HomeMy WebLinkAbout1985-131-08/20/1985-PROPOSING A POLICY REPORT UNDER SECTION 103A AND SETTING A DATE FOR PUBLIC COMMENT ON THE PROPOSED R RESOLUTION 85- 131
OF THE COUNCIL OF THE CITY OF FORT COLLINS, COLORADO
PROPOSING A POLICY REPORT UNDER SECTION 103A
AND SETTING A DATE FOR PUBLIC COMMENT ON THE PROPOSED REPORT
IN CONJUNCTION WITH THE ISSUANCE OF SCORE LOAN REVENUE BONDS ,
SERIES 1985A
WHEREAS , on June 18 , 1985 , the City of Fort Collins ,
Colorado ( the "City" ) , adopted Bond Ordinance No. 69 , 1985
authorizing the issuance of SCORE Loan Revenue Bonds , Series
1985A, of the City of Fort Collins , Colorado in a principal
amount not to exceed $3 ,000 , 000 (the "Bonds" ) , for the purpose of
financing certain loans to the citizens of Fort Collins for
installing energy saving improvements to residences ; and
WHEREAS , in order for the interest on the Bonds to be exempt
from taxation , certain requirements as set forth in Section 103A
of the Internal Revenue Code of 1954, as amended ( the "Code" ) ,
must be met ; and
WHEREAS , the Code requires that the City propose and issue a
Policy Report Under Section 103A in a form substantially similar
to that attached to this Resolution and that the City conduct a
public hearing on such report ; and
WHEREAS , in order to comply with the notice requirements set
forth in the Code a Notice of Public Hearing has been published
indicating that a public hearing will be conducted on
September 3 , ,1985, or as soon thereafter as the Council may
direct .
NOW, THEREFORE , BE IT RESOLVED BY THE COUNCIL OF THE CITY OF
FORT COLLINS:
Section 1 . That the Policy Report Under Section 103A as
attached is hereby proposed to be issued by the City of Fort
Collins .
Section 2. That the City Council of the City of Fort
Collins shall conduct a public hearing on such Policy Report at
its regular meeting on September 3 , 1985 , at which time
interested citizens are invited to attend and will have an
opportunity to be heard and to express their views both orally
and in writing concerning the matters contained in the Policy
Report, after which the Council shall consider adopting the
Policy Report .
Section 3. That copies of the Policy Report as proposed
shall be available before the public hearing to interested
citizens at the office of the City Clerk and that copies of the
Policy Report as finally adopted shall be available after the
public hearing to interested citizens at the office of the City
Clerk.
Section 4 . This Resolution shall take effect immediately
upon its introduction and passage.
Passed and adopted at a regular meeting of the City Council
held this 2Cth day of August, A.D. , 1985.
Mayor
ATTEST:
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City Clerk
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CITY OF FORT COLLINS , COLORADO
TAXPAYER IDENTIFICATION NO. 84-6000587
POLICY REPORT UNDER SECTION 103A
1 . INTRODUCTION
The City of Fort Collins , Colorado (the "City" ) is
instituting a program to provide low-interest loans to energy
users in the City for the purpose of financing energy
improvements to residences. This program is entitled the SCORE
Loan Revenue Bond Program. It involves two aspects : First , the
sale of SCORE Loan Revenue Bonds , Series 1985A ( the "Bonds" ) to
individuals who will earn tax-free interest on the Bonds ; and
Second , the making of SCORE Loans ( the "Loans" ) from the proceeds
of the sale of the Bonds at below-market interest rates for
improvements which protect or improve the energy efficiency of
the borrower' s residence . This program is in the best interests
of the citizens of Fort Collins because it enables the City to
enhance its ability to furnish energy to its citizens , reduces
dependence on non-renewable energy resources , and enhances the
local economy through reducing personal expenditures for
energy. Pursuant to section 103A( j ) ( 5) of the Internal Revenue
Code of 1954 , as amended (the "Code" ) , this statement describes
the City 's policies and goals to be followed by the SCORE Loan
Revenue Bond Program.
2. HOUSING POLICIES AND GOALS
i ) All of the proceeds from the sale of the Bonds , less
program and administration expenses , will be used to provide
qualified home improvement loans to the citizens of Fort Collins
for installing energy saving improvements to residences.
ii ) The Bond proceeds will be available to both new and
existing housing on a first-come , first-served basis. The Loans
will not be targeted to any particular class or type of housing ;
however, the Loans will be limited to 1- , 2- , 3- and 4-family
residences one unit of which is occupied by the owner of the
property.
iii ) The absence of a need to target the Loans to
particular classes or types of housing has been concluded by the
Fort Collins Light & Power Utility. As part of its function of
providing electric power to all the citizens of the City, through
continuous interaction with the citizens , and through its
Community Energy Flow Study completed in April of 1982, the Light
& Power Utility has determined that the need for improvement of
energy efficiency is a broad-based community need which is not
dependent on the particular class or type of housing.
iv) As a result of the determination that the need for the
Loans is not limited to any particular class or type of housing ,
no method of targeting will be implemented.
v) The City' s Housing Policies and Goals are consistent
with its Development and Low-Income Housing Assistance Policies
and Goals as described herein by allowing the SCORE Loans to be
available for all types of housing which exist in development
areas and by allowing the SCORE Loans to be available to all low-
income individuals--regardless of the particular class or type of
residence that they own.
3. DEVELOPMENT POLICIES AND GOALS
i ) A portion of the proceeds from the sale of the Bonds
will be targeted to three specific areas within the City of Fort
Collins .
ii ) The proceeds will be targeted to census tracts 2, 6 ,
and 7 within the City. These three areas are to the west and
south of downtown and generally bordered on the north by the
Poudre River, on the west by Shields Street , on the south by
Prospect Street and on the east by Stover Street. These areas do
not include the downtown census tract.
iii ) These areas have been selected for targeting because
they are designated as "qualified census tracts" by the United
States Department of the Treasury or "areas of chronic economic
distress" by the State of Colorado as approved by the United
States Department of Housing and Urban Development.
iv ) The proceeds targeted to each of these areas will be
available to finance the Loans for both new and existing housing
within these target areas.
v) The City will target the loans to these areas by
reserving 20% of the proceeds as received to fund Loans in these
areas for one year from the date at which the Loans first become
available.
vi) The City' s Development Policies and Goals relates to
its Housing and Low-Income Housing Assistance Policies and Goals
both as described herein by continuing the approach of those
policies within the three targeted areas. Within the targeted
areas , the qualification for loans will be the same as in other
areas of the City. The reservation of a certain portion of the
proceeds for the targeted areas will only affect the availability
of loans for these areas and not the ability of particular
individuals to qualify for the Loans.
4. LOW INCOME HOUSING ASSISTANCE POLICIES AND GOALS
i ) All of the proceeds from the sale of the Bonds less
program and administration expenses will be available for Loans
to citizens without respect to their income.
ii ) The City has determined that making the Loans available
on a first-come , first-served basis will best serve the needs of
the citizens and will best serve the needs of low- , moderate-,
and medium-income families .
iii ) The City' s Low-Income Housing Assistance Policies and
Goals are consistent with its Housing and Development Policies
and Goals both as described herein by uniformly serving the
broad-based needs of the community as demand for the Loans
dictates .
5 . COMPLIANCE WITH PRIOR POLICY STATEMENTS
The City has not issued qualified mortgage bonds in the
preceding year and so there is no prior policy statement with
which to comply.
6. COMPLIANCE WITH THE INTENT OF CONGRESS
As mentioned, the City did not issue qualified mortgage
bonds in the preceding year and so a statement with respect to
compliance with Congress ' s intent that local governments use
their authority to issue such bonds to assist lower-income
families to the greatest extent feasible does not apply.
7. PUBLIC HEARING
At its meeting on August 20 , 1985 , the City Council of the
City of Fort Collins proposed the policies and goals contained in
this report and directed that a public hearing be held at its
regular Council Meeting on September 3 , 1985. Notice of this
public hearing with respect to these policies was published in
the Fort Collins Coloradoan, a newspaper of general circulation
within the City of Fort Collins , on August 18 , 1985 . A copy of
such publication is attached. At the public hearing, conducted
on September 3 , 1985 , no comments were received on the proposed
report and so the City Council approved this report as
proposed . As the attached publication indicates , copies of the
report as finally approved were available to the public at the
office of the City Clerk.
CITY OF FORT COLLINS
Attest: By:
Mayor
City Clerk
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