HomeMy WebLinkAbout17 Power Point Glenshire Surcharge Status
Workshop Item # 17 June 1, 2011 Glenshire Surcharge Update
Glenshire Surcharge Update 2 End date November 2017− $10.75 per month− To pay off loans a surcharge was accessed•Internal loan $246,000–External loan $1,740,000− 2 loans•Cash & land
sales proceeds used to offset costs •All GMWC assets transferred to the District•GMWC customers agreed to pay for improvements•Capital Improvements were required•District acquired Glenshire
Mutual Water Co. (GMWC) 2002•Background / History
Glenshire Surcharge Update 3 Escrow to close June 3, 2011•District entered into contract with Brad Peik in May•listed for sale April 1, 2011-Parcel re•December 2009 through March 2011−
Truckee Fire Protection District leased the parcel•Remaining parcel listed for sale in 2007•Accumulated surcharge of $33,000− Sale of south side parcel− February 2009 Internal loan
extinguished•New Information
Glenshire Surcharge Update 4 Majority want to lower the monthly payment•Feedback from the area residents− Adjust end date November 2017 to March 2014− Reduced monthly surcharge from
$10.75 to $4.83− General options regarding the surcharge•The letter asked for an opinion on two options •Letter sent to all customers paying surcharge in May•New Information
New Information 3/31/201435 Projected remaining months at $10.75 surchargeOR$4.85 reduced surcharge through 11/30/2017Projected $563,000 Balance of Obligation(243,000)balanceaccount
Glenshire surcharge (25,000)Fire Protection District Rent45,000 Repairs20,000 Estimated sales commission(360,000)Parcel sales proceeds$1,126,000 Outstanding Loan Amount Glenshire Surcharge
Update 5
Fiscal Impact Glenshire Surcharge Update 6 Either option is revenue neutral to the District•workshop itemThere is no direct fiscal impact associated with this •
Recommendation Glenshire Surcharge Update 7 Receive this report and provide comment•