HomeMy WebLinkAbout85-70 - ResolutionsRESOLUTION NO. 85-70
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO
CUCAMONGA APPROVlNG HOUSING POLICY REPORT OF THE CITY OF
RANCHO CUCAMONGA UNDER INTERNAL REVENUE CODE SECTION 103A
AND DIRECTING ITS PUBLICATION
RESOLVED, by the City Council of the City of Rancho Cucamonga,
California, as follows:
WHEREAS, Section 103A(J)(5) of the Internal Revenue Code of 1954, as
amended, as implemented by proposed and temporary regulations of the
Department of the Treasury, Section 6a.103A-2(1), requires the applicable
elected representative of an issuer of qualified mortgage subsidy bonds to
publish, after public hearing, a housing polley report; and
WHEREAS, this Council is the applicable elected representative of the
City of Rancho Cucamonga which City proposes to issue in 1985 qualified
mortgage subsidy bonds; and
WHEREAS, this Council has received a draft housing policy report
dated September 30, 1984, and has reviewed each and every part thereof and
this Council has conducted a duly noticed public hearing; and
WHEREAS, it is in the public interest and for the public benefit that
said housing policy report be approved and published.
NOW, THEREFORE, it is hereby ORDERED and DETERMINED as follows:
1. The City Manager of the City is hereby authorized and
directed to prepare a summary of the comments made at the
aforesaid public hearing and to cause said summary to be
included as a part of the Policy Report uhder Section 103A.
2. The report of the City of Ranoho Cucamonga entitled,
"Policy Report Under Section 103A", and dated September 30,
1984, is hereby approved with the inclusion of said s,Jmm~ry
of comments.
3. The Mayor of the City, as a member of this Council, is
hereby authorized and directed to execute said report on
behalf of this Council as the duly elected representative
of the City.
4. This Council does hereby publish the Report by authorizing
and directing the City Clerk, and the City Clerk is hereby
so authorized and directed, to make said Report available
in the Office of the City Clerk for distribution to the
public.
5. The City Clerk of the City is hereby authorized and
directed to file the Report with the Internal Revenue
Service at the Internal Revenue Service Center,
Philadelphia, Pennsylvania 19255.
Resolution No. 85-70
Page 2
ATTEST:
PASSED, APPBOVED, and ADOPTED this 6th day of MARCH, 1985.
AYES: Wright, Buquet, Mikels, Dahl, King
NOES: None
ABSENT: None
~Aut~l e~
Resolution No. 85-70
Page 3
HOUSING POLICIES REPORT
Section 103A(3)(5), as added by Section 611 of the Tax Reform Act of
lgg4. requires the filing with the Internal Revenue Service of a housing
policies report prior to the issuance of qualified mortgage bonds. The
substantive and procedural requirements pertaining to such a report are set
forth in proposed and temporary regulations section 6a.lO3A-2<l) and are more
particularly described below:
I. Content of Report
A. Cover Page. The cover page of the report must contain the name
of the Issuer of the Proposed issue of qualified mortgage bonds during
the forthcoming year, the tax identification number ("EID Number") of
SuCh issuer, and the title, "Policy Report Under Section 103A."
8. General Content. The report must contain four sections: (1) a
statement of policies and goals regarding housing. development. and
low-income housing assistance: (2) an assessment of compliance with
prior report; (3) an assessment of compliance with Congressional intent:
and (4) a summary of comments received at public hearing. These
sections are discussed below.
(1) Policy Statement. The policy statement section is to be
divided into three parts, the first to discuss policies and qoals
regarding housing, the second to discuss Policies and gotis
re~tng development and the third to discuss policies and goals
reqardtng low-income housing asslstanct. 'These parts are discussed
below.
(A) The statement as to housing policies and goals must
include a statement as to (1) whether the proceeds of the
proposed issue of bonds will be used to provide financing for
acquisition of residences, to provide qualified home
improvement loans, or to provide qualified rehabilitation
loans; (ti) whether all or a portion of the proceeds will be
targeted to new, existing, or any other particular class or
type of housing; (il)) how the existence of a need or absence
of a need for such targeting has been determined; (iv) the
method by which the proceeds of the proposed bonds will be
targeted; (v) any other pertinent information relating to the
issuer's housing Policies; and (vii how the housing Policies
related to the issuer's development and low-income housing
assistance policies.
Resolution No, 85-70
Page 4
(8) The statement as to development policies and goals
must include (i) a statement as to whether all or a portion of
the proceeds will be targeted to specific areas (including
targeted areas as described in the law); (ill a description of
the areas to which the proceeds will be targeted: (iii) a
summary of the reasons for selecting such areas; (iv) a
Statement as to whether Proceeds targeted to each area are to
be used to finance redevelopment of existing housing or new
construction; <v) any other pertinent information relating to
the issuer's development policies; and (vii a statement as to
how the development policies relate to the iSsuer's housing
and low-income housing assistance policies.
(C) The statement as to low-income housing assistance
~oltcies and goals must include a statement as to (1) whether
all or a portion of the proceeds of the proposed bonds will be
targeted to low-income (meaning, 501 of median income),
moderate-income (meaning. 80~ of median income) and
median-income (meaning, 100l of median income) families; (it)
the method by which the proceeds will be targeted to such
families; (itS) any other pertinent information relating to
the isSuer's lOw-lncome housing policies; and (lv) how the
low-income housing assistance policies relate to the lssuers
housing and development policies. (The term "family" means
two or more persons related by blood, marriage, or operation
of law. The term "median income" means the median income for
the area. as determined with adjustments for smaller and
larger families by HUD.)
(2) Assessment of Complfance with P~ior Report. The section
constituting an assessment of compliance ~ith the prior report must
assess the compliance of the issuer during the twelve-month period
ending with the "date of the report" (see below) with the statement
of housing, development. and low-income housing assistance policies
with respect to qualified mortgage bonds and mortgage credit
certificates that were set forth in the report. if any, published
in the preceding year, including a statement as to whether the
issuer successfully implemented its policies and achieved its goals
and, if not, an analysis of the reasons for such failure.
The term "date of the report", for the purpose of the above
paragraph, means the last day of the twelve-month period for which
such assessment of compliance is made. The date of the report must
be the last day of September, October, or November, and an tssuer
must use the same date of the report in each year. The "date of
the report" for the purpose of the assessment of compliance is not
the date that the report is published or filed.
Resolution No. 85-7~
Page 5
(3) Assessment of Compliance with Intent o? Congress. The
section constituting an assessment of compliance with the intent of
Congress must assess the compliance of the issuer during the
twelve-month period ending with the "date of the report" <see
below) with "the intent of Congress that State and local government
are expected to use their authority to issue qualified mortgage
bonds and mortgage credit certificates to the greater extent
feasible (taKing into account prevailing interest rates and
conditions in the housing market) tO assist lower income families
to afforq home ownership before assisting higher income families."
This section must include a description of <l) the method used
by the tssuer to distribute proceeds of bonds. <2) whether and how
that method enabled the tssuer to assist lower income families
before higher income families. anq (3) any income levels that have
been defined and used by the Issuer in connection with the
distribution of the Proceeds. (No specific definition of lower and
higher income is imposed by the law on issuers.)
The term "date of the report" has the same meaning for this
section of the report as above-described for the preceding section.
(4) Summary of Comments. This section of the report must
contain a summary of the comments on the Proposed report which were
received at the public hearing described below.
II. Procedural Requirements.
A. Responsible Parties
(1) Author of Report. The report is the report of the
Proposed tssuer of the bonds or the governmental unit on whose
behalf bonds are to be issued.
(2) Publisher of Report. The report must be "published" <see
below) by the "applicable elected representative" of the
governmental unit which is the tssuer of the bonds or the unit on
whose behalf bonds are to be issued. The applicable elected
representative of a city is the city council: the applicable
elected representative of a county is the board of supervisors. the
appiicable elected representative of a redevelopmerit agency or
housing authority is the city council of the city in which the
redeve)opment agency or housing authority is located. or. in the
case of a county redeve)opment agency or a county housing
authority. the board of supervisors of the county in which the
redeve)opment agency or housing authority is located.
Resolution No. 85-70
6
(3) Holder of the Hearing. While "compliance with State
procedural requirements . . . will generally assure that the
hearing satisfies the requirements." the hearing may De conducted
by any individual appointed or employed to perform such function by
the government unit. its agencies or the issuer. As a general
proposition. therefore, the hearing should be held by the
applicable elected representative which is to be the publisher of
the report.
(4) Multiple Jurisdictions. With respect to the author of
the report. a single report may be filed in the case of an issuer
that issues qualified mortgage bonds on behalf of two or more
governmental units (such as a Joint powers authority), but in such
event, the report must be signed either by the applicable elected
representative of each governmenta) unit on whose behalf
obligations have been issue~ during any preceding calenOar year. or
by the Governor of the state in which the issuer is located.
With respect to the hearing. if an iSsuer issues bonds on
behalf of two or more governmenta] units, each governmental unit on
whose behalf qualifieO mortgage bon~s were issued during the
preceding calendar year and each governmental unit on whose behalf
the issuer reasonably expects to issue qualified mortgage bonds
during the succeeding calenOar year must hold a public hearing. A
multiple Jurisdiction tssuer may hold a combined hearing if the
combined hearing is a joint undertaking that provides all residents
of the Participating governmental units a reasonable opportunity to
be heard. The location of a combineO hearing is presumed to
provide reasonable opportunity for all affected residents to be
heard if it is no farther than lO0 miles from the seat of
government of each participating governmental unit beyond whose
jurisdiction the hearing is to be held.
B. Public Hearing.
(1) Notice.
(A) The hearing must be preceded by notice published
once in a newspaper of general circulation within the
boundaries of the issuer not less than 14 full days before the
hearing. (Thus. if the notice is published on day one, then
the hearing may be held on day fifteen.)
(B) The notice of hearing must contain the following
information: (i) the time and place for hearing; (ill any
applicable limitations regarding participation in such
hearing; (tit) the manner in which affected residents may
obtain copies of the proposed report prior to the hearing; and
(iv) a description, in brief and summary terms, of the report.
Resolution No. 85-70
Page 7
<2) The Nearing. The hearing must be a "forum providing a
reasonable opportunity for interest individuals to express their
view,both orally and in writing on the report that the applicable
elected representative proposes to publish. Local nearing
procedures apply. Reasonable requirements on persons who wish to
participate may be imposed (such a requirement that remarks be
limited to 10 minutes). The applicable elected representative neeO
not be present at the hearing.
B. Publication of Report. The reBort must be published after a
public hearing following reasonable public notice. "Publication" for
the purposes of this requirement means making copies of the feBoft
available for distribution to the public. Reasonable public notice of
the manner in which copies of the report may be obtained must be
provided and such notice may be incluOeO as a part of the notice of
public hearing.
C. Filing of Report. After hearing and publication of the report,
the report must be filed with the Internal Revenue Service Center,
Philadelphia. Pennsylvania t9255, The filing of the lgB4 report must
take place not later than March ll, 1985. The filing of subsequent
reports must take place not later than the end of the year <DecemBer 31)
prior to the year in which qualified mortgage bonds are proposed to be
issued.
D. Summary of Procedure. Thus the applicable procedure is as
follows:
Preparation of report.
(li) Publication of notice of hearing
(iii) Holding of hearing
(iv) Approval of report by applicaple elected representative.
(v) Publication (maKing available to the public) of the
report.
(vi) Filing of the report.