The $6 million the town of Smithfield returned to former Smithfield Foods Chairman and philanthropist Joseph Luter III in late November earned $138,000 in interest during the six months it sat in the town’s bank account, according to Town Treasurer Laura Ross.

Mayor Steve Bowman is proposing to use that money to forgive the debt the Smithfield Recreation Association owes as its share of the $4 million Joseph Luter Jr. Sports Complex the town completed in 2018, which is named for Luter III’s father.

The SRA, which runs baseball and softball programs for children ages 5-16, owns the 55-year-old, 6.3-acre Beale Park at the corner of Moonfield and Barcroft drives. It had planned to sell Beale for $300,000 in 2018 to meet its financial obligation toward the construction of the larger Luter complex, but after receiving pushback from its membership, renegotiated with the town to make the $300,000 payment in annual installments over 10 years instead.

Over the past six years, the SRA has made $30,000 annual installment payments, leaving $120,000 still owed by 2028.

“I’ve talked to a couple members of SRA,” Bowman said at the Town Council’s Dec. 3 committee meetings. “Both my children played there and had the benefit of the SRA. I just feel very strongly that the interest that we accrued off the contribution that we had comes very close to matching the outstanding debt.”

The SRA has been working to pay off its debt by hosting annual golf tournaments at the Cypress Creek Golfers Club and other fundraisers. The SRA also pays a fixed $25,000 per year, in addition to its debt payments, to rent the Luter Sports Complex.

“While we’ve made strides, the town’s remaining debt of $120,000 still poses a significant barrier to progress,” Rachael Klopfer, a member of the Save Beale Park Committee that organizes the fundraisers, told The Smithfield Times. “Forgiving this debt would allow us to redirect funds toward much-needed improvements that will benefit our growing community.”

These improvements include expanding and upgrading field space to allow more children to participate and investing in long-term maintenance, Klopfer said.

Parks and Recreation Director Amy Novak said that while she had opposed the SRA’s plan to keep Beale in 2018, she now acknowledges keeping Beale while also using Luter has allowed the SRA to grow its athletic programs to the point where “they’re getting ready to hit a threshold where they can’t accept any more kids.”

“Currently every team is at full capacity and on many weeks, there simply aren’t enough fields for everyone to practice,” Klopfer said. “This not only limits opportunities for our children but also hinders our ability to accommodate the increasing demand for softball and baseball programs.”

“By relieving their debt, they could put that money back into Beale Park, which it really needs,” Novak said.

“Beale Park is more than just a ballpark; it’s a place where friendships are formed, teamwork is learned, and memories are made,” Klopfer said. “By continuing our fundraising efforts and advocating for financial relief, we aim to preserve and enhance this vital space for future generations.”

The park is named for Carl Beale, who gave large land donations to the SRA, Smithfield Baptist Church and the Riverside Healthy Living Community.

Bowman’s proposal has the support of at least one additional council member.

“Those folks, they take the shovel and rake out there and for years and years and years have done a tremendous amount just to stay even and now that they’ve recovered Beale, anything that we can do to take that (debt) off of them, I would be in favor of,” said Councilman Bill Harris.

Luter III had offered the $6 million in May, conditioned on the town matching the amount dollar for dollar and moving its farmers market to the Grange at 10Main mixed-use subdivision his son, Joseph Luter IV, is developing at the western edge of Smithfield’s historic district. Bowman, who facilitated the transfer of funds during a May visit with Luter III at Luter’s Palm Beach, Florida home, said the money was originally intended to fund a brick wall and brick paver sidewalks in town-owned right-of-way fronting the 267-home Grange. But the Town Council never formally voted to accept the money.

Luter IV, in a Nov. 26 letter to the town, asked that the money be returned to his family to fund the first phase of the Grange, which would include the roadwork and parking to support a brick structure and outdoor lawn that per the latest plans would include 48 covered market vendor stalls, a two-story restaurant, public bathrooms and up to six rental retail spaces. His letter states his holding company, LSMP, has “no interest in moving forward on this project without the support of the Town Council,” which since November’s elections now has three new members.

Former Town Councilman Randy Pack chose not to run in the 2024 race for four available seats that saw incumbent Mike Smith reelected and three newcomers – Mary Ellen Bebermeyer, Darren Cutler and Harris – defeat incumbents Jim Collins and Raynard Gibbs.