Title
A Resolution of the City of Colorado Springs allowing the inclusion of certain property into the boundary of the Hancock Metropolitan District Nos. 1 and 2.
Related items: Hancock Metropolitan District Nos. 1 and 2 Service Plan Amendment
Council District #4
Presenter:
Allison Stocker, Senior Planner, City Planning Department
Kevin Walker, Planning Director, City Planning Department
Body
Summary:
Hancock Metropolitan District Nos. 1 and 2 (“Districts”) is requesting the inclusion of vacant property into the District to further support development by financing public improvements through the Districts. This property is immediately north of Hancock Metropolitan District No. 1 & 2 and would be separated only by the future realigned Hancock Expressway. The inclusion of this parcel into the Districts will provide the existing properties within the Districts and the proposed inclusion parcel with better economies of scale and ability to acquire more favorable financing options for the sake of funding site improvements. This item was heard at City Council Work Session on October 13, 2025.
Background:
The request to include the seven (7) acres property into Hancock Metropolitan District No. 1 & 2 is intended to benefit both the existing Districts and the inclusion parcel by providing options for financing that come with better economies of scale. This request is coming from the prospective purchaser, Challenger Homes, who will be in possession of the property before the petition for inclusion can be signed and the inclusion be approved by City Council. A draft petition for inclusion can be found with the other materials submitted with the request and will be replaced when the signed copy is received by Staff.
The subject parcel consists of approximately seven (7) acres and the existing Districts boundaries contain approximately twenty (20) acres. This would bring the total area of the Hancock Metropolitan District Nos. 1 & 2 to approximately twenty-seven (27) acres should the inclusion be approved. Additionally, portions of the existing District are encumbered by the current alignment of the Hancock Expressway, and other portions are to be used in the future realignment of the same Expressway. With that in mind, the extent of improvements anticipated due to the Expressway realignment are greater than the standard Metropolitan District. The cost associated with the realignment, portions of which are responsible by the developers of the adjacent development, will be better managed and financed by a cohesive and organized Districts that can consolidate these costs under the same financing mechanisms compared to the processes available to independent developers who would be responsible for contributing to cost-sharing.
The subject inclusion parcel has recently received its Development Plan (DEPN-25-0018) and Final Subdivision Plat approvals, which would allow the development of sixty-nine single family detached units. This parcel will likely be the first portion of the Districts to see development start.
In addition to the request for inclusion, a few minor changes to the service plan are proposed to bring the service plan language in alignment with State policy and clarify which entities are able to issue debt and how that can occur.
While the subject request will not be impacted, it is worth noting that the existing Districts are within the Hancock Commons Urban Renewal Area (URA). The URA is aware of the proposed amendment to the service plan and inclusion of property into the Districts and there were no concerns raised about these items moving forward. URA representatives have confirmed that no action will be required to amend the URA boundary in response to this inclusion. Any efforts made by the URA related to this parcel will take place under separate actions and will not have any barring over the subject Districts requests.
Financial Implications:
Pursuant to the District service plan and the City Special District Policy, the proposed maximum debt does not constitute a financial obligation of the City.
City Charter Section 7-100 provides that the total debt of any special district may not exceed ten percent (10%) of the total assessed valuation of the taxable property within the district unless such debt is approved by at least a two-thirds vote of the entire Council.
Board/Commission Recommendation:
N/A
Stakeholder Process:
The staff-level Special District Committee has been provided with the materials associated with this request. As of the date of this staff report no comments have been received.
Previous Council Action:
City Council approved a consolidated service plan for the Hancock Metropolitan Districts Nos. 1 & 2 through Resolution 67-21 in May of 2021. Since that time, an amended and restated service plan was approved through Resolution 97-23 in July 2023 to bring the service plan into compliance with the City’s 2022 Model Service Plan.
Alternatives:
City Council could choose to approve, deny, or modify the proposed resolution.
Recommended Action
Proposed Motion:
Adopt a resolution of the City of Colorado Springs allowing the inclusion of certain property into the boundary of the Hancock Metropolitan District Nos. 1 and 2.
Deny a resolution of the City of Colorado Springs allowing the inclusion of certain property into the boundary of the Hancock Metropolitan District Nos. 1 and 2.
Summary of Ordinance Language
N/A