CITY OF HOMER

HOMER, ALASKA

Mayor/Roberts

RESOLUTION 10-62

A RESOLUTION OF THE CITY COUNCIL OF HOMER, ALASKA, EXPRESSING ITS SUPPORT FOR THE KENAI PENINSULA BOROUGH TO IMMEDIATELY PROCEED WITH CONSTRUCTION OF THE MRI ADDITION AT SOUTH PENINSULA HOSPITAL

WHEREAS, in the May 8, 2007 special election, a majority of South Kenai Peninsula Hospital Service Area (Service Area) voters voting on the matter approved Proposition No. 1 which authorized the expenditure of $14,700,000 to pay the cost of capital improvements related to the South Peninsula Hospital and the issuance of up to $14,700,000 in Service Area general obligation bonds; and

WHEREAS, Proposition No 1 stated “The bond proceeds of $14,700,000 will be used to pay the costs of planning, designing, site preparation, constructing, acquiring, renovating, installing, and equipping the South Peninsula Hospital located within the South Kenai Peninsula Hospital Service Area.”;and

WHEREAS, At its meeting of March 25, 2009, the South Peninsula Hospital Inc., board of directors recommended approval of the request to appropriate the interest income earned from the 2007 bond proceeds for construction of a facility to house the new MRI machine; and

WHEREAS, At its meeting of April 9, 2009, the Service Area board recommended approval of the request to appropriate the interest income earned from the 2007 bond proceeds for construction of a facility to house of the new MRI; and

WHEREAS, On May 5, 2009, the Kenai Peninsula Borough Assembly appropriated $625,000 for costs associated with constructing a facility to house a new MRI at the South Peninsula Hospital, and

WHEREAS, The hospital has an immediate need for a new MRI machine which was purchased in July 2009, but is not in use because the addition for housing the machine has not yet been constructed; and

WHEREAS, KPB Ordinance 2010-19-01 was approved by the Borough Assembly on July 6, 2010 authorizing additional funds which are sufficient for immediate construction of the MRI addition; and

WHEREAS, Available funds are not sufficient to construct the MRI addition if the start of construction is delayed beyond early August 2010; and

WHEREAS, Delay of the start of construction for the MRI addition is projected to cost the Hospital and the South Kenai Peninsula Hospital Service Area taxpayers in excess of $500,000.

NOW, THEREFORE, BE IT RESOLVED That the Homer City Council expresses support for the Kenai Peninsula Borough to immediately proceed with construction of the MRI addition at South Peninsula Hospital.

PASSED AND ADOPTED by the Homer City Council this 26^th day of July, 2010.

CITY OF HOMER

_____________________________

JAMES C. HORNADAY, MAYOR

ATTEST:

______________________________

MELISSA JACOBSEN, CMC, DEPUTY CITY CLERK

Fiscal Note: N/A