City staff presented a draft five-year alley use agreement for Smith Alley West on Oct. 13 that would allow the adjacent business, Smith Alley Brewery, to continue using an enclosed fenced area for outdoor seating and alcohol service without paying rent.

The agreement is intended to mirror a similar arrangement the council approved in June 2025 for Smith Alley East. City Engineer Thomas Monow told the council the lease would allow the lessee to operate retail sales, outdoor dining and alcoholic beverage service only within the enclosed area, while preserving a 10-foot northern corridor for ADA-compliant access between Main Street and the rear parking area.

The city would require the lessee to remove snow and ice, keep the premises clean and maintain both the area they use for business and the adjacent 10-foot public access corridor. Monow said any improvements or permanent alterations would require approval by the public works director; transient or movable items would not. He also noted a prior alley use agreement approved in May 2018 required a rent of $1 per square foot for the season (May 1–Dec. 1), which previously amounted to about $900 monthly.

Council discussion focused on whether paragraph 7 in the draft should explicitly limit approvals to permanent alterations. Councilor Patzek asked whether the clause should read “permanent alterations,” and Monow confirmed that was the staff intent and said staff could refine that language when the agreement is finalized.

No formal vote was recorded during the study session; staff presented the draft and answered questions. Monow said the city’s main substantive change from the 2018 arrangement is the removal of rent for the west alley to match the terms already adopted for Smith Alley East.