HomeMy WebLinkAboutCC RES 2019-21RESOLUTION NO. 2019-21
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM DESERT,
CALIFORNIA, APPROVING THE ISSUANCE BY THE CALIFORNIA
STATEWIDE COMMUNITIES DEVELOPMENT AUTHORITY OF MULTI-
FAMILY HOUSING REVENUE BONDS FOR THE SANDS APARTMENTS
CASE NO: PP/CUP/EA 16-394
WHEREAS, the City Council of the City of Palm Desert did on the 9th day of May
2019, held a duly noticed public hearing to consider the request by The Sands Apartments,
LP and New Cities Investment Partners, LLC, and
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 Palm Desert (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, The Sands Apartments, LP or a partnership of which New Cities
Investment Partners, LLC (the "Developer"), consisting at least of the Developer or a related
person to the Developer and one or more limited partners, has requested that the Authority
adopt a plan of financing providing for the issuance of multi -family 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 $90,000,000 in outstanding aggregate principal amount, to finance the acquisition,
construction and development of a 384-unit multi -family rental housing project located at 74-
351 Hovley Lane East, Palm Desert, California, (the "Project"); 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 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 (this "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
RESOLUTION NO. 2019- 21
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, THE CITY COUNCIL OF The CITY OF PALM DESERT,
CALIFORNIA, DOES HEREBY RESOLVE, DECLARE, DETERMINE, AND ORDER AS
FOLLOWS:
SECTION 1. The above recitals are true and correct and constitute the findings of
the City Council in this case.
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 constitutes approval of the bonds for the purposes of (a) Section 147(f) of the
Code and (b) Section 9 of the Agreement.
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. Neither the City nor its staff have fully reviewed or considered the
financial feasibility of such Project or the expected financing or operation of such Project
with regards to any State of California statutory requirements. The adoption of this
Resolution shall not obligate the City or any department thereof to (i) provide any financing
to acquire or construct the Project or any refinancing of the Project; (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, rehabilitation or operation of the Project;
(iii) make any contribution or advance any funds whatsoever to the Authority; of (iv) take
any further action with respect to the Authority or its membership therein.
SECTION 5. This resolution shall take effect immediately upon its passage.
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RESOLUTION NO. 2019- 21
PASSED, APPROVED, AND ADOPTED by the City Council of the City of Palm
Desert, California, at its regular meeting held on the 9th day of Mav 2019, by the following
vote, to wit:
AYES: HARNIK, JONATHAN, KELLY, NESTANDE, and WEBER
NOES: NONE
ABSENT: NONE
ABSTAIN: NONE
ATTEST:
RAC`HEY.LE D. KLASS, CITY CLER
CITY OF PALM DESERT, CALIFORNI
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SUSAN MARIE WEBER, MAYOR
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