Port Washington has filed its response to a lawsuit led by business and real estate trade groups that seeks to block an ordinance that would require voter approval before the city can issue public incentives — and the city says it “largely agrees” with the concerns raised by the plaintiffs.

The complaint, filed last week in Ozaukee County Circuit Court, challenges the resident-proposed ordinance that Port Washington’s Common Council has put as a referendum on the upcoming April 7 ballot.

If residents choose to implement it, it would require a citywide vote before the creation of tax incremental financing districts exceeding $10 million in project costs or base value, or involving what the legislation terms “large capital expenditures."