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HomeMy WebLinkAbout26493-09.04.1979 • RESOLUTION NO. 2 6 4 9 3 A RESOLUTION AUTHORIZING THE EXECUTION OF A MEMORANDUM OF AGREEMENT BY AND BETWEEN THE CITY OF WATERLOO, IOWA AND SCHOITZ MEMORIAL HOSPITAL, REGARDING THE ISSUANCE OF HOSPITAL FACILITY REVENUE BONDS. WHEREAS, the City of Waterloo, Iowa (the "City" ) a municipality of the State of Iowa, is authorized by the laws of the State of Iowa, and specifically Chapter 419, Code of Iowa, 1979 , as supplemented and amended (the "Act" ) , to acquire, improve and equip all or any part of, or any interest in, land, buildings or improvements suitable for the use of any voluntary nonprofit hospital, clinic or health care facility; and WHEREAS, under the Act the City is authorized to issue its revenue bonds for the purpose of financing the costs of any such project; and WHEREAS, so as to accomplish the purposes of the Act, the City proposes to issue one or more issues of hospital facility revenue bonds pursuant to the provisions of the Act as then in effect to finance the costs of acquiring, improving and equipping certain real estate, buildings and fixtures for use as an office building, parking facility and lobby and public entry (hereinafter referred to collectively as the "Hospital Facilities") at the voluntary nonprofit hospital of Schoitz Memorial Hospital (the "Corporation" ) , an Iowa nonprofit corporation located in the City; and WHEREAS, the location of the Hospital Facilities within the City will improve the general health and welfare of the inhabitants of the City; and WHEREAS, it is deemed necessary and advisable, to promote the general health and welfare of the inhabitants of the City, that the Hospital Facilities be undertaken at the earliest practicable date, and the Corporation has requested satisfactory assurances from the City that the proceeds of the sale of one or more issues of hospital facility revenue bonds of the City in an aggregate amount sufficient to finance the Hospital Facilities, currently estimated not to exceed $7,000,000, will be made available; and WHEREAS, the City deems it necessary and advisable that it take such actions as may be required under the Act as then in effect to authorize and issue one or more issues of hospital facility revenue bonds to finance the cost of the Hospital Facilities; and WHEREAS, a form of agreement, designated as a "Memorandum of Agreement" , has been prepared under which the Corporation has stated its willingness to arrange for the acquisition, improvement and equipping of the Hospital Facilities and to enter into con- tracts therefor and, at the time of delivery of the bonds, to convey, grant or lease the Hospital Facilities and assign such contracts to the City, or agree to complete the acquisition, improvement and equipping of the Hospital Facilities , and to enter into a lease of the Hospital Facilities from the City, or a contract to purchase the Hospital Facilities from the City, or a loan agreement with the City with respect to the Hospital Facilities, or any combination of the foregoing, under which the Corporation will be obligated to make periodic payments -2- sufficient to pay the principal of and interest and redemption premium, if any, on the bonds as and when the same shall become due and payable, and if necessary to vest title to the Hospital Facilities in the Corporation, the Corporation shall be obligated to purchase the interest, if any, of the City in the Hospital Facilities for an additional nominal amount and such lease, contract and agreement shall contain such other provisions as may be required by the Act as then in effect and such other provisions as shall be mutually acceptable to the City and the Corporation; NOW, THEREFORE, Be It Resolved by the City Council of the City of Waterloo, Iowa as follows : Section 1. That in order to insure the acquisition, improvement and equipping of the Hospital Facilities, with the resulting public benefits which will flow therefrom, it is deemed necessary and advisable that hospital facility revenue bonds be issued in an amount sufficient to finance the cost of the Hospital Facilities , currently estimated not to exceed $7,000,000, and that the Memorandum of Agreement hereinafter referred to be approved and executed for and on behalf of the City. Section 2 . That the Memorandum of Agreement by and between the Corporation and the City, substantially in the form and with the contents set forth in Exhibit A attached hereto, be and the same is hereby approved and authorized. Section 3 . That the Mayor is hereby authorized and directed to execute and the City Clerk is hereby authorized to attest and to affix the seal of the City to the Memorandum -3- of Agreement substantially in the form and with the contents set forth in Exhibit A attached hereto. Section 4. That the City will issue and sell hospital facility revenue bonds in an amount sufficient to finance the costs of the Hospital Facilities, subject to the execution of the Memorandum of Agreement herein authorized and upon the conditions specified in the Memorandum of Agreement. Section 5. That all resolutions and parts thereof in conflict herewith are hereby repealed to the extent of such conflict. Adopted September 4 , 1979. Mayor Attest: City Clerk -4-