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City enters into arbitration over Regal Marina

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Public works department reorganized, polling places to consolidate at Hoffman Hall in 2017

By Correne Martin

The city of Prairie du Chien and Regal Marine Group have entered into arbitration over possible termination of the lease between the city-owned and Regal-leased marina, according to details that emerged from closed session at Tuesday night’s Prairie du Chien Common Council meeting.

A statement released late Tuesday by the council gave some background on the issue, mainly stating, “On Nov. 2, 2016, the city of Prairie du Chien served Regal Marine Group, Inc., with a notice of termination of marina lease. On Dec. 22, 2016, the city received from counsel for Regal Marine Group, Inc., a demand that the termination issues be resolved by arbitration. The city of Prairie du Chien will participate in said arbitration.”

The Dennis Regal Sr. family from McGregor, Iowa, has operated the marina for decades. The city’s issues with operations heightened prior to the 2016 boating season, in May, when the city disconnected electricity to the marina after state safety inspectors uncovered electrical code violations.

In June 2016, the city extended a proposed new lease to the Regals, who had requested a multi-year lease, which they felt was necessary in order to invest in making improvements to the operation. The city also extended a financial assistance plan to facilitate the repairs needed.

According to Tuesday’s statement, city staff and council members believe they have done their part toward coming to an agreement and offering assistance to get the marina up and running again.

“As of this date, the city has received no response from either the Regals or their attorney regarding either [the proposed new lease or financial assistance plan]. The city has indicated on multiple occasions its willingness to sit down and discuss the terms of either proposal, in an effort to resolve any differences, and has been met with silence. The position the city finds itself in today has been clearly dictated by the condition of the marina and the underlying fact that the city of Prairie du Chien is the owner of the property, the Regals are leasing the property, and the liability exposure to the city is too large to be simply ignored or minimized.”

A phone call was made to the home of Dennis Regal Jr. Wednesday morning. Sue Regal said Dennis was unavailable, so a message was left requesting discussion about the Regal family’s stance on the issues and arbitration. A return phone call was not received by press time.

Public works reorganization
Also after closed session council discussion, a restructured public works department was announced. The council voted to eliminate the co-public works director positions. Then, Larry Gates, who has been co-director with the retiring Terry Meyer, was appointed water department superintendent at his current rate of pay. Glenn Goodrich was named interim wastewater department superintendent with a $25 per hour salary following a probationary period. Finally, the council voted to internally post the newly-created street department superintendent at a salary of $25 per hour after probation. Duties of that position are currently being delegated to Dan Titlbach, street department lead operator.

Other business
The council also:
•elected to apply for a Wisconsin Economic Development Corporation grant to support the Opportunity Center’s renovation for Café Hope and Unity Adult Day Care Center, located in part of the former Kozelka’s clothing store building. The grant would help install an elevator to access the basement of the facility. The Opportunity Center will be responsible for completing the work if the grant is awarded.

•approved a service agreement with Vierbicher Associates for the North Michigan Street project, anticipated for 2018, with plans to be finished by June 2017. The project involves the Michigan Street reconstruction from Blackhawk Avenue to Perry Street and Haydn Street from Michigan Street to Alley East of Michigan Street.

•came to a tie vote, of 4-4, after contemplating the consolidation of polling places for the second time. Mayor Dave Hemmer broke the tie with a “yes” vote, meaning voting will take place at Hoffman Hall for all city residents, beginning with elections in 2017.

•authorized the city attorney to file a motion to dismiss in the matter of the Bridgeport incorporation matter.

•approved placement of a road sign stating “child with visual impairment” in the 200 block of North Ohio Street, at the request of Tim Bauman, a Bluff View School teacher.

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