Chula Vista Municipal
Financing Authority
(CVMFA)
Item 7.2: Issuance of
Refunding Revenue
Bonds
• Periodic review of outstanding debt to
identify potential refunding opportunities
• Minimum goal of 5% net present value
savings of the principal amount for
refunding
• 2015 debt issuance related to four
Community Facilities Districts (CFD’s)
estimated to benefit from a refunding
City Debt Policy
Refunding Structure
CFDs issue
Special Tax
Refunding Bonds
Authority issues
Revenue
Refunding Bonds
Authority
Prepays 2015A
Bonds
Authority Bonds were issued in 2015 to aggregate and refund four Bonds related to:
• CFD 2001-1 Improvement Area B (2005 - San Miguel Ranch) • CFD 07-I (2006 - Otay Ranch Village Eleven)
• CFD 12-I (2005 - McMillan Otay Ranch Village Seven)
• CFD 13-I (2006 - Otay Ranch Village Seven)
CFD Bonds Financed Various Public Improvements
2015A Bonds History
CFD Locations
2015A Bonds Estimated Refunding*
Average Interest Rate: 4.8% Average Interest Rate: 3.3% Bonds outstanding: $22,035,000 Par amount of Bonds Issued: $16,065,000** Maturity Date: September 2036 Maturity Date: September 2036 Estimated NPV Savings: $1.7 Million / 8.3%***
*The numbers provided are estimates, subject to change, and will be finalized at closing ** Reserves and premium on issuance allow for lower par amount of bonds issued than outstanding ***Payment savings are estimated at an average of $2 Million or 9.3% Refunding Opportunity
Chula Vista Municipal Financing Authority (“Authority”) Revenue Refunding Special Tax Bonds, Series 2015A
CFD No. 07-I CFD No. 12-I CFD No. 13-I
CFD No. 2001-1
IA B Total
Costs of Issuance $267,000 $193,000 $58,000 $91,000 $609,000 Prepay 2015A Authority Bonds 9,408,000 6,770,000 2,886,000 3,490,000 22,554,000 Total Refunding Requirement 9,675,000 6,963,000 2,944,000 3,581,000 23,163,000 2015A Reserve Fund (829,000) (735,000) (317,000) (382,000) (2,263,000) Special Tax Available (1,005,000) (582,000) (925,000) (561,000) (3,073,000) Total Net Bond Proceeds 7,841,000 5,646,000 1,702,000 2,638,000 17,827,000 Original Issue Premium (841,000) (521,000) (157,000) (243,000) (1,762,000) Par Amount Issued* $7,000,000 $5,125,000 $1,545,000 $2,395,000 $16,065,000 Refunding Overview
*The numbers provided are estimates, subject to change, and will be finalized at closing District Name/Improvement Area Estimated
Annual
Savings
Average
Annual
Savings Per
Property
Owner -
Attached
No. of
Property
Owners -
Attached
Average Annual
Savings Per
Property Owner
- Detached
No. of
Property
Owners -
Detached
CFD No. 07-I (Otay Ranch Village Eleven) 8.4% $34 617 $44 1,351 CFD No. 12-I (McMillin Otay Ranch Village Seven) 7.1% $48 218 $74 541 CFD No. 13-I (Otay Ranch Village Seven) 13.2% N/A N/A $85 361 CFD No. 2001-1, IA B (San Miguel Ranch) 8.7% N/A N/A $99 286 Totals: 9.3% $41 835 $75 2,539
Estimated Annual Savings by CFD
*The numbers provided are estimates, subject to change, and will be finalized at closing Refunding Timeline
▪ Post the Preliminary Official Statement August 6, 2025 ▪ Publish Notice to Sell Bonds August 8, 2025
▪ Award Bid August 19, 2025
▪ Bond Closing September 4, 2025
• Acting as the legislative body for four CFDs, adopt separate resolutions authorizing the issuance of CFD Special Tax Refunding Bonds with a not-to-exceed combined total of $19,000,000.
• Acting as the legislative body for the Chula Vista Municipal Financing Authority, adopt a resolution authorizing the issuance of Local Agency Revenue Refunding Bonds in a principal amount not-to-exceed $19,000,000.
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