HomeMy WebLinkAbout1983 Resolution No. 043I
l<ESOL U'l'ION NO , 1 c3
S ERIES OF 1983 __ _
A RESOLUTIOI TRANSFERRING TQ A RAPAH OE rr:1 ~TY' COLO RADO' '!'Im /\LLOC/\-
TION OF THE CITY OF ENGLEWOO D , COLORADO , ';NDER SEC'PION 29-ti-8 0 I
/,ND S ECT ION 29-4-805 OF COLOR/\DO REV I Sl'rl •'.'J'/\'l'U'l'i!S I 9 ·1 ·1, /IS /\M l-:Nlll ·:1,,
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THE EXECUTI Oh ,;ND DELIVERY DY '1'1-IE (' l 'J'Y r;!' 1\N /\L i,OC/\'l' rnN 'l'll/\NSl-'EH
AGREEME N'l'.
I·, 'Tl E/\S , the City of Engle wo od , Co l orado (the "C1ty"l antl
Arapahoe County , Co lorado (the 'Count y ') are e ach authorized by the
County and Mun icip11lity Deve :opment Revenue Donel /\c t, cons t iL ut ing
/•.rLicl1= 3 or '{'it le i:9 , Colorado Revise d St atute s 1 97J , iu ~ a111l:11Jed
(the 11 Pr ci c:t .ict 11 J , to (i nance , refinance, _cqu i r e , uw1 1, l,•dllL',
i ,1 ! , ,J cl i :..L~O!Jl o( pro pe r tie£ to t he· did l11.t1 11111 1 l· dlh · p,.11,
Le 1i,uvidh.l, Hhich 1nu1110 L l' ll 1t 1;11111~ .. L•.d tll , \It'll 1
c1. ... i.11 1 ·t· di 1d p l uupc r ity ; ,.:rnJ
WHE REAS, the Mortgage Subsidy Bo nd Tax Act of 1900 , codi-
fied as Section lOJA of the Internal Revenue Code of 1954, as amended
(the 'Federal Act"), re stricts the amount of tax exempt obligations
which ma y be i ssued by the Colorado llo•;sing Finance l\uthority and
local governmental units in the sta t e of Co lorado (the "State"! to
f inance s :rigle -f arnily mortgages to an amo unt not e xceeding the State
ceiling 1 and
WHER EAS , the Federal /\ct au thorizes the s t ates to provide a
for mul a for allocating the re spe c tive state ceili ngs amo ng the gov-
ernmental units in such states in a ma nne r different f r om the federal
allocation formula , and the State of Colorado has provided for suc h
an alternate formula for allocatio n in Part 8 of Article 4 of
T itle 29 of Co lo rado Hevi s ed St a t ut es 1973, '1 U .,·.,,end e d (Lil i,
"All oca t ion Act"), a nd
WHEREAS, the Allocation Act authorize s governmental unit s
in the State to tr a n sfe r all or a put of their allocations provided
f or in the Allocation Ac t to any othe r entity otherwise a uthor ized to
i s s ue bonds to finan c e single-family mo rtgages and 'to accepl t ra ,,~-
fers o~ su e~ allocat i on s ; and
WH~REAS, th e City and the Co unty deem it nece ssary a nd
a dvisable tha t a program be made available for the origina tion a nd
servicing of mortgage loane. for residential housing facilitiP.s for
low-and middle-income families a nd pe r s on s (the "Mortgag e Lo a ns ") in
o rder to increase the su pply of money available for mortgag es s o that
fa mi li es and person s o f low -and mi ddl & income ma y fina nce the pur-
chase of r e sid e nti al 110 u s 1n g f a ciliti es at l es s t ha n Lhe prcvni liny
mar ket intn ,,st: rat e , thereby providing more ad e quate r e side ntia l
ho ui : in:; [dc ilitie s for low-a:td middl e-i ncome [anlil i 0 6 o,1ci pe rsons
t .. JLh t h.:: C it y and the Co unt y .:i nd cl:i 1•\1 J1 . wi t hi n LI IC' St.Jtc ;
\•/11 1-:JH:AS , U 10 Ci ty t.l esires t o tr ,:.111 :;1:c.:1 L u tl 1e l 'o u1 1t 't
alloca tion under Sec tion 29-4-803 of he Allocation Act t o f inance
Mortgage Loans t o p rov i de more adequate r esidential housing facili-
ties for lo w-an d middle-income families and pe r ~on s within the
County, including t he City which is located with in the County, and
elsewhere within th e State ; and
WHEREAS , t he City de s ir es to delegate to the County t he
authority to act on its behalf in the issuance of qualified mortga ge
bonds pursua nt to th e alloca t ion gran ted under Sect i on 29-4-805 of
t he Allocation Ac t and to transfer to the County its alloca tion under
Se ction 29 -4-80 5 of the Allocat i on Act to financ e Mortgage Loans to
r ovi de more adequa t e r e s idential housing facilities f or low-and
middle-income f,milies and persons wi thin the County, including t he
City which is loc~tt?d within the c o ... :1•.y, and e lsewher e w1thin Uw
Sta te; a nd
WHEREAS, the County desires to accept s uch transfers und to
fi nance Mortgage Loans to provide more adequat e res ljential housing
fac ilit ies for low-an d middle-income families and pe~son s with,n the
Cou nt y , i ncluding the City wh i ch is locate d withi n the County , a nd
e lsewhere within th e State; a nd
WHEREAS , economies of time and e xpense will res ult f ro m one
gove rnm ental unit fi nancing Mortg age Loan s to provide more adequate
residential housing facilities for low-and mi dd le-income families
and person s withi r. bo t h the City a nd the Count y and elsewhere within
the State; and
\o/H EREAS , i t is necessa ry to evidence such tran s fers and the
a c c ept 1nce of s uch transfers by the Allocat ion Tran o f c r Agre ~ment
att :ichocl hrr~t.,, as Exhi b i t A (the "All ocation Tran sl'cr Ag r e cn ,e nt"l
,, .! 1 be e xec ut e d an d deliv e r e d by the r i t y il n ll th e Co un ty.
,.0\'/, 'l'llf:RE l''.J RE , OE I1' ll l'SOLVED il Y •1·111·: CLJJJliC 11 , 01-' 'l'IIE C['I"/
',1.lvOOIJ , ("0 1.0 IU\D0 :
Se ct io n 1. In order t o i nsure the fi nancing of Mortgage
Loans to provide more adeq uat e resi de n t ial b~us ing facilities for
low -and mi ddle-inco me families a.nd persons within the City at the
ear li est possitle date, which will promote the public health, wel-
far e , s a fe ty , c unv e nience and pro spe rity of the i nh a bitants of the
City , i t is deeme d ne c essary an d advisable t ha t the Allocation
Transf e r Ag re em ent be approved , exe cuted an d dellvered by and on
behalf o f the City .
Section 2. The fo rm, terms an d prov i sio n s of the
Allocation Transfe r Agre e ment her e by are ap prov ed and the Mayor of
the City ac.d the City Clerk he re by are autho r ized an d directed to
execute and deliver the Allo cati on Transf er Agreemen t.
Section 3. ~'h e Mayor a nd the City Clerk' hur e l.Jy a u ,
authorized and directed to take such other steps or actions as m.:i y be
required to carry out the terms and intent of this resolution and o(
the Allocation Transfer Agre emen t .
Section 4. Nothing contained in this resolution or in the
Alloca tion Transfer Agre ement shall obligate the City , except to the,
extent described in the Allocation 'l'ransfer Agr ee ment, nor constitulu
the debt or indebt ed n ess of: t he City within Ll,e 111e11 ning o r t·l,c,
Con s titution or statutes of the State or the home rule charter of any
political subdivision thereof, nor give rise to a pe cuniary liability
~f the City or a c harge against its ge ner al credit or tax ing powe r s .
section 5 . If any section, paragraph, clause or provision
of th is r esolution shall for an y re ason be held to be invalid or
unenfo r ccnLle , the in validity or unenforce.:l bil1ty of s uch sc~tlon,
paragraph, cl ,<..s e or provision shall not affect any of: th e remai ning
pre,, ~·.sn•: of. thi s re soluti0n .
. iec t ion 6 . All ac tion (not i nco no i s tenL with the pr ovi-
~Li! ! l~.s otut-.io n) hereLo(ore t oken by th,~ Cou nc il c1 ud t 1,
u1 J .1.cc.:r!: c...[ L ... : C.it y directed towurc.l th e.: ..iul l1uc .i:t...it1u11 l,! tl1v
Al location Transfer Agreement he reby is ratified, app ro ved and
confir:n ed .
Section 7. This resolution shall be in full force and
effect upo n its pas sa ge and approv al .
APPROVED AN D ADOrT ED the 15th day of Augu st , 1 983.
Attest:
I , Gary R. Higbee, ex officio City Clerk-Treasurer of: t he
City of Englewo od, Colo r a do, he reby certify thetL t he rore;,1~i 11<J
is a true, accurate and rQmplete copy of R~solution No.~, Series of 19 8 3.
5
ALLOCATION TRANSFER AGREEMENT
This Allocati on Trans f er Agr eem ent is between the City of
Englewo od, Colorado (the "City" l and Arapahoe County, Colorado (the
"County" l.
WIT NE s S ETH:
1. Preliminary statement. Among the matters of mutual
inducement which have resulted in the execution of this Allocation
Tra nsfer Agreeme nt are th e f ollowing:
(a l Th e City and th e County a re each a uth or ized by th e
County and Municipality Deve lopment Revenue Bond Act, constituting
Article 3 of Title 29, Colorado Revised Statutes 1973, as amended
(the "Pro ject Ac t"), to finance, refinance , acquire, own, l ease ,
im prove a nd dispose of properties to the end that more adequate resi-
dential housing facilities for low-and middle-incom e families and
persons may be provided, which promote the public health, welfare,
safety, convenience and prosperity.
(b l The Mortgage Subsidy Bond Tax Act of 1980, codified as
Section 103A of the Internal Revenue Code of 1954, as amended (the
"Federal Act"), restricts the amount of tax exempt obligations which
may be issued by the Colorado Housing Finance Authority and local
governmental units in the State of Colorado (the "State") to finance
single-family mortgages to an amount not ex ceedin n t~e state
ceiling.
(cl The Federal Act authorizes the states to provide a for-
mula for allocating the respective state ceili ngs among the gov ern-
mental units in such states in a manner different from the federal
al locat ion for mula, and the State of Colorado has provided f or such
an al te rnat e formula for allocation in Part 8 of Article 4 of
Ti t le 29 of Col ra do Re vis ed Statutes 1973, as amended (the
"Allocation Ac t").
(d) The Allocation Act authorizes governmental units in the
State to transfer all or part of their al location s provided for in
the Allocation Act to any other entity otherwis e authorized to issue
bonds to finance single-family mortgages and to accept transfers of
such allocations.
Ce) It is deeme d necessary and advisable by the City and
the County that a program Le made available fo r the origination and
servicing of mortgage loar:, f or residential housing facilities for
low -and middl e-income fan •C:.t i es and persons (th e "M ortgage Loans") in
o r d er to increase the supp.ly of money available for mortgage loans so
that families a nd persons of low-and midd~~-income may fi nance the
pur chase of residential housing facilities at less than the prevail-
in g market i n terest rate, there i'Y providing rr.ore adequate res J.den tial
housing facilities for low-and middle-income families and persons
within both the City and the County and else1••here within the State.
(fl It is deemed necessary and advisable by the City and
t he County that the origination and serv1c1ng of the Mortgage Loans
be commenced at the earliest possible date.
(g) Thn Council of the City has indicated its willingness
to transfer to the County the City's allocation under Section
29-4-803 of the Allocation Act to finance ~ortgage Loans to provide
mo re adequate re s idential housing facilities for low-and mid dl e-
in come familie s and persons within the County, includi ng the City
whi ch is located within the Co unt y , a1.'1 e l sewhere within t he State.
(h) The Coun ci.l of the City has further indicated its will-
ingness to delegate tc. t he County the ~-~thority to Lct on its behalf
in the issuance of qualified mo rtgage bonds pursuant to the -l loca-
tion gr anted under Section 29-4-805 of the Allacati on Act a nd to
transfer t he City's allocation under Section 29 -4-805 of the
Allocation Act to finance Mortgag e Lo a n s to pro vide mo re adequ at e
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I
residential housing facilities for low-and middle-income families
a nd persons within the County, including the City which is located
wi thin the County, and elsewhere within the State.
(il The Board of County Commissioner s of the County has
indica teu its willingness to accept such transfers and delegation and
to finance the Mortgage Loans to provide more adequate residential
hou sing facilities for low-and middl e-income families and persons
within the County, in=luding the City which is loca ted within the
County, and elsewhere within the State.
(jl Ne ith er th e execution and delivery of this Alloca tion
Transfer Agreement, the consummation of the transactions contem plated
hereby, nor the fulfillment of or compliance with the terms and con-
ditions of this Allocation Transfer Agreement conflicts ~ith or
results in a breach of any of the terms, conditions or provisions of
any legal restriction or any agreement or instrument to which the
City or the County is now a party or by which the City or the County
is bound, or constitut es a default under any of the foregoing.
2. Transfers by the City. Pursuant to the Allocation
Act:
(al The City transfers to the County its allocation under
section 29-4-803 of the Allocation Act and under section 29 -4-805 of
th e Allocation Act and delegates to the County the authority to act
on its behalf in the i ssuance of qualified mortgage bonds pursuant to
the allocation granted under Section 29-4-805 of the Allocation Act ,
to provide more adequate residential housing faci lities for low-and
middle-income families and pe r so ns withi n the County , including the
City which is located within the Coun ty and elsewhere wi t hin the
State , subject to the terms and conditions herein contained. Th e
City covenants that pc i 0 • to January l, 1984 it will not issue any
bond s, notes or other securities under the Project Act to finance
mo rtgage loans to provide more adequate residential housing
f acilities f or low-and middle-income families or persons within the
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City or transfer its allocation under Section 29-4-803 or
Section 29-4-805 of the Allocation Act to another governmental un it
to fi nance mo rtgage loans to provide more ad equate res i de ntial ho us -
ing facilities for low-and middle-income families and per s ons withi n
the City.
(bl The City agrees that it will t a ke such furth er action
a nd a do pt s uch f ur t he r proce e ding s a s ma y be r eq u ired t o im~lement
t h e terms of this Allocation Transfer Agreemen t .
3 . Acceptance of Transfers by the coun t y . Pursu a nt t o
t he Al loca ti on Act :
Cal The County hereby accepts th e trans fe rs to it by the
City of th e allocation of the City under Secti on 29-4-803 and
Secti on 29-4-80 5 of the Allocation Act, and hereby accepts the del e-
ga tion by t he Ci ty of the authority to act on its behalf in the issu-
a nce of qu a lif i ed mortgage bonds pursuant to the allocation granted
under Sec tion 29-4-805 of the Allocation Act, subject to the t e rms
a nd conditions herein contained.
(bl The County agrees that it will use its best efforts to
issue revenue bonds under the Project Act, in one or more series, to
f inance Mortg a ge Loans to provide more adequate residential housing
facilities for low-and middle-income families and persons within the
County, including the City wh!ch is located withi n the County, and
elsewhere within the State.
(cl The Co unt y agr ee s that i t will take s uch furth e r action
and adopt such further proceedings a s ma y be re quir ed to implement
t he t e rm s of t h i s All ocation Transf er Ag reeme n t .
4. Gener al Prov is ions.
Cal Thi s Alloca tion Tran s fe r Agreement is he r e by declared
irrevocable during the term o f the agreements to be entered into by
t he County ~nd the financial ins titution s whi c h will originate and
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se rvice the Mortgage Loans, and this Allocation Transfer Agreement
shall terminate upon the termination of such agreements.
(b ) This Allocation Trans f er Agr eement s hall automatically
termi nate on January 1, 1984 if the County has not prior to that da te
is sued its revenu e bonds un J er the Project Act for the purpose of
f inancing Mortgage Loans to provide more adequate residential housing
fa cili ties f or low-,rnd midrl 1,e-income families and persons within the
cou nty, including the City wh ich is l ocated within the Coun ty, 3n d
elsewhere within t he State.
(c) Nothing contained in thi s Allocation Tra nsfer Agre eme nt
s hall obligate the County to finance Mortgage Loans in any particular
amoun t or to us e auy particul ar pe rcentag e of the proceeds of it s
reve nue bonds to finance Mortg age Loans t o provide more adequate res-
idential housing f a cilities locat e d in th e City, and the County is
her eby authorized to finance on l / such Mortga ge Loans as shall be
agreed upon by the County and the financial inst itut ions which wi ll
originate and service the Mortgage Loans.
(d) This Allocation Transfer Agreement shall not constitute
the debt or indebtedness of the City or the County within the meaning
of the Constitution or statutes of the State or the home rule charter
of any pol i tical subdivision thereof nor give rise to a pecuniary
lia bility or a charge against the general credit or taxing powers of
the City or the County.
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IN WITNESS WHEREOF, the parties hereto havett:1,e r ed into
this Allocation Transfer Agr eem ent this /S._Qiaay of re,
1983 ,
(SEAL)
Attest:
(e9~t2~-c1Clerk
(SEAL)
Attest:
county Clerk
CiTY OF ENGLEWOOD, COLORADO
ARAPAHOE COUtlTY, COLORADO
BY--------------Chairman of the Board
of county commissioners
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