Ballard Spahr Guides Bond Financing for Delaware Pediatric Skilled Nursing Facility

The proceeds of a tax-exempt revenue bond issuance of up to $16.8 million, with Ballard Spahr serving as bond and bank counsel, will provide financing to expand the first and only pediatric nursing home in Delaware.

Exceptional Care for Children, Inc. (ECC), will use the proceeds to finance the construction, furnishing, and equipping of a new building with 22 beds and programs geared for ECC’s teenage population. ECC currently operates a 46-bed, residential, skilled nursing facility on a 20-acre campus on Independence Way in Newark.

Pursuant to a bond purchase and loan agreement by and among ECC, the Delaware Economic Development Authority (DEDA) as conduit issuer, and a commercial bank as direct bond purchaser, DEDA issues the bonds for purchase by the bank, and the proceeds are applied to make a loan to the nonprofit borrower, ECC. The tax-exempt bonds, which provide a lower-cost financing option for such capital projects, are issued solely on the credit of ECC. There is no financial risk to the state or taxpayers.

Nationally recognized for its services, ECC cares for medically fragile children ages birth to 21 who no longer qualify for care in an acute care hospital but have a severe, chronic medical condition or need a medical technology that cannot be supported in their home. In addition to bright, kid-friendly bedrooms, ECC’s buildings and campus include classrooms, dining and common areas, therapy suites, play suites, landscaped gardens, a walking trail, an adaptive playground, and acres of woods.

The Ballard Spahr team that worked on the transaction was led by Emilie R. Ninan, co-chair of Ballard Spahr’s Finance Department and former leader of the firm’s Public Finance practice.

For media inquiries, please contact Bill Shralow at 215.864.8195.