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Council approves pilot outdoor dining on Bay Beach for Lighthouse with conditions and fees

Town of Dewey Beach Town Council · March 20, 2026
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Summary

After public comment and council scrutiny, Dewey Beach approved a one‑year pilot allowing the Lighthouse restaurant to place a roped, monitored dining area on the Bay Beach (10 tables/44 seats) subject to state approvals, limits on private events, daily hours, monitoring, and a revised town fee structure estimated at about $10,000.

Dewey Beach — The town council on March 20 approved a one‑year pilot permitting the Lighthouse restaurant (operated by Dewey Beach Enterprises) to run a roped, monitored outdoor dining area on the Bay Beach adjacent to its property, subject to state (DNREC) and ABC approvals and several conditions the council added.

Applicant Vince Defonso told the council the proposal would create a low‑impact amenity: 10 tables, 44 seats, no live music, sit‑down dining only, staffed access and roping to prevent drinks leaving the enclosed area, and operations tied to the restaurant’s hours (roughly 11 a.m. to 11 p.m., with potential earlier closing on some nights). “We’re really looking to do something very small…This is designed to be quiet, controlled, family‑friendly,” Defonso said.

Several nearby condominium residents spoke in support at the public hearing, while others and some council members pressed for clarity on public access during holidays, the right to book the space for private events, beach clean‑up and storm‑day procedures, and how conditions would be enforced. Council agreed to language clarifying that the authorization was for public dining (not exclusive private takeover), that any private bookings should be limited so the area remains broadly accessible, and that the town’s permit would include operational conditions and an opportunity to cure compliance problems before revocation.

Town staff and the applicant agreed to revise the originally cited fee. Council amended the resolution to align with the town’s business‑license seat fee: $15 per seat for the six‑month season plus roughly $1.50 per square foot for an 1,100‑square‑foot footprint. Mayor William Stevens estimated that combination would yield an approximate $10,000 gross payment to the town (the transcript contains an early approximate number of $9,600 plus $600; council set the fee structure and will finalize exact accounting in the permit).

Council members also required that conditions listed in paragraph 4 of the draft be included explicitly in the permit, that the pilot cover one season only with the council revisiting future authorization, and that the authorization be revocable for public‑health or safety reasons after an opportunity to cure. The resolution passed with the amendments; the town manager said funds collected would be earmarked to support beach raking and lifeguard equipment.

The approval does not take effect until DNREC (the land‑lease holder) and ABC (for alcohol service) grant their separate approvals.