ARA1990-19RESOLUTION NO. ARA90-19
A RESOLUTION OF THE ANAHEIM REDEVELOPMENT
AGENCY AUTHORIZING THE USE OF MONIES FROM
THE LOW AND MODERATE INCOME HOUSING FUND
FOR THE FIRST TIME HOME BUYER PROGRAM AND
THE REHABILITATION LOAN PROGRAM
WHEREAS, the Anaheim Redevelopment Agency ("Agency") is a
Community Redevelopment Agency organized and existing under the
Community Redevelopment Law, Health and Safety Code §33000, et
seq. (the "Act"); and
WHEREAS, the Agency has adopted certain ordinances pursuant
to the Act approving Redevelopment Plans for certain
Redevelopment Projects within the City of Anaheim (the "Project
Areas"); and
' WHEREAS, §33334.2 of the Act requires that not less than
twenty percent (20%) of all taxes which are allocated to the
Agency pursuant to §33670 of the Act shall be used by the
Agency for purposes of increasing, improving and preserving the
community's supply of low and moderate income housing, except
to the extent specific findings are made by the Agency pursuant
to such Section ("Low and Moderate Income Housing Fund"); and
WHEREAS, pursuant to ~33334.2 of the Act, the Legislature
declares its intent that the Low and Moderate Income Housing
Fund shall be used to improve, increase and preserve affordable
housing in the community; and
WHEREAS, to carry out the purposes of increasing, improving
and preserving the community's supply of low and moderate
income housing available at an affordable housing cost,
~33334.2(e) of the Act states that the Agency may exercise any
or all of its powers including, without limitation, providing
subsidies to, or for the benefit of, very low income
households, lower income households, or persons or families of
low and moderate income: and
WHEREAS, on March 20, 1990, the Agency adopted Resolution
No. ARA 90-14 approving the use of moneys from the Low and
Moderate Income Housing Fund for the First Time Home Buyer Down
Payment Assistance Program ("First Time Home Buyer Program")
and the First Time Home Buyer Rehabilitation Loan Program
("Rehabilitation Loan Program"); and
WHEREAS, on March 20, 1990, the City Council adopted
ResoluSion No. 90R-80 approving the use of monies from the Low
and Moderate Income Housing Fund for The Firs~ Time Home Buyer
Program and the Rehabilitation Loan Program; and
WHEREAS, the Agency now desires to implement the First Time
Buyer Program and to use such funds to establish a loan pool
for down payment assistance to qualifying low and moderate
income first-time home buyers, with loans available for up to
Ten percent (10%) of the purchase price of the home, but not to
exceed $25,000, accruing simple interest at five percent (5%)
per annum, with repayment deferred until sale; and
WHEREAS, the Agency now desires to implement the
Rehabilitation Loan Program and to use such funds to establish
a loan pool for those participants in the First Time Home Buyer
Program to make improvements to their houses, including
plumbing, electrical, roof repair and replacement, floor
covering, painting, minor cosmetic and landscaping work, with
such loans on the same terms and conditions as the First Time
Home Buyer Program loans: and
WHEREAS, the Agency has determined based on certain
factors, including the fact that the homes to be purchased and
rehabilitated pursuant to the First Time Home Buyer Program and
the Rehabilitation Loan Program are existing housing stock, and
the fact that the financial contribution from the Low and
Moderate Income Housing Fund is low in proportion to the value
of such houses, that ten years is the longest feasible time
that the housing units which are purchased and rehabilitated
with funds from the First Time Home Buyer Program and the
Rehabilitation Loan Program shall remain affordable; and
WHEREAS, the First Time Home Buyer Program requires that
participating borrowers who sell their houses prior to the ten
year affordability period shall share with the Agency a portion
of the profit they receive from such sale; and
WHEREAS, the First Time Home Buyer Program includes an
equity sharing program which protects the Agency's investment
of moneys from the Low and Moderate Income Housing Fund by
establishing a schedule of equity sharing that permits
retention by the participating seller of a portion of the sales
proceeds based on the length of occupancy, and the remainder of
the excess proceeds of the sale shall be allocated to the
Agency and deposited in the Low and Moderate Income Housing
Fund; and '
WHEREAS, the First Time Home Buyer Program and the
Rehabilitation Loan Program will provide for the expenditure of
Low and Moderate Income Housing Fund monies for the purposes of
increasing, improving and preserving the community's supply of
low and moderate income housing available at affordable housing
cost to persons of low and moderate low income; and
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WHEREAS, the First Time Home Buyer Program and the
Rehabilitation Loan Program will provide loans to or for the
benefit of persons and families of low or moderate income to
the extent those households cannot purchase or rehabilitate
housing at affordable costs on the open market; and
WHEREAS, the First Time Home Buyer Program and the
Rehabilitation Loan Program funds will be used outside the
established Project Areas of the Agency, because use of such
funds outside of established Project Areas will be of benefit
to all of the Agency Project Areas~ and ,
WHEREAS, the costs of undertaking the First Time Home Buyer
Program and the Rehabilitation Loan Program may be paid
entirely from the Low and Moderate Income Housing Fund of the
Agency because the First Time Home Buyer Program and the
Rehabilitation Loan Program activities will result in the
provision of affordable housing units to persons of low and
moderate income which are consistent with the provisions of
Section 33334.2 of the Act.
NOW, THEREFORE, the Anaheim Redevelopment Agency finds,
declares and resolves as follows:
1. The recitals above are fully incorporated into this
resolution.
2. The expenditure of monies from the Low and Moderate
Income Housing Fund for the First Time Home Buyer Program and
the Rehabilitation Loan Program outside the existing Project
Areas for purposes authorized under the Act are and will be of
benefit to the Project Areas.
3. The expenditure of monies from the Low and Moderate
Income Housing Fund for the First Time Home Buyer Program and
the Rehabilitation Loan Program will increase, improve and
preserve the community's supply of low and moderate income
housing available at an affordable housing cost.
4. The Community Development Director or her designees
are hereby authorized to expend monies from the Low and
Moderate Income Mousing Fund for implementation of the First
Time Home Buyer Program and the Rehabilitation Loan Program.
5. The Community Development Director and her designees
are hereby authorized to take all steps necessary to implement
the First Time Home Buyer Program and the Rehabilitation Loan
Program, including execution of regulatory agreements and
funding of approved loan applications.
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PASSED AND ADOPTED at a regular meeting of the Anaheim
Redevelopment Agency on the 22nd day of ~iay , 1990.
ANAHEIM REDEVELOPMENT AGENCY
ATTEST'
Secretary
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-4-
STATE OF CALIFORNIA )
COUNTY OF ORANGE )
CITY OF ANAHEIM )
I, LEONORA N. SOHL, Secretary of the Anaheim Redevelopment Agency, do hereby
certify that the foregoing Resolution No. ARAg0-19 was passed and adopted at a
regular meeting of the Anaheim Redevelopment Agency held on the 22nd day of
May, 1990, by the following vote of the members thereof:
AYES: AGENCY MEMBERS: Daly, Ehrle, Kaywood, Pickler and Hunter
NOES: AGENCY MEMBERS: None
ABSENT: AGENCY MEMBERS: None
AND I FURTHER CERTIFY that the Chairman of the Anaheim Redevelopment Agency
signed said Resolution on the 23rd day of May, 1990.
IN WITNESS WHEREOF, I have hereunto set my hand and seal this 23rd day of May,
1990.
SECRETARY OF THE ANAHEIM REDEVELOPMENT AGENCY
(SEAL)