Commissioners set aside $300,000 as contingency to pursue enforcement of hospital donation agreement

A majority of Bourbon County commissioners voted to set aside $300,000 in the proposed 2027 budget as a contingency to fund possible legal action aimed at enforcing the county’s donation agreement tied to the local hospital building. A commissioner sponsoring the move said the measure is intended to preserve the county’s leverage under the agreement’s clawback provisions if the private entity managing the building is not meeting contractual obligations.

The sponsor described the county’s concerns as twofold: alleged deferred maintenance at the hospital and the loss of 10 beds that were part of earlier plans and projected to provide material revenue. “Every aspect of the donation agreement has been violated,” the sponsoring commissioner said, arguing the county needs a funding reserve to act if the county attorney’s review determines litigation is viable. Opponents warned that $300,000 is a substantial gamble given tight budgets and urged further fact‑finding and mediated talks between the private parties before committing funds.

Commissioners debated whether to require a formal litigation plan and whether the county should first press the private parties to negotiate a solution. The sponsor said the county would not immediately spend the reserved money; rather, the funds would be available if counsel advised moving forward. The chair announced that the county attorney would be instructed to pause further billing on document review pending the commission’s direction.

The motion passed after commissioners exchanged arguments about return on investment, fiscal capacity, and the public safety implications of losing a local emergency room. The sponsor said he would call the county attorney to halt further document‑review billing the next day.