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HomeMy WebLinkAboutCity Council - 5633 RESOLUTION NO. 5633 A RESOLUTION OF THE CITY OF HUNTINGTON BEACH AUTHORIZING THE EXECUTION OF AND APPROVING AGREEMENTS IMPLEMENTING TRANSFER OF DEVELOPER' S RESERVATION TO SUCCEEDING PROGRAM LENDER HOME MORTGAGE REVENUE BONDS, 1983 SERIES A WHEREAS, Chapters 1-5 of Part 5 of Division 31 of the Health and Safety Code of the State of California (herein called the "Act" ) authorizes cities and counties to issue revenue bonds for the purpose of financing home mortgages authorized by the Act, and the Act provides a complete, additional and alternative method for doing the things authorized thereby; WHEREAS, pursuant to the Act, the City has issued sold and delivered t20, 000, 000 principal amount of Home Mortgage Revenue Bonds, 1983 Series A (the "Bonds" ) for the purpose of providing funds to purchase home mortgages (the "Home Mortgages" ) made to provide permanent financing for residences (the "Homes" ) existing or to be constructed within the City (the "Home Mortgage Financing Program" ) ; WHEREAS, to that end, the City on February 28, 1983, adopted a resolution entitled "A Resolution of the City of Huntington Beach Authorizing the Issuance of $20, 000, 0000 Principal Amount of the City of Huntington Beach Home Mortgage Revenue Bonds, 1983 Series A, Such Bonds to be Issued Pursuant to a Trust Indenture Dated as of the Date of the Bonds, Authorizing the Sale of Such Bonds and Authorizing the Execution of and Approving Implementing Agreements, Documents and Actions" and, thereafter, entered into a trust indenture, dated as of March 1, 1983, providing for the issuance and security of the Bonds (the "Indenture" ) ; 1. WHEREAS, the City has appointed Security Pacific National Bank as Trustee under the Indenture and the Trustee is empowered thereunder to purchase, with the proceeds of the Bonds, Home Mortgages on behalf of the City from the Lender, subject, among other things, to certain of the terms and conditions hereinafter set forth; WHEREAS, the City has heretofore entered into an agreement by and between the City and Mansion Hill, a California general partnership, the developer of one of the Projects to be financed in the Home Mortgage Financing Program (the "Developer" ) entitled "Commitment Contract (and Reservation of Funds) " (the "Commitment Contract" ) , which has been approved and accepted by the Trustee and International Mortgage Company, (referred to hereinafter as the "Prior Lender" ) , for the purpose of setting forth, among other things, the terms and conditions pursuant to which the Developer and other things, the terms and conditions pursuant to which the Developer and other sellers of Homes and the Prior Lender will deliver Home Mortgages for purchase by the Trustee on behalf of the City and the City will reserve proceeds of the Bonds (the "Reservation" ) to provide funds for such purpose; WHEREAS, International Mortgage Company, the Prior Lender, has heretofore entered into a Home Mortgage Purchase Agreement, dated as of March 1, 1983, with the City and the Trustee providing for the purchase of Home Mortgages by the Trustee on behalf of the City, and the City, the Trustee and the Prior Lender now desire to terminate such Home Mortgage Purchase Agreement with respect to that portion of the Developer ' s Reservation which has not, as of the date hereof, been so used to purchase home Mortgages, as more particularly set forth in the Addendum to the Home Mortgage purchase Agreement, dated as of January 1, 1986, hereinafter referred to; and 2. WHEREAS, the City, the Trustee and IMCO Realty Services, Inc. , as the successor in interest of Wells Fargo Mortgage Company, (the "Lender" ) desire to enter into a home mortgage purchase agreement and a servicing agreement relating to the origination and servicing of home mortgages financed with the proceeds of other mortgage revenue bonds issued in implementation of the Program and the City, the Lender, and the Trustee desire to provide for the Purchase of home mortgages with that portion of the Developer' s Reservation which has not, as of the date hereof, been so used, all as hereinafter and in the Commitment Contract set forth; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF HUNTINGTON BEACH, as follows: 1. The Home Mortgage Purchase Agreement and the Servicing Agreement to be entered into by and among the City, the Trustee and the Lender and the Addendum releasing the Prior Lender, all to be substantially in the form thereof presented at this meeting, are hereby approved and the City Administrator of the City is authorized and directed to execute the foregoing on behalf of the City. 2 . The Home Mortgage Purchase Agreement and Service Agreement, each dated March 1, 1983, between the City, International Mortgage Company, the Prior Lender, and Security Pacific National Bank are hereby terminated and cancelled and the City Administrator is hereby directed to obtain appropriate instruments of cancellation from the other parties thereto. 3 . This resolution shall take effect from and after its adoption. PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a regular meeting thereof held on the 3rd day of. February 1986. 3. i Mayor ATTEST: APPROVED AS TO FORM: ALICIA M. WENTWORTH, CITY CLERK Depu y ity Clerk ^�_?� City Attorney lr 2 1 REVIEWED AND APPROVED: I ITIATED AND APPROVED pj City Adm nistr or Dep Director, Red elopment ( 17971) 4 . Res. No. 5633 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 3rd day of February , 19 86 by the following vote: AYES: Councilmen: Kelly, MacAllister, Finley, Mandic, Green NOES: Councilmen: None ABSENT: Councilmen: Thomas City Clerk and ex-officio Clerk of the City. Council of the City of Huntington Beach, California