The vote was 5-2, with the majority of the council favoring the ownership transfer to Vadis, which has 60 employees and provides community services and support to some 350 people with disabilities. They said it was in the best interests of both the agency and the Sumner community.

Councilman Steve Allsop disagreed, noting that the 25-year contract set rent at $1 a month and allowed Vadis to purchase the building for $645,000, although now the organization will get it for free.

“What will the taxpayers think if we let go of a $645,000 asset?” he asked.

Councilman Matt Richardson pointed out, however, that no Sumner taxpayers’ money was spent on the building.

“There is no net gain or loss,” he said. “The sale will allow Vadis to have equity in hand to do bigger and better things.”

Vadis built its headquarters at 1701 Elm St. with money from Referendum 37, approved by voters in 1979. It provided $25 million statewide to build facilities for the disabled.

The only caveat was that the money couldn’t go directly to nonprofit agencies, but the agency had to have a local government sponsor. Sumner stepped forward in 1986 to sponsor Vadis.

Fast-forward to 2006, when the state Legislature approved a bill allowing local governments to turn over Referendum 37 facilities to nonprofit agencies as long as they were used for the disabled. A number of other governments have done so, including the City of Yakima.

John Lund, former chief executive officer for Vadis, told the council that Vadis intends to continue operating and will use the equity in the building as collateral to start new programs as needed.

Though he does not vote on council matters, Mayor Dave Enslow joined with Allsop and Councilman Leroy Goff in opposing the transfer. He noted that Vadis has the option to renew the lease for another 25 years when the current contract expires in 2010.

The law allowing the title transfer does require that if the property is subsequently sold, it must be used for a similar purpose or the property or proceeds of the sale will revert to the city.

Councilman Randy Hynek said he understood that the state granted $300,000 to Vadis and the agency raised another $500,000 to build its Sumner facility.

“I don’t look at it as our asset,” he said, pointing out that the city’s name on the title was not ownership but sponsorship to ensure that the state money was spent wisely.

Vadis has done that for more than 20 years, he said.

Mike Archbold: 253-597-8692