HomeMy WebLinkAboutMINUTES - 12201988 - 1.68 TO: BOARD OF SUPERVISORS
FROM: Harvey E. Bragdon
Director of Community Development Contra
DATE: November 30, 1988 Costa
SUBJECT: Loan Participation Agreement Between the County ant We Mank
for the Housing Rehabilitation Loan Program
SPECIFIC REQUEST(S) OR RECOMMENDATIONS(S) & BACKGROUND AND JUSTIFICATION
RECOMMENDATIONS
Approve Loan Participation Agreement between the County and Great
Western Bank, a Federal Savings Bank, and authorize the Chair to
execute said Agreement for housing rehabilitation financial
services. .
FISCAL IMPACT
Pursuant to Section 570. 513 of Federal regulations governing the
Community Development Block Grant Funds, the County may draw funds
from its Letter of Credit in a lump sum to establish a housing
rehabilitation loan fund in a private financial institution. - The
County has had previous lump sum agreements. It is proposed that a
lump sum drawdown of funds for deposit with Great Western Bank
which meets with the technical requirements of Section 570 . 513 of
the regulations governing the Community Development Block Grant.
program to be considered.
BACKGROUND/REASONS FOR RECOMMENDATIONS
The Agreement involves no general fund monies. Under the
Agreement, the County Housing Rehabilitation Loan Program would
earn interest on the deposit of an amount not to exceed $655,000.00
at rates equivalent to the market rate for similar maturities, but
in no event less than 4 points below the one year Tre ury Bill
rate. The agreement also calls for the financial partiq& a ion of
Great Western Bank in certain housing rehabilitation 1
t
CONTINUED ON ATTACHMENT: YES SIGNA
RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMME DAT N OF 800RD COMMITTEE
APPROVE OTHER
SIGNATURE(S) :
ACTION OF BOARD ON 1988 APPROVED AS RECOMMENDED C OTHER
VOTE OF SUPERVISORS
I HEREBY CERTIFY THAT THIS IS A
_X UNANIMOUS (ABSENT ) TRUE AND CORRECT COPY OF AN
AYES: NOES: ACTION TAKEN AND ENTERED ON THE
ABSENT: ABSTAIN:_ __ _ MINUTES OF THE BOARD OF
SUPERVISORS ON THE DATE SHOWN
cc: . Community Development ATTESTED DEC 2 0 1988
County Administrator PHIL BATCHELOR, CLERK OF
Auditor-Controller THE BOARD OF SUPERVISORS
,'Building Inspection Department AND COUNTY ADMINISTRATOR
Great Western Bank G��ZC
By [ DEPUTY
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cd15/loanpart.agr
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