Durham asks for money, but Duke has terms

DURHAM -- To close a financing gap for Durham's new performing arts center by a mid-November deadline, the city needs $2 million pronto.

Duke University, long the Bull City's rich uncle, has that kind of cash to spare. But when the city asked for the money, the private institution made clear it has something it wants, too.

Duke needs the City Council's approval for a proposal to improve five blocks of Anderson Street. The public roadway is key to the university's ambitious plans to redevelop the area between its East and West Campuses for residence towers, retail shops, restaurants and other amenities.

As a gesture of its good will, Duke is proposing to give the city a $500,000 "donation" upon the signing of a binding agreement that pledges "timely" consideration of the university's plan for Anderson.

The remaining $1.5 million "donation," however, will only be granted upon the city's approval of Duke's plan for improvements and "any other necessary approvals required by the city for Duke to undertake the improvements."

It is illegal under state law for a local government to accept money in exchange for granting regulatory approval. Such a quid pro quo -- a Latin phrase defined as "something for something" -- would be considered tantamount to bribery.

City Attorney Henry Blinder advised council members Thursday they could accept Duke's timely and needed gift as long as it is clear to all involved that the $2 million is in no way to influence their decision whether to approve the university's plan.

"There's been extensive back and forth on this," Blinder said. "We're OK with the legal defensibility of the arrangement."

Still, the deal is giving some on the council pause.

About the same time the board will be considering the Anderson Street plan, the council also is likely to take up Duke's controversial rezoning request for the 200-acre Central Campus project.

Some neighborhood leaders have expressed concern that the massive development will hurt small businesses on nearby Ninth Street and allow Duke's students to insulate themselves even more from the community that surrounds their campus.

"It smells like a quid pro quo," said council member Thomas Stith. "It puts us in a very bad position, not only on Anderson Street but on the future implications for Central Campus."

Council member Diane Catotti, whose husband works at Duke, also urged the board to look elsewhere for the money.

Still, the measure will be on the council's agenda for approval Nov. 6.

"People are going to think what they want to think," said Mayor Bill Bell, who supports the agreement. "You have to vote your conscience on this."