HomeMy WebLinkAboutReso 2001-369 RESOLUTION NO. 2001-369
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING THE ISSUANCE OF
TAX-EXEMPT AND TAXABLE OBLIGATIONS FOR THE
METROPOLITAN AREA ADVISORY COMMITTEE, INC.
WITH RESPECT TO THE PROPOSED PROJECT BY THE
CALIFORNIA STATEWlDE COMMUNITIES DEVELOPMENT
AUTHORITY
WHEREAS, the Califomia Statewide Communities Development Authority (the
"Authority"), of which the City of Chula Vista (the "City") is a member pursuant to the
provisions of that certain Amended and Restated Joint Exemise of Powers Agreement Relating
to the California Statewide Communities Development Authority, dated as of June 1, 1988 (the
"Agreement"), is authorized by the laws of the State of California (the "Law") to cause the
execution and delivery of taxable and tax-exempt obligations for the purpose of financing
educational and other facilities owned and operated by nonprofit public benefit corporations
located within the area of operation of the Authority; and
WHEREAS, the Metropolitan Area Advisory Committee, Inc. ("MAAC"), a nonprofit
public benefit corporation formed for the purpose of providing social services through
community development, has requested the Authority to cause the issuance of tax-exempt
obligations and qualified zone academy obligations, to be issued in one or more series (together,
the "Obligations") in the approximate amount of $8,500,000, the proceeds of which shall be used
for the purpose of financing the acquisition, rehabilitation, construction and equipping of a
72,000 square foot facility to be used for educational purposes and to house additional social
service programs to be located at 1351-1395 Third Avenue, Chula Vista, California (the
"Project"); and
WHEREAS, Section 147(f) of the Internal Revenue Code of 1986 (the "Code") requires
that the "applicable elected representative" with respect to the Project hold a public heating on
the issuance and delivery of the Obligations; and
WHEREAS, the City Council of the City of Chula Vista, as the "applicable elected
representatives" to hold said public heating, has held said public heating at which all those
interested in speaking with respect to the financing of the Project were heard; and
WHEREAS, Section 6586.5 of the California Government Code (the "Government
Code") requires that the City Council approve the financing upon a finding of significant public
benefit after a public hearing following publication of at least five days' notice in a newspaper of
general circulation in the City; and
WHEREAS, the City Council has on the date hereof held a public hearing following duly
published notice thereof and all persons desiring to be heard have been heard; and
NOW, THEREFORE, be it resolved by the City Council of the City of Chula Vista, as
follows:
Section 1. The City Council hereby finds and determines that the foregoing recitals are true
and correct.
Resolution 2001-369
Page 2
Section 2. The City Council hereby approves the issuance of the Obligations with respect to
the proposed Project by the Authority.
Section 3. The issuance and delivery of the Obligations shall be subject to the approval of
and execution by the Authority of all financing documents relating thereto to which the
Authority is a party and subject to the sale of the Obligations by the Authority.
Section 4. MAAC 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 City in anticipation of the issuance of the Obligations. The payment of
the principal, prepayment premium, if any, and purchase price of and interest on the Obligations
shall be solely the responsibility of MAAC. The Obligations shall not constitute a debt or
obligation of the City.
Section 5. This Council hereby determines that it is appropriate for the Authority to cause the
issuance of the Obligations to finance the acquisition, rehabilitation, construction and
development of the Project and hereby approves the issuance of the Obligations. It is the
purpose and intent of the Council that this resolution constitutes approval of the Obligations for
the purposes of Section 9 of the Agreement.
Section 6. This Council hereby finds that the financing of the Project will result in
significant public benefits to the citizens of the City pursuant to Section 6586 of the Government
Code.
Section 7. The adoption of this Resolution is solely for the purpose of meeting the
requirements of the Code and the Government Code and shall not be construed in any other
manner, the City nor its staff having fully reviewed or considered the financial feasibility of the
financing of the Project or the expected operation of the Project with regards to any State of
California statutory requirements, and such adoption shall not obligate, without further formal
action to be taken by this Council, (i) the City to provide financing to MAAC for the financing of
the acquisition, construction and development of the Project or to cause the delivery of the
Obligations for the purpose of such financing; or (ii) the City, or any department of the City, to
approve any application or request for, or take any other action in connection with the ownership
or operation of the Project.
Section 8. The City Clerk of the City shall forward a certified copy of this Resolution and a
copy of the affidavit of publication of the public heating notice to:
Stephen G. Melikian
Jones Hall, A Professional Law Corporation
650 California Street, 18th Floor
San Francisco, California 94108
Section 9. This Resolution shall take effect from and after the date of its passage and
adoption.
Resolution 2001-369
Page 3
Presented by Approved as to form by
Chris Salomone Jolu)M. Kaheh~ / ~
Community Development Director Oily Attorney ~ ~
PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista,
California, this 23rd day of October, 2001, by the following vote:
AYES: Councilmembers: Davis, Rindone, Salas and Horton
NAYS: Councilmembers: None
ABSENT: Councilmembers: Padilla
Shirley Horto~Mayor
ATTEST:
Susan Bigelow, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO )
CITY OF CHULA VISTA
I, Susan Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing
Resolution No. 2001-369 was duly passed, approved, and adopted by the City Council at a
regular meeting of the Chula Vista City Council held on the 23rd day of October, 2001.
Executed this 23rd day of October, 2001.
Susan Bigelow, City Clerk