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CITY OF MUSKEGON
DOWNTOWN DEVELOPMENT
AUTHORITY/BROWNFIELD
REDEVELOPMENT AUTHORITY
MEETING
December 9, 2025 @ 10:30 AM
CONFERENCE ROOM 204
933 TERRACE STREET, MUSKEGON, MI 49440
AGENDA
☐ CALL TO ORDER:
☐ ROLL CALL:
☐ APPROVAL OF MINUTES:
I. Approval of Minutes City Clerk
☐ PUBLIC COMMENT ON AGENDA ITEMS:
☐ PUBLIC HEARINGS:
☐ NEW BUSINESS:
I. DDA Agenda Item: Acceptance of Financial Report for November 30,
2025 Economic Development
II. BRA AGENDA ITEM: Brownfield Plan Amendment #2 for Betten Economic
Development
☐ UNFINISHED BUSINESS:
I. Harbor 31 Hotel ADA Compliance Economic Development
☐ ANY OTHER BUSINESS:
☐ ADJOURNMENT:
AMERICAN DISABILITY ACT POLICY FOR ACCESS TO OPEN MEETINGS OF THE CITY OF
MUSKEGON AND ANY OF ITS COMMITTEES OR SUBCOMMITTEES
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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 with twenty-four (24) hours’ notice to the City of Muskegon. Individuals with
disabilities requiring auxiliary aids or services should contact the City of Muskegon by
writing or by calling the following:
Ann Marie Meisch, MMC. City Clerk. 933 Terrace St. Muskegon, MI 49440. (231)724-6705.
clerk@shorelinecity.com
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CITY OF MUSKEGON
DOWNTOWN DEVELOPMENT
AUTHORITY/BROWNFIELD
REDEVELOPMENT AUTHORITY
MEETING
December 2, 2025 @ 10:30 AM
MUSKEGON CITY COMMISSION CHAMBERS
933 TERRACE STREET, MUSKEGON, MI 49440
MINUTES
AGENDA
The Special DDA Meeting of the City of Muskegon was held at City Hall, 933
Terrace Street, Muskegon, Michigan at 10:31 AM, Tuesday, December 2, 2025.
Martha Bottomley opened the meeting.
ROLL CALL
Members Present:B. Tarranht, K. Reid, M. Kleaveland, H. Sytsema, A. Boyd, J.
Curtis, M. Bottomley, B. Hastings, J. Dornbos, J. Seyferth
Member(s) Absent: S. Black, K. Thornton
Member(s) Excused: J. Moore
Staff Present: J. Hines, J. Eckholm, W. Webster
Others Present: R. Charron from Parkland Properties
PUBLIC COMMENT ON AGENDA ITEMS
None
NEW BUSINESS
I. Shaw Walker Development and Reimbursement Agreement Economic
Development
STAFF RECOMMENDATION: Motion to approve the Development Reimbursement
Agreement between the State of Michigan, Parkland Development, and the
City of Muskegon Brownfield Redevelopment Authority as presented and to
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authorize the Chair to sign.
Motion by M. Kleaveland, second by B. Tarrant, to Motion to approve the
Development Reimbursement Agreement between the State of Michigan,
Parkland Development, and the City of Muskegon Brownfield Redevelopment
Authority as presented and to authorize the Chair to sign. .
ROLL VOTE: Ayes: B. Tarrant, K. Reid, M. Kleaveland, H. Sytsema, J. Curtis, A.
Boyd, M. Bottomley, B. Hastings, J. Dornbos, J. Seyferth
Nays: None
MOTION PASSES
UNFINISHED BUSINESS
None
ANY OTHER BUSINESS
None
ADJOURNMENT
There being no further business, the meeting was adjourned at 10:41 AM.
Respectfully Submitted,
Ann Marie Meisch, MMC City Clerk
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Agenda Item Review Form
Muskegon Downtown Development
Authority/Brownfield Redevelopment Authority
Commission Meeting Date: December 9, 2025 Title: DDA Agenda Item: Acceptance of
Financial Report for November 30, 2025
Submitted by: Jocelyn Hines, Development Department: Economic Development
Analyst
Brief Summary:
City staff is requesting the approval of the financial report for November 30, 2025.
Detailed Summary & Background:
City staff is requesting approval of the financial report for the period ending November 30, 2025. The
current projected fund balance is $460, 986.12, with no unexpected changes to the budget. Some of
November expenses were purchasing of snowflakes, Lakeshore Art Festival expenses and staffing
expenses.
Goal/Action Item:
Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:
Amount Requested: Budgeted Item:
N/A Yes No N/A
Fund(s) or Account(s): Budget Amendment Needed:
N/A Yes No N/A
Recommended Motion:
I move to approve the November 30, 2025 financial report as presented.
Approvals: Name the Policy/Ordinance Followed:
Immediate Division
Head
Information
Technology
Other Division Heads
Communication
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Legal Review
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DDA FOR CITY OF MUSKEGON
Balance As Of 11/30/2025
YTD Balance 25-26 YTD Balance Activity For
Amended
GL Number Description 11/30/2024 Budget 11/30/2025 11/30/2025
Fund: 394 DOWNTOWN DEVELOPMENT AUTH DS
Account Category: Assets
Department: 000
394-000-001 CASH IN BANK 294,966.45 354,644.00 (12,593.46)
Total Department 000: 294,966.45 354,644.00 (12,593.46)
Assets 294,966.45 354,644.00 (12,593.46)
Account Category: Liabilities
Department: 000
394-000-202 ACCOUNTS PAYABLE 68.76 0.00 (2,950.00)
394-000-293 OTHER LIABILITIES 0.00 700.00 0.00
Total Department 000: 68.76 700.00 (2,950.00)
Liabilities 68.76 700.00 (2,950.00)
Account Category: Fund Equity
Department: 000
394-000-399 FUND BALANCE UNRESERVED 460,986.12 460,986.12 0.00
Total Department 000: 460,986.12 460,986.12 0.00
Fund Equity 460,986.12 460,986.12 0.00
Account Category: Revenues
Department: 000
394-000-402 PROPERTY TAX 0.00 537,000.00 0.00 0.00
394-000-569 STATE GRANTS OTHER 0.00 0.00 1,957.93 0.00
394-000-613 EVENT REVENUE 0.00 100,000.00 (1,231.00) 0.00
394-000-665-004970 INTEREST INCOME 853.54 1,300.00 543.62 0.00
394-000-679-004847 SPONSORSHIP REVENUE - MUSK ART FAIR 500.00 12,000.00 7,500.00 1,500.00
394-000-699-200000 OP. TRANS FROM SPECIAL REVENUE 600.00 0.00 0.00 0.00
Total Department 000: 1,953.54 650,300.00 8,770.55 1,500.00
Revenues 1,953.54 650,300.00 8,770.55 1,500.00
Account Category: Expenditures
Department: 703 DOWNTOWN MUSKEGON BID
394-703-702 BUDGETED SALARIES & BENEFITS 0.00 138,284.00 0.00 0.00
394-703-703 SALARY PERMANENT 29,670.27 0.00 26,825.37 5,189.99
394-703-708 VACATION PAY 1,398.15 0.00 1,260.25 29.31
394-703-710 PERSONAL & OTHER LEAVE 0.00 0.00 468.93 0.00
394-703-711 HOLIDAY PAY 864.80 0.00 703.33 293.08
394-703-712 RETIREE HEALTHCARE - GENERAL 1,003.30 0.00 934.55 165.38
394-703-714 MERS RETIREMENT SYSTEM 3,010.00 0.00 2,759.01 496.12
394-703-717 HEALTH INSURANCE 8,438.43 0.00 108.79 0.00
394-703-718 LIFE INSURANCE 144.81 0.00 125.72 22.56
394-703-719 DENTAL INSURANCE 396.00 0.00 173.57 33.28
394-703-721 DISABILITY INSURANCE 122.90 0.00 107.46 19.14
394-703-722 SOCIAL SECURITY 2,445.19 0.00 2,304.52 413.26
394-703-723 WORKERS' COMPENSATION 122.65 0.00 123.65 18.97
394-703-801 CONTRACTUAL SERVICES 1,800.00 100,000.00 20,510.00 0.00
394-703-850 TELEPHONE 125.00 0.00 (75.00) (15.00)
394-703-861 CONFERENCE, TRAINING AND TRAVEL 0.00 0.00 450.00 0.00
394-703-944 VEHICLE RENTAL 0.00 0.00 263.70 0.00
Total Department 703: 49,541.50 238,284.00 57,043.85 6,666.09
Department: 778 LAKESHORE ART FESTIVAL
394-778-749 MISCELLANEOUS MATERIAL & SUPPLIES 19.99 2,000.00 2,465.52 0.00
394-778-801 CONTRACTUAL SERVICES 3,862.33 20,000.00 9,333.96 124.45
394-778-850 TELEPHONE 343.27 700.00 68.71 0.00
394-778-903 ADVERTISING 4,714.10 7,000.00 6,925.69 2,892.27
Total Department 778: 8,939.69 29,700.00 18,793.88 3,016.72
Department: 780 TASTE OF MUSKEGON
394-780-801 CONTRACTUAL SERVICES 86.40 0.00 0.00 0.00
Total Department 780: 86.40 0.00 0.00 0.00
Department: 808 FARMERS & FLEA MARKET
394-808-801 CONTRACTUAL SERVICES 1,023.00 0.00 0.00 0.00
Total Department 808: 1,023.00 0.00 0.00 0.00
Department: 809 EVENTS
394-809-749 MISCELLANEOUS MATERIAL & SUPPLIES 2,346.74 0.00 0.00 0.00
Total Department 809: 2,346.74 0.00 0.00 0.00
12/04/2025 05:16 PM Page: 1/2
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DDA FOR CITY OF MUSKEGON
Balance As Of 11/30/2025
YTD Balance 25-26 YTD Balance Activity For
Amended
GL Number Description 11/30/2024 Budget 11/30/2025 11/30/2025
Fund: 394 DOWNTOWN DEVELOPMENT AUTH DS
Account Category: Expenditures
Department: 906 DEBT SERVICE
394-906-801 CONTRACTUAL SERVICES 106,104.64 145,000.00 33,953.38 1,460.65
394-906-995-400000 OPER. TRANS TO CAPITAL PROJECT 0.00 130,000.00 0.00 0.00
Total Department 906: 106,104.64 275,000.00 33,953.38 1,460.65
Expenditures 168,041.97 542,984.00 109,791.11 11,143.46
12/04/2025 05:16 PM Page: 2/2
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Agenda Item Review Form
Muskegon Downtown Development
Authority/Brownfield Redevelopment Authority
Commission Meeting Date: December 9, 2025 Title: BRA AGENDA ITEM: Brownfield Plan
Amendment #2 for Betten
Submitted by: Jocelyn Hines, Development Department: Economic Development
Analyst
Brief Summary:
The City of Muskegon is requesting approval of Brownfield Plan Amendment #2 for Betten at 2410,
2474, 2477, & 2501 South Henry Street.
Detailed Summary & Background:
In 2008, the BRA and the City of Muskegon approved a brownfield plan amendment for 2410, 2474,
2477, & 2501 South Henry Street. This brownfield tax capture was used to reimburse any eligible
activities for the Betten project with additional interest at 6.5% until reimbursement was complete. The
total capture was around $16 million for a 16-year period which ends December 31, 2025.
The Brownfield Plan was experiencing low performance so the City loaned the BRA $1.66 million to
pay off the Betten brownfield and to reduce the interest burden and accelerate the reimbursement
commitment. The BRA would then repay the City over several years at an interest rate of 3.25 through
tax increments on the property. Because this plan ends this year, it has not performed enough to be
able to pay the City the whole $1.6 million, coming about $613,000 short.
A few things to note:
• Table 3 – Row 19. Per the original agreement, the BRA should have been receiving $10,000 per
annum. I have made sure to model this for the full cycle.
• Table 3 – Simple Interest Expenses: It started at 6.5%, was reduced to 3.5%, and then I have it
coming back to 5% to bring it back to the standard that is being used with every other
property. This should be included with the BRA amendment.
• Timeline: I am showing the following:
o The last amended plan had this completing December 31, 2025.
o Once amended, this should be complete in 2031.
o The 5 year capture will end in 2036.
o I recommended adding 14 years to the plan to bring this to a full 30 year term
regardless, to ensure enough time even if this doesn’t perform as I forecasted it.
• Financials
o Presently the Brownfield is underperforming by $613k.
o Once amended, it will break even in 2031.
o The 5 year capture is forecasted at $778k
o This is a total swing of $1,391,000, taking the brownfield from being in the red to being in
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the black.
Goal/Action Item:
2027 Goal 2: Economic Development Housing and Business - Diverse housing types
Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:
The Betten Brownfield Plan has been amended to extend the timeline of the life of the brownfield.
Amount Requested: Budgeted Item:
N/A Yes No N/A
Fund(s) or Account(s): Budget Amendment Needed:
N/A Yes No N/A
Recommended Motion:
I move to approve/disapprove the resolution for Brownfield Plan Amendment #2 for Betten
Brownfield and further request staff to set a public hearing before the Muskegon City Commission to
consider adoption of the amended plan.
Approvals: Name the Policy/Ordinance Followed:
Immediate Division Michigan Public Act 381 of 1996, as amended
Head
Information
Technology
Other Division Heads
Communication
Legal Review
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Table 2 – Total Captured Incremental Taxes Schedule
Act 381 Brownfield Plan
221 West Webster
Muskegon, MI
$ (1,291,409)
Estimated Taxable Value (TV) Increase Rate: 2% increase per year
Plan Year 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26
Calendar Year 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033
*Base Taxable Value $ - $ - $ - $ - $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409
Future Taxable Value $ 1,464,310 $ 1,464,310 $ 1,493,596 $ 1,523,468 $ 3,667,000 $ 3,115,200 $ 3,165,042 $ 3,215,682 $ 3,225,327 $ 3,254,353 $ 3,322,693 $ 3,402,436 $ 3,467,080 $ 3,515,618 $ 3,631,632 $ 3,813,212 $ 3,889,476 $ 3,967,266 $ 4,046,611 $ 4,127,543 $ 4,210,094 $ 4,294,296 $ 4,380,182 $ 4,467,786 $ 4,557,141 $ 4,648,284
Incremental Difference (New TV - Base TV) $ 1,464,310 $ 1,464,310 $ 1,493,596 $ 1,523,468 $ 2,375,591 $ 1,823,791 $ 1,873,633 $ 1,924,273 $ 1,933,918 $ 1,962,944 $ 2,031,284 $ 2,111,027 $ 2,175,671 $ 2,224,209 $ 2,340,223 $ 2,521,803 $ 2,598,067 $ 2,675,857 $ 2,755,202 $ 2,836,134 $ 2,918,685 $ 3,002,887 $ 3,088,773 $ 3,176,377 $ 3,265,732 $ 3,356,875
School Capture Millage Rate
School Operating 18.0000 $ - $ 5,562 $ 23,453 $ 44,670 $ 48,171 $ 37,949 $ 38,086 $ 38,886 $ 38,949 $ 39,700 $ 40,471 $ 41,824 $ 42,689 $ 42,791 $ 43,630 $ 48,885 $ 46,765 $ 48,165 $ 49,594 $ 51,050 $ 52,536 $ 54,052 $ 55,598 $ 57,175 $ 58,783 $ 60,424
State Education Tax (SET) 6.0000 $ - $ - $ 9,243 $ 17,703 $ 19,664 $ 16,064 $ 15,603 $ 15,795 $ 15,742 $ 16,145 $ 16,096 $ 16,492 $ 16,625 $ 16,795 $ 17,354 $ 18,624 $ 15,588 $ 16,055 $ 16,531 $ 17,017 $ 17,512 $ 18,017 $ 18,533 $ 19,058 $ 19,594 $ 20,141
School Total 24.0000 $ - $ 5,562 $ 32,696 $ 62,373 $ 67,835 $ 54,013 $ 53,689 $ 54,681 $ 54,691 $ 55,845 $ 56,567 $ 58,316 $ 59,314 $ 59,586 $ 60,984 $ 67,509 $ 62,354 $ 64,221 $ 66,125 $ 68,067 $ 70,048 $ 72,069 $ 74,131 $ 76,233 $ 78,378 $ 80,565
Local Capture Millage Rate
MAISD 3.7580 $ - $ 1,905 $ 5,789 $ 11,088 $ 12,315 $ 10,061 $ 9,772 $ 9,892 $ 9,860 $ 10,112 $ 10,082 $ 10,329 $ 10,404 $ 10,441 $ 10,685 $ 11,466 $ 9,764 $ 10,056 $ 10,354 $ 10,658 $ 10,968 $ 11,285 $ 11,608 $ 11,937 $ 12,273 $ 12,615
County Operating 5.5637 $ - $ - $ 8,779 $ 16,814 $ 20,960 $ 15,257 $ 14,819 $ 15,001 $ 14,950 $ 15,334 $ 15,286 $ 15,663 $ 15,788 $ 15,844 $ 16,226 $ 17,412 $ 14,455 $ 14,888 $ 15,329 $ 15,779 $ 16,239 $ 16,707 $ 17,185 $ 17,672 $ 18,170 $ 18,677
County Museum 0.3221 $ - $ 505 $ 1,536 $ 2,943 $ - $ 862 $ 837 $ 848 $ 845 $ 866 $ 864 $ 885 $ 893 $ 895 $ 917 $ 983 $ 837 $ 862 $ 887 $ 914 $ 940 $ 967 $ 995 $ 1,023 $ 1,052 $ 1,081
County Veterans 0.0752 $ - $ - $ 201 $ 196 $ 198 $ 197 $ 203 $ 202 $ 207 $ 208 $ 209 $ 214 $ 229 $ 195 $ 201 $ 207 $ 213 $ 219 $ 226 $ 232 $ 239 $ 246 $ 252
Senior Citizen Services 0.3000 $ - $ - $ - $ 803 $ 676 $ 632 $ 1,312 $ 1,345 $ 1,342 $ 1,375 $ 1,386 $ 1,391 $ 1,424 $ 1,527 $ 779 $ 803 $ 827 $ 851 $ 876 $ 901 $ 927 $ 953 $ 980 $ 1,007
Community College 2.2037 $ - $ 1,117 $ 3,395 $ 6,502 $ 7,222 $ 5,900 $ 5,731 $ 5,802 $ 5,782 $ 5,930 $ 5,911 $ 6,057 $ 6,105 $ 6,127 $ 6,275 $ 6,734 $ 5,725 $ 5,897 $ 6,072 $ 6,250 $ 6,432 $ 6,617 $ 6,807 $ 7,000 $ 7,197 $ 7,398
City Operating 9.5865 $ - $ 5,611 $ 18,591 $ 35,628 $ 39,585 $ 25,666 $ 26,232 $ 26,554 $ 26,473 $ 27,153 $ 27,067 $ 27,725 $ 27,918 $ 27,983 $ 28,521 $ 30,590 $ 24,906 $ 25,652 $ 26,413 $ 27,189 $ 27,980 $ 28,787 $ 29,611 $ 30,450 $ 31,307 $ 32,181
City Sanitation 2.5000 $ - $ - $ - $ - $ - $ 6,693 $ 7,801 $ 7,898 $ 7,871 $ 8,073 $ 8,048 $ 8,246 $ 8,306 $ 8,329 $ 8,493 $ 9,114 $ 6,495 $ 6,690 $ 6,888 $ 7,090 $ 7,297 $ 7,507 $ 7,722 $ 7,941 $ 8,164 $ 8,392
Hackley Library 2.4000 $ - $ 1,217 $ 3,697 $ 7,081 $ 7,865 $ 6,425 $ 6,241 $ 6,318 $ 6,296 $ 6,458 $ 6,438 $ 6,596 $ 6,649 $ 6,668 $ 6,802 $ 7,299 $ 6,235 $ 6,422 $ 6,612 $ 6,807 $ 7,005 $ 7,207 $ 7,413 $ 7,623 $ 7,838 $ 8,057
Central Dispatch 0.3000 $ - $ - $ 983 $ 803 $ 780 $ 789 $ 787 $ 807 $ 804 $ 824 $ 831 $ 834 $ 854 $ 916 $ 779 $ 803 $ 827 $ 851 $ 876 $ 901 $ 927 $ 953 $ 980 $ 1,007
Local Total 27.0092 $ - $ 10,355 $ 41,787 $ 80,056 $ 88,930 $ 72,671 $ 73,085 $ 73,932 $ 74,373 $ 76,281 $ 76,044 $ 77,907 $ 78,488 $ 78,721 $ 80,411 $ 86,270 $ 70,172 $ 72,273 $ 74,416 $ 76,602 $ 78,831 $ 81,106 $ 83,425 $ 85,791 $ 88,205 $ 90,667
Non-Capturable Millages Millage Rate 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033
Community College Debt 0.2700 $ - $ - $ - $ - $ - $ - $ 884 $ 895 $ 892 $ 914 $ 912 $ 935 $ 942 $ 952 $ 984 $ 838 $ 1,050 $ 1,071 $ 1,093 $ 1,114 $ 1,137 $ 1,159 $ 1,183 $ 1,206 $ 1,230 $ 1,255
Hackley Library Debt 0.4999 $ - $ - $ - $ - $ - $ - $ - $ - $ 1,302 $ 1,345 $ 1,305 $ 1,243 $ 1,256 $ 1,218 $ 1,446 $ 1,552 $ 1,944 $ 1,983 $ 2,023 $ 2,063 $ 2,105 $ 2,147 $ 2,190 $ 2,233 $ 2,278 $ 2,324
MPS Debt 7.7500 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
Non-Capturable Total 8.5199 $ - $ - $ - $ - $ - $ - $ 884 $ 895 $ 2,194 $ 2,259 $ 2,217 $ 2,178 $ 2,198 $ 2,170 $ 2,430 $ 2,390 $ 2,995 $ 3,054 $ 3,115 $ 3,178 $ 3,241 $ 3,306 $ 3,372 $ 3,440 $ 3,509 $ 3,579
$ 131,258 $ 134,385 $ 134,828 $ 138,401 $ 140,000 $ 140,477 $ 143,825 $ 156,169 $ 135,520 $ 139,548 $ 143,656 $ 147,847 $ 152,121 $ 156,481 $ 160,928 $ 165,464 $ 170,091 $ 174,810
Total Tax Increment Revenue (TIR) Available for Capture $ - $ 13,136 $ 58,135 $ 111,243 $ 122,848 $ 99,678 $ 99,930 $ 101,273 $ 101,719 $ 104,204 $ 104,328 $ 107,065 $ 108,145 $ 108,514 $ 110,903 $ 120,025 $ 101,349 $ 104,383 $ 107,478 $ 110,635 $ 113,856 $ 117,140 $ 120,491 $ 123,908 $ 127,394 $ 130,949
NOTES:
12/1/2025
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Table 2 – Total Captured Incremental Taxes Schedule
Act 381 Brownfield Plan
221 West Webster
Muskegon, MI
Estimated Taxable Value (TV) Increase Rate:
Plan Year 27 28 29 30 31 32 33 34 35 Totals
Calendar Year 2034 2035 2036 2037 2038 2039 2040 2041 2042
*Base Taxable Value $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409 $ 1,291,409
Future Taxable Value $ 4,741,250 $ 4,836,075 $ 4,932,796 $ 5,031,452 $ 5,132,081 $ 5,234,723 $ 5,339,417 $ 5,446,206 $ 5,555,130 $ 5,610,681
Incremental Difference (New TV - Base TV) $ 3,449,841 $ 3,544,666 $ 3,641,387 $ 3,740,043 $ 3,840,672 $ 3,943,314 $ 4,048,008 $ 4,154,797 $ 4,263,721 $ -
School Capture Millage Rate
School Operating 18.0000 $ 62,097 $ 63,804 $ 65,545 $ 67,321 $ 69,132 $ 70,980 $ 72,864 $ 74,786 $ 76,747 $ 1,733,135
State Education Tax (SET) 6.0000 $ 20,699 $ 21,268 $ 21,848 $ 22,440 $ 23,044 $ 23,660 $ 24,288 $ 24,929 $ 25,582 $ 613,751
School Total 24.0000 $ 82,796 $ 85,072 $ 87,393 $ 89,761 $ 92,176 $ 94,640 $ 97,152 $ 99,715 $ 102,329 $ 2,346,886
Local Capture Millage Rate
MAISD 3.7580 $ 12,965 $ 13,321 $ 13,684 $ 14,055 $ 14,433 $ 14,819 $ 15,212 $ 15,614 $ 16,023 $ 385,844
County Operating 5.5637 $ 19,194 $ 19,721 $ 20,260 $ 20,808 $ 21,368 $ 21,939 $ 22,522 $ 23,116 $ 23,722 $ 575,885
County Museum 0.3221 $ 1,111 $ 1,142 $ 1,173 $ 1,205 $ 1,237 $ 1,270 $ 1,304 $ 1,338 $ 1,373 $ 35,390
County Veterans 0.0752 $ 259 $ 267 $ 274 $ 281 $ 289 $ 297 $ 304 $ 312 $ 321 $ 7,099
Senior Citizen Services 0.3000 $ 1,035 $ 1,063 $ 1,092 $ 1,122 $ 1,152 $ 1,183 $ 1,214 $ 1,246 $ 1,279 $ 32,503
Community College 2.2037 $ 7,602 $ 7,811 $ 8,025 $ 8,242 $ 8,464 $ 8,690 $ 8,921 $ 9,156 $ 9,396 $ 226,290
City Operating 9.5865 $ 33,072 $ 33,981 $ 34,908 $ 35,854 $ 36,819 $ 37,803 $ 38,806 $ 39,830 $ 40,874 $ 1,017,719
City Sanitation 2.5000 $ 8,625 $ 8,862 $ 9,103 $ 9,350 $ 9,602 $ 9,858 $ 10,120 $ 10,387 $ 10,659 $ 249,625
Hackley Library 2.4000 $ 8,280 $ 8,507 $ 8,739 $ 8,976 $ 9,218 $ 9,464 $ 9,715 $ 9,972 $ 10,233 $ 246,372
Central Dispatch 0.3000 $ 1,035 $ 1,063 $ 1,092 $ 1,122 $ 1,152 $ 1,183 $ 1,214 $ 1,246 $ 1,279 $ 29,302
Local Total 27.0092 $ 93,177 $ 95,739 $ 98,351 $ 101,016 $ 103,733 $ 106,506 $ 109,333 $ 112,218 $ 115,160 $ 2,806,031
Non-Capturable Millages Millage Rate 2034 2035 2036 2037 2038 2039 2040 2041 2042
Community College Debt 0.2700 $ 1,280 $ 1,306 $ 1,332 $ 1,358 $ 1,386 $ 1,413 $ 1,442 $ 1,470 $ 1,500 $ 33,134
Hackley Library Debt 0.4999 $ 2,370 $ 2,418 $ 2,466 $ 2,515 $ 2,566 $ 2,617 $ 2,669 $ 2,723 $ 2,777 $ 55,077
MPS Debt 7.7500 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
Non-Capturable Total 8.5199 $ 3,650 $ 3,723 $ 3,798 $ 3,874 $ 3,951 $ 4,030 $ 4,111 $ 4,193 $ 4,277 $ 88,211
$ 179,624 $ 184,534 $ 189,542 $ 194,650 $ 199,861 $ 205,176 $ 210,596 $ 216,126 $ 221,766
Total Tax Increment Revenue (TIR) Available for Capture $ 134,576 $ 138,275 $ 142,048 $ 145,896 $ 149,822 $ 153,826 $ 157,910 $ 162,075 $ 166,324 $ 3,979,474
NOTES:
12/1/2025
Page 12 of 24
Table 3 – Estimated Reimbursement Schedule
Act 381 Brownfield Plan
221 W Webster, LLC
221 W Webster Street
Muskegon, MI
Developer
School & Local
Maximum Proportionality Local-Only Taxes Total
Taxes
Reimbursement Estimated Capture
State 45.0% $ 2,040,010 $ - $ 2,040,010 Estimated Total Administrative Fees $ 340,000
Local 55.0% $ 1,233,015 $ 836,005 $ 2,069,020 Years of Plan: State Brownfield Redevelopment Fund $ 306,876
TOTAL Local Brownfield Revolving Fund $ 778,567
Local-Only 57.1% $ 836,005 $ 836,005
Pre-Approved 42.9% $ 628,305 $ - $ 628,305
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032
Total State Incremental Revenue $ - $ 5,562 $ 32,696 $ 62,373 $ 67,835 $ 54,013 $ 53,689 $ 54,681 $ 54,691 $ 55,845 $ 56,567 $ 58,316 $ 59,314 $ 59,586 $ 60,984 $ 67,509 $ 62,354 $ 64,221 $ 66,125 $ 68,067 $ 70,048 $ 72,069 $ 74,131 $ 76,233 $ 78,378
State Brownfield Redevelopment Fund (50% of SET) $ - $ - $ 4,622 $ 8,852 $ 9,832 $ 8,032 $ 7,802 $ 7,898 $ 7,871 $ 8,073 $ 8,048 $ 8,246 $ 8,313 $ 8,398 $ 8,677 $ 9,312 $ 7,794 $ 8,028 $ 8,266 $ 8,508 $ 8,756 $ 9,009 $ 9,266 $ 9,529 $ 9,797
State TIR Available for Reimbursement $ - $ 5,562 $ 28,075 $ 53,522 $ 58,003 $ 45,981 $ 45,888 $ 46,784 $ 46,820 $ 47,773 $ 48,519 $ 50,070 $ 51,002 $ 51,189 $ 52,307 $ 58,197 $ 54,559 $ 56,193 $ 57,859 $ 59,559 $ 61,292 $ 63,061 $ 64,864 $ 66,704 $ 68,580
Total Local Incremental Revenue $ - $ 10,355 $ 41,787 $ 80,056 $ 88,930 $ 72,671 $ 73,085 $ 73,932 $ 74,373 $ 76,281 $ 76,044 $ 77,907 $ 78,488 $ 78,721 $ 80,411 $ 86,270 $ 70,172 $ 72,273 $ 74,416 $ 76,602 $ 78,831 $ 81,106 $ 83,425 $ 85,791 $ 88,205
BRA Administrative Fee ($10,000 per anum) $ - $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000
Local TIR Available for Reimbursement $ - $ 355 $ 31,787 $ 70,056 $ 78,930 $ 62,671 $ 63,085 $ 63,932 $ 64,373 $ 66,281 $ 66,044 $ 67,907 $ 68,488 $ 68,721 $ 70,411 $ 76,270 $ 60,172 $ 62,273 $ 64,416 $ 66,602 $ 68,831 $ 71,106 $ 73,425 $ 75,791 $ 78,205
Total State & Local TIR Available $ - $ 5,917 $ 59,862 $ 123,578 $ 136,933 $ 108,652 $ 108,973 $ 110,716 $ 111,193 $ 114,054 $ 114,563 $ 117,977 $ 119,490 $ 119,910 $ 122,718 $ 134,467 $ 114,731 $ 118,466 $ 122,275 $ 126,161 $ 130,124 $ 134,166 $ 138,290 $ 142,495 $ 146,785
Beginning
DEVELOPER Balance
Reimbursement Balance $ 1,464,310 $ 1,464,310 $ 1,553,573 $ 1,600,881 $ 1,588,326 $ 1,561,851 $ 1,511,730 $ 1,457,716 $ 1,399,945 $ 1,339,603 $ 1,274,215 $ 1,205,953 $ 1,131,805 $ 1,053,463 $ 971,864 $ 884,502 $ 782,231 $ 696,004 $ 613,764 $ 523,988 $ 425,652 $ 318,202 $ 201,080 $ 73,697 $ (64,568) $ (214,371)
MSHDA Costs
State Tax Reimbursement $ -
Local Tax Reimbursement $ -
Total MSHDA Reimbursement Balance
Pre-Approved Activities (EGLE/MEDC) $ 628,305 $ 628,305 $ 628,305 $ 622,566 $ 578,598 $ 490,048 $ 392,580 $ 315,264 $ 237,834 $ 159,084 $ - $ - $ (81,541) $ (165,565) $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
State Tax Reimbursement $ 2,040,010 $ - $ 5,562 $ 28,075 $ 53,522 $ 58,003 $ 45,981 $ 45,888 $ 46,784 $ 46,820 $ 47,773 $ 48,519 $ 50,070 $ 51,002 $ 51,189 $ 52,307 $ 58,197 $ 54,559 $ 56,193 $ 57,859 $ 59,559 $ 61,292 $ 63,061 $ 64,864 $ 66,704 $ 68,580
Local Tax Reimbursement $ 1,233,015 $ - $ 178 $ 15,894 $ 35,028 $ 39,465 $ 31,336 $ 31,543 $ 31,966 $ 32,187 $ 33,141 $ 33,022 $ 33,954 $ 34,244 $ 34,361 $ 35,206 $ 38,135 $ 30,086 $ 31,136 $ 32,208 $ 33,301 $ 34,416 $ 35,553 $ 36,713 $ 37,896 $ 39,102
Total Pre-Approved Reimbursement Balance $ 628,305 $ 622,566 $ 578,598 $ 490,048 $ 392,580 $ 315,264 $ 237,834 $ 159,084 $ (81,541) $ (165,565)
MEDC Non-Environmental Costs
State Tax Reimbursement
Local Tax Reimbursement
Total MEDC Reimbursement Balance
Local-Only Costs $ 836,005 $ 836,005 $ 836,005 $ 835,828 $ 819,934 $ 784,906 $ 745,441 $ 714,106 $ 682,563 $ 650,597 $ 618,411 $ 585,270 $ 552,248 $ 518,295 $ 484,051 $ 449,690 $ 414,485 $ 376,350 $ 346,264 $ 315,127 $ 282,919 $ 249,619 $ 215,203 $ 179,650 $ 142,937 $ 105,042
Local Tax Reimbursement $ 1,233,015 $ - $ 178 $ 15,894 $ 35,028 $ 39,465 $ 31,336 $ 31,543 $ 31,966 $ 32,187 $ 33,141 $ 33,022 $ 33,954 $ 34,244 $ 34,361 $ 35,206 $ 38,135 $ 30,086 $ 31,136 $ 32,208 $ 33,301 $ 34,416 $ 35,553 $ 36,713 $ 37,896 $ 39,102
Total Local-Only Reimbursement Balance $ 836,005 $ 835,828 $ 819,934 $ 784,906 $ 745,441 $ 714,106 $ 682,563 $ 650,597 $ 618,411 $ 585,270 $ 552,248 $ 518,295 $ 484,051 $ 449,690 $ 414,485 $ 376,350 $ 346,264 $ 315,127 $ 282,919 $ 249,619 $ 215,203 $ 179,650 $ 142,937 $ 105,042 $ 65,939
Simple Interest Expense $ 1,464,310 $ 1,553,573 $ 1,600,881 $ 1,588,326 $ 1,561,851 $ 1,511,730 $ 1,457,716 $ 1,399,945 $ 1,339,603 $ 1,274,215 $ 1,205,953 $ 1,131,805 $ 1,053,463 $ 971,864 $ 884,502 $ 782,231 $ 696,004 $ 613,764 $ 523,988 $ 425,652 $ 318,202 $ 201,080 $ 73,697 $ (64,568) $ (214,371)
Annual Interest Incurred @ 6.5% $ - $ 95,180 $ 107,169 $ 111,023 $ 110,458 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
Annual Interest Incurred @ 3.5% $ - $ - $ - $ - $ - $ 58,531 $ 54,959 $ 52,944 $ 50,851 $ 48,666 $ 46,301 $ 43,829 $ 41,147 $ 38,311 $ 35,356 $ 32,195 $ 28,505 $ - $ - $ - $ - $ - $ - $ - $ -
Annual Interest Incurred @ 5.0% $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 36,225 $ 32,499 $ 27,824 $ 22,674 $ 17,044 $ 10,906 $ 4,230 $ (3,017)
Local Tax Reimbursement
Total Interest Reimbursement Balance $ 1,464,310 $ 1,648,753 $ 1,708,050 $ 1,699,350 $ 1,672,309 $ 1,570,261 $ 1,512,676 $ 1,452,888 $ 1,390,454 $ 1,322,881 $ 1,252,254 $ 1,175,634 $ 1,094,610 $ 1,010,176 $ 919,859 $ 814,426 $ 724,509 $ 649,989 $ 556,488 $ 453,477 $ 340,876 $ 218,124 $ 84,603 $ (60,338) $ (217,387)
Total Annual Developer Reimbursement $ - $ 5,917 $ 59,862 $ 123,578 $ 136,933 $ 108,652 $ 108,973 $ 110,716 $ 111,193 $ 114,054 $ 114,563 $ 117,977 $ 119,490 $ 119,910 $ 122,718 $ 134,467 $ 114,731 $ 118,466 $ 122,275 $ 126,161 $ 130,124 $ 134,166 $ 138,290 $ 142,495 $ 146,785
LOCAL BROWNFIELD REVOLVING FUND
LBRF Deposits * $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
State Tax Capture $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
Local Tax Capture $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 82,157 $ 146,785
Total LBRF Capture $ 778,567 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
* Up to five years of capture for LBRF Deposits after eligible activities are reimbursed. May be taken from state and local TIR.
12/1/2025
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Table 3 – Estimated Reimbursement Schedule
Act 381 Brownfield Plan
221 W Webster, LLC
221 W Webster Street
Muskegon, MI
26 27 28 29 30 31 32 33 34 35
2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 TOTAL
Total State Incremental Revenue $ 80,565 $ 82,796 $ 85,072 $ 87,393 $ 89,761 $ 92,176 $ 94,640 $ 97,152 $ 99,715 $ 102,329 $ 2,346,886
State Brownfield Redevelopment Fund (50% of SET)
$ 10,071 $ 10,350 $ 10,634 $ 10,924 $ 11,220 $ 11,522 $ 11,830 $ 12,144 $ 12,464 $ 12,791 $ 306,876
State TIR Available for Reimbursement $ 70,494 $ 72,447 $ 74,438 $ 76,469 $ 78,541 $ 80,654 $ 82,810 $ 85,008 $ 87,251 $ 89,538 $ 2,040,010
Total Local Incremental Revenue $ 90,667 $ 93,177 $ 95,739 $ 98,351 $ 101,016 $ 103,733 $ 106,506 $ 109,333 $ 112,218 $ 115,160 $ 2,806,031
BRA Administrative Fee ($10,000 per anum) $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 340,000
Local TIR Available for Reimbursement $ 80,667 $ 83,177 $ 85,739 $ 88,351 $ 91,016 $ 93,733 $ 96,506 $ 99,333 $ 102,218 $ 105,160 $ 2,466,031
Total State & Local TIR Available $ 151,161 $ 155,624 $ 160,177 $ 164,820 $ 169,556 $ 174,388 $ 179,315 $ 184,342 $ 189,468 $ 194,698 $ 4,506,041
DEVELOPER
Reimbursement Balance $ (376,401) $ (551,388) $ (740,103) $ (943,355) $ (1,162,001) $ (1,396,943) $ (1,649,133) $ (1,919,575) $ (2,209,327) $ (2,519,505) $ -
MSHDA Costs
State Tax Reimbursement
Local Tax Reimbursement
Total MSHDA Reimbursement Balance
Pre-Approved Activities (EGLE/MEDC) $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
State Tax Reimbursement $ 70,494 $ 72,447 $ 74,438 $ 76,469 $ 78,541 $ 80,654 $ 82,810 $ 85,008 $ 87,251 $ 89,538 $ 2,040,010
Local Tax Reimbursement $ 40,333 $ 41,589 $ 42,869 $ 44,175 $ 45,508 $ 46,867 $ 48,253 $ 49,667 $ 51,109 $ 52,580 $ 1,233,015
Total Pre-Approved Reimbursement Balance
MEDC Non-Environmental Costs
State Tax Reimbursement
Local Tax Reimbursement
Total MEDC Reimbursement Balance
Local-Only Costs $ 65,939 $ 25,606 $ (15,983) $ (58,852) $ (103,027) $ (148,535) $ (195,402) $ (243,655) $ (293,322) $ (344,430) $ -
Local Tax Reimbursement $ 40,333 $ 41,589 $ 42,869 $ 44,175 $ 45,508 $ 46,867 $ 48,253 $ 49,667 $ 51,109 $ 52,580 $ 1,233,015
Total Local-Only Reimbursement Balance $ 25,606 $ (15,983) $ (58,852) $ (103,027) $ (148,535) $ (195,402) $ (243,655) $ (293,322) $ (344,430) $ (397,010) $ 1,233,015
Simple Interest Expense $ (376,401) $ (551,388) $ (740,103) $ (943,355) $ (1,162,001) $ (1,396,943) $ (1,649,133) $ (1,919,575) $ (2,209,327) $ (2,519,505)
Annual Interest Incurred @ 6.5% $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 423,830
Annual Interest Incurred @ 3.5% $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 531,595
Annual Interest Incurred @ 5.0% $ (10,869) $ (19,364) $ (28,538) $ (38,432) $ (49,089) $ (60,554) $ (72,875) $ (86,100) $ (100,284) $ (115,481) $ 119,223
Local Tax Reimbursement $ -
Total Interest Reimbursement Balance $ (387,270) $ (570,752) $ (768,640) $ (981,787) $ (1,211,090) $ (1,457,497) $ (1,722,008) $ (2,005,675) $ (2,309,611) $ (2,634,986) $ -
Total Annual Developer Reimbursement $ 151,161 $ 155,624 $ 160,177 $ 164,820 $ 169,556 $ 174,388 $ 179,315 $ 184,342 $ 189,468 $ 194,698 $ 4,506,041
LOCAL BROWNFIELD REVOLVING FUND
LBRF Deposits * $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 778,567
State Tax Capture $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
Local Tax Capture $ 151,161 $ 155,624 $ 160,177 $ 82,663 $ - $ - $ - $ - $ - $ - $ 778,567
Total LBRF Capture $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
* Up to five years of capture for LBRF Deposits after eligible activities are reimbursed. May be taken from state and local TIR.
12/1/2025
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SECOND AMENDMENT TO THE BROWNFIELD DEVELOPMENT AND
REIMBURSEMENT AGREEMENT (Site S -- Betten Auto Dealership)
THIS Second Amendment, made this ninth day of December 2025, (the “Second
Amendment”), by and among the CITY OF MUSKEGON, of 933 Terrace Street, Muskegon,
Michigan 49440 (the “City”), and the BROWNFIELD REDEVELOPMENT AUTHORITY
OF THE CITY OF MUSKEGON, an authority established pursuant to Act 381 of the Public
Acts of 1966, as amended (“Act 381”), of 933 Terrace Street, Muskegon, Michigan 40440 (the
“Authority”).
With reference to the following facts and circumstances:
RECITALS
A. Pursuant to Act 381, the Authority has prepared a Brownfield Plan which was duly
approved by the Commissioners of the City, and an Amendment thereto which incorporates the
Betten Automotive Dealerships project; which Amendment was duly approved by the Authority
on April 1, 2008, then approved by the Authority as revised on May 13, 2008, and approved as
revised by the Commissioners of the City on May 13, 2008, and approved as revised by the
Commissioners of the City on May 13m 2008 (the “Brownfield Plan”).
B. A First Amendment to the Brownfield Development and Reimbursement
Agreement was adopted in 2012 to add 2425 South Henry Street.
C. In 2012, City acquired Developer’s eligible expenses as defined in the
Development and Reimbursement Agreement for $1,660,000. See First Amendment.
D. Due to economic conditions, which affected intended development, the
Authorities tax capture has not performed as anticipated.
E. The Authority owes City $613,000 as of December 1st, 2025 for eligible activities
in this project.
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F. The Authority and City agree to extend the term of the Agreement by up to
fourteen (14) years as follows.
1. Paragraph 3(b) shall be revised to read as follows:
(b) Reimbursement to Developer for its Eligible Costs shall be limited to the earliest
or least of the following: (1) reimbursement of all Eligible Costs under this
Agreement; (2) reimbursement of the Eligible Costs other than the City’s cost for
the Henry Street Resurfacing, together with the City’s cost for the Henry Street
Resurfacing (as described in Section 7) in an amount not to exceed Three Hundred
Thousand and No/100 Dollars ($300,000), in the total maximum amount of Three
Million and No/100 Dollars ($3,000,000) (the “$3,000,000 Cap”); or (3) in
recognition that the build-out of the project will likely not be substantially complete
and available for the Developer’s productive use until after the effective date for
the 2009 tax year assessment, and in recognition of the City’s desire to cap the
reimbursement to the Developer for Developer’s Eligible Costs after thirty (30)
years from the substantial completion of the project, after reimbursement to
Developer for Developer’s Eligible Costs in the total amount of all Tax Increment
Revenues billed and eligible for capture under the Plan and this Agreement from
the date of this Agreement through December 31, 2039 (the “30 Year Cap”).
2. Paragraph 5 shall be revised to read as follows:
(a) The Developer and the City agree that Developer shall undertake and complete to
the City’s reasonable satisfaction the relocation of a sanitary sewer line located in
the east side of the project. Notwithstanding any other provision of this Agreement,
reimbursement to the Developer for up to Seventy-Five Thousand and No/100
Dollars ($75,000) of its costs for this sewer line relocation shall, for accounting
purposes only, not be considered in calculation of the $3,000,000 Cap or the 30
Year Cap, insofar as reimbursement for such Eligible Costs would limit
reimbursement to Developer of its other Eligible Costs per the terms of this
Agreement; in such case, reimbursement for the Eligible Costs would continue if
and as necessary to reach the $3,000,000 Cap or the 16 Year Cap, whichever comes
first. The Developer’s costs for this sewer line relocation in excess of Seventy-Five
Thousand and No/100 Dollars ($75,000) shall be considered part of the Developer’s
Eligible Costs and included in and applied against the $3,000,000 Cap and/or the
30 Year Cap, and subject to reimbursement to the Developer as such as otherwise
provided under this Agreement.
(b) The Developer shall use a “sewer camera” to investigate the condition of the
existing sewer line located in the West side of the Project, and shall undertake
reasonably necessary cleaning and repairs to the portion of that sewer line within
the Project site, at a cost to the Developer not to exceed One Hundred Fifty
Thousand and No/100 Dollars ($150,000). The costs associated with televising,
cleaning, and/or repairing this West side sewer line shall be Eligible Costs.
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Notwithstanding, if the foregoing costs exceed One Hundred Fifty Thousand and
No/100 Dollars ($150,000), such excess amounts will be paid by the City but may,
at the City’s option, only reimbursed to the City from the captured Tax Increment
Revenues at any time after the earliest of the fulfillment of the 30 Year Cap, the
$3,000,000 Cap, or reimbursement of all of Developer’s Eligible Costs under this
Agreement.
3. Paragraph 7(b) shall be revised to read as follows:
(c) The City’s costs for the Henry Street Resurfacing, up to a maximum of Three
Hundred Thousand and No/100 Dollars ($300,000), shall be reimbursed to the City
over a period of years from the captured Tax Increment Revenues. The amount of
such reimbursement in any year shall be determined by multiplying the total dollar
amount incurred and paid by the City for the Henry Street Resurfacing as of
December 31 of the then most recent past calendar year by ten percent (10%),
provided that the amount of such reimbursement in any year shall not exceed Thirty
Thousand and No/100 Dollars ($30,000). Reimbursement under this formula shall
continue until all such costs incurred and paid by the City for the Henry Street
Resurfacing (to the maximum amount of Three Hundred Thousand and No/100
Dollars ($300,000) have been paid in full. All such reimbursement(s) to the City in
a total amount not to exceed Three Hundred Thousand and No/100 Dollars
($300,000) shall be included in and applied against the 30 Year Cap and the
$3,000,000 Cap, and shall be paid in full by the time the earlier of the 30 Year Cap
or the $3,000,000 Cap is reached. Notwithstanding any other provision of this
Section 7(b), if in the year that the $3,000,000 Cap or the 30 Year Cap is reached,
the City has not yet been fully reimbursed for the lesser of all of its Eligible Costs
or Three Hundred Thousand and No/100 Dollars ($300,000) for the Henry Street
Resurfacing, the City may be reimbursed in that year in an amount which exceeds
Thirty Thousand and No/100 Dollars ($30,000).
4. Paragraph 7(d) shall be revised to read as follows:
(d) If the City incurs and pays more than for Three Hundred Thousand and No/100
Dollars ($300,000) for the Henry Street Resurfacing during the term of this
Agreement, such excess amount may, at the City’s option, be reimbursed to the
City from the captured Tax Increment Revenues at any time after the earliest of the
fulfillment of the 30 Year Cap, the $3,000,000 Cap, or reimbursement of all of
Developer’s Eligible Costs under this Agreement.
5. Paragraph 9 shall be revised to read as follows:
From the Tax Increment Revenues collected during the term of this Agreement, the
Authority shall be paid the sum of Ten Thousand and No/100 Dollars ($10,000) per
calendar year for its administration of the Plan (the “Authority Fee”), provided
that if the total Tax Increment Revenues captured (or, if Developer fails to timely
pay its property taxes on the project, the amount capturable if such taxes were
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timely paid) in any calendar year are insufficient to pay the Authority Fee for that
year shall accrue and be paid according to the Payment Priority Schedule in the
next year in which sufficient captured Tax Increment Revenues are available.
Notwithstanding anything to the contrary in this Agreement, the Authority Fee shall
not be considered as part of or applied to the calculation of the 30 Year Cap or the
$3,000,000 Cap (as is the case for the $75,000 of the sewer costs detailed in section
5 of this Agreement) and for accounting purposes shall be deemed to be collected
and paid after the Developer has been repaid the entirety of its Eligible Costs per
the terms of this Agreement.
6. Paragraph 10(c) shall be revised to read as follows:
(e) Interest shall accrue on the Developer’s costs for Eligible Activities at the rate of
six and one-half percent (6.5%) per annum. Such interest shall be included in the
Eligible Costs for purposes of this Agreement. Interest shall begin to accrue on any
such costs on the date that Developer submits to the Authority evidence of its
payment of such Eligible Costs and shall continue to accrue on all unreimbursed
costs for Eligible Activities submitted by Developer until the earlier of the 30 Year
Cap or upon payment of all Eligible Costs up to the $3,000,000 Cap.
7. In all other respects, City of Muskegon Brownfield Development and Reimbursement
Agreement for Site S -- Betten Auto Dealership are unaffected and remain in full force and effect.
The parties have executed this Second Amendment in supplicate original on the date set forth
above.
THE CITY OF MUSKEGON BROWNFIELD REDEVELOPMENT
AUTHORITY OF THE CITY OF MUSKEGON
By: _______________________________ By: ________________________________
Its: _______________________________ Its: ________________________________
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