Title
An Ordinance approving the Dissolution of the Barnes & Powers South Business Improvement District.
Located in Council District 6
Presenter:
Allison Stocker, Senior Planner, City Planning Department
Kevin Walker, Planning Director, City Planning Department
Body
Summary:
The Barnes & Powers South Business Improvement District (“the District”) was approved for formation by the City on April 27, 2004, per Ordinance 04-50. The District is located southeast of the intersection of Powers Boulevard and Barnes Road and is home to the Costco Wholesale retail store. As of 2026, the District does not own any assets, has consensus from 100% of the acreage’s landowners to dissolve, and is not responsible for maintaining any public improvements. All debts will be paid on or before December 31, 2026, with the intended date of the final payment of debt scheduled for December 1, 2026. As such, the District requests the City Council of the City of Colorado Springs to consent to a dissolution of the District pursuant to C.R.S. § 31-25-1225.
Background:
The Barnes & Powers Business Improvement District was created in 2004 under the City’s old Model Service Plan and Policies. The District utilized a maximum debt mill levy of 50 mills and a maximum operations and maintenance mill levy of 1 mill. The maximum debt permitted was set to specific amounts for different services and improvements planned by the District as voted on during the May 4, 2004, election. This election permitted three (3) million for street improvements, two and a half (2.5) million for parking facilities, and six and a half (6.5) million for refinancing the District’s debt. An additional election on November 1, 2005, allowed $400,000 for water, and $125,000 for sanitary sewer and storm drainage.
Per the most recent Operating Plan approved for the 2026 operating year, the District identified the permitted services to be provided by the District to include operations and maintenance services related to the streetscape improvements, entrance features, landscaping, parking facilities, and utility and drainage improvements. With all planned improvements completed and the District being solely under the ownership of the Costco Wholesale Corporation, the District has no need to continue its operations.
Pursuant to C.R.S. § 31-25-1225, a Business Improvement District may be dissolved by the El Paso County Clerk and Recorder’s Office without the need to bring the issue to an election if certain conditions are met. The District can be dissolved without an election if the District has no outstanding financial obligations or outstanding bonds, at least fifty (50) percent of the valuation for assessment of all real and personal property in the District and at least fifty (50) percent of the acreage of the District consents to the dissolution, and if the Board of Directors of the District and City Council consent to the dissolution. Per Exhibit A (refer to Exhibit A - Petition for Dissolution) the District has the appropriate ownership and acreage of the District consent to the dissolution and will have no outstanding debt or financial obligations as of December 31, 2026, or earlier.
Review Criteria:
N/A.
Previous Council Action:
Since the creation of the District in 2004, an annual operating report and budget have been approved by City Council. In addition, a bond issuance was approved in 2011 (Res. 108-11) to allow issuance for a Taxable Subordinate Limited Tax General Obligation Bond for $73,549.00, and a small inclusion (Ord. 14-3) and exclusion (Ord. 14-4) of land were approved in 2014.
Financial Implications:
N/A.
City Council Appointed Board/Commission/Committee Recommendation:
N/A.
Recommended Action
Proposed Motions:
Should the City Council wish to approve the Barnes & Powers Business Improvement Dissolution application, the following motion is suggested:
Motion to approve an ordinance of the City of Colorado Springs consenting to the dissolution of the Barnes & Powers Business Improvement District.
Should the City Council wish to deny the Barnes & Powers Business Improvement Dissolution application, the following motion is suggested.
Motion to deny an ordinance of the City of Colorado Springs consenting to the dissolution of the Barnes & Powers Business Improvement District.
Summary of Ordinance Language
An Ordinance of the City of Colorado Springs approving the Dissolution of the Barnes and Powers South Business Improvement District.