Approved Agreements and Contracts 2025/03/25 Harbour Towne Marina Reciprocal License Agreement

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                                              |   CITY OF


                                                  MUSKEGON

                           Agenda Item Review Form
                          Muskegon City Commission

Commission Meeting Date: March 25, 2025                Title:   Harbour Towne Marina Reciprocal License
                                                       Agreement


Submitted by: Jonathan Seyferth, City Manager          Department: Manager's Office


Brief Summary:
Harbour Towne Marina replaced its on-site fuel tanks for its gas dock operations. Their lines cross a
section of city-owned property behind the marina fence line. This license agreement allows Harbour
Towne Marina to use that section of property, and the city receives a license io use property outside
the fence line.


Detailed Summary & Background:
Early in 2025, Harbour Towne Marina approached the city when it discovered that the existing fence
line erected in the 1980s did not follow the property line, specifically in the southeast section of their
operations (see inset map for reference). The discrepancy was discovered when Harbour Towne
Marine replaced its fuel tanks on its property. The new tanks are above-ground tanks that are up to
current standards and have been permiitea by EGLE (the old tanks were buriea). The fuel lines from
the new tanks to the fuel docks cross a section of city property.


Harbor Towne Marina suggested that the city and Harbor Towne Marina enter into a licensing
agreement (30-year term). The city would license the part of its property behind the fence to Harbor
Towne Marina (about 3,000 square feet}, and the marina would license a part of its property outside
the fence line to the city (a section at the end of the cul-de-sac thai's currently used by the public -
about 3,500 square feet). The fence line would not move.


This option is acceptable to legal counsel as it does not convey the property to either party (this is a
charter park). Additionally, Harbor Towne Marina will list the city as an additional insured on its
insurance policy related to the fuel tanks.

Goal/Focus Area/Action Item Addressed:


Key Focus Areas:



Goal/Action Item:
2027 Goal 1: Destination Community & Quality of Life - Improved access to waterways


Amount Requested:                                      Budgeted Item:

n/a                                                     Yes             No           N/A      |X

Fund(s) or Account(s):                                 Budget Amendment Needed:
                                   RECIPROCAL LICENSE AGREEMENT


THIS RECIPROCAL LICENSE AGREEMENT ("License") is dated as of March as, 2025 by
and between the City of Muskegon, a Michigan municipal corporation of 933 Terrace Street,
Muskegon, Michigan 49440 (“City”) and Harbor Towne Marina Association, a Michigan non-
profit corporation of 3429 Fulton Ave Muskegon, MI 49441 (“Association”).

                                                      RECITALS


       A.    City is the owner of certain real property located in the City of Muskegon, County
of Muskegon, State of Michigan, as described in Exhibit "A" attached hereto and incorporated
herein by this reference ("Parcel 1").


       B.     Association is the association of co-owners of Harbour Towne Marina
Condominium, a condominium established by Master Deed recorded May 31, 1984 in Liber 1286.
Pages 423-479, Muskegon County records and designated as Muskegon County Condominium
Subdivision Plan No. 11, as amended, and it administers the real property located in the City of
Muskegon County of Muskegon, State of Michigan, as described in Exhibit "B" attached hereto
and incorporated herein by this reference ("Parcel 2") on behalf of all co-owners of the
condominium.


        C.     The parties, in exchange for the mutual licenses herein granted, desire to create
reciprocal Licenses for ingress and egress, and related purposes, upon and across specific areas of
Parcel | and Parcel 2 and provide for the maintenance of those areas.

                                                      LICENSE


        1.     City License. The City hereby grants and conveys a license to the Association
over, under and across Parcel | for ingress and egress, and the installation, use, maintenance and
replacement of two above ground petroleum storage tanks, fencing, and related underground
pipes and electrical lines which service the Harbour Towne Marina gas dock.

        2.      Association License. The Association hereby grants and conveys a license to the
City for ingress and egress over and across Parcel 2.

         3.      Barriers. No party shall unreasonably prevent, hinder or interfere in any way with
the use of the licensed areas of the other, for other than for temporary periods of time for the
repair, restoration, reconstruction of roadway surfaces or utilities.


                                                         -|-

Reciprocal License Agreement For Ingress and Egress
       4.      Maintenance and Expenses. The parties covenant and agree to maintain their
respective licensed areas in good, safe, and sanitary condition and repair, and to pay all expenses
incurred in connection therewith.


        5.      Association Compliance with Law and Indemnification.              The Association
covenants and agrees to comply with all laws, rules, regulations and requirements of all public
authorities with respect to its licensee area, and to indemnify, defend and hold the City harmless
against all claims, demands, loss, damage, liabilities and expenses and all suits, actions and
judgments (including but not limited to costs and attorney's fees) arising out of or in any way
related to the Association’s failure to maintain or operate Parcel 1 in the manner required by this
Agreement, Without limiting the generality of the foregoing, the Association shall not bring to
or store at Parcel 1 any Hazardous Substances in violation of applicable Environmental Laws.
Association shall indemnify, defend, protect, and hold City free and harmless from and against
any and all claims, liabilities, losses, damages, actions or causes of actions, costs and expenses
(including reasonable attorneys’ fees) to the extent arising from or in connection with any
Hazardous Substances brought to or stored at the Premises by Association, its employees, agents,
or contractors. The term “Hazardous Substances” as used in this Lease, shall mean pollutants,
contaminants, toxic or hazardous wastes, or any other substances (specifically including asbestos
and lead-based paint), the removal of which is required or the use or storage of which is restricted,
prohibited, regulated or penalized by any Environmental Law. As used herein, the term
“Environmental Law” means any current or future Law pertaining to: (a) the protection of health,
safety and the indoor or outdoor environment; (b) the conservation, management, or use of natural
resources or wildlife; (c) the protection or use of surface water and groundwater; (d) the
management, manufacture, possession, presence, use, generation, transportation, treatment,
storage, disposal, release, threatened release, abatement, removal, remediation or handling of, or
exposure to any Hazardous Substance; or (e) pollution (including any release to air, land, surface
water and groundwater), and includes, without limitation, the Comprehensive Environmental
Response, Compensation and Liability Act of 1980, as amended by the Superfund Amendments
 and Reauthorization Act of 1986, 42 U.S.C. 9601 et seq., Solid Waste Disposal Act, as amended
by the Resource Conservation and Recovery Act of 1976 and Hazardous and Solid Waste
Amendments of 1984, 42 U.S.C. 6901 et seq., Federal Water Pollution Control Act, as amended
 by the Clean Water Act of 1977, 33 U.S.C. 1251 et seq., Clean Air Act of 1966, as amended, 42
 U.S.C. 7401 et seq., Toxic Substances Control Act of 1976, 15 U.S.C. 2601, et seq., Hazardous
 Materials Transportation Act, 49 U.S.C. 1801 et seq., Occupational Safety and Health Act of 1970,
 as amended 29 U.S.C. 651 et seq., Oil Pollution Act of 1990, 33 U.S.C. 2701 et seq., Emergency
 Planning and Community Right-to-Know Act of 1986, 42 U.S.C. 11001 et seq., National
 Environmental Policy Act of 1969, 42 U.S.C. 4321 et seq., Safe Drinking Water Act of 1974, as
 amended, 42 U.S.C. 300(f) et seq., any similar, implementing or successor law, and any
 amendment, rule, regulation, order or directive issued thereunder. Association shall promptly
 deliver to City copies of all notices received by Association from any Governmental Authority
 concerning Hazardous Substances or a violation of an Environmental Law involving Parcel 1. The
 Association shall procure and maintain general liability and property damage insurance affording
 coverage for all insurable obligations undertaken by the Association under this paragraph. Each
 policy of general liability insurance maintained as herein required shall be primary and non-
 contributory. Said policy shall provide coverage of at least One Million Dollars ($1,000,000.00)


                                                      2-

Reciprocal License Agreement For Ingress and Egress
per occurrence. Each policy shall provide that it cannot be canceled without at least thirty (30)
days prior written notice to the City and shall be issued by financially sound and reputable
insurance companies authorized to do business in the State of Michigan. Certificates evidencing
the existence of such insurance, including the 30-day notice of cancellation set forth above, naming
the City as an additional insured on the other party’s policy shall be provided by the Association
to the City from time to time upon request.


          6.        Term.       The term of this Reciprocal License Agreement will begin on March 15,
2025, and shall continue until March 31, 2055, unless extended as provided herein.        Thereafter,
this agreement shall continue to renew on a year to year basis, unless terminated by at least one
hundred eighty (180) days advance written notice of the intention to terminate given by either
Tenant or Landlord. All rights which accrue to either party during the term of this license shall
survive the termination of the license.


          7.        Enforcement; Attorneys Fees. The parties hereto are entitled to all remedies
authorized by law to enforce the provisions of this Agreement, including, but not limited to,
specific performance. In the event that a party brings an action to enforce its rights hereunder, the
prevailing party in such action shall be entitled to receive all costs and reasonable attorney's fees
in addition to any damages to which it is due by reason of such action from the party from which
enforcement is sought.


       8.     Notices. All notices or other communications hereunder shall be sufficiently given
and shall be deemed given when dispatched by regular, registered or certified mail, postage
prepaid, or by hand delivery, addressed or delivered as follows:


If to the City:


          City of Muskegon
          933 Terrace St.
          Muskegon, MI 49440
          Attn: City Manager


If to Association:


          Harbour Towne Marina Association
          3429 Fulton Ave
          Muskegon, MI            49441



          The parties hereto may, by notice given hereunder, designate any further or different
address to which subsequent notices or other communications may be sent.


        9.      Limitation of Rights. This Agreement is for the sole and exclusive benefit of the
Parties hereto and nothing expressed in or to be implied from this Agreement is intended to give
any person other than the Parties hereto any legal or equitable right, remedy or claim under or in
respect to this Agreement. The public may use the areas licensed to the City if allowed by the



                                                      -3-

Reciprocal License Agreement For Ingress and Egress
City. The employees and agents of the Association may use the areas licensed to the Association.

       10.     Exemption. This conveyance is exempt from the provisions of the County
Transfer Tax in accordance with MCLA 207.505(a). This conveyance is exempt from the
provisions of the State Transfer Tax in accordance with MCLA 207.526(a).

         IN WITNESS WHEREOF, the undersigned have executed this License as of the dates
set forth below in their respective acknowledgements.

                                               [SIGNATURE PAGES FOLLOW]



CITY OF MUSKEGON:



CITY OF MUSKEGON




By: Nr-bdbr
    “Ken Jolhsor.,
                    e~
                   Mayor



           Anne Marie Meisch, Clerk



STATE OF MICHIGAN                                     )
                                                      ) Ss
COUNTY OF MUSKEGON                                    )

The foregoing instrument was acknowledged before me this 3 / St day of Tea rch , 2025 by
Ken Johnson, Mayor, and Anne Marie Meisch, Clerk, of the City of Muskegon, a Michigan
municipality, on behalf of the municipality.




                                                             Li nda <. Zther , Notary Public
                                                             us Ke 7 2                County, Michigan
                                                             Acting in   Muskegon County, Michigan
                                                             My Commission Expires:     9-5-2030




Reciprocal License Agreement For Ingress and Egress
                                                            ASSOCIATION:


                                                            HARBOUR TOWNE MARINA ASSOCIATION,
                                                            a Michigan non-profit corporation



                                                            OD wae to
                                                                 Dale Parlin
                                                                 Its: President

                                                            And By Jarry — CJeonprnann
                                                                 Larry Crossman
                                                                 Its: Secretary




STATE OF MICHIGAN                                     )
                                                      ySS
COUNTY OF MUSKEGON                                    )


The foregoing instrument was acknowledged before me this 3\   st day of (Ma VeAy , 2025 by
                                                            ?\~_
Dale Parlin, President, and Larry Crossman, Secretary, of HarbourTowne Marina Association, a
Michigan non-profit corporation, on behalf of the corporation.


                                                            Tare   ws Hou —_
                                                             pAvip W ¢ ‘HARRON
                                                            Notary Public,   EN 1    County, Michigan
                                                            Actingin Muskegon eg” Michigan
                                                            My Commission Expires: S / / 7 [30_


Prepared by:


David W. Charron
Charron Law
5500 Northland Drive, NE
Suite H
Grand Rapids, MI 49525




Reciprocal License Agreement For Ingress and Egress

                                                                                                  Page 119 of 231
                                                            Exhibit A


                                                      Description of Parcel 1




                               DESCRIPTION FOR THE CITY OF MUSKEGON
                                                                OF
                           HARBOUR TOWNE BEACH ON MUSKEGON LAKE
                                               May 8, 2000        No. 006024.1



That part of Block 742 of the Revised Plat of 1903 of the City of Muskegon, Muskegon, County,
Michigan, described as follows: Commencing at the most Northeasterly corner of Harbor Towne
Marina Condominium as recorded in Liber 1286, Pages 423-479 for POINT OF BEGINNING;
thence North 01°52’29” East along the East line of said Harbour Towne Marina Condominium
extended 10.72 Feet to the Westerly Right-of-Way line of Fulton Street; thence South 33°33’20”
East along said Westerly Right-of-Way line 68.18 Feet; thence along a Curve to the left
Southerly, Easterly and Northerly around a Turnaround having a radius of 65.50 Feet and an arc
distance of 308.16 Feet and whose Central Angle is 269°33’41” and Long Chord bears South
78°46’27” East 92.98 Feet; thence South 33°33’20” East 56.34 Feet; thence South 18°00’00”
West 259.94 Feet; thence South 72°00’00” East 66.00 Feet; thence South 18°00’00” West 66.00
Feet; thence North 72°00’00” West 66.00 Feet; thence South 18°00’00” West 50.17 Feet to
Harbour Towne Marina Condominium line; thence North 89°37’27” East along Harbour Towne
Marina Condominium line 317.30 Feet; thence North 42°55’40” East along Harbour Towne
Marina Condominium line 150 Feet more or less to the shore of Muskegon Lake to a Point
hereinafter referred to as “Point A’; thence RECOMMENCE AT THE ABOVE DESCRIBED
POINT OF BEGINNING; thence North 88°07’31” West along the North line of said Harbour
Towne Marina Condominium extended 757.98 Feet; thence North 29°37°10” West 45.57 Feet to
the Southeasterly line of Fulton Street; thence North 55°18’50” East along said Southeasterly
line 104.49 Feet; thence North 43°51°33” East along said Southeasterly line 88.79 Feet; thence
South 27°14’03” East (Deeded as South 26°36’ East) 63.44 Feet; thence North 62°44’24” East
210.56 Feet; thence North 81°51°39” East (Deeded as North 82°18’ East) 369.76 Feet; thence
North 21°49°39” East 100 Feet more or less to the shore of Muskegon Lake; thence
Southeasterly along the shore of Muskegon Lake 840 Feet mor or less to the above mentioned
“Point A”.
Containing 6.872 Acres




Reciprocal License Agreement For Ingress and Egress
                                                            Exhibit B


                                                      Description of Parcel 2



The fee areas which are dedicated to the Condominium Project established hereby are legally
described below:


Beginning at the Northwest corner of Plat of Edgewater Subdivision, City of Muskegon, Muskegon
County, Michigan, recorded in Liber 3, Page 82 of Plats, MCR, also known as the Northeast corner
of Block 740 of the Revised Plat of the City of Muskegon.


  Thence South 89 degrees 37 minutes 27 seconds West, parallel with North line of said Plat of
Edgewater, 105.00 feet;
  Thence South 01 degree 52 minutes 29 seconds West, parallel with the West line of said Plat of
Edgewater (also being the East line of Block 740, revised Plat of the City of Muskegon, 130.00 feet;
  Thence North 88 degrees 07 minutes 31 seconds West, 574.00 feet;
  Thence North 57 degrees 52 minutes 07 seconds West, 191.39 feet;
  Thence South 89 degrees 37 minutes 21 seconds West, parallel with North line of said Plat of
Edgewater, 210.00 feet;
  Thence North 00 degrees 22 minutes 33 seconds West 215.00 feet;
  Thence North 30 degrees 04 minutes 06 seconds West, along extended East line of said Block 747,
55.00 feet;
  Thence North 53 degrees 52 minutes 59 seconds East, along the extended South line of Block 746,
Revised Plat of the City of Muskegon, 97.15 feet, to the Southwest corner of Lot | said Block 746;
  Thence North 29 degrees 46 minutes 05 seconds West, along West line of said Lot 1, Block 746,
126.46 feet, to the Northwest corner of said Lot 1 Block 746;
  Thence North 60 degrees 22 minutes 50 seconds East along the Northline of said Block 746,
241.42 feet to the Northeast corner of said Block 746;
  Thence South 30 degrees 04 minutes 54 seconds East, along East line of said Block 746, 0.50 feet;
  Thence North 60 degrees 22 minutes 50 seconds East, parallel with the North line of Block 746,
158.86 feet, the following calls lying within Block 742 and 743 of the Revised Plat of the City of
Muskegon.
  Thence South 01 degree 52 minutes 29 seconds West, parallel with the West line of Plat of
Edgewater, 162.88 feet;
  Thence South 88 degrees 07 minutes 31 seconds East, 280.00 feet;
  Thence North 01 degree 52 minutes 29 seconds East, parallel with the West line of Plat of
Edgewater, 60.00 feet;
  Thence South 88 degrees 07 minutes 31 seconds East 42.00 feet;
  Thence North 01 degree 52 minutes.29 seconds East parallel with the West line of Plat of
Edgewater, 158.50 feet;
  Thence South 88 degrees 07 minutes 31 seconds East, 614.00 feet;
  Thence South 01 degree 52 minutes 29 seconds West, parallel with the West line of Plat of
Edgewater Subdivision, 469.50 feet;
  Thence North 89 degrees 37 minutes 27 seconds East, parallel with the North line of Plat of
Edgewater Subdivision 317. 30 feet;
  Thence North 42 degrees 55 minutes 40 seconds East 72.44 feet to Point "A";




Reciprocal License Agreement For Ingress and Egress
  Thence North 42 degrees 55 minutes 40 seconds East 80.00 feet, more or less, to the shoreline of
Muskegon Lake;
  Recommencing at Point "A", thence South 47 degrees 04 minutes 20 seconds East on a
meanderline along shore of Muskegon Lake 140.00 feet to Point “B”;
  Thence North 42 degrees 55 minutes 40 seconds East 60 feet, more or less, to shoreline of
Muskegon Lake;
  Recommencing at Point "B", thence South 42 degrees 55 minutes 40 seconds West 174.10 feet;
  Thence South 89 degrees 37 minutes 27 seconds West, along North line of said Plat of Edgewater
Subdivision, also being the South line of Block 742, Revised Plat of the City of Muskegon, 552.46
feet, to the Point of Beginning.


Said parcel contains 20.12 acres and is subject to Riparian Rights. Bearings based from Transverse
Mercator Projection Central Zone.


Said description being part of Block 742, Block 743, Block 740, Revised Plat of the City of
Muskegon, and also including Lot 1, Block 746, Revised Plat of City of Muskegon.




Reciprocal License Agreement For Ingress and Egress

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