The appraisals for the property targeted for a new Allen County Hospital were “in the ballpark” of expectations, if not a little higher, Alan Weber, Allen County counselor, said Wednesday afternoon.
An acre along the East Street corridor fetches an average $35,600. That price is more per acre than either The Family Physicians to the east or Citizens Bank to the west were appraised just a few years ago, Weber said.
“The price is high, but we’re glad to pay it if it means we can avoid condemnation and just get the ball moving,” Weber said, voicing the sentiment of Allen County Hospital trustees whose first job on board is to oversee the hospital’s construction.
So far Weber has received two of what is hoped to be at least a majority of acceptances by the eight landowners.
They have until noon Tuesday to notify Weber of whether to accept the offers for their land.
Those involved are Don Britt, Gerald Lilly, Jay, Lou, and Duane O’Brien, Bob Walden, Rick Michael, Eldon Strickler of Colony, Jack McFadden and The Family Physicians.
If negotiations fail between the trustees and landowners on an agreed-upon price, trustees have two options: Seek a new site or proceed with eminent domain, a legal move that allows the county to purchase the property for a public purpose.
That’s the least favorable option for trustees and sends a number of bad vibes between the two parties, if not the county at large when voters last Nov. 2 overwhelmingly endorsed a quarter-cent sales tax dedicated to fund a new hospital.
If eminent domain is pursued, trustees would file an individual petition for each parcel of land contested. The petition then would go before a district court judge, perhaps Dan Creitz, if he felt comfortable hearing the case.
Three appraisers appointed by the judge would give their assessments of the land in question, using two methods: Their own inspections and research, plus a public hearing where both landowners and the county would present evidence of what they think the land is worth.
From there the appraisers would arrive at a price.
The county would have 30 days to pay that sum, essentially giving it ownership.
But then it can get tricky.
If either party, the landowner or the county, is not satisfied with the new appraisal, it can appealed and the case can be sent to a higher court, the appellate court, or, if appealed further, as far as the state supreme court.
That doesn’t stop the county from going ahead with construction project, but it does stall the settlement for the land.
“It leaves the door open as to how much either party will have to pay in the settlement,” Weber said, once the case goes before a jury.
If the jury decides the property is worth less than the appraised value, then the landowner must pay back the difference to what the county has paid him. Likewise, if it decides the property is worth more than the appraisal, the county must pay the landowner more.
Weber recalled the instance of when Tramec Corp. protested eminent domain when Highway 54 was widened west of town about 15 years ago. The jury decided on a lesser amount of what the state offered for the property in question, forcing Tramec to pay back a sizeable portion of the settlement it had already received.
If the jury decided in a landowner’s favor by a large margin of the appraisal, it could make a big difference to the hospital’s financing, Weber said.
“We have such a tight budget, that if there was much difference between the appraisal and a jury’s decision, it could affect what equipment we could buy for the new hospital,” he said.
THE LAND the current Allen County Hospital sits on was donated by local benefactor Tom Bowlus.
