HomeMy WebLinkAboutResolution - 2029 RESOLUTION NUMBER 2029
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN JACINTO,
COUNTY OF RIVERSIDE, 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 shortage in the County of Riverside
(the "County") and in the City of San Jacinto (the "City") of
decent, safe and sanitary housing, particularly of housing
affordable by persons in the low and moderate end of the purchasing
spectrum and a need to increase the housing supply to first-time
homebuyers in the County and in the City for such persons; and
WHEREAS, 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 50197 et. seq. of
the Health and Safety Code of the State of California (the "Act")
and Section 25 of the Internal Revenue Code of 1986 (the "Code") to
issue mortgage credit certificates to qualified 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
"Program") ; 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 qualified 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
WHEREAS, 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
WHEREAS, 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
being 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 San Jacinto, as follows:
Section 1: Each of the foregoing recitals is true and
correct.
Section 2: The City Manager, or her designee, is hereby
authorized, on behalf of the City, to submit an application, and
such other documents as may be required, to the California Debt
Limit Allocation Committee for an allocation of $ 20,000,000 to
qualified mortgage bonds and one hundred percent (1000) 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 is 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 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 are hereby ratified and approved.
Section 4 : This Resolution shall take effect from and
after its adoption.
ADOPTED by the City Council and signed by the Mayor and
attested by the City Clerk this 7th day of April , 1992 .
d
Mayor of the San Jacinto
ATTEST: APPROVED AS TO FORM:
City Clerk of the City of City Attorney
San Jacinto