HomeMy WebLinkAbout7178M M M M
RESOLUTION NO. 7,178
A RESOLUTION TO PROVIDE ASSURANCE AND
COMFORT TO FINANCIAL INSTITUTIONS PAR-
TICIPATING IN THE SYSTEM FINANCING FOR
THE PUBLIC UTILITY FOR AMBULANCE SERVICE
WHEREAS, the City of Little Rock Board of Directors
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adopted Ambulance Ordinance No. 14,511 on September 20, 1983; and
WHEREAS, the Ordinance was adopted pursuant to the
State Municipal Ambulance Licensing Act for the purpose of
establishing, via the Public Utility Model for Advanced Life
Support Ambulance Service, a regulated ambulance service system
that can provide each ambulance patient with the best possible
chance of survival without disability or preventable
complications; and
WHEREAS, a general intent of the Ordinance is to
mandate "exclusivity" of emergency and non - emergency ambulance
service by the Little Rock Ambulance Authority because it is
neither fair nor financially feasible to require a high level of
emergency performance from one ambulance company while
simultaneously allowing other ambulance companies to select
certain preferred non - emergency business; and
WHEREAS, the Little Rock Ambulance Authority is in the
midst of numerous overlapping development activities associated
with implementing the Public Utility Model pursuant to the
mandates of the Ordinance; and
WHEREAS, a major developmental activity centers on the
acquisition of approximately 2.3 million dollars for ambulance
system financing with local financial institutions; and
NOW, THEREFORE, BE IT RESOLVED BY THE CITY OF LITTLE
ROCK BOARD OF DIRECTORS THAT THE FOLLOWING ASSURANCES FOR COMFORT
ARE MADE TO FINANCIAL INSTITUTIONS WHICH SHALL PARTICIPATE IN THE
SYSTEM FINANCING FOR THE LITTLE ROCK AMBULANCE AUTHORITY PUBLIC
UTILITY FOR AMBULANCE SERVICE:
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SECTION 1. The City will take no action that will have
an effect to undermine the Ambulance Authority's financial status
or its ability to meet all of its obligations under its loan
agreement(s) with financial institutions, provided that this
resolution shall in no way restrict or impair the authority of
the Little Rock Board of Directors to set and control the rates
to be charged by the Authority and its operator nor shall the
excerise of rate making authority by the City of Little Rock
result in the assumption by the City of any debt or obligation of
the Authority or its operator.
SECTION 2. Commitment to preserve the market area
through strict enforcement of the "exclusive" right of the
Ambulance Authority to provide emergency and non - emergency
ambulance service in the City of Little Rock. The City
government is cognizant of the fact that preservation of an
exclusive market for the ambulance service is essential to the
financial stability of the system and the Authority's ability to
repay its debts. Therefore, the City of Little Rock commits all
of its available staff resources (i.e., City Attorney's Office,
Police Department, and Human and General Services Department) for
the enforcement of the Authority's exclusive right to provide
emergency and non - emergency ambulance service.
SECTION 3. In the event of default for any reason by
the Ambulance Authority to financial institution(s), the City
commits to work expeditiously toward insurance against any break
in ambulance service during the period of default, while
simultaneously seeking a cure for the default.
SECTION 4. In the event of such financial default and
with the aforementioned objectives in mind, the City commits to
enact and enforce appropriate legislation and work with the
Ambulance Authority to institute an alternative franchise
structure which will require that any ambulance operator(s) doing
business in the City of Little Rock use and maintain the
Ambulance Authority's equipment on a lease, rental or franchise
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fee basis. Said equipment shall include the communications
system, vehicles and useable on -board equipment. Payments from
the required use of such equipment shall be pledged to the
repayment of the outstanding debt to financial institution(s).
SECTION 5. The City commits to assist in other
possible ways to cure any financial default in loan payments that
do not require a direct outlay of City funds.
SECTION 6. This Resolution shall be in full force and
effect from and after its adoption and approval.
ADOPTED: April 17, 1984
ATTEST:
CIT CLERK JANE CZECH MAYOR � i�� /
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