Title
Joint resolution authorizing the award of a management and staffing agreement to Health Dimensions Group (HDG) of Minneapolis, Minnesota for the operations of Winchester House.
Staff Summary
· In June 2011, the County Board approved an invitation to solicit bids from long-term nursing care providers for the management of Winchester House.
· The submitted bids (two) were reviewed by a panel consisting of representatives from the Winchester House Advisory Board, the County Administrator's Office, State's Attorney's Office, and the Finance and Administrative Services Department.
· During its review of the submitted bids, the panel focused on several criteria, including: quality factors; financial capability and plan; experience with operating, acquiring and/or transitioning county skilled nursing facilities; references; announced and unannounced tours of facilities; and, price.
· The review panel determined HDG to be the lowest responsive, responsible bidder and recommended awarding the agreement to HDG.
· The proposed agreement is for an initial term of two years with two optional one year renewals.
· The proposed agreement establishes a base management fee of $50,000 per month to HDG, as well as incentives and credits (to Lake County) that are tied to budgetary, regulatory and customer service performance.
· If approved, the County Board will retain ownership and oversight of the facility.
Body
WHEREAS, the Lake County Board established the Winchester House Advisory Board in 2007, made up of Lake County residents with extensive healthcare and financial expertise and two members of the County Board, to investigate and evaluate the financial feasibility of construction a new Winchester House facility, within the parameters of the 1982 referendum.
WHEREAS, the advisory board conducted extensive analysis of Winchester House's operations, finances, market position, and other factors and concluded that the existing financial model was not sustainable and a new Winchester House would not be able to operate within the approved property tax levy.
WHEREAS, the advisory board submitted a recommendation to the County Board to explore contracting with long-term nursing care operators to manage and staff to Winchester House.
WHEREAS, the Advisory Board recommended solicitation of bids from private firms to manage and staff Winchester House.
WHEREAS, in June 2011 the County Board County Board accepts the Advisory Board's recommendation and directs staff to prepare a solicitation for the management and staffing at Winchester House that also: preserves the mission of Winchester House and provides a safety net for the residents of Lake County; ensures that the high quality of care currently provided by Winchester House continues; and maintains County ownership and oversight of Winchester House through the Advisory Board and the County Board.
WHEREAS, the County received two bid responses.
WHEREAS, the submitted bids (two) were reviewed by a panel consisting of representatives from the Winchester House Advisory Board, the County Administrator's Office, State's Attorney's Office, and the Finance and Administrative Services Department.
WHEREAS, during its review of the submitted bids, the panel focused on several criteria, including: quality factors; financial capability and plan; experience with operating, acquiring and/or transitioning county skilled nursing facilities; references; announced and unannounced tours of facilities; and, price.
WHEREAS, following this extensive evaluation, the review panel determined HDG to be the lowest responsive, responsible bidder and recommended awarding the agreement to HDG.
WHEREAS, the proposed agreement, incorporated herein, is for an initial term of two years with two optional one year renewals.
WHEREAS, the proposed agreement establishes a base management fee of $50,000 per month to HDG, as well as incentives and credits (to Lake County) that are tied to budgetary, regulatory and customer service performance.
WHEREAS, if approved, the agreement shall not constitute a change in ownership.
WHEREAS, the County shall retain ownership and oversight of the facility.
WHEREAS, the County Board has determined that approving the agreement is in the best interest of the County and its residents.
NOW, THEREFORE, BE IT RESOLVED, by this County Board of Lake County, Illinois, that a contract be awarded to Health Dimensions Group for the management and staffing of Winchester House.
BE IT FURTHER RESOLVED, by this County Board of Lake County, Illinois, that the Chairman of the County Board be hereby authorized and directed to execute a management and staffing agreement between HDG and Lake County, Illinois in substantially the attached form, with such final revisions as may be necessary.
DATED at Waukegan, Illinois, on this 11th day of October, A.D., 2011.