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AN ORDINANCE making a supplemental appropriation of $12, 785,000 from the Harborview Medical Center/medical examiner improvement 2000 projects subfund, to provide funding for four separate projects in continued support of the Harborview Medical Center/medical examiner stabilization and critical care expansion project; and amending the 2003 Budget Ordinance, Ordinance 14517, Section 118, as amended.
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BE IT ORDAINED BY THE COUNCIL OF KING COUNTY:
SECTION 1. Findings of fact. The council makes the following findings of fact:
A. Harborview Medical Center provides essential public health services and is managed by the University of Washington under the management and operations contract. The Harborview Medical Center board of trustees ("board") has requested a modification to the adopted Harborview bond capital plan to provide for the construction of additional facilities as set forth in Attachment 1 to this ordinance. These facilities provide an opportunity to enhance the excellence of the medical center, focusing on clinical care and research in areas of significant public health concern.
B. The board has made the following financial commitments to King County to ensure the repayment of bonds that may be issued for that purpose without use of general county revenues and to ensure that the modification is a prudent public investment of scarce capital resources.
C. For the Ninth and Jefferson Building parking project, additional funds of $6,010,700 are planned to be financed from county-issued bonds. This amount is in addition to $18,200,000 of parking costs in the core existing project to be financed from the same source. The board has committed to King County that:
1. Funds shall be repaid from Harborview Medical Center ("HMC") parking proceeds;
2. HMC will maintain a separate accounting for all revenues and costs of parking operations; and
3. HMC will use a parking rate schedule providing no less financial coverage than that presented as accumulated 2004-2007 operating surplus of $1.6 million. These accumulated surplus funds shall be reserved specifically for debt reserve coverage for bonds to be issued in behalf of this project.
D. For the Ninth and Jefferson Building 2-floor Shell and Tenant Improvements, funds to establish these additional 2 floors, which are estimated at $23,589,300, shall be repaid by HMC from its revenues and reserves. The board has committed to King County that:
1. It shall obtain research facilities use reimbursements from the University of Washington of a minimum of $2.3 million annually through June 30, 2015 for use of HMC premises pursuant to an agreement with the University of Washington, as set forth in Attachment 2 to this ordinance,
2. It shall set aside in a reserve fund the annual reimbursements and any other HMC resources necessary to ensure bond repayment. Specifically, HMC shall begin in September 2003 making monthly reserve payments of no less than one-twelfth of this annual $2.3 million.
SECTION 2. There is hereby approved and adopted an appropriation of $12,785,000 from the Harborview Medical Center/medical examiner improvement 2000 projects subfund, to provide funding for an Independent Consultant, the construction of the 9th and Jefferson Building and the Inpatient Expansion Building and demolition of Harborview Hall and the East Clinic (South Wing).
SECTION 3. Ordinance 15417, Section 118, as amended, is hereby amended by adding thereto the following:
Fund Capital Fund Amount
379-1 HMC/M.E. Improvements 2000 Projects Subfund $12,785,000
SECTION 4. From several capital improvement project funds there is hereby appropriated and authorized to be disbursed the following amounts for the specific projects identified in Attachment 1 to this ordinance.
SECTION 5. The council hereby approves and adopts modifications to the Adopted Harborview Bond Capital Plan as described in Attachment 1 to this ordinance, relying on upon the financial commitments made by the Harborview Medical Center board of trustees and the University of Washington, as set forth in section 1 of this ordinance.