BOARD01903

• Board Meeting Date: 11/23/1998
• Description: CF Section - Financial Matters - Lending Rate Recommendations for 1999
• Board Meetings - Doc Type: Memo

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The Standard, Municipal Low Income, and Agricultural lending rates were set
using essentially the same relative differences as in previous years, i,e,; Standard
is 10 percent less than High Income while Low Income and Agricultural are 20
percent less than Standard, Small discrepancies result from rounding,

The lending rate for the CommerciallIndustrial category was set at about 120
percent of the Standard Income category,

The procedure outlined above results in the rate structure shown in Table 1,

Table 1. Recommended 30-Year Lending Rates for 1999

Municipal
AgricUltUral "'.' - .
CommerciallIndustrial

3,75% 4,75%
n-3~75%-
5,75%

Table 2 summarizes the annual lending rate structures adopted by the Board since 1995,

Table 2. 30-Year Lending Rates, 1995 -1998

Municipal High
'M~~i~lp.al'Midd!e _
Municipal Low
Agriculfui-af
COmlnerciallIndustrial

5,50%
5:00%-
.4.00%
4.00%
. 5.50%

5,75%
5.25%
4,25%
4.25%-
5,75%

5,25% 5,75%
4.75%"'5:00%--
_ .,"_ ",_" M
3,75% 4,00%
3.15%' .4;00%'
-5.25% 6~25%

The municipal lending categories are defined as follows:

Municipal low-income areas are those communities where median household
income (MHI) is less than 80 percent of the statewide MHI,

Municipal high-income areas are those communities in which MHI is greater than
110 percent of the statewide MHI,

Water and Power Authority Bond Issues

A summary of bond issues of the Colorado Water Resources and Power Development
Authority during the last twelve months is shown in Table 3 for purposes of comparison,
The table includes bond issues for both the water supply and wastewater programs of the
Authority,

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