PROJ00111 - Laserfiche WebLink

Home Browse Search

Castle Pines North Metro District November 21, 1995 Page 4 The bankruptcy plan provides that the 1994 bonds will be paid from three specified sources or "Pledged Revenues": (a) a guaranteed mill levy with caps, or maximum amounts, in various years to be certified by the District during the term of the 1994 bonds, (b) tap fees, including "failure to build fees", to be paid by builders and developers in the District, and (c) availability of service or facilities charges, The schedule of mill levies in the bankruptcy plan is given in Table 1. The bankruptcy plan agreed to by the bondholders and approved by the bankruptcy court indicates that so long as the District certified at least the minimum mill levies in Table I, the District would never be required to levy more than the maximum mill levies, (The bankruptcy agreement does, however, include a provision that adjusts the mill levy upward or downward in direct proportion to the adjustment factor that the state imposes.) A failure to pay interest and/or principal when due is not a default under the indenture for the 1994 bonds . TABLE 1. MILL LEVY SCHEDULE Years Floor Mill Levy Mill Levy Caps 1994-2002 40 41,2 2003-2007 45 51,5 2008-2012 50 66.95 2013-2022 60 97.85 2023-2033 65 97.85 The bankruptcy plan sets "Target Revenues" for each year of the next 40 years, The total "Target Revenues" in each year are the sum of the three sources of revenues listed above under "Pledged Revenues". The actual mill levies assessed in any year are a function of the amounts collected from the other two sources and the level of development in the District but cannot exceed the ceiling mill levies in Table 1 except as noted in the preceding paragraph. Tap fees are guaranteed by agreements with the developers in the District. Attachment B is a memorandum to the District from their attorneys listing the amounts pledged by developer and by year for tap fees through the year 2004. Tap fees have two components: "TAP-A" to