Another twist for proposed new construction in West Racine

As if it needed another twist, the proposed grocery store, restaurant and gas station got one.

The city's Redevelopment Authority is scheduled to take up the project Wednesday and early indications are the committee isn't happy that project is expected to cost less than $5 million to build (how much less is a matter of dispute).

But Tom Tousis, who wants to build on the vacant lot at the corner of Washington Avenue and West Boulevard, is responding to the city with a cryptic agenda item that could further complicate a complicated project.

Tousis sent the city a letter requesting the RDA add an agenda item that reads, "Concerns about the condition of West Racine Redevelopment site (Washington Market site) and liability issues resulting from recent discovery." Tousis' team won't reveal what the "discovery" is until Wednesday's meeting.

It should make for interesting discussion, especially since it was added to the agenda right after the committee takes up Tousis's request for an extension for the West Racine redevelopment project.

The bigger question, though, may be whether the RDA pulls enough members together to hold a meeting. The RDA has canceled its last two meetings due to a lack of quorum.

City: Tousis' West Racine development may not be worth enough

After a period of relative calm, it appears the city and Tom Tousis are headed for a clash over a proposal to build a grocery store, gas station and restaurant at the corner of West Boulevard and Washington Avenue.

The Redevelopment Authority, which has already approved giving Tousis an option to buy the land, now may reconsider its decision after questions about the project's total assessment were raised.

City Development Director Brian O'Connell issued a memo Thursday saying Tousis' project will have an assessed value of $2.8 million, which is well below the $5 million assessed value the city was hoping for the site. The city needs a $5 million development on the corner to pay off loans it took out to demolish old buildings and create space for redevelopment.

O'Connell's memo was based on a review by City Assessor Ray Anderson. Here's O'Connell's memo:

Commissioners:

The request of Tom Tousis for an extension of the deadlines in his option agreement is on the agenda for your meeting on April 7, 2010.

In the time that elapsed between receiving the request from Mr. Tousis and your meeting, Mr. Tousis submitted his development for design review. The application for design review stated that the cost to construct the development is estimated to be $2.8 million. Later reports in the media stated the cost to construct the development would be $4.2 million. The projected value of the development is relevant because the tax incremental district for West Racine (TID-11) anticipates that the property on the south side of Washington Avenue will have an assessed value of $5.0 million after redevelopment.

Because construction cost differs from assessed value, I asked the City Assessor, Ray Anderson, to estimate the assessed value of the proposed development. Mr. Anderson considered all the parts of the proposed redevelopment shown on Mr. Tousis’ plans, including the gasoline pumps and canopy. Mr. Anderson estimates that the assessed value would be $2.8 million.
A copy of Mr. Anderson’s memorandum is attached to this e-mail. I have also attached copies of Mr. Tousis’ plans.

I provide this information in the interest of having a more informed discussion at Wednesday’s meeting. If you have any questions in the meantime, feel free to contact me by phone or e-mail.
-Brian

Zak Williams, a spokesman for the Tousis project, said O'Connell's memo fails to note that there is additional property in TID-11 on the north side of Washington Avenue, which is the former Piggly Wiggly building. Land on the north side makes up 60 percent of the TID.

The assessed value of Tousis' project would cover its share of the TID, Williams said.

The RDA has twice put off votes on Tousis' extension of deadlines due to a lack of quorum at its last two meetings. Now, based on O'Connell's memo, it appears the RDA may not only reconsider the extension, it may reconsider the project all together.

With no other projects in line to build on the site, the RDA is faced with the decision of going with an less-than-desirable assessment and paying off some of the debt, or scrapping the development and hoping a $5 million project comes along.

Williams is pessimistic any one else is interested in the site.

"If this doesn't go through, no one will build on this site for at least five years," he said. "Then the TID will be upside down, and development will never pay off the loan."

Update: Ryan Rudie, Tousis' architect on the West Racine project, fired off an email to the city development department and several city officials saying the project should be valued at $4.2 million - closer to the desired $5 million level. Here's Rudie's letter:

Dear Mr. O'Connell,

I sure hope this is the last time I have to repeat this to you or Mr. Sadowski or anybody in your department, but the application form was filled out incorrectly by me and did not take into consideration the cost of the gas pumps, gas pump canopy, gas storage tanks, and building fixtures such as refrigerated grocery cases, grocery shelving, walk-in coolers, and walk-in freezers. All of these are items that would be purchased and installed by the Owner or another entity employed by the Owner and were not part of my Architectural plan and thus were not included in my original building estimate when I filled out the form. All of these items are necessary costs of development and therefore should be included in the overall budget which is $4.2 million.

Your email stated that you "provide this information in the interst of having a more informed discussion at Wednesday's meeting". Not only are you informing everybody incorrectly, it seems to me you are trying to muddy the waters and create obstacles for this development.

I hope once and for all we can put this issue to bed___!


Ryan M. Rudie, AIA
Butterfield, Rudie & Seitz Architects, Inc. 

920 Goold Street

Board shows support for West Racine grocery store, gas station, but city still has questions

Architect Ryan Rudie, of Butterfield, Rudie and Seitz, stands before the Access Corridor Review Board Thursday to discuss a proposed grocery store, restaurant and gas station in West Racine. Rudie designed the $4.2 million project proposed by Tom Tousis.


Pieces may be falling into place for a proposed grocery store, restaurant and gas station in West Racine.

The $4.2 million project took a small step toward City Council approval Thursday night when the Access Corridor Review Board took up the project. The board voted unanimously to defer the project to a special meeting sometime before the March 31 Plan Commission meeting.

(Photo-Right: Zak Williams, a spokesman for Tom Tousis's West Racine development, talks with city planner Matt Sadowski following Thursday's Access Corridor Review Board meeting.)

City Planner Matt Sadowski ran through a list of concerns the Planning Department had with the projects ranging from more windows and the placement of doors, to the location of fuel tanks near utility easements and proposed signage. Also, the state may have to review the entrance and exit off of Washington Avenue, Sadowski told the board.

But Sadowski also listed positives. Most materials selected for the 14,000-square-foot building fit with the West Racine design guidelines and the copper, historic-style canopy over the gas pumps fits the need for an architecturally significant design, he said.

Discussion among the board focused more on process than whether the proposed design was a good fit for West Racine. After a flurry of procedural moves, the committee settled on holding another meeting and directing staff to work with Tousis to address their concerns.

Zak Williams, a spokesman for Tousis, said the city's concerns could be addressed with "minor changes" settled in a half-hour meeting.

"Tom feels good about tonight," Williams said.

(Photo-Right: Frank Smith and Alderman Jim Spangenberg, both members of the Access Corridor Review Board, talk after Thursday's meeting.)

Despite the unanimous vote, it's still unclear where the majority of the board sits on the proposal. If Tousis can work out a deal with city planning, it appears he'll have the support of aldermen Mike Shields, Jim Kaplan and David Maack. But it's clear Alderman Jim Spangenberg has not softened his opposition to the project, which he describes as a gas station in the middle of a neighborhood.

Spangenberg also raised questions about additional traffic the development will bring to the corner and the value of the new construction, which he suggested may not be valuable enough to pay off the loans the city took out to clear the site for redevelopment.

"If we wanted a gas station we could have had it five years ago," Spangenberg said.

Shields (left with Kaplan) took the lead on the board's discussion, immediately moving to approve the project's design. Kaplan seconded the motion, and both aldermen came out firmly in support of the proposal with changes recommended by city development.

Maack attempted to serve as the voice of clarity in a confusing discussion over what, exactly, the board could approve or defer. After settling procedural disputes, he seemed to give tentative support to the proposal with the changes recommended by city planning.

Kaplan is clearly in favor. He held up a picture of the empty gravel lot that's now on the proposed site at the corner of Washington Avenue and West Boulevard and said Tousis' project would be a much better gateway to West Racine.

"It's a lot more attractive than an empty lot with a pine tree and a bus stop," Kaplan said.

He added: "This is a wonderful business for Racine. If West Racine doesn't want it, you can come to Douglas Avenue and the Fourth District any time you want."

As a side note, there's a peculiar dispute going on over the estimated value of Tousis' project. The JT, like us, reported Monday that the scaled-down project - it's smaller because of easements on the property - was valued at $4.2 million, which is about $1 million less than the original proposal.

JT reporter Michael Burke then corrected their story the next day saying the new project costs $2.8 million, and attributed the number to Williams. The problem is Williams denies ever saying the project was worth $2.8 million, and the JT now has a story on its site correcting the correction and returning the project's total value to $4.2 million.

Meanwhile, the JT "corrected" its original story by changing the project's estimated cost to $2.8 million, but has yet to change the number back to what it's now reporting is the correct number.

West Racine grocery store faces buzzsaw of opposition

The proposed grocery store in West Racine is headed for a buzzsaw of opposition this week.

The Access Corridor Review Board is set to take up Tousis's $4.2 million project on Thursday. The committee, which is advisory to the city's Plan Commission, is stacked with opposition.

Opponents include Alderman Jim Spangenberg, who has publicly fought the project for several months, Dave Namowicz, president of the Douglas Avenue Business Improvement District who has been quietly angling against the project, and Mitch Wemmert, owner of Mitch & Marty's gas station, which competes with Tousis' Better Day BP on Douglas Avenue.

Other members of the committee include: Chief Building Inspector Rick Heller, Aldermen David Maack, Jim Kaplan and Michael Shields, Linea Anthony, Randy Aukland, Steve Joosten, Frank Smith, Kelly Jensen, and Mark Madsen.

The three opponents could cause problems for Tousis's proposal, but they can't outright kill the project.

The Access Corridor board focuses on projects in the city's main corridors - including Washington Avenue and Douglas Avenue - and determines if they're a good fit for what are, essentially, the welcome mats to Racine. Members will vote on Tousis's project, but the Plan Commission, chaired by Alderman Greg Helding Mayor John Dickert, doesn't have to take their recommendation.

The same goes for the City Council and the Plan Commission. The council, which has final say, can go against the Plan Commission, though it's rare, particularly if the commission votes against a proposal.

So in that sense, Access Corridor could sway the Plan Commission, which could sway the council, which will decide if the West Racine grocery store, restaurant and gas station move forward.

That sets up a showdown between Tousis and three of his critics - public or otherwise - at Thursday's meeting. Should make for some interesting exchanges.

Tousis adds urban garden to West Racine proposal

Tom Tousis' loss may be urban gardeners' gain.

His plans for a West Racine grocery store, restaurant and gas station now include an urban garden along Grove Avenue. The garden was added to the plan after Tousis shrunk the size of his buildings to accommodate a utility pipe that runs through the property.

While the utility pipe reduced the estimated cost of the project from $5.2 million to $4.2 million, it led to some interesting change in the building's style and the project's overall feel. The proposed buildings are modeled after the Milwaukee Public Market and similar public markets in Seattle and Toronto. They combine a historic feel with a modern look to create a unique structure Tousis hopes will become a hub for the community.

"This is the way grocery stores used to be," said Zak Williams, a spokesman for Tousis. "People can come here to the grocery store, eat at the restaurant, fill up their car and have an opportunity to have a community garden."

Other unique features of the project include a stylized copper canopy for the gas station modeled after a train depot, space for the West Racine Farmers Market, the latest lighting technology from Ruud Lighting and a large mural along Grove Avenue reminiscent of the advertising on the side of historic brick buildings.

"The building lends itself to the architecturally consistent nature of the neighborhood," Williams said.

An artist's rendering of the copper canopy Tom Tousis is considering for his

development at Washington Avenue and West Boulevard in West Racine.

The new design marks a turning point for Tousis's controversial project, which drew objections for being a gas station despite also bringing a grocery store and sit-down restaurant to West Racine. Tousis eventually secured an option to build on the site, but then nearly backed out of the deal after questions arose over a utility pipe on the property that forced Tousis to rework the proposal.

His new building is about 14,500 square feet with 7,200 square feet for the grocery store, 2,000 square feet for a 100-seat restaurant and another 5,200 square feet for a second story above the grocery store. The original plans called for a 10,000-square-foot grocery store and a 3,000-square-foot restaurant.

The community garden would be about 7,500 square feet with water available to the plots, Williams said Tousis is working with Patti Nagai at the UW-Extension to run the garden.

The proposed site plan for the "Washington Market" at Washington Avenue and West Boulevard in West Racine. The grocery store and restaurant are located at Washington and Grove avenues, with the community garden just south along Grove. The gas pumps are located east of the building, and a 56-car parking lot is south of the gas pumps.

While the garden space is designated for potential future construction, Williams said there are "absolutely no plans" to build on the site in the near future.

The proposal heads to the city's Access Corridor Design Review Committee on Thursday. Alderman Jim Spangenberg, an outspoken critic of Tousis' plans, sits on the committee, which is chaired by Chief Building Inspector Rick Heller. Other members of the commission include Aldermen David Maack, Jim Kaplan and Michael Shields, David Namowicz, Linea Anthony, Randy Aukland, Steve Joosten, Frank Smith, Kelly Jensen, Mitch Wemmert and Mark Madsen.

While the committee will consider the proposal, it does not have definitive say over the project. It serves as an advisory committee to the Plan Commission, which could take up the plan as early as March 31.

Tousis makes $5,000 payment to secure West Racine option

(Above) Realtor Karen Sorenson, Landmark Title owner Mike Staeck and City Development Director Brian O'Connell meet in O'Connell's office on Monday afternoon. Staeck was delivering a check from Developer Tom Tousis to secure an option on land at the corner of Washington Avenue and West Boulevard in West Racine.

Tousis intends to build  a grocery store, gas station and restaurant on the site. His plans were delayed, however, when it was discovered a stormwater pipe was bisecting his proposed building. The city's Redevelopment Authority, which technically owns the property, voted last week to give Tousis until Monday at 4:30 p.m. to make a $5,000 payment to secure the option. The check was delivered Monday at 4:10 p.m.

Tousis' proposal now heads to the City Council for approval. It's scheduled to go to the Access Corridor Review committee, which will evaluate the merits of the project. O'Connell said Monday it's unclear when Tousis' proposal will be taken up, because changes are likely coming to the project. 

Proposed West Racine grocery store, gas station faces Monday deadline

Jim Spangenberg, Nicole Loop, Brian O'Connell, John Crimmings and Jean Wolfgang

at Wednesday's RDA meeting.

Developer Tom Tousis has until Monday at 4:30 p.m. to pay the city $5,000 or he'll lose an option on the West Racine site where he intends to build a grocery store, restaurant and gas station.

The city's Redevelopment Authority voted 3-2 to set the Monday deadline after Tousis missed a Jan. 16 deadline to make the payment. Tousis withheld payment after discovering a pipe on the property, located at Washington Avenue and West Boulevard, ran through the middle of his proposed building.

The standoff is based around the complicated, and distrustful, relationship between Tousis and city officials. Tousis claims the city has worked against his project, most recently, by not telling him about a stormwater pipe that runs through the property.

On the flip side, city officials are mystified by Tousis' unwillingness to meet deadlines and follow through on a development he's spent $30,000 on to this point.

Assistant City Attorney Nicole Loop said, legally, Tousis is in breach of contract for failing to pay the $5,000 on time.

"I'm at a loss of where this is coming from," she said.

"If he'd set out to complicate a matter, he couldn't have done a better job," O'Connell added about Tousis.

But the RDA was unwilling to kill Tousis' project Wednesday. Alderman Jim Spangenberg, an outspoken opponent of the proposal, moved to end Tousis' option on the land, but the motion died because no one else seconded the motion.

Cory Mason, a member of the RDA, then sifted through the issue and came up with a proposal to give Tousis until Monday to pay. Spangenberg then moved to set the deadline until Friday, but his amendment was defeated 3-2. The Monday deadline then passed 3-2, with RDA Chairman John Crimmings, Mason and Scott Terry voting in favor. Spangenberg and Robert Ledvina voted against the proposal.

It's unclear what Tousis will do next. He's deposited $5,000 with Landmark Title with the intention of releasing the money to the city when he gets a reliable survey on the West Racine site.

But the RDA made it clear Wednesday Tousis needs to pay the money directly to the city. If he doesn't, the option is dead and the project won't move forward.

"I really don't think he's going to come with the money," Spangenberg said. "I think he's afraid he's going to lose the money."

Karen Sorensen (left), who represented Tousis at the meeting, said the project is at a standstill until the city presents them with a survey showing all easements on the site.

"We never dreamed there was information that we didn't know," she told the RDA.

Surprise stormwater pipe forces changes to proposed West Racine grocery store

A stormwater pipe is forcing a Racine developer to redraw plans for a grocery store and restaurant in West Racine.

Developer Tom Tousis was surprised to learn earlier this month an 84-inch stormwater pipe bisects the 1.5-acre lot at West Boulevard and Washington Avenue. Tousis can't build over the pipe and now needs to shrink the size of his proposed building by as much as 40 percent.

The pipe is the third utility easement any developer would have to address on the corner lot. A powerline and a water pipe also run through the property, carving up the seemingly vacant lot into four sections available for construction.

Tousis and the city disagree over whether the stormwater pipe was included in city records.

Brian O'Connell, director of city development for Racine, said the stormwater pipe was included in materials when the city first began searching for a developer for the site. It's also included in the city's GIS system, which is available for free online.

"They should have known about it," O'Connell said about Tousis' development team.

But Zak Williams, a spokesman for Tousis, showed a city survey of the site completed in 2006 that does not include the stormwater pipe. He said the original plans, which were shown to city officials when Tousis applied for an option to buy the land, were based on the 2006 survey.

"If the city knew about the pipe, why didn't they tell us about it?" Williams asked, noting the plan was approved by the city's Redevelopment Authority and City Council with no mention that the proposal would not fit on the site. O'Connell serves as staff to the RDA.

Williams added the city's own GIS website includes a warning on the front page that the online maps should not be used as official documents. Instead, Tousis used a city-commissioned, formal survey of the site, which left off the pipe, Williams said.

"Every developer knows you go off the survey," Williams said.

O'Connell said the stormwater pipe ran down an alley behind buildings the city knocked down to create the vacant lot. Utilities underneath alleys were not included on the survey map, he said.

O'Connell added Tousis made a "naive assumption" that there was stormwater pipe running underneath the former alley. He said the bigger problem is Tousis and his team have not worked with city officials on the project. As a result, O'Connell said, there are surprises.

Williams said the new pipe - discovered earlier this month - will force reductions in the size of the grocery store, restaurant and gas station. The new building may still be 10,000 square-feet, but it's significantly smaller than what Tousis intended to build.

Developer Ray Leffler, who has worked with Tousis on the project, said building over the stormwater pipe would be risky because the city may need to access the pipe for repairs. If that happened, crews would have to rip up the store to reach the pipe, he said.

"It wouldn't generally be an acceptable practice to build over that pipe," said Leffler, who owns Newport Realty in Racine.

But Leffler said Tousis can work around the stormwater pipe and still build an acceptable project. "It would have been nice if there was a pipe running right through the middle of a building that someone would have said something," Leffler said.

He added "the ball was dropped a bit," but instead of placing blame, focus should now be on redrawing the plans to fit the utilities on the site.

"The real question is how do you fix it and move on?" Leffler said.

Tousis and real estate agent, Karen Sorenson, wrote O'Connell a letter on Jan. 13 asking for an extension on the submission of their conditional-use permit for city approval. "The recent information obtained has changed the scope of our project drastically," the wrote to O'Connell.

Williams said Tousis is now waiting for the city to provide a reliable survey of the site before redrawing plans. "We don't want any more surprises," he said.

Council passes option for West Racine grocery store, gas station

The City Council voted 14-1 Tuesday night to grant Tom Tousis an option on land to build a grocery store with gas pumps in West Racine.

The council's vote finalizes a recommendation from the city's Redevelopment Authority to move Tousis' $5 million project forward. Tousis needed the option because the city owns the land he wants to build on at the corner of Washington Avenue and West Boulevard.

Tousis' plan is to build a grocery store and sit-down restaurant with gas pumps. The council's vote forwards Tousis' project to the city's Access Corridor Review Committee and the Plan Commission for further consideration. The proposal needs to pass both committees and the City Council to win approval.

Tousis' plan also calls for a liquor license, which would require approval from the Public Safety and Licensing Committee.

Tuesday's vote was a long-time coming for Tousis, who has been publicly pushing his controversial project since July. While there's been little opposition to the proposed grocery store or restaurant, the gas pumps have drawn criticism as a bad fit for West Racine.

But Tousis has built support by noting his project would help pay off the tax incremental finance district used to clear the West Racine block, would create new jobs and meet two West Racine needs - a place to buy groceries and a sit-down restaurant.

Alderman Jeff Coe was the only vote against the project. Alderman Jim Spangenberg, an opponent of the project, voted for the option but said it didn't mean he supported Tousis's proposal.

Up next is a more detailed review of what the grocery store, restaurant and gas pumps would look like. A key question will be if the project fits with the city's development plans for West Racine. City committees will take up that issue and make a recommendation to the full City Council in the next few months.

RDA passes option for West Racine grocery store, restaurant and gas station

A crowd packed Monday's Redevelopment Authority meeting to see what would happen with Tom Tousis's request for an option to build a grocery store, restaurant and gas station in West Racine. His request passed on a unanimous voice vote. So many people packed the committee room Mayor John Dickert, left-foreground, stood for the discussion and vote.

A proposed grocery store in West Racine cleared the first of several hurdles Monday evening.

The Redevelopment Authority voted unanimously to grant developer Tom Tousis an option on land at the corner of Washington Avenue and West Boulevard to build the grocery store, along with a restaurant and gas pumps.

Tousis's request now heads to the full City Council on Jan. 5 for final approval on the option. It's a positive step forward for Tousis, but the approval process is far from over.

If the City Council finalizes the option, the city's Access Corridor Review committee and Plan Commission will review the specifics of Tousis's proposal. Both committees will take a close look at the project's layout, traffic impact and the overall fit in West Racine.

Monday's meeting went relatively smoothly for a project that's proven controversial in recent months. The meeting opened with RDA member Pete Karas asking the proceeding be held in open session. No one objected and the meeting proceeded with the understanding that it could go into a closed session, if needed.

Tousis and developer Ray Leffler sat at the table along with the RDA members and City Development Director Brian O'Connell. Mayor John Dickert, Aldermen Terry McCarthy, Aron Wisneski, Sandy Weidner and Mike Shields watched in the audience. Alderman Jim Spangenberg sits on the RDA.

There was little debate on the proposal and once Karas made a motion to accept Tousis' option, with Scott Terry seconding, the proposal passed on a unanimous voice vote with no further discussion.

Despite taking a step forward, Tousis's proposal is far from finalized. Along with passing city committee and the City Council, it needs to come back before the RDA to finalize a developer's agreement. Tousis must also secure a liquor license and financing for the $5 million project.

The option approved Monday by the RDA would sell RDA-owned land at Washington Avenue and West Boulevard to Tousis for $250,000. Tousis would receive $50,000 of mortgage relief every year for five years - or $250,000 - if he creates at least 24 jobs.

Leffler, a prominent local developer who is working with Tousis, said the project would create more than 24 jobs.

"We want to over-deliver, which is what our intention is," Leffler told the RDA.

Special meeting set on proposed West Racine grocery store

The city's Redevelopment Authority is scheduled to meet in closed session Monday at 4 p.m. to discuss the proposed grocery store with gas pumps in West Racine.

Tom Tousis's proposal for the corner of Washington Avenue and West Boulevard is the only item on the agenda for the RDA's special meeting. Tousis wants to build a $5 million grocery store and restaurant with gas pumps on the vacant site.

Tousis needs the RDA to agree to sell him the land to move forward with the city approval process. He's run into resistance from a group led by Alderman Jim Spangenberg, who opposes the gas pumps.

The meeting's first vote likely will be an effort by RDA members Pete Karas and Scott Terry to hold discussion of Tousis' option in open session. Two meetings ago the RDA voted 4-3 against discussing the proposal in open session. Robert Ledvina joined Karas and Terry in trying to prevent the closed session. John Crimmings, Cory Mason, David Lange and Spangenberg voted to close the meeting to the public.

It's unclear if the RDA will take action on Tousis' proposal Monday. If they vote to approve Tousis's option, the City Council will not consider the proposal at its meeting on Tuesday. Instead, it will be put off until the council's Jan. 5 meeting.

Spangenberg laid out his objections to Tousis's project (including objecting to Tousis supporters' tactics) in a commentary that appeared in The Journal Times on Thursday. In the commentary, Spangenberg said he supports a grocery store and sitdown restaurant (with a liquor license to serve beer and wine) and even suggested some wiggle room on the gas station. Instead of outright rejecting the idea, Spangenberg suggested he could support a well-designed gas station on the site, writing:

The gas station would need to be a new urban design. This means the gas station does not look like a gas station but fits in with the business district and neighborhood.

Many of Spangenberg's concerns, such as too much traffic at the intersection, are issues that would be discussed by the city's Plan Commission and Access Corridor Development Review committee. But Tousis's proposal has not reached that stage because the RDA needs to decide if it wants to sell the land for the project.

Tousis offered to buy the land for $250,000 with a forgivable mortgage of $50,000 for five years if he creates at least 24 jobs. It's unclear if the city will make a counter-offer or simply accept or reject the proposal. Monday's meeting should answer that question.

West Racine grocery store developer seeks forgivable mortage in exchange for new jobs

UPDATE 2: There's a need to clarify our original post on Tousis's proposal. He is not requesting money from the city. He's asking for a forgivable mortgage in exchange for providing at least 24 jobs. It wouldn't cost the city any money. Also, it's probably worth noting the development with help the city's TID pay back the loan it took out to demolish buildings on the site. Without development, the site will get expensive for the city. (That's why, for example, it's not practical to turn that site into a park. The city needs tax base.)


UPDATE: The RDA voted unanimously Wednesday afternoon to defer action on the proposed West Racine grocery store to a special meeting within the next few weeks.

The vote came with some sense of urgency. "We have to bring this to some kind of conclusion," RDA Chairman John Crimmings said at the meeting.

City Development Director Brian O'Connell said city staff received Tom Tousis's proposal too late to review. Zak Williams, a spokesman for Tousis, said the proposal was late because O'Connell and city staff missed their deadline by over a week.

Regardless, it looks like there could be some kind of vote on the proposal within the next two weeks.


ORIGINAL: The developer who wants to build a grocery store and restaurant with gas pumps in West Racine is seeking free land in exchange for the creation of 24 jobs for five years.

Tom Tousis, who will appear before the Redevelopment Authority this afternoon, submitted an offer to buy land at Washington Avenue and West Boulevard for $250,000 on a five-year forgivable mortgage.

Under the proposal, one-fifth of the mortgage would be returned each year if Tousis creates and maintains 12 full-time jobs and 12 part-time jobs. All of the workers would live in the city of Racine, according to the proposal.

The RDA is scheduled to take up the proposal at its meeting this afternoon.

The proposal was based on a similar agreement the RDA reached with Treasures Media to build a new warehouse in the Southside Industrial Park, according to Zak Williams, a spokesman for Tousis.

Williams added the "24 jobs" number is not indicative of the total number of jobs that will be created by the development. The final number will be higher, he said.

For the third time, city to take up option for West Racine grocery store, restaurant and gas station

Officials are expected to meet this week on a $5 million commercial development that will create jobs and bring a long-desired service to the city.

The proposal is supported by surrounding residents, fits the long-range business plan for the neighborhood and appears to have the support of the mayor and several City Council members. It now just needs city approval to allow the developer, who has a solid track record on construction projects, to proceed.

Seems like a no-brainer for a city that's only landed a handful of new commercial construction projects in the past year. But, no.

The project described above is Tom Tousis's proposal to build a grocery store, restaurant and gas station at the corner of Washington Avenue and West Boulevard in West Racine. The $5 million project is now before the city's Redevelopment Authority, which is negotiating an option with Tousis to buy the land. (The RDA, which was created by the city, is the owner of the property.)

The problem for Tousis is Alderman Jim Spangenberg, who represents a portion of West Racine. Spangenberg has made no secret about his opposition to Tousis's project, largely because it includes a gas station. Spangenberg is the lone City Council member on the RDA and has an influential voice in all West Racine discussions.

The key issue is whether the grocery store and sit-down restaurant in Tousis's proposal make the gas station acceptable. Tousis argues the gas station is an important component of the plan because it will draw people to the site (and to West Racine).

But opponents, many turned off by Tousis's aggressive approach, are focused on the gas station. Dick Hinsman, who owns a business next to the proposed site, offers a glimpse of this one-track mind in a letter to the editor in today's JT. Hinsman wrote:

Also, recently, the City of Racine had put together a committee of local business people and people from the neighborhood. The committee was referred to as a Neighborhood Work Group. This committee came up with some recommendations as to what should be built on the site. The findings were that a business such as a gas station and a tattoo parlor were unacceptable/undesirable uses. Preferred uses include a full service grocery, and a table service restaurant.

Let's keep West Racine as a special area. A gas station will not be a destination business, nor will it be a business that will compliment West Racine.

Lost in this email is that Tousis is proposing a grocery store and restaurant, as well as a gas station. But Tousis's proposal is stuck with entrenched beliefs and hurt feelings.

It's now going around that Tousis' team didn't fill out the proper paperwork when submitting its plans to the RDA. Tousis disagrees, but let's assume it's true. If the fate of a $5 million development - that's $1.5 million more than the much celebrated $3.5 million "Treasures" warehouse proposed for the Southside industrial park - hinged on paperwork, you'd think someone would go out of their way to help the developer get things straightened out.

Maybe that's happening here. But the RDA is going on its third month of discussing Tousis's request for an option, and this is far from the last step for the project. It still needs to pass the Plan Commission, Access Corridor Review (which Spangenberg sits on) and needs a liquor license from the Public Safety and Licensing Committee, plus full City Council approval.

If every step takes three meetings, it could take Tousis another year to get a shovel in the ground. It raises questions of whether Racine is developer friendly, and what could be done to streamline the approval process for new construction.

Study: If done right, gas station OK in West Racine

A consultant hired to study West Racine's retail market said Tuesday night the gas station Tom Tousis wants to build as part of his $5 million development would be OK on the vacant lot at Washington Avenue and West Boulevard.

Kennedy Smith, of the Arlington, Va.-based Clue Group, told the West Racine Business Improvement District said gas pumps would work if they are not located on Washington Avenue, according to people at the meeting.

"She doesn't have a problem with a gas station in the district," one person at the meeting said.

Alderman Terry McCarthy, who was at the meeting, said Smith was more concerned about the look of Tousis's gas station than there being a gas station. "It needs to fit into an urban environment," McCarthy said, paraphrasing Smith's conclusions.

Tousis took steps in that direction recently when he released drawings of a proposed gas station canopy for the site that would resemble a train depot.

A rough sketch of the train depot canopy Tom Tousis is proposing in West Racine.

Overall, Smith's report was good news for Tom Tousis, who is trying to build a $5 million grocery store, restaurant, gas station and bank. Tousis' proposal has met opposition from people opposed to the gas station.

But Smith's recommendations may require changes to Tousis's proposal. She recommended the main buildings run along Washington Avenue with gas pumps located behind the buildings.

"Pulling (the buildings) to the street is critical," the person at the meeting said.

Tousis' team has said in the past it's not possible to build entirely along Washington Avenue because of utility easements that run through the property.

That aside, a supporter of Tousis' project said Smith's report supported their contention that the grocery store, restaurant, gas station and bank would bring foot and car traffic to West Racine that would benefit all surrounding businesses. The key, though, is the development has to built and maintained at a high level.

"It would be a perfect fit as long as it was done right," they said, paraphrasing Smith's report. "It can't be a Kwik-E Mart kind of thing. It has to look completely different from the norm for the gas station you usually see in Racine."

Smith's retail market report for West Racine will be available in two to three weeks. She was also hired by the Racine County Economic Development Corporation to study business districts in Caledonia, Waterford and Union Grove.

The four studies cost $56,900. RCEDC contributed $37,500 and the participating municipalities each contributed $4,850.

No Option: City puts off decision on West Racine grocery store, gas station

The Redevelopment Authority met Wednesday in the City Council chambers.
About 75 people attended the meeting.

A proposed grocery store, gas station, restaurant and bank in West Racine remains in limbo after the Redevelopment Authority's meeting on Wednesday.

Project developer Tom Tousis had hoped to secure a 12-month option to buy the 1.5-acre site, located at West Boulevard and Washington Avenue, from the RDA, which owns the land. But the RDA only agreed Wednesday to direct city staff to negotiate with Tousis on an option to buy the land. Tousis will need to return to the RDA to get the option.

The option is a critical step because Tousis needs RDA support for his project to advance to the next round of city approvals. The City Council's Plan Commission and other committees cannot consider the $5 million proposal if Tousis does not have the right to purchase the property.

Wednesday's outcome was somewhat unexpected because Tousis and RDA officials both seemed surprised/confused by the project's status. Here's an explanation of what happened based on interviews and attending the meeting:

* Tousis submitted his project to the city on Sept. 11 and it was referred to the RDA for consideration.

* The RDA put the project on its October agenda as a public hearing with an initial recommendation to "receive and file" the proposal. Tousis was hoping to secure rights to buy the land so the project could advance to other city committees.

* On Tuesday (the day before the RDA meeting), the city notified Tousis that he needed to work with the RDA's real estate agent to establish terms of the land option, including price and length. This was news to Tousis, who didn't know the RDA wanted him to negotiate the option.

* On Wednesday, the RDA's meeting agenda changed the staff recommendation on Tousis' project from "receive and file" to "defer" to give Tousis time to negotiate the option.

* The RDA voted unanimously Wednesday to direct staff to negotiate the option with Tousis.

Tom Tousis speaks during Wednesday's RDA meeting.

Following Wednesday's meeting, Zak Williams, a spokesman for Tousis, said the RDA's action was another "roadblock" to Tousis' efforts to build in West Racine. He noted the city had Tousis' project nearly a month before the RDA meeting but never said Tousis needed to negotiate an option before Wednesday's meeting.

Williams said city officials, including Mayor John Dickert and City Development Director Brian O'Connell, were stalling on Tousis' project.

"The city staff does not want this proposal to move forward," Williams said, adding: "The mayor has been very aware of what Brian O'Connell has been doing with this project, and he's done nothing about it."

Dickert, who sat in on the RDA meeting, said afterward that the RDA's decision was a common sense vote. Tousis only asked the RDA to review his project, and that's what the RDA did, Dickert said. If Tousis wanted an option on the land, Dickert said, he should have brought an option for the RDA to consider.

In other words, since there was no option, the RDA had nothing to vote on.

RDA Chairman John Crimmings said as much during the meeting. "The problem I have is we don't have an option to consider," he said. "It's very difficult to grant an option when we don't have an option."

The outcome suggested one of three things occurred:

1. The city sprung the option requirement on Tousis at the last minute, possibly to delay a vote.
2. Tousis made a mistake and failed to work on the option prior to Wednesday's meeting.
3. Everything went as it should, and this is just part of the approval process.

One person who seemingly can't be blamed for the delay is Alderman Jim Spangenberg, who is opposed to Tousis' plans to build a gas station but said he was "not against" giving Tousis the option.

Spangenberg did say he opposed a lengthy option (18 months) on the property, in part because a handful of other developers received options and then did nothing with the site. He also said he wouldn't vote for an option without seeing information about the deal and more about Tousis' background and project.

One positive for Tousis out of Wednesday's meeting was the RDA held its public hearing on his project, which is a step forward in the approval process. A majority of the people who spoke Wednesday night backed Tousis' 25,000-square-foot project.

Alderman Greg Helding and Elaine Sutton-Ekes, both city Plan Commission members, both spoke in favor of granting Tousis the option. Both said they looked forward to reviewing the project in detail at their meetings.

A sketch of the gas station canopy designed to look like a train depot Tom Tousis
intends to build in West Racine.

Tousis himself spoke on the project Wednesday. He revealed a new canopy for the gas station that would be designed to resemble an old train station and would use motion sensors to light up at night only when customers were present. Tousis also said the project would reclaim stormwater on the project and use it for landscaping, would setup a neighborhood recycling center and may even compost leftover food to create a source for renewable energy.

Dick Hinsman, who owns a property adjacent to the vacant lot in the 3100 block of Washington Avenue, continued his strong opposition to the project. Hinsman spoke during the public comment period and said a gas station would bring too much traffic to the corner.

Robin Wilson, the owner of Wilson's Coffee and Tea in West Racine, said he supported the grocery store and restaurant, but said a gas station was "completely unacceptable."

A representative from the West Racine Business and Professional Association, said the organization met this week and supported Tousis' grocery store, restaurant and bank, but said the gas station did not fit with plans for West Racine. (Tousis attempted to attend the association's meeting Tuesday morning, but was asked to leave.)

Real estate agent Karen Sorenson speaks at Wednesday's RDA meeting.

The next step for the controversial project is unknown. Karen Sorenson, Tousis' Realtor on the project, said she would write-up an option on the land by Friday. She asked the RDA if they would consider a special meeting this month so Tousis wouldn't have to wait until November to appear again before the RDA. Crimmings was non-committal on the idea.

As a side note to the meeting, state Rep. Cory Mason didn't attend the meeting but did listen in through conference call. There was some disagreement over whether Mason could vote at the meeting. Assistant City Attorney Nicole Loop said City Attorney Rob Weber had cleared Mason to vote by phone if he participated in the meeting, which she said is consistent with state law. But during the actual meeting Crimmings said Mason wouldn't be allowed to vote.

Mason himself said Tuesday he was told he could vote by phone.

The issue proved irrelevant because no votes were close enough for Mason to make a difference, but could be worth watching at future meetings.

Showdown on West Racine grocery store, gas station set for Wednesday's RDA meeting

UPDATE 2: The ongoing saga about a 1.5-acre plot of land in West Racine continued this week with some odd behind the scenes moves before Wednesday's Redevelopment Authority meeting.

Based on the agenda for the meeting, we reported Sunday that city staff was recommending the authority "receive and file" Tom Tousis's $5 million proposal, which is typically government speak for throwing it in the garbage.

But then we received an email from City Development Director Brian O'Connell that said, in part:

City staff has not yet taken any position on the Tousis proposal. City Staff has requested information from Mr. Tousis; we will not be making a recommendation on his proposal until we have received and reviewed that information and the information that Mr. Tousis may present at the public hearing on Wednesday.

The Racine Post chose to interpret the “receive and file” recommendation on the agenda for the Redevelopment Authority meeting as a recommendation for denial.

Interestingly, the JT quoted O'Connell on Monday saying Tousis had not submitted needed paperwork for the RDA to consider his request for a 12-month option on the land.

Zak Williams, a spokesman for Tousis, contested this claim Monday. He said the city requested additional information and said Tousis could bring it to Wednesday's meeting.

The JT later dropped O'Connell's quotes from its story about Wednesday's RDA meeting without explanation.

So where do things stand?

Apparently, Tousis has the needed paperwork into the city, and the RDA (the legal owner of the property) may vote up or down on giving him a 12-month option on the land. But even that's unclear because the agenda lists a public hearing, but not a straight-up agenda item, on the project.

O'Connell told the JT the RDA may make a recommendation Wednesday, but he doesn't anticipate them doing so.

We're hearing odds are increasingly likely there will be a vote on Wednesday, but it's unclear if the RDA will grant the option and it could come down to a 4-3 vote either way.

Pete Karas and Scott Terry are reportedly solidly behind Tousis, and State Rep. Cory Mason is likely to support the project because Tousis agreed to use union labor to build the grocery store, gas station, restaurant and bank. Alderman Jim Spangenberg firmly opposes the project, which leaves RDA Chairman John Crimmings, David Lange and Robert Ledvina as the deciding votes.


UPDATE: City Development Director Brian O'Connell called Monday to say the city staff is not recommending that Tom Touisis' West Racine proposal be denied. He said, rather, that Wednesday 's meeting focusing on it by the Redevelopment Authority is a public hearing on the project and there is no staff recommendation. That's contrary to the RDA agenda posted on the city's website, but make up your own mind.

Original post:

City staff is recommending the city's Redevelopment Authority "receive and file" a proposal to build a grocery store, restaurant, bank and gas station in West Racine.

The recommendation, listed on the agenda for Wednesday's meeting, amounts to dumping the proposal without taking further action. You can see the agenda here.

Tom Tousis wants to build the roughly 25,000-square-foot, $5 million development on the southwest corner of Washington Avenue and West Boulevard. The plan received strong support during a neighborhood meeting on Sept. 30, but there's high-level opposition to the proposal.

Alderman Jim Spangenberg, who sits on the RDA and lives in West Racine, is fighting the project, and a West Racine work group is asking the RDA to adopt restrictions on the vacant lot that would discourage, if not ban, a gas station on the site. Opponents of the Tousis project argue it would be better to wait for the right development than force something that isn't a good fit.

Tousis is fighting back with an organized effort to build support for the development. He's committed to using local union labor to build the project and to preserve the farmer's market on the site.

Wednesday's RDA meeting is an important step for Tousis. He needs the RDA's support to move ahead, because the authority technically owns the 1.5 acres of land he wants to build on. Without the RDA's backing, he won't be able to proceed.

West Racine turns out to debate future development

Tom Tousis takes questions about his proposed development from the crowd
Wednesday night at Gethsamane Lutheran Church in West Racine.

Plans to build a grocery store, restaurant, bank and gas station got a boost Wednesday night during a raucous neighborhood meeting at Gethsamane Lutheran Church.

About 175 people turned out to discuss the vacant lot at the corner of Washington Avenue and West Boulevard. The majority backed Tom Tousis's $5 million proposal and dominated the spoken comments during the two-hour forum. Only two people spoke against Tousis's plan.

Written comments taken during the hearing suggested a stronger opposition. Of the more than 100 comments collected, 47 supported a gas station on the site and 28 opposed a gas station. Another 22 comments generally spoke in favor of Tousis's proposal, but made no mention of a gas station. Six comments addressed other issues.

The hearing turned heated as it focused on Tousis's proposal. It started out as a general discussion of restrictions and recommendations a citizen's group in West Racine put together for the vacant lot, which is located in the 3100-block of Washington Blvd. But conversation turned almost immediately to Tousis's proposal, which is the only active proposal for the site.

About 175 people attended the public hearing about the vacant lot at the corner of
Washington Avenue and West Boulevard in West Racine.

Supporters rallied around Tousis's plans to building businesses that would created 50 jobs on the site, plus construction jobs to build the 25,000-square-foot project. They also noted the project would generate tax revenue to pay back loans the city took out to demolish the buildings leased out to a check cashing business, a cigarette store, Western store and tatoo parlor

But Dick Hinsman, who owns a building next to the site, said he opposed the project because it would cut into his building's property value. He later said Tousis approached him about what could be done to make the project more acceptable. Hinsman's response: "Nothing."

"That's my story and I'm sticking to it," Hinsman said.

Alderman Jim Spangenberg also spoke against the project, but mostly defended himself from what he described as attacks on his business and his family. When he was finished, a woman yelled out: "Why are you acting so unprofessional?" Spangenberg didn't respond, though a woman sitting near him answered: "What was unprofessional?"

Alderman Jim Spangenberg spoke against a proposed gas station on the site.

Toward the end, the meeting gave up an sense of being about a draft list of recommendations that will be presented to the city's Redevelopment Authority next Wednesday. Instead, audience members asked Tousis questions about his project. A few bits of new information emerged:

* Tousis's proposed sit-down restaurant will be open for breakfast, lunch and dinner.
* He's planning to study the ground beneath the proposed grocery store to determine if a basement is possible on the site.
* Tousis said video gambling was not part of his business plan.
* The proposal will preserve the Farmer's Market. Tousis plans to sell produce bought at the Farmer's Market.

The hearing also revealed another developed had looked at the site about a month ago, but they pulled out of consideration after discovering three unbuildable utility easements on the site. The developer was interested in building a "Gooseberries" grocery store.

City Development Director Brian O'Connell watched the hearing from the balcony.
Here he's answering a question from the audience.

That leaves Tousis's proposal as the only one up for consideration. It'll also appear before the RDA on Oct. 7, the project's first step in winning city approval to begin construction. It's an important meeting because the RTA - which is run by appointed volunteers - owns the vacant lot in West Racine and needs to agree to any development.

It's unclear how the RTA's vote will go. Members Pete Karas and Scott Terry are likely to vote with Tousis, while Spangenberg will vote against. That leaves Rep. Cory Mason, who could be swayed by Tousis's signed deal to use local union workers to build the project, along with RTA Chairman John Crimmings and commission members David Lange and Robert Ledvina to settle the issue.

Mayor John Dickert said in an interview this week he was looking forward to reviewing the details of Tousis's project to cut through hurt feelings. He added there's a practical aspect to the proposal.

"We need to take the emotion out of it," he said, noting any new development helps the city's tax base. "My job is not to get emotional. It's to benefit the taxpayers in this city."

"Are there any other developers looking at that site?" Dickert added.

County Board Supervisor Van Wangaard spoke in favor of Tousis's proposal, including the gas station.

Tim Casey, the Realtor in charge of the property, answered that question during Wednesday night's meeting. While others have looked at the land in recent months, no one other than Tousis had been interested enough to submit plans for city review.

Aldermen Greg Helding, Terry McCarthy, Aron Wisneski and Spangenberg attended the Wednesday night meeting, which was moderated by Rev. Al Guetzlaff. City Development Director Brian O'Connell was also in attendance.

Keith Deschler asks Alderman Aron Wisneski a question.

About 105 people left comments on their preferred use of the West Racine site.

Spangenberg rips post card supporting West Racine proposal

Alderman Jim Spangenberg is fighting mad over a post card sent to West Racine residents last week in support of a proposed development at the corner of Washington Avenue and West Boulevard.

The post card shows a vacant lot in the 3100 block of Washington Avenue on one side and on the other side speaks in favor of Tom Tousis's proposed $5 million development, which includes a grocery store, restaurant, bank and gas station. The post card singles out Spangenberg as an opponent of the project and asks people to call him to voice their support.

Spangenberg provided RacinePost with a copy of the post card. Here's the front:

And the back:


Zak Williams, a spokesman for Tousis, said he hadn't seen the post card and said Tousis had nothing to do with it. He added Tousis did not pay for the post card and was unaware it existed until RacinePost called to inquire about it. The post card likely came from local unions, which are backing Tousis's project because he's agreed to use union labor to build the development.

Spangenberg called the post card "sleazy" and inaccurate. For starters, he said, the post card states Tousis wants to build a grocery store, restaurant and bank, but makes no mention of the gas station.

Spangenberg also contested the post card's claim that lot has been "an eyesore for nine years." Buildings in the 3100 block of Washington Avenue were demolished in 2006 to make way for new development. This is the third year the lot, which houses the West Racine Farmers Market, has been vacant.

"This is sleaze," Spangenberg said, adding that he's up for a fight if Tousis wants to challenge him over the development.

"They don't know who they're messing with," Spangenberg said.

The post card, and Spangenberg's response, is the latest in an increasingly tense fight over the vacant lot in West Racine. Tousis' proposal is controversial, in part, because it's largely what West Racine has been seeking for years. Tousis intends to build a grocery store with a produce section and butcher, a sit-down family restaurant named after his father, Gus Tousis, a long-time restaurateur in Racine, and a bank branch. The development would also preserve the West Racine Farmers Market.

But Tousis also wants to build a gas station on the site, which Spangenberg adamantly opposes. He said gas stations always cause problems in their surrounding neighborhoods, adding Tousis' gas station is simply a bad fit for West Racine.

Spangenberg rejected the argument that it's time to build on the vacant lot. He said Downtown Racine waited a number of years to replace the Venetian theater, but then landed the Johnson Bank building. (That said, Spangenberg estimated in 2006 that the loss of the Piggly Wiggly grocery store in West Racine cost nearby businesses 10-15 percent of their sales.)

A key meeting on the proposal is scheduled for Sept. 30. A small group West Racine business owners, and a few residents, met in recent months to discuss their hopes for the 3100 block of Washington Avenue, which is owned by the city's Redevelopment Authority. Organizers of the group said it was not called in response to Tousis's proposal. The group was actually forming back in March, before anyone had seen Tousis's plans.

But the group's recommendations do affect the proposal. The final draft of the proposal, which will be considered by the Redevelopment Authority at its Oct. 7 meeting, calls a gas station an "unacceptable/undesirable" use of the land. "Undesirable" was added to "unacceptable" in the final revision of the group's proposal, in part to soften the recommendation. In theory, adding "undesirable" gives the RDA the opportunity to consider Tousis's plan without immediately discarding it because it does include a gas station.

One person close to the process said the RDA could may adopt the West Racine recommendations and then grant Tousis an exception on the gas station based on the positive aspects of his projects, mainly the grocery store and restaurant. "I think that may be what happens," they said.

But support from the RDA is simply the first of several steps any development in West Racine would have to survive. Tousis also wants a "Class B" liquor license for the development, and needs approval from city committees and the City Council to proceed.

The Sept. 30 public meeting on the West Racine group's recommendations to the RDA will be held at 6 p.m. at Gethsamae Lutheran Church, 3319 Washington Ave. The church has offered to provide activities for the children for parents who would like to attend.

Tousis submits plans for West Racine grocery store, restaurant and gas station; Announces he'll use union labor on project

Local businessman Tom Tousis submitted plans to the city Friday to build a grocery store, restaurant, bank and gas station in West Racine.

Tousis's proposal for the corner of Washington Avenue and West Boulevard differs from the one he talked about in July. He eliminated a proposed car wash and expanded the grocery store to 10,300-square-feet of retail space. (Initial plans called for 6,500-square-feet in retail space.)

He kept the 165-seat diner called "Gus's Diner," a small bank and a gas station. The proposal also would preserve the West Racine Farmer's Market.

Tousis said Friday he expanded the grocery store in response to critics, including Alderman Aron Wisneski, concerned he wanted to open a gas station with a convenience store. Adding 3,500-square-feet to the grocery store, which will include produce and a meat department, clearly elevates the project above a convenience store, Tousis said.

Wisneski confirmed he did raise concerns about the car wash when Tousis first made the project public, but said he still needs to review the official proposal to decide if he'll support it. At a glance, Wisneski said, the grocery store and restaurant appear to be two items West Racine residents have wanted for several years. But city officials need review the details to see if the proposal holds up to scrutiny.

"Tom's plan, just like any other development, will sink or swim on its merits," Wisneski said.

Along with submitting plans Friday, Tousis also announced he would use all union labor on the $5 million project.

Tom Reiherzer, of the Tri-County Contractors Association and the Southeastern Wisconsin Building & Construction Trades Council, confirmed Tousis signed a project labor agreement on the project, which would lock him into using all union contractors.

"He wants union workers from Racine first," Reiherzer said, "and he'll expand to Kenosha if he has too."

Wes Gable, president of Teamsters Local 43, said the project would bring needed jobs to the local unions. He estimated 20 percent of union workers in Racine are out of work.

"I sit on a council with 14 different (building) trades," Gable said. "They all have guys on the bench, looking for work."

City Notes: Coe warned over public comments; Main St. club in 'doghouse'; Tousis readies proposal

Alderman Jeff Coe took the unusual step last month of making a statement during the City Council's public comment period criticizing how negotiations over City Administrator Tom Friedel's contract were handled. Coe alleged July 21 that he voted for the contract believing Friedel would make $85,000 per year, only to later find out the contract was for $95,000.

The response to Coe's statement? A four-page letter from the League of Municipalities explaining why it's against the law for aldermen to participate in the public comment period. Doing so amounts to a violation of the open meetings law, which requires council members notice items they wish to discuss at public meetings. By using the public comment period, Coe basically circumvented this requirement.

Coe had a number of alternative options he could have legally pursued. Writing a letter to the council members, publishing an editorial on RacinePost or in the JT, or simply putting the item on the agenda all would have been legal.

Nicholson in city's 'doghouse'

The structure on top of the building at 316 Main St. has to be removed or redesigned, according to the city.

Doug Nicholson's plans for his "Envi" night club at 316 Main St. hit a minor glitch when the Downtown Area Design Review Board denied his plans for a small square building on the roof of the building. Nicholson built the structure without city approval and failed to win committee support. He now needs to redesign or remove the structure, which he referred to as the "doghouse." The structure apparently would have provided rooftop access, though apparently there were no plans to have the roof as part of the club. The committee objected to the construction because it was visible from Main St.

Here's Nicholson's response to the issue:

I had building plans approved and stamped by the city that contained a doghouse on top of the roof. I didn't know it had to go to design review. My mistake, this is my first building that I own and I am new to all of this. I asked the guys who built it to check with the city, they said they did, when in fact they didn't. They then built the thing way oversized. So I went to design review, they said tear it down, move it, or hire a designer to make it look acceptable. So we are in the process of moving its local and redesigning it. my intention was never to get away with anything, as I have been in touch with the building department on a regular basis.

Tousis seeking 'Class B' license

Tom Tousis has yet to submit his plans to the city to build a grocery store, restaurant and gas station in West Racine. The local builder has been soliciting neighborhood support and says the response has been overwhelmingly favorable. His plans also include a bank and a permanent home for the West Racine Farmer's Market. (In response to comments, Tousis said he had no intention of shutting down the market. Actually, he intends to buy produce from local farmers to sell in the grocery store.)

Tousis also confirmed he's seeking a 'Class B' liquor license for the restaurant, which would allow him to have a bank of video slot machines on site. Tousis said he's considering having the machines; if he does, unlike some businesses, he intended to have them legally. Some businesses simply install the machines and take their chances that no one will force them to take them out, he said.

Look for the West Racine plans to be submitted to city development this month. That will kickoff the approval process for the proposal.