HomeMy WebLinkAboutAgenda Report - March 4, 1992 (51)Ium CITY DF zDDJ COUNCIL cOnemunuCAnQn
AGENDA TITLE: Agreement With Housing Authority of the County of San Joaquin for
Mortgage Credit Certificate Program
MEETING DATE: March 4, 1992
PREPARED BY: City Manager
RECOMMENDED ACTION: That the City Council adopt Resolution No. 92-42
approving the agreement between the City of Lodi and
the Housing Authority of the County of San Joaquin to
provide for the implementation of the Mortgage Credit Certificate Program in
the City of Lodi.
BACKGROUND INFORMATION: The Mortgage Credit Certificate Program will provide
sutstantial tax benefits to qualified first-time home
buyers at no cost to the City. Representatives of the
County's Housing Authority will be in attendance at
Wednesday night's meeting to review this program and answer any questions
Counciimembers may have. A copy of the agreement 1s attached (Exhibit A).
FUNDING: None required
TAP =br
Attachment
CCCOM..444/TXTA.07A
Respectfully submitted,
Thomas A. Peterson
City Manager
APPROVED. — ���
THOMAS A PETERSON .ecyWou POW
Cny Manager
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COOPERATIVE AGREEMENT BETWEEN
THE HOUSING AUTHORITY AND THE
CITY OF LODI
THIS COOPERATIVEAGREEMENT (the "Cooperative Agreement") is made and
entered into as of , 1992, by and between the Housing
Authority of the County of San Joaquin (the "Housing Authority"), and the City of
Lodi (the "City").
WITNESSES THAT:
WHEREAS, the Tax Reform Act of 1984 established the Mortgage Credit
Certificate Program (hereinafter referred to as the "MCC Program") as a means of
assisting qualified individuals with the acquisition of new and existing single family
housing; and
WHEREAS, the Housing Authority and the City have heretofore determined to
engage in an MCC Program pursuant to Section 50197, 21, sea. of the Health and
Safety Code of the State of Ca:ifornia (the "Act") in order to assist individual home
purchasers in the City of Lodi to afford both new and existing homes within the
statutory limits as provided for in said Act; and
WHEREAS, in furtherance of the MCC Program, the Housing Authority has
authorized its staff to apply to the California Debt Limit Allocation Committee
(CDLAC) for a mortgage bond allocation in the amount of $10,000,000, to be traded
for authority to issue Mortgage Credit Certificates in a face amount of $2,540,000
(based upon the 4:1 trade-in value of bond allocation); and
WHEREAS, it is expected that the application for the MCC Program will be
subsequently acted upon by CDLAC at its next regular meeting; and
WHEREAS, the City and the Housing Authority wish to cooperate with one
another pursuant to the Act in the exercise of their powers under the Act for the
purposes of the MCC Program; and
WHEREAS, the Housing Authority has the capacity both to issue bonds and to
establish and administer an MCC Program; and
WHEREAS„ the Housing Authority intends to administer an MCC Program in
the County, and the City desires that the Program be applicable to eligible real
property in the City.
A A-41
NOW, THEREFORE, In consideration of the mutual covenants hereinafter
provided, the parties hereto agree as follows:
SMON 1: The words and phrases of this Cooperative Agreement shall, for
all purposes hereof unless otherwise defined herein, have the meanings assigned to
such words and phrases in the Act.
SECTION 2: The Housing Authority shall staff a program for the effective
administration of an MCC Program within the geographical boundaries of the City.
The Housing Authority shall cooperate with local real estate and lending institutions
in orderto maintain their participation in securing applications from eligible applicants
for reviewand approvalby Housing Authority representativeson behalf of the Housing
Authority and the County.
SECTION 3: Nothing in this Cooperative Agreement shall prevent the Housing
Authority from entering into one or more similar agreements with the County of San
Joaquin and other municipalities within the County, if deemed necessary and
advisable to do so by the Housing Authority, so long as such other agreements are
not inconsistent with this Agreement.
SUMN 4: This Cooperative Agreement may be amended by one or more
supplemental agreements executed bythe Housing Authority and the City at any time
as long as those amendments comply with State and Federal MCC Program
regulations.
SECTION 5: This agreement may be terminated by either party upon 90 days'
written notice delivered to the other party. The term of this agreement shall extend
until such termination by written noticeor until the mortgagecredit certificates issued
from the allocation assigned in Section 3 hereof are fully retired, or shall terminate
should an allocation not be received from CDLAC.
SECTION 6: The City agrees to undertake such further proceedings or actions
as may be necessaryto carry out the terms and intent of this Cooperative Agreement
as expressed in the recitab; provided, however, that nothing in this Cooperative
Agreement shall requirethe City to appropriateany funds to the Housing Authority for
services under this Cooperative Agreement. Funds for the administration of the MCC
Program shall be derived by the Housing Authority from the fees paid by the MCC
applicants.
SECTION 7: Nothing contained herein shall be interpreted to impose a
relationship of partners or joint ventures between the City and the Housing Authority.
3N WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed and attested by their proper officers thereunder duly authorized, and their
2
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officials' seals to be hereto affixed, all as of the day first above written.
City of Lodi,
a municipal corporation
ATTEST
Clerk cf City of Lodi
M
Deputy Clerk
APPROVED AS TO FORM:
City Attorney
By
Mayor
W Cita W
By
Chief Deputy City Attorney
HOUSING AUTHORITY OF THE
COUNTY OF SAN JOAQUIN
ATTEST
By
David R. Ward, Secretary
"Housing Authority'
APPROVED AS TO FORM:
WILSON, HOSLETT & WHiTRIDGE
By
Al Warren Hosle"
Attorneys for Housing
Authority
3
IF
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RESOLUTION NO. 92-42
A RESOLUTION OF THE LODI CITY COUNCIL
APPROVING THE AGREEMENT BETWEEN THE CITY CF LODI
AND THE HOUSING AUTHORITY CI THE COUNTY OF SAN JOAQUIN
TO PRDVJDE FOR THE IMPLEMENTA11ON OF THE MORTGAGE CREDIT
CERTIFICATE PROGRAM IN THE CITY OF LODI.
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WHEREAS. implementation of the Mortgage Credit Certificate
Program in the City of Lodi will provide substantial tax benefits to
qualified first-time home buyers at no cost to the City;
NOX, THEREFORE, BE IT RESOLVED, that the Lodi City Council hereby
approves an Agreement (Exhibit A) between the City of Lodi and the
Housing Authority of the County of San Joaquin to provide for the
implementation of the Mortgage Credit Certificate Program in the City
of Lodi.
Dated: March 4, 1992
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1 hereby certify that Resolution No. 92-42 was passed and adopted
by the Lodi City ClQuncil in a regular meeting held March 4, 1992 by
the following vote:
Ayes: Council Members - Hinchman. Pennino, Sieglock. Snider
and Pinkerton (Mayor)
Noes: Council Members - None
Absent: Council Members - None
Alice K. Rei" mch�
City Cleric
92-42
RE59242/TXTA.02J
Alk
COOPEAV,iIVE AGREEMENT BETWEEN
THE HOUSING AUTHORITY AND THE
CITY OF LODI
THIS COOPERATIVEAGREEMENT (the "Cooperative Agreement") is made and
entered into as of '� (`hit � �-; `4, i 4y , 1992, by and between the Housing
Authority of the County of San Joaquin (the "Housing Authority"), and the Cty of
Lodi (the "City").
WITNESSES THAT:
WHEREAS, the Tax Reform Act of 1984 established the Mortgage Credit
Certificate Program (hereinafter referred to as the "MCC Program") as a means of
assisting qualified individuals with the acquisition of new and existing single family
housing; and
WHEREAS, the Housing Authority and the City have heretofore determined to
engage in an MCC Program pursuant to Section 50197. et. sea. of the Health and
Safety Code of the State of California (the "Act") in order to assist individual home
purchasers in the City of Lodi to afford both new and existing homes within the
statutory limits as provided for in said Act; and
WHEREAS, in furtherance of the MCC Program, the Housing Authority has
authorized its staff to apply to the California Debt Limit Allocation Committee
(CDLAC)for a mortgage bond allocation in the amount of $10,000,000to be traded
for authority to issue Mortgage Credit Certificates in a face amount of $2,500,000
(based upon the 4:1 trade-in value of bond allocation): aind
WHEREAS, it is expected that the application for the MCC Program will be
st:bsequently acted upon by CDLAC at its next regular meeting; and
WHEREAS, the City and the Housing Authority wish to cooperate with one
another pursuant to the Act in the exercise of their powers under the Act for the
purposes of the MCC Program; and
WHEREAS, the Housing Authority has the capacity both to issue bonds and to
establish and administer an MCC Program: and
WHEREAS„ the Housing Authority intends to administer an MCC Program in
the County, and the City desires that the Program be applicable to eligible real
property in the City.
NOW, THEREFORE, in consideration of the mutual covenants hereinafter
provided, the parties hereto agree as follows:
SECTION 1: The words and phrases of this Cooperative Agreement shall, for
all purposes hereof unless otherwise defined herein, have the meanings assigned to
such words and phrases in the Act.
SECTION 2: The Housing Authority shall staff a program for the effective
administration of an MCC Program within the geographical boundaries of the City.
The Housing Authority shall cooperate with local real estate and lending institutions
in order to maintain their participation in securing applications from eligible applicants
for review and approval by Housing Authority representatives on behalf of the Housing
Authority and the City.
SECTION 3: Nothing in this Cooperative Agreement shall prevent the Housing
Authority from entering into one or more similar agreements with the County of San
Joaquin and other municipalities within the County, if deemed necessary and
advisable to do so by the Housing Authority, so long as such other agreements are
not inconsistent with this Agreement.
SECTION 4: This Cooperative Agreemem may be amended by one or more
supplemental agreements executed by the Housir g Authority and the City at any time
as long as those amendments comply with State and Federal MCC Program
regulations.
SECTION 5: This agreement may be terminated by either party upon 90 days'
written notice delivered to the other party. The term of this agreement shall extend
until such termination by written notice or until the mortgage credit certificates are
fully retired, or shall terminate should ar, allocation not be received from CDLAC.
SECTION 6: The City agrees to undertake such further proceedings or actions
as may be necessary to carry out the terms and intent of this Cooperative agreement
as expressed in the recitals; provided. however, that nothing in this Cooperative
Agreement shall require the City to appropriate any fundsto the Housing Authority for
services under this Cooperative Agreement. Funds for the administration of the MCC
Program shall be derived by the Housing Authority from the fees paid by the MCC
applicants.
SECTION 7: Nothing contained herein shall be interpreted to impose a
relationship of partners or joint ventures between the City and the Housing Authority.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed and attested by their proper officers thereundei duly authorized, and their
2
officials' seals to be hereto affixed, all as of the day first above written.
ATTEST:
Clerk of City of Lodi
r f-
APPROVED AS TO FORM:
City Attorney
Byii229
� - --�
City Attomev
ATTEST:
David R. Ward, Secretary
APPROVED AS TO FORM:
WILSON, HOSLETT & WHITRIDGE
By
Al Warren Hoslett
Attorneys for Housing
Authority
3
City of Lodi,
a municipal corporation
Mayor
"City"
HOUSING AUTHORITY OF THE
COUNTY OF SAN JOAQUIN
By
"Housing Authority"