Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Housing Finance topic
No spam. Unsubscribe anytime.
Orland Park adopts ordinance reallocating private activity bond volume cap to first-time homebuyer program
Summary
Trustees adopted an ordinance to transfer the village's annual private-activity bond volume cap to a first-time homebuyer program administered through the Town of Normal; board members said the reallocation has no cost to the village and benefits homes in Orland Park.
The Village of Orland Park Board adopted an ordinance on March 16 to transfer and reallocate the village’s annual private-activity bond volume cap, allowing that allocation to be used for a first-time homebuyer program administered through the Town of Normal.
A presenter explained the Internal Revenue Code allows municipalities to reserve an annual volume-cap allocation for private activity bonds and to direct that allocation to qualifying programs. The village’s participation enables potential lower-interest financing for qualifying projects or buyers; trustees emphasized the reallocation does not impose a direct cost on the village and that the Town of Normal’s program makes the benefit available for homes located in Orland Park.
During discussion trustees confirmed the program is available to buyers of homes in participating jurisdictions (including Orland Park) and that if the village did not reserve its allocation at year end it would lapse. The board voted by roll call to adopt the ordinance.
The ordinance was presented with brief explanation and passed unanimously. The village attorney or manager will carry out any required ministerial steps to transmit the allocation per state and federal rules.
