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R2004-001 01-12-04 RESOLUTION NO. R2004-1 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS, ASSIGNING THE AUTHORITY TO ISSUE SINGLE FAMILY CONVERTIBLE MORTGAGE NOTES TO BRAZORIA COUNTY AS THE SPONSORING POLITICAL SUBDIVISION OF THE SOUTHEAST TEXAS HOUSING FINANCE CORPORATION, WHEREAS, the City of Pearland ("City"), located in Brazoria County, which is a sponsoring political subdivision of The Southeast Texas Housing Finance Corporation, a public non-profit corporation duly organized under the laws of the State of Texas ("Corporation"), and operating pursuant to the Texas Housing Finance Corporations Act, Chapter 394, Local Government Code, as amended (the "Act"); and WHEREAS, one of the powers of the Corporation is to issue qualified mortgage revenue bonds; and WHEREAS, pursuant to the Act, a municipality with a population over 20,000 inhabitants located within a county which is a sponsoring political subdivision of a housing finance corporation is excluded from the county for purposes of assessing eligibility for bond issuance by the county as a sponsoring political subdivision of a housing finance corporation unless the governing body of the municipality adopts a resolution approving the application of the Chapter 394 to its property; and WHEREAS, in order to participate under the Corporation's single family mortgage convertible note programs, the City is required to approve the application of Chapter 394 to its property by assigning its authority to issue mortgage revenue bonds to Brazoria County; now, therefore BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS: RESOLUTION NO. R2004-1 Section 1. That the recitals hereinabove are found to be true and correct to the best knowledge of the members of the City Council. Section 2. That the City hereby approves the application of Chapter 394, Government Code, to its property and assigns its authority to issue qualified convertible notes to B razoria County as a sponsoring political subdivision of the The Southeast Texas Housing Finance Corporation. Section 3. That the mayor and City Secretary are hereby authorized to execute and attest this Resolution as the act and deed of the City. Section 4. That this Resolution shall become effective immediately upon execution and the assignment herein granted shall expire December 31,2004 PASSED, APPROVED and ADOPTED this the 12th day of January , A.D., 2004. ATTEST: APPROVED AS TO FORM: DARRIN M. COKER CITY ATTORNEY MAYOR 2 SETH. SOUTHEAST TEXAS HOUSING FINANCE CORPORATION December 19, 2003 Mayor Tom Reid City of Pearland 3519 Liberty Dr. Pearland, TX 77581 Dear Mayor Reid: 4. Please find enclosed the Assignment of Authority Resolution for the proposed Southeast Texas Housing Finance Corporation's Single Family Mortgage Revenue Refunding Notes, Series 2004A. This proposed bond issuance is a renewal of the same program that your County or City approved in 1997, 1999, 2000, and for a three-year period on March 1, 2001. We are again requesting the approval to continue this program for a three-year period from March 1, 2004—March 1, 2007. This program has been very beneficial in making below market interest rate mortgages and down payment assistance for the first-time homebuyers throughout our jurisdictions. The Refunding Note Program or Convertible Note Program allows Southeast Texas Housing Finance Corporation to recycle the principal payments and prepayments from prior eligible bond issues thereby allowing us to refund the bonds that might otherwise be redeemed. Because Housing Finance Corporations in the State of Texas are very limited to the amount of the State's Private Activity Bond Allocation that we receive, the Refunding Note Program gives us more funds to assist first-time homebuyers within our jurisdictions. Over the past six years,we have been able to offer more than$35,000,000 in mortgages and down payment assistance to over 450 families through the Refunding Note Program. We respectively request that you return four executed originals to our offices no later than January 30, 2004. A self-addressed stamped envelope has been included for your convenience. Please contact me directly if you or your staff has any questions. • 12621 Featherwood Drive,.Suite 280 • Houston,Texas 77034 phone,(281)484-HOME(4663) • fax(281)484-1971 • www.sethfc.com Again, I would like to thank you for all of the support you have provided in making the American Dream of affordable homeownership a reality for many residents in the local jurisdictions which comprise the Southeast Texas Housing Finance Corporation. Sincerely, O Ron Williams Executive Director SETS