From
Elsa Delgado
Title
Resolution granting approval, for the limited purpose of satisfying the requirements of Section 147(f) of the Internal Revenue Code of 1986, of bond obligations by the New Hope Cultural Education Facilities Finance Corporation for the purpose of financing and refinancing a project for Careflite for the acquisition of health facilities and equipment
Presenter
Mark J. Divita, C.M.
Recommended Action
Approve
Analysis
The Cultural Education Facilities Finance Corporation Act, Texas Local Government Code, Chapter 337, as amended (the “Act”), authorizes and empowers the New Hope Cultural Education Facilities Finance Corporation (the “Issuer”) on behalf of the Town of New Hope, Texas (the “Issuing Unit”), to finance and/or refinance the acquisition of health facilities found by the Board of Directors of the Issuer to be required, necessary or convenient for health care, research and education, any one or more, within the State of Texas and in furtherance of the public purposes of the Act.
Section 147(f) of the Internal Revenue Code of 1986, as amended, requires that, for interest on the obligations to be excludable from the gross income of the holders thereof for federal income tax purposes, the obligations must be approved by the City of Grand Prairie, (the “City”) (or the highest elected official of the City).
the Issuer will issue its obligations to People's Capital and Leasing Corp., Bank of Texas, and Frost Bank to finance and/or refinance the acquisition of certain health care equipment consisting of four (4) Bell 407GX helicopters and one (1) Bell 429 helicopter (the “Project”) in a maximum principal amount not to exceed $30,000,000, and will provide financing to CareFlite (the “Obligor”) for the financing and/or refinancing of the Project.
The Project will be located at the Obligor's facilities within the City of Grand Prairie (the"City") at the Grand Prairie Municipal Airport, 3110 S. Great Southwest Parkway, Grand Prairie, TX.
Financial Consideration
The City of Grand Prairie shall have no liability in connection with the financing of the Project and shall not be required to take any further action.
Body
A RESOLUTION OF THE CITY OF GRAND PRAIRIE, TEXAS, GRANTING APPROVAL, FOR THE LIMITED PURPOSE OF SATISFYING THE REQUIREMENTS OF SECTION 147(f) OF THE INTERNAL REVENUE CODE OF 1986, OF BOND OBLIGATIONS BY THE NEW HOPE CULTURAL EDUCATION FACILITIES FINANCE CORPORATION FOR THE PURPOSE OF FINANCING AND REFINANCING A PROJECT FOR CAREFLITE FOR THE ACQUISITION OF HEALTH FACILITIES AND EQUIPMENT
WHEREAS, the Cultural Education Facilities Finance Corporation Act, Texas Local Government Code, Chapter 337, as amended (the “Act”), authorizes and empowers the New Hope Cultural Education Facilities Finance Corporation (the “Issuer”) on behalf of the Town of New Hope, Texas (the “Issuing Unit”), to finance and/or refinance the acquisition of health facilities found by the Board of Directors of the Issuer to be required, necessary or convenient for health care, research and education, any one or more, within the State of Texas and in furtherance of the public purposes of the Act; and
WHEREAS, Section 147(f) of the Internal Revenue Code of 1986, as amended, requires that, for interest on the obligations to be excludable from the gross income of the holders thereof for federal income tax purposes, the obligations must be approved by the City of Grand Prairie, (the “City”) (or the highest elected official of the City); and
WHEREAS, the Issuer will issue its obligations to People's Capital and Leasing, Bank of Texas, and Frost Bank in one or more series pursuant to a plan of finance to finance and/or refinance the acquisition of certain health care equipment consisting of helicopters, finish-out and other healthcare projects (the “Project”) in a maximum principal amount not to exceed $30,000,000, and will provide financing to CareFlite (the “Obligor”) for the financing and/or refinancing of the Project; and
WHEREAS, the Project will be located at the Obligor’s facilities within the City of Grand Prairie (the “City”) at the Grand Prairie Airport, 3110 S. Great Southwest Parkway, Grand Prairie, Texas.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS THAT:
SECTION 1. The City hereby approves, for the limited purpose of satisfying Section 147(f) of the Internal Revenue Code of 1986, the bond obligations to be issued by the New Hope Cultural Education Facilities Finance Corporation for the purpose of financing and refinancing the Project for Careflite for the acquisition of health facilities and equipment, in one or more series in a maximum principal amount not to exceed $30,000,000, the Project and the plan of finance; provided that the City shall have no liability in connection with the financing of the Project and shall not be required to take any further action with respect thereto.
SECTION 2.This Resolution shall take effect immediately from and after its adoption and it is accordingly so ordered.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS, ON THIS THE 17th DAY OF MARCH, 2020.