Merrill Nursing Home Faces Uncertain Future as County Considers Referendum

In a pivotal move, Lincoln County in Wisconsin is grappling with the future of its Pine Crest Nursing Home in Merrill. As the county's Administrative and Legislative (A&L) and Finance committees convene a special joint meeting, the discussion centers around a potential referendum to address the facility's funding challenges.

Securing the Future of Pine Crest: A County's Dilemma

Exploring the Referendum Proposal

The proposed resolution, authored by District 10 Supervisor and Board Chair Jesse Boyd and cosponsored by District 12 Supervisor Julie DePasse, seeks to exceed levy limits each year from 2025 to 2029 to fund Pine Crest's operations, maintenance, and debt services. The specific amount by which the levy limits would be exceeded is expected to be discussed during the upcoming joint committee meeting.This proposal comes on the heels of a recent development, where Merrill Campus LLC and Senior Management Inc., the organizations previously set to purchase Pine Crest, terminated the Asset Purchase Agreement with Lincoln County. This decision was made in response to a lawsuit filed by Donald J. Dunphy, a District 7 Supervisor and member of the advocacy group People for Pine Crest, who has been a vocal opponent of the sale.

Dunphy's Lawsuit and the County's Response

In his lawsuit, Dunphy alleged that Lincoln County had failed to follow best practices set forth in a county resolution related to the sale of high-value property. He claimed that the county ultimately agreed to sell Pine Crest and the county's Health and Social Services building for less than their true worth. Dunphy also argued that, under Lincoln County code, the Forestry Committee should have jurisdiction over the sale of these properties.Furthermore, Dunphy claimed that the "operating deficit experienced by the nursing home in the years prior to 2023" was a "substantial consideration" in the county board's decision to sell Pine Crest, and that an increase in the Medicaid reimbursement rate paid to public nursing homes had eliminated the facility's operating expense deficits beginning in the first quarter of 2023.In response, Lincoln County Corporation Counsel Karry Johnson acknowledged that the Merrill facility's operating deficit was one of several factors considered by the county board in reaching the decision to sell Pine Crest. However, Johnson denied Dunphy's claim that the facility's first quarter 2023 operating expense deficits were eliminated by a Medicaid reimbursement rate increase. Johnson also refuted Dunphy's allegation regarding the Forestry Committee's jurisdiction over the properties.

The Uncertain Future of Pine Crest

The termination of the Asset Purchase Agreement and the ongoing legal dispute have left the future of Pine Crest Nursing Home in limbo. The county's decision to explore a referendum to fund the facility's operations, maintenance, and debt services suggests a recognition of the critical role Pine Crest plays in the community and the need to find a sustainable solution.As the joint committee meeting approaches, the discussions and decisions made will have far-reaching implications for the residents of Merrill and the surrounding area who rely on the services provided by Pine Crest Nursing Home. The outcome of this process will shape the future of this essential healthcare facility and the well-being of the community it serves.