Title
Joint resolution reducing the County Diamond/Sylvan Lake sewer connection fee from $9,110 to $4,555 per residential customer equivalent (RCE) for the Transitional Care of Lake County (TCLC), also known as Transitional Care of Mundelein, facility.
Staff Summary
• TCLC is proposing to construct a 185-unit skilled nursing facility in Mundelein, Illinois, which will replace the current Winchester House operation.
• The new TCLC Mundelein facility will be located within Lake County’s Diamond/Sylvan Lake sewer service area, which due to its residential area, has a connection fee rate of $9,110 per residential customer equivalent (RCE).
• As the County Board knows, Winchester House is a Medicaid facility with very low margins and it is expected that the replacement facility in Mundelein will also have a significant number of Medicaid clients.
• Based on a fee reduction request and a desire to support the replacement of the Winchester House operation, it is proposed that the sewer connection fee rate for the TCLC facility be lowered from $9,110 to $4,555 per RCE, a 50 percent reduction.
• This resolution reduces the Lake County sewer connection fee, to be imposed upon the TCLC Winchester House replacement facility, from $9,110 to $4,555 per RCE.
• The proposed sewer connection fee reduction, if approved, will result in an approximate sanitary sewer connection fee of $417,182.50.
Body
R E S O L U T I O N
WHEREAS, pursuant to Chapter 51.23 (Connection Fees) of the Lake County Code of Ordinances, the Diamond/Sylvan Lake service area sewer connection fee is set at $9,110 per residential customer equivalent (RCE); and
WHEREAS, Transitional Care Management (TCM) and Transitional Care of Lake County (TCLC) representative Brad Haber submitted a sewer connection fee reduction request to Lake County Administrator Burton; and
WHEREAS, TCM, also known as TCLC and Transitional Care of Mundelein, has a contract to purchase property in Mundelein to construct a new replacement for the Winchester House skilled nursing facility; and
WHEREAS, TCLC has been identified as the preferred option for constructing a new skilled nursing facility and ensuring high quality care for residents of Lake County; and
WHEREAS, the proposed TCLC facility is located in the County’s Diamond/Sylvan Lake service area and due to its residential area has a connection fee in the amount of $9,110 per residential customer equivalent; and
WHEREAS, TCM and TCLC have encountered a financial hardship (or barrier) which is prohibiting their capability to construct the new skilled nursing Winchester House replacement facility in Mundelein; and
WHEREAS, the high connection fee has placed the TCLC facility at an economic disadvantage versus other similar facilities recently constructed within Lake County sewer service areas; and
WHEREAS, based on the County’s desire to support the replacement of the Winchester House facility by establishing a more equitable connection fee for TCLC; one which more closely aligns with the fee charged for recently constructed/similar use facilities in Lake County.
NOW, THEREFORE, BE IT RESOLVED, by this County Board of Lake County, Illinois, that the County sewer connection fee, to be imposed upon the Transitional Care of Lake County facility, in Mundelein, is hereby reduced from $9,110 to $4,555 per residential customer equivalent, resulting in a sanitary sewer connection fee of approximately $417,182.50.
DATED at WAUKEGAN, LAKE COUNTY, ILLINOIS, on this 17th day of January, A.D., 2017.