CCR2013094-Bonds-American Baptist
RESOLUTION NO. 094-2013
RESOLUTION APPROVING THE ISSUANCE OF BONDS BY THE
COLORADO HEALTH FACILITIES AUTHORITY ON BEHALF OF
AMERICAN BAPTIST HOMES OF THE MIDWEST; AND PROVIDING
AN EFFECTIVE DATE
WHEREAS, the City of Muskego, Wisconsin (the “City”) is a duly organized and validly
existing municipal corporation under the laws and Constitution of the State of Wisconsin; and
WHEREAS, American Baptist Homes of the Midwest (“American Baptist Homes”), a
Minnesota nonprofit corporation, owns and operates a long-term healthcare facility within the
boundaries of the City called the Tudor Oaks Retirement Community (“Tudor Oaks”); and
WHEREAS, on October 17, 2013, notice of a public hearing by the Common Council of
the City was published in the Muskego Now, said hearing concerning the issuance by the
Colorado Health Facilities Authority of one or more series of its Health Care Facilities Revenue
Bonds (American Baptist Homes of the Midwest Obligated Group), Series 2013 (together, the
“Bonds”) on behalf of American Baptist Homes in a multi-state offering authorized by Colorado
state law; and
WHEREAS, under this plan of finance, the Bonds will be issued in an aggregate principal
amount not to exceed $65,205,000, of which Bond proceed in a principal amount not to exceed
$12,075,000 will be used to renovate and expand a vacant wing of the independent living
building to create 18 independent living apartments with attached parking garages; renovate the
skilled facility to expand therapy facilities and private rooms; and add seven assisted living
apartments at the Tudor Oaks Retirement Community located at S77 W12929 McShane Dr.,
Muskego, WI 53150 (the “Project”), owned and operated by American Baptist Homes. The
remainder of the Bonds proceeds will be used to (i) finance the cost of the acquisition,
construction, improvement and equipping of certain skilled nursing facility and other health care
and senior living facility improvements of American Baptist Homes in various locations outside
of the State of Wisconsin, (ii) establish a reserve fund for the Bonds (iii) pay interest on the
Bonds, and (iv) pay certain costs of issuing the Bonds.; and
WHEREAS, such multi-state offering is economically efficient and cost-saving for
American Baptist Homes, thereby reducing operating costs for American Baptist Homes and
therefore tending to reduce the necessity for increases of charges at its Muskego facility, thereby
benefiting the residents of the City; and
WHEREAS, the Bonds will be payable solely from revenues of American Baptist
Homes, and the City will have no obligation whatsoever for payment of the Bonds; and
WHEREAS, the public hearing was held by the Common Council on November 12,
2013.
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NOW, THEREFORE, THE COMMON COUNCIL OF THE CITY OF MUSKEGO
HEREBY RESOLVES:
Section 1. The City hereby approves the issuance of the aforesaid Bonds by the
Colorado Health Facilities Authority (the “Authority”) in the approximate principal amount of
$65,205,000 for American Baptist Homes, and further approves the Project as described in the
Notice relating to the public hearing for the Bonds, and such approval shall be solely for the
purposes of Section 147(f) of the Internal Revenue Code of 1986 and the City shall have no
liabilities for the payment of the Bonds nor shall any of its assets be pledged to payment of the
Bonds.
Section 2. Further, it is recognized by the City that the instruments which authorize that
issuance of bonds, notes or obligations by the Authority will specifically state that no
governmental entity is obligated to pay the principal of or interest on the bonds, notes or
obligations proposed to be issued by the Authority. Nothing in this resolution shall be construed
as an indication by the City that it will pay or provide for the payment of any obligations of the
said Authority whether theretofore or hereafter incurred.
Section 3. This Resolution shall become effective immediately upon its passage.
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PASSED AND APPROVED this 12 day of November, 2013.
By
Mayor
Attest:
By
City Clerk
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