Lake County, IL
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File #: 19-1546    Version: 1 Name: Modification #3 to 14198 Lease of WH
Type: resolution Status: Passed
File created: 9/20/2019 In control: Health and Community Services Committee
On agenda: Final action: 10/8/2019
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.
Attachments: 1. 14198 Agreement Modification 3, 2. Winchester House Donation Fund Balance as of 7.25.19, 3. TCLC letter requesting use of donation fund

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.