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CITY OF MUSKEGON DOWNTOWN DEVELOPMENT AUTHORITY (DDA) / BROWNFIELD REDEVELOPMENT AUTHORITY (BRA) REGULAR MEETING MINUTES May 11, 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), M. Kleaveland (Muskegon MI), F. DePung (Muskegon MI), M. Johnson Sr (Norton Shores MI), S. Black (Muskegon MI), H. Sytsema (Muskegon MI), D. Kalisz (Muskegon MI), H. Sytsema (Muskegon MI), F. Peterson (Muskegon) MEMBERS ABSENT: J. Riegler, J. Moore, D. Pollock STAFF PRESENT: P. Wills, Director of Strategic Initiatives; J. Eckholm, Economic Development Director; L. Mikesell, Director of Development Services; D. Alexander, Downtown Manager; C. Cashin, Planner & meeting facilitator OTHERS PRESENT: R. Wilson, Fishbeck; M. Houseman, Wolverine Building Co. APPROVAL OF MINUTES A motion to approve the regular meeting minutes of April 13, 2021 was made by F. Peterson, supported by M. Kleaveland and unanimously approved. BROWNFIELD REDEVELOPMENT AUTHORITY BUSINESS Brownfield Plan Amendment for Viridian Shores Redevelopment Project – P. Wills explained the request. Harbor 31 LLC sought BRA approval to amend the Brownfield Plan to add 150 Viridian Drive; a residential development on 3.5 acres located at 150 Viridian Drive along the south shore of Muskegon Lake. The investment in the first phase is estimated at $15.2 million. J. Eckholm briefly discussed ongoing environmental investigation on site. Representatives for the developer provided additional detail on the Brownfield Plan Amendment. Motion to approve the resolution for the Brownfield Plan Amendment for the Viridian Shores at Harbor 31 Redevelopment Project and further request a public hearing before the Muskegon City Commission to consider adoption of the plan made by M. Kleaveland and supported by H. Sytsema. Roll call vote: M. Bottomley, B. Hastings, F. Peterson, M. Kleaveland, M. Johnson Sr, H. Sytsema, J. Wallace Jr, F. DePung, S. Black, D. Kalisz, none voting Nay. Discussion Only – Harbor 31 LLC future EGLE Brownfield Loan – J. Eckholm and representatives for the developer provided background as to the potential of pursuing a State Brownfield Loan for the Viridian Shores redevelopment project. There are significant environmental costs associated with redeveloping the property. These costs total approximately $2,000,000 and relate to the installation of vapor intrusion mitigation systems beneath proposed structures, construction of engineered barriers to protect against direct contact exposures, proper management of contaminated soil and groundwater during construction activities, and associated consultant oversight and reporting. EGLE, the City of Muskegon, and the developer have discussed the pursuit of an EGLE Brownfield Loan to offset some of these expenses. The maximum loan request is $1,000,000. The BRL funds serve as a reimbursement for eligible environmental activity costs incurred by the developer under EGLE approved work plans. BRL funds can also be used to reimburse administrative costs by the City and third-party oversight by a professional environmental consultant. No BRA action was needed in May. DOWNTOWN DEVELOPMENT AUTHORITY BUSINESS DDA Financial Report – D. Alexander reviewed the budget figures as of 4/30/21. Two more months remain in the fiscal year. Additional Event Revenue expected to come in as a result of staff working with event vendors on their application fees. Fundraising revenue is expected to increase to support downtown events. M. Johnson Sr asked about response from Art Fair vendor participants. D. Alexander said event organizers are pleased with vendor interest as well as quality of art to make available at the upcoming event. Motion to accept the financial report H. Sytsema and supported by M. Johnson Sr. Voice vote all in favor, no nays. DDA financial request from Downtown Muskegon Social District – D. Alexander requested DDA board to authorize staff to spend no more than $4,000 to create a Social District gathering space at Second and Western. The owners of Burl & Sprig are moving into their new location on Second Street (old Boar’s Belly) approached downtown, the city and the chamber on creating common area space at Second and Western. The site is owned by the Downtown Muskegon Development Corp. and B&S has an agreement with the DMDC to use the back 30 feet of the site for a portable stage. B&S has a plan to refurbish the sand and put up picnic tables, lights and some overhead canopies for shade. The estimate for materials and electric is $8,000. City DPW will be providing the sand. Staff would go to the BID and ask for authorization for the other $4,000. Currently, the DDA has approximately $30,000 in surplus funds for the 20-21 fiscal year with one month to go. If funding is secured and materials purchased, B&S, the chamber and downtown would organize a volunteer event to install the elements. Public could use the space with alcoholic or non-alcoholic beverages and bring food into the space. Space will be handicap accessible and routinely cleaned by area establishments. Motion to authorize staff to spend up to $4,000 to assist in funding the materials for a common area in the Downtown Muskegon Social District at Second and Western made by J. Wallace Jr. and supported by H. Sytsema. Voice vote all in favor, no nays. DDA discussion and direction of FY21-22 unexpended funds – Staff had discussion on what should be done in the upcoming 2021-22 fiscal year budgeted with anticipated unexpended funds ($75,000- $100,000). F. Peterson mentioned that federal stimulus funds may provide opportunity to assist downtown activities; such as Frauenthal Center campaign, MMA capital campaign, BGC capital campaign, Symphony’s capital campaign, and MCC investment. Other potential investments include in the Arena, Farmers Market, Hartshorn Marina, public improvements, waterfront access, Shoreline Drive conversion. Initial staff recommendations will likely be adjusted based on community input. M. Bottomley discussed request for financial assistance from the Women’s Club for cost of $25,000 roof repair. Downtown events update (D. Alexander) – D. Alexander mentioned that summer event planning is underway along with media advertising; event volunteer opportunities exist; implementation of social district continues. PUBLIC PARTICIPATION None during the meeting. Staff discovered after the meeting that two people attempted to call in but were not connected into the meeting. Staff followed-up with these folks to address their comments. Adjournment – There being no further business, the meeting was adjourned at 11:57 p.m. pw
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