Title
A resolution approving the issuance of debt in the form of Limited Tax General Obligation Bonds not to exceed $5,095,000 for the Upper Cottonwood Creek Metropolitan District No. 4
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. 4 ("the District") of Limited Tax General Obligation Bonds, Series 2021 in an amount not to exceed $5,095,000 and the related bond documents. These bonds will be privately placed with the developer with an interest rate of 6.0%. This would be the first issuance of debt by this particular district. Future debt is anticipated as this District continues to build out.
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 agenda item was discussed by the City Council Budget Committee on February 9, 2021 and introduced at Council Work Session on February 22, 2021.
Note: A summary of this item is provided with the PowerPoint included with the prior agenda item (debt issuance by District No. 3).
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 2021 Bond consist a portion of eligible completed street, water, sewer, and park and recreation improvements. A high-level summary of these costs is provided as an attachment to the immediately preceding agenda item. Essentially, this D...
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