The Town of Griffith has opted out of contributing to the South Shore Line’s West Lake expansion, and a recently passed state law played a big part in the decision.
A statement Council President Rick Ryfa read before the council voted unanimously to reject any contributions toward the project during its Tuesday meeting pointed out Senate Bill 528, which locks municipalities into paying their pledges.
“While these revenues may never be used, this could create issues when future municipal bonding takes place,” Ryfa said. “Distributions such as (local road and street), (motor vehicle highway) or the general fund could be intercepted by the state to make our payment obligations.”
The state hitting other funds likely wouldn’t have happened for Griffith because it planned to pledge a flat $20,000 per year, Ryfa said. But other communities that contributed percentages could get hit if their CEDIT money drops, and that could affect their bonding power in the long run, much like a negative item on a credit report.
But mostly, Ryfa said it was residents’ objections that confirmed the decision.
“On two separate occasions over three years, we asked input from Griffith citizens. We have received extensive feedback that is overwhelmingly opposed to the town contributing any funds to the South Shore Expansion project,” Ryfa said. “We were elected to represent out citizens and manage their money.”
Before Ryfa made his statement, Northwest Indiana Forum President Heather Ennis reiterated the economic importance the project will have for Northwest Indiana.
“The West Lake Corridor expansion is projected to bring 1,000 construction jobs, 2,500 permanent jobs, 8,000 new residents to Northwest Indiana and $35 million of annual personal income impact to the town of Griffith at the 20th year,” Ennis said.
Michelle L. Quinn is a freelance reporter for the Post-Tribune.