Council declines to overturn veto on sale of Wyatt Street lots after controversy over applicant’s age

The Wausau Common Council on May 27 failed 1-9 to override the mayor’s veto of a resolution that would have authorized sale of city-owned lots at 208–214 Wyatt Street to 208 Wyatt Street, LLC, leaving the veto in place. The mayor had vetoed the council’s earlier 8-2 approval, citing concerns about procurement, disposition procedures and commercial terms; council members said a later news report that the prospective buyer was underage deepened concerns.

Council members debated whether to proceed given a written withdrawal of the application submitted about an hour before the meeting. City Attorney Jacobson told the council that the written withdrawal meant the matter could be removed from the agenda, but that the council also could vote on the resolution; the vote to override the veto ultimately failed 1-9.

Several alderpersons said their main concern was whether city processes were followed. Alder Killian and others cited the city’s property disposition requirements and asked when the property was last publicly posted for sale. Killian read to council language she said she received from the city attorney about the disposition process — including a 30-day posting requirement for properties using restricted funds — and said staff advised the process had been followed. Alder Larson and others raised transparency concerns and said federal cleanup funding had made the parcel easier to sell.

Alder McElhaney said she had repeatedly asked staff for documentation and did not receive timely answers, which prompted her to press the issue publicly. She said she asked for details including who worked on the file, the property disposition list and how the buyer’s financing matched the stated income qualification.

Other alders, including Lukens and Rasmussen, cautioned against airing accusations of impropriety in public before getting staff answers and urged more professional internal inquiry. Several speakers said they trusted city staff but wanted a review of procedures and better safeguards to prevent similar issues in future transactions.

Before the vote, the mayor told council members that the veto was issued after consultation with staff and because concerns about the property disposition process and commercial terms warranted additional review. Council discussion also noted that the applicant had sent a written request to withdraw the application earlier that day.

A public commenter, Tom Killian of Citizens for a Clean Wausau, told the council that residents had previously raised federal concerns about the city’s handling of floodplain management tied to this property and that HUD (the U.S. Department of Housing and Urban Development) had previously found deficiencies that prevented release of federal funds in 2023. He said those HUD findings were the reason some council members had opposed prior zoning actions for the site.

Outcome: the override vote failed 1-9; the mayoral veto therefore stands and the sale does not proceed. The applicant’s written withdrawal also remains on file, and the mayor indicated the city will review the disposition and vetting process and report back to council.

The council discussed next steps including internal reviews and possible procedural changes such as stronger application forms and clearer public notification of city-owned lots for sale.

Votes at a glance: motion to override mayoral veto — result: failed 1-9.