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HomeMy WebLinkAboutCity Council - 4926 II RESOLUTION NO. 4926 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH STATING ITS INTENTION TO ISSUE MORTGAGE REVENUE BONDS AND RETAIN INVESTMENT BANKERS AND BOND COUNSEL WHEREAS, the Legislature of the State of California has authorized cities to make long-term, low-interest loans through qualified mortgage lenders to finance residential construction, rehabilitation and resale of existing housing stock throughout the jursidiction of the City of Huntington Beach (the "City") ; and The Legislature, in Health and Safety Code sections 52000 et seq. , has established parameters by which a city may issue mort- gage bonds for the purpose of financing such construction, re- habilitation and resale; and The city believes that it is in its best interest to utilize mortgage revenue bonds to increase the supply of housing in Huntington Beach; and Expanding housing opportunities through the issuance of mortgage revenue bonds is a valid public purpose; and In order to issue the bonds successfully, the city requires the advice of qualified investment bankers and bond counsel, NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Huntington Beach that: 1. It hereby approves and authorizes the issuance of mort- gage revenue bonds, pursuant to Health and Safety Code sec- tions 52000 et seq. , in an amount not to exceed $50,000, 000. 2. The bonds will be payable solely out of revenues and other amounts derived by the city from mortgage loans , the funds in the debt service reserve fund and other funds and accounts created by the trust indenture establishing the program and the earnings thereon. The bonds will not be a general or moral obli- WSA: ahb 10/13/80 1. gation of the city within the meaning of any constitutional or statutory provisions, nor a charge against its general credit. 3. Neither the members of the City Council, nor any of- i ficial or employee of the city, nor any person executing the bonds issued under the program shall be liable personally on the li bonds or be subject to any y personal liability or accountability by reason of the issuance thereof. 4. It is hereby found and determined that the issuance of such bonds is a valid and lawful public purpose. 5. Bond proceeds shall be used for either, one, two or all of the following purposes: sale of newly-constructed residences, sale of existing homes or substantial rehabilitation of existing residences. 6. The Acting City Administrator is authorized and directed to submit to the Housing Bond Credit Committee a statement of the purpose for which bonds are proposed to be issued and the amount of the proposed issue, and to take further actions as are required to prepare a mortgage revenue bond issue and program. 7. That Wilson, Morton, Assaf & McElligott, attorneys at law, be retained by the city as bond counsel, with their fees to be paid from and their expenses to be recovered from, bond proceeds. 8. That Lehman Brothers Kuhn Loeb, Inc. and Birr Wilson, Inc . be retained by the city as investment bankers with their fees to be paid from, and their expenses to be recovered from, bond proceeds . PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 20th day of October 1980. Ma yor ATTEST: APPROVED: City Clerk City Attorney 2. i I 3NITIATED, REVIEW AND APPROVED: Acting City Admqhistrator 3• Res. No. 4926 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 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 resolution was passed and adopted by the affirmative vote of more than a majority of all the members of said City Council at a regular meeting thereof held on the ZOth day of October , 19 80 by the following vote: AYES: Councilmen: Thomas, Finley, Bailey, MacAllister, Mandic, Kelly NOES: Councilmen: None ABSENT: Councilmen: Pattinson City Clerk and ex-officio Clerk of the City Council of the City of Huntington Beach, California