Gazette file photo The exterior of Canal View Houghton County in Hancock

HOUGHTON – Canal View Houghton County, formerly Houghton County Medical Care Facility, is a 197-bed skilled nursing facility, providing 24-hour extended care. The Hancock facility is one of the five properties owned by the Houghton County that some have suggested the county sell in order to help fund the construction of a new jail.

Adam Laplander, Canal View CEO, discussed the pros and cons of county ownership of the facility. Laplander said the pros to selling it, he said, are that the millage currently dedicated to maintaining the facility would be eliminated. Depending on its sale, that revenue could then contribute to constructing a new jail. “Those are the two things that I can think of as far as pros go,” Laplander said.

Among the cons, he said, would be a substantial decrease in the quality of care currently provided to its residents. One concern raised by residents is what would happen to the quality of care residents receive if the county was to sell the facility, he said. While the facility has no debt, selling it may not be wholly profitable to the county.

Laplander said he recently heard, and wants to verify, that the state can capture a portion of depreciation from year to year, from the time of the inception of the facility in 1968. He said he does not know the figure, adding some of his network management contacts have said that could be a very significant number.

Over the past years, the facility has reduced its dependence on the county. “We have reduced our millage several times in the last 20 years,” Laplander said. “It was twice since I’ve been there in the last six years, and my goal would be to reduce that millage down to nothing, because I think we can get to that point.”

Laplander said if the facility reached a point that it could operate without a millage, that revenue could go elsewhere, such as funding the new jail. Getting to that point is very difficult, said Laplander, and takes time. One thing he is looking at, he said, is restructuring.This includes studying available data to see how the facility is staffed and how it can be staffed more appropriately.

“We’re looking at every department in the facility to make sure we’re staffed appropriately,” said Laplander. “The No. 1 expense, I believe in almost any company, is going to be wages. If you’re overstaffed, you’re paying more salary and benefits, so that’s one thing we’re looking at.”

Every department has a crucial role in the care for the residents in the facility, he said. “So working on things like that, walking our expenses, shopping around, everyone’s in the pricing and services, everywhere,” he said. ”

“We see the same cost increases from vendors, but we need to make sure that we’re going to be able to just shop around in different vendors to get the best possible price that we can get. So really staying on top of what we’re spending and how we’re spending.”

Laplander said the facility has received several upgrades, including new windows and a new roof recently.

“The community has paid for the facility for many years,” he said, and none of the upgrades could have been done without community support. If the facility was sold, the county would not get a return on the investment, especially considering the depreciation.

Laplander said in his opinion, selling the facility would be a con. “I think there was a lot of time and money and effort spent in ensuring that we have a great facility,” he said.