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CITY OF MUSKEGON DOWNTOWN DEVELOPMENT AUTHORITY BROWNFIELD REDEVELOPMENT AUTHORITY DATE OF MEETING: Tuesday, March 12, 2024 TIME OF MEETING: 10:30A.M. PLACE OF MEETING: City Hall Commission Chambers, 933Terrace,Muskegon,MI AGENDA I. Roll Call II. Welcome new BRA-DDA board member Kaja Thornton III. Approval of the meeting minutes of February 13, 2024 IV. Public comments on agenda items V. BRA agenda items - Jake Eckholm A. Adelaide Pointe- Reimbursement Request #9 VI. DDA agenda items- Dave Alexander A. DDA financial report B. DDA Fac;ade Grant amendments for 2023-24 C. Eagles #668 Fac;ade Grant application for 621 W. Western Avenue D. 2024 Legacy Project funding request VII. Adjourn AMERICAN DISABILITY ACT POLICY FOR ACCESS TO OPEN MEETING OF THE CITY COMMISSION AND ANY OF ITS COMMITTEES OR SUBCOMMITTEES To give comment on a live-streamed meeting the city will provide a call-in telephone number to the public to be able to call and give comment. For a public meeting that is not live-streamed, and which a citizen would like to watch and give comment, they must contact the City Clerk's Office with at least a two-business day notice. The participant will then receive a zoom link which will allow them to watch live and give comment. Contact information is below. For more details, please visit: www.shorelinecity.com The City of Muskegon will provide necessary reasonable auxiliary aids and services, such as signers for the hearing impaired and audio tapes of printed materials being considered at the meeting, to individuals with disabilities who want to attend the meeting, 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 TTYffDD: Dial 7-1-1 and request that representative dial 231-724-6705 Welcome Kaja Thornton to the Muskegon Brownfield Redevelopment Authority and Downtown Development Authority Kaja has been appointed by the Muskegon City Commission to the remaining vacant board position expiring 1-31-2025. Kaja is founder and CEO of the non-profit Overcoming Barriers Inc., owner of the US Cafe in Muskegon Heights and owner-operator Cajun Cuisine by US in Downtown Muskegon at 333 West Western Avenue, Suite B. CITY OF MUSKEGON DOWNTOWN DEVELOPMENT AUTHORITY (DDA) I BROWNFIELD REDEVELOPMENT AUTHORITY (BRA) REGULAR MEETING MINUTES February 13, 2024 Chairperson M. Bottomley called the meeting to order at 10:33 AM and roll was taken. I. ROLL CALL: MEMBERS PRESENT: B. Tarrant, K. Reid, M. Bottomley, B. Hastings, S. Black, D. Pollock, J.Seyferth, J. Wallace MEMBERS ABSE1;!T: M. Kleaveland, H. Sytsema, A. Boyd, J. Moore STAFF PRESENT: J. Hines, Development Analyst, S. Wilson, Treasurer, W. Webster, development services, D. Alexander, community engagement, J. Eckholm, Director of Development Services OTHERS PRESENT: K. Pershbacher, J. Rooks, T. Puffer, J. Puffer, J. Cook District 6 County Commissioner, M. Baird, Muskegon County Deputy II. Approval of the meeting minutes of January 9, 2024 - K. Reid motioned to approve the minutes from January 9, 2024 and supported by B. Hastings. All approved III. Public comments on agenda items - None IV. BRA agenda items-Jake Eckholm A. Adelaide Pointe- Reimbursement Request #8 - Jake gave a brief update one that these reimbursements will come in monthly. We have asked for an extra week of lead time prior to making the agenda to ensure the 3rd party consultant has plenty of time to make sure all of the requested reimbursements are eligible activities. J. Seyferth made a motion to approve the 8th request for reimbursement submitted by Adelaide Pointe QOZB, LLC's for eligible activities. B. Tarrant supported. Roll Call: Yays: B. Tarrant, K. Reid, J. Wallace, M. Bottomley, B. Hastings, S. Black, D. Pollock, J. Seyferth Nays: None V. DDA agenda items- Dave Alexander A. Public presentation: Semi-annual DDA report and public engagement -Dave shared the Notice that was publicized as required and mailed to the taxing authorities nearby. J. Cook and M. Baird from Muskegon County were introduced. B. DDA financial report- Dave gave the update on financials, events, developments, Fac;ade Grants and business changes. There are two things to vote on today. 1. Annual budget update that shows the changes outlined from last month both on the revenue side and expense. B. Tarrant motioned to approve the adjusted 2023- 2024 fiscal year DDA budget as presented by staff and accept the January 31, 2024 DDA and events financial statement. Supported by J. Seyferth. Roll Call: Yays: B. Tarrant, K. Reid, J. Wallace, M. Bottomley, B. Hastings, S. Black, D. Pollock, J. Seyferth Nays: None C. Shaw Walker Development Agreement for approved EGLE Loan (Jake Eckholm). Jake explained the grant. I move to approve the development agreement between Shaw Walker Opportunity Zone Business I LLC, Shaw Walker Opportunity Zone business 2 LLC and Shaw Walker Opportunity Zone Business 3 LLC and Muskegon Downtown Development Authority. Supported by J. Seyferth. Roll Call: Yays: B. Tarrant, K. Reid, J. Wallace, M. Bottomley, B. Hastings, S. Black, D. Pollock, J. Seyferth Nays: None a. Jon Rooks was able to give an update that to date over $IMM has been spent on soft costs. An architect has been hired and are approximately 60% done with the prints. An extension was granted and should be done with design studies in early May. The first 342 units are planned to begin in 2024 for Phase I. D. 2024 Legacy Project events -Trunk-and-Treat, GLOW and New Year's Ball Drop (Terry and Joy Puffer) Terry Puffer and Joy Puffer gave an update on the events.$40,000 was spent on the GLOW event. New Year's Eve ball drop was the first event downtown and produced 21 sponsors, spent approx. $25,000. New projects are in the planning stages for JUNETEENTH parade, City Boy Pantry event so far. A proposal requesting funds and support should be put in writing and added to the budget and voted upon. E. Discussion on potential changes to the DDA Fa9ade Grant program -Discussion only. Options to revise the grant, adding or subtract funds, rephrasing the grant VI. Adjournment at 11 :42AM BRA Agenda Item V.A Muskegon Brownfield Development Authority Agenda Item V-A for 3-12-24 Request for Reimbursement {9th Request) - Adelaide Pointe Project Requesting party: Adelaide Pointe QOZB, LLC Outline of the request: Adelaide Pointe QOZB, LLC has submitted its 9th request for reimbursement for eligible activities. Background: The Adelaide Pointe Project is a 35-acre mixed use waterfront development project including winter boat storage, marina space, In/Out forklift boat storage, commercial/retail, and up to 400 housing units. The request for reimbursement was submitted on Feb. 21, 2024 on behalf of the developer for costs related to the brownfield eligible activities that was approved in the 3rd Amendment to the Brownfield Plan Amendment adopted by the City of Muskegon BRA and City of Muskegon Commission May 9, 2023 and May 23, 2023. The BRA is responsible for formally approving all reimbursement requests for Brownfield TIF's . Staff comments: The request for reimbursement outlines the eligible activities that have been invoiced and paid, which were approved in the Brownfield Plan. Reimbursement requests relate to EGLE Environmental Activities/ MSF Non-Environmental Activities and Local Only eligible activities. Jeff Salowitz and city staff are currently reviewing all of the invoices submitted for the Reimbursement Request. Mr. Salowitz has approved the reimbursement request. City staff has reviewed and also approved the request. This request will not be paid out now, actual payments will be made as tax capture becomes available. Additional requests will be made in the future as work is ongoing for this project. Staff recommendation: City staff reviewed and recommends approval of the Adelaide Pointe QOZB, LLC's 9th request for reimbursement for eligible activities. Suggested motion: I move to approve the 9th request for reimbursement submitted by Adelaide Pointe QOZB, LLC for eligible activities. 2960 Interst ate Parkway Kalam azoo, Michiga n 49048 269.342 .1100 I fi shbeck.com February 21, 2024 Project No. 201515 Jake Eckholm Economic Development Director City of Muskegon 933 Terrace Street Muskegon, Ml 49440 Request for Reimbursement #9 Adelaide Pointe QOZB, LLC, 1204 West Western Avenue, Muskegon, Michigan By my signature below, it is my professional opinion the expenses described in this Request for Reimbursement #8 for the above-referenced property represent eligible expenses under the Brownfield Redevelopment Financing Act (1996 PA 381), as amended, and that the activities have been performed on the eligible property. All activities described in the reimbursement request have been completed as described in the 3rd Amendment to the Brownfield Plan adopted by the City of Muskegon BRA and City of Muskegon Commission May 9, 2023, and May 23, 2023, respectively. From 2021 through the present, Adelaide Pointe QOZB, LLC (or related entities) has funded the completion of various activities as outlined in the 3rd Amendment to the Brownfield Plan and this request. The total amount being requested as part of this Request# is $1,769,329 .20. The $1,769,329.20 request breaks down further into $552,318.42 in MSF/EGLE Pre-Approved eligible activities and $1,217,010.78 in Local Only eligible activities. A description of the work activities completed and which eligible categories the work was completed under is shown on the enclosed table. Invoices for the eligible activities detailing the work completed and proof of payment for each of the invoices, as provided by Adelaide Pointe QOZB, LLC, are attached . Additional work is currently being completed for this project so additional reimbursement requests will be sent in the future. If you have any questions or require additional information, please contact me at 616.464.3956 or kperschbacher@fishbeck .com . Sincerely, Kirk W. Perschbacher, E.P. Senior Brownfield Specialist Ellgtblc ActMtlcs Reimbursement T;,blc Adcl;,ldcPclnteQOZfl,llC 1148 ;md 1204 West Western Avenue, Muske110n, Michigan 20233rdBrownfl•ldP11n Amcndment l ot;ils- 20233rd8rownfl•ldPlan Arnendment Totals• I.Deal RelmbursementRequcst 9 MSF/(G LEE111:lbleAetlvltlcs I RelmbursementRcquest9 LocalOnly EllclbleActlvltlcs RtmalnlncBudcets EGLE/MSF Rcm;,lnln,: Budcetloall OnlyEtlgtblcAetlvltles EGLE/MSFEllclbleCosts OnlyEHclbl•Costl Desal~tlon Invoke Date I lnvolee No, I Invoice Amount Non EnvlronmenutAet:lvltl• • isitcl"~ratlon Geotcchnlc::il Inspections for Condo Solls&Strud:U~ 1/31/2024 92S561 56,829.ool Bulldln11Found.ltlon - 5~~29.00 Gcotcchnle.il lns~lons for MLiltl- 1/31/2024 92548] 51,671.SOI Use BuUdlne Foondatlon 51.671.SO -- GNJtcchnlcll lnsp,cetlons for Condo Sofls&Structure5 12/29/2023 919971 52.460.00I BulldlncFound;itlon found;itlonWorktoAddrcss5pedalSollConcerns(SpeclaHicd Foundatlons) f--------+-------+----+----+- - 590S,OOO $4,690,000 _g,_460.00 5905,000.00 5201."53 Geotcchnle.illnspectlo,uforMultl- Solls&Structure5 12/29/2023 919931 51.886.ool UseBulldln&Found.nlon 5_1.886._(!0_ - Contretefound.:itlonworkforOry 2/1/202'i $51,716.32 Marln38Ulldlng 551,716.32 -- C;it;,I~ Construction {Clnnon Ge 0vcl'Sl11ht of Multi lh;e Bu!ldlng 1/24/20241 P3YApp6I $928,635.7: Concrete) Foond.itlon.indCMFee Survcylns.tnd5taklns Buri::~Survcylnc ConsttuctlonSt:1klnc(Ro;,dw:1vs) 1/18/24 112582 -- s,00.001 5US,OOO 584.000 5700.00 5928.635.n $108,872.46 536,6SS.SO 12/4/23 431221 S3.644,SO 53,644.50 Brownfletd lncentlvcs 1/29/24 43323S S3.622.00 g622.00 Archltcctural ;ind Englneerlns Coru 5S00,000 51.S21,000 5163.20 5990.S1 Fishbeck B_!_ownfleldlnccn~~ 1/3/24 432518 53,789.00 53,789.00 GEi Pcrmlt~sJst;ince 4/21/23 S018239 59.07S.38 59,07S.J8 PubHc lnlnstnKture Constl'l.lctlon Dtawlncsfor Prog~..slvt'AE 2/1124 196S511 51.140.ool g,140.00 CommunltvBulldlllfl Bulld!ncmJterl.il~ceotedm le.il -- ev.i!u.itlons.ind Freed&Vicrcck.UC foundJtlons/footlncsassocl3tcd 2/5/24 11991 5198,146.311 Community BuHdlni:/Clubho~e ;ind Pool wl!hlhepublkcommunltv 51.800,000 51.425,152 bulld!nfil Jl9B,146.31 CoiutnrctlonOr.iwlngsfor P1'ogre"',,$/YcAE CommunltvBulld!nr. ,,r,m 19S942 S4,22S.ool 54.225.00 ConstructlonOrawln~for ProercssJ~AE 1/10/24 196299 $170.00 CommunltvBLllldln.i;_ 5170.00 Curb3ndGuttersforRoJdwJys;ind 2/19/24 1445 $13.828.50 ~MFce 513.828.SO GeotcchnlQI Inspections for Solls&Stl'l.lctUrt'S 1/]l/24 925S8 S5,740.69 Ro.>d-...r;,y:.JndUtllltlcs ~740.69 Geotechnle311nspcdlonsf0t Solls&Str\let\lre5 U/29/23 92062 56.r.n.64 RoJd-...r;,y:.;indUtll!tlcs 56An.64 UtUltles/RoJdw;iysL1bor;ind RedUneExc.:,v;itlnsLLC. Mlscelfaneo~ MJterl.ils .ind CM 2/15/24 193641 5245,996.93 524S,996.93 C0ncretef0rcurbs/r03dwJysJnd HlchGradeConcretcProduru 2121124 92002 5942.08 5942.08 CMFce PubllcR03dW3"{1, Cotlaeteforcurb-".,/r03dw;iys~nd 54,000,000 52.508.328.16 HlghGradeConac1ePro1focts CMFee 212112• 92003 S1.261,75 fl.261-7S Conactcforcurbs/ro.idw.iysand HlghGradeconcrcteProduru 2121124 92004 521.464.96 521,464.96 CM Fee Concreleforcurbs/ro.idw;iys;ind High Grade Conaete Produce 2/21/24 9200S 526,700.30 CM Fee 526,700.30 Concreteforcurbs/rcadw;,ys;ind HJchGr.ideContretoProduru 2/21/24 92006 51,900.S8 CMFee 51,900.58 Concrctclorazrbs/ro.idways;inc:l Hlgh GradcConcttt ePrcdLlcts CMFtt 212112• 92007 $4,722.30 54,722.30 Conactelorcurbs/ro;idways3nd High Grade Concrete Products 2121124 92001 5S,701.74 $5,701.74 CMFtt Bush Concrete StcrmwaterstructuresandCMFcc 12/6/23 U0869 $30.864.02 530.864.02 Storm Sewer BushConc:rete StcrmwJterstl'l.lcturesandCMFcc ,,r,m 120876 $12,766.86 5270,000 512,766.86 5461 Bu~Concrete 5tormw;itcrstruct\Jrcs.indCMFce 1/3/24 1210'4 S6,217,69i Sf;,217.69 ToblNon,(nvlronmcntalActlvitlltl S21.S93,6lOI S9,045,000: Addltlon.illtcrm Electrlc.il MJtcrl;itsandLDborfor Contlngcncy(1S%) TN Electric 2/16/24 32721 5167,032,381 S3,239,043 $1.611,750 51,408,561 51.602,081 PubllcOcclcs;,ndCMFee $167,032.38 Total Relmbuf'JC.'ment Rc~ucst SSSl,311.42 51.217,010.7& DDA Agenda Item VI.A Muskegon Downtown Development Authority Agenda Item VI-A for 3-12-24 Acceptance of Financial Statement February 29, 2024 Requesting party: City Economic Development Outline of the request: Staff is asking the DDA board to review and accept the financial statements for February 29, 2024. Staff comments: Last month the board approved an adjusted FY 23-24 budget for the DDA which is reflected in last month's report. There has not been a significant change in the status of the DDA financials since the February meeting. Two major financial postings are still expected before June 30 end of the fiscal year - 1. $480,000 in tax increment revenues and 2. $130,000 in city bond payments for arena improvements. The DDA budget is on track for the budget estimate of $190,184 in fund balance at the end of the 2023-24 fiscal year, June 30, 2024. The events budget is in a solid position going into the Taste of Muskegon and Lakeshore Art Festival season with a fund balance of $133,711. That amount includes your approved expenditure of Taste funds for improvements at the Muskegon Farmers Market of $55,409.40. Staff recommendation: To accept the February 29, 2024 DDA and events financial statements. Suggested motion: I move to accept the February 29, 2024 DDA and events financial statements. DDA FINANCIAL FOR 02/29/2024 FY2023-24 BUDGET FY TOTALS Revenues FY 2022-23 BUDGET FY2022-23 ACTUAL (updated) FEBRUARY 29, 2024 Tax Increment $ 321,446.00 $ 401,043.00 $ 480,000.00 $ . Reimbursement • State $ . $ . Event Revenue* $ . $ . Trans From Capital Projects Fund $ . $ . Interest Income $ . $ 1,139.20 $ . $ 871.83 Fundraising Revenue BID Income (or $50,000 levy)** $ 17,000.00 $ 17,000.00 $ . $ . Sponsorship $ . $ . $ . Former Mall Brownfield Income (GF} $ . $ . $ . Total $ 338,446.00 $ 419,182.20 $ 480,000.00 $ 871.83 Expenses FY 2022-23 FY2022· 23 ACTUAL FY2023·24 FY 2023-24 Business Dev. Manager Wages $ . $ 75,389.95 $ 48,224.89 Trans to GF • Marketing, Events, Overhead $ . $ . FICA (7.65%) $ . $ 5,603.75 $ . $ 3,512.92 Workers Comp (2%) $ . $ 424.17 $ . $ 233.03 Insurance $ . $ 11,454.65 $ . $ 14,671.68 Residency Bonus (4%} $ . $ . $ . Life Insurance (0.24%) $ . $ 317.69 $ . $ 204.69 401(k) (6%) $ . $ 6,822.79 $ . $ 4,316.37 Total Salaries/Benefits $ 98,365.00 $ 100,013.00 $ 95,000.00 $ 71,163.58 Walkability Improvements $ . $ . Streetscape/Wayfinding / Walkability $ 15,000.00 $ 25,207.87 $ 25,000.00 $ 20,075.00 Public Art (Downtown Initiative) $ . $ . Landscaping $ . $ . $ 19,170.00 $ 4,548.47 Snow Removal $ . $ 64,941.00 $ 50,092.75 Fa~ade Program $ 15,250.00 $ 157,585.22 $ 52,973.36 Downtown Park(s)**** $ 9,000.00 $ 4,448.27 $ 9,000.00 $ 839.48 Marketing/Promotions $ 25,000.00 $ 17,135.21 $ 12,000.00 $ 12,327.20 Blight $ . Office Space and Misc Operating $ 9,000.00 $ 100.00 $ 9,000.00 $ 199.80 Total Recurring Costs $ 73,250.00 $ 46,891.35 $ 296,696.22 $ 141,056.06 Watermark Assistance $ 25,000.00 $ 25,000.00 $ . $ . Social Bowl $ 34,750.00 $ 34,750.00 $ . $ . Morris Street Lot $ . $ . $ . Taste of Muskegon $ . $ . Lakeshore Art Festival $ . Projects and Events $ 59,750.00 $ 59,750.00 $ . $ . County Debt Payments ($1M) $ . $ . $ . Mercy Health Arena HVAC/Roof******* $ 130,000.00 $ 130,000.00 $ 130,000.00 $ . Other Debt Payments (smartzone) $ . $ . $ . Total Debt Payments $ 130,000.00 $ 130,000.00 $ 130,000.00 $ . Total Expenses $ 361,365.00 $ 336,654.35 $ 521,696.22 $ 212,219.64 I Net Rev/Expenses 1$ (22,919.00)1 $ 82,s21.8s I$ (41,696.22)1 $ (211,347.81)1 IFund Balance at Beginning of Year 1$ 149,352.so I 1$ 231,880.35 I IFund Balance at End of Year 1$ 231,880.3s I 1$ 20,532.541 C:\Users\dave.a lexa nder\AppData\Local\Microsoft\Windows\lNetCache\Content.Outlook\R9WSBC96\DDA February 2024 EVENTS FINANCIAL FOR 02/29/2024 FY TOTALS Revenues FY 2022-23 BUDGET FY2022-23 ACTUAL FY2023-24 BUDGET FEBRUARY 29, 2024 Tax Increment $ - $ - $ - $ - Reimbursement - State $ - $ - $ - Event Revenue * $ 262,886.00 $ 112,307.55 $ 200,000.00 $ 12,585.59 Trans From Capital Projects Fund $ - $ - Interest Income $ - $ - $ - $ - Fundraising Revenue** $ 5,000.00 $ 4,325.00 $ 15,000.00 $ - BID Income (or $50,000 levy) * * $ - $ - $ - $ - Sponsorship $ 114,625.00 $ 424,311.73 $ 42,000.00 $ 26,790.00 Former Mall Brownfield Income {GF) $ - $ - $ - Total $ 382,511.00 $ 540,944.28 $ 257,000.00 $ 39,375.59 Expenses FY 2022-23 FY2022-23 ACTUAL FY 2023-24 FY 2023-24 Business Dev. Manager Wages $ - $ - $ - $ - Trans to GF - Marketing, Events, Overhead $ - $ - $ - $ - FICA (7.65%) $ - $ - $ - $ - Workers Comp (2%) $ - $ - $ - $ - Insurance $ - $ - $ - $ - Residency Bonus (4%) $ - $ - $ - $ - Life Insurance (0.24%) $ - $ - $ - $ - 401(k) (6%) $ - $ - $ - $ - Total Salaries/Benefits $ - $ - $ - $ - Walkability Improvements $ - $ - $ - $ - Streetscape/Wayfinding / Walkability $ - $ - $ - $ - Public Art (Downtown Initiative) $ - $ - $ - $ - Land scaping $ - $ - $ - $ - Snow Removal $ - $ - $ - $ - Fa~ade Program $ - $ - $ - $ - Financial Incentives $ - $ - $ - $ - Downtown Park(s)**** $ - $ - $ - $ - Marketing/Promotions $ - $ - $ - $ - Blight $ - $ - $ - $ - Office Space and Misc Operating $ - $ - $ - $ - Total Recurring Costs $ - $ - $ - $ - Miscellaneous Events(Cookie Crawl, Letters to Sa, $ - $ 5,652.00 $ - $ 4,761.65 Taste of Muskegon $ 96,300.00 $ 305,430.12 $ 90,000.00 $ 1,909.11 Lakeshore Art Festival $ 163,568.00 $ 164,613.87 $ 160,000.00 $ 13,098.98 Projects and Events $ 259,868.00 $ 475,695.99 $ 250,000.00 $ 19,769.74 County Debt Payments ($1M) $ - $ - $ - Mercy Health Arena HVAC/Roof******* $ - $ - $ - Farmers Market transfer $ - $ - $ 55,409.40 Total Debt Payments $ - $ - $ - $ 55,409.40 Total Expenses $ 259,868.00 $ 475,695.99 $ 250,000.00 $ 75,179.14 I Net Rev/Expenses I$ 122,643.oo I$ 65,248.29 I$ 1,000.001 $ (35,803.55)1 I Fund Balance at Beginning of Year 1$ 104,266.85 I 1$ 169,515.14 I I Fund Balance at End of Year 1$ 169,515.141 1$ 133,711.591 O:\Planning\COMMON\DDA - BRA\DDA-BRA 2024 -- current year\031224 DDA-BRA\DDA\DDA-Events Financials February 2024 DOA Agenda Item VI.B Muskegon Downtown Development Authority Agenda Item VI.B for 3-12-24 Consideration of changes to the DOA Fa~ade Grant Program Requesting party: DDA Board Outline of the request: The DDA at its February meeting discussed changes to the Fa~ade Grant Program and came to consensus to increase the grant amount. A copy of the current program 2023-24 is attached. Staff comments: So far this year, the DDA has award the maximum of $15,000 to The Leonard Building at 292 W. Western and the West Side Art Collective at 238 Houston and staff approved $9,394 Forrest Tax at 130 E. Apple. The DDA has a $15,000 request from the Eagles 668 at 621 W. Western for exterior renovations on this agenda. Carlisle's has a pending application for a $7,000 grant request. That would leave the DDA fa<:;ade grant program with $38,606 for additional grants this fiscal year. Some DDA members had questions and expressed concerns with the current program. The one consensus was to increase the maximum grant amount to $25,000 per application from the current $15.000 maximum based upon a dollar for dollar match from the applicant. The increase in a maximum grant to $25,000 considers rising construction costs, the amount of funds still available from the $100,000 budgeted for the fiscal year and giving building owners and businesses a greater incentive to make improvements. If approving the higher grant amount for the current year, two approved applications for this fiscal year would have been eligible for the more than the $15,000 maximum. At a $25,000 maximum, The Leonard would have been eligible for an additional $8,128 and the West Side Art Collective for an additional $9,285. The next agenda item for the Eagles Fa<:;ade Grant would be for the full $25,000 amount if changed for this year. Staff recommendation: The board may want to increase the maximum grant to $25,000 beginning in a new grant year 2024-25 that would start July 1, 2024. If increasing now, the board might consider the two grant awardees that received the current maximum of $15,000. Suggested motion: At the pleasure for the board. / of Muskegon - Downtown Development Authority 3-24 Building Fa,;ade Improvement Grant Program Guidelines al: 1 upgrade the look and function of commercial buildings within the Muskegon Downtown Development uthority (ODA) by encouraging tenant businesses or building owners to make exterior improvements. Such nprovements will enhance the individual property's value; and uplift the block in which the property is ,cated and the overall district. ilailable Funding: e DDA has budgeted $100,000 for the 2023-24 fiscal year, to be available to applicants on a first-come, st-serve basis. The number of grants will be limited by the budgeted amount. rms: ! Building Fac;ade Improvement Grants are for up to $15,000, with an applicant match of one to one. Thus, 3,000 grant would need to have the applicant propose a project of at least $10,000. This is a nbursement-oriented program to ensure that proposed work is done appropriately and consistent with the racter of the downtown district. bility: , Applicant must be a business or commercial building owner located within the Muskegon Downtown Development Authority district. Leaseholder businesses must receive the written permission of the building owner. The building must be an existing commercial structure at the sidewalk level, but can be mixed-use on the floors above. Grants can assist redevelopment, remodeling or renovations to existing commercial buildings but are not for new buildings. All city taxes and other city accounts must be current. All work must be done in compliance with all city regulations and ordinances, including obtaining necessary building permits and the approval of the Historic District Commission when applicable. All work must be done by a licensed contractor. All changes in access to a building must strictly comply with the federal Americans with Disabilities Act. Work receiving grant funding must not begin until a grant is awarded and work must be completed in 12 months. The applicant can request a 6-month extension in writing if the project is not completed within 12 months of the approval date. Costs: ~ board will have the final decision on the eligibility of any items receiving grant funding. ments must be to the exterior of the building and may include: x:terior walls, windows, doors, exterior brick staining, cleaning or tuck-pointing of masonry or one, ADA improvements to exits and entrances, awnings, decorative signs improving the ~sthetics of the building, exterior lighting for safety and aesthetics ;:inrl 11 n,,... .. - -- Exterior Brick Staining: This item is eligible only if there is noticeable paint deterioration present. Proof must be provided with your application. Ineligible Costs: Among other items, grants are not available for: Property acquisition, site plans, building fees, appraisal or attorney fees, business equipment taxed as personal property, wages associated with the project paid the applicant or applicant's relatives, parking lots and landscaping. (Although parking lot improvements and landscaping are encouraged, they are not grant eligible.) Application Process: • Provide a brief statement of intent demonstrating the need for financial assistance; how the project will improve the building, its block and the district; and a commitment to future property maintenance. • Provide a description of the proposed project, submitting photos of the existing building and if available drawings ofthe improvement. • Provide detailed cost estimates with at least two competitive quotes from licensed contractors and their suppliers. • Provide a timeline for commencing the project and its completion. • Provide evidence of financial ability to complete the project with the understanding that the grant funds will only be disbursed upon completion of the project. Review/ Approval Process: Applications received in the City of Muskegon's Development Services Division Office (Muskegon City Hall, 933 Terrace St, Room 202) will be reviewed by city staff. The DDA board authorized staff will review and approve grant requests up to $2,500. Grant requests of more than $2,500 will be evaluated by a design/review committee of city staff and board members appointed by the DDA. Grants of $10,000 or more must receive final approval by the DDA board. All reviews will consider the grant program goals, along with the long-term economic development benefits to the DDA district and the enhancement of the architectural appeal of the applicant building. Changes in project scope or design must be DDA approved for final reimbursement. If approved, City staff will request an update on each project after 6 months of the approval date. Project Reimbursement: Upon completion of the project, grant recipient must submit final invoices marked as paid along with copies of grant recipient proof of payment to the contractors and/or suppliers. Program Authority: The DDA board has final decisions on all matters related to the Building Fa~ade Improvement Grant Program. Any decision by the DDA board is final. City of Muskegon - Downtown Development Authority 2023-24 Building Fa~ade Improvement Grant Program Application Applicant Name Business Address Email Phone Project Address Parcel Number Requested Amount Total Fa~ade Project Cost Statement of Intent/Need for Funding: Description of Project-Attach: Photos, Project Plans & 2 Competitive Bids: Project Timeline/Estimated Completion Date: By signing the grant application, if awarded, applicant commits to future property maintenance and certifies the ability to fund the project to completion before grant funds reimbursements are made. Applicant Signature: Please email application to: economicdevelopment@shorelinecity.com For more information: Contact Contessa Alexander, Staff Liaison, ODA/BRA contessa.alexander@shorelinecity.com 231-724-4141 DDA Agenda Item VI.C Muskegon Downtown Development Authority Agenda Item VI-C for 3-12-24 Fa~ade Grant applications for the Eagles #668 Requesting party: City economic development Outline of the request: Staff has received an application for DDA fa~ade grant from the Fraternal Order of Eagles #668 (621-625 W. Western). The application needs DDA approval because it is for more than $10,000. Staff comments: The application is attached along with two quotes and photos. This is a restoration of the exterior brick building at Western Avenue and Seventh Street. This is tuck pointing and sealing and not a painting for the exterior. The internal staff committee has reviewed and questioned whether more windows would be cut in as had been done along Western Avenue. The applicant stated no more windows are planned at this time. The one window that was installed with reflective glass has been replaced with glass compliant with city code, the applicant stated. Staff recommendation: To approve a maximum of $15,000 in a DDA fa~ade grant for the Eagles #668. Suggested motions: I move to approve the Eagles #668 request for $15,000 in a DDA fa~ade improvement grant with the applicant complying with all City of Muskegon building codes and permits and having no outstanding financial obligations to the city. City of Muskegon - Downtown Development Authority 2023-24 Building Fa~ade Improvement Grant Program Application Parcel Number Requested Amount Total Fa~ade Project Cost Statement of Intent/Need for Funding: Description of Project-Attach: Photos, Project Plans & 2 Competitive Bids: Glt~cLQw ol r>"ol l-\.10 +uck.&-p~1k Al\f\it.ec-S w/rn°'--"' G om· , \o.-s-r ft / f cfe~ s· 1d-<l vu ~1 Is. ® S <i A- l A- {I 6 ,t lc{( fD ;t /fl sA-c-.. II ,1 -e (,J ,;; (,(_.f_ ,er... Jlh 0 1.,~ \..Q Lr. ;1 .e_ C .t'JYcr ';j-- ~ e.., \..e...Ct V\. -i.. R----v>"--ov<? W d?/hl,. Project Timeline/Estimated Completion Date: By signing the grant application, if awarded, applicant commits to future property maintenance and certifies the ability to fund the project to completion before grant funds reimbursements are made. Applicant Signature:~ Please email application to: economicdevelopment@shorelinecity.com For more information: Contact Contessa Alexander, Staff Liaison, DDA/BRA contessa.alexander@shorelinecity.com 231-724-4141 AVALON BUILDING CONCEPTS 5017 S. DIVISION AVENUE, SW 50245 WYOMING, Ml 49548-5601 (616) 261-9927 CONTRACT Avalon Building Concepts ("Contractor") of 5017 South Division, Wyoming, Ml 49548, and 1 __,R'--'-,'(;=-..:.h_:"'-c:....:rtl:.........,{~-1.F_-ere--'--''--'Se\,e__;__;J?,_A _ t _k .c.... s_D_ll_ _ _ _ , , . - - - - - - - - - ----IOwner's name), of, _/o..._.'if..___._]__,ltJ<----xetAfP-~W_;;_-e-=-s+ec-'----'-_,l\'--"fb__.__.._1te.._.____._fi1_v.1....,M~e,_,..q0.-11-t-i,r-')Yl~J_lj_'/__'/¼-"~- ___,, (Owner's address) agree to the terms and conditions as provided herein. "Owner" refers to both the singular and the plural of this party. Contractor agrees to furnish all labor and material according to the following specifications on the premises located at - - - - - - - - - - - - - - , - - - - - - - - - - - - - - - - = : . . : - = : - = - - - = - - ( p r o j e c t address). The total cash price for the project will be $ l~I J <J~] , S'O . A deposit of $ _ _ _ _ _ _ _ _ is required prior to Contractor beginning work or delivering material to the project address, and the remainder of the cash price shall ii!t@ letlon. A co venienc.e e of 3% will be added to any credit or bank card transactions. TO CANCEL rlor to midnight of the third business day after the form on the reverse side of this Contract for an explanation lted from having an Independent courier service or other thh:d ~e before the end of the 3- business-day period in which you II terms and conditions of this Contract, including Title THIS CON ~DAl"'-'l'AR UNLESS ANO UNl\l \l HAS \lEEN APPROVE SIGNED ANO OAlEO BElOW. Date Bully's Construction, LLC 13240 Apple Ave Estimate Ravenna, MI 49451 US +l 6162043060 seth@bul lysmasonry .com www.bullysmasonry.com Quality Maooiuy Constructlo" 616.204.3060 ADDRESS I SlilPTO - -- - muskegon eagles muskegon eagles 621 W Western Ave. Muskegon, MI 49440 [ __ ESTIMATE# l oATE 1050SM - ~l_o_l/23/2024 -I P.O.NUMBER SALESREP eagles tuckpoint seth DATE ! ACTIVITY iDESCRIPTION QTY -RA~: ;___ ~ -~ O~N: _I 01/23 /2024 OS Masonry removal of paint and tuck point 80x32 2,560 25 .00 64,000.00 side of building (7th st. side) 01/23/2024 OS Masonry tuck point existing joints on front of 3,840 13.00 49,920.00 building, 70x32' high after removal of existing mortar (front of building) 01/23/2024 OS Masonry tuck point exitsting front of building 1,152 13.00 14,976.00 72'x 16' high (low pa11 of front of building) 01/23/2024 Demo demo chimney down to 4ft. high from 6,000.00 6,000.00 roof and add a new concrete cap with overhang of 2" or greater 01/23/2024 OS Masonry save brick from chimney demo and lay 3,500.00 3,500.00 in back on high part ofroofto fill in existing windows 01/23/2024 OS Masonry wash and remove paint and tuck point 700 25.00 17,500.00 back area of building (rooftop brick) 10x70' area 01/23/2024 Building Cost rentals, supervision, misc. items 7,500.00 7,500.00 TOTAL $163,396.00 Accepted By Accepted Date I I I I I I DOA Agenda Item VI.D Muskegon Downtown Development Authority Agenda Item VI.D for 3-12-24 Legacy Project request for 2024 support Requesting party: The Legacy Project Outline of the request: Terry and Joy Puffer of the Legacy Project met with the DDA board in February and discussed its downtown activities In 2023 and plans for 2024. They have received $5,000 each of the past two years for its GLOW holiday lights display. They have plans for their non-profit's 2024 downtown events -Trunk-and-Treat, GLOW holiday lights and New Year's Eve Ball Drop --- and asked for DDA financial support. The Legacy Project request is attached. Staff comments: The total $15,000 request for donations to the Legacy Project was discussed with the board and there seemed to have been board support. The DDA finances would support a $15,000 donation in the 2024-25 fiscal year. The DDA might want to put all of its support behind the GLOW holiday lighting project and not the New Year's Eve Ball Drop. The DDA has never financially supported individual events outside acting as fiduciary for the City of Muskegon's Taste of Muskegon and Lakeshore Art Festival. Staff recommendation: Putting a $15,000 donation to the Legacy Project for its 2024 GLOW holiday lighting project into the 2024-25 DDA budget. Suggested motion: I move that the DDA support the Legacy Project's GLOW holiday lighting project with a $15,000 donation to be included in the 2024-25 fiscal year budget. Lauesnone Lakeshore Legacy Project 2024 Events To : The Downtown Development Association From: Lakeshore Legacy Project, Inc. Please accept this letter as a formal request for a donation to be made to Lakeshore Legacy Project, Inc. for two of our upcoming 2024 Events. We are asking for the following: 1. 3rd Annual GLOW Lighting Event-$10,000.00 2. 2nd Annual New Year's Eve Ball Drop with Fireworks-$5,000.00 Please feel free to contact Joy at 231-578-8093, or Terry at 231-855-5001 with any questions. Thank you, Joy Puffer Lakeshore Legacy Project, lnc.-VP jpmanagementllc1@gmail .com 231-578-8093
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