Receiver files report on assets of the defunct Newcomerstown Rescue Squad

Jon Baker, The Times-Reporter
·3 min read

NEWCOMERSTOWN ‒ The appraised value of the assets of the Newcomerstown Emergency Rescue Squad Inc., (NERS) is close to $500,000 and the claims against NERS are less than $100,000, according to a report filed by the court-appointed receiver for the defunct organization.

Columbus attorney Ken Goldberg filed his report Thursday with Tuscarawas County Common Pleas Court. In his report, he estimated it will take six months to receive the necessary court approvals and liquidate the assets of the organization and complete the necessary filings to conclude the receivership.

The Newcomerstown Fire Department was where Newcomerstown Rescue Squad, Inc., ran operations.
The Newcomerstown Fire Department was where Newcomerstown Rescue Squad, Inc., ran operations.

Tuscarawas County Common Pleas Court Judge Elizabeth Lehigh Thomakos ordered the organization to stop providing services in response to a lawsuit filed in April by Ohio Attorney General Dave Yost, that alleges that NERS failed to follow state laws regarding nonprofits. It ceased operations in June.

NERS provided fire and emergency medical response in Newcomerstown and nearby townships. The village started its own fire department in May in response to concerns about NERS staffing and governance.

NERS owns the David Barber Civic Center at 1066 E. State St., Newcomerstown, where it ran bingo operations, as well as several nearly vacant parcels of land. It operated out of a fire station at 200 S. College St., owned by the village of Newcomerstown, and owns numerous vehicles and equipment stored there.

Receiver details actions he has taken

In his report to the court, Goldberg details what actions he has taken since being appointed receiver.

He notes that he has not requested formal appraisals for the real estate because of the significant cost involved. He has engaged Exelon Realty to provide a valuation for the civic center to assist Goldberg in determining an appropriate listing price.

All of the vehicles and equipment stored at the fire station has been appraised by Peddicord Rice LePage Real Estate & Auction. "There was a significant amount of equipment that was too old or in too poor condition to be valued," Goldberg wrote. "However, the appraisal determined the vehicles, vehicle equipment and separate equipment to have an appraised value at nearly $300,000."

A Newcomerstown Fire Department truck can be seen through the windows of the firehouse bay door. The apparatus was formerly owned and run by Newcomerstown Emergency Rescue Squad Inc.
A Newcomerstown Fire Department truck can be seen through the windows of the firehouse bay door. The apparatus was formerly owned and run by Newcomerstown Emergency Rescue Squad Inc.

The bingo equipment at the civic center has an appraised value of $6,050. The other personal property at the center has an appraised value of $13,545.50.

Upon taking control of NERS, Goldberg found there was about $118,423 in the organization's bank accounts at Huntington Bank. He consolidated the accounts and now has $2,500 in an operating account and around $115,000 in a deposit account.

There are about 40 known creditors of NERS.

Prompt liquidation planned

Goldberg concludes his report by saying that he plans to promptly liquidate the assets of the organization. He hopes to hire an auctioneer to auction the majority of the vehicles, vehicle equipment and separate equipment at the fire station. Because of legal restrictions on the sale of bingo equipment, he will likely propose to the court to sell the equipment to Lancaster Bingo Co.

He proposes to list for sale the civic center and nearly vacant land unless he is able to find a buyer without listing the property with a realtor.

He has received written and verbal communications from a few non-profit organizations, including the Thomas R. Little Foundation and the village of Newcomerstown, that he consider donating some of the real estate, vehicles and equipment to the non-profit organizations. The Thomas R. Little Foundation is interested in using the civic center for its charitable services, he wrote. Newcomerstown's fire chief has provided Goldberg with a list of vehicles the village is interested in owning.

"The receiver has provided no assurances or commitments to anyone regarding requests to donate or gift receivership assets to non-profit organizations," Goldberg wrote. "The overriding purpose of the receivership is to maximize the value of the receivership estate by gathering and liquidating all of the receivership assets to pay the creditors of the receivership."

The attorney general, in his filing, asked that the assets of NERS be given to the attorney general for redistribution for charitable purposes for such things as fire protection, ambulance and emergency response in and around Tuscarawas County.

Reach Jon at 330-364-8415 or at jon.baker@timesreporter.com.

This article originally appeared on The Times-Reporter: Receiver files report on assets of Newcomerstown Rescue Squad