The Health and Hospital Corporation Board of Trustees voted to approve Resolution 5‑20‑25 to terminate a long‑term care lease agreement with landlord Rob New covering the West Bend facility.

Trustee Hanafi moved the resolution and Trustee Horn seconded. President and CEO Paul Babcock summarized the background, telling trustees the leases with Mr. New had been individual arrangements and that past renegotiation attempts had not resulted in a master lease. The board approved the termination by roll call vote, 6–0–1 (one trustee absent).

Babcock used the opportunity to outline related long‑term strategy for HHC’s long‑term‑care portfolio. He told trustees that Omega, the corporation’s largest long‑term‑care real‑estate trust, owns 32 of HHC’s facilities scattered across Indiana and that, because of lease structures and facility performance, HHC believes there may be an opportunity to negotiate longer renewals with Omega — potentially a 10‑year extension — that could encourage capital investment in facilities and alter bed‑use dynamics tied to occupancy penalties. Babcock said he plans to bring a separate item next month asking the board to authorize negotiations and will present supporting financial analyses at that time.

Why it matters: The termination resolves a legacy lease structure with a single landlord and starts a sequence of board consideration about longer‑term lease strategy with a major landlord, which management argues could enable capital investment and reduce penalties tied to low occupancy.

Board action
• Resolution 5‑20‑25 — Termination of long‑term care lease agreement with landlord Rob New (West Bend facility): approved (roll call 6–0–1).

CEO follow‑up and next steps
• Babcock said staff will present a negotiation proposal with Omega for board approval next month, including financial justification and anticipated investments. He also noted the organization intends to return with a strategic plan presentation for board approval in the coming month.

The board’s vote terminates the specific lease covered by the resolution; any future lease negotiations with Omega would require a separate board authorization and presentation of financial analyses before action.