A public hearing last week for Shannon Smiths Civil Penalty Appeal left her with a $5,000 fine from the City of Gearhart.

Smith, who has been using the historic Gearhart Livery Stable as an events center, failed to take the necessary steps asked of her by the planning commission and city council before opening up for business.

One of those steps was to get an occupancy permit, which deals specifically with safety issues.

Our job is to keep the city out of liability and keep people safe, said City Manager Chad Sweet. The safety issues were first and foremost.

The city originally issued Smith a conditional-use permit, with the understanding she would have everything in line with city code by the time the permit expired. She did not, and a second conditional-use permit was issued, which also expired.

However, once Smiths plans for the barn were submitted for review by Building Official Jim Brien, they were approved and she was given a list of items that needed fixed or improved. Smith decided to take on the task list herself instead of hiring a contractor.

According to Sweet, Brien made exceptions for Smith to help save on some of the costs. She was also allowed to host eight different events that she had already signed contracts for, to avoid the risk of her being sued.

It was my understanding that once that last event ended, they would be over until she complied with all the rules mapped out for her, Brien said.

Yet Smith continued to hold events in her barn. She informed the council during the hearing that she had booked the events in good faith that she would be in compliance in time.

We did not have an occupancy permit or the other items on the conditional-use permit taken care of and so we gave her a violation because we didnt know what else to do, Sweet said. We didnt go and stop the proceedings; we could have but it would have been an awfully difficult situation to say please, bride, leave.

When she continued to hold these events knowing she would be getting a violation, well that is a huge liability for the city. Sweet added that in his opinion the city had been very clear with Smith about what they needed from her.

Councilor Joy Sigler disagreed, stating that Smiths original conditional-use permit could have been extended longer, because once the second one was issued it was much more restrictive.

The city could have been a little more assertive and imaginative and creative with using the legal means possible to extend that first permit, she said. Having that first conditional-use expire has really mired everything down into quite the muck and has cost the city money and cost Shannon money.

Building Official Jim Brien disagreed, stating that the city bent over backwards to help her out.

We violated the conditions set up by the planning commission to help her get those first eight events taken care of because we wanted to see her succeed and we thought that would be the last of it until she complied with the rules, he said. Then she continues with more events and expects us to bend over backwards illegally again to help her. But the rules are the rules and I cant bend them anymore.

Smith informed the council that she did cancel her last event of the season, but she has two events booked for 2013.

Councilor Albert Carder asked if she was willing to cancel them in the event she was not in compliance in time. Smith said yes, she was willing to do that.

Carder also stated he was not in favor of canceling her conditional-use permit and that he wants her to succeed. He moved to reduce the $5,000 fine to only $3,000.

I think that is a little excessive, so I dont want to support that, he said, but I still want it to be painful. There were events carried on at the barn before she was in compliance and while I understand some of her reasoning why, that does not mitigate the fact that she was in violation.

Carders motion died for lack of a second.

Councilor Dianne Widdop rejected Carders idea of lowering the fine, stating that Smith hosted a total of five events, each of which could have been a $5,000 fine.

Jim [Brien] was kind enough to only levy one fine so I cannot understand reducing that fine at all, she said. She knew what she was doing, there is no question about that. She put a lot of people at a lot of risk.

Widdop moved that the council levy the fine as written. Dorothy Well seconded. Councilors Carder and Siegal were not in favor of the motion.

Smith could not be reached to comment on the councils decision.