City Council Meeting Date: December 12, 2017
To: Mayor and City Council
From: Ben Martig, City Administrator
Chris Heineman, Community Development Director
Title
Consider approval of First Amendment of Ground Lease Declaration of Restrictions and Release of Parcels.
Body
Action Requested:
The Northfield City Council considers approval of proposed First Amendment of Ground Lease Declaration of Restrictions and Release of Parcels.
Summary Report:
The Northfield Hospital & Clinics (NH+C) has provided traditional nursing home services to the community since 1963. While the options for senior care services has expanded significantly during these years, the range of options has not expanded within the NH+C system. While the nursing home located on the Northfield Hospital campus is a preferred facility, annual losses have averaged from $750,000 - $1,000,000 and the current model is not sustainable.
In 2015, NH+C began to evaluate alternatives for providing senior care services, including potential partnerships with other service care providers. A feasibility study was conducted in June of 2017 that indicated a new model of services would reduce the cost of care to seniors and would not be as susceptible to changes in government payment systems. A partnership would also reduce the risk to the NH+C if they were to offer a range of services alone.
In July of 2017, the NH+C Board of Directors took action to maintain the current Long Term Care Center and work with other partners to provide independent, assisted living, and memory care services. A facility with assisted living and memory care is being pursued which will be constructed next to the hospital campus in partnership with Yanik Companies (owner/developer). The first phase of the proposed campus will offer up to 95 independent living, assisted living, and memory units, with services provided by Benedictine Health Systems. There would be ability for an additional expansion to the north of a similar ...
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