1. Casitas Municipal Water District Community Facilities District No
Casitas Municipal Water District Community Facilities District No (OJAI) 2017 Special Tax Bonds
Bond Financing |April 2017

2. Financing Overview
Eminent domain action resulted in a Settlement Agreement with Golden State Water for the acquisition of its Ojai Water System
Approved by Water District Board on April 12, 2017
Judgment amount = $34,481,628
Due on or before June 15, 2017
Judgment Amount includes $913,000 of Golden State ending accounts receivable/billed water charges; will be applied to Ojai Water System capital when collected by Casitas Municipal Water District

3. Financing Plan Finance Judgment Amount (per Settlement Agreement)
Finance estimated Year 1-3 net improvement costs
Levy at 90% of Maximum Special Tax in years 1-3 to generate surplus Special Tax for additional capital improvements and reserve for unanticipated capital repairs

4. Required Facilities Funding
Judgment Amount
Improvements Years 1-3
Total
Bond Proceeds
$34,481,628
8,074,000
$42,555,628
Special Tax in Excess of Debt Service Years 1-3
1,572,000
GS Final Billings to Be Collected by CMWD
913,000
$10,559,000
$45,040,628
The Water District will undertake a system evaluation to determine if additional capital improvements are needed depending on the condition of the Ojai Water System assets; the CFD may issue additional bonds for additional major capital improvements to the Ojai Water System
Source: Casitas Municipal Water District and Harrell & Company Advisors, LLC

5. 2017 Special Tax Bonds Judgment Amount $34,481,628 Improvements
8,074,000
Subtotal Project Fund
42,555,628
Remainder Acquisition Legal Expenses (Series A)
100,000
Series B Capitalized Interest to September 1, 2017
482,000
Costs of Issuance
495,000
Bond Insurance/Surety Bond Premiums*
467,372
Total Financed Costs
$44,100,000
* Reserve Requirement = 75% of MADS for Series B Bonds; Any Additional Bonds require Reserve Fund at 75% of Lesser of 3-Prong Test
Source: Harrell & Company Advisors, LLC

6. CFD Special Tax Bonds
$60,000,000 Maximum Authorized Special Tax Bonds District expects to issue $44,100,000 for initial acquisition and improvements IRS limits issue size to what is reasonably expected to be spent in 3 years

7. Rate and Method of Apportionment
RMA has two tax tiers – a low initial tax rate and a higher second tier tax rate after “2nd Bond Issuance”
RMA contemplated one initial series of bonds to pay pre- acquisition legal expenses in connection with eminent domain action and a second series to pay for acquisition
Special Taxes levied in 2015/16 and 2016/17 were sufficient to pay legal costs, so no 1st Series of bonds was issued
2017 Bonds include a $100,000 Series A Bond so that $ Million Series B Bond can satisfy “2nd Bond Issuance” requirement and trigger higher tax rate
2017 Series A Bonds mature September 1, (will be paid from 2016/17 special tax collections)

8. General Special Tax Levy Information
6 classes of residential property + Commercial + Industrial
Levy only on Developed Property (building permit)
A parcel of Developed Property may contain more than one Land Use Class or Unit and the Maximum Special Tax levied on such parcel is the sum of the Maximum Special Tax for all Land Use Classes/Units located on that parcel.
2% annual increase in Maximum Special Tax

9. General Special Tax Levy Information
Land
Parcel
Maximum Special Tax
2017/18
Use
Square
Approx
2016/17
Expected 90%
Class
Description
Footage
Acreage
Prior to Issuance
After 2nd Issuance
Max Tax Levy 1
SF Detached Unit
43,560 SF or Larger
1 Acre+
$366.12
$2,265.53
$2,039 2
=> 22,000 SF and < 43,560 SF
½-1 Acre
215.42
1,336.80
1,203 3
=> 10,000 SF and < 22,000 SF
¼-½ Acre
129.46
802.08
722 4
Less than 10,000 SF
<¼ Acre
83.84
519.57
468 5
Condominium Unit
N/A
71.10
440.55
396 6
MF Attached Unit
60.48
377.77
340 7
Commercial
$ per SF Floor Area
$ per SF Floor Area
$0.30 PSF 8
Industrial
$ per SF Floor Area
$ per SF Floor Area
$0.15 PSF

10. 2017/18 Projected Effective Tax Rates
Class 1
Class 2
Class 3
Class 4
Class 5
Class 6
Average AV Less $7,000 HOX (1)
$959,300
$678,200
$438,500
$309,200
$482,200
$133,200
Ad Valorem (1.0698%)
$10,263
$7,255
$4,691
$3,308
$5,159
$1,425
CFD (2)
2,039
1,203
722
468
396
340
OVSD Sewer Charge
695
All Other Assessments
125
124
103
100 84 54
Total Taxes
$13,122
$9,277
$6,211
$4,571
$6,334
$2,514
% of Net AV
1.37%
1.42%
1.48%
1.31%
1.89%
(1) Average assessed value for an occupied dwelling unit on a parcel containing only one unit, excluding multifamily attached units for Land Use Class 6, based on assessed value information provided by the Ventura County Assessor as of January 1, Average assessed value for a Land Use Class 6 unit represents equivalent value per unit with a multifamily structure, based on assessed value information provided by the Ventura County Assessor as of January 1, 2016.
(2) Assumed 90% of Maximum Special Tax
Source: David Taussig & Associates, Inc.

11. Estimated Prepayment Prior to Bond Issuance
RMA contains a formula for prepayment of the entire special tax obligation prior to issuance of Bonds
CFD Public Facilities Costs Per RMA $42,250,000
Construction Index Change from 7/1/14 to 7/1/ %
Inflated Facilities Costs $44,567,371
Total District
Class 1 Residential Unit
Class 2 Residential Unit
Class 3 Residential Unit
Class 4 Residential Unit
Class 5 Residential Unit
Class 6 Residential Unit
$44,567,371
$35,020
$20,664
$12,398
$8,031
$6,810
$5,840
Source: David Taussig & Associates, Inc.

12. Projected Special Tax Levy
Year
Levy at 90% Max Tax
CFD and Bonds Admin Costs
Debt Service
Year 1-3 Capital Improvements
Available
For Future Improvements*
2018
$2,594,838
$(50,000)
$(2,030,000)
$514,838
2019
2,646,734
(51,000)
(2,073,000)
522,734
2020
2,699,669
(52,020)
(2,113,000)
534,649
2021
2,753,663
(53,060)
(2,156,000)
$544,603
2022
2,808,736
(54,120)
(2,201,000)
553,616
2023
2,864,911
(55,200)
(2,243,000)
566,711
2024
2,922,209
(56,300)
(2,288,000)
577,909
2025
2,980,653
(57,430)
(2,332,000)
591,223
2026
3,040,267
(58,580)
(2,382,000)
599,687
2027
3,101,072
(59,750)
(2,429,000)
612,322
2028
3,163,093
(60,950)
(2,476,000)
626,143
2029
3,226,355
(62,170)
(2,525,000)
639,185
2030
3,290,882
(63,410)
(2,575,000)
652,472
2031
3,356,700
(64,680)
(2,630,000)
662,020
2032
3,423,834
(65,970)
(2,680,000)
677,864
2033
3,492,311
(67,290)
(2,735,000)
690,021
2034
3,562,157
(68,640)
(2,787,000)
706,517
2035
3,633,400
(70,010)
(2,845,000)
718,390
2036
3,706,068
(71,410)
(2,899,000)
735,658
2037
3,780,189
(72,840)
(2,957,000)
750,349
2038
3,855,793
(74,300)
(3,021,000)
760,493
2039
3,932,908
(75,790)
(3,078,000)
779,118
2040
4,011,566
(77,310)
(3,138,000)
796,256
2041
4,091,798
(78,860)
(3,201,000)
811,938
2042
4,173,634
(80,440)
(3,270,000)
823,194
2043
4,257,106
(82,050)
(3,335,000)
840,056
2044
4,342,248
(83,690)
(3,400,000)
858,558
2045
4,429,093
(85,360)
(3,466,000)
877,733
2046
4,517,674
(87,070)
(3,537,000)
893,604
2047
4,608,028
(88,810)
(3,607,000)
912,218
* May or May Not be Levied Depending on System Improvement Costs; Determined after System Evaluation
Source: Harrell & Company Advisors, LLC

13. Timing * Interested buyers can call Piper Jaffray & Co. 800-552-0614
Date
Action
Tuesday, April 25
Received Credit Rating
Wednesday, April 26
Board Approval of Financing Documents
Thursday, April 27
Receive Bond Insurance Commitment
Friday, April 28
Post Preliminary Official Statement
Wednesday, May 10
Bond Pricing*
Wednesday, May 31
Bond Closing
Thursday, June 15
Deadline to Pay Judgment Amount
* Interested buyers can call Piper Jaffray & Co.