HomeMy WebLinkAboutMINUTES - 05071996 - C87 7
~� Contra
TO: BOARD OF SUPERVISORS - '' . Costau
County
FROM: Harvey E. Bragdon
Director of Community Development
DATE: May 7, 1996
SUBJECT: Mortgage Credit Certificates
SPECIFIC REQUEST(S) OR RECOMMENDATIONS(S) & BACKGROUND AND JUSTIFICATION
RECOMMENDATIONS
AUTHORIZE the Director of Community Development or his Designee to prepare and submit
the necessary applications and certifications to the California Debt Limit Allocation Committee
for up to $60 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 paid by fees assessed of program participants.
BACKGROUND/REASONS FOR RECOMMENDATIONS
Contra Costa County began operation of a Mortgage Credit Certificate (MCC) Program in
June of 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 Credit Certificate Program has provided assistance to over 1,600
households. Recipients of a Mortgage Credit Certificate are eligible for an income tax credit
CONTINUED ON ATTACHMENT: XX YES SIGNATURE:
I,,.J �-Y
RECOMMENDATION OF COUNTY ADMINISTRATOR E MMEND ION OF BOAR
COMMITTEE APPROVE OTHER
SIGNATURE(S):
ACTION OF BOARD ON r-ay 7, 1996 APPROVED AS RECOMMENDED X 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.
Source: Kelly Calhoun
335-1251
cc: Comm unity.Development ATTESTED May 7, 1996
County Administrator PHIL BATCHELOR, CLERK OF
Redevelopment Agency THE BO OF SUPERVISO S
AND TY ADMI T R
KCAh
sraMmmbos
from the federal government that effectively reduces their net mortgage payment by 200
basis points (2%). The County's application to the California Debt Limit Allocation
Committee (CDLAC)for$60 million in Private Activity Bond Authority for Mortgage Credit
Certificates is based on State Allocation procedures. The County does not expect to
receive more than $5.5 million in bonding authority for the Mortgage Credit Certificate
Program.
This County, as well as others, has been severely penalized by changes in CDLAC
allocation procedures. We are proposing to submit an application for the amount of$60
million because it can be supported with documented demand. This way the County is on
record as to its true allocation requirement.