Res 028-96 3/5/1996RESOLUTION NO. a B-q K0
A RESOLUTION TO APPROVE THE APPLICATION OF THE TEXAS
HOUSING FINANCE CORPORATIONS ACT WITHIN THE CITY AND TO
ASSIGN AUTHORITY TO THE NORTEX HOUSING FINANCE
CORPORATION TO ISSUE SINGLE FAMILY MORTGAGE REVENUE
BONDS; FINDING AND DETERMINING THAT THE MEETING AT WHICH
THIS RESOLUTION WAS PASSED WAS OPEN TO THE PUBLIC AS
REQUIRED BY LAW.
WHEREAS, pursuant to the Texas Housing Finance Corporations Act, Chapter 394, Texas Local
Government Code (the "Act"), the creation of the Nortex Housing Finance Corporation (the
Corporation") was approved by resolution of the governing bodies of each of the Texas counties of
Archer, Baylor, Clay, Cottle, Foard, Hardeman, Jack, Montague, Wichita, Wilbarger, and Young (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 (GNMA and FNMA Mortgage-Backed Securities Program) Series 1996 (the "Bonds") pursuant to
the Act to defray, in whole or in part, the costs of purchasing or funding the making of home mortgages,
provided that the aggregate principal amount of such bonds in any calendar year shall not exceed the total
of(a) the costs of issuance of such bonds, any reserves or capitalized interest required by the resolution or
resolutions authorizing the bonds, plus any bond discounts, and (b) the largest of(i) $20,000,000, (ii) a
figure determined by multiplying $150 times the population of the Local Governmental Units as
determined by the Corporation's rules and regulations, resolutions relating to the issuance of bonds, or
financing documents relating to such issuance, or (iii) an amount equal to 25% of the total dollar amount
of the market demand for home mortgages during such calendar year as determined by the Corporation's
rules or regulations, resolutions relating to the issuance of bonds, or financing documents relating to such
issuance; 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 Wichita Falls (the "City") without the approval of its
governing body; 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 home buyers who qualify for such loans; and
WHEREAS, the Corporation has requested the approval of the 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 that area of the City that is located within Wichita County, Texas;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF WICHITA
FALLS, TEXAS, THAT:
SECTION 1. The recitals made above in this Resolution are hereby adopted in their entirety and
incorporated herein as though set forth in full herein.
SECTION 2. 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 and hereby assigns to the Corporation its authority to issue
single family mortgage revenue bonds in 1996.
SECTION 3. That it is officially found and determined that no provision of this Resolution shall
make the City of Wichita Falls, Texas, this Council, or any officer, agent, employee, or official of the
City of Wichita Falls, 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.
SECTION 4. To indicate the City's desire to participate in this program, a copy of this Resolution
will be forwarded to the Nortex Housing Finance Corporation.
SECTION 5. It is hereby officially found and determined that the meeting at which this Resolution
was passed was open to the public as required by law.
PASSED AND APPROVED this the 5th day of March, 1996.
OR
ATTEST:
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