HomeMy WebLinkAboutResolution-2003-0015
CITY OF WHEAT RIDGE, COLORADO
RESOLUTION NO 15-2003
A FORM OF RESOLUTION AUTHORIZING ASSIGNMENT
TO THE COLORADO HOUSING AND FINANCE
AUTHORITY OF A PRIVATE ACTIVITY BOND
ALLOCATION OF THE CITY OF WHEAT RIDGE
PURSUANT TO THE COLORADO PRIVATE ACTIVITY
BOND CEILING ALLOCATION ACT
WHEREAS, the City of Wheat Ridge is authorized and empowered under the
laws of the State of Colorado (the "State") to issue revenue bonds for the purpose of
providing single-family mortgage loans to low- and moderate-income persons and
families; and
WHEREAS, the Internal Revenue Code of 1986, as amended (the "Code"),
restricts the amount of tax-exempt bonds ("Private Activity Bonds") which may be
issued in the state to provide such mortgage loans and for certain other purposes, and
WHEREAS, pursuant to the Code, the Colorado legislature adopted the Colorado
Private Activity Bond Ceiling Allocation Act, Part 17 of Article 32 of Title 24, Colorado
Revised Statutes (the "Allocation Act"), providing for the allocation of the State Ceiling
among the Colorado Housing and Finance Authority (the "Authority") and other
governmental units in the State, and further providing for the assignment of such
allocations from such other governmental units to the Authority; and
WHEREAS, pursuant to an allocation under Section 24-32-1706 of the Allocation
Act, the City of Wheat Ridge has an allocation of the 2003 State Ceiling for the issuance
of a specified principal amount of Private Activity Bonds prior to September 15, 2003
(the "2003 Allocation"). and
WHEREAS, the City of Wheat Ridge has determined that, in order to increase
the availability of adequate affordable housing of low- and moderate-income persons
and families within the City of Wheat Ridge and elsewhere in the State, it is necessary
or desirable to provide for the utilization of all or a portion of the 2003 Allocation, and
WHEREAS, the City of Wheat Ridge has determined that the 2003 Allocation, or
a portion thereof, can be utilized most efficiently by assigning it to the Authority to issue
Private Activity Bonds for the purpose of providing single-family mortgage loans to low-
and moderate-income persons and families, and
WHEREAS, the City Council of the City of Wheat Ridge has determined to
assign $1,224,788 of its 2003 Allocation to the Authority, which assignment is to be
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evidenced by an Assignment of Allocation between the City of Wheat Ridge and the
Authority (the "Assignment of Allocation").
NOW THEREFORE, BE IT RESOLVED by the City Council of the City of Wheat
Ridge as follows.
1. The assignment to the Authority of $1,224,788 of the City of Wheat
Ridge's 2003 Allocation be and hereby is approved
2. The form and substance of the Assignment of Allocation be and hereby
are approved; provided, however, that the Mayor be and hereby is authorized to make
such technical variations, additions or deletions in or to such Assignment of Allocation
as he shall deem necessary or appropriate and not inconsistent with the approval
thereof by this resolution
3 The City Council of the City of Wheat Ridge be and hereby is authorized
to execute and deliver the Assignment of Allocation on behalf of the City of Wheat
Ridge and to take such other steps or actions as may be necessary, useful or
convenient to effect the aforesaid assignment in accordance with the intent of this
resolution.
4. If any section, paragraph, clause, or provision of this resolution shall for
any reason be held to be invalid or unenforceable, the invalidity or unenforceability of
such section, paragraph, clause, or provision shall not affect any of the remaining
provisions of this resolution.
5.
approval.
This resolution shall be in full force and effect upon its passage and
rt:
DONE AND RESOLVED this it day of
ATTEST.
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Wanda Sang, Cit\ Clerk \.
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ASSIGNMENT OF ALLOCATION
This Assignment of Allocation (the" Assignment"), dated this \ \ ~ day of
~o...u~ ,2003, is between the City of Wheat RIdge (the "Assignor") and the Colorado
Housin~ and Finance Authority (the "Assignee").
WITNESSETH:
WHEREAS, the Assignor and the Assignee are authorized and empowered under the
laws of the State of Colorado (the "State") to issue revenue bonds for the purpose of providing
single-family mortgage loans to low- and moderate-income persons and families; and
WHEREAS, the Internal Revenue Code of 1986, as amended (the "Code"), restricts the
amount of tax-exempt bonds ("Private Activity Bonds") which may be issued in the State to
provide such mortgage loans and for certain other purposes (the "State Ceiling"); and
WHEREAS, pursuant to the Code, the Colorado legislature adopted the Colorado Private
Activity Bond Ceiling Allocation Act, Part 17 of Article 32 of Title 24, Colorado Revised
Statutes (the "Allocation Act"), providing for the allocation of the State Ceiling among the
Assignee and other governmental units in the State, and further providing for the assignment of
allocations from such other governmental units to the Assignee; and
WHEREAS, pursuant to an allocation under Section 24-32-1706 of the Allocation Act,
the Assignor has an allocation of the 2003 State Ceiling for the issuance of a specified principal
amount of Private Activity Bonds prior to September 15, 2003 (the "2003 Allocation"); and
WHEREAS, the Assignor has determined that, in order to increase the availability of
adequate affordable housing for low- and moderate-income persons and families within the City
of Wheat Ridge and elsewhere in the State, it is necessary or desirable to provide for the
utilization of all or a portion of the 2003 Allocation; and
WHEREAS, the Assignor has determined that the 2003 Allocation, or a portion thereof,
can be utilized most efficiently by assigning it to the Assignee to Issue Private Activity Bonds for
the purpose of providing single-family mortgage loans to low- and moderate-income persons and
families ("Revenue Bonds"), and the Assignee has expressed its willingness to attempt to issue
Revenue Bonds with respect to the 2003 Allocation; and
WHEREAS, the City Council of the Assignor has determined to assign to the Assignee
$1,224,788 of its 2003 Allocation, and the Assignee has agreed to accept such assignment, which
is to be eVIdenced by this Assignment.
NOW, THEREFORE, in consideration of the premIses and the mutual promIses
hereinafter set forth, the parties hereto agree as follows:
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1. The Assignor hereby assigns to the Assignee $1,224,788 of its 2003 Allocation,
subject to the terms and conditions contained herein. The Assignor represents that it has received
no monetary consideration for said assignment.
2. The Assignee hereby accepts the assignment to it by the Assignor of $1,224,788
of Assignor's 2003 Allocation, subject to the terms and conditions contained herein. The
Assignee agrees to use its best efforts to issue and sell Revenue Bonds, in one or more series, and
to make proceeds of such Revenue Bonds available from time to time during the period of two
(2) years from the date of this Assignment for the purchase of mortgage loans in at least the
aggregate amount of $1,224,788 to finance single-family housing facilities located in the City of
Wheat Ridge. Unless otherwise agreed to in writing, the mortgage loans will be subject to all
applicable current requirements or Assignee's mortgage revenue bond program, including
Assignee's income and purchase price limits.
3. The Assignor hereby consents to the election by the Assignee, if the Assignee in
its discretion so decides, to treat all or any portion of the assignment set forth herein as an
allocation for a project with a carryforward purpose.
4. The Assignor and Assignee each agree that it will take such further action and
adopt such further proceedings as may be required to implement the terms of this Assignment.
5. Nothing contained in this Assignment shall obligate the Assignee to finance
mortgage loans in any particular amount or at any particular interest rate or to use any particular
percentage of the proceeds of its Revenue Bonds to provide mortgage loans to finance sing1e-
family housing facilities located in the City of Wheat Ridge.
6. This Assignment is effective upon execution and is irrevocable.
IN WITNESS WHEREOF, the parties hereto have duly executed this Assignment on the
date first written above.
CITY OF WHEAT RIDGE,
COLO
Title:
[S E A L]
By:
By:
Title:
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[S E A L]
ATTEST:
By:
Assistant Secretary
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COLORADO HOUSING AND FINANCE
AUTHORITY
By:
Executive Director
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