HomeMy WebLinkAboutResolution No. 93-R530
RESOLUTION NO.93-R53
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE
REDEVELOPMENT AGENCY OF THE CITY OF AZUSA
ADOPTING A MORTGAGE CREDIT CERTIFICATE PROGRAM
IN COOPERATION WITH THE COUNTY OF LOS ANGELES,
AUTHORIZING AN APPLICATION TO THE CALIFORNIA DEBT
LM4IT 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 (the "County") and in the
City of Azusa (the "City") of decent, safe and sanitary housing, particularly of housing affordable
by first-time home buyers, and a consequent need to encourage the availability of homes
affordable by such persons and otherwise to increase the housing supply in the City and in the
County for such persons; and
WHEREAS, the Board of Supervisors of the County has declared its intent to engage in
a mortgage credit certificate program (the 'Program") pursuant to Part 5 of division 31 of the
Health and Safety Code of the State of California (the "Act") and to issue mortgage credit
certificates pursuant to the Act to provide funds for the Program; and
WHEREAS, the Azusa Redevelopment Agency ("Agency") hereby finds and determines
that it is in the best interest of the City and Agency 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 Agency agrees to accept being designated to act on behalf of the City of
Azusa in adopting the mortgage credit certificates program and desires to enter into a
Cooperative Agreement with the County to permit the operation of the Program within the
boundaries of the City; and
WHEREAS, section 146 of the Internal Revenue Code of 1986, as amended (the "Code"),
limits the amount of mortgage credit certificates 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 such state; and
WHEREAS, Chapter 11.8 of Division 1 of Title 2 of the Government Code of the State of
California (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 (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 ("CDLAC') prior to the issuance of mortgage credit certificates; and
WHEREAS, the Agency 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 Agency from the state ceiling; and
WHEREAS, one percent of the amount of allocation to be requested by the Agency is to
be held in an escrow account pursuant to Section 8869.85 of the Government Code and the
Regulations of CDLAC.
NOW, THEREFORE, BE IT RESOLVED that the Board of Directors of the Redevelopment
Agency of the City of Azusa resolves as follows:
SECTION 1: Each of the foregoing recitals is true and correct.
SECTION 2: The Agency 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,
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including the payment to the County of the Agency'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 Executive Director of the Agency is authorized, on behalf of the Agency
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 $10 million for application to the issuance of
mortgage credit certificates by the County.
SECTION 4: The Agency hereby authorizes the transfer to the County of all of the
principal amount, if any, of mortgage credit certificates allocated to the Agency by CDLAC. The
Executive Director on behalf of the Agency is authorized and directed to take such steps and
execute such documents as are necessary to effect the transfer of such 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 loan to qualifying persons residing within
the City and the County.
SECTION 5: The Officers and employees of the Agency are authorized and directed,
jointly and severally, to do any and all things necessary or 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 authorized to be requested are ratified and approved.
SECTION 6: This resolution shall take effect immediately upon its adoption by the Board
of Directors and the Secretary shall certify the vote adopting this resolution.
SECTION 2: The Agency Secretary shall certify the adoption of this Resolution.
PASSED, APPROVED AND ADOPTED THIS 4th DAY OF October 1993.
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Board of
Directors of the Redevelopment Agency of the City of Azusa, at a regular meeting thereof, held
on the 4th day of October 1993 by the following vote of the Board:
AYES: BOARDMEMBERS: DANGLEIS, MADRID, NARANJO, MOSES
NOES: BOARDMEMBERS: ALEXANDER
ABSENT: BOARDMEMBERS: NONE
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