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HomeMy WebLinkAboutCity Council - 6309 RESOLUTION NO. 6309 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH AUTHORIZING THE ISSUANCE OF REVENUE BONDS FOR THE PURPOSE OF PROVIDING FINANCING FOR A MULTIFAMILY RENTAL HOUSING DEVELOPMENT WHEREAS, the City of Huntington Beach (the "City") is authorized by Chapter 7 of Part 5 of Division 31 of the California Health and Safety_. Code, as amended (the "Act" ) , to issue and sell its revenue bonds for the purpose of financing the construction and development of multifamily rental housing facilities located within the City; and Five Points Seniors, a California General Partnership has applied to the City to issue and sell revenue bonds for the purpose of financing the acquisition of land and construction thereon of an approximately 164-unit rental housing development to be located on 1. 89 acres located at 18660 Main Street in the City of Huntington Beach (the "Project") ; and The City wishes to induce the Developer (as defined below) to acquire and construct the Project and, in particular, to do so at such location; and It is in the public interest, for the public benefit and in furtherance of the public purposes of the City to finance the construction and development of multifamily rental housing facilities located within the City which facilities will include affordable housing and that the City authorize revenue bonds for the aforesaid purposes; - 1 - NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Huntington Beach as follows : Section 1 . The City Council hereby authorizes the issuance and sale of multifamily housing revenue bonds (the "Bonds") of the City pursuant to the Act in a principal amount of not to exceed Ten Million Dollars ($10, 000, 000) for the purpose of providing financing to Five Points Seniors, a California General Partnership, or its successors and assigns (the "Developer") , for the acquisition, construction and development of the Project . Section 2 . The issuance and sale of the Bonds shall be upon such terms and conditions as may be mutually agreed upon by the City, the Developer and the purchaser of the Bonds and subject to completion of proceedings for the issuance, sale and delivery of the Bonds to the City. Section 3 . The proceeds of the Bonds shall include such related and necessary issuance expenses, administrative costs, debt service reserves and interest payments as may be required successfully to accomplish the financing of the Project. Section 4 . The City Council hereby finds that the issuance of the Bonds is a substantial inducement to the Developer to acquire, construct and develop the Project. Section 5 . The Developer shall be responsible for the payment of all present and future costs in connection with the issuance of the Bonds, including, but not limited to, any fees and expenses incurred by the City in anticipation of the 2 - 6309 issuance of the Bonds, the cost of printing any official statement, rating agency costs, bond counsel fees and expenses, underwriting discount and costs, trustee fees and expenses, and the cost of printing the Bonds . The Bonds shall not constitute a debt or obligation of the City. Section 6 . It is intended that this Resolution also shall constitute "some other similar official action" toward the issuance of indebtedness within the meaning of Section 103 of the Internal Revenue Code of 1986, as amended, and the regulations thereunder. Section 7. The law firm of Jones Hall Hill & White, A Professional Law Corporation, is hereby named as bond counsel to the City in connection with the issuance of the Bonds . The bond underwriting firm of Bancroft, Garcia & Lavell is hereby named as bond underwriter. The fees and expenses of bond counsel and underwriter in connection with the issuance of the Bonds are to be paid solely from the proceeds of the Bonds or directly by the Developer. Section S . The appropriate officers or staff of the City are hereby authorized, for and in the name of and on behalf of the City, to make an application to the California Debt Limit Allocation Committee for an allocation of Private Activity Bonds for a multifamily rental housing bond project to enable the City to issue bonds for the financing of the Project and to execute and deliver fee agreement for bond counsel services by and between the City and Jones Hall Hill & White, a 3 - 6309 Professional Larry Corporation, so long as such agreement has been approved by the City Attorney. PASSED AND ADOPTED this 29th day of JUI , 1991. Mayor ATTEST: APPROVED AS TO FORM: City Clerk city Attorney -7- 23`y I * -7-r o- '�1 REVIEWED AND APPROVED: INITIATED AND APPROVED: City Administrator Director of Economic Development - 4 - 6309 Res, No. 6309 STATE OF CALIFORNIA COUNTY OF ORANGE ss: CITY OF HUNTINGTON BEACH ) I, CONNIE BROCKWAY, the duly elected, qualified City Clerk of the City of Huntington Beach, and ex-officio Clerk of the City Council of said City, do hereby certify that the whole number of members of the City Council of the City of Huntington Beach is seven; that the foregoing resolution was passed and adopted by the affirmative vote of at least a majority of all the members of said City Council at a regular adjourned meeting thereof held on the 29th day of duly 19_3L_-, by the following vote: AYES: Councilmembers: MacAllister, Winchell , Silva, Green, Kelly, Robitaille. Moulton-Patterson NOES: Councilmembers: None ABSENT: Councilmembers: None LxLG� 1 y er and ex-off4rcio er of the City Council of the City of Huntington Beach, California