Rural Clinic Donated In Joint Meeting – The Rest To Auction
Staff Photo by Kim Myers
The Jefferson County Board of Commissioners and the Jefferson City Council met Tuesday, February 11. 2014, in a special called joint meeting to discuss the disposition of surplus property owned by Jefferson County. Jefferson City Mayor Mark Potts called the joint meeting to order and recognized Jefferson County Mayor Alan Palmieri, who addressed the Board regarding 3 hospital properties that are co-owned by the county and Jefferson City. He spoke first about the property currently occupied by the Rural Clinic of Jefferson County. Mayor Palmieri stated that the Rural Clinic has provided Jefferson County with 1.7 million dollars in free medical and dental care since opening its’ doors and has spent about $44000.00 in restoration on the building it occupies. He further stated that building is also a source of liability for Jefferson County and proposed that the building, located at 126 W. Old Andrew Johnson Hwy., be given to the clinic where Ken Avert, serves as Executive Director.
Jefferson County Commission Chairman Marty Mills called the Commission to order and Roll Call was given by Rick Farrar. Chairman Mill then asked for a motion regarding the Rural Clinic property. Commissioner Robert Tucker made a motion to donate the County’s interest in this property to the Rural Clinic. Motion was seconded my Commissioner Russell Turner. County Attorney Larry Churchwell stated that, due to County code, the County’s interest in the property cannot be transferred to a non-profit organization but could be transferred to Jefferson City, who could then donate the property to the rural clinic. Commissioner Tucker amended his motion to reflect the transfer to Jefferson City, with the understanding that the property would be donated to the clinic. Commissioner Akard questioned the future needs of the clinic and the possibility of its’ need for additional property. Ken Avent, Clinic Director, said that they have no need to expand at this time and the building they have is sufficient for the needs of the clinic.
Commissioner Bob Beeler made a Motion to Amend that would add a clause to the deed to transfer title back to Jefferson County if the clinic dissolves. Commissioner Sheets seconds this motion. The amendment met with opposition from several Commissioners. Commissioner Scarlett noted that the county is trying to get rid of the building and the liability that goes with it. Ken Avent stated that, as a 501-C3 non-profit, if the clinic dissolves, all assets of the clinic transfer to another 501-C3 or government entity.
Commissioner Estes requested that the Jefferson City Council express their view concerning the property and was informed that the Council supported the donation to the Rural Clinic with no caveats. A vote was called and the Beeler/Sheets amendment failed. A vote was then called on the original motion to transfer Jefferson County’s interest in the Rural Clinic building to Jefferson City, with all Commissioners present voting for the transfer. The Commission stood in recess.
The Jefferson City Council was call to order and Roll Call was given. The Council approved the acceptance of the transfer of interest from the county. A motion was offered by Councilman Melton to donate the building to the Rural Clinic. After a quick second, the motion carried with no opposition. The Council stood in recess.
The Board then addressed the remaining 2 properties, the Merritt building in Dandridge and the Bishop Avenue building. Commissioner Tucker asks for the legal requirements regarding the sale of the properties. County Attorney Churchwell explained that county Act of ’81 states that any and all surplus property must be disposed of at public auction under the direction of the County Finance Director. Jefferson City law allows for more options, but the property cannot be transferred to the city to circumvent the Act of ’81. In order to be in compliance with Jefferson County statutes, the city and county must agree to dispose of jointly owned property at public auction. Resolution 2014-05 declaring these real properties surplus and authorizing the liquidation of said properties at auction was brought before the Commission on a motion by Commissioner Estes with a second by Commissioner Solomon. Commissioner Turner requested more clarification citing concerns regarding the auction and whether a reserve could be placed by the Board of Commissioners. Attorney Churchwell stated that once the property is declared surplus the Act of ’81 takes over and the sale of the property is directed by the Finance Director, Darrell Helton. The Resolution was then called to vote by Chairman Mills, where it carried unopposed. The Jefferson City Council was called to order and voted to adopt Resolution 2014-05 and 2014-16 with amended language declaring both the Merritt and Bishop Avenue buildings surplus to be sold at public auction in coordination with Jefferson County. The joint meeting was adjourned.
