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NOTICE LEGISLATIVE POLICY COMMITTEE MEETING WEDNESDAY, AUGUST 24, 2022 5:30 P.M. ROOM 204 MUSKEGON CITY HALL 933 TERRACE STREET MUSKEGON, MI 49440 AGENDA I. Call to Order II. Approval of Minutes for May 25, 2022 III. Old Business IV. New Business 1) Legislative Summary – Pete Wills 2) Flag Policy – Ann Meisch 3) Commission Meetings – Call-In Option & Zoom Option for Non-Televised Meetings Upon Request – Ken Johnson 4) Consideration of Requests from Grand River Bands of Ottawa Indians – Ken Johnson V. Adjourn Notice dated 8/22/2022 Cc: MLive/Chronicle City Commissioners Post ADA POLICY: The City of Muskegon will provide auxiliary aids and services to individuals who wish to attend the meeting upon twenty-four-hour notice to the City of Muskegon. Please contact Ann Marie Meisch, City Clerk, at 933 Terrace Street, Muskegon, MI 49440 or via telephone 231-724-6705: dial 7-1-1 to request connection with 231-724-6705. State / Federal Report, August 2022 STATE State Policy Issues Bill # Sponsor Detail Status Position HB 4129 Marino Requires Secretary of State to post a list of local clerks who are not current with continuing election 3/9/22 Passed House; MML opposed education training on Department of State website. Senate Elections Comm HB 4530- Calley, Filler, Bills would combine May & Aug elections into a June election; January 2023 effective date 4/27/21 Passed MML/Clerks Whitesett, Assn/Sec of 4531- House; Senate Puri State support 4532- Elections Comm 4533 HB 4722 Lightner, Would define Short Term Rentals (STR) as residential uses of property and restricts municipality's 10/27/21 Senate Reg MML opposed SB 446 Nesbitt ability to regulate them. Mandates all STRs are a by-right residential use of property, permitted in all Reform; SB 446 Senate residential zones. Cannot be subject to a special use or conditional use permit, or any procedures Floor different from those required for other dwellings in the same zone. Bill would eliminate ability to inspect STRs unless inspecting all dwellings in that zone, including owner-occupied. HB 4985 Damoose Short Term Rental compromise; see below 6/15/21 House MML support Commerce HB 5054 Albert Municipal pension proposal 3/2/22 Senate Approp MML support 39-bills Senate Elections Package – Senate GOP package addresses concerns with election security, 6/16 SB 285, 303, 304 MML support operations and access. MML supports SB 278-300. SB 273 and 278 – requires SOS to sign off on passed Senate. SB 273 SB 278-300 design/const of drop box, and makes it illegal to drop off a ballot for another voter unless from same and 278 passed House family. comm 5/24/22 SB 5 Wojno Modifies the number of days fireworks are permitted per year and increases penalties for violations 1/13/21 Senate MML support of the Michigan Fireworks Safety Act. Local unit with pop density of over 3400 per sq mile may enact Regulatory Reform ordinance that regulates fireworks except on News Year Eve, Memorial Day, July 4, Labor Day 1 SB 473- Victory, 12-bill bi-partisan package to address police accountability and reform across law enforcement 5/25/21 introduced TBD 484 Chang agencies. MCOLES to develop guidelines/policies for investigations of officer-involved deaths SB 1046, Wojno, Governor’s Retirement Tax Phase-Out Plan introduced 5/25/22 Bills intro’d 5/25/22 HB 6117 Garza SB 360- Multiple Employer-supported housing credit; Attainable Housing & Rehab; Re-establish Construction Code SB 360-364, 422, 432 MML, Home 364, 422, Senators Promulgation Committee; Expand NEZ’s to Additional Local Gov Units; Residential Facilities 6/17/21 House Builders, GR 432 Exemption; Allow PILOTs for Housing; Community Land Trusts Chamber support HB 4649- Multiple Employer-supported housing credit; Attainable Housing & Rehab; Re-establish Construction Code House Comm since MML, Home 50, 4647- Rep’s Promulgation Committee; Expand NEZ’s to Additional Local Gov Units; Residential Facilities 4/2021 Builders, GR 49, 4827, Exemption; Allow PILOTs for Housing; Community Land Trusts Chamber support 4713-14 2 FALL GENERAL ELECTION, NOVEMBER 8, 2022 Governor • Democrat Party candidate – Gov. Gretchen Whitmer • Republican Party candidate – Tudor Dixon – Norton Shores businesswoman and media personality U.S. House (new 3rd Congressional District map) • Includes nearly two-thirds of Kent County; half of Ottawa; along with a third of Muskegon Co, including the City of Muskegon. • Republican candidate – John Gibbs, political commentator • Democrat candidate – Hillary Scholten, former DOJ attorney and Grand Rapids native Michigan Senate (new 32nd Senate District map) • Include nearly all of Muskegon County, except townships in the SE portion of the county; Oceana County, Mason County, portion of Manistee County, and Benzie County • Republican Candidate – current Sen. Jon Bumstead • Democrat Candidate – current Rep. Terry Sabo Michigan House – (new 87th state House District map) • Includes Muskegon and Muskegon Heights, N. Muskegon, and rural areas north of North Muskegon along the shore and east along M-120 to Twin Lake. • Republican Candidate – Michael Haueisen • Democrat Candidate – Will Snyder NOVEMBER BALLOT PROPOSALS Legislative Term Limits reform • Voters for Transparency and Term Limits: The ballot measure would amend the state constitution to reduce the maximum length a lawmaker can serve in the Legislature from 14 years to 12 years, but would allow them to serve the full tenure in one chamber. Currently, lawmakers can serve up to six years in the Michigan House and eight years in the Senate. • The constitutional amendment would also require state lawmakers, the governor, the secretary of state and the state attorney general to disclose certain financial information, including: description of assets, sources of all forms of income, description of liabilities, positions held outside their elected office, arrangements regarding future employment, continuing benefits from former employers other than the state, and payments and gifts received from lobbyists. • If successful, it would be the first time since term limits was adopted by voters in 1992 that any changes to the constitutional amendment would have made a ballot. • Promote the Vote 2022 petition – The coalition of voting-rights groups seeks to amend the state constitution to: o Allow nine days of early voting o Publicly subsidize absentee ballots and a tracking system for the ballot location 3 o Continue to allow registered voters without a state ID to sign an affidavit attesting to their identity o Allow public sources and charities to fund elections, subject to disclosure rules o Allow voters to register for absentee ballots for all future elections o Require ballot drop boxes for every 15,000 voters in a municipality o Establish that post-election audits can only be conducted by state and local officials o Require canvass boards to only certify election results based on the official vote counts • Reproductive Freedom for All Michigan – The measure would amend the state Constitution to make reproductive freedom a right, repealing a decades-old law that makes abortion a felony. The law was set to take effect after the U.S. Supreme Court last month struck down Roe v. Wade — a 1973 landmark case that offered federal protection for abortion. But a Michigan judge has issued an injunction blocking the state law from being enforced. Legislative Session • There are two legislative session days scheduled before the General Election. • 9/21 and 9/28 • Lame Duck – session days after the General Election State Grants • MEDC – Revitalization and Placemaking (RAP) Grant Application o City is seeking a total of $11,000,000 from the RAP Program, to facilitate a total of $40,000,000 of project costs. RAP proceeds would be dispersed as follows, with a total of 9% of the funds dedicated to placemaking and 91% dedicated to real estate rehabilitation: MKG-1 Lakeview Lofts Phase 2/3 ($5,000,000) MKG-2 880 First Street Rehabilitation ($5,000,000) MKG-3 Downtown Placemaking ($1,000,000) • MEDC received a total of 185 RAP applications requesting approximately $500 million in awards. The MSF has $100 million available for the RAP program. No notifications have been provided to applicants yet. MED anticipates that RAP awards for all selected applications with fully committed financing will be announced following MSF board action in September. All applicants will be notified of award status by the end of September. MKG-1 is a fully-designed and shovel-ready mixed use building with 100 apartment units. Many of the units are small and meant to be affordable to 120% of the area median income. The site is a priority site for the City, and the project will be the final phases of a multi-phased residential development that represented the City's first major mixed use building in a number of decades. Once completed, MKG-1 will help ensure the financial viability of the original completed phase of this project - which has significant financial investments from the City, the community foundation, and the Michigan Strategic Fund. This project is a priority because it provides much- needed housing opportunities and helps ensure the financial viability of the completed initial phase of the development. MKG-2 is a city-owned structure. The structure had been vacant for more than 10 years prior to the city purchasing it from a Canadian company in 2017. The building currently has no walls, and exists in a skeletal form. The city completed an RFP for developers in 2020 and identified a Lansing-based developer to acquire and renovate the structure. The project is now shovel ready. and the RAP Funding will complete the developer's capital stack. This would be the city's first major development completed by a minority real estate developer. 4 This project is a priority because it provides much-needed housing opportunities while supporting a minority developer. The building is also a blight that will soon require demolition by the city if the rehabilitation project does not begin soon. MKG-3 is a place making project. This project was selected to meet an ongoing coordinated goal of improving accessibility and walkability of Downtown Muskegon. The project will include barrier-free widened sidewalks, outdoor dining and gathering spaces, access to year-round public restrooms, new micro retail spaces, and greatly- improved ADA accessibility to some of Muskegon's most-popular downtown facilities. These projects align with the City's ongoing partnership with Disability West Michigan and address a number of key findings in a 10+ year old settlement agreement with the US Department of Justice focused on improving accessibility throughout the City. These projects are a priority because they provide improved accessibility to Muskegon's downtown amenities and provide much-needed assistance to our local hospitality industry. The City Commission has authorized $1,000,000 to match the RAP request of $1,000,000. This $2 Million placemaking project will have immediate positive impacts on the entire downtown and the numerous businesses that surround the city's arena and convention center, as well as improve the viability of the Muskegon downtown social district. MI Spark Grant • Earlier this year, the MDNR announced the Michigan Spark Grant which provided a $65 million grant program to help local communities create, renovate or redevelop public outdoor opportunities for residents and visitors. • Program details – including application timeline and reporting requirements – are currently being defined. Eligible applicants must be local units of government or public authorities legally designated to provide public recreation, or regional or statewide organizations of such entities working together. Applications will launch later this fall. All projects must be completed by Dec. 31, 2026. • Individual grant amounts – ranging from a minimum of $100,000 to a maximum of $1 million – will be distributed in three rounds: o Round one: $15 million by the end of 2022. o Round two: $25 million in the spring of 2023. o Round three: $25 million in the summer of 2023. $15M appropriation for Windward Pointe property, PFAS remediation activities to address groundwater, drinking water, surface water and fishery resources. • Developers and staff are nearing completion of the EGLE grant agreement documents to define the scope of the project. $2.3M appropriation for Harbor 31 property • Remediation of this Brownfield site will allow for transformational development to occur including offering a variety of housing options, creation of jobs, provision of senior care services, stimulation of economic development, creating greater public access to Muskegon Lake, and attracting new residents and visitors to the community. • State grant funds will be used to remove soils contaminated with toxic or hazardous metals, including, but not limited to, mercury and arsenic, to replace the displaced soils with clean soils, and to reestablish or mitigate 3.89 acres of wetland areas on a parcel or on contiguous parcels of land. Reconnecting Communities Program • Funding supports planning and capital construction grants, and technical assistance to reconnect communities divided by transportation infrastructure. o Planning Grants – up to $2M per project o Capital Construction Grants – no less than $5M per project 5 • Funding is available until 2026; $50M each year for Planning Grants; ~$150M each year for Capital Construction Grants • Targeting 2023 Planning Short Term Rentals (STRs) • HB 4722 past the House on 10/27/21 and is opposed by MML. The Senate may vote on the legislation this fall. • HB 4985 was introduced as “compromise” legislation and supported by MML. It has remained in the House since June 2021 and would do the following: o Local units could not ban STRs & would allow property owners to rent their property on limited basis. o Properties rented for more than 14 days per year could be regulated as commercial establishments in residential neighborhoods. o Preserves local control by allowing zoning ordinances to classify those rentals as either residential or commercial uses of property and allow local units to require a special-use or conditional-use permit for those houses. o Compromise Option 1 (HB 4985) Would define the number of days a property could be used as a STR and still qualify to be regulated as a residential use rather than a commercial one. o Compromise Option 2 (SB 547) Would stop local units from banning STR properties and create a statewide registry. This bill has remained in the Senate since June 2021. • The "Good Neighbor Policy" legislation, House Bills 5465 and 5466 is supported by a coalition of organizations representing local government, public safety, the restaurant and lodging industry, economic development and more. The compromise legislation was initiated as an alternative to the harmful HB 4722. HB 5465 and 5466 have remained in the House since October 2021. o HB 5466 would allow property owners the ability to rent their property for up to 30 days per year in all residential areas, while allowing for reasonable zoning regulations. The bill creates greater parity between requirements and regulations among the unregulated short-term rental enterprises and other “typical” hotel and motel lodging. o HB 5465 establishes the Short-term Rental Regulation Act that requires all short-term rentals and hosting platforms, like AirBnB or VRBO, to register the property with the state, allowing for improved awareness and regulatory enforcement. The properties are required to adhere to safety features, such as liability insurance, and on-site smoke and carbon monoxide detectors and fire extinguishers. Municipalities may enact reasonable regulations to protect health and safety, and proactively mitigate nuisance issues, such as noise, parking and traffic. There are groups supportive of a statewide housing plan but are opposed STRs. The intent is strike a balance between of allowing various housing types in communities. HOUSING MSHDA 6/1/22 • Three new MSHDA programs addressing Michigan’s housing needs that are coming this summer and early fall. She said that approximately 40% of Michigan’s housing is over 50 years old. • One program scheduled to be implemented this month (June) will be to invest about $25,000 per house to help with energy efficiency and bring the quality of Michigan’s older housing stock up. • Second program, Missing Middle, should be rolled out by mid-summer, Hovey said. It will help subsidize housing for families making up to about $80,000, so they can afford to rent or put payments down on housing near their jobs. • Third program won’t hit until early fall; $50 million. Housing and Community Development Fund 6 • Plan released in couple weeks and implemented over next 5 years; • Developing 75,000 new or rehabilitated housing units including 39,000+ affordable rentals and 13,500+ homeownership opportunities for median and low-income households. MSHDA MI-HOPE (Michigan Housing Opportunities Promoting Energy-Efficiency Program) • CNS intends to use $150,000 in ARP funds to use as leverage to apply for this grant program. • The MI-HOPE Program is intended to provide energy-efficiency activities that benefit area residents. It is funded through the US Department of Treasury American Rescue Plan (ARP) Coronavirus State and Local Fiscal Recovery Funds. • The city will be applying for $1,000,000 in funding through this opportunity to be used for energy-efficiency repairs for homeowners in Muskegon County, in an effort to improve our areas housing stock and ensure healthier and safer homes for our neighbors. • The $150,000 match will help support the administration of the grant and provide for an estimated additional 6 major repairs to the citizens of Muskegon County. This match aligns with the requirements and available uses of the ARP funds. FEDERAL Maritime Administration’s Port Infrastructure Development Program (PIDP) • Staff continues to collaborate with Senator Gary Peters (D-MI) on legislation that would make cruise-related infrastructure/facilities eligible for grants. Under current law they are not. This initiative is supported by the American Great Lakes Ports Association. The bill essentially does the following: • Requires the Secretary of Transportation to stand up a “Cruise ship-related infrastructure pilot program” • Allows the Secretary to spend up to 5% of annual PIDP funds on cruise ship-related port projects • Requires that cruise grants be awarded in a geographically equitable manner between regions of the United States • Requires the same cost share as other PIDP grants (80/20) • Defines the same eligible entities as other PIDP grants (port authorities, cities, counties, states, etc.) Allows cruise grants to be used for: - construction/reconstruction of docks & berths - environmental remediation or purchase of land - purchase of equipment that will improve the safety, security and efficiency of loading or unloading or processing of cruise passengers 7 City of Muskegon Flag Policy I. Purpose To provide a policy to fly flags on City owned or occupied property or facilities. II. City Commission Consideration and Decision The flying of the United States of America, State of Michigan, the County of Muskegon, and the City of Muskegon flag are permissible and may be flown at City property as authorized by City staff. The flying of any other flag is not permissible. This includes flags from other countries, flags recognizing a cause, flags recognizing a festival, flags recognizing an ethnicity, etc. Certification This policy was adopted at a regular meeting of the City Commission, held on ________________________________. The meeting was properly held and noticed pursuant to the Open Meetings Act of the State of Michigan, Act 267 of the Public Acts of 1976. CITY OF MUSKEGON ______________________________ Ann Marie Meisch, MMC, City Clerk CITY OF MUSKEGON LEGISLATIVE POLICY COMMITTEE Minutes Wednesday, May 25, 2022 5:34 pm Present: Commissioners St. Clair, Johnson, Ramsey, German, Gorman, and Emory. Absent: Commissioner Hood. Approval of Minutes Commissioner Ramsey moved, Vice Mayor German seconded, to approve the minutes of March 24, 2021. MOTION CARRIED. Critical Dune Ordinance – Mayor Johnson Mike Franzak, Planning Manager, explained the history of the Critical Dunes ordinance since the city took control in 2019 in an effort to speed up review times for applicants and reduce fees. The amount of staff time, fees, and audits by EGLE have not provided the time and cost savings the City was hoping to see. Staff recommends the permitting process revert back to EGLE. Social Media – Commissioner Ramsey Commissioner Ramsey questioned if the City should have comments on the live stream. The Commission discussed it in length and indicated the public livestream can indicate it is not being monitored. For all other postings, an email address should be shared for people to reach out with comments/questions. Federal and State Legislative Updates – Pete Wills Pete Wills reviewed the latest State/Federal bills that may impact the City. Adjournment Motion by Commissioner Ramsey, seconded by Commissioner St. Clair to adjourn the meeting at 6:50 pm. MOTION CARRIED. ______________________________ Ann Marie Meisch, MMC City Clerk
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