- j MOTION. 2. Instruct the Department on Disability to conduct appropriate monitoring of the facilities to ensure ADA standards are met.

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1 «7 \ - j 51,.L MOTION Discovery Charter Preparatory School, a California nonprofit public benefit corporation and an entity described in Section 501(c)(3) of the Internal Revenue Code of 1986, DCPS Properties, a California nonprofit public benefit corporation and an entity described in Section 501(c)(3) of the Internal Revenue Code of 1986, and DCPS Eldridge Avenue LLC, a California limited liability company- (collectively, the Borrower ), has requested that the California Statewide Communities Development Authority (CSCDA) issue and sell one or more series of revenue bonds in the maximum principal amount not to exceed seven million dollars ($7,000,000). The proceeds of the bonds will be loaned to the Borrower to finance the acquisition, improvement, equipping and furnishing of the real property and improvements located at Eldridge Avenue, Sylmar, California (the Facility ). The Facility will be owned and operated by the Borrower. Located in Los Angeles Council District 7, Discovery Charter Preparatory School provides education from 9th grade to 12th grade. Discovery Charter Preparatory School s mission is to expand access to higher education by providing skills which students of all achievement levels will need to reach their highest academic potential. In addition, Discovery Charter Preparatory School is dedicated to closing the achievement gap for its students by providing them with supportive, individualized attention and high expectations for academic success. Due in most part to the unique educational experience it provides for its students, Discovery Charter Preparatory School is both an asset as well as an essential part of this community within CD 7. Borrower has agreed that (a) the Facilities to be constructed with the proceeds of the Obligations will comply with the Americans with Disabilities Act, 42 U.S.C. Section et seq. and the 2010 ADA Standards, Chapter 11 of Title 24 of the California Code of Regulations, (b) Discovery Charter Preparatory School will not discriminate in its programs, services or activities on the basis of disability or on the basis of a person s relationship to, or association with, a person who has a disability and (c) Discovery Charter Preparatory School will provide reasonable accommodation upon request to ensure equal access and effective communication to its programs, services and activities. No new City funds will be directed to the Project. I THEREFORE MOVE that the Council: 1. Approve the issuance of bonds not to exceed $7,000,000 by the California Statewide Communities Development Authority (CSCDA) to provide financing for the Discovery Charter Preparatory School located at Eldridge Avenue in Council District Instruct the Department on Disability to conduct appropriate monitoring of the facilities to ensure ADA standards are met. 3. Instruct the City Clerk to schedule a TEFRA Hearing on the agenda for the City Council Meeting to be held on Tuesday June 28, 2016 at 10:00 am located at 200 N. Spring Street, Room 340, Los Angeles, CA I- crm. UN 10 2D1B

2 4. Instruct the City Clerk to place on the Agenda for the City Council Meeting to be held on Tuesday June 28, 2016 consideration of the TEFRA hearing results and adoption of the attached TEFRA hearing Resolution following the TEFRA Hearing. PRESENTED BY: FELIPEtEUENTES Councilmember, 7th District SECONDED BY:

3 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LOS ANGELES APPROVING THE ISSUANCE BY CALIFORNIA STATEWIDE COMMUNITIES DEVELOPMENT AUTHORITY OF NOT TO EXCEED $7,000,000 AGGREGATE PRINCIPAL AMOUNT OF THE AUTHORITY S REVENUE BONDS FOR THE PURPOSE OF FINANCING THE COST OF ACQUISITION OF A FACILITY FOR THE BENEFIT OF DISCOVERY CHARTER PREPARATORY SCHOOL AND AFFILIATES, PROVIDING THE TERMS AND CONDITIONS FOR SUCH BONDS AND OTHER MATTERS RELATING THERETO HEREIN SPECIFIED WHEREAS, Discovery Charter Preparatory School, a nonprofit public benefit corporation duly organized and existing under the laws of the State of California and certain of its affiliates (individually or collectively, the Borrower ), has submitted and the California Statewide Communities Development Authority (the Authority ) has accepted, an application requesting the Authority to issue, from time to time, pursuant to a plan of finance, its tax-exempt revenue bonds in an aggregate principal amount not to exceed $7,000,000 (the Bonds ) for the benefit of the Borrower pursuant to Chapter 5 of Division 7 of Title 1 of the Government Code of the State, (commencing with Section 6500) the proceeds of which will be used in part (1) to pay the cost of the acquisition, improvement, equipping and furnishing of the real property and improvements located at Eldridge Avenue, Sylmar, California (the Facility ), (2) to pay capitalized interest with respect to the financing, (3) fund a reserve fund, if necessary, with respect to the financing and (4) to pay certain costs in connection with the issuance of the Bonds; and WHEREAS, the issuance of the Bonds must be approved by the governmental unit on behalf of which the Bonds are issued and a governmental unit having jurisdiction over the territorial limits in which the Facility are located pursuant to the public approval requirement of Section 147(f) of the Internal Revenue Code of 1986, as amended (the Code ); WHEREAS, the Facility is located within the territorial limits of City of Los Angeles (the City ) and the City Council of the City (the City Council ) is the elected legislative body of the City; and WHEREAS, the Facility provides significant benefits to the residents of the City through the educational services provided by the Borrower and the Facility will also create employment opportunities for residents of the City; and WHEREAS, the Authority and the Borrower have requested that the City Council approve the issuance of the Bonds by the Authority and the financing of the Facility with the proceed s of the Bonds pursuant to Section 147(f) of the Code and the requirements of Section 4 of the Joint Exercise of Powers Agreement Relating to California Statewide Communities Development Authority, dated as of June 1, 1988, as amended (the Agreement ), among certain local agencies, including the City; and

4 WHEREAS, the Authority s issuance of the Bonds will result in a more economical and efficient issuance process because of the Authority s expertise in the issuance of conduit revenue bonds; and WHEREAS, it is intended that this Resolution shall comply with the public approval requirements of Section 147(f) of the Code; provided, however, that this Resolution is neither intended to nor shall it constitute an approval by the City Council of the Facility for any other purpose; and WHEREAS, a public hearing was held by the City on the 28th day of June, 2016, at the meeting which commenced at the hour of 10:00 a.m., at the City of Los Angeles, 200 North Spring Street, Room 340, Los Angeles, California 90012, following duly published notice thereof in a newspaper of general circulation in the City of Los Angeles, and all persons desiring to be heard have been heard. WHEREAS, in recognition of the City s objective of addressing the needs of residents with disabilities, Discovery Charter Preparatory School has agreed that (a) the Facilities to be constructed with the proceeds of the Obligations will comply with the Americans with Disabilities Act, 42 U.S.C. Section et seq. and the 2010 ADA Standards, Chapter 11 of Title 24 of the California Code of Regulations, (b) Discovery Charter Preparatory School will not discriminate in its programs, services or activities on the basis of disability' or on the basis of a person s relationship to, or association with, a person who has a disability and (c) Discovery Charter Preparatory School will provide reasonable accommodation upon request to ensure equal access and effective communication to its programs, services and activities. NOW, THEREFORE, BE IT RESOLVED, DETERMINED AND ORDERED by the City Council of the City as follows: Section 1. The City Council hereby finds and determines that all of the recitals are true and correct. The City Council hereby approves the issuance of the Bonds by the Authority in an amount not to exceed $7,000,000 to finance the cost of the Facility. This resolution shall constitute host approval of the issuance of the Bonds within the meaning of Section 147(f) of the Code and shall constitute the approval of the issuance of the Bonds within the meaning of Section 4 of the Agreement; provided, however, that this Resolution shall not constitute an approval by the City Council of the Facility for any other purpose. The City shall not bear any responsibility for the tax-exempt status of the Bonds, the repayment of the Bonds or any other matter related to the Bonds.

5 Section 2. All actions heretofore taken by the officers, employees and agents of the City with respect to the approval of the Bonds are hereby approved, confirmed and ratified, and the officers and employees of the City and their authorized deputies and agents are hereby authorized and directed, jointly and severally, to do any and all things and to execute and deliver any and all certificates and documents which they or bond counsel may deem necessary or advisable in order to consummate the Bonds and otherwise to effectuate the purposes of this Resolution. Section 3. This Resolution shall take effect from and after its adoption. I hereby certify that the foregoing Resolution was passed and adopted by the City Council of the City of Los Angeles at a meeting thereof duly held on the 28th day of June, 2016, by a majority vote of all its members. [NAME] City Clerk By Deputy

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