HomeMy WebLinkAboutOrdinance #2612 ORDINANCE NO. 2612
AN ORDINANCE RELATING TO THE ESTABLISHMENT OF A HOME
MORTGAGE FINANCING PROGRAM FOR MODERATE AND LOW INCOME
FAMILIES FOR THE CITY OF HUNTINGTON BEACH
THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH DOES ORDAIN as follows:
WHEREAS, the City Council of the City of Huntington Beach (the "City") pro-
poses to undertake a Home Mortgage Financing Program (the "Program") pursuant
to Part 5 of Division 31 of the Health and Safety Code of the State of Cali-
fornia (the "Act") for persons and families within the income limits established
by the Act, and proposes to issue revenue bonds pursuant to the Act to provide
funds for the Program;
WHEREAS, there is a shortage of decent, safe and sanitary housing parti-
cularly of housing affordable by persons in the lower end of the purchasing
spectrum and a consequent need to encourage the construction of homes afforda-
ble by such persons and otherwise to increase the housing supply for such per-
sons in the City; and
WHEREAS, the authorization, issuance and sale of mortgage revenue bonds
under the Act represents a means of providing funds at below market rate for
6 the purpose of financing such housing,
NOW, THEREFORE:
Section 1. Adoption of Home Mortgage Financing Program. Based upon the
findings of the City Council , the City hereby adopts the Program pursuant to
the Act for the purpose of increasing the housing supply for moderate and low
income families in the City.
Section 2. Findings. The City Council hereby finds and declares that:
(a) Decent housing is an essential motivating force in helping people
to achieve self-fulfillment in a free and democratic society;
(b) A healthy housing market is one in which residents in the State have
a choice of housing opportunities and one in which the housing con-
sumer may effectively choose within the free market;
(c) There exists within the City a shortage of housing available to
moderate and low income persons as such persons are now or hereafter
p u
defined b the provisions f he Act and that this shortage is
y p o o t a g
exacerbated during periods of rising interest rates, particularly
as high interest rates have the effect of diminishing the number
of otherwise credit worthy buyers from qualifying for private sec-
tor mortgage capital sources, and, in order to limit this adverse
effect on potential home buyers on the lower end of the purchasing
spectrum, it is necessary to implement a public program to reduce
the cost of mortgage financing for single-family purchasers for
those persons unable to compete for market financing in the conven-
tional mortgage market; and
(d) It is necessary in order to implement a public program to reduce the
cost of market financing to authorize long-term, low interest mortgages
to persons not presently eligible for financing through private sector
lending institutions to finance construction, rehabilitation and ac-
quisition of homes and, in order to finance the Program, to issue
mortgage revenue bonds to fund the Program.
Section 3. Liberal Construction. The provisions of this ordinance being
necessary for the welfare of the City and its inhabitants shall be liberally
construed to effect the purpose of the Program. .
Section 4. Effective Date. This ordinance shall be published once within
fifteen (15) days after passage and adoption in the Huntington Beach Independent,
a newspaper of general circulation, published and circulated in the City of
Huntington Beach. This ordinance will take effect immediately upon adoption
pursuant to Health and Safety Code Section 52031. The facts constituting the
public purpose of this ordinance are the findings of the City Council set forth
in Section 2.
PASSED AND ADOPTED by the City Council of the City of Huntington Beach at
a regular meeting thereof held on the 7thday of March 1983.
ATTEST:
City Clerk Mayor
APPROVED AS TO FORM: INITIATED AND APPROVED AS TO CONTENT:
City Attorney A Director, Business & Industrial
Enterprise
APPROVED:
City Administrator
Ord. No. 2612
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss:
CITY OF HUNTINGTON BEACH )
I, ALICIA M. WENTWORTH, the duly elected, qualified City
Clerk of the City of Huntington Beach and ex-officio Clerk of the
City Council of the said City, do hereby certify that the whole number
of members of the City Council of the City of Huntington Beach is seven;
that the foregoing ordinance was read to said City Council at a regular
adintirned meeting thereof held on the 28th day of February
1983 , and was again read to said City Council at a regular
meeting thereof held on the 7th day of March 19 83 and
was passed and adopted by the affirmative vote of more than a majority of
all the members of said City Council.
AYES: Councilmen:
MacAllister, Mandic, Finley, Bailey, Kelly
NOES: Councilmen:
None
ABSENT: Councilmen:
Pattinson, Thomas
City Clerk and ex-officio Clerk
of the City Council of the City
of Huntington Beach, California