HomeMy WebLinkAboutSCC - MCC Cooperative AgreementCOUNTY OF SANTA CLARA LL�� ccFFpp ��3 PM 3= 08
MORTGAGE CREDIT CERTIFICATE (MCC) PR�GiVi
MCC COOPERATIVE AGREEMENT BETWEEN THE COUNTY OF SANTA CLARA AND
THE CITY OF GILROY
THIS MCC COOPERATIVE AGREEMENT (the "Cooperative Agreement ") is hereby
made and entered into as of this ay of � 2016, by and between the County
of Santa Clara, California, (the "County ") and the CRY of Gilroy (the "City ").
WITNESSETH
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 County and City have determined to engage in an MCC Program pursuant to
Chapters 1399, Statutes of 1985 Section 50197, et seq of the Health and Safety Code of the State of
California (the "Act ") and as authorized by the Internal Revenue Code of 1986 (the "Code ") in order to
assist individual home purchasers in the County 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 City Council has authorized the County to
apply to the State of California Debt Limit Allocation Committee (CDLAC) in the name of the City for a
mortgage bond allocation to be traded for authority to issue Mortgage Credit Certificates; and
WHEREAS, the County of Santa Clara, Office of Supportive Housing, or its Designee, is
administering a County -wide MCC Program; and
WHEREAS, the City and County 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 County will be operating an MCC Program in the County, and the City desires
that the Program be applicable to otherwise eligible real property in the City; and
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WHEREAS, the County, pursuant to the Act, has established the MCC Program, od l as
determined to cooperate with the City pursuant to the Act and in the exercise of its powers umer the
Act for purposes of the Program. -V
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NOW, THEREFORE, in consideration of the mutual covenants hereinafter provided, 4be
parties hereto agree as follows: _
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SECTION 1. The words and phrases of this Cooperative Agreement shall, for all purpose hereof
unless otherwise defined herein, have the same meanings assigned to such words and phrases in the
MCC Cooperative Agreement 2015 Page 1 of 3
g,[ 03 �- VENDOR'S COPY AUG 3 0 2016
Act.
SECTION 2. The County agrees to use its best efforts to undertake the Program and to issue
mortgage credit certificates therefore pursuant to the Act and the Code from time to time to the
extent that the County receives allocations from the California Debt Limit Allocation Committee
(" CDLAC ").
SECTION 3. The City represents and warrants to the County that: (i) the City has heretofore
adopted a general plan for the City in conformance with the provisions Planning Zoning Law of the
State of California (Government Code Sections 6500 et seq.), (ii) said general plan includes a land
use element and a housing element as required by Government Code Section 65302, and (iii) the
Program complies with said land use element and housing element.
SECTION 4. The City agrees that the County may issue mortgage credit certificates under the
Program, as specifically set forth in the Act and the Code, with respect to property located within the
geographic boundaries of the City and further agrees that the County may exercise any or all of the
City's powers for the purpose of issuing mortgage credit certificates pursuant to the Act and the Code
with respect to property located within the geographic boundaries of the City.
SECTION 5. This Agreement may be terminated by either party upon 60 days written notice delivered to the
other party, provided that termination of this Cooperative Agreement shall not adversely affect the
rights of the owners of any mortgage credit certificates issued by the County in connection with the
MCC Program. The term of this Agreement shall extend until such termination by written notice.
SECTION 6. The City agrees to undertake such further proceedings or actions as may be necessary to carry
out the terms an intent of this Agreement as expressed in the recitals hereto; provided, however, that nothing
herein shall require the City to appropriate any funds to the County for services under this Agreement. Funds
for the administration of the program shall be derived by the County from the application fees paid by MCC
applications administered by the County. These fees shall be collected and retained by the County in all cases
administered by the County.
SECTION 7. Nothing in this Cooperative Agreement shall prevent the County from entering in to one or
more agreements with other municipal corporations within the County, if deemed necessary and advisable to do
so by the County.
SECTION 8. This Cooperative Agreement may be amended by one or more supplemental agreements
executed by the County and the City at any time.
SECTION 9. Nothing contained herein shall be interpreted 'to impose a relationship of partners or joint
ventures between the City and the County, except that no such amendment or supplement shall be
made which shall adversely affect the rights of the owners of any mortgage credit certificates
issued by the County in connection with the Program.
SECTION 10 In lieu of and not withstanding the pro rata risk allocation which might otherwise be
imposed between the Parties pursuant to Government Code Section 895.6, the Parties agree that all
losses or liabilities incurred by a party shall not be shared pro rata but instead the County and City
MCC Cooperative Agreement 2015 Page 2 of 3
agree that pursuant to Government Code Section 895.4, each of the parties hereto shall fully indemnify
and hold each of the other parties, their officers, board members, employees and agents, harmless from
any claim, expense or cost, damage or liability imposed for injury (as defined by Government Code
Section 810.8) occurring by reason of the negligent acts or omissions or willful misconduct of the
indemnifying party, its officers, board members, employees or agents, under or in connection with or
arising out of any work, authority or jurisdiction delegated to such party under this Agreement. No
party, nor any officer, board member, employee or agent thereof shall be responsible for any damage
or liability occurring by reason of the negligent acts or omissions or willful misconduct of other parties
hereto, their officers, board members, employees or agents, under or in connection with or arising out
of any work, authority or jurisdiction delegated to such other parties under this Agreement.
IN WITNESS WHEREOF, the parties have executed this as indicated below.
CITY OF GILROY
By: S� a�71�
City Administrator to
Gab e1 iq , GMzGi5-z
Print Name City Ad ' istr or
f
Crty derk Date
APPROVED AS TO FORM AND
LEGALIT
�.L�City Attorney Date
Print Name
COUN 'TA CLARA:
By: AUG 3 0 2016
Dave Corte le Date
President, Board of Supervisors
ATTEST: AUG 3 0 2016
Megan Doy Date
Clerk, Board of Supervisors
APPROVED AS TO FORM AND
LEG TY:
Date
Christopher Cheleden
Lead Deputy County Counsel
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