FORT BRAGG, CA. 9/24/26 — The Mendocino Coast Health Care District is considering a credit line to help pay for the estimated $20 million state-required seismic retrofit of the hospital.
The district held about $18.6 million in cash as of July 31, 2026, which it credited to board stewardship and investment earnings, according to a press release. The available cash could cover most of the project, without raising property tax assessments, the district’s website says, but the district is looking into opening a credit line to help preserve its funds for ongoing needs and emergencies.
On Oct. 8, the board will receive a presentation from Wulff, Hansen & Co., a San Rafael-based firm that advises public agencies on financing, about its role in helping the district seek a credit line.
Any borrowing would have to be considered in light of its terms and the district’s ability to repay, the district said.
Why the work is required
The seismic retrofit is required under California’s SB 1953, which sets safety standards meant to keep hospitals operating after a major earthquake. The law requires acute-care hospital buildings to meet its requirements by Jan. 1, 2030.
A seismic building permit application has been submitted to the City of Fort Bragg and is under review. The district expects the permit before the end of the year, which would allow construction to begin.
The district owns the hospital’s buildings and leases them to Adventist Health. Under the current lease, Adventist Health will manage the construction, and the district will pay for the retrofit.
The district expects little impact on normal hospital operations.