BELLEVILLE — Southwestern Illinois Development Authority and Hospital Sisters Health System on Wednesday announced that the two organizations have completed a bond issuance in the amount of $197.58 million for construction at two hospitals.
Some $187.6 million of the amount will be used to help finance the construction of HSHS St. Elizabeth’s Hospital and Ambulatory Care Center in O’Fallon, Ill. The $300 million medical facility is scheduled to open in November 2017.
The other $10 million will be used to fund an outpatient surgery addition for HSHS St. Joseph’s Hospital in Breese, Ill, which is currently under construction.
HSHS chose SWIDA to issue the bonds on its behalf due to the organization’s commitment over the past three decades to promoting economic development in Southwestern Illinois. By using SWIDA, HSHS was able to realize lower interest rates over the life of the bonds.
“As we looked for a financing partner to help us fund our new medical campus, SWIDA was a natural fit. We appreciated both their focus on creating new economic opportunities for the residents we serve, and their hands-on approach to ensuring we received the best borrowing terms,” said James Dover, president and CEO, HSHS, Southern Illinois Division.
“When HSHS approached SWIDA for financing, they made it clear they preferred to work with a local development agency with a strong track record in Southwestern Illinois. We are grateful that they trusted us to help support their major construction projects which have created hundreds of good paying skilled trades jobs for this region,” said Mike Lundy, executive director, SWIDA.
The advantage of HSHS using SWIDA to issue tax-exempt bonds is securing a lower interest rate over the 30-year life of the bonds. The bonds are not bought or guaranteed by SWIDA or any other governmental entity but rather are sold in the private financial markets to individuals or institutions solely on the strength of the project and HSHS.
The Southwestern Illinois Development Authority is a special-purpose, municipal corporation and local governmental unit whose purpose is to promote and enhance economic development within the counties of Bond, Clinton, Madison and St. Clair. Visit www.swida.org.
Hospital Sisters Health System’s mission is to reveal and embody Christ’s healing love for all people through high quality, Franciscan health-care ministry. HSHS says it provides state-of-the-art health care in 15 local systems and physician practices in Illinois (Belleville, Breese, Decatur, Effingham, Greenville, Highland, Litchfield, Shelbyville and Springfield) and Wisconsin (Chippewa Falls, Eau Claire, Oconto Falls, Sheboygan, and two in Green Bay). HSHS is sponsored by Hospital Sisters Ministries, and Hospital Sisters of St. Francis is the founding institute. Visit www.hshs.org and visit www.hospitalsisters.org.
— From the Illinois Business Journal