REPORT TO THE CITY COUNCIL
November 9, 2017
FROM: MICHAEL LIMA, Finance Director/City Controller
Finance Department
BY: PHILLIP HARDCASTLE, Principal Accountant - Debt Administration
Finance Department
SUBJECT
Title
TEFRA HEARING - To hear and consider information concerning the proposed issuance of Revenue Bonds by Independent Cities Finance Authority for the purpose of refinancing bonds, financing improvements to Westlake Mobile Home Park, and the acquisition/renovation of Millbrook Mobile Home Park
1. ***RESOLUTION - Approving a tax-exempt bond financing to be issued by the Authority to benefit Millennium Housing of California in the aggregate principal amount not to exceed $24 million (Subject to Mayor's veto)
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 Bonds (Bonds) by the Independent Cities Finance Authority (Authority) on behalf of Millennium Housing of California (Applicant) in the aggregate principal amount not to exceed $24 million.
EXECUTIVE SUMMARY
The Applicant is seeking to obtain financing for the acquisition, renovation and refinancing of facilities of which over half will serve very-low to low-income households. The new tax exempt bonds will be issued by the Authority. As a jurisdiction in which the facilities are located, the Council must hold a public hearing in accordance with Section 147(f) of the Internal Revenue Code for the purpose of receiving any public testimony regarding the project before it considers authorizing the Authority to issue obligations for this purpose.
Should the City authorize the issuance of Bonds, the City would have no obligation or liability associated with this facility or with these obligations.
BACKGROUND
The City has received a request by the Applicant to hold a public hearing regard...
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