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McGregor Council re-votes on Trilogy rezoning request, per court order

By Audrey Posten, North Iowa Times Editor

At its regular meeting Feb. 15, the McGregor Council approved a resolution denying an application by Trilogy Partners, LLC, to rezone the former Holiday Shores Motel property from W1-waterfront commercial to W2-waterfront mixed use, for the purpose of constructing condominiums.

The action cemented the council’s decision to deny the request a little over a year ago, based upon the recommendation of the city’s planning and zoning commission, as well as sentiment from the public that overwhelming opposed the construction of condos, rather than a hotel, at the riverfront location.

Council members Janet Hallberg, Jason Echard and Charlie Carroll approved the resolution, while Joe Muehlbauer and Rogeta Halvorson abstained, per a district court order that deemed the vote taken Jan. 25, 2016 be annulled, as the two members were disqualified from voting on Trilogy’s rezoning application.

The move was the culmination of year-long court proceedings between Trilogy and the city of McGregor and the McGregor Planning and Zoning Commission, in which Trilogy filed a “petition for writ of certiorari” against the governmental bodies in Clayton County District Court.

Trilogy Partners, LLC, according to case documents, is owned by Lois and Bruce Buccheit, of Lawler. They purchased the former Holiday Shores Motel property in May 2015 and soon tore down the motel, which had been a mainstay on the McGregor riverfront since the 1960s. In fall 2015, they requested a zoning change in order to build 18 condominiums, citing that constructing another hotel “would not provide sufficient cash flow.”

On Dec. 9, 2015, at the second of two public meetings, the McGregor Planning and Zoning Commission recommended that the city council deny the rezoning request, noting that “uses which promote tourism are of greater benefit to the community than would be development of condominiums.” On Jan. 25, 2016, all five city council members voted to deny the application for re-zoning.

Unhappy with the outcome, Trilogy took legal action against the city and planning and zoning commission, beginning in February 2016. According to case documents, Trilogy asserted “the denial of its rezoning request is illegal because the decision denying the request was not supported by substantial evidence, was contrary to the plain reading of the McGregor Code of Ordinances and the Code of Iowa. Petitioner further asserts the denial exceeded the jurisdiction of the council. Petitioner contends the city council decision was arbitrary, unjust and unreasonable.”

Trilogy further asserted the McGregor City Council and McGregor Planning and Zoning Commission “acted in bad faith as there was pre-vote bias and undue prejudice against Trilogy Partners, LLC, as evidenced by remarks of Muehlbauer and Halvorson, prior to the council’s vote.”

The court concluded the planning and zoning commission “is not subject to the writ of certiorari action,” as it “did not exercise a judicial function.” A writ of certiorari orders a lower court to deliver its record in a case so that it may be reviewed by a higher court.

Case files stated the court also found “substantial evidence to support the decision of the McGregor City Council to deny petitioner’s rezoning application,” citing public comments at the meetings and public sentiment that called for “commercial businesses in the space which would support other commercial enterprises in town.”

In addition, the court noted the council’s decision to deny the request was consistent with the city’s zoning classification system, which was developed in 2014. The court added, “a reasonable person would find the evidence before the McGregor City Council adequate to reach its decision to deny petitioner’s rezoning request. The denial by the city council was not unreasonable, arbitrary or capricious.”

The court, however, noted evidence that indicated Muehlbauer and Halvorson expressed public opinions about the application before the matter came before the council. Halvorson spoke at one of the planning and zoning commission hearings. According to court documents, Muehlbauer “acknowledged his mind was made up to deny the rezoning request before it even reached the city council.” 

As a result, Trilogy’s petition certiorari was granted in part. The vote taken by the council was annulled and the application for rezoning was remanded to the council for a vote that would not include Halvorson and Muehlbauer. The remainder of the petition was denied.

The council fulfilled that order at its February meeting, for now drawing its battle with Trilogy to a close.

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