THOMASVILLE, Ala. — Paperwork to transfer ownership of Thomasville’s hospital is now in the state’s hands, Thomasville officials said Monday, as the City Council adopted a $16.1 million budget for fiscal year 2027 and the city’s water board approved a separate $5.2 million water and sewer budget.
Officials said the official paperwork for the hospital ownership transfer has been filed and is awaiting review and approval by the state, a process expected to take about three weeks. The city is also continuing talks with a group interested in developing the former hospital site, and representatives of that group are expected to return to Thomasville in the coming weeks.
Hospital transfer awaits state review
The filing is the latest step in a long effort to bring hospital services back to the city. Thomasville Regional Medical Center, a 29-bed hospital that opened in 2020, closed in 2024 after defaulting on a $35 million loan. The facility was placed in receivership at the request of its mortgage holder, Florida-based North Avenue Capital, to keep the property maintained while a buyer was sought.
At a Sept. 9 court hearing, a representative of North Avenue Capital told Circuit Judge Perry Newton that letters of intent had been signed with a potential buyer and suggested the hospital could reopen by the end of the year, as previously reported. Newton questioned that timeline, noting the case had produced hopeful projections before.
Monday’s announcement that transfer documents have been filed with the state suggests the deal has moved beyond letters of intent. City officials did not publicly name the buyer at the meeting. Reopening a hospital also typically requires state licensing and federal Medicare and Medicaid certification, along with hiring and credentialing staff, so additional steps would remain after any change in ownership is approved.
Water board budget and system upgrades
In a separate meeting, the Thomasville water board approved a $5.2 million water and sewer budget for fiscal year 2027. The plan includes:
- $360,000 in reserve funds
- Purchase of a new truck
- Replacement of a pump
- Purchase of an additional booster pump
Officials said keeping replacement equipment on hand is important because some pumps and other components can take many months to obtain, and a failure without a spare could leave parts of the system short.
Mayor Sheldon Day told the water board that the city has completed, or is close to completing, more than $6 million worth of water and sewer work over the past year and a half. Water department officials said the investment has significantly improved the condition of the system.
Clearing a decade of sediment
Work has started to remove years of accumulated sediment from a backwash pond at the city’s water treatment plant. Officials said the pond holds roughly 10 to 12 years’ worth of sediment, and the cleanout is being paid for partly through a grant. Backwash ponds collect the water and solids flushed from treatment filters during cleaning, and removing built-up material helps the plant continue operating efficiently.
The city is also continuing projects along U.S. Highway 43, including improvements near the Travelodge and the former hospital site.
Ordinance updates on the way
City attorney Glenn Padgett presented proposed changes to several city ordinances during the council meeting. They include:
- Alcohol: Amendments giving the city authority to temporarily suspend an alcohol license on an emergency basis under serious circumstances, along with possible random on-site inspections and clearer penalties for violations.
- Business licenses: A revision adding categories for newer types of businesses and clarifying requirements for businesses run from homes and other nontraditional locations.
- Data centers: Creating a specific business license category or zoning regulations designed for data centers.
- Animals: Clarifying the definition of animals at large and creating a legal framework for a foster-care-type arrangement for stray animals.
- Mobile homes: A review of the mobile home ordinance.
The data center item comes as a proposed data center project has drawn opposition from many Thomasville residents, who have raised concerns about its effects on citizens and infrastructure. Day said earlier in September that there had been no significant movement on that project and that a power supply study was not expected to be finished before January at the earliest. Rules written specifically for data centers would give the city a clearer framework for regulating any such project.
Economic development roundup
Day also gave updates on a series of business and development projects:
- Spiller Furniture will close because its parent corporation is going out of business. The Thomasville store is expected to stay open through the end of the year while inventory is sold. Day said the city has been in contact with another furniture company interested in locating in Thomasville.
- Bullard Automotive, which has taken over the city’s former Chevrolet and GMC dealership, is preparing for its grand opening on Oct. 15.
- The city recently hosted representatives of a company that specializes in short-term rentals and upscale apartment-style properties. The group toured Thomasville and expressed interest in properties in the city.
- Project Burn, the code name for a proposed wood-products project valued at more than $100 million, could bring more than 100 jobs. The Clarke County Commission has approved a letter of intent with the company, which is considering several sites.
- Westervelt has begun or is preparing to begin a roughly $60 million expansion of its Thomasville lumber mill, expected to create about 30 to 40 new jobs. The Clarke County Commission approved tax abatements tied to the decking-products expansion in September.
- 68 Ventures is expected to visit in October to discuss potential projects, including possible apartment development.
The wood-products projects reflect Clarke County’s long reliance on the timber industry. Westervelt opened its Thomasville sawmill after announcing the project in 2018, and the company’s expansion and the Project Burn prospect would both build on the area’s established fiber supply and forestry workforce.
Live Locally and Main Street Alabama
Thomasville has been chosen as one of six municipalities to take part in the Alabama League of Municipalities’ Live Locally campaign, which is designed to highlight the advantages of living and investing in the state’s smaller communities.
City and community representatives are scheduled to meet Oct. 6 with the public relations group working with the league to begin shaping Thomasville’s part in the campaign.
The city has also been accepted as an affiliate of Main Street Alabama. The designation gives city officials and community leaders access to training and resources focused on downtown investment, signage, beautification and economic development. Main Street Alabama is the state coordinating program for the national Main Street approach to downtown revitalization, which emphasizes historic preservation, local business growth and community involvement.
Other business
In other action, the council approved building permits and moved ahead with plans for pickleball courts. The city received a $20,000 grant for the pickleball project, and Pine City Contractors will handle the paving.
About the budget
The $16.1 million city budget covers Thomasville’s general government operations for the fiscal year that began Oct. 1. The water board’s $5.2 million plan is separate, funded by water and sewer customers’ rates, and covers the utility’s operations and equipment. Thomasville City Schools adopted its own $15.6 million budget for fiscal year 2027 earlier in September.
With both budgets in place and the hospital paperwork under state review, city leaders enter the new fiscal year watching several major projects that could reshape the community’s economy and health care access in the months ahead.