NEST sends Elk Grove Mayor letter requesting delay of $900 million bond hearing, more scrutiny of CNU hospital project
https://www.elkgrovenews.net/2019/08/nest-sends-elk-grove-mayor-letter.html
In a letter dated August 20, the community-based group NEST - Neighbors Ensuring Sincere Transparency - is asking Elk Grove Mayor Steve Ly to reschedule a meeting slated for tonight on California Northstate University's proposed $900 million hospital on Elk Grove's far west side.
At a special meeting scheduled for 6 p.m. at Elk Grove City Hall, the Elk Grove City Council will consider a request by CNU to pursue financing through the California Public Finance Authority. If the council votes in support of CNU's request, the school can start the process to seek an underwriter through the finance authority to issue up to $900 million in tax-exempt bonds.
The request to seek the financing reflects a recent change in CNU's project. When they unveiled it last December, CNU said they would pursue funding for their then $750 million project as a for-profit enterprise.
Following the December 2018 CNU announcement, Elk Grove residents formed NEST to oppose the proposed location of the project in the city's Stonelake master-planned neighborhood. The construction of the hospital would necessitate the demolition of the Stonelake Landing shopping center in the Stonelake community and force the relocation of businesses.
Below is the letter sent to Ly from NEST.
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The writer here makes perfect sense. This city is always ready to jump in at the promise of big business only to be embarrassed and ridiculed at a later date when the grandiose plans crash and burn ( see Ghost Mall, + 100 acre soccer facility, as just two examples).
It really seems this hospital plan is half baked and looking for an idiot to invest their money in a obviously poorly planned scheme.
There is a reason this hospital turned from for-profit to non-profit; they couldn't find funding because their business plan is flawed and not well planned.
Let's hope that council will recognize this Trojan Horse and refuses them entry into our domain. History needs to be heeded here.
The above comment is hopeful and accurate. However, as we have seen repeatedly in this city, the Elk Grove City Council in their "flavor of the month" mentality, usually can be counted on to flub things bigly.
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