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The agency is buying just over five acres of farmland northeast of the Ehardt Center-Kids' Connection in Sandusky from local farmer Al Stoutenburg. The price is $300,000.

Mental Health plans to build a one-story handicap-accessible building for an estimated cost of $4.5 million. Executive Director Dr. Roger Dean said the architect is confident they can be in the new building by next May or June.

"It is very inefficient with the number of buildings we have now. In the long term it will be cost-efficient. We are going build a very nice building that will fit in the common space. We will create a mini campus (adjacent to the Intermediate School District Special Education offices and Ehardt Center)," said Dean.

The building will contain office space, classrooms and day-program space, and house programs and the administration presently located in the health department and College for Independence on Dawson Street, and the Warren-Wilson building on Delaware Street. The only facility that will not be part of the new campus will be Creative Enterprises, which is located on Green Acres Street, across from the 4-H Fairgrounds in Sandusky.

The agency currently rents the college facility, Warren-Wilson and health department space from the county, although the state no longer allows them to pay rent for Warren-Wilson, and will also forbid further rent for the college building this fall. The Michigan Department of Health, which mental health is a branch of, has determined their agencies do not have to pay rent on a county building once the bonds have been paid off.

The issue, which affects all state agencies, is being appealed.

"The state says we can't pay rent or put it in escrow. If we pay they will remove it from our budget. I am sympathetic. I negotiated those leases (with the county)," stated Dean.

The new property is behind the Ehdart Center, and mental health plans to access it through Ardith Street, which is between the Ehardt-Kids' Connection and the Farm Bureau office on Sanilac Avenue. However, Sandusky City Council recently disclaimed interest in Ardith.

"At one time it was referenced as a city street, but the city has never maintained it," said City Manager Lou LaPonsie.

Mental health was able to obtain a 20-year mortgage loan from Citizen's First Bank of Sandusky at 0.46% over the prime interest rate, which is about 4%. The loan will pay for the construction project.

"Because we are a non-profit we can get a better interest rate. The bank has done a lot of business with us. The board decided to try and keep everything local," said Dean.

They already hired a local architect, Orin Campbell of Sandusky, and hope to accept construction bids from Sanilac County companies as well.

This is the fourth piece of property the agency has considered and the purchase agreement also resolves a lawsuit with Stoutenburg over occupancy delays regarding the Kids' Connection.

Initially mental health looked into remodeling the health department building. They also considered buying the ISD Special Ed offices, and then checked out vacant land in Watertown Township that did not have water or sewer services.

In other business, the mental health board:

*Heard Finance Director Eric Eggert review the recently completed audit.

The agency ended the fiscal year with revenues and expenditures of $17,765,88 and had a fund balance of $1,782,422 as of Sept. 30, 2007.

The auditor reported that Sanilac County Community Mental Health believes the agency will not have to reduce programs in the 2008 budget, although the state is facing major budget deficits for the year. Medicaid savings carried forward from prior years can be used to offset funding cuts or changes in fiscal year 2008.

*The board re-elected Kent France chairperson, Elva Mills vice chairperson, Leonard Clark auditor and Scott Wiederkehr secretary.

*Approved the sale of the 2003 Chevy Venture Van to the Personal Growth Center for $1. The van, which is no longer being used as much for consumer trips, needs $700 worth of repairs. The Center is applying for a grant to cover the repairs.