AN ACT AUTHORIZING THE CITY OF HAVERHILL TO PAY OR PROVIDE FOR CERTAIN COSTS RELATED TO THE OPERATIONS, SALE, TRANSFER, OR CLOSURE OF THE HALE HOSPITAL.
Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
SECTION 1. Notwithstanding the provisions of any general or special law, city charter provision or local ordinance to the contrary, the city of Haverhill is hereby authorized to borrow, at one time or from time to time, and as provided for in this act, such sums as the commissioner of revenue shall approve as related to the sale, transfer, or closure of the Hale Hospital or deficits deriving from the operation thereof, but in no event in an amount in the aggregate in excess of $30,000,000. The city may issue bonds or notes of said city of Haverhill for this purpose. Upon the order of the city council, and approval of the mayor, and as approved by the commissioner of revenue, the proceeds of such bonds or notes shall be used to pay costs, expenses or liabilities, or to defray deficits, relating to or deriving directly or indirectly from the operations, sale, transfer or closure of the Hale Hospital. The issuance of bonds or notes under this act and the expenditure of the proceeds thereof shall not be subject to the approval of the Hale municipal hospital finance review board established by section 4B of chapter 569 of the acts of 1985.
Bonds or notes issued under this act shall be in such form, and include such terms and conditions, as the commissioner of revenue shall approve and shall be general obligation bonds or notes of the city of Haverhill. Bonds or notes issued under this act shall be eligible to be issued as qualified bonds or notes pursuant to chapter 44A of the General Laws. Notwithstanding the provisions of section 5 of said chapter 44A or any other general or special law to the contrary, any bond or note issued under this act shall be payable within 20 years from its date.
The maturities of each issue of bonds or notes authorized under this act, including any refunding bonds, may, if approved by the city officers authorized to issue said bonds or notes and the commissioner of revenue, be arranged so that for each issue the amounts payable in the several years for principal and interest combined are as nearly equal as is practicable in the opinion of the officers authorized to issue said bonds or notes, or in accordance with a schedule providing for a more rapid amortization of principal.
SECTION 2. Indebtedness incurred under the provisions of this act shall not be included in determining the statutory limit of indebtedness of the city of Haverhill under section 10 of chapter 44 of the General Laws but, except as provided for herein, shall otherwise be subject to the provisions of said chapter 44. Amounts raised to pay indebtedness incurred under authority of section 1 shall be subject to the provisions of section 21C of chapter 59 of the General Laws.
SECTION 3. Notwithstanding the provisions of section 63 of chapter 44 of the General Laws or any other general or special law to the contrary, upon the order of the mayor, with the approval of the city council, and with the approval of the commissioner of revenue, and without further appropriation, the proceeds from the transfer or sale of the real estate, personal property, accounts receivable or other assets of the Hale Hospital shall be used to pay costs, expenses or liabilities, or to defray deficits, relating to or deriving directly or indirectly from the operations, sale, transfer or closure of said Hale Hospital.
SECTION 4. In any year during which bonds or notes authorized under the provisions of this act remain outstanding, the commissioner of revenue shall not certify the annual tax rate of the city of Haverhill until an audit report for the preceding fiscal year has been received and accepted by said commissioner. The audit report shall be prepared by a certified public accountant in accordance with generally accepted accounting principles and shall include accompanying financial statements.
In any year during which bonds or notes authorized under the provisions of this act remain outstanding, the city shall submit to said commissioner quarterly reports presenting a budget to actual comparison of revenues and expenditures. Such written reports shall be submitted within 30 days after the conclusion of each fiscal quarter and shall be in such form and include such information and detail as said commissioner may prescribe.
In any year during which bonds or notes authorized under this act remain outstanding, the city shall not issue any bond, note or other form of indebtedness without written notification to and the approval of said commissioner. Upon the city's demonstrating to the commissioner of revenue evidence of the city's achieving a balanced budget for three consecutive fiscal years, the city shall not be required to notify or seek the approval of said commissioner before the issuance of any bond, note or other form of indebtedness.
SECTION 5. The city is hereby authorized to issue refunding bonds pursuant to section 21A of chapter 44 of the General Laws with respect to any outstanding indebtedness of the city issued for purposes of the Hale Hospital without regard to the first sentence of said section 21A. Any such refunding bonds shall be payable within 40 years from the date of the original bonds being refunded and may be issued without the approval of the Hale municipal hospital finance review board established by section 4B of chapter 569 of the acts of 1985.
SECTION 6. This act shall take effect upon its passage.