HomeMy WebLinkAboutA009 - Proceedings form May 27, 2003 meeting1117ARIN(i AND AUTHORIZATION
Ames, Iowa
May 27, 2003
The City Council of the City of Ames, Iowa, tnet on May 27, 2003, at _SzLen o'clock
p m., at the CJ ty Coi inc i I Chnmh(,rq , Ames, Iowa, The Mayor presided and the roll.
was called showing the following Council Members present and absent:
Present: Ctoss,Goodhue Hoffman. maha)ni . V�e __Wirth
Absent: None
* 4, *
After discussion of other matters, the Council took tip and considered the proposal to
issue Flospital Revenue Refunding Bonds for the purpose of refunding I-lospital Revenue Bonds
previously issued for the benefit of Mary (ireeley Medical Center.
The Council investigated and found that a notice of intention to institute proceedings for
the issuance of the aforementioned Refunding Bonds had been duly published as provided by
law and that this is the t1irie and place at which the Council shall receive oral or written
objections from any resident or property owner of the City.
The Clerk announced that written objections had been filed by the following:
The Mayor called for any oral or written objections or comments from any resident or
property owner of the City and the following were presented to the Council:
After all oral or written objections or coinnicuts were received, the Mayor announced that
the Council may take additional action for the Issuance of the Refunding Bonds.
Council Member --- Mahaynj_ introduced a resolution snider title of
"Resolution Authorizing the Sale and Issuance of Hospital Revenue Refunding Bonds, Setting
Parameters and Approving an Indenture of Trust, Bond Purchase Agreement and other
Documents in connection therewith," and moved that the resolution be adopted; seconded by
Council Member — Wirth After Clue consideration, the Mayor put the
question on the motion and the roll being called, the following named Council Members voted:
Ayes: _--igross, (' ()(4hue , Hoffman, Mqhayni_yggge, Wirth
Nays: None
Whereupon, the Mayor declared the resolution duly adopted, as follows:
-2-
RESOLUTION NO. 03-211
Authorizing the Sale and Issuance of Hospital Revenue Refunding Bonds, Setting
Parameters and Approving an Indenture of Trust, Bond Purchase Agreement and
other Documents in connection therewith
WHEREAS, heretofore in the year 1916, the Mary Greeley Memorial Hospital (now
.known as the Mary Greeley Medical Center and hereinafter sometimes referred to is the
".Hospital") was established in and for the City of Ames, Iowa (the "City") by lawful acceptance
of a conditional gift of certain real estate and the then existing Hospital facility, deeded to the
City by Mr. W. M. Greeley; and
WHEREAS, at the request of the Board of Trustees of the Hospital (the "Board") the City
has previously issued its $21,000,000 Hospital Revenue Bonds (Mary Greeley Medical Centel -
Project) Series 1992 (the "Series 1992 Bonds") pursuant to a Bond ReSOILItion adopted by the
City Council of the City on November 10, 1992 (the "1992 Bond Resolution"), the proceeds of
which were used for the purposes of paying the cost of Improvements (as defined in the 1992
Bond Resolution), refunding the Series 1979 Bonds and the Series 1986 Bonds (as defined in the
1992 Bond Resolution) and other purposes as set out in the 1992 Bond Resolution; and
WIIERF,IAS, at the requestt of the Board, the City has previously Issued its $24,000,000
Hospital Revenue Bonds (Mary Greeley Medical Center Project) Series 1993 (the "Series 1993
Bonds" and, together with the Series 1992 Bonds, the "Prior Bonds") pursuant to a Bond
Resolution adopted by the City Council of the City on March 13, 1993 (the " 1993 Supplemental
Bond Resolution No. I"), the proceeds of which were used for the purposes of paying the cost of'
the Series 1993 Improvements (as defined in 1993 Supplemental Bond Resolution No. 1) and
other purposes set out in 1993 Supplemental Bond Resolution No. 1; and
WHEREAS, in order to take advantage of historically low interest rates, the Board of the
Hospital has requested the City to issue its Hospital Revenue Refunding Bonds (Mary Greeley
Medical Center) in the aggregate principal amount of not to exceed $37,000,000 (the "Refunding
Bonds") for the purpose of (i) refunding the Prior Bonds; (ii) funding necessary reserve funds for
the Refunding Bonds; and (iii) funding bond issuance expenses for the Refunding Bonds,
including a bond insurance premium; and
WHEREAS, in compliance with the provisions of Chapter 384 of the Code of Iowa, a
notice of proposed action of the City Council to institute proceedings for the issuance of the
Refunding Bonds has been published arid a hearing has been held thereon and the City may take
additional action and proceed with the sale and issuance of the Refunding Bonds;
NOW, THEREFOR1, Be It Resolved by the City Council of the City of Ames, Iowa, as
follows:
Section 1. The City hereby approves the issuance of the Refunding Bonds in an
aggregate principal amount not to exceed $37,000,000 at interest rates which produce an
effective interest rate of riot to exceed 5.60% per annuin and maturing on the dates and in the
- 3 -
amounts and subject to redemption prior to maturity on such dates and in such amounts as shall
be finally determined by the Hospital and U.S. Bancorp Piper Jaffray, Inc. (the "Underwriters")
at the time of marketing of the Refunding Bonds.
Section 2. The City hereby approves the sale of the Refunding Bonds to or upon the
order of the Underwriters at a price of 99.4% of the aggregate principal amount of the, Refunding
Bonds (exclusive of any original issue discount), Plus accrued interest, if any, to their date of
issuance. SSUance. Sale of the Refunding Bonds to the Underwriters shall be pursuant to a Bond purchase
Agreement substantially in the form as has been presented to and is on file with the City Council.
The Mayor and City Clerk are hereby authorized and directed to execute and deliver the Bond
Purchase Agreement on behalf of the City, the Bond Purchase Agreement to be in Substantially
the form now before this meeting but with such changes, modifications, additions and deletions
thereto as may be approved by the parties executing the same.
Section 3. The use by the Underwriters of a Preliminary Official Statement and a
final Official Statement (together, the "Official Statement") relating to the Refunding Bonds is
hereby approved in connection with the marketing of the Refunding Bonds to the public and the
City Attorney of the City is hereby authorized and directed to assist in the preparation of such
Preliminary Official Statement and final. Official Statement by and on behalf of the City. The
Official Statement as of its date will be deemed final by the City within the rneaning of Rule
15c2-12(b)(1) of the Securities and Exchange Commission ("SEC") and the Mayor and City
Clerk are hereby authorized to execute and deliver such, certificates and undertakings as required
to indicate such approval and to comply with SEC Rule 15c2-12 in. connection with the offer,
sale and issuance of the Refunding Bonds.
Section 4. The Refunding Bonds are to be issued pursuant to an Indenture of Trust
(the "Indenture") among the City, the Hospital and Wells Fargo Bank Iowa, National
Association (the "Trustee") a forrn of which has been presented to and is on file with the
Council. The Indenture is hereby authorized and approved and the Mayor and City Clerk are
authorized, empowered and directed to execute and deliver the Indenture for and on behalf of the
City to the Trustee for the security of the Refunding Bonds in substantially the form now before
this meeting but with such changes, modifications, additions and deletions therein as shall be
approved by the parties executing the same and that from and after the execution and delivery of
the Indenture, the officers and employees of the City are authorized, empowered and directed to
do all such acts and things and to execute all such documents as may be necessary to carry out
and comply with the provisions of the Indenture as executed.
Section 5. The Mayor and City Clerk are hereby authorized and directed to execute,
attest and deliver any and all documents and do any and all things deemed necessary by and on
behalf of the City to effect the issuance, sale and delivery of the Refunding Bonds and to carry
out the interest and purpose of this Resolution.
Section 6. All resolutions or parts thereof in conflict herewith be and the same are
hereby repealed to the extent of such conflict.
-4-
Passed and approved this 27th day of May, '
Mayor
Attest:
City Clerk
On motion and vote, the meeting adjourne-
ayor
Attest:
City Clerk
- 5 -
STATE OF fOWA
COUNTY OFSTORY SS:
CITY OFAMES
1, the undersigned, do hereby certify that I am the duly appointed, qualified and acting
City Clerk of the City of Ames, Iowa and that as such I have in my possession or have access to
the complete records of the City Council of such City and that I have carefully compared the
transcript hereto attached with the aforesaid official records and that the transcript. hereto
attached constitutes a true, correct and complete copy of the records of the City (-.,ouncil showing
the action taken by the City Council holding a public hearing on air(,] adopting a resolution for the
issuance of Hospital Revenue Refunding Bonds.
WITNESS my hand this 27th day of 2003.
=-rctary_ C j - F z
-6-