Resolution 1991-29
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RESOLUTION NO. 91 - 29
RESOLUTION OF THE COUNCIL OF THE CITY OF GILROY RELATING TO AN APPLICATION
FOR ALLOCATION OF MORTGAGE CREDIT CERTIFICATE ISSUANCE AUTHORITY.
WHEREAS, there is a continued need for affordable homeownership
opportunities within the City of Gilroy particularly for households at the
lower end of the purchasing spectrum; and
WHEREAS, issuance of Mortgage Credit Certificates to individual
home purchasers would enhance the affordability of both new and existing
homes within the statutory limits; and
WHEREAS, Mortgage Credit Certificates are of comparable value to
the subsidy provided by Mortgage Revenue Bonds with very few associated
costs; and
WHEREAS, Congress and the President of the United States have seen
fit to extend the MCC Program; and
WHEREAS, the
Exercise of Powers
strength of proposal.
Mortgage Credit
and Cooperative
Certificate program allows Joint
Agreements for administration and
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of
Gilroy approves the Joint Exercise of Powers Agreement and Cooperative
Agreement with the County of Santa Clara; and
BE IT FURTHER RESOLVED by the City Council of the City of Gilroy
that the County of Santa Clara's Housing Bond Coordinator is hereby
authorized to act under the Joint Exercise of Powers Agreement to make
immediate application to the California Debt Limit Allocation Committee in
the name of the City of Gilroy for a mortgage bond allocation in the amount
of $3,600,000 to pe traded for authority to issue Mortgage Credit
Certificates in a face amount of $900,000 (based upon the 4:1 trade-in value
of bond allocation); and
BE IT FURTHER RESOLVED by the City Council of the City of Gilroy
that the executed Cooperative Agreement be sent with the application to
describe the cooperative relationship between the County of Santa Clara and
the City of Gilroy, such relationship allowing the City of Gilroy to
transfer portions of the allocation to the County at the City of Gilroy's
discretion if the allocation is not used by the City; and
BE IT FURTHER RESOLVED that proof of a Certificate of Deposit be
sent with the application pledging the deposit amount equal to one percent
of the bond amount requested to assure the State of California the the MCC
Program will utilize the Allocations requested.
PASSED AND ADOPTED, at a regular meeting of the City Council of the
City of Gilroy this 20th day of May 1991, by the following
vote:
AYES:
COUNCILMEMBERS: GAGE, HALE, MUSSALLEM, NELSON, VALDEZ
and HUGHAN.
NOES:
COUNCILMEMBERS: None
ABSENT:
COUNCILMEMBERS: KLOECKER
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RESOLUTION NO. 9 - 29
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I, SUSANNE E. STEINMETZ, City Clerk of the City of Gilroy, do
hereby certify that the attached Resolution No.
91-29
is an original
resolution, duly adopted by the Council of the City of Gilroy at a regular
meeting of said Council held on the 20th
day of
May
, 19~,
at which meeting a quorum was present.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the
Official Seal of the City of Gilroy this 21st day of May
19 91.
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(Seal)