HomeMy WebLinkAboutIR 7005 INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 7005
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iORtk To the Mayor and Members of the City Council February 26, 1985
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*raxA�. Subject: Single-Family Housing Bonds
On January 31, 1985, Governor Mark White signed Executive Order NW-25A
establishing interim procedures for the allocation of the State ceiling
on single-family housing bonds. These procedures established an
allocation priority based on the date of each potential issuers Bond
Purchase Agreement.
The Fort Worth Housing Finance Corporation was fifteenth in priority
rank based on a Bond Purchase Agreement date of July 3, 1984. The
amount allocated to Fort Worth lousing Finance Corporation is
$38,500,000.
The Governor's Order directs the Texas Department of Community Affairs
(TDCA) to issue a reservation certificate reflecting the allocation to
each affected entity. The issuance of this certificate triggers a
forty-five day period during which the issuer must both market and issue
the bonds or lose their allocation. Information from TDCA indicates
that Fort Worth lousing Corporation's certificate will be issued within
the current week.
This time constraint and the fact that any such housing bonds sold will
be in a negative arbitrage situation adversely impacts the potential for
developing an acceptable housing bond program.
The Housing Finance Corporation financial advisor, First Southwest
Company, is presently analyzing possible programs for recommendations to
the Fort Worth Housing Finance Corporation and City staff is being
advised daily of the progress.
Should additional information be desired, it will be furnished upon
request.
Vernell Sturns
Acting City Manager
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�- ISSUED BY THE CITY MANAGER -- FORT WORTH, TEXAS —