Catoosa And Walker Offer Hutcheson Hospital $2.5 Million Line Of Credit

Wednesday, May 15, 2013 - by Mike O'Neal

The only business addressed during a called meeting of the Catoosa County Board of Commissioners on Wednesday concerned extending a short-term line of credit to Hutcheson Medical Center.

County Attorney Chad Young described the willingness of Walker and Catoosa counties to guarantee the hospital’s borrowing of up to $2.

5 million as “another step” in moving forward with restructuring HMC’s indebtedness.

“This is not a check, it is a line of credit,” Mr. Young said. “Any draw from these funds would be subject to approval by both counties.”

Erlanger Health System had recently extended a loan of $550,000 for Hutcheson’s immediate needs and the county’s action will permit the hospital to make necessary capital improvements while a longer term refinancing scheme is worked out.

The hospital is in the process of developing an arrangement that would allow leasing the hospital’s buildings to another medical entity — a local, regional or national hospital or corporation.

Lease payments would cover all servicing all of HMC’s debts and would mean taxpayers would not be called upon to pay off the hospital’s debts.

Since December, the hospital and the hospital authority have been trying to restructure debts accumulated by a previous administration.

Presently, the hospital’s long-term strategy is to secure $35 million in short term funding through bond anticipation notes and a total of about $50 million over a 30-year period.

A short-term bond anticipation note is expected to close before the end of June, officials said.

“This will be a short-term bridge to cover the gap for about six weeks,” Catoosa Commission Chairman Keith Greene said.

moneal2480@comcast.net


PHOTOS: Back The Blue Walk

A group of family and friends of law enforcement. along with active and retired police officers, showed their support for law enforcement Saturday afternoon. They took part in the Back the Blue Walk from Ross's Landing to Coolidge Park. (click for more)

Upcoming City Council Agenda For Tuesday

Here is the upcoming City Council agenda for Tuesday: I. Call to Order. II. Pledge of Allegiance/Invocation (Councilman Gilbert). III. Minute Approval. IV. Special Presentation. V. Ordinances – Final Reading: ECONOMIC AND COMMUNITY DEVELOPMENT a. An ordinance to amend Chattanooga City Code, Part II, Chapter 26, Section 26-33, Outdoor Fee Changes to ... (click for more)

Olympic Events On The Ocoee River Made History – But It Wasn’t Easy

It started with a simple “what if” question while Atlanta officials were working on a bid to host the 1996 Summer Olympic Games.  A group of amateur kayakers from the city began asking themselves: “What if Atlanta’s bid is successful? Then where would the Olympic whitewater canoe and kayak races be held?”  To some of the members of that group, the answer was obvious. ... (click for more)

Roy Exum: Don’t Kick A Man’s Neck

From the minute my brothers and I each became cognizant, my dad started teaching us the rules of becoming a man. Dad was from deep in Mississippi and he’d been taught a lot of life’s secrets from his father. These lessons have been passed for generations and, the older I have become, I’m convinced a lot of them were borne from The Sermon on the Mount. Our favorite, back in the ... (click for more)

Chattanooga FC Shocked By Sonoma In NPSL National Semfinal

A Will Roberts goal in the sixth minute assisted by Juan Hernandez looked like it would be enough Saturday night in the NPSL National Semifinal match at Finley Stadium.   Unfortunately, the visiting Sonoma County Sol would score two late in the game to earn a 2-1 win.   Sonoma had very few chances in the 90 minutes of play before a crowd of 12,251 which is second to ... (click for more)

Randy Smith: Some SEC Games To Watch This Fall

We're a month away from college football's opening weekend. While I'm still pondering my annual pre-season picks, I have noticed a few "must see" games in the SEC this season. And while I say "must see" games, they will all likely have serious implications as to how the final standings will shape up. September 3rd : Alabama vs Southern Cal in Arlington, Texas.  ... (click for more)