Loading...
HomeMy WebLinkAbout2001-12-11 - AGENDA REPORTS - TEFRA PH SENIOR HOUSING PROJ (2)CITY OF SANTA CLARITA AGENDA REPORT PUBLIC HEARING City Manager Approval: l Item to be presented by: Frank Oviedo DATE: December 11, 2001 SUBJECT: TAX EQUITY AND FISCAL RESPONSIBILITY ACT (TEFRA) HEARING FOR THE CANYON COUNTRY SENIOR HOUSING PROJECT DEPARTMENT: Administrative Services RECOMMENDED ACTION Conduct the public hearing, and adopt a resolution, approving the issuance by the California Statewide Communities Development Authority (CSCDA) revenue bonds in one or more series in a maximum aggregate principal amount of $13,000,000 for the Canyon Country Senior Housing Project. BACKGROUND The developer of the Canyon Country Senior Housing project asked the CSCDA to act as issuer in connection with the issuance of tax exempt bonds. The developer intends to use the bond proceeds for financing costs associated with the development of senior housing. The project is a 200 -unit affordable housing development on a 5.84 -acre lot with 145 one -bedroom units and 55 two-bedroom apartments. The project will include recreation amenities for the residents. This request requires the City Council to hold a public hearing, take public testimony on the proposed project, and approve a resolution authorizing the issuance of bonds by CSCDA. There is no financial or legal obligation/liability to the City of Santa Clarita. The City holds these hearings as a courtesy to the issuer, since the project(s) reside within the City boundaries. The CSCDA is a Joint Powers Authority (JPA) established by the California State Association of Counties and the League of California Cities in 1987 to serve as a public conduit issuer of private entities, such as manufacturers, non-profit agencies, and low-income housing providers, all of which are eligible for tax-exempt financing. Currently, the JPA has over 240 participants, one of which is the City. CSCDA assumes the legal and administrative responsibility for financing, as an alternative to a City or County serving as the conduit issuer. A conduit issuer acts as a pass-through, which enables an agency to receive the tax-exempt status. This process is similar to the TEFRA hearings the City did for the YMCA in 1993, the Bouquet Canyon Seniors Housing project ©i -W7, Agenda Item: TEFRA HEARING FOR CANYON COUNTRY SENIOR HOUSING December 11, 2001 Page 2 in 1997, the Child and Family Center in 2000, Henry Mayo Newhall Memorial Hospital in November of 2000, and most recently the Master's College. In order for CSCDA to complete the financing, the City, as the local jurisdiction, has been requested to hold a Tax Equity and Fiscal Responsibility Act (TEFRA) hearing and adopt a Resolution of support. The Internal Revenue Code requires that a public hearing be held concerning the proposed financing. The required hearing must be preceded by a notice published at least 10 days in advance of the hearing. Notice of the proposed hearing was published in accordance with these requirements. ALTERNATIVE ACTIONS I. City Council may choose not to approve the issuance of bonds by CSCDA for the Canyon Country Senior Housing. 2. Other action as determined by Council. FISCAL IMPACT There is no financial or legal obligation/liability to the City. The developer of the Canyon Country Senior Housing project is responsible for all payments of the bonds. ATTACHMENT Resolution Approving Tax Exempt Bonds Notice of Public Hearing SS:FO:hds council\CCS.i.YTEFRA.doc CITY OF SANTA CLARITA NOTICE OF PUBLIC HEARING REGARDING THE CITY OF SANTA CLARITA HOLIDING A TEFRA HEARING ON BEHALF OF THE CANYON COUNTRY COMMUNITIES, LP ON THE ISSUANCE OF HOUSING REVENUE BONDS IN THE PRINCIPAL AMOUNT OF $13,000,000 PUBLIC NOTICE IS HEREBY GIVEN - The City Council of the City of Santa Clarita, at its regular meeting on December 11, 2001, will hold a public hearing and consider approval of the issuance by the California Statewide Communities Development Authority of multi -family housing revenue bonds, in the aggregate principal amount of approximately $13,000,000, the principal amount of which will be applied to the financing of the acquisition and construction of a 200 -unit multi -family residential rental senior facility, to be commonly known as the Canyon Country Senior Apartments (the 'Project"), located at 27200 Sierra Highway (North of Via Princessa) in the City of Santa Clarita, California. The owner of the Project will be Canyon Country Communities, LP. All those interested in matters related to the issuance of the revenue bonds are invited to attend and be heard at the meeting, which will commence at 7:00 p.m., and will be held in the City Council Chambers, located at 23920 Valencia Boulevard, Santa Clarita, California. If you have any questions regarding this matter, please call Michael LaPierre of the California Statewide Communities Development Authority, at (925) 933-9229. By: Sharon L. Dawson, CMC City Clerk Dated: 12/1/01 Sharon L. Dawson, CMC City Clerk Publish Date: 11/30/01