West Sonoma County Voters Deciding Future Of Sebastopol Hospital

SONOMA COUNTY, CA — Voters in the Palm Drive Health Care District will vote Tuesday on
Measure A, a resolution to allow 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.

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 say 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 say 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 is 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.

A yes vote allows the district to transfer substantially all its assets to American Advanced Management Group Inc., while a "no" vote will prohibit the district from proceeding with the transfer. Measure A needs majority approval to pass.

By Bay City News Service