REPORT TITLE:
Health Care Facilities


DESCRIPTION:
Authorizes the issuance of special purpose revenue bonds to
assist Wahiawa Central-Oahu Health Center, Inc., a not-for-profit
Hawaii corporation, or a Hawaii nonprofit affiliate of Wahiawa
Central-Oahu Health Center, Inc.  (SB1609 HD1)

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        1609
THE SENATE                              S.B. NO.           S.D. 1
TWENTIETH LEGISLATURE, 1999                                H.D. 1
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 facilities in the State.  The legislature further finds that
 
 4 Wahiawa Central-Oahu Health Center, Inc., a not-for-profit Hawaii
 
 5 corporation, is engaged in the development of a health care
 
 6 facility and thereby serves the general public.
 
 7      The legislature further finds that Wahiawa Central-Oahu
 
 8 Health Center, Inc., is engaged in the planning, design, and
 
 9 construction of a patient-focused facility that includes, but is
 
10 not limited to, the following:
 
11      (1)  Outpatient diagnostic facilities;
 
12      (2)  Emergency room facilities with observation beds; and
 
13      (3)  Ambulatory surgical unit.
 
14      The legislature further finds that Wahiawa Central-Oahu
 
15 Health Center, Inc., may be assisted through the issuance of
 
16 special purpose revenue bonds because its health care facility is
 
17 a project pursuant to part II, chapter 39A, Hawaii Revised
 
18 Statutes.
 

 
Page 2                                                     1609
                                     S.B. NO.           S.D. 1
                                                        H.D. 1
                                                        

 
 1      The legislature finds and declares that the issuance of
 
 2 special purpose revenue bonds under this Act is in the public
 
 3 interest and for the public health, safety, and general welfare
 
 4 of the State.
 
 5      SECTION 2.  Pursuant to part II, chapter 39A, Hawaii Revised
 
 6 Statutes, the department of budget and finance, with the approval
 
 7 of the governor, is authorized to issue special purpose revenue
 
 8 bonds in a total amount not to exceed $40,000,000, in one or more
 
 9 series, for the purpose of assisting Wahiawa Central-Oahu Health
 
10 Center, Inc., a not-for-profit Hawaii corporation, or a Hawaii
 
11 nonprofit affiliate of Wahiawa Central-Oahu Health Center, Inc.,
 
12 with financing one or more of the following:
 
13      (1)  Planning, design, and construction of a new health care
 
14           facility; or
 
15      (2)  Acquisition and installation of additional capital
 
16           equipment for use in connection with Wahiawa Central-
 
17           Oahu Health Center, Inc., facilities.
 
18      The legislature finds and determines that the activities and
 
19 facilities of Wahiawa Central-Oahu Health Care, Inc., and its
 
20 affiliates constitute a project as defined in part II, chapter
 
21 39A, Hawaii Revised Statutes, and that the financing thereof is
 
22 assistance to a health care facility.
 

 
 
 
Page 3                                                     1609
                                     S.B. NO.           S.D. 1
                                                        H.D. 1
                                                        

 
 1      SECTION 3.  The special purpose revenue bonds issued under
 
 2 this Act shall be issued pursuant to part II, chapter 39A, Hawaii
 
 3 Revised Statutes, relating to the authority to issue special
 
 4 purpose revenue bonds to assist not-for-profit corporations that
 
 5 provide health care facilities to the general public.
 
 6      SECTION 4.  The department of budget and finance is
 
 7 authorized to issue from time to time refunding special purpose
 
 8 revenue bonds in such principal amounts as the department shall
 
 9 determine to be necessary to refund the special purpose revenue
 
10 bonds authorized in section 2.  In making this determination, the
 
11 department shall comply with federal law relating to the
 
12 exemption from federal income taxation of the interest on bonds
 
13 of the nature authorized under this section.
 
14      SECTION 5.  The authorization to issue special purpose
 
15 revenue bonds under this Act shall lapse on June 30, 2003.
 
16      SECTION 6.  This Act shall take effect upon its approval.