Sturgeon Bay Going After Premier Economic Development District Designation

Thanks to a law Gov. Scott Walker signed at Lambeau Field last March to benefit the new Titletown District, the City of Sturgeon Bay is on its way to creating a Premier Economic Development District.

At the Dec. 6 common council meeting, Community Development Director Marty Olejniczak explained to the council that this new law allows municipalities that have reached their quotas on Class B liquor licenses to issue two additional Class B licenses within the newly created district.

Assembly Bill 612, which created the Premier Economic Development District, requires that the newly created district be no larger than 40 acres of contiguous land with an estimated assessed valuation increase of at least $20 million. The hefty fee for the Class B licenses within the new district is at least $30,000, which is three times that of a regular Class B license.

The Waterfront Redevelopment Authority had suggested the council pursue creating the new economic development district, and looked at three options, but recommended the city adopt the final option.

Option A included the properties in the city’s TID #4 (the Door County Maritime Museum, the Bay Lofts apartment building currently under construction, the Hotel Lindgren which is caught up in a lawsuit, the proposed brewpub in the former granary, and planned apartments on Maple Street).

Option B removed the maritime museum and its parking lot and added a section of westside downtown on Madison Avenue and Oak Street.

Option C eliminates the redevelopment site below the DNR’s high water mark and a portion of Sawyer Park, and picks up the greater part of the westside downtown. In accordance with the statute, an independent appraiser – Associated Appraisal Consultants Inc. – has already determined Option C meets the $20 million appraisal criteria.

Olejniczak also pointed out that by going in this direction, it could help with economic development efforts in other parts of the city, explaining that the city is holding a Class B liquor license in reserve (from the former Neighborhood Pub that once stood where CVS now stands), and that license was earmarked for the westside redevelopment project, but could be used elsewhere if the new district is created.

Alderwoman Kelly Catarozoli asked Olejniczak is there would be any consequences if the proposed district falls short of the required $20 million appraisal. He replied that there appear not to be any repercussions if the economy tanks and that district does not reach the required appraisal.

Asked about the high cost of the license by Alderman Ron Vandertie, Olejniczak said renewals would follow the standard fee structure, and that the licenses are not transferable outside of the district.

The council voted unanimously to move forward with the district designation. To do so, it will have a second reading at the next common council meeting.

In other matters:

• With two members voting against, the council approved a one-year extension of the planned unit development (PUD) zoning district for the proposed waterfront hotel. The PUD was set to expire on Feb. 17, 2017, and because the property is the subject of a lawsuit, no action has been taken on the hotel. The council has the option of giving three one-year PUD extensions. Alderwoman Catarozoli and Alderman Will Gregory voted against the extension. Had the full council rejected the extension, the property would have reverted to C-2 Central Business District zoning, unless developer Bob Papke had started work on the project by the original expiration date.
• Municipal Services Director Bob Bordeau explained that he needed a resolution from the city to seek grants to cover the costs of additional work on Bradley Lake (also known as Little Lake). The plan is to connect the lake to the Bay of Sturgeon Bay at a cost of about $78,000. Bordeau said a resolution by the city will allow him to seek DNR Lake Planning and Coastal Management grants to cover the cost of the work.
• The council also acted on a recommendation from the Finance/Purchasing & Building Committee to reduce the lot price on the Sunset Hill # subdivision from $20,000 to $14,000 to make them more attractive to potential developers.