Voters Pass Measure To Lease Out Sebastopol Hospital

SONOMA COUNTY, CA — Voters in the Palm Drive Health Care District appear to have overwhelmingly approved Measure A, a resolution that allows the district to lease all of its assets to American Advanced Management Group Inc. with an option to purchase the former Palm Drive Hospital in Sebastopol.

With all 40 precincts in the district reporting as of Tuesday night, Measure A had 76.5 percent approval, or 5,345 yes votes. The measure needs a simple majority to pass.

The tally is unofficial, according to the Sonoma County registrar of Voters.

The district is $28 million in debt to its employees, vendors and bond holders and has been in debt for nearly five years. Opponents of Measure A said the district owes it to the community to get a fair market price for leasing/selling the hospital and to help pay its debts.

Proponents of Measure A said the sale proceeds will pay off bonds and immediately reduce property taxes, provide ongoing health services to patients at a local long-term acute care hospital, provide disaster care in the event of fires, floods or earthquakes and provide radiology, surgery, acute care services in west Sonoma County. The acute care facility would not include an emergency room.

The district and American Advanced Management Group Inc. entered into an agreement in August 2018 for AAMG to manage the facilities starting in September 2018 in exchange for an option to lease or purchase the hospital.

The district's Board of Directors was required by a resolution to put the issue before voters.

The district serves approximately 50,000 people in Sebastopol, Graton, Forestville, Bodega Bay, Guerneville, Occidental, Rio Nido, Monte Rio and other west county communities.

By Bay City News Service