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Two Rivers directs planning for major Neshoto Beach concession-stand renovation; staff to seek grants and room-tax support
Summary
Council voted to continue toward a major interior renovation of the Neshoto Beach concession stand with a projected total cost around $510,000–$520,000 and an estimated city tax investment of about $130,000 after room-tax and potential grant support.
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The Two Rivers City Council on Dec. 1 directed staff to continue planning a major renovation of the Neshoto Beach concession stand, while stopping short of final borrowing or contract awards.
Staff outlined three options: a bare-minimum health-code update, a midrange interior renovation that retains the building footprint (staff-preferred 'option 2'), and a full demolition/rebuild. Staff said a contractor provided an estimate of roughly $360,636 for interior restroom and concession work; when combined with picnic-shelter improvements, signage, and equipment the package totaled about $510,636 (rounded to $520,000 on meeting materials).
The proposed funding strategy includes a potential state infrastructure or WEDC "Vibrant Spaces" grant (staff suggested a target of roughly 50% of project cost if awarded), confirmed room-tax commission contributions of $25,000 per year for several years (already pledged for 2026–2028), and city capital borrowing. Staff and council noted that room-tax and grant proceeds would reduce the general-obligation property-tax impact; staff estimated the city—s general-obligation share at about $130,318 after other contributions (the city—s total initial borrowing to fund the project could be roughly $255,000 but not all of that would be general-obligation debt on property-tax rolls).
Council members debated the advantages and risks of revenue bonds, the potential for naming-rights or fundraising to reduce taxpayer exposure, and whether the city should proceed with a smaller fix now or invest in a durable upgrade. Supporters argued that expanded restrooms, changing rooms and a three-season picnic shelter would extend the rental season and increase tourism revenue; opponents voiced concerns about cost, timing and reliance on tourism revenue.
The motion directing staff to proceed with planning for a major renovation (not to exceed the approximate agenda numbers) passed on a roll-call vote. Council emphasized that any final borrowing and construction contracts will return to council for separate approval after bids, and staff will continue seeking grants and room-tax contributions.

