Title
A resolution of the City Council of the City of Colorado Springs, Colorado approving the issuance of debt by the North Meadow Metropolitan District No. 5 in the form of either Limited Tax General Obligation Cash Flow Bonds or a combination of Senior Limited Tax General Obligation Capital Appreciation and Subordinate General Obligation Bonds in an aggregate amount not to exceed $110,000,000 in an area located along East Woodmen Road.
Presenter:
Carl Schueler, Comprehensive Planning Manager, Planning & Community Development
Peter Wysocki, Director of Planning & Community Development
Body
Summary:
This is a request to approve issuance of formal debt in an aggregate amount not to exceed $110,000,000 by North Meadow Metropolitan District No. 5, but also with a pledge of revenues from North Meadow Metropolitan District Nos. 3 and 4. Two different bond structures are being proposed. One option would be a single cash flow bond and the other would be a combination of senior bond and a subordinate bond. The district board would select the option prior to closing based on which generated the greatest yield for their project fund. With either structure, the bonds would be repaid from a combination of property tax and associated revenues. The City's Special District Policy and the District's service plan require that City Council's approval be obtained prior to issuing any debt.
The net revenues from these issuances will be used to reimburse anticipated public improvements costs for this project area. The draft Council resolution includes limits related to the total principal amount, discharge date and call dates. Anticipated interest rates vary depending on the structure and would be determined immediately prior to closing.
Approval of this debt issuance will require a 2/3rds majority of the entire City Council (at least six affirmative votes) pursuant to City Charter Article 7-100.
This agenda item was discussed at a February 22, 2022, City Cou...
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