Trinity Health secures financing for new hospital in Minot
MINOT, N.D.—Trinity Health received approval on Tuesday, Nov. 7, from the Ward County Board of Commissioners to issue up to $380 million in health care revenue bonds as the second and final step toward financing a new hospital and medical park in southwest Minot.
The county commission approved up to $63 million for Trinity Health in August to refinance existing long-term debt at a lower interest rate and to cover preliminary construction costs.
The hospital now has 416 licensed beds, while the new hospital will have 207 beds.
Mary Muhlbradt of Trinity Health said due to the trend toward shorter hospital stays and a greater emphasis on outpatient care, the number of beds are being reduced in many newer hospitals.
She said hospitals may have a large number of beds that were licensed years ago, but because of the trends in care practices, the actual number of beds used in patient care is less than the number of licensed beds.
Groundbreaking for the new campus is projected to be in spring 2018, with work to be completed on the new hospital and medical office building in about three years.
The cost for construction of the hospital and other buildings, equipment and architectural fees is estimated at $383 million.
Trinity President/CEO John Kutch said the second bond issuance will be used in combination with operating funds and private philanthropy to finance construction of the new health care complex.
Kutch said teams of department leaders have worked with the project manager, Yates Construction, and architects and other contractors to refine the project with the goal of delivering exceptional care at the most reasonable cost.
Kutch said approval of the bonds by the county board doesn't impose any responsibility on the county to pay off the bonds. Approval allows Trinity Health to issue tax-exempt bonds, which are a less-expensive way to finance projects.