The City Council adopted an emergency amendment to a prior resolution to increase the bond authorization for an Industrial Development Authority (IDA) financing package that would be lent to the Regional Center for Border Health to construct a hospital in San Luis.

An attorney for the IDA explained the amendment increases the previously approved bond cap (originally up to $80 million) to an authorization level of $100 million to account for higher projected project costs and bid changes; counsel told the council the change would allow the IDA to issue up to $100 million in tax-exempt bonds for the project. The attorney said investors are seeking a parity agreement with the U.S. Department of Agriculture for the proposed financing and that TEFRA requirements and timing mean the council must act before an October 2 deadline linked to the prior TEFRA hearing.

Attorney counsels and Amanda Aguirre, president and CEO of the Regional Center for Border Health, told the council all construction documents, permits and architectural plans are ready and that the contractor proposed for the project is Oakland Corporation. The IDA attorney and city attorney told the council multiple times that the proposed bonds would be secured solely by the Regional Center for Border Health and would not obligate the city or its taxpayers.

A public hearing was opened and closed with no public speakers; the council approved the amended resolution (listed on the agenda as Resolution 23-75) and declared an emergency so the IDA could proceed with the amended authorization. The council record includes a statement on the record that Mayor Nieves Bridal declared she has no conflict of interest regarding the action.