HomeMy WebLinkAbout2019-013 - Approving the Issuance of Tax Exempt ObligationsRESOLUTION NO. 2019-013
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SANTA ANA APPROVING THE ISSUANCE OF TAX-
EXEMPT OBLIGATIONS BY THE CALIFORNIA
ENTERPRISE DEVELOPMENT AUTHORITY IN AN
AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED
$1,500,000 TO FINANCE FACILITIES FOR THE BENEFIT
OF THE ORANGEWOOD FOUNDATION
WHEREAS, the Orangewood Foundation, a California nonprofit public benefit
corporation (the 'Borrower"), has requested that the California Enterprise Development
Authority, a joint exercise of powers agency established pursuant to the laws of the State
of California (the "Authority'), issue its tax-exempt obligations, from time to time pursuant
to a plan of finance (the "Obligations"), in an aggregate principal amount not expected to
exceed $1,500,000, for the benefit of the Borrower, pursuant to Chapter 5 of Division 7 of
Title 1 of the Government Code of the State (commencing with Section 6500) (the "Act'),
for the purpose of making one or more loans to the Borrower to finance the cost of
acquiring, constructing, installing, improving, equipping and furnishing the real property
and improvements located at 1575 and 1615 E. 17th Street, Santa Ana, California
(collectively, the "Facilities"); and
WHEREAS, a portion of the proceeds of the Obligations will be used to pay the costs
of issuance in connection with such financing and other related costs; and
WHEREAS, the Borrower is an organization described in Section 501(c)(3) of the
Internal Revenue Code of 1986 (the "Code") and will own and operate the Facilities in
connection with its mission of preparing foster and community youth to reach their
greatest potential; and
WHEREAS, the issuance of the Obligations must be approved by the
governmental unit on behalf of which the Obligations are issued and a governmental unit
having jurisdiction over the territorial limits in which the Facilities are located pursuant to
the public approval requirement of Section 147(f) of the Code; and
WHEREAS, the Facilities are located within the territorial limits of the City of Santa
Ana (the "City"), and the City Council of the City (the "City Council") is the elected
legislative body of the City and is the "applicable elected representative" required to
approve the issuance of the Obligations under Section 147(f) of the Code; and
WHEREAS, the issuance 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
WHEREAS, the Authority and the Borrower have requested the City Council to
approve the issuance of the Obligations in order to satisfy the public approval
requirements of Section 147(f) of the Code; and
Resolution No. 2019-013
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WHEREAS, a public hearing was held by the City Council on this 5r" day of
February, 2019, at the meeting which commenced at the hour of 5:45 p.m., in the City
Hall Council Chamber, 22 Civic Center Plaza, Santa Ana, California 92701, following duly
published notice thereof in a newspaper of general circulation in the City of Santa Ana,
and all persons desiring to be heard have been heard; and
WHEREAS, it is intended that this Resolution shall comply with the public approval
requirements of Section 147(f) of the Code; provided, however, that this Resolution is
neither intended to nor shall it constitute an approval by the City Council of the Facilities for
any other purpose, including, but not limited to, compliance with the California
Environmental Quality Act (California Public Resources Code, Section 21100, et seq.)
("CEQA");
NOW, THEREFORE, BE IT RESOLVED, that the City Council hereby finds and
declares the above recitals are true and correct; and, be it
Section 1. The City Council hereby finds and determines that all of the recitals
are true and correct. The City Council, as the "applicable elected representative" of the
governmental unit on behalf of which the Obligations will be issued and having jurisdiction
over the area in which the Facilities are located, hereby approves the issuance of the
Obligations by the Authority, which Obligations may be tax-exempt and/or taxable as
approved by the Authority in its resolution, in an amount not to exceed $1,500,000 to
finance the cost of the Facilities. This Resolution shall constitute "issuer" approval and
"host" approval of the issuance of the Obligations within the meaning of Section 147(f) of
the Code; provided, however, that this Resolution shall not constitute an approval by the
City Council of the Facilities for any other purposes, including compliance thereof with
CEQA, nor does it constitute an approval of the underlying credit or financial structure of
the Obligations. The City shall not bear any responsibility for the issuance of the
Obligations, the tax-exempt status of the Obligations, the repayment of the Obligations or
any other matter related to the Obligations.
Section 2. All actions heretofore taken by the officers, employees and agents of
the City with respect to the approval of the issuance of the Obligations are hereby approved,
confirmed and ratified, and the officers and employees of the City and their authorized
deputies and agents are hereby authorized and directed, jointly and severally, to do any
and all things and to execute and deliver any and all certificates and documents which they
or bond counsel may deem necessary or advisable in order to consummate the issuance
of the Obligations and otherwise to effectuate the purposes of this Resolution.
Section 3. The adoption of this Resolution shall not obligate the City or any
department thereof to (a) provide any financing for the Facilities; (b) 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, rehabilitation or operation of the
Facilities; or (c) make any contribution or advance any funds whatsoever to the Authority.
Section 4. This Resolution shall take effect from and after its adoption.
Resolution No. 2019-013
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ADOPTED this 5th day of February, 2019.
APPROVED AS TO FORM:
Sonia R. Carvalho
Cil
2
AYES: Councilmembers Iglesias, Penaloza, Pulido, Sarmiento, Solorio,
Villegas (6)
NOES: Councilmembers None (0)
ABSTAIN: Councilmembers None (0)
NOT PRESENT: Councilmembers Revna (1
CERTIFICATE OF ATTESTATION AND ORIGINALITY
I, Norma Mitre, Acting Clerk of the Council, do hereby certify the attached Resolution No.
2019- 013 to be the original resolution adopted by the City Council of the City of Santa Ana
on February 5, 2019.
Date:
Norma Mitre
Acting Clerk of the Council
City of Santa Ana
Resolution No. 2019-013
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