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HomeMy WebLinkAboutAGENDA REPORT 1985 0116 CC REG ITEM 08CALBERT PRIETO Mayor JAMES D. WEAK Mayor Pro Tern THOMAS C. FERGUSON Councilmember DANNY A. WOOLARD Councilmember LETA YANCY•SUTTON Councilmember DORIS D. BANKUS City Clerk JOHN C. GEDNEY City Treasurer MOORPARiAl TO: The Honorable City Council FROM: Niall Fritz Director of Community Development DATE: January 16, 1985 SUBJECT: RESOLUTION OF INDUCEMENT FOR MULTI - FAMILY BOND FINANCING - G.H. PALMER & ASSOCIATES PROPOSED ACTION Adopt the attached resolution. BACKGROUND INFORMATION STEVEN KUENY City Manager CHERYL J. KANE City Attorney NIALL FRITZ Director of Community Development R. DENNIS DELZEIT City Engineer JOHN V. GILLESPIE Chief of Police The City has entered into an agreement with G.H. Palmer & Associates for the processing of multi- family bonds for a proposed 400 unit apartment project. The City has also entered into an agreement with the County for the necessary staff support needed for this request. The next step in this program would be the adoption of a resolution of inducement by the City. The City, as the issuer for the bonds, must adopt the inducement resolution prior to the issuance of bonds. Adoption of the inducement resolution does not obligate the city to proceed with the program or to issue the bonds. It does, however, constitute a willingness or intent on the part of the City and formally provides a starting date from which the developer can begin incurring costs eligible for reimbursement from the bond proceeds (if bonds are in fact Issued). in the event that bonds are not issued, any costs which are incured in connectin with the program shall be paid by the developer pursuant to the adopted agreement. RECOMMENDED ACTION Adopt the attached resolution. 799 Moorpark Avenue Moorpark, California 93021 --------- = (805) 529 -6864 RESOLUTION NO. 85- A RESOLUTION OF THE CITY OF MOORPARK, CALIFORNIA, CONCERNING THE ISSUANCE OF REVENUE BONDS TO FINANCE A MULTI - FAMILY RENTAL HOUSING DEVELOPMENT FOR G. H. PALMER ASSOCIATES. WHEREAS, the City Council (the "City Council ") of the City of Moorpark (the "City "), after careful study and consideration, has determined that there is a shortgage of safe and sanitary housing within the City, particularly for low or moderate income persons, and that it is in the best interest of the residents of the City and in furtherance of the health, safety and welfare of the public for the City to assist in the financing of multi - family rental housing units; and WHEREAS, pursuant to Division 31 of the Health and Safety Code of the State of California, and particularly Chapter 7 of Part 5 thereof (the "Act "), the City is empowered to issue and sell bonds for the purpose of making mortgage loans or otherwise providing funds to finance the development of multi - family rental housing, including units for lower income households and very low income households; and WHEREAS, the City Council has now determined to provide financing for a multi - family rental housing development (the "Develop- ment"), to be located in the City, and in order to finance the Develop- ment, the City intends to issue revenue bonds pursuant to the Act; NOW, THEREFORE, BE IT RESOLVED, BY THE CITY COUNCIL OF THE CITY OF MOORPARK, AS FOLLOWS: SECTION 1. The City Copuncil hereby determines that it is necessary and desirable to provide financing for the Development by the issuance, pursuant to the Act, of revenue bonds (the "Bonds ") in an aggregate principal amount not to exceed $35,000,000. The Development is to be located at the southeast corner of Moorpark �nue and Los Angeles Avenue in the City of Moorpark, is to consist of an,,,- nv;n,at1.�4 T�-- z- r=--- =_�«��400 to 450 units, and is to be developed and owned by G. H. Palmer Associates (the "Developer ") or by a related entity or an entity to be created by persons comprising said Developer. The Development shall meet the requirements of the Act and any federal requirements for tax exemption of interest on the Bonds, including, without limitation, requirements with respect to availability of units in the Development for occupancy by persons of low or moderate income. The City and the Developer shall enter into a preliminary agreement setting forth additional conditions to such financing, in substantially the form before this meeting, with such additions or deletions as are considered necessary or appropriate by officers of the City and the Developer, and the Mayor is hereby authorized to execute said preliminary agreement for and in the name and on behalf of the City. Subject to final approval by the City Council, the Mayor, the City Manager, the City Clerk and other appropriate officers of -1- the City are hereby authorized and directed, for and in the name and on behalf of the City, to take all necessary actions to finance the Development, including the actions necessary for the issuance of the Bonds. SECTION 2. The City hereby appoints Wertheim & Co., Inc. and Stone and Youngberg as underwriters for the Bonds. SECTION 3. It is intended that this resolution shall con- stitute "some other official action" toward the issuance of the Bonds to finance the Development within the meaning of Section 1.103- 8(a)(5) of the Treasury Regulations promulgated under Section 103 of the Internal Revenue Code of 1954, as amended. SECTION 4. The Mayor, the City Manager, the City Clerk and other appropriate officers of the City are hereby authorized and directed, for and in the name and on behalf of the City, to take all actions and to sign all documents necessary or desirable to effectuate the purposes of this resolution. SECTION 5. This Resolution shall take effecti immediately upon its passage and adoption. PASSED AND ADOPTED this 16th day of January, 1985. ATTEST: ty Clerk (SEAL) -2- Mayor of the City of Moorpark, California.