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272536 WFIITE - CITV GLERK PINK - FINANCE G I TY OF SA I NT PAU L � CANARV - DEPARTMENT COQflC1I �, �� . �� BLU� - MAYOR File NO. ��t�''�g� ouncil Resolution Presented By �� Referred To Committee: Date Out of Committee By Date RESOLUTION ESTABLISHING CERTAIN CRITERIA FOR QUALIFYING REDEVELOPMENT AREAS, MAKING ALLOCATIONS OF BELOW MARKET INTEREST RATE (BMIR) HOME MORTGAGE LQAN FUNDS AND AUTHORI2ING MORTGAGE ORIGINATION AGREEMENTS WHEREAS, the City Council by Resolution, Council File No. 272059, adopted November 16, 1978, authorized the preparation of a below tnarket interest rate (BMIR) home mortgage loan program for the City of Saint Paul; and WHEREAS , the City Couneil. by Resolution, Council File No. 272222, adopted December 14, 1978, established low and moderate income and mortgage limits for the BMIR Program, determinec�` that up to 20� of the total sum available for BMIR mortgage loans be alloc�ted to redevelop�- ment areas within the City without income limits and at higher mortgage limits, and established eligibility 'c�iteria for lending institutions to serve as mortgage originators in the BMIR Program; and WxEREAS, pursuant to these Resolutions, the Department of Planning and Economic Development prepared and submitted to the Council Finance, ` �Mana�qernent and Personnel Committee recommendations for the mortgage limits in and eligible redevelopment areas for the 20� allocation of mortgage loans , and solicited and received requests from lending institutions for participation in the BMIR Program as mortgage origin- ators and seller/servior�rs of mortgages; and COU[VCILMEN Requested:by Department of: Yeas Nays Butler [n FBVO[ ��nt Of Pl r�ning and F.mnnmirn lYxs�lrvi,nwnt Hozza � Hunt � ' Levine __ A gai n s t BY —��z�s�r� Maddox Showalter TedesCO Form 3�pproved by City Attorney Adopted by Council: Date ..� Certified Passed by Council Secretary BY � By ^ Approved by IVlavor. Date _ �: App� by Mayor for Su i ' n to Council By _ B WHITE - CITV CLERK S�1'yL��/�� PINK - FINANCE • GITY OF SAINT PAUL Council �:.• �/ jt ..� CANARV - DEPARTMENT BLU�� - MAVOR File NO. � Council Resolution Presented By Referred To Committee: Date Out of Committee By Date -2- WHEREAS , requests for mortgage origination participation with one percent (l�) deposit checks have been received from 23 lending institutions, of which 21 satisfy the eligibility criteria established by the City Council, in the total amount of $74,860 ,000, including $9 ,910,000 for redevelopment areas; and WHEREAS, this level of mortgage origination requests is supported by records of 1978 single fami.ly home sales of $50,000 and under in Saint Paul maintained by the Office of the Register of Deeds, Ramsey County, Minnesota, and by Multiple Listing Service, and is indicative of home mortgage loan needs for persons primarily of low and moderate income not otherwise generally available or affordable to such persons in the private mortgage market; and WHEREAS, the Mayor is recommending an initial revenue bond issue in the amount of $50,000,000 for the BMIR Program, which after prov�• sion for default and mortgage reserve accounts, capitalized interest, cost of issuance and discount of the bonds, and program administration, would provide a mortgage loan fund of $41,710,D00 ; and WHEREAS, alloeation of mortgage loan funds among qualifying lenders has been recommended in accordance with the attached Schedule A identification of lenders, amount of requests and recomm�nded alloca- tions. COU[VCILMEN Requested by Department of: Yeas Nays Butler In Favor - Hozza Hunt Levine __ Against BY — Maddox Showalter Tedesco Form Approved by City Attorney Adopted by Council: Date Certified Passed by Council Secretary BY sy Approved by Mavor: Date _ Approved by Mayor for Submission to Council BY - – — BY WHITE - CITV CLERK � PINK - FWANCE COUIICII �1r' � ,�► CANARV - DEPARTMENT GITY OF SAINT PAUL� � � Bl_U�E -MAVOR � File N0. f.• ��s�� Council Resolution Presented By • Referred To Committee: Date Out of Committee By Date —3— NOW THEREFORE, BE IT RESOLVED by the Council of the City of Saint Paul, as follows : a. That the mortgage amount limit in redevelopment areas for existing housing and new construction or substantial rehabilitation shall be $85,000.00. b. That redevelopment areas in the City of Saint Paul eligible for the 20� allocation of mortgage loan funds shall be those redevelopment project areas for development sites containing 10 or more single family dwelling units to be provided on land publicly acquired for redevelopment purposes or on other publicly owned land to be sold for redevelopment purposes, and such other projects as may be approved by the City Council. _.�,�, _. c. That allocations of BMIR mortgage loan funds are authorized � to the qualifying lenders/originators and in the xecommended allocation amounts as set forth in Schedule A. d. That the Department of Planning and Economic Development is hereby directed to remit to such part of the �ders deposits as exceed one percent (1�) of each qualifying lenders approved allocation. e. That subject to City Council approval of the BMIR revenue bond issue�closing of the sale thereof, and issuance of a notice of acceptanc� by the City, the proper City officers are authorized to conclude mortgage origination agreements with those lenders at commitment fees not to exceed one percent (1�) of the qualified mortgage loans committed to COUNCILMEN Yeas Nays Requested by Depactment of;_ . Butler In Favor Hozza Hunt Levine __ Against BY — Maddox Showalter Tedesco Form Approved by City Attorney Adopted by Council: Date Certified Passed by Council Secretary BY By �lpproved by Mavor; Date Approved by Mayor for Submission to Council By _ BY - • - � r . . � ' . -°- �s�' -� < ..�,�'" �� ° .: — OM 81: / x�s� � - F t =��'"�� , , .�� : .. I2 T�`7 5 . �, . � ,�..> . � ,�,� _ - {�..� � � .: 9/8/7 e,,,,,<�;,. . _ ..;.. _ '. . ��2�- �.�• r� ;w.:� -s� V. : � -�.:�� u ., ,. ��,�,�., Re � �`�� .. � �`�EXPLANATION OF ADMINISTRATIVE ORDERS, : . RESOLUTIONS, AND ORDINANCES , . :. - , � : � ��✓� _ Date: �February 20, 1979 � T0: MAYOR GEORGE LATIMER- � : FR: Terry McNellis �t-� '1� . � • � �; Below Market Interest Rate Home M�vrtgage Program . , ACTION REQUESTED: , Approve Resolution for submission to. City Council PURP�SE AND RATIONAL� FOR THIS ACTION: � " Resolution details certain items agreed upon in meeting in the Mayor's ;office on Friday, February 16. ATTA�CHMENTS: Resolution w ORIGINAL REQUEST RECOMMENDED ALLOCATIOPJS �;�►"1�; �,a, Red�vel opment ��= �' "6�..�'•�-",�Redevel opment Regular Areas Regular Areas �irst State Bank of 1,400,Q00 300,000 1 ,190,000 300,000 �aint Paul destern State Bank 1,000,000 470,000 850,000 470,000 �f St. Paul dorthland Mortgage 7,OOO,QDO . 3,065,000 ;ompany =irst Grand Ave. 2,000,000 1,700,000 1,705,000 1,360,000 �tate Bank of �t. Paul '�iorthwestern National 4,000,000 3,065,000 3ank of St. Paul � First Federal 2,000,000 1,535,000 Heritage State Bank 250,000 155,000 - Pdorth St. Paul The Spring Company 1,000,000 � 765,000 � 765,000 The First National 2,500,000 1,090,000 2,130,000 872,000 Bank of Saint Faul Banco Mortgage 13,000,000 500,000 3,405,000 470,000 Company Ttivin City Federal 1,500,000 350,000 1,275,000 470,000 Summit State Bank 500,000 98,000 of Phalen Park First Merchants 1,300,000 400,000 1,105,000 400,000 State Bank --':- ' St. Anthony Park 500,000 500,000 385,000 - State Bank Northern Federal Savings 5,000,000 3,065,000 and Loan Association . Knutson Mortgage & 5,000,000 1,000,000 3,405,000 1,000,000 rinancial Corp. f�idwest Federal 8,400,000 1,600,000 3,405,000 1,600,000 Arnerican National 1,000,000 765,000 _ _, Bank and Trust Company Conservative P�ortgage 2,500,000 1,500,000 850,000 1,400,000 Company - Northwestern State 500,000 385,000 � Bank United Mortgage 3,000,000 500,000 765,000 Corporatian � M.R. Waters & Sons Inc. 6J0,000 -p- �;orth Star Mortgaye C�. 1,�00,000 -p- , Sub totals 64,950,000 9,910,000 33,368,000 8,342,000 Total 74,860,000 41,710,000 ' ' SCHEDULE A '