HomeMy WebLinkAboutCity Council Resolution 20-061 St. andrew's parishRESOLUTION NO.20-061
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SARATOGA
APPROVING THE EXECUTION AND DELIVERY OF A LOAN BY THE CALIFORNIA
MUNICIPAL FINANCE AUTHORITY FOR THE PURPOSE OF REFINANCING A
LINE OF CREDIT AND FINANCING OR REFINANCING THE ACQUISITION,
CONSTRUCTION AND IMPROVEMENT OF CERTAIN EDUCATIONAL FACILITIES
FOR SAINT ANDREW'S PARISH IN SARATOGA, CALIFORNIA, AND CERTAIN
OTHER MATTERS RELATING THERETO
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 (the `Borrower"), a Non -Profit
Religious Corporation, located at 13601 Saratoga Avenue, Saratoga, California (the "Campus")
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
$10,100,000 (the "Loan") for the purpose of. (1) prepaying the outstanding balance of the Loan
Agreement (Line of Credit), dated as of July 1, 2012, by and between the Borrower and First
Republic Bank (the "Lender") 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 ancillary facilities at the Campus, (2) prepaying in its entirety the
outstanding balance of the Authority's 2012 Tax -Exempt Loan (Saint Andrew's Parish in
Saratoga, California), 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 ancillary facilities at the Campus, and (3) paying certain costs of issuance
of the Loan (collectively, 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 City of Saratoga, California (the "City") cause a public hearing
to be held with respect to the execution and delivery of the Loan and the refinancing of the Project;
and
WHEREAS, the Authority has determined that the City Council of the City is an
"applicable elected representative"; and
WHEREAS, notice of such public hearing was duly given as required by the Code, and the
City of Saratoga 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 execution and delivery 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 such purposes; and
WHEREAS, the City is a member of the Authority;
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City, 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 enable the Borrower to refinance the Project.
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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 parry. 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 2nd day of September 2020 by the following vote:
AYES: Mayor Howard A. Miller, Vice Mayor Mary -Lynne Bernald, Council Members
Yan Zhao, Rishi Kumar
NOES:
ABSENT:
ABSTAIN:
Howard A. Miller, Mayor
ATTEST:
0/,,- DATE:
Debbie Bretschneider, CMC
City Clerk
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