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STRATEGIC OUTCOMES |
ACTION |
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Department: |
☒ Safe & Prosperous |
☐ Motion |
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City Attorney |
☐ Active & Appealing |
☒ Resolution |
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☐ Respected & Responsible |
☐ Ordinance - Introduction |
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Division: |
☐ Connected & Engaged |
☐ Ordinance - Adoption |
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Administration |
☐ Unique & Creative |
☐ Public Hearing |
TITLE: t
Industrial Development Authority Hospital Revenue Bonds Series 2024A
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SUMMARY RECOMMENDATION: Summary Recommendation
Approve the Issuance of Hospital Revenue Bonds, Series 2024A (Yuma Regional Medical Center) by the Industrial Development Authority (IDA) of the City of Yuma, Arizona and declare an emergency. (City Attorney) (Richard W. Files)
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STRATEGIC OUTCOME:
Authorizing the issuance of these bonds helps ensure that Yuma remains a Safe and Prosperous City in accordance with City Council’s desired strategic outcome.
REPORT:
At a special meeting of the Industrial Development Authority (IDA) on August 21, 2024, the IDA approved a not to exceed $310,000,000.00 bond issue for Yuma Regional Medical Center (YRMC) for (i) financing (including by reimbursing expenditures made for such purposes) and/or refinancing the acquisition, construction, improvement and/or equipping of projects at certain health facilities of the Medical Center in the City of Yuma, Arizona and the City of San Luis, Arizona; (ii) refund all or a portion of the IDA’s Hospital Revenue Bonds (Yuma Regional Medical Center), Series 2014A (the “Prior Bonds”) the proceeds of which bonds were loaned to the Medical Center to finance and/or refinance the acquisition, construction, improvement and/or equipping of projects at certain health facilities of the Medical Center in the City of Yuma, Arizona; (iii) fund certain capitalized interest; (iv) fund a debt service reserve if determined by the Medical Center to be beneficial; and (v) pay costs of issuance relating to the YRMC Bonds (collectively, the “Project”).
City Council approval of bonds issued by the IDA, including the Series 2024A bonds, is required by state law. Pursuant to statute, the bonds are not, and will never become, the obligation of the City of Yuma. Neither the IDA nor the City of Yuma will bear any responsibility for repayment of the bonds, and no liability will accrue to either entity in the event of non-payment or other default of YRMC.
Closing on the 2024 bond issue is scheduled after City Council adoption of this Resolution which includes an emergency clause. Adoption with an emergency clause will make the Resolution effective immediately and requires an affirmative vote of at least five (5) of seven (7) City Councilmembers.
FISCAL REQUIREMENTS:
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CITY FUNDS: |
$ 0.00 |
BUDGETED: |
$ 0.00 |
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STATE FUNDS: |
$ 0.00 |
AVAILABLE TO TRANSFER: |
$ 0.00 |
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FEDERAL FUNDS: |
$ 0.00 |
IN CONTINGENCY: |
$ 0.00 |
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OTHER SOURCES: |
$ 0.00 |
FUNDING: ACCOUNT/FUND #/CIP |
TOTAL $ 0.00
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- |
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To total; right click number & choose “Update Field” |
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FISCAL IMPACT STATEMENT:
NONE
ADDITIONAL INFORMATION:
SUPPORTING DOCUMENTS NOT ATTACHED TO THE CITY COUNCIL ACTION FORM THAT ARE ON FILE IN THE OFFICE OF THE CITY CLERK:
1. IDA Resolution adopted August 21, 2024
2. Bond Indenture
3. Loan Agreement
4. Bond Purchase Agreement
IF CITY COUNCIL ACTION INCLUDES A CONTRACT, LEASE OR AGREEMENT, WHO WILL BE RESPONSIBLE FOR ROUTING THE DOCUMENT FOR SIGNATURE AFTER CITY COUNCIL APPROVAL?
☐ Department
☐ City Clerk’s Office
☐ Document to be recorded
☐ Document to be codified
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Acting City Administrator: |
Date: |
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John D. Simonton |
08/27/2024 |
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Reviewed by City Attorney: |
Date: |
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Richard W. Files |
08/26/2024 |