The Haines Borough Planning Commission recommended to the borough assembly that commercial events be allowed as a permitted activity in the Mud Bay zone—a decision made after more than 100 Mud Bay residents signed a petition submitted in October asking commercial events to be prohibited in their rural residential neighborhood.

In March, the commission was united in its opposition to the petition, with some members alleging it reflected “intolerance” or that it was targeted at Viking Cove, a vacation-rental venue that has hosted large events. The commission ultimately took no action but the assembly again directed the commission to address the question.

On Thursday, the commission recommended unanimously that activities such as weddings, reunions, retreats, performances and conferences be allowed as a “conditional use” in the Mud Bay Rural Residential Zone, a permitted activity that must meet criteria outlined in code and that can occur with restrictions placed on it by the planning commission.

In public comment, Mud Bay resident Cecily Stern urged the commission to see the petition as a continuation of the planning process and to address issues not considered at the time the Mud Bay Rural Residential Zone code was developed. She also responded to critics who charged that the petition signers were engaging in hypocrisy because of neighborhood parties and other events that have historically drawn large crowds and noise.

“I believe in family celebrations of life events and bringing neighbors and friends together for them. I see a major difference, though, between a commercial enterprise that exists to hold events and events and celebrations held by a family in the ordinary course of their lives,” she said. “I would not want to live next to a property owner whose business it is to provide a commercial venue for multiple events for people who don’t live here.”

One member of the public, Jan Hill, opposed the petition. She said she thinks the petition was aimed at shutting down Viking Cove, a Mud Bay vacation rental that has a conditional use permit that allows events.

“I have to tell you that his venue (Viking Cove) never has had as many people at it or as many cars parked on the roadway as most of the private events that happen in that area,” Hill said. “Why can’t we just live and let live? Have your parties. Have weddings. Let people make a living.”

Some Mud Bay neighbors have repeatedly, over several years, approached the planning commission with complaints about Viking Cove. Two other Mud Bay businesses, Chilkat Inlet Retreat and Echo Ranch Bible Camp, are permitted to host events under the broad category of “commercial enterprise,” a conditional use defined in code as “any commercial, manufacturing, sale or service that occurs on a person’s private property.”

On Thursday, commissioner Jerry Lapp made the motion to allow commercial events as a conditional use.

“I think this is a way to clean it up and make it better,” Lapp said. “I don’t like the thought of closing things off.”

Commissioner Rob Goldberg said he was concerned that the borough didn’t have a legal right to prohibit a private property owner from allowing gatherings and that such a prohibition could be easily avoided through a loophole, similar to when residents who weren’t allowed to operate a commercial gravel pit in the zone said they were giving it away.

“I think people are just going to circumvent this and say, ‘I’m not a commercial event venue, I’m just having a party,’” Goldberg said.

The commission voted 5-1, with Goldberg opposed, in favor of Lapp’s motion.

The commission unanimously voted to add language to Mud Bay’s land use code that “uses not expressly provided under uses-by-right, accessory, or conditional uses are prohibited,”—language that also exists in the Lutak neighborhood’s code.

The assembly also tasked the planning commission with making a recommendation regarding definitions of “event venue” and “commercial enterprise” proposed by the code review commission. That commission suggested defining “event venue” as the “commercial use of a building, or part of a building, or land as a place of assembly by the public for special events such as weddings, educational workshops, conferences, performances, cultural gatherings, etc.”

On Thursday, the planning commission approved the definition of “event venue” with minor changes including removing “educational workshops” and “cultural gatherings” and voted to strike the definition of “commercial enterprise” because it’s already defined in code.

The assembly will take action on the commission’s recommendations at a future meeting.