HOLYOKE - The City Council Tuesday night approved a $390,000 appropriation for schematic design and project management costs for the proposed two new middle schools.
The Peck School site will receive a bulk of the outlay, around $370,000, with the remainder for the second project at Cabot and Chestnut Streets.
The School Building Committee oversees the projects, which fall under the purview of the Massachusetts School Building Authority. Members of the committee attended Tuesday's session.
School Committee member Dennis W. Birks Jr. asked the council to approve the expenditure. Over a year ago, the council set aside $800,000 for schematic designs.
Councilor Joseph M. McGiverin said the $390,000 allows the projects to move forward. The MSBA will reimburse the city 80 percent of the $390,000.
He said two middle schools "make sense" for Holyoke, with savings realized through two future school closings.
McGiverin said interest on 20- and 30-year bonds remains at historical lows. But he was not pleased with the MSBA's current reimbursement formula, especially for Gateway cities like Holyoke.
The current per-square-footage costs for both buildings reduce the city's reimbursement to 60 percent or less.
McGiverin blamed a lack of understanding from Beacon Hill on how the MSBA's formulation affects low-income communities.
Ward 3 Councilor David K. Bartley said an expanse of the Chestnut Street site is owned by the Roman Catholic Diocese of Springfield. He wanted clarification on how and when the city would gain site control.
While Bartley supported the outlay, he remained skeptical about entering negotiations with diocese citing the city's failed attempt on the former Mater Dolorosa Church sale.
Mayoral Chief of Staff Rory Casey said the diocese placed a "private price tag" of $140,000 on the property. An appraisal was forthcoming, and he said the Holyoke Housing Authority owns several smaller parcels in and around the site.
He said the diocese had no interest in using the parcel for religious purposes.
Any matters pertaining to a purchase must go before the council, Casey said. Eminent domain remains an option.
Mark Dupont, a diocese spokesman, said the diocese and the city discussed a sale in the past year but not recently.