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Lakeview Home’s Board of Directors, Monday night, supported seeking bids for Lakeview Home, Oak Terrace and Heritage House if the city chooses to sell the facilities.

Administrator John Berger told the Board of Directors that four or five health care agencies have expressed interest in the Gaylord facility. Berger felt that the developer could compete with it.

“We have to have a fair assessment and value,” board chairman Dr. Ron Reinmuth said.

“It is good practice” to seek bids, board member Pam Kirsch said, because the facilities are publicly owned.

Mary Nell Zellner, who will serve as interim administrator at Lakeview Home starting July 1, said that if the city would choose to close the facilities, it is not automatic. The Minnesota Department of Health has a closure process, she said, and the state must approve it. “If the county needs the beds for the senior population, the state won’t let it close,” she said.

Zellner said that she will be including portions of the valuation and assessment report regarding efficiencies. She said she will be drafting ideas on how to right financial losses.

“The campus is not in horrible shape.You have a big-hearted staff and all are can-do people,” she said. Zellner, with her experience as an interim, said that Lakeview is staffed “very heavily” in a number of departments, and the benefit package is “pretty flush” compared to many nursing homes. Pathways, the consulting firm for which Zellner works, will provide the city/Lakeview with “apples to apples” comparisons. The goal, she said, is to put the nursing home in the black, rather than in the red, and make it more valuable if there is a sale.

“Medicare is where the bread and butter is for nursing homes,” Zellner said. “You need to build up the marketing and outreach program.”

Zellner said she will not take any action for reductions until coordinating with the board.

Zellner was also directed to write a letter to the city on behalf of the board, stating that they would like to be included and informed about what is going on with the negotiation committee.

In other business, the Board of Directors learned that there has been an increase in admissions to Lakeview. As of Monday, there were 48 residents, with the possibility of five more admissions. There are now some difficulties getting staff because of reductions, Berger and Director of Nursing Sandy Domeier reported. During the month of May, Lakeview Home had a loss of $11,456, while Oak Terrace had a profit of $1,165 and Heritage House a profit of $5,124.

Preliminary year-to-date figures, prepared by Cindy Gerholz, show that the three facilities have lost $70,920.

The final 2005 audit showed a loss of $47,000.

Monday’s meeting was the last one for administrator John Berger, who is retiring the end of the month, and for board member Kathy Jensen, who resigned effective July 1.