HomeMy WebLinkAboutResolution-2006-0043
CITY OF WHEAT RIDGE, COLORADO
RESOLUTION NO. 43
Series of 2006
A 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 authonzed 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-mcome persons and families, and
WHEREAS, the Internal Revenue Code of 1986, as amended (the "Code"), restncts 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 Ceilmg 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 Fmance Authority (the "Authority") and other governmental units m the
State, and further provldmg for the assignment of such allocations from such other governmental
units to the Authonty; 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 2006 State Ceiling for the issuance of a
speCified principal amount of Private ActlVlty Bonds pnor to September 15, 2006 (the "2006
Allocation"), and
WHEREAS, the City of Wheat Ridge has determmed that, in order to mcrease the
availability of adequate affordable housmg for lo\';- and moderate-income persons and families
wlthm the City of Wheat Ridge and elsewhere m thc State, it is necessary or desirable to proVide
for the utilization of all or a portion of the 2006 Allocation, and
WHEREAS, the City of Wheat Ridge has determmed that the 2006 Allocation, or a
portion thereof, can be utilized most efficiently by asslgmng It to the Authonty to issue Private
Activity Bonds for the purpose of provldmg single-family mortgage loans to low- and moderate-
mcome persons and families, and
WHEREAS, the City Council of the City of Wheat Ridge has determined to assign
$1,274,760 of Its 2006 Allocation to the Authonty, which assignment is to be evidenced by an
Assignment of Allocation between the City of Wheat Ridge and the Authority (the "ASSignment
of Allocation"),
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NOW, THEREFORE, BE IT RESOLVED by the CIty CouncIl of the City of Wheat
Ridge as follows'
I The assignment to the Authority of $1,274,760 of the CIty of Wheat RIdge's 2006
Allocation be and hereby is approved.
") 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 111 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 dehver 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 convement to effect the aforeSaid
assIgnment III accordance wIth the mtent of this resolution,
4 If an) 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 This resolutIOn shall be III full force and effect upon its passage and approval.
PASSED, ADOPTED AND APPROVED thIS i / ().. day of :i<fado.l..i;.. 2006
/
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ATTEST'
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", jlUJ..\c \.-; \ llA.Cl.
l>'amela Y Al\Iderson, City Clerk
ASSIGNMENT OF ALLOCATION
This Assignment of Allocation (the "Assignment"), dated this day of
, is between the City of Wheat Ridge (the "Assignor") and the
Colorado Housmg and Finance Authonty (the "Assignee")
WITNESSETH:
WHEREAS, the Assignor and the Assignee are authonzed and empowered under
the laws of the State of Colorado (the "State") to issue revenue bonds for the purpose of
providmg 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
Ceilmg"), and
WHEREAS, pursuant to the Code, the Colorado legislature adopted the Colorado
Private Activity Bond Ceilmg Allocation Act, Part 17 of Article 32 of Title 24, Colorado
ReVised Statutes (the "Allocation Act"), prOViding for the allocation of the State Ceilmg
among the Assignee and other governmental umts m the State, and further provldmg for
the assignment of allocations from such other governmental umts 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 2006 State Ceiling for the issuance of a
specified pnnClpal amount of Pnvate ActiVity Bonds prior to September 15, the
"Allocation"), and
WHEREAS, the Assignor has detenmned that, m 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 AllocatIOn, and
WHEREAS, the ASSignor has determmed that the 2006 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 smgle-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 2006
Allocation, and
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WHEREAS, the City CouncIl of the AssIgnor has determmed to assIgn to the
Assignee $1,274,760 of its 2006 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,
1 The AssIgnor hereby assigns to the Assignee $1,274,760 of its 2006
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
$1,274,760 of AssIgnor's 2006 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 m at least the aggregate amount of $1,274,760 to finance single-family
housmg faCilitIes located m the CIty of Wheat RIdge. Unless otherwise agreed to m
wnting, the mortgage loans will be subject to all applicable current requirements of
Assignee's mortgage revenue bond program, including AssIgnee's mcome 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 Nothmg contamed in this Assignment shall obligate the ASSIgnee to
finance mortgage loans in any particular amount or at any particular mterest rate or to use
any particular percentage of the proceeds of its Revenue Bonds to prOVide mortgage loans
to finance smgle-family housmg facilities located in the City of Wheat Ridge
6 This ASSignment IS effective upon execution and is irrevocable,
2
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IN WITNESS WHEREOF, the partIes hereto have duly executed thIs AssIgnment
on the date first wntten above,
[S E A L]
City 7[".t Riclg~, . 11
I ~) \ \ l}) l!'j
By: 0,1 \:~ '
Title' m-9- u p-
Title: Clt, C\ cxi
COLORADO HOUSING AND FINANCE
AUTHORlTY
lS E A L]
By:
ATTEST'
ExecutIve Director
BY'
Assistant Secretary
3
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