Resolution 2012-451
RESOLUTION NO. 2012-45
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
GILROY APPROVING THE ISSUANCE BY THE
CALIFORNIA STATEWIDE COMMUNITIES
DEVELOPMENT AUTHORITY OF MULTIFAMILY
HOUSING REVENUE BONDS FOR THE GILROY PARK
APARTMENTS
WHEREAS, the California Statewide Communities Development Authority (the
"Authority ") is authorized pursuant to the provisions of California Government Code Section 6500
et seq. and the terms of an Amended and Restated Joint Exercise of Powers Agreement, dated as of
June 1, 1988 (the "Agreement "), among certain local agencies throughout the State of California,
including the City of Gilroy (the "City "), to issue revenue bonds in accordance with Chapter 7 of
Part 5 of Division 31 of the California Health and Safety Code for the purpose of financing
multifamily rental housing projects; and
WHEREAS, Gilroy Park Investors, a California Limited Partnership or related entities,
has requested that the Authority adopt a plan of financing providing for the issuance of multifamily
housing revenue bonds (the "Bonds ") in one or more series issued from time to time, including
bonds issued to refund such revenue bonds in one or more series from time to time, and at no time
to exceed $12,000,000 in outstanding aggregate principal amount, to finance the acquisition and
rehabilitation of a 74 -unit multifamily rental housing project located at 260 Farrell Avenue,
Gilroy, California, generally known as Gilroy Park Apartments (the "Project ") and operated by
CBM Group, Inc.; and
WHEREAS, the Bonds or a portion thereof will be "private activity bonds" for purposes of
the Internal Revenue Code of 1986 (the "Code "); and
WHEREAS, pursuant to Section 147(f) of the Code, prior to their issuance, private activity
bonds are required to be approved by the "applicable elected representative" of the governmental
units on whose behalf such bonds are expected to be issued and by a governmental unit having
RESOLUTION NO. 2012-45
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jurisdiction over the entire area in which any facility financed by such bonds is to be located, after a
public hearing held following reasonable public notice; and
WHEREAS, the members of this City Council ( "City Council ") are the applicable elected
representatives of the City; and
WHEREAS, there has been published, at least 14 days prior to the date hereof, in a
newspaper of general circulation within the City, a notice that a public hearing regarding the Bonds
would be held on a date specified in such notice; and
WHEREAS, such public hearing was conducted on such date, at which time an opportunity
was provided to interested parties to present arguments both for and against the issuance of the
Bonds; and
WHEREAS, the Authority is also requesting that the City Council approve the issuance
of any refunding bonds hereafter issued by the Authority for the purpose of refinancing the
Bonds which financed the Project (the "Refunding Bonds "), but only in such cases where federal
tax laws would not require additional consideration or approval by the City Council; and
WHEREAS, it is intended that this resolution shall constitute the approval of the issuance
of the Bonds required by Section 147(f) of the Code and Section 9 of the Agreement;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF GILROY AS FOLLOWS:
Section 1. The above recitals are true and correct.
Section 2. The City Council hereby approves the issuance of the Bonds and the
Refunding Bonds by the Authority. It is the purpose and intent of the City Council that this
resolution constitute approval of the Bonds for the purposes of (a) Section 147(f) of the Code and
(b) Section 9 of the Agreement.
RESOLUTION NO. 2012-45
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Section 3. The officers of the City are hereby authorized and directed, jointly
and severally, to do any and all things and to execute and deliver any and all documents that they
deem necessary or advisable in order to carry out, give effect to and comply with the terms and
intent of this resolution and the financing approved hereby.
Section 4. The City Clerk shall forward a certified copy of this Resolution and a
copy of the affidavit of publication of the hearing notice to:
Justin Cooper, Esq.
Orrick, Herrington & Sutcliffe LLP
405 Howard Street
San Francisco, California 94105
Section 5. This resolution shall take effect immediately upon its passage.
PASSED AND ADOPTED by the City Council of the City of Gilroy at a regular meeting
of said Council held on the 5th day of November, 2012, by the following roll call vote:
AYES: COUNCILMEMBERS: ARELLANO, BRACCO, DILLON,
LEROE- MUNOZ, TUCKER, WOODWARD and PINHEIRO
NOES: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
ATTEST:/
Freels,
NONE
NONE
APPROVED:
r/
Pinheiro, Mayor
RESOLUTION NO. 2012-45
I, SHAWNA FREELS, City Clerk of the City of Gilroy, do hereby certify that the
attached Resolution No. 2012 -45 is an original resolution, or true and correct copy of a city
resolution, duly adopted by the Council of the City of Gilroy at a regular meeting of said Council
held on the 5ch day of November, 2012, at which meeting a quorum was present.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Official Seal of
the City of Gilroy this 6t` day of 1)lpvember, 2012.
ma Freels, MMC\\-,Z,/
Clerk of the City of Gilroy
(Seal)