ESCANABA — A series of actions related to a controversial low- to medium-income housing development planned for property adjacent to Walmart were tabled Thursday after it was determined that proper public notice had not been given for one of the agenda items.

“It was somewhat ambiguous, because we posted that item to be included on the March 19 agenda, and then we didn’t have that meeting, and then we advertised it again for this meeting, but we didn’t do it 15 days prior to this meeting. That was the only question. It was somewhat ambiguous and rather than risk it, we felt we’d have to hold off on that,” City Manager Patrick Jordan told the city council during its virtual meeting, which was only available for viewing via the WebEx virtual meeting platform and was not streamed on Facebook due to a technical issue with WebEx.

The item in question was the second reading, public hearing, and adoption of rezoning the property located at 500 North 26th Street from F-Light Manufacturing to C2-Residential Planned Unit Development. Unlike changing the property to a different residential designation, the C2 zoning designation would tie the zoning to the specific development, meaning if the project fails to come to fruition, the property will remain a light manufacturing district.

Under the city’s master plan, the property north of Aldi and adjacent to Walmart’s southeast retaining pond has been identified for future big box retail. As the property’s intended use is drastically different from both it’s proposed zoning and the master plan, concerns had been raised at the planning commission level that rezoning the parcel might be considered spot zoning — the practice of zoning a single parcel differently than the surrounding parcels, which can be illegal in some circumstances.

While the plan is not without supporters, the project has also drawn ire of some in the community who either feel the city does not need more low-income housing or that the location was inappropriate for the planned four-story apartment complex, dubbed the “Bay de Noc Apartments.”

Multiple residents indicated during the public comment period of the meeting they had intended to speak on the project, but would hold their comments for when the issue was revisited at a later date.

In addition to the public hearing on the zoning, the council tabled a payment in lieu of taxes ordinance for the Bay de Noc Apartments Project; a municipal services agreement with the project’s developer, Woda Cooper Companies; and the approval of a final development plan for the four-story apartment building.

The council also tabled the approval of an action plan for the city’s Redevelopment Ready City recertification.

Part of the reason it was possible to delay the Bay de Noc Apartments project items was the impact of the coronavirus on state deadlines. The Michigan State Housing Development Authority (MSHDA) deadline for applications for tax credits sought by Woda Cooper Companies through the Michigan Low Income Housing Tax Credit Program has been pushed back to June 1, two months later than originally scheduled.

“Thank you for delaying because we want to get this right,” said Craig Patterson of Woda Cooper Companies, who added he had provided the city with the market study previously requested by the council and would be available to answer any questions.

If approved, the apartment building would contain 70 units. Of those units, 26 would be made available to residents and families who make up to 80 percent of the Delta County area medium income ($58,700 for a family of four). For singles in a one bedroom apartment the maximum income would be $43,240, for a family of four in a two-bedroom apartment the maximum income would be $48,800, and for a family of five in a three-bedroom apartment the maximum income would be $52,800.

A firm date for the project to be revisited by the council was not officially set, but according to Mayor Marc Tall the discussion will most likely take place at the May 7 meeting.