Title
A resolution approving the issuance of debt by Allison Valley Metropolitan District No. 1 in the form of Series 2017 Limited Tax General Obligation Loans.
(Legislative)
Presenter:
Carl Schueler, Comprehensive Planning Manager, Planning and Community Development
Body
Summary:
This is a request to approve issuance of formal debt in an aggregate amount of up to $16,500,000 by the Allison Valley Metropolitan District No. 1 ("District") in the form of a 2017A Limited Tax General Obligation Loan in an amount not to exceed $10,000,000 and subordinate 2017B Limited Tax General Obligation Loan in an amount not to exceed $6,500,000 ("the Loans"), to be repaid from property tax, and other allowable District revenues. The City's Special District Policy and the District's service plan require City Council's approval be obtained prior to issuing any debt.
Authorization of this debt issuance will require a 2/3rds majority of the entire City Council (at least six affirmative votes) pursuant to City Charter section 7-100.
Previous Council Action:
On August 2, 2006, City Council approved an initial service plan for the Allison Valley Metropolitan Districts No. 1 and No. 2 (the "Districts") by Resolution No. 129-06. City Council subsequently approved an Amended and Consolidated Plan (the "Service Plan") for the Districts by Resolution No. 87-15 adopted on September 8, 2015. On the same date, by Resolution 88-15, City Council approved the issuance of up to $13,500,000 in initial debt for District No. 2 in the form of a commercial bank loan. This item was introduced in a January 23, 2017 Work Session.
Background:
This would be the first debt formally issued by Allison Valley Metropolitan District No. 1.
Metropolitan districts are created under Colorado Statute and City Policy to finance and/or maintain certain public improvements, primarily utilizing a property tax mill levy as the revenue source. These Districts are separate legal entities from th...
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