REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Oliver Chi, City Manager
PREPARED BY: Ursula Luna-Reynosa, Director of Community Development
Subject:
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Adopt Resolution No. 2021-76 approving the issuance of Tax-Exempt Bonds for the Huntington Beach Senior Housing Apartments located at 18431 Beach Blvd.
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Statement of Issue:
The City Council previously approved an Affordable Housing Agreement with Beach Housing Partners, LP (a partnership between Jamboree Housing Corporation - Beach, LLC (a subsidiary of Jamboree Housing Corporation) as Managing General Partner, USA Huntington Beach 687, Inc as Administrative General Partner and US Bancorp Community Development Corporation, Investor Limited Partner) for a 43-unit senior affordable housing project located at 18431 Beach Boulevard. Multiple sources of funding sources have been assembled to finance this development. The last layer of financing includes tax-exempt bonds in an aggregate principal amount not to exceed $20 million and requires City Council approval of the issuance, although the City will neither issue the bonds nor be responsible for their repayment. The federal Tax Equity and Fiscal Responsibility Act (TEFRA) requires that a public hearing be held in connection with the issuance of tax-exempt bonds, and that the local legislative body (the City Council) approve the issuance of the bonds for a development located in its jurisdiction.
Financial Impact:
City approval of the issuance of bonds by CMFA for this development has no financial or budgetary impact.
Recommended Action:
recommendation
A) Conduct the public hearing under the requirements of TEFRA and the Internal Revenue Code of 1986, as amended (the "Code"); and,
B) Adopt Resolution No. 2021-76, "Resolution of the City Council of the City of Huntington Beach Approving California Municipal Finance Authority Issuance of the Multifamily Housing Revenue Bonds in an Aggregate...
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