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Tuesday, August 03, 2010

Stoffa Proposes Lease or Sale of Gracedale

It has often been called the "crown jewel" of Northampton County because of the quality care provided to its residents, but there's little doubt that Gracedale Nursing home is also a money pit. In 2009, County taxpayers were forced to fund an operating loss of $4.6 million. That figure has climbed to $7.8 million this year, with another $6.3 million projected in 2011.

During last year's budget hearings, Council members Mike Dowd and Ron Angle recommended an independent study of the County's aging nursing home. In April, County Executive John Stoffa commissioned Complete HealthCare Resources, at a cost of $18,000, to evaluate numerous options that extended from scaling back operations, closing, replacements, new management, outright sale or lease.

At a crowded August 2 news conference that extended from Council members to rank and file nursing home workers, a somber Stoffa released HealthCare's Gracedale Study. This is also available to the public at the county's web page. The fate of 611 full-time and 150 part-time County employees is at stake. So is the continued health care of 650 nursing home residents. Stoffa, often criticized for being slow and indecisive, flatly stated it's time for the County to get out of the nursing home business. In a move certain to be unpopular in many quarters, the second-term Exec is proposing that Gracedale be leased or sold, and soon.

"I know not everybody's going to be happy with the results of this study," he said in what is surely an understatement. "But basically, this year, the County is facing a $10 million deficit in the budget, and cutting staff - to me - is not the way we can balance this budget, especially if there's no tax increase."

According to Stoffa, it's impossible to make up a $10 million deficit simply by cutting staff. He claims the County saves $1 million for every 20 positions eliminated. The County has already reduced its workforce by nearly 100 through attrition, and "we're hurting."

Stoffa's first choice would be a lease. "We have an obligation to Gracedale. We have a lot of property up there. We have patients up there. I'd like to make sure they're taken care of and that as many employees as we can are taken care of. I think when you sell you have less of that control. When you lease, you can exert some influence over what happens."

If the County leases Gracedale, Stoffa predicts next year's anticipated tax increase "just about goes away." That's because the County would avoid a $6.3 million contribution to the facility, and would actually realize another $2.5 million in lease payments. But the Exec cautioned, "It's something we have to get on right now."

Instead of selling or leasing, why not just scale back and operate with a smaller facility? According to the Study, there are "certain fixed costs that cannot be reduced." Stoffa adds that this would reduce bedcount. Gracedale currently has 725 licensed beds, a valuable commodity because the Department of Health is reluctant to issue licenses.

Why not just close the facility and be done with it? According to HealthCare's Report, there is an insufficient "supply of unoccupied beds in the remaining Northampton County based skilled nursing facilities to accommodate the discharge of 600+ residents from Gracedale and admission to other facilities." Gracedale has about 30% of Northampton County's 2200 nursing home beds.

So how about a management firm or a consultant? Will that help? The Gracedale Study says No. "In the past, Gracedale has engaged various consultants on a piece-meal basis. While Gracedale has achieved good survey and clinical results, the use of consultants has not resulted in proven measurable results ... ."

In the meantime, the County would still be shackled by an increasingly expensive benefits package. "What's killing us at Gracedale is the cost of the benefits," noted Stoffa. "They're almost sixty per cent of salary right now, and I believe in this industry it's somewhere around 38%."

An illustration of the increasing cost of benefits is provided by HealthCare's analysis of pension costs. "In 2008, pension expense for Gracedale was approximately $192,000; for 2009, the pension expense was approximately $2,073,000. Based upon the April 2010 year-to-date financials, the annualized amount for 2010 is in excess of $4 million."

That's a lot of bed pans.

Instead of leasing the property, why not just sell it? That's the direction in which Council President Ron Angle is headed. Stoffa concedes that an outright sale of Gracedale, along with about 25 acres, would bring in $31 million. In addition, the property would go on the tax rolls. Nazareth School District would get a annual windfall of $358, 000. Upper Nazareth Township would realize $24,000 in annual real estate taxes, and the County would rake in $82,000.

Whether it's a lease or a sale, Stoffa would insist that the County's Gracedale workforce be hired.

Council member John Cusick asked, "What guarantee is there for low income folks who can't afford a private nursing home?" Stoffa assured Cusick he would negotiate to ensure continued care. Council member Bruce Gilbert added, "We're going to put the residents first."

Council member Tom Dietrich suggested a review at the next Council meeting, followed by another hearing at his Human Services Committee, then yet another at Angle's Finance Committee, followed by yet another Council meeting. But Council President Ron Angle has a different idea. "I think we'll resolve it Thursday night [April 5]. ... I don't want to go beyond Thursday. Time is of the essence."

Angle claimed he had learned two things. "Number one, the taxpayers of Northampton County can no longer afford Gracedale. Second, make sure that whatever we do insures a high level of care for everybody who's at Gracedale." He added, "If we stay here long enough Thursday night [April 5], we may come back with a decision to give back to the Executive. This has got to be fast tracked. It's gotta' be done."

When a Gracedale staffer suggested letting the the voters decide in a referendum, Angle insisted the question is a matter for Council. "We owe it to the taxpayers of this County not to give them a 20% tax increase in this kind of economy," he stated.

Director of Human Services Ross Marus reminded everyone that "even in this transition, Gracedale is open for business." That may be, but it appears Gracedale will soon be under new management.

Want more information? Check out The Express Times and Morning Call.

77 comments:

Anonymous said...

This is truly sad news. I take some exception to the study saying hiring a private company to run it would not work. That is a opinion based on a faulty premise. The reason results of past consultants was piecemeal is because the application of past consultants recommendations were implemented piecemeal. With no support from existing Gracedale management.

The latest example is the Zimmet Group brought in by a Democratic Executive and Republican Council working together. The "powers" out a Gracedale hated anyone telling them how to do things and balked at every change. They lobbied as they always have to dump the consultants and When Mr. Stoffa was elected they were dumped. The Gracedale managers promptly stopped the reforms and things went back to their mediocre sameness. However, a true management company that is contracted to run and manage the facility has never been tried. Dump the current inbred management and let a company run it for the County.

The problem is that the real agenda that is political. The Gracedale fate was sealed five years ago. Now Mr. Stoffa and Angle have the votes they need on Council to put the knife in the heart of 700 elderly ill residents.

The idea that by leasing or selling you have any say in what happens to residents or staff is complete nonsense. Yet people have been willing to buy this nonsense before. If it gives a false sense of caring, I guess it will become the truth as unrealistic as it really is.

Anything more than a private management company running it for the County is the same as dumping the resident sand staff in the hands of a profiteer and there are no conditions that anyone can force on them. At least Angle is more honest about this than Stoffa or some Council members. Sale or lease and the residents are on their own. Please don't insult peoples intelligence by inferring anything else.

The most difficult decision in the history of the County. Makes you wonder if the timing of "do it now" to get the benefit wasn't planned. Nothing this important should be rushed. But it will be and that is part of the sad shameful reality of this con.

The Cardinal

Anonymous said...

I voted for Angle over the years because I thought the things he said and did were funny. I made an error, please forgive me. This man has worn out his welcome on the concil he needsto be voted out. Hehas had his sights set on selling Gracedale for sometime. What happens when we hit another buget crisis he has said we aren't in the parks business too. < Hiswords not mine. Time to retire him to one of his pastures.

Bernie O'Hare said...

We really should get rid of a lot of the smaller parks all over the place if we can convince townships or the state to take them over. We can't afford them. For example, we have a park along the Delaware Canal right at the Bucks County border. That should be part of the National Park Service, not a County Park.

Also, bringing in new management at Gracedale is no answer. As explained in the post, the personnel costs are killing the County, and that will not change even if there is new management that could create some efficiencies.

Anonymous said...

The quality of a society is how well it takes care of its old and infirm. This sadly shows what America is really about...when the going gets tough, you are on your own. My prayers to the residents. May they retain dignity and be cared for in their advancing years.

Anonymous said...

What the County leaders are saying is we can't manage what other leaders have managed before so lets sell our sick old people.

What the Hell is wrong with these people. This will be remembered as the darkest day in County history.

Since the county has dug an incompetent hole for itself it is now going to dump the Nursing Home because the County is incapable of making it work. Collect your 30 pieces of silver Mr. Angle. that is your history and a trail of dispossessed seniors has always been your legacy.

I am glad these clowns are not in a management position in my firm. What a group of clowns.

Frank

Anonymous said...

To think i voted for this guy ... god forgivr me .

Anonymous said...

2 points fo soffa and angle

benefits 60% - greedy union non-workers

get rid of this white elephant and the union pukes it harbors

LVCI said...

"..realize another $2.5 million in lease payments"

Don't spend it too quickly. Won't the county still responsible for all the retirees?

If this be so.. whether they sell, lease or even shutter it will not make those currently receiving pension benefits disappear from the budget for years and years.

LVCI said...

While I can see the argument for a county to get out of the nursing home business there arises the question.

How come after 40 or 50 years that this home has been in existence has become a 'white elephant'?

The political that walk amongst us truly believe the private sector is always better at managing things. Now isn't that a sad commentary on political money management? A company is expected to make a profit and still do it cheaper. So the question becomes why can't the government (who wouldn't be making a profit) maintain it more efficiently then any private company could?

This 'white elephant' just became a '800lb gorilla'. It's quite obvious, via the Gracedale example, that government leaders are not capable of managing taxpayers' money wisely.

Following this logic.. shouldn't we just privatize all county government operations as well?

Since the court system has become costly too.. Why not find a TV producer and have Judge Judy or Judge Joe Brown try Northampton's criminals on TV. Then they could send checks to the county too. Hell, talk about transparency!

Same goes for the parks.. maybe Snookie could film in the parks.. call the show "The Northampton Nature Nymphs". Hell why not create a network and get the county's own sponsors to send checks too! Air the program on NTV (Northampton TV).

The network could further acquire sponsorship and broadcast programs of the meetings too. Now that would be some character driven reality based TV drama right there. :-)

Anonymous said...

the more i think about this, the more outraged i become, there isn't anyone who would complain about the quality of care these residents recieve . why aren't the powers that be looking at ways to save this " jewel of the county "? it apparently is worth the effort .. john stoffa himself is quoated as saying he gets 1 or 2 calls a week from intersted parties in gracedale ... what does that tell you ? it's worthless? i'm sure if they took a good look at the problem this isn't the only viable solution . save gracedale !!! it's worth keeping !!

Bernie O'Hare said...

"The Cardinal" = "Frank" = 3 AM Troll

Bernie O'Hare said...

"How come after 40 or 50 years that this home has been in existence has become a 'white elephant'?"

The reason it has become a white elephant or, more accurately, a money pit, is that employee costs have risen, medicare reimbursements have not, and there has been an explosion of nursing homes. At one time, the County nursing hme was a safety net, especially for the poor. But now, even the poorest of the poor can be accomodated in many nursing homes.

Times have changed and many counties are getting out of the nursing home business. Carbon County sjust did so and cut adeal under which every one of its employees was kept. All but one group kept the same salary.

The County could still own Gracedale and it could make some money for the County, but emoployee benefits would have to be reduced. if you asked them to agree to that, they would say no. So it's time to get lease or sell this place so long as we can find an outfit that delivers the same quality of care and is willing to hire the County staff.

Bernie O'Hare said...

"The quality of a society is how well it takes care of its old and infirm."

Agreed. And the County will make sure that its aged and infirm receive the same or better quality of care.

Bernie O'Hare said...

"To think i voted for this guy"

His obligation is to do what he thinks is best for the taxpayers of the County, not to pander votes.

Bernie O'Hare said...

"what does that tell you ? it's worthless?"

No, it's worth $31 million, but the County is unable to operate it efficiently and spend as much money as it does on the people who work there.

Bernie O'Hare said...

"Following this logic.. shouldn't we just privatize all county government operations as well?"

No. But as I explained the nursing hoe industry haschanged over the past 20 or so years. We have a declining census and increased costs We cannot compte wioth the private nursing hom,es in this area, nor should we. That is not our job, and many counties have reached that conclusion. Read the report.

Anonymous said...

according to the express times poll ... 79.5 percent of the taxpayers WANT IT to stay operating by the county ! the Taxpayers have spoken !

Bernie O'Hare said...

If those online polls had any validity, Ron Paul would be president. They don't.

I am sure that most people are compassionate and disappointed to hear the County is considering selling or leasing Gracedale. So are all of us. But there is no logical reason to hold onto a money pit when the same services can be provided more efficiently in the private sector. You have to be sensible and remember that we can't just keep flushing money down the toilet, especially in the middle of a recession.

Bernie O'Hare said...

Interestingly, the ET public is three times more interested in a suspicious Wilson Borough fire than in the sale or lease of Gracedale. That story has generated 19 comments to Gracedale's 6.

Anonymous said...

Gracedale should be saved if it means raising taxes then so be it ..... it's a terrible decesion find another way . save gracedale !

Anonymous said...

it's a shame to have so many brillant minds at the county , but they can't figure out how to save it.it's the easy way out to just sell it !

Anonymous said...

it's the votes that count ~

Anonymous said...

Keep the facility in county hands and fix the benefits problem. Tell the Union that the choice is accept a retirement conversion or risk losing your job. I am referring to the defined benefit plan, which will kill the county and its tax payers. Convert to a 401-K or to a defined contribution plan. Take tax payers out of this equasion and you will solve the problem.

Defined benefit plans are pyramid schemes. Businesses have recognized that promising legacies is foolish.

VOR

Anonymous said...

Unions won't back down - even to the point of their elimination. Gracedale should never have been gotten in to. It's romantic notions like Wayne Grube's "nice" one about Gracedale that sentence the county to financial disasters like this one. It's been inefficient in its operation and patient care for decades. Nobody will be thrown to the street. Most will receive better care than they currently get.

Anonymous said...

Everything else aside, when you have a private concern taking over the care will go to hell. These idiots like 1:10 who say that they will get better care obviously never had a family member in a nursing care facility. That is just a joke..Where do you think the best worlers go? To the facilities that have the worst pay and benefits//Give me a break..When you have a private concern running the facility do you really think they care about patient complaints..At least at a public facility you have some layer of authority to complain to..Will it save the County money to dump it? certainly..Will the care be as good as Gracedale's care..very doubtful..

Anonymous said...

This is a classic Republican way of doing things..Dump the old folks
onto the street and save the money.
Money first screw the ethics..Drill baby, drill!

Anonymous said...

"The quality of a society is how well it takes care of its old and infirm."

I don't think poor care for old and infirm is an indictment of society - it's an indictment of families. Who abandoned these people in the first place?

Anonymous said...

we took care of my grandmother till we were unable to and she recieved wonderful care the time she was there not even one bed sore ! can't say the same for the hospital she was in.

Anonymous said...

SHAME, SHAME , SHAME, SHAME ON JOHN STOFFA AND RON ANGLE !

Anonymous said...

WEll once again parks was out cutting the grass its every week the joke is it was dirt the dust was blowing around real good its a shame the waste is here do me a favor get rid of parks and save money .........

Anonymous said...

The best solution for caring for our elderly is to warehouse them in government run facilities like Gracedale, that are constantly teetering on collapse. With the constant threat of budget and staff cuts, places like this have terrific morale and offer optimal care! Everybody knows the best place to get an efficient and effective solution is through government. Just look at the VA! Everybody loves the VA! Anybody opposed to saving Gracedale hates old people and would prefer them torured before being executed, slowly. The only solution for elderly care is government care. Save Gracedale no matter what the cost! Make bloggers pay for it!

Sincerely,

Loyal NorCo Democrat (voted seven times for Jerry Seyfried in a single election!)

Bernie O'Hare said...

"This is a classic Republican way of doing things"

The person who has proposed doing this, John Stoffa, is a Democrat. He comes from Human Services and cares about thise who are unable to care for themselves. Whether Gracedale is sold or leased, he will insure that (1) there is still high quality care; (2) there is still a safety net for the poor; and (3) gracedale workers will be offered employment.

The nursing home is already losing residents to private nursing hmes and the County is simply unable to finance the increasing costs associated with this facility.

I've heard lots of complaints about Stoffa and Angle but have not heard a single solution to next year's 20% tax hike, except for this.

Anonymous said...

Everything has to be to the extreme. Run it as inefficiently and cost-prohibitively as possible, or dump it.

I agree with VOR and others. I am very saddened by the fact that we elect people and pay them to do a job, and all they can do is punt.

Now that the course appears to be set, keep an eye on who gets the deal, and their connections to the company recommending the sale.

Anonymous said...

Let's plug up the BP oil leak with old people tossed out of Gracedale!

Give me a BREAK you Gracedale accolytes. Under private ownership Gracedale will flourish and provide equal or better care for the residents there. This union-led hysteria is not in the best interests of seniors, either those on fixed incomes burdened by taxes or those needing skilled nursing care.

SELL OR LEASE GRACEDALE NOW!

Anonymous said...

So much for Mr Angle's demand to sell Gracedale. He only cares about this sale, so that the taxes on his properties do not increase-forget the County employees and his Uncle that is a Gracedale patient and getting excellent care. Money! Angle's whole existance revolves around money. He wants his father's will changed. He wants to hold two elected positions, etc. Can't anyone see him for what he is??? Don't let hom destroy the County Nursing Home just to save his almighty Dollar!!

Anonymous said...

The shame is that Bernie loves Stoffa and Angle so much no other ideas or thoughts are considered. Or anyone saying anything off script is attacked.

I don't care if Frank, the Cardinal, 3am or anyone else are trolls or the same troll. If they make sense they make sense.

Fact is since this County and Facility have been so mismanaged, why should anyone believe this is the only solution. Wow, the study said exactly what Angle and Stoffa wanted.

If the County hadn't given over half the casino money to Lehigh County and Allentown, and directed table game money to Easton we would have money.

It is really sad that no Administration up to mow had to resort to selling the Nursing Home. So what will Stoffa do next year privatize Children and Youth. Never-mind, he tried that already in Lehigh County and the State stopped him..
Enough with the protectionist bullshit Bernie.

This is a bullshit decision made for bullshit reasons.

The deal is Angle can now run for Executive bragging he brought in 30million dollars and cut the County workforce by 40%, that's what this is about.

Once this is leased or sold, neither Stoffa or Angle can guarantee anything other than your parents will live in a urine smelling home employing drifters for $8 an hour like they do in Mental Health.

Good job Mr. Human Services. The irony of that is not lost on anyone who ever worked for or with John Stoffa.

Bernie O'Hare said...

This comment is from the 3 AM troll, agreeing with himself.

This comment is almost entirely bullshit. For example the claim that the county just gave its casno money away is completely inaccurate, and purposely so. The state senate makes that decision, and there were numerous news acconts detailing what happened.

The notion that the County loses control, in ether a sale or lease, is complete and utter horseshit. As a matter of contract, the County can insist that the new operator mantain a certainquality of care and agree to admit residents that are currenty allowed. A reversionary clause could prevent any mischief.

The idea that Angle is using this to get votes is laughable. This will cost him votes. But it's the right thing to do.

You'll notice that no attempt is made to provide any solution to the $10 million budget hole being faced by the County.

Anonymous said...

Exactly. The bluster is from supporters of unions who have bankrupted Gracedale.

Anonymous said...

the only reason to not raise taxes is for politics it makes more sense to raise taxes and save jobs period . if taxes are raised we will all survive. there is not any way you can garentee saving there jobs etc... after it's sold then what ? taxes will never be raised again? this purely poltics at work again. nice for stoffa who gets 2 pensions and we all know angle doesn't need anything but to be headline news .

Anonymous said...

is mr atyieh one of the prospective buyers ?

Anonymous said...

eliminate the unions greedy pigs and u will save gracedale. other than that it is a waste of taxpayers money. who runs nc? the unions or the citizens?

Bernie O'Hare said...

"is mr atyieh one of the prospective buyers ?"

Atiyeh is in no way involved bc there has been no decision. This will likely go to some out-of-state bidder that can meet the conditions imposed by the County, but there is no reason why Atiyeyh or any other American should be excluded from bidding, if and when that happens.

Anonymous said...

Now watch the union get screwed in this process just like they got screwed when Carbon county sold its nursing home. If I remember correctly Carbon county got an extra $3mil to ditch the union contract in the sale. Those workers are now FURIOUS and it will cost the county commissioners dearly come election time.

If you want to see a circus, go to the meeting on Thursday night. Any Gracedale employee with half a brain should be there to let their voice be heard. The steelworkers union should be there in force if they are serious about protecting their members.

Getting money to save the home for a while could be a nice way for Dent to grab some votes though. The Friday paper will most likely have the Thursday night meeting on the front page...what better way to get free publicity.

Anonymous said...

who are the bidders or buyers for the nursing home ? i heard it was the county consoltant is this true? so many storys going around lets all back the nursing home up and get to the meeting on thursday night if you care about the older people there and your job and hopefully the union will show up !

Bernie O'Hare said...

"who are the bidders or buyers for the nursing home ? i heard it was the county consoltant is this true?"

There are no bidders or buyers at this point, and the consultant is not in the nursing home business.

Anonymous said...

Bernie, just so we are straight on this. Anyone who does not want to see the Nursing Home sold or leased is a union loving troll? Is that really your point? I happen to believe a good many people would not want to see the County Nursing Home sold and I do not think that makes them anyone's pawns, it is just how they feel.

For Christs sake the place has been caring for Northampton County residents for decades. I can't believe you chalk up all opposition to a political view.

Bernie O'Hare said...

Anon 11:21, I don't think we are straight on this. I have not said that all opposition is necessarily from union-loving trolls.

There is one troll who hates all things Stoffa or Angle and I have dismissed his POV. Some people are opposed bc they are concerned about losing their benefits. Some will grandstand. Some will be opposed bc I support a sale or lease. Some people are opposed bc they had relatives in Gracedale and think it's a wonderful place, which it is. Some are doubtful and don't trust the County to ensure the same qwuality of care.

But here's the deal. The County has a $10 MM hole in its budget that it has to fill. Next year, in addition to all the usual budgetary demands, it will also have to pay off the swaption, and that's looking like another $12-$14 MM so far. So my question is, where the hell is the County going to find that money?

We've already stopped hiring people, and the County is hurting. The hole was at $14 MM and now is $10 MM. Where do we find the money? Where is the money being wasted?

The answer is Gracedale. We cannot downsize. We cannot close. We cannot bring in a management team. Those options will not help the problem. The only answer is lease or sell.

Now if you have a way of doing this, I'm all ears. I'm sure Council would love to avoid making this painful decision. But nobody has an answer except to raise taxes. That's not going to happen.

I do see one answer. Unions could agree to cut their benefits in half. They could get out of the defined benefit pension plan. But that will never happen.

Even with that, there are other things that would need to change. Housekeeping would have to be cut in half. Laundry is at 30% efficiency, and we'd have to look at taking in work.

Even with that, Gracedale would likely still lose money. The census is going down, not up. The County is no good at marketing, nothing like a private operator.

I understand the emotion. People of good will can have different views. I want people to tell me I'm wrong and prove why. I have not seen any real solutions, other than the ones contained ion the Gracedale Study.

Anonymous said...

A political view? A $10 million budget deficit? Good grief. How do these people run their home budgets? There is no more money and Gracedale is the reason.

Anonymous said...

I reject the idea that the only way folks can oppose the selling of Gracedale is to find a way to plug a $10 million budget shortfall.

Mr. Stoffa had the largest surplus in County history when he took office. Gracedale was making money after reforms had been implemented in 2005-05. So the current team screws the pooch on management skills and the residents of the elderly sick County pay the price.

Over five years the County went from having a surplus and an improving profitable Gracedale to a financial disaster.

I do believe citizens have a right to question the competence and proposals of all this, without fixing the problem before speaking. Why the Hell elect officials to run things if when they screw up the only way you can question their actions is to do their job for them.

You are stretching Bernie. If this were Pawlowski or Callahan you would be singing a different tune and everyone knows it.

Anonymous said...

how does cedarbrook make money?

michael molovinsky said...

cedarbrook did not unionize until 2006. cunningham allowed a questionable cardcheck as his first act as county executive. the legacy costs and pension benefits have yet to impact cedarbrook, but they will down the line. hopefully when it happens, lehigh won't have a cookie cutter executive. cedarbrook exceeds all the local nursing homes except luthercrest, whose costs exceed most people.

Anonymous said...

Last years council was asked to raise taxes to some degree so a big tax increase could be avoided..They refused to do so and now we have a mess...Now this council is doing the same thing..Give me a break!!

Anonymous said...

Bernie O'Hare said:

"This comment is almost entirely bullshit. For example the claim that the county just gave its casno money away is completely inaccurate, and purposely so. The state senate makes that decision, and there were numerous news acconts detailing what happened."

*********************************

Bernie -

I'd double check your facts on this point. I seem to remember that before it was determined where (and in which county/city) the casino would be located, there was a deal struck.

The agreement was between Northampton and Lehigh County, Bethlehem and Allentown. It basically guaranteed a portion of casino revenues for the city/county that did not get the casino.

I believe this is the reason Allentown gets a portion of the revenue from Bethlehem's casino.

Lighthouse said...

The link to the report, as well as the dialog of comments, has been informative. Something most citizens would not otherwise get. Thanks.

Bernie O'Hare said...

Anon 9:41, You thought wrong. This determination was made by the state senate and was discussed in numerous recent news acccounts concerning distribution of the revenue from the table games. Boscola had more to do with this than anyone ona local level.

Anonymous said...

Bernie O'Hare said...

"Anon 9:41, You thought wrong. This determination was made by the state senate and was discussed in numerous recent news acccounts concerning distribution of the revenue from the table games. Boscola had more to do with this than anyone ona local level."

**********************************

Bernie -

Anon 9:41 here again.

This abstract is from the Morning Call archives and seems to indicate that city and county leaders were very much involved in the process:

$3.3 million to the loser under Valley gaming pact ** Winning county, city would agree to share percentage of fees.

Author: Daryl Nerl Of The Morning Call
Date: Apr 8, 2006


There was little evidence of that during the news conference at the LVEDC office in Hanover Township, Lehigh County, outside of some good-natured jabs between Allentown Mayor Ed Pawlowski and Bethlehem Mayor John Callahan, who continued to claim their site is the best for a Lehigh Valley casino.

Pawlowski, Callahan, Stoffa and Lehigh County Executive Don Cunningham all said they had independently reached the conclusion that the spoils of the contest to win a casino license should be shared. More difficult was reaching agreement on the numbers, [Lisa Boscola] said.

PHOTO by Rich Schultz Special to The Morning Call -- Freelance; ALLENTOWN Mayor Ed Pawlowski talks during a news conference on Friday. Behind him are state Reps. Karen Beyer (from left) and Jennifer Mann, Bethlehem Mayor John Callahan and state Sens. Lisa Boscola and [Pat Browne]. They announced + a revenue-sharing plan on money expected to come from a proposed slots casino.

Anonymous said...

Bernie -

I did some more digging and here is more from the article:

"...Pawlowski, Callahan, Stoffa and Lehigh County Executive Don Cunningham all said they had independently reached the conclusion that the spoils of the contest to win a casino license should be shared. More difficult was reaching agreement on the numbers, Boscola said.

The governments of Lehigh and Northampton counties are asked to sacrifice the most in the understanding. Under the system adopted by the Legislature, casino host counties are to receive 2 percent of their slots parlors' revenue as a tax. In the Lehigh Valley , that amount has been estimated at $5.6 million .

In this deal, the counties agree that the host county of the winning proposal would get 60 percent of the tax money and the loser would get 40 percent. The counties also agreed to deal in their host cities, win or lose, for part of their share.

The host county would turn over at least 20 percent of its share to the host city, partially making up for the $2 million the host city would give to the losing city.

The host county would use 40 percent of the money it keeps -- estimated at about $1.3 million -- for human services associated with gambling, and spend the remaining 40 percent at its discretion.

The losing county would give 60 percent of its share -- also estimated at $1.3 million -- to its losing host city, accounting for more than a third of what that city is expected to receive."

Anonymous said...

This is is overwhelmingly a very sad subject. It's a shame that after so many years in use the county is considering leasing/selling Gracedale. Times are tough. I understand people from all sides are upset but how can some people on this blog blame county workers for everything? Do you really think that nurses aides are just swimming in money? I think not. In turn, then wouldn't New York and New Jersey transplants ALL be greedy also because they came to PA bought "cheap" to their standards but yet commute back into the city so they can make their "greedy wage"?
I am not employeed or affiliated with Gracedale in anyway... I'm just giving a different perspective.
All we can hope for is that if the lease/sale happens...let's just pray that the elderly folks are well taken care of.

Anonymous said...

anon's 12:54, 2:06, 6:27, 8:40, 9:56, 10:25, 10:28, 3:41, 3:43, 4:40, 4:47, 4:57, 6:41, 8:19, 8:58, 10:27, 11:01, 11:21, 12:37, 9:32, 9:41, 11:57, 12:08, 7:45.

You all are in disagreement with Bernie Ohare, therefore you are all the 3 AM troll. Shame on you for only blogging because you hate all thinks Stoffa or Angle.

Oh, oh. I think I just became the 3 AM troll. Wait for it....wait for it.....

Anonymous said...

I think it's the troll's "Ohare" spelling that betrays he/she/it. The vitriol has a consistent flavor as well.

Anonymous said...

Sorry 8:49, I don't buy it. I mean sometimes I use O'Hare sometimes I use Ohare sometimes I use Bern or Bernie or BO. I don't know if that is such a telling thing. Probably many of the "English" use Ohare just to piss off the Irish.

As far as the vitriol, the only consistent tone I see is if a poster disagrees with either Stoffa or Angle.

There are a great many Northampton County folks out there that know the County and the history of both these guys so all the posting isn't a surprise especially when Bernie is constantly fawning over these guys every utterance.

The 9:30 PM Troll!

Anonymous said...

I guess Ron Angle would sell his car because he needed gas money.
Angle IS selling this to pander votes Mr. O'Hare . He can't get re-elected if he raises taxes so sell county assets in a depressed economy and hang up the "MISSION ACCOMPLISHED" banner. Hope the voters forget about the assets he sold at reduced costs to save a tax increase. He is a self serving politician. And how do you explain making a choice between lease or sell in 1 night of debate? People spend longer times studying the menu at McDonalds. I think at the very least they should look into the merits of both. And at the very best have a county wide referendum on the matter. If they don't have a referendum now I'm inclined to believe there will be one when these people ask to be re-elected.

Bernie O'Hare said...

You accuse Angle of doing this so that he can get re-elected. This proposal is actually coming from Stoffa, who is not seeking re-election. Right after accusing Angle of doing this for political reasons, you claim that if he refuses to bow to your demands, you'll vote him out of office. So who is being political?

Angle is doing his job. He's very well aware that this will be unpopular in some quarters. In case you hven't noticed, he does not respond well to threats.

Anonymous said...

No threat implied, thats called logic. I understand the public voted him in thats' the process. I venture to say they have buyers remorse. I also think he should be investigated for forging his fathers will. That might provide a end to this
"reign of terror"
I think
Lets' get rid of Lake Minsi Park maybe some poor farmer from up around "Million Dollar Highway" could buy it to plug a hole in the 2012 budget. Maybe even get a "deal" on it, after all the county is having a fire sale.

Anonymous said...

Anon 8:19, I love you !!

Anonymous said...

were i come from when things get tough ,the tough get going , stoffa should be a leader and save gracedale ~ he should be looking at every way possible to keep it! ~don't sell out the taxpayers of northampton county ~ if saving gracedale means raiseing taxes then raise them it's the least i can do ~

Anonymous said...

All you hear is how much money gracedale lost last year, and how much of a drain it is on the county. Nobody is looking at how much money the county put in to gracedale last year for renovations and such. They completed the 2 year window project in the towers, put in a whole new air conditioning system, renovated all the units, appointed an extra Adon, plus had an outside agency come in to "train" the new administration. I can't quote exactly how much Mr Mcshane was being paid out of our pockets to be there, but sources say in was astronomical and he is still making periodical visits. they were also down a supervisor, paying overtime to others to fill that spot temporarily. when all those projects were finished they were supposed to be opening a new unit and have over 38 open beds. but that never happened. they created way more open beds then they thought and now cannot fill them, and never opened the unit. now they are down sizing, eliminating 30 beds in the old building. Also, what happens to all the house the county collects when residents are placed there? Unless the residents assets were transferred to some one else 5 years prior to be put in gracedale, the county sweeps it right up. That also goes for any life insurance policies. So yes, maybe gracedale did lose more money last year then ever before, but the county also put a hell of a lot more into it last year. They just don't feel that's relevant information, probably because they were prepping it for sale. its a horrible situation for everyone involved at gracedale, residents and employees alike. See you at the meeting.

Bernie O'Hare said...

" if saving gracedale means raiseing taxes then raise them it's the least i can do ~"

Yeah, that's the least you can do, but you can do more than that. If it means so much to you, and it sounds like it does, why not have your unions open negotiations with the County with a view towards reducing the wage demands and pensions? That's what's really killing the County, a bloated workforce.

I'm afraid you want the taxpayers to make sacrifices but are unwilling to do so yourself. Think about it.

Bernie O'Hare said...

"See you at the meeting."

Yep. I'll be there. it will be interesting to see how many defenders are going to be taxpayers demanding a 20% tax hike and how many are going to be Gracedale workers unwilling to make concessions in benefits.

Anonymous said...

I am unwilling to pay an additional tax of 20% to support an operation that the private sector could perform much better and at a lower cost. I believe that 99.9% of the taxpaying residents of the county would agree with me. Taxes are rising in towns and school districts - here is a solution to keep our county taxes at bay. The negative hubbub posted so far reaks of greedy, disgruntled union workers and political hacks who wouldn't support their own mother and father's decisions.

Anonymous said...

i'm not a union member and have never supported them ,i am however outraged at the idea of selling gracedale and would take the tax increase to save it. nobody can convince me that doing this would stop future tax increase's, would it ? it seems to me there are ways we can save gracedale lay people off if need be and raise taxes gracedale made plenty of money for the county in previous years the economy is bad everywhere for everybody but everything around us keeps increasing county taxes are realitivly low it won't kill anyone if they increase, it appears to me it's for political reasons period. save gracedale ~

Anonymous said...

the employees of gracedale deserve better than to be used as stoffas pawns.

Anonymous said...

So an incompetent Administration bungles a huge surplus to the point of claiming it needs a 20% tax increase. After doing upgrades and even Stoffa's own Administration team negotiating 5% pay increases that Mr. Stoffa magically was unaware of and the team magically unaware of the financial difficulties already existing. The same basic contract he gave the Prison and Mr.Angle said was the BEST contract he ever saw. Hmm. Incompetent or cunning like a fox.

So at the end of the day once again we are faced with either sell Gracedale or I will raise your taxes 20%. Of course the puppeteer Mr. Angle is right by Mr. Stoffa's side saying let push it now.

It is no secret that Mr. Stoffa for years questioned keeping Gracedale and loo and behold, he has a study and a County Council and a need for an alleged huge tax increase to bolster his opinion. Quite a guy.

He even has you Mr. O'Hare claiming that anyone who feels it is a mistake to sell or (really sell)lease Gracedale, wants a 20% tax. I know many people who question the choice and certainly good non-union people who look at this and think this guy has incompetently blundered into a terrible place. Of course he once again has set up a situation where he has one group of citizens screaming at another group. I pray County Council is respectful of all views and does not let Emperor Angle be disrespectful to any who oppose his thinking.

Hopefully the County Council will show it has leaders in this leaderless time and slow this run away train down. Table this idea and hire or form a "Truly" independent group to review the books and all options before throwing granny out in the streets.

Anonymous said...

I did a little investigation in the parking lot a Gracedale. The Nurses Aides who clean the soiled diapers of your grandparents and elderly relatives who also patiently feed these same people make about 11 dollars an hour. Now I realize they are skilled at what they do I also realize this isn't rocket science or a living wage. They took these positions with the benefit package in mind, a small pension at the end of the career some sick days because well everyone in there gets sick . So begrudge them a sick day because while lifting your grandfather onto a bedpan he sneezed on them? The point is the majority of the employees aren't high paid they are grunts who perform a necessary terrible job. Lets throw them out they can work elsewhere. You know not everyone is capable of being a successful lawyer. Someone needs to clean the trashbins. You all should be kissing there rearends for doing these jobs. Instead make reckless comments about the high pay and great benefits they receive .

Anonymous said...

I'm sick of hearing about the greedy union workers at Gracedale. Is anyone aware that the NON-UNION employees got a bigger increase then the union workers? If it is determined that their is a bloated workforce, then talk about that. The salary stuff needs to stop since it is quite obvious that you are not aware of the entire situation. Bernie you know this is accurate. And if you are not, I would be more than happy to show you proof when I run into you again in the Courthouse. I actually like you Bernie and talk to you often, but you are dead wrong on the issue of salaries.

Anonymous said...

3am Troll here
Bernie can't repond at this time
he is tucking Ronnie into bed

Anonymous said...

Hey YO, excuse 12:49 troll, don't be hoe-ing in my garden Jake. It is 3AM and I am here. Bernie always loved me more. Besides he is in a three way with Stoffa and Angle as we speak. They are celebrating the bullshit tax increase Stoffa claims he needs.

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