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New company in mix for VA facility

Still no word on site or developer

BUTLER TWP — There’s a new company in the running to become the developer of a multimillion dollar health care facility for the Department of Veterans Affairs.

Representatives of Oxford Development Monday night told the township commissioners that the Pittsburgh company has inked a deal to buy the 15.9-acre property on South Duffy Road in Butler Township known as Deshon Woods if the VA again picks it as the site for the new facility.

However, officials said there’s still no word on which developer and site is getting the nod. Nor is there any indication when that announcement is expected.

Originally, the VA picked the Deshon Woods property as the site to build a $70 million facility to replace many of the services offered at VA Butler Healthcare on New Castle Road in Butler Township.

A ribbon-cutting ceremony was even held for the facility which, as originally proposed, would have included three floors with outpatient services, including primary care, specialty care, mental health, dental, diagnostic, laboratory, pathology, radiology, podiatry, optometry, pharmacy, physical rehabilitation and women’s health.

But the VA pulled the plug on the deal after problems surfaced with Westar, which would have held a lease on the building for 20 years. Westar also is known as VA Butler Partners.

Later, the VA’s own Office of Inspector General issued a report criticizing the process by which Westar was selected as poorly vetted and mishandled.

Since then, the VA has been considering proposals from different developers on four properties in three townships: Butler, Center and Franklin.

The Deshon Woods property was always among those named as in the running. However, it was unclear how the VA could select the site when the developer that had already been eliminated was still the owner.

Westar bought the property from Butler Township for $2.4 million in April 2013.

Michael Pfeifer, a project director for Oxford, appeared before the township commissioners Monday night requesting an extension to approvals that the project’s design already received.

Township zoning officer Jesse Hines told the commissioners that such an extension is standard. The commissioners extended the approval another 90 days.

After the meeting, Pfeifer said his company also is in the dark on when the VA will make its selection. He said only that he’s hoping to get word before the agency ends its fiscal year in September.

He said if Oxford is the successful bidder, the designs for the facility would likely be almost identical to the original.

Pfeifer refused to say what his company would pay for the property. However, he did say that if the VA picks a different site, Oxford will not buy the Deshon Woods property.

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