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Home My WebLink AboutRES CC 1985 190 1985 0429RESOLUTION NO. 85 -190 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MOORPARK AUTHORIZING THE ISSUANCE OF $20,000,000 PRINCIPAL AMOUNT OF SINGLE FAMILY RESIDENTIAL MORTGAGE REVENUE BONDS, ISSUE OF 1985, SUCH BONDS TO BE ISSUED PURSUANT TO A TRUST INDENTURE DATED AS OF THE DATE OF THE BONDS, AUTHORIZING THE SALE OF SUCH BONDS, SUBJECT TO CERTAIN TERMS AND CONDITIONS, AND AUTHORIZING THE EXECUTION OF AND APPROVING IMPLEMENTING AGREEMENTS, DOCUMENTS AND ACTIONS WHEREAS, Chapter 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 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 and an Ordinance adopted by the City, the City is authorized to carry out the public purposes described therein by issuing its revenue bonds to acquire home mortgages and by pledging such home mortgages as security for payment of the principal of and interest on such revenue bonds, and by entering into any agreements in connection therewith; WHEREAS, to alleviate the shortage of affordable residential housing facilities, and to provide capital for investment in such facilities for low and moderate income families and persons within the City, the City Council has developed and determined to implement a program (the "Program ") with respect to (i) the issuance by the City of its Single Family Residential Mortgage Revenue Bonds, Issue of 1985 (the "Bonds "), and (ii) the use of the Bond proceeds by the City to purchase without recourse from lending institutions (the "Lenders ") certain home mortgages (the "Loans "), made to finance residential facilities intended for use as the permanent place of residence by persons of low and moderate income (the "Residences "), which Loans are to be originated and serviced by the Lenders pursuant to Mortgage Sale and Service Agreements (the "Agreement "); -1- WHEREAS, the City and the respective developers of the Residences, have entered into agreements (the "Developer Agreements ") for the purpose of setting forth, among other things, the terms and conditions pursuant to which the developers will deliver Loans for purchase by the Trustee for the Bonds on behalf of the City and the City will reserve proceeds of the Bonds to provide funds for such purpose; WHEREAS, the City has now determined to issue the Bonds, and to enter into a Trust Indenture to secure the Bonds by a pledge and assignment of the Loans, the proceeds of the Bonds, certain insurance proceeds, certain reserve funds, certain investment earnings on the proceeds of the Bonds and the revenues received from the Loans and its rights under the Developer Agreements and the Agreements; WHEREAS, Stone & Youngberg, the Underwriter for the Program and the Bonds, has caused a Preliminary Official Statement, dated April 23, 1985, relating to the Bonds, to be submitted to the City for its review and approval for distribution to prospective purchasers of the Bonds; WHEREAS, Stone & Youngberg (the "Underwriters ") have submitted a form of agreement for the purchase of such Bonds (the "Purchase Contract ") and it is desirable that the Bonds be sold at this time on the terms and conditions hereinafter provided; and WHEREAS, preliminary forms of the Trust Indenture, the Agreements, the Developer Agreements and the other necessary implementing documents have been presented to and reviewed by the City Council, with the aid of its staff, and such documents may now be conformed to the terms and requirements of the Purchase Contract and the Official Statement and be approved for execution. NOW, THEREFORE, IT IS RESOLVED BY THE CITY COUNCIL OF THE CITY OF MOORPARK, as follows: 1. The City of Moorpark, Single Family Residential Mortgage Revenue Bonds, Issue of 1985, in a principal amount of $20,000,000, are hereby authorized to be issued pursuant to a Trust Indenture dated as of the date of the Bonds, in form substantially as submitted to the City Council at this meeting which Trust Indenture is hereby approved and authorized and directed to be executed by the Mayor and his signature thereto to be attested by the City Clerk who shall affix thereto the official seal of the City. -2- 2. The Mayor is hereby authorized and directed to execute a Final Official Statement relating to the Bonds, setting forth such amendments and supplements to the Preliminary Official Statement as shall be necessary or convenient to accurately describe the Bonds in accordance with this Resolution, the Trust Indenture, the Purchase Contract and the other related agreements, and documents. 3. The Purchase Contract for purchase of $20,000,000 principal amount of City of Moorpark Single Family Residential Mortgage Revenue Bonds, Issue of 1985, substantially in the form submitted to the City at this meeting is hereby approved and the City Manager is authorized and directed to execute the Purchase Contract on behalf of the City, provided that all of the following conditions are met: (a) The purchase price of the Bonds shall not be less than ninety-seven and one -half percent (97.5 %) of the principal amount of the Bonds; (b) The Residential Mortgage Revenue Bonds interest rate for any maturity shall not exceed 9.375 %; (c) The Residential Mortgage interest rate shall not exceed 10 %; provided that the Underwriters may make provisions for adjustment of maturing amounts of principal and the maturity dates thereof in a manner which does not increase the effective interest rate of all Bonds above the annual interest rate limitation for the 10 % annual Mortgage Loan Interest Rate limitation above set--rorth. The City Manager shall approve the final interest rate and the final purchase price and such other matters as may be necessary to insure prompt delivery of the Bonds prior to delivery of the Bonds. 4. The Developer Agreements with developers proposing to participate in the City's Program, the Mortgage Sale and Service Agreements, to be entered into by and between the City and Lenders proposing to participate in the City's Program and the Compliance and Administration Agreement to be entered into with Urban Futures, Incorporated are hereby approved in substantially the forms presented at the meeting and the Mayor is authorized and directed to execute the foregoing on behalf of the City with such amendments and supplements thereto as shall cause the foregoing to conform to the requirements of the City's Program. 5. All actions heretofore taken by the officers and agents of the City with respect to the sale and issuance of the Bonds are hereby approved, confirmed and ratified, and upon -3- execution of the Purchase Contract, the Mayor, the City Manager and /or the City Clerk are hereby authorized and directed, for and in the name and on behalf of the City, to do any and all things and take any and all actions and to execute and deliver any and all certificates, requisitions, agreements, including an agreement for investment of the proceeds of the Bonds and of the Loans, and other documents, including, but not limited to, those described in the Purchase Contract and the Trust Indenture, which they, or any of them, may deem necessary or advisable in order to consummate the lawful issuance and delivery of the Bonds in accordance with the Purchase Contract, the Trust Indenture, this Resolution and all related documents. 6. This resolution shall take effect from and after its adoption. PASSED AND ADOPTED THIS 29th DAY OF APRIL, 1985. ATTEST: -4- CITY OF MOORPARK STATE OF CALIFORNIA ) COUNTY OF VENTURA ) SS. CITY OF MOORPARK ) I, DORIS D. BANKUS , City Clerk of the City of Moorpark, California, do hereby certify that the foregoing Resolution No. 85 -190 was adopted by the City Council of the City of Moorpark at an adjourned regular meeting thereof held on the 29th day of April , 19 85 , and that the same was adopted by the following roll call vote: AYES: Councilmembers Yancy- Sutton, Woolard, Ferguson, Weak and Mayor Prieto; NOES: None; ABSENT: None. WITNESS my hand and the official seal of said City this 29 day of April , 19 85 City Clerk (SEAL)