WASHINGTON COUNTY AT THE CROSSROADS

Commissioner Nick Sherman recently published an op-ed explanation on the decision by the two Republican commissioners to purchase the Crossroads Center building for ten million dollars. In my view, his commentary was fraught with inaccuracies and omissions that requires a response. This review will discuss what I beleive Sherman either failed to discuss or outright got wrong.

First, for Commissioner Sherman to support a large real estate purchase when other options were available, while at the same time claiming, “we are not growing government”, is contradictory political babble. You cannot hold on to a Republican conservative ideology of “small government is better” while spending 10 million dollars on an alternative building to house county offices. Not even Donald Trump would try to pass this specious argument off as credible on his supporters.

Second, private and public entities across the country are attempting to downsize office leases and real estate purchase obligations until the pandemic has passed. No one knows what the new normal for commercial government office space in a post pandemic world will be.  Many workers may continue to work from home. This is a credible model for county employees who conduct business out of the office or who do not interact with the public.

Third, the timing of this large real estate expenditure (which will also involve additional costs for new carpeting, drapes and office furniture) was bad government.  The right move was to favor taxpayers in need over a new building. For example, rather than berate Governor Wolf for making difficult public health decisions that affect restaurants, Washington’s Republican majority could have provided financial aid to these establishments. In addition, by removing the Crossroads Center from the tax rolls, the Republican commissioners are reducing the City of Washington’s ability to collect revenue as it struggles to stay afloat during the pandemic. 

Fourth, while Sherman points out that Crossroads Center is in a convenient location, he does not discuss how the Republican commissioners arrived at the ten million dollar purchase price.  The only recent comparable real estate transaction I can recall was the sale of the Washington Trust Building in 2012. This complex of office space, retail establishments and a parking garage, directly across the street from the courthouse, sold for well under one million dollars. I find it incredulous that Crossroads Center can have a market value over ten times greater than the Trust Building.

Fifth, Sherman’s statement “the previous administration was delinquent in addressing structural damage and crumbling infrastructure” is not correct.  Several years ago, then Commissioner Harlan Shober, was tasked by his fellow commissioners with preparing a detailed analysis of Washington County’s space requirements and the cost of needed repairs to the Courthouse Square building. 

Commissioner Shober, utilizing his knowledge as a contractor, conducted an in-depth survey and presented several detailed proposals, including the purchase of the Crossroads Center. Shober determined that the leakage in the garage of Courthouse Square could be remedied at a reasonable cost.  Unlike the Republican commissioners, he never advocated that the existing building be torn down. He did recommend purchasing or renting Crossroads Center at a reasonable market value price and moving the cramped Children & Youth Services space in order to free up resources in Courthouse Square. Shober determined that 50% of Crossroads Center was leased at that time which would help offset the ongoing maintenance costs if the building were purchased.

Republican Commissioner Irey Vaughan was not willing to “make a difficult decision” before her election and took no action to approve either needed repairs or the accumulation of additional office space.  When the election was over and with Shober on his way out, Irey Vaughan, as chairperson of the Board of Commissioners, renewed her interest in Shober’s work product. This was followed by an expensive consulting report, which led to the purchase of Crossroads Center.  Clearly, the previous administration knew there was a problem and took steps to seek solutions at a lower cost to taxpayers.  Commissioner Sherman is simply the new cog in the wheel, not the white knight bringing “immediate attention” to the county’s resource requirements, as suggested in his op-ed.

Sixth, the enormous cost differences in repairing Courthouse Square, as determined by the Shober study and the later consulting firm are not adequately explained by Commissioner Sherman. Prior to tearing down a functional building, these cost discrepancies should have been clarified for county taxpayers. In addition, what is the cost to tear down Courthouse Square? How will the hole in the ground be re-purposed?

Lastly, Commissioner Sherman states “with the increased space the Crossroads Center affords, we will be able to accommodate and keep all current tenants.”  I have learned on good authority that there is 95,000 square feet of space in Courthouse square. With Crossroads Center half leased, give or take 72,000 square feet is available.  It would appear that tenants must be evicted in order to accommodate the move once Courthouse Square is torn down. With no ongoing private leases, the cost savings envisioned by Shober will disappear.

Ultimately, voters will perform their own analysis whether the purchase of Crossroads Center was prudent in the middle of a pandemic.   The “crossroad” for Washington County is not the increase in office space as suggested by Sherman, but rather the elimination of partisan hubris and misleading narratives from the public dialogue.