Should a moratorium be placed on tall building permits in downtown Traverse City until the public can vote on the issue? The question is headed to court Friday, and city leaders are weighing in.

Attorneys Grant Parsons and Brenda Quick seek a temporary restraining order to prevent the city from issuing a special land use permit (SLUP) to developers of the proposed nine-story River West project on Pine Street. The city commission is set to review the SLUP request Monday, but Parsons and Quick want the decision delayed until a referendum banning buildings over 60 feet high is put to a vote.

“We filed (the lawsuit) to stop action before the city grants the SLUP, because if it does, that vests the developer with rights,” says Parsons. “They can sue the city for damages if they start construction and a referendum is passed after the fact restricting the height.”

Petition drive organizers collected more than 900 signatures to put the issue on the ballot, but the petitions were rejected by the city’s clerk office in November due to improper formatting. The lawsuit also seeks to overturn the city clerk’s decision and validate the petitions. Judge Philip Rodgers is set to hear arguments from both sides on Friday at 1:30pm.

Attorney Joseph Quandt – who represents developers Erik Falconer and Joe Sarafa – is also filing a motion to join the lawsuit. While Parsons plans to oppose, saying the lawsuit is “between the citizens and the city,” Quandt says the judge’s decision will have “consequences and damages” for his clients different than those of the city and that he “fully expects” the court to allow them to intervene.

“If a judge grants an injunction, that pushes back all of the dates that are important to Erik and Joe,” says Quandt, citing tax credit and low-income housing funding deadlines. “It could push us back a whole construction year.”

The city’s role as a defendant in the lawsuit raises thorny issues for city officials who’ve publicly opposed the project. Parsons represents three plaintiffs in the case: the Northern Michigan Environmental Action Council, Riverview Terrace resident Priscilla Townsend, and Central Neighborhood resident and Downtown Development Authority (DDA) board member T. Michael Jackson.

Though the DDA – an arm of the city – has not taken an official position on River West, its executive committee met with developers and “supports the zoning ordinance as it stands,” according to Executive Director Rob Bacigalupi.

Jackson's role as a plaintiff while on the DDA board has prompted a debate within the debate.

“I’m disappointed he’s doing that,” says DDA board member Rick Korndorfer. “If he wants to oppose (the project), that’s fine, but I don’t think he should say the DDA is opposed to it. That’s not the case. He’s overstepped his bounds.”

“I think Mike has the right to do whatever he wants as a citizen,” says DDA board member John DiGiacomo. “That said, it’s very dangerous for him to cite the fact he’s a DDA board member at public meetings (about the project) and in the complaint itself. There should be a clear line of people acting in their individual capacity, not as a board representative.”

Jackson says he intentionally called attention to his DDA affiliation “to show to the public that the DDA has not endorsed” the development. “The DDA, like any city body, is diverse,” says Jackson. “I’m one representative on that board representing what I believe is best for downtown. I feel very strongly that the tall building doesn’t fit into the character of the neighborhood.” Jackson also doesn't believe he’d have a conflict of interest reviewing tall building projects going forward, saying that if aspects of River West or other developments came before the DDA for review, he would not recuse himself from voting on them.

Traverse City Mayor Jim Carruthers – who ran on a campaign platform opposing tall buildings – supports “the right of the citizens to take this issue to a referendum,” though he and other commissioners will be represented in the city’s defense against petitioners Friday. “My constituents don’t want this building,” Carruthers says. “But you know, there are commissioners who support it. We have people on both sides.”

City Attorney Lauren Trible-Laucht says it’s too early in the process to determine what conflicts of interest or liability could eventually arise from elected or appointed city officials taking an opposing stance from the city on the case. “I can’t comment on that without first going through the public hearing process," she says, "and knowing what the outcome of the public hearing is."