HomeMy WebLinkAboutResolution No. 4458 RESOLUTION N0. 4458
A RESOLUTION AUTHORIZING APPLICATION FOR ALLOCATION
OF MORTGAGE REVENUE BONDS, CONFIRMING FILING OF
NOTICE OF SALE THEREOF WITH MORTGAGE BOND ALLOCATION
COMMITTEE AND PROVIDING OTHER MATTERS PROPERLY RELATING THERETO
RESOLVED by the City Council of the City of Downey, California, as
follows:
WHEREAS, Chapters 1 to b of Part 5 of Division 31 of the Health and
Safety Code of the State of California (herein called the "Act ") authorizes
the cities and counties to issue revenue bonds for the purpose of financing
Home Mortgages authorized by the Act and the Act provides complete,
additional, and alternative methods for doing the things authorized thereby;
WHEREAS, pursuant to the Act the City is authorized to carry out the
public purposes described therein by issuing its revenue bonds to acquire Home
Mortgages and by pledging such Home Mortgages as security for payment of the
principle and interest on such revenue bonds, and by entering into any
agreement in connection therewith;
WHEREAS, the City proposes to undertake a Home Mortgage Financing
program (the "Program ") to purchase loans (the "Home Mortgages ") made to
finance new owner - occupied residential units (the "Homes ") within the City and
to issue Mortgage Revenue Bonds (the "Bonds ") to finance the purchase of the
Home Mortgages;
WHEREAS, to obtain an allocation to issue the bonds within the
federally imposed limit upon the issuance of mortgage subsidy bonds, the City
�- must file, pursuant to the Costa -Marks Housing Bond Allocation Act of 1981, as
amended (the "Costa -Marks Act "), a notice of sale of the bonds with the State
Mortgage Bond Allocation Committee;
WHEREAS, in order far. the City of Downey to obtain an allocation
from the State, the City must also cause evidence of the deposit of an amount
of money or, in lieu thereof, a letter of credit, securing such amounts; and
WHEREAS, the City of Downey has provided the deposit required to be
made in order to obtain an allocation.
NOW, THEREFORE, it is hereby found, determined, and ordered as
follows:
1) A notice of sale of Twenty Million Dollars ($20,000,000)
principle amount of bonds with the Mortgage Bond Allocation
Committee, is hereby approved and directed.
2) A form of Program Deposit Agreement shall be presented to the
Council for execution and the City Manager is hereby authorized
and directed to execute Program Deposit Agreements on behalf of
the City with developers desiring to participate in the City's
program on the terms and conditions therein to be provided.
3) The City Clerk shall cause to be delivered to the Mortgage Bond
Allocation Committee a certified copy of this resolution,
together with a certificate executed by the City Manager and
substantially in the form attached hereto as Exhibit A, and
hereby made a part hereof, to the effect that the City has on
deposit in an interest - bearing trust account and /or has on
deposit a letter of credit in an amount which equals one -half of
one percent of the principle amount of the bonds requested for
allocation.
4) The City of Downey hereby directs the Community Development
Commission of the City of Downey to implement the proposed
program when the allocation is made by the Mortgage Bond
Allocation Committee.
Res. #4458
APPROVED AND ADOPTED this 28th day of August , 1984.
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• Mayor
ATTEST:
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City Clerk
I HEREBY CERTIFY that the foreyoing resolution was duly adopted by
the City Council of the City of Downey at a regular meeting thereof held on
the 28th day of August , 1984, by the following vote, to wit:
AYES: 4 Council Members: Davila, Boggs, Cormack, Barb
NOES: 0 Council Members:
ABSENT: 1 Council Members: Santangelo
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City Clerk
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NOTICE AND CERTIFICATION TO THE
MORTGAGE BOND ALLOCATION COMMITTEE
The City of Downey hereby certifies to the Mortgage Bond Allocation Committee
pursuant to the requirements of Section 50191 of Costa -Marks Housing Bond
Allocation Act of 1981 (the "Costa-Marks Act") as follows:
1) Notice is hereby given that the City of Downey intends to
authorize, sell, and deliver Twenty Million Dollars
($20,000,000) principle amount of Home Mortgage Revenue Bonds
pursuant to Chapter 1 to 5 of Part 5 of Division 31 of the
Health and Safety Code of the State of California and hereby
requests the grant of an allocation of such amount.
2) The City has on deposit in an interest- beariny trust account an
amount equal to one -half of one percent of the dollar amount
set forth in Paragraph 1 hereof, which deposit is subject to
the forfeiture provisions of the Costa -Marks Act.
3) The undersigned City Manager of the City of Downey has been
duly authorized and .directed to execute and deliver this
certification pursuant to resolution of the City duly
• adopted August 28. 1984 . A certified copy of said
resolution accompanies this certificati
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,,.,. r
City Manager
City of Downey
Dated: 9/4/84
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EXHIBIT "A"
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