Title
A Public Hearing on the Budget for the Colorado Springs Marketplace at Austin Bluffs General Improvement District, Colorado Springs, Colorado, for the Calendar Year Beginning on the First Day of January 2020 and Ending on the Last Day of December 2020
Presenter:
Charae McDaniel, Chief Financial Officer
Body
Summary:
Council sits as the Board of Directors of the Colorado Springs Marketplace at Austin Bluffs General Improvement District (GID). In accordance with State statute, it is necessary for the Board to conduct a public hearing and, at its conclusion, to pass resolutions to set and certify the 2019 mill levy, adopt the proposed 2020 budget, and appropriate funding for the 2020 budget year. Each resolution will be presented separately for a motion by Council as the Board. A copy of the proposed 2020 budget was provided to the Board of Directors on October 8, 2019. A boundary map of this GID is attached for reference.
The attached budget proposes a total appropriation of $231,500 for required debt service payments and related expenditures. Sources of funds for the District are property taxes of $257,781 specific ownership taxes of $30,439, interest income of $5,000, and an estimated beginning fund balance of $183,250. Property tax revenue is based upon a mill levy of 50.000 mills and preliminary assessed valuation of $5,260,840. The 2019 levy of 50.000 mills for taxes payable in 2020 is unchanged from the 2019 budget. This is a commercial district with no residential properties.
Previous Council Action:
Council created this GID in 2006 (Ordinance No. 06-138), and, as its Board, approved issuance of $2,790,000 in bonds in 2008 (Ordinance No. 08-175). The Board annually sets and certifies the mill levy, and then adopts the budget and appropriates the funding for the District.
Background:
City Council sits as the Board of Directors for each of the General Improvement Districts and is required to conduct a public hearing, set and certify the mill levy, adopt an annual budget, and appropriate the funding for the district. The date of the public hearing was established by the Board on October 8, 2019, and legal notice was published on November 16, 2019.
The remaining principal balance of the bonds as of December 31, 2020 is projected to be $1,905,000. The additional principal payment made in 2018 of $100,000 will result in a reduction of interest paid over the remaining term of approximately $97,500. The bonds for this District are scheduled to be paid off in December 2033.
This GID was created for the purpose of financing certain public improvements associated with the reconstruction of the Marketplace at Austin Bluffs shopping center. The King Soopers property in that center has subsequently been excluded from the GID boundaries because it paid off its outstanding obligations.
Financial Implications:
Since the Colorado Springs Marketplace at Austin Bluffs GID is a separate entity, and its indebtedness is not an obligation of the City, there are no direct financial implications for the City of Colorado Springs
Board/Commission Recommendation:
N/A
Stakeholder Process:
N/A
Alternatives:
N/A
Recommended Action
Proposed Motion:
N/A
Summary of Ordinance Language
N/A