BOISE - Clearwater County moved a step closer Tuesday to extending its lease on the Clearwater Valley Hospital - and securing a multimillion-dollar renovation at no cost to taxpayers.
Essentia Health Services currently leases and operates the county-owned facility at Orofino.
The company would like to renovate the hospital and build a new $5 million clinic. However, that only makes financial sense if it can amortize the expenditure over a number of years.
State law currently limits leases for county hospitals to 20 years. Any term beyond that requires a public auction. Clearwater County is proposing legislation to extend that to 35 years, so it can maintain its relationship with Essentia and give the company the long-term assurance it needs to justify the renovation investment.
The bill is sponsored by Sen. Sheryl Nuxoll, R-Cottonwood. It was presented to the House Local Government Committee Tuesday by Clearwater County Commissioner Don Ebert, earning a favorable recommendation.
"This (renovation) wouldn't cost taxpayers one cent," Ebert said. "We hope you like that part; we like it a lot."
More than 90 percent of county voters supported extending Essentia's lease in a ballot measure last year.
The bill passed the Senate 35-0 in February. It now goes to the House floor for a final vote.
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Spence may be contacted at bspence@lmtribune.com or (208) 791-9168.
