HomeMy WebLinkAboutR45-Economic Development AgencyCITY OF SAN BERNARDINO
ECONOMIC DEVELOPMENT AGENCY
FROM: Emil A. Marzullo
Interim Executive Dvector
DATE: August 8, 2008
SUBJECT: Consent for the Couuty of San Bernardino to
Conduct a TEFRA Hearing oo behalf of the
Mountain Shadows Support Group Project
Svnoosis of Previous CommissioNCounciVCommittee Actionfsl:
On August 7, 2008, Redevelopment Committee Members Estrada and Johnson unanimously voted to recommend that the
Mayor and Common Council consider this action for approval.
Recommended Motion(s)
(Mavor and Common CounciD
Resolution of the Mayor and Common Council of the City of San Bemazdino regazding a TEFRA Hearing to be
conducted by the County of San Bernazdino for Revenue Bonds to be issued by the California Statewide
Communities Development Authority for the benefit of Mountain Shadows Support Group fot acquisition of five
(5) properties within the City of San Bemadino
rrr~
Contact Person(s):
Project Area(s):
Supporting Data Attached:
K. Jenkins
N/A
Phone: (909)663-1044
Wazd(s): All
Q Staff Report m Resolution(s) ^ Agreement(s)/Contract(s) ^ Map(s) ^ Letter(s)
FUNDING REQUIREMENTS: Amount: $ -0- Source:
Budget Authority:
N/A
N/A
Signature: C - Fiscal Review: ~-lp ~s_.c.u ~ ~/ s.~. / G
Emil A. Marmllo, Interim xecutive Duector Barbara Lin eth, Administrative Service
CommissioNCouncil Notes:
vw~~m.~commDevcomm~u~oo~roczaoe~oaie.oen~ouom~sn.aon-counrysoovo~~.sRa« COMMISSION MEETING AGENDA
Meeting Date: 08/18/2008
Agenda Item Number: ~31~
ECONOMIC DEVELOPMENT AGENCY
STAFF REPORT
CONSENT FOR THE COUNTY OF SAN BERNARDINO TO CONDUCT A TEFRA HEARING
ON BEHALF OF THE MOUNTAIN SHADOWS SUPPORT GROUP PROJECT
BACKGROUND:
On June 12, 2008, the California Statewide Communities Development Agency ("CSCDA") approached
the City of San Bemazdino ("City") with a request to provide a letter of support/non-objection to the
County of San Bernazdino to allow the County to conduct a single TEFRA hearing for amulti-
jurisdictional project.
The letter would lend support and approval on behalf of a proposed financing coordinated by CSCDA for
the acquisition and refinancing of several residences located throughout the County, including 5 sites
within the City. Please refer to the attached letter.
The financing application received by CSCDA proposes the issuance of approximately $52,000,000 of
tax-exempt revenue bonds for Mountain Shadows Support Group ("Mountain Shadows"). Mountain
Shadows is a 501(c)(3) non-profit organization formed in 1988 for the purpose of promoting the welfare
of persons with developmental disabilities through providing an array of social services and housing
opportunities (vtiwvw.mtnshadows.ors). Specifically, Mountain Shadows provides residential living for
developmentally disabled individuals in neighborhood settings.
As a component of this financing, Mountain Shadows is seeking approximately $14.25 million to acquire
15 residences currently owned and operated by Homgan Enterprises to provide similar services to persons
with developmental disabilities. The residences under consideration that aze located in the City include
the following:
1. 25787 Mesa Court;
2. 2917 Roadrunner Court;
3. 2107 East Jane Avenue;
4. 2661 Mercedes Avenue; and
5. 3465 Darten Place
The remaining $37.75 million in bonds proceeds would be used to refmance existing Mountain Shadows
indebtedness for facilities located in San Diego County and Riverside County.
CURRENT ISSUE:
In anticipation of a potential County sponsored TEFRA Hearing, Agency Staff conducted its own due
diligence analysis on the 5 City properties. This included determining whether any code violations have
Q occurred, the number and type of service calls associated with each location, and an overall visual
inspection of each site.
P:WgenEedCOmm Dev Commission\CDC 3009W&18-OB MOYfRYll gludmvs-Coumy Support Levy SR dec COMMISSION MEETING AGENDA
Meeting Date: 08/18/2008
Agenda Item Number:
Economic Development Agency Staff Report
Mountain Shadows -County Support Letter
Page 2
According to City Code Enforcement staff, there aze no existing violations with any of these sites. Per
information gathered from the San Bemazdino Police Department Crime Statistics Unit, the following
crimes took place between January 1, 2008 and May 31, 2008:
25787 Mesa
Court 2917 Roadrunner
Court 2107 East Jane
Avenue 3465 Darren
Street 2661 Mercedes
Avenue
1 - 911 call with 1 -Burglary, Forcible 1 -Robbery, Strong 1 -Burglary- 1 -Robbery, Other
no report taken Entry arm Forcible entry weapon
2 -Theft over $400 1 -Robbery, 2 -Theft over 1 -Assault-Other
Total = 0 1 -Theft, $200 - $400 Forcible entry $400 weapon
1 -Theft, $50 - $200 2 -Theft over $400 4 -Burglary,
1 -Vehicle Theft, Total = 3 Forcible Entry
Total = 5 Auto 1 -Burglary, no
force
Total = 5 2 -Theft over $400
4 -Theft, $200 -
$400
3 -Theft, $50-$200
1 -Theft below $50
1 -Vehicle Theft,
Auto
1 -Vehicle Theft,
Truck
Total =19
During the review period, a total of 32 crimes were committed at these site addresses. Based on the types
of crimes committed, it would appeaz the residents aze not the perpetrators of these crimes, but instead the
victims. This would be indicative of the number of forcible entry burglaries, property thefts and vehicle
thefts. As for the magnitude of the incidents, approximately 60% occurred at the 2661 Mercedes Avenue
property.
Based on an exterior inspection of all 5 properties, they were well maintained, blended into the
surrounding neighborhood and gave no outwazd sign of their use as group home facilities for
developmentally disabled residents. Pictures of the exterior of all 5 properties aze attached for further
review.
ENVIRONMENTAL IMPACT:
There aze no environmental impacts associated with the requested action.
FISCAL IMPACT:
There aze no fiscal impacts associated with the proposed action.
P Ugendss\Comm Dev fommiuion\CDC30°8W8-IB-08 MOYpIl10 $ludows-County $upporLLmer $Adac COMMISSION-MEETING AGENDA
Meeting Date: 08/18/2008
Ageuda Item Number:
Economic Development Agency Staff Report
Mountain Shadows -County Support Letter
Page 3
r/'
RECOMMENDATION:
That the Mayor and Common Council adopt the attached Resolution:
~I,
Emil A. Marzullo, Interim ecutive Director
July 10, 2008
VIA FACSIMILE (909) 387-9815
Ms. Patricia Cole
Deputy Administrative Officer
County of San Bernazdino
Economic Development Agency
215 North D Street, Suite 202
San Bernazdino, CA 92415
RE: Support /Non-Objection Letter Concerning Mountain Shadows Support Group
Deaz Ms. Cole:
The purpose of this letter is to acknowledge the proposed tax-exempt bond financing by
the California Statewide Communities Development Authority (the "CSCDA") on behalf
of Mountain Shadows Support Group, Inc. and the proposed projects known as Robinson
House (25787 Mesa Court), Elm House (2917 Roadrunner Court), La Paix House (2107
East Jane Avenue), Jane House (2661 Mercedes), and Highland House (3465 Darren
Place) located in the City of San Bernazdino.
We understand that anon-objection letter and confirmation that the proposed project
locations meet local land use requirements has been requested by the County of San
Bemazdino to hold a TEFRA hearing for all of the projects located in the City of San
Bernazdino on behalf of Mountain Shadows Support Group.
Please be advised that the City of San Bernardino supports the proposed project financing
by Mountain Shadows Support Group, the proposed projects to be financed meet local
land use requirements, and the City does not object to the County of San Bernazdino
conducting the TEFRA hearing for the projects located in the City of San Bernazdino.
If you have any questions, please contact me at (~
Sincerely,
Fred Wilson
City Manager
p City of San Bernazdino
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RESOLUTION NO.
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY
OF SAN BERNARDINO REGARDING A TEFRA HEARING TO BE
CONDUCTED BY THE COUNTY OF SAN BERNARDINO FOR REVENUE
BONDS TO BE ISSUED BY THE CALIFORNIA STATEWIDE
COMMUNITIES DEVELOPMENT AUTHORITY FOR THE BENEFIT OF
MOUNTAIN SHADOWS SUPPORT GROUP FOR ACQUISITION OF FIVE
(5) PROPERTIES WITHIN THE CITY OF SAN BERNARDINO
WHEREAS, the Mountain Shadows Support Group, anon-profit public benefit corporation
(the "Corporation"), was formed in 1988 and has requested that the California Statewide
Communities Development Authority (the "Authority") participate in the issuance of revenue bonds
in the approximate amount of $52,000,000 (the "Bonds") for the purpose of, among other things,
financing the acquisition of five (5) properties located in the City of San Bernazdino ("City") plus
additional properties located throughout San Bemazdino County, Riverside County and San Diego
County; and
WHEREAS, pursuant to Section 147(f) of the Internal Revenue Code of 1986 (the "Code"),
the issuance of the Bonds by the Authority must be approved either by the City or the County of
San Bernardino subject to the lack of any objection by the City for those five (5) properties that are
located within the territorial limits of the City; and
WHEREAS, the five (5) properties to be acquired by the Corporation within the City aze
located at 25787 Mesa Court, 2917 Roadrunner Court, 2107 East Jane Avenue, 2661 Mercedes and
3465 Darren Place; and
WHEREAS, the Authority has requested that the Mayor and Common Council of the City
of San Bernazdino ("Council") not object to the County of San Bernazdino acting to approve the
issuance of the Bonds by the Authority in order to satisfy the public approval requirement of
Section 147(f) of the Code; and
WHEREAS, pursuant to Section 147(1) of the Code, the Council, by not objecting to the
conduct of the public hearing regazding the issuance of the Bonds by the Authority solely for the
purpose of satisfying the requirement of said Section 147(1) of the Code, shall have no further duty
P:Ugevdu~RewluuansVlewhrtione~2008~08-18-08 Mouvbin 5ludow~7HPRA Comeet MCC Reeo.doc `~+ ~- / ~_ O~
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or obligation whatsoever with respect to the Bonds to be issued by the Authority pursuant to the
hearing as may be conducted by the County of San Bernazdino.
NOW, THEREFORE, IT IS HEREBY RESOLVED, DETERMINED AND ORDERED BY
THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO, AS
FOLLOWS:
Section 1. The Council hereby states that it does not object to the conduct of the public
hearing by the County of San Bemazdino for the issuance of the Bonds by the Authority for the
purposes of fmancing the acquisition of five (5) properties within the City located at 25787 Mesa
Court, 2917 Roadrunner Court, 2107 East Jane Avenue, 2661 Mercedes and 3465 Darren Place. It
is the purpose and intent of the Council by the adoption of this Resolution (i) that this Resolution
shall constitute the confirmation that the proposed project for the acquisition of the five (5) above
referenced properties complies with currently existing local land use requirements of the City, (ii)
that this Council supports the issuance of the Bonds by the Authority and (iii) that this Council does
not object to the County of San Bernardino conducting the public hearing pursuant to Section 147(fj
of the Code. The Council recognizes that the Corporation, the Authority and the County of San
Bernazdino have been advised by other parties independent of the City as to the structure, terms and
provisions of the Bonds and the economic viability of proceeding with the issuance of the Bonds to
acquire and operate all properties contemplated by the issuance of the Bonds. The City assumes no
liability or responsibility of any nature whatsoever with respect to (i) the Bonds, (ii) the disclosure
of any matters required by law, and (iii) any aspects of the Bonds and the proceedings with respect
thereto as to compliance with all applicable federal tax and securities laws when the Bonds aze
issued and other procedural requirements under both state and federal law.
Section 2. The Mayor of the City, and/or his designees, aze hereby authorized and directed
to execute and deliver a transmittal letter to the County of San Bernazdino together with a certified
copy of this Resolution.
Section 3. This Resolution shall take effect upon its adoption and execution in the manner
as required by the City Charter.
///
P:NgeoduLLtesoMwmVtmoM1rtians~2008~08-18-08 MouNain Shadows iEFM Coosem MCC Rew.doc
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RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY
OF SAN BERNARDINO REGARDING A TEFRA HEARING TO BE
CONDUCTED BY THE COUNTY OF SAN BERNARDINO FOR REVENUE
BONDS TO BE ISSUED BY THE CALIFORNIA STATEWH)E
COMMUNITIES DEVELOPMENT AUTHORITY FOR THE BENEFIT OF
MOUNTAIN SHADOWS SUPPORT GROUP FOR ACQUISITION OF FIVE
(5) PROPERTIES WITHIN THE CITY OF SAN BERNARDINO
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and
Common Council of the City of San Bemazdino at a meeting thereof,
held on the day of , 2008, by the following vote to wit:
Council Members: Aves Navs Abstain Absent
ESTRADA
BAXTER
BRINKER
DERRY
KELLEY
JOHNSON
MC CAMMACK
Rachel G. Clazk, City Clerk
The foregoing Resolution is hereby approved this day
2008.
Patrick J. Moms, Mayor
City of San Bemazdino
Approved as to Form:
I By:
F. Penman, City Attorney
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