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RESOLUTION NO. 88-62
A RESOLUTION APPROVING THE ISSUANCE OF BONDS
FOR THE PURPOSE OF PROVIDING FINANCING FOR
CERTAIN RESEARCH AND DEVELOPMENT FACILITIES AND
DESIGNATING PRIVATE ACTMTY BOND LIMIT
TO THE BONDS
RESOLVED, by the City Council of the City of Santa Aha, California, as follows:
WHEREAS, the Industrial Development Authority of the City of Santa Ana (the
'Authority') proposes the issuance of Industrial Development Bonds, series A (the
'Bonds~) for the purpose of providing financing for certain research and development
facilities;
WHEREAS, section 147(fl of the Internal Revenue Code of 1986, as amended (the
'Code~) requires the City Council of the City of Santa Ana, as the duly elected
representative of the Authority, to approve the issuance of the Bonds after a public
hearing following reasonable notice;
WHEREAS, the City Council has, on the date hereof, held a public hearing
following duly published notice thereof, and all persons desiring to be heard have been
heard;
WHEREAS, section 146 of the Code imposes a volume limitation upon the
issuance of obligations such as the Bonds and and permits the State of California to
establish a formula for allocation of the vol,,rne limitation and the State of California has,
pursuant to Section 8869.80 et seq. of the Government Code of the State of California
(the 'Act"), determined a formula for allocation of the volume limitation for the State of
California;
WHEREAS, Section 8869.86Co) of the Act requires that the issuer of bonds which
are subject to the Act shall, in the bond resolution or other similar action giving approval
for the issuance of such bonds, specifically designate to the bond issue a portion of the
Private Activity Bond Limit available or expected to be available to the Issuer;
WHEREAS, the Authority is the proposed issuer of the Bonds, this resolution
constitutes the City's action giving approval for the Authority to issue the Bonds;
WHEREAS, the City has made application for a portion of the Private Activity
Bond Limit for the Bonds, and, subject to certain limited conditions, a portion of the
Private Activity Bond Limit has been made available to the City for the Bonds (the
'Allocation");
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WHEI~EAS, the Act prohibits any Allocation made to a local agency pursuant to
Section 8869.85 of the Adt from being transferred by the initial recipient thereof to any
other local agency unless authority is expressly permitted for such a transfer and the
Allocation permits such a transfer by the City to the Authority;
WHEREAS, the City desires to transfer its Allocation to the Authority and the
Authority desires to accept such transfer; and
WHEREAS, it is in the public interest and for the public benefit that the City
Council approves the issuance of the Bends by the Authority, transfers the Allocation to
the Authority and designates to the Bonds a portion of the Private Activity Bond Limit
expected to be available to the City;
NOW, THEREFORE, it is hereby DETERMINED and ORDERED as follows:
1. The issuance of the Bonds in the maximum aggregate face amount of
$6,500,000 is hereby approved for the purpose of providing financing for a research and
development facility, to be located at the Yale Center, 2229 Yale Street, in the City of
Santa Ana, the initial owner and operator of which facility will be Newport Electronics,
Inc.
2. The City hereby specifically designates to the Bonds the portion of the Private
Activity Bond Limit available or expect to be available to the City, which designation
shall be irrevocable upon the issuance of the Bonds to the extent of the amount thereof.
3. The City pursuant to Section 8869.85(d) of the Act and the Allocation hereby
transfers $6,500,000 in bond allocation to the Authority for the Project, which transfer
shall be irrevocable upon the issuance of the Bonds to the extent of the amount thereof.
4. This Resolution shall take effect immediately upon its passage.
I, the undersigned City Clerk of the City of Santa Aha, hereby certify that the
foregoing is a full, true and correct copy of Resolution 88~62~ ~ duly adopted by the City
Council of the City at a meeting thereof on the 15th day of Augnst, 1988, by the following
vote of the members thereof:
AYES, and in favor thereof.' Councilmembers: Acosta, Griset, Hart, May, McGuigan,
Pul ido, Young
NOES: Councilmembers: None
ABSENT: Councilmembers: None
_./~TO FORM
COOPER
CI~I~ORNEY
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