Forest Lake Times

Posted: 2/8/06

DMH board votes to convey land title to Fairview Feb. 16

Cliff Buchan
News Editor

Barring unforeseen legal complications, the Governing Board of District Memorial Hospital voted Monday to convey the title of the Forest Lake hospital campus to Fairview Health Services on Thursday, Feb. 16.

The land conveyance is the final step in a 10-year lease program under which Fairview has held the hospital campus property in Forest Lake. Fairview in 2005 had notified the hospital board of its intent to exercise the lease option that provides for Fairviewís acquisition for the nominal fee of $1.

The original lease had been signed on Jan. 1, 1995 and was an important part of Fairviewís process to site and build its new regional hospital in Wyoming. The new hospital opened in 1998.

The decision by the hospital board on Monday followed a 75 minute closed session of the board during which litigation issues were reviewed. The hospital board has been sued by the Forest Lake Community Association, Inc., which has claimed that the Fairview lease was in default because Fairview had signed purchase agreements with the charter school that is now in the hospital building and Duffy Development and Human Services, Inc.

The Duffy project includes a plan to buy land for the construction of the 48-unit Forest Ridge Apartments affordable living complex. The school plans to expand its operation to handle 550 students on the 4.8 acre site.

John Miller, attorney for the hospital district, said Fairview was willing to accept a quit claim deed for the property with the understanding that the citizen group has filed a court action notifying the district that it expects to challenge the title.

ėThat is the only issue we have to be concerned about?î asked board chair Mike Perrault of Hugo.

Satisfied that the hospital district faced no other legal issues, the board voted 4-0 to move forward with the plan to convey the deed to Fairview by the end of the business day on Feb. 16. Perrault and Miller were authorized to carry out the details for the quit claim deed transfer.

The decision had support from Perrault, Sam Mattson, Joan Voelk and Barbara Hvass. Ron Marier was absent.


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Forest Lake, MN 55025
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