Title
Ordinance No. 18-6 amending Ordinance No. 17-116 (2018 Budget Appropriation Ordinance) for a Supplemental Appropriation to the Memorial Health System Enterprise Fund in the amount of $4,207,756 for transfer to the Colorado Springs Health Foundation
Presenter:
Charae McDaniel, Chief Financial Officer
Body
Summary:
On December 27, 2017, the City received $4,207,756 from Mountain States Healthcare Reciprocal Retention Group (MSHRRG), the former medical liability insurance carrier for MHS. The City's share of the group, or subscriber savings allocation, was required to be returned five years following the City's withdrawal as a result of the 2012 transaction with the University of Colorado Health. The City's Memorial Health System Enterprise Fund requires a supplemental appropriation to accomplish the transfer of these funds to the Colorado Springs Health Foundation (CSHF).
The attached ordinance is a supplemental appropriation to increase the 2018 budget and appropriate funds in the amount of $4,207,756 for the Memorial Health System Enterprise Fund to transfer funds to the CSHF.
Previous Council Action:
On October 1, 2012, the City of Colorado Springs executed the Memorial Health System (MHS) Operating Lease Agreement and the Integration and Affiliation Agreement by and among the City of Colorado Springs, University of Colorado Health, Poudre Valley Health Care, Inc., and UCH-MHS.
City Council authorized and directed that such funds and monies from the lease be placed into an appropriate segregated account and shall be spent only to satisfy obligations specifically provided for in the agreements. Funds remaining after satisfying the obligations shall be transferred directly into the City controlled non-profit foundation, Colorado Springs Health Foundation, as provided for under IRS Sections 501(c)(3) and 509(a) and authorized by City Council and the Mayor pursuant to Resolution No. 89-12.
On September 23, 2014, City Council approved Re...
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