DATE: January 10, 2017
TO: Board of Supervisors
SUBMITTED BY: Jean Rousseau, County Administrative Officer
SUBJECT: Conduit Financing for Community Medical Centers and its Affiliates (No County Liability)
RECOMMENDED ACTION(S):
TITLE
1. Conduct public hearing under Tax Equity and Fiscal Responsibility Act ("TEFRA") and the Internal Revenue Code of 1986 as amended ("Code") regarding the issuance of tax-exempt conduit bonds for Community Hospitals of Central California, Fresno Community Hospital and Medical Center, Fresno Heart Hospital, LLC and Sierra Hospital Foundation, which collectively operate as Community Medical Centers ("CMC") in an amount not to exceed $500,000,000 to refinance 2007 and 2009 certificates of participation and to finance a region cancer treatment and research center
2. Adopt the resolution approving the issuance of the Bonds by the California Municipal Financing Authority ("CMFA") for the benefit of CMC, which adoption is solely for the purposes of satisfying the requirements of TEFRA and the Code.
REPORT
The County has received a request from the CMFA and from CMC to conduct a public hearing concerning the issuance, in an amount not to exceed $500,000,000 ( "Bonds"), of conduit bonds to refinance 2007 and 2009 certificates of participation and to finance the cost of a regional cancer treatment center on the campus of Clovis Community Medical center in the County of Fresno, in the city of Clovis ("Project"). The recommended actions are solely for the purposes of satisfying the requirements of TEFRA, the Code.
The Code requires that prior to issuance of the Bonds, the applicable elected representatives of a qualifying governmental unit with jurisdiction over the area where the project is located must hold a noticed public hearing and adopt a resolution approving the issuance of the Bonds by the CMFA. Since the CMC health care facilities being refinanced and financed are all located within the County, CMC asked the County Board of S...
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