Message From The ED

Dear RIHEBC community:

The second quarter of 2022 brought us some really great news, and some terribly sad news, testing my ability to take the good with the bad. On the great news side of this equation, RIHEBC’s enabling statute was officially changed to permit our financing and grant programs to be available to a broader range of organizations. Previously, access to these programs was limited to private k-12 and higher education schools; cities and towns but only for public school construction projects; and healthcare institutions licensed by the state.

We can and will continue to serve the above institutions, but now we can also assist cultural institutions, YMCAs and day care centers, and municipalities for non-school projects, among others.

Programs available to all previously and newly-eligible institutions include our existing bond financing program, equipment loan program, and grants. In addition, we are working to develop a loan program for those organizations who might be too small to access our other financing vehicles. We envision this loan being affordable (below market interest rates), easy to apply for, and easy to close. Development of this new program is in its earliest stages, so stay tuned.

The happiness that flowed from this amazing news was somewhat diminished by the sad news of the untimely passing of David Proulx, Interim President and former CFO of the Rhode Island School of Design. It was a pleasure to get to know Dave during the three RIHEBC bond issues that RISD has done while I have been ED. He was a good man and wonderful to work with. Such a sudden passing is so hard to comprehend, especially for Dave’s family and friends. But it does refocus our attention on the here and now, and how we should love and appreciate our loved ones just a little more, and how we can make our lives more meaningful by working to make others’ lives better.

And so, I come full circle to my great news, noted above, and reiterate RIHEBC’s commitment to improving the lives of Rhode Islanders by assisting the many mission-driven not-for-profits that serve the educational, healthcare, human service, and cultural needs of the state.

Kim Mooers

Executive Director

RIHEBC's Q2 Bond Issues

Achievement First Rhode Island

$70,950,569

Purchase and renovate building that houses AF Iluminar and adjacent properties incl. building a gym and field complex; Purchase and renovate new building to house AF Providence HS for students entering from AFRI middle schools; Refunding of 2019 A&B.

Town of Burrillville

$5,950,000

Finance the construction, renovation, alteration and repair of school facilities throughout the town.

Town of Portsmouth

$19,510,000

Finance districtwide repairs and renovation.

RIHEBC Fiscal Year 2022 Stats

RIHEBC’s fiscal year 2022 ended on June 30th. Below, please find a summary of our activity for the year:

Grants

In Fiscal Year 2022, RIHEBC funded $300,697 in Project Grants that were awarded in Fiscal Year 2021 to the following institutions: Comprehensive Community Action Program, Rhode Island Nurses Institute Middle College, Scandinavian Communities Rehabilitation & Skilled Nursing, Thrive Behavioral Health, and Trinity Academy for the Performing Arts. In addition, RIHEBC’s Board approved the Capital Grant Program in fiscal year 2022, which awarded just over $1 million in grants to the following institutions:

• AccessPoint RI
• CODAC Behavioral Healthcare
• Cumberland, Town of
• Family Service of RI
• J. Arthur Trudeau Memorial Center
• Linn Health & Rehab/Aldersbridge Communities
• Lucy's Hearth
• Mercymount Country Day
• Prout School, The
• Saint Antoine Residence
• Thrive Behavioral Health
• Thundermist Health Center

State Aid for Public School Projects

As Rhode Island’s premier issuer of tax-exempt bonds for public school projects, RIHEBC serves as a partner to the Rhode Island Department of Education (RIDE) by administering three state aid programs: School Housing Aid, School Building Authority Capital Fund, and State Bond Pay-Go grants. To be eligible for any of these components of state aid, school districts and their host municipalities must complete the School Building Authority’s (SBA) necessity of school construction approval process.

School Housing Aid

In fiscal year 2022, RIHEBC administered $56.1 million in school housing aid to 33 communities.

School Building Authority Capital Fund

In fiscal year 2022, RIHEBC distributed $2.8 million in total capital fund grants to a broad range of communities.

State Bond Pay-Go Grants

In fiscal year 2022, RIHEBC distributed $46.1 million in Pay-Go grants to 9 communities.

Bonds

The Corporation issued $492.5 million in 13 separate bond issues of conduit debt during fiscal year 2022. Of that amount, approximately $299.8 million was issued to finance new projects for seven communities, four higher educational institutions, one charter school, and one private high school for various capital projects. Refunding bonds totaled $192.7 million. These six bond issues were undertaken for purposes of consolidating or restructuring the institutions’ debt, and/or to secure debt service savings.

The following charts break down the Corporation’s fiscal year 2022 financings by borrower category, use of proceeds and type of bond sale.

RIHEBC In The News

New law expands R.I. Health and Educational Building Corp.’s reach, Providence Business News

Schools and hospitals are no longer the only building projects that will benefit from financing through the Rhode Island Health and Educational Building Corp.

The quasi-public agency can now issue low-cost bonds and grants to a host of other entities, including municipalities, nonprofits, museums and day care centers under a law signed by Gov. Daniel J. McKee earlier this month.

Rhode Island's quasi-public bond financing agency can now support museums, city projects and more, Providence Business First

“Thanks to the passage of this legislation, our municipal partners can now access RIHEBC’s grants and other programs for all kinds of facilities projects and equipment purchases,” said William Murray, RIHEBC vice chairman and former Cumberland mayor.

Grants will pay for Eleanor Briggs School roof, homeless outreach, Warwick Beacon

The RIHEBC grant of $100,000 will allow Thrive to replace the roof of The Eleanor Briggs School which has fallen into disrepair over the years due to lack of funding. Michael Foley, Director of The Eleanor Briggs School, said, “We are grateful to RIHEBC for providing us with this funding to make critical improvements to our school in order to ensure the health and safety of the children and staff for years to come.”

Portsmouth school-repair bond issue beats Fed rate hike, Providence Business First

Rhode Island Health and Educational Building Corp. closed on a $19.51 million bond issue for the town of Portsmouth to finance district-wide school repair and renovation — and the deal was secured before the Federal Reserve hiked interest rates by 75 basis points.

RIHEBC awards nearly $100K to Family Service of Rhode Island, Providence Business News

The $97,912 in funding will cover the costs to renovate and refurbish Family Service’s Hope Street building, which suffered “major flooding damage,” according to Margaret Holland McDuff, CEO of Family Service of Rhode Island. The award was made through RIHEBC’s capital grant program, which offers money to eligible nonprofit health and educational institutions to complete capital projects or make major equipment purchases.

RIHEBC closes $70.95M bond for Achievement First Rhode Island, Providence Business News

“RIHEBC is proud to provide financing assistance to Achievement First to help meet their growing facilities needs through this $70 million bond issue,” said Kim Mooers, executive director of The R.I. Health and Educational Building Corp.

Other Noteworthy News

Will the Supreme Court’s decision in the Carson v. Makin case enable more tax-exempt financings on behalf of strictly sectarian organizations?

Questions?

Contact Executive Director Kim Mooers at [email protected].