HomeMy WebLinkAboutResolution - 1618 i
1 RESOLUTION NO. 1618
o A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF SAN JACINTO, CALIFORNIA, INDICATING
3 ITS INTENT TO PROVIDE FINANCING IN CONNECTION
WITH THE MULTI-FAMILY HOUSING PROJECT PROPOSED
.1 BY Degen Development Company
J WHEREAS, the City Council of the City of San Jacinto is authorized our-
5 suant to Chapter l (commencing with Section 52075 of Part 5 of Division 31 of
the Health and Safety Code the "Act"), to provide financial assistance for
multi-family residential developments within the City; and
4 'rIHEREAS, Degen D..vel o p. Company has requested financial assistance in con-
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10 nection with the construction of a multi-family rental housing project pro-
11 posed to be located in the vicinity of Esplanade Avenue and Santa Fe
12 Avenue in the City of'San Jacinto (hereinafter the "Project";; and
13 WHEREAS, the City, as an inducement to Degen Develp. Company , is willing
14 to authorize the issuance of obligations in an amount sufficient to provide
lE� financing for the Project subject to the restrictions of the Act and all ap-
16 piicable State arid Federal laws as they presently exist, providing that the
17 Project receives all necessary governmental approvals.
is NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of San
19 'Jacinto as follows:
20 Section 1 . The City Council hereby determines that the undertaking of
21 the financing of the proposed Project by the City will be a substantial facto
22 in the accrual of public benefits to be received from the Project, should the
23 Project be approved and constructed, and that the proposed financing is in ac
21 cord with the purposes arid requirements of the Act.
girl Section 2. Subject to the completion of the proceedings and other 111at-
21i ters relating thereto, to the full satisfaction of the City Council , and sub
27 ject to the proposed Project receiving all necessary governmental approvals,
29 the City Council hereby agrees to provide financial assistance to the Compan
—) or such other person or entity approved by the City, through the issuance of
30 obligations in an amount of approximately 510,000,000 or such higher amour
31 as is necessary to finance the Project.
32 ` Section 3. The obligations to be issued shall be a special obligation
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I of the City payable solely from revenues to be received by the City pursuant
2 to a loan or other financing agreement in a 'Tonm acceptable to the city and
3 Degen Development Co. and shall not be a general obligation of the City, State
4 or any political subdivision of the State'.
5 Section 4. The .Mayor is hereby directed to indicate the willingness on
0 the part of the City to proceed with and effect such financing and to advise
7 the Corporation that subject to compliance with all requirements of law and
g the obtaining of all necessary consents and approvals and to the happening of
t all acts and conditions, the City will take all necessary action to issue ob-
I ligations in the amount hereinabove provided to pay the cost of the Project.
41 Section 5. The City is hereby authorized to commence the Project. It
12 is intended that this Resolution shall constitute "some other similar of-
13 ficial action" toward the issuance of indebtedness within the meaning of the
14 Internal Revenue Code of 1954, as amended.
15 Section 6. The adoption of this Resolution shall not bind the City to
1(i issue bonds until and unless all other necessary actions and approvals are
17 taken or received in accordance with all applicable laws. The adoption of
IS this Resolution does not and shall not limit in any manner whatever, the Cit
19 full discretion to deny any further permit or approval that may be necessar;
20 for ultimate completion of the proposed Project.
21 Section 1. Subject to any arbitrage restrictions in the Internal Rove
22 Code of 1954, the City shall be paid ane-fourth (1j4) of one (1) percent of
23 the first $500,Ou0.0u and $500 per million of issued bonds to reimburse
21 for its administrative costs incurred at issuance.
25 Section G. This resolution shall take effect inairediately upon
26 MOVED, PA55E0 and ADOPTED this 16th day of July 1935 by the following
27 AYESt Councilmen Visser, Divine, Rose, Stevens and Stuart
28 NOES: None
21) ABSENT: None
30 ATTEST: �
De ty City Clerk
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I CERTIFICATE
2 The foregoing is certified to be a true 'copy of Resolution No. 1618
3 duly adopted by the said City Council of the City of San Jacinto on the date 'I
4 therein set forth. I
ri `
Deputy Ci y 'ler
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