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HomeMy WebLinkAbout16 Old Greenwood Grays Crossing Payment Status Agenda Item # 16 uUblic Utility District WORKSHOP To: Board of Directors From: Mary Chapman Date: August 05, 2009 Subject: Review of the Old Greenwood and Gray's Crossing Community Facilities Districts Annual Levy Payment Status 1. WHY THIS MATTER IS BEFORE THE BOARD This workshop is intended to update the Board on the status of delinquent Old Greenwood and Gray's Crossing Community Facilities District (CFD) payments. 2. HISTORY The Old Greenwood CFD was formed in 2003 to install infrastructure in the Old Greenwood development. The Gray's Crossing CFD was formed in 2004 to install infrastructure in the Gray's Crossing development. A second series of bonds were sold in 2005 for additional Gray's Crossing infrastructure. 3. NEW INFORMATION Through the 2007/08 annual levies, there weren't very many delinquent levies on both Old Greenwood or Gray's Crossing. However, the number of delinquencies increased significantly on the 2008/09 levies. Attached is a chart showing these changes. Nevada County sends the District the exact amount they collect. At the end of June of each year, Nevada County requires that we remove any delinquent amounts due from the County tax rolls. The District uses Willdan Financial Services to administer the annual levies including sending out a series of delinquent letters. If property owners do not pay by the first of October, the District is required to pursue foreclosure proceedings pursuant to the covenants in the Trust Indentures. There will probably only be a few property owners that will be sufficiently delinquent on October 1 st requiring the District to proceed with foreclosure on their properties. We will bring this back to the Board for authorization to proceed at that time. 4. FISCAL IMPACT Delinquent CFD payments may lead to our not having sufficient monies to make the semi-annual principal and interest payments due on each CFD. If this happens, we will rely on any monies available in the Surplus Fund. As a last resort, we would rely on the Reserve Fund but that would trigger a Significant Event requiring disclosure. The Truckee Donner Public Utility District is not responsible for making any principal and interest payments from District funds. 5. RECOMMENDATION Review this report and provide comment. O�n, � i' Mary Chap n ichael D. Holley Administrative Services Manager General Manager RECAP OF DELINQUENT CFD ANNUAL LEVIES OLD GREENWOOD PROPERTIES: Tax Year Amount Past Due #of Parcels 2006/07 $4,681.80 2 2007/08 4,775.43 2 2008/09 29,658.66 11 Total Old Greenwood Past Due $39,115.89 GRAY'S CROSSING PROPERTIES: Tax Year Amount Past Due #of Parcels 2006/07 $14,383.50 6 2007/08 15,957.90 6 2008/09 119,825.19 41 Total Gray's Crossing Past Due $150,166.59 Total Past Due $189,282.48