2016-037 - Nova Academy Children's Foundation or Affiliate Thereof

Home Browse Search

RESOLUTION NO. 2016 -037 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA APPROVING THE ISSUANCE OF REVENUE BONDS BY THE CALIFORNIA MUNICIPAL FINANCE AUTHORITY IN ONE OR MORE SERIES IN A MAXIMUM AMOUNT OF $19,000,000 FOR THE PURPOSE OF FINANCING THE ACQUISITION OF CERTAIN FACILITIES FOR THE BENEFIT OF NOVA ACADEMY CHILDREN'S FOUNDATION OR AN AFFILIATE THEREOF 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 Santa Ana, California (the "City "), is a Member of the Authority; 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, NOVA Academy, a California nonprofit public benefit corporation ( "NOVA "), has applied for financing under the Act, for the purpose of financing the acquisition, construction, expansion, remodeling, renovation, improvement, furnishing, and equipping of certain charter school educational facilities to be owned by NOVA Academy Facilities, LLC, a California limited liability company (the "Borrower "), the sole member of which is Nova Academy Children's Foundation, Inc., a California nonprofit public benefit corporation (the "Foundation "), and leased to NOVA (the "Lessee ") for the use and occupancy of NOVA Academy Early College High School, a charter school established pursuant to the Charter Schools Act of 1992 (Part 26.8 of Division 4 of Title 2 of the Education Code); and WHEREAS, the Lessee has requested that the Authority issue and sell revenue bonds in the maximum principal amount of $19,000,000.00 (the "Bonds ") in one or more series for the purpose of making a loan to the Borrower to finance the costs of (a) acquiring land and education and related facilities located at 500 W Santa Ana Blvd., City of Santa Ana, County of Orange, California (the "Facilities "), for use by the Lessee, currently serving students in grades 9 -12; (b) funding a debt service reserve fund for the Bonds; (c) paying capitalized interest on the Bonds; and (d) paying certain Bond issuance expenses (collectively, the "Project "); and Resolution No. 2016 -037 Page 1 of 4