By Heather Stanek
News Publishing Company
A citizens group has brought a claim against the Sauk County Board of Supervisors over the sale of the Sauk County Health Care Center in Reedsburg.
On Sunday, Citizens for the Sauk County Health Care Center announced via social media that its attorney had filed the claim on Oct. 31, 2024.
The group is seeking a lawsuit, claiming three violations: Fiscal malfeasance, violation of open meetings and records laws, failure to obtain a two-thirds vote.
On fiscal malfeasance, the claim says the board agreed to sell the property for $5.1 million, far below what it’s worth. When the current building was constructed in 2008, it cost taxpayers $15 million. Considering the steep rise in local property values, it could be as high as $30 million now.
A complete appraisal of the property will be done as part of the lawsuit to determine the exact value.
State law prohibits governmental bodies from selling public land and assets to buyers at steep discounts or far below the value. This law is essentially meant to protect taxpayers from making a gift of their investment to a private business.
The violation of open meetings and open records law portion claims Sauk County government was deceptive in its practices regarding the sale. On the Dec. 23, 2023 County Board agenda, the sale was listed as “expansion of the continuum of care.” The public would only know that item actually regarded the sale was if they read through the lengthy agenda packet. Citizens believes the Board should have been more transparent when posting its agenda. It also takes issue with the buyer, Aria, providing info during a closed session with the Board on Sept. 10.
The Citizens group touts that this presentation should have been open to the public, as the Health Care Center was paid for by taxpayers, and thus taxpayers have a right learn about any potential buyers.
In addition, the claim states the board violated its own rules with the vote. Budget items, such as major ones like the Health Care Center, require a two-thirds vote, meaning two-thirds of the full Board must vote “yes” for the sale to be approved.
Instead, the board voted based on which side had the most votes, which in this case was “yes.” Had it gone by two-thirds vote, the sale likely would not have passed.
According to the Citizens group, Aria has not yet completed a crucial step in the closing process: Filing an application with the Wisconsin Department of Health Services to transfer the nursing home beds from the county to itself.
The group also revealed that it cost $10,000 to pursue the lawsuit, which was far below the typical asking price of $25,000. The price includes the cost of the real estate appraisal. An anonymous donor gave $5,000, and around $3,000 has been given by the public.
The group is still seeking donations through its Gofundme page. As of Monday morning, it had raised The list shows individual donations ranging from $20 to $500.
Court records indicate the Joseph Cincotta on behalf of the Sauk County Citizens for Senior Care, U.A., as well as co-plaintiffs Judith Brey and Thomas Kriegl. Brey and Kriegl are both active members of the Citizens group. The defendant is listed as “Sauk County.”
According to his website, Cincotta is a Shorewood-based lawyer that has specialized in civil litigation since 1994.
Information about whether or not Aria had not available to the Reedsburg Independent as of this week’s deadline. The Indy also sought comment from Aria, but responses were not provided by deadline.
County Board Chair Tim McCumber expressed doubt that the claim would culminate in a successful lawsuit.
“Mr. Kriegel and Ms. Brey have built their entire argument based on their own misinformation. I do not believe that once they are against the county that it will go very far,” McCumber said in an email to the Reedsburg Independent.
McCumber also questioned whether or not the Citizens group has been following the law in its in- corporation, as well as in its fundraising activities.
He concluded that, since the Citizens group intends to pursue a lawsuit, the county won’t comment further on the matter.
- MORE: Read a guest column and a previous article about this story.
