HomeMy WebLinkAbout22269 - RESOLUTIONS - 7/9/2008 RESOLUTION NO. 22269
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
PALM SPRINGS, CALIFORNIA, AUTHORIZING THE
ISSUANCE OF TAX-EXEMPT MULTI-FAMILY HOUSING
REVENUE BONDS BY THE CITY OF PALM SPRINGS
(CONDUIT FINANCING) NOT-TO-EXCEED $13,000,000
AGGREGATE PRINCIPAL AMOUNT FOR THE BENEFIT
OF THE COACHELLA VALLEY HOUSING COALITION, A
CALIFORNIA NON-PROFIT PUBLIC BENEFIT
CORPORATION, FOR THE ACQUISTION,
CONSTRUCTION, AND DEVELOPMENT OF THE ROSA
GARDENS APARTMENTS AT 3603 MC CARTHY ROAD.
WHEREAS, the California Municipal Finance Authority (the "Authority") intends to issue
tax-exempt obligations (the "Obligations") at the request of Coachella Valley Housing
Coalition, a California nonprofit public benefit corporation, on behalf of and together with
its successors or assigns or any limited partnership or limited liability company
established by Coachella Valley Housing Coalition (the "Developer"), for the purpose,
among other things, of making a loan to the Developer, the proceeds of which shall be
used by the Developer to finance the acquisition, construction and development of a 57-
unit multifamily housing rental facility to be known as Rosa Gardens Apartments and to
be located at 3603 McCarthy Way in the City of Palm Springs, California (the "Project');
and
WHEREAS, the City of Palm Springs (the "City") has 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, there is now before the City Council of the City (the "City Council") the form
of the Joint Exercise of Powers Agreement Relating to the California Municipal Finance
Authority, dated as of January 1, 2004 (the "Agreement'), among certain local agencies;
and
WHEREAS, the Agreement has been filed with the City, and the members of the City
Council, with the assistance of its staff, have reviewed said document; 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
Obligations; and
Resolution No. 22269
Page 2
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 Obligations by the Authority and the
nature and location of the Project; and
WHEREAS, on July 9, 2008 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 Project; and
WHEREAS, it is in the public interest and for the public benefit that the City approve the
issuance and delivery of the Obligations for the purpose of financing the acquisition,
construction and development of the Project; and
WHEREAS, the City shall not have any liability for the repayment of the Obligations or
any responsibility for the Project.
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 Agreement in substantially the form
presented and subject to final approval of said agreement by the City
Attorney and the City becoming a member of the Authority and hereby
authorizes the Mayor to execute the Agreement to allow the City to
become a member of the Authority.
SECTION 3. The City Council hereby approves the issuance of the Bonds in an
aggregate principal amount not to exceed $13,000,000 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
Project 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 4. 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 5. The adoption of this Resolution shall not obligate the City or any
department thereof to (i) provide any financing to acquire or construct the
Project or any refinancing of the Project; (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
Resolution No. 22269
Page 3
or operation of the Project; (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 6. 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.
SECTION 7. The Clerk shall forward a certified copy of this Resolution and an originally
executed Agreement to the Authority in care of its counsel:
Harriet M. Welch, Esq.
Squire, Sanders & Dempsey LLP
666 South Flower St., Suite 3100
Los Angeles, CA 90071-2300
SECTION 8. This resolution shall take effect upon its adoption.
ADOPTED THIS 9T" day of July, 2008.
David H. Ready, City ger
ATTEST:
ames Thompson, City Clerk
Resolution No- 22269
Page 4
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. 22269 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 the 91" day of July, 2008, by
the following vote:
AYES: Councilmember Hutcheson, Councilmember Mills, and Mayor Pro Tern
Foat.
NOES: None-
ABSENT: Councilmember Weigel and Mayor Pougnet-
ABSTAIN: None.
f
s Thompson, City Clerk of Palm Springs, California Z5