Title
Ordinance authorizing the execution and delivery of an Intergovernmental Cooperation Agreement and certain documents in connection therewith to develop a Mortgage Credit Certificate (MCC) program for Lake County, pursuant to the Constitution and the laws of the State of Illinois, and particularly 50 Illinois Compiled Statutes 2010, 465/1 et seq.
Staff Summary
· Since 2001, Lake County has participated in the Assist First-Time Home Buyer Down Payment Assistance Program (“Assist”), which provides homebuyers with an at or below market-rate, 30-year, fixed rate mortgage loan and a 3.00% cash grant to help offset down payment and closing costs.
· Assist has been active in Illinois since 1998 using the sale proceeds of tax-exempt private activity housing bonds to fund first mortgages and cash grants to first-time home buyers within certain income and purchase price.
· Assist was revamped in 2010 by creating a taxable funding mechanism for the first mortgage and cash assistance and to include a Mortgage Credit Certificate (MCC) feature to the program.
· MCC’s provide income-eligible first-time homebuyers with an annual federal income tax credit (up to $2,000) for the life of the loan.
· Participating home rule communities contribute some or all of their volume cap towards the issuance of MCC’s; Non-home rule participants, like Lake County, may request an allocation of volume cap for the program from the State.
· Making a request to the State does not prevent Lake County from making additional requests for volume cap for other projects.
· In order to participate, the Lake County Board must adopt an ordinance which authorizes Lake County to enter into an intergovernmental agreement (with more than 70 other municipalities) for the purpose of sponsoring the Assist MCC program throughout the County.
Body
Ordinance authorizing the execution and delivery of an intergovernmental cooperation agreement and certain documents in connection therewith; and related matte...
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