CHICAGO — Nonprofit health care providers continue to grapple with fallout from the collapse of the auction-rate market, and the sector now faces up to $31.5 billion of bank-credit-supported debt that needs to be renewed by 2013, according to a new report by BMO Capital Markets.

Providers who have spent the last two years restructuring troubled variable-rate debt could see a new market open up as Congress considers whether to allow nonprofit hospitals to issue taxable, direct-subsidy Build America Bonds. But BABs come with their own risks, BMO warned.

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