| Purpose: NOTICE OF PUBLIC HEARING Notice: In accordance with Section 147 of the Internal Revenue Code of 1986, as amended, the West Virginia Hospital Finance Authority (the Authority) will hold a public hearing at 12:00 p.m., Eastern Time, on Tuesday, August 7, 2018, in the Authoritys conference room located on the second floor at 322 70th Street SE, Charleston, West Virginia, with respect to the proposed plan of finance described below, in the aggregate principal amount of not more than $350,000,000 (the Plan of Finance) The Authority intends to loan the proceeds of bonds issued in connection with the Plan of Finance (the Bonds) to Cabell Huntington Hospital, Inc. (Cabell Huntington), which will use the proceeds to: (1) Finance the repayment of bridge loans from JP Morgan Chase Bank, National Association, Fifth Third Bank, Branch Banking and Trust Company, United Bank and WesBanco Bank, Inc. (together, the Bridge Loan), which financed: (i) the acquisition by Cabell Huntington of St. Marys Medical Center, Inc. (St. Marys), which owns and operates a medical center, the main facilities of which are located at 2900 1st Avenue, Huntington, WV 25702 (the St. Marys Main Facility). In addition, the operations of St. Marys include the following facilities of St. Marys: (a) St. Marys Hospitality House, 2801 S. Staunton Road, Huntington, WV 25705, operated by St. Marys; (b) St. Marys Center for Education, 2853 5th Avenue, Huntington, WV 25702, 2849 5th Avenue, Huntington, WV 25702 , 2841 5th Avenue, Huntington, WV 25702, 2833 5th Avenue, Huntington, WV, and 2827 5th Avenue, Huntington, WV, operated by St. Marys; (c) St. Marys Highlawn Medical Building, 2828 1st Avenue, Huntington, WV 25702, operated by St. Marys; (d) St. Marys Family Care Barboursville, 6475 Farmdale Road, Barboursville, WV 25504, operated by St Marys Medical Management, a wholly owned subsidiary of St. Marys; (e) St. Marys Womens and Family Care, 143 Peyton Street, Barboursville, WV 25504, operated by St Marys Medical Management, a wholly owned subsidiary of St. Marys; (f) St. Mary's Highlawn Baptist Church, 2788 Collis Avenue, Huntington WV 25705, operated by St. Marys; (g) St Marys MRI, 5170 US Route 60 East, Huntington, WV 25705, operated by St. Marys; (h) St. Mary's Internal Medicine-Barboursville, One Chateau Lane, Barboursville, WV 25504, operated by St Marys Medical Management, a wholly owned subsidiary of St. Marys; (i) St. Mary's Family Care-Hurricane, WV, 147 Willow Tree Way Hurricane, WV 25526, operated by St Marys Medical Management, a wholly owned subsidiary of St. Marys; (j) St. Mary's Physical Therapy-West Hamlin, 5782 McClellan Highway- Branchland, WV, operated by St. Marys; (k) St. Mary's Physical Therapy- Barboursville, 6433 US RT 60 East, Suite 100, Barboursville, WV 25504, operated by St. Marys; and (l) St. Mary's Physical Therapy- Lavalette, 4554 Rt. # 152, Lavalette, WV 25535, operated by St. Marys (collectively, with the St. Marys Main Facility, the St. Marys Addresses). (ii) the refunding and redemption of all St. Marys then outstanding bonded indebtedness (the Prior St. Marys Bonds), the proceeds of which were used to finance certain improvements to the hospital facilities of St. Marys, commonly known as St. Marys Medical Center and located at 2900 1st Avenue, Huntington, WV 25702, and operated by St. Marys. (iii) certain expenses relating to such acquisition, and all interest and other costs relating thereto. (2) Finance certain costs incurred in connection with the acquisition of St. Marys and not previously paid or reimbursed from the Bridge Loan. (3) Finance the refunding and redemption of some or all of the following bonds: (i) The City of Huntington, West Virginia, Revenue Bonds (Cabell Huntington Hospital, Inc. Project), Series 2008 (the Cabell 2008 Bonds), (ii) West Virginia Hospital Finance Authority Hospital Revenue Bonds (Cabell Huntington Hospital, Inc.) 2009 Series A (the Cabell 2009 A Bonds), (iii) The County Commission of Cabell County, West Virginia, Revenue Bonds (Cabell Huntington Hospital Project), Series 2009 (the Cabell 2009 Bonds), (iv) West Virginia Hospital Finance Authority Hospital Revenue Refunding and Improvement Bonds (Cabell Huntington Hospital, Inc.), 2004 Series A (the Cabell 2004 A Bonds), (v) West Virginia Hospital Finance Authority Hospital Revenue Refunding and Improvement Bonds (Cabell Huntington Hospital, Inc.), 2004 Series B (the Cabell 2004 B Bonds), and (vi) West Virginia Hospital Finance Authority Hospital Revenue Refunding and Improvement Bonds (Cabell Huntington Hospital, Inc.), 2004 Series C (the Cabell 2004 C Bonds and together with the Cabell 2004 A Bonds and Cabell 2004 B Bonds, the Cabell 2004 Bonds). The proceeds of the Cabell 2008 Bonds were used to (i) currently refund a portion of Cabell Huntingtons then-outstanding indebtedness (the Prior Project Note), the proceeds of which were used to finance the costs of the acquisition and construction of improvements to the hospital facilities of Cabell Huntington commonly known as Cabell Huntington Hospital and located at 1340 Hal Greer Boulevard, Huntington, WV 25701 (the Cabell Facilities) and of acquisition of equipment for Cabell Huntington, including but not limited to (a) the north patient tower, operating room, perinatal and surgical systems, hospital cafeteria, interventional radiology, sleep lab, MRI and anesthesia, all located at 1340 Hal Greer Boulevard, Huntington, WV 25701, operated by Cabell Huntington, (b) storm drains and parking lots located at 1665 13th Avenue, Huntington, WV 25701, 1667 13th Avenue, Huntington, WV 25701, 1673 13th Avenue, Huntington, WV 25701, and 1681 13th Avenue, Huntington, WV 25701, operated by Cabell Huntington, (c) perinatal and information systems located at 1616 13th Avenue, Huntington, WV 25701, operated by Cabell Huntington; (d) certain equipment for the Savory & Bailey Physician Office, located at 1115 20th Street, Huntington, WV 25703, operated by Cabell Huntington; (e) office furniture for the Milton Family Practice, located at 1 Harbour Way, Milton, WV 25541, operated by Cabell Huntington; (f) certain equipment for the Bariatrics Physician Office, located at 1115 20th Street, Huntington, WV 25703, operated by Cabell Huntington; (g) certain equipment for Dr. Watts Office, located at 1623 13th Avenue, Huntington, WV 25701, operated by Cabell Huntington; and (h) hillside remediation on property located at 1538 Hal Greer Boulevard, Huntington, WV, 25701 (collectively, together with the Cabell Facilities 780 Oak Street, Kenova, WV 25530, 1400 Hal Greer Boulevard, Huntington, WV 25701, 1300 3rd Avenue, Huntington, WV 25701, 5185 U.S. Route 60 E., Huntington, WV 25705, the Cabell Huntington Addresses), operated by Cabell Huntington (collectively, the aforementioned capital improvements may be referred to as the Prior Project); and (ii) pay costs of issuance of the Cabell 2008 Bonds and related costs. The proceeds of the Cabell 2009 A Bonds were used to (i) currently refund a portion of the Prior Project Note; and (ii) pay costs of issuance of the Cabell 2009 A Bonds and related costs. The proceeds of the Cabell 2009 Bonds were used to (i) currently refund a portion of the Prior Project Note; (ii) finance the construction, improvement, renovation and equipping of the Prior Project, and including reimbursement of funds previously expended for such purpose; and (iii) pay costs of issuance of the Cabell 2009 Bonds and related costs. The proceeds of the Cabell 2004 Bonds were used to (i) currently refund a portion of Cabell Huntingtons then-outstanding indebtedness (the 2004 Refunded Bonds), the proceeds of such 2004 Refunded Bonds having been used to refund certain prior indebtedness of Cabell Huntington, the proceeds of which were used to finance the costs of acquisition and construction of certain improvements to the Cabell Facilities, including a dialysis center, a three-story addition to house an expanded Central Sterile and Storage/Receiving Department, shell space for future expansion of services, and a new surgical suite, renovation and relocation of surgical support services, and acquisition of certain equipment for Cabell Huntington, all located at 1340 Hal Greer Boulevard, Huntington, WV 25701, and operated by Cabell Huntington; (ii) finance the costs of acquisition and construction of the patient tower located at the Cabell Facilities and of acquisition of certain equipment for Cabell Huntington, all located at 1340 Hal Greer Boulevard, Huntington, WV 25701, and operated by Cabell Huntington, including through the reimbursement of certain capital expenditures previously made therefor, (iii) capitalizing interest on a portion of the Cabell 2004 Bonds, during and for a reasonable period of time after construction of the afore-mentioned improvements; (iv) funding a debt service reserve fund for the Cabell 2004 Bonds; and (v) paying the costs of issuing the Cabell 2004 Bonds. (4) Finance the costs of acquiring, constructing, improving, altering, equipping and installing capital improvements to the hospital facilities of Cabell Huntington commonly known as Cabell Huntington Hospital, particularly NTU Uplift/Expansion, Emergency Department renovations, Laundry Department renovations, pain management renovations, Kenova Office expansion, Endo Suite Uplift, Orthopedics Unit expansion, Neurosciences Unit expansion, Operating room renovations, Nursing Stations renovations, Cancer Center Addition, addition of behavioral health day hospital, Eye Center Operating Room expansion, relocation of sleep lab and bariatrics, IT Network Closet renovation, TCU and sleep lab renovation, sprinkler system upgrade, GME relocation, addition of a third floor observation unit, addition of a child-friendly radiology lobby, new flooring, wound care center relocation, administrative offices renovation, renovation of the senior pain and wellness center, renovation of certain pharmacy space, HVAC modifications, mechanical and electrical infrastructure upgrades, updates to patient and visitor amenities, laboratory renovations, respiratory clinic renovations, morgue renovations, replacement of certain x-ray and dexa scan equipment, help desk renovations, renovations to exam rooms, renovation of the fifth floor formula room, roofing replacement parking lot improvements, and gift shop relocation, all to be located at the Cabell Huntington Addresses and operated by Cabell Huntington (collectively, the New Cabell Projects), including through the reimbursement of capital expenditures made, or to be made, therefor. (5) Finance the costs of acquiring, constructing, improving, altering, equipping and installing capital improvements to the hospital facilities of St. Marys, commonly known as St. Marys Medical Center, particularly IMCU renovations, operating room renovations, installation of a new chiller, renovations to the skilled nursing facility, renovations to neurological units, renovation to Pod 6ST4 Unit, and replacement of roofing, all to be located at the St. Marys Addresses and operated by St. Marys (collectively, the New St. Marys Projects and together with the New Cabell Projects, the New Projects), including through the reimbursement of capital expenditures made, or to be made, therefor. (6) Fund a debt service reserve fund for the Bonds. (7) Pay capitalized interest on the New Projects. (8) Pay costs of issuing the Bonds and related costs. The Bond proceeds will be loaned to Cabell Huntington pursuant to one or more Loan Agreements with the Authority. Cabell Huntington will issue to the Authority one or more promissory notes for the Bonds, evidencing Cabell Huntingtons obligation to pay the principal of and interest on the Bonds when due. The promissory note or notes, as applicable, will be a joint and several obligation of the members of the Cabell Huntington Hospital Obligated Group, currently consisting of Cabell Huntington and St. Marys. The Authority, in turn, will assign the note or notes, as applicable, to the trustee for the Bonds as security therefor. The Bonds are and will be special, limited obligations of the Authority, payable solely from the payments from Cabell Huntington under the Loan Agreement and under the notes and from funds and accounts on deposit with the Bond trustee. The Bonds will not be general obligations of the State of West Virginia and will not constitute indebtedness or obligations of the Authority, the State of West Virginia, or any county, municipality or political subdivision of the State within the meaning of any constitutional limitation or provision or a charge against the general credit or taxing powers, if any, of any of them. Persons wishing to express their views on the proposed issuance of the Bonds and Plan of Finance may appear at the hearing or may submit their views in writing regarding the proposed issuance of the Bonds and the Plan of Finance. Any written submissions should be sent to the West Virginia Hospital Finance Authority, 322 70th Street SE, Charleston, West Virginia 25304, Attention: Chairman, and clearly marked Re: West Virginia Hospital Finance Authority/Cabell Huntington Hospital Obligated Group Plan of Finance. Written submissions should be mailed in sufficient time to be received before August 7, 2018. The State of West Virginia acting by and through the West Virginia Hospital Finance Authority, James R. Christie, Chairman. |