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HomeMy WebLinkAboutRES NO 028-2021RESOLUTION NO. 02 2 21 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BAKERSFIELD APPROVING THE ISSUANCE BY THE HOUSING AUTHORITY OF THE COUNTY OF KERN OF MULTIFAMILY HOUSING REVENUE BONDS (NOT TO EXCEED $4 MILLION) FOR THE PURPOSE OF FINANCING THE CONSTRUCTION OF AFFORDABLE RENTAL HOUSING AT 811 22nd STREET (22ND STREET LOFTS), AND CERTAIN OTHER MATTERS RELATING THERETO. WHEREAS, the Housing Authority of the County of Kern (the "Housing Authority") is authorized pursuant to the provisions of Chapter 1 of Part 2 of Division 24 of the California Health and Safety Code to issue revenue bonds for the purpose of financing rental housing projects; and WHEREAS, the Housing Authority proposes to issue, as part of a plan of finance, its rental housing revenue bonds in one or more series in an aggregate principal amount not to exceed $4,000,000 (the "Housing Authority Bonds") for the purpose of financing the construction of approximately 20 units of affordable senior multi -family rental housing known as 22nd Street Lofts, located at 811 22nd Street within the City of Bakersfield, California (the "Project"); and WHEREAS, proceeds of the Housing Authority Bonds are expected by the Housing Authority to be used to make a loan to a 22nd Street Lofts limited partnership, the initial owner of the Project, of which Golden Empire Affordable Housing, Inc. will be the Managing General Partner, to finance the Project; and WHEREAS, the Housing Authority Bonds will be qualified "private activity bonds" for purposes of the Internal Revenue Code of 1986, as amended (the "Code"); and WHEREAS, pursuant to Section 147(f) of the Code, the proposed issuance of private activity bonds is required to be approved by the "applicable elected representative" of the governmental unit having jurisdiction over the area in which the facility financed by such bonds is to be located, after a public hearing held following reasonable public notice (collectively, the "TEFRA Actions"); and WHEREAS, the Project is located in the City of Bakersfield (the "City") and the members of the City Council (this "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 proposed issuance of the Housing Authority Bonds would be held on the date hereof; and o�o-AKF9s y � � m r U O Page 1 of 4 Pages ORIGINAL WHEREAS, such public hearing was conducted on March 3, 2021 by this City Council, at which time an opportunity was provided to interested parties to be heard with respect to the proposed issuance of the Housing Authority Bonds and financing of the Project; and WHEREAS, the City shall not have any liability for the repayment of the Housing Authority Bonds or any responsibility for the Project; and WHEREAS, it is intended that this Resolution shall constitute the approval of the proposed issuance of the Housing Authority Bonds required by Section 147(f) of the Code. NOW, THEREFORE, BE IT RESOLVED by the City Council of the. City of Bakersfield as follows: 1. The City Council finds and declares that the foregoing recitals are true and correct and are incorporated herein by reference. 2. Approval of the Issuance of Authority Bonds. The City Council hereby approves the issuance of the Housing Authority Bonds by the Housing Authority for the purposes of financing the Project. It is the purpose and intent of this City Council that this Resolution constitutes approval of the Housing Authority Bonds for the purposes of Section 147(f) of the Code by the applicable elected representative of the governmental unit having jurisdiction over the area in which the Project is located, in accordance with such Section 147(f). 3. No City Liability for Authority Bonds. The issuance of the Housing Authority Bonds shall be subject to the approval by the Housing Authority of all financing documents relating thereto to which the Housing Authority is a party. The City shall have no responsibility or liability whatsoever with respect to the Housing Authority Bonds. 4. No City Responsibility for Project. The adoption of this Resolution shall not obligate the City or any department thereof to: Provide any financing to construct the Project or any refinancing of the Project, as a result of the TEFRA Actions; ii. Approve any application or request for or take any other action in connection with any planning approval, permit, or other action necessary for the acquisition, construction, or operation of the Project; Make any contribution or advance any funds whatsoever to the Housing Authority; or o�IPA r- m U r Page 2 of 4 Pages ORIGINAL iv. Take any further action with respect to the Housing Authority, its issuance of the Housing Authority Bonds, or its acquisition, construction, or operation of the Project. 5. City Manager Authorization. The City Manager of the City and his designees are hereby authorized and directed to do any and all things and to execute and deliver any and all documents that they deem necessary or advisable to carry out, give effect to, and comply with the terms and intent of this Resolution and the financing transaction approved hereby. 6. City Clerk Action.'The City Clerk shall attest and certify to the passage and adoption of this Resolution and it shall become effective immediately upon its approval. 7. Effective Date. This Resolution shall take effect immediately upon its passage. Page 3 of 4 Pages � ro KFS o �. m r U p ORIGINAL HEREBY CERTIFY that the foregoing Resolution was passed and adopted by the Council of the City of Bakersfield at a regular meeting thereof held on .MAR 0 31021 by the following vote: ✓ ,/ ✓ ✓ ✓ ✓ ✓ YES: COUNCILMEMBER AftnS,G�QSi��'`r�s'�" NOES: COUNCIL MEMBER (-4w`4- ABSTAIN: COUNCIL MEMBER ABSENT: COUNCIL MEMBER J LIE DRIMAKIS, CMC CITY CLERK and Ex Officio Clerk of the Council of the City of Bakersfield APPROVED LIAR 0 3 2021 O KAREN GOH MAYOR of the City of Bakersfield APPROVED as to form: VIRGINIA GENNARO City Attorney B4HUeputy ��L �— A H. RUDNICK City Attorney JHR:dII S:\C0UNCIL\Resos\19-20\22nd St Lott-TEFRA.do= Page 4 of 4 Pages ORIGINAL