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Jail may house detainees until 2026

Gainesville’s purchase of downtown facility won’t level detention center overnight

POSTED: June 30, 2012 11:20 p.m.

One of the chief goals in recent months for Gainesville Mayor Danny Dunagan and other city officials has been to acquire the old county jail on Main Street so it eventually can be torn down.

Though the city has reached an agreement to secure ownership of the building, Dunagan, in his early 60s, admits he may be dead and buried before the jail is leveled.

For years, Gainesville officials have made it clear they want the jail, currently used by a private company to detain illegal immigrants, gone.

Finally, the city shelled out $7.2 million to buy the jail from Hall County in order to control the destiny of what many consider an eyesore and a potential roadblock to midtown redevelopment. Eventually, the city hopes to sell the property to developers.

But don’t expect a wrecking ball to plow through the brick walls of the jail anytime soon.

In its agreement with the previous jail owner, Hall County and current tenant, Correction Corporation of America, the city agreed to potentially let the jail stand until 2026.

The center will continue to house detainees of the U.S. Immigrations and Customs Enforcement under CCA’s operation. The Hall County Sheriff’s Office will continue to occupy an office there for at least five years.

The three main parties to the arrangement — Gainesville, Hall County and CCA — are applauding the deal as beneficial to all. Gainesville gets ultimate control of the jail’s future, CCA negotiated a lower rent deal, and Hall County became the clear financial beneficiary.

Thursday night, Hall County Commissioner Ashley Bell called the jail deal “a win-win-win.”

Perhaps the most obvious winner in this arrangement is the county, which this year alone will take in $7.2 million from Gainesville and an additional $1 million from CCA as a final rent payment.

All told, the county will collect about $14 million through the sale and four years of rent from a piece of property it had little use for.

“It’s been a very valuable asset,” County Attorney Bill Blalock said while discussing the deal at Tuesday’s Board of Commissioners work session.

County Administrator Randy Knighton said the bulk of the money from the sale has been set aside in reserves, and may be available for future capital projects.

Commissioner Scott Gibbs said the funds could be used to resolve the need for new county fire stations.

CCA managed to get nearly half the rent rate it had initially agreed to pay the county four years ago. The company had, at one point, set out to buy the jail from the county in a $7.2 million lease-for-sale agreement, but the county scrapped the plan when the city offered to match the price. Since then, CCA has been negotiating a deal that gave it long-term options in the facility for a lower rate.

In a statement for CCA, spokesman Mike Machak said, “Throughout this process, Hall County, the city of Gainesville and their leaders have been professional to work with. We’re satisfied with the terms of the new lease agreement. We’re also pleased to continue to be able to serve our long-standing federal partner (ICE) and generate hundreds of thousands of dollars in local tax revenue and provide hundreds of good, stable jobs in the local community.”

Commissioner Billy Powell said of CCA in negotiations, “They’ve been nothing but excellent corporate citizens.”

While Dunagan said he isn’t thrilled to have a jail in midtown, he said there are assurances that low-level illegal immigrant detainees will be held at the facility and not “hardened criminals.”

While Gainesville officials also celebrated the deal, it seems their victory is in the long game, and risks remain.

Not only will Gainesville not be able to quickly tear down the jail, city leaders are crossing their fingers that CCA can stay long enough to help pay off part of the purchase price in rent.

 It would take nearly nine years for CCA’s base rent to cover what Gainesville spent on the jail.

The prospect of the city not making up the difference was troubling enough for Gainesville City Council Member George

Wangemann to cast the lone vote against the deal.

“I fully support the concept of the jail going away, which is our vision for midtown,” he said. “However, I am opposed to (this deal) for the simple reason that it may put our taxpayers at risk.”

If CCA left the jail and the city couldn’t find another occupant or buyer, Wangemann said the city would still be on the hook to cover the purchase.

Dunagan said CCA could only leave the jail before 2026 if it lost its agreement with ICE.

“If they leave real quick, it is a concern,” he said.

However, if the tenant remains for three to five years, Dunagan said the city could recoup the difference in selling the property.

“I feel confident the city is going to come out just fine on the deal or I wouldn’t have supported it,” he said.
Though 2026 is a long way off, Dunagan said, “We feel sure that we’ve got an ending date. We know the jail will be gone.”

Not everyone is so sure. While Gibbs was happy with what the county got out of the deal, he’s not convinced the jail is going anywhere — at least not in his lifetime.

“When I die in about 60 years,” joked the 48-year-old commissioner, “I have left in my will that I want (my body) to be driven around the property because it will still be a jail in 60 years.”

 

Jun. 30, 2012 11:07p.m. EDT Jail may house detainees until 2026 Gainesville Times

One of the chief goals in recent months for Gainesville Mayor Danny Dunagan and other city officials has been to acquire the old county jail on Main Street so it eventually can be torn down.

Though the city has reached an agreement to secure ownership of the building, Dunagan, in his early 60s, admits he may be dead and buried before the jail is leveled.

For years, Gainesville officials have made it clear they want the jail, currently used by a private company to detain illegal immigrants, gone.

Finally, the city shelled out $7.2 million to buy the jail from Hall County in order to control the destiny of what many consider an eyesore and a potential roadblock to midtown redevelopment. Eventually, the city hopes to sell the property to developers.

But don’t expect a wrecking ball to plow through the brick walls of the jail anytime soon.

In its agreement with the previous jail owner, Hall County and current tenant, Correction Corporation of America, the city agreed to potentially let the jail stand until 2026.

The center will continue to house detainees of the U.S. Immigrations and Customs Enforcement under CCA’s operation. The Hall County Sheriff’s Office will continue to occupy an office there for at least five years.

The three main parties to the arrangement — Gainesville, Hall County and CCA — are applauding the deal as beneficial to all. Gainesville gets ultimate control of the jail’s future, CCA negotiated a lower rent deal, and Hall County became the clear financial beneficiary.

Thursday night, Hall County Commissioner Ashley Bell called the jail deal “a win-win-win.”

Perhaps the most obvious winner in this arrangement is the county, which this year alone will take in $7.2 million from Gainesville and an additional $1 million from CCA as a final rent payment.

All told, the county will collect about $14 million through the sale and four years of rent from a piece of property it had little use for.

“It’s been a very valuable asset,” County Attorney Bill Blalock said while discussing the deal at Tuesday’s Board of Commissioners work session.

County Administrator Randy Knighton said the bulk of the money from the sale has been set aside in reserves, and may be available for future capital projects.

Commissioner Scott Gibbs said the funds could be used to resolve the need for new county fire stations.

CCA managed to get nearly half the rent rate it had initially agreed to pay the county four years ago. The company had, at one point, set out to buy the jail from the county in a $7.2 million lease-for-sale agreement, but the county scrapped the plan when the city offered to match the price. Since then, CCA has been negotiating a deal that gave it long-term options in the facility for a lower rate.

In a statement for CCA, spokesman Mike Machak said, “Throughout this process, Hall County, the city of Gainesville and their leaders have been professional to work with. We’re satisfied with the terms of the new lease agreement. We’re also pleased to continue to be able to serve our long-standing federal partner (ICE) and generate hundreds of thousands of dollars in local tax revenue and provide hundreds of good, stable jobs in the local community.”

Commissioner Billy Powell said of CCA in negotiations, “They’ve been nothing but excellent corporate citizens.”

While Dunagan said he isn’t thrilled to have a jail in midtown, he said there are assurances that low-level illegal immigrant detainees will be held at the facility and not “hardened criminals.”

While Gainesville officials also celebrated the deal, it seems their victory is in the long game, and risks remain.

Not only will Gainesville not be able to quickly tear down the jail, city leaders are crossing their fingers that CCA can stay long enough to help pay off part of the purchase price in rent.

 It would take nearly nine years for CCA’s base rent to cover what Gainesville spent on the jail.

The prospect of the city not making up the difference was troubling enough for Gainesville City Council Member George

Wangemann to cast the lone vote against the deal.

“I fully support the concept of the jail going away, which is our vision for midtown,” he said. “However, I am opposed to (this deal) for the simple reason that it may put our taxpayers at risk.”

If CCA left the jail and the city couldn’t find another occupant or buyer, Wangemann said the city would still be on the hook to cover the purchase.

Dunagan said CCA could only leave the jail before 2026 if it lost its agreement with ICE.

“If they leave real quick, it is a concern,” he said.

However, if the tenant remains for three to five years, Dunagan said the city could recoup the difference in selling the property.

“I feel confident the city is going to come out just fine on the deal or I wouldn’t have supported it,” he said.
Though 2026 is a long way off, Dunagan said, “We feel sure that we’ve got an ending date. We know the jail will be gone.”

Not everyone is so sure. While Gibbs was happy with what the county got out of the deal, he’s not convinced the jail is going anywhere — at least not in his lifetime.

“When I die in about 60 years,” joked the 48-year-old commissioner, “I have left in my will that I want (my body) to be driven around the property because it will still be a jail in 60 years.”

 

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