R-91-1546 - 1/10/1991ti
RESOLUTION
No. )5 1 440
WHEREAS, pursuant to the Texas Housing Finance Corporations Act,
Chapter 394, Local Government Code, V.T.C.A. (the "Act "), the creation of
the Capital Area Housing Finance Corporation (the "Corporation ") was
approved by resolution of the governing bodies of the City of San Marcos,
Texas and each of the Texas counties of Bastrop, Blanco, Caldwell, Fayette,
Hays, Llano and Williamson (the "Local Governmental Units "), to provide a
means of financing the cost of residential ownership and development that
will provide decent, safe and sanitary housing for persons and families of
low and moderate income; and
WHEREAS, the Corporation has the power under the Act to issue its
bonds (the "Bonds ") to defray, in whole or in part, the costs of purchasing
or funding the making of home mortgages, provided that the aggregate
principal amount of such bonds in any calendar year shall not exceed the
total of (a) the costs of issuance of such bonds, any reserves or capitalized
interest required by the resolution or resolutions authorizing the bonds,
plus any bond discounts, and (b) the largest of (i) $20,000,000, (ii) a figure
determined by multiplying $150 times the population of the Local
Governmental Units as determined by the Corporation's rules and
regulations, resolutions relating to the issuance of bonds, or financing
documents relating to such issuance, or (iii) an amount equal to 25% of the
total dollar amount of the market demand for home mortgages during such
calendar -year as determined by the Corporation's rules or regulations,
resolutions relating to the issuance of bonds, or financing documents
relating to such issuance; and
WHEREAS, the Internal Revenue Code of 1986, as amended, requires
that the Corporation obtain a portion of the volume cap allocated to Texas
before issuance of bonds such as the Bonds (other than refunding bonds);
and
WHEREAS, Article 5190.9a, V.T.C.A. (the "Allocation Act "), provides
that in determining the amount of volume cap available to the Corporation
the population of any governmental unit within one of the Local
Governmental Units, with a population of 20,000 or more as determined in
the most recent federal census can be included only if such governmental
unit assigns its authority to issue bonds such as the Bonds to the
Corporation; and
WHEREAS, the Corporation has requested the approval of the
governing body of the City of Round Rock, Texas (the "City ") to provide,
with the proceeds of the issuance of the Corporation's Bonds, financing for
home mortgages for homes in that area of the City that is located within
Williamson County, Texas;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ROUND
ROCK, TEXAS THAT:
Section 1: The preambles to this Resolution are hereby adopted in
their entirety and incorporated herein as though set forth in full herein.
Section 2: The City Council hereby approves the application of the
Act and the Allocation Act to property within the City that is located
within Williamson County, Texas, grants its approval to the Corporation for
the use of proceeds of the Bonds to finance home mortgages for homes
located within such portion of the City and hereby assigns to the
Corporation its authority to issue single family mortgage revenue bonds in
1991, based upon that portion of the City's population that resides in
Williamson County, Texas.
Section 3: To indicate the City's desire to participate in this
program, a copy of this resolution will be forwarded to the Capital Area
Housing Finance Corporation.
RESOLVED this )0 .-.);‘) day of OA4_ , 1991.
ATTEST:
ANNE LAND, City Secretary
MIKE ROBINSON, Mayor
City of Round Rock, Texas
DATE: January 8, 1991
SUBJECT: City Council Meeting, January 10, 1991
ITEM: 13.D. Consider a resolution indicating the City's desire to
participate in the 1991 Capital Area Housing Finance
Corporation Single Family Mortgage Revenue Bond
Program,
STAFF
RESOURCE PERSON: Joe Vining
The attached resolution authorizes the participation in the 1991 Capital
Area Housing Finance Corporation Single Family Mortgage Revenue Bond
Program. This program is designed to help first time homebuyers by
providing below market rate mortgage loans.
The City involvement is limited to the passage of this resolution. The
funds are provided by the sale of bonds then administered by local banks.
Please see item 3.A. for additional information.
Economic Impact:
This program will provide an additional $3,741,000 for mortgage loans in
the Round Rock city limits.