Delavan council approves Lake Lawn liquor license

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Tuesday, June 30, 2009
— After weeks of debate and months of confusion, the Delavan City Council on Monday unanimously approved Lake Lawn Resort’s liquor license.

The resort on Monday cut a check to the city for $87,200. That covers all invoices the resort owed the city as well as a few invoices that soon will be printed, council member Ron Siedelmann said.

“We paid it in good faith although we still dispute some of those amounts,” Lake Lawn attorney Susan Sorrentino said. “We would still like to have discussions (about the invoices).”

Siedelmann is the chairman of the city’s finance committee. He met in person with Lake Lawn officials to go over outstanding invoices line by line.

Monday’s payment covers one bill to Vandewalle and Associates that the city has determined was overfilled by $4,000, Siedelmann said as an example.

In that case, and in the case other mistakes are found, the city would credit Lake Lawn, Siedelmann said.

The council has held several special meetings this month to talk about the money the resort owed the city. City ordinance prevented the council from approving the license on account of the outstanding bills.

Lake Lawn questioned some of the invoices related to its cost-recovery agreement with the city. Under the agreement, the city bills Lake Lawn for things such as attorney or engineering services billed to the city but related to Lake Lawn.

Mayor Mel Nieuwenhuis thanked Lake Lawn for coming up with the money. He said the city will reciprocate by crediting Lake Lawn promptly if necessary.

The resort still owes $761,300 in property taxes to the county. The taxes were due in January.

The council last week also denied a liquor license for Midwest Hotels, the owner of the former Delavan House Hotel, 215 E. Walworth Ave. Representatives of the empty hotel are expected to meet with the council tonight to appeal the denial.

An Illinois bank foreclosed on the property in May.

The owners also owe the city $3,000 in personal property tax and $33,500 in property tax, according to city documents.

Last updated: 10:33 am Thursday, December 13, 2012

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