HomeMy WebLinkAboutRES NO 43-84RESOLUTION NO. 43-84
A RESOLUTION OF INTENTION OF THE COUNCIL
OF THE CITY OF BAKERSFIELD RELATING TO
TNE CALIFORNIAN CONVALESCENT HOSPITAL
PROJECT.
WHEREAS, the City Council of the City of Bakersfield,
California (the "City") desires to cause to be provided decent,
safe and sanitary health-care facilities for elderly and
handicapped persons in the City; and
WHEREAS, the City is authorized and empowered by the
laws of the State of California and the City Charter of the
City to issue revenue obligations for the purpose of financing
the acquisition, construction and improvement of a nursing home
facility by the making of loans to a for-profit corporation to
finance the acquisition, construction and improvement of a nurs-
ing home facility; and
WHEREAS, Penstar Group, a California for-profit corpora-
tion (the "Owner"), desires to acquire, construct and improve
health-care facilities with the result that it will maintain and
improve health-care opportunities in the City; and
WHEREAS, the
real estate located at
a 160-bed nursing home
Convalescent Hospital
Owner proposes to acquire a parcel of
2251 Mount Vernon Street and to construct
facility thereon known as the Californian
(the "Project"); and
WHEREAS, to induce the Owner to acquire and improve
the Project, the City desires to adopt this Resolution; and
WHEREAS, it is apparent that the development of the
Project will provide needed decent, safe and sanitary nursing
home care for persons in the City, maintain existing levels
of employment, assist in relieving conditions of unemployment
in construction and related industries and encourage the
increase of commerce in the State of California, all of which
are in the public interest of the City; and
WHEREAS, the financing of the proposed Project through
the issuance of the hereafter-described Bonds of the City complies
with the requirements of the laws of California and the City
Charter of the City and will provide for and promote the public
health, safety, morals and welfare of the inhabitants in and
near the City; and
WHEREAS, Boettcher & Company of Denver, Colorado, is
an experienced municipal bond underwriter and has structured the
proposed financing for the City at the request of the Owner;
NOW, THEREFORE, BE IT RESOLVED by the Council of the
City of Bakersfield as follows:
Section 1. That approval
cation of the Owner relating to the
is hereby given to the appli-
acquisition, construction
and improvement of such real estate and the
home facility to be constructed thereon.
Revenue
"Bonds" )
160-unit nursing
Section 2. That the City intends to issue its
Bonds (Californian Convalescent Hospital Project) (the
in an amount not to exceed approximately $5,000,000
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for the purpose of making a loan to the Owner to provide financing
for the acquisition, construction and improvement of the Project.
Section 3. To induce the Owner to acquire, construct and
improve the Project, the City Council shall cooperate with and
take such action as may be necessary in the drafting of documents
or the performance of
issuance of the Bonds
toward the payment of
such other acts as will facilitate the
by the City to provide funds to be used
the costs of acquiring, constructing and
improving such Project.
Section 4. Any costs or expenses of the City incurred in
connection with the Project shall be included in the Project
costs and reimbursed either from the proceeds of the Bonds to
be issued with respect thereto or from payments by other parties
to the financing.
Section 5. The City shall receive a fee in connection with
the Project in an amount acceptable to the City.
Section 6. In no event shall the Bonds constitute a pledge
of the faith and credit of the City, the State of California, or
any political subdivision thereof, and the City shall not be
liable to make any appropriation for repayment of the Bonds.
The Bonds shall constitute a limited obligation to the City
repayable only out of the revenues provided for in the loan
agreement, trust indenture and Resolution of Issuance to be
provided for hereafter.
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Section 7. Boettcher & Company is hereby appointed and
employed as Underwriter for the proposed financing, and all its
fees and expenses shall be paid solely from proceeds of the sale
of the Bonds or by purchase of the Bonds at a discount or from
payment by other parties to the financing.
Section 8. This Resolution shall be in full force and
effect from and after its passage by the City Council of the
City of Bakersfield, California.
I HEREBY CERTIFY that the foregoing Resolution was
passed and adopted by the Council of
regular meeting thereof held on the
by the following vote:
the City of Bakersfield at a
l~%h day of July , 19 84
BA TON ........ ~4~T~I, MOORE, PAYNE, RA1-~F, ROCKOFF
NOES~ COUNClUI, EN~ ~JA').O/~
ABSDNT, COUNCILMEN~ ~ i~
Officio Clerk of the
Council of the City of Bakersfield
APPROVED this lSth day of 3uly , 1954
MAYOR o~"~/e City of Bakersfield
APPROVED as to form:
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