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HomeMy WebLinkAbout2007-12-05 Agenda Packet - Board TRUCKEE DONNER PUBLIC UTILITY DISTRICT FINANCING CORPORATION Joseph R. Aguera J. Ron Hemig Patricia S. Sutton Tim Taylor William Thomason Interim General Manager John L. Ulrich Special Meeting 8:00 PM, Wednesday, December 5, 2007 (or immediately after the regularly scheduled TDPUD Board meeting) TDPUD Board Room AGENDA 1. Call to order 2. Roll call 3. Public input - This is time set aside for the public to address the Board on any matter not on the agenda. Testimony related to any agendized matter should be addressed at the time that item is considered. (The public may comment on any subject that is not on the agenda. Each speaker will be limited to three (3) minutes, but speaker time may be reduced at the discretion of the Board President if there are a large number of speakers on any given subject.) BUSINESS ITEM 4. Election of officers 5. Annual Reports and Financial Statements: December 2006 ROUTINE BUSINESS 6. Approval of the minutes of December 6, 2006. ADJOURNMENT The agenda is available for review at the TDPUD office and the Truckee branch of the Nevada County Library Posted and mailed on November 30, 2007 Barbara Cahill, Deputy District Clerk A copy of the agenda packet is available for public review at the district administrative office:11570 Donner Pass Rd. Public participation is encouraged. The meeting location is accessible to people with disabilities. Every reasonable effort will be made to accommodate participation of the disabled in all of the District's public meetings. If particular accommodations for the disabled are needed(i.e., disability-related aids,or other services),please contract the Clerk of the Board at(530)582-3909,at least 24 hours in advance of the meeting. TDPUD FINANCING CORPORATION Special Meeting December 6, 2006 The special meeting of the Board of Directors of the Truckee Donner Public Utility District Financing Corporation was called to order at 10:05 PM by Vice President Aguera. ROLL CALL: Directors Joe Aguera, Patricia Sutton, Tim Taylor and William Thomason were present. Director Ron Hemig was absent. EMPLOYEES PRESENT: Mary Chapman, Jessica Wilson, Nancy Waters, Joe Horvath, Steve Hollabaugh, Peter Holzmeister and Barbara Cahill CONSULTANTS PRESENT: Steve Gross OTHERS PRESENT: Christine Stanley, Frank and Juanita Schneider, and Patrick Flora PUBLIC INPUT There was no public input. BUSINESS ITEM ELECTION OF OFFICERS Director Thomason moved, and Director Aguera seconded, that the Board approve Tim F. Taylor as the President of the Financing Corporation. Director Hemig, Absent; All other Directors, aye, by voice vote. SO MOVED. Director Thomason moved, and Director Aguera seconded, that the Board approve Patricia Sutton as the Vice President of the Financing Corporation. Director Hemig, Absent; All other Directors, aye, by voice vote. SO MOVED. Director Sutton moved, and Director Taylor seconded, that the Board approve Tim F. Taylor as the Secretary/Treasurer of the Financing Corporation. Director Hemig, Absent; All other Directors, aye, by voice vote. SO MOVED. ANNUAL REPORT AND FINANCIAL STATEMENTS: DECEMBER 2005 Mary Chapman provided copies of the: • Refunding Certificates of Participation Series 1996 report as of December 31, 2005 • Certificates of Participation Series 2003A and 2003E report as of December 31, 2005 • Community Facilities Districts: Old Greenwood and Grays Crossing— Fiscal year 2006/07 • Truckee Donner Public Utility District annual audited financial statements for 2005 Director Sutton moved, and Director Taylor seconded, that the Board accept the annual reports for Refunding Certificates of Participation Series— 1996 Annual Report dated December 31, 2005, the Certificates of Participation Series 2003A and 2003E Annual Report dated December 31, 2005 and the 2005 audited Financial Statements. Director Hemig, absent; All other Directors, aye, by voice vote. SO MOVED. 1 Finance Corp Minutes: Dec. 6, 2006 ROUTINE BUSINESS APPROVAL OF THE MINUTES OF DECEMBER 15, 2004 AND OCTOBER 4, 2006 Director Taylor moved, and Director Aguera seconded, that the Board approve minutes of September 20, 2006. ROLL CALL: All Directors, aye, by voice vote. SO MOVED. ADJOURNMENT There being no further business before the Board, the meeting was adjourned at 10:23 PM. 2 Finance Corp Minutes: Dec. 6, 2006 Agenda Item # 6700 TRUCKEE DONNER Public Utility Dkstrict Memorandum To: Board of Directors From: Mary Chapman, Secretary/Treasurer of TDPUD Financing Corporation Date: December 5, 2007 SUBJECT: Annual Reports WHY THIS ITEM IS BEFORE THE BOARD: Routine Business HISTORY: Each year we hold an annual meeting of the Financing Corporation to conduct their business which includes the election of new officers, review and adoption of minutes, receipt and approval of the annual reports from staff on the certificates of participation and now the community facilities districts. We also provide the financing corporation a copy of the annual audit of the Truckee Donner Public Utility District. District staff follows the continuing disclosure requirements in the COP documents. Muni Financial prepares the annual report for the Community Facility Districts which are much more onerous because the CFDs relate to special taxes on property. NEW INFORMATION: Attached are: • Certificates of Participation (Water System Improvements) Series 2006, Dec. 31, 2006 • Certificates of Participation Series 2003A and 2003B report as of December 31, 2006 • Truckee Donner Public Utility District annual audited financial statements for 2006 • Community Facilities Districts: Old Greenwood and Grays Crossing— Fiscal year 2007/08 Recommendation: I recommend that the board approve the attached annual reports. 4: TRUCKEE DONNER PUD COMMUNITY FACILITIES DISTRICTS FISCAL YEAR 2007/08 ANNUAL REPORT OCTOBER 2007 MMunit-inancial Corporate • Office Locations: � AGENCY Ak r 'Z f x BOND COUNSEL K DISTRICT ADMINISTRATOR f DISTRICT ADMINISTRATOR I roull i x � t TRUSTEE Pik z t AGENCY 4 123, 3�r, +� sJ, BOND COUNSEL DISTRICT ADMINISTRATOR R DISTRICT ADMINISTRATOR ir R rnPIM ca r No 3 r ar ��C2 ` # s a 9r A a -' C=#������'' � ���•r �ttX�! ��` `*-aFa;xe�� k a S p �" e - ."� ,-s'�"ua�t���� �� � '� �. UNKNOWN / MISC s r t r 6 rr Fiscal Year 2007108 Annual Report Truckee Donner PUD Community Facilities District No. 03-1 (Old Greenwood) DISTRICT OVERVIEW FISCAL YEAR 2007/08 LEVY AMOUNTS Applied to County Roll Handbilled/SBE Parcel Dollar Parcel Dollar Total Levy Count Amount Count Amount IE SBE parcels are State-assessed properties or State Board of Equalization parcels. SBE parcels are not applied to the County Roll however;a form provided by the County was used to submit the charge to the State Board of Equalization. ACCOUNT SUMMARY BOND CALL SUMMARY The following table summarizes bond calls performed during FY 2 06/07. The outstanding bond amount as of September 3, 2OO7 is $12,295,000.00. SEEN DELINQUENCY SUMMARY Delinquency Recent Fiscal Year With Delinquencies D. D. For a more comprehensive summary, please see the Delinquency Management tab of this report. MunsFln&x; CFD 03-1 (Old Greenwood) Page 1 of 1 Fiscal Year 2007108 Annual Report k Truckee Donner PUD Community Facilities District No. 04-1 (Gray's Crossing) DISTRICT OVERVIEW FISCAL YEAR 2007/08 LEVY AMOUNTS Applied to County Roll Handbilled/SBE Parcel Dollar Parcel Dollar Total Levy Count Amount Count Amount SBF parcels are State-assessed properties or State Board of Equalization parcels. SBE parcels aze not applied to the County Roll however;a form provided by the County was used to submit the charge to the State Board of F.yualization. ACCOUNT SUMMARY • *Balance after$109,427.26 transferred to restore reserve requirement Mimi • *Balance after$109,427.26 transferred to restore reserve requirement BOND CALL SUMMARY The following table summarizes bond calls performed during Fiscal Year 2006/07. The outstanding bond amount as of September 3,2007 for is $34,465,000.00. Series Outstanding Bond Amountof 1 1 lYlun1Fi alx;W CFD 04-1 (Grays Crossing) Page 1 of 2 Fiscal Year 2007108 Annual Report Date of Call Amount Source of Funds DELINQUENCY SUMMARY Delinquency Recent Fiscal Year With Delinquencies IN`11 For a more comprehensive summary,please see the Delinquency Management tab of this report. M[,niFinarxW CFD 04-1 (Grays Crossing) Page 2 of 2 Fiscal Year 2007108 Annual Report Truckee Donner PUD Community Facilities District No. 03-1 (Old Greenwood) FRAMEWORK SUMMARY The following table shows formation proceeding information and applicable bond issue information for the District: .n SYNTHESIS OF PROCEEDINGS The Mello-Roos Community Facilities Act ("Act") of 1982 came about as a response to the lack of adequate financing for public capital facilities and services in the post-Proposition 13 era. State Legislators Mello and Roos sponsored this Bill,which was enacted into law by the California Legislature and is now Sections 53311 through 53363 of the California Government Code.The Act authorizes a local governmental agency, such as a school district or city, to form a Community Facilities District ("CFD") within a defined set of boundaries for the purposes of providing public facilities and services. A CFD is formed for financing purposes only,and is governed by the agency that formed it. BOUNDARIES The District consists of approximately 616.2 gross acres located south of Interstate 80 in the eastern portion of the Town of Truckee, California. The District has an irregular shape with mostly level topography. Please see the District Diagram tab for the specific boundaries of the district. t lVluniiFifol" cial CFD 03-1 (Old Greenwood) Page 1 of 4 Fiscal Year 2007108 Annual Report (; THE BONDS The Bonds are subject to Mandatory Redemption prior to their stated maturities on any Interest Payment Date from the proceeds of prepayments of Special Taxes, in whole or in part (in integral multiples of $5,000), at a redemption price set forth below, together with accrued interest thereon to the date fixed for redemption. The bonds are subject to Optional Redemption from sources of funds other than prepayments of the Special Tax prior to their stated maturity as a whole, or in part (in integral multiples of$5,000),in order of maturity selected by the District and by lot within a maturity on any Interest Payment date,at the redemption price as set forth below. r The Bonds maturing on September 1, 2022 are subject to mandatory sinking payment redemption in part on September 1, 2021, and on each September 1 thereafter to maturity, by lot, at a redemption price equal to the principal amount thereof to be redeemed, together with accrued interest to the date fixed for redemption, without premium, from sinking fund payments as follows: * Final Maturity The Bonds maturing on September 1, 2028 are subject to mandatory sinking payments redemption in part on September 1, 2023, and on each September 1 thereafter to maturity, by lot, at a redemption price equal to the principal amount thereof to be redeemed, together with accrued interest to the date fixed for redemption, without premium, from sinking fund payments a follows. Redemption Date (September 1) Principal Amount *Final Maturity MuniF naxiM CFD 03-1 (Old Greenwood) Page 2 of 4 Fiscal Year 2007108 Annual Report The Bonds maturing on September 1, 2033 are subject to mandatory sinking payments - redemption in part on September 1, 2029, and on each September 1 thereafter to maturity, by lot, at a redemption price equal to the principal amount thereof to be redeemed, together with accrued interest to the date fixed for redemption, without premium, from sinking fund payments a follows. Redemption Date (September 1) Principal Amount * Final Maturity The amounts in the foregoing table shall be reduced pro rata ny the principal amount of all Term Bonds which are redeemed as a result of any prior partial redemption of Term Bonds. COVENANT FOR .JUDICIAL FORECLOSURE The District has covenanted to commence judicial foreclosure proceedings against all parcels where the aggregate delinquent Special Taxes on such parcels is greater than $7,500 by the October 1 following the close of each Fiscal year in which such Special Taxes were due. b The District will commence judicial foreclosure proceedings against all parcels with delinquent Special Taxes by the October 1 following the close of each Fiscal Year in which it receives Special Taxes in an amount which is less than 95% of the total Special Tax levied for such Fiscal year. The District will diligently pursue such foreclosure proceedings until the delinquent special taxes are paid. The District may elect to defer foreclosure proceedings on any parcel which is owned by a delinquent property owner whose property is not,in the aggregate, delinquent in the payment for a period of three years or more or in an amount in excess of$12,000 so long as the amount in the Reserve Account of the Special Tax Fund is at lest equal to the Reserve Requirement, and the District is not in default in the payment of the principal of or interest on the Bonds. FINANCED FACILITIES The Facilities authorized to be acquired by the District with the proceeds of the Bonds consist of various public improvements including water facilities, electrical facilities, fiber which includes fiber optic cables and conduits,roadways,and storm drain facilities. The facilities include certain real or other tangible property to serve the area located within the CFD, including all furnishings, equipment and appurtenances related thereto Financed facilities include acquisition or construction of the following public improvements: water MuniFinwcW CFD 03-1 (Old Greenwood) Page 3 of 4 Fiscal Year 2007108 Annual Report ' supply and distribution and fire suppression; electrical supply and distribution facilities; public roadways including but not limited to medians, curbs, gutters, sidewalks, traffic signals, street signage, street lighting, pavement striping and any associated landscaping and erosion control; public access parks and trails; storm drains and flood control facilities; telephone and telecommunications facilities; any other public improvements identified in accordance with the Development Agreement between the Truckee Donner Public Utility District and Old Greenwood, LLC pertaining to the Old Greenwood development project. As well as any soft cost associated with the design and construction of the above described improvements including but not limited to engineering, environmental review, inspection, surveying and staking,and environmental mitigation. Y.. MuniFin& CFD 03-1 (Old Greenwood) Page 4 of 4 Fiscal Year 2007108 Annual Report Truckee Donner PUD Community Facilities District No. 04-1 (Gray's Crossing) FRAMEWORK SUMMARY The following table shows formation proceeding information and applicable bond issue information for the District: • Bond Issue Information SYNTHESIS OF PROCEEDINGS The Mello-Roos Community Facilities Act ("Act") of 1982 came about as a response to the lack of adequate financing for public capital facilities and services in the post-Proposition 13 era. State Legislators Mello and Roos sponsored this Bill,which was enacted into law by the California Legislature and is now Sections 53311 through 53363 of the California Government Code. The Act authorizes a local governmental agency, such as a school district or city, to form a Community Facilities District ("CFD") within a defined set of boundaries for the purposes of providing public facilities and services. A CFD is formed for financing purposes only,and is governed by the agency that formed it. MuniFiiwx�W CFD 04-1 (Gray's Crossing) Page 1 of 5 Fiscal Year 2007108 Annual Report ` BOUNDARIES The District consists of approximately 757.2 gross acres located south of Interstate 80 in the eastern portion of the Town of Truckee, California on both the east and west sides of State Highway 89. The District has an irregular shape with mostly level topography with some gently sloping and undulating areas. Please see the District Diagram tab for the specific boundaries of the district. THE BONDS Series 2004 Bond The Bonds are subject to Redemption prior to their stated maturities on any Interest Payment Date from the proceeds of prepayments of Special Taxes, in whole or in part (in integral multiples of $5,000), at a redemption price set forth below, together with accrued interest thereon to the date fixed for redemption. Redemption Dates Redemption Prices The bonds are subject to Optional Redemption from sources of funds other than prepayments of the Special Tax prior to their stated maturity as a whole, or in part (in integral multiples of$5,000),in order of maturity selected by the District and by lot within a maturity on any Interest Payment date,at the redemption price as set forth below. Redemption Dates Redemption Prices The Bonds maturing on September 1, 2029 are subject to mandatory sinking payments redemption in part on September 1, 2023, and on each September 1 thereafter to maturity, by lot, at a redemption price equal to the principal amount thereof to be redeemed, together with accrued interest to the date fixed for redemption, without premium, from sinking fund payments a follows. ( MuniFirkyxiA CFD 04-1 (Gray's Crossing) Page 2 of 5 Fiscal Year 2007108 Annual Report Redemption Date (September 1) Principal Amount *Final Maturity The Bonds maturing on September 1, 2033 are subject to mandatory sinking payments redemption in part on September 1, 2029, and on each September 1 thereafter to maturity, by lot, at a redemption price equal to the principal amount thereof to be redeemed, together with accrued interest to the date fixed for redemption, without premium, from sinking fund payments a follows. Re I detn"ption Date (September 1) Principal Arnomit MENEM * Final Maturity ON The amounts in the foregoing table shall be reduced pro rata by the principal amount of all Term Bonds which are redeemed as a result of any prior partial redemption of Term Bonds. Series 2005 Bond The Bonds are subject to Redemption prior to their stated maturities on any Interest Payment Date from the proceeds of prepayments of Special Taxes, in whole or in part (in integral multiples of $5,000), at a redemption price set forth below, together with accrued interest thereon to the date fixed for redemption. Re d emption Dates Redemption Prices WWFii'1anci l CFD 04-1 (Gray's Crossing) Page 3 of 5 Fiscal Year 2007108 Annual Report The bonds are subject to Optional Redemption from sources of funds other than prepayments of the Special Tax prior to their stated maturity as a whole, or in part (in integral multiples of$5,000),in order of maturity selected by the District and by lot within a maturity on any Interest Payment date, at the redemption price as set forth below. Redemption Dates Redemption Prices fV The Bonds maturing on September 1, 2025 are subject to mandatory sinking payments redemption in part on September 1, 2021, and on each September 1 thereafter to maturity, by lot, at a redemption price equal to the principal amount thereof to be redeemed, together with accrued interest to the date fixed for redemption, without premium, from sinking fund payments a follows. Redemption Date (September 1) Principal Amount *Final Maturity The Bonds maturing on September 1, 2030 are subject to mandatory sinking payments redemption in part on September 1, 2026, and on each September 1 thereafter to maturity, by lot, at a redemption price equal to the principal amount thereof to be redeemed, together with accrued interest to the date fixed for redemption, without premium, from sinking fund payments a follows. Redemption Date (September 1) Principal Amount :n. * Final Maturity The Bonds maturing on September 1, 2030 are subject to mandatory sinking payments redemption in part on September 1, 2031, and on each September 1 thereafter to maturity, by lot, at a redemption price equal to the principal amount thereof to be redeemed, together r --_ with accrued interest to the date fixed for redemption,without premium, from sinking fund payments a follows. MunlFirwKiN CFD o4-1 (Gray's Crossing) Page 4 of 5 Fiscal Year 2007108 Annual Report Redemption Date (September 1) Principal Amount * Final Maturity The amounts in the foregoing table shall be reduced pro rata by the principal amount of all Term Bonds which are redeemed as a result of any prior partial redemption of Term Bonds. COVENANT FOR JUDICIAL FORECLOSURE The District has covenanted to commence judicial foreclosure proceedings against all parcels where the aggregate delinquent Special Taxes on such parcels is greater than $7,500 by the October 1 following the close of each Fiscal year in which such Special Taxes were due. The District will commence judicial foreclosure proceedings against all parcels with delinquent Special Taxes by the October 1 following the close of each Fiscal Year in which it receives Special Taxes in an amount which is less than 95% of the total Special Tax levied for such Fiscal year. The District will diligently pursue such foreclosure proceedings until the delinquent special taxes are paid. The District may elect to defer foreclosure proceedings on any parcel which is owned by a delinquent property owner whose property is not, in the aggregate, delinquent in the payment for a period of three years or more or in an amount in excess of$12,000 so long as the amount in the Reserve Account of the Special Tax Fund is at lest equal to the Reserve Requirement, and the District is not in default in the payment of the principal of or interest on the Bonds. FINANCED FACILITIES The Facilities authorized to be acquired by the District with the proceeds of the Bonds consist of various public improvements including water facilities, electrical facilities, sewer, roads, storm drains, natural gas facilities, power line relocation, highway improvements and fiber infrastructure which includes fiber optic cables and conduits. WFII"1a ncW CFD 04-1 (Gray's Crossing) Page 5 of 5 Fiscal Year 2007108 Annual Report }q_ TRUCKEE DONNER PUBLIC UTILITY DISTRICT COMMUNITY FACILITIES DISTRICT NO. 03-1 (OLD GREENWOOD) RATE AND METHOD OF APPORTIONMENT MAXIMUM SPECIAL TAX Single Family Detached Property The Maximum Special Tax for Single Family Detached Property in Zone 1 for Fiscal Year 2004- 05 is $3,000 per SFD Lot. The Maximum Special Tax for Single Family Detached Property in Zone 2 for Fiscal Year 2004-05 is $3,400 per SFD Lot. On July 1, 2005 and on each July 1 thereafter, these Maximum Special Tax rates shall be increased by an amount equal to two percent (2%) of the amount in effect for the prior Fiscal Year. Single Family Attached Property The Maximum Special Tax for Single Family Attached Property in Zone 1 for Fiscal Year 2004- 05 is $3,000 per Unit. The Maximum Special Tax for Single Family Attached Property in Zone 2 for Fiscal Year 2004-05 is $3,400 per Unit. On July 1, 2005 and on each July 1 thereafter, these Maximum Special Tax rates shall be increased by an amount equal to two percent (2%) of the amount in effect for the prior Fiscal Year. Taxable Other Property The Maximum Special Tax for Taxable Other Property shall be the amount needed on a per- acre basis to maintain the Maximum Special Tax that was assigned to the Parcel prior to the Parcel becoming Taxable Other Property. After the Maximum Special Tax has been determined for a Parcel of Taxable Other Property, the Maximum Special Tax shall be increased each Fiscal Year thereafter by an amount equal to two percent (2%) of the amount in effect the prior Fiscal Year. Undeveloped Property The Maximum Special Tax for Undeveloped Property for Fiscal Year 2004-05 is $11,325 per Acre. On July 1, 2005 and on each July 1 thereafter, this Maximum Special Tax shall be increased by an amount equal to two percent (2%) of the amount in effect for the prior Fiscal Year. Pursuant to Section 53321 (d) of the Act, the Special Tax levied against a Parcel used for private residential purposes shall under no circumstances increase more than ten percent (10%) as a consequence of delinquency or default by the owner of any other Parcel or Parcels and shall, in no event, exceed the Maximum Special Tax in effect for the Fiscal Year in which the Special Tax S, is being levied. Mun!Finandaf CFD 03-1 (Old Greenwood) Page 1 of 3 Fiscal Year 2007108 Annual Report BACK-UP FORMULA The Maximum Special Taxes set forth above were calculated based on the Expected Land Uses at CFD Formation. The Administrator shall review Tentative Map revisions and other changes to the land uses proposed within the CFD and compare the revised land uses to the Expected Land Uses to evaluate the impact on the Expected Maximum Special Tax Revenues. In addition, the Administrator shall review Final Maps to ensure they reflect the number of residential lots that was anticipated in the Tentative Map. If, prior to the Final Bond Sale, a change to the Expected Land Uses is proposed that will result in a reduction in the Expected Maximum Special Tax Revenues,no action will be needed as long as the reduction in Expected Maximum Special Tax Revenues does not reduce debt service coverage on outstanding Bonds below the amount committed to in the Bond documents. If a Land Use/Entitlement Change is proposed after the Final Bond Sale, the following steps shall be applied: Step 1: By reference to Attachment 1, the Administrator shall identify the Expected Maximum Special Tax Revenues for CFD No. 03-1; Step 2: The Administrator shall calculate the Maximum Special Tax revenues that could be collected from property in the CFD if Land Use/Entitlement Change is approved; Step 3: If the amount determined in Step 2 is higher than that calculated in Step 1,the Land { Use/Entitlement Change may be approved without further action. If the revenues calculated in Step 2 are less than those calculated in Step 1, and if (a) The landowner does not withdraw the request for the Land Use/Entitlement Change that was submitted to the Town;or (b) Before approval of the Land Use/Entitlement Change, the landowner requesting the Land Use/Entitlement Change does not prepay a portion of the Special Tax for the CFD in an amount that corresponds to the lost Maximum Special Tax revenue, as determined by applying the steps set forth in Section H below;or (c) The Land Use/Entitlement Change proposes that a Parcel of Single Family Detached Property or Single Family Attached Property be developed as another land use (other than Public Property), and the landowner requesting the Change fails to submit a written request to the TDPUD to designate the Parcel as Taxable Other Property, thereby maintaining the Expected Maximum Special Tax Revenues for the Parcel; then, the amount of the prepayment determined in Step 3.b shall be allocated on a per-acre basis and included on the next property tax bill for all Assessor's Parcels within the property affected by the Land Use/Entitlement Change. The amount allocated to each Assessor's Parcel shall be added to and, until paid, shall be a part of, the Maximum Special Tax for the Assessor's Parcel. InjF &-)c CFD 03-1 (Old Greenwood) Page 2 of 3 Fiscal Year 2007108 Annual Report If multiple Land Use/Entitlement Changes are proposed at one time (which may include approval of multiple Final Maps at one time), the Administrator may consider the combined effect of all the Changes to determine if there is a reduction in Expected Maximum Special Tax Revenues that necessitates implementation of Step 3.b or 3.c. If, based on this analysis, the Administrator determines that there is a reduction in Expected Maximum Special Tax Revenue, and all of the Land Use/Entitlement Changes are being proposed by the same land owner, the Administrator shall determine the required prepayment (pursuant to Step 3.b) by analyzing the combined impact of all of the proposed Land Use/Entitlement Changes. If the Administrator analyzes the combined impact,and the Town subsequently does not approve one or more of the Land Use/Entitlement Changes that was proposed, the Administrator shall once again apply the three steps set forth above to determine the combined impact of those Land Use/Entitlement Changes that were approved simultaneously by the Town. If, based on the comprehensive analysis, the Administrator determines that there is a reduction in Expected Maximum Special Tax Revenue, and the Land Use/Entitlement Changes are not all being proposed by the same land owner, the Administrator shall consider the proposed Land Use/Entitlement Changes individually to determine the required prepayment from each owner. METHOD OF LEVY OF THE SPECIAL TAX Each Fiscal Year, the Administrator shall determine the Special Tax Requirement to be collected u in that Fiscal Year,and the Special Tax shall be levied according to the steps outlined below. Step 1: The Special Tax shall be levied Proportionately on each Parcel of Developed Property within the CFD up to 100% of the Maximum Special Tax for each Parcel for such Fiscal Year until the amount levied on Developed Property is equal to the Special Tax Requirement prior to applying any Capitalized Interest that is available in the CFD accounts. Step 2: If additional revenue is needed after Step 1, and after applying Capitalized Interest to the Special Tax Requirement, the Special Tax shall be levied Proportionately on each Assessor's Parcel of Undeveloped Property within the CFD, up to 100% of the Maximum Special Tax for Undeveloped Property for such Fiscal Year determined pursuant to Section C; Step 3: If additional revenue is needed after applying the first two steps, the Special Tax shall be levied Proportionately on each Parcel of Association Property within the CFD, up to 100% of the Maximum Special Tax for Undeveloped Property for such Fiscal Year determined pursuant to Section C; Step 4: If additional revenue is needed after applying the first three steps, the Special Tax shall be levied Proportionately on each Assessor's Parcel of Excess Public Property, exclusive of property exempt from the Special Tax pursuant to Section G below,up to 100% of the Maximum Special Tax for Undeveloped Property for such Fiscal i° Year determined pursuant to Section C. i Ufl1Rtnmcial CFD 03-1 (Old Greenwood) Page 3 of 3 Fiscal Year 2007108 Annual Report TRUCKEE DONNER PUBLIC UTILITY DISTRICT COMMUNITY FACILITIES DISTRICT NO. 04-1 (GRAYS CROSSING) RATE AND METHOD OF APPORTIONMENT MAXIMUM SPECIAL TAX Single Family Detached Property The Maximum Special Tax for Single Family Detached Property in Zone 1 for Fiscal Year 2004- 05 is shown in the table below. Ka.F On July 1, 2005 and on each July 1 thereafter, the Maximum Special Taxes shown in the table above shall be increased by an amount equal to 2%of the amount in effect for the prior fiscal Year. The square footage of SFD Lots shall be determined by reference to County Assessor's Parcel Maps or, to the extent such Maps do not reflect square footage of the SFD Lots, by reference to the lot size summary provided by the engineering firm that produced the Final Map. Single Family Attached Property The Maximum Special Tax for Single Family Attached Property in Zone 1 for Fiscal Year 2004- 05 is $1,200 per Unit. The Maximum Special Tax for Single Family Attached Property in Zone 2 for Fiscal Year 2004-05 is $3,400 per Unit. On July 1,2005 and on each July 1 thereafter, these Maximum Special Tax rates shall be increased by an amount equal to two percent (20/6) of the amount in effect for the prior Fiscal Year. Mun1R'1w1 W CFD 04-1 (Gray's Crossing) Page 1 of 4 Fiscal Year 2007108 Annual Report y Loft Units The Maximum Special Tax for Loft Units for Fiscal Year 2004-05 is $1,200 per Unit. On July 1, 2005 and on each July 1 thereafter, this Maximum Special Tax shall be increased by an amount equal to two percent(2%) of the amount in effect for the prior Fiscal Year. Non-Residential Property The Maximum Special Tax for Non- Residential Property for Fiscal Year 2004-05 is $2.50 per square foot of Building Square Footage. On July 1, 2005 and on each July 1 thereafter, this Maximum Special Tax shall be increased by an amount equal to two percent (20/6) of the amount in effect for the prior Fiscal Year. BACK-UP FORMULA The Maximum Special Taxes set forth in Section C above were calculated based on the Expected Land Uses at CFD Formation. The Administrator shall review Tentative Map revisions and other changes to the land uses proposed within the CFD and compare the revised land uses to the Expected Land Uses to evaluate the impact on the Expected Maximum Special Tax Revenues. In addition, the Administrator shall review Final Maps to ensure they reflect the number of residential lots that was anticipated in the Tentative Map. Y. If, prior to the Final Bond Sale, a change to the Expected Land Uses (a "Land Use/Entitlement Change") is proposed that will result in a reduction in the Expected Maximum Special Tax Revenues, no action will be needed pursuant to this Section D as long as the reduction in Expected Maximum Special Tax Revenues does not reduce debt service coverage on outstanding Bonds below the amount committed to in the Bond documents. Upon approval of the Land Use/Entitlement Change, the Administrator shall update Attachment 1 to show the reduced Expected Maximum Special Tax Revenues, and the reduced Expected Maximum Special Tax Revenues shall be the amount used to determine the amount of the Final Bond Sale. If a Land Use/Entitlement Change is proposed after the Final Bond Sale, the following steps shall be applied: Step 1: By reference to Attachment 1 (which will be updated by the Administrator each time a Land Use/Entitlement Change has been processed according to this Section D), the Administrator shall identify the Expected Maximum Special Tax Revenues for CFD No. 04-1. Step 2: The Administrator shall calculate the Maximum Special Tax revenues that could be collected from property in the CFD if the Land Use/Entitlement Change is approved. EMUnIFinmcial CFD 04-1 (Gray's Crossing) Page 2 of 4 Fiscal Year 2007108 Annual Report Step 3: If the amount determined in Step 2 is higher than that calculated in Step 1, the Land Use/Entitlement Change may be approved without further action. If the revenues calculated in Step 2 are less than those calculated in Step 1,and if: (a) The landowner does not withdraw the request for the Land Use/Entitlement Change that was submitted to the Town;or (b) Before approval of the Land Use/Entitlement Change, the landowner requesting the Land Use/Entitlement Change does not prepay a portion of the Special Tax for the CFD in an amount that corresponds to the lost Maximum Special Tax revenue,as determined by applying the steps set forth in Section H below;or The Land Use/Entitlement Change proposes that a Parcel of Single Family Detached Property or Single Family Attached Property be developed as another land use (other than Public Property), and the landowner requesting the Land Use/Entitlement Change fails to submit a written request to the TDPUD to designate the Parcel as Taxable Other Property, thereby maintaining the Expected Maximum Special Tax Revenues for the Parcel; then, the amount of the prepayment determined in Step 3.b shall be allocated on a per-acre basis and included on the next property tax bill for all Assessor's Parcels within the property affected by the Land Use/Entitlement Change. The amount allocated to each Assessor's Parcel shall be added to and, until paid, shall be a part of, the Maximum Special Tax for the Assessor's Parcel. If multiple Land Use/Entitlement Changes are proposed at one time (which may include approval of multiple Final Maps), the Administrator may consider the combined effect of all the Land Use/Entitlement Changes to determine if there is a reduction in Expected Maximum Special Tax Revenues that necessitates implementation of Step 3.b or 3.c. If, based on this analysis, the w. Administrator determines that there is a reduction in Expected Maximum Special Tax Revenue, and all of the Land Use/Entitlement Changes are being proposed by the same land owner, the Administrator shall determine the required prepayment (pursuant to Step 3.b) by analyzing the combined impact of all of the proposed Land Use/Entitlement Changes. Notwithstanding the foregoing, if the Administrator analyzes the combined impacts of multiple Land Use/Entitlement Changes, and the Town subsequently does not approve one or more of the Land Use/Entitlement Changes that was proposed, the Administrator shall once again apply the three steps set forth above to determine the combined impact of those Land Use/Entitlement Changes that were approved simultaneously by the Town. If, based on the comprehensive analysis, the Administrator determines that there is a reduction in Expected Maximum Special Tax Revenue, and the Land Use/Entitlement Changes are not all being proposed by the same land owner, the Administrator shall consider the proposed Land Use/Entitlement Changes individually to determine the required prepayment from each owner. METHOD OF LEVY OF THE SPECIAL TAX Each Fiscal Year, the Administrator shall determine the Special Tax Requirement to be collected in that Fiscal Year,and the Special Tax shall be levied according to the steps outlined below. Step 1: The Special Tax shall be levied Proportionately on each Parcel of Developed Property within the CFD that is Single Family Detached Property, Single Family Attached (, Property, or a Loft Unit up to 100% of the Maximum Special Tax for each Parcel for MuniFina al CFD 04-1 (Gray's Crossing) Page 3 of 4 Fiscal Year 2007108 Annual Report such Fiscal Year until the amount levied on such Developed Property is equal to the Special Tax Requirement prior to applying any Capitalized Interest that is available in the CFD accounts Step 2: If additional revenue is needed after Step 1, and after applying Capitalized Interest to the Special Tax Requirement, the Special Tax shall be levied Proportionately on each Parcel of Developed Property within the CFD that is Non-Residential Property up to 100% of the Maximum Special Tax for such Developed Property for such Fiscal Year determined pursuant to Section C. Step 3: If additional revenue is needed after Step 2, the Special Tax shall be levied Proportionately on each Parcel of Developed Property within the CFD that is Golf Course Property up to 100% of the Maximum Special Tax for such Developed Property for such Fiscal Year determined pursuant to Section C. Step 4: If additional revenue is needed after Step 3, the Special Tax shall be levied Proportionately on each Assessor's Parcel of Undeveloped Property within the CFD, up to 100% of the Maximum Special Tax for Undeveloped Property for such Fiscal Year determined pursuant to Section C. Step 5: If additional revenue is needed after Step 4, the Special Tax shall be levied Proportionately on each Parcel of Association Property within the CFD, up to 100% of the Maximum Special Tax for Undeveloped Property for such Fiscal Year determined pursuant to Section C. Step 6: If additional revenue is needed after Step 5, the Special Tax shall be levied Proportionately on each Assessor's Parcel of Excess Public Property, exclusive of property exempt from the Special Tax pursuant to Section G below, up to 100% of the Maximum Special Tax for Undeveloped Property for such Fiscal Year determined pursuant to Section C. i tniFinandal CFD 04-1 (Gray's Crossing) Page 4 of 4 Truckee Donner PUD Community Facilities District No. 03-1 (Old Greenwood) ORIGINAL DEBT SERVICE SCHEDULE Dated Date: 12/22/2003 First Coupon: 3/1/2004 First Maturity: 9/1/2005 Payment Interest •ue d Semi-Annual •ue Interest Due Total Annual Rate Amount Payment 3/1/2004 $0.00 $0.00 9/1/2004 2.25000% 0.00 0.00 0.00 0.00 3/1/2005 0.00 0.00 9/1/2005 2.25000% 10,000.00 0.00 10,000.00 10,000.00 3/1/2006 0.00 0.00 9/1/2006 2.50000% 25,000.00 0.00 25,000.00 25,000.00 3/1/2007 360,233.75 360,233.75 9/1/2007 2.80000% 40,000.00 360,233.75 400,233.75 760,467.50 3/1/2008 359,673.75 359,673.75 9/1/2008 3.10000% 55,000.00 359,673.75 414,673.75 774,347.50 3/1/2009 358,821.25 358,821.25 9/1/2009 3.45000% 70,000.00 358,821.25 428,821.25 787,642.50 3/1/2010 357,613.75 357,613.75 9/1/2010 3.80000% 90,000.00 357,613.75 447,613.75 805,227.50 3/1/2011 355,903.75 355,903.75 9/1/2011 4.15000% 110,000.00 355,903.75 465,903.75 821,807.50 3/1/2012 353,621.25 353,621.25 9/1/2012 4.50000% 130,000.00 353,621.25 483,621.25 837,242.50 3/1/2013 350,696.25 350,696.25 9/1/2013 4.80000% 155,000.00 350,696.25 505,696.25 856,392.50 3/1/2014 346,976.25 346,976.25 ram` 9/1/2014 5.00000% 180,000.00 346,976.25 526,976.25 873,952.50 3/1/2015 342,476.25 342,476.25 9/1/2015 5.10000% 205,000.00 342,476.25 547,476.25 889,952.50 3/1/2016 337,248.75 337,248.75 9/1/2016 5.20000% 235,000.00 337,248.75 572,248.75 909,497.50 3/1/2017 331,138.75 331,138.75 9/1/2017 5.30000% 265,000.00 331,138.75 596,138.75 927,277.50 3/1/2018 324,116.25 324,116.25 9/1/2018 5.45000% 295,000.00 324,116.25 619,116.25 943,232.50 3/1/2019 316,077.50 316,077.50 9/1/2019 5.60000% 330,000.00 316,077.50 646,077.50 962,155.00 3/1/2020 306,837.50 306,837.50 9/1/2020 5.70000% 5,000.00 365,000.00 306,837.50 671,837.50 978,675.00 3/1/2021 296,435.00 296,435.00 9/1/2021 5.90000% 5,000.00 405,000.00 296,435.00 701,435.00 997,870.00 3/1/2022 284,487.50 284,487.50 9/1/2022 5.90000% 5,000.00 450,000.00 284,487.50 734,487.50 1,018,975.00 3/1/2023 271,212.50 271,212.50 9/1/2023 6.00000% 5,000.00 500,000.00 271,212.50 771,212.50 1,042,425.00 3/1/2024 256,212.50 256,212.50 9/1/2024 6.00000% 5,000.00 550,000.00 256,212.50 806,212.50 1,062,425.00 3/1/2025 239,712.50 239,712.50 9/1/2025 6.00000% 5,000.00 605,000.00 239,712.50 844,712.50 1,084,425.00 3/1/2026 221,562.50 221,562.50 9/1/2026 6.00000% 5,000.00 660,000.00 221,562.50 881,562.50 1,103,125.00 3/1/2027 201,762.50 201,762.50 9/1/2027 6.00000% 5,000.00 725,000.00 201,762.50 926,762.50 1,128,525.00 3/1/2028 180,012.50 180,012.50 9/1/2028 6.00000% 5,000.00 790,000.00 180,012.50 970,012.50 1,150,025.00 3/1/2029 156,312.50 156,312.50 9/1/2029 6.10000% 5,000.00 860,000.00 156,312.50 1,016,312.50 1,172,625.00 3/1/2030 130,082.50 130,082.50 9/1/2030 6.10000% 5,000.00 940,000.00 130,082.50 1,070,082.50 1,200,165.00 3/1/2031 101,412.50 101,412.50 MunlFinancial Fiscal Year 2007/08 Annual Report Page 1 of 2 Truckee Donner PUD Community Facilities District No. 03-1 (Old Greenwood) ORIGINAL DEBT SERVICE SCHEDULE Dated Date: 12/22/2003 First Coupon: 3/1/2004 First Maturity: 9/1/2005 Payment Interest Bond Call Called Principal Due Interest Due Semi Annual otal Annual Due Rate Amount Payment 9/1/2031 6.10000% 5,000.00 1,020,000.00 101,412.50 1,121,412.50 1,222,825.00 3/1/2032 70,302.50 70,302.50 9/1/2032 6.10000% 5,000.00 1,110,000.00 70,302.50 1,180,302.50 1,250,605.00 3/1/2033 36,447.50 36,447.50 9/1/2033 6.10000% 10,000.00 1,195,000.00 36,447.50 1,231,447.50 1,267,895.00 Outstanding Principal $12,295,000.00 Matured Principal 75,000.00 Called Principal 75,000.00 Total Bond Issue $12,445,000.00 MuniFinancial Fiscal Year 2007/08 Annual Report Page 2 of 2 Truckee Donner PUD Community Facilities District No. 04-1 (Gray's Crossing) ORIGINAL DEBT SERVICE - Series 2004-01 - Dated Date: 9/14/2004 First Coupon: 3/1/2005 First Maturity: 9/1/2007 Payment Interest Bond Call Called Principal Due Interest Due Semi-Annual Total Annual Due Rate Amount Payment 3/1/2005 $403,724.82 $403,724.82 9/1/2005 3.25000% 0.00 435,152.50 435,152.50 838,877.32 3/1/2006 435,152.50 435,152.50 9/1/2006 3.25000% 0.00 435,152.50 435,152.50 870,305.00 3/1/2007 435,152.50 435,152.50 9/1/2007 3.25000% 15,000.00 435,152.50 450,152.50 885,305.00 3/1/2008 434,908.75 434,908.75 9/1/2008 3.50000% 35,000.00 434,908.75 469,908.75 904,817.50 3/1/2009 434,296.25 434,296.25 9/1/2009 3.90000% 50,000.00 434,296.25 484,296.25 918,592.50 3/1/2010 433,321.25 433,321.25 9/1/2010 4.15000% 70,000.00 433,321.25 503,321.25 936,642.50 3/1/2011 431,868.75 431,868.75 9/1/2011 4.35000% 95,000.00 431,868.75 526,868.75 958,737.50 3/1/2012 429,802.50 429,802.50 9/1/2012 4.65000% 115,000.00 429,802.50 544,802.50 974,605.00 3/1/2013 427,128.75 427,128.75 9/1/2013 4.75000% 140,000.00 427,128.75 567,128.75 994,257.50 3/1/2014 423,803.75 423,803.75 9/1/2014 4.90000% 170,000.00 423,803.75 593,803.75 1,017,607.50 3/1/2015 419,638.75 419,638.75 9/1/2015 5.00000% 200,000.00 419,638.75 619,638.75 1,039,277.50 3/1/2016 414,638.75 414,638.75 9/1/2016 5.10000% 230,000.00 414,638.75 644,638.75 1,059,277.50 3/1/2017 408,773.75 408,773.75 9/1/2017 5.20000% 260,000.00 408,773.75 668,773.75 1,077,547.50 3/1/2018 402,013.75 402,013.75 9/1/2018 5.30000% 295,000.00 402,013.75 697,013.75 1,099,027.50 3/1/2019 394,196.25 394,196.25 9/1/2019 5.40000% 335,000.00 394,196.25 729,196.25 1,123,392.50 3/1/2020 385,151.25 385,151.25 9/1/2020 5.50000% 375,000.00 385,151.25 760,151.25 1,145,302.50 3/1/2021 374,838.75 374,838.75 9/1/2021 5.60000% 420,000.00 374,838.75 794,838.75 1,169,677.50 3/1/2022 363,078.75 363,078.75 9/1/2022 5.70000% 465,000.00 363,078.75 828,078.75 1,191,157.50 3/1/2023 349,826.25 349,826.25 9/1/2023 5.75000% 515,000.00 349,826.25 864,826.25 1,214,652.50 3/1/2024 335,020.00 335,020.00 9/1/2024 5.75000% 570,000.00 335,020.00 905,020.00 1,240,040.00 3/1/2025 318,632.50 318,632.50 9/1/2025 5.75000% 625,000.00 318,632.50 943,632.50 1,262,265.00 3/1/2026 300,663.75 300,663.75 9/1/2026 5.75000% 690,000.00 300,663.75 990,663.75 1,291,327.50 3/1/2027 280,826.25 280,826.25 9/1/2027 5.75000% 755,000.00 280,826.25 1,035,826.25 1,316,652.50 3/1/2028 259,120.00 259,120.00 9/1/2028 5.75000% 825,000.00 259,120.00 1,084,120.00 1,343,240.00 3/1/2029 235,401.25 235,401.25 9/1/2029 5.75000% 895,000.00 235,401.25 1,130,401.25 1,365,802.50 3/1/2030 209,670.00 209,670.00 9/1/2030 5.80000% 975,000.00 209,670.00 1,184,670.00 1,394,340.00 3/1/2031 181,395.00 181,395.00 9/1/2031 5.80000% 1,060,000.00 181,395.00 1,241,395.00 1,422,790.00 MuniFinancial Fiscal Year 2007/08 Annual Report Page 1 of 4 Truckee Donner PUD Community Facilities District No. 04-1 (Gray's Crossing) ORIGINAL DEBT SERVICE - Series 2004-01 Dated Date: 9/14/2004 First Coupon: 3/1/2005 First Maturity: 9/1/2007 Due Rate Bond Call Amount Principal Payment Interest Called Semi-Annual 311l2032 150,655.00 150,655.00 9/1/2032 5.80000% 1,150,000.00 150,655.00 1,300,655.00 1,451,310.00 3/1/2033 117,305.00 117,305.00 9/1/2033 5.80000% 1,245,000.00 117,305.00 1,362,305.00 1,479,610.00 3/1/2034 81,200.00 81,200.00 9/1/2034 5.80000% 1,345,000.00 81,200.00 1,426,200.00 1,507,400.00 3/1l2035 42,195.00 42,195.00 9/1/2035 5.80000% 1,455,000.00 42,195.00 1,497,195.00 1,539,390.00 Outstanding Principal $15,360,000.00 Matured Principal 15,000.00 Called Principal 0.00 Total Bond Issue $15,375,000.00 /F. . e MuniFinancial Fiscal Year 2007/08 Annual Report Page 2 of 4 Truckee Donner PUD Community Facilities District No. 04-1 (Gray's Crossing) ORIGINAL DEBT SERVICE - Series 2005-01 Dated Date: 9/14/2004 First Coupon: 3/1/2005 First Maturity: 9/1/2007 Payment Interest Called Semi-Mual Bond Call Principal Due Interest Due Total Annuat Due Rate Amount Payment j 9/1/2005 3.50000% $0.00 $131,191.33 $131,191.33 $131,191.33 3/1/2006 $491,967.50 $491,967.50 9/1/2006 3.50000% $0.00 $491,967.50 $491,967.50 $983,935.00 3/1/2007 $491,967.50 $491,967.50 9/1/2007 3.50000% $50,000.00 $491,967.50 $541,967.50 $1,033,935.00 3/1/2008 $491,092.50 $491,092.50 9/1/2008 3.62500% $70,000.00 $491,092.50 $561,092.50 $1,052,185.00 3/1/2009 $489,823.75 $489,823.75 9/1/2009 3.75000% $100,000.00 $489,823.75 $589,823.75 $1,079,647.50 3/1/2010 $487,948.75 $487,948.75 9/1/2010 4.00000% $125,000.00 $487,948.75 $612,948.75 $1,100,897.50 3/1/2011 $485,448.75 $485,448.75 9/1/2011 4.00000% $150,000.00 $485,448.75 $635,448.75 $1,120,897.50 3/1/2012 $482,448.75 $482,448.75 9/1/2012 4.12500% $180,000.00 $482,448.75 $662,448.75 $1,144,897.50 3/1/2013 $478,736.25 $478,736.25 9/1/2013 4.25000% $210,000.00 $478,736.25 $688,736.25 $1,167,472.50 3/1/2014 $474,273.75 $474,273.75 9/1/2014 4.37500% $240,000.00 $474,273.75 $714,273.75 $1,188,547.50 3/1/2015 $469,023.75 $469,023.75 9/1/2015 4.50000% $275,000.00 $469,023.75 $744,023.75 $1,213,047.50 3/1/2016 $462,836.25 $462,836.25 9/1/2016 4.62500% $310,000.00 $462,836.25 $772,836.25 $1,235,672.50 3/1/2017 $455,667.50 $455,667.50 9/1/2017 4.75000% $355,000.00 $455,667.50 $810,667.50 $1,266,335.00 3/1/2018 $447,236.25 $447,236.25 9/1/2018 4.75000% $395,000.00 $447,236.25 $842,236.25 $1,289,472.50 3/1/2019 $437,855.00 $437,855.00 9/1/2019 4.87500% $440,000.00 $437,855.00 $877,855.00 $1,315,710.00 3/1/2020 $427,130.00 $427,130.00 9/1/2020 5.00000% $485,000.00 $427,130.00 $912,130.00 $1,339,260.00 3/1/2021 $415,005.00 $415,005.00 9/1/2021 5.20000% $535,000.00 $415,005.00 $950,005.00 $1,365,010.00 3/1/2022 $401,095.00 $401,095.00 9/1/2022 5.20000% $595,000.00 $401,095.00 $996,095.00 $1,397,190.00 3/1/2023 $385,625.00 $385,625.00 9/1/2023 5.20000% $650,000.00 $385,625.00 $1,035,625.00 $1,421,250.00 3/1/2024 $368,725.00 $368,725.00 9/1/2024 5.20000% $715,000.00 $368,725.00 $1,083,725.00 $1,452,450.00 3/1/2025 $350,135.00 $350,135.00 9/1/2025 5.20000% $780,000.00 $350,135.00 $1,130,135.00 $1,480,270.00 3/1/2026 $329,855.00 $329,855.00 9/1/2026 5.25000% $850,000.00 $329,855.00 $1,179,855.00 $1,509,710.00 3/1/2027 $307,542.50 $307,542.50 9/1/2027 5.25000% $925,000.00 $307,542.50 $1,232,542.50 $1,540,085.00 3/1/2028 $283,261.25 $283,261.25 9/1/2028 5.25000% $1,005,000.00 $283,261.25 $1,288,261.25 $1,571,522.50 MuniFinancial Fiscal Year 2007/08 Annual Report Page 3 of 4 Truckee Donner PUD Community Facilities District No. 04-1 (Gray's Crossing) ORIGINAL DEBT SERVICE - Series 2005-01 Dated Date: 9/14/2004 First Coupon: 3/1/2005 First Maturity: 9/1/2007 Payment Interest Called Semi-Annual T, Due Interest Due Payment Total Annu* 3/1/2029 $256,880.00 $256,880.00 9/1/2029 5.25000% $1,090,000.00 $256,880.00 $1,346,880.00 $1,603,760.00 3/1/2030 $228,267.50 $228,267.50 9/1/2030 5.25000% $1,180,000.00 $228,267.50 $1,408,267.50 $1,636,535.00 3/1/2031 $197,292.50 $197,292.50 9/1/2031 5.30000% $1,275,000.00 $197,292.50 $1,472,292.50 $1,669,585.00 3/1/2032 $163,505.00 $163,505.00 9/1/2032 5.30000% $1,375,000.00 $163,505.00 $1,538,505.00 $1,702,010.00 3/1/2033 $127,067.50 $127,067.50 9/1/2033 5.30000% $1,480,000.00 $127,067.50 $1,607,067.50 $1,734,135.00 3/1/2034 $87,847.50 $87,847.50 9/1/2034 5.30000% $1,600,000.00 $87,847.50 $1,687,847.50 $1,775,695.00 3/1/2035 $45,447.50 $45,447.50 9/1/2035 5.30000% $1,715,000.00 $45,447.50 $1,760,447.50 $1,805.895.00 Totals: 1 If $0.00 111 !1 ! . 1. 1 . Outstanding Principal $19,105,000.00 4.,.N.. Matured Principal 50,000.00 Called Principal 0.00 Total Bond Issue $19,155,000.00 MuniFinancial Fiscal Year 2007/08 Annual Report Page 4 of 4 Fiscal Year 2007108 Annual Report f E kill blb � $ 4� V �r F IAIRnamaj CFD 03-1 (Old Greenwood) Page 1 of 1 ••i WO Aff woo • fit* �t Ell"SIV i► �► ♦ ,. ME IN 1 ♦ ♦4 r Fiscal Year 2007108 Annual Report Truckee Donner PUD Community Facilities District No. 03-1 (Old Greenwood) DELINQUENCY MANAGEMENT SUMMARY MuniFinancial has performed the following Delinquency Monitoring Actions since July 1, 2006. f NOTES: REMINDER LETTER Reminds property owner that the special assessment has not been paid, and should be redeemed with the County. DEMAND LETTER Allows property owner to redeem the delinquent amount with the County. However, this letter informs the property owner that the Agency will be stripping the delinquent amount from the County Secured Property Tax Roll, and will pursue Foreclosure actions, if the amount is not paid. HANDBILL INVOICE Reminds property owner that the special assessment has not been paid, and should be redeemed with the Agency. r d MunJiFina-cW CFD 03-1 (Old Greenwood) Page 1 of 2 Fiscal Year 2007108 Annual Report PAYMENT PLAN Repayment schedule negotiated by MuniFinancial on behalf of the Agency to cure the delinquency and avoid initiation of judicial foreclosure on installments removed from the Tax Roll. STRIP REQUEST The delinquent amount requested to be removed from the County Secured Property Tax Roll. STRIP CONFIRMATION The delinquent amount is confirmed removed from the County Secured Property Tax Roll. FORECLOSURE COMPLETE Foreclosure satisfied and subsequent foreclosure fee invoiced to agency. FORECLOSURE LETTER Informs the property owner that if the delinquent amount is not paid directly to the Agency within 21 days of receipt of the letter,Foreclosure Actions will be pursued. FORECLOSURE REQUEST All remaining delinquent parcels are forwarded to a Foreclosure Attorney. Please note that Delinquency Actions are performed on an installment basis and not on a per parcel basis. i NMUnFnmcW CFD 03-1 (Old Greenwood) Page 2 of 2 �vE p\`t �1 Fiscal Year 2007108 Annual Report J * * ] p 1 � Truckee Donner PUD Community Facilities District No. 04-1 (Gray's Crossing) DELINQUENCY MANAGEMENT SUMMARY MuniFinancial has performed the following Delinquency Monitoring Actions since July 1, 2006 . ActionDate Performed Number of NOTES: REMINDER LETTER Reminds property owner that the special assessment has not been paid, and should be redeemed with the County. DEMAND LETTER Allows property owner to redeem the delinquent amount with the County. However, this letter informs the property owner that the Agency will be stripping the delinquent amount from the County Secured Property Tax Roll, and will pursue Foreclosure actions, if the amount is not paid. HANDBILL INVOICE Reminds property owner that the special assessment has not been paid, and should be redeemed with the Agency. MUni1Fir ciai CFD 04-1 (Gray's Crossing) Page 1 of 2 Fiscal Year 2007108 Annual Report PAYMENT PLAN Repayment schedule negotiated by MuniFinancial on behalf of the Agency to cure the delinquency and avoid initiation of judicial foreclosure on installments removed from the Tax Roll. SB 1471 Represents a document recorded at the County Recorder's Office which provides constructive notice to interested parties that a delinquency may exist in a specific Agency's District for specific parcel(s),in specific tax year(s), that the Agency intends to remove from the Tax Roll for collection by the Agency, or by one of its agents; either by direct billing, or through the judicial foreclosure process. STRIP REQUEST The delinquent amount requested to be removed from the County Secured Property Tax Roll. STRIP CONFIRMATION The delinquent amount is confirmed removed from the County Secured Property Tax Roll. FORECLOSURE COMPLETE Foreclosure satisfied and subsequent foreclosure fee invoiced to agency. FORECLOSURE LETTER Informs the property owner that if the delinquent amount is not paid directly to the Agency within 21 days of receipt of the letter, Foreclosure Actions will be pursued. FORECLOSURE REQUEST All remaining delinquent parcels are forwarded to a Foreclosure Attorney. Please note that Delinquency Actions are performed on an installment basis and not on a per parcel basis. { MuniFinar W CFD 04-1 (Gray's Crossing) Page 2 of 2 Fiscal Year 2007108 Annual Report Truckee Donner PUD Community Facilities District No. 03-1 (Old Greenwood) SPECIAL TAX RATES SPECIAL TAX SPREAD The following table summarizes the number of parcels in each land use category according to its' square footage as well as the applied special tax rate for each category. 11 1 : 11 1 : • * 14 parcels in Zone 2 contain a total of 39 units MAXIMUM AND APPLIED SPECIAL TAX RATES The following table summarizes the percent of the Applied Special Tax Rate to the Maximum Special Tax Rate. APPLIED SPECIAL TAX PROGRESSION The following table summarizes the percent change of Fiscal Year 2007/08 Applied Special Tax Rate as compared to Fiscal Year 2006/07 Applied Special Tax Rate. FY 11 1 : FY 2006/07 LanApplied Applied • Use Classification • . From SpecialSpecial 11 . 1 Rate Rate lMlu 1iF'inanc CFD 03-1 (Old Greenwood) Page 1 of 1 Fiscal Year 2007108 Annual Report Truckee Donner PUD Community Facilities District No. 04-1 (Gray's Crossing) SPECIAL TAX RATES SPECIAL TAX SPREAD The following table summarizes the number of parcels in each land use category according to its' square footage as well as the applied special tax rate for each category. LanFY 11 1 ' • 11 1 : ClassificationParcels Applied Special Dollars Levied Tax Rate toe Rate per acre, 385.92 acres total MAXIMUM AND APPLIED SPECIAL TAX RATES The following table summarizes the percent of the Applied Special Tax Rate to the Maximum Special Tax Rate. y WiftniFnancial CFD 04-1 (Gray's Crossing) Page 1 of 2 11 l: -•• Land Use FY 2007/08 FY 2007/08 percent of Classification Maximum Tax Applied Tax Maximum Rate Rate ,y kk -W„ 40 r W WA pia, :i �,€ - .,,»;�T � Fr .5, �-, a ��•� r�t 2 r Truckee Donner PUD 2007/08 Budget Worksheet Community Facilities District No.03-1 (Old Greenwood) Fund Number 608 ComponentsLevy 00. 2007/08 PRINCIPAL • INTEREST Principal $40,000.00 $55,000.00 Interest 720,467.50 719,347.50 TOTAL $760,467.50 $774,347.50 ADMINISTRATION COSTS Agency Administration $0.00 $0.00 Finance Manager 0.00 0.00 Accounting Staff 5,000.00 3,000.00 Engineering Staff 0.00 0.00 City Manager Staff 0.00 0.00 Other Staff 0.00 0.00 Agency Auditor Fees 1,500.00 1,500.00 Attorney Fees 0.00 0.00 Office Expenses,Paid by Agency 30.00 30.00 Other Expenses,Paid by Agency 0.00 0.00 Total Agency Staff and Expenses $6,530.00 $4,530.00 County Auditor and Assessor Fees 162.16 175.18 Registrar/Transfer/Paying Agent Fees 3,175.00 3,000.00 Consulting Services(1) 10,350.00 10,546.95 Consulting Expenses 500.00 0.00 Delinquency Management Fees $375.00 TOTAL $20,717.16 $18,627.13 Total Principal,Interest and Admin Costs $781,184.66 $792,974.63 ADJUSTMENTS • TO LEVY Reserve Fund Credit $0.00 $0.00 Special Tax Fund Credit (41,000.00) 0.00 Replenishmentl(Credit) 0.00 0.00 Reserve For Future DQs 0.00 40,128.00 Capitalized Interest Credit 0.00 0.00 Miscellaneous/Adjustment Credit 0.00 (30,538,71) TOTAL ($41,000.00) $9,589.29 TOTALCHARGE Total Charge $740,184.66 $802,563.92 Applied Charge $763,084.62 $802,563.90 Difference(due to rounding)(2) -$22,899.96 $0.02 ADDITIONAL •• • Number of Active Parcels 179 181 Number of Parcels Levied 179 181 Admin Costs as a percent of Annual Levy 2.71% 2.32% 2008 (1)Consulting services include,but are not limited to:District Administration Fees,Arbitrage Rebate Calculation Fees and Municipal Disclosure Fees. (2) The Difference is used to ensure that each parcel's levy amount is divisible by two,as required by the County Auditor-Controller. Truckee Donner PUD a, 2007108 Budget Worksheet Community Facilities District No.04-1 (Gray's Crossing) Fund Number 617 ComponentsLevy 00. 0 00 is PRINCIPAL • INTEREST Principal-Series 2004 $15,000.00 $35,000.00 Interest-Series 2004 870,305.00 869,817.50 Principal-Series 2005 50,000.00 70,000.00 Interest-Series 2005 983,935.00 982,185.00 TOTAL $1,919,240.00 $1,957,002.50 ADMINISTRATION • Agency Administration $0.00 $0.00 Finance Manager 0.00 0.00 Accounting Staff 5,500.00 3,000.00 Engineering Staff 0.00 0.00 City Manager Staff 0.00 0.00 Other Staff 0.00 0.00 Agency Auditor Fees 1,500.00 1,500.00 Attorney Fees 0.00 0.00 Office Expenses, Paid by Agency 30.00 30.00 Other Expenses, Paid by Agency 0.00 0.00 Total Agency Staff and Expenses $7,030.00 $4,530.00 County Auditor and Assessor Fees 147.88 228.10 Registrar/Transfer/Paying Agent Fees 3,175.00 4,500.00 Consulting Services(1) 10,350.00 10,546.95 Consulting Expenses 500.00 0.00 Delinquency Management Allowance 277.50 1,110.00 TOTAL $21,480.38 $20,915.05 Total Principal,Interest and Admin Costs $1,940,720.38 $1,977,917.55 ADJUSTMENTS APPLIED TO LEVY Reserve Fund Credit $0.00 $0.00 Special Tax Fund Credit (124,000.00) 0.00 Reserve for future delinquencies 0.00 103,430.00 Capitalized Interest Credit 0.00 0.00 Miscellaneous/Adjustment Credit 56,000.00 (12,732.43) TOTAL ($68,000.00) $90,697.57 TOTAL Total Charge $1,872,720.38 $2,068,615.12 Applied Charge $1,872,720.28 $2,068,614.76 Difference(due to rounding)(2) $0.10 $0.36 ADDITIONAL INFORMATION Number of Active Parcels 0 0 Number of Parcels Levied 304 304 Admin Costs as a percent of Annual Levy 1.15% 1.01% 2008 (1) Consulting services include,but are not limited to:District Administration Fees,Arbitrage Rebate Calculation Fees and Municipal Disclosure Fees. (2) The Difference is used to ensure that each parcels levy amount is divisible by two,as required by the County Auditor-Controller. Truckee Donner PUD "� Community Facilities District No. 03-1 (Old Greenwood) Charge Detail Report (Sorted by Assessor's Parcel Number; Assessor's00 PropertyNumber •• 19-720-07-000 OLD GREENWOOD LLC 12278 FAIRWAY DRIVE $56,928.00 $423,323.00 $480,251.00 $3,183.62 $3,183.62 19-720-08-000 OLD GREENWOOD LLC 12296 FAIRWAY DRIVE 65,628.00 326,570.00 392,198.00 3,183.62 3,183.62 19-720-09-000 OLD GREENWOOD LLC 12310 FAIRWAY DRIVE 52,522.00 279,547.00 332,069.00 3,183.62 3,183,62 19-720-10-000 OLD GREENWOOD LLC 12326 FAIRWAY DRIVE 50,375.00 423,323.00 473,698.00 3,183.62 3,183.62 19-730-10-000 OLD GREENWOOD LLC ETAL 12157 LOOKOUT LOOP 80,988.00 1,352,520.00 1,433,508.00 3,608.11 3,608.10 19-730-11-000 ROBINSON MORRIS D&MARILYN A ETAL 12175 LOOKOUT LOOP 368,994.00 1,120,573.00 1,489,567.00 3,608.11 3,608.10 19-730-12-000 TRUSZKOWSKI THOMAS&NICOLE ETAL 12193 LOOKOUT LOOP 435,797.00 1,325,951.00 1,761,748.00 3,608.11 3,608.10 19-730-13-000 OLD GREENWOOD LLC ETAL 12211 LOOKOUT LOOP 379,184.00 1,152,837.00 1,532,021.00 3,608.11 3,608.10 19-730-14-000 MAIA MICHAEL&TINA ETAL 12229 LOOKOUT LOOP 421,086.00 1,281,311.00 1,702,397.00 3,608.11 3,608.10 19-730-15-000 KALLAS TIMOTHY H&ANJANETTE P ETAL 12247 LOOKOUT LOOP 383,777.00 1,164,197.00 1,547,974.00 3,608.11 3,608.10 19-730-16-000 OLD GREENWOOD LLC ETAL 12267 LOOKOUT LOOP 352,714.00 1,111,187.00 1,463,901.00 3,608.11 3,608.10 19-730-17-000 RIVER ROCK HOLDINGS LLC ETAL 12283 LOOKOUT LOOP 387,324.00 1,177,14300 1,564,467.00 3,608.11 3,608.10 19-730-18-000 SIMPSON MATTHEW J&KRISTINA B ETAL 12303 LOOKOUT LOOP 375,393.00 1,141,585.00 1,516,978.00 3,608.11 3,608.10 19-730-19-000 TONAS JEANINE&CHRIS ETAL 12323 LOOKOUT LOOP 389,572.00 1,184,277.00 1,573,849.00 3,608.11 3,608.10 19-730-20-000 OLD GREENWOOD LLC ETAL 12339 LOOKOUT LOOP 417,376.00 1,325,091.00 1,742,467.00 3,608.11 3,608.10 19-730-21-000 BRETT VIVIENNE B TRSTE ETAL 12359 LOOKOUT LOOP 382,240.00 1,162,204.00 1,544,444.00 3,608.11 3,608.10 19-730-22-000 STAFFORD ROBERT M&E D TRSTES ETAL 12381 LOOKOUT LOOP 392,061.00 1,190,668.00 1,582,729.00 3,608.11 3,608.10 19-730-23-000 OLD GREENWOOD LLC ETAL 12403 LOOKOUT LOOP 438,449.00 1,372,710.00 1,811,159.00 3,608.11 3,608.10 19-730-24-000 MARSHALL GEORGE F&MILAGROS D ETAL 12423 LOOKOUT LOOP 369,641.00 1,111,835.00 1,481,476.00 3,608.11 3,608.10 19-730-27-000 GRAHAM DAVID M&SUSAN M ETAL 12202 LOOKOUT LOOP 388,849.00 1,179,037.00 1,567,886.00 3,608.11 3,608.10 19-730-28-000 OLD GREENWOOD LLC ETAL 12220 LOOKOUT LOOP 139,501.00 1,341,622.00 1,481,123.00 3,608.11 3,608.10 19-730-294100 FAHEY TIMOTHY&MARIA ETAL 12238 LOOKOUT LOOP 349,558.00 1,073,074.00 1,422,632.00 3,608.11 3,608.10 19-730-30-000 OLD GREENWOOD LLC ETAL 12258 LOOKOUT LOOP 370,561.00 1,318,357.00 1,688,918.00 3,608.11 3,608.10 19-730-01-000 OLD GREENWOOD LLC ETAL NA 132.027.00 1,407,403.00 1,539,430.00 3,608.11 3,608.10 19-730-33-000 OLD GREENWOOD LLC ETAL NA 325,074.00 1,194,090.00 1,519,164.00 3,608.11 3,608.10 19-730-34-000 OLD GREENWOOD LLC ETAL NA 305,187.00 1,185,626.00 1,490,813.00 3,608.11 3,608.10 19-730-35-000 OLD GREENWOOD LLC ETAL NA 237,175.00 1,082,503.00 1,319,678.00 3,608.11 3,608.10 19-730-36-000 OLD GREENWOOD LLC ETAL NA 295,136.00 1,124,514.00 1,419,650.00 3,608.11 3,608.10 19-730-37-000 OLD GREENWOOD LLC ETAL NA 306,512.00 1,335,031.00 1,641,543.00 3,608.11 3,608.10 19-730-38-000 OLD GREENWOOD LLC NA 49,968.00 490,000.00 539,968.00 10,824.32 10,824.32 19-730-39-000 OLD GREENWOOD LLC NA 13,856.00 785,000.00 798,856.00 7,216.22 7,216.22 19-730-40-000 OLD GREENWOOD LLC NA 37,565.00 1,150,000.00 1,187,565.00 7,216.22 7,216.22 19-740-02-000 OLD GREENWOOD LLC 13125 LOOKOUT LOOP 191,199.00 0.00 191,199.00 62,975.27 29,699.84 19-740-05-000 OLD GREENWOOD LLC 12657 LOOKOUT LOOP 239,321.00 0.00 239,321.00 78,719.08 37,124.80 19-740-06-000 MORRISON JAMES W&KATHERINE TRSTES 13288 FAIRWAY DRIVE 329,504.00 1,632,000.00 1,961,504.00 3,183.62 3,183.62 19-740-07-000 PACWEST REAL ESTATE INVESTMENTS LLC 13292 FAIRWAY DRIVE 408,565.00 0.00 408,565.00 3,183.62 3,183.62 19-740-08-000 SANDY STEVEN H&MARTHA TRSTES 13320 FAIRWAY DRIVE 284,138.00 0.00 284,138.00 3,183.62 3,183.62 19-740-09-000 7TH HAVEN RESORTS LLC ETAL 13326 FAIRWAY DRIVE 360,000.00 1,160,000.00 1,520,000.00 3,183.62 3,183.62 19-740-10-000 CSP INC 13342 FAIRWAY DRIVE 438,600.00 1,805,400.00 2,244,000.00 3,183.62 3,183.62 19-740-11-000 AGARWAL NAVEEN ETAL 13370 FAIRWAY DRIVE 266,097.00 0.00 266,097.00 3,183.62 3,183.62 19-740-12-000 ERBES MICHAEL R TRSTE ETAL 13390 FAIRWAY DRIVE 266,097.00 0.00 266,097.00 3,183.62 3,183.62 MmIlFinancial Fiscal Year 2007/08 Annual Report Page 1 of 5 Truckee Donner PUD r Community Facilities District No. 03-1 (Old Greenwood) Charge Detail Report (Sorted by Assessor's Parcel Number, Assessor's2007108 Total PropertyOwner Situs Address Number Value Assessed Value Value Charge 19-740-13-000 LONG VICTORIA A ETAL 13414 FAIRWAY DRIVE 438,511.00 1,37800.00 1816511.00 3,183.62 3,183.62 19-740-14-000 ELDER DESMOND&ALISON M TRSTES 13442 FAIRWAY DRIVE 545,700.00 1,400,000.00 1:945:700.00 3,183.62 3,183.62 19-740-15-000 BOCKIUS BLAKE H&MARY LTRSTES 13466 FAIRWAY DRIVE 360,000.00 1,200,000.00 1,560,000.00 3,183.62 3,183.62 19-740-16-000 SABER PROPERTIES CA LLC 13490 FAIRWAY DRIVE 535.000.00 0.00 535,000.00 3,183.62 3,183.62 19-740-17-000 THOMASON JANE M 13510 FAIRWAY DRIVE 287,321.00 0.00 287,321.00 3,183.62 3,183.62 19-740-18-000 GAVIA JERRY M&JUDITH M TRSTES 13534 FAIRWAY DRIVE 355,000.00 0.00 355,000.00 3,183.62 3,183.62 19-740-19-000 REINIS MITCHELL N&TONI L TRSTES 13558 FAIRWAY DRIVE 287,321.00 0.00 287,321.00 3,183.62 3,183.62 19-740-20-000 WOLFF ROBERT S TRSTE ETAL 13580 FAIRWAY DRIVE 287,321.00 0.00 287,321.00 3,183.62 3,183.62 19-740-21-000 STRAW EZEKIEL A&SUSAN K TRSTES 13581 FAIRWAY DRIVE 257,182.00 0.00 257,182.00 3,183.62 3,183.62 19-740-22-000 BLUMENKRANZ MARK&RECIA K 13559 FAIRWAY DRIVE 389,462.00 0.00 389,462.00 3,183.62 3,183.62 19-740-23-000 GUNTER DARREN S&JENNIFER L TRSTES 13535 FAIRWAY DRIVE 320.218.00 265,000.00 585,218.00 3,183.62 3,183.62 19-740-24-000 WALLSTROM SCOTT M&CAROL A 13517 FAIRWAY DRIVE 297,668.00 785,000.00 1,082,668.00 3,183.62 3,183.62 19-740-25-000 BIRLEM GARY W&JANICE E 13495 FAIRWAY DRIVE 494,190.00 2,193,000.00 2,687,190.00 3,183.62 3,183.62 19-740-26-000 HIRAHARA BRIAN&LYN E 13469 FAIRWAY DRIVE 625,000.00 0.00 625,000,00 3,183.62 3,183.62 19-740-27-000 LEWIS STEVEN R&SHARON R ETAL 13445 FAIRWAY DRIVE 545,700.00 0.00 545,700.00 3,183.62 3,183.62 19-740-28-000 KELLY JANETTE A TRSTE 13411 FAIRWAY DRIVE 620,000.00 0.00 620,000.00 3,183.62 3,183.62 19-740-29-000 SHURMAN WILLIAM A&JENNIFER A 13389 FAIRWAY DRIVE 601,800.00 0.00 601,800.00 3,183.62 3,183.62 19-740-30-000 BORCICH JOHN M&DAGNY TRSTES 13365 FAIRWAY DRIVE 446,502.00 1,581,000.00 2,027,502.00 3,183.62 3,183.62 19-740-31-000 KRIEG JAMES C&MARY E TRSTES 13339 FAIRWAY DRIVE 647,700.00 0.00 647,700.00 3,183.62 3,183.62 19-740-32-000 WELLS WILLIAM S&ELKE H 13325 FAIRWAY DRIVE 561,000.00 0.00 561,000.00 3,183.62 3,183.62 19-740-33-000 SUMARAGA DOUGLAS L&ELEANOR M ETAL 13299 FAIRWAY DRIVE 476,505.00 200,000.00 676,505.00 3,183.62 3,183.62 19-740-34-000 HOUSE JAMES B TRSTE (50%) 13132 LOOKOUT LOOP 469,392.00 0.00 469,392.00 3,183.62 3,183.62 19-740-35-000 ROGERS MICHAEL 13128 LOOKOUT LOOP 488,951.00 195,000.00 683,951.00 3,183.62 3,183.62 19-740-36-000 SENNETT GLENN&ROBIN TRSTES 13122 LOOKOUT LOOP 561,000.00 0.00 561,000.00 3,183.62 3,183.62 19-740-37-000 CUTTS JOSEPH R&LYNN M TRSTES 13118 LOOKOUT LOOP 545,700.00 0.00 545,700.00 3,183.62 3,183.62 19-740-38-000 O'CONNELL JOHN P&MARY L TRSTES 13094 LOOKOUT LOOP 396,891.00 1,614,700.00 2,011,591.00 3,183.62 3,183.62 19-740-39-000 CADY CHRISTOPHER B&TAMI Z TRSTES 13058 LOOKOUT LOOP 525,000.00 0.00 525,000.00 3,183.62 3,183.62 19-740-40-000 LARSON SHELLY L ETAL 13028 LOOKOUT LOOP 550,000.00 0.00 550,000.00 3,183.62 3,183.62 19-740-41-000 THORNTON JAMES R&SHERRY A TRSTES 13006 LOOKOUT LOOP 580,380.00 225,000.00 805,380.00 3,183.62 3,183.62 19-740-42-000 LESSMAN ROGER W 12565 SETTLERS LANE 697,588.00 1,022,958.00 1,720,546.00 3,183.62 3,183.62 19-740-43-000 GIANULIAS JAMES C TRSTE 12553 SETTLERS LANE 672,009.00 0.00 672,009.00 3,183.62 3,183.62 19-740-44-000 PLUNKETT JAMES W&GERALDINE 12531 SETTLERS LANE 782,380.00 0.00 782,380.00 3,183.62 3,183.62 19-740-45-000 KARPEN EDITH 12511 SETTLERS LANE 810,900.00 0.00 810,900.00 3,183.62 3,183.62 19-740-46-000 BAUM DENNIS&PAMELA 12489 SETTLERS LANE 711,539.00 0.00 711,539.00 3,183.62 3,183.62 19-740-47-000 KITSON STEVEN R&SUSAN W TRSTES 12467 SETTLERS LANE 772,500.00 0.00 772,500.00 3,183.62 3,183.62 19-740-48-000 HOFMANN K H TRSTE 12447 SETTLERS LANE 636,724.00 0.00 636,724.00 3,183.62 3,183.62 19-740-49-000 STEVENS KENNETH V&DEBORAH A 12429 SETTLERS LANE 716,990.00 0.00 716,990.00 3,183.62 3,183.62 19-740-50-000 BOECK P K&KATHRYN M TRSTES 13121 LOOKOUT LOOP 892,500.00 0.00 892,500.00 3,183.62 3,183.62 19-740.51-000 REISER MICHAEL J ETAL NA 659,744.00 1,782,959.00 2,442,703.00 3,183.62 3,183.62 19-740-52-000 DUNDON THOMAS 13043 LOOKOUT LOOP 714,000.00 540,000.00 1,254,000.00 3,183.62 3,183.62 19-740-53-000 DUNDON THOMAS 13017 LOOKOUT LOOP 714,000.00 1,400,000.00 2,114,000.00 3,183.62 3,183.62 MuniFinancial Fiscal Year 2007/08 Annual Report Page 2 of 5 Truckee Donner PUD Community Facilities District No. 03-1 (Old Greenwood) Charge Detail Report (Sorted by Assessor's Parcel Number) Assessor's2007108 PropertyOwner Situs Address ChargeNumber Value Assessed Value Value 19-740-54-000 OLD GREENWOOD LLC 13227 FAIRWAY DRIVE 312,045.00 0.00 312,045.00 96,025.26 45,286.58 19-740-55-000 OLD GREENWOOD LLC 13087 FAIRWAY DRIVE 17,350.00 1,050,000.00 1,067,350.00 7,216.22 7,216.22 19-740-56-000 OLD GREENWOOD LLC 13121 FAIRWAY DRIVE 20,179.00 1,700,000.00 1,720,179.00 10,824.33 10,824.32 19-740-57-000 OLD GREENWOOD LLC 13147 FAIRWAY DRIVE 17.350.00 1,300,000.00 1,317,350.00 7,216.22 7,216.22 19-740-58-000 OLD GREENWOOD LLC ETAL 12540 LEGACY COURT 572,598.00 2,020,646.00 2,593,244.00 10,824.33 10,824.32 19-740-59-000 OLD GREENWOOD LLC ETAL 12570 LEGACY COURT 380,171.00 1,273,527.00 1,653,698.00 7,216.22 7,216.22 19-740-00-000 OLD GREENWOOD LLC ETAL 12588 LEGACY COURT 477,563.00 1,521,511.00 1,999,074.00 7,216.22 7,216.22 19-740-61-000 OLD GREENWOOD LLC ETAL 12596 LEGACY COURT 370,680.00 1,256,060.00 1,626,740.00 7,216.22 7,216.22 19-740-62-000 OLD GREENWOOD LLC ETAL 12601 LEGACY COURT 723,576.00 2,430,610.00 3,154,186.00 10,824.33 10,824.32 19-740-63-000 OLD GREENWOOD LLC ETAL 12593 LEGACY COURT 524,174.00 1,635,334.00 2,159,508.00 7,216.22 7,216.22 19-740-64-000 OLD GREENWOOD LLC ETAL 12585 LEGACY COURT 554,385.00 2,207,205.00 2,761,590.00 10,824.33 10,824.32 19-740-65-000 OLD GREENWOOD LLC ETAL 12595 LEGACY COURT 330,800.00 1,379,669.00 1,710,469.00 7,216.22 7,216.22 19-740-66-000 OLD GREENWOOD LLC ETAL 12557 LEGACY COURT 197,173.00 1,840,550.00 2,037,723.00 10,824.33 10,824.32 19-740-67-000 OLD GREENWOOD LLC ETAL 12533 LEGACY COURT 60,911.00 1,748,875.00 1,809,786.00 10,824.33 10,824.32 19-750-02-000 MCCORMICK GLENN&CHERYL TRSTE ETAL 13003 LOOKOUT LOOP 486,000.00 1,651,000.00 2,137,000.00 3,183.62 3,183.62 19-750-03-000 IRBY WAYLAND L JR&SHARILL R 12979 LOOKOUT LOOP 750,000.00 0.00 750,000.00 3,183.62 3,183.62 19-750-04-000 WORK DONALD J&JEAN A TRSTES 12822 LOOKOUT CIRCLE 749,700.00 0.00 749,700.00 3,183.62 3,183.62 19-750-05-000 SPENCER TODD D&MELISSA O TRSTES 12836 LOOKOUT CIRCLE 649,458.00 0.00 649,458.00 3,183.62 3,183.62 19-750-06-000 KONINIEC STEVEN 12850 LOOKOUT CIRCLE 724,200.00 0.00 724,200.00 3,183.62 3,183.62 19-750-07-000 AMOS JOHN P&SARA TRSTES 12864 LOOKOUT CIRCLE 612,000.00 0.00 612,000.00 3,183.62 3,183.62 19-750-08-000 PRESTON MICHAEL D&DEBORAH R TRSTES 12825 LOOKOUT LOOP 488,155.00 0.00 488,155.00 3,183.62 3,183.62 19-750-09-000 DIXON MICHAEL A&SHARON L TRSTES 12893 CALEB DRIVE 420,000.00 1,480,000.00 1,900,000.00 3,183.62 3,183.62 19-750-10-000 VERNA MICHAEL P&SHEILA M TRSTES 12885 CALEB DRIVE 443,584.00 0.00 443,584.00 3,183.62 3,183.62 19-750-11-000 DUNMORE SIDNEY D 12861 CALEB DRIVE 688,500.00 0.00 688,500.00 3,183.62 3,183.62 19-750-12-000 ISBELL STEVEN L&LUCY A 12837 CALEB DRIVE 423,421.00 0.00 423,421.00 3.183.62 3,183.62 19-750-13-000 SEIDLER JOSEPH A 12813 CALEB DRIVE 504,073.00 0.00 504,073.00 3,183.62 3,183.62 19-750-14-000 GOLDSTEIN KEITH M&MARY E 12789 CALEB DRIVE 504,073.00 0.00 504,073.00 3,183.62 3,183.62 19-750-15-000 GREASLEY TONY J 12765 CALEB DRIVE 312,524.00 0,00 312,524.00 3,183.62 3,183.62 19-750-16-000 FOLEY NANCY TRSTE 12741 CALEB DRIVE 498,351.00 0.00 498,351.00 3,183.62 3,183.62 19-750-17-000 SPRIGGS R SCOTT&LYNETTE S 12717 CALEB DRIVE 292,362.00 1,723,800.00 2,016,162.00 3,183.62 3,183.62 19-750-18-000 JARDINE ALLEN 12695 CALEB DRIVE 395,352.00 0.00 395,352.00 3,183,62 3,183.62 19-750-19-000 SANDERS TREVOR H&JENNIFER M ETAL 12666 CALEB DRIVE 216,485.00 0.00 216,485.00 3,183.62 3,183.62 19-750-20-000 SANDERS TREVOR H&JENNIFER M ETAL 12650 CALEB DRIVE 281,395.00 0.00 281,395.00 3,183.62 3,183.62 19-750-21-000 FONG DERRICK R&MICHELLE Y 12632 CALEB DRIVE 198,445.00 1,100,000.00 1,298,445.00 3,183.62 3,183.62 19-750-22-000 WTB PROPERTIES 12614 CALEB DRIVE 420,000.00 1,580,000.00 2,000,000.00 3,183.62 3,183.62 19-750-23-000 GOMEZ RICHARD L 12592 CALEB DRIVE 395,352.00 1,820,700.00 2,216,052.00 3,183.62 3,183.62 19-750-24-000 SUMMERS ALAN P&MICHELLE R 12570 CALEB DRIVE 419,220.00 0.00 419,220.00 3,183.62 3,1B3.62 19-750-25-000 FOUTS LANDSCAPE 12550 CALEB DRIVE 189,425.00 365,000.00 554,425.00 3,183.62 3,183.62 19-750-26-000 FOUTS LANDSCAPE 12526 CALEB DRIVE 202,955.00 0.00 202,955.00 3,183.62 3,183.62 19-750-27-000 VEECK RICHARD I&JANICE 12506 CALEB DRIVE 216,751.00 0.00 216,751.00 3,103.62 3,183.62 19-750-28-000 LEAR BARRY M&JOYCE L 12672 CALEB DRIVE 216,751.00 0.00 216,751.00 3,183.62 3,183.62 MunlFinancial Fiscal Year 2007/08 Annual Report Page 3 of 5 Truckee Donner PUD Community Facilities District No. 03-1 (Old Greenwood) Charge Detail Report (Sorted by Assessor's Parcel Number; Assessor's Parcel Land Assessed Structure Total Assessed 2007/08 Total : Property .• Max Tax Number • Value Value Charge 19-750-29-000 BIRKETT CHARLES K&IMELDA C TRSTES 12652 CALEB CIRCLE 397,800.00 0.00 397,800.00 3,183.62 3,183.62 19-750-31-000 BERGH JOSEPH C ETAL 12361 CALEB DRIVE 433,500.00 0.00 433,500.00 3,183.62 3,183.62 19-750-32-000 CARAVELLO AVIS M&STEPHEN R 12385 CALEB DRIVE 447,780.00 0.00 447,780.00 3,183.62 3,183.62 19-750-33-000 BORNSTEIN MARVIN T&IRIS J 12407 CALEB DRIVE 230,016.00 0.00 230,016.00 3,183.62 3,183.62 19-750-34-000 BROOKS LINCOLN A TRSTE ETAL 12427 CALEB DRIVE 230,016.00 0.00 230,016.00 3,183.62 3,183.62 19-750-35-000 BROOKS LINCOLN A TRSTE ETAL 12469 CALEB DRIVE 230,016.00 0.00 230,016.00 3,183.62 3,183.62 19-750-36-000 NUTI MICHAEL R&JILL S ETAL 12503 CALEB DRIVE 386,580.00 0.00 386,580.00 3,183.62 3,183.62 19-750-37-000 HARTMAN JOHN B&JUDITH A 12531 CALEB DRIVE 262,117.00 0.00 262,117.00 3,183.62 3,183.62 19-750-38-000 STRAW EZEKIEL A&SUSAN K TRSTES 12561 CALEB DRIVE 234,526.00 870,000.00 1,104,526.00 3,183.62 3,183.62 19-750-39-000 WOGAN JAMES R&PAULA J 12593 CALEB DRIVE 426,360.00 0.00 426,360.00 3,183.62 3,183.62 19-750-40-000 MAAS COREY S&KRISTIN S TRSTES 12752 CALEB DRIVE 252,036.00 1,734,000.00 1,986,036.00 3,183.62 3,183.62 19-750-41-000 ANDERSON DONALD ETAL 12778 CALEB DRIVE 397,800.00 80,000.00 477,800.00 3,183.62 3,183.62 19-750-42-000 JCJ LLC 12802 CALEB DRIVE 419,500.00 0.00 419,500.00 3,183.62 3,183.62 19-750-43-000 ANDERSON CHARLES G&CYNTHIA M 12820 CALEB DRIVE 207,465.00 0.00 207,465.00 3,183.62 3,183.62 19-750-45-000 WASLEY MARK J 12862 CALEB DRIVE 179,989.00 425,000.00 604,989.00 3,183.62 3,183.62 19-760-06-000 LUIS MICHAEL D&ROCHELLE M ETAL 12445 LOOKOUT LOOP 455,629.00 1,397,227.00 1,852,856.00 3,608.11 3,608.10 19-760-07-000 OLD GREENWOOD LLC ETAL 12465 LOOKOUT LOOP 80,988.00 840,000.00 920,988.00 3,608.11 3,608.10 19-760-08-000 OLD GREENWOOD LLC ETAL 12487 LOOKOUT LOOP 106,977.00 1,187,820.00 1,294,797.00 3,608.11 3,608.10 19-760-09-000 OLD GREENWOOD LLC ETAL 12507 LOOKOUT LOOP 65,628.00 840,000.00 905,628.00 3,608.11 3,608.10 19-760-10-000 FREEMAN WAYNE T&PATRICIA C 12638 CALEB CIRCLE 266,097.00 0.00 266,097.00 3,183.62 3,183.62 19-760-11-000 GAVIN JAMES A&KIM J TRSTES ETAL 12626 CALEB CIRCLE 469,200.00 0.00 469,200.00 3,183.62 3,183.62 19-760-12-000 MACFARLANE DIANA J 12466 CALEB DRIVE 473,382.00 0.00 473,382.00 3,183.62 3,183.62 19-760-13-000 MACFARLANE DIANAJ ETAL 12424 CALEB DRIVE 478,584.00 0.00 478,584.00 3,183.62 3,183.62 19-760-14-000 BEATY WILLIAM C&JUDITH A 12404 CALEB DRIVE 312,524.00 0.00 312,524.00 3,183.62 3,183.62 19-760-15-000 MARSHALL DON A&KATHLEEN D 12382 CALEB DRIVE 270,608.00 0.00 270,608.00 3,183.62 3,183.62 19-760-16-000 WASSELL DARREN 12360 CALEB DRIVE 370,000.00 0.00 370,000.00 3,183.62 3,183.62 19-760-17-000 ORZALLI RICHARD L&BETTY L TRSTES 12338 CALEB DRIVE 426,564.00 0.00 426,564.00 3,183.62 3,183.62 19-760-18-000 OLD GREENWOOD LLC ETAL NA 290,057.00 1,278,681.00 1,568,738.00 3,608.11 3,608.10 19-760-19-000 OLD GREENWOOD LLC ETAL NA 16,623.00 1,007,760.00 1,024,383.00 3,608.11 3,608.10 19-760-20-000 OLD GREENWOOD LLC ETAL NA 132,741.00 1,014,702.00 1,147,443.00 3,608.11 3,608.10 19-760-21-000 OLD GREENWOOD LLC ETAL NA 217,874.00 1,070,052.00 1,287,926.00 3,608.11 3,608.10 19-760-22-000 OLD GREENWOOD LLC ETAL NA 72,206.00 1,089,411.00 1,161,617.00 3,608.11 3,608.10 19-760-24-000 OLD GREENWOOD LLC ETAL NA 232,360.00 1,371,635.00 1,603,995.00 3,608.11 3,608.10 19-760-25-000 OLD GREENWOOD LLC ETAL NA 35,930.00 840,000.00 875,930.00 3,608.11 3,608.10 19-760-26-000 OLD GREENWOOD LLC ETAL NA 32.698.00 840,000.00 872,698.00 3.608.11 3,608.10 19-760-27-000 OLD GREENWOOD LLC ETAL NA 34,545.00 840,000.00 874,545.00 3,608.11 3,608.10 19-760-28-000 OLD GREENWOOD LLC ETAL NA 40,551.00 840,000.00 880,551.00 3,608.11 3,608.10 19-760-29-000 OLD GREENWOOD LLC ETAL NA 39,165.00 910,000.00 949,165.00 3,608.11 3,608.10 19-760-30-000 OLD GREENWOOD LLC ETAL NA 36,854.00 840,000.00 876,854.00 3,608.11 3,608.10 19-760-31-000 OLD GREENWOOD LLC ETAL NA 35,007.00 675,000.00 710,007.00 3,608.11 3,608.10 19-760-32-000 OLD GREENWOOD LLC ETAL NA 40,551.00 250,000.00 290,551.00 3,608.11 3,608.10 MunlFinancial Fiscal Year 2007/08 Annual Report Page 4 of 6 Truckee Donner PUD Community Facilities District No. 03-1 (Old Greenwood) Charge Detail Report (Sorted by Assessor's Parcel Number; Assessor'sProperty Owner Situs Address • Assessed Structure Total Assessed Max Tax 2007/08 Number19-760-33-000 OLD GREENWOOD LLC ETAL NA 32,698.00 760,000.00 792,698.00 3,608.11 3,608.10 19-940-02-000 OLD GREENWOOD LLC NA 29,451.00 0.00 29,451.00 25,718.91 12,129.32 19-940-04-000 RAN LLC NA 400,000.00 1,200,000.00 1,600,000.00 3,608.11 3,608.10 19-940-05-000 SABHLOK BOBBY O&NORA E TRSTES ETAL NA 545,000.00 1,000,000.00 1,545,000.00 3,608.11 3,608.10 19-940-06-000 APPLEBY FAMILY LTD PARTNERSHIP NA 360,750.00 1,043,000.00 1,403,750.00 3,608.11 3,608.10 19-940-07-000 BRAUSCH JEFFREY&KELLIANNE ETAL NA 550,000.00 1,000,000.00 1,550,000.00 3,608.11 3,608.10 19-940-08-000 WOLFE ROBERT&CAROL J NA 550,000.00 1,000,000.00 1,550,000.00 3,608.11 3,608.10 19-940-09-000 WAIS MICHAEL ETAL NA 287,750.00 800,000.00 1,087,750.00 3,608.11 3,608.10 19-940-10-000 VOLPE CONNIE TRSTE NA 385,000.00 1,115,000.00 1,500,000.00 3,608.11 3,608.10 19-940-11-000 DUNCAN BRADFORD C&CHRISTINE TRSTES NA 515,000.00 1,007,500.00 1,522,500.00 3,608.11 3,608.10 19-940-12-000 RIVA BLAKE L&JULI R NA 517,650.00 1,000,000.00 1,517,650.00 3,608.11 3,608.10 19-940-13-000 BERKOWITZ FRED ETAL NA 392,700.00 1,195,800.00 1,588,500.00 3,608.11 3,608.10 19-940-14-000 WHITEHEAD EDDIE L&LYNN S TRSTES NA 400,000.00 1,157,500.00 1,557,500.00 3,608.11 3,608A0 19-940-15-000 JOHNSON WILLIAM B&BELINDA J TRSTES NA 425,000.00 1,000,000.00 1,425,000.00 3,608.11 3,608.10 19-940-16-000 WENDEL ROBERT T DR&LAURA ETAL NA 425,000.00 950,000.00 1,375,000.00 3,608.11 3,608.10 19-940-17-000 ALLEN FAMILY INVESTMENTS LLC NA 400,000.00 957,500.00 1,357,500.00 3,608.11 3,608.10 19-940-18-000 BURKS NANALEE NA 341,176.00 800,000.00 1,141,176.00 3,600.11 3,608.10 Total: NA $66,395,334.00 $121,985,201.00 $188,380,535.00 $941,762.77 $802,563.90 Parcel Count: 181 1'1 Handbilled parcels are included in this Report. See Handbilled Tab for detailed Information. 1'1 Parcels with an"N"as a prefix indicate newly created parcels,for which secured roll information may not yet be available. MunlFinancial Fiscal Year 2007/08 Annual Report Page 5 of 5 Truckee Donner PUD ar 'p; Community Facilities District No. 04-1 (Gray's Crossing) Charge Detail Report (Sorted by Assessor's Parcel Number; Assessor's11 PropertyNumber(1) Owner Situs Address 19-370-24-000 GRAY'S STATION LLC 11495 PROSSER DAM ROAD $3,172,596.00 $0.00 $3,172,596.00 $933,014.07 $126,891.76 19-370-25-000 GRAY'S STATION LLC 11100 PROSSER DAM ROAD 2,953,100.00 0.00 2,953,100.00 868,572.22 118,127.54 19-370-26-000 GRAY'S STATION LLC 10510 SAN FRANCISCO COURT 3.221,302.00 0.00 3,221,302.00 947,313.85 128,836.56 19-370-32-000 GRAY'S STATION LLC NA 2,558,807.00 0.00 2,558,807.00 990,956.03 134,771.98 19-370-41-000 GRAY'S STATION LLC NA 2,629,464.00 0.00 2,629,464.00 1,155,310.62 157,124.54 19-410-33-000 VILLAGE AT GRAY'S CROSSING LP THE NA 3,426,037.00 564,000.00 3,990,037.00 379,408.39 51,600.28 19-410-39-000 TRUCKEE PACIFIC ASSOC NA 1,850,280.00 6,056,000.00 7,906,280.00 1,618,289.14 220,090.54 19-770-02-000 GRAY'S STATION LLC 11163 CHINA CAMP ROAD 994,710.00 0.00 994,710.00 274,110.03 37,279.50 .19-770-03-000 MARSHALL BRAD F ETAL 11054 CHINA CAMP ROAD 163,514.00 0.00 163,514.00 3,183.62 3,183.62 19-770-04-000 ENGEL KURT W&JOAN TRSTES 11072 CHINA CAMP ROAD 155,555.00 0.00 155,555.00 3,077.50 3,077.50 19-770-05-000 PLANT STEPHEN T&LAURIE H TRSTES 11092 CHINA CAMP ROAD 155,555.00 270,300.00 425,855.00 3,077.50 3,077.50 19-770-06-000 MANCUSO JULIA M 11106 CHINA CAMP ROAD 163,514.00 0.00 163,514.00 3,077.50 3,077.50 19-770-07-000 BISCHOFF JOHN&STACY ETAL 11122 CHINA CAMP ROAD 178,547.00 0.00 178,547.00 3,077.50 3,077.50 19-770-08-000 GRAY'S CROSSING NO 6 LLC 11140 CHINA CAMP ROAD 321,300.00 0.00 321,300.00 3,077.50 3,077.50 19-770-09-000 MARSHALL DON A ETAL 11160 CHINA CAMP ROAD 173,241.00 0.00 173,241.00 3,077.50 3,077.50 19-770-10-000 BROWN WILLIAM A&ELISABETH H 11184 CHINA CAMP ROAD 173,241.00 0.00 173,241.00 3,077.50 3,077.50 19-770-11-000 SCHOTZKO DAVID R TRSTE ETAL 11208 CHINA CAMP ROAD 171,000.00 0.00 171,000.00 3,077.50 3,077.50 19-770-12-000 AINGE DONALD&PAMELA 11226 CHINA CAMP ROAD 300,900.00 0.00 300,900.00 3,077.50 3,077.50 19-770-13-000 SEELIG FRANK M&FRANCES TRSTES ETAL 11242 CHINA CAMP ROAD 249,442.00 0.00 249,442.00 3,077.50 3,077.50 19-770-14-000 FRIEDRICHSEN PETE&AMANDA 11229 CHINA CAMP ROAD 301,716.00 0.00 301,716.00 3,077.50 3,077.50 19-770-15-000 ARDELL JOHN E III&SUSAN R TRSTES 11209 CHINA CAMP ROAD 173,241.00 0.00 173,241.00 3,077.50 3,077.50 19-770-16-000 HEIDENREICH GARY&KATHLELEN 11125 CHINA CAMP ROAD 158,208.00 0.00 158,208.00 2,971.38 2,971.38 19-770-17-000 ROSEN AARON D 11101 CHINA CAMP ROAD 291,312.00 0.00 291,312.00 2,971.38 2,971.38 19-770-18-000 SHIPIRO A HORTON&ELIZABETH TRSTES 11083 CHINA CAMP ROAD 158,208.00 0.00 158,208.00 2,971.38 2,971.38 19-770-19-000 WALLSTRUM CASSANDRA ETAL 11063 CHINA CAMP ROAD 160,861.00 0.00 160,861.00 2,971.38 2,971.38 19-780-01-000 LU HOT 11258 CHINA CAMP ROAD 208,615.00 0.00 208,615.00 3,183.62 3,183.62 19-780-02-000 KERN DOUGLAS&JANIS M K 11274 CHINA CAMP ROAD 208,615.00 0.00 208,615.00 3,183.62 3.183.62 19-780-03-000 SUMARAGA DOUGLAS L&ELEANOR M ETAL 11290 CHINA CAMP ROAD 208,615.00 0.00 208,615.00 3,183.62 3,183.62 19-780-04-000 JONES HOWARD C&DIANNE TRSTES ETAL 11306 CHINA CAMP ROAD 245,430.00 0.00 245,430.00 3,183.62 3,183.62 19-780-05-000 CCI MILLER LP 11312 CHINA CAMP ROAD 322,524.00 0.00 322,524,00 3,395.87 3,395.86 19-780-06-000 BARSTEN JANA L&GREGORY S TRSTES 11636 COBURN DRIVE 238,683.00 0.00 238,683.00 3,183.62 3,183.62 19-780-07-000 DORSEY ROBERT L&JOYCE E 10701 LABELLE COURT 269,634.00 0.00 269,634.00 3,501.99 3,501.98 19-780-08-000 SANBAR PROPERTIES LLC 10751 LABELLE COURT 259,022.00 0.00 259,022.00 3,289.74 3,289.74 19-780-09-000 ERBES MICHAEL R ETAL 10769 LABELLE COURT 279,362.00 0.00 279,362.00 3,183.62 3,183.62 19-780-10-000 MARICH INVESTMENTS LLC 10789 LABELLE COURT 274,056.00 0.00 274,056.00 3,289.74 3,289.74 19-780-11-000 TWO BLACK DOGS LLC 10801 LABELLE COURT 290,700.00 0.00 290,700.00 3,077.50 3,077.50 19-780-12-000 STEVENS KENNETH V&DEBORAH A 10811 LABELLE COURT 259,022.00 0.00 259,022.00 3,183.62 3,183.62 19-780-13-000 TWO BLACK DOGS LLC 10810 LABELLE COURT 315,000.00 0.00 315,000.00 3,1133.62 3,183.62 19-780-14-000 COWIE PAUL J&NANCY J ETAL 10800 LABELLE COURT 310,975.00 0.00 310,975.00 3,183.62 3,183.62 19-780-15-000 NOUROT ALEX J&CHRISTINE M 10788 LABELLE COURT 338,130.00 0.00 338,130.00 3,289.74 3,289.74 19-780-16-000 MORRISON JAMES W&K S TRSTES ETAL 10768 LABELLE COURT 264,328.00 0.00 264,328.00 3,183.62 3,183.62 MunlFinancial Fiscal Year 2007/08 Annual Report Page 1 of 8 Truckee Donner PUD Community Facilities District No. 04-1 (Gray's Crossing) Charge Detail Report (Sorted by Assessor's Parcel Number; Assessor's Parcel Land Assessed Structure Total Assessed 11 1: Total PropertyNumber Owner Situs Address 19-780-17-000 DAUL JOHN W&MARGARET W TRSTES ETAL 10750 LABELLE COURT 315,000.00 0.00 315,000.00 3,289.74 3,289.74 19-780-18-000 RPR FAMILY INVESTMENTS ETAL 11756 COBURN DRIVE 268,750.00 0.00 268,750.00 3,289.74 3,289.74 19-780-19-000 PACE WILLIAM B&BETSY R TRSTES 11330 CHINA CAMP ROAD 253,716.00 0.00 253,716.00 3,183.62 3,183.62 19-780-20-000 DELARROZ MANUEL&JUANITA 11352 CHINA CAMP ROAD 253,716.00 0.00 253,716.00 3,289.74 3,289.74 19-780-21-000 SELTZ THOMAS E&NORMA J TRSTES 11400 CHINA CAMP ROAD 253,716.00 0.00 253,716.00 3,183.62 3.1 B3.62 19-780-22-000 TOWERY REID A TRSTE ETAL 11417 CHINA CAMP ROAD 203,309.00 0.00 203,309.00 3,077.50 3,077.50 19-780-23-000 SCHLENKER GARY E&KAREN 1 TRSTES 11397 CHINA CAMP ROAD 202,357.00 0.00 202,357.00 3,077.50 3,077.50 19-780-24-000 LAPOINT ERIKA 11383 CHINA CAMP ROAD 208,615.00 0.00 208,615.00 3,077.50 3,077.50 19-780-25-000 LOZOVATSKIY YAKOV&LARISA 11365 CHINA CAMP ROAD 271,320.00 0.00 271,320.00 3,077.50 3,077.50 19-780-26-000 BARRAS ARNE ETAL 11349 CHINA CAMP ROAD 198,887.00 0.00 198,887.00 3,077.50 3,077.50 19-780-27-000 ROGERS BRIAN&KATHERINE 11333 CHINA CAMP ROAD 295,800.00 0.00 295,800.00 3,077.50 3,077.50 19-780-28-000 NETHERSOLE MICHAEL C ETAL 11315 CHINA CAMP ROAD 227,743.00 168,300.00 396,043.00 3,077.50 3,077.50 19-780-29-000 BROWN JEFFREY W&LAURA A ETAL 11301 CHINA CAMP ROAD 198,887.00 0.00 198,887.00 3,183.62 3,183.62 19-790-02-000 TAYLOR GINGER A TRSTE 11569 CHINA CAMP ROAD 299,702.00 0.00 299,702.00 3,077.50 3,077.50 19-790-03-000 BARRIELLE SYLVAIN 11555 CHINA CAMP ROAD 304,124.00 0.00 304,124.00 3.1B3.62 3,183.62 19-790-04-000 POWERPLAY PROPERTIES LLC 11539 CHINA CAMP ROAD 304,124.00 0.00 304,124.00 3,183.62 3,183.62 19-790-05-000 TRUCKEE RIVER PARTNERS 11523 CHINA CAMP ROAD 304,124.00 0.00 304,124.00 3,077.50 3,077.50 19-790-06-000 VAILLE DAVID A&DESIREE A 11509 CHINA CAMP ROAD 322,419.00 0.00 322,419.00 3,077.50 3,077.50 19-790-07-000 JENKINS ROBERT T&VIRGINIA T TRSTES 11493 CHINA CAMP ROAD 274,056.00 0.00 274,056.00 3,077.50 3,077.50 19-790-08-000 UPSHAW EUGENE JR&THERESA 11471 CHINA CAMP ROAD 274,056.00 0.00 274,056.00 3,395.87 3,395.86 19-790-09-000 NERLOVE GERALD ETAL 11464 CHINA CAMP ROAD 274,056.00 0.00 274,056.00 3,077.50 3,077.50 19-790-10-000 BRUZZONE DAVID&CORINNE TRSTES ETAL 11478 CHINA CAMP ROAD 283,784.00 0.00 283,784.00 3,077.50 3,077.50 19-790-11-000 LEVINS ALAN S&SHARON TRSTES ETAL 11516 CHINA CAMP ROAD 304,124.00 0.00 304,124.00 3,289.74 3,289.74 19-790-12-000 DAVIS THOMAS D&JUDITH J TRSTES 11574 CHINA CAMP ROAD 304,124.00 0.00 304,124.00 3,289.74 3,289.74 19-790-13-000 KOSMOWSKI JESSICA F&ERIC G TRSTES 11608 CHINA CAMP ROAD 285,000.00 1,340,000.00 1,625,000.00 3,077.50 3,077.50 19-790-14-000 NETHERSOLE MICHAEL C ETAL 11628 CHINA CAMP ROAD 340,106.00 350,000.00 690,106.00 3,077.50 3,077.50 19-790-15-000 CORY JAY 11644 CHINA CAMP ROAD 170,000.00 0.00 170,000.00 3,183.62 3,183.62 19-790-16-000 73 GRAYS CROSSING LLC 11759 COBURN DRIVE 264,328.00 0.00 264,328.00 3,077.50 3,077.50 19-790-17-000 ROSEN AARON ETAL 11729 COBURN DRIVE 264,328.00 0.00 264,328.00 3,077.50 3,077.50 19-790-18-000 SABER PROPERTIES CA LLC 11711 COBURN DRIVE 254,065.00 0.00 254,065.00 3,077.50 3,077.50 19-790-19-000 GEE JAMES&FRANCES TRSTES 11671 COBURN DRIVE 264,328.00 0.00 264,328.00 3,501.99 3,501.98 19-790-20-000 MARICH INVESTMENTS LLC 11422 CHINA CAMP ROAD 253,716.00 0.00 253,716.00 3,077.50 3,077.50 19-790-21-000 MESKIMEN KAREN L&JAMES L 11436 CHINA CAMP ROAD 253,716.00 0.00 253,716.00 3,077.50 3,077.50 19-790-22-000 PACKARD AMY P&EDWARD A 10576 BRICKELL COURT 301,716.00 0.00 301,716.00 3,289.74 3,289.74 19-790-23-000 GRAY'S STATION LLC 10573 BRICKELL COURT 277,440.00 0.00 277,440.00 3,289.74 3,289.74 19-790-24-000 DICKERMAN DANIEL T&PAMELA J 10567 BRICKELL COURT 223,649.00 0.00 223,649.00 3,183.62 3,183.62 19-790-25-000 TAHOE BUILDER LLC 10551 BRICKELL COURT 290,700.00 0.00 290,700.00 3,183.62 3,183.62 19-790-26-000 MEINYER DENNIS R&ERIN K 10541 BRICKELL COURT 198,003.00 0.00 198,003.00 2,971.38 2,971.38 19-790-27-000 POPHAM BETH ETAL 11433 CHINA CAMP ROAD 198,887.00 0.00 198,887.00 3,183.62 3,183.62 19-800-01-000 FORNI JAMES J 11762 COBURN DRIVE 294,396.00 0.00 294,396.00 3,289.74 3,289.74 19-800-02-000 HORN MICHAEL P&SANDRA J 11728 CHINA CAMP ROAD 299,701.00 0.00 299,701.00 3,077.50 3,077.50 MunlFinancial Fiscal Year 2007/08 Annual Report Page 2 of 8 Truckee Donner PUD Community Facilities District No. 04-1 (Gray's Crossing) mom Charge Detail Report (Sorted by Assessor's Parcel Number; Assessor'sr0 0: Total Property •• Max Tax Number19-800-03-000 ALDER CREEK INVESTMENTS LLC 11746 CHINA CAMP ROAD 297449.00 185,000.00 482,049.00 3,077.50 3,077.50 19-800-04-000 MCGEE OTIS JR ETAL 11768 CHINA CAMP ROAD 291,743.00 1,030,000.00 1,321,743.00 3,183.62 3,183.62 19-800-05-000 STEVENS KENNETH V&DEBORAH A 11776 CHINA CAMP ROAD 279,362.00 0.00 279,362.00 2,971.38 2,971.38 19-800-06-000 FOUTS LANDSCAPE 11777 CHINA CAMP ROAD 299,702.00 0.00 299,702.00 2,971.38 2,971.38 19-800-07-000 BROOKS JONI J 11767 CHINA CAMP ROAD 304,124.00 0.00 304,124.00 3,077.50 3,077.50 19-800-08-000 KILLEN JOHN ETAL 11759 CHINA CAMP ROAD 360,000.00 0.00 360,000.00 3,183.62 3,183.62 19-800-09-000 BRENT A MASON JR 11737 CHINA CAMP ROAD 314,736.00 0.00 314,736.00 3,183.62 3,183.62 19-800-10-000 BLEFARI EUGENE A TRSTE 11719 CHINA CAMP ROAD 314,736.00 0.00 314,736.00 3,077.50 3,077.50 19-800-11-000 KSC INVESTMENT GROUP LLC 11699 CHINA CAMP ROAD 329,770.00 0.00 329,770.00 3,077.50 3,077.50 19-800-12-000 POWERPLAY PROPERTIES LLC 11820 COBURN DRIVE 335,076.00 0.00 335,076.00 3,395.87 3,395.86 19-800-13-000 SEELIG FRANK M&FRANCES TRSTES ETAL 11830 COBURN DRIVE 332,061.00 0.00 332,061.00 3,183.62 3,183.62 19-800-14-000 FOUTS LANDSCAPE 11848 COBURN DRIVE 304,124.00 0.00 304,124.00 3,077.50 3,077.50 19-800-15-000 SUMARAGA DOUGLAS L&ELEANOR M ETAL 11874 COBURN DRIVE 314,736.00 0.00 314,736.00 3,289.74 3,289.74 19-800-16-000 IFLAND GARY R TRSTE ETAL 11900 COBURN DRIVE 319,158.00 0.00 319,158.00 3,183.62 3,183.62 19-800-17-000 LAMBIOTTE JAY&ANNA 11910 COBURN DRIVE 310,371.00 221,340.00 531,711.00 3,183.62 3,183.62 19-800-18-000 47 GRAY'S CROSSING LLC 11920 COBURN DRIVE 336,844.00 0.00 336,844.00 3,183.62 3,183.62 19-800-19-000 LESLIE RUSSELL E&LAURA A TRSTES 11919 COBURN DRIVE 447,372.00 0.00 447,372.00 3,501.99 3,501.98 19-800-20-000 MARYMOUNT GRAYS X LLC 11893 COBURN DRIVE 350,109.00 0.00 350,109.00 3,289.74 3,289.74 19-800-21-000 CSP INC 11881 COBURN DRIVE 347,456.00 0.00 347,456.00 3,183.62 3,183.62 19-800-22-000 CSP INC 11863 COBURN DRIVE 339,497.00 0.00 339,497.00 3,077.50 3,077.50 19-800-23-000 HJ HOLDINGS LLC 11851 COBURN DRIVE 332,891.00 0.00 332,891.00 3,077.50 3,077.50 19-800-24-000 MANLEY GERARD&TAMI 11835 COBURN DRIVE 356,061.00 0.00 356,061.00 3,077.50 3,077.50 19-800-25-000 DELARROZ MANUEL&JUANITA 11657 CHINA CAMP ROAD 319,158.00 0.00 319,158.00 3,289.74 3,289.74 19-900-26-000 BRANDT RYAN D&MARI T 11631 CHINA CAMP ROAD 289,090.00 0.00 289,090.00 3,183.62 3,183.62 19-800-27-000 BENTHAM JACK E ETAL 11607 CHINA CAMP ROAD 289,090.00 0.00 289,090.00 3,183.62 3,183.62 19-800-28-000 COMMENDATORE JIM&CAROL 11585 CHINA CAMP ROAD 294,396.00 0.00 294,396.00 3,183.62 3,183.62 19-800-29-000 LACY DEAN R&KAREN 11660 CHINA CAMP ROAD 274,056.00 0.00 274,056.00 3,183.62 3,183.62 19-840-01-000 STUART CHRISTOPHER ETAL NA 339,150.00 0.00 339,150.00 3,979.53 3,979.52 19-840-02-000 GARIBALDI ALBERT D&DEANNA C NA 339,150.00 0.00 339,150.00 3,979.53 3,979.52 19-840-03-000 HAGAN KRISTINA M ETAL NA 339,150.00 0.00 339,150.00 3,846.88 3,846.88 19-840-04-000 DANA MICHELLE D ETAL NA 339,150.00 0.00 339,150.00 3,979.53 3,979.52 19-840-05-000 DAVOUDI SHAHLA TRSTE NA 314,925.00 0.00 314,925.00 3,714.23 3,714.22 19-840-06-000 BLAKE MICHAEL A&KELLEY D NA 298,350.00 0.00 298,350.00 3,846.88 3,846.88 19-840-07-000 MCGIVERN JAMES W SR&ELAINE NA 290,700.00 0.00 290,700.00 3,846.88 3,846.88 19-840-08-000 WOOD ANDREE L NA 290,700.00 0.00 290,700.00 3,979.53 3,979.52 19-840-09-000 GRAY'S STATION LLC NA 130,782.00 0.00 130,782.00 3,979.53 3,979.52 19-840-10-000 GRAY'S STATION LLC NA 130,782.00 0.00 130,782.00 3,979.53 3,979.52 194M-11-000 GRAY'S STATION LLC NA 139,332.00 0.00 139,332.00 3,979.53 3,979.52 19-840-12-000 GRAY'S STATION LLC NA 139,332.00 0.00 139,332.00 4,112.18 4,112.18 19-840-13-000 GRAY'S STATION LLC NA 139,332.00 0.00 139,332.00 4,112.18 4,112.18 19-840-14-000 GRAY'S STATION LLC NA 136,332.00 0.00 136,332.00 4,112.18 4,112.18 MuniFinancial Fiscal Year 2007/08 Annual Report Page 3 of 8 Truckee Donner PUD Community Facilities District No. 04-1 (Gray's Crossing) Charge Detail Report (Sorted by Assessor's Parcel Number) Assessor's Parcel . . 11 Property • •. Max Tax Number Value Assessed Value Value Charge 19-840-15-000 GRAYS STATION LLC NA 136,332.00 0,00 136,332.00 3,846.88 3,846.88 19-840-16-000 RYE BRIAN J&DAWN C NA 411,825.00 0.00 411,825.00 3,846.88 3,846.88 19-840-17-000 CGL ENTERPRISES LLC NA 411,825.00 0.00 411,825.00 3,846.88 3,846.88 19-840-18-000 GRAY'S STATION LLC NA 144,881.00 0.00 144,881.00 3,846.88 3,846.88 19-840-19-000 GRAY'S STATION LLC NA 144,881.00 0.00 144,881.00 3,846.88 3,846.88 19-840-20-000 BORRIS JONAH NA 413,100.00 0.00 413,100.00 3,846.88 3,846.88 19-840-21-000 MALONEY JOEL A&LESLIE NA 405,000.00 0.00 405,000.00 3,846.88 3,846.88 19-840-22-000 POPE BRIAN J&VICTORIA L TRSTES NA 436,050.00 0.00 436,050.00 3,846.88 3,846.88 19-840-23-000 FRIEDRICHSEN PETE&AMANDA ETAL NA 325,125.00 0.00 325,125.00 3,946.88 3,846.88 19-840-24-000 RIDGEWOOD ENTERPRISES LLC NA 325,125.00 175,000.00 500,125.00 3,846.88 3,846.88 19-840-25-000 CADY CHRISTOPHER B&TAMI Z TRSTES NA 325,125.00 0,00 325,125.00 3,846.88 3,846.88 19-840-26-000 ARDELL JOHN III&SUSAN TRSTES ETAL NA 325,125.00 0.00 325,125.00 3,979.53 3,979.52 19-840-27-000 RIDGEWOOD ENTERPRISES LLC NA 325,125.00 0.00 325,125.00 3,979.53 3,979.52 19-840-28-000 PETERSON ERIC O&PAMELA J NA 363,375.00 0.00 363,375.00 3,846.88 3,846.88 19-840-29-000 OMALEKI SAMUEL L ETAL NA 363,375.00 0.00 363,375.00 3,846.88 3,846.88 19-840-30-000 GRUNDMEIER DAVID A&DEBBIE L NA 363,375.00 0.00 363,375.00 4,112.18 4,112.18 19-850-02-000 GRAY'S STATION LLC NA 167,599.00 0.00 167,599.00 3,979.53 3,979.52 19-850-03-000 CARR DONNELL B TRSTE NA 498,525.00 0.00 498,525.00 3,979.53 3,979.52 19-850-04-000 ZACHARY DAVID K NA 498,525.00 0.00 498,525.00 3,979.53 3,979.52 19-850-05-000 GRAY'S STATION LLC NA 160,032.00 0.00 160,032.00 3,979.53 3,979.52 19-850-06-000 MAERCZ UWE&KATRIN NA 563,040.00 0.00 563,040.00 3,979.53 3,979.52 19-850-07-000 GRAY'S STATION LLC NA 197,175.00 0.00 197,175.00 3,979.53 3,979.52 19-850-08-000 RIDGEWOOD ENTERPRISES LLC NA 94,630.00 0.00 94,630.00 3,979.53 3,979.52 19-850-09-000 TOMASINI STEVEN&MICHELLE NA 411,060.00 0.00 411,060.00 3,846.88 3,846.88 19-850-10-000 MORAN TIMOTHY D ETAL NA 436,050.00 0.00 436,050.00 3,846.88 3,846.88 19-850-11-000 ROCKY RIDGE PROPERTIES LLC NA 394,485.00 0.00 394,485.00 3,846.88 3,846.88 19-850-12-000 GANN SEAN&LYNDA ETAL NA 411,825.00 0.00 411,825.00 3,846.88 3,846.88 19-850-13-000 TELFORD ALAN D&CHRISTINE M NA 368,475.00 0.00 368,475.00 3,979.53 3,979.52 19-850-14-000 H J HOLDINGS LLC NA 325,125.00 0.00 325,125.00 3,846.88 3,846.88 19-850-15-000 H J HOLDINGS LLC NA 325,125.00 0.00 325,125.00 3,846.88 3,846.88 19-850-16-000 COOPER JEFFERY J&KATHRYN NA 363,375.00 0.00 363,375.00 3,846.88 3,846.88 19-850-17-000 NARVICK GREG R&DANIELLE M NA 325,125.00 0.00 325,125.00 4,244.83 4,244.82 19-850-18-000 RIDGEWOOD ENTERPRISES LLC NA 325,125.00 0.00 325,125.00 3,979.53 3,979.52 19-850-19-000 SULLIVAN PATRICK E&CECELIA M NA 325,125.00 0.00 325,125.00 3,846.88 3,846.88 19-850-20-000 KELLY WILLIAM R ETAL NA 325,125.00 50,000.00 375,125.00 3,846.88 3,846.88 19-850-21-000 LONG VICTORIA ETAL NA 325,125.00 0.00 325,125.00 3,646.86 3,846.88 19-850-22-000 PACWEST REAL ESTATE INVESTMENTS LLC NA 303,450.00 0.00 303,450.00 3,846.88 3,846.88 19-850-23-000 HARRIS KEN&PAMELA S TRSTES NA 303,450.00 0.00 303,450.00 3,846.88 3,846.88 19-850-24-000 STEVENS KENNETH&DEBORAH TRSTE ETAL NA 303,450.00 0.00 303,450.00 3,846.88 3,846.88 19-850-25-000 SELTZ THOMAS E&NORMA J ETAL NA 303,450.00 0.00 303,450.00 3,846.88 3,846.88 19-850-26-000 JOHNSON ROBERT A&ELAINE D TRSTES NA 303,450.00 0.00 303,450.00 3,846.88 3,846.88 MuniFinancial Fiscal Year 2007/08 Annual Report Page 4 of 8 Truckee Donner PUD Community Facilities District No. 04-1 (Gray's Crossing) Charge Detail Report (Sorted by Assessor's Parcel Number), Assessor's • 11 1Total PropertyNumber .. 19-850-27-000 DELARROZ MANUEL M&JUANITA L NA 303,450.00 0.00 303,450.00 3,979.53 3,979.52 19-860-02-000 POLAND WILLIAM F&LYNN E TRSTES NA 581,400.00 0.00 581,400.00 4,112.18 4,112.18 19-860-03-000 GRAY'S STATION LLC NA 196,274.00 0.00 196,274.00 4,244.83 4.244.82 19-860-04-000 MOODY MARLENE&DOUGLAS W NA 541,875.00 0.00 541,875.00 4,244.83 4,112.18 19-860-05-000 RPR FAMILY INVESTMENTS ETAL NA 541,875.00 0.00 541,875.00 4,112.18 4,112.18 19-860-06-000 O'CONNELL JOHN P&MARY L TRSTES NA 520,200.00 110,000.00 630,200.00 3,979.53 4,112.18 19-060-07-000 SCHERER RICHARD&MELANIE ETAL NA 520,200.00 0.00 520,200.00 3,979.53 3,979.52 19-860-08-000 DUNDON THOMAS&VERUSCHKA NA 541,875.00 0.00 541,875.00 4,112.18 4,112.18 19-860-09-000 SEB LAND HOLDINGS LLC NA 563,550.00 0.00 563,550.00 4,112.18 4,112.18 19-860-10-000 GRAY'S STATION LLC NA 144,881.00 0.00 144,881.00 3,846.88 3,946.88 19-860-11-000 HENRY JEANNINE A&WILLIAM M NA 436,050.00 0.00 436,050.00 3,846.88 3,846.88 194860-12-000 NJO MICHAEL A&TIFFANY M NA 368,475.00 0.00 368,475.00 3,846.88 3,846.88 19-860-13-000 MCGAUGHEY SANDRA M NA 368,475.00 0.00 368,475.00 3,846.88 3,846.88 19-860-14-000 POWERPLAY PROPERTIES LLC NA 368,475.00 0.00 368,475.00 3,846.88 3,846.88 19-860-15-000 KERN DOUG&JANIS M K NA 368,475.00 0.00 368,475.00 3,846.88 3,046.88 19-860-16-000 RIDGEWOOD ENTERPRISES LLC NA 368,475.00 0.00 368,475.00 3,846.88 3,846.88 19-860-17-000 RIDGEWOOD ENTERPRISES LLC NA 94,630.00 0.00 94,630.00 3,979.53 3,979.52 19-860-18-000 WATSON MATTHEW K NA 368,475.00 0.00 368,475.00 3,979.53 3,979.52 19-860-19-000 DRYSEN HELEN P TRSTE ETAL NA 411,825.00 0.00 411,825.00 3,979.53 3,979.52 19-860-20-000 CASSANI JOHN J&STARIA A NA 411,825.00 0.00 411,825.00 3,979.53 3,979.52 19-870-02-000 DELARROZ MANUEL M&JUANITA L NA 498,525.00 0.00 498,525.00 4,112.18 4,112.18 19-870-03-000 ROCKY RIDGE PROPERTIES LLC NA 533,715.00 0.00 533,715.00 4,112.18 4,112.18 19-870-04-000 ROCKY RIDGE PROPERTIES LLC NA 533,715.00 0.00 533,715.00 4,244.83 4,244.82 19-870-05-000 GRAY'S STATION LLC NA 197,175.00 0.00 197,175.00 4,377.48 4,377.48 19-870-06-000 GRAY'S STATION LLC NA 197,175.00 0.00 197,175.00 4,377.48 4,377.48 19-870-07-000 GRAY'S STATION LLC NA 197,175.00 0.00 197,175.00 4,244.83 4,244.82 19-870-08-000 HAU THOMAS V ETAL NA 98,233.00 0.00 98,233.00 3,979.53 3,846.88 19-870-09-000 NIVEN DRAKE&NANNETTE NA 98,233.00 0,00 98,233.00 3,979.53 3,979.52 19-870-10-000 DERAKSHANDEH DARYOUSH&ELIKA ETAL NA 339,150.00 0.00 339,150.00 3,846.88 3,846.88 19-870-11-000 KELLY JULIAN A SR&SANDRA D NA 339,150.00 0.00 339,150.00 3,846.88 3,846.88 19-870-12-000 CIVJAN NEAL NA 339,150.00 0.00 339,150.00 3,979.53 3,846.88 19-870-13-000 KELLY JULIAN A SR ETAL NA 339,150.00 0.00 339,150.00 3,846.88 3,846.88 19-870-14-000 BLOOM JEFFREY M&CHRISTINA L NA 338,640.00 0.00 338,640.00 3,846.88 3,846.88 19-870-15-000 WEISBROD JAY&BARBARA NA 321,300.00 0.00 321,300.00 3,979.53 3,979.52 19-870-16-000 DISBROW TODD C NA 321,300.00 0.00 321,300.00 3,846.88 3,846.88 19-870-17-000 JACKSON ELI H NA 325,125.00 0.00 325,125.00 4,244.83 4,244.82 19-870-18-000 SUMMERS ALAN P&MICHELLE R NA 339,150.00 0.00 339,150.00 3,846.88 3,846.88 19-870-19-000 BOCKIUS BLAKE H&MARY L TRSTES NA 339,150.00 0.00 339,150.00 3,846.88 3,846.88 19-870-20-000 RIDGEWOOD ENTERPRISES LLC NA 77,931.00 0.00 77,931.00 3,846.88 3,846.88 19-870-21-000 RIDGEWOOD ENTERPRISES LLC NA 83,497.00 0.00 83,497.00 3,979.53 3,979.52 19-870-22-000 HUGHES ROGER M&ROBERTA K TRSTES NA 363,375.00 375,000.00 738,376.00 3,846.88 3,846.88 MunlFinancial Fiscal Year 2007/08 Annual Report Page 5 of 8 Truckee Donner PUD � " Community Facilities District No. 04-1 (Gray's Crossing) Charge Detail Report (Sorted by Assessor's Parcel Number; Assessor's • Structure Total Assessed 2007/08 PropertyNumber 0� Owner Situs Address 19-870-23-000 PRUETT BRADLEY A&DIANA L V ETAL NA 387,600.00 0.00 387,600.00 3,846.88 3,B46.88 19-870-24-000 PERILLI RICHARD A&GRETCHEN L NA 387,600.00 0.00 387,600.00 3,979.53 3,979.52 19-870-25-000 PRUETTING CHRISTOPHER J TRSTE ETAL NA 387,600.00 0.00 387,600.00 3,979.53 3,979.52 19-870-26-000 GREGOIRE MICHAEL P&HOLLY L TRSTES NA 325,125.00 0.00 325,125.00 3,979.53 3,846.88 19-870-27-000 FOUTS DONALD L NA 325,125.00 0.00 325,125.00 3,979.53 3,979.52 19-870-28-000 CRUMP CHRISTOPHER&EVANGELITA TRSTE NA 325,125.00 0.00 325,125.00 3,979.53 3,979.52 19-870-29-000 GILMOUR STEVE&DIANE NA 325,125.00 0.00 325,125.00 3,979.53 3,979.52 19-870-30-000 KRAMER KEVIN R ETAL NA 303,450.00 0.00 303,450.00 3,979.53 3,846.88 19-870-31-000 WTB PROPERTIES LLC NA 303,450.00 0.00 303,450.00 3,979.53 3,979.52 19-870-32-000 HEIDENREICH GARY NA 303,450.00 0.00 303,450.00 3,979.53 3,979.52 19-870-33-000 HEIDENREICH GARY NA 303,450.00 0.00 303,450.00 3,979.53 3,979.52 19-870-34-000 MULLINS LORETTA ETAL NA 303,450.00 0.00 303,450.00 3,846.88 3,B46.88 19-870-35-000 BHOLA MARGARET A&RAVI TRSTES ETAL NA 303,450.00 0.00 303,450.00 3,846.88 3,846.88 19-870-06-000 MMTW LLC NA 325,125.00 0.00 325,125.00 3,979.53 3,979.52 19-870-37-000 ROGERS BRIAN K&KATHERINE H TRSTES NA 325,125.00 0.00 325,125.00 3,979.53 3,979.52 19-870-08-000 HARRIS KEN&PAMELA S TRSTES NA 325,125.00 0.00 325,125.00 3,979.53 3,979.52 19-870-39-000 DELARROZ MANUEL M&JUANITA L NA 325,125.00 0.00 325,125.00 3,846.88 3,846.88 19-880-01-000 GRAY'S STATION LLC NA 237,922.00 0.00 237,922.00 4,244.83 4,244.82 19-880-02-000 HOURIGAN PATRICK&AILEEN NA 580,000.00 0.00 580,000.00 4,377.48 4,377.48 19-880-03-000 GRAYS STATION LLC NA 221,822.00 0.00 221,822.00 4,244.83 4,112.18 19-880-04-000 CASEY DEBORAH A&HENRY D NA 176,823.00 0.00 176,823.00 4,244.83 4,244.82 19-880-05-000 FERSON/SCHERMAN FAMILY LLC ETAL NA 671,925.00 0.00 671,925.00 4,377.48 4,377.48 19-880-06-000 DREXEL CAPITAL PARTNERS LLC NA 750,975.00 0.00 750,975.00 4,112.18 4,112.18 19-880-07-000 CHERNEFF STEVEN ETAL NA 300,900.00 0.00 300,900.00 3,979.53 3,979.52 19-880-08-000 HARRIS AL NA 450,000.00 0.00 450,000.00 3,846.88 3,979.52 19-880-09-000 MARR ROBERT A&SANDI G TRSTES NA 433,500.00 0.00 433,500.00 3,979.53 3,979.52 19-880-10-000 JENNY RONALD L&JANE E TRSTES NA 433,500.00 0.00 433,500.00 3,979.53 3,979.52 19-880-11-000 LACOTTI LAWRENCE M&DARLENE TRSTES NA 508,725.00 0.00 508,725.00 3,979.53 3,846.86 19-880-12-000 WALKER DAVID E&LOIS L TRSTES NA 325,125.00 0.00 325,125.00 3,979.53 3,846.88 19-880-13-000 LO LINDY NA 346,800.00 0.00 346,800.00 4,112.18 4,112.18 19-880-14-000 MCHUGH JOHN D II&CHARISE H NA 411,825.00 0.00 411,825.00 4,112.18 4,112.18 19-880-15-000 SUTTER DOUGLAS NA 435,540.00 0.00 435,540.00 4,244.83 4,244.82 19-880-16-000 POWERPLAY PROPERTIES LLC NA 390,150.00 0.00 390,150.00 3,979.53 3,979.52 19-880-17-000 ERICH ROBERT W NA 390,150.00 0.00 390,150.00 3,979.53 3,979.52 19-880-18-000 LEWIS ALBERT M&THERESA A NA 387,600.00 0.00 387,600.00 4,112.18 4,112.18 19-890-01-000 GRAYS STATION LLC NA 157,176.00 0.00 157,176.00 4,112.18 4,112.18 19-890-02-000 DELUCCHI RON&AMY ETAL NA 433,500.00 0.00 433,500.00 3,979.53 3,979.52 19-890-03-000 HUGHES ROGER M&ROBERTA K TRSTES NA 484,500.00 0.00 484,500.00 3,979.53 3,979.52 19-890-04-000 DELARROZ MANUEL M&JUANITA L NA 433,500.00 0.00 433,500.00 3,979.53 3,979.52 19-890-05-000 DELARROZ MANUEL M&JUANITA L NA 433,500.00 0.00 433,500.00 4,112.18 4,112.18 19-890-06-000 DELARROZ MANNY M&JUANITA L NA 411,825.00 0.00 411,825.00 3,979.53 3,979.52 MuniFinancial Fiscal Year 2007/08 Annual Report Page 6 of 8 Truckee Donner PUD Community Facilities District No. 04-1 (Gray's Crossing) Charge Detail Report(Sorted by Assessor's Parcel Number, Assessor's . 00 0: PropertyOwner Situs Address Value Assessed Value Value Max Tax Charge Number 19-890-07-000 DELARROZ MANUEL M&JUANITA L NA 411,825.00 0.00 411,825.00 3,979.53 3,979.52 19-890-08-000 DELARROZ MANUEL M&JUANITA L NA 411,825.00 0.00 411,825.00 4,244.83 4,244.82 19-890-09-000 MARREN JOHN&LYNDA NA 260,100.00 0.00 260,100.00 3,979.53 3,979.52 19-890-10-000 LOPICCOLO VINCENT F JR NA 308,150.00 0.00 308,150.00 3,979.53 3,979.52 19-890-11-000 CAPRINI MARIO&EVA NA 314,925.00 0.00 314,925.00 3,846.88 3,946.88 19-890-12-000 MOFFITT STEPHEN A&TERESA L NA 314,925.00 0.00 314,925.00 3,846.88 3,846.88 19-890-13-000 RUPPERT NATHAN M ETAL NA 363,375.00 0.00 363,375.00 3,846.88 3,846.88 19-890-14-000 TRUCKEE SERENITY PARTNERS I NA 346,800.00 0.00 346,800.00 4,244.83 4,112.18 19-890-15-000 MUSCAT KENNETH&DIANE ETAL NA 337.875.00 0.00 337,875.00 3,846.88 3,846.88 19-890-16-000 RABY KENNETH S&LINDA S TRSTES NA 363,375.00 0.00 363,375.00 3,846.88 3,846.88 19-890-17-000 HALL LISA E NA 339,150.00 0.00 339,150.00 3,979.53 3,979.52 19-890-18-000 RIDGEWOOD ENTERPRISES LLC NA 303,450.00 0.00 303,450.00 3,846.88 3,846.88 19-900-02-000 JACKSON ELI H NA 325,125.00 0.00 325,125.00 4,112.18 4,112.18 19-900-03-000 DALAL ALEXANDER R&THU V T TRSTES NA 363,375.00 0.00 363,375.00 3,979.53 3,979.52 19-900-04-000 LU HOT NA 363,375.00 0.00 363,375.00 3,979.53 3,846.88 19-900-05-000 SODERQUIST CHRISTIAN&KAREN NA 325,125.00 0.00 325,125.00 3,979.53 3,846.88 19-900-06-000 SANBAR PROPERTIES LLC NA 325,125.00 0.00 325,125.00 3,979.53 3,846.88 19-900-07-000 CAPRINI ANTHONY A NA 363,375.00 0.00 363,375.00 3,979.53 3,B46.88 19-900-08-000 LOPICCOLO VINCENT F NA 363,120.00 0.00 363,120.00 3,846.88 3,846.88 19-900-09-000 KADOYA RICHARD S&SALLY TRSTES ETAL NA 363,375.00 0.00 363,375.00 3,846.88 3,846.88 19-900-10-000 GRAY'S STATION LLC NA 188,299.00 0.00 188,299.00 3,979.53 3,979.52 19-900-11-000 DUNDON THOMAS&VERUSCHKA NA 606,900.00 0.00 606,900.00 3,979.53 3,979.52 19-900-12-000 GRAY'S STATION LLC NA 246,472.00 0.00 246,472.00 4,377.48 4,377.48 19-900-13-000 DUNDON THOMAS&VERUSCHKA NA 606,900.00 0.00 606,900.00 4,377.48 4,377.48 19-900-14-000 VAILLE CONSTRUCTION INC ETAL NA 606,900.00 0.00 606,900.00 4,112.18 4,112.18 19-900-15-000 GRAY'S STATION LLC NA 194,866.00 0.00 194,866.00 4,377.48 4,377.48 19-900-16-000 GRAY'S STATION LLC NA 194,866.00 0.00 194,866.00 4,377.48 4,377.48 19-900-17-000 BAYVEN CAPITAL INC MONEY P P TRUST NA 346,800.00 0.00 346,800.00 3,714.23 3,846.88 19-900-18-000 RIDGEWOOD ENTERPRISES LLC NA 89,065.00 0.00 89,065.00 3,846.88 3,846.88 19-900-19-000 CRENSHAW JERRY R JR&LORI L NA 300,900.00 0.00 300,900.00 4,244.83 4,244.82 19-900-20-000 ENGEL KURT W&JOAN TRSTES NA 325,125.00 0.00 325,125.00 4,244.83 4,244.82 19-900-21-000 MORRISON JAMES W&K S TRSTES ETAL NA 346,800.00 0.00 346,800.00 3,979.53 3,979.52 19-900-22-000 SCHNOBRICH ALAN J&BEVERLY J NA 346,800.00 0.00 346,800.00 4,377.48 4,377.48 19-900-23-000 44 THE RIDGE LLC NA 520,200.00 0.00 520,200.00 4,377.48 4,377.48 19-900-24-000 JOST DAVID R&ERIN T NA 581,400.00 0.00 581,400.00 4,244.83 4,244.82 19-900-25-000 GRAY'S STATION LLC NA 190,628.00 0.00 190,628.00 4,112.18 4,112.18 19-900-26-000 GRAY'S STATION LLC NA 180,078.00 0.00 180,078.00 3,979.53 3,979.52 19-910-01-000 PUGEDA ISMAEL G&CHRISTINA R NA 363,375.00 0.00 363,375.00 3,846.88 3,846.88 19-910-02-000 IFLAND GARY R&CHERENE TRSTES ETAL NA 346,800.00 0.00 346,800.00 4,244.83 4,244.82 19-910-03-000 TRAN DAVID M&IVIE L ETAL NA 411,825.00 0.00 411,825.00 4,244.83 4,112.18 19-910-04-000 NGUYEN KIMBERLY&KEVIN ETAL NA 387,600.00 0.00 387,600.00 3,714.23 3,714.22 f`I MuniFinancial Fiscal Year 2007/08 Annual Report Page 7 of 8 Truckee Donner PUD Community Facilities District No. 04-1 (Gray's Crossing) Charge Detail Report (Sorted by Assessor's Parcel Number; Assessor's Parcel • Assessed Structure Total2007108 Total PropertyOwner Situs Address AssessedI Number Value Value Value Charge 19-910-05-000 GRAYS STATION LLC NA 130,783.00 0.00 130,783.00 3,846.88 3,846.88 19-910-06-000 ALANO FLORIETO G NA 387,600.00 0.00 387,600.00 3,846.88 3,846.88 19-910-07-000 GRAY'S STATION LLC NA 180,078.00 0.00 180,078.00 4,112.18 4,112.18 19-910-08-000 CLAWSON CONSTRUCTION INC NA 472,350.00 0.00 472,350.00 3,846.88 3,846.88 19-910-09-000 VERZOSA JOHN&MARIGOLD N ETAL NA 476,850.00 0.00 476,850.00 3,846.88 3,846.88 19-910-10-000 OLIN BILL NA 532,950.00 0.00 532,950.00 3,714.23 3,714.22 19-910-11-000 SPERBECK JEFFREY&ANNE TRSTES ETAL NA 532,950.00 0.00 532,950.00 3,714.23 3,714.22 19-910-12-000 SPAULDING BRIAN ETAL NA 476,850.00 0,00 476,850.00 3,846.88 3,846.88 19-910-13-000 GRAY'S STATION LLC NA 180,078.00 0.00 180,078.00 3,714.23 3,714.22 19-910-14-000 OTTENWELLER CHRISTOPHER R ETAL NA 532,950.00 0.00 532,950.00 3,714.23 3,846.88 19-910-15-000 CIVJAN NEAL 11047 TRAILS END COURT 654,075.00 0.00 654,075.00 4,112.18 4,112.18 19-910-16-000 DELARROZ MANNY M&JUANITA L NA 433,500.00 0.00 433,500.00 4,112.18 4,112.18 19-910-17-000 DELARROZ MANUEL M&JUANITA L NA 433,500.00 0.00 433,500.00 3,846.88 3,846.88 19-910-18-000 GRAY'S STATION LLC NA 190,628.00 0.00 190,628.00 3,979.53 3,979.52 19-910-19-000 GRAY'S STATION LLC NA 180,078.00 0.00 180,078.00 4,244.83 4,244.82 19-910-20-000 DICKERMAN DANIEL T&PAMELA J NA 260,100.00 0.00 260,100.00 3,846.88 3,846.88 19-910-21-000 NARVICK GREG R&DANIELLE M NA 260,100.00 0.00 260,100.00 3,846.88 3,846.88 Total: $115,208,796.00 $10,894,940.00 $126,103,736.00 $8,262,194.07 $2,068,614.76 Parcel Count: 304 l Handbilled parcels are included in this Report. See Handbilled Tab for detailed Information. I'I Parcels with an"N"as a prefix indicate newly created parcels,for which secured roll information may not yet be available. MunlFinancial Fiscal Year 2007/08 Annual Report Page 8 of 8 v v TRUCKEE DONNER PUBLIC UTILITY DISTRICT CERTIFICATES OF PARTICIPATION (WATER SYSTEM IMPROVEMENT PROJECTS) SERIES 2006 ANNUAL REPORT 12/31/2006 TRUCKEE DONNER PUBLIC UTILITY DISTRICT History of Electric Service Charges January January March March March 2003 2004 2005 2006 2007 Domestic Electric Rates: no change Permanent Residents Customer Charge: per month $4.50 $5.00 $5.84 $6.13 $6.13 Energy Charge per kilowatt-hour $0.10869 $0.11400 $0.11400 $0.12000 $0.12000 Domestic Electric Rates: Non-Permanent Residents Customer Charge: per month $4.50 $5.00 $5.84 $6.13 $6.13 Energy Charge per kilowatt-hour $0.12381 $0.13000 $0.13000 $0.13700 $0.13700 Small Commercial Rates: Commercial Customers with monthly demand less than 50 kilowatts Customer Charge: per month $8.73 $9.70 $11.32 $11.89 $11.89 Energy Charge per kilowatt-hour $0.13062 $0.13700 $0.13700 $0.14400 $0.14400 Medium Commercial Rates: Commercial Customers with monthly demand less than 50kW and less than 200kW Customer Charge: per month $87.25 $96.85 $113.04 $118.69 $118.69 Energy Charge per kilowatt-hour $0.07729 $0.08110 $0.08110 $0.08520 $0.08520 Demand Charge per kilowatt of demand $10.58 $11.11 $11.11 $11.67 $11.67 Large Commercial Rates: Commercial Customers with monthly demand greater than 200kW Customer Charge: per month $382.00 $425.00 $495.83 $520.62 $520.62 Energy Charge per kilowatt-hour $0.07954 $0.08350 $0.08350 $0.08770 $0.08770 Demand Charge per kilowatt of demand $10.11 $10.62 $10.62 $11.15 $11.15 TRUCKEE DONNER PUBLIC UTILITY DISTRICT Electric System Connection Charges and Facilities Fees For 200 amp Service as of March 1,2007 Connection Facilities Size and Type of Service Charge Fees Three Wire Overhead -Temporary Actual Cost - Permanent connection to structure $1,212 $1,260 - Temporary connection to pole and transfer to structure $1,489 Three Wire Underground(overhead transformer) - Permanent connection to structure $1,212 $1,260 - Temporary connection to pole and transfer to structure $1,489 Three Wire Underground(padmount transformer) - Permanent connection to structure $1,212 $1,260 -Temporary connection to pole and transfer to structure $1,489 TRUCKEE DONNER PUBLIC UTILITY DISTRICT Electric System Customers, Sales, Revenues and Demand 2003 2004 2005 2006 Number of Customers: Residential 10,691 10,726 11,082 11,342 Commercial and Other 1,392 1,485 1,602 1,696 Total Customers 12,083 12,211 12,684 13,038 Kilowatt-Hour(kWh) Sales: Residential 66,271,709 69,818,294 70,072,056 72,400,532 Commercial and Other 60,307,969 65,434,701 66,266,816 71,868,598 Total kWh Sales 126,579,678 135,252,995 136,338,872 144,269,130 Revenues from Sale of Energy: Residential $8,119,198 $9,004,185 $9,171,600 $9,914,315 Commercial and Other 7,163,712 8,171,764 8,369,493 9,352,463 Total Revenues from Sale of Energy $15,282,910 $17,175,949 $17,541,093 $19,266,778 Peak Demand (kW) 32,291 32,235 32,179 35,928 TRUCKEE DONNER PUBLIC UTILITY DISTRICT Electric System Largest Electric Customers-2006 12 Months Customer Type of Business KWh Sold Electrical Billings District Water Department(1)(2) Water Utility 11,748,214 $1,500,712 Tahoe Truckee Sanitation Agency(2) Sewer Plant 8,219,516 889,226 Tahoe Forest Hospital (2) Hospital 5,084,180 581,112 Tahoe Truckee Unified School District(2) Education 2,969,289 389,677 Teichert&Son Private/Commercial 2,278,800 356,248 (1) Represents pumping charges incurred by District water system (2) Denotes customers with multiple meters and service locations. The kWh sold and electrical billings are a sum of all customer's meter locations TRUCKEE DONNER PUBLIC UTILITY DISTRICT Electric System-Summary of Historical Net Revenues and Selected Balance Sheet Information 2003 2004 2005 2006 Revenues(1) Sales to Customers $14,256,511 $15,689,878 $16,317,909 $18,287,011 Interdivisional Sales(2) 1,566,049 1,412,884 1,329,356 1,369,321 Standby Charges 22,827 24,420 22,540 23,930 Facilities Fees(3) 509,347 282,829 481,723 454,891 Other(4) 206,664 466,841 426,454 462,140 Income from Investments 75,373 70,471 266,750 615,988 Total Revenues $16,636,771 $17,947,323 $18,844,732 $21,213,281 Rate Stabilization Fund Transfer(5) (11) 0 0 0 0 Total Adjusted Revenues $16,636,771 $17,947,323 $18,844,732 $21,213,281 Operations and Maintenance Costs(6) Power Purchases $7,497,730 (12) $8,269,483 $8,279,662 $8,328,528 Operations and Maintenance 1,624,574 1,906,348 2,231,024 2,636,335 Administrative and General 1,540,878 1,693,424 1,937,050 2,038,521 Consumer Services(7) 503,452 586,803 548,978 552,257 Interest Expense(8) 36,791 49,065 56,674 51,013 Total Operation and Maintenance Costs $11,203,425 $12,505,123 $13,053,388 $13,606,654 Adjusted Net Revenues/Funds Available for Debt Service $5,433,346 $5,442,200 $5,791,344 $7,606,626 Debt Service(9) 1,107,682 2,853,354 3,443,550 3,432,013 E Debt Service Coverage(1o) 4.91 1.91 1.68 2.22 Selected Balance Sheet Information Fund Balances (December 31): General Fund $3,706,328 $5,387,507 $6,615,006 $7,852,077 Rate Stabilization Fund Balance 434,013 440,870 452,512 753,020 Total Fund Balances $4,140,341 $5,828,377 $7,067,518 $8,605,097 Net Plant in Service $15,726,184 $14,923,885 $18,099,649 $22,395,013 Construction Work in Progress 3,555,097 4,933,875 2,714,371 5,760,806 (( Net Electric Utility Plant $19,281,281 $19,857,760 $20,814,020 $28,155,819 II i i TRUCKEE DONNER PUBLIC UTILITY DISTRICT Electric System-Summary of Historical Net Revenues and Selected Balance Sheet Information (1) Excludes Connection Charges. See "Rates and Charges"above. (2) Represents pumping charges to District water system and interdepartmental rent charged to the water department for use of the District Administrative Building which was financed by the Electric System. (3) Facilities Fees are charged to applicants for new service to cover the costs of infrastructure needed to meet the additional system demand. See"Rates and Charges"above. (4) Represents service transfer charges, late payment fees, building room rentals and miscellaneous receipts. (5) The Rate Stabilization Fund is used to mitigate rate increases. Pursuant to the Installment Purchase Agreement, Adjusted Revenues for coverage purposes include the amounts the District has authorized to be deposited in the Revenue Fund from the Rate Stabilization Fund pay Operation and Maintenance Costs and/or Debt Service. See "SECURITY AND SOURCES OF PAYMENT FOR THE 2003 CERTIFICATES--Defined Terms"and "--Rate Covenant" herein. (6) Excludes depreciation and amortization. (7) Includes all customer service, billing activity and customer information expenses. (8) Excludes interest on the 2003A/B Certificates which are shown in the debt service below. (9) Represents Debt Service on the District's 2003 A/B Electric Certificates of Participation for the Purchased Power Contract buy-out with IDACORP Energy L.P. (10) Adjusted Net Revenues divided by Debt Service. (11) The District funded a portion of its Electric System expenses from the Rate Stabilization Fund in 2002. Additional rate increases have been implemented for 2003 and 2004. See"Rates and Charges"above. (12) Exclusive of$26 million Settlement Obligation which is a one-time expense relating to the termination of the Prior Agreements(see "THE TRANSACTION" herein)which was accrued as of December 31, 2002 but will be funded from proceeds of the 2003 Certificates in the Fiscal Year ended December 31, 2003. C TRUCKEE DONNER PUBLIC UTILITY DISTRICT FINANCIAL STATEMENTS December 31, 2006 and 2005 TRUCKEE DONNER PUBLIC UTILITY DISTRICT TABLE OF CONTENTS December 31, 2006 and 2005 Independent Auditors' Report 1 Management's Discussion and Analysis 2- 8 Consolidated Balance Sheets 9— 10 Consolidated Statements of Revenues, Expenses, and Changes in Net Assets 11 Consolidated Statements of Cash Flows 12 — 13 Notes to Financial Statements 14—40 Supplemental Information Consolidating Balance Sheets— 2006 41 —42 Consolidating Statements of Revenues, Expenses, and Changes in Net Assets 43 Consolidating Statements of Cash Flows 44 —45 VirchOrwSe i company INDEPENDENT AUDITORS' REPORT The Board of Directors Truckee Donner Public Utility District Truckee, California We have audited the accompanying balance sheet of the Truckee Donner Public Utility District as of December 31, 2006 and 2005, and the related statements of revenues, expenses, and changes in net assets and cash flows for the years then ended, as noted in the table of contents. These financial statements are the responsibility of the Truckee Donner Public Utility District's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the Truckee Donner Public Utility District at December 31, 2006 and 2005, and the results of its operations and its cash flows for the years then ended in conformity with accounting principles generally accepted in the United States of America. The management's discussion and analysis on pages 2 through 8 is not a required part of the basic financial statements, but is supplementary information required by accounting principles generally accepted in the United States of America. We have applied certain limited procedures, which consisted principally of inquiries of management regarding the methods of measurement and presentation of the required supplementary information. However, we did not audit the information and express no opinion on it. Our audit was conducted for the purpose of forming an opinion on the financial statements taken as a whole. The consolidating statements included in the back of this report are presented for purposes of additional analysis and is not a required part of the financial statements. The consolidating statements have been subjected to the auditing procedures applied in the audit of the financial statements and, in our opinion, are fairly stated, in all material respects, in relation to the financial statements taken as a whole. 4 _ t L-L Madison, Wisconsin April 27, 2007 Page 1 Virchow, Krause & Company, LLP Certified Public Accountants&Consultants•An Independent Member of Baker Tilly International TRUCKEE DONNER PUBLIC UTILITY DISTRICT MANAGEMENT'S DISCUSSION AND ANALYSIS December 31, 2006 and 2005 As financial management of the Truckee Donner Public Utility District, we offer readers of these financial statements this narrative overview and analysis of the financial activities of the District for the years ended December 31, 2006 and 2005. This discussion and analysis is designed to assist the reader in focusing on the significant financial issues, provide an overview of the District's financial activity and identify changes in the District's financial position. We encourage readers to consider the information presented here in conjunction with that presented within the basic financial statements. The reader should take time to read and evaluate all sections of this report, including the footnotes and other supplementary information that is provided, in addition to this MD&A. FINANCIAL HIGHLIGHTS • The District's capital assets, net, increased $14.9 million (or 21.1%) from $70.6 million at December 31, 2005 to $85.6 million at December 31, 2006, primarily due to the infrastructure constructed for a new development within the Truckee Donner Public Utility District's service area as well as water pipeline improvements constructed by the District during the year. • The District's total net assets decreased by $1.8 million (or 8.8%) from $20.5 million at December 31, 2005 to $18.7 million at December 31, 2006. The decrease is primarily due the contribution out of constructed assets from the Gray's Crossing Community Facilities District offset by an increase in revenues and income from investments. • Operating revenues increased $2.6 million (or 10.5%) from $24.7 million for the year ended December 31, 2005 to $27.3 million for the year ended December 31, 2006, primarily due to electric and water rate increases and customer growth. Net non-operating revenues/expenses increased $1.7 million from 2005, primarily from increases in income from investments and additional tax revenues from the Gray's Crossing Community Facilities District. • Operating expenses of the District increased by $.9 million (or 4.5%) from $20.1 million during 2005 to $21.0 million during 2006, due primarily to increased operation and administration costs. • During 2004, the District entered into long term financing with the California State Revolving Fund in the amount of $9.0 million for the financing of the replacement of the Donner Lake water system. An additional $2.8 million was drawn down on this loan in 2005 and an additional $1.0 in 2006. In 2004 the District also issued $15.4 million, in Mello Roos bonds to finance infrastructure for a new development within the Truckee Donner Public Utility District's service area (Gray's Crossing). During 2005, the District issued another $19.2 million in Mello Roos bonds to finance the second phase of the Gray's Crossing Project. The Mello Roos bonds represent a land secured financing and are not payable from or secured by any District assets. The Mello Roos bond proceeds are used to finance public agency infrastructure, to fund reserve and prepaid interest funds and to pay closing costs. During 2006 the District issued $26.6 million in certificates of participation to refund the 1996 COP's, finance the upgrading of its water system infrastructure and complete the financing of the Donner Lake water system upgrade. Page 2 TRUCKEE DONNER PUBLIC UTILITY DISTRICT MANAGEMENT'S DISCUSSION AND ANALYSIS December 31, 2006 and 2005 OVERVIEW OF THE FINANCIAL STATEMENTS This report includes Management's Discussion and Analysis, the Independent Auditors' Report, the Basic Financial Statements, (which includes the notes to the financial statements), and Supplementary Information. REQUIRED FINANCIAL STATEMENTS The financial statements of the District are designed to provide readers with a broad overview of the District's finances similar to a private-sector business. They have been prepared using the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America (GAAP). Under this basis of accounting, revenues are recognized in the period in which they are earned and expenses are recognized in the period in which they are incurred, regardless of the timing of related cash flows. These statements offer short- and long- term financial information about the District's activities. The reporting entity consists of the primary government, which has two departments (electric operations and water operations), and the blended component units. Further details about the component units are provided in Note 1. The Balance Sheet presents information on all of the District's assets and liabilities and provides information about the nature and amounts of investments in resources (assets) and the obligations to District creditors (liabilities). It also provides the basis for computing rate of return, evaluating the capital structure of the District and assessing the liquidity and financial flexibility of the District. All of the current year's revenues and expenses are accounted for in the Statement of Revenues, Expenses, and Changes in Net Assets. This statement provides a measurement of the District's operations over the past year and can be used to determine whether the District has successfully recovered all its costs through its rates and other charges and to also analyze profitability and credit worthiness. The Statement of Cash Flows provides relevant information about the District's cash receipts and cash payments during the reporting period. This statement reports cash receipts and cash payments resulting from operating, non-capital financing, capital and related financing and investing activities. When used with related disclosures and information in the other financial statements, the statement of cash flows should provide insight into (a) the District's ability to generate future net cash flows, (b) the District's ability to meet its obligations as they come due, (c) the District's needs for external financing, (d) the reasons for differences between operating income and associated cash receipts and payments and (e) the effects on the District's financial position of both its cash and its noncash investing, capital and financing transactions during the period. The changes in cash balances are an important indicator of the District's liquidity and financial condition. Notes to the financial statements. The notes provide additional information that is essential to a full understanding of the data provided in the basic financial statements. This includes but is not limited to, significant accounting policies, significant financial statement balances and activities, material risks, commitments and obligations and subsequent events, as applicable. Page 3 TRUCKEE DONNER PUBLIC UTILITY DISTRICT MANAGEMENT'S DISCUSSION AND ANALYSIS December 31, 2006 and 2005 DISTRICT HIGHLIGHTS The condensed financial statements are presented below. Condensed Balance Sheet Increase (Decrease) ASSETS 2006 2005 2004 2006-2005 Current assets $ 34,436,049 $ 16,392,557 $ 14,787,030 $ 18,043,492 Non-current assets: Capital assets, net 85,576,981 70,649,606 66,573,669 14,927,375 Restricted assets 16,053,287 28,604,486 14,738,978 (12,551,199) Other long-term assets 12,587,013 12,928,415 13,450,587 (341,402) TOTAL ASSETS $148,653,330 $ 128,575,064 $ 109,550,264 $ 20,078,266 LIABILITIES AND NET ASSETS Current liabilities $ 8,686,297 $ 7,604,771 $ 8,922,223 $ 1,081,526 Non-current Liabilities Long-term debt, net of current portion 108,481,325 93,346,770 74,894,133 15,134,555 Deferred revenue 12,758,132 7,103,767 6,311,569 5,654,365 Total Liabilities 129,925,754 108,055,308 90,127,925 21,870,446 Net Assets Invested in capital assets, net of related debt 6,646,999 14,486,509 24,870,432 (7,839,510) Restricted for debt service 17,665,753 14,808,782 16,659,153 2,856,971 Unrestricted (5,585,176) (8,775,535) (22,107,246) 3,190,359 Total Net Assets 18,727,576 20,519,756 19,422,339 (1,792,180) TOTAL LIABILITIES AND NET ASSETS $148,653,330 $ 128,575,064 $ 109,550,264 $ 20,078,266 The increase in restricted assets at December 31, 2005 is due primarily to the funds held for the construction of the Gray's Crossing Mello Roos community facilities project. These funds were expended for this purpose during 2006. The decrease in net assets invested in capital assets was due to the completion and contribution out of the Gray's Crossing Community Facilities District assets. Page 4 TRUCKEE DONNER PUBLIC UTILITY DISTRICT MANAGEMENT'S DISCUSSION AND ANALYSIS December 31, 2006 and 2005 DISTRICT HIGHLIGHTS (cont.) The overall increase of $15.8 million in 2006 from 2005 in bonds and notes payable, including current maturities, is due primarily to the issuance of $26.6 million in water system financing offset by the refunding of the 1996 bonds as well as principal payments made during the year. The overall increase of $18.6 million in 2005 from 2004 in bonds and notes payable, including current maturities, is due primarily to the issuance of $19.1 million in Mello Roos community facilities district bonds, secured by land and used to finance capital infrastructure for a new development within the District's service area. The new debt was partially offset by the principal portion of debt service payments on revenue bonds and principal payments on various notes payable during the year. Current liabilities (not including current debt maturities) stayed stable from 2005 to 2006, while current liabilities stayed stable in 2005 from 2004 with the payment of the purchased power contract settlement. Net assets invested in capital assets, net of related debt, consist of capital assets, net of accumulated depreciation, reduced by the amount of outstanding indebtedness attributable to the acquisition, construction or improvement of those assets. When there are significant unspent bond proceeds, the portion of related debt is not to be included in the calculation of this item. Instead, that portion of the debt is included in the net assets restricted for capital projects component as an offset to the related unspent bond proceeds. Net assets restricted for debt service represents amounts restricted for payments related to outstanding revenue bonds. The District had income before capital contributions of $7.3, $4.6, and $2.8 million for the years ended December 31, 2006, 2005 and 2004, respectively. Changes in the District's net assets can be determined by reviewing the following Condensed Revenues, Expenses, and Changes in Net Assets for the year. Page 5 TRUCKEE DONNER PUBLIC UTILITY DISTRICT MANAGEMENT'S DISCUSSION AND ANALYSIS December 31, 2006 and 2005 DISTRICT HIGHLIGHTS (cont.) Condensed Revenues,Expenses,and Changes In Net Assets Increase (Decrease) 2006 2005 2004 2006-2005 Sales to consumers $ 26,534,134 $ 23,881,041 $ 22,778,873 $ 2,663,093 Other operating revenues 737,500 805,544 819,274 (68,044) Total Operating Revenues 27,271,634 24,686,585 23,598,147 2,585,049 Operating expenses 21,027,149 20,121,360 19,334,790 905,789 Operating Income(Loss) 6,244,485 4,565,225 4,263,357 1,679,260 Non-operating revenues(expenses) 1,090,776 (676,877) (2,008,275) 1,767,653 Income(loss)before capital contributions 7,335,261 3,888,348 2,255,082 3,446,913 Capital contributions, net (9,127,441) (2,790,931) (3,328,354) (6,336,510) Change in net assets (1,792,180) 1,097,417 (1,073,272) (2,889,597) NET ASSETS, Beginning of Year 20,519,756 19,422,339 20,495,611 1,097,417 NET ASSETS, END OF YEAR $ 18,727,576 $ 20,519,756 $ 19,422,339 $ (1,792,180) Sales to consumers were $26.5 million in 2006 and $23.9 million in 2005. The overall increase of $2.6 million (or 10.8%) is primarily due to electric and water rate increases to pay for increased operating costs, revenue generated for Board designated purposes and growth in customers. . Sales to consumers were $22.8 million in 2004. The overall increase from 2004 to 2005 is primarily due to electric and water rate increases to pay for increased operating costs and growth in customers Total operating expenses were $21.0 million in 2006 and $20.1 million in 2005. The overall increase of $.9 million in operating expenses is due primarily to increased payroll and benefit costs as well as increases in automotive fuel and other related costs. Total operating expenses were $19.3 million in 2004. The overall increase of$787,000 in operating expenses in 2005 from 2004 is due primarily to the residual effect of changing benefit plans in 2004. Non-operating revenues/expenses increased $1.8 million in 2006 primarily due to increases in the Gray's Crossing tax revenues and income from investments. Non-operating revenues decreased $1.3 million in 2005 from 2004 primarily due to an increase in interest on investments and a gain on sale of surplus property. Page 6 TRUCKEE DONNER PUBLIC UTILITY DISTRICT r MANAGEMENT'S DISCUSSION AND ANALYSIS December 31, 2006 and 2005 DISTRICT HIGHLIGHTS (cont.) Capital contributions increased from a net outflow of $2.8 million in 2005 to a net outflow of $9.1 million in 2006, primarily due to the completion and contribution out of two phases of the Gray's Crossing Project. Capital contributions decreased from a net outflow$3.4 million in 2004 to a net outflow of$2.8 million in 2005 primarily due to the completion of the Donner Lake project in 2005 and the capital projects completed and contributed out from Gray's Crossing and Old Greenwood Community Facilities Districts in 2004. CAPITAL ASSETS As of December 31, 2006, 2005 and 2004, the District had $85.6, $70.2, and $66.1 million, respectively, invested in a variety of capital assets, net of accumulated depreciation. A summary of capital assets is reflected in the following schedule. 2006 2005 2004 Electric distribution $ 25,821,475 $ 20,884,302 $ 19,660,201 Water distribution 62,451,777 57,086,129 46,313,905 General plant 10,198,604 9,969,072 8,929,095 Sub-totals 98,471,856 87,939,503 74,903,201 Less: Accumulated depreciation (25,170,480) (22,702,608) .(20,852,855) 73,301,376 65,236,895 54,050,346 Construction work in progress 11,845,505 4,982,613 12,093,223 Land held for future use 430,100 430,100 430,100 TOTALS $ 85,576,981 $ 70,649,608 $ 66,573,669 Net capital assets (additions, less retirements and depreciation) at December 31, 2006 increased $14.9 million (or 21.1%) from December 31, 2005 and net capital assets at December 31, 2005 increased $4.1 million (or 6.2%) from December 31, 2004. The increases in both years have been due primarily to the electric and water plant additions for new development within the District's service area as well as contributed assets received from the Community Facilities Districts. LONG-TERM DEBT Long-term debt includes revenue bonds and notes payable. At December 31, 2006, 2005 and 2004, the District had $112.8 million, $97.0 million and $78.4 million, respectively, in long-term debt outstanding, including current maturities. Page 7 TRUCKEE DONNER PUBLIC UTILITY DISTRICT MANAGEMENT'S DISCUSSION AND ANALYSIS December 31, 2006 and 2005 LONG-TERM DEBT(cont.) In October, 2006 the District issued $26.6 million in certificates of participation to refund the 1996 COP's, for the funding of water system infrastructure improvements and the completion of the financing of the Donner Lake system replacement. In July 2005, the Gray's Crossing Community Facilities District issued the second in a series of two bondings for $19.2 million in special tax bonds, the proceeds of which are to be used to acquire certain infrastructure assets within a new development within the District's service area. In October 2004, the Gray's Crossing Community Facilities District issued $15.4 million in special tax bonds, the proceeds of which were used to acquire certain infrastructure assets within a new development within the District's service area. In April 2004, the District obtained $9.0 million in financing from a State Revolving Fund Loan, the proceeds of which were used for the replacement of the Donner Lake Water System. An additional $2.9 million was drawn on this loan in 2005 and an additional 1.0 million in 2006. CONTACTING THE DISTRICT'S FINANCIAL MANAGEMENT The financial report is designed to provide readers with a general overview of the District's finances and to demonstrate the District's accountability for the money it receives. If you have questions about this report or need additional financial information, contact Truckee Donner Public Utility District, Attn: Finance Department, P.O. Box 309, Truckee, CA 96160. Page 8 TRUCKEE DONNER PUBLIC UTILITY DISTRICT CONSOLIDATED BALANCE SHEETS December 31, 2006 and 2005 ASSETS 2006 2005 CURRENT ASSETS Funds Operating $ 8,389,081 $ 5,505,857 Designated 4,384,969 1,423,687 Restricted 13,555,082 3,103,567 Total Funds 26,329,132 10,033,111 Accounts receivable, net 4,456,298 3,385,655 Unbilled revenues 2,193,604 1,747,644 Accrued interest receivable 463,000 221,996 Materials, supplies and fuel inventory 800,533 793,263 Prepaid expenses 174,126 201,196 Other 19,356 9,692 Total Current Assets 34,436,049 16,392,557 NON-CURRENT ASSETS Other Non-Current Assets Restricted funds 16,053,287 28,604,486 Special assessments receivable 9,613,754 10,125,905 Deferred charges Unamortized debt expense 1,965,863 1,716,014 Other 1,007,396 1,086,496 Total Other Non-Current Assets 28,640,300 41,532,901 CAPITAL ASSETS Utility plant 98,471,856 87,840,290 Accumulated depreciation (25,170,480) (22,702,610) Construction work in progress 11,845,505 5,081,826 Land held for future use 430,100 430,100 Total Utility Plant 85,576,981 70,649,606 TOTAL ASSETS $ 148,653,330 $ 128,575,064 Page 9 LIABILITIES AND NET ASSETS 2006 2005 CURRENT LIABILITIES Other Liabilities Accounts payable $ 1,894,599 $ 1,687,186 Customer deposits 204,849 190,333 Other 543,191 554,358 Total Other Liabilities 2,642,639 2,431,877 Current Liabilities Payable From Restricted Assets Current portion of long-term debt 4,361,945 3,651,400 Accrued interest payable 1,681,713 1,521,494 Total Current Liabilities Payable from Restricted Assets 6,043,658 5,172,894 Total Current Liabilities 8,686,297 7,604,771 NON-CURRENT LIABILITIES Long-term debt, net of discounts, premiums and losses 105,254,663 89,643,950 Installment loans 3,226,662 3,702,820 Deferred revenues 12,758,132 7,103,767 Total Non-Current Liabilities 121,239,457 100,450,537 Total Liabilities 129,925,754 108,055,308 NET ASSETS Invested in capital assets, net of related debt 6,646,999 14,486,509 Restricted for debt service 17,665,753 11,705,215 Unrestricted (Deficit) (5,585,176) (5,671,968) Total Net Assets 18,727,576 20,519,756 TOTAL LIABILITIES AND NET ASSETS $ 148,653,330 $ 128,575,064 See accompanying notes to financial statements. Page 10 TRUCKEE DONNER PUBLIC UTILITY DISTRICT CONSOLIDATED STATEMENTS OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS Years Ended December 31, 2006 and 2005 2006 2005 OPERATING REVENUES Sales to customers $ 26,534,134 $ 23,881,041 Standby fees 86,970 205,659 Other 650,530 599,885 Total Operating Revenues 27,271,634 24,686,585 OPERATING EXPENSES Purchased power 8,328,528 8,279,662 Operations and maintenance 5,556,257 5,130,152 Consumer services 874,865 846,494 Administration and general 3,314,404 3,219,632 Depreciation 2,953,095 2,645,420 Total Operating Expenses 21,027,149 20,121,360 Operating Income 6,244,485 4,565,225 NON-OPERATING REVENUE(EXPENSES) Special tax revenue 2,172,981 1,128,475 Investment income 2,059,047 1,224,482 Interest expense (3,550,082) (3,170,288) Amortization (154,082) (143,715) Gain on disposition of assets 562,912 411,370 Loss on early retirement of assets - (127,201) Total Non-Operating Revenues(Expenses) 1,090,776 (676,877) Income Before Contributions 7,335,261 3,888,348 CAPITAL CONTRIBUTIONS (9,127,441) (2,790,931) CHANGE IN NET ASSETS (1,792,180) 1,097,417 NET ASSETS-Beginning of Year 20,519,756 19,422,339 NET ASSETS-END OF YEAR $ 18,727,576 $ 20,519,756 See accompanying notes to financial statements. Page 11 TRUCKEE DINNER PUBLIC UTILITY DISTRICT CONSOLIDATED STATEMENTS OF CASH FLOWS Years Ended December 31, 2006 and 2005 2006 2005 CASH FLOWS FROM OPERATING ACTIVITIES Received from customers $ 26,810,167 $ 24,566,515 Paid to suppliers for goods and services (13,180,847) (15,816,638) Paid to employees for services (4,192,107) (3,840,157) Net Cash Flows From Operating Activities 9,437,213 4,909,720 CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES Principal payments on long-term debt (2,385,000) (2,320,000) Interest payments on long-term debt (1,047,012) (1,123,550) Net Cash Flows From Noncapital Financing Activities (3,432,012) (3,443,550) CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Capital expenditures for utility plant (13,770,481) (4,854,375) Cost of disposal of property net of salvage 121,377 (44,608) Proceeds from sale of land 440,408 411,370 Capital contributions, connection and facility fees 8,521,835 3,656,655 Special assessments receipts 548,476 517,063 Capital contributed to developers (15,789,394) (6,778,828) Special tax receipts 1,647,075 687,431 Debt issuance costs and premiums received, net 217,579 (465,834) Loss on advance refunding (142,995) - Proceeds from issuance of new debt 27,479,521 22,400,841 Principal payments on long-term debt (9,728,350) (1,179,570) Interest payments on long-term debt (3,622,786) (2,769,192) Cash Flows From Capital and Related Financing Activities (4,077,735) 11,580,953 CASH FLOWS FROM INVESTING ACTIVITIES Purchases of investments (1,895,996) - Marketable securities sold 808,470 - Interest received 1,817,356 1,144,935 Cash Flows From Investing Activities 729,830 1,144,935 Net Change in Cash and Cash Equivalents 2,657,296 14,192,058 CASH AND CASH EQUIVALENTS—Beginning of Year 37,829,127 23,637,069 CASH AND CASH EQUIVALENTS—END OF YEAR $ 40,486,423 $ 37,829,127 NONCASH CAPITAL AND INVESTING ACTIVITIES Developer and customer added capital assets $ 4,551,144 $ 1,702,889 Page 12 2006 2005 RECONCILIATION OF OPERATING INCOME TO NET CASH FLOWS FROM OPERATING ACTIVITIES Operating income $ 6,244,485 $ 4,565,225 Noncash Items Included in Operating Income Depreciation and amortization 2,953,095 2,645,420 Amortization of deferred expenses 79,100 - Depreciation charged to other accounts 259,137 179,432 Offsets to capital activity (940) - Changes in assets and liabilities Accounts receivable and unbilled revenues (466,066) (114,372) Materials, supplies and fuel inventory (7,270) (245,182) Prepaid expenses and other current assets 18,093 124,038 Accounts payable 354,229 (2,297,244) Customer deposits 14,516 (5,698) Accrued payroll (11,166) 58,101 NET CASH FLOWS FROM OPERATING ACTIVITIES $ 9,437,213 $ 4,909,720 RECONCILIATION OF CASH AND CASH EQUIVALENTS TC THE BALANCE SHEET Operating $ 8,389,081 $ 5,505,857 Designated 4,384,969 1,423,687 Restricted bond funds-current 13,555,082 3,103,567 Restricted bond funds-non-current 16,053,287 28,604,486 Total Cash and Investments 42,382,419 38,637,597 Less: Long-term Investments (1,895,996) (808,470) TOTAL CASH AND CASH EQUIVALENTS $ 40,486,423 $ 37,829,127 See accompanying notes to financial statements. Page 13 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 1 —ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES A. ORGANIZATION The Truckee Donner Public Utility District (the District) was formed and operates under the State of California Public Utility District Act. The District is governed by a board of directors which consists of five elected members. The District provides electric and water service to portions of Nevada and Placer counties described as Truckee. The electric and water service operations are separately maintained and operated. These financial statements reflect the combined electric and water operations of the District. All significant transactions between electric and water operations have been eliminated. These eliminations include power purchases and rent for shared facilities. The District's blended component units consist of organizations whose respective governing Boards are comprised entirely of the members of the District's Board of Directors. These organizations are reported as if they are a part of the District's operations. The entities are legally separate, however in the case of the Truckee Donner Public Utility District Financing Corporation, financial support has been pledged and financial and operational policies may be significantly influenced by the District. Following is a description of the District's blended component units: Truckee Donner Public Utility District Financing Corporation: legal entity created to issue and administer Certificates of Participation on behalf of the District. See note 5. Truckee Donner Public Utility District Community Facilities District No. 03-1 (Old Greenwood): legal entity created to issue special tax bonds to finance various public improvements needed to develop property located within Old Greenwood. See note 7. Truckee Donner Public Utility District Community Facilities District No. 04-01 (Gray's Crossing): legal entity created to issue special tax bonds to finance various public improvements needed to develop property located within Gray's Crossing. See note 7. Separate standalone financial statements are not available for the blended component units described above. Unless noted, disclosures relating to the component units are the same as for the District. B. ACCOUNTING POLICIES The financial statements of Truckee Donner Public Utility District (District) have been prepared in conformity with accounting principles generally accepted in the United States of America. The Governmental Accounting Standards Board (GASB) is the accepted standard-setting body for establishing governmental accounting and financial reporting principles. The financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Under the accrual basis of accounting, revenues are recognized when earned and expenses are recorded when the liability is incurred or economic asset used. Revenues, expenses, gains, losses, assets and liabilities resulting from exchange and exchange-like transactions are recognized when the exchange takes place. Page 14 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 1 —ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (cont.) B. ACCOUNTING POLICIES(cont.) The district follows all pronouncements of the Governmental Accounting Standards Board, and has elected not to follow Financial Accounting Standards Board pronouncements issued after November 30, 1989. C. USE OF ESTIMATES Preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. D. DESIGNATED ASSETS The board has designated certain resources for future capital projects, replacements and operational needs. E. RESTRICTED ASSETS Restricted assets are assets restricted by the covenants of long-term financial arrangements or other third party legal restrictions. Restricted assets are used in accordance with their requirements and where both restricted and unrestricted resources are available for use, restricted resources are used first and then unrestricted as they are needed. F. ACCOUNTS RECEIVABLE Accounts receivable are reported net of allowances of $32,743 and $30,521 for 2006 and 2005, respectively. G. MATERIALS AND SUPPLIES Materials and supplies are recorded at average cost. H. UNAMORTIzED FINANCING COSTS Certain costs related to borrowing funds are amortized over the term of the related borrowings. 1. SPECIAL ASSESSMENT RECEIVABLE Special assessments represent amounts due from property owners within the Donner Lake Assessment District for improvements made by the District pursuant to an agreement with the property owners to improve their water quality as discussed in Note 8. Page 15 y TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 1 —ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (cunt.) J. CAPITAL ASSETS Capital assets are generally defined by the district as assets with an initial, individual cost of more than $2,500 and an estimated useful life in excess of one year. Capital assets of the District are stated at the lower of cost or the fair market value at the time of contribution to the District. Major outlays for plant are capitalized as projects are constructed. Depreciation on capital assets is calculated using the straight-line method over the estimated useful lives of the assets, which are as follows: Distribution Plant Water 20-40 years Electric 23-35 years Computer software and hardware 4-5 years Buildings and improvements 20-33 years Equipment and furniture 10 years It is the District's policy to capitalize interest paid on debt incurred for significant construction projects while those projects are under construction, less any interest earned on related unspent debt proceeds. In 2006 and 2005, interest was capitalized in connection with the Gray's Crossing District. K. COMPENSATED ABSENCES Under terms of employment, employees are granted sick leave and vacations in varying amounts. Only benefits considered to be vested are disclosed in these statements. Vested vacation and sick leave pay is accrued when earned in the financial statements. The liability is liquidated from general operating revenues of the utility. L. REVENUE RECOGNITION Revenues are recorded as meters are read on a cycle basis throughout each month for electric and commercial water. Other water customers are billed on a flat-rate basis, and revenues are recorded as billed. Also, the District records estimated revenues earned but not billed to customers as of the end of the year. Revenues from connection fees are recognized upon completion of the connection. Income that the District has earned through investing its excess cash is reflected within income from investments when earned. M. REVENUE AND EXPENSE CLASSIFICATION The District distinguishes operating revenues and expenses from non-operating items in the preparation of its financial statements. Operating revenues and expenses generally result from providing water and electric services in connection with the District's principal ongoing operations. The principal operating revenues are sales to customers. The District's operating expenses include power purchases, labor, materials, services, and other expenses related to the delivery of water and electric services. All revenues and expenses not meeting this definition are reported as non-operating revenues and expenses, or capital contributions. Page 16 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 1 —ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES(cont.) N. POWER PURCHASES AND TRANSMISSION On March 7, 2003, the District entered into a power purchase agreement with Constellation Power Source, Inc. (CPS), under which CPS will supply the District's power needs through 2007. This power supply replaces the interim power being provided to the District by IDACORP Energy L.P. under the terms of the related settlement agreement. The agreement with CPS provides for a block purchase of power at $49.95 per megawatt hour designed to cover the District's projected monthly power requirements. In addition, the agreement contains call and put options to provide the District with the flexibility to buy additional power or sell excess power, depending upon the District's actual monthly load requirements. Beginning January 1, 2005, the District entered into a membership agreement with the Western Area Power Administration (WAPA). In accordance with this agreement, the District is entitled to an allocation of power generated by the WAPA system. Because delivery of this power to the District is difficult, the District has assigned this power to its third party power scheduler. The scheduler then uses the value of this "banked" power to offset period peak power purchases above the CPS allotment. In 1999, the District entered into an agreement with Sierra Pacific Power Company (SPPC), whereby SPPC will provide transmission services to the District through December 31, 2027. In addition, the District purchases scheduling and dispatch services from Northern California Power Agency. These purchases of services represented 11.7% and 9.1% of total purchased power costs in 2006 and 2005, respectively. In December of 2005 the District entered into an agreement with the Utah Associated Municipal Power System (UAMPS) under which UAMPS will supply the District with a fixed amount of power capacity and energy each month for the period January 1, 2008 through March 24, 2009 to replace energy contracts expiring with CPS. O. INCOME TAXES As a government agency, the District is exempt from payment of federal and state income taxes. P. TAX REVENUES Beginning in 2004, the District levies ad valorem property tax on all the taxable property within the Old Greenwood District in an amount sufficient to pay the yearly principal and interest on the Special Assessment District Tax Bonds (see note 5). The District had revenues of $830,024 in 2006 and $724,835 in 2005. Beginning in 2005, the District levies ad valorem property tax on all taxable property within the Gray's Crossing District in an amount sufficient to pay the yearly principal and interest on the Special Assessment District Tax Bonds(see note 5). The District had revenues of$1,342,957 in 2006 and $403,640 in 2005. Taxes are assessed based on the county tax year ending June 30, resulting in deferred revenue for each of the community facility districts. Page 17 TRUCKEE DONNER PUBLIC UTI Y DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 1 —ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES(cont.) Q. CONTRIBUTED CAPITAL ASSETS A portion of the District's capital assets have been obtained through amounts charged to developers for plant constructed by the District; direct contributions of capital assets from developers and other parties; as well as assessments of local property owners. These items are recognized within capital assets as construction is completed for plant constructed by the District based on the cost of the items, when received for contributed capital assets based on the actual or estimated fair value of the contributed items, or upon completion of the related project for development agreements. The District records amounts received within capital contributions when a legally enforceable claim is established. Until the District meets the criteria to record the amounts described above as capital contributions, any amounts received are recorded within deferred revenue on the balance sheet. During 2006 and 2005, the Gray's Crossing District contributed $17,069,751 and $7,412,132 to the District and other government entities. The contribution out from Gray's Crossing District has been netted with capital contributions on the accompanying statement of revenues, expenses, and changes in net assets. During 2005, the Old Greenwood District contributed $385,645 to the District and other government entities. There were no contributions in 2006. The contribution out from the Old Greenwood District has been netted with capital contributions on the accompanying statement of revenues, expenses, and changes in net assets. R. ACCOUNTING PRONOUNCEMENTS NOT YET IMPLEMENTED In July 2004, the GASB issued Statement No. 45, Accounting and Financial Reporting by Employers for Postemployment Benefits Other Than Pensions. Statement No. 45 establishes standards for the measurement, recognition, and display of other postemployment benefits (OPEB) expense/expenditures and related liabilities (assets), note disclosures, and, if applicable, required supplementary information (RSI) in the financial reports of state and local governmental employers. OPEB includes postemployment healthcare, as well as other forms of postemployment benefits (for example, life insurance) when provided separately from a pension plan. The adoption of Statement No. 45 is effective for the District beginning fiscal year 2008. The District has completed an evaluation of the impact that implementing Statement No. 45 will have on the financial position and operations of the District and the District's Board has adopted GASB No. 45 effective for 2007. S. COMPARATIVE DATA Certain amounts presented in the prior year data have been reclassified in order to be consistent with the current year's financial presentation. Page 18 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 2—CASH AND INVESTMENTS Cash and investments are recorded in accounts as either restricted or unrestricted as required by the District's certificates of participation indentures or other third-party legal restrictions. Restricted assets represent funds that are restricted by certificates of participation covenants or third party contractual agreements. Assets that are allocated by resolution of the board of directors are considered to be board designated assets. Board designated assets are a component of unrestricted assets as their use may be redirected at any time by approval of the Board. Upon Board approval, assets from designated accounts may be used to fund capital projects. Such accounts have been designated by the board of directors for the following purposes: Building Fund In compliance with Board rules, the District maintains a building fund to help pay for the interest and principal of any borrowed funds used for the District office complex or to pay for capital improvements to the building. Storm Damage Fund The District maintains a designated fund to provide for storm damages that may occur in the future. Electric Rate Reserve In compliance with Board rules, the District has created an electric rate stabilization fund in anticipation of future costs. During both 2006 and 2005, there was no utilization of these funds to offset increased power costs in lieu of raising electric rates. Reserve for Future Meters Prior to 1992, connection fees charged to applicants for water service included an amount, which was maintained in a designated fund, to offset the cost of future metering. As meters are installed, these funds are used to pay for related costs. Water Capital Replacement Starting in 2006, the Board has set aside a portion of water revenues designated for future water infrastructure replacement. Prepaid Connection Fees In compliance with Board rules, the District has set aside prepaid connection fees to cover installation costs of water services. Land Sale Trust Fund The District's Board has set aside certain funds from the sale of surplus properties to pay for future capital improvement projects. Page 19 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 2—CASH AND INVESTMENTS(cont.) As of December 31, board designated accounts consisted of the following: 2006 2005 Building fund $ 268,657 $ 268,076 Storm damage fund 261,882 331,581 Electric rate reserve 753,020 452,512 Reserve for future meters 280,310 270,210 Water capital replacement fund 127,004 - Prepaid connection fees 74,734 73,755 Land sale trust fund 2,619,363 27,553 Totals $ 4,384,970 $ 1,423,687 Certain assets have been restricted by certificates of participation covenants or third party contractual agreements for the following purposes: Certificates of Participation: Electric The terms of the Electric Division's Certificates of Participation require a reserve fund as security for each principal and interest payment as they come due. A reserve fund is set aside for the highest annual principal and interest payment over the life of the borrowed amount. All of these reserve funds are held by BNY Western Trust Company. Certificates of Participation: Water The terms of the Water Division's Certificates of Participation require a restricted fund to provide for payment of principal and interest as they come due. A reserve fund is set aside as prescribed in the loan documents. The Water Division's Certificates of Participation debt funds are held by BNY Western Trust Company. Facilities Fees The District charges facilities fees to applicants for new service to cover the costs of infrastructure needed to meet their systems demand. The use of such funds is restricted by California state law. Revenue Fund: Water The water revenue fund is derived from the operations of the water system, and is restricted as to use by covenants of the District's certificates of participation. Department of Water Resources (DWR) Prop 55 Reserve Fund Regulations relating to the Department of Water Resources loan require the accumulation of a reserve fund as security for each principal and interest payment as they come due. Annual payments into the fund are required for each of the first ten years beginning April 1, 1996. The total reserve fund equals two semi-annual payments and was fully funded during 2006. These funds will be set aside for the life of the borrowed amount. All of the reserve funds are invested in the State of California Local Agency Investment Fund. Page 20 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 2—CASH AND INVESTMENTS (cunt.) Glenshire Escrow Accounts As described in more detail in note 10, the District received cash as part of its acquisition of the Glenshire water system and from a monthly surcharge paid by residents. The terms of the acquisition agreement specify that the cash be utilized for the construction of improvements to the Glenshire water system. The funds are being used to pay the debt service costs related to improvements. Donner Lake Special Assessment District Improvement Fund The District established the Donner Lake Special Assessment District (DLAD) Improvement Fund to account for all funds received from the Special Assessment Receivable, which will be used to pay the debt service costs related to the Donner Lake Water System project. The DLAD also has a reserve fund as required by the SRF funding. This fund is required to set aside $40,043 semi-annually for ten years beginning in 2006. Old Greenwood Construction Fund During 2003, the Old Greenwood Community Facilities District issued $12,445,000 of Special Tax bonds to finance various property improvements within Old Greenwood. The District established the Old Greenwood Construction Fund to account for the unspent bond proceeds. The District is allowed to draw upon such funds as valid construction costs are incurred. Gray's Crossing Project Fund During 2004, the Gray's Crossing Community Facilities District issued $15,375,000 of Special Tax bonds to finance various property improvements with Gray's Crossing. The District established the Gray's Crossing Project Fund to account for the unspent bond proceeds. The District is allowed to draw upon such funds as valid construction costs are incurred. Water System Project Fund During 2006, the District issued $26.6 million in water COP's (see note 5), the proceeds of which are to be used in part for future water system replacement. The District established the Water System Project Fund to account for the unspent bond proceeds. The District is allowed to draw upon such funds as valid construction costs are incurred. Equipment Loans Escrow Accounts During 2005, the District obtained loans to purchase various capital equipment. As the District receives loan funds, the proceeds are held in escrow until qualified purchases are made. The District intends to use funds remaining in escrow for future purchases of capital equipment. Page 21 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 2—CASH AND INVESTMENTS(cont.) Other (Area Improvement Funds) The District receives funds from the County of Nevada, which are to be used only for improvements to specific areas within the District's boundaries in Nevada County. These areas include various Nevada County assessment districts. When both restricted and unrestricted resources are available for use, it is the district's policy to use restricted resources first, then unrestricted resources as they are needed. As of December 31, restricted cash and cash equivalents and investments consisted of the following: 2006 2005 Certificates of participation $ 11,027,591 $ 9,298,300 Facilities fees 5,737,065 3,410,386 DWR-Prop 55 reserve fund 321,923 305,918 Glenshire escrow accounts 119,501 98,054 Donner Lake Special Assessment District Improvement Fund 1,908,861 2,896,845 Donner Lake Special Assessment District reserve fund 40,043 - Old Greenwood Construction fund 1,295 1,264 Grays Crossing Project Fund 985 15,377,777 2006 COP Project fund 10,260,903 - Equipment loans escrow accounts 19,712 156,193 Other(area improvement funds) 170,489 163,316 Total Restricted Cash and Cash Equivalents and Investments $ 29,608,368 $ 31,708,053 Cash and investments are comprised of the following cash and cash equivalents and investments as of December 31: 2006 2005 Cash and cash equivalents $ 40,486,423 $ 37,829,127 Investments—government bonds 1,895,996 - Investments—repurchase agreement - 808,470 Totals $ 42,382,419 $ 38,637,597 Cash and cash equivalents of $40,486,423 and $37,829,127 at December 31, 2006 and 2005, respectively, consist primarily of investments in the state pooled fund and money market funds. For purposes of the statements of cash flows, the District considers all highly liquid instruments with original maturities of three months or less to be cash equivalents. Page 22 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 2—CASH AND INVESTMENTS (cont.) The District follows GASB No. 31, Accounting and Financial Reporting for Certain Investments and for External Investment Pools. This statement establishes fair value standards for recording investments. The recorded amount for the District's investments approximated their fair values as of December 31, 2006 and 2005. INVESTMENTS AUTHORIZED BY THE DISTRICT'S INVESTMENT POLICY During 2005, the District's investment policy only authorized investment in the local government investment pool administered by the State of California ("LAIF"). The District adopted a new investment policy in 2006 which allowed for investments in instruments allowed by the California Government Code and/or the investments allowed by the trust agreements on District financing. The District's investment policy contains provisions intended to limit the District's exposure to interest rate risk, credit risk, and concentration of credit risk. At December 31, 2006 and 2005 the District's deposits and investments were held as follows: 2006 2005 Deposits $ 449,187 $ 549,679 LAIF 30,573,641 15,064,201 Money Market Funds 9,462,695 22,214,347 Government Bonds 1,895,996 - Repurchase Agreement - 808,470 Totals $ 42,381,519 $ 38,636,697 DISCLOSURES RELATING TO INTEREST RATE RISK Interest rate risk is the risk that changes in the market interest rates will adversely affect the fair value of an investment. Generally, the longer the maturity of an investment, the greater the sensitivity of its fair value to changes in market interest rates. As of the end of 2006 and 2005, the weighted average maturity of the investments contained in investment pools and mutual funds is as follows: 2006 2005 LAIF 183 days 138 days Fidelity Tax Exempt Daily MMF 21 days 28 days Federated U.S. Treasury Cash Reserve 31 days 43 days Federal Home Loan Mortgage 9/15/11 The district also had one repurchase agreement at December 31, 2005 for $808,470, at 6.31 due on 11/15/2021 and backed by U.S. Agency securities. Page 23 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 2—CASH AND INVESTMENTS (cont.) DISCLOSURES RELATING TO CREDIT RISK Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. LAIF does not have a rating provided by a nationally recognized statistical rating organization. The Fidelity Tax Exempt Daily MMF is also not rated. The Federated U.S. Treasury Cash Reserve is rated AAAm by S&P and Aaa by Moody's. The U.S. Agency securities pledged as security for the repurchase agreement are not rated but are implicitly backed by the U.S. government. CUSTODIAL CREDIT RISK Custodial credit risk for deposits is the risk that, in the event of the failure of a depository financial institution, a government will not be able to recover its deposits or will not be able to recover collateral securities that are in the possession of an outside party. The California Government Code and the District's investment policy do not contain legal or policy requirements that would limit the exposure to custodial credit risk for deposits, other than the following for deposits: The California Government Code requires that a financial institution secure deposits made by state or local governmental units by pledging securities in an undivided collateral pool held by a depository regulated under state law (unless waived by the government unit). The market value of pledged securities in the collateral pool must equal at least 110% of the total amount deposited by the public agencies. As of December 31, 2006 and 2005 all deposits were fully insured or collateralized. The custodial credit risk for investments is the risk that, in the event of the failure of the counterparty (e.g., broker/dealer) to a transaction, a government will not be able to recover the value of its investment or collateral securities that are in the possession of another party. The California Government Code and the District's investment policy do not contain legal or policy requirements that would limit the exposure to custodial credit risk for investments. With respect to investments, custodial credit risk generally applies only to direct investments in marketable securities. Custodial credit risk does not apply to a local government's indirect investment in securities through the use of mutual funds or governmental investment pools (such as LAIF. INVESTMENT IN STATE INVESTMENT POOL The District is a voluntary participant in the Local Agency Investment Fund (LAIF) that is regulated by the California Government Code under the oversight of the Treasurer of the State of California. The fair value of the District's investment in this pool is reported in the accompanying financial statements at amounts based upon the District's pro-rata share of the fair value provided by the LAIF for the entire LAIF portfolio (in relation to the amortized cost of the portfolio). The balance available for withdrawal is based on the accounting records maintained by the LAIF, which are recorded on an amortized cost basis. Page 24 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 3—CAPITAL ASSETS Capital assets consist of the following at December 31, 2006 and 2005: January 1, December 31, 2006 Additions Reductions 2006 Electric distribution facilities $ 20,884,302 $ 5,167,154 $ (229,981) $ 25,821,475 Water distribution facilities 56,986,916 5,745,909 (281,047) 62,451,778 General plant 9,969,072 398,334 (168,803) 10,198,603 87,840,290 11,311,397 (679,831) 98,471,856 Less:Accumulated depreciation (22,702,610) (3,212,232) 744,362 (25,170,480) Construction work in progress 5,081,826 15,726,423 (8,962,744) 11,845,505 Land held for future use 430,100 - - 430,100 Totals $ 70,649,606 $ 23,825,588 $ (8,898,213) $ 85,576,981 January 1, December 31, 2005 Additions Reductions 2005 Electric distribution facilities $ 19,660,201 $ 1,400,692 $ (176,591) $ 20,884,302 Water distribution facilities 43,570,230 13,731,447 (314,761) 56,986,916 General plant 8,929,095 1,055,928 (15,951) 9,969,072 72,159,526 16,188,067 (507,303) 87,840,290 Less:Accumulated depreciation (20,852,859) (2,843,784) 994,033 (22,702,610) Construction work in progress 14,836,902 4,808,149 (14,563,225) 5,081,826 Land held for future use 430,100 - - 430,100 Totals $ 66,573,669 $ 18,152,432 $(14,076,495) $ 70,649,606 As of December 31, 2006 and 2005, the plant in service included $1,917,852 of land which is not being depreciated. A portion of the plant has been contributed to the District. When replacement is needed, the District replaces the contributed plant with District-financed plant. During 2006 the service utility of one of the transformers at the Tahoe Donner Substation became impaired as a result of damage from an animal entering the substation. The financial statements for the electric department include an impairment gain of $119,987. The gain is reported inclusive of$127,967 of insurance recoveries. During 2006 and 2005, the District capitalized $1,279,938 and $887,758, respectively, of interest in connection with the Gray's Crossing District and Donner Lake system improvements. Page 25 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 4—TELECOMMUNICATION SERVICES During 1999, the District initiated a project to expand their basic service offerings to include internet access, cable television and voice delivered over fiber optic networks (the broadband project). The District has completed the broadband design project and obtained the necessary regulatory approvals and franchises needed to construct and launch the broadband project. Expenses incurred by the District to date on the broadband project total $2,587,035 of which $553,534 is included in capital assets on the accompanying balance sheet. During 2006 and 2005, expenditures for this project, mainly related to legal, financing, and charges for District labor and overhead were $168,011 and $283,758, respectively, none of which were capitalized. Cebridge Connections (Cebridge), a local cable television service provider, filed an objection in September 2004 with the Local Agency Formation Commission (LAFCO), the entity responsible for providing regulatory approval for the broadband project. After denying Cebridge's request for a reconsideration of their approval of the District's project, Cebridge filed a lawsuit against LAFCO. The District was not named in the lawsuit. A ruling on the lawsuit was received in January 2006. LAFCO prevailed on all portions of Cebridge's claim. Since that time Cebridge has filed an appeal. The District's Board may still consider moving forward with financing and construction of the project. Page 26 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 5—LONG-TERM DEBT Long-term debt consisted of the following at December 31, 2006 and 2005: January 1, December 31, Due within Certificates of Participation— 2006 Additions Reductions 2006 one year Electric,2.5%to 5.75%, due serially to 2013(net of unamortized premiums of $284,354). $22,616,962 $ - $ (2,467,608) $ 20,149,354 $ 2,470,000 State Revolving Fund Loan— Water,2.34%,due semi-annually beginning in 2006 to 2026. 11,823,444 909,521 (505,843) 12,227,122 517,749 Special Tax Bonds—Mello Roos,2.25%to 5.7%,due serially to 2013(net of unamortized discounts of $136,424). 12,289,379 - (90,803) 12,198,576 40,000 Special Tax Bonds—Mello Roos,3.25%to 5.7%, due serially to 2035(net of unamortized discounts of $325,681). 15,034,128 - 15,191 15,049,319 15,000 Special Tax Bonds—Mello Roos,3.50%to 5.50%,due due serially to 2035(net of unamortized discounts of $222,308). 18,917,803 - 14,889 18,932,692 50,000 Certificates of Participation— Water,4.00%to 5.00%, due serially to 2036(net of unamortized discounts of $141,408 and premiums of $633,492) - 27,062,084 - 27,062,084 615,000 Certificates of Participation— Water,5.25%to 5.4%, due serially to 2021 (net of unamortized discounts of $30,172). 8,434,829 - (8,434,829) - - Department of Water Resources, 3.18%,due semiannually to 2021,secured by real and personal property. 3,728,336 - (189,491) 3,538,845 195,582 Installment loans,5.4%to 6.23%, various payment terms and due dates,secured by equipment. 4,153,289 - (468,011) 3,685,278 458,614 Totals $ 96,998,170 $ 27,971,605 $(12,126,505) $ 112,843,270 $ 4,361,945 Page 27 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 5—LONG-TERM DEBT(cont.) January 1, December 31, Due within 2005 Additions Reductions 2005 one year Certificates of Participation— Electric,2.5%to 5.75%, due serially to 2013(net unamortized premiums of $366,962). $ 25,026,422 $ - $(2,409,460) $ 22,616,962 $ 2,385,000 State Revolving Fund Loan— Water,2.340/a,due semi-annually beginning in 2006 to 2026. 8,939,961 2,883,483 - 11,823,444 251,450 Special Tax Bonds—Mello Roos,2.25%to 5.7%,due serially to 2013(net unamortized discounts of $145,620). 12,292,478 - (3,099) 12,289,379 25,000 Special Tax Bonds—Mello Roos,3.25%to 5.7%,due serially to 2035(net unamortized discounts of $340,872). 15,014,422 19,706 - 15,034,128 - Special Tax Bonds—Mello Roos,3.50%ti 5.0%,due serially to 2035(net of anamortized discounts of $237,196) - 18,917,803 - 18,917,803 - Certificates of Participation— Water,5.25%to 5.4%, due serially to 2021 (net umamortized discounts of $30,172)• 8,761,583 3,246 (330,000) 8,434,829 350,000 Department of Water Resources, 3.18%,due semiannually to 2021,secured by real and personal property. 3,912,009 - (183,673) 3,728,336 189,482 Installment loans,5.4%to 6.23%, various payment terms and due dates,secured by equipment. 4,446,828 362,357 (655,896) 4,153,289 450,467 Totals $ 78,393,703 $ 22,186,595 $(3,582,128) $ 96,998,170 $ 3,651,399 Page 28 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 5—LONG-TERM DEBT(cont.) On October 12, 2006, Truckee Donner Public Utility District Financing Corporation issued $26,570,000 of Certificates of Participation to refund 100% of the outstanding balance of the Certificates issued in 1996, complete the funding of the Donner Lake Assessment District water system, and fund water system capital improvements. The terms of the Certificates call for payments to be made only from the net revenues of the Water Division and the debt is secured by this revenue. These revenues are required to be at least equal to 125% of the debt service for each year. On April3, 2003, the District issued $26,265,000 of Certificates of Participation, the net proceeds of which were utilized to pay the amounts due to IDACORP for the purchase power contract settlement fees, as well as to cover the associated costs of issuance. The terms of the new Certificates call for debt service payments to be made only from the net revenues of the Electric Division. These revenues are required to be a least equal to 120% of the debt service for each year. During April 2004, the District obtained financing in the form of a State Revolving Fund Loan, the proceeds of which are to be utilized in the replacement of the Donner Lake water system. The District submitted expenditures to the State for reimbursement of $12,732,965. The semi-annual principal and interest payments are $400,426 and commenced in 2006. The District is also required to fund a reserve account by making semi-annual reserve payments in the amount of $40,043 for a 10-year period beginning in 2006. The outstanding balance of $12,227,122 was largely used to pay off the temporary lines of credit obtained in 2001 and 2002 to fund the Donner Lake project. See Note 8 for additional information. During December 2003, the Old Greenwood Community Facilities District issued $12,445,000 of Special Tax Bonds, the net proceeds of which were utilized to finance various public improvements for property within Old Greenwood. The terms of the Special Tax Bonds call for debt service payments to be provided solely by taxes levied on and collected from the owners of the taxable land within Old Greenwood. The bonds are secured by land located within Old Greenwood. During 2005 and 2004, respectively, the Gray's Crossing Community Facilities District issued $15,375,000 and $19,155,000 of Special Tax Bonds, the net proceeds of which were utilized to finance various public improvements for property within Gray's Crossing (see Note 7). The terms of the Special Tax Bonds call for debt service payments to be provided solely by taxes levied on and collected from the owners of the taxable land within Gray's Crossing. The bonds are secured by land located within Gray's Crossing. During 1996, Truckee Donner Public Utility District Financing Corporation issued $10,905,000 of Certificates of Participation to refund 100% of the outstanding balance of Certificates issued in 1991. The 1991 Certificates were used to finance the repair and construction of various water system improvements for the District. The terms of the new Certificates call for payments to be made only from the net revenues of the Water Division and the debt is secured by this revenue. These revenues are required to be at least equal to 110% of the debt service for each year. Page 29 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 5—LONG-TERM DEBT(cont.) On October 12, 2006 Certificates of Participation in the amount of $26,570,000 described above were issued, a portion of which were used to refund $8,465,000 of the above-mentioned 1996 Certificates of Participation. The refunding portion of the 2006 COP's has an average interest rate of 4.10%. The refunded 1996 COP's had an average interest rate of 5.41%. The net proceeds of $7,500,557(after payment of $63,733 in underwriting fees, insurance and other issuance costs) plus an additional $1,315,194 of reserve fund monies were used to prepay the outstanding debt service requirements on the 1996 COP's. Under the Safe Drinking Water Bond Law of 1986, the Department of Water Resources provided a $5,000,000 loan to the District in 1993. The loan was to finance capital improvements to the public water supply and to reduce water quality hazards. The terms of the loan call for payments to be made only from the net revenues of the Water Division, which are required to be sufficient to pay the debt service for each year. As a normal part of its operations, the District finances the acquisition of certain assets through the use of installment loans. These loans have been used to finance the purchase of vehicles, equipment and certain water system improvements. Scheduled payments on debt are: Principal Interest Total 2007 $ 4,361,945 $ 5,395,656 $ 9,757,601 2008 4,643,890 5,113,756 9,757,646 2009 4,788,307 4,921,837 9,710,144 2010 4,991,296 4,719,082 9,710,378 2011 5,196,145 4,488,735 9,684,880 2012-2016 19,814,311 19,172,595 38,986,906 2017-2021 16,376,477 15,898,782 32,275,259 2022-2026 15,463,872 12,371,318 27,835,190 2027-2031 18,350,000 8,188,853 26,538,853 2032-2036 18,765,000 2,552,020 21,317,020 112,751,243 $ 82,822,634 $ 195,573,877 Plus: Unamortized premiums 917,846 Less: Unamortized discounts (825,819) Total Payments on Debt $ 112,843,270 Page 30 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 6—DEFERRED REVENUE For transactions that have not yet met revenue recognition requirements, revenues are deferred and reflected in the accompanying balance sheets. As of December 31, 2006 and 2005, deferred revenues consist of unearned special assessment revenues (see Note 9), development agreement deposits, connection fees and other deposits as follows: 2006 2005 Unearned tax revenues $ 1,317,902 $ 794,206 Development agreement deposits 8,892,325 3,944,461 Connection fees and other deposits 2,547,905 2,365,100 Totals $ 12,758,132 $ 7,103,767 NOTE 7 — COMMUNITY FACILITIES DISTRICTS In order to finance various public improvements needed to develop property within the Town of Truckee, California, the District formed Community Facilities Districts, which issued Special Tax Bonds pursuant to the Mello-Roos Community Facilities Act of 1982, as amended. Accordingly, the Bonds are special obligations of the respective Community Facilities Districts and are payable solely from revenues derived from taxes levied on and collected from the owners of the taxable land within the respective Community Facilities Districts. These Special Tax Bonds are not general or special obligations of the District. The Board of Directors of the District is the legislative body of the Communities Facilities Districts and as such they approve the rates and method of apportionment of the special taxes. As improvements are completed, the infrastructure is donated, in the form of a capital contribution to the Town of Truckee, the Truckee Sanitary District, Southwest Gas and the District. In September 2004, the Community Facilities District No. 04-01 (Gray's Crossing) was formed and issued $15,375,000 in Special Tax Bonds (the 04-1 Bonds). In 2005 an additional $19,155,000 (2005 Series) in Special Tax Bonds was issued for the Gray's Crossing CFD. During 2006 and 2005, respectively, Gray's Crossing contributed infrastructure valued at $17,069,751 and $7,412,132, of which $3,880,015 and $1,295,688 was donated to the District. During 2006 and 2005, taxes of $1,872,720 and $813,193, respectively, were levied by Gray's Crossing. Of this amount, $936,360 and $406,597 relate to 2006 and 2005 and accordingly, are included in tax revenues in the accompanying statement of revenues, expenses and changes in net assets. The remaining amount will be recognized in 2007 and 2006 and is included in deferred revenue on the accompanying balance sheets. In December 2003, the Community Facilities District No. 03-1 (Old Greenwood) was formed and issued $12,445,000 in Special Tax Bonds (the 03-1 Bonds). During 2006 and 2005, respectively, taxes of $763,085 and $775,218 were levied by Old Greenwood. Of these amounts, $381,543 and $387,609 relate to 2006 and 2005 and accordingly, are included in tax revenues in the accompanying statement of revenues, expenses and changes in net assets. The remaining amount will be recognized in 2007 and 2006 and are included in deferred revenue on the accompanying balance sheets. Page 31 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 8—DONNER LAKE WATER COMPANY PURCHASE In 2001, the District took ownership of Donner Lake Water Company by initiating an eminent domain lawsuit. As a part of the takeover, the District agreed to replace the entire water system, which is estimated to cost approximately $15,600,000 and be substantially complete in 2006. The District agreed to initially finance the replacement through obtaining third party financing and the Donner Lake property owners have agreed to reimburse the District for the full costs of the replacement. Therefore an assessment has been placed on each Donner Lake homeowner's property for a pro-rata share of the $13,000,000 payable immediately, or, for those not paying the assessment in full, over 20 years at approximately a 3.5% interest rate. One twentieth of the assessment, plus interest, is added to each property owner's annual property tax bill, if they have not previously paid the assessment in full, and is collected by Nevada and Placer Counties on behalf of the District. The Donner Lake homeowner's property values secure the $13,000,000 assessment. Project costs incurred in excess of the assessment are being collected through surcharges to each customer's water bill until all costs are recovered. As of December 31, 2006 and 2005, the amount outstanding from the property owners was $9,613,754 and $10,125,905, respectively, of which $523,728 and $499,113 is due in the next year. These amounts are shown as Special Assessments Receivable in the Balance Sheet. Per Board resolution, all funds received from property owners are set aside in the Donner Lake Special Assessment District Improvement Fund until such time as the funds will be used to fund the debt service on the District's initial third party debt. During April2004, the District obtained financing in the form of a State Revolving Fund Loan for $12,732,965 at a rate of 2.34%. The semi-annual principal and interest payments are $400,426. The District is also required to fund a reserve account by making semi- annual reserve payments in the amount of $40,043 for a 10-year period. Prior to obtaining the State Revolving Fund Loan, the District had third party bridge financing in the form of two lines of credit totaling $10,000,000. Both lines of credit were extinguished with funds received through the State Revolving Fund Loan. NOTE 9—GLENSHIRE WATER SYSTEM ACQUISITION Prior to 2002, the residents of the Glenshire water service area in the eastern portion of the Town of Truckee were served by the Glenshire Mutual Water Company (GMWC), an independent nonprofit entity originally created by the Glenshire residents. The Glenshire area had been experiencing problems with water quality, and thus the GMWC, on behalf of the residents, requested that the District assume responsibility for the improvement of the Glenshire water system, and for its ongoing operations. In early 2002 the District agreed to accept the donation of the Glenshire water system assets from the GMWC, in exchange for bringing the system up to the District's existing standards. The donated assets were recorded as cash and capital assets in the accompanying balance sheet and as contributed capital in the statement of revenues, expenses and changes in net assets. The improvements have been in process since 2002, and were completed in 2004 for a total cost of$3,054,266. Page 32 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 10—EMPLOYEE BENEFIT PLANS A. CALPERS PLAN During 2004, the District and bargaining unit employees elected to terminate their existing pension plan and 401(a) plan and become a part of the Public Agency portion of CalPERS, effective August 21, 2004. The CalPERS plan is an agent multiple-employer plan administered by CalPERS, which acts as a common investment and administrative agent for participating public employers within the state of California. State statutes within the Public Employees' Retirement Law establish a menu of benefit provisions, as well as other requirements. The District selects optional benefit provisions from the benefit menu by contract with CaIPERS and adopts those benefits through local ordinance or resolution. The CalPERS plan also provides for death and disability benefits. CaIPERS issues a separate comprehensive annual financial report. Copies of the CalPERS' annual financial report may be obtained from the CaIPERS Executive Office—400 P Street— Sacramento, California, 95814. Active plan participants are required to contribute 7% of their annual covered salary, of which the District on the participants' behalf pays 4%. The District is required to contribute the actuarially determined remaining amounts necessary to fund the benefits for its participants. The required employer contribution rate for fiscal years ending June 30, 2006 and 2005 is 18.006% of eligible participant payroll. The contribution requirements of the plan participants are established by State statute and the employer contributions rate is established and may be amended by CaIPERS. The District's annual pension cost for the years ended December 31, 2006 and 2005, respectively, was $974,467 and $907,711 and was equal to the District's required and actual contributions as determined by the May 31, 2004 initial actuarial valuation using the entry age normal actuarial cost method with the contributions determined as a percent of payroll. The actuarial methods and assumptions used are those adopted by the CalPERS Board of Administration. Significant actuarial assumptions include: Actuarial Cost Method Entry Age Normal Cost Method Inflation Rate 3.00%compounded annually Investment Return 7.75%compounded annually Salary Increases 3.25% The plan's unfunded actuarial accrued liability is being amortized as a level percentage of projected payrolls on a closed basis. The remaining amortization period ends in 2017 for prior service. Page 33 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 10—EMPLOYEE BENEFIT PLANS(cont.) A. CALPERS PLAN(cant.) Schedule of Funding Progress (Unaudited, Required Supplementary Information) Retirement plans like the District's with less than 100 active members were required to participate in a risk pool. Therefore, the funding progress for the District for the June 30, 2005 valuation date is for the entire pool, not just the District employees. The following is a funding schedule for the CalPERS Plan: Actuarial accrued Annual AAL as a Actuarial value liability Unfunded Funded covered percentage valuation date of assets (AAL) AAL ratio payroll of payroll May 31,2004 $ 1,945,846 $ 6,453,157 $ 4,507,311 30% $ 3,615,996 125% June 30,2005 $459,996,995 $484,351,523 $24,354,528 95% $174,127,476 14% CalPERS has informed the District that its portion of the contribution rate will change to 16.12% as of July 1, 2007. B. DEFERRED COMPENSATION PLAN The District maintains two deferred compensation plans (the Plans) for certain employees. The District has no liability for losses under the Plans but does have the duty of due care that would be required of an ordinary prudent investor. The District has not reflected the Plan's assets and corresponding liabilities (if any) on the accompanying balance sheets. C. POST EMPLOYMENT HEALTHCARE The District began providing Post Employment Health Care on January 1, 2000 to all employees, and their qualified dependents that retire from the District on or after attaining age 60 with service of at least 20 years. The board of directors of the District retains full authority to set the provisions and contribution obligations related to this benefit. For years worked which are less than 20, the benefit is reduced by 5% for each year. For retirement prior to age 60, the benefit is reduced by 2% for each year. Currently eight individuals meet those eligibility requirements. The District pays insurance premiums for medical, dental, and prescription drugs. Expenditures for post employment health care benefits are recognized when premiums are paid. The cost of post employment health care was $57,232 and $47,508 for 2006 and 2005, respectively. NOTE 11 —SELF FUNDED INSURANCE The district has a self-funded vision insurance program as well as a very small amount of self insurance with respect to the supplemental cost of certain mail order prescriptions that is not covered by the commercial health insurance. For both, claims are processed by and on behalf of the district. The district does not maintain a claim liability rather claims are expensed as paid. The amount of claims paid for each of the past three years have not been material. Page 34 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 12—SEGMENT DISCLOSURE The District has issued revenue bonds to finance water and electric distribution facilities. During 2005 and 2004, the District also issued special tax bonds secured by tax revenues. Each project has an external requirement to be accounted for separately, and investors in the revenue and special tax bonds rely solely on the revenue generated by the individual projects for repayment. Summary financial information as of and for the years ending December 31, 2006 and 2005 for each project is presented below. Balance Sheets 2006 Gray's Old ASSETS Electric Water Crossing Greenwood Current assets $ 14,698,254 $ 16,805,565 $ 2,093,312 $ 838,918 Noncurrent Assets Capital assets,net 28,155,819 57,421,162 - - Restricted assets 2,872,982 8,687,212 3,219,933 1,273,160 Other assets 1,401,178 10,481,076 476,460 228,299 Total Noncurrent Assets 32,429,979 76,589,450 3,696,393 1,501,459 Total Assets $ 47,128,233 $ 93,395,015 $ 5,789,705 $ 2,340,377 LIABILITIES AND NET ASSETS(DEFIC17) Current liabilities $ 4,953,135 $ 2,769,926 $ 683,080 $ 280,156 Noncurrent Liabilities Long-term debt,net of current portion 18,348,816 44,056,920 33,917,012 12,158,577 Other liabilities 9,006,899 2,433,331 936,360 381,542 Total Liabilities 32,308,850 49,260,177 35,536,452 12,820,275 Net Assets(Deficit) Invested in capital assets,net of related debt 28,060,462 24,062,367 (33,505,552) (11,970,278) Restricted for debt service 5,448,187 8,582,709 2,601,853 1,033,004 Unrestricted (18,689,266) 11,489,762 1,156,952 457,376 Total Net Assets(Deficit) 14,819,383 44,134,838 (29,746,747) (10,479,898) Total Liabilities and Net Assets $ 47,128,233 $ 93,395,015 $ 5,789,705 $ 2,340,377 Page 35 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 12—SEGMENT DISCLOSURE(font.) Balance Sheets(cont.) 2005 Gray's Old ASSETS Electric Water Crossing Greenwood Current assets $ 12,816,533 $ 846,886 $ 1,907,384 $ 821,754 Noncurrent Assets Capital assets,net 20,814,021 49,835,585 - - Restricted assets 1,760,396 7,004,214 18,602,298 1,237,578 Other assets 1,594,662 10,588,045 503,179 242,529 Total Noncurrent Assets 24,169,079 67,427,844 19,105,477 1,480,107 Total Assets $ 36,985,612 $ 68,274,730 $ 21,012,861 $ 2,301,861 LIABILITIES AND NET ASSETS(DEFICIT) Current liabilities $ 5,208,058 $ 1,511,765 $ 643,081 $ 241,867 Noncurrent Liabilities Long-term debt,net of current portion 21,117,207 26,013,251 33,926,932 12,289,380 Other liabilities 4,595,913 1,713,648 406,597 387,609 Total Liabilities 30,921,178 29,238,664 34,976,610 12,918,856 Net Assets(Deficit) Invested in capital assets,net of related debt 20,749,962 23,854,374 (18,070,976) (12,046,851) Restricted for debt service 4,172,258 7,034,373 2,606,440 995,711 Unrestricted (18,857,786) 8,147,319 1,500,787 434,145 Total Net Assets(Deficit) 6,064,434 39,036,066 (13,963,749) (10,616,995) Total Liabilities and Net Assets $ 36,985,612 $ 68,274,730 $ 21,012,861 $ 2,301,861 Page 36 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 12—SEGMENT DISCLOSURE(cont.) Statements of Revenues, Expenses,and Changes in Net Assets 2006 Gray's Old Electric Water Crossing Greenwood OPERATING REVENUES Sales to customers $ 18,287,011 $ 8,247,123 $ - $ - Other operating revenues 1,855,391 532,682 175 765 Operating expenses (13,555,636) (6,169,931) - - Depreciation (1,026,111) (1,926,984) - - Nonoperating revenues(expenses) (349,583) 17,449 1,286,578 136,332 Income(loss)before capital contributions 5,211,072 700,339 1,286,753 137,097 Capital contributions 3,543,877 4,398,433 (17,069,751) - Change in net assets 8,754,949 5,098,772 (15,782,998) 137,097 TOTAL NET ASSETS (DEFICIT)—Beginning of Year 6,064,434 39,036,066 (13,963,749) (10,616,995) TOTAL NET ASSETS (DEFICIT)—END OF YEAR $ 14,819,383 $ 44,134,838 $ (29,746,747) $ (10,479,898) Page 37 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 12—SEGMENT DISCLOSURE(cont.) Statements of Revenues, Expenses,and Changes in Net Assets(cont.) 2005 Gray's Old Electric Water Crossing Greenwood OPERATING REVENUES Sales to customers $ 16,317,909 $ 7,563,132 $ - $Other operating revenues 1,778,349 600,663 - - Operating expenses (12,996,713) (6,052,695) - - Depreciation (865,603) (1,779,817) - - Nonoperating revenues(expenses) (907,044) (159,161) 366,123 23,205 Income(loss)before capital contributions 3,326,898 172,122 366,123 23,205 Capital contributions 1,289,910 3,716,936 (7,412,132) (385,645) Change in net assets 4,616,808 3,889,058 (7,046,009) (362,440) TOTAL NET ASSETS (DEFICIT)—Beginning of Year 1,447,626 35,147,008 (6,917,740) (10,254,555) TOTAL NET ASSETS (DEFICIT)—END OF YEAR $ 6,064,434 $ 39,036,066 $ (13,963,749) $ (10,616,995) Page 38 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 12—SEGMENT DISCLOSURE(cont.) Statements of Cash Flows 2006 Gray's Old Electric Water Crossing Greenwood NET CASH PROVIDED BY(USED IN) Operating activities $ 6,483,449 $ 2,953,764 $ - $ - Noncapital financing activities (3,432,012) - - - Capital and related financing activities (1,082,510) 13,826,918 (16,831,793) 9,650 Investing activities 493,310 (391,391) 574,301 53,610 Net increase(decrease)In cash and cash equivalents 2,462,237 16,389,291 (16,257,492) 63,260 Beginning Cash and Cash equivalents 11,349,092 5,503,934 19,696,487 1,279,614 ENDING CASH AND CASH EQUIVALENTS $ 13,811,329 $ 21,893,225 $ 3,438,995 $ 1,342,874 Statements of Cash Flows 2005 Old Gray's Electric Water Greenwood Crossing NET CASH PROVIDED BY(USED IN) Operating activities $ 4,731,277 $ 178,443 $ - $ - Noncapital financing activities (3,443,550) - - - Capital and related financing activities (92,031) 781,107 11,325,914 (434,037) Investing activities 218,323 563,720 320,985 41,907 Net increase(decrease)in cash and cash equivalents 1,414,019 1,523,270 11,646,899 (392,130) Beginning cash and cash equivalents 9,935,073 3,980,664 8,049,588 1,671,744 ENDING CASH AND CASH EQUIVALENTS $ 11,349,092 $ 5,503,934 $ 19,696,487 $ 1,279,614 Page 39 TRUCKEE DONNER PUBLIC UTILITY DISTRICT NOTES TO FINANCIAL STATEMENTS December 31, 2006 and 2005 NOTE 13—CONTINGENCIES The District is one of a group of approximately 50 utilities involved in a matter relating to the disposal of PCB wastes at two sites. The clean up of the two sites falls under the federal EPA Superfund Program. The District believes it has resolved this matter with the EPA, with the District funding its portion of the cleanup expenses, as long as expenses do not exceed $60,000,000. If cleanup expenses exceed $60,000,000, the District will be liable for their portion (.163%) of the additional cost. The District's management believes that it will not incur any additional liability. NOTE 14—CLAIMS AND JUDGMENTS From time to time, the utility is party to various pending claims and legal proceedings. Although the outcome of such matters cannot be forecasted with certainty, it is the opinion of management and the utility's legal counsel that the likelihood is remote that any such claims or proceedings will have a material adverse effect on the utility's financial position or results of operations NOTE 15—RISK MANAGEMENT The utility is exposed to various risks of loss related to torts; theft of, damage to, or destruction of assets; errors and omissions; workers compensation; and health care of its employees. These risks are covered through the purchase of commercial insurance, with minimal deductibles. Settled claims have not exceeded the commercial liability in any of the past three years. There were no significant reductions in coverage compared to the prior year. Page 40 SUPPLEMENTAL INFORMATION TRUCKEE DONNER PUBLIC UTILITY DISTRICT CONSOLIDATING BALANCE SHEETS December 31,2006 Component Units Electric Water Operations Operations Gray's Cross Old Greenwood Eliminations Totals ASSETS CURRENT ASSETS Funds Operating $ 6,568,519 $ 1,531,786 $ 219,062 $ 69,714 $ - $ 8,389,081 Designated 1,283,559 3,101,410 - - - 4,384,969 Restricted 3,086,269 10,468,813 - - - 13,555,082 Total Funds 10,938,347 15,102,009 219,062 69,714 - 26,329,132 Accounts receivable, net 1,159,548 653,296 1,874,250 769,204 - 4,456,298 Unbilled revenues 1,649,507 544,097 - - - 2,193,604 Accrued interest receivable 191,180 271,820 - - - 463,000 Materials and supplies 653,247 147,286 - - - 800,533 Prepaid expenses 97,448 76,678 - - - 174,126 Other 8,977 10,379 - - - 19,356 Total Current Assets 14,698,254 16,805,565 2,093,312 838,918 - 34,436,049 NON-CURRENT ASSETS Other Non-Current Assets Restricted funds 2,872,982 8,687,212 3,219,933 1,273,160 - 16,053,287 Special assessments receivable - 9,613,754 - - - 9,613,754 Deferred charges Unamortized debt issue costs 393,782 867,322 476,460 228,299 - 1,965,863 Other 1,007,396 - - - - 1,007,396 Total Other Non-Current Assets 4,274,160 19,168,288 3,696,393 1,501,459 - 28,640,300 CAPITAL ASSETS Utility plant 33,677,905 64,793,951 - - - 98,471,856 Accumulated depreciation (11,282,892) (13,887,588) - - - (25,170,480) Construction work in progress 5,760,806 6,084,699 - - - 11,845,505 Land held for future use - 430,100 - - - 430,100 Total Utility Plant 28,155,819 57,421,162 - - - 85,576,981 TOTAL ASSETS $ 47,128,233 $ 93,395,015 $ 5,789,705 $ 2,340,377 $ - $ 148,653,330 Page 41 Component Units Electric Water Operations Operations Gray's Cross Old Greenwood Eliminations Totals LIABILITIES AND NET ASSETS CURRENT LIABILITIES Other liabilities Accounts payable $ 1,277,076 $ 617,523 $ - $ - $ - $ 1,894,599 Customer deposits 161,811 43,038 - - - 204,849 Other 328,399 214,792 - - - 543,191 Total other liabilities 1,767,286 875,353 - - - 2,642,639 Current liabilities payable from restricted assets: Current portion of long-term debt 2,674,785 1,582,160 65,000 40,000 - 4,361,945 Accrued interest payable 511,064 312,413 618,080 240,156 - 1,681,713 Total Current Liabilities Payable from Restricted Assets 3,185,849 1,894,573 683,080 280,156 - 6,043,658 Total Current Liabilities 4,953,135 2,769,926 683,080 280,156 - 8,686,297 NON-CURRENT LIABILITIES Long-term debt, net of discounts, premiums and losses 17,679,354 41,499,720 33,917,012 12,158,577 - 105,254,663 Installment loans 669,462 2,557,200 - - - 3,226,662 Deferred revenues 9,006,899 2,433,331 936,360 381,542 - 12,758,132 Total non-current liabilities 27,355,715 46,490,251 34,853,372 12,540,119 - 121,239,457 Total Liabilities 32,308,850 49,260,177 35,536,452 12,820,275 - 129,925,754 NET ASSETS Invested in capital assets,net of related debt 28,060,462 24,062,367 (33,505,552) (11,970,278) - 6,646,999 Restricted for debt service 5,448,187 8,582,709 2,601,853 1,033,004 - 17,665,753 Unrestricted (18,689,266) 11,489,762 1,156,952 457,376 - (5,585,176) Total Net Assets 14,819,383 44,134,838 (29,746,747) (10,479,898) - 18,727,576 TOTAL LIABILITIES AND NET ASSETS $ 47,128,233 $ 93,395,015 $ 5,789,705 $ 2,340,377 $ - $ 148,653,330 Page 42 TRUCKEE DONNER PUBLIC UTILITY DISTRICT CONSOLIDATING STATEMENTS OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS Year Ended December 31,2006 Component Units Electric Water Operations Operations Gray's Cross Old Greenwood Eliminations Totals OPERATING REVENUES Sales to customers $ 18,287,011 $ 8,247,123 $ - $ - $ - $ 26,534,134 Interdepartmental sales 1,369,321 - - - (1,369,321) - Standby fees 23,930 63,040 - - 86,970 Other 462,140 469,642 175 765 (282,192) 650,530 Total Operating Revenues 20,142,402 8,779,805 175 765 (1,651,513) 27,271,634 OPERATING EXPENSES Purchased power 8,328,528 - - - - 8,328,528 Operations and maintenance 2,636,333 4,289,245 - - (1,369,321) 5,556,257 Consumer services 552,257 322,608 - - - 874,865 Administration and general 2,038,518 1,558,078 - - (282,192) 3,314,404 Depreciation 1,026,111 1,926,984 - - - 2,953,095 Total Operating Expenses 14,581,747 8,096,915 - - (1,651,513) 21,027,149 Operating Income 5,560,655 682,890 175 765 - 6,244,485 NON-OPERATING REVENUE(EXPENSES) Special tax revenue - - 1,342,957 830,024 - 2,172,981 Investment income 615,988 815,147 574,302 53,610 - 2,059,047 Interest expense (1,056,289) (1,195,616) (574,302) (723,875) - (3,550,082) Amortization (31,786) (42,490) (56,379) (23,427) - (154,082) Gain on disposition of assets 122,504 440,408 - - - 562,912 Total Non-Operating Expenses (342,583) 17,449 1,286,578 136,332 - 1,090,776 Income Before Contributions 5,211,072 700,339 1,286,753 137,097 - 7,335,261 CAPITAL CONTRIBUTIONS,net 3,543,877 4,398,433 (17,069,751) - - (9,127,441) CHANGE IN NET ASSETS 8,754,949 5,098,772 (15,782,998) 137,097 - (1,792,180) NET ASSETS(DEFICIT)-Beginning of Year 6,064,434 39,036,066 (13,963,749) (10,616,995) - 20,519,756 NET ASSETS(DEFICIT)-END OF YEAR $ 14,819,383 $ 44,134,838 $ (29,746,747) $ (10,479,898) $ - $ 18,727,576 Page 43 TRUCKEE DONNER PUBLIC UTILITY DISTRICT CONSOLIDATING STATEMENTS OF CASH FLOWS Year Ended December 31,2006 Component Units Electric Water Old Operations Operations Gray's Cross Greenwood Eliminations Total CASH FLOWS FROM OPERATING ACTIVITIES Received from customers $ 19,751,851 $ 8,709,829 $ $ $ (1,651,513) $ 26,810,167 Paid to suppliers for goods and services (10,641,809) (4,190,551) 1,651,513 (13,180,847) Paid to employees for services (2,626,593) (1,565,514) - (4,192,107) Net Cash Flows from Operating Activities 6,483,449 2,953,764 9,437,213 CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES Principal payments on long-term debt (2,385,000) - ( , ,0 Interest payments on long-term debt (1,047,012) - (1,04747,012) ) Net Cash Flows from Noncapital Financing Activities (3,432,012) (3,432,012) CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES 770481) Capital expenditures for utility plant (7,138,123) (6,632,358) - (13, , Cost of disposal of property net of salvage 121,377 - 12121,377 77 Proceeds from sale of land - 440,408 - - 440,408 Capital contributions,connection and facility fees 6,210,543 2,311,292 - 8,521,835 Special assessments receipts - 548,476 - 548,476 Capital contributed to developers - (15,789,394) - (15,789,394) Special tax receipts - 811,840 835,235 1,647,075 Debt issuance costs and premiums received,net 217,579 - - 217,579 Loss on advance refunding (142,995) (142,995) Proceeds from issuance of new debt 27,479,521 - 27,479,521 Principal payments on long-term debt (216,265) (9,412,085) - (100,000) (9,728,350) Interest payments on long-term debt (60,042) (982,920) (1,854,239) (725,585) (3,622,786) Cash Flows From Capital and Related Financing Activities (1,082,510) 13,826,918 (16,831,793) 9,650 (4,077,735) E CASH FLOWS FROM INVESTING ACTIVITIES Purchases of investments (1,895,996) (1,895,996) i Marketable securities sold - 808,470 - - 808,47 Interest received 493,310 696,135 574,301 53,610 1,817,356 Cash Flows from Investing Activities 493,310 (391,391) 574,301 53,610 729,830 Net Change in Cash and Cash Equivalents 2,462,237 16,389,291 (16,257,492) 63,260 - 2,657,296 CASH AND CASH EQUIVALENTS—Beginning of Year 11,349,092 5,503,934 19,696,487 1,279,614 37,829,127 CASH AND CASH EQUIVALENTS—END OF YEAR $ 13,811,329 $ 21,893,225 $ 3,438,995 $ 1,342,874 $ $ 40,486,423 t NONCASH INVESTING ACTIVITIES During 2006$2,806,824 and$1,744,320 of capital assets were contributed to the water and electric utilities,respectively,by customers and developers. Page 44 Component Units Electric Water Old Operations Operations Gray's Cross Greenwood Eliminations Total RECONCILIATION OF OPERATING INCOME TO NET CASH FLOWS FROM OPERATING ACTIVITIES Operating income $ 5,560,655 $ 682,890 $ 175 $ 765 $ - $ 6,244,485 Noncash Items Included in Operating Income Depreciation and amortization 1,026,111 1,926,984 - - - 2,953,095 Amortization of deferred expenses 79,100 79,100 Depreciation charged to other accounts 85,432 173,705 - - - 259,137 Offsets to capital activity (175) (765) (940) Changes in assets and liabilities Accounts receivable and unbilled revenues (391,322) (74,744) - - - (466,066) Materials,supplies and fuel inventory (24,234) 16,964 - - - (7,270) Prepaid expenses and other current assets 6,161 11,932 - - - 18,093 Accounts payable 130,614 223,615 - - - 354,229 Customer deposits 9,748 4,768 - - 14,516 Accrued payroll 1,184 (12,350) - - (11,166) NET CASH FLOWS FROM OPERATING ACTIVITIES $ 6,483,449 $ 2,953,764 $ - $ - $ $ 9,437,213 RECONCILIATION OF CASH AND CASH EQUIVALENTS TO THE BALANCE SHEET Operating $ 6,568,519 $ 1,531,786 $ 219,062 $ 69,714 $ - $ 8,389,081 Designated 1,283,559 3,101,410 - - - 4,384,969 Restricted bond funds-current 3,086,269 10,468,813 - 13,555,082 Restricted bond funds-non-current 2,872,982 8,687,212 3,219,933 1,273,160 16,053,287 Total Cash and Investments 13,811,329 23,789,221 3,438,995 1,342,874 42,382,419 Less: Long-Term Investments - (1,895,996) - - (1,895,996) TOTAL CASH AND CASH EQUIVALENTS $ 13,811,329 $ 21,893,225 $ 3,438,995 $ 1,342,874 $ $ 40,486,423 Page 45 TRUCKEE DONNER PUBLIC UTILITY DISTRICT CERTIFICATES OF PARTICIPATION SERIES 2003A AND 2003B ANNUAL REPORT 12/31/2006 TRUCKEE DONNER PUBLIC UTILITY DISTRICT Historic Water Production and Accounts Total Production (Million %Increase/ Commercial %Increase/ Residential %Increase/ Year Gallons) (Decrease) Accounts (Decrease) Accounts (Decrease) 2001 1,736 481 8,130 2002 2,198 26.61% 548 13.93% 10,268 26.30% 2003 2,208 0.45% 563 2.74% 10,491 2.17% 2004 2,424 9.78% 582 3.37% 10,739 2.36% 2005 2,206 -8.99% 605 3.95% 11,146 3.79% 2006 2,371 7.48% 646 6.78% 11,436 2.60% TRUCKEE DONNER PUBLIC UTILTIY DISTRICT Historic Sales Revenues %Increase/ %Increase/ Year Residential (Decrease) Commercial (Decrease) 2001 $3,944,222 $476,195 2002 5,013,242 27.10% 647,822 36.04% 2003 5,768,092 15.06% 678,423 4.72% 2004 6,254,756 8.44% 825,109 21.62% 2005 6,609,311 5.67% 844,812 2.39% 2006 7,160,485 8.34% 991,941 17.42% TRUCKEE DONNER PUBLIC UTILTIY DISTRICT Largest Customers -Fiscal Year 2006 Customer Water Usage (1) Annual Payments Tahoe Mountain Club Company 119,183,260 $55,981 Coyote Moon Golf course 81,041,190 51,501 Tahoe Donner Association 53,981,474 146,432 East West Partners 36,579,140 17,996 Truckee Tahoe Unified School District 24,477,050 40,320 Tahoe Forest Hospital 14,849,210 31,576 CALTRANS 13,996,780 21,547 Bob Gales/Coachland(mobile home park) 13,735,000 26,588 Donner Creek Mobile Home Park 12,701,000 16,627 Truckee Donner Recreation 12,595,000 28,065 TOP TEN TOTAL 383,139,104 $436,633 TOTAL SYSTEM 2,371,000,000 $8,247,123 16.16% 5.29% Gallons These ten customers accounted for approximately 16.16% of total water usage and 5.29% of total revenues from sales to customers for the year ended December 31, 2006. TRUCKEE DONNER PUBLIC UTILITY DISTRICT Historic Operating Results&Debt Service Coverage Fiscal Year Ending December 31 Revenues 2002 2003 2004 2005 2006 Sales to Customers $5,719,245 $6,508,637 $7,089,121 $7,563,132 $8,247,123 Standby Fees 159,040 148,860 196,080 183,119 63,040 Investment Income(1) 494,797 185,530 150,349 258,352 451,305 Facilites Fees(2) 947,438 834,233 843,363 1,308,200 1,133,360 Connection Fees(2)(3) 207,551 235,109 343,581 405,987 314,528 Other(4) 272,803 392,098 402,932 417,541 469,642 Total Revenues $7,800,874 $8,304,467 $9,025,426 $10,136,331 $10,678,998 Operating&Maintenance Expenses Operations and Maintenance $3,318,100 $3,871,361 $4,157,384 $4,229,691 $4,289,245 Administration and General 1,192,054 1,166,604 1,413,250 1,525,485 1,558,078 Customer Services 251,294 255,477 290,500 297,517 322,608 Total Operations&Maintenance Expenses $4,761,448 $5,293,442 $5,861,134 $6,052,693 $6,169,931 Net Revenues $3,039,426 $3,011,025 $3,164,292 $4,083,638 $4,509,067 Parity Debt Service(5) 2006 Installment Purchase Agreement $0 $0 $0 $0 $173,904 1996 Installment Purchase Agreement 802,947 802,886 802,038 800,402 677,440 DWR Proposition 55 Loan 306,422 306,422 306,423 306,422 306,422 Interest on Parity Debt Service Reserve Funds (19,736) (20,349) (26,202) (32,362) (56,547) Total Parity Debt Service $1,089,633 $1,088,959 $1,082,259 $1,074,462 $1,101,219 Parity Debt Service Coverage 2.79 2.77 2.92 3.80 4.09 Net Revenues Remaining for Subordinate Debt $1,949,793 $1,922,066 $2,082,033 $3,009,176 $3,407,848 Service Subordinate Debt Service(5x6) $112,681 $390,114 $427,105 $435,280 $1,209,896 Parity and Subordinate Debt Service Coverage 2.53 2.04 2.10 2.70 1.95 Balance Available for Capital Projects or Other $1,837,112 $1,531,952 $1,654,928 $2,573,896 $2,197,952 Purposes NOTES (1) Excludes interest component of Donner Lake Assessment and interest on parity debt service reserve funds. (2) Appears as contributed capital in the Financial Statement of the District. (3) Historically,connection fees were recognized in the year in which the connection to the Water System was effected rather than the year in which the connection fee was allocated. (4) Includes interdepartmental sales. (5) Debt service presented on an accrual basis. (6) Represents payments on Capital Leases. The DWR Loan,which is secured by,and has historically been paid entirely from,the Donner Lake Assessments,is excluded form subordinate debt service.