Debt is not the Same as Reserve or Set Aside Funds

Do you remember when Council Member Jim Miller asked for detail on the funding arrangement for the Senior Housing Development the answer was, we'll get that to you... it all hasn't been documented yet... Well folks here is a big chunk of it... Remember the Schwab saying we have money we need to spend... When you say the words Bond, that is a LOAN... that has to be paid back with interest.... and further more all cities and muni's have been down graded so the cost will be hire now than when the project began.

Oh remember all those "Reserves that were Supposed to be available for this specific part of the RDA Funds"...

Oh and remember how the Corp for Better Housing was going to be the owner and management of the Facility... not some sub unit of a spin off business that has no assets to attach if there is something wrong... or goes wrong in the future... this will put all the risk on the City of GT, who is not the owner of the building after all....

Were we not told that the Building and Land was being built with the agreement that the COBH Leased the land, and owned and operated the building until the end of lease at which time the land and remaining old building will be the City of Grand Terrace's... (No Doubt it will also be a building that will need to be removed at City Expense.)

Well, enjoy the burden...
NOTICE OF PUBLIC HEARING
REGARDING ISSUANCE OF
MULTIFAMILY HOUSING REVENUE BONDS FOR
BLUE MOUNTAIN SENIOR VILLAS
NOTICE IS HEREBY GIVEN

that, at 6:00 p.m., or as soon thereafter as the matter can be heard, on Tuesday, April 28, 2009, at the City Council Chambers, Grand Terrace Civic Center, 22795 Barton Road, Grand Terrace, California,

the City Council of the City of Grand Terrace (the "City") will conduct a public hearing as required by Section 147(f) of the Internal Revenue Code of 1986, at which it will hear and consider information concerning a proposed plan of financing providing for the issuance by the California Statewide Communities Development Authority of multifamily housing revenue bonds in one or more series issued from time to time, including bonds issued to refund such revenue bonds in one or more series from time to time, and at no time to exceed $10,500,000 in outstanding aggregate principal amount, to refinance the acquisition, construction and development of a 120-unit multifamily rental housing project located at 22627 Grand Terrace Road, Grand Terrace, California and generally known as Blue Mountain Senior Villas (the "Project").

The Project will be owned and operated by 22645 Grand Terrace Rd., L.P., a California limited partnership, or related entities.

Those wishing to comment on the proposed financing and the nature and location of the Project may either appear in person at the public hearing or submit written comments, which must be received by the City prior to the hearing. Written comments should be sent to the City of Grand Terrace, 22795 Barton Road, Grand Terrace, California 92313, Attention: City Clerk.

CITY CLERK OF THE CITY OF GRAND TERRACE
Dated: April 14, 2009