51-96 Lakewood Hosp Lease - Laserfiche WebLink

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PARTIES TO AGREEMENT.. The City is the lessor under this Lease. 'The Lessee is Lakewood Hospital Association, a nOn-profit corporation organized for the charitable purpose of operating the Hospital and its related health care facilities and services. GOVERNING BODY The Hospital will, subject to certain matters reserved to the member of the Lessee, be governed by the Lessee's Board of Trustees ("Governing Board"), The Governing Board will be composed of twenty-three members consisting of the Mayor of the City; two members of the Council of the City (representing the political parties with the largest and second largest number of representatives in Council) selected by Council; three representatives of community organizations of the City nominated by the Council of the City and elected by the Governing Board with the election ratified by the Member; four members, two of whom are nominated by the Mayor and two by the Council and elected by the Governing Board with the election ratified by the Member; three members elected by the Member; nine members nominated and elected by the Governing Board with the election ratified by the Member; and the immediate past President of the Medical Staff of the Hospital. The Governing Board will elect its own Chairperson and Vice Chairperson. The meetings of the Governing Board shall be open to the public to assure full disclosure of the operations of the Hospital unless the Governing Board determines that public discussion or action by the Governing Board would be detrimental to the interests of the patients of the Hospital or the welfare of the residents of the City or the Hospital. I.t:.ASE; TERM; RENT AND ADDITIONAL PAYMENTS This agreement is a lease of the real and personal property for the operation of the Hospital from the City to the Lessee and continues the transfer from the City to the Lessee of all liabilities, debts, monies, accounts and inventories of the Hospital. The term of the Lease is thirty years with the parties agreeing that the Lessee has an option to renew this Lease for an additional term of thirty years commencing at the expiration of the original thirty-year term of this Lease. At the end of the term of this Lease or of the additional term if the Lessee exercises its option, the Lessee shall retire or make provision for retiring all of the Lessee's indebtedness and pay or cause to be paid all of its liabilities and shall relinquish the real and personal property of the Hospital and all monies, accounts and inventories then held by the Lessee to the City. The Lessee agrees to pay, in each year, the amount necessary, to retire the revenue bonds of the City issued to pay for improvement of the Hospital, which payments if those bonds remain outstanding to their final maturity, will aggregate $$3,082,649, and to assume all other obligations of the City relating to the Hospital, and to pay as Additional Payments the amounts in each year set forth for the respective year in Schedule 1 hereto. The Lessee in consideration of and in accordance with the Lease agrees to maintain the Hospital in good repair and operating condition and also agrees to replace equipment and other personal property necessary to the activities then to be carried on in operation of the Hospital. -2-