Correct: Fitch Rates Douglas County, Colorado's Parks Sales Tax Bonds 'A+'.Business Editors AUSTIN--(BUSINESS WIRE)--Sept. 17, 2002 (This is an amended version of a press release dated September 9, 2002 which includes corrected rating information in the first paragraph). Fitch Ratings Fitch Ratings An international rating agency for financial institutions, insurance companies, and corporate, sovereign, and municipal debt. Fitch Ratings has headquarters in New York and London and is wholly owned by FIMALAC of Paris. assigns an 'A+' rating to Douglas County Douglas County is the name of twelve counties in the United States:
v. af·firmed, af·firm·ing, af·firms v.tr. 1. To declare positively or firmly; maintain to be true. 2. To support or uphold the validity of; confirm. v.intr. the 'A+' rating on the county's outstanding $23,610,000 open space sales and use tax revenue bonds and the 'AA-' rating on $22,465,000 in outstanding sales and use tax revenue bonds. Dated Oct. 1, 2002, the bonds mature Oct. 15, 2003-2022. The bonds are subject to optional redemption on Oct. 15, 2012, or any date thereafter, at par plus accrued interest Accrued Interest The interest that has accumulated on a bond since the last interest payment up to but not including the settlement date. There are two methods for calculating accrued interest: 1) 360-day year method, used for corporate and municipal bonds. . The bonds are secured by a first lien lien, claim or charge held by one party, on property owned by a second party, as security for payment of some debt, obligation, or duty owed by that second party. on a portion of a voter-approved 0.17% sales and use tax. Bond proceeds will be used for the design and construction of county parks and trails. The rating reflects the sound coverage provided by the pledged portion of the sales and use tax, its strong growth in recent years, satisfactory additional bonds test Additional bonds test A test for ensuring that bond issuers can meet the debt service requirements of issuing any new additional bonds. additional bonds test , and the county's sound overall economy and financial operations. As the nation's fastest growing county, Douglas County's outlook for future development remains strong. Retail expansion fostered rapid sales tax sales tax, levy on the sale of goods or services, generally calculated as a percentage of the selling price, and sometimes called a purchase tax. It is usually collected in the form of an extra charge by the retailer, who remits the tax to the government. growth until recently, providing strong debt service coverage and positive overall county financial operations. After recent large sales tax increases, only very modest gains were realized in 2001, followed by continued modest growth in the current fiscal period. Benefiting from its proximity to both the Denver metropolitan and Colorado Springs Colorado Springs, city (1990 pop. 281,140), seat of El Paso co., central Colo., on Monument and Fountain creeks, at the foot of Pikes Peak; inc. 1886. It is a year-round resort and a booming military, technological, and commercial city. labor markets labor market A place where labor is exchanged for wages; an LM is defined by geography, education and technical expertise, occupation, licensure or certification requirements, and job experience , county income levels are high, although unemployment rates have doubled but are still below the state average. While decreasing, the county's current debt burden is high, reflecting issuance by many entities to keep pace with growth-generated needs. Concerns center on the county's ability to continue effectively managing the expected development. Located along the Interstate in·ter·state adj. Involving, existing between, or connecting two or more states. n. One of a system of highways extending between the major cities of the 48 contiguous United States. Noun 1. 25 corridor between Denver and Colorado Springs, the county covers a large and rapidly growing area, with strong residential, retail, and office development. Ease of access to both labor markets, coupled with well-regulated open space requirements, have attracted a wealthy population base. The county's population has nearly tripled since 1990, following 140% growth during the 1980s. While the majority of county residents commute TO COMMUTE. To substitute one punishment in the place of another. For example, if a man be sentenced to be hung, the executive may, in some states, commute his punishment to that of imprisonment. to work in other parts of the Denver metropolitan area, the county's job base is developing. Most rapid gains have been in trade, telecommunications, and construction. Assessed valuations have exhibited similarly rapid rises, resulting in dramatic increases in property tax revenue. Development includes the Park Meadows Town Center, a regional shopping mall that has added significantly to the sales tax base. Wealth levels in the county are substantially above state and national averages. The county first levied the parks sales and use tax securing these bonds on Jan. 1, 1995, and it extends to 2023. Historically, collections have shown very strong growth; total pledged revenues grew 136% between 1995-1999 and include annual gains of 16% in 2000 and 18% in 1999. Bonds are secured by a portion of the open space 0.17% levy, net of administrative and local government set-asides. The local government distribution is based on a complex formula. Maximum annual debt service is covered a strong 2.5 times (x) by the pledged portion of 2001's tax collections. These bonds represent the first installment of a 2001 authorization of $43 million for parks and open space bonds. The county expects to issue the second installment in mid-October, as open space bonds, in the amount of $18-$19 million. The next installment of sales tax bonds for parks is projected for 2004. Douglas County's financial operations are sound, as strong revenue growth and effective management have more than offset growth-related operating pressure. The county remains well in excess of its 10% of general fund expenditures reserve policy. Dedicated revenue sources generally are accounted for in special revenue funds, some of which perform general government-type functions. The 2001 general fund balance was a healthy $17.4 million, 29.4% of the year's $53.9 million in expenditures and transfers out. Reflecting the recent growth, the county's debt burden is above average, owing mostly to underlying municipalities' debt issues. While the county has no outstanding general obligation debt, direct debt includes open space sales tax bonds secured by a separate portion of the same 0.17% levy, plus other sales tax bonds sold in 1996 to build a new justice center. The county's direct debt is slightly below average, with the current offering maturing in 2022, nearly matching the securing sales taxes' expiration EXPIRATION. Cessation; end. As, the expiration of, a lease, of a contract, or statute. 2. In general, the expiration of a contract puts an end to all the engagements of the parties, except to those which arise from the non- fulfillment of obligations created . |
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