Daniels County schedules April 6 hearing for conduit bonds to finance hospital project

The Daniels County Commission voted to call a final public hearing on April 6 on a resolution authorizing the issuance of conduit industrial development bonds on behalf of Daniels Memorial Healthcare Center.

Nathan Bilyeu, who presented the resolution, said the statute limits county exposure and requires explicit language on the bonds. "This limitation must be plainly stated on the face of bonds," he said, stressing that the financing would be a conduit arrangement and would not create pecuniary liability for the county. Bilyeu summarized the financing authority and described an issuance cap: the resolution authorizes issuance up to $35,000,000, with the project's projected long-term financing described at roughly $32,000,000.

Bilyeu told commissioners the hospital would enter a loan agreement at closing and "assume all obligations, liabilities, covenants, duties under the bonds," including responsibility for construction and operational liabilities. He added that the resolution only calls the hearing and does not approve permits, zoning, or other county approvals for the hospital project.

A commissioner moved to approve the resolution calling the hearing and the board approved the motion by voice vote. The hearing on the public interest will be on April 6; a final approval of bond issuance would follow the public hearing process if the project proceeds.

The county recorded no other formal county commitments under the resolution; legal language in the draft reiterates that bonds issued under the authority cited do not constitute a charge against the county's general credit or taxing powers.