Pae & Defendant O'Leary's Council Take $2.1M From Hospital Fund to Cover General Fund Shortfalls

[Brian Essi]

Here comes the consequences of Dreaming BIg....

ORDINANCE NO. 41 -16 -

$2.1M transferred out of the Lakewood Hospital Fund and into the General Fund

"In the event the General Fund needs fiscal year-end support"

What happens when they run out of the pennies they got from the sale of Lakewood Hospital?

Tax increases?

Hmmm

[Bill Call]

Here comes the consequences of Dreaming BIg....

ORDINANCE NO. 41 -16 -

$2.1M transferred out of the Lakewood Hospital Fund and into the General Fund

"In the event the General Fund needs fiscal year-end support"

What happens when they run out of the pennies they got from the sale of Lakewood Hospital?

Tax increases?

Hmmm

Selling City assets to fund operating expenses is never a good idea.

But, that's the plan.

[Jim O'Bryan]

Here comes the consequences of Dreaming BIg....

ORDINANCE NO. 41 -16 -

$2.1M transferred out of the Lakewood Hospital Fund and into the General Fund

"In the event the General Fund needs fiscal year-end support"

What happens when they run out of the pennies they got from the sale of Lakewood Hospital?

Tax increases?

Hmmm

Selling City assets to fund operating expenses is never a good idea.

But, that's the plan.

Selling assets to handle bad management is even worse.

Let's not forget, the Mayor has spent over $2 million to get elected, "Solstice Steps" and another mill on crisis management because he would not tell the truth to the people that trusted him enough to elect him.

.

[Bridget Conant]

This doesn't look good.

So when Jenn Pae says the city can weather the loss of the million plus in income tax from the hospital employees, she lied?

[cmager]

You've been Pae'd.

[Lori Allen _]

Come on, let's just relax. I hear the money was sent out to be laundered! But, who will pick it up?

[Dan Alaimo]

You've been Pae'd.

Nice one, Bill.

[Meg Ostrowski]

Here comes the consequences of Dreaming BIg....

ORDINANCE NO. 41 -16 -

$2.1M transferred out of the Lakewood Hospital Fund and into the General Fund

"In the event the General Fund needs fiscal year-end support"

What happens when they run out of the pennies they got from the sale of Lakewood Hospital?

Tax increases?

Hmmm

It could just be a housekeeping measure. Now that the city has assured the permanent closure of Lakewood Hospital, perhaps there is no longer a need for the hospital fund? Although I do recall it being used to support EMS, which we'll now need more than ever.

Like you, I am concerned about the long term consequences of this administration's "big dream." I would have preferred a more pragmatic approach to Lakewood's future.

[Brian Essi]

Here comes the consequences of Dreaming BIg....

ORDINANCE NO. 41 -16 -

$2.1M transferred out of the Lakewood Hospital Fund and into the General Fund

"In the event the General Fund needs fiscal year-end support"

What happens when they run out of the pennies they got from the sale of Lakewood Hospital?

Tax increases?

Hmmm

It could just be a housekeeping measure. Now that the city has assured the permanent closure of Lakewood Hospital, perhaps there is no longer a need for the hospital fund? Although I do recall it being used to support EMS, which we'll now need more than ever.

Like you, I am concerned about the long term consequences of this administration's "big dream." I would have preferred a more pragmatic approach to Lakewood's future.

This is not likely a housekeeping measure. Pae & the city audits booked all proceeds from "the sale of Lakewood Hospital to the Cleveland Clinic" as contributions to the Lakewood Hospital Fund (a city fund on the city's books that was set up years ago to handle rent received by the city from the hospital and the EMS squads.).

In the 2015 CAFR, the Hospital Fund increased roughly over $9.6M and $11M based upon cash and accrual methods, respectively.

So taking out such a round number like $2.1M from the greater sum of the fund seems to have a purpose. We are left with Pae's states purpose in the Ordinance unless the public record of the COW or Council Meeting shows otherwise. I was unable to attend the meetings and have not yet reviewed the entire record.

In the end, we are left with the written record and the lip service---which we all know may only be part of the story or a head fake by the public officials and the shadow "leaders" of the government.