, etc.
    11.2 Assignment. Neither party may assign the rights or obligations under this Agreement.
    11.3 Compliance with Laws. Both patties shall comply with all applicable international, national, and local laws
         and regulations.
    11.4 Nofives. Any notice required or permitted to be given under this Agreement must be in writing       and may
         be made by facsimile or electronic     means.  Notices   may   be delivered  by  facsimile,  ordinary  mail,
         electronic means, express service,  or any combinat ion  thereof. Notice  shall be effective on  receipt.
    11.5 Waiver. No act ot forbearance by either party shall be construed as a waiver of any tight or obligation
          under this Agreement.
                                                                                      patties regarding the
    11.6 Entire Agreement. This Agreement represents the entire agreement between theparties.
          Services and shall not be modified without the express written consent of both
     11.7 Survival. The provisions of Sections 6, 7, 8, and 10 shall survive the termination of this Agreemen  t or
          any telationship between the patties for the period set forth in that Section, and if not      set forth,
          indefinitely.
     11.8 Governing Law. This Agreement is a contract made under and shall be governed by and          construed in
          accordance with, the laws of the State of Michigan without giving effect to its choice-o  f-law principles.
          ‘The parties agree that any legal or equitable action ot proceeding with respect to this Agreeme  nt ot the
          transactions contemplated by it shall be brought only in any court sitting in Muskegon      County   of the
          State of Michigan, or the Western District Court of the United States sitting in Michigan,    and  each  of
          the parties submits to and accepts generally and unconditionally the exclusive jurisdicti      on of  those
          courts with respect to it and its property and irrevocably consents to the service of process in

                                                          4 0f5
     connection with any action or proceeding by personal delivery or by the mailing by registered       or
     certified mail, postage prepaid to its address first set forth above. Nothing in this Agreemen t shall
     affect the right of any party to serve process in any other manner permitted by law. Each patty
     irrevocably waives any objection to the laying of venue of any action or proceeding in the above-
     described courts.
11.9 Severability. If any provision of this Agreement is held to be invalid or unenforceable for any reason
     whatsoever, the remaining provisions shall remain valid and unimpaited, and shall continue in full force
     and effect.
11.10 Knowing Consent and Authority to Consent. The parties knowingly and expressly consent to the foregoing
     terms and conditions. Each signatory is authorized to enter into this Agreemen      t  on  behalf of its
     respective patty.


 Date:                                                   Date:

 CME Marketing LLC:                                          Client:


 Carla M. Flanders                                           Name:
 Its: Owner                                                  Its:




                                                    5 o0f5
                                                 STATEMENT OF WORK
                                                          Flat Fee


This Statement of Work (“SOW”) is incorporated into the Master Services Agreement by and between CMF Marketing and
Client (the “Agreement”). This SOW describes Services to be performed and provided by CMF Marketing pursuant to the
Agreement. If any item in this SOW is inconsistent with the Agreement prior to such incorporation, the terms of this SOW will
control, but only with respect to the services to be performed under this SOW.

Description of Services:
 Event Production: Produce event, create, design and implement new event for Downtown Muskegon - Michigan Makers
      Market.
 Exhibitors: Secure online program (Zapplications) to create registration basis for exhibitors, coordinate and place all
      exhibitor promotions, and secure exhibitor applications.
 Committee: Work with LAF team to solidify Michigan Made fine art / craft exhibitors, food vendors.
 Sponsorship: Develop sponsorship opportunities and secure sponsorship dollars.
 Marketing/Promotions: Manage and book marketing for event. Create and distribute press releases and email
     communications. Work with design team to create, coordinate and manage all signage, ads, promotions, website
      maintenance, etc.
 Logistics: Work with the team to coordinate all logistical needs.
 Budget: Manage approved budget and work with the City of Muskegon for funding structure.



Payment of Fees: Fees for Services provided under this SOW will be paid at a flat fee of $7,000 for the completion of the
above-described Services plus a portion of net funds. CMF Marketing shall be paid pursuant to the following milestones:
  Milestone                                    Projected Date                        Payment Amount
  First Payment                                January 1, 2022                       $3,500
  Second Payment                               March 15, 2022                        $3,500
 Final Payment                                  May 16, 2022                            35% of net funds*
*Upon project completion, if net funds of $500 or more are realized, CMF Marketing will receive 35% of total net funds. Net
funds are defined by expenses, minus income. Funds will be awarded within 60 days of event completion and will be
awarded no later than the date listed above. If less than $500 of net funds are realized, no additional payment will be
awarded.



 Schedule: CMF Marketing shall begin rendering the Services under this SOW on December 14, 2021 and Services shall
continue until the Services are completed, unless otherwise terminated under the Agreement.

 Authorization: The below signed agents sign authorize the Services outlined in this SOW, pursuant to the Agreement.

           CMF Marketing LLC                                                Client


  Signed:                                                        Signed:
      By: Carla M. Flanders                                          By:
      Its: Manager/Member                                            Its:
   Dated:                                                         Dated:

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