Muskegon County terminates Covenant Academies leases, OKs two replacement leases for program consolidation
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Summary
Commissioners approved ending four leases with Muskegon Covenant Academies, citing poor building conditions and breaches, and authorized two replacement leases — for Wheel Fish Groups LLC (2025–2029) and Catholic Charities West Michigan (2025–2027) — plus a signatory change to the Health West director; all motions passed by unanimous voice votes.
Muskegon County commissioners voted unanimously to terminate four leases with Muskegon Covenant Academies and approved two new leases to relocate and expand county programs.
County administration (moving party identified in the transcript as Matt Barra) told commissioners that site tours found the Covenant facilities in substandard condition and that legal counsel (Scott Hogan of Foster Swift) had reviewed the leases and concluded they were in breach. "The building conditions are just not up to what they should be," a county speaker said, and counsel told the board the leases were in breach and "we're ready to terminate and move on to the spaces of the next 2 motions." Commissioners were told the county paid about $370,000 last year related to Covenant Academies arrangements.
The board approved a four-year lease between Wheel Fish Groups LLC and Muskegon County, effective Jan. 1, 2025, through Dec. 31, 2029, for a renovated former NIMS school building in Lakeside that staff described as recently remodeled and suitable for consolidating four programs and roughly 30–40 staff. Christy Ladranca (identified in the meeting transcript as "chief political officer, Christy Ladranca") said the location includes meeting and shared space and could accommodate program expansion, including increasing crisis-residential beds from six to 12 at county-operated programs.
Separately, the commission approved a lease with Catholic Charities West Michigan for Muskegon County Health, effective Jan. 1, 2025, through Dec. 31, 2027, to house the county's intensive outpatient operations and to expand crisis residential and later add a withdrawal-management program. Commissioners discussed term length and were told the Wheel Fish Group lease is longer to allow the owner to amortize renovation costs.
On both replacement-lease motions the board accepted friendly amendments to make the Health West director (identified in the transcript as Mr. Francisco) the authorized signatory for the county. All three items — termination of the Covenant leases and approval of the two replacement leases — were approved by unanimous voice votes during the meeting.
