Children’s Hospital Revenue Bonds Project Approval Resolution of 2025
Summary
This resolution authorizes the District of Columbia to issue up to $550 million in revenue bonds to finance, refinance, or reimburse costs for a project at Children’s National Hospital’s Sheikh Zayed Campus. The project includes a 14-bed expansion of the Pediatric Intensive Care Unit, renovations to the emergency room, construction of a new Special Maternal Delivery Unit, and acquisition and installation of the EPIC electronic medical record and billing system. The financing also may be used to refund prior 2015 Children’s Hospital bonds, cover certain working capital costs, pay interest and reserve-related costs, and pay issuance expenses.
The resolution sets out the terms under which the Mayor may issue the bonds, make the loan to the nonprofit hospital borrower, and approve financing and closing documents. It specifies that the bonds are special obligations of the District, payable only from the pledged project-related revenues and other non-tax sources identified in the financing documents, and not from the District’s general credit or taxing power. It also includes standard bond provisions on sale, security, delegation, reporting, expiration, and public approval under federal tax law and the Home Rule Act.
Impact
The resolution affects District financing law and the use of revenue bonds under section 490 of the D.C. Home Rule Act by authorizing a new hospital-related bond issuance and related loan transaction. It does not create general debt of the District, but it does permit the District to act as issuer and lender for a nonprofit health facility project, with the proceeds supporting capital improvements, refinancing, and related costs at Children’s Hospital. The measure also satisfies the Council’s public approval requirement for tax-exempt private activity bond financing under federal law.
Sentiment
The overall sentiment appears strongly supportive and noncontroversial. The Council approved the resolution unanimously on final reading, 13-0, indicating broad agreement that the project serves a public purpose by supporting health care infrastructure, hospital modernization, and related community benefits. No committee transcript excerpts were provided, and the bill text itself frames the project as being in the public interest and beneficial to District residents.
Contention
There is little visible contention in the available record. The main issues addressed in the resolution are standard bond-financing safeguards: the District’s limited liability, the fact that the bonds are not backed by the full faith and credit or taxing power of the District, and the Mayor’s discretion over issuance timing and terms. Any potential concern would likely center on the size of the authorization, the use of public financing for a private nonprofit hospital, and the District’s administrative role, but the unanimous vote suggests these issues were not politically divisive.
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