The proposed Mosque near Ground Zero is none of the public's business. It is my understanding that this is private property. No government official should try to find some technicality or de facto means to prevent the house of worship from being built.
The outcry over this is a warning to all of us who support vouchers and other funding that may have religous uses that we need to respect all legitimate faiths and not promote or prohibit the free expression as a government.
It would be a testament to the fact that we are war against religious extremists and not a religion itself.