Laserfiche WebLink
REGULAR MEETING JUNE 27, 2011 <br /> <br /> <br /> <br />Colfax Bridge. Some of the concrete around those piers is deteriorating and they want to <br />make sure that is stabilized. 1.2 million dollars for site consolidation and the former St. <br />Joseph Hospital site the current St. Joseph High School site. The reason for the second <br />substitute bill is to add language because the Council continued the bill before it could be <br />amended in at the last Council Meeting. That language is this: The site consolidation <br />appropriation of $1,200,000 is subject to a written agreement setting forth the public <br />benefits to the citizens of South Bend which will be provided and are intended to be <br />realized by the redevelopment and future use of the site. These public benefits shall <br />include, but shall not be limited to, the use of the outside athletic facilities by the South <br />Bend Community School Corporation and other public entities on dates when Saint <br />Joseph High School (the “School”) does not have a conflicting scheduled event; and <br />access to other limited indoor venues during such times and for such events as mutually <br />agreed when the School does not have a conflicting scheduled event. All use shall be <br />subject to usual and customary costs of operation of the facility such as custodial and <br />security expenses. Such written agreement shall be filed with the Office of the City <br />Clerk. Mayor Luecke thanked the Council for their consideration and strongly asked for <br />support of this appropriation. He stated that this is a critical piece of property for our <br />community when St. Joseph Hospital decided to build a new campus; they had the risk of <br />this being a large vacant property right in the core of the city for a long time. Had a <br />developer come to the city with a project they would most likely could have spent <br />upwards of 5 to 6 million dollars to assist private development of this site. They are <br />excited and pleased to have St. Joseph High School make a long term commitment to the <br />City of South Bend and to this site and to invest 35 million dollars of private money at <br />this site. He stated that the City participation is 1.2 million dollars and they are proposing <br />to acquire the Family Dollar Store and then transfer the property to the school in <br />exchange for public benefit that will derived. That public benefit refers to items that are <br />in the amended language that is use of the stadium by South Bend High School’s and <br />perhaps by other leagues Pee-Wee Leagues or others using the stadium as well. <br />Potentially the opportunity to host regional or sectional football games at that stadium in <br />the City of South Bend. In addition, use of the school facility itself during times when St. <br />Joe High School is not using it. He stated that it is his understanding that the <br />administration there is actively looking to develop ways that the community can <br />participate in and use that facility as well. So there is a public benefit and a public return <br />for the investment that they are proposing to make. In addition to that, obviously there is <br />the major benefit of a 35 million dollar investment on that site. The construction jobs <br />created at that site and the further benefit of the surrounding area. He stated that he <br />believes that there will be more interest for housing in the neighborhood and an <br />opportunity for more stores in the East Bank and near Downtown area to develop in <br />conjunction with that. He stated that he knows there has been some question of Church <br />and State issues raised. City Attorney Chuck Leone sent a memo to Councilmember’s <br />and he asked Chief Assistant City Attorney Aladean DeRose to speak to the <br />constitutionality issue. <br /> <br />th <br />Aladean DeRose, Chief Assistant City Attorney, 14 Floor County-City Building, 227 <br />W. Jefferson Blvd., South Bend, Indiana, stated that essentially the Mayor has clarified <br />exactly what it is that we are receiving and that is the Public of the City of South Bend. <br />And as long as there is a substantial public benefit to an investment of this sort the <br />Indiana Supreme Court has found that any other benefit to the School is incidental. What <br />the City is getting is the recovery of a vacant piece of property right in the middle of the <br />downtown area, a substantial site. The City is getting the use of the public facilities of the <br />field facilities the outdoor facilities and the indoor facilities for the benefit of the public. <br />The Indiana Supreme Court recently at late 2003 ruled in a case Embry vs. O’Bannon that <br />even though a public school corporation provided teachers with computers and other <br />kinds of reading materials that type of aid to a public school that was incidental to the <br />public benefit of educating the public and therefore, there was no constitutional violation. <br />She stated that in an Attorney General’s opinion that the Council’s Attorney provided to <br />the Council furnishing free buses by a school corporation to children going to private <br />schools was also determined not to be unconstitutional because the primary benefit was <br />educating the public, the protection and education of children. So the public benefit here <br />is a substantial one and if that public benefit is substantial and there is only incidental <br />benefit to the school as a private school then it is constitutional in her opinion. <br /> 5 <br /> <br />