Discovery supports call to give sale proceeds to county
VALPARAISO | Porter County Council member Bill Carmichael has dug up records showing what he claims is $4.1 million in county tax money paid to Porter hospital between the years 1938 and 1954.
The payments, which he figured are the equivalent of $32.7 million today, contradict recent claims by hospital officials that the county-owned facility has operated without the help of tax dollars, he said.
The claim has been made in defense of plans to direct proceeds from the proposed sale of the hospital to a private foundation versus turning the money over to the county.
"I'd rather see it handled by elected officials," said Carmichael.
Carmichael, who served 14 years as county commissioner and the last 13 year on the council, had initially said he wanted to see any sale proceeds go into the county's general fund to reduce property tax rates.
He said Wednesday he would need to study the issue closer before suggesting how the county could use the money.
The revenue figures compiled by Carmichael from past meeting minutes of the county council include bond payments and payments for various operational costs at the hospital including salaries, utilities, food, insurance, maintenance and medical needs.
Porter hospital board Chairman Richard Wathen is among the officials who have said the county hospital has not been funded by taxpayers.
The $80 million to $120 million expected from the proposed sale was derived from health care and thus should continue to serve that need, he said. The proposal calls for placing the money in a private foundation and using the interest alone to pay for various health care and wellness efforts in the county.
Deb Butterfield, Porter vice president of marketing and media relations, said Wednesday hospital officials received Carmichael's figures last week and are reviewing the information before coming to a conclusion.
"We want to look at it very carefully," she said.
The hospital's claims about the lack of taxpayer support were based on input from individuals whose involvement with the hospital dates back to the mid 1950s, she said.
The foundation proposal is opposed not only by Carmichael, but also Porter County Council member Jim Burge, who agrees the money should be left to the county and in the hands of elected officials.
He has proposed the possibility of using a portion of the money to pay off county debt.
Fellow Council member Matt Murphy has also voiced concern about the foundation.
Support from the council, as well as the county commissioners and hospital board, will be needed to finalize the hospital sale and to create the foundation.
Considering the concerns, Porter County Commissioner Carole Knoblock has said she does not like the proposal of requiring the county officials to vote at the same time on the sale and on the foundation.
Hospital officials hope to bring the three groups together on the same day late next month to vote. The goal is to wrap up the sale by May. 1
Posted in Local on Thursday, March 29, 2007 12:00 am Updated: 10:24 pm.
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