The Westchester County Local Development Corp. has approved a total of $44 million in tax-exempt financing for two hospital and school construction projects in the county.
The expansion and improvement projects at Northern Westchester Hospital and the Rippowam Cisqua School are the first to be approved for funding since the LDC was formed in January to issue tax-free bonds that were formerly available to nonprofits from the Westchester County Industrial Development Agency. IDAs in the state lost their bonding power at the start of 2008, when legislation authorizing them to finance civic or nonprofit projects expired.
County Executive Robert P. Astorino, who established the LDC, said the financing “comes at no risk to the county or to taxpayers.”
The LDC board at its July 26 meeting agreed to issue $36 million in tax-free bonds for an estimated $42-million expansion of the surgical suite at Northern Westchester Hospital in Mount Kisco, which plans to add six operating rooms and 13 beds for its pre- and post-anesthesia care unit. The project is expected to create approximately 29 construction jobs and numerous patient care positions.
The Rippowam Cisqua school district, with facilities in Mount Kisco and Bedford, stands to receive $8 million in tax-free bonds for a project that includes renovations to its athletic fields. Â The funds also would cover the school”™s refinancing of an existing IDA bond and existing bank loans, resulting in $80,000 to $100,000 annually in savings for the district, according to school officials.
The LDC financing must be approved by the county Board of Legislators.
