Governor Kay Ivey and the Amendment 666 Bond Commission authorized on Tuesday the future issuance of bonds to fund capital expenses at Jackson Hospital.
Amendment 666 was approved by Alabama voters in 2000 to allow the State to issue up to $350 million in bonds to finance various capital improvement projects.
“For Alabama to be the best state in which to live, work and raise a family, it is imperative we support creating opportunities – from the classroom to the workforce – for every citizen across the state. No doubt, we have a strong record when it comes to economic development, but for that to continue, we must also press forward in finding solutions to our healthcare challenges,” Ivey said. “Right now in Montgomery, our healthcare system faces its own unique struggles with the current situation at Jackson Hospital. Losing a hospital in one of our large metropolitan areas would be devasting not just for the Montgomery community, but for the many residents in the surrounding counties it serves. For safety and security in our Capital City, it is important we maintain Jackson Hospital as a close by option for state government, elected leaders in the executive, legislative and judicial branches, as well as the many visitors, from our fourth graders to our tourists. And even more than that, it serves so many other Alabamians nearby, in both urban and rural areas.”
She continued, “For a year now, I have been engaged on the issues facing Jackson Hospital due to their previous mismanagement. There is new hospital leadership in place now, which I have confidence in, and I challenged local elected leaders to come forward with their own funding commitments. I am grateful to both the City Council and County Commission for answering that call. I am also proud to commit $40 million from the state for capital expenses at Jackson Hospital. These future funds would only be issued once Jackson Hospital emerges out of bankruptcy.”
“A strong capital city is necessary for a strong state, and the healthcare system here in Montgomery is certainly a critical component to that. I remain hopeful Jackson Hospital puts itself on a stronger path and is sustainable through its next 80 years and beyond,” Ivey added.
A spokesman for the Finance Department told 1819 News on Tuesday, “The Amendment 666 Bond Commission authorized the future issuance of General Obligation bonds to provide funding of $22.2 million for ongoing economic development incentives, $15 million to support the relocation and operations of U.S. Space Command, and up to $40 million for capital expenses at Jackson Hospital.”
“The Jackson Hospital funding would be issued upon emergence from bankruptcy and subject to a future project agreement with the state,” the spokesman said.
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