tag:blogger.com,1999:blog-9097125.post6347153739500227343..comments2023-10-17T07:36:16.777-04:00Comments on NA Confidential: We're headed to the pawn shop with the hospital stuffed in a gym bag, but why this sale, and why now?The New Albanianhttp://www.blogger.com/profile/10757531658514051905noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-9097125.post-9208696058098056882016-06-28T05:49:18.157-04:002016-06-28T05:49:18.157-04:00The money is already invested - in something calle...The money is already invested - in something called "Floyd Memorial Hospital." They aim to sell that investment and spend the money.<br /><br />You made me laugh out loud - it's obvious Floyd County's taxes are too low.<br /><br />It's disingenuous to sell an on-going community service that literally deals in life or death in our community and then kind of promise that "we'll invest some of the proceeds."<br /><br />Quoting the article you mentioned: <i>"Some of the funds will likely be used immediately to balance the budget deficit, make some jail repairs and purchase new road department vehicles."</i> <br /><br />Sell a hospital because you can't balance the current budget? Need to purchase vehicles?<br /><br />As I said, the community hospital is being sold. The proceeds are slated to be spent in lieu of the necessary raising of taxes. Using the hospital in this way diminishes the net assets of the community.<br />w&lahttps://www.blogger.com/profile/15509182078338347951noreply@blogger.comtag:blogger.com,1999:blog-9097125.post-81067161391388114212016-06-27T22:58:13.615-04:002016-06-27T22:58:13.615-04:00According to the News and Tribune the county is co...According to the News and Tribune the county is considering investing the money. http://www.newsandtribune.com/news/what-to-do-with-million-in-floyd-county/article_484d1f90-3287-11e6-b5ec-6b6f074bf94e.htmlResidenthttps://www.blogger.com/profile/14176579962612014741noreply@blogger.comtag:blogger.com,1999:blog-9097125.post-18364280093518472622016-06-27T08:19:01.107-04:002016-06-27T08:19:01.107-04:00Two problems with this proposed hospital sale:
1)...Two problems with this proposed hospital sale:<br /><br />1) The proceeds of the sale will not grow - it's slated to be spent in lieu of the necessary raising of taxes. Using the money this way diminishes the net assets of the community.<br /><br />2) Folks always think of these sales in the short term. When the company that purchases the hospital is purchased or decides to re-sell our formerly local hospital to another entity, the already tenuous ties to the community and the small promises made will fade more quickly.<br /><br />A case in point - <br /><br />Louisville Gas & Electric was owned by the City of Louisville. Since it was operated for and on the behalf of the citizen owners, the utility sold electricity and natural gas at near cost rates. Louisville had some of the lowest energy costs in the US, which led major corporations like GE and Ford to locate very large factories in Louisville, which then resulted in great employment, taxes and growth.<br /><br />When LG&E was sold to Powergen, a British utility group, prices for the utilities immediately rose. Powergen then sold to Eon (a German utility group). Eon was purchased by PPL Corporation, formerly known as PP&L or Pennsylvania Power and Light.<br /><br />With each sale, rates have increased. While some might argue these rate increases were inevitable, the point remains - if LG&E were still owned by the City of Louisville, rate increases would not necessarily rise as high due to local self interest. Local interest would have kept rates lower, instead of higher rates for out of town shareholders.<br /><br />Selling the hospital to an outside interest eliminates any local control over balancing the costs of services rendered and increasing profit for our local Southern Indiana community.<br /><br />And any one who thinks "these new owners will never sell our local hospital to anyone else" are fools.<br /><br />When our local hospital is sold, it becomes merely a balance sheet item. lumped together with other assets, ready to be traded, bought or sold to any other business who wants to chase profit or loss.w&lahttps://www.blogger.com/profile/15509182078338347951noreply@blogger.com