Council approves rezoning and variance for New Day low-barrier intake center at Old Cleveland Road

The Common Council of the City of South Bend voted 9-0 on Jan. 27 to approve an ordinance rezoning 4022 Old Cleveland Road from industrial to Suburban Neighborhood 2 and to grant a use variance to allow a low-barrier intake center on the property.

The rezoning and variance were presented by Skip Morrell, principal development planner, and Joe Molnar, assistant director of growth and opportunity. Molnar said the site was purchased by the Redevelopment Commission to host a permanent intake center and argued the location met criteria the city had sought when prior candidate sites were rejected.

"This proposed use is consistent with the South Bend city plan objective H‑5 to support existing transitional housing providers and shelters that offer a continuum of care to move people toward self sufficiency," Morrell said. Molnar told council staff and commissioners had identified the site as superior to previously considered locations because it is not adjacent to dense single-family neighborhoods, is large enough for the program, and is near a bus line.

Supporters of New Day Intake Center delivered more than a dozen public comments at the committee hearing and at tonight's council meeting. Sheila McCarthy, executive director of New Day Intake Center, described the organization’s experience operating Motels for Now and said the proposed facility would be a fully fenced, single‑story campus with three residential buildings, an administrative building, on‑site counseling and medical services, and 24/7 staffing. John Frickfist, the group’s finance lead, told the council the total project budget is $18,800,000 and that the organization had raised $12,700,000 to date, about 70% of the total.

Medical providers and program staff described service outcomes from the Motels for Now pilot, including ongoing work by Street Medicine South Bend. Dr. Kate Callahan, who directs the street medicine outreach, said an internal study showed decreased hospital days and emergency department visits following intervention: "we've demonstrated that there's been a decrease in days of hospitalization by 60 percent," she said, and described a case in which timely follow-up reportedly prevented a patient's death.

Opposition at the hearing was limited but included questions about funding sources and the organization's reliance on public dollars. Logan Foster, who identified himself as a resident, said the city had already provided more than $2.4 million to the organization and questioned the long‑term financial plan and the group's registration status. Foster urged council members to vote no.

Council members who spoke in favor repeatedly cited years of effort to find a viable site and emphasized the city's partnerships with non‑profits and funders. Council member McBride, who said she served on the city's homelessness working group, praised the staff and partners for the project and for coordinating transportation and services.

The council's action was a legislative rezoning and a land‑use variance; no contract award or construction authorization was included in tonight's vote. Future steps discussed by staff include final permitting, remediation or site preparation as needed, and the required development agreements and funding commitments that will accompany project design and construction.

Assistant Director Joe Molnar and petitioner representatives repeatedly characterized the project as the next step in a multi‑year housing‑first strategy recommended by the city’s 2017 working group on chronic homelessness.

The ordinance and variance now proceed as approved; council members said they expect ongoing coordination between the operator, city staff and neighborhood stakeholders during the design and permitting phases.