County revises hospital sale to allow more time [Orland Press Register, Calif.] - Insurance News | InsuranceNewsNet

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November 16, 2011 Newswires
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County revises hospital sale to allow more time [Orland Press Register, Calif.]

Rick Longley, Orland Press Register, Calif.
By Rick Longley, Orland Press Register, Calif.

Nov. 15--Glenn County revised its sale offer Tuesday of the hospital property to Glenn Medical Center.

The $300,000 purchase price remains the same, but county officials extended the time period for funding the hospital's expansion and remodeling from six months to two years.

The financing extension comes at the request of Glenn Medical Center's negotiators who discussed the county's Nov. 1 proposal with Supervisors Steve Soeth and Mike Murray.

This slightly modified proposal was announced after a closed session, which followed the regular board meeting.

County officials said the modifications were being made so the "real property transaction can move toward closure."

Initially, the county wanted the medical center to obtain its expansion financing within six months of close of title.

If the funding was not found, the county would then be able to re-purchase the property on Sycamore Street in Willows for $100,000.

However, the new agreement allows for two years to complete the expansion plan, although Glenn County could still buy the parcel back for that amount if the remodeling money is not loaned in that time frame, officials said.

Other terms in the proposed sale remain the same.

The county still wants the hospital to be operated on a 24-hour basis, seven days a week and to provide acute, emergency care to county residents and visitors.

The Board of Supervisors also wants to provide its written permission before Glenn Medical Center sells or transfers title to the facility to another entity.

Glenn County also wants an agreement to provide medical care at GMC's cost to Glenn County Jail prisoners not covered by Medi-Cal or Medicare insurance.

The medical center also must obtain "adequate and satisfactory documentation" to Glenn County that it will be able to comply with the financing requirement, county officials said.

This new agreement dropped the proposed option of Glenn Medical Center leasing the facility for another 10 years.

County Counsel Huston Carlyle Jr. and Soeth both said Nov. 1 the county disclosed its offer to the public because of concerns from citizens about the hospital closing.

Soeth said a closure decision was not up to the county but the medical center since it is the operator.

However, he stressed county officials still want a modern and high-quality medical facility to be located in Glenn County.

Medical center administrators Woody Laughnan and William Casey have spoken to the board periodically about obtaining title to the property so the center could finance its expansion and remodeling.

No timetable was set for when the Glenn Medical Center's Board would take action on the proposal.

Contact Rick Longley at 934-6800 or [email protected].

___

(c)2011 the Orland Press Register (Willows, Calif.)

Visit the Orland Press Register (Willows, Calif.) at www.orland-press-register.com

Distributed by MCT Information Services

Source:  McClatchy-Tribune Information Services
Wordcount:  456

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