To: Honorable Mayor and Members of Town Council
From: Michael J. Hyman, Town Attorney
Title
Castle Oaks Metropolitan District No. 3 Proposed General Obligation Limited Tax Refunding and Improvement Bonds, Series 2020
Body
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Executive Summary
The District intends to issue General Obligation Limited Tax Refunding and Improvement Bonds in the approximate amount of $35,000,000 for the purpose of refunding the District’s outstanding 2017 bonds and funding additional public improvements. The new money portion of this bond issue ($4,764,030) will result in the District reaching its total debt issuance limitation of $36,000,000, meaning that the District will be unable to issue any additional debt without a Service Plan amendment. The refunding will result in a reduction in the tax rate paid by District taxpayers from 51.211 mills to 48.50 mills, which starting in 2026, is projected to decline even further over the remaining life of the bonds to 37 mills. Further details on the refunding are set out in the attached Certification and Schedule.
Under the Municipal Code, the proposed bond issue is presented for review and comment by the Town Council but no formal approval is required or authorized.
Attachments
Attachment A: Castle Oaks MD No. 3, Transmittal 08/14/2020
Attachment B: 2020 Financing Submission, Castle Oaks MD No. 3, dated 8/13/2020
Attachment C: Town Acknowledgement, 2020 Bonds