Council approves TEFRA hearing resolution so Forward Housing can pursue $25M tax‑exempt financing

The Hanford City Council on April 21 held a Tax Equity and Fiscal Responsibility Act (TEFRA) hearing and adopted a resolution allowing the California Municipal Finance Authority (CMFA) to issue tax‑exempt bonds of up to $25 million to finance acquisition and rehabilitation of the Kings Garden Apartments at 1224 Fernaut Way.

Staff explained that the CMFA would issue the debt for Forward Housing and that the borrower—not the city—would be responsible for repayment. Travis Cooper of the CMFA confirmed for the council that the city would have no liability from the issuance. The council approved the resolution after brief questions and no public opposition.

The council’s action satisfied BEAR requirements under federal tax law and California Government Code procedures for a TEFRA hearing; any financing agreements remain between the borrower and the issuer, and staff said the city will bear no cost or legal obligation related to repayment.