PARDEEVILLE, Wis. -- Columbia County authorities said one man has died and another is jailed after a stabbing on the street in downtown Pardeeville early Tuesday morning.

Columbia County Sheriff Dennis Richards said Thomas Kratz, 43, of Montello, suffered the fatal wound, and the stabbing might have resulted from a fight over a woman.

Officers were called to the area in the 100 block of North Main Street, about a fight in the street apparently involving two men and a woman. The incident was reported at about 1:50 a.m. Tuesday.

The sheriff said a 46-year-old Pardeeville man taken into custody at the scene lives across the street from where the slaying occurred.

The Columbia County Sheriff's Department said James J. Henke is being held at the Columbia County Jail on two outstanding traffic warrants and is a suspect in the stabbing.

Authorities searched Henke's apartment in the 100 block of North Main Street for most of the day Tuesday. The Columbia County Sheriff's Department said investigating deputies recovered a knife on the roof of the building where Henke lives in a second-story apartment.

The sheriff said further testing of the knife will be conducted to determine if it is the weapon that was used in the homicide.

Authorities said they would consider evidence in determining what charge to file.

"It appears that these two people knew each other, that there was an ongoing conflict, and that's what we're looking at right now," said Lt. Roger Brander, of the Columbia County Sheriff's Department.

Authorities said the stabbing occurred on the street outside of the bar Wild Bill's.

"My wife went and got coffee for us at the Quik Trip and said, 'There's squad cars all over the place!' said Bill Baker, owner of Wild Bill's. "I said, 'There is?' She said, 'Yeah, there's yellow tape over by the bar.'"

Baker said he is surprised that Henke, known as "Cy," is a suspect in the case.

"It's not an everyday occurrence for something like that to happen, and I was surprised to hear that it was him," said Baker. "He's a big guy, and looks kind of demeaning, you know, (he) wears an (eye) patch, dresses biker style, but he's not a mean guy, not a bad guy, not a start-trouble kind of guy."

"He seemed pleasant enough, but something like this, I can't believe it happened in our small town," said resident Kori Howell.

Kratz's family is also in disbelief.

"Right now I am dumbfounded. I still don't believe it happened," said Theresa Trepish, Kratz's sister.

Trepish said Kratz went to confront Henke over a woman they were both seeing.

"From what I understand, she came to Tom and told Tom how (Henke) had beat her up and wouldn't leave her alone," said Trepish. "So then Tom I guess got in his truck and went to Pardeeville."

Kratz leaves behind two children -- a 12-year-old and a 14-year-old. His family said he loved snowmobiling and motorcycle riding.

Stay tuned to WISC-TV and Channel 3000 for continuing coverage.