Level debt service

Level debt service

A municipal charter provision that debt payments must be relatively equal from year to year so that required revenue projections are easier.

Level Debt Service

A provision in many city and other local government charters stating that debt payments must be relatively equal from year to year. This allows the municipality to make revenue projections more easily, but may impose constraints on municipal bond issues. See also: Debt ceiling.
References in periodicals archive ?
The project's debt structure is comprised of senior, fully amortizing, fixed-rate bonds with level debt service.
The Series 2016 Bonds are anticipated to be secured by the Citys Transportation Surtax and issued with 30-year level debt service.
This is not level debt service because the total payments are not constant for all periods.
Most municipal bond issues are structured with level debt service payments over the life of the issue.
The certificates are structured with level debt service for the 40-year term after the interest only period during the initial development period, or IDP.
Assuming expected issuance over the next 12 months, pro forma debt service would still be covered with a 72% drop in pledged tax revenues at the maximum tax levy assuming level debt service.
TIBs are fixed rate with 20-year level debt service amortizations.
For jurisdictions that choose to use a level debt service structure, achieving this rate of repayment is challenging.
Both series are uninsured fixed rate debt producing level debt service.
The rating is further supported by the authority's flexible annual rate-setting ability and its level debt service profile, which together have generated an increasing debt service coverage ratio (DSCR) profile that should remain in the 3.
With estimated level debt service of approximately $37 million per year, NIMPA's debt service coverage will likely be in the 1.
All outstanding debt is fixed-rate and fully amortizing with aggregate level debt service payments of approximately $5.