Excela projects funded with $115M in bonds issued by Westmoreland County authority

Westmoreland County commissioners this week approved issuing up to $115 million in revenue bonds to be used by Excela Health to pay for capital improvement projects and to expand its service into new markets.

Acting as the Westmoreland Industrial Development Authority, the commissioners unanimously signed off on the tax-exempt bonds, a move that officials say does not bind the county to the debt. Excela will be required to pay off the obligation.

Excela, which operates hospitals in Latrobe, Greensburg and Mt. Pleasant and medical services throughout the county, expects the financial package to be valued at about $100 million, according to a statement issued by Chief Executive Officer Tom Spohn.

Spohn said about $60 million will be earmarked to refinance existing debt.

The additional funds will be allocated towards capital projects, including support for Excela’s growing cardiovascular program, which officials said was expanding to include a new trans aortic valve replacement program.

The health system said bond proceeds also will be used to pay for new catheterization laboratories, the purchase of patient beds and expansion of services.

“These and other initiatives are indicative of a robust commitment on the part of Excela to provide the residents of the county with the finest in advanced, tertiary medical services, now and in the future,” Spohn said.

Officials declined to answer questions about Excela’s plans to expand service.