REPORT TITLE:
Health Care Facilities


DESCRIPTION:
Authorizes the issuance of special purpose revenue bonds to
assist Wahiawa General Hospital, Inc., a not-for-profit Hawaii
corporation, or a Hawaii nonprofit affiliate of Wahiawa General
Hospital, Inc. (SB1610 HD1)

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        1610
THE SENATE                              S.B. NO.           H.D. 1
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT
AUTHORIZING THE ISSUANCE OF SPECIAL PURPOSE REVENUE BONDS FOR
   NOT-FOR-PROFIT CORPORATIONS THAT PROVIDE HEALTH CARE
   FACILITIES.


BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 1      SECTION 1.  The legislature finds and declares that it is in
 
 2 the public interest to encourage the development of health care
 
 3 in the State.  The legislature further finds that Wahiawa General
 
 4 Hospital, Inc., a not-for-profit Hawaii corporation, is engaged
 
 5 in the development of a health care facility and thereby serves
 
 6 the public.
 
 7      The legislature further finds that Wahiawa General Hospital,
 
 8 Inc., may be assisted through the issuance of special purpose
 
 9 revenue bonds because its health care facility is a health care
 
10 project pursuant to part II, chapter 39A, Hawaii Revised
 
11 Statutes.
 
12      The legislature finds and declares that the issuance of
 
13 special purpose revenue bonds under this Act is in the public
 
14 interest and for the public health, safety, and general welfare.
 
15      SECTION 2.  Pursuant to part II, chapter 39A, Hawaii Revised
 
16 Statutes, the department of budget and finance, with the approval
 
17 of the governor, is authorized to issue special purpose revenue
 
18 bonds in a total amount not to exceed $37,000,000, in one or more
 
19 series, for the purpose of assisting Wahiawa General Hospital,
 
20 Inc., a not-for-profit Hawaii corporation, or a Hawaii nonprofit
 

 
Page 2                                                     1610
                                     S.B. NO.           H.D. 1
                                                        
                                                        

 
 1 affiliate of Wahiawa General Hospital, Inc., with financing,
 
 2 refinancing, or both, of one or more of the following:
 
 3      (1)  Retirement of outstanding debt on existing health care
 
 4           facilities;
 
 5      (2)  Retirement of outstanding debt on existing capital
 
 6           equipment used in connection with the existing
 
 7           facilities;
 
 8      (3)  Planning, design, construction, and operation of a new
 
 9           health care facility;
 
10      (4)  Acquisition and installation of additional capital
 
11           equipment for use in connection with Wahiawa General
 
12           Hospital, Inc., facilities; or
 
13      (5)  Renovation or repair of existing health care
 
14           facilities.
 
15      The legislature finds and determines that the activities and
 
16 facilities of Wahiawa General Hospital, Inc., and its affiliates
 
17 constitute a health care project as defined in part II, chapter
 
18 39A, Hawaii Revised Statutes, and the financing thereof is of
 
19 assistance to a health care facility.
 
20      SECTION 3.  The special purpose revenue bonds issued under
 
21 this Act shall be issued pursuant to part II, chapter 39A, Hawaii
 
22 Revised Statutes, relating to the authority to issue special
 
23 purpose revenue bonds to assist nonprofit corporations that
 

 
Page 3                                                     1610
                                     S.B. NO.           H.D. 1
                                                        
                                                        

 
 1 provide health care facilities to the general public.
 
 2      SECTION 4.  The department of budget and finance is
 
 3 authorized to issue from time to time refunding special purpose
 
 4 revenue bonds in such principal amounts as the department shall
 
 5 determine to be necessary to refund the special purpose revenue
 
 6 bonds authorized in section 2.  In making this determination, the
 
 7 department shall comply with federal law relating to the
 
 8 exemption from federal income taxation of the interest on bonds
 
 9 of the nature authorized under this section.
 
10      SECTION 5.  The authorization to issue special purpose
 
11 revenue bonds under this Act shall lapse on June 30, 2003.
 
12      SECTION 6.  This Act shall take effect upon its approval.