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NOVEMBER 28, 2000
<br />
<br /> Motion by Mr. Benn, and seconded by Mr. Moody, to adopt the following
<br />resolution, and was adopted by the following vote:
<br />
<br />"A RESOLUTION EXPRESSING THE CONCURRENCE OF THE COUNCIL OF THE
<br />CITY OF PORTSMOUTH, VIRGINIA, WITH THE INDUCEMENT RESOLUTION
<br />ADOPTED BY THE ECONOMIC DEVELOPMENT AUTHORITY OF HENRICO
<br />COUNTY, VIRGINIA AND APPROVING THE ISSUANCE OF REVENUE BONDS FOR
<br />THE BENEFIT OF MARYVIEW HOSPITAL AND BON SECOURS HEALTH SYSTEM,
<br />INC.
<br />
<br /> WHEREAS, the Economic Development Authority of Henrico County, Virginia
<br />(the "Henrico Authority"), on October 19, 2000, adopted an inducement resolution (the
<br />"Inducement Resolution") (a copy of which is attached hereto as Attachment A) for the
<br />benefit of Bon Secours Health System, Inc., a Maryland nonstock, nonprofit
<br />membership corporation ("BSHSI"), wherein the Henrico Authority has agreed to issue
<br />its revenue bonds to assist certain affiliated health facilities of BSHSI, located in
<br />Virginia, including Maryview Hospital, a Virginia nonstock, nonprofit corporation
<br />("Maryview Hospital"), located in Portsmouth, Virginia, in financing the acquisition,
<br />construction and equipping of certain capital improvements; and
<br />
<br /> WHEREAS, BSHSI and Maryview Hospital have requested that the Henrico
<br />Authority issue one or more series of its Revenue Bonds, Series 2000 (Bon Secours
<br />Health System, Inc.) (the "Bonds"), a portion of the proceeds of which will be used to (i)
<br />pay or reimburse, or refinance certain indebtedness the proceeds of which were used
<br />by, Maryview Hospital for the payment of the costs of acquiring, constructing, equipping,
<br />expanding, enlarging and improving certain of its medical facilities (the "Project"),
<br />(ii) provide working capital for Maryview Hospital, (iii) fund a debt service reserve fund,
<br />(iv) pay a portion of the interest on the Bonds and (v) pay certain expenses incurred in
<br />connection with the issuance of the Bonds; and
<br />
<br /> WHEREAS, the aggregate principal amount of the portion of the Bonds issued
<br />for the benefit of Maryview Hospital will not exceed $30,000,000; and
<br />
<br /> WHEREAS, the Bonds will be issued pursuant to the Virginia Industrial
<br />Development and Revenue Bond Act, Chapter 49, Title 15.2, Code of Virginia of 1950,
<br />as amended (the "Act") and will be limited obligations of the Henrico Authority payable
<br />solely from the revenues and receipts derived from payments provided by BSHSI and
<br />certain affiliated corporations, including Maryview Hospital; and
<br />
<br /> WHEREAS, the facilities to be financed and refinanced are located within the
<br />boundaries of the City of Portsmouth, Virginia, which has created the Industrial
<br />Development Authority of the City of Portsmouth (the "Portsmouth Authority"), and
<br />Section 15.2-4905 of the Act permits the issuance of the Bonds by the Henrico Authority
<br />for the benefit of Maryview Hospital if the governing body of the City of Portsmouth,
<br />Virginia, concurs in the Inducement Resolution adopted by the Henrico Authority; and
<br />
<br /> WHEREAS, Section 147(0 of the Internal Revenue Code of 1986, as amended
<br />(the "Code"), provides that the highest elected governmental official of the governmental
<br />unit having jurisdiction over the area in which any facility financed with the proceeds of
<br />the Bonds is located must approve the issuance of the Bonds in order for the interest on
<br />the Bonds to be entitled to certain exemptions from taxation provided by the Code and
<br />the Council of the City of Portsmouth, Virginia constitutes such highest elected
<br />governmental official within the meaning of the Code; and
<br />
<br /> WHEREAS, Section 15.2-4906 of the Act requires that the governing body of the
<br />City of Portsmouth, Virginia, approve the issuance of the Bonds recommended by the
<br />Portsmouth Authority; and
<br />
<br /> WHEREAS, on November 21, 2000 the Portsmouth Authority adopted a
<br />resolution approving the issuance of the Bonds and recommending that the City Council
<br />of the City of Portsmouth, Virginia, express its concurrence with the Inducement
<br />Resolution and approve the issuance of the Bonds so that the Henrico Authority may
<br />issue its Bonds on behalf of BSHSI and Maryview Hospital as described above.
<br />
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