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HomeMy WebLinkAboutCC Resolution 14931 (TEFRA Public Hearing for Tax-Exempt Financing - 855 C Street) RESOLUTION NO. 14931 A RESOLUTION OF THE SAN RAFAEL CITY COUNCIL APPROVING ISSUANCE OF REVENUE BONDS BY THE CALIFORNIA MUNICIPAL FINANCE AUTHORITY FOR THE PURPOSE OF PROVIDING FINANCING FOR A RESIDENTIAL RENTAL HOUSING PROJECT KNOWN AS CENTERTOWN APARTMENTS AT 855 C STREET, PURSUANT TO THE TAX AND EQUITY FISCAL RESPONSIBILITY ACT OF 1982 (“TEFRA”) (CASE NO. P21-009) WHEREAS, pursuant Chapter 5 of Division 7 of Title 1 of the Government Code of the State of California, certain public agencies (the “Members”) have entered into a Joint Exercise of Powers Agreement Relating to the California Municipal Finance Authority, dated as of January 1, 2004 (the “Agreement”) in order to form the California Municipal Finance Authority (the “Authority”), for the purpose of promoting economic, cultural and community development, and in order to exercise any powers common to the Members, including the issuance of bonds, notes or other evidences of indebtedness; WHEREAS, the City of San Rafael (the “City”) is a member of the Authority; and WHEREAS, the Authority is authorized to issue and sell revenue bonds for the purpose, among others, of financing or refinancing the acquisition and rehabilitation of multifamily residential rental housing facilities; and WHEREAS, BRIDGE Housing Corporation, a California nonprofit public benefit corporation (“BRIDGE”), has requested that the Authority consider the issuance and sale of tax- exempt revenue bonds (the “Bonds”) in an amount not to exceed $20,000,000, and to use proceeds of the Bonds to make a loan to a California limited partnership (the ”Borrower”) to be formed by BRIDGE or by an affiliate of BRIDGE, to finance the acquisition and rehabilitation by the Borrower of a 60 unit multifamily rental housing facility currently known as Centertown Apartments (the “Housing Facility”) located at 855 C Street in the City, to be owned by the Borrower; and WHEREAS, for the interest on the Bonds to be tax-exempt, section 147(f) of the Internal Revenue Code of 1986, as amended (the “Code”), requires that an “applicable elected representative” of a governmental unit, the boundaries of which include the site at which the Housing Facility is located, hold a public hearing on the issuance of the Bonds and approve the issuance of the Bonds following such hearing; and WHEREAS, the Authority has determined that the City Council of the City is an “applicable elected representative” for purposes of holding such hearing; and WHEREAS, the Authority has requested that the City Council of the City approve the issuance of the Bonds by the Authority, following the conduct of the public hearing, in order to satisfy the public approval requirement of section 147(f) of the Code and the requirements of section 4 of the Agreement; and WHEREAS, notice of such public hearing has been duly given as required by the Code, and the City Council has heretofore held such public hearing at which all interested persons were given an opportunity to be heard on all matters relative to the location, financing and nature of the Housing Facility and the Authority’s issuance of the Bonds therefor; and 2 WHEREAS, it is in the public interest and for the public benefit that the City Council approve the issuance of the Bonds by the Authority for the aforesaid purposes. NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of San Rafael, as follows: Section 1. The City Council hereby approves the issuance of the Bonds by the Authority. It is the purpose and intent of the City Council that this Resolution constitute approval of the issuance of the Bonds (a) by the “applicable elected representative” in accordance with section 147(f) of the Code, and (b) by the City Council in accordance with section 4 of the Agreement. Section 2. 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 repayment or administration of the Bonds. Section 3. The adoption of this Resolution shall not obligate the City or any department thereof to (i) provide any financing for the Housing Facility; (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, rehabilitation or operation of the Housing Facility; (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 4. The Mayor, the City Manager, the Finance Director, the City Clerk and all other proper officers and officials of the City are hereby authorized and directed to execute such other documents and certificates, and to perform such other acts, as may be necessary or convenient to affect the purposes of this Resolution and the issuance of the Bonds hereby approved. Section 5. This Resolution shall take effect immediately upon its adoption. I, LINDSAY LARA, City Clerk of the City of San Rafael, hereby certify that the foregoing Resolution was duly and regularly introduced and adopted at a regular meeting of the City Council of said City held on Monday, the 7th day of June, 2021, by the following vote, to wit: AYES: COUNCILMEMBERS: Bushey, Hill, Kertz, Llorens Gulati & Mayor Kate NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None ______ LINDSAY LARA, City Clerk