1994 AGN NOV 15 I15 - Laserfiche WebLink

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CITY OF COLTON AGENDA REPORT For Council Meeting of November 15, 1994 TO: Honorable Mayor and City Council FROM: Hani W. Gabriel, Economic Development Directorpw� SUBJECT: CONSIDERATION AND ADOPTION OF A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COLTON, APPROVING THE ISSUANCE OF NOT TO EXCEED $4,250,000 COLTON PUBLIC FINANCING AUTHORITY RANCHO MEDITERRANIA MOBILE HOME ESTATES NOTES, ISSUE OF 1994 AND THE BORROWING BY THE REDEVELOPMENT AGENCY FOR THE CITY OF COLTON OF THE PROCEEDS THEREFROM PURSUANT TO THAT CERTAIN LOAN AGREEMENT Date: November 15, 1994 Background In June 1993, the Redevelopment Agency for the City of Colton ("Agency") purchased the Rancho Mediterrania Mobilehome Park (the "Park") in order to convert the lots within the Park to single family ownership. In order to finance said purchase, the Colton Public Financing Authority (the "Authority") provided a loan to the Agency from the proceeds of its bonds entitle Rancho Mediterrania Mobile Home Estates Notes, Issue of 1993, in the principal amount of $6,325,000 (the "1993 Bonds"). Since that time, the City of Colton has issued assessment district bonds to finance the purchase of the streets and drainage systems within the Park. The Agency has approximately 25 lots in escrow at this time. Discussion The 1993 Bonds mature on December 1, 1994, and must be paid on or prior to that date. In order to provide financing to pay the 1993 Bonds at maturity, the Authority must issue its Rancho Mediterrania Mobile Home Estates Notes, Issue of 1994 which will mature on December 1, 1995. Financial Impact None. Recommendation Staff recommends approval of the attached Resolution approving the issuance of not to exceed $4,250,000 Colton Public Financing Authority Rancho Mediterrania Mobile Home Estates Notes, Issue of 1994 and the borrowing by the Redevelopment Agency for the City of Colton of the proceeds therefrom pursuant to that certain loan agreement Report prepared by: Alexis Crump, Sabo & Green Co urr nce: ity anager Attachments: Resolution Page 1 of 1 Ish:\wpw in\admin\meeting\coup 1 1 16.rp 1 November 8, 1994 -- 1001-66-10 Item No. 15