HomeMy WebLinkAboutCity Council - 2021-43 RESOLUTION NO. 2021-43
A RESOLUTION OF THE CITY COUNCIL OF TIME
CITY OF HUNTINGTON BEACH APPROVING. AUTHORIZING AND DIRECTING
EXECUTION OF A JOINT EXERCISE OF POWERS AGREEMENT RELATING TO THE
CMFA SPECIAL FINANCE AGENCY Vill AND THE FORiM OF A PUBLIC BENEFIT
AGREEMENT: AND APPROVING THE ISSUANCE OF REVENUE BONDS BY SAID
AGENCY FOR THE PURPOSE OF FINANCING THE ACQUISITION, CONSTRUCTION
OR IMPROVEMENT OF THE PROJECT DESCRIBED HEREIN
WHEREAS. pursuant to Chapter 5 of Division 7 of Title I of the Government Code of
the State of California (the "Act"), the City of Huntington Beach (the "City') and the California
Municipal Finance Authority (the "CMFA" and together with the City, the "Members") propose
to enter into a Joint Exercise of Powers Agreement Relating to the Ci%,IFA Special Finance
Agency Vlll (the "Agreement") in order to form the CMFA Special Finance Agency VIII (the
"Agency") for the purpose of promoting economic, cultural and community development and in
order to exercise any powers common to the Members or granted by the Act. including by the
issuance of bonds. notes or other evidences of indebtedness; and
The City has determined that it is in the public interest and Ibr the public benefit that the
City become a Member of the Agency in order to facilitate the promotion of economic, cultural
and community development activities in the City. including the financing ofa project therefor
by the Agency; and
The Agreement has been filed with the City, and the members of the City Council of the
City (the "City Council"), with the assistance of its staff', have reviewed said document: and
The Agency, the Agency proposes to issue from time to time its governmental purpose
revenue bonds (the "Bonds") solely to finance or refinance the acquisition, construction,
development and certain related costs ofa middle-income multifamily rental housing
development within the City located at 18504 Beach Boulevard. known as "Elan Huntington
Beach" (the "Project-'); and
The Agency proposes to grant to the City in connection with the financing of the Project
the right to cause the Agency to sell the Project to the City or its designee, starting upon the date
fifteen (15) years from the issuance of the Bonds pursuant to a Public Benefit Agreement (the
"Public Benefit Agreement'), by and between the Agency and the City. substantially in the form
that has been filed with the City Council, subject to such immaterial modifications as have been
approved by the City Manager and approved as to form by the City Attorney: and
It is in the public's interest and for the public benefit that the City Council approve the
issuance of the Bonds by the Agency for the aforesaid purposes; and
Section 3(A) of the Agreement. in according with Section 6508.1 of the California
Government Code, expressly provides that the Bonds, and other debts. liabilities and obligations
of the Agency do not constitute debts. liabilities or obligations of any Members;
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Resolution No. 2021-43
NOW, THEREFORE THE Cite Council of the Cil_y of Huntington Beach does hereby
resolve as follows:
1. The foregoing recitals are true and correct: and
2. The City hereby requests to become a Member of the Agency. The Agreement is
hereby approved and the Mayor or the designee thereof is hereby authorized and directed to
execute said document, and the City Clerk or such Clerk's designee is hereby authorized and
directed to attest thereto.
3. The proposed form of Public Benefit Agreement on file with the City Council is
hereby approved. In connection with the Project. the City Manager or the designee thereof is
hereby authorized and directed to execute an agreement in substantially said form, with such
immaterial changes therein as such officer executing the same may require consistent with this
Resolution and its basic purpose. and subject to the approval as to form of the City Attorney,
such approval to be conclusively evidenced by the execution and delivery thereof. Any material
changes to the form of'Public Benefit Agreement must be approved by the City Council. The
City Council hereby approves the issuance of'Bonds by the Agency from time to time prior to
the date that is the two year-anniversary of the date hereof.
4. The issuance of Bonds shall be subject to the approval of the Agency of all
financing documents relating thereto to which the Agency is a party. Pursuant to Section 3(A) of
the Agreement and Section 13(C) ofthe Public Benefit Agreement, the City shall have no
responsibility or liability whatsoever with respect to the Bonds or any other debts, liabilities and
obligations issued by the Agency, and such Bonds and any other debts. liabilities and obligations
of the Agency do not constitute debts, liabilities or obligations of any Members including the
City.
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,
rehabilitation or operation of the Project: (iii) make any contribution or advance any funds
whatsoever to the Agency: or (iv) except as provided in this Resolution, take any further action
with respect to the Agency or its membership therein.
6. The executing officers(s), the City 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.
7. The City Clerk shall forward a certified copy of this Resolution and an originally
executed Agreement to the Agency:
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Resolution No. 2021-43
Jones Hall, A Professional Law Corporation
475 Sansome Street, Suite 1700
San Francisco, California 94111
Attention: Ronald E. Lee, Esq.
8. This resolution shall take effect immediately upon its passage.
PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a
regular meeting thereof held on the 20th day of July 2021.
Mayor
VIE E D ROV�FrD: APPROVED AS TO FORM:
City Manager 4�City Attorney
INITIATED AND APPROVED:
S
' Director of Community Development
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Res. No. 202143
STATE OF CALIFORNIA
COUNTY OF ORANGE ) ss:
CITY OF HUNTINGTON BEACH )
I, ROBIN ESTANISLAU, 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 six; 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 meeting thereof held on July 20, 2021 by the following vote:
AYES: Delgleize, Carr, Posey, Moser, Kalmick
NOES: Peterson
ABSENT: None
RECUSE: None
e440U
City Clerk and ex-officio Clerk of the
City Council of the City of
Huntington Beach, California