Sunnyview agreement finalized
Butler County is nearly out of the nursing home business.
The county commissioners on Monday set a vote for Wednesday on a sales agreement with Investment 360 of Lakewood, N.J., to buy the Sunnyview Nursing and Rehabilitation Center.
Details of that agreement, including a purchase price, are being kept under wraps until then.
A board majority of Commissioners Bill McCarrier and Dale Pinkerton support the sale of the 220-bed nursing home off Morton Avenue in Butler Township, so the transaction appears inevitable.
McCarrier, board chairman, said in an interview he was glad a deal could be reached before the April 1 goal not just for the county's sake, but for Sunnyview residents and workers.
“They're living in a state of uncertainty,” he said. “This will relieve all their uncertainties.”
Pinkerton agreed.
“I am very pleased they have moved as quickly as they have,” he said.
Language of the proposed agreement was finalized Monday morning.
McCarrier was the lead negotiator for the county, so the other two commissioners could not comment on the deal as they had not yet read all its provisions as of Monday afternoon.
Commissioner Jim Eckstein, who opposes a sale, was taken aback by the news of a deal being reached.
“I'm in shock,” Eckstein said in an interview. “It caught me by complete surprise.”
He said no reason would stop him from voting against the sale.
“Absolutely none,” Eckstein said.
While the sale price was not verified, McCarrier previously said the offer is significantly higher than the minimum $13.5 million required for proposals to buy Sunnyview.
Integra Realty Resources appraised Sunnyview's value at $17.5 million.
Although details of the sales agreement weren't divulged, county solicitor Mike English confirmed Investment 360 won't assume management of Sunnyview immediately upon a sale.
If the commissioners approve the sale, the county will continue operating Sunnyview until the closing date, which has not been set yet.
As of this morning, SEIU Healthcare, which represents roughly 200 union workers at Sunnyview, had no response to the pending vote.
McCarrier and Pinkerton pushed for the sale due to Sunnyview's annual deficit. The nursing home is projected to lose more than $1 million for 2014. The county would subsidize $838,452 of the total deficit.
Sunnyview's estimated loss for 2013 is $992,000. The final number for 2013 was unavailable.
After union workers last year rejected a concessions package that the county called a final offer, the commissioners opted to pursue a sale.
Eckstein maintains the county should have accepted the union's counteroffer, which the union claimed would have saved the county more than $1 million over two years.
“The problem should have been solved,” he said.
Investment 360 was one of eight companies that vied for Sunnyview. The county won't release the names of the other seven.
Although Eckstein opposes a sale, he is consoled by the fact that Investment 360 is the finalist.
“This was hands down the best group,” he said.
McCarrier said the county still has to work out some details before the closing, including utility rights of way.
The commissioners meeting starts at 10 a.m. Wednesday in the first floor meeting room of the government center on Diamond Street.
