Title
A resolution approving the issuance of debt in the form of Limited Tax General Obligation Bonds not to exceed $2,300,000 for the Upper Cottonwood Creek Metropolitan District No. 2
Presenter
Carl Schueler, Comprehensive Planning Manager, Planning and Community Development
Body
Summary:
The attached resolution will approve the issuance by the Upper Cottonwood Creek Metropolitan District No. 2 ("the District") of Limited Tax General Obligation Bonds, Series 2019 in an amount not to exceed $2,300,000 and the related bond documents. These bonds will be privately placed with the developer with an interest rate of 6.0%.
The City's Special District Policy requires that City Council approval be obtained prior to issuing of any formal debt for metropolitan districts. This bond issue is contemplated by the District's Council-approved service plan. Copies of the bond documents and associated supporting materials are attached.
This item was introduced at a Council Work Session on October 7, 2019. There were no outstanding questions or requests for follow-up information as a result of that meeting.
BACKGROUND:
Metropolitan districts are created under Colorado Statute and City Policy to finance and/or maintain certain public improvements in commercial and residential areas primarily utilizing a property tax mill levy as the revenue source. These districts are a separate legal entity from the City, with independently elected boards.
The public improvements to be financed by this 2019 Bond consist a portion of eligible street, water, sewer, and park and recreation improvements. A high level summary of these costs is provided as an attachment. Essentially, this District No. 2 will be allocated an additional share of the remaining eligible costs for the overall Wolf Ranch project.
Two prior privately placed issuances have taken place in this district, consisting of a $2,250,000 issuance in 2010 and an issuance of $7,800,00...
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