DATE:
February 25, 2025
08
TO:
Board of Supervisors
SUBJECT
NOTICED PUBLIC HEARING (TEFRA): ISSUANCE OF REVENUE BONDS BY THE CALIFORNIA PUBLIC FINANCE AUTHORITY FOR THE BENEFIT OF PROVIDENT RESOURCES GROUP INC., AND ITS SUBSIDIARIES, IN AN AGGREGATE AMOUNT NOT TO EXCEED $120,000,000 AND RELATED APPROVALS (DISTRICT 4)
OVERVIEW
The County has received a request from the California Public Finance Authority ("CalPFA" or the "Authority") to conduct a public hearing as required by the Internal Revenue Code and to approve the Authority's issuance of one or more series of revenue bonds in an aggregate principal amount not to exceed $120,000,000 (the "Bonds") to be issued for the benefit of Provident Resources Group Inc. (the "Corporation"), and its subsidiaries including particularly a California limited liability company (the "Borrower"), to be formed by and whose sole member will be the Corporation. Net proceeds of the Bonds will be loaned to the Borrower to finance the acquisition, design, development, construction, ownership, furnishing, equipping, improvement and operation of a five-story residential rental project to consist of 182 units with 147 residential parking spaces at 6650 Montezuma Rd, San Diego, California 92115 (the "Project").
The Authority is authorized to assist in financing for nonprofit public benefit organizations or for-profit corporations with a public benefit project wishing to issue revenue bonds, including the Borrower. In order to initiate such a financing, the Borrower is asking the County, a member jurisdiction in which the Project resides to: (1) conduct a public hearing to satisfy the public approval requirement of Section 147(f) of the Internal Revenue Code of 1986 (the "Code"); (2) approve the Authority's issuance of the Bonds; (3) find that the Project satisfies a legitimate governmental burden and public purpose of the County including that the Project will lessen and accomplish the housing goals and mandates of the County by p...
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