Why is this project being funded through private donations instead of a bond measure?
The LRD Board carefully considered all financing options, including a bond, but instead of funding this project via a bond or special tax from each household, the focus has been on soliciting tax-deductible charitable donations. There are significant issuance, interest, and other administrative costs attached to bonds. These fees would be borne by Ladera property owners. To cover any project costs beyond what the LRD has in hand supplemented with donations, we will procure a bank loan (on very favorable terms) and the fees are one-quarter the cost of a bond measure.
Don't I already pay taxes to support the LRD?
Not specifically. The last bond rolled off our taxes in 2011 and there is no specific line-item on your taxes to support the LRD. We do receive annual County funding that supports about one-third of the LRD operating budget.
Will donations be used exclusively for the pool remodel?
Donated funds are being placed in a bank account specifically earmarked for the pool construction and will be exclusively utilized for that purpose.
Is there a tax benefit associated with a donation?
The Ladera Recreation District is a 170(c)(1) government organization and charitable donations are tax-deductible to the full extent of the law. Please consult your tax advisor regarding specific questions about your deductions.