[MissoulaGov] SID Deferrment

[David Strohmaier]

For clarification, what I was originally positing was a city-wide "levy."

 

Dave Strohmaier

 

From: Ed Childers [mailto:echilders at ci.missoula.mt.us] 
Sent: Sunday, February 15, 2009 11:28 AM
To: Jim McGrath
Cc: David Strohmaier; Bob Jaffe; missoulagov at cmslists.com
Subject: Re: [MissoulaGov] SID Deferrment

 

Mea culpa, Jim.
A levy is a levy, referred to in my previous post as a "levy."
A bond issue is a bond issue, referred to in my previous post as a "special
improvement district." (SID).

More accurately, "SID" is a generic term that can be either a levy or a bond
issue.
Thus we have SIDs for park districts and a street cleaning ("flushing")
district and lighting districts that are levies.
We have SIDs for sewer installation and road installation and underground
utilities and park improvements that are bond issues.

Better? :)
++
For clarity, I guess the discussion should distinguish between citywide bond
issues and citywide levies. Right or wrong, that's the discussion I was
hearing.

A citywide levy would be assessed as a citywide SID. A citywide bond would
probably be sold as a General Obligation Bond and assessed as such.

Back to your regular programming...

---ed




Ed Childers
echilders at ci.missoula.mt.us
 
406-728-3751
406-546-7681 (cell)
 
www.ci.missoula.mt.us
 



Jim McGrath wrote: 

Thanks for the clarification.

But it seems that Dave is discussing something different. 

"I think this is somewhat a matter of semantics, because for all intents and
purposes a city-wide street, park (you name it) maintenance district is very
much akin to a city-wide SID with the exception being that it would not
sunset after a specified period of time (e.g., 20 years) but would be
envisioned as a burden that the entire community would bear as long as there
are streets and sidewalks and trails to maintain."

This is like the downtown street cleaning district which is assessed each
year - your definition of levy, I guess. But how would a city-wide district
levy be different than a city-wide tax levy? 

 

 

 

 

  _____  

From: Ed Childers [mailto:echilders at ci.missoula.mt.us] 
Sent: Saturday, February 14, 2009 10:05 AM
To: David Strohmaier
Cc: Jim McGrath; 'Bob Jaffe'; missoulagov at cmslists.com
Subject: Re: [MissoulaGov] SID Deferrment

 

My nickel's worth:
    A Special Improvement District: bonds are sold up front to finance
improvements; property owners in the defined District Area repay the loan
(bonds) over a predetermined time period; they pay interest on the loan
(bonds) at a predetermined interest rate.
    A Levy: an annual charge to property owners in a defined area. The
amount is set periodically (in my experience, annually) based either on some
anticipated benefit to the owners or on benefit already delivered.
    Some combination of the two is possible; for instance there was a
proposal to sell Bonds to finance improvements at the Fort Missoula Park,
and charge an annual levy that would have repaid the loan (Bonds) and
provided ongoing maintenance.
    
    Not surprisingly, when we start discussing a proposal for citywide
financing of local projects such as sidewalks that have historically been
financed locally, people who have already paid for their own local
improvements object to paying for other people's. By the same token, when we
have a proposal for local financing of what appears to some to have been
financed citywide, people object.

---ed




Ed Childers
echilders at ci.missoula.mt.us
 
406-728-3751
406-546-7681 (cell)
 
www.ci.missoula.mt.us
 



David Strohmaier wrote: 

I think this is somewhat a matter of semantics, because for all intents and
purposes a city-wide street, park (you name it) maintenance district is very
much akin to a city-wide SID with the exception being that it would not
sunset after a specified period of time (e.g., 20 years) but would be
envisioned as a burden that the entire community would bear as long as there
are streets and sidewalks and trails to maintain.

 

Happy Valentine's Day

 

From: Jim McGrath [mailto:jmcgrath at missoulahousing.org] 
Sent: Friday, February 13, 2009 10:30 PM
To: David Strohmaier; Bob Jaffe; missoulagov at cmslists.com



 

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