HomeMy WebLinkAbout4722_CCv0001.pdf RESOLUTION NO. 4722
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF RED DS APPROVING DOCUMENTS
RELATING TO THE EXECUTION AND DELIVERY OF
ITS CERTIFICATES OF PARTICIPATION (LOMA
LINDA UNIVERSITY MEDICAL, CENTER PROJECT)
1990 SERIES C
WHEREAS, Loma Linda University Medical Center (the
"Corporation") has requested the assistance of the City o
Redlands (the "City") in financing the acquisition of an acute
care psychiatric health facility by the Corporation located in
Redlands, California (the. "Project") through a proposed
installment sale financing arrangement between the Corporation
and the City and the execution and delivery of the City's
Certificates of Participation (Lama; Linda University Medical
Center Project) , 1990 Series C (the "Certificates") ; and,
WHEREAS, the City has determined that assisting the
Corporation in the financing of the Project is in the hest
interests of the City and of benefit to the residents of the
City, and
WHEREAS, notice of a public hearing to be conducted
by this City Council with respect to the proposed financing of
the Project by the. City was duly published at least 14 days
prior to December 4, 1990, in a newspaper of general circula-
tion in the City, which notice set 7: 00 p.m. on December 4,
1990 and the City Council chambers as the time and place for
said hearing, and
WHEREAS, this City Council is the applicable gov-
ernmental unit to conduct said ,public hearing for purposes of
Section 147 (f) of the Internal Revenue Code of 1986, as
amended (the "Code") ; and
WHEREAS, this City Council has duly held said public
meeting and hearing with respect to the Project and ,its pro-
posed financing, all in accordance with 'Section 147 (f) of the
Code, at which public hearing interested individuals were
given a reasonable opportunity to express their views on the
Project and its proposed financing by the City,. and
WHEREAS, there has been presented to this city
Council a. proposed form of Installment Sale Agreement to be
entered into between the Cite, as purchaser, and the Corpo-
ration, as seller; an Installment Purchase Agreement to be
entered into between the Corporation, as purchaser, and the
City, as seller, a Trust Agreement to be entered into among'
the City, the Corporation and Security Pacific National. Hank,
as trustee (the "Trustee") a Second Assignment Agreement to
be entered into between the City and the Trustee, a ert .fi,
tate Purchase Agreement to be entered into among the City, the
Corporation and Miller & Schroeder Financial, Inc. ; and a form
of Preliminary OfficialStatement relating to the Certi -
sates,
NOW, THEREFORE, BE IT RESOLVED, DETERMINED AND
ORDERED BY THE CITY COUNCIL OF THE CITY OF REDLANDS AS FOL-
LOWS:
OL-LOWS.
Section 1, Recitals; A_pproval__ of Projgct __apd
F'inancincx. That the above recitals, and each of them., are
true and correct and that this City Council hereby approves
the Project and its financing by means of an installment sale
financing through the execution and delivery of certificates
of participation subject to the condition that the Corporation
will: reimburse the City for any expenses incurred in connec-
tion with this transaction in the event certificates of
participation are not issued.. This approval is intended to
satisfy the requirements of Section 147 (f) of the Code.
Section 2 . InstallmentsaleAgreement. That the
proposed form of Installment Sale Agreement presented at this
meeting is hereby approved and the Mayor or Mayor Pro Tem or
other appropriate officer and the City Clerk of the City are
hereby authorized and directed to execute such Installment
Sale Agreement and accept the Corporation Grant Deed for and
in the name of the City, in substantially the form hereby
approved with such changes therein as :the officers executing
thesamemay approve, such approval to be conclusively evi-
denced by the execution and delivery thereof.
Section 3. Installment,_Purchase A r gme t. That
the proposed form of Installment Purchase Agreement presented
at this meeting is hereby approved and the Mayor or Mayor
:Pro Tem or other appropriate officer and the City Clerk of the
City are hereby authorized and directed, for and in the name
of the City, to execute such Installment Purchase Agreement
and the City Grant Meed (in substantially the form attached
thereto as Exhibit A) in: substantially the form hereby
approved with such changes therein as the officers executing`
the same may approve, such approval to be conclusively evi-
denced by the. execution and delivery thereof.
Section 4. "gust Agreement. That the proposed form;
of Trust Agreement presented at this meeting is hereby
approved and the Mayor or Mayor Fro Tem or other appropriate
officer and the City Clerk of the City are hereby authorized
and directed, for and in the name of the City, to execute such
Trust Agreement in substantially the form hereby approved with
such changes therein (including any changes necessary or
desirable to reflect the fact that the Certificates may be
issued as capital appreciation certificates) as the officers
executing the same may approve, such approval to be conclu-
sively evidenced by the execution and delivery thereof, pro-
ti
vided that such Trust Agreement shall be consistent with the
provisions of Section 7 hereof.
Section 5. Appoiptmentt of TX_ustee. That Security
Pacific National Bank, Los Angeles, California, is hereby
appointed as Trustee under the Trust Agreement for the City,
the Corporation and the owners of the Certificates, with the
duties and powers of such trustee as are set forth in the
Trust Agreement.
Section 6. Second Assignment AgLree'_mgnt. That the
proposed form of Second Assignment Agreement is hereby
approved and the Mayor or Mayor Pro Tom or other appropriate
officer and the City Clerk are hereby authorized and directed,
for and in the name of the City, to execute such Second
Assignment Agreement in substantially the form hereby approved
Frith such changes therein as the officers executing the same
may approve, such approval to be conclusively evidenced by the
execution and delivery thereof.
Section 7. certificate Purchase Agreagent. That
the form of Certificate Purchase Agreement presented at this
meeting is hereby approved and the Mayor, Mayor Pro Tom, City
Manager or other appropriate officer and the City Clerk of the
City are hereby authorized to accept, for and in the name of
the City, such Certificate Purchase Agreement in substantially
the form hereby approved with such changes therein as the
officers executing the same may approve, such approval to be
conclusively evidenced by the execution and delivery thereof,
provided that the principal amount of Certificates to be sold
pursuant to the Certificate Purchase Agreement shall not
exceed $20,000,000, the final maturity of the Certificates
shall not extend beyond December 1. 2025, the interest compo-
nent with respect to the Certificates shall not result in a
yield greater than ten percent (10.00%) per annum and the
Underwriter's discount shall not exceed two percent (2.0%) of
the principal amount of Certificates sold.
Section 8. Offigial Statement. That the draft of
the Preliminary Official Statement relating to the Certifi-
cates presented at this meeting is hereby approved with such
changes therein as may be approved by the City Manager of the
City or his designee, the Mayor, Mayor Pro Tom or any other
Councilmember is hereby authorized and directed for and in the
name and on behalf of the City to execute the Preliminary
official Statement and Final Official Statement (collectively
the "Official Statement") and the distribution of such
Official Statement in connection with the sale of the Certif i-
cates is authorized. The City Manager or his designee, the
Mayor, Mayor Pro Tom or any other Councilmember is hereby
authorized to deem the Official Statement nearly final within
the meaning of Rule 15c2-12 of the Securities Exchange Act of
1934.
-3-
Section 9. ForN 9f Ceartif gate.. That the form of
the Certificates as set forth in the Trust Agreement as pre-
sented to this meeting is hereby approved, provided that the
Mayor, Mayor Pro Tem, City Manager or other appropriate offs:-
cer
ffi-
cer of the City may approve any changes thereto (including any
changes necessary or desirable to reflect the fact that the
Certificates may be issued as capital appreciation certifi-
cates) , such approval to be evidenced by the execution of the
Trust Agreement as aforesaid, and the Trustee is hereby autho-
rized and directed, upon order of the City, to execute by man-
ual signature such Certificates in the aggregate principal
amount set forth hereinabove and all in accordance with the
terms and provisions of the Trust Agreement.
Section 10. Requisitions. The City Manager, or his
designee, is hereby authorized and directed to execute one or
more requisitions authorizing Security Pacific National Bank,
as Trustee under the Trust Agreement, to pay the costs of
issuing the Certificates from the proceeds of the Certificates
or moneys contributed by the Corporation pursuant to the Trust
Agreement.
Section 11. Snecial Cognsgl. The law firm of Best,
Best & Krieger is hereby appointed to act as Special Counsel
in this financing on the terms set forth in the proposal
letter of said firm presented to this meeting and the Mayor,
Mayor Pro Tem or City Manager is authorized and directed to
execute and cause said proposal letter to be delivered on
behalf of the City.
Section 12. Other Acts. The officers of the City
are hereby authorized and directed, jointly and severally, to
do any and all things and to execute and deliver any and all
documents which they may deem necessary or advisable in order
to consummate the execution, sale and delivery of the Certif i-
cates or otherwise to effectuate the purpose of this Resolu-
tion, and such actions previously taken by such officers are
hereby ratified and confirmed.
Section 13. Effective Date. This Resolution shall
take effect upon adoption.
ADOPTED this 4th day of December,,,, 1990. _
3
Maya ra" ci the R lands,
Cali. ni2i----'' r.
J
ATTEST:
01............
City Clerk ofe ,t. City of
Redlands, CailVI!nia
-4-
I LO IE POY ER, City Clerk of the City of
Redlands, California, do hereby certify that the foregoing
Resolution No. 4722 was regularly introduced and adopted by
the CityCouncil of the City of Redlands, California, at a
regular meeting thereof held on the 4th day of December, 1990,
by the following vote of the City Council:
AYES.' Councilmembers Beswick, Larson., Milson;
Mayor DeMirjyn
NOES.* Councilmember Cunningham
ABSENT: Mane
ABSTAINED: None
and that said resolution has not been amended, superseded or
repealed, and is in full force and effect.
IN WITNESS WHEREOF, I have hereunto set Amy hand and
affixed the official seal of the; City of Redlands, California,
this _ 4th day of December 19-Lo.
~ 3
Gi y Clef' of t Ciety Of
Redlands". Cali ornia
I
JRR 19241 -
I. LCA ;IE POY E , City Clerk of the City of
Redlands, California, do hereby certify that the foregoing
Resolution No. 4722 was regularly introduced and adapted by
the City Council of the City of Redlands, California,- at
regular meeting thereof held can the 4th day of December, 1990,
by the following arcate of the city Council
AYES: C aunc _lme hers Beswick, Larson, Milson;
Mayor DeMirjyn
NOES Councilmember Cunningham
SENT None
ABSTAINED None
and that said resolution has not been amended, superseded or
repealed, and is in full force and effect.
IN WITNESS WHEREOF, I have hereunto set mgr hand and
affixed the official seal of the City of Redlands, California,
this 21st day of December , 192-02-
City
9 9th$City Clerk of the City of
Redlands, California
JRR19 41
BEST, BEST & KRIEGER
A PAATWMHtP INCLUMNO PROVESSTONAL. T F nt) .
LAWYERS
RS
ARTHUR L.U TtLEWORTH' CLARK H.ALSOPJEANNETTE A.PETERSON MOIRA E.UMEMIORI 400 K MSSI{7N SQUARE
OLIN E.STEPHEN$* DAVID.J.ERWIN* TERI L.VMIJI =1GLE ELLEN C.SPdELMAN 3750 UNIVERSITY AVENUE
WTI L IAM Q.DEWOLFE` MICHAEL J.ANDELSON* BRIAN M.LEWIS GLEN H.WALLACE POST OFFICE BOX 1.428
GAt"TON C.GAUT': DOUGLAS S.PHILLIPS* BRADLEY E,NEUFELO KIRK W.SM H`14 RIVERSIDE,CALIFORNIA:92502`
PAUL T.SELZER* ANTONIA GRAPHOS GEOFFREY tt.WILLIS NLMSTA J.PO ELL
DALLAS ITOLMES GREGORY K.WILKINSON KANDY LEE.ALLEN JASON D.DASARINNER TELEPHONE(714)686-1450
CHRISTOPHER L,CARPENTER' WYNNE S.FURTH ELISE K.TRAYNUM HAYDN WIINSTON
RICHARD C..ANDERSON" DAVID L.BARON WILLIAM IT,OAHL€NG,.JR. DAVID A.PRENTICE TELECOPIERS
JOI-W DJ WAHLIN* VIRGINIA A,ETTINGER TERESA J.PRISTOJKOVIC KYLE A..GROW (714)686-3083* 2-461.2
MICHAEL 0.HARRIS* EUGENE TANAKA VICTORIA N.KIND. MARK A.CASTER
W CURT E.ALY* BASIL I.CHAPMA.N MATT H.MORRIS DIANE L.FINLEY
THOMAS S.SLOVAK* TIMOTHY M,CONNOW JEFFREY V,OUNN MICHELLE L UELLETTE:: OF COUNSEL.
JOHN E.BROWN:* VICTOR L.WOLF STEVEN C.:DEBAUN TIMOTHY W SE..SLER JAMES B.CORISON
MICHAEL I.RIDD.ELL` DANIEL E.OLIVIER BRANT H,.DVELRLN. PAUL C.ANDERSON
P ERCt ITH A.JURY* DANIEL J.McHUGH ERIC L.GARNER. PETER M.SARMACK:. RICHARD A..OSHINS*':
MtICHACt,GRANT* MARC E.EMPEY:. DENNIS NL COTA. STEPHEN P,DEITSCH
FRANCIS J.BAUM' JOHN R.ROTTSCHAEFER HAROLD W,HOPP RUSSELL J.THOMAS,JR:
ANNL T.THOMAS* MARTIN A.MUELLER -JULIE HAYWARD DIGGS
O.MARTIN NETHERY* J,MICHAEL.SUMMEROUR RACHELLE.1.NLCOLLE:. "AOsas°7'eETi M ri�E�W zit nevAt :
GEORGE M.RYES HOWARD S.GOLDS ROBERT We HARGREAVES WASHINQT 4J DZOm TRT OF 01,-MS
WILLIAM W.FLOYD,JR.: MARGARET F.TANAKA JANICE L.WETS
MICHAEL A.CRISTE* JEFFERY J.CRA"ALL. CHRISTIAN E.HEARK. RAYMOND REST(IB68.1957) OFFICES IN
GREGORY L HARDKE:. SCOTT:C.SMITH. SHADY L.WALKER JAMES H.KRIEGER(197.3-1975) PALM SPRINGS{619)325.7264
ICC NITALL H.M^eVEY JACK.W CLARKE PATRICK:W.PEARCE EUGENE BEST 08'33-3981)
RANCHO MIRAGE f619$568-2611.:
^.h P6iti7A'Ca:f`.vA;» Yk'Sry. ONTARIO 07.14)989.8584
November 29, 1990
Ms. Lcrri.e Pay er, City Clerk
city of Redlands
0 Cajon street
Redlands, CA 92373
City of Redlands Certificates of
Participation (Loma Linda: University
Medical Center Project) 1990 Series C
Dear Lorri:e
Please find enclosed the following items to he include
in the agenda materials for the City Council's December 4 meeting:
Cour covering memorandum;
The approving resolution;
The legal documents:
Installment Sale Agreement
Installment Purchase, Agreement
'Frust Agreement
Second Assignment Agreement.>
The Certificate Purchase Agreement and Preliminary
Official Statement will be coming to you from Denis Burke at Kutak
Rock & Campbell.
If you have any questions or comments, please do not
hesitate to call.
Very truly yours,
n R. Rott sc aeer
car Best, Best & Krieger
JRR:bmf
k
BMF 47
'
LAW OFFICES OF
BEST, BEST & KRIEGER
November 29, 1990
TO Mayor, City Council and City Manager
FROM Special Counsel
R Loma Linda University Medical Center Project
Loma Linda University Medical Center (the "Medical:
Center") is requesting the assistance of the City of Redlands in
financing its acquisition of Charter Hospital, a90-bed acute, care
psychiatric hopspital located in the City of Redlands. This
assistance is; to be through a tax-exempt certificate of
participation financing. This financing would involve the issuance
of approximately $15,000,000 of certificates of participation (the
"Certificates") by the City through an installment sale arrangement
with the Medical Center.
The Certificates would be repaid from, payments made by
the Medical Center and would not be repayable from any funds or
moneys of the City.
Attached- for your consideration is a Resolution which
approves the basic legal documents to which the City is a party in
connection with this financing (the Installment Sale Agreement, the
Installment Purchase Agreement, the 'frust Agreement and the Second
Assignment Agreement) . This Resolution appoints Security Pacific
National Bank as trustee for this issue,- authorizes the
distribution of an Official Statement in substantially the form of
the Preliminary Official Statement contained in the materials
accompanying this memorandum and approves the execution of a
Certificate Purchase Agreement pursuant to which the Certificates
would be sold to the Underwriter, Miller & Schroeder financial,
Inc. This Resolution authorizes the Mayor, Mayor Pro Tera or City
Manager to set the final: terms of the financing, provided that the
principal amount of Certificates shall not exceed $20,000,000, the>
final maturity of the. Certificates shall not extend beyond
December 1, 2025, the maximum interest rate on the Certificates
shall not result in a yield that exceeds 10 percent per annum and
theUnderwriter's discount shall not exceed 2 percent of the
principal amount of Certificates sold. This Resolution also hires
our firm as Special Counsel.
In the event that the City wishes to proceed with this
financing, we could_ recommend adoption of the attached Resolution.
Glen R. Stephens
John R. Rottschaefer
til JRR19194
1
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(314)984-8tuij { 11} 1-i1S944
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1600
e call me after the docLment has been sign
ed
e Cit, Council seg I can arrange to have it
Up and delivered to the Lam Linda City
it for signature;
YOU-.
Giuliano, Secretary t
ern F. Ziprick
"0 THE ,DEEDF TRUST
;', Y AGREEMENT
Dated as of January '15, 1991
' By and Between
, LOMA1,INLA UNIVERSITY MEDICAL AL CENTER,
SE CURITY PACIFIC NATIONAL BAND,
TRUSTEE
THE CITE U ' LOMA LINDA, CALIFORNIA,
NATIONAL AUSTRALIA BANK,, LIMITED
ACTING THROUGH ITS NEW YORK BRANCH, ,
THE CITE` GE RE LAN S, CALIFORNIA
and
I" IBAN , NA„
1991-1 AMENDMENT; TO THE
DEED OF TRUST AND SECURITY AGREEMENT
f
THIS 1991-1 AMENDMENT TO THE DEED OF TRUST AND
SECURITY AGREEMENT (this 111991-1 Deed of Trust Amendment") is
made and entered into as of January 15, 1991 by and between
LOMA LINDA UNIVERSITY MEDICAL CENTER, a nonprofit religious
corporation duly incorporated and in good standing under and
by virtue of the laws of the State of California (the
"Corporation" ) as trustor, whose address is P. 0 . Box 2000,
Loma Linda , California 92350, SECURITY PACIFIC NATIONAL BANK, a
national banking association (the "Trustee") as trustee, whose
principal office is located at 333 South Beaudry Avenue,
Los Angeles, California 90017 , and the CITY OF LOMA LINDA,
California, a municipal corporation and charter city organized
and existing under the laws of the State of California (the
"City" ) , whose address is City Hall, 11128 Anderson Street,
Loma Linda, California 92354 , NATIONAL AUSTRALIA BANK, LIMITED,
acting through its New York Bank, an Australian banking
association ("Australia Bank") , whose address is 34th Floor ,
Pan Am Building, 200 Park Avenue, New York, New York 10166, the
City of Redlands , California, a municipal corporation organized
and existing under the laws of the State of California whose
address is 212 Brookside Avenue, Redlands, California
("Redlands") , and CITIBANK, N.A. , a national banking
association (the "Bank" ) , whose address is c/o Citicorp North
America, Inc. , Citicorp Plaza, 725 South Figueroa Street , Los
Angeles, California 90017, as beneficiary (the City, Australia
Bank, Redlands and the Bank are referred to collectively herein
as the "Beneficiary" ) .
R E C I T A L S:
A. Pursuant to the Project Agreement (as hereinafter
defined) , the City has issued certain revenue bonds more
particularly described in these recitals to reimburse the
Corporation for capital expenditures, to provide working
capital , to fund certain reserves and to pay the expenses of
authorizing and issuing such revenue bonds . As used herein,
the term "Project Agreement" shall mean that certain Project
Agreement by and between the City and the Corporation dated as
of December 1, 1982 (the "Original Agreement") , as amended and
supplemented by that certain First Amendment to the Project
Agreement dated as of August 1, 1.954 (the "First Amendment" ) ,
that certain Second Amendment to the Project Agreement dated as
of April 1, 1985 (the "Second Amendment") , that certain Third
Amendment to the project Agreement dated as of July 1, 1985
(the "Third Amendment") , that certain Fourth Amendment to the
Project Agreement dated as of October 1, 1985 (the "Fourth
Amendment" ) , that certain Fifth Amendment to the Project
Agreement dated as of October 1, 1985 (the "Fifth Amendment" ) ,
that certain Sixth Amendment to the Project Agreement dated as
of December 1, 1985 the "Sixth Amendment") , that certain
Seventh Amendment to the Project Agreement dated as of
February 1 , 1989 (the "Seventh Amendment" ) , that certain Eighth
Amendment to the Project Agreement dated as of July 1 , 1989 ,
and that certain Ninth Amendment to the Project Agreement dated
as of December 1, 1990 .
B. In 1982 the City issued $7, 500, 000 in aggregate
principal amount of its Hospital Revenue Bonds (Loma Linda
University Medical Center Project) Series 1982 (the "Series
1982 Bonds" ) for the Corporation.
C. In connection with the issuance of the Series
1982 Bonds and as security for the Series 1982 Bonds the
Corporation conveyed all its interest in certain mortgaged
premises (including, without limitation, all right, title and
interest of the Corporation in and to the real property more
particularly described in Part I of Exhibit A attached hereto)
to the Trustee pursuant to a Deed of Trust and Security
Agreement dated as of December 1, 1982 (the "1982 Deed of
Trust") and recorded in the Official Records of San Bernardino
County, California (the "Official Records") on December 29,
1982 as Instrument No . 82-259574 . The 1982 Deed of Trust, as
amended and supplemented by that certain Fi e
Deed of Trust and Security Agreement dated 4
and recorded in, the Official, Records on Auc
Instrument No . 84--201858 , that certain Sec
Deed of Trust and Security Agreement dated
and recorded in the Official Records on Apr
Instrument No. 85-086148, that certain Thir
Deed of Trust and Security Agreement dated
and recorded in the Official Records on Aug shlly-ub-4-41 z"V
Instrument No . 85-197895 , that certain Fourth Amendment to the
Deed of Trust and Security Agreement dated as : of October 1,
1985 and recorded in the official Records on October 10 , 1985
as Instrument No. 85-250825, that certain Fifth Amendment to
the Deed of Trust and Security Agreement dated as of October 1,
1.985 and recorded in the Official Records on October 10, 1985,
as Instrument No. 85-250829 , that certain Sixth Amendment to
the Deed of Trust and Security Agreement dated as of
December 1, 1985 and recorded in the Official Records on
December 27, 1985 as Instrument No . 85-329833 , that certain
Seventh Amendment to the Deed of Trust and Security Agreement
dated as of February 1, 1.989 and recorded in the Official
Records on February 23 , 1989 as Instrument No . 89-062775 , that
certain 1989-11 Amendment to the Deed of Trust and Security
Agreement dated as of March 1, 1989 and recorded in the
Official Records on March 31, 1989 as Instrument No. 89-114116,
that certain Eighth Amendment to the Deed of Trust dated as of
July 1, 1989 and recorded in the Official Records on August 9,
1989 as Instrument No . 89-289286, and that certain Ninth
Amendment to the Deed of Trust dated as of December 1 , 1990 and
recorded in the Official Records on December 31, 1990 as
Instrument No. 90-910695 , is referred to herein as the "Deed of
Trust. "
3409u/2017/073 -2-
D. In connection with the issuance of the Series
1982 Bonds the City entered into that certain Indenture of
Trust dated as of December 1, 1982 with the Trustee (the
"Original Indenture" ) . The Original Indenture, as amended by
those certain supplements more particularly described in these
recitals, is referred to herein as the "Indenture. "
E. In 1984 the City issued $26 , 735,000 in aggregate
principal amount of its Hospital Revenue Bonds (Loma Linda
University Medical Center Project) Series 1984-A (the "Series
1984-A Bonds") for the Corporation as "Additional Bonds" under
the Indenture in order to provide for the refunding of certain
revenue bonds issued in 1981 in the aggregate principal amount
of $27, 500, 000 .
F. in connection with the issuance of the Series
1984-A Bonds, the City entered into the First Amendment with
the Corporation and a First Supplemental Indenture of Trust
with the Trustee dated as of August 1, 1.984 (the "First
Supplemental Indenture" ) and the City acquired a secured note
of the Corporation in the principal amount of $26, 735,000 (the
"Series 1984-A Note" ) .
G. In connection with the issuance of the Series
1984-A Bonds , the Corporation entered into that certain
Reimbursement Agreement dated as of August 1, 1984 with
Minneapolis Bank (the "Series 1984-A Reimbursement Agreement")
and executed that certain Deed of Trust and Security Agreement
dated as of August 1 , 1984, to the Trustee as trustee, in favor
of First National Bank of Minneapolis, a national banking
association ("Minneapolis Bank") as beneficiary, and recorded
in the Official Records on August 23 , 1984 as instrument
No. 84-201860 . The obligations of the Corporation under the
Series 1984-A Reimbursement Agreement constitute "Alternative
Indebtedness" within the meaning of the Indenture. The
Series 1984-A Reimbursement Agreement and the obligations
secured by the above-referenced Deed of Trust were replaced
effective March 31, 1989,, by that certain Reimbursement
Agreement dated as of March 1, 1989 with Citibank, N.A. (the
"Substitute 1984-A Reimbursement Agreement") which obligation
also constitutes Alternative Indebtedness within the meaning of
the Indenture and is secured by that certain 1989-11 Amendment
to the Deed of Trust dated as of March 1, 1989 (the "1989-11
Amendment") .
H. In 1985 the City issued $12, 0701000 in aggregate
principal amount of its Hospital Revenue Bonds Loma Linda
University Medical Center Project) Series 1985-A (the "Series
1985-A Bonds") for the Corporation as "Additional Bonds" under
the Indenture in order to provide funds for the construction of
a new northeast wing as an addition to the Existing Facility
(as defined in the Project Agreement) .
3409u/2017/073 -3-
I-. In connection with the issuance of the Series
1985-A Bands, the City entered into the Second Amendment with
the Corporation and a Second Supplemental_ Indenture of Trust
With the Trustee dated as of April 1, 1985 (the "Second
Supplemental Indenture") and the City acquired a secured note
of the Corporation in the principal amount of $12 , 070, 000 (the
"Series 1985-A Note" .
J. In connection With the issuance of the Series
1985-A Binds, the Corporation entered into that certain
Reimbursement Agreement dated as of April 1, 1985 with
Minneapolis Bank (the "Series 1985--A Reimbursement Agreement")
and executed that certain Deed of Trust and Security Agreement
dated as of April 1, 1985, to the. Trustee as trustee, in favor
of Minneapolis Bank as beneficiary, and recorded in the
Official. Records on April. 1 , 1985 as Instrument.
No . 85-086150 . The obligations of the Corporation under the
Serres 1985-A Reimbursement Agreement constitute "Alternative
Indebtedness" within the meaning of the Indenture. The
Series 1985-A Reimbursement Agreement and the obligations
secured by the above-referenced Deed of Trust were replaced
effective March 31, 1989 by that certain Reimbursement
Agreement dated as of March 1, 1989 with Citibank, I .A. (the
"Substitute Series 1985-A Reimbursement Agreement") , which
obligation also constitutes Alternative Indebtedness within the
meaning of the Indenture and is secured by the 1989-3
Amendment
K. In 1985 the City issued $40,430,000 in aggregate
principal: amount of its Hospital Revenue Bonds (Lora Linda
University Medical Center project)' Series 1985--8 (the *"Series
1.985-B Bonds") for the Corporation as "Additional Bonds" under
the Indenture in order to provide funds for refunding of the
Series 1984-A Bons and the Series 1.985-A Bonds .
L. In connection with the issuance of the Series
1985<-B Bonds, the City entered into the Third Amendment with
the Corporation and a Third Supplemental indenture of Trust
with the Trustee dated as of July 1, 1985 (the "Third
Supplemental Indenture") and the City acquired a secured note
of the Corporation in the principal amount of $40,430, 000 (the
"Series 1985- Note") .
M. In 1985 the City issued $60, OOG,000 in aggregate
principal amount of its Hospital Revenue Bonds (Lora .Linda
University Medical Center' 'Project) Series 198.5-C (the "`Series
1985-C Bonds") for the Corporation a '"Additional Bonds" under
the Indenture in order to provide financing for a portion of
the cost of the construction of certain improvements to and the
expansion of the Existing Facility` and the acquisition of
certain equipment .
t
1'
3409u/2017/073 -4-
N In connection with the issuance of the Series
1985-C Bondsl the City entered into the Fourth Amendment with
the Corporation and a Fourth Supplemental Indenture f Frust
with the Trustee dated as of October 1, 1985 (the "Fourth
Supplement Indenture") and the City acquired a secured note of
the Corporation in the principal amount of $60,000, 00 (the
"Series 1:985--C Note"
. In 1985 the City issued $20, 000, 000 in aggregate
principal amount of its Hospital Revenue Brands (Lorna Linda
University Medical Center Project) Series :1985- (the "Series
1.985-D Bonds") for the Corporation as "Additional Bonds"" under
the Indenture in order to provide financing for a portion of
the cost of the construction of certain improvements to and the
expansion of the Existing Facility and the acquisition of
certain equipment .
P. In connection with the issuance of the Series
1985-U Bonds , the City entered into the Fifth Amendment with
the Corporation and a Fifth Supplemental Indenture of Trust
with the Trustee dated as of October 1, 1985 (the "Fifth
Supplemental Indenture" ) and the City acquired a secured note
of the Corporation in the principal amount of $20,000,000 (the
"Series 1985-D Rote" ) .
Q. In connection with the issuance of the Series
1985-C Bonds and the Series 1985-D Bonds, the Corporation
entered into that certain Reimbursement Agreement dated as of
October 1, 1985 with Australia Bank (the "Series 1985-C/U
Reimbursement Agreement") and executed that certain Deed of
"Trust and Security Agreement datedas of October I,, 1985, to
the Trustee as trustee, in favor of Australia Bank as
beneficiary, and recorded in the Official Records on
October 10, 1985 ;as Instrument No. 85-250880 . The obligations
of the Corporation under the Series 1985-CII Reimbursement;
Agreement constitute "Alternative Indebtedness" within the
meaning of the Indenture-.
R. In 1985 the City issued $85, 910,000 in aggregate
principal amount of its Hospital Revenue Bonds (Loma Linda
University .Medical Center Project) Series 1985-- (the "Series
1985-E Bonds") for the Corporation as "Additional Bonds" under
the Indenture in order to provide for refunding of the Series
1:985--C Bonds and the Series 1985-D Bonds.
S. In connection with the issuance sof the Series
1985E Bonds, the City entered into the Sixth Amendment with
the Corporation and a Sixth Supplemental Indenture of Trust
with the Trustee dated as of December 1: , 1985 (the "Sixth
Supplemental: Indenture") and the City acquired a secured note
of the Corporation in the principal amount of $85, 910, 000 (the
"Series 1.985-E Note")
3409u/2017/073 -5
T. In February 1989, the City issued $14 , 545, 000 in
aggregate principal amount of its Hospital Revenue Bonds (Loma
Linda University Medical Center Project) Series 1989-A (the
"Series 1989-A Bonds" ) for the Corporation as "Additional
Bonds" under the Indenture in order to acquire a secured
promissory note of the Corporation in a principal amount equal
to the principal amount of the Series 1989-A Bonds , the net
proceeds of which are to be used to finance improvements to,
and expansion of the Corporation ' s Existing Facility and to
fund the costs and expenses of issuing the 1989-A Bonds .
U. In connection with the issuance of the
Series 1989-A Bonds, the City entered into the Seventh
Amendment with the Corporation and a Seventh Supplemental
Indenture of Trust with the Trustee dated as of February 1,
1989 (the "Seventh Supplemental Indenture" ) and the City
acquired a secured note of the Corporation in the principal
amount of $14, 545 , 000 (the "Series 1989-A Note" ) .
V. In connection with the issuance of the
Series 1989-A Bonds , the Bank issued an irrevocable letter of
credit pursuant to that certain Letter of Credit and
Reimbursement Agreement dated as of February 1, 1989 between
the Corporation and the Bank (the "1989-A Reimbursement
Agreement" ) and executed that certain Seventh Amendment to the
Deed of Trust dated as of February 1, 1989 to the Trustee, in
favor of the Beneficiary and the Minneapolis Bank to secure all
obligations under the Bonds and the Alternative Indebtedness
described therein. The obligations of the Corporation under
the 1989-A Reimbursement Agreement constitute "Alternative
Indebtedness" within the meaning of the Indenture .
W. In July 1989, the City issued $121 , 870, 000 in
aggregate principal amount of its Hospital Revenue Refunding
Bonds (Loma Linda University Medical Center Project)
Series 1989-B (the "Series 1989-B Bonds") for the Corporation
as "Additional Bonds" under the Indenture in order to acquire a
secured promissory note of the Corporation in a principal
amount equal to the principal amount of the Series 1989-B
Bonds, the net proceeds of which were to be used to defease the
Series 1982 Bonds, to crossover refund the Series 1985-B Bonds
and the Series 1985-E Bonds and to fund a portion of the costs
and expenses of issuing the Series 1989-B Bonds .
X. In connection with the issuance of the
Series 1989-B Bonds, the City entered into the Eighth Amendment
with the Corporation and an Eighth Supplemental Indenture of
Trust with the Trustee dated as of July 1, 1989 (the "Eighth
Supplemental Indenture" ) and the City acquired a secured note
of the Corporation in the principal amount of $121, 870, 000 (the
"Series 1989-B Note" ) .
3409u/2017/073 -6-
Y. In December, 1990, the City issued $18, 745,000 in
aggregate principal amount of its Hospital Revenue Refunding
Bonds (Loma Linda University Medical Project) Series 1990-A
(the "Series 1990-A Bonds" ) and $74 , 300, 000 in aggregate
principal amount of its Hospital Revenue Bonds (Loma Linda
University Medical Center Project) Series 1990-B (the
"Series 1990-B Bonds" ) for the Corporation as "Additional
Bonds" under the Indenture in order to acquire a secured
promissory note of the Corporation in a principal amount equal
to the principal amount of the Series 1990-A Bonds and
Series 1990-B Bonds, the net proceeds of which are to be used
in the case of the Series 1990-A Bonds to acquire the Community
Hospital and defease the Community Hospital Bonds and in the
case of the Series 1990-B Bonds to acquire certain Additional
Facilities and, in each case, to fund a portion of the costs
and expenses of issuing the Series 1990-A Bonds and
Series 1990-B Bonds, respectively.
Z . Concurrently with the issuance of the
Series 1990-A Bonds and the Series 1990-B Bonds, Redlands
provided for the execution and delivery by the Trustee of
$14 , 475,000 principal amount of Certificates of Participation
(Loma Linda University Medical Center Project) Series 1990-C
( referred to herein for convenience of reference as the
"Series 1990-C Bonds" ) , evidencing an undivided interest in
payments of Redlands pursuant to that certain Installment Sale
Agreement dated as of December 1, 1990 between Redlands and the
Trustee (the "Series 1990-C Installment Sale Agreement") , and
the Corporation in turn has executed that certain Installment
Purchase Agreement dated as of December 1, 1990 by and between
the Corporation and Redlands (the "Series 1990-C Installment
Purchase Agreement") and executed the Ninth Deed of Trust
amendment to secure all obligations of the Corporation under
the Bonds, and the Alternative Indebtedness described herein.
The obligations of the Corporation under the Series 1990-C
Installment Purchase Agreement constitute "Alternative
Indebtedness" within the meaning of the Indenture.
AA. In connection with the issuance of the Series
1990-A Bonds and the Series 1990-B Bonds and as security for
the Series 1990-A Bonds, the Series 1990-B Bonds and the
Series 1990-C Bonds, the Corporation, in the Ninth Deed of
Trust Amendment, conveyed all its interest in the Mortgaged
Premises (as defined in the Deed of Trust) and in the real
property described in Part II and Part III of Exhibit A
attached thereto (the "Additional Premises" ) to the Trustee in
order that the holders of the Series 1984-A Bonds, the
Series 1985-A Bonds, the Series 1985-B Bonds, the Series 1985-C
Bonds, the Series 1985-D Bonds, the Series 1985-E Bonds, the
Series 1989-A Bonds , the Series 1989-B Bonds, the Series 1990-A
Bonds, the Series 1990-B Bonds, the Series 1990-C Bonds, any
"Additional Bonds" (as defined in the Indenture) , "Additional
3409u/2017/073 -7-
Notes" (as defined in the Indenture) and "Alternative
Indebtedness" (as defined in the Indenture, including , without
limitation, the obligations of the Corporation under the
Substitute Series 1984-A Reimbursement Agreement , the
Substitute Series 1985-A Reimbursement Agreement, the Series
1985-C/D Reimbursement Agreement, the Series 1989 -
Reimbursement Agreement and the Series 1990-C Installment
Purchase Agreement) would share in all security equally and
ratably.
BB. Pursuant to the Series 1990-C Installment
Purchase Agreement, the Corporation will be acquiring that
certain hospital facility located at 1710 Barton Road in the
City of Redlands with the proceeds of the Series 1990-C Bonds,
and by this 1991-1 Deed of Trust Amendment the Corporation
shall convey as additional collateral all its interest in the
real property described in Part IV of Exhibit A hereto (the
"Additional Premises" ) to the Trustee in order that the holders
of the Series 1984-A Bonds , the Series 1985-A Bonds, the Series
1985-B Bonds, the Series 1985-C Bonds, the Series 1985-D Bonds,
the Series 1985-E Bonds , the Series 1989-A Bonds , the Series
1989-B Bonds, the Series 1990-A Bonds, the Series 1990-B Bonds ,
the Series 1990-C Bonds , any "Additional Bonds" (as defined in
the Indenture) , "Additional Notes" (as defined in the
Indenture) and "Alternative Indebtedness" (as defined in the
Indenture, including, without limitation, the obligations of
the Corporation under the Substitute Series 1984-
Reimbursement Agreement , the Substitute Series 1985-A
Reimbursement Agreement, the Series 1985-C/D Reimbursement
Agreement, the Series 1989-A Reimbursement Agreement and the
Series 1990-C Installment Purchase Agreement) will share in all
security equally and ratably.
NOW, THEREFORE, with reference to and in consideration
of the foregoing recitals , and for other good and valuable
consideration, the receipt and sufficiency of which are hereby
acknowledged, the Corporation hereby reconfirms and carries
forward the lien and security interests granted by the Deed of
Trust, and (i) irrevocably grants, transfers and assigns to the
Trustee, in trust, with power of sale, for the benefit and
security of Beneficiary, under and subject to the terms of the
Deed of Trust , as amended hereby, the Mortgaged Premises and
the Additional Premises , 00 irrevocably grants to the
Trustee, in trust, for the benefit and security of Beneficiary,
under and subject to the terms of the Deed of Trust , as amended
hereby, a security interest in the Gross Receivables (as
defined in the Deed of Trust) of the Corporation, and (iii) the
parties hereby supplement and amend the Deed of Trust further
as follows :
3409u/2017/073
ARTICLE I
AMENDMENT OF DEED OF TRUST
Section 1 . 01 . Amendment of Schedule A. Schedule A
attached to the Deed of Trust is hereby amended to add the
page(s) attached hereto as Part IV of Exhibit A (the
"Additional Premises" ) . As used in the Deed of Trust , the
terms the "Land" and the "Mortgaged Premises" shall henceforth
include the Additional Premises for all purposes set forth
therein.
This Deed of Trust and Security Agreement is also a
fixture filing financing statement to be filed in the real
estate records and contains after-acquired property provisions .
ARTICLE II
MISCELLANEOUS
Section 2 . 01 . Applicability of the Deed of Trust .
Except as otherwise provided in this 1991-1 Deed of Trust
Amendment, the provisions of the Deed of Trust, as previously
amended (which provisions are incorporated herein by this
reference and made a part hereof) are hereby ratified, approved
and confirmed. This 1991-1 Deed of Trust Amendment shall be
construed as having been authorized, executed and delivered
pursuant to Section 25 of the Deed of Trust and in accordance
with the Indenture.
Section 2 .02 . Counterparts . This 1991-1 Deed of
Trust Amendment may be executed in any number of counterparts,
each of which shall be an original and all of which when taken
together shall constitute a single document .
3409u/2017/073 -9-
IN WITNESS WHEREOF, the undersigned have caused this
1991-1 Deed of Trust Amendment to be executed as of the date
first above written.
(SEAL) LOMA LINDA UNIVERSITY MEDICAL
CENTER
By:
Its
Its;
"TRUSTEE"
SECURITY PACIFIC NATIONAL BAND, as
Trustee>
By.
Its : Authorized Officer
"CITY"
THE CITY OF LOMA LINDA, CALIFORNIA
By.
Its : Mayer
ATTEST
City Clem
" DLANDS"
CITY OF REIN NDS ALIFORNIA
By: .�
Its YO
TEST:
Cit Cele
09u/2017/07 -10-
CERTIFICATE OF ACCEPTANCE`
(California Government Code. 27281)
1991-1 Amendment to Deed of Trust
and Security Agreement
This is to certify that the interest in real property, if
any, conveyed or assigned by the foregoing 1991-1 Amendment to
Deed of Trust and Security Agreement dated as of January 1
1991 from Loma Linda University Medical Center to the City of
Lerma Linda, a chartered city and municipal corporation of the
State of California ("Issuer" ) is hereby accepted by the
undersigned officer on behalf of the Issuer pursuant t
authority conferred by resolution of Issuer adopted on
December 18, 1999, and Issuer consents to the recordation.
thereof by the undersigned as the duly authorized officer of;
the Issuer.
Dated : January ®, 1991 CITY of LOMA LINDA
By: Robert R. Mitchell
Its : City Manager
3409u/2017/073ll
CERTIFICATE OF ACCEPTANCE
(California Government Code 27281_)
1991-I Amendment to Deed of Trust
and Security Agreement
This is to certify that the interest in real property, if
any, conveyed or assigned by the foregoing 1991-I Amendment to
Deed of Trust and Security Agreement dated as of January 1-,
1991 from Lara Linda University Medical Center to the City of
Redlands, a chartered city and municipal corporation of the
State of California ("Issuer") is hereby accepted by the
undersigned officer on behalf of the Issuer pursuant to
authority conferred by resolution of Issuer adopted on
December 4-, 1990, and Issuer consents to the recordation
thereof by the undersigned as of the duly authorized officer of
the Issuer,.
Gated January 15 , 1991 CITY OF REDLANDS
By:
Its ' City Manager
3409u/2017/073 -12-
CORPORATE ACKNOWLEDGEMENT
STATE OF CALIFORNIA }
} ss .
COUNTY OF SAN BERNARDINO )
On this day of January, in the year 1991, before
me personally personally appeared
and personally mown to me or
proved to me on the basis of satisfactory evidence to be the
person who executed the within instrument as ,
and , respectively of LOMA LINDA
UNIVERSITY MEDICAL CENTER, a nonprofit religious corporation,
and acknowledged to me that said corporation executed the same.
WITNESS my hand and official seal .
(SEAL)
3409u120171073 -13-
TRUSTEE ACKNOWLEDGEMENT
STATE OF CALIFORNIA
) ss .
COUNTY OF SAN BERNARDINO
On this day of January, in the year 1991, before
me personally personally appeared
(proved to me on the basis of satisfactory evidence to be the
person who executed the within instrument an authorized officer
of the Security Pacific National Bank and acknowledged to me
that Security Pacific National Bank executed it .
WITNESS my hand and official seal .
(SEAL)
3409u/2017/073 -14-
ACKNOWLEDGMENT OF CITY
STATE OF CALIFORNIA
) SS.
COUNTY OF SAN BERNARDINO)
On this day of January, 1991, before me, the
undersigned notary public, personally appeared
and . personally known to me (or proved to me on
the basis of satisfactory evidence) to be the persons who
executed this instrument as Mayor and City Clerk of the City of
Loma Linda and acknowledged to me that the City executed it .
WITNESS my hand and official seal .
Notary Public
3409u/2017/073 -15-
ACKNOWLEDGMENT OF CITY
STATE OF CALIFORNIA
) SS.
COUNTY OF SAN BERNARDINO)
On this h day of January, 1991, before me, the
undersigned notary public, personally appeared Charles G. Del.r 'yn
and Lorrige P y�er A personally known to me or proved to me on
the basin of satisfactory evidence) to be the persons who
executed this instrument as mayor and City Clerk of the City of
Redlands and acknowledged to me that the City executed it .
WITNESS y hand and official seal.
u_
Notary Public
0 TICAL SEAL
pgph$$, 8ory(SANDCOuNTy
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SAN BERN RDIMy Commiss
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3409u/2017/07 -16-