Adults and Children with Learning and Developmental Disabilities, Inc. (“ACLD”), a NY not-for-profit 501(c)(3) organization, serves the needs of more than 3,000 children and adults with developmental disabilities on Long Island. ACLD’s health care operations were spread across two buildings as demand grew and housed within space originally constructed for office purposes. A new facility was needed to provide improved waiting rooms, exam rooms, and dental operatories, as well as to enhance patient privacy and comfort.
Solution and Execution
The $12,576,000 Nassau County Local Economic Assistance Corporation bonds were underwritten by GATES and the proceeds were used to pay 100% of the costs of designing, developing, constructing, furnishing and equipping ACLD’s new Charles Evans Health Center building, as well as all related costs of issuance, site costs and interest payable on the bonds during the construction period.
Each of the following objectives articulated by ACLD to GATES was satisfied utilizing this financing strategy: (1) maintaining its financial and business decision making independence from its commercial banks and other financial partners; (2) achieving the lowest possible interest cost during the construction and start-up period (which was established as three years); and (3) providing the flexibility to select a variety of interest rate modes, security structures and offering modes in the future.