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CITY OF MUSKEGON DOWNTOWN DEVELOPMENT AUTHORITY (DDA) / BROWNFIELD REDEVELOPMENT AUTHORITY (BRA) REGULAR MEETING MINUTES April 13, 2021 The meeting was held electronically via Zoom. Chairperson M. Bottomley called the meeting to order at 10:30 AM and roll was taken. MEMBERS PRESENT: M. Bottomley (Muskegon MI), B. Hastings (Muskegon MI), J. Riegler (Muskegon MI), M. Kleaveland (Muskegon MI), M. Johnson Sr (Norton Shores MI), J. Moore (Muskegon MI), H. Sytsema (Muskegon MI), J. Wallace Jr (Muskegon, MI), F. Peterson (Muskegon, MI) MEMBERS ABSENT: F. DePung D. Pollock, S. Black, D. Kalisz STAFF PRESENT: P. Wills, Director of Strategic Initiatives; J. Eckholm, Economic Development Director; L. Mikesell, Director of Development Services; D. Alexander, Downtown Manager; B. Lewis, Finance Director; K. Grant, Assistant Finance Director; A. Meisch, City Clerk; S. Pulos, Administrative Assistant. OTHERS PRESENT: F. Bednarek, Muskegon Museum of Art; K. Hallman, Muskegon Museum of Art. APPROVAL OF MINUTES A motion to approve the regular meeting minutes as corrected of November 24, 2020 was made by H. Sytsema supported by M. Kleaveland and on a voice vote unanimously approved. PUBLIC COMMENT ON AGENDA ITEMS -- None. BROWNFIELD REDEVELOPMENT AUTHORITY BUSINESS Brownfield update – P. Wills gave an update on what plans might be coming to the BRA. J. Eckholm told the BRA that a Brownfield Plan Amendment for Harbor 31 property on Muskegon Lake at Shoreline Drive and Terrace Street will be presented to the BRA in the next month or two. No BRA action was needed in April. DOWNTOWN DEVELOPMENT AUTHORITY BUSINESS DDA Financial Report – B. Lewis reviewed the budget report from March 31 and said the budget is in line. Expenses and revenues starting to come in for the Lakeshore Art Festival and Taste of Muskegon. The revenues and expenses are in balance as it is three months away from the event. The DDA has budgeted $25,000 to support the events. The Finance Department asked the DDA to increase the budgeted amount to $50,000 but no action was taken. H. Sytsema expressed frustration of not having enough detail in the budget to know where the DDA stands for funds available for grants and projects. B. Lewis promised to update the report with more detail. Motion to accept the financial report M. Johnson and supported by F. Peterson. Voice vote all in favor, no nays. Mercy Health Arena bond payments – The DDA has accepted the debt payments for the arena roof and ventilation at $215,000 annually for 10 years. The Finance Department is asking the DDA to rescind that support and instead support the payment of new city bonds refinancing the debt at $130,000 a year for 10 years. In the short-term, this is a cost savings in the annual budget of about $70,000. Motion to rescind prior DDA support of debt service for the Mercy Health Arena roof and ventilation system and for the next 10 years support the arena bond payments at $130,000 a year made by H. Sytsema and supported by F. Peterson. Roll call vote: F. Peterson, B. Hastings, M. Bottomley, J. Riegler, M. Kleaveland, M. Johnson Sr, J. Moore, H. Sytsema, voting Yea, none voting Nay. Muskegon Museum of Art Funding Request -- F. Bednarek and K. Hallman of the Muskegon Museum of Art presented on the museum’s expansion plans and $9.9 million fundraising campaign. The DDA was asked to support the campaign with a $100,000 pledge over five years beginning in fiscal year 2022-23. The campaign is at 75 percent of goal. The expansion will allow the museum to display more of its permanent collection and have larger gallery space for visiting exhibitions. Construction would begin late 2021 or early 2022. The expansion would open in 2023. DDA members questioned the museum officials on details of the expansion project. M. Johnson asked for more time to consider the request in light of uncertainty of the DDA events budget. The DDA board overall expressed support of the museum, of the expansion and assisting in reaching the goal. D. Alexander gave background on the request that came from a meeting with the museum and F. Peterson. Staff is supporting the request. Motion to consider the request but to table until the June meeting by M. Johnson and supported by J. Moore. Roll call vote to table F. Peterson, B. Hastings, M. Bottomley, J. Riegler, M. Kleaveland, M. Johnson Sr, J. Moore, H. Sytsema, voting Yea, none voting Nay. Events post-COVID support – The DDA budget amended in August included $15,000 for post-COVID marketing. At this point, D. Alexander recommended supporting the non-profit downtown events as they attempt to get back in operations in 2021 after a year of no activity due to COVID. A. Meisch outlined the approach of five events creating a fund through the Community Foundation for Muskegon County. Such DDA funding could be put into that account. Motion to support downtown events post-COVID with $15,000 in marketing funds and direct staff to equally distribute it made by B. Hastings and supported by J. Moore. Motion was withdrawn. Motion to direct the $15,000 in funds evenly to just the city’s/DDA’s Lakeshore Art Festival and Taste of Muskegon made by J. Riegler and supported by J. Moore. Voice vote F. Peterson, B. Hastings, M. Bottomley, J. Riegler, M. Kleaveland, J. Moore, H. Sytsema, voting Yea, none voting Nay. Streetlighting on Terrace – L. Mikesell presented a request from DPW/Engineering on support of decorative streetlighting for the redesign of the boulevard. The estimate for the poles would be $165,000. The DDA is waiting on budget issues to make a decision at a future meeting. Streetlighting is in the DDA plan as a priority. Public participation – None. Adjournment -- There being no further business, the meeting was adjourned at 12:19 p.m. da
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