Loading...
HomeMy WebLinkAbout19-59 - TEFRA Hearing - OCMARESOLUTION NO. 19-59 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COSTA MESA, CALIFORNIA, APPROVING THE ISSUANCE BY CALIFORNIA ENTERPRISE DEVELOPMENT AUTHORITY OF NOT TO EXCEED $75,000,000 AGGREGATE PRINCIPAL AMOUNT OF THE AUTHORITY'S REVENUE OBLIGATIONS FOR THE BENEFIT OF ORANGE COUNTY MUSEUM OF ART FOR THE PURPOSE OF FINANCING THE COST OF ACQUISITION, CONSTRUCTION, DEVELOPMENT, INSTALLATION, EQUIPPING AND FURNISHING OF CULTURAL, RECREATIONAL AND EDUCATIONAL FACILITIES AND OTHER MATTERS RELATING THERETO HEREIN SPECIFIED THE CITY COUNCIL OF THE CITY OF COSTA MESA DOES HEREBY RESOLVE AS FOLLOWS: WHEREAS, Orange County Museum of Art, a California nonprofit public benefit corporation, and/or a related or successor entity (the "Borrower") has requested that the California Enterprise Development Authority (the "Authority") issue tax-exempt and/or taxable revenue obligations in an amount not to exceed $75,000,000 (the "Obligations"), for and on behalf of the Borrower, pursuant to the provisions of Chapter 5 of Division 7 of Title 1 of the Government Code of the State (commencing with Section 6500) (the "Act"), to (a) finance the cost of acquisition, construction, development, installation, equipping and furnishing of the real property and improvements located at 655 Town Center Drive (also known as 3333 Avenue of the Arts), Costa Mesa, California, consisting of an art museum and related and ancillary facilities encompassing approximately 53,875 square feet (collectively, the "Facilities"), and (b) pay certain financing costs and cost of issuance in connection with such financing; and WHEREAS, the Borrower owns and operates the Facilities as an art museum, for the purpose of furthering the Borrower's mission of enriching the lives of a diverse and changing community through modern and contemporary art; and WHEREAS, the City of Costa Mesa (the "City") is an Associate Member of the Authority and is eligible to participate in the Authority's financing programs; 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 Facilities are located within the territorial limits of City; and WHEREAS, the interest on the Obligations may qualify for tax exemption under Section 103 of the Internal Revenue Code of 1986, as amended (the "Code") only if the Obligations are approved in accordance with Section 147(f) of the Code; and WHEREAS, 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 issue within the meaning of Section 147(f) of the Code; and Resolution No. 19-59 Page 1 of 4 WHEREAS, the Borrower and the Authority 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 WHEREAS, it is intended that this Resolution shall comply with the public approval requirements of Section 147(f) of the Code; provided, however, that this Resolution is neither intended to nor shall it constitute an approval by the City Council of the Facilities for any other purpose; and WHEREAS, a public hearing was held by the City Council on this 3rd day of September, 2019, at the meeting which commenced at the hour of 6:00 p.m., in the Council Chambers of the City of Costa Mesa, 77 Fair Drive, Costa Mesa, California 92626, following a duly published notice thereof in a newspaper of general circulation in the City of Costa Mesa, on August 23, 2019, and all persons desiring to be heard have been heard; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COSTA MESA, CALIFORNIA, as follows: Section 1. The City Council hereby finds and determines that all of the recitals are true and correct. Section 2. The City Council hereby approves the issuance of the Obligations by the Authority, from time to time, pursuant to a plan of finance, which Obligations may be tax-exempt and/or taxable as approved by the Authority in its resolution, in an amount not to exceed $75,000,000 to finance and refinance the costs of the Facilities. This resolution shall constitute "host" approval of the issuance of the Obligations within the meaning of Section 147(f) of the Code and shall constitute the approval of the issuance of the Obligations within the meaning of the Act; provided, however, that this Resolution shall not constitute an approval by the City Council of the Facilities for any other purpose. The City shall not bear any responsibility for the tax-exempt status of the interest on the Obligations, the payment of the principal of or interest on the Obligations or any other matter related to the Obligations. The City does not have any responsibility for the debt and is not pledging any assets as security for the debt. Section 3. All actions heretofore taken by the officers, employees and agents of the City with respect to the approval of the Obligations are hereby approved, confirmed and ratified, and the officers and employees of the City and their authorized deputies and agents are hereby authorized and directed, jointly and severally, to execute and deliver any and all certificates and documents which they or bond counsel may deem necessary or advisable in order to consummate the Obligations and otherwise to effectuate the purposes of this Resolution. Section 4. The adoption of this Resolution shall not obligate the City or any department thereof to (i) provide any financing for the Facilities; (ii) approve any application or request for or take any other action in connection with any planning approval, permit or Resolution No. 19-59 Page 2 of 4 other action necessary for the acquisition, construction, rehabilitation or operation of the Facilities; or (iii) make any contribution or advance any funds whatsoever to the Authority. Section 5. This Resolution shall take effect from and after its adoption. Section 6. The City Clerk of the City of Costa Mesa shall certify the adoption of this resolution, and thenceforth and thereafter the same shall be in full force and effect. PASSED AND ADOPTED this Wd�day of September, 2019. Mayor ATTEST: 1� �- 11a2gjL Brenda Green, City Clerk Resolution No. 19-59 Page 3 of 4 STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss CITY OF COSTA MESA ) I, BRENDA GREEN, City Clerk of the City of Costa Mesa, DO HEREBY CERTIFY that the above and foregoing is the original of Resolution No. 19-59 and was duly passed and adopted by the City Council of the City of Costa Mesa at a regular meeting held on the 3rd day of September, 2019, by the following roll call vote, to wit: AYES: COUNCIL MEMBERS: CHAVEZ, GENTS, REYNOLDS, MANSOOR, MARR, STEPHENS, FOLEY NOES: COUNCIL MEMBERS: NONE ABSENT: COUNCIL MEMBERS: NONE IN WITNESS WHEREOF, I have hereby set my hand and affixed the seal of the City of Costa Mesa this 4th day of September, 2019. 112 - �-- - U4� . Brenda Green, ity Clerk Resolution No. 19-59 Page 4 of 4