HomeMy WebLinkAboutMINUTES - 04241990 - 1.27 1W,7W
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TO: BOARD OF SUPERVISORS
FROM: Harvey E. Bragdon
Director of Community Development
Cwtra
DATE: April 24, 1990
County
SUBJECT: SB 2012
SPECIFIC REQUEST(S) OR RECOMMENDATIONS(S) & BACKGROUND AND JUSTIFICATION
RECOMMENDATIONS
Oppose SB 2012 (Greene) unless amended, and authorize the Chair to
execute letters stating the Board's position and suggesting
amendments.
FISCAL IMPACT
None.
BACKGROUND/REASONS FOR RECOMMENDATIONS
SB 2012 (Greene) would require a 30-year affordability period on
projects financed with multi-family mortgage bonds. Current
federal law requires a 15 year affordability period.
The proposal for an extended affordability period is fine in
concept, however it fails to recognize that bond financing does not
provide a deep financial subsidy, like some subsidy programs. This
legislation could make multi-family bond financing so unattractive
as to eliminate its usefulness.
Legislative intent for extended affordability terms may be realized
by other means, including:
1) Providing priority consideration to multi-family projects
with extended affordability terms in the private activity
bond allocation process; and
2) Provide for a 10% set-aside of the state private activity
bond volume cap for multi-family projects with extended
affordability terms.
CONTINUED ON ATTACHMENT: YES SIGNATURE:
RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATI F BOA1WE
APPROVE OTHER
SIGNATURE(S) :
ACTION OF BOARD ON 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 APR 2 4 199n
CAO PHIL BATCHELOR, CLERK OF
County Housing Authority THE BOARD OF SUPERVISORS
County Counsel AND COUNTY ADMINISTRATOR
State Legislative Delegation
BY ���.Q(.T�- � , DEPUTY