Washington Settles Construction Dispute with Local Artist for Over $100,000

By July 22, 2026 2 min read
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The City of Washington, Illinois, has approved a settlement to reimburse local sculptor Marlene Miller more than $103,000 for damages sustained during the construction of the Tangled Roots Craft Beer & Kitchen. The payment addresses structural issues, lost rental income, and legal fees, marking the second time the city has compensated neighbors for construction-related problems caused by the developer.

Key takeaways

  • The Washington City Council agreed to a $103,000 reimbursement for damages incurred by Marlene Miller.
  • The damages were linked to the demolition, excavation, and construction of the Tangled Roots restaurant.
  • The city admits no liability or wrongdoing as part of the settlement agreement.
  • This marks the second time the city has issued payments for damages caused by this specific project.

Understanding the settlement

The agreement, approved by the City Council, aims to resolve a long-standing dispute that began during the development of the Tangled Roots restaurant, which opened in 2025. Marlene Miller, whose studio is located in a historic building adjacent to the site, requested the funds to cover significant repairs and financial losses. City Administrator Jeff Fiegenschuh stated that the settlement was a negotiated solution intended to protect the city’s interests, avoid the uncertainty of litigation, and allow all parties to move forward.

History of construction issues

This is not the first time the city has provided compensation for construction damages associated with the restaurant project. Two years prior, the council approved a $27,300 reimbursement to the Washington Historical Society for damages to its headquarters. The following table summarizes the financial impact of the project’s construction on neighbors:

Recipient Reason for Payment Amount
Washington Historical Society Construction damages $27,300
Marlene Miller Structural/Income loss $103,000

Future implications and funding

The reimbursement for Miller will be drawn from the city’s general fund, as officials determined that tax-increment financing (TIF) funds could not be legally allocated for this specific purpose. While the city maintains that the settlement does not establish a precedent for future claims, officials have acknowledged that the potential for legal action against the developer, CL Red Real Estate, remains a possibility, though the likelihood of a successful outcome remains uncertain. Miller is expected to receive additional funding through a TIF redevelopment agreement once specific repair projects are completed, bringing her total compensation to approximately $115,700.

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B. Stewart
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B. Stewart

A contributor to ProsperPeoria.Com — your community resource for connecting people and businesses for success in Peoria, Illinois.

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