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Home My WebLink About4013_CCv0001.pdf RESOLUTION NO. 4013 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDLANDS INDICATING ITS INTENT TO PROVIDE FOR THE ISSUANCE OF OBLIGATIONS TO PROVIDE ASSISTANCE IN FINANCING A MULTIFAMILY RENTAL HOUSING PROJECT WHEREAS, the City Council of the City of Redlands (this "City Council") is authorized pursuant to Chapter 7 (commencing with Section 52075) of Part 5 of Division 31 of the California Health and Safety Code (the "Act") to provide assistance in financing multifamily residential rental housing developments within the City of Redlands (the "City') ; and WHEREAS , Gibralter Community Builders , a Calif- ornia general partnership (the "Developer") , has requested assistance in financing the acquisition and construction of an approximately 630 unit multifamily rental housing project proposed to be located on a 36-acre parcel between Terracina Boulevard, Brookside Avenue , Barton Road, and Bellevue Street (the "Project") ; and WHEREAS , this City Council , in order to encourage and foster the construction of multifamily rental housing development within the City and as an aid and inducement to the Developer, is willing to authorize the issuance of obligations in an amount sufficient to provide financing for the Project subject to the restrictions of the Act and all applicable California and Federal laws as they presently exist , provided that the Project receives all necessary local government approvals of the City; NOW, THEREFORE, BE IT RESOLVED, DETERMINED AND ORDERED BY THE CITY COUNCIL OF THE CITY OF REDLANDS AS FOLLOWS : Section 1. Findings . This City Council hereby determines that the undertaking of the financing of the proposed Project by the City will be a substantial factor in the accrual of public benefits to be received from the Project , should the Project be approved and constructed, and that the proposed financing is in accord with the pur- poses and requirements of the Act. Section 2 . Issuance of Obligations . Subject to the completion of the proceedings and other matters relating thereto to the full satisfaction of this City Council , and subject to the proposed Project receiving all necessary local government approvals , this City Council hereby agrees to provide financing to the Developer or such other person or entity approved by the City for the Project through the issuance of obligations in an amount not to exceed $40 , 000 , 000. Section 3 . mature 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 all agreements in connection with the financing of the Project , all in a form acceptable to the City, and shall not be a general obligation of the City , the State of California, -2- or any political subdivision thereof. Section 4. Official Action. It is intended that this Resolution shall constitute "some other similar official action" toward the issuance of indebtedness within the meaning of Section 103 of the Internal Revenue Code of 1954, as amended, and the regulations thereunder. Section 5 . Other Akpprovals . The adoption of this Resolution shall not bind the City to issue bonds or other obligations until and unless all other necessary actions and approvals are taken or received in accordance with all applicable laws . The adoption of this Resolution does not and shall not limit in any manner whatever the City' s full discretion to deny any further permit or approval that may be necessary for ultimate completion of the proposed Project . In this connection : (a) All contracts relating to the acquisition , construction, installation and equipping of the Project shall be solicited, negotiated, awarded and executed by the Developer, for its own account , subject to applicable federal , state and local laws . (b) The City shall have no pecuniary liability to the Developer for any fees in connection with the Project . (c) The City shall recover any and all costs to City which are incurred in furtherance of or attributable to the issuance of its bonds . If no -3- bonds are issued, all such costs shall be paid by the Developer. (d) The adoption of this Resolution shall not in any manner obligate the City to approve the conversion by the Developer of any portion of the Project at any time to condominium units . Section 6 . Bond Counsel. The law firm of Best , Best & Krieger is hereby designated as bond counsel to the City with respectto the issuance of the City' s bonds for the financing of the Project, and the City Manager is hereby authorized to enter into an agreement with said firm for such bond counsel services . Section 7. Effective Date. This Resolution shall take effect immediately upon adoption . ADOPTED this 4th day of December , 1984. Ze Mayor of the City- of Redlands , California ATTE,S"": ? C. a City Clerk o , City o Redlands , Cal nia -4- I , Lorrie Poyzer, City Clerk of the City of Redlands , California, od hereby certify that the foregoing Resolution was regularly introduced and adopted by the City Council of the City of Redlands , California, at a regular meeting thereof held on the 4th day of December , 1984 , by the following vote of the City Council: AYES : Councilmen DeMirjyn , Martinez , Larsen; Mayor Beswick NOES : None ABSENT: Councilman Johnson ABSTAIN: None IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Redlands , California, this lith day of October, 1985 . ity Clerk o, e City off -It C Red 0 nds , Ca rnia Resolution No. 4013 Page five LAW OFFICES OF ARTHUR LLITTLEWORTH# GEORGE M,REYES BEST, BEST & KRi EG ER PALM SPRINGS OFFICE GLEN E.STEPHENS* WILLIAM W.F'LOYD,JR. A PAPE-SHIP INCLUDING PRVFE9816-CORPORATIONS WILLIAM R.O-WOLFE* MI CHAEL A.CRISTE 420f) ORANGE STREET 60C EAST YAHOUITZ-MSCALLUM WAY BARTON C.GAUT# RICHARD CROSS CHARLES D.FIELD# ELIZABETH L.HANNA PALM SPRINGS,CALIFORNIA 92262 PAUL T.SELZER* GREGORY V.MOSER P. 0.BOX €028 DALLAS 14OLMES* IRWIN L,GOLDS (619)325-7264 CH RI STOPHER CARFENTER4 ANTONIA G.WEINER RIVERSIDE,CALIFORNIA 92502 TELEX 752735 RICHARD T.ANDERSON# JOYCE W.WHEELER JOHN D.WAHLIN* HARLEY L.BJELLAND TELEPHONE(714)686-1450 - MICHAEL O.HARRIS* JEFFREY M.RICHARD W.CURT EALY* DAVID L.OARON JAMES 8.CORISON,017 COUNSEL THOMAS S.SLOVAK* LOU ANN MERFRITT ((�� 7 (g p _ JOHN E.BROWNT VI TOR L A.ETTINGirR November 20 1984 ROHALO B OWN I VICTOR L.WOLF RAYMOND BEST(166 fl-1959 MICHAEL T.RI DOELL DANIEL E.OLIVIER r JAMES H,KRIEGER(1913-1975) MEREDITH A.JURY* ARIEL PIERRE CALONNE MICHAEL GRANT DANEUGENE F3E5T1993•{9$IIEL J.WHUGH I ) FRANCIS J.E3AUM CARL F HERBOLD,JR. ANNE T.THOMAS GREGORY L.HAROKE O.MARTIN NETHERY KEVIN S,MILLS iA PROFESSIONAL CORPORATION Mr. John Holmes City Manager City of Redlands 30 Cajon Street Redlands , CA 92373 Re: Gibralter Community Builders Dear John : Enclosed find original Inducement Resolution and Memorandum for presentation at the meeting of the City Council of December 4, 1984. Very truly yours , Glen E. Stephens of Best , Best & Krieger GES :ec encls. cc : Richard Tine (w/Resolution) Stephen G. Melikian (w/Resolution) LAW OFFICES OF BEST, BEST & KRIEGER November 20 , 1984 M E M O R A N D U M TO: MAYOR, CITY COUNCIL AND CITY MANAGER FROM: BOND COUNSEL RE: PROPOSED MULTIFAMILY HOUSING BOND FINANCING Staff has received a proposal from Gibralter Community Builders , a California general partnership , for the development of approximately 630 apartment units in the City. They have requested that the City issue multi- family housing bonds to provide tax-exempt financing for this project . The City can issue such bonds under provisions of Assembly Bill 665 (Health and Safety Code Section 52075 , and following) and can loan the proceeds to a developer for financing the construction of multifamily housing. Any such bonds would be limited obligations of the City , payable solely from funds paid by or on behalf of the developer , and would create no financial liability on the part of the City. Under both A. B . 665 and Federal tax laws relating to the income tax exemption for these types of bonds , at least twenty percent of the units in the project must be made available for "low or moderate income" renters . This usually means households whose incomes do not exceed 80% I of the median income for the area. LAW OFFICES OF BEST. BEST & KRIEGER Page Two In the event the City Council is willing to con- sider making this financing mechanism available to the developer, it is first necessary for the City Council to adopt a resolution indicating its intention to issue such obligations in order to satisfy certain technical Federal tax requirements . Attached for your consideration is a proposed Resolution of Intention to do this . Adoption of this Resolution does not obligate the City to proceed with the issuance of bonds if , at some later time , you determine that you do not wish to do so. The attached resolution also retains our firm as bond counsel . Our fees will be paid from bond proceeds (and, thus , are an obligation of the developer) . GLEN E . STEPHENS FRANCIS J . BAUM