HomeMy WebLinkAboutReso 1998-18889 RESOLUTION NO. 18889
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA
VISTA REGARDING ITS INTENTION TO ISSUE TAX EXEMPT
OBLIGATIONS WITH RESPECT TO PROPOSED MULTI-FAMILY
HOUSING PROJECT LOCATED ON APPROXIMATELY 16 ACRES
AT EAST PALOMAR STREET AND LA MEDIA ROAD IN CHULA
VISTA
WHEREAS, the City of Chula Vista (the "lssuer") desires to assist Gateway Town
Center, L.P. a California Limited Partnership (the "Applicant"), in financing the costs of
acquiring certain facilities and improvements, as provided in Exhibit A attached hereto and
incorporated herein (the "Project"); and
WHEREAS, the Issuer intends to assist in the financing of the acquisition of the Project
or portions of the Project with the proceeds of the sale of obligations the interest upon which
is excluded from gross income for federal income tax purposes (the "Obligations"), which
Obligations are expected to be issued pursuant to Chapter 7 of Part 5 of Division 31 of the
Health and Safety Code of the State of California; provided, however, that this Resolution
shall not authorize the issuance of the Obligations and provided further that neither the faith
and credit nor the taxing power of the Issuer shall be pledged to repay such Obligations if, and
when, authorized; and
WHEREAS, prior to the issuance of the Obligations the Applicant desires to incur
certain expenditures with respect to the Project from its own available monies which
expenditures are desired to be reimbursed from a portion of the proceeds of the sale of the
Obligations if, and when, issued; and
NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista does
hereby order and determine as follows:
SECTION 1 This City Council has received an Application for the financing of the
Project on behalf of the Applicant (the "Application"). The applicant will incur costs with
respect to the Project prior to the issuance of the Obligations. The Issuer hereby states its
intention and reasonably expects to reimburse the Applicant for such costs with proceeds of
the Obligations; provided, however, that nothing herein obligates the Issuer to issue the Bonds
or provides the Applicant with any legal right to compel the issuance of the Bonds, which
decision remains in the final discretion of the City. Exhibit A describes the general character,
type, purpose, and function of the Project.
SECTION 2 The reasonably expected maximum principal amount of the Obligations
is $45,000,000.
SECTION 3 This resolution is consistent with the budgetary and financial
circumstances of the Issuer, as of the date hereof. No monies from sources other than the
Obligation issue are, or are reasonably expected to be reserved, allocated on a long-term
basis, or otherwise set aside by the Issuer (or any related party) pursuant to their budget or
financial policies with respect to the Project costs. This City Council is not aware of any
previous adoption of official intents by the Issuer that have been made as matter of course
for the purpose of reimbursing expenditures relating to this Project and for which tax exempt
Resolution 18889
Page 2
obligations have not been issued.
SECTION 4 This resolution is adopted as official action of the Issuer in order to comply
with Treasury Regulation § 1.103-8(a)(5) and Treasury Regulation § 1.150-2 and any other
regulations of the Internal Revenue Service relating to the qualification for reimbursement of
Issuer expenditures incurred prior to the date of issue of the Obligations, is part of the Issuer's
official proceedings, and will be available for inspection by the general public at the main
administrative office of the Issuer.
SECTION 5 All the recitals in this Resolution are true and correct.
Presented by Approved as to form by
Chris Salomone Jgh~ M. Kaheny ~
Community Development Director City Attorney
Resolution 18889
Page 3
EXHIBIT A
DESCRIPTION QF PROJECT
A proposed multi-family rental housing project of a~roximatelv 450 to 500 units to
be known as "Gateway Town Center" and to be located on approximately 15.6 acres on the
southwest corner of East Palomar Street and La Media Road.
Resolution 18889
Page 4
PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista,
California, this 10th day of February, 1998, by the following vote:
AYES: Councilmembers:
NAYES: Councilmembers:
ABSENT: Councilmembers:
ABSTAIN: Councilmembers:
S~n, MayoJY~r
ATTEST:
~Autl~elet, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO )
CITY OF CHULA VISTA )
I, Beverly A. Authelet, City Clerk of the City of Chula Vista, California, do hereby certify that
the foregoing Resolution No. 18889 was duly passed, approved, and adopted by the City
Council at a regular meeting of the Chula Vista City Council held on the 10th day of February,
1998.
Executed this 10th day of February, 1998.
Beverly A.~utheiet, City Clerk
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