ANALYSIS OF HOUSE BILL 2734

    Modifying the definition of health care facility in the authority statute

              to include public health facilities.

Health Care Committee                          January 31, 2000

Washington State House of Representatives

SPONSORS:  Representatives Alexander and Campbell.

BACKGROUND:  The Washington Health Care Facilities Authority was created in 1974 to assist the non-profit health care providers in Washington finance their capital operating costs  through low cost, tax-exempt interest rate loans.  The agency provides services to all non-profit hospitals in the state and many community mental health providers, community clinics, and alcoholic treatment centers. 

The agency achieves it purpose by issuing non-recourse tax-exempt revenue bonds and loaning the proceeds to the state=s non-profit health care providers.

SUMMARY:  The definition of Ahealth care facility@ is revised and expanded to permit the Washington Health Care Facilities Authority to assist in the building of public health facilities and projects that are associated with the promotion and maintenance of the health of the public. The agency's ability to provide services to public health providers, such as public health districts, is clarified for the purpose of bond issuance.