HomeMy WebLinkAboutItem 22 - Issuance of taxable bonds by CEDA for Robinson Pharma Community Development Agency
www.santa-ana.org/cd
Item # 22
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
November 4, 2025
TOPIC: Resolution Approving the Issuance of Taxable Bonds by California Enterprise
Development Authority (CEDA)
AGENDA TITLE
Resolution Approving the Issuance of Taxable Bonds by California Enterprise
Development Authority (CEDA) for the Purpose of Financing, Refinancing, and/or
Reimbursing the Cost of Manufacturing Facilities for the Benefit of Robinson Pharma,
Inc.
RECOMMENDED ACTION
Adopt a Resolution approving issuance of California Enterprise Development Authority
(CEDA) Bonds for the purpose of financing, refinancing, and/or reimbursing the cost of
manufacturing facilities for the benefit of Robinson Pharma, Inc. located at 3130 South
Fairview Street.
RESOLUTION NO. 2025-XXX entitled A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF SANTA ANA, APPROVING THE ISSUANCE OF NOT TO EXCEED
$40,000,000 TAXABLE REVENUE BONDS BY THE CALIFORNIA ENTERPRISE
DEVELOPMENT AUTHORITY FOR 3130 SOUTH FAIRVIEW STREET
GOVERNMENT CODE §84308 APPLIES: Yes
DISCUSSION
State laws provide the ability for cities and counties to join together under cooperative
agreements to form joint powers authorities (JPA) to issue tax-exempt and taxable
bonds to fund projects that provide a public benefit and serve the needs of residents
within the jurisdictions of the participating members. While individual cities and counties
in California may issue conduit revenue bonds directly, many choose to utilize JPAs to
achieve economies of scale, access specialized expertise and resources, and minimize
the use of local staff time on such transactions.
The California Enterprise Development Authority (CEDA) is a joint powers authority
established in 2006 to address gaps in economic development financing by issuing tax-
exempt and taxable conduit revenue bonds for industrial, commercial, and other public-
purpose projects. CEDA facilitates private activity bond issuance to support economic
and community development within its member jurisdictions. The City of Santa Ana is an
associate member of CEDA, which currently includes 285-member communities
statewide.
Issuance of taxable bonds by CEDA for Robinson Pharma
November 4, 2025
Page 2
5
4
1
5
The City of Santa Ana became a member of CEDA in 2015 by adopting City Council
Resolution No. 2015-002, authorizing the City to enter into the Joint Powers Agreement
that formed CEDA.
Through this membership:
The City is represented as one of CEDA’s member jurisdictions.
The City may request that CEDA issue bonds for qualifying projects located within
Santa Ana.
The City retains local control over whether to approve each financing that takes
place within its boundaries.
Membership does not create any financial or legal obligation for the City. CEDA’s bond
issuances are conduit financings, meaning the repayment responsibility lies solely with
the private borrower benefiting from the funds, not the City or CEDA’s members.
Project Description
3130 South Fairview LLC, a California limited liability company, and Robinson Pharma,
Inc., a California corporation, are requesting CEDA’s assistance in issuing taxable
bonds in an amount not to exceed $40,000,000 to finance, refinance, and/or reimburse
the costs associated with the manufacturing facilities located at 3130 South Fairview
Street, Santa Ana, California 92704 (the “Property”).
Headquartered in Santa Ana for more than 37 years, Robinson Pharma, Inc. is a
leading dietary supplement manufacturer with multiple state-of-the-art production and
warehouse facilities totaling over one million square feet. Employing more than 870
individuals locally, Robinson Pharma plays a key role in strengthening Santa Ana’s
manufacturing sector and enhancing the City’s reputation as a center for advanced
manufacturing and innovation.
Economically, Robinson Pharma contributes to Santa Ana through significant job
creation, capital investment, and ongoing tax revenue. The company’s continued
expansion has generated employment opportunities across production, logistics, and
administrative fields while supporting local contractors and suppliers. Overall, Robinson
Pharma serves as a key anchor business within Santa Ana’s industrial base, enhancing
economic stability and growth for the community. The acquisition of the Property will
enable Robinson Pharma, Inc. to expand its manufacturing operations within the City of
Santa Ana. Following its completion in June 2024 as a speculative construction “spec”
development, the building at 3130 South Fairview Street remained vacant until
Robinson Pharma expressed interest in expanding its local operations by occupying the
subject structure. If its occupancy is ultimately approved, Robinson Pharma would
become the new building’s first tenant, ending its 16-month vacancy.
Pursuant to Section 91530(f) of the California Industrial Development Financing Act
(Title 10 of the California Government Code) and the Joint Exercise of Powers Act
Issuance of taxable bonds by CEDA for Robinson Pharma
November 4, 2025
Page 3
5
4
1
5
(Chapter 5 of Division 7 of Title 1 of the Government Code, commencing with Section
6500), City Council approval is required for the issuance of the bonds.
Conduit revenue bonds are a specialized form of financing in which the borrower, rather
than the issuing agency such as CEDA, is solely responsible for repaying the debt. The
City has no financial obligation for the repayment of these bonds. In this case, the bonds
will be repaid entirely through payments made by the borrower under a loan or financing
agreement. The bonds will be purchased and held by a qualified institutional buyer.
It is important to note that the bonds do not represent a debt or financial obligation of
the Authority, the City of Santa Ana, or any other member agency. Neither the City’s
credit, taxing power, nor any public funds are pledged toward repayment of the bonds.
ENVIRONMENTAL IMPACT
Section 15061(b)(3) of the California Environmental Quality Act (CEQA) Guidelines
provides that CEQA only applies to projects, which have the potential for causing a
significant effect on the environment. Where it can be seen with certainty that there is
no possibility that the activity in question may have a significant effect on the
environment, the activity is not subject to CEQA. The activity at issue is the adoption of
a resolution approving the issuance of taxable revenue bonds by CEDA to finance,
refinance and/or reimburse the cost of manufacturing facilities for the benefit of
Robinson Pharma, Inc. The manufacturing facilities consist of recently constructed
82,000 square foot industrial building, that includes 10,000 square-feet of office space.
The adoption of the resolution is solely for the purpose of satisfying the requirements of
CEDA to issue $40,000,000 in taxable revenue bonds for 3130 South Fairview Street.
The City Council’s action does not involve the approval of any physical development or
activity that would have the potential for causing a significant effect on the environment.
Therefore, the proposed action does not constitute approval of a project under CEQA
and is not subject to CEQA.
FISCAL IMPACT
There is no fiscal impact associated with this action.
EXHIBIT(S)
1. Resolution approving issuance of California Enterprise Development Authority
(CEDA) Bonds
Submitted By: Michael L. Garcia, Executive Director - Community Development Agency
Approved By: Alvaro Nuñez, City Manager
Resolution No. 2025-XXX
Page 1 of 3
EXHIBIT 1
RESOLUTION NO. 2025-XXX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA,
APPROVING THE ISSUANCE OF NOT TO EXCEED $40,000,000
TAXABLE REVENUE BONDS BY THE CALIFORNIA ENTERPRISE
DEVELOPMENT AUTHORITY FOR 3130 SOUTH FAIRVIEW STREET
WHEREAS, 3130 South Fairview LLC, a California limited liability company
(“Fairview”), and Robinson Pharma, Inc., a California corporation (“Robinson” and,
together with Fairview, the “Applicants”), have requested the California Enterprise
Development Authority (the “Authority”) to issue, from time to time, pursuant to a plan of
finance, of one or more series of its taxable bonds, notes, or other evidence of
indebtedness in an amount not to exceed $40,000,000 (the “Bonds”), the proceeds of
which are to be loaned to one or both of the Applicants and/or related or successor entities
(collectively, the “Borrowers”) for the purpose of (a) financing, refinancing and/or
reimbursing the cost of the acquisition, improvement and equipping of the real property
and improvements located at 3130 South Fairview Street, Santa Ana, California 92704;
and (b) paying certain financing costs and costs of issuance in connection with the
Bonds (collectively, the “Project”); and
WHEREAS, pursuant to Section 91530(f) of the California Industrial Development
Financing Act (constituting Title 10 of the California Government Code) (the “Government
Code”), the issuance of the Bonds by the Authority must be approved by the local agency
having jurisdiction over the area in which all or a portion of the Project is located; and
WHEREAS, the Project is located within the territorial limits of the City of Santa
Ana (the “City”); and
WHEREAS, the Authority and the Borrowers have requested that the City
Council approve the issuance of the Bonds by the Authority in order to satisfy the
requirements of Section 91530(f) of the Government Code; and
WHEREAS, it is in the public interest and for the public benefit that the City Council
approve the issuance of the Bonds by the Authority for the aforesaid purposes.
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Santa
Ana as follows:
Section 1. On information and belief, the foregoing recitals are true and correct.
Section 2. The City Council hereby approves the issuance of the Bonds by the
Authority for the purpose of financing, refinancing and/or reimbursing the cost of the
Project. It is the purpose and intent of the City Council that this resolution constitute
approval of the issuance of the Bonds by the Authority for the purposes of
Section 91530(f) of the Government Code.
Resolution No. 2025-XXX
Page 2 of 3
Section 3. The issuance of the Bonds shall be subject to the approval of the
Authority of all financing documents relating thereto to which the Authority is a party.
Neither the City, official, officer nor any department thereof shall have any responsibili ty
or liability whatsoever with respect to the Bonds or the Project.
Section 4. The adoption of this Resolution shall not obligate the City, official,
officer, or any department thereof to (i) provide any financing with respect to the Project;
(ii)approve any application or request for or take any other action in connection with any
planning approval, permit or other action necessary with respect to the Project; (iii) make
any contribution or advance any funds whatsoever to the Authority or the Borrowers; or
(iv)take any further action with respect to the Authority or its membership therein.
Section 5. The City Manager and applicable Executive Directors of the City are
hereby authorized and directed, jointly and severally, to do any and all things and to
execute and deliver any and all documents which they deem necessary or advisable in
order to carry out, give effect to and comply with the terms and intent of this resolution
and the financing transaction approved hereby.
Section 6. This resolution shall take effect immediately upon its adoption.
Resolution No. 2025-XXX
Page 3 of 3
ADOPTED on this 4th day of November, 2025.
Valerie Amezcua
Mayor
APPROVED AS TO FORM:
Sonia R. Carvalho, City Attorney
By:
Andrea Garcia-Miller
Senior Assistant City Attorney
AYES: Councilmembers
NOES: Councilmembers
ABSTAIN: Councilmembers
NOT PRESENT: Councilmembers
CERTIFICATE OF ATTESTATION AND ORIGINALITY
I, JENNIFER L. HALL, City Clerk, do hereby attest to and certify the attached Resolution
No. 2025-XXX to be the original resolution adopted by the City Council of the City of Santa Ana
on .
Date:
City Clerk
City of Santa Ana