Loading...
HomeMy WebLinkAboutResolution No. 5722 RESOLUTION NO. 5722 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DOWNEY ADOPTING A MORTGAGE CREDIT CERTIFICATE PROGRAM IN COOPERATION WITH THE COUNTY OF LOS ANGELES, AUTHORIZING AN �-.. APPLICATION TO THE CALIFORNIA DEBT LIMIT ALLOCATION COMMITTEE IN 1993 OR IN 1994 FOR AN ALLOCATION FOR THE ISSUANCE OF MORTGAGE CREDIT CERTIFICATES AND THE TRANSFER OF SUCH ALLOCATION TO THE COUNTY OF LOS ANGELES. WHEREAS, there is a shortage in the County of Los Angeles (hereinafter referred to as the "County") g ounty � and in the City of Downey (hereinafter referred to as the "City ") of decent, safe and sanitary housing, particularly of housing affordable by first-time time home buyers, and a consequent need to encourage the availability of homes affordable by such persons and otherwise to increase the 1 in the he housing supply City and in the County for such persons; and WHEREAS, the Board of Supervisors of the County has declared eclared i its intent to engage in a Mortgage Credit Certificate Program (hereinafter referred to " "Program") the Program ) pursuant to Part 5 of Division 31 of the Health and Safety Code of the Y State of California (hereinafter referred to as the "Act") and to issue credit � issue mortgage redit certificates pursuant to the Act to provide for the Program; and WHEREAS, the City hereby finds and determines that ' at it is in the best interest of the City to artici ate in the p e Program and to consent to the operation of the Program by the County within the geographic boundaries y geogra p of the City pursuant to the Act; and WHEREAS, the City desires y sires to enter into a Cooperative Agreement (hereinafter referred p to as the "Agreement) with the County to permit the operation of the P Program within the boundaries of the City; and WHEREAS, Section 146 of the Internal Revenue Code of 1986, as amended (hereinafter referred to as the "Code"), l limits the a amount of mortgage ge•credit•thin a state that may be issued in any calendar year by entities within y e and authorizes the governor or the legislature of such state to rovid • within p e the method of allocation such state; and I I APPROVED AND ADOPTED this 28th day of September , 1993. A ‘4 /61 4 4-; " i'/ Robert S.- razelton MAYOR ATTEST: Judith E McDonnell CITY-CLERK I HEREBY- CERTIFY that the foregoing Resolution was duly adopted by the City Council of the City of Downey at a regular meeting thereof, held on the 28th day of September , , 1993, by the following vote, to wit: • AYES: 5 COUNCIL MEMBERS: McCaughan, Riley, Boggs, Lawrence, Brazelton --� NOES: 0 COUNCIL MEMBERS: None ABSENT: 0 COUNCIL MEMBERS: None ABSTAIN: 0 COUNCIL MEMBERS: None Judi E. McDonnell CITY CLERK mortpage.MCC (tr) • WHEREAS, Chapter 11.8 of Division 1 of Title 2 of the Government Code of the State of California (hereinafter referred to as the "Government Code ") governs the allocation of the state ceiling (as that term is defined in the Code) among governmental units in the State of California (hereinafter referred to as the "State ") having the authority to issue mortgage credit certificates; and WHEREAS, Section 8869.85 of the Government Code requires a local agency to file an application for a portion of the state ceiling with or upon the direction of the California Debt Limit Allocation Committee (hereinafter referred to as the "CDLAC ") prior to the issuance of mortgage credit certificates; and WHEREAS, the City has determined to transfer to the County pursuant to Section 8869.85(d) of the Government Code, the total amount, if any, of authority to issue mortgage credit certificates allocated to the City from the state ceiling; and WHEREAS, one percent of the amount of allocation to be requested by the City is to be held in an escrow account pursuant to Section 8869.84 of the Government Code and the Regulations of CDLAC. NOW, THEREFORE, the City Council of the City of Downey does hereby resolve as follows: Section 1 Each of the foregoing recitals is true and correct. Section 2. The City hereby adopts the Program for the purpose of increasing the housing supply in the County and in the City and consents to the operation of the Program by the County with respect to all property located within the geographical boundaries of the City, including the payment to the County of the City's proportionate share (based upon the number of participants in the Program) of administration costs applicable to each allocation received from CDLAC, which share is estimated not to exceed $15,000. Section 3. The Agreement between the County and the City, a copy of which is attached hereto as Exhibit A, is hereby approved and the Mayor is hereby authorized and directed to execute and deliver the Agreement, for and in the name and on behalf of the City. The Mayor, with the advice and consent of the City Attorney, --. is authorized to approve any additions to or changes in the form of the Agreement deemed necessary or advisable, approval of such additions or changes to be conclusively evidenced by execution by the Mayor of the Agreement as so added to or chap ed. The Mayor, g with the advice and consent of the City Attorney, is further authorized to enter into such additional agreements with the County, execute such other documents or take such other actions as they may deem necessary or appropriate to carry out the ur ose and intent of the A p p Agreement or to cooperate in the implementation of the Program. Section 4. The City Manager, or his designee, is authorized 9 ' ' on behalf of the City, to submit an application, and such other document as may be required, to CDLAC for an allocation in 1993 or in 1994 in the amount of $4,000,000.00, for application to the issuance of mortgage credit certificates by the County. Y Section 5. The City hereby authorizes the transfer to the County of all of the principal amount, if any, of mortgage credit certificates allocated to the City by CDLAC. The City Manager or his designee, on behalf of the City, is authorized and directed to take such steps and execute such documents as are necessary to effect the transfer of such Y h allocation to the County solely for application to the issuance of mortgage credit certificates, the proceeds of which are to be used to induce the origination of home mortgage loans • s to qualifying persons residing within the City and the County. Section 6. The officers and employees of the City Y are authorized and directed and severally, to do any and all ur things necessary_or advisable in order to effectuate the purposes of this resolution or p p the issuance of the mortgage credit certificates by the County, and all actions reviousl taken by y y such officers and - employees in connection with the application for the allocation authorized to be requested are ratified and approved. Section 7. This resolution shall take effect immediately upon on its adoption by the City Council, and the City he City Clerk shall certify the vote adopting this resolution.