BELLEFONTE — With three days until the transfer of Centre Crest to a nonprofit, the Centre County Board of Commissioners had to tie up some loose ends at its meeting Tuesday.
The board passed multiple resolutions related to the nursing home, including a unanimous vote to co-sign a $1.5 million loan for the nonprofit because it has no credit history and needs an emergency fund.
Commissioner Chris Exarchos said the nonprofit could never touch the money, but it provides a safety net and establishes a credit history.
“Hopefully they won’t need it, but in case they do, they’ll have a line of credit,” he said.
All repayment and interest for the two-year loan will be funded by the nonprofit, unless it defaults, which would cause much bigger problems but is not expected, Exarchos said.
The county will have a clean break Friday with all services billed and reimbursements received after Thursday going into the books for the nonprofit. The county will spend about $800,000 to pay off all accrued benefits for the employees and additional money to pay the revenue deficit for the facility so far this year.
The board was unsure of that exact number, but about $900,000 was budgeted for the year.
The commissioners also passed a motion to spend $675 for a year of dues to enter Centre Care into the Nonprofit Partnership. The organization brings together nonprofits and helps to enhance management through programs and services.
Though Commissioner Michael Pipe voted against the transition, he wants the facility to be successful. He said getting a membership in the partnership would be beneficial.
“Although the nonprofit wasn’t my first choice, it’s the future, and I want it to be as good as it can be,” he said.
Pipe said he will be taking a close look at upcoming audits to see how much money was pumped into Centre Crest related to the transition to make sure it was all spent wisely.
Chairman Steve Dershem said he’s excited to hand off the keys to the nonprofit board Friday. He said he has a high level of confidence in that group but doesn’t expect any major changes in operations.
The board also passed another contract to allow Centre Care to continue the current contract for the copy machines. Centre Care will reimburse the county for all expenses, but Exarchos said it saves money for the nonprofit.
Matt Morgan can be reached at 235-3928. Follow him on Twitter @MetroMattMorgan.