REPORT TO THE CITY COUNCIL
April 30, 2015
FROM: MICHAEL LIMA, Finance Director/City Controller
Finance Department
BY: KAREN M. BRADLEY, Assistant Finance Director/City Controller
Finance Department
SUBJECT
Title
TEFRA HEARING - To hear and consider information concerning the proposed issuance of revenue refunding bonds by California Statewide Communities Development Authority ("CSCDA") for the purpose of refinancing continuing care facilities including a facility owned and operated by American Baptist Homes of The West, commonly known as San Joaquin Gardens
1. ***RESOLUTION - Approving a tax-exempt bond financing to be issued by CSCDA to benefit the Terraces at San Joaquin Gardens in the aggregate principal amount not to exceed $70 million
Body
RECOMMENDATION
Staff recommends that the Council first hold a Tax Equity and Financial Responsibility Act ("TEFRA") public hearing and then, upon conclusion, adopt the accompanying Resolution approving the issuance of the Revenue Refunding Bonds by the CSCDA on behalf of American Baptist Homes of the West (the "Applicant") in the aggregate principal amount not to exceed $70 million.
EXECUTIVE SUMMARY
The Applicant is seeking to obtain financing to refund certain of its existing bonds that funded the construction, remodeling, and renovation and equipping of its continuing care facilities located in Fresno, and other California cities. The new tax exempt obligations will be issued by CSCDA. As an associate member of CSCDA and a jurisdiction in which some of the facilities are located, the Council must hold a public hearing under the provisions of the TEFRA within the Internal Revenue Code to receive any public testimony regarding the project before it considers authorizing CSCDA to issue bonds for this purpose. Other jurisdictions in which facilities are located will be required to do the same.
Should the City authorize the issuance of bonds, the City would...
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