HomeMy WebLinkAboutMINUTES - 11232010 - SD.3RECOMMENDATION(S):
1. a) OPEN a public hearing, as required by Section 147(f) of the Internal Revenue Code of
1986, as amended;
b) CONSIDER public testimony concerning the proposed issuance by the ABAG Finance
Authority of bonds in an aggregate principal amount not to exceed $5,500,000; and
c) CLOSE public hearing.
2. ADOPT Resolution No. 2010/583, approving the issuance of bonds by the ABAG
Finance Authority to benefit La Clinica De La Raza, Inc. (Concord area).
FISCAL IMPACT:
Pursuant to the Internal Revenue Code, the issuance of the Bonds must be approved by the
County because the Facilities are located within the territorial limits of the County. There is
no financial impact on the County.
APPROVE OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE
Action of Board On: 11/23/2010 APPROVED AS RECOMMENDED OTHER
Clerks Notes:
VOTE OF SUPERVISORS
AYE:John Gioia, District I
Supervisor
Gayle B. Uilkema, District II
Supervisor
Mary N. Piepho, District III
Supervisor
Susan A. Bonilla, District IV
Supervisor
Federal D. Glover, District V
Supervisor
Contact: Tim Ewell (925)
335-1036
I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board
of Supervisors on the date shown.
ATTESTED: November 23, 2010
David J. Twa, County Administrator and Clerk of the Board of Supervisors
By: June McHuen, Deputy
cc:
SD. 3
To:Board of Supervisors
From:David Twa, County Administrator
Date:November 23, 2010
Contra
Costa
County
Subject:TEFRA HEARING - LA CLINICA DE LA RAZA, INC
BACKGROUND:
La Clinica De La Raza, Inc., a California not-for-profit corporation, has requested that the
ABAG Finance Authority (the "Authority") participate in the issuance of bonds, in an
aggregate principal amount not to exceed $5,500,000 (the "Bonds"). A portion of such
Bond proceeds is intended to finance the renovation and improvement of a 14,230 square
foot building located at 1040 Oak Grove Road in Concord, California for use as a
medical and dental clinic, replacing an existing facility currently located in Pleasant Hill,
California.
In order for the interest on the bonds to be excluded from the gross income of the owner
of the bonds (i.e. tax-exempt), an "applicable elected representative" of the government
unit must approve the issuance of the bonds after a public hearing ("TEFRA hearing")
following reasonable public notice. Because the Authority's Board of Directors is not an
elected body, the Code provides that a government unit with elected representatives and
jurisdiction over the area in which the project to be financed is located, in this case, the
Board of Supervisors of Contra Costa County, is an "applicable elected representative"
with respect to the bond issue.
The Internal Revenue Code requires that the Board of Supervisors hold a TEFRA public
hearing regarding the issuance of the bonds and adopts a resolution approving the
issuance of the bonds by the Authority. Staff recommends that the Board of Supervisors
hold the public hearing, consider public input, and adopt the resolution regarding the
issuance of the bonds. This approval is with the expressed understanding that the County
shall have no obligation whatsoever to pay any principal, interest, fees or any other costs
associated with the Authority's issuance of these bonds.
CONSEQUENCE OF NEGATIVE ACTION:
The ABAG Finance Authority will not be able to issue bonds on behalf of La Clinica De
La Raza, Inc. delaying or canceling planned improvements to the future medical and
dental clinic in Concord, California.
CHILDREN'S IMPACT STATEMENT:
The new clinic plans to serve approximately 4,600 youths annually.
CLERK'S ADDENDUM
CLOSED public hearing; and ADOPTED Resolution No. 2010/583, approving the
issuance of bonds by the ABAG Finance Authority to benefit La Clinica De La Raza,
Inc.
ATTACHMENTS
Resolution No. 2010/583
Proof of Publication - Clinica De La Raza TEFRA Hearing Notice