Metropolitan District - General Explanation
In accordance with Section 32-104.5(3)(X), C.R.S., the following general explanation in plain, nontechnical language, is provided. This information is intended to be read in conjunction with all applicable legal requirements, governing documents, agreements, resolutions, and determinations of the Boards of Directors of the Districts.
1. A metropolitan district is a special district that provides any two or more of the following services:
(a) Fire protection;
(b) Mosquito control;
(c) Parks and recreation;
(d) Safety protection;
(e) Sanitation;
(f) Solid waste disposal facilities or collection and transportation of solid waste;
(g) Street improvement;
(h) Television relay and translation;
(i) Transportation; and
(j) Water.
2. In accordance with the Districts’ Service Plan, the Districts may provide the following public improvements and services:
(a) Fire protection (subject to certain limitations);
(b) Mosquito control;
(c) Parks and recreation (subject to certain limitations);
(d) Safety protection;
(e) Sanitation (subject to certain limitations);
(f) Solid waste disposal facilities or collection and transportation of solid waste;
(g) Street improvement;
(h) Television relay and translation;
(i) Transportation; and
(j) Water (subject to certain limitations).
The Districts anticipate District No. 1 undertaking construction of the following categories of public improvements:
(a) Parks and recreation;
(b) Safety protection;
(c) Sanitation;
(d) Street improvement;
(e) Transportation; and
(f) Water.
The Districts do not currently provide any ongoing services within the Districts.
3. In accordance with the Districts’ Service Plan, the total amount of debt the Districts can incur to provide and pay for public infrastructure is as follows:
The Districts shall not issue Debt for Public Improvement purposes in excess of Two Hundred Twenty-Seven Million Eight Hundred Five Thousand Dollars ($227,805,000.00) without Town approval.
4. In accordance with the Districts’ Service Plan, the following revenue may be used to pay for the Districts’ debt:
All Debt issued by the Districts may be payable from any and all legally available revenues of the Districts, including general ad valorem taxes and fees to be imposed upon all taxable property within the Districts. The Districts will also rely upon various other revenue sources authorized by law. These will include the power to assess fees, rates, tolls, penalties, or charges as provided in Section 32-1-1001(1), C.R.S., as amended from time to time.
5. In accordance with the Districts’ Service Plan, the maximum mill levy the Districts may assess to pay for their debt is as follows:
The “Maximum Debt Mill Levy” shall be the maximum mill levy each District is permitted to impose upon the taxable property within such District for payment of Debt, and shall be determined as follows:
1. For the portion of any aggregate Debt which exceeds fifty percent (50%) of the District’s assessed valuation, the Maximum Debt Mill Levy for such portion of Debt shall be fifty (50) mills less the number of mills necessary to pay unlimited mill levy Debt described in Section VI.C.2 of the Service Plan (#2 below); provided that if, on or after January 1, 2008, there are Assessment Rate Changes, the mill levy limitation applicable to such Debt may be increased or decreased to reflect such changes, such increases or decreases to be determined by the Board in good faith (such determination to be binding and final) so that to the extent possible, the actual tax revenues generated by the mill levy, as adjusted for Assessment Rate Changes occurring after January 1, 2008, are neither diminished nor enhanced as a result of such changes. “Assessment Rate Changes” means (a) the laws of the State change with respect to the assessment of property for taxation purposes; (b) changes to the method of calculating assessed valuation; or (c) any other similar changes.
2. For the portion of any aggregate Debt which is equal to or less than fifty percent (50%) of the District’s assessed valuation, either on the date of issuance or at any time thereafter, the mill levy to be imposed to repay such portion of Debt shall not be subject to the Maximum Debt Mill Levy and, as a result, the mill levy may be such amount as is necessary to pay the Debt service on such Debt, without limitation of rate.
3. For purposes of the foregoing, once Debt has been determined to be within Section VI.C.2 of the Service Plan (#2 above), so that the District is entitled to pledge to its payment an unlimited ad valorem mill levy, such District may provide that such Debt shall remain secured by such unlimited mill levy, notwithstanding any subsequent change in the District’s Debt to assessed ratio.
6. Residents may serve on the Board of Directors of a District if they are eligible electors of that District. A resident is an eligible elector of a District if the resident lives within the boundaries of the District and is registered to vote in Colorado.