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R2009-205 - 2009-12-14 RESOLUTION NO. R2009 -205 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS, APPROVING THE ISSUANCE OF TAX EXEMPT BONDS BY THE SOUTHEAST TEXAS HOUSING FINANCE CORPORATION. WHEREAS, pursuant to the Texas Housing Finance Corporations Act, Chapter 394, Texas Local Government Code (the "Act the creation of The Southeast Texas Housing Finance Corporation (the "Corporation was approved by resolution of the governing bodies of each of the Texas counties of Austin, Brazoria, Chambers, Liberty, Matagorda, Walker, Waller and Wharton and the Texas cities of Baytown, Deer Park, Dickinson, La Marque, La Porte, League City, Pasadena, Santa Fe, Shoreacres, Texas City and Tomball (the "Local Governmental Units to provide a means of financing the cost of residential ownership and development that will provide decent, safe and sanitary housing for persons and families of low and moderate income; and WHEREAS, the Corporation desires and intends to issue its Single Family Mortgage Revenue Bonds (Guaranteed Mortgage- Backed Securities Program) Series 2009A (the "Bonds pursuant to the Act to defray, in whole or in part, the costs of purchasing or funding the making of home mortgages, in the aggregate principal amount not to exceed $24,549,050; and WHEREAS, Section 394.005 of the Act provides that said Act does not apply to property located within a municipality with more than 20,000 inhabitants unless the governing body of such municipality approves the application of said Act to that property; and WHEREAS, the effect of said Section 394.005 is that the proceeds of the Bonds may not be used to finance single family housing within the City of Pearland (the "City) without the approval of its governing body; and RESOLUTION NO. R2009 -205 WHEREAS, the Corporation has requested the approval of the City Council of the City to allow mortgage loans for homes located in the City to be financed with the proceeds of the Bonds; and WHEREAS, it is the desire of the City Council of the City to make available to citizens of low and moderate income of this City loans financed by the proceeds of the Bonds since they provide favorable interest rates for first time buyers who qualify for such loans; and WHEREAS, the Corporation has requested the approval of governing body of the City to provide, with the proceeds of the issuance of the Corporation's Bonds, financing for home mortgages for homes in the City; now therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS: Section 1. That the recitals made above in the Resolution are hereby adopted in their entirety and incorporated herein as though set forth in full herein. Section 2. That the City Council hereby approves the application of the Act to property within the City and grants its approval to the Corporation for the use of proceeds of the Bonds to finance home mortgages for homes located within the City. Section 3. That it is officially found and determined that no provision of this resolution shall make the City of Pearland, Texas, this Council, or any officer, agent, employee, or official of the City of Pearland, Texas, liable in any respect whatsoever in regard to the Bonds, it being understood that the Bonds are solely to be repaid and secured from the sources described in the Indenture of Trust related thereto, none of which sources impose any liability whatsoever upon this City, this City Council, or the officers, agents, and employees of this City. 2 RESOLUTION NO. R2009 -205 Section 4. That to indicate the City's desire to participate in this program, a copy of this resolution will be forwarded to The Southeast Texas Housing Finance Corporation. PASSED, APPROVED, AND ADOPTED this 14 day of December, A.D., 2009. c: ==mac/ tt:I TOM REID MAYOR ATTEST: SONIA WEBB DEPUTY CITY SECRETARY APPROVED AS TO FORM: DARRIN M. COKER CITY ATTORNEY 3