Santa Barbara County Municipal Code Ch. 18B Home Financing Program

The county hereby adopts a home financing program (the "Program") pursuant to chapters 1—5 of part 5 of division 31 (sections 5200 et seq.) of the Health and Safety Code of the State of California (the "Act") for the purpose of increasing the housing supply for low-, moderate- and middle-income families in the county and hereby determines to issue mortgage revenue bonds pursuant to said Act to provide funds for the program based upon the findings of the board of supervisors.

The board of supervisors hereby finds and declares that:

(a) Decent housing is an essential motivating force in helping people to achieve self-fulfillment in a free and democratic society.

(b) A healthy housing market is one in which residents of this state have a choice of housing opportunities and one in which the housing consumer may effectively choose within the free market place.

(c) There exists within the county a shortage of housing available to low-, moderate- and middle-income persons and that this shortage is exacerbated during periods of rising interest rates, particularly as high interest rates have the effect of diminishing the number of otherwise creditworthy buyers from qualifying for private sector mortgage capital sources.

(d) In order to remedy this adverse effect on potential home-buyers on the lower end of the purchasing spectrum, it is necessary to implement a public program or reduce the cost of mortgage financing for single-family purchases for those persons unable to compete for mortgage financing in the conventional mortgage market.

(e) It is necessary, in order to implement a public program to reduce the cost of mortgage financing to authorize mortgage revenue bonds to finance long-term, low-interest mortgages to persons not presently eligible for financing through private sector lending institutions.

The county shall operate the program within the unincorporated area of the county and within the geographical boundaries of any city in the county which agrees to participate in the program.

The program shall comply with the land use element and the housing element of the comprehensive plan of the county and of any city participating in the program.

Rules and regulations are hereby authorized to be adopted by resolution of the board of supervisors and shall be promulgated in the form and the manner best suited to attain the objectives of the home financing program.

The provisions of this Ordinance, being necessary for the welfare of the county and its inhabitants shall be liberally construed to effect the purpose of the program.

(Ord. No. 3326, § 1)