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HomeMy WebLinkAboutReso 1971-5966 RESOLUTION NO. 5966 ~ RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA, DECLARING ITS INTENTION TO ACCEPT A GIFT OF COMMUNITY HOSPITAL OF CHULA VISTA FACILITIES WHEN TENDERED AND MAKING DETERMINATIONS WITH RESPECT TO THE ORGANIZATION OF SAID NONPROFIT CORPORATION AND THE BONDS TO BE ISSUED BY SAID CORPORATION The City Council of the City of Chula Vista does hereby resolve as follows: WHEREAS, it is the determination of the City Council of the City of Chula Vista, California, that the location of additional hospital facilities in the City of Chula Vista, California, will bring immediate long-range advantages to the residents of the City of Chula Vista, and WHEREAS, the present hospital facilities of Community Hospital of Chula Vista and the other hospital facilities in the City of Chula Vista and the neighboring areas are not adequate to meet the increased needs and requirements of the residents of the City of Chula Vista and the surrounding area in light of the expected tremendous population growth, and WHEREAS, Community Hospital of Chula Vista (the "Corporation"), a nonprofit charitable corporation organized and existing under the laws of the State of California, known as the Community Hospital of Chula Vista and functioning as a general hospital in the City of Chula Vista serving the residents of the City of Chula Vista and the sur- rounding area, proposes to construct a new hospital facility in an area adjacent to the City of Chula Vista presently being annexed to the City of Chula Vista and which will shortly be close to the geo- graphical center of the City of Chula Vista, containing additional patient bed capacity and auxiliary services which will be suitable for and operated on a nonprofit basis for the medical requirements of the people of the'City of Chula Vista and the surrounding area (which general hospital and additional hospital facilities to be constructed together with all related facilities and appurtenances, including personal property, from time to time located in said hospital facilities and necessary and useful in the operation thereof are en- titled hereinafter collectively the "Hospital Facility"), and WHEREAS, in order to construct the Hospital Facility in the City of Chula Vista and to finance a portion of the cost thereof, the Corporation proposes to amend its Articles of Incorporation and its By-Laws in certain respects including: (a) provision that upon re- tirement of its indebtedness hereinafter described, the Corporation will tender all right, title and interest in and to the Hospital Facility to the City of Chula Vista; (b) provision to grant the City an option to purchase (if the exercise thereof is duly authorized by law and the governing body of the City of Chula Vista at the time of exercise thereof), when the Corporation's indebtedness is redeemable or due, the interest in the Corporation and its property and assets for a price sufficient to retire all indebtedness of the Corporation; and (c) provision authorizing the City Council of the City of Chula Vista to ratify the selection of members of the present Board of Directors and such members as may be appointed in the future, and WHEREAS, Corporation has so notified the City and will pro- vide examples of the amendments to its Articles of Incorporation and its By-Laws to accomplish the foregoing purposes set forth in the recitals hereof, as well as providing the City with the forms of First Mortgage Bonds which the Corporation proposes to issue in order to finance a portion of the cost of construction of the Hospital Facility, and which forms will be subject to the review of the City Council and to a determination by the City Council that said 'forms contain nothing therein objectionable to the City (it being further understood that the forms as presented and subject to the review of the City will not include the Indenture of Mortgage and Deed of Trust to which reference is made in said form of First Mortgage Bonds. -1- -- i \ . . NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista hereby approves the organization of the Community Hospital of Chula Vista and the proposed amendments to the Articles of Incorporation and the By-Laws of the corporation contemplated as above set forth; that the City Council finds the construction of the Hospital Facility will be beneficial to the City of Chula Vista for the reasons above set forth; that the City Council hereby approves the form of First Mortgage Bonds proposed to be issued by the Corpora- tion which will contain nothing objectionable to the City (it being understood, however, that the foregoing is not "intended to include the Indenture of Mortgage and Deed of Trust to which reference is made in said form of First Mortgage Bonds). Nothing therein shall impose any obligations of any kind upon the City of Chula Vista. BE IT FURTHER RESOLVED that it is the City's intent, if duly authorized by law and the City Council of the City of Chula Vista at the time of tender, to accept the gift of the Hospital Facility free of liens or claims of any kind or nature whatsoever, at the time Corporation tenders it to the City. ~~ George D. Lindberg, City as to ADOPTED AND APPROVED VISTA, CALIFORNIA, this 2nd following vote, to-wit: by the CITY COUNCIL of the CITY OF CHULA day of March , 19~, by the AYES: Councilmen Hyde, Egdahl, Scott, Hobel, Hamilton NAYES: Councilmen None ABSENT: Councilmen None ~'!Y:o~ ATTEST~~~ ~ ~ City Cler " STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO) ss. CITY OF CHULA VISTA ) , City Clerk of the City of Chula that the above is a full, true and , and that the same has not been I, Vista, California, DO HEREBY CERTIFY correct copy of Resolution No. amended or repealed. DATED City Clerk 7r69~p