For the third year, Metro District will hold its mill levy at
the same rate, and that after a drop in 2006 resulting from
consolidating four of the five boards and their debt into one.
The 2009 Metro District budget includes $19.8 million in the
operating budget.
The budget is based on a couple estimates in new residential and
no residential buildings.
For 2009, district staff estimate that 259 new homes will be
built and 377 new multifamily units will open.
Personnel expenses such as insurance and performance raises are
factored in with an anticipated 10 percent increase in health and
unemployment insurance premiums and a budgetary only factor of 2.5
percent for performance raises as well as a slight change to pay
structures.
Fire protection, provided by contracts with Littleton Fire
Rescue, will increase $268,588 over the budgeted amount for
2008.
One of the ways Metro Dirstrict was able to keep the mill levy
down was a “refinancing” of some debt in November.
Also, the district’s credit rating with Standard & Poor’s is
now AA+, from AA-.
The rating was instrumental in allowing the Metro District to
refund a portion
of its outstanding bonds in November, realizing nearly $1.1
million in net present value savings.
That’s $1.1 million in interest the district will not have to
pay.
“The savings will continue to allow the Metro District board to
proceed toward its stated goal of early retirement all of the
outstanding debt by the target date of 2016,” said Bruce Lebsack,
director of finance & administration.
Lebsack and his staff have been watching municipal markets
closely, passing on a chance for a deal in September, holding out
for a better deal.
That patience paid off.
“By sticking to his goal of achieving at least $1 million in net
present value savings in spite of being faced with uncertain
economic conditions, Bruce and his staff saved the people of
Highlands Ranch $170,000 more than would have been saved if the
refunding had occurred in September when the offering was initially
made. Bruce determined at that time that he did not like the bond
yields and the offering from the market,” said Terry Nolan, Metro
District general manager.
