GORE BAY—The Town of Gore Bay council has approved signing a lease agreement for the Manitoulin Lodge Nursing Home with St. Joseph’s Healthcare.
“Everyone is aware that the town will be taking over the ownership of the nursing home, which is a crucial step,” said Harry Schlange, town manager/clerk at a council meeting last week. He noted the town along with St. Joseph’s Healthcare and Jarlette Health Services has done a great job partnering so that the long-term care services for seniors in the nursing home will continue.
St. Joseph’s Healthcare Centre has agreed to take over the long-term care service at the lodge as of July 1, 2025, and the services will remain in this location until the new long-term care home is built on the West Bluff, off Armstrong Road, which is expected to be finished construction on or before 2027. In the meantime, the town will determine the optimal future use of the Manitoulin Lodge building and land.
“The town will be the owners of the building as of July 1, 2025, with St. Joseph’s being the tenant,” said Mr. Schlange. He pointed out the Ministry of Health has requested at least a five-year lease.”
Council was told the town and St. Joseph’s need to create a lease agreement for the long-term care home at Manitoulin Lodge. The terms of the lease will be five years, and for the agreement the premises will be defined as the building, sidewalks parking lot and any ramp structures on the site. St. Joseph’s will indemnify the town for the costs for the use of the premises.
“They (St. Joseph’s) will pay for all utilities and for services like snow removal, garbage removal, and landscape maintenance,” said Mr. Schlange. “St. Joseph’s will reimburse the town for insurance costs related to the building and land. We need to get insurance which on the building will cost the town $15,500 which St. Joseph’s will pay,” he said.
The town will have to pay for any structural or roof repairs, while St. Josephs’ Healthcare Centre will pay all costs relating to the premises. And roof and any structural repairs will be on our dime,” said Mr. Schlange.
For example, regarding a roof replacement or repair, if they occupy the facility for three years St. Joseph’s will pay the value of three years based on an estimate value of 20-25 years.
The town will set aside reserve fund in case repairs are needed. Based on the current owner Jarlette Health Services donating the land and building to the town. “It’s a risk we have to take as part of our deal to make this all happen,” he said. The town will have to own the building until the new long term care home is built.
“They are not paying rent per se, but are paying all expenses except for major repairs like the roof,” said Mayor Lane.
“We will be looking for funding sources for the roof or other major repairs, so this won’t be on the taxpayer,” said Mayor Lane. “We are getting the land and building for free. It’s a risk but is part of our deal to make everything happen.”
“What are the risks?” asked Councillor Ken Blodgett.
“If we have to spend $100,000 on roof and only get a portion from St. Joseph’s,” said Mayor Lane. “It’s a fairly straight forward lease. The sooner they build and out of the building the better for us.”
Councillor Rob Dearing questioned if its to repair or $150,000 for new what steps would the town take.
“We would probably repair rather than replace,” Mayor Lane replied.
It was noted by Mr. Schlange that before the change of ownership, Jarlette Health Services will be completing a sprinkler system in the Lodge by December 31, 2024.
“I know St. Joseph’s is eager to get the lease to provide it to the ministry,” said Mayor Lane.
Council passed a motion to sign the St. Joseph’s Health Centre lease.
It was confirmed that construction and servicing of the new nursing home is anticipated to start in 2025, pending government approvals. St. Joseph’s is currently working with the MOLTC and Infrastructure Ontario. This work includes final approval for the long-term care home design, finalizing the financing agreements required to build the new home, obtaining the licenses for both the operation of the current location and the licences for the future location and final construction approval.
St. Joseph’s Health care stated that it is expected they will be going to tender before the end of December 2024. “It is our hope that local trades will be part of the tendering process which will help support Manitoulin businesses and continue building our community partnerships for years to come. We will be continuing the work required to achieve the necessary approval tender for the project in the coming weeks, with a tentative start date of spring 2025.
We are also currently working with Jarlette Health Services to finalize the transition of the operation of the current 61 beds at Manitoulin Lodge from Jarlette Health Service to St. Joseph’s Heath Centre, with the implementation date of July 1, 2025.
Mayor Lane told The Expositor after last week’s meeting, “The whole process is not as fast as we would have liked but it involves two different government agencies so things like this all take time. Once tenders are received and the actual costs of the new building are known then the process will move ahead for the final construction approvals. This should happen we hope in the first quarter of 2025.”
