Title
Joint resolution approving Modification Number Three for Agreement Number 14198 for the lease and management agreement between the County of Lake, Illinois, and Transitional Care of Lake County, LLC, (TCLC), Rosemont, Illinois, in the amount of $175,000.
Staff Summary
• In 2015 Lake County and TCLC entered into an Operations Transfer Agreement and a Lease and Management Agreement (collectively, the “Agreements”) for the County’s skilled nursing facility known as Winchester House in the amount not to exceed $6,714,133.
• Two modifications in the amount of $926,000 have been made to the original agreement that provided for an extension of the original terms for incentive payments, forgiveness of the start-up capital loan tied to construction milestones, and establishment of an Operational Support Fund.
• Modification Number Three increases the amount of the agreement in a not to exceed amount of $175,000 to provide better beds and mattresses for the residents, once they have moved to the new facility.
• Modification Number Three shall be funded from the Winchester House Donation Fund, which contains money designated for improvements at the facility to better service the residents of Winchester House. Funds have been previously used to pay for both services that benefitted residents, as well as capital items that improved the resident experience at Winchester House.
• TCLC presented this proposal to the Winchester House Advisory Board (WHAB), which voted to approve the request at the WHAB’s meeting held on August 29, 2019.
• In accordance with Article 8, Section 101 (1) of the Lake County Purchasing Ordinance it is hereby requested that the County Board Chair be authorized to enter into Contract Modification Number Three; which increases the total cost of the agreement to $7,815,133.
Body
RESOLUTION
WHEREAS, Lake County continues to support the replacement of the current Winchester House operation with a new skilled nursing facility in Mundelein, Illinois, by acknowledging that approval of this contract modification will keep the County and TCM moving forward to the ultimate resolution that both parties seek, which is to transition Winchester House residents to a new and better facility while transitioning the County out of the nursing home business; and
WHEREAS, in 2015 Lake County and Transitional Care of Lake County, LLC, (TCLC) entered into an Operations Transfer Agreement and a Lease and Management Agreement (collectively, the “Agreements”) for the County’s skilled nursing facility known as Winchester House in the amount not to exceed $6,714,133: and
WHEREAS, two modifications in the amount of $926,000 have been made to the original agreement that provided for an extension of the original terms for incentive payments, forgiveness of the start-up capital loan tied to construction milestones, and establishment of an Operational Support Fund.
WHEREAS, TCLC requested a third modification to the agreement in a not to exceed amount of $175,000 to provide better beds and mattresses for the residents, once they have moved to the new facility; and
WHEREAS, Modification Number Three shall be funded from the Winchester House Donation Fund, which contains money designated for improvements at the facility to better service the residents of Winchester House. Funds have been previously used to pay for both services that benefitted residents, as well as capital items that improved the resident experience at Winchester House; and
WHEREAS, TCLC presented this proposal to the Winchester House Advisory Board (WHAB), which voted to approve the request at the WHAB’s meeting held on August 29, 2019; and
WHEREAS, In accordance with Article 8, Section 101 (1) of the Lake County Purchasing Ordinance it is hereby requested that the County Board Chair be authorized to enter into Contract Modification Number Three; which increases the total cost of the agreement to $7,815,133.
NOW, THEREFORE, BE IT RESOLVED, by this County Board of Lake County, Illinois, that the County Board Chair is hereby authorized to enter into a third contract modification with Transitional Care of lake County, LLC of Rosemont, IL which increases the amount of the agreement in a not to exceed amount of $175,000 to provide better beds and mattresses for the residents in the replacement facility for a total of $7,815,133 for the Lease and Replacement of Winchester House, and charged to the Winchester House Donation Fund.
DATED at Waukegan, Lake County, Illinois, on August October 8, 2019.