RES-8814 Intention to Provide Issuance of Multifamily Housing Revenue BondsRESOLUTION NO. 8814
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF ORANGE DECLARING ITS INTENTION TO PROVIDE
FOR THE ISSUANCE OF MULTIFAMILY HOUSING
REVENUE BONDS TO PROVIDE FINANCING FOR THE
TOWN & COUNTRY APARTMENTS
WHEREAS, the City of Orange (the "City") is authorized pursuant to Chapter 7 of Part 5
of Division 31 of the Health and Safety Code of the State of California (the "Law") to finance
multifamily rental housing projects; and
WHEREAS, 1300 North Shaffer Partners, L.P., a California Limited Partnership (the
Company"), has requested the City 10 issue and sell revenue bonds for the purpose of providing
for the financing of the acquisition and renovation of a 64-unit apartment project located
on approximately 4.1 acres at the comer of Shaffer Street and Katella Avenue, 1300 North
Shaffer Street, in the City of Orange, California (the "Project");
and WHEREAS, the financing of the Project will assist in increasing the number of
affordable rental units and provide needed decent, safe and sanitary housing for persons oflow and
moderate income in the City;
and WHEREAS, the financing of the Project through the issuance of multifamily
housing revenue bonds of the City in an aggregate amount of approximately $2,750,000 (the "
Bonds")will provide for and promote the public health, safety and welfare, and otherwise will be in
the public interest;
and WHEREAS, the City reasonably expects to use a portion of the proceeds of the Bonds
to reimburse the Cityand/or the Company for certain expenditures eligible for reimbursement (
the Reimbursement Expenditures") made prior to the date the Bonds are
issued;NOW, THEREFORE, BE IT
RESOLVED:Section 1. Declaration of Official Intent. The City hereby declares its official intent to
use up to $2,750,000 of the proceeds of the Bonds to reimburse itself and/or the Company for
the Reimbursement Expenditures. It is intended that this Resolution shall constitute a declaration
of official intent" within the meaning of Section1.150-2 of the Treasury
Regulations promulgated under Section 150 of the Internal Revenue Code of 1986,
as amended.Section 2. CDLAC Application. The City staff is authorized and directed to
submit an application to the California Debt Limit Allocation Committee for its allocation of a portion
of the State ceiling" for private activity bonds pursuant to Section 146 of the Internal Revenue
Code of 1986, as amended, for use in connection with the issuance of
the Bonds.Section 3. Bond Counsel. The law firm of Best Best & Krieger
LLP, Riverside,California, is appointed as bond counsel to the City with respect to the issuance of
the Bonds.The Executive Director is authorized to execute an agreement with said firm providing
for
Section 4. Nature of Obligations. The obligations to be issued shall be special obligations
of the City payable solely from revenues to be received by the City, pursuant to a loan agreement
or other similar agreement with the Company or its assigns in connection with the financing of the
Project, and shall not be a general obligation of the City, the State of California, or any political
subdivision thereof Any expenses to be paid in connection with the issuance of the Bonds to
finance the project in excess of any amount permitted under Federal tax law to be paid from
proceeds of the Bonds shall be paid by the Company.
Section 5. Other Aoorovals. The adoption of the Resolution shall not bind the City to
issue the Bonds until and unless all other necessary actions and approvals are taken or received in
accordance wilh all applicable laws. The adoption of this Resolution does not and shall not limit
in any manner whatever Ihe City's full discretion 10 deny any further permit or approval that may
be necessary for the project.
Section 6. Effective Date. This Resolution shall take effect immediately upon adoption.
ADOPTED this 9th day of September, 1997.
s:;a/k-
Daniel R. Slater
Mayor Pro Tern
JOANNE COONTZ
Mayor of the City of Orange
ArrEST:
AAf~A'A(J Urk~
City Clerk of the I of Orange
I hereby certify that the foregoing Resolution was duly and regularly adopted by the City Council
of the City of Orange at a regular meeting thereof held on Ihe 9th day of
September ,1997, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
COUNCILMEMBERS: MURPHY, SLATER, SPURGEON, ALVAREZ
COUNCILMEMBERS: NONE
COUNCILMEMBERS: COONTZ
COUNCILMEMBERS: NONE
r14-14~.J; &
kAAX City Clerk of the . of
Orange