2021 Refinancing Update
Background:
In October 2021, per direction of the Board, the Eagle Bend Metropolitan District refinanced their 2012 General Obligation Loan through a 2021 Amendment. As of December 2021, the General Obligation Loan had an outstanding balance of $12,235,000 and remaining commitment term of 12.5 years. The 2021 Amendment addressed changes to the interest rate, prepayment terms, amortization, purchaser and issuer names, and provided for a new promissory note.
2021 Amendment Updates:
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Issuer: Eagle Bend Metropolitan District
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Purchaser: PNC Mortgage Corporation fka BBVA Mortgage Corporation
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Interest Rate: Decreased from 3.39% to 2.20% fixed through maturity.
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Amortization of Note: Modified the principal payment schedule allowing for level debt service.
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Prepayment Terms: The District shall have the option to prepay the 2021 Amended Note, subject to the Prepayment Fee as defined in the 2012 Loan Resolution, through April 27, 2032, after which the District will have the option to prepay without penalty.
Savings:
The lower interest rate will result in a total interest savings of $764,609 or 32.2%. The Net Present Value of the saving is equal to $682,875.
Partnership with the City of Aurora: New Sustainable Water Source
In September 2018, the District partnered with the City of Aurora ("City") to construct a raw water pipeline that supplies raw surface water from the City's reservoirs in the mountains to Eagle Bend Metropolitan District. This pipeline provides a new primary sustainable water source for the District. While the City will own, operate and maintain the pipeline, the District retains all existing water rights and supplies. Additionally, the water rights are in perpetuity as Heritage Eagle Bend continues to operate the golf course.
Additional information on the new sustainable water source can be found here.
Reduced Mill Levy
Through smart fiscal practices, the Board of Directors has been committed to reducing the Mill Levy. Please see the table below to see how the Mill Levy has been reduced since 2015.
Fiscal Year | Mill Levy |
|---|---|
2024 | 22.800 |
2023 | 27.000 |
2022 | 29.000 |
2021 | 31.000 |
2020 | 33.000 |
2019 | 35.000 |
2018 | 36.950 |
2017 | 36.947 |
2016 | 39.500 |
2015 | 49.000 |