Wednesday, August 04, 2010

Gracedale for Sale?

Both the Express-Times (read it here) and the Morning Call (read it here) report on Northampton County Council’s apparent decision to move toward the sale or lease of Gracedale, located in Upper Nazareth Twp.

A study recommended that the state’s second largest nursing home be put up for sale or leased and County Executive John Stoffa and Council Chair Ron Angle appear to agree with the recommendation.

The home employs 750 people and has 650 residents. In 11 of the past 14 years it was profitable, but it is projected to lose $7.8 million this year.

One of the major reasons cited was the cost of a guaranteed pension program as opposed to a 401K, which is offered by many private companies.

The county expects to earn approximately $2.5M per year if they lease the facility out to a private company.

Posted via email from Ross Nunamaker

No comments: