Garrard hospital sale nearly finalized

March 12, 2004|BRENDA S. EDWARDS

LANCASTER - Garrard County took another step Thursday to close a deal to sell the hospital and the long-term care center.

Board members with the Garrard County Memorial Hospital and Garrard County Long Term Care Facility Inc. authorized hospital board Chairman Leonard W. Smith to execute all documents involved in the sale of hospital assets between the two agencies and Christian Care Center of Lancaster Inc., a Kingsport, Tenn.-based company.

This includes the sale of both buildings on Maple Avenue, the land and part of the equipment. The boards accepted the $2.5 million offer from Christian Care Center earlier.

"This is the final step in a long agony," said Smith, who has been on the board during the closing proceedings of the hospital facility, dealing with more than $4.5 million in outstanding debts.


"This will end one important phase we've worked long and hard to get to," he told the boards. "There is a lot involved in the closing, including working with accountants and the long-term care center people."

He said it will be the middle of next week before the money changes hands. A payment schedule has to be worked out first.

Although the hospital is history as far as the board is concerned, the board will remain until all the work is finished, including selling the rest of the medical equipment. He said most of it will be sold through a broker and will probably go to overseas facilities, where there is a good market. The remainder will be sold locally at auction.

The board was informed that problems with Medicare have been settled, and a half million dollar debt has been avoided.

Smith said the board has reached its goals - to close the facility in a business-like manner, and protect the county's interest.

Officials plan to have fewer meetings in the future and will report to Garrard Fiscal Court on their actions.

After the meeting, the hospital board held an executive session to discuss litigation and personnel. Smith said no action would be taken.

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