| AGENDA ITEM REVIEW FORM |
3.A.
Industrial Development Authority
- Meeting Date:
- 09/09/2026
- Department Head:
- Joe Estes
- Submitted By:
- Justin Neuman, Paralegal, Attorney's Office
ITEM:
Discussion and possible action on any and all matters regarding Resolution No. 2026-02. An Amending Resolution of the Board of Directors of the Industrial Development Authority of the City of San Luis, Arizona approving the application of draws on existing tax-exempt draw-down bonds issued by the authority, in a maximum principal amount not to exceed $10,000,000, to the refinancing of certain outstanding debt obligations of Regional Center For Border Health, Inc. (Glenn J. Gimbut, General Counsel of the IDA Board)
SUMMARY:
The non-profit Regional Center for Border Health, Inc. ("RCBH") is building an approximately sixteen-bed (16-bed) hospital in San Luis, Arizona, to be called the "Border Health Medical Campus/San Luis Community Hospital." It is expected to be 64,000 square feet. It will be on a ten-acre (10-acre) parcel that the RCBH owns. The anticipated address will be 311 South Oak Avenue, adjacent to the Regional Center for Border Health's Medical Mall, 151 South Oak Avenue.
The completion of financing for this project requires the refinancing of certain outstanding loans made to RCBH by the United States Department of Agriculture (“USDA”). RCBH, together with the San Luis Walk-in Clinic, Inc. (the "Borrowers"), is requesting the authorization to apply a portion of the proceeds of certain draws on the Healthcare Facilities Revenue Bonds to such refinancings in accordance with an amended plan of finance. All the property financed with proceeds of the refunded loans (the “Subject Financed Property”) will be owned and principally used by RCBH, and the Subject Financed Property and the New Hospital Project will be used by the Borrowers in an integrated operation.
The resolution submitted to the Board in this item will authorize the draw of existing tax-exempt draw-down bonds for the refinancing of USDA loans as described above. Neither the City of San Luis nor the IDA will be liable for the debt.
The bond lawyer or lawyers will be available by phone or video conference during the Board meeting.
A public hearing will be held on September 9, 2026, at 6:00 p.m. After the Public Hearing, the City Council has an action item to approve the application of draws on existing tax-exempt draw-down bonds issued through this IDA Board.
The completion of financing for this project requires the refinancing of certain outstanding loans made to RCBH by the United States Department of Agriculture (“USDA”). RCBH, together with the San Luis Walk-in Clinic, Inc. (the "Borrowers"), is requesting the authorization to apply a portion of the proceeds of certain draws on the Healthcare Facilities Revenue Bonds to such refinancings in accordance with an amended plan of finance. All the property financed with proceeds of the refunded loans (the “Subject Financed Property”) will be owned and principally used by RCBH, and the Subject Financed Property and the New Hospital Project will be used by the Borrowers in an integrated operation.
The resolution submitted to the Board in this item will authorize the draw of existing tax-exempt draw-down bonds for the refinancing of USDA loans as described above. Neither the City of San Luis nor the IDA will be liable for the debt.
The bond lawyer or lawyers will be available by phone or video conference during the Board meeting.
A public hearing will be held on September 9, 2026, at 6:00 p.m. After the Public Hearing, the City Council has an action item to approve the application of draws on existing tax-exempt draw-down bonds issued through this IDA Board.
RECOMMENDATION / SUGGESTED MOTION:
I MOVE TO ADOPT RESOLUTION NO. 2026-02 APPROVING THE APPLICATION OF DRAWS ON EXISTING TAX-EXEMPT DRAW-DOWN BONDS IN A MAXIMUM PRINCIPAL AMOUNT NOT TO EXCEED $10,000,000.00, AS PRESENTED.