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HomeMy WebLinkAboutReso 94-096 - Authorize application to the California Debt Limit Allocation Committee for Mortgage Credit Certificate Issuance Authority RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING AUTHORIZING APPLICATION TO THE CALIFORNIA DEBT LIMIT ALLOCATION COMMITTEE FOR MORTGAGE CREDIT CERTIFICATE ISSUANCE AUTHORITY WHEREAS, there is a recognized need for affordable homeownership opportunities within the City of Redding, particularly for households at the lower end of the purchasing spectrum; and WHEREAS, the issuance of Mortgage Credit Certificates (MCCs) to individual home purchasers in other California jurisdictions has been shown to enhance the affordability of both new and existing homes within the statutory limits; and WHEREAS, the Mortgage Credit Certificates (MCC) Program is an element of the mortgage bond allocation distributed to local agencies for private activity by the California Debt Limit Allocation Committee and does not restrict the City of Redding's ability to issue bonds for municipal projects; and WHEREAS, the Redding Redevelopment Agency has expressed its desire to continue to administer a Mortgage Credit Certificate Program for the residents of the City of Redding; and WHEREAS, Mortgage Credit Certificates are of comparable value to the subsidy provided by Mortgage Revenue Bonds with very few associated costs; and NOW, THEREFORE, BE /T RESOLVED by the City Council of the City of Redding that the City Manager is hereby authorized to make application to the California Debt Limit Allocation Committee (CDLAC) in the name of the City of Redding for a mortgage bond allocation in the amount of $5,000,000 to be traded for authority to issue Mortgage Credit Certificates in a face amount of $1,250,000 (based upon the 4:1 trade-in value of bond allocation) with the Redding Redevelopment Agency r� r a 0 • designated as the Agency responsible for implementation of this program within the City of Redding. / HEREBY CERT/FY that the foregoing resolution was introduced and read at a regular meeting of the City Council of the City of Redding on the 19th day of April 1992, and was duly adopted at said meeting by the following vote: AYES: COUNCIL MEMBERS: P. Anderson, Kenoe, McGeorge, Murray and R. Andersc NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None ABSTAIN: COUNCIL MEMBERS: None e �G W ERT C. ANDERSON, Mayor City of Redding ATTEST: CONNIE STROHMAYER, 6tlerk FORM APPROVED: RA DALL A. HA S, City Attorney D:\dl\MCC-RES.CC