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Commission approves purchase of 1932–1967 Reynolds Street with indemnity clause removed
Summary
The commission approved a $7,000 purchase agreement for property described as 1932–1967 Reynolds Street and authorized the city to sign after deleting section 16 (prior owner indemnification) at city attorney request.
The Muskegon City Commission on Tuesday approved a purchase agreement for property referenced in the meeting as 1932–1967 Reynolds Street for $7,000, contingent on removing a clause in section 16 of the agreement.
Sam Poulos, code coordinator in the planning department, said the city attorney (John Schrier) had reviewed the purchase agreement and identified legal issues in paragraph 16, titled “prior owner purchase,” which dealt with indemnification language the city cannot legally accept. Poulos said staff requested approval of the purchase agreement with section 16 removed. The motion presented to the commission directed staff to strike section 16 prior‑owner purchase from the contract.
Vice Mayor Saint Claire moved to approve the purchase agreement with section 16 removed; Commissioner Gorman supported the motion. Commissioners confirmed the entire paragraph would be struck. Roll call approval followed, with all commissioners voting yes. A commissioner asked whether the property was being bought from the Land Bank; staff confirmed the purchase was from the Land Bank.
Ending: Staff will finalize the purchase agreement without paragraph 16 and complete closing steps. The item does not indicate subsequent planned uses for the parcel in the meeting record.
