The new construction and renovation of Genesis Healthcare at the Bethesda Campus will be a bit cheaper thanks to Muskingum County Commissioners
Monday, the legal documents were signed, for the refinancing of the hospital's existing debt. Due to currently low interest rates, the commissioners could issue tax exempt bonds through the county, which will fund the expansion project and ultimately save the hospital money.
"So, if Genesis were just to go out and get a bank loan, the interest rate that would be offered to them would be higher than what's available to them to go through the county,” said Attorney Matt Kamer. “To access the capital market and sell their bonds to the capital markets."
Genesis Healthcare is borrowing nearly 300 million dollars from the county, so over the long term, the amount of money saved will be significant because of this lower interest rate.
"So over a long period of time that adds up, just like if your mortgage is five percent and you refinance to three, over thirty years it adds up."
Though the project is costly, citizens of the community will only benefit, due to the increase in jobs and quality of healthcare.