Downtown Business Improvement District Agenda 11-22-2016

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      Downtown Muskegon Business Improvement District

                                         Meeting Agenda


                                          Nov. 22, 2016


                             380 Western Ave., Suite 202 Muskegon, MI at 4 PM



1) Call to Order



2) Consent Agenda
       a) Approval of Agenda
       b) Approval of Minutes from the regular meeting Sept. 27, 2016
       c) Acceptance of financial statements as of Nov. 15, 2016


3) Public Comment (on an agenda item)


4) Unfinished Business


       a) Final approval of a Letter of Understanding between the BID and city Department of
       Public Works for downtown sidewalk snow removal for the 2016-17 winter


5) New Business


       a)    Approve 2016-17 fiscal year BID budget and work plan through June 30, 2017.
       b)    Acontinued discussion on how the BID board wants to proceed with the extension of
             the BID beyond 2017


6) Other Business


       a)    Update on BID support of events and decorations
        b)   Discussion of board chairmanship and board composition going into 2017
       c)    Next meeting is Tuesday Jan. 24, 2017 4 p.m. chamber training room, 380 W.
             Western Ave. Suite 202, Muskegon, MI or at the call of the chair.




7) Adjournment
To: BID Board
                                                           C\
                                                           , |           O

From: Dave Alexander, Downtown Muskegon Now                ON ww                 >
Date: Nov. 18, 2016


Re: Comments/background on agenda items for Nov. 22, 2016 meeting




Here are some comments and observations on the agenda items on the BID board for Nov. 22, 2016:




Financial Statements -- The city has provided a financial accounting of the BID fund through Oct. 31. As
of Oct. 31, 2016, the BID received $102,508 or 81 percent of the expected revenue. The remaining 19
percent of the assessment revenue will be paid through the winter property tax collection due Feb. 15,
2017. The city will post that revenue and all of the revenue collected for the 2017 BID to our account in
March 2017. Those that are delinquent in paying by Feb. 15 will be put into the Muskegon County
delinquent property tax bond. Those payments from the bond will come from the county in May. The
Oct. 31, 2016 expenditures totaled $48,843 for the year. In summary, the collections have come in solid
through the second half of the year and expenditures remain conservative for a healthy fund balance
going into 2017.


BID-DPW Letter of Understanding — At the BID board’s Sept. 27 meeting, the board unanimously
approved the concept of the city of Muskegon Department of Public Works providing sidewalk snow
removal and landscaping services downtown for 2017. The city is unable to provide parking lot and alley
snow removal in a timely enough manner so the board directed me to secure those services with H&H
for the coming season. | have done so for $2,200 a month for November-March. The H&H agreement is
in the packet. The BID would have an additional $12,200 a month for sidewalk snow removal for the
five winter months in 2017 and $9,100 total for November-December 2016.

The board asked me to work up a letter of understanding with the city concerning sidewalk snow
removal for this coming winter. An initial letter was drafted in a conversation between DPW Director
Mohammed Al-Shatel and myself. That letter was reviewed and adjusted after BID board member Gary
Post and | sat with Mo at the request of Chairman Doug Pollock. The second version of the letter and
sidewalk snow removal map is in the packet. It reflects:

    e   The BID would pay the city $9,100 as a retainer for November and December 2016 services as
        outlined in the letter. Any actual costs beyond that amount would be negotiated in 2017 with
        the BID board.
    e   The BID will pay the city $7,500 a month as a retainer for the services for January, February,
        March, November and December 2017. Actual costs beyond $7,500 a month will be charged the
        BID ona time and materials basis. The city realizes that the BID has an average of $12,200 to pay
        for sidewalk services for each the five winter months of 2017.
    e   The trigger for service is 2 inches of snow any weekday, weekend or holiday. Weekend and
        holiday service is limited to the downtown core sidewalks supporting events and activities. See
        the letter and the accompanying map.
Gary Post has provided his comments on the letter of understanding:

         I'm good with what's proposed and believe it sets up a good starting point until we get a better
         handle on how this all goes. As I've mentioned before, my 'concern' mostly has to do with
         weekends. Believing that we need more than nine to five, five days per week activities
         downtown, just want to make sure downtown is as attractive and navigable on weekends as it is
         on weekdays. Let's see how things go and how costs stack up.     But, there may be a few
         sidewalk, perhaps, that can be added as things progress.


Doug Pollock raised good questions. Here they are with my response to each point:


    1)   First it looks like we can save $9100 right off the bat with November. Weather forecast are
         already out through November 21° with no snow or even freezing temperatures the entire
         time. At the very least this should be negotiated down to include just the last week of
         November.
         DA: | would suggest half of the amount in payment up front for the last two months of 2016 at
         roughly $4,500 with the rest available for time and materials or going to fund balance moving
         into 2017. The city needs the retainer funds to hire the fulltime person they want down here.
         Frank says it gives us the instant service that we are looking for.
         | think there may be an error in the statement that says “City officials are aware the BID has an
         average of $12,200 a month total for sidewalk snow removal services...” | think this should say
         “snow removal services” and not “sidewalk snow removal services” as | think it includes the
         $2200 per month we have committed to H&H to clear the parking lots and alleys.
         DA: No. We have $72,000 total for five months of snow removal. $2,200 a month will go to
         H&H or $11,000 for five months. That leaves $61,000 for sidewalks ... over five months
         $12,200 a month. My math on that before was wrong.
         am still having some trouble with cutting back services on the weekends and holidays as those
         are the times most important to downtown to have the sidewalks walkable.
         DA: Understand.

    4)   Dave, can you explain what you mean by Sidewalk plowing on weekends and holidays will be
         triggered by downtown needs?
         DA: | or downtown BID Board residents helping, can call in needed services or extra work
         when snow accumulations and downtown events dictate. But that goes to spending resources
         on a time (overtime) and material basis. If it is a late Sunday with nothing going on, let it snow
         until Monday morning regular clearing. With communications to city DPW, we can contain
         costs and in the end get better service when we need it the most. | hope that helps.

    5)   Why would monthly costs and invoices go to Downtown Muskegon Now? | thought we had
         released all budgeted funds except snow removal and landscaping to DMN. | certainly could be
         remembering that wrong. | think the negotiations of the contract with the city should go with
         the invoices. At the very least | think the BID board should be copied in real time on all charges
         and invoices for these services to ensure they meet the spirit of the agreement we are working
         out with them.
         DA: The invoices can go where ever the BID board wants them but in the end it will be the
         DPW bills going to city finance to be paid out of the BID budget. | would suggest they go to
         DMN on the monthly basis for approval for finance department fund transfer. Mo has offered
         to provide weekly, twice-weekly or monthly accounting of time and material costs, showing us
         where we are ahead or behind our retainer. | can share those with the BID board week-to-
         week if you’d like.
   6)   Inthe past the trigger was 1.5” for sidewalk plowing. | feel with all these restrictions and
        changes we are getting a lot less for our money.
        DA: | really don’t think the half inch is really going to make but one or two decisions for us.
        The original city offer was 1.5 inches on weekdays and 3 inches on weekends. Gary suggested
        the 2 inches every day.
   7)   With it being November already, we are sort of forced into working this out. | would suggest for
        next year, especially if it is a three or five year BID agreement, that we go back to putting out an
        RFP with our requirements. It is our responsibility to represent the downtown business owners
        and operators and we need to get the most we can for their hard earned dollars. Maybe we
        could make that a part of the reorganization planning discussion that we will hold over the
        winter.   Is there a way to make next November and December conditional in this agreement
        based on next year’s RFP? Is it better to bid this out by the “winter season” or calendar year?
        DA: Let’s see how the city does this winter and then make that decision. You might be right
        and with a longer term we should test the private market for sure. | think the RFP,
        unfortunately, needs to be done by snow season not our calendar year. No private operator is
        going to give you a good price on November-December without having the business the next
        three months of the next year, I think. But our budget will be going to the city’s fiscal year of
        July 1-June 30 so a winter season will be in one budget, although revenues will continue to be
        for the calendar year. The budget situation will be presented Nov. 22. | have had a detailed
        conversation with Derrick Smith, finance director.



| have asked both City Manager Frank Peterson, a BID board member, and Mo to be at the Nov. 22
meeting. | hope to have a consensus at the meeting on a final letter that | can write up and have the BID
and the city DPW sign. We would then approach landscaping in the late winter with another letter of
understanding with the city.

FY2016-17 BID budget
                   — As | mentioned at the Sept. 27 meeting, city Finance Director Derrick Smith and
the city’s auditor has asked that we have a budget in line with the city’s fiscal year of July 1-June 30.
With city commission approval of the BID for 2017,      |am proposing a BID budget from Jan. 1-June 30. It is
the first column of the 2017 budget in your packet. | will then update the budget and present the second
half in May for the city’s FY2017-18, July 1-Dec. 31.


| have provided you the initial budget document from the BID extension process. The fund balance and
estimated revenue numbers have been updated as more expenditures have occurred in the past three
months and revenues were reduced when the city assessor’s office finalized the assessment roll. The
Muskegon Business Improvement District 2017 Budget is included and the approval is needed for the
first six months of 2017 (first column). The first six months includes all of the anticipated revenues being
provided by the city and the county. The snow removal item reflects three of five winter months in
2017. Everything else is a 50-50-split of the expenditures.


BID beyond 2017 — We need to continue to contemplate how we will proceed with the BID beyond the
city commission’s approval for 2017. Bob Tarrant has agreed to help lead us through this process. The
BID board needs to make a recommendation to the Muskegon City Commission by July 1, 2017. The
issues to be decided includes whether to whether extend the BID at all. If extending it, the other
decisions on are for how many years, the district boundaries, the assessment categories and their
definitions, assessment rates, an annual budget and method of payment (likely staying with winter
property tax bills). Please email your ideas to Bob, Doug or myself and share them with all of the BID
board members. Or, bring your ideas to the Nov. 22 meeting. We really need to get into serious
discussions beginning with the January 2017 meeting.

Events and decorations — Ellen Berends and | can update you at the meeting on the last First Fridays,
Oct. 29 Halloween event at the Farmers Market and upcoming Holiday in the Cities event Nov. 26. We
can also tell you about the fall and Christmas decorations supported by the BID.


BID board organization for 2017 — | have provided a copy of the BID by-laws and the resolution from the
city making the initial appointments back in 2015.


BID board meeting schedule for 2017 — | would hope to continue meeting every other month. Starting
in January. Right now we are meeting the fourth Tuesday of every other month at 4 p.m. in the chamber

training room. If that continues our next meeting would be Tuesday Jan. 24, 2017 4 p.m. in the chamber
training room, 380 W. Western Ave., Suite 202, Muskegon, MI. The other meetings on that schedule for

2017 would be March 28, May 23, July 25, Sept. 26 and Nov. 28. You can set the meeting schedule now
or in January.
       Downtown Muskegon Business Improvement District

                                              Meeting Minutes

                                              Sept. 27, 2016

                        380 W. Western Ave., Suite 202 Muskegon, MI at 4 PM

1)   Call to Order: 4:00 PM


2)   Attendance:
           Doug Pollock (Chair), Justin Clark (VC), Gary Post, John Riegler, Bruce Lindstrom, Mike
           Hennessy, Bob Tarrant (via conference call) and Frank Peterson


           Excused Absent(s): and Connie Taylor


           Guests: Dave Alexander, Downtown Muskegon Now director and Dennis Lohman,
           Northwester Industrial sales.


3)   Consent Agenda


      a)     Approval of Agenda, minutes from July 25 and Aug. 1, 2016 meetings, acceptance of
             the financial statements as of Sept. 19, 2016, review of expenses being paid by the
             BID, bill from Muskegon County Equalization for BID analysis work, review of line
             items for the last quarter of the BID year.


            Motion: Frank Peterson
           Support: Bruce Lindstrom
           Vote: All voted in favor


4)   Public Comment (on an agenda item) — None. The board chose to leave the floor open for
     the whole meeting allowing attendees to participate as they like.


5)   Unfinished Business


       a)    BID update from Dave Alexander, Downtown Muskegon Now. Alexander discussed
             the on landscaping, planters, signs and events..
       b)    Alexander outlined getting the BID renewal in pretty much a status quo as to district
             and assessment rates. The first of two BID public hearings before the Muskegon City
             Commission was scheduled for right after the BID Board meeting. The final public
             hearing is slated for Oct. 25.


6)   New Business




       a)    Alexander sought approval on the direction the BID would take for providing its major
             services of snow removal and landscaping. For the first year, the BID contracted with
             H&H of North Muskegon to provide snow removal and landscaping. The city of
             Muskegon through City Manager Frank Peterson and the city commission has sought

                                                      1
         a higher level of service. In doing downtown landscaping, coordination of those
         services was an issue. In talks with Peterson, the city is offering to provide snow
         removal and landscaping through the city’s Department of Public Works for 2017. As
         for the most immediate need for snow removal this winter, the city would be unable to
         provide parking lot and alley snow removal on a timely basis. The BID would seek
         parking lot and alley snow removal services from H&H and the city would provide the
         sidewalk snow removal services.


         Justin Clark said this was the right path. Bob Tarant said the BID could get more bang
         for it buck. Gary Post said he agreed with the direction, being a value added
         proposition for the BID.


         The BID Board agreed that Alexander and city officials would draw up a letter of
         agreement or understanding. That draft letter would be reported back to the BID
         Board, Doug Pollock said. That would come back to the BID board for discussion and
         a final decision. John Riegler said this seems to be a “win-win.” When it comes to
         snow removal and landscaping, Pollock said he would like to keep those two separate
         agreements.


          Motion: Justin Clark
         Support: John Riegler
         Vote: All voted in favor




      b) A discussion on how the board wants to approach the next year in deciding the future
          of the BID beyond 2017. Bob Tarrant said he would lead the BID through that analysis.
          Ideas are to be sent to Alexander and discussed at the Nov. 22 meeting and into 2017.



7)   Other Business

      a) Alexander provided an update on the highly successful cruise ship visits this year and
          the need to continue developing the Heritage District concept for 2017 and beyond.
      b) Alexander had conversation with city Finance Director Derrick Smith on the need for
          the BID budget to coincide with the city’s budget year of July 1-June 30. Alexander will
          work with Smith to prepare a “half year” budget for 2017 through June 30. It will be
          presented at the Nov. 22 meeting if the BID is formally approved for 2017 by the city
          commission.
      c) The next meeting is Tuesday Nov. 22, 2016 4 p.m. in the chamber training room, 380
          W. Western.




8)   Adjournment
     5:05 PM
     No Objection



Minutes produced and submitted by Dave Alexander, executive director of Downtown
Muskegon Now.
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                                         Letter of Understanding

        City of Muskegon DPW and Muskegon downtown Business Improvement District

This is a Letter of Understanding between the Muskegon downtown Business Improvement District (BID)
and city of Muskegon Department of Public Works (city) concerning the snowplowing of downtown
sidewalks for the winter season from Nov. 1, 2016 to April 1, 2017. City and BID officials will work
together to provide the snow removal services the most efficient, cost-effective way.


The BID board voted on Sept. 27, 2016 to seek sidewalk snow plowing services from the city for the
upcoming winter season. H&H Landscaping and Snowplowing Services of North Muskegon will continue
providing parking lot and alleyway snow removal this coming season as they have in previous winters.
The BID board feels the city will have the equipment, staff and resources to provide a superior service
and will be able to coordinate sidewalk plowing with street plowing.

For last two months of 2016, the BID will pay the city $9,100 as a retainer to provide the outlined
services below for November and December with actual costs above that to be negotiated going into
the winter months of 2017. For 2017, the BID will pay a monthly retainer of $7,500 for the services
outlined below for the months of January, February, March, November and December. For the city’s
actual costs beyond $7,500 a month, the BID will pay for time and materials. City officials are aware the
BID has an average of $12,200 a month total for sidewalk snow removal services for the seven winter
months of 2017.

Monthly costs and invoices will be sent to Downtown Muskegon Now as managers of the BID and paid
by the city Finance Department with BID funds to the DPW. Funds not expended for snowplowing could
be reallocated by the BID board for spring-summer-fall landscaping services.

Sidewalk snowplowing, salting (as needed) and snow pile removal (as needed) will be provided by the
city when fresh snow accumulations are 2 inches or greater measured at Third Street and West Western
Avenue each morning. The goal with overnight snowfalls is to clear the sidewalks by 10 a.m. the next
morning starting along Western Avenue, if possible. Sidewalk snowplowing services provided by the city
on weekends and holidays will result in higher charges due to overtime and will be triggered by
downtown needs. Sidewalk snow clearing is more limited on weekends and holidays as outlined below.
The goal on weekends and holidays is to have the Western Avenue sidewalks cleared by noon.


The area of sidewalk snow removal services is shown on the attached map.

Sidewalk Snow Removal for weekdays
Unless otherwise noted, BOTH sides of the following streets should be plowed
    -   W. Western Ave. between 7' Street and Pine Street (approximately 1.6 miles total for both sides
        of Western).


    -   W. Clay Ave. between 3% St. and Terrace St. (approximately 0.8 miles total for both sides of
        Clay)


    -    Webster Ave from 3 St. to 2"4 St. — only the northside of Webster should be plowed

    -    Morris St between 3" St. and Terrace St. (approximately 0.6 miles total for both sides of the
         Morris)
   -       4 Street between W. Western Ave. & W. Clay Ave — only the east side of 4'° should be
           plowed (approximately 0.1 miles for the one side of 4")

   -       3 Street from the parking lot behind the Hume Building (at Morris) to Houston Ave.
           (approximately 0.7 miles total for both sides of 3")

   -       3 Street from Houston Ave. to Merrill Ave. — only the west side of 3" Street should be
           plowed (approximately .02 miles for the one side of 3")

   -       24 Street between Morris Ave & Webster Ave. (approximately 0.2 miles total for both sides of 2"¢)

   -       18 Street between Morris Ave & W. Clay Ave. (approximately 0.2 miles total for both sides of 1%)


   -       18 Street from W. Clay Ave. to W. Webster Ave — only the west side of 1°t Street Should be
           plowed (approximately .01 miles for the one side of 1%)


   -       Jefferson St. between W. Western Ave & W. Muskegon Ave. (approximately 0.4 miles total for
           both sides of Jefferson )


   -       Terrace St. between Shoreline Dr. & W. Muskegon Ave. (approximately 0.8 miles total for both
           sides of Terrace)


   -       Pine St. between W. Western Ave. & W. Clay Ave. (approximately 0.1 miles total for both sides of
           Pine)


   Sidewalk Street Crossings
   -       All efforts should be made to keep sidewalk entrances to streets clear


   3 & W. Western Traffic Circle
   -  The cross walks in the traffic circle at 3" and Western should also be cleared
Sidewalk snow removal for weekends and holidays

   -       W. Western Ave. from 2" St. to 7" St., both sides of the street.
   -       W. Western Ave. cross streets of 2" St., 3 St. and 4" St. half of block from Western both north
           and south.

   - — Clay Ave. from Third St. to Second St.


       Sidewalk Street Crossings
   -       All efforts should be made to keep sidewalk entrances to streets clear


       3% & W. Western Traffic Circle
       -   The cross walks in the traffic circle at 3'¢ and Western should also be cleared
Salting and snow pile removals


       -   Salting of sidewalks and crosswalk entrances will be done when they are treacherous and
           weather conditions for salting are favorable.

       -   Snow pile removal will be done when needed in coordination with piles from street plowing.


Issues concerning the daily sidewalk snow plowing services will be handled jointly by Dave Alexander,
executive director of Downtown Muskegon Now on behalf of the BID or BID board members residing
downtown on weekends and holidays and city Public Works Director Mohammed Al-Shatel or his
designee.
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                                                                                                                          Estimate
       LAWN SERVICE                                                                                                DATE               ESTIMATE #
    & SNOWPLOWING
    Phone: 231-759-8807                                                                                           9/28/2016              2332
     Fax: 231-798-8028                                                                                        ‘
     925 Witham Rd.
     North Muskegon, MI 49445
     Office @handhlawnservice.com




       CUSTOMER:

     Downtown Muskegon Now
     380 W. Western Ave., Suite 202
     Muskegon, Ml 49440



                                                                                                                   PROJECT




        Item                               Description                           i        Rate            |   Qty                      TOTAL:
‘Plowing Services   Seasonal snow plowing 2016/2017 winter starting             sss      (sitititéitOODsi“(<tsti(‘é;*!#*«                 «OOOO
                    |November 1, 2016 and ending April 15, 2017. Areas
                    | covered for plowing 3 parking lots and 3 alleyways
                    “marked on snowplow map. Snowplowing will be done on
                     a 1.5" trigger. Shovel sidewalks, Seasonal Price will be
                     broken down into five payments of $2,200.00 starting
                     November ‘st, 2016 and ending March 1st, 2017,



                    Additional Services:                                             |                                            |
Morton Bulk Salt’   Morton Treated Salt per ton applied                                          185.00 |                     0                 0.00
_ Loader Work       Loader Work per hour                                             |           110.00                       0                 0.00
_ Snow Removal       Snow Removal with Dump Truck per hour                                        85,00                       0                 6,00




                                                                                                  Sales Tax (6.0%)                              $0.00


                                                                                                  TOTAL:                                 $11,000.00
  provide services as described above. Jerms are NET 30 days. This agreement
  may be canceled by either party for any reason upon 30 day wirtten notice to the
  ather narty invelved
      Downtown Muskegon Business Improvement District

Budget Recommendation & Explanation
Date: August 9, 2016
To: Muskegon City Clerk/City Commission
From: Downtown Muskegon Business Improvement District Board


Budget Recommendation:

This is a proposed second-year budget for the Downtown Muskegon Business Improvement
District. Based on a two tier assessment where “Class A” Properties pay $0.08/sf annual and
“Class B” Properties pay $0.02/sf annual the Downtown Muskegon BID can expect to generate
$115,223 during 2017.

As of Aug. 1, 2016, anticipated BID revenues and actual and anticipated BID expenditures will
leave the BID with a fund balanced estimated at $64,687. Based on the fund balance carried
forward and the proposed Assessment this one-year 2017 budget is recommended on a
unanimous vote of the BID Board at its special Aug. 1, 2016 meeting.

                       Proposed 2017 BID budget

 2016 BID Fund Balance                            $64,687
 2017 Estimated Revenues                          $115,223
               2017 Expenditures
 Snow removal                                     ($72,000)
 Landscaping                                      ($16,000)
 Marketing, promotion, events                     ($24,000)
 Streetscape                                      ($13,000)
 Administration                                   ($25,000)


 Total                                            ($150,000)

 Estimated Fund Balance Dec. 31, 2017             $29,910



Budget Note:

The BID Board in 2016 appointed Downtown Muskegon Now as staff and managers of the BID.
A Letter of Understanding between the BID and the DMN board was signed, having the budget
and general spending categories established by the BID Board and work plans carried out by
DMN. There were no administrative fees in 2016.

All unused funds go to cash reserves in fund balance.

Budget Explanation:

Snow removal: The BID’s largest line item is dedicated to snowplowing and salt application
along sidewalks within the BID where the majority of the Class A properties are located along
portions of W. Western Ave., Clay Ave., Morris Ave., Terrace St., Jefferson, 15, 2"¢, 3°, 6 & 7m
Streets. Funds will also be used to clear parking areas which are generally used by the public —
specifically the two lots between 2TM and 3” Streets accessed off of Morris Ave. With plenty of
fund balance for snow removal, the BID Board will attempt to expand the snow removal services
as the budget allows for 2017.

Landscaping: The Downtown Muskegon BID will contract with one or more third party
landscaping companies to conduct a spring cleanup of common area planning beds within the
BID, and general cleanup of grounds as a result from winter wear and tear. Summer
Landscaping includes the wedding and fertilization of common areas throughout the BID (grass
cutting is done by the city). This line item also includes the planting and maintenance of flower
planters throughout the BID (this item could be completed by a different vendor than the one
doing the landscaping and clean up). Fall clean-up will consist of removal of leaves from the BID
district and preparation of the planning beds for the winter.

Marketing, promotion, events: The BID was used to launch the highly successful First Fridays
events in the downtown, 6-8 p.m. family-friendly gatherings that have included a family dance
party, two hugely popular street performance events and a “touch the truck” event. BID has not
directly supported by indirectly has encouraged other downtown events such as DMN’s Taste of
Muskegon, Rollin’ On Western and Gus Macker. Beyond events, the BID is supporting an
updated Downtown Muskegon website, a revised downtown email list,         a new downtown e-
newsletter and an annual tri-fold downtown map/brochure among other marketing and
promotional activities.

Streetscape: This is a broad spending category that allows the BID Board to improve downtown
Muskegon through new holiday decorations, public art projects, banners,
directional/informational signs, benches, trash receptacles, sidewalk repairs, new planters,
public space maintenance such as Olthoff Stage and Alcoa Square and like expenditures.

Administration: Downtown Muskegon Now provided the staff support to design and establish the
Downtown Muskegon Improvement District in 2015 and 2016. As promised to the Muskegon
City Commission for 2016, there was no BID funds expended for “salaries and benefits” —
administrative costs. The daily work of the BID cannot continue for free. The BID requires staff
time and effort. Going forward DMN needs to be compensated for its time and effort. Thus, a
new administrative line-item has been added to the 2017 BID budget.
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                                                 Purpose

The Downtown Muskegon Business Improvement District was created to promote economic

development in downtown Muskegon and enhance services to existing businesses located in

Downtown Muskegon through marketing activities, common area maintenance and

beautification.




                                                  Article 1


                                       Property Classifications


                                          Class “A” Properties


  Properties located within the Downtown Muskegon Business Improvement District which are

   currently used for, or zoned for commercial, office, retail or other similar activities not listed

                                                   below


                                          Class “B” Properties


  Properties located within the Downtown Muskegon Business Improvement District which are

                  currently use for, or zoned for automotive, industrial or manufacturing


                                           Class “C” Properties


  Properties located within the Downtown Muskegon Business Improvement District which are

                             currently used for nonprofit or religious activities


                                           Class “D” Properties


  Properties located within the Downtown Muskegon Business Improvement District which are

              currently used for, or zoned for educational or governmental activities.




                                                  Article 2


                                            Governing Board

                                        Section 2.1 —- Composition

The Downtown Muskegon Business Improvement District Board shall consist of nine (9)

members. Board composition shall be consistent with the State of Michigan enabling legislation,

Act No. 120 of the Public Acts of 1961. Statue allows for between seven (7) and fifteen (15)

                                                      2
members. Board membership may be increased or decreased by a recommendation of the BID

Board at the first quarterly annual meeting in January with the new board composition taking

effect the following January 1.


                                     Section 2.2 —- Board Terms

Each board member will be appointed to a three (3) year term with no more than half of board

seats expiring in one year. For the initial board, board members will drawl lots to determine what

members will serve one (1), two (2) and three (3) year teams. Board terms end on December 31

of the expiring year. The first year term for inaugural board members will expire on December

31, 2016 following the first full year of service.




                                   Section 2.3 —- Board Openings

Nominees for annual openings shall be indorsed by the Downtown Muskegon Business

Improvement District board at its fall quarterly meeting and then sent to the Muskegon City

Commission for formal appointment.




                                  Section 2.4 —- Regular Openings

Individuals seeking nomination/appointment to the board should complete an application of

interest. If more individuals express interest in open positions than there are positions
                                                                                       the

Downtown Muskegon Business Improvement District may conduct an election by mail.


                             Section 2.4.2 — Voting Eligibility in Elections

                Assessable property owners within the Downtown Muskegon

                Business Improvement District are eligible voters for the Business

                Improvement District Board.




                        Section 2.5 — Vacancies, Resignations and Removals

Vacancies which occur between fall quarterly meetings shall be filled by appointment via a

recommendation of the Business Improvement District Board to the Muskegon City

Commission.




                                    Section 2.6 —- Compensation
                                         Business Improvement District
                                                      Resolution
                                                   2015-16(f)

A resolution establishing the Downtown Muskegon Business Improvement District, designating the boundaries of
the BID, and establishing the Downtown Muskegon Business Improvement District Board.

Resolved by the Commission of the City of Muskegon:
By way of this resolution, and subject to the requirements of Act 49 of the Public Acts of 1999, the City
Commission establishes the Downtown Muskegon Business Improvement District, with the boundaries of this
Business Improvement District being outline on the attached map.

This district includes the following classes of property:


130 Assessable Properties (consisting of commercial and industrial)
26 Exempt Properties (St. Mary’s Catholic Church, Muskegon Public Schools, Greater Muskegon Women’s Club, St.
Paul’s Episcopal Church, Muskegon Community College, Baker College of Muskegon, Muskegon County, City of
Muskegon, United States Post Office, Muskegon Eagles)
8 Residential Properties (including apartment and condominium buildings)

Further, by way ofthis resolution, the City Commission establishes the Downtown Muskegon Business
Improvement District Board, consisting of seven members, and the persons nominated for this board shall be the
following:


        Amanda Garabedian — First General Credit Union (121 W. Western Ave.)
        Bruce Lindstrom — BellaBay Realty (587 W. Western Ave.)
        Justin Clark - Frontier Communications (860 Terrace St.)
        Doug Pollock — Parkland Properties/Holiday Inn (939 3% St.)
        Gary Post — Port City Construction/Western Ave. Properties LLC (350 W. Western Ave)
        Bob Tarrant~ Hume Properties LLC (900 3 St.)
        City Manager — City of Muskegon


Adopted this 10" day of March 2015.




                                                        LEE log aroad
                                                             VA Stephén J. Gawron
                                                                        Mayor



                                                       ~,




                                                                                            3



                                                             Ann Marie Cummings, MMC :
                                                                      City Clerk

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