Debt hearing set

By Sasha Heller
Staff Writer
Posted 12/8/09

DAPHNE, Ala. — The Daphne City Council at its business meeting Monday set a public hearing for 6:30 p.m. Dec. 21 to consider a request for Infirmary Health Care System to restructure “most of its existing debt,” after hearing a presentation …

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Debt hearing set

Posted

DAPHNE, Ala. — The Daphne City Council at its business meeting Monday set a public hearing for 6:30 p.m. Dec. 21 to consider a request for Infirmary Health Care System to restructure “most of its existing debt,” after hearing a presentation from Infirmary’s C.F.O. Joe Denton.

Denton said the debt, totaling approximately $22 million, comprises fixed-rate bonds, variable bonds and bank loans.

“There’s no new money in this initiative,” Denton said. “It’s mostly just reinvestment.”

Councilman Ron Scott, who sits on the Finance Committee, said there is no financial obligation on the part of the city.

“It’s just a pass-through,” he said.

Infirmary must have community support to execute its restructuring plan, according to City Clerk David Cohen, but the city is only required to let it hold a public hearing to be held in the council chambers at City Hall.

In other business, the council:

The council awarded Galbrath and Associates a $50,000 contract as project program administrator.