REPORT TO COUNCIL
SUBJECT
Title
Hold a Public TEFRA Hearing and Action on the Adoption of a Resolution Approving the California Municipal Finance Authority (CMFA) Issuance of Tax-Exempt Bonds Relating to the Financing of a 200-unit Multifamily Rental Housing Project for Low-income Households to be Located in the City of Santa Clara, California at 80 Saratoga Avenue
Report
COUNCIL PILLAR
Promote and Enhance Economic, Housing and Transportation Development
BACKGROUND
Pacific West Communities, Inc (the "Developer") is proposing to build a 200-unit multifamily rental housing project for low-income households at 80 Saratoga Avenue (Project). The Project has already received land use entitlements from the City and the Developer has now applied to the State for tax-exempt bonds to help finance their project. As part of the financing process for affordable housing projects seeking to utilize State tax-exempt bonds, the local jurisdiction, in this case the City of Santa Clara, is required by State law to conduct a public hearing. The City is conducting this public hearing as a result of Pacific West Communities, Inc's application to the State.
For all or a portion of the bonds to qualify as tax-exempt bonds, the City of Santa Clara must conduct a public hearing under the Tax Equity and Fiscal Responsibility Act (the "TEFRA Hearing") to provide the members of the community an opportunity to speak in favor of or against the use of tax-exempt bonds for financing the Project. Public notice must be provided to the members of the community prior to the TEFRA Hearing. Following the close of the TEFRA Hearing, an "applicable elected representative" of the City must provide its approval of the issuance of the bonds for financing the Project.
California Municipal Finance Authority (CMFA)
The CMFA was created on January 1, 2004, pursuant to a joint exercise of powers agreement to promote economic, cultural and community development, through the financing of economic developmen...
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