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10 companies want Rest Haven

Ten companies are vying to by the Schuylkill County nursing home at Rest Haven. Three of the companies are in Pennsylvania, three are in New Jersey and four are in New York.

"The strong interest in Rest Haven is not surprising, and it is indicative of the high quality of care the facility and its employees have provided for our residents," Commissioners Chairman Frank J. Staudenmeier said in a prepared statement.The companies submitted their qualifications and proposals to the county by the Oct. 31 deadline. Now through Jan. 16, officials will study them and throughly scrutinize the companies, a process that is expected to take until the year's end. they'll visit homes the companies operate, interview owners and talk with staff and residents.The county has set three prerequisites for potential buyers: The buyer must continue to provide high quality care and quality of life for its residents; it must secure access to long-term care for the indigent and vulnerable communities within the county; it must ensure the long-term care needs of all county residents are met into the future; it must reduce costs to taxpayers and maximize the return on the public's investment in Rest Haven; and it must facilitate a fair and equitable transition to the private sector for county employees, including ensuring current Rest Haven employees first consideration for employment with the new operator.Rest Haven has 113 full-time and 130 part-time workers, and 142 residents."We have said repeatedly that the county will not simply sell Rest Haven to the highest bidder, " said Commissioner George F. Halcovage Jr. "We will conduct a diligent and very thorough review of the proposals received by the county to ensure that any future operator of Rest Haven has the experience, financial stability, and proven track record to maintain or enhance Rest haven's tradition of high quality care."U.S. News & World Report earlier this year recognized Rest Haven in its 2014 list of the Best Nursing Homes in Pennsylvania.Commissioners on Aug. 20 announced they had decided to sell Rest Haven after learning the 142-bed facility, behind the Penn State campus along Route 61 in Schuylkill Haven, was running $4.6 million in the red.One major financial problem is that, as of August, 84 percent of the home's residents relied on Medicaid to pay for their stay. But Medicaid only pays $172 a day while the actual daily cost of care comes to $221 a day.Also, $853,176 owed Rest Haven had not been collected as of August. The home's operating expenses had increased from $10.7 million to $12.5 million, about 16 percent, between 2008 and 2013 while its revenue grew by only 1 percent. As of August, the county had loaned and given Rest Haven about $2 million.The county hired the Harrisburg law firm of Eckert Seamans Cherin & Mellott for $250,000 as special counsel for the sale.

Times News file photo