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1979-585RESOLUTION NO. 79R 585 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM ENDORSING A CONSTITUTIONAL AMENDMENT FOR THE PASSAGE OF PROPOSITION 2 IN THE NOVEMBER 6, 1979 ELECTION CONCERNING FAIR INTEREST RATES. WHEREAS, the California State Legislature overwhelmingly approved the placement of PROPOSITION 2 before the electors on November 6, 1979; and WHEREAS, PROPOSITION 2 is a constitutional amendment designed to remedy problems caused by outdated state interest rate regulations that freeze many institutions out of the lending market. These groups may only charge 10 percent interest totally unrealistic when the prime bank rate is over 14 percent; and WHEREAS, PROPOSITION 2 will allow more out of state institutions such as insurance companies to enter the California lending market without the restrictions that prevent them from fairly competing; and WHEREAS, California lenders will have an incentive to keep their money in state; and WHEREAS, the greater competition in the lending market should result in a lower overall interest rate, as a supply of money begins to catch up with demand; and WHEREAS, California faces a severe shortage in housing. The increase in money supply caused by PROPOSITION 2 will allow for more financing for building houses and apartments, and the reduced interest rates will make it easier for families to purchase their own homes; and WHEREAS, PROPOSITION 2 will help businesses by making more loans available for expansion and create more jobs. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Anaheim that the City of Anaheim, State of California, endorses the passage of PROPOSITION 2, which will place into the Constitution of California a system for fair and equitable interest rates, insuring a growing and healthy economy. THE FOREGOING RESOLUTION is approved d adopted by the City Council of the City of Anaheim t i 16th •-i of October, 1979. ATTEST: CI T CLERK OF Tr. CITY OF ANAHEIM WPH:in OR OF THE C F ANAHEIM STATE OF CALIFORNIA COUNTY OF ORANGE CITY OF ANAHEIM I, LINDA D. ROBERTS, City Clerk of the City of Anaheim, do hereby certify that the foregoing Resolution No. 79R -585 was introduced and adopted at a regular meeting provided by law, of the City. Council of the City of Anaheim held on the 16th day of October, 1979, by the following vote of the members thereof: AYES: COUNCIL MEMBERS: Overholt, Kaywood, Bay, Roth and Seymour NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None AND I FURTHER CERTIFY that the Mayor of the .City of Anaheim signed said Resolution No. 79R -585 on the 16th day of October, 1979. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the seal of the City of Anaheim this 16th day of October, 1979. ss. CITY CLERK OF THE CITY OF ANAHEIM I, LINDA D. ROBERTS, City Clerk of the City of Anaheim, do hereby certify that the foregoing is the original of Resolution No. 79R -585 duly passed and adopted by the Anaheim City Council on October 16, 1979. CIT CLERK