HomeMy WebLinkAboutMINUTES - 09281993 - 1.24 /0y
TO: BOARD OF SUPERVISORS SEL Contra
Costa
FROM: Phil Batchelor, County Administrator
County
DATE: September 28, 1993
SUBJECT: Adopt a Position In Support of Proposition 173
SPECIFIC REQUEST(S)OR RECOMMENDATION(S)&BACKGROUND AND JUSTIFICATION
RECOMMENDATION:
ADOPT a position in SUPPORT of Proposition 173, the California
Housing and Jobs Investment Act, on the November 1993 ballot.
BACKGROUND:
The First-Time Homebuyers Act of 1982 allowed the state to sell
$200 million in bonds, or long-term loans, to help reduce the
interest rate for people having difficulty buying their first home.
Because of restrictions built into the program, however, only $15
million was used. Another way to help first-time buyers is to
provide mortgage insurance, which reduces the required down
payment.' Often people who can afford monthly payments cannot
afford a large down payment.
This measure would replace the 1982 act with a new program that
focuses on mortgage insurance rather that low interest rates.The
new program would allow the state to sell the remaining $185
million in bonds that were authorized but never sold under the
previous program. Mortgage insurance would be provided to 5,000 to
10,000 low- or moderate-income, first-time homebuyers each year.
The bond funds would be used as insurance in case the buyers
defaulted on the loans . Buyers would pay a fee for the insurance
which would pay back the state for money it spends on the bonds.
The Advisory Housing Commission supports Proposition 173 .
CONTINUED ON ATTACHMENT: YES SIGNATURE:
RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE
APPROVE OTHER
SIGNATURE(S):
ACTION OF BOARD ON September 28,1993 APPROVED AS RECOMMENDED X OTHER
VOTE OF SUPERVISORS
I HEREBY CERTIFY THAT THIS IS A TRUE
_2L UNANIMOUS(ABSENT ) AND CORRECT COPY OF AN ACTION TAKEN
AYES: NOES: AND ENTERED ON THE MINUTES OF THE BOARD
ABSENT: ABSTAIN: OF SUPERVISORS ON THE DATE SHOWN.
ATTESTED September 28,1993
Contact: Claude Van Marter 646-2602 PHIL BATCHELOR,CLERK OF THE BOARD OF
M. County Administrator
Community Development Department SUPERVISORS AND COUNTY ADMINISTRATOR
Housing Authority of the
County of Contra Costa
Legislative Delegation BY B °"`-�q DEPUTY