Approved Agreements and Contracts 425 Agreement Business Park North Removal 05-11-21

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                      Agenda Item Review Form
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                        Muskegon City Commission

Commission Meeting Date: 5/11/2021                  Title: 425 Agreement Business Park North
                                                    Removal

Submitted By: Jake Eckholm                           Department: Economic Development


Brief Summary: The department has gotten signatures on the purchase agreement for 902 Pine in
exchange for disposition of the 425 Agreement at Business Park North. The attached resolution is
to that end, per Commission instruction by motion.

Detailed Summary:
The attached resolution removes the City of Muskegon from the 425 Shared Jurisdiction
Agreement between Muskegon County, Dalton Township, arid ourselves. The resolution is
contingent on the approval of similar documents from both other parties.



Amount Requested : 0                               Amount Budgeted:


Fund(s) or Account(s) : N/A                        Fund(s) or Account(s) : NIA


Recommended Motion : A motion to approve the resolution as presented.



For City Clerk Use Only:
Commission Action :
                                 CITY OF MUSKEGON

                      COUNTY OF MUSKEGON, MICHIGAN

       At a regular meeting of the City of Muskegon City Commission, held on the 11th

day of May, 2021, at 5:30 p.m.

PRESENT:      Johnson, Gawron, Hood, Ramsey, German, Rinsema-Sybenga, and Emory

ABSENT:       None

       The following preamble and resolution was offered by Commissioner Rinsema-

Sybenga and supported by Commissioner Emory.

                            RESOLUTION NO. 2021-44(L)

   RESOLUTION TO TERMINATE THE CONTRACT FOR CONDITIONAL
 TRANSFER OF JURISDICTION BETWEEN DALTON TOWNSHIP AND THE
 CITY OF MUSKEGON AND DEVELOPMENT AGREEMENT BETWEEN THE
        COUNTY OF MUSKEGON AND THE CITY OF MUSKEGON


       WHEREAS, Dalton Township and the City of Muskegon entered into a Contract

for Conditional Transfer of Jurisdiction ("Contract") pursuant to Public Act 425 of 1985

on September 24, 2002;

       WHEREAS, the County of Muskegon and the City of Muskegon entered into a

Development Agreement City of Muskegon Renaissance Zone ("Development

Agreement") as part of the Conditional Transfer of Jurisdiction referenced above in

October of2002; and

       WHEREAS, the City of Muskegon hereby determines that the purpose of the

Economic Development Project upon which that Contract and Development Agreement

were based was not achieved, and will not in the future be achieved, by the Contract and

Development Agreement as a result of the expiration of the Renaissance Zone tax credit,
and that the Development Agreement and Contract have become an obstacle to

development of the transferred area; and

       WHEREAS, Dalton Township, the County of Muskegon and the City of Muskegon

desire the termination of said Contract and the Development Agreement and the City of

Muskegon approves of the termination of the Contract and Development Agreement; and

          WHEREAS, Dalton Township, the County of Muskegon and the City of Muskegon

desire the termination to take effect immediately upon the approval of all three parties; and

          WHEREAS, Dalton Township and the City of Muskegon both desire the

transfened area to return to Dalton and its jurisdiction with no cost of infrastructure

installed or financed, and no liability for debt service or indebtedness being owed by

Dalton;

          NOW, THEREFORE, BE IT RESOLVED, that the City of Muskegon City

Commission approves the termination of the Contract for Conditional Transfer of

Jurisdiction between Dalton Township and the City of Muskegon dated September 24,

2002 and the Development Agreement City of Muskegon Renaissance Zone between the

County of Muskegon and City of Muskegon executed in October of 2002; and

          BE IT FURTHER RESOLVED that the City of Muskegon City Commission

approves the termination of the Contract and Development Agreement immediately upon

approval of all three parties with the transferred area returning to Dalton, with no cost of

infrastructure installed or financed, and no liability for debt service or indebtedness being

owed by the City of Muskegon; and




                                             2
       BE IT FURTHER RESOLVED that the Mayor and Clerk are hereby authorized

and directed to sign an appropriate agreement with Dalton Township and the County of

Muskegon terminating the Contract and the Development Agreement on the terms

expressed in this Resolution.

       AYES:          Gawron, Hood, Ramsey, German, Rinsema-Sybenga, Emory, and

                      Johnson

        NAYS:         None

RESOLUTION DECLARED ADOPTED.

                                           ~"-,.__~~~~;_-------"''<~,>];-~
                                            Ann Marie Meisch
                                            City of Muskegon City Clerk

STATEOFMICHIGAN    )
                   ) ss.
COUNTY OF MUSKEGON )

       I, the undersigned, the duly qualified Clerk of the City of Muskegon, Muskegon
County, Michigan (the "City") do hereby ce1tify that the foregoing is a true and complete
copy of a resolution adopted by the Township at a regular meeting held on May 11, 2021,
the original of which is on file in my office. Public notice of said meeting was given
pursuant to and in compliance with Act No. 267, Public Acts of Michigan, 1976, as
amended.

      IN WITNESS WHEREOF, I have hereto affixed my official signature this 11th day
of May 2021.


                                            Ann Marie Meisch, Clerk
                                            City of Muskegon




                                            3
                   AGREEMENT TO TERMINATE CONTRACT FOR
                    CONDITIONAL TRANSFER OF JURISDICTION


       This Agreement is effective as of .. Tu )~ I , 2021      (the "Effective Date"), by and

among the Township of Dalton, of 1616 E. Riley Thompson Road, Muskegon, Michigan 49445,

the City of Muskegon, of 933 Terrace Street, Muskegon, Michigan 49440 and Muskegon

County, of990 Te.rmce Street, Muskegon, Michigan 4944-2. The parties agree as follows:

RECITALS

       WHEREAS, the Township and the City are parties to a Contract for Conditional Transfer

of Jurisdiction dated September 24, 2002 (the "425 Agreement"); and

       WHEREAS, the County owns land subject to the 425 Agreement; and

       WHEREAS, on April 21, 2021, the Township's Board adopted a resolution to dissolve

the 425 Agreement; and

       WHEREAS, on May 11, 2021, the City's Commission adopted a resolution to tei-minate

the 425 Agreement and a related Development Agreement with the City of Muskegon -

Renaissance Zone (the "Development Agreement"); and

       WHEREAS, the County wishes to have the 425 Agreement and the Development

Agreement terminated.

       NOW, THEREFORE, the parties agtee as follows:

PROVISIONS

   1, The 425 Agreement is hemby terminated and dissolved effective as of the Effective Date.

   2. The transfen·ed area (as described in tl1e 425 Agreement) is returned to the Township,

       with no cost of infrastmcture installed or financed, and no liability for debt service or

       indebtedness, being owed by the City or the Township.
     3. The Development Agreement is hereby terminated effective as of the Effective Date.

     4. This Agreement may be executed in counterparts, which taken together shall constitute

          one agreement. An electronic or facsimile signature on this Agreement has the force and

          effect of an original signature. This Agreement binds the parties and their successors and

          assigns.

                                                       CITY OF MUSKEGON




TOWNSHIP OF DALTON                                     COUNTY OF MUSKEGON



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