Nevada County Picayune and Gurdon Times Newspaper Archive

Lease May Be Answer For The Former Hospital Structure

By RICKY RAGSDALE

What to do with the county owned building which used to house the Nevada County Hospital was on the minds of a group which gathered last Tuesday, October 22, at the Nevada County Courthouse.

Meeting were JP Bill Virden, JP Gary Lewis (two of the three member Hospital committee), Prescott Mayor Howard Taylor, Economic Director Chandler Russ, city attorney Glenn Vasser, county attorney Danny Rodgers, county judge John William Barham and county judge elect James Roy Brown.

Lewis, who heads the hospital committee composed of Virden and JP Willie Wilson, told the group there were four options to consider for the structure.

Leasing the physical plant (with or without a small amount of equipment) or selling the plant with the property were the two to head the list.

The group considered several attorney general's opinions as well as other statutes of the law concerning a lease.

There are several requirements the county has to go through to lease the structure to a not for profit company, which can be avoided by leasing to a municipality such as the city of Prescott.

Laws for leasing by the city to other organizations are not as strict.

The group is considering a lease to the city, which in turn would lease to the Nevada County Industrial Economic Office headed by Russ.

Russ then would be able to lease the structure, under a proposed agreement, to either a not for profit group or a for profit group.

Russ said the county has two groups interested in a lease, as well as a real estate broker in Little Rock who may be interested in selling the property for a fee.

Russ said his office needed a lease "in hand" to entice prospects.

The group agreed nobody will make much money from a lease. It is a strong possibility a lease will be for upkeep and maintenance on the building only.

County officials have maintained unless the building is filled soon it will begin to deteriorate and soon be of no use to anybody.

The county will make its money from taxes paid by a locating company as well as the benefits of added payroll to county residents.

The city will make its money from water and electricity billings.

Selling the structure was studied by the group, though some are still wanting an opinion to see if the facility can be reappraised.

The structure is currently appraised around $700,000, which all agreed is an attractive price at about $11 a square foot.

The age of the structure, some of which is 30-years-old while other parts are just over 20-years-old, is a drawback.

The group agreed to pay a finder's fee to the Little Rock real estate broker if he can produce someone who will buy the structure according to state law.

The law says the building can be sold at auction for 75% of the appraised value.

It was also decided Judge Barham should declare a surplus on the medical equipment and sell it as soon as possible.

Officials noted medical equipment depreciates fast and prices fall fast due to the advances in the new medical equipment.

The beds, televisions, desks and office equipment would be left intact at this time.

The county has the right to use the desks and office equipment in its offices where it deems necessary.

The beds and televisions would be used as an additional enticement to someone wanting to lease the structure.

If necessary, the remaining items could be declared surplus at a later date and sold then.

It was generally accepted by the group a hospital or emergency unit will never be able to be put into the structure again.

This group decided to meet again on Tuesday, November 12, the date following the regular scheduled quorum court meeting.