Merrillville approves $1M in bonds for Andrean infrastructure

The Town of Merrillville is one step away from awarding Andrean High School $1 million to help with infrastructure, and a giant gift to the Diocese of Gary’s schools isn’t changing at least one councilor’s mind.

The Town Council at its Tuesday night meeting voted 7-0 to approve on first reading an ordinance that will allow the town to issue $1 million in economic development revenue bonds to the school for the improvements. Under separate cover, the council also voted unanimously to do the same for the Boys & Girls Clubs of Greater Northwest Indiana’s Merrillville Club to the tune of $2 million.

Andrean will use the money to pay for 25-foot wide access road between Georgia Street and 61st Avenue, with the town paying $100,000 a year for 10 years; while the Boys & Girls Club will receive $200,000 for 10 years to build its own club on three actress it owns behind the Dean and Barbara White Community Center on Broadway, Councilman Shawn Pettit, D-6, said. Both bond issues will be paid from the town’s tax increment financing districts, which currently have $9.1 million in allocations, he said.

Pettit pointed out that the town did a similar deal for Merrillville Community School Corp., giving them $2 million over five years for programs such as the district’s Truancy Court and access to Harrison Street. The difference, however, is that while the state’s TIF language allows the town to give MCSC the money outright, it can’t for not-for-profit entities, according to Bob Swintz, an advisor for London Witte Group, which is handling the deals with Indianapolis-based firm Barnes & Thornberg.

“We create this bond issue in order to make those payments,” Swintz said.

Pettit, whose daughter graduated from Andrean and who’s reiterated that he’s been behind helping Andrean for years, said that giving the money to Andrean is for the town’s benefit because the school, by way of the Diocese, is set to spend up to at least $30 million in improvements that will likely require union workers. Members of the audience, however, weren’t appeased.

“(The Diocese of Gary) is selling St. Joan of Arc and Sts. Peter and Paul (churches), so they’re leaving Merrillville,” resident Bryon Mesarch said during public comment. “This is a violation of the First Amendment, and the TIF isn’t some magic tree where money just grows. How does the Economic Development department have $9.1 million while the town has $12 million?”

Resident Darian Collins said many residents voted to “change the complexion” of the council — referring to Councilwomen Rhonda Neal, D-1, Shauna Haynes-Edwards, D-2, Leona Chandler, D-3 and Keesha Hardaway. D-7 — and that she believes the money should go to support MCSC first.

“The vouchers established for people, no, there’s no income limit. Andrean is growing because of vouchers, so if they can’t keep their enrollment, that’s not our problem,” she said. “Let them go; they don’t assimilate with this community. And if we’re finding money for Andrean, can we find money for the Town Court?”

Another resident, Diamond Jackson, pointed out that there are 409 students who attend Andrean, and the tuition is currently $10,750 per year without other fees and donations.

“Why are our TIF dollars paying for them when they can afford it themselves? I’m upset that my money is going toward a school I couldn’t afford to attend,” she said.

TIF Districts generally comprise businesses and are placed in business districts, not residential areas, so residents’ money is not funding them, Council President Rick Bella, D-5, said after the meeting.

Wednesday’s announcement of the $150 million donation by the Dean and Barbara White Foundation to benefit the Diocese of Gary’s schools could conceivably change councilors’ minds on the town’s plan, but it won’t change Pettit’s, he said Thursday.

“There are two high schools and 17 elementary schools this $150 million is going to, and no one knows what different things it’ll be. It’s too early to say,” Pettit said. “But we have waived fees and given money to MCSC, and we have a great relationship with them, and there are some residents who only want to understand what they want to believe.”

Michelle L. Quinn is a freelance reporter for the Post-Tribune.