HomeMy WebLinkAboutMINUTES - 12041990 - 1.56 Al
TO: BOARD OF SUPERVISORS
FRH: Harvey E. Bragdon (,011t1''a
Director of Community Development % Il�lJ7`a
n: ,.ate rr l 4ost
DATE: December 4, 1990COLM
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SUBJ=: Mortgage Credit Certificates
SPECIFIC REQUEST(S) OR RECOMMENDATIONS(S) & BACKGROUND AND JUSTIFICATION
RECOMMENDATIONS
Authorize the Director of Community Development and the Deputy
Director-Redevelopment to prepare and submit necessary applications
and certifications to the California Debt Limit Allocation
Committee for up to $20 million in carry-forward private activity
bond authority to be used for a Mortgage Credit Certificate in
1991.
FISCAL IMPACT
None. No general fund dollars are involved. All costs associated
with the issuance and administration of this program are paid by
fees assessed of program participants.
BACKGROUND/REASONS FOR RECOMMENDATIONS
The Federal Government has placed a limit on the volume of "private
activity bonds" (single & Multi-family bonds, Mortgage Credit
Certificates, Industrial Development Bonds, etc. ) which may be sold
in each state. In California the task of apportioning this limit
among issuers is assigned to the California Debt Limit Allocation
Committee, a unit of the State Treasurer's Office.
The total amount of private activity bond authority available for
use in California in 1990 has not been fully allocated. Therefore,
the State desires to allocate the remaining authority on a
"carry-forward" basis, which will allow the authority to be used in
any of the next three years. Carry-forward allocation is very
valuable because of the flexibility it provides to the :' suer.
CONTINUED ON ATTACHMENT: X YES SIGNATURE:
RECOMMIIdDATION OF COUNTY ADMINISTRATOR RECommENDATN OF BO COMM E
APPROVE OTHER
SIGNATURE(S) :
ACTION OF BOARD ON DEC 4 1990 APPROVED AS RECOMMENDED OTHER
VOTE OF SUPERVISORS
I HEREBY CERTIFY THAT THIS IS A
_ 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 4 1990
County Administrator PHIL BATCHELOR, CLERK OF
THE BOARD OF SUPERVISORS
AND COUNTY ADMINISTRATOR
BY C - , DEPUTY
SRA9/jb/MCC.bos
The County has recently initiated a Mortgage Credit Certificate
program in the City of Pittsburg only. Considerable interest has
been generated for such a program countywide. Mortgage Credit
Certificates are an alternative means of assisting low and moderate
income first time home buyers in achieving home ownership.
Recipients of a mortgage credit certificate are eligible for an
income tax credit that effectively reduces their net mortgage
payment by 200 basis points (2%) .