HomeMy WebLinkAboutResolution 2015-160 N.C.S. 10/05/2015Resolution No. 2015 -160 N.C.S.
of the City of Petaluma, California
APPROVING THE ISSUANCE OF MULTIFAMILY HOUSING REVENUE
BONDS FOR THE PURPOSE OF FINANCING THE ACQUISITION AND
REHABILITATION OF THE WASHINGTON CREEK APARTMENTS
AND THE CORONA RANCH APARTMENTS
WHEREAS, the California Municipal Finance Authority (the "Authority ") is authorized
by the laws of the State of California (the "Law ") to execute and deliver multifamily housing
revenue obligations for the purpose of financing the acquisition, construction/rehabilitation and
development of multifamily residential rental facilities located within the area of operation of the
Authority which are to be occupied by very low and low income tenants; and
WHEREAS, Eden Housing Inc., a California nonprofit public benefit corporation, on
behalf of a limited liability company or limited partnership related to or to be formed by Eden
Housing Inc. (the "Borrower "), has requested the Authority to issue and deliver multifamily
housing revenue obligations in the anticipated principal amount of $25,000,000 (the
"Obligations "), the proceeds of which may only be used for the purpose of financing the
acquisition and rehabilitation of two affordable housing developments 1) a 32 -unit multifamily
residential rental facility commonly known as Washington Creek Apartments located at 909
Martin Circle in the City of Petaluma, California and 2) a 74 -unit multi - family residential rental
facility commonly known as Corona Ranch Apartments, located at 990 Ely Road in the City of
Petaluma (collectively, the "Project ") and;
WHEREAS, the Obligations which are expected to be issued and delivered to finance
the acquisition and rehabilitation of the Project would be considered "qualified exempt facility
bonds" under Section 142(a) of the Internal Revenue Code of 1976, as amended (the "Code "),
and Section 147(f) of the Code requires that the "applicable elected representatives" with respect
to the jurisdiction in which the Project is located hold a public hearing and approve the issuance
and delivery of the Obligations; and
WHEREAS, the City Council of the City of Petaluma as the "applicable elected
representatives" to hold said public hearing, has held said public hearing at which all those
interested in speaking with respect to the proposed financing of the Project were heard.
NOW, THEREFORE, BE IT RESOLVED as follows:
1. The City Council hereby finds and determines that the foregoing recitals are true and
correct.
2. For purposes of the requirements of the Code only and in accordance with Section 4
of the Joint Exercise of Powers Agreement Relating to the California Municipal
Finance Authority, dated as of January 1, 2004, the City Council hereby approves the
proposed financing of the Project by the Authority with the proceeds of the
Obligations. Not to exceed $7,500,000 of the Bonds may be utilized for Washington
Creek Apartments and not to exceed $17,500,000 of the Bonds may be utilized for
Corona Ranch Apartments.
Resolution No. 2015 -160 N.C.S. Page 1
The issuance and delivery of the Obligations shall be subject to the approval of and
execution by the Authority of all financing documents relating thereto to which the
Authority is a party and subject to the sale of the Obligations by the Authority.
4. The adoption of the Resolution is solely for the purpose of meeting the requirements
of the Code and shall not be construed in any other manner, neither the City nor its
staff having fully reviewed or considered the financial feasibility of the Project or the
expected financing or operation of the Project with regards to any State of California
statutory requirements, and such adoption shall not obligate (i) the City to provide
financing to the borrower for the acquisition and rehabilitation of the Project or to
issue the Obligations for purposes of such financing; or (ii) the City, or any
department of the City, to approve any application or request for, or take any other
action in connection with, any environmental, General Plan, zoning or any other
permit or other action necessary for the acquisition, rehabilitation, development or
operation of the Project.
5. The City Cleric of the City shall forward a certified copy of this Resolution to:
Stephen Melikian, Esq.
Jones Hall, A Professional Law Corporation
475 Sansome Street, Suite 17
San Francisco, California 94111
6. This resolution shall take effect upon its adoption.
Under the power and authority conferred upon this Council by the Charter of said City.
REFERENCE: I hereby certify the foregoing Resolution was introduced and adopted by the
Council of the City of Petaluma at a Regular meeting on the 5th day of October,
2015, by the following vote:
AYES: Albertson, Barrett, Mayor Glass, Healy, Kearney, King, Vice Mayor Miller
NOES: None
ABSENT: None
ABSTAIN:
ATTEST:
City
Resolution No. 2015 -160 N.C.S. Page 2