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CITY OF MUSKEGON
CITY COMMISSION WORKSESSION
May 13, 2024 @ 5:30 PM
MUSKEGON CITY COMMISSION CHAMBERS
933 TERRACE STREET, MUSKEGON, MI 49440
MINUTES
2024-42 CALL TO ORDER
The Worksession Meeting of the City of Muskegon was called to order at City
Hall, 933 Terrace Street, Muskegon, Michigan, at 5:30 p.m.
Present: Mayor Ken Johnson, Vice Mayor Rebecca St.Clair, Commissioners Jay
Kilgo, Willie German, Jr., Rachel Gorman, and Katrina Kochin
Absent: Commissioner Destinee Keener
NEW BUSINESS
A. Taste & LAF Transition to LAB Events DPW- Parks
LAB Events has requested the transition of ownership of both Taste of Muskegon
and Lakeshore Art Festival from the City of Muskegon Parks & Recreation
Department. They have put together a proposal that will keep these popular
events as a staple of Muskegon as well as make improvements. Parks and
Recreation Director Kyle Karczewski explained the request to transition
ownership and discussion was held. This item will be on the May 14, 2024, City
Commission Meeting.
B. City Hall Operations Space Needs Analysis Update Planning
An update on the findings of a space needs analysis for City Hall operations
that considers a potential move to the former Hackley Administration Building.
Upon selection of their contract in November 2023, City Staff worked with
Integrated Architecture to complete the City Hall Operations Space Needs
Analysis. The analysis compares the available space in both the current City Hall
building at 933 Terrace Street and the former Hackley Administration Building at
349 W. Webster Avenue to evaluate a potential move of City Hall staff and
services to the former Hackley Administration Building. Jamie Pesch, Planner,
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explained the findings.
C. Muskegon Social Equity Program Planning
The City has received $69,949.85 from the excise tax on marihuana for fiscal
year 2023. The City has traditionally allocated 30% of the money to fund the
Musekgon Social Equity Program (MSEP). Staff is recommending a few changes
to the MSEP with the new funding. Mike Franzak, Planning Director updated
Commission.
D. Sale of 12.87 acres at 2675 Olthoff Drive to Bluewater Industrial
Development, LLC Economic Development
Staff have been working with Bluewater Development to negotiate a purchase
agreement for a portion of our remaining acreage at the Port City Industrial
Park's former Westhore Correctional Facility site. An existing company in the Port
City Industrial Park is seeking space for a needed expansion. Bluewater Industrial
Development plans to construct a 215,000 square foot facility on the proposed
sale site for the company, which will allow the addition of 75-100 new full-time
industrial jobs in the community. Bluewater is in the process of finalizing a long-
term lease with the company, and has 60 days from execution of the sales
agreement to do so. The Michigan Economic Development Corporation is also
involved with a commitment of assistance, which must remain confidential at
this time. Their assistance, as always, is predicated on the city approving the
maximum local tax abatement which will come to you in a future meeting. The
total project capital investment with real property and equipment is
$23,481,220.
A particular point of interest in the sales agreement is the subject of stormwater
retention. In an effort to be efficient with our remaining industrial space in the
park, and to be good environmental stewards, staff have negotiated with
Bluewater to construct a shared stormwater retention basin on city property
immediately adjacent to the sale site. We have roughly 30 acres remaining that
can be developed for industrial/commercial use, and we will require future
users to connect to this pond rather than constructing their own. This will provide
a cost benefit for future developments, and also create more usable space on
their lots. At the time of closing with the city, a future developer will reimburse
Bluewater Development for a proportional share of the initial pond construction
based on acreage. The city will contract with Bluewater to maintain the pond
(mow around it) until such time as another development connects to it, at
which point we will bid out mowing/maintenance or conduct it in-house
through Public Works. Jake Eckholm, Development Services Director, explained
the request and discussion took place. This item will appear on the May 14,
2024, City Commission Meeting.
PUBLIC COMMENT
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Public comments received.
ADJOURNMENT
The City Commission meeting adjourned at 8:16 p.m.
Respectfully Submitted,
Ann Marie Meisch, MMC City Clerk
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