HomeMy WebLinkAboutRESOLUTION 2001-05
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RESOLUTION NO. 2001-05
A RESOLUTION OF THE HOUSING AUTHORITY OF THE CITY
OF SANTA ANA DECLARING ITS INTENTION TO REIMBURSE
EXPENDITURES FROM THE PROCEEDS OF TAX-EXEMPT
OBLIGATIONS AND DIRECTING CERTAIN ACTIONS
WHEREAS, the Housing Authority of the City of Santa Ana (the "Authority") intends to
issue tax-exempt obligations (the "Obligations") for the purpose, among other things, of making
a loan to Providence Housing L.L.C" or a limited partnership or a limited liability company to be
formed by such entity (the "Developer"), the proceeds of which shall be used by the Developer
to finance the acquisition, rehabilitation and development of a 200-unit multifamily housing
facility to be located at 1401 North Flower Street, Santa Ana, Califomia and to be commonly
known as Wycliffe Plaza Apartments (the "Project"); and
WHEREAS, United States Income Tax Regulations section 1,103-18 provides generally
that proceeds of tax-exempt debt are not deemed to be expended when such proceeds are
used for reimbursement of expenditures made prior to the date of issuance of such debt
unless certain procedures are followed, among which is a requirement that (with certain
exceptions), prior to the payment of any such expenditure, the issuer must declare an intention
to reimburse such expenditure; and
WHEREAS, it is in the public interest and for the public benefit that the Authority
declare its official intent to reimburse the expenditures referenced herein;
WHEREAS, the Authority has determined, pursuant to Section 34292 of the Health and
Safety Code of the State of California (the "Housing Authorities Law") that the issuance and
delivery of the bonds and the execution and delivery of related documents, and the adoption of
this resolution is an "emergency matter" within the meaning of the Housing Authorities Law
without benefit of the review by or recommendations of the Redevelopment and Housing
Commission, .
NOW, THEREFORE, BE IT RESOLVED that the Housing Authority of the City of Santa
Ana DECLARES and ORDERS as follows:
1, The Authority intends to issue the Obligations for the purpose of paying the
costs of financing the acquisition, rehabilitation and development of the Project.
2, The Authority hereby declares that it reasonably expects that a portion of the
proceeds of the Obligations will be used for reimbursement of expenditures for the acquisition,
rehabilitation and development of the Project that are paid before the date of initial execution
and delivery of the Obligations.
3, The maximum amount of proceeds of the Obligations to be used for
reimbursement of expenditures for the acquisition, rehabilitation and development of the
Project that are paid before the date of initial execution and delivery of the Obligations is not to
exceed $17,000,000.
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4, The foregoing declaration is consistent with the budgetary and financial
circumstances of the Authority in that there are no funds (other than proceeds of the
Obligations) that are reasonably expected to be (i) reserved, (ii) allocated or (iii) otherwise set
aside, on a long-term basis, by or on behalf of the Authority, or any public entity controlled by
the Authority, for the expenditures for the acquisition and rehabilitation of the Project that are
expected to be reimbursed from the proceeds of the Obligations.
5, The Developer shall be responsible for the payment of all present and future
costs in connection with the issuance of the Obligations, including, but not limited to, any fees
and expenses incurred by the Authority in anticipation of the issuance of the Obligations, the
cost of printing any official statement, rating agency costs, bond counsel fees and expenses,
underwriting discount and costs, trustee fees and expense, and the costs of printing the
Obligations, The payment of the principal, redemption premium, if any, and purchase price of
and interest on the Obligations shall be solely the responsibility of the Developer, The
Obligations shall not constitute a debt or obligation of the Authority.
6. The law firm of Jones Hall, A Professional Law Corporation, is hereby named as
bond counsel to the Authority in connection with the issuance of the Obligations, The fees and
expense of bond counsel and any financial advisor employed by the Authority in connection
with the issuance of the Obligations are to be paid solely from the proceeds of the Obligations
or directly by the Developer,
7, The appropriate officers or staff of the Authority are hereby authorized, for and
in the name of and on behalf of the Authority, to make an application to the California Debt
Limit Allocation Committee for an allocation of private activity bonds for the financing of the
Project.
8, The adoption of this Resolution shall not obligate (i) the Authority to provide
financing to the Developer for the acquisition, rehabilitation and development of the Project or
to issue the Obligations for purposes of such financing; or (ii) the Authority, of or any
department of the Authority or the City of Santa Ana 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.
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This resolution shall take effect immediately upon its adoption.
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ADOPTED this L day of October, 2001
ATTEST:
J{,,""
Executive Director
Housing Authority
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APPROVED AS TO FORM:
Joseph W. Fletcher,
General Counsel
By:
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I certify that this resolution was adopted by the Governing Board of the Housing
Authority of the City of Santa Ana, California, at its meeting of October 1, 2001, by the
following vote:
Ayes:
7
Boardmembers:
Noes:
Boardmembers:
0
Absent:
Boardmembers:
0
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Alvarez. Bist. Christv. Franklin.
McGuiqan. Pulido. Solorio