City of Alexandria, Virginia
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MEMORANDUM
DATE: JUNE 20, 2018
TO: THE HONORABLE MAYOR AND MEMBERS OF CITY COUNCIL
FROM: MARK B. JINKS, CITY MANAGER /s/
DOCKET TITLE:
TITLE
Consideration of a Resolution Approving the Issuance of Refunding Bonds by the Industrial Development Authority (IDA) of Fairfax County to assist Inova Health Systems (Inova) in refunding all or a portion of certain outstanding revenue bonds. [ROLL-CALL VOTE]
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ISSUE: Resolution approving the issuance of refunding bonds by the Industrial Development Authority (IDA) of Fairfax County to assist Inova Health Systems (Inova) in refunding all or a portion of certain outstanding revenue bonds.
RECOMMENDATION: That City Council adopt the attached Resolution (Attachment 1) as recommended by the Alexandria Industrial Development Authority (AIDA).
BACKGROUND: In April 2009, the IDA of Fairfax County issued $355 million in bonds (2009 Bonds) so that Inova could refinance debt that was originally issued in 1995, 2001, and 2005 for a variety of hospital projects. In addition to facilities in Fairfax County, some of these projects were in Loudoun County and the City of Alexandria, including facilities at Inova Alexandria Hospital. When the original bonds were issued, the Loudoun Board of Supervisors and Alexandria City Council voted to approve the financing, as required by the Industrial Development Revenue Bond Act ("Act") and the Internal Revenue Code ("Code"). In 2012 and again in 2016, when portions of the 2009 Bonds were advance refunded with the proceeds of bonds issued by the IDA of Fairfax County, the Loudoun Board of Supervisors and Alexandria City Council voted to approve the refinancing, as required by the Act and the Code. In 2017, the Virginia Small Business Financing Authority issued its Health Care Revenue Bonds (Inova Health System Project), Series 2017 (VSBFA Bonds) to refund all or a por...
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