The URL can be used to link to this page

Home My WebLink About7/15/2009 - STAFF REPORTS - 1.D. �p ALMS a ,r City Council Staff Report DATE. July 15, 2009 PUBLIC HEARING SUBJECT: CONDUCTING A TEFRA (TAX EQUITY AND FISCAL RESPONSIBILITY ACT) HEARING FOR THE PROPOSED ISSUANCE OF TAX-EXEMPT MULTI-FAMILY HOUSING REVENUE BONDS BY THE CALIFORNIA MUNICIPAL FINANCE AUTHORITY NOT TO EXCEED $10,000,000 AGGREGATE PRINCIPAL AMOUNT FOR THE BENEFIT OF THE SA INVESTMENT LLC, A CALIFORNIA LIMITED LIABILITY PARTNERSHIP, FOR THE ACQUISITION, CONSTRUCTION AND DEVELOPMENT OF THE VISTA SAN JACINTO APARTMENTS AT 301 ROSA PARKS ROAD IN THE DESERT-HIGHLAND GATEWAY ESTATES NEIGHBORHOOD FROM: David H. Ready, City Manager BY: Department of Community & Economic Development SUMMARY These actions conduct the required TEFRA public hearing in conjunction with the proposed issuance by the California Municipal Finance Authority (the "CMFA"), a joint exercise of powers authority and public entity of the State of California, in an amount not to exceed $10,000,000 of tax-exempt multi-family housing revenue bonds (the "Bonds"). The proceeds of the Bonds will be used for the purpose of making a loan to SA Investment LLC, a California limited liability partnership, or related entities, (the "Borrower"). The Borrower will finance the costs of the acquisition, construction and development of a 73-unit multi-family residential rental facility to be known as Vista San Jacinto Apartments (the "Project") located on 5.95 acres at 301 Rosa Parks Road in the Desert-Highland Gateway Estates Neighborhood. RECOMMENDATION: 1) Open the Public Hearing under the requirements of TEFRA and the Internal Revenue Code of 1986, as amended (the "Code") for public testimony; and 2) Approve Resolution No. , "AUTHORIZING THE ISSUANCE OF TAX- EXEMPT MULTI-FAMILY HOUSING REVENUE BONDS BY THE CALIFORNIA MUNICIPAL FINANCE AUTHORITY NOT TO EXCEED $10,000,000 AGGREGATE PRINCIPAL AMOUNT FOR THE BENEFIT OF THE SA INVESTMENT LLC, A CALIFORNIA LIMITED LIABILITY PARTNERSHIP, FOR THE ACQUISTION, CONSTRUCTION AND DEVELOPMENT OF THE VISTA SAN JACINTO APARTMENTS AT 301 ROSA PARKS ROAD". .f1 ITEM NO. '' City Council Staff Report July 15, 2008—Page 2 of 2 Vista San Jacinto Apartments' TEFRA Hearing STAFF ANALYSIS: This project a 73-unit multi-family residential rental facility to be known as Vista San Jacinto Apartments (the "Project") located on a 5.95 acre at 301 Rosa Parks Road. The development will be a mix of one, two, three and four bedroom units and will include typical site amenities such as pool, community/service building, laundry, and tot lots. Common to all affordable housing developments, the financing structure will utilize a combination of Low Income Housing Tax Credits (LIHTC) through the California Tax Credit Allocation Committee (TCAC), tax-exempt bond financing authorized through the California Debt Limit Allocation Committee (CDLAC) and construction financing from the California Housing Finance Agency (CaIHFA). The Borrower will be seeking other financial assistance through the State HOME Investment Partnerships Program (HOME) August 14, 2009 funding round. FISCAL IMPACT: There is no fiscal impact to the City and issuance of the bonds does not obligate the City financially in any way, nor does it affect the City's bonding capacity for City-funded projects. The bonds would be repaid by SA Investment LLC, or related entities, through the rents received from the project. DALE E. COOK, JR1 THOMAS J.ftVILSON Community Development Administrator Assistant City Manager DAVID H. READY, City Manager ATTACHMENT: 1. Resolution 2. Vicinity Map CaleC/hlousing/Sherman_VistaSandamnto_CC_StaffRepod(_yTEEFFRA JuIOB 2 0op ro.m:^r N Department of Planning Services vv E 4<;,e;,. Vicinity Map s LLLL_LLj � � -- ---,-� ea NnlR na AV IT IJIil Il_JI_L�J_L,. —la �i r �A CERCA Rio --_ _ Z c GARTHr RD... ... r •RAOID RO .. ..� ------ -- - . .. ..y a w 7 ¢ o ' -- .Pnsis ID FiTWIN STAR Rn Legend QA00 Foot Radius .._..... _..,... .. .I 1 .. .... ..., -- ® Froj ect st e Surrounding Parcels ----- �1 ^ SAN RAFAEL OR CITY OF PALM SPRINGS CASE NO: 5.1037 AMND DESCRIPTION: An amendment application by 5.1037 PD 309 Sherman Las Vegas Road Housing, LLC, to a TTM 33161 previously approved PDD, requesting a change from 32 single family units to 73 multi-family low and APPLICANT: Sherman Las Vegas moderate income rental units and 5 "for sale" single Road Housing, LLC family units on an approximately 5.95 acre parcel at 301 Rosa Parks Road, zoned PDD 309. RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS AUTHORIZING THE ISSUANCE OF TAX-EXEMPT MULTI-FAMILY HOUSING REVENUE BONDS BY THE CALIFORNIA MUNICIPAL FINANCE AUTHORITY NOT TO EXCEED $10,000,000 AGGREGATE PRINCIPAL AMOUNT FOR THE BENEFIT OF THE SA INVESTMENT LLC, A CALIFORNIA LIMITED LIABILITY PARTNERSHIP, FOR THE ACQUISTIQN, CONSTRUCTION AND DEVELOPMENT OF THE VISTA SAN JACINTO APARTMENTS AT 301 ROSA PARKS ROAD WHEREAS, Sherman Associates, Inc. ("SAI°) has requested that the California Municipal Finance Authority (the "Authority') issue one or more series of revenue bonds in an aggregate principal amount not to exceed $10,000,000 (the "Bonds"), and lend the proceeds of the Bonds to a limited partnership to be sponsored by SAI, or related entities, (the "Borrower") for the purpose of financing the costs of construction by the Borrower of a 73-unit multifamily residential rental facility currently known as Vista San Jacinto (the "Facilities") to be owned by the Borrower and to be located at 301 Rosa Park Road in the City of Palm Springs (the "City'); and WHEREAS, the City of Palm Springs (the "City') had determined that it is in the public interest and for the public benefit that the City become a Member of the Authority in order to facilitate the promotion of economic, cultural and community development activities in the City, including the financing of projects therefore by the Authority; and WHEREAS, the City Council of the City (the "City Council") approved entering into the Joint Exercise of Powers Agreement Relating to the California Municipal Finance Authority (the "Agreement") on July 9, 2008, among certain local agencies, and WHEREAS, the Obligations will be considered to be "qualified exempt facility bonds" under Section 142(a) of the Internal Revenue Code of 1986, as amended (the "Code"), and Section 147(f) of the Code requires that the "applicable elected representative" with respect to the City hold a public hearing on and approve the issuance of the Bonds; and WHEREAS, this City Council is the elected legislative body of the City; and WHEREAS, a notice of public hearing in a newspaper of general circulation in the City has been published, to the effect that a public hearing would be held by this City Council on the date hereof regarding the issuance of the Bonds by the Authority and the nature and location of the Facilities; and 0� Resolution No _ Page 2 WHEREAS, on July 15, 2009 the City Council held said public hearing, at which time an opportunity was provided to present arguments both for and against the issuance of such Bonds and the nature and location of the Facilities; and WHEREAS, it is in the public interest and for the public benefit that the City approve the issuance and delivery of the Bonds for the purpose of financing the acquisition, construction and development of the Facilities; and WHEREAS, the City shall not have any liability for the repayment of the Obligations or any responsibility for the Facilities; THE CITY COUNCIL OF THE CITY OF PALM SPRINGS DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. The City Council hereby finds and determines that the foregoing recitals are true and correct. SECTION 2. The City Council hereby approves the issuance of the Bonds in an aggregate principal amount not to exceed $10,000,000 by the Authority. It is the purpose and intent of the City that this resolution constitute approval of the issuance of the Bonds (a) by the applicable elected representative of the governmental unit having jurisdiction over the area in which the Facilities is to be located, in accordance with said Section 147(f) and (b) by the City in accordance with Section 4 of the Agreement. SECTION 3. The issuance of the Bonds shall be subject to the approval of the Authority of all financing documents relating thereto to which the Authority is a party. The City shall have no responsibility or liability whatsoever with respect to the Bonds. SECTION 4. The adoption of this Resolution shall not obligate the City or any department thereof to (i) provide any financing to acquire or construct the Facilities or any refinancing of the Facilities; (ii) approve any application or request for or take any other action in connection with any planning approval, permit or other action necessary for the acquisition, construction or operation of the Facilities; (iii) make any contribution or advance any funds whatsoever to the Authority; or (iv) take any further action with respect to the Authority or its membership therein. SECTION 5. The Mayor, or designee thereof, the Clerk and all other proper officers and officials of the City are hereby authorized and directed to execute such other agreements, documents and certificates, and to perform such other acts and deeds, as may be necessary or convenient to effect the purposes of this Resolution and the transactions herein authorized. Resolution No Page 3 SECTION 6. The Clerk shall forward a certified copy of this Resolution to the Authority in care of its counsel: Paul J. Thimmig, Esq. Quint & Thimmig LLP 575 Market Street, Suite 3600 San Francisco, CA 94105-2874 SECTION 7. This resolution shall take effect upon its adoption. ADOPTED THIS day of July, 2009. David H. Ready, City Manager ATTEST: James Thompson, City Clerk CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. CITY OF PALM SPRINGS ) I, JAMES THOMPSON, City Clerk of the City of Palm Springs, hereby certify that Resolution No. is a full, true and correct copy, and was duly adopted at a regular meeting of the City Council of the City of Palm Springs on by the following vote: AYES: NOES: ABSENT: ABSTAIN: James Thompson, City Clerk City of Palm Springs, California 1. lNU Da IeC/Housing/S herma_V istaSanJacinto_CC_Reso_TEFRA.J u IO9 CITY OF PALM SPRINGS PUBLIC HEARING NOTIFICATION sj City Council Meeting Date: July 15, 2009 Subject: VISTA SAN JACINTO APARTMENTS ISSUANCE OF TAX-EXEMPT MULTI-FAMILY REVENUE BONDS AFFIDAVIT OF PUBLICATION I, Kathie Hart, CMC, Chief Deputy City Clerk, of the City of Palm Springs, California, do hereby certify that a copy of the attached Notice of Public Hearing was published in the Desert Sun on July 1, 2009. 1 declare under penalty of perjury that the foregoing is true and correct. L1_01 �J Kathie Hart, CMC Chief Deputy City Clerk AFFIDAVIT OF POSTING I, Kathie Hart, CMC, Chief Deputy City Clerk, of the City of Palm Springs, California, do hereby certify that a copy of the attached Notice of Public Hearing was posted at City Hall, 3200 E. Tahquitz Canyon Drive, on the exterior legal notice posting board and in the Office of the City Clerk on July 1, 2009. 1 declare under penalty of perjury that the foregoing is true and correct. L Kathie Hart, CMC Chief Deputy City Clerk PROOF OF PUBLICATION Tibia is space for County Clerk's Filing Scamp (2015.5.C.C.P) STATE OF CALIFORNIA County of Riverside I am a citizen of the United States and a resident of Proof of Publication of the County aforesaid;I am over the age of eighteen ------ ------------- years,and not a party to or interested in the above-entitled matter.I am the principal clerk of a printer of the,DESERT SUN PUBLISHING COMPANY a newspaper of general circulation, No 2604OTICE OF PUBLIC HEARING printed and published in the city of Palm Springs, Coy BLIC HEARING County of Riverside,and which newspaper has been CITY OF PALM SPRINGS adjudged a newspaper of general circulation by the ISSUANCE OF TAX-EXEMPT MULTI, FAMILY HOUSING REVENUE BONDS Superior Court of the County of Riverside,State of VISTA SAN JACINTO APARTMENTS California under the date of March 24, 1983.Case NOTICE IS HEREBY GIVEN that the Cdy Number 191236;that the notice,of which the Council of the city at Palm Sprini.+,California,will hold a pubiic hearing at Its meeting of July 15 annexed is a printed copy(set in type not smaller Zoos The city Council meeting bngins at 5 00 pp m in the Council Chamber at City Hall,3200 E. than non pariel,has been published in each regular Tehquiti Canyon Way Pelm Springs._ and entire issue of said newspaper and not in any The purpose of this hearng Is to consider ap p70- su lement thereof on the following dales,to wit: val of the propoved issuance by the California N1U. Pp �` MICIpal Finance Authority (the CMFA") of lax- exempt multi-famlly revenue bonds in one or more series in an arnount of approximate) Ton Million July 1,,,2009 Dollars(510,oa0 mi(the"Boas he proceeds of which will be use to a first in I a Iinancmg of ---------- -------- --------- the acquleltlo),construction and development of a 73-unit multi-famlly residential rental facility to he ----W`— know as Vista San Jacinto Apartments(the Prol. - _____.- ,.�_ OCt")located on a 5 55 Acre at 301 Rosa Pdrl,s Road in the Desnd=Ftighland Gateway Estates All in the year 2009 Neighborhood,and pay CCrtam expenses incurred in connection with the issuance of Phe Bonds The facilities are to he owned by a California limit. I certify(or declare)under penalty of perjury that the ad Partnersmp(the Borrower) for which SA In- foregoing Mont LLC or d related Onlity will boa gqenteral faregDing i5 true and correct ppaNner and will bs op,,rated inuhlly by Hyder& Company, All or portion of the rental units tit the facility will be ranted to arsons and farri of low Dated at Palm Springs,California this--2ed,---day or very low lncomo— parsons REVIEW 'OF-PROJECT INFORMATION: The stall roport and other suppodinq documents of— July - -------- _-,2009 regarding this Matter are available for public re- regard"at the G�ly Hall bOlwe9n the Ilputs of 5:00 a.m. antl 500 pm., Monday ihrouph Thursday. Please Contact the C6ica of the Clry Clerk at 750.323.8204 tar a scheduled appointment to ru= view these eacurni ----- -------- ---- -^---- COMMENT. ON THIS PROJECT Res ense Si nahlrC to this notice can be mado'verbally it the Kit," g lioaring anWor in writing before the hearing Writ- ten comments can be made to the City Council by lever(for mall or hand delivery)to: JIM65 Thomp,:on,City Clark _ 11200 E Tahgmtx Canyyon Wayy Palm Springs CA 57,262-2743 Any challenge of the proposed project In Court C,-- mayy be limited to raising only(hose issues raised U at the public hearing described in this notice or In written correspondencedelivered to the CIry Glork at—J f U D orSocoion10 The 6 2lic hearing (Governmem L-7 I Y An opportunity will be given al said hearing for all �I Ir'7— interested persons to be hoard. Questions reggard• m this case may be directed io Dale Cook,Cam- -,,, mui Davelelement Admmisifater at Dale mitt,almsprinca or 760323. d� 5155/TpD mitt, o � h Si neceslla ayuda can osla carte,podavor llama a la Ciudad de Palm Springs y puede habiar can NaOlno Fieger telefono 750 323 8245 James Thompson,City Clerk Published;711l09 NOTICE OF PUBLIC HEARING CITY COUNCIL CITY OF PALM SPRINGS ISSUANCE OF TAX-EXEMPT MULTI-FAMILY HOUSING REVENUE BONDS VISTA SAN JACINTO APARTMENTS NOTICE IS HEREBY GIVEN that the City Council of the City of Palm Springs, California, will hold a public hearing at its meeting of July 15, 2009, The City Council meeting begins at 6:00 p.m., in the Council Chamber at City Hall, 3200 E. Tahquitz Canyon Way, Palm Springs. The purpose of this hearing is to consider approval of the proposed issuance by the California Municipal Finance Authority (the °CMFA°) of tax-exempt multi-family revenue bonds in one or more series in an amount of approximately Ten Million Dollars ($10,000,000) (the "Bonds"), the proceeds of which will be used to assist in the financing of the acquisition, construction and development of a 73-unit multi-family residential rental facility to be know as Vista San Jacinto Apartments (the "Project") located on a 5.95 Acre at 301 Rosa Parks Road in the Desert- Highland Gateway Estates Neighborhood, and pay certain expenses incurred in connection with the issuance of the Bonds. The facilities are to be owned by a California limited partnership (the "Borrower") for which SA Investment LLC or a related entity will be a general partner, and will be operated initially by Hyder & Company. All or a portion of the rental units in the facility will be rented to persons and families of low or very low income. REVIEW OF PROJECT INFORMATION: The staff report and other supporting documents regarding this matter are available for public review at the City Hall between the hours of 8:00 a.m. and 6:00 p.m., Monday through Thursday. Please contact the Office of the City Clerk at 760.323.8204 for a scheduled appointment to review these documents. COMMENT ON THIS PROJECT: Response to this notice can be made verbally at the Public Hearing and/or in writing before the hearing. Written comments can be made to the City Council by letter (for mail or hand delivery) to: James Thompson, City Clerk 3200 E. Tahquitz Canyon Way Palm Springs, CA 92262-2743 Any challenge of the proposed project in court may be limited to raising only those issues raised at the public hearing described in this notice, or in written correspondence delivered to the City Clerk at, or prior, to the public hearing. (Government Code Section 65009(b)(2)). An opportunity will be given at said hearing for all interested persons to be heard. Questions regarding this case may be directed to Dale Cook, Community Development Administrator at Dale.CookC@palmsprings_ca.aov , or 760.323.8198/TDD 760.864.9527. Si necesita ayuda con esta carta, porfavor Ilame a la Ciudad de Palm Springs y puede hablar_ con Nadine Fieger telefono 760.323.8245. ?mes Thompson, City Clerk