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Commission approves a land purchase for Regional One Health after debate over seller's price increase and county funding commitments

Shelby County Board of Commissioners · February 24, 2025
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Summary

The commission approved purchase of a property near Regional One Health after approving a substitute raising the purchase price; commissioners pressed Regional One and finance on whether the county's capital commitment is $350M or $500M and asked for clearer fiscal disclosures before further commitments.

Shelby County commissioners approved a substitute for Item 36 to purchase property at 126 South Lauderdale Street for use in the Regional One Health campus expansion, authorizing up to $987,922.15 for purchase and closing costs. The substitution came after the seller asked for a roughly $190,000 increase to address perceived environmental liabilities; county attorneys and the Regional One broker explained the rationale on the floor.

County Attorney Megan Smith summarized the changes: "The purchase price has increased by $190,000 approximately," she said. Broker Daryl Cobins told commissioners the seller requested consideration to address potential environmental exposure despite an environmental assessment that the county described as "clean." Regional One CEO Reginald Coopwood described broader project cost estimates and timelines, saying earlier program-level construction estimates placed total project cost (construction plus FF&E) in the range of $1.2–$1.3 billion; commissioners pressed for clarity about what the county had formally committed beyond the five-year capital plan. Finance staff and commissioners agreed to bring back more detailed cost and timing information to future meetings; Item 36 passed, while Item 37 was sent back to committee for further negotiation.