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RES-9246 Continuing Participation County of Orange Morgage Credit Certificate ProgramRESOLUTION NO. 9246 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ORANGE APPROVING THE CITY'S CONTINUED PARTICIPATION WITH THE COUNTY OF ORANGE IN A MORTGAGE CREDIT CERTIFICATE PROGRAM; AUTHORIZING AN APPLICATION BY THE COUNTY ON BEHAI..F OF THE CITY OF ORANGE AND/OR THE ORANGE REDEVELOPMENT AGENCY TO THE CALIFORNIA DEBT LIMIT ALLOCATION COMMITTEE FOR AN ALLOCATION OF AUTHORITY TO ISSUE MORTGAGE CREDIT CERTIFICATES FOR CALENDAR YEAR 2000 AND THE TRANSFER OF SUCH ALLOCATION TO THE COUNTY OF ORANGE; AND AUTHORIZING AND DIRECTING THE ORANGE REDEVELOPMENT AGENCY TO ADMINISTER THE CITY'S RESPONSIBILITIES UNDER THE PROGRAM. WHEREAS, the City Council of the City of Orange adopted Resolution No. 8722 on December la, 1996, determining that it was in the best interest of the City of Orange (the "City") to participate in the Mortgage Credit Certificate Program ("Program"), through the Orange Redevelopment Agency ("Agency"), and consenting to the operation of the Program by the County of Orange ("County") within the boundaries of the City pursuant to the provisions of Part 5 of Division 31 of the Health and Safety Code of the State of California (the "Act") and the Internal Revenue Code of 1986 (the "Code"); and WHEREAS, the Agency adopted Resolution No. ORA-0327 on December 10, 1996,approving the Agency's participation in the Program during calendar year 1997 for the benefit of first-time home buyers to be administered by the County of Orange (the " County"); and WHEREAS, the City entered into a Cooperative Agreement with the County on December 18, 1996, ("Cooperative Agreement") to permit the operation by the County of the Program within the boundaries of the City; and WHEREAS, the City Council of the City of Orange and the Board of Directors of the Agency have annually ever since calendar year 1997 approved the City and the Agency's continued participation in the Program; and WHEREAS, the Program has been operated both within and outside the redevelopment proje:ct areas ofthe Agency, but within the boundaries of the WHEREAS, the Agency previously found and determined that the project areas of the Agency willl be benefited by the operation of the Program outside such project areas but within the boundaries of the City; and WHEREAS, the City Council of the City of Orange desires to continue the City's participation in the Program for calendar year 2000 and has requested the Agency to administer the Program on behalf of the City and, to that end, desires to delegate to the Agency the City's authority under the Cooperative Agreement; and WHEREAS, the City Council of the City of Orange desires that the County file an application with the California Debt Limit Allocation Committee ("CDLAC") on behalf of the City and/or the Agency for an allocation of authority to issue mortgage credit certificates for calendar year 2000 which allocation, when and if received, the City and/or the Agency intends to transfer to the County; and WHEREAS, the City has requested the assistance of the Agency to make available to the City an amount not to exceed $15,000 in Housing Funds to be used to pay the Agency and/or City's proportionate share of administrative costs applicable to the allocation by CD LAC to the County of authority to issue mortgage credit certificates; and WHEREAS, the Agency has concurrently herewith found and determined that the use of a portion of the funds from its Housing Fund for the Program for calendar year 2000 may benefit qualified first-time homebuyers with the acquisition of homes located outside the boundaries of the City's redevelopment project areas and will, therefore, benefit the City's redevelopment project areas and is in the vital and best interests of the City of Orange and the health, safety and welfare of its residents, and in accord with the public purposes and provisions of applicable federal, state and local laws and requirements; and WHEREAS, the City Council desires to reaffirm the City's delegation of authority under theCoope:rative Agreement to the Agency for calendar year 2000 in consideration for the Agency's agreement to administer the Program on behalf of the City and to pay the City' s proportionate share of administrative costs applicable to the CD LAC allocation to the County of authority to issue mortgage credit certificates for calendar year 2000.NOW, THEREFORE, the City Council of the City of Orange resolves as follows:Section 1. Each of the foregoing recitals is true and correct.Section 2. The City hereby approves the filing of an application with CDLAC on behalf of the City and/or the Agency for an allocation of authority to issue mortgage credit certificates for calendar year 2000, the transfer of such allocation, when and if received, to the County and Reso No. 9246 the operation of the Program by the Agency, including the payment to the County of the City and/or Agency's proportionate share (based upon the number of participants in the Program) of administrative costs applicable to the allocation received from CDLAC, which share is estimated to not exceed $15,000. Section 3. The City hereby finds and determines that the operation of the Program both within and outside the: established redevelopment project areas, but within the boundaries of the City, will be of benefit to such established redevelopment project areas. Section 4. The officers and employees of the City are authorized and directed, jointly and severally, to do any and all things necessary or advisable in order to effectuate the purposes of this resolution or the issuance of the mortgage credit certificates by the County and the administration of the Program by the Agency, and all actions previously taken by such officers and employees in connection with the application for the allocation authorized to be requested are ratified and approved. Section 5. The City hereby delegates to the Agency the City's responsibility under the Cooperative Agreement to administer the City's duties and responsibilities under and pursuant to the Cooperative Agreement and to participate in the Program on behalf of the City for the purpose of increasing the affordable housing supply in the County and in the City. Section 6. The City Manager, or his designated representative, is authorized, on behalf of the City, to take such steps and execute such documents as are determined necessary and appropriate by the County and/or CDLAC for the submission of an application to CDLAC on behalf of the City and/or the Agency for application to the issuance of mortgage credit certi:ficates by the County. The City Manager, or his designated representative, will assure that the principal amount of mortgage credit certificate authority will not be exceeded by requiring the County to certify that the amount of mortgage credit certificates issued by the County will not exceed the maximum allowable amount. Section 7. The City Council hereby authorizes the transfer to the County of the total principal amount, if any, of the authority to issue mortgage credit certificates allocated to the City and/or the Agency by CDLAC. The City Manager, or his designated representative, is authorized and directed to take such steps and execute such documents on behalf of the City as are necessary to effect the transfer of such allocation to the County solely for application to the issuance of mortgage credit certificates, which are to be used to induce the origination of home mortgage loans to qualifying persons who will reside within the City and the County. 3 Reso No. 9246 Section 8. The officers and employees of the City are authorized and directed, jointly and severally, to do any and all things necessary or advisable in order to effectuate the purposes of this resolution or the issuance of the mortgage credit certificates by the County, and all actions previously taken by such officers and employees in cormection with the application for the allocation authorized to be requested are ratified and approved. ADOPTED this 28th day of March, 2000. ATTEST: Cassandra J. Cath I hereby certify that the foregoing Resolution was duly and regularly adopted by the City Council of the City of Orange at a regular meeting thereof held on the 28th day of March, 2000, by the following vote: AYES: COUNCIL MEMBERS: NOES: COUNCIL MEMBERS: ABSENT: COUNCIL MEMBERS: ABSTAIN: COUNCIL MEMBERS: MURPHY, SLATER, COONTZ, SPURGEON, ALVAREZ NONE NONE NONE Reso No. 9246 4