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Dewey Beach officials are investigating a complaint against Dewey Beach Enterprises that says two restaurants owned by the company are violating the zoning code.
Restaurants in existence on April 11, 1992, fall under Dewey’s grandfathering provision. They were not required to change to conform to current zoning code provisions, and instead were allowed to continue to operate as they had been operating when the code was adopted.
The right to operate as a nonconforming facility would be lost, however, if the existing building or service area were expanded, the area for seated dining reduced or space rearranged to increase bar areas.
In a letter hand delivered to the Dewey Beach town manager and building inspector Tuesday, June 24, Rusty Rudder owner Highway One LP said Dewey Beach Enterprises (DBE) should lose its businesses’ rights under the grandfather clause because it has violated all three provisions each weekend since Memorial Day. Highway One attorney Stephen Spence said DBE expanding the outside service area, reduced the area for dining and rearranged seating to permit unrestricted standing service of alcohol in what had formerly been a walkway between Crabber’s Cove and the Lighthouse.
Alex Pires, a partner in Highway One, first raised the complaint during the June 13 town council meeting. DBE attorney Shawn Tucker denied there were violations and challenged Highway One’s decision to present the complaint to the council during a public town meeting. Tucker said Pires brought the matter to council to publicly disparage his client’s businesses by name.
Pires said he was trying to maintain an environment of fair competition by ensuring all grandfathered businesses are required to comply with the same code provisions. Part of the problem, he said, is attributable to DBE merging the liquor licenses for Crabber’s Cove and the Lighthouse. The businesses previously had separate licenses. The town officially consented to the merger Feb. 27, and the state Alcoholic Beverage Control Commission approved it.
Speaking on behalf of Crabber’s Cove and Lighthouse owner Dewey Beach Enterprises during a Wednesday, June 25 interview, Jim Baeurle said there are no violations. “We sought and received all approvals from the town and state necessary to operate the business as we’re operating it. That’s a fact,” Baeurle said.
A former Highway One partner, Baeurle left to join with others to form DBE, which acquired the Lighthouse and Crabber’s Cove in October 2007.
The town council turned the matter over to town officials for further investigation.
“There’ve been issues with this place for the last 20 years, but it’s not a murder case. We’ve got to take a good, hard look at it,” Elliott said. “Let’s take our time and see what’s going on.”
Restaurants that have been grandfathered in Dewey include Crabber’s Cove and the Lighthouse, owned by Dewey Beach Enterprises; Rusty Rudder and northbeach, formerly the Waterfront, owned by Highway One; and the Starboard, owned by Steven “Monty” Montgomery.
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