HomeMy WebLinkAboutReso 2019-118 - Bonds for Block 7 Downtown ApartmentsRESOLUTION NO. 2019-118
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING
APPROVING THE ISSUANCE BY THE CALIFORNIA STATEWIDE
COMMUNITIES DEVELOPMENT AUTHORITY OF MULTIFAMILY
HOUSING REVENUE BONDS FOR THE BLOCK 7 DOWNTOWN
APARTMENTS
WHEREAS, the California Statewide Communities Development Authority (the
"Authority") is authorized pursuant to the provisions of California Government Code Section 6500
et seq. and the terms of an Amended and Restated Joint Exercise of Powers Agreement, dated as of
June 1, 1988 (the "Agreement"), among certain local agencies throughout the State of California,
including the City of Redding (the "City"), to issue revenue bonds in accordance with Chapter 7 of
Part 5 of Division 31 of the California Health and Safety Code for the purpose of financing
multifamily rental housing projects; and
WHEREAS, Block 7 Downtown Investors, LP or a partnership of which ADK Properties
LLC (the "Developer") or a related person to the Developer is the general partner, has requested that
the Authority adopt a plan of financing providing for the issuance of exempt facility bonds for a
qualified residential rental project pursuant to Section 142(a)(7) of the Internal Revenue Code of
1986 (the "Code") in one or more series issued from time to time, including bonds issued to refund
such exempt facility bonds in one or more series from time to time, and at no time to exceed
$50,000,000 in outstanding aggregate principal amount (the "Bonds"), to finance or refinance the
acquisition, construction and development of a multifamily rental housing project located at the
Northeast corner of Yuba Street and California Street (APN 101-790-033, 101-790-034, 101-
790-032), Redding, California (the "Project"); and
WHEREAS, pursuant to Section 147(f) of the Code, prior to their issuance, private activity
bonds are required to be approved by the "applicable elected representative" of the governmental
units on whose behalf such bonds are expected to be issued and by a governmental unit having
jurisdiction over the entire area in which any facility financed by such bonds is to be located, after a
public hearing held following reasonable public notice; and
WHEREAS, the members of this City Council ("City Council") are the applicable elected
representatives of the City; and
WHEREAS, there has been published, at least 7 days prior to the date hereof, in a
newspaper of general circulation within the City, a notice that a public hearing regarding the Bonds
would be held on a date specified in such notice; and
WHEREAS, such public hearing was conducted on such date, at which time an opportunity
was provided to interested parties to present arguments both for and against the issuance of the
Bonds; and
WHEREAS, the Authority is also requesting that the City Council approve the issuance cll�
of any refunding bonds hereafter issued by the Authority for the purpose of refinancing the
Bonds which financed the Project (the "Refunding Bonds"), but only in such cases where federal
tax laws would not require additional consideration or approval by the City Council; and
WHEREAS, it is intended that this resolution shall constitute the approval of the issuance
of the Bonds required by Section 147(0 of the Code and Section 9 of the Agreement;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF REDDING AS FOLLOWS:
Section 1. The above recitals are true and correct.
Section 2. The City Council hereby approves the issuance of the Bonds and the
Refunding Bonds by the Authority. It is the purpose and intent of the City Council that this
resolution constitutes approval of the Bonds for the purposes of (a) Section 147(f) of the Code and
(b) Section 9 of the Agreement.
Section 3. The officers of the City are hereby authorized and directed, jointly and
severally, to do any and all things and to execute and deliver any and all documents that they deem
necessary or advisable in order to carry out, give effect to and comply with the terms and intent of
this resolution and the financing approved hereby.
Section 4. This resolution shall take effect immediately upon its passage.
I HEREBY CERTIFY that the foregoing resolution was introduced and read at a regular
meeting of the City Council of the City of Redding on the 3rd day of December, 2019, and was
adopted at said meeting by the following vote:
AYES:
COUNCIL MEMBERS: Dacquisto, Resner, Schreder, Winter, and McElvain
NOES:
COUNCIL MEMBERS: None
ABSENT:
COUNCIL MEMBERS: None
ABSTAIN:
COUNCIL MEMBERS: None
ATTEST:
713,�Z',J
PAMELA MIZE, City le/k
ADAM McELVAIN, Mayor
FORM APPROVED:
BARRY E. D A ,City torney