The Monmouth County Board of Freeholders has retained a real estate firm to assist in the sale of the county’s two nursing homes to a private operator.
The freeholders passed a resolution hiring Marcus and Millichap Real Estate Investment Services, Chicago, to guide the county through the process of privatizing/ selling the John L. Montgomery and Geraldine L. Thompson care centers.
The Montgomery home is in Freehold Township, and the Thompson home is in Wall Township. In March, the freeholders voted to permit the county administration to move forward with the privatization of the care centers.
Officials said the two care centers have been losing millions of dollars each year. Freeholder Director Gary J. Rich Sr., Deputy Director Serena DiMaso and freeholders John Curley and Thomas Arnone voted “yes” on the resolution to hire the real estate firm. Freeholder Lillian Burry vote “no” on the resolution.
According to the resolution, county representatives contacted and interviewed three companies that expressed interest in the privatization/ sale process. Marcus and Millichap has experience and expertise in the privatization of long-term care facilities, according to the freeholders.
The fee the county has negotiated with Marcus and Millichap will be 2 percent of the total gross purchase price for the sale of the facilities, according to the resolution.
“The privatization is emphasizing the care centers’ change from a public entity to the private world,” Arnone said. “The operations are being considered privatized and the lands are being considered for sale.”
Marcus and Millichap will assist with the drafting of a request for proposal (RFP) that will contain the details of the privatization of the two care centers.
During the public comment portion of the meeting at which the resolution was passed, union representative Pamela Murphy of the Montgomery care center detailed the concerns she has about the outcome the privatization process will have on the employees at the two care centers.
“This isn’t funny. What incentives do the employees get from this process? There are human beings who need to be fed, changed and showered. We need positive energy to feel good enough to continue working [at the care centers],” Murphy said.
DiMaso said efforts are being made to ensure the process of selling the care centers is completed efficiently.
“We are working diligently to ensure that every base is covered,” she said.
Murphy said the transition of the care centers from county ownership to private ownership is hard on the employees because they do not know what the future holds for them.
“It is difficult for us to come here and do this with our hearts anymore, and what matters is the atmosphere at the care centers. The buildings have been different since [the freeholders voted to privatize the facilities], and we are doing the best we can. We are miserable, yet still smiling,” Murphy said.
Burry commended Murphy for expressing the concerns of the employees she represents and said it is the freeholders’ responsibility as elected officials to listen to what people have to say.
“You bared your soul to us. We owe it to you to listen to your fears, and we should not shut you down. It is of paramount importance to us, and we have to respond to it accordingly,” Burry said.
Arnone said the care centers’ employees will be kept informed during the privatization process and will be told how the changes will affect them.
In other business, the freeholders hired the legal firm of Archer & Greiner to assist Marcus and Millichap during the process of privatizing the two care centers. Archer & Greiner will be paid $275 per hour for legal representation related to the privatization of the care centers.