Holmes Beach commission stalls formula businesses

A moratorium may temporarily stop formula businesses from entering Holmes Beach, if it passes a final reading and vote.

Commissioners voted unanimously Sept. 13 to approve the first reading of a moratorium banning new formula businesses in the city for a period of eight months. The clock started June 14.

The moratorium only applies to new formula businesses coming into the city. All existing formula, or chain businesses are grandfathered in under the moratorium.

City attorney Patricia Petruff said the moratorium will not stop formula businesses or franchisees from purchasing an existing business in the city, but it will stop a formula business from obtaining building permits and a business tax receipt.

“When I moved here, there was no worry about the franchises coming in,” said Commissioner Jean Peelen. She added that she believes the seasonal nature of business kept the formula businesses away from Anna Maria Island — until the island became a year-round tourist destination.

“The face of Holmes Beach and Anna Maria Island has changed so much in the past 25 years,” Commissioner Pat Morton said. “It’s time we do something.”

“This is just for the moratorium, it’s not what we’re actually going to do,” Commissioner Marvin Grossman said, adding that the moratorium is a placeholder for potential future legislation on formula businesses.

If the moratorium passes a final commission vote, it will go to city staff and Mayor Bob Johnson for recommendations on legislation and then back to the commission.

The moratorium will have a final reading and vote, along with a public hearing, when commissioners next meet at 7 p.m. Tuesday, Sept. 27, at city hall, 5801 Marina Drive.