City flexes its extra-territorial muscles

Oconomowoc Focus, November 2, 2006

Jonna Clark
Staff writer

City of Oconomowoc - The city exercised its extra-territorial muscles Tuesday night and reached into the Town of Summit to rezone a 55-acre parcel of land for a new hospital.

Invoking its authority to rezone lands within a three-mile radius of the city, the Common Council, in a unanimous vote to rezone the town land, put an end to what has been an arduous battle between the city and Aurora Health Care.

Council chambers were full Tuesday night, mostly with Aurora supporters, though few spoke during the public- hearing segment of the meeting.

Resident Basil Mroz, one of three to speak before the vote, said he understood the city's position, though found the situation disappointing.

"The council has been forced to create this extraterritorial zoning, and also is being forced to pass this ordinance to maintain the fiscal integrity of the city," he said. "I am saddened by these actions, though understandable.

"America was founded on the principles of free-elected representation, and the rules are being subjugated for an avarice and greed-driven organization," he added.

Alderman Scott Antonneau said he agreed with Mroz.

Mayor Maury Sullivan has said that part of the city's willingness to settle the legal issues with Aurora is an attempt to protect the taxpayers of Oconomowoc from the possibility of a trial and damages against the city.

Aurora sought $59 million in damages in a suit against the city that claimed Oconomowoc officials colluded against Aurora to protect homegrown healthcare systems.

The action taken Tuesday night came after Sullivan and Town Board Chairman Len Susa announced a "memorandum of understand-ing" in August that was approved by the City Council, and in effect ended the five-year debate over if and where a new Aurora hospital would go.

The Summit Town Board also unanimously approved the agreement.

The agreement, when fully implemented, will end all litigation related to plans for a new Aurora hospital here. Lawsuits have been pending against the city and Waukesha County.

The agreement clears the way for construction of a 1- million-square-foot shopping and entertainment complex in Pabst Farms on the 43-acre parcel in Pabst Farms Aurora had originally targeted for its hospital.

In 2001, the city rezoned the land in question to block Aurora from building a not-for-profit facility in the special- funding district established for Pabst Farms. A lawsuit and much controversy followed and led Aurora to the Town of Summit and a triangular parcel on the other side of I-94 for its hospital.

Another lawsuit erupted when the County Board voted down the town's request to amend their master plan to allow a hospital there.

The town has since sought to incorporate as a way to be able to determine their own destiny, most notably to allow Aurora to build but also to control their borders.

The agreement fixes permanent boundaries between he city and town, effectively resolving past disputes on this issue.

Under the agreement, the city will begin the process of exercising its extraterritorial rights to rezone the 155-acre triangular parcel in Pabst Farms in the town, circumventing county involvement and leading the way for Aurora to build its medical campus, including a new Wilkinson Clinic.

The agreement also lays the groundwork for construction of a fire station that will be jointly operated by the city and the town. The new fire station will be in Pabst Farms in the city on a 3-acre parcel donated by Pabst Farms.

The agreement also involves a land swap between the city and town, whereby a 230-acre parcel on the south side of Valley Road will become the city land.

Aurora's new hospital plans will now go to the town's Plan Commission for review, and the shopping mall proposed by General Growth Properties will go before the city's Plan Commission this month.