Lawmakers are moving forward with a plan to help the (NUMC) refinance, which would save the money-strapped hospital more than $15 million in the long run, according to Newsday.
The legislation would grant the Nassau Interim Finance Authority (NIFA) permission to grant bonds, which would allow the East Meadow based hospital to refinance at low rates.
Assemblyman Charles Lavine, D-Glen Cove, the primary sponsor, told Newsday that NIFA backing would guarantee even lower rates, saving the medical center about $15 million in the long run.
The medical center, based in East Meadow, has been struggling with rising pension costs and lower Medicaid payments. It has laid off more than 300 employees in the last year and has begun talks with North Shore-Long Island Jewish Health System, a private entity based in Manhasset, about collaborating to lower administrative costs.
"The whole focus of this bill is the viability of the medical center," Sen. Kemp Hannon, R-Garden City, added. "It would show the bond market we're serious about protecting the financial future of the medical center."
"We are looking to NIFA to help us refinance our variable rate bonds at the lowest possible interest rates and to fix our bonds so as to eliminate any market or credit risk," Arthur A. Gianelli, president and chief executive of the NuHealth System, said in a statement.
Should officials move forward with the legislation to help NUMC during its debt crisis? Tell us in the comments.