1984-30 RESOLUTION NUMBER 84-30
A RESOLUTION OF THE CITY' COUNCIL OF THE CITY OF GRAND
TERRACE, CALIFORNIA OF INTENTION TO PROVIDE FOR THE
ISSUANCE OF MORTGAGE REVENUE BONDS TO PROVIDE FINANCING
FOR A MULTIFAMILY RENTAL HOUSING PROJECT DEVELOPMENT
WHEREAS, the City Council of the City of Grand
Terrace, California, determines and finds that a serious
shortage of adequate housing for persons and families of low
and moderate income exists within the City of Grand Terrace,
California ( the "City" ) , and the City desires to cause to be
provided decent, safe and sanitary housing for persons and
families of low and moderate income within the City; and
WHEREAS, the City is authorized by Chapter 7
(commencing with Section 52075) of Part 5 of Division 31 of the
California Health and Safety Code ( the "Act" ) to issue and sell
revenue bonds for the purpose of providing financing for the
construction of multifamily rental housing and for the
provision of capital improvements in connection with and
determined necessary to such multifamily rental housing
development, and to make, or undertake commitments to make,
construction and permanent loans to housing sponsors to finance
the development of multifamily rental housing projects; and
WHEREAS, Chaparral Pines, Ltd. , a California limited
partnership ( the "Developer" ) has requested the City to issue
and sell revenue bonds for the purpose of providing financing
for the acquisition and construction of a multifamily rental
housing development and appurtenant facilities located within
the City on Britton Way north of Barton Road and west of Mt .
Vernon Avenue, on a parcel of approximately 6. 9 acres and to be
known as "Chaparral Pines" (the "Project" ) ; and
WHEREAS, the City desires to induce the Developer to
construct the Project at said location within the City; and
WHEREAS, it is apparent that the development of the
Project will increase the number of residential units and
provide needed decent, safe and sanitary housing for persons
and families of low and moderate income in the City; and
WHEREAS, the financing of the Project through the
issuance of multifamily housing revenue bonds of the City will
provide for and promote the public health, safety, morals and
welfare and otherwise be in the public interest and for the
public benefit of the inhabitants of the City.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
THE CITY OF GRAND TERRACE, CALIFORNIA, AS FOLLOWS:
Section 1. Approval is hereby given to the
application of the Developer relating to the development,
construction and equipping of a multifamily rental housing
Project for persons and families of low and moderate income
thereon.
Section 2. The City intends and proposes to incur
indebtedness, by issuance of multifamily housing revenue bonds,
in an aggregate principal amount not to exceed $6, 000, 000 (the
"Bonds" ) for the purpose of providing construction and
permanent financing to the Developer for the Project.
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Section 3. To induce the Developer to develop, con-
struct and equip the Project, the City Council shall proceed to
cooperate with and take such action as may be necessary in the
drafting of documents and the performance of such other acts as
will facilitate the issuance of the Bonds by the City to
provide funds to be used toward the payment of the costs of
acquiring the property and the development, construction and
equipping of the Project.
Section 4. The Bonds will be payable solely from the
revenues to be received by the City pursuant to a loan
agreement or other financing agreement mutually acceptable to
the City and the Developer.
Section 5 . Any costs or expenses of the City incurred
in connection with the Bond issue shall be included in the
Project costs and reimbursed either from the proceeds of the
Bonds to be issued with respect thereto or from payments by
other parties to the financing.
Section 6. The Bonds shall be issued upon such terms
and conditions as may be mutually agreed upon by the City, the
Developer and the Purchaser of the Bonds, and shall be subject
to the completion of proceedings for issuance, sale and
delivery of the Bonds by the City.
Section 7 . The proceeds of the Bonds shall include
such related and necessary issuance expenses, administrative
costs, debt service reserves and interests payments as are
legally authorized and required to successfully accomplish the
financing.
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Section 8. The liability and obligation of the City
and its City Council shall be limited solely to the good faith
efforts to consummate such proceedings and issue the Bonds, and
neither the City nor its City Council, officers or agents,
shall incur any liability whatsoever if for any reason the
proposed issuance of the Bonds is not consummated.
Section 9 . It is intended that this Resolution shall
constitute "some other similar official action" toward the
issuance of indebtedness within the meaning of the Internal
Revenue Code of 1954, as amended.
Section 10. The Developer shall be responsible for
all costs in connection with the issuance of the Bonds,
including: printing of the Official Statement and the Bonds;
costs of ratings on the Bonds; bond and financial counsel
selected by the City; and all other costs incidental to the
financing.
Section 11. This resolution shall become effective
and be in full force and effect from and after its date of
adoption.
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ADOPTED this 13th day of September 1984.
ATTEST:
r= ` City_=G1/ rk of the City of rand Mayor o e ty o ran
Terlrac�l and of the City Council Terrace an f t City
thereof. Council ther f.
I, Myrna Erway, City Clerk of the City of Grand Terrace, do
hereby certify that the foregoing resolution was introduced and
adopted at a regular meeting of the City Council of the City of
Grand Terrace held on the 13th day of September 1984,
by the following vote:
AYES: Councilmembers Petta, Nix, Pfennighausen
NOES: Mayor Grant; Councilman Rigley
ABSENT: None
ABSTAIN: None - -
City rk
Approved as to form:
City Attorney
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