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HomeMy WebLinkAboutDMCC Resolution No. 186-2025 (Approving Amendments To Reflect Biennial Budget) DESTINATION MEDICAL CENTER CORPORATION RESOLUTION NO. 186-2025 A RESOLUTION APPROVING AMENDMENTS TO REFLECT BIENNIAL BUDGET The following Resolution was offered by Kim Norton, seconded by Mark Thein. BACKGROUND RECITALS A. The Destination Medical Center Corporation (“DMCC”) has historically operated under an annual budgeting framework, preparing, approving, and administering its budget on a fiscal-year basis; and B. DMCC has determined that transitioning from an annual budget to a biennial budget is in its best interests to align with the biennial budgeting process followed by the City of Rochester; and C. In order to effectuate the transition to a biennial budget, DMCC has caused a review of its governing documents, and other agreements, including applicable loan documents, relating to or referencing such annual budget to identify all provisions referencing or relying upon an annual budget cycle; and D. Though this review, DMCC determined that the Amended and Restated Articles of Incorporation, the Bylaws, the Agreement for Destination Medical Center Services, the Agreement for DMCC Funding and Support, the Working Capital Loan Agreement (DMCC – EDA), and the Working Capital Loan Agreement (DMCC-City) (collectively, the “Budget Documents”) each contain references to, or requirements for, an annual budget and therefore must be amended to reflect the adoption of a biennial budgeting process; and E. To implement the biennial budget framework, DMCC has prepared, reviewed, and desires to formally adopt, in substantially similar forms to what was presented to and reviewed by the Board at the duly held meeting, the following amended Budget Documents: (1) First Amendment to Amended and Restated Articles of Incorporation of Destination Medical Center Corporation (“Articles Amendment”), (2) First Amendment to Bylaws of Destination Medical Center Corporation (“Bylaws Amendment”); (3) First Amendment to Agreement for Destination Medical Center Services (“DMC Service Agreement Amendment”); (4) First Amendment to Agreement for DMCC Funding and Support (“Funding Amendment”); (5) Second Amendment to the Working Capital Loan Agreement (DMCC-EDA) (“EDA Loan Amendment”); and (6) Second Amendment to the Working Capital Loan Agreement (DMCC-City) (“City Loan Amendment”) (collectively, the “Budget Amendments”). RESOLUTION NOW, THEREFORE, BE IT RESOLVED, by the requisite vote of the DMCC Board of Directors, that the Budget Amendments be, and hereby are, ratified and approved, conditioned upon receiving requisite further approvals from the City or counter-parties to the Budget Documents, as applicable and where required by the terms of the applicable Budget Documents. 2 BE IT FURTHER RESOLVED, that the Chair or Treasurer of the DMCC is hereby authorized and directed to transmit this Resolution to the City of Rochester and other necessary counter-parties and to take such actions as are necessary or convenient to effectuate and carry out the foregoing resolutions. 41201721v4 The question was on the adoption of the Resolution and there were 8 YEAS and 0 NAYS, as follows: BOARD OF DIRECTORS Destination Medical Center Corporation YEA NAY OTHER Douglas M. Baker, Jr. X Kristin Beckmann X James R. Campbell X Kim Norton X Randy Schubring X Mark Thein X Pamela Wheelock X Paul D. Williams X RESOLUTION ADOPTED on December 10, 2025. ATTEST: Pamela Wheelock, Chair Destination Medical Center Corporation