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By MICHAEL McNARNEY mmcnarney@leader.net
Friday, March 07, 2003 Page: 1A
WILKES-BARRE – HealthNow New York Inc., which employs 220 people at the
Kanjorski Center in Nanticoke to process Medicare claims, might move its
operation to the abandoned call center on South Main Street.
HealthNow managers have met with city officials and toured the call center,
at 169 S. Main St., a spokeswoman for the company confirmed.
The talks might spark a bidding war between the governments of two
struggling cities trying to fill buildings constructed with taxpayer dollars.
Jackie Burress of HealthNow said the Binghamton-based company is still
talking with its landlord, the General Municipal Authority, about expanding in
Nanticoke.
The authority has spent more than $100,000 on plans to expand the Kanjorski
center, said authority solicitor Garry Taroli. Taroli said the authority’s
all-volunteer board “has really been knocking itself out” trying to prepare
a plan acceptable to HealthNow.
“The fact that they would all of a sudden move out because of that would
come as a big surprise to me,” Taroli said.
Burress said no final deal has been reached with Wilkes-Barre – or any
other party.
The call center is owned by the Wilkes-Barre’s Redevelopment Authority,
which is paralyzed for a lack of members.
Jill Ryan, one of two remaining members of what should be a five-person
board, said the authority cannot sign a new tenant unless new appointments are
made. Ryan was unaware of any talks.
But Mayor Tom McGroarty said Thursday afternoon: “I’ll make some
appointments to the authority. I’m prepared – I’m almost close to making some
appointments.” However, in February, McGroarty said he was delaying
appointments because he feared they would be pressured into giving away land.
McGroarty said city staff has talked with a number of prospective tenants,
although he would not name them.
Councilman Tom Leighton, who is running for mayor, said McGroarty or his
staff cannot legally sign a new tenant; that requires a vote of the
Redevelopment Authority.
“Council and the city cannot get themselves involved in Redevelopment
Authority business,” Leighton said.
The second remaining authority member, Michael B. Rushton, said he, too,
had not been told of talks with HealthNow or any other potential tenant.
“Oh, this is news to me,” Rushton said. “If it is part of the RA, I
think we should be informed one way or the other. If he McGroarty] would call
Jill and I, that would be good.”
The Wilkes-Barre call center is 80,000 square feet, nearly triple the size
of the Kanjorski Center. The call center comes furnished, has a cafeteria and
is connected to a 540-spot parkade.
Wilkes-Barre taxpayers have paid utility and construction bond bills
totaling more than $500,000 since the tenant, Customer Satisfaction First,
stopped paying rent on the call center in 2002.
Customer Satisfaction fired its 100 local employees in December and
abruptly pulled out.
HealthNow is part of Blue Cross/Blue Shield of Western New York and
processes Medicare claims for the insurer.
U.S. Rep. Paul Kanjorski, D-Nanticoke, the man for whom the building is
named and who helped secure much of the government funding to build it, did
not return a call seeking comment.
Michael McNarney, a Times Leader staff writer, may be reached at 831-7305.