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beechtree_120The Legislature’s budget committee today recommended the Legislature take necessary actions that would ultimately enable ownership of Ithaca’s Beechtree Care Center (formerly the Reconstruction Home) to be transferred to the private company which has been operating the facility, under receivership, since September.

BTRNC, which operates Beechtree under receivership, is awaiting State approval to become the permanent operator.  An affiliated entity, 318 South Albany Street, LLC, has negotiated purchase of the facility with Housing and Urban Development-guaranteed financing for that purchase.

While the County does not own the non-profit nursing home, its necessary role in the transfer stems from an action taken by the County in 1983 that enabled the facility to secure tax-exempt financing otherwise reserved for public entities—an arrangement that required the County agreed to take title to the property when the financing was paid off.  As part of the transfer of ownership and refinancing, the original debts will be fully repaid and, because of that agreement, title will transfer to the County.

While it is the County’s interest to keep the nursing home open, County Administrator Joe Mareane stressed that the County does not want to own a nursing home (which based on other counties’ experience would be a tremendous drain on general funds) and that the public purpose can best be served by facilitating sale and operation to a competent operator.

The recommended approach would transfer title to the Tompkins County Development Corporation, on terms agreeable to both parties, for a sales price of $1, and the TCDC, subject to its standard procedures, would convey it to the new owners.

The budget committee took three separate actions, all approved without dissent (Legislator Leslyn McBean-Clairborne was excused), to forward the matter to the full Legislature.  The committee recommended scheduling a public hearing on the proposed transfer November 19, that it be determined that the action would carry no adverse environmental impact, and, subject to comment received at the hearing, that the transfer arrangement be approved.

There was some discussion by the committee about matters including labor provisions, but members agreed that the appropriate place to discuss such matters was before the full Legislature.  Legislator Kathy Luz Herrera said that her support at this point came with the understanding that there would be a full discussion at the Legislature level.

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