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HomeMy WebLinkAbout1988-001 I ;; K RESOLUTION NO. IDA 88-1 A RESOLUTION OF THE INDUSTRIAL DEVELOPMENT AUTHORITY OF THE CITY OF SANTA ANA PROVIDING PRELIMINARY APPROVAL OF THE ISSUANCE OF BONDS FOR THE PURPOSE OF PROVIDING FINANCING FOR CERTAIN RESEARCH AND DEVELOPMENT FACILITIES FOR NEWPORT ELECTRONICS, INC. R, '-' RESOLVED, by the Industrial Development Authority of the City of Santa Ana, California, as follows: WHEREAS, the Industrial Development Authority of the City of Santa Ana (the "Authority") is authorized pursuant to the California Industrial Development Financing Act, commencing with Section 91500 of the Government Code of the State of California (the "Act") to issue and sell its bonds for the purpose of providing financing for the acquisition and construction of a research and development facilities located within the area of operation of the Authority; WHEREAS, Newport Electronics, Inc. (the "Corporation") has filed an application (the "Application") with the Authority and requested the Authority to issue and sell its bonds for the purpose of providing financing for the acquisition and construction of certain research and development facilities to be located within the area of operation of the Authority, which facilities are descri bed in Exhi bit "A" attached hereto and by thi s reference incorporated herei n (the" Project"), and the Authority wi shes to induce the Corporati on to acquire and construct the Project within the area of operation of the Authority; and WHEREAS, the Authority desires to accept the Corporation's Application; and WHEREAS, the Authority may not issue bonds to finance the Project until it makes certain determinations with respect to public benefits and qualifications of the Project as required by the Act and the California Debt Limit Allocation Committee ("CDLAC") has provided to the Authority pursuant to a request of the City of Santa Ana (the "City") a portion of the Private Activity Bond Limit of the State of California (the "State"); and WHEREAS, the Authority has carefully considered and discussed the information contained in the Application and other information it deems necessary to make such determinations; and l WHEREAS, it is in the public interest, for pUblic benefit and in furtherance of the public purposes of the Authority that it provides preliminary approval of the issuance of bonds for the aforesaid purposes; L NOW, THEREFORE, it is hereby FOUND, DETERMINED and ORDERED AS FOLLOWS: 1. The Industrial Development Authority of the City of Santa Ana hereby preliminary approves the issuance and sale of bonds of the Authority pursuant to the Act in a principal amount of not to exceed $6,500,000, for the purpose of providing financing to the Corporation for the acquisition and construction of the Project. 2. The Authority hereby determines that it will take all action necessary or advisable in connection with the issuance and sale of the bonds and the execution of the financing agreements for the Project. 3. The bonds shall be special obligations of the Authority payable solely from the trust estate to be defined in the indenture authorizing the bonds, and shall not constitute an indebtedness of the Authority, the City of Santa Ana or a loan of credit thereof within the meaning of any constitutional or statutory provisions. 4. The issuance and sale of the bonds shall be upon such terms and conditions as may be mutually agreed upon by the Authority, the Corporation and the purchasers of the bonds and shall be sUbject to completion of proceedings for issuance, sale and delivery of the bonds by the Authority. 5. issuance payments The proceeds of the bonds shall include such related and necessary costs, administrative expenses, debt service reserves and interest as may be required to accomplish the financing successfully. 6. The Authority hereby finds that the issuance of the bonds as described herein is a substantial inducement to the Corporation to acquire and construct the Project within the area of operation of the Authority and that the Project will further the public purposes of the Authority. , 1 , , ~ 7. The Authority hereby finds and determines: (a) That the use of the Project for an industrial research and development facility is in accordance with Section 91503(a) of the Act; (b) That the use of the Project is likely to produce employment benefits securing or increasing the number of employees of the Corporation as more particularly set forth in the Application; (c) That the issuance of revenue bonds by the Authority in an amount not to exceed $6,500,000 to finance the construction and development of the Project (the "Bonds") is likely to be a substantial factor in the accrual of each of the public benefits resulting from the use of the Project as proposed in the Application; and (d) That the proposed financing is otherwise in accord with the purposes and requirements of the Act. k , ~ ! I.. B. The Secretary of the Authority is hereby authorized and directed to cause to be published one time in a newspaper of general circulation in the City of Santa Ana, a notice in sUbstantially the form presented at this meeting, naming the Corporation, stating the estimated maximum bond issue, describing the Project in general terms, and stating that the Application for financing has been approved by the Authority. 9. The Secretary of the Authority is hereby authorized and directed to cause the City Council of the City of Santa Ana as the elected body of the Authority to hold a public hearing as soon as possible to approve the issuance of the Bonds by the Authority as required by federal law. 10. The Executive Di rector and Secretary are hereby authori zed and directed to cause the City of Santa Ana pursuant to Section 8869.80 et seq of the Government Code of the State of Ca 1 iforni a (the "State Bond Act") and the rules and procedures of the California Debt Limit Allocation Committee ("CDLAC") to make an application on behalf of the Authority of the CD LAC to obtain a portion of the Private Activity Bond Limit Allocation of the State of California. **************** I, the undersigned Secretary of the Industrial Development Authority of the City of Santa Ana, hereby certify that the foregoing is a full, true and correct copy of Resolution No. 88-1 duly adopted by the Authority at a meeting hereof on the 18th day of Ju1v , 19 88 , by the following vote of the directors thereof: AYES, and in favor thereof: Directors Acosta, Griset, Hart, May, McGuigan NOES: Directors - None ABSENT: DIRECTORS - Pulido, Young ~_.- 0ecretary Janice C. Guy /y. /2; L EXHIBIT A l DESCRIPTION OF PROJECT A 51,398 square foot industrial research and development facility situated on approximately three acres, including a building shell and tenant improvements and parking for approximately 260 vehicles. The Project will be located at Yale Center, 2229 Yale Street, Santa Ana, California. f f f t . ( \..