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downtown
muskegon
BUSINESS IMPROVEMENT DISTRICT
Downtown Muskegon Business Improvement District
Meeting Agenda
Sept. 25, 2018
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 meeting May 22, 2018
c) Acceptance of financial statements as of Aug. 31, 2018
3) Public Comment (on an agenda item)
4) New Business
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Michigan Tax Tribunal appeal decisions
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2018 financial update
Sidewalk snow removal plan for 2018-2019
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Downtown parking/event evolution
Downtown Muskegon Now strategic plan review
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5) Other Business
a) 2018 summer events roundup, meeting Oct. 16 4:30 p.m. chamber training room
b) Holidays in the City, 2018
c) Next meeting is Tuesday Nov. 27, 2018 4 p.m. chamber training room, 380 W.
Western Ave. Suite 202, Muskegon, MI or at the call of the chair.
6) Adjournment
To: BID board
From: Dave Alexander, DMN executive director
Re: Agenda comments for Sept. 25
Date: 9-21-18
The Business Improvement District board meets Tuesday Sept. 25, 2018 at 4 p.m.
in the chamber training room, 380 W. Western Suite 202. Here are my comments
and background on the agenda items:
Financials statements: The BID finances are on solid ground. At the end of August
you had $118,319 on account with the city. There are some issues discussed in
the first two items under new business of which you need to be aware.
Tax Tribunal decisions: From a May 10 hearing before an administrative law
judge of the Michigan Tax Tribunal, the BID received decisions on eight properties
appealed by two property owners. A consent judgement agreed to at the hearing
settled four other properties with two owners. The bottomline is that the
settlements and the appeals cost the BID $10,989 in revenue annually for the
three year BID 2018-2020. The tribunal’s decisions were split but favored those
making the appeals. A few take-a-ways are that properties that are vacant, don’t
receive direct services (for example, snow removal and landscaping), are not
traditional “retailers” and are losing value were subject to assessment relief by
the tribunal. From my point of view, one positive is that the tribunal upheld your
decision to pay for administrative services provided by DMN. These decisions will
inform any renewal of the BID after 2020.
Financial update: | have provided you a financial update as of the end of August,
pretty much a late mid-year review. The tribunal decisions cost the BID $10,989 in
revenues and expenditures were up mainly due to $8,100 over spending for snow
removal. Snow costs were higher than previous years because for the first time
we had to move snow out of parking lots in early January due to heavy lake effect.
Then, by April, we still had de-icing costs with the rare mid-month ice storm. We
hope for less costly snow removal this winter. But our overall spending is
expected to be in line with budgeted revenues, including the contingency. The
reduction of revenues has caused a projected drop in fund balance from an
estimated $25,000 at the end of 2017 to $14,213 estimated at the end of 2018. |
will want your direction as | put together the 2019 budget and work plan that you
will consider at your November meeting. The budget was built in such a way that
there is no need to panic nor really scale back what we have been doing in the
district. In my view.
Snow removal plan: In your packet is a memo on my suggested snow removal
plan for this winter, including a proposed updated letter of understanding with
the city and a copy of the Summit agreement that runs through 2020. My
suggestion is to continue to provide snow removal services in Midtown (see my
snow removal memo). The overall plan shows a $7,175 contingency if we receive
another higher usual winter costs. You will need to take a vote on that plan.
Parking/events: Parking lot developments, increased downtown traffic and a
need for events to evolve with a changing downtown are hot topics in downtown
Muskegon. | will provide some thoughts at the meeting.
DMN strategic plan update: | have included in your packet the entire DMN
strategic plan and the suggested strategies for three issue areas — promote living
downtown, improve downtown-waterfront connections and developing a
marketing plan for downtown. The priority strategies approved by the DMN
board are outlined in a separate memo. Cindy Larsen and | will be presenting the
plan and suggested strategies to the Muskegon City Commission at its October
work session.
Summer events roundup: We have a DMN events round up meeting Tuesday Oct.
16 at 4:30 p.m. in the chamber training room. It was a great year. Join us.
Holidays in the City: Elizabeth will give you a sense of what we have planned for
Christmas in the downtown.
Downtown Muskegon Business Improvement District
Meeting Minutes
May 22, 2018
380 Western Ave., Suite 202 Muskegon, MI at 4 PM
1) Call to Order: 4:01 PM
Attendance: Clyde Whitehouse, Bob Tarrant, Gary Post (Vice Chairman), Mike Hennessy,
Bruce Lindstrom and Doug Pollock
Excused Absent(s): Phyllis Watson-Laudermill, Frank Peterson and Mike Hennessy.
Guests: Dave Alexander, Downtown Muskegon Now director, Elizabeth Tibbe, DMN
marketing and events, Dennis Lohman, Northwestern Industrial Sales and David
Burlingame, Burlingame Administrative Services.
2) Consent Agenda
a) Approval of Agenda, minutes March 27, 2018, and acceptance of the financial
statements as of April 30, 2018.
Motion: Bob Tarrant
Support: Gary Post
Vote: All voted in favor
3) Public Comment (on an agenda item) — The board chose to leave the floor open for the
whole meeting allowing attendees to participate as they like.
4) New Business
a) Dave Alexander updated the board on the May 10 hearings of Michigan Tax Tribunal
administrative law judge on 12 properties with assessment appeals, representing four
landowners. The major issues were direct benefits from the BID vs. the assessments.
Two of the four property owners Reliable Towing and WWG Holdings LLC (Ginman
Tire) came to a settlement before going through the hearing process. Maureen
Boelkins and EJE Properties LLC went through the hearing process and all parties are
awaiting a preliminary decisions. The city assessor and the BID also agreed to a
stipulation on issues of capping assessments due to the same owner having adjacent
properties in the same business. No vote necessary, information only.
b) In completing the settlements with Ginman Tire and Reliable Towing, both owners are
seeking service considerations from the BID board going forward. Sidewalk snow
plowing and landscaping are potentially able to be provided in the last two years. | told
them | would bring those requests to the BID board but could not make any
guarantees.
c) Dave Alexander raised the issue of planter locations for this summer. After some
discussion of the options for the 61 planters, a consensus formed to move about five
planters from Western Avenue and Third Street and place them along Second Street
from Western to Clay and along Clay Avenue at Jefferson. The board directed Dave
Alexander to make those adjustments to better spread out the BID landscaping
through the district. No formal action was taken.
d) Dave Alexander explained DMN’s work on a strategic plan for downtown and the
downtown agency. The strategic plan meeting in April included participation from both
the BID and the Downtown Development Authority. A draft of the major directions was
shared as the document goes to the DMN board for final approval, committees formed
to work on the three major areas -- Live Downtown, a marketing plan and connections
between the downtown and the waterfront. No action was taken.
The discussion of the DMN strategic plan included John Riegler’s opinion that as well
as the BID is doing, it might be able to go away after 2020 with an active DDA going
forward. City Manager Frank Peterson said that the DDA’s initial efforts will be on
revamping and upgrading the L.C. Walker Arena for the upcoming hockey season. He
said that in the future the BID still should have specific work such as snow removal
and landscaping but assessments might be able to be scaled back. Also in the future,
a parking structure downtown will be needed, especially with the sale of properties for
building developments and the opening of a convention center. Doug Pollock said that
snow removal and beautification might be the focus of the BID after 2020. Gary Post
said that consolidation of downtown agencies needs to happen and have consolidated
downtown management. He said that DMN is in the best position to accomplish that
over time.
5) Other Business
a) Elizabeth Tibbe presented the summer lineup of downtown events, 21 in all, including
Chalk the Walk, Street Performers and Touch the Truck (the former First Friday
events) still being supported by the BID and produced by DMN.
6) Adjournment
4:54 PM
No Objection
Minutes produced and submitted by Dave Alexander, executive director of Downtown
Muskegon Now.
Expenditures
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Bate JML «ofype Description Raference # Debits eedita Balance
fund 237 DOWNTOWN MUSKEGON BID
01/01/2014 297~70803-5346 CONTRACTUAL SERVICES BEG. BALANCE 46, 655,91
01/17/2018 AP INV | TERRASCAPE ARCHITECTS INC 1991 1,200.00 47,855.91
SHONPLOWING THIRD ST
01/23/2018 AP INV ROMNTOWN MUSKEGON NOx FINAL 2017 4,912.%%6 81,168.67
ADM, MEBSITE, EVENT AKO HOLIDAY 16
O2/07/2016 AR INV IT LANNCARE & SNOWPLOWING 32207 2,110,09 $2,278.67
MARCH 2018 SHANSONAL SNOW PLOWING ;
€2/07/Z016 AP INV SUMMIT LAWNCARF & SNOWPLOWING 32206 224.90 52,503.67
MARCH 2018 SEASONAL SNOW FLOWING
02/14/2018 GE Je SID REIMBURSEMENT To CITY FoR sKow 4084 49, $00.09 72,003.67
Ca(zi/2018 Ap iMY SUMMIT LAWNCARE & SHOWPLOWING 32158 3,481.25 1h, $84.92
SALT AND SNOW HAULING« JAN 2018 B10
09/09/2018 ay INV SUYMIT LAWNCAKE @ ShoWPLOWING 33460 800.00 16,184.92
SAUTING AND ICE MELT APRIL 2018 :
OS/23/2018 ar iMy © SumRaly LAWRCARE & SNOWELOWING S9291 809.90 16, 9B4.92
SALTING WITH LIQUID ‘
09/23/2018 AP INV SUMMIT LAWNCARE 4 SHOWELOWLNG 0800 2,089.00 19, 064,92
SALTING WITH LIQUID
08/23/2016 AP 6 INV SUMMIT LANNCARE & SNOWPLOWING 30019 225.00 79,289.92
SHOW SHOVELING JANUARY
@5/23/2016 AP TRY SUMMIT LAWNCARE 4 SNowPLOWING 30020 4,110.99 80,399.92
SHOW PLOWING J2IUARY
OS423/2018 AP INV SUMMIT LAWNCARE # SNOWPLOW
ZG 31097 2,119.99 81,509.92
SNOM PLOWING FEBRUARY
05/29/2018 AP [NY SUMMIT LAWNCARE 4 SNOWrLOWING 91096 228.90 81,734.92
PRORUARY ORO SuoELING
OS/22/2018 AP = IM¥ SUMMIT LAWNCARE 4 SNOWPLOWING 54827 2, £00.00 63,334.92
SALTING WITH LIQUID: : :
Ob/23/2018 ap INV SUMMIT LAWNCARE 4 SNOweLOwiNG 32929 4,960.90 5,084.92
SALTING WITH LIQUID ee
06/05/2018 AP = INY DOWNTOWN MUSKEGON Now 2223 9,217.18 $4,312.40
: BID SUPPORT FOR DOWNTOWN EVENTS AND :
O6/05/2018 AP i2¥ BARRY‘S FLOWER SHOP $1638 ,354.00 ADEISEEAD
: DOWNTOWN MUSKECON PLANTERS SUMMER 20
06/30/2016 GI 26 TO RECORD PAYMENT Yeow BID FoR snow agns 29,250.00 an, 916,10
07701/20168 2018-19 Fiscal Year Begin 8.06
CI/11/2018 AP TMV BARRY'S FLOWER gHOr ogigie 1,000.00 1,090.00
MAINTENANCE & WATERING OF DOKNTOWN P
08/31/2018 GJ Jé TO RECORD PAYMENT TO THE BID FoR sun 4578 20,000.00 21,000.06
oo/2i/201e 297-70303-6346 exo BALANCE 21,000.00
Cumulative Net Qebite and Credite: 106,269.19 00 206, 260.19
TOTALS
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To: Business Improvement District board —_
From: Dave Alexander, DMN executive director :
Re: Update on 2018-2019 snow removal plan pr ~
Date: 9-21-18 (L.
The BID has two intact agreements for downtown snow removal for the next two
winters. One is an agreement with Summit for downtown parking lots and alleys.
The other is with the city of Muskegon Department of Public Works for sidewalks.
There is no need to update the Summit agreement but | have two suggestions and
a price adjustment for the city letter of understanding. My proposed updated
letter is in your agenda packet with a new map.
| would strongly suggest the city agreement include weekday sidewalk snow
removal for both Ginman Tire and Reliable Towing. The BID 2018-2020 put them
into the commercial $0.08 per square foot assessment vs. the reduced
“industrial/auto” assessment of 2016 and 2017. At the Michigan Tax Tribunal
hearing in May, BID/city had a consent settlement to move all of the Ginman and
Reliable properties to $0.04 per square foot. The complaint was they received no
services. | told them | would recommend sidewalk snow plowing for 1,100 feet on
Clay Avenue and 9" Street in front of their properties.
The second suggestion is to expand the weekday-weekend-holiday snow removal
service to the new 800-foot sidewalk on the northwest side of Terrace Point Drive
from Shoreline to the Shoreline Inn. This is a critical downtown sidewalk
especially in the winter to get visitors at Shoreline Inn into the downtown. This
sidewalk is outside of the BID but critically serves the restaurants, pubs, venues
and institutions in the BID. | am checking with the city attorney making sure
including the new sidewalk is within state law.
Finally, | would suggest continuing to support Midtown with the clearing of the
former Mattson Oldsmobile lot at 1144 Third, which is used as a “public/city” lot
for all of the retailers and restaurants in Midtown. It is privately owned by the
owner has allowed for public use. The cost should be $2,400 for the season and |
would use a Midtown contractor in providing that service as was done last winter.
Here is the proposed financial breakdown of the $75,000 in the BID budget for
snow removal for the 2018-19 winter:
City sidewalk retainer -- $51,250
Summit parking lot ally retainer -- $6,775
Summit salting-snow removal (estimate) -- $7,400
Midtown -- $2,400
Contingency for city Sunday/holiday services and heavier winter — $7,175
Total: $75,000
Letter of Understanding
City of Muskegon DPW and Muskegon downtown Business Improvement District
This is an update of the 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 seasons from Nov. 15, 2018 to April 15, 2020. This
letter updates the price of the service BID will pay to the city and updates two new sidewalk areas to be
serviced for the 2018-2019 and 2019- 2020 winter seasons.
For each snow season Nov. 15 to April 15, the BID will pay the city a total of $51,250 ($10,250 per
month) as a retainer to provide the outlined services below for Monday through Saturday. Sunday
sidewalk services for the two years will be requested on an “as needed” basis and billed by the city for
time and materials.
Additional Sidewalk Snow Removal for weekdays (see attached map)
- Clay Avenue from 7* Street to 9'" Street, south side sidewalk only
- 9 Street from Clay Avenue to Webster Avenue, east side sidewalk only
Additional Sidewalk snow removal for weekdays and Saturdays-Sundays-holidays (see attached map)
- Terrace Point Road from Shoreline Drive to the Shoreline Inn parking lot, new sidewalk on the
northwest side of the road
On behalf of the city Department of Public Works:
Date:
Frank Peterson, Muskegon city manager
On behalf of the downtown Muskegon Business Improvement District:
Date:
Doug Pollock, BID board chairman
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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 seasons from Nov. 15, 2017 to April 15, 2020. City and BID officials will work
together to provide superior snow removal services the most efficient, cost-effective way.
For each snow season Nov. 15 to April 15, the BID will pay the city a total of $48,750 ($9,750 per month)
as a retainer to provide the outlined services below for Monday through Saturday. Sunday sidewalk
services for the three years will be requested on an “as needed” basis and billed by the city for time and
materials.
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. Muskegon DPW will provide DMN a monthly
accounting of the downtown sidewalk activity and expenses, reports that will be shared with BID board
members.
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 8 a.m. the next
morning starting along Western Avenue, if possible. The goal on Saturdays is to have the sidewalks on
the main streets of Western, Clay, Morris and Third cleared by 8 a.m. or as needed. Sidewalk
snowplowing services provided by the city on Sundays and holidays will result in higher charges due to
overtime and will be triggered by downtown needs. Sidewalk snow clearing is more limited on
Saturdays-Sundays and holidays as outlined below.
The area of sidewalk snow removal services is shown on the attached maps.
Sidewalk Snow Removal for weekdays (Monday-Friday map)
- W. Western Ave. between 7" Street and Spring Street
- W. Clay Ave. between 3° St. and Spring Street.
- Webster Ave from 37 St. to Pine St.
- Morris St between 3° St. and Terrace St.
- Apple Avenue from First Street to Jefferson Street.
- Muskegon Avenue from First Street to Pine Street
- 7" Street from W. Western Ave. to W. Clay
- 6 Street from W. Western Ave. to W. Clay Ave.
- 4! Street between W. Western Ave. & W. Clay Ave
- 34 Street from the parking lot behind the Hume Building (at Morris) to Merrill Ave.
- 24 Street between Morris Ave & Webster Ave.
- 1% Street between Morris Ave & W. Apple. Ave.
- Jefferson St. between W. Western Ave & Walton Ave.
- Terrace St. between Shoreline Dr. & W. Muskegon Ave.
- Pine St. between W. Western Ave. & W. Muskegon Ave.
- Spring Street between W. Western Ave. and W. Clay Ave.
Sidewalk Street Crossings
- All efforts should be made to keep sidewalk entrances to streets clear
3 & W. Western Traffic Circle
- Thecross walks in the traffic circle at 3° and Western should also be cleared
Sidewalk snow removal for Saturdays-Sundays and holidays (weekend map)
- W. Western Ave. from Terrace to 7" St., both sides of the street.
- Morris Avenue, Terrace St. to Third St., both sides of the street.
+ Clay Ave. from Third St. to Terrace St., both sides of the street.
- Third St. from Morris Ave. to Merrill Ave., both sides of the street.
Sidewalk Street Crossings
- All efforts should be made to keep sidewalk entrances to streets clear
34 & W. Western Traffic Circle
- The cross walks in the traffic circle at 34 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.
City DPW and the BID have the right to review this letter of understanding at the end of each season.
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 or a designee.
On behalf of the city Department of Public Works:
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Frank Peterson, Muskegon city manager
On behalf of the downtown Muskegon Business Improvement District:
om Dllbeke Date: ufrlt7
Doug Pollock, BID board chairman
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- Crosswalks should be open to the street, and the cross walks within the Traffic Circle at 3 & Weste
Blue Lines = Sidewalks/crosswalks weekda
Yellow Lines = Sidewalks/crosswalks weekdays
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SUMMIT
LAWN CARE f SHOW PLOWING te. Tel: 231-798-2932
Fax: 231-799-8140
Complete Outdoor Property Management
info@summitiawncare.net
www.summitlawncare.net
Date: November 10, 2017
To: Dave Alexander Service Site: Same
Company: Downtown Muskegon Service Address:
Billing Address 380 W. Western Ave Service Address:
Billing Address Service City, State, Zip
City, State, ZIP Muskegon Mi 49440 Site Contact:
Phone: 231-724-3180 Contact Phone:
Fax: Contract Start 11/15/2017
Email: dalexander@downtownmuskegon.org Contract End: 4/15/2020
Proposal: Snow & Ice Management 2017-20 Season {prices valid for 30 days)
Includes services drives
Snow Plowing 2017/2020 Seasons ~
Snow season dates: November 15, 2017 - April 15, 2020
Snow and Ice Control Services
Frequency Description Per
Per event services
ai Snow plowing and Shovel billed inS monthly installments
4.5"-2"
a of $1,110 reach beginning November 1 $ 8550.00: Total Seasons
550.00 t
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$!hi et Meals + billed ly installments
i 5 monthly install of $22
225 $ 1,225.00 (Total Seasonal
beginning November 1
Parking lot deicing per event $ 160.00 [Billed Per event
Services by request
Client approval {Loader for stacking snow or loading truck 5 150.00 }Hourly
+Clientapproval {50 yard dump truck for hauling snow S 85.00 jHourly
Snow will be plowed at the discretion of Summit Lawn Care & Snow Plowing, inc. Customer understands that if snowfalls exceed 5" trucks may
only plow throughways then return later to clear lots. We will make every effort to have snow removed before business hours; however, this
may not be possible if 2" of snow has not fallen before 4am. When customer agrees to parking lot deicing as needed, deicing will occur at the
discretion of Summit Lawn Care & Snow Plowing, Inc. to designated areas when slippery and/or icy conditions warrant, regardiess of snowfall
totals. if customer elects to have daicing agents applied at their request, customer understands that the service will occur the next time a truck
js in the area, ff snow stackirig or hauling is necessary, the customer will be notified for approval and will be charged at an hourly rate. if diesel
or gas prices go aver $4.50 per gallon we may find it necessary to apply a fuel surcharge. Requests to return to clear entrances after city plows
may be counted as a full service visit. Snow clearing during extreme snow events of 8° or mora ina 12-hour period may count as multiple visits,
Sait prices are based on 2015 pre-purchase prices negotiated by Summit Lawn Care & Snow Plowing with suppliers. In the event an unexpected
salt shortage occurs due to extreme weather demands or government salt seizure, customer may be notified regarding price increases. In the
event that salt prices decrease, customer may be notified of the price decrease.
Billing occurs once a month with an option to be billed twice a month. Payment terms are net 30 days. After 30 days a 10% late fee may be
imposed. Any additional services will be performed upon the request of the customer. Option for electronic billing is available, Please call our
office 231-798-2932 for additional service requests.
Snow contracts are accepted ona first-come, first-served basis. Availability is limited. A fax copy of the agreement (s acceptable.
For multi-year contracts there will be a annual review in which both sides have the opportunity opt out if itis deemed necessary.
Summit Lawn Care & Snow Plowing, Inc.
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Terrascape Architects Inc. Invoice
1144 3rd St, Suite C
Date Invoice #
Muskegon MI 49441
1/7/2018 1391
Bill To
Muskegon Business Improvement District
Dave Alexander
Terms Due Date
Net 15 1/22/2018
Description Price Each Quantity Serviced Amount
Snowplowing of 1144 Third St. Lot 2 of2 1,200.00 1.200.00
Total $1,200.00
We appreciate the opportunity to serve you.
Phone # Fax # E-mail
Balance Due $1.200.00
231-855-1941 terrascapea@gmail.com
Terrascape Architects Inc. Invoice
1144 3rd St, Suite C
Date Invoice #
Muskegon MI 49441
12/4/2017 1384
Bill To
Muskegon Business Improvement District
Dave Alexander
Terms Due Date
Net 15 12/19/2017
Description Price Each Quantity Serviced Amount
Snowplowing of 1144 Third St. Lot 1 of2 1,200.00 1,200.00
Total $1,200.00
We appreciate the opportunity to serve you.
Phone # Fax # E-mail
Balance Due $1,200.00
Downtown Muskegon Now
3-year Strategic Plan
Adopted June 14, 2018
Downtown Vision:
Downtown Muskegon is the heart of the Muskegon Lakeshore. A diversity of Muskegon’s
residents and visitors work, live and play in its premiere urban, waterfront environment.
Downtown Muskegon Now mission:
As a neutral facilitator between government and business, Downtown Muskegon Now is
the go-to independent agency for communicating accurate and timely downtown
information to all stakeholders. DMN promotes downtown economic and residential
development, supports business and institutions, and advises organizers of downtown
events. DMN builds downtown community.
Introduction:
Downtown Muskegon Now (DMN) is a 501.c3 non-profit organization dedicated to the well-
being of downtown Muskegon. The organization is led by an influential and engaged 15-
member board of directors representing the major institutions, property owners and
businesses in downtown Muskegon. The organization’s work is carried out by a modest staff of
a full-time executive director and a part-time promotion, marketing and events manager. The
board of directors and staff last conducted a strategic planning session in 2013 and from that
developed a five-year vision. Great progress has been made on the 2013 plan and conditions in
downtown Muskegon have improved significantly. Now in 2018, with the transformation of
downtown Muskegon from the Muskegon Mall Era to a “new urbanist” mixed-use downtown,
the DMN board believes it is an ideal time for an updated strategic plan for the agency.
History:
DMN traces its history to the 2002 formation of a Main Street organization for West Western
Avenue and Third Street in downtown Muskegon, organized through the Muskegon-based
Neighborhood Development Corp. In 2011, because the needs of downtown Muskegon
centered heavily on the economic redevelopment of the 23-acre former Muskegon Mall site,
the agency became DMN under the direction of the current non-profit board. DMN was
associated with Muskegon Area First (MAF), the Muskegon county economic development
agency.
Current status:
The current board leadership and executive director have been in place since the beginning of
2016. At that time, the board agreed the top priority of the DMN would be support the sale and
development of the vacant former mall sites along Western Avenue. Other priorities were to
develop “downtown” along Third Street (which has become Midtown) into the Nelson
Neighborhood and along Pine Street into the McLaughlin Neighborhood and to strengthen
“downtown’s” link across Shoreline Drive to the Muskegon Lake waterfront. That year the city
exclusively funded DMN with $100,000 in downtown brownfield repayment dollars.
Since 2016, the board also moved forward with fundraising, planning and construction of the
Downtown Muskegon PetSafe Bark Park, a DMN facility opening at Western and Shoreline
Drive in May 2018.
DMN entered into a letter of understanding with the Business Improvement District in early
2016 to operate the first year of that district. Upon the BID’s second year, a $25,000
administrative fee was paid by the BID to DMN for its management services to the BID, while
the city support dropped to $75,000. That annual management fee was included in the three-
year renewal of the BID through 2020. City leaders have indicated DMN will continue receiving
$75,000 in support through 2020, thus giving the agency a stable $100,000 in revenue through
the end of 2020.
DMN moved its association with MAF to the Muskegon Lakeshore Chamber of Commerce
(chamber) in the second quarter of 2017 to better serve the missions of DMN, MAF and the
chamber. That arrangement is open-ended.
Finally, the DMN board has indicated a desire to remove the agency from the actual operation
of downtown events to a more supportive role. DMN provides event coordination, the use of its
501.C3 status for beer tents and fundraising and offers promotion of downtown events. Thus,
2017 was the last year DMN produced the Taste of Muskegon event during the third weekend
in June. The city of Muskegon will take over Taste of Muskegon beginning this year.
Strategic planning process:
At board direction, the executive director hired marketing/organizational consultant Suzanne
Velarde to facilitate a planning process. At the suggestion of the city of Muskegon, members of
the city’s Downtown Development Authority (DDA) and Business Improvement District (BID)
were invited to participate in the DMN strategic planning session. Thirteen members of the
DMN board, five members of the DDA board and four members of the BID board met April 17,
2018 for a three-hour planning session in the Frauenthal Center. (agenda attached)
The DMN consensus was to plan for three years, taking the agency and its downtown goals
through 2020.
Here is a summary of the planning session’s conclusions and outcomes:
Downtown geography/DMN Scope:
Downtown should be defined by the DDA map.
Program funds and most all DMN staff resources should be limited to the DDA
boundaries.
DMN should be the organization that brings together not only downtown interests but
provides the downtown’s connection to the urban neighborhoods, future waterfront
developments and the overall Muskegon Lakeshore community.
DMN’s top priorities:
Connect Downtown Muskegon to the waterfront
Produce a comprehensive marketing plan to determine DMN’s target markets and
message
Promote Downtown Muskegon as a place to live
DMN’s sustainability:
DMN should put itself in the position to provide staff services to the BID and DDA in the
future.
Moving forward, one organization needs to manage and oversee downtown efforts;
DMN is in the best position to provide leadership and staff services in an independent
and cost-effective way.
DMN’s strength is being an independent, non-profit agency that can best meet the
needs of both public and private sector.
e¢ DMN should continue its ongoing association with the chamber for office space rental
and to serve as the agency’s employer of record.
Downtown geography:
Historically, the definition of downtown has been the blocks along West Western Avenue —
Muskegon’s main street/business district — from Terrace Street to Ninth Street. The Imagine
Muskegon downtown vision plan of 2003 in the post-Muskegon Mall Era put the “center” of
downtown and the entire Muskegon Lakeshore community at Third Street and Western Avenue
where the Johnson traffic circle was built and marked with the Muskegon, Together Rising
sculpture.
But just where is “Downtown Muskegon?” How is “downtown” geographically defined? What
are its boundaries?
e Downtown Muskegon can no longer be defined as in the pre-mall era of only along
Western Avenue or even a few blocks around Third and Western. Today, development
and the potential of the Muskegon Lake waterfront must redefine downtown.
e The BID boundaries are one potential geographic definition. This special assessment
district includes Western Avenue, Midtown (Third Street) and Pine Street, but does not
cross over Shoreline Drive to the north, east or west. (map attached)
e The DDA boundaries are more extensive, following the Muskegon Lake waterfront from
Lakeshore Yacht Harbor on the west to Fisherman’s Landing on the east, including
Western Avenue, Midtown and Pine Street. (map attached)
e The historic downtown is part of the mosaic of areas along the southern shoreline of
Muskegon Lake from the former B.C. Cobb Plant to Pere Marquette beach. Possible
connections between the port area on the east end of the lake to downtown, Western
Avenue waterfront, Lakeside, Windward Pointe (former Sappi site) and the beaches of
Lake Michigan were studied in 2017 in the city’s Imagine Muskegon Lake plan. In the
future, a “new downtown” could be defined as the series of development areas along
Muskegon Lake. (map attached)
DMN discussions included:
e Downtown in the post-mall era already is spread out too much along Western Avenue.
e The traditional downtown needs to be redeveloped before a larger area is considered,
especially in a three-year horizon.
If downtown is defined too narrowly, important developments, places and events would
not be a part of DMN focus. An example of this is that the DMN-developed Bark Park is
not within the BID boundaries but is within the DDA.
The unique Lakeside Business District adjacent to downtown to the west toward the
beach has sought inclusion in “downtown” but has not been willing over the course of
years to contribute the financial resources downtown business and property owners
have.
A strong downtown benefits everyone: urban residential neighborhoods of McLaughlin,
Nelson and Nims, along with areas such as Lakeside and, in the future, Windward
Pointe.
Downtown Muskegon is the central hub of living, working and playing for all of
Muskegon County and the Muskegon Lakeshore region — home to the Frauenthal
Center, L.C. Walker Arena, Muskegon Farmers Market, Hackley Public Library, the
Muskegon Museum of Art, Heritage Landing, Hackley Park, the Lakeshore Museum
Center, two full-service hotels, PetSafe Bark Park, Hackley-Hume Homes, two breweries,
Western Market, a distillery, the Muskegon Heritage Museum, a variety of restaurants,
and specialty retailing.
DMN conclusions on the geography of downtown in the next three years:
Going forward, “downtown” should be defined by the DDA map as it includes the
historic Western Avenue business district, Midtown, Pine Street, the Western Avenue
waterfront and the Ottawa Street area to the east.
All programing resources and most all DMN staff resources should be limited to the DDA
boundaries.
DMN should be the organization that not only brings together downtown interests but
provides the downtown’s connection to the urban neighborhoods, future waterfront
developments and the overall Muskegon Lakeshore community.
Downtown/DMN priorities:
The strategic plan process included all participants in brainstorming organizational priorities.
After all of the ideas were recorded, participants voted for their top priorities. Those priorities
are presented in two levels:
Immediate three-year priorities in order:
1. Connect Downtown Muskegon to the waterfront, including support of Imagine
Muskegon Lake’s Shoreline Drive intersection suggestions, a sidewalk from Shoreline Inn
to Shoreline Drive and Third Street, as well as “shopper docks” easily accessible to
downtown businesses.
2. Produce a comprehensive marketing plan for Downtown Muskegon that would explore
DMN’s target audience, branding, stories, event promotion and support of a safe and
diverse downtown
3. Promote Downtown Muskegon as a place to live stressing a variety of residential
options, promoting this idea with Muskegon Lakeshore employers and anchor
institutions, and incorporating those who have been established downtown residents
into the residential transformation. Educational options for downtown families will be
key to development.
Secondary priorities to be on the DMN agenda in the next three years:
e Collaborate with surrounding neighborhoods to strengthen them and draw them into
Downtown Muskegon, creating an inclusive central business district that reflects all of
Muskegon County.
e Support the development of Michigan Social (drinking) Districts in the state and explore
with businesses, property owners and the city if such a district might be incorporated
into the downtown.
e Provide support to the Lakeside District through collaboration but not do the work for
them.
e Work to fill retail storefronts both on Western Avenue and surrounding streets,
specifically targeting needed businesses such as a grocery store.
e Inform and engage the community on development of a downtown convention center.
DMN organizational sustainability:
Over its relatively brief history, DMN has been funded by membership, key institutional
contributions, the city of Muskegon and the BID. The current revenues from the city and the
BID allow DMN staff to work on downtown issues instead of fundraising for the agency. Going
forward, a similar stable funding source needs to be identified beyond 2020.
Outside of financial concerns, the organizations that have operated in downtown Muskegon in
the post-mall era have sought to serve downtown’s needs but have provided a confusing and
not always effective management structure for Downtown Muskegon. DMN manages the BID
but also provides staff to the Downtown Muskegon Development Corp. (DMDC), the owner of
the former mall properties. There is also a Downtown Condo Association formed by the initial
property owners of the former mall site. MAF and the chamber also have been actively involved
in downtown redevelopment and promotion.
All of this activity has filled the organizational void created by the DDA, which had been
generating funds solely for the repayment of bonds from the mall era. The DDA will pay off
those bonds this year, and the city has reordered the properties in the district to generate more
tax increment financed revenues. The DDA’s portion of the city’s 2018-19 budget will show
substantial revenues for the downtown district that until now have not been available. This is a
great opportunity to accelerate downtown’s already robust transformation.
Downtown Grand Rapids Inc. offers DMN an organizational model for its future with its
agreements with the city of Grand Rapids to provide staff services to its DDA, BID and a special
tax increment finance authority. DMN already has the relationship with the city of Muskegon
for the BID. The changing nature of the DDA offers DMN an opportunity to further enhance
downtown management.
DMN concludes that for the next three years:
e The agency should put itself in the position to provide staff services to the
BID and DDA in the future, as it has for the past two and a half years to the BID. Such a
management proposal would need to be offered to city leadership and receive DDA
approval. DDA management would necessitate some staff expansion.
e Moving forward, one organization needs to manage and oversee downtown efforts and
DMN is in the best position to provide leadership and staff services in an independent
and cost-effective way.
® DMN’s strength is that — like DGRI — it is an independent, non-profit agency that can
best meet the needs of both the city and private sector. It is a respected facilitator
among the city, businesses, property owners and investors which provides information
and communication to keep the transformation of Downtown Muskegon progressing.
e DMN should continue with its ongoing association with the chamber for office space
rental and serving as the agency’s employer of record.
Topics for future board discussions:
e Presentation of the DMN three-year strategic plan to the city of Muskegon’s staff and
commission
e Preparation of estimated budgets for key downtown priorities and identification of
funding sources
e Proper DMN staffing levels in light of the strategic plan priorities
e DMN board structure and role with potential consolidation of downtown entities and
the growing importance of the DDA
e DMN executive director succession
e Others?
To: DMN board members
From: Dave Alexander
Re: Strategic plan subcommittee recommendations
Date: 8-6-18
Here is a summary of what the strategic plan subcommittees are recommending.
Living:
Survey downtown residents
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Produce a downtown Living brochure like the tri-fold map
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Create downtown living email list of residents and start a downtown living newsletter
Restart the developers’ roundtable
Promote all education options for downtown residents
Upgrade downtown living promotions on billboards and through Facebook
22
Circle back to Anchor institutions and Relators Promoting Muskegon offering FAM tours
Waterfront:
1 Push for downtown shoppers’ docks (Terrace Point, Heritage Landing, Mart Dock).
2 Improve pedestrian waterfront-downtown connections at Third, Seventh and possibly Fifth
3. Get public access on to the Harbor 31 seawall on Muskegon Lake
4 Encourage and promote recreational rentals on the downtown waterfront
Marketing:
1. Andy M. will create a draft marketing plan from the initial meeting.
Subcommittee will reconvene in September to create a final plan with specific numerical
goals.
Determine what the five best downtown Muskegon “stories” are, develop them, integrate
them and disseminate them to be told by downtown champions, helping form a foundation
of the downtown messaging.
NOTE: Bold, underlined are the immediate priorities for DMN staff/board in the next six months, as
adopted at the DMN August board meeting.
2018 SUMMER
EVENTS RECAP
Join us to discuss the success of our summer events
season and how we can improve for the coming years.
Chamber of Commerce training room
Refreshments provided
HOLIDAYS IN THE CITY 2
TENTATIVE PLAN/SCHEDULE
Weekend schedule overview
e Weekend one: November 24
o Small Business Saturday
o Longjohnrun
o. Tree lighting in Hackley Park
= Hot chocolate
= Carriage rides
= Caroling
= Information for rest of the season
e Weekend two: November 30 — December 2
© Downtown caroling (live music, speakers playing Christmas music)
o Chalets for holiday shopping
e Weekend three: December 7-9
o Restaurant weekend
= Encourage breweries and restaurants to have holiday themed dishes
© Ornament/stocking/cookie decorating in chalet
e Weekend four: December 14-16
o Picture stop at Chalets
o Encourage use of #PortCityHolidays
e Weekend five: December 21-23
o Polar Express trolley
o Moving showings around town
Month long overview
e Trees being sold at Western Market
e —Hashtag use all month
e Email to downtown businesses every Wednesday as a reminder for the weekend events
e¢ Window decorating competition (voting on FB)
e Community food drive @ Chalet until December 21
e Letters to Santa mailbox
o Pre-made envelopes and letters encouraging giving rather than receiving
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