Agenda - Council - 02/26/1979 - Laserfiche WebLink

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(b) the purpose of the Project is, and the effect thereof will be, to promote the public welfare by providing additional health care facilities in the City, providing additional employment opportunities for residents of the City and surrounding area, and providing an increased tax base for the City and overlapping taxing jurisdictions; (c) the City is fully authorized pursuant to the Act to issue and sell the Bonds, to execute and deliver the Loan Agreement and Indenture, and to perform all covenants and agreements of the City contained therein; (d) it is desirable that the Bonds in the amount of $750,000 to be issued by the City upon the terms set forth in the Indenture, under the provisions of-which the City's interest in the Loan Agreement and the pay- ments receivable thereunder from the Partnership will be pledged to the Trustee as security for the payment of principal and interest on the Bonds; (e) the payments charged of the Partnership in the Loan Agreement are fixed, and required to be revised from time to time as necessary, so as to produce income and revenue sufficient to provide for prompt payment of principal of and interest on all Bonds issued under the Indenture when due, and the Loan Agreement and Mortgage also provide that the Partnership is required to pay all expenses of the operation and maintenance of the Project including, but without limitation, adequate insurance thereon and insurance against all liability for injury to persons or property arising from the operation thereof, and any taxes and other charges levied upon or with respect to the Project and payable during the term of the Loan Agreement; (f) under the provisions of the Act, and as pro- v~ded in the Loan Agreement and Indenture, the Bonds are not to be payable from nor charged upon any funds other than the revenue pledged to the payment thereof; the City is not subject to any liability thereon; no holders of the Bonds shall ever have the right to compel any exercise of the taxing powers of the City to pay any of the Bonds or the interest thereon, nor to enforce payment thereof against any property of the City; each Bond issued under the Indenture shall recite that the Bonds, including interest thereon, are payable solely from the revenues pledged to the payment thereof; and no Bond shall con- stitute a debt of the City within the meaning of any constitutional or statutory limitation.