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Sunnyview panel asked to expand its scope
Thursday, December 24, 2009

A volunteer panel commissioned to make a recommendation on the future of Butler County's Sunnyview Home has been asked to take a broader look the facility.

The report from the committee, headed by former Allegheny County Chief Executive Jim Roddey, was given to county commissioners on Dec. 7. Mr. Roddey has publicly supported the privatization of Allegheny County's Kane nursing homes.

The report contained a recommendation, acknowledged Chief Clerk Bill O'Donnell, but he refused to disclose it at the commissioners' regular meeting Dec. 9. The report was, however, shared with Sunnyview management.

Nursing home chief administrator Sue Murray, following the lead of county commissioners, would not divulge the report's recommendation but commented that she is "very pleased" the county commissioners have asked the panel to expand the scope of its analysis.

What Mr. O'Donnell described as a "draft" report from the panel is to be finalized and presented at the commissioners Jan. 20 meeting at 10 a.m. in the county government center in downtown Butler.

The primary input analyzed by the volunteer committee was a financial report from a Pittsburgh accounting firm that determined the sale of Sunnyview could bring the county $7 million to $12 million.

Missing from the valuation, however, is that the county is liable to repay most of a $6 million state grant that was used to renovate the nursing home if the home were to be sold. As of Jan. 1, the county would have to pay back $4.5 million of the grant, with the amount decreasing incrementally for five years from the completion of the renovation.

Ms. Murray said she believes the nursing home should remain in county ownership under the existing management.

Though Sunnyview has posted deficits for several years, she said, the amount of the deficit is shrinking. "We need to give the renovation project a chance to work," she said, noting that occupancy is at 97 percent.

She said the facility, which she has managed for five years, lost money partly due to ongoing renovation work, which required taking out of commission some of the nursing home's 220 beds. "We were under construction from July 2006 to July 2008. That had an impact on our occupancy," she said.

Mr. O'Donnell conceded that the commissioners had expected to contribute $1 million toward the facility's operations in 2009 but, as the year comes to a close, it appears that the county's contribution will be closer to $600,000. About $500,000 has been budgeted in the 2010 general operating budget as the county's contribution. In 2008, the facility lost about $1 million and about $1.1 million in 2007.

Ms. Murray believes Sunnyview is headed toward solvency, thanks to the addition of an Alzheimer's unit, a rehabilitation unit and more private rooms.

A budget review committee suggested to commissioners more than a year ago to evaluate whether Sunnyview should be sold or its management structure privatized.

About 229 employees work at the home.

About a dozen people supporting the status quo for Sunnyview attended the commissioners' public meeting last week, including employees, residents and families of residents.

Kathryn Mary Kirkwood, president of the resident council, questioned whether commissioners were considering the sale of the home to help reduce the debt of the county's new prison. She asked commissioners to reject any recommendation that would entail privatization, for the sake of the residents, who enjoy the facility as it is. As for the home requiring a subsidy from the county to operate, Ms. Kirkwood noted, "It wasn't created as a money-making endeavor. It was created for the old people. It should be kept."

Karen Kane can be reached at kkane@post-gazette.com or at 724-772-9180.
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First published on December 24, 2009 at 5:33 am