November 10, 2015
WHEFA Bond Financing Helps Reedsburg Area Medical Center, Inc. Refinance in Reedsburg
“Working with WHEFA for this tax-exempt refinancing has been very beneficial to Reedsburg Area Medical Center. We were able to save over $1 million dollars. Those savings are very important for our small and independent hospital in a time when fiscal resources are extremely constricted. As we look to the future, we look forward to working again with WHEFA for tax-exempt financing projects.”
– Robert Van Meeteren, President
Reedsburg Area Medical Center, Inc.
Bond financing facilitated by WHEFA was used to help Reedsburg Area Medical Center refinance bonds previously issued by WHEFA in 2006. This federally tax-exempt financing process has enabled the borrower to operate more effectively by refinancing its capital expenses at a lower interest rate (1.86%). The net present value savings following the refunding is approximately $1.17 million.
Reedsburg Area Medical Center owns and operates a critical access hospital located in Reedsburg, Wisconsin which provides primary and acute care services on both an inpatient and outpatient basis with 25 acute care beds and 17 day care surgery beds. Reedsburg Area Senior Life Center, Inc., a separate nonprofit Section 501(c)(3) organization, operates a 50-bed skilled nursing facility and a 24-bed residential care apartment complex on the hospital campus..
WHEFA is proud to have been able to assist Reedsburg Area Medical Center by reducing their overall debt service and allowing them to grow and compete by providing access to low-cost private capital.