|Cash Short McWhinney To Take Money Away
From I-25 / 34 Interchange Fund
Loveland City Council set to approve MFA amendments April 7, 2009
see LovelandPolitics' related story from 1-24-09
|Federal Stimulus Money Aids
McWhinney Shell Game
Instead of funding the long promised "Regional
Improvements" the McWhinney organization is
simply amending its agreement with the City of
Loveland to broaden the definition of "Regional
Improvements" and take credit for federal
expenditures on local projects.
McWhinney wants the $ 3 million of federal
stimulus money being paid to the Roundabouts on
Crossroads in their Metro District to count as their
contribution towards Regional Improvements and
let McWhinney off-the-hook to improve I-25 /
Highway 34 in the near-term and use that money
for McWhinney's own projects.
The longer-term plan appears to be McWhinney's
OPM (Other People's Money) strategy. Wait for
other public funds to repair the dangerous I-25
and Highway 34 interchange.
McWhinney continues using tax revenue and bond
debt to directly subsidize its own projects while
ignoring the critical transportation infrastructure
needs of the community that have been
exacerbated by McWhinney's own developments.
The original MFA was sold to the community as
an opportunity to fund badly needed infrastructure
improvements. McWhinney has instead played a
shell game to avoid properly funding the I-25 /
U.S. 34 interchange despite adding to the traffic
and collecting taxes originally intended for that
Loveland's Public Debt Growing
Centerra Metro District public debt in both
principal and interest owed has now exceeded
$3,000 of debt for every man, woman and
child in the City of Loveland.
(this includes principal and interest to be repaid for
the next 25 years on the approximately $117 Million
in bonds already exercised or authorized).
While Loveland city management contends the
city is not liable in case of default - this isn't
entirely true. All the taxes collected in the defined
Metro Districts cannot go to the city unless the
bonds are paid (in the case of a default by the
Metro District) and the city's bond rating would
be adversely impacted thus raising the borrowing
costs of the City of Loveland.
Tax Dollars Now Going To Service
McWhinney's Metro District Public
Bond Interest Paid in 2008
$ 2.4 million
Bond Interest and Letter of Credit fees for 2008
|What is the McWhinney Tax?
PIF (Public Improvement Fee)
1.25% retail sales tax
TIF (Tax Increment Financing)
Any property tax collected above the property's
base value determined at the time the Metro
District is formed
Specific Ownership Tax
County collected automobile registration tax
distributed to all taxing entities
in the county
|Important Reference Documents
Provided by LovelandPolitics.com Archive
1. Centerra Metro Districts 1-4 Annual Audited Budget Statements (2007)
2. Original Master Financing Agreement (MFA) between Loveland & McWhinney
3. December 5, 2006 Amendment to the Master Financing Agreement (MFA)
4. See below the City of Loveland list of promised general transportation
improvements and amounts the Centerra Metro District was supposed to contribute.