05-1188CITY
Presented by
Council File # �S ' � � p �
Green5heet# 302A926
RESOLUTION
SAINT PAUL, MINNESOTA 33
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3 APPROVING A SINGLE FAMII,Y HOUSING FINANCE PROGRAM TO
4 BE FINANCED BY THE ISSUANCE OF SINGLE FAMU„Y MORTGAGE
5 REVENiJE BONDS
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WI�REA5, pursuant to the Mimiesota Municipal Housing Act, Minnesota Statutes, Chapter 462C
(the "Housing AcY'), the City of Saint Paul, Minnesota (the "City") is authorized to carry out programs for the
financing of single family housing for persons of low and moderate income; and
WHEREAS, the Minneapolis/Saint Paul Housing Finance Board (the `Board"), a joint powers board
organized under a Joint Powers Agreement (the "Joint Powers AgreemenP') originally dated as of December
1, 1984, and as subsequenfly amended, by and between the Housing and Redevelopment Authority of the City
of Saint Paul, Minnesota (the "Authority") and the City of Minneapolis, Minnesota ("Minneapolis") and
accepted by the City, and under the laws of the State of Minnesota, proposes to undertake a single family
housing finance program relating to the Minneapolis and the Saint Paul entitlement allocations and certain
refunding bonds (the "Program"), to be financed by the issuance of one or more series of mortgage revenue
obligations and mortgage revenue refunding obligations pursuant to Mizuiesota Statutes, Sections 469.001 to
469.047, Chapters 462A, 462C and 474A and Section 471.59 (together with applicable predecessor provisions
of state law, the "AcY'); and
WIIEREAS, pursuant to the Act, the Board is authorized to issue bonds from time to time and to use
the proceeds of its bonds to make or purchase mortgage loans or to purchase participations in mortgage loans
from lending insritutions in order to finance the construction and rehabilitation, and to facilitate the purchase
and sa1e, of single family housing for eligible persons or families under the Act and to issue bonds to refund
previously issued bonds; and
WHEREAS, the Program will provide below market interest rate mortgage loan fmancing or income
tax credits priinarily to persons of low or moderate income purchasing single family homes to be used as their
principal places of residence and which are located within the geographic lnnits of the Ciry or Minneapolis;
and
34 WIIEREAS, the Act requires adoption of the Program after a public hearing held thereon following
35 publication of notice in a newspaper of general circulation in the City and Minneapolis at least fifteen days in
36 advance of the hearing; and
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38 WHEREAS, the City Council has on the date hereof conducted a public hearing on the Program, after
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WHEREAS, the Program was submitted to the Metropolitan Council at or before the time of
publication of notice of the public hearing thereon, and the Metropolitan Council was afforded an opportunity
to present comments at the public hearing, all as required by the Act; and
WHEREAS, the Progaui provides for the issuance of single family mortgage revenue bonds or
revenue refunding bonds in one or more series pursuant to the Act (the `Bonds") to make or purchase or cause
to be made ar purchased mortgage loans, or to purchase securities the proceeds of which would be used to
purchase mortgage loans to finance the acquisition, primarily by low and moderate income persons and
families, of single family housing located within the geographic boundaries of the City or Minneapolis; and
51 WI-IEREAS, it is proposed that the Program be approved and the Boazd be authorized to issue Bonds
52 pursuant to the Program and the Joint Powers Agreement; and
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WI�REAS, the Program and the issuance of Bonds by the Boazd or the Authority are in the best
interests ofthe City.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SAINT
PAUL AS FOLLOWS:
1. The Program is hereby approved in its enrirety in substanrially the form on file with the City.
The officers of the City and the Board are authorized to take a11 actions as may be necessary or appropriate to
cany out the Program in accordance with the Act and any other applicable laws and regularions.
2. The issuance of the Bonds pursuant to the Program is hereby approved subject to agreement by
the Board and the purchasers of the Bonds, if any.
3. The Bonds may be issued in one or mare series at the tune ar times and pursuant to terms
determined by the Board, and be structured so as to take advantage of whatever means are available and are
pernutted by law to enhance the security for, or marketability of, the Bonds, provided that any such financing
structure must be approved by the Boazd. All such detemunations by the Board must comply with the
applicable provisions of the Act and the Internal Revenue Code of 1986, as amended, and regulations
promulgated thereunder.
4. The Board is authorized to take all actions which may be necessary or desirable in connection
with the issuance of the Bonds, acting on behalf of the City, and no further approval or consent of the City
shall be required prior to the issuance of the Bonds by the Board, or prior to the taking of any action by the
Board to undertake and implement the Program.
5. Nothing in this Resolution or the documents prepared pursuant hereto shall authorize the
expenditure of any municipal funds on the Program other than as specified and authorized by separate actions
of the City and other than the revenues derived from the Program or otherwise granted to the City for this
purpose. The Bonds sha11 not constitute a charge, lien or encumbrance, legal or equitable, upon any property
or funds of the City except the revenues and proceeds pledged to the payment thereof, nor shall the City be
subject to any liability thereon. The holders of the Bonds shall never have the right to compel any exercise of
the tasing power of the City to pay the outstanding principal on the Bonds ar the interest thereon, ar to enforce
payment against any properry of the City. The Bonds shall recite in substance that the principal and interest
thereon, are payable solely from the revenues and proceeds pledged to the payment thereof. The Bonds shall
not constitute a debt of the City within the meaning of any consritutional or statutory limitation of
indebtedness.
US-1/k$
86 6. Any one or more series of the Bonds may be issued by the Authority in lieu of issuance by
87 the Boazd, at the discretion of the Authority.
Requested Uy Depamnent of:
By:
�V�
Form Approved�j C' Qrrye�
�
p BY� i t,� � ��:�
Adopted by Council: Date �eCO✓vt-62f � �, �DOS �
Adoption Certif�d by Council Secretary Form Approved by Mayar for Submission to Council
BY� 1
Approved b yor: Date �
By: ��7
� os- /!88 �
Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet
' Department/office/council: I Date Initiated: I
� PE - p��ng&EconomicDevelopment i 2�-NO„-o5 �; Green Sheet NO: 3028926
Cor�ct Person & Phone:
Stephanie Hawkinson
6-6585
Must Be on Council i\qenda by (Date):
21-DEC-05� ��.
�
Assign
Number
For
Routing
Order
0 �Plannin¢ & Economic Develoo i t3L+►T- J 6{ar ,_t_�1
w%l
1 �'lauoine&EconomicDevelon � DeoarhoentDirector I _¢f�L-_
2 Citv Attomev � �
3 avor's Office � Mavor/Assistant �--��
4 .ouncil i i
5 ;CiN Clerk � CiN Clerk �I
`.,�a n =° ,�'� - - 3 � � � � ��'?,
�'� `r�� � �,�.� p .� "�, ��°
Total # of Signature Pages �_ (Clip All Locations for Signature)
Action Requested:
Signature on attached Resolurion for adoption at a Public Hearing on Dec 21, 2005
dations: Approve (A) or R
Planning Commission
CIB Committee
Civi1 Service Commission
����' ������'��
Must Answer the Following Questions:
1. Has this personffirm ever worked under a contract for this departmenY?
Yes No
2. Has ihis personlfirm ever been a ciTy employee?
Yes No
3. Dces this person/firm possess a skill not normally possessed by any
current city employee?
Yes No
Explain all yes answers on separate sheet and attach to green sheet
Initiating Problem, Issues, Opportuniry (Who, What, When, Where, Why):
Approving the 2006 Single Family Aovsing Program to be financed by the issuance of Single Family Mortgage Revenue Bonds. Bond
proceeds will be used to provide loans for low or moderate income peisons and faxnilies.
AdvanWt�es If Approved:
The City is able to proVide loans at lower interest rates tluough the issuance of tax-free bonds. The pxogram allows the City to better
serve first time home buyers.
DisadvantaqeslfApproved:
None.
DisadvanWpes If NotApproved:
Loan funds at lower inteiest rate would not be available for low or moderate income persons.
Transaction:
Fundinp Source:
Fi nancial 1 nformation:
(Explain)
Cost/Revenue Budgeted:
Activity Number:
�,��� ��s���c�, t°�n�or
�EC 0 5 2005