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HomeMy WebLinkAbout2024-006 CC Reso CMFA Central Metro Place - Baldwin Park Combined JPA Joining and TEFRAJ# I WMREAS, pursuant to Chapter 5 of Division 7 of Title I 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 NVBEREAS, the City of Baldwin Park (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 YMEREAS, there is now before this City Council the form of the Agreement; and WMREAS, 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 WUREAS, the Authority is authorized pursuant to Act and the terms of the Agreement among certain local agencies throughout the State of California to issue revenue bonds and other forms of indebtedness to promote economic development within the State of California, and the City shall become a Member of the Authority upon approval of this resolution (the "Resolution") and execution of the Agreement by the City pursuant to this Resolution; and WMREAS, Baldwin Park RHF Partners, L.P., a California limited partnership, or all affiliate thereof (the "Borrower") has requested that the Authority participate in the issuance of one or more series of revenue bonds or notes issued from time to time, pursuant to a plan of finance, in an aggregate outstanding principal amount not to exceed $25,000,000 (the "Bonds") for the acquisition, construction, improvement and equipping of a multifamily rental housing development known as Central Metro Place located at 14519 Central Ave, Baldwin Park, California (the "Projecf'), to be owned and operated by the Borrower; and VaMREAS, pursuant to Section 147(f) of the Internal Revenue Code of 1986 (the "Code"), the issuance of the Bonds by the Authority must be approved by the City because the Project is located within the territorial limits of the City; and 4856-7169-6293.2 Page 2 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 WHEREAS, the Borrower has requested the issuance of the Bonds in order to effect savings in interest rate and/or issuance costs to effect significant public benefits pursuant to the Act; and WHEREAS, the Bonds or a portion thereof will be "private activity bonds" for purposes of the Code; and WHEREAS, pursuant to Section 147(f) of the Code, prior to their issuance, the Bonds are required to be approved by the "applicable elected representative" of the governmental unit on whose behalf tile Bonds are expected to be issued and by a governmental unit having jurisdiction over the entire area in which any facility financed by the Bonds is to be located, after a public hearing held following reasonable public notice; and WHEREAS, pursuant to Section 147(f) of the Code, reasonable public notice must include a description of all of the purposes of the Bonds, including tile use of proceeds outside tile jurisdiction of the City, and the resolution evidencing approval of the "applicable elected representative" must also describe all the purposes of the Bonds, but the approval of the City shall not constitute approval on behalf of any other jurisdiction with respect to the Bonds, which will consider the issuance of the Bonds independently of the City; and WHEREAS, the members of the City Council are the applicable elected representatives of the City; and WHEREAS, there has been published, at least 7 days prior to the date of the public hearing, in a newspaper of general circulation within the City, a notice that a public hearing regarding the Bonds would be held on March 5, 2024; and WHEREAS, such public hearing was conducted telephonically on March 5, 2024 by tile Authority, at which time an opportunity was provided to interested parties to present arguments both for and against the issuance of the Bonds; and WHEREAS, the minutes of such hearing have been presented to this City Council; and WHEREAS, it is intended that this Resolution shall constitute the approval of the issuance of the Bonds and the Project required by Section 147(f) of the Code, as applicable, and Section 4 of the Agreement. Now, THEREFORE, THE CITY COUNCIL OF THE CITY OF BALD WIN PARJK, DOES HEREBY RESOLVE, DETER NHNE AND ORDER, AS FOLLOWS: Sectionl, The foregoing recitals are true and correct. Section 2. The City shall become a member of the Authority, the Agreement is hereby approved and the Mayor or the designee thereof is hereby authorized and directed to execute said 4856-7169-6293.2 docurnent, and the City Clerk or such City 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 and the Project to be financed thereby. It is the purpose and intent of the City Council that this Resolution constitute approval of the issuance of the Bonds pursuant to a plan of financing by the Authority, for the purposes of (a) Section 147(f) of the Code by the applicable elected representative of the governmental unit having jurisdiction over the area in which the Project is located, in accordance with said Section 147(f) and (b) 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 or construct 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, construction, installation or operation of the Project; or (iii) make any contribution or advance any funds whatsoever to the Authority. The City shall not have any liability or responsibility for the issuance of the Bonds or payment of principal or interest on the Bonds, the Bonds shall not constitute an obligation or indebtedness of the City and the assets and revenues of the City are not being pledged as security for the payment of principal or interest on the Bonds. Section 6. The Mayor of the City or the designee or designees thereof, the City Clerk and all other proper officers and officials 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 agreements, docurnents and certificates which they deem necessary or convenient in order to carry out, give effect to and comply with 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, APLC 475 Sansome Street, Suite 1700 San Francisco, CA 94111 Section 8. This Resolution shall take effect immediately upon its adoption. (Remainder of page intentionally left blank) 4856-7169-6293.2 Em PASSED, APPROVED, and ADOPTED this 20th clay of March, 2024. _e gw;:�, Eta manUCI J. Estrada Mayor �Aj City of Baldwin Park AYES AVILA, DAMIAN, GARCIA, AYALA, ESTRADA NOES: N/A ABSTAIN N/A ABSENT: N/A RE CUSED: N/A ATTEST; Christopher Saenz City Clerk City of Baldwin Park 4856-7169-6293.2 Em STATE OF CALIFORNIA COUNTY OF LOS ANGELES ss CITY OF BALDWIN PARK CERTIFICATION OF RESOLUTION CITY COUNCIL 1, Christopher Saenz, City Clerk of the City of Baldwin Park, CA, do hereby certify that this is a true and correct copy of the original Resolution No. 2024-006 for which the original is on file in my office. WITNESS MY RAND AND THE SEAL OF THE CITY, on this 20th day of March, 2024. Christopher Saenz City Clerk City of Baldwin Park 4856-7169-0293.2