Council approves $6 million bond to purchase Flagship building but makes changes

May 18—ANDERSON — The Anderson City Council has approved the $6 million bond to purchase the Flagship Enterprise building but attached some strings.

The council Tuesday approved an amendment to the ordinance proposed by Councilman Jon Bell that included the mayor and council alternating the seven appointments to the Flagship Enterprise Board.

Earlier in the day Anderson Mayor Thomas Broderick Jr. sent an email to the council members and a letter signed along with Anderson University President John Pistole giving the council two appointments to the 11-member board.

As proposed the mayor would have six appointments, the city council two and AU would have three.

None of the changes to the board will take effect until Jan. 1.

Bell's amendment included a provision that an effort be made that the appointments to the board reflect the cultural diversity of the community and that all board members be notified of meetings five days in advance and the items to be discussed.

The amended ordinance passed the second of three required readings by a vote of 7 to 1 with Council President Rebecca Crumes.

The final adoption passed 6 to 2 with Crumes and Councilman Ollie H. Dixon casting the no votes.

Councilman Ty Bibbs did not attend the meeting.

A motion to table the ordinance made by Dixon and seconded by Crumes failed on a tie vote.

The ordinance requires the five parties involved in the transfer of the property to agree to the new language to secure the $6 million in tax increment financing revenues.

The Flagship Enterprise Center is providing $1 million toward the $6.9 million purchase price from Anderson University.

The five parties are Anderson University, the city of Anderson, the Anderson Redevelopment Commission, the Flagship Enterprise Center board and the Flagship Enterprise Capital board.

The ordinance is awaiting a decision by Mayor Broderick to sign the document or veto the ordinance.

There was a lengthy discussion among the council members many stating the administration of Mayor Broderick didn't provide enough time to consider the ordinance.

"I'm going to vote yes because this has to happen," Councilwoman Jennifer Culp said. "This cannot happen anymore."

She said the mayor could have met with the council in executive session to discuss the components of the purchase of the building from AU.

"I understand we have our backs to the wall," Bell said. "This is not how government is supposed to work.

"We support the project," he said. "We don't like parts of it."

Councilman Rick Muir said the letter signed by Broderick and Pistole would have given the council two appointments on the Flagship board.

"It's not three or four, but not zero," he said. "It was a good faith effort.

"This is a healthy agreement for the future of the city," Muir said.

Local resident Randy Willis said the council was dooming the project to failure by the council members personal agenda.

"Don't hold the deal hostage until you get your own agenda," he said.

Resident Joe Carney said the council was given an end of the month deadline to approve the $6 million bond issue.

"It's not incumbent on this council to fix AU's financial problems," he said. "They need to fix this in-house."

Carney asked if AU is selling the building why would they still have members on the Flagship board.

Follow Ken de la Bastide on Twitter @KendelaBastide, or call 765-640-4863.