2003-7 involved a VPF with standard commercial terms similar to the VPF described above, with one notable exception: the counterparty in the ruling did not have the right to borrow the underlying shares pledged
by the counterparty.
revenues, consisting of system payments, series payments, and transfers and interest earnings from the revenue stabilization fund, provide about 1.
The two attendance-related elements of pledged
revenues, net race track revenues and concessions, make up 91% of pledged
Including the pledged
federal revenues, coverage rises to 6.
GGRT revenues, which are also pledged
to senior bondholders, currently add 0.
The bonds are special revenue obligations of the commission, payable from revenue from various highway user fees and taxes (about 60% motor fuel taxes) constitutionally dedicated for highway purposes and deposited in the original fund and the portion of the motor vehicle sales tax formerly deposited in the state general revenue fund to be deposited in the state road bond fund (the new fund) and pledged
to bondholders pursuant to Amendment 3.
However, a one-quarter cent sales tax is pledged
to the bonds.
Per the gaming revenue code (GRC) adopted by the tribal council in 1995, 80% of the net gaming tax is restricted in use to economic development expenses and this revenue is pledged
to bond holders.
The ratings rest primarily on the security provided for all four series of bonds by the pledged
ballpark fee, a gross receipts fee levied on all businesses in the district with over $5 million in annual gross receipts.
The ratings reflect the healthy coverage for bond debt service provided by pledged
documentary stamp taxes and various covenants limiting the ability to issue additional debt.
Growth in enrollment and credit hours is strong, leading to overall growth in pledged
The 'BBB' rating incorporates credit strengths including strong bondholder protections; relatively broad pledged
revenues generated by federally chartered Pueblo corporations, providing insulation from Pueblo politics; and no per capita distributions.