FOX 21 News, KQDS-DT

BAYFIELD - It's a victory for some small businesses in Bayfield.

The city has agreeed to settle a federal lawsuit by repealing regulations that Bed and Breakfast owners had argued were unconstitutional.

Regulations had restricted who could own and operate a B&B in Bayfield by requiring owners to live in the B&B for at least half the year, list the B&B on their driver's license, and establish it as their permanent voting residence.

In a settlement agreement he city will repeal those changes, bringing its B&B regulations in line with statewide requirements.

In return the owners will dismiss their lawsuit but reserve their right to challenge any future regulations in court if necessary.