MIAMI COUNTY — On Thursday, the Miami County Commissioners held a public hearing to discuss the issuance of $250 million in bonds for the Kettering Health Network’s Troy hospital project.
Approval of the resolution would authorize the issue and sale of hospital facilities improvement and refunding revenue bonds in an aggregate principal amount not to exceed $250 million.
Drew Linnenbom with Dinsmore and Shohl, bond counsel for Kettering Health Network, said the proceeds of the bond would be used by the network to finance several projects, primarily the Troy hospital.
“Of course, these bonds are a limited revenue obligation that won’t affect your credit rating,” Linnenbom told the commissioners. Under Ohio law, bond holders have no right to come to the county seeking repayment on the bonds, he added.
Kettering Health Network Treasurer Ed Mann said this will allow the network to access the bond market through the county’s tax-exempt status.
The bond proceeds will not be used for the $30 million medical facility in Piqua that recently broke ground, Mann said. He added that the network typically seeks bond deals every two years.
Upper Valley Medical Center President Tom Parker addressed the board during the public hearing, referencing the consolidation and reorganization of local hospitals in the 1990s. At that time, he said the consolidation “did appropriately size the county based on county demographics and population and demand for in-patient beds.”
“So the only question, the only challenge that Premier Health and Upper Valley would bring forward at this time is: What has changed in the marketplace that requires additional in-patient beds and capacity in Troy and in Miami County?” Parker said.
He claimed that advancements in medicine, technology and pharmaceuticals are driving a downward trend in the need for in-patient services. “The position of Premier Health and Upper Valley Medical Center is that, if there is any financial risk to the county, that this might not be the best situation for Miami County.”
Commissioner Jack Evans noted that the county has “done this for other hospitals before.”
“At this point in time, should this not be approved, I think we’ve got a monstrosity sitting down on Main Street that would not be particularly good for the community,” he said, referencing the incomplete construction of the hospital.
The commissioners will vote on the resolution at a future date.
In other business, the commissioners signed an agreement between the Miami County Sheriff’s Office and Gallia County for the provision of jail services. The agreement will provide up to three female and six male bed spaces at a rate of $55 per day per bed.
According to Sheriff Dave Duchak, Gallia County is responsible for the transportation of their inmates, as well as medical costs.
Duchak said the number of female inmates in the Incarceration Facility averages in the mid-30s and the population in the two male pods is typically in the low- to mid-50s. He added that the female population has declined with the decrease in opioid use.
Reach Cecilia Fox at email@example.com.