HomeMy WebLinkAboutResolution No. 6385 RESOLUTION NO. 6385
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DOWNEY
APPROVING THE ISSUANCE OF MULTIFAMILY HOUSING REVENUE
BONDS BY THE CALIFORNIA STATEWIDE COMMUNITIES
DEVELOPMENT AUTHORITY
WHEREAS, the California Statewide Communities Development Authority
(the "Authority ") is authorized pursuant to the provisions of California Govemment Code
Section 6500 et seq. and the terms of an Amended and Restated Joint Exercise of Powers
Agreement, dated as of June 1, 1988 (the "Agreement "), among certain local agencies
throughout the State of Califomia, including the City of Downey (the "City "), to issue
revenue bonds in accordance with Chapter 7 of Part 5 of Division 31 of the California
Health and Safety Code for the purpose of financing multifamily rental housing projects;
and
WHEREAS, Birchcrest Preservation L.P. (collectively, with any related entity,
the "Borrower") has requested that the Authority issue multifamily housing revenues bonds
in an aggregate principal amount not to exceed $4,000,000 (the "Bonds") for the purpose
of providing financing for the acquisition and rehabilitation of a 64 -unit multifamily
residential rental project located at 8525 Paramount Boulevard, Downey, California and
generally known as Birchcrest Apartments; and
WHEREAS, the Bonds or a portion thereof will be "private activity bonds" for
purposes of the Internal Revenue Code of 1986 (the "Code "); and
WHEREAS, pursuant to Section 147(0 of the Code, prior to their issuance,
private activity bonds are required to be approved by the "applicable elected
representative " of the governmental units on whose behalf such bonds are expected to be
issued and by a govemmental unit having jurisdiction over the entire area in which any
facility financed by such bonds is to be located, after a public hearing held following
reasonable public notice; and
WHEREAS, the members of this City Council (this "Council ") are the
applicable elected representatives of the City; and
WHEREAS, there has been published, at least 14 days prior to the date
hereof, in a newspaper of general circulation within the City, a notice that a public hearing
regarding the Bonds would be held on the date hereof; and
WHEREAS, such public hearing was conducted on said date by the City
Council, at which time an opportunity was provided to interested parties to present
arguments both for and against the issuance of the Bonds; and
RESOLUTION NO. 6385
WHEREAS, it is intended that this resolution shall constitute the approval of
the issuance of the Bonds required by Section 147(0 of the Code and Section 9 of the
Agreement;
THE CITY COUNCIL OF THE CITY OF DOWNEY DOES RESOLE AS
FOLLOWS:
Section 1. The above recitals are true and correct.
Section 2. The Council hereby approves the issuance of the Bonds by
the Authority. It is the purpose and intent of the Council that this resolution constitute
approval of the Bonds for the purposes of (a) Section 147(f) of the Code by the applicable
elected representative of the govemmental unit having jurisdiction over the area in which
the project is located, in accordance with said Section 147(f), and (b) Section 9 of the
Agreement.
Section 3. The Council's approval of the issuance of the Bonds in
accordance with Section 2 of this Resolution is hereby conditioned on the Authority
properly documenting Borrower's commitment and obligation to pay to the City an annual
fee in the amount of $4,130 (Four Thousand One Hundred Thirty Dollars adjusted
thereafter annually by two percent (2.0 %), in connection with the issuance of the refunding
obligations with enforcement rights by the City thereto. Such documentation shall be
approved by the City prior to any such issuance, which approval by the City shall not be
unreasonably withheld.
Section 4. The officers of the City are hereby authorized and directed,
jointly and severally, to do any and all things and to execute and deliver any and all
documents that they deem necessary or advisable in order to carry out, give effect to and
comply with the terms and intent of this resolution and the financing approved hereby.
Section 5. The City Clerk of the City shall forward a certified copy of this
Resolution and a copy of the affidavit of publication of the hearing notice to:
Ana Marie del Rio, Esq.
Orrick, Herrington & Sutcliffe LLP
Old Federal Reserve Bank Building
400 Sansome Street
San Francisco, California 94111
Section 6. This resolution shall take effect immediately upon its passage.
RESOLUTION NO. 6385
APPROVED AND ADOPTED THIS 25th day of July
2000.
,� pit/A // , o r
Mayor, KEITH MC CARTHY
ATTEST:
> M
ity Clerk , JUDITH E. MC DONNELL
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the City
Council of the City of Downey at a regular meeting thereof held on the 25th day of
July , 2000 by the following vote to wit:
AYES: 4 Council Members: Perkins, Riley, McCaughan, McCarthy
NOES: 0 Council Members: None
ABSENT: 1 Council Members: Wi nni ngham
• ;
C' Clerk, JUDI H E. MC DONNELL