CAMC borrows $20 million for 'future uses'
CHARLESTON, W.Va. -- Charleston Area Medical Center officials say they're borrowing $20 million for future projects to take advantage of especially low interest rates.
"Interest rates are at an all-time historically low," said Dave Ramsey, the hospital's chief executive officer.
The hospital's interest rate for the loan is 4.05 percent.
At its regular meeting Wednesday, the CAMC Board of Trustees voted to set up a bank account for the money.
The loan follows another $60 million loan hospital officials recently took out for its new cancer center, an addition to the Ambulatory Surgery Center at CAMC General, energy upgrades at CAMC General and upgrades to physician spaces at CAMC Memorial and General.
"Loans are an infrequent event for hospitals and especially us," Hudson said. "We have a loan maybe every three to four years."
Hospital officials have yet to decide what they will use the $20 million for, Hudson said.
"There's no specified purpose for the cash," he said. "We'll be holding it in escrow for future uses.'
Ramsey said the money could be used for building, renovating or adding services.
"We don't really have it identified at this point in time," he said.
In other business, Ramsey was recognized by the American Hospital Association with its Grassroots Champions award.
The award, given to one person in each state and the District of Columbia, recognizes hospital officials who educate elected offices on issues that affect hospitals and who broaden community support for hospitals, according to a press release from the AHA.
Reach Lori Kersey at email@example.com or 304-348-1240.