HomeMy WebLinkAboutCity Council Resolution 12-035 Approving Issuance of Loan - St Andrews 2012-06-06RESOLUTION NO. 12-035
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SARATOGA
APPROVING THE MAKING OF A LOAN BY THE
CALIFORNIA MUNICIPAL FINANCE AUTHORITY FOR THE PURPOSE OF
REFUNDING THE AUTHORITY'S VARIABLE RATE DEMAND REVENUE BONDS
(ST. ANDREW'S SCHOOL), SERIES 2006, ISSUED FOR THE PURPOSE OF
FINANCING OR REFINANCING THE ACQUISITION, CONSTRUCTION AND
IMPROVEMENT OF CERTAIN EDUCATIONAL FACILITIES
FOR SAINT ANDREW'S PARISH
WHEREAS, the California Municipal Finance Authority (the "Authority") is authorized to issue
and sell revenue bonds and other obligations for the purpose, among others, of financing or refinancing
the construction of educational facilities; and
WHEREAS, Saint Andrew's Parish in Saratoga, California, a Non -Profit Religious Corporation,
located at 13601 Saratoga Avenue, Saratoga, California (the "Borrower") has requested that the
Authority enter into a loan agreement with the Borrower pursuant to which the Authority will make a
loan to the Borrower in the maximum principal amount of up to $11,000,000 (the "Loan") for the
purpose of refunding the outstanding principal amount of the Authority's Variable Rate Demand
Revenue Bonds (St. Andrew's School), Series 2006, the proceeds of which were loaned to the Borrower,
to enable the Borrower to finance or refinance the costs of the acquisition, construction and improvement
of certain educational and related and ancillary facilities at the Borrower's location (the "Project"); and
WHEREAS, in order for the interest on the Loan to be tax-exempt, Section 147(f) of the Internal
Revenue Code of 1986, as amended (the "Code"), requires that an "applicable elected representative"
with respect to the Authority hold a public hearing on the making of the Loan and approve the making of
the Loan by the Authority following such hearing; and
WHEREAS, the Authority has determined that the City Council of the City is an "applicable
elected representative" to hold such public hearing; and
WHEREAS, notice of such public hearing has been duly given as required by the Code, and this
City Council has heretofore held such public hearing at which all interested persons were given an
opportunity to be heard on all matters relative to the refinancing of the Project and the Authority's
making of the Loan therefor; and
WHEREAS, it is in the public interest and for the public benefit that the City Council approve
the making of the Loan by the Authority for the aforesuch purposes; and
WHEREAS, the City is a member of the Authority;
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Saratoga, that:
1. The City Council of the City hereby approves the making of the Loan by the Authority
for the purpose of providing funds to make to the Borrower to enable the Borrower to refinance the
Proj ect.
1
2. The making of the Loan shall be subject to the approval of the Authority of all financing
documents relating thereto to which the Authority is a party. The City shall have no responsibility or
liability whatsoever with respect to the Loan.
3. The adoption of this Resolution shall not obligate the City or any department thereof to
(i) provide any financing to acquire or construct 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 for
the acquisition, rehabilitation or operation of the Project; (iii) make any contribution or advance any
funds whatsoever to the Authority; or (iv) take any further action with respect to the Authority or its
membership therein.
4. This Resolution shall take effect immediately upon its adoption.
The above and foregoing resolution was passed and adopted at a regular meeting of the Saratoga City
Council held on the 6th day of June 2012 by the following vote:
AYES: Council Member Manny Cappello, Emily Lo, Howard Miller, Vice Mayor Jill Hunter,
Mayor Chuck Page
NOES: None
ABSENT: None
ABSTAIN: None
ATTEST:
Crya/V
l Morrow, City Clerk
eta ( MIO!1TJ
Chuck Page, Mayor
DATE: (°(-1
7