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CC Resolution No. 13852630 RESOLUTION NO. 1385 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS, APPROVING THE SINGLE FAMILY MORTGAGE REVENUE NOTE PROGRAM OF THE SOUTHEAST TEXAS HOUSING FINANCE CORPORATION; DIRECTING THE MAYOR, SUBJECT TO THERE BEING NO OPPOSITION LODGED AGAINST THE PROGRAM AT THE IMPENDING PUBLIC HEARING OF THE CORPORATION, TO EXECUTE THE APPROPRIATE CERTIFICATES EVIDENCING THE APPROVAL OF THE SAME; AND PROVIDING FOR THE EFFECTIVE DATE THEREOF. WHEREAS, the Southeast Texas Housing Finance Corporation (the "Corporation ") has proposed another single family financing which will enable the Corporation to recapture prepayment funds from previously issued single family mortgage revenue bonds, and convert said prepayments into convertible notes (the "Bond Program ") for the use in generating new mortgages; and WHEREAS, the Corporation has proposed offering up to $12,500,000 of tax - exempt qualified mortgage revenue bonds in order to provide funds to finance the origination of certain mortgage loans for the purchase of single family residences by persons and families of low and moderate income; and WHEREAS, the proposed issuance will provide funds to purchase (i) fully modified mortgage- backed securities guaranteed as to the timely payment of monthly principal and interest by the Government National Mortgage Association and backed by pools of qualifying FHA insured, VA guaranteed USDA/RD guaranteed mortgage loans, and (ii) mortgage- backed securities guaranteed as to timely payment of monthly principal and interest by the Federal National Mortgage Association and backed by pools of qualifying conventional mortgage loans; and WHEREAS, the Mortgage Revenue Note Program is expected to advance the Corporation's continued efforts in providing safe, decent, sanitary and affordable housing to residents of its sponsoring political subdivisions, including the City of Baytown; and WHEREAS, to gain approval of the Texas Attorney General's Office for the issuance of the bonds, the Corporation has asked that the City of Baytown confirm certain information regarding the Corporation and execute certain documents evidencing the public's approval of the proposed Bond Program; and WHEREAS, the Corporation will hold a public hearing on March 12, 1999, in compliance with federal law, concerning the Note Program; and WHEREAS, this resolution shall be expressly contingent upon there being no opposition to the Note Program voiced at such public hearing; NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS: 2631 Section 1: That subject to no opposition being lodged to the Bond Program proposed by the Corporation at the public hearing to be held on March 12, 1999, the City Council of the City of Baytown, Texas, hereby evidences its approval of the Corporation's Bond Program described in the recitals hereinabove and authorizes the Mayor to execute the documents entitled "General Certificate of Local Governmental Unit" and "Certificate of Highest Elected Official Evidencing Public Approval pursuant to §147(f) of the Internal Revenue Code of 1986, as amended," which are attached hereto as Exhibits "A" and `B," respectively, and made a part hereof for all intents and purposes. The Mayor is further directed to authorize the Attorney General of the State of Texas, any Assistant Attorney General of the State of Texas or any of their respective delegates or assigns, to complete the date on the general certificate. Section 2: This resolution shall take effect immediately from and after its passage by the City Council of the City of Baytown, Texas. INTRODUCED, READ and PASSED, by the affirmative vote of the City Council of the City of Baytown this the 11th day of March, 1999. PETE C. ALFARO, Mayor APPROVED AS TO FORM: i ACIO RAMIREZ, City Attorney c klhl4TCouncil\Resolut ions\ STHFCSingleFamilyMorigageRevenueNoteProgram .Resolution GENERAL CERTIFICATE OF LOCAL GOVERNMENTAL UNIT I have executed this Certificate for the benefit of all persons interested in the validity of the proceedings of The Southeast Texas Housing Finance Corporation (the "Issuer ") related to the issuance by the Issuer of its Single Family Mortgage Revenue Notes, Series 1999 -1 in an amount not to exceed $12,500,000 (the `Bonds "). Capitalized terms used herein and not otherwise defined shall have the same meanings ascribed to such terms in the Texas Housing Finance Corporations Act, Chapter 394, Texas Local Government Code, as amended (the "Act "). I hereby certify as follows: 1. I am the duly elected and incumbent official of City of Baytown (the "Local Governmental Unit ") holding the office indicated below. 2. The Issuer has been authorized to act on behalf of the Local Governmental Unit by action of the governing body of the Local Governmental Unit. 3. The Restated Articles of Incorporation of the Issuer have been approved by the governing body of the Local Governmental Unit. The minutes of the governing body of the Local Governmental Unit do not reflect any amendment to the Restated Articles of Incorporation of the Issuer. 4. The minutes of the governing body of the Local Governmental Unit do not reflect any action for the purpose of (i) changing the structure, organization, programs or activities of the Issuer, (ii) terminating the Issuer, (iii) withdrawing from the Issuer or (iv) limiting the effectiveness of the resolution of the Issuer's board of directors authorizing the issuance of the Bonds or otherwise affecting the Bond transaction. 5. Except for the Issuer, the Local Governmental Unit has not created or authorized to act on its behalf any housing finance corporation (including any joint housing finance corporation), except a housing finance corporation that has no power to make home mortgages or to make loans to lending institutions, the proceeds of which are to be used to make home mortgages or to make loans on residential developments. 6. The Local Governmental Unit has appointed the individual named below to act as a member of the board of directors of the Issuer for a term ending as indicated below. That individual is a resident of a Local Governmental Unit which is a member of the Issuer. The minutes of the governing body of the Local Governmental Unit do not reflect that such individual has been removed as a member of the Issuer's board of directors. 7. No litigation is pending or, to my knowledge, threatened against the Local Governmental Unit relating to the Issuer, the Bonds, the proceeding regarding the issuance of EXHIBIT A Bonds, the bonds being refunded with the Bonds, the representation on the Issuer's board of directors of the Local Governmental Unit, or the participation of the Local Governmental Unit in the Issuer or the Program. Signature: �G� gyt Printed Name: Pete C. Alfaro OFFICE: Mayor Mayor ProTem City Secretary LOCAL GOVERNMENTAL UNIT: City of Baytown Name of Director on Issuers Board: Daniel Sandoval [DO NOT DATE THIS PAGE] Expiration date of Directors Term: Date of this Certificate: March 12, 1999 Jim Thomassen, Chief Public Finance Division Office of the Attorney General Price Daniel Building 209 West 14th Street, 6th Floor Austin, Texas 78701 RE: The Southeast Texas Housing Finance Corporation Single Family Mortgage Revenue Notes, Series 1999 -1 Dear Mr..Thomassen: By this letter, the Attorney General of the State of Texas, any Assistant Attorney General or any of their respective delegates or assigns, is authorized to complete the date of the "General Certificate of Local Governmental Unit" of the undersigned Local Governmental Unit and to rely upon such information unless notified otherwise. 0 Printed Name: Pete C. Alfaro Title: Mayor LOCAL GOVERNMENTAL UNIT City of Baytown CERTIFICATE OF HIGHEST ELECTED OFFICIAL EVIDENCING PUBLIC APPROVAL PURSUANT TO §147(f) OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED WHEREAS, The Southeast Texas Housing Finance Corporation (the "Corporation ") has, in accordance wit the provisions of the Housing Finance Corporations Act, Chapter 394, Local Government Code, as amended, duly authorized the issuance of The Southeast Texas Housing Finance Corporation Single Family Mortgage Revenue Bonds in one or more series in an aggregate principal amount not to exceed $12,500,000 (collectively, the `Bonds "). The Corporation authorized the issuance of the Bonds to provide funds to purchase (i) fully modified mortgage- backed securities guaranteed as to the timely payment of monthly principal and interest by the Government National Mortgage Association and backed by pools of qualifying FHA insured, VA guaranteed USDA/RD guaranteed mortgage loans, (ii) mortgage- backed securities guaranteed as to timely payment of monthly principal and interest by the Federal National Mortgage Association and backed by pools of qualifying conventional mortgage loans. The mortgage loans will be made by certain mortgage lending institutions to qualified persons or families of low or moderate income to finance the purchase of single family residences in the State of Texas (the "Program "); WHEREAS, on Friday, March 12, 1999, the Corporation held public hearings in connection with the issuance of the Bonds after due notice thereof was published in The Chronicle, a newspaper of general circulation within the jurisdictions of each of the Local Governmental Units which comprise the Corporation and which meets the requirements of §2051.044, Government Code, at which no objections were raised by anyone present at the hearing; WHEREAS, the provisions of Section 147(f) of the Code require that the issuance of certain private activity bonds, such as the Bonds, must be approved by the "applicable elected representative" of the "governmental unit" issuing said bonds or on whose behalf said bonds are being issued; WHEREAS, under Section 147(0(2)(E)(i)(II) of the Code, the applicable elected representative of the governmental unit is, in this case, the Mayor of the City of Baytown (the "City"); and WHEREAS, as the highest elected official of the City, the undersigned desires to approve the issuance of the Bonds in one or more series for the purpose of financing the Program, on behalf of the Corporation, all in accordance with Section 147(f) of the Code. NOW, THEREFORE, I, Pete C. Alfaro , Mayor, do hereby certify that I am the highest elected official of the City and I do hereby approve the issuance of the bonds for the purpose of financing the cost of the Program on behalf of the Corporation, all in accordance with Section 147(f) of the Code. I do hereby authorize the members of the Corporation and its officers to cause this Certificate to be filed of record in the Transcript of Proceedings for the Bonds and to file a copy thereof with any state or federal agency, board or commission as may be required by any applicable state or federal laws, rules or regulations. WITNESS my signature this day of March, 1999 Mayor Pete C. Alfaro City of Baytown, Texas EXHIBIT B