Resolution 144-2012 RESOLUTION NO. 144 -2012
A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF
MONROE COUNTY,FLORIDA AUTHORIZING THE MONROE COUNTY
STATE HOUSING INITIATIVES PARTNERSHIP(SHIP)PROGRAM
ADMINISTRATOR TO EXECUTE SHIP MORTGAGE SUBORDINATION
DOCUMENTS UNDER CERTAIN CONDITIONS FOR THE PURPOSE OF
ALLOWING PROGRAM PARTICIPANTS TO REFINANCE EXISTING
FIRST MORTGAGES; AND PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS,the Monroe County Board of County Commissioners by Resolution
078-2002, dated February 13, 2002 authorized the Monroe County SHIP
Administrator to execute mortgage subordination documents for existing Monroe
County SHIP loans when the following conditions were present:
(a) The proposed primary mortgage loan has a rate or other terms that is an
improvement in the rate or terms of the existing primary mortgage loan.
(b) The amount of the proposed primary mortgage loan does not exceed the sum
of the existing mortgage loan payoff and the closing costs as documented on a
proposed HUD-1'Settlement Statement.
(c) The sum of the proposed primary mortgage and the existing SHIP mortgage
loan does not exceed 105% of the value of the property as reflected on a
property appraisal; and
WHEREAS,the Federal Home Finance Agency's Home Affordable Refinance
Program(HARP) commenced in April, 2009; and
WHEREAS,the HARP Program's purpose was to permit first mortgage loans
backed by Fannie Mae or Freddie Mack who were "under water" to be refinanced at a
lower interest rate without Private Mortgage Insurance(PMI); and
WHEREAS,the initial HARP Program required the applicants to be "responsible
borrowers" and did not allow refinancing for borrowers who owed more than 125%
of what their homes were worth; and
WHEREAS, effective March,2012, the Federal Home Finance Agency approved
the HARP 2.0 Program which removes the 125% cap for clients who are considered
"responsible borrowers"; and '
WHEREAS, the HARP 2.0 Program and its underwriting criteria will enhance
the SHIP Program's second mortgages portfolio by providing interest rate relief to
responsible borrowers.
,,:r,:
NOW,THEREFORE,BE IT RESOLVED,by the Board of County
Commissioners of Monroe County Florida, that the County hereby authorizes:.
1. The SHIP Program Administrator to execute mortgage subordination documents
for existing Monroe County SHIP Loans that are being refinanced utilizing the
Federal Home.Loan Agency's HARP 2.0 Program.
PASSED AND ADOPTED by the board of County Commissioners of Monroe
County,Florida at a regular meeting of said Board on the 16t'day of May, 2012.
Mayor David Rice Yes
Mayor Pro Tern Kim Wigington YeS2
Commissioner Heather Carruthers Yes
Commissioner George Nugent Yes
Commissioner Sylvia Murphy Yes
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1 j ATTEST:ipANNY'L:5 KOLHAGE,Clerk BOARD OF COUNTY COMMISSIONERS OF
=`‘,. ?, 1 ,. `ri g I MONROE COUNTY,FLORIDA
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_ C. v0_ cz4lf4/ BY: '
Deputy Clerk Mayor Davi 'ce
Approved as to legal sufficiency:
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