Arizona school district trying to halt opening of adult store
By The Associated Press
09.15.02
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PHOENIX A school district is considering paying millions of dollars in taxpayer bond money to stop a sex shop from opening near two schools.
Deer Valley School District officials are considering condemning and buying the land where a Castle Boutique Megastore is scheduled to open in October. The store is less than a mile from Deer Valley Middle School and Barry Goldwater High School.
Castle Boutique owner Taylor Coleman says the district can't take his property just because it doesn't like stores that sell adult merchandise.
"They cannot show a compelling government reason why they need the property, other than ... to stifle free speech," he told The Arizona Republic. "If you don't like my content, don't go shopping in the castle."
Curious neighbors called the city in August to find out exactly what business shaped like a castle was being constructed by the highway. Opposition started with a handful of residents but quickly galvanized hundreds more, all working to stop the sex shop.
"This is not drastic," said David Cantelme, a Deer Valley School Board member who proposed the idea. "They would get fair market value. Whatever their losses, they would be compensated."
If the district succeeds in buying the land, the site could be used to build a school facility.
Deer Valley's attorney, Susan Segal, will research the matter, including cost, and report to the board later this month.
Deer Valley has a 90% chance of winning the right to take over the property because Arizona courts have been liberal in awarding condemnations for government use, said Bob Kerrick, a Phoenix attorney who has represented property owners.
"If in fact the school district will use the land for a legitimate school purpose, then on its face, it looks like they can use eminent domain," he said. "It is the property owner who has a heavy burden in defeating condemnation."
Eminent domain is a legal concept under which government can take private property, with compensation, for public use.
But taking Coleman's property would cost the school district, Kerrick said. Coleman estimated he had invested up to $4 million on his project. But what a judge might consider in deciding how much the school district would pay is how much Coleman could get if he put the business up for sale, Kerrick said.
"It will cost the district an absolute fortune to acquire," Kerrick said.
A year ago, Deer Valley voters approved $77 million in bonds for school facilities. About $12 million of that is earmarked for support facilities. Cantelme's idea is to build a warehouse or central kitchen at the Castle Boutique location.
School officials will look into the legality of using voter-approved bond money on such a purchase.
"We are just in the investigation stage," said Kent Davis, associate superintendent of administrative services. "We need to look at what benefit it would have for the district."
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