HomeMy WebLinkAboutMINUTES - 12012009 - C.90RECOMMENDATION(S):
AUTHORIZE the Director of Conservation and Development, or designee, to prepare and
submit the necessary applications and certifications to the California Debt Limit Allocation
Committee for $45 million in Private Activity Bond Authority for Mortgage Credit
Certificates.
FISCAL IMPACT:
None. No General Fund monies are involved. All costs associated with the issuance and
administration of this program are covered by fees paid by program participants. The
issuance of a Mortgage Credit Certificate does not involve the issuance of any debt by the
County, therefore there is no pledge of revenue by the County, or any party contracting with
the County.
BACKGROUND:
Contra Costa County began operation of a Mortgage Credit Certificate (MCC) Program in
June 1991. Mortgage Credit Certificates are an alternative means of assisting low and
moderate income first-time homebuyers in achieving home ownership. The Contra Costa
County Mortgage
APPROVE OTHER
RECOMMENDATION OF CNTY
ADMINISTRATOR
RECOMMENDATION OF BOARD
COMMITTEE
Action of Board On: 12/01/2009 APPROVED AS RECOMMENDED OTHER
Clerks Notes:
VOTE OF SUPERVISORS
AYE:John Gioia, District I
Supervisor
Gayle B. Uilkema, District
II Supervisor
Susan A. Bonilla, District
IV Supervisor
Federal D. Glover, District
V Supervisor
Contact: Jim Kennedy,
335-7225
I hereby certify that this is a true and correct copy of an action taken and entered on the minutes
of the Board of Supervisors on the date shown.
ATTESTED: December 1, 2009
David J. Twa, County Administrator and Clerk of the Board of Supervisors
By: June McHuen, Deputy
cc:
C.90
To:Board of Supervisors
From:Catherine Kutsuris, Conservation & Development Director
Date:December 1, 2009
Contra
Costa
County
Subject:Mortgage Credit Certificates
BACKGROUND: (CONT'D)
Credit Certificate Program has provided assistance to over 2,500 households. Recipients of a
Mortgage Credit Certificate are eligible for an income tax credit from the federal
government that effectively reduces their net mortgage payment by 100 to 200 basis points
(1% - 2%). The County’s application to the California Debt Limit Allocation Committee
(CDLAC) for $45,000,000 million in Private Activity Bond Authority for Mortgage Credit
Certificates is based on State allocation procedures. The County is proposing that up to $25
million of the $45 million allocation for MCC's would be used to attract lender participation
in a purchase program for foreclosed properties. The intent is to incentivize lenders to get
foreclosed properties off their books, and into ownership by families. This would help in
stabilizing home values and living conditions in neighborhoods.