CC Resolution 11511RESOLUTION NO. 11511
RESOLUTION APPROVING, AUTHORIZING AND DIRECTING
EXECUTION OF A JOINT EXERCISE OF POWERS AGREEMENT
RELATING TO THE CALIFORNIA MUNICIPAL FINANCE AUTHORITY
AND APPROVING THE ISSUANCE OF REVENUE BONDS BY THE
AUTHORITY FOR THE PURPOSE OF FINANCING OR REFINANCING
THE ACQUISITION, REHABILITATION AND IMPROVEMENT OF
CERTAIN FACILITIES FOR THE BENEFIT OF CHARITIES HOUSING
DEVELOPMENT CORPORATION OF SANTA CLARA COUNTY OR A
RELATED ENTITY.
WHEREAS, pursuant to Chapter 5 of Division 7 of Title 1 of the Government Code
of the State of California (the "Act"), certain public agencies (the "Members") have entered
into a Joint Exercise of Powers Agreement Relating to the California Municipal Finance
Authority, dated as of January 1, 2004 (the "Agreement") in order to form the California
Municipal Finance Authority (the "Authority"), for the purpose of promoting economic,
cultural and community development, and in order to exercise any powers common to the
Members, including the issuance of bonds, notes or other evidences of indebtedness; and
WHEREAS, the City of Campbell, California (the "City"), has determined that it is in
the public interest and for the public benefit that the City become a Member of the
Authority in order to facilitate the promotion of economic, cultural and community
development activities in the City, including the financing of projects therefor by the
Authority; and
WHEREAS, there is now before this City Council (the "City Council") the form of the
Agreement; and
WHEREAS, the Agreement has been filed with the City, and the members of the
City Council, with the assistance of its staff, have reviewed said document; and
WHEREAS, the Authority is authorized to issue and sell revenue bonds for the
purpose, among others, of financing or refinancing the construction of capital projects; and
WHEREAS, a limited partnership or limited liability company to be formed by
Charities Housing Development Corporation of Santa Clara County (the "Borrower") has
requested that the Authority issue and sell revenue bonds in the maximum principal
amount of $28,000,000 (the "Bonds") for the purpose of making a loan to the Borrower, to
enable the Borrower to finance or refinance the costs of the acquisition, rehabilitation and
improvement of a 100-unit multifamily housing development (the "Project") located in the
City at 825 S. San Tomas Aquino Road (the "Project"); and
WHEREAS, in order for the interest on the Bonds to be tax-exempt, Section 147(f)
of the Internal Revenue Code of 1986, as amended (the "Code"), requires that an
"applicable elected representative" of the governmental unit, the geographic jurisdiction of
which contains the site of facilities to be financed with the proceeds of the Bonds, hold a
public hearing on the issuance of the Bonds and approve the issuance of the Bonds
following such hearing; and
WHEREAS, the Authority has determined that the City Council is an "applicable
elected representative" for purposes of holding such hearing; and
WHEREAS, the Authority has requested that the City Council approve the issuance
of the Bonds by the Authority in order to satisfy the public approval requirement of Section
147(f) of the Code and the requirements of Section 4 of the Agreement; and
WHEREAS, notice of such public hearing has been duly given as required by the
Code, and this City Council has heretofore held such public hearing at which all interested
persons were given an opportunity to be heard on all matters relative to the financing of
the Project and the Authority's issuance of the Bonds therefor; and
WHEREAS, it is in the public interest and for the public benefit that the City Council
approve the issuance of the Bonds by the Authority for the aforesaid purposes;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL, AS FOLLOWS:
Section 1. The foregoing recitals are true and correct.
Section 2. The Agreement is hereby approved and the Mayor, the City Manager
or the designee of either such official 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.
Section 3. The City Council hereby approves the issuance of the Bonds by the
Authority. It is the purpose and intent of the City Council that this resolution constitute
approval of the issuance of the Bonds (a) by the "applicable elected representative" of the
governmental unit having jurisdiction over the area in which the Project is located in
accordance with Section 147(f) of the Code and (b) by the City Council in accordance with
Section 4 of the Agreement.
Section 4. The issuance of the Bonds shall be subject to the approval of the
Authority of all financing documents relating thereto to which the Authority is a party. The
City shall have no responsibility or liability whatsoever with respect to the Bonds.
Section 5. The adoption of this Resolution shall not obligate the City or any
department thereof to (i) provide any financing to acquire, rehabilitate or improve 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, rehabilitation, improvement or operation of the Project; (iii)
make any contribution or advance any funds whatsoever to the Authority; or (iv) take any
further action with respect to the Authority or its membership therein.
Section 6. The Mayor, the City Manager, 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.
Section 7. The City Clerk shall forward a certified copy of this Resolution and an
originally executed Agreement to the Authority in care of its counsel:
Ronald E. Lee, Esq.
Jones Hall
650 California Street, 18~h Floor
San Francisco, CA 94108
Section 8. This resolution shall take effect immediately upon its passage.
ADOPTED by the City Council of the City of Campbell at a regular meeting of the
City Council held on the 5th day of February, 2013, by the following vote:
AYES: Councilmembers: Kotowski, Cristina, Baker, Waterman, Low
NOES: Councilmembers: None
ABSTAIN: Councilmembers: None
ABSENT: Councilmembers: .None ~~
Evan
ATTEST:. -
~~ ~~
f .~-~~
Anne Bybee, City Clerk
Mayor