Revenue bonds for nursing home may return
URBANA -- A plan to issue up to $765,000 in revenue anticipation notes to help the financially strapped Champaign County Nursing home could be reborn.
As many as four local banks are interested in issuing the notes that are borrowed against payments owed by the state of Illinois, Michael Scavotto, manager of the nursing home, said Monday evening.
That money, in addition to a late $895,160 payment from the state received on Monday, could put a dent in the more than $3 million the nursing home owes its vendors, Scavotto said. The late Medicaid payment made Monday dates back to July.
"This ought to calm some fears," Scavotto said following a meeting of the county's nursing home board of directors.
The revenue anticipation notes idea appeared dead in the water after a request for bids from more than two dozen local banks went unanswered last month.
But a more personal appeal proved helpful, Scavotto said.
"We talked to them. Some didn't understand it. Some didn't see it," he said. "Once we explained it to them they were more interested. It functions just like a revolving line of credit."
He said he hopes the nursing home is able to issue revenue anticipation notes as early as January.
In addition to the Medicaid payment, the revenue anticipation notes and $850,000 in tax anticipation recently issued, the county is awaiting a $1.9 million federal intergovernmental transfer payment.
"With all of this together we have a potential of about $4.4 million (in revenue)," he said. "That would put us in better shape."
Also Monday, the nursing home board was told that November's average daily census at the nursing home was 201, the best number since a 201.1 census in September 2010.
"We think we're doing a better job of marketing, and working with the hospitals," Scavotto said.