Approved Agreements and Contracts 2026/06/09 Industrial Facilities Exemption American Fabricated Products

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                                                                            AORG~ 43 (A)
                                              CITY OF


                                              MUSKEGON

                         Agenda Item Review Form
                        Muskegon City Commission

Commission Meeting Date: June 9, 2026               Title: PA 198 Industrial Facilities Exemption —
                                                    American Fabricated Products, INC, — 331 W.,
                                                    Laketon Ave.


Submitted by: Jocelyn Hines, Develooment            Department: Economic Development
Analyst


Brief Summary:
Pursuant to Public Act 198 of 1974, as amended, American Fabricated Products, INC has requested
the issuance of an Industrial Facilities Exemption certificate for their properly located at 331 W.
Laketon Ave.

Detailed Summary & Background:
American Fabricated Products, Inc. (American Fab) has supmitted an application for an Industrial
Facilities Exemption (IFT) certificate for real property improvements at 331 W. Laketon Avenue. The
company plans to rehabilitate the 64,366 square-foot facility with a total investment of $665,996.

American Fab is relocating its operations from Spring Lake to fhe City of Muskegon. Approximately
40% of the company’s current workforce resides within the City of Muskegon, and the company
anticipates creating 22 additional jobs as part of this expansion.

lf approved, the IFT certificate would reduce property taxes on the eligible real property
improvemenis by 50% for the duration of the exemption.

American Fab is a West Michigan manufacturer specializing in advanced metal fabrication, precision
machining, laser cutting, CNC machining, welding, robotic welding, meta! forming, assembly, and
prototype-to-production manufacturing services. The company serves a diverse customer base,
including the defense, automotive, furniture, industrial, logistics and warehousing, agricultural,
medical, and food service sectors, and supports both OEMs and their suppliers. American Fab is also
a supplier to prime and sub-prime defense contractors and manufactures components for military
defense vehicles.

In addition to the IFT request, American Fab will be requesting a Brownfield Plan Amendment from
the Brownfield Redevelopment Authority on June 9, 2026, to allow for the reimbursement of eligible
activities. Final consideration of the Brownfield Plan Amendment is scheduled before the City
Commission on June 23, 2026.

Following its review, the City's Internal Tax Committee recommends approval of a 9-year abatement
term for the proposed investment.
Goal/Action ltem:
2027 Goal 1: Destination Community & Quality of Life - Reduction of blighted commercial properties

Is this a repeat item?:
Explain what change has been made to justify bringing it back to Commission:

Amount Requested:                                   Budgeted Item:

N/A                                                  Yes           No           N/A | X

Fund(s) or Accouni(s):                              Budget Amendment Needed:
N/A                                                  Yes           No           N/A     X

Recommended Motion:
| move to close the public hearing and approve the issuance of an Industrial Facilities Exemption
certificate for a period of nine (9) years for the property located at 33] W. Laketon Ave. and to
authorize the Mayor and City Clerk to sign the application and resolution.

Approvals:                                          Name the Policy/Ordinance Followed:
 Immediate Division       X                         Public Act 198 of 1974, as amended
 Head

 Information
 Technology

 Other Division Heads

 Communication

 Legal Review
Michigan Department  of Treasury
1012 (Rav, 09-22), Page 1 of 4


Application for Industrial Facilities Tax Exemption Certificate
Issued under authority of Public Act 198 of 1974, as amended. Filing Is mandatory.


INSTRUCTIONS: File the completed application and the required attachments with the clerk of the local government unit. If you have any
questions regarding the completion of this form, call 517-335-7491.



                                                                               To ba completed by Clerk of Local Government Unit
 Signature of Cle                      N                                              ‘                                      > Date Recoived by Local Unit
       YeYoo                     YO         RQ              T®&X V2 9.YN
                                                           PS                                                                    5/26/26
                                                                     m                                               STC Use Only
  > Application Number                                                                                                     > Date Racalved by STC


APPLICANT INFORMATION
All boxes must be completed.
  > 1a, Company Name (Applicant must be the occupanV/operator of the facility)                                               > 1b, Standard Industrial Classificallon (SIC) Code = Sec, 2(10) (4 or 6 Digit Code)
    American Fabricated Products, Inc.                                                                                         332710
  > ic. Facility Address (City, State, ZIP Code) (real and/or personal property location)                                    > 1d, Clty/Township/Village (indicate which)          > 4e, County
    331 W Laketon Ave Muskegon, MI 49441                                                                                     City of Muskegon                                      Muskegon
  b 2. Type of Approval Requested                                                                                :           > 3a, School District where facility Is located       > 3b. School Code
           New (Sec. 2(6))                                                    |_| Transfer                                    Muskegon Public Schools                             61010
           Speculative Building (Sec. 3(8))  TS]  Rehabilitation (Sec, 3(6)) [4. Amount of years requestad for exemption (1-12 Years)
           Research and Development (Sec. 2(10)) | | Increase/Amendment | 12 Years After Completion
 §, Per section 5, the application shall contain or be accompanied by a general description of the facility and a general description of the proposed use of the facility, the general
 nalure and extent  of the restoration, replacement, or canstructian to ba undertaken, a descriptive list of the equipment that will be part of the facility, Attach additional page(s) if
 more room fs needed,

  American Fabricated Products is moving their operations from Spring Lake to the City of Muskegon. They are
  reconstructing a current facility to include general office remodel, new mechanical, plumbing and electrical. Job creation
  will occur incrementally and Is directly tied to capital investment, equipment installation, and increased manufacturing
  throughput. Positions will include production operators, skilled trades, quality and technical roles, engineering support.

  6a, Cost of land and building Improvements (excluding cost of land)                                                                   .         _.          __.. » 665,996
            * Attach list of Improvements and associated costs.
            * Also attach a copy of bullding permit If project has already begun.                                                                                              RéabPropenyo
                                                                                                                                                                                eal P,   Cc
                                                                                                                                                                                            ne
   6b. Cost of machinery, equipment, furniture and fixtures                                                                                                              » 0
            * Attach Itemized IlstIng with month, day and year of beginning of Installatton, plus total                                                                        Personal Property Costs
   6c. Total Project Costs                                                        .                                                                                   _ > 665,996
   * Round Costs to Nearest Dollar                                                                                                                                             Total of Real & Personal Costs
  7. Indicate the time schedule for start and finish of construction and equipment installation, Projects must be completed within a two year periad of the affectiva date of the
                                                                                                                                    .
  certificate unless otherwise approved by the STC.
                                                                        Begin Date (MID)                                    End Date (M/D/Y)

    Real Property Improvements                                  b 04/15/2026                                             04/14/2028                         > C] Ovmed                Leased
    Personal Property Improvements >                                                                                                                        d C] Owned [| Leased

   > 8, Are State Education Taxes reduced or abated by the Michigan Economic Development Corporation (MEDC)? If yes, applicant must attach a signed MEDC Letter of
  Commitment to receive this exemption. CT] Yes                                                 No
   D 9, No, of existing jobs at thls facility that will be retained as a result of this project.                              > 40. No. of new jobs atthis facility expected to create within 2 yoars of completion,
     30                                                                                                                        22
  71. Rehabilitation applications only, Complete a, b and ¢ of this section. You must attach the assessor's statement  of SEV for tha entire plant rehabilitation district and
  obsolescence statement for property. The Taxable Value (TV) data below must be as of Dacember        31 of the year prior to the rehabilitation.
     8. TV of Real Property (excluding 18d) oo csssesesecscssssessecce sc esacensu se nse ts ncsenasecons anes                                               ateaee            ae 45.53 peo
                                                                                                                                                                               os in
     b, TV of Personal Proporty (excluding inventory)
     ¢, Total TV                                                                                                                                                               SYS 531 _—
   > 12a. Check the type of District the facilityIs located In:                                                                                                                          .
                                 Industrial Development District                                     [_| Plant Rehabilitation District
    > 12b, Date district was established by local goverment unit (contact local unit)                                         > 12c, Is this application for a speculativo building (Sec. 3(8))?
               04/14/2026                                                                                                                   [_] Yes          No
1012, Page 2 of4



APPLICANT CERTIFICATION - complete all boxes.
The undersigned, aulhorized officer of the company making this application certifies thal, to the best of his/her knowledge, no infarmation contained herein or
in the attachments hereto Is false in any way and that all are truly descriptive of the industrial property for which this application is being submilted.

itis further certified (hat the undersigned Is familiar vith the provisions of P.A. 198 of 1974, as amended, being Sections 207.551 to 207.572, inclusive, of the
Michigan Compiled Laws; and to the best of his/her knovtedge and belief, (s)he has complied or will be able to comply with all of the requirements thereof
which are prerequisite to the approval of the application by the local unit of government and the issuance of an Industrial Facilities Exemption Certificate by
the State Tax Commission.


13a, Preparer Name                          13b, Telephone Number                        13c, Fax Number                            13d. E-mail Address

   Emily Morgenstern                               (231) 724-3181                                                                     emily@developmuskegon.
14a. Name of Contact Person                 14b. Telephone Number                        1Ac, Fax Number                            14d, E-mail Address

   Russell Golemba                                 (616) 607-8785                                                                     tsgolemba@american-fab.
 > 45a, Name of Company Officer (No Authorized Agents)
   Russell Golemba, Vice President
15b. Si eae                   fficer (No Authorized Agents)                              15¢, Fax Number                            1te

            7             ea
 > 152, Mailing Address (Street, City, State, ZIP Cada)                                  15f. Telephone Number
                                                                                                                                              20/26.
                                                                                                                                    18g, E-mail Addres&
   {6910 148th Ave Spring Lake, MI 49456                                                      (616) 607-8785                          sgolemba@american-fab.

LOCAL GOVERNMENT ACTION & CERTIFICATION - complete all boxes.
This section must be completed by the clerk of the local governing unit before submitting application to the State Tax Commission. Check items on file at the
Local Unit and those included with the submittal.

                                       .                                                 16b, The State Tax Commission Raquires the following     documents be fited for an
 > 16, Action taken by lacal goverment
                                    unit                                                 administratively complete application:               9

   [] Abatement Approved for               Yes Real (1-12),____ Yrs Pers (1-12)            Check or Indicate N/A If Not Applicable
           After Completion []Yes [-]No                                                         1, Original Application plus attachments, and one complete copy
                                                                                                2, Resolution establishing district
   [| Denied (Include Resolution Denying)                                                  mm   3. Resolution approving/denying application.
                                                                                                4, Letter of Agreernent (Signed by local unit and applicant)
16a. Documents Required to be on file vilh the Local Unit
   Check or Indicate N/A If Not Applicable                                                 | 5. Affidavit of Fees (Signed by focal unit and applicant)
        1. Notice to the public prior to hearing establishing a district,                  |_| 6. Building Permit for real improvements if project has already begun
        2. Notice to taxing authorities of opportunity for a hearing,                 |_| 7. Equipment List with dates of beginning ofinstallation
        3, List of taxing authorities notified for district and application action, | |__| 8. Form 3222 (if applicable)
       4. Lease Agreement showing applicants tax liability.                                = 9. Speculative building resolution and affidavits (if applicable)

16, School Code

                           61010
17, Name of Lacal Gavemmant Body                                                         > 18, Dale of Resolution Approving/Denying this Application

  City of Muskegon                                                                            6/9/2026
Attached hereto is an original application and all documents listed In 16b. I also certify that all documents listed in 16a are on file at the local unit for
inspection at any time, and that any leases show sufficient tax llabllity.

19a, (enatug of      ck       aN               *    ‘]      19b, Name of Clerk       ;                               198¢, E-mail Address                  .      ;
     A              SOR Oe                                Ann Marie Meisch                                             [email protected]
18d, Clerk's Malling Address (Street, City, Stale, ZIP Cade)
    933 Terrace St. Muskegon, MI 49440
19e. Telephone Number                                                                    45f, Fax Number

 231-724-6705
State Tax Commission Rule Number 57; Complete applications approved by the focal unit and received by the Stale Tax Commission by October 31 each
year will be acted upon by December 31. Applications received after October 31 may be acted upon in the following year.

For faster service, emall the completed application and additional! required documentation to [email protected].

An additional submission option is to mall the completed application and required documents to:

Michigan Department of Treasury
 tate Tax Cormmmission
PO Box 30471
Lansing, MI 48909



                                                                            STC USE ONLY                                                             _
 > LUCI Code                        > Begin Date Real                  > Begin Date Personal               > End Date Real                   > End Data Personal
                              Resolution No. 2026-43(A)


                         MUSKEGON CITY COMMISSION


RESOLUTION APPROVING APPLICATION FOR ISSUANCE OF INDUSTRIAL
 FACILITIES EXEMPTION CERTIFICATE American Fabricated Products, INC

WHEREAS, pursuant to P.A. 198 of 1974 as amended, after duly noticed public
     hearing held on April 14, 2026 this Commission by resolution established
     an Industrial Development District as requested by American Fabricated
     Products, INC, 331 W. Laketon Ave., Muskegon, Michigan 49441; and

 WHEREAS, American Fabricated Products, INC has filed an application for the
     issuance of an Industrial Facilities Tax Exemption Certificate with respect to
     the rehabilitation of a facility within said Industrial Development District; and

 WHEREAS, before acting on said application the Muskegon City Commission held
      a public hearing on June 9, 2026 at the Muskegon City Hall in Muskegon,
      Michigan at 5:30 p.m. at which hearing the applicant, the assessor and
      representatives of the affected taxing units were given written notice and
        were afforded an opportunity to be heard on said application; and

 WHEREAS, the rehabilitation of the facility is calculated to and will have the
      reasonable likelihood to retain, create, or prevent the loss of employment in
        Muskegon, Michigan; and


 WHEREAS, the aggregate SEV of real property exempt from ad valorem taxes
      within the City of Muskegon, will not exceed 5% of an amount equal to the
      sum of the SEV of the local government unit, plus the SEV of personal and
         real property thus exempted.

         NOW, THEREFORE, BE IT RESOLVED by the Muskegon City
         Commission of the City of Muskegon, Michigan that:

          1) The Muskegon City Commission finds and determines that the
             Certificate considered together with the aggregate amount of
             certificates previously granted and currently in force under Act No. 198
             of the Public Act of 1974 as amended shall not have the effect of
             substantially impeding the operation of the City of Muskegon or
             impairing the financial soundness of a taxing unit which levies ad
             valorem property taxes in the City of Muskegon.

          2) The application of American Fabricated Products, INC, for the issuance
             of an Industrial Facilities Tax Exemption Certificate with respect to the
             rehabilitation on the following described parcel of real property situated
             within the City of Muskegon to wit:

             CITY OF MUSKEGON LOTS 5-7 & PART OF LOTS 2-4 & 8-9 INC BLK 1 & LOTS
             4-7 & LOTS 14-17 & PART OF LOTS 8-9 INC & 13 BLK 2 DENNIS SMITH & CO'S
           2ND ADDITION ALSO E 33 FT VAC FAIRVIEW ST AND PART OF VACATED MAY
           ST ALSO PART OF NW 1/4 OF NE 1/4 SEC 31 T10N R16W LYING ELY OF GTW
           R/R ROW DESC AS FOLLOWS             BEG AT NE COR LOT 7 OF DENNIS SMITH &
           CO'S 2ND ADDITION BEING POB TH S 00D 14M 00S W ALG WLY ROW LN OF
           KEATING ST 150.28 FT TH N 89D 31M 05S E 329.11 FT TH S 00D 11M 47S E
           ALG WLY ROW LN OF 6TH ST 224.34 FT TH S 89D 09M 04S W 149.91 FT THS
           00D 14M 00S W 62.17 FT THN 89D 21M 25S W 147.89 FT THN OOD 14M OOS E
           194.05 FT THN 89D 46M 00S W 151.64 FT THN 34D 34M 28S W 291.58 FT TH
           S 89D 58M     00S   E ALG    SLY ROW LN        OF    LAKETON AVE 285.08   FT TO
           POB TOGETHER WITH & SUBJ TO A 20 FT WIDE ESMT FOR ACCESS                   SUBJ
           TO ESMT L/P 4399/224



    3) The Industrial Facilities Tax Exemption Certificate is issued and shall be
    and remain in force and effect for a period of nine (9) years on real
    property.




Adopted this 9 Day of JUNE 2026


Ayes: St.Clair, Johnson, Kilgo, Keener, German, and Jackson


Nays:   None


Absent: Kochin


                                             wy, KomKen Johnson,
                                                          eos    Mayor

                                             ATTEST:       aN
                                                                 Qu, =
                                                          “Ann Meisch, City Clerk




                                       CERTIFICATION


| hereby certify that the foregoing constitutes a true and complete copy of a
resolution adopted by the Muskegon City Commission, County of Muskegon,
Michigan, at a regular meeting held on June 9, 2026.




                                                       Ann Meisch, City Clerk
                              CITY OF MUSKEGON

                      CONTRACT FOR TAX ABATEMENT
                            Act 198 Public Acts of 1974



       AGREEMENT between CITY OF MUSKEGON, a municipal corporation
of 933 Terrace Street, Muskegon, Michigan 49440, (“City”) and AMERICAN
FABRICATED PRODUCTS, INC ("Company’).

                                         Recitals:


A.    The Company has applied to City for the establishment of an industrial
development district pursuant to the provisions of Act198 of the Public Acts of
1974, as amended, which act requires a contract between the City and the Company
to be agreed and submitted with the Company’s subsequent anticipated application
for an industrial facilities exemption certificate.

B.     That in addition to the statutory requirement, the City has determined that it
is in the best interests of the taxpayers, property owners and residents of the City
that this Agreement be approved and executed prior to the establishment of the
requested district, and the City deems this Contract, together with the conditions set
forth in the said Act to constitute a necessary element in the City’s determination
whether or not to create the district.

C.    The Company intends to install the project set forth in its application
(“project”) which it believes qualifies for the process of establishing the district and
the application for industrial facilities exemption certificate.

D.    The City, provided this Agreement is executed, will determine whether to
create the district based upon the potential for the production of permanent jobs, the
continuation, stabilization or increase of economic activity, planning and zoning
considerations and the City’s general plan and intentions regarding economic
development. In addition to the City policy considerations and predictions that the
Company’s proposed district and certificate benefit the community in those ways,
the City has further determined that the contractual commitments made by the
Company to thereby assist the community shall be binding on the Company and
necessary to continue the tax exemption made possible by the certificate.

E.    This contract shall become effective upon the issuance of an Industrial
Facilities Tax Exemption Certificate.

        NOW THEREFORE THE PARTIES AGREE:
1.       COMPANY AGREEMENT.                The Company irrevocably commits to the
investment, job retention and job creation promises made in its application, a copy of
which is attached hereto and incorporated herein. In particular the Company agrees:


     1.1 That 100% of the jobs shall be filled and in existence with full-time
     employees by a date no later than two (2) years from the date of the granting of
     the certificate by the State Tax Commission, subject to the provisions of section
     3.4 of this agreement.


     1,2 That the amount of jobs listed on the application, whether new or retained,
     will be maintained through the life of the abatement, subject to the provisions of
     section 3.4 of this agreement.


     1.3 The Company shall meet the affirmative action goal included in the
     application or in any documents supplied by the City and utilized by the
     Company, including any additional representations made to the City Commission
     on or before the date two (2) years after the granting of the certificate by the
     State Tax Commission. It shall maintain the said levels of employment diversity
     during the period of the certificate, subject to the provisions of section 3.4 of this
     agreement.


     1.4 The Company, by the end of two (2) years from the date of the grant of the
     certificate by the State Tax Commission shall have completed the investment of
     $665,996 in improvements as shown in the application, subject to the provisions
     of section 3.4 of this agreement.


     1,5 That the improvements and equipment to receive the tax abatement treatment
     shall be completed on or before the date two (2) years from the date of granting
     of the certificate by the State Tax Commission.


     1.6 The Company shall pay its specific taxes required by the act in a timely
     manner, and shall not delay payments so as to incur any penalties or interest.

     1,7 The Company shall fully cooperate with the City representatives in supplying
     all requested and required documentation regarding jobs, investment, the meeting
     of all goals and the timely installation and utilization of equipment and
     improvements. The City shall be entitled to inspect at reasonable hours the
     Company’s premises where the said improvements and equipment have been
     installed and where the said jobs are performed.

     1.8 The Company shall maintain, during the entire period for which the tax
     abatement is granted, the level of jobs, affirmative action goals, production and
     utilization of the improvements and equipment at the site where the district has
     been created and for which the tax exemption has been granted.
     1.9 The Company shall not cause or fail to cure the release of any hazardous
     substance, or the violation of any environmental law on its premises in the City.
     It shall report any releases to the appropriate governmental authority in a timely
     and complete manner, and provide copies of said report documentation to the
     City. It shall comply with all orders and actions of any governmental agency
     having authority.

     1.10           The Company shall maintain the equipment and improvements so as
     to minimize physical or functional obsolescence.

     1.11       The Company shall continue to operate its business location in the
     City, containing the same number of and type of jobs, for the term of the
     certificate.


2.       AGREEMENT BY THE CITY. Provided this contract has been executed
and further provided all applications to create the district and achieve the industrial
facility exemption certificate have been properly filed, the City shall, in a timely
manner, determine in a public meeting to whether to create the district and whether
to receive, process, and approve thereafter the Company’s application for an
industrial facilities exemption certificate. The City may consider this contract in a
meeting separate from and prior to the meeting in which the City considers the
approval of the application for certificate. Further, the City shall require the
submission of this contract signed by the Company together with its applications,
before creating the district.

3.       EVENTS OF DEFAULT. The following actions or failures to comply shall
be considered events of default by the Company:

      3.1 Failure to meet any of the commitments set forth above.

      3.2 The closing of the Company’s facilities in the City. Closing shall mean for
      purpose of this Agreement, the removal, without transfer to another site within
      the City of substantially all of the production facilities, and the elimination of
      substantially all the jobs created or retained thereby, which are set forth in the
      Company’s application.

      3.3 Failure to afford to the City the documentation and reporting required.

      3.4 The failure to create or retain jobs, meet affirmative action goals or expend
      the funds on equipment and improvements as represented in the application
      within the times required hereby, unless the company can show that there has
      been a loss of revenue and employment due to circumstances beyond the control
      of the company. In order to make that showing the company shall have the
      burden of supplying, to the City's satisfaction, complete and convincing
      documentation supporting and justifying reductions in investment, failures to
      attain affirmative action goals or job losses, such as, without limitation, written
      evidence of lost contracts, accounting information showing reduced revenues due
      to the loss of business, (not due to diversion of production to affiliate companies
      or divisions of the company), production records showing reduced quantities
      over significant periods of time, and such other information required by the City
      to support the Company's claim that the failure to invest, failure to achieve
      affirmative action goals, or loss of jobs should not form the basis for a finding of
      default.


      3.5 The bankruptcy or insolvency of the Company.


      3.6 The failure to pay any and all taxes and assessments levied on the Company’s
     _ property or any other taxes, local, state or federal, including but not limited to
      Cityincome taxes and the withholding of said City income taxes from employees
      as required by the City Income Tax Ordinance.


      3.7 The performance or omission of any act which would lead to revocation
      under MCLA 207.565, being §15 of the Act.


      3.8 The violation of any provisions, promises, commitments, considerations or
      covenants of this Agreement.


4.       REMEDIES ON DEFAULT.               In the event of any of the above defaults the
City shall have the following remedies which it may invoke without notice, except as
may be reasonably required by the Company’s rights to due process:


     4.1 In the event of closing as determined after investigation of the facts and a
     public hearing, the Company shall be immediately liable for penalties to be paid
     forthwith to the city as determined as follows:


        4.1.1    The Company shall pay to the City for prorata distribution to the
        taxing units experiencing the abatement, an amount equal to the difference
        between the industrial facilities tax which it has paid, and the total property
        taxes to the relevant taxing units which it would have paid, given its
        installations of improvements and equipment, during the years for which the
        certificate was in effect.


        4.1.2    Immediate Revocation. The Company hereby consents to revocation
        to the IFT certificate before the State Tax Commission, without hearing, and
        the City shall submit a copy of this Agreement to the State Tax Commission
        in connection with its revocation procedure, giving notice that the default has
        occurred and immediate revocation should occur.


     4.2 In the event the improvements and equipment have not been installed before
     the two (2) year period, in addition to the revocation procedures before the State
  Tax Commission, the abatement should immediately be reduced by the City
  proportionately, and any installations which have not been finished at the end of
  said two (2) year period shall not be eligible for the abatement thereafter and
  shall be placed on the regular tax roll.


  4,3 Failure to Expend the Funds Represented.     In the event, (whether or not the
  installations have been completed), the Company has not expended the funds it
  has represented on its application that it would invest for the installation of
  equipment, the abatement shall be reduced prorata, and any remaining value of
  equipment shall be placed on the regular tax roll, unless the company can show,
  through receipts, etc. that the cost of the equipment was actually less than the
  amount estimated by the company (i.e., the same equipment was purchased as
  listed in the IFT application, but the bids came in less then expected).

   4.4 Job Creation and Retention. In the event the promised number of jobs have
   not been created or retained at the end of the two (2) years after the grant of the
   certificate by the State Tax Commission, the abatement shall be proportionately
   reduced, unless the company can show that the loss of jobs, or inability to hire as
   many people as expected, is due to circumstances beyond the control of the
   company (such as an economic downturn).

   4.5 Affirmative Action Goals. In the event, after one (1) year from the grant of
   the certificate by the State Tax Commission, the affirmative action goals of the
   City for additional jobs have not been met on a prorata basis, the abatement shall
   be revoked.


   4.6 For other violations of this Agreement or for actions or omissions by the
   Company amounting to grounds for revocation by statue, the City shall
   recommend to the State Tax Commission immediate revocation of the certificate.

   4.7 Special Assessment. For any amount due to be paid to the City, under this
   Section 4, the Company consents that the City shall have a personal action
   against the Company for the said amount, and in addition, cumulatively, and not
   by election, the City shall have a special assessment lien on all the property of
   the Company personal and real, located in the City, for the collection of the
   amounts due as and in the manner of property taxes and in such case the
   collection of the said special assessment shall be accomplished by addition by
   the City to the Company’s property tax statement regularly rendered.

5.     Governing Law. This Agreement shall be construed and enforced in
accordance with the laws of the State of Michigan applicable to contracts made and
to be performed within the State of Michigan.
6.      Counterparts.     This Agreement may be executed in one or more counterparts.
Notwithstanding such execution all such counterparts shall constitute one and the
same Agreement.
7.      Benefit.   This Agreement shall be binding upon and inure to the benefit of
the respective parties, their successors and personal representatives.



8,      Effective Date.    This Agreement shall be effective on the date the State of
Michigan Tax Commission grants the company at Industrial Facilities Exemption
Certificate.


                                     CITY OF MUSKEGON




                                                        o»deaa~
                                                          Ts
                                                         Ken Johnsofi, Mayor




                                                              Ann Meisch, Clerk


                                                   By
                                                        Russell Golemba, Vice President


                                                   aL pelea. Lkiby!
                                                         Andrew Blankenship, Operations Manager


                                                        Its

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