HomeMy WebLinkAbout2017-02-15 17-086 ORDERCOUNCIL ACTION
Item No. 17-086
Date: February 13, 2017
Item/Subject: ORDER, Authorizing Execution of Sixth Amendment to the Master Transaction
Agreement between the City of Bangor and Bangor Nursing and Rehabilitation Center
Responsible Department: Legal
Commentary:
In 2000 the City Council approved execution of a Master Transaction Agreement between the
City of Bangor and the Bangor Nursing and Rehabilitation Center that set forth various terms and
conditions for the conversion of the operation of the Bangor City Nursing Facility to the Bangor
Nursing and Rehabilitation Center (BNRC). As part of the Agreement the City agreed to lease a
portion of the building for its Health and Community Services Department and the City agreed to
fund up to $2.25 million for capital improvements identified in a report prepared by Carpenter
and Associate needed by the building conveyed by the City. To date almost $1.6 million in
improvements have been made leaving approximately $636,000 available. The portion of the
building occupied by BNRC is in need of capital improvements identified in the Carpenter and
Associates report and required by State and Federal regulatory officials related to life safety
issues. The improvements are estimated to cost up to $420,000. The portion of the building
leased by the City is also in need of capital improvements identified in the Carpenter and
Associates report related to life safety issues and personnel security issues. Those improvements
are expected to cost at least as much the remaining balance of the money designated for capital
improvements after payment of the BNRC improvements.
This Order, if approved, will authorize execution of the Sixth Amendment to the Master
Transaction Agreement to provide for payment in an amount not to exceed $420,000 for
improvements to the building for occupied by the BNRC with the remaining balance of the
$636,000 to be used for improvements to the portion of the building leased by the City.
Manager's Comments:
Associated Information:
Budget Approval:
Legal Approval:
Introduced for
Passage
First Reading
Referral
Department Head
Page _ of _
ManagerCity
Finance Director
icitor
17-086
FEBRUARY 13, 2017
Assigned to Councilor Nealley
1-f 84
CITY OF BANGOR
Q. I
(TITLE.) ORDER, Authorizing Execution of Sixth Amendment to the Master Transaction
Agreement between the City of Bangor and Bangor Nursing and Rehabilitation Center
WHEREAS, on December 27, 2000, by Council Order 01-80, the City Council approved
execution of a Master Transaction Agreement between the City of Bangor and the Bangor
Nursing and Rehabilitation Center that set forth various terms and conditions for the conversion
of the operation of the Bangor City Nursing Facility to the Bangor Nursing and Rehabilitation
Center; and
WHEREAS, as part of the Master Transaction Agreement the City agreed to lease a portion of
the building for its Health and Community Services Department; and
WHEREAS, as part of the Master Transaction Agreement the City agreed to fund up to $2.25
million for capital improvements identified in a report prepared by Carpenter and Associate to
the building conveyed by the City; and
WHEREAS, to date almost $1.6 million in improvements have been made leaving approximately
$636,000 available; and
WHEREAS, that portion of the building occupied by the Bangor Nursing and Rehabilitation
Center City is in need of capital improvements identified in the Carpenter and Associates report
and required by State and Federal regulatory officials related to life safety issues, said
improvements expecting to cost up to $420,000; and
WHEREAS, that portion of the building leased by the City is in need of capital improvements
identified in the Carpenter and Associates report related to life safety issues and personnel
security issues, said improvements expecting to cost at least the remaining balance of the
money designated for capital improvements after payment of the $420,000, or less, for Bangor
Nursing and Rehabilitation improvements; and
WHEREAS, it is in the interest of the parties to amend the Master Transaction Agreement to set
out the improvements to be made and the cost.
By the City Counal of the City of Bangor;
ORDERED,
THAT Catherine M. Conlow, City Manager, is hereby authorized on behalf of the City of Bangor
to execute the Sixth Amendment to the Master Transaction Agreement between the City of
Bangor and Bangor Nursing and Rehabilitation Center to provide for payment for certain
improvements to the property of Bangor Nursing Rehabilitation Center including that portion
being operated as a nursing and rehabilitation facility, in an amount not to exceed $420,000
and that portion of the property leased to the City of Bangor. Said document shall be in a final
form as approved by the City Solicitor.
IN CITY COUNCIL
FEBRUARY 15, 2017
CO 17-086
MOTION MADE AND SECONDED FOR PASSAGE
PASSED
CITY CLERk