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City pays $2 million to synagogue for discrimination
Accused of campaign to oust Jewish congregation from neighborhood

Avoiding a court battle at the last minute, a Florida city has agreed to pay a Jewish synagogue $2 million to settle a discrimination suit.

Chabad Lubavitch, an Orthodox Jewish synagogue, charged that the city of Hollywood showed bias when it rejected a special meeting permit while allowing other religious groups to conduct services in residential homes.

The synagogue is represented by the Florida-based public-interest group Liberty Counsel.

The settlement, which must be approved by a formal vote of the city, was reached the day both sides were to select a jury for a trial in federal court.

The agreement allows the synagogue to operate permanently from inside two homes in a Hollywood Hills residential neighborhood. The synagogue also is allowed to expand within a city block without a special permit.

The Chabad and the Department of Justice agreed, in exchange, to drop a discrimination lawsuit against the city and Commissioner Sal Oliveri, accused of leading a crusade to oust the synagogue.

The discrimination suit was filed in 2003 after the city pulled the Chabad's permit. The Chabad moved into two houses in 1999 and started remodeling one of the houses into a synagogue, which angered neighbors.

The Chabad received a permit from a zoning board, but it was revoked less than two months later by a 4-3 vote of city commissioners, who cited zoning issues.

Last week, U.S. District Court Judge Joan A. Lenard ruled that the codes governing the special permits for houses of worship were unconstitutional.

The pending agreement requires officials to rewrite the codes and to attend special classes on religious land-use laws.

Mathew D. Staver, founder and chairman of Liberty Counsel, argues the First Amendment and the Religious Land Use and Institutionalized Persons Act provide special protection for houses of worship against discriminatory zoning decisions.

"Public officials cannot use a zoning club to beat down religious organizations," he said. "This case makes that message loud and clear."