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HomeMy WebLinkAbout95-015 - ResolutionsRESOLUTION NO. 95-015 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA AUTHOI~.JZING AN APPLICATION TO THE CALIFORNIA DEBT LIMIT ALLOCATION COMMITTEE TO PERMIT THE ISSUANCE OF QUALIFIED MORTGAGE BONDS WHFREAS, there is a shortage in the City of Rancho Cucamonga (the "City") of decent, safe and sanitary housing, particularly of housing affordable by persons in the lower end of the purchasing specUum, and a consequent need to encourage the construction of homes affordable by such persons and, o~xwise, to increase the housing supply in the City for such persons (a "Housing Program"); and WHEREAS, in furtherance of the foregoing, the City wishes to provide for the issuance of qualified mortgage bonds pursuant to Part 5 of Division 31 of the Health and Safety Code of the State of Califon~ by the City or by a joint powers agency ((the "Authority") to be established by the City with another city or other cities desiring to participate in a Housing Program; and WHEREAS, Section 146 of the Internal Revenue Code of 1986, as amended (the "Code"), limits the amount of qualified mortgage bonds that may be issued in any calendar year by entities within a state and authorizes the legi~msre of such state to provide the method of allocating authority to issue qualified mortgage bonds within such state; and WHEREAS, Chapter 11.8 of Division 1 of Title 2 of the Government Code of the State of California governs the allocation in the State of California of the state ceiling established by Section 146 of the Code among governmental units in the State having the authority to issue qualified mortgage bonds; 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 CCDLAC") prior to the issuance of qualified mortgage bonds; and WHEREAS, CDLAC procedures require an applicant for a portion of the state ceiling to certify to CDLAC that the applicant has on deposit an amount equal to one percent (1%) of the amount of allocation requested; Resolution No. 95-015 Page 2 NOW, THEREFORE, BE IT RESOLVED by the City Council of Rancho Cucamonga, as follows: SECTION 1. The City Manager of the City, or his designee, is hereby authorized, on behalf of the City or on behalf of the Authority in cooperation with any city participating in the Housing Program, to submit or cause to be submitted an application, and such other documents as may be required, to CDLAC pursuant to Government Code Section 8869.85 for an allocation of a portion of the state ceiling (as that term is defined in the Government Code) in an mount not to exceed $20,000,000 for application toward the issuance of qualified mortgage bonds by the City or the Authority on behalf of the City, as applicable, the final determination of the mount to be so applied for to be determined by the City Manager or his designee. SECTION 2. An mount of not less than one percent (1%) of the requested allocation is hereby authorized to be placed into an escrow account, and the City Manager of the City, or his designee, is authorized to certify to CDLAC that such timds are available. SECTION 3. The deposit referred to in Section 2 shall, with respect to the application to CDLAC for qualified mortgage bonds, consist solely of those amounts hereat~er deposited by developers and lenders with the City or the Authority for such purpose and, in the absence of such deposit, such application shall not be made to CDLAC. SECTION 4. The officers and employees of the City are hereby authorized and directed to do any and all things necessary or advisable in order to effectuate the purposes of this resolution, and all actions previously taken by such officers and employees in connection with the establishment of the Housing Program and the issuance, sale and delivery of qualified mortgage bonds are hereby ratified and approved. SECTION 5. This Resolution shall take effect from and after its adoption. PASSED, APPROVED, AND ADOPTED this 15th day of February, 1995. AYES: Alexander, Biane, Curatalo, Gutierrez, Williams NOES: None ABSENT: None William j. Alex-~er,~ May~f(- ~ Resolution No. 95-015 Page 3 ATTEST: De6 . , (gg, lC, City Clerk I, DEBRA J. ADAMS, CITY CLERK of the City of Rancho Cucamonga, California, do hereby certify that the foregoing Resolution was duly passed, approved, and adopted by the City Council of the City of Rancho Cucamonga, California, at a regular meeting of said City Council held on the 15th day of February, 1995. Executed this 16th day. of February, 1995, at Rancho Cucamonga, California.