NPORT-EX 2 d889401d8k.htm PART F HTML

COLORADO BONDSHARES

A TAX-EXEMPT FUND

Schedule of Investments

December 31, 2019

 

    Maturity    Coupon     Principal     Value  

Colorado Municipal Bonds 41.3%

 

Colorado 100.0%

 

ABERDEEN METROPOLITAN DISTRICT #1

   12/1/2035      7.50 %    $ 1,600,000     $ 476,000  

ANTHOLOGY WEST METROPOLITAN DISTRICT #4 (g)

   12/15/2037      6.00 %      6,440,000       6,554,052  

ANTHOLOGY WEST METROPOLITAN DISTRICT #5, SER A

   12/1/2049      4.88 %      4,630,000       4,635,834  

ANTHOLOGY WEST METROPOLITAN DISTRICT #5, SER B SUBS (g)

   12/15/2049      7.63 %      698,000       697,846  

BANNING LEWIS RANCH METROPOLITAN DISTRICT #3 - SENIOR 2015A

   12/1/2045      6.13 %      1,775,000       1,827,664  

BANNING LEWIS RANCH REGIONAL METROPOLITAN DISTRICT

   12/1/2048      5.38 %      2,500,000       2,646,850  

BANNING LEWIS RANCH REGIONAL METROPOLITAN DISTRICT, SERIES 2018B (g)

   12/15/2041      7.75 %      625,000       657,419  

BRAMMING FARM METROPOLITAN DISTRICT #1 (d)

   12/1/2044      6.00 %      1,987,500       2,072,605  

BRENNAN METROPOLITIAN DISTRICT - SENIOR 2016A

   12/1/2046      5.25 %      1,185,000       1,247,390  

BRENNAN METROPOLITAN DISTRICT - SUBORDINATE 2016b (g)

   12/15/2046      7.50 %      516,000       528,121  

BRIGHTON CROSSING METROPOLITAN DISTRICT #4 - SENIOR 2017A

   12/1/2037      5.00 %      525,000       556,458  

BRIGHTON CROSSING METROPOLITAN DISTRICT #4 - SUBORDINATE 2017B (g)

   12/1/2047      7.00 %      670,000       690,716  

CASTLE OAKS METROPOLITAN DISTRICT #3

   12/1/2044      6.25 %      2,860,000       3,073,671  

CASTLE OAKS METROPOLITAN DISTRICT #3 - SERIES 2016

   12/1/2045      5.50 %      2,345,000       2,504,530  

CASTLE OAKS METROPOLITAN DISTRICT #3 - SERIES 2017

   12/1/2037      5.00 %      3,275,000       3,362,541  

CITY CTR WEST RSDL METROPOLITAN DISTRICT NO. 2

   12/1/2049      5.00 %      1,040,000       1,091,189  

CITY CTR WEST RSDL METROPOLITAN DISTRICT NO. 2, SUBORDINATES (g)

   12/15/2049      7.75 %      1,425,000       1,423,162  

COLLIERS HILL METROPOLITAN DISTRICT #2 - SUBORDINATE 2017B (g)

   12/15/2047      8.50 %      3,501,000       3,546,128  

COLORADO CENTRE METROPOLITAN DISTRICT - SERIES B (g)(i)(j)

   1/1/2032      0.00 %      6,494,752       3,409,745  

COLORADO CENTRE METROPOLITAN DISTRICT - SERIES 1992
P/O (e)(i)

   1/1/2027      0.00 %      2,017,460       1,760,173  

COLORADO CENTRE METROPOLITAN DISTRICT - SERIES
1992 I/O (f)(i)(j)

   1/1/2027      9.00 %      2,022,940       1,618,352  

COLORADO CROSSING METROPOLITAN DISTRICT #2

   12/1/2047      7.50 %      7,391,000       7,636,677  

CECFA - THOMAS MACLAREN CHARTER SCHOOL

   6/1/2024      5.00 %      15,350,000       15,373,486  

CECFA - APEX CMNTY CHARTER SCHOOL

   7/1/2022      5.25 %      11,635,000       11,650,126  

CECFA - SWALLOW ACADEMY CHARTER SCHOOL

   11/15/2027      5.35 %      3,420,000       3,508,510  

CECFA-NEW VISION CHARTER SCHOOL

   6/1/2025      5.38 %      23,135,000       23,327,483  

CECFA - GRAND PEAK ACADEMY CHARTER SCHOOL

   7/1/2025      5.60 %      20,975,000       21,144,898  

CECFA GLOBAL VILLAGE ACADEMY CHARTER SCHOOL, SER A

   7/1/2025      5.35 %      2,540,000       2,541,346  

CECFA - AMERICAN ACADEMY CHARTER SCHOOL

   12/1/2026      4.05 %      27,025,000       26,449,908  

COLORADO HOUSING & FINANCE AUTHORITY (a)(j)

   12/1/2013      0.00 %      3,755,000       3,755,000  

CHFA - CASEY’S POND SENIOR LIVING (l)

   6/1/2032      0.00 %      8,110,000       5,336,867  

CHFA - CASEY’S POND SENIOR LIVING (l)

   6/1/2042      0.00 %      10,665,000       6,977,256  

CHFA - CASEY’S POND SENIOR LIVING (l)

   6/1/2047      0.00 %      8,600,000       5,621,046  

COLORADO INTERNATIONAL CENTER METROPOLITAN DISTRICT #3

   12/1/2031      4.63 %      635,000       651,377  

COLORADO SPRINGS URBAN RENEWAL AUTHORITY

   12/15/2030      6.75 %      713,000       699,075  

CONIFER METROPOLITAN DISTRICT

   12/1/2030      0.00 %      10,000,000       4,000,000  

CONIFER METROPOLITAN DISTRICT

   12/1/2032      0.00 %      1,450,000       580,000  

CONIFER METROPOLITAN DISTRICT

   12/1/2033      0.00 %      1,550,000       620,000  

COPPERLEAF METROPOLITAN DISTRICT #3

   12/1/2037      5.00 %      1,000,000       1,050,000  

COUNTRY CLUB HIGHLANDS METROPOLITAN DISTRICT

   12/1/2037      7.25 %      1,030,000       875,500  

CUCHARES RANCH METROPOLITAN DISTRICT

   12/1/2045      5.00 %      2,062,000       2,120,623  

DENVER INTL BUSINESS CTR METROPOLITAN DISTRICT NO. 1 - SERIES 2019B SUB (g)

   12/1/2048      6.00 %      2,295,000       2,406,881  

DENVER WEST PROMENADE METROPOLITAN DISTRICT

   12/1/2031      5.13 %      500,000       514,055  

DENVER WEST PROMENADE METROPOLITAN DISTRICT

   12/15/2046      6.00 %      500,000       511,805  

UNITED W & S - EAST CHERRY CREEK (c)

   11/15/2023      5.00 %      3,493,000       3,498,449  

ELBERT & HWY 86 COML METROPOLITAN DISTRICT

   12/1/2032      7.50 %      4,500,000       3,375,000  

ERIE FARM METROPOLITAN DISTRICT - SERIES 2016A

   12/1/2045      5.50 %      2,000,000       2,093,000  

ERIE HIGHLANDS METROPOLITAN DISTRICT #1 - SENIOR 2015A

   12/1/2045      5.75 %      2,620,000       2,720,346  

ERIE HIGHLANDS METROPOLITAN DISTRICT #1 - SUBORDINATE 2015B (g)

   12/15/2045      7.75 %      708,000       725,459  

ERIE HIGHLANDS METROPOLITAN DISTRICT NO2, SER 2018A

   12/1/2048      5.25 %      6,000,000       6,286,260  

ERIE HIGHLANDS METROPOLITAN DISTRICT NO 2, SER 2018B SUBORDINATES (g)

   12/15/2048      7.63 %      1,819,000       1,895,744  

FLATIRON MEADOWS METROPOLITAN DISTRICT

   12/1/2046      5.13 %      2,000,000       2,061,240  

FLYING HORSE METROPOLITAN DISTRICT NO 3

   12/1/2049      6.00 %      2,965,000       3,010,631  

FOREST TRACE METROPOLITAN DISTRICT #3 - SUBORDINATE 2016B (g)    

   12/15/2046      7.25 %      683,000       772,931  

    Maturity    Coupon     Principal     Value  

FORT LUPTON GOLF COURSE (a)(j)

   12/15/2037      0.00 %    $ 620,000     $ 6,200  

GODDING HOLLOW METROPOLITAN DISTRICT

   12/1/2034      6.50 %      925,000       972,110  

GREAT WESTERN PARK METROPOLITAN DISTRICT #2 - SENIOR 2016A

   12/1/2026      4.00 %      585,000       590,973  

GREAT WESTERN PARK METROPOLITAN DISTRICT #2 - SUBORDINATE 2016B (g)

   12/15/2046      7.25 %      775,000       784,695  

GREEN GABLES METROPOLITAN DISTRICT #1 - SENIOR 2016A

   12/1/2046      5.30 %      1,250,000       1,338,275  

GREEN GABLES METROPOLITAN DISTRICT #1 - SUBORDINATE 2016B (g)

   12/15/2046      7.75 %      740,000       849,616  

GREEN GABLES METROPOLITAN DISTRICT NO. 2 SERIES 2018B SUBORDINATE (g)

   12/15/2048      8.25 %      1,689,000       1,768,332  

HIGHLANDS METROPOLITAN DISTRICT #2 - SENIOR 2016A

   12/1/2046      5.13 %      1,960,000       2,040,066  

HIGHLANDS METROPOLITAN DISTRICT #2 - SUBORDINATE 2016B (g)

   12/15/2046      7.50 %      1,269,000       1,307,882  

HUNTER’S OVERLOOK METROPOLITAN DISTRICT NO. 5, SUBS (g)

   12/15/2049      8.50 %      1,827,000       1,829,594  

HYLAND VILLAGE METROPOLITAN DISTRICT

   12/1/2027      8.00 %      4,293,000       2,146,500  

IRON WORKS VILLAGE METROPOLITAN DISTRICT

   12/1/2048      5.88 %      1,500,000       1,582,545  

JEFFCO BUSINESS CENTER METROPOLITAN DISTRICT #1 (j)

   5/1/2021      8.00 %      1,006,000       1,006,000  

JEFFERSON CENTER METROPOLITAN DISTRICT #1

   12/1/2026      4.75 %      1,728,000       1,769,939  

LEWIS POINTE METROPOLITAN DISTRICT - SENIOR 2015A

   12/1/2044      6.00 %      2,590,000       2,612,429  

LEWIS POINTE METROPOLITAN DISTRICT - JUNIOR LIEN 2017C (g)

   12/15/2047      9.00 %      536,000       349,086  

LEYDEN ROCK METROPOLITAN DISTRICT - SENIOR 2016A

   12/1/2025      4.00 %      500,000       520,505  

LEYDEN ROCK METROPOLITAN DISTRICT - SENIOR 2016A

   12/1/2033      4.38 %      905,000       950,440  

LEYDEN ROCK METROPOLITAN DISTRICT - SENIOR 2016A

   12/1/2045      5.00 %      1,525,000       1,598,368  

LEYDEN ROCK METROPOLITAN DISTRICT - SUBORDINATE 2016B (g)

   12/15/2045      7.25 %      1,195,000       1,237,148  

LEYDEN ROCK METROPOLITAN DISTRICT #10 - JUNIOR LIEN 2017C (g)

   12/15/2049      10.75 %      1,025,000       1,045,357  

LINCOLN MEADOWS METROPOLITAN DISTRICT

   12/1/2031      8.00 %      7,387,000       7,496,401  

LITTLETON VILLAGE METROPOLITAN DISTRICT #2

   12/1/2045      5.38 %      1,689,000       1,754,364  

LITTLETON VILLAGE METROPOLITAN DISTRICT NO 2, SERIES 2018B SUBORDINATES (g)

   12/15/2028      7.63 %      1,140,000       1,182,431  

MARIN METROPOLITAN DISTRICT (a)(j)

   12/1/2028      0.00 %      17,485,000       1,573,650  

MARVELLA METROPOLITAN DISTRICT - SENIOR 2016A

   12/1/2046      5.13 %      1,405,000       1,474,969  

MEADOWS METROPOLITAN DISTRICT #1 (k)

   6/1/2029      8.00 %      30,730,000       32,178,305  

MEADOWS METROPOLITAN DISTRICT #2 (k)

   6/1/2029      8.00 %      23,830,000       24,953,108  

MEADOWS METROPOLITAN DISTRICT #7 (k)

   6/1/2029      8.00 %      15,440,000       16,167,687  

MIDCITIES METROPOLITAN DISTRICT #2 - SUBORDINATE 2016B (g)

   12/15/2046      7.75 %      1,919,000       1,970,448  

MOUNT CARBON METROPOLITAN DISTRICT - SERIES 2004A (g)

   6/1/2043      7.00 %      197,916       197,916  

MOUNT CARBON METROPOLITAN DISTRICT - SERIES 2004B (g)

   6/1/2043      7.00 %      1,480,000       1,480,000  

MOUNT CARBON METROPOLITAN DISTRICT - SERIES 2004C (g)

   6/1/2043      0.00 %      565,000       124,300  

MOUNTAIN SHADOWS METROPOLITAN DISTRICT - SUBORDINATE 2016B (g)

   12/15/2046      7.50 %      1,800,000       1,852,794  

MOUNTAIN SHADOWS METROPOLITAN DISTRICT - SUBORDINATE 2018C-1 (g)

   12/15/2040      10.00 %      1,994,000       2,043,152  

MURPHY CREEK METROPOLITAN DISTRICT #3

   12/1/2026      6.00 %      2,540,000       2,540,000  

MURPHY CREEK METROPOLITAN DISTRICT #3

   12/1/2035      6.13 %      1,880,000       1,880,000  

NORTH PINE VISTAS METROPOLITAN DISTRICT #2 - SENIOR 2016A

   12/1/2046      6.75 %      6,735,000       6,840,942  

NORTH PINE VISTAS METROPOLITAN DISTRICT #2 - SUBORDINATE 2016B (g)

   12/15/2046      8.50 %      1,810,000       1,833,259  

NORTH PINE VISTAS METROPOLITAN DISTRICT #3 - SENIOR 2016A

   12/1/2036      6.00 %      3,393,000       3,513,587  

NORTH PINE VISTAS METROPOLITAN DISTRICT #3 - SUBORDINATE 2016B (g)

   12/15/2046      8.25 %      1,188,000       1,234,962  

OVERLOOK METROPOLITAN DISTRICT - SENIOR 2016A

   12/1/2046      5.50 %      1,500,000       1,531,575  

PAINTED PRAIRIE PUBLIC IMPROVEMENT AUTHORITY

   12/1/2029      4.00 %      1,000,000       999,950  

PALISADE METROPOLITAN DISTRICT #2

   12/1/2031      4.38 %      2,605,000       2,654,990  

PALISADE PARK NORTH METROPOLITAN DISTRICT #1 - SENIOR 2016A

   12/1/2046      5.88 %      2,075,000       2,113,325  

PALISADE PARK NORTH METROPOLITAN DISTRICT #1 - SUBORDINATE 2016B (g)

   12/15/2046      8.00 %      525,000       538,724  

PALISADE PARK NORTH METROPOLITAN DISTRICT #2 - SENIOR 2018A

   12/1/2047      5.63 %      1,745,000       1,822,495  

PARKER AUTOMOTIVE METROPOLITAN DISTRICT

   12/1/2045      5.00 %      2,021,000       2,090,866  

PARKER AUTOMOTIVE METROPOLITAN DISTRICT SUB SERIES 2018B (g)

   12/15/2032      8.00 %      3,785,000       3,922,396  

PIONEER METROPOLITAN DISTRICT #3 (g)

   12/1/2046      6.50 %      3,781,000       3,827,166  

THE PLAZA METROPOLITAN DISTRICT #1

   12/1/2040      5.00 %      5,350,000       5,588,396  

POTOMAC FARMS METROPOLITAN DISTRICT - SERIES 2007A

   12/1/2037      7.25 %      2,340,000       2,340,913  

POTOMAC FARMS METROPOLITAN DISTRICT - SERIES 2007B

   12/1/2023      7.63 %      229,000       229,153  

PROMENADE AT CASTLE ROCK METROPOLITAN DISTRICT #1 - SERIES A

   12/1/2025      5.13 %      500,000       525,255  

PUBLIC FINANCE AUTH CHARTER SCHOOL-COLORADO SPRINGS

   7/1/2029      4.95 %      6,720,000       6,825,437  

PUBLIC FINANCE AUTH CHARTER SCHOOL-FT COLLINS, A

   7/1/2029      4.95 %      21,650,000       21,989,689  

PUBLIC FINANCE AUTH CHARTER SCHOOL-DOUGLAS CNTY

   7/1/2029      4.95 %      14,620,000       14,849,388  

PUBLIC FINANCE AUTH CHARTER SCHOOL-DOUGLAS CNTY TXBL

   7/1/2026      4.95 %      3,310,000       3,261,608  

PUBLIC FINANCE AUTH CHARTER SCHOOL-FT COLLINS

   7/1/2029      4.95 %      10,720,000       10,888,197  

PUBLIC FINANCE AUTH CHARTER SCHOOL-AURORA

   7/1/2029      4.95 %      5,200,000       5,228,132  

PUBLIC FINANCE AUTH CHARTER SCHOOL-WINDSOR

   7/1/2029      4.95 %      13,210,000       13,417,265  

PFA AURORA CHARTER SCHOOL BC PROJ, SER B - FED EXEMPT/STATE TAXABLE    

   7/1/2029      4.75 %      18,365,000       18,323,311  

    Maturity    Coupon     Principal     Value  

PUBLIC FINANCE AUTHORITY - COLORADO SKIES ACADEMY CHARTER SCHOOL, SER A

   7/1/2025      5.63 %    $ 10,290,000     $ 10,300,187  

PUBLIC FINANCE AUTHORITY - MONUMENT ACADEMY SER. 2019A

   6/1/2026      5.00 %      28,725,000       28,911,425  

RAVENNA METROPOLITAN DISTRICT CONV CABS - SUBORDINATE SERIES 2017B (d)

   12/15/2026      7.50 %      8,000,000       8,188,400  

REATA RIDGE VILLAGE METROPOLITAN DISTRICT NO. 2

   12/1/2049      5.00 %      900,000       944,298  

RENDEZVOUS METROPOLITAN DISTRICT NO 4 - SUBORDINATE, SERIES 2018B (g)

   10/15/2048      8.00 %      1,189,000       1,211,900  

REX RANCH METROPOLITAN DISTRICT - SUBORDINATE 2018B (g)

   12/15/2047      7.88 %      445,000       460,201  

RICHARDS FARM METROPOLITAN DISTRICT #2 - SENIOR SERIES 2015A

   12/1/2045      5.75 %      1,400,000       1,495,718  

RIVERDALE PEAKS II METROPOLITAN DISTRICT

   12/1/2025      6.40 %      930,000       465,000  

RIVERDALE PEAKS II METROPOLITAN DISTRICT

   12/1/2035      6.50 %      1,135,000       567,500  

ROUTT CNTY LID - SERIES 2004A

   8/1/2024      6.50 %      173,000       174,806  

ROXBOROUGH VILLAGE METROPOLITAN DISTRICT - SERIES 1993B P/O (e)(i)(j)

   12/31/2021      0.00 %      76,473       44,010  

ROXBOROUGH VILLAGE METROPOLITAN DISTRICT - SERIES 1993B I/O (f)(i)

   12/31/2042      0.00 %      242,645       26,691  

SIERRA RIDGE METROPOLITAN DISTRICT #2 - SENIOR SERIES 2016A

   12/1/2031      4.50 %      1,000,000       1,025,650  

SIERRA RIDGE METROPOLITAN DISTRICT #2 - SUBORDINATE SERIES 2016B (g)

   12/15/2046      7.63 %      1,500,000       1,537,320  

SOLARIS METROPOLITIAN DISTRICT #3 - SUBORDINATE SERIES 2016B (g)

   12/15/2046      7.00 %      1,000,000       1,025,530  

SOLITUDE METROPOLITAN DISTRICT (j)

   12/1/2026      7.00 %      3,520,000       2,288,000  

SORREL RANCH METROPOLITAN DISTRICT

   12/1/2036      5.75 %      5,906,000       5,718,012  

SOUTHGLENN METROPOLITAN DISTRICT

   12/1/2021      3.00 %      936,000       940,933  

SOUTHSHORE METROPOLITAN DISTRICT #2 CONV CABS (d)

   12/1/2042      6.50 %      7,205,000       7,211,845  

SOUTHSHORE METROPOLITAN DISTRICT #2 - SUBORDINATE SERIES 2017 (g)

   12/15/2042      7.75 %      5,202,000       5,166,522  

ST VRAIN LAKES METROPOLITAN DISTRICT #2 - SENIOR SERIES 2017A

   12/1/2037      5.00 %      1,500,000       1,575,795  

ST VRAIN LAKES METROPOLITAN DISTRICT #2 - SUBORDINATE SERIES 2017B (g)

   12/15/2047      7.63 %      1,083,000       1,126,071  

STC METROPOLITAN DISTRICT NO. 2, SER A

   12/1/2029      4.00 %      1,615,000       1,698,867  

STC METROPOLITAN DISTRICT NO. 2

   12/1/2038      5.00 %      4,955,000       5,366,612  

STC METROPOLITAN DISTRICT, SER 2019 SUBS (g)

   12/15/2049      8.00 %      3,954,000       3,957,519  

STERLING RANCH COMMUNITY AUTHORITY BOARD - SENIOR SERIES 2015A

   12/1/2035      5.50 %      2,195,000       2,290,439  

STERLING RANCH COMMUNITY AUTHORITY BOARD - SENIOR SERIES 2015A

   12/1/2045      5.75 %      3,000,000       3,127,950  

STERLING RANCH COMMUNITY AUTHORITY BOARD - SUBORDINATE SERIES 2015B (g)

   12/15/2045      7.75 %      1,045,000       1,089,057  

STONE RIDGE METROPOLITAN DISTRICT #2

   12/1/2031      0.00 %      11,896,000       1,903,360  

TABLE MOUNTAIN METROPOLITAN DISTRICT - SENIOR SERIES 2016A

   12/1/2045      5.25 %      1,605,000       1,690,338  

TABLE MOUNTAIN METROPOLITAN DISTRICT - SUBORDINATE SERIES 2016B (g)

   12/15/2045      7.75 %      570,000       598,323  

TALLYN’S REACH METROPOLITAN DISTRICT #3

   11/1/2038      5.13 %      2,070,000       2,202,791  

TALLYN’S REACH METROPOLITIAN DISTRICT #3 - SUBORDINATE SERIES 2016A (g)

   11/1/2038      6.75 %      715,000       736,328  

TRAILS AT CROWFOOT METROPOLITAN DISTRICT NO 3

   12/15/2049      9.00 %      2,090,000       2,119,992  

UNITED WATER & SAN DISTRICT LUPTON LAKES

   3/1/2021      6.00 %      4,595,000       4,599,365  

UNITED WATER & SAN DISTRICT ELBERT COUNTY (g)

   12/1/2023      6.00 %      1,989,000       1,990,213  

VDW METROPOLITAN DISTRICT #2 - SUBORDINATE SERIES 2016B (g)

   12/15/2045      7.25 %      1,934,000       1,979,352  

VALAGUA METROPOLITAN DISTRICT

   12/1/2037      0.00 %      11,500,000       2,196,500  

VILLAS EASTLAKE RESERVOIR METROPOLITAN DISTRICT - SUBORDINATE SERIES 2016B (g)

   12/15/2046      8.00 %      355,000       370,237  

WESTCREEK METROPOLITAN DISTRICT NO 2

   12/1/2048      5.38 %      1,300,000       1,344,863  

WESTOWN METROPOLITAN DISTRICT - SENIOR SERIES 2017A

   12/1/2047      5.00 %      1,400,000       1,448,426  

WHISPERING PINES METROPOLITAN DISTRICT #1 - SENIOR SERIES 2017A

   12/1/2037      5.00 %      2,000,000       2,130,360  

WILD PLUM METROPOLITAN DISTRICT, SER A

   12/1/2049      5.00 %      595,000       618,169  

WILLOW SPRINGS METROPOLITAN DISTRICT, SER 2019B SUBORDINATES (g)

   12/15/2049      7.75 %      650,000       648,414  
      

 

 

    

 

 

  

Colorado (amortized cost $605,945,578)

          657,944,686       604,251,278  
      

 

 

    

 

 

  

Colorado Municipal Bonds (amortized cost $605,945,578)

        $ 657,944,686     $ 604,251,278  
      

 

 

    

 

 

  
Short-Term Municipal Bonds 16.7%

 

Colorado 63.4%

 

BOULDER CO HSG AUTH MF BROADWAY EAST APTS (LOC 3)

   9/1/2037      1.34 %    $ 1,665,000     $ 1,665,000  

BOULDER COUNTY - BOULDER COLLEGE OF MASSAGE (a)(j)

   10/15/2031      0.00 %      4,315,000       4,315,000  

BROOMFIELD URBAN RENEWAL AUTHORITY (LOC 1)

   12/1/2030      1.65 %      8,720,000       8,720,000  

CECFA - PROSPECT RIDGE ACADEMY CHARTER SCHOOL

   3/15/2023      5.00 %      13,285,000       13,290,447  

CECFA - AMERICAN ACADEMY CHARTER SCHOOL

   12/1/2025      4.20 %      35,875,000       35,577,596  

CECFA - MONARCH MONTESSORI CHARTER SCHOOL

   5/15/2020      5.50 %      8,565,000       8,567,826  

CECFA - PROSPECT RIDGE ACADEMY CHARTER SCHOOL

   3/15/2023      4.85 %      20,995,000       21,000,249  

CECFA - ABILITIES CONNECTION CHARTER SCHOOL

   10/1/2020      5.85 %      30,825,000       30,054,375  

CECFA - ADDENBROOKE CLASSICAL ACADEMY CHARTER SCHOOL

   6/1/2021      4.50 %      17,710,000       17,713,365  

COLORADO HEALTH FACILITIES AUTHORITY (b)(d)

   7/15/2020      0.00 %      520,000       516,610  

COLORADO HOUSING & FINANCE AUTHORITY - SERIES 2007A (LOC 3)

   1/1/2032      1.34 %      6,430,000       6,430,000  

COLORADO SPRINGS UTILITIES (LOC 3)

   11/1/2041      1.68 %      1,300,000       1,300,000  

SHERIDAN REDEVLOPMENT AGENCY - SERIES 2011A-1 (LOC 5)

   12/1/2029      1.70 %      5,600,000       5,600,000  
      

 

 

    

 

 

  

Colorado (amortized cost $155,786,225)

          155,805,000       154,750,468  
      

 

 

    

 

 

  

    Maturity      Coupon     Principal     Value  

Multi-State 34.2%

 

FREDDIE MAC VR AMT TAX (LOC 6)

     5/15/2046        1.33 %    $ 13,475,000     $ 13,475,000  

FREDDIE MAC AMT (LOC 6)

     11/15/2036        1.32 %      24,672,000       24,672,000  

FREDDIE MAC VR AMT (LOC 6)

     6/15/2036        1.32 %      22,615,000       22,615,000  

FREDDIE MAC VR (LOC 6)

     12/15/2045        1.64 %      19,310,000       19,310,000  

SUNAMERICA TRUST CLASS A - SERIES 2001-2 AMT TAX (LOC 6)

     7/1/2041        1.33 %      3,395,000       3,395,000  
      

 

 

    

 

 

  

Multi-State (amortized cost $83,467,000)

          83,467,000       83,467,000  
      

 

 

    

 

 

  

Oregon 2.4%

 

MULTNOMAH CITY HOSPITAL FACILITY ODD FELLOWS

     10/1/2020        5.45 %      5,815,000       5,812,907  
      

 

 

    

 

 

  

Oregon (amortized cost $5,815,000)

          5,815,000       5,812,907  
      

 

 

    

 

 

  

Short-Term Municipal Bonds (amortized cost $245,068,225)

        $ 245,087,000     $ 244,030,374  
      

 

 

    

 

 

  
Other Municipal Bonds 6.7%

 

South Dakota 69.2%

 

FLANDREAU SANTEE SIOUX TRIBE

     1/1/2036        5.75 %    $ 6,055,000     $ 5,804,444  

FLANDREAU SANTEE SIOUX TRIBE

     1/1/2026        5.00 %      3,695,000       3,590,505  

FLANDREAU SANTEE SIOUX TRIBE

     1/1/2031        5.50 %      3,565,000       3,422,828  

FLANDREAU SANTEE SIOUX TRIBE TE SERIES 2018B

     1/1/2038        6.00 %      6,120,000       6,311,801  

FLANDREAU SANTEE SIOUX TRIBE TE SERIES 2018C

     1/1/2038        6.00 %      5,450,000       5,620,803  

FLANDREAU SANTEE SIOUX TRIBE TAXABLE SERIES 2018A

     1/1/2023        8.28 %      875,000       892,631  

FLANDREAU SANTEE SIOUX TRIBE TAXABLE SERIES 2018A

     1/1/2024        8.28 %      950,000       972,012  

FLANDREAU SANTEE SIOUX TRIBE TAXABLE SERIES 2018A

     1/1/2025        8.28 %      1,030,000       1,057,501  

FLANDREAU SANTEE SIOUX TRIBE TAXABLE SERIES 2018A

     1/1/2026        8.28 %      1,115,000       1,146,265  

FLANDREAU SANTEE SIOUX TRIBE TAXABLE SERIES 2018A

     1/1/2027        8.28 %      1,205,000       1,243,066  

FLANDREAU SANTEE SIOUX TRIBE TAXABLE SERIES 2018A

     1/1/2028        8.28 %      1,305,000       1,348,952  

FLANDREAU SANTEE SIOUX TRIBE TAXABLE SERIES 2018A

     1/1/2033        8.28 %      8,670,000       8,967,208  

LOWER BRULE SIOUX TRIBE

     3/1/2025        5.88 %      1,300,000       1,300,117  

OGLALA SIOUX TRIBE OF PINE RIDGE

     10/1/2022        5.00 %      1,050,000       1,051,323  

OGLALA SIOUX TRIBE, SERIES 2018

     7/1/2028        5.50 %      3,700,000       3,831,942  

OGLALA SIOUX TRIBE, SERIES 2018

     7/1/2037        6.00 %      9,270,000       9,587,498  

OGLALA SIOUX TRIBE, SERIES 2018B

     9/1/2041        6.50 %      6,500,000       6,878,235  

OGLALA SIOUX TRIBE OF PINE RIDGE

     10/1/2024        5.50 %      1,985,000       1,986,092  

OGLALA SIOUX TRIBE, SERIES 2018C

     10/1/2026        8.00 %      800,000       825,416  

OGLALA SIOUX TRIBE, SER 2019A

     10/1/2027        4.50 %      2,370,000       2,370,000  
      

 

 

    

 

 

  

South Dakota (amortized cost $66,993,570)

          67,010,000       68,208,638  
      

 

 

    

 

 

  

Puerto Rico 10.6%

 

COMMONWEALTH OF PUERTO RICO (a)

     7/1/2035        8.00 %      2,500,000       1,590,625  

PUERTO RICO SALES TAX FINANCING CORP RESTRUCTURED SER 2019 A-1

     7/1/2034        4.50 %      277,000       295,578  

PUERTO RICO SALES TAX FINANCING CORP RESTRUCTURED SER 2019 A-1

     7/1/2040        4.55 %      140,000       144,945  

PUERTO RICO SALES TAX FINANCING CORP RESTRUCTURED SER 2019 A-1

     7/1/2053        4.75 %      1,028,000       1,073,253  

PUERTO RICO SALES TAX FINANCING CORP RESTRUCTURED SER 2019 A-1

     7/1/2058        5.00 %      2,600,000       2,758,678  

PUERTO RICO SALES TAX FINANCING CORP RESTRUCTURED SER 2019 A-1

     7/1/2024        0.00 %      140,000       122,878  

PUERTO RICO SALES TAX FINANCING CORP RESTRUCTURED SER 2019 A-1

     7/1/2027        0.00 %      267,000       213,197  

PUERTO RICO SALES TAX FINANCING CORP RESTRUCTURED SER 2019 A-1

     7/1/2029        0.00 %      260,000       192,930  

PUERTO RICO SALES TAX FINANCING CORP RESTRUCTURED SER 2019 A-1

     7/1/2031        0.00 %      336,000       230,688  

PUERTO RICO SALES TAX FINANCING CORP RESTRUCTURED SER 2019 A-1

     7/1/2033        0.00 %      378,000       240,476  

PUERTO RICO SALES TAX FINANCING CORP RESTRUCTURED SER 2019 A-1

     7/1/2046        0.00 %      3,597,000       963,672  

PUERTO RICO SALES TAX FINANCING CORP RESTRUCTURED SER 2019 A-1

     7/1/2051        0.00 %      2,930,000       571,848  

PUERTO RICO SALES TAX FING CORP TAX REV DTD 8/1/2019 4.329% SER A-2 7/1/2040

     7/1/2040        4.33 %      1,424,000       1,443,537  

PUERTO RICO SALES TAX FING CORP TAX REV DTD 8/1/2019 4.536% SER A-2 7/1/2053

     7/1/2053        4.54 %      43,000       43,940  

PUERTO RICO SALES TAX FING CORP TAX REV DTD 8/1/2019 4.784% SER A-2 7/1/2058

     7/1/2058        4.78 %      571,000       593,063  
      

 

 

    

 

 

  

Puerto Rico (amortized cost $9,430,343)

          16,491,000       10,479,309  
      

 

 

    

 

 

  

South Carolina 5.7%

 

GREEN MIDLANDS CHARTER SCHOOL - SENIOR SERIES 2016A

     12/1/2021        5.25 %      5,655,000       5,657,036  
      

 

 

    

 

 

  

South Carolina (amortized cost $5,655,000)

          5,655,000       5,657,036  
      

 

 

    

 

 

  

Arizona 5.1%

 

HERITAGE ACADEMY CHARTER SCHOOL MARICOPA COUNTY

     7/1/2027        5.25 %      5,000,000       5,060,750  
      

 

 

    

 

 

  

Arizona (amortized cost $5,000,000)

          5,000,000       5,060,750  
      

 

 

    

 

 

  

    Maturity     Coupon     Principal     Value  

Multi-State 5.0%

 

FREDDIE MAC (g)(j)

     1/1/2037       9.75 %    $ 4,904,915     $ 4,904,915  
     

 

 

    

 

 

  

Multi-State (amortized cost $4,904,915)

         4,904,915       4,904,915  
     

 

 

    

 

 

  

Washington 2.5%

 

TACOMA CONSOLIDATED LID

     4/1/2043       5.75 %      2,475,000       2,480,371  
     

 

 

    

 

 

  

Washington (amortized cost $2,317,491)

         2,475,000       2,480,371  
     

 

 

    

 

 

  

Missouri 1.4%

 

KANSAS CITY INDL DEV AUTH

     1/1/2028       6.75 %      500,000       501,910  

ST LOUIS INDL DEV AUTH SR HSG - SENIOR SERIES 2005A

     5/1/2027       6.75 %      860,000       835,765  
     

 

 

    

 

 

  

Missouri (amortized cost $1,360,000)

         1,360,000       1,337,675  
     

 

 

    

 

 

  

Oklahoma 0.5%

 

HASKELL CNTY PUBLIC FAC.

     4/1/2024       5.25 %      450,000       467,100  
     

 

 

    

 

 

  

Oklahoma (amortized cost $450,000)

         450,000       467,100  
     

 

 

    

 

 

  

Other Municipal Bonds (amortized cost $96,111,319)

       $ 103,345,915     $ 98,595,794  
     

 

 

    

 

 

  
Colorado Capital Appreciation and Zero Coupon Bonds 4.7%

 

Colorado 100.0%

 

CONIFER METROPOLITAN DISTRICT (a)(d)(j)

     12/1/2031       0.00 %    $ 7,470,000     $ 2,988,000  

FLYINGHORSE METROPOLITAN DISTRICT #2 (d)

     12/15/2042       8.00 %      15,725,000       16,068,906  

PV-ERU HOLDING TRUST (a)

     12/15/2037       0.00 %      14,000,000       2,940,000  

PV-ERU HOLDING TRUST (a)

     2/14/2039       0.00 %      710,000       149,100  

PV-ERU HOLDING TRUST (a)

     2/14/2039       0.00 %      3,122,000       655,620  

PV-ERU HOLDING TRUST (a)

     2/14/2039       0.00 %      13,168,000       2,765,280  

RAVENNA METROPOLITAN DISTRICT CONV CABS - SERIES 2017A (d)

     12/1/2046       5.00 %      33,685,000       34,531,841  

RAVENNA METROPOLITAN DISTRICT CONV CABS - SERIES 2017 SUPPLEMENTAL B (d)

     12/1/2021       0.00 %      15,000       13,764  

RAVENNA METROPOLITAN DISTRICT CONV CABS - SERIES 2017 SUPPLEMENTAL B (d)

     12/1/2022       0.00 %      170,000       149,046  

RAVENNA METROPOLITAN DISTRICT CONV CABS - SERIES 2017 SUPPLEMENTAL B (d)

     12/1/2023       0.00 %      325,000       272,769  

RAVENNA METROPOLITAN DISTRICT CONV CABS - SERIES 2017 SUPPLEMENTAL B (d)

     12/1/2024       0.00 %      490,000       392,862  

RAVENNA METROPOLITAN DISTRICT CONV CABS - SERIES 2017 SUPPLEMENTAL B (d)

     12/1/2025       0.00 %      585,000       447,355  

STC METROPOLITAN DISTRICT NO. 2, SER A (d)

     12/1/2025       3.00 %      555,000       557,264  

STERLING RANCH METROPOLITAN DISTRICT #2 CONV CAB (d)

     12/1/2045       0.00 %      6,685,000       6,355,363  

WILDWING METROPOLITAN DISTRICT #1 (d)

     12/1/2023       0.00 %      1,175,000       881,814  
     

 

 

    

 

 

  

Colorado (amortized cost $75,681,852)

         97,880,000       69,168,985  
     

 

 

    

 

 

  

Colorado Capital Appreciation and Zero Coupon Bonds
(amortized cost $75,681,852)

       $ 97,880,000     $ 69,168,985  
     

 

 

    

 

 

  
Colorado Taxable Certificates/Notes/Bonds 0.5%

 

Colorado 100.0%

 

PUBLIC FINANCE AUTH CHARTER SCHOOL-COLORADO SPRINGS TXBL

     7/1/2026       7.00 %    $ 6,060,000     $ 6,142,052  

PFA AURORA CHARTER SCHOOL BC PROJECT SER C - TAXABLE

     7/1/2029       7.00 %      1,235,000       1,216,710  

TABERNASH POLE CREEK NOTE (a)(j)

     12/31/2020       0.00 %      227,347       88,199  
     

 

 

    

 

 

  

Colorado (amortized cost $7,522,347)

         7,522,347       7,446,961  
     

 

 

    

 

 

  

Colorado Taxable Certificates/Notes/Bonds (amortized cost $7,522,347)

       $ 7,522,347     $ 7,446,961  
     

 

 

    

 

 

  

Total investments, at value (amortized cost $1,030,329,322)

     69.9 %        $ 1,023,493,392  

Other assets net of liabilities

     30.1 %          439,795,261  
 

 

 

        

 

 

  

Net Assets

     100.0 %        $ 1,463,288,653  
 

 

 

        

 

 

  

 

COLORADO BONDSHARES — A TAX-EXEMPT FUND

Schedule of Investments — (Continued)

 

 

(a)

Defaulted or non-income producing based upon the financial condition of the issuer (see “Defaulted or Non-Income producing Investments” note to Schedule of Investments).

 

(b)

Originally issued as general obligation bonds but are now pre-refunded and are secured by an escrow fund consisting entirely of direct U.S. Government obligations.

 

(c)

Represents securities whose blended characteristics are reflective of a zero coupon bond and a step rate bond. Interest rate shown represents effective yield at acquisition.

 

(d)

Interest rate shown for capital appreciation and zero coupon bonds represents the effective yield at the date of acquisition.

 

(e)

Principal-only certificate represents the right to receive the principal payments on the underlying debt security upon maturity. The price of this security is typically more volatile than that of coupon-bearing bonds of the same maturity.

 

(f)

Interest-only certificate represents the right to receive semi-annual interest payments on the underlying debt security. The principal amount of the underlying security represents the notional amount on which current interest is calculated. The interest rate shown represents the effective yield at the date of acquisition.

 

(g)

Interest rate disclosed for cash flow bond represents the effective yield at December 31, 2019. Income on this security is derived from the cash flow of the issuer.

 

(h)

Represents current interest rate for a step rate bond. No step rate bonds were owned by the Fund at December 31, 2019.

 

(i)

Terms of security have been restructured since the original issuance. The total face amount of all such restructured securities approximates $10,854,270 and a value of $6,858,971 or less than 1.0% of net assets, as of December 31, 2019.

 

(j)

Securities valued at fair value (see “Investment Valuation and Risk” notes to the Schedule of Investments).

 

(k)

See “Purchase Accrued Interest” notes to Schedule of Investments for further information on purchase accrued interest related to these bonds.

 

(l)

The Fund has entered into a forbearance agreement under which it agrees that the issuer may pay a reduced rate of interest in lieu of the contract rate for a period of time (see “Defaulted or Non-Income Producing Investments” notes to Schedule of Investments).

COLORADO BONDSHARES — A TAX-EXEMPT FUND

Schedule of Investments — (unaudited) — (Continued)

December 31, 2019

 

 

(LOC)

These securities are Variable Rate Demand Obligations (“VRDO”) with scheduled principal and interest payments that have a guaranteed liquidity provider in the form of a letter of credit. These obligations bear interest at a rate that resets daily or weekly (see “Investment Transactions” notes to Schedule of Investments). The numbered list below corresponds to the liquidity provider associated with the respective LOC.

 

  1.

BNP Paribas

  2.

FHLB Topeka

  3.

US Bank, N. A.

  4.

Royal Bank of Canada

  5.

JPMorgan Chase Bank, N.A.

  6.

Freddie Mac

The following abbreviations are used in the descriptions of securities included in the Schedule of Investments:

CABS-Capital Appreciation Bonds

CONV-Convertible

I/O-Interest Only

L/D-Local Improvement District

P/O-Principal Only

COLORADO BONDSHARES — A TAX-EXEMPT FUND

Notes to Schedule of Investments

December 31, 2019 (unaudited)

Defaulted or Non-income Producing Investments

The Fund discontinues the accrual of interest income on municipal bonds when the securities become delinquent as to payment of principal or interest, or when the Fund’s investment adviser determines that an uncertainty exists as to the realization of all or a portion of the principal balance. The face amount of bonds for which the accrual of interest income has been discontinued approximates $67,372,347 and such bonds have a value of $20,826,674 or 1.42% of net assets, as of December 31, 2019. These securities have been identified in the accompanying Schedule of Investments.

The Fund has entered into forbearance agreements with one district under which it agrees that the issuer may pay a reduced rate of interest in lieu of the contract rate for a period of time. Face amount of the bonds for which the Fund has entered into forbearance agreements total $27,375,000 and have a value of $17,935,169 or 1.23% of net assets, as of December 31, 2019. These securities have been identified in the Schedule of Investments.

Investment Valuation and Risk

Securities for which there is no last sales price are valued by an independent pricing service based on evaluated prices which considers such factors as transactions in bonds, quotations from bond dealers, market transactions in comparable securities and various relationships between securities, or are fair valued by management.

Securities for which market quotations are not readily available (or management considers otherwise are no longer valid or reliable) are valued at fair value determined in accordance with procedures approved by the Board of Trustees. This can occur in the event of, among other things, natural disasters, acts of terrorism, market disruptions, intra-day trading halts, and extreme market volatility. The determination of fair value involves subjective judgments. As a result, using fair value to price a security may result in a price materially different from the prices used by other mutual funds to determine net asset value or the price that may be realized upon the actual sale of the security. Short-term holdings are valued at current market quotations or amortized cost, whichever management believes best approximates fair value.

Fixed-income securities owned by the Fund are subject to interest-rate risk, credit risk, prepayment risk and market risk. The Fund invests in not rated securities which may be subject to a greater degree of credit risk and risk of loss of income and principal and may be more sensitive to economic conditions than lower yielding, higher rated fixed income securities. The Fund concentrates its investments in Colorado and, therefore, may be impacted by specific events, issuers or factors affecting Colorado. The Fund has more credit risk related to the economic conditions of Colorado than a portfolio with a broader geographical diversification.

Accounting Standards Codification (“ASC”) 820 Fair Value Measurements and Disclosures establishes a fair value hierarchy that classifies securities based on valuation techniques used to measure fair value and distinguish between observable inputs (market data obtained from independent sources) and the reporting entities own assumptions, which are not readily observable to market participants. The fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3).

Level 1 Inputs: Quoted prices (unadjusted) in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date.

Level 2 Inputs: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. If the asset or liability has a specified (contractual) term, a Level 2 input must be observable for substantially the full term of the asset or liability.

Level 3 Inputs: Significant unobservable inputs for the asset or liability including management’s own assumptions. Unobservable inputs shall be used to measure fair value to the extent that observable inputs are not available.

The following table summarizes the valuation of the Fund’s investments as defined by ASC 820 hierarchy levels as of December 31, 2019:

Valuation Inputs Summary

 

     Colorado
Municipal
Bonds		      Short-Term
Municipal
Bonds		      Other
Municipal
Bonds		      Colorado Capital
Appreciation and
Zero Coupon
Bonds		      Colorado
Taxable
Certificates/Notes
/Bonds		      Total Securities
December 31,
2019		  

Level 1 Securities

    $ —        $ —        $ —        $ —        $ —        $ —    

Level 2 Securities

      590,550,321        239,715,374        93,690,879        66,180,985        7,358,762        997,496,320  

Level 3 Securities

      13,700,957        4,315,000        4,904,915        2,988,000        88,199        25,997,072  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Totals

    $ 604,251,278      $ 244,030,374      $ 98,595,794      $ 69,168,985      $ 7,446,961      $ 1,023,493,392  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

From September 30, 2019 to December 31, 2019, there were no Level 1 Securities.

Purchase Accrued Interest

Purchase accrued interest is typically a component of a municipal bond purchase and is paid on settlement date. The accrual period begins on the last interest payment date (or original issue date) and runs through the day immediately preceding the settlement date. The Fund has purchased three bonds from the Meadows Metropolitan Districts No. 1, 2 and 7 with an aggregate balance of purchase accrued interest of $90,436,317 (99.9% of the December 31, 2019 balance of $90,496,386). Approximately $168,893,656 of additional interest has accrued on the purchase accrued interest since its purchase in 2007. This additional accrued interest has been fair valued in accordance with ASC 820 at approximately $65,508,414 and is included in other assets net of liabilities in the Schedule of Investments. This amount bears interest at the rate of 7.999% and will be received over an uncertain period of years. The value of the Meadows bonds is contained within three separate line items of the financial statements which all relate to a single set of bonds that cannot be sold separately.

Investment Transactions

Variable Rate Demand Obligations (“VRDO”) purchased by the Fund are floating rate obligations that have a nominal long-term maturity but have a coupon rate that is reset periodically (e.g., daily or weekly). The investor has the option to put the issue back to the trustee or tender agent at any time with specified (e.g., seven days) notice; accordingly, the Fund treats these obligations as short-term holdings. On December 31, 2019 the interest rates paid on these obligations ranged from 1.32% to 1.70%.

Income Tax Information

At December 31, 2019, the cost and unrealized appreciation (depreciation) of investments, as determined on a federal income tax basis , were as follows:

 

Cost of investments

    $ 1,030,329,322  
  

 

 

  

Gross unrealized appreciation

    $ 25,147,419  

Gross unrealized (depreciation)

      (31,983,348 ) 
  

 

 

  

Net unrealized (depreciation) of investments

    $ (6,835,929 ) 
  

 

 

  

Litigation

The Fund is periodically involved in various legal proceedings. At December 31, 2019, the Fund has a litigation accrual of $277,082 for all pending litigation matters primarily for the purpose of paying lawyer fees. Possible additional amounts cannot be currently estimated but will be set aside as needed. Although there can be no assurances, based on information available, management believes that it is probable that the ultimate outcome of the action described below and other matters that are pending or threatened will not have a material effect on the Fund’s financial condition.

Marin Metropolitan District LTD Tax G.O. Series 2008 Bond

The Fund is the beneficial owner of bonds issued in 2008 (the “Bonds”) by Marin Metropolitan District (the “District”) as described more fully in the Fund’s 2019 shareholder report on Form N-CSR filed with the Securities and Exchange Commission on December 6, 2019. The original principal amount of Bonds was $30,485,000. The current principal amount of the Bonds is $17,485,000. The valuation of these Bonds as of December 31, 2019 is set forth in the Schedule of Investments.

On June 1, 2011, Landmark Towers Association, Inc. (“Landmark”), a homeowners association, filed an action on behalf of its members entitled Landmark Towers Ass’n, et al. v. UMB Bank, et al., Case Number 2011-CV-1076 in Arapahoe County District Court, Colorado (“Landmark Litigation”). The complaint filed in the Landmark Litigation sought a temporary restraining order, declaratory relief and permanent injunction against the District, the Fund, and UMB Bank (“UMB”), the trustee, alleging that the taxes imposed by the District pledged to pay the Bonds violated TABOR.

In August 2011, Landmark sought to freeze approximately $13,000,000 in original proceeds from the sale of the Bonds to the Fund, which moneys were held by UMB as trustee. The District Court denied Landmark’s efforts to freeze the $13,000,000 and allowed those moneys to be paid to the Fund, which reduced the principal amount of the Bonds to the current level.

In July and August of 2013, the District Court held a bench trial regarding Landmark’s claims for declaratory relief and permanent injunction. On September 6, 2013, the District Court issued an order (“Sept. 6 Order”) that the District was properly formed and that the election approving the taxes was proper, but nonetheless held that there were violations of TABOR relating to the property taxes. In particular, the District Court held that (1) bond proceeds were used to pay improper charges of the developer; (2) the taxes exceeded the maximum mill levy for debt service; and (3) the taxes did not benefit the Landmark taxpayers. After holding that the taxes did not provide a benefit to the Landmark taxpayers, the Court enjoined the District from imposing its taxes on the Landmark members for purposes of paying the Bonds (the “Injunction”). The Fund, the District, and UMB filed a motion for reconsideration of the Sept. 6 Order, which the District Court denied in an order dated October 31, 2013 (“Oct. 31 Order”).

While the Fund was not found to be responsible for damages based on the asserted TABOR violations, the District Court on March 10, 2014, entered an order allowing Landmark to pursue claims for fraudulent transfer and constructive trust that could result in the Fund being ordered to pay some or all of the tax refund obligations of the District.

In August 2014, the District Court held a four-day trial on the newly asserted claims against the Fund, and on September 10, 2014, the District Court issued an order (the “Sept. 10 Order”) denying each of the new claims asserted against the Fund. Landmark, however, filed a post-trial motion for reconsideration of the Sept. 10 Order, which motion was denied on November 12, 2014.

The Fund filed a Notice of Appeal of the Sept. 6 Order and the Oct. 31 Order, including the Injunction.

On April 21, 2016, the Colorado Court of Appeals issued an Opinion (the “April 2016 Opinion”), in which it concluded that the TABOR election held for approving the Bonds and the District’s ad valorem property taxes was invalid because eligible electors were denied the right to vote in the election and that ineligible electors voted in the election. Based on those decisions, the Court of Appeals upheld the injunction against the District, prohibiting it from levying taxes for payment of the Bonds.

The April 2016 Opinion created uncertainty in the Colorado public finance market in that it calls into question the process that is routinely used to qualify electors for special district elections in Colorado. Emergency legislation was introduced in the Colorado legislature to remove the uncertainty and any impact the April 2016 Opinion may have on other special district financings. The Colorado General Assembly unanimously passed the legislation, and it was signed by the Governor on May 18, 2016.

In a further effort to reduce any impact the April 2016 Opinion may have on the Colorado public finance market, the Fund filed a Petition for Rehearing with the Court of Appeals, asking it to withdraw a portion of its April 2016 Opinion as unnecessary. That Petition was filed on May 5, 2016, and was denied on May 12, 2016.

The Fund filed a petition with the Colorado Supreme Court to review the April 2016 Opinion on various grounds. On November 7, 2016, the Supreme Court granted the petition for review. On December 11, 2017, the Supreme Court reversed the April 2016 Opinion on the grounds that all claims challenging the election held by the District in 2007 were barred under C.R.S. § 1-11-213(4) (which requires an election contest to be filed no later than 10 days after the certification of the results of an election). The Supreme Court, however, remanded the case back to the Court of Appeals to decide issues that were not decided in the April 2016 Opinion.

On January 8, 2018, Landmark filed a Petition for Rehearing asking the Supreme Court to reconsider its decision to reverse the April 2016 Opinion. On January 22, 2018, the Supreme Court denied the Petition for Rehearing.

On May 5, 2018, the Court of Appeals issued an opinion on remanded issues (the “May 2018 Opinion”), concluding that the due process rights of the District taxpayers were violated and upholding the injunction that prevents the District from collecting taxes for repayment of the Bonds.

The Fund filed a petition with the Colorado Supreme Court to review the May 2018 Opinion on various grounds. The petition to the Colorado Supreme Court was fully briefed on August 31, 2018. The Colorado Supreme Court denied the petition for review on March 25, 2019.

Because the May 2018 Opinion was based on federal due process, on August 21, 2019, the Fund filed a Petition for Writ of Certiorari with the U.S. Supreme Court seeking review and reversal of the May 2018 Opinion. The U.S. Supreme Court denied the Petition for Writ of Certiorari on November 25, 2019.

As a result of the foregoing, the tax revenues originally pledged to pay the Bonds have been reduced, and such reduction may have adverse effects on dividend distributions and net asset values of the Fund.