HomeMy WebLinkAboutResolution - 2236 RESOLUTION NO. 223
6
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN JACINTO,
ADOPTING A MORTGAGE CREDIT CERTIFICATE PROGRAM IN COOPERATION
WITH THE COUNTY OF RIVERSIDE, AUTHORIZING AN APPLICATION TO THE
CALIFORNIA DEBT LIMIT ALLOCATION COMMITTEE IN 1995 FOR AN
ALLOCATION FOR THE ISSUANCE OF MORTGAGE CREDIT CERTIFICATES AND
THE TRANSFER OF SUCH ALLOCATION TO THE COUNTY OF RIVERSIDE
WHEREAS, there is a shortage in the County of Riverside (the "County") and in the
City of San Jacinto (the "City") of decent housing for 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-
56E 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 &11986 (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 his 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 $2,200,000.00 to issue
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 is to 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.
MOVED, PASSED AND ADOPTED by the City Council this 20thday of
December 1994.
4enryJ44afIrir,
Wybr
ATTEST:
VOTE:
Cza AYES : Councilmembers Leahy, Oaks ,
D puty City Clerk Solorio, Williams , Mayor Haflige
CERTIFICATE
The foregoing is certified to be a true copy of Resolution No. duly adopted by the
said City Council of the City of San Jacinto on the date set forth therein.
Laurie Mora, Deputy City Clerk