SANDPOINT — Attendees overflowed into the lobby as the City Council delivered a near unanimous rebuke Wednesday of Averill Hospitality and its bid to lease or buy the City Beach RV Park.

Following nearly three hours of discussion and public comment, which was overwhelmingly opposed to Averill Hospitality’s proposal, the council voted unanimously to decline any negotiations with the company over the RV park land.  

The motion was amended to add a public workshop to be held at a later date, which council president Deb Ruehle and councilor Pam Duquette voted against. The workshop would allow the public, including Averill Hospitality, to pitch ideas for what they want the space to be used for. 

"That is an irreplaceable property, and we should never ever relinquish any of our control of it, but I have heard several visions for what that property could be today,” Councilor Kyle Schreiber said. “After the public has decided what they want their park to look like, then we can allow the Averill’s to come up with a legally binding agreement that allows them to contribute to our vision.” 

Councilors heard a presentation from Averill Hospitality co-owner Brian Averill and representative Ben McGrann. Councilor Rick Howarth pressed Averill on what the company’s response would be if the council decided to continue with the RV park.  

“Your letter was very clear, he said if we don’t cave to your demands, your project is not going to be done,” Howarth said. “You come tonight with a different tone, so help all of us reconcile that, what are the true intentions of Averill?” 

During their presentation, Averill apologized for the tone of the letter sent by his father, Dan Averill, to the council which demanded the RV park become parking or the project would not continue. 

Ruehle said she was frustrated with the way Averill Hospitality has communicated with the city. She said that the company has made two threats to pull its project, once due to increasing development impact fees and now because of the RV park. 

“Unless you can tell us one way or the other, instead of this maneuvering, that is not the Sandpoint community. That’s not how they roll,” Ruehle said. “I feel like I’m listening to a teenager, and I want a straight answer.” 

Brian Averill said the company is seeking to be a stakeholder at City Beach, but that he “didn’t know” if the project would continue if the RV park remained.   

"I don’t 100% know if the hotel can survive if there is a trailer park next door to it,” Averill said, prompting a negative reaction from the public. “At the same time, I don’t know if won’t, either. I’m not making a decision on that one way or the other.” 

Duquette said she felt that Averill Hospitality doesn’t understand what City Beach means to the people of Sandpoint and that it can’t be improved with money, echoing the sentiment of the public comment. 

“You did not come with a collaborative feeling, I believe trust has been lost,” Duquette said. “I feel like we are being played by the Averill.” 

Schreiber questioned why the company was willing to pony up potentially over $200,000 a year for an RV park lease yet held that the increased development impact fees would sink the project. McGrann said that the money would come from two different stacks of capital, and Averill said the company would honor any legal binding agreement. 

Councilor Justin Dick, former owner of the Trinity at City Beach, said he has no deal in place with Averill, but that he would like to see a compromise made with Averill contributing to the area. 

“We have the opportunity to work and potentially get some ideas on the board,” Dick said. “In my last four years, what I have heard more than anything ... is that we don’t have great access during the summer months... to park at City Beach. We could open up 70 spots today if we moved the truck and trailer parking to the RV lot.” 

Councilor Joel Aispuro was one of the main drivers behind the idea of a public workshop. He said that he would be in favor of finding a solution that included contributions from Averill Hospitality, as long as the city stayed in control. 

"There are just a lot of emotions here tonight, understandably so, I have a lot of emotions as well as everyone else up here,” Aispuro said. “If we have a workshop and we, as a community, like what we see and can get things that we want, while staying in the driver's seat is a win for us and to some degree a win for them.” 

The date for the public workshop has yet to be announced by the city. The council’s next meeting is scheduled for Nov. 19 at 5:30 p.m. at City Hall. 

The full meeting is available to watch at youtube.com/@cityofsandpoint. 

    Averill Hospitality co-owner Brian Averill speaks with company representative Ben McGrann at Wednesday's meeting.
  

    A Sandpoint resident brought their own seat to Wednesday's council meeting. Attendees overflowed into the lobby because of a capacity crowd in Council Chambers.