City Council
Regular MeetingManistee, MI · August 12, 2014
Minutes
MANISTEE CITY COUNCIL
WORK SESSION
MINUTES OF AUGUST 12, 2014
The Manistee City Council met in a work session on Tuesday, August 12, 2014 at 7 p.m.,
Council Chambers, City Hall, 70 Maple Street, Manistee, Michigan 49660.
MEMBERS PRESENT: Colleen Kenny, Bob Hornkohl, Catherine Zaring, Ed Cote, Robert
Goodspeed, Mark Wittlieff, Eric Gustad
MEMBERS ABSENT: None
OTHERS PRESENT: Department Directors, City Attorney, City Engineer, Media and
Public
Public Comments.
Ross Spencer — Commented on readiness- to- serve for sprinkling meters. Needs to be
adjusted and bond debt should be on water bills.
Bob Grabowski — In favor of River Parc redevelopment. Not in favor of use of public
parking.
Rachel Estabrook — Supports redevelopment in downtown but not enough information has
been presented to Downtown Development Authority to make an informed decision.
Discussion on River Parc/ North Channel Outlet Development. Finance Director Ed Bradford,
Brownfield Consultant T Eftaxiadis and Developer John Groothuis presented a Brownfield
Redevelopment Scope and Financing Summary. Numerous questions were asked by Council
and answered by staff. Discussion focused on overall improvements to the project and upgrades
to public infrastructure that could be funded by TIF capture. Total project investment is
approximately 4. 5 million dollars. Discussion continued on the various incentives that will be
required to be granted by both the State of Michigan and the City Downtown Development
Authority( DDA) for the project to move forward.
Ultimately the DDA and City will have to approve the BRA TIF plan, other grants, and a
development agreement.
Discussion on Water and Sewer Rates. Significant discussion was had on the water and sewer
rates as the billing was amended this year based upon Council adopting the Utility Rate Study
during the 2014- 2015 fiscal year budget process. Staff informed Council that due to existing
bond requirements and federal grant requirements; that a differentiating rate structure ( senior
discount) was not permitted. Council also discussed and the majority felt that the readiness- to-
serve charge on sprinkling meters should be maintained as presented.
CONSENSUS: No changes to the utility rate structure was approved. Staff will work on an article
for the Manistee News Advocate to further explain the new rate structure.
Council Work Session - August 12, 2014 Page 1
Discussion on Deer Herd Management. Council discussed culling deer out of the City. Several
residents were in attendance and supported this effort.
Both the Public Safety Director David
Bachman and City Manager Mitch Deisch advised Council that in their professional opinion this
was not a safety issue, rather a landscaping issue, and that Council was not required to take on
this issue.
CONSENSUS: Majority of Council asked for staff to prepare a plan to cull deer. Public Safety
Director said the plan would be ready in one month and will be presented back to Council.
Adjourned at 9: 40 p.m.
Mitchell D. Deisch, City Manager
MDD: cl
Council Work Session - August 12, 2014 Page 2
Agenda
MANISTEE CITY COUNCIL
WORK SESSION AGENDA
Tuesday, August 12, 2014 - 7:00 p.m. - Council Chambers, City Hall
REVISED
I. Call to Order.
II. Work Session Items.
a.) PUBLIC COMMENTS ON WORK SESSION RELATED ITEMS.
b.) DISCUSSION ON RIVER PARC / NORTH CHANNEL OUTLET DEVELOPMENT
PLAN. – Finance Director Ed Bradford, Brownfield Consultant T Eftaxiadis
c.) DISCUSSION ON WATER AND SEWER RATES. – City Manager Mitch Deisch,
Finance Director Ed Bradford, DPW Director Jeff Mikula
* Postponed to future work session agenda.
* DISCUSSION ON BOARD AND COMMISSION APPLICATION PROCESS. – City
Clerk Michelle Wright
* DISCUSSION ON DEER HERD MANAGEMENT. – Public Safety Director David
Bachman
* DISCUSSION ON DPW RECYCLING CENTER. – City Manager Mitch Deisch, DPW
Director Jeff Mikula
III. Adjourn.
MDD:cl
SOUTH WASHINGTON AREA REDEVELOPMENT PROJECT
Brownfield Redevelopment Scope and Financing Summary
August 5, 2014
Parcel Location or Tax ID: 51-51-211-100-05 River Parc Place (Parcel 1)
51-51-211-100-02 North Channel Outlet (Parcel 2)
51-51-211-100-03 North Channel Outlet (Parcel 3)
51-51-211-100-01 North Channel Outlet (Parcel 4)
51-51-211-105-01 City Lot 6th Avenue (Parcel 5)
51-51-101-350-01 Veterans Memorial (Parcel 6))
Former Use: Furniture Manufacturing & Retail (1880s to 2010s)
Zoning: Central Business District (C-3)
Special District: DDA, Historic District, Main Street
Brownfield Status: Parcels 1, 2, 3 and 4 are “Facilities”; Parcels 5 and 6
are “Contiguous” and “Contributing”
Proposed Uses: River Parc Place (Parcel 1): 16 to 18 Residential
Condominium Units (four levels), and
Two Commercial Spaces (1st level)
North Channel Outlet (Parcels 2, 3, and 4): 2 to 3
Commercial Spaces (1st level), 8 Rental
Apartments (2nd level), and 6 Residential
Condominium or Rental Units (3rd level), Open and
Enclosed Parking, and General Common Spaces
Total Redevelopment Area: River Parc Place: 22,000 sf
North Channel Outlet: 21,000 sf
Total Investment: River Parc Place: $2,300,000 (approx.)
North Channel Outlet: $2,400,000 (approx.)
Public Infrastructure Improvements: $ 2,584,000
Construction Start: Fall 2014
Construction Completion: Mid 2016
Base Taxable Value (2014): $343,400
Projected Taxable Value: $2,200,000
Brownfield 30 Year TIF Capture: RPP (with 7 yrs. NEZ Abatement): $2,012,600
NCO (with 10 yrs. OPRA Abatement): $1,276,700
TIF Reimbursable Activities/Costs: Private Developer: $563,500
Interior/Exterior Building Structures Demolition;
Building Stabilization (NCO)
Removal of Interior Contaminated Soils/Material;
Capping of Contaminated Soils;
Abatement of Asbestos and LBP;
Public Developer: 2,584,000
Sanitary Sewer Replacement;
Wastewater Pump Station Upgrades;
Water Main Extension;
Short Stabilization Structures;
Phase I River Walk;
Memorial Drive Resurfacing;
Washington-5th Avenue Area Streetscape
Veterans Memorial Parking Improvements
SCHEDULE / ACTIONS
CMBRA BRA Plan Approval: August 5, 2014
MSDDA Action: TBD
City Council BRA Plan Adoption: TBD
Act 381 Work Plan Submittal (State): TBD
Development & Reimbursement Agreement: TBD
CONCURRENT REDEVELOPMENT FINANCING ACTIVITIES:
MEDC Blight Elimination Grant Application Process; RPP and NCO
Buildings(Developer/City)
MSHDA Rental Rehabilitation Grant Application Process; 2nd Floor of NCO
Building (Developer/City
OPRA Property Tax Abatement Process; NCO Building (Developer/City/State)
NEZ Property Tax Abatement Process; RPP Building (Developer/City/State)
MEDC Job Creation Grant Application Process; Commercial Component of NCO
Building (Developer/State)
CONCURRENT REDEVELOPMENT PERMITTING ACTIVITIES:
Historic District Commission Approvals
Planning Commission Approvals
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