HomeMy WebLinkAboutCC RES 95-0601 RESOLUTION NO. 95-60
2 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TUSTIN, CALIFORNIA, ADOPTING A MORTGAGE CREDIT
3 CERTIFICATE PROGRAM IN COOPERATION WITH THE COUNTY
OF ORANGE
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5 The City Council of the City of Tustin does hereby resolve as
follows:
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WHEREAS, there is a shortage in the County of Orange (the
7 "County") .and in the city of Tustin (the "City") of decent,
safe and sanitary housing, particularly of housing affordable
8 by first-time. home buyers, anda consequent need to encourage
the availability of homes affordable by such persons and
9 otherwise to increase the housing supply in the City and in
the County for such persons; and
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WHEREAS, the Board of Supervisors of the County has
11 established a mortgage credit; certificate 'program (the
"Program") pursuant to Part 5 of Division 31of the Health and
12 Safety Code of the State of California (the "Act") for the
purpose of issuing mortgage credit certificates pursuant
13 the Act; and
14 WHEREAS, the City has previously found and determined
that it is in the best interest of the City to participate in
15 the Program and to consent to the operation of the Program by
thel County within the geographic boundaries of the City
16 pursuant to the Act; and
17 WHEREAS, the City has previously entered into a
CooperativeAgreement with the County to permit the operation
18 of the Program within the boundaries.of the City; and
19 WHEREAS, Section 146 of the Internal Revenue Code of
1986, as amended (the "Code"), limits the amount of mortgage
20 credit certificates that may be issued in any calendar year by
entities within a state and authorizes the governor or the
21 legislature of such state to provide the method of allocation
within such state; and
22
WHEREAS, Chapter 11.8 of Division 1 of Title 2 of the'
23 Government Code of the State of California (the "Government
Code") governs the allocation of the state ceiling (as that
24 term is defined in the Code) among governmental units in the
State of California (the "State") having the authority to
25 issue mortgage credit certificates; and
26 WHEREAS, Section 8869.85 of the Government Code requires
a local agency to file an application for .a portion of the
27 state ceiling with or upon the direction of the California
Debt Limit Allocation Committee ("CDLAC") prior to the
28 issuance of mortgage credit certificates; and
Resolution No. 95-60
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WHEREAS, the City desires that the County file an
3 application with CDLAC on behalf of the City for an allocation
of authority to issue mortgage credit certificates and elects
4 to transfer to the County pursuant to Section 8869.85(d) of
the Government Code, the total amount, if any, of Such
5 authority allocated to the City; and.
6 WHEREAS, one percent of the amount of the allocation to
be requested on behalf of theCity is to be held in an account
7 established by the City pursuant to Section 8869.84 of the
Government Code and the Regulations of the CDLAC;
8
'NOW, THEREFORE, the City Council of the City of Tustin
9 resolves as follows:
10 Section 1. Each of the foregoing recitals is true and
correct.
11
Section 2. The. City Manager, or his designee, is
12 authorized, on behalf of the City, to take such steps 'and
execute such documents as are necessary for the submission of
13 an application to CDLAC on behalf of the City for an
allocation in the amount of $3,000,000 for application to the
14 issuance of mortgage credit certificates by the County. The
City Manager, or his designee, is also authorized to certify
15 to CDLAC that an amount equal to 1% of the allocation
requested is on deposit in an account established by the City.
16
Section 3. The City agrees to pay to the County the'
17 City's' proportionate share (based upon the number of
participants in the Program) of administration .costs
18 applicable to the allocation received from CDLAC, which share
is estimated not to exceed $6,000.
19
Section 4. The City hereby authorizes the transfer'to
20 the County of the total principal amount, if any, of the
authority to issue mortgage credit certificates allocated to
21 the City by CDLAC. The City Manager or his designee, on
behalf of the City, is authorized and directed to take such
22 steps and/execute such documents as are necessary to effect
the transfer of such allocation to the County solely for
23 application to the issuance of mortgage credit certificates,.
which are to be used to induce the origination of home
24 mortgage loans to qualifying persons.
25 Section 5. The officers and employees of the' City are
authorized and directed, jointly and severally, to do any and
26 all things necessary or advisable in order to effectuate the
purposes of this resolution or the issuance of~the mortgage
27 credit certificates by the County, and all actions previously
taken by such officers and employees in connection with the
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Resolution No. 95-60
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application for the allocation authorized to be requested are
3 ratified and approved.
4 Section 6. This resolution shalltake effect immediately
upon its adoption by the City Council, and the City Clerk
5 shall certify the vote adopting this resolution.
6 PASSED AND ADOPTED at a regular meeting of the Tustin City
Council, held on the 19th day of June, 1995.
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i0 or
14 STATE OF CALIFORNIA )
COUNTY OF ORANGE ) SS
15 CITY OF TUSTIN )
16 CERTIFICATION FOR RESOLUTION NO. 95-60
17 MARY E. WYNN, City Clerk and ex-officio Clerk of the City
Council of the City of Tustin, California, does hereby certify
18 that the whole number of the members of the City Council' of
the City of 'Tustin is 5; that the above and foregoing
19 Resolution No. 95-60 was duly and regularly introduced,
passed, and adopted at a regular meeting of the Tustin City
20 Council, held on the 19th day of June, 1995.
21 COUNCILMEMBER AYES: Ports, Worley, Doyle, Thomas '
COUNCILMEMBER NOES: None
22 COUNCILMEMBER ABSTAINED: None
COUNCILMEMBER: ABSENT: Saltarelli
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