Tuesday, June 23, 2026 - City of San Luis Facility Development Corporation

The City of San Luis Facility Development Corporation held a meeting on June 23, 2026, primarily focused on addressing financial and operational challenges related to the San Luis Detention Center. Key procurement-related discussions involved the approval of a resolution to amend a forbearance agreement, allowing the appointment of a receiver to facilitate the sale of the detention center free and clear of liens, including bonds. The board discussed the financial difficulties faced by the current operator, LaSalle, who expressed inability to continue under existing debt terms and agreed to remain as operator during the transition period with certain financial protections. The trustee and legal counsel outlined a proposed solution to increase net proceeds from the sale and prioritize payments to LaSalle, aiming to keep the facility operational and maximize bondholder returns. The board planned to enter executive session to discuss the amendment details and receiver appointment mechanics further. No formal votes were recorded in the transcript, but motions to approve meeting minutes and to enter executive session were made and carried.