HomeMy WebLinkAboutResolution - 2001-R0001 - Res. Concerning Use Of Proceeds Of Revenue Bonds By Lubbock Health Fac. Dev. - 01/11/2001Resolution No. 200rR0001
January 11, 2001
Item No. 13
RESOLUTION CONCERNING THE USE OF THE PROCEEDS OF
REVENUE BONDS TO BE ISSUED BY THE LUBBOCK HEALTH
FACILITIES DEVELOPMENT CORPORATION TO FINANCE
CERTAIN COSTS RELATING TO HEALTH FACILITIES
WHEREAS, the Lubbock Health Facilities Development Corporation (the "Issuer') was
created by the City of Lubbock, Texas ("City of Lubbock") pursuant to the provisions of the
Health Facilities Development Act, Chapter 221, Texas Health and Safety Code (the "Act").
WHEREAS, it has been proposed that the Issuer issue its limited obligation revenue
bonds (the "Bonds") and loan the proceeds thereof to Sears Plains Retirement Corporation
("Sears"), a non-profit corporation duly organized and existing under the laws of the State of
Texas to provide funds to (i) pay a portion of the cost of constructing and equipping a skilled
nursing facility to be known as the Garrison Geriatric Education and Care Center to be located at
3710 Fourth Street, Lubbock, Texas, and to consist of 60 chronic care nursing beds, 60
Alzheimer's care nursing beds and attendant common areas (the "Project") and (ii) a portion of
the costs of issuance for the Bonds.
WHEREAS, pursuant to Section 147(f) of the Internal Revenue Code of 1986, as
amended (the "Code"), the Issuer has conducted a public hearing (the "Hearing") in the City of
Lubbock following reasonable public notice with respect to the Bonds and the Project and has
presented to the City of Lubbock (the "Governing Body") a summary of the proceedings from
the Hearing;
WHEREAS, in order to satisfy the requirements of Section 147(f) of the Code, it is
necessary for the Governing Body or the Mayor, as the chief executive officer of the City of
Lubbock, to approve the Bonds after the Public Hearing has been held;
WHEREAS, it is deemed necessary and advisable that this Resolution be adopted;
THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
LUBBOCK, TEXAS THAT:
SECTION 1. This Resolution is adopted for the purpose of satisfying the requirements
of the Issuer's articles of incorporation and by-laws and the conditions and requirements of
Section 147(f) of the Code, the regulations promulgated thereunder, and any other applicable
requirements.
SECTION 2. The Governing Body hereby receives and accepts the summary of the
proceedings from the Hearing.
SECTION 3. The Bonds, which may be issued in one or more series, are hereby
approved pursuant to Section 147(f) of the Code, the Issuer's articles of incorporation and bylaws
and other applicable laws, such Bonds to be issued in the maximum aggregate face amount of
$11,000,000 to provide funds to (i) pay a portion of the cost of constructing and equipping a
skilled nursing facility to be known as the Garrison Geriatric Education and Care Center to be
located at 3710 Fourth Street, Lubbock, Texas, and to consist of 60 chronic care nursing beds, 60
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Alzheimer's care nursing beds and attendant common areas and (ii) a portion of the costs of
issuance for the Bonds.
SECTION 4. This approval is not to be construed as a financial undertaking by the
City of Lubbock, and the Bonds shall never constitute an indebtedness or pledge of the City of
Lubbock within the meaning of an constitutional or statutory provision, and the owners of the
Bonds shall never be paid in whole or in part out of any funds raised or to be raised by taxation
or any other revenues of the City of Lubbock. The City of Lubbock shall have no responsibility
to furnish any person any continuing disclosure information with respect to the Bonds.
SECTION 5. The Mayor and the City Secretary of the City of Lubbock and each
council member of the City of Lubbock are hereby authorized, jointly and severally, to execute
and deliver such endorsements, instruments, certificates, documents, or papers necessary and
advisable to carry out the intent and purposes of this Resolution.
SECTION 6. This Resolution shall take effect immediately form and after its
adoption.
PASSED by the City Council this I Ith day of January, 2001.
Arl
A,4dl "'k �i
WINDY SITTT, M�I'O
ATTEST:
City Secretary
APPROVED AS TO CONTENT:
Perry Stout, I term Managing Director of Finance
1
APPROVED AS TO FORM:
Vandiver, -First Assistant City
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NOTICE OF INTENTION
December 22, 2000
Mayor and City Council Members
City of Lubbock
Lubbock, Texas 79401
Resolution No. 2001-R000l
January 11, 2001
Item No. 13
Re: Lubbock Health Facilities Development Corporation Revenue Bonds (GNMA
Collateralized - Sears Plains Retirement Corporation Project) Series 2001
Dear Mayor and City Council Members:
Pursuant to Section 221.062 of the Health Facilities Development Act, Chapter 221, Texas
Health and Safety Code, as amended (the "Act"), the Act under which the City of Lubbock, Texas
created the Lubbock Health Facilities Development Corporation (the "Issuer"), notice is hereby given
that the Issuer intends to issue its above -captioned bonds (the "Bonds") for the purpose of providing
financing and refinancing for part of the cost of health facilities (as such term is defined in the Act)
(the "Project") for Sears Plains Retirement Corporation, under the laws of the State of Texas (the
"Borrower"). The maximum anticipated size of the proposed bond issue is approximately $11,000,000
plus any original issue discount. The Project is generally described in Schedule A attached hereto.
The necessity for such Project is to assist the maintenance of public health and to provide health
facilities for the promotion and development of health care, all for the public purpose of promoting
the health and welfare of the citizens of the State of Texas and the Project is needed for the purpose
of improving the adequacy, cost and accessibility of health care, research and education within this
State.
The proposed Bonds shall be issued not earlier than the fifteenth (15th) day following the date
of filing of this letter.
Sincerely,
Lubbock Health Facilities Development
Corporation
f
r "°y lresident
Filed on January 4 , 2001
By: _ K) Q ,. � P
City Acretary 13
Resolution No. 2001-R0001
Schedule A
The Project consists of the construction and equipping of a skilled nursing facility to be known
as the Garrison Geriatric Education and Care Center to be located at 3710 Fourth Street, Lubbock,
Texas 79415. The Project consist of (a) 60 chronic care nursing beds, (b) 60 Alzheimer's care nursing
beds and (c) attendant common areas.
Estimated Uses of Funds
Land Improvements
$ 275,000
Design and Engineering
575,000
Construction Cost
8,400,000
Equipment
1,200,000
Cost of Issuance
550.000
$11,000,000
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(12-22-00)