2019-013 - Approving the Issuance of Tax Exempt Obligations

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RESOLUTION NO. 2019-013 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA APPROVING THE ISSUANCE OF TAX- EXEMPT OBLIGATIONS BY THE CALIFORNIA ENTERPRISE DEVELOPMENT AUTHORITY IN AN AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED $1,500,000 TO FINANCE FACILITIES FOR THE BENEFIT OF THE ORANGEWOOD FOUNDATION WHEREAS, the Orangewood Foundation, a California nonprofit public benefit corporation (the 'Borrower"), has requested that the California Enterprise Development Authority, a joint exercise of powers agency established pursuant to the laws of the State of California (the "Authority'), issue its tax-exempt obligations, from time to time pursuant to a plan of finance (the "Obligations"), in an aggregate principal amount not expected to exceed $1,500,000, for the benefit of the Borrower, pursuant to Chapter 5 of Division 7 of Title 1 of the Government Code of the State (commencing with Section 6500) (the "Act'), for the purpose of making one or more loans to the Borrower to finance the cost of acquiring, constructing, installing, improving, equipping and furnishing the real property and improvements located at 1575 and 1615 E. 17th Street, Santa Ana, California (collectively, the "Facilities"); and WHEREAS, a portion of the proceeds of the Obligations will be used to pay the costs of issuance in connection with such financing and other related costs; and WHEREAS, the Borrower is an organization described in Section 501(c)(3) of the Internal Revenue Code of 1986 (the "Code") and will own and operate the Facilities in connection with its mission of preparing foster and community youth to reach their greatest potential; and WHEREAS, the issuance of the Obligations must be approved by the governmental unit on behalf of which the Obligations are issued and a governmental unit having jurisdiction over the territorial limits in which the Facilities are located pursuant to the public approval requirement of Section 147(f) of the Code; and WHEREAS, the Facilities are located within the territorial limits of the City of Santa Ana (the "City"), and the City Council of the City (the "City Council") is the elected legislative body of the City and is the "applicable elected representative" required to approve the issuance of the Obligations under Section 147(f) of the Code; and WHEREAS, the issuance of the Obligations shall be subject to the approval of and execution by the Authority of all financing documents relating thereto to which the Authority is a party; and WHEREAS, the Authority and the Borrower have requested the City Council to approve the issuance of the Obligations in order to satisfy the public approval requirements of Section 147(f) of the Code; and Resolution No. 2019-013 Page 1 of 3