Sunday, December 5, 2010

Glitch in Language of OHCS SF Bond Official Statement ?

At State Housing Council meeting on Friday OHCS staff indicated that the size of the upcoming SF bond sale was being reduced from $50 million to $33 million in response to slower than expected interest from lenders. Staff noted that unused bond proceeds would end up costing OHCS money, and the prudent thing to do was to start with a lesser amount and increase it later if demand picked up.

After I returned I found the preliminary official statement HERE and may have caught a problem that will need to be corrected before the final statement is published. 

The problem is a statement on PDF page 19 that says that  "OAHAC has contracted with the Department to administer all such programs funded in Oregon under the HHF fund."

The problem is that earlier last week I confirmed again with OHCS staff that there was NOT yet an executed contract  between OHCS and OAHAC for the Hardest Hit programs.  

It therefore appears to me that (1) this language will need to be changed in the final official statement, OR (2) the contract between OAHAC and OHCS will need to be executed in advance of the bond sale. 

Originally created and posted on the Oregon Housing Blog.

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