No impact to the General Fund. The County will be reimbursed for any costs incurred in the process of conducting the TEFRA Hearing. The CMFA will issue tax-exempt revenue bonds on behalf of the Borrower. Repayment of the bonds is solely the responsibility of the Borrower.
Miraflores Senior, L.P., with the City of Richmond's support, requested the County to conduct a Tax Equity and Fiscal Equity Responsibility Act of 1982 (TEFRA) hearing for the California Municipal Finance Authority (CMFA) issuance of Multifamily Housing Revenue Bonds in an amount not to exceed $30,000,000 to be used to finance the acquisition, development and construction of an 80-unit multifamily rental housing development commonly known as Miraflores Senior Apartments located at the corner of South 45th Street and Florida Avenue, in the City of Richmond, California (the “Project”). A TEFRA hearing must be held by an elected body of the governmental entity having jurisdiction over the area where the project is located in order for all or a portion of the Bonds to qualify as tax-exempt bonds for the financing of the Project. The County is a member of the CMFA and qualifies as an elected body of the governmental entity having jurisdiction over the area where the project is located.
The main purposes of the proposed Resolution are to acknowledge that a public hearing was held by the County's Community Development Bond Program Manager on March 28, 2016, where members of the community were given an opportunity to speak in favor of or against the use of tax-exempt bonds for the financing of the Project and to approve of CMFA's use of tax-exempt bonds for the financing of the project. No public comments were received. A notice of the hearing was published in the Contra Costa Times (proof of publication attached) on March 14, 2016.
The County’s only role in this transaction was to hold the TEFRA hearing and to grant the limited approval described above. Additional actions related to the bond issuance will be the responsibility of CMFA and the Borrower.
Negative action would prevent CMFA from providing tax-exempt financing for the Miraflores Senior Apartments project in Richmond.