HomeMy WebLinkAboutCC Reso No 1994-14RESOLUTION NO. 94-14
A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF LAKE ELSINORE, CALIFORNIA,
CALIFORNIA, AUTHORIZING AN APPLICATION
TO THE CALIFORNIA DEBT LIMIT ALLOCATION
COMMITTEE AND TO PERMIT THE ISSUANCE OF
MORTGAGE CREDIT CERTIFICATES IN LIEU OF
QUALIFIED MORTGAGE BONDS.
WHEREAS, there is a shortaqe in the County of Riverside
(the "County") and in the City of Lake Elsinore (the "City") of
decent housing for persons in the ].ow and moderate end of the
purchasing spectrum, ancl a nee~3 ~o increase the housing supply to
first-time homebuyers in the County and in the City for such
persons; and
WfiEREAS, the Board of Supervisors of the County adopted
Resolution No. 87-564 on December 22, 1987, establishing a Mortgage
Credit Certificate Program pursuant to Section 51097 et. seq. of
the Health and Safety Code of the State of California (the 11Act")
and Section 25 of the Internal Revenue Code of 1986 (the"Code") to
issue mortgage credit certificates to qualifieci first-time
homebuyers by allowing them to take a tax credit equal to 20
percent of the mortgage interest paid in a given year (the
11Program"); and
WHEREAS, the City has found and determined that it is in
the best interest of the City to participate in the Program and to
consent to the operation of the Program by the County within the
geographic boundaries of the City pursuant to the Act; and
WHEREAS, the City has entered into a Cooperative
Agreement with the County to permit the operation of the Program in
the City' and
WHEREAS, Section 146 of the Internal Revenue Code of 1986
limits the amount of qualifieci mortgage bonds that may be issued in
any calendar year by entities within a State and authorizes the
Governor or the Legislature of such State to provide the method of
allocation within the State; and
WAEREAS, Chapter 3.5 of Part 1 of Division 31 of the
California Health and Safety Code (Commencing with Section 50171)
governs the allocation of the State ceiling among governmental
units in the State having the authority to issue qualified mortgage
bonds; and
WFiEREAS, Section 50185 et. seq. of the Health and Safety
Code and the procedures adopted pursuant thereto require a local
agency to file an application with the California Debt Limit
allocation Committee prior to the issuance of qualified mortgage
bonds; and
WHEREAS, the City has determined to assign to the County
pursuant to Section 50192 of the Health and Safety Code all of the
principal amount, if any, of qualified mortgage bonds allocated to
the City and to use said allocation for the issuance of mortgage
credit certificates; and
WHEREAS, one percent of the amount of the allocation
beinq requested by the City is being held by the County in an
escrow account;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the
City of Lake Elsinore, as follows:
Section 1: Each of the foregoing recitals is true and
correct.
Section 2: The City Manager, or his designee, is hereby
authorized, on behalf of the City, to submit an application, and
Limit Allocation Committee for an allocation of $20,000,000 to
qualified mortgage bonds and one hundred percent (100%) of said
allocation is to be utilized for mortgage credit certificates. It
is hereby authorized that, upon receipt, such allocation be
transferred to the County, who will issue mortgage credit
certificates pursuant to the terms of the Program to persons
residing within the City and the County. The city Manager, or his
designee, is hereby directed to take such steps and execute such
documents as are necessary to effect the transfer of the allocation
to the County.
Section 3: The officers and employees of the City are
hereby authorized and directed, jointly and severally, to do any
and all things necessary to advisable in order to effectuate the
purposes of this resolution or the issuance of the mortgage credit
certificates by the County, and all actions previously taken by
such officers and employees in connection with the application for
the allocation are hereby ratified and approved.
Section 4: This Resolution shall take effect from and
after its adoption.
PASSED, APPROVED AND ADOPTED this 22nd day of February,
1994, by the following votee
AYES: COUNCILMEMBERS:
NOES:
ABSENT:
ABSTAIN:
ALONGI, CHERVENY, DOMINGUEZ, WINKLER,
WASHBURN
. NONE
COUNCILMEMBERS:
NONE
NONE
A ST:
~
VICKI AD, CITY CLERK
APPROVED AS TO FORM & LEGALITY:
~VYV `"
JOHN R. HARP R, CI Y A_ORNEY
. ., . ~
F LAKE ELSINORE
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) SS:
CITY OF LAKE ELSINORE )
I, VICKI KASAD, CITY CLERK OF THE CITY OF LAKE ELSINORE,
DO HEREBY CERTIFY that the £oregoing Resolution duly adopted by the
City Council of the City of Lake Elsinore at a regular meeting of
said Council on the 22nd day of February, 1994, and that it was so
adopted by the following vote:
AYES: COUNCILMEMBERS: ALONGI, CAERVENY, DOMINGUEZ,
WINKLER, WASHBURN
NOES: COUNCILMEMBERS: NONE
ABSENT: COUNCILMEMBERS: NONE
ABSTAIN: COUNCILMEMBERS: NONE
~ ...~~( i~~
VICKI KASAB, CZTY CLERK
CITY OF LAKE LLSINORE
(SEAL)
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) SS:
CITY OF LAKE ELSINORE )
I, VICKI KASAD, CITY CLERK OF THE CITY OF LAKE ELSINORE,
DO HEREBY CERTIFY that the above and foregoing is a full, true and
correct copy of Resolution No. 94-14 of said Council, and that the
same has not been amended or repealede
DATED: February 28, 1994
~ ('t~~~~
VICKI KASAD~ C;_TY CLERK
CITY OF LAKE ELSINORE
(SEAL;