HomeMy WebLinkAboutAGENDA REPORT 2000 0105 CC REG ITEM 09BITEM
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MOORPARK CITY COUNCIL
AGENDA REPORT BY: e��Z
TO: Honorable City Council
FROM: John E. Nowak, Assistant City Manager
DATE: 08 December 1999 (Council Meeting of 01- 05 -00)
SUBJECT: Consider the Tax Equity Fiscal Responsibility Act
( TEFRA) Hearing Related to the Villa Del Arroyo
Mobile Home Park.
BACKGROUND: Prior to issuance of the proposed Mobile Home
Park Bonds (the "Bonds ") to finance the acquisition of the
214 -space Villa Del Arroyo Mobile Home Park (the "Project ")
located at 15750 East Los Angeles Street, the City Council,
sitting as the legislative body of the 3ity, must hold a
public hearing. This TEFRA hearing is for a different
possible purchaser of the Project.
DISCUSSION: On November 17, 1999 the City -Council held a
TEFRA hearing on non - recourse revenue bonds to be used for
the purchase of the Villa Del Arroyo Mobile Home Park. The
potential purchaser of the Project and user -of the bonds
was identified in the hearing notice as Caritas
Corporation. There is a possibility that another purchaser
may be involved with the transaction. The organization is
Augusta Homes, a California nonprofit organization. To
expedite the sale of bonds when a final purchaser of the
Project is identified and the bond market warrants, a TEFRA
hearing for Augusta Homes is proposed.
The TEFRA hearing is a requirement of the Internal Revenue
Service and is mandated for all housing revenue bond
issues. The purpose of the hearing is to give the general
public the opportunity to express their views regarding
either the issuance of the Bonds, or the Project itself.
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TEFRA Hearing - Augusta Homes
Meeting of 05 January 2000
Page 02
The TEFRA hearing does not approve the Bonds sale, or any
conditions that might be imposed on the sale. Approval of
the bond documents will occur at a subsequent Council
meeting.
The hearing has been duly advertised as required by law.
RECOMMENDATION: Staff recommends that the City Council
take the following actions:
1. Open the public hearing and take testimony from the
public.
2. Close the public hearing.
3. Approve a motion that the TEFRA requirement of the IRS
has been met for Augusta Homes, and public comments
have been duly recorded.
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