Due Diligence

[Bill Grulich]

Dr. Kilroy and Ed Graham made some good points at the February 11, 2015, meeting about the value of the Lakewood Hospital properties and the assets in the buildings. Dr. Kilroy was involved in closing St. John's hospital on Detroit Avenue and stated, "Their (St. John's) assets (equipment) were worth a little over 10 million dollars... I know Lakewood Hospital has considerably more equipment than St. Johns." When Mr. Graham asked about the value of the Lakewood Hospital property. The presenters said, "We don't know".

How can you enter into negotiations with the Cleveland Clinic and not know the value of your assets?

I implore the Lakewood Hospital Trustees, Lakewood Hospital Association, Lakewood City Council, and Mayor Summers to hire appraisers to figure out the value of all of the Lakewood Hospital assets. Please don't call up your "local real estate agent" or your friend "who's a great appraiser" to determine the value of the assets or the buildings. Please do not use an appraiser who might have been recommended by the Cleveland Clinic.

Please spend some of your money to get independent appraisers to give you the value of OUR assets. Please note, "property appraisers" are different than "equipment appraisers."

You spent 500,000 dollars on a strategic plan. How about some due diligence?

[Grace O'Malley]

This is what I find most appalling about all of this. It appears that there was very little real research into the value of assets, the economic impact to the city, the impact of the loss of healthcare, what alternatives are available, and on and on. Instead, "someone" "thinks" that getting rid of the hospital for economic development, whatever that is, is a great idea. And even the "economic development they are proposing is vaguely defined.

All this leads me to believe that someone is pulling a fast one on us.

[Jim O'Bryan]

This is what I find most appalling about all of this. It appears that there was very little real research into the value of assets, the economic impact to the city, the impact of the loss of healthcare, what alternatives are available, and on and on. Instead, "someone" "thinks" that getting rid of the hospital for economic development, whatever that is, is a great idea. And even the "economic development they are proposing is vaguely defined.

All this leads me to believe that someone is pulling a fast one on us.

Let's be honest, that have never been thinkers or planners. As I put it, they design elaborate
half baked 14-act murder mystery, and some little jammin man tells all his friends and shouts
out loud in the middle of act 2, "The Butler did it!"

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[Grace O'Malley]

Let's get real.

Jay Foran sits on the hospital board. Jay Foran is a developer. Is it a conflict of interest for him to sell the city asset for "development?"

Will Jay Foran be involved in any way, shape or form with ANY of the "development" plans for the site?

If so, I believe it is unethical, immoral, and possibly illegal. I'm calling him out. What is his role in this? Will he be involved in future development of the site?

[Jim O'Bryan]

Let's get real.

Jay Foran sits on the hospital board. Jay Foran is a developer. Is it a conflict of interest for him to sell the city asset for "development?"

Will Jay Foran be involved in any way, shape or form with ANY of the "development" plans for the site?

If so, I believe it is unethical, immoral, and possibly illegal. I'm calling him out. What is his role in this? Will he be involved in future development of the site?

Grace

I would like to remind you that we were told the votes from the Hospital Board, and the
Hospital Foundation were unanimous. One vote would not have mattered.

Also, I believe Jay is on the Foundation Board, not the Hospital Association, so one would
think his impact would be limited to the vote of the Hospital Board throwing in the towel on
running a hospital.

The Foran Clan has given much to this City in many forms including the support on the
Lakewood Public Library, Lakewood Schools, H2O, the Beck, and many Boards. I will
forever be thankful for that side of the Foran Clan.

However, I would hope one of the stipulations from the secret sale of this city asset should
be 100% of the funds are controlled by the city, and that no one involved in this is on the
new foundation, with 100% transparency around how the money is used.

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[Grace O'Malley]

However, I would hope one of the stipulations from the secret sale of this city asset should be 100% of the funds are controlled by the city, and that no one involved in this is on the new foundation, with 100% transparency around how the money is used.

Absolutely. Not just JF, but ANYONE involved in this owes it to the taxpayers to reveal any connection they have with future development of the site that may result in a benefit to them, their companies, or any of their business associates.