HomeMy WebLinkAbout~Master - Authorizing the Sale and Issuance of Hospital Revenue Bonds, Mary Greeley Medical Center Series 2019 RESOLUTION NO. 19-539
Authorizing the Sale and Issuance of Hospital Revenue Bonds, Setting
Parameters and Approving a Fourth Supplemental 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 as 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, the Board of Trustees of the Hospital (the "Board") has requested the City to
issue its hospital revenue bonds or notes (Mary Greeley Medical Center Project), in one or more
series, in the aggregate principal amount of not to exceed $35,000,000 (the "Bonds") for the
purposes of(1) financing a portion of the Hospital's improvement projects to acquire, construct,
equip, renovate and furnish improvements to the medical/surgical area,children/maternal services
and NICU departments,behavioral health department,inpatient rehabilitation and other areas of the
hospital facilities located at the Hospital's campus at I I I I Duff Avenue,Ames,Iowa(collectively,
the"Projects")and (2) financing issuance expenses for the Bonds; 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 Bonds has been
published and a hearing has been held thereon and the City may take additional action and proceed
with the sale and issuance of the Bonds;
NOW, THEREFORE, 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 Bonds in an aggregate principal
amount not to exceed$35,000,000 at interest rates which produce an effective interest rate of not to
exceed 3.0 %per annum and maturing on the dates and in the amounts and subject to redemption
prior to maturity on such dates and in such amounts as shall be finally determined by the Hospital
and DNT Asset Trust,a subsidiary of JPMorgan Chase Bank,National Association, or an affiliate
thereof, (the "Purchaser")prior to the delivery of the Bonds.
Section 2. The City hereby approves the sale of the Bonds to the Purchaser. The Mayor
and City Clerk are hereby authorized and directed to execute and deliver a Bond Purchase
Agreement in substantially the form as has been presented to and is on file with the City Council,
with such changes, modifications, additions and deletions thereto as may be approved by the
Hospital.
Section 3. The Bonds are to be issued pursuant to a Fourth Supplemental Indenture of
Trust (the "Fourth Supplemental Indenture") dated as of October 1, 2019 supplementing and
amending an Indenture of Trust dated as of June 1,2003(the"Original Indenture"),as supplemented
and amended by the First Supplemental Indenture of Trust, dated as of October 1, 2011 (the"First
Supplemental Indenture"), the Second Supplemental Indenture of Trust dated as of November 1,
2012(the"Second Supplemental Indenture"),and the Third Supplemental Indenture of Trust,dated
as of May 1, 2016 (the "Third Supplemental Indenture" and, together with the Original Indenture,
the First Supplemental Indenture,the Second Supplemental Indenture,and the Fourth Supplemental
Indenture, the "Indenture") each among the City, the Hospital and Wells Fargo Bank, National
Association(the"Trustee")a form of which Fourth Supplemental Indenture has been presented to
and is on file with the Council. The Fourth Supplemental Indenture is hereby authorized and
approved and the Mayor and City Clerk are authorized, empowered and directed to execute and
deliver the Fourth Supplemental Indenture for and on behalf of the City to the Trustee for the
security of the 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 Fourth Supplemental 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.
Section 4. The Mayor and City Clerk are hereby authorized and directed to execute, attest
and deliver any and all documents, including but not limited to tax and closing certificates, and do
any and all things deemed necessary by and on behalf of the City to effect the issuance, sale and
delivery of the Bonds and to carry out the interest and purpose of this Resolution.
Section 5. All actions taken by the Mayor and City Clerk,which are in conformity with
the purposes and intent of this Resolution,whether heretofore or hereafter taken are hereby ratified,
confirmed and approved in all respects.
Section 6. All resolutions or parts thereof in conflict herewith be and the same are hereby
repealed to the extent of such conflict.
Passed and approved this 8th day of October, 2019.
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Mayor
Attest:
City Clerk