The Mackinaw City Planning Commission must again face the question of determining zoning for two properties owned by Shepler's Mackinac Island Ferry company and two village parcels, after a longawaited vote Thursday, June 12, failed, 4-4, which would have expanded the marina commercial district to include them. Designating the properties marina commercial would lower their value, because the district prohibits hotels and motels, and the company says the move would jeopardize the future of Shepler's ferry line. Owing to the vote, the official zoning designation of the properties remains uncertain because the village zoning map does not specify a district for them, said Village Manager Jeff Lawson.

"It is up to the planning commission to decide what to do from here," he said.

Commissioners Jeff Hingston, Earl "Doc" Taylor, Florence Tracy, and Paul Allers voted against rezoning the properties marina commercial.

Commissioners Mary Clark, Robert Most, Nancy Dean, and Rosada Mann voted to include the properties in the marina commercial district.

All four waterfront parcels, two owned by the village and two owned by the Shepler company, are part of an ongoing debate regarding how to keep the view of water open while addressing the financial concerns of waterfront property owners.

Placing the properties in the marina commercial district would help serve the public call to preserve the view of waterfront, which has been established by several surveys, said Commissioner Nancy Dean said before the vote.

Keeping the Straits of Mackinac visible from town has been cited frequently as a public desire as well as a long-term economic necessity for Mackinaw City, because it would help maintain the aesthetic appeal of the village that tourists enjoy.

Commissioners Mann and Hingston said designating the properties marina commercial would fit with the village land-use plan.

Since the marina commercial district allows ferry boat operations, Mrs. Mann called it the "most logical" zone. Mr. Hingston said putting the properties into a marina commercial district would serve the public well, although he voted against it after the matter was fully debated.

Mr. Taylor strongly opposed considering zoning the district marina commercial, saying that the area was always intended to be a business district.

The purpose of the vote was to establish a zone for the property. The area was zoned business in 1977, but its designation has been in question since 1988, when a revised zoning map accidentally omitted the designation.

Attorneys Joseph Kwiatkowski and Michael Stack, who attended on behalf of the Shepler company, insisted that the property remains in the B3 zoning district, which allows hotels. The mapping mistake did not change that, they said.

They disputed considering it "un-zoned," and opposed the rezoning of the property, which they said would reduce its value by half and amount to unjustifiable "taking" by the village.

Village Attorney Tom Evashevski, who attended on behalf of the planning commission, said the planning commission has the right to rezone the property. If any doubt exists regarding what the zoning designation is, the commission should clarify it through a vote, he advised.

Ajudge could designate the area B3 or un-zoned, however, he encouraged the commission to decide for itself what it wanted.

Chris Shepler disagreed strongly with the move to rezone the property. The Shepler company has assumed for decades that its parcels were zoned in a way that gave the company the ability to use it for several business purposes.

"We had structured our business on a financial basis with that thought process," he said, adding that the company's lending institution also assumed that the property could be used for several purposes.

The Shepler company borrows money each year to pay its employees throughout the winter, he said.

Citing Michigan's poor economy, Mr. Shepler said the planning commission's move to zone the property marina commercial would make it difficult for the company to pay its expenses because it may not qualify for loans.

The bank was aware of the planning commission's vote and was awaiting its decision, he said. If commissioners voted to designate the property marina commercial, "I'm not sure there will be three ferry boat companies in this area anymore," he added.

To clarify his point, Mr. Stack said the value of the parcels would drop, reducing the company's ability to borrow money.

Mr. Shepler said he understood what the community wants, however, "it comes down to survival at this point, and I'm not sure [our] company will survive if we can't go to the bank with the same type of assets that we had last year."

The Shepler family is well respected in Mackinaw City, making the vote difficult, said Commission Chairman Most.

Commissioners who voted for the change, as well as commissioners who voted against it, expressed strong empathy for the Shepler family throughout the meeting.

The property remains un-zoned, and owing, in part, to the intensity of the meeting, Chairman Most said he plans to give the commission time to think about how and when to consider rezoning the parcels. A specific date for the commission to revisit the issue had not been set at press time.