Subject: 19630/GS authorization for mayor
Date: Thu, 10 Sep 1992 09:23:00 -0500


                                RESOLUTION NO. 19630
                  
                  
                  
                   RESOLUTION AUTHORIZING THE MAYOR OR
                   ADMINISTRATOR OF THE DEPARTMENT OF GENERAL
                   SERVICES TO EXECUTE A MEMORANDUM OF
                   UNDERSTANDING BETWEEN NEIGHBORHOOD HOUSING
                   SERVICES OF AMERICA, INC. AND THE CITY OF
                   CHATTANOOGA, TENNESSEE, RELATIVE TO A LOAN
                   SALE AND SERVICING AGREEMENT BETWEEN
                   NEIGHBORHOOD HOUSING SERVICES OF AMERICA, INC.
                   AND CHATTANOOGA NEIGHBORHOOD ENTERPRISE.
                  
                  
                  
                              ________________________
                  
                  
                  
                  
              WHEREAS, Chattanooga Neighborhood Enterprise ("CNE")
         currently operates a program whereby certain Community 
Development
         Block Grant ("CDBG") funds received by the City from the United 

         States Department of Housing and Urban Development are loaned 
to
         provide improved housing conditions to low and moderate income
         families; and
              WHEREAS, said loans are secured by mortgages on the real
         estate improved using said CDBG funds; and
              WHEREAS, Neighborhood Housing Services of America, Inc.
         ("NHSA") and CNE are contemplating the sale of certain 
mortgages
         from CNE to NHSA; and
              WHEREAS, NHSA has requested a Memorandum Of Understanding
         between the City and NHSA relative to certain contingent
         liabilities against CDBG funds held by the City;
                                  NOW, THEREFORE,
              BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
         CHATTANOOGA, TENNESSEE, that the Mayor or Administrator of the
         Department of General Services be and are hereby authorized to
         execute a Memorandum of Understanding between Neighborhood 
Housing
         Services of America, Inc. and the City of Chattanooga relative 
to
         the sale of certain mortgages by Chattanooga Neighborhood
         Enterprise to Neighborhood Housing Services of America, Inc.
        
        
         ADOPTED:  October 20, 1992
         WSPjr/bs